Commission File Number | Registrant, State of Incorporation, Address and Telephone Number | I.R.S. Employer Identification No. |
1-3526 | The Southern Company (A Delaware Corporation) 30 Ivan Allen Jr. Blvd., N.W. Atlanta, Georgia 30308 (404) 506-5000 | 58-0690070 |
1-3164 | Alabama Power Company (An Alabama Corporation) 600 North 18th Street Birmingham, Alabama 35203 (205) 257-1000 | 63-0004250 |
1-6468 | Georgia Power Company (A Georgia Corporation) 241 Ralph McGill Boulevard, N.E. Atlanta, Georgia 30308 (404) 506-6526 | 58-0257110 |
001-31737 | Gulf Power Company (A Florida Corporation) One Energy Place Pensacola, Florida 32520 (850) 444-6111 | 59-0276810 |
001-11229 | Mississippi Power Company (A Mississippi Corporation) 2992 West Beach Boulevard Gulfport, Mississippi 39501 (228) 864-1211 | 64-0205820 |
333-98553 | Southern Power Company (A Delaware Corporation) 30 Ivan Allen Jr. Blvd., N.W. Atlanta, Georgia 30308 (404) 506-5000 | 58-2598670 |
[ ] | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
[ ] | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
[ ] | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
[ ] | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 | Results of Operations and Financial Condition |
Exhibit 99.01 | Press Release. | |
Exhibit 99.02 | Financial Highlights. | |
Exhibit 99.03 | Significant Factors Impacting EPS. | |
Exhibit 99.04 | EPS Earnings Analysis. | |
Exhibit 99.05 | Consolidated Earnings. | |
Exhibit 99.06 | Kilowatt-Hour Sales. | |
Exhibit 99.07 | Financial Overview. |
Date: October 30, 2013 | THE SOUTHERN COMPANY By /s/Ann P. Daiss Ann P. Daiss Comptroller |
ALABAMA POWER COMPANY GEORGIA POWER COMPANY GULF POWER COMPANY MISSISSIPPI POWER COMPANY SOUTHERN POWER COMPANY By /s/Melissa K. Caen Melissa K. Caen Assistant Secretary |
Exhibit 99.01 | ||
News | ||
Media Contact: | Southern Company Media Relations | |
404-506-5333 or 1-866-506-5333 | ||
www.southerncompany.com | ||
Investor Relations Contact: | ||
Dan Tucker | ||
404-506-5310 | ||
dstucker@southernco.com | ||
October 30, 2013 |
Exhibit 99.02 | ||||||||||||||||
Southern Company | ||||||||||||||||
Financial Highlights | ||||||||||||||||
(In Millions of Dollars Except Earnings Per Share) | ||||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Consolidated Earnings–As Reported | ||||||||||||||||
(See Notes) | ||||||||||||||||
Traditional Operating Companies | $ | 766 | $ | 908 | $ | 1,100 | $ | 1,797 | ||||||||
Southern Power | 85 | 68 | 142 | 144 | ||||||||||||
Total | 851 | 976 | 1,242 | 1,941 | ||||||||||||
Parent Company and Other | 1 | — | (12 | ) | 26 | |||||||||||
Net Income–As Reported | $ | 852 | $ | 976 | $ | 1,230 | $ | 1,967 | ||||||||
Basic Earnings Per Share | $ | 0.97 | $ | 1.11 | $ | 1.41 | $ | 2.26 | ||||||||
Average Shares Outstanding (in millions) | 878 | 876 | 874 | 872 | ||||||||||||
End of Period Shares Outstanding (in millions) | 882 | 875 | ||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Consolidated Earnings–Excluding Items | ||||||||||||||||
(See Notes) | ||||||||||||||||
Net Income–As Reported | $ | 852 | $ | 976 | $ | 1,230 | $ | 1,967 | ||||||||
Estimated Loss on Kemper IGCC | 93 | — | 704 | — | ||||||||||||
Leveraged Lease Restructure | — | — | 16 | — | ||||||||||||
MC Asset Recovery Insurance Settlement, net | — | — | — | (21 | ) | |||||||||||
Net Income–Excluding Items | $ | 945 | $ | 976 | $ | 1,950 | $ | 1,946 | ||||||||
Basic Earnings Per Share–Excluding Items | $ | 1.08 | $ | 1.11 | $ | 2.24 | $ | 2.24 | ||||||||
Notes | ||||||||||||||||
