11-K 1 k63482e11-k.txt FORM 11-K 1 FORM 11-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 [X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED] For the fiscal year ended December 31, 2000 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED] For the transition period from ___________________ to ____________________ Commission file number 1-9513 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY 212 West Michigan Avenue Jackson, Michigan 49201 --------------------------------------------------- (Full title of the Plan and address of the Plan, if different from that of the issuer named below) CMS ENERGY CORPORATION Fairlane Plaza South, Suite 1100 330 Town Center Drive Dearborn, Michigan 48126 -------------------------------------- (Name of Issuer of the Securities held pursuant to the Plan and the address of its principal executive office) 2 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY FINANCIAL STATEMENTS AS OF DECEMBER 31, 2000 AND 1999 TOGETHER WITH AUDITORS' REPORT 3 REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS To the Employees' Savings & Incentive Plan of Consumers Energy Company: We have audited the accompanying statements of financial position of EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY (the "Plan") as of December 31, 2000 and 1999, and the related statements of changes in members' equity for each of the three years in the period ended December 31, 2000. These financial statements and the schedules referred to below are the responsibility of the Plan administrator. Our responsibility is to express an opinion on these financial statements and schedules based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the Plan administrator, as well as evaluating the overall financial statement presentation. We believe our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Plan as of December 31, 2000 and 1999, and the changes in members' equity for each of the three years in the period ended December 31, 2000 in conformity with accounting principles generally accepted in the United States. Our audits were made for the purposes of forming an opinion on the basic financial statements taken as a whole. The supplemental schedules of assets held for investment purposes as of December 31, 2000 and reportable transactions for the year ended December 31, 2000 are presented for purposes of additional analysis and are not a required part of the basic financial statements but are supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. The supplemental schedules have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. /s/ ARTHUR ANDERSEN LLP Detroit, Michigan, June 8, 2001. 4 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY INDEX TO FINANCIAL STATEMENTS AND SCHEDULES STATEMENTS OF CHANGES IN MEMBERS' EQUITY FOR EACH OF THE THREE YEARS IN THE PERIOD ENDED DECEMBER 31, 2000 STATEMENTS OF FINANCIAL POSITION AS OF DECEMBER 31, 2000 AND 1999 NOTES TO FINANCIAL STATEMENTS SCHEDULE I - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 2000 EXHIBIT A - CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS 5 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY STATEMENTS OF CHANGES IN MEMBERS' EQUITY
For the Years Ended December 31, --------------------------------------------------------- 2000 1999 1998 ------------- ------------- ------------- MEMBERS' EQUITY - BEGINNING OF PERIOD $ 803,664,677 $ 747,234,232 $ 627,454,980 ------------- ------------- ------------- CHANGES DURING PERIOD: Members' contributions (Note 1) 50,038,416 63,688,492 38,766,501 Employers' contributions (Note 1) 26,059,412 21,528,599 17,970,163 Rollover of loans from acquisitions -- 2,757,779 -- ------------- ------------- ------------- 76,097,828 87,974,870 56,736,664 ------------- ------------- ------------- Investment income 46,159,684 20,201,298 18,247,589 Interest income from participant loans 2,024,046 1,933,968 1,775,146 Interest income from short-term investments 