-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, Ba/AlAxSxrgxi0XTvnuMJR3wZqYklNambj1Uxfp41u6glS+4Yjt0M4RYshfGohQs imQb8yaMiNm6bfTnKBfk5A== 0000100858-95-000004.txt : 19950516 0000100858-95-000004.hdr.sgml : 19950516 ACCESSION NUMBER: 0000100858-95-000004 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19950331 FILED AS OF DATE: 19950515 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: PSI ENERGY INC CENTRAL INDEX KEY: 0000081020 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC SERVICES [4911] IRS NUMBER: 350594457 STATE OF INCORPORATION: IN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-03543 FILM NUMBER: 95538454 BUSINESS ADDRESS: STREET 1: 1000 E MAIN ST CITY: PLAINFIELD STATE: IN ZIP: 46168 BUSINESS PHONE: 3178399611 FORMER COMPANY: FORMER CONFORMED NAME: PUBLIC SERVICE CO OF INDIANA INC DATE OF NAME CHANGE: 19900509 10-Q 1 PSI 10-Q FOR 03/31/95 UNITED STATES 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 March 31, 1995 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 Number 1-3543 PSI ENERGY, INC. (Exact name of registrant as specified in its charter) INDIANA 35-0594457 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 1000 East Main Street Plainfield, Indiana 46168 (Address of principal executive offices) Registrant`s telephone number: (317) 839-9611 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 As of April 30, 1995, 53,913,701 shares of Common Stock, without par value, stated value $.01 per share, were outstanding, all of which were held by CINergy Corp. PSI ENERGY, INC. TABLE OF CONTENTS Item Number PART I. FINANCIAL INFORMATION 1 Consolidated Financial Statements Consolidated Balance Sheets Consolidated Statements of Income Consolidated Statements of Changes in Common Stock Equity Consolidated Statements of Cash Flows Notes to Consolidated Financial Statements 2 Management`s Discussion and Analysis of Financial Condition and Results of Operations PART II. OTHER INFORMATION 1 Legal Proceedings 4 Submission of Matters to a Vote of Security Holders 6 Exhibits and Reports on Form 8-K Signatures
PSI ENERGY, INC. CONSOLIDATED BALANCE SHEETS ASSETS March 31 December 31 1995 1994 (unaudited) (dollars in thousands) Electric Utility Plant - original cost In service. . . . . . . . . . . . . . . . . $3 826 970 $3 789 785 Accumulated depreciation. . . . . . . . . . 1 576 497 1 550 297 2 250 473 2 239 488 Construction work in progress . . . . . . . 159 823 163 761 Total electric utility plant. . . . . . 2 410 296 2 403 249 Current Assets Cash and temporary cash investments . . . . 10 801 6 341 Restricted deposits . . . . . . . . . . . . 5 445 11 190 Accounts receivable less accumulated provision of $602,000 at March 31, 1995 and $440,000 at December 31, 1994 for doubtful accounts . . . . . . . . . . . . 33 834 36 061 Materials, supplies, and fuel - at average cost Fuel. . . . . . . . . . . . . . . . . . 114 861 113 861 Other materials and supplies. . . . . . 30 607 29 363 Prepayments and other . . . . . . . . . . . 4 010 4 758 199 558 201 574 Other Assets Regulatory assets Post-in-service carrying costs and deferred depreciation . . . . . . . . . 35 504 30 142 Deferred demand-side management costs . . 100 935 94 125 Amounts due from customers - income taxes . . . . . . . . . . . . . . . . . 26 935 27 134 Deferred merger costs . . . . . . . . . . 36 220 37 645 Unamortized costs of reacquiring debt . . 36 367 36 998 Other . . . . . . . . . . . . . . . . . . 32 288 30 030 Other . . . . . . . . . . . . . . . . . . . 87 305 84 027 355 554 340 101 $2 965 408 $2 944 924 The accompanying notes are an integral part of these consolidated financial statements.
