Exhibit 99.2
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(Millions, except per share amounts) | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Six Months | |||||||||||||||
Ended June 30 | Ended June 30 | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
OPERATING REVENUES: | ||||||||||||||||
Gas utility | $ | 122.9 | $ | 139.1 | $ | 591.0 | $ | 666.5 | ||||||||
Electric utility | 151.0 | 132.7 | 295.9 | 257.7 | ||||||||||||
Nonutility revenues | 128.5 | 103.7 | 255.8 | 246.5 | ||||||||||||
Total operating revenues | 402.4 | 375.5 | 1,142.7 | 1,170.7 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Cost of gas sold | 41.5 | 58.0 | 339.3 | 412.6 | ||||||||||||
Cost of fuel and purchased power | 57.8 | 50.3 | 115.8 | 97.3 | ||||||||||||
Cost of nonutility revenues | 49.4 | 43.3 | 109.9 | 117.5 | ||||||||||||
Other operating | 132.3 | 125.3 | 261.2 | 248.0 | ||||||||||||
Depreciation and amortization | 57.2 | 53.0 | 113.0 | 104.4 | ||||||||||||
Taxes other than income taxes | 12.1 | 13.2 | 35.2 | 36.7 | ||||||||||||
Total operating expenses | 350.3 | 343.1 | 974.4 | 1,016.5 | ||||||||||||
OPERATING INCOME | 52.1 | 32.4 | 168.3 | 154.2 | ||||||||||||
OTHER INCOME (EXPENSE): | ||||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | (13.9 | ) | (23.3 | ) | (5.7 | ) | (10.7 | ) | ||||||||
Other income - net | 0.9 | 4.1 | 0.4 | 6.5 | ||||||||||||
Total other income (expense) | (13.0 | ) | (19.2 | ) | (5.3 | ) | (4.2 | ) | ||||||||
INTEREST EXPENSE | 26.0 | 25.5 | 52.0 | 48.2 | ||||||||||||
INCOME (LOSS) BEFORE INCOME TAXES | 13.1 | (12.3 | ) | 111.0 | 101.8 | |||||||||||
INCOME TAXES | 4.4 | (5.6 | ) | 39.1 | 35.7 | |||||||||||
NET INCOME (LOSS) | $ | 8.7 | $ | (6.7 | ) | $ | 71.9 | $ | 66.1 | |||||||
AVERAGE COMMON SHARES OUTSTANDING | 81.0 | 80.7 | 81.0 | 80.7 | ||||||||||||
DILUTED COMMON SHARES OUTSTANDING | 81.2 | 80.7 | 81.2 | 80.7 | ||||||||||||
EARNINGS (LOSS) PER SHARE OF COMMON STOCK | ||||||||||||||||
BASIC | $ | 0.11 | $ | (0.08 | ) | $ | 0.89 | $ | 0.82 | |||||||
DILUTED | $ | 0.11 | $ | (0.08 | ) | $ | 0.89 | $ | 0.82 |
��
VECTREN UTILITY HOLDINGS | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(Millions) | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Six Months | |||||||||||||||
Ended June 30 | Ended June 30 | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
OPERATING REVENUES: | ||||||||||||||||
Gas utility | $ | 122.9 | $ | 139.1 | $ | 591.0 | $ | 666.5 | ||||||||
Electric utility | 151.0 | 132.7 | 295.9 | 257.7 | ||||||||||||
Other | 0.4 | 0.4 | 0.8 | 0.8 | ||||||||||||
Total operating revenues | 274.3 | 272.2 | 887.7 | 925.0 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Cost of gas sold | 41.5 | 58.0 | 339.3 | 412.6 | ||||||||||||
Cost of fuel and purchased power | 57.8 | 50.3 | 115.8 | 97.3 | ||||||||||||
Other operating | 71.2 | 78.7 | 152.8 | 158.0 | ||||||||||||
Depreciation and amortization | 46.8 | 45.0 | 93.3 | 88.9 | ||||||||||||
Taxes other than income taxes | 11.6 | 12.6 | 33.9 | 35.4 | ||||||||||||
Total operating expenses | 228.9 | 244.6 | 735.1 | 792.2 | ||||||||||||
OPERATING INCOME | 45.4 | 27.6 | 152.6 | 132.8 | ||||||||||||
OTHER INCOME - NET | 0.8 | 2.5 | 3.0 | 4.0 | ||||||||||||
INTEREST EXPENSE | 20.3 | 20.0 | 40.6 | 38.7 | ||||||||||||
INCOME BEFORE INCOME TAXES | 25.9 | 10.1 | 115.0 | 98.1 | ||||||||||||