1,671,202 821,110 1,269,491 Gain on securities sold or distributed (Note 2) 18,558,454 50,657,095 31,251,257 Change in unrealized appreciation (depreciation) of investments (Note 2) (66,728,116) (65,365,999) 51,107,042 ------------- ------------- ------------- 1,685,270 8,247,472 103,650,525 ------------- ------------- ------------- Distribution to Members (40,969,807) (39,791,897) (40,607,937) ------------- ------------- ------------- Net change during period 36,813,291 56,430,445 119,779,252 ------------- ------------- ------------- MEMBERS' EQUITY - END OF PERIOD $ 840,477,968 $ 803,664,677 $ 747,234,232 ============= ============= =============
The accompanying notes are an integral part of these statements. 6 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY STATEMENTS OF FINANCIAL POSITION
As of December 31, --------------------------------------- 2000 1999 ------------ ------------ ASSETS: Investments (Note 1) - Guaranteed investment contracts (at cost plus interest earned thereon) $ 82,171,404 $116,931,823 Common stock of corporations other than CMS Energy (cost $214,687,933 in 2000 and $227,705,157 in 1999) 235,993,560 286,770,509 Common stock of CMS Energy (cost $216,233,936 in 2000 and $178,102,325 in 1999) 274,414,865 207,530,294 Nicholas-Applegate Core Growth Institutional Portfolio (cost $74,302,414 in 2000 and $38,009,779 in 1999) 81,038,565 78,891,151 Smith Barney International Equity Collective Trust (cost $20,602,358 in 2000 and $16,387,345 in 1999) 27,134,753 31,302,707 Vanguard Large-Cap Value Index (cost $5,761,642 in 2000 and $1,666,869 in 1999) 5,814,404 1,631,425 Vanguard S&P 500 Index (cost $11,876,675 in 2000 and $4,235,115 in 1999) 10,861,360 4,513,877 Vanguard Large-Cap Growth Index (cost $21,474,743 in 2000 and $6,915,955 in 1999) 16,374,822 7,401,056 Nicholas-Applegate Small-Cap Growth Fund (cost $20,840,120 in 2000 and $2,686,022 in 1999) 12,974,906 3,394,433 ------------ ------------ Subtotal 746,778,639 738,367,275 Short-term investments (at cost which approximates market) 44,865,202 17,011,128 Loans to Members (at cost which approximates market) 33,429,220 35,303,712 ------------ ------------ Total Investments 825,073,061 790,682,115 Other Assets - Current receivables from Members 4,226,605 3,618,064 Current receivables from Employers 10,653,672 8,880,013 ------------ ------------ 14,880,277 12,498,077 Income Receivable Interest and dividends receivable 524,630 484,485 ------------ ------------ MEMBERS' EQUITY 840,477,968 803,664,677 ============ ============
The accompanying notes are an integral part of these statements. 7 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (1) PLAN DESCRIPTION General The Employees' Savings & Incentive Plan of Consumers Energy Company (the "Plan") is an employee benefit plan in which participant contributions are supplemented by contributions from the Company/Employer (Consumers and CMS Energy and their subsidiaries which are at least 80% owned and have adopted the Plan). Mr. T. A. McNish, Vice-president, Secretary and Assistant Treasurer of Consumers Energy Company, is the Plan Administrator. The information provided below is only a summary of the Plan's provisions. Reference should be made to the Plan documents for more complete information. Trustee The Plan's funds are held in trust for the benefit of members covered by the Plan under the Trust Agreement with State Street Bank and Trust (the "Trustee"), effective April 1997. Eligibility To be eligible to participate in the Plan, an employee must be a regular employee, as defined in the Plan agreement. Contributions Each employee electing to participate in the Plan ("Member") contributes by payroll deductions not less than 1% nor more than 16% of his compensation up to a maximum of $10,500 for 2000 and $10,000 for 1999. Each Member may change the amount of his contributions at any time by giving his Employer advance notice in writing. The change will be effective as soon