EX-99 2 dcorresp.htm Corresp ECF for the creation of xml file for self filier Entergy Corp
Table of Contents

LOGO

 


Table of Contents

As a corporation, Entergy seeks to unlock value by striving to continually deliver top-quartile total shareholder returns, create an accident-free workplace, be the cleanest power generator in America and contribute to a society that is healthy, productive and educated. Our aspiration to consistently deliver value to multiple stakeholders is in keeping with out strong belief in sustainable development. We have assembled the statistics and facts in this report to support your review and analysis of Entergy’s results over the last five years. This information is available in electronic form, with Excel spreadsheets, on our Web site at entergy.com/investor_relations, in order to facilitate easier access and analysis.

Entergy Investor Relations

ENTERGY CORPORATION is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, and it is the second–largest nuclear generator in the United States. Entergy delivers electricity to 2.7 million utility customers in Arkansas, Louisiana, Mississippi and Texas. Entergy has annual revenues of more than $11 billion and approximately 14,300 employees.


Table of Contents

TABLE OF CONTENTS

 

ABOUT THIS PUBLICATION

   2

FORWARD-LOOKING INFORMATION

   2

FINANCIAL MEASURES

   2

ENTERGY AT A GLANCE

   3 – 4

EXECUTIVE PROFILES

   5 – 6

ENTERGY CORPORATION AND SUBSIDIARIES

  

Selected Financial and Operating Data

   7

Selected Financial Data

   7

Utility Electric Operating Data

   7

Employees

   7

Owned and Leased Capability

   7

Consolidated Quarterly Financial Metrics

   8

Consolidated Annual Financial Metrics

   8

Consolidated Financial Results

   9

Consolidated Quarterly Results

   9

Consolidated Quarterly Special Items

   10

Consolidated Annual Results

   11

Consolidated Annual Special Items

   12

Description of Special Items

   13

Consolidated Statements of Income

   14

Consolidating Income Statement

   15

Consolidated Balance Sheets

   16 – 17

Consolidating Balance Sheet

   18 – 19

Consolidated Statements of Cash Flow

   20 – 21

Cash Flow Information by Business

   21

Consolidated Statements of Retained Earnings, Comprehensive Income and Paid-In Capital

   22

Consolidated Capital Expenditures

   23

Entergy Corporation Securities Detail

   23

Entergy Corporation Long-Term Debt

   23

Securities Ratings (Outlook)

   23

UTILITY

  

Utility Quarterly Financial Metrics

   24

Utility Annual Financial Metrics

   24

Utility Capital Expenditures

   24

Utility Securities Ratings (Outlook)

   24

Utility Financial Results

   25

Utility/Parent/Other Consolidating Income Statement

   25

Utility/Parent/Other Consolidating Balance Sheet

   26 – 27

Utility Selected Annual Financial Metrics

   28 – 29

Utility Securities Detail

   30

Utility Long-Term Debt and Preferred Stock

   30

Entergy Arkansas, Inc.

   30

Entergy Gulf States Louisiana, L.L.C.

   31

Entergy Louisiana, LLC.

   32

Entergy Louisiana Holdings, Inc.

   32

Entergy Mississippi, Inc.

   33

Entergy New Orleans, Inc.

   34

System Energy Resources, Inc.

   34

Utility Statistical Information

   35

Utility Total Capability

   35

Utility Selected Operating Data

   35

Utility Consolidating Information

   36

Entergy Arkansas, Inc.

   37 – 38

Entergy Gulf States Louisiana, L.L.C.

   39 – 40

Entergy Louisiana, LLC.

   41 – 42

Entergy Mississippi, Inc.

   43 – 44

Entergy New Orleans, Inc.

   45 – 46

System Energy Resources, Inc.

   46

Utility Nuclear Plant Statistics

   47

Utility Regulatory Information

   48

Regulatory Commissions

   48

Commission/Council Members

   48

Select Utility Regulatory Mechanisms

   49

Utility Electric and Gas Fuel Recovery Mechanisms

   50

COMPETITIVE BUSINESSES

  

Total Capacity

   51

ENTERGY NUCLEAR (NON-UTILITY)

  

Entergy Nuclear Quarterly Financial Metrics

   51

Entergy Nuclear Annual Financial Metrics

   51

Entergy Nuclear Quarterly Operational Metrics

   51

Entergy Nuclear Annual Operational Metrics

   51

Entergy Nuclear Plant Statistics

   52

Entergy Nuclear Plant Uprates

   52

Entergy Nuclear Securities Detail

   53

NON-NUCLEAR WHOLESALE ASSETS

  

Non-Nuclear Wholesale Assets Plant Statistics

   53

Non-Nuclear Wholesale Assets Securities Detail

   53

DEFINITIONS OF OPERATIONAL MEASURES AND

GAAP AND NON-GAAP FINANCIAL MEASURES

   54

REG G RECONCILIATIONS

  

Pro Forma Financial Results

   55 – 63

Financial Measures

   64 – 73

INVESTOR INFORMATION

   74

 

1


Table of Contents

ABOUT THIS PUBLICATION

This publication is unaudited and should be used in conjunction with Entergy’s 2007 Annual Report to Shareholders and Form 10-K filed with the Securities and Exchange Commission. It has been prepared for information purposes and is not intended for use in connection with any sale or purchase of, or any offer to buy, any securities of Entergy Corporation or its subsidiaries.

FORWARD-LOOKING INFORMATION

In this report and from time to time, Entergy makes statements as a reporting company concerning its expectations, beliefs, plans, objectives, goals, strategies, and future events or performance. Such statements are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “believes,” “intends,” “plans,” “predicts,” “estimates,” and similar expressions are intended to identify forward-looking statements but are not the only means to identify these statements. Although Entergy believes that these forward-looking statements and the underlying assumptions are reasonable, it cannot provide assurance that they will prove correct. Any forward-looking statement is based on information current as of the date of this report and speaks only as of the date on which such statement is made. Except to the extent required by the federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Forward-looking statements involve a number of risks and uncertainties. There are factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, including (a) those factors discussed or incorporated by reference in Entergy’s 2007 Annual Report on Form 10-K under (i) Item 1A. Risk Factors, (ii) Management’s Financial Discussion and Analysis, and (b) the following factors (in addition to others described elsewhere in this report and in subsequent securities filings):

 

   

resolution of pending and future rate cases and negotiations, including various performance-based rate discussions and implementation of Texas restructuring legislation, and other regulatory proceedings, including those related to Entergy’s System Agreement, Entergy’s utility supply plan, recovery of storm costs, and recovery of fuel and purchased power costs

 

   

changes in utility regulation, including the beginning or end of retail and wholesale competition, the ability to recover net utility assets and other potential stranded costs, the operations of the independent coordinator of transmission that includes Entergy’s utility service territory, and the application of more stringent transmission reliability requirements or market power criteria by the FERC

 

   

changes in regulation of nuclear generating facilities and nuclear materials and fuel, including possible shutdown of nuclear generating facilities, particularly those in the Non-Utility Nuclear business

 

   

resolution of pending or future applications for license extensions or modifications of nuclear generating facilities

 

   

the performance of Entergy’s generating plants, and particularly the capacity factors at its nuclear generating facilities

 

   

Entergy’s ability to develop and execute on a point of view regarding future prices of electricity, natural gas, and other energy-related commodities

 

   

prices for power generated by Entergy’s unregulated generating facilities, the ability to hedge, sell power forward or otherwise reduce the market price risk associated with those facilities, including the Non-Utility Nuclear plants, and the prices and availability of fuel and power Entergy must purchase for its utility customers, and Entergy’s ability to meet credit support requirements for fuel and power supply contracts

 

   

volatility and changes in markets for electricity, natural gas, uranium, and other energy-related commodities

 

   

changes in law resulting from federal energy legislation

 

   

changes in environmental, tax, and other laws, including requirements for reduced emissions of sulfur, nitrogen, carbon, mercury, and other substances

 

   

uncertainty regarding the establishment of interim or permanent sites for spent nuclear fuel and nuclear waste storage and disposal

 

   

variations in weather and the occurrence of hurricanes and other storms and disasters, including uncertainties associated with efforts to remediate the effects of Hurricanes Katrina and Rita and recovery of costs associated with restoration

 

   

Entergy’s and its subsidiaries’ ability to manage their operation and maintenance costs

 

   

Entergy’s ability to purchase and sell assets at attractive prices and on other attractive terms

 

   

the economic climate, and particularly growth in Entergy’s service territory

 

   

the effects of Entergy’s strategies to reduce tax payments

 

   

changes in the financial markets, particularly those affecting the availability of capital and Entergy’s ability to refinance existing debt, execute its share repurchase program, and fund investments and acquisitions

 

   

actions of rating agencies, including changes in the ratings of debt and preferred stock, changes in general corporate ratings, and changes in the rating agencies’ ratings criteria

 

   

changes in inflation and interest rates

 

   

the effect of litigation and government investigations

 

   

advances in technology

 

   

the potential effects of threatened or actual terrorism and war

 

   

Entergy’s ability to attract and retain talented management and directors

 

   

changes in accounting standards and corporate governance

 

   

and the following transactional factors (in addition to others described elsewhere in this and in subsequent securities filings): (i) risks inherent in the contemplated Non-Utility Nuclear spin-off, joint venture and related transactions (including the level of debt incurred by the spun-off company and the terms and costs related thereto); (ii) legislative and regulatory actions; and (iii) conditions of the capital markets during the periods covered by the forward- looking statements. Entergy Corporation cannot provide any assurances that the spin-off or any of the proposed transactions related thereto will be completed, nor can it give assurances as to the terms on which such transactions will be consummated. The transaction is subject to certain conditions precedent, including regulatory approvals and the final approval by the Board.

FINANCIAL MEASURES

Financial performance measures shown in this report include those calculated and presented in accordance with generally accepted accounting principles (GAAP), as well as those that are considered non-GAAP measures. This report includes non-GAAP measures of operational earnings, operational return on average invested capital, operational return on average common or members’ equity, operational net margin, operational price to earnings ratio and operational common dividend payout ratio, as well as gross liquidity, net debt to net capital, net debt to net capital with off-balance sheet liabilities, pro forma financial results reflecting reconsolidation of Entergy New Orleans, Inc., and pro forma financial results and financial measures (average common equity, return on average common equity, debt to capital ratio, cash flow interest coverage) reflecting the jurisdictional separation of Entergy Gulf States, Inc. into Entergy Gulf States Louisiana, L.L.C. and Entergy Texas, Inc., when describing Entergy’s results of operations and financial performance. We have prepared reconciliations of these measures to the most directly comparable GAAP measures. Reconciliations can be found on pages 9, 11, and 55-73.

 

2


Table of Contents

ENTERGY AT A GLANCE

CORPORATE STRUCTURE

LOGO

CORPORATE PROFILE

Entergy Corporation is a Fortune 500 integrated energy company engaged primarily in electric power production and retail distribution operations.

 

   

Approximately 30,000 MW electric generating capacity

 

   

2nd-largest U.S. nuclear generator

 

   

2.7 million utility customers

 

   

More than $11 billion annual revenues

 

   

Approximately 14,300 employees

 

   

97 electric generating units operated

BUSINESS SEGMENTS

Entergy’s five year results in this report are presented in three business segments:

 

   

Utility

 

   

Entergy Nuclear (non-utility nuclear business)

 

   

Energy Commodity Services

Entergy Nuclear and Energy Commodity Services are referred to as Entergy’s Competitive Businesses.

Entergy-Koch, LP sold Entergy-Koch Trading and Gulf South Pipeline in the fourth quarter of 2004, and Entergy-Koch is no longer an operating entity.

 

3


Table of Contents

BUSINESS SEGMENTS (CONTINUED)

UTILITY

Entergy’s utility companies generate, transmit, distribute, and sell electric power, and operate a small natural gas distribution business.

 

 

Six electric utilities with 2.7 million customers

 

 

Four states – Arkansas, Louisiana, Mississippi, Texas

 

 

22,000 MW generating capacity

 

 

Two gas utilities with 178,000 customers

ENTERGY ARKANSAS, INC. (EAI)

Entergy Arkansas generates, transmits, distributes, and sells electric power to 684,000 retail customers in portions of Arkansas.

ENTERGY GULF STATES LOUISIANA, L.L.C. (EGSL)(b)

Entergy Gulf States Louisiana generates, transmits, distributes, and sells electric power to 371,000 retail customers in portions of Louisiana. Entergy Gulf States Louisiana also provides natural gas utility service to 92,000 customers in the Baton Rouge, Louisiana area.

ENTERGY LOUISIANA, LLC (ELL)

Entergy Louisiana generates, transmits, distributes, and sells electric power to 655,000 retail customers in portions of Louisiana.

ENTERGY MISSISSIPPI, INC. (EMI)

Entergy Mississippi generates, transmits, distributes, and sells electric power to 432,000 retail customers in portions of Mississippi.

ENTERGY NEW ORLEANS, INC. (ENOI)(a)

Entergy New Orleans generates, transmits, distributes, and sells electric power to 132,000 retail customers in the city of New Orleans, Louisiana. Entergy New Orleans also provides natural gas utility service to 86,000 customers in the City of New Orleans.

ENTERGY TEXAS, INC. (ETI)(b)

Entergy Texas generates, transmits, distributes, and sells electric power to 394,000 retail customers in portions of Texas.

SYSTEM ENERGY RESOURCES, INC. (SERI)

System Energy owns and leases 90 percent of the Grand Gulf 1 nuclear generating facility. System Energy sells power and capacity from Grand Gulf 1 at wholesale to Entergy Arkansas, Entergy Louisiana, Entergy Mississippi, and Entergy New Orleans.

UTILITY NUCLEAR PLANTS

Entergy owns and operates five nuclear units at four plant sites to serve its regulated utility business: Arkansas Nuclear One (ANO) Units 1 and 2 near Russelville, Arkansas; Grand Gulf Nuclear Station in Port Gibson, Mississippi; River Bend Station in St. Francisville, Louisiana; and Waterford 3 in Taft, Louisiana.

 

(a)

On September 23, 2005, Entergy New Orleans filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code to protect its customers and ensure continued progress in restoring power and gas service to New Orleans after Hurricane Katrina. As a result of the bankruptcy filing, Entergy discontinued the consolidation of Entergy New Orleans retroactive to January 1, 2005. Entergy New Orleans emerged from Chapter 11 bankruptcy effective May 8, 2007, pursuant to the Confirmation Order from the Bankruptcy Court confirming Entergy New Orleans’ Plan of Reorganization. With confirmation of the plan of reorganization, Entergy reconsolidated Entergy New Orleans in the second quarter 2007, retroactive to January 1, 2007.

 

(b)

Effective December 31, 2007, Entergy Gulf States, Inc. completed a jurisdictional separation into two vertically integrated utility companies, one operating under the sole retail jurisdiction of the PUCT, Entergy Texas, Inc., and the other operating under the sole retail jurisdiction of the LPSC, Entergy Gulf States Louisiana, L.L.C., Entergy Gulf States Louisiana, L.L.C. is the successor for financial reporting purposes to Entergy Gulf States, Inc.

ENTERGY NUCLEAR

Entergy’s non-utility nuclear business owns and operates six nuclear units in the northern United States. This business is primarily focused on selling power produced by those plants to wholesale customers. This business also provides operations and management services to nuclear power plants owned by other utilities in the United States.

 

 

Six units in northern U.S.

 

   

Pilgrim Nuclear Station in Plymouth, Massachusetts

 

   

James A. FitzPatrick in Oswego, New York

 

   

Indian Point Units 2 and 3 in Westchester County, New York

 

   

Vermont Yankee in Vernon, Vermont

 

   

Palisades Nuclear Energy Plant in South Haven, Michigan (acquired April 2007)

 

 

4,998 MW owned generating capacity

 

 

800 MW under management services contract

 

   

Cooper Nuclear Station located near Brownville, Nebraska

 

 

Contracts (ongoing and completed) with other nuclear owners to manage decommissioning for 2 plants and license renewal (in partnership with Areva) for 3 plants

ENEXUS ENERGY CORPORATION/EQUAGEN, L.L.C.

In November 2007, Entergy’s Board of Directors approved a plan to pursue a separation of the Non-Utility Nuclear business from Entergy through a tax-free spin-off of Non-Utility Nuclear to Entergy shareholders. Enexus will be a new, separate, and publicly-traded company. In addition, under the plan, Enexus and Entergy are expected to enter into a nuclear services business joint venture, EquaGen, with 50% ownership by Enexus and 50% ownership by Entergy.

Entergy expects that Enexus’ business will be substantially comprised of Non-Utility Nuclear’s assets, including its six nuclear units, and Non-Utility Nuclear’s power marketing operation. Entergy’s remaining business will primarily be comprised of the Utility business. EquaGen is expected to operate the nuclear assets owned by Enexus. EquaGen is also expected to offer nuclear services to third parties, including decommissioning, plant relicensing, and plant operations for the Cooper Nuclear Station and others.

Entergy is targeting around the end of the third quarter of 2008 as the effective date for the spin-off and nuclear services business joint venture transactions to be completed.

ENERGY COMMODITY SERVICES

The energy commodity services business includes Entergy-Koch and Entergy’s Non-Nuclear Wholesale Assets business. Entergy-Koch engaged in two major businesses: energy commodity marketing and trading through Entergy-Koch Trading, and gas transportation and storage through Gulf South Pipeline. Entergy-Koch sold both of these businesses in the fourth quarter of 2004, and Entergy-Koch is no longer an operating entity.

NON-NUCLEAR WHOLESALE ASSETS BUSINESS

Entergy’s Non-Nuclear Wholesale Assets business sells to wholesale customers the electric power produced by power plants that it owns or controls (1,578 net MW generating capacity) while it focuses on improving performance and exploring sales or restructuring opportunities for its power plants. Such opportunities are evaluated consistent with Entergy’s market-based point of view.

 

4


Table of Contents

EXECUTIVE PROFILES

LOGO

WAYNE LEONARD – CHAIRMAN AND CHIEF EXECUTIVE OFFICER

Wayne Leonard became Entergy’s chairman and chief executive officer on August 1, 2006 after serving as chief executive officer since January 1, 1999. Leonard joined Entergy in April 1998 as president and chief operating officer of the company’s domestic business, and he assumed additional responsibility for international operations in August 1998. Under Leonard, Entergy has achieved the highest total shareholder return in the industry over the last nine years. In 2007, for the sixth consecutive year, Entergy was named to the Dow Jones Sustainability Index-World and the only U.S. company in the electricity sector listed. In 2005 and 2002, Entergy was honored to receive the electric power industry’s highest honor, the Edison Award, from the Edison Electric Institute. The Platts Global Energy Awards named Leonard 2003 CEO of the Year and Leonard has been a CEO of the Year finalist for the past seven consecutive years. Prior to joining Entergy, Leonard was president of Cinergy’s Energy Commodities Strategic Business Unit and president of Cinergy Capital Trading.

LOGO

RICHARD SMITH – PRESIDENT AND CHIEF OPERATING OFFICER

Rick Smith became president and chief operating officer of Entergy Corporation in April 2007. He is responsible for oversight of Entergy Nuclear and Entergy Operations. Smith was previously group president, utility operations (January 2002). Smith joined Entergy in September 1999 as senior vice president, transition management and later served as president of retail operations. Prior to joining Entergy, Smith was president of Cinergy Resources, Inc., a non-regulated retail supply business. Prior to that, he served for three years as vice president of finance for Cinergy’s Energy Services business unit.

LOGO

LEO DENAULT – EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER

Leo Denault became executive vice president and chief financial officer in February 2004. He was previously vice president of corporate development and strategic planning. Denault joined Entergy in March 1999 as vice president, corporate development. Denault assumed responsibility for the areas of strategic planning, the Office of the Chief Risk Officer, and strategic pricing and transmission services in 2002. Prior to joining Entergy, Denault was vice president of corporate development at Cinergy Corporation, where he reviewed every major investment transaction, including the acquisition of generation, distribution and trading businesses in the United States and abroad.

LOGO

GARY TAYLOR – GROUP PRESIDENT, UTILITY OPERATIONS

Gary Taylor became group president, utility operations in April 2007. He is responsible for the regulated utility financial results, along with operational results of electric and natural gas distribution and customer service. In addition, Taylor oversees utility regulatory support and regulated retail activities. He joined Entergy in March 2000 as chief operating officer of Entergy’s Nuclear South region and became chief executive officer of Entergy’s nuclear business in April 2003. Prior to joining Entergy, Taylor had been vice president of nuclear operations at South Carolina Electric & Gas Company, a subsidiary of SCANA Corporation, since 1995.

LOGO

MICHAEL KANSLER – PRESIDENT AND CHIEF NUCLEAR OFFICER, ENTERGY NUCLEAR

Mike Kansler became president and chief nuclear officer of Entergy Nuclear in April 2007. He is responsible for all of Entergy’s nuclear plants located throughout New York, Massachusetts, Vermont, Michigan, Louisiana, Mississippi and Arkansas, as well as the company’s management of the Cooper Nuclear Station for the State of Nebraska. Kansler was previously president of Entergy Nuclear Northeast (January 2003) and chief operating officer of Entergy Nuclear Northeast (January 2000). Kansler joined Entergy in 1998 as vice president of operations support, overseeing consolidated support functions for all five of Entergy’s regulated nuclear power units. Prior to joining Entergy, Kansler spent more than 20 years at Virginia Power (now Dominion Resources).

LOGO

CURT HÉBERT – EXECUTIVE VICE PRESIDENT, EXTERNAL AFFAIRS

Curt Hébert joined Entergy as executive vice president, external affairs in September 2001 after a lengthy career as a government energy regulator at both the federal and state levels. His responsibilities include supervision of the company’s system and federal government relations, system regulatory affairs, external and internal communications, and corporate contribution functions. Prior to joining Entergy, Hébert was chairman of the Federal Energy Regulatory Commission. During Hébert’s four years of service as a member and later chairman, FERC was active in the restructuring of the electric utility and natural gas pipeline industries to promote competition.

LOGO

MARK SAVOFF – EXECUTIVE VICE PRESIDENT, OPERATIONS

Mark Savoff joined Entergy as executive vice president, operations in December 2003. He is responsible for the business operations of fossil generation, transmission operations, system safety and environment, supply chain, system planning, and performance management. Prior to joining Entergy, Savoff was vice president and corporate officer at GE Power Systems, Nuclear Energy. Before assuming his role as vice president, Nuclear Energy, he was General Manager of GE’s global nuclear fuel business and led the turnaround of GE’s global nuclear services business. He also served as president, Reuter-Stokes, a GE subsidiary.

 

5


Table of Contents

UTILITY OPERATING COMPANY PRESIDENTS

LOGO

RENAE CONLEY – PRESIDENT & CEO, ENTERGY LOUISIANA AND ENTERGY GULF STATES LOUISIANA

Renae Conley became president and CEO of Entergy Louisiana and Entergy Gulf States Louisiana in mid-2000. She is responsible for the Louisiana utilities’ electric and gas distribution systems, customer service, economic development, regulatory and governmental affairs. Prior to joining Entergy in 1999 as vice president of investor relations, Conley was president of The Cincinnati Gas & Electric Company, a subsidiary of Cinergy Corp. Conley also served as president and CEO of Cadence, a joint venture of Cinergy and other utilities that provides energy management services. At Cinergy, Conley was also general manager of corporate communications and investor relations.

LOGO

JOE DOMINO – PRESIDENT & CEO, ENTERGY TEXAS

Joe Domino became president and CEO of Entergy Texas in 1998. He is responsible for Entergy Texas’ electric distribution system, customer service, economic development, regulatory and governmental affairs. Prior to being named president, he served as director of Entergy’s distribution operations in Texas and Southwest Louisiana. Domino joined Gulf States Utilities in 1970 as a planning engineer and was appointed director of Southern Region fossil plants in 1994.

LOGO

HUGH McDONALD – PRESIDENT & CEO, ENTERGY ARKANSAS

Hugh McDonald became president and CEO of Entergy Arkansas in spring 2000. He is responsible for Entergy Arkansas’ electric distribution system, customer service, economic development, regulatory and governmental affairs. Prior to becoming Entergy Arkansas’ president, he led Entergy’s Retail Operations. McDonald joined Entergy in 1982 at the Waterford 3 nuclear plant. In 1989, he became executive assistant to the chairman of Entergy Louisiana/Entergy New Orleans and then led Entergy Louisiana’s Total Quality initiative until 1993. During Entergy’s merger with Gulf States Utilities, McDonald served as the special projects director for the functional integration of the transmission, distribution, and customer service organizations. McDonald has also held the positions of division manager for Entergy Mississippi and director of regulatory affairs, Entergy Texas.

LOGO

CAROLYN SHANKS – PRESIDENT & CEO, ENTERGY MISSISSIPPI

Carolyn Shanks became president and CEO of Entergy Mississippi in July 1999. She is responsible for Entergy Mississippi’s electric distribution system, customer service, economic development, regulatory and governmental affairs. Shanks joined Entergy in 1983 as an accountant with Entergy Mississippi and later transferred to System Energy Resources, Inc., the subsidiary responsible for the operations of Grand Gulf Nuclear Station. In 1994, she was named director of business services for Entergy Operations, Inc., the subsidiary that manages Entergy’s five nuclear power plants in its retail electric service area. Shanks became vice president, finance and administration of Entergy Nuclear in February 1997.

LOGO

ROD WEST – PRESIDENT & CEO, ENTERGY NEW ORLEANS

Rod West became president and CEO of Entergy New Orleans on January 1, 2007. He is responsible for Entergy New Orleans’ electric distribution system, customer service, economic development, regulatory and governmental affairs. West was previously director of Entergy New Orleans’ metro distribution operations. West’s primary responsibility during 2006 was restoring New Orleans’ electric distribution system after the devastation brought by Hurricane Katrina. Prior to joining Entergy in April 1999 as senior regulatory counsel, West was senior attorney in the New Orleans office of Vial, Hamilton, Koch and Knox, L.L.P, having previously spent five years with the New Orleans-based firm of Jones, Walker, Waechter, Poitevent, Carrere & Denegre, L.L.P.

 

6


Table of Contents

CONSOLIDATED SELECTED DATA

CONSOLIDATED ENTERGY CORPORATION AND SUBSIDIARIES DATA

SELECTED FINANCIAL AND OPERATING DATA

SELECTED FINANCIAL DATA

 

      2007     2006(a)     2005(a)     2004     2003  
     (In millions, except percentages, per share amounts, and ratios)  

GAAP MEASURES

          

Operating Revenues

   $ 11,484     $ 10,932     $ 10,106     $ 9,686     $ 9,033  

As-Reported Earnings

   $ 1,135     $ 1,133     $ 898     $ 910     $ 927  

As-Reported Earnings Per Share

   $ 5.60     $ 5.36     $ 4.19     $ 3.93     $ 4.01  

Shares of Common Stock Outstanding:

          

End of Year

     193.1       202.7       207.5       216.8       228.9  

Weighted Average – Diluted

     202.8       211.5       214.4       231.2       231.1  

Return on Average Invested Capital – As-Reported

     8.3 %     8.5 %     7.2 %     7.3 %     7.4 %

Return on Average Common Equity – As-Reported

     14.1 %     14.2 %     11.2 %     10.7 %     11.2 %

Net Cash Flow Provided by Operating Activities

   $ 2,560     $ 3,448     $ 1,468     $ 2,929     $ 2,006  

Year-End Closing Market Price Per Share of Common Stock

   $ 119.52     $ 92.32     $ 68.65     $ 67.59     $ 57.13  

Book Value Per Share at End of Year

   $ 40.71     $ 40.45     $ 37.31     $ 38.25     $ 38.02  

Market Value of Equity at End of Year

   $ 23,082     $ 18,710     $ 14,247     $ 14,655     $ 13,077  

Price to Earnings Ratio – As-Reported

     21.34       17.24       16.39       17.18       14.25  

Common Dividend Paid Per Share

   $ 2.58     $ 2.16     $ 2.16     $ 1.89     $ 1.60  

Common Dividend Payout Ratio – As-Reported

     46 %     40 %     52 %     48 %     40 %

NON-GAAP MEASURES

          

Operational Earnings

   $ 1,167     $ 998     $ 943     $ 880     $ 982  

Operational Earnings Per Share

   $ 5.76     $ 4.72     $ 4.40     $ 3.80     $ 4.25  

Special Items Per Share

   $ (0.16 )   $ 0.64     $ (0.21 )   $ 0.13     $ (0.24 )

Return on Average Invested Capital – Operational

     8.5 %     7.7 %     7.5 %     7.1 %     7.7 %

Return on Average Common Equity – Operational

     14.5 %     12.5 %     11.8 %     10.4 %     11.9 %

Price to Earnings Ratio – Operational

     20.75       19.56       15.61       17.77       13.45  

Common Dividend Payout Ratio – Operational

     45 %     46 %     49 %     50 %     38 %

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

UTILITY ELECTRIC OPERATING DATA(a)

 

      2007    2006    2005    2004    2003

Retail Kilowatt-Hour Sales (millions)

   102,013    100,422    99,865    102,225    99,968

Peak Demand (megawatts)

   22,001    20,887    21,391    21,174    20,162

Retail Customers – Year End (thousands)

   2,668    2,595    2,629    2,662    2,631

 

(a)

Includes Entergy New Orleans, Inc.

EMPLOYEES

 

      2007    2006    2005    2004    2003

Total Employees – Year End

   14,322    13,814    14,136    14,425    14,773

OWNED AND LEASED CAPABILITY (MW)(a)

 

      Entergy
Arkansas
   Entergy
Gulf States
Louisiana
   Entergy
Louisiana
   Entergy
Mississippi
   Entergy
New Orleans
   Entergy
Texas
   System
Entergy
   Entergy
Nuclear
  

Non-

Nuclear
Wholesale
(c)

   Total

Gas/Oil

   1,371    2,623    4,814    2,887    760    2,273    —      —      1,317    16,045

Coal

   1,198    360    —      420    —      266    —      —      181    2,425

Total Fossil

   2,569    2,983    4,814    3,307    760    2,539    —      —      1,498    18,470

Nuclear

   1,838    970    1,157    —      —      —      1,141    4,998    —      10,104

Other(b)

   67    —      —      —      —      —      —      —      80    147

Total

   4,474    3,953    5,971    3,307    760    2,539    1,141    4,998    1,578    28,721

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

(b)

Other includes Hydro and Wind.

 

(c)

Reflects nameplate rating of generating unit.

 

7


Table of Contents

CONSOLIDATED SELECTED DATA

CONSOLIDATED ENTERGY CORPORATION AND SUBSIDIARIES DATA

CONSOLIDATED QUARTERLY FINANCIAL METRICS

 

     2007    2006(a)   

YTD %

CHANGE

 
      1Q    2Q    3Q    4Q    YTD    1Q    2Q    3Q    4Q    YTD   

GAAP MEASURES

                                

As-Reported Earnings ($ millions)

   212.2    267.6    461.2    193.9    1,134.8    193.6    281.8    388.9    268.3    1,132.6    0.2  

Return on Average Invested Capital – As-Reported (%)*

   8.4    8.2    8.6    8.3    8.3    7.3    7.3    7.5    8.5    8.5    (2.4 )

Return on Average Common Equity – As-Reported (%)*

   14.5    14.2    14.6    14.1    14.1    11.5    11.3    11.6    14.2    14.2    (0.7 )

Net Margin – As-Reported (%)*

   10.2    10.0    10.7    9.9    9.9    8.7    8.5    8.6    10.4    10.4    (4.8 )

Cash Flow Interest Coverage (# times)*

   6.1    5.8    5.3    5.0    5.0    5.0    5.2    6.0    7.2    7.2    (30.6 )

Revolver Capacity ($ millions)

   2,170    1,650    1,804    1,730    1,730    2,718    2,710    3,095    2,770    2,770    (37.5 )

Total Debt ($ millions)

   10,100    10,936    11,194    11,123    11,123    9,329    9,402    9,054    9,356    9,356    18.9  

Debt to Capital Ratio (%)

   55.2    57.3    57.3    57.6    57.6    52.1    52.4    50.4    52.3    52.3    10.1  

Off-Balance Sheet Liabilities ($ millions)

   668    664    662    658    658    732    671    668    665    665    (1.1 )

NON-GAAP MEASURES

                                

Operational Earnings ($ millions)

   212.2    267.6    461.2    225.9    1,166.9    190.2    258.0    382.6    166.9    997.7    17.0  

Return on Average Invested Capital – Operational (%)*

   7.7    7.6    8.1    8.5    8.5    7.5    7.4    7.5    7.7    7.7    10.4  

Return on Average Common Equity – Operational (%)*

   12.8    12.9    13.4    14.5    14.5    12.0    11.5    11.6    12.5    12.5    16.0  

Net Margin – Operational (%)*

   9.0    9.1    9.8    10.2    10.2    9.1    8.6    8.6    9.1    9.1    12.1  

Total Gross Liquidity ($ millions)

   3,270    2,970    3,271    3,003    3,003    3,470    3,439    3,840    3,786    3,786    (21.2 )

Net Debt to Net Capital Ratio (%)

   52.3    54.1    53.9    54.7    54.7    50.0    50.4    48.3    49.4    49.4    10.7  

Net Debt Ratio Including Off-Balance Sheet Liabilities (%)

   54.1    55.8    55.5    56.2    56.2    52.1    52.2    50.2    51.3    51.3    9.7  

 

(a)

2006 reflects deconsolidation of Entergy New Orleans, Inc.

 

* Trailing twelve months. Totals may not foot due to rounding.

