Exhibit 99.1
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| | 801 E. 86th Avenue Merrillville, IN 46410 |
October 31, 2013
FOR ADDITIONAL INFORMATION
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| Media | Investors |
| Mike Banas | Randy Hulen |
| Communications Manager | Managing Director, Investor Relations |
| (219) 647-5581 | (219) 647-5688 |
| mbanas@nisource.com | rghulen@nisource.com |
NiSource Reports Third Quarter 2013 Earnings
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| • | Results on track with 2013 earnings guidance range |
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| • | NIPSCO files long-term natural gas modernization program |
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| • | Continued execution of significant midstream and other infrastructure investments |
MERRILLVILLE, Ind. - NiSource Inc. (NYSE: NI) today announced net operating earnings from continuing operations (non-GAAP) of $57.1 million, or $0.18 per share, for the three months ended September 30, 2013, compared with $12.2 million, or $0.04 per share for the third quarter of 2012. Operating earnings for the third quarter of 2013 (non-GAAP) were $183.7 million compared to $124.2 million in 2012.
On a GAAP basis, NiSource reported income from continuing operations for the three months ended September 30, 2013, of $49.5 million, or $0.16 per share, compared with $16.6 million, or $0.05 per share, in the same period a year ago. Operating income was $176.4 million for the third quarter of 2013, compared with $131.5 million in the year-ago period. Schedules 1 and 2 of this news release contain a reconciliation of net operating earnings and operating earnings to GAAP.
NiSource’s results for 2013 reflect the company’s $340 million forward sale equity issuance completed on September 10, 2012, which added approximately 24 million common shares outstanding. NiSource’s third quarter 2012 results reflect the costs associated with Columbia Gas Transmission's comprehensive infrastructure modernization settlement with customers.
“As demonstrated by our results to date in 2013, we continue to generate sustainable shareholder and customer value through our team’s consistent execution of NiSource’s expansive, infrastructure-focused investment and growth strategy,” President and Chief Executive Officer Robert C. Skaggs, Jr. said. “This focus on execution has placed us in a solid position to deliver net operating earnings squarely within our guidance range of $1.50 to $1.60 per share for the year (non-GAAP).”
Skaggs noted that NiSource’s operating units are delivering on an enhanced capital investment program totaling approximately $2 billion in 2013. NiSource continues to focus those investments on earnings-accretive infrastructure replacement and modernization programs.
Modernization programs on track; continued progress on midstream projects
NiSource’s Columbia Pipeline Group (CPG) continues to make steady progress on its long-term infrastructure modernization program, as well as a series of midstream and core growth initiatives tied to NiSource’s strong asset position in the Utica and Marcellus Shale production regions.
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| • | Columbia Gas Transmission is on track to complete the first year of investments under its system modernization settlement, which became effective earlier this year. As provided in the settlement, the company will make a tracker filing reflecting first-year investments of approximately $300 million with the Federal Energy Regulatory Commission (FERC) by the end of this year. Recovery of 2013 program investments is anticipated to begin in February 2014. The modernization settlement covers the initial five years of a 10-15 year program totaling $4-5 billion. |
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| • | On September 30, 2013, Pennant Midstream, LLC announced the construction of an approximately $60 million, 38-mile natural gas liquids pipeline in eastern Ohio. The line will connect the Hickory Bend Cryogenic Processing Plant in New Middletown, Ohio, to the UEO Kensington facility near Kensington in Columbiana County. Initial capacity is expected to deliver up to approximately 90,000 barrels a day, starting in the third quarter of 2014. NiSource Midstream Services, LLC operates Pennant Midstream, which is jointly owned by Harvest Pipeline (an affiliate of Hilcorp Energy Company) and NiSource Midstream. NiSource owns a 50 percent interest in Pennant and is responsible for the same portion of the investment. |
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| • | Pennant Midstream’s Hickory Bend Project remains on schedule, with the majority of the facilities to be operational by the end of this year. The $320 million project involves the construction of approximately 55 miles of 20- and 24-inch gathering pipeline facilities with an initial capacity of 600 million cubic feet per day, and a cryogenic natural gas liquids processing plant with an initial capacity of 200 million cubic feet per day. |
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| • | Millennium Pipeline is on track with development of an approximately $45 million new compressor facility in Delaware County, New York. The project, which will increase the pipeline’s delivery capacity to 850,000 dekatherms per day, is expected to be in service by April 1, 2014. NiSource owns a 47.5 percent interest in Millennium and is responsible for the same percentage of the investment. |
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| • | CPG’s core marketing projects include more than $550 million of investments, including the West Side Expansion Project, the East Side Expansion Project and the Warren County Project, among others, remain on track and will add more than 1 billion cubic feet of capacity when completed over the next two years. |
“Our CPG team is delivering on all fronts; from the systematic modernization of our core system to customer and stakeholder-focused development of new midstream and market-driven growth initiatives,” Skaggs said. “These efforts are strengthening the services we provide to our customers, assuring the continued reliability of our system and providing a much-needed foundation for the ongoing development of shale energy supplies.”
NIPSCO files long-term gas system investment plan; executes on major environmental, transmission projects
During the third quarter, Northern Indiana Public Service Company (NIPSCO) continued to advance an agenda of customer service, reliability and long-term growth and modernization initiatives.
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| • | In line with legislation passed earlier this year to support a variety of long-term infrastructure investments, NIPSCO filed a seven-year natural gas infrastructure modernization and expansion plan with the Indiana Utility Regulatory Commission (IURC) on October 3, 2013. The legislation provides for the timely recovery of related investments through deferrals and tracking mechanisms. The natural gas plan outlines a program of qualifying system modernization projects, with anticipated investment opportunities of approximately $700 million. NIPSCO’s seven-year electric infrastructure modernization plan, filed in July with outlined investments of approximately $1 billion, remains under review by the IURC. The company anticipates making its initial electric and natural gas investments in early-to-mid 2014. |
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| • | NIPSCO extended its 2010 natural gas customer rate settlement through 2020 following the August 28 IURC approval of an agreement reached earlier this year with the Indiana Office of Utility Consumer Counselor and other key customer stakeholders. |
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| • | Work continues on NIPSCO’s two electric transmission projects in northern Indiana, which support new jobs, enhance system reliability and offer environmental benefits. For the first project, called Reynolds-Topeka, NIPSCO recently selected the route and is in discussions with landowners and communities along the line’s path. Together the projects will involve an investment by NIPSCO of approximately $500 million. |
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| • | NIPSCO also is executing on an approximately $250 million flue gas desulfurization (FGD) project at NIPSCO’s Michigan City generating station. The project, scheduled for completion by the end of 2015, follows the approximately $500 million FGD project at NIPSCO’s Schahfer generating station, which will be placed into service in the fourth quarter of this year and in late 2014. All FGD projects remain on schedule and are on budget. |
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| • | Also on the environmental front, on October 10, 2013, the IURC issued an order approving NIPSCO's capital projects and associated cost recovery for investments to support compliance with the Environmental Protection Agency’s Mercury and Air Toxics Standards (MATS) rule. The investments are expected to reach approximately $60 million over the next three years. |
“Our NIPSCO team is delivering on a broad agenda of initiatives that will strengthen its core natural gas and electric system, while enhancing service and providing a platform for economic growth and development across northern Indiana,” Skaggs said. “NIPSCO is positioned to provide sustainable value for its customers, northern Indiana’s economy and NiSource shareholders for years to come.”
