================================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-K/A
[X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1995
OR
[_] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
COMMISSION REGISTRANT; STATE OF INCORPORATION; I.R.S. EMPLOYER
FILE NUMBER ADDRESS; AND TELEPHONE NUMBER IDENTIFICATION NO.
- ----------- ----------------------------------- ------------------
1-8503 HAWAIIAN ELECTRIC INDUSTRIES, INC. 99-0208097
(A Hawaii Corporation)
900 Richards Street
Honolulu, Hawaii 96813
Telephone (808) 543-5662
1-4955 HAWAIIAN ELECTRIC COMPANY, INC. 99-0040500
(A Hawaii Corporation)
900 Richards Street
Honolulu, Hawaii 96813
Telephone (808) 543-7771
SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT:
NAME OF EACH EXCHANGE
REGISTRANT TITLE OF EACH CLASS ON WHICH REGISTERED
---------- ------------------- ----------------------
Hawaiian Electric Common Stock, Without New York Stock Exchange
Industries, Inc. Par Value Pacific Stock Exchange
Hawaiian Electric First Mortgage Bonds, New York Stock Exchange
Company, Inc. Series S, 7 5/8%
SECURITIES REGISTERED PURSUANT TO SECTION 12(g) OF THE ACT:
REGISTRANT TITLE OF EACH CLASS
---------- -------------------
Hawaiian Electric Industries, Inc. .......... None
Hawaiian Electric Company, Inc. ............. Cumulative Preferred Stock
================================================================================
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes X No
----- -----
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K [X]
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PART IV
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ITEM 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K
(a)(1) FINANCIAL STATEMENTS
The following financial statements contained in HEI's 1995 Annual Report to
Stockholders and HECO's 1995 Annual Report to Stockholder, portions of which are
filed by HEI as Exhibit 13 and, portions of which are filed by HECO as Exhibit
13, respectively, are incorporated by reference in Part II, Item 8, of this Form
10-K:
1995 Annual Report to
Stockholder(s) (Page/s)
----------------------------
HEI HECO
- ------------------------------------------------------------------------------------------------
Independent Auditors' Report.................................. 37 31
Consolidated Statements of Income, Years ended
December 31, 1995, 1994 and 1993............................ 38 11
Consolidated Statements of Retained Earnings, Years ended
December 31, 1995, 1994 and 1993............................ 38 11
Consolidated Balance Sheets, December 31, 1995 and 1994....... 39 12
Consolidated Statements of Capitalization,
December 31, 1995 and 1994.................................. na 13-14
Consolidated Statements of Cash Flows, Years ended
December 31, 1995, 1994 and 1993............................ 40 15
Notes to Consolidated Financial Statements.................... 41-61 16-30
- ------------------------------------------------------------------------------------------------
(a)(2) FINANCIAL STATEMENT SCHEDULES
The following financial statement schedules for HEI and HECO are included in
this Report on the pages indicated below:
Page/s in Form 10-K
----------------------------
HEI HECO
- ------------------------------------------------------------------------------------------------
Independent Auditors' Report................................... 54 55
Schedule I Condensed Financial Information of Registrant,
Hawaiian Electric Industries, Inc. (Parent
Company) as of December 31, 1995 and 1994
and Years ended December 31, 1995, 1994 and
1993........................................... 56-58 na
Schedule II Valuation and Qualifying Accounts, Years
ended December 31, 1995, 1994 and 1993......... 59 59
Certain Schedules, other than those listed, are omitted because they are not
required, or are not applicable, or the required information is shown in the
consolidated financial statements or notes included in HEI's 1995 Annual Report
to Stockholders and HECO's 1995 Annual Report to Stockholder, which financial
statements are incorporated herein by reference.
52
(A)(3) EXHIBITS
Exhibits for HEI and HECO and their subsidiaries are listed in the "Index to
Exhibits" found on pages 60 through 66 of this Form 10-K. The exhibits listed
for HEI and HECO are listed in the index under the headings "HEI" and "HECO,"
respectively, except that the exhibits listed under "HECO" are also considered
exhibits for HEI.
(B) REPORTS ON FORM 8-K
HEI AND HECO:
During the fourth quarter of 1995, HEI and HECO filed Current Reports,
Forms 8-K, with the SEC dated December 11, 1995 and December 13, 1995. These
reports contained information under Item 5, Other events, regarding HECO's
receipt of a 1995 final rate order (Form 8-K dated December 11, 1995) and
regarding an update of the HELCO power situation and discontinued operations
(Form 8-K dated December 13, 1995).
53
[KPMG Peat Marwick letterhead]
Independent Auditors' Report
----------------------------
The Board of Directors
and Stockholders
Hawaiian Electric Industries, Inc.:
Under date of January 25, 1996, we reported on the consolidated balance sheets
of Hawaiian Electric Industries, Inc. and subsidiaries as of December 31, 1995
and 1994, and the related consolidated statements of income, retained earnings
and cash flows for each of the years in the three-year period ended December 31,
1995, as contained in the 1995 annual report to stockholders. These consolidated
financial statements and our report thereon are incorporated by reference in the
annual report on Form 10-K for the year 1995. In connection with our audits of
the aforementioned consolidated financial statements, we also have audited the
related financial statement schedules as listed in the accompanying index. These
financial statement schedules are the responsibility of the Company's
management. Our responsibility is to express an opinion on these financial
statement schedules based on our audits.
In our opinion, such financial statement schedules, when considered in relation
to the basic consolidated financial statements taken as a whole, present fairly,
in all material respects, the information set forth therein.
/s/ KPMG Peat Marwick LLP
Honolulu, Hawaii
January 25, 1996
54
[KPMG Peat Marwick letterhead]
Independent Auditors' Report
----------------------------
The Board of Directors
and Stockholder
Hawaiian Electric Company, Inc.:
Under date of January 25, 1996, we reported on the consolidated balance sheets
and consolidated statements of capitalization of Hawaiian Electric Company, Inc.
(a wholly owned subsidiary of Hawaiian Electric Industries, Inc.) and
subsidiaries as of December 31, 1995 and 1994, and the related consolidated
statements of income, retained earnings and cash flows for each of the years in
the three-year period ended December 31, 1995, as contained in the 1995 annual
report to stockholder. These consolidated financial statements and our report
thereon are incorporated by reference in the annual report on Form 10-K for the
year 1995. In connection with our audits of the aforementioned consolidated
financial statements, we also have audited the related financial statement
schedule as listed in the accompanying index. The financial statement schedule
is the responsibility of the Company's management. Our responsibility is to
express an opinion on the financial statement schedule based on our audits.
