-----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, EmEGrPjo4zG2xPl7rLTPIA/3aa/6HQQRrB6aBKI1bdmQltz1p0NM7poD3b6P2csn d8XxDOOTOssskVsYen/OqA== 0000950117-03-003110.txt : 20030723 0000950117-03-003110.hdr.sgml : 20030723 20030722212459 ACCESSION NUMBER: 0000950117-03-003110 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030722 ITEM INFORMATION: Other events ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20030723 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PSEG POWER LLC CENTRAL INDEX KEY: 0001158659 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC SERVICES [4911] IRS NUMBER: 223663480 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-49614 FILM NUMBER: 03797311 BUSINESS ADDRESS: STREET 1: 80 PARK PLAZA T-6 STREET 2: ` CITY: NEWARK STATE: NJ ZIP: 07111 BUSINESS PHONE: 9734307000 MAIL ADDRESS: STREET 1: 80 PARK PLAZA T-6 CITY: NEWARK STATE: NJ ZIP: 07111 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PSEG ENERGY HOLDINGS LLC CENTRAL INDEX KEY: 0001089206 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC SERVICES [4911] IRS NUMBER: 222983750 STATE OF INCORPORATION: NJ FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-32503 FILM NUMBER: 03797310 BUSINESS ADDRESS: STREET 1: 80 PARK PLAZA STREET 2: 22ND FLOOR CITY: NEWARK STATE: NJ ZIP: 07102-4194 BUSINESS PHONE: 973-456-3581 MAIL ADDRESS: STREET 1: 80 PARK PLAZA STREET 2: 22ND FLOOR CITY: NEWARK STATE: NJ ZIP: 07102-4194 FORMER COMPANY: FORMER CONFORMED NAME: PSEG ENERGY HOLDINGS INC DATE OF NAME CHANGE: 19990621 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PUBLIC SERVICE ELECTRIC & GAS CO CENTRAL INDEX KEY: 0000081033 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC & OTHER SERVICES COMBINED [4931] IRS NUMBER: 221212800 STATE OF INCORPORATION: NJ FISCAL YEAR END: 0717 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-00973 FILM NUMBER: 03797312 BUSINESS ADDRESS: STREET 1: CORPORATE ACCOUNTING SERVICES STREET 2: 80 PARK PLAZA, 9TH FLOOR CITY: NEWARK STATE: NJ ZIP: 07102-4194 BUSINESS PHONE: 973-430-7000 MAIL ADDRESS: STREET 1: CORPORATE ACCOUTNING SERVICES STREET 2: 80 PARK PLAZA, 9TH FLOOR CITY: NEWARK STATE: NJ ZIP: 07102-4194 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PUBLIC SERVICE ENTERPRISE GROUP INC CENTRAL INDEX KEY: 0000788784 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC & OTHER SERVICES COMBINED [4931] IRS NUMBER: 222625848 STATE OF INCORPORATION: NJ FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09120 FILM NUMBER: 03797309 BUSINESS ADDRESS: STREET 1: CORPORATE ACCOUNTING SERVICES STREET 2: 80 PARK PLAZA, 9TH FLOOR CITY: NEWARK STATE: NJ ZIP: 07102-4194 BUSINESS PHONE: 973-430-7000 MAIL ADDRESS: STREET 1: CORPORATE ACCOUNTING SERVICES STREET 2: 80 PARK PLAZA, 9TH FLOOR CITY: NEWARK STATE: NJ ZIP: 07102-4194 8-K 1 a35810.txt PUBLIC SERVICE ENTERPRISE GROUP INC. ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) July 22, 2003 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED (Exact name of registrant as specified in its charter)
New Jersey 001-09120 22-2625848 ---------- --------- ---------- (State or other (Commission File Number) (I.R.S. Employer jurisdiction of incorporation) Identification No.)
80 Park Plaza, P.O. Box 1171 Newark, New Jersey 07101-1171 ------------------------------------------------ (Address of principal executive offices) (Zip Code) 973-430-7000 (Registrant's telephone number, including area code) http://www.pseg.com PSEG POWER LLC (Exact name of registrant as specified in its charter)
Delaware 000-49614 22-3663480 -------- --------- ---------- (State or other (Commission File Number) (I.R.S. Employer jurisdiction of incorporation) Identification No.)