Modernizing natural gas distribution infrastructure and services
NiSource Gas Distribution (NGD) companies continue to deliver strong results by aligning their long-term, $10 billion infrastructure replacement and enhancement programs with a variety of complementary customer programs and regulatory initiatives.
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| • | NGD’s capital program, including infrastructure replacement and enhancement initiatives, is on track to achieve a record investment level of approximately $765 million in 2013. This investment supports the company’s commitment to delivering safe, reliable |
services to customers and solid financial performance for shareholders.
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| • | Progress continues on a Columbia Gas of Kentucky base rate case filed in May with the Kentucky Public Service Commission. The case seeks an annual revenue increase of $16.6 million. It also supports the company’s ongoing infrastructure investment plans. A decision is expected with rates in effect by early 2014. |
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| • | Columbia Gas of Massachusetts’ base rate case remains on schedule with the Massachusetts Department of Public Utilities. The case, which seeks increased annual revenues of approximately $30 million, is designed to support the company's expanded infrastructure modernization and replacement plans with investment recovery. A decision is expected with rates in effect by March 2014. |
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| • | On September 23, 2013, Columbia Gas of Maryland received a final order from the Maryland Public Service Commission on its base rate case. In addition to implementing a revenue normalization adjustment mechanism for residential customers, the order approved an annual revenue increase of $3.6 million. Rates went into effect September 25, 2013. |
“Our team continues to set the standard for disciplined project execution, paired with a foundational commitment to customer value and stakeholder engagement,” Skaggs noted.
Affirming 2013 earnings guidance, financing strength
Skaggs said NiSource remains on track to deliver net operating earnings in line with its full-year outlook of $1.50 to $1.60 per share (non-GAAP).
With regard to liquidity, NiSource issued $500 million of 30-year debt at attractive rates on October 10, 2013. In addition, the company increased its revolving credit facility by $500 million to $2 billion, and extended the facility’s term by an additional 16 months to September 2018. These efforts serve to support NiSource’s infrastructure investments while extending the company’s debt maturity profile and lowering borrowing costs. As of the end of the third quarter, NiSource maintained net available liquidity of approximately $1.4 billion.
There will likely be differences between net operating earnings and GAAP earnings. Due to the unpredictability of weather and other factors, NiSource is continuing its practice of not providing GAAP earnings guidance.
Third Quarter 2013 Operating Earnings - Segment Results (non-GAAP)
NiSource's consolidated operating earnings (non-GAAP) for the three months ended September 30, 2013, were $183.7 million, compared to $124.2 million for the same period in 2012. Refer to Schedule 2 for the items included in 2013 and 2012 GAAP operating income but excluded from operating earnings.
Operating earnings for NiSource's business segments for the three months ended September 30, 2013, are discussed below.
Columbia Pipeline Group Operations reported operating earnings of $98.7 million for the three months ended September 30, 2013, compared with operating earnings of $38.8 million for the prior year period. Net revenues, excluding the impact of trackers, increased by $67.8 million primarily as a result of Columbia Transmission’s 2012 customer settlement related to its comprehensive infrastructure modernization program.
Operating expenses, excluding the impact of trackers, increased by $10.4 million primarily due to higher depreciation and amortization as a result of the 2012 Columbia Transmission customer
settlement and software data conversion costs, partially offset by a gain on the sale of storage base gas and decreased outside services.
Equity earnings increased by $2.5 million primarily from increased earnings at Millennium Pipeline.
Electric Operations reported operating earnings of $90.5 million for the three months ended September 30, 2013, compared with operating earnings of $77.8 million for the prior year period. Net revenues, excluding the impact of trackers, increased by $11.6 million due primarily to an increase in environmental investment cost recovery and higher industrial and commercial margins. This increase was partially offset by the final reconciliation of the revenue credit in 2012 and lower residential margins.
Operating expenses, excluding the impact of trackers, decreased by $1.1 million due primarily to lower storm damage costs and decreased electric generation costs. These decreases were partially offset by higher employee and administrative expenses.
Gas Distribution Operations reported operating earnings loss of $0.5 million for the three months ended September 30, 2013, compared with operating earnings of $9.7 million for the prior year period. Net revenues, excluding the impact of trackers, increased by $12.0 million primarily attributable to increases in regulatory and service programs, including the impact of the implementation of new rates under Columbia Gas of Ohio's approved infrastructure replacement program and the rate settlement at Columbia Gas of Pennsylvania.
Operating expenses, excluding the impact of trackers, increased by $22.2 million due primarily to higher environmental costs, increased outside services, higher depreciation as a result of increased capital expenditures placed in service, and increased employee and administrative costs.
Corporate and Other Operations reported an operating earnings loss of $5.0 million for the three months ended September 30, 2013, compared to an operating earnings loss of $2.1 million for the comparable prior period. The reduction in earnings is primarily attributable to higher outside services costs.
Other Items
Interest expense decreased by $4.2 million due to the maturity of long-term debt in November 2012 and March 2013 and increased allowance for funds used during construction (AFUDC) balances. These decreases were partially offset by the issuance of long-term debt in April 2013.
Other, net reflected income of $4.7 million compared to income of $2.2 million in 2012.
The effective tax rate of net operating earnings was 32.6 percent compared to 34.1 percent for the same period last year.
Nine Month Period 2013 Operating Earnings - Segment Results (non-GAAP)
NiSource's consolidated operating earnings (non-GAAP) for the nine months ended September 30, 2013, were $806.3 million, compared to $757.1 million for the same period in 2012. Refer to Schedule 2 for the items included in 2013 and 2012 GAAP operating income but excluded from operating earnings.
Operating earnings for NiSource's business segments for the nine months ended September 30, 2013, are discussed below.
Columbia Pipeline Group Operations reported operating earnings of $320.8 million for the nine months ended September 30, 2013, compared with operating earnings of $269.0 million for the prior year period. Net revenues, excluding the impact of trackers, increased by $57.1 million primarily as a result of the 2012 customer settlement at Columbia Transmission, increased commodity and demand margin revenue and higher royalties from mineral rights. These increases were partially offset by a decrease in shorter term transportation services.
Operating expenses, excluding the impact of trackers, increased by $6.7 million primarily due to software data conversion costs, higher depreciation and amortization, increased employee and administrative expenses and higher other taxes. These increases were partially offset by a gain on the sale of storage base gas.
Electric Operations reported operating earnings of $214.0 million for the nine months ended September 30, 2013, compared with operating earnings of $186.0 million for the prior year period. Net revenues, excluding the impact of trackers, increased by $26.3 million due primarily to an increase in environmental investment cost recovery, higher industrial, residential and commercial margins and transmission upgrade revenue. These increases were partially offset by the final reconciliation of the revenue credit recorded in 2012 and fuel handling costs,
Operating expenses, excluding the impact of trackers, decreased by $1.7 million due primarily to lower electric generation costs largely due to the timing of outages and maintenance. This decrease was partially offset by increased employee and administrative costs and higher depreciation and amortization.
