-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, WDm7pYoqWFS9eXhFGJ1buurDn2f60fkcNKe/gD1Qx8R1+g6++1BuIDVKhy6O6mhK L5LCUYoImq8oK6zX7N8kGQ== 0000065984-02-000114.txt : 20020425 0000065984-02-000114.hdr.sgml : 20020425 ACCESSION NUMBER: 0000065984-02-000114 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20020425 ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: FILED AS OF DATE: 20020425 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ENTERGY CORP /DE/ CENTRAL INDEX KEY: 0000065984 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC SERVICES [4911] IRS NUMBER: 721229752 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-11299 FILM NUMBER: 02620338 BUSINESS ADDRESS: STREET 1: 639 LOYOLA AVE CITY: NEW ORLEANS STATE: LA ZIP: 70113 BUSINESS PHONE: 5045764000 MAIL ADDRESS: STREET 1: PO BOX 61000 CITY: NEW ORLEANS STATE: LA ZIP: 70161 FORMER COMPANY: FORMER CONFORMED NAME: ENTERGY CORP /FL/ DATE OF NAME CHANGE: 19940329 FORMER COMPANY: FORMER CONFORMED NAME: MIDDLE SOUTH UTILITIES INC DATE OF NAME CHANGE: 19890521 FORMER COMPANY: FORMER CONFORMED NAME: ENTERGY GSU HOLDINGS INC /DE/ DATE OF NAME CHANGE: 19940329 8-K 1 a10802.txt SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date earliest event reported) April 25, 2002 Commission Registrant, State of Incorporation, I.R.S. Employer File Number Address and Telephone Number Identification No. 1-11299 ENTERGY CORPORATION 72-1229752 (a Delaware corporation) 639 Loyola Avenue New Orleans, Louisiana 70113 Telephone (504) 576-4000 Form 8-K Item 7. Financial Statements, Pro Forma Financial Statements and Exhibits (c) Exhibits. Exhibit Description No. 99.1 Release, dated April 25, 2002, issued by Entergy. 99.2 Release, dated April 25, 2002, issued by Entergy. Item 9. Regulation FD Disclosure Entergy Corporation On April 25, 2002, Entergy Corporation ("Entergy") issued two public announcements, which are attached as exhibits hereto and incorporated herein by reference. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Entergy Corporation By: /s/ Nathan E. Langston Nathan E. Langston Senior Vice President and Chief Accounting Officer Dated: April 25, 2002 EX-99 3 a10802991.txt [Logo of Entergy] For further information: Nancy Morovich, VP, Investor Relations Phone 504/576-5506, Fax 504/576-2897 INVESTOR NEWS nmorovi@entergy.com Exhibit 99.1 April 25, 2002 ENTERGY REPORTS STRONG FIRST QUARTER OPERATIONAL EARNINGS NEW ORLEANS - Entergy Corporation reported record first quarter 2002 operational earnings of $0.80 per share compared with $0.75 in the same period of 2001, reflecting increased earnings from its competitive businesses. First quarter 2002 results were 7 percent higher than the same period one year ago. On an as reported basis, Entergy recorded a consolidated loss of $(0.35) per share, compared with earnings of $0.69 for the same period in 2001. First quarter 2002 reported results reflected a special charge in connection with impairments recognized on generating assets, turbine cancellation costs, and expensing previously capitalized development costs, all in connection with its wholesale power development business. "Operating results reflect strong performance in our non-utility nuclear and the trading and pipeline businesses despite an economy that reflected only modest recovery during the quarter" said J. Wayne Leonard, Entergy's chief executive officer. "The balance we've created through our integrated business strategy continues to deliver results at a time when earnings disappointments both within and outside of the energy sector are commonplace." Table 1 provides a summary of earnings per share for first quarter 2002 compared to the same period of 2001. - --------------------------------------------------------------------- Table 1: Entergy Corporation Consolidated Results First Quarter 2002 vs. 2001 - --------------------------------------------------------------------- (Per share in U.S. $) 2002 2001 Change As Reported U.S. Utility 0.45 0.51 (0.06) Parent & Other (0.03) (0.04) 0.01 Competitive Businesses (0.77) 0.22 (0.99) ------------------- Consolidated Earnings (0.35) 0.69 (1.04) Less Special Items U.S. Utility - (0.01) 0.01 Parent & Other - (0.05) 0.05 Competitive Businesses (1.15) - (1.15) ------------------- Total (1.15) (0.06) (1.09) Operational U.S. Utility 0.45 0.52 (0.07) Parent & Other (0.03) 0.01 (0.04) Competitive Businesses 0.38 0.22 0.16 ------------------- Consolidated Earnings 0.80 0.75 0.05 Weather Impact 0.03 0.05 (0.02) - ------------------------------------------------ U.S. Utility In first quarter 2002, as reported and operational utility earnings were $0.45 per share, compared to $0.51 in as reported earnings and $0.52 in operational earnings for first quarter 2001. The decrease in earnings quarter to quarter resulted primarily from lower revenues due to sales volumes that have not yet fully recovered in the weakened economy. In addition, earnings were negatively impacted by increased operating and maintenance expenses driven primarily by spending in the generation fleet and lower nuclear insurance program distributions. Finally, while weather favorably impacted first quarter 2002 results, this impact was more moderate than in the 2001 period. Milder weather and lower usage in first quarter 2002 reduced residential sales by 3.5 percent, compared to first quarter 2001. This decrease was 2 percent after adjusting for weather. Commercial sales were roughly flat, while industrial sales experienced a 7 percent reduction quarter over quarter. The reduction in industrial sales was due almost exclusively to the impact of reclassifying certain industrial customers from retail to wholesale. After removing the impact of the reclassification, the reduction in industrial sales was only 1.5 percent, reflecting economic conditions that have not fully recovered but are showing clear signs of improvement. A summary of sales volumes by customer class is included in Appendix A to this release. Table 2 provides a summary of the utility's key operational measures with quarter-to-quarter comparisons. - ----------------------------------------------------------------------------- Table 2: Utility Operational Performance Measures First Quarter 2002 vs. 2001 (see appendix C for definitions of measures) - ----------------------------------------------------------------------------- First Quarter 2002 2001 % Change Utility Generation in GWh 23,079 24,037 -4% GWh billed Residential 7,274 7,537 -3% Commercial and Gov't 6,215 6,189 0.4% Industrial 9,590 10,311 -7% Weather degree day 1,568 3,288 -52% deviation from normal Operation & maintenance expense $16.79 $14.86 13% Reliability SAIFI 1.99 2.30 -14% SAIDI 151 174 -13% Reliability complaints 14 31 -55% Safety 7 5 40% Number of customers Residential 2,228,532 2,212,976 0.7% Commercial & Gov't 314,477 308,319 2% Industrial 38,319 38,353 -0.1% - ----------------------------------------------------------------------------- The utility continues to pursue rate plans and mechanisms that provide increased certainty as to the allowable earnings levels as well as incentives to reward operating excellence. Appendix B provides a summary of the utility's pending regulatory events and regulatory recovery mechanisms by operating subsidiary. Parent & Other Parent & Other recorded an as reported loss per share of $(0.03) in first quarter 2002, compared with $(0.04) in first quarter 2001. The higher loss in first quarter 2001 was due to merger-related expenses incurred during that quarter, which were recorded as a special charge to earnings. Exclusive of these costs, Parent & Other recorded income of $0.01 in 2001, compared to the $(0.03) loss in 2002, which was driven primarily by lower interest income earned in 2002 due to a decrease in invested cash. Competitive Businesses On an as reported basis the competitive businesses recorded a loss of $(0.77) per share in first quarter 2002 compared to earnings of $0.22 in the same period of 2001. First quarter 2002 results include a special charge totaling $(1.15). This special item reflects charges associated with the impairment of certain wholesale generation assets, costs recorded in connection with the cancellation of turbines previously contracted for, and the expensing of previously capitalized project development costs. Excluding these special items, operational earnings increased 73 percent, from $0.22 in first quarter 2001 to $0.38 in first quarter 2002. The significant increase in operational earnings reflects solid performance in non-utility nuclear operations and the trading and pipeline businesses. Table 3 provides a 2002 vs. 2001 comparison of contributions by business for the first quarter, on both an as reported and operational basis. - ---------------------------------------------------------------------- Table 3: Competitive Businesses Contributions to Earnings Per Share First Quarter 2002 vs. 2001 - ---------------------------------------------------------------------- (Per share in U.S. $) 2002 2001 $ Change As Reported Entergy Nuclear 0.18 0.13 0.05 Energy Commodity Services (0.95) 0.09 (1.04) ------------------ Total (0.77) 0.22 (0.99) Less Special Items Entergy Nuclear - - - Energy Commodity Services (1.15) - (1.15) ------------------ Total (1.15) - (1.15) Operational Entergy Nuclear 0.18 0.13 0.05 Energy Commodity Services 0.20 0.09 0.11 ------------------ Total 0.38 0.22 0.16 - ---------------------------------------------- Table 4 provides a summary of Entergy non-utility generation in MWh sold forward for the years 2002 and 2003. Table 4: Competitive Businesses Percent of Generation Sold Forward Years 2002 and 2003 (see appendix C for definitions of measures) - ------------------------------------------------------------------------ 2002 2003 Entergy Nuclear Percent of EN's total planned MWh of generation sold forward 100% 97% Energy Commodity Services Percent of ECS' total planned MWh of generation sold forward 89% 70% Percent of Competitive Businesses' planned MWh of 97% 91% generation sold forward - ------------------------------------------------------------------------ Entergy Nuclear Entergy Nuclear (EN) earned $0.18 per share compared to $0.13 in first quarter 2001. The increase was due primarily to the contribution in 2002 of Indian Point 2, which was acquired in September 2001. EN's average capacity factor was 100.3 percent for first quarter 2002, which reflects continued improvement over the already outstanding results achieved in 2001. Capacity factor above 100 percent means that operating unit performance exceeded its maximum rated capacity. This high level of performance across EN's operating fleet also contributed to the improved financial results achieved by Entergy Nuclear. EN's continuing strong financial performance reflects its success in acquiring, integrating and operating its assets at optimal performance levels. EN expanded its fleet by 39 percent and output by 43 percent quarter over quarter. In addition, excellent safety records were maintained at each of the four operating units. Average production costs increased quarter to quarter due primarily to the inclusion of amortized refueling outage costs in 2002 for the Pilgrim and Indian Point 3 units. First quarter 2001 included no such amortization since neither of these units had yet experienced refuelings under EN ownership. Currently, EN has sold 100 percent of the output of its generating assets through the end of 2002 at prices that range from $29 to $51 per megawatt hour. Table 5 provides a summary of Entergy Nuclear's key operational measures with quarter-to-quarter comparisons. - ---------------------------------------------------------------------- Table 5: Entergy Nuclear Operational Performance Measures First Quarter 2002 vs. 2001 (see appendix C for definitions of measures) - ---------------------------------------------------------------------- First Quarter 2002 2001 % Change Entergy Nuclear Net MW in operation 3,445 2,475 39% Average PPA price $35.81 $33.76 6% Production Cost/MWh $19.62 $17.48 12% Generation in GWh 7,509 5,258 43% Capacity factor 100.3% 98.3% 2% Refueling outage duration: No refueling outages during the quarter - - - - ---------------------------------------------------------------------- Energy Commodity Services Energy Commodity Services, the combined reporting of Entergy-Koch L.P. and Entergy Wholesale Operations, recorded a loss of $(0.95) per share in first quarter 2002 compared to earnings of $0.09 in the same period last year. The as reported loss reflects special charges recorded at Entergy Wholesale Operations as explained below. On an operational basis, earnings increased by 122 percent to $0.20 per share compared to $0.09 in first quarter 2001. Results for first quarter 2002 reflect a full quarter's operations at Entergy-Koch while results in first quarter 2001 include only the two months following the venture's launch on February 1. The growth in earnings also reflects the positive impact of profits reported by Entergy from its investment in the Entergy-Koch venture. In first quarter 2002 the income sharing mechanisms that are part of the Entergy-Koch partnership agreement allocated substantially all of the partnership's income to Entergy. Entergy-Koch Trading, a subsidiary of Entergy-Koch L.P., contributed strong operational earnings primarily due to the success of its financial and physical gas trading during first quarter 2002. As of the end of first quarter 2002, Entergy-Koch expected 23 percent of its trading book to be converted to cash within 12 months and 88 percent, within 24 months. The Gulf South pipeline realized higher earnings in first quarter 2002 through a combination of higher volumes of gas transported, and lower production costs. Volumes for first quarter 2002 were up 8 percent compared to first quarter 2001, and production costs were down 14 percent. This was the third consecutive quarter that Gulf South achieved reductions in production costs in excess of 10 percent on a quarter-to-quarter comparison. Entergy Wholesale Operations recorded a $(1.15) per share special item in first quarter 2002. A portion of this charge reflects costs associated with the impairment of certain operating assets as a result of the continued