-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, rS8M8/KvFwUGQmSOvOe5ZiN6wVDkGYb7pEBDVSdW9aHJcO93g0VFhyEYGrhoRRgA C4P72skipKsR9Xw9331L/Q== 0000071180-94-000014.txt : 19940810 0000071180-94-000014.hdr.sgml : 19940810 ACCESSION NUMBER: 0000071180-94-000014 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19940630 FILED AS OF DATE: 19940809 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NEVADA POWER CO CENTRAL INDEX KEY: 0000071180 STANDARD INDUSTRIAL CLASSIFICATION: 4911 IRS NUMBER: 880045330 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-04698 FILM NUMBER: 94542374 BUSINESS ADDRESS: STREET 1: 6226 W SAHARA AVE CITY: LAS VEGAS STATE: NV ZIP: 89102 BUSINESS PHONE: 7023675000 MAIL ADDRESS: STREET 1: P O BOX 230 CITY: LAS VEGAS STATE: NV ZIP: 89151 FORMER COMPANY: FORMER CONFORMED NAME: SOUTHERN NEVADA POWER CO DATE OF NAME CHANGE: 19701113 10-Q 1 10-Q JUNE 30, 1994 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934 For Quarter Ended June 30, 1994 Commission File No.1-4698 ------------- ------ Nevada Power Company ------------------------------------------------------ (Exact name of registrant as specified in its charter) Nevada 88-0045330 - -------------------------------- ------------------- (State or other jurisdiction of (I.R.S.Employer incorporation or organization) Identification No.) 6226 West Sahara Avenue, Las Vegas, Nevada 89102 - ------------------------------------------ ----------- (Address of principal executive offices) (Zip Code) (702) 367-5000 ---------------------------------------------------- (Registrant's telephone number, including area code) - -------------------------------------------------------------------------------- (Former name, former address and former fiscal year, if changed since last report.) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No . --- --- Indicate the number of shares outstanding of each of the issuer's classes of Common Stock, as of the latest practicable date. Common Stock outstanding July 31, 1994, 42,527,493 shares. ---------- 1 PART I. FINANCIAL INFORMATION STATEMENTS OF INCOME (In Thousands, Except Per Share Amounts) (Unaudited) FOR THE FOR THE THREE MONTHS SIX MONTHS ENDED JUNE 30, ENDED JUNE 30, ----------------- ----------------- 1994 1993 1994 1993 -------- -------- -------- -------- ELECTRIC REVENUES ........................ $195,788 $142,318 $340,446 $275,132 -------- -------- -------- -------- OPERATING EXPENSES AND TAXES: Fuel ................................ 26,636 21,275 47,195 45,868 Purchased and interchanged power .... 67,004 60,080 119,495 107,553 Deferred energy cost adjustments, net 9,679 (19,706) 14,817 (25,600) -------- -------- -------- -------- Net energy costs .................... 103,319 61,649 181,507 127,821 Other production operations ......... 3,944 3,716 8,015 7,945 Other operations .................... 25,008 21,207 48,088 40,058 Maintenance and repairs ............. 9,441 10,902 19,185 20,271 Provision for depreciation .......... 12,314 10,561 24,026 20,832 General taxes ....................... 4,210 4,441 8,495 8,197 Federal income taxes ................ 9,391 6,820 10,773 10,365 -------- -------- -------- -------- 167,627 119,296 300,089 235,489 -------- -------- -------- -------- OPERATING INCOME ......................... 28,161 23,022 40,357 39,643 -------- -------- -------- -------- OTHER INCOME (EXPENSES): Allowance for other funds used during construction ................ 1,444 2,578 3,671 5,022 Miscellaneous, net .................. 4,613 (393) 4,851 (1,087) -------- -------- -------- -------- 6,057 2,185 8,522 3,935 -------- -------- -------- -------- INCOME BEFORE INTEREST DEDUCTIONS ........ 34,218 25,207 48,879 43,578 -------- -------- -------- -------- INTEREST DEDUCTIONS: Interest on long-term debt .......... 11,248 10,636 22,031 21,679 Other interest ...................... 868 874 1,345 1,259 Allowance for borrowed funds used during construction ................ (1,091) (1,541) (2,382) (2,977) -------- -------- -------- -------- 11,025 9,969 20,994 19,961 -------- -------- -------- -------- NET INCOME ............................... 23,193 15,238 27,885 23,617 DIVIDEND REQUIREMENTS ON PREFERRED STOCK . 994 997 1,989 1,994 -------- -------- -------- -------- EARNINGS AVAILABLE FOR COMMON STOCK ...... $ 22,199 $ 14,241 $ 25,896 $ 21,623 ======== ======== ======== ======== WEIGHTED AVERAGE COMMON SHARES OUTSTANDING ............................. 42,251 38,226 42,023 37,806 ======== ======== ======== ======== EARNINGS PER AVERAGE COMMON SHARE ........ $ 0.53 $ 0.37 $ 0.62 $ 0.57 ======== ======== ======== ======== DIVIDENDS PER COMMON SHARE ............... $ 0.40 $ 0.40 $ 0.80 $ 0.80 ======== ======== ======== ======== See Notes to Financial Statements. 