Gas Distribution Operations reported operating earnings of $284.6 million for the nine months ended September 30, 2013, compared with operating earnings of $304.9 million for the prior year period. Net revenues, excluding the impact of trackers, increased by $38.8 million primarily attributable to increases in regulatory and service programs, including the impact of the implementation of new rates under Columbia Gas of Ohio's approved infrastructure replacement program and rate cases at Columbia Gas of Massachusetts and Columbia Gas of Pennsylvania, and an increase in residential and commercial usage.
Operating expenses, excluding the impact of trackers, increased by $59.1 million due primarily to increased employee and administrative costs, higher outside services, an increase in environmental costs, higher depreciation due to an increase in capital expenditures placed in service, increased other taxes and higher materials and supplies.
Corporate and Other Operations reported an operating earnings loss of $13.1 million for the nine months ended September 30, 2013, compared to an operating earnings loss of $2.8 million for the comparable prior period. The reduction in earnings is primarily attributable to the recognition in the prior year of unrealized gains on increases in cash surrender value of corporate owned life insurance investments.
Other Items
Interest expense decreased by $10.1 million due to the maturity of long-term debt in November 2012 and March 2013, increased AFUDC balances and lower short-term borrowings and rates. These decreases were partially offset by the issuance of long-term debt in June 2012 and April 2013.
Other, net reflected income of $22.1 million compared to income of $6.0 million in 2012. The increase is primarily attributable to a gain from insurance proceeds and AFUDC earnings.
The effective tax rate of net operating earnings was 34.1 percent compared to 35.3 percent for the same period last year.
About NiSource
NiSource Inc. (NYSE: NI), based in Merrillville, Ind., is a Fortune 500 company engaged in natural gas transmission, storage and distribution, as well as electric generation, transmission and distribution. NiSource operating companies deliver energy to 3.8 million customers located within the high-demand energy corridor stretching from the Gulf Coast through the Midwest to New England. Information about NiSource and its subsidiaries is available via the Internet at www.nisource.com. NI-F
Forward-Looking Statements
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Those statements include statements regarding the intent, belief or current expectations of NiSource and its management. Although NiSource believes that its expectations are based on reasonable assumptions, it can give no assurance that its goals will be achieved. Readers are cautioned that the forward-looking statements in this presentation are not guarantees of future performance and involve a number of risks and uncertainties, and that actual results could differ materially from those indicated by such forward-looking statements. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include, but are not limited to, the following: weather; fluctuations in supply and demand for energy commodities; growth opportunities for NiSource's businesses; increased competition in deregulated energy markets; the success of regulatory and commercial initiatives; dealings with third parties over whom NiSource has no control; actual operating experience of NiSource's assets; the regulatory process; regulatory and legislative changes; the impact of potential new environmental laws or regulations; the results of material litigation; changes in pension funding requirements; changes in general economic, capital and commodity market conditions; and counterparty credit risk and the matters set forth in the "Risk Factors" Section in NiSource's most recent Form 10-K and subsequent reports on Form 10-Q, many of which are risks beyond the control of NiSource. In addition, the relative contributions to profitability by each segment, and the assumptions underlying the forward-looking statements relating thereto, may change over time. NiSource expressly disclaims a duty to update any of the forward-looking statements contained in this release.
NiSource Inc.
Consolidated Net Operating Earnings (Non-GAAP)
(unaudited)
|
| | | | | | | | | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| |
| (in millions, except per share amounts) | 2013 | | 2012 | | 2013 | | 2012 |
| Net Revenues | | | | | | | |
| Gas Distribution | $ | 255.3 |
| | $ | 225.8 |
| | $ | 1,541.8 |
| | $ | 1,424.2 |
|
| Gas Transportation and Storage | 350.1 |
| | 278.2 |
| | 1,185.1 |
| | 1,043.7 |
|
| Electric | 416.4 |
| | 412.1 |
| | 1,177.0 |
| | 1,136.5 |
|
| Other | 61.2 |
| | 33.5 |
| | 162.8 |
| | 63.2 |
|
| Gross Revenues | 1,083.0 |
| | 949.6 |
| | 4,066.7 |
| | 3,667.6 |
|
| Cost of Sales (excluding depreciation and amortization) | 243.2 |
| | 227.3 |
| | 1,268.4 |
| | 1,090.3 |
|
| Total Net Revenues | 839.8 |
| | 722.3 |
| | 2,798.3 |
| | 2,577.3 |
|
| Operating Expenses | | | | | | | |
| Operation and maintenance | 387.4 |
| | 366.5 |
| | 1,125.7 |
| | 1,070.2 |
|
| Operation and maintenance - trackers | 81.5 |
| | 52.3 |
| | 249.9 |
| | 141.1 |
|
| Depreciation and amortization | 144.5 |
| | 121.7 |
| | 427.7 |
| | 408.2 |
|
| Depreciation and amortization - trackers | — |
| | 3.5 |
| | 3.7 |
| | 9.7 |
|
| Gain on sale of storage base gas | (11.1 | ) | | — |
| | (11.1 | ) | | — |
|
| Other taxes | 56.1 |
| | 54.2 |
| | 175.4 |
| | 165.3 |
|
| Other taxes - trackers | 8.2 |
| | 7.9 |
| | 46.3 |
| | 49.9 |
|
| Total Operating Expenses | 666.6 |
| | 606.1 |
| | 2,017.6 |
| | 1,844.4 |
|
| Equity Earnings in Unconsolidated Affiliates | 10.5 |
| | 8.0 |
| | 25.6 |
| | 24.2 |
|
| Operating Earnings | 183.7 |
| | 124.2 |
| | 806.3 |
| | 757.1 |
|
| Other Income (Deductions) | | | | | | | |
| Interest expense, net | (103.7 | ) | | (107.9 | ) | | (304.3 | ) | | (314.4 | ) |
| Other, net | 4.7 |
| | 2.2 |
| | 22.1 |
| | 6.0 |
|
| Total Other Deductions | (99.0 | ) | | (105.7 | ) | | (282.2 | ) | | (308.4 | ) |
| Operating Earnings From Continuing Operations | | | | | | | |
| Before Income Taxes | 84.7 |
| | 18.5 |
| | 524.1 |
| | 448.7 |
|
| Income Taxes | 27.6 |
| | 6.3 |
| | 178.9 |
| | 158.5 |
|
| Net Operating Earnings from Continuing Operations | 57.1 |
| | 12.2 |
| | 345.2 |
| | 290.2 |
|
| GAAP Adjustment | (7.6 | ) | | 4.4 |
| | (7.3 | ) | | (13.5 | ) |
| GAAP Income from Continuing Operations | $ | 49.5 |
| | $ | 16.6 |
| | $ | 337.9 |
| | $ | 276.7 |
|
| Basic Net Operating Earnings Per Share from Continuing Operations | $ | 0.18 |
| | $ | 0.04 |
| | $ | 1.11 |
| | $ | 1.02 |
|
| GAAP Basic Earnings Per Share from Continuing Operations | $ | 0.16 |
| | $ | 0.05 |
| | $ | 1.08 |
| | $ | 0.97 |
|
| Basic Average Common Shares Outstanding | 312.8 |
| | 290.3 |
| | 312.1 |
| | 285.9 |
|
NiSource Inc.