as administratively feasible. A Member may discontinue contributions as of any pay date upon prior notice to his Employer. However, if he discontinues contributions without simultaneously making an election for Elective Employer Contributions, he may not resume making contributions for three months. A Member can choose an "Elective Employer Contribution" option, which allows the Member to reduce his salary by as much as 12% and have this amount contributed by the Employer to the Plan. If a Member's regular annual salary is equal to or more than $75,000, the most that can be contributed by the Employer on behalf of the Member to the Plan is 9%. Members' earnings related to such contributions are not currently taxable. Each Employer contributes a Matching Employer Contribution equal to 50% of certain contributions by each of its participating employees. Such Employer 1 8 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (Continued) (1) PLAN DESCRIPTION (Continued) contributions are limited to not more than 3% of each Member's compensation. The contributions of Members and the Employers are transferred monthly to the Trustee. Each Employer may contribute an Incentive Contribution which is determined at the end of each year based on earnings performance goal set by Company at the beginning of the year. The Incentive Contribution will be based on the Member's net Elective Employer and Participant Contributions of up to 6% of each Member's compensation. The Plan Administrator may exclude Incentive Contributions to the accounts of certain officers of Employers. Matching Employer and Incentive Contributions vest as follows: 10% for each of the first four years of service with the Employer, and 20% for each of the next three years of service. Member contributions and related earnings are fully vested at all times. Member Loans Members may borrow from the Plan up to 50% of their account balance, to a maximum not exceeding $50,000, including the vested portion of the Matching Employer Contributions, for extraordinary or emergency needs as defined in the Plan and at the discretion of the Plan Administrator. Loan transactions are treated as a transfer to (from) the investment fund from (to) the Participant's loan fund (Fund D). Loan terms range from one to five years* and are secured by the balance in the Participant's account.** Repayments of principal and interest are made primarily through payroll deduction. Plan-Related Expenses The Company pays expenses relating to the administration of the Plan. Brokerage fees, commissions, stock transfer taxes and other expenses in connection with the purchases, sales and distributions of securities for each investment fund are charged to the fund that incurred the cost. *Up to ten years for purchase of a principal residence. **A new loan rate is determined by subtracting one full percentage point from the current major New York bank prime rate. The rate on new loans taken during 2000 was 7.50 percent to 8.50 percent. 2 9 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (Continued) (1) PLAN DESCRIPTION (Continued) Fund Investments Fund A - The investments in this fund consist of guaranteed investment contracts with the New York Life Insurance Company, New York, New York; Principal Mutual Life Insurance Co, Des Moines, Iowa; Prudential Asset Management Company, Chicago, Illinois; and Travelers Life & Annuity, Hartford, Connecticut; and cash, temporary investments of any type or cash equivalents as the Trustee shall deem necessary or advisable to maintain as part of this fund within the limitations specified in the Trust Agreement. Fund B - The investments in this fund may consist of common stocks and securities convertible into common stock (other than securities of CMS Energy Corporation) selected by the Investment Manager, Independence Investment Associates, Inc., Boston, Massachusetts, in its sole discretion, and such amounts of cash, temporary investments