In our opinion, such financial statement schedule, when considered in relation
to the basic consolidated financial statements taken as a whole, presents
fairly, in all material respects, the information set forth therein.
/s/ KPMG Peat Marwick LLP
Honolulu, Hawaii
January 25, 1996
55
Hawaiian Electric Industries, Inc.
SCHEDULE I -- CONDENSED FINANCIAL INFORMATION OF REGISTRANT
HAWAIIAN ELECTRIC INDUSTRIES, INC. (PARENT COMPANY)
CONDENSED BALANCE SHEETS
December 31,
------------------------
(in thousands) 1995 1994
- ------------------------------------------------------------------------------
ASSETS
Cash and equivalents................................. $ 673 $ 223
Advances to and notes receivable from subsidiaries... 40,576 27,696
Accounts receivable.................................. 2,404 2,565
Other investments.................................... 810 809
Property, plant and equipment, net................... 2,455 2,460
Other assets......................................... 2,537 5,857
Investment in wholly owned subsidiaries, at equity... 967,437 888,651
------------------------
$1,016,892 $928,261
========================
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable..................................... $ 7,152 $ 9,246
Advances from subsidiaries........................... -- 2,293
Commercial paper..................................... 45,393 12,750
Long-term debt....................................... 223,500 209,500
Deferred income taxes................................ 3,053 4,301
Unamortized tax credits.............................. 41 29
Other................................................ 8,150 8,053
------------------------
287,289 246,172
------------------------
Stockholders' equity
Common stock......................................... 585,387 546,254
Retained earnings.................................... 144,216 135,835
------------------------
729,603 682,089
------------------------
$1,016,892 $928,261
========================
Note to Balance Sheets
- ----------------------
Long-term debt, consisted of the following:
Promissory notes, 6.3% - 7.6%, due in
various years through 2005.......................... $ 143,000 $113,000
Promissory notes, 8.2% - 9.9%, due in
various years through 2011.......................... 45,500 61,500
Promissory note, variable rate
(6.32% at December 31, 1995) due 1999............... 35,000 35,000
------------------------
$ 223,500 $209,500
========================
As of December 31, 1995, HEI guaranteed debt of its subsidiaries and affiliates
amounting to $10 million.
The aggregate payments of principal required on long-term debt subsequent to
December 31, 1995 are $42 million in 1996, $51 million in 1997, $1 million in
1998, $41 million in 1999, $10 million in 2000 and $79 million thereafter.
56
Hawaiian Electric Industries, Inc.
SCHEDULE I -- CONDENSED FINANCIAL INFORMATION OF REGISTRANT (CONTINUED)
HAWAIIAN ELECTRIC INDUSTRIES, INC. (PARENT COMPANY)
CONDENSED STATEMENTS OF INCOME
Years ended December 31,
-------------------------------
(in thousands) 1995 1994 1993
- --------------------------------------------------------------------------
REVENUES.................................. $ 2,923 $ 3,318 $ 3,353
Equity in income from continuing
operations of subsidiaries............... 89,198 84,819 74,764
-------------------------------
92,121 88,137 78,117
-------------------------------
EXPENSES:
Operating, administrative and general..... 7,543 7,786 6,897
Taxes, other than income taxes............ 282 292 226
Depreciation and amortization of
property, plant and equipment............ 491 587 569
-------------------------------
8,316 8,665 7,692
-------------------------------
83,805 79,472 70,425
Interest expense.......................... 17,922 15,195 18,355
-------------------------------
INCOME FROM CONTINUING OPERATIONS
BEFORE INCOME TAX BENEFIT................ 65,883 64,277 52,070
Income tax benefit........................ (11,610) (8,753) (9,614)
-------------------------------
Income from continuing operations......... 77,493 73,030 61,684
Loss from discontinued operations,
net of income tax benefit................ -- -- (13,025)
-------------------------------
NET INCOME................................ $ 77,493 $73,030 $ 48,659
===============================
57
Hawaiian Electric Industries, Inc.
SCHEDULE I-- CONDENSED FINANCIAL INFORMATION OF REGISTRANT (CONTINUED)
HAWAIIAN ELECTRIC INDUSTRIES, INC. (PARENT COMPANY)
CONDENSED STATEMENTS OF CASH FLOWS
Years ended December 31,
-----------------------------------
(in thousands) 1995 1994 1993
- -------------------------------------------------------------------------------------------------------
CASH FLOWS FROM OPERATING ACTIVITIES
Income from continuing operations.................................. $ 77,493 $ 73,030 $ 61,684
Adjustments to reconcile income from
continuing operations to net cash
provided by operating activities
Equity in income from continuing
operations of subsidiaries...................................... (89,198) (84,819) (74,764)
Common stock dividends received
from subsidiaries............................................... 51,435 43,909 53,305
Depreciation and amortization of
property, plant and equipment................................... 491 587 569
Other amortization............................................... 239 209 294
Deferred income taxes and tax credits, net....................... (1,236) 367 232
Changes in assets and liabilities
Decrease (increase) in accounts receivable...................... 161 4,114 (6,211)
Increase (decrease) in accounts payable......................... (2,094) 385 (16,506)
Changes in other assets and liabilities......................... 1,880 (15,485) 34,733
-----------------------------------
39,171 22,297 53,336
Cash flows from discontinued operations............................ -- 36 2,525
-----------------------------------
NET CASH PROVIDED BY OPERATING ACTIVITIES.......................... 39,171 22,333 55,861
-----------------------------------
CASH FLOWS FROM INVESTING ACTIVITIES
Net decrease (increase) in advances to and
notes receivable from subsidiaries................................ (12,880) (16,141) 8,756
Capital expenditures............................................... (486) (177) (193)
Additional investments in subsidiaries............................. (39,610) (25,510) (65,000)
Other.............................................................. (2) -- 50
-----------------------------------
NET CASH USED IN INVESTING ACTIVITIES.............................. (52,978) (41,828) (56,387)
-----------------------------------
CASH FLOWS FROM FINANCING ACTIVITIES
Net increase (decrease) in advances from
subsidiaries with original maturities
of three months or less........................................... (2,293) 2,293 (185)
Repayment of other short-term borrowings........................... -- -- (36,000)
Net increase in commercial paper................................... 32,643 12,750 --
Proceeds from issuance of long-term debt........................... 30,000 35,000 37,000
Repayment of long-term debt........................................ (16,000) (26,000) (22,500)
Net proceeds from issuance of common stock......................... 19,322 13,602 88,658
Common stock dividends............................................. (49,415) (47,676) (42,012)
Other.............................................................. -- (2,634) 1,949
-----------------------------------
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES................ 14,257 (12,665) 26,910
-----------------------------------
Net increase (decrease) in cash and equivalents................... 450 (32,160) 26,384
Cash and equivalents, beginning of year............................ 223 32,383 5,999
-----------------------------------
CASH AND EQUIVALENTS, END OF YEAR.................................. $ 673 $ 223 $ 32,383
===================================
Supplemental disclosures of noncash activities:
In 1995 and 1994, $1.3 million and $16.9 million, respectively, of HEI
advances to HEIDI were converted to equity in a noncash transaction.
