CINergy (CIN) 8-K Results of Operations and Financial Condition

Exhibit 99.3

Schedule 2

CINERGY CORP.

CONSOLIDATED BALANCE SHEETS

(unaudited)

(in thousands)

	December 31			December 31
	2005			2004
ASSETS
Current Assets
Cash and cash equivalents	$	146,056		$	162,526
Notes receivable, current	287,502			214,513
Accounts receivable less accumulated provision for doubtful accounts of $4,767 at December 31, 2005, and $5,059 at December 31, 2004	1,415,209			1,036,119
Fuel, emission allowances, and supplies	589,152			442,951
Energy risk management current assets	991,252			381,146
Prepayments and other	408,975			173,203
Total current assets	3,838,146			2,410,458
Property, Plant, and Equipment - at Cost
Utility plant in service	10,714,000			10,076,468
Construction work in progress	501,294			333,687
Total utility plant	11,215,294			10,410,155
Non-regulated property, plant, and equipment	4,775,570			4,549,128
Accumulated depreciation	5,477,782			5,147,556
Net property, plant, and equipment	10,513,082			9,811,727
Other Assets
Regulatory assets	1,069,854			1,030,333
Investments in unconsolidated subsidiaries	479,466			513,675
Energy risk management non-current assets	306,959			138,787
Notes receivable, non-current	171,325			193,857
Other investments	128,150			125,367
Goodwill and intangible assets	169,081			118,619
Restricted funds held in trust	301,800			358,006
Other	185,062			117,870
Total other assets	2,811,697			2,596,514
Assets of Discontinued Operations	34,215			163,618
Total Assets	$	17,197,140		$	14,982,317
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities
Accounts payable	$	1,922,867		$	1,344,780
Accrued taxes	219,469			217,106
Accrued interest	64,725			54,473
Notes payable and other short-term obligations	923,600			948,327
Long-term debt due within one year	352,589			219,967
Energy risk management current liabilities	1,010,585			310,741
Other	193,323			168,734
Total current liabilities	4,687,158			3,264,128
Non-current Liabilities
Long-term debt	4,393,442			4,227,475
Deferred income taxes	1,523,070			1,587,557
Unamortized investment tax credits	90,852			99,723
Accrued pension and other postretirement benefit costs	729,221			688,277
Regulatory liabilities	546,047			557,419
Energy risk management non-current liabilities	338,514			127,340
Other	250,822			219,439
Total non-current liabilities	7,871,968			7,507,230
Liabilities of Discontinued Operations	28,876			32,219
Total Liabilities	12,588,002			10,803,577
Cumulative Preferred Stock of Subsidiaries
Not subject to mandatory redemption	31,743			62,818
Common Stock Equity
Common stock - $0.01 par value; authorized shares - 600,000,000; issued shares - 199,707,338 at December 31, 2005 and 187,653,506 at December 31, 2004; outstanding shares - 199,565,684 at December 31, 2005 and 187,524,229 at December 31, 2004	1,997			1,877
Paid-in capital	2,982,625			2,559,715
Retained earnings	1,721,716			1,613,340
Treasury shares at cost - 141,654 at December 31, 2005, and 129,277 shares at December 31, 2004	(4,823		)	(4,336		)
Accumulated other comprehensive income (loss)	(124,120		)	(54,674		)
Total common stock equity	4,577,395			4,115,922
Total Liabilities and Shareholders’ Equity	$	17,197,140		$	14,982,317

Note: Prior year data has been reclassified to conform with current year presentation.