EX-99.2
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(Millions, except per share amounts) | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Twelve Months | |||||||||||||||
Ended December 31 | Ended December 31 | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
OPERATING REVENUES: | ||||||||||||||||
Gas utility | $ | 226.3 | $ | 261.3 | $ | 819.1 | $ | 954.1 | ||||||||
Electric utility | 143.5 | 138.9 | 635.9 | 608.0 | ||||||||||||
Nonutility | 257.6 | 163.9 | 870.2 | 567.4 | ||||||||||||
Total operating revenues | 627.4 | 564.1 | 2,325.2 | 2,129.5 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Cost of gas sold | 101.0 | 133.0 | 375.4 | 504.7 | ||||||||||||
Cost of fuel and purchased power | 53.5 | 54.7 | 240.4 | 235.0 | ||||||||||||
Cost of nonutility revenues | 118.7 | 72.7 | 385.3 | 243.3 | ||||||||||||
Other operating | 166.7 | 140.0 | 652.2 | 538.4 | ||||||||||||
Depreciation and amortization | 62.3 | 58.5 | 244.3 | 229.1 | ||||||||||||
Taxes other than income taxes | 14.2 | 15.3 | 57.6 | 62.2 | ||||||||||||
Total operating expenses | 516.4 | 474.2 | 1,955.2 | 1,812.7 | ||||||||||||
OPERATING INCOME | 111.0 | 89.9 | 370.0 | 316.8 | ||||||||||||
OTHER INCOME (EXPENSE): | ||||||||||||||||
Equity in earnings (losses) of unconsolidated affiliates | 2.6 | 5.3 | (32.0 | ) | (8.6 | ) | ||||||||||
Other income/(expense) - net | (9.4 | ) | 2.8 | (3.5 | ) | 4.8 | ||||||||||
Total other income (expense) | (6.8 | ) | 8.1 | (35.5 | ) | (3.8 | ) | |||||||||
INTEREST EXPENSE | 25.8 | 26.6 | 106.5 | 104.6 | ||||||||||||
INCOME BEFORE INCOME TAXES | 78.4 | 71.4 | 228.0 | 208.4 | ||||||||||||
INCOME TAXES | 31.8 | 26.0 | 86.4 | 74.7 | ||||||||||||
NET INCOME | 46.6 | 45.4 | 141.6 | 133.7 | ||||||||||||
AVERAGE COMMON SHARES OUTSTANDING | 81.9 | 81.5 | 81.8 | 81.2 | ||||||||||||
DILUTED COMMON SHARES OUTSTANDING | 81.9 | 81.6 | 81.8 | 81.3 | ||||||||||||
EARNINGS PER SHARE OF COMMON STOCK | ||||||||||||||||
BASIC | $ | 0.56 | $ | 0.56 | $ | 1.73 | $ | 1.65 | ||||||||
DILUTED | $ | 0.56 | $ | 0.56 | $ | 1.73 | $ | 1.64 |
VECTREN UTILITY HOLDINGS | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(Millions - Unaudited) | ||||||||||||||||
Three Months | Twelve Months | |||||||||||||||
Ended December 31 | Ended December 31 | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
OPERATING REVENUES: | ||||||||||||||||
Gas utility | $ | 226.3 | $ | 261.3 | $ | 819.1 | $ | 954.1 | ||||||||
Electric utility | 143.5 | 138.9 | 635.9 | 608.0 | ||||||||||||
Other | 0.5 | 0.4 | 2.0 | 1.6 | ||||||||||||
Total operating revenues | 370.3 | 400.6 | 1,457.0 | 1,563.7 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||
Cost of gas sold | 101.0 | 133.0 | 375.4 | 504.7 | ||||||||||||
Cost of fuel and purchased power | 53.5 | 54.7 | 240.4 | 235.0 | ||||||||||||
Other operating | 81.3 | 75.9 | 313.1 | 299.2 | ||||||||||||