Common stock dividends reinvested by stockholders in HEI common stock in
noncash transactions amounted to $20 million in 1995, $18 million in 1994 and
$17 million in 1993.
58
Hawaiian Electric Industries, Inc.
and Hawaiian Electric Company, Inc.
SCHEDULE II -- VALUATION AND QUALIFYING ACCOUNTS
Years ended December 31, 1995, 1994 and 1993
===================================================================================================================================
Col. A Col. B Col. C Col. D Col. E
- -----------------------------------------------------------------------------------------------------------------------------------
Additions
--------------------------------
Charged to
Balance at costs and Balance at
beginning of other Charged to end of
(in thousands) period expenses accounts Deductions period
- -----------------------------------------------------------------------------------------------------------------------------------
1995
----
Allowance for uncollectible
accounts
Hawaiian Electric Company,
Inc. and subsidiaries....... $ 1,136 $ 2,492 $ 1,266 $ 3,793 $ 1,101
Other companies............... 280 400 -- 38 642
--------- --------- --------- --------- ---------
$ 1,416 $ 2,892 $ 1,266(a) $ 3,831(b) $ 1,743
========= ========= ========= ========= =========
Allowance for uncollectible
interest (ASB)................ $ 1,101 $ 172 $ -- $ -- $ 1,273
========= ========= ========= ========= =========
Allowance for losses
for loans receivable (ASB).... $ 8,793 $ 4,887 $ 392(a) $ 1,156(b) $ 12,916
========= ========= ========= ========= =========
1994
----
Allowance for uncollectible
accounts
Hawaiian Electric Company,
Inc. and subsidiaries....... $ 1,357 $ 2,177 $ 674 $ 3,072 $ 1,136
Other companies............... 220 130 2 72 280
--------- --------- --------- --------- ---------
$ 1,577 $ 2,307 $ 676(a) $ 3,144(b) $ 1,416
========= ========= ========= ========= =========
Allowance for uncollectible
interest (ASB)................ $ 341 $ 760 $ -- $ -- $ 1,101
========= ========= ========= ========= =========
Allowance for losses for
loans receivable (ASB)........ $ 5,314 $ 3,983 $ 67(a) $ 571(b) $ 8,793
========= ========= ========= ========= =========
1993
----
Allowance for uncollectible
accounts
Hawaiian Electric Company,
Inc. and subsidiaries...... $ 1,120 $ 1,521 $ 815 $ 2,099 $ 1,357
Other companies............... 172 155 1 108 220
--------- --------- --------- --------- ---------
$ 1,292 $ 1,676 $ 816(a) $ 2,207(b) $ 1,577
========= ========= ========= ========= =========
Allowance for uncollectible
interest (ASB)................ $ 482 $ -- $ -- $ 141 $ 341
========= ========= ========= ========= =========
Allowance for losses for
loans receivable (ASB)........ $ 5,157 $ 779 $ 36(a) $ 658(b) $ 5,314
========= ========= ========= ========= =========
(a) Primarily bad debts recovered.
(b) Bad debts charged off.
59
INDEX TO EXHIBITS
The exhibits designated by an asterisk (*) are filed herein. The exhibits not so
designated are incorporated by reference to the indicated filing. A copy of any
exhibit may be obtained upon written request for a $0.20 per page charge from
the HEI Stock Transfer Division, P.O. Box 730, Honolulu, Hawaii 96808-0730.
EXHIBIT NO. DESCRIPTION
- ----------- -----------
HEI:
- ----
3(i).1 HEI's Restated Articles of Incorporation (Exhibit 4(b) to
Registration No. 33-7895).
3(i).2 Articles of Amendment of HEI filed June 30, 1990 (Exhibit 4(b)
to Registration No. 33-40813).
3(ii) HEI's By-Laws (Exhibit 4(c) to Registration No. 33-21761).
4.1 Agreement to provide the SEC with instruments which define the
rights of holders of certain long-term debt of HEI and its
subsidiaries (Exhibit 4.1 to HEI's Annual Report on Form 10-K for
the fiscal year ended December 31, 1992, File No. 1-8503).
4.2 Indenture, dated as of October 15, 1988, between HEI and
Citibank, N.A., as Trustee (Exhibit 4 to Registration No. 33-
25216).
4.3 First Supplemental Indenture dated as of June 1, 1993 between HEI
and Citibank, N.A., as Trustee, to Indenture dated as of October
15, 1988 between HEI and Citibank, N.A., as Trustee (Exhibit 4(a)
to HEI's Quarterly Report on Form 10-Q for the quarter ended
September 30, 1993, File No. 1-8503).
4.4 Officers' Certificate dated as of November 9, 1988, pursuant to
Sections 102 and 301 of the Indenture, dated as of October 15,
1988, between HEI and Citibank, N.A., as Trustee, establishing
Medium-Term Notes, Series A (Exhibit 4.2 to HEI's Annual Report
on Form 10-K for the fiscal year ended December 31, 1988, File
No. 1-8503).
4.5 Pricing Supplements Nos. 1 through 11 to the Registration
Statement on Form S-3 of HEI (Registration No. 33-25216) filed in
connection with the sale of Medium-Term Notes, Series A (filed
under Rule 424(b) in connection with Registration No. 33-25216).
