FORM U-3A-2
File No. 1-7924
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC
Statement by Holding Company Claiming Exemption Under Rule U-3A-2 from
the Provisions of the Public Utility Holding Company Act of 1935
To be Filed Annually Prior to March 1
VALLEY RESOURCES, INC.
(Name of Company)
hereby files with the Securities Exchange Commission, pursuant to Rule
2, its statement claiming exemption as a holding company from the provisions
of the Public Utility Holding Company Act of 1935, claim for the following
information:
Item 1: Valley Resources, Inc., RI; Cumberland, Rhode Island, Holding Company.
Subsidiaries:
Valley Gas Company, RI; Cumberland, Rhode Island; gas distribu-
tion within Rhode Island.
Valley Appliance and Merchandising Company, RI; Cumberland,
Rhode Island; selling and leasing of merchandise.
Rhode Island Development and Exploration Company, RI; Cumber-
land, Rhode Island; an inactive company.
Valley Propane, Inc., RI; Cumberland, Rhode Island; selling of
propane gas.
Morris Merchants, Inc., MA; Canton, Massachusetts; a manufac-
turers' representative of gas-fired equipment, plumbing and
heating supplies.
Bristol and Warren Gas Company, RI; Bristol, Rhode Island; gas
distribution within Rhode Island.
The New England Gas Company, RI; Bristol, Rhode Island; an inactive
company.
Alternate Energy Corporation, RI; Cumberland, Rhode Island; sells,
installs and designs natural gas conversion systems and facilities.
<PAGE>
Form U-3A-2
File No. 1-7924
Page 2
Item 2: Valley Resources, Inc. (Holding Company)
Valley Gas Company, 1595 Mendon Road, Cumberland, Rhode Island; owns
gas manufacturing plant and gas distribution facilities all of which
are located in Rhode Island.
Bristol and Warren Gas Company, 100 Broad Common Road, Bristol, Rhode
Island; owns gas manufacturing plant and gas distribution facilities
all of which are located in Rhode Island.
Item 3: Valley Resources, Inc. (Holding Company)
Valley Gas Company:
(a) 7,315,879 Mcf natural or manufactured gas distributed at retail
(b) None
(c) 39,533 Mcf of natural gas sold at wholesale off system outside
the State of Rhode Island
(d) 1,368,540 Mcf natural gas purchased outside the State of Rhode
Island
Bristol and Warren Gas Company:
(a) 768,949 Mcf natural or manufactured gas distributed at retail
(b) None
(c) None
(d) 149,121 Mcf natural gas purchased outside the State of
Rhode Island
Item 4: Valley Resources, Inc. (Holding Company)
(a) None
(b) None
(c) None
(d) None
(e) None
<PAGE>
Exhibit A
Consolidating Statements of Income for the 12 Months Ended
December 31, 1996
Consolidating Balance Sheets at December 31, 1996
Exhibit B
Financial Data Schedule
Exhibit C
Not Applicable
The above-named claimant has caused this statement to be duly
executed on its behalf by its authorized officer on this 28th day of February,
1997.
VALLEY RESOURCES, INC.
(Name of Claimant)
S/Kenneth W. Hogan
By Kenneth W. Hogan
Senior Vice President, CFO and
Secretary
Attest:
S/Patricia A. Morrison
Patricia A. Morrison, Assistant Secretary
Name, title and address of officer to whom notices and correspondence con-
cerning this statement should be addressed:
S/K. W. Hogan
K. W. Hogan Senior Vice President
(Name) (Title)
1595 Mendon Road, Cumberland, Rhode Island 02864
(Address)
<PAGE>
<TABLE>
Exhibit A
VALLEY RESOURCES, INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1996
<CAPTION>
Utility Nonutility Reclass. &
Operations Operations Eliminations Consolidated
<S> <C> <C> <C> <C>
ASSETS
Utility Plant $77,808,498 $ 77,808,498
Accumulated Depreciation 27,835,942 27,835,942
----------- ----------- ------------ ------------
Net Utility Plant 49,972,556 -0- -0- 49,972,556
----------- ----------- ------------ ------------
Leased Property-Net 2,725,064 $ 33,559 2,758,623
----------- ----------- ------------ ------------
Nonutility Property-Net -0- 3,601,316 3,601,316
----------- ----------- ------------ ------------
Investment in Subsidiaries 26,973,376 $(26,973,376) -0-
Other Investments 1,309,514 217,944 1,527,458
----------- ----------- ------------ ------------
Total Investments 1,309,514 27,191,320 (26,973,376) 1,527,458
----------- ----------- ------------ ------------
Note Receivable -0- 1,405,000 (1,405,000) -0-
----------- ----------- ------------ ------------
CURRENT ASSETS:
Cash (348,525) 1,115,324 766,799
Accounts Receivable 13,508,185 6,160,398 (7,899,060) 11,769,523
Deferred Fuel Costs 3,205,785 -0- 3,205,785
Unbilled Gas Costs 2,032,356 -0- 2,032,356
Fuel & Other Inventories 4,902,174 1,555,424 6,457,598
Prepayments & Other 680,442 62,223 742,665
Common Stock Held for
Drip -0- 325,511 325,511
----------- ----------- ------------ ------------
Total 23,980,417 9,218,880 (7,899,060) 25,300,237
----------- ----------- ------------ ------------
