DTE Energy (DTE) 8-K Results of Operations and Financial Condition

Exhibit 99.1

DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)

	June 30			December 31
(in Millions)	2009			2008
ASSETS
Current Assets
Cash and cash equivalents	$	42		$	86
Restricted cash		69			86
Accounts receivable (less allowance for doubtful accounts of $293 and $265, respectively)
Customer		1,164			1,666
Other		117			166
Inventories
Fuel and gas		258			333
Materials and supplies		201			206
Deferred income taxes		207			227
Derivative assets		319			316
Other		158			242
		2,535			3,328
Investments
Nuclear decommissioning trust funds		716			685
Other		610			595
		1,326			1,280
Property
Property, plant and equipment		20,359			20,065
Less accumulated depreciation and depletion		(7,966	)		(7,834	)
		12,393			12,231
Other Assets
Goodwill		2,037			2,037
Regulatory assets		4,145			4,231
Securitized regulatory assets		937			1,001
Intangible assets		58			70
Notes receivable		117			115
Derivative assets		155			140
Other		192			157
		7,641			7,751
Total Assets	$	23,895		$	24,590

DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)

	June 30			December 31
(in Millions, Except Shares)	2009			2008
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable	$	611		$	899
Accrued interest		117			119
Dividends payable		87			86
Short-term borrowings		201			744
Current portion long-term debt, including capital leases		167			362
Derivative liabilities		288			285
Other		605			518
		2,076			3,013
Long-Term Debt (net of current portion)
Mortgage bonds, notes and other		6,739			6,458
Securitization bonds		861			932
Trust preferred-linked securities		289			289
Capital lease obligations		54			62
		7,943			7,741
Other Liabilities
Deferred income taxes		2,025			1,958
Regulatory liabilities		1,201			1,202
Asset retirement obligations		1,378			1,340
Unamortized investment tax credit		91			96
Derivative liabilities		269			344
Liabilities from transportation and storage contracts		103			111
Accrued pension liability		798			871
Accrued postretirement liability		1,413			1,434
Nuclear decommissioning		119			114
Other		300			328
		7,697			7,798
Commitments and Contingencies
Shareholders’ Equity
Common stock, without par value, 400,000,000 shares authorized, 164,472,648 and 163,019,596 shares issued and outstanding, respectively		3,214			3,175
Retained earnings		3,072			2,985
Accumulated other comprehensive loss		(145	)		(165	)
Total DTE Energy Company Shareholders’ Equity		6,141			5,995
Noncontrolling interests		38			43
Total Equity		6,179			6,038
Total Liabilities and Equity	$	23,895		$	24,590

DTEEnergy Company
Consolidated Statements of Cash Flows (Unaudited)

	Six Months Ended
	June 30
(in Millions)	2009			2008
Operating Activities
Net income	$	263		$	245
Adjustments to reconcile net income to net cash from operating activities:
Depreciation, depletion and amortization		472			440
Deferred income taxes		88			180
Gain on sale of non-utility assets		—			(128	)
Other asset (gains), losses and reserves, net		3			12
Gain on sale of interests in synfuel projects		—			(15	)
Contributions from synfuel partners		—			30
Changes in assets and liabilities, exclusive of changes shown separately		475			771
Net cash from operating activities		1,301			1,535
Investing Activities
Plant and equipment expenditures — utility		(581	)		(544	)
Plant and equipment expenditures — non-utility		(32	)		(110	)
Proceeds from sale of interests in synfuel projects		—			82
Refunds to synfuel partners		—			(96	)
Proceeds from sale of non-utility assets		—			253
Proceeds from sale of other assets, net		32			16
Restricted cash for debt redemptions		17			54
Proceeds from sale of nuclear decommissioning trust fund assets		182			106
Investment in nuclear decommissioning trust funds		(190	)		(124	)
Other investments		(38	)		(89	)
Net cash used for investing activities		(610	)		(452	)
Financing Activities
Issuance of long-term debt		363			798
Redemption of long-term debt		(355	)		(154	)
Repurchase of long-term debt		—			(238	)
Short-term borrowings, net		(575	)		(984	)
Issuance of common stock		18			—
Repurchase of common stock		—			(16	)
Dividends on common stock		(173	)		(172	)
Other		(13	)		(6	)
Net cash used for financing activities		(735	)		(772	)
Net Increase (Decrease) in Cash and Cash Equivalents		(44	)		311
Cash and Cash Equivalents Reclassified from Assets Held for Sale		—			11
Cash and Cash Equivalents at Beginning of Period		86			123
Cash and Cash Equivalents at End of Period	$	42		$	445

The Detroit Edison Company
Consolidated Statements of Operations (Unaudited)