CONSOLIDATED ANNUAL FINANCIAL METRICS

 

      2007    2006(a)    2005(a)    2004    2003

GAAP MEASURES

              

As-Reported Earnings ($ millions)

   1,135    1,133    898    910    927

Return on Average Invested Capital – As-Reported (%)

   8.3    8.5    7.2    7.3    7.4

Return on Average Common Equity – As-Reported (%)

   14.1    14.2    11.2    10.7    11.2

Net Margin – As-Reported (%)

   9.9    10.4    8.9    9.4    10.3

Cash Flow Interest Coverage (# times)

   5.0    7.2    4.0    7.1    5.1

Revolver Capacity ($ millions)

   1,730    2,770    2,545    1,490    1,553

Total Debt ($ millions)

   11,123    9,356    9,288    7,807    8,182

Debt to Capital Ratio (%)

   57.6    52.3    53.1    47.4    47.5

Off-Balance Sheet Liabilities ($ millions)

              

Debt of Joint Ventures – Entergy’s Share

   135    146    214    173    414

Leases – Entergy’s Share

   523    519    564    596    501

Total

   658    665    778    769    915

NON-GAAP MEASURES

              

Operational Earnings ($ millions)

   1,167    998    943    880    982

Return on Average Invested Capital – Operational (%)

   8.5    7.7    7.5    7.1    7.7

Return on Average Common Equity – Operational (%)

   14.5    12.5    11.8    10.4    11.9

Net Margin – Operational (%)

   10.2    9.1    9.3    9.1    10.9

Total Gross Liquidity ($ millions)

   3,003    3,786    3,128    2,110    2,060

Net Debt to Net Capital Ratio (%)

   54.7    49.4    51.5    45.3    45.9

Net Debt Ratio Including Off-Balance Sheet Liabilities (%)

   56.2    51.3    53.7    47.9    48.7

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

 

8


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

ENTERGY CORPORATION CONSOLIDATED QUARTERLY RESULTS – GAAP TO NON-GAAP RECONCILIATION

 

     2007     2006    

YTD

CHANGE

 
      1Q     2Q    3Q     4Q     YTD     1Q     2Q    3Q     4Q     YTD    
     ($/share)  

AS-REPORTED

                        

Utility/Parent/Other

   0.44     0.59    1.52     0.12     2.67     0.54     1.00    1.35     1.08     3.97     (1.30 )

Competitive Businesses

                        

Entergy Nuclear

   0.62     0.54    0.80     0.70     2.66     0.39     0.30    0.50     0.27     1.46     1.20  

Energy Commodity Services

                        

Non-Nuclear Wholesale Assets

   (0.03 )   0.19    (0.02 )   0.14     0.27     (0.01 )   0.03    (0.02 )   (0.08 )   (0.07 )   0.34  

Total Energy Commodity Services

   (0.03 )   0.19    (0.02 )   0.14     0.27     (0.01 )   0.03    (0.02 )   (0.08 )   (0.07 )   0.34  

Total Competitive Businesses

   0.59     0.73    0.78     0.84     2.93     0.38     0.33    0.48     0.19     1.39     1.54  

Consolidated As-reported Earnings

   1.03     1.32    2.30     0.96     5.60     0.92     1.33    1.83     1.27     5.36     0.24  

LESS SPECIAL ITEMS

                        

Utility/Parent/Other

   —       —      —       (0.07 )   (0.07 )   0.02     0.11    0.03     0.61     0.77     (0.84 )

Competitive Businesses

                        

Entergy Nuclear

   —       —      —       (0.09 )   (0.09 )   —       —      —       —       —       (0.09 )

Energy Commodity Services

                        

Non-Nuclear Wholesale Assets

   —       —      —       —       —       —       —      —       (0.13 )   (0.13 )   0.13  

Total Energy Commodity Services

   —       —      —       —       —       —       —      —       (0.13 )   (0.13 )   0.13  

Total Competitive Businesses

   —       —      —       (0.09 )   (0.09 )   —       —      —       (0.13 )   (0.13 )   0.04  

Total Special Items

   —       —      —       (0.16 )   (0.16 )   0.02     0.11    0.03     0.48     0.64     (0.80 )

OPERATIONAL

                        

Utility/Parent/Other

   0.44     0.59    1.52     0.19     2.74     0.52     0.89    1.32     0.47     3.20     (0.46 )

Competitive Businesses

                        

Entergy Nuclear

   0.62     0.54    0.80     0.79     2.75     0.39     0.30    0.50     0.27     1.46     1.29  

Energy Commodity Services

                        

Non-Nuclear Wholesale Assets

   (0.03 )   0.19    (0.02 )   0.14     0.27     (0.01 )   0.03    (0.02 )   0.05     0.06     0.21  

Total Energy Commodity Services

   (0.03 )   0.19    (0.02 )   0.14     0.27     (0.01 )   0.03    (0.02 )   0.05     0.06     0.21  

Total Competitive Businesses

   0.59     0.73    0.78     0.93     3.02     0.38     0.33    0.48     0.32     1.52     1.50  

Consolidated Operational Earnings

   1.03     1.32    2.30     1.12     5.76     0.90     1.22    1.80     0.79     4.72     1.04  

Weather Impact

   (0.02 )   0.01    0.06     0.06     0.11     (0.06 )   0.07    0.06     —       0.07     0.04  

SHARES OF COMMON STOCK OUTSTANDING (in millions)

                        

End of Period

   197.8     196.1    194.3     193.1     193.1     207.9     208.1    208.6     202.7     202.7     (9.6 )

Weighted Average - Diluted

   206.1     203.4    200.5     200.9     202.8     211.4     211.6    212.4     210.6     211.5     (8.7 )

Totals may not foot due to rounding and accretion from share repurchase program.

 

9


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

ENTERGY CORPORATION CONSOLIDATED QUARTERLY SPECIAL ITEMS (Shown as Positive/(Negative) Impact on Earnings)

 

     2007     2006     YTD
CHANGE
 
      1Q    2Q    3Q    4Q     YTD     1Q     2Q    3Q     4Q     YTD    
     ($/share)  

UTILITY/PARENT/OTHER SPECIAL ITEMS

                          

Nuclear alignment

   —      —      —      (0.07 )   (0.07 )   —       —      —       —       —       (0.07 )

ENOI results

   —      —      —      —       —       0.03     0.05    0.03     (0.09 )   0.02     (0.02 )

Entergy-Koch, LP gain

   —      —      —      —       —       —       —      —       0.26     0.26     (0.26 )

Restructuring-Entergy-Koch, LP distribution

   —      —      —      —       —       —       —      —       0.49     0.49     (0.49 )

Retail business discontinued operations

   —      —      —      —       —       (0.01 )   0.06    —       (0.05 )   —       —    

Total

   —      —      —      (0.07 )   (0.07 )   0.02     0.11    0.03     0.61     0.77     (0.84 )

COMPETITIVE BUSINESSES SPECIAL ITEMS

                          

Entergy Nuclear

                          

Nuclear alignment

   —      —      —      (0.09 )   (0.09 )   —       —      —       —       —       (0.09 )

Energy Commodity Services

                          

Non-Nuclear Wholesale Assets

                          

Write-off of tax capital losses

   —      —      —      —       —       —       —      —       (0.13 )   (0.13 )   0.13  

Total

   —      —      —      (0.09 )   (0.09 )   —       —      —       (0.13 )   (0.13 )   0.04  

TOTAL SPECIAL ITEMS

   —      —      —      (0.16 )   (0.16 )   0.02     0.11    0.03     0.48     0.64     (0.80 )
     2007     2006     YTD
CHANGE
 
      1Q    2Q    3Q    4Q     YTD     1Q     2Q    3Q     4Q     YTD    
     ($ millions)  

UTILITY/PARENT/OTHER SPECIAL ITEMS

                          

Nuclear alignment

   —      —      —      (13.6 )   (13.6 )   —       —      —       —       —       (13.6 )

ENOI results

   —      —      —      —       —       5.6     10.7    7.3     (19.6 )   4.1     (4.1 )

Entergy-Koch, LP gain

   —      —      —      —       —       —       —      —       55.0     55.0     (55.0 )

Restructuring-Entergy-Koch, LP distribution

   —      —      —      —       —       —       —      —       104.0     104.0     (104.0 )

Retail business discontinued operations

   —      —      —      —       —       (2.2 )   13.1    (1.0 )   (10.3 )   (0.5 )   0.5  

Total

   —      —      —      (13.6 )   (13.6 )   3.4     23.8    6.3     129.1     162.6     (176.2 )

COMPETITIVE BUSINESSES SPECIAL ITEMS

                          

Entergy Nuclear

   —      —      —      —       —       —       —      —       —       —       —    

Nuclear alignment

   —      —      —      (18.4 )   (18.4 )   —       —      —       —       —       (18.4 )

Energy Commodity Services

                          

Non-Nuclear Wholesale Assets

   —      —      —      —       —       —       —      —       —       —       —    

Write-off of tax capital losses

   —      —      —      —       —       —       —      —       (27.7 )   (27.7 )   27.7  

Total

   —      —      —      (18.4 )   (18.4 )   —       —      —       (27.7 )   (27.7 )   9.3  

TOTAL SPECIAL ITEMS

   —      —      —      (32.0 )   (32.0 )   3.4     23.8    6.3     101.4     134.9     (166.9 )

Totals may not foot due to rounding and accretion from share repurchase program.

 

10


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

ENTERGY CORPORATION CONSOLIDATED ANNUAL RESULTS – GAAP TO NON-GAAP RECONCILIATION

 

      2007     2006     2005     2004     2003  
     ($/share)  

AS-REPORTED

          

Utility/Parent/Other

   2.67     3.97     2.82     2.86     1.93  

Competitive Businesses

          

Entergy Nuclear

   2.66     1.46     1.32     1.06     1.30  

Energy Commodity Services

          

Non-Nuclear Wholesale Assets

   0.27     (0.07 )   0.05     0.23     (0.10 )

Entergy-Koch Trading

   —       —       —       (0.35 )   0.80  

Gulf South Pipeline

   —       —       —       0.13     0.08  

Total Energy Commodity Services

   0.27     (0.07 )   0.05     0.01     0.78  

Total Competitive Businesses

   2.93     1.39     1.37     1.07     2.08  

Consolidated As-reported Earnings

   5.60     5.36     4.19     3.93     4.01  

LESS SPECIAL ITEMS

          

Utility/Parent/Other

   (0.07 )   0.77     (0.21 )   0.07     (0.69 )

Competitive Businesses

          

Entergy Nuclear

   (0.09 )   —       —       —       0.45  

Energy Commodity Services

          

Non-Nuclear Wholesale Assets

   —       (0.13 )   —       0.28     —    

Entergy-Koch Trading

   —       —       —       (0.35 )   —    

Gulf South Pipeline

   —       —       —       0.13     —    

Total Energy Commodity Services

   —       (0.13 )   —       0.06     —    

Total Competitive Businesses

   (0.09 )   (0.13 )   —       0.06     0.45  

Total Special Items

   (0.16 )   0.64     (0.21 )   0.13     (0.24 )

OPERATIONAL

          

Utility/Parent/Other

   2.74     3.20     3.03     2.79     2.62  

Competitive Businesses

          

Entergy Nuclear

   2.75     1.46     1.32     1.06     0.85  

Energy Commodity Services

          

Non-Nuclear Wholesale Assets

   0.27     0.06     0.05     (0.05 )   (0.10 )

Entergy-Koch Trading

   —       —       —       —       0.80  

Gulf South Pipeline

   —       —       —       —       0.08  

Total Energy Commodity Services

   0.27     0.06     0.05     (0.05 )   0.78  

Total Competitive Businesses

   3.02     1.52     1.37     1.01     1.63  

Consolidated Operational Earnings

   5.76     4.72     4.40     3.80     4.25  
Weather Impact    0.11     0.07     0.10     (0.11 )   (0.05 )

 

11


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

ENTERGY CORPORATION CONSOLIDATED ANNUAL SPECIAL ITEMS (Shown as Positive/(Negative) Impact on Earnings)

 

      2007     2006     2005     2004     2003  
     ($/share)  

UTILITY/PARENT/OTHER SPECIAL ITEMS

          

Nuclear alignment

   (0.07 )   —       —       —       —    

ENOI results

   —       0.02     —       —       —    

Entergy-Koch, LP gain

   —       0.26     —       —       —    

Restructuring – Entergy-Koch, LP distribution

   —       0.49     —       —       —    

Retail business impairment reserve

   —       —       (0.12 )   —       —    

Retail business discontinued operations

   —       —       (0.09 )   —       —    

Tax benefits – Entergy-Koch investment

   —       —       —       0.07     —    

River Bend loss provision

   —       —       —       —       (0.29 )

SFAS 143 implementation

   —       —       —       —       (0.09 )

Voluntary severance plan

   —       —       —       —       (0.31 )

Total

   (0.07 )   0.77     (0.21 )   0.07     (0.69 )

COMPETITIVE BUSINESSES SPECIAL ITEMS

          

Entergy Nuclear

          

Nuclear alignment

   (0.09 )   —       —       —       —    

SFAS 143 implementation

   —       —       —       —       0.67  

Voluntary severance plan

   —       —       —       —       (0.22 )

Energy Commodity Services

          

Non-Nuclear Wholesale Assets write-off of tax capital losses

   —       (0.13 )   —       —       —    

Entergy-Koch Trading earnings

   —       —       —       (0.35 )   —    

Gulf South Pipeline earnings

   —       —       —       0.13     —    

Tax benefits on restructuring

   —       —       —       0.41     —    

Asset impairment reserve

   —       —       —       (0.15 )   —    

Reduction in asset sale reserves

   —       —       —       0.02     —    

Gain (loss) on disposition of assets

   —       —       —       —       —    

Total

   (0.09 )   (0.13 )   —       0.06     0.45  
TOTAL SPECIAL ITEMS    (0.16 )   0.64     (0.21 )   0.13     (0.24 )
      2007     2006     2005     2004     2003  
     ($ millions)  

UTILITY/PARENT/OTHER SPECIAL ITEMS

          

Nuclear alignment

   (13.6 )   —       —       —       —    

ENOI results

   —       4.1     —       —       —    

Entergy-Koch, LP gain

   —       55.0     —       —       —    

Restructuring – Entergy-Koch, LP distribution

   —       104.0     —       —       —    

Retail business impairment reserve

   —       —       (25.8 )   —       —    

Retail business discontinued operations

   —       (0.5 )   (18.9 )   —       —    

Tax benefits – Entergy-Koch investment

   —       —       —       16.7     —    

River Bend loss provision

   —       —       —       —       (65.6 )

SFAS 143 implementation

   —       —       —       —       (21.3 )

Voluntary severance plan

   —       —       —       —       (71.0 )

Total

   (13.6 )   162.6     (44.7 )   16.7     (157.9 )

COMPETITIVE BUSINESSES SPECIAL ITEMS

          

Entergy Nuclear

          

Nuclear alignment

   (18.4 )   —       —       —       —    

SFAS 143 implementation

   —       —       —       —       154.4  

Voluntary severance plan

   —       —       —       —       (51.8 )

Energy Commodity Services

          

Non-Nuclear Wholesale Assets write-off of tax capital losses

   —       (27.7 )   —       —       —    

Entergy-Koch Trading earnings

   —       —       —       (79.4 )   —    

Gulf South Pipeline earnings

   —       —       —       29.3     —    

Tax benefits on restructuring

   —       —       —       93.6     —    

Asset impairment reserve

   —       —       —       (35.8 )   —    

Reduction in asset sale reserves

   —       —       —       5.6     —    

Gain (loss) on disposition of assets

   —       —       —       —       0.7  

Total

   (18.4 )   (27.7 )   —       13.3     103.3  
TOTAL SPECIAL ITEMS    (32.0 )   134.9     (44.7 )   30.0     (54.6 )

 

12


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

DESCRIPTION OF ENTERGY CORPORATION CONSOLIDATED SPECIAL ITEMS

 

UTILITY/PARENT/OTHER SPECIAL ITEMS

   Main Earnings Category

Nuclear alignment

  

Operating expenses: Other operation and maintenance

ENOI results

  

Other income: equity in earnings (loss) of unconsolidated equity affiliates

Entergy-Koch, LP gain

  

Other income: equity in earnings (loss) of unconsolidated equity affiliates

Restructuring – Entergy-Koch, LP distribution

  

Income taxes

Retail business impairment reserve

  

Discontinued operations

Retail business discontinued operations

  

Discontinued operations

Tax benefits – Entergy-Koch investment

  

Income taxes

River Bend loss provision

  

Other income: miscellaneous-net

SFAS 143 implementation

  

Cumulative effect of accounting changes

Voluntary severance plan

  

Operating expenses: Other operation and maintenance

COMPETITIVE BUSINESSES SPECIAL ITEMS

  

Entergy Nuclear

  

Nuclear alignment

  

Operating expenses: Other operation and maintenance

SFAS 143 implementation

  

Cumulative effect of accounting changes

Voluntary severance plan

  

Operating expenses: Other operation and maintenance

Energy Commodity Services

  

Non-Nuclear Wholesale Assets write-off of tax capital losses

  

Income taxes

Entergy-Koch Trading earnings

  

Other income: equity in earnings (loss) of unconsolidated equity affiliates

Gulf South Pipeline earnings

  

Other income: equity in earnings (loss) of unconsolidated equity affiliates

Tax benefits on restructuring

  

Income taxes

Asset impairment reserve

  

Operating expenses: Provision for turbine commitments, asset impairments and restructuring charges

Reduction in asset sale reserves

  

Operating expenses: Provision for turbine commitments, asset impairments and restructuring charges

Gain (loss) on disposition of assets

  

Operating expenses: Provision for turbine commitments, asset impairments and restructuring charges

 

13


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

CONSOLIDATED STATEMENTS OF INCOME

 

      2007     2006(a)     2005(a)     2004     2003  
     In thousands, except share data, for the years ended December 31,  

OPERATING REVENUES:

          

Electric

   $ 9,046,301     $ 9,063,135     $ 8,446,830     $ 7,932,577     $ 7,397,175  

Natural gas

     206,073       84,230       77,660       208,499       186,176  

Competitive businesses

     2,232,024       1,784,793       1,581,757       1,544,445       1,449,363  

Total

     11,484,398       10,932,158       10,106,247       9,685,521       9,032,714  

OPERATING EXPENSES:

          

Operating and maintenance:

          

Fuel, fuel-related expenses, and gas purchased for resale

     2,934,833       3,144,073       2,176,015       2,488,208       1,987,217  

Purchased power

     1,986,950       2,138,237       2,521,247       1,701,610       1,579,057  

Nuclear refueling outage expenses

     180,971       169,567       162,653       166,072       159,995  

Provision for turbine commitments, asset impairments, and restructuring charges

     —         —         —         55,000       (7,743 )

Other operation and maintenance

     2,649,654       2,335,364       2,122,206       2,268,332       2,423,951  

Decommissioning

     167,898       145,884       143,121       149,529       146,100  

Taxes other than income taxes

     489,058       428,561       382,521       403,635       402,571  

Depreciation and amortization

     963,712       887,792       856,377       893,574       849,771  

Other regulatory charges (credits) – net

     54,954       (122,680 )     (49,882 )     (90,611 )     (13,761 )

Total

     9,428,030       9,126,798       8,314,258       8,035,349       7,527,158  

OPERATING INCOME

     2,056,368       1,805,360       1,791,989       1,650,172       1,505,556  

OTHER INCOME:

          

Allowance for equity funds used during construction

     42,742       39,894       45,736       39,582       42,710  

Interest and dividend income

     233,997       198,835       150,479       109,635       87,334  

Equity in earnings (loss) of unconsolidated equity affiliates

     3,176       93,744       985       (78,727 )     271,647  

Miscellaneous – net

     (24,860 )     16,114       14,251       55,509       (76,376 )

Total

     255,055       348,587       211,451       125,999       325,315  

INTEREST AND OTHER CHARGES:

          

Interest on long-term debt

     506,089       498,451       440,334       463,384       485,964  

Other interest – net

     155,995       75,502       64,646       40,133       52,868  

Allowance for borrowed funds used during construction

     (25,032 )     (23,931 )     (29,376 )     (25,741 )     (33,191 )

Preferred dividend requirements and other

     25,105       27,783       25,427       23,525       23,524  

Total

     662,157       577,805       501,031       501,301       529,165  

INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES AND CUMULATIVE EFFECT OF ACCOUNTING CHANGES

     1,649,266       1,576,142       1,502,409       1,274,870       1,301,706  

Income taxes

     514,417       443,044       559,284       365,305       497,433  

INCOME FROM CONTINUING OPERATIONS BEFORE CUMULATIVE EFFECT OF ACCOUNTING CHANGES

     1,134,849       1,133,098       943,125       909,565       804,273  

LOSS FROM DISCONTINUED OPERATIONS (net of income tax expense (benefit) of $67, $(24,051), $603, $(7,359) respectively)

     —         (496 )     (44,794 )     (41 )     (14,404 )

CUMULATIVE EFFECT OF ACCOUNTING CHANGES (net of income taxes of $89,925 in 2003)

     —         —         —         —         137,074  

CONSOLIDATED NET INCOME

   $ 1,134,849     $ 1,132,602     $ 898,331     $ 909,524     $ 926,943  

Basic earnings (loss) per average common share:

          

Continuing operations

   $ 5.77     $ 5.46     $ 4.49     $ 4.01     $ 3.55  

Discontinued operations

     —         —       $ (0.21 )     —       $ (0.06 )

Cumulative effect of accounting changes

     —         —         —         —       $ 0.60  

Basic earnings (loss) per average common share

   $ 5.77     $ 5.46     $ 4.27     $ 4.01     $ 4.09  

Diluted earnings (loss) per average common share:

          

Continuing operations

   $ 5.60     $ 5.36     $ 4.40     $ 3.93     $ 3.48  

Discontinued operations

     —         —       $ (0.21 )     —       $ (0.06 )

Cumulative effect of accounting changes

     —         —         —         —       $ 0.59  

Diluted earnings (loss) per average common share

   $ 5.60     $ 5.36     $ 4.19     $ 3.93     $ 4.01  

Dividends declared per common share

   $ 2.58     $ 2.16     $ 2.16     $ 1.89     $ 1.60  

Average number of common shares outstanding:

          

Basic

     196,572,945       207,456,838       210,141,887       226,863,758       226,804,370  

Diluted

     202,780,283       211,452,455       214,441,362       231,193,686       231,146,040  

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

 

Certain prior year data has been reclassified to conform with current year presentation.

 

14


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

2007 CONSOLIDATING INCOME STATEMENT (unaudited)

 

      Utility/
Parent/
Other
    Competitive
Businesses
    Eliminations     Consolidated  
     In thousands, except share data, for the year ended December 31, 2007.  

OPERATING REVENUES:

        

Electric

   $ 9,049,002     $ —       $ (2,701 )   $ 9,046,301  

Natural gas

     206,073       —         —         206,073  

Competitive businesses

     29,571       2,225,311       (22,857 )     2,232,024  

Total

     9,284,646       2,225,311       (25,558 )     11,484,398  

OPERATING EXPENSES:

        

Operating and maintenance:

        

Fuel, fuel-related expenses, and gas purchased for resale

     2,633,086       301,746       —         2,934,833  

Purchased power

     1,949,200       62,376       (24,626 )     1,986,950  

Nuclear refueling outage expenses

     75,087       105,885       —         180,971  

Other operation and maintenance

     1,844,774       806,268       (1,388 )     2,649,654  

Decommissioning

     89,220       78,678       —         167,898  

Taxes other than income taxes

     409,704       79,355       —         489,058  

Depreciation and amortization

     856,577       107,135       —         963,712  

Other regulatory charges – net

     54,954       —         —         54,954  

Total

     7,912,602       1,541,443       (26,014 )     9,428,030  

OPERATING INCOME

     1,372,044       683,868       456       2,056,368  

OTHER INCOME (DEDUCTIONS):

        

Allowance for equity funds used during construction

     42,742       —         —         42,742  

Interest and dividend income

     176,657       139,241       (81,900 )     233,997  

Equity in earnings of unconsolidated equity affiliates

     1,205       1,971       —         3,176  

Miscellaneous – net

     (9,020 )     (15,384 )     (456 )     (24,860 )

Total

     211,584       125,828       (82,356 )     255,055  

INTEREST AND OTHER CHARGES:

        

Interest on long-term debt

     501,274       4,815       —         506,089  

Other interest – net

     183,708       54,188       (81,900 )     155,995  

Allowance for borrowed funds used during construction

     (25,032 )     —         —         (25,032 )

Preferred dividend requirements and other

     21,685       3,420       —         25,105  

Total

     681,635       62,423       (81,900 )     662,157  

INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES

     901,993       747,273       —         1,649,266  

Income taxes

     361,096       153,321       —         514,417  

INCOME FROM CONTINUING OPERATIONS

     540,897       593,952       —         1,134,849  

CONSOLIDATED NET INCOME

   $ 540,897     $ 593,952     $ —       $ 1,134,849  

Earnings Per Average Common Share:

        

Basic

   $ 2.75     $ 3.02       —       $ 5.77  

Diluted

   $ 2.67     $ 2.93       —       $ 5.60  

Totals may not foot due to rounding.

 

15


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

CONSOLIDATED BALANCE SHEETS

 

      2007     2006(a)     2005(a)     2004     2003  
     In thousands, as of December 31,  

ASSETS

          

CURRENT ASSETS:

          

Cash and cash equivalents:

          

Cash

   $ 145,925     $ 117,379     $ 221,773     $ 79,136     $ 115,112  

Temporary cash investments - at cost, which approximates market

     1,127,076       898,773       361,047       540,650       392,013  

Special deposits

     —         —         —         —         308  

Total cash and cash equivalents

     1,273,001       1,016,152       582,820       619,786       507,433  

Other temporary investments

     —         —         —         187,950       234,800  

Notes receivable - Entergy New Orleans DIP loan

     —         51,934       90,000       —         —    

Notes receivable

     161       699       3,227       3,092       1,730  

Accounts receivable:

          

Customer

     610,724       552,376       763,993       565,027       511,902  

Allowance for doubtful accounts

     (25,789 )     (19,348 )     (30,805 )     (23,758 )     (25,976 )

Other

     303,060       345,400       324,876       212,453       133,013  

Accrued unbilled revenues

     288,076       249,165       477,570       460,039       384,860  

Total accounts receivable

     1,176,071       1,127,593       1,535,634       1,213,761       1,003,799  

Deferred fuel costs

     —         —         543,927       55,069       245,973  

Accumulated deferred income taxes

     38,117       11,680       —         76,899       —    

Fuel inventory - at average cost

     208,584       193,098       206,195       127,251       110,482  

Materials and supplies - at average cost

     692,376       604,998       610,932       569,407       548,921  

Deferred nuclear refueling outage costs

     172,936       147,521       164,152       129,718       138,836  

System agreement cost equalization

     268,000       —         —         —         —    

Prepayments and other

     129,001       171,759       325,795       116,279       127,270  

Total

     3,958,247       3,325,434       4,062,682       3,099,212       2,919,244  

OTHER PROPERTY AND INVESTMENTS:

          

Investment in affiliates - at equity

     78,992       229,089       296,784       231,779       1,053,328  

Decommissioning trust funds

     3,307,636       2,858,523       2,606,765       2,453,406       2,278,533  

Non-utility property - at cost (less accumulated depreciation)

     220,204       212,726       228,833       219,717       262,384  

Other

     82,563       47,115       81,535       90,992       152,681  

Total

     3,689,395       3,347,453       3,213,917       2,995,894       3,746,926  

PROPERTY, PLANT AND EQUIPMENT:

          

Electric

     32,959,022       30,713,284       29,161,027       29,053,340       28,035,899  

Property under capital lease

     740,095       730,182       727,565       738,554       751,815  

Natural gas

     300,767       92,787       86,794       262,787       236,622  

Construction work in progress

     1,054,833       786,147       1,524,085       1,197,551       1,380,982  

Nuclear fuel under capital lease

     361,502       336,017       271,615       262,469       278,683  

Nuclear fuel

     665,620       494,759       436,646       320,813       234,421  

Total property, plant and equipment

     36,081,839       33,153,176       32,207,732       31,835,514       30,918,422  

Less - accumulated depreciation and amortization

     15,107,569       13,715,099       13,010,687       13,139,883       12,619,625  

Property, plant and equipment - net

     20,974,270       19,438,077       19,197,045       18,695,631       18,298,797  

DEFERRED DEBITS AND OTHER ASSETS:

          

Regulatory assets:

          

SFAS 109 regulatory asset – net

     595,743       740,110       735,221       746,413       830,539  

Other regulatory assets

     2,971,399       2,768,352       2,133,724       1,429,261       1,398,323  

Deferred fuel costs

     168,122       168,122       120,489       30,842       —    

Long-term receivables

     7,714       19,349       25,572       39,417       20,886  

Goodwill

     377,172       377,172       377,172       377,172       377,172  

Other

     900,940       898,662       991,835       918,871       935,501  

Total

     5,021,090       4,971,767       4,384,013       3,541,976       3,562,421  

TOTAL ASSETS

   $ 33,643,002     $ 31,082,731     $ 30,857,657     $ 28,332,713     $ 28,527,388  

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

Certain prior year data has been reclassified to conform with current year presentation.

 

16


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

CONSOLIDATED BALANCE SHEETS

 

      2007    2006(a)     2005(a)     2004     2003  
     In thousands, as of December 31,  

LIABILITIES AND SHAREHOLDERS’ EQUITY

           

CURRENT LIABILITIES:

           

Currently maturing long-term debt

   $ 996,757    $ 181,576     $ 103,517     $ 492,564     $ 524,372  

Notes payable

     25,037      25,039       40,041       193       351  

Accounts payable

     1,031,300      1,122,596       1,655,787       896,528       796,572  

Customer deposits

     291,171      248,031       222,206       222,320       199,620  

Taxes accrued

     —        187,324       188,159       224,011       224,926  

Accumulated deferred income taxes

     —        —         143,409       —         22,963  

Nuclear refueling outage costs

     —        —         —         —         8,238  

Interest accrued

     187,968      160,831       154,855       144,478       139,603  

Deferred fuel costs

     54,947      73,031       —         —         —    

Obligations under capital leases

     152,615      153,246       130,882       133,847       159,978  

Pension and other postretirement liabilities

     34,795      41,912       —         —         —    

System agreement cost equalization

     268,000      —         —         —         —    

Other

     214,164      271,544       473,510       218,442       145,453  

Total

     3,256,754      2,465,130       3,112,366       2,332,383       2,222,076  

NON-CURRENT LIABILITIES:

           

Accumulated deferred income taxes and taxes accrued

     6,379,679      5,820,700       5,282,759       5,070,912       4,779,513  

Accumulated deferred investment tax credits

     343,539      358,550       376,550       399,228       420,248  

Obligations under capital leases

     220,438      188,033       175,005       146,060       153,898  

Other regulatory liabilities

     490,323      449,237       408,667       329,767       291,239  

Decommissioning and asset retirement cost liabilities

     2,489,061      2,023,846       1,923,971       2,066,277       2,215,490  

Transition to competition

     —        79,098       79,101       79,101       79,098  

Accumulated provisions

     133,406      88,902       144,880       549,914       506,960  

Pension and other postretirement liabilities

     1,361,326      1,410,433       1,118,964       —         —    

Long-term debt

     9,728,135      8,798,087       8,824,493       7,016,831       7,322,940  

Preferred stock with sinking fund

     —        10,500       13,950       17,400       20,852  

Other

     1,066,508      847,415       1,202,706       1,657,273       1,477,079  

Total

     22,212,415      20,074,801       19,551,046       17,332,763       17,267,317  

Commitments and Contingencies

           

Preferred stock without sinking fund

     311,162      344,913       445,974       365,356       334,337  

SHAREHOLDERS’ EQUITY:

           

Common stock, $.01 par value, authorized 500,000,000 shares; issued 248,174,087 shares in 2007, 2006, 2005, 2004 and 2003

     2,482      2,482       2,482       2,482       2,482  

Paid-in capital

     4,850,769      4,827,265       4,817,637       4,835,375       4,767,615  

Retained earnings

     6,735,965      6,113,042       5,433,931       4,989,826       4,502,508  

Accumulated other comprehensive income (loss)

     8,320      (100,512 )     (343,819 )     (93,453 )     (7,795 )

Less – treasury stock, at cost (55,053,847 shares in 2007; 45,506,311 shares in 2006; 40,644,602 shares in 2005; 31,345,028 shares in 2004; 19,276,445 shares in 2003)

     3,734,865      2,644,390       2,161,960       1,432,019       561,152  

Total

     7,862,671      8,197,887       7,748,271       8,302,211       8,703,658  

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

   $ 33,643,002    $ 31,082,731     $ 30,857,657     $ 28,332,713     $ 28,527,388  

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

Certain prior year data has been reclassified to conform with current year presentation.

 

17


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

2007 CONSOLIDATING BALANCE SHEET (unaudited)

 

     

Utility/
Parent/

Other

    Competitive
Businesses
   Eliminations     Consolidated  
     In thousands, as of December 31, 2007.  

ASSETS

         

CURRENT ASSETS:

         

Cash and cash equivalents:

         

Cash

   $ 139,856     $ 6,069    $ —       $ 145,925  

Temporary cash investments - at cost, which approximates market

     679,590       447,486      —         1,127,076  

Total cash and cash equivalents

     819,446       453,555      —         1,273,001  

Notes receivable

     291,101       419,993      (710,933 )     161  

Accounts receivable:

         

Customer

     413,284       197,440      —         610,724  

Allowance for doubtful accounts

     (25,789 )     —        —         (25,789 )

Associated companies

     53,543       84,473      (138,016 )     —    

Other

     267,732       35,328      —         303,060  

Accrued unbilled revenues

     288,076       —        —         288,076  

Total accounts receivable

     996,846       317,241      (138,016 )     1,176,071  

Accumulated deferred income taxes

     38,117       —        —         38,117  

Fuel inventory - at average cost

     205,146       3,438      —         208,584  

Materials and supplies - at average cost

     454,517       237,859      —         692,376  

Deferred nuclear refueling outage costs

     43,498       129,438      —         172,936  

System agreement cost equalization

     268,000       —        —         268,000  

Prepayments and other

     100,458       28,543      —         129,001  

Total

     3,217,129       1,590,067      (848,949 )     3,958,247  

OTHER PROPERTY AND INVESTMENTS:

         

Investment in affiliates - at equity

     7,521,097       94,103      (7,536,208 )     78,992  

Decommissioning trust funds

     1,370,035       1,937,601      —         3,307,636  

Non-utility property - at cost (less accumulated depreciation)

     216,640       3,564      —         220,204  

Other

     80,700       7,251      (5,388 )     82,563  

Total

     9,188,472       2,042,519      (7,541,596 )     3,689,395  

PROPERTY, PLANT AND EQUIPMENT:

         

Electric

     29,613,366       3,346,428      (772 )     32,959,022  

Property under capital lease

     740,095       —        —         740,095  

Natural gas

     300,767       —        —         300,767  

Construction work in progress

     861,523       193,310      —         1,054,833  

Nuclear fuel under capital lease

     361,502       —        —         361,502  

Nuclear fuel

     154,713       510,907      —         665,620  

Total property, plant and equipment

     32,031,966       4,050,645      (772 )     36,081,839  

Less - accumulated depreciation and amortization

     14,659,224       448,345      —         15,107,569  

Property, plant and equipment - net

     17,372,742       3,602,300      (772 )     20,974,270  

DEFERRED DEBITS AND OTHER ASSETS:

         

Regulatory assets:

         

SFAS 109 regulatory asset - net

     595,743       —        —         595,743  

Other regulatory assets

     2,971,399       —        —         2,971,399  

Deferred fuel costs

     168,122       —        —         168,122  

Long-term receivables

     7,714       —        —         7,714  

Goodwill

     374,099       3,073      —         377,172  

Other

     794,177       758,729      (651,966 )     900,940  

Total

     4,911,254       761,802      (651,966 )     5,021,090  

TOTAL ASSETS

   $ 34,689,597     $ 7,996,688    $ (9,043,283 )   $ 33,643,002  

Totals may not foot due to rounding.

 

18


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

2007 CONSOLIDATING BALANCE SHEET (unaudited)

 

     

Utility/
Parent/

Other

    Competitive
Businesses
   Eliminations     Consolidated
     In thousands, as of December 31, 2007.

LIABILITIES AND SHAREHOLDERS’ EQUITY

         

CURRENT LIABILITIES:

         

Currently maturing long-term debt

   $ 968,701     $ 28,056    $ —       $ 996,757

Notes payable:

         

Associated companies

     399,978       310,955      (710,933 )     —  

Other

     25,037       —        —         25,037

Accounts payable:

         

Associated companies

     95,943       38,762      (134,705 )     —  

Other

     802,604       228,696      —         1,031,300

Customer deposits

     291,171       —        —         291,171

Interest accrued

     185,794       2,174      —         187,968

Deferred fuel costs

     54,947       —        —         54,947

Obligations under capital leases

     152,615       —        —         152,615

Pension and other postretirement liabilities

     31,182       3,613      —         34,795

System agreement cost equalization

     268,000       —        —         268,000

Other

     68,675       145,489      —         214,164

Total

     3,344,647       757,745      (845,638 )     3,256,754

NON-CURRENT LIABILITIES:

         

Accumulated deferred income taxes and taxes accrued

     5,825,015       554,664      —         6,379,679

Accumulated deferred investment tax credits

     343,539       —        —         343,539

Obligations under capital leases

     220,438       —        —         220,438

Other regulatory liabilities

     490,323       —        —         490,323

Decommissioning and asset retirement cost liabilities

     1,346,422       1,142,639      —         2,489,061

Accumulated provisions

     124,483       8,923      —         133,406

Pension and other postretirement liabilities

     1,047,745       313,581      —         1,361,326

Long-term debt

     9,522,791       283,172      (77,828 )     9,728,135

Other

     1,250,738       400,436      (584,666 )     1,066,508

Total

     20,171,494       2,703,415      (662,494 )     22,212,415

Commitments and Contingencies

         

Preferred stock without sinking fund

     280,612       422,482      (391,932 )     311,162

SHAREHOLDERS’ EQUITY:

         

Common stock, $.01 par value, authorized 500,000,000 shares; issued 248,174,087 shares in 2007

     2,228,351       1,068,639      (3,294,508 )     2,482

Paid-in capital

     6,696,890       2,071,257      (3,917,378 )     4,850,769

Retained earnings

     5,907,673       923,567      (95,275 )     6,735,965

Accumulated other comprehensive income (loss)

     (85,205 )     92,899      626       8,320

Less – treasury stock, at cost (55,053,847 shares in 2007)

     3,854,865       43,316      (163,316 )     3,734,865

Total

     10,892,844       4,113,046      (7,143,219 )     7,862,671

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

   $ 34,689,597     $ 7,996,688    $ (9,043,283 )   $ 33,643,002

Totals may not foot due to rounding.

