Exhibit 99.1
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| NorthWestern Corporation |
| d/b/a NorthWestern Energy | |
| 125 S. Dakota Ave. | |
| Sioux Falls, SD 57104 | |
| www.northwesternenergy.com | |
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News Release |
| NASDAQ: NWEC |
FOR IMMEDIATE RELEASE |
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Media Relations Contact: |
| Investor Relations Contact: |
Claudia Rapkoch |
| Dan Rausch |
(406) 497-2841 |
| (605) 978-2902 |
claudia.rapkoch@northwestern.com |
| dan.rausch@northwestern.com |
NORTHWESTERN REPORTS STRONG YEAR END FINANCIAL RESULTS
Gross Margin Increased Over 2004 In All Operating Segments;
Reaffirms EPS Guidance for 2006
SIOUX FALLS, S.D. — March 1, 2006 — NorthWestern Corporation d/b/a NorthWestern Energy (NASDAQ: NWEC) today reported financial results for the year ended Dec. 31, 2005.
Highlights for the year include:
• Consolidated income from continuing operations was $61.5 million or $1.73 per basic share and $1.71 per diluted share
• Consolidated revenues and gross margin increased by 12.2 percent and 10.3 percent, respectively
• Gross margin increased for all four of our operating segments
— Regulated electric gross margin was $325.2 million, up 8.7 percent,
— Regulated natural gas gross margin was $119.2 million, up 11.9 percent
— Gross margin from unregulated electric operations was $69.6 million,
up 12.6 percent
— Unregulated natural gas gross margin increased to $11.3 million, up 28.4 percent
Consolidated net income, including discontinued operations, was $59.5 million or $1.67 per basic share and $1.65 per diluted share for the year ended Dec. 31, 2005, compared with consolidated net income of $544.4 million for the year ended Dec. 31, 2004. Results for 2004 included reorganization items of $532.6 million associated with our emergence from bankruptcy, caused primarily by a gain from the cancellation of indebtedness through fresh-start reporting.
When excluding the effects of our bankruptcy reorganization items, consolidated net income increased by approximately $55.2 million for 2005 as compared with 2004. This improvement in 2005 resulted from an increase in gross margin in all four of our operating segments, a decrease in interest expense from 2004 and an increase in other income over 2004.
“Our exceptional 2005 year-end results reflect the successful restructuring of NorthWestern across all core areas of the business. Our regulated and unregulated businesses performed well in 2005,” said Michael J. Hanson, President and Chief Executive Officer of NorthWestern. “Going forward, we will continue to focus on generating and enhancing free cash flow through
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continued customer growth, reducing operating costs and investing in additional utility transmission and distribution assets.”
Consolidated revenues for 2005 were $1.2 billion, an increase of 12.2 percent, compared with $1.0 billion reported for 2004. The increase was due primarily to an increase in supply costs that are passed through to customers in our regulated natural gas and electric segments and increased sales volumes in the regulated electric segment. Our unregulated natural gas segment revenues increased mainly from increased supply costs, and our unregulated electric revenues increased due primarily to increased volumes.
Consolidated gross margin for 2005 was $524.0 million, a 10.3 percent increase, compared with $475.2 million for 2004. Margin in the regulated electric segment increased $25.9 million in 2005 due to higher market prices on increased sales volume and decreases in out-of-market costs associated with QF contracts as compared with 2004. Margin in the regulated natural gas segment increased $12.7 million in 2005, primarily due to the recovery of previously disallowed gas costs and increased natural gas volumes compared with 2004. Gross margin in the unregulated electric segment was $69.6 million for 2005, a 12.6% increase, compared with $61.8 million for 2004. The increase in margin in the unregulated electric segment was due primarily to increased volumes from our interest in the Colstrip Unit 4 electric generating plant. Gross margin in the unregulated natural gas segment was $11.3 million for 2005 compared with $8.8 million for 2004. The increase in the margin for the unregulated natural gas segment was primarily due to a $2.3 million loss recorded on out-of-market fixed price contracts in 2004.
Results from Regulated Operations
NorthWestern’s regulated electric operations reported revenues of $631.7 million for 2005, up 10.5 percent, compared with $571.9 million for 2004. This increase was due to higher supply costs and higher sales volumes, primarily driven by customer growth and the warmer summer weather in our service territories in 2005 compared with the prior year.
