-----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, HqOVi6xWqem0J8FQ33FBLnXKejFRQw/md+9VxxZByXN3D4Ab2AyL4fMzDuTmRpM4 jUg818ZXfua4KX0LbrhqZQ== 0000009548-98-000004.txt : 19980302 0000009548-98-000004.hdr.sgml : 19980302 ACCESSION NUMBER: 0000009548-98-000004 CONFORMED SUBMISSION TYPE: U-3A-2 PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19971231 FILED AS OF DATE: 19980227 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: BANGOR HYDRO ELECTRIC CO CENTRAL INDEX KEY: 0000009548 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC SERVICES [4911] IRS NUMBER: 010024370 STATE OF INCORPORATION: ME FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: U-3A-2 SEC ACT: SEC FILE NUMBER: 069-00206 FILM NUMBER: 98551428 BUSINESS ADDRESS: STREET 1: 33 STATE ST CITY: BANGOR STATE: ME ZIP: 04401 BUSINESS PHONE: 2079455621 MAIL ADDRESS: STREET 1: PO BOX 932 CITY: BANGOR STATE: ME ZIP: 04401 U-3A-2 1 FORM U3A2-BANGOR HYDRO-ELECTRIC CO. (BODY) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM U-3A-2 File No. 69-206 Statement by Holding Company Claiming Exemption Under Rule U-3A-2 from the Provisions of the Public Utility Holding Company Act of 1935 BANGOR HYDRO-ELECTRIC COMPANY hereby files with the Securities and Exchange Commission pursuant to Rule 2, its statement claiming exemption as a holding company from the provisions of the Public Utilities Holding Company Act of 1935, and submits the following information: 1. Bangor Hydro-Electric Company (Bangor Hydro) is a Maine corporation having its principal place of business at 33 State Street, Bangor, Maine. Bangor Hydro is principally engaged in the generation, transmission, distribution and sale of electric energy in eastern Maine and serves approximately 105,000 customers. Bangor Gas Company, LLC ("Bangor Gas") is a limited liability company organized under Maine law in 1997. It was formed to be a local natural gas distribution company in the greater Bangor, Maine area. Bangor Gas is currently seeking regulatory approvals to provide such service. Bangor Gas's address is 21 Main Street, Bangor, Maine. Bangor Hydro currently holds five percent (5%) of Bangor Gas's capital stock, with the remainder held by Pacific Enterprises, Inc. Bangor Energy Resale, Inc. ("Bangor Energy") is a corporation organized under Maine law in 1997. It was formed for a single purpose, to facilitate Bangor Hydro's use of a power sales agreement with Unitil Power Corp. (the "Unitil contract") as collateral for a bank loan. Under the arrangement (1) Bangor Hydro will assign the Unitil contract to Bangor Energy; (2) Bangor Energy will purchase wholesale utility service from Bangor Hydro to allow Bangor Energy to perform the Unitil contract; (3) Bangor Energy will borrow money from a lender or lenders, assigning said lenders a security interest in the Unitil contract; and (4) Bangor Energy will transfer the net proceeds of the loan to Bangor Hydro. The entire transaction was reviewed and approved by the Federal Energy Regulatory Commission and the Maine Public Utilities Commission. Bangor Energy's address is 33 State Street, Bangor, Maine. All of its capital stock is owned by Bangor Hydro. Bangor Var Co., Inc. is a corporation organized under Maine law in 1990. It was formed to be a general partner whose sole function is to own a 50% interest in the Chester SVC Partnership, a partnership which owns the static var compensator electrical equipment which supports the Hydro Quebec Phase II transmission line. East Branch Improvement Company is a water storage corporation organized under the laws of the State of Maine. It operates on the East Branch of the Penobscot River in Maine. Its capital stock consists of 3,029.25 shares of which Bangor Hydro owns 1,817.55 shares, the remaining 1,211.70 shares being owned by Great Northern Paper Company. East Branch Improvement Company's office is at 33 State Street, Bangor, Maine. Godfrey's Falls Dam Company is a Maine corporation having its office at 33 State Street, Bangor, Maine. All of its capital stock is owned by East Branch Improvement Company. Ownership of this corporation was acquired to permit future water storage development in the basin of the East Branch of the Penobscot