Segment Operating Earnings (Non-GAAP)
(unaudited)
|
| | | | | | | | | | | | | | | |
| | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| Gas Distribution Operations |
| (in millions) | 2013 | | 2012 | | 2013 | | 2012 |
| Net Revenues | | | | | | | |
| Sales revenues | $ | 412.8 |
| | $ | 378.4 |
| | $ | 2,131.4 |
| | $ | 1,924.7 |
|
| Less: Cost of gas sold | 131.8 |
| | 116.6 |
| | 964.7 |
| | 810.8 |
|
| Net Revenues | 281.0 |
| | 261.8 |
| | 1,166.7 |
| | 1,113.9 |
|
| Operating Expenses | | | | | | | |
| Operation and maintenance | 184.9 |
| | 167.5 |
| | 546.2 |
| | 501.7 |
|
| Operation and maintenance - trackers | 14.2 |
| | 7.3 |
| | 68.4 |
| | 50.8 |
|
| Depreciation and amortization | 51.1 |
| | 47.8 |
| | 149.7 |
| | 141.2 |
|
| Other taxes | 23.1 |
| | 21.6 |
| | 71.5 |
| | 65.4 |
|
| Other taxes - trackers | 8.2 |
| | 7.9 |
| | 46.3 |
| | 49.9 |
|
| Total Operating Expenses | 281.5 |
| | 252.1 |
| | 882.1 |
| | 809.0 |
|
| Operating (Loss) Earnings | $ | (0.5 | ) | | $ | 9.7 |
| | $ | 284.6 |
| | $ | 304.9 |
|
| GAAP Adjustment | (4.5 | ) | | 0.7 |
| | (5.5 | ) | | (41.5 | ) |
| GAAP Operating (Loss) Income | $ | (5.0 | ) | | $ | 10.4 |
| | $ | 279.1 |
| | $ | 263.4 |
|
| | | | | | | | |
| | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| Columbia Pipeline Group Operations |
| (in millions) | 2013 | | 2012 | | 2013 | | 2012 |
| Net Revenues | | | | | | | |
| Transportation revenues | $ | 176.4 |
| | $ | 109.3 |
| | $ | 558.9 |
| | $ | 506.9 |
|
| Storage revenues | 48.6 |
| | 49.2 |
| | 147.8 |
| | 147.2 |
|
| Other revenues | 57.7 |
| | 29.6 |
| | 151.2 |
| | 50.4 |
|
| Total Operating Revenues | 282.7 |
| | 188.1 |
| | 857.9 |
| | 704.5 |
|
| Less: Cost of Sales | 0.1 |
| | — |
| | 0.3 |
| | 1.0 |
|
| Net Revenues | 282.6 |
| | 188.1 |
| | 857.6 |
| | 703.5 |
|
| Operating Expenses | | | | | | | |
| Operation and maintenance | 97.9 |
| | 94.5 |
| | 272.4 |
| | 262.1 |
|
| Operation and maintenance - trackers | 67.3 |
| | 40.6 |
| | 175.6 |
| | 78.6 |
|
| Depreciation and amortization | 26.7 |
| | 8.2 |
| | 78.9 |
| | 74.2 |
|
| Gain on sale of storage base gas | (11.1 | ) | | — |
| | (11.1 | ) | | — |
|
| Other taxes | 13.6 |
| | 14.0 |
| | 46.6 |
| | 43.8 |
|
| Total Operating Expenses | 194.4 |
| | 157.3 |
| | 562.4 |
| | 458.7 |
|
| Equity Earnings in Unconsolidated Affiliates | 10.5 |
| | 8.0 |
| | 25.6 |
| | 24.2 |
|
| Operating Earnings | $ | 98.7 |
| | $ | 38.8 |
| | $ | 320.8 |
| | $ | 269.0 |
|
| GAAP Adjustment | — |
| | — |
| | 0.2 |
| | (0.1 | ) |
| GAAP Operating Income | $ | 98.7 |
| | $ | 38.8 |
| | $ | 321.0 |
| | $ | 268.9 |
|
NiSource Inc.
Segment Operating Earnings (Non-GAAP)
(unaudited)
|
| | | | | | | | | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| Electric Operations | |
| (in millions) | 2013 | | 2012 | | 2013 | | 2012 |
| Net Revenues | | | | | | | |
| Sales revenues | $ | 416.8 |
| | $ | 412.6 |
| | $ | 1,178.2 |
| | $ | 1,137.8 |
|
| Less: Cost of sales | 142.2 |
| | 141.7 |
| | 408.4 |
| | 382.5 |
|
| Net Revenues | 274.6 |
| | 270.9 |
| | 769.8 |
| | 755.3 |
|
| Operating Expenses | | | | | | | |
| Operation and maintenance | 107.1 |
| | 108.9 |
| | 317.8 |
| | 324.4 |
|
| Operation and maintenance - trackers | — |
| | 4.4 |
| | 5.9 |
| | 11.7 |
|
| Depreciation and amortization | 60.6 |
| | 60.2 |
| | 180.5 |
| | 176.5 |
|
| Depreciation and amortization - trackers | — |
| | 3.5 |
| | 3.7 |
| | 9.7 |
|
| Other taxes | 16.4 |
| | 16.1 |
| | 47.9 |
| | 47.0 |
|
| Total Operating Expenses | 184.1 |
| | 193.1 |
| | 555.8 |
| | 569.3 |
|
| Operating Earnings | $ | 90.5 |
| | $ | 77.8 |
| | $ | 214.0 |
| | $ | 186.0 |
|
| GAAP Adjustment | (3.0 | ) | | 5.9 |
| | (1.8 | ) | | 14.2 |
|
| GAAP Operating Income | $ | 87.5 |
| | $ | 83.7 |
| | $ | 212.2 |
| | $ | 200.2 |
|
| | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| Corporate and Other Operations | |
| (in millions) | 2013 | | 2012 | | 2013 | | 2012 |
| Operating (Loss) Earnings | $ | (5.0 | ) | | $ | (2.1 | ) | | $ | (13.1 | ) | | $ | (2.8 | ) |
| GAAP Adjustment | 0.2 |
| | 0.7 |
| | 0.1 |
| | 3.8 |
|
| GAAP Operating (Loss) Income | $ | (4.8 | ) | | $ | (1.4 | ) | | $ | (13.0 | ) | | $ | 1.0 |
|
NiSource Inc.