Regulated electric gross margin for 2005 was $325.2 million, up 8.7 percent, compared with $299.3 million in 2004. The increase was primarily due to $14.4 million in higher volume sales to transmission and distribution customers and a decrease in out-of-market costs of approximately $9.1 million associated with our QF contracts.
Regulated retail electric volumes for 2005 totaled 9,598,361 megawatt hours compared with 9,228,028 megawatt hours for 2004, due primarily to a 1.6% increase in customer growth and warmer summer weather in our service territories. Wholesale electric volumes were 215,752 megawatt hours for 2005 compared with 401,691 megawatt hours for 2004. The decrease resulted from increased retail demand due to warmer summer weather and lower generation plant availability due to scheduled maintenance in 2005.
Regulated natural gas revenues were $366.0 million for 2005, up 17.4 percent, compared with $311.7 million for 2004. The increase in revenues in 2005 was due primarily to an increase in gas supply costs and the recognition of $4.6 million for the recovery of supply costs previously disallowed by the Montana Public Service Commission (MPSC).
Regulated natural gas gross margin was $119.2 million for 2005, compared with $106.5 million for 2004. The increase in 2005 was primarily due to slightly higher transportation revenue and the recovery of the previously disallowed costs by the MPSC.
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Regulated retail natural gas volumes were 29,107,170 MMbtu (million British Thermal Units) for 2005, compared with 28,885,705 MMbtu for 2004. The increase in volumes was primarily the result of a 1.7% increase in customer growth and 3% colder weather in Montana as compared with 2004.
Results from Unregulated Operations
Unregulated electric revenues were $87.0 million for 2005, up 8.9 percent, compared with $79.9 million for 2004. This increase was due to a combination of factors, including higher prices and increased volumes due to increased plant availability in 2005 offset by less favorable pricing under existing agreements.
Gross margin from unregulated electric operations was $69.6 million for 2005, compared with $61.8 million for 2004 primarily due to higher market prices on increased volumes generated, partially offset by less favorable pricing under existing agreements.
Unregulated electric volumes were 1,785,293 MWHs in 2005, compared with 1,571,811 MWHs in 2004. The increase in volumes was due primarily to increased generation plant availability with less down time for scheduled maintenance in 2005.
Unregulated natural gas revenues were $157.9 million for 2005, compared with $137.0 million in 2004. This increase in natural gas revenues was due primarily to an increase of 9.2% in average price and an increase of 6.2% in volumes.
Unregulated natural gas gross margin for 2005 increased to $11.3 million, as compared with $8.8 million in 2004, due primarily to a $2.3 million loss recorded on out-of-market fixed price contracts in 2004.
Unregulated wholesale natural gas volumes were 21,038,000 MMbtu for 2005, as compared with 19,802,960 MMbtu in 2004. The increase in volumes in 2005 was due primarily to sales to ethanol facilities in South Dakota.
Liquidity and Capital Resources
As of Dec. 31, 2005, cash and cash equivalents were $2.7 million compared with $17.1 million at Dec. 31, 2004. Cash provided by continuing operations totaled $150.5 million during 2005, compared with $137.1 million during 2004. This improvement in operating cash flows was due to improved operating income, primarily offset by increased pension and other postretirement benefits funding of $19.3 million and an increase in natural gas and electric trackers undercollections of approximately $26.3 million. As of Dec. 31, 2005, availability on our unsecured $200 million senior revolving facility was $91.4 million.
The common stock repurchase program announced during the fourth quarter of 2005 allows us to repurchase up to $75 million of common stock. We have repurchased approximately $2.8 million of common stock as of Dec. 31, 2005.
