-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, D4I/zt8Wd9Y6SNqsZP3mDYr0TSDCXFoiTLEbNL31RVo6zMlSbqxl/QVAVhejbI/Z AoGiIVIVmBozX0+mgW8yyQ== /in/edgar/work/0000919607-00-000442/0000919607-00-000442.txt : 20001115 0000919607-00-000442.hdr.sgml : 20001115 ACCESSION NUMBER: 0000919607-00-000442 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20000930 FILED AS OF DATE: 20001114 FILER: COMPANY DATA: COMPANY CONFORMED NAME: OGLETHORPE POWER CORP CENTRAL INDEX KEY: 0000788816 STANDARD INDUSTRIAL CLASSIFICATION: [4991 ] IRS NUMBER: 581211925 STATE OF INCORPORATION: GA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 033-07591 FILM NUMBER: 766110 BUSINESS ADDRESS: STREET 1: 2100 EAST EXCHANGE PL STREET 2: P O BOX 1349 CITY: TUCKER STATE: GA ZIP: 30085-1349 BUSINESS PHONE: 4042707600 10-Q 1 0001.txt THIRD QUARTER ================================================================================ SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 --------------------------------------- FORM 10-Q (Mark One) [ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2000 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to _____________ Commission File No. 33-7591 Oglethorpe Power Corporation (An Electric Membership Corporation) (Exact name of registrant as specified in its charter) Georgia 58-1211925 (State or other jurisdiction of (I.R.S. employer incorporation or organization) identification no.) Post Office Box 1349 2100 East Exchange Place Tucker, Georgia 30085-1349 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (770) 270-7600 Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No Indicate the number of shares outstanding of each of the registrant's classes of common stock, as of the latest practicable date. The Registrant is a membership corporation and has no authorized or outstanding equity securities. ================================================================================ OGLETHORPE POWER CORPORATION INDEX TO QUARTERLY REPORT ON FORM 10-Q FOR THE QUARTER ENDED SEPTEMBER 30, 2000 Page No. PART I - FINANCIAL INFORMATION Item 1. Financial Statements Condensed Balance Sheets as of September 30, 2000 (Unaudited) and December 31, 1999 3 Condensed Statements of Revenues and Expenses and Comprehensive Margin (Unaudited) for the Three Months and Nine Months ended September 30, 2000 and 1999 5 Condensed Statements of Cash Flows (Unaudited) for the Nine Months Ended September 30, 2000 and 1999 6 Notes to the Condensed Financial Statements 7 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 8 Item 3. Quantitative and Qualitative Disclosures About Market Risk 13 PART II - OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K 14 SIGNATURES 15 2 PART I - FINANCIAL INFORMATION Item 1. Financial Statements Oglethorpe Power Corporation Condensed Balance Sheets September 30, 2000 and December 31, 1999 - --------------------------------------------------------------------------------------------------------- (dollars in thousands) 2000 1999 Assets (Unaudited) ------------------------------------ Electric plant, at original cost: In service $4,876,397 $4,854,037 Less: Accumulated provision for depreciation (1,720,845) (1,625,933) --------------- --------------- 3,155,552 3,228,104 Nuclear fuel, at amortized cost 79,940 84,565 Construction work in progress 50,214 18,299 --------------- --------------- 3,285,706 3,330,968 --------------- --------------- Investments and funds: Decommissioning fund, at market 148,439 135,703 Deposit on Rocky Mountain transactions, at cost 62,626 59,579 Bond, reserve and construction funds, at market 28,713 31,158 Investment in associated organizations, at cost 18,790 17,919 Other, at cost 2,069 2,535 --------------- --------------- 260,637 246,894 --------------- --------------- Current assets: Cash and temporary cash investments, at cost 280,582 222,814 Other short-term investments, at market 79,409 75,482 Receivables 106,437 109,705 Notes receivable 161,248 94,070 Inventories, at average cost 80,795 89,766 Prepayments and other current assets 38,451 19,293 --------------- --------------- 746,922 611,130 --------------- --------------- Deferred charges: Premium and loss on reacquired debt, being amortized 181,033 196,289 Deferred amortization of Scherer leasehold 102,309 101,404 Discontinued projects, being amortized 21,882 28,020 Deferred debt expense, being amortized 16,698 17,070 Other 26,820 32,847 --------------- --------------- 348,742 375,630 --------------- --------------- $4,642,007 $4,564,622 =============== =============== The accompanying notes are an integral part of these condensed financial statements.