- For the three months ended September 30, 2013 and 2012, dilution does not change basic earnings per share by more than 1 cent and is not material. For the nine months ended September 30, 2013 and 2012, dilution does not change basic earnings per share by more than 3 cents and is not material. | ||||||||||||||||
- The estimated probable losses relating to Mississippi Power Company's construction of the integrated coal gasification combined cycle facility in Kemper County, Mississippi (Kemper IGCC) significantly impacted the presentation of earnings and earnings per share for the three and nine months ended September 30, 2013 and similar charges are not expected to occur with any regularity in the future, although it is possible such charges could recur. | ||||||||||||||||
-The charge related to the restructuring of a leveraged lease investment that was completed on March 1, 2013 impacted the presentation of earnings and earnings per share for the nine months ended September 30, 2013 and similar charges are not expected to occur with any regularity in the future. | ||||||||||||||||
- Earnings for the nine months ended September 30, 2012 include an insurance settlement related to the March 2009 litigation settlement with MC Asset Recovery, LLC and similar insurance recoveries are not expected to occur with any regularity in the future. | ||||||||||||||||
- Certain prior year data has been reclassified to conform with current year presentation. | ||||||||||||||||
- All figures in this earnings release are preliminary and remain subject to the completion of normal quarter-end accounting procedures and adjustments, which could result in changes to these preliminary results. In addition, certain classifications and rounding may be different from final results published in the Form 10-Q. |
Exhibit 99.03 | ||||||||||||||||||||||||
Southern Company | ||||||||||||||||||||||||
Significant Factors Impacting EPS | ||||||||||||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||||||||||
2013 | 2012 | Change | 2013 | 2012 | Change | |||||||||||||||||||
Consolidated Earnings Per Share– | ||||||||||||||||||||||||
As Reported (See Notes) | $ | 0.97 | $ | 1.11 | $ | (0.14 | ) | $ | 1.41 | $ | 2.26 | $ | (0.85 | ) | ||||||||||
Significant Factors: | ||||||||||||||||||||||||
Traditional Operating Companies | (0.16 | ) | (0.80 | ) | ||||||||||||||||||||
Southern Power | 0.02 | — | ||||||||||||||||||||||
Parent Company and Other | — | (0.04 | ) | |||||||||||||||||||||
Increase in Shares | — | (0.01 | ) | |||||||||||||||||||||
Total–As Reported | $ | (0.14 | ) | $ | (0.85 | ) | ||||||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||||||||||
2013 | 2012 | Change | 2013 | 2012 | Change | |||||||||||||||||||
Consolidated Earnings Per Share– | ||||||||||||||||||||||||
Excluding Items (See Notes) | $ | 1.08 | $ | 1.11 | $ | (0.03 | ) | $ | 2.24 | $ | 2.24 | $ | — | |||||||||||
Total–As Reported | (0.14 | ) | (0.85 | ) | ||||||||||||||||||||
Estimated Loss on Kemper IGCC | 0.11 | 0.81 | ||||||||||||||||||||||
Leveraged Lease Restructure | — | 0.02 | ||||||||||||||||||||||
MC Asset Recovery Insurance Settlement | — | 0.02 | ||||||||||||||||||||||
Total–Excluding Items | $ | (0.03 | ) | $ | — | |||||||||||||||||||
Notes | ||||||||||||||||||||||||
- For the three months ended September 30, 2013 and 2012, dilution does not change basic earnings per share by more than 1 cent and is not material. For the nine months ended September 30, 2013 and 2012, dilution does not change basic earnings per share by more than 3 cents and is not material. | ||||||||||||||||||||||||