INCOME TAXES | 9.7 | 3.5 | 43.4 | 35.3 | ||||||||||||
NET INCOME | $ | 16.2 | $ | 6.6 | $ | 71.6 | $ | 62.8 |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(Millions - Unaudited) | ||||||||
June 30, | December 31, | |||||||
2010 | 2009 | |||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash & cash equivalents | $ | 16.8 | $ | 11.9 | ||||
Accounts receivable - less reserves of $4.7 & | ||||||||
$5.2, respectively | 138.7 | 162.4 | ||||||
Accrued unbilled revenues | 58.2 | 144.7 | ||||||
Inventories | 160.3 | 167.8 | ||||||
Recoverable fuel & natural gas costs | 3.2 | - | ||||||
Prepayments & other current assets | 76.3 | 95.1 | ||||||
Total current assets | 453.5 | 581.9 | ||||||
Utility Plant | ||||||||
Original cost | 4,697.1 | 4,601.4 | ||||||
Less: accumulated depreciation & amortization | 1,779.7 | 1,722.6 | ||||||
Net utility plant | 2,917.4 | 2,878.8 | ||||||
Investments in unconsolidated affiliates | 169.9 | 186.2 | ||||||
Other utility and corporate investments | 32.8 | 33.2 | ||||||
Other nonutility investments | 40.6 | 46.2 | ||||||
Nonutility property - net | 486.0 | 482.6 | ||||||
Goodwill - net | 242.0 | 242.0 | ||||||
Regulatory assets | 174.8 | 187.9 | ||||||
Other assets | 29.5 | 33.0 | ||||||
TOTAL ASSETS | $ | 4,546.5 | $ | 4,671.8 | ||||
LIABILITIES & SHAREHOLDERS' EQUITY | ||||||||
Current Liabilities | ||||||||
Accounts payable | $ | 115.5 | $ | 183.8 | ||||
Accounts payable to affiliated companies | 25.4 | 54.1 | ||||||
Refundable fuel & natural gas costs | 1.3 | 22.3 | ||||||
Accrued liabilities | 186.0 | 174.7 | ||||||
Short-term borrowings | 145.6 | 213.5 | ||||||
Current maturities of long-term debt | 49.1 | 48.0 | ||||||
Long-term debt subject to tender | 41.3 | 51.3 | ||||||
Total current liabilities | 564.2 | 747.7 | ||||||
Long-term Debt - Net of Current Maturities & | ||||||||
Debt Subject to Tender | 1,549.4 | 1,540.5 | ||||||
Deferred Income Taxes & Other Liabilities | ||||||||
Deferred income taxes | 480.2 | 458.7 | ||||||
Regulatory liabilities | 327.8 | 322.1 | ||||||
Deferred credits & other liabilities | 205.8 | 205.6 | ||||||
Total deferred credits & other liabilities | 1,013.8 | 986.4 | ||||||
Common Shareholders' Equity | ||||||||
Common stock (no par value) – issued & outstanding | ||||||||
81.2 and 81.1 shares, respectively | 670.7 | 666.8 | ||||||
Retained earnings | 754.1 | 737.2 | ||||||
Accumulated other comprehensive income (loss) | (5.7 | ) | (6.8 | ) | ||||
Total common shareholders' equity | 1,419.1 | 1,397.2 | ||||||
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY | $ | 4,546.5 | $ | 4,671.8 |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(Millions - Unaudited) | ||||||||
For the six months ended | ||||||||
June 30, | ||||||||
2010 | 2009 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | $ | 71.9 | $ | 66.1 | ||||
Adjustments to reconcile net income to cash from operating activities: | ||||||||
Depreciation & amortization | 113.0 | 104.4 | ||||||
Deferred income taxes & investment tax credits | 17.6 | 20.5 | ||||||
Equity in losses of unconsolidated affiliates | 5.7 | 10.7 | ||||||
Provision for uncollectible accounts | 10.2 | 9.4 | ||||||
Expense portion of pension & postretirement benefit cost | 4.5 | 5.9 | ||||||
Other non-cash charges - net | 14.5 | (0.8 | ) | |||||
Changes in working capital accounts: | ||||||||