River in the State of Maine. The Sawtelle Brook Dam & Improvement Company is a Maine corporation having its office at 33 State Street, Bangor, Maine. All of its capital stock is owned by East Branch Improvement Company. This corporation controls certain dams and water rights in the basin of the East Branch of the Penobscot River in Maine and was acquired to permit future water storage development in the East Branch basin. Sebois Dam Company is a Maine corporation organized to improve the navigation of certain of the Sebois waters which enter the Piscataquis River. It has the right to maintain dams for the driving of logs and lumber. It is presently an inactive corporation and has no income. All of its capital stock is owned by Bangor Hydro. Its address is 33 State Street, Bangor, Maine. Pleasant River Gulf Improvement Company is a corporation organized under Maine law. It is a water improvement company authorized by its charter to erect and maintain dams and to improve the flow of water in the West Branch of the Piscataquis River in Maine for the purpose of making the West Branch floatable and facilitating the driving of logs and lumber upon the same. It is presently an inactive corporation and has no income. All of its capital stock is owned by Bangor Hydro. Its address is 33 State Street, Bangor, Maine. Northeastern Company is an inactive corporation organized under Maine law. It was acquired to hold certain real and personal properties useful at the time of the acquisition thereof in the conduct of Bangor Hydro's business. These holdings have since been disposed of and the corporation has no present assets or liabilities. All of its capital stock is owned by Bangor Hydro. Its address is 33 State Street, Bangor, Maine. Eastern Development Company is an inactive corporation organized under Maine law. It was organized to acquire and hold certain properties for ultimate transfer to Bangor Hydro. All holdings have been disposed of and the corporation has no present assets or liabilities. Its address is 33 State Street, Bangor, Maine. Maine Electric Power Company, Inc. ("MEPCO") is a Maine corporation with its principal office at Edison Drive, Augusta, Maine, formed for the purpose of constructing, owning and operating a 345 KV transmission line between Wiscasset, Maine and the Maine-New Brunswick international border at Orient, Maine, where its lines connect with that portion of the interconnection constructed in the Province of New Brunswick by the New Brunswick Power Commission. (See File No. 704798). Bangor Hydro owns 14.188% of MEPCO'S common stock; the remainder of the stock is held by other Maine electric utility companies. Penobscot Hydro Co., Inc. ("PHC") is a corporation organized under Maine law in 1986 as a wholly owned subsidiary of Bangor Hydro, in connection with the project financing of the redevelopment of a hydroelectric generating facility on the Penobscot River in Howland and Enfield, Maine. In 1986 Bangor Hydro formed a partnership ("Bangor-Pacific Hydro Associates" or "Bangor-Pacific") with Pacific Lighting Energy Systems ("PLES"), a California corporation (the "West Enfield project") in order to finance the $45,000,000 redevelopment of Bangor Hydro's existing hydroelectric facility. Bangor Hydro transferred its interest in the facility to Bangor-Pacific, and purchases all the power from the facility pursuant to a long-term contract. Prior to the closing of the financing, Bangor Hydro transferred its 50% interest in the partnership to PHC. The entire transaction was reviewed and approved by the Maine Public utilities Commission. Neither Bangor Energy Resale, Inc., Bangor Var Co. Inc., East Branch Improvement Company, Godfrey's Falls Dam Company, The Sawtelle Brook Dam and Improvement Company, Northeastern Company, Eastern Development Company, Pleasant River Gulf Improvement Company, Sebois Dam Company, nor Penobscot Hydro Co. Inc. is a public utility. Bangor Gas Company, LLC is not a public utility at this time, but is seeking necessary regulatory approvals to obtain such status. 