- The estimated probable losses relating to Mississippi Power Company's construction of the integrated coal gasification combined cycle facility in Kemper County, Mississippi (Kemper IGCC) significantly impacted the presentation of earnings and earnings per share for the three and nine months ended September 30, 2013 and similar charges are not expected to occur with any regularity in the future, although it is possible such charges could recur. | ||||||||||||||||||||||||
-The charge related to the restructuring of a leveraged lease investment that was completed on March 1, 2013 impacted the presentation of earnings and earnings per share for the nine months ended September 30, 2013 and similar charges are not expected to occur with any regularity in the future. | ||||||||||||||||||||||||
- Earnings for the nine months ended September 30, 2012 include an insurance settlement related to the March 2009 litigation settlement with MC Asset Recovery, LLC and similar insurance recoveries are not expected to occur with any regularity in the future. | ||||||||||||||||||||||||
- Certain prior year data has been reclassified to conform with current year presentation. | ||||||||||||||||||||||||
- All figures in this earnings release are preliminary and remain subject to the completion of normal quarter-end accounting procedures and adjustments, which could result in changes to these preliminary results. In addition, certain classifications and rounding may be different from final results published in the Form 10-Q. |
Exhibit 99.04 | ||
Southern Company | ||
EPS Earnings Analysis | ||
Three Months Ended September 2013 | ||
Cents | Description | |
1¢ | Retail Sales | |
2 | Retail Revenue Impacts | |
(7) | Weather | |
(2) | Non-Fuel O&M | |
(2) | Depreciation and Amortization | |
2 | Other Income and Deductions | |
1 | Interest Expense | |
(5)¢ | Total Traditional Operating Companies | |
2 | Southern Power | |
(3)¢ | Total Change in QTD EPS (x-Items) | |
(11) | Estimated Loss on Kemper IGCC | |
(14)¢ | Total Change in QTD EPS (As Reported) | |
Notes | ||
- The estimated probable loss relating to Mississippi Power Company's construction of the integrated coal gasification combined cycle facility in Kemper County, Mississippi (Kemper IGCC) significantly impacted the presentation of earnings and earnings per share for the three months ended September 30, 2013 and similar charges are not expected to occur with any regularity in the future, although it is possible such charges could recur. | ||
- All figures in this earnings release are preliminary and remain subject to the completion of normal quarter-end accounting procedures and adjustments, which could result in changes to these preliminary results. In addition, certain classifications and rounding may be different from final results published in the Form 10-Q. |
Exhibit 99.05 | ||||||||||||||||||||||||
Southern Company | ||||||||||||||||||||||||
Consolidated Earnings | ||||||||||||||||||||||||
As Reported | ||||||||||||||||||||||||
(In Millions of Dollars) | ||||||||||||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||||||||||
2013 | 2012 | Change | 2013 | 2012 | Change | |||||||||||||||||||
Income Account- | ||||||||||||||||||||||||
Retail Revenues- | ||||||||||||||||||||||||
Fuel | $ | 1,435 | $ | 1,445 | $ | (10 | ) | $ | 3,830 | $ | 3,709 | $ | 121 | |||||||||||
Non-Fuel | 2,884 | 2,934 | (50 | ) | 7,407 | 7,359 | 48 | |||||||||||||||||