PSI ENERGY, INC. CAPITALIZATION AND LIABILITIES March 31 December 31 1995 1994 (unaudited) (dollars in thousands) Common Stock Equity Common stock - without par value; $.01 stated value; authorized shares - 60,000,000; outstanding shares - 53,913,701 at March 31, 1995 and December 31, 1994 . . . . . . . . . . . . . . $ 539 $ 539 Paid-in capital . . . . . . . . . . . . . . . . 389 309 389 309 Accumulated earnings subsequent to November 30, 1986, quasi-reorganization . . . 523 275 493 103 Total common stock equity . . . . . . . . . 913 123 882 951 Cumulative Preferred Stock - Not Subject to Mandatory Redemption . . . . . . . . . . . . 187 929 187 929 Long-term Debt. . . . . . . . . . . . . . . . . . 877 557 877 512 Total capitalization. . . . . . . . . . . . 1 978 609 1 948 392 Current Liabilities Long-term debt due within one year. . . . . . . 60 400 60 400 Notes payable . . . . . . . . . . . . . . . . . 208 101 193 573 Accounts payable. . . . . . . . . . . . . . . . 99 662 142 775 Refund due to customers . . . . . . . . . . . . 15 601 15 482 Litigation settlement . . . . . . . . . . . . . 80 000 80 000 Accrued taxes . . . . . . . . . . . . . . . . . 54 910 30 784 Accrued interest. . . . . . . . . . . . . . . . 12 289 25 685 Other . . . . . . . . . . . . . . . . . . . . . 3 163 3 202 534 126 551 901 Other Liabilities Deferred income taxes . . . . . . . . . . . . . 330 826 324 738 Unamortized investment tax credits . . . . . . 59 412 60 461 Accrued pension and other postretirement benefit costs . . . . . . . . . . . . . . . . 36 680 31 324 Other . . . . . . . . . . . . . . . . . . . . . 25 755 28 108 452 673 444 631 $2 965 408 $2 944 924
PSI ENERGY, INC. CONSOLIDATED STATEMENTS OF INCOME (unaudited) Quarter Ended Twelve Months Ended March 31 March 31 1995 1994 1995 1994 (in thousands) Operating Revenues . . . . . . . . . . . . . . . . . . . . $294 090 $301 267 $1 119 327 $1 093 788 Operating Expenses Fuel . . . . . . . . . . . . . . . . . . . . . . . . . . 96 878 107 537 389 856 388 845 Purchased and exchanged power. . . . . . . . . . . . . . 11 699 14 660 38 439 36 214 Other operation. . . . . . . . . . . . . . . . . . . . . 47 815 46 496 214 441 187 361 Maintenance. . . . . . . . . . . . . . . . . . . . . . . 20 789 20 060 94 878 84 027 Depreciation . . . . . . . . . . . . . . . . . . . . . . 33 919 33 432 138 206 129 973 Post-in-service deferred depreciation. . . . . . . . . . (2 827) (2 280) (9 835) (6 962) Income taxes . . . . . . . . . . . . . . . . . . . . . . 19 173 20 354 49 185 64 840 Taxes other than income taxes. . . . . . . . . . . . . . 13 292 12 782 46 845 46 797 240 738 253 041 962 015 931 095 Operating Income . . . . . . . . . . . . . . . . . . . . . 53 352 48 226 157 312 162 693 Other Income and Expenses - Net Allowance for equity funds used during construction. . . 358 3 072 1 516 12 153 Post-in-service carrying costs . . . . . . . . . . . . . 2 568 2 201 10 147 7 444 Income taxes . . . . . . . . . . . . . . . . . . . . . . (303) 187 (1 802) (4 825) Other - net. . . . . . . . . . . . . . . . . . . . . . . (1 912) (2 767) (7 038) 10 862 711 2 693 2 823 25 634 Income Before Interest . . . . . . . . . . . . . . . . . . 54 063 50 919 160 135 188 327 Interest Interest on long-term debt . . . . . . . . . . . . . . . 17 950 16 524 70 288 68 695 Other interest . . . . . . . . . . . . . . . . . . . . . 3 977 2 096 17 173 4 857 Allowance for borrowed funds used during construction. . (1 331) (2 534) (8 152) (9 578) 20 596 16 086 79 309 63 974 Net Income . . . . . . . . . . . . . . . . . . . . . . . . 33 467 34 833 80 826 124 353 Preferred Dividend Requirement . . . . . . . . . . . . . . 3 295 3 296 13 181 13 820 Income Applicable To Common Stock. . . . . . . . . . . . . $ 30 172 $ 31 537 $ 67 645 $ 110 533 The accompanying notes are an integral part of these consolidated financial statements.