4.6 Pricing Supplements Nos. 1 through 9 to the Registration
Statement on Form S-3 of HEI (Registration No. 33-58820) filed in
connection with the sale of Medium-Term Notes, Series B (Exhibit
4(b) to HEI's Quarterly Report on Form 10-Q for the quarter ended
September 30, 1993, File No. 1-8503).
4.7 Pricing Supplement No. 10 to Registration Statement on Form S-3
of HEI (Registration No. 33-58820) filed in connection with the
sale of Medium-Term Notes, Series B (Exhibit 4.7 to HEI's Annual
Report on Form 10-K for the fiscal year ended December 31, 1994,
File No. 1-8503).
4.8 Pricing Supplement No. 11 to Registration Statement on Form S-3
of HEI (Registration No. 33-58820) filed on December 1, 1995 in
connection with the sale of Medium-Term Notes, Series B (Exhibit
4.8 to HEI's Annual Report on Form 10-K for the fiscal year ended
December 31, 1995, File No. 1-8503).
4.9 Pricing Supplement No. 12 to Registration Statement on Form S-3
of HEI (Registration No. 33-58820) filed on February 12, 1996 in
connection with the sale of Medium-Term Notes, Series B (Exhibit
4.9 to HEI's Annual Report on Form 10-K for the fiscal year ended
December 31, 1995, File No. 1-8503).
60
EXHIBIT NO. DESCRIPTION
- ----------- -----------
4.10 Purchase Agreement dated March 7, 1991 among HEI and the
Purchasers named therein, together with the Notes issued to such
Purchasers, each dated March 7, 1991, pursuant to the Purchase
Agreement (Exhibit 4.5 to HEI's Annual Report on Form 10-K for
the fiscal year ended December 31, 1990, File No. 1-8503).
4.11 Composite conformed copy of the Note Purchase Agreement dated as
of December 16, 1991 among HEI and the Purchasers named therein
(Exhibit 4.6 to HEI's Annual Report on Form 10-K for the fiscal
year ended December 31, 1991, File No. 1-8503).
10.1 PUC Order Nos. 7070, 7153, 7203 and 7256 in Docket No. 4337,
including copy of "Conditions for the Merger and Corporate
Restructuring of Hawaiian Electric Company, Inc." dated September
23, 1982 (Exhibit 10 to Amendment No. 1 to Form U-1).
10.2 Regulatory Capital Maintenance/Dividend Agreement dated May 26,
1988, between HEI, HEIDI and the Federal Savings and Loan
Insurance Corporation (by the Federal Home Loan Bank of Seattle)
(Exhibit (28)-2 to HEI's Current Report on Form 8-K dated May 26,
1988, File No. 1-8503).
10.2(a) OTS letter regarding release from Part II.B. of the Regulatory
Capital Maintenance/Dividend Agreement dated May 26, 1988
(Exhibit 10.3(a) to HEI's Annual Report on Form 10-K for the
fiscal year ended December 31, 1992, File No. 1-8503).
10.3 Executive Incentive Compensation Plan (Exhibit 10(a) to HEI's
Annual Report on Form 10-K for the fiscal year ended December 31,
1987, File No. 1-8503).
10.4 HEI Executive's Deferred Compensation Plan (Exhibit 10.5 to HEI's
Annual Report on Form 10-K for the fiscal year ended December 31,
1990, File No. 1-8503).
10.5 Retirement Benefit Agreement--Andrew T. F. Ing and HEI (Exhibit
10(b) to HEI's Annual Report on Form 10-K for the fiscal year
ended December 31, 1987, File No. 1-8503).
10.6 1987 Stock Option and Incentive Plan of HEI as amended and
restated effective April 21, 1992 (Exhibit A to Proxy Statement
of HEI, dated March 6, 1992, for the Annual Meeting of
Stockholders, File No. 1-8503).
10.7 HEI Long-Term Incentive Plan (Exhibit 10.11 to HEI's Annual
Report on Form 10-K for the fiscal year ended December 31, 1988,
File No. 1-8503).
10.8 HEI Supplemental Executive Retirement Plan effective January 1,
1990 (Exhibit 10.9 to HEI's Annual Report on Form 10-K for the
fiscal year ended December 31, 1990, File No. 1-8503).
10.9 HEI Excess Benefit Plan (Exhibit 10.13 (Exhibit A) to HEI's
Annual Report on Form 10-K for the fiscal year ended December 31,
1989, File No. 1-8503).
10.10 Change-in-Control Agreement (Exhibit 10.14 to HEI's Annual Report
on Form 10-K for the fiscal year ended December 31, 1989, File
No. 1-8503).
10.11 Nonemployee Director Retirement Plan, effective as of October 1,
1989 (Exhibit 10.15 to HEI's Annual Report on Form 10-K for the
fiscal year ended December 31, 1989, File No. 1-8503).
61
EXHIBIT NO. DESCRIPTION
- ----------- -----------
10.12 HEI 1990 Nonemployee Director Stock Plan (Exhibit 10(a) to HEI's
Quarterly Report on Form 10-Q for the quarter ended September 30,
1990, File No. 1-8503).
10.13 HEI Nonemployee Directors' Deferred Compensation Plan (Exhibit
10.14 to HEI's Annual Report on Form 10-K for the fiscal year
ended December 31, 1990, File No. 1-8503).
10.14 HEI and HECO Executives' Deferred Compensation Agreement. The
agreement pertains to and is substantially identical for all the
HEI and HECO executive officers (Exhibit 10.15 to HEI's Annual
Report on Form 10-K for the fiscal year ended December 31, 1991,
File No. 1-8503).
10.15 Settlement Agreement and General Release made and entered into on
February 10, 1994, by and between the Insurance Commissioner as
Rehabilitator/Liquidator, HIG and its subsidiaries, the Hawaii
Insurance Guaranty Association, HEI, HEIDI and others. (Exhibit
10.20 to HEI's Annual Report on Form 10-K for the fiscal year
ended December 31, 1993, File No. 1-8503).
*11 Computation of Earnings per Share of Common Stock. Filed herein
as page 67.
*12 Computation of Ratio of Earnings to Fixed Charges. Filed herein
as pages 68 and 69.
13 Pages 25 to 62 of HEI's 1995 Annual Report to Stockholders (with
the exception of the data incorporated by reference in Part I,
Part II, Part III and Part IV, no other data appearing in the
1995 Annual Report to Stockholders is to be deemed filed as part
of this Form 10-K Annual Report) (Exhibit 13 to HEI's Current
Report on Form 8-K dated February 21, 1996, File No. 1-8503).
