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INVESTOR NEWS
Exhibit 99.1
January 31, 2006
ENTERGY REPORTS FOURTH QUARTER EARNINGS
CLINTON, MISS - Entergy Corporation reported fourth quarter 2005 earnings of $0.43 per share on an as-reported basis and $0.59 per share on an operational basis, as shown in Table 1 below. A more detailed discussion of quarterly results begins on page 2 of this release.
Table 1: Consolidated Earnings - Reconciliation of GAAP to Non-GAAP Measures | ||||||
Fourth Quarter and Year-to-Date 2005 vs. 2004 | ||||||
(Per share in U.S. $) | ||||||
Fourth Quarter | Year-to-Date | |||||
2005 | 2004 | Change | 2005 | 2004 | Change | |
As-Reported Earnings | 0.43 | 0.68 | (0.25) | 4.19 | 3.93 | 0.26 |
Less Special Items | (0.16) | 0.18 | (0.34) | (0.21) | 0.13 | (0.34) |
Operational Earnings | 0.59 | 0.50 | 0.09 | 4.40 | 3.80 | 0.60 |
Weather Impact | 0.05 | - | 0.05 | 0.10 | (0.11) | 0.21 |
Operational Earnings Highlights for Fourth Quarter 2005
- Utility, Parent & Other continued to be negatively affected by two hurricanes resulting in lower sales primarily in the industrial sector partially offset by lower operation and maintenance expense.
- Entergy Nuclear results increased as the result of higher generation due to uprates and fewer planned outages during the current quarter, higher pricing, lower operation and maintenance expense and accretion.
- Entergy's non-nuclear wholesale assets business had improved results due to the sale of SO2 allowances.
"The post-hurricane rebuilding process continues with marked progress being advanced at various levels," saidJ. Wayne Leonard, Entergy's chief executive officer. "Entergy continues to conduct its business with the goal of providing a safe environment for our employees, a high level of service to our customers, and top quartile returns to our shareholders."
Other Quarterly Highlights:
- Entergy completed key elements of its financing plan including the issuance of $0.5 billion of new debt financing, the syndication of a new $1.5 billion corporate revolver and the successful marketing of $0.5 billion of equity units.
- Filings for recovery of storm costs were made in two jurisdictions with updated information on storm costs supplied in a third jurisdiction.
- Entergy Nuclear successfully completed the refueling outage at Vermont Yankee in 19 days.
- New contracts signed at Entergy Nuclear raised the average sold price for its energy by $3-$7 per megawatt hour for the years 2007-2009.
Entergy will host a teleconference to discuss this release at 10:00 a.m. CST on Tuesday, January 31, 2006, with access by telephone, 719-457-2621, confirmation code 3816450. The call and presentation slides can also be accessed via Entergy's web site atwww.entergy.com. A replay of the teleconference will be available for the following seven days by dialing 719-457-0820, confirmation code 3816450. The replay will also be available on Entergy's web site atwww.entergy.com.
I.Consolidated Results
Consolidated Earnings
Table 2 provides a comparative summary of consolidated earnings per share for fourth quarter and year-to-date 2005 versus 2004, including a reconciliation of GAAP as-reported earnings to non-GAAP operational earnings.
Table 2: Consolidated Earnings - Reconciliation of GAAP to Non-GAAP Measures | ||||||
Fourth Quarter and Year-to-Date 2005 vs. 2004 | ||||||
(Per share in U.S. $) | ||||||
Fourth Quarter | Year-to-Date | |||||
2005 | 2004 | Change | 2005 | 2004 | Change | |
As-Reported | ||||||
Utility, Parent & Other | - | 0.36 | (0.36) | 2.82 | 2.86 | (0.04) |
Entergy Nuclear | 0.37 | 0.22 | 0.15 | 1.32 | 1.06 | 0.26 |
Energy Commodity Services | ||||||
Non-nuclear wholesale assets | 0.06 | 0.25 | (0.19) | 0.05 | 0.23 | (0.18) |
Entergy-Koch Trading | - | (0.21) | 0.21 | - | (0.35) | 0.35 |
Gulf South Pipeline | - | 0.06 | (0.06) | - | 0.13 | (0.13) |
Total Energy Commodity Services | 0.06 | 0.10 | (0.04) | 0.05 | 0.01 | 0.04 |
Consolidated As-Reported Earnings | 0.43 | 0.68 | (0.25) | 4.19 | 3.93 | 0.26 |
Less Special Items | ||||||
Utility, Parent & Other | (0.16) | 0.07 | (0.23) | (0.21) | 0.07 | (0.28) |
Entergy Nuclear | - | - | - | - | - | - |
Energy Commodity Services | ||||||
Non-nuclear wholesale assets | - | 0.26 | (0.26) | - | 0.28 | (0.28) |
Entergy-Koch Trading | - | (0.21) | 0.21 | - | (0.35) | 0.35 |
Gulf South Pipeline | - | 0.06 | (0.06) | - | 0.13 | (0.13) |
Total Energy Commodity Services | - | 0.11 | (0.11) | - | 0.06 | (0.06) |
Consolidated Special Items | (0.16) | 0.18 | (0.34) | (0.21) | 0.13 | (0.34) |
Operational | ||||||
Utility, Parent & Other | 0.16 | 0.29 | (0.13) | 3.03 | 2.79 | 0.24 |
Entergy Nuclear | 0.37 | 0.22 | 0.15 | 1.32 | 1.06 | 0.26 |
Energy Commodity Services | ||||||
Non-nuclear wholesale assets | 0.06 | (0.01) | 0.07 | 0.05 | (0.05) | 0.10 |
Entergy-Koch Trading | - | - | - | - | - | - |
Gulf South Pipeline | - | - | - | - | - | - |
Total Energy Commodity Services | 0.06 | (0.01) | 0.07 | 0.05 | (0.05) | 0.10 |
Consolidated Operational Earnings | 0.59 | 0.50 | 0.09 | 4.40 | 3.80 | 0.60 |
Weather Impact | 0.05 | - | 0.05 | 0.10 | (0.11) | 0.21 |
Detailed earnings variance analysis is included in appendices B-1 and B-2 to this release. In addition, appendix B-3 provides details of special items shown in Table 2 above.
Consolidated Net Cash Flow Provided by Operating Activities
Entergy's net cash flow provided by operating activities in fourth quarter 2005 was $361 million compared to $1.2 billion generated in fourth quarter 2004. The decrease was due primarily to:
- The absence in the current period of $503 million in dividends paid by Entergy-Koch, LP following the sales of Entergy-Koch Trading and Gulf South Pipeline.
- Storm spending and lost margins at Utility, Parent & Other due to storms amounting to $309 million.
- Changes in Utility, Parent & Other working capital of approximately $112 million.
The above reductions in net cash flow provided by operating activities were partially offset by higher revenue and lower refueling outage spending at Entergy Nuclear resulting in additional cash flow of $110 million.
Table 3 provides the components of net cash flow provided by operating activities contributed by each business with quarter-to-quarter and year-to-date comparisons.
Table 3: Consolidated Net Cash Flow Provided by Operating Activities | ||||||
Fourth Quarter and Year-to-Date 2005 vs. 2004 | ||||||
(U.S. $ in millions) | ||||||
Fourth Quarter | Year-to-Date | |||||
2005 | 2004 | Change | 2005 | 2004 | Change | |
Utility, Parent & Other (a) | 195 | 717 | (522) | 935 | 2,035 | (1,100) |
Entergy Nuclear | 157 | (10) | 167 | 551 | 414 | 137 |
Energy Commodity Services | 9 | 509 | (500) | (18) | 480 | (498) |
Total Net Cash Flow Provided by Operating Activities | 361 | 1,216 | (855) | 1,468 | 2,929 | (1,461) |
(a) Fourth quarter 2005 and full year 2005 reflect the deconsolidation of Entergy New Orleans; fourth quarter 2004 and full year 2004 have not been revised to reflect the deconsolidation of Entergy New Orleans.
II.Utility, Parent & Other Results
In fourth quarter 2005, Utility, Parent & Other had no earnings on an as-reported basis and $0.16 per share on an operational basis compared to $0.36 per share on an as-reported basis and $0.29 per share in operational earnings in fourth quarter 2004. As-reported 2005 earnings reflect a $(0.16) per share special item resulting from the planned sale of the competitive retail business in Texas, comprised of a $(0.12) impairment reserve and $(0.04) per share operating loss in this non-core business, with these amounts being reflected as discontinued operations in the financial statements.
Entergy New Orleans, Inc. (ENOI) results for the quarter are included in Utility, Parent & Other as-reported and operational earnings. However, ENOI is de-consolidated for fourth quarter 2005 reporting purposes as explained in Appendix A of this release. Accordingly, revenue and expense explanations that follow exclude the revenues and expenses of ENOI. Earnings in fourth quarter 2005, exclusive of ENOI, reflect:
- Hurricane related outages which were extended due to significant customer property damage and longer lead times for restoration, both of which reduced overall customer usage and revenues.
- Materially lower industrial usage, particularly in chemical and refining sectors, due to industry concentration along the hurricane-stricken gulf coast.
- Lower operation and maintenance expense due to timing differences in spending anticipated in late 2005, and to a lesser extent, resources normally dedicated to operation and maintenance tasks being shifted to storm restoration work.
ENOI results for fourth quarter 2005 reflect a loss of $(0.08) per share, compared to a loss of $(0.02) per share one year ago. The decrease, due to outages caused by Hurricane Katrina, reflects $44 million of lower net revenue compared to one year ago with reduced operation and maintenance expense and lower interest expense partially offsetting the impact of lower revenues.
Electricity usage excluding ENOI, in gigawatt-hour sales by customer segment, is included in Table 4. Current quarter sales reflect the following:
- Residential sales in fourth quarter 2005, on a weather-adjusted basis, were down 2 percent compared to fourth quarter 2004.
- Commercial and governmental sales, on a weather-adjusted basis, were down 4 percent.
- Industrial sales, after adjusting for the planned loss of one customer to cogeneration, experienced a decrease of more than 12 percent in fourth quarter 2005 compared to the same period a year ago.
Weather-adjusted sales usage was lower in the current period due primarily to customer outages in all customer classes caused by two major hurricanes during third quarter 2005. The significant decline in the industrial sector in fourth quarter reflects the storm-related impact that was concentrated in the chemical and refining sectors which made up more than 50 percent of Entergy's industrial sales in 2005. One large chemical customer in Louisiana will not return to service while three others affected by the storms will remain out of service in the near-term. High gas prices have placed some strain on the chemical and paper sectors, but large scale disruptions have not been experienced to date.
For the year 2005, Utility, Parent & Other earned $2.82 per share on an as-reported basis, compared with $2.86 per share for 2004. Operational earnings in 2005 were $3.03 per share compared to $2.79 per share for 2004. The higher operational earnings in 2005 were due primarily to warmer-than-normal weather and the impact of accretion, both of which offset the negative effects of the storms on Utility, Parent & Other results.
Table 4 provides a comparative summary of the Utility's operational performance measures.
Table 4: Utility Operational Performance Measures excluding Entergy New Orleans | ||||||||
Fourth Quarter and Year-to-Date 2005 vs. 2004 (see appendix G for definitions of measures) | ||||||||
Fourth Quarter | Year-to-Date | |||||||
2005 | 2004 | % Change | % Weather Adjusted | 2005 | 2004 | % Change | % Weather Adjusted | |
GWh billed | ||||||||
Residential | 7,212 | 7,010 | 2.9% | -2.1% | 31,569 | 30,757 | 2.6% | -1.1% |
Commercial and governmental | 6,277 | 6,428 | -2.3% | -3.9% | 25,969 | 25,695 | 1.1% | -0.5% |
Industrial | 8,778 | 10,268 | -14.5% | -14.5% | 37,615 | 39,718 | -5.3% | -5.3% |
Total Retail Sales | 22,267 | 23,706 | -6.1% | -8.0% | 95,153 | 96,170 | -1.1% | -2.7% |
Wholesale | 1,549 | 1,795 | -13.7% | 7,435 | 8,599 | -13.5% | ||
Total Sales | 23,816 | 25,501 | -6.6% | 102,588 | 104,769 | -2.1% | ||
O&M expense | $17.43 | $17.19 | 1.4% | $15.06 | $14.64 | 2.9% | ||
Number of retail customers | ||||||||
Residential | 2,111,421 | 2,117,444 | -0.3% | |||||
Commercial and governmental | 309,006 | 314,687 | -1.8% | |||||
Industrial | 39,287 | 41,674 | -5.7% | |||||
Appendix C provides information on selected pending local and federal regulatory cases.
III.Competitive Businesses Results
Entergy's competitive businesses include Entergy Nuclear and Energy Commodity Services. Table 5 provides a summary of Competitive Businesses' capacity and generation sold forward as of the end of the fourth quarter 2005.
Entergy Nuclear has sold 91%, 81%, and 57% of planned generation at average prices per megawatt-hour of $41, $45 and $49, for the years 2006, 2007 and 2008, respectively. Energy Commodity Services has contracted for 25%, 23% and 26% of its planned energy and capacity revenues at average prices per megawatt-hour of $26, $28 and $28, for the same periods.
Table 5: Competitive Businesses Capacity and Generation Sold Forward | |||||
2006 through 2010 (see appendix G for definitions of measures) | |||||
| 2006 | 2007 | 2008 | 2009 | 2010 |
Entergy Nuclear (EN) | |||||
Energy | |||||
Planned TWh of generation | 35 | 34 | 34 | 35 | 34 |
Percent of EN's planned generation sold forward (b) | |||||
Unit-contingent | 34% | 32% | 25% | 19% | 12% |
Unit-contingent with availability guarantees | 53% | 47% | 32% | 13% | 5% |
Firm liquidated damages (LD) | 4% | 2% | 0% | 0% | 0% |
Total | 91% | 81% | 57% | 32% | 17% |
Average contract price per MWh (c) | $41 | $45 | $49 | $54 | $45 |
Capacity | |||||
Planned net MW in operation | 4,184 | 4,200 | 4,200 | 4,200 | 4,200 |
Percent of EN's capacity sold forward | |||||
Bundled capacity and energy contracts | 12% | 12% | 12% | 12% | 12% |
Capacity contracts | 77% | 46% | 36% | 24% | 3% |
Total | 89% | 58% | 48% | 36% | 15% |
Average capacity contract price per kW per month | $1.0 | $1.1 | $1.1 | $1.0 | $0.9 |
Blended Capacity and Energy Recap (based on revenues) | |||||
Percent of EN's planned energy and capacity sold forward | 82% | 71% | 47% | 27% | 12% |
Average contract revenue per MWh (c) | $42 | $46 | $50 | $55 | $46 |
Energy Commodity Services (ECS) | |||||
Capacity | |||||
Net MW in operation | 1,578 | 1,578 | 1,578 | 1,578 | 1,578 |
Percent of ECS's capacity sold forward | 33% | 29% | 29% | 19% | 17% |
Energy | |||||
Planned TWh of generation | 4 | 4 | 4 | 4 | 4 |
Percent of ECS's planned generation sold forward | |||||
Unit-contingent | 7% | 7% | 7% | 6% | 6% |
Unit-contingent with availability guarantees | 40% | 34% | 36% | 30% | 30% |
Firm liquidated damages (LD) | 0% | 0% | 0% | 0% | 0% |
Total | 47% | 41% | 43% | 36% | 36% |
Blended Capacity and Energy Recap (based on revenues) | |||||
Percent of ECS's planned energy and capacity sold forward | 25% | 23% | 26% | 17% | 17% |
Average contract revenue per MWh | $26 | $28 | $28 | $21 | $20 |
| |||||
|
Entergy Nuclear
Entergy Nuclear (EN) earned $0.37 per share on both as-reported and operational bases in fourth quarter 2005, compared to $0.22 in fourth quarter 2004. In fourth quarter 2005 EN had higher generation resulting from uprates, one planned refueling outage compared to two in fourth quarter 2004, and higher contract pricing. In addition, operation and maintenance expense decreased quarter to quarter due primarily to timing. Also, accretion impacted EN's earnings during the current period.
For the year 2005, Entergy Nuclear earned $1.32 per share on both an as-reported and operational bases, compared with $1.06 per share for 2004. The increase in 2005 earnings was due primarily to increased revenue from higher contract pricing and higher generation due to fewer planned and unplanned outage days, and accretion.
Table 6 provides a comparative summary of EN's operational performance measures.
Table 6: Entergy Nuclear Operational Performance Measures | ||||||
Fourth Quarter and Year-to-Date 2005 vs. 2004 (see appendix Gfor definitions of measures) | ||||||
Fourth Quarter | Year-to-Date | |||||
2005 | 2004 | % Change | 2005 | 2004 | % Change | |
Net MW in operation | 4,105 | 4,058 | 1% | 4,105 | 4,058 | 1% |
Average realized price per MWh | $42.75 | $40.69 | 5% | $42.39 | $41.26 | 3% |
Production cost per MWh | $19.48 | $22.28 | -13% | $19.39 | $20.16 | -4% |
Generation in GWh | 8,643 | 7,567 | 14% | 33,539 | 32,524 | 3% |
Capacity factor | 95% | 85% | 12% | 93% | 92% | 1% |
Refueling outage days: | ||||||
FitzPatrick (d) | - | 24 | - | 30 | ||
Indian Point 2 | - | 31 | - | 31 | ||
Indian Point 3 | - | - | 27 | - | ||
Pilgrim | - | - | 25 | - | ||
Vermont Yankee | 19 | - | 19 | 30 |
(d) The planned refueling outage at FitzPatrick began in September 2004 and was completed in fourth quarter 2004 in a total of 30 days.
Energy Commodity Services
Fourth quarter 2005 results for Energy Commodity Services (ECS) include only earnings from Entergy's non-nuclear wholesale assets business. ECS as-reported results in fourth quarter 2004 included earnings from both the non-nuclear wholesale assets business and Entergy-Koch, LP (EKLP).
As-reported results for ECS in fourth quarter 2005 were $0.06 per share compared to $0.10 per share in fourth quarter 2004. As-reported results in the current period reflect the absence of a $(0.15) loss in fourth quarter 2004 incurred by EKLP. The trading and pipeline businesses of EKLP were sold in late 2004. Operational results for ECS were also $0.06 per share in fourth quarter 2005 compared to a loss of $(0.01) per share on an operational basis one year ago. The earnings in the current period reflect the sale of SO2 allowances during fourth quarter.
For the year 2005, ECS earned $0.05 per share on both as-reported and operational bases, compared with $0.01 per share in as-reported earnings and an operational loss of $(0.05) per share in 2004. The higher operational results in 2005 were due primarily to the sales of SO2allowances at various times during the year.
IV.Earnings Guidance
Entergy is initiating as-reported earnings guidance for 2006 in the range of $4.78 to $5.08 per share; 2006 operational earnings guidance is $4.50 to $4.80 per share. Earnings guidance ranges exclude Entergy New Orleans given the uncertainty that remains for this business as it works toward emerging from bankruptcy. During 2006, actual results for Entergy New Orleans will be separately identified as a special item for earnings release purposes.
Guidance ranges for 2006 are detailed in Table 7 and are based on the following key assumptions:
Utility, Parent & Other
- Normal weather
- Sales growth of approximately 4%, weighted in the months September - December 2006 due to absence of 2005 hurricane effect
- Non-storm related rate actions, including carryover effects of 2005 rate actions and 2006 rate action for Attala
- Increased non-fuel operation and maintenance expense, including effects of inflation, benefits costs, supply plan, and Independent Coordinator of Transmission implementation along with the absence of 2005 offsets relating to storm restoration work
- Increased interest expense from higher financing requirements
Entergy Nuclear
- 35 TWh of total output, reflecting an approximate 94% capacity factor, including 30 day refueling outages at Indian Point 2 (spring 2006) and FitzPatrick (fall 2006) and implementation of 95 MW uprate at Vermont Yankee at end of first quarter 2006
- 91% energy sold under existing contracts; 9% sold into the spot market
- $41/MWh average energy contract price, average price of $83/MWh for unsold energy based on published market prices in January 2006
- $20.50/MWh non-fuel operation and maintenance expense reflecting inflation and higher benefits expense; $19/MWh production cost
- Increased interest expense due to increased collateral requirements driven by higher market prices
- Increased depreciation and other expenses
Non-Nuclear Wholesale Assets
- Reduced sales of emissions allowances
- Increased year over year losses from non-nuclear wholesale assets
Special Items
- Receipt of additional proceeds from the 2004 sale of EKLP and recognition of gain contingency
- Absence of 2005 results from discontinued competitive retail operation (a 2006 estimate is not presented as ultimate amount depends on timing of sale)
Share Repurchase Program
- The share repurchase program remains suspended following the hurricanes through the end of 2006, resulting in end of year fully diluted shares outstanding of approximately 213 million
The above assumptions assume no regulatory disallowances are ordered by retail regulators for $1.5 billion storm restoration costs ($0.8 billion capital, $0.7 billion regulatory assets). Any such disallowances would be shown as special items.
Earnings guidance details are provided in Table 7. This table demonstrates how 2006 results are expected to differ from 2005 based on the quantification of assumptions described above. For presentation simplicity purposes, year-over-year changes are shown as point estimates and are applied to 2005 actuals to compute the 2006 guidance midpoint. Because there is a range of possible outcomes associated with each driver, a range is applied to the calculated guidance midpoints to produce Entergy's guidance ranges for as-reported and operational earnings excluding Entergy New Orleans.