	Three Months Ended						Six Months Ended
	June 30						June 30
(in Millions)	2009			2008			2009			2008
Operating Revenues	$	1,108		$	1,173		$	2,226		$	2,326
Operating Expenses
Fuel and purchased power		372			415			712			817
Operation and maintenance		306			369			622			727
Depreciation and amortization		197			178			385			370
Taxes other than income		44			60			104			122
		919			1,022			1,823			2,036
Operating Income		189			151			403			290
Other (Income) and Deductions
Interest expense		84			71			163			147
Interest income		(1	)		(1	)		(1	)		(2	)
Other income		(10	)		(11	)		(17	)		(23	)
Other expenses		(12	)		12			—			23
		61			71			145			145
Income Before Income Taxes		128			80			258			145
Income Tax Provision		49			29			101			53
Net Income	$	79		$	51		$	157		$	92

MICHIGAN CONSOLIDATED GAS COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

	Three Months Ended						Six Months Ended
	June 30						June 30
(in Millions)	2009			2008			2009			2008
Operating Revenues	$	289		$	381		$	1,048		$	1,277
Operating Expenses
Cost of gas		136			210			639			854
Operation and maintenance		118			149			232			271
Depreciation and amortization		27			25			53			50
Taxes other than income		13			12			26			25
Asset (gains) and losses, net		(1	)		—			(1	)		—
		293			396			949			1,200
Operating Income (Loss)		(4	)		(15	)		99			77
Other (Income) and Deductions
Interest expense		16			14			32			30
Interest income		(2	)		(2	)		(4	)		(4	)
Other income		(2	)		(4	)		(5	)		(6	)
Other expenses		1			2			4			5
		13			10			27			25
Income (Loss) Before Income Taxes		(17	)		(25	)		72			52
Income Tax Provision (Benefit)		(5	)		(8	)		21			15
Net Income (Loss)	$	(12	)	$	(17	)	$	51		$	37

DTE Energy Debt/Equity Calculation
As of June 30, 2009
($ millions)

Short-term borrowings	$	201
Current portion of long-term debt, including capital leases		167
Mortgage bonds, notes and other		6,739
Securitization bonds, excluding current portion		861
Capital lease obligations		54
less MichCon short-term debt		(113	)
less Securitization bonds, including current portion		(996	)
Total debt		6,913
Trust preferred-linked securities		289
Total preferred/ other		289
Equity		6,141
Total capitalization	$	13,343
Debt		51.8	%
Preferred		2.2	%
Common shareholders’ equity		46.0	%
Total		100.0	%

Sales Analysis — Q2 2009

Electric Sales — Detroit Edison Service Area (GWh)

	Q2 2009		Q2 2008		% Change
Residential		3,147		3,428		-8	%
Commercial		4,536		4,913		-8	%
Industrial		2,385		3,231		-26	%
Other		782		787		-1	%
		10,850		12,359		-12	%
Choice		344		296		16	%
TOTAL SALES		11,194		12,655		-12	%

Electric Revenue — Detroit Edison Service Area ($000s)

	Q2 2009		Q2 2008		% Change
Residential		383,943		375,200		2	%
Commercial		419,027		456,612		-8	%
Industrial		183,181		224,016		-18	%
Other		38,109		42,398		-10	%
		1,024,260		1,098,226		-7	%
Choice		8,662		3,694		134	%
TOTAL REVENUES		1,032,922		1,101,920		-6	%

Gas Sales — MichCon Service Area (Mcf)

	Q2 2009		Q2 2008		% Change
Residential		14,068		13,849		2	%
Commercial		3,672		4,160		-12	%
Industrial		140		149		-6	%
		17,880		18,158		-2	%
End User
Transportation*		21,436		22,517		-5	%
TOTAL SALES		39,316		40,675		-3	%

* Includes choice customers

Gas Revenue — MichCon Service Area ($000s)

	Q2 2009		Q2 2008		% Change
Residential		159,471		187,734		-15	%
Commercial		40,820		53,993		-24	%
Industrial		1,173		1,637		-28	%
		201,464		243,364		-17	%
End User
Transportation*		26,897		32,493		-17	%
TOTAL REVENUES		228,361		275,857		-17	%

* Includes choice customers

Weather

Cooling Degree Days
Detroit Edison service territory

	Q2 2009			Q2 2008			% Change
Actuals		154			204			-25	%
Normal		193			193
Deviation from normal		-20	%		6	%

Heating Degree Days
MichCon service territory

	Q2 2009			Q2 2008			% Change
Actuals		827			774			7	%
Normal		865			865
Deviation from normal		-4	%		-11	%

Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)

	Q2 2009			Q2 2008
Detroit Edison		(14	)		(1	)	Colder weather reduced Detroit Edison’s earnings by $14M Q2 2009
MichCon		(1	)		(3	)	Milder weather reduced MichCon’s earnings by $1M Q2 2009

Sales Analysis — YTD June 30, 2009

Electric Sales — Detroit Edison Service Area (GWh)