depressed prices in both U.S. and UK power markets and Entergy's point of view as to the future of such prices. The special charge also includes costs associated with the cancellation of purchase commitments in connection with 15 turbines, as well as the impact of expensing previously capitalized project development costs. As of the end of first quarter 2002, Entergy Wholesale Operations had approximately 1,800 net MW in operation, and about 700 MW under construction. Table 6 provides a summary of Energy Commodity Services' key operational measures with quarter-to-quarter comparisons. - ---------------------------------------------------------------------- Table 6: Energy Commodity Services Operational Performance Measures First Quarter 2002 vs. 2001 (see appendix C for definitions of measures) - ---------------------------------------------------------------------- First Quarter 2002 2001 % Change Entergy-Koch Trading Electricity volatility 46% 73% -37% Gas volatility 79% 87% -9% Electricity marketed (GWh) 39,828 31,009 28% Gas marketed (Bcf/d) 5.3 7.2 -26% Gain/loss days 2.1 2.2 -5% Gulf South Pipeline Throughput 2.66 2.46 8% Miles of pipeline 8,800 8,800 - Storage capacity (Bcf) 68 68 - Production cost $0.077 $0.090 -14% Entergy Wholesale Operations Net MW in operation 1,870 1,210 55% Net MW under construction 756 2,000 -62% - ---------------------------------------------------------------------- Table 7 provides a summary of Energy Commodity Services' mark-to- market impact with quarter-to-quarter comparisons. - ------------------------------------------------------------------------ Table 7: Mark-to-Market Disclosures First Quarter 2002 vs. 2001 (see appendix C for definitions of measures) - ------------------------------------------------------------------------ First Quarter ($ in millions) 2002 2001 % Change Earnings Mark-to-market earnings as percent of 17% 5% 240% consolidated earnings Assets Mark-to-market accounting detail Open equity at beginning of period Consolidated subsidiaries $41 $40 3% Entergy-Koch $107 N/A - Open equity at end of period Consolidated subsidiaries $68 $(25) 372% Entergy-Koch $164 $136 21% 2002 2003 2004-2005 Cash Realization Cumulative percentage of mark-to-market realization Consolidated subsidiaries 35% 97% 100% Entergy-Koch 23% 88% 100% - ------------------------------------------------------------------------ Variance Analysis Table 8 below provides first quarter 2002 vs. 2001 reported earnings variance analyses for "U.S. Utility, Parent & Other," "Competitive Businesses," and "Consolidated." - -------------------------------------------------------------------------- Table 8: Entergy Corporation Reported Earnings Per Share Variance Analysis First Quarter 2002 vs. 2001 - -------------------------------------------------------------------------- (Per share in U.S. $, sorted in consolidated column, most to least favorable) U.S. Utility, Competitive Parent & Businesses Consolidated Other 2001 earnings 0.47 0.22 0.69 Net revenue (loss) (0.04) (a) 0.20 (b) 0.16 Other income (deductions) 0.01 0.08 (c) 0.09 Interest expense and other charges 0.07 (d) 0.01 0.08 Income taxes - other 0.04 (e) 0.01 (e) 0.05 Taxes other than income taxes 0.01 (0.01) - Depreciation/amortization expense - (0.01) (0.01) Nuclear refueling outage expense - (0.03) (f) (0.03) Interest and dividend income (0.08) (g) 0.01 (0.07) Other operation & maintenance expense (0.06) (h) (1.25) (i) (1.31) ----- ----- ----- 2002 earnings 0.42 (0.77) (0.35) ----- ----- ----- (a) Net revenue decreased in first quarter 2002 due primarily to milder weather in 2002 vs. 2001 and the impact of lower sales volumes across most retail customer segments due to the weak economy. Utility Net Revenue Variance Analysis 2002 vs. 2001 ($ EPS) First Quarter Weather (0.02) Sales growth/pricing (0.02) Other - Total (0.04) (b) Net revenue increased primarily as result of the inclusion of operations of Indian Point 2 which was acquired in September 2001. (c) Other income (deductions) increased due primarily to higher Entergy-Koch earnings partially offset by the absence of liquidated damages at Damhead Creek which were included in 2001 results. (d) Interest expense & other charges decreased due to the retirement and refinancing of long-term debt and the absence of interest expense in 2002 on System Energy Resource Inc.'s reserve for rate refund which was finalized in late 2001. (e) Income statement line items are tax effected at the statutory rate. Any difference between the statutory and effective tax rate is reflected in the "Income tax-other" line. (f) Nuclear refueling outage expense increased due to initiating amortization of this cost for Pilgrim and Indian Point 3. (g) Interest and dividend income decreased due to lower interest income earned given declining deferred fuel balances at Utility as well as lower investment balances at Parent & Other. (h) Other operation & maintenance expense increased due primarily to (1) higher fossil plant spending, (2) lower nuclear insurance program distributions, and (3) higher nuclear and transmission expenses. Partially offsetting these increased costs was the absence in 2002 of any merger related expenses incurred in first quarter 2001. (i) Other operation & maintenance expense increased due primarily to EWO's asset impairment, turbine cancellation, and development costs charge of $1.15 and the inclusion of operations from Indian Point 2. Table 9 lists special items by business for first quarter 2002 and 2001. Special items are those events that are not routine, related to prior periods, or related to discontinued operations. - ----------------------------------------------------------------------- Table 9: Entergy Special Items [shown as positive / (negative) impact on earnings] First Quarter 2002 vs. 2001 - ----------------------------------------------------------------------- (Per share in U.S. $) 2002 2001 Change U.S. Utility Special Items Merger expenses - (0.01) 0.01 ---------------------- Parent & Other Special Items Merger expenses - (0.05) 0.05 ---------------------- Competitive Businesses Special Items - - - Energy Commodity Services EWO - asset impairments (j) (0.44) - (0.44) EWO - turbine commitment (0.62) - (0.62) EWO - development costs (0.09) - (0.09) ---------------------- Total (k) (1.15) - (1.15) ---------------------- Total Special Items (1.15) (0.06) (1.09) - ---------------------------------------------------------------------- (j) The after tax impact of impairments on EWO assets were: Damhead Creek, $(0.16), gas peaking units $(0.28). (k) An additional special charge will be recorded in second quarter 2002, primarily to reflect severance costs associated with EWO's restructuring. These costs were not finalized at the time of this release but are estimated to be $(0.10) to $(0.20) per share. Other Performance Highlights Entergy generated $354 million in operating cash in first quarter 2002, an increase of 91 percent compared to first quarter 2001. This significant increase in operating cash is primarily attributable to unusual cash costs in 2001 due to exceptionally high natural gas prices and storm restoration costs. At the end of first quarter 2002, Entergy had approximately $763 million of cash and cash equivalents. Operational net margin was 8.4 percent, its highest level in 23 quarters. Return on equity remained in double digits for a sixth consecutive quarter and at 10.2 percent reflects an improvement of 27 percent over just three years ago. The capital structure ratio remains within Entergy's target range with a net debt ratio below 49 percent. Entergy's credit ratios remain among the strongest in the industry, historically ranking in the top quartile among SPELEC companies. The current level of cash along with significant borrowing capacity continues to provide considerable financial flexibility to Entergy. The off-balance sheet debt, exclusive of operating leases, totals less than $700 million and constitutes only 4 percent of total capitalization. Table 10 provides a summary of financial measures for first quarter 2002 and 2001. - ---------------------------------------------------------------------------- Table 10: Entergy Corporation Key Financial Performance and Flexibility Measures First Quarter Ended March 31, 2002 vs. 2001 (see appendix C for definitions of certain measures) - ---------------------------------------------------------------------------- For 3 months ending March 31 2002 2001 Change ------------------------- Operating cash flow (millions) $ 354 $ 185 $ 169 Operating cash flow per share $1.56 $0.83 $0.73 For 12 months ending March 31 2002 2001 Change ------------------------- Cash return on average investment 6.69% 8.81% (2.12)% Return on average common equity 10.2% 10.94% (0.74)% Net margin - operational 8.39% 7.11% 1.28% Net interest coverage 3.31 5.66 (2.35) Book value per share $33.30 $32.07 $1.23 End of period shares outstanding (millions) 223.2 220.3 2.9 As of March 31 ($ in millions) 2002 2001 Change ------------------------- Revolver capacity $1,071 $ 0 $1,071 Total gross liquidity $1,834 $1,030 $ 804 Excess liquidity $ 708 $ (578) $1,286 Total debt $7,923 $8,158 $ (235) Off-balance sheet liabilities Project debt $ 334 - $ 334 Debt of joint ventures - Entergy's share $ 349 $ 335 $ 14 Leases - Entergy's share $ 343 $ 398 $ (55) ------------------------- Total off-balance sheet liabilities $1,026 $ 733 $ 293 Rating or other contingent liabilities $ 295 - $ 295 Net debt to net capital 48.7% 51.5% (2.8)% Net debt including off-balance sheet liabilities 51.9% 53.6% (1.7)% - ---------------------------------------------------------------------------- Entergy will continue to invest both in its core utility business and in growth opportunities aimed at expanding and leveraging the advantages offered by its integrated business strategy. The company's current cash position and its considerable liquidity position combine to solidly support the current investment plan with significant flexibility to pursue other opportunities as they become available. Planned Capital Expenditures - 2002-2004 Over the next three years, Entergy plans to continue to invest in its utility business for reliability improvements and customer growth. Capital investments in Entergy's non-utility nuclear business over this same period are for maintenance improvements, power uprates, nuclear fuel procurement, and the purchase of the Vermont Yankee nuclear plant scheduled to close in June or July 2002. Energy Commodity Services plans to invest in power projects currently under construction, approximating 700 MW, and will expend capital in connection with canceling certain turbine commitments. Table 11 provides a summary of projected sources and investment of cash for the years 2002 through 2004. - ----------------------------------------------------------------------- Table 11: Entergy Corporation Projected Sources and Investment of Cash Years 2002-2004 - ----------------------------------------------------------------------- (dollars in billions) 2002-2004 Sources of cash Beginning cash at 1/1/02 0.8 Operating cash flow 5.5 Additional debt capacity (50/50 capital structure) 1.4 ---- Total cash available 7.7 Less maintenance capital expenditures 3.3 Less dividends 0.9 ---- Cash available for investment and contract cancellation 3.5 (l) - ----------------------------------------------------------------------- (l) Includes $1.0 billion for identified growth investments and turbine contract cancellation costs. Financial Outlook and Earnings Review "First quarter 2002 operating results reflect the continued strength of our businesses and their ability to deliver consistently solid performance," said C. John Wilder, Entergy's chief financial officer. "These results were achieved in spite of a local economy struggling to recover and in a broader market where negative results have become routine. Key indicators of the continuing financial health of Entergy are evident by improvements we've achieved in return on equity and operational net margin over the past three years. Our company has a strong foundation for growth with a balance sheet that includes a net debt to net capital ratio below 49 percent. We are confident that 2002 will be another very positive year and we are confirming $3.40 to $3.60 as our 2002 operational earnings per share guidance." Earnings Guidance Entergy's 2002 earnings guidance is detailed in Table 12. Key assumptions reflected in the earnings ranges estimated in Table 12 are as follows: - - Approximately 70 percent of 2002 earnings are expected from the utility. Earnings guidance is based on existing rate plans and fuel recovery mechanisms. The incremental increase expected in 2002 is the result of modest operational improvements, the full impact of the cessation of goodwill amortization, and the assumption of a normal level of allocated tax benefits from Parent. - - More than 20 percent of earnings are expected from Entergy Nuclear, where prices are set by power purchase agreements that cover 100 percent of the megawatt hours generated. The increase in nuclear earnings is expected to be provided by: a full-year's contribution at Indian Point 2; the addition of Vermont Yankee, a 510 MW nuclear acquisition that is expected to close in June or July 2002; and increased pricing of power sold under the power purchase agreement at Pilgrim. Capacity factor assumption for the overall fleet is 90 to 93 percent, and Fall 2002 refueling outages are assumed at FitzPatrick, Indian Point 2 and Vermont Yankee. - - Energy Commodity Services' guidance is based on a full year's contribution from Entergy-Koch at a 50% sharing of income, consistent with Entergy's ownership share. In addition, guidance reflects adjustments for no operating losses at Saltend and no liquidated damages from Damhead Creek. Finally, guidance reflects the continued impact of depressed spark spreads on EWO's generation portfolio. - - Parent & Other's guidance is adjusted for a normal level of allocated tax benefits, as well as reduced levels of interest income due to lower investment balances. Table 12 provides Entergy's projection of 2002 operational earnings per share with 2001 operational earnings as its data starting point.
