EX-99.1 EARNINGS 3 vvc3rdqtr_news-release.txt PRESS RELEASE AND FINANCIAL STATEMENTS Exhibit 99.1 News Release Vectren Corporation P.O. Box 209 Evansville, IN 47702-0209 FOR IMMEDIATE RELEASE July 22, 2003 Vectren Corporation Reports 2nd Quarter 2003 Results Evansville, Indiana - Vectren Corporation (NYSE:VVC) today reported 2003 second quarter earnings of $4.1 million, or $0.06 per share, compared to net income of $12.5 million, or $0.18 per share, for the same period last year. For the six months ended June 30, 2003, reported earnings were $59.8 million, or $0.88 per share, compared to $58.1 million, or $0.86 per share, for the same period in 2002. The 2003 second quarter results declined $0.10 per share as compared to the same period in 2002 due to milder weather affecting both heating and cooling sales and the write-off of two investments, as previously announced. Heating weather experienced in the second quarter 2003 was 9% warmer than the same period last year and cooling sales were reduced by weather 51% milder than the same period in 2002. The estimated quarter over quarter impact of milder weather was $4.3 million after tax, or $0.06 per share. The 2003 results include the write-off of the Company's investment in BABB International, Inc., an entity that processes fly ash into building materials. Charges of $1.9 million, pre-tax and $2.0 million, pre-tax were recorded in the second and first quarters, respectively, of 2003. The second quarter 2003 also includes the write-off of $2.0 million pre-tax of the investment in First Mile Technologies, a small broadband entity located in Indianapolis, Indiana. The write-off of both investments reduced net income for the second quarter by $2.3 million, or $0.04 per share, and the first six months by $3.5 million, or nearly $0.06 per share. Said Niel C. Ellerbrook, Chairman, President and CEO, "In addition to the mild weather and write off of the two investments, our second quarter and year to date results were impacted by high gas costs and a continued weak economy. For the first six months in 2003 our uncollectible accounts expense has increased by approximately $2.7 million pre-tax over 2002 levels. Customer consumption has shown some sensitivity to the higher gas costs through lower usage and, in some cases, fuel switching." "Year to date operations have been solid and we remain focused on executing business plans around our utility and complementary nonregulated operations that provide long-term value to our shareholders. While we are confident that our operations provide this long-term growth platform, we have not seen the expected economic turnaround in the Midwest and a continued delay could put pressure on 2003 earnings. We continue to expect to achieve 2003 earnings per share in the range of $1.65 to $1.75 per share," added Ellerbrook. Operating Review for the Quarter ended June 30 Utility Group Utility earnings for the second quarter 2003 were $1.4 million as compared to $8.7 million for the same quarter last year. As noted previously, the primary contributors to the decline are electric cooling weather - more- that was significantly below normal in the 2003 quarter and the write-off of the BABB investment. Gas margins were $60.8 million, an increase of $2.5 million over the same quarter in 2002. The increase is primarily due to increased late payment charges, an increase in Ohio's percent of income payment plan (PIPP) rate recovery rider, recovery of customer choice implementation costs, recovery of gross receipts and excise taxes on higher gas costs, and other items. The increase was partially offset by heating weather which was normal and 9% warmer than the prior year period. The estimated quarter over quarter pre-tax impact of the warmer weather on gas utility margins was approximately $3.3 million. Weather and an overall decline in customer usage were the primary factors resulting in the 8% decrease in throughput. Electric margins were $50.8 million, a decrease of $2.2 million compared to the second quarter of 2002. The decrease in electric margin was due primarily