2. Bangor Hydro owns seven hydro-electric generating plants, one steam generating plant and four internal combustion generating plants, all located within its service area in the State of Maine. It also owns approximately 600 miles of transmission lines and approximately 3600 miles of distribution lines, all being located within its service area in the State of Maine. A map of Bangor Hydro's service area indicating major transmission lines and the location of generating plants is attached hereto. In addition, Bangor Hydro has an approximate 7% ownership interest in Maine Yankee Atomic Power Company in Wiscasset, Maine, a nuclear generating facility, an 8.33% interest as a tenant in common with other utilities in Wyman Unit No. 4, a fossil fuel generating unit located in Yarmouth, Maine. As indicated above, MEPCO owns a 345 KV transmission line and PHC owns a 50% interest in a hydroelectric facility. 3. Bangor Hydro submits the following information with respect to its sales and purchases of electric energy during the calendar year 1997: (a) 1,782,061,515 KWH of electric energy sold (at retail and wholesale). (b) None KWH distributed at retail outside the State of Maine. (c) 137,132,070 KWH of electric energy sold at wholesale outside of Maine or at the State line sold through the New England Power Pool. (d) 1,555,719,200 KWH purchased outside the State of Maine or at the State line. 4. Bangor Hydro has no direct or indirect interest in an EWG or a foreign utility company. EXHIBIT A --------- The consolidating statements of income and surplus of Bangor Hydro and its subsidiary companies for the calendar year 1997 together with consolidating balance sheets of Bangor Hydro and its subsidiary companies as of the close of the calendar year 1997 are attached hereto as Exhibit A. With the exception of MEPCO, Penobscot Hydro Co., Inc. and Bangor Var Co., Inc., during 1997 the subsidiaries referred to in item 1 above considered in the aggregate would not constitute a significant subsidiary and their income is not material in relation to the total enterprise. Consequently, financial statements for such subsidiaries are not consolidated. In the case of MEPCO, the Chester SVC Partnership, Bangor-Pacific and Bangor Gas, financial statements are not consolidated because Bangor Hydro or its wholly-owned subsidiaries do not own a majority interest. The 1997 financial statements for East Branch Improvement Company which includes investment in its wholly owned subsidiaries, Godfrey Falls Dam Company and Sawtelle Brook Dam & Improvement Co. are included in Exhibit A as are the 1997 financial statements for MEPCO, the Chester SVC Partnership and Bangor-Pacific. EXHIBIT B --------- A Financial Data Schedule is attached as Exhibit B. EXHIBIT C --------- No organizational chart is attached because Bangor Hydro has no relationship with any EWG or foreign utility company. Bangor Hydro has caused this statement to be executed on its behalf by its duly authorized officer this 27th day of February, 1998. BANGOR HYDRO-ELECTRIC COMPANY by /s/ Frederick S. Samp ------------------------- Frederick S. Samp Chief Financial Officer (Corporate Seal) Attest: /s/ Andrew Landry ------------------- Andrew Landry Corporate Clerk Name, title and address of officer to whom notices and correspondence concerning this statement should be addressed: Frederick S. Samp Chief Financial Officer Bangor Hydro-Electric Company 33 State Street P.O. Box 932 Bangor, Maine 04402 Bangor Hydro-Electric Company Consolidating Statement of Income For the Twelve Months Ended December 31, 1997
Bangor Hydro PHC BVC Elimin. Reclassifications Totals Total Operating Revenue 173,177,667.34 991,208.92 0.00 (360,747.19) 13,516,249.50 187,324,378.57 --------------- -------------- -------------- -------------- --------------- --------------- Operating Expenses: Fuel for Generation and Purchased Power 79,176,471.59 0.00 0.00 0.00 13,615,370.39 92,791,841.98 Other Operation & Maintenance 32,471,111.43 37.70 0.00 0.00 0.00 32,471,149.13 Depreciation and Amortization 10,187,102.08 0.00 0.00 0.00 0.00 10,187,102.08 Amortization of Seabrook Nuclear Unit 1,699,050.00 0.00 0.00 0.00 0.00 1,699,050.00 Amortization of Contract Buyouts 23,218,499.84 0.00 0.00 0.00 0.00 23,218,499.84 Taxes - Property and Payroll 5,124,145.49 0.00 0.00 0.00 0.00 5,124,145.49 Federal and State Income (2,514,186.20) 590,341.00 8,143.00 0.00 (40,600.60) (1,956,302.80) --------------- -------------- -------------- -------------- --------------- --------------- Total Operating Expenses 149,362,194.23 590,378.70 8,143.00 0.00 13,574,769.79 163,535,485.72 --------------- -------------- -------------- -------------- --------------- --------------- Operating Income 23,815,473.11 400,830.22 (8,143.00) (360,747.19) (58,520.29) 23,788,892.85 --------------- -------------- -------------- -------------- --------------- --------------- Other Income and (Deductions): Allowance for Equity Funds Used During Construction 285,971.90 0.00 0.00 0.00 0.00 285,971.90 Other, Net of Applicable Income Taxes 979,269.03 0.00 19,156.72 (51,096.75) 58,520.29 1,005,849.29 --------------- -------------- -------------- -------------- --------------- --------------- 1,265,240.93 0.00 19,156.72 (51,096.75) 58,520.29 1,291,821.19 --------------- -------------- -------------- -------------- --------------- --------------- Income Before Interest Expense 25,080,714.04 400,830.22 11,013.72 (411,843.94) 0.00 25,080,714.04 --------------- -------------- -------------- -------------- --------------- --------------- Interest Expense: Long-term Debt 22,638,200.90 0.00 0.00 0.00 0.00 22,638,200.90 Other 3,392,168.44 0.00 0.00 0.00 0.00 3,392,168.44 Allowance for Borrowed Funds Used During Construction (562,966.00) 0.00 0.00 0.00 0.00 (562,966.00) --------------- -------------- -------------- -------------- --------------- --------------- 25,467,403.34 0.00 0.00 0.00 0.00 25,467,403.34 --------------- -------------- -------------- -------------- --------------- --------------- Net Income (Loss) (386,689.30) 400,830.22 11,013.72 (411,843.94) 0.00 (386,689.30) --------------- -------------- -------------- -------------- --------------- Preferred Dividend Accrual 1,375,888.39 -------------- (1,762,577.69) ============== Weighted Avg. No. of Shares Outstanding 7,363,424.00 ============== Earnings (Loss) Per Common Share (0.24) ============== Bangor Hydro-Electric Company Consolidating Statement of Retained Earnings For the Twelve Months Ended December 31, 1997 BHE PHC BVC Reclass. Elimin. Totals Retained Earnings Balance at Beginning of Year 14,534,517.98 1,342,808.55 591,161.48 0.00 (1,933,970.03) 14,534,517.98 Add: Net Income Year to Date (386,689.30) 400,830.22 11,013.72 0.00 (411,843.94) (386,689.30) --------------- -------------- -------------- -------------- --------------- --------------- Total 14,147,828.68 1,743,638.77 602,175.20 0.00 (2,345,813.97) 14,147,828.68 --------------- -------------- -------------- -------------- --------------- --------------- Deduct: Dividends - Preferred Stock (1,314,984.67) 0.00 0.00 0.00 0.00 (1,314,984.67) Common Stock 0.00 (400,000.00) (542,500.00) 0.00 942,500.00 0.00 Other (60,903.72) 0.00 0.00 0.00 0.00 (60,903.72) --------------- -------------- -------------- -------------- --------------- --------------- Total (1,375,888.39) (400,000.00) (542,500.00) 0.00 942,500.00 (1,375,888.39) --------------- -------------- -------------- -------------- --------------- --------------- Retained Earnings at End of Period 12,771,940.29 1,343,638.77 59,675.20 0.00 (1,403,313.97) 12,771,940.29 =============== ============== ============== ============== =============== =============== BANGOR HYDRO-ELECTRIC COMPANY CONSOLIDATING BALANCE SHEET DECEMBER 31, 1997 Bangor Penobscot Bangor ASSETS Hydro Hydro Var Elimin. Reclasses Totals INVESTMENT IN UTILITY PLANT: Electric Plant in Service 341,008,966.90 0.00 0.00 0.00 0.00 341,008,966.90 Less: Accumulated Deprec- iation & Amortization 96,594,712.76 0.00 0.00 0.00 0.00 96,594,712.76 --------------- -------------- -------------- -------------- --------------- --------------- 244,414,254.14 0.00 0.00 0.00 0.00 244,414,254.14 Construction Work in Progress 7,812,532.94 0.00 0.00 0.00 4,198,713.01 12,011,245.95 --------------- -------------- -------------- -------------- --------------- --------------- 252,226,787.08 0.00 0.00 0.00 4,198,713.01 256,425,500.09 Investments in Corporate Joint Ventures: Maine Yankee Atomic Power Co. 5,531,912.20 0.00 0.00 0.00 0.00 5,531,912.20 Maine Electric Power Co. 329,440.01 0.00 0.00 0.00 (3,434.76) 