Table 7. 2006 Earnings Per Share Guidance excluding Entergy New Orleans | |||||
(Per share in U.S. $) | |||||
|
| 2005 Earnings per Share | Expected Change | 2006 | 2006 Guidance Range |
Utility, Parent & Other | 2005 Operational Earnings per Share | 3.03 | |||
Adjustment to normalize weather | (0.10) | ||||
Increased revenue due to non-storm rate actions and sales growth | 0.50 | ||||
Increased non-fuel O&M expense | (0.25) | ||||
Increased interest expense | (0.10) | ||||
Other | (0.03) | ||||
Subtotal | 3.03 | 0.02 | 3.05 | ||
Entergy Nuclear | 2005 Operational Earnings per Share | 1.32 | |||
Higher contract and market energy pricing | 0.42 | ||||
Increased generation from uprates and fewer outages | 0.10 | ||||
Increased non-fuel O&M expense | (0.10) | ||||
Increased interest expense | (0.05) | ||||
Increased depreciation and other | (0.09) | ||||
Subtotal | 1.32 | 0.28 | 1.60 | ||
Non-Nuclear Wholesale Assets | 2005 Operational Earnings per Share | 0.05 | |||
Reduced sales of emissions allowances | (0.04) | ||||
Increased losses from non-nuclear wholesale assets | (0.01) | ||||
Subtotal | 0.05 | (0.05) | 0.00 | ||
Consolidated Operational | 2005 Operational Earnings per Share | 4.40 | |||
Changes detailed above | 0.25 | ||||
2006 Operational Earnings per Share | 4.40 | 0.25 | 4.65 | 4.50 - 4.80 | |
Consolidated As-Reported | 2005 As Reported Earnings per Share | 4.19 | |||
Changes detailed above | 0.25 | ||||
Special items: | |||||
2006 Gain on sale of Entergy-Koch, LP | 0.28 | ||||
2005 results from discontinued competitive retail operation, including impairment loss | 0.21 | ||||
2006 As-Reported Earnings per Share | 4.19 | 0.74 | 4.93 | 4.78 - 5.08 |
Earnings guidance should be considered in association with earnings sensitivities as shown in Table 8. These sensitivities illustrate the estimated change in operational earnings resulting from changes in various revenue and expense drivers. Utility sales growth is expected to be the most significant driver of results in 2006 for Utility, Parent & Other due to normal growth in customer usage and the recovery of some portion of load impacted by hurricanes. At Entergy Nuclear, energy prices are expected to be the most significant driver of results in 2006, given the size of EN's unsold position. In 2005, Entergy modified its contracting strategy to provide the flexibility to retain a larger unsold position. This modification provides EN the opportunity to capture higher spot market prices while also increasing volatility of expected results. Estimated annual impacts shown in the Table 8 are intended to be indicative rather than precise guidance.
Table 8: Earnings Sensitivities excluding Entergy New Orleans | |||
(Per share in U.S. $) | |||
Variable | 2006 Guidance Assumption | Description of Change | Estimated Annual Impact |
Utility, Parent & Other | |||
Sales growth |
|
|
|
Extended outages for Entergy Louisiana customers | 31,000 customers of Entergy Louisiana | 10,000 return to service | n/a / + 0.03 |
Rate base | Stable rate base | $100 million change in rate base | - / + 0.02 |
Return on equity | See Appendix C | 1% change in allowed ROE | - / + 0.28 |
Interest expense | Additional $550M average debt at 6% average interest rate | $100M change in debt | - / + 0.02 |
Entergy Nuclear | |||
Capacity factor | 94% capacity factor | 1% change in capacity factor | - / + 0.04 |
Energy price | 9% energy unsold at $83/MWh in 2006 | $10/MWh change for unsold energy | - / + 0.09
|
Non-fuel operation and maintenance expense | $20.50/MWh non-fuel operation and maintenance expense | $1 change per MWh | - / + 0.10 |
Outage (lost revenue only) | 94% capacity factor, including refueling outages at Indian Point 2 and J.A. FitzPatrick | 1,000 MW plant for 10 days at average portfolio energy price of $41/MWh for sold and $83/MWh for unsold volumes in 2006 | - 0.03 / n/a |
- Based on 2005 average fully diluted shares of approximately 214 million.
V.Forward-looking Financial Data and Aspirations
Entergy continues to focus on resolving challenges and uncertainties brought on by the hurricanes that severely affected its business operations in August and September of 2005. While these issues may affect near-term financial performance, the company's long-term aspirations remain in tact. Specifically, Entergy aspires to deliver average annual earnings per share growth of 5-6%, to achieve a 9% return on invested capital, and to continue to improve the company's overall credit quality over the long-term. The company's ability to achieve these aspirations over time will be based upon a combination of factors which include but are not limited to intrinsic growth, the recovery of storm-related restoration costs, the return of customers and load to portions of the Entergy service territory, and the amount of cash that is available for capital deployment in investments, share repurchases, dividends or debt retirement.
Table 9 provides details on Entergy's projected cash available for capital redeployment for the period 2006 through 2008 excluding Entergy New Orleans. Entergy expects to have $2.3 billion of cash available over this period for several potential uses: investments in new businesses or assets, repayment of debt or equity, or dividend increases. Net cash flow provided by operating activities shown in the table includes the recovery of fuel costs deferred in periods prior to 2006, and revenue enhancement realized at Entergy Nuclear by capturing opportunities through favorable market pricing. Cash flows from other storm recovery initiatives, such as insurance, regulatory rate relief, or federal relief, are not included because they are not known at this time. Sources of cash also include debt that Entergy believes it could issue in association with new investments while maintaining a debt ratio of 50% or less. The amount of additional debt could vary depending upon the type of new investmen t and the credit market environment. Uses of cash shown on the table reflect current estimates of storm restoration spending and share repurchases based on resumption of the $1.5 billion share repurchase program approved in 2004. The amount of repurchases may vary as a result of material changes in business results or capital spending or material new investment opportunities.
Table 9: Projected Cash Available for Capital Redeployment excluding Entergy New Orleans | ||
($ in billions) | 2006-2008 | |
Net cash flow provided by operating activities | 7.3 | |
Less: | ||
Net nuclear fuel purchases | (0.4) | |
Decommissioning trust contributions | (0.4) | |
Planned capital expenditures | (3.6) | |
Preferred dividends | (0.1) | |
Free cash flow | 2.8 | |
Common dividends | (1.5) | |
Net share repurchases (includes repurchases under existing program net of equity units conversion and remaining sale proceeds) | 0.2 | |
Additional debt capacity (net of maturities) | 0.8 | |
Net Cash Available for New Investment, Debt or Equity Repayment, Dividend Increase | 2.3 | |
Appendix E provides details on planned capital expenditures by business, and appendices F-1 and F-2 include summarized schedules of financing authority and debt maturities, respectively.
VI.Appendices
Eight appendices are presented in this section as follows:
- Appendix A includes information on Entergy New Orleans, Inc.'s filing for protection under Chapter 11 of the U.S. Bankruptcy Code.
- Appendix B includes earnings per share variance analyses and details on special items that relate to the current quarter and year-to-date periods.
- Appendix C provides information on selected pending local and federal regulatory cases.
- Appendix D provides financial metrics for both current and historical periods. In addition, historical financial and operating performance metrics are included for the trailing eight quarters.
- Appendix E provides a summary of planned capital expenditures for the next three years.
- Appendix F provides a summary of Entergy Corporation's financing authority and that of its operating subsidiaries as well as a summary schedule of debt maturities by business.
- Appendix G provides definitions of the operational performance measures and GAAP and non-GAAP financial measures that are use d in this release.
- Appendix H provides a reconciliation of GAAP to non-GAAP financial measures used in this release.
Appendix A provides information on the petition filed by Entergy New Orleans, Inc. for protection under Chapter 11 of the U.S. Bankruptcy Code as well as related activities subsequent to the initial filing.
Appendix A: Entergy New Orleans, Inc. Bankruptcy |
Bankruptcy Filing
To protect its customers and ensure continued progress in restoring power and gas service to New Orleans after Hurricane Katrina, on September 23, 2005, Entergy New Orleans, Inc. (ENOI) filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code. Important decisions were rendered by the bankruptcy court on December 7, 2005 when the court authorized the debtor-in-possession (DIP) financing (described below), approved the priming lien for DIP financing, and ordered that use of insurance proceeds would be determined by ENOI. Numerous motions have been filed with additional motions expected as the bankruptcy proceeding continues. The exclusivity period for filing a final plan of reorganization by ENOI was originally established by the Bankruptcy court as January 23, 2006, but has been extended to April 21, 2006, with solicitation of acceptances of the plan to be completed by June 20. For more information on documents filed in this proceeding go towww.entergy.com/investor_relations/enoi.aspx.
Debtor-in-Possession Financing
Simultaneously with the filing on September 23, 2005, ENOI filed a motion with the Court for "debtor-in-possession" (DIP) financing that contemplated Entergy Corporation making loans up to $200 million to ENOI to address ENOI's current liquidity crisis. These funds were requested to enable ENOI to meet its near-term obligations, including employee wages and benefits, payments under power purchase and gas supply agreements, and its existing efforts to repair and restore the facilities needed to serve its electric and gas customers. On September 26, 2005, the bankruptcy court approved interim DIP financing up to $100 million, and on October 26, 2005 approved ENOI's request for additional interim DIP financing increasing the limit to $200 million. Entergy and ENOI also received approval from the Securities and Exchange Commission (SEC) in December 2005 to increase the interim DIP financing to $200 million. The approvals by the Court and the SEC will allow Entergy Corporat ion to provide additional funding through DIP financing but such funding will be provided by Entergy Corporation at its discretion.
Accounting
Entergy owns 100 percent of the common stock of ENOI and has, subject to the rules and requirements of Chapter 11 of the U.S. Bankruptcy Code, continued to supply operating management to ENOI. However, uncertainties surrounding the nature, timing and specifics of the bankruptcy proceedings caused Entergy to de-consolidate ENOI for financial reporting purposes beginning in third quarter 2005 with ENOI's financial results being recorded under the equity method of accounting. Under this methodology, earnings from ENOI are now reflected in Entergy's income statement as equity in the earnings of unconsolidated affiliates. Because Entergy owns all of the common stock of ENOI, this change has not impacted the amount of net income Entergy has recorded in the current period or any historical period but has resulted in ENOI's net income being presented in one line item rather than included in each individual income statement line item presented. In addition, various line items of En tergy's consolidated balance sheet and cash flow statement have been revised to reflect the impact of de-consolidating ENOI.
Entergy also noted that events related to Hurricanes Katrina and Rita and the bankruptcy proceeding for ENOI noted above, among other things, that occur prior to the filing of the 2005 financial statements under Form 10-K, could result in a subsequent event(s) that need to be reflected in the Form 10-K in accordance with generally accepted accounting principles. This subsequent event(s) might materially change the accounting disclosures and/or the reported income of Entergy and one or more of its operating subsidiaries. Examples of events that might result in subsequent event accounting and disclosure could include a determination as to the permanent loss of certain customers, finalization of insurance proceeds, potential regulatory outcomes and/or other potential adverse events related to ENOI's filing for bankruptcy protection, among other things.
Appendix B-1 and B-2 provide details of fourth quarter and year-to-date 2005 vs. 2004 earnings variance analyses for "Utility, Parent & Other," "Competitive Businesses," and "Consolidated."
Appendix B-1: As-Reported Earnings Per Share Variance Analysis | |||||||
Fourth Quarter 2005 vs. 2004 | |||||||
(Per share in U.S. $, sorted in consolidated | |||||||
column, most to least favorable) | Utility, | Competitive | |||||
Parent & Other | Businesses | Consolidated | |||||
2004 earnings | 0.36 | 0.32 | 0.68 | ||||
Other income (deductions) | (0.02) | 0.14 | (f) | 0.12 | |||
Other operation & maintenance expense | 0.08 | (g) | 0.02 | 0.10 | |||
Asset impairments | (0.12) | (h) | 0.16 | (i) | 0.04 | ||
Share repurchase effect | - | 0.03 | 0.03 | ||||
Net revenue | (0.12) | (j) | 0.15 | (k) | 0.03 | ||
Depreciation/amortization expense | 0.03 | (0.02) | 0.01 | ||||
Decommissioning expense | 0.01 | - | 0.01 | ||||
Interest expense and other charges | (0.05) | (l) | 0.02 | (0.03) | |||
Retail business discontinued operations | (0.04) | - | (0.04) | ||||
Taxes other than income taxes | (0.03) | (0.01) | (0.04) | ||||
Income taxes - other | (0.10) | (m) | (0.38) | (n) | (0.48) | ||
2005 earnings | - | 0.43 | 0.43 | ||||
Appendix B-2: As-Reported Earnings Per Share Variance Analysis | |||||||
Year-to-Date 2005 vs. 2004 | |||||||
(Per share in U.S. $, sorted in consolidated | |||||||
column, most to least favorable) | Utility, | Competitive | |||||
Parent & Other | Businesses | Consolidated | |||||
2004 earnings | 2.86 | 1.07 | 3.93 | ||||
Share repurchase effect | 0.20 | (o) | 0.10 | (o) | 0.30 | ||
Net revenue | 0.17 | (j) | 0.12 | (k) | 0.29 | ||
Other operation & maintenance expense | 0.05 | (g) | 0.07 | (p) | 0.12 | ||
Other income (deductions) | (0.07) | (q) | 0.19 | (f) | 0.12 | ||
Asset impairments | (0.12) | (h) | 0.15 | (i) | 0.03 | ||
Depreciation/amortization expense | 0.02 | - | 0.02 | ||||
Decommissioning expense | 0.02 | - | 0.02 | ||||
Nuclear refueling outage expense | (0.02) | 0.03 | 0.01 | ||||
Preferred dividend requirements | - | (0.01) | (0.01) | ||||
Interest expense and other charges | (0.08) | (l) | 0.04 | (0.04) | |||
Taxes other than income taxes | (0.06) | (r) | - | (0.06) | |||
Retail business discontinued operations | (0.09) | (s) | - | (0.09) | |||
Income taxes - other | (0.06) | (m) | (0.39) | (n) | (0.45) | ||
2005 earnings | 2.82 | 1.37 | 4.19 | ||||
Utility Net Revenue Variance Analysis | |||
Fourth Quarter | Year-to-Date | ||
Weather | 0.05 | Weather | 0.21 |
Sales growth/pricing | (0.11) | Sales growth/pricing | (0.16) |
Other | (0.06) | Other | 0.12 |
Total | (0.12) | Total | 0.17 |
- Other income (deductions) increased in fourth quarter 2005 and on a year-to-date basis due primarily to the absence in 2005 of losses from Entergy-Koch, LP $(0.15) for the quarter and $(0.22) year to date. Also, the sale of SO2 allowances at the non-nuclear wholesale assets business increased other income in both periods of 2005.
- Other operation and maintenance expense decreased due primarily to timing and resources deployed to storm restoration projects.
- Asset impairment reflects the impairment reserve recorded in connection with the planned sale of the competitive retail business.
- Asset impairment reflects the absence of an impairment reserve recorded for the Warren Plant in fourth quarter 2004.
- Net revenue decreased due primarily to lower usage across all customer sectors during fourth quarter 2005 compared to one year ago. Storms reduced usage particularly in the industrial sector with warmer-than-normal weather early in the quarter partially offsetting this decline. The year-to-date increase in net revenues is due primarily to warmer-than-normal weather and higher unbilled revenues compared to one year ago, both partially offset by lower sales volumes.
- Net revenue increased due to higher revenues at Entergy Nuclear as a result of higher contract pricing and fewer outages.
- Interest expense and other charges increased due primarily to higher borrowings under credit lines.
- Income taxes-other increased due primarily to the absence in the current period of tax benefits recorded in fourth quarter 2004 associated with the Entergy-Koch, LP investment.
- Income taxes-other increased due primarily to the absence in the current period of tax benefits recorded in fourth quarter 2004 associated with the restructuring of the non-nuclear wholesale assets business.
- Share repurchase effect reflects the impact of Entergy's repurchase activity.
- Other operation and maintenance expense decreased due primarily to lower operating costs at both Entergy Nuclear and the non-nuclear wholesale assets business.
- Other income (deductions) decreased in the year-to-date period due to the absence of a 2004 adjustment recorded to revalue River Bend's decommissioning liability and lower earnings from Entergy New Orleans, partially offset by higher interest income.
- Taxes other than income taxes increased due primarily to higher franchise and ad valorem taxes due to higher property assessments and millage rates.
- Retail business discontinued operations reflects losses incurred by this business during 2005.
Appendix B-3 lists special items by business with quarter-to-quarter and year-to-date comparisons. Amounts are shown on both earnings per share and net income bases. Special items are those events that are less routine, are related to prior periods, or are related to discontinued businesses. Special items are included in as-reported earnings per share consistent with generally accepted accounting principles (GAAP), but are excluded from operational earnings per share. As a result, operational earnings per share is considered a non-GAAP measure.
Appendix B-3: Special Items (shown as positive / (negative) impact on earnings) | ||||||
Fourth Quarter and Year-to-Date 2005 vs. 2004 | ||||||
(Per share in U.S. $) | ||||||
Fourth Quarter | Year-to-Date | |||||
2005 | 2004 | Change | 2005 | 2004 | Change | |
Utility, Parent & Other | ||||||
Tax benefits - Entergy-Koch investment | - | 0.07 | (0.07) | - | 0.07 | (0.07) |
Retail business impairment reserve | (0.12) | - | (0.12) | (0.12) | - | (0.12) |
Retail business discontinued operations | (0.04) | - | (0.04) | (0.09) | - | (0.09) |
Total Utility, Parent & Other | (0.16) | 0.07 | (0.23) | (0.21) | 0.07 | (0.28) |
Competitive Businesses | ||||||
Entergy Nuclear | - | - | - | - | - | - |
Energy Commodity Services | ||||||
Entergy-Koch Trading earnings | - | (0.21) | 0.21 | - | (0.35) | 0.35 |
Gulf South Pipeline earnings | - | 0.06 | (0.06) | - | 0.13 | (0.13) |
Tax benefits on restructuring | - | 0.42 | (0.42) | - | 0.41 | (0.41) |
Asset impairment reserve | - | (0.16) | 0.16 | - | (0.15) | 0.15 |
Reduction in asset sale reserve | - | - | - | - | 0.02 | (0.02) |
Total Energy Commodity Services | - | 0.11 | (0.11) | - | 0.06 | (0.06) |
Total Competitive Businesses | - | 0.11 | (0.11) | - | 0.06 | (0.06) |
Total Special Items | (0.16) | 0.18 | (0.34) | (0.21) | 0.13 | (0.34) |
(U.S. $ in millions) | ||||||
Fourth Quarter | Year-to-Date | |||||
2005 | 2004 | Change | 2005 | 2004 | Change | |
Utility, Parent & Other | ||||||
Tax benefits - Entergy-Koch investment | - | 16.7 | (16.7) | - | 16.7 | (16.7) |
Retail business impairment reserve | (25.8) | - | (25.8) | (25.8) | - | (25.8) |
Retail business discontinued operations | (7.6) | - | (7.6) | (18.9) | - | (18.9) |
Total Utility, Parent & Other | (33.4) | 16.7 | (50.1) | (44.7) | 16.7 | (61.4) |
Competitive Businesses | ||||||
Entergy Nuclear | - | - | - | - | - | - |
Energy Commodity Services | ||||||
Entergy-Koch Trading earnings | - | (47.4) | 47.4 | - | (79.4) | 79.4 |
Gulf South Pipeline earnings | - | 14.3 | (14.3) | - | 29.3 | (29.3) |
Tax benefits on restructuring | - | 93.6 | (93.6) | - | 93.6 | (93.6) |
Asset impairment reserve | - | (35.8) | 35.8 | - | (35.8) | 35.8 |
Reduction in asset sale reserves | - | - | - | - | 5.6 | (5.6) |
Total Energy Commodity Services | - | 24.7 | (24.7) | - | 13.3 | (13.3) |
Total Competitive Businesses | - | 24.7 | (24.7) | - | 13.3 | (13.3) |
Total Special Items | (33.4) | 41.3 | (74.7) | (44.7) | 30.0 | (74.7) |
Appendix C provides a summary of selected regulatory cases and events that are pending.