 

19


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

CONSOLIDATED STATEMENTS OF CASH FLOW

 

      2007     2006(a)     2005(a)     2004     2003  
     In thousands, for the years ended December 31,  

OPERATING ACTIVITIES:

          

Consolidated net income

   $ 1,134,849     $ 1,132,602     $ 898,331     $ 909,524     $ 926,943  

Adjustments to reconcile consolidated net income to net cash flow provided by operating activities:

          

Reserve for regulatory adjustments

     (15,574 )     36,352       (82,033 )     33,533       13,090  

Other regulatory charges (credits) - net

     54,954       (122,680 )     (49,882 )     (90,611 )     (13,761 )

Depreciation, amortization, and decommissioning

     1,131,610       1,035,153       1,001,852       1,045,122       996,603  

Deferred income taxes, investment tax credits, and non-current taxes accrued

     476,241       738,643       487,804       352,094       1,189,531  

Cumulative effect of accounting changes

     —         —         —         —         (137,074 )

Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends

     (3,176 )     4,436       4,315       608,141       (176,036 )

Provisions for asset impairments and restructuring charges

     —         —         39,767       55,000       (7,743 )

Changes in working capital:

          

Receivables

     (62,646 )     408,042       (367,351 )     (210,419 )     (140,612 )

Fuel inventory

     (10,445 )     13,097       (83,125 )     (16,769 )     (14,015 )

Accounts payable

     (103,048 )     (83,884 )     303,194       95,306       (60,164 )

Taxes accrued

     (187,324 )     (835 )     (33,306 )     (1,581 )     (882,446 )

Interest accrued

     11,785       5,975       15,133       5,269       (35,837 )

Deferred fuel

     912       582,947       (236,801 )     213,627       (33,874 )

Other working capital accounts

     (73,269 )     64,479       (45,653 )     41,008       16,809  

Provision for estimated losses and reserves

     (59,292 )     39,822       (3,704 )     (18,041 )     196,619  

Changes in other regulatory assets

     254,736       (127,305 )     (311,934 )     48,626       22,671  

Other

     9,457       (279,005 )     (68,799 )     (140,510 )     145,116  

Net cash flow provided by operating activities

     2,559,770       3,447,839       1,467,808       2,929,319       2,005,820  

INVESTING ACTIVITIES:

          

Construction/capital expenditures

     (1,578,030 )     (1,633,268 )     (1,458,086 )     (1,410,610 )     (1,568,943 )

Allowance for equity funds used during construction

     42,742       39,894       45,736       39,582       42,710  

Nuclear fuel purchases

     (408,732 )     (326,248 )     (314,414 )     (238,170 )     (224,308 )

Proceeds from sale/leaseback of nuclear fuel

     169,066       135,190       184,403       109,988       150,135  

Proceeds from sale of assets and businesses

     13,063       77,159       —         75,430       25,987  

Payment for purchase of plant

     (336,211 )     (88,199 )     (162,075 )     —         —    

Insurance proceeds received for property damages

     83,104       18,828       —         —         —    

Investment in non-utility properties

     —         —         —         (6,420 )     (71,438 )

Decrease (increase) in other investments

     41,720       (6,353 )     9,905       383,498       172,187  

Purchases of other temporary investments

     —         —         (1,591,025 )     (1,629,500 )     (613,464 )

Liquidation of other temporary investments

     —         —         1,778,975       1,676,350       378,664  

Proceeds from nuclear decommissioning trust fund sales

     1,583,584       777,584       944,253       679,466       729,440  

Investment in nuclear decommissioning trust funds

     (1,708,764 )     (884,123 )     (1,039,824 )     (769,273 )     (820,958 )

Other regulatory investments

     —         (38,037 )     (390,456 )     (53,566 )     (156,446 )

Other

     —         —         —         —         (11,496 )

Net cash flow used in investing activities

     (2,098,458 )     (1,927,573 )     (1,992,608 )     (1,143,225 )     (1,967,930 )

FINANCING ACTIVITIES:

          

Proceeds from the issuance of:

          

Long-term debt

     2,866,136       1,837,713       4,302,570       3,653,478       4,596,189  

Preferred stock

     10,000       73,354       127,995       —         —    

Common stock and treasury stock

     78,830       70,455       106,068       170,237       217,521  

Retirement of long-term debt

     (1,369,945 )     (1,804,373 )     (2,689,206 )     (4,022,548 )     (5,284,917 )

Repurchase of common stock

     (1,215,578 )     (584,193 )     (878,188 )     (1,017,996 )     (8,135 )

Redemption of preferred stock

     (57,827 )     (183,881 )     (33,719 )     (3,450 )     (3,450 )

Changes in credit line borrowings - net

     —         (15,000 )     39,850       (154 )     —    

Dividends paid:

          

Common stock

     (507,327 )     (448,954 )     (453,508 )     (427,901 )     (362,814 )

Preferred stock

     (25,875 )     (28,848 )     (25,472 )     (23,525 )     (23,524 )

Net cash flow provided by (used in) financing activities

     (221,586 )     (1,083,727 )     496,390       (1,671,859 )     (869,130 )

Effect of exchange rates on cash and cash equivalents

     30       (3,207 )     (602 )     (1,882 )     3,345  

Net increase (decrease) in cash and cash equivalents

     239,756       433,332       (29,012 )     112,353       (827,895 )

Cash and cash equivalents at beginning of period

     1,016,152       582,820       619,786       507,433       1,335,328  

Effect of the reconsolidation of Entergy New Orleans on cash and cash equivalents

     17,093       —         —         —         —    

Effect of the deconsolidation of Entergy New Orleans on cash and cash equivalents

     —         —         (7,954 )     —         —    

Cash and cash equivalents at end of period

   $ 1,273,001     $ 1,016,152     $ 582,820     $ 619,786     $ 507,433  

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

Certain prior year data has been reclassified to conform with current year presentation.

 

20


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

CONSOLIDATED STATEMENTS OF CASH FLOW

 

      2007    2006(a)     2005(a)    2004    2003
     In thousands, for the years ended December 31,

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

             

Cash paid (received) during the period for:

             

Interest – net of amount capitalized

   $ 611,197    $ 514,189     $ 461,345    $ 477,768    $ 552,017

Income taxes

   $ 376,808    $ (147,435 )   $ 116,072    $ 28,241    $ 188,709

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

CASH FLOW INFORMATION BY BUSINESS

 

      Utility/
Parent/
Other
    Entergy
Nuclear
    Energy
Commodity
Services
    Consolidated  
    

For the years ended December 31,

2007, 2006, 2005, 2004, and 2003.

($ thousands)

 

2007

        

Net cash flow provided by (used in) operating activities

   1,721,098     879,940     (41,268 )   2,559,770  

Net cash flow provided by (used in) investing activities

   (1,254,302 )   (883,397 )   39,241     (2,098,458 )

Net cash flow provided by (used in) financing activities

   (260,080 )   47,705     (9,211 )   (221,586 )

2006(a)

        

Net cash flow provided by (used in) operating activities

   2,708,871     833,318     (94,350 )   3,447,839  

Net cash flow provided by (used in) investing activities

   (1,487,005 )   (450,219 )   9,651     (1,927,573 )

Net cash flow provided by (used in) financing activities

   (959,555 )   (211,544 )   87,372     (1,083,727 )

2005(a)

        

Net cash flow provided by (used in) operating activities

   934,562     551,263     (18,017 )   1,467,808  

Net cash flow provided by (used in) investing activities

   (1,673,600 )   (368,497 )   49,489     (1,992,608 )

Net cash flow provided by (used in) financing activities

   640,489     (110,482 )   (33,617 )   496,390  

2004

        

Net cash flow provided by operating activities

   2,034,882     414,518     479,919     2,929,319  

Net cash flow provided by (used in) investing activities

   (1,005,814 )   (386,023 )   248,612     (1,143,225 )

Net cash flow used in financing activities

   (909,431 )   (37,894 )   (724,534 )   (1,671,859 )

2003

        

Net cash flow provided by (used in) operating activities

   1,934,587     182,524     (111,291 )   2,005,820  

Net cash flow used in investing activities

   (1,704,897 )   (184,913 )   (78,120 )   (1,967,930 )

Net cash flow provided by (used in) financing activities

   (1,028,623 )   (6,672 )   166,165     (869,130 )

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

Certain prior year data has been reclassified to conform with current year presentation.

 

21


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

FINANCIAL RESULTS

CONSOLIDATED STATEMENTS OF RETAINED EARNINGS, COMPREHENSIVE INCOME, AND PAID-IN CAPITAL

 

     2007            2006            2005            2004            2003         
    In thousands, for the years ended December 31,  

RETAINED EARNINGS

                   

Retained Earnings – Beginning of period

  $ 6,113,042       $ 5,433,931       $ 4,989,826       $ 4,502,508       $ 3,938,693    

Add: Consolidated net income

    1,134,849     $ 1,134,849       1,132,602     $ 1,132,602       898,331     $ 898,331       909,524     $ 909,524       926,943     $ 926,943  

Adjustment for change in accounting method

    (4,600 )             —                 —                 5,524               —            

Total

    1,130,249               1,132,602               898,331               915,048               926,943          

Deduct:

                   

Dividends declared on common stock

    507,326         448,572         453,657         427,740         362,941    

Capital stock and other expenses

    —                 4,919               569               (10 )             187          

Total

    507,326               453,491               454,226               427,730               363,128          

Retained Earnings – End of period

  $ 6,735,965             $ 6,113,042             $ 5,433,931             $ 4,989,826             $ 4,502,508          

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Net of taxes)

                   

Balance at beginning of period:

                   

Accumulated derivative instrument fair value changes

  $ (105,578 )     $ (392,614 )     $ (141,411 )     $ (25,811 )     $ 17,313    

Other accumulated comprehensive income (loss) items

    5,066               48,795               47,958               18,016               (39,673 )        

Total

    (100,512 )             (343,819 )             (93,453 )             (7,795 )             (22,360 )        

Net derivative instrument fair value changes arising during the period (net of tax expense (benefit) of $57,185, $187,462, $(159,236), $(74,082), and $(27,862))

    93,038       93,038       287,036       287,036       (251,203 )     (251,203 )     (115,600 )     (115,600 )     (43,124 )     (43,124 )

Foreign currency translation (net of tax expense (benefit) of $(16), $1,122, $211, $659, and $1,459)

    (30 )     (30 )     3,207       3,207       602       602       1,882       1,882       4,169       4,169  

Minimum pension liability (net of tax expense (benefit) of $(5,911) $(9,176), $1,875, and $503)

    —         —         (7,759 )     (7,759 )     (15,773 )     (15,773 )     2,762       2,762       1,153       1,153  

Pension and other postretirement liabilities (net of tax expense (benefit) of $29,994 and $(92,419))

    (1,236 )     (1,236 )     (75,805 )     —         —         —         —         —         —         —    

Net unrealized investment gains (net of tax expense of $23,562, $28,428, $10,573, $16,599, and $33,422)

    17,060       17,060       36,628       36,628       16,008       16,008       25,298       25,298       52,367       52,367  

Balance at end of period:

                   

Accumulated derivative instrument fair value changes

    (12,540 )       (105,578 )       (392,614 )       (141,411 )       (25,811 )  

Other accumulated comprehensive income (loss) items

    20,860               5,066               48,795               47,958               18,016          

Total

  $ 8,320             $ (100,512 )           $ (343,819 )           $ (93,453 )           $ (7,795 )        

Comprehensive Income

          $ 1,243,681             $ 1,451,714             $ 647,965             $ 823,866             $ 941,508  

PAID-IN CAPITAL

                   

Paid-in Capital – Beginning of period

  $ 4,827,265       $ 4,817,637       $ 4,835,375       $ 4,767,615       $ 4,666,753    

Add (Deduct):

                   

Issuance of equity units

    —           —           (39,904 )       —           —      

Common stock issuances related to stock plans

    23,504               9,628               22,166               67,760               100,862          

Paid-in Capital – End of period

  $ 4,850,769             $ 4,827,265             $ 4,817,637             $ 4,835,375             $ 4,767,615          

Certain prior year data has been reclassified to conform with current year presentation.

 

22


Table of Contents

CONSOLIDATED FINANCIAL RESULTS

CONSOLIDATED CAPITAL EXPENDITURES

HISTORICAL CAPITAL EXPENDITURES

 

      2007    2006    2005    2004    2003
     ($ millions)

Utility/Parent/Other

              

Entergy New Orleans

   94    76    58    51    66

All others

   1,554    1,398    1,458    1,115    1,201

Entergy Nuclear

   258    303    161    243    281

Energy Commodity Services

   8    21    1    8    92

Total Historical Capital Expenditures

   1,914    1,798    1,678    1,417    1,640

Certain prior year data has been reclassified to conform with current year presentation.

PLANNED CAPITAL EXPENDITURES

 

      2008    2009    2010
     ($ millions)

Maintenance Capital:

        

Utility/Parent/Other

   866    807    811

Entergy Nuclear

   78    78    78

Total Maintenance Capital

   944    885    889

Other Capital Commitments:

        

Utility/Parent/Other

   1,033    846    675

Entergy Nuclear

   207    189    248

Total Other Capital Commitments

   1,240    1,035    923

Total Planned Capital Expenditures

   2,184    1,920    1,812

ENTERGY CORPORATION SECURITIES DETAIL

ENTERGY CORPORATION LONG-TERM DEBT

 

              

Maturity

Date

  

First Call

Date

  

Current or

First Call Price

   As Of December 31,
CUSIP          Rate             2007    2006    2005
                              ($ millions)
  

$3.5B Bank Credit Facility

      08/12          2,251    820    785
  

Bank Term Loan

   5.43%    06/10          60    60    60
  

Bank Term Loan

   3.08%    11/08          —      35    35
29364GA*4   

6.17% Notes

   6.17%    03/08    Now    MW (T+.50%)    72    72    72
29364GB*3   

6.23% Notes

   6.23%    03/08    Now    MW (T+.50%)    15    15    15
29364GAC7   

6.13% Notes

   6.13%    09/08    Now    MW (T+.50%)    150    150    150
29364GAA1   

7.75% Notes

   7.75%    12/09    Now    MW (T+.50%)    267    267    267
29364GAB9   

6.58% Notes

   6.58%    05/10    Now    MW (T+.50%)    75    75    75
29364GB@1   

6.9% Notes

   6.9%    11/10    Now    MW (T+.50%)    140    140    140
29364G202,                        
29364G301   

7.625% Notes(a)

   7.625%    02/11          500    500    500
29364GA@2   

7.06% Notes

   7.06%    03/11    Now    MW (T+.50%)    86    86    86
        Total                             3,616    2,220    2,185

 

(a) In December 2005, Entergy Corporation sold 10 million equity units with a stated amount of $50 each. An equity unit consists of (1) a note, initially due February 2011 and initially bearing interest at an annual rate of 5.75% and (2) a purchase contract that obligates the holder of the equity unit to purchase for $50 between 0.5705 and 0.7074 shares of Entergy Corporation common stock on or before February 17, 2009. Entergy will pay the holders quarterly contract adjustment payments of 1.875% per year on the stated amount of $50 per equity unit. Under the terms of the purchase contracts, Entergy Corporation will issue between 5,705,000 and 7,074,000 shares of common stock in the settlement of the purchase contracts (subject to adjustment under certain circumstances).

SECURITIES RATINGS (OUTLOOK)

 

    

Corporate Credit

    

Moody’s

  

S&P

  

Fitch

   As of April 2008.

Entergy Corporation

   Baa3 (stable)    BBB (outlook negative)    BBB-(outlook evolving)

 

23


Table of Contents

UTILITY SELECTED DATA

UTILITY QUARTERLY FINANCIAL METRICS

 

     2007    2006(a)    YTD%
CHANGE
 
      1Q    2Q    3Q    4Q    YTD    1Q    2Q    3Q    4Q    YTD   

GAAP MEASURES

                                

As-Reported Earnings ($ millions)

   104.4    148.2    333.1    97.0    682.7    119.8    199.6    290.0    81.8    691.2    (1.2 )

Return on Average Invested Capital – As-Reported (%)*

   7.0    6.5    6.9    6.9    6.9    7.4    7.3    7.1    7.2    7.2    (4.2 )

Return on Average Common Equity – As-Reported (%)*

   10.7    9.7    10.3    10.6    10.6    11.8    11.5    11.1    11.3    11.3    (6.2 )

Debt to Capital Ratio (%)

   50.9    51.6    51.6    51.5    51.5    50.4    51.0    50.6    51.3    51.3    0.4  

NON-GAAP MEASURES

                                

Operational Earnings ($ millions)

   104.4    148.2    333.1    110.7    696.4    114.1    188.9    282.7    101.4    687.1    1.4  

Return on Average Invested Capital – Operational (%)*

   7.0    6.6    7.0    7.0    7.0    7.4    7.3    7.1    7.2    7.2    (2.8 )

Return on Average Common Equity – Operational (%)*

   10.7    9.9    10.6    10.8    10.8    11.8    11.4    11.0    11.2    11.2    (3.6 )

Net Debt to Net Capital Ratio (%)

   48.5    48.2    48.2    48.5    48.5    49.0    50.0    49.6    49.1    49.1    (1.2 )

 

(a)

2006 reflects deconsolidation of Entergy New Orleans, Inc. *Trailing twelve months. Totals may not foot due to rounding.

UTILITY ANNUAL FINANCIAL METRICS

 

      2007    2006(a)    2005(a)    2004    2003

GAAP MEASURES

              

As-Reported Earnings ($ millions)

   682.7    691.2    659.8    643.4    469.1

Return on Average Invested Capital – As-Reported (%)

   6.9    7.2    7.1    7.2    5.9

Return on Average Common Equity – As-Reported (%)

   10.6    11.3    11.4    11.6    8.7

Debt to Capital Ratio (%)

   51.5    51.3    51.8    51.7    54.1

NON-GAAP MEASURES

              

Operational Earnings ($ millions)

   696.4    687.1    659.8    643.4    626.1

Return on Average Invested Capital – Operational (%)

   7.0    7.2    7.1    7.2    7.1

Return on Average Common Equity – Operational (%)

   10.8    11.2    11.4    11.6    11.5

Net Debt to Net Capital Ratio (%)

   48.5    49.1    50.7    49.3    52.6

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

UTILITY HISTORICAL CAPITAL EXPENDITURES

 

      2007    2006    2005    2004    2003
     ($ millions)

Entergy Arkansas

   305    259    317    270    335

Entergy Gulf States Louisiana(a)

   335    376    371    358    349

Entergy Louisiana

   322    449    551    240    258

Entergy Mississippi

   157    240    164    163    189

System Energy Resources

   84    34    37    32    18

Entergy New Orleans

   94    76    58    51    66

Other

   19    18    7    37    18

Total excluding Entergy New Orleans

   1,222    1,376    1,447    1,101    1,167

Total including Entergy New Orleans

   1,316    1,452    1,505    1,152    1,233

 

(a)

Includes Entergy Texas capital expenditures of $167, $217, and $214 for 2007, 2006, and 2005, respectively. Certain prior year data has been reclassified to conform with current year presentation.

UTILITY PLANNED CAPITAL EXPENDITURES

 

     2008    2009    2010
      Maintenance
Capital
   Capital
Commitments
   Maintenance
Capital
   Capital
Commitments
   Maintenance
Capital
   Capital
Commitments
     ($ millions)

Entergy Arkansas

   209    372    208    91    209    57

Entergy Gulf States Louisiana

   151    120    115    22    114    6

Entergy Texas

   125    17    111    20    113    64

Entergy Louisiana

   182    409    182    675    182    521

Entergy Mississippi

   131    42    134    20    134    5

System Energy Resources

   25    62    15    15    18    21

Entergy New Orleans

   29    3    33    3    33    1

Other

   12    8    9    —      8    —  

Total

   864    1,033    807    846    811    675

UTILITY SECURITIES RATINGS (OUTLOOK)

 

     Mortgage Bonds    Preferred Stock
      Moody’s   S&P    Fitch    Moody’s    S&P    Fitch
     As of April 2008.

Entergy Arkansas, Inc.

   Baal (stable)   A -(outlook neg.)    BBB+ (stable)    Bal    BB+    BBB-

Entergy Gulf States Louisiana, L.L.C.

   Baa3 (positive)   BBB+ (outlook neg.)    BBB (stable)    Ba3    BB+    BB+

Entergy Texas, Inc.

   n/a   n/a    n/a    n/a    n/a    n/a

Entergy Louisiana, LLC

   Baal (stable)   A-(outlook neg.)    BBB+ (stable)    Bal    BB+    BBB-

Entergy Mississippi, Inc.

   Baa2 (stable)   A- (outlook neg.)    BBB+ (stable)    Ba2    BB+    BBB-

Entergy New Orleans, Inc.

   Baa3 (stable)   BBB+ (outlook neg.)    BBB- (stable)    Bl    BB    BB

System Energy Resources, Inc.

   Baa3 (stable)   BBB+ (outlook neg.)    BBB- (stable)    —      —      —  

 

24


Table of Contents

UTILITY FINANCIAL RESULTS

2007 UTILITY/PARENT/OTHER CONSOLIDATING INCOME STATEMENT (unaudited)

 

    

EAI

    PRO FORMA(a)    

ELL

   

EMI

   

ENOI

   

SERI

   

Parent/Other
Eliminations

    Utility/
Parent/
Other
 
    EGSL(b)     ETI              
    In thousands, for the year ended December 31, 2007.  

OPERATING REVENUES:

                 

Electric

  $ 2,032,965     $ 2,209,566     $ 1,782,923     $ 2,737,552     $ 1,372,802     $ 557,458     $ 553,193     $ (2,197,457 )   $ 9,049,002  

Natural gas

    —         86,604       —         —         —         119,469       —         —         206,073  

Competitive businesses

    —         —         —         —         —         —         —         29,571       29,571  

Total

    2,032,965       2,296,170       1,782,923       2,737,552       1,372,802       676,927       553,193       (2,167,886 )     9,284,646  

OPERATING EXPENSES:

                 

Operation and maintenance:

                 

Fuel, fuel-related expenses, and gas purchased for resale

    132,830       320,668       546,413       887,749       456,346       243,470       42,798       2,812       2,633,086  

Purchased power

    818,549       1,107,048       777,419       814,779       414,763       198,329       —         (2,181,687 )     1,949,200  

Nuclear refueling outage expenses

    28,511       12,212       —         17,664       —         —         16,699       1       75,087  

Other operation and maintenance

    458,042       369,880       179,119       427,241       202,952       114,254       118,304       (25,018 )     1,844,774  

Decommissioning

    32,816       11,555       173       18,530       —         —         25,713       433       89,220  

Taxes other than income taxes

    78,449       81,874       50,617       60,293       62,516       38,439       26,242       11,274       409,704  

Depreciation and amortization

    228,354       140,476       68,172       178,841       79,470       32,287       122,765       6,212       856,577  

Other regulatory charges (credits) – net

    (29,001 )     13,115       16,808       43,949       14,810       4,127       (8,854 )     —         54,954  

Total

    1,748,550       2,056,828       1,638,721       2,449,046       1,230,857       630,906       343,667       (2,185,973 )     7,912,602  

OPERATING INCOME

    284,415       239,342       144,202       288,506       141,945       46,021       209,526       18,087       1,372,044  

OTHER INCOME:

                 

Allowance for equity funds used during construction

    11,143       8,371       3,295       11,119       3,900       1,736       3,178       —         42,742  

Interest and dividend income

    19,116       104,140       31,397       8,901       5,572       11,583       24,515       (28,567 )     176,657  

Equity in earnings (loss) of unconsolidated equity affiliates

    —         —         —         —         —         —         —         1,205       1,205  

Miscellaneous – net

    (3,263 )     2,324       (600 )     (3,497 )     1,011       (1,057 )     382       (4,320 )     (9,020 )

Total

    26,996       114,835       34,092       16,523       10,483       12,262       28,075       (31,682 )     211,584  

INTEREST AND OTHER CHARGES:

                 

Interest on long-term debt

    77,348       135,233       74,343       74,021       41,699       12,978       56,966       28,686       501,274  

Other interest – net

    14,392       3,038       10,907       11,708       5,321       8,519       151       129,672       183,708  

Allowance for borrowed funds used during construction

    (5,078 )     (5,402 )     (2,126 )     (7,531 )     (2,548 )     (1,302 )     (1,044 )     (1 )     (25,032 )

Total

    86,662       132,869       83,124       78,198       44,472       20,195       56,073       158,357       659,950  

INCOME FROM CONTINUING

                 

OPERATIONS BEFORE INCOME TAXES

    224,749       221,308       95,170       226,831       107,956       38,088       181,528       (171,952 )     923,678  

Income taxes

    85,638       87,452       36,249       83,494       35,850       13,506       45,447       (26,540 )     361,096  

INCOME FROM CONTINUING OPERATIONS

    139,111       133,856       58,921       143,337       72,106       24,582       136,081       (145,412 )     562,582  

CONSOLIDATED NET INCOME

    139,111       133,856       58,921       143,337       72,106       24,582       136,081       (145,412 )     562,582  

Preferred dividend requirements and other

    6,873       3,968       —         6,950       2,768       1,126       —         —         21,685  

EARNINGS APPLICABLE TO COMMON STOCK/EQUITY

  $ 132,238     $ 129,888     $ 58,921 $       136,387     $ 69,338     $ 23,456     $ 136,081     $ (145,412 )   $ 540,897  

 

(a)

Effective December 31, 2007, Entergy Gulf States, Inc. completed a jurisdictional separation into two vertically integrated utility companies: Entergy Texas, Inc. and Entergy Gulf States Louisiana, L.L.C. The above pro forma metrics for 2007 reflect results as if the separation had occurred on January 1, 2007.

 

(b)

Excludes the operations of Entergy Texas, Inc.

Totals may not foot due to rounding.

 

25


Table of Contents

UTILITY FINANCIAL RESULTS

2007 UTILITY/PARENT/OTHER CONSOLIDATING BALANCE SHEET (unaudited)

 

     EAI     EGSL(a)     ETI     ELL     EMI     ENOI     SERI   Parent/Other
Eliminations
   

Utility/
Parent/

Other

 
    In thousands, as of December 31, 2007.  

ASSETS

                 

CURRENT ASSETS:

                 

Cash and cash equivalents:

                 

Cash

  $ 212     $ 233     $ 10     $ 300     $ 117     $ 119     $ 406   $ 138,459     $ 139,856  

Temporary cash investments – at cost, which approximates market

    —         107,803       297,072       —         40,465       91,891       104,599     37,760       679,590  

Total cash and cash equivalents

    212       108,036       297,082       300       40,582       92,010       105,005     176,219       819,446  

Notes receivable

    —         —         —         —         —         —         —       291,101       291,101  

Securitization recovery trust account

    —         —         19,273       —         —         —         —       (19,273 )     —    

Accounts receivable:

                 

Customer

    85,414       62,408       61,108       96,679       62,052       45,478       —       145       413,284  

Allowance for doubtful accounts

    (16,649 )     (979 )     (918 )     (1,988 )     (615 )     (4,639 )     —       (1 )     (25,789 )

Associated companies

    75,756       218,891       377,478       91,873       23,534       58,952       112,598     (905,539 )     53,543  

Other

    124,111       59,059       35,048       14,186       8,234       9,928       3,921     13,245       267,732  

Accrued unbilled revenues

    68,240       54,021       30,974       75,860       33,535       24,842       —       604       288,076  

Total accounts receivable

    336,872       393,400       503,690       276,610       126,740       134,561       116,519     (891,546 )     996,846  

Deferred fuel costs

    114,763       5,644       —         —         —         17,281       —       (137,688 )     —    

Accumulated deferred income taxes

    —         21,938       24,507       15,229       7,686       —         —       (31,243 )     38,117  

Fuel inventory – at average cost

    20,505       31,810       55,778       —         10,366       4,500       —       82,187       205,146  

Materials and supplies – at average cost

    106,165       100,161       31,454       108,959       30,167       9,007       68,613     (9 )     454,517  

Deferred nuclear refueling outage costs

    17,623       5,155       —         7,080       —         —         13,640     —         43,498  

System agreement cost equalization

    268,000       —         —         —         —         —         —       —         268,000  

Prepayments and other

    16,511       23,533       14,756       7,820       13,701       2,539       9,225     12,373       100,458  

Total

    880,651       689,677       946,540       415,998       229,242       259,898       313,002     (517,879 )     3,217,129  

OTHER PROPERTY AND INVESTMENTS:

                 

Investment in affiliates – at equity

    11,203       —         863       —         5,531       3,259       —       7,500,241       7,521,097  

Decommissioning trust funds

    466,348       366,062       —         221,971       —         —         315,654     —         1,370,035  

Non-utility property – at cost (less accumulated depreciation)

    1,442       109,517       2,030       1,488       5,140       1,016       —       96,007       216,640  

Notes receivable – Entergy New Orleans DIP loan

    —         —         —         9,353       7,610       —         25,560     (42,523 )     —    

Storm reserve escrow account

    —         —         —         —         30,748       —         —       (30,748 )     —    

Other

    5,391       17,350       16,514       4       —         5,272       —       36,169       80,700  

Total

    484,384       492,929       19,407       232,816       49,029       9,547       341,214     7,559,146       9,188,472  

UTILITY PLANT:

                 

Electric

    6,792,825       6,132,362       2,817,681       6,550,597       2,829,065       745,426       3,273,390     472,020       29,613,366  

Property under capital lease

    2,436       —         —         253,387       9,116       —         475,157     (1 )     740,095  

Natural gas

    —         98,484       —         —         —         201,870       —       413       300,767  

Construction work in progress

    146,651       141,528       71,519       276,974       72,753       14,144       88,296     49,658       861,523  

Nuclear fuel under capital lease

    124,585       110,769       —         44,532       —         —         81,616     —         361,502  

Nuclear fuel

    19,548       11,256       —         —         —         —         7,656     116,253       154,713  

Total utility plant

    7,086,045       6,494,399       2,889,200       7,125,490       2,910,934       961,440       3,926,115     638,343       32,031,966  

Less – accumulated depreciation and amortization

    3,112,896       3,433,131       1,043,183       3,095,473       995,902       507,537       2,101,484     369,618       14,659,224  

Utility plant – net

    3,973,149       3,061,268       1,846,017       4,030,017       1,915,032       453,903       1,824,631     268,725       17,372,742  

DEFERRED DEBITS AND OTHER ASSETS:

                 

Regulatory assets:

                 

SFAS 109 regulatory asset – net

    93,557       299,023       87,531       117,322       29,868       —         93,083     (124,641 )     595,743  

Other regulatory assets

    534,937       335,897       645,941       832,449       141,717       143,726       274,202     62,530       2,971,399  

Deferred fuel costs

    —         100,124       —         67,998       —         —         —       —         168,122  

Long-term receivables

    —         1,872       1,284       2,982       819       126       —       631       7,714  

Goodwill

    —         —         —         —         —         —         —       374,099       374,099  

Debt assumption by Entergy Texas

    —         1,079,094       —         —         —         —         —       (1,079,054 )     —    

Other

    33,128       12,807       60,032       23,539       20,562       8,995       12,628     622,486       794,177  

Total

    661,622       1,828,817       794,788       1,044,290       192,966       152,847       379,913     (143,989 )     4,911,254  

TOTAL ASSETS

  $ 5,999,806     $ 6,072,691     $ 3,606,752     $ 5,723,121     $ 2,386,269     $ 876,195     $ 2,858,760   $ 7,166,003     $ 34,689,597  

 

(a)

Excludes the operations of Entergy Texas, Inc.

Totals may not foot due to rounding.

 

26


Table of Contents

UTILITY FINANCIAL RESULTS

2007 UTILITY/PARENT/OTHER CONSOLIDATING BALANCE SHEET (unaudited)

 

     EAI   EGSL(a)     ETI   ELL     EMI     ENOI   SERI   Parent/Other
Eliminations
   

Utility/
Parent/

Other

 
    In thousands, as of December 31, 2007.  

LIABILITIES AND SHAREHOLDERS’ OR MEMBERS’ EQUITY

                 

CURRENT LIABILITIES:

                 

Currently maturing long-term debt

  $ —     $ 675,000     $ 309,123   $ —       $ —       $ 30,000   $ 26,701   $ (72,123 )   $ 968,701  

Notes payable:

                 

Associated companies

    —       —         —       —         —         —       —       399,978       399,978  

Other

    —       —         —       —         —         —       —       25,037       25,037  

Accounts payable:

                 

Associated companies

    486,201     201,217       40,120     65,930       46,424       27,138     8,902     (779,989 )     95,943  

Other

    100,246     111,579       80,917     148,651       36,104       23,366     29,182     272,559       802,604  

Customer deposits

    57,751     38,061       37,962     79,013       55,719       17,803     —       4,862       291,171  

Taxes accrued

    —       —         15,753     7,756       36,038       4,981     —       (64,528 )     —    

Accumulated deferred income taxes

    26,964     —         —       —         —         1,754     4,494     (33,212 )     —    

Interest accrued

    17,447     29,398       28,049     29,739       15,194       5,217     47,403     13,347       185,794  

Deferred fuel costs

    —       —         67,270     48,784       76,582       —       —       (137,689 )     54,947  

Obligations under capital leases

    49,738     28,795       —       42,714       —         —       30,058     1,310       152,615  

Pension and other postretirement liabilities

    —       7,064       1,236     8,772       —         —       —       14,110       31,182  

System agreement cost equalization

    —       124,775       92,225     46,000       —         —       —       5,000       268,000  

Other

    10,890     9,052       5,316     18,961       8,905       9,944     —       5,607       68,675  

Total

    749,237     1,224,941       677,971     496,320       274,966       120,203     146,740     (345,731 )     3,344,647  

NON-CURRENT LIABILITIES:

                 

Accumulated deferred income taxes and taxes accrued

    1,330,324     1,219,568       697,693     1,803,430       535,469       114,729     314,991     (191,189 )     5,825,015  

Accumulated deferred investment tax credits

    55,854     95,745       25,724     86,045       9,748       2,809     65,184     2,430       343,539  

Obligations under capital leases

    77,283     81,974       —       1,818       7,806       —       51,558     (1 )     220,438  

SFAS 109 regulatory liability – net

    —       —         —       —         —         73,613     —       (73,613 )     —    

Other regulatory liabilities

    117,510     69,890       4,881     127,836       —         9,522     243,450     (82,766 )     490,323  

Decommissioning and asset retirement cost liabilities

    505,626     204,828       3,066     257,066       4,505       2,772     368,559     —         1,346,422  

Accumulated provisions

    14,414     11,887       8,863     18,405       50,264       14,329     2,469     3,852       124,483  

Pension and other postretirement liabilities

    260,381     102,510       14,418     145,786       56,946       15,484     30,031     422,189       1,047,745  

Long-term debt

    1,314,525     1,674,113       1,103,863     1,147,660       695,266       273,912     773,266     2,540,186       9,522,791  

Gas insurance proceeds

    —       —         —       —         —         36,958     —       (36,958 )     —    

Other

    73,739     87,468       66,019     85,214       44,243       14,640     145     879,270       1,250,738  

Total

    3,749,656     3,547,983       1,924,527     3,673,260       1,404,247       558,768     1,849,653     3,463,400       20,171,494  

Preferred stock without sinking fund

    116,350     10,000       —       100,000       50,381       19,780     —       (15,899 )     280,612  

Commitments and Contingencies

                 

SHAREHOLDERS’ OR MEMBERS’ EQUITY:

                 

Common stock or members’ equity

    470     1,311,838       49,452     1,481,509       199,326       33,744     789,350     (1,637,338 )     2,228,351  

Paid-in capital/capital stock expense and other

    588,527     —         631,994     —         (690 )     36,294     —       5,440,765       6,696,890  

Minority interest

    —       863       —       —         —         —       —       (863 )     —    

Retained earnings

    795,566     —         322,808     —         458,039       107,406     73,017     4,150,837       5,907,673  

Accumulated other comprehensive income (loss)

    —       (22,934 )     —       (27,968 )     —         —       —       (34,303 )     (85,205 )

Less – treasury stock, at cost

    —       —         —       —         —         —       —       3,854,865       3,854,865  

Total

    1,384,563     1,289,767       1,004,254     1,453,541       656,675       177,444     862,367     4,064,233       10,892,844  

TOTAL LIABILITIES AND SHAREHOLDERS’ OR MEMBERS’ EQUITY

    $5,999,806   $ 6,072,691     $ 3,606,752   $ 5,723,121     $ 2,386,269     $ 876,195   $ 2,858,760   $ 7,166,003     $ 34,689,597  

 

(a)

Excludes the operations of Entergy Texas, Inc.