Accounts receivable & accrued unbilled revenue | 100.0 | 232.3 | ||||||
Inventories | 7.5 | 23.8 | ||||||
Recoverable/refundable fuel & natural gas costs | (24.2 | ) | 26.5 | |||||
Prepayments & other current assets | 17.6 | 67.5 | ||||||
Accounts payable, including to affiliated companies | (98.8 | ) | (185.2 | ) | ||||
Accrued liabilities | 14.0 | (2.6 | ) | |||||
Unconsolidated affiliate dividends | 12.2 | 10.9 | ||||||
Employer contributions to pension & postretirement plans | (8.2 | ) | (16.4 | ) | ||||
Changes in noncurrent assets | 9.5 | 5.0 | ||||||
Changes in noncurrent liabilities | (8.3 | ) | (10.1 | ) | ||||
Net cash flows from operating activities | 258.7 | 367.9 | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Proceeds from: | ||||||||
Dividend reinvestment plan & other | 3.1 | 3.1 | ||||||
Long-term debt | - | 290.8 | ||||||
Requirements for: | ||||||||
Dividends on common stock | (55.1 | ) | (54.1 | ) | ||||
Retirement of long-term debt | (1.6 | ) | (1.7 | ) | ||||
Net change in short-term borrowings | (67.9 | ) | (430.7 | ) | ||||
Net cash flows from financing activities | (121.5 | ) | (192.6 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Proceeds from: | ||||||||
Unconsolidated affiliate distributions | 0.5 | - | ||||||
Other collections | 6.8 | 1.1 | ||||||
Requirements for: | ||||||||
Capital expenditures, excluding AFUDC equity | (137.2 | ) | (213.6 | ) | ||||
Unconsolidated affiliate investments | (0.1 | ) | (0.1 | ) | ||||
Other investments | (2.3 | ) | (0.8 | ) | ||||
Net cash flows from investing activities | (132.3 | ) | (213.4 | ) | ||||
Net change in cash & cash equivalents | 4.9 | (38.1 | ) | |||||
Cash & cash equivalents at beginning of period | 11.9 | 93.2 | ||||||
Cash & cash equivalents at end of period | $ | 16.8 | $ | 55.1 |
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
HIGHLIGHTS | ||||||||||||||||
(millions, except per share amounts) | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Six Months | |||||||||||||||
Ended June 30 | Ended June 30 | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
REPORTED EARNINGS: | ||||||||||||||||
Utility Group | $ | 16.2 | $ | 6.6 | $ | 71.6 | $ | 62.8 | ||||||||
Nonutility Group | ||||||||||||||||
Energy Marketing and Services | (8.9 | ) | (4.7 | ) | 1.3 | 10.8 | ||||||||||
Charge related to Liberty Gas Storage Investment | - | (11.9 | ) | - | (11.9 | ) | ||||||||||
Subtotal Energy Marketing and Services | (8.9 | ) | (16.6 | ) | 1.3 | (1.1 | ) | |||||||||
Coal Mining | 1.7 | 0.7 | 5.6 | 3.4 | ||||||||||||
Energy Infrastructure Services | 3.7 | 3.6 | 0.4 | 3.0 | ||||||||||||
Other Businesses | (4.0 | ) | (0.7 | ) | (7.0 | ) | (1.8 | ) | ||||||||
Total Nonutility Group | (7.5 | ) | (13.0 | ) | 0.3 | 3.5 | ||||||||||
Corporate and Other | - | (0.3 | ) | - | (0.2 | ) | ||||||||||
Vectren Consolidated | $ | 8.7 | $ | (6.7 | ) | $ | 71.9 | $ | 66.1 | |||||||
REPORTED EPS | $ | 0.11 | $ | (0.08 | ) | $ | 0.89 | $ | 0.82 |
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
SELECTED GAS DISTRIBUTION | ||||||||||||||||
OPERATING STATISTICS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Six Months | |||||||||||||||
Ended June 30 | Ended June 30 | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
GAS OPERATING REVENUES (Millions): | ||||||||||||||||
Residential | $ | 82.6 | $ | 94.1 | $ | 406.4 | $ | 457.2 | ||||||||
