Exhibit 99.2
DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)
Consolidated Statements of Financial Position (Unaudited)
March 31 | December 31 | |||||||
(in Millions) | 2011 | 2010 | ||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash and cash equivalents | $ | 197 | $ | 65 | ||||
Restricted cash | 67 | 120 | ||||||
Accounts receivable (less allowance for doubtful accounts of $178 and $196, respectively) | ||||||||
Customer | 1,401 | 1,393 | ||||||
Other | 112 | 402 | ||||||
Inventories | ||||||||
Fuel and gas | 328 | 460 | ||||||
Materials and supplies | 208 | 202 | ||||||
Deferred income taxes | 132 | 139 | ||||||
Derivative assets | 122 | 131 | ||||||
Other | 233 | 255 | ||||||
2,800 | 3,167 | |||||||
Investments | ||||||||
Nuclear decommissioning trust funds | 961 | 939 | ||||||
Other | 521 | 518 | ||||||
1,482 | 1,457 | |||||||
Property | ||||||||
Property, plant and equipment | 21,729 | 21,574 | ||||||
Less accumulated depreciation, depletion and amortization | (8,676 | ) | (8,582 | ) | ||||
13,053 | 12,992 | |||||||
Other Assets | ||||||||
Goodwill | 2,020 | 2,020 | ||||||
Regulatory assets | 3,980 | 4,058 | ||||||
Securitized regulatory assets | 692 | 729 | ||||||
Intangible assets | 69 | 67 | ||||||
Notes receivable | 130 | 123 | ||||||
Derivative assets | 59 | 77 | ||||||
Other | 204 | 206 | ||||||
7,154 | 7,280 | |||||||
Total Assets | $ | 24,489 | $ | 24,896 | ||||
DTE Energy Company
Consolidated Statements of Financial Position (unaudited)
Consolidated Statements of Financial Position (unaudited)
March 31 | December 31 | |||||||
(in Millions, except shares) | 2011 | 2010 | ||||||
LIABILITIES AND EQUITY | ||||||||
Current Liabilities | ||||||||
Accounts payable | $ | 631 | $ | 729 | ||||
Accrued interest | 134 | 111 | ||||||
Dividends payable | 95 | 95 | ||||||
Short-term borrowings | — | 150 | ||||||
Current portion long-term debt, including capital leases | 899 | 925 | ||||||
Derivative liabilities | 127 | 142 | ||||||
Gas inventory equalization | 204 | — | ||||||
Other | 465 | 597 | ||||||
2,555 | 2,749 | |||||||
Long-Term Debt (net of current portion) | ||||||||
Mortgage bonds, notes and other | 6,129 | 6,114 | ||||||
Securitization bonds | 559 | 643 | ||||||
Trust preferred-linked securities | 289 | 289 | ||||||
Capital lease obligations | 38 | 43 | ||||||
7,015 | 7,089 | |||||||
Other Liabilities | ||||||||
Deferred income taxes | 2,631 | 2,632 | ||||||
Regulatory liabilities | 1,382 | 1,328 | ||||||
Asset retirement obligations | 1,535 | 1,498 | ||||||
Unamortized investment tax credit | 73 | 75 | ||||||
Derivative liabilities | 90 | 110 | ||||||
Liabilities from transportation and storage contracts | 79 | 83 | ||||||
Accrued pension liability | 673 | 866 | ||||||
Accrued postretirement liability | 1,222 | 1,275 | ||||||
Nuclear decommissioning | 151 | 149 | ||||||
Other | 246 | 275 | ||||||
8,082 | 8,291 | |||||||
Commitments and Contingencies | ||||||||
Equity | ||||||||
Common stock, without par value, 400,000,000 shares authorized, 169,346,329 and 169,428,406 shares issued and outstanding, respectively | 3,428 | 3,440 | ||||||
Retained earnings | 3,513 | 3,431 | ||||||
Accumulated other comprehensive loss | (148 | ) | (149 | ) | ||||
Total DTE Energy Company Equity | 6,793 | 6,722 | ||||||
Noncontrolling interests | 44 | 45 | ||||||
Total Equity | 6,837 | 6,767 | ||||||
Total Liabilities and Equity | $ | 24,489 | $ | 24,896 | ||||
DTEEnergy Company
Consolidated Statements of Cash Flows (Unaudited)
Consolidated Statements of Cash Flows (Unaudited)
Three Months Ended | ||||||||
March 31 | ||||||||
(in Millions) | 2011 | 2010 | ||||||