- ------------------------------------------------------------------------- Table 12: 2002 Earnings Per Share Guidance (Per share in U.S. $) - ------------------------------------------------------------------------- 2001 2002 Guidance Operational Changes in 2002 Range Range of Impact Utility including Operational improvement & other 0.05 0.10 weather Allocation of Parent's tax (0.08) (0.08) benefits Suspension of goodwill 0.07 0.07 amortization -------------- 2.46 Total 0.04 0.09 2.50 2.55 Entergy Nuclear Indian Point 2 (full year) / 0.13 0.16 Vermont Yankee closing Increased revenue due to Pilgrim 0.05 0.06 PPA Capacity factor normalization / 0.05 0.06 outage differences/other -------------- 0.57 Total 0.23 0.28 0.80 0.85 Energy Commodity Services 0.38 Entergy-Koch (full year based on (0.12) (0.08) 50% sharing) No Saltend operating losses or 0.05 0.05 liquidated damages income on Damhead Creek EWO (post-restructuring) & lower (0.06) (0.05) project income -------------- Total (0.13) (0.08) 0.25 0.30 Parent & Other Allocation of Parent's tax 0.10 0.10 benefits Other corporate expenses (0.01) 0.03 Net interest income/(expense) (0.06) (0.05) -------------- (0.18) Total 0.03 0.08 (0.15) (0.10) ----- ------------------------------ Total 3.23 0.17 0.37 3.40 3.60 - -------------------------------------------------------------------------------------------------
Entergy's 2002 earnings guidance with March 2002 year-to-date actual results as its starting point is detailed in Table 13 below. This table reflects the projected changes in the earnings profile for each of Entergy's businesses for the remainder of 2002. - ------------------------------------------------------------------------------- Table 13: 2002 Earnings Per Share Guidance Based on March 2002 Year-To- Date Earnings - ------------------------------------------------------------------------------- (Per share in US $)
March 2002 2002 Guidance Year-To- April-December 2002 Range Date Range of Impact Utility including Base operations (normal weather) 2.06 2.11 weather Consolidated tax allocation (0.06) (0.06) Suspension of goodwill amortization 0.05 0.05 ------------- 0.45 Total 2.05 2.10 2.50 2.55 Entergy Nuclear Pilgrim, IP3, FitzPatrick, IP2 0.63 0.65 Operations (93% non-outage capacity factor) Vermont Yankee closing (including 0.07 0.08 outage) IP2 and FitzPatrick refueling outage (0.08) (0.06) impact ------------- 0.18 Total 0.62 0.67 0.80 0.85 Energy Commodity Entergy-Koch (full year based on 50% 0.13 0.17 Services sharing) EWO (post-restructuring) & lower (0.08) (0.07) project income ------------- 0.20 Total 0.05 0.10 0.25 0.30 Parent & Other Net interest income/(expense) (0.12) (0.08) Allocation of Parent's tax benefits 0.08 0.08 Other corporate expenses (0.08) (0.07) ------------- (0.03) Total (0.12) (0.07) (0.15)(0.10) ------ -------------------------- Total 0.80 2.60 2.80 3.40 3.60 - --------------------------------------------------------------------------------------------------
Appendix A provides details of kwh sales and customer statistics for the Utility. Appendix A: Utility Electric Energy Sales & Customers Three Months Ended March % Weather 2002 2001 % Adjusted (Millions of kwh) ELECTRIC ENERGY SALES: Residential 7,274 7,537 (3.5) (2.0) Commercial 5,598 5,574 0.4 1.0 Governmental 617 615 0.3 0.4 Industrial 9,590 10,311 (7.0) (7.0) ------------------- Total to Ultimate Customers 23,079 24,037 (4.0) (3.4) Wholesale 2,181 2,449 (10.9) ------------------- Total Sales 25,260 26,486 (4.6) =================== Twelve Months Ended March 2002 2001 % (Millions of kwh) ELECTRIC ENERGY SALES: Residential 30,817 33,023 (6.7) Commercial 24,730 24,952 (0.9) Governmental 2,596 2,633 (1.4) Industrial 40,855 43,650 (6.4) ------------------- Total to Ultimate Customers 98,998 104,258 (5.0) Wholesale 8,628 9,971 (13.5) ------------------- Total Sales 107,626 114,229 (5.8) =================== March 2002 2001 % ELECTRIC CUSTOMERS (YEAR TO DATE AVERAGE): Residential 2,228,532 2,212,976 0.7 Commercial 299,585 293,730 2.0 Governmental 14,892 14,589 2.1 Industrial 38,319 38,353 (0.1) --------------------- Total Ultimate Customers 2,581,328 2,559,648 0.9 Wholesale 36 41 (12.2) --------------------- Total Customers 2,581,364 2,559,689 0.9 ===================== Appendix B provides a summary of the utility's pending regulatory events and regulatory recovery mechanisms by operating subsidiary.
Appendix B: Utility Regulatory Summary Table First Quarter 2002 Company Allowed Pending Fuel Recovery ROE Cases/Events Mechanism Entergy Arkansas Previous authorized Settlement reached Annual reset based on ROE was 11.1%, with in early March, prior year's cost excess earnings placed now pending before (Jan. - Dec.). in a transition to APSC to resolve competition account. recovery of ice ROE cap and TCA storm costs. Also mechanism expired on provides for no 12/31/01 general rate case filing prior to January 2003. Entergy Gulf States - TX 10.95% Settlement order Semi-Annual reset issued in June based on gas prices 1999 froze base and surcharge. rates. Freeze extended to at least 9/15/02; current earliest date for retail open access. Entergy Gulf States - LA 11.1% (in place until Last revenue Monthly reset with 60 June 2003) review in day lag based on connection with prior two months GSU merger actual fuel and currently pending purchased power costs before commission. plus 1/12 of Hearings scheduled unrecovered fuel in second quarter balance. 2002. Annual mechanism then expires. Pursuing a formula rate plan proposal. Entergy Louisiana 9.7%-11.3% Sixth annual Monthly reset with 60 plus ELI retains 40% formula rate plan day lag based on of earnings above top filing is pending prior two months of bandwidth before commission actual fuel and with immaterial purchased power costs overearnings. New plus 1/12 of general rate case unrecovered fuel filing would occur balance. in second quarter 2002. Filed proposal for a new formula rate plan, as requested by commission, that would supercede any general rate case filing. Entergy Mississippi 8.82%-11.32% Annual formula Quarterly reset based plus EMI retains 50% rate plan in on forecasted costs of earnings above top place. Authorized plus fuel balance. of bandwidth ROE adjusts each year based on filing. EMI filed in March 2002, pending before commission. Entergy New Orleans 11.4% Settlement Monthly reset with 60 agreement in 1998 day lag based on set current rates. prior two months Previously actual fuel and deferred general purchased power costs rate case filing plus 1/12 unrecovered now scheduled for fuel balance. June 1, 2002. System Energy Resources 10.94% FERC order on 1995 Actual costs billed Inc. rate filing became as incurred. final in July 2001. No new filings currently scheduled.
Supplemental Definitions Appendix C provides definitions of certain operational and financial performance measures referenced in this release. Appendix C: Definitions of Operational and Financial Performance Measures Operational Measures Utility Generation in GWh Total number of GWh produced by all utility generation facilities GWh billed Total number of GWh billed to all customer classes Weather degree day deviation from normal The deviation from historical normal temperatures, measured in degree days. Operation & maintenance expense Operation and maintenance and nuclear refueling expenses per MWh generated, excluding fuel SAIFI System average interruption frequency index SAIDI System average interruption duration index Reliability complaints Number of complaints to regulators concerning reliability issues Safety Number of accidents resulting in lost work time Number of customers Year-to-date average number of customers Competitive Businesses Percent of planned MWh generation sold forward Percent of planned generation output sold forward under capacity contract, forward physical contract or forward financial contract, consistent with assumptions used in earnings guidance Entergy Nuclear Net MW in operation Installed capacity owned or operated by Entergy Nuclear Average PPA price Total purchase power agreement revenue per MWh for all non-utility nuclear facilities Production cost/MWh Operation and maintenance expenses plus fuel costs/lease charges per MWh Generation in GWh Total number of GWh produced by all non- utility nuclear facilities Capacity factor The percentage of the period that the plant generates power calculated by dividing the output by the capacity and normalizing the time period Refueling outage duration Number of generation days lost for a scheduled refueling outage Energy Commodity Services Entergy-Koch Trading Electricity volatility Average volatility of into-Entergy power prices for the period Gas volatility Average volatility of Henry Hub spot prices for the period Electricity marketed (GWh) Total physical GWh volumes marketed in the U.S. during the period Gas marketed (Bcf/d) Physical Bcf/d volumes marketed in the U.S. during the period Gain/loss days Ratio of days where trading gains exceeded trading losses in the aggregate across all commodities Gulf South Pipeline Throughput Gas in Bcf/d transported by the pipeline during the period Miles of pipeline Total miles of transmission and gathering pipeline in miles Storage capacity Working gas storage capacity Production cost Cost in $/mmbtu associated with delivering gas, excluding cost of gas Entergy Wholesale Operations Net MW in operation Total MW owned and operated Net MW under construction Total MW owned and under construction Mark-to-Market Disclosures Mark-to-market earnings as percent of consolidated After-tax net income of projects or earnings businesses with mark-to-market earnings divided by consolidated operational earnings Open equity Mark-to-market assets minus mark-to-market liabilities Cumulative percentage of mark-to-market Percentage of mark-to-market assets and realization liabilities expected to be realized in cash assuming held to maturity and no change in market price
Appendix C - Supplemental Definitions continued Financial Measures Cash return on average investment 12-months rolling EBITDA divided by average investment, which is net plant plus accumulated depreciation plus working capital Return on average common equity 12-months rolling operational net income divided by average common equity Net margin - operational 12-months rolling net income adjusted to exclude the impact of special items divided by 12 months rolling revenue Net interest coverage 12-months rolling EBITDA divided by 12- months rolling net interest expense, which is gross interest less dividend and interest income Revolver capacity Amount of capacity remaining on corporate and subsidiary revolvers Total gross liquidity Sum of cash and revolver capacity Excess liquidity Difference between total gross liquidity and short-term debt, including repayment of the revolver Total debt Sum of short-term and long-term debt and capital leases less non-recourse debt Project debt Financing at subsidiaries to support specific projects Debt of joint ventures (50% share) Debt issued for Entergy-Koch L.P. and RS Cogen joint ventures Leases Operating leases held by subsidiaries capitalized at implicit interest rate Rating or other contingent liabilities Parent guarantees for which cash collateral may be required in event of downgrade below investment grade Net debt to net capital Gross debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents Net debt including off-balance sheet liabilities Sum of gross debt and off-balance sheet debt less cash and cash equivalents divided by total capitalization less cash and cash equivalents
Entergy's common stock is listed on the New York, Chicago, and Pacific exchanges under the symbol "ETR". Additional investor information can be accessed on-line at www.entergy.com/earnings Teleconference and Webcast Details Entergy's senior management team will host an earnings conference call at 10:00 a.m. CDST, Thursday, April 25, 2002. The call can be accessed by dialing 719-457-2641, the confirmation code is 602701. Please call no more than 15 minutes prior to the scheduled start time. The call can also be accessed via Entergy's web site at www.entergy.com/webcasts. A replay of the teleconference will be available through Thursday, May 2, 2002 by dialing 719-457-0820, confirmation code 602701. The replay will also be available on Entergy's web site at www.entergy.com/webcasts. ********************************************************************** ************************************************************** The following constitutes a "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: Investors are cautioned that forward-looking statements contained herein with respect to the revenues, earnings, performance, strategies, prospects and other aspects of the business of Entergy Corporation, Entergy Arkansas, Inc., Entergy Gulf States, Inc., Entergy Louisiana, Inc., Entergy Mississippi, Inc., Entergy New Orleans, Inc., and System Energy Resources, Inc. and their affiliated companies may involve risks and uncertainties. A number of factors could cause actual results or outcomes to differ materially from those indicated by such forward- looking statements. These factors include, but are not limited to, risks and uncertainties relating to: the effects of weather, the performance of generating units and transmission systems, the possession of nuclear materials, fuel and purchased power prices and availability, the effects of regulatory decisions and changes in law, litigation, capital spending requirements, and the availability of capital, the onset of competition, the ability to recover net regulatory assets and other potential stranded costs, the effects of recent developments in the California electricity market on the utility industry nationally, advances in technology, changes in accounting standards, corporate restructuring and changes in capital structure, the success of new business ventures, changes in the markets for electricity and other energy-related commodities, including the use of financial and derivative instruments and volatility of changes in market prices, changes in interest rates and in financial and foreign currency markets generally, the economic climate and growth in Entergy's service territories, changes in corporate strategies, and other factors.