80 Park Plaza, T-25 Newark, New Jersey 07102-4194 ------------------------------------------------- (Address of principal executive offices) (Zip Code) 973-430-7000 (Registrant's telephone number, including area code) http://www.pseg.com PUBLIC SERVICE ELECTRIC AND GAS COMPANY (Exact name of registrant as specified in its charter)
New Jersey 001-00973 22-1212800 ---------- --------- ---------- (State or other (Commission File Number) (I.R.S. Employer jurisdiction of incorporation) Identification No.)
80 Park Plaza, P.O. Box 570 Newark, New Jersey 07101-0570 ------------------------------------------------- (Address of principal executive offices) (Zip Code) 973-430-7000 (Registrant's telephone number, including area code) http://www.pseg.com PSEG ENERGY HOLDINGS L.L.C. (Exact name of registrant as specified in its charter)
New Jersey 000-32503 22-2983750 ---------- --------- ---------- (State or other (Commission File Number) (I.R.S. Employer jurisdiction of incorporation) Identification No.)
80 Park Plaza, T-22 Newark, New Jersey 07102-4194 ------------------------------------------------- (Address of principal executive offices) (Zip Code) 973-456-3581 (Registrant's telephone number, including area code) http://www.pseg.com ================================================================================ This information contained in Item 5. Other Events in this combined Form 8-K is separately filed by Public Service Enterprise Group Incorporated (PSEG), Public Service Electric and Gas Company (PSE&G), PSEG Power LLC (Power) and PSEG Energy Holdings L.L.C. (Energy Holdings). The information contained in Item 9. Regulation FD Disclosure in this Form 8-K is furnished solely for PSEG. Information contained herein relating to any individual company is provided by such company on its own behalf and in connection with its respective Form 8-K. PSE&G, Power and Energy Holdings each make representations only as to itself and makes no other representations whatsoever as to any other company. Item 5. Other Events On July 22, 2003, the following unaudited results were announced for PSEG, Power, PSE&G and Energy Holdings. Income from Continuing Operations for the quarter ended June 30, 2003 was $150 million, $109 million, $22 million and $33 million for PSEG, Power, PSE&G and Energy Holdings, respectively. Income from Continuing Operations for the six months ended June 30, 2003 was $471 million, $286 million, $123 million and $92 million for PSEG, Power, PSE&G and Energy Holdings, respectively. Net Income for PSEG, or Earnings Available to PSEG with respect to Power, PSE&G and Energy Holdings, for the quarter ended June 30, 2003 was $130 million, $109 million, $3 million and $26 million, respectively. Net Income for PSEG, or Earnings Available to PSEG with respect to Power, PSE&G and Energy Holdings, for the six months ended June 30, 2003 was $806 million, $656 million, $103 million and $64 million, respectively. Item 9. Regulation FD Disclosure On July 22, 2003, PSEG announced unaudited financial results for the quarter ended June 30, 2003. A copy of the press release of earnings dated July 22, 2003 is furnished as Exhibit 99 to this Form 8-K. The information contained in Item 9 of this report is being furnished pursuant to Item 12 under Item 9 as directed by the U.S. Securities and Exchange Commission. To supplement PSEG's consolidated financial statements presented in accordance with generally accepted accounting principles (GAAP), the Company uses non-GAAP measures of pro forma operating income and pro forma operating income per share which does not include losses relating to the impairment and operations of Energy Holdings' Argentine investments. PSEG's management reviews these non-GAAP measures internally to evaluate the Company's performance and manage its operations. The Company believes that the inclusion of non-GAAP financial measures provides consistent and comparable measures to help shareholders understand PSEG's current and future operating results. PSEG urges shareholders to carefully review the GAAP financial information included as part of the PSEG's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and quarterly press releases of earnings. 2 SIGNATURE 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. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof. PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED (Registrant) By: /s/ Thomas M. O'Flynn ----------------------------------------------- Thomas M. O'Flynn Executive Vice President and Chief Financial Officer (Principal Financial Officer) Date: July 22, 2003 3 SIGNATURE 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. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof. PUBLIC SERVICE ELECTRIC AND GAS COMPANY (Registrant) By: /s/ Robert E. Busch ----------------------------------------------------- Robert E. Busch Senior Vice President - Finance and Chief Financial Officer (Principal Financial Officer) Date: July 22, 2003 4 SIGNATURE 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. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof. PSEG POWER LLC (Registrant) By: /s/ Thomas M. O'Flynn ------------------------------------------------- Thomas M. O'Flynn Executive Vice President and Chief Financial Officer (Principal Financial Officer) Date: July 22, 2003 5 SIGNATURE 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. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof. PSEG ENERGY HOLDINGS L.L.C. (Registrant) By: /s/ Thomas M. O'Flynn ------------------------------------------------ Thomas M. O'Flynn Executive Vice President and Chief Financial Officer (Principal Financial Officer) Date: July 22, 2003 6 EX-99 3 ex99.txt EXHIBIT 99 EXHIBIT 99 [LETTERHEAD OF PSEG] July 22, 2003 PSEG ANNOUNCES SECOND-QUARTER 2003 EARNINGS: 66 CENTS PER SHARE FROM CONTINUING OPERATIONS Solid Energy Portfolio Management at PSEG Power Is Key Driver In Producing Earnings Consistent with 2003 Guidance of $3.70 to $3.90 Per Share PSEG Issues Initial 2004 Guidance of $3.75 to $3.95 per share Public Service Enterprise Group (PSEG) announced today (July 22) that earnings from continuing operations for the second quarter of 2003 were $150 million or 66 cents per share of common stock, based on 227 million average shares outstanding. These results exclude two after-tax, below-the-line items. The first is an extraordinary charge of $18 million or 8 cents per share related to the recent conclusion of Public Service Electric and Gas Company's (PSE&G) electric base rate case. The second item is $2 million or 1 cent per share related to discontinued operations at PSEG Energy Technologies. Including these items, PSEG's reported earnings for the quarter were $130 million or 57 cents per share. For the six months through June 30, 2003, PSEG produced earnings from continuing operations of $471 million or $2.09 per share, based on 226 million average shares outstanding. Excluded from these results are a net benefit of $335 million or $1.48 per share related to the adoption of a new accounting standard for fossil and nuclear decommissioning in the first quarter, the effect of the extraordinary charge due to the finalization of the electric base rate case in the second quarter and the reporting of discontinued operations for Energy Technologies for both quarters. Including these items, PSEG's reported earnings for the first half of the year were $806 million or $3.57 per share. Attachments to this release provide a summary of 2003 and 2002 results and details of the quarterly and year-to-date results for PSEG's principal subsidiaries -- Public Service Electric and Gas Company (PSE&G), PSEG Power and PSEG Energy Holdings. Thomas M. O'Flynn, PSEG's chief financial officer, said that the solid second quarter results -- representing a 10-cents per share improvement over comparable results for the second quarter of 2002, which excluded losses relating to PSEG Energy Holdings' Argentine investments -- were primarily driven by the strength of PSEG Power's energy portfolio management, favorable weather impacts on PSE&G's sales and higher investment income at PSEG Resources. EXHIBIT 99 O'Flynn said PSEG Power continues to benefit from its ability to optimize its generation assets around the basic generation supply (BGS) contracts offered in New Jersey. "Our ability to combine electric generation, fuel supply, trading and purchased power costs effectively to meet the needs of BGS suppliers is reflected in PSEG's year over year earnings improvement," he said. "Looking ahead, these skills will be especially important during the peak electric demand months of the third quarter." Outside New Jersey, PSEG Power continued to benefit from the 2002 acquisition of two generating facilities in Connecticut, O'Flynn added. PSE&G had a benefit in the second quarter due to weather. The unusually cold spring resulted in higher gas heating demand in April, partially offset by lower electric cooling demands in June. Also in the second quarter, the decision by the New Jersey Board of Public Utilities (BPU) in PSE&G's electric base rate case marked a major final step in the transition process to a deregulated electric market that began in 1999. The extraordinary charge recorded in the second quarter resulted from the disallowance of some previously recognized revenues related to nuclear decommissioning. In deciding the rate case, the BPU approved an increase in annual revenues of $159.5 million, effective August 