UNITED STATES |
| California (State or other jurisdiction of incorporation or organization) 5241 Spring Mountain Road Post Office Box 98510 Las Vegas, Nevada (Address of principal executive offices) | 1-7850 (Commission File Number) | 88-0085720 (I.R.S. Employer Identification No.) 89193-8510 (Zip Code) |
| Registrant's telephone number, including area code: (702) 876-7237 |
Item 9. Regulation FD DisclosureOn February 19, 2002, Southwest Gas Corporation (the Company) released summary financial information to the general public, including the investment community, regarding the Company’s operating performance and financial position for the quarter and year ended December 31, 2001. The financial information released is included herein. The following information is summary in nature and should not be considered complete financial statements. |
SOUTHWEST GAS CORPORATION
SUMMARY STATEMENTS OF INCOME
(In thousands, except per share amounts)
(Unaudited)
YEAR ENDED DECEMBER 31,
--------------------------------------------
2001 2000 1999
- ------------------------------------------------------------------------------------------------------
Gas operating revenues $ 1,193,102 $ 870,711 $ 791,155
Net cost of gas sold 677,547 394,711 330,031
- ------------------------------------------------------------------------------------------------------
Operating margin 515,555 476,000 461,124
Operations and maintenance expenses 253,026 231,175 221,258
Depreciation, amortization, and general taxes 137,278 124,508 115,864
- ------------------------------------------------------------------------------------------------------
Operating income 125,251 120,317 124,002
Net interest deductions 78,746 68,892 61,597
Preferred securities distribution 5,475 5,475 5,475
- ------------------------------------------------------------------------------------------------------
Pretax utility income 41,030 45,950 56,930
Utility income taxes 13,011 13,614 20,398
- ------------------------------------------------------------------------------------------------------
Net utility income 28,019 32,336 36,532
Other income (expense), net 4,607 1,572 (1,059)
- ------------------------------------------------------------------------------------------------------
Contribution to net income - gas operations 32,626 33,908 35,473
Contribution to net income - construction services 4,530 4,403 3,837
- ------------------------------------------------------------------------------------------------------
Net income $ 37,156 $ 38,311 $ 39,310
======================================================================================================
Earnings per share - gas operations $ 1.02 $ 1.08 $ 1.16
Earnings per share - construction services 0.14 0.14 0.12
- ------------------------------------------------------------------------------------------------------
Basic earnings per share $ 1.16 $ 1.22 $ 1.28
======================================================================================================
Diluted earnings per share $ 1.15 $ 1.21 $ 1.27
======================================================================================================
Average outstanding common shares 32,122 31,371 30,690
Average shares outstanding (assuming dilution) 32,398 31,575 30,965
See Notes to Summary Financial Statements.
SOUTHWEST GAS CORPORATION
SUMMARY STATEMENTS OF INCOME
(In thousands, except per share amounts)
(Unaudited)
THREE MONTHS ENDED TWELVE MONTHS ENDED
DECEMBER 31, DECEMBER 31,
----------------------------- -----------------------------
2001 2000 2001 2000
-------------- -------------- -------------- --------------
Gas operating revenues $ 330,620 $ 295,569 $ 1,193,102 $ 870,711
Net cost of gas sold 169,265 130,875 677,547 394,711
-------------- -------------- -------------- --------------
Operating margin 161,355 164,694 515,555 476,000
Operations and maintenance expenses 65,299 60,669 253,026 231,175
Depreciation, amortization, and general taxes 34,687 31,449 137,278 124,508
-------------- -------------- -------------- --------------
Operating income 61,369 72,576 125,251 120,317
Net interest deductions 19,493 18,842 78,746 68,892
Preferred securities distribution 1,369 1,369 5,475 5,475
-------------- -------------- -------------- --------------
Pretax utility income 40,507 52,365 41,030 45,950
Utility income taxes 12,923 17,914 13,011 13,614
-------------- -------------- -------------- --------------
Net utility income 27,584 34,451 28,019 32,336
Other income (expense), net 2,320 (2,340) 4,607 1,572
-------------- -------------- -------------- --------------
Contribution to net income - gas operations 29,904 32,111 32,626 33,908
Contribution to net income - construction services 1,071 411 4,530 4,403
-------------- -------------- -------------- --------------
Net income $ 30,975 $ 32,522 $ 37,156 $ 38,311
============== ============== ============== ==============
Earnings per share - gas operations $ 0.93 $ 1.02 $ 1.02 $ 1.08
Earnings per share - construction services 0.03 0.01 0.14 0.14
-------------- -------------- -------------- --------------
Basic earnings per share $ 0.96 $ 1.03 $ 1.16 $ 1.22
============== ============== ============== ==============
Diluted earnings per share $ 0.95 $ 1.02 $ 1.15 $ 1.21
============== ============== ============== ==============
Average outstanding common shares 32,427 31,627 32,122 31,371
Average shares outstanding (assuming dilution) 32,720 31,902 32,398 31,575
The summary statements of income have been prepared by Southwest Gas Corporation
(the Company) using the equity method of accounting for its construction
services subsidiary. This presentation is not in accordance with generally
accepted accounting principles (GAAP). However, it produces the same net income
as the consolidated financial statements and, in management's opinion, is a fair
representation of the operations and contributions to net income of the
Company's operating segments.