*21 Subsidiaries of HEI. Filed herein as page 71.
*23 Consent of Independent Auditors. Filed herein as page 73.
27.1 HEI and subsidiaries financial data schedule, December 31, 1995
and year ended December 31, 1995 (Exhibit 27.1 to HEI's Annual
Report on Form 10-K for the fiscal year ended December 31, 1995,
File No. 1-8503).
HECO:
- -----
3(i).1 HECO's Certificate of Amendment of Articles of Incorporation
(filed June 30, 1987) (Exhibit 3.1 to HECO's Annual Report on
Form 10-K for the fiscal year ended December 31, 1988, File No.
1-4955).
3(i).2 Statement of Issuance of Shares of Preferred or Special Classes
in Series for HECO Series R Preferred Stock filed December 15,
1989 (Exhibit 3.1(a) to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1989, File No. 1-4955).
3(i).3 Articles of Amendment to HECO's Amended Articles of Incorporation
filed December 21, 1989 (Exhibit 3.1(b) to HECO's Annual Report
on Form 10-K for the fiscal year ended December 31, 1989, File No
1-4955).
3(ii) HECO's By-Laws (Exhibit 3.2 to HECO's Annual Report on Form 10-K
for the fiscal year ended December 31, 1988, File No. 1-4955).
4.1 Agreement to provide the SEC with instruments which define the
rights of holders of certain long-term debt of HECO, HELCO and
MECO (Exhibit 4 to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1988, File No. 1-4955).
4.2 Indenture dated as of December 1, 1993 between HECO and The Bank
of New York, as Trustee (Exhibit 4(a) to Registration No. 33-
51025).
62
EXHIBIT NO. DESCRIPTION
- ----------- -----------
4.3 Indenture dated as of December 1, 1993 among MECO, HECO, as
guarantor, and The Bank of New York, as Trustee (Exhibit 4(b) to
Registration No. 33-51025).
4.4 Indenture dated as of December 1, 1993 among HELCO, HECO, as
guarantor, and The Bank of New York, as Trustee (Exhibit 4(c) to
Registration No. 33-51025).
4.5 Officers' Certificate dated as of December 22, 1993, pursuant to
Sections 102 and 301 of the Indenture dated as of December 1,
1993 between HECO and The Bank of New York, as Trustee,
establishing the $20,000,000 Notes, 5.15% Series Due 1996
(Exhibit 4.5 to HECO's Annual Report on Form 10-K for the fiscal
year ended December 31, 1993, File No. 1-4955)
4.6 Officers' Certificate dated as of December 22, 1993, pursuant to
Sections 102 and 301 of the Indenture dated as of December 1,
1993 between HECO and The Bank of New York, as Trustee,
establishing the $30,000,000 Notes, 5.83% Series Due 1998
(Exhibit 4.6 to HECO's Annual Report on Form 10-K for the fiscal
year ended December 31, 1993, File No. 1-4955).
4.7 Officers' Certificate dated as of December 22, 1993, pursuant to
Sections 102 and 301 of the Indenture dated as of December 1,
1993 among MECO, HECO, as guarantor, and The Bank of New York, as
Trustee, establishing the $10,000,000 Notes, 5.15% Series Due
1996 (Exhibit 4.7 to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1993, File No. 1-4955).
4.8 Officers' Certificate dated as of December 22, 1993, pursuant to
Sections 102 and 301 of the Indenture dated as of December 1,
1993 among HELCO, HECO, as guarantor, and The Bank of New York,
as Trustee, establishing the $10,000,000 Notes, 4.85% Series Due
1995 (Exhibit 4.8 to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1993, File No. 1-4955).
10.1 Power Purchase Agreement between Kalaeloa Partners, L.P., and
HECO dated October 14, 1988 (Exhibit 10(a) to HECO's Quarterly
Report on Form 10-Q for the quarter ended September 30, 1988,
File No. 1-4955).
10.1(a) Amendment No. 1 to Power Purchase Agreement between HECO and
Kalaeloa Partners, L.P., dated June 15, 1989 (Exhibit 10(c) to
HECO's Quarterly Report on Form 10-Q for the quarter ended June
30, 1989, File No. 1-4955).
10.1(b) Lease Agreement between Kalaeloa Partners, L.P., as Lessor, and
HECO, as Lessee, dated February 27, 1989 (Exhibit 10(d) to HECO's
Quarterly Report on Form 10-Q for the quarter ended June 30,
1989, File No. 1-4955).
10.1(c) Restated and Amended Amendment No. 2 to Power Purchase Agreement
between HECO and Kalaeloa Partners, L.P., dated February 9, 1990
(Exhibit 10.2(c) to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1989, File No. 1-4955).
10.1(d) Agreement to Extend the "Cancellation Window" in the Kalaeloa
Power Purchase Agreement dated June 21, 1990 (Exhibit 10(e) to
HECO's Quarterly Report on Form 10-Q for the quarter ended June
30, 1990, File No. 1-4955).
10.1(e) Amendment No. 3 to Power Purchase Agreement between HECO and
Kalaeloa Partners, L.P., dated December 10, 1991 (Exhibit 10.2(e)
to HECO's Annual Report on Form 10-K for the fiscal year ended
December 31, 1991, File No. 1-4955).
63
EXHIBIT NO. DESCRIPTION
- ----------- -----------
10.2 Purchase Power Agreement between AES Barbers Point, Inc. and
HECO, entered into on March 25, 1988 (Exhibit 10(a) to HECO's
Quarterly Report on Form 10-Q for the quarter ended March 31,
1988, File No. 1-4955).
10.2(a) Agreement between HECO and AES Barbers Point, Inc., pursuant to
letters dated May 10, 1988 and April 20, 1988 (Exhibit 10.4 to
HECO's Annual Report on Form 10-K for fiscal year ended December
31, 1988, File No. 1-4955).
10.2(b) Amendment No. 1 to the Purchase Power Agreement between AES
Barbers Point, Inc. and HECO (Exhibit 10 to HECO's Quarterly
Report on Form 10-Q for the quarter ended September 30, 1989,
File No. 1-4955).
10.2(c) HECO's Conditional Notice of Acceptance to AES Barbers Point,
Inc. dated January 15, 1990 (Exhibit 10.3(c) to HECO's Annual
Report on Form 10-K for the fiscal year ended December 31, 1989,
File No. 1-4955).