Entergy Corporation Consolidating Balance Sheet March 31, 2002 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses ASSETS CURRENT ASSETS Cash and cash equivalents: Cash $ 108,891 $ 2,684 $ 46,614 $ - $ 158,189 Temporary cash investments - at cost, which approximates market 220,154 26,651 357,883 - 604,688 Special deposits - 46 373 - 419 ----------- ---------- ---------- ----------- ----------- Total cash and cash equivalents 329,045 29,381 404,870 - 763,295 ----------- ---------- ---------- ----------- ----------- Other temporary investments - - - - - Notes receivable 13 214,441 145,328 (311,878) 47,904 Accounts receivable: Customer 270,725 206 767 - 271,697 Allowance for doubtful accounts (8,847) (2,064) (8,275) - (19,186) Associated companies 10,830 111,179 (91,890) (30,120) - Other 88,601 4,203 132,315 - 225,118 Accrued unbilled revenues 278,171 - 89 - 278,260 ----------- ---------- ---------- ----------- ----------- Total receivables 639,480 113,524 33,006 (30,120) 755,889 Deferred fuel costs 127,280 - - - 127,280 Accumulated deferred income taxes 52,056 8 - (20,027) 32,038 Fuel inventory - at average cost 108,695 - 2,016 18 110,729 Materials and supplies - at average cost 324,600 33 140,510 - 465,143 Deferred nuclear refueling outage costs 17,685 - 44,083 - 61,768 Prepayments and other 55,754 3,172 35,826 - 94,754 ----------- ---------- ---------- ----------- ----------- TOTAL 1,654,608 360,559 805,639 (362,007) 2,458,800 ----------- ---------- ---------- ----------- ----------- OTHER PROPERTY AND INVESTMENTS Investment in affiliates - at equity 216 9,017,724 676,995 (9,017,724) 677,211 Decommissioning trust funds 854,850 - 918,826 - 1,773,676 Non-utility property - at cost (less accumulated depreciation) 224,246 40,674 29,924 - 294,845 Other 19,894 65,319 379,796 (23,158) 441,850 ----------- ---------- ---------- ----------- ----------- TOTAL 1,099,206 9,123,717 2,005,541 (9,040,882) 3,187,582 ----------- ---------- ---------- ----------- ----------- PROPERTY, PLANT, AND EQUIPMENT Electric 24,566,292 5,778 1,839,691 - 26,411,761 Property under capital lease 750,950 - - - 750,950 Natural gas 203,812 - - - 203,812 Construction work in progress 809,062 9,495 196,217 (6,268) 1,008,507 Nuclear fuel under capital lease 279,621 - - - 279,621 Nuclear fuel 23,377 - 172,661 - 196,039 ----------- ---------- ---------- ----------- ----------- TOTAL PROPERTY, PLANT AND EQUIPMENT 26,633,114 15,273 2,208,569 (6,268) 28,850,690 Less - accumulated depreciation and amortization 11,816,391 4,482 140,518 - 11,961,391 ----------- ---------- ---------- ----------- ----------- PROPERTY, PLANT AND EQUIPMENT - NET 14,816,723 10,791 2,068,051 (6,268) 16,889,299 ----------- ---------- ---------- ----------- ----------- DEFERRED DEBITS AND OTHER ASSETS Regulatory assets: SFAS 109 regulatory asset - net 943,918 - - - 943,918 Unamortized loss on reacquired debt 164,020 - - - 164,020 Other regulatory assets 710,923 - - - 710,923 Long-term receivables 27,270 - - - 27,270 Goodwill 374,099 - 3,373 - 377,472 Other 153,255 461,582 603,632 (467,897) 750,572 ----------- ---------- ---------- ----------- ----------- TOTAL 2,373,485 461,582 607,005 (467,897) 2,974,175 ----------- ---------- ---------- ----------- ----------- TOTAL ASSETS $19,944,022 $9,956,649 $5,486,236 $(9,877,054) $25,509,856 =========== ========== ========== =========== =========== *Totals may not foot due to rounding.
Entergy Corporation Consolidating Balance Sheet March 31, 2002 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Currently maturing long-term debt $ 472,034 $ - $ 98,142 $ - $ 570,176 Notes payable: Associated companies - 89,398 222,352 (311,750) - Other 47 407,000 304 - 407,351 Account payable: Associated companies (9,444) 101,968 (74,036) (18,487) - Other 421,116 5,283 96,617 - 523,016 Customer deposits 190,372 62 160 - 190,594 Taxes accrued 471,404 329,505 29,790 - 830,699 Accumulated deferred income taxes - - 20,027 (20,027) - Nuclear refueling outage costs 5,125 - - - 5,125 Interest accrued 131,550 1,593 26,850 - 159,993 Obligations under capital leases 149,300 - - - 149,300 Other 105,535 9,192 98,235 (14,383) 198,580 ----------- ---------- ---------- ----------- ----------- TOTAL 1,937,039 944,001 518,441 (364,647) 3,034,834 ----------- ---------- ---------- ----------- ----------- DEFERRED CREDITS AND OTHER LIABILITIES Accumulated deferred income taxes 3,515,121 (35,696) (69,143) - 3,410,282 Accumulated deferred investment tax credits 465,290 - - - 465,290 Taxes accrued - 250,000 - - 250,000 Obligations under capital leases 191,863 - 15 - 191,879 Other regulatory liabilities 172,547 - - - 172,547 Decommisioning 286,368 - 918,757 - 1,205,125 Transition to competition 233,099 - - - 233,099 Regulatory reserves 47,308 - - - 47,308 Accumulated provisions 289,354 (4) 325,341 - 614,691 Other 886,880 44,164 329,236 (441,818) 818,463 ----------- ---------- ---------- ----------- ----------- TOTAL 6,087,830 258,464 1,504,206 (441,818) 7,408,684 ----------- ---------- ---------- ----------- ----------- Long-term debt 5,746,475 16,357 1,358,760 (62,689) 7,058,904 Preferred stock with sinking fund 24,781 - - - 24,781 Preferred stock without sinking fund 334,337 - - - 334,337 Company-obligated mandatorily redeemable preferred securities of subsidiary trust holding solely junior subordinated deferrable debentures 215,000 - - - 215,000 SHAREHOLDERS' EQUITY Common stock 2,225,870 402,665 1,566,689 (4,192,741) 2,482 Authorized shares 500,000,000 Issued shares CY 248,174,087 Paid-in capital 1,784,097 5,534,527 605,103 (3,259,797) 4,663,931 Retained earnings 1,589,416 3,496,666 (12,554) (1,587,405) 3,486,122 Accumulated other comprehensive income (loss) (823) (4,491) (25,793) 3,427 (27,679) Less - treasury stock, at cost - 691,540 28,616 (28,616) 691,540 Shares CY 24,964,112 ----------- ---------- ---------- ----------- ----------- TOTAL 5,598,560 8,737,827 2,104,829 (9,007,900) 7,433,316 ----------- ---------- ---------- ----------- ----------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $19,944,022 $9,956,649 $5,486,236 $(9,877,054) $25,509,856 =========== ========== ========== =========== =========== *Totals may not foot due to rounding.
Entergy Corporation Consolidating Balance Sheet December 31, 2001 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses ASSETS CURRENT ASSETS Cash and cash equivalents: Cash $ 94,340 $ 2,638 $ 32,888 $ - $ 129,866 Temporary cash investments - at cost, which approximates market 360,491 25,239 232,598 - 618,327 Special deposits - 267 3,113 - 3,380 ----------- ---------- ----------- ----------- ----------- Total cash and cash equivalents 454,831 28,144 268,599 - 751,573 ----------- ---------- ----------- ----------- ----------- Other temporary investments 145,218 4,782 - - 150,000 Notes receivable 73 293,621 239,678 (531,235) 2,137 Accounts receivable: Customer 294,691 108 (1) - 294,799 Allowance for doubtful accounts (8,847) (2,064) (8,345) - (19,255) Associated companies 26,876 94,578 (77,107) (44,347) - Other 146,143 4,240 135,339 950 286,671 Accrued unbilled revenues 268,578 - 102 - 268,680 ----------- ---------- ----------- ----------- ----------- Total receivables 727,441 96,862 49,988 (43,397) 830,895 Deferred fuel costs 172,444 - - - 172,444 Accumulated deferred income taxes 27,098 8 - (20,618) 6,488 Fuel inventory - at average cost 95,863 - 1,615 18 97,497 Materials and supplies - at average cost 325,713 30 134,900 - 460,644 Deferred nuclear refueling outage costs 27,332 - 52,424 - 79,755 Prepayments and other 100,423 3,444 25,385 - 129,251 ----------- ---------- ----------- ----------- ----------- TOTAL 2,076,436 426,891 772,589 (595,232) 2,680,684 ----------- ---------- ----------- ----------- ----------- OTHER PROPERTY AND INVESTMENTS Investment in affiliates - at equity 216 8,781,346 765,889 (8,781,347) 766,103 Decommissioning trust funds 854,705 - 921,245 - 1,775,950 Non-utility property - at cost (less accumulated depreciation) 224,688 41,307 29,621 - 295,616 Other 18,946 69,693 430,060 (23,158) 495,542 ----------- ---------- ----------- ----------- ----------- TOTAL 1,098,555 8,892,346 2,146,815 (8,804,505) 3,333,211 ----------- ---------- ----------- ----------- ----------- PROPERTY, PLANT, AND EQUIPMENT Electric 24,491,170 5,758 1,862,448 - 26,359,376 Property under capital lease 753,310 - - - 753,310 Natural gas 201,841 - - - 201,841 Construction work in progress 711,670 9,214 168,224 (6,278) 882,829 Nuclear fuel under capital lease 265,464 - - - 265,464 Nuclear fuel 36,611 - 195,775 - 232,387 ----------- ---------- ----------- ----------- ----------- TOTAL PROPERTY, PLANT AND EQUIPMENT 26,460,066 14,972 2,226,447 (6,278) 28,695,207 Less - accumulated depreciation and amortization 11,674,308 4,167 127,103 - 11,805,578 ----------- ---------- ----------- ----------- ----------- PROPERTY, PLANT AND EQUIPMENT - NET 14,785,758 10,805 2,099,344 (6,278) 16,889,629 ----------- ---------- ----------- ----------- ----------- DEFERRED DEBITS AND OTHER ASSETS Regulatory assets: SFAS 109 regulatory asset - net 946,126 - - - 946,126 Unamortized loss on reacquired debt 166,546 - - - 166,546 Other regulatory assets 707,439 - - - 707,439 Long-term receivables 28,091 (8) - - 28,083 Goodwill 374,099 - 3,373 - 377,472 Other 126,644 460,927 659,060 (465,511) 781,121 ----------- ---------- ----------- ----------- ----------- TOTAL 2,348,945 460,919 662,433 (465,511) 3,006,787 ----------- ---------- ----------- ----------- ----------- TOTAL ASSETS $20,309,695 $9,790,961 $ 5,681,181 $(9,871,526) $25,910,311 =========== ========== =========== =========== =========== *Totals may not foot due to rounding.