to the effect of milder cooling weather which was 43% cooler than normal and 51% cooler than last year, offset by increased margins from wholesale power activities. The estimated quarter over quarter pre-tax decrease as a result of the milder weather on electric utility margins was approximately $3.9 million. As a result of the mild weather, volumes sold to retail and firm wholesale customers decreased 7%. Non-firm wholesale electric utility margins increased $1.9 million to $3.9 million in 2003 compared to 2002. Other operating expenses for the second quarter increased $5.1 million compared to the same period in the prior year. The increased expenses were principally due to higher uncollectible accounts expenses, the timing of electric plant maintenance expenditures, and other costs such as PIPP and Ohio customer choice costs that are recovered through margins. Depreciation and amortization increased $3.3 million compared to the prior year due to utility plant additions. Since June 30, 2002, the Company has placed in service over $100 million in utility plant including a new gas-fired electric peaking unit, expenditures for implementing a choice program for Ohio gas customers, and other upgrades to existing transmission and distribution facilities. Taxes other than income increased $0.9 million compared to the prior year due primarily to higher gross receipts and excise taxes incurred as a result of higher gas prices. Other income (expense), net for the utility group decreased $3.0 million compared to the prior year. The decrease is primarily the result of the additional pre-tax charge of $1.9 million taken to write-off the BABB investment. In addition, the second quarter of 2002 includes income from the sale of emission allowances of approximately $1.0 million pre-tax that did not recur in 2003. Interest expense decreased $1.4 million when compared to the same quarter last year. The decrease primarily resulted from lower interest rates. This was partially offset by higher outstanding balances due primarily to funding of capital expenditures and increased working capital requirements resulting from the higher gas prices experienced during late 2002 and 2003. Non Regulated Group (all amounts following in this section are after tax) Nonregulated earnings for the second quarter 2003 decreased to $3.4 million as compared to $4.4 million for the same period last year due to the impact of the write-off of the First Mile investment. Earnings from Energy Marketing and Services were $2.1 million, a decline of $1.5 million from the second quarter of 2002. Gas Marketing's contribution was down $2.2 million period over period primarily due to the timing of costs and optimization benefits related to pipeline contracts. Performance Contracting was up $0.7 million due to success in obtaining higher margins and working from a higher construction backlog at the end of 2002. Performance Contracting results also reflect 100% Vectren ownership during the quarter versus 67% Vectren ownership in 2002. Earnings from Coal Mining were $4.7 million, an increase of $1.8 million from the second quarter 2002. Mining operations were $0.4 million and $0.9 million for the 2003 quarter compared to the 2002 quarter. Net earnings from the investment in Pace Carbon were $3.2 million and $1.3 million in 2003 and 2002, respectively. Synfuels related results, which reflect earnings from the investment in Pace Carbon and Synfuels related fees, were $4.3 million and $2.0 million in 2003 and 2002, respectively. Approximately eight hundred thousand tons of coal were mined and an additional three hundred thousand tons were brokered. Of that amount, seven hundred thousand tons were sold to the utility operations under approved contracts, with the remainder sold to third parties. The earnings from mining operations were impacted by reduced mining yields. However, based on a recently concluded geological study, these conditions are expected to improve in the fourth quarter of 2003 and early 2004. Broadband includes the $1.2 million after tax write-off of the First