3 Oglethorpe Power Corporation Condensed Balance Sheets September 30, 2000 and December 31, 1999 - -------------------------------------------------------------------------------------------------------- (dollars in thousands) 2000 1999 Equity and Liabilities (Unaudited) ----------------------------------- Capitalization: Patronage capital and membership fees (including unrealized loss of ($411) at September 30, 2000 and ($1,609) at December 31, 1999 on available-for-sale securities) $389,710 $370,025 Long-term debt 3,019,151 3,103,590 Obligation under capital leases 269,393 275,224 Obligation under Rocky Mountain transactions 62,626 59,579 -------------- -------------- 3,740,880 3,808,418 -------------- -------------- Current liabilities: Long-term debt and capital leases due within one year 133,130 129,419 Accounts payable 72,593 69,555 Notes payable 201,916 88,479 Accrued interest 56,970 50,201 Accrued and withheld taxes 20,108 26 Other current liabilities 4,294 9,318 -------------- -------------- 489,011 346,998 -------------- -------------- Deferred credits and other liabilities: Gain on sale of plant, being amortized 53,951 55,807 Net benefit of sale of income tax benefits, being amortized 12,014 18,021 Net benefit of Rocky Mountain transactions, being amortized 83,615 86,004 Accumulated deferred income taxes 63,485 63,203 Decommissioning reserve 175,020 164,510 Other 24,031 21,661 -------------- -------------- 412,116 409,206 -------------- -------------- $4,642,007 $4,564,622 ============== ============== The accompanying notes are an integral part of these condensed financial statements.
4 Oglethorpe Power Corporation Condensed Statements of Revenues and Expenses and Comprehensive Margin (Unaudited) For the Three and Nine Months Ended September 30, 2000 and 1999 - ------------------------------------------------------------------------------------------------------------------------------------ (dollars in thousands) Three Months Nine Months 2000 1999 2000 1999 -------------------------- ---------------------------- Operating revenues: Sales to Members $297,777 $370,841 $833,867 $878,424 Sales to non-Members 16,656 22,795 40,475 39,893 ------------- ---------- ---------- ----------- Total operating revenues 314,433 393,636 874,342 918,317 ------------- ---------- ---------- ----------- Operating expenses: Fuel 59,734 57,158 164,444 145,298 Production 48,111 50,376 159,207 153,216 Purchased power 124,170 192,413 280,239 338,148 Depreciation and amortization 33,022 33,728 98,653 101,028 ------------- ---------- ---------- ----------- Total operating expenses 265,037 333,675 702,543 737,690 ------------- ---------- ---------- ----------- Operating margin 49,396 59,961 171,799 180,627 ------------- ---------- ---------- ----------- Other income (expense): Investment income 10,458 6,897 31,021 24,961 Amortization of net benefit of sale of income tax benefits 2,799 2,799 8,396 8,396 Allowance for equity funds used during construction 60 34 88 80 Other 2,173 1,010 4,267 2,808 ------------- ---------- ---------- ----------- Total other income 15,490 10,740 43,772 36,245 ------------- ---------- ---------- ----------- Interest charges: Interest on long-term debt and other obligations 66,476 64,757 198,577 198,744 Allowance for debt funds used during construction (1,267) (297) (1,494) (695) ------------- ---------- ---------- ----------- Net interest charges 65,209 64,460 197,083 198,049 ------------- ---------- ---------- ----------- Net margin (323) 6,241 18,488 18,823 Net change in unrealized gain (loss) on available-for sale securities (649) (85) 1,198 (1,754) ------------- ---------- ---------- ----------- Comprehensive margin ($972) $6,156 $19,686 $17,069 ============= ========== ========== =========== The accompanying notes are an integral part of these condensed financial statements.