326,005.25 --------------- -------------- -------------- -------------- --------------- --------------- 258,088,139.29 0.00 0.00 0.00 4,195,278.25 262,283,417.54 --------------- -------------- -------------- -------------- --------------- --------------- OTHER INVESTMENTS 2,633,646.42 4,043,880.33 0.00 (1,403,313.97) 0.00 5,274,212.78 --------------- -------------- -------------- -------------- --------------- --------------- FUNDS HELD BY TRUSTEE: 21,195,772.21 0.00 0.00 0.00 0.00 21,195,772.21 --------------- -------------- -------------- -------------- --------------- --------------- CURRENT ASSETS: Cash & Cash Equivalents 829,611.83 1,876.97 105,306.81 0.00 0.00 936,795.61 Accounts Receivable, Net 16,616,390.90 0.00 0.00 (4,849.00) 3,434.76 16,614,976.66 Unbilled Revenue Receivable 11,605,163.00 0.00 0.00 0.00 0.00 11,605,163.00 Inventories, at Average Cost: 0.00 0.00 0.00 0.00 0.00 0.00 Materials and Supplies 2,759,090.70 0.00 0.00 0.00 0.00 2,759,090.70 Fuel Oil 34,770.95 0.00 0.00 0.00 0.00 34,770.95 Prepaid Expenses 574,603.78 0.00 0.00 0.00 631,992.48 1,206,596.26 Deferred Maine Yankee Refueling Costs 285,894.00 0.00 0.00 0.00 0.00 285,894.00 --------------- -------------- -------------- -------------- --------------- --------------- Total Current Assets 32,705,525.16 1,876.97 105,306.81 (4,849.00) 635,427.24 33,443,287.18 --------------- -------------- -------------- -------------- --------------- --------------- DEFERRED CHARGES: Investment in Seabrook Nuclear Project 30,367,928.65 0.00 0.00 0.00 0.00 30,367,928.65 Costs to Terminate Purchased Power Contracts 147,632,924.05 0.00 0.00 0.00 0.00 147,632,924.05 Maine Yankee Decommissioning Costs 60,923,839.57 0.00 0.00 0.00 0.00 60,923,839.57 Investment in Basin Mills 8,958,762.19 0.00 0.00 0.00 (263,222.74) 8,695,539.45 Deferred Regulatory Assets 434,924.77 0.00 0.00 0.00 32,116,456.00 32,551,380.77 Demand-side Management Costs 1,705,310.72 0.00 0.00 0.00 0.00 1,705,310.72 Other 9,140,208.73 0.00 0.00 0.00 (3,935,490.27) 5,204,718.46 --------------- -------------- -------------- -------------- --------------- --------------- Total Deferred Charges 259,163,898.68 0.00 0.00 0.00 27,917,742.99 287,081,641.67 --------------- -------------- -------------- -------------- --------------- --------------- Total Assets 573,786,981.76 4,045,757.30 105,306.81 (1,408,162.97) 32,748,448.48 609,278,331.38 =============== ============== ============== ============== =============== =============== BANGOR HYDRO-ELECTRIC COMPANY CONSOLIDATING BALANCE SHEET DECEMBER 31, 1997 Bangor Penobscot Bangor Hydro Hydro Var Elimin. Reclasses Totals STOCKHOLDERS' INVESTMENT & LIABILITIES CAPITALIZATION: Common Stock Investment 106,558,488.13 1,343,638.77 59,675.20 (1,403,313.97) 0.00 106,558,488.13 Preferred Stock 4,734,000.00 0.00 0.00 0.00 0.00 4,734,000.00 Preferred Stock Subject to Man- datory Redemption Exclusive of Current Sinking Fund Requirements 9,137,160.20 0.00 0.00 0.00 0.00 9,137,160.20 Long-term Debt, Net of Current Portion 243,642,897.00 0.00 0.00 0.00 0.00 243,642,897.00 --------------- -------------- -------------- -------------- --------------- --------------- Total Capitalization 364,072,545.33 1,343,638.77 59,675.20 (1,403,313.97) 0.00 364,072,545.33 --------------- -------------- -------------- -------------- --------------- --------------- CURRENT LIABILITIES: Notes Payable-Banks 34,000,000.00 0.00 0.00 0.00 0.00 34,000,000.00 --------------- -------------- -------------- -------------- --------------- --------------- Other Current Liabilities- Current Portion of Long-term Debt and Sinking Fund Requirements on Preferred Stock 30,172,468.30 0.00 0.00 0.00 0.00 30,172,468.30 Accounts Payable 12,538,959.19 4,849.00 0.00 (4,849.00) 631,992.48 13,170,951.67 Dividends Payable 327,443.47 0.00 0.00 0.00 0.00 327,443.47 Accrued Interest 3,666,640.86 0.00 0.00 0.00 0.00 3,666,640.86 Customers' Deposits 296,706.10 0.00 0.00 0.00 0.00 296,706.10 Deferred Revenue 1,570,994.81 0.00 0.00 0.00 0.00 1,570,994.81 Current Income Taxes Payable (34,576,943.99) (2,693,163.27) (1,524,257.06) 0.00 38,802,132.32 7,768.00 --------------- -------------- -------------- -------------- --------------- --------------- Total Other