	YTD 2009		YTD 2008		% Change
Residential		6,885		7,360		-6	%
Commercial		8,959		9,275		-3	%
Industrial		5,022		6,747		-26	%
Other		1,599		1,619		-1	%
		22,465		25,001		-10	%
Choice		661		752		-12	%
TOTAL SALES		23,126		25,753		-10	%

Electric Revenue — Detroit Edison Service Area ($000s)

	YTD 2009		YTD 2008		% Change
Residential		830,966		805,252		3	%
Commercial		829,055		844,167		-2	%
Industrial		380,231		454,889		-16	%
Other		87,023		86,112		1	%
		2,127,275		2,190,420		-3	%
Choice		19,788		15,038		32	%
TOTAL REVENUES		2,147,063		2,205,458		-3	%

Gas Sales — MichCon Service Area (Mcf)

	YTD 2009		YTD 2008		% Change
Residential		64,259		65,587		-2	%
Commercial		20,099		21,854		-8	%
Industrial		735		549		34	%
		85,093		87,990		-3	%
End User
Transportation*		63,041		66,773		-6	%
TOTAL SALES		148,134		154,763		-4	%

* Includes choice customers

Gas Revenue — MichCon Service Area ($000s)

	YTD 2009		YTD 2008		% Change
Residential		646,279		713,205		-9	%
Commercial		200,592		233,273		-14	%
Industrial		6,266		5,916		6	%
		853,137		952,394		-10	%
End User
Transportation*		79,253		82,937		-4	%
TOTAL REVENUES		932,390		1,035,331		-10	%

* Includes choice customers

Weather

Cooling Degree Days
Detroit Edison service territory

	YTD 2009			YTD 2008			% Change
Actuals		154			204			-25	%
Normal		193			193
Deviation from normal		-20	%		6	%

Heating Degree Days
MichCon service territory

	YTD 2009			YTD 2008			% Change
Actuals		4,224			4,155			2	%
Normal		4,171			4,199
Deviation from normal		1	%		-1	%

Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)

	YTD 2009			YTD 2008
Detroit Edison		(12	)		—		Colder weather reduced Detroit Edison’s earnings by $12M YTD 2009
MichCon		1			(2	)	Colder weather increased MichCon’s earnings by $1M YTD 2009

DTE Energy Company
Reconciliation of Reported Earnings to Operating Earnings (Unaudited)

	Three Months Ended
	June 30, 2009
	Reported			Operating			Operating
(in Millions)	Earnings			Adjustments			Earnings
Operating Revenues	$	1,688					$	1,688
Operating Expenses
Fuel, purchased power and gas		577						577
Operation and maintenance		595			(14	)		581
Depreciation, depletion and amortization		240						240
Taxes other than income		61						61
Gain on sale of non-utility assets		—						—
Other asset (gains) and losses, reserves and impairments, net		—						—
		1,473			(14	)		1,459
Operating Income		215			14			229
Other (Income) and Deductions
Interest expense		134						134
Interest income		(3	)					(3	)
Other income		(22	)		(2	)		(24	)
Other expenses		(5	)					(5	)
		104			2			106
Income Before Income Taxes		111			16			127
Income Tax Provision		27			7			34
Income from Continuing Operations		84			9			93
Discontinued Operations Income, net of tax		—						—
Net Income		84			9			93
Less: Net Income Attributable to the Noncontrolling Interests From
Continuing operations		1						1
Discontinued operations		—						—
		1						1
Net Income Attributable to DTE Energy Company	$	83		$	9		$	92

DTE Energy Company
Reconciliation of Reported Earnings to Operating Earnings (Unaudited)

	Six Months Ended
	June 30, 2009
	Reported			Operating			Operating
(in Millions)	Earnings			Adjustments			Earnings
Operating Revenues	$	3,943					$	3,943
Operating Expenses
Fuel, purchased power and gas		1,537						1,537
Operation and maintenance		1,186			(14	)		1,172
Depreciation, depletion and amortization		472						472
Taxes other than income		141						141
Gain on sale of non-utility assets		—						—
Other asset (gains) and losses, reserves and impairments, net		(3	)					(3	)
		3,333			(14	)		3,319
Operating Income		610			14			624
Other (Income) and Deductions
Interest expense		266						266
Interest income		(6	)					(6	)
Other income		(46	)		(2	)		(48	)
Other expenses		9						9
		223			2			225
Income Before Income Taxes		387			16			403
Income Tax Provision		124			7			131
Income from Continuing Operations		263			9			272
Discontinued Operations Income, net of tax		—						—
Net Income		263			9			272
Less: Net Income Attributable to the Noncontrolling Interests From
Continuing operations		2						2
Discontinued operations		—						—
		2						2
Net Income Attributable to DTE Energy Company	$	261		$	9		$	270