EX-99.2 3 dex992.htm SUPPLEMENTAL FINANCIAL INFORMATION Supplemental Financial Information

Exhibit 99.2

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

For the 3 months ending March 31, 2008 and 2007

 

     1st Quarter        

(in thousands, except per share data)

   2008     2007     Change  

Operating Revenues

      

Oil and gas operations

   $ 224,895     $ 194,033     $ 30,862  

Natural gas distribution

     296,751       298,628       (1,877 )
                        

Total operating revenues

     521,646       492,661       28,985  
                        

Operating Expenses

      

Cost of gas

     161,389       168,138       (6,749 )

Operations & maintenance

     86,552       82,043       4,509  

Depreciation, depletion and amortization

     42,416       38,020       4,396  

Taxes, other than income taxes

     34,905       30,312       4593  

Accretion expense

     1,045       950       95  
                        

Total operating expenses

     326,307       319,463       6,844  
                        

Operating Income

     195,339       173,198       22,141  
                        

Other Income (Expense)

      

Interest expense

     (11,122 )     (12,221 )     1,099  

Other income

     244       561       (317 )

Other expense

     (596 )     (195 )     (401 )
                        

Total other expense

     (11,474 )     (11,855 )     381  
                        

Income from Continuing Operations Before Income Taxes

     183,865       161,343       22,522  

Income tax expense

     67,177       57,462       9,715  
                        

Income from Continuing Operations

     116,688       103,881       12,807  
                        

Discontinued Operations, Net of Taxes

      

Income from discontinued operations

     —         1       (1 )

Gain on disposal of discontinued operations

     —         —         —    
                        

Income from Discontinued Operations

     —         1       (1 )
                        

Net Income

   $ 116,688     $ 103,882     $ 12,806  
                        

Diluted Earnings Per Average Common Share

      

Continuing operations

   $ 1.62     $ 1.44     $ 0.18  

Discontinued operations

     —         —         —    
                        

Net Income

   $ 1.62     $ 1.44     $ 0.18  
                        

Basic Earnings Per Average Common Share

      

Continuing operations

   $ 1.63     $ 1.45     $ 0.18  

Discontinued operations

     —         —         —    
                        

Net Income

   $ 1.63     $ 1.45     $ 0.18  
                        

Diluted Avg. Common Shares Outstanding

     72,125       72,124       1  
                        

Basic Avg. Common Shares Outstanding

     71,637       71,482       155  
                        

Dividends Per Common Share

   $ 0.12     $ 0.115     $ 0.005  
                        

 

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CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)2

For the 12 months ending March 31, 2008 and 2007

 

     Trailing 12 Months        

(in thousands, except per share data)

   2008     2007     Change  

Operating Revenues

      

Oil and gas operations

   $ 856,454     $ 755,056     $ 101,398  

Natural gas distribution

     607,591       643,449       (35,858 )
                        

Total operating revenues

     1,464,045       1,398,505       65,540  
                        

Operating Expenses

      

Cost of gas

     311,680       347,185       (35,505 )

Operations & maintenance

     337,952       309,717       28,235  

Depreciation, depletion and amortization

     165,773       145,809       19,964  

Taxes, other than income taxes

     100,424       93,360       7,064  

Accretion expense

     4,043       3,671       372  
                        

Total operating expenses

     919,872       899,742       20,130  
                        

Operating Income

     544,173       498,763       45,410  
                        

Other Income (Expense)

      

Interest expense

     (46,001 )     (47,696 )     1,695  

Other income

     2,351       865       1,486  

Other expense

     (1,360 )     (1,072 )     (288 )
                        

Total other expense

     (45,010 )     (47,903 )     2,893  
                        

Income from Continuing Operations Before Income Taxes

     499,163       450,860       48,303  

Income tax expense

     177,144       160,957       16,187  
                        

Income from Continuing Operations

     322,019       289,903       32,116  
                        

Discontinued Operations, Net of Taxes

      

Income from discontinued operations

     2       2       —    

Gain on disposal of discontinued operations

     18       53       (35 )
                        

Income from Discontinued Operations

     20       55       (35 )
                        

Net Income

   $ 322,039     $ 289,958     $ 32,081  
                        

Diluted Earnings Per Average Common Share

      

Continuing operations

   $ 4.47     $ 3.99     $ 0.48  

Discontinued operations

     —         —         —    
                        

Net Income

   $ 4.47     $ 3.99     $ 0.48  
                        

Basic Earnings Per Average Common Share

      

Continuing operations

   $ 4.49     $ 4.02     $ 0.47  

Discontinued operations

     —         —         —    
                        

Net Income

   $ 4.49     $ 4.02     $ 0.47  
                        

Diluted Avg. Common Shares Outstanding

     72,088       72,674       (586 )
                        

Basic Avg. Common Shares Outstanding

     71,650       72,138       (488 )
                        

Dividends Per Common Share

   $ 0.465     $ 0.445     $ 0.02  
                        

 

15


SELECTED BUSINESS SEGMENT DATA (UNAUDITED)

For the 3 months ending March 31, 2008 and 2007

 

     1st Quarter       

(in thousands, except sales price data)

   2008    2007    Change  

Oil and Gas Operations

        

Operating revenues

        