Current Liabilities 13,996,268.74 (2,688,314.27) (1,524,257.06) (4,849.00) 39,434,124.80 49,212,973.21 --------------- -------------- -------------- -------------- --------------- --------------- Total Current Liabilties 47,996,268.74 (2,688,314.27) (1,524,257.06) (4,849.00) 39,434,124.80 83,212,973.21 --------------- -------------- -------------- -------------- --------------- --------------- DEFERRED CREDITS & RESERVES: Deferred Income Taxes - Seabrook 7,489,447.00 0.00 0.00 0.00 8,276,364.00 15,765,811.00 Other Accumulated Deferred Income Taxes 73,832,616.81 5,390,432.80 1,569,888.67 0.00 (24,934,286.32) 55,858,651.96 Maine Yankee Decommissioning Costs 60,925,586.16 0.00 0.00 0.00 0.00 60,925,586.16 Deferred Regulatory Liability 0.00 0.00 0.00 0.00 9,972,246.00 9,972,246.00 Unamort. Invest. Tax Credits 1,962,014.00 0.00 0.00 0.00 0.00 1,962,014.00 Accrued Pension 658,880.00 0.00 0.00 0.00 0.00 658,880.00 Reserve for Basin Mills 8,695,539.45 0.00 0.00 0.00 0.00 8,695,539.45 Other 8,154,084.27 0.00 0.00 0.00 0.00 8,154,084.27 --------------- -------------- -------------- -------------- --------------- --------------- Total Deferred Credits and Reserves 161,718,167.69 5,390,432.80 1,569,888.67 0.00 (6,685,676.32) 161,992,812.84 --------------- -------------- -------------- -------------- --------------- --------------- Total Stockholders' Invest- ment and Liabilities 573,786,981.76 4,045,757.30 105,306.81 (1,408,162.97) 32,748,448.48 609,278,331.38 =============== ============== ============== ============== =============== ===============
EAST BRANCH IMPROVEMENT COMPANY BALANCE SHEETS DECEMBER 31, 1997 AND 1996 1997 1996 ASSETS Current Assets: Cash and cash equivalents $8,024 $8,536 Accounts receivable 25,000 37,500 Prepaid taxes 15,245 16,127 ------------------------ Total Current Assets $48,269 $62,163 ------------------------ Investments: Godfrey Falls Dam Company $2,850 $2,850 Sawtelle Brook Dam and Improvement Company 825 825 ------------------------ Total Investments $3,675 $3,675 ------------------------ Property and Equipment: Dams, Builds., Equip., Land & Land Rights $1,217,103 $1,217,103 Accumulated Depreciation (725,573) (699,669) ------------------------ Net Property and Equipment $491,530 $517,434 ------------------------ Total Assets $543,474 $583,272 ======================== LIABILITIES AND CAPITALIZATION Current Liabilities: Accounts Payable-Bangor Hydro-Electric Co. $24,158 $33,291 Other Accrued Expenses 761 761 ------------------------ Total Current Liabilities $24,919 $34,052 ------------------------ Long-term Liabilities: Deferred Federal and State Income Taxes $154,376 $155,348 ------------------------ Capitalization: Common Stock $302,925 $302,925 Retained Earnings 61,254 90,947 ------------------------ Total Capitalization $364,179 $393,872 ------------------------ $543,474 $583,272 ======================== Unaudited - For Management Discussion Purposes Only EAST BRANCH IMPROVEMENT COMPANY STATEMENTS OF OPERATIONS AND RETAINED EARNINGS FOR THE YEARS ENDED DECEMBER 31, 1997, 1996, AND 1995 1997 1996 1995 Revenues: Downstream Charges $100,000 $150,000 $150,000 ------------------------------------ Expenses: Operation and Maintenance $74,622 $65,549 $74,441 Depreciation Expense 25,904 25,859 28,169 Property and Payroll Taxes 31,189 34,104 29,288 Income Taxes (972) (5,648) (2,220) ------------------------------------ Total Expenses $130,743 $119,864 $129,678 ------------------------------------ Gross Profit (Loss) ($30,743) $30,136 $20,322 ------------------------------------ Other Income: Interest and Rental Income $1,050 $50 $550 ------------------------------------ Net Income (Loss) ($29,693) $30,186 $20,872 Add: Retained Earnings Balance at Beginning of Year 90,947 60,761 39,889 ------------------------------------ Retained Earnings at End of Year $61,254 $90,947 $60,761 ==================================== Unaudited - For Management Discussion Purposes Only MAINE ELECTRIC POWER COMPANY STATEMENT OF INCOME FOR PERIOD ENDING DECEMBER 31, 1997 AND 1996 ( Dollars in thousands except per share amounts ) 1997 1996 OPERATING REVENUES SALES FOR RESALE $ 21,172 $ 52,580 WHEELING 2,696 2,852 SUPPORT CHARGES AND OTHER 605 (41) --------- --------- TOTAL