Segment Volumes and Statistical Data
|
| | | | | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| |
| Gas Distribution Operations | 2013 | | 2012 | | 2013 | | 2012 |
| Sales and Transportation (MMDth) | | | | | | | |
| Residential | 15.2 |
| | 15.4 |
| | 182.0 |
| | 146.6 |
|
| Commercial | 16.2 |
| | 19.7 |
| | 118.5 |
| | 106.1 |
|
| Industrial | 120.7 |
| | 119.2 |
| | 367.4 |
| | 364.6 |
|
| Off System | 15.6 |
| | 16.0 |
| | 55.7 |
| | 46.7 |
|
| Other | — |
| | — |
| | 0.4 |
| | 0.2 |
|
| Total | 167.7 |
| | 170.3 |
| | 724.0 |
| | 664.2 |
|
| Weather Adjustment | (0.1) |
| | (0.8) |
| | 0.6 |
| | 52.2 |
|
| Sales and Transportation Volumes - Excluding Weather | 167.6 |
| | 169.5 |
| | 724.6 |
| | 716.4 |
|
| | | | | | | | |
| Heating Degree Days | 94 |
| | 123 |
| | 3,576 |
| | 2,859 |
|
| Normal Heating Degree Days | 85 |
| | 88 |
| | 3,576 |
| | 3,627 |
|
| % Colder (Warmer) than Normal | 11 | % | | 40 | % | | — | % | | (21 | )% |
| | | | | | | | |
| Customers | | | | | | | |
| Residential | | | | | 3,022,289 |
| | 3,006,298 |
|
| Commercial | | | | | 276,219 |
| | 275,356 |
|
| Industrial | | | | | 7,488 |
| | 7,706 |
|
| Other | | | | | 22 |
| | 22 |
|
| Total | | | | | 3,306,018 |
| | 3,289,382 |
|
| | | | | | | | |
| | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| |
| Columbia Pipeline Group Operations | 2013 | | 2012 | | 2013 | | 2012 |
| Throughput (MMDth) | | | | | | | |
| Columbia Transmission | 158.4 |
| | 189.1 |
| | 790.8 |
| | 778.9 |
|
| Columbia Gulf | 134.0 |
| | 205.9 |
| | 494.0 |
| | 669.8 |
|
| Crossroads Pipeline | 4.1 |
| | 3.3 |
| | 12.4 |
| | 11.7 |
|
| Intrasegment eliminations | (36.5) |
| | (86.1) |
| | (211.8) |
| | (314.6) |
|
| Total | 260.0 |
| | 312.2 |
| | 1,085.4 |
| | 1,145.8 |
|
NiSource Inc.
Segment Volumes and Statistical Data
|
| | | | | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| |
| Electric Operations | 2013 | | 2012 | | 2013 | | 2012 |
| Sales (Gigawatt Hours) | | | | | | | |
| Residential | 1,000.5 |
| | 1,118.7 |
| | 2,633.7 |
| | 2,761.1 |
|
| Commercial | 1,066.1 |
| | 1,071.1 |
| | 2,929.9 |
| | 2,955.3 |
|
| Industrial | 2,337.2 |
| | 2,247.9 |
| | 6,913.1 |
| | 6,964.9 |
|
| Wholesale | 108.6 |
| | 157.9 |
| | 664.6 |
| | 233.0 |
|
| Other | 31.3 |
| | 26.7 |
| | 91.5 |
| | 85.1 |
|
| Total | 4,543.7 |
| | 4,622.3 |
| | 13,232.8 |
| | 12,999.4 |
|
| Weather Adjustment | 44.0 |
| | (87.5) |
| | 26.4 |
| | (160.7) |
|
| Sales Volumes - Excluding Weather impacts | 4,587.7 |
| | 4,534.8 |
| | 13,259.2 |
| | 12,838.7 |
|
| | | | | | | | |
| Cooling Degree Days | 531 |
| | 674 |
| | 781 |
| | 1,051 |
|
| Normal Cooling Degree Days | 570 |
| | 578 |
| | 799 |
| | 808 |
|
| % (Colder) Warmer than Normal | (7 | )% | | 17 | % | | (2 | )% | | 30 | % |
| | | | | | | | |
| Electric Customers | | | | | | | |
| Residential | | | | | 401,174 |
| | 400,158 |
|
| Commercial | | | | | 54,267 |
| | 53,884 |
|
| Industrial | | | | | 2,371 |
| | 2,441 |
|
| Wholesale | | | | | 728 |
| | 715 |
|
| Other | | | | | 6 |
| | 6 |
|
| Total | | | | | 458,546 |
| | 457,204 |
|
NiSource Inc.
Schedule 1 – Reconciliation of Net Operating Earnings to GAAP
|
| | | | | | | | | | | | | | | |
| | Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| |
| (in millions, except per share amounts) | 2013 | | 2012 | | 2013 | | 2012 |
| Net Operating Earnings from Continuing Operations (Non-GAAP) | $ | 57.1 |
| | $ | 12.2 |
| | $ | 345.2 |
| | $ | 290.2 |
|
| Items excluded from operating earnings | | | | | | | |
| Net Revenues: | | | | | | | |
| Weather - compared to normal | (3.0 | ) | | 6.6 |
| | (2.9 | ) | | (30.4 | ) |
| Settlement Agreement | (3.2 | ) | | — |
| | (3.2 | ) | | — |
|
| Operating Expenses: | | | | | | | |
| Legal reserve adjustment | — |
| | — |
| | — |
| | 3.1 |
|
| (Loss) Gain on sale of assets and asset impairments | (1.1 | ) | | 0.7 |
| | (0.9 | ) | | 3.7 |
|
| Total items excluded from operating earnings | (7.3 | ) | | 7.3 |
| | (7.0 | ) | | (23.6 | ) |
| Other Deductions: | | | | | | | |
| Investment impairment | — |
| | — |
| | — |
| | (0.7 | ) |
| Tax effect of above items | 2.8 |
| | (2.9 | ) | | 2.8 |
| | 10.8 |
|
| Income taxes - rate changes | (3.1 | ) | | — |
| | (3.1 | ) | | — |
|
| Total items excluded from net operating earnings | (7.6 | ) | | 4.4 |
| | (7.3 | ) | | (13.5 | ) |
| Reported Income from Continuing Operations - GAAP | $ | 49.5 |
| | $ | 16.6 |
| | $ | 337.9 |
| | $ | 276.7 |
|
| Basic Average Common Shares Outstanding | 312.8 |
| | 290.3 |
| | 312.1 |
| | 285.9 |
|
| Basic Net Operating Earnings Per Share from Continuing Operations | $ | 0.18 |
| | $ | 0.04 |
| | $ | 1.11 |
| | $ | 1.02 |
|
| Items excluded from net operating earnings (after-tax) | (0.02 | ) | | 0.01 |
| | (0.03 | ) | | (0.05 | ) |
| GAAP Basic Earnings Per Share from Continuing Operations | $ | 0.16 |
| | $ | 0.05 |
| | $ | 1.08 |
| | $ | 0.97 |
|
NiSource Inc.