Appendix C: Regulatory Summary Table | ||
Company/ Proceeding | Authorized ROE | Pending Cases/Events |
Retail Regulation | ||
Entergy Arkansas | 11.00% | Recent activity: In December 2005, EAI provided notice of its intent to terminate participation in the Entergy System Agreement, following a final order from FERC establishing terms under which EAI may be required to make payments to other operating companies to achieve rough production cost equalization. Background: EAI's base rates have been in effect since 1998. The timing of its next general rate case will depend in part upon the mechanism that the FERC approves for recovery of any payments required to achieve rough production cost equalization pursuant to its order in the System Agreement case. Any base rate proceeding will include an adjustment to storm reserves to reflect recent storm restoration costs. |
Storm Cost Recovery: EAI has not yet filed for storm cost recovery. The company's estimated storm costs are significantly less than the other Entergy subsidiaries. | ||
Entergy Gulf States - TX | 10.95% | Recent activity:In December 2005, the Public Utilities Commission of Texas (PUCT) approved, subject to reconciliation, the recovery of $18 million annually beginning in December 2005, in response EGSI-TX's request for recovery of $23 million of projected incremental purchased power capacity costs for the twelve months ending June 30, 2006. In January 2006, an ALJ approved in the company's transition to competition cost case a unanimous settlement for interim rates in the amount of $18 million annually, beginning on March 1, 2006. The case filed in August 2005 requests recovery of $189 million in transition costs to be amortized over a 15 year period, with an annual revenue requirement of $25.1 million. A final decision in this proceeding is expected by mid-year 2006. Background:EGSI-TX has operated under a base rate freeze since 1999. In July 2004, the PUCT effectively rejected the company's proposal to advance to Retail Open Access and as a result, the company filed a rate case which was dismissed by the PUCT. The company's appeal of this dismissal is still pending. Legislation was subsequently enacted in June 2005 which allows EGSI-TX to file for rate relief through riders for transition costs and incremental capacity costs. The legislation also extended to mid 2008 the base rate freeze EGSI-TX has been in since 1999. |
Storm Cost Recovery: In response to procedural recommendations of the PUCT staff EGSI-TX filed updated storm cost estimates in January 2006. Additional updates are to be provided on March 15, and May 15, with a final accounting filing expected on June 1, 2006. At that time, the company will likely make a formal request for recovery of costs. | ||
Entergy Gulf States - LA | 9.90% - 11.40% | Recent activity:In January 2006, the Louisiana Public Service Commission (LPSC) Staff recommended a $0.5 million refund for the two-year period 2004 and 2005 to be applied to future capacity deferrals and a $36.8 million rate increase effective October 2005. These recommendations were in response to the company's 2005 formula rate plan (FRP) filing which indicated that a $37.2 million rate increase was required to recover (1) $21.1 million FRP increase and (2) $16.1 million in Perryville costs. Background: In March 2005 the LPSC approved a Global Settlement which included among other things, the establishment of a FRP with a 10.65% ROE midpoint and a +/- 75 basis point bandwidth and a recovery mechanism for Commission approved capacity additions. Earnings outside the bandwidth are allocated 60% to customers and 40% to the company. The next filing will be made in May 2006 based on a 2005 test year. |
Storm Cost Recovery: In December 2005, EGSI-LA filed for interim recovery of $141 million storm costs. Phase I of the filing proposes implementing an $18.7 million annual interim surcharge on March 1, 2006 based on a 10 year recovery period. The Company has requested that a full review of the costs and any offsets from the receipt of insurance or federal aid be addressed in Phase II of the proceeding. Hearings are expected to occur in February 2006. | ||
Entergy Louisiana | 9.45% - 11.05% | Recent activity:None. Background: In May 2005, the LPSC approved a modified settlement in response to ELI's January 2004 request for a $167 million base rate increase. The settlement included, among other things, a rate reduction of $6.7 million which was subsequently reduced to $0.8 million, and an FRP with a 10.25% ROE midpoint and a +/- 80 basis point bandwidth and a recovery mechanism for Commission approved capacity additions. Earnings outside the bandwidth are allocated 60% to customers and 40% to the company. The first filing will be made in May 2006 based on a 2005 test year. |
Storm Restoration Recovery: In December 2005, ELI filed for interim recovery of $355 million storm costs. Phase I of the filing proposes implementing a $45.1 million annual interim surcharge on March 1, 2006 based on a 10 year recovery period. The Company has requested that a full review of the costs and any offsets from the receipt of insurance or federal aid be addressed in Phase II of the proceeding. Hearings are expected to occur in February 2006. | ||
Entergy Mississippi | 9.10% - 11.90% | Recent activity: In December 2005, EMI received final order from MPSC approving purchase of Attala facility. Background:EMI has been operating under a formula rate plan last approved in December 2002. The FRP allows the company's earned ROE to increase or decrease within a bandwidth with no change in rates; earnings outside the bandwidth are allocated 50% to customers and 50% to the company, but on a prospective basis only. The plan also provides for performance incentives that can increase or decrease the benchmark ROE by as much as 100 basis points. The current mid-point of the ROE bandwidth, including performance incentives, is 10.5%. The next filing will be in March 2006 based on a 2005 test year. |
Storm Cost Recovery: In December 2005, EMI requested recovery of $84 million in storm costs, the amount that was identified through November 2005. The filing proposes recovery over a five-year period, beginning in May 2006, resulting in an annual rate increase of approximately $14.7 million. The filing also contains provisions for making a supplemental filing in June 2006 to reflect cost revisions as well as the receipt of insurance or federal aid. The hearing in the matter has been set for April 5, 2006. |
Appendix C: Regulatory Summary Table (continued) | ||||
Company/ Proceeding | Authorized ROE | Pending Cases/Events | ||
Entergy New Orleans | 9.75% - 11.75% (electric) | Recent activity: None Background: In September 2005, the City Council of New Orleans approved a two year extension of ENOI's FRP with a ROE mid-point of 10.75%,a 45% hypothetical equity ratio, and electric and gas ROE bandwidths of 100 and 50 basis points, respectively. The Council's order also decoupled the company's Generation Performance-Based Rate (G-PBR) from its electric FRP, thereby allowing ENOI to earn up to $4.5 million annually under the G-PBR. However, the G-PBR has been temporarily suspended due to effects from Hurricane Katrina. | ||
Storm Cost Recovery: ENOI has not yet filed for storm cost recovery. The timing and components of such a filing are subject to other recovery initiatives. Bankruptcy activity:The current schedule proposed by the Bankruptcy Court calls for the plan of reorganization to be filed in April 2006, such filing date having been extended from the original date in January 2006. | ||||
Wholesale Regulation (FERC) | ||||
System Energy Resources, Inc. | 10.94% | Recent activity: None Background: ROE approved by July 2001 FERC order. No cases pending. | ||
System Agreement | NA | Recent activity:In December 2005, the FERC issued an order in response to various requests for rehearing following its June 2005 order. The December order established, among other things, that 1) the bandwidth would be applied to calendar year 2006 actual production costs and 2) 2007 would be the first possible year of payments among Entergy's operating companies. Background: The system agreement case, originally filed in 2001, addresses reallocation of production costs among the utility operating subsidiaries. In June 2005, the FERC issued a decision stating that rough production cost equalization did not exist in the Entergy system. The FERC established a bandwidth of +/- 11 % to reallocate production costs and ordered that this approach be applied prospectively. | ||
Independent Coordinator of Transmission
| NA
| Recent activity: None. Background: Entergy initially filed for FERC approval of its alternative transmission structure in April 2004. In that and subsequent filings, Entergy proposed that an independent entity (the ICT) perform certain transmission functions, oversee other aspects of the operation of the transmission system, and implement a more efficient expansion pricing policy. Based on a positive Declaratory Order issued by the FERC in March 2005, Entergy filed for approval of the ICT in May 2005.
| ||
Appendix D-1 provides comparative financial performance measures for the current quarter. Appendix D-2 provides historical financial performance measures and operating performance metrics for the trailing eight quarters. Financial performance measures in both tables include those calculated and presented in accordance with generally accepted accounting principles (GAAP), as well as those that are considered non-GAAP measures.
As-reported measures are computed in accordance with GAAP as they include all components of earnings, including special items. Operational measures are non-GAAP measures as they are calculated using operational earnings, which excludes the impact of special items. A reconciliation of operational earnings per share to as-reported earnings per share is provided in Appendix H-1.
Appendix D-1: GAAP and Non-GAAP Financial Performance Measures | ||||
Fourth Quarter 2005 vs. 2004 (see appendix G for definitions of certain measures) | ||||
For 12 months ending December 31 | 2005 | 2004 | Change | |
GAAP Measures | ||||
Return on average invested capital - as-reported | 7.22% | 7.29% | (0.07)% | |
Return on average common equity - as-reported | 11.19% | 10.70% | 0.49% | |
Net margin - as-reported | 8.89% | 9.39% | (0.50)% | |
Cash flow interest coverage | 4.01 | 7.13 | (3.12) | |
Book value per share | $37.38 | $38.26 | $(0.88) | |
End of period shares outstanding (millions) | 207.5 | 216.8 | (9.3) | |
Non-GAAP Measures | ||||
Return on average invested capital - operational | 7.48% | 7.11% | 0.37% | |
Return on average common equity - operational | 11.75% | 10.35% | 1.40% | |
Net margin - operational | 9.33% | 9.08% | (0.25)% | |
As of December 31 ($ in millions) | 2005 | 2004 | Change | |
GAAP Measures | ||||
Revolver capacity | 2,545 | 1,490 | 1,055 | |
Total debt | 9,288 | 7,807 | 1,481 | |
Debt to capital ratio | 53.1% | 47.4% | 5.7% | |
Off-balance sheet liabilities: | ||||
Debt of joint ventures - Entergy's share | 214 | 173 | 41 | |
Leases - Entergy's share | 564 | 596 | (32) | |
Total off-balance sheet liabilities | 778 | 769 | 9 | |
Non-GAAP Measures | ||||
Total gross liquidity | 3,128 | 2,102 | 1,026 | |
Net debt to net capital ratio | 51.5% | 45.4% | 6.1% | |
Net debt ratio including off-balance sheet liabilities | 53.6% | 47.9% | 5.7% | |
Appendix D-2: Historical Performance Measures (see appendix G for definitions of measures) | ||||||||||||
1Q04(t) | 2Q04(t) | 3Q04(t) | 4Q04(t) | 1Q05(t) | 2Q05(t) | 3Q05 | 4Q05 | FY04 | FY05 | |||
Financial | ||||||||||||
EPS - as-reported ($) | 0.88 | 1.14 | 1.22 | 0.68 | 0.79 | 1.33 | 1.65 | 0.43 | 3.93 | 4.19 | ||
Less - special items ($) | 0.07 | 0.06 | -0.17 | 0.18 | -0.01 | -0.01 | -0.03 | -0.16 | 0.13 | (0.21) | ||
EPS - operational ($) | 0.81 | 1.08 | 1.39 | 0.50 | 0.80 | 1.34 | 1.68 | 0.59 | 3.80 | 4.40 | ||
Trailing Twelve Months | ||||||||||||
ROIC - as-reported (%) | 6.19 | 6.38 | 5.90 | 7.29 | 6.97 | 7.07 | 7.49 | 7.22 | 7.29 | 7.22 | ||
ROIC - operational (%) | 7.22 | 6.95 | 6.70 | 7.11 | 6.89 | 7.08 | 7.32 | 7.48 | 7.11 | 7.48 | ||
ROE - as-reported (%) | 8.63 | 9.27 | 8.12 | 10.70 | 10.35 | 10.73 | 11.53 | 11.19 | 10.70 | 11.19 | ||
ROE - operational (%) | 10.71 | 10.43 | 9.71 | 10.35 | 10.19 | 10.75 | 11.17 | 11.75 | 10.35 | 11.75 | ||
Cash Flow Interest Coverage | 5.77 | 5.96 | 6.40 | 7.13 | 7.43 | 6.94 | 5.91 | 4.01 | 7.13 | 4.01 | ||
Debt to capital ratio (%) | 47.3 | 47.4 | 46.8 | 47.4 | 49.6 | 50.6 | 51.9 | 53.1 | 47.4 | 53.1 | ||
Net debt/net capital ratio (%) | 44.8 | 45.6 | 45.1 | 45.4 | 48.1 | 48.7 | 50.2 | 51.5 | 45.4 | 51.5 | ||
Utility | ||||||||||||
GWh billed | ||||||||||||
Residential | 7,726 | 6,911 | 9,977 | 7,010 | 7,570 | 7,005 | 10,630 | 7,212 | 30,757 | 31,569 | ||
Commercial & Gov't | 6,487 | 6,829 | 7,490 | 6,428 | 6,599 | 6,907 | 7,725 | 6,277 | 25,695 | 25,969 | ||
Industrial | 9,490 | 9,922 | 10,288 | 10,268 | 9,596 | 9,810 | 9,736 | 8,778 | 39,718 | 37,615 | ||
Wholesale | 2,418 | 2,367 | 2,034 | 1,795 | 1,732 | 1,938 | 2,227 | 1,549 | 8,599 | 7,435 | ||
O&M expense/MWh | $13.31 | $15.62 | $12.94 | $17.19 | $14.99 | $17.56 | $11.35 | $17.43 | $14.64 | $15.06 | ||
Reliability | ||||||||||||
SAIFI | 1.7 | 1.9 | 1.8 | 1.9 | 1.5 | 1.8 | 1.8 | 1.7 | 1.9 | 1.7(u) | ||
SAIDI | 143 | 162 | 159 | 169 | 136 | 157 | 158 | 161 | 169 | 161(u) | ||
Nuclear | ||||||||||||
Net MW in operation | 4,001 | 4,001 | 4,001 | 4,058 | 4,058 | 4,105 | 4,105 | 4,105 | 4,058 | 4,105 | ||
Avg. realized price per MWh | $39.70 | $41.33 | $43.38 | $40.69 | $41.56 | $42.63 | $42.58 | $42.75 | $41.26 | $42.39 | ||
Production cost/MWh | $18.57 | $18.33 | $21.68 | $22.28 | $18.71 | $19.22 | $20.14 | $19.48 | $20.16 | $19.39 | ||
Generation in GWh | 8,687 | 8,196 | 8,075 | 7,567 | 8,267 | 8,156 | 8,474 | 8,643 | 32,524 | 33,539 | ||
Capacity factor | 99% | 94% | 92% | 85% | 93% | 91% | 95% | 95% | 92% | 93% | ||
- Data has not been restated for the de-consolidation of ENOI which was the accounting adopted by Entergy in third quarter 2005.
- Excludes impact of major storm activity.
Appendix E provides a summary of planned capital expenditures. Entergy's capital plan from 2006 through 2008 includes $3.6 billion for investment; more than $2.2 billion of this amount is associated with capital to maintain Entergy's existing assets. Approximately $1.1 billion is associated with specific investments such as transmission upgrades, dry cask storage and license renewal projects at certain nuclear sites, and other investments, such as the purchase of the Attala plant, that support the utility's ability to meet load growth.
Appendix E: Planned Capital Expenditures excluding Entergy New Orleans | ||||
2006-2008 | ||||
($ in millions) | 2006 | 2007 | 2008 | Total |
Storm capital | 304 | 4 | - | 308 |
Maintenance capital | ||||
Utility, Parent & Other | 604 | 713 | 719 | 2,036 |
Entergy Nuclear | 62 | 64 | 50 | 176 |
Non-nuclear wholesale assets | 2 | 2 | 2 | 6 |
Subtotal | 668 | 779 | 771 | 2,218 |
Other capital commitments | ||||
Utility, Parent & Other | 277 | 203 | 301 | 781 |
Entergy Nuclear | 143 | 96 | 86 | 325 |
Non-nuclear wholesale assets | 6 | 6 | 5 | 17 |
Subtotal | 426 | 305 | 392 | 1,123 |
Total Planned Capital Expenditures | 1,398 | 1,088 | 1,163 | 3,649 |
Entergy New Orleans' planned capital expenditures for the years 2006-2008 total $177 million, including $72 million of storm capital.
Appendix F-1 provides details on the financing authority of Entergy Corporation and each of its operating companies at December 31, 2005. Short-term authority may be for secured or unsecured financing and varies by company. Long-term borrowing authority is limited by approvals obtained from the Securities and Exchange Commission (SEC) under the Public Utility Holding Company Act of 1935 (PUHCA). The Federal Energy Regulatory Commission (FERC) has adopted rules to continue these authorizations for at least 22 months after PUHCA repeal becomes effective on February 8, 2006. Entergy and the operating companies have filed requests with the FERC to increase certain financing authorizations. Further restrictions may be imposed by local regulatory authorities.
Appendix F-1: Financing Authority | |||||
as of 12/31/2005 | |||||
Short-term | Long-term | ||||
($ in millions) | Limit | Available | 1935 Act Authority | ||
Entergy Corporation | 2,500 | 1,055 | 390 | ||
Entergy Arkansas | 200 | 173 | 815(v) | ||
Entergy Gulf States | 340 | 340 | 590 | ||
Entergy Louisiana | 209 | 116 | 210 | ||
Entergy Mississippi | 133 | 49 | 690 | ||
Entergy New Orleans (w) | - | - | - | ||
System Energy Resources | 140 | 140 | 280 | ||
Total | 3,522 | 1,873 | 2,975 | ||
- Authority granted by local regulator.
- Liquidity data for Entergy New Orleans is not included due to its filing for protection under Chapter 11 of the U.S. Bankruptcy Code and the subsequent decision by Entergy to de-consolidate Entergy New Orleans forfinancial reporting purposes.
Entergy recently put into place major components of a financing plan it announced in November 2005 to source $2.5 billion through a combination of debt and equity units. The plan included 1) increasing the capacity on Entergy Corporation's liquidity revolver by $1.5 billion; 2) issuing $0.5 billionof equity units; 3) issuing $0.5 billion of new debt at Entergy Louisiana and Entergy Gulf States; and 4) providing equity funding in the amount of $300 million from the parent company to Entergy Gulf States.
This financing plan is primarily designed to provide adequate liquidity to Entergy and its subsidiaries while storm restoration cost recovery is pursued. In addition, the plan will ensure adequate liquidity is available to support Entergy Nuclear. Depending on prevailing market prices, this business may be required to provide assurances in the form of corporate guarantees, lines of credit or cash to counterparties to demonstrate their commitments to deliver physical power at previously-established contract prices even if those prices are below market. As of December 31, 2005, Entergy provided approximately $1.6 billion of assurances to various counterparties primarily in the form of corporate guarantees. The assurance requirement associated with Entergy Nuclear is estimated to increase by an amount up to $400 million if gas prices increase $1 per MMBtu across the entire forward curve.
Appendix F-2 provides details on scheduled long-term debt maturities including currently maturing portions.
Appendix F-2: Debt Maturity Schedule excluding Entergy New Orleans | ||||||
Maturities as of 12/31/2005 | ||||||
($ in millions) | 2006 | 2007 | 2008 | 2009-2010 | 2011+ | Total |
Utility, Parent & Other | 23 | 93 | 1,074 | 2,073 | 5,292 | 8,555 |
Entergy Nuclear | 81 | 80 | 20 | 43 | 149 | 373 |
Total | 104 | 173 | 1,094 | 2,116 | 5,441 | 8,928 |
Appendix G provides definitions of certain operational performance measures, as well as GAAP and non-GAAP financial measures, all of which are referenced in this release.
Appendix G: Definitions of Operational Performance Measures and GAAP and Non-GAAP Financial Measures | |
Utility | |
GWh billed | Total number of GWh billed to all retail and wholesale customers |
Operation & maintenance expense | Operation, maintenance and refueling expenses per MWh of billed sales, excluding fuel |
SAIFI | System average interruption frequency index; average number per customer per year |
SAIDI | System average interruption duration index; average minutes per customer per year |
Number of customers | Number of customers at end of period |
Competitive Businesses | |
Planned TWh of generation | Amount of output expected to be generated by Entergy Nuclear for nuclear units, or by non-nuclear wholesale assets for fossil and wind units, considering plant operating characteristics, outage schedules, and expected market conditions which impact dispatch |
Percent of planned generation sold forward | Percent of planned generation output sold forward under contracts, forward physical contracts or forward financial contracts (consistent with assumptions used in earnings guidance) that may or may not require regulatory approval |
Unit-contingent | Transaction under which power is supplied from a specific generation asset; if the asset is unavailable, seller is not liable to buyer for any damages |
Unit-contingent with availability guarantees | Transaction under which power is supplied from a specific generation asset; if the asset is unavailable, seller is not liable to buyer for any damages, unless the actual availability over a specified period of time is below an availability threshold specified in the contract |
Firm liquidated damages (LD) | Transaction that requires receipt or delivery of energy at a specified delivery point (usually at a market hub not associated with a specific asset); if a party fails to deliver or receive energy, defaulting party must compensate the other party as specified in the contract |
Planned net MW in operation | Amount of capacity to be available to generate power considering uprates planned to be completed within the calendar year |
Bundled energy & capacity contract | A contract for the sale of installed capacity and related energy, priced per megawatt-hour sold |
Capacity contract | For Entergy Nuclear, a contract for the sale of the installed capacity product in regional markets managed by ISO New England and the New York Independent System Operator For Energy Commodity Services, a contract for the sale of capacity and related energy, in which capacity and energy are priced separately |
Average contract price per MWh or per kW per month | Price at which generation output and/or capacity is expected to be sold to third parties, given existing contract prices based on expected dispatch or capacity |
Average contract revenue per MWh | Price at which the combination of generation output and capacity are expected to be sold to third parties, given existing contract prices based on expected dispatch |
Entergy Nuclear | |
Net MW in operation | Installed capacity owned or operated by Entergy Nuclear |
Average realized price per MWh | As-reported revenue per MWh generated for all non-utility nuclear operations |
Production cost per MWh | Fuel and non-fuel operation and maintenance expenses according to accounting standards that directly relate to the production of electricity per MWh |
Generation in GWh | Total number of GWh produced by all non-utility nuclear facilities |
Capacity factor | Normalized percentage of the period that the plant generates power |
Refueling outage duration | Number of days lost for scheduled refueling outage during the period |
Financial measures defined in the below table include measures prepared in accordance with generally accepted accounting principles, (GAAP), as well as non-GAAP measures. Non-GAAP measures are included in this release in order to provide metrics that remove the effect of less routine financial impacts from commonly used financial metrics.