Significant Items Not Contemplated in Our 2005 Guidance
A reconciliation of the most significant items not factored into our 2005 earnings guidance to our consolidated basic income per share from continuing operations for 2005 is provided as follows:
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| EPS |
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Income from Continuing Operations |
| $ | 61,546 |
| $ | 1.73 |
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Settlement with the MPSC for previously disallowed natural gas procurement |
| (4,635 | ) | (.13 | ) | ||
Settlement with PPL on bankruptcy claims (net of legal fees) |
| (7,088 | ) | (.20 | ) | ||
Sale of excess sulfur dioxide emission allowances |
| (4,715 | ) | (.13 | ) | ||
Tax effect of these items |
| 6,109 |
| .17 |
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Income from Continuing Operations after items considered above |
| $ | 51,217 |
| $ | 1.44 |
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2006 Earnings Guidance Reaffirmed
NorthWestern reaffirmed its estimate for 2006 basic earnings of between $1.70 to $1.90 per share from continuing operations.
The guidance assumes normal weather in the Company’s electric and natural gas service areas and excludes any potential impact from non-ordinary course litigation. The earnings guidance provided above does not take into consideration the share repurchase program and costs related to the strategic review process.
Strategic Review Update
NorthWestern is committed to completing its review of strategic alternatives to maximize value for all shareholders. The Company has entered into confidentiality agreements with a select number of parties who have expressed interest in participating in this process.
Formal due diligence with those parties has begun. The Board has received several expressions of interest and will make its determination following completion of due diligence and confirmation of interest by those parties. The Board has informed all interested parties that it may terminate the process at any time and that there is no guarantee that any transaction will take place.
Company Hosting Investor Conference Call
NorthWestern will host an investor conference call today (Wednesday, March 1, 2006) at 11:00 a.m. Eastern Time (10:00 a.m. Central Time) to review its financial results for the year ended Dec. 31, 2005.
The conference call will be webcast live on the Internet at http://www.northwesternenergy.com under the “Investor Information” heading. To listen, please go to the site at least 10 minutes in advance of the call to register. An archived webcast will be available shortly after the call.
A telephonic replay of the call will be available beginning at 2:30 p.m. ET on March 1, 2006, through March 31, 2006, at 800-475-6701, access code 819510.
About NorthWestern Energy
NorthWestern Energy is one of the largest providers of electricity and natural gas in the Upper Midwest and Northwest, serving more than 617,000 customers in Montana, South Dakota and Nebraska. More information on NorthWestern Energy is available on the Company’s Web site at www.northwesternenergy.com.
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SPECIAL NOTE REGARDING FORWARD—LOOKING STATEMENTS
This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts, included or incorporated by reference herein relating to management’s current expectations of future financial performance, continued growth, changes in economic conditions or capital markets and changes in customer usage patterns and preferences are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
Words or phrases such as “anticipates,” “may,” “will,” “should,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “projects,” “targets,” “will likely result,” “will continue” or similar expressions identify forward-looking statements. Forward-looking statements involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed. We caution that while we make such statements in good faith and believe such statements are based on reasonable assumptions, including without limitation, management’s examination of historical operating trends, data contained in records and other data available from third parties, we cannot assure you that our projections will be achieved.
Factors that may cause such differences include, but are not limited to:
• our ability to avoid or mitigate adverse rulings or judgments against us in our pending litigation arising from our bankruptcy proceeding, the formal investigation being conducted by the Securities and Exchange Commission (SEC), the City of Livonia class action and derivative action, and the Harbinger action contesting our shareholder rights plan;
• unanticipated changes in availability of trade credit, usage, commodity prices, fuel supply costs or availability due to higher demand, shortages, weather conditions, transportation problems or other developments, may reduce revenues or may increase operating costs, each of which would adversely affect our liquidity;
• our ability to fund and execute our business plan;
• unscheduled generation outages, maintenance or repairs which may reduce revenues and increase cost of sales or may require additional capital expenditures or other increased operating costs;
• adverse changes in general economic and competitive conditions in our service territories; and
• potential additional adverse federal, state, or local legislation or regulation or adverse determinations by regulators could have a material adverse effect on our liquidity, results of operations and financial condition.
Our Annual Report on Form 10-K, recent and forthcoming Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K and other SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or publicly update any forward-looking statements for any reason.
Unless the context requires otherwise, references to “we,” “us,” “our,” “NorthWestern Corporation,” “NorthWestern Energy” and “NorthWestern” refer specifically to NorthWestern Corporation and its subsidiaries. “Predecessor Company” refers to us prior to emergence from bankruptcy (operations prior to October 31, 2004). “Successor Company” refers to us after emergence from bankruptcy (operations after November 1, 2004).