Depreciation and amortization | 48.4 | 47.7 | 192.3 | 188.2 | ||||||||||||
Taxes other than income taxes | 13.3 | 14.5 | 54.0 | 59.6 | ||||||||||||
Total operating expenses | 297.5 | 325.8 | 1,175.2 | 1,286.7 | ||||||||||||
OPERATING INCOME | 72.8 | 74.8 | 281.8 | 277.0 | ||||||||||||
OTHER INCOME - NET | 0.3 | 1.5 | 4.3 | 5.4 | ||||||||||||
INTEREST EXPENSE | 19.1 | 20.4 | 80.3 | 81.4 | ||||||||||||
INCOME BEFORE INCOME TAXES | 54.0 | 55.9 | 205.8 | 201.0 | ||||||||||||
INCOME TAXES | 23.9 | 22.3 | 82.9 | 77.1 | ||||||||||||
NET INCOME | $ | 30.1 | $ | 33.6 | $ | 122.9 | $ | 123.9 |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(Millions - Unaudited) | ||||||||
December 31, | December 31, | |||||||
2011 | 2010 | |||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash & cash equivalents | $ | 8.6 | $ | 10.4 | ||||
Accounts receivable - less reserves of $6.7 & | ||||||||
$5.3, respectively | 221.3 | 176.6 | ||||||
Accrued unbilled revenues | 121.5 | 162.0 | ||||||
Inventories | 161.9 | 187.1 | ||||||
Recoverable fuel & natural gas costs | 12.4 | 7.9 | ||||||
Prepayments & other current assets | 84.3 | 101.2 | ||||||
Total current assets | 610.0 | 645.2 | ||||||
Utility Plant | ||||||||
Original cost | 4,979.9 | 4,791.7 | ||||||
Less: accumulated depreciation & amortization | 1,947.3 | 1,836.3 | ||||||
Net utility plant | 3,032.6 | 2,955.4 | ||||||
Investments in unconsolidated affiliates | 92.9 | 135.2 | ||||||
Other utility & corporate investments | 34.4 | 34.1 | ||||||
Other nonutility investments | 29.6 | 40.9 | ||||||
Nonutility plant - net | 550.8 | 488.3 | ||||||
Goodwill - net | 262.3 | 242.0 | ||||||
Regulatory assets | 226.0 | 189.4 | ||||||
Other assets | 40.3 | 33.7 | ||||||
TOTAL ASSETS | $ | 4,878.9 | $ | 4,764.2 | ||||
LIABILITIES & SHAREHOLDERS' EQUITY | ||||||||
Current Liabilities | ||||||||
Accounts payable | $ | 185.8 | $ | 183.7 | ||||
Accounts payable to affiliated companies | 36.8 | 59.6 | ||||||
Accrued liabilities | 181.1 | 178.4 | ||||||
Short-term borrowings | 227.1 | 118.3 | ||||||
Current maturities of long-term debt | 62.7 | 250.7 | ||||||
Long-term debt subject to tender | - | 30.0 | ||||||
Total current liabilities | 693.5 | 820.7 | ||||||
Long-term Debt - Net of Current Maturities & | ||||||||
Debt Subject to Tender | 1,559.6 | 1,435.2 | ||||||
Deferred Income Taxes & Other Liabilities | ||||||||
Deferred income taxes | 575.7 | 515.3 | ||||||
Regulatory liabilities | 345.2 | 333.5 | ||||||
Deferred credits & other liabilities | 239.4 | 220.6 | ||||||
Total deferred credits & other liabilities | 1,160.3 | 1,069.4 | ||||||
Common Shareholders' Equity | ||||||||
Common stock (no par value) – issued & outstanding | ||||||||
81.9 and 81.7 shares, respectively | 692.6 | 683.4 | ||||||
Retained earnings | 786.2 | 759.9 | ||||||