Appendix G: Definitions of Operational Performance Measures and GAAP and Non-GAAP Financial Measures (continued) | |
Financial Measures - GAAP | |
Return on average invested capital - as-reported | 12-months rolling earnings adjusted to include preferred dividends and tax-effected interest expense divided by average invested capital |
Return on average common equity - as-reported | 12-months rolling earnings divided by average common equity |
Net margin - as-reported | 12-months rolling earnings divided by 12 months rolling revenue |
Cash flow interest coverage | 12-months cash flow from operating activities plus 12-months rolling interest paid, divided by interest expense |
Book value per share | Common equity divided by end of period shares outstanding |
Revolver capacity | Amount of undrawn capacity remaining on corporate and subsidiary revolvers |
Total debt | Sum of short-term and long-term debt, notes payable, capital leases, and preferred stock with sinking fund on the balance sheet less non-recourse debt, if any |
Debt of joint ventures (Entergy's share) | Debt issued by Entergy-Koch, LP and non-nuclear wholesale assets business joint ventures for periods through third quarter 2004. Only non-nuclear wholesale assets business joint ventures debt included for periods thereafter. |
Leases (Entergy's share) | Operating leases held by subsidiaries capitalized at implicit interest rate |
Debt to capital | Gross debt divided by total capitalization |
Financial Measures - Non-GAAP | |
Operational earnings | As-reported earnings applicable to common stock adjusted to exclude the impact of special items |
Return on average invested capital - operational | 12-months rolling operational earnings adjusted to include preferred dividends and tax-effected interest expense divided by average invested capital |
Return on average common equity - operational | 12-months rolling operational earnings divided by average common equity |
Net margin - operational | 12-months rolling operational earnings divided by 12 months rolling revenue |
Total gross liquidity | Sum of cash and revolver capacity |
Net debt to net capital | Gross debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents |
Net debt including off-balance sheet liabilities | Sum of gross debt and off-balance sheet debt less cash and cash equivalents divided by sum of total capitalization and off-balance sheet debt less cash and cash equivalents |
Appendices H-1 and H-2 provide reconciliations of various non-GAAP financial measures disclosed in this release to their most comparable GAAP measure. Appendices H-3 through H-9 provide reconciliations of 2004 pro-forma financial statements to 2004 GAAP financial statements due to the deconsolidation of Entergy New Orleans.
Appendix H-1: Reconciliation of GAAP to Non-GAAP Financial Measures - - Return on Equity, Return on Invested Capital and Net Margin Metrics | ||||||||
($ in millions) | 1Q04 | 2Q04 | 3Q04 | 4Q04 | 1Q05 | 2Q05 | 3Q05 | 4Q05 |
As-reported earnings-rolling 12 months (A) | 739 | 799 | 715 | 910 | 874 | 895 | 963 | 898 |
Preferred dividends | 23 | 23 | 23 | 23 | 24 | 25 | 25 | 25 |
Tax effected interest expense | 307 | 303 | 293 | 295 | 293 | 288 | 288 | 294 |
As-reported earnings, rolling 12 months including preferred dividends and tax effected interest expense (B) | 1,069 | 1,125 | 1,031 | 1,228 | 1,191 | 1,208 | 1,276 | 1,217 |
Special items in prior quarters | (193) | (113) | (100) | (11) | 15 | 0 | 37 | (11) |
Special items 1Q04 thru 4Q05 | ||||||||
Utility, Parent & Other | 17 | |||||||
Energy Commodity Services | 15 | 13 | (40) | 60 | ||||
Energy Commodity Services asset and contract impairments | (36) | |||||||
Utility, Parent & Other | (26) | |||||||
Comp Retail discontinued operations | (1) | (3) | (7) | (8) | ||||
Total special items (C) | (178) | (100) | (140) | 30 | 14 | (3) | 30 | (45) |
Operational earnings, rolling 12 months including preferred dividends and tax effected interest expense (B-C) | 1,247 | 1,225 | 1,171 | 1,198 | 1,177 | 1,211 | 1,246 | 1,262 |
Operational earnings, rolling 12 months (A-C) | 917 | 899 | 855 | 880 | 860 | 898 | 933 | 943 |
Average invested capital (D) | 17,257 | 17,638 | 17,462 | 16,845 | 17,072 | 17,069 | 17,033 | 16,856 |
Average common equity (E) | 8,565 | 8,619 | 8,806 | 8,500 | 8,452 | 8,347 | 8,350 | 8,027 |
Operating revenues (F) | 9,327 | 9,353 | 9,485 | 9,686 | 9,728 | 9,905 | 10,277 | 10,106 |
ROIC - as-reported (B/D) | 6.19 | 6.38 | 5.90 | 7.29 | 6.97 | 7.07 | 7.49 | 7.22 |
ROIC - operational ((B-C)/D) | 7.22 | 6.95 | 6.70 | 7.11 | 6.89 | 7.08 | 7.32 | 7.48 |
ROE - as-reported (A/E) | 8.63 | 9.27 | 8.12 | 10.70 | 10.35 | 10.73 | 11.53 | 11.19 |
ROE - operational ((A-C)/E) | 10.71 | 10.43 | 9.71 | 10.35 | 10.19 | 10.75 | 11.17 | 11.75 |
Net margin - as-reported (A/F) | 7.92 | 8.54 | 7.54 | 9.39 | 8.99 | 9.04 | 9.37 | 8.89 |
Net margin - operational ((A-C)/F) | 9.83 | 9.61 | 9.01 | 9.08 | 8.85 | 9.06 | 9.08 | 9.33 |
Appendix H-2: Reconciliation of GAAP to Non-GAAP Financial Measures - Credit and Liquidity Metrics | ||||||||
($ in millions) | 1Q04 | 2Q04 | 3Q04 | 4Q04 | 1Q05 | 2Q05 | 3Q05 | 4Q05 |
Gross debt (A) | 8,282 | 8,173 | 8,070 | 7,807 | 8,260 | 8,540 | 8,865 | 9,288 |
Less cash and cash equivalents (B) | 808 | 558 | 541 | 620 | 479 | 615 | 598 | 583 |
Net debt (C) | 7,474 | 7,615 | 7,528 | 7,187 | 7,781 | 7,925 | 8,267 | 8,705 |
Total capitalization (D) | 17,505 | 17,252 | 17,245 | 16,469 | 16,640 | 16,886 | 17,070 | 17,490 |
Less cash and cash equivalents (B) | 808 | 558 | 541 | 620 | 479 | 615 | 598 | 583 |
Net capital (E) | 16,697 | 16,694 | 16,704 | 15,849 | 16,161 | 16,271 | 16,472 | 16,907 |
Debt to capital ratio % (A/D) | 47.3 | 47.4 | 46.8 | 47.4 | 49.6 | 50.6 | 51.9 | 53.1 |
Net debt to net capital ratio % (C/E) | 44.8 | 45.6 | 45.1 | 45.4 | 48.1 | 48.7 | 50.2 | 51.5 |
Off-balance sheet liabilities (F) | 1,029 | 1,037 | 1,030 | 769 | 771 | 780 | 779 | 778 |
Net debt to net capital ratio including off-balance sheet liabilities % ((C+F)/(E+F)) | 48.0 | 48.8 | 48.3 | 47.9 | 50.5 | 51.1 | 52.4 | 53.6 |
Revolver capacity (G) | 1,553 | 1,280 | 1,310 | 1,490 | 1,070 | 1,407 | 791 | 2,545 |
Gross liquidity (B+G) | 2,361 | 1,838 | 1,851 | 2,110 | 1,549 | 2,022 | 1,389 | 3,128 |
Appendix H-3: Reconciliation of GAAP to Non-GAAP Balance Sheet | |||||||||
($ in thousands) | |||||||||
U.S. Utilities/Parent/Other | Consolidated | ||||||||
GAAP | ENOI | Pro-forma | GAAP | ENOI | Pro-forma | ||||
ASSETS | |||||||||
CURRENT ASSETS | |||||||||
Cash and cash equivalents: | |||||||||
Cash | 62,001 | (2,998) | 59,003 | 79,136 | (2,998) | 76,138 | |||
Temporary cash investments - at cost, |
| - | |||||||
which approximates market | 558,971 | (4,956) | 554,015 | 540,650 | (4,956) | 535,694 | |||
Total cash and cash equivalents | 620,972 | (7,954) | 613,018 | 619,786 | (7,954) | 611,832 | |||
Other temporary investments | 2,236 | - | 2,236 | 187,950 | - | 187,950 | |||
Notes receivable | - | - | - | 3,092 | - | 3,092 | |||
Accounts receivable: | |||||||||
Customer | 435,191 | (16,793) | 418,398 | 435,191 | (16,793) | 418,398 | |||
Allowance for doubtful accounts | (21,576) | 3,492 | (18,084) | (23,758) | 3,492 | (20,266) | |||
Associated companies | 7,144 | - | 7,144 | - | - | - | |||
Other | 185,899 | (7,328) | 178,571 | 342,289 | (7,329) | 334,960 | |||
Accrued unbilled revenues | 460,039 | (24,848) | 435,191 | 460,039 | (24,848) | 435,191 | |||
Total receivables | 1,066,697 | (45,477) | 1,021,220 | 1,213,761 | (45,478) | 1,168,283 | |||
Deferred fuel costs | 85,911 | (2,559) | 83,352 | 85,911 | (2,559) | 83,352 | |||
Accumulated deferred income taxes | 76,899 | 1,906 | 78,805 | 76,899 | 1,906 | 78,805 | |||
Fuel inventory - at average cost | 125,454 | (4,181) | 121,273 | 127,251 | (4,181) | 123,070 | |||
Materials and supplies - at average cost | 345,688 | (9,149) | 336,539 | 569,407 | (9,150) | 560,257 | |||
Deferred nuclear refueling outage costs | 31,601 | - | 31,601 | 107,782 | - | 107,782 | |||
Prepayments and other | 89,105 | (3,468) | 85,637 | 116,279 | (3,469) | 112,810 | |||
TOTAL | 2,444,563 | (70,882) | 2,373,681 | 3,108,118 | (70,885) | 3,037,233 | |||
OTHER PROPERTY AND INVESTMENTS | |||||||||
Investment in affiliates - at equity | 8,054,793 | 154,461 | 8,209,254 | 231,779 | 154,461 | 386,240 | |||
Decommissioning trust funds | 1,051,901 | - | 1,051,901 | 2,453,406 | - | 2,453,406 | |||
Non-utility property - at cost (less accumulated depreciation) | 217,906 | (1) | 217,905 | 219,717 | - | 219,717 | |||
Other | 33,682 | - | 33,682 | 90,992 | - | 90,992 | |||
TOTAL | 9,358,282 | 154,460 | 9,512,742 | 2,995,894 | 154,461 | 3,150,355 | |||
PROPERTY, PLANT, AND EQUIPMENT | |||||||||
Electric | 27,193,633 | (699,072) | 26,494,561 | 29,053,340 | (699,072) | 28,354,268 | |||
Property under capital lease | 738,554 | - | 738,554 | 738,554 | - | 738,554 | |||
Natural gas | 262,787 | (183,728) | 79,059 | 262,787 | (183,728) | 79,059 | |||
Construction work in progress | 952,092 | (33,274) | 918,818 | 1,197,551 | (33,273) | 1,164,278 | |||
Nuclear fuel under capital lease | 262,469 | - | 262,469 | 262,469 | - | 262,469 | |||
Nuclear fuel | 34,326 | - | 34,326 | 320,813 | - | 320,813 | |||
TOTAL PROPERTY, PLANT AND EQUIPMENT | 29,443,861 | (916,074) | 28,527,787 | 31,835,514 | (916,073) | 30,919,441 | |||
Less - accumulated depreciation and amortization | 12,905,551 | (435,519) | 12,470,032 | 13,139,883 | (435,519) | 12,704,364 | |||
PROPERTY, PLANT AND EQUIPMENT - NET | 16,538,310 | (480,555) | 16,057,755 | 18,695,631 | (480,554) | 18,215,077 | |||
DEFERRED DEBITS AND OTHER ASSETS | |||||||||
Regulatory assets: | |||||||||
SFAS 109 regulatory asset - net | 746,413 | 46,406 | 792,819 | 746,413 | 46,406 | 792,819 | |||
Other regulatory assets | 1,429,261 | (35,489) | 1,393,772 | 1,429,261 | (35,489) | 1,393,772 | |||
Long-term receivables | 39,417 | (2,492) | 36,925 | 39,417 | (2,492) | 36,925 | |||
Goodwill | 374,099 | - | 374,099 | 377,172 | - | 377,172 | |||
Other | 796,166 | (8,884) | 787,282 | 918,871 | (8,884) | 909,987 | |||
TOTAL | 3,385,356 | (459) | 3,384,897 | 3,511,134 | (459) | 3,510,675 | |||
- |
| - | |||||||
TOTAL ASSETS | 31,726,511 | (397,436) | 31,329,075 | 28,310,777 | (397,437) | 27,913,340 | |||
*Adjustment to reflect ENOI deconsolidation | |||||||||
Totals may not foot due to rounding |
Appendix H-3: Reconciliation of GAAP to Non-GAAP Balance Sheet (continued) | ||||||
($ in thousands) | ||||||
U.S. Utilities/Parent/Other | Consolidated | |||||
GAAP | ENOI | Pro-forma | GAAP | ENOI | Pro-forma | |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
CURRENT LIABILITIES | ||||||
Currently maturing long-term debt | 415,266 | (29,999) | 385,267 | 492,564 | (30,000) | 462,564 |
Notes payable: | ||||||
Associated companies | 770,623 | 1 | 770,624 | - | - | - |
Other | 43 | - | 43 | 193 | - | 193 |
Account payable: | ||||||
Associated companies | 14,781 | - | 14,781 | - | - | - |
Other | 722,148 | (31,926) | 690,222 | 896,528 | (31,926) | 864,602 |
Customer deposits | 222,157 | (17,186) | 204,971 | 222,320 | (17,187) | 205,133 |
Taxes accrued | 178,671 | ( 2,592) | 176,079 | 224,011 | (2,592) | 221,419 |
Accumulated deferred income taxes | - | - | - | - | - | - |
Nuclear refueling outage costs | - | - | - | - | - | - |
Interest accrued | 142,329 | (4,757) | 137,572 | 144,478 | (4,757) | 139,721 |
Obligations under capital leases | 133,847 | - | 133,847 | 133,847 | - | 133,847 |
Other | 83,478 | (10,089) | 73,389 | 218,442 | (10,088) | 208,354 |
TOTAL | 2,683,343 | (96,548) | 2,586,795 | 2,332,383 | (96,550) | 2,235,833 |
NON-CURRENT LIABILITIES | ||||||
Accumulated deferred income taxes and taxes accrued | 5,205,074 | (47,062) | 5,158,012 | 5,067,381 | (47,062) | 5,020,319 |
Accumulated deferred investment tax credits | 399,228 | (3,997) | 395,231 | 399,228 | (3,997) | 395,231 |
Obligations under capital leases | 146,060 | - | 146,060 | 146,060 | - | 146,060 |
Other regulatory liabilities | 329,767 | - | 329,767 | 329,767 | - | 329,767 |
Decommissioning and retirement cost liabilities | 1,327,988 | - | 1,327,988 | 2,066,277 | - | 2,066,277 |
Transition to competition | 79,101 | - | 79,101 | 79,101 | - | 79,101 |
Regulatory reserves | 103,061 | (233) | 102,828 | 103,061 | (233) | 102,828 |
Accumulated provisions | 346,614 | 1,042 | 347,656 | 549,914 | 1,042 | 550,956 |
Long-term debt | 6,648,504 | (196,647) | 6,451,857 | 7,016,831 | (196,646) | 6,820,185 |
Preferred stock with sinking fund | 17,400 | - | 17,400 | 17,400 | - | 17,400 |
Other | 1,597,079 | (34,213) | 1,562,866 | 1,541,331 | (34,211) | 1,507,120 |
TOTAL | 16,199,876 | (281,110) | 15,918,766 | 17,316,351 | (281,107) | 17,035,244 |
- | ||||||
Preferred stock without sinking fund | 330,831 | (19,780) | 311,051 | 365,356 | (19,780) | 345,576 |
SHAREHOLDERS' EQUITY | ||||||
Common stock, $.01 par value, authorized 500,000,000 shares; | ||||||
issued 248,174,087 shares in 2004 | 2,205,191 | 1 | 2,205,192 | 2,482 | - | 2,482 |
Paid-in capital | 5,940,702 | - | 5,940,702 | 4,835,375 | - | 4,835,375 |
Retained earnings | 5,913,815 | 1 | 5,913,816 | 4,984,302 | - | 4,984,302 |
Accumulated other comprehensive income (loss) | 4,772 | - | 4,772 | (93,453) | - | (93,453) |
Less - treasury stock, at cost (31,345,028 shares in 2004) | 1,552,019 | - | 1,552,019 | 1,432,019 | - | 1,432,019 |
TOTAL | 12,512,461 | 2 | 12,512,463 | 8,296,687 | - | 8,296,687 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 31,726,511 | (397,436) | 31,329,075 | 28,310,777 | (397,437) | 27,913,340 |
*Adjustment to reflect ENOI deconsolidation | ||||||
Totals may not foot due to rounding |
Appendix H-4: Reconciliation of GAAP to Non-GAAP Income Statement | ||||||||
Three Months Ended December 31, 2004 |
|
|
|
|
| |||
($ in thousands) |
|
|
|
|
|
| ||
| U.S. Utilities/Parent/Other | Consolidated | ||||||
| GAAP | ENOI Adjustment* | Pro-forma | GAAP | ENOI Adjustment* | Pro-forma | ||
|
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|
|
|
|
| ||
OPERATING REVENUES |
|
|
|
|
|
| ||
Domestic electric | 1,890,376 | (57,315) | 1,833,061 | 1,889,926 | (57,315) | 1,832,611 | ||
Natural gas | 52,908 | (38,728) | 14,180 | 52,908 | (38,728) | 14,180 | ||
Competitive businesses | 15,395 | - | 15,395 | 360,394 | - | 360,394 | ||
Total | 1,958,679 | (96,043) | 1,862,636 | 2,303,228 | (96,043) | 2,207,185 | ||
|
|
|
|
|
|
| ||
OPERATING EXPENSES |
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|
|
|
|
| ||
Operating and Maintenance: |
|
|
|
|
|
| ||
Fuel, fuel related expenses, and gas | 594,717 | (67,501) | 527,216 | 643,827 | (67,501) | 576,326 | ||
Purchased power | 383,915 | 18,676 | 402,591 | 381,890 | 18,676 | 400,566 | ||
Nuclear refueling outage expenses | 18,101 | - | 18,101 | 41,988 | - | 41,988 | ||
Provision for turbine commitments, asset | - | - | - | 55,000 | - | 55,000 | ||
Other operation and maintenance | 457,124 | (32,306) | 424,818 | 640,952 | (32,306) | 608,646 | ||
Decommissioning | 21,875 | - | 21,875 | 36,337 | - | 36,337 | ||
Taxes other than income taxes | 81,447 | (10,536) | 70,911 | 95,078 | (10,536) | 84,542 | ||
Depreciation and amortization | 222,036 | (8,054) | 213,982 | 232,188 | (8,054) | 224,134 | ||
Other regulatory charges (credits) - net | (33,601) | (1,202) | (34,803) | (33,601) | (1,202) | (34,803) | ||
Total | 1,745,614 | (100,923) | 1,644,691 | 2,093,659 | (100,923) | 1,992,736 | ||
|
|
|
|
|
| |||
OPERATING INCOME | 213,065 | 4,880 | 217,945 | 209,569 | 4,880 | 214,449 | ||
|
|
|
|
|
|
| ||
OTHER INCOME (DEDUCTIONS) |
|
|
|
|
|
| ||
Allowance for equity funds used during | 11,010 | (228) | 10,782 | 11,010 | (228) | 10,782 | ||
Interest and dividend income | 26,080 | (106) | 25,974 | 34,659 | (106) | 34,553 | ||
Equity in earnings (loss) of unconsolidated | (4) | (4,791) | (4,795) | (46,820) | (4,791) | (51,611) | ||
Miscellaneous - net | (44) | 337 | 293 | (4,486) | 337 | (4,149) | ||
Total | 37,042 | (4,788) | 32,254 | (5,637) | (4,788) | (10,425) | ||
|
|
|
|
|
|
| ||
INTEREST AND OTHER CHARGES |
|
|
|
|
|
| ||
Interest on long-term debt | 110,413 | (3,485) | 106,928 | 114,224 | (3,485) | 110,739 | ||
Other interest - net | 14,777 | 202 | 14,979 | 14,416 | 202 | 14,618 | ||
Allowance for borrowed funds used during | (7,222) | 219 | (7,003) | (7,222) | 219 | (7,003) | ||
Total | 117,968 | (3,064) | 114,904 | 121,418 | (3,064) | 118,354 | ||
|
|
|
|
|
|
| ||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 132,139 | 3,156 | 135,295 | 82,514 | 3,156 | 85,670 | ||
|
|
|
|
|
|
| ||
Income taxes | 41,805 | 3,397 | 45,202 | (80,662) | 3,397 | (77,265) | ||
|
|
|
|
|
|
| ||
INCOME FROM CONTINUING OPERATIONS | 90,334 | (241) | 90,093 | 163,176 | (241) | 162,935 | ||
|
|
|
|
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| |||
LOSS FROM DISCONTINUED OPERATIONS | (2,202) | - | (2,202) | (2,202) | - | (2,202) | ||
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|
| |||
CONSOLIDATED NET INCOME | 88,132 | (241) | 87,891 | 160,974 | (241) | 160,733 | ||
|
|
|
|
|
|
| ||
Preferred dividend requirements and other | 5,795 | (241) | 5,554 | 6,037 | (241) | 5,796 | ||
|
|
|
|
|
|
| ||
EARNINGS APPLICABLE TO COMMON STOCK | 82,337 | - | 82,337 | 154,937 | - | 154,937 | ||
|
|
|
|
|
|
| ||
*Adjustment to reflect ENOI deconsolidation |
|
|
|
|
|
| ||
Totals may not foot due to rounding |
|
|
|
|
|
|
Appendix H-5: Reconciliation of GAAP to Non-GAAP Income Statement | ||||||
Year to Date December 31, 2004 | ||||||
($ in thousands) |
|
|
|
|
|
|
| U.S. Utilities/Parent/Other | Consolidated | ||||
| GAAP | ENOI Adjustment* | Pro-forma | GAAP | ENOI Adjustment* | Pro-forma |
|
|
|
|
|
|
|
OPERATING REVENUES |
|
|
|
|
|
|
Domestic electric | 7,934,312 | (287,783) | 7,646,529 | 7,932,577 | (287,783) | 7,644,794 |
Natural gas | 208,499 | (147,411) | 61,088 | 208,499 | (147,411) | 61,088 |
Competitive businesses | 48,601 | - | 48,601 | 1,544,445 | - | 1,544,445 |
Total | 8,191,412 | (435,194) | 7,756,218 | 9,685,521 | (435,194) | 9,250,327 |
|
|
|
|
|
|
|
OPERATING EXPENSES |
|
|
|
|
|
|
Operating and Maintenance: |
|
|
|
|
|
|
Fuel, fuel related expenses, and gas purchased for resale | 2,272,610 | (245,301) | 2,027,309 | 2,488,208 | (245,301) | 2,242,907 |
Purchased power | 1,716,848 | 39,061 | 1,755,909 | 1,701,610 | 39,061 | 1,740,671 |
Nuclear refueling outage expenses | 66,824 | - | 66,824 | 166,072 | - | 166,072 |
Provision for turbine commitments, asset | - | - | - | 55,000 | - | 55,000 |
Other operation and maintenance | 1,578,842 | (102,451) | 1,476,391 | 2,268,332 | (102,450) | 2,165,882 |
Decommissioning | 91,939 | - | 91,939 | 149,529 | - | 149,529 |