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NORTHWESTERN CORPORATION
CONSOLIDATED BALANCE SHEETS
(in thousands)
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| Successor Company |
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| December 31, |
| December 31, |
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| 2005 |
| 2004 |
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ASSETS |
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Current Assets |
| $ | 313,493 |
| $ | 386,299 |
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Property, Plant and Equipment, Net |
| 1,409,205 |
| 1,379,060 |
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Goodwill |
| 435,076 |
| 435,076 |
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Regulatory Assets |
| 204,466 |
| 224,192 |
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Other Noncurrent Assets |
| 38,163 |
| 24,242 |
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Total assets |
| $ | 2,400,403 |
| $ | 2,448,869 |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
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Current Liabilities |
| $ | 268,204 |
| $ | 268,842 |
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Current Maturities of Long-term Debt |
| 156,455 |
| 73,380 |
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Long-term Debt |
| 586,515 |
| 763,566 |
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Noncurrent Regulatory Liabilities |
| 170,744 |
| 160,750 |
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Other Noncurrent Liabilities |
| 480,990 |
| 472,996 |
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Total liabilities |
| 1,662,908 |
| 1,739,534 |
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Total shareholders’ equity |
| 737,495 |
| 709,335 |
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Total liabilities and shareholders’ equity |
| $ | 2,400,403 |
| $ | 2,448,869 |
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NORTHWESTERN CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share amounts)
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| Successor Company |
| Predecessor Company |
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| Year Ended |
| November 1 - |
| January 1 - |
| Year Ended |
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Operating Revenues |
| $ | 1,165,750 |
| $ | 205,952 |
| $ | 833,037 |
| $ | 1,012,515 |
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Cost of Sales |
| 641,755 |
| 116,775 |
| 447,054 |
| 535,667 |
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Gross Margin |
| 523,995 |
| 89,177 |
| 385,983 |
| 476,848 |
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Operating Expenses |
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Operating, general and administrative |
| 225,514 |
| 35,958 |
| 185,782 |
| 239,716 |
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Property and other taxes |
| 72,087 |
| 10,766 |
| 54,369 |
| 67,542 |
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Depreciation |
| 74,413 |
| 12,174 |
| 60,674 |
| 70,252 |
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Reorganization Items |
| 7,529 |
| 437 |
| (533,063 | ) | 8,266 |
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Impairment on assets held for sale |
| — |
| 10,000 |
| — |
| 12,399 |
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Total Operating Expenses |
| 379,543 |
| 69,335 |
| (232,238 | ) | 398,175 |
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Operating Income |
| 144,452 |
| 19,842 |
| 618,221 |
| 78,673 |