Accumulated other comprehensive income (loss) | (13.3 | ) | (4.4 | ) | ||||
Total common shareholders' equity | 1,465.5 | 1,438.9 | ||||||
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY | $ | 4,878.9 | $ | 4,764.2 |
VECTREN CORPORATION | ||||||||
AND SUBSIDIARY COMPANIES | ||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(Millions - Unaudited) | ||||||||
Twelve Months | ||||||||
Ended December 31 | ||||||||
2011 | 2010 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | $ | 141.6 | $ | 133.7 | ||||
Adjustments to reconcile net income to cash from operating activities: | ||||||||
Depreciation & amortization | 244.3 | 229.1 | ||||||
Deferred income taxes & investment tax credits | 71.7 | 69.3 | ||||||
Equity in (earnings) losses of unconsolidated affiliates | 32.0 | 8.6 | ||||||
Provision for uncollectible accounts | 11.8 | 16.8 | ||||||
Expense portion of pension & postretirement benefit cost | 9.0 | 10.0 | ||||||
Gain on sale of business in 2011, net of other non-cash charges | (0.1 | ) | 15.9 | |||||
Changes in working capital accounts: | ||||||||
Accounts receivable & accrued unbilled revenues | (17.5 | ) | (48.3 | ) | ||||
Inventories | (26.1 | ) | (19.3 | ) | ||||
Recoverable/refundable fuel & natural gas costs | (4.5 | ) | (30.2 | ) | ||||
Prepayments & other current assets | 17.9 | (23.5 | ) | |||||
Accounts payable, including to affiliated companies | (21.2 | ) | 5.5 | |||||
Accrued liabilities | 6.4 | 10.2 | ||||||
Unconsolidated affiliate dividends | 0.1 | 42.7 | ||||||
Employer contributions to pension & postretirement plans | (38.8 | ) | (22.0 | ) | ||||
Changes in noncurrent assets | 0.3 | (7.6 | ) | |||||
Changes in noncurrent liabilities | (10.0 | ) | (6.1 | ) | ||||
Net cash flows from operating activities | 416.9 | 384.8 | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Proceeds from: | ||||||||
Long-term debt, net of issuance costs | 148.9 | 124.2 | ||||||
Dividend reinvestment plan & other common stock issuances | 7.9 | 14.0 | ||||||
Requirements for: | ||||||||
Dividends on common stock | (113.2 | ) | (110.8 | ) | ||||
Retirement of long-term debt | (349.1 | ) | (49.3 | ) | ||||
Other financing activities | (2.3 | ) | (0.2 | ) | ||||
Net change in short-term borrowings | 208.8 | (95.2 | ) | |||||
Net cash flows from financing activities | (99.0 | ) | (117.3 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Proceeds from: | ||||||||
Sale of business | 84.3 | - | ||||||
Unconsolidated affiliate distributions | 0.5 | 0.5 | ||||||
Other collections | 1.1 | 10.8 | ||||||
Requirements for: | ||||||||
Capital expenditures, excluding AFUDC equity | (321.3 | ) | (277.2 | ) | ||||
Business acquisition, net of cash acquired | (83.4 | ) | - | |||||
Other investments | (0.9 | ) | (3.1 | ) | ||||
Net cash flows from investing activities | (319.7 | ) | (269.0 | ) | ||||