Taxes other than income taxes | 348,376 | (43,577) | 304,799 | 403,635 | (43,577) | 360,058 |
Depreciation and amortization | 828,445 | (29,657) | 798,788 | 893,574 | (29,657) | 863,917 |
Other regulatory credits - net | (90,611) | 4,670 | (85,941) | (90,611) | 4,670 | (85,941) |
Total | 6,813,273 | (377,255) | 6,436,018 | 8,035,349 | (377,254) | 7,658,095 |
|
|
|
|
|
|
|
OPERATING INCOME | 1,378,139 | (57,939) | 1,320,200 | 1,650,172 | (57,940) | 1,592,232 |
|
|
|
|
|
|
|
OTHER INCOME (DEDUCTIONS) |
|
|
|
|
|
|
Allowance for equity funds used during construction | 39,582 | (1,378) | 38,204 | 39,582 | (1,378) | 38,204 |
Interest and dividend income | 83,386 | (396) | 82,990 | 109,635 | (396) | 109,239 |
Equity in earnings (loss) of unconsolidated equity | (3) | 27,107 | 27,104 | (78,727) | 27,107 | (51,620) |
Miscellaneous - net | 25,460 | (270) | 25,190 | 55,509 | (270) | 55,240 |
Total | 148,425 | 25,063 | 173,488 | 125,999 | 25,064 | 151,063 |
| ||||||
INTEREST AND OTHER CHARGES | ||||||
Interest on long-term debt | 447,510 | (15,357) | 432,153 | 463,384 | (15,357) | 448,027 |
Other interest - net | 41,932 | (929) | 41,003 | 40,133 | (929) | 39,204 |
Allowance for borrowed funds used during | (25,741) | 1,243 | (24,498) | (25,741) | 1,243 | (24,498) |
Total | 463,701 | (15,043) | 448,658 | 477,776 | (15,043) | 462,733 |
| ||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 1,062,863 | (17,833) | 1,045,030 | 1,298,395 | (17,833) | 1,280,562 |
|
|
|
|
|
| |
Income taxes | 378,526 | (16,868) | 361,658 | 365,305 | (16,868) | 348,437 |
|
|
|
|
|
| |
INCOME FROM CONTINUING OPERATIONS | 684,337 | (965) | 683,372 | 933,090 | (965) | 932,125 |
|
|
|
|
|
| |
LOSS FROM DISCONTINUED OPERATIONS | (41) | - | (41) | (41) | - | (41) |
|
|
|
|
|
|
|
CONSOLIDATED NET INCOME | 684,296 | (965) | 683,331 | 933,049 | (965) | 932,084 |
|
|
|
|
|
|
|
Preferred dividend requirements and other | 23,283 | (965) | 22,318 | 23,525 | (965) | 22,560 |
|
|
|
|
|
|
|
EARNINGS APPLICABLE TO COMMON STOCK | 661,013 | - | 661,013 | 909,524 | - | 909,524 |
|
|
|
|
|
|
|
*Adjustment to reflect ENOI deconsolidation |
|
|
|
|
|
|
Totals may not foot due to rounding |
Appendix H-6: Reconciliation of GAAP to Non-GAAP Cash Flow Statement | ||||
Three Months Ended December 31, 2004 | ||||
($ in thousands) | ||||
Consolidated | ||||
GAAP | ENOI Adjustment* | Pro-forma | ||
OPERATING ACTIVITIES | ||||
Consolidated net income | 160,974 | (241) | 160,733 | |
Adjustments to reconcile consolidated net income to net cash flow | ||||
provided by operating activities: | ||||
Reserve for regulatory adjustments | 27,974 | 193 | 28,167 | |
Other regulatory credits - net | (33,601) | (1,202) | (34,803) | |
Depreciation, amortization, and decommissioning | 269,316 | (8,054) | 261,262 | |
Deferred income taxes and investment tax credits | 128,822 | (15,521) | 113,301 | |
Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends | 549,950 | 4,791 | 554,741 | |
Provision for turbine commitments, asset impairments, and restructuring charges | 55,000 | - | 55,000 | |
Changes in working capital: | ||||
Receivables | 132,516 | (24,314) | 108,202 | |
Fuel inventory | 3,940 | (1,769) | 2,171 | |
Accounts payable | 110,091 | (2,850) | 107,241 | |
Taxes accrued | (239,686) | 15,448 | (224,238) | |
Interest accrued | (8,755) | (2,321) | (11,076) | |
Deferred fuel | 33,202 | 14,497 | 47,699 | |
Other working capital accounts | 48,391 | (9,140) | 39,251 | |
Provision for estimated losses and reserves | (3,120) | 1,043 | (2,077) | |
Changes in other regulatory assets | 40,272 | (610) | 39,662 | |
Other | (59,632) | 7,167 | (52,465) | |
Net cash flow provided by operating activities | 1,215,654 | (22,883) | 1,192,771 | |
INVESTING ACTIVITIES | ||||
Construction/capital expenditures | (465,798) | 14,868 | (450,930) | |
Allowance for equity funds used during construction | 11,010 | (228) | 10,782 | |
Nuclear fuel purchases | (86,088) | - | (86,088) | |
Proceeds from sale/leaseback of nuclear fuel | 35,209 | - | 35,209 | |
Proceeds from sale of assets and businesses | 53,452 | - | 53,452 | |
Investment in nonutility properties | 13,712 | - | 13,712 | |
Decrease (increase) in other investments | 394,838 | - | 394,838 | |
Purchase of other temporary investments | (1,025,600) | - | (1,025,600) | |
Liquidation of other temporary investments | 884,150 | - | 884,150 | |
Decommissioning trust contributions and realized change in trust assets | (23,811) | - | (23,811) | |
Other regulatory investments | 8,965 | - | 8,965 | |
Net cash flow used in investing activities | (199,961) | 14,640 | (185,321) | |
FINANCING ACTIVITIES | ||||
Proceeds from the issuance of: | ||||
Long-term debt | 2,212,918 | 85 | 2,213,003 | |
Preferred stock | - | - | - | |
Common stock and treasury stock | 29,892 | - | 29,892 | |
Retirement of long-term debt | (2,338,078) | - | (2,338,078) | |
Repurchase of common stock | (601,727) | - | (601,727) | |
Changes in credit line borrowings - net | (110,079) | - | (110,079) | |
Dividends paid: | ||||
Common stock | (123,392) | - | (123,392) | |
Preferred stock | (6,037) | 241 | (5,796) | |
Net cash flow provided by (used in) financing activities | (936,503) | 326 | (936,177) | |
Effect of exchange rates on cash and cash equivalents | (745) | (1) | (746) | |
Net increase (decrease) in cash and cash equivalents | 78,445 | (7,918) | 70,527 | |
Cash and cash equivalents at beginning of period | 541,341 | (36) | 541,305 | |
Cash and cash equivalents at end of period | 619,786 | (7,954) | 611,832 | |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||
Cash paid (received) during the period for: | ||||
Interest - net of amount capitalized. | 131,630 | 405 | 132,035 | |
Income taxes | (4,561) | 726 | (3,835) | |
*Adjustment to reflect ENOI deconsolidation | ||||
Totals may not foot due to rounding |
Appendix H-7: Reconciliation of GAAP to Non-GAAP Cash Flow Statement | |||
Year to Date December 31, 2004 | |||
($ in thousands) | |||
Consolidated | |||
GAAP | ENOI Adjustment* | Pro-forma | |
OPERATING ACTIVITIES | |||
Consolidated net income | 933,049 | (965) | 932,084 |
Adjustments to reconcile consolidated net income to net cash flow | |||
provided by operating activities: | |||
Reserve for regulatory adjustments | 33,533 | 7,363 | 40,896 |
Other regulatory credits - net | (90,611) | 4,670 | (85,941) |
Depreciation, amortization, and decommissioning | 1,045,122 | (29,657) | 1,015,465 |
Deferred income taxes and investment tax credits | 275,458 | (39,782) | 235,676 |
Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends | 608,141 | (21,907) | 586,234 |
Provision for turbine commitments, asset impairments, and restructuring charges | 55,000 | - | 55,000 |
Changes in working capital: | |||
Receivables | (210,419) | 7,757 | (202,662) |
Fuel inventory | (16,769) | (1,399) | (18,168) |
Accounts payable | 95,306 | (13,905) | 81,401 |
Taxes accrued | 75,055 | 13,056 | 88,111 |
Interest accrued | 5,269 | 1,455 | 6,724 |
Deferred fuel | 213,627 | 5,279 | 218,906 |
Other working capital accounts | 41,008 | (2,123) | 38,885 |
Provision for estimated losses and reserves | (18,041) | 1,863 | (16,178) |
Changes in other regulatory assets | 48,626 | 5,380 | 54,006 |
Other | (164,035) | 4,539 | (159,496) |
Net cash flow provided by operating activities | 2,929,319 | (58,376) | 2,870,943 |
INVESTING ACTIVITIES | |||
Construction/capital expenditures | (1,410,610) | 51,264 | (1,359,346) |
Allowance for equity funds used during construction | 39,582 | (1,378) | 38,204 |
Nuclear fuel purchases | (238,170) | - | (238,170) |
Proceeds from sale/leaseback of nuclear fuel | 109,988 | - | 109,988 |
Proceeds from sale of assets and businesses | 75,430 | - | 75,430 |
Investment in nonutility properties | (6,420) | - | (6,420) |
Decrease (increase) in other investments | 383,498 | - | 383,498 |
Purchase of other temporary investments | (1,629,500) | - | (1,629,500) |
Liquidation of other temporary investments | 1,676,350 | (606) | 1,675,744 |
Decommissioning trust contributions and realized change in trust assets | (89,807) | - | (89,807) |
Other regulatory investments | (53,566) | - | (53,566) |
Net cash flow used in investing activities | (1,143,225) | 49,280 | (1,093,945) |
FINANCING ACTIVITIES | |||
Proceeds from the issuance of: | |||
Long-term debt | 3,653,478 | (72,640) | 3,580,838 |
Common stock and treasury stock | 170,237 | - | 170,237 |
Retirement of long-term debt | (4,022,548) | 77,487 | (3,945,061) |
Repurchase of common stock | (1,017,996) | - | (1,017,996) |
Redemption of preferred stock | (3,450) | - | (3,450) |
Changes in credit line borrowings - net | (154) | - | (154) |
Dividends paid: |
|
| |
Common stock | (427,901) | - | (427,901) |
Preferred stock | (23,525) | 965 | (22,560) |
Net cash flow used in financing activities | (1,671,859) | 5,812 | (1,666,047) |
Effect of exchange rates on cash and cash equivalents | (1,882) | - | (1,882) |
Net increase (decrease) in cash and cash equivalents | 112,353 | (3,284) | 109,069 |
Cash and cash equivalents at beginning of period | 507,433 | (4,670) | 502,763 |
Cash and cash equivalents at end of period | 619,786 | (7,954) | 611,832 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | |||
Cash paid (received) during the period for: | |||
Interest - net of amount capitalized | 477,768 | (16,172) | 461,596 |
Income taxes | 28,241 | 5,736 | 33,977 |
*Adjustment to reflect ENOI deconsolidation | |||
Totals may not foot due to rounding |
Entergy's common stock is listed on the New York, Chicago, and Pacific exchanges under the symbol "ETR".
Additional investor information can be accessed on-line at
www.entergy.com/earnings
*********************************************************************************************************************************
In this release and from time to time, Entergy makes statements concerning its expectations, beliefs, plans, objectives, goals, strategies, and future events or performance. Such statements are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Although Entergy believes that these forward-looking statements and the underlying assumptions are reasonable, it cannot provide assurance that they will prove correct. Except to the extent required by federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Forward-looking statements involve a number of risks and uncertainties, and there are factors that could cause actual results to differ materially from those expressed or implied in these statements. Some of those factors include, but are not limited to: resolution of pending and future rate cases and oth er proceedings at local and federal regulatory agencies, Entergy's ability to manage its operation and maintenance costs, the performance of Entergy's generating plants, and particularly the capacity factor at its nuclear generating facilities, prices for power generated by Entergy's unregulated generating facilities, and the prices and availability of power Entergy must purchase for its utility customers, uncertainty regarding establishment of sites for spent nuclear fuel storage and disposal, Entergy's ability to develop and execute on a point of view regarding prices of electricity, natural gas, and other energy-related commodities, changes in the financial markets, particularly those affecting the availability of capital and Entergy's ability to refinance existing debt, execute its share repurchase program, and fund investments and acquisitions, actions of rating agencies, including changes in the ratings of debt and preferred stock, Entergy's ability to purchase and sell assets at attractive prices and on other attractive terms, changes in utility regulation and in regulation of the nuclear industry, the success of Entergy's strategies to reduce tax payments, the effects of litigation and weather, and uncertainties associated with efforts to remediate the effects of Hurricanes Katrina and Rita and recovery of costs associated with restoration including Entergy's ability to obtain financial assistance from governmental authorities in connection with these storms, the outcome of the Chapter 11 bankruptcy proceeding of Entergy New Orleans, Inc. and the impact, if any, of this proceeding on other Entergy companies.
Entergy Corporation | |||||||
Consolidating Balance Sheet | |||||||
December 31, 2005 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
ASSETS | |||||||
CURRENT ASSETS | |||||||
Cash and cash equivalents: | |||||||
Cash | $ 109,140 | $ 14,638 | $ - | $ 123,778 | |||
Temporary cash investments - at cost, | |||||||
which approximates market | 127,786 | 233,261 | - | 361,047 | |||
Special deposits | 97,995 | - | - | 97,995 | |||
Total cash and cash equivalents | 334,921 | 247,899 | - | 582,820 | |||
Other temporary investments | - | - | - | - | |||
Notes receivable | 665,873 | 1,144,505 | (1,717,151) | 93,227 | |||
Accounts receivable: | |||||||
Customer | 732,455 | - | - | 732,455 | |||
Allowance for doubtful accounts | (28,635) | (2,170) | - | (30,805) | |||
Associated companies | 33,851 | 69,719 | (103,570) | - | |||
Other | 193,548 | 162,866 | - | 356,414 | |||
Accrued unbilled revenues | 477,570 | - | - | 477,570 | |||
Total receivables | 1,408,789 | 230,415 | (103,570) | 1,535,634 | |||
Deferred fuel costs | 664,416 | - | - | 664,416 | |||
Accumulated deferred income taxes | - | - | - | - | |||
Fuel inventory - at average cost | 204,382 | 1,813 | - | 206,195 | |||
Materials and supplies - at average cost | 369,397 | 241,535 | - | 610,932 | |||
Deferred nuclear refueling outage costs | 64,157 | 93,607 | - | 157,764 | |||
Prepayments and other | 59,436 | 24,408 | - | 83,844 | |||
TOTAL | 3,771,371 | 1,984,182 | (1,820,721) | 3,934,832 | |||
OTHER PROPERTY AND INVESTMENTS | |||||||
Investment in affiliates - at equity | 8,198,240 | 428,006 | (8,329,462) | 296,784 | |||
Decommissioning trust funds | 1,136,006 | 1,470,759 | - | 2,606,765 | |||
Non-utility property - at cost (less accumulated depreciation) | 226,264 | 2,569 | - | 228,833 | |||
Other | 35,594 | 45,941 | - | 81,535 | |||
TOTAL | 9,596,104 | 1,947,275 | (8,329,462) | 3,213,917 | |||
PROPERTY, PLANT, AND EQUIPMENT | |||||||
Electric | 27,176,956 | 1,987,079 | (3,008) | 29,161,027 | |||
Property under capital lease | 727,565 | - | - | 727,565 | |||
Natural gas | 86,794 | - | - | 86,794 | |||
Construction work in progress | 1,291,374 | 232,711 | - | 1,524,085 | |||
Nuclear fuel under capital lease | 271,615 | - | - | 271,615 | |||
Nuclear fuel | 101,403 | 335,243 | - | 436,646 | |||
TOTAL PROPERTY, PLANT AND EQUIPMENT | 29,655,707 | 2,555,033 | (3,008) | 32,207,732 | |||
Less - accumulated depreciation and amortization | 12,730,545 | 280,142 | - | 13,010,687 | |||
PROPERTY, PLANT AND EQUIPMENT - NET | 16,925,162 | 2,274,891 | (3,008) | 19,197,045 | |||
DEFERRED DEBITS AND OTHER ASSETS | |||||||
Regulatory assets: | |||||||
SFAS 109 regulatory asset - net | 735,221 | - | - | 735,221 | |||
Other regulatory assets | 1,926,376 | - | - | 1,926,376 | |||
Long-term receivables | 25,572 | - | - | 25,572 | |||
Goodwill | 374,099 | 3,073 | - | 377,172 | |||
Other | 831,846 | 797,515 | (650,820) | 978,541 | |||
TOTAL | 3,893,114 | 800,588 | (650,820) | 4,042,882 | |||
TOTAL ASSETS | $ 34,185,751 | $ 7,006,936 | $ (10,804,011) | $ 30,388,676 | |||
*Totals may not foot due to rounding. | |||||||
Entergy Corporation | |||||||
Consolidating Balance Sheet | |||||||
December 31, 2005 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
CURRENT LIABILITIES | |||||||
Currently maturing long-term debt | $ 22,989 | $ 80,528 | $ - | $ 103,517 | |||
Notes payable: | |||||||
Associated companies | 926,271 | 530,880 | (1,457,151) | - | |||
Other | 40,041 | - | - | 40,041 | |||
Account payable: | |||||||
Associated companies | 77,793 | 23,393 | (101,186) | - | |||
Other | 1,494,385 | 161,402 | - | 1,655,787 | |||
Customer deposits | 222,044 | 162 | - | 222,206 | |||
Taxes accrued | 316,659 | (128,500) | - | 188,159 | |||
Accumulated deferred income taxes | 143,409 | - | - | 143,409 | |||
Nuclear refueling outage costs | 15,548 | - | - | 15,548 | |||
Interest accrued | 153,269 | 1,586 | - | 154,855 | |||
Obligations under capital leases | 130,882 | - | - | 130,882 | |||
Other | 66,367 | 407,143 | - | 473,510 | |||
TOTAL | 3,609,657 | 1,076,594 | (1,558,337) | 3,127,914 | |||
NON-CURRENT LIABILITIES | |||||||
Accumulated deferred income taxes and taxes accrued | 5,009,448 | 35,661 | - | 5,045,109 | |||
Accumulated deferred investment tax credits | 376,550 | - | - | 376,550 | |||
Obligations under capital leases | 175,005 | - | - | 175,005 | |||
Other regulatory liabilities | 408,667 | - | - | 408,667 | |||
Decommissioning and retirement cost liabilities | 1,161,830 | 762,141 | - | 1,923,971 | |||
Transition to competition | 79,101 | - | - | 79,101 | |||
Regulatory reserves | 18,624 | - | - | 18,624 | |||
Accumulated provisions | 350,265 | 205,763 | - | 556,028 | |||
Long-term debt | 8,791,811 | 349,073 | (316,391) | 8,824,493 | |||
Preferred stock with sinking fund | 13,950 | - | - | 13,950 | |||
Other | 1,495,060 | 741,786 | (600,021) | 1,636,825 | |||
TOTAL | 17,880,311 | 2,094,424 | (916,412) | 19,058,323 | |||
Preferred stock without sinking fund | 411,321 | 426,590 | (391,937) | 445,974 | |||
SHAREHOLDERS' EQUITY | |||||||
Common stock, $.01 par value, authorized 500,000,000 shares; | |||||||
issued 248,174,087 shares in 2005 | 2,205,192 | 1,091,856 | (3,294,566) | 2,482 | |||
Paid-in capital | 6,653,879 | 1,565,320 | (3,401,562) | 4,817,637 | |||
Retained earnings | 5,712,395 | 1,121,151 | (1,405,139) | 5,428,407 | |||
Accumulated other comprehensive income (loss) | (5,044) | (325,683) | 626 | (330,101) | |||
Less - treasury stock, at cost (40,644,602 shares in 2005) | 2,281,960 | 43,316 | (163,316) | 2,161,960 | |||
TOTAL | 12,284,462 | 3,409,328 | (7,937,325) | 7,756,465 | |||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 34,185,751 | $ 7,006,936 | $ (10,804,011) | $ 30,388,676 | |||
*Totals may not foot due to rounding. |
Entergy Corporation | |||||||
Consolidating Balance Sheet | |||||||
December 31, 2004 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
ASSETS | |||||||
CURRENT ASSETS | |||||||
Cash and cash equivalents: | |||||||
Cash | $ 62,001 | $ 17,135 | $ - | $ 79,136 | |||
Temporary cash investments - at cost, | |||||||
which approximates market | 558,971 | 167,393 | (185,714) | 540,650 | |||
Total cash and cash equivalents | 620,972 | 184,528 | (185,714) | 619,786 | |||
Other temporary investments | 2,236 | - | 185,714 | 187,950 | |||
Notes receivable | - | 1,183,043 | (1,179,951) | 3,092 | |||