OPERATING REVENUES $ 24,473 $ 55,391 OPERATING EXPENSES PURCHASED POWER $ 21,172 $ 52,580 OPERATION & MAINTENANCE 1,182 1,252 DEPRECIATION 222 845 TAXES FEDERAL/STATE INCOME 589 200 LOCAL PROPERTY/OTHER 384 483 --------- --------- TOTAL OPERATING EXPENSES $ 23,549 $ 55,360 OPERATING INCOME $ 924 $ 31 ALLOWANCE FOR EQUITY FUNDS USED DURING CONSTRUCTION - - OTHER INCOME AND DEDUCTIONS 294 250 FEDERAL AND STATE TAXES (79) --------- --------- INCOME BEFORE INTEREST CHARGES $ 1,139 $ 281 --------- --------- INTEREST CHARGES SHORT-TERM DEBT $ 20 $ 23 LONG-TERM DEBT 47 38 OTHER INTEREST CHARGES-NET - - ALLOWANCE FOR BORROWED FUNDS USED DURING CONSTRUCTION - - --------- --------- TOTAL INTEREST CHARGES $ 67 $ 61 --------- --------- NET INCOME $ 1,072 $ 220 ========= ========= WEIGHTED AVERAGE NUMBER OF SHARES OF COMMON STOCK OUTSTANDING 8,785 8,785 ========= ========= EARNINGS PER SHARE COMMON STOCK $ 122.10 $ 25.06 ========= ========= MAINE ELECTRIC POWER COMPANY BALANCE SHEET AT DECEMBER 31, 1997 AND 1996 ( Dollars in thousands ) 1997 1996 ELECTRIC PROPERTY, ORIGINAL COST $ 23,510 $ 23,146 LESS:ACCUMULATED DEPRECIATION 22,618 22,545 --------- --------- $ 892 $ 601 CONSTRUCTION WORK IN PROGRESS 25 210 --------- --------- NET ELECTRIC PROPERTY $ 917 $ 811 --------- --------- CURRENT ASSETS CASH AND CASH EQUIVALENTS $ 1,859 $ 1,282 ACCOUNTS RECEIVABLE 386 7,344 ACCRUED TAXES 341 - OTHER CURRENT ASSETS 142 149 --------- --------- TOTAL CURRENT ASSETS $ 2,728 $ 8,775 --------- --------- DEFERRED CHARGES $ 717 $ 1,141 --------- --------- $ 4,362 $ 10,727 ========= ========= COMMON STOCK INVESTMENT AND LIABILITIES CAPITALIZATION COMMON STOCK, $100 PAR VALUE, AUTHORIZED 20,000 SHARES, OUTSTANDING 8,785. $ 878 $ 878 RETAINED EARNINGS 1,486 119 --------- --------- TOTAL COMMON STOCK EQUITY $ 2,364 $ 997 LONG TERM NOTES DUE IN ANNUAL INSTALLMENTS THROUGH JULY 1, 1997- LESS CURRENT SINKING FUND REQUIREMENT $ 420 $ 620 --------- --------- TOTAL CAPITALIZATION $ 2,784 $ 1,617 --------- --------- CURRENT LIABILITIES CURRENT SINKING FUND REQUIREMENT $ 200 $ 200 ACCOUNTS PAYABLE 505 577 DIVIDENDS PAYABLE 24 24 ACCRUED PURCHASED POWER - 6,989 ACCRUED INTEREST. TAXES AND OTHER 13 181 --------- --------- TOTAL CURRENT LIABILITIES $ 742 $ 7,971 --------- --------- DEFERRED CREDITS ACCUMULATED DEFERRED INCOME TAXES $ 216 $ 243 UNAMORTIZED INVESTMENT TAX CREDITS 21 29 OTHER DEFERRED CREDITS 599 867 --------- --------- TOTAL DEFERRED CREDITS $ 836 $ 1,139 --------- --------- $ 4,362 $ 10,727 ========= ========= BANGOR-PACIFIC HYDRO ASSOCIATES AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS DECEMBER 31, 1997 AND 1996 ASSETS 1997 1996 Current Assets: Cash and Cash Equivalents $2,070,519.62 $1,727,434.15 Accounts Receivable 1,039,235.96 1,368,181.65 Prepaid Expenses 19,277.25 18,845.72 ------------------------------ Total Current Assets $3,129,032.83 $3,114,461.52 ------------------------------ Property, Plant and Equipment, at Cost $44,047,264.87 $44,042,793.25 Less: Accumulated Depreciation (8,163,073.04) (7,293,156.47) ------------------------------ $35,884,191.83 $36,749,636.78 ------------------------------ TOTAL ASSETS $39,013,224.66 $39,864,098.30 ============================== LIABILITIES AND PARTNERS' CAPITAL Current Liabilities: Current Portion of Long-term Debt $2,100,000.00 $2,000,000.00 Accrued Expenses 55,113.03 69,606.24 Accrued Interest 270,351.00 289,149.26 ------------------------------ Total Current Liabilities $2,425,464.03 $2,358,755.50 Long-term Debt, Net of Current Portion 28,499,999.98 30,599,999.98 ------------------------------ Total Liabilities $30,925,464.01 $32,958,755.48 Partners' Capital 8,087,760.65 6,905,342.82 ------------------------------ TOTAL LIABILITIES AND PARTNERS' CAPITAL $39,013,224.66 $39,864,098.30 ============================== UNAUDITED-FOR MANAGEMENT DISCUSSION PURPOSES ONLY BANGOR-PACIFIC HYDRO ASSOCIATES AND SUBSIDIARY CONSOLIDATED STATEMENTS OF INCOME AND PARTNERS' CAPITAL FOR THE YEARS ENDED DECEMBER 31, 1997, 1996 and 1995 1997 1996 1995 REVENUES: Sale of Power $7,057,018.19 $8,252,355.39 $7,276,621.59 -------------------------------------------- EXPENSES: Operation and Maintenance $455,641.94 $358,853.00 $282,291.53 Depreciation expense 869,916.57 866,213.00 862,279.00 Property Taxes 416,847.82 416,689.97 403,941.64 Prop., Personal, & Liab. Insur. 