SOUTHWEST GAS CORPORATION
SUMMARY BALANCE SHEET
AT DECEMBER 31, 2001
(In thousands)
(Unaudited)
ASSETS
UTILITY PLANT
Gas plant, net of accumulated depreciation $ 1,775,080
Construction work in progress 50,491
-------------
Net utility plant 1,825,571
-------------
OTHER PROPERTY AND INVESTMENTS
Investment in construction services subsidiary 35,916
Other 44,372
-------------
Total other property and investments 80,288
-------------
CURRENT AND ACCRUED ASSETS
Cash and cash equivalents 26,767
Receivables - less reserve of $1,871 for uncollectibles 133,041
Accrued utility revenue 63,773
Deferred purchased gas costs 83,501
Other 37,549
-------------
Total current and accrued assets 344,631
-------------
DEFERRED DEBITS
Unamortized debt expense 17,906
Other deferred debits 29,887
-------------
Total deferred debits 47,793
-------------
TOTAL ASSETS $ 2,298,283
=============
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common stockholders' equity
Common stock equity, $1 par, 32,493 shares outstanding $ 504,533
Retained earnings 56,667
-------------
Total common stockholders' equity 561,200 33.0 %
Preferred securities of Southwest Gas Capital I, 9.125% 60,000 3.5
Long-term debt including current maturities - NOTE 2 1,081,621 63.5
------------- -------
Total capitalization 1,702,821 100.0 %
------------- =======
CURRENT AND ACCRUED LIABILITIES
Notes payable 93,000
Accounts payable 103,333
Customer deposits 30,288
Taxes accrued (including income taxes) 5,159
Deferred taxes 26,677
Other 45,605
-------------
Total current and accrued liabilities 304,062
-------------
DEFERRED CREDITS
Deferred investment tax credits 14,668
Deferred income taxes 198,506
Other 78,226
-------------
Total deferred credits 291,400
-------------
TOTAL CAPITALIZATION AND LIABILITIES $ 2,298,283
=============
See Notes to Summary Financial Statements.
SOUTHWEST GAS CORPORATION
SUMMARY STATEMENT OF CASH FLOWS
TWELVE MONTHS ENDED DECEMBER 31, 2001
(In thousands)
(Unaudited)
CASH FLOWS FROM OPERATIONS:
Net income $ 37,156
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization 104,498
Change in receivables and payables (48,381)
Change in gas cost related balancing items 8,563
Change in accrued taxes 18,349
Change in deferred taxes (11,419)
Allowance for funds used during construction (2,546)
Other (2,482)
-------------
Net cash provided by operating activities 103,738
-------------
CASH FLOWS FROM INVESTING ACTIVITIES:
Construction expenditures (248,352)
Other 3,608
-------------
Net cash used in investing activities (244,744)
-------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Net proceeds from stock issuances 17,061
Dividends paid (26,323)
Change in notes payable (38,000)
Long-term debt issuances, net 200,389
-------------
Net cash provided by financing activities 153,127
-------------
Change in cash and cash equivalents 12,121
Cash at beginning of period 14,646
-------------
Cash at end of period $ 26,767
=============
SUPPLEMENTAL INFORMATION:
Interest paid, net of amounts capitalized $ 72,138
Income taxes, net of refunds $ 10,372
See Notes to Summary Financial Statements.