Wholesale Revenues | 520 | 497 | 23 | 1,406 | 1,261 | 145 | ||||||||||||||||||
Other Electric Revenues | 166 | 157 | 9 | 477 | 459 | 18 | ||||||||||||||||||
Non-regulated Operating Revenues | 12 | 16 | (4 | ) | 40 | 46 | (6 | ) | ||||||||||||||||
Total Revenues | 5,017 | 5,049 | (32 | ) | 13,160 | 12,834 | 326 | |||||||||||||||||
Fuel and Purchased Power | 1,725 | 1,717 | 8 | 4,583 | 4,362 | 221 | ||||||||||||||||||
Non-fuel O & M | 928 | 906 | 22 | 2,849 | 2,817 | 32 | ||||||||||||||||||
MC Asset Recovery Insurance Settlement | — | — | — | — | (19 | ) | 19 | |||||||||||||||||
Depreciation and Amortization | 480 | 449 | 31 | 1,422 | 1,335 | 87 | ||||||||||||||||||
Taxes Other Than Income Taxes | 243 | 237 | 6 | 710 | 690 | 20 | ||||||||||||||||||
Estimated Loss on Kemper IGCC | 150 | — | 150 | 1,140 | — | 1,140 | ||||||||||||||||||
Total Operating Expenses | 3,526 | 3,309 | 217 | 10,704 | 9,185 | 1,519 | ||||||||||||||||||
Operating Income | 1,491 | 1,740 | (249 | ) | 2,456 | 3,649 | (1,193 | ) | ||||||||||||||||
Allowance for Equity Funds Used During Construction | 53 | 39 | 14 | 139 | 102 | 37 | ||||||||||||||||||
Leveraged Lease Income (Loss) | 5 | 5 | — | (11 | ) | 16 | (27 | ) | ||||||||||||||||
Interest Expense, Net of Amounts Capitalized | 202 | 218 | (16 | ) | 628 | 649 | (21 | ) | ||||||||||||||||
Other Income (Expense), net | (10 | ) | (4 | ) | (6 | ) | (20 | ) | (4 | ) | (16 | ) | ||||||||||||
Income Taxes | 468 | 569 | (101 | ) | 657 | 1,098 | (441 | ) | ||||||||||||||||
Net Income | 869 | 993 | (124 | ) | 1,279 | 2,016 | (737 | ) | ||||||||||||||||
Dividends on Preferred and Preference Stock of Subsidiaries | 17 | 17 | — | 49 | 49 | — | ||||||||||||||||||
NET INCOME AFTER DIVIDENDS ON PREFERRED AND PREFERENCE STOCK | $ | 852 | $ | 976 | $ | (124 | ) | $ | 1,230 | $ | 1,967 | $ | (737 | ) | ||||||||||
Notes | ||||||||||||||||||||||||
- Certain prior year data has been reclassified to conform with current year presentation. | ||||||||||||||||||||||||
- All figures in this earnings release are preliminary and remain subject to the completion of normal quarter-end accounting procedures and adjustments, which could result in changes to these preliminary results. In addition, certain classifications and rounding may be different from final results published in the Form 10-Q. | ||||||||||||||||||||||||
Exhibit 99.06 | ||||||||||||||||||||||||
Southern Company | ||||||||||||||||||||||||
Kilowatt-Hour Sales | ||||||||||||||||||||||||
(In Millions of KWHs) | ||||||||||||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||||||||||
As Reported (See Notes) | 2013 | 2012 | Change | Weather Adjusted Change | 2013 | 2012 | Change | Weather Adjusted Change* | ||||||||||||||||
Kilowatt-Hour Sales- | ||||||||||||||||||||||||
Total Sales | 51,040 | 52,586 | (2.9 | )% | 139,418 | 141,074 | (1.2 | )% | ||||||||||||||||
Total Retail Sales- | 43,454 | 44,137 | (1.5 | )% | 1.0 | % | 118,922 | 119,945 | (0.9 | )% | (0.1 | )% | ||||||||||||
Residential | 14,653 | 15,479 | (5.3 | )% | (0.3 | )% | 38,770 | 39,315 | (1.4 | )% | (0.5 | )% | ||||||||||||
Commercial | 14,836 | 15,032 | (1.3 | )% | 1.1 | % | 40,108 | 40,734 | (1.5 | )% | — | % | ||||||||||||
Industrial | 13,738 | 13,394 | 2.6 | % | 2.6 | % | 39,363 | 39,206 | 0.4 | % | 0.4 | % | ||||||||||||
Other | 227 | 232 | (1.9 | )% | (1.6 | )% | 681 | 690 | (1.4 | )% | (1.4 | )% | ||||||||||||
Total Wholesale Sales | 7,586 | 8,449 | (10.2 | )% | N/A | 20,496 | 21,129 | (3.0 | )% | N/A | ||||||||||||||
Notes | ||||||||||||||||||||||||