76,677.47 73,449.78 29,682.63 Royalty Expense 65,103.32 85,452.70 67,444.15 G & A Expenses-Pacific Energy/Ogden 1,000.00 4,851.29 11,455.60 G & A Expenses-Bangor Hydro 14,110.06 10,871.79 18,615.37 -------------------------------------------- Total Expenses $1,899,297.18 $1,816,381.53 $1,675,709.92 -------------------------------------------- Operating Income $5,157,721.01 $6,435,973.86 $5,600,911.67 -------------------------------------------- OTHER INCOME AND (EXPENSE): Interest Expense ($3,294,184.24)($3,501,016.66)($3,657,357.35) Investment and Other Income 118,881.06 117,942.55 107,032.28 -------------------------------------------- ($3,175,303.18)($3,383,074.11)($3,550,325.07) -------------------------------------------- NET INCOME $1,982,417.83 $3,052,899.75 $2,050,586.60 Partners' Capital Beginning of Year 6,905,342.82 6,152,443.07 4,641,856.47 Less: Partners' Distributions (800,000.00) (2,300,000.00) (540,000.00) -------------------------------------------- Partners' Capital End of Year $8,087,760.65 $6,905,342.82 $6,152,443.07 ============================================ UNAUDITED-FOR MANAGEMENT DISCUSSION PURPOSES ONLY Chester SVC Partnership Balance Sheets December 31, 1997 and 1996 1997 1996 ASSETS Electric Property, Original Cost $31,993,248 $31,993,248 Less: Accumulated Depreciation (7,447,047) (6,371,571) ---------------------------- Net Electric Property $24,546,201 $25,621,677 ---------------------------- Current Assets Cash $131,745 $180,775 Temporary Investments 200,000 200,000 Accounts Receivable 360,531 380,756 Other Current Assets 77,946 96,209 ---------------------------- Total Current Assets $770,222 $857,740 ---------------------------- Other Assets Deferred Charges $581,361 $606,822 Special Funds 1,735,654 1,811,668 ---------------------------- Total Other Assets $2,317,015 $2,418,490 ---------------------------- TOTAL ASSETS $27,633,438 $28,897,907 ============================ LIABILITIES AND PARTNERS' CAPITAL Capitalization Partners' Capital $0 $0 Notes Payable, Less Current Portion 25,837,439 27,020,529 ---------------------------- Total Capitalization $25,837,439 $27,020,529 ---------------------------- Current Liabilities Notes Payable $1,183,090 $1,183,090 Accounts Payable 96,989 209,692 Accrued Interest 220,795 80,661 Advanced Billing - NHH 295,125 403,935 ---------------------------- Total Current Liabilities $1,795,999 $1,877,378 ---------------------------- TOTAL LIABILITIES AND PARTNERS' CAPITAL $27,633,438 $28,897,907 ============================ Chester SVC Partnership Statement of Income For the Years Ended December 31, 1997, 1996 and 1995 1997 1996 1995 Operating Revenues $4,642,147 $4,782,131 $5,016,259 ------------------------------------------ Operating Expenses: Operation & Maintenance $694,946 $709,345 $829,974 Depreciation 1,075,476 1,075,476 1,075,038 Taxes - Property 156,565 156,640 156,716 ------------------------------------------ Total Operating Expenses $1,926,987 $1,941,461 $2,061,728 ------------------------------------------ Operating Income $2,715,160 $2,840,670 $2,954,531 ------------------------------------------ Other Expense(Income) Interest Charges $2,858,677 $2,987,954 $3,114,299 Interest Income (143,517) (147,284) (159,768) ------------------------------------------ Total Other Expense(Income) $2,715,160 $2,840,670 $2,954,531 ------------------------------------------ Net Income $0 $0 $0 ========================================== EX-27 2 FINANCIAL DATA SCHEDULE FOR FORM U3A2
UT This schedule contains summary financial information extracted from Form U3A2 for Bangor Hydro-Electric Company for the year ended 12/31/97 and is qualified in its entirety by reference to such U3A2. 0000009548 BANGOR HYDRO-ELECTRIC COMPANY 1,000 12-MOS DEC-31-1997 DEC-31-1997 PER-BOOK 244,414 44,339 33,443 278,387 0 600,583 36,817 56,970 12,771 106,558 9,137 4,734 243,643 0 34,000 0 28,578 1,594 0 0 172,339 600,583 187,324 (1,956) 165,491 163,535 23,789 1,292 25,081 25,467 (386) 1,376 (1,762) 0 22,638 36,373 (.24) (.24)
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