Entergy Corporation Consolidating Balance Sheet December 31, 2001 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Currently maturing long-term debt $ 584,438 $ - $ 98,333 $ - $ 682,771 Notes payable: Associated companies - 229,444 302,774 (532,218) - Other 713 350,001 304 - 351,018 Account payable: Associated companies (3,677) 96,911 (62,040) (31,194) - Other 508,333 6,147 78,049 - 592,529 Customer deposits 188,176 53 - - 188,230 Taxes accrued 350,178 333,270 16,685 - 700,133 Accumulated deferred income taxes - - 20,618 (20,618) - Nuclear refueling outage costs 2,080 - - - 2,080 Interest accrued 180,276 2,239 9,905 - 192,420 Obligations under capital leases 149,352 - - - 149,352 Other 176,907 9,357 171,325 (12,203) 345,387 ----------- ---------- ----------- ----------- ----------- TOTAL 2,136,777 1,027,422 635,953 (596,233) 3,203,920 ----------- ---------- ----------- ----------- ----------- DEFERRED CREDITS AND OTHER LIABILITIES Accumulated deferred income taxes 3,558,937 (35,485) 51,212 - 3,574,664 Accumulated deferred investment tax credits 471,090 - - - 471,090 Taxes accrued - 250,000 - - 250,000 Obligations under capital leases 181,070 - 15 - 181,085 Other regulatory liabilities 135,878 - - - 135,878 Decommisioning 285,029 - 909,304 - 1,194,333 Transition to competition 231,512 - - - 231,512 Regulatory reserves 37,591 - - - 37,591 Accumulated provisions 291,192 (4) 134,210 - 425,399 Other 852,388 44,437 397,272 (441,828) 852,269 ----------- ---------- ----------- ----------- ----------- TOTAL 6,044,687 258,948 1,492,013 (441,828) 7,353,821 ----------- ---------- ----------- ----------- ----------- Long-term debt 6,007,199 15,307 1,360,464 (61,942) 7,321,028 Preferred stock with sinking fund 26,185 - - - 26,185 Preferred stock without sinking fund 334,337 - - - 334,337 Company-obligated mandatorily redeemable preferred securities of subsidiary trust holding solely junior subordinated deferrable debentures 215,000 - - - 215,000 SHAREHOLDERS' EQUITY Common stock 2,225,870 402,665 1,566,689 (4,192,740) 2,482 Authorized shares 500,000,000 Issued shares CY 248,174,087 Paid-in capital 1,784,097 5,528,328 578,083 (3,227,805) 4,662,704 Retained earnings 1,535,757 3,387,557 164,110 (1,448,978) 3,638,448 Accumulated other comprehensive income (loss) (214) (70,447) (87,516) 69,383 (88,794) Less - treasury stock, at cost - 758,820 28,616 (28,616) 758,820 Shares CY 27,441,384 ----------- ---------- ----------- ----------- ----------- TOTAL 5,545,510 8,489,283 2,192,750 (8,771,524) 7,456,020 ----------- ---------- ----------- ----------- ----------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $20,309,695 $9,790,961 $5,681,181 $(9,871,526) $25,910,311 =========== ========== =========== =========== =========== * Totals may not foot due to rounding.
Entergy Corporation Consolidating Balance Sheet March 31, 2002 vs December 31, 2001 Increase/(Decrease) (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses ASSETS CURRENT ASSETS Cash and cash equivalents: Cash $ 14,551 $ 46 $ 13,726 $ - $ 28,323 Temporary cash investments - at cost, which approximates market (140,337) 1,412 125,285 - (13,639) Special deposits - (221) (2,740) - (2,961) ----------- ---------- ----------- ----------- ----------- Total cash and cash equivalents (125,786) 1,237 136,271 - 11,722 ----------- ---------- ----------- ----------- ----------- Other temporary investments (145,218) (4,782) - - (150,000) Notes receivable (60) (79,180) (94,350) 219,357 45,767 Accounts receivable: Customer (23,966) 98 768 - (23,102) Allowance for doubtful accounts - - 70 - 69 Associated companies (16,046) 16,601 (14,783) 14,227 - Other (57,542) (37) (3,024) (950) (61,553) Accrued unbilled revenues 9,593 - (13) - 9,580 ----------- ---------- ----------- ----------- ----------- Total receivables (87,961) 16,662 (16,982) 13,277 (75,006) Deferred fuel costs (45,164) - - - (45,164) Accumulated deferred income taxes 24,958 - - 591 25,550 Fuel inventory - at average cost 12,832 - 401 - 13,232 Materials and supplies - at average cost (1,113) 3 5,610 - 4,499 Deferred nuclear refueling outage costs (9,647) - (8,341) - (17,987) Prepayments and other (44,669) (272) 10,441 - (34,497) ----------- ---------- ----------- ----------- ----------- TOTAL (421,828) (66,332) 33,050 233,225 (221,884) ----------- ---------- ----------- ----------- ----------- OTHER PROPERTY AND INVESTMENTS Investment in affiliates - at equity - 236,378 (88,894) (236,377) (88,892) Decommissioning trust funds 145 - (2,419) - (2,274) Non-utility property - at cost (less accumulated depreciation) (442) (633) 303 - (771) Other 948 (4,374) (50,264) - (53,692) ----------- ---------- ----------- ----------- ----------- TOTAL 651 231,371 (141,274) (236,377) (145,629) ----------- ---------- ----------- ----------- ----------- PROPERTY, PLANT, AND EQUIPMENT Electric 75,122 20 (22,757) - 52,385 Property under capital lease (2,360) - - - (2,360) Natural gas 1,971 - - - 1,971 Construction work in progress 97,392 281 27,993 10 125,678 Nuclear fuel under capital lease 14,157 - - - 14,157 Nuclear fuel (13,234) - (23,114) - (36,348) ----------- ---------- ----------- ----------- ----------- TOTAL PROPERTY, PLANT AND EQUIPMENT 173,048 301 (17,878) 10 155,483 Less - accumulated depreciation and amortization 142,083 315 13,415 - 155,813 ----------- ---------- ----------- ----------- ----------- PROPERTY, PLANT AND EQUIPMENT - NET 30,965 (14) (31,293) 10 (330) ----------- ---------- ----------- ----------- ----------- DEFERRED DEBITS AND OTHER ASSETS Regulatory assets: SFAS 109 regulatory asset - net (2,208) - - - (2,208) Unamortized loss on reacquired debt (2,526) - - - (2,526) Other regulatory assets 3,484 - - - 3,484 Long-term receivables (821) 8 - - (813) Goodwill - - - - - Other 26,611 655 (55,428) (2,386) (30,549) ----------- ---------- ----------- ----------- ----------- TOTAL 24,540 663 (55,428) (2,386) (32,612) ----------- ---------- ----------- ----------- ----------- TOTAL ASSETS $ (365,673) $ 165,688 $ (194,945) $ (5,528) $ (400,455) =========== ========== =========== =========== =========== *Totals may not foot due to rounding.
Entergy Corporation Consolidating Balance Sheet March 31, 2002 vs December 31, 2001 Increase/(Decrease) (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Currently maturing long-term debt $ (112,404) $ - $ (191) $ - $(112,595) Notes payable: Associated companies - (140,046) (80,422) 220,468 - Other (666) 56,999 - - 56,333 Account payable: Associated companies (5,767) 5,057 (11,996) 12,707 - Other (87,217) (864) 18,568 - (69,513) Customer deposits 2,196 9 160 - 2,364 Taxes accrued 121,226 (3,765) 13,105 - 130,566 Accumulated deferred income taxes - - (591) 591 - Nuclear refueling outage costs 3,045 - - - 3,045 Interest accrued (48,726) (646) 16,945 - (32,427) Obligations under capital leases (52) - - - (52) Other (71,372) (165) (73,090) (2,180) (146,807) ----------- ---------- ----------- ----------- ----------- TOTAL (199,738) (83,421) (117,512) 231,586 (169,086) ----------- ---------- ----------- ----------- ----------- DEFERRED CREDITS AND OTHER LIABILITIES Accumulated deferred income taxes (43,816) (211) (120,355) - (164,382) Accumulated deferred investment tax credits (5,800) - - - (5,800) Taxes accrued - - - - - Obligations under capital leases 10,793 - - - 10,794 Other regulatory liabilities 36,669 - - - 36,669 Decommisioning 1,339 - 9,453 - 10,792 Transition to competition 1,587 - - - 1,587 Regulatory reserves 9,717 - - - 9,717 Accumulated provisions (1,838) - 191,131 - 189,292 Other 34,492 (273) (68,036) 10 (33,806) ----------- ---------- ----------- ----------- ----------- TOTAL 43,143 (484) 12,193 10 54,863 ----------- ---------- ----------- ----------- ----------- Long-term debt (260,724) 1,050 (1,704) (747) (262,124) Preferred stock with sinking fund (1,404) - - - (1,404) Preferred stock without sinking fund - - - - - Company-obligated mandatorily redeemable preferred securities of subsidiary trust holding solely junior subordinated deferrable debentures - - - - - SHAREHOLDERS' EQUITY Common stock - - - (1) - Authorized shares Issued shares CY Paid-in capital - 6,199 27,020 (31,992) 1,227 Retained earnings 53,659 109,109 (176,664) (138,427) (152,326) Accumulated other comprehensive income (loss) (609) 65,956 61,723 (65,956) 61,115 Less - treasury stock, at cost - (67,280) - - (67,280) ----------- ---------- ----------- ----------- ----------- TOTAL 53,050 248,544 (87,921) (236,376) (22,704) ----------- ---------- ----------- ----------- ----------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ (365,673) $ 165,688 $ (194,945) $ (5,528) $ (400,455) =========== ========== =========== =========== =========== * Totals may not foot due to rounding.
Entergy Corporation Consolidating Statement of Operations Three Months Ended March 31, 2002 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses OPERATING REVENUES: Domestic electric $1,401,422 $ - $ - $ (413) $ 1,401,009 Natural gas 46,377 - - - 46,377 Competitive businesses - 9,001 404,656 (210) 413,448 ---------- --------- --------- ----------- ----------- Total 1,447,799 9,001 404,656 (623) 1,860,834 OPERATING EXPENSES: Operating and Maintenance: Fuel, fuel related expenses, and gas purchased for resale 395,879 - 72,982 - 468,861 Purchased power 131,092 115 38,600 (321) 169,486 ---------- --------- --------- ----------- ----------- Gross Margin 920,828 8,886 293,074 (302) 1,222,487 Margin % 63.6% 98.7% 72.4% 48.5% 65.7% Nuclear refueling outage expenses 15,588 - 9,599 - 25,187 Other operation and maintenance 337,544 15,962 572,782 (562) 925,725 Decommissioning 8,193 - - - 8,193 Taxes other than income taxes 87,999 576 13,795 - 102,370 ---------- --------- --------- ----------- ----------- Total 976,295 16,653 707,758 (883) 1,699,822 ---------- --------- --------- ----------- ----------- EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION 471,504 (7,652) (303,102) 260 161,012 ---------- --------- --------- ----------- ----------- Margin % 32.6% (85.0%) (74.9%) (41.7%) 8.7% DEPRECIATION AND AMORTIZATION: Depreciation and amortization 189,887 1,474 13,762 - 205,124 Other regulatory charges (credits) 1,563 - - - 1,563 ---------- --------- --------- ----------- ----------- Total 191,450 1,474 13,762 - 206,687 ---------- --------- --------- ----------- ----------- OPERATING INCOME (LOSS) 280,054 (9,126) (316,864) 260 (45,675) ---------- --------- --------- ----------- ----------- Margin % 19.3% (101.4%) (78.3%) (41.7%) (2.5%) OTHER INCOME (DEDUCTIONS): Allowance for equity funds used during construction 6,682 - - - 6,682 Gain/(loss) on sale of assets - net 663 2 - - 665 Interest and dividend income 4,515 7,129 18,716 (6,835) 23,525 Equity in earnings of unconsolidated equity affiliates - - 75,065 - 75,065 Miscellaneous - net (4,522) (2,541) (3,750) (260) (11,072) ---------- --------- --------- ----------- ----------- Total 7,338 4,590 90,031 (7,095) 94,865 ---------- --------- --------- ----------- ----------- INTEREST AND OTHER CHARGES: Interest on long-term debt 107,293 - 16,234 - 123,527 Other interest - net 7,409 5,822 19,078 (6,835) 25,473 Distributions on preferred securities of subsidiaries 4,709 - - - 4,709 Allowance for borrowed funds used during construction (5,638) - - - (5,638) ---------- --------- --------- ----------- ----------- Total 113,773 5,822 35,312 (6,835) 148,071 ---------- --------- --------- ----------- ----------- INCOME (LOSS) BEFORE INCOME TAXES 173,620 (10,357) (262,145) - (98,881) INCOME TAXES 65,376 (4,191) (87,083) - (25,898) ---------- --------- --------- ----------- ----------- CONSOLIDATED NET INCOME (LOSS) 108,244 (6,166) (175,062) - (72,983) PREFERRED DIVIDEND REQUIREMENTS OF SUBSIDIARIES AND OTHER 5,940 - - - 5,940 ---------- --------- --------- ----------- ----------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $ 102,304 $ (6,166) $(175,062) $ - $ (78,923) ========== ========= ========= =========== =========== Margin % 7.1% (68.5%) (43.3%) - (4.2%) EARNINGS (LOSS) PER AVERAGE COMMON SHARE: BASIC $0.46 ($0.03) ($0.79) ($0.36) DILUTED $0.45 ($0.03) ($0.77) ($0.35) AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: BASIC 221,943,451 DILUTED 226,165,792 *Totals may not foot due to rounding.