* Also reflects reclassification of January 2012 KWH sales among customer classes consistent with actual advanced meter data. Use of actual advanced meter data was implemented during the first quarter of 2012. |
Exhibit 99.07 | ||||||||||||||||||||||
Southern Company | ||||||||||||||||||||||
Financial Overview | ||||||||||||||||||||||
As Reported | ||||||||||||||||||||||
(In Millions of Dollars) | ||||||||||||||||||||||
Three Months Ended September | Year-to-Date September | |||||||||||||||||||||
2013 | 2012 | % Change | 2013 | 2012 | % Change | |||||||||||||||||
Consolidated – | ||||||||||||||||||||||
Operating Revenues | $ | 5,017 | $ | 5,049 | (0.6 | )% | $ | 13,160 | $ | 12,834 | 2.5 | % | ||||||||||
Earnings Before Income Taxes | 1,337 | 1,562 | (14.4 | )% | 1,936 | 3,114 | (37.8 | )% | ||||||||||||||
Net Income Available to Common | 852 | 976 | (12.7 | )% | 1,230 | 1,967 | (37.5 | )% | ||||||||||||||
Alabama Power – | ||||||||||||||||||||||
Operating Revenues | $ | 1,604 | $ | 1,637 | (2.0 | )% | $ | 4,304 | $ | 4,230 | 1.7 | % | ||||||||||
Earnings Before Income Taxes | 442 | 474 | (6.8 | )% | 992 | 1,015 | (2.3 | )% | ||||||||||||||
Net Income Available to Common | 258 | 280 | (7.9 | )% | 572 | 591 | (3.2 | )% | ||||||||||||||
Georgia Power – | ||||||||||||||||||||||
Operating Revenues | $ | 2,484 | $ | 2,498 | (0.6 | )% | $ | 6,408 | $ | 6,263 | 2.3 | % | ||||||||||
Earnings Before Income Taxes | 790 | 843 | (6.3 | )% | 1,579 | 1,558 | 1.3 | % | ||||||||||||||
Net Income Available to Common | 487 | 525 | (7.2 | )% | 966 | 987 | (2.1 | )% | ||||||||||||||
Gulf Power – | ||||||||||||||||||||||
Operating Revenues | $ | 399 | $ | 422 | (5.3 | )% | $ | 1,097 | $ | 1,108 | (1.0 | )% | ||||||||||
Earnings Before Income Taxes | 75 | 80 | (5.7 | )% | 168 | 172 | (2.7 | )% | ||||||||||||||
Net Income Available to Common | 45 | 48 | (6.3 | )% | 99 | 103 | (4.1 | )% | ||||||||||||||
Mississippi Power – | ||||||||||||||||||||||
Operating Revenues | $ | 325 | $ | 305 | 6.5 | % | $ | 878 | $ | 800 | 9.7 | % | ||||||||||
Earnings Before Income Taxes | (56 | ) | 77 | N/M | (843 | ) | 159 | N/M | ||||||||||||||
Net Income Available to Common | (24 | ) | 55 | N/M | (490 | ) | 115 | N/M | ||||||||||||||
Southern Power – | ||||||||||||||||||||||
Operating Revenues | $ | 365 | $ | 355 | 2.8 | % | $ | 975 | $ | 894 | 9.0 | % | ||||||||||
Earnings Before Income Taxes | 103 | 102 | 1.2 | % | 180 | 220 | (18.4 | )% | ||||||||||||||
Net Income Available to Common | 85 | 68 | 24.5 | % | 142 | 144 | (1.4 | )% | ||||||||||||||
N/M - not meaningful | ||||||||||||||||||||||
Notes | ||||||||||||||||||||||
- Mississippi Power Company restated its 2012 financial statements to reflect a pre-tax charge to income for the estimated probable loss on Kemper IGCC of $78 million ($48 million after tax) in 2012. Southern Company evaluated the portion of the estimated probable loss related to 2012 and concluded it was not material to Southern Company. Therefore, Southern Company reflected the pre-tax charge to income for this portion of the estimated probable loss related to 2012 in the first quarter 2013. | ||||||||||||||||||||||
- Certain prior year data has been reclassified to conform with current year presentation. | ||||||||||||||||||||||
- All figures in this earnings release are preliminary and remain subject to the completion of normal quarter-end accounting procedures and adjustments, which could result in changes to these preliminary results. In addition, certain classifications and rounding may be different from final results published in the Form 10-Q. |