Mile investment. The company's investments in SIGECOM and its parent Utilicom Networks, LLC, a local broadband provider to Evansville, Indiana, had no significant impact on the company's operating results. Utility Infrastructure and Other Non Regulated businesses results were generally unchanged quarter over quarter. Operating Review for the Six Months Ended June 30 Utility Group Utility earnings for the six months ended June 30, 2003 were $48.7 million in 2003 as compared to $50.7 million for the same period in 2002, primarily driven by weather that on the year was favorably impacted by $5.4 million after tax compared to last year and increased wholesale and other margin, offset by the BABB investment write-off of $2.3 million after tax and increased other operating costs. Gas margins were $205.2 million, an increase of $19.0 million over second quarter 2002. It is estimated that weather, 17% colder than the prior year and 7% colder than normal, contributed $12.0 million pre-tax to the increased margin. The remaining $7.0 million increase is primarily attributable to gross receipts and excise taxes, increased late payment fees, and recovery of Ohio customer choice implementation costs. Electric margins were $109.0 million, an increase of $6.7 million over 2002 primarily due to increased non-firm wholesale power activity resulting from price volatility, offset by lower retail sales due to milder cooling weather. As a result of the mild weather which was 44% cooler than normal and 51% cooler than last year, volumes sold to retail and firm wholesale customers decreased 3% with an estimated margin impact of $2.9 million pre-tax. Non-firm wholesale margins were $12.1 million, an increase of $9.0 million over 2002. Other operating expenses increased $10.4 million compared to the prior year. The increased expenses were due principally to higher uncollectible accounts expense, the timing of electric plant maintenance and other costs such as PIPP and customer choice implementation costs in Ohio that are recovered through margins. Depreciation and amortization increased $5.3 million compared to the prior year due to utility plant additions. Taxes other than income increased $4.5 million compared to the prior year due to higher gross receipts and excise taxes as a result of higher gas prices and increased gas volumes sold. Other income (expense), net for the utility group decreased $7.0 million pre-tax compared to the prior year. The decrease is primarily the result of the $3.9 million pre-tax write-off of the BABB investment, less AFUDC and interest income, and contributions of $1.2 million pre-tax to low income customer assistance programs resulting from the ProLiance settlement. In addition, 2002 amounts include income from the sale of emission allowances and other assets totaling $2.2 million pre-tax. Interest expense decreased $2.5 million when compared to last year. The decrease primarily resulted from lower interest rates. This was partially offset by higher outstanding balances due primarily to funding of capital expenditures and increased working capital requirements resulting from the higher gas prices experienced during late 2002 and 2003. Non Regulated Group (all amounts following in this section are after tax) For the six months ended June 30, nonregulated earnings were $11.9 million in 2003 as compared to $8.8 million for the same period in 2002. Earnings from Energy Marketing and Services were $10.5 million, an increase of $2.3 million over 2002. Gas Marketing's contribution increased $1.2 million period over period due to continued realization of benefits from the integration of its two gas marketing companies in 2002 and from opportunities provided by gas price volatility in the first quarter. Performance Contracting is up $0.9 million due to the higher margins, a large construction backlog at the end of 2002, and Vectren's higher ownership percentage in the second quarter of 2003. Earnings from Coal Mining were $7.2 million, an increase of $2.3 million over 2002. Mining operations contributed $0.6 million in 2003 and $1.4 million in 2002. Net earnings from the investment in Pace Carbon, comprised of Synfuel tax credits net of operating losses, were $4.8 million and $2.1 million, in 2003 and 2002 respectively. Synfuels related results, which reflect earnings from the investment in Pace Carbon and Synfuels related fees, were $6.6 million and $3.5 million, in 2003 and 2002 respectively. Approximately 1.6 million tons of coal were mined and an additional five hundred thousand tons were brokered. Of that amount, 1.5 million tons were sold to the utility operations under approved contracts, with the remainder sold to third parties. Reduced mining yield continues to impact 2003 earnings of the mining operations. However, based on a recently completed geological study, these conditions are expected to improve in late 2003 and early 2004. Utility Infrastructure losses increased to $1.2 million from $0.5 million in 2002 as a result of continued cutbacks from gas distribution utility customers which began in the later part of 2002. Recent indications, however, are favorable as Miller Pipeline has more employees working on construction projects than ever before in their 50-year history. Broadband includes the $1.2 million after tax write-off of First Mile in the second quarter of 2003. Other nonregulated businesses contributed an after tax loss of $3.5 million in 2003 as compared to a $4.0 million after tax loss in 2002. There was substantial improvement in the losses at the municipal broadband consulting company and in the financial asset portfolio. However, the 2002 results include a $0.8 million gain in the Haddington Ventures portfolio which did not recur in 2003 and therefore offset part of this turnaround. Retail marketing operations had a less than expected loss of $1.0 million, continues to make good progress, and now has over 50,000 midwestern choice customers. Further, it is on track to be profitable in late 2004. Please SEE ATTACHED unaudited schedules for additional financial information Live Webcast on July 23 Vectren Corporation officers will discuss second quarter results provide an outlook for 2003 during a conference call for analysts scheduled at 2:30 p.m. EDT (1:30 CDT), Wednesday July 23, 2003. You are invited to listen to the live Webcast and view the supporting slides by accessing the Investor Relations link on Vectren's Web site at www.Vectren.com. Interested parties may also view the slide presentation and listen to the Webcast replay via Vectren's Web site beginning two hours after the completion of the Webcast. About Vectren Vectren Corporation is an energy and applied technology holding company headquartered in Evansville, Indiana. Vectren's energy delivery subsidiaries provide gas and/or electricity to over one million customers in adjoining service territories that cover nearly two-thirds of Indiana and west central Ohio. Vectren's non-regulated subsidiaries and affiliates currently offer energy-related products and services to customers throughout the surrounding region. These services include energy marketing; coal mining; utility infrastructure services; and broadband communication services. To learn more about Vectren, visit www.vectren.com. Safe Harbor for Forward Looking Statements This document contains forward-looking statements, which are based on management's beliefs and assumptions that derive from information currently known by management. Vectren wishes to caution readers that actual results could differ materially from those contained in this document. Additional detailed information concerning a number of factors that could cause actual results to differ materially from the information that is provided to you is readily available in our report Form 10-K as amended on Form 10-K/A filed with the Securities and Exchange Commission on June 18, 2003. Investor Contact Steven M. Schein, (812) 491-4209, sschein@vectren.com Media Contact Jeffrey W. Whiteside, (812) 491-4205, jwhiteside@vectren.com ###