Operating Activities | ||||||||
Net income | $ | 178 | $ | 230 | ||||
Adjustments to reconcile net income to net cash from operating activities: | ||||||||
Depreciation, depletion and amortization | 245 | 251 | ||||||
Deferred income taxes | 48 | 36 | ||||||
Asset (gains), losses and reserves, net | 11 | 1 | ||||||
Changes in assets and liabilities, exclusive of changes shown separately | 240 | 299 | ||||||
Net cash from operating activities | 722 | 817 | ||||||
Investing Activities | ||||||||
Plant and equipment expenditures — utility | (253 | ) | (209 | ) | ||||
Plant and equipment expenditures — non-utility | (17 | ) | (30 | ) | ||||
Proceeds from sale of assets, net | 4 | 13 | ||||||
Restricted cash for debt redemption | 53 | 49 | ||||||
Proceeds from sale of nuclear decommissioning trust fund assets | 20 | 59 | ||||||
Investment in nuclear decommissioning trust funds | (28 | ) | (68 | ) | ||||
Consolidation of VIEs | — | 19 | ||||||
Other | (23 | ) | (4 | ) | ||||
Net cash used for investing activities | (244 | ) | (171 | ) | ||||
Financing Activities | ||||||||
Redemption of long-term debt | (94 | ) | (90 | ) | ||||
Short-term borrowings, net | (150 | ) | (327 | ) | ||||
Issuance of common stock | — | 9 | ||||||
Repurchase of common stock | (9 | ) | — | |||||
Dividends on common stock | (95 | ) | (88 | ) | ||||
Other | 2 | (9 | ) | |||||
Net cash used for financing activities | (346 | ) | (505 | ) | ||||
Net Increase in Cash and Cash Equivalents | 132 | 141 | ||||||
Cash and Cash Equivalents at Beginning of Period | 65 | 52 | ||||||
Cash and Cash Equivalents at End of Period | $ | 197 | $ | 193 | ||||
The Detroit Edison Company
Consolidated Statements of Operations (Unaudited)
Consolidated Statements of Operations (Unaudited)
Three Months Ended | ||||||||
March 31 | ||||||||
(in Millions) | 2011 | 2010 | ||||||
Operating Revenues | $ | 1,192 | $ | 1,146 | ||||
Operating Expenses | ||||||||
Fuel and purchased power | 378 | 343 | ||||||
Operation and maintenance | 329 | 309 | ||||||
Depreciation and amortization | 202 | 204 | ||||||
Taxes other than income | 59 | 65 | ||||||
Asset (gains) and losses, net | 19 | (1 | ) | |||||
987 | 920 | |||||||
Operating Income | 205 | 226 | ||||||
Other (Income) and Deductions | ||||||||
Interest expense | 71 | 81 | ||||||
Other income | (10 | ) | (8 | ) | ||||
Other expenses | 6 | 6 | ||||||
67 | 79 | |||||||
Income Before Income Taxes | 138 | 147 | ||||||
Income Tax Provision | 53 | 56 | ||||||
Net Income | $ | 85 | $ | 91 | ||||
MICHIGAN CONSOLIDATED GAS COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
Three Months Ended | ||||||||
March 31 | ||||||||
(in Millions) | 2011 | 2010 | ||||||
Operating Revenues | $ | 680 | $ | 745 | ||||
Operating Expenses | ||||||||
Cost of gas | 399 | 458 | ||||||
Operation and maintenance | 101 | 108 | ||||||
Depreciation and amortization | 22 | 26 | ||||||
Taxes other than income | 17 | 16 | ||||||
539 | 608 | |||||||
Operating Income | 141 | 137 | ||||||
Other (Income) and Deductions | ||||||||
Interest expense | 16 | 17 | ||||||
Interest income | (2 | ) | (2 | ) | ||||
Other income | (2 | ) | (2 | ) | ||||
Other expenses | 1 | 1 | ||||||
13 | 14 | |||||||
Income Before Income Taxes | 128 | 123 | ||||||
Income Tax Provision | 46 | 44 | ||||||
Net Income | $ | 82 | $ | 79 | ||||
DTE Energy Debt/Equity Calculation
As of March 31, 2011
($ millions)
As of March 31, 2011
($ millions)
Short-term borrowings | $ | — | ||
Current portion of long-term debt, including capital leases | 899 | |||
Mortgage bonds, notes and other | 6,129 | |||
Securitization bonds, excluding current portion | 559 | |||