2 BALANCE SHEETS ASSETS (Unaudited) June 30, December 31, 1994 1993 ---------- ------------ (In Thousands) ELECTRIC PLANT: Original cost ...................................... $1,760,679 $1,638,560 Less accumulated depreciation ...................... 472,701 451,302 ---------- ---------- Net plant in service ............................. 1,287,978 1,187,258 Construction work in progress ...................... 116,843 167,652 Other plant, net ................................... 92,338 95,236 ---------- ---------- 1,497,159 1,450,146 ---------- ---------- INVESTMENTS .......................................... 21,359 21,822 ---------- ---------- CURRENT ASSETS: Cash and temporary cash investments ................ 298 145 Customer receivables - Billed ........................................... 51,354 37,270 Unbilled ......................................... 43,187 13,000 Reserve for doubtful accounts .................... (1,074) (1,125) Other receivables .................................. 7,554 15,465 Fuel stock and materials and supplies .............. 40,554 40,327 Deferred energy costs .............................. 36,061 58,783 Prepayments ........................................ 6,430 8,313 ---------- ---------- 184,364 172,178 ---------- ---------- DEFERRED CHARGES: Debt expense, being amortized ...................... 27,979 28,645 Accumulated deferred taxes on proposed refund of recovered energy costs - Mohave accident ......... - 5,417 Other .............................................. 128,594 131,129 ---------- ---------- 156,573 165,191 ---------- ---------- $1,859,455 $1,809,337 ========== ========== CAPITALIZATION AND LIABILITIES CAPITALIZATION: Common shareholders' equity: Common stock, 42,429,726 and 41,505,195 shares issued and outstanding, respectively ..... $ 45,634 $ 44,709 Premium and unamortized expense on capital stock . 510,205 491,856 Retained earnings ................................ 101,794 109,359 ---------- ---------- 657,633 645,924 ---------- ---------- Cumulative preferred stock ......................... 42,184 42,264 ---------- ---------- Long-term debt ..................................... 695,485 716,589 ---------- ---------- 1,395,302 1,404,777 ---------- ---------- CURRENT LIABILITIES: Notes payable ...................................... 28,990 25,000 Current maturities and sinking fund requirements ... 57,338 7,496 Accounts payable, including salaries and wages ..... 82,105 70,098 Accrued taxes ...................................... 8,692 (1,131) Accrued interest ................................... 6,782 6,212 Accumulated deferred taxes on deferred energy costs 12,621 20,574 Customers' service deposits and other .............. 36,071 31,441 ---------- ---------- 232,599 159,690 ---------- ---------- DEFERRED CREDITS AND OTHER LIABILITIES: Accumulated deferred investment tax credits ........ 34,654 35,384 Accumulated deferred taxes on income ............... 129,109 126,133 Customers' advances for construction ............... 30,461 28,455 Proposed refund of recovered energy costs - Mohave accident .......................... - 16,698 Other .............................................. 37,330 38,200 ---------- ---------- 231,554 244,870 ---------- ---------- $1,859,455 $1,809,337 ========== ========== See Notes to Financial Statements. 3 STATEMENTS OF CASH FLOWS (Unaudited) FOR THE SIX MONTHS ENDED JUNE 30, ------------------- 1994 1993 -------- -------- (In Thousands) CASH FLOWS FROM OPERATING ACTIVITIES: Net income .............................................. $ 27,885 $ 23,617 Adjustments to reconcile net income to net cash provided- Depreciation and amortization .......................... 31,023 26,395 Deferred income taxes and investment tax credits ....... (671) 10,183 Allowance for other funds used during construction ..... (3,671) (5,022) Changes in- Receivables ............................................ (46,126) (15,364) Fuel stock and materials and supplies .................. (1,020) (1,715) Accounts payable and other current liabilities ......... 15,427 27,141 Deferred energy costs .................................. 12,417 (27,058) Accrued taxes and interest ............................. 10,393 159 Other assets and liabilities ........................... (2,306) (1,665) -------- -------- Net cash provided by operating activities ............. 43,351 36,671 -------- -------- CASH FLOWS FROM INVESTING ACTIVITIES: Construction expenditures and gross additions ........... (70,637) (75,914) Investment in subsidiaries and other .................... 