EX-99.2 3 exhibit992.htm FINANCIAL INFORMATION CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

EXHIBIT 99-2

Consolidated Statements of Income (Unaudited)
For the 3 months ending June 30, 2005 and 2004

 

2nd Quarter

    

(in thousands, except per share data)

  

2005

  

2004

  

Change

Operating Revenues

    

     

Oil and gas operations

$

134,453

$

95,322

$

39,131

Natural gas distribution

  

107,197

  

92,744

  

14,453

Total operating revenues

  

241,650

  

188,066

  

53,584

Operating Expenses

            

Cost of gas

  

50,424

  

40,291

  

10,133

Operations & maintenance

  

66,904

  

56,242

  

10,662

DD&A

  

33,101

  

28,885

  

4,216

Taxes, other than income taxes

  

19,794

  

16,040

  

3,754

Accretion expense

  

654

  

532

  

122

Total operating expenses

  

170,877

  

141,990

  

28,887

Operating Income

  

70,773

  

46,076

  

24,697

Other Income (Expense)

            

Interest expense

  

(11,524)

  

(10,694)

  

(830)

Other income

  

517

  

633

  

(116)

Other expense

  

(268)

  

(670)

  

402

Total other expense

  

(11,275)

  

(10,731)

  

(544)

Income Before Income Taxes

  

59,498

  

35,345

  

24,153

Income tax expense

  

21,910

  

13,114

  

8,796

Income from Continuing Operations

  

37,588

  

22,231

  

15,357

Discontinued Operations, Net of Taxes

            

Income (loss) from discontinued operations

  

(2)

  

39

  

(41)

Gain (loss) on disposal

  

(13)

  

-

  

(13)

Income (Loss) from Discontinued Operations

  

(15)

  

39

  

(54)

Net Income

$

37,573

$

22,270

$

15,303

Diluted Earnings Per Share

            

Continuing operations

$

0.51

$

0.30

$

0.21

Discontinued operations

-

-

-

Net Income

$

0.51

$

0.30

$

0.21

Basic Earnings Per Share

            

Continuing operations

$

0.51

$

0.31

$

0.20

Discontinued operations

  

-

  

-

  

-

Net Income

$

0.51

$

0.31

$

0.20

Diluted Avg. Common Shares Outstanding

  

73,782

  

73,249

  

533

Basic Avg. Common Shares Outstanding

  

73,017

  

72,459

  

558

Dividends Per Share

$

0.10

$

0.0925

$

0.0075

 

 

Consolidated Statements of Income (Unaudited)
For the 6 months ending June 30, 2005 and 2004

 

Year-to-date

    

(in thousands, except per share data)

  

2005

  

2004

  

Change

Operating Revenues

    

     

Oil and gas operations

$

237,333

$

191,402

$

45,931

Natural gas distribution

  

365,325

  

347,946

  

17,379

Total operating revenues

  

602,658

  

539,348

  

63,310

Operating Expenses

            

Cost of gas

  

187,279

  

179,029

  

8,250

Operations & maintenance

  

127,311

  

109,364

  

17,947

DD&A

  

64,526

  

57,569

  

6,957

Taxes, other than income taxes

  

46,344

  

40,306

  

6,038

Accretion expense

  

1,297

  

1,022

  

275

Total operating expenses

  

426,757

  

387,290

  

39,467

Operating Income

  

175,901

  

152,058

  

23,843

Other Income (Expense)

            

Interest expense

  

(23,194)

  

(21,012)

  

(2,182)

Other income

  

870

  

1,495

  

(625)

Other expense

  

(536)

  

(1,695)

  

1,159

Total other expense

  

(22,860)

  

(21,212)

  

(1,648)

Income Before Income Taxes

  

153,041

  

130,846

  

22,195

Income tax expense

  

56,512

  

48,454

  

8,058

Income from Continuing Operations

  

96,529

  

82,392

  

14,137

Discontinued Operations, Net of Taxes

            

Income (loss) from discontinued operations

  

(20)

  

76

  

(96)

Gain (loss) on disposal

  

110

  

(13)

  

123

Income (Loss) from Discontinued Operations

  

90

  

63

  

27

Net Income

$

96,619

$

82,455

$

14,164

Diluted Earnings Per Share

            

Continuing operations

$

1.31

$

1.13

$

0.18

Discontinued operations

  

-

  

-

  

-

Net Income

$

1.31

$

1.13

$

0.18

Basic Earnings Per Share

            

Continuing operations

$

1.32

$

1.14

$

0.18

Discontinued operations

  

-

  

-

  

-

Net Income

$

1.32

$

1.14

$

0.18

Diluted Avg. Common Shares Outstanding

  

73,726

  

73,200

  

526

Basic Avg. Common Shares Outstanding

  

72,985

  

72,404

  

581

Dividends Per Share

$

0.20

$

0.1875

$

0.015

 

 

Consolidated Statements of Income (Unaudited)
For the 12 months ending June 30, 2005 and 2004