VECTREN CORPORATION AND SUBSIDIARY COMPANIES CONSOLIDATED STATEMENTS OF INCOME (Thousands, except for share amounts) (Unaudited) Three Months Six Months Twelve Months Ended June 30 Ended June 30 Ended June 30 ------------- ------------- ------------- 2003 2002 2003 2002 2003 2002 ---- ---- ---- ---- ---- ---- As Restated As Restated As Restated ----------- ----------- ----------- OPERATING REVENUE: Gas utility $ 165,023 $ 140,139 $ 674,554 $ 498,192 $ 1,085,389 $ 838,897 Electric utility 90,243 158,924 209,619 285,724 532,011 482,738 Energy services and other 28,110 81,141 61,711 226,660 122,242 476,662 ------- -------- -------- --------- --------- --------- Total operating revenues 283,376 380,204 945,884 1,010,576 1,739,642 1,798,297 ------- -------- -------- --------- --------- --------- OPERATING EXPENSES: Cost of gas sold 104,269 81,824 469,385 311,977 728,624 522,012 Fuel for electric generation 20,597 19,068 41,366 36,859 86,126 75,418 Purchased electric energy 18,788 86,796 59,186 146,545 208,908 190,295 Cost of energy services and other 19,060 72,058 44,595 206,841 87,171 433,172 Other operating 59,630 55,979 122,202 113,556 231,594 236,056 Merger and integration costs - - - - - 2,046 Restructuring costs - - - - - 6,631 Depreciation and amortization 32,410 28,728 63,812 57,754 125,689 118,398 Taxes other than income taxes 11,083 10,241 33,118 28,573 56,447 51,691 ------- -------- -------- --------- --------- --------- Total operating expenses 265,837 354,694 833,664 902,105 1,524,559 1,635,719 ------- -------- -------- --------- --------- --------- OPERATING INCOME 17,539 25,510 112,220 108,471 215,083 162,578 OTHER INCOME (EXPENSE): Equity in earnings (losses) of unconsolidated investmen (129) 3,729 8,677 6,793 10,966 9,725 Other - net (1,007) 3,057 (2,155) 5,247 4,120 14,115 ------- -------- -------- --------- --------- --------- Total other income (expense) (1,136) 6,786 6,522 12,040 15,086 23,840 ------- -------- -------- --------- --------- --------- INTEREST EXPENSE 18,261 19,501 37,137 39,345 76,273 78,709 ------- -------- -------- --------- --------- --------- INCOME (LOSS) BEFORE INCOME TAXES (1,858) 12,795 81,605 81,166 153,896 107,709 INCOME TAXES (5,939) 361 21,788 23,359 37,312 22,687 MINORITY INTEREST IN SUBSIDIARY 6 (38) 33 (247) 794 544 PREFERRED DIVIDEND REQUIREMENT OF SUBSIDIARY 5 3 14 10 36 288 ------- -------- -------- --------- --------- --------- NET INCOME $ 4,070 $ 12,469 $ 59,770 $ 58,044 $ 115,754 $ 84,190 ======= ======== ======== ========= ========= ========= AVERAGE COMMON SHARES OUTSTANDING 67,768 67,578 67,731 67,557 67,668 67,539 DILUTED COMMON SHARES OUTSTANDING 68,083 67,866 67,976 67,849 67,935 67,749 EARNINGS PER SHARE OF COMMON STOCK BASIC: EARNINGS PER SHARE OF COMMON STOCK $ 0.06 $ 0.18 $ 0.88 $ 0.86 $ 1.71 $ 1.25 ======= ======== ======== ========= ========= ========= DILUTED: EARNINGS PER SHARE OF COMMON STOCK $ 0.06 $ 0.18 $ 0.88 $ 0.86 $ 1.70 $ 1.24 ======= ======== ======== ========= ========= =========
VECTREN UTILITY HOLDINGS AND SUBSIDIARY COMPANIES CONSOLIDATED STATEMENTS OF INCOME (Thousands, except for share amounts) (Unaudited) Three Months Six Months Twelve Months Ended June 30 Ended June 30 Ended June 30 ---------------------- ---------------------- -------------------------- 2003 2002 2003 2002 2003 2002 ---------------------- ---------------------- -------------------------- As Restated As Restated As Restated ----------- ----------- ----------- OPERATING REVENUE: Gas utility $ 165,023 $140,139 $ 674,554 $498,192 $ 1,085,389 $ 838,897 Electric utility 90,243 158,924 209,619 285,724 532,011 482,738 Other 199 51 397 101 584 189 --------- -------- --------- -------- ----------- --------- Total operating revenues 255,465 299,114 884,570 784,017 1,617,984 1,321,824 --------- -------- --------- -------- ----------- --------- OPERATING EXPENSES: Cost of gas sold 104,269 82,127 469,385 312,595 728,624 522,630 Fuel for electric generation 20,597 19,068 41,366 36,859 86,126 75,418 Purchased electric energy 18,788 86,796 59,186 146,545 208,908 190,295 Other operating 53,895 48,799 110,498 100,055 208,987 206,473 Merger and integration costs - - - - - 2,086 Restructuring costs - - - - - 