Totals may not foot due to rounding.

 

27


Table of Contents

UTILITY FINANCIAL RESULTS

UTILITY SELECTED ANNUAL FINANCIAL METRICS

 

      2007     2006    2005    2004    2003  

ENTERGY ARKANSAS, INC.

             

As-Reported Earnings ($ millions)

   132.2     165.6    166.9    134.4    118.2  

Less Special Items ($ millions)

   (5.9 )   —      —      —      (28.4 )

Operational Earnings ($ millions)

   138.1     165.6    166.9    134.4    146.6  

GAAP MEASURES

             

Return on Average Common Equity – As-Reported (%)

   9.4     11.6    12.1    10.3    9.4  

Return on Average Invested Capital – As-Reported (%)

   6.5     7.6    7.6    6.6    6.2  

Cash Flow Interest Coverage (# times)

   5.2     7.0    7.7    7.9    5.5  

Debt to Capital Ratio (%)

   49.0     48.1    47.5    50.1    51.2  

Total Debt ($ millions)

   1,442     1,436    1,400    1,450    1,465  

Total Preferred ($ millions)

   116     116    116    116    116  

Total Equity ($ millions)

   1,385     1,434    1,430    1,327    1,278  

NON-GAAP MEASURES

             

Return on Average Common Equity – Operational (%)

   9.8     11.6    12.1    10.3    11.7  

Return on Average Invested Capital – Operational (%)

   6.7     7.6    7.6    6.6    7.1  

Net Debt to Net Capital Ratio (%)

   49.0     47.5    47.4    48.5    51.1  

 

     2007 PRO FORMA(a)                       
      ENTERGY
TEXAS
    ENTERGY
GULF STATES
LOUISIANA
                          

ENTERGY GULF STATES LOUISIANA, L.L.C.

               

As-Reported Earnings ($ millions)

   58.9     129.9     208.0    202.3    187.8    37.9  

Less Special Items ($ millions)

   —       (3.6 )   —      —      —      (102.4 )

Operational Earnings ($ millions)

   58.9     133.5     208.0    202.3    187.8    140.3  

GAAP MEASURES

               

Return on Average Common Equity – As-Reported (%)

   5.9     10.4     9.4    10.1    10.8    2.2  

Return on Average Invested Capital – As-Reported (%)

   4.9     6.8     6.4    6.5    6.6    3.1  

Cash Flow Interest Coverage (# times)

   3.0     3.9 (c)   6.5    1.5    5.3    4.4  

Debt to Capital Ratio (%)

   51.9 (c)   56.5 (c)   52.0    51.7    53.1    58.3  

Total Debt ($ millions)

   1,083 (c)   1,690 (c)   2,442    2,426    2,078    2,439  

Total Preferred ($ millions)

   —       10     47    47    47    47  

Total Equity ($ millions)

   1,004     1,290     2,206    2,224    1,785    1,695  

NON-GAAP MEASURES

               

Return on Average Common Equity – Operational (%)

   7.0 (c)   10.6     9.4    10.1    10.8    8.2  

Return on Average Invested Capital – Operational (%)

   4.9     6.9     6.4    6.5    6.6    5.6  

Net Debt to Net Capital Ratio (%)

   43.9     54.9     50.1    51.4    53.0    56.2  

ENTERGY LOUISIANA, LLC(b)

               

As-Reported Earnings ($ millions)

     136.4     130.7    128.1    127.5    146.1  

Less Special Items ($ millions)

         (2.2 )   —      —      —      (12.6 )

Operational Earnings ($ millions)

         138.6     130.7    128.1    127.5    158.7  

GAAP MEASURES

               

Return on Average Members’ Equity – As-Reported (%)

     9.8     10.8    12.0    12.4    14.3  

Return on Average Invested Capital – As-Reported (%)

     7.1     7.3    7.8    8.4    8.9  

Cash Flow Interest Coverage (# times)

     5.6     6.1    3.1    8.3    6.0  

Debt to Capital Ratio (%)

     43.4     46.4    51.3    49.6    48.6  

Total Debt ($ millions)

     1,192     1,230    1,271    1,017    968  

Total Preferred ($ millions)

     100     100    100    —      —    

Total Equity ($ millions)

     1,454     1,318    1,105    1,033    1,022  

NON-GAAP MEASURES

               

Return on Average Members’ Equity – Operational (%)

     10.0     10.8    12.0    12.4    15.5  

Return on Average Invested Capital – Operational (%)

     7.2     7.3    7.8    8.4    9.5  

Net Debt to Net Capital Ratio (%)

         43.4     46.4    49.2    45.8    48.4  

 

(a)

Effective December 31, 2007, Entergy Gulf States, Inc. completed a jurisdictional separation into two vertically integrated utility companies: Entergy Texas and Entergy Gulf States Louisiana. The above pro forma metrics for 2007 reflect the results as if the separation had occurred on January 1, 2007.

 

(b)

Effective December 31, 2005, Entergy Louisiana, LLC, (ELL), a limited liability company organized under the laws of the State of Texas as part of a restructuring involving a Texas statutory merger-by-division, succeeded to all of the regulated utility operations of Entergy Louisiana, Inc. (ELI). ELL was allocated substantially all of the property and other assets of ELI, including all assets used to provide retail and wholesale electric service to ELI’s retail customers. ELL also assumed substantially all of the liabilities of ELI, including all of its debt securities and leases but excluding the outstanding preferred stock of ELI. Current and prior periods reflect metrics for ELL.

 

(c)

See page 69 for Pro Forma calculations.

 

28


Table of Contents

UTILITY FINANCIAL RESULTS

UTILITY SELECTED ANNUAL FINANCIAL METRICS (CONTINUED)

 

      2007     2006    2005     2004    2003  

ENTERGY MISSISSIPPI, INC.

            

As-Reported Earnings ($ millions)

   69.3     49.5    58.8     70.1    63.7  

Less Special Items ($ millions)

   —       —      —       —      (4.5 )

Operational Earnings ($ millions)

   69.3     49.5    58.8     70.1    68.2  

GAAP MEASURES

            

Return on Average Common Equity – As-Reported (%)

   10.9     8.3    10.6     13.3    12.8  

Return on Average Invested Capital – As-Reported (%)

   6.9     5.9    6.7     7.7    7.2  

Cash Flow Interest Coverage (# times)

   4.8     10.1    1.1     7.3    7.3  

Debt to Capital Ratio (%)

   49.9     54.3    52.7     54.2    56.4  

Total Debt ($ millions)

   704     795    695     695    730  

Total Preferred ($ millions)

   50     50    50     50    50  

Total Equity ($ millions)

   657     618    573     537    514  

NON-GAAP MEASURES

            

Return on Average Common Equity – Operational (%)

   10.9     8.3    10.6     13.3    13.7  

Return on Average Invested Capital – Operational (%)

   6.9     5.9    6.7     7.7    7.6  

Net Debt to Net Capital Ratio (%)

   48.4     51.9    52.6     51.1    54.1  

ENTERGY NEW ORLEANS, INC.

            

As-Reported Earnings ($ millions)

   23.5     4.1    0.8     27.1    6.9  

Less Special Items ($ millions)

   —       —      —       —      (3.0 )

Operational Earnings ($ millions)

   23.5     4.1    0.8     27.1    9.9  

GAAP MEASURES

            

Return on Average Common Equity – As-Reported (%)

   14.2     2.7    0.5     18.9    5.3  

Return on Average Invested Capital – As-Reported (%)

   7.7     3.3    1.8     9.6    4.6  

Cash Flow Interest Coverage (# times)

   11.5     5.9    (1.9 )   5.2    1.6  

Debt to Capital Ratio (%)

   60.6     61.9    66.4     56.9    60.1  

Total Debt ($ millions)

            

Not Subject to Compromise ($ millions)

   304     282    105     230    229  

Subject to Compromise ($ millions)

   —       —      230     —      —    

Total Debt ($ millions)

   304     282    335     230    229  

Total Preferred ($ millions)

   20     20    20     20    20  

Total Equity ($ millions)

   177     154    150     154    133  

NON-GAAP MEASURES

            

Return on Average Common Equity – Operational (%)

   14.2     2.7    0.5     18.9    7.6  

Return on Average Invested Capital – Operational (%)

   7.7     3.3    1.8     9.6    5.4  

Net Debt to Net Capital Ratio (%)

   51.8     60.4    62.8     56.0    59.6  

SYSTEM ENERGY RESOURCES, INC.

            

As-Reported Earnings ($ millions)

   136.1     140.3    111.6     105.9    106.0  

Less Special Items ($ millions)

   (1.9 )   —      —       —      (6.1 )

Operational Earnings ($ millions)

   138.0     140.3    111.6     105.9    112.1  

GAAP MEASURES

            

Return on Average Common Equity – As-Reported (%)

   15.8     16.0    12.5     11.9    11.9  

Return on Average Invested Capital – As-Reported (%)

   9.8     9.9    8.1     7.7    7.9  

Cash Flow Interest Coverage (# times)

   4.9     3.1    5.5     7.1    2.9  

Debt to Capital Ratio (%)

   50.6     50.6    51.1     51.2    51.2  

Total Debt ($ millions)

   882     879    934     940    936  

Total Preferred ($ millions)

   —       —      —       —      —    

Total Equity ($ millions)

   862     857    894     895    893  

NON-GAAP MEASURES

            

Return on Average Common Equity – Operational (%)

   16.0     16.0    12.5     11.9    12.6  

Return on Average Invested Capital – Operational (%)

   9.9     9.9    8.1     7.7    8.2  

Net Debt to Net Capital Ratio (%)

   47.4     46.4    49.0     44.7    49.7  

Certain prior year data has been reclassified to conform with current year presentation.

 

29


Table of Contents

UTILITY SECURITIES DETAIL

UTILITY LONG-TERM DEBT AND PREFERRED STOCK

ENTERGY ARKANSAS, INC.

 

BONDS:

CUSIP

                 

Maturity

  

First Call

  

Current or

  As of December 31,  
      Type*   Rate    Date    Date    First Call Price   2007     2006     2005  
                                 (in millions)  

29364DAM2

  

4.50% Series

   M   4.50%    05/10    Now   

MW (T + .25%)

    100       100       100  

732835AW3

  

6.3% Series – Pope County(c)

  

G(b)

  6.3%    2016    Now    100%     20       20       20  

472712EQ7

  

5.6% Series – Jefferson County

  

G(b)

  5.6%    2017    Now    100%     —         —         46  

472712ER5

  

4.6% Series – Jefferson County(c)

  

G(b)

  4.6%    10/17    6/13/11    100%     55       55       —    

472712DN5

  

6.3% Series – Jefferson County(c)

  

G(b)

  6.3%    2018    Now    101%     —         —         9  

29364DAE0

  

5.4% Series

   M   5.4%    05/18    Now    MW (T + .25%)     150       150       150  

29364DAH3

  

5.0% Series

   M   5.0%    07/18    Now    MW (T + .25%)     115       115       115  

732835BA0

  

6.3% Series – Pope County

  

G(b)

  6.3%    2020    Now    100%     120       120       120  

453424BP

  

5.0% Series – Independence County(c)

  

G(b)

  5.0%    2021    7/1/10    100%     45       45       45  

29364DAL4

  

5.66% Series

   M   5.66%    02/25    Now    MW (T + .20%)     175       175       175  

29364D811

  

6.7% Series

   M   6.7%    04/32    Now    100%     100       100       100  

29364D795

  

6.0% Series

   M   6.0%    11/32    Now    100%     100       100       100  

29364DAJ9

  

5.9% Series

   M   5.9%    06/33    Now    MW (T + .25%)     100       100       100  

29364DAK6

  

6.38% Series

   M   6.38%    11/34    Now    MW (T + .25%)     60       60       60  
    

Total bonds

                            1,139       1,139       1,139  

OTHER LONG-TERM DEBT:

                   
  

Long-Term United States Department of Energy Obligation(d)

                  177       169       161  
  

Unamortized Premium and Discount – Net

                  (2 )     (2 )     (2 )
    

Other

                            —         —         —    

TOTAL LONG-TERM DEBT

                  1,315       1,306       1,298  

Less Amount Due Within One Year

                            —         —         —    

Long-Term Debt Excluding Amount Due Within One Year

                          $  1,315     $  1,306     $  1,298  

Fair Value of Long-Term Debt(a)

                          $ 1,101     $ 1,113     $ 1,141  

* M = Mortgage; G = Governmental

                   

Weighted-average annualized coupon rate

                            5.6 %     5.6 %     5.7 %

 

(a)

The fair value excludes lease obligations, long-term DOE obligations, and other long-term debt and includes debt due within one year. It is determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

Consists of pollution control revenue bonds and environmental revenue bonds.

 

(c)

The bonds are secured by a series of collateral first mortgage bonds.

 

(d)

Pursuant to the Nuclear Waste Policy Act of 1982, Entergy’s nuclear owner/licensee subsidiaries have contracts with the DOE for spent nuclear fuel disposal service. The contracts include a one-time fee for generation prior to April 7, 1983. Entergy Arkansas is the only Entergy company that generated electric power with nuclear fuel prior to that date and includes the one-time fee, plus accrued interest, in long-term debt.

Totals may not foot due to rounding.

 

PREFERRED STOCK:     Shares Authorized and Outstanding As
of December 31,
   As of December 31,    Call Price
Per Share as
of
December 31,
CUSIP    Rate     2007    2006    2005    2007    2006    2005    2007
                               (in millions)     
  

Without sinking fund:

                      
  

Cumulative, $100 par value:

                      

29364D209

  

4.32% Series

   4.32 %   70,000    70,000    70,000    $ 7    $ 7    $ 7    $ 103.65

29364D506

  

4.72% Series

   4.72 %   93,500    93,500    93,500      9      9      9      107.00

29364D308

  

4.56% Series

   4.56 %   75,000    75,000    75,000      8      8      8      102.83

29364D407

  

4.56% 1965 Series

   4.56 %   75,000    75,000    75,000      8      8      8      102.50

29364D605

  

6.08% Series

   6.08 %   100,000    100,000    100,000      10      10      10      102.83

29364D704

  

7.32% Series

   7.32 %   —      —      100,000      —        —        10      —  

29364D803

  

7.80% Series

   7.80 %   —      —      150,000      —        —        15      —  

29364D829

  

7.40% Series

   7.40 %   —      —      200,000      —        —        20      —  

29364D852

  

7.88% Series

   7.88 %   —      —      150,000      —        —        15      —  
  

Cumulative, $25 par value:

                      

29364D787

  

6.45% Series(b)

   6.45 %   3,000,000    3,000,000    —        75      75      —        —  
  

Cumulative, $0.01 par value:

                      

29364D837

  

$1.96 Series(a)

         —      —      600,000      —        —        15      —  
    

Total without sinking fund

         3,413,500    3,413,500    1,613,500    $ 116    $ 116    $ 116       

 

(a)

The total dollar value represents the liquidation value of $25 per share.

 

(b)

Series is non-callable until April 2011; thereafter callable at par.

Totals may not foot due to rounding.

 

30


Table of Contents

UTILITY SECURITIES DETAIL

UTILITY LONG-TERM DEBT AND PREFERRED STOCK

ENTERGY GULF STATES LOUISIANA, L.L.C.

 

BONDS:             Maturity    First Call    Current or   As of December 31,  
CUSIP    Type*   Rate    Date    Date    First Call Price   2007     2006     2005  
                                 (in millions)  

29364LAG7

  

3.6% Series

  

M(c)

  3.6%    06/08    Now    100%     325       325       325  

296364LAW2

  

Libor + 0.75% Series

  

M(c)

  Libor + 0.75%    12/08    Now    100%     350       350       350  

29364LAN5

  

Libor + 0.4% Series

  

M(c)

  Libor + 0.4%    12/09    Now    100%     219       225       225  

29364LAV4

  

5.12% Series

   M(c)   5.12%    08/10    Now    100%     100       100       100  

128318BL5

  

5.45% Series – Calcasieu Parish

  

G(b,c)

  5.45%    2010    Now    100%     22       22       22  

730816AF9

  

6.75% Series – Calcasieu Parish

   G(b,c)   6.75%    2012    Now    100%     48       48       48  

29364LAQ5

  

4.875% Series

   M(c)   4.875%    11/11    Now    100%     200       200       200  

29364LAF9

  

6.0% Series

  

M(c)

  6.0%    12/12    Now    100%     140       140       140  

730816AF9

  

6.7% Series – Pointe Coupee Parish

   G(b,c)   6.7%    2013    Now    100%     17       17       17  

450877AJ

  

5.7% Series – Iberville Parish

   G(b,c)   5.7%    2014    Now    100%     22       22       22  

952789AU9,

                      

952789AV7

                      

29364LAS1

  

5.6% Series

  

M(c)

  5.6%    12/14    Now    100%     50       50       50  

29364LAU6

  

5.70% Series

   M(c)   5.70%    06/15    Now   

MW (T +. 30%)

    200       200       200  

952789AQ8

  

5.8% Series – West Feliciana Parish

  

G(b,c)

  5.8%    2015    Now    100%     28       28       28  

952789AW5

  

7.0% Series – West Feliciana Parish

   G(b,c)   7.0%    2015    Now    100%     39       39       39  

29364LAN2

  

5.25% Series

  

M(c)

  5.25%    08/15    Now    100%     200       200       200  

952789AR6

  

5.8% Series – West Feliciana Parish

   G(b,c)   5.8%    2016    Now    100%     20       20       20  

952789BB0

  

6.6% Series – West Feliciana Parish

   G(b,c)   6.6%    2028    Now    100%     40       40       40  

29364LAL6

  

6.2% Series

  

M(c)

  6.2%    07/33    Now    MW (T + .15%)     240       240       240  

2936LAT9

  

6.18% Series

  

M(c)

  6.18%    03/35    Now    MW (T + .30%)     85       85       85  
    

Total bonds

                            2,346       2,352       2,352  

OTHER LONG-TERM DEBT:

                   
  

Unamortized Premium and Discount – Net

                  (1 )     (2 )     (3 )
    

Other

                            4       9       9  

TOTAL LONG-TERM DEBT

                  2,349       2,358       2,358  

Less Amount Due Within One Year

                            675       —         —    
Long-Term Debt Excluding Amount Due Within One Year                           $ 1,674     $ 2,358     $ 2,358  

Fair Value of Long-Term Debt(a)

                $ 2,283     $ 2,324     $ 2,365  

* M = Mortgage; G = Governmental

                   

Weighted-average annualized coupon rate

                            5.5 %     5.5 %     5.3 %

 

(a)

The fair value excludes lease obligations, long-term DOE obligations, and other long-term debt and includes debt due within one year. It is determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

Consists of pollution control revenue bonds and environmental revenue bonds.

 

(c)

Entergy Gulf States Louisiana remains primarily liable for all of the long-term debt issued by Entergy Gulf States, Inc. that was outstanding on December 31,2007. Under a debt assumption agreement with Entergy Gulf States Louisiana, Entergy Texas assumed 46% of this long-term debt. Entergy Gulf States Louisiana recorded an assumption asset on its balance sheet to reflect the long-term debt assumed by Entergy Texas.

Totals may not foot due to rounding.

 

PREFERRED MEMBERSHIP INTERESTS:

CUSIP

        

Shares Authorized and
Outstanding As of

December 31,

   As of December 31,   

Redemption

Price Per Share

as of December 31,

2007

   Rate     2007    2006    2005    2007    2006    2005   
                               (in millions)     

Cumulative, $100 liquidation value

                      
  

8.25% Series(c)

     100,000    —      —      $ 10      —        —      —  

Authorized 6,000,000 shares, $100 par value, cumulative

                      
   Without sinking fund:                       

29364L201

  

4.40% Series

   4.40 %   —      51,173    51,173      —      $ 5    $ 5    —  

29364L789

  

4.50% Series

   4.50 %   —      5,830    5,830      —        1      1    —  

29364L797

  

4.40% 1949 Series

   4.40 %   —      1,655    1,655      —        —        —      —  

29364L805

  

4.20% Series

   4.20 %   —      9,745    9,745      —        1      1    —  

29364L300

  

4.44% Series

   4.44 %   —      14,804    14,804      —        1      1    —  

29364L508

  

5.00% Series

   5.00 %   —      10,993    10,993      —        1      1    —  

29364L607

  

5.08% Series

   5.08 %   —      26,845    26,845      —        3      3    —  

29364L409

  

4.52% Series

   4.52 %   —      10,564    10,564      —        1      1    —  

29364L706

  

6.08% Series

   6.08 %   —      32,829    32,829      —        3      3    —  

29364L847

  

7.56% Series

   7.56 %   —      308,830    308,830      —        31      31    —  
  

Total without sinking fund

     100,000    473,268    473,268    $ 10    $ 47    $ 47   
   With sinking fund:                       

29364L839

  

Adjustable Rate – A, 7.0%(b)

   7.0 %   —      60,000    72,000      —        6      7    —  

29364L821

  

Adjustable Rate – B, 7.0%(b)

   7.0 %   —      45,000    67,500      —        4      7    —  
    

Total with sinking fund

         —      105,000    139,500      —      $ 10    $ 14     

Fair Value of Preferred Membership Interests with sinking fund(a)

     —      $ 8    $ 15     

 

(a)

Fair values were determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

Represents weighted-average annualized rates for 2006 and 2005.

 

(c)

Series is non-callable until January 2016; thereafter callable at par.

Totals may not foot due to rounding.

 

31


Table of Contents

UTILITY SECURITIES DETAIL

UTILITY LONG-TERM DEBT AND PREFERRED STOCK

ENTERGY LOUISIANA, LLC

 

BONDS:

CUSIP

         Type*        

Maturity
Date

   First Call
Date
   Current or
First Call Price
  As of December 31,  
        Rate             2007     2006     2005  
                                  (in millions)  

29364WAD0

  

4.67% Series

   M   4.67 %   06/10    Now    MW (T + .20%)   $ 55     $ 55     $ 55  

29364WAG3

  

5.83% Series

   M   5.83 %   11/10    Now    100%     150       150       150  

29364WAC2

  

5.09% Series

   M   5.09 %   9/14    Now    MW (T + .20%)     115       115       115  

29364WAE8

  

5.56% Series

   M   5.56 %   09/15    Now    MW (T + .25%)     100       100       100  

29364WAA6

  

5.5% Series

   M   5.5 %   04/19    Now    MW (T + .25%)     100       100       100  

788050AE2

  

5.95% Series – St. Charles Parish(c)

   G(b)   5.95 %   2023    Now    101%     —         —         25  

788070CD0

  

Auction Rate – St. Charles Parish(c)

   G(b)   3.5 %   2030    Now    100%     60       60       60  

29364W207

  

7.6% Series

   M   7.6 %   04/32    Now    100%     150       150       150  

29364WAB4

  

6.4% Series

   M   6.4 %   10/34    Now    MW (T + .25%)     70       70       70  

29364WAF5

  

6.3% Series

   M   6.3 %   09/35    Now    MW (T + .35%)     100       100       100  
    

Total bonds

                             900       900       925  
OTHER LONG-TERM DEBT:                   
  

Waterford 3 Lease Obligation 7.45%

     7.45 %             248       248       248  
    

Unamortized Premium and Discount – Net

                             —         —         —    
TOTAL LONG-TERM DEBT                  1,148       1,148       1,172  

Less Amount Due Within One Year

                             —         —         —    
Long-Term Debt Excluding Amount Due Within One Year                            $ 1,148     $ 1,148     $ 1,172  

Fair Value of Long-Term Debt(a)

                           $ 875     $ 870     $ 935  

* M = Mortgage; G = Governmental

                  

Weighted-average annualized coupon rate

                             6.2 %     6.2 %     6.2 %

 

(a)

The fair value excludes lease obligations, long-term DOE obligations, and other long-term debt and includes debt due within one year. It is determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

Consists of pollution control revenue bonds and environmental revenue bonds.

 

(c)

The bonds are secured by a series of collateral first mortgage bonds.

Totals may not foot due to rounding.

ENTERGY LOUISIANA HOLDINGS, INC.(a)

 

PREFERRED STOCK:

CUSIP

             

Shares Authorized and

Outstanding As of

December 31,

   As of December 31,   

Call Price Per
Share as of
December 31,

2007

         Rate     2007    2006    2005    2007    2006    2005   
                               (in millions)     
   Without sinking fund:                       
  

Cumulative, $100 par value:

                      

29364M407

  

4.96% Series

   4.96 %   —      —      60,000    $  —      $  —      $ 6    —  

29364M209

  

4.16% Series

   4.16 %   —      —      70,000      —        —        7    —  

29364M308

  

4.44% Series

   4.44 %   —      —      70,000      —        —        7    —  

29364M506

  

5.16% Series

   5.16 %   —      —      75,000      —        —        8    —  

29364M605

  

5.40% Series

   5.40 %   —      —      80,000      —        —        8    —  

29364M704

  

6.44% Series

   6.44 %   —      —      80,000      —        —        8    —  

29364M845

  

7.84% Series

   7.84 %   —      —      100,000      —        —        10    —  

29364M837

  

7.36% Series

   7.36 %   —      —      100,000      —        —        10    —  
  

Cumulative, $25 par value:

                      

29364M803

  

8.00% Series

   8.00 %   —      —      1,480,000      —        —        37    —  
    

Total without sinking fund

         —      —      2,115,000    $ —      $ —      $ 101    —  

 

(a)

On December 31, 2005, and immediately prior to the formation of Entergy Louisiana, LLC (ELL), Entergy Louisiana, Inc. (ELI) changed its state of incorporation from Louisiana and its name to Entergy Louisiana Holdings, Inc. (ELH). ELH succeeded to ELI’s rights and obligations with respect to ELI’s outstanding preferred stock. In June 2006, ELH redeemed all of its preferred stock and amended its charter to eliminate authority to issue any future series of preferred stock.

Totals may not foot due to rounding.

ENTERGY LOUISIANA, LLC

PREFERRED MEMBERSHIP INTERESTS:

 

               

Shares Authorized and

Outstanding As of

December 31,

   As of December 31,   

Call Price Per
Share as of
December 31,

2007

CUSIP          Rate     2007    2006    2005    2007    2006    2005   
                               (in millions)     
   Without sinking fund:                       
  

Cumulative, $100 par value:

                      

293649208

  

6.95% Series (a)

   6.95 %   1,000,000    1,000,000    1,000,000    $ 100    $ 100    $ 100    —  

 

(a)

Series is non-callable until December 2010; thereafter callabe at par.

 

32


Table of Contents

UTILITY LONG-TERM DEBT AND PREFERRED STOCK

ENTERGY MISSISSIPPI, INC.

 

BONDS:

CUSIP

                             

Current

or First

  As of December 31,  
         Type*     Rate    

Maturity

Date

  

First Call

Date

  

Call

Price

  2007     2006     2005  
                                    (in millions)  

29364NAJ7

  

4.35% Series

   M     4.35 %   04/08    Now    100%   $ —       $ 100     $ 100  

29364NAM0

  

4.65% Series

   M     4.65 %   05/11    Now    MW (T + .30%)     80       80       80  

29364NAH1

  

5.15% Series

   M     5.15 %   02/13    Now    MW (T + .20%)     100       100       100  

29364NAN8

  

5.92% Series

   M     5.92 %   02/16    Now    MT (T + .30%)     100       100       —    

29364NAK4

  

4.95% Series

   M     4.95 %   06/18    Now    MW (T + .25%)     95       95       95  

605277AF9

  

4.60% Series –

                  
   Mississippi Business Finance Corp.(c)    G (b)   4.60 %   2022    10/1/09    100%     16       16       16  

453424BN2

  

Auction Rate – Independence County(c)

   G (b)   3.63 %   2022    Now    100%     30       30       30  

29364N876

  

6.0% Series

   M     6.0 %   11/32    Now    100%     75       75       75  

29364N868

  

7.25% Series

   M     7.25 %   12/32    Now    100%     100       100       100  

29364NAL2

  

6.25% Series

   M     6.25 %   04/34    Now    MW (T + .25%)     100       100       100  

Total

bonds

                                    696       796       696  

OTHER LONG-TERM DEBT:

                  
    

Unamortized Premium and Discount – Net

                               (1 )     (1 )     (1 )

TOTAL LONG-TERM DEBT

                 695       795       695  

Less Amount Due Within One Year

                               —         —         —    
Long-Term Debt Excluding Amount Due Within One Year                              $ 695     $ 795     $ 695  

Fair Value of Long-Term Debt(a)

                             $ 671     $ 779     $ 698  

*  M = Mortgage; G = Governmental

                  

Weighted-average annualized coupon rate

                               5.7 %     5.5 %     5.4 %

 

(a)

The fair value excludes lease obligations, long-term DOE obligations, and other long-term debt and includes debt due within one year. It is determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

Consists of pollution control revenue bonds and environmental revenue bonds.

 

(c)

The bonds are secured by a series of collateral first mortgage bonds.

Totals may not foot due to rounding.

 

                

Shares Authorized

And Outstanding As Of

December 31,

  

 

As of December 31,

  

Call Price Per

Share as of
December 31,

2007

PREFERRED STOCK:

CUSIP

                 
      Rate     2007    2006    2005    2007    2006    2005   
                               (in millions)     
  

Without sinking fund:

                      
  

Cumulative, $100 par value:

                      

29364N207

  

4.36% Series

   4.36 %   59,920    59,920    59,920    $ 6    $ 6    $ 6    $ 103.88

29364N306

  

4.56% Series

   4.56 %   43,887    43,887    43,887      4      4      4      107.00

29364N405

  

4.92% Series

   4.92 %   100.000    100,000    100,000      10      10      10      102.88
  

Cumulative, $25 par value:

                      

29364N850

  

6.25% Series(a)

   6.25 %   1,200,000    1,200,000    1,200,000      30      30      30      —  
    

Total without sinking fund

         1,403,807    1,403,807    1,403,807    $ 50    $ 50    $ 50       

 

(a)

Series is non-callable until August 2010; thereafter callable at par.

Totals may not foot due to rounding.

 

33


Table of Contents

UTILITY SECURITIES DETAIL

UTILITY LONG-TERM DEBT AND PREFERRED STOCK

ENTERGY NEW ORLEANS, INC.

 

BONDS:

CUSIP

         Type*    Rate    Maturity
Date
   First Call
Date
   Current or
First Call Price
   As of December 31,  
                     2007     2006     2005  
                                   (in millions)  

29364PAE3

  

3.875% Series

   M    3.88%    08/08    Now    MW (T + .25%)      30       30       30  

29364PAL7

  

4.98% Series

   M    4.98%    07/10    Now    101%      30       30       30  

29364PAF0

  

5.25% Series

   M    5.25%    08/13    Now    MW (T + .25%)      70       70       70  

29364PAD5

  

6.75% Series

   M    6.75%    10/17    Now    100%      25       25       25  

29364PAK9

  

5.6% Series

   M    5.60%    09/24    9/1/08    100%      35       35       35  

29364PAJ2

  

5.65% Series

   M    5.65%    09/29    9/1/09    100%      40       40       40  
    

Total bonds

                              230       230       230  

OTHER LONG-TERM DEBT:

                     

Affiliated Notes Payable

                    74       —         —    

Unamortized Premium and Discount – Net

                    —         —         —    

TOTAL LONG-TERM DEBT(b)

                    304       230       230  

Less Amount Due Within One Year

                              30       —         —    
Long-Term Debt Excluding Amount Due Within One Year                             $ 274     $ 230     $ 230  

Fair Value of Long-Term Debt(a)

                            $ 220     $ 219     $ 199  

* M = Mortgage; G = Governmental

                     

Weighted-average annualized coupon rate

                              5.3 %     5.3 %     5.3 %

 

(a)

The fair value excludes lease obligations, long-term DOE obligations, and other long-term debt and includes debt due within one year. It is determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

The 2005 long-term debt is classified as Liabilities Subject to Compromise on the Balance Sheet.

Totals may not foot due to rounding.

 

PREFERRED STOCK:

CUSIP

        

Shares Authorized

and Outstanding

As of December 31,

  

As of

December 31,

   Call Price Per
Share as of
December 31,
   Rate     2007    2006    2005    2007    2006    2005    2007
                               (in millions)     
  

Without sinking fund:

                      
  

Cumulative, $100 par value:

                      
29364P301   

4.75% Series

   4.75 %   77,798    77,798    77,798    $ 8    $ 8    $ 8    $ 105.00
29364P202   

4.36% Series

   4.36 %   60,000    60,000    60,000      6      6      6      104.58
29364P400   

5.56% Series

   5.56 %   60,000    60,000    60,000      6      6      6      102.59
    

Total without sinking fund

         197,798    197,798    197,798    $ 20    $ 20    $ 20       

SYSTEM ENERGY RESOURCES, INC.

 

BONDS:

CUSIP

             Rate    Maturity
Date
   First Call
Date
   Current or
First Call Price
   As of December 31,  
      Type*               2007     2006     2005  
                                  (in millions)  

871911AQ6

  

4.875% Series

   M   4.88%    10/07    Now    MW (T + .30%)    $  —       $ 70     $ 70  
  

6.2% Series

   M   6.20%               70       —         —    
  

5.875% Series –

                    

179423AC2

  

Mississippi Business Finance Corp.

   G(b)   5.875%    2022    Now    100%      216       216       216  
  

5.9% Series –

                    

605277AC6

  

Mississippi Business Finance Corp.

   G(b)   5.9%    2022    Now    100%      103       103       103  

179423AK4

  

6.2% Series – Claiborne County

   G(b)   6.2%    2026    Now    100%      90       90       90  
    

Total bonds

                             479       479       479  

OTHER LONG-TERM DEBT:

                    

Grand Gulf Lease Obligation 5.13%

     5.13%               322       345       365  

Unamortized Premium and Discount – Net

                             (1 )     (1 )     (1 )

TOTAL LONG-TERM DEBT

                   800       823       843  

Less Amount Due Within One Year

                             27       93       23  

Long-Term Debt Excluding Amount Due Within One Year

                           $ 773     $ 730     $ 820  

Fair Value of Long-Term Debt(a)

                           $ 481     $ 480     $ 475  

* M = Mortgage; G = Governmental

                    

Weighted-average annualized coupon rate

                             5.6 %     5.6 %     5.6 %

 

(a)

The fair value excludes lease obligations, long-term DOE obligations, and other long-term debt and includes debt due within one year. It is determined using bid prices reported by dealer markets and by nationally recognized investment banking firms.