288 (3,243) Salvage net of removal cost ............................. (245) 169 -------- -------- Net cash used in investing activities .................. (70,594) (78,988) -------- -------- CASH FLOWS FROM FINANCING ACTIVITIES: Sale of capital stock ................................... 19,263 85,108 Sale of long-term debt .................................. - 45,000 Change in funds held in trust ........................... 32,295 (689) Retirement of preferred stock and long-term debt ........ (4,202) (56,187) Coal contract buy-out ................................... (15,439) - Change in short-term borrowing .......................... 28,990 - Cash dividends .......................................... (35,527) (32,202) Other financing activities .............................. 2,016 1,276 -------- -------- Net cash provided by financing activities .............. 27,396 42,306 -------- -------- CASH AND TEMPORARY CASH INVESTMENTS: Net increase (decrease) during the period ............... 153 (11) Beginning of period ..................................... 145 160 -------- -------- End of period ........................................... $ 298 $ 149 ======== ======== CASH PAID DURING THE PERIOD FOR: Interest, net of amounts capitalized .................... $ 25,108 $ 26,225 ======== ======== Income taxes ............................................ $ 2,000 $ 1 ======== ======== See Notes to Financial Statements. 4 NOTES TO FINANCIAL STATEMENTS The condensed financial statements included herein have been prepared by the registrant, pursuant to the rules and regulations of the Securities and Exchange Commission, and reflect all adjustments which, in the opinion of management are necessary for a fair presentation. Certain information and footnote disclosures have been condensed in accordance with generally accepted accounting principles and pursuant to such rules and regulations. The registrant believes that the disclosures are adequate to make the information presented not misleading. It is suggested that these condensed financial statements and notes thereto be read in conjunction with the financial statements and the notes thereto included in the registrant's latest annual report. Certain prior period amounts have been reclassified, with no effect on income or common shareholders' equity, to conform with the current period presentation. (1) FEDERAL INCOME TAXES: For interim financial reporting purposes, Nevada Power Company (Company) reflects in the computation of the federal income tax provision liberalized depreciation based upon the expected annual percentage relationship of book and tax depreciation and reflects the allowance for funds used during construction on an actual basis. The total federal income tax expense as set forth in the accompanying statements of income results in an effective federal income tax rate different than the statutory federal income tax rate. The table below shows the effects of those transactions which created this difference. THREE MONTHS SIX MONTHS ENDED JUNE 30, ENDED JUNE 30, ---------------- ---------------- 1994 1993 1994 1993 ------- ------- ------- ------- (In Thousands) Federal income tax at statutory rate ..... $12,316 $ 7,883 $14,906 $12,185 Investment tax credit amortization ....... (365) (365) (730) (573) Recovery of unprovided deferred taxes per Public Service Commission Docket 91-5055. 367 357 776 714 Other .................................... (322) 72 (247) (104) ------- ------- ------- ------- Recorded federal income taxes ............ $11,996 $ 7,947 $14,705 $12,222 ======= ======= ======= ======= Federal income taxes included in- Operating expenses ..................... $ 9,391 $ 6,820 $10,773 $10,365 Other income, net ...................... 2,605 1,127 3,932 1,857 ------- ------- ------- ------- Recorded federal income taxes ............ $11,996 $ 7,947 $14,705 $12,222 ======= ======= ======= ======= (2) COMMITMENTS AND CONTINGENCIES: In 1985 the Company incurred $15.8 million in increased fuel and purchased power expenses after a ruptured steam line at the jointly owned Mohave Generating Station resulted in a loss of the plant for six months. The Public Service Commission of Nevada (PSC) allowed the Company to recover one half of the increased expenses subject to refund. Fourth quarter 1990 earnings reflected a $12.9 million charge to record a subsequent proposed order issued by the PSC which stated that the Company shall not recover any of the increased costs. The Company fully reserved for any negative financial effect related to the proposed order. In 1991 the PSC set aside the proposed order and ordered the parties to participate in joint hearings with the California Public