PSI ENERGY, INC. CONSOLIDATED STATEMENTS OF CHANGES IN COMMON STOCK EQUITY (unaudited) Common Paid-in Accumulated Total Common Stock Capital Earnings Stock Equity (in thousands) Quarter Ended March 31, 1995 Balance January 1, 1995. . . . . . . . . . $539 $389 309 $493 103 $882 951 Net income . . . . . . . . . . . . . . . . 33 467 33 467 Dividends on preferred stock . . . . . . . (3 295) (3 295) Balance March 31, 1995 . . . . . . . . . . $539 $389 309 $523 275 $913 123 Quarter Ended March 31, 1994 Balance January 1, 1994. . . . . . . . . . $539 $229 288 $483 242 $713 069 Net income . . . . . . . . . . . . . . . . 34 833 34 833 Dividends on preferred stock . . . . . . . (3 296) (3 296) Dividends on common stock. . . . . . . . . (15 970) (15 970) Other. . . . . . . . . . . . . . . . . . . (6) (6) Balance March 31, 1994 . . . . . . . . . . $539 $229 282 $498 809 $728 630 Twelve Months Ended March 31, 1995 Balance April 1, 1994. . . . . . . . . . . $539 $229 282 $498 809 $728 630 Net income . . . . . . . . . . . . . . . . 80 826 80 826 Dividends on preferred stock . . . . . . . (13 181) (13 181) Dividends on common stock. . . . . . . . . (43 172) (43 172) Contribution from parent company . . . . . 159 999 159 999 Other. . . . . . . . . . . . . . . . . . . 28 (7) 21 Balance March 31, 1995 . . . . . . . . . . $539 $389 309 $523 275 $913 123 Twelve Months Ended March 31, 1994 Balance April 1, 1993. . . . . . . . . . . $539 $221 063 $451 393 $672 995 Net income . . . . . . . . . . . . . . . . 124 353 124 353 Dividends on preferred stock . . . . . . . (13 902) (13 902) Dividends on common stock. . . . . . . . . (63 111) (63 111) Contribution from parent company . . . . . 10 106 10 106 Other. . . . . . . . . . . . . . . . . . . (1 887) 76 (1 811) Balance March 31, 1994 . . . . . . . . . . $539 $229 282 $498 809 $728 630 The accompanying notes are an integral part of these consolidated financial statements.
PSI ENERGY, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) Quarter Ended Twelve Months Ended March 31 March 31 1995 1994 1995 1994 (in thousands) OPERATING ACTIVITIES Net income. . . . . . . . . . . . . . . . . . . . . $ 33 467 $ 34 833 $ 80 826 $ 124 353 Items providing (using) cash currently: Depreciation. . . . . . . . . . . . . . . . . . . 33 919 33 432 138 206 129 973 Deferred income taxes and investment tax credits - net . . . . . . . . . . . . . . . . . 5 510 7 943 21 694 76 383 Allowance for equity funds used during construction. . . . . . . . . . . . . . . . . . (358) (3 072) (1 516) (12 153) Regulatory assets Post-in-service cost deferrals. . . . . . . . . (5 362) (4 481) (19 949) (14 405) Deferred merger costs . . . . . . . . . . . . . 1 425 (5 144) (15 651) (13 891) Other . . . . . . . . . . . . . . . . . . . . . (17) (883) 5 237 (5 278) Changes in current assets and current liabilities Restricted deposits . . . . . . . . . . . . . 16 (69) 10 109 (70) Accounts receivable . . . . . . . . . . . . . 2 227 (14 126) 8 949 (4 074) Income tax refunds. . . . . . . . . . . . . . - 19 600 9 300 (9 300) Materials, supplies, and fuel . . . . . . . . (2 244) (23 145) (45 796) 12 955 Accounts payable. . . . . . . . . . . . . . . (43 113) (32 219) (12 212) 21 239 Refund due to customers . . . . . . . . . . . 119 (34 484) (31 747) (91 786) Advance under accounts receivable purchase agreement. . . . . . . . . . . . . - (49 940) - - Accrued taxes and interest. . . . . . . . . . 10 730 12 039 (4 237) (6 124) Other items - net . . . . . . . . . . . . . . . . 531 (7 440) 1 919 (11 867) Net cash provided by (used in) operating activities. . . . . . . . . . . . 36 850 (67 156) 145 132 195 955 FINANCING ACTIVITIES Issuance of preferred stock . . . . . . . . . . . . - - - 59 475 Issuance of long-term debt. . . . . . . . . . . . . - 49 068 59 910 212 084 Funds on deposit from issuance of long-term debt. . . . . . . . . . . . . . . . . . . . . . . 5 729 9 177 24 449 38 207 Retirement of preferred stock . . . . . . . . . . . - (4) (22) (60 111) Redemption of long-term debt. . . . . . . . . . . . (55) - (215) (207 880) Change in short-term debt . . . . . . . . . . . . . 14 528 86 555 (5 155) 198 256 Dividends on preferred stock. . . . . . . . . . . . (3 295) (3 296) (13 181) (13 902) Dividends on common stock . . . . . . . . . . . . . - (15 970) (43 172) (63 111) Contribution from parent company. . . . . . . . . . - - 159 999 10 106 Net cash provided by (used in) financing activities. . . . . . . . . . . . 16 907 125 530 182 613 173 124 INVESTING ACTIVITIES Construction expenditures (less allowance for equity funds used during construction). . . . . . (42 487) (54 040) (278 178) (330 018) Deferred demand-side management costs . . . . . . . (6 810) (6 419) (41 263) (32 831) Equity investment in Argentine utility. . . . . . . - - - (10 106) Net cash provided by (used in) investing activities. . . . . . . . . . . . (49 297) (60 459) (319 441) (372 955) Net increase (decrease) in cash and temporary cash investments. . . . . . . . . . . . . 4 460 (2 085) 8 304 (3 876) Cash and temporary cash investments at beginning of period . . . . . . . . . . . . . . . . 6 341 4 582 2 497 6 373 Cash and temporary cash investments at end of period . . . . . . . . . . . . . . . . . . . $ 10 801 $ 2 497 $ 10 801 $ 2 497 The accompanying notes are an integral part of these consolidated financial statements.