 

Trailing 12 Months

    

(in thousands, except per share data)

  

2005

  

2004

  

Change

Operating Revenues

    

     

Oil and gas operations

$

456,042

$

365,975

$

90,067

Natural gas distribution

  

544,119

  

521,658

  

22,461

Total operating revenues

  

1,000,161

  

887,633

  

112,528

Operating Expenses

            

Cost of gas

  

268,139

  

258,773

  

9,366

Operations & maintenance

  

252,119

  

219,016

  

33,103

DD&A

  

127,734

  

116,060

  

11,674

Taxes, other than income taxes

  

80,969

  

68,146

  

12,823

Accretion expense

  

2,540

  

1,952

  

588

Total operating expenses

  

731,501

  

663,947

  

67,554

Operating Income

  

268,660

  

223,686

  

44,974

Other Income (Expense)

            

Interest expense

  

(44,925)

  

(41,718)

  

(3,207)

Other income

  

2,320

  

5,120

  

(2,800)

Other expense

  

(1,056)

  

(6,320)

  

5,264

Total other expense

  

(43,661)

  

(42,918)

  

(743)

Income Before Income Taxes

  

224,999

  

180,768

  

44,231

Income tax expense

  

83,572

  

65,949

  

17,623

Income from Continuing Operations

  

141,427

  

114,819

  

26,608

Discontinued Operations, Net of Taxes

            

Income from discontinued operations

  

82

  

283

  

(201)

Gain (loss) on disposal

  

118

  

79

  

39

Income (Loss) from Discontinued Operations

  

200

  

362

  

(162)

Net Income

$

141,627

$

115,181

$

26,446

Diluted Earnings Per Share

            

Continuing operations

$

1.92

$

1.58

$

0.34

Discontinued operations

  

0.01

  

-

  

0.01

Net Income

$

1.93

$

1.58

$

0.35

Basic Earnings Per Share

            

Continuing operations

$

1.94

$

1.59

$

0.35

Discontinued operations

0.01

0.01

-

Net Income

$

1.95

$

1.60

$

0.35

Diluted Avg. Common Shares Outstanding

  

73,480

  

72,814

  

666

Basic Avg. Common Shares Outstanding

  

72,802

  

72,118

  

684

Dividends Per Share

$

0.3895

$

0.37

$

0.0195

 

 

Selected Business Segment Data (Unaudited)

For the 3 months ending June 30, 2005 and 2004

2nd Quarter

(in thousands, except sales price data)

  

2005

  

2004

  

Change

Oil and Gas Operations

            

Operating revenues

            

Natural gas

$

94,401

$

65,330

$

29,071

Oil

  

28,499

  

22,026

  

6,473

Natural gas liquids

  

9,653

  

7,135

  

2,518

Other

  

1,900

  

831

  

1,069

Total

$

134,453

$

95,322

$

39,131

Production volumes from continuing operations

            

Natural gas (MMcf)

  

15,177

  

13,731

  

1,446

Oil (MBbl)

  

848

  

831

  

17

Natural gas liquids (Mgal)

  

18,550

  

16,884

  

1,666

Production volumes from continuing ops. (MMcfe)

  

22,912

  

21,126

  

1,786

Total sales volume (MMcfe)

  

22,919

  

21,149

  

1,770

Average sales price from continuing ops.

            

Natural gas (Mcf)

$

6.22

$

4.76

$

1.46

Oil (barrel)

$

33.63

$

26.52

$

7.11

Natural gas liquids (gallon)

$

0.52

$

0.42

$

0.10

Other data

            

Lease operating expense (LOE)

            

LOE and other

$

25,366

$

18,443

$

6,923

Production taxes

11,869

8,456

3,413

Total

$

37,235

$

26,899

$

10,336

DD&A

$

22,458

$

19,027

$

3,431

Capital expenditures

$

48,024

$

49,964

$

(1,940)

Exploration expense

$

170

$

52

$

118

Operating income

$

65,394

$

41,687

$

23,707

Natural Gas Distribution

            

Operating revenues

            

Residential

$

64,778

$

56,644

$

8,134

Commercial and industrial - small

  

29,580

  

24,575

  

5,005

Transportation

  

10,245

  

9,102

  

1,143

Other

  

2,594

  

2,423

  

171

Total

$

107,197

$

92,744

$

14,453

Gas delivery volumes (MMcf)

            

Residential

 

4,170

  

3,760

  

410

Commercial

  

2,411

  

2,227

  

184

Transportation

  

11,942

  

13,183

  

(1,241)

Total

  

18,523

  

19,170

  

(647)

Other data

            

Depreciation and amortization

$

10,643

$

9,858

$

785

Capital expenditures

$

20,897

$

16,410

$

4,487

Operating income

$

5,630

$

4,575

$

1,055

 

Selected Business Segment Data (Unaudited)

For the 6 months ending June 30, 2005 and 2004

 

Year-to-date

    