of any type or cash equivalents as the Investment Manager shall deem necessary or advisable to maintain as part of the fund within the limitations specified in the Trust Agreement. Fund C - The investments in this fund may consist of common stock of CMS Energy Corporation and such amounts of cash, temporary investments of any type or cash equivalents as the Trustee shall deem necessary or advisable to maintain as part of this fund within the limitations specified in the Trust Agreement; subject to the limitation that the total number of shares held at any time by this fund, shall not exceed 10% of the outstanding voting shares of CMS Energy Corporation. Employers' contributions must be invested in this fund. Fund D - The investments in this fund consist of the promissory notes of Plan Members. Fund E - The investments in this fund may consist of mid-cap growth- oriented common stock (other than securities of CMS Energy Corporation) selected by the Investment Manager, Nicholas- Applegate Capital Management, San Diego, California, in its sole discretion, and such amounts of cash, temporary investments of any type or cash equivalents as the Investment Manager shall deem necessary or advisable to maintain as part of the fund within the limitations specified in the Trust Agreement. 3 10 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (Continued) (1) PLAN DESCRIPTION (Continued) Fund F - The investments in this fund may consist of international common stocks selected by the Investment Manager, Salomon Smith Barney Capital Management, New York, New York, in its sole discretion, and such amounts of cash, temporary investments of any type or cash equivalents as the Investment Manager shall deem necessary or advisable to maintain as part of the fund within the limitations specified in the Trust Agreement. Fund H - The investments in this fund may consist of stocks of the S&P 500 Index that are considered value stocks as selected by The Vanguard Group. Fund I - The investments in this fund consist of stocks of the S&P 500 Index as selected by The Vanguard Group. Fund J - The investments in this fund consist of stocks of the S&P 500 Index that are considered growth stocks as selected by The Vanguard Group. Fund K - The investments in this fund may consist of small-cap growth- oriented common stocks selected by the Investment Manager, Nicholas-Applegate Capital Management, San Diego, California, in its sole discretion. Reallocations All or part of a Member's past contributions which are in the Member's account on a Valuation Date may be reallocated among Fund A, Fund B, Fund C, Fund E, Fund F, Fund H, Fund I, Fund J or Fund K on a Valuation Date by giving his employer advance notice in writing of such change. Any such reallocations of contributions will be done on the basis of the value of the contributions on such Valuation Date. Forfeitures The Plan provides that Members who receive a distribution, under certain conditions, forfeit all or a portion of the value of any Matching Employer and Incentive Contributions credited to their accounts. Such amounts forfeited totalled approximately $229,335 in 2000 and are treated as a reduction of the Employers' contribution liability. 4 11 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (Continued) (2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Valuations The accompanying financial statements reflect the accrual basis of accounting. Investments, other than short-term, in Funds B, C, E, F, H, I, J and K are stated at current market value. Market value for most Fund B, C, E, F, H, I, J and K common stock is defined as the closing price of such stock as shown in a composite report of one or more generally recognized exchanges, including the New York Stock Exchange. There are also some securities which are traded in the over-the-counter ("OTC") market. OTC issues are priced at the bid price or "last" price furnished by the NASDAQ National Market. Short-term