1. "Even with the increase, customer rates will still be slightly below levels before the start of the four-year transition to deregulation," O'Flynn said. "During that four-year period, customers enjoyed rate discounts of up to 14%." O'Flynn said there were several positive developments at PSEG Energy Holdings. "Two of PSEG Global's generation projects have been completed -- one in Oman that began operation in May and the other in California that was placed in service this month," he said. "There were also improvements at both generating units in Texas in which Global has investments. And, in Brazil, Global's distribution business received a significant rate increase. "In addition, there were improvements in the credit quality and liquidity of several lessees of merchant energy facilities in which PSEG Resources has invested." O'Flynn said Holdings' results for the second-quarter were, however, impacted by the timing of an annual payment for PSEG Global's share of the Eagle Point facility. The payment was received in the first quarter this year, compared to the second quarter of last year. The absence of the payment in the second quarter was partially offset by improved performance of the securities in the KKR portfolio in 2003 compared to 2002. "PSEG's overall second-quarter results were consistent with our objectives for the first half of the year and keeps us on track to achieve 2003 earnings from continuing operations in the range of $3.70 to $3.90 per share." O'Flynn said. "We anticipate a solid second half of the year, barring unforeseen circumstances." EXHIBIT 99 O'Flynn said PSEG, anticipating its solid performance will continue into next year, has set initial 2004 earnings guidance at $3.75 to $3.95 per share. While the company is still early in its business planning stages for the next five years, he said its results next year would benefit from, among other factors: The effect of PSEG Power's contracts with BGS suppliers to New Jersey's utility customers at higher prices established in an auction conducted by the Board of Public Utilities (BPU). The higher prices will be effective August 1 through next May 31. This will help offset the elimination of the market transition charge (MTC) at the conclusion of the transition period this year. A full year's effect of $159.5 million of additional electric distribution revenues from customers of PSE&G, which were approved by the BPU effective August 1. =============================================================================== FORWARD-LOOKING STATEMENT Readers are cautioned that statements contained in this press release about our and our subsidiaries' future performance, including future revenues, earnings, strategies, prospects and all other statements that are not purely historical, are forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Although we believe that our expectations are based on reasonable assumptions, we can give no assurance they will be achieved. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the effects of weather; the performance of generating units and transmission systems; the availability and prices for oil, gas, coal, nuclear fuel and electricity; changes in the markets for electricity and other energy-related commodities; changes in the number of participants and the risk profile of such participants in the energy marketing and trading business; the effectiveness of our risk management and internal controls systems; the effects of regulatory decisions and changes in law; changes in competition in the markets we serve; the ability to recover regulatory assets and other potential stranded costs; the outcomes of litigation and regulatory proceedings or inquiries; the timing and success of efforts to develop domestic and international power projects; conditions of the capital markets and equity markets; advances in technology; changes in accounting standards; changes in interest rates and in financial and foreign currency markets generally; the economic and political climate and growth in the areas in which we conduct our activities; and changes in corporate strategies. For further information, please refer to our Annual Report on Form 10-K and subsequent reports on Form 10-Q and Form 8-K filed with the Securities and Exchange Commission. These documents address in further detail our business, industry issues and other factors that could cause actual results to differ materially from those indicated in this release. In addition, any forward-looking statements included herein represent our estimates only as of today and should not be relied upon as representing our estimates as of any subsequent date. While we may elect to update forward-looking statements from time to time, we specifically disclaim any obligation to do so, even if our estimates change, unless otherwise required by applicable securities laws. =============================================================================== Attachment 1 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED (Unaudited)