4,205 Depreciation and amortization 29,681 26,349 58,443 53,120 116,009 108,482 Taxes other than income taxes 10,864 10,016 32,582 28,076 55,243 49,887 --------- -------- --------- -------- ----------- --------- Total operating expenses 238,094 273,155 771,460 677,250 1,403,897 1,159,476 --------- -------- --------- -------- ----------- --------- OPERATING INCOME 17,371 25,959 113,110 106,767 214,087 162,348 OTHER INCOME (EXPENSE): Equity in earnings (losses) of unconsolidated affiliates 86 (404) (418) (516) (1,761) (1,351) Other - net 225 3,753 (1,282) 5,838 23 11,457 --------- -------- --------- -------- ----------- --------- Total other income (expense) 311 3,349 (1,700) 5,322 (1,738) 10,106 --------- -------- --------- -------- ----------- --------- INTEREST EXPENSE 15,864 17,292 32,380 34,840 66,659 68,681 --------- -------- --------- -------- ----------- --------- INCOME BEFORE INCOME TAXES 1,818 12,016 79,030 77,249 145,690 103,773 INCOME TAXES 378 3,337 30,273 26,526 50,519 35,388 PREFERRED DIVIDEND REQUIREMENT OF SUBSIDIARY 5 3 14 10 36 288 --------- -------- --------- -------- ----------- --------- NET INCOME $ 1,435 $ 8,676 $ 48,743 $50,713 $ 95,135 $ 68,097 ========= ======== ========= ======== =========== =========
VECTREN CORPORATION HIGHLIGHTS 3 Months 6 Months 12 Months (millions, except per share amounts) Ended June 30 Ended June 30 Ended June 30 ------------------------------------------------------------------ (Unaudited) 2003 2002 2003 2002 2003 2002 * ------------------------------------------------------------------------------------------------------------------- As Restated As Restated As Restated ----------- ----------- ---------- Reported Earnings: Utility Group $ 1.4 $ 8.7 $ 48.7 $ 50.7 $ 95.1 $ 68.1 Non-regulated Group Energy Marketing and Services 2.1 3.6 10.5 8.2 17.3 12.9 Mining 0.4 0.9 0.6 1.4 2.5 5.8 Synfuels related 4.3 2.0 6.6 3.5 12.0 7.4 ---------- --------- ---------- --------- ---------- ---------- Total Coal Mining 4.7 2.9 7.2 4.9 14.5 13.2 Utility Infrastructure Services (0.2) - (1.2) (0.5) (1.9) (0.2) Broadband (1.2) 0.1 (1.1) 0.2 (0.9) - Other Businesses (2.0) (2.2) (3.5) (4.0) (6.9) (10.0) ---------- --------- ---------- --------- ---------- ---------- Total Non-regulated Group 3.4 4.4 11.9 8.8 22.1 15.9 Corporate and Other (0.7) (0.6) (0.8) (1.4) (1.5) 0.2 ---------- --------- ---------- --------- ---------- ---------- Vectren Consolidated $ 4.1 $ 12.5 $ 59.8 $ 58.1 $ 115.7 $ 84.2 ========== ========= ========== ========= ========== ========== * Reported earnings for the twelve months ended June 30, 2002 includes $8.5 million after tax of merger, integration and restructuring costs as follows: Utility group $6.3 million after tax; Non-regulated group $1.8 million after tax; and Corporate and Other $0.4 million after tax.
Vectren Selected Highlights 12 months 12 months Ended Ended June 30 June 30 2003 2002 ---------- --------- Dividends Paid (per common share, 12 months) $ 1.09 $ 1.05 Annualized Dividend $ 1.10 $ 1.06 Dividend Yield (at close) 4.4% 4.2% Dividend Payout Ratio 63.7% 84.0% Dividend to Book Value 8.3% 8.3% Return on Average Shareholder Equity 13.1% 9.9% Book Value Per Share $ 13.20 $ 12.73 Market to Book Value (at close) 190% 197% Common Stock Prices (VVC - NYSE) High $ 26.13 $ 26.10 Low $ 17.95 $ 19.76 Close $ 25.05 $ 25.10 Price/Earnings Ratio (trailing) 14.6 20.1 Ratio of Total Debt to Total Capitalization 60% 60% Percent Internally Generated Funds - 76% 57% Utility Group Ratio of Earnings to Fixed Charges - SEC Method Consolidated 2.8 2.2 Utility Group 3.2 2.5