investments held in Funds A, B, C, E, F, H, I, J and K are stated at cost which approximates market. Gains and Losses Amounts relating to gain (loss) on securities sold or distributed and change in unrealized appreciation (depreciation) as reported in the statement of changes in members' equity for the years ended December 31, 2000, 1999 and 1998 have been presented in conformity with the Department of Labor reporting requirements. Department of Labor rules require that realized gains (losses) and unrealized appreciation (depreciation) be based on the market value of the assets at the beginning of the Plan year or at the time of purchase during the year. Guaranteed Investment Contracts The Plan has entered into several fully benefit-responsive investment contracts with various insurance companies. All of these contracts are held in Fund A and are credited with interest and charged for Plan withdrawals and administrative expenses. The contracts are included in the financial statements at contract value (cost plus accrued interest less withdrawals) which approximates fair value. The contracts earn interest at fixed rates ranging from 6.00% to 8.05% and mature between November 2001 and June 2005. The average aggregate yield for these contracts was 6.81% and 7.38 in 2000 and 1999, respectively. Estimates The preparation of financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 5 12 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (Continued) (3) FEDERAL INCOME TAX ASPECTS OF THE PLAN The last determination letter received by the Company from the Internal Revenue Service was dated November 20, 1996. The determination letter states that the Plan qualifies under Section 401(a) of the Internal Revenue Code (the "Code") of 1954 as amended by the "Employee Retirement Income Security Act of 1974" ("ERISA") and is exempt from taxation under Section 501(a) of the Code. Under existing Federal income tax laws, (a) the Company is entitled to deduct its contributions to the Plan in computing its Federal income tax; (b) the income of the trust funds accumulated under the Plan is exempt from Federal income tax; and (c) Members are not subject to tax on amounts contributed by the Company for their benefit until such time as such amounts are distributed to them, at which time they are taxable as ordinary income unless distributed as an "eligible rollover distribution." (4) RECONCILIATION OF THE FINANCIAL STATEMENTS TO FORM 5500 The following is a reconciliation of members' equity and distributions paid to members per the financial statements to members' equity and distributions paid to members per the Form 5500 for the Plan year 2000:
Total ------------ Members' Equity per Financial Statements $840,477,968 Benefits payable to members 2000 (3,892,347) ------------ Members' Equity per Form 5500 $836,585,621 ============ Distributions paid to members per Financial Statements $ 40,969,807 Benefits payable to members 1999 (4,180,394) Benefits payable to members 2000 3,892,347 ------------ Distributions paid per Form 5500 $ 40,681,760 ============
(5) PLAN TERMINATION The Employers expect the Plan to be permanent, but since future conditions affecting the Plan cannot be anticipated or foreseen, the Employers reserve the right, by action of the Board of Directors of Consumers Energy Company, to terminate or amend the Plan in whole or in part. Upon termination or partial termination of the Plan, or upon a complete discontinuance of contributions, the interest of each person in the Plan shall be segregated and set aside by the Trustee and one hundred percent (100%) of the value of the Matching Employer contribution credited to the account of a person having an interest in the Plan shall be vested in such person. 6 13 EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY NOTES TO FINANCIAL STATEMENTS (Continued) (6) GENDER Any masculine terminology used herein shall also include the feminine. 7 14 SCHEDULE I EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY ITEM 4(i) - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 2000