 

(b)

Consists of pollution control revenue bonds and environmental revenue bonds.

Totals may not foot due to rounding.

 

34


Table of Contents

UTILITY STATISTICAL INFORMATION

UTILITY TOTAL CAPABILITY

 

     Operated   

Owned &

Leased (MW)(a)

   Operated
(MW)
As of December 31, 2007.    Plants    Units      

Plants that use fuel type:

           

Gas/Oil

   27    71    14,728    15,462

Coal

   3    5    2,244    3,868

Petroleum Coke

   1    2    —      200

Total Fossil

   31    78    16,972    19,530

Hydro

   3    7    67    147

Nuclear

   4    5    5,106    5,233

Total Capability

   38    90    22,145    24,910

All plants that have units with multiple fuel types are in the Gas & Oil plant count.

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

UTILITY SELECTED OPERATING DATA

 

      2007    2006     2005     2004    2003  

SOURCES OF ENERGY (GWh)(a)

            

Net Generation:

            

Gas & Oil

   24,131    18,703     21,388     22,619    22,797  

Coal

   15,035    14,383     13,502     15,359    14,057  

Nuclear

   40,988    41,687     38,432     41,710    40,628  

Hydro

   135    74     97     151    115  

Total Net Generation

   80,289    74,847     73,419     79,839    77,597  

Purchased Power:

            

Affiliated Companies

   729    1,428     3,501     1,545    1,027  

Non-affiliated Companies

   33,978    36,974     36,689     36,422    36,660  

Total Purchased Power

   34,707    38,402     40,190     37,967    37,687  

Total Sources of Energy

   114,996    113,249     113,609     117,806    115,284  

USES OF ENERGY (GWh)(a)

            

Electric Energy Sales:

            

Residential

   33,281    31,665     31,569     32,897    32,817  

Commercial

   27,408    25,079     24,401     26,468    25,863  

Industrial

   38,985    38,339     37,615     40,293    38,637  

Governmental

   2,339    1,580     1,568     2,568    2,651  

Total Retail

   102,013    96,663     95,153     102,226    99,968  

Sales for Resale

   6,145    10,803     11,460     8,623    9,248  

Unbilled Energy

   277    (167 )   (823 )   1,140    249  

Total Electric Energy Sales

   108,435    107,299     105,790     111,989    109,465  

Line Losses and Company Usage

   6,561    5,950     7,819     5,817    5,819  

Total Uses of Energy

   114,996    113,249     113,609     117,806    115,284  

Peak Demand (MW)

   22,001    20,887     21,391     21,174    20,162  

Operational Summer Capacity at Peak (MW)

   23,996    22,087     22,247     21,207    21,144  

Annual System Load Factor (%)

   59    62     59     60    62  

Retail Electric Sales Growth Rate (%)(a)

   5.5    1.6     (1.1 )   2.3    (1.6 )

Retail Electric Sales Weather-Adjusted Growth Rate (%)(a)

   6.0    1.9     (2.7 )   2.8    (1.4 )

Regional Gross Domestic Product Rate (%)

   3.8    2.6     (0.3 )   2.5    2.2  

National Gross Domestic Product Rate (%)

   2.2    3.3     3.6     4.4    3.0  

Average Fuel Cost (cents/KWh)(a)

            

Natural Gas

   8.05    7.75     9.91     7.31    6.53  

Nuclear Fuel

   0.57    0.51     0.49     0.49    0.48  

Coal

   1.85    1.76     1.57     1.39    1.26  

Fuel Oil

   14.13    13.34     7.05     5.02    5.04  

Purchased Power

   5.62    5.48     6.37     4.51    4.24  

 

(a)

2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

 

35


Table of Contents

UTILITY STATISTICAL INFORMATION

2007 CONSOLIDATING UTILITY ELECTRIC STATISTICAL INFORMATION

 

     EAI   EGSL   ELL   EMI     ENOI   SERI     ELIMINATIONS     TOTAL    %  

ELECTRIC OPERATING REVENUES ($ thousands)

 

Residential

  689,885   1,042,036   853,780   500,097     142,497   —       —       3,228,295    36 %

Commercial

  408,561   817,252   578,025   427,545     181,438   —       —       2,412,821    27 %

Industrial

  406,984   1,034,508   871,853   185,119     46,697   —       —       2,545,161    28 %

Governmental

  18,972   45,293   43,550   40,417     72,467   —       —       220,698    2 %

Total Retail

  1,524,402   2,939,089   2,347,208   1,153,178     443,099   —       —       8,406,975    93 %

Sales for Resale

  458,372   429,130   318,001   171,710     103,843   553,189     (1,641,034 )   393,211    4 %

Other

  50,191   79,789   72,343   47,914     10,516   4     (14,642 )   246,115    3 %

Total

  2,032,965   3,448,008   2,737,552   1,372,802     557,458   553,193     (1,655,676 )   9,046,301    100 %

FUEL REVENUES (included in above revenues)

 

Residential

  124,582   558,223   415,883   215,446     71,496   —       —       1,385,630    32 %

Commercial

  92,056   484,589   280,200   192,289     101,932   —       —       1,151,066    27 %

Industrial

  115,077   774,234   614,448   100,293     28,745   —       —       1,632,797    38 %

Governmental

  4,308   24,066   21,305   16,605     42,750   —       —       109,034    3 %

Total Retail

  336,023   1,841,112   1,331,836   524,633     244,923   —       —       4,278,527    100 %

SOURCES OF ENERGY (GWh)

 

Net Generation:

                  

Gas & Oil

  89   7,669   8,784   5,734     1,855   —       —       24,131    21 %

Coal

  7,935   4,074   —     3,026     —     —       —       15,035    13 %

Nuclear

  15,486   7,188   9,893   —       —     8,421     —       40,988    36 %

Hydro

  135   —     —     —       —     —       —       135    0 %

Total Net Generation

  23,645   18,931   18,677   8,760     1,855   8,421     —       80,289    70 %

Purchased Power:

                  

Affiliated Companies

  3,636   5,514   6,025   4,602     3,428   —       (22,476 )   729    1 %

Non-affiliated Companies

  5,790   17,658   7,484   2,706     340   —       —       33,978    30 %

Total Purchased Power

  9,426   23,172   13,509   7,308     3,768   —       (22,476 )   34,707    30 %

Total Sources of Energy

  33,071   42,103   32,186   16,068     5,623   8,421     (22,476 )   114,996    100 %

USES OF ENERGY (GWh)

 

Electric Energy Sales:

                  

Residential

  7,725   10,215   8,646   5,474     1,221   —       —       33,281    33 %

Commercial

  5,945   8,980   5,848   4,872     1,763   —       —       27,408    27 %

Industrial

  7,424   15,012   13,209   2,771     568   —       —       38,985    38 %

Governmental

  277   448   446   421     747   —       —       2,339    2 %

Total Retail

  21,371   34,655   28,149   13,538     4,299   —       —       102,013    100 %

Sales for Resale

  9,836   5,388   2,411   1,493     1,010   8,440     (22,433 )   6,145    —    

Unbilled Energy

  35   125   124   (22 )   15   —       —       277    —    

Total Electric Energy Sales

  31,242   40,168   30,684   15,009     5,324   8,440     (22,433 )   108,435    —    

Line Losses and Company Usage

  1,829   1,935   1,502   1,059     299   (19 )   (45 )   6,561    —    

Total Uses of Energy

  33,071   42,103   32,186   16,068     5,623   8,421     (22,476 )   114,996    —    

AVERAGE ELECTRIC REVENUE (cents/KWh)

 

Residential

  8.93   10.20   9.87   9.14     11.67   —       —       9.70    —    

Commercial

  6.87   9.10   9.88   8.78     10.29   —       —       8.80    —    

Industrial

  5.48   6.89   6.60   6.68     8.22   —       —       6.53    —    

Governmental

  6.85   10.11   9.76   9.60     9.70   —       —       9.44    —    

NUMBER OF RETAIL ELECTRIC CUSTOMERS(a)
(as of December 31, 2007)

  

Residential

  576,975   661,705   568,893   361,725     115,523   —       —       2,284,821    86 %

Commercial

  86,532   89,712   73,012   63,642     12,211   —       —       325,109    12 %

Industrial

  20,040   9,254   8,374   3,109     2,765   —       —       43,542    2 %

Governmental

  618   3,727   5,229   4,096     1,308   —       —       14,978    1 %

Total Retail Customers

  684,165   764,398   655,508   432,572     131,807   —       —       2,668,450    100 %

 

(a)

Customer count data reflects estimates of customers in the hardest hit areas affected by Hurricane Katrina. Issues associated with temporary housing and resumption of service at permanent dwellings render precise counts difficult at this time.

Totals may not foot due to rounding.

 

36


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY ARKANSAS, INC.

 

      2007    2006    2005     2004    2003  

ELECTRIC OPERATING REVENUES ($ thousands)

             

Residential

   689,885    705,998    620,327     539,293    525,558  

Commercial

   408,561    417,914    347,641     304,809    291,442  

Industrial

   406,984    435,931    361,879     318,440    305,333  

Governmental

   18,972    19,390    17,722     15,796    14,792  

Total Retail

   1,524,402    1,579,233    1,347,569     1,178,338    1,137,125  

Sales for Resale

   458,372    472,509    403,090     436,049    421,893  

Other

   50,191    40,941    38,397     38,758    30,652  

Total Electric Operating Revenues

   2,032,965    2,092,683    1,789,056     1,653,145    1,589,670  

FUEL REVENUES (included in above revenues)

             

Residential

   124,582    183,931    107,585     70,315    63,152  

Commercial

   92,056    139,330    81,478     54,558    47,930  

Industrial

   115,077    179,291    103,181     69,712    63,204  

Governmental

   4,308    6,521    4,034     2,741    2,368  

Total Retail Fuel Revenues

   336,023    509,073    296,278     197,326    176,654  

SOURCES OF ENERGY (GWh)

             

Net Generation:

             

Gas & Oil

   89    54    266     158    493  

Coal

   7,935    7,226    6,899     8,070    7,519  

Nuclear

   15,486    15,233    13,681     15,442    14,689  

Hydro

   135    74    97     151    115  

Total Net Generation

   23,645    22,587    20,943     23,821    22,816  

Purchased Power:

             

Affiliated Companies

   3,636    3,898    4,731     3,471    3,630  

Non-affiliated Companies

   5,790    7,107    5,858     6,562    7,293  

Total Purchased Power

   9,426    11,005    10,589     10,033    10,923  

Total Sources of Energy

   33,071    33,592    31,532     33,854    33,739  

USES OF ENERGY (GWh)

             

Electric Energy Sales:

             

Residential

   7,725    7,655    7,653     7,028    7,057  

Commercial

   5,945    5,816    5,730     5,428    5,328  

Industrial

   7,424    7,587    7,334     7,004    6,999  

Governmental

   277    273    288     275    266  

Total Retail

   21,371    21,331    21,005     19,735    19,650  

Sales for Resale

   9,836    10,608    8,658     12,348    12,435  

Unbilled Energy

   35    21    (83 )   121    (57 )

Total Electric Energy Sales

   31,242    31,960    29,580     32,204    32,028  

Line Losses and Company Usage

   1,829    1,632    1,952     1,650    1,711  

Total Uses of Energy

   33,071    33,592    31,532     33,854    33,739  

AVERAGE ELECTRIC REVENUE (cents/KWh)

             

Residential

   8.93    9.22    8.11     7.67    7.45  

Commercial

   6.87    7.19    6.07     5.62    5.47  

Industrial

   5.48    5.75    4.93     4.55    4.36  

Governmental

   6.85    7.10    6.16     5.75    5.56  

NUMBER OF RETAIL ELECTRIC CUSTOMERS

             

(as of December 31)

             

Residential

   576,975    572,865    571,168     562,899    557,025  

Commercial

   86,532    84,768    82,508     82,778    81,082  

Industrial

   20,040    21,026    20,364     21,212    21,336  

Governmental

   618    662    643     601    564  

Total Retail Customers

   684,165    679,321    674,683     667,490    660,007  

 

37


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY ARKANSAS, INC.

GENERATION PORTFOLIO

 

                                    Total Plant - 2007
Plant    Unit    Ownership     Commercial
Operation
   Owned &
Leased
Capability
(MW)
(a)
   Fuel Type   Purpose   

Net

Generation
(MWH)

    Expenses
Per Net
MWH
   

Total
Production
Expense

($ 000)

Cecil Lynch

   2    100 %   1949    60    Gas/Oil   Peaking    32,966     250.83     8,269
     3    100 %   1954    110    Gas/Oil   Peaking                 

Harvey Couch

   1    100 %   1943    12    Gas/Oil   Reserve    25,113     262.69     6,597
     2    100 %   1954    125    Gas/Oil   Intermediate                 

Lake Catherine

   1    100 %   1950    —      Gas/Oil   Reserve    25,877     290.30     7,512
   2    100 %   1950    —      Gas/Oil   Reserve       
   3    100 %   1953    —      Gas/Oil   Reserve       
     4    100 %   1970    547    Gas/Oil   Peaking                 

Hamilton Moses

   1    100 %   1951    70    Gas/Oil   Reserve    (145 )   (3,786.21 )   549
     2    100 %   1951    70    Gas/Oil   Reserve                 

Mabelvale

   1    100 %   1970    14    Gas/Oil   Peaking    5,852     256.32     1,500
   2    100 %   1970    14    Gas/Oil   Peaking       
   3    100 %   1970    14    Gas/Oil   Peaking       
     4    100 %   1970    14    Gas/Oil   Peaking                 

Robert Ritchie

   1    100 %   1961    300    Gas/Oil   Reserve    (649 )   (1,249.61 )   811
     3    100 %   1970    16    Gas/Oil   Peaking    2     65,500.00     131

Independence

   1    31.5 %   1983    263    Coal   Base    2,056,047     20.20     41,528

White Bluff

   1    57 %   1980    465    Coal   Base    5,879,342     22.70     133,471
     2    57 %   1981    470    Coal   Base                 

Cecil Lynch

   Diesel    100 %   1967    5    Oil   Peaking    —       —       5

Carpenter

   1    100 %   1932    29    Hydro   Peaking    104,737     12.12     1,269
     2    100 %   1933    30    Hydro   Peaking                 

Remmel

   1    100 %   1923    4    Hydro   Peaking    30,004     24.43     733
   2    100 %   1923    —      Hydro   Peaking       
     3    100 %   1923    4    Hydro   Peaking                 

Arkansas Nuclear One

   1    100 %   1974    843    Nuclear PWR(b)   Base    15,486,099     16.39     253,836
     2    100 %   1980    995    Nuclear PWR(b)   Base                 

Total

                   4,474             23,645,245     19.29     456,211

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

(b)

PWR = Pressurized Water Reactor.

 

38


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY GULF STATES LOUISIANA, L.L.C.

 

      2007    2006     2005     2004    2003

ELECTRIC OPERATING REVENUES ($ thousands)

            

Louisiana

            

Residential

   497,782    522,227     457,498     412,135    394,512

Commercial

   452,930    476,537     406,921     369,044    345,579

Industrial

   620,472    686,295     625,709     570,130    510,501

Governmental

   21,710    22,520     19,562     17,468    18,253

Total Retail

   1,592,894    1,707,579     1,509,690     1,368,777    1,268,845

Texas

            

Residential

   544,254    599,494     502,135     468,704    434,979

Commercial

   364,322    406,198     327,287     302,699    268,110

Industrial

   414,036    463,640     388,285     405,650    342,693

Governmental

   23,583    26,609     21,693     20,535    20,658

Total Retail

   1,346,195    1,495,941     1,239,400     1,197,588    1,066,440

FUEL REVENUES (included in above revenues)

            

Louisiana

            

Residential

   277,105    284,937     266,854     203,436    196,097

Commercial

   271,015    280,628     252,200     198,629    186,700

Industrial

   476,015    508,048     477,232     401,413    354,504

Governmental

   11,120    11,459     10,645     7,903    8,398

Total Retail Fuel Revenues

   1,035,255    1,085,072     1,006,931     811,381    745,699

Texas

            

Residential

   281,118    351,457     268,957     240,147    207,358

Commercial

   213,574    266,062     199,093     177,984    146,502

Industrial

   298,219    350,788     284,032     293,254    236,123

Governmental

   12,946    16,802     12,465     11,330    10,612

Total Retail Fuel Revenues

   805,857    985,109     764,547     722,715    600,595

SOURCES OF ENERGY (GWh)

            

Net Generation:

            

Gas & Oil

   7,669    7,036     9,320     8,496    9,432

Coal

   4,074    4,460     4,077     4,609    3,959

Nuclear

   7,188    7,461     7,808     7,413    7,641

Hydro

   —      —       —       —      —  

Total Net Generation

   18,931    18,957     21,205     20,518    21,032

Purchased Power:

            

Affiliated Companies

   5,514    4,664     3,521     5,478    3,989

Non-affiliated Companies

   17,658    18,690     17,500     16,072    15,160

Total Purchased Power

   23,172    23,354     21,021     21,550    19,149

Total Sources of Energy

   42,103    42,311     42,226     42,068    40,181

USES OF ENERGY (GWh)

            

Electric Energy Sales:

            

Louisiana

            

Residential

   4,934    4,899     4,817     4,677    4,619

Commercial

   4,895    4,836     4,608     4,628    4,471

Industrial

   9,101    9,150     9,317     9,757    9,145

Governmental

   204    199     197     187    205

Texas

            

Residential

   5,281    5,211     5,207     5,126    5,120

Commercial

   4,085    4,002     3,878     3,816    3,703

Industrial

   5,911    5,915     5,650     6,839    6,272

Governmental

   244    255     244     245    270

Total Retail

   34,655    34,467     33,918     35,275    33,805

Sales for Resale

   5,388    6,155     6,017     4,700    4,543

Unbilled Energy

   125    (148 )   (286 )   420    197

Total Electric Energy Sales

   40,168    40,474     39,649     40,395    38,545

Line Losses and Company Usage

   1,935    1,837     2,577     1,673    1,636

Total Uses of Energy

   42,103    42,311     42,226     42,068    40,181

 

39


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY GULF STATES LOUISIANA, L.L.C. (CONTINUED)

 

      2007    2006    2005    2004    2003

AVERAGE ELECTRIC REVENUE (cents/KWh)

              

Louisiana

              

Residential

   10.09    10.66    9.50    8.81    8.54

Commercial

   9.25    9.85    8.83    7.97    7.73

Industrial

   6.82    7.50    6.72    5.84    5.58

Governmental

   10.64    11.34    9.94    9.35    8.93

Texas

              

Residential

   10.31    11.50    9.64    9.14    8.49

Commercial

   8.92    10.15    8.44    7.93    7.24

Industrial

   7.00    7.84    6.87    5.93    5.46

Governmental

   9.63    10.41    8.88    8.37    7.65

NUMBER OF RETAIL ELECTRIC CUSTOMERS

              

(as of December 31)

              

Louisiana

              

Residential

   317,001    311,739    305,714    301,014    295,084

Commercial

   47,749    46,351    45,421    45,004    42,490

Industrial

   4,320    4,558    4,268    3,957    3,625

Governmental

   1,642    1,528    1,457    1,431    1,251

Total Retail Customers

   370,712    364,176    356,860    351,406    342,450

Texas

              

Residential

   344,704    336,652    335,089    326,556    321,681

Commercial

   41,963    40,806    40,887    39,680    38,445

Industrial

   4,934    5,013    4,911    4,732    4,722

Governmental

   2,085    2,052    2,017    1,923    2,100

Total Retail Customers

   393,686    384,523    382,904    372,891    366,948

Totals may not foot due to rounding.

ENTERGY GULF STATES LOUISIANA, L.L.C.

GENERATION PORTFOLIO

 

                                   Total Plant – 2007
Plant    Unit    Ownership     Commercial
Operation
   Owned &
Leased
Capability
(MW)(a)
   Fuel Type   Purpose    Net
Generation
(MWH)
   Expenses
per Net
MWH
  

Total
Production
Expense

($ 000)

LA Station 2(d)

   7    100 %   1950    40    Gas/Oil   Reserve    —      —      419
   8    100 %   1950    40    Gas/Oil   Reserve         
     9    100 %   1953    58    Gas/Oil   Reserve               

Willow Glen(d)

   1    100 %   1960    152    Gas/Oil   Peaking    207,084    169.96    35,197
   2    100 %   1964    205    Gas/Oil   Peaking         
   3    100 %   1968    450    Gas/Oil   Reserve         
   4    100 %   1973    540    Gas/Oil   Peaking         
     5    100 %   1976    485    Gas/Oil   Peaking               

Roy S. Nelson(d)

   3    100 %   1960    153    Gas/Oil   Intermediate    1,077,058    101.16    108,960
     4    100 %   1970    500    Gas/Oil   Intermediate               

Roy S. Nelson(e)

   6    70 %   1982    384    Coal   Base    2,463,183    29.43    72,491

Big Cajun 2(f)

   3    42 %   1983    242    Coal   Base    1,611,303    26.59    42,852

River Bend(d)

   1    100 %(c)   1986    970    Nuclear BWR(b)   Base    7,187,622    23.08    165,856

Lewis Creek(g)

   1    100 %   1970    229    Gas/Oil   Intermediate    1,884,337    79.62    150,028
     2    100 %   1971    230    Gas/Oil   Intermediate               

Sabine(h)

   1    100 %   1962    212    Gas/Oil   Intermediate    4,501,097    82.76    372,525
   2    100 %   1962    212    Gas/Oil   Intermediate         
   3    100 %   1966    390    Gas/Oil   Intermediate         
   4    100 %   1974    530    Gas/Oil   Intermediate         
     5    100 %   1979    470    Gas/Oil   Intermediate               

Total

                   6,492             18,931,684    50.09    948,328

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

(b)

BWR = Boiling Water Reactor.

 

(c)

30% of River Bend is not subject to rate regulation by the Public Utility Commission of Texas, the Louisiana Public Service Commission, nor various municipal authorities.

 

(d)

On December 31, 2007, Entergy Gulf States, Inc. separated into two vertically integrated utility companies, Entergy Gulf States Louisiana, L.L.C. and Entergy Texas, Inc. As reported above for 2007, these plants were 100% owned by Entergy Gulf States, Inc. In 2008, these plants will be 100% owned by Entergy Gulf States Louisiana, L.L.C.

 

(e)

On December 31, 2007, Entergy Gulf States, Inc. separated into two vertically integrated utility companies, Entergy Gulf States Louisiana, L.L.C. and Entergy Texas, Inc. As reported above for 2007, Roy S. Nelson Unit 6 was 70% owned by Entergy Gulf States, Inc. Effective December 31, 2007, Roy S. Nelson Unit 6 is 40.25% owned by Entergy Gulf States Louisiana, L.L.C. and 29.75% owned by Entergy Texas, Inc.

 

(f)

On December 31, 2007, Entergy Gulf States, Inc. separated into two vertically integrated utility companies, Entergy Gulf States Louisiana, L.L.C. and Entergy Texas, Inc. As reported above for 2007, Big Cajun 2 Unit 3 was 42% owned by Entergy Gulf States, Inc. Effective December 31, 2007, Big Cajun 2 Unit 3 is 24.15% owned by Entergy Gulf States Louisiana, L.L.C. and 17.85% owned by Entergy Texas, Inc.

 

(g)

On December 31, 2007, Entergy Gulf States, Inc. separated into two vertically integrated utility companies, Entergy Gulf States Louisiana, L.L.C. and Entergy Texas, Inc. Lewis Creek is 100% owned by GSG&T, Inc., which was 100% owned by Entergy Gulf States, Inc. in 2007 and effective December 31, 2007 is 100% owned by Entergy Texas, Inc.

 

(h)

On December 31, 2007, Entergy Gulf States, Inc. separated into two vertically integrated utility companies, Entergy Gulf States Louisiana, L.L.C. and Entergy Texas, Inc. As reported above for 2007, Sabine was 100% owned by Entergy Gulf States, Inc. Effective December 31, 2007, Sabine is 100% owned by Entergy Texas, Inc.

 

40


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY LOUISIANA, LLC

 

      2007    2006     2005     2004    2003

ELECTRIC OPERATING REVENUES ($ thousands)

            

Residential

   853,780    797,197     827,926     769,770    739,389

Commercial

   578,025    532,999     538,683     501,536    473,351

Industrial

   871,853    809,237     834,320     779,103    723,102

Governmental

   43,550    40,454     40,813     37,894    40,664

Total Retail

   2,347,208    2,179,887     2,241,742     2,088,303    1,976,506

Sales for Resale

   318,001    227,391     352,544     109,085    114,311

Other

   72,343    43,980     55,895     29,598    74,753

Total Electric Operating Revenues

   2,737,552    2,451,258     2,650,181     2,226,986    2,165,570

FUEL REVENUES (included in above revenues)

            

Residential

   415,883    374,595     430,830     355,871    327,475

Commercial

   280,200    249,803     277,180     230,357    209,032

Industrial

   614,448    545,040     588,943     512,924    464,015

Governmental

   21,305    19,313     21,022     17,523    18,195

Total Retail Fuel Revenues

   1,331,836    1,188,751     1,317,975     1,116,675    1,018,717

SOURCES OF ENERGY (GWh)

            

Net Generation:

            

Gas & Oil

   8,784    7,486     8,968     8,486    7,882

Coal

   —      —       —       —      —  

Nuclear

   9,893    9,270     7,885     9,654    8,485

Hydro

   —      —       —       —      —  

Total Net Generation

   18,677    16,756     16,853     18,140    16,367

Purchased Power:

            

Affiliated Companies

   6,025    6,612     6,027     4,505    4,484

Non-affiliated Companies

   7,484    7,945     8,212     8,416    9,718

Total Purchased Power

   13,509    14,557     14,239     12,921    14,202

Total Sources of Energy

   32,186    31,313     31,092     31,061    30,569

USES OF ENERGY (GWh)

            

Electric Energy Sales:

            

Residential

   8,646    8,513     8,559     8,842    8,795

Commercial

   5,848    5,680     5,554     5,762    5,622

Industrial

   13,209    12,759     12,348     13,140    12,870

Governmental

   446    435     428     439    491

Total Retail

   28,149    27,387     26,889     28,183    27,778

Sales for Resale

   2,411    2,470     2,560     1,251    1,476

Unbilled Energy

   124    (25 )   (379 )   415    42

Total Electric Energy Sales

   30,684    29,832     29,070     29,849    29,296

Line Losses and Company Usage

   1,502    1,481     2,022     1,212    1,273

Total Uses of Energy

   32,186    31,313     31,092     31,061    30,569

AVERAGE ELECTRIC REVENUE (cents/KWh)

            

Residential

   9.87    9.32     9.67     8.71    8.41

Commercial

   9.88    9.33     9.70     8.70    8.42

Industrial

   6.60    6.34     6.76     5.93    5.62

Governmental

   9.76    9.18     9.53     8.63    8.28

NUMBER OF RETAIL ELECTRIC CUSTOMERS

            

(as of December 31)

            

Residential

   568,893    560,462     539,912     575,701    571,767

Commercial

   73,012    71,029     66,897     73,622    72,901

Industrial

   8,374    8,563     7,005     7,858    7,686

Governmental

   5,229    4,858     4,494     5,274    4,859

Total Retail Customers

   655,508    644,912     618,308     662,455    657,213

 

41


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY LOUISIANA, LLC

GENERATION PORTFOLIO

 

                                 Total Plant – 2007
Plant    Unit    Ownership   Commercial
Operation
   Owned &
Leased
Capability
(MW)(a)
   Fuel Type   Purpose   

Net

Generation

(MWH)

  

Expenses
per Net
MWH

  

Total
Production

Expense

($ 000)

Buras

   8    100%   1971    12    Gas/Oil   Peaking    1,003    653.04    655

Little Gypsy

   1    100%   1961    238    Gas/Oil   Intermediate    1,294,874    97.29    125,974
   2    100%   1966    415    Gas/Oil   Intermediate         
     3    100%   1969    545    Gas/Oil   Intermediate               

Monroe

   10    100%   1961    —      Gas/Oil   Reserve    —      —      307
   11    100%   1965    —      Gas/Oil   Reserve         
     12    100%   1968    —      Gas/Oil   Reserve               

Ninemile Point

   1    100%   1951    50    Gas/Oil   Peaking    4,443,032    88.34    392,519
   2    100%   1953    60    Gas/Oil   Peaking         
   3    100%   1955    125    Gas/Oil   Intermediate         
   4    100%   1971    730    Gas/Oil   Intermediate         
     5    100%   1973    740    Gas/Oil   Intermediate               

Perryville

   1    100%   2002    535    Gas   Intermediate    2,451,654    62.13    152,326
     2    100%   2002    156    Gas   Peaking               

Sterlington

   6    100%   1958    212    Gas/Oil   Peaking    47,692    208.97    9,966
     7    100%   1974    180    Gas/Oil   Intermediate               

Waterford

   1    100%   1975    411    Gas/Oil   Intermediate    545,332    153.66    83,795
     2    100%   1975    405    Gas/Oil   Intermediate               

Waterford

   3    100%   1985    1,158    Nuclear PWR(b)   Base    9,893,003    17.13    169,432

Total

                 5,971             18,676,590    50.06    934,974

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

(b)

PWR = Pressurized Water Reactor.

 

42


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY MISSISSIPPI, INC.

 

      2007     2006     2005     2004    2003

ELECTRIC OPERATING REVENUES ($ thousands)

           

Residential

   500,097     568,435     503,232     467,459    410,231  

Commercial

   427,545     484,297     420,507     396,482    341,862  

Industrial

   185,119     235,281     209,270     203,603    173,736  

Governmental

   40,417     45,433     40,605     38,258    32,393  

Total Retail

   1,153,178     1,333,446     1,173,614     1,105,802    958,222  

Sales for Resale

   171,710     80,445     98,885     68,417    42,143  

Other

   47,914     36,117     34,041     39,410    34,995  

Total Electric Operating Revenues

   1,372,802     1,450,008     1,306,540     1,213,629    1,035,360  

FUEL REVENUES (included in above revenues)

           

Residential

   215,446     316,861     251,338     229,326    157,624  

Commercial

   192,289     280,819     220,024     203,634    139,087  

Industrial

   100,293     157,157     128,483     119,811    88,063  

Governmental

   16,605     24,908     19,440     17,885    11,885  

Total Retail Fuel Revenues

   524,633     779,745     619,285     570,656    396,659  

SOURCES OF ENERGY (GWh)

           

Net Generation:

           

Gas & Oil

   5,734     4,127     2,834     3,333    2,891  

Coal

   3,026     2,697     2,526     2,679    2,579  

Nuclear

   —       —       —       —      —    

Hydro

   —       —       —       —      —    

Total Net Generation

   8,760     6,824     5,360     6,012    5,470  

Purchased Power:

           

Affiliated Companies

   4,602     5,327     4,924     5,337    5,984  

Non-affiliated Companies

   2,706     3,232     5,119     3,390    2,868  

Total Purchased Power

   7,308     8,559     10,043     8,727    8,852  

Total Sources of Energy

   16,068     15,383     15,403     14,739    14,322  

USES OF ENERGY (GWh)

           

Electric Energy Sales:

           

Residential

   5,474     5,387     5,333     5,085    5,092  

Commercial

   4,872     4,746     4,630     4,518    4,476  

Industrial

   2,771     2,927     2,967     2,977    2,939  

Governmental

   421     417     411     398    384  

Total Retail

   13,538     13,477     13,341     12,978    12,891  

Sales for Resale

   1,493     900     936     698    443  

Unbilled Energy

   (22 )   (15 )   (75 )   142    45  

Total Electric Energy Sales

   15,009     14,362     14,202     13,818    13,379  

Line Losses and Company Usage

   1,059     1,021     1,201     921    943  

Total Uses of Energy

   16,068     15,383     15,403     14,739    14,322  

AVERAGE ELECTRIC REVENUE (cents/KWh)

           

Residential

   9.14     10.55     9.44     9.19    8.06  

Commercial

   8.78     10.21     9.08     8.78    7.64  

Industrial

   6.68     8.04     7.05     6.84    5.91  

Governmental

   9.60     10.90     9.88     9.61    8.44  

NUMBER OF RETAIL ELECTRIC CUSTOMERS

           

(as of December 31)

           

Residential

   361,725     357,564     359,538     351,274    348,019  

Commercial

   63,642     62,594     60,826     60,338    59,347  

Industrial

   3,109     3,014     2,739     3,915    4,767  

Governmental

   4,096     4,066     3,856     4,036    3,884  

Total Retail Customers

   432,572     427,238     426,959     419,563    416,017  

 

43


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY MISSISSIPPI, INC.

GENERATION PORTFOLIO

 

     Total Plant - 2007
Plant    Unit    Ownership     Commercial
Operation
   Owned &
Leased
Capability
(MW)
(a)
   Fuel Type    Purpose    Net
Generation
(MWH)
    Expenses
per Net
MWH
   

Total
Production
Expense

($000)

Attala

   1    100 %   2001    455    Gas    Intermediate    2,527,549     56.34     142,405

Baxter Wilson

   1    100 %   1966    500    Gas/Oil    Peaking    1,699,990     88.25     150,016
     2    100 %   1971    700    Gas/Oil    Peaking                 

Delta

   1    100 %   1953    97    Gas/Oil    Peaking    (2,047 )   (975.09 )   1,996
     2    100 %   1953    95    Gas/Oil    Peaking                 

Gerald Andrus

   1    100 %   1975    741    Gas/Oil    Intermediate    1,349,389     87.26     117,747

Natchez

   1    100 %   1951    —      Gas/Oil    Reserve    (7 )   (28,571.43 )   200

Rex Brown

   1    100 %   1948    15    Gas    Reserve    158,998     150.17     23,876
   3    100 %   1951    70    Gas/Oil    Peaking       
   4    100 %   1959    203    Gas/Oil    Intermediate       
     5    100 %   1968    11    Oil    Peaking                 

Independence

   1    25 %   1983    209    Coal    Base    3,025,675     21.73     65,744

Independence

   2    25 %   1984    211    Coal    Base                 

Total

                   3,307              8,759,547     57.31     501,984

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

44


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY NEW ORLEANS, INC.