5 Oglethorpe Power Corporation Condensed Statements of Cash Flows (Unaudited) For the Nine Months Ended September 30, 2000 and 1999 - ---------------------------------------------------------------------------------------------------------------- (dollars in thousands) 2000 1999 -------------------------------------- Cash flows from operating activities: Net margin $ 18,488 $ 18,823 ------------- ------------- Adjustments to reconcile net margin to net cash provided by operating activities: Depreciation and amortization 138,707 136,505 Allowance for equity funds used during construction (88) (80) Amortization of deferred gains (1,856) (1,856) Amortization of net benefit of sale of income tax benefits (8,396) (8,396) Deferred income taxes 283 - Other 7,217 10,596 Change in net current assets, excluding long-term debt and capital leases due within one year and notes payable: Notes receivable 141 220 Receivables 3,268 (21,419) Inventories 8,971 (14,852) Prepayments and other current assets (19,159) 3,835 Accounts payable 3,038 17,677 Accrued interest 6,769 10,259 Accrued and withheld taxes 20,082 19,219 Other current liabilities (5,025) (8,532) ------------- ------------- Total adjustments 153,952 143,176 ------------- ------------- Net cash provided by operating activities 172,440 161,999 ------------- ------------- Cash flows from investing activities: Property additions (75,967) (44,995) Net proceeds from bond, reserve and construction funds 2,680 1,327 Increase in investment in associated organizations (871) (8) Increase in other short-term investments (2,964) (2,972) Increase in decommissioning fund (8,896) (13,905) ------------- ------------- Net cash used in investing activities (86,018) (60,553) ------------- ------------- Cash flows from financing activities: Long-term debt proceeds, net 3,518 (3,497) Long-term debt payments (81,253) (71,945) Increase in notes payable 113,437 19,265 Increase in notes receivable under interim financing agreement (67,319) (28,460) Other 2,963 2,137 ------------- ------------- Net cash used in financing activities (28,654) (82,500) ------------- ------------- Net increase in cash and temporary cash investments 57,768 18,946 Cash and temporary cash investments at beginning of period 222,814 106,235 ------------- ------------- Cash and temporary cash investments at end of period $280,582 $ 125,181 ============= ============= Cash paid for: Interest (net of amounts capitalized) $166,987 $ 161,459 Income taxes - - The accompanying notes are an integral part of these condensed financial statements.
6 Oglethorpe Power Corporation Notes to Condensed Financial Statements September 30, 2000 and 1999 (A) The condensed financial statements included in this report have been prepared by Oglethorpe Power Corporation (Oglethorpe), without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). In the opinion of management, the information furnished in this report reflects all adjustments (which include only normal recurring adjustments) and estimates necessary to present fairly, in all material respects, the results for the periods ended September 30, 2000 and 1999. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to SEC rules and regulations, although Oglethorpe believes that the disclosures are adequate to make the information presented not misleading. These condensed financial statements should be read in conjunction with the financial statements and the notes thereto included in Oglethorpe's latest Annual Report on Form 10-K, as filed with the SEC. Certain amounts for 1999 have been reclassified to conform with the current period presentation. The results of operations for the three and nine month periods ended September 30, 2000 are not necessarily indicative of results to be expected for the full year. (B) In June 1998, the Financial Accounting Standards Board issued Statement of Financial Accounting Standards (SFAS) No. 133, "Accounting for Derivative Instruments and Hedging Activities." In June 2000, the Financial Accounting Standards Board issued SFAS No. 138, "Accounting for Certain Derivative Instruments and Certain Hedging Activities," an amendment of SFAS No. 133. The new standard, as amended, requires an entity to recognize derivatives as either assets or liabilities in the financial statements, to measure those instruments at fair value and to reflect the changes in fair value of those instruments as either components of comprehensive margin or in net margin, depending on the types of those instruments. In preparation for adoption of this Statement effective January 1, 2001, Oglethorpe has completed an analysis of the information required by SFAS 133. Oglethorpe is currently assessing the impact that adoption of SFAS 133 will have on results of operations and financial condition. Oglethorpe will continue to evaluate all current and possible future use of derivatives, including their effectiveness for hedging, and to apply appropriate procedures and methods for valuing them. 7 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations Results of Operations For the Three Months and Nine Months Ended September 30, 2000 and 1999 - ---------------------------------------------------------------------- Net Margin and Comprehensive Margin Oglethorpe's net margins (loss) for the three-month and nine-month periods ended September 30, 2000 were ($323,000) and $18.5 million, respectively, compared to $6.2 million and $18.8 million for the same periods of 1999. As a result of lower than budgeted fixed O&M expenses for the nine-month period of 2000, Oglethorpe's Board of Directors approved a $10.5 million reduction to revenue requirements. This was recorded as a $10.5 million reduction in Sales to Members for the third quarter of 2000 which resulted in a lower net margin for the third quarter of 2000. Year-to-date net margin, after this adjustment, is on target to meet the margin requirement under Oglethorpe's Indenture. Comprehensive margin for Oglethorpe is net margin adjusted for the net change in unrealized gains and losses on investments in available-for-sale securities. Operating Revenues Revenues from sales to Oglethorpe's 39 retail electric distribution cooperative members (the Members) for the three months and nine months ended September 30, 2000 were 19.7% and 5.1% lower than the same periods of 1999. Megawatt-hour (MWh) sales to Members were 1.8% and 7.0% higher in the current three-month and nine-month periods compared to the same periods of 1999. The increase in MWh sales to Members in 2000 compared to 1999 was primarily due to continued sales growth in the Members' service territories. The average revenue per MWh from sales to Members was 21.2% and 11.3% less for the current periods compared to the same periods of 1999. The components of Member revenues for the three months and nine months ended September 30, 2000 and 1999 were as follows: Three Months Nine Months Ended September 30, Ended September 30, 2000 1999 2000 1999 ---- ---- ---- ---- (dollars in thousands) Capacity revenues $151,433 $155,287 $464,361 $465,710 Energy revenues 146,344 215,554 369,506 412,714 -------- -------- -------- -------- Total $297,777 $370,841 $833,867 $878,424 ======== ======== ======== ======== While capacity revenues from Members for the three months and nine months ended September 30, 2000 compared to 1999 decreased slightly, energy revenues were 8 32.1% and 10.5% lower for the current periods compared to the same periods of 1999. The decrease in energy revenues in 2000 was primarily due to the pass-through of lower purchased power energy costs (see "Operating Expenses" below). Oglethorpe's average energy revenue per MWh from sales to Members was 33.3% and 16.3% less in the current three-month and nine-month periods of 2000 compared to the same periods of 1999. Sales to non-Members were primarily from energy sales to other utilities and power marketers. The following table summarizes the amounts of non-Member revenues from these sources for the three months and nine months ended September 30, 2000 and 1999: Three Months Nine Months Ended September 30, Ended September 30, 2000 1999 2000 1999 ---- ---- ---- ---- (dollars in thousands) Sales to other utilities $16,333 $21,884 $36,677 $34,588 Sales to power marketers 323 911 3,798 5,305 ------- ------- ------- ------- Total $16,656 $22,795 $40,475 $39,893 ======= ======= ======= ======= Sales to other utilities represent sales made directly by Oglethorpe. Oglethorpe sells for its own account any energy available from the portion of its resources dedicated to Morgan Stanley Capital Group Inc. (Morgan Stanley) that is not scheduled by Morgan Stanley pursuant to its power marketer arrangement. Under the LG&E Energy Marketing Inc. (LEM) and Morgan Stanley power marketer arrangements, sales to the power marketers represent the net energy transmitted on behalf of LEM and Morgan Stanley off-system on a daily basis from Oglethorpe's total resources. Oglethorpe sold this energy to LEM at Oglethorpe's cost, subject to certain limitations, and to Morgan Stanley at a contractually fixed price. The volume of sales to power marketers depends primarily on the power marketers' decisions for servicing their load requirements. Operating Expenses Operating expenses for the three months and nine months ended September 30, 2000 were 20.6% and 4.8% lower compared to the same periods of 1999. The decreases were primarily due to lower purchased power costs for the current three-month period compared to the same period of 1999 and offset somewhat due to higher fuel costs for the current nine-month period compared to the same period of 1999. Purchased power costs decreased 35.5% and 17.1% for the three months and nine months ended September 30, 2000 compared to the same periods of 1999. This was due to a decrease of 49.0% and 35.3% in the average cost per MWh of total purchased power in 2000 compared to the comparable 9 periods of 1999. Purchased MWhs increased 26.6% and 28.0% in 2000 compared to the same periods of 1999. Purchased power costs were as follows: Three Months Nine Months Ended September 30, Ended September 30, 2000 1999 2000 1999 ---- ---- ---- ---- (dollars in thousands) Capacity costs $32,451 $22,858 $78,508 $75,207 Energy costs 91,719 169,555 201,731 262,941 -------- -------- -------- -------- Total $124,170 $192,413 $280,239 $338,148 ======== ======== ======== ======== Purchased power capacity costs for the three months and nine months ended September 30, 2000 were 42.0% and 4.4% higher than the same periods of 1999. The higher capacity costs were primarily a result of capacity charges incurred for new power purchase agreements, including an agreement with Doyle I, LLC. Purchased