Current Identity of Issuer and Title of Issue Value ------------------------------------- ----------- GUARANTEED INVESTMENT CONTRACTS (Fund A) - New York Life Insurance Company (7.10%, matures 06/27/2005) $11,120,197 Principal Mutual Life Insurance Company (7.20%, matures 04/01/03) 7,796,483 Principal Mutual Life Insurance Company (6.00%, matures 02/15/2005) 16,747,011 The Prudential Asset Management Company (6.50%, matures 11/30/2001) 16,589,209 The Prudential Asset Management Company (6.97%, matures 06/21/2004) 7,758,051 Travelers Life and Annuity (6.45%, matures 05/12/2005) 22,160,453 ----------- Total Guaranteed Investment Contracts $82,171,404 ----------- COMMON STOCK OF CORPORATIONS OTHER THAN CMS ENERGY CORPORATION (Fund B) - ADC TELECOMMUNICATIONS $ 338,938 AES CORPORATION 1,273,625 AT&T CORP LIBERTY MEDIA 1,217,913 ABBOTT LABS 2,300,781 ADOBE SYSTEMS INC 546,963 AIR PRODUCTS & CHEMICALS INC 1,266,900 ALLEGHENY ENERGY INC 732,450 ALLERGAN INC 1,568,363 ALTERA CORPORATION 599,925 ALZA CORPORATION 1,891,250 AMERICA ONLINE INC 2,101,920 AMERICAN HOME PRODUCTS 2,605,550 AMERICAN INTERNATIONAL GROUP INC 2,276,794 ANADARKO PETROLEUM CORP 362,508 ANHEUSER BUSCH INC 1,010,100 ANALOG DEVICES 619,369 APPLIED MATERIALS 576,631 AVERY DENNISON CORP 1,174,325 BANK AMERICA CORP 3,380,988 BANK NEW YORK INC 3,167,763 BAXTER INTERNATIONAL INC 2,119,500 BELLSOUTH CORPORATION 294,750 BLACK & DECKER CORPORATION 1,157,875
15 SCHEDULE I EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY ITEM 4(i) - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 2000 (Continued)
Current Identity of Issuer and Title of Issue Value ------------------------------------- ----------- BRINKER INTERNATIONAL INC 785,850 BRISTOL MYERS SQUIBB CO 4,332,738 BURLINGTON NORTHERN SANTA FE CORP 1,016,419 CVS CORPORATION 887,075 CALPINE CORPORATION 1,095,019 CHEVRON CORPORATION 996,363 CHUBB CORPORATION 1,245,600 CISCO SYSTEMS INC 5,890,500 CITIGROUP INC 8,925,725 CLEAR CHANNEL COMMUNICATIONS 1,114,063 COLGATE PALMOLIVE CO 955,340 COMERICA INC 1,430,938 COMPAQ COMPUTER CORPORATION 379,260 COMVERSE TECHNOLOGY INC 869,000 CONVERGYS CORPORATION 865,469 CORNING INC 1,267,500 DISNEY WALT CO 1,250,100 DOMINION RES INC VA NEW 911,200 DOW CHEMICAL CO 1,197,638 DUPONT E I DE NEMOURS & CO 1,507,350 DUKE ENERGY 1,466,300 E M C CORPORATION 3,384,850 EASTMAN CHEMICAL CO 745,870 EL PASO ENERGY CORPORATION 2,471,063 EXELON CORPORATION 2,057,153 EXXON MOBIL CORPORATION 6,285,581 FEDERAL NATL MTG ASSN 3,799,650 FIRSTAR CORPORATION 1,397,320 FIRST DATA CORPORATION 4,315,106 FLEETBOSTON FINANCIAL CORPORATION 4,244,563 FORD MOTOR COMPANY 1,185,938 FOREST LABS INC 677,663 GAP INC 548,250 GENERAL DYNAMICS CORPORATION 990,600 GENERAL ELECTRIC COMPANY 10,723,619 GENERAL MOTORS CORPORATION 644,000 HARTFORD FINANCIAL SERVICES GROUP 2,493,063 HEWLETT PACKARD CO 1,426,620 HOME DEPOT INC 2,307,219 HONEYWELL INTERNATIONAL INC 757,000 INFINITY BROADCASTING CORPORATION 687,263 INGERSOLL-RAND COMPANY 1,415,375 INTEL CORPORATION 4,416,181
16 SCHEDULE I EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY ITEM 4(i) - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 2000 (Continued)
Current Identity of Issuer and Title of Issue Value ------------------------------------- ----------- INTERNATIONAL BUSINESS MACHINES 2,915,500 INTERPUBLIC GROUP COS INC 1,340,719 INTIMATE BRANDS INC 396,000 JDS UNIPHASE CORPORATION 566,950 JOHNSON & JOHNSON 5,295,150 KERR MCGEE CORPORATION 729,619 KIMBERLY CLARK CORPORATION 1,385,524 KOHLS CORPORATION 2,287,500 LABORATORY CORPORATION AMERICA HOLDINGS 1,161,600 LEAR CORPORATION 674,900 LIMITED INC 569,888 LINCOLN NATIONAL CORPORATION 1,679,594 LINEAR TECHNOLOGY CORPORATION 929,625 LOWE'S COMPANIES INC 1,068,000 MARSH & MCLENNAN COS 561,600 MAXIM INTEGRATED PRODUCTS 545,063 MERCK & CO INC 6,413,313 MICROSOFT