SOUTHWEST GAS CORPORATION
NOTES TO SUMMARY FINANCIAL STATEMENTS
(In thousands)
(Unaudited)
NOTE 1 - BASIS OF PRESENTATION:
The summary financial statements have been prepared by Southwest Gas
Corporation (the Company) using the equity method of accounting for its
construction services subsidiary. This presentation is not in accordance
with generally accepted accounting principles (GAAP), and certain
information and footnote disclosures normally included in financial
statements prepared in accordance with GAAP have been omitted. The
summary financial statement presentation in this report produces the same
net income as the consolidated financial statements and, in management's
opinion, is a fair representation of the operations and contributions to
net income of the Company's operating segments.
NOTE 2 - LONG-TERM DEBT:
Revolving credit facility, variable rate $ 200,000
Debentures:
9.75% Series F, due 2002 100,000
7.5% due 2006 75,000
8% due 2026 75,000
Notes, 8.375%, due 2011 200,000
Medium-term notes:
7.59% due 2017 25,000
7.75% due 2005 25,000
7.78% due 2022 25,000
7.92% due 2027 25,000
6.89% due 2007 17,500
6.76% due 2027 7,500
6.27% due 2008 25,000
Industrial development revenue bonds:
Variable-rate bonds, Series A, due 2028 50,000
7.3% 1992 Series A, due 2027 30,000
7.5% 1992 Series B, due 2032 100,000
6.5% 1993 Series A, due 2033 75,000
6.1% 1999 Series A, due 2038 12,410
5.55% 1999 Series D, due 2038 8,270
5.95% 1999 Series C, due 2038 14,320
Unamortized discount on long-term debt (8,379)
--------------
TOTAL LONG-TERM DEBT $ 1,081,621
==============
ESTIMATED CURRENT MATURITIES $ 300,000
==============
SOUTHWEST GAS CORPORATION
SELECTED STATISTICAL DATA
DECEMBER 31, 2001
FINANCIAL STATISTICS
Market value to book value per share at year end 129%
Twelve months to date return on equity -- total company 6.8%
-- gas segment 6.2%
Common stock dividend yield at year end 3.7%
GAS OPERATIONS SEGMENT
Authorized
Authorized Authorized Return on
Rate Base Rate of Common
Rate Jurisdiction (In thousands) Return Equity
- --------------------------- ---------------- ---------------- ----------------
Arizona (1) $ 688,202 9.20 % 11.00 %
Southern Nevada (1) 457,314 8.78 10.64
Northern Nevada (1) 91,936 8.97 10.21
Southern California 69,486 9.94 11.35
Northern California 28,849 10.02 11.35
Paiute Pipeline Company (1) 75,059 9.69 11.60
(1) Estimated amounts based on rate case settlements.
SYSTEM THROUGHPUT BY CUSTOMER CLASS
YEAR ENDED DECEMBER 31,
-----------------------------------------------------------
(In dekatherms) 2001 2000 1999
- --------------------------------------------------------------------------------------------------------------------------
Residential 58,994,278 57,137,754 55,450,748
Small commercial 27,996,473 27,267,289 26,603,025
Large commercial 10,758,310 6,390,838 6,256,564
Industrial / Other 28,377,223 19,971,471 15,430,564
Transportation 126,820,293 148,270,056 118,685,947
- --------------------------------------------------------------------------------------------------------------------------
Total system throughput 252,946,577 259,037,408 222,426,848
==========================================================================================================================
YEAR ENDED DECEMBER 31,
-----------------------------------------------------------
HEATING DEGREE DAY COMPARISON 2001 2000 1999
- --------------------------------------------------------------------------------------------------------------------------
Actual 1,963 1,931 1,909
Ten-year average 1,970 1,985 2,015
==========================================================================================================================
SIGNATURESPursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. |
Date: February 19, 2002 | SOUTHWEST GAS CORPORATION /s/ ROY R. CENTRELLA Roy R. Centrella Controller |