power energy costs for the three-month and nine-month periods of 2000 were 45.9% and 23.3% lower compared to the same periods of 1999. These decreases resulted from a combination of lower prices in the wholesale electricity markets and from purchases made under new power purchase agreements during the current quarter. This resulted in a 57.3% and 40.1% decrease in the average cost of purchased power energy per MWh for the three-month and nine-month periods of 2000 compared to 1999. Fuel costs increased 13.2% for the current nine-month period compared to the same period of 1999 primarily as a result of an increase of 9.8% in MWhs of generation. For the current nine-month period, nuclear generation was 6.8% higher and fossil generation was 11.9% higher as compared to the same period of 1999. The larger portion of fossil generation with its higher average fuel cost compared to nuclear fuel yielded a 3.0% increase in average fuel cost. Other Income Investment income was higher in the three-month and nine-month periods of 2000 compared to the same periods of 1999 partly due to higher cash and temporary cash investment balances and higher interest earnings on those investments, partly due to higher earnings from the decommissioning fund and partly due to interest earnings on the notes receivable from Smarr EMC relating to the Sewell Creek Energy Facility. See "Financial Condition" for a further discussion of the Sewell Creek Energy Facility. 10 Financial Condition Capital Requirements and Sources of Capital - ------------------------------------------- As previously reported, the Members' power requirements have exceeded existing resources and are expected to continue to exceed existing resources over the next several years. Under their Wholesale Power Contracts with Oglethorpe, the Members may choose to satisfy all or a portion of their future requirements from sources other than Oglethorpe, including Member-owned generation. Some of these requirements are now being met by combustion turbine facilities owned by Smarr EMC, a cooperative owned by 37 of Oglethorpe's 39 Members. Smarr EMC's 217 MW Smarr Energy Facility began operating in June 1999. Three of the four units of Smarr EMC's 492 MW Sewell Creek Energy Facility (Sewell Creek) were declared in commercial operation in June and July 2000, and the fourth unit was declared in commercial operation in September 2000. Oglethorpe provided the interim financing for Sewell Creek, and as of September 30, 2000, $154.9 million of commercial paper was outstanding for this purpose. In late September, Smarr EMC closed on a permanent financing for Sewell Creek on a non-recourse basis to Oglethorpe, and in early October Smarr EMC reimbursed Oglethorpe $154.5 million representing project costs incurred for Sewell Creek construction through July 31, 2000. Oglethorpe in turn used the funds to retire $154.5 million of outstanding commercial paper. See "THE MEMBERS--Smarr EMC" and "MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS--Financial Condition--Liquidity and Sources of Capital" in Items 1 and 7 of Oglethorpe's 1999 Annual Report on Form 10-K for a further discussion of Smarr EMC. As previously reported, Oglethorpe has entered into agreements to construct six new combustion turbine units totaling 660 MW of capacity and has an option to construct a 520 MW combined cycle facility. Four of the combustion turbines are targeted for completion in 2002, with the other two to be completed in 2003. The combined cycle facility is targeted for completion in 2003. Oglethorpe estimates capital expenditures for these facilities, excluding interest during construction, will be approximately $88 million in 2000, $277 million in 2001, $129 million in 2002 and $22 million in 2003. The Members are considering participation in these facilities, through a subsidiary of Oglethorpe or Smarr EMC or a similar entity. Oglethorpe is currently providing the interim financing for these facilities and expects to arrange for construction and permanent financing either from the Rural Utilities Service or another lender. See "OGLETHORPE POWER CORPORATION--Relationship with RUS" in Item 1 of Oglethorpe's 1999 Annual Report on Form 10-K. Oglethorpe has also made an option payment on equipment for a possible combined cycle project to be completed in 2004. As of September 30, 2000, Oglethorpe had $47.6 million of commercial paper outstanding relating to the interim financing of these future facilities. General - ------- Total assets and total equity plus liabilities as of September 30, 2000 were $4.6 billion, which was $77.3 million greater than the total at December 31, 1999. The increase was due primarily to additions to plant, an increase in cash and temporary cash investments, and an increase in the notes receivable for construction of the Sewell Creek Energy Facility, offset somewhat by depreciation of plant. 