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Interest Expense |
| (61,295 | ) | (11,021 | ) | (72,822 | ) | (147,626 | ) | ||||
Loss on Debt Extinguishment |
| (548 | ) | (21,310 | ) | — |
| 3,300 |
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Investment Income and Other |
| 17,448 |
| 1,039 |
| 2,121 |
| (5,977 | ) | ||||
Income from Continuing Operations |
| 100,057 |
| (11,450 | ) | 547,520 |
| (71,630 | ) | ||||
(Provision) Benefit for Income Taxes |
| (38,510 | ) | 4,930 |
| 1,369 |
| 48 |
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Income from Continuing Operations |
| 61,547 |
| (6,520 | ) | 548,889 |
| (71,582 | ) | ||||
Discontinued Operations, |
| (2,080 | ) | (424 | ) | 2,488 |
| (42,143 | ) | ||||
Net Income (Loss) |
| 59,467 |
| (6,944 | ) | 551,377 |
| (113,725 | ) | ||||
Minority Interests on Preferred Securities of Subsidiary Trusts |
| — |
| — |
| — |
| (14,945 | ) | ||||
Net Income |
| $ | 59,467 |
| $ | (6,944 | ) | $ | 551,377 |
| $ | (128,670 | ) |
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Average Common Shares Outstanding |
| 35,630 |
| 35,614 |
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Basic Earnings per Average Common Share |
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Continuing operations |
| $ | 1.73 |
| $ | (0.18 | ) |
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Discontinued operations |
| (0.06 | ) | (0.01 | ) |
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Basic |
| $ | 1.67 |
| $ | (0.19 | ) |
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Diluted Earnings per Average Common Share |
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Continuing operations |
| $ | 1.71 |
| $ | (0.18 | ) |
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Discontinued operations |
| (0.06 | ) | (0.01 | ) |
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Diluted |
| $ | 1.65 |
| $ | (0.19 | ) |
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Dividends Declared per Average Common Share |
| $ | 1.00 |
| $ | — |
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NORTHWESTERN CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
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| Successor Company |
| Predecessor Company |
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| December 31, |
| November 1 - |
| January 1 - |
| December 31, |
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Operating Activities |
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Net Income |
| $ | 59,467 |
| $ | (6,944 | ) | $ | 551,377 |
| $ | (113,725 | ) |
Noncash Items |
| 117,092 |
| 41,139 |
| (497,365 | ) | 143,640 |
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Changes in operating assets and liabilities |
| (26,049 | ) | (63,260 | ) | 112,170 |
| (136,814 | ) | ||||
Cash Flows Provided by Continuing Operations |
| 150,510 |
| (29,065 | ) | 166,182 |
| (106,899 | ) | ||||
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Cash Flows Used in Investing Activities |
| (72,549 | ) | 19,392 |
| (74,609 | ) | 6,158 |
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Cash Flows Used in Financing Activities |
| (135,282 | ) | (87,018 | ) | (2,769 | ) | 77,557 |
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Change in net assets of discontinued operations |
| 42,954 |
| 9,920 |
| (158 | ) | 11,813 |
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Increase in Cash and Cash Equivalents |
| (14,367 | ) | (86,771 | ) | 88,646 |
| (11,371 | ) | ||||
Cash and Cash Equivalents, beginning of period |
| 17,058 |
| 103,829 |
| 15,183 |
| 26,554 |