Schedule 2 – Adjustments by Segment from Operating Earnings to GAAP
For the Quarter ended September 30,
|
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | |
2013 (in millions) | | Gas Distribution | | Columbia Pipeline Group | | Electric | | Corporate & Other | | Total |
| Operating Earnings (Loss) | | $ | (0.5 | ) | | $ | 98.7 |
| | $ | 90.5 |
| | $ | (5.0 | ) | | $ | 183.7 |
|
| Net Revenues: | | | | | | | | | | |
| Weather - compared to normal | | — |
| | — |
| | (3.0 | ) | | — |
| | (3.0 | ) |
| Settlement Agreement | | (3.2 | ) | | — |
| | — |
| | — |
| | (3.2 | ) |
| Total Impact - Net Revenues | | (3.2 | ) | | — |
| | (3.0 | ) | | — |
| | (6.2 | ) |
| Operating Expenses: | | | | | | | | | | |
| (Loss) Gain on sale of assets and asset impairments | | (1.3 | ) | | — |
| | — |
| | 0.2 |
| | (1.1 | ) |
| Total Impact - Operating Expenses | | (1.3 | ) | | — |
| | — |
| | 0.2 |
| | (1.1 | ) |
| Total Impact - Operating (Loss) Income | | $ | (4.5 | ) | | $ | — |
| | $ | (3.0 | ) | | $ | 0.2 |
| | $ | (7.3 | ) |
| Operating (Loss) Income - GAAP | | $ | (5.0 | ) | | $ | 98.7 |
| | $ | 87.5 |
| | $ | (4.8 | ) | | $ | 176.4 |
|
| | | | | | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
2012 (in millions) | | Gas Distribution | | Columbia Pipeline Group | | Electric | | Corporate & Other | | Total |
| Operating Earnings (Loss) | | $ | 9.7 |
| | $ | 38.8 |
| | $ | 77.8 |
| | $ | (2.1 | ) | | $ | 124.2 |
|
| Net Revenues: | | | | | | | | | | |
| Weather - compared to normal | | 0.7 |
| | — |
| | 5.9 |
| | — |
| | 6.6 |
|
| Total Impact - Net Revenues | | 0.7 |
| | — |
| | 5.9 |
| | — |
| | 6.6 |
|
| Operating Expenses: | | | | | | | | | | |
| Gain on sale of assets and asset impairments | | — |
| | — |
| | — |
| | 0.7 |
| | 0.7 |
|
| Total Impact - Operating Expenses | | — |
| | — |
| | — |
| | 0.7 |
| | 0.7 |
|
| Total Impact - Operating Income | | $ | 0.7 |
| | $ | — |
| | $ | 5.9 |
| | $ | 0.7 |
| | $ | 7.3 |
|
| Operating Income (Loss) - GAAP | | $ | 10.4 |
| | $ | 38.8 |
| | $ | 83.7 |
| | $ | (1.4 | ) | | $ | 131.5 |
|
NiSource Inc.
Schedule 2 – Adjustments by Segment from Operating Earnings to GAAP
For the Nine Months ended September 30,
|
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | |
2013 (in millions) | | Gas Distribution | | Columbia Pipeline Group | | Electric | | Corporate & Other | | Total |
| Operating Earnings (Loss) | | $ | 284.6 |
| | $ | 320.8 |
| | $ | 214.0 |
| | $ | (13.1 | ) | | $ | 806.3 |
|
| Net Revenues: | | | | | | | | | | |
| Weather - compared to normal | | (1.1 | ) | | — |
| | (1.8 | ) | | — |
| | (2.9 | ) |
| Settlement Agreement | | (3.2 | ) | | — |
| | — |
| | — |
| | (3.2 | ) |
| Total Impact - Net Revenues | | (4.3 | ) | | — |
| | (1.8 | ) | | — |
| | (6.1 | ) |
| Operating Expenses: | | | | | | | | | | |
| (Loss) Gain on sale of assets and asset impairments | | (1.2 | ) | | 0.2 |
| | — |
| | 0.1 |
| | (0.9 | ) |
| Total Impact - Operating Expenses | | (1.2 | ) | | 0.2 |
| | — |
| | 0.1 |
| | (0.9 | ) |
| Total Impact - Operating (Loss) Income | | $ | (5.5 | ) | | $ | 0.2 |
| | $ | (1.8 | ) | | $ | 0.1 |
| | $ | (7.0 | ) |
| Operating Income (Loss) - GAAP | | $ | 279.1 |
| | $ | 321.0 |
| | $ | 212.2 |
| | $ | (13.0 | ) | | $ | 799.3 |
|
| | | | | | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
2012 (in millions) | | Gas Distribution | | Columbia Pipeline Group | | Electric | | Corporate & Other | | Total |
| Operating Earnings (Loss) | | $ | 304.9 |
| | $ | 269.0 |
| | $ | 186.0 |
| | $ | (2.8 | ) | | $ | 757.1 |
|
| Net Revenues: | | | | | | | | | | |
| Weather - compared to normal | | (41.5 | ) | | — |
| | 11.1 |
| | — |
| | (30.4 | ) |
| Total Impact - Net Revenues | | (41.5 | ) | | — |
| | 11.1 |
| | — |
| | (30.4 | ) |
| Operating Expenses: | | | | | | | | | | |
| Legal reserve adjustment | | — |
| | — |
| | 3.1 |
| | — |
| | 3.1 |
|
| (Loss) Gain on sale of assets and asset impairments | | — |
| | (0.1 | ) | | — |
| | 3.8 |
| | 3.7 |
|
| Total Impact - Operating Expenses | | — |
| | (0.1 | ) | | 3.1 |
| | 3.8 |
| | 6.8 |
|
| Total Impact - Operating (Loss) Income | | $ | (41.5 | ) | | $ | (0.1 | ) | | $ | 14.2 |
| | $ | 3.8 |
| | $ | (23.6 | ) |
| Operating Income - GAAP | | $ | 263.4 |
| | $ | 268.9 |
| | $ | 200.2 |
| | $ | 1.0 |
| | $ | 733.5 |
|
NiSource Inc.