PSI ENERGY, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. These Consolidated Financial Statements reflect all adjustments (which include only normal, recurring adjustments) necessary in the opinion of PSI Energy, Inc. (Energy), a subsidiary of CINergy Corp., for a fair presentation of the interim results. These statements should be read in conjunction with Energy`s 1994 Annual Report on Form 10-K (Commission File Number 1-3543). Certain amounts in the 1994 Consolidated Financial Statements have been reclassified to conform to the 1995 presentation. 2. Coal tar residues and other substances associated with manufactured gas plant (MGP) sites have been found at former MGP sites in Indiana, including, but not limited to, several sites previously owned by Energy. Energy has identified at least 21 MGP sites which it previously owned, including 19 it sold in 1945 to Indiana Gas and Water Company, Inc. (now Indiana Gas Company [IGC]). IGC has informed Energy of the basis for its position that Energy, as a Potentially Responsible Party (PRP) under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), should contribute to IGC`s response costs related to investigating and remediating contamination at MGP sites which Energy sold to IGC. In February 1995, Energy received notification from Northern Indiana Public Service Company (NIPSCO) alleging Energy is a PRP under the CERCLA with respect to contamination associated with MGP sites previously owned and/or operated by both Energy and NIPSCO (or their predecessors). The notification included seven sites, five of which Energy acquired from NIPSCO and subsequently sold to IGC. On May 3, 1995, the Indiana Utility Regulatory Commission denied IGC`s request for recovery of costs incurred in complying with Federal, state, and local environmental regulations related to MGP sites in which IGC has an interest, including sites acquired from Energy. IGC has announced it will appeal this decision, which IGC contends is contrary to decisions made by other state utility commissions with respect to this issue. In light of this decision, Energy is evaluating its options with respect to rate recovery of any MGP site-related costs it may incur. At this time, Energy is unable to predict the nature, extent, and costs of, or Energy`s responsibility for, any future environmental investigations and remediations which may be required at MGP sites owned or previously owned by Energy; however, any costs that ultimately are incurred may be material. PSI ENERGY, INC. MANAGEMENT`S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS FINANCIAL CONDITION Regulatory Matters On March 29, 1995, the Federal Energy Regulatory Commission (FERC) issued a Notice of Proposed Rulemaking (MEGA-NOPR) on Open Access, which is another step in the transition towards potentially full-scale competition in the electric utility industry. The MEGA-NOPR is essentially the electric industry`s equivalent of the FERC`s Order 636 applicable to the natural gas industry. The MEGA-NOPR as proposed would, among other things, provide for mandatory filing of open access/comparability transmission tariffs, provide for functional unbundling of all services, require utilities to use the tariffs for their own bulk power transactions, establish an electronic bulletin board, and establish a contract-based approach to stranded costs. A final order could be issued by the end of 1995. CINergy Corp., PSI Energy, Inc.`s (Energy or Company) parent company, is currently evaluating its position with respect to the provisions of the MEGA-NOPR and the potential effects upon the Company if ultimately adopted. Manufactured Gas Plants Coal tar residues and other substances associated with manufactured gas plant (MGP) sites have been found at former MGP sites in Indiana, including, but not limited to, several sites previously owned by Energy. Energy has identified at least 21 MGP sites which it previously owned, including 19 it sold in 1945 to Indiana Gas and Water Company, Inc. (now Indiana Gas Company [IGC]). IGC has informed Energy of the basis for its position that Energy, as a Potentially Responsible Party (PRP) under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), should contribute to IGC`s response costs related to investigating and remediating contamination at MGP sites which Energy sold to IGC. In February 1995, Energy received notification from Northern