Natural gas

   $ 130,954    $ 123,225    $ 7,729  

Oil

     64,099      54,084      10,015  

Natural gas liquids

     17,446      15,042      2,404  

Other

     12,396      1,682      10,714  
                      

Total

   $ 224,895    $ 194,033    $ 30,862  
                      

Production volumes from continuing operations

        

Natural gas (MMcf)

     16,427      15,547      880  

Oil (MBbl)

     944      927      17  

Natural gas liquids (MMgal)

     16.7      18.9      (2.2 )

Production volumes from continuing ops. (MMcfe)

     24,483      23,806      677  

Total production volumes (MMcfe)

     24,483      23,805      678  

Revenue per unit of production including effects of all derivative instruments

        

Natural gas (Mcf)

   $ 7.97    $ 7.93    $ 0.04  

Oil (barrel)

   $ 67.90    $ 58.36    $ 9.54  

Natural gas liquids (gallon)

   $ 1.04    $ 0.80    $ 0.24  

Other data from continuing operations

        

Lease operating expense (LOE)

        

LOE and other

   $ 43,135    $ 35,409    $ 7,726  

Production taxes

     16,576      12,011      4,565  
                      

Total

   $ 59,711    $ 47,420    $ 12,291  
                      

Depreciation, depletion and amortization

   $ 30,396    $ 26,473    $ 3,923  

General and administrative expense

   $ 11,899    $ 13,792    $ (1,893 )

Capital expenditures

   $ 74,397    $ 53,395    $ 21,002  

Exploration expenditures

   $ 349    $ 97    $ 252  

Operating income

   $ 121,495    $ 105,301    $ 16,194  
                      

Natural Gas Distribution

        

Operating revenues

        

Residential

   $ 199,575    $ 203,798    $ (4,223 )

Commercial and industrial

     77,505      77,722      (217 )

Transportation

     15,503      14,567      936  

Other

     4,168      2,541      1,627  
                      

Total

   $ 296,751    $ 298,628    $ (1,877 )
                      

Gas delivery volumes (MMcf)

        

Residential

     11,531      11,579      (48 )

Commercial and industrial

     4,976      4,872      104  

Transportation

     14,297      13,420      877  
                      

Total

     30,804      29,871      933  
                      

Other data

        

Depreciation and amortization

   $ 12,020    $ 11,547    $ 473  

Capital expenditures

   $ 13,070    $ 14,967    $ (1,897 )

Operating income

   $ 74,488    $ 68,437    $ 6,051  
                      

 

16


SELECTED BUSINESS SEGMENT DATA (UNAUDITED)

For the 12 months ending March 31, 2008 and 2007

 

     Trailing 12 Months       

(in thousands, except sales price data)

   2008    2007    Change  

Oil and Gas Operations

        

Operating revenues

        

Natural gas

   $ 507,135    $ 444,701    $ 62,434  

Oil

     261,512      193,401      68,111  

Natural gas liquids

     71,027      55,623      15,404  

Other

     16,780      61,331      (44,551 )
                      

Total

   $ 856,454    $ 755,056    $ 101,398  
                      

Production volumes from continuing operations

        

Natural gas (MMcf)

     65,180      63,044      2,136  

Oil (MBbl)

     3,897      3,654      243  

Natural gas liquids (MMgal)

     75.1      78.6      (3.5 )

Production volumes from continuing ops. (MMcfe)

     99,283      96,193      3,090  

Total production volumes (MMcfe)

     99,283      96,191      3,092  

Revenue per unit of production including effects of all derivative instruments

        

Natural gas (Mcf)

   $ 7.78    $ 7.05    $ 0.73  

Oil (barrel)

   $ 67.11    $ 52.93    $ 14.18  

Natural gas liquids (gallon)

   $ 0.95    $ 0.71    $ 0.24  

Other data

        

Lease operating expense (LOE)

        

LOE and other

   $ 156,006    $ 136,400    $ 19,606  

Production taxes

     58,363      48,427      9,936  
                      

Total

   $ 214,369    $ 184,827    $ 29,542  
                      

Depreciation, depletion and amortization

   $ 118,164    $ 100,764    $ 17,400  

General and administrative expense

   $ 48,971    $ 39,714    $ 9,257  

Capital expenditures

   $ 400,481    $ 268,168    $ 132,313  

Exploration expenditures

   $ 3,146    $ 4,169    $ (1,023 )

Operating income

   $ 467,761    $ 421,911    $ 45,850  
                      

Natural Gas Distribution

        

Operating revenues

        

Residential

   $ 384,068    $ 411,358    $ (27,290 )

Commercial and industrial

     164,686      175,065      (10,379 )

Transportation

     50,191      47,782      2,409  

Other

     8,646      9,244      (598 )
                      

Total

   $ 607,591    $ 643,449    $ (35,858 )
                      

Gas delivery volumes (MMcf)

        

Residential

     20,617      22,204      (1,587 )

Commercial and industrial

     10,697      11,157      (460 )

Transportation

     52,324      50,821      1,503  
                      

Total

     83,638      84,182      (544 )
                      

Other data

        

Depreciation and amortization

   $ 47,609    $ 45,045    $ 2,564  

Capital expenditures

   $ 56,965    $ 72,279    $ (15,314 )

Operating income

   $ 78,793    $ 78,984    $ (191 )
                      

 

17