11 Assets Property additions for the nine months ended September 30, 2000 totaled $76.0 million. These additions primarily consisted of costs related to the six combustion turbine units discussed above, purchases of nuclear fuel and additions, replacements and improvements to existing generation facilities. The $31.9 million increase in construction work in progress was due primarily to the construction of the six combustion turbine units. The increase in cash and temporary cash investments was the result of cash provided by operations exceeding cash used in financing and investing activities, including property additions noted above and debt principal repayments. The increase in notes receivable resulted primarily from use of funds for interim financing activities related to the construction of the Sewell Creek Energy Facility. Prepayments and other current assets increased primarily due to $17.9 million in option payments related to the two proposed combined cycle facilities, and estimated prepayments for Hatch Unit 1 O&M costs for October 2000 being $5.5 million higher compared to the estimate for January 2000. The decrease in other deferred charges is primarily due to the 1999 refueling outage costs for Hatch Unit No. 1 being significantly higher than the refueling outage costs incurred to date in 2000. Such costs are amortized to expense over the 18-month operating cycle of the unit. Equity and Liabilities Notes payable represents commercial paper issued by Oglethorpe as interim financing for costs incurred in the construction of Sewell Creek and the future facilities discussed above. (See "Capital Requirements and Sources of Capital" for a discussion of the reimbursement by Smarr EMC of the costs relating to Sewell Creek construction.) The increase in accrued interest primarily resulted from the accrual of interest expense associated with the Scherer lease. There was no comparable interest accrual at December 31, 1999 as the Scherer interest payment was made in December 1999. Accrued and withheld taxes increased as a result of the normal monthly accruals for property taxes, which are generally paid in the fourth quarter of the year. The decrease in other current liabilities primarily resulted from year-end accruals for professional and legal services. Other deferred credits and liabilities increased principally due to the accrual of other post employment benefits, which are pass-through expenses from Georgia Power Company. 12 Forward-Looking Statements and Associated Risks This Quarterly Report on Form 10-Q contains forward-looking statements, including statements regarding, among other items, (i) anticipated trends in Oglethorpe's business and (ii) Oglethorpe's future capital requirements and sources of capital. These forward-looking statements are based largely on Oglethorpe's current expectations and are subject to a number of risks and uncertainties, certain of which are beyond Oglethorpe's control. For certain factors that could cause actual results to differ materially from those anticipated by these forward-looking statements, see "CERTAIN FACTORS AFFECTING THE ELECTRIC UTILITY INDUSTRY" and "MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS--Miscellaneous--Competition" in Items 1 and 7 of Oglethorpe's 1999 Annual Report on Form 10-K. In light of these risks and uncertainties, there can be no assurance that events anticipated by the forward-looking statements contained in this Quarterly Report will in fact transpire. Item 3. Quantitative and Qualitative Disclosures About Market Risk Changes in Risk Exposure Oglethorpe's market risks have not changed materially from the market risks reported in Oglethorpe's 1999 Annual Report on Form 10-K. For information regarding Oglethorpe's risk management policies, see Item 7A of Oglethorpe's Annual Report on Form 10-K and Item 3 of Oglethorpe's Quarterly Report on Form 10-Q for the quarter ended June 30, 2000. 13 PART II - OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K (a) Exhibits Number Description 27.1 Financial Data Schedule (for SEC use only). (b) Reports on Form 8-K No reports on Form 8-K were filed by Oglethorpe for the quarter ended September 30, 2000. 14 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Oglethorpe Power Corporation (An Electric Membership Corporation) Date: November 14, 2000 By: /s/ Thomas A. Smith ------------------------------------- Thomas A. Smith President and Chief Executive Officer (Principal Executive Officer) Date: November 14, 2000 /s/ Mac F. Oglesby ------------------------------------ Mac F. Oglesby Treasurer (Principal Financial Officer) Date: November 14, 2000 /s/ W. Clayton Robbins ------------------------------------ W. Clayton Robbins Senior Vice President, Finance and Administration (Principal Financial Officer) Date: November 14, 2000 /s/ Willie B. Collins ------------------------------------ Willie B. Collins Controller and Chief Risk Officer (Chief Accounting Officer) 15 EX-27.1 2 0002.txt FINANCIAL DATA SCHEDULE
UT This schedule contains summary financial information extracted from Oglethorpe Power Corporation's condensed balance sheet as of September 30, 2000 and related condensed statements of revenues and expenses and cash flows for the period ended September 30, 2000 and is qualified in its entirety by reference to such financial statements. 1,000 US 9-MOS DEC-31-2000 JAN-01-2000 SEP-30-2000 1 PER-BOOK 3,285,706 260,637 746,922 348,742 0 4,642,007 0 0 389,710 0 0 0 3,019,151 0 0 201,916 124,219 0 269,393 8,911 628,707 4,642,007 874,342 0 702,543 702,543 171,799 43,772 215,571 197,083 18,488 0 0 0 39,750 172,440 0 0 $389,710 represents total retained patronage capital. The registrant is a membership corporation and has no authorized or outstanding equity securities.
-----END PRIVACY-ENHANCED MESSAGE-----