Indiana Public Service Company (NIPSCO) alleging Energy is a PRP under the CERCLA with respect to contamination associated with MGP sites previously owned and/or operated by both Energy and NIPSCO (or their predecessors). The notification included seven sites, five of which Energy acquired from NIPSCO and subsequently sold to IGC. On May 3, 1995, the Indiana Utility Regulatory Commission (IURC) denied IGC`s request for recovery of costs incurred in complying with Federal, state, and local environmental regulations related to MGP sites in which IGC has an interest, including sites acquired from Energy. IGC has announced it will appeal this decision, which IGC contends is contrary to decisions made by other state utility commissions with respect to this issue. In light of this decision, Energy is evaluating its options with respect to rate recovery of any MGP site-related costs it may incur. At this time, Energy is unable to predict the nature, extent, and costs of, or Energy`s responsibility for, any future environmental investigations and remediations which may be required at MGP sites owned or previously owned by Energy; however, any costs that ultimately are incurred may be material. RESULTS OF OPERATIONS FOR THE QUARTER ENDED MARCH 31, 1995 Kilowatt-hour Sales Kilowatt-hour (kwh) sales for the quarter ended March 31, 1995, decreased 7.5% when compared to the same period last year. This decrease was primarily due to decreased sales for resale which reflected reduced non-firm direct power sales to other utilities. The milder weather conditions experienced during the first quarter of 1995 also resulted in a decline in sales to domestic customers. This decrease in retail sales was offset, in part, by an increased average number of domestic and commercial customers in Energy`s service territory. Increased industrial sales occurred primarily due to growth in the primary metals sector. Operating Revenues Total operating revenues decreased $7 million (2.4%) in the first quarter as compared to the same period last year. This decrease primarily reflects the decreased kwh sales previously discussed and lower fuel costs. Partially offsetting this decrease was the 4.3% retail rate increase and a 1.9% rate increase applicable to construction work in progress (CWIP) property which were approved by the IURC on February 17, 1995(February 1995 Order), and March 9, 1995, respectively. An analysis of operating revenues is shown below: Quarter Ended March 31 (in millions) Operating revenues - March 31, 1994 $301 Increase (Decrease) due to change in: Price per kwh Sales for resale Firm power obligations 1 Non-firm power transactions 4 Total change in price per kwh 5 Kwh sales Retail 1 Sales for resale Firm power obligations (4) Non-firm power transactions (9) Total change in kwh sales (12) Operating revenues - March 31, 1995 $294 Operating Expenses Fuel Fuel costs, Energy`s largest operating expense, decreased $11 million (9.9%) for the quarter as compared to the same period last year. An analysis of fuel costs is shown below: Quarter Ended March 31 (in millions) Fuel expense - March 31, 1994 $108 Increase (Decrease) due to change in: Price of fuel (7) Kwh generation (4) Fuel expense - March 31, 1995 $ 97 Purchased and Exchanged Power For the quarter ended March 31, 1995, purchased and exchanged power decreased $3 million (20.2%) as compared to the same period last year reflecting a decline in third party short-term power sales to other utilities. RESULTS OF OPERATIONS FOR TWELVE MONTHS ENDED MARCH 31, 1995 Kilowatt-hour Sales Kwh sales for the twelve months ended March 31, 1995, remained relatively unchanged, showing a 1.0% increase when compared to the same period last year. Retail sales increased primarily as a result of increased industrial sales which reflected growth in the primary metals and transportation equipment sectors and the increased number of retail customers in Energy`s service territory. Partially offsetting the increases in retail sales were the milder weather conditions experienced during the third and fourth quarters of 1994 and the first quarter of 1995. Also contributing to the increase in kwh sales for the period, was an increase in non-firm power sales for resale partially resulting from an increase in third party short-term power sales to other utilities in the second and third quarters of 1994. Operating Revenues Total operating revenues increased $26 million (2.3%) for the twelve months ended March 31, 1995, as compared to the same period last year. This increase was partially driven by the increase in kwh sales as previously discussed. Also contributing to this increase were the effects of the $31 million refund accrued in June 1993 as a result of Energy`s settlement of the IURC`s April 1990 order, the 4.3% retail rate increase and the 1.9% rate increase applicable to the CWIP property