-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, CluufxI2/KJ9YQ2xsKtJlv+gv2Kjx0QZOUsIj16lTdGI3nwqqqYpjcMybJtGbYpj +9RN5LzqAn7rd+dzCK/OBg== 0000897069-00-000268.txt : 20000503 0000897069-00-000268.hdr.sgml : 20000503 ACCESSION NUMBER: 0000897069-00-000268 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20000421 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 20000502 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ALLIANT ENERGY CORP CENTRAL INDEX KEY: 0000352541 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC & OTHER SERVICES COMBINED [4931] IRS NUMBER: 391380265 STATE OF INCORPORATION: WI FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 001-09894 FILM NUMBER: 616483 BUSINESS ADDRESS: STREET 1: 222 WEST WASHNGTON AVENUE CITY: MADISON STATE: WI ZIP: 53703 BUSINESS PHONE: 6082523110 MAIL ADDRESS: STREET 1: P O BOX 2568 CITY: MADISON STATE: WI ZIP: 53701-2568 FORMER COMPANY: FORMER CONFORMED NAME: INTERSTATE ENERGY CORP DATE OF NAME CHANGE: 19980427 FORMER COMPANY: FORMER CONFORMED NAME: WPL HOLDINGS INC DATE OF NAME CHANGE: 19920703 8-K 1 8-K CURRENT REPORT - ALLIANT ENERGY CORP. SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ----------------------- FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 ----------------------- Date of Report (Date of earliest event reported): April 21, 2000 Alliant Energy Corporation ------------------------------------------------------ (Exact name of registrant as specified in its charter) Wisconsin 1-9894 39-1380265 - --------------- ---------------- ------------------- (State or other (Commission File (IRS Employer jurisdiction of Number) Identification No.) incorporation) 222 West Washington Avenue, Madison, Wisconsin 53703 ------------------------------------------------------------ (Address of principal executive offices, including zip code) (608) 252-3311 ------------------------------- (Registrant's telephone number) Item 5. Other Events. On April 21, 2000, Alliant Energy Corporation issued a press release announcing its earnings for the first quarter ended March 31, 2000. A copy of such press release is filed as Exhibit 99.1 and is incorporated by reference herein. Item 7. Financial Statements and Exhibits. (a) Not applicable. (b) Not applicable. (c) Exhibits. The following exhibit is being filed herewith: (99.1) Alliant Energy Corporation Press Release dated April 21, 2000. -2- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. ALLIANT ENERGY CORPORATION Date: May 1, 2000 By: /s/ Daniel A. Doyle ------------------------------------ Daniel A. Doyle Vice President, Chief Accounting and Financial Planning Officer -3- ALLIANT ENERGY CORPORATION Exhibit Index to Current Report on Form 8-K Dated April 21, 2000 Exhibit Number - ------- (99.1) Alliant Energy Corporation Press Release dated April 21, 2000. -4- EX-99.1 2 PRESS RELEASE DATED 4-21-2000 [GRAPHIC OMITTED] [ALLIANT ENERGY] Alliant Energy Worldwide Headquarters 222 W. Washington Ave. P.O. Box 192 Madison, WI 53701-0192 www.alliant-energy.com News Release - -------------------------------------------------------------------------------- FOR IMMEDIATE RELEASE Media Contact: Melanie Schmidt (608) 252-3187 Finance Contact: Bob Rusch (608) 252-3470 ALLIANT ENERGY REPORTS FIRST QUARTER 2000 EARNINGS MADISON, Wis. - April 21, 2000 - Alliant Energy Corp. (NYSE:LNT) today reported adjusted net income of $44.1 million, or $0.56 per share, for the first quarter of 2000, excluding a $24.8 million, or $0.31 per share, non-cash charge to net income to recognize an increase in the company's obligation relating to certain 30-year exchangeable senior notes issued in February. Earnings for the first quarter of 1999 were $41.7 million, or $0.54 per share. Upon adoption of a new accounting principle later this year, Alliant Energy expects to realize a significant one-time increase in income that will more than offset the $24.8 million charge. "Alliant Energy continues executing its defend and grow strategy to build value for its shareowners and customers," said Alliant Energy President, CEO and Chair Erroll B. Davis, Jr. "We are prepared to meet the challenges ahead by sticking to the sound business practices that contribute to continued earnings growth and improved customer service." The company's increase in earnings, excluding the non-cash charge, was due to several factors, including: a pre-tax gain of $10.2 million realized from the sale of 150,000 shares of the company's investment in McLeodUSA Inc.; increased earnings from Alliant Energy's oil and gas and industrial services businesses; and, income realized from settlement of a utility tax issue. These items were partially offset by: higher utility operating expenses, largely due to scheduled outages at several generating plants and higher energy conservation expenses; the impact of milder weather conditions in the first quarter of 2000 compared to the comparable period in 1999; and, increased interest expense to fund Alliant Energy's strategic growth initiatives. The following are selected summaries of the unaudited results of operations as reported for the periods shown: Quarter Ended Twelve Months Ended March 31 March 31 --------------------------------------------- 2000 1999 2000 1999 --------------------------------------------- (in thousands, except per share amounts) Operating revenues $620,850 $546,855 $2,271,958 $2,121,446 Adjusted net income $44,122 $41,744 $198,959 $109,544 Adjusted earnings per share (basic and diluted) $0.56 $0.54 $2.53 $1.42 Net income $19,320 $41,744 $174,157 $109,544 Earnings per share (basic and diluted) $0.24 $0.54 $2.21 $1.42 Alliant Energy is the parent company of three public utility companies - IES Utilities Inc. (IES), Interstate Power Company (IPC) and Wisconsin Power and Light Company (WP&L) - and of Alliant Energy Resources, Inc. (AER), the parent company of Alliant Energy's diversified operations. --- --- --- Utility Operations First quarter 2000 utility earnings were $39.1 million ($0.49 per share) compared to $44.8 million ($0.57 per share) for the same period in 1999. The decrease resulted primarily from higher operation and maintenance expenses ($0.08 per share), lower natural gas margins ($0.03 per share) and higher depreciation expense ($0.02 per share). These items were offset partially by interest income realized from a tax settlement ($0.03 per share) and a higher electric margin ($0.02 per share). "We maintain our focus on operational excellence - delivering on the promise of value we made to our shareowners and our customers," said Davis. "Alliant Energy takes seriously its commitment to reliability and works with customers and others to implement responsible solutions that leverage efficiencies and create long-lasting benefits." The higher operation and maintenance expenses were due to costs associated with scheduled outages at several generating plants, higher energy conservation expenses and increased nuclear operating expenses. Alliant Energy estimates that the milder weather conditions resulted in lower earnings of approximately $0.06 per share ($0.03 electric; $0.03 gas) in the first quarter of 2000 compared to the comparable period in 1999. The higher overall electric margin was due to a rate recovery adjustment implemented at WP&L in March 1999 to recover higher purchased power and transmission costs as well as increased sales to retail customers due to continued economic strength in the company's utility service territory. These items were offset partially by higher purchased power costs at WP&L. Diversified Operations Alliant Energy's diversified operations reported adjusted net income of $8.7 million ($0.11 per share) in the first quarter of 2000, excluding the $24.8 million non-cash charge related to the senior notes issued in February. Upon adoption of a new accounting principle later this year, Alliant Energy expects to realize a significant one-time increase in income that will more than offset the $24.8 million charge. The increase in diversified earnings, excluding the non-cash charge, was substantially due to the gain realized on the sale of the McLeod shares ($0.08 per share) and the increased earnings from the company's oil and gas ($0.06 per share) and industrial services ($0.02 per share) businesses. These items were offset partially by higher net interest expense ($0.03 per share) to fund the company's strategic growth initiatives, including its recent $347 million investment in several Brazilian electric utilities. The company expects the impact of the Brazilian investment will be dilutive to earnings by approximately three percent in 2000 with positive contributions in subsequent years. "We entered the Latin American utility market and created a strong partnership that we believe will build a stronger economic future for us and for our shareowners," said Davis. Non-Cash Accounting Charge AER issued $402.5 million of exchangeable 30-year senior notes in February with an interest rate of 7.25% through February 15, 2003, and 2.5% thereafter. The amount payable upon maturity of the notes is generally the higher of: a) the original principal amount, as adjusted for any accrued interest or distributions on the common stock of McLeod; or, b) the current market value of the shares of McLeod stock attributable to the exchangeable senior notes. Specific accounting principles govern the exchangeable senior notes. Due to the exchange feature of the senior notes, any increase in the value of McLeod stock above $77.23 per share results in a corresponding increase in Alliant Energy's obligation under the senior notes. Current accounting principles do not allow the increases in market value of the company's McLeod holdings to be reflected in earnings, but require a charge against earnings to reflect the corresponding increase in Alliant Energy's obligation under the senior notes. The closing price of the McLeod stock at March 31, 2000, was $84.81; thus, the senior notes had a value of approximately $442 million at March 31, 2000. The non-cash charge recorded as a result of this increase did not impact earnings from operations nor will it impact Alliant Energy's ability to pay dividends. If the McLeod stock price closes below $84.81 per share on June 30, 2000, Alliant Energy in the second quarter will reverse the proportionate share of the non-cash charge recorded in the first quarter. The McLeod stock prices in this release do not reflect McLeod's announcement of a 3-for-1 stock split effective April 24, 2000. The company is required to adopt SFAS No. 133, Accounting for Derivative Instruments and Hedging Activities, no later than January 1, 2001, and is exploring various early adoption alternatives. Upon adoption of this new accounting principle, Alliant Energy will have a one-time option to designate a portion of its McLeod holdings as "trading" securities. This designation will allow the company to realize a significant one-time increase in income relating to the unrealized appreciation in value of such shares. The company expects that this income will more than offset any charges it incurs prior to, and in connection with, the adoption of SFAS No. 133 relating to changes in value of the senior notes. Further, the accounting under SFAS No. 133 will allow the company to reflect in earnings all future changes in the value of the shares of McLeod stock designated as trading, which will offset substantially the earnings impact of corresponding changes in the value of the senior notes. --- --- --- Alliant Energy provides electricity, natural gas, water and steam to over two million customers worldwide. Through its diversified subsidiaries, Alliant Energy also provides energy products and services to domestic and international markets; provides industrial services, including environmental, engineering and transportation services; invests in affordable housing initiatives; and, invests in various other strategic initiatives. More information about Alliant Energy is available on the World Wide Web at www.alliant-energy.com. # # # This press release includes forward-looking statements. These forward-looking statements can be identified as such because the statement includes words such as "expects" or "estimates" or other words of similar import. Similarly, statements that describe future plans or strategies are also forward-looking statements. Such statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those currently anticipated. Actual results could be affected by such factors as: weather conditions; regulatory or governmental actions; economic and political conditions in Alliant's domestic and international service territories; unanticipated issues related to Alliant Energy's ability to implement its strategic plan, especially as it relates to international investments; material changes in the value of Alliant Energy's McLeodUSA investment; ability to introduce products and services; technological developments; and, inflation rates. These factors should be considered when evaluating the forward-looking statements and undue reliance should not be placed on such statements. The forward-looking statements included herein are made as of the date hereof and Alliant Energy undertakes no obligation to update publicly such statements to reflect subsequent events or circumstances. ATTACHMENT: Consolidated Income Statement with Key Statistics (1 page) ALLIANT ENERGY CORPORATION CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) For the Three Months Ended March 31, 2000 1999 - -------------------------------------------------------------------------------- (in thousands, except per share amounts) Operating revenues: Electric utility $373,622 $351,338 Gas utility 130,134 133,684 Non-regulated and other 117,094 61,833 ---------- ---------- 620,850 546,855 ---------- ---------- - -------------------------------------------------------------------------------- Operating expenses: Electric and steam production fuels 69,272 65,404 Purchased power 62,345 52,065 Cost of utility gas sold 82,113 81,343 Other operation 186,537 130,365 Maintenance 29,929 23,812 Depreciation and amortization 75,911 73,640 Taxes other than income taxes 26,353 27,239 ---------- ---------- 532,460 453,868 ---------- ---------- - -------------------------------------------------------------------------------- Operating income 88,390 92,987 ---------- ---------- - -------------------------------------------------------------------------------- Interest expense and other: Interest expense 40,618 33,400 Contingent interest on indexed senior notes 39,493 - Allowance for funds used during construction (1,754) (1,934) Preferred dividend requirements of subsidiaries 1,678 1,676 Gain on sale of McLeodUSA Inc. stock (10,206) - Miscellaneous, net (13,197) (6,771) ---------- ---------- 56,632 26,371 ---------- ---------- - -------------------------------------------------------------------------------- Income before income taxes 31,758 66,616 ---------- ---------- - -------------------------------------------------------------------------------- Income taxes 12,438 24,872 ---------- ---------- - -------------------------------------------------------------------------------- Net income $19,320 $41,744 ========== ========== - -------------------------------------------------------------------------------- Average number of common shares outstanding 78,996 77,780 ========== ========== - -------------------------------------------------------------------------------- Earnings per average common share (basic and diluted) $0.24 $0.54 ========== ========== - -------------------------------------------------------------------------------- KEY STATISTICS For the Three Months Ended March 31, 2000 1999 - -------------------------------------------------------------------------------- Utility electric sales from ultimate customers 6,219 6,130 (thousands of MWH) Total utility electric sales 7,472 7,516 (thousands of MWH) Utility gas sold & transported 34,935 39,923 (thousands of dekatherms) - -------------------------------------------------------------------------------- Book value per share at March 31 $30.60 $21.71 - -------------------------------------------------------------------------------- -----END PRIVACY-ENHANCED MESSAGE-----