- --------------------------------------------------------------------------------------------------------------------------- Quarter Ended Six Months June 30, Ended June 30, 2003 2002 2003 2002 - --------------------------------------------------------------------------------------------------------------------------- Earnings Results (in Millions) Income from Ongoing Operations PSE&G $ 21 $ 7 $ 121 $ 74 PSEG Power 109 83 286 203 PSEG Energy Holdings PSEG Global* 7 34 49 52 PSEG Resources 22 (4) 34 11 PSEG Energy Holdings (1) (2) (2) (4) ------------------------------------------------------- Total PSEG Energy Holdings* 28 28 81 59 ------------------------------------------------------- PSEG (8) (2) (17) (8) - --------------------------------------------------------------------------------------------------------------------------- Income from Ongoing Operations* $ 150 $ 116 $ 471 $ 328 - --------------------------------------------------------------------------------------------------------------------------- Write-down of Argentine Investments, net of tax - (334) - (334) Operating Losses from Argentina, net of tax - (9) - (40) - --------------------------------------------------------------------------------------------------------------------------- Income (Loss) from Continuing Operations $ 150 $ (227) $ 471 $ (46) - --------------------------------------------------------------------------------------------------------------------------- Loss from Discontinued Operations, including Loss on Disposal (2) (37) (17) (38) Extraordinary Item (18) - (18) - Cumulative Effect of a Change in Accounting Principle - - 370 (120) - --------------------------------------------------------------------------------------------------------------------------- PSEG Net Income (Loss) $ 130 $ (264) $ 806 $ (204) - --------------------------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------------------------------------------------------- Average Shares Outstanding (in Millions) 227 207 226 207 - --------------------------------------------------------------------------------------------------------------------------- Per Share Results (Diluted) Income from Ongoing Operations PSE&G $ 0.09 $ 0.03 $ 0.53 $ 0.36 PSEG Power 0.48 0.40 1.27 0.98 PSEG Energy Holdings PSEG Global* 0.03 0.17 0.22 0.26 PSEG Resources 0.10 (0.02) 0.15 0.05 PSEG Energy Holdings (0.01) (0.01) (0.01) (0.02) ------------------------------------------------------- Total PSEG Energy Holdings* 0.12 0.14 0.36 0.29 ------------------------------------------------------- PSEG (0.03) (0.01) (0.07) (0.04) - --------------------------------------------------------------------------------------------------------------------------- Income from Ongoing Operations* $ 0.66 $ 0.56 $ 2.09 $ 1.59 - --------------------------------------------------------------------------------------------------------------------------- Write-down of Argentine Investments, net of tax - (1.62) - (1.62) Operating Losses from Argentina, net of tax - (0.04) - (0.19) - --------------------------------------------------------------------------------------------------------------------------- Income (Loss) from Continuing Operations $ 0.66 $(1.10) $ 2.09 $(0.22) - --------------------------------------------------------------------------------------------------------------------------- Loss from Discontinued Operations, including Loss on Disposal (0.01) (0.18) (0.08) (0.19) Extraordinary Item (0.08) - (0.08) - Cumulative Effect of a Change in Accounting Principle - - 1.64 (0.58) - --------------------------------------------------------------------------------------------------------------------------- PSEG Net Income (Loss) $ 0.57 $(1.28) $ 3.57 $(0.99) - ---------------------------------------------------------------------------------------------------------------------------