 

      2007    2006     2005    2004    2003

ELECTRIC OPERATING REVENUES ($ thousands)

             

Residential

   142,497    105,924     150,409    184,155    178,133

Commercial

   181,438    165,066     145,321    170,812    161,716

Industrial

   46,697    44,582     31,597    34,261    26,416

Governmental

   72,467    59,399     59,450    69,680    68,238

Total Retail

   443,099    374,971     386,777    458,908    434,503

Sales for Resale

   103,843    91,283     138,528    119,407    87,174

Other

   10,516    4,812     10,711    10,142    5,983

Total Electric Operating Revenues

   557,458    471,066     536,016    588,457    527,660

FUEL REVENUES (included in above revenues)

             

Residential

   71,496    51,865     59,361    67,891    65,057

Commercial

   101,932    92,894     64,164    71,413    67,552

Industrial

   28,745    28,952     17,044    17,706    12,276

Governmental

   42,750    34,839     28,496    30,994    30,534

Total Retail Fuel Revenues

   244,923    208,550     169,065    188,004    175,419

SOURCES OF ENERGY (GWh)

             

Net Generation:

             

Gas & Oil

   1,855    773     1,661    2,146    2,099

Coal

   —      —       —      —      —  

Nuclear

   —      —       —      —      —  

Hydro

   —      —       —      —      —  

Total Net Generation

   1,855    773     1,661    2,146    2,099

Purchased Power:

             

Affiliated Companies

   3,428    4,445     4,024    3,880    3,742

Non-affiliated Companies

   340    41     1,232    1,982    1,621

Total Purchased Power

   3,768    4,486     5,256    5,862    5,363

Total Sources of Energy

   5,623    5,259     6,917    8,008    7,462

USES OF ENERGY (GWh)

             

Electric Energy Sales:

             

Residential

   1,221    914     1,616    2,139    2,133

Commercial

   1,763    1,666     1,798    2,316    2,262

Industrial

   568    547     498    575    413

Governmental

   747    632     800    1,025    1,036

Total Retail

   4,299    3,759     4,712    6,055    5,844

Sales for Resale

   1,010    1,298     2,041    1,539    1,340

Unbilled Energy

   15    (1 )   135    41    22

Total Electric Energy Sales

   5,324    5,056     6,888    7,635    7,206

Line Losses and Company Usage

   299    203     29    373    256

Total Uses of Energy

   5,623    5,259     6,917    8,008    7,462

AVERAGE ELECTRIC REVENUE (cents/KWh)

             

Residential

   11.67    11.59     9.31    8.61    8.35

Commercial

   10.29    9.91     8.08    7.37    7.15

Industrial

   8.22    8.15     6.34    5.96    6.42

Governmental

   9.70    9.40     7.43    6.80    6.59

NUMBER OF RETAIL ELECTRIC CUSTOMERS(a)

             

(as of December 31)

             

Residential

   115,523    83,300     152,429    169,498    169,878

Commercial

   12,211    10,000     14,220    16,376    16,336

Industrial

   2,765    1,000     1,161    1,309    1,148

Governmental

   1,308    700     858    1,798    1,755

Total Retail Customers

   131,807    95,000     168,668    188,981    189,117

 

(a)

Customer count data reflects estimates of customers in the hardest hit areas affected by Hurricane Katrina. Issues associated with temporary housing and resumption of service at permanent dwellings render precise counts difficult at this time.

 

45


Table of Contents

UTILITY STATISTICAL INFORMATION

ENTERGY NEW ORLEANS, INC.

GENERATION PORTFOLIO

 

     Total Plant - 2007
Plant    Unit    Ownership     Commercial
Operation
   Owned &
Leased
Capability
(MW)
(a)
   Fuel Type    Purpose    Net
Generation
(MWH)
   Expenses
per Net
MWH
  

Total
Production
Expense

($000)

A. B. Paterson

   3    100 %   1950    —      Gas/Oil    Reserve    —      —      242
     4    100 %   1954    —      Gas/Oil    Reserve               

Michoud

   1    100 %   1957    —      Gas/Oil    Reserve    1,854,800    91.12    169,010
   2    100 %   1963    230    Gas/Oil    Intermediate         
     3    100 %   1967    530    Gas/Oil    Intermediate               

A. B. Paterson

   5    100 %   1967    —      Oil    Reserve    —      —      113

Total

                   760              1,854,800    91.12    169,365

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

SYSTEM ENERGY RESOURCES, INC.

 

      2007     2006     2005     2004     2003

ELECTRIC OPERATING REVENUES ($ thousands)

   553,193     555,459     533,929     545,381     583,820

SOURCES OF ENERGY (GWh)

          

Net Generation:

          

Gas & Oil

   —       —       —       —       —  

Coal

   —       —       —       —       —  

Nuclear

   8,421     9,723     9,058     9,202     9,812

Hydro

   —       —       —       —       —  

Total Net Generation

   8,421     9,723     9,058     9,202     9,812

Purchased Power

   —       —       —       —       —  

Total Sources of Energy

   8,421     9,723     9,058     9,202     9,812

USES OF ENERGY (GWh)

          

Electric Energy Sales

   8,440     9,727     9,070     9,212     9,812

Unbilled Energy

   —       —       —       —       —  

Line Losses and Company Usage

   (19 )   (4 )   (12 )   (10 )   —  

Total Uses of Energy

   8,421     9,723     9,058     9,202     9,812

SYSTEM ENERGY RESOURCES, INC.

GENERATION PORTFOLIO

 

     Total Plant - 2007
Plant    Unit    Ownership     Commercial
Operation
   Owned &
Leased
Capability
(MW)
(a)
   Fuel Type     Purpose    Net
Generation
(MWH)
   Expenses
per Net
MWH
   Total
Production
Expense
($000)

Grand Gulf

   1    90 %   1985    1,141    Nuclear BWR (b)   Base    8,421,024    17.56    147,839

Total

                   1,141               8,421,024    17.56    147,839

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

(b)

BWR = Boiling Water Reactor.

 

46


Table of Contents

UTILITY STATISTICAL INFORMATION

UTILITY NUCLEAR PLANT STATISTICS

The following table shows plant performance for 2003 – 2007 based on 18/24 month operating cycle.

CAPABILITY FACTOR (%)

 

      2007    2006    2005    2004    2003

ANO

   92.8    88.3    88.5    93.3    93.3

Grand Gulf

   89.5    91.9    93.3    93.7    94.5

River Bend

   88.1    90.9    85.8    90.9    92.4

Waterford 3

   91.5    93.5    89.0    93.6    92.8

Entergy Southeast Average

   90.9    90.6    89.2    92.9    93.3

Industry Average

   91.1    90.5    90.1    89.7    90.0

The following table shows plant performance for 2007 and averages for four three-year periods.

PRODUCTION COST ($/MWh)

 

      2007   

2004–

2006

  

2003–

2005

  

2002–

2004

   2001-
2003

ANO

   16.0    15.5    15.1    14.8    14.8

Grand Gulf

   17.2    14.2    13.7    13.6    13.6

River Bend

   22.4    18.8    17.9    17.0    16.4

Waterford 3

   16.8    15.9    16.0    15.5    15.4

Entergy Southeast Average

   17.5    15.9    15.5    15.1    15.0

Industry Average

   18.1    16.9    16.5    16.1    16.3

INDIVIDUAL PLANT INFORMATION

 

     ANO               Waterford 3     
      Unit 1           Unit 2    Grand Gulf    River Bend       

Owner

   Entergy

Arkansas

         Entergy

Arkansas

   System
Energy-90%
South
Mississippi
Electric Power
Association-
10%
   Entergy Gulf
States Louisiana
 
 
  Entergy

Louisiana

    

Commercial Operation Date

   December 74      March 80    July 85    June 86     September 85   

License Expiration Date

   5/20/34          7/17/38    11/1/24    8/29/25     12/18/24     

Architect/Engineer

   Bechtel Power          Bechtel Power    Bechtel Power    Stone & Webster     Ebasco     

Reactor Manufacturer

   Babcox &      Combustion    General    General     Combustion   
   Wilcox      Engineering    Electric    Electric     Engineering   

Reactor Type

   PWR      PWR    BWR    BWR     PWR   

Turbine Generator Manufacturer

   Westinghouse          General Electric    Kraftwerk Union    General Electric     Westinghouse     

Owned and Leased
Capability (MW)
(a)

   843          995    1,141    970 (c)   1,157     

Refueling Data:

                  

Last Date

   4/22/07-      9/19/06-    3/18/07-    4/23/06-     11/25/06-   
   5/13/07      10/28/06    4/12/07    5/13/06     12/27/06   

Number of Days

   21      39    24    20     32   

Next Scheduled
Refueling

   Fall 08      Spring 08    Fall 08    Winter 08     Spring 08   

2007 Capability Factor (%)

   94.7          90.9    89.5    88.1     91.5     

($ millions as of
December 31, 2007)

                  

Net Book Value

      1,104 (b)      1,626    1,421 (c)   1,501   

Decommissioning Trust Fund Balance

      466 (b)      316    366 (c)   222   

Decommissioning Liability

        506 (b)        369    208 (c)   257     

 

(a)

Owned and Leased Capability is the dependable load carrying capability as demonstrated under actual operating conditions based on the primary fuel (assuming no curtailments) that each station was designed to utilize.

 

(b)

ANO Units 1 and 2 are reported together.

 

(c)

30% of River Bend is not subject to rate regulation by the Public Utility Commission of Texas, the Louisiana Public Service Commission, nor various municipal authorities, and is included in non-utility property on the balance sheet. The decommissioning trust fund balance and decommissioning liability include amounts for the 30% not subject to rate regulation.

 

47


Table of Contents

UTILITY REGULATORY INFORMATION

STATE REGULATORY COMMISSIONS

 

      Arkansas    Louisiana    Mississippi    New Orleans   Texas

Commission

   Arkansas Public
Service
Commission
   Louisiana
Public Service
Commission
   Mississippi
Public Service
Commission
   New Orleans
City Council
  Public Utility
Commission
of Texas

Number of Commissioners

   3    5    3    7   3

Method of Selection

   Appointed by
Governor
   Elected    Elected    Elected   Appointed by
Governor

Term of Office

   6 years –
staggered
   6 years –
staggered
   4 years –
concurrent
   4 years –
concurrent
(2 term limit)
  6 years –
staggered

Chair/President

   Appointed by
Governor
   Selected by
peers – 1 year
term
   Rotates every
2 years
   Selected by
peers from two
at-large seats
  Appointed by
Governor

COMMISSION/COUNCIL MEMBERS

 

      Party    Service Began   

Current

Term Ends

ARKANSAS

        

David Newbern (interim replacement for Suskie)

   Democrat    1/08    (when Suskie returns)

Paul Suskie – (on military leave)

   Democrat    1/07    1/13

Colette Honorable – Chair

   Democrat    10/07    1/11

Daryl Bassett

   Republican    9/02    1/09

LOUISIANA

        

Jack A. “Jay” Blossman, Jr. – Chair

   Republican    1/97    12/08

Lambert Boissiere III

   Democrat    1/05    12/10

C. Dale Sittig

   Democrat    11/95    12/10

James M. Field

   Republican    12/96    12/12

Foster L. Campbell, Jr.

   Democrat    1/03    12/08

MISSISSIPPI

        

Leonard Bentz

   Republican    4/06    12/11

Lynn Posey

   Democrat    1/08    12/11

Brandon Presley

   Democrat    1/08    12/11

NEW ORLEANS

        

Arnie Fielkow – President

   Democrat    5/06    5/10

Jacquelyn Brechtel Clarkson

   Democrat    11/07    5/10

Shelley Midura

   Democrat    5/06    5/10

Stacy S. Head

   Democrat    5/06    5/10

James Carter

   Democrat    5/06    5/10

Cynthia Hedge-Morrell

   Democrat    4/05    5/10

Cynthia Willard-Lewis

   Democrat    5/02    5/10

TEXAS

        

Barry Smitherman – Chair

   Republican    4/04    8/13

Paul Hudson

   Republican    8/03    8/09

Julie Caruthers Parsley

   Republican    11/02    8/11

 

48


Table of Contents

UTILITY REGULATORY INFORMATION

SELECT UTILITY REGULATORY MECHANISMS

 

Company   

Last Filed

Rate Base

($ billions)

   Allowed ROE (%)    Jurisdictional Regulatory Mechanisms

EAI

  

3.6

6/30/06

   9.9    Rate Case   

•      No fixed schedule for rate filings. EAI filed a rate case on August 15, 2006.

 

•      EAI is appealing rate case outcome.

EGSL(a)

  

1.6

12/31/06

  

9.9 – 11.4

10.65 midpoint

60/40 customer/ company sharing

   FRP   

•      Annual filing in May; any change in rates typically effective in September.

ETI

  

1.7

3/31/07

   10.95    Riders   

•      2005 legislation authorized two riders – incremental purchased power capacity costs up to five percent of annual base rate revenues and transition to competition costs.

           

•      $18M annual purchased power rider implemented December 2005 with first reconciliation filing in May 2006 reconciling capacity from previous September forward. In January 2008, an agreement was filed to increase purchased power rider to $21M and add a surcharge for $10.3M of under-recovered costs.

           

•      $14.5M annual TTC rider implemented March 2006. Black box settlement designed to provide a fair return and recovery of costs on the balance sheet.

               Rate Case   

•      Base rates are currently set at rates approved by the PUCT in June 1999. ETI filed a rate case in September 2007.

 

•      Settlement proceedings are in progress.

ELL

  

2.9

12/31/07

  

9.45 – 11.05

10.25 midpoint

 

60/40 customer/

company sharing

  

FRP

  

•      Annual filing in May; any change in rates typically effective in September.

EMI

  

1.4(b)

12/31/07

  

11.08 – 13.6(b)

12.34 midpoint

  

FRP

  

•      Annual filing in March; any change in rates typically effective in first billing cycle of May.

           

•      Any disputed changes in rates typically effective in first billing cycle of July.

     

50/50 customer/

company sharing

     
         

100bps for

price, reliability,

satisfaction

         

ENOI

  

0.4

12/31/05

  

10.75(c)

  

FRP

  

•      In October 2006, the City Council of New Orleans unanimously approved a settlement agreement with ENOI that calls for a phased-in rate increase to ensure the company’s ability to focus on restoration of the gas and electric systems. Rate settlement in place until next base rate case to be filed by July 31, 2008. The agreement discontinued FRP, but allows ENOI to seek reinstatement of an appropriate FRP following resetting of rates in 2009.

                   

•      With New Orleans’ recovery taking place faster than expected, in December 2007, ENOI announced a voluntary 6.15% base rate credit on electric bills.

SERI

  

1.4

12/31/07 monthly filing

  

10.94

       

•      Real-time recovery mechanism.

Total

  

13.0

              

 

(a)

Excludes the operations of Entergy Texas, Inc.

 

(b)

Rate base and allowed ROE reflects the 2007 FRP evaluation report. EMI’s 2007 FRP Evaluation Report is pending approval from the MPSC. Allowed ROE range for the 2006 test year was 9.46% – 12.24%.

 

(c)

Last approved ROE, not specified in rate settlement.

 

49


Table of Contents

UTILITY REGULATORY INFORMATION

UTILITY ELECTRIC AND GAS FUEL RECOVERY MECHANISMS

 

     

Deferred Fuel

Balance as of December 31,

    
Company    2007    2006    2005    2004    2003    Fuel Recovery Mechanism
     ($ millions)     

EAI

  

114.8

  

2.2

  

204.2

  

7.4

  

10.6

   Annual reset in April based on prior calendar year fuel and purchased power costs adjusted for nuclear refueling outages and projected sales plus any under- or over-recovered fuel balance for the prior calendar year.

ETI

  

(67.3)

  

(45.6)

  

203.2

  

78.5

  

116.6

   Semi-annual reset of fuel factor in March and September based on the market price of natural gas plus surcharge or refund for material under- or over-recoveries based on actual costs.

EGSL(a)

  

105.8

  

119.5

  

121.2

  

11.6

  

1.9

   Electric: Monthly reset based on fuel and purchased power costs from two months prior plus surcharge or credit for 1/12 of under- or over-recovered fuel balance.
                              Gas: Monthly reset based on estimated gas costs plus surcharge or credit for 1/12 of under- or over-recovered fuel balance.

ELL

  

19.2

  

114.3

  

21.9

  

8.7

  

30.6

   Monthly reset based on fuel and purchased power costs from two months prior plus surcharge or credit for 1/12 of under- or over-recovered fuel balance.

EMI

  

(76.6)

  

(95.2)

  

114.0

  

(22.8)

  

89.1

   Quarterly reset based on projected fuel and purchased power costs and projected sales plus any under- or over-recovered fuel balance from the second prior quarter.

Total excluding ENOI

  

95.9

  

95.2

  

664.4

  

83.4

  

248.7

    

ENOI

  

17.3

  

19.0

  

30.6

  

2.6

  

(2.7)

   Electric: Monthly reset based on no more than targeted fuel and purchased power costs and any difference between actual and base rate non-fuel items including Grand Gulf non-fuel costs and Resource Plan non-fuel costs paid by ENOI. A surcharge or credit is calculated on the under- or over-recovered fuel balance based on the most recent 12 months actual kWh sales.
                              Gas: Monthly reset based on estimated gas costs plus a surcharge or credit for the under- or over-recovered fuel balance based on the most recent 12 months Mcf sales.

Total including ENOI

   113.2    114.2    695.1    85.9    246     

 

(a)

Excludes the operations of Entergy Texas, Inc.

Totals may not foot due to rounding.

 

50


Table of Contents

COMPETITIVE BUSINESSES

TOTAL CAPACITY

 

     Operated     Owned Capacity(c)
As of December 31, 2007.    Plants    Units    MW     MW    %

Gas/Oil

   1    1    550 (b)   1,317    20

Coal

   —      —      (b)   181    3

Total Fossil

   1    1    550     1,498    23

Wind

   —      —      —       80    1

Nuclear

   6    7    5,798 (a)   4,998    76

Total Capacity

   7    8    6,348     6,576    100

 

(a)

Operated capacity includes management services contracts.

 

(b)

Excludes units operated by Entergy’s utility companies.

 

(c)

Includes capacity under power purchase agreements.

  

ENTERGY NUCLEAR (NON-UTILITY)

ENTERGY NUCLEAR QUARTERLY FINANCIAL METRICS

 

     2007     2006    YTD  
      1Q     2Q    3Q     4Q     YTD     1Q    2Q    3Q    4Q    YTD    % change  

GAAP MEASURES

                            

As-Reported Earnings ($ millions)

   128.2     108.7    160.9     141.4     539.2     81.5    63.4    106.9    57.7    309.5    74  

Return on Average Invested Capital – As-Reported (%)*

   12.4     12.5    13.5     16.0     16.0     10.8    10.7    12.1    11.7    11.7    37  

Return on Average Common Equity – As-Reported (%)*

   13.6     14.0    14.9     17.4     17.4     14.0    13.9    15.2    14.0    14.0    24  

Debt to Capital Ratio (%)

   11.3     12.2    10.7     9.7     9.7     19.3    19.1    16.7    14.2    14.2    (32 )

NON-GAAP MEASURES

                            

Operational Earnings ($ millions)

   128.2     108.7    160.9     159.8     557.6     81.5    63.4    106.9    57.7    309.5    80  

Return on Average Invested Capital – Operational (%)*

   12.4     12.5    13.5     16.6     16.6     10.8    10.7    12.1    11.7    11.7    42  

Return on Average Common Equity – Operational (%)*

   13.6     14.0    14.9     18.0     18.0     14.0    13.9    15.2    14.0    14.0    29  

Net Debt to Net Capital Ratio (%)

   (2.5 )   3.3    (2.2 )   (1.9 )   (1.9 )   9.9    7.5    3.9    2.3    2.3    N/A  

 

* Trailing twelve months.

Totals may not foot due to rounding.

ENTERGY NUCLEAR ANNUAL FINANCIAL METRICS

 

      2007     2006    2005    2004    2003

GAAP MEASURES

             

As-Reported Earnings ($ millions)

   539.2     309.5    282.6    245.0    300.8

Return on Average Invested Capital – As-Reported (%)

   16.0     11.7    11.6    10.1    12.8

Return on Average Common Equity – As-Reported (%)

   17.4     14.0    13.6    12.3    18.2

Debt to Capital Ratio (%)

   9.7     14.2    19.5    27.0    27.7

NON-GAAP MEASURES

             

Operational Earnings ($ millions)

   557.6     309.5    282.6    245.0    198.2

Return on Average Invested Capital – Operational (%)

   16.6     11.7    11.6    10.1    8.6

Return on Average Common Equity – Operational (%)

   18.0     14.0    13.6    12.3    11.9

Net Debt to Net Capital Ratio (%)

   (1.9 )   2.3    12.4    23.1    23.5

ENTERGY NUCLEAR QUARTERLY OPERATIONAL METRICS

 

     2007     2006     YTD  
      1Q     2Q     3Q     4Q     YTD     1Q     2Q     3Q     4Q     YTD     % CHANGE  

Net MW in Operation

   4,200     4,998     4,998     4,998     4,998       4,135       4,200       4,200       4,200       4,200     19  

Average Realized Price/MWh(a)

   55.11     51.28     53.11     51.52     52.69     $ 44.28     $ 43.76     $ 44.90     $ 44.34     $ 44.33     19  

Production Cost/MWh(a)

   19.66     21.27     20.90     22.64     21.19     $ 18.68     $ 19.61     $ 18.75     $ 21.00     $ 19.50     9  

Billed GWh

   8,315     8,896     10,105     10,254     37,570       8,763       8,281       9,119       8,684       34,847     8  

Capacity Factor

   91 %   82 %   93 %   92 %   89 %     97 %     90 %     99 %     93 %     95 %   (6 )

ENTERGY NUCLEAR ANNUAL OPERATIONAL METRICS

 

      2007     2006     2005     2004     2003  

Net MW in Operation

     4,998       4,200       4,105       4,058       4,001  

Average Realized Price/MWh(a)

   $ 52.69     $ 44.33     $ 42.26     $ 41.16     $ 39.40  

Production Cost/MWh(a)

   $ 21.19     $ 19.50     $ 18.93     $ 19.99     $ 20.29  

Billed GWh

     37,570       34,847       33,539       32,524       32,379  

Capacity Factor

     89 %     95 %     93 %     92 %     92 %

Totals may not foot due to rounding.

 

(a)

Average Realized Price/MWh has been restated to reflect MWh billed and excludes revenue associated with amortization of below-market PPA for Palisades. Production Cost/MWh has been restated to exclude purchased power cost.

 

51


Table of Contents

ENTERGY NUCLEAR (NON-UTILITY)

ENTERGY NUCLEAR PLANT STATISTICS

 

      James A.     Indian Point     Palisades     Pilgrim     Vermont  
   Fitzpatrick     Unit 2     Unit 3     Nuclear Plant     Nuclear Station     Yankee  

Entergy Purchase Date

   11/21/00     9/6/01     11/21/00     4/11/07     7/13/99     7/31/02  

Commercial Operation Date

   July 75     August 74     August 76     December 72     December 72     November 72  

License Expiration Date

   10/17/14     9/28/13     12/15/15     3/24/31     6/8/12     3/21/12  

Architect/Engineer

   Stone &
Webster
 
 
  United
Engineers &
Constructors
 
 
 
  United
Engineers &
Constructors
 
 
 
  Combustion
Engineering
 
 
  Bechtel
Power
 
 
  Ebasco  

Reactor Manufacturer

   General
Electric
 
 
  Westinghouse     Westinghouse     Combustion
Engineering
 
 
  General
Electric
 
 
  General
Electric
 
 

Reactor Type

   BWR     PWR     PWR     PWR     BWR     BWR  

Turbine Generator Manufacturer

   General
Electric
 
 
  Westinghouse     Westinghouse     Westinghouse     General
Electric
 
 
  General
Electric
 
 

Maximum Dependable Capacity (MW)

   838     1,028     1,041     798     688     605  

(as of December 31, 2007)

                                    

Refueling Data:

            

Last Date

   10/9/06 –
11/4/06
 
 
  4/18/06 –
5/19/06
 
 
  3/6/07 –
3/31/07
 
 
  9/9/07 –
10/21/07
 
 
  4/6/07 –
5/9/07
 
 
  5/13/07 –
6/6/07
 
 

Number of Days

   27     31     24     42     33     25  

Next Scheduled Refueling

   Fall 08     Spring 08     Spring 09     Spring 09     Spring 09     Fall 08  

2007 Capacity Factor

   93 %   99 %   86 %   80 %   86 %   88 %

($ millions as of December 31, 2007)

            

Net Book Value

   312     928     450     682     178     299  

Decommissioning Trust Fund Balance

        (a)   618 (b)        (a)   258     622     440  

Decommissioning Liability

        (a)   386 (b)        (a)   231     255     270  

Nearest Market Hub

   NYISO     NYISO     NYISO     MISO     NEPOOL     NEPOOL  
   Zone A (c)   Zone G (d)   Zone G (d)   Cinergy     Mass Hub     Mass Hub  

Capacity Zone (ICAP/UCAP)

   NYISO     NYISO     NYISO     n/a     NEPOOL     NEPOOL  
     Rest of
State
 
 
  Rest of State     Rest of State                    

 

(a)

NYPA retained the decommissioning trusts and decommissioning liability. NYPA and Entergy executed decommissioning agreements, specifying their decommissioning obligations. NYPA has the right to require Entergy to assume the decommissioning liability provided that it assigns the corresponding decommissioning trust, up to a specified level, to Entergy. If the decommissioning liability is retained by NYPA, Entergy will perform the decommissioning of the plants at a price equal to the lesser of a pre-specified level or the amount in the decommissioning trusts. Entergy believes that the amounts available to it under either scenario are sufficient to cover the future decommissioning costs without any additional contributions to the trusts.

 

(b)

Includes amount for Indian Point 1. Indian Point 1 has been shut down and in safe storage since the 1970s.

 

(c)

James A. FitzPatrick physically located in NYISO Zone C.

 

(d)

Indian Point physically located in NYISO Zone H.

ENTERGY NUCLEAR PLANT UPRATES

 

(MW)    Capacity
12/31/02
   2003    2004    2005    2006    2007    Capacity
12/31/07

FitzPatrick

   825    —      13    —      —      —      838

Indian Point 2

   970    14    44    —      —      —      1,028

Indian Point 3

   980    14    —      47    —      —      1,041

Palisades(a)

   798    —      —      —      —      —      798

Pilgrim

   670    18    —      —      —      —      688

Vermont Yankee

   510    —      —      —      95    —      605

Total

   3,955    46    57    47    95    —      4,998

 

(a)

Acquired April 2007.

 

52


Table of Contents

ENTERGY NUCLEAR (NON-UTILITY)

ENTERGY NUCLEAR SECURITIES DETAIL

LONG-TERM DEBT:

Note To New York Power Authority (NYPA) relating to the purchase of Fitzpatrick and Indian Point 3

 

($ thousands)    Long-term
debt
(a)
   Interest
expense
  

Additional
LTD

related to

purchase

of IP2

   Interest
expense
  

Total ending

long-term
debt

   Total
interest
expense

2000

   744,405    3,869    —      —      744,405    3,869

2001

   682,512    35,392    74,402    1,190    756,914    36,582

2002

   604,420    32,540    79,220    3,628    683,640    36,168

2003

   441,845    27,387    72,863    3,643    514,708    31,030

2004

   379,405    21,275    66,200    3,337    445,605    24,612

2005

   313,968    18,277    59,218    3,018    373,186    21,295

2006

   245,390    15,137    51,900    2,682    297,289    17,819

2007

   173,445    11,845    44,231    2,331    217,676    14,176

2008

   161,932    8,412    36,194    1,963    198,126    10,375

2009

   149,771    7,839    27,772    1,577    177,543    9,416

2010

   137,026    7,255    18,945    1,173    155,971    8,428

2011

   123,669    6,643    9,694    750    133,363    7,393

2012

   109,681    6,012    —      305    109,681    6,317

2013

   95,011    5,331    —      —      95,011    5,331

2014

   79,638    4,627    —      —      79,638    4,627

2015

   61,027    3,889    —      —      61,027    3,889

2016 – 2035 Average

   —      1,755    —      —      —      1,755

 

(a)

Includes plant, fuel, and license extension payments. Payments for plant and fuel are made annually on 11/21 (anniversary of close). As of 9/30/03, the entire fuel note has been paid off. Life extension payments made on anniversary of license expiration.

Totals may not foot due to rounding.

 

 

NON-NUCLEAR WHOLESALE ASSETS

NON-NUCLEAR WHOLESALE ASSETS PLANT STATISTICS

 

Plant    Location    NERC
Region
   Commercial
Operation
   Ownership
Interest
    Net
MW
   Total
MW
   Fuel Type/
Technology
   Purpose

Independence – Unit 2

   Newark, AR    SERC    1983    14 %   121    842    Coal    Base

Nelson 6 (PPA)

   Westlake, LA    SERC    1982    11 %   60    550    Coal    Base

Harrison County

   Marshall, TX    SPP    2003    61 %   335    550    Combined Cycle    Intermediate

RS Cogen

   Lake Charles, LA    SERC    2002    50 %   213    425    CCGT Cogen    Base QF

Ritchie – Unit 2

   Helena, AR    SERC    1968    100 %   544    544    Gas/Oil    Peaking

Warren Power

   Vicksburg, MS    SERC    2001    75 %   225    300    Gas Turbine    Peaking

Top of Iowa

   Worth County, IA    MAPP    2001    50 %   40    80    Wind    Renewable

White Deer

   Amarillo, TX    SPP    2001    50 %   40    80    Wind    Renewable

Total

                        1,578    3,371          

NON-NUCLEAR WHOLESALE ASSETS SECURITIES DETAIL

DEBT:

Outstanding as of December 31,

 

(Entergy’s share)    2007    2006    2005    Maturity    Rate  
          (in millions)                 

RS Cogen Senior Project Debt

              

Bank Portion(a)

   $ 60    $ 65    $ 72    10/17/18    LIBOR + 1.375 %

Institutional Portion

   $ 38    $ 38    $ 38    10/15/22    Fixed 8.73 %

Working Capital

   $ —      $ 1    $ —      Demand    LIBOR + 1.625 %

RS Cogen Subordinated Debt

   $ 14    $ 15    $ 16    10/17/17    LIBOR + 4.50 %

Top Deer Senior Project Debt

   $ 24    $ 28    $ 34    06/30/13    Fixed 5.43 %

 

(a)

RS Cogen spread on bank portion increases over time to 2.375%.

PREFERRED STOCK:

            Shares Outstanding
As of December 31,
  

 

As of December 31,

   Rate (a)     2007    2006    2005    2007    2006    2005
                               (in millions)     

Authorized 1,000,000 shares, $1 par value, cumulative

                   

Without Sinking Fund:

                   

Entergy Asset Management,

11.50% rate

   11.5 %   297,376    297,376    297,376    $ 29.7    $ 29.7    $ 29.7

Other

   —       —      —      —        1.0      1.1      1.7

Total without sinking fund

         297,376    297,376    297,376    $ 30.7    $ 30.8    $ 31.4

 

(a)

Entergy Asset Management’s stockholders’ agreement provides that at any time during the 180-day period prior to December 31, 2007 or each subsequent December 31 thereafter, either Entergy Asset Management or the preferred shareholders may request that the preferred dividend rate be reset.

 

53


Table of Contents

DEFINITIONS OF OPERATIONAL MEASURES AND GAAP AND NON-GAAP FINANCIAL MEASURES

NUCLEAR OPERATIONAL MEASURES

Net MW in operation

   Installed capacity owned or operated by Entergy Nuclear

Average realized price per MWh

   As-reported revenue per MWh billed for all non-utility nuclear operations

Production cost per MWh

   Fuel and non-fuel operation and maintenance expenses according to accounting standards that directly relate to the production of electricity per MWh

GWh billed

   Total number of GWh billed to all customers

Capability factor

   The percentage of the maximum energy generation a plant is capable of supplying to the grid, limited only by factors within control of plant management. A high capability factor indicates effective plant programs and practices to minimize unplanned energy losses and to optimize planned outages

Capacity factor

   Normalized percentage of the period that the plant generates power

Refueling outage duration

   Number of days lost for scheduled refueling outage during the period

Financial measures defined in the below table include measures prepared in accordance with generally accepted accounting principles (GAAP), as well as non-GAAP measures. Non-GAAP measures are included in this report in order to provide metrics that remove the effect of less routine financial impacts from commonly used financial metrics.

FINANCIAL MEASURES – GAAP

   
Return on average invested capital – As-reported    12-months rolling earnings adjusted to include preferred dividends and tax-effected interest expense divided by average invested capital
Return on average common equity – As-reported    12-months rolling earnings divided by average common equity
Net margin – As-reported    12-months rolling earnings divided by 12-months rolling revenue
Cash flow interest coverage    12-months cash flow from operating activities plus 12-months rolling interest paid, divided by interest expense
Book value per share    Common equity divided by end of period shares outstanding
Revolver capacity    Amount of undrawn capacity remaining on corporate and subsidiary revolvers
Total debt    Sum of short-term and long-term debt, notes payable, capital leases, and preferred stock with sinking fund (beginning in 2003) on the balance sheet, less non-recourse debt, if any
Project debt    Financing at subsidiaries to support specific projects
Debt of joint ventures (Entergy’s share)    Debt issued by Non-Nuclear Wholesale Assets business joint ventures and, for periods through third quarter 2004, debt issued for Entergy-Koch, LP
Leases (Entergy’s share)    Operating leases held by subsidiaries capitalized at implicit interest rate
Debt to capital    Gross debt divided by total capitalization
   
FINANCIAL MEASURES – NON-GAAP     
Operational earnings    As-reported earnings applicable to common stock adjusted to exclude the impact of special items
Return on average invested capital – operational    12-months rolling operational earnings adjusted to include preferred dividends and tax-effected interest expense divided by average invested capital
Return on average common equity – operational    12-months rolling operational earnings divided by average common equity
Net margin – operational    12-months rolling operational earnings divided by 12-months rolling revenue
Total gross liquidity    Sum of cash and revolver capacity
Net debt to net capital    Gross debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents
Net debt including off-balance sheet liabilities    Sum of gross debt and off-balance sheet debt less cash and cash equivalents divided by sum of total capitalization and off-balance sheet liabilities less cash and cash equivalents

 

54


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

 

2005 PRO FORMA INCOME STATEMENT    UTILITY/PARENT/OTHER     CONSOLIDATED  
     ENOI     ENOI  
In thousands, for the year ended December 31, 2005.    GAAP     Adjustment*     Pro Forma     GAAP     Adjustment*     Pro Forma  

OPERATING REVENUES:

            

Electric

   $ 8,449,281     $ 211,307     $ 8,660,588     $ 8,446,830     $ 211,307     $ 8,658,136  

Natural gas

     77,660       137,310       214,970       77,660       137,310       214,970  

Competitive businesses

     46,003       —         46,003       1,581,757       —         1,581,757  

Total

     8,572,944       348,617       8,921,561       10,106,247       348,617       10,454,863  

OPERATING EXPENSES:

            

Operating and Maintenance:

            

Fuel, fuel-related expenses, and gas purchased for resale

     1,941,887       217,365       2,159,252       2,176,015       217,365       2,393,380  

Purchased power

     2,559,536       (46,740 )     2,512,796       2,521,247       (46,740 )     2,474,506  

Nuclear refueling outage expenses

     73,966       —         73,966       162,653       —         162,653  

Other operation and maintenance

     1,458,596       86,227       1,544,823       2,122,206       86,227       2,208,432  

Decommissioning

     83,910       —         83,910       143,121       —         143,121  

Taxes other than income taxes

     325,766       41,538       367,304       382,521       41,538       424,059  

Depreciation and amortization

     789,654       33,975       823,629       856,377       33,975       890,352  

Other regulatory charges (credits) – net

     (49,882 )     3,181       (46,701 )     (49,882 )     3,181       (46,701 )

Total

     7,183,433       335,545       7,518,978       8,314,258       335,545       8,649,802  

OPERATING INCOME

     1,389,511       13,072       1,402,583       1,791,989       13,072       1,805,061  

OTHER INCOME (DEDUCTIONS):

            

Allowance for equity funds used during construction

     45,736       3,229       48,965       45,736       3,229       48,965  

Interest and dividend income

     125,237       89       125,326       150,479       89       150,568  

Equity in earnings (loss) of unconsolidated equity affiliates

     10,462       (768 )     9,694       985       (768 )     217  

Miscellaneous – net

     (19,030 )     (4,110 )     (23,140 )     14,251       (4,110 )     10,141  

Total

     162,405       (1,560 )     160,845       211,451       (1,560 )     209,891  

INTEREST AND OTHER CHARGES:

            

Interest on long-term debt

     427,055       10,153       437,208       440,334       10,153       450,487  

Other interest – net

     79,612       1,696       81,308       64,646       1,696       66,342  

Allowance for borrowed funds used during construction

     (29,376 )     (2,609 )     (31,985 )     (29,376 )     (2,609 )     (31,985 )

Preferred dividend requirements and other

     22,007       482       22,489       25,427       482       25,909  

Total

     499,298       9,722       509,020       501,031       9,722       510,753  

INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES

     1,052,618       1,790       1,054,408       1,502,409       1,790       1,504,199  

Income taxes

     403,671       1,790       405,461       559,284       1,790       561,074  

INCOME FROM CONTINUING OPERATIONS

     648,947       —         648,947       943,125       —         943,125  

LOSS FROM DISCONTINUED OPERATIONS (net of income tax expense of $(24,051))

     (44,794 )     —         (44,794 )     (44,794 )     —         (44,794 )

CONSOLIDATED NET INCOME

   $ 604,153     $ —       $ 604,153     $ 898,331     $ —       $ 898,331  

 

*Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

 

55


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2005 PRO FORMA BALANCE SHEET

 

     UTILITY/PARENT/OTHER     CONSOLIDATED  
In thousands, as of December 31, 2005.    GAAP     ENOI
Adjustment*
    Pro Forma     GAAP     ENOI
Adjustment*
    Pro Forma  

ASSETS

            

CURRENT ASSETS:

            

Cash and cash equivalents:

            

Cash

   $ 207,135     $ 48,056     $ 255,191     $ 221,773     $ 48,056     $ 269,829  

Temporary cash investments – at cost, which approximates market

     127,786       —         127,786       361,047       —         361,047  

Total cash and cash equivalents

     334,921       48,056       382,977       582,820       48,056       630,876  

Notes receivable – Entergy New Orleans DIP loan

     90,000       (90,000 )     —         90,000       (90,000 )     —    

Notes receivable

     575,873       —         575,873       3,227       —         3,227  

Accounts receivable:

            

Customer

     629,717       82,052       711,769       763,993       82,052       846,045  

Allowance for doubtful accounts

     (28,635 )     (25,422 )     (54,057 )     (30,805 )     (25,422 )     (56,227 )

Associated companies

     33,851       —         33,851       —         —         —    

Other

     296,286       (96,208 )     200,078       324,876       (96,208 )     228,668  

Accrued unbilled revenues

     477,570       23,698       501,268       477,570       23,698       501,268  

Total accounts receivable

     1,408,789       (15,880 )     1,392,909       1,535,634       (15,880 )     1,519,754  

Deferred fuel costs

     543,927       30,593       574,520       543,927       30,593       574,520  

Fuel inventory – at average cost

     204,382       8,048       212,430       206,195       8,048       214,243  

Materials and supplies – at average cost

     369,397       8,961       378,358       610,932       8,961       619,893  

Deferred nuclear refueling outage costs

     70,545       —         70,545       164,152       —         164,152  

Prepayments and other

     301,387       2,140       303,527       325,795       2,140       327,935  

Total

     3,899,221       (8,082 )     3,891,139       4,062,682       (8,082 )     4,054,600  

OTHER PROPERTY AND INVESTMENTS:

            

Investment in affiliates – at equity

     8,198,240       (149,929 )     8,048,311       296,784       (149,929 )     146,855  

Decommissioning trust funds

     1,136,006       —         1,136,006       2,606,765       —         2,606,765  

Non-utility property – at cost (less accumulated depreciation)

     226,264       1,107       227,371       228,833       1,107       229,940  

Other

     35,594       —         35,594       81,535       —         81,535  

Total

     9,596,104       (148,822 )     9,447,282       3,213,917       (148,822 )     3,065,095  

PROPERTY, PLANT AND EQUIPMENT:

            

Electric

     27,176,956       691,045       27,868,001       29,161,027       691,045       29,852,072  

Property under capital lease

     727,565       —         727,565       727,565       —         727,565  

Natural gas

     86,794       189,207       276,001       86,794       189,207       276,001  

Construction work in progress

     1,291,374       202,353       1,493,727       1,524,085       202,353       1,726,438  

Nuclear fuel under capital lease

     271,615       —         271,615       271,615       —         271,615  

Nuclear fuel

     101,403       —         101,403       436,646       —         436,646  

Total property, plant and equipment

     29,655,707       1,082,605       30,738,312       32,207,732       1,082,605       33,290,337  

Less – accumulated depreciation and amortization

     12,730,545       428,053       13,158,598       13,010,687       428,053       13,438,740  

Property, plant and equipment – net

     16,925,162       654,552       17,579,714       19,197,045       654,552       19,851,597  

DEFERRED DEBITS AND OTHER ASSETS:

            

Regulatory assets:

            

SFAS 109 regulatory asset – net

     735,221       (52,229 )     682,992       735,221       (52,229 )     682,992  

Other regulatory assets

     2,133,724       171,133       2,304,857       2,133,724       171,133       2,304,857  

Deferred fuel costs

     120,489       —         120,489       120,489       —         120,489  

Long-term receivables

     25,572       1,812       27,384       25,572       1,812       27,384  

Goodwill

     374,099       —         374,099       377,172       —         377,172  

Other

     841,068       17,322       858,390       991,835       17,322       1,009,157  

Total

     4,230,173       138,038       4,368,211       4,384,013       138,038       4,522,051  

TOTAL ASSETS

   $ 34,650,660     $ 635,686     $ 35,286,346     $ 30,857,657     $ 635,686     $ 31,493,343  

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

Certain prior year data has been reclassified to conform with current year presentation.