Consolidated Income Statements (GAAP)
(unaudited)
|
| | | | | | | | | | | | | | | |
| Three Months Ended
September 30, | | Nine Months Ended
September 30, |
| (in millions, except per share amounts) | 2013 | | 2012 | | 2013 | | 2012 |
| Net Revenues | | | | | | |
| Gas Distribution | $ | 255.1 |
| | $ | 226.3 |
| | $ | 1,540.6 |
| | $ | 1,382.6 |
|
| Gas Transportation and Storage | 346.9 |
| | 278.3 |
| | 1,181.9 |
| | 1,043.7 |
|
| Electric | 413.4 |
| | 418.0 |
| | 1,175.2 |
| | 1,147.7 |
|
| Other | 61.4 |
| | 33.6 |
| | 162.8 |
| | 63.3 |
|
| Gross Revenues | 1,076.8 |
| | 956.2 |
| | 4,060.5 |
| | 3,637.3 |
|
| Cost of Sales (excluding depreciation and amortization) | 243.0 |
| | 227.2 |
| | 1,268.3 |
| | 1,090.3 |
|
| Total Net Revenues | 833.8 |
| | 729.0 |
| | 2,792.2 |
| | 2,547.0 |
|
| Operating Expenses | | | | | | | |
| Operation and maintenance | 468.9 |
| | 418.6 |
| | 1,375.6 |
| | 1,208.2 |
|
| Depreciation and amortization | 144.5 |
| | 125.3 |
| | 431.4 |
| | 418.0 |
|
| Gain on sale of assets, net | (9.8 | ) | | (0.7 | ) | | (10.2 | ) | | (3.8 | ) |
| Other taxes | 64.3 |
| | 62.3 |
| | 221.7 |
| | 215.3 |
|
| Total Operating Expenses | 667.9 |
| | 605.5 |
| | 2,018.5 |
| | 1,837.7 |
|
| Equity Earnings in Unconsolidated Affiliates | 10.5 |
| | 8.0 |
| | 25.6 |
| | 24.2 |
|
| Operating Income | 176.4 |
| | 131.5 |
| | 799.3 |
| | 733.5 |
|
| Other Income (Deductions) | | | | | | | |
| Interest expense, net | (103.7 | ) | | (107.9 | ) | | (304.3 | ) | | (314.4 | ) |
| Other, net | 4.7 |
| | 2.2 |
| | 22.1 |
| | 5.3 |
|
| Total Other Deductions | (99.0 | ) | | (105.7 | ) | | (282.2 | ) | | (309.1 | ) |
| Income from Continuing Operations before Income Taxes | 77.4 |
| | 25.8 |
| | 517.1 |
| | 424.4 |
|
| Income Taxes | 27.9 |
| | 9.2 |
| | 179.2 |
| | 147.7 |
|
| Income from Continuing Operations | 49.5 |
| | 16.6 |
| | 337.9 |
| | 276.7 |
|
| Income from Discontinued Operations - net of taxes | 0.1 |
| | 2.7 |
| | 7.5 |
| | 5.4 |
|
| (Loss) Gain on Disposition of Discontinued Operations - net of taxes | (1.5 | ) | | — |
| | 34.9 |
| | — |
|
| Net Income | $ | 48.1 |
| | $ | 19.3 |
| | $ | 380.3 |
| | $ | 282.1 |
|
| Basic Earnings Per Share | | | | | | | |
| Continuing operations | $ | 0.16 |
| | $ | 0.05 |
| | $ | 1.08 |
| | $ | 0.97 |
|
| Discontinued operations | — |
| | 0.01 |
| | 0.14 |
| | 0.02 |
|
| Basic Earnings Per Share | $ | 0.16 |
| | $ | 0.06 |
| | $ | 1.22 |
| | $ | 0.99 |
|
| Diluted Earnings Per Share | | | | | | | |
| Continuing operations | $ | 0.16 |
| | $ | 0.05 |
| | $ | 1.08 |
| | $ | 0.93 |
|
| Discontinued operations | — |
| | 0.01 |
| | 0.14 |
| | 0.02 |
|
| Diluted Earnings Per Share | $ | 0.16 |
| | $ | 0.06 |
| | $ | 1.22 |
| | $ | 0.95 |
|
| Dividends Declared Per Common Share | $ | 0.25 |
| | $ | 0.24 |
| | $ | 0.98 |
| | $ | 0.94 |
|
| Basic Average Common Shares Outstanding | 312.8 |
| | 290.3 |
| | 312.1 |
| | 285.9 |
|
| Diluted Average Common Shares | 313.8 |
| | 300.0 |
| | 313.0 |
| | 296.7 |
|
NiSource Inc.
Consolidated Balance Sheets (GAAP)
(unaudited)
|
| | | | | | | |
| (in millions) | September 30,
2013 | | December 31,
2012 |
| ASSETS | | | |
| Property, Plant and Equipment | | | |
| Utility plant | $ | 22,869.7 |
| | $ | 21,642.3 |
|
| Accumulated depreciation and amortization | (9,258.6 | ) | | (8,986.4 | ) |
| Net utility plant | 13,611.1 |
| | 12,655.9 |
|
| Other property, at cost, less accumulated depreciation | 301.3 |
| | 260.0 |
|
| Net Property, Plant and Equipment | 13,912.4 |
| | 12,915.9 |
|
| Investments and Other Assets | | | |
| Unconsolidated affiliates | 327.8 |
| | 243.3 |
|
| Other investments | 201.6 |
| | 194.4 |
|
| Total Investments and Other Assets | 529.4 |
| | 437.7 |
|
| Current Assets | | | |
| Cash and cash equivalents | 14.9 |
| | 36.3 |
|
| Restricted cash | 18.3 |
| | 46.8 |
|
| Accounts receivable (less reserve of $20.2 and $24.0, respectively) | 591.0 |
| | 907.3 |
|
| Income tax receivable | 6.4 |
| | 130.9 |
|
| Gas inventory | 454.8 |
| | 326.6 |
|
| Underrecovered gas and fuel costs | 16.4 |
| | 45.0 |
|
| Materials and supplies, at average cost | 99.9 |
| | 97.4 |
|
| Electric production fuel, at average cost | 39.8 |
| | 71.7 |
|
| Price risk management assets | 21.1 |
| | 0.5 |
|
| Exchange gas receivable | 84.3 |
| | 51.3 |
|
| Assets of discontinued operations and assets held for sale | — |
| | 133.9 |
|
| Regulatory assets | 152.5 |
| | 162.8 |
|
| Prepayments and other | 246.1 |
| | 357.2 |
|
| Total Current Assets | 1,745.5 |
| | 2,367.7 |
|
| Other Assets | | | |
| Price risk management assets | — |
| | 40.7 |
|
| Regulatory assets | 1,863.2 |
| | 2,024.4 |
|
| Goodwill | 3,666.2 |
| | 3,677.3 |
|
| Intangible assets | 278.4 |
| | 286.6 |
|
| Deferred charges and other | 89.0 |
| | 94.4 |
|
| Total Other Assets | 5,896.8 |
| | 6,123.4 |
|
| Total Assets | $ | 22,084.1 |
| | $ | 21,844.7 |
|
NiSource Inc.