* 2002 Amounts exclude write-down of and operating losses relating to Argentine Investments totalling $343 million or $1.66 per share and $374 million or $1.81 per share for the quarter and six month periods ended June 30, 2002, respectively. Note: Income from Ongoing and Continuing Operations include preferred stock dividends relating to PSE&G of $1 million and $2 million, Global of $4 million and $8 million and Resources of $1 million and $3 million for the quarters and six months ended June 30, 2003 and June 30, 2002, respectively. Attachment 2 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED Reconciliation of Income from Ongoing Operations Quarter Ended June 30, 2003 vs. Quarter Ended June 30, 2002 PSEG Income from Ongoing Operations for the Quarter Ended June 30, 2002: $ 0.56 PSE&G Better/(Worse) -------------- 2nd Quarter 2002 $ 0.03 Margins: Weather, $0.01, and Other 0.04 O&M (primarily pension costs) (0.01) Lower Interest Costs 0.02 Other 0.02 Additional Shares Outstanding (0.01) 2nd Quarter 2003 $ 0.09 $ 0.06 PSEG Power 2nd Quarter 2002 $ 0.40 Increased Margins (BGS and Trading, MTC and 0.15 Connecticut Plants) Higher O&M (Connecticut Plants and Outages) (0.06) Income on Nuclear Decommissioning Trust Funds 0.04 Additional Shares Outstanding (0.05) 2nd Quarter 2003 $ 0.48 $ 0.08 PSEG Energy Holdings 2nd Quarter 2002 $ 0.14 Global Eagle Point gain recorded in 1st Quarter in 2003, prior year recorded in 2nd Quarter (0.15) Other 0.01 (0.14) ------ Resources Improved Performance in KKR Portfolio: 2Q 2003 = 0.02; 2Q 2002 = (0.10) 0.12 Other 0.02 Additional Shares Outstanding (0.02) 0.12 2nd Quarter 2003 ------ $ 0.12 $ (0.02) Public Service Enterprise Group 2nd Quarter 2002 $ (0.01) Increase in financing costs (0.02) 2nd Quarter 2003 $ (0.03) $ (0.02) PSEG Income from Ongoing Operations for the Quarter Ended June 30, 2003: $ 0.66
Attachment 3 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED Reconciliation of Income from Ongoing Operations Six Months Ended June 30, 2003 vs. Six Months Ended June 30, 2002 PSEG Income from Ongoing Operations for the Six Months Ended June 30, 2002: $ 1.59 PSE&G Better/(Worse) -------------- YTD 2002 $ 0.36 Improved Margins: Primarily Weather, $0.20 0.21 O&M and Other (primarily pension costs) (0.03) Lower Interest Costs 0.02 Gain on property sales 0.02 Additional Shares Outstanding (0.05) YTD 2003 $ 0.53 $ 0.17 PSEG Power YTD 2002 $ 0.98 Increased Margins (BGSS, BGS and Trading, MTC and 0.41 Connecticut Plants) Higher O&M (Connecticut Plants and Outages) (0.07) Income on Nuclear Decommissioning Trust Funds 0.07 Additional Shares Outstanding (0.12) YTD 2003 $ 1.27 $ 0.29 PSEG Energy Holdings YTD 2002 $ 0.29 Global Lower gains from withdrawal from Eagle Point (0.01) Other (0.01) Additional Shares Outstanding (0.02) (0.04) ----- Resources Improved Performance in KKR Portfolio 0.10 Other 0.01 Additional Shares Outstanding (0.01) 0.10 ----- Holdings parent (miscellaneous) 0.01 YTD 2003 $ 0.36 $ 0.07 Public Service Enterprise Group (parent) YTD 2002 $(0.04) Increase in financing costs (0.03) YTD 2003 $(0.07) $(0.03) PSEG Income from Ongoing Operations for the Six Months Ended June 30, 2003: $ 2.09
Attachment 4 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED CAPITALIZATION SCHEDULE (Unaudited)
June 30, December 31, 2003 2002 ----------------------------- (Millions) DEBT Commercial Paper and Loans $ 1,003 $ 625 Non-Recourse Note Payable 67 137 Long-Term Debt, including amounts due within one year 7,623 7,668 Securitization Debt, including amounts due within one year 2,293 2,351 Project Level, Non-Recourse Debt, including amounts due within one year 1,845 1,721 ----------------------------- Total Debt 12,831 12,502 SUBSIDIARIES' PREFERRED SECURITIES 1,400 1,400 ----------------------------- COMMON STOCKHOLDERS' EQUITY Common Stock 4,100 4,056 Treasury Stock (981) (981) Retained Earnings 2,160 1,601 Accumulated Other Comprehensive Loss (574) (689) ----------------------------- Total Common Stockholders' Equity 4,705 3,987 ----------------------------- Total Capitalization $ 18,936 $ 17,889 =============================
The traditional and adjusted debt to capitalization ratio as of June 30, 2003 was 0.68 and 0.59, respectively. PSEG's financial covenants require an adjustment to the traditional debt to capitalization ratio by excluding non-recourse project debt ($1.8 billion) and securitization debt ($2.3 billion) and including capital lease obligations ($51 million) and certain other obligations such as guarantees and letters of credit ($216 million). Attachment 5 Public Service Electric and Gas Company Electric and Gas Sales to Customers June 2003 Electric Sales Millions of Kilowatthours
Three Change vs Six Change vs Months Ended 2002 Months Ended 2002 ------------ ---- ------------ ---- Residential 2,746 -4.1% 5,836 4.0% Commercial 5,281 -0.6% 10,656 3.3% Industrial 1,678 -2.4% 3,240 -2.1% Total -1.9% 2.6%
Gas Sold and Transported Millions of Therms
Three Change vs Six Change vs Months Ended 2002 Months Ended 2002 ------------ ---- ------------ ---- Residential Sales 234 26.0% 975 29.0% Commercial - Firm Sales 96 30.3% 400 30.1% Industrial - Firm Sales 8 18.9% 37 18.7% Gas Transported 298 9.9% 746 21.8% Total * 17.3% 22.5%
* Includes interruptible and cogeneration sales -----END PRIVACY-ENHANCED MESSAGE-----