Capital lease obligations | 38 | |||
Other adjustments | 321 | |||
less Securitization bonds, including current portion | (717 | ) | ||
50% Trust preferred-linked securities | 144 | |||
Total debt | 7,373 | |||
50% Trust preferred-linked securities | 144 | |||
Total preferred/ other | 144 | |||
Equity | 6,793 | |||
Total capitalization | $ | 14,310 | ||
Debt | 52 | % | ||
Preferred | 1 | % | ||
Common shareholders’ equity | 47 | % | ||
Total | 100 | % | ||
Sales Analysis — Q1 2011
Electric Sales — Detroit Edison Service Area (GWh)
Q1 2011 | Q1 2010 | % Change | ||||||||||
Residential | 3,889 | 3,665 | 6 | % | ||||||||
Commercial | 3,993 | 3,942 | 1 | % | ||||||||
Industrial | 2,341 | 2,475 | -5 | % | ||||||||
Other | 798 | 802 | 0 | % | ||||||||
11,021 | 10,884 | 1 | % | |||||||||
Choice | 1,302 | 1,103 | 18 | % | ||||||||
TOTAL SALES | 12,323 | 11,987 | 3 | % | ||||||||
Electric Revenue — Detroit Edison Service Area ($000s)
Q1 2011 | Q1 2010 | % Change | ||||||||||
Residential | 519,437 | 467,973 | 11 | % | ||||||||
Commercial | 395,706 | 385,170 | 3 | % | ||||||||
Industrial | 164,301 | 160,679 | 2 | % | ||||||||
Other | 48,712 | 45,757 | 6 | % | ||||||||
1,128,156 | 1,059,579 | 6 | % | |||||||||
Choice | 26,034 | 25,728 | 1 | % | ||||||||
TOTAL REVENUES | 1,154,191 | 1,085,307 | 6 | % | ||||||||
Gas Sales — MichCon Service Area (MMcf)
Q1 2011 | Q1 2010 | % Change | ||||||||||
Residential | 47,659 | 43,157 | 10 | % | ||||||||
Commercial | 12,503 | 12,075 | 4 | % | ||||||||
Industrial | 299 | 216 | 38 | % | ||||||||
60,461 | 55,448 | 9 | % | |||||||||
End User Transportation* | 51,724 | 43,953 | 18 | % | ||||||||
TOTAL SALES | 112,185 | 99,401 | 13 | % | ||||||||
* | Includes choice customers |
Gas Revenue — MichCon Service Area ($000s)
Q1 2011 | Q1 2010 | % Change | ||||||||||
Residential | 443,274 | 474,263 | -7 | % | ||||||||
Commercial | 113,370 | 131,897 | -14 | % | ||||||||
Industrial | 2,512 | 2,359 | 7 | % | ||||||||
559,157 | 608,518 | -8 | % | |||||||||
End User Transportation* | 81,232 | 76,993 | 6 | % | ||||||||
TOTAL REVENUES | 640,389 | 685,511 | -7 | % | ||||||||
* | Includes choice customers |
Weather
Cooling Degree Days
Detroit Edison service territory
Q1 2011 | Q1 2010 | % Change | ||||||||||
Actuals | — | — | N/A | |||||||||
Normal | — | — | ||||||||||
Deviation from normal | N/A | N/A |
Heating Degree Days
MichCon service territory
Q1 2011 | Q1 2010 | % Change | ||||||||||
Actuals | 3,451 | 3,040 | 14 | % | ||||||||
Normal | 3,213 | 3,309 | ||||||||||
Deviation from normal | 7 | % | -8 | % |
Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)
Q1 2011 | Q1 2010 | |||||||
MichCon | 9 | (8 | ) Colder weather increased MichCon’s earnings by $9M Q1 2011. |
Detroit Edison Temperature Normal Sales Analysis — Q1 2011
Temperature Normal Electric Sales — Detroit Edison
Service Area (GWh)
Service Area (GWh)
Q1 2011 | Q1 2010 | % Change | ||||||||||
Residential | 3,783 | 3,762 | 1 | % | ||||||||
Commercial | 3,993 | 3,949 | 1 | % | ||||||||
Industrial | 2,341 | 2,475 | -5 | % | ||||||||
Other | 798 | 801 | 0 | % | ||||||||
10,915 | 10,987 | -1 | % | |||||||||
Choice | 1,302 | 1,104 | 18 | % | ||||||||
TOTAL SALES | 12,217 | 12,092 | 1 | % | ||||||||
Temperature Normal Electric Sales — Detroit Edison
Service Area (Includes Electric Choice) (GWh)
Service Area (Includes Electric Choice) (GWh)
Q1 2011 | Q1 2010 | % Change | ||||||||||
Residential | 3,783 | 3,762 | 1 | % | ||||||||
Commercial | 4,778 | 4,719 | 1 | % | ||||||||
Industrial | 2,858 | 2,809 | 2 | % | ||||||||
Other | 798 | 801 | 0 | % | ||||||||
TOTAL SALES | 12,217 | 12,092 | 1 | % | ||||||||