10.3 Amended and Restated Power Purchase Agreement between Hilo Coast
Processing Company and HELCO dated March 24, 1995 (Exhibit 10 to
HECO's Quarterly Report on Form 10-Q for the quarter ended March
31, 1995, File No. 1-4955).
10.4 Agreement between MECO and Hawaiian Commercial & Sugar Company
pursuant to letters dated November 29, 1988 and November 1, 1988
(Exhibit 10.8 to HECO's Annual Report on Form 10-K for the fiscal
year ended December 31, 1988, File No. 1-4955).
10.4(a) Amended and Restated Power Purchase Agreement by and between A&B-
Hawaii, Inc., through its division, Hawaiian Commercial & Sugar
Company, and MECO, dated November 30, 1989 (Exhibit 10(e) to
HECO's Quarterly Report on Form 10-Q for the quarter ended
September 30, 1990, File No. 1-4955).
10.4(b) First Amendment to Amended and Restated Power Purchase Agreement
by and between A&B-Hawaii, Inc., through its division, Hawaiian
Commercial & Sugar Company, and MECO, dated November 1, 1990,
amending the Amended and Restated Power Purchase Agreement dated
November 30, 1989 (Exhibit 10(f) to HECO's Quarterly Report on
Form 10-Q for the quarter ended September 30, 1990, File No. 1-
4955).
10.5 Purchase Power Contract between HELCO and Thermal Power Company,
dated March 24, 1986 (Exhibit 10(a) to HECO's Quarterly Report on
Form 10-Q for the quarter ended June 30, 1989, File No. 1-4955).
10.5(a) Firm Capacity Amendment between HELCO and Puna Geothermal Venture
(assignee of AMOR VIII, who is the assignee of Thermal Power
Company), dated July 28, 1989, amending Purchase Power Contract
between HELCO and Thermal Power Company, dated March 24, 1986
(Exhibit 10(b) to HECO's Quarterly Report on Form 10-Q for the
quarter ended June 30, 1989, File No. 1-4955).
10.5(b) Performance Agreement and Fourth Amendment, dated February 12,
1996, to the Purchase Power Contract dated March 24, 1986 as
Amended between HELCO and Puna Geothermal Venture. (Exhibit
10.5(b) to HECO's Annual Report on Form 10-K for the fiscal year
ended December 31, 1995, File No. 1-4955).
10.6 Purchase Power Contract between HECO and the City and County of
Honolulu dated March 10, 1986 (Exhibit 10.9 to HECO's Annual
Report on Form 10-K for the fiscal year ended December 31, 1989,
File No. 1-4955).
64
EXHIBIT NO. DESCRIPTION
- ----------- -----------
10.6(a) Firm Capacity Amendment, dated April 8, 1991, to Purchase Power
Contract, dated March 10, 1986, by and between HECO and the City
& County of Honolulu (Exhibit 10 to HECO's Quarterly Report on
Form 10-Q for the quarter ended March 31, 1991, File No. 1-4955).
10.7 Purchase Power Contract between MECO and Zond Pacific, Inc.,
dated May 24, 1991 (Exhibit 10 to HECO's Quarterly Report on Form
10-Q for the quarter ended June 30, 1991, File No. 1-4955).
*10.8 Low Sulfur Fuel Oil Supply Contract by and between CUSA and HECO
dated as of November 20, 1995.
(Confidential treatment has been requested for portions of this
Exhibit.)
*10.9 Inter-Island Industrial Fuel Oil and Diesel Fuel Contract by and
between CUSA and HECO, MECO, HELCO, HTB and YB dated as of
November 20, 1995.
(Confidential treatment has been requested for portions of this
Exhibit.)
10.10 Facilities and Operating Contract by and between CUSA and HECO
dated as of November 20, 1995. (Exhibit 10.10 to HECO's Annual
Report on Form 10-K for the fiscal year ended December 31, 1995,
File No. 1-4955).
*10.11 Low Sulfur Fuel Oil Supply Contract between BHP and HECO dated
December 5, 1995.
(Confidential treatment has been requested for portions of this
Exhibit.)
*10.12 Inter-Island Industrial Fuel Oil and Diesel Fuel Oil Contract by
and between BHP and HECO, MECO and HELCO dated December 5, 1995.
(Confidential treatment has been requested for portions of this
Exhibit.)
10.13 Low Sulfur Fuel Oil Sale/Purchase Contract between HECO and C.
Itoh & Co. (America), Inc. dated June 7, 1990 (Exhibit 10(c) to
HECO's Quarterly Report on Form 10-Q for the quarter ended June
30, 1990, File No. 1-4955).
10.14 Contract of private carriage by and between HITI and HELCO dated
November 10, 1993 (Exhibit 10.13 to HECO's Annual Report on Form
10-K for the fiscal year ended December 31, 1993, File No. 1-
4955).
10.14(a) Extension, dated December 18, 1995, of the contract of private
carriage by and between HITI and HELCO dated November 10, 1993.
(Exhibit 10.14(a) to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1995, File No. 1-4955).
10.15 Contract of private carriage by and between HITI and MECO dated
November 12, 1993 (Exhibit 10.14 to HECO's Annual Report on Form
10-K for the fiscal year ended December 1, 1993, File No. 1-
4955).
10.15(a) Extension, dated December 18, 1995, of the contract of private
carriage by and between HITI and MECO dated November 12, 1993.
(Exhibit 10.15(a) to HECO's Annual Report on Form 10-K for the
fiscal year ended December 31, 1995, File No. 1-4955).
10.16 HECO Nonemployee Directors' Deferred Compensation Plan (Exhibit
10.16 to HECO's Annual Report on Form 10-K for the fiscal year
ended December 31, 1990, File No. 1-4955).
10.17 HEI and HECO Executives' Deferred Compensation Agreement. The
agreement pertains to and is substantially identical for all the
HEI and HECO executive officers (Exhibit 10.15 to HEI's Annual
Report on Form 10-K for the fiscal year ended December 31, 1991,
File No. 1-8503).
11 Computation of Earnings Per Share of Common Stock. See note on
page 2 of HECO's 1995 Annual Report to Stockholder (HECO Exhibit
13).
*12 Computation of Ratio of Earnings to Fixed Charges. Filed herein
as page 70.