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Cash and Cash Equivalents, end of period |
| $ | 2,691 |
| $ | 17,058 |
| $ | 103,829 |
| $ | 15,183 |
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NORTHWESTERN CORPORATION
REGULATED SEGMENTS
(in millions)
REGULATED ELECTRIC SEGMENT
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| Year Ended |
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| 2005 |
| 2004 |
| Change |
| Change% |
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Electric supply revenue |
| $ | 292.8 |
| $ | 248.0 |
| $ | 44.8 |
| 18.1 | % |
Transmission and distribution revenue |
| 281.4 |
| 267.0 |
| 14.4 |
| 5.4 | % | |||
Rate schedule revenue |
| 574.2 |
| 515.0 |
| 59.2 |
| 11.5 | % | |||
Transmission |
| 40.2 |
| 38.6 |
| 1.6 |
| 4.1 | % | |||
Wholesale |
| 9.8 |
| 12.1 |
| (2.3 | ) | (19.0 | )% | |||
Miscellaneous |
| 7.5 |
| 6.2 |
| 1.3 |
| 21.0 | % | |||
Total Revenues |
| 631.7 |
| 571.9 |
| 59.8 |
| 10.5 | % | |||
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Supply costs |
| 286.5 |
| 255.8 |
| 30.7 |
| 12.0 | % | |||
Other cost of sales |
| 20.0 |
| 16.8 |
| 3.2 |
| 19.0 | % | |||
Total Cost of Sales |
| 306.5 |
| 272.6 |
| 33.9 |
| 12.4 | % | |||
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Gross Margin |
| $ | 325.2 |
| $ | 299.3 |
| $ | 25.9 |
| 8.7 | % |
% Gross Margin/Revenue |
| 51.5 | % | 52.3 | % |
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| Year Ended |
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| December 31 |
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| 2004 |
| 2003 |
| Change |
| Change % |
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Electric supply revenue |
| $ | 248.0 |
| $ | 230.5 |
| $ | 17.5 |
| 7.6 | % |
Transmission and distribution revenue |
| 267.0 |
| 267.3 |
| (0.3 | ) | (0.1 | )% | |||
Rate schedule revenue |
| 515.0 |
| 497.8 |
| 17.2 |
| 3.5 | % | |||
Sales for resale |
| — |
| 47.1 |
| (47.1 | ) | (100.0 | )% | |||
Transmission |
| 38.6 |
| 43.6 |
| (5.0 | ) | (11.5 | )% | |||
Wholesale |
| 12.1 |
| 8.0 |
| 4.1 |
| 51.3 | % | |||
Miscellaneous |
| 6.2 |
| 5.1 |
| 1.1 |
| 21.6 | % | |||
Total Revenues |
| 571.9 |
| 601.6 |
| (29.7 | ) | (4.9 | )% | |||
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Supply costs |
| 255.8 |
| 224.3 |
| 31.5 |
| 14.0 | % | |||
Sales for resale |
| — |
| 47.1 |
| (47.1 | ) | (100.0 | )% | |||
Other cost of sales |
| 16.8 |
| 15.7 |
| 1.1 |
| 7.0 | % | |||
Total Cost of Sales |
| 272.6 |
| 287.1 |
| (14.5 | ) | (5.1 | )% | |||
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Gross Margin |
| $ | 299.3 |
| $ | 314.5 |
| $ | (15.2 | ) | (4.8 | )% |
% Gross Margin/Revenue |
| 52.3 | % | 52.3 | % |
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REGULATED NATURAL GAS SEGMENT | ||||||||||||
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| Year Ended |
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| December 31 |
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| 2005 |
| 2004 |
| Change |
| Change % |
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Gas supply revenue |
| $ | 228.4 |
| $ | 171.2 |
| $ | 57.2 |
| 33.4 | % |
Transportation, distribution and storage revenue |
| 95.2 |
| 93.9 |
| 1.3 |
| 1.4 | % | |||
Rate schedule revenue |
| 323.6 |
| 265.1 |
| 58.5 |
| 22.1 | % | |||
Wholesale revenue |
| 20.2 |
| 25.8 |
| (5.6 | ) | (21.7 | )% | |||
Transportation |
| 17.8 |
| 16.9 |
| 0.9 |
| 5.3 | % | |||
Miscellaneous |
| 4.4 |
| 3.9 |
| 0.5 |
| 12.8 | % | |||
Total Revenues |
| 366.0 |
| 311.7 |
| 54.3 |
| 17.4 | % | |||
|
|
|
|
|
|
|
|
|
| |||
Supply costs |
| 224.2 |
| 177.4 |
| 46.8 |