 

56


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2005 PRO FORMA BALANCE SHEET

 

     UTILITY/PARENT/OTHER     CONSOLIDATED  
In thousands, as of December 31, 2005.    GAAP     ENOI
Adjustment*
    Pro Forma     GAAP     ENOI
Adjustment*
    Pro Forma  

LIABILITIES AND SHAREHOLDERS’ EQUITY

            

CURRENT LIABILITIES:

            

Currently maturing long-term debt

   $ 22,989     $ —       $ 22,989     $ 103,517     $ —       $ 103,517  

Notes payable:

            

Associated companies

     926,271       —         926,271       —         —         —    

Other

     40,041       15,000       55,041       40,041       15,000       55,041  

Accounts payable:

            

Associated companies

     77,793       —         77,793       —         —         —    

Other

     1,494,385       240,601       1,734,986       1,655,787       240,601       1,896,388  

Customer deposits

     222,044       16,930       238,974       222,206       16,930       239,136  

Taxes accrued

     316,659       (378 )     316,281       188,159       (378 )     187,781  

Accumulated deferred income taxes

     143,409       1,898       145,307       143,409       1,898       145,307  

Interest accrued

     153,269       2,668       155,937       154,855       2,668       157,523  

Obligations under capital leases

     130,882       —         130,882       130,882       —         130,882  

Other

     66,367       2,018       68,385       473,510       2,018       475,528  

Total

     3,594,109       278,737       3,872,846       3,112,366       278,737       3,391,103  

NON–CURRENT LIABILITIES:

            

Accumulated deferred income taxes and taxes accrued

     5,248,739       68,617       5,317,356       5,282,759       68,617       5,351,376  

Accumulated deferred investment tax credits

     376,550       3,570       380,120       376,550       3,570       380,120  

Obligations under capital leases

     175,005       —         175,005       175,005       —         175,005  

Other regulatory liabilities

     408,667       591       409,258       408,667       591       409,258  

Decommissioning and asset retirement cost liabilities

     1,161,830       2,421       1,164,251       1,923,971       2,421       1,926,392  

Transition to competition

     79,101       —         79,101       79,101       —         79,101  

Accumulated provisions

     74,234       7,889       82,123       144,880       7,889       152,769  

Pension and other postretirement liabilities

     874,793       26,049       900,842       1,118,964       26,049       1,145,013  

Long-term debt

     8,791,811       226,603       9,018,414       8,824,493       226,603       9,051,096  

Preferred stock with sinking fund

     13,950       —         13,950       13,950       —         13,950  

Other

     1,161,820       1,429       1,163,249       1,202,706       1,429       1,204,135  

Total

     18,366,500       337,169       18,703,669       19,551,046       337,169       19,888,215  

Commitments and Contingencies

            

Preferred stock without sinking fund

     411,321       19,780       431,101       445,974       19,780       465,754  

SHAREHOLDERS’ EQUITY:

            

Common stock, $.01 par value, authorized 500,000,000 shares; issued 248,174,087 shares in 2005

     2,205,191       —         2,205,192       2,482       —         2,482  

Paid–in capital

     6,653,879       —         6,653,879       4,817,637       —         4,817,637  

Retained earnings

     5,717,919       —         5,717,919       5,433,931       —         5,433,931  

Accumulated other comprehensive loss

     (16,300 )     —         (16,300 )     (343,819 )     —         (343,819 )

Less – treasury stock, at cost (40,644,602 shares in 2005)

     2,281,960       —         2,281,960       2,161,960       —         2,161,960  

Total

     12,278,730       —         12,278,730       7,748,271       —         7,748,271  

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

   $ 34,650,660     $ 635,686     $ 35,286,346     $ 30,857,657     $ 635,686     $ 31,493,343  

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

Certain prior year data has been reclassified to conform with current year presentation.

 

57


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2005 PRO FORMA STATEMENT OF CASH FLOW

 

      CONSOLIDATED  
In thousands, for the year ended December 31, 2005.    GAAP     ENOI
Adjustment*
    Pro Forma  

OPERATING ACTIVITIES:

      

Consolidated net income

   $ 898,331     $ 700     $ 899,031  

Adjustments to reconcile consolidated net income to net cash flow provided by operating activities:

      

Reserve for regulatory adjustments

     (82,033 )     (142 )     (82,175 )

Other regulatory charges (credits) – net

     (49,882 )     3,181       (46,701 )

Depreciation, amortization, and decommissioning

     1,001,852       33,975       1,035,827  

Deferred income taxes and investment tax credits

     487,804       236,100       723,904  

Equity in earnings (loss) of unconsolidated equity affiliates – net of dividends

     4,315       (4,532 )     (217 )

Provisions for asset impairments and restructuring charges

     39,767       —         39,767  

Changes in working capital:

      

Receivables

     (367,351 )     61,359       (305,992 )

Fuel inventory

     (83,125 )     (3,867 )     (86,992 )

Accounts payable

     303,194       (5,392 )     297,802  

Taxes accrued

     (33,306 )     (211,082 )     (244,388 )

Interest accrued

     15,133       (2,089 )     13,044  

Deferred fuel

     (236,801 )     (28,034 )     (264,835 )

Other working capital accounts

     (45,653 )     (6,568 )     (52,221 )

Provision for estimated losses and reserves

     (3,704 )     (1,632 )     (5,336 )

Changes in other regulatory assets

     (311,934 )     (59,707 )     (371,641 )

Other

     (68,799 )     (21,751 )     (90,550 )

Net cash flow provided by (used in) operating activities

     1,467,808       (9,481 )     1,458,327  

INVESTING ACTIVITIES:

      

Construction/capital expenditures

     (1,458,086 )     (57,640 )     (1,515,726 )

Allowance for equity funds used during construction

     45,736       3,229       48,965  

Nuclear fuel purchases

     (314,414 )     —         (314,414 )

Proceeds from sale/leaseback of nuclear fuel

     184,403       —         184,403  

Payment for purchase of plant

     (162,075 )     —         (162,075 )

Decrease (increase) in other investments

     9,905       90,000       99,905  

Purchases of other temporary investments

     (1,591,025 )     —         (1,591,025 )

Liquidation of other temporary investments

     1,778,975       —         1,778,975  

Proceeds from nuclear decommissioning trust fund sales

     944,253       —         944,253  

Investment in nuclear decommissioning trust funds

     (1,039,824 )     —         (1,039,824 )

Other regulatory investments

     (390,456 )     —         (390,456 )

Net cash flow provided by (used in) investing activities

     (1,992,608 )     35,589       (1,957,019 )

FINANCING ACTIVITIES:

      

Proceeds from the issuance of:

      

Long-term debt

     4,302,570       29,783       4,332,353  

Preferred stock

     127,995       —         127,995  

Common stock and treasury stock

     106,068       —         106,068  

Retirement of long-term debt

     (2,689,206 )     (30,065 )     (2,719,271 )

Repurchase of common stock

     (878,188 )     —         (878,188 )

Redemption of preferred stock

     (33,719 )     —         (33,719 )

Changes in credit line borrowings – net

     39,850       15,000       54,850  

Dividends paid:

      

Common stock

     (453,508 )     —         (453,508 )

Preferred stock

     (25,472 )     (724 )     (26,196 )

Net cash flow provided by financing activities

     496,390       13,994       510,384  

Effect of exchange rates on cash and cash equivalents

     (602 )     —         (602 )

Net increase (decrease) in cash and cash equivalents

     (29,012 )     40,102       11,090  

Cash and cash equivalents at beginning of period

     619,786       —         619,786  

Effect of the deconsolidation of Entergy New Orleans on cash and cash equivalents

     (7,954 )     7,954       —    

Cash and cash equivalents at end of period

   $ 582,820     $ 48,056     $ 630,876  

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

      

Cash paid (received) during the period for:

      

Interest – net of amount capitalized

   $ 461,345     $ —       $ 461,345  

Income taxes

   $ 116,072     $ (18,000 )   $ 98,072  

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

Certain prior year data has been reclassified to conform with current year presentation.

 

58


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2006 PRO FORMA INCOME STATEMENT

 

     UTILITY/PARENT/OTHER     CONSOLIDATED  
     ENOI     ENOI  
In thousands, for the year ended December 31, 2006.    GAAP     Adjustment*     Pro Forma     GAAP     Adjustment*     Pro Forma  

OPERATING REVENUES:

            

Electric

   $ 9,065,800     $ 204,989     $ 9,270,789     $ 9,063,135     $ 204,989     $ 9,268,124  

Natural gas

     84,230       100,088       184,318       84,230       100,088       184,318  

Competitive businesses

     39,817       —         39,817       1,784,793       —         1,784,793  

Total

     9,189,847       305,077       9,494,924       10,932,158       305,077       11,237,235  

OPERATING EXPENSES:

            

Operating and Maintenance:

            

Fuel, fuel-related expenses, and gas purchased for resale

     2,880,857       157,535       3,038,392       3,144,073       157,535       3,301,608  

Purchased power

     2,120,770       (43,647 )     2,077,123       2,138,237       (43,647 )     2,094,590  

Nuclear refueling outage expenses

     78,110       —         78,110       169,567       —         169,567  

Other operation and maintenance

     1,614,002       100,094       1,714,096       2,335,364       100,094       2,435,458  

Decommissioning

     82,912       169       83,081       145,884       169       146,053  

Taxes other than income taxes

     363,897       34,953       398,850       428,561       34,953       463,514  

Depreciation and amortization

     808,517       31,465       839,982       887,792       31,465       919,257  

Other regulatory charges (credits) – net

     (122,680 )     4,160       (118,520 )     (122,680 )     4,160       (118,520 )

Total

     7,826,385       284,729       8,111,114       9,126,798       284,729       9,411,527  

OPERATING INCOME

     1,363,462       20,348       1,383,810       1,805,360       20,348       1,825,708  

OTHER INCOME (DEDUCTIONS):

            

Allowance for equity funds used during construction

     39,894       3,078       42,972       39,894       3,078       42,972  

Interest and dividend income

     163,717       (6,722 )     156,995       198,835       (6,722 )     192,113  

Equity in earnings (loss) of unconsolidated equity affiliates

     95,366       (4,057 )     91,309       93,744       (4,057 )     89,687  

Miscellaneous – net

     555       (543 )     12       16,114       (543 )     15,571  

Total

     299,532       (8,244 )     291,288       348,587       (8,244 )     340,343  

INTEREST AND OTHER CHARGES:

            

Interest on long-term debt

     489,282       4,069       493,351       498,451       4,069       502,520  

Other interest – net

     99,196       4,175       103,371       75,502       4,175       79,677  

Allowance for borrowed funds used during construction

     (23,931 )     (2,477 )     (26,408 )     (23,931 )     (2,477 )     (26,408 )

Preferred dividend requirements and other

     24,363       1,286       25,649       27,783       1,286       29,069  

Total

     588,910       7,053       595,963       577,805       7,053       584,858  

INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES

     1,074,084       5,051       1,079,135       1,576,142       5,051       1,581,193  

Income taxes

     234,789       5,051       239,840       443,044       5,051       448,095  

INCOME FROM CONTINUING OPERATIONS

     839,295       —         839,295       1,133,098       —         1,133,098  

LOSS FROM DISCONTINUED OPERATIONS (net of income tax expense of $67)

     (496 )     —         (496 )     (496 )     —         (496 )

CONSOLIDATED NET INCOME

   $ 838,799     $ —       $ 838,799     $ 1,132,602     $ —       $ 1,132,602  

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

 

59


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2006 PRO FORMA BALANCE SHEET

 

     UTILITY/PARENT/OTHER     CONSOLIDATED  
In thousands, as of December 31, 2006.    GAAP     ENOI
Adjustment*
    Pro Forma     GAAP     ENOI
Adjustment*
    Pro Forma  

ASSETS

            

CURRENT ASSETS:

            

Cash and cash equivalents:

            

Cash

   $ 95,468     $ 3,886     $ 99,354     $ 117,379     $ 3,886     $ 121,265  

Temporary cash investments – at cost, which approximates market

     499,942       13,207       513,149       898,773       13,207       911,980  

Total cash and cash equivalents

     595,410       17,093       612,503       1,016,152       17,093       1,033,245  

Notes receivable – Entergy New Orleans DIP loan

     51,934       (51,934 )     —         51,934       (51,934 )     —    

Notes receivable

     266,717       —         266,717       699       —         699  

Accounts receivable:

            

Customer

     410,512       58,999       469,511       552,376       58,999       611,375  

Allowance for doubtful accounts

     (19,348 )     (10,563 )     (29,911 )     (19,348 )     (10,563 )     (29,911 )

Associated companies

     (5,099 )     —         (5,099 )     —         —         —    

Other

     312,654       (86,258 )     226,396       345,400       (86,258 )     259,142  

Accrued unbilled revenues

     249,165       23,758       272,923       249,165       23,758       272,923  

Total accounts receivable

     947,884       (14,064 )     933,820       1,127,593       (14,064 )     1,113,529  

Accumulated deferred income taxes

     10,498       (2,924 )     7,574       11,680       (2,924 )     8,756  

Fuel inventory – at average cost

     189,829       5,041       194,870       193,098       5,041       198,139  

Materials and supplies – at average cost

     408,279       7,825       416,104       604,998       7,825       612,823  

Deferred nuclear refueling outage costs

     65,349       —         65,349       147,521       —         147,521  

Prepayments and other

     150,134       5,640       155,774       171,759       5,640       177,399  

Total

     2,686,034       (33,323 )     2,652,711       3,325,434       (33,323 )     3,292,111  

OTHER PROPERTY AND INVESTMENTS:

            

Investment in affiliates – at equity

     7,725,189       (153,988 )     7,571,201       229,089       (153,988 )     75,101  

Decommissioning trust funds

     1,274,676       —         1,274,676       2,858,523       —         2,858,523  

Non-utility property – at cost (less accumulated depreciation)

     208,956       1,107       210,063       212,726       1,107       213,833  

Other

     39,868       —         39,868       47,115       —         47,115  

Total

     9,248,689       (152,881 )     9,095,808       3,347,453       (152,881 )     3,194,572  

PROPERTY, PLANT AND EQUIPMENT:

            

Electric

     28,405,556       698,081       29,103,637       30,713,284       698,081       31,411,365  

Property under capital lease

     730,182       —         730,182       730,182       —         730,182  

Natural gas

     92,787       186,932       279,719       92,787       186,932       279,719  

Construction work in progress

     609,431       21,824       631,255       786,147       21,824       807,971  

Nuclear fuel under capital lease

     336,017       —         336,017       336,017       —         336,017  

Nuclear fuel

     140,357       —         140,357       494,759       —         494,759  

Total property, plant and equipment

     30,314,330       906,837       31,221,167       33,153,176       906,837       34,060,013  

Less – accumulated depreciation and amortization

     13,366,710       446,673       13,813,383       13,715,099       446,673       14,161,772  

Property, plant and equipment – net

     16,947,620       460,164       17,407,784       19,438,077       460,164       19,898,241  

DEFERRED DEBITS AND OTHER ASSETS:

            

Regulatory assets:

            

SFAS 109 regulatory asset – net

     740,110       (71,870 )     668,240       740,110       (71,870 )     668,240  

Other regulatory assets

     2,768,352       295,440       3,063,792       2,768,352       295,440       3,063,792  

Deferred fuel costs

     168,122       —         168,122       168,122       —         168,122  

Long-term receivables

     19,349       936       20,285       19,349       936       20,285  

Goodwill

     374,099       —         374,099       377,172       —         377,172  

Other

     736,461       4,824       741,285       898,662       4,824       903,486  

Total

     4,806,493       229,330       5,035,823       4,971,767       229,330       5,201,097  

TOTAL ASSETS

   $ 33,688,836     $ 503,290     $ 34,192,126     $ 31,082,731     $ 503,290     $ 31,586,021  

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

Certain prior year data has been reclassified to conform with current year presentation.

 

60


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2006 PRO FORMA BALANCE SHEET

 

     UTILITY/PARENT/OTHER     CONSOLIDATED  
In thousands, as of December 31, 2006.    GAAP     ENOI
Adjustment*
    Pro Forma     GAAP     ENOI
Adjustment*
    Pro Forma  

LIABILITIES AND SHAREHOLDERS’ EQUITY

            

CURRENT LIABILITIES:

            

Currently maturing long-term debt

   $ 93,335     $ —       $ 93,335     $ 181,576     $ —       $ 181,576  

Notes payable:

            

Associated companies

     979,198       —         979,198       —         —         —    

Other

     25,039       —         25,039       25,039       —         25,039  

Accounts payable:

            

Associated companies

     69,355       —         69,355       —         —         —    

Other

     901,434       59,034       960,468       1,122,596       59,034       1,181,630  

Customer deposits

     248,031       14,808       262,839       248,031       14,808       262,839  

Taxes accrued

     167,060       2,087       169,147       187,324       2,087       189,411  

Interest accrued

     159,527       18,004       177,531       160,831       18,004       178,835  

Deferred fuel costs

     73,031       (18,996 )     54,035       73,031       (18,996 )     54,035  

Obligations under capital leases

     153,246       —         153,246       153,246       —         153,246  

Pension and other postretirement liabilities

     39,008       16       39,024       41,912       16       41,928  

Other

     100,501       6,138       106,639       271,544       6,138       277,682  

Total

     3,008,765       81,091       3,089,856       2,465,130       81,091       2,546,221  

NON–CURRENT LIABILITIES:

            

Accumulated deferred income taxes and taxes accrued

     5,451,700       98,884       5,550,584       5,820,700       98,884       5,919,584  

Accumulated deferred investment tax credits

     358,550       3,157       361,707       358,550       3,157       361,707  

Obligations under capital leases

     188,033       —         188,033       188,033       —         188,033  

Other regulatory liabilities

     449,237       —         449,237       449,237       —         449,237  

Decommissioning and asset retirement cost liabilities

     1,249,482       2,591       1,252,073       2,023,846       2,591       2,026,437  

Transition to competition

     79,098       —         79,098       79,098       —         79,098  

Accumulated provisions

     81,053       8,384       89,437       88,902       8,384       97,286  

Pension and other postretirement liabilities

     1,125,707       60,034       1,185,741       1,410,433       60,034       1,470,467  

Long-term debt

     8,560,534       226,619       8,787,153       8,798,087       226,619       9,024,706  

Preferred stock with sinking fund

     10,500       —         10,500       10,500       —         10,500  

Other

     1,173,844       2,750       1,176,594       847,415       2,750       850,165  

Total

     18,727,738       402,419       19,130,157       20,074,801       402,419       20,477,220  

Commitments and Contingencies

            

Preferred stock without sinking fund

     310,751       19,780       330,531       344,913       19,780       364,693  

SHAREHOLDERS’ EQUITY:

            

Common stock, $.01 par value, authorized 500,000,000 shares; issued 248,174,087 shares in 2006

     2,228,350       —         2,228,350       2,482       —         2,482  

Paid–in capital

     6,668,007       —         6,668,007       4,827,265       —         4,827,265  

Retained earnings

     5,592,532       —         5,592,532       6,113,042       —         6,113,042  

Accumulated other comprehensive loss

     (82,917 )     —         (82,917 )     (100,512 )     —         (100,512 )

Less – treasury stock, at cost (45,506,311 shares in 2006)

     2,764,390       —         2,764,390       2,644,390       —         2,644,390  

Total

     11,641,582       —         11,641,582       8,197,887       —         8,197,887  

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

   $ 33,688,836     $ 503,290     $ 34,192,126     $ 31,082,731     $ 503,290     $ 31,586,021  

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

Certain prior year data has been reclassified to conform with current year presentation.

 

61


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Reconsolidation of Entergy New Orleans) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2006 PRO FORMA STATEMENT OF CASH FLOW

 

     CONSOLIDATED  
In thousands, for the year ended December 31, 2006.    GAAP     ENOI
Adjustment*
    Pro Forma  

OPERATING ACTIVITIES:

      

Consolidated net income

   $ 1,132,602     $ —       $ 1,132,602  

Adjustments to reconcile consolidated net income to net cash flow provided by operating activities:

      

Reserve for regulatory adjustments

     36,352       (20 )     36,332  

Other regulatory credits – net

     (122,680 )     4,160       (118,520 )

Depreciation, amortization, and decommissioning

     1,035,153       31,634       1,066,787  

Deferred income taxes, investment tax credits, and non-current taxes accrued

     738,643       54,395       793,038  

Equity in earnings (loss) of unconsolidated equity affiliates – net of dividends

     4,436       4,057       8,493  

Provisions for asset impairments and restructuring charges

       —      

Changes in working capital:

      

Receivables

     408,042       (1,817 )     406,225  

Fuel inventory

     13,097       3,007       16,104  

Accounts payable

     (83,884 )     10,855       (73,029 )

Taxes accrued

     (835 )     2,464       1,629  

Interest accrued

     5,975       15,337       21,312  

Deferred fuel

     582,947       11,597       594,544  

Other working capital accounts

     64,479       (1,447 )     63,032  

Provision for estimated losses and reserves

     39,822       496       40,318  

Changes in other regulatory assets

     (127,305 )     (55,607 )     (182,912 )

Other

     (279,005 )     14,717       (264,288 )

Net cash flow provided by operating activities

     3,447,839       93,828       3,541,667  

INVESTING ACTIVITIES:

      

Construction/capital expenditures

     (1,633,268 )     (80,792 )     (1,714,060 )

Allowance for equity funds used during construction

     39,894       3,078       42,972  

Nuclear fuel purchases

     (326,248 )     —         (326,248 )

Proceeds from sale/leaseback of nuclear fuel

     135,190       —         135,190  

Proceeds from sale of assets and businesses

     77,159       —         77,159  

Payment for purchase of plant

     (88,199 )     —         (88,199 )

Insurance proceeds received for property damages

     18,828       4,664       23,492  

Decrease (increase) in other investments

     (6,353 )     (36,458 )     (42,811 )

Proceeds from nuclear decommissioning trust fund sales

     777,584       —         777,584  

Investment in nuclear decommissioning trust funds

     (884,123 )     —         (884,123 )

Other regulatory investments

     (38,037 )     —         (38,037 )

Net cash flow used in investing activities

     (1,927,573 )     (109,508 )     (2,037,081 )

FINANCING ACTIVITIES:

      

Proceeds from the issuance of:

      

Long-term debt

     1,837,713       (6 )     1,837,707  

Preferred stock

     73,354       —         73,354  

Common stock and treasury stock

     70,455       —         70,455  

Retirement of long-term debt

     (1,804,373 )     —         (1,804,373 )

Repurchase of common stock

     (584,193 )     —         (584,193 )

Redemption of preferred stock

     (183,881 )     —         (183,881 )

Changes in credit line borrowings – net

     (15,000 )     (15,000 )     (30,000 )

Dividends paid:

      

Common stock

     (448,954 )     —         (448,954 )

Preferred stock

     (28,848 )     (277 )     (29,125 )

Net cash flow used in financing activities

     (1,083,727 )     (15,283 )     (1,099,010 )

Effect of exchange rates on cash and cash equivalents

     (3,207 )     —         (3,207 )

Net increase (decrease) in cash and cash equivalents

     433,332       (30,963 )     402,369  

Cash and cash equivalents at beginning of period

     582,820       48,056       630,876  

Cash and cash equivalents at end of period

   $ 1,016,152     $ 17,093     $ 1,033,245  

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

      

Cash paid (received) during the period for:

      

Interest – net of amount capitalized

   $ 514,189       —       $ 514,189  

Income taxes

   $ (147,435 )   $ (57,193 )   $ (204,628 )

 

* Adjustment to reflect reconsolidation of Entergy New Orleans, Inc.

Totals may not foot due to rounding.

Certain prior year data has been reclassified to conform with current year presentation.

 

62


Table of Contents

REG G RECONCILIATIONS

PRO FORMA FINANCIAL RESULTS (Reflects Jurisdictional Split of Entergy Gulf States, Inc.) (unaudited)

RECONCILIATION OF GAAP TO NON-GAAP

2007 PRO FORMA INCOME STATEMENT

 

In thousands, for the year ended December 31, 2007.   

Entergy Gulf States
Louisiana

GAAP

    Adjustment*    

Entergy Gulf States
Louisiana

Pro Forma

 

OPERATING REVENUES:

      

Electric

   $ 3,448,008     $ (1,238,442 )   $ 2,209,566  

Natural gas

     86,604       —         86,604  

Total

     3,534,612       (1,238,442 )     2,296,170  

OPERATING EXPENSES:

      

Operating and maintenance:

      

Fuel, fuel-related expenses, and gas purchased for resale

     867,081       (546,413 )     320,668  

Purchased power

     1,339,986       (232,938 )     1,107,048  

Nuclear refueling outage expenses

     12,212       —         12,212  

Other operation and maintenance

     548,999       (179,119 )     369,880  

Decommissioning

     11,728       (173 )     11,555  

Taxes other than income taxes

     132,489       (50,615 )     81,874  

Depreciation and amortization

     208,648       (68,172 )     140,476  

Other regulatory charges (credits) – net

     29,923       (16,808 )     13,115  

Total

     3,151,066       (1,094,238 )     2,056,828  

OPERATING INCOME

     383,546       (144,204 )     239,342  

OTHER INCOME:

      

Allowance for equity funds used during construction

     11,666       (3,295 )     8,371  

Interest and dividend income

     75,425       28,715       104,140  

Miscellaneous – net

     1,724       600       2,324  

Total

     88,815       26,020       114,835  

INTEREST AND OTHER CHARGES:

      

Interest on long-term debt

     149,464       (14,231 )     135,233  

Other interest – net

     13,945       (10,907 )     3,038  

Allowance for borrowed funds used during construction

     (7,528 )     2,126       (5,402 )

Total

     155,881       (23,012 )     132,869  

INCOME BEFORE INCOME TAXES

     316,480       (95,172 )     221,308  

Income taxes

     123,701       (36,249 )     87,452  

NET INCOME

     192,779       (58,923 )     133,856  

Preferred distribution requirements and other

     3,968       —         3,968  

EARNINGS APPLICABLE TO COMMON EQUITY

   $ 188,811     $ (58,923 )   $ 129,888  

 

* Adjustment to reflect as if the transactions implementing the Entergy Gulf States, Inc. jurisdictional split had occurred as of January 1, 2007.

 

63


Table of Contents

REG G RECONCILIATIONS

CONSOLIDATED FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES 2003-2007

 

($ millions)    2007     2006(a)    2005(a)     2004    2003  

As-Reported earnings (A)

   1,135     1,133    898     910    927  

Preferred dividends

   25     28    25     24    24  

Tax-effected interest expense

   392     339    293     295    311  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   1,552     1,499    1,217     1,228    1,262  

Special items (C)

   (32 )   135    (45 )   30    (55 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   1,584     1,364    1,262     1,198    1,317  

Operational earnings (A-C)

   1,167     998    943     880    982  

Average invested capital (D)

   18,721     17,688    16,850     16,845    17,114  

Average common equity (E)

   8,030     7,970    8,020     8,500    8,271  

Operating revenues (F)

   11,484     10,932    10,106     9,686    9,033  

Gross debt (G)

   11,123     9,356    9,288     7,807    8,182  

Less cash and cash equivalents (H)

   1,273     1,016    583     620    507  

Net debt (G-H)

   9,850     8,340    8,705     7,187    7,675  

Total capitalization (I)

   19,297     17,899    17,477     16,469    17,220  

Less cash and cash equivalents (J)

   1,273     1,016    583     620    507  

Net capitalization (I-J)

   18,024     16,883    16,894     15,849    16,713  

Off-balance sheet liabilities (K)

   658     665    778     769    915  

Revolver capacity (L)

   1,730     2,770    2,545     1,490    1,553  

Gross liquidity (H+L)

   3,003     3,786    3,128     2,110    2,060  

($ per share)

            

As-Reported earnings per share (M)

   5.60     5.36    4.19     3.93    4.01  

Operational earnings per share (N)

   5.76     4.72    4.40     3.80    4.25  

Common dividend paid per share (O)

   2.58     2.16    2.16     1.89    1.60  

Year-end closing market price per share of common stock (P)

   119.52     92.32    68.65     67.59    57.13  

(%)

            

Return on average invested capital – As-Reported (B/D)

   8.3     8.5    7.2     7.3    7.4  

Return on average invested capital – Operational ((B-C)/D)

   8.5     7.7    7.5     7.1    7.7  

Return on average common equity – As-Reported (A/E)

   14.1     14.2    11.2     10.7    11.2  

Return on average common equity – Operational ((A-C)/E)

   14.5     12.5    11.8     10.4    11.9  

Net margin – As-Reported (A/F)

   9.9     10.4    8.9     9.4    10.3  

Net margin – Operational ((A-C)/F)

   10.2     9.1    9.3     9.1    10.9  

Debt to capital ratio (G/I)

   57.6     52.3    53.1     47.4    47.5  

Net debt to net capital ratio ((G-H)/(I-J))

   54.7     49.4    51.5     45.3    45.9  

Net debt to net capital ratio including off-balance sheet liabilities ((G-H+K)/(I-J+K))

   56.2     51.3    53.7     47.9    48.7  

Common dividend payout ratio – As-Reported (O/M)

   46     40    52     48    40  

Common dividend payout ratio – Operational (O/N)

   45     46    49     50    38  

(ratio)

            

Price to earnings ratio – As-Reported (P/M)

   21.34     17.24    16.39     17.18    14.25  

Price to earnings ratio – Operational (P/N)

   20.75     19.56    15.61     17.77    13.45  

 

(a) 2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

Calculations may differ due to rounding.