Utilities Commission (CPUC). The CPUC hearings are now concluded. The CPUC 5 issued an opinion and order in March 1994 finding Southern California Edison (SCE) was imprudent in not inspecting the pipe prior to the explosion, and indicated SCE may not recover from ratepayers the incremental purchased power costs in excess of the costs if it had inspected and undertaken repairs. On July 6, 1994, the PSC approved a stipulation which completely resolved the Mohave accident replacement power case. As a part of the stipulation, $11 million of the reserved $17.4 million previously collected from customers for fuel and purchased power costs and interest will be refunded to customers. The $11 million was transferred from other deferred credits to deferred energy costs to offset increased fuel and purchased power costs that have been deferred for collection. The balance of $4.2 million, net of tax, was reflected as other income in miscellaneous, net for the second quarter of 1994. On February 28, 1994, the Company filed requests with the PSC to recover additional fuel and purchased power costs of $38.5 million and resource planning costs of $1 million. The energy rate request included $28.7 million of deferred energy costs for the test period ended November 30, 1993, and $9.8 million to adjust the base energy rate. As part of the stipulation approved by the PSC on July 6, 1994, the energy rate and the resource planning rate requests have been withdrawn. In addition, the stipulation requires the Company to begin using billed and unbilled sales to calculate deferred energy balances. Implementation of this methodology has resulted in a credit adjustment to deferred energy costs and a debit to unbilled customer receivables of $19.4 million with no impact on the Company's earnings. On July 11, l991, Nevada Electric Investment Company (NEICO), the Company's unregulated subsidiary, entered into an agreement to sell a 50 percent undivided ownership interest in certain coal mining assets to the Intermountain Power Agency (IPA). NEICO and IPA will continue the coal mining operations as joint venturers under the name of the Crandall Canyon Project. Additionally, IPA has executed a continuing coal purchase agreement. This transaction has been inquired into by the PSC, and no gain has been recorded pending regulatory review. The Federal Clean Air Act Amendments of 1990 include provisions which will affect the Company's existing steam generating facilities and all new fossil fuel fired facilities. Title IV of the Amendments provides a national cap on sulfur dioxide emissions by mandating emissions reductions for many electric steam generating facilities. The sulfur dioxide provisions of the Amendments will not adversely affect the Company because the Company's steam units burn low sulfur fuels or have sulfur dioxide control equipment. Title IV of the Amendments also provides for reduction of emissions of oxides of nitrogen by establishing new emission limits for coal-fired generating units. This Title will require the installation of additional pollution control technology at some of the Reid Gardner Station generating units before 2000 at an estimated cost to the Company of no more than $6 million. Other provisions of the Amendments will require the Company to install or upgrade Continuous Emission Monitoring systems at all steam generating units before 1995, at an expected cost of up to $3.3 million. The United States Congress authorized $2 million for the Environmental Protection Agency (EPA) to study the potential impact the Mohave Generating Station (MGS) may have on visibility in the Grand Canyon. The EPA report is expected to be finalized in late 1995, with a follow-up report from the Grand Canyon Visibility Transport Commission in late 1996. Also, the Nevada Division of Environmental Protection has imposed more stringent stack opacity limits for the MGS. This change may affect the Company's utilization of resources, but, until more experience is gained by operating at the new opacity levels, any effect cannot be determined. As a 14 percent owner of the MGS, the Company will be required to fund any plant improvements that may result from the EPA study and operation at the new opacity levels. The cost of any potential improvements cannot be estimated at this time. 6 (3) POSTRETIREMENT BENEFITS OTHER THAN PENSIONS: The Company adopted Statement of Financial Accounting Standards No. 106 (FAS 106), Employers' Accounting for Postretirement Benefits Other Than Pensions, effective January 1, 1993. The costs of these benefits have been expensed on a pay-as-you-go basis prior to the Company adopting FAS 106. In July 1992, the PSC authorized the Company to continue recognizing these benefit costs on a pay-as-you-go basis after adopting FAS 106 and to record any difference in costs resulting from the implementation of FAS 106 as a deferred asset. As a result of the stipulation approved by the PSC on July 6, 1994, the Company is no longer recognizing these benefit costs on a pay-as-you-go basis and began using the accrual method. The Company is amortizing the FAS 106 deferred asset at March 31, 1994 over a period of 8 years. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS LIQUIDITY AND CAPITAL RESOURCES On July 6, 1994, the PSC approved a stipulation between the Company, PSC staff, Office of Consumer Advocate and other intervenors to settle an earnings investigation of the Company and several other pending regulatory matters. The stipulation will reduce non-residential rates by $6.25 million beginning October 1, 1994 and provides for no additional rate changes before July 1, 1995. The overall rate of return was reduced from 10.02 percent to 9.66 percent although the allowed return on equity remains at 12.5 percent. In addition, the stipulation completely resolves the replacement power case from the 1985 Mohave Generating Station accident and resulted in the withdrawal of the Company's $38.5 million energy rate request and $1 million resource planning rate request filed with the PSC on February 28, 1994. (See Note 2 to Financial Statements included in this quarterly report.) The Company's customer growth rate during 1993 and 1992 was 5.4 and 4.6 percent, respectively. The increase in customers for the first six months of 1994 was at an annual rate of 6.5 percent. At June 30, 1994, the Company provided electric service to 416,954 customers. Every three years Nevada law requires the Company file with the PSC a forecast of electricity demands for the next 20 years and the Company's plans to meet those demands. On July 1, 1994, the Company filed with the PSC the 1994 Resource Plan, which requested approval of the following major items: (1) Arden-Northwest 230 kV Transmission Project - This project was previously approved for partial construction. The Company is now requesting additional money for completion. (2) A Comprehensive Renewable Energy Program - Nevada Power wants to utilize all appropriate incentive, resources, and expertise to foster the development of economically competitive renewable energy systems with the intent to provide Southern Nevada customers with 20 megawatts of solar-generated electricity by the year 2002. (3) Supply-Side Request for Proposal (RFP) Process and Short-List - For resources in 1997 and 1998, the Company is requesting approval of the process used to select the Short-List, which includes utility system sales, combustion turbine projects, pumped hydroelectric projects, a seasonal diversity exchange, and a wind power project. 7 (4) Residential New Construction Program - This program would assist builders in meeting and exceeding minimum building energy codes. (5) Three Energy Service Company Contracts - All three contracts are designed for the commercial customer. The total reduction is equivalent to 13.8 megawatts. The PSC has scheduled hearings on the above mentioned Resource Plan to begin in mid-September 1994, with an opinion and order in mid-November. The Company is anticipating filing an Amendment to this Resource Plan by the end of 1994. The Amendment will request approval of the completed RFP and the subsequent recommendation on the Company's resource options. To meet capital expenditure requirements through 1994, the Company plans to utilize internally generated cash, the proceeds from industrial development revenue bonds (IDBs), first mortgage bonds and common stock issues through public offerings and the Stock Purchase and Dividend Reinvestment Plan (SPP). The Company has the option of issuing new shares or using open market purchases of Company common stock to meet the requirements of the SPP. Under the SPP the Company issued 1,640,326 and 903,203 shares, respectively, of common stock in 1993 and the first six months of 1994. On May 18, 1994, the Company filed requests with the PSC for authorization to issue short-term unsecured promissory notes not to exceed $150 million with such authorization to expire on December 31, 1997, and for authorization to issue an additional 2 million shares of common stock under the SPP. On June 24, 1992, Clark County, Nevada issued $105 million 6.70% fixed rate 30-year IDBs (Nevada Power Company Project) Series 1992A. Net proceeds from the sale of the IDBs were placed on deposit with a trustee and are being used to finance the construction of