Accounts receivable: | |||||||
Customer | 435,191 | - | - | 435,191 | |||
Allowance for doubtful accounts | (21,576) | (2,182) | - | (23,758) | |||
Associated companies | 7,144 | 22,510 | (29,654) | - | |||
Other | 185,899 | 156,389 | - | 342,289 | |||
Accrued unbilled revenues | 460,039 | - | - | 460,039 | |||
Total receivables | 1,066,697 | 176,717 | (29,654) | 1,213,761 | |||
Deferred fuel costs | 85,911 | - | - | 85,911 | |||
Accumulated deferred income taxes | 76,899 | - | - | 76,899 | |||
Fuel inventory - at average cost | 125,454 | 1,797 | - | 127,251 | |||
Materials and supplies - at average cost | 345,688 | 223,718 | - | 569,407 | |||
Deferred nuclear refueling outage costs | 31,601 | 76,181 | - | 107,782 | |||
Prepayments and other | 89,105 | 27,173 | - | 116,279 | |||
TOTAL | 2,444,563 | 1,873,157 | (1,209,605) | 3,108,118 | |||
OTHER PROPERTY AND INVESTMENTS | |||||||
Investment in affiliates - at equity | 8,054,793 | 512,571 | (8,335,585) | 231,779 | |||
Decommissioning trust funds | 1,051,901 | 1,401,505 | - | 2,453,406 | |||
Non-utility property - at cost (less accumulated depreciation) | 217,906 | 1,812 | - | 219,717 | |||
Other | 33,682 | 57,310 | - | 90,992 | |||
TOTAL | 9,358,282 | 1,973,198 | (8,335,585) | 2,995,894 | |||
PROPERTY, PLANT, AND EQUIPMENT | |||||||
Electric | 27,193,633 | 1,863,661 | (3,954) | 29,053,340 | |||
Property under capital lease | 738,554 | - | - | 738,554 | |||
Natural gas | 262,787 | - | - | 262,787 | |||
Construction work in progress | 952,092 | 245,460 | - | 1,197,551 | |||
Nuclear fuel under capital lease | 262,469 | - | - | 262,469 | |||
Nuclear fuel | 34,326 | 286,487 | - | 320,813 | |||
TOTAL PROPERTY, PLANT AND EQUIPMENT | 29,443,861 | 2,395,608 | (3,954) | 31,835,514 | |||
Less - accumulated depreciation and amortization | 12,905,551 | 234,332 | - | 13,139,883 | |||
PROPERTY, PLANT AND EQUIPMENT - NET | 16,538,310 | 2,161,276 | (3,954) | 18,695,631 | |||
DEFERRED DEBITS AND OTHER ASSETS | |||||||
Regulatory assets: | |||||||
SFAS 109 regulatory asset - net | 746,413 | - | - | 746,413 | |||
Other regulatory assets | 1,429,261 | - | - | 1,429,261 | |||
Long-term receivables | 39,417 | - | - | 39,417 | |||
Goodwill | 374,099 | 3,073 | - | 377,172 | |||
Other | 796,166 | 744,861 | (622,156) | 918,871 | |||
TOTAL | 3,385,356 | 747,934 | (622,156) | 3,511,134 | |||
TOTAL ASSETS | $ 31,726,511 | $ 6,755,565 | $ (10,171,300) | $ 28,310,777 | |||
*Totals may not foot due to rounding. | |||||||
Entergy Corporation | |||||||
Consolidating Balance Sheet | |||||||
December 31, 2004 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
CURRENT LIABILITIES | |||||||
Currently maturing long-term debt | $ 415,266 | $ 77,297 | $ - | $ 492,564 | |||
Notes payable: | |||||||
Associated companies | 770,623 | 409,356 | (1,179,980) | - | |||
Other | 43 | 150 | - | 193 | |||
Account payable: | |||||||
Associated companies | 14,781 | 10,811 | (25,592) | - | |||
Other | 722,148 | 174,380 | - | 896,528 | |||
Customer deposits | 222,157 | 162 | - | 222,320 | |||
Taxes accrued | 178,671 | 45,340 | - | 224,011 | |||
Nuclear refueling outage costs | |||||||
Interest accrued | 142,329 | 2,149 | - | 144,478 | |||
Obligations under capital leases | 133,847 | - | - | 133,847 | |||
Other | 83,478 | 134,965 | - | 218,442 | |||
TOTAL | 2,683,343 | 854,610 | (1,205,572) | 2,332,383 | |||
NON-CURRENT LIABILITIES | |||||||
Accumulated deferred income taxes and taxes accrued | 5,205,074 | (137,693) | - | 5,067,381 | |||
Accumulated deferred investment tax credits | 399,228 | - | - | 399,228 | |||
Obligations under capital leases | 146,060 | - | - | 146,060 | |||
Other regulatory liabilities | 329,767 | - | - | 329,767 | |||
Decommissioning and retirement cost liabilities | 1,327,988 | 738,289 | - | 2,066,277 | |||
Transition to competition | 79,101 | - | - | 79,101 | |||
Regulatory reserves | 103,061 | - | - | 103,061 | |||
Accumulated provisions | 346,614 | 203,300 | - | 549,914 | |||
Long-term debt | 6,648,504 | 409,719 | (41,391) | 7,016,831 | |||
Preferred stock with sinking fund | 17,400 | - | - | 17,400 | |||
Other | 1,597,079 | 533,237 | (588,983) | 1,541,331 | |||
TOTAL | 16,199,876 | 1,746,852 | (630,374) | 17,316,351 | |||
Preferred stock without sinking fund | 330,831 | 426,462 | (391,937) | 365,356 | |||
SHAREHOLDERS' EQUITY | |||||||
Common stock, $.01 par value, authorized 500,000,000 shares; | |||||||
issued 248,174,087 shares in 2004 | 2,205,191 | 1,091,856 | (3,294,566) | 2,482 | |||
Paid-in capital | 5,940,702 | 1,978,925 | (3,084,252) | 4,835,375 | |||
Retained earnings | 5,913,815 | 799,027 | (1,728,541) | 4,984,302 | |||
Accumulated other comprehensive income (loss) | 4,772 | (98,851) | 626 | (93,453) | |||
Less - treasury stock, at cost (31,345,028 shares in 2004) | 1,552,019 | 43,316 | (163,316) | 1,432,019 | |||
TOTAL | 12,512,461 | 3,727,641 | (7,943,417) | 8,296,687 | |||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 31,726,511 | $ 6,755,565 | $ (10,171,300) | $ 28,310,777 | |||
*Totals may not foot due to rounding. |
Entergy Corporation | |||||||
Pro Forma Consolidating Balance Sheet | |||||||
(Reflects Deconsolidation of Entergy New Orleans) | |||||||
December 31, 2004 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
ASSETS | |||||||
CURRENT ASSETS | |||||||
Cash and cash equivalents: | |||||||
Cash | $ 59,003 | $ 17,135 | $ - | $ 76,138 | |||
Temporary cash investments - at cost, | |||||||
which approximates market | 554,015 | 167,393 | (185,714) | 535,694 | |||
Special deposits | - | - | - | - | |||
Total cash and cash equivalents | 613,018 | 184,528 | (185,714) | 611,832 | |||
Other temporary investments | 2,236 | - | 185,714 | 187,950 | |||
Notes receivable | - | 1,183,043 | (1,179,951) | 3,092 | |||
Accounts receivable: | |||||||
Customer | 418,398 | - | - | 418,398 | |||
Allowance for doubtful accounts | (18,084) | (2,182) | - | (20,266) | |||
Associated companies | 7,144 | 22,510 | (29,654) | - | |||
Other | 178,571 | 156,389 | - | 334,960 | |||
Accrued unbilled revenues | 435,191 | - | - | 435,191 | |||
Total receivables | 1,021,220 | 176,717 | (29,654) | 1,168,283 | |||
Deferred fuel costs | 83,352 | - | - | 83,352 | |||
Accumulated deferred income taxes | 78,805 | - | - | 78,805 | |||
Fuel inventory - at average cost | 121,273 | 1,797 | - | 123,070 | |||
Materials and supplies - at average cost | 336,539 | 223,718 | - | 560,257 | |||
Deferred nuclear refueling outage costs | 31,601 | 76,181 | - | 107,782 | |||
Prepayments and other | 85,637 | 27,173 | - | 112,810 | |||
TOTAL | 2,373,681 | 1,873,157 | (1,209,605) | 3,037,233 | |||
OTHER PROPERTY AND INVESTMENTS | |||||||
Investment in affiliates - at equity | 8,209,254 | 512,571 | (8,335,585) | 386,240 | |||
Decommissioning trust funds | 1,051,901 | 1,401,505 | - | 2,453,406 | |||
Non-utility property - at cost (less accumulated depreciation) | 217,905 | 1,812 | - | 219,717 | |||
Other | 33,682 | 57,310 | - | 90,992 | |||
TOTAL | 9,512,742 | 1,973,198 | (8,335,585) | 3,150,355 | |||
PROPERTY, PLANT, AND EQUIPMENT | |||||||
Electric | 26,494,561 | 1,863,661 | (3,954) | 28,354,268 | |||
Property under capital lease | 738,554 | - | - | 738,554 | |||
Natural gas | 79,059 | - | - | 79,059 | |||
Construction work in progress | 918,818 | 245,460 | - | 1,164,278 | |||
Nuclear fuel under capital lease | 262,469 | - | - | 262,469 | |||
Nuclear fuel | 34,326 | 286,487 | - | 320,813 | |||
TOTAL PROPERTY, PLANT AND EQUIPMENT | 28,527,787 | 2,395,608 | (3,954) | 30,919,441 | |||
Less - accumulated depreciation and amortization | 12,470,032 | 234,332 | - | 12,704,364 | |||
PROPERTY, PLANT AND EQUIPMENT - NET | 16,057,755 | 2,161,276 | (3,954) | 18,215,077 | |||
DEFERRED DEBITS AND OTHER ASSETS | |||||||
Regulatory assets: | |||||||
SFAS 109 regulatory asset - net | 792,819 | - | - | 792,819 | |||
Other regulatory assets | 1,393,772 | - | - | 1,393,772 | |||
Long-term receivables | 36,925 | - | - | 36,925 | |||
Goodwill | 374,099 | 3,073 | - | 377,172 | |||
Other | 787,282 | 744,861 | (622,156) | 909,987 | |||
TOTAL | 3,384,897 | 747,934 | (622,156) | 3,510,675 | |||
TOTAL ASSETS | $ 31,329,075 | $ 6,755,565 | $ (10,171,300) | $ 27,913,340 | |||
*Totals may not foot due to rounding. | |||||||
Entergy Corporation | |||||||
Pro Forma Consolidating Balance Sheet | |||||||
(Reflects Deconsolidation of Entergy New Orleans) | |||||||
December 31, 2004 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
CURRENT LIABILITIES | |||||||
Currently maturing long-term debt | $ 385,267 | $ 77,297 | $ - | $ 462,564 | |||
Notes payable: | |||||||
Associated companies | 770,624 | 409,356 | (1,179,980) | - | |||
Other | 43 | 150 | - | 193 | |||
Account payable: | |||||||
Associated companies | 14,781 | 10,811 | (25,592) | - | |||
Other | 690,222 | 174,380 | - | 864,602 | |||
Customer deposits | 204,971 | 162 | - | 205,133 | |||
Taxes accrued | 176,079 | 45,340 | - | 221,419 | |||
Accumulated deferred income taxes | - | - | - | - | |||
Nuclear refueling outage costs | - | - | - | - | |||
Interest accrued | 137,572 | 2,149 | - | 139,721 | |||
Obligations under capital leases | 133,847 | - | - | 133,847 | |||
Other | 73,389 | 134,965 | - | 208,354 | |||
TOTAL | 2,586,795 | 854,610 | (1,205,572) | 2,235,833 | |||
NON-CURRENT LIABILITIES | |||||||
Accumulated deferred income taxes and taxes accrued | 5,158,012 | (137,693) | - | 5,020,319 | |||
Accumulated deferred investment tax credits | 395,231 | - | - | 395,231 | |||
Obligations under capital leases | 146,060 | - | - | 146,060 | |||
Other regulatory liabilities | 329,767 | - | - | 329,767 | |||
Decommissioning and retirement cost liabilities | 1,327,988 | 738,289 | - | 2,066,277 | |||
Transition to competition | 79,101 | - | - | 79,101 | |||
Regulatory reserves | 102,828 | - | - | 102,828 | |||
Accumulated provisions | 347,656 | 203,300 | - | 550,956 | |||
Long-term debt | 6,451,857 | 409,719 | (41,391) | 6,820,185 | |||
Preferred stock with sinking fund | 17,400 | - | - | 17,400 | |||
Other | 1,562,866 | 533,237 | (588,983) | 1,507,120 | |||
TOTAL | 15,918,766 | 1,746,852 | (630,374) | 17,035,244 | |||
Preferred stock without sinking fund | 311,051 | 426,462 | (391,937) | 345,576 | |||
SHAREHOLDERS' EQUITY | |||||||
Common stock, $.01 par value, authorized 500,000,000 shares; | |||||||
issued 248,174,087 shares in 2004 | 2,205,192 | 1,091,856 | (3,294,566) | 2,482 | |||
Paid-in capital | 5,940,702 | 1,978,925 | (3,084,252) | 4,835,375 | |||
Retained earnings | 5,913,816 | 799,027 | (1,728,541) | 4,984,302 | |||
Accumulated other comprehensive income (loss) | 4,772 | (98,851) | 626 | (93,453) | |||
Less - treasury stock, at cost (31,345,028 shares in 2004) | 1,552,019 | 43,316 | (163,316) | 1,432,019 | |||
TOTAL | 12,512,463 | 3,727,641 | (7,943,417) | 8,296,687 | |||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 31,329,075 | $ 6,755,565 | $ (10,171,300) | $ 27,913,340 | |||
*Totals may not foot due to rounding. |
Entergy Corporation | |||||||
Pro Forma Consolidating Balance Sheet | |||||||
(Reflects Deconsolidation of Entergy New Orleans) | |||||||
December 31, 2005 vs December 31, 2004 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
ASSETS | |||||||
CURRENT ASSETS | |||||||
Cash and cash equivalents: | |||||||
Cash | $ 50,137 | $ (2,497) | $ - | $ 47,640 | |||
Temporary cash investments - at cost, | |||||||
which approximates market | (426,229) | 65,868 | 185,714 | (174,647) | |||
Special deposits | 97,995 | - | - | 97,995 | |||
Total cash and cash equivalents | (278,097) | 63,371 | 185,714 | (29,012) | |||
Other temporary investments | (2,236) | - | (185,714) | (187,950) | |||
Notes receivable | 665,873 | (38,538) | (537,200) | 90,135 | |||
Accounts receivable: | |||||||
Customer | 314,057 | - | - | 314,057 | |||
Allowance for doubtful accounts | (10,551) | 12 | - | (10,539) | |||
Associated companies | 26,707 | 47,209 | (73,916) | - | |||
Other | 14,977 | 6,477 | - | 21,454 | |||
Accrued unbilled revenues | 42,379 | - | - | 42,379 | |||
Total receivables | 387,569 | 53,698 | (73,916) | 367,351 | |||
Deferred fuel costs | 581,064 | - | - | 581,064 | |||
Accumulated deferred income taxes | (78,805) | - | - | (78,805) | |||
Fuel inventory - at average cost | 83,109 | 16 | - | 83,125 | |||
Materials and supplies - at average cost | 32,858 | 17,817 | - | 50,675 | |||
Deferred nuclear refueling outage costs | 32,556 | 17,426 | - | 49,982 | |||
Prepayments and other | (26,201) | (2,765) | - | (28,966) | |||
TOTAL | 1,397,690 | 111,025 | (611,116) | 897,599 | |||
OTHER PROPERTY AND INVESTMENTS | |||||||
Investment in affiliates - at equity | (11,014) | (84,565) | 6,123 | (89,456) | |||
Decommissioning trust funds | 84,105 | 69,254 | - | 153,359 | |||
Non-utility property - at cost (less accumulated depreciation) | 8,359 | 757 | - | 9,116 | |||
Other | 1,912 | (11,369) | - | (9,457) | |||
TOTAL | 83,362 | (25,923) | 6,123 | 63,562 | |||
PROPERTY, PLANT, AND EQUIPMENT | |||||||
Electric | 682,395 | 123,418 | 946 | 806,759 | |||
Property under capital lease | (10,989) | - | - | (10,989) | |||
Natural gas | 7,735 | - | - | 7,735 | |||
Construction work in progress | 372,556 | (12,749) | - | 359,807 | |||
Nuclear fuel under capital lease | 9,146 | - | - | 9,146 | |||
Nuclear fuel | 67,077 | 48,756 | - | 115,833 | |||
TOTAL PROPERTY, PLANT AND EQUIPMENT | 1,127,920 | 159,425 | 946 | 1,288,291 | |||
Less - accumulated depreciation and amortization | 260,513 | 45,810 | - | 306,323 | |||
PROPERTY, PLANT AND EQUIPMENT - NET | 867,407 | 113,615 | 946 | 981,968 | |||
DEFERRED DEBITS AND OTHER ASSETS | |||||||
Regulatory assets: | |||||||
SFAS 109 regulatory asset - net | (57,598) | - | - | (57,598) | |||
Other regulatory assets | 532,604 | - | - | 532,604 | |||
Long-term receivables | (11,353) | - | - | (11,353) | |||
Goodwill | - | - | - | - | |||
Other | 44,564 | 52,654 | (28,664) | 68,554 | |||
TOTAL | 508,217 | 52,654 | (28,664) | 532,207 | |||
TOTAL ASSETS | $ 2,856,676 | $ 251,371 | $ (632,711) | $ 2,475,336 | |||
*Totals may not foot due to rounding. | |||||||
Entergy Corporation | |||||||
Pro Forma Consolidating Balance Sheet | |||||||
(Reflects Deconsolidation of Entergy New Orleans) | |||||||
December 31, 2005 vs December 31, 2004 | |||||||
(Dollars in thousands) | |||||||
(Unaudited) | |||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
CURRENT LIABILITIES | |||||||
Currently maturing long-term debt | $ (362,278) | $ 3,231 | $ - | $ (359,047) | |||
Notes payable: | |||||||
Associated companies | 155,647 | 121,524 | (277,171) | - | |||
Other | 39,998 | (150) | - | 39,848 | |||
Account payable: | |||||||
Associated companies | 63,012 | 12,582 | (75,594) | - | |||
Other | 804,163 | (12,978) | - | 791,185 | |||
Customer deposits | 17,073 | - | - | 17,073 | |||
Taxes accrued | 140,580 | (173,840) | - | (33,260) | |||
Accumulated deferred income taxes | 143,409 | - | - | 143,409 | |||
Nuclear refueling outage costs | 15,548 | - | - | 15,548 | |||
Interest accrued | 15,697 | (563) | - | 15,134 | |||
Obligations under capital leases | (2,965) | - | - | (2,965) | |||
Other | (7,022) | 272,178 | - | 265,156 | |||
TOTAL | 1,022,862 | 221,984 | (352,765) | 892,081 | |||
NON-CURRENT LIABILITIES | |||||||
Accumulated deferred income taxes and taxes accrued | (148,564) | 173,354 | - | 24,790 | |||
Accumulated deferred investment tax credits | (18,681) | - | - | (18,681) | |||
Obligations under capital leases | 28,945 | - | - | 28,945 | |||
Other regulatory liabilities | 78,900 | - | - | 78,900 | |||
Decommissioning and retirement cost liabilities | (166,158) | 23,852 | - | (142,306) | |||
Transition to competition | - | - | - | - | |||
Regulatory reserves | (84,204) | - | - | (84,204) | |||
Accumulated provisions | 2,609 | 2,463 | - | 5,072 | |||
Long-term debt | 2,339,954 | (60,646) | (275,000) | 2,004,308 | |||
Preferred stock with sinking fund | (3,450) | - | - | (3,450) | |||
Other | (67,806) | 208,549 | (11,038) | 129,705 | |||
TOTAL | 1,961,545 | 347,572 | (286,038) | 2,023,079 | |||
Preferred stock without sinking fund | 100,270 | 128 | - | 100,398 | |||
SHAREHOLDERS' EQUITY | |||||||
Common stock, $.01 par value, authorized 500,000,000 shares; | |||||||
issued 248,174,087 shares in 2005 and 2004 | - | - | - | - | |||
Paid-in capital | 713,177 | (413,605) | (317,310) | (17,738) | |||
Retained earnings | (201,421) | 322,124 | 323,402 | 444,105 | |||
Accumulated other comprehensive income (loss) | (9,816) | (226,832) | - | (236,648) | |||
Less - treasury stock, at cost | 729,941 | - | - | 729,941 | |||
TOTAL | (228,001) | (318,313) | 6,092 | (540,222) | |||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 2,856,676 | $ 251,371 | $ (632,711) | $ 2,475,336 | |||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Consolidating Income Statement | ||||||||
Three Months Ended December 31, 2005 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 2,211,147 | $ - | $ (1,266) | $ 2,209,881 | ||||
Natural gas | 25,931 | - | - | 25,931 | ||||
Competitive businesses | 11,343 | 425,860 | (20,598) | 416,605 | ||||
Total | 2,248,421 | 425,860 | (21,864) | 2,652,417 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 587,139 | 63,224 | - | 650,363 | ||||
Purchased power | 744,153 | 9,457 | (21,100) | 732,510 | ||||
Nuclear refueling outage expenses | 19,867 | 22,394 | - | 42,261 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | - | - | - | ||||
Other operation and maintenance | 394,535 | 175,689 | (879) | 569,345 | ||||
Decommissioning | 19,433 | 15,109 | - | 34,542 | ||||
Taxes other than income taxes | 83,436 | 14,736 | - | 98,173 | ||||
Depreciation and amortization | 203,265 | 15,956 | - | 219,221 | ||||
Other regulatory charges (credits) - net | (5,067) | - | - | (5,067) | ||||
Total | 2,046,761 | 316,565 | (21,979) | 2,341,348 | ||||
OPERATING INCOME | 201,660 | 109,295 | 115 | 311,069 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 16,322 | - | - | 16,322 | ||||
Interest and dividend income | 33,776 | 24,592 | (23,511) | 34,857 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | (13,692) | (7,336) | - | (21,028) | ||||
Miscellaneous - net | (5,475) | 15,240 | (115) | 9,650 | ||||
Total | 30,931 | 32,496 | (23,626) | 39,801 | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 113,868 | 2,317 | - | 116,185 | ||||
Other interest - net | 28,702 | 16,004 | (23,497) | 21,208 | ||||
Allowance for borrowed funds used during construction | (9,587) | - | - | (9,587) | ||||
Total | 132,983 | 18,321 | (23,497) | 127,806 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 99,608 | 123,470 | (14) | 223,064 | ||||