 

64


Table of Contents

REG G RECONCILIATIONS

CONSOLIDATED FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES 1Q06-4Q07

 

($ millions)    1Q06(a)     2Q06(a)     3Q06(a)     4Q06(a)     1Q07    2Q07    3Q07    4Q07  

For the quarter:

                   

As-Reported earnings (A)

   193.6     281.8     388.9     268.3     212.2    267.6    461.2    193.9  

Less special items (B)

   3.4     23.8     6.3     101.4     —      —      —      (32 )

Operational earnings (A-B)

   190.2     258.0     382.6     166.9     212.2    267.6    461.2    225.9  

As-Reported earnings trailing 12 months (C)

   920     916     955     1,133     1,151    1,137    1,209    1,135  

Preferred dividends

   27     28     29     28     28    26    25    25  

Tax-effected interest expense

   304     316     324     339     352    365    392    392  

As-Reported earnings, trailing 12 months including preferred dividends and tax-effected interest expense (D)

   1,251     1,260     1,308     1,499     1,531    1,528    1,626    1,552  

Special items in prior quarters

   (43 )   (37 )   (6 )   33     132    108    101    —    

Special items 1Q06 through 4Q07

                   

Utility/Parent/Other

                   

ENOI results

   6     11     7     (20 )   —      —      —      —    

Entergy-Koch, LP gain

   —       —       —       55     —      —      —      —    

Retail business impairment reserve

   —       —       —       —       —      —      —      —    

Retail business discontinued operations

   (2 )   13     (1 )   (10 )   —      —      —      —    

Restructuring-Entergy-Koch, LP distribution

   —       —       —       104     —      —      —      —    

Energy Commodity Services

                   

Non-Nuclear Wholesale Assets write-off of tax capital losses

   —       —       —       (28 )   —      —      —      —    

Nuclear Fleet Alignment

   —       —       —       —       —      —      —      (32 )

Total special items (E)

   (40 )   (13 )   —       135     132    108    101    (32 )

Operational earnings, trailing 12 months including preferred dividends and tax-effected interest expense (D-E)

   1,291     1,273     1,308     1,364     1,399    1,420    1,525    1,584  

Operational earnings, trailing 12 months (C-E)

   960     929     955     998     1,020    1,029    1,108    1,167  

Average invested capital (F)

   17,140     17,283     17,514     17,688     18,227    18,652    18,866    18,721  

Average common equity (G)

   8,026     8,080     8,208     7,970     7,939    7,998    8,264    8,030  

Operating revenues, trailing 12 months (H)

   10,564     10,747     11,104     10,932     11,295    11,371    11,311    11,484  

Gross debt (I)

   9,329     9,402     9,054     9,356     10,100    10,936    11,194    11,123  

Less cash and cash equivalents (J)

   752     729     745     1,016     1,100    1,320    1,467    1,273  

Net debt (I-J)

   8,576     8,673     8,309     8,340     9,000    9,616    9,728    9,850  

Total capitalization (K)

   17,888     17,956     17,957     17,899     18,304    19,088    19,529    19,297  

Less cash and cash equivalents (L)

   752     729     745     1,016     1,100    1,320    1,467    1,273  

Net capital (K-L)

   17,135     17,227     17,212     16,883     17,204    17,767    18,062    18,024  

Off-balance sheet liabilities (M)

   732     671     668     665     668    664    662    658  

Revolver capacity (N)

   2,718     2,710     3,095     2,770     2,170    1,650    1,804    1,730  

Gross liquidity (J+N)

   3,470     3,439     3,840     3,786     3,270    2,970    3,271    3,003  

(%)

                   

Return on average invested capital – As-Reported (D/F)

   7.3     7.3     7.5     8.5     8.4    8.2    8.6    8.3  

Return on average invested capital – Operational ((D-E)/F)

   7.5     7.4     7.5     7.7     7.7    7.6    8.1    8.5  

Return on average common equity – As-Reported (C/G)

   11.5     11.3     11.6     14.2     14.5    14.2    14.6    14.1  

Return on average common equity – Operational ((C-E)/G)

   12.0     11.5     11.6     12.5     12.8    12.9    13.4    14.5  

Net margin – As-Reported (C/H)

   8.7     8.5     8.6     10.4     10.2    10.0    10.7    9.9  

Net margin – Operational ((C-E)/H)

   9.1     8.6     8.6     9.1     9.0    9.1    9.8    10.2  

Debt to capital ratio (I/K)

   52.1     52.4     50.4     52.3     55.2    57.3    57.3    57.6  

Net debt to net capital ratio ((I-J)/(K-L))

   50.0     50.4     48.3     49.4     52.3    54.1    53.9    54.7  

Net debt to net capital including off-balance sheet liabilities
((I-J+M)/(K-L+M))

   52.1     52.2     50.2     51.3     54.1    55.8    55.5    56.2  

 

(a) 2006 reflects deconsolidation of Entergy New Orleans, Inc.

Calculations may differ due to rounding.

 

65


Table of Contents

REG G RECONCILIATIONS

UTILITY FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES 2003-2007

 

($ millions)    2007     2006(a)    2005(a)    2004    2003  

As-Reported earnings (A)

   682.7     691.2    659.8    643.4    469.1  

Preferred dividends

   21.7     24.4    22.0    23.3    23.5  

Tax-effected interest expense

   259.8     246.8    224.0    235.9    258.1  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   964.2     962.3    905.8    902.6    750.7  

Utility special items

             

Nuclear alignment

   (13.7 )   —      —      —      —    

ENOI results

   —       4.1    —      —      —    

River Bend loss provision

   —       —      —      —      (65.6 )

SFAS 143 implementation

   —       —      —      —      (21.3 )

Voluntary severance plan

   —       —      —      —      (70.1 )

Total special items (C)

   (13.7 )   4.1    —      —      (157.0 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   977.9     958.2    905.8    902.6    907.7  

Operational earnings (A-C)

   696.4     687.1    659.8    643.4    626.1  

Average invested capital (D)

   13,903     13,254    12,738    12,514    12,796  

Average common equity (E)

   6,440     6,132    5,786    5,539    5,422  

Gross debt (G)

   7,249     6,786    6,990    6,394    6,851  

Less cash and cash equivalents (H)

   801     564    301    586    401  

Net debt (G-H)

   6,448     6,222    6,689    5,808    6,450  

Total capitalization (I)

   14,088     13,266    13,502    12,375    12,653  

Less cash and cash equivalents (J)

   801     564    301    586    401  

Net capitalization (I-J)

   13,287     12,702    13,201    11,789    12,252  

(%)

             

Return on average invested capital – As-Reported (B/D)

   6.9     7.2    7.1    7.2    5.9  

Return on average invested capital – Operational ((B-C)/D)

   7.0     7.2    7.1    7.2    7.1  

Return on average common equity – As-Reported (A/E)

   10.6     11.3    11.4    11.6    8.7  

Return on average common equity – Operational ((A-C)/E)

   10.8     11.2    11.4    11.6    11.5  

Debt to capital ratio (G/I)

   51.5     51.3    51.8    51.7    54.1  

Net debt to net capital ratio ((G-H)/(I-J))

   48.5     49.1    50.7    49.3    52.6  

 

(a) 2006 and 2005 reflect deconsolidation of Entergy New Orleans, Inc.

Calculations may differ due to rounding.

 

66


Table of Contents

REG G RECONCILIATIONS

UTILITY FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES 1Q06-4Q07

 

($ millions)    1Q06(a)     2Q06(a)     3Q06(a)     4Q06(a)     1Q07     2Q07     3Q07     4Q07  

As-Reported earnings (A)

   119.8     199.6     290.0     81.8     104.4     148.2     333.1     97.0  

Less special items (B)

   5.6     10.6     7.3     (19.6 )   —       —       —       (13.7 )

Operational earnings (A-B)

   114.1     188.9     282.7     101.4     104.4     148.2     333.1     110.7  

As-Reported earnings-trailing 12 months (C)

   689.0     676.9     668.1     691.2     675.9     624.4     667.5     682.7  

Preferred dividends

   23.7     25.0     25.4     24.4     23.8     22.2     21.6     21.7  

Tax-effected interest expense

   226.0     232.3     229.2     246.8     259.2     261.6     274.2     259.8  

As-Reported earnings, trailing 12 months including preferred dividends and tax-effected interest expense (D)

   938.7     934.2     922.7     962.3     958.9     908.2     963.3     964.2  

Special items in prior quarters

   (4.7 )   (7.2 )   (2.9 )   23.7     (1.6 )   (12.3 )   (19.6 )   —    

Special items 1Q06 through 4Q07

   5.6     10.7     7.3     (19.6 )   —       —       —       (13.7 )

Total special items (E)

   0.9     3.5     4.4     4.1     (1.6 )   (12.3 )   (19.6 )   (13.7 )

Operational earnings, trailing 12 months including preferred dividends and tax-effected interest expense (D-E)

   937.8     930.7     918.3     958.2     960.5     920.5     982.9     977.9  

Operational earnings, trailing 12 months (C-E)

   688.1     673.4     663.7     687.1     677.5     636.7     687.1     696.4  

Average invested capital (F)

   12,723     12,782     12,946     13,254     13,711     13,869     14,004     13,903  

Average common equity (G)

   5,833     5,906     6,023     6,132     6,334     6,406     6,502     6,440  

Gross debt (H)

   6,749     6,793     6,763     6,786     6,920     7,224     7,347     7,249  

Less cash and cash equivalents (I)

   354     278     276     564     613     926     928     801  

Net debt (H-I)

   6,396     6,514     6,488     6,222     6,307     6,298     6,418     6,448  

Total capitalization (J)

   13,399     13,311     13,356     13,266     13,605     13,999     14,231     14,088  

Less cash and cash equivalents (K)

   354     278     276     564     613     926     928     801  

Net capital (J-K)

   13,046     13,033     13,080     12,702     12,993     13,073     13,303     13,287  

(%)

                

Return on average invested capital – As-Reported (D/F)

   7.4     7.3     7.1     7.2     7.0     6.5     6.9     6.9  

Return on average invested capital – Operational ((D-E)/F)

   7.4     7.3     7.1     7.2     7.0     6.6     7.0     7.0  

Return on average common equity – As-Reported (C/G)

   11.8     11.5     11.1     11.3     10.7     9.7     10.3     10.6  

Return on average common equity – Operational ((C-E)/G)

   11.8     11.4     11.0     11.2     10.7     9.9     10.6     10.8  

Debt to capital ratio (H/J)

   50.4     51.0     50.6     51.3     50.9     51.6     51.6     51.5  

Net debt to net capital ratio ((H-I)/(J-K))

   49.0     50.0     49.6     49.1     48.5     48.2     48.2     48.5  

 

(a) 2006 reflects deconsolidation of Entergy New Orleans, Inc.

Calculations may differ due to rounding.

 

67


Table of Contents

REG G RECONCILIATIONS

ENTERGY ARKANSAS FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

2003-2007

 

($ millions)    2007     2006    2005    2004    2003  

As-Reported earnings (A)

   132.2     165.6    166.9    134.4    118.2  

Preferred dividends

   6.9     7.6    7.8    7.8    7.8  

Tax-effected interest expense

   53.4     50.8    47.1    48.1    51.4  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   192.5     224.0    221.8    190.3    177.4  

Special items

             

Nuclear alignment

   (5.9 )   —      —      —      —    

Voluntary severance plan

   —       —      —      —      (28.4 )

Total special items (C)

   (5.9 )   —      —      —      (28.4 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   198.4     224.0    221.8    190.3    205.8  

Operational earnings (A-C)

   138.1     165.6    166.9    134.4    146.6  

Average invested capital (D)

   2,965     2,967    2,920    2,877    2,883  

Average common equity (E)

   1,409     1,432    1,378    1,303    1,254  

Gross debt (F)

   1,442     1,436    1,400    1,450    1,465  

Less cash and cash equivalents (G)

   0.2     35    9    90    9  

Net debt (F-G)

   1,441     1,401    1,391    1,360    1,456  

Total capitalization (H)

   2,942     2,987    2,946    2,894    2,860  

Less cash and cash equivalents (I)

   0.2     35    9    90    9  

Net capitalization (H-I)

   2,942     2,952    2,937    2,804    2,851  

(%)

             

Return on average invested capital – As-Reported (B/D)

   6.5     7.6    7.6    6.6    6.2  

Return on average invested capital – Operational ((B-C)/D)

   6.7     7.6    7.6    6.6    7.1  

Return on average common equity – As-Reported (A/E)

   9.4     11.6    12.1    10.3    9.4  

Return on average common equity – Operational ((A-C)/E)

   9.8     11.6    12.1    10.3    11.7  

Debt to capital ratio (F/H)

   49.0     48.1    47.5    50.1    51.2  

Net debt to net capital ratio ((F-G)/(H-I))

   49.0     47.5    47.4    48.5    51.1  

ENTERGY GULF STATES FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

2003-2007

 

     ETI     EGSL                           
($ millions)    2007     2007     2006    2005    2004    2003  

As-Reported earnings (A)

   58.9     129.9 (a)   208.0    202.3    187.8    37.9  

Preferred dividends

   —       4.0 (a)   4.0    4.2    4.5    4.7  

Tax-effected interest expense

   51.2     81.8 (a)   88.0    71.2    76.3    88.7  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   110.1     215.7     300.0    277.7    268.6    131.3  

Special items

               

Nuclear alignment

   —       (3.6 )   —      —      —      —    

River Bend loss provision

   —       —       —      —      —      (65.6 )

SFAS 143 implementation

   —       —       —      —      —      (21.3 )

Voluntary severance plan

   —       —       —      —      —      (15.5 )

Total special items (C)

   —       (3.6 )   —      —      —      (102.4 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   110.1     219.3     300.0    277.7    268.6    233.7  

Operational earnings (A-C)

   58.9     133.5     208.0    202.3    187.8    140.3  

Average invested capital (D)

   2,245     3,186     4,699    4,304    4,046    4,190  

Average common equity (E)

   996     1,254 (b)   2,217    2,005    1,740    1,710  

Gross debt (F)

   1,083 (b)   1,690 (b)   2,442    2,426    2,078    2,439  

Less cash and cash equivalents (G)

   297     108     180    25    7    206  

Net debt (F-G)

   786     1,582     2,262    2,401    2,071    2,233  

Total capitalization (H)

   2,087 (b)   2,990 (b)   4,695    4,697    3,911    4,182  

Less cash and cash equivalents (I)

   297     108     180    25    7    206  

Net capitalization (H-I)

   1,790     2,882     4,515    4,672    3,904    3,976  

(%)

               

Return on average invested capital – As-Reported (B/D)

   4.9     6.8     6.4    6.5    6.6    3.1  

Return on average invested capital – Operational ((B-C)/D)

   4.9     6.9     6.4    6.5    6.6    5.6  

Return on average common equity – As-Reported (A/E)

   5.9     10.4     9.4    10.1    10.8    2.2  

Return on average common equity – Operational ((A-C)/E)

   7.0 (b)   10.6     9.4    10.1    10.8    8.2  

Debt to capital ratio (F/H)

   51.9 (b)   56.5 (b)   52.0    51.7    53.1    58.3  

Net debt to net capital ratio ((F-G)/(H-I))

   43.9     54.9     50.1    51.4    53.0    56.2  

 

(a) See page 63 for the Pro Forma EGSL Income Statement.
(b) See page 69 for Pro Forma calculations.

Calculations may differ due to rounding.

 

68


Table of Contents

REG G RECONCILIATIONS

ENTERGY GULF STATES AND ENTERGY TEXAS FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

EGSL PRO FORMA AVERAGE COMMON EQUITY

2007

 

     (D)     (E)     (D-E)  
($ millions)    EGSI 2006
Per 10-K
    Adjustments     EGSL 2006
Pro Forma
 

Shareholders Equity:

      

Preferred membership interests without sinking fund (A)

   47     (1 )   48  

Members’ equity

   2,225     988     1,238  

Accumulated other comprehensive loss

   (20 )   —       (20 )

Total Equity (B)

   2,253     987     1,266  

2006 Pro Forma Total Common Equity (B-A)

       1,218  

2007 Total Common Equity (C)

       1,290  

2007 Average Common Equity ((C)+(B-A))/2

               1,254  

ETI PRO FORMA AVERAGE COMMON EQUITY AND RETURN ON AVERAGE COMMON EQUITY

2007

 

($ millions)    ETI  

As-Reported Earnings (A)

   58.9  

Total Special Items (B)

   —    

Operational Earnings (A-B)

   58.9  

Average Common Equity (C)

   996.1  

Less Equity Infusion from Parent

   150.0  

Adjusted Average Common Equity (D)

   846.1  

ROE – As-Reported (A/C)

   5.9 %

ROE – Operational ((A-B)/D)

   7.0 %

EGSL/ETI PRO FORMA DEBT TO CAPITAL RATIO

2007

 

($ millions)    ETI     EGSL  

Currently maturing long-term debt

   309     675  

Obligations under capital leases – current

   —       29  

Obligations under capital leases – non-current

   —       82  

Long-term debt

   1,104     1,674  

Total debt before adjustments (A)

   1,413     2,460  

Less debt assumption by ETI (EGSL) (B)

   —       770  

Less securitized debt (ETI) (C)

   330     —    

Adjusted total debt (A-B-C)

   1,083     1,690  

Shareholders’ equity (D)

   1,004     1,290  

Preferred membership interests without sinking fund (E)

   —       10  

Adjusted total capital (A-B-C)+(D+E)

   2,087     2,990  

Pro Forma Debt/Capital Ratio (A-B-C)/((A-B-C)+(D+E))

   51.9 %   56.5 %

EGSL PRO FORMA CASH FLOW INTEREST COVERAGE

2007

 

($ thousands)   

(A)

EGSL(a)
Per 2007 10-K

   

(B)

ETI
Per Form 10

   

(A-B)

EGSL
Pro Forma

 

Net Income

   192,779     58,921     133,858  

Adjustments to reconcile net income to net cash flow provided by operating activities:

      

Reserve for regulatory adjustments

   363     (363 )   726  

Other regulatory charges (credits) – net

   29,923     16,808     13,115  

Depreciation, amortization, and decommissioning

   220,376     68,345     152,031  

Deferred income taxes, investment tax credits, and non-current taxes accrued

   98,734     218,873     (120,139 )

Changes in working capital:

      

Receivables

   (261,538 )   (230,481 )   (31,057 )

Fuel inventory

   (18,377 )   (10,939 )   (7,438 )

Accounts payable

   38,685     (1,328 )   40,013  

Taxes accrued

   (27,781 )   4,936     (32,717 )

Interest accrued

   22,963     10,030     12,933  

Deferred fuel costs

   35,363     21,619     13,744  

Other working capital accounts

   197,802     86,598     111,204  

Provision for estimated losses and reserves

   (91,241 )   (568 )   (90,673 )

Changes in other regulatory assets

   116,317     (21,038 )   137,355  

Other

   6,372     (45,422 )   51,794  

Net Cash Flow from Operating Activities

   560,740     175,991     384,749  

EGSL Pro Forma Net Cash Flow from Operating Activities

     (C )   384,749  

Cash Paid During Period for Interest – net of amount capitalized

     (D )   131,280  

Operating Cash Flow before Interest Payments

     (C+D )   516,029  

Interest and Other Charges

     (E )   132,869 (b)

Pro Forma Cash Flow Interest Coverage

         ((C+D )/E)   3.9  

 

(a) Entergy Gulf States Louisiana, L.L.C. (EGSL) is the successor for financial reporting purposes to Entergy Gulf States, Inc. EGSL’s Cash Flow Statement for the year ended 2007 includes the operations of Entergy Texas, Inc.
(b) See page 63 for the Pro Forma Income Statement.

Calculations may differ due to rounding.

 

69


Table of Contents

REG G RECONCILIATIONS

ENTERGY LOUISIANA FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

2003-2007

 

($ millions)    2007     2006    2005    2004    2003  

As-Reported earnings (A)

   136.4     130.7    128.1    127.5    146.1  

Preferred dividends

   7.0     7.0    —      —      —    

Tax-effected interest expense

   48.2     50.5    48.6    42.7    43.9  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   191.5     188.2    176.6    170.2    190.0  

Special items

             

Nuclear alignment

   (2.2 )   —      —      —      —    

Voluntary severance plan

   —       —      —      —      (12.6 )

Total special items (C)

   (2.2 )   —      —      —      (12.6 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   193.7     188.2    176.6    170.2    202.6  

Operational earnings (A-C)

   138.6     130.7    128.1    127.5    158.7  

Average invested capital (D)

   2,697     2,562    2,263    2,020    2,130  

Average members’ equity (E)

   1,386     1,212    1,069    1,027    1,021  

Gross debt (F)

   1,192     1,230    1,271    1,017    968  

Less cash and cash equivalents (G)

   0.3     3    105    146    9  

Net debt (F-G)

   1,192     1,227    1,166    871    959  

Total capitalization (H)

   2,746     2,648    2,476    2,050    1,989  

Less cash and cash equivalents (I)

   0.3     3    105    146    9  

Net capitalization (H-I)

   2,745     2,645    2,371    1,904    1,980  

(%)

             

Return on average invested capital – As-Reported (B/D)

   7.1     7.3    7.8    8.4    8.9  

Return on average invested capital – Operational ((B-C)/D)

   7.2     7.3    7.8    8.4    9.5  

Return on average members’ equity – As-Reported (A/E)

   9.8     10.8    12.0    12.4    14.3  

Return on average members’ equity – Operational ((A-C)/E)

   10.0     10.8    12.0    12.4    15.5  

Debt to capital ratio (F/H)

   43.4     46.4    51.3    49.6    48.6  

Net debt to net capital ratio ((F-G)/(H-I))

   43.4     46.4    49.2    45.8    48.4  

ENTERGY MISSISSIPPI FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

2003-2007

 

($ millions)    2007    2006    2005    2004    2003  

As-Reported earnings (A)

   69.3    49.5    58.8    70.1    63.7  

Preferred dividends

   2.8    2.8    3.3    3.4    3.4  

Tax-effected interest expense

   27.4    29.9    25.3    25.6    26.8  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   99.5    82.2    87.4    99.1    93.9  

Special items

              

Voluntary severance plan

   —      —      —      —      (4.5 )

Total special items (C)

   —      —      —      —      (4.5 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   99.5    82.2    87.4    99.1    98.4  

Operational earnings (A-C)

   69.3    49.5    58.8    70.1    68.2  

Average invested capital (D)

   1,437    1,391    1,301    1,289    1,296  

Average common equity (E)

   637    595    555    526    498  

Gross debt (F)

   704    795    695    695    730  

Less cash and cash equivalents (G)

   41    73    5    80    64  

Net debt (F-G)

   664    722    690    615    666  

Total capitalization (H)

   1,411    1,463    1,319    1,283    1,295  

Less cash and cash equivalents (I)

   41    73    5    80    64  

Net capitalization (H-I)

   1,371    1,390    1,314    1,203    1,231  

(%)

              

Return on average invested capital – As-Reported (B/D)

   6.9    5.9    6.7    7.7    7.2  

Return on average invested capital – Operational ((B-C)/D)

   6.9    5.9    6.7    7.7    7.6  

Return on average common equity – As-Reported (A/E)

   10.9    8.3    10.6    13.3    12.8  

Return on average common equity – Operational ((A-C)/E)

   10.9    8.3    10.6    13.3    13.7  

Debt to capital ratio (F/H)

   49.9    54.3    52.7    54.2    56.4  

Net debt to net capital ratio ((F-G)/(H-I))

   48.4    51.9    52.6    51.1    54.1  

Calculations may differ due to rounding.

 

70


Table of Contents

REG G RECONCILIATIONS

ENTERGY NEW ORLEANS FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

2003-2007

 

($ millions)    2007    2006    2005    2004    2003  

As-Reported earnings (A)

   23.5    4.1    0.8    27.1    6.9  

Preferred dividends

   1.1    1.3    0.5    1.0    1.0  

Tax-effected interest expense

   12.4    10.4    6.7    9.5    9.6  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   37.0    15.8    8.0    37.6    17.5  

Special items

              

Voluntary severance plan

   —      —      —      —      (3.0 )

Total special items (C)

   —      —      —      —      (3.0 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   37.0    15.8    8.0    37.6    20.5  

Operational earnings (A-C)

   23.5    4.1    0.8    27.1    9.9  

Average invested capital (D)

   478    480    454    393    380  

Average common equity (E)

   166    152    152    144    131  

Gross debt (F)

   304    282    335    230    229  

Less cash and cash equivalents (G)

   92    17    48    8    5  

Net debt (F-G)

   212    265    287    222    224  

Total capitalization (H)

   501    456    505    404    382  

Less cash and cash equivalents (I)

   92    17    48    8    5  

Net capitalization (H-I)

   409    438    457    396    377  

(%)

              

Return on average invested capital – As-Reported (B/D)

   7.7    3.3    1.8    9.6    4.6  

Return on average invested capital – Operational ((B-C)/D)

   7.7    3.3    1.8    9.6    5.4  

Return on average common equity – As-Reported (A/E)

   14.2    2.7    0.5    18.9    5.3  

Return on average common equity – Operational ((A-C)/E)

   14.2    2.7    0.5    18.9    7.6  

Debt to capital ratio (F/H)

   60.6    61.9    66.4    56.9    60.1  

Net debt to net capital ratio ((F-G)/(H-I))

   51.8    60.4    62.8    56.0    59.6  

SYSTEM ENERGY RESOURCES FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES 2003-2007

 

($ millions)    2007     2006    2005    2004    2003  

As-Reported earnings (A)

   136.1     140.3    111.6    105.9    106.0  

Preferred dividends

   —       —      —      —      —    

Tax-effected interest expense

   34.5     36.5    36.9    36.0    39.5  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   170.6     176.8    148.5    141.9    145.5  

Special items

             

Nuclear alignment

   (1.9 )   —      —      —      —    

Voluntary severance plan

   —       —      —      —      (6.1 )

Total special items (C)

   (1.9 )   —      —      —      (6.1 )

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   172.5     176.8    148.5    141.9    151.6  

Operational earnings (A-C)

   138.0     140.3    111.6    105.9    112.1  

Average invested capital (D)

   1,740     1,782    1,831    1,832    1,850  

Average common equity (E)

   860     876    894    894    893  

Gross debt (F)

   882     879    934    940    936  

Less cash and cash equivalents (G)

   105     135    76    216    53  

Net debt (F-G)

   777     744    858    724    883  

Total capitalization (H)

   1,744     1,736    1,827    1,835    1,829  

Less cash and cash equivalents (I)

   105     135    76    216    53  

Net capitalization (H-I)

   1,639     1,601    1,751    1,619    1,776  

(%)

             

Return on average invested capital – As-Reported (B/D)

   9.8     9.9    8.1    7.7    7.9  

Return on average invested capital – Operational ((B-C)/D)

   9.9     9.9    8.1    7.7    8.2  

Return on average common equity – As-Reported (A/E)

   15.8     16.0    12.5    11.9    11.9  

Return on average common equity – Operational ((A-C)/E)

   16.0     16.0    12.5    11.9    12.6  

Debt to capital ratio (F/H)

   50.6     50.6    51.1    51.2    51.2  

Net debt to net capital ratio ((F-G)/(H-I))

   47.4     46.4    49.0    44.7    49.7  

Calculations may differ due to rounding.

 

71


Table of Contents

REG G RECONCILIATIONS

ENTERGY NUCLEAR FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

2003-2007

 

($ millions)    2007     2006    2005    2004    2003  

As-Reported earnings (A)

   539.2     309.5    282.6    245.0    300.8  

Preferred dividends

   —       —      —      —      —    

Tax-effected interest expense

   21.4     29.2    31.3    33.0    21.2  

As-Reported earnings including preferred dividends and tax-effected interest expense (B)

   560.6     338.7    313.9    278.0    322.0  

Special items

             

Nuclear alignment

   (18.4 )   —      —      —      —    

SFAS 143 implementation

   —       —      —      —      154.4  

Voluntary severance plan

   —       —      —      —      (51.8 )

Total special items (C)

   (18.4 )   —      —      —      102.6  

Operational earnings including preferred dividends and tax-effected interest expense (B-C)

   579.0     338.7    313.9    278.0    219.4  

Operational earnings (A-C)

   557.6     309.5    282.6    245.0    198.2  

Average invested capital (D)

   3,498     2,893    2,717    2,752    2,526  

Average common equity (E)

   3,092     2,413    2,083    2,000    1,654  

Gross debt (F)

   364     448    512    757    747  

Less cash and cash equivalents (G)

   429     384    212    140    149  

Net debt (F-G)

   (65 )   64    300    617    598  

Total capitalization (H)

   3,837     3,159    2,626    2,808    2,696  

Less cash and cash equivalents (I)

   429     384    212    140    149  

Net capitalization (H-I)

   3,408     2,775    2,414    2,668    2,547  

(%)

             

Return on average invested capital – As-Reported (B/D)

   16.0     11.7    11.6    10.1    12.8  

Return on average invested capital – Operational ((B-C)/D)

   16.6     11.7    11.6    10.1    8.6  

Return on average common equity – As-Reported (A/E)

   17.4     14.0    13.6    12.3    18.2  

Return on average common equity – Operational ((A-C)/E)

   18.0     14.0    13.6    12.3    11.9  

Debt to capital ratio (F/H)

   9.7     14.2    19.5    27.0    27.7  

Net debt to net capital ratio ((F-G)/(H-I))

   (1.9 )   2.3    12.4    23.1    23.5  

Calculations may differ due to rounding.

 

72


Table of Contents

REG G RECONCILIATIONS

ENTERGY NUCLEAR FINANCIAL MEASURES – RECONCILIATION OF GAAP TO NON-GAAP MEASURES

1Q06-4Q07

 

($ millions)    1Q06    2Q06    3Q06    4Q06    1Q07     2Q07    3Q07     4Q07  

For the quarter:

                     

As-Reported earnings (A)

   81.5    63.4    106.9    57.7    128.2     108.7    160.9     141.4  

Less special items (B)

   —      —      —      —      —       —      —       (18.4 )

Operational earnings (A-B)

   81.5    63.4    106.9    57.7    128.2     108.7    160.9     159.8  

As-Reported earnings, trailing 12 months (C)

   286.2    291.3    328.9    309.5    356.2     401.5    455.5     539.2  

Preferred dividends

   —      —      —      —      —       —      —       —    

Tax-effected interest expense

   31.1    29.3    30.8    29.3    26.0     23.8    22.0     21.4  

As-Reported earnings, trailing 12 months including preferred dividends and tax-effected interest expense (D)

   317.3    320.6    359.7    338.8    382.2     425.3    477.5     560.6  

Special items in prior quarters

   —      —      —      —      —       —      —       —    

Special items 1Q06 through 4Q07

   —      —      —      —      —       —      —       (18.4 )

Total special items (E)

   —      —      —      —      —       —      —       (18.4 )

Operational earnings, trailing 12 months including preferred dividends and tax-effected interest expense (D-E)

   317.3    320.6    359.7    338.8    382.2     425.3    477.5     579.0  

Operational earnings, trailing 12 months (C-E)

   286.2    291.3    328.9    309.5    356.2     401.5    455.5     557.6  

Average invested capital (F)

   2,927    2,987    2,972    2,893    3,053     3,319    3,472     3,498  

Average common equity (G)

   2,260    2,313    2,364    2,413    2,625     2,874    3,058     3,092  

Gross debt (H)

   572    581    524    448    364     456    418     364  

Less cash and cash equivalents (I)

   311    382    418    384    433     344    493     429  

Net debt (H-I)

   261    199    106    64    (69 )   112    (75 )   (65 )

Total capitalization (J)

   2,965    3,045    3,146    3,159    3,222     3,740    3,913     3,837  

Less cash and cash equivalents (K)

   311    382    418    384    433     344    493     429  

Net capital (J-K)

   2,655    2,663    2,728    2,775    2,788     3,396    3,420     3,408  

(%)

                     

Return on average invested capital – As-Reported (D/F)

   10.8    10.7    12.1    11.7    12.4     12.5    13.5     16.0  

Return on average invested capital – Operational ((D-E)/F)

   10.8    10.7    12.1    11.7    12.4     12.5    13.5     16.6  

Return on average common equity – As-Reported (C/G)

   14.0    13.9    15.2    14.0    13.6     14.0    14.9     17.4  

Return on average common equity – Operational ((C-E)/G)

   14.0    13.9    15.2    14.0    13.6     14.0    14.9     18.0  

Debt to capital ratio (H/J)

   19.3    19.1    16.7    14.2    11.3     12.2    10.7     9.7  

Net debt to net capital ratio ((H-I)/(J-K))

   9.9    7.5    3.9    2.3    (2.5 )   3.3    (2.2 )   (1.9 )

Calculations may differ due to rounding.

 

73


Table of Contents

INVESTOR INFORMATION

INVESTOR NEWS

Entergy’s quarterly earnings results, webcasts, presentations, and other news and information of investor interest may be obtained by visiting the investor information page on Entergy’s corporate Web site at entergy.com or calling Entergy Shareholder Direct at 1.888.ENTERGY (368.3749).

INVESTOR RELATIONS

Security analysts, portfolio managers, and other members of the financial community may contact:

Michele Lopiccolo

Vice President, Investor Relations

Telephone: 504.576.4879

E–mail: mlopicc@entergy.com

SHAREHOLDER ACCOUNT INFORMATION

Mellon Investor Services, LLC is Entergy’s transfer agent, registrar, dividend disbursing agent, and dividend reinvestment and stock purchase plan agent. Shareholders of record with questions about lost certificates, lost or missing dividend checks or notifications of change of address should contact:

Mellon Investor Services

480 Washington Boulevard

Jersey City, NJ 07310

Telephone: 1.800.333.4368

Internet address: www.bnymellon.com/shareowner/isd

CORPORATE GOVERNANCE

Entergy’s Corporate Governance Guidelines, Board Committee Charters for the Corporate Governance, Audit, and Personnel Committees, and Entergy’s Code of Conduct may be accessed electronically be selecting the investor information page on Entergy’s corporate Web site at entergy.com.

ADDITIONAL INFORMATION

For copies of the above Corporate Governance documents, Entergy’s 10-K and 10-Q reports filed with the Securities and Exchange Commission, or for other investor information, call 1.888.ENTERGY or write to:

Entergy Corporation

Investor Relations

P.O. Box 61000

New Orleans, LA 70161

COMMON STOCK INFORMATION

The company’s common stock is listed on the New York and Chicago exchanges under the symbol “ETR” (CUSIP 29364G10). The Entergy share price is reported daily in the financial press under “Entergy” in most listings of New York Stock Exchange securities. Entergy common stock is a component of the following indices: S&P 500, S&P Utilities Index, Philadelphia Utility Index and the NYSE Composite Index, among others.

In May 2007, Entergy’s Chief Executive Officer certified to the New York Stock Exchange that he was not aware of any violation of the NYSE corporate governance listing standards. Also, Entergy filed certifications regarding the quality of the company’s public disclosure, required by Section 302 of the Sarbanes-Oxley Act of 2002, as exhibits to its Report on Form 10-K for the fiscal year ended December 31, 2007.

At year-end 2007 there were 193,120,240 shares of Entergy common stock outstanding. Shareholders of record totaled 44,568, and approximately 84,000 investors held Entergy stock in “street name” through a broker.

ENTERGY COMMON STOCK PRICES

The high and low trading prices for each quarterly period in 2007 and 2006 were as follows (in dollars):

 

      2007    2006
Quarter    High    Low    High    Low

1

   106.13      89.60    72.97    67.97

2

   120.47    104.00    72.97    66.78

3

   111.95      91.94    80.00    70.80

4

   125.00    108.21    94.03    78.38

DIVIDEND PAYMENTS

The Board of Directors declares dividends quarterly and sets the record and payment dates. Subject to Board discretion, those dates for 2008 are:

 

Declaration Date    Record Date    Payment Date
January 25    February 8       March 3
April 7    May 9       June 2
July 25    August 8       September 2
October 31    November 12       December 1

Quarterly dividend payments (in cents-per-share):

 

Quarter    2008    2007    2006    2005    2004

1

   75    54    54    54    45

2

   75    54    54    54    45

3

      75    54    54    45

4

        75    54    54    54

PREFERRED STOCK DIVIDEND PAYMENTS

The board of directors for each preferred stock issuer declares preferred dividends quarterly and sets the record and payment dates. Subject to their discretion, those dates for 2008 are:

 

Operating Companies    Record Date    Payment Date
Entergy Arkansas, Inc.    3/25/08    4/1/08
   6/9/08    7/1/08
   9/8/08    10/1/08
     12/8/08    1/2/09
Entergy Gulf States Louisiana, L.L.C.    3/3/08    3/17/08
   5/19/08    6/16/08
   8/18/08    9/15/08
     11/17/08    12/15/08
Entergy Louisiana, LLC    3/3/08    3/17/08
   5/19/08    6/16/08
   8/18/08    9/15/08
     11/17/08    12/15/08
Entergy Mississippi, Inc.    2/21/08    2/1/08
   4/14/08    5/1/08
   7/7/08    8/1/08
     10/6/08    11/3/08
Entergy New Orleans, Inc.    3/25/08    4/1/08
   6/9/08    7/1/08
   9/8/08    10/1/08
     12/8/08    1/2/09

 

74


Table of Contents
     LOGO


Table of Contents

LOGO

Entergy Corporation

Post Office Box 61000

New Orleans, LA 70161

entergy.com