| 26.4 | % | |||
Wholesale supply costs |
| 20.2 |
| 25.8 |
| (5.6 | ) | (21.7 | )% | |||
Other cost of sales |
| 2.4 |
| 2.0 |
| 0.4 |
| 20.0 | % | |||
Total Cost of Sales |
| 246.8 |
| 205.2 |
| 41.6 |
| 20.3 | % | |||
|
|
|
|
|
|
|
|
|
| |||
Gross Margin |
| $ | 119.2 |
| $ | 106.5 |
| $ | 12.7 |
| 11.9 | % |
% Gross Margin/Revenue |
| 32.6 | % | 34.2 | % |
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
|
| Year Ended |
|
|
|
|
| |||||
|
| December 31 |
|
|
|
|
| |||||
|
| 2004 |
| 2003 |
| Change |
| Change % |
| |||
|
|
|
|
|
|
|
|
|
| |||
Gas supply revenue |
| $ | 171.2 |
| $ | 141.5 |
| $ | 29.7 |
| 21.0 | % |
Transportation, distribution and storage revenue |
| 93.9 |
| 96.5 |
| (2.6 | ) | (2.7 | )% | |||
Rate schedule revenue |
| 265.1 |
| 238.0 |
| 27.1 |
| 11.4 | % | |||
Wholesale revenue |
| 25.8 |
| 23.6 |
| 2.2 |
| 9.3 | % | |||
Transportation |
| 16.9 |
| 14.5 |
| 2.4 |
| 16.6 | % | |||
Miscellaneous |
| 3.9 |
| 3.0 |
| 0.9 |
| 30.0 | % | |||
Total Revenues |
| 311.7 |
| 279.1 |
| 32.6 |
| 11.7 | % | |||
|
|
|
|
|
|
|
|
|
| |||
Supply costs |
| 177.4 |
| 149.8 |
| 27.6 |
| 18.4 | % | |||
Wholesale supply costs |
| 25.8 |
| 23.6 |
| 2.2 |
| 9.3 | % | |||
Other cost of sales |
| 2.0 |
| 1.6 |
| 0.4 |
| 25.0 | % | |||
Total Cost of Sales |
| 205.2 |
| 175.0 |
| 30.2 |
| 17.3 | % | |||
|
|
|
|
|
|
|
|
|
| |||
Gross Margin |
| $ | 106.5 |
| $ | 104.1 |
| $ | 2.4 |
| 2.3 | % |
% Gross Margin/Revenue |
| 34.2 | % | 37.3 | % |
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
NORTHWESTERN CORPORATION
UNREGULATED SEGMENTS
(in millions)
UNREGULATED ELECTRIC SEGMENT
|
| Year Ended |
|
|
|
|
| |||||
|
| December 31 |
|
|
|
|
| |||||
|
| 2005 |
| 2004 |
| Change |
| Change % |
| |||
|
|
|
|
|
|
|
|
|
| |||
Total Revenues |
| $ | 87.0 |
| $ | 79.9 |
| $ | 7.1 |
| 8.9 | % |
|
|
|
|
|
|
|
|
|
| |||
Total Cost of Sales |
| 17.4 |
| 18.1 |
| $ | (0.7 | ) | (3.9 | )% | ||
|
|
|
|
|
|
|
|
|
| |||
Gross Margin |
| $ | 69.6 |
| $ | 61.8 |
| $ | 7.8 |
| 12.6 | % |
% Gross Margin/Revenue |
| 80.0 | % | 77.3 | % |
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
|
| Year Ended |
|
|
|
|
| |||||
|
| December 31 |
|
|
|
|
| |||||
|
| 2004 |
| 2003 |
| Change |
| Change % |
| |||
|
|
|
|
|
|
|
|
|
| |||
Total Revenues |
| $ | 79.9 |
| $ | 69.9 |
| $ | 10.0 |
| 14.3 | % |
|
|
|
|
|
|
|
|
|
| |||
Total Cost of Sales |
| 18.1 |
| 22.8 |
| $ | (4.7 | ) | (20.6 | )% | ||
|
|
|
|
|
|
|
|
|
| |||
Gross Margin |
| $ | 61.8 |
| $ | 47.1 |
| $ | 14.7 |
| 31.2 | % |
% Gross Margin/Revenue |
| 77.3 | % | 67.4 | % |
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
UNREGULATED NATURAL GAS SEGMENT | ||||||||||||
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
|
| Year Ended |
|
|
|
|
| |||||
|
| December 31 |
|
|
|
|
| |||||
|
| 2005 |
| 2004 |
| Change |
| Change % |
| |||
|
|
|
|
|
|
|
|
|
| |||
Total Revenues |
| $ | 157.9 |
| $ | 137.0 |
| $ | 20.9 |
| 15.3 | % |
|
|
|
|
|
|
|
|
|
| |||
Supply Costs |
| 146.6 |
| 128.2 |
| $ | 18.4 |
| 14.4 | % | ||
|
|
|
|
|
|
|
|
|
| |||
Gross Margin |
| $ | 11.3 |
| $ | 8.8 |
| $ | 2.5 |
| 28.4 | % |
% Gross Margin/Revenue |
| 7.2 | % | 6.4 | % |
|
|
|
| |||
|
|
|
|
|
|
|
|
|
| |||
|
| Year Ended |
|
|
|
|
| |||||
|
| December 31 |
|
|
|
|
| |||||
|
| 2004 |
| 2003 |
| Change |
| Change % |
| |||
|
|
|
|
|
|
|
|
|
| |||
Total Revenues |
| $ | 137.0 |
| $ | 100.7 |
| $ | 36.3 |
| 36.0 | % |
|
|
|
|
|
|
|
|
|
| |||
Supply Costs |
| 128.2 |
| 88.6 |
| $ | 39.6 |
| 44.7 | % | ||
|
|
|
|
|
|
|
|
|
| |||
Gross Margin |
| $ | 8.8 |
| $ | 12.1 |
| $ | (3.3 | ) | (27.3 | )% |
% Gross Margin/Revenue |
| 6.4 | % | 12.0 | % |
|
|
|
| |||