as previously discussed. An analysis of operating revenues is shown below: Twelve Months Ended March 31 (in millions) Operating revenues - March 31, 1994 $1 093 Increase (Decrease) due to change in: Price per kwh Retail 12 Sales for resale Firm power obligations 3 Non-firm power transactions 2 Total change in price per kwh 17 Kwh sales Retail 8 Sales for resale Firm power obligations (6) Non-firm power transactions 7 Total change in kwh sales 9 Operating Revenues - March 31, 1995 $1 119 Operating Expenses Other Operation Other operation expenses for the twelve months ended March 31, 1995, increased $27 million (14.5%) as compared to the same period last year due to a number of factors including charges for severance benefits to former officers of approximately $10 million which the Company does not expect to recover from customers due to a rate settlement related to securing support for the merger. Additionally, fuel litigation expenses contributed to the increase. Maintenance Increased maintenance on a number of generating stations resulted in increased maintenance expenses of $11 million (12.9%) for the twelve months ended March 31, 1995. Depreciation For the twelve months ended March 31, 1995, depreciation expense increased $8 million (6.3%) as compared to the same period last year primarily as a result of increased plant additions. Partially offsetting this increase was the adoption of lower depreciation rates effective March 1995 as a result of the February 1995 Order. Other Income and Expenses - Net Allowance for Equity Funds Used During Construction Allowance for equity funds used during construction decreased $11 million (87.5%) due to an increase in borrowings of short-term debt which resulted in a decrease in the equity component of the allowance for funds used during construction rate. Interest Other Interest Other interest increased $12 million over the same period last year. The increase was driven primarily by higher interest rates and an increase in the average short-term debt outstanding. PART II - OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS See Note 2 of the ``Notes to Consolidated Financial Statements``. ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS (a) The annual meeting of shareholders of PSI Energy, Inc. was held in Cincinnati, Ohio on April 20, 1995. (b) Proxies were not solicited for the annual meeting, at which the following members of the Board of Directors were re-elected: James K. Baker Michael G. Browning John A. Hillenbrand, II John M. Mutz Jackson H. Randolph James E. Rogers Van P. Smith No other member of the Board of Directors continued as a director after the meeting. Also at the meeting, an amendment to the Amended Articles of Consolidation was unanimously adopted, providing the shareholders of the Company, in addition to the Board of Directors of the Company, with the capability of amending the By-laws of the Company. (c) The foregoing members were all unanimously re-elected at the meeting. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (a) The following exhibit is filed herewith: Exhibit Designation Nature of Exhibit 27 Financial Data Schedule (included in electronic submission only). (b) No reports on Form 8-K were filed during the quarter ended March 31, 1995. SIGNATURES 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 such rules and regulations, although PSI Energy, Inc. (Energy) believes that the disclosures are adequate to make the information presented not misleading. In the opinion of Energy, these statements reflect all adjustments (which include only normal, recurring adjustments) necessary to reflect the results of operations for the respective periods. The unaudited statements are subject to such adjustments as the annual audit by independent public accountants may disclose to be necessary. Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed by an officer and the principal accounting officer on its behalf by the undersigned thereunto duly authorized. PSI ENERGY, INC. --------------------------------- Registrant J. WAYNE LEONARD --------------------------------- Date: May 11, 1995 J. Wayne Leonard Group Vice President and Chief Financial Officer CHARLES J. WINGER ---------------------------------- Date: May 11, 1995 Charles J. Winger Comptroller and Principal Accounting Officer EX-27 2 FDS FOR PSI 03/31/95 10-Q
UT THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEETS, CONSOLIDATED STATEMENTS OF INCOME AND CONSOLIDATED STATEMENTS OF CASH FLOWS AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 DEC-31-1995 JAN-01-1995 MAR-31-1995 3-MOS PER-BOOK 2,410,296 0 199,558 268,249 87,305 2,965,408 539 389,309 523,275 913,123 0 187,929 877,557 208,101 0 0 60,400 0 0 0 718,298 2,965,408 294,090 19,173 221,565 240,738 53,352 711 54,063 20,596 33,467 3,295 30,172 0 17,950 36,850 0.00 0.00 -----END PRIVACY-ENHANCED MESSAGE-----