VECTREN CORPORATION SELECTED GAS DISTRIBUTION 3 Months 6 Months 12 Months OPERATING STATISTICS Ended June 30 Ended June 30 Ended June 30 -------------------- ------------------- --------------------- ------------------------ 2003 2002 2003 2002 2003 2002 ---- ---- ---- ---- ---- ---- (Unaudited) As Restated As Restated As Restated ------------------------------------ ------------ ----------- ----------- GAS OPERATING REVENUES (Thousands): Residential $ 109,120 $ 89,429 $ 454,737 $ 336,742 $ 724,893 $ 560,370 Commercial 38,604 32,381 165,822 114,479 263,123 191,781 Contract 15,301 17,184 49,380 44,742 87,973 85,519 Miscellaneous Revenue 1,998 1,145 4,615 2,229 9,400 1,227 --------- --------- --------- --------- ----------- --------- $ 165,023 $ 140,139 $ 674,554 $ 498,192 $ 1,085,389 $ 838,897 ========= ========= ========= ========= =========== ========= GAS MARGIN (Thousands): Operating Revenues $ 165,023 $ 140,139 $ 674,554 $ 498,192 $ 1,085,389 $ 838,897 Cost of Gas 104,269 81,824 469,385 311,977 728,624 522,012 --------- -------- --------- --------- ----------- --------- Margin $ 60,754 $ 58,315 $ 205,169 $ 186,215 $ 356,765 $ 316,885 ========= ========= ========= ========= =========== ========= GAS SOLD & TRANSPORTED (MDth): Residential 9,881 10,945 54,437 47,304 87,859 74,312 Commercial 3,985 4,256 21,203 17,591 34,623 28,039 Contract 18,360 20,033 48,684 48,934 95,706 95,700 --------- --------- --------- --------- --------- --------- 32,226 35,234 124,324 113,829 218,188 198,051 ========= ========= ========= ========= ========= ========= AVERAGE GAS CUSTOMERS: Residential 862,058 869,359 872,724 871,982 869,625 863,637 Commercial 78,103 79,623 79,069 80,072 79,171 79,719 Contract 12,053 4,164 9,261 4,220 6,714 4,261 --------- --------- --------- --------- --------- ---------- 952,214 953,146 961,054 956,274 955,510 947,617 ========= ========= ========= ========= ========= ========= WEATHER AS A PERCENT OF NORMAL: Heating Degree Days 100% 110% 107% 91% 106% 89%
VECTREN CORPORTION SELECTED ELECTRIC 3 Months 6 Months 12 Months OPERATING STATISTICS Ended June 30 Ended June 30 Ended June 30 -------------------- ------------------- --------------------- --------------------- 2003 2002 2003 2002 2003 2002 ---- ---- ---- ---- ---- ---- (Unaudited) As Restated As Restated As Restated ---------------------------------------- ----------- ----------- ----------- ELECTRIC OPERATING REVENUES (Thousands): Residential $ 20,401 $ 23,343 $ 46,397 $ 46,503 $ 108,017 $ 100,245 Commercial 18,716 20,053 37,481 37,691 80,410 77,582 Industrial 23,449 22,898 44,500 43,047 91,823 84,634 Miscellaneous Revenue 1,486 1,558 2,990 2,491 5,539 4,858 -------- --------- --------- --------- --------- --------- Total Retail 64,052 67,852 131,368 129,732 285,789 267,319 Wholesale 26,191 91,072 78,251 155,992 246,222 215,419 -------- --------- --------- --------- --------- --------- $ 90,243 $ 158,924 $ 209,619 $ 285,724 $ 532,011 $ 482,738 ======== ========= ========= ========= =========== ========= ELECTRIC MARGIN (Thousands): Operating Revenues $ 90,243 $ 158,924 $ 209,619 $ 285,724 $ 532,011 $ 482,738 Cost of Fuel & Purchased Power 39,385 105,864 100,552 183,404 295,034 265,713 -------- --------- --------- --------- --------- --------- Margin $ 50,858 $ 53,060 $ 109,067 $ 102,320 $ 236,977 $ 217,025 ======== ========= ========= ========= ========= ========= ELECTRICITY SOLD (MWh): Residential 261,504 327,042 656,319 680,281 1,543,253 1,445,732 Commercial 328,998 360,309 662,844 682,146 1,448,478 1,430,660 Industrial 651,770 647,983 1,205,681 1,228,674 2,493,342 2,452,682 Miscellaneous Sales 4,235 3,661 9,349 8,468 18,998 18,362 --------- --------- --------- --------- --------- --------- Total Retail 1,246,507 1,338,995 2,534,193 2,599,569 5,504,071 5,347,436 Firm Wholesale 145,936 155,812 279,748 290,597 606,836 556,584 Non-Firm Wholesale 576,700 3,168,082 2,025,050 5,635,901 7,100,763 7,408,478 --------- --------- --------- --------- --------- --------- 1,969,143 4,662,889 4,838,991 8,526,067 13,211,670 13,312,498 ========= ========= ========= ========= ========== ========== AVERAGE ELECTRIC CUSTOMERS: Residential 116,719 115,898 116,887 115,902 116,654 115,617 Commercial 16,975 17,304 16,955 17,326 16,948 17,347 Industrial 177 175 177 175 175 173 All Others 21 23 21 23 22 23 --------- -------- -------- -------- ------- ------- 133,892 133,400 134,040 133,426 133,799 133,160 ========= ======== ======== ======== ======= ======= WEATHER AS A PERCENT OF NORMAL: Heating Degree Days 100% 110% 107% 91% 106% 89% Cooling Degree Days 57% 116% 56% 115% 105% 101%