(in thousands, except sales price data)

  

2005

  

2004

  

Change

Oil and Gas Operations

            

Operating revenues

            

Natural gas

$

162,001

$

130,659

$

31,342

Oil

  

54,804

  

45,713

  

9,091

Natural gas liquids

  

17,798

  

13,155

  

4,643

Other

  

2,730

  

1,875

  

855

Total

$

237,333

$

191,402

$

45,931

Production volume from continuing operations

            

Natural gas (MMcf)

  

29,859

  

27,439

  

2,420

Oil (MBbl)

  

1,666

  

1,704

  

(38)

Natural gas liquids (Mgal)

  

34,377

  

32,165

  

2,212

Production volumes from continuing ops. (MMcfe)

  

44,768

  

42,258

  

2,510

Total sales volume (MMcfe)

  

44,825

  

42,310

  

2,515

Average sales price from continuing ops.

            

Natural gas (Mcf)

$

5.43

$

4.76

$

0.67

Oil (barrel)

$

32.89

$

26.83

$

6.06

Natural gas liquids (gallon)

$

0.52

$

0.41

$

0.11

Other data

            

Lease operating expense (LOE)

            

LOE and other

$

48,117

$

36,248

$

11,869

Production taxes

 

22,073

  

16,692

  

5,381

Total

$

70,190

$

52,940

$

17,250

DD&A

$

43,470

$

38,101

$

5,369

Capital expenditures

$

88,509

$

71,408

$

17,101

Exploration expense

$

494

$

100

$

394

Operating income

$

104,369

$

85,762

$

18,607

Natural Gas Distribution

            

Operating revenues

            

Residential

$

242,932

$

233,304

$

9,628

Commercial and industrial - small

  

94,880

  

89,176

  

5,704

Transportation

  

23,274

  

20,477

  

2,797

Other

  

4,239

  

4,989

  

(750)

Total

$

365,325

$

347,946

$

17,379

Gas delivery volumes (MMcf)

            

Residential

 

17,183

  

18,869

  

(1,686)

Commercial

  

7,706

  

8,275

  

(569)

Transportation

  

25,683

  

27,781

  

(2,098)

Total

  

50,572

  

54,925

  

(4,353)

Other data

            

Depreciation and amortization

$

21,056

$

19,468

$

1,588

Capital expenditures

$

35,699

$

30,221

$

5,478

Operating income

$

72,034

$

66,589

$

5,445

 

 

Selected Business Segment Data (Unaudited)

For the 12 months ending June 30, 2005 and 2004

Trailing 12 Months

(in thousands, except sales price data)

  

2005

  

2004

  

Change

Oil and Gas Operations

            

Operating revenues

            

Natural gas

$

307,814

$

247,530

$

60,284

Oil

  

107,504

  

89,007

  

18,497

Natural gas liquids

  

35,545

  

26,394

  

9,151

Other

  

5,179

  

3,044

  

2,135

Total

$

456,042

$

365,975

$

90,067

Production volumes from continuing operations

            

Natural gas (MMcf)

  

59,575

  

55,303

  

4,272

Oil (MBbl)

  

3,397

  

3,415

  

(18)

Natural gas liquids (Mgal)

  

70,420

  

65,863

  

4,557

Production volumes from continuing ops. (MMcfe)

  

90,014

  

85,199

  

4,815

Total sales volume (MMcfe)

  

90,121

  

85,313

  

4,808

Average sales price from continuing ops.

            

Natural gas (Mcf)

$

5.17

$

4.48

$

0.69

Oil (barrel)

$

31.65

$

26.07

$

5.58

Natural gas liquids (gallon)

$

0.50

$

0.40

$

0.10

Other data

            

Lease operating expense (LOE)

            

LOE and other

$

91,082

$

72,787

$

18,295

Production taxes

42,664

30,448

12,216

Total

$

133,746

$

103,235

$

30,511

DD&A

$

86,265

$

77,568

$

8,697

Capital expenditures

$

421,037

$

153,724

$

267,313

Exploration expense

$

2,494

$

975

$

1,519

Operating income

$

198,960

$

156,569

$

42,391

Natural Gas Distribution

            

Operating revenues

            

Residential

$

349,857

$

340,857

$

9,000

Commercial and industrial - small

  

144,390

  

136,103

  

8,287

Transportation

  

43,018

  

38,929

  

4,089

Other

  

6,854

  

5,769

  

1,085

Total

$

544,119

$

521,658

$

22,461

Gas delivery volumes (MMcf)

            

Residential

 

23,696

  

26,200

  

(2,504)

Commercial

  

11,753

  

12,466

  

(713)

Transportation

  

52,287

  

55,225

  

(2,938)

Total

  

87,736

  

93,891

  

(6,155)

Other data

            

Depreciation and amortization

$

41,469

$

38,492

$

2,977

Capital expenditures

$

63,686

$

59,143

$

4,543

Operating income

$

71,644

$

69,249

$

2,395