Consolidated Balance Sheets (GAAP) (continued)
(unaudited)
|
| | | | | | | |
| (in millions, except share amounts) | September 30,
2013 | | December 31,
2012 |
| CAPITALIZATION AND LIABILITIES | | | |
| Capitalization | | | |
| Common Stockholders’ Equity | | | |
| Common stock - $0.01 par value, 400,000,000 shares authorized; 313,135,192 and 310,280,867 shares outstanding, respectively | $ | 3.2 |
| | $ | 3.1 |
|
| Additional paid-in capital | 4,672.9 |
| | 4,597.6 |
|
| Retained earnings | 1,133.8 |
| | 1,059.6 |
|
| Accumulated other comprehensive loss | (60.4 | ) | | (65.5 | ) |
| Treasury stock | (48.6 | ) | | (40.5 | ) |
| Total Common Stockholders’ Equity | 5,700.9 |
| | 5,554.3 |
|
| Long-term debt, excluding amounts due within one year | 7,089.1 |
| | 6,819.1 |
|
| Total Capitalization | 12,790.0 |
| | 12,373.4 |
|
| Current Liabilities | | | |
| Current portion of long-term debt | 541.2 |
| | 507.2 |
|
| Short-term borrowings | 820.8 |
| | 776.9 |
|
| Accounts payable | 369.6 |
| | 538.9 |
|
| Dividends payable | 78.3 |
| | — |
|
| Customer deposits and credits | 249.2 |
| | 269.6 |
|
| Taxes accrued | 181.3 |
| | 235.5 |
|
| Interest accrued | 71.6 |
| | 133.7 |
|
| Overrecovered gas and fuel costs | 31.7 |
| | 22.1 |
|
| Price risk management liabilities | 8.8 |
| | 8.2 |
|
| Exchange gas payable | 207.3 |
| | 146.2 |
|
| Deferred revenue | 21.3 |
| | 42.8 |
|
| Regulatory liabilities | 75.5 |
| | 171.6 |
|
| Accrued liability for postretirement and postemployment benefits | 6.1 |
| | 6.1 |
|
| Liabilities of discontinued operations and liabilities held for sale | — |
| | 108.6 |
|
| Legal and environmental reserves | 34.2 |
| | 42.2 |
|
| Other accruals | 308.7 |
| | 309.7 |
|
| Total Current Liabilities | 3,005.6 |
| | 3,319.3 |
|
| Other Liabilities and Deferred Credits | | | |
| Price risk management liabilities | 1.5 |
| | 2.6 |
|
| Deferred income taxes | 3,133.5 |
| | 2,953.3 |
|
| Deferred investment tax credits | 21.9 |
| | 24.8 |
|
| Deferred credits | 94.9 |
| | 84.1 |
|
| Noncurrent deferred revenue | 23.1 |
| | — |
|
| Accrued liability for postretirement and postemployment benefits | 1,003.1 |
| | 1,107.3 |
|
| Regulatory liabilities and other removal costs | 1,615.9 |
| | 1,593.3 |
|
| Asset retirement obligations | 175.5 |
| | 160.4 |
|
| Other noncurrent liabilities | 219.1 |
| | 226.2 |
|
| Total Other Liabilities and Deferred Credits | 6,288.5 |
| | 6,152.0 |
|
| Commitments and Contingencies | — |
| | — |
|
| Total Capitalization and Liabilities | $ | 22,084.1 |
| | $ | 21,844.7 |
|
NiSource Inc.
Statements of Consolidated Cash Flows (GAAP)
(unaudited)
|
| | | | | | | |
| Nine Months Ended September 30, (in millions) | 2013 | | 2012 |
| Operating Activities | | | |
| Net Income | $ | 380.3 |
| | $ | 282.1 |
|
| Adjustments to Reconcile Net Income to Net Cash from Continuing Operations: | | | |
| Depreciation and amortization | 431.4 |
| | 418.0 |
|
| Net changes in price risk management assets and liabilities | 1.9 |
| | 1.2 |
|
| Deferred income taxes and investment tax credits | 199.1 |
| | 132.8 |
|
| Deferred revenue | 1.6 |
| | (0.7 | ) |
| Stock compensation expense and 401(k) profit sharing contribution | 39.7 |
| | 33.0 |
|
| Gain on sale of assets | (10.2 | ) | | (3.8 | ) |
| Income from unconsolidated affiliates | (25.5 | ) | | (22.9 | ) |
| Gain on disposition of discontinued operations - net of tax | (34.9 | ) | | — |
|
| Income from discontinued operations - net of taxes | (7.5 | ) | | (5.4 | ) |
| Amortization of debt related costs | 7.0 |
| | 7.3 |
|
| AFUDC equity | (12.7 | ) | | (4.7 | ) |
| Distributions of earnings received from equity investees | 19.0 |
| | 25.1 |
|
| Changes in Assets and Liabilities: | | | |
| Accounts receivable | 318.4 |
| | 333.9 |
|
| Income tax receivable | 124.6 |
| | (55.1 | ) |
| Inventories | (103.7 | ) | | 19.6 |
|
| Accounts payable | (177.7 | ) | | (151.0 | ) |
| Customer deposits and credits | (20.4 | ) | | (50.0 | ) |
| Taxes accrued | (68.0 | ) | | (41.3 | ) |
| Interest accrued | (62.1 | ) | | (29.0 | ) |
| Over(Under)recovered gas and fuel costs | 38.1 |
| | (9.1 | ) |
| Exchange gas receivable/payable | 28.1 |
| | (10.2 | ) |
| Other accruals | (36.5 | ) | | (90.9 | ) |
| Prepayments and other current assets | 45.5 |
| | 48.3 |
|
| Regulatory assets/liabilities | 71.5 |
| | 96.3 |
|
| Postretirement and postemployment benefits | (95.9 | ) | | (11.6 | ) |
| Deferred credits | 11.1 |
| | 7.6 |
|
| Deferred charges and other noncurrent assets | 11.8 |
| | 28.1 |
|
| Other noncurrent liabilities | (6.3 | ) | | 4.1 |
|
| Net Operating Activities from Continuing Operations | 1,067.7 |
| | 951.7 |
|
| Net Operating Activities from (used for) Discontinued Operations | 10.9 |
| | (9.9 | ) |
| Net Cash Flows from Operating Activities | 1,078.6 |
| | 941.8 |
|
| Investing Activities | | | |
| Capital expenditures | (1,297.3 | ) | | (1,022.2 | ) |
| Insurance recoveries | 6.4 |
| | 3.0 |
|
| Proceeds from disposition of assets | 17.9 |
| | 23.6 |
|
| Restricted cash withdrawals | 28.5 |
| | 95.8 |
|
| Contributions to equity investees | (77.1 | ) | | (11.3 | ) |
| Other investing activities | (48.4 | ) | | (38.1 | ) |
| Net Investing Activities used for Continuing Operations | (1,370.0 | ) | | (949.2 | ) |
| Net Investing Activities from (used for) Discontinued Operations | 118.7 |
| | (2.1 | ) |
| Net Cash Flows used for Investing Activities | (1,251.3 | ) | | (951.3 | ) |
| Financing Activities | | | |
| Issuance of long-term debt | 815.3 |
| | 991.4 |
|
| Repayments of long-term debt and capital lease obligations | (505.2 | ) | | (11.6 | ) |
| Premiums and other debt related costs | (3.2 | ) | | (3.4 | ) |
| Change in short-term borrowings, net | 43.9 |
| | (1,133.7 | ) |
| Issuance of common stock | 36.1 |
| | 376.4 |
|
| Acquisition of treasury stock | (8.0 | ) | | (10.0 | ) |
| Dividends paid - common stock | (227.6 | ) | | (198.8 | ) |
| Net Cash Flows from Financing Activities | 151.3 |
| | 10.3 |
|
| Change in cash and cash equivalents (used for) from continuing operations | (151.0 | ) | | 12.8 |
|
| Cash contributions from (to) discontinued operations | 129.6 |
| | (12.0 | ) |
| Cash and cash equivalents at beginning of period | 36.3 |
| | 11.5 |
|
| Cash and Cash Equivalents at End of Period | $ | 14.9 |
| | $ | 12.3 |
|