Entergy Corporation Consolidating Income Statement Three Months Ended March 31, 2001 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses OPERATING REVENUES: Domestic electric $1,873,323 $ - $ - $ (778) $ 1,872,545 Natural gas 110,384 - - - 110,384 Competitive businesses - 12,390 657,321 (213) 669,498 --------------------------------------------------------------- Total 1,983,707 12,390 657,321 (991) 2,652,427 OPERATING EXPENSES: Operating and Maintenance: Fuel, fuel related expenses, and gas purchased for resale 827,295 - 298,568 - 1,125,863 Purchased power 225,810 - 137,622 447 363,879 --------------------------------------------------------------- Gross Margin 930,602 12,390 221,131 (1,438) 1,162,685 Margin % 46.9% 100.0% 33.6% 145.1% 43.8% Nuclear refueling outage expenses 17,207 - - - 17,207 Other operation and maintenance 301,837 30,392 139,965 (1,735) 470,459 Decommissioning 8,901 - - - 8,901 Taxes other than income taxes 89,979 585 11,899 - 102,463 --------------------------------------------------------------- Total 1,471,029 30,977 588,054 (1,288) 2,088,772 --------------------------------------------------------------- EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION 512,678 (18,587) 69,267 297 563,655 --------------------------------------------------------------- Margin % 25.8% (150.0%) 10.5% (30.0%) 21.3% DEPRECIATION AND AMORTIZATION: Depreciation and amortization 190,423 1,085 11,569 - 203,077 Other regulatory charges (credits) (389) - - - (389) --------------------------------------------------------------- Total 190,034 1,085 11,569 - 202,688 --------------------------------------------------------------- OPERATING INCOME (LOSS) 322,644 (19,672) 57,698 297 360,967 --------------------------------------------------------------- Margin % 16.3% (158.8%) 8.8% (30.0%) 13.6% OTHER INCOME (DEDUCTIONS): Allowance for equity funds used during construction 4,943 - - - 4,943 Gain/(loss) on sale of assets - net 584 - 4 - 588 Interest and dividend income 22,856 17,112 23,391 (15,883) 47,476 Equity in earnings of unconsolidated equity affiliates - - 25,064 - 25,064 Miscellaneous - net (8,315) (45) 16,573 (297) 7,917 --------------------------------------------------------------- Total 20,068 17,067 65,032 (16,180) 85,988 --------------------------------------------------------------- INTEREST AND OTHER CHARGES: Interest on long-term debt 119,957 - 9,014 - 128,971 Other interest - net 16,043 9,857 37,897 (15,883) 47,914 Distributions on preferred securities of subsidiaries 4,709 - - - 4,709 Allowance for borrowed funds used during construction (3,939) - - - (3,939) --------------------------------------------------------------- Total 136,770 9,857 46,911 (15,883) 177,655 --------------------------------------------------------------- INCOME (LOSS) BEFORE INCOME TAXES 205,942 (12,462) 75,819 - 269,300 INCOME TAXES 85,505 (4,590) 27,515 - 108,429 --------------------------------------------------------------- CONSOLIDATED NET INCOME (LOSS) 120,437 (7,872) 48,304 - 160,871 PREFERRED DIVIDEND REQUIREMENTS OF SUBSIDIARIES AND OTHER 6,716 - - - 6,716 --------------------------------------------------------------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $ 113,721 $ (7,872) $ 48,304 $ - $ 154,155 =============================================================== Margin % 5.7% (63.5%) 7.3% - 5.8% EARNINGS (LOSS) PER AVERAGE COMMON SHARE: BASIC $0.52 ($0.04) $0.22 $0.70 DILUTED $0.51 ($0.04) $0.22 $0.69 AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: BASIC 219,917,139 DILUTED 223,785,716 *Totals may not foot due to rounding.
Entergy Corporation Consolidating Income Statement Three Months Ended March 31, 2002 vs. 2001 Increase/(Decrease) (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses OPERATING REVENUES: Domestic electric $(471,901) $ - $ - $ 365 $ (471,536) Natural gas (64,007) - - - (64,007) Competitive businesses - (3,389) (252,665) 3 (256,051) --------- --------- ---------- ----------- ---------- Total (535,908) (3,389) (252,665) 368 (791,594) OPERATING EXPENSES: Operating and Maintenance: - - Fuel, fuel related expenses, and gas purchased for resale (431,416) - (225,586) - (657,002) Purchased power (94,718) 115 (99,022) (768) (194,393) --------- --------- ---------- ----------- ---------- Gross Margin (9,774) (3,504) 71,943 1,136 59,802 Margin % 16.7% (1.3%) 38.8% (96.6%) 21.9% Nuclear refueling outage expenses (1,619) - 9,599 - 7,980 Other operation and maintenance 35,707 (14,430) 432,817 1,173 455,266 Decommissioning (708) - - - (708) Taxes other than income taxes (1,980) (9) 1,896 - (93) --------- --------- ---------- ----------- ---------- Total (494,734) (14,324) 119,704 405 (388,950) --------- --------- ---------- ----------- ---------- EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION (41,174) 10,935 (372,369) (37) (402,644) --------- --------- ---------- ----------- ---------- Margin % 6.7% 65.0% (85.4%) (11.8%) (12.6%) DEPRECIATION AND AMORTIZATION: - Depreciation and amortization (536) 389 2,193 - 2,047 Other regulatory charges (credits) 1,952 - - - 1,952 --------- --------- ---------- ----------- ---------- Total 1,416 389 2,193 - 3,999 --------- --------- ---------- ----------- ---------- OPERATING INCOME (LOSS) (42,590) 10,546 (374,562) (37) (406,643) --------- --------- ---------- ----------- ---------- Margin % 3.1% 57.4% (87.1%) (11.8%) (16.1%) OTHER INCOME (DEDUCTIONS): Allowance for equity funds used during construction 1,739 - - - 1,739 Gain/(loss) on sale of assets - net 79 2 (4) - 77 Interest and dividend income (18,341) (9,983) (4,675) 9,048 (23,951) Equity in earnings of unconsolidated equity affiliates - - 50,001 - 50,001 Miscellaneous - net 3,793 (2,496) (20,323) 37 (18,989) --------- --------- ---------- ----------- ---------- Total (12,730) (12,477) 24,999 9,085 8,877 --------- --------- ---------- ----------- ---------- INTEREST AND OTHER CHARGES: Interest on long-term debt (12,664) - 7,220 - (5,444) Other interest - net (8,634) (4,035) (18,819) 9,048 (22,441) Distributions on preferred securities of subsidiaries - - - - - Allowance for borrowed funds used during construction (1,699) - - - (1,699) --------- --------- ---------- ----------- ---------- Total (22,997) (4,035) (11,599) 9,048 (29,584) --------- --------- ---------- ----------- ---------- INCOME (LOSS) BEFORE INCOME TAXES (32,323) 2,104 (337,964) - (368,182) INCOME TAXES (20,129) 399 (114,598) - (134,327) --------- --------- ---------- ----------- ---------- CONSOLIDATED NET INCOME (LOSS) (12,194) 1,705 (223,366) - (233,855) PREFERRED DIVIDEND REQUIREMENTS OF SUBSIDIARIES AND OTHER (776) - - - (776) --------- --------- ---------- ----------- ---------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $(11,418) $ 1,705 $ (223,366) $ - $(233,079) ========= ========= ========== =========== ========== Margin % 1.3% (5.0%) (50.6%) - (10.1%) EARNINGS (LOSS) PER AVERAGE COMMON SHARE: BASIC ($0.06) $0.01 ($1.01) - ($1.06) DILUTED ($0.06) $0.01 ($0.99) - ($1.04) *Totals may not foot due to rounding.
Entergy Corporation Consolidating Income Statement Twelve Months Ended March 31, 2002 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses OPERATING REVENUES: Domestic electric $ 6,775,117 $ - $ - $ (1,826) $6,773,291 Natural gas 121,895 - - - 121,895 Competitive businesses - 31,215 1,907,065 (4,159) 1,934,121 ----------- --------- ---------- ----------- ---------- Total 6,897,012 31,215 1,907,065 (5,985) 8,829,307 OPERATING EXPENSES: Operating and Maintenance: Fuel, fuel related expenses, and gas purchased for resale 2,338,502 - 686,145 - 3,024,647 Purchased power 715,730 159 115,855 (4,704) 827,040 ----------- --------- ---------- ----------- ---------- Gross Margin 3,842,780 31,056 1,105,065 (1,281) 4,977,620 Margin % 55.7% 99.5% 57.9% 21.4% 56.4% Nuclear refueling outage expenses 64,133 - 32,991 - 97,125 Other operation and maintenance 1,441,099 71,077 1,097,619 (2,788) 2,607,006 Decommissioning 2,481 - - - 2,481 Taxes other than income taxes 350,220 2,578 46,958 - 399,756 ----------- --------- ---------- ----------- ---------- Total 4,912,165 73,814 1,979,568 (7,492) 6,958,055 ----------- --------- ---------- ----------- ---------- EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION 1,984,847 (42,599) (72,503) 1,507 1,871,252 ----------- --------- ---------- ----------- ---------- Margin % 28.8% (136.5%) (3.8%) (25.2%) 21.2% DEPRECIATION AND AMORTIZATION: Depreciation and amortization 663,609 4,903 54,567 - 723,080 Other regulatory charges (credits) (18,558) - - - (18,558) ----------- --------- ---------- ----------- ---------- Total 645,051 4,903 54,567 - 704,522 ----------- --------- ---------- ----------- ---------- OPERATING INCOME (LOSS) 1,339,796 (47,502) (127,070) 1,507 1,166,730 ----------- --------- ---------- ----------- ---------- Margin % 19.4% (152.2%) (6.7%) (25.2%) 13.2% OTHER INCOME (DEDUCTIONS): Allowance for equity funds used during construction 27,948 - - - 27,948 Gain/(loss) on sale of assets - net 2,688 48 2,567 - 5,303 Interest and dividend income 61,361 27,251 72,547 (25,305) 135,854 Equity in earnings of unconsolidated equity affiliates - - 227,083 - 227,083 Miscellaneous - net (35,570) 2,829 (3,711) (1,507) (37,958) ----------- --------- ---------- ----------- ---------- Total 56,427 30,128 298,486 (26,812) 358,230 ----------- --------- ---------- ----------- ---------- INTEREST AND OTHER CHARGES: Interest on long-term debt 462,358 - 77,118 - 539,476 Other interest - net 95,631 37,524 67,348 (25,305) 175,198 Distributions on preferred securities of subsidiaries 18,838 - - - 18,838 Allowance for borrowed funds used during construction (23,119) - - - (23,120) ----------- --------- ---------- ----------- ---------- Total 553,708 37,524 144,466 (25,305) 710,392 ----------- --------- ---------- ----------- ---------- INCOME (LOSS) BEFORE INCOME TAXES 842,515 (54,898) 26,950 - 814,568 INCOME TAXES 280,156 1,262 39,949 - 321,367 ----------- --------- ---------- ----------- ---------- INCOME (LOSS) BEFORE CUMULATIVE EFFECT OF ACCOUNTING CHANGE 562,359 (56,160) (12,999) - 493,201 CUMULATIVE EFFECT OF ACCOUNTING CHANGE (net of taxes) - - 23,482 - 23,482 ----------- --------- ---------- ----------- ---------- CONSOLIDATED NET INCOME (LOSS) 562,359 (56,160) 10,483 - 516,683 PREFERRED DIVIDEND REQUIREMENTS OF SUBSIDIARIES AND OTHER 23,536 - - - 23,536 ----------- --------- ---------- ----------- ---------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $ 538,823 $(56,160) $ 10,483 $ - $493,147 =========== ========= ========== =========== ========== Margin % 7.8% (179.9%) 0.5% - 5.6% EARNINGS (LOSS) PER AVERAGE COMMON SHARE: BASIC $2.43 ($0.25) $0.05 $2.23 DILUTED $2.39 ($0.25) $0.05 $2.19 AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: BASIC 221,443,909 DILUTED 225,245,641 *Totals may not foot due to rounding.