certain facilities which qualify for tax-exempt financing. At June 30, 1994, $26.8 million remained on deposit with the trustee. OPERATING RESULTS OF FIRST SIX MONTHS OF 1994 COMPARED TO FIRST SIX MONTHS OF 1993 Earnings per average common share were 62 cents for the first six months of 1994, compared to 57 cents in the same period in 1993. The increase in earnings was due primarily to an increase in kilowatthour sales and settlement of the replacement power case from the 1985 Mohave Generating Station accident. Year to date kilowatthour sales, excluding sales for resale, were up 9.3 percent, as compared to the first six months of 1993, due to a 6.1 percent increase in average number of customers as well as warmer weather in 1994. The increase in revenues was due to the higher kilowatthour sales and increases in rates to recover costs for fuel and purchased power. Higher revenues also resulted from recording unbilled revenues for the recovery of energy costs, with an offsetting increase in the deferred energy cost adjustment, as required by the stipulation approved by the PSC on July 6, 1994. The cost of purchased power increased by $11.9 million due primarily to charges for energy and capacity purchased from qualifying facilities under contracts with Nevada Cogeneration Associates. Other operations expense increased $8.0 million due primarily to an increase in administrative and general expenses resulting mainly from an increase in employee benefit costs and higher labor costs. Employee benefit costs 8 were higher primarily due to increased amounts for group medical insurance, pensions, postretirement benefits other than pensions (See Note 3 to Financial Statements included in this quarterly report), and amortization of reorganization, early retirement and severance costs. Depreciation expense increased $3.2 million because of a growing asset base. Other income miscellaneous, net increased $5.9 million due in large part to the stipulated resolution of the Mohave accident. Average common shares increased because of the sale of additional common shares through public offerings and the SPP to partially provide funds for the construction of facilities necessary to meet increased customer demand for electricity. OPERATING RESULTS OF SECOND QUARTER OF 1994 COMPARED TO SECOND QUARTER OF 1993 Second quarter earnings of 53 cents per average common share were up 16 cents from the same period in 1993. While the average number of customers increased 6.3 percent over the second quarter of 1993, kilowatthour sales, excluding sales for resale, were up 15 percent due to warmer weather in the second quarter of 1994. Earnings were also higher due to the settlement of the replacement power case from the 1985 Mohave Generating Station accident. The increase in revenues was due the higher kilowatthour sales and increases in rates to recover costs for fuel and purchased power. Higher revenues also resulted from recording unbilled revenues for the recovery of energy costs, with an offsetting increase in the deferred energy cost adjustment, as required by the stipulation approved by the PSC on July 6, 1994. Fuel expense in the second quarter of 1994 increased by $5.4 million as compared to the second quarter of 1993 due to increased generation at Clark Station and increased coal expense. Purchased power expense increased by $6.9 million due primarily to charges for energy and capacity purchased from qualifying facilities. Other operations expense rose $3.8 million as a result of an increase in administrative and general expenses due mainly to higher group medical insurance costs and postretirement benefits other than pensions (See Note 3 to Financial Statements included in this quarterly report). Depreciation expense increased $1.8 million because of a growing asset base. Other income miscellaneous, net increased $5.0 million due in large part to the stipulated resolution of the Mohave accident. Average common shares increased because of the sale of additional common shares through public offerings and the SPP to partially provide funds for the construction of facilities necessary to meet increased customer demand for electricity. 9 PART II. OTHER INFORMATION Items 1 through 5. None. Item 6. Exhibits and Reports on Form 8-K. a. Exhibits. None. b. Reports on Form 8-K. None. 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 thereunto duly authorized. Nevada Power Company -------------------- (Registrant) Date: August 9, 1994 STEVEN W. RIGAZIO ---------------- --------------------------- Steven W. Rigazio Vice President, Finance and Planning, Treasurer, Chief Financial Officer 10 -----END PRIVACY-ENHANCED MESSAGE-----