65
EXHIBIT NO. DESCRIPTION
- ----------- -----------
13 Pages 2 to 31 and 33 of HECO's 1995 Annual Report to Stockholder
(with the exception of the data incorporated by reference in Part
I, Part II, Part III and Part IV, no other data appearing in the
1995 Annual Report to Stockholder is to be deemed filed as part
of this Form 10-K Annual Report) (Exhibit 13 to HECO's Annual
Report on Form 10-K for the fiscal year ended December 31, 1995,
File No. 1-4955).
*21 Subsidiaries of HECO. Filed herein as page 72.
27.2 HECO and subsidiaries financial data schedule, December 31, 1995
and year ended December 31, 1995 (Exhibit 27.2 to HECO's Annual
Report on Form 10-K for the fiscal year ended December 31, 1995,
File No. 1-4955).
*99 Reconciliation of electric utility operating income per HEI and
HECO Consolidated Statements of Income. Filed herein as page 74.
66
HEI Exhibit 11
Hawaiian Electric Industries, Inc.
COMPUTATION OF EARNINGS PER SHARE
OF COMMON STOCK
Years ended December 31, 1995, 1994, 1993, 1992 and 1991
(in thousands,
except per share amounts) 1995 1994 1993 1992 1991
- ----------------------------------------------------------------------------------------------
NET INCOME (LOSS)
Continuing operations.................. $77,493 $73,030 $ 61,684 $ 61,715 $55,620
Discontinued operations................ -- -- (13,025) (73,297) (794)
------- ------- -------- -------- -------
$77,493 $73,030 $ 48,659 $(11,582) $54,826
======= ======= ======== ======== =======
WEIGHTED AVERAGE NUMBER OF COMMON
SHARES OUTSTANDING.................... 29,187 28,137 25,938 24,275 22,882
======= ======= ======== ======== =======
EARNINGS (LOSS) PER COMMON SHARE
Continuing operations.................. $ 2.66 $ 2.60 $ 2.38 $ 2.54 $ 2.43
Discontinued operations................ -- -- (0.50) (3.02) (0.03)
------- ------- -------- -------- -------
$ 2.66 $ 2.60 $ 1.88 $ (0.48) $ 2.40
======= ======= ======== ======== =======
Note: The dilutive effect of stock options is not material.
67
HEI Exhibit 12 (page 1 of 2)
Hawaiian Electric Industries, Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Years ended December 31, 1995, 1994, 1993, 1992 and 1991
1995 1994 1993
------------------------ -------------------- -------------------
(dollars in thousands) (1) (2) (1) (2) (1) (2)
---------------------------------------------------------------------------------------------------------
FIXED CHARGES
Total interest charges
The Company (3)................. $117,494 $206,790 $ 82,306 $158,815 $ 68,254 $145,905
Proportionate share of
fifty-percent-owned persons... 867 867 539 539 564 564
Interest component of rentals.... 3,857 3,857 3,819 3,819 3,944 3,944
Pretax preferred stock dividend
requirements of subsidiaries.... 11,433 11,433 11,899 11,899 11,018 11,018
-------- -------- -------- -------- -------- --------
TOTAL FIXED CHARGES.............. $133,651 $222,947 $ 98,563 $175,072 $ 83,780 $161,431
======== ======== ======== ======== ======== ========
EARNINGS
Pretax income from continuing
operations...................... $133,233 $133,233 $126,049 $126,049 $108,770 $108,770
Fixed charges, as shown.......... 133,651 222,947 98,563 175,072 83,780 161,431
Interest capitalized
The Company..................... (6,337) (6,337) (4,924) (4,924) (3,881) (3,881)
Proportionate share of
fifty-percent-owned persons.... (867) (867) (539) (539) (408) (408)
-------- -------- -------- -------- -------- --------
EARNINGS AVAILABLE FOR FIXED
CHARGES......................... $259,680 $348,976 $219,149 $295,658 $188,261 $265,912
======== ======== ======== ======== ======== ========
RATIO OF EARNINGS TO FIXED CHARGES 1.94 1.57 2.22 1.69 2.25 1.65
======== ======== ======== ======== ======== ========
(1) Excluding interest on ASB deposits.
(2) Including interest on ASB deposits.
(3) Total interest charges exclude interest on nonrecourse debt from leveraged
leases which is not included in interest expense in HEI's consolidated
statements of income.
68
HEI Exhibit 12 (page 2 of 2)
Hawaiian Electric Industries, Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Years ended December 31, 1995, 1994, 1993, 1992 and 1991--Continued
1992 1991
-------------------- ------------------------
(dollars in thousands) (1) (2) (1) (2)
--------------------------------------------------------------------------------------
FIXED CHARGES
Total interest charges
The Company (3)................... $ 67,559 $161,756 $ 69,957 $168,691
Proportionate share of
fifty-percent-owned persons..... 1,051 1,051 1,875 1,875
Interest component of rentals...... 3,254 3,254 2,231 2,231
Pretax preferred stock dividend
requirements of subsidiaries...... 9,606 9,606 10,449 10,449
-------- -------- -------- --------
TOTAL FIXED CHARGES................ $ 81,470 $175,667 $ 84,512 $183,246
======== ======== ======== ========
EARNINGS
Pretax income from continuing
operations........................ $ 91,244 $ 91,244 $ 87,953 $ 87,953
Undistributed earnings from less
than fifty-percent-owned persons.. (244) (244) (278) (278)
Fixed charges, as shown............ 81,470 175,667 84,512 183,246
Interest capitalized
The Company....................... (2,104) (2,104) (1,945) (1,945)
Proportionate share of
fifty-percent-owned persons...... (803) (803) (1,875) (1,875)
-------- -------- -------- --------
EARNINGS AVAILABLE FOR FIXED
CHARGES........................... $169,563 $263,760 $168,367 $267,101
======== ======== ======== ========
RATIO OF EARNINGS TO FIXED CHARGES. 2.08 1.50 1.99 1.46
======== ======== ======== ========
(1) Excluding interest on ASB deposits.
(2) Including interest on ASB deposits.
(3) Total interest charges exclude interest on nonrecourse debt from leveraged
leases which is not included in interest expense in HEI's consolidated
statements of income.