Entergy Corporation Consolidating Income Statement Twelve Months Ended March 31, 2001 (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses OPERATING REVENUES: Domestic electric $ 7,753,501 $ - $ - $ (14,151) $ 7,739,350 Natural gas 230,359 - - - 230,359 Competitive businesses - 12,246 2,933,559 (38,738) 2,907,067 ----------- ----------- ----------- ------------ ----------- Total 7,983,860 12,246 2,933,559 (52,889) 10,876,776 ----------- ----------- ----------- ------------ ----------- OPERATING EXPENSES: Operating and Maintenance: Fuel, fuel related expenses, and 2,639,402 - 635,280 (739) 3,273,943 gas purchased for resale Purchased power 1,017,789 - 1,681,963 (42,536) 2,657,217 ----------- ----------- ----------- ------------ ----------- Gross Margin 4,326,669 12,246 616,315 (9,614) 4,945,615 Margin % 54.2% 100.0% 21.0% 18.2% 45.5% Nuclear refueling outage expenses 69,161 - - - 69,161 Other operation and maintenance 1,502,415 67,243 478,596 (11,394) 2,036,861 Decommissioning 37,447 - - - 37,447 Taxes other than income taxes 370,379 1,873 20,937 - 393,189 ----------- ----------- ----------- ------------ ----------- Total 5,636,593 69,116 2,816,777 (54,668) 8,467,818 ----------- ----------- ----------- ------------ ----------- EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION 2,347,267 (56,870) 116,782 1,779 2,408,958 ----------- ----------- ----------- ------------ ----------- Margin % 29.4% (464.4%) 4.0% (3.4%) 22.1% DEPRECIATION AND AMORTIZATION: Depreciation and amortization 745,335 3,520 22,071 - 770,926 Other regulatory charges (credits) 40,894 - - - 40,894 ----------- ----------- ----------- ------------ ----------- Total 786,229 3,520 22,071 - 811,820 ----------- ----------- ----------- ------------ ----------- OPERATING INCOME (LOSS) 1,561,038 (60,390) 94,711 1,779 1,597,138 ----------- ----------- ----------- ------------ ----------- Margin % 19.6% (493.1%) 3.2% (3.4%) 14.7% OTHER INCOME (DEDUCTIONS): Allowance for equity funds used 29,270 - - - 29,270 during construction Gain/(loss) on sale of assets - net 2,407 - 5 - 2,412 Interest and dividend income 71,387 74,759 51,736 (21,947) 175,935 Equity in earnings of unconsolidated equity affiliates 2 - 25,064 - 25,066 Miscellaneous - net (34,486) 5,209 71,660 (1,779) 40,604 ----------- ----------- ----------- ------------ ----------- Total 68,580 79,968 148,465 (23,726) 273,287 ----------- ----------- ----------- ------------ ----------- INTEREST AND OTHER CHARGES: Interest on long-term debt 479,165 - 13,220 - 492,385 Other interest - net 52,238 27,311 55,663 (21,947) 113,266 Distributions on preferred securities 18,838 - - - 18,838 of subsidiaries Allowance for borrowed funds used (21,964) - - - (21,964) during construction ----------- ----------- ----------- ------------ ----------- Total 528,277 27,311 68,884 (21,947) 602,525 ----------- ----------- ----------- ------------ ----------- INCOME (LOSS) BEFORE INCOME TAXES 1,101,341 (7,733) 174,292 - 1,267,900 INCOME TAXES 449,981 (7,651) 62,195 - 504,524 ----------- ----------- ----------- ------------ ----------- INCOME (LOSS) BEFORE CUMULATIVE EFFECT OF ACCOUNTING CHANGE 651,360 (82) 112,097 - 763,376 CUMULATIVE EFFECT OF ACCOUNTING CHANGE (net of taxes) - - - - - ----------- ----------- ----------- ------------ ----------- CONSOLIDATED NET INCOME (LOSS) 651,360 (82) 112,097 - 763,376 PREFERRED DIVIDEND REQUIREMENTS OF SUBSIDIARIES AND OTHER 28,787 - - - 28,787 ----------- ----------- ----------- ------------ ----------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $ 622,573 $ (82) $ 112,097 $ - $ 734,589 =========== =========== =========== ============ =========== Margin % 7.8% (0.7%) 3.8% 0.0% 6.8% EARNINGS (LOSS) PER AVERAGE COMMON SHARE: BASIC $2.80 $0.00 $0.50 $3.30 DILUTED $2.76 $0.00 $0.50 $3.26 AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: BASIC 222,437,311 DILUTED 225,141,304 *Totals may not foot due to rounding.
Entergy Corporation Consolidating Income Statement Twelve Months Ended March 31, 2002 vs. 2001 Increase/(Decrease) (Dollars in thousands) (Unaudited) U.S. Parent & Competitive Eliminations Consolidated Utilities Other Businesses OPERATING REVENUES: Domestic electric $ (978,384) $ - $ - $ 12,325 $(966,059) Natural gas (108,464) - - - (108,464) Competitive businesses - 18,969 (1,026,494) 34,579 (972,946) ---------- -------- ---------- ------------ ---------- Total (1,086,848) 18,969 (1,026,494) 46,904 (2,047,469) OPERATING EXPENSES: Operating and Maintenance: - - Fuel, fuel related expenses, and gas purchased for resale (300,900) - 50,865 739 (249,296) Purchased power (302,059) 159 (1,566,108) 37,832 (1,830,177) ---------- -------- ---------- ------------ ---------- Gross Margin (483,889) 18,810 488,750 8,333 32,005 Margin % 1.5% (0.5%) 36.9% 3.2% 10.9% Nuclear refueling outage expenses (5,028) - 32,991 - 27,964 Other operation and maintenance (61,316) 3,834 619,023 8,606 570,144 Decommissioning (34,966) - - - (34,966) Taxes other than income taxes (20,159) 705 26,021 - 6,567 ---------- -------- ---------- ------------ ---------- Total (724,428) 4,698 (837,209) 47,176 (1,509,765) ---------- -------- ---------- ------------ ---------- EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION (362,420) 14,271 (189,285) (272) (537,704) ---------- -------- ---------- ------------ ---------- Margin % (0.6%) 327.9% (7.8%) (21.8%) (1.0%) DEPRECIATION AND AMORTIZATION: - Depreciation and amortization (81,726) 1,383 32,496 - (47,847) Other regulatory charges (credits) (59,452) - - - (59,452) ---------- -------- ---------- ------------ ---------- Total (141,178) 1,383 32,496 - (107,299) ---------- -------- ---------- ------------ ---------- OPERATING INCOME (LOSS) (221,242) 12,888 (221,781) (272) (430,406) ---------- -------- ---------- ------------ ---------- Margin % (0.1%) 341.0% (9.9%) (21.8%) (1.5%) OTHER INCOME (DEDUCTIONS): Allowance for equity funds used during construction (1,322) - - - (1,322) Gain/(loss) on sale of assets - net 281 48 2,562 - 2,891 Interest and dividend income (10,026) (47,508) 20,811 (3,358) (40,081) Equity in earnings of unconsolidated equity affiliates (2) - 202,019 - 202,017 Miscellaneous - net (1,084) (2,380) (75,371) 272 (78,562) ---------- -------- ---------- ------------ ---------- Total (12,153) (49,840) 150,021 (3,086) 84,943 ---------- -------- ---------- ------------ ---------- INTEREST AND OTHER CHARGES: Interest on long-term debt (16,807) - 63,898 - 47,091 Other interest - net 43,393 10,213 11,685 (3,358) 61,933 Distributions on preferred securities of subsidiaries - - - - - Allowance for borrowed funds used during construction (1,155) - - - (1,156) ---------- -------- ---------- ------------ ---------- Total 25,431 10,213 75,582 (3,358) 107,867 ---------- -------- ---------- ------------ ---------- INCOME (LOSS) BEFORE INCOME TAXES (258,826) (47,165) (147,342) 1 (453,330) INCOME TAXES (169,825) 8,913 (22,246) - (183,157) ---------- -------- ---------- ------------ ---------- INCOME (LOSS) BEFORE CUMULATIVE EFFECT OF ACCOUNTING CHANGE (89,001) (56,078) (125,096) (0) (270,175) CUMULATIVE EFFECT OF ACCOUNTING CHANGE (net of taxes) - - 23,482 - 23,482 ---------- -------- ---------- ------------ ---------- CONSOLIDATED NET INCOME (LOSS) (89,001) (56,078) (101,614) (0) (246,693) PREFERRED DIVIDEND REQUIREMENTS OF SUBSIDIARIES AND OTHER (5,251) - - - (5,251) ---------- -------- ---------- ------------ ---------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $ (83,750) $ (56,078) $ (101,614) $ (0) $(241,442) ========== ========= ========== ============ ========== Margin % 0.0% (179.2%) (3.3%) 0.0% (1.2%) EARNINGS (LOSS) PER AVERAGE COMMON SHARE: BASIC ($0.37) ($0.25) ($0.45) ($1.07) DILUTED ($0.37) ($0.25) ($0.45) ($1.07) *Totals may not foot due to rounding.
Entergy Corporation Consolidated Cash Flow Statement Year to Date March 31, 2002 vs. 2001 (Dollars in thousands) (Unaudited) 2002 2001 Variance OPERATING ACTIVITIES Consolidated net income ($72,983) $160,871 ($233,854) Noncash items included in net income: Reserve for regulatory adjustments 9,718 28,791 (19,073) Other regulatory charges (credits) - net 1,563 (389) 1,952 Depreciation, amortization, and decommissioning 213,317 211,978 1,339 Deferred income taxes and investment tax credits (193,180) 7,665 (200,845) Allowance for equity funds used during construction (6,682) (4,943) (1,739) (Gain) loss on sale of assets - net (665) (588) (77) Equity in undistributed earnings of subsidiaries and unconsolidated affiliates (75,065) (25,064) (50,001) Changes in working capital (net of effects from acquisitions and dispositions): Receivables 73,913 112,551 (38,638) Fuel inventory (13,232) (48,407) 35,175 Accounts payable (68,720) (365,644) 296,924 Taxes accrued 131,838 67,693 64,145 Interest accrued (32,415) (33,367) 952 Deferred fuel 45,164 105,184 (60,020) Other working capital accounts (82,101) 4,182 (86,283) Provision for estimated losses and reserves 241,004 2,326 238,678 Changes in other regulatory assets (1,277) (73,755) 72,478 Other 183,706 35,470 148,236 -------- -------- -------- Net cash flow provided by operating activities 353,903 184,554 169,349 -------- -------- -------- INVESTING ACTIVITIES Construction/capital expenditures (267,110) (264,946) (2,164) Allowance for equity funds used during construction 6,682 4,943 1,739 Nuclear fuel purchases (85,143) (36,753) (48,390) Proceeds from sale/leaseback of nuclear fuel 92,136 33,740 58,396 Proceeds from sale of businesses 38,848 - 38,848 Investment in other nonregulated/nonutility properties 29,961 (439,057) 469,018 Changes in other temporary investments - net 150,000 - 150,000 Decommissioning trust contributions and realized change in trust assets (15,747) (16,406) 659 Other regulatory investments - (53,637) 53,637 Other 3,343 41,609 (38,266) -------- -------- -------- Net cash flow used in investing activities (47,030) (730,507) 683,477 -------- -------- -------- FINANCING ACTIVITIES Proceeds from the issuance of: Long-term debt 240,017 99,506 140,511 Common stock 66,369 15,724 50,645 Retirement of: Long-term debt (577,934) (77,363) (500,571) Redemption of preferred stock (1,403) (1,999) 596 Changes in short-term borrowings - net 56,333 231,000 (174,667) Dividends paid: Common stock (73,225) (66,655) (6,570) Preferred stock (5,948) (4,785) (1,163) -------- -------- -------- Net cash flow provided by (used in) financing activities (295,791) 195,428 (491,219) -------- -------- -------- Effect of exchange rates on cash and cash equivalents 640 (2,068) 2,708 -------- -------- -------- Net increase (decrease) in cash and cash equivalents 11,722 (352,593) 364,315 Cash and cash equivalents at beginning of period 751,573 1,382,424 (630,851) -------- ---------- --------- Cash and cash equivalents at end of period $763,295 $1,029,831 ($266,536) ======== ========== =========
EX-99 4 a10802992.txt [Logo of Entergy Entergy 639 Loyola Avenue New Orleans, LA 70113 Exhibit 99.2 Date: April 25, 2002 News Release For Release: Immediately Contact: Yolanda Pollard (News Media) (504) 576-4238 ypollar@entergy.com Nancy Morovich (Investor Relations) (504) 576-5506 (888) 925-8406 (pager) nmorovi@entergy.com Entergy Reports Strong Results for First Quarter 2002 New Orleans - Entergy Corporation (NYSE:ETR) today reported record operational earnings of 80 cents per share for first quarter 2002. Entergy's previous record for first quarter operational earnings was 75 cents per share, set in first quarter 2001. First quarter operational earnings increased 7 percent year over year. The increase resulted primarily from the company's competitive businesses, which are not subject to state and local regulation. Entergy earned $182 million from operations in first quarter 2002, compared with $168.3 million in the year-earlier period. On an as reported basis, Entergy recorded a loss of $78.9 million, or 35 cents per share, as a result of a special charge of $260.9 million, or $1.15 per share. The charge reflects costs associated with impairments recognized on certain unregulated generation assets, turbine cancellation costs, and the write-off of development costs, all related to Entergy's unregulated power development business. "Operating results reflect strong performance in our non-utility nuclear business and the trading and pipeline businesses, despite an economy that reflected only modest recovery during the quarter," said J. Wayne Leonard, Entergy's chief executive officer. "The balance we've created through our integrated business strategy continues to deliver results at a time when earnings disappointments both within and outside of the energy sector are commonplace. "The steps we've taken to align our power development business with our view of the market will improve Entergy's already strong financial condition and our financial performance by redeploying capital into more financially attractive investments," Leonard said. Utility Operations In first quarter 2002, as reported and operational utility earnings were $102.3 million, or 45 cents per share, compared to $113.7 