DEFERRED DEBITS:
Prepaid Pensions 242,011 6,237,075 6,479,086
Other 13,062,278 541,714 43,278 13,647,270
----------- ----------- ------------ ------------
Total 13,304,289 6,778,789 43,278 20,126,356
----------- ----------- ------------ ------------
Total Assets $91,291,840 $48,228,864 $(36,234,158) $103,286,546
=========== =========== ============ ============
</TABLE>
<PAGE>
<TABLE>
Exhibit A
VALLEY RESOURCES, INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1996
<CAPTION>
Utility Nonutility Reclass. &
Operations Operations Eliminations Consolidated
LIABILITIES & CAPITALIZATION
<S> <C> <C> <C> <C>
COMMON EQUITY:
Common Stock $10,800,000 $ 4,287,328 $(10,807,300) $ 4,280,028
Paid in Capital 4,279,782 19,633,359 (5,711,253) 18,201,888
Retained Earnings 6,429,913 10,149,737 (10,401,237) 6,178,413
----------- ----------- ------------ ------------
Total 21,509,695 34,070,424 (26,919,790) 28,660,329
Less: Accts. Rec. ESOP -0- (3,142,200) (3,142,200)
----------- ----------- ------------ ------------
Total 21,509,695 34,070,424 (30,061,990) 25,518,129
----------- ----------- ------------ ------------
LONG-TERM DEBT:
First Mortgage Bonds:
8.0% Series 20,155,000 -0- 20,155,000
----------- ----------- ------------ ------------
Total 20,155,000 -0- -0- 20,155,000
----------- ----------- ------------ ------------
Note Payable 2,300,000 3,043,937 5,343,937
----------- ----------- ------------ ------------
Total 22,455,000 3,043,937 -0- 25,498,937
----------- ----------- ------------ ------------
Oblig. Under Cap Lease 1,903,181 27,635 -0- 1,930,816
----------- ----------- ------------ ------------
Minority Interest (10,310) (10,310)
----------- ----------- ------------ ------------
CURRENT LIABILITIES:
Current Matur-LT Debt -0- 500,000 500,000
Note Payable 22,085,028 1,100,000 (1,885,028) 21,300,000
Oblig. Under Cap
Lease 821,883 5,924 827,807
Accounts Payable 5,243,126 4,668,826 (3,219,990) 6,691,962
Security Deposits and
Refunds 1,095,417 3,475 1,098,892
Dividends Declared 530,000 1,307,945 (1,056,840) 781,105
Taxes Accrued (1,227,516) 15,276 (1,212,240)
Other 907,674 136,869 1,044,543
----------- ----------- ------------ ------------
Total 29,455,612 7,738,315 (6,161,858) 31,032,069
----------- ----------- ------------ ------------
DEFERRED CREDITS:
Unamort Invest Credit 723,688 -0- 723,688
Other 5,431,874 348,878 5,780,752
----------- ----------- ------------ ------------
Total 6,155,562 348,878 -0- 6,504,440
----------- ----------- ------------ ------------
Def. Federal Inc Taxes 9,812,790 2,999,675 12,812,465
----------- ----------- ------------ ------------
Total Liab & Capital $91,291,840 $48,228,864 $(36,234,158) $103,286,546
=========== =========== ============ ============
</TABLE>
<PAGE>
<TABLE>
Exhibit A
VALLEY RESOURCES, INC.
CONSOLIDATING INCOME STATEMENT
FOR THE TWELVE MONTHS ENDED DECEMBER 31, 1996
<CAPTION>
Utility Nonutility Reclass. &
Operations Operations Eliminations Consolidated
<S> <C> <C> <C> <C>
OPERATING REVENUES:
Utility Gas Revenues $62,413,266 $62,413,266
Nonutility Revenues $20,628,020 $ (82,387) 20,545,633
----------- ----------- ----------- -----------
Total 62,413,266 20,628,020 (82,387) 82,958,899
----------- ----------- ----------- -----------
OPERATING EXPENSES:
Cost of Gas Sold 33,456,919 33,456,919
Cost of Sales-
Nonutility 14,403,891 (53,418) 14,350,473
Operations 14,816,060 3,372,730 (218,077) 17,970,713
Maintenance 1,661,793 60,396 (1,127) 1,721,062
Depreciation 2,449,217 582,315 297 3,031,829
Taxes-Other Than FIT 3,846,729 301,261 (2,647) 4,145,343
Taxes-Federal Income 696,781 725,909 36,621 1,459,311
----------- ----------- ----------- -----------
Total 56,927,499 19,446,502 (238,351) 76,135,650
----------- ----------- ----------- -----------
Operating Income 5,485,767 1,181,518 155,964 6,823,249
Equity in Earnings
of Subsidiaries 3,685,019 (3,685,019) -0-
Other Income-Before FIT 426,752 445,554 (242,590) 629,716
Fed Inc Tax-Net of ITC 150,975 -0- (30,085) 120,890
----------- ----------- ----------- -----------
Total Income 5,761,544 5,312,091 (3,741,560) 7,332,075
----------- ----------- ----------- -----------
INTEREST CHARGES:
Long Term Debt 1,751,368 195,714 -0- 1,947,082
Other 1,398,844 13,986 (66,935) 1,345,895
Capitalized Interest (3,666) -0- -0- (3,666)
----------- ----------- ----------- -----------
Total 3,146,546 209,700 (66,935) 3,289,311
----------- ----------- ----------- -----------
Net Income $ 2,614,998 $ 5,102,391 $(3,674,625) $ 4,042,764
=========== =========== =========== ===========
Average Number of Common
Shares Outstanding 4,267,567
Earnings Per Average
Common Share $0.95
</TABLE>
<TABLE> <S> <C>
<ARTICLE> OPUR3
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> AUG-31-1997
<PERIOD-END> DEC-31-1996
<BOOK-VALUE> PER-BOOK
<TOTAL-ASSETS> 