69
HECO Exhibit 12
Hawaiian Electric Company, Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Years ended December 31, 1995, 1994, 1993, 1992 and 1991
(dollars in thousands) 1995 1994 1993 1992 1991
- ---------------------------------------------------------------------------------------------------
FIXED CHARGES
Total interest charges................. $ 44,377 $ 37,340 $ 35,287 $ 33,011 $ 33,248
Interest component of rentals.......... 672 808 970 1,070 1,130
Pretax preferred stock dividend
requirements of subsidiaries......... 4,494 4,651 3,425 3,117 3,409
-----------------------------------------------------------
TOTAL FIXED CHARGES.................... $ 49,543 $ 42,799 $ 39,682 $ 37,198 $ 37,787
===========================================================
EARNINGS
Income before preferred stock
dividends of HECO.................... $ 77,023 $ 65,961 $ 56,126 $ 53,678 $ 46,210
Fixed charges, as shown................ 49,543 42,799 39,682 37,198 37,787
Income taxes (see note below).......... 50,198 43,588 36,897 23,843 23,816
Allowance for borrowed funds used
during construction.................. (5,112) (4,043) (3,869) (2,095) (1,307)
-----------------------------------------------------------
EARNINGS AVAILABLE FOR FIXED CHARGES... $171,652 $148,305 $128,836 $112,624 $106,506
===========================================================
RATIO OF EARNINGS TO FIXED CHARGES..... 3.46 3.47 3.25 3.03 2.82
===========================================================
NOTE:
Income taxes is comprised of the
following
Income tax expense relating to
operating income for regulatory
purposes.......................... $ 50,719 $ 43,820 $ 37,007 $ 26,254 $ 24,137
Income tax benefit relating to
nonoperating loss................. (521) (232) (110) (2,411) (321)
-----------------------------------------------------------
$ 50,198 $ 43,588 $ 36,897 $ 23,843 $ 23,816
===========================================================
70
HEI Exhibit 21
Hawaiian Electric Industries, Inc.
SUBSIDIARIES OF THE REGISTRANT
The following is a list of all subsidiary corporations of the registrant as of
March 19, 1996:
Name Place of incorporation
- --------------------------------------------------------------------------------
Hawaiian Electric Company,
Inc., including subsidiaries Maui Electric
Company, Limited and Hawaii Electric
Light Company, Inc. ......................... State of Hawaii
HEI Investment Corp. ......................... State of Hawaii
Lalamilo Ventures, Inc. ...................... State of Hawaii
Malama Pacific Corp., including subsidiaries
Malama Waterfront Corp., Malama Property
Investment Corp., Malama Development
Corp., Malama Realty Corp., Malama Elua
Corp., TMG Service Corp., Malama Hoaloha
Corp., Malama Mohala Corp. and Baldwin*Malama
(a limited partnership in which Malama
Development Corp. is the sole general
partner)..................................... State of Hawaii
Hawaiian Tug & Barge
Corp., including subsidiary Young Brothers,
Limited...................................... State of Hawaii
HEI Diversified, Inc.,
including subsidiary American Savings Bank,
F.S.B. and its subsidiaries, American State of Hawaii (except
Savings Investment Services Corp., ASB American Savings Bank,
Service Corporation, AdCommunications, Inc. F.S.B., which is federally
and Associated Mortgage, Inc. ............... chartered)
Pacific Energy Conservation Services, Inc. ... State of Hawaii
HEI Power Corp. .............................. State of Hawaii
71
HECO Exhibit 21
Hawaiian Electric Company, Inc.
SUBSIDIARIES OF THE REGISTRANT
The following is a list of all subsidiary corporations of the registrant as of
March 19, 1996:
Name Place of incorporation
- --------------------------------------------------------------------------------
Maui Electric Company, Limited................ State of Hawaii
Hawaii Electric Light Company, Inc. .......... State of Hawaii
72
[KPMG Peat Marwick letterhead]
HEI Exhibit 23
The Board of Directors
Hawaiian Electric Industries, Inc.:
We consent to incorporation by reference in Registration Statement Nos. 33-56561
and 33-58820 on Form S-3 and in Registration Statement Nos. 33-65234 and 33-
52911 on Form S-8 of Hawaiian Electric Industries, Inc. of our report dated
January 25, 1996, relating to the consolidated balance sheets of Hawaiian
Electric Industries, Inc. and subsidiaries as of December 31, 1995 and 1994, and
the related consolidated statements of income, retained earnings and cash flows
for each of the years in the three-year period ended December 31, 1995, which
report is incorporated by reference in the 1995 annual report on Form 10-K of
Hawaiian Electric Industries, Inc. We also consent to incorporation by reference
of our report dated January 25, 1996 relating to the financial statement
schedules of Hawaiian Electric Industries, Inc. in the aforementioned 1995
annual report on Form 10-K, which report is included in said Form 10-K.
/s/ KPMG Peat Marwick LLP
Honolulu, Hawaii
March 19, 1996
73
HECO Exhibit 99
Hawaiian Electric Company, Inc.
RECONCILIATION OF ELECTRIC UTILITY OPERATING
INCOME PER HEI AND HECO CONSOLIDATED
STATEMENTS OF INCOME
Years ended December 31,
-----------------------------------
(in thousands) 1995 1994 1993
- ---------------------------------------------------------------------------
[S] [C] [C] [C]
Operating income from regulated
and nonregulated activities
before income taxes (per HEI
Consolidated Statements of Income).... $159,043 $136,628 $119,565
Deduct:
Income taxes on regulated activities.. (50,719) (43,820) (37,007)
Revenues from nonregulated activities. (6,732) (6,411) (5,100)
Add:
Expenses from nonregulated activities. 1,130 915 627
-----------------------------------
Operating income from regulated
activities after income taxes
(per HECO Consolidated Statements
of Income)............................ $102,722 $ 87,312 $ 78,085
===================================
74
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the registrants have duly caused this report to be signed on their
behalf by the undersigned, thereunto duly authorized. The signatures of the
undersigned companies shall be deemed to relate only to matters having reference
to such companies and any subsidiaries thereof.
HAWAIIAN ELECTRIC INDUSTRIES, INC. HAWAIIAN ELECTRIC COMPANY, INC.
(Registrant) (Registrant)
By /s/ Curtis Y. Harada By /s/ Paul Oyer
---------------------- ---------------------
Curtis Y. Harada Paul A. Oyer
Financial Vice President,
Controller of HEI Treasurer and Director of HECO
(Principal Accounting Officer (Principal Financial Officer
of HEI) of HECO)
Date: April 30, 1996 Date: April 30, 1996
75