million, or 51 cents per share, for as reported earnings, and $116.1 million, or 52 cents per share, for operational earnings in first quarter 2001. The decrease in earnings quarter to quarter was due primarily to lower revenues from sales volumes that have not yet recovered in the weakened economy, as well as increased operating and maintenance expenses driven primarily by spending in the generation fleet and lower nuclear insurance program distributions. In addition, weather was slightly milder in first quarter 2002 than in the 2001 period. Milder weather and lower usage in first quarter 2002 reduced residential sales by 3.5 percent, compared to first quarter 2001. This decrease was 2 percent after adjusting for weather. Commercial sales were roughly flat, while industrial sales experienced a 7 percent reduction quarter over quarter. The reduction in industrial sales was primarily due to reclassifying certain industrial customers from retail to wholesale. After removing the impact of the reclassification, the reduction in industrial sales was only 1.5 percent. Competitive Non-Regulated Businesses In Entergy's competitive businesses, operational earnings increased 78 percent, from $48.3 million, or 22 cents per share, in first quarter 2001 to $85.8 million, or 38 cents per share, in first quarter 2002. The significant increase in operational earnings reflects solid performance in non-utility nuclear operations and the trading and pipeline businesses. Entergy Nuclear earned 18 cents per share on an operational basis in first quarter 2002, compared to 13 cents per share in first quarter 2001, due primarily to the addition of the Indian Point 2 nuclear unit acquired in September 2001. Energy Commodity Services, which includes the Entergy-Koch trading and pipeline business and Entergy Wholesale Operations, had operational earnings of 20 cents per share in first quarter 2002, an increase of 122 percent over the 9 cents per share recorded in the year-earlier period. This business unit benefited from a full quarter's contribution from Entergy-Koch versus only two months in first quarter 2001, as well as strong results in both gas trading and the gas pipeline business. Results at EWO were negatively impacted by continued weak power prices in the United Kingdom. On an as reported basis the competitive businesses recorded a loss of $175.1 million, or 77 cents per share, in first quarter 2002, compared to earnings of $48.3 million, or 22 cents per share, in the same period of 2001. First quarter 2002 results include a special charge totaling $1.15 per share reflecting charges associated with the wholesale power development business. The special item includes charges of 44 cents per share for impairment of certain wholesale generation assets, 62 cents per share for costs associated with the cancellation of turbine contract commitments, and 9 cents per share to write off other development costs at Entergy Wholesale Operations. An additional special charge will be recorded in second quarter 2002 in connection with EWO restructuring and severance costs which were not finalized at the time of this release but are estimated to be in the range of 10 to 20 cents per share. Parent & Other Parent & Other recorded a loss of 3 cents per share in both operational and as reported earnings, compared with earnings of 1 cent per share on an operational basis and a loss of 4 cents per share on an as reported basis in first quarter 2001. The decrease in operational results in 2002 primarily reflects lower interest income earned due to decreased invested cash balances. The as reported loss in 2001 includes expenses of 5 cents per share related to a merger which was terminated in April 2001. Outlook "First quarter 2002 operating results reflect the continued strength of our businesses and their ability to deliver consistently solid performance," said C. John Wilder, Entergy's chief financial officer. "These results were achieved in spite of a local economy struggling to recovery and depressed prices in energy markets. We are confident that 2002 will be another very positive year and we are confirming $3.40 to $3.60 as our 2002 operational earnings per share guidance." Entergy Corporation, with annual revenues of nearly $10 billion, is a major global energy company engaged in power production, distribution operations, and related diversified services, with more than 14,000 employees. Entergy owns, manages, or invests in power plants generating more than 30,000 megawatts of electricity domestically and internationally, and delivers electricity to about 2.6 million customers in portions of Arkansas, Louisiana, Mississippi, and Texas. Through Entergy-Koch, L.P., it is also a leading provider of wholesale energy marketing and trading services. -30- Entergy's online address is www.entergy.com The following constitutes a "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: Investors are cautioned that forward-looking statements contained herein with respect to the revenues, earnings, performance, strategies, prospects and other aspects of the business of Entergy Corporation, Entergy Arkansas, Inc., Entergy Gulf States, Inc., Entergy Louisiana, Inc., Entergy Mississippi, Inc., Entergy New Orleans, Inc., and System Energy Resources, Inc. and their affiliated companies may involve risks and uncertainties. A number of factors could cause actual results or outcomes to differ materially from those indicated by such forward-looking statements. These factors include, but are not limited to, risks and uncertainties relating to: the effects of weather, the performance of generating units and transmission systems, the possession of nuclear materials, fuel and purchased power prices and availability, the effects of regulatory decisions and changes in law, litigation, capital spending requirements, and the availability of capital, the onset of competition, the ability to recover net regulatory assets and other potential stranded costs, the effects of recent developments in the California electricity market on the utility industry nationally, advances in technology, changes in accounting standards, corporate restructuring and changes in capital structure, the success of new business ventures, changes in the markets for electricity and other energy-related commodities, including the use of financial and derivative instruments and volatility of changes in market prices, changes in interest rates and in financial and foreign currency markets generally, the economic climate and growth in Entergy's service territories, changes in corporate strategies, and other factors. ENTERGY CORPORATION Earnings at a glance First Quarter 2002 2001 % Operating Revenues $1,860.83 $2,652.43 (29.8) As Reported Earnings (Loss) $(78.92) $154.16 (151.2) As Reported Earnings (Loss) per diluted share* $(0.35) $ 0.69 (150.7) Operational Earnings per $ 0.80 $ 0.75 6.7 diluted share *Includes Special Items (EPS): EWO asset impairments $ (0.44) - EWO turbine commitments (0.62) EWO development costs (0.09) Merger expenses - $ (0.06) ------- ------- Total ($ 1.15) $( 0.06) ======= ======= Note - dollars in millions except per share amounts, which are actual.
Entergy Corporation Consolidated Income Statement Three Months Ended March 31 (in thousands) 2002 2001 % Inc/(Dec) (unaudited) Operating Revenues: Domestic electric $1,401,009 $1,872,545 (25.2) Natural gas 46,377 110,384 (58.0) Competitive businesses 413,448 669,498 (38.2) ---------- ---------- Total 1,860,834 2,652,427 (29.8) ---------- ---------- Operating Expenses: Operation and maintenance: Fuel, fuel-related expenses, and gas purchased for resale 468,861 1,125,863 (58.4) Purchased power 169,486 363,879 (53.4) Nuclear refueling outage expenses 25,187 17,207 46.4 Other operation and maintenance 925,725 470,459 96.8 Decommissioning 8,193 8,901 (8.0) Taxes other than income taxes 102,370 102,463 (0.1) Depreciation and amortization 205,124 203,077 1.0 Other regulatory charges (credits) - net 1,563 (389) (501.8) ---------- ---------- Total 1,906,509 2,291,460 (16.8) ---------- ---------- Operating Income (Loss) (45,675) 360,967 (112.7) ---------- ---------- Other Income (Deductions): Allowance for equity funds used during construction 6,682 4,943 35.2 Gain (loss) on sales of assets - net 665 588 13.1 Interest and dividend income 23,525 47,476 (50.4) Equity in earnings of unconsolidated equity affiliates 75,065 25,064 199.5 Miscellaneous - net (11,072) 7,917 (239.9) ---------- ---------- Total 94,865 85,988 10.3 ---------- ---------- Interest and Other Charges: Interest on long-term debt 123,527 128,971 (4.2) Other interest - net 25,473 47,914 (46.8) Dividends on preferred securities of subsidiaries 4,709 4,709 - Allowance for borrowed funds used during construction (5,638) (3,939) 43.1 ---------- ---------- Total 148,071 177,655 (16.7) ---------- ---------- Income (Loss) Before Income Taxes (98,881) 269,300 (136.7) Income Taxes (25,898) 108,429 (123.9) ---------- ---------- Consolidated Net Income (Loss) (72,983) 160,871 (145.4) Preferred dividend requirements of subsidiaries and other 5,940 6,716 (11.6) ---------- ---------- Earnings (Loss) Applicable to Common Stock ($78,923) $154,155 (151.2) ========== ========== Earnings (Loss) Per Average Common Share: Basic ($0.36) $0.70 (151.4) Diluted ($0.35) $0.69 (150.7) Average Number of Common Shares Outstanding: Basic 221,943,451 219,917,139 Diluted 226,165,792 223,785,716
Entergy Corporation Consolidated Income Statement Twelve Months Ended March 31 (in thousands) 2002 2001 % Inc/(Dec) (unaudited) Operating Revenues: Domestic electric $6,773,291 $7,739,350 (12.5) Natural gas 121,895 230,359 (47.1) Competitive businesses 1,934,121 2,907,067 (33.5) ---------- ---------- Total 8,829,307 10,876,776 (18.8) ---------- ---------- Operating Expenses: Operation and maintenance: Fuel, fuel-related expenses, and gas purchased for resale 3,024,647 3,273,943 (7.6) Purchased power 827,040 2,657,217 (68.9) Nuclear refueling outage expenses 97,125 69,161 40.4 Other operation and maintenance 2,607,006 2,036,861 28.0 Decommissioning 2,481 37,447 (93.4) Taxes other than income taxes 399,756 393,189 1.7 Depreciation and amortization 723,080 770,926 (6.2) Other regulatory charges (credits) - net (18,558) 40,894 (145.4) ---------- ---------- Total 7,662,577 9,279,638 (17.4) ---------- ---------- Operating Income 1,166,730 1,597,138 (26.9) ---------- ---------- Other Income (Deductions): Allowance for equity funds used during construction 27,948 29,270 (4.5) Gain (loss) on sales of assets - net 5,303 2,412 119.9 Interest and dividend income 135,854 175,935 (22.8) Equity in earnings of unconsolidated equity affiliates 227,083 25,066 805.9 Miscellaneous - net (37,958) 40,604 (193.5) ---------- ---------- Total 358,230 273,287 31.1 ---------- ---------- Interest and Other Charges: Interest on long-term debt 539,476 492,385 9.6 Other interest - net 175,198 113,266 54.7 Dividends on preferred securities of subsidiaries 18,838 18,838 0.0 Allowance for borrowed funds used during construction (23,120) (21,964) 5.3 ---------- ---------- Total 710,392 602,525 17.9 ---------- ---------- Income Before Income Taxes 814,568 1,267,900 (35.8) Income Taxes 321,367 504,524 (36.3) ---------- ---------- Income Before Cumulative Effect of an Accounting Change 493,201 763,376 (35.4) Cumulative Effect of an Accounting Change (net of income taxes) 23,482 - - ---------- ---------- Consolidated Net Income 516,683 763,376 (32.3) Preferred dividend requirements of subsidiaries and other 23,536 28,787 (18.2) ---------- ---------- Earnings Applicable to Common Stock $493,147 $734,589 (32.9) ========== ========== Earnings Per Average Common Share: Basic $2.23 $3.30 (32.4) Diluted $2.19 $3.26 (32.8) Average Number of Common Shares Outstanding: Basic 221,443,909 222,437,311 Diluted 225,245,641 225,141,304
Entergy Corporation U.S. Utility Electric Energy Sales & Customers Three Months Ended March 2002 2001 % (Millions of kwh) Electric Energy Sales: Residential 7,274 7,537 (3.5) Commercial 5,598 5,574 0.4 Governmental 617 615 0.3 Industrial 9,590 10,311 (7.0) ------- ------- Total to Ultimate Customers 23,079 24,037 (4.0) Wholesale 2,181 2,449 (10.9) ------- ------- Total Sales 25,260 26,486 (4.6) ======= ======= Twelve Months Ended March 2002 2001 % (Millions of kwh) Electric Energy Sales: Residential 30,817 33,023 (6.7) Commercial 24,730 24,952 (0.9) Governmental 2,596 2,633 (1.4) Industrial 40,855 43,650 (6.4) ------- ------- Total to Ultimate Customers 98,998 104,258 (5.0) Wholesale 8,628 9,971 (13.5) ------- ------- Total Sales 107,626 114,229 (5.8) ======= ======= March 2002 2001 % Electric Customers (Year to date average): Residential 2,228,532 2,212,976 0.7 Commercial 299,585 293,730 2.0 Governmental 14,892 14,589 2.1 Industrial 38,319 38,353 (0.1) --------- --------- Total to Ultimate Customers 2,581,328 2,559,648 0.9 Wholesale 36 41 (12.2) --------- --------- Total Customers 2,581,364 2,559,689 0.9 ========= ========= -----END PRIVACY-ENHANCED MESSAGE-----