Income taxes | 60,900 | 32,213 | - | 93,113 | ||||
INCOME FROM CONTINUING OPERATIONS | 38,708 | 91,257 | (14) | 129,951 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes of $ (17,995)) | (33,508) | - | - | (33,508) | ||||
CONSOLIDATED NET INCOME | 5,200 | 91,257 | (14) | 96,443 | ||||
Preferred dividend requirements and other | 5,355 | 869 | (14) | 6,210 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ (155) | $ 90,388 | $ - | $ 90,233 | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $0.16 | $0.43 | $0.59 | |||||
DILUTED | $0.16 | $0.43 | $0.59 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.16) | $0.00 | ($0.16) | |||||
DILUTED | ($0.16) | $0.00 | ($0.16) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | ($0.00) | $0.43 | $0.43 | |||||
DILUTED | ($0.00) | $0.43 | $0.43 | |||||
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||
BASIC | 207,495,740 | |||||||
DILUTED | 211,267,191 | |||||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Consolidating Income Statement | ||||||||
Three Months Ended December 31, 2004 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 1,890,376 | $ - | $ (450) | $ 1,889,926 | ||||
Natural gas | 52,908 | - | - | 52,908 | ||||
Competitive businesses | 15,395 | 358,891 | (13,891) | 360,394 | ||||
Total | 1,958,679 | 358,891 | (14,341) | 2,303,228 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 594,717 | 49,110 | - | 643,827 | ||||
Purchased power | 383,915 | 11,951 | (13,975) | 381,890 | ||||
Nuclear refueling outage expenses | 18,101 | 23,887 | - | 41,988 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | 55,000 | - | 55,000 | ||||
Other operation and maintenance | 457,124 | 184,325 | (497) | 640,952 | ||||
Decommissioning | 21,875 | 14,462 | - | 36,337 | ||||
Taxes other than income taxes | 81,447 | 13,631 | - | 95,078 | ||||
Depreciation and amortization | 222,036 | 10,151 | - | 232,188 | ||||
Other regulatory charges (credits) - net | (33,601) | - | - | (33,601) | ||||
Total | 1,745,614 | 362,517 | (14,472) | 2,093,659 | ||||
OPERATING INCOME | 213,065 | (3,626) | 131 | 209,569 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 11,010 | - | - | 11,010 | ||||
Interest and dividend income | 26,080 | 23,446 | (14,866) | 34,659 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | (4) | (46,816) | - | (46,820) | ||||
Miscellaneous - net | (44) | (4,311) | (131) | (4,486) | ||||
Total | 37,042 | (27,681) | (14,997) | (5,637) | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 110,413 | 3,810 | - | 114,224 | ||||
Other interest - net | 14,777 | 14,451 | (14,812) | 14,416 | ||||
Allowance for borrowed funds used during construction | (7,222) | - | - | (7,222) | ||||
Total | 117,968 | 18,261 | (14,812) | 121,418 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 132,139 | (49,568) | (55) | 82,514 | ||||
Income taxes | 41,805 | (122,467) | - | (80,662) | ||||
INCOME FROM CONTINUING OPERATIONS | 90,334 | 72,899 | (55) | 163,176 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes of $ (399)) | (2,202) | - | - | (2,202) | ||||
CONSOLIDATED NET INCOME | 88,132 | 72,899 | (55) | 160,974 | ||||
Preferred dividend requirements and other | 5,795 | 297 | (55) | 6,037 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ 82,337 | $ 72,602 | $ - | $ 154,937 | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $0.38 | $0.33 | $0.71 | |||||
DILUTED | $0.37 | $0.32 | $0.69 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.01) | $0.00 | ($0.01) | |||||
DILUTED | ($0.01) | $0.00 | ($0.01) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | $0.37 | $0.33 | $0.70 | |||||
DILUTED | $0.36 | $0.32 | $0.68 | |||||
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||
BASIC | 221,650,353 | |||||||
DILUTED | 226,218,648 | |||||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Pro Forma Consolidating Income Statement | ||||||||
(Reflects Deconsolidation of Entergy New Orleans) | ||||||||
Three Months Ended December 31, 2004 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 1,833,061 | $ - | $ (450) | $ 1,832,611 | ||||
Natural gas | 14,180 | - | - | 14,180 | ||||
Competitive businesses | 15,395 | 358,891 | (13,891) | 360,394 | ||||
Total | 1,862,636 | 358,891 | (14,341) | 2,207,185 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 527,216 | 49,110 | - | 576,326 | ||||
Purchased power | 402,591 | 11,951 | (13,975) | 400,566 | ||||
Nuclear refueling outage expenses | 18,101 | 23,887 | - | 41,988 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | 55,000 | - | 55,000 | ||||
Other operation and maintenance | 424,818 | 184,325 | (497) | 608,646 | ||||
Decommissioning | 21,875 | 14,462 | - | 36,337 | ||||
Taxes other than income taxes | 70,911 | 13,631 | - | 84,542 | ||||
Depreciation and amortization | 213,982 | 10,151 | - | 224,134 | ||||
Other regulatory charges (credits) - net | (34,803) | - | - | (34,803) | ||||
Total | 1,644,691 | 362,517 | (14,472) | 1,992,736 | ||||
OPERATING INCOME | 217,945 | (3,626) | 131 | 214,449 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 10,782 | - | - | 10,782 | ||||
Interest and dividend income | 25,974 | 23,446 | (14,866) | 34,553 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | (4,795) | (46,816) | - | (51,611) | ||||
Miscellaneous - net | 293 | (4,311) | (131) | (4,149) | ||||
Total | 32,254 | (27,681) | (14,997) | (10,425) | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 106,928 | 3,810 | - | 110,739 | ||||
Other interest - net | 14,979 | 14,451 | (14,812) | 14,618 | ||||
Allowance for borrowed funds used during construction | (7,003) | - | - | (7,003) | ||||
Total | 114,904 | 18,261 | (14,812) | 118,354 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 135,295 | (49,568) | (55) | 85,670 | ||||
Income taxes | 45,202 | (122,467) | - | (77,265) | ||||
INCOME FROM CONTINUING OPERATIONS | 90,093 | 72,899 | (55) | 162,935 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes of $ (399)) | (2,202) | - | - | (2,202) | ||||
CONSOLIDATED NET INCOME | 87,891 | 72,899 | (55) | 160,733 | ||||
Preferred dividend requirements and other | 5,554 | 297 | (55) | 5,796 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ 82,337 | $ 72,602 | $ - | $ 154,937 | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $0.38 | $0.33 | $0.71 | |||||
DILUTED | $0.37 | $0.32 | $0.69 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.01) | $0.00 | ($0.01) | |||||
DILUTED | ($0.01) | $0.00 | ($0.01) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | $0.37 | $0.33 | $0.70 | |||||
DILUTED | $0.36 | $0.32 | $0.68 | |||||
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||
BASIC | 221,650,353 | |||||||
DILUTED | 226,218,648 | |||||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Pro Forma Consolidating Income Statement | ||||||||
(Reflects Deconsolidation of Entergy New Orleans) | ||||||||
Three Months Ended December 31, 2005 vs. 2004 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 378,086 | $ - | $ (816) | $ 377,270 | ||||
Natural gas | 11,751 | - | - | 11,751 | ||||
Competitive businesses | (4,052) | 66,969 | (6,707) | 56,211 | ||||
Total | 385,785 | 66,969 | (7,523) | 445,232 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 59,923 | 14,114 | - | 74,037 | ||||
Purchased power | 341,562 | (2,494) | (7,125) | 331,944 | ||||
Nuclear refueling outage expenses | 1,766 | (1,493) | - | 273 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | (55,000) | - | (55,000) | ||||
Other operation and maintenance | (30,283) | (8,636) | (382) | (39,301) | ||||
Decommissioning | (2,442) | 647 | - | (1,795) | ||||
Taxes other than income taxes | 12,525 | 1,105 | - | 13,631 | ||||
Depreciation and amortization | (10,717) | 5,805 | - | (4,913) | ||||
Other regulatory charges (credits )- net | 29,736 | - | - | 29,736 | ||||
Total | 402,070 | (45,952) | (7,507) | 348,612 | ||||
OPERATING INCOME | (16,285) | 112,921 | (16) | 96,620 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 5,540 | - | - | 5,540 | ||||
Interest and dividend income | 7,802 | 1,146 | (8,645) | 304 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | (8,897) | 39,480 | - | 30,583 | ||||
Miscellaneous - net | (5,768) | 19,551 | 16 | 13,799 | ||||
Total | (1,323) | 60,177 | (8,629) | 50,226 | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 6,940 | (1,493) | - | 5,447 | ||||
Other interest - net | 13,723 | 1,553 | (8,685) | 6,590 | ||||
Allowance for borrowed funds used during construction | (2,584) | - | - | (2,584) | ||||
Total | 18,079 | 60 | (8,685) | 9,453 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | (35,687) | 173,038 | 40 | 137,394 | ||||
Income taxes | 15,698 | 154,680 | - | 170,378 | ||||
INCOME FROM CONTINUING OPERATIONS | (51,385) | 18,358 | 40 | (32,985) | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes) | (31,306) | - | - | (31,306) | ||||
CONSOLIDATED NET INCOME | (82,691) | 18,358 | 40 | (64,291) | ||||
Preferred dividend requirements and other | (199) | 572 | 40 | 414 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ (82,492) | $ 17,786 | $ - | $ (64,705) | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | ($0.22) | $0.10 | ($0.12) | |||||
DILUTED | ($0.22) | $0.11 | ($0.11) | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.15) | ($0.00) | ($0.15) | |||||
DILUTED | ($0.15) | $0.00 | ($0.15) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | ($0.37) | $0.10 | ($0.27) | |||||
DILUTED | ($0.36) | $0.11 | ($0.25) | |||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Consolidating Income Statement | ||||||||
Year to Date December 31, 2005 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 8,449,281 | $ - | $ (2,452) | $ 8,446,830 | ||||
Natural gas | 77,660 | - | - | 77,660 | ||||
Competitive businesses | 46,003 | 1,613,280 | (77,526) | 1,581,757 | ||||
Total | 8,572,944 | 1,613,280 | (79,978) | 10,106,247 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 1,941,887 | 234,128 | - | 2,176,015 | ||||
Purchased power | 2,559,536 | 40,092 | (78,382) | 2,521,247 | ||||
Nuclear refueling outage expenses | 73,966 | 88,688 | - | 162,653 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | - | - | - | ||||
Other operation and maintenance | 1,458,596 | 665,660 | (2,051) | 2,122,206 | ||||
Decommissioning | 83,910 | 59,212 | - | 143,121 | ||||
Taxes other than income taxes | 325,766 | 56,756 | - | 382,521 | ||||
Depreciation and amortization | 789,654 | 66,723 | - | 856,377 | ||||
Other regulatory charges (credits) - net | (49,882) | - | - | (49,882) | ||||
Total | 7,183,433 | 1,211,259 | (80,433) | 8,314,258 | ||||
OPERATING INCOME | 1,389,511 | 402,021 | 455 | 1,791,989 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 45,736 | - | - | 45,736 | ||||
Interest and dividend income | 125,237 | 95,520 | (70,279) | 150,479 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | 10,462 | (9,477) | - | 985 | ||||
Miscellaneous - net | (19,030) | 33,740 | (456) | 14,251 | ||||
Total | 162,405 | 119,783 | (70,734) | 211,451 | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 427,055 | 13,279 | - | 440,334 | ||||
Other interest - net | 79,612 | 55,259 | (70,224) | 64,646 | ||||
Allowance for borrowed funds used during construction | (29,376) | - | - | (29,376) | ||||
Total | 477,291 | 68,538 | (70,224) | 475,604 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 1,074,625 | 453,266 | (55) | 1,527,836 | ||||
Income taxes | 403,671 | 155,613 | - | 559,284 | ||||
INCOME FROM CONTINUING OPERATIONS | 670,954 | 297,653 | (55) | 968,552 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes of $ (24,051)) | (44,794) | - | - | (44,794) | ||||
CONSOLIDATED NET INCOME | 626,160 | 297,653 | (55) | 923,758 | ||||
Preferred dividend requirements and other | 22,007 | 3,475 | (55) | 25,427 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ 604,153 | $ 294,178 | $ - | $ 898,331 | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $3.09 | $1.40 | $4.49 | |||||
DILUTED | $3.03 | $1.37 | $4.40 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.21) | $0.00 | ($0.21) | |||||
DILUTED | ($0.21) | $0.00 | ($0.21) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | $2.87 | $1.40 | $4.27 | |||||
DILUTED | $2.82 | $1.37 | $4.19 | |||||
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||
BASIC | 210,141,887 | |||||||
DILUTED | 214,441,362 | |||||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Consolidating Income Statement | ||||||||
Year to Date December 31, 2004 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 7,934,312 | $ - | $ (1,735) | $ 7,932,577 | ||||
Natural gas | 208,499 | - | - | 208,499 | ||||
Competitive businesses | 48,601 | 1,558,302 | (62,458) | 1,544,445 | ||||
Total | 8,191,412 | 1,558,302 | (64,193) | 9,685,521 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 2,272,610 | 215,598 | - | 2,488,208 | ||||
Purchased power | 1,716,848 | 48,132 | (63,370) | 1,701,610 | ||||
Nuclear refueling outage expenses | 66,824 | 99,248 | - | 166,072 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | 55,000 | - | 55,000 | ||||
Other operation and maintenance | 1,578,842 | 690,957 | (1,468) | 2,268,332 | ||||
Decommissioning | 91,939 | 57,590 | - | 149,529 | ||||
Taxes other than income taxes | 348,376 | 55,260 | - | 403,635 | ||||
Depreciation and amortization | 828,445 | 65,130 | - | 893,574 | ||||
Other regulatory charges (credits) - net | (90,611) | - | - | (90,611) | ||||
Total | 6,813,273 | 1,286,915 | (64,838) | 8,035,349 | ||||
OPERATING INCOME | 1,378,139 | 271,387 | 645 | 1,650,172 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 39,582 | - | - | 39,582 | ||||
Interest and dividend income | 83,386 | 81,444 | (55,195) | 109,635 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | (3) | (78,724) | - | (78,727) | ||||
Miscellaneous - net | 25,460 | 30,695 | (646) | 55,509 | ||||
Total | 148,425 | 33,415 | (55,841) | 125,999 | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 447,510 | 15,874 | - | 463,384 | ||||
Other interest - net | 41,932 | 53,342 | (55,141) | 40,133 | ||||
Allowance for borrowed funds used during construction | (25,741) | - | - | (25,741) | ||||
Total | 463,701 | 69,216 | (55,141) | 477,776 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 1,062,863 | 235,586 | (55) | 1,298,395 | ||||
Income taxes | 378,526 | (13,221) | - | 365,305 | ||||
INCOME FROM CONTINUING OPERATIONS | 684,337 | 248,807 | (55) | 933,090 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes of $603) | (41) | - | - | (41) | ||||
CONSOLIDATED NET INCOME | 684,296 | 248,807 | (55) | 933,049 | ||||
Preferred dividend requirements and other | 23,283 | 297 | (55) | 23,525 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ 661,013 | $ 248,510 | $ - | $ 909,524 | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $2.91 | $1.10 | $4.01 | |||||
DILUTED | $2.86 | $1.07 | $3.93 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.00) | $0.00 | ($0.00) | |||||
DILUTED | ($0.00) | $0.00 | ($0.00) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | $2.91 | $1.10 | $4.01 | |||||
DILUTED | $2.86 | $1.07 | $3.93 | |||||
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||
BASIC | 226,863,758 | |||||||
DILUTED | 231,193,686 | |||||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Pro Forma Consolidating Income Statement | ||||||||
(Reflects Deconsolidation of Entergy New Orleans) | ||||||||
Year to Date December 31, 2004 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 7,646,529 | $ - | $ (1,735) | $ 7,644,794 | ||||
Natural gas | 61,088 | - | - | 61,088 | ||||
Competitive businesses | 48,601 | 1,558,302 | (62,458) | 1,544,445 | ||||
Total | 7,756,218 | 1,558,302 | (64,193) | 9,250,327 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | 2,027,309 | 215,598 | - | 2,242,907 | ||||
Purchased power | 1,755,909 | 48,132 | (63,370) | 1,740,671 | ||||
Nuclear refueling outage expenses | 66,824 | 99,248 | - | 166,072 | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | 55,000 | - | 55,000 | ||||
Other operation and maintenance | 1,476,391 | 690,957 | (1,468) | 2,165,882 | ||||
Decommissioning | 91,939 | 57,590 | - | 149,529 | ||||
Taxes other than income taxes | 304,799 | 55,260 | - | 360,058 | ||||
Depreciation and amortization | 798,788 | 65,130 | - | 863,917 | ||||
Other regulatory charges (credits) - net | (85,941) | - | - | (85,941) | ||||
Total | 6,436,018 | 1,286,915 | (64,838) | 7,658,095 | ||||
OPERATING INCOME | 1,320,200 | 271,387 | 645 | 1,592,232 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 38,204 | - | - | 38,204 | ||||
Interest and dividend income | 82,990 | 81,444 | (55,195) | 109,239 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | 27,104 | (78,724) | - | (51,620) | ||||
Miscellaneous - net | 25,190 | 30,695 | (646) | 55,240 | ||||
Total | 173,488 | 33,415 | (55,841) | 151,063 | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | 432,153 | 15,874 | - | 448,027 | ||||
Other interest - net | 41,003 | 53,342 | (55,141) | 39,204 | ||||
Allowance for borrowed funds used during construction | (24,498) | - | - | (24,498) | ||||
Total | 448,658 | 69,216 | (55,141) | 462,733 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 1,045,030 | 235,586 | (55) | 1,280,562 | ||||
Income taxes | 361,658 | (13,221) | - | 348,437 | ||||
INCOME FROM CONTINUING OPERATIONS | 683,372 | 248,807 | (55) | 932,125 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes of $603) | (41) | - | - | (41) | ||||
CONSOLIDATED NET INCOME | 683,331 | 248,807 | (55) | 932,084 | ||||
Preferred dividend requirements and other | 22,318 | 297 | (55) | 22,560 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ 661,013 | $ 248,510 | $ - | $ 909,524 | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $2.91 | $1.10 | $4.01 | |||||
DILUTED | $2.86 | $1.07 | $3.93 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.00) | $0.00 | ($0.00) | |||||
DILUTED | ($0.00) | $0.00 | ($0.00) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | $2.91 | $1.10 | $4.01 | |||||
DILUTED | $2.86 | $1.07 | $3.93 | |||||
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||
BASIC | 226,863,758 | |||||||
DILUTED | 231,193,686 | |||||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||||
Pro Forma Consolidating Income Statement | ||||||||
(Reflects Deconsolidation of Entergy New Orleans) | ||||||||
Year to Date December 31, 2005 vs. 2004 | ||||||||
(Dollars in thousands) | ||||||||
(Unaudited) | ||||||||
U.S. Utilities/ Parent & Other | Competitive Businesses | Eliminations | Consolidated | |||||
OPERATING REVENUES | ||||||||
Domestic electric | $ 802,752 | $ - | $ (717) | $ 802,036 | ||||
Natural gas | 16,572 | - | - | 16,572 | ||||