Commercial | 26.4 | 31.7 | 148.0 | 172.4 | ||||||||||||
Industrial | 11.0 | 10.5 | 29.8 | 29.0 | ||||||||||||
Other Revenue | 2.9 | 2.8 | 6.8 | 7.9 | ||||||||||||
$ | 122.9 | $ | 139.1 | $ | 591.0 | $ | 666.5 | |||||||||
GAS MARGIN (Millions): | ||||||||||||||||
Residential | $ | 54.2 | $ | 53.7 | $ | 167.4 | $ | 168.8 | ||||||||
Commercial | 13.9 | 14.8 | 50.7 | 52.3 | ||||||||||||
Industrial | 10.2 | 9.3 | 26.4 | 24.4 | ||||||||||||
Other | 3.1 | 3.3 | 7.2 | 8.4 | ||||||||||||
$ | 81.4 | $ | 81.1 | $ | 251.7 | $ | 253.9 | |||||||||
GAS SOLD & TRANSPORTED (MMDth): | ||||||||||||||||
Residential | 6.1 | 8.6 | 44.4 | 45.4 | ||||||||||||
Commercial | 2.8 | 4.0 | 19.1 | 19.8 | ||||||||||||
Industrial | 19.2 | 15.7 | 45.8 | 39.8 | ||||||||||||
28.1 | 28.3 | 109.3 | 105.0 | |||||||||||||
AVERAGE GAS CUSTOMERS | ||||||||||||||||
Residential | 894,200 | 892,613 | 901,462 | 901,114 | ||||||||||||
Commercial | 82,470 | 82,901 | 83,201 | 83,708 | ||||||||||||
Industrial | 1,636 | 1,633 | 1,627 | 1,622 | ||||||||||||
978,306 | 977,147 | 986,290 | 986,444 | |||||||||||||
YTD WEATHER AS A PERCENT OF NORMAL: | ||||||||||||||||
Heating Degree Days (Ohio) | 65 | % | 99 | % | 103 | % | 104 | % |
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
SELECTED ELECTRIC | ||||||||||||||||
OPERATING STATISTICS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Six Months | |||||||||||||||
Ended June 30 | Ended June 30 | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
ELECTRIC OPERATING REVENUES (Millions): | ||||||||||||||||
Residential | $ | 48.6 | $ | 45.4 | $ | 97.9 | $ | 89.0 | ||||||||
Commercial | 39.7 | 37.7 | 72.9 | 68.7 | ||||||||||||
Industrial | 51.7 | 41.6 | 97.6 | 77.3 | ||||||||||||
Other Revenue | 1.5 | 1.5 | 3.4 | 3.0 | ||||||||||||
Total Retail | 141.5 | 126.2 | 271.8 | 238.0 | ||||||||||||
Net Wholesale Revenues | 9.5 | 6.5 | 24.1 | 19.7 | ||||||||||||
$ | 151.0 | $ | 132.7 | $ | 295.9 | $ | 257.7 | |||||||||
ELECTRIC MARGIN (Millions): | ||||||||||||||||
Residential | $ | 34.7 | $ | 32.4 | $ | 68.4 | $ | 63.4 | ||||||||
Commercial | 25.7 | 24.5 | 47.4 | 45.6 | ||||||||||||
Industrial | 24.8 | 20.3 | 47.2 | 38.9 | ||||||||||||
Other | 1.4 | 1.2 | 3.1 | 2.8 | ||||||||||||
Total Retail | 86.6 | 78.4 | 166.1 | 150.7 | ||||||||||||
Net Wholesale Margin | 6.6 | 4.0 | 14.0 | 9.7 | ||||||||||||
$ | 93.2 | $ | 82.4 | $ | 180.1 | $ | 160.4 | |||||||||
ELECTRICITY SOLD (GWh): | ||||||||||||||||
Residential | 356.2 | 334.8 | 767.4 | 712.6 | ||||||||||||
Commercial | 360.3 | 345.7 | 661.0 | 639.5 | ||||||||||||
Industrial | 697.1 | 557.4 | 1,307.5 | 1,066.4 | ||||||||||||
Other Sales - Street Lighting | 5.1 | 4.5 | 11.1 | 9.6 | ||||||||||||
Total Retail | 1,418.7 | 1,242.4 | 2,747.0 | 2,428.1 | ||||||||||||
Wholesale | 108.8 | 64.8 | 344.2 | 406.4 | ||||||||||||
1,527.5 | 1,307.2 | 3,091.2 | 2,834.5 | |||||||||||||
AVERAGE ELECTRIC CUSTOMERS | ||||||||||||||||
Residential | 122,754 | 122,107 | 122,891 | 122,348 | ||||||||||||
Commercial | 18,373 | 18,349 | 18,344 | 18,347 | ||||||||||||
Industrial | 107 | 105 | 107 | 104 | ||||||||||||
Other | 33 | 33 | 33 | 33 | ||||||||||||
141,267 | 140,594 | 141,375 | 140,832 | |||||||||||||
YTD WEATHER AS A PERCENT OF NORMAL: | ||||||||||||||||
Cooling Degree Days (Indiana) | 146 | % | 120 | % | 144 | % | 119 | % | ||||||||
Heating Degree Days (Indiana) | 53 | % | 93 | % | 101 | % | 94 | % |