CORPORATION 4,480,638 MINNESOTA MINING & MANUFACTURING CO 1,952,100 MORGAN J P & CO INC 2,697,650 MOTOROLA INC 923,400 NORTEL NETWORKS 2,177,044 NUCOR CORPORATION 690,563 OMNICOM GROUP 1,657,500 ORACLE CORPORATION 2,917,875 PARKER HANNIFIN CORPORATION 869,263 PEPSICO INC 961,513 PFIZER INC 8,454,800 PHARMACIA CORPORATION 1,116,300 PHILIP MORRIS COS INC 1,425,600 PINNACLE WEST CAP CORPORATION 771,525 PRAXAIR INC 1,144,875 QWEST COMMUNICATIONS INTERNATIONAL INC 2,181,200 RADIOSHACK CORPORATION 1,250,125 RELIANT ENERGY INC 1,515,938 REYNOLDS & REYNOLDS CO 502,200 ROYAL DUTCH PETROLEUM CO 2,355,881 RYDER SYSTEMS INC 460,513 SBC COMMUNICATIONS 3,605,125 SCI SYS INC 303,313 ST JUDE MEDICAL INC 448,494 ST PAUL COS INC 1,721,706 SANMINA CORPORATION 766,250 SCHERING PLOUGH CORP 1,838,700
17 SCHEDULE I EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY ITEM 4(i) - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 2000 (Continued)
Current Identity of Issuer and Title of Issue Value ------------------------------------- ------------ SIEBEL SYS INC 797,975 SOLECTRON CORPORATION 786,480 SPRINT CORPORATION 745,469 SPRINT CORPORATION PCS 521,156 STILWELL FINANCIAL INC 914,950 SUN MICROSYSTEMS INC 1,803,513 TJX COS INC NEW 951,825 TEXAS INSTRUMENTS INC 1,866,575 TIFFANY & CO 635,663 TIME WARNER INC 1,504,512 TORCHMARK INC 926,344 TYCO INTERNATIONAL LTD 3,341,100 USX MARATHON GROUP 1,029,525 UNILEVER N V 1,051,056 UNION PAC CORPORATION 400,925 UNITED TECHNOLOGIES CORPORATION 2,484,550 VERIZON COMMUNICATIONS 932,325 VERITAS SOFTWARE CORPORATION 910,000 VIACOM INC 1,767,150 VISTEON CORPORATION 420,900 WALGREEN CO 731,719 WAL MART STORES INC 3,176,875 WASHINGTON MUTUAL CO 1,002,881 WELLPOINT HEALTH NETWORKS INC 599,300 XILINX INC 691,875 YAHOO INC 339,706 ---------- TOTAL COMMON STOCK OF CORPORATIONS OTHER THAN CMS ENERGY CORPORATION (Fund B) $235,993,560 ------------ *COMMON STOCK OF CMS ENERGY CORPORATION (Fund C) $274,414,865 ------------ LOANS TO MEMBERS (Fund D) (Loans mature during periods ranging from 0-10 years and at interest rates from 5.25% to 8.50% $ 33,429,220 ------------ NICHOLAS-APPLEGATE CORE GROWTH INSTITUTIONAL PORTFOLIO (Fund E) $ 81,038,565 ------------ SMITH BARNEY INTERNATIONAL EQUITY COLLECTIVE TRUST (Fund F) $ 27,134,753 ------------
18 SCHEDULE I EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY ITEM 4(i) - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 2000 (Continued)
Current Identity of Issuer and Title of Issue Value ------------------------------------- ------------ VANGUARD LARGE-CAP VALUE INDEX FUND (Fund H) $ 5,814,404 ------------ VANGUARD S&P 500 INDEX FUND (Fund I) $ 10,861,360 ------------ VANGUARD LARGE-CAP GROWTH INDEX FUND (Fund J) $ 16,374,822 ------------ NICHOLAS-APPLEGATE SMALL-CAP GROWTH FUND (Fund K) $ 12,974,906 ------------ Total All Funds $780,207,859 ============ *SHORT-TERM INVESTMENTS - STATE STREET (Funds A, B, C, E, F, H, I, J and K) $ 44,865,202 ------------ Total Investments $825,073,061 ============
*Represents Party-in-Interest 19 EXHIBIT A CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS As independent public accountants, we hereby consent to the incorporation by reference of our report dated June 8, 2001 included in the Employees' Savings & Incentive Plan of Consumers Energy Company's Annual Report on Form 11-K for the year ended December 31, 2000 into CMS Energy Corporation's previously filed Registration Statement Files No. 33-29681, No. 33-61595 and No. 333- 76347. /s/ ARTHUR ANDERSEN LLP Detroit, Michigan, June 8, 2001 20 SIGNATURE Pursuant to the requirements of the Securities and Exchange Act of 1934, CMS Energy Corporation has duly caused this annual report to be signed by the undersigned thereunto duly authorized. EMPLOYEES' SAVINGS & INCENTIVE PLAN OF CONSUMERS ENERGY COMPANY By /s/ Thomas A McNish ------------------------------------------------------------- Thomas A McNish Vice-President and Secretary Dated: June 8, 2001.