Competitive businesses | (2,598) | 54,978 | (15,068) | 37,312 | ||||
Total | 816,726 | 54,978 | (15,785) | 855,920 | ||||
OPERATING EXPENSES | ||||||||
Operating and Maintenance: | ||||||||
Fuel, fuel related expenses, and gas purchased for resale | (85,422) | 18,530 | - | (66,892) | ||||
Purchased power | 803,627 | (8,040) | (15,012) | 780,576 | ||||
Nuclear refueling outage expenses | 7,142 | (10,560) | - | (3,419) | ||||
Provision for turbine commitments, asset impairments | ||||||||
and restructuring charges | - | (55,000) | - | (55,000) | ||||
Other operation and maintenance | (17,795) | (25,297) | (583) | (43,676) | ||||
Decommissioning | (8,029) | 1,622 | - | (6,408) | ||||
Taxes other than income taxes | 20,967 | 1,496 | - | 22,463 | ||||
Depreciation and amortization | (9,134) | 1,593 | - | (7,540) | ||||
Other regulatory charges (credits) - net | 36,059 | - | - | 36,059 | ||||
Total | 747,415 | (75,656) | (15,595) | 656,163 | ||||
OPERATING INCOME | 69,311 | 130,634 | (190) | 199,757 | ||||
OTHER INCOME (DEDUCTIONS) | ||||||||
Allowance for equity funds used during construction | 7,532 | - | - | 7,532 | ||||
Interest and dividend income | 42,247 | 14,076 | (15,084) | 41,240 | ||||
Equity in earnings (loss) of unconsolidated equity affiliates | (16,642) | 69,247 | - | 52,605 | ||||
Miscellaneous - net | (44,220) | 3,045 | 191 | (40,988) | ||||
Total | (11,083) | 86,368 | (14,893) | 60,388 | ||||
INTEREST AND OTHER CHARGES | ||||||||
Interest on long-term debt | (5,098) | (2,595) | - | (7,693) | ||||
Other interest - net | 38,609 | 1,917 | (15,083) | 25,442 | ||||
Allowance for borrowed funds used during construction | (4,878) | - | - | (4,878) | ||||
Total | 28,633 | (678) | (15,083) | 12,871 | ||||
INCOME FROM CONTINUING OPERATIONS | ||||||||
BEFORE INCOME TAXES | 29,595 | 217,680 | - | 247,273 | ||||
Income taxes | 42,013 | 168,834 | - | 210,847 | ||||
INCOME FROM CONTINUING OPERATIONS | (12,418) | 48,846 | - | 36,426 | ||||
LOSS FROM DISCONTINUED OPERATIONS (net of taxes) | (44,753) | - | - | (44,753) | ||||
CONSOLIDATED NET INCOME | (57,171) | 48,846 | - | (8,327) | ||||
Preferred dividend requirements and other | (311) | 3,178 | - | 2,867 | ||||
EARNINGS APPLICABLE TO COMMON STOCK | $ (56,860) | $ 45,668 | $ - | $ (11,194) | ||||
EARNINGS PER AVERAGE COMMON SHARE (from continuing operations): | ||||||||
BASIC | $0.17 | $0.30 | $0.48 | |||||
DILUTED | $0.17 | $0.30 | $0.46 | |||||
LOSS PER AVERAGE COMMON SHARE (from discontinued operations): | ||||||||
BASIC | ($0.21) | $0.00 | ($0.21) | |||||
DILUTED | ($0.21) | $0.00 | ($0.21) | |||||
EARNINGS PER AVERAGE COMMON SHARE: | ||||||||
BASIC | ($0.04) | $0.30 | $0.26 | |||||
DILUTED | ($0.04) | $0.30 | $0.26 | |||||
*Totals may not foot due to rounding. |
Entergy Corporation | ||||||
Consolidated Cash Flow Statement | ||||||
Three Months Ended December 31, 2005 vs. 2004 | ||||||
(Dollars in thousands) | ||||||
(Unaudited) | ||||||
2005 | 2004 | Variance | ||||
OPERATING ACTIVITIES | ||||||
Consolidated net income | $96,443 | $160,974 | ($64,531) | |||
Adjustments to reconcile consolidated net income to net cash flow | ||||||
provided by operating activities: | ||||||
Reserve for regulatory adjustments | 3,179 | 27,974 | (24,795) | |||
Other regulatory credits - net | (5,067) | (33,601) | 28,534 | |||
Depreciation, amortization, and decommissioning | 254,455 | 269,316 | (14,861) | |||
Deferred income taxes and investment tax credits | 422,516 | 128,822 | 293,694 | |||
Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends | 21,027 | 549,950 | (528,923) | |||
Provision for turbine commitments, asset impairments and restructuring charges | 39,767 | 55,000 | (15,233) | |||
Changes in working capital: | ||||||
Receivables | 308,576 | 132,516 | 176,060 | |||
Fuel inventory | (72,718) | 3,940 | (76,658) | |||
Accounts payable | (205,454) | 110,091 | (315,545) | |||
Taxes accrued | (359,118) | (239,686) | (119,432) | |||
Interest accrued | (98) | (8,755) | 8,657 | |||
Deferred fuel | 30,640 | 33,202 | (2,562) | |||
Other working capital accounts | 18,422 | 48,391 | (29,969) | |||
Provision for estimated losses and reserves | (9,459) | (3,120) | (6,339) | |||
Changes in other regulatory assets | 4,393 | 40,272 | (35,879) | |||
Other | (186,644) | (59,632) | (127,012) | |||
Net cash flow provided by operating activities | 360,860 | 1,215,654 | (854,794) | |||
INVESTING ACTIVITIES | ||||||
Construction/capital expenditures | (580,921) | (465,798) | (115,123) | |||
Allowance for equity funds used during construction | 16,322 | 11,010 | 5,312 | |||
Nuclear fuel purchases | (53,827) | (86,088) | 32,261 | |||
Proceeds from sale/leaseback of nuclear fuel | 10,263 | 35,209 | (24,946) | |||
Proceeds from sale of assets and businesses | - | 53,452 | (53,452) | |||
Investment in nonutility properties | - | 13,712 | (13,712) | |||
Decrease (increase) in other investments | (9,793) | 394,838 | (404,631) | |||
Purchase of other temporary investments | - | (1,025,600) | 1,025,600 | |||
Liquidation of other temporary investments | - | 884,150 | (884,150) | |||
Decommissioning trust contributions and realized change in trust assets | (20,430) | (23,811) | 3,381 | |||
Other regulatory investments | (150,224) | 8,965 | (159,189) | |||
Net cash flow used in investing activities | (788,610) | (199,961) | (588,649) | |||
FINANCING ACTIVITIES | ||||||
Proceeds from the issuance of: | ||||||
Long-term debt | 1,763,594 | 2,212,918 | (449,324) | |||
Preferred stock | 97,997 | - | 97,997 | |||
Common stock and treasury stock | (8,484) | 29,892 | (38,376) | |||
Retirement of long-term debt | (1,322,297) | (2,338,078) | 1,015,781 | |||
Repurchase of common stock | - | (601,727) | 601,727 | |||
Changes in credit line borrowings - net | - | (110,079) | 110,079 | |||
Dividends paid: | ||||||
Common stock | (112,071) | (123,392) | 11,321 | |||
Preferred stock | (6,385) | (6,037) | (348) | |||
Net cash flow provided by (used in) financing activities | 412,354 | (936,503) | 1,348,857 | |||
Effect of exchange rates on cash and cash equivalents | 185 | (745) | 930 | |||
Net increase (decrease) in cash and cash equivalents | (15,211) | 78,445 | (93,656) | |||
Cash and cash equivalents at beginning of period | 598,031 | 541,341 | 56,690 | |||
Cash and cash equivalents at end of period | $582,820 | $619,786 | ($36,966) | |||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
Cash paid (received) during the period for: | ||||||
Interest - net of amount capitalized | $109,223 | $131,630 | ($22,407) | |||
Income taxes | ($2,917) | ($4,561) | $1,644 | |||
Entergy Corporation | ||||||
Pro Forma Consolidated Cash Flow Statement | ||||||
(Reflects Deconsolidation of Entergy New Orleans) | ||||||
Three Months Ended December 31, 2005 vs. 2004 | ||||||
(Dollars in thousands) | ||||||
(Unaudited) | ||||||
2005 | 2004 | Variance | ||||
OPERATING ACTIVITIES | ||||||
Consolidated net income | $96,443 | $160,733 | ($64,290) | |||
Adjustments to reconcile consolidated net income to net cash flow | ||||||
provided by operating activities: | ||||||
Reserve for regulatory adjustments | 3,179 | 28,167 | (24,988) | |||
Other regulatory credits - net | (5,067) | (34,803) | 29,736 | |||
Depreciation, amortization, and decommissioning | 254,455 | 261,262 | (6,807) | |||
Deferred income taxes and investment tax credits | 422,516 | 113,301 | 309,215 | |||
Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends | 21,027 | 554,741 | (533,714) | |||
Provision for turbine commitments, asset impairments and restructuring charges | 39,767 | 55,000 | (15,233) | |||
Changes in working capital: | ||||||
Receivables | 308,576 | 108,202 | 200,374 | |||
Fuel inventory | (72,718) | 2,171 | (74,889) | |||
Accounts payable | (205,454) | 107,241 | (312,695) | |||
Taxes accrued | (359,118) | (224,238) | (134,880) | |||
Interest accrued | (98) | (11,076) | 10,978 | |||
Deferred fuel | 30,640 | 47,699 | (17,059) | |||
Other working capital accounts | 18,422 | 39,251 | (20,829) | |||
Provision for estimated losses and reserves | (9,459) | (2,077) | (7,382) | |||
Changes in other regulatory assets | 4,393 | 39,662 | (35,269) | |||
Other | (186,644) | (52,465) | (134,179) | |||
Net cash flow provided by operating activities | 360,860 | 1,192,771 | (831,911) | |||
INVESTING ACTIVITIES | ||||||
Construction/capital expenditures | (580,921) | (450,930) | (129,991) | |||
Allowance for equity funds used during construction | 16,322 | 10,782 | 5,540 | |||
Nuclear fuel purchases | (53,827) | (86,088) | 32,261 | |||
Proceeds from sale/leaseback of nuclear fuel | 10,263 | 35,209 | (24,946) | |||
Proceeds from sale of assets and businesses | - | 53,452 | (53,452) | |||
Investment in nonutility properties | - | 13,712 | (13,712) | |||
Decrease (increase) in other investments | (9,793) | 394,838 | (404,631) | |||
Purchase of other temporary investments | - | (1,025,600) | 1,025,600 | |||
Liquidation of other temporary investments | - | 884,150 | (884,150) | |||
Decommissioning trust contributions and realized change in trust assets | (20,430) | (23,811) | 3,381 | |||
Other regulatory investments | (150,224) | 8,965 | (159,189) | |||
Net cash flow used in investing activities | (788,610) | (185,321) | (603,289) | |||
FINANCING ACTIVITIES | ||||||
Proceeds from the issuance of: | ||||||
Long-term debt | 1,763,594 | 2,213,003 | (449,409) | |||
Preferred stock | 97,997 | - | 97,997 | |||
Common stock and treasury stock | (8,484) | 29,892 | (38,376) | |||
Retirement of long-term debt | (1,322,297) | (2,338,078) | 1,015,781 | |||
Repurchase of common stock | - | (601,727) | 601,727 | |||
Changes in credit line borrowings - net | - | (110,079) | 110,079 | |||
Dividends paid: | ||||||
Common stock | (112,071) | (123,392) | 11,321 | |||
Preferred stock | (6,385) | (5,796) | (589) | |||
Net cash flow provided by (used in) financing activities | 412,354 | (936,177) | 1,348,531 | |||
Effect of exchange rates on cash and cash equivalents | 185 | (746) | 931 | |||
Net increase (decrease) in cash and cash equivalents | (15,211) | 70,527 | (85,738) | |||
Cash and cash equivalents at beginning of period | 598,031 | 541,305 | 56,726 | |||
Cash and cash equivalents at end of period | $582,820 | $611,832 | ($29,012) | |||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
Cash paid (received) during the period for: | ||||||
Interest - net of amount capitalized | $109,223 | $132,035 | ($22,812) | |||
Income taxes | ($2,917) | ($3,835) | $918 | |||
Entergy Corporation | ||||||
Consolidated Cash Flow Statement | ||||||
Year to Date December 31, 2005 vs. 2004 | ||||||
(Dollars in thousands) | ||||||
(Unaudited) | ||||||
2005 | 2004 | Variance | ||||
OPERATING ACTIVITIES | ||||||
Consolidated net income | $923,758 | $933,049 | ($9,291) | |||
Adjustments to reconcile consolidated net income to net cash flow | ||||||
provided by operating activities: | ||||||
Reserve for regulatory adjustments | (82,033) | 33,533 | (115,566) | |||
Other regulatory credits - net | (49,882) | (90,611) | 40,729 | |||
Depreciation, amortization, and decommissioning | 1,001,852 | 1,045,122 | (43,270) | |||
Deferred income taxes and investment tax credits | 626,813 | 275,458 | 351,355 | |||
Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends | 4,315 | 608,141 | (603,826) | |||
Provision for turbine commitments, asset impairments and restructuring charges | 39,767 | 55,000 | (15,233) | |||
Changes in working capital: | ||||||
Receivables | (367,351) | (210,419) | (156,932) | |||
Fuel inventory | (83,125) | (16,769) | (66,356) | |||
Accounts payable | 303,194 | 95,306 | 207,888 | |||
Taxes accrued | (172,315) | 75,055 | (247,370) | |||
Interest accrued | 15,133 | 5,269 | 9,864 | |||
Deferred fuel | (236,801) | 213,627 | (450,428) | |||
Other working capital accounts | (45,653) | 41,008 | (86,661) | |||
Provision for estimated losses and reserves | (3,704) | (18,041) | 14,337 | |||
Changes in other regulatory assets | (311,934) | 48,626 | (360,560) | |||
Other | (94,226) | (164,035) | 69,809 | |||
Net cash flow provided by operating activities | 1,467,808 | 2,929,319 | (1,461,511) | |||
INVESTING ACTIVITIES | ||||||
Construction/capital expenditures | (1,458,086) | (1,410,610) | (47,476) | |||
Allowance for equity funds used during construction | 45,736 | 39,582 | 6,154 | |||
Nuclear fuel purchases | (314,414) | (238,170) | (76,244) | |||
Proceeds from sale/leaseback of nuclear fuel | 184,403 | 109,988 | 74,415 | |||
Proceeds from sale of assets and businesses | - | 75,430 | (75,430) | |||
Payment for purchase of plant | (162,075) | - | (162,075) | |||
Investment in nonutility properties | - | (6,420) | 6,420 | |||
Decrease (increase) in other investments | 9,905 | 383,498 | (373,593) | |||
Purchase of other temporary investments | (1,591,025) | (1,629,500) | 38,475 | |||
Liquidation of other temporary investments | 1,778,975 | 1,676,350 | 102,625 | |||
Decommissioning trust contributions and realized change in trust assets | (95,571) | (89,807) | (5,764) | |||
Other regulatory investments | (390,456) | (53,566) | (336,890) | |||
Net cash flow used in investing activities | (1,992,608) | (1,143,225) | (849,383) | |||
FINANCING ACTIVITIES | ||||||
Proceeds from the issuance of: | ||||||
Long-term debt | 4,302,570 | 3,653,478 | 649,092 | |||
Preferred stock | 127,995 | - | 127,995 | |||
Common stock and treasury stock | 106,068 | 170,237 | (64,169) | |||
Retirement of long-term debt | (2,689,206) | (4,022,548) | 1,333,342 | |||
Repurchase of common stock | (878,188) | (1,017,996) | 139,808 | |||
Redemption of preferred stock | (33,719) | (3,450) | (30,269) | |||
Changes in credit line borrowings - net | 39,850 | (154) | 40,004 | |||
Dividends paid: | ||||||
Common stock | (453,508) | (427,901) | (25,607) | |||
Preferred stock | (25,472) | (23,525) | (1,947) | |||
Net cash flow provided by (used in) financing activities | 496,390 | (1,671,859) | 2,168,249 | |||
Effect of exchange rates on cash and cash equivalents | (602) | (1,882) | 1,280 | |||
Net increase (decrease) in cash and cash equivalents | (29,012) | 112,353 | (141,365) | |||
Cash and cash equivalents at beginning of period | 611,832 | 507,433 | 104,399 | |||
Cash and cash equivalents at end of period | $582,820 | $619,786 | ($36,966) | |||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
Cash paid (received) during the period for: | ||||||
Interest - net of amount capitalized | $441,279 | $477,768 | ($36,489) | |||
Income taxes | $116,072 | $28,241 | $87,831 | |||
Entergy Corporation | ||||||
Pro Forma Consolidated Cash Flow Statement | ||||||
(Reflects Deconsolidation of Entergy New Orleans) | ||||||
Year to Date December 31, 2005 vs. 2004 | ||||||
(Dollars in thousands) | ||||||
(Unaudited) | ||||||
2005 | 2004 | Variance | ||||
OPERATING ACTIVITIES | ||||||
Consolidated net income | $923,758 | $932,084 | ($8,326) | |||
Adjustments to reconcile consolidated net income to net cash flow | ||||||
provided by operating activities: | ||||||
Reserve for regulatory adjustments | (82,033) | 40,896 | (122,929) | |||
Other regulatory credits - net | (49,882) | (85,941) | 36,059 | |||
Depreciation, amortization, and decommissioning | 1,001,852 | 1,015,465 | (13,613) | |||
Deferred income taxes and investment tax credits | 626,813 | 235,676 | 391,137 | |||
Equity in earnings (loss) of unconsolidated equity affiliates - net of dividends | 4,315 | 586,234 | (581,919) | |||
Provision for turbine commitments, asset impairments and restructuring charges | 39,767 | 55,000 | (15,233) | |||
Changes in working capital: | ||||||
Receivables | (367,351) | (202,662) | (164,689) | |||
Fuel inventory | (83,125) | (18,168) | (64,957) | |||
Accounts payable | 303,194 | 81,401 | 221,793 | |||
Taxes accrued | (172,315) | 88,111 | (260,426) | |||
Interest accrued | 15,133 | 6,724 | 8,409 | |||
Deferred fuel | (236,801) | 218,906 | (455,707) | |||
Other working capital accounts | (45,653) | 38,885 | (84,538) | |||
Provision for estimated losses and reserves | (3,704) | (16,178) | 12,474 | |||
Changes in other regulatory assets | (311,934) | 54,006 | (365,940) | |||
Other | (94,226) | (159,496) | 65,270 | |||
Net cash flow provided by operating activities | 1,467,808 | 2,870,943 | (1,403,135) | |||
INVESTING ACTIVITIES | ||||||
Construction/capital expenditures | (1,458,086) | (1,359,346) | (98,740) | |||
Allowance for equity funds used during construction | 45,736 | 38,204 | 7,532 | |||
Nuclear fuel purchases | (314,414) | (238,170) | (76,244) | |||
Proceeds from sale/leaseback of nuclear fuel | 184,403 | 109,988 | 74,415 | |||
Proceeds from sale of assets and businesses | - | 75,430 | (75,430) | |||
Payment for purchase of plant | (162,075) | - | (162,075) | |||
Investment in nonutility properties | - | (6,420) | 6,420 | |||
Decrease (increase) in other investments | 9,905 | 383,498 | (373,593) | |||
Purchase of other temporary investments | (1,591,025) | (1,629,500) | 38,475 | |||
Liquidation of other temporary investments | 1,778,975 | 1,675,744 | 103,231 | |||
Decommissioning trust contributions and realized change in trust assets | (95,571) | (89,807) | (5,764) | |||
Other regulatory investments | (390,456) | (53,566) | (336,890) | |||
Net cash flow used in investing activities | (1,992,608) | (1,093,945) | (898,663) | |||
FINANCING ACTIVITIES | ||||||
Proceeds from the issuance of: | ||||||
Long-term debt | 4,302,570 | 3,580,838 | 721,732 | |||
Preferred stock | 127,995 | - | 127,995 | |||
Common stock and treasury stock | 106,068 | 170,237 | (64,169) | |||
Retirement of long-term debt | (2,689,206) | (3,945,061) | 1,255,855 | |||
Repurchase of common stock | (878,188) | (1,017,996) | 139,808 | |||
Redemption of preferred stock | (33,719) | (3,450) | (30,269) | |||
Changes in credit line borrowings - net | 39,850 | (154) | 40,004 | |||
Dividends paid: | ||||||
Common stock | (453,508) | (427,901) | (25,607) | |||
Preferred stock | (25,472) | (22,560) | (2,912) | |||
Net cash flow provided by (used in) financing activities | 496,390 | (1,666,047) | 2,162,437 | |||
Effect of exchange rates on cash and cash equivalents | (602) | (1,882) | 1,280 | |||
Net increase (decrease) in cash and cash equivalents | (29,012) | 109,069 | (138,081) | |||
Cash and cash equivalents at beginning of period | 611,832 | 502,763 | 109,069 | |||
Cash and cash equivalents at end of period | $582,820 | $611,832 | ($29,012) | |||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||
Cash paid (received) during the period for: | ||||||
Interest - net of amount capitalized | $441,279 | $461,596 | ($20,317) | |||
Income taxes | $116,072 | $33,977 | $82,095 | |||