Net change in cash & cash equivalents | (1.8 | ) | (1.5 | ) | ||||
Cash & cash equivalents at beginning of period | 10.4 | 11.9 | ||||||
Cash & cash equivalents at end of period | $ | 8.6 | $ | 10.4 |
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
HIGHLIGHTS | ||||||||||||||||
(Millions, except per share amounts) | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Twelve Months | |||||||||||||||
Ended December 31 | Ended December 31 | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
REPORTED EARNINGS: | ||||||||||||||||
Utility Group | ||||||||||||||||
Gas Utility Services | $ | 19.0 | $ | 21.7 | $ | 52.5 | $ | 53.7 | ||||||||
Electric Utility Services | 11.9 | 9.5 | 65.0 | 60.9 | ||||||||||||
Other Operations | (0.8 | ) | 2.4 | 5.4 | 9.3 | |||||||||||
Total Utility Group | 30.1 | 33.6 | 122.9 | 123.9 | ||||||||||||
Nonutility Group | ||||||||||||||||
Infrastructure Services | 3.8 | 0.9 | 14.9 | 3.1 | ||||||||||||
Energy Services | 5.1 | 2.2 | 6.7 | 6.4 | ||||||||||||
Coal Mining | 0.7 | 3.8 | 16.6 | 11.9 | ||||||||||||
Energy Marketing | ||||||||||||||||
Vectren Source | 17.7 | 2.9 | 18.7 | 3.7 | ||||||||||||
ProLiance | 2.4 | 2.0 | (22.9 | ) | (7.9 | ) | ||||||||||
Other Businesses | (9.3 | ) | - | (10.2 | ) | (7.4 | ) | |||||||||
Total Nonutility Group | 20.4 | 11.8 | 23.8 | 9.8 | ||||||||||||
Corporate and Other | (3.9 | ) | - | (5.1 | ) | - | ||||||||||
Vectren Consolidated | $ | 46.6 | $ | 45.4 | $ | 141.6 | $ | 133.7 | ||||||||
EARNINGS PER SHARE: | ||||||||||||||||
Utility Group | $ | 0.37 | $ | 0.42 | $ | 1.50 | $ | 1.53 | ||||||||
Nonutility Group, excluding ProLiance | 0.21 | 0.12 | 0.57 | 0.22 | ||||||||||||
ProLiance | 0.03 | 0.02 | (0.28 | ) | (0.10 | ) | ||||||||||
Corporate and Other | (0.05 | ) | - | (0.06 | ) | - | ||||||||||
Reported EPS | $ | 0.56 | $ | 0.56 | $ | 1.73 | $ | 1.65 |
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
SELECTED GAS DISTRIBUTION | ||||||||||||||||
OPERATING STATISTICS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Twelve Months | |||||||||||||||
Ended December 31 | Ended December 31 | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
GAS OPERATING REVENUES (Millions): | ||||||||||||||||
Residential | $ | 155.0 | $ | 181.7 | $ | 554.4 | $ | 652.0 | ||||||||
Commercial | 51.9 | 61.4 | 193.7 | 233.5 | ||||||||||||
Industrial | 16.8 | 16.7 | 59.8 | 57.3 | ||||||||||||
Other Revenue | 2.6 | 1.5 | 11.2 | 11.3 | ||||||||||||
$ | 226.3 | $ | 261.3 | $ | 819.1 | $ | 954.1 | |||||||||
GAS MARGIN (Millions): | ||||||||||||||||
Residential | $ | 83.9 | $ | 86.7 | $ | 291.1 | $ | 298.6 | ||||||||
Commercial | 23.4 | 24.4 | 84.1 | 86.1 | ||||||||||||
Industrial | 15.2 | 15.5 | 56.4 | 52.2 | ||||||||||||
Other | 2.8 | 1.7 | 12.1 | 12.5 | ||||||||||||
$ | 125.3 | $ | 128.3 | $ | 443.7 | $ | 449.4 | |||||||||
GAS SOLD & TRANSPORTED (MMDth): | ||||||||||||||||
Residential | 20.1 | 26.1 | 69.2 | 74.0 | ||||||||||||
Commercial | 8.8 | 10.7 | 30.7 | 32.2 | ||||||||||||
Industrial | 26.4 | 25.7 | 97.0 | 90.8 | ||||||||||||
55.3 | 62.5 | 196.9 | 197.0 | |||||||||||||
AVERAGE GAS CUSTOMERS | ||||||||||||||||
Residential | 902,667 | 901,735 | 899,210 | 897,715 | ||||||||||||
Commercial | 83,048 | 82,993 | 82,838 | 82,780 | ||||||||||||
Industrial | 1,647 | 1,652 | 1,644 | 1,638 | ||||||||||||
987,362 | 986,380 | 983,692 | 982,133 | |||||||||||||
YTD WEATHER AS A PERCENT OF NORMAL: | ||||||||||||||||
Heating Degree Days (Ohio) | 88 | % | 108 | % | 100 | % | 105 | % |
VECTREN CORPORATION | ||||||||||||||||
AND SUBSIDIARY COMPANIES | ||||||||||||||||
SELECTED ELECTRIC | ||||||||||||||||
OPERATING STATISTICS | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Three Months | Twelve Months | |||||||||||||||
Ended December 31 | Ended December 31 | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
ELECTRIC OPERATING REVENUES (Millions): | ||||||||||||||||
Residential | $ | 42.5 | $ | 42.6 | $ | 212.2 | $ | 206.4 | ||||||||
Commercial | 38.8 | 36.2 | 159.7 | 149.7 | ||||||||||||
Industrial | 51.5 | 47.7 | 212.3 | 199.1 | ||||||||||||
Other Revenue | 3.1 | 3.2 | 9.2 | 9.1 | ||||||||||||
Total Retail | 135.9 | 129.7 | 593.4 | 564.3 | ||||||||||||
Net Wholesale Revenues | 7.6 | 9.2 | 42.5 | 43.7 | ||||||||||||
$ | 143.5 | $ | 138.9 | $ | 635.9 | $ | 608.0 | |||||||||
ELECTRIC MARGIN (Millions): | ||||||||||||||||
Residential | $ | 30.7 | $ | 29.5 | $ | 150.7 | $ | 144.3 | ||||||||
Commercial | 26.0 | 23.2 | 105.1 | 96.9 | ||||||||||||
Industrial | 25.0 | 23.2 | 101.6 | 97.1 | ||||||||||||
Other | 2.8 | 2.9 | 8.5 | 8.5 | ||||||||||||
Total Retail | 84.5 | 78.8 | 365.9 | 346.8 | ||||||||||||
Net Wholesale Margin | 5.5 | 5.4 | 29.6 | 26.2 | ||||||||||||
$ | 90.0 | $ | 84.2 | $ | 395.5 | $ | 373.0 | |||||||||
ELECTRICITY SOLD (GWh): | ||||||||||||||||
Residential | 289.4 | 324.7 | 1,498.6 | 1,603.5 | ||||||||||||
Commercial | 314.8 | 324.0 | 1,328.6 | 1,360.5 | ||||||||||||
Industrial | 670.2 | 610.6 | 2,744.8 | 2,630.3 | ||||||||||||
Other Sales - Street Lighting | 6.5 | 6.6 | 22.8 | 22.6 | ||||||||||||
Total Retail | 1,280.9 | 1,265.9 | 5,594.8 | 5,616.9 | ||||||||||||
Wholesale | 117.3 | 121.4 | 586.7 | 587.6 | ||||||||||||
1,398.2 | 1,387.3 | 6,181.5 | 6,204.5 | |||||||||||||
AVERAGE ELECTRIC CUSTOMERS | ||||||||||||||||
Residential | 123,003 | 122,907 | 122,961 | 122,857 | ||||||||||||
Commercial | 18,264 | 18,261 | 18,274 | 18,321 | ||||||||||||
Industrial | 112 | 111 | 111 | 108 | ||||||||||||
Other | 33 | 33 | 33 | 33 | ||||||||||||
141,412 | 141,312 | 141,379 | 141,319 | |||||||||||||
YTD WEATHER AS A PERCENT OF NORMAL: | ||||||||||||||||
Cooling Degree Days (Indiana) | 116 | % | 134 | % | ||||||||||||
Heating Degree Days (Indiana) | 91 | % | 101 | % |