EX-99 4 september2011brokers.htm BROKER'S STATEMENT September 2011 Brokers Statement

EXHIBIT 99.2



NORTHEAST UTILITIES AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

 

 

 

 

 

 

 

 

September 30,

 

December 31,

(Thousands of Dollars)

2011 

 

2010 

 

 

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

Current Assets:

 

 

 

 

 

 

Cash and Cash Equivalents

$

 16,721 

 

$

 23,395 

 

Receivables, Net

 

 494,552 

 

 

 523,644 

 

Unbilled Revenues

 

 138,110 

 

 

 208,834 

 

Taxes Receivable

 

 203 

 

 

 89,638 

 

Fuel, Materials and Supplies

 

 237,794 

 

 

 244,043 

 

Regulatory Assets

 

 235,460 

 

 

 238,699 

 

Marketable Securities

 

 74,525 

 

 

 78,306 

 

Prepayments and Other Current Assets

 

 130,010 

 

 

 100,441 

Total Current Assets

 

 1,327,375 

 

 

 1,507,000 

 

 

 

 

 

 

 

Property, Plant and Equipment, Net

 

 10,096,063 

 

 

 9,567,726 

 

 

 

 

 

 

 

Deferred Debits and Other Assets:

 

 

 

 

 

 

Regulatory Assets

 

 2,706,053 

 

 

 2,756,580 

 

Goodwill

 

 287,591 

 

 

 287,591 

 

Marketable Securities

 

 52,181 

 

 

 51,201 

 

Derivative Assets

 

 91,430 

 

 

 123,242 

 

Other Long-Term Assets

 

 168,024 

 

 

 179,261 

Total Deferred Debits and Other Assets

 

 3,305,279 

 

 

 3,397,875 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets

$

 14,728,717 

 

$

 14,472,601 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The data contained in this report is preliminary and is unaudited.  This report is being submitted for the sole purpose of providing information to present shareholders about Northeast Utilities and Subsidiaries and is not a representation, prospectus, or intended for use in connection with any purchase or sale of securities.





NORTHEAST UTILITIES AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

September 30,

 

December 31,

(Thousands of Dollars)

2011 

 

2010 

 

 

 

 

 

 

 

 

LIABILITIES AND CAPITALIZATION

 

 

 

 

 

 

 

 

 

 

 

 

 

Current Liabilities:

 

 

 

 

 

  Notes Payable to Banks

$

 30,000 

 

$

 267,000 

  Long-Term Debt - Current Portion

 

 334,327 

 

 

 66,286 

  Accounts Payable

 

 476,214 

 

 

 417,285 

  Obligations to Third Party Suppliers

 

 77,760 

 

 

 74,659 

  Accrued Taxes

 

 115,285 

 

 

 107,067 

  Accrued Interest

 

 77,319 

 

 

 74,740 

  Regulatory Liabilities

 

 174,562 

 

 

 99,403 

  Derivative Liabilities

 

 110,653 

 

 

 71,501 

  Other Current Liabilities

 

 139,187 

 

 

 167,206 

Total Current Liabilities

 

 1,535,307 

 

 

 1,345,147 

 

 

 

 

 

 

 

 

Rate Reduction Bonds

 

 130,374 

 

 

 181,572 

 

 

 

 

 

 

 

 

Deferred Credits and Other Liabilities:

 

 

 

 

 

  Accumulated Deferred Income Taxes

 

 1,814,976 

 

 

 1,636,750 

  Regulatory Liabilities

 

 276,222 

 

 

 339,655 

  Derivative Liabilities

 

 909,252 

 

 

 909,668 

  Accrued Pension

 

 701,993 

 

 

 802,195 

  Other Long-Term Liabilities

 

 671,046 

 

 

 695,915 

Total Deferred Credits and Other Liabilities

 

 4,373,489 

 

 

 4,384,183 

 

 

 

 

 

 

 

 

Capitalization:

 

 

 

 

 

  Long-Term Debt

 

 4,614,697 

 

 

 4,632,866 

 

 

 

 

 

 

 

 

   Noncontrolling Interest in Consolidated Subsidiary:

 

 

 

 

 

 

Preferred Stock Not Subject to Mandatory Redemption

 

 116,200 

 

 

 116,200 

 

 

 

 

 

 

 

 

   Equity:

 

 

 

 

 

 

Common Shareholders' Equity:

 

 

 

 

 

 

  Common Shares

 

 980,054 

 

 

 978,909 

 

  Capital Surplus, Paid In

 

 1,792,593 

 

 

 1,777,592 

 

  Retained Earnings

 

 1,587,528 

 

 

 1,452,777 

 

  Accumulated Other Comprehensive Loss

 

 (55,214)

 

 

 (43,370)

 

  Treasury Stock

 

 (348,764)

 

 

 (354,732)

   Common Shareholders' Equity

 

 3,956,197 

 

 

 3,811,176 

   Noncontrolling Interests

 

 2,453 

 

 

 1,457 

  Total Equity

 

 3,958,650 

 

 

 3,812,633 

Total Capitalization

 

 8,689,547 

 

 

 8,561,699 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Liabilities and Capitalization

$

 14,728,717 

 

$

 14,472,601 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The data contained in this report is preliminary and is unaudited.  This report is being submitted for the sole purpose of providing information to present shareholders about Northeast Utilities and Subsidiaries and is not a representation, prospectus, or intended for use in connection with any purchase or sale of securities.





NORTHEAST UTILITIES AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

(Thousands of Dollars, Except Share Information)

2011 

 

2010 

 

2011 

 

2010 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Revenues

$

 1,114,892 

 

$

 1,243,337 

 

$

 3,397,624 

 

$

 3,694,182 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Fuel, Purchased and Net Interchange Power

 

 399,941 

 

 

 494,125 

 

 

 1,214,350 

 

 

 1,539,703 

 

Other Operating Expenses

 

 237,576 

 

 

 233,472 

 

 

 752,372 

 

 

 688,409 

 

Maintenance

 

 58,949 

 

 

 49,951 

 

 

 205,538 

 

 

 162,405 

 

Depreciation

 

 75,196 

 

 

 70,954 

 

 

 222,784 

 

 

 228,685 

 

Amortization of Regulatory Assets, Net

 

 36,740 

 

 

 50,341 

 

 

 88,409 

 

 

 50,908 

 

Amortization of Rate Reduction Bonds

 

 17,680 

 

 

 60,434 

 

 

 52,047 

 

 

 175,000 

 

Taxes Other Than Income Taxes

 

 84,994 

 

 

 84,427 

 

 

 252,817 

 

 

 244,431 

 

 

Total Operating Expenses

 

 911,076 

 

 

 1,043,704 

 

 

 2,788,317 

 

 

 3,089,541 

Operating Income

 

 203,816 

 

 

 199,633 

 

 

 609,307 

 

 

 604,641 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Expense:

 

 

 

 

 

 

 

 

 

 

 

 

Interest on Long-Term Debt

 

 57,461 

 

 

 57,802 

 

 

 171,905 

 

 

 173,594 

 

Interest on Rate Reduction Bonds

 

 2,018 

 

 

 4,661 

 

 

 6,889 

 

 

 16,985 

 

Other Interest

 

 4,453 

 

 

 3,435 

 

 

 5,922 

 

 

 9,778 

 

 

Interest Expense

 

 63,932 

 

 

 65,898 

 

 

 184,716 

 

 

 200,357 

Other Income, Net

 

 1,430 

 

 

 10,118 

 

 

 19,077 

 

 

 19,726 

Income Before Income Tax Expense

 

 141,314 

 

 

 143,853 

 

 

 443,668 

 

 

 424,010 

Income Tax Expense

 

 49,883 

 

 

 41,918 

 

 

 157,934 

 

 

 161,126 

Net Income

 

 91,431 

 

 

 101,935 

 

 

 285,734 

 

 

 262,884 

Net Income Attributable to Noncontrolling Interests

 

 1,470 

 

 

 1,411 

 

 

 4,340 

 

 

 4,204 

Net Income Attributable to Controlling Interests

$

 89,961 

 

$

 100,524 

 

$

 281,394 

 

$

 258,680 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic Earnings Per Common Share

$

 0.51 

 

$

 0.57 

 

$

 1.59 

 

$

 1.47 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted Earnings Per Common Share

$

 0.51 

 

$

 0.57 

 

$

 1.58 

 

$

 1.46 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends Declared Per Common Share

$

 0.28 

 

$

 0.26 

 

$

 0.83 

 

$

 0.77 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average Common Shares Outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 177,497,862 

 

 

 176,752,714 

 

 

 177,344,481 

 

 

 176,557,889 

 

Diluted

 

 177,835,348 

 

 

 177,012,278 

 

 

 177,647,694 

 

 

 176,762,088 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The data contained in this report is preliminary and is unaudited.  This report is being submitted for the sole purpose of providing information to present shareholders about Northeast Utilities and Subsidiaries and is not a representation, prospectus, or intended for use in connection with any purchase or sale of securities.





NORTHEAST UTILITIES AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30,

(Thousands of Dollars)

2011 

 

2010 

 

 

 

 

 

 

 

 

Operating Activities:

 

 

 

 

 

 

Net Income

$

 285,734 

 

$

 262,884 

 

Adjustments to Reconcile Net Income to Net Cash Flows

 

 

 

 

 

 

 

Provided by Operating Activities:

 

 

 

 

 

 

 

 Bad Debt Expense

 

 12,435 

 

 

 24,632 

 

 

 Depreciation

 

 222,784 

 

 

 228,685 

 

 

 Deferred Income Taxes

 

 133,528 

 

 

 105,070 

 

 

 Pension and PBOP Expense

 

 103,106 

 

 

 74,744 

 

 

 Pension and PBOP Contributions

 

 (159,220)

 

 

 (78,035)

 

 

 Regulatory (Underrecoveries)/Overrecoveries, Net

 

 (26,001)

 

 

 44,479 

 

 

 Amortization of Regulatory Assets, Net

 

 88,409 

 

 

 50,908 

 

 

 Amortization of Rate Reduction Bonds

 

 52,047 

 

 

 175,000 

 

 

 Derivative Assets and Liabilities

 

 (33,767)

 

 

 (9,228)

 

 

 Other

 

 (14,802)

 

 

 (46,190)

 

Changes in Current Assets and Liabilities:

 

 

 

 

 

 

 

 Receivables and Unbilled Revenues, Net

 

 61,657 

 

 

 20,905 

 

 

 Fuel, Materials and Supplies

 

 (4,072)

 

 

 33,337 

 

 

 Taxes Receivable/Accrued

 

 109,410 

 

 

 (12,904)

 

 

 Accounts Payable

 

 66,618 

 

 

 (59,601)

 

 

 Other Current Assets and Liabilities

 

 (9,419)

 

 

 28,961 

Net Cash Flows Provided by Operating Activities

 

 888,447 

 

 

 843,647 

 

 

 

 

 

 

 

 

Investing Activities:

 

 

 

 

 

 

Investments in Property, Plant and Equipment

 

 (749,060)

 

 

 (677,579)

 

Proceeds from Sales of Marketable Securities

 

 116,463 

 

 

 146,305 

 

Purchases of Marketable Securities

 

 (118,251)

 

 

 (148,075)

 

Proceeds from Sale of Assets

 

 46,841 

 

 

 - 

 

Other Investing Activities

 

 (5,849)

 

 

 (10,412)

Net Cash Flows Used in Investing Activities

 

 (709,856)

 

 

 (689,761)

 

 

 

 

 

 

 

 

Financing Activities:

 

 

 

 

 

 

Cash Dividends on Common Shares

 

 (145,865)

 

 

 (135,349)

 

Cash Dividends on Preferred Stock

 

 (4,169)

 

 

 (4,169)

 

(Decrease)/Increase in Short-Term Debt

 

 (237,000)

 

 

 55,687 

 

Issuance of Long-Term Debt

 

 382,000 

 

 

 145,000 

 

Retirements of Long-Term Debt

 

 (124,086)

 

 

 (4,286)

 

Retirements of Rate Reduction Bonds

 

 (51,198)

 

 

 (195,724)

 

Other Financing Activities

 

 (4,947)

 

 

 (818)

Net Cash Flows Used in Financing Activities

 

 (185,265)

 

 

 (139,659)

Net (Decrease)/Increase in Cash and Cash Equivalents

 

 (6,674)

 

 

 14,227 

Cash and Cash Equivalents - Beginning of Period

 

 23,395 

 

 

 26,952 

Cash and Cash Equivalents - End of Period

$

 16,721 

 

$

 41,179 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The data contained in this report is preliminary and is unaudited.  This report is being submitted for the sole purpose of providing information to present shareholders about Northeast Utilities and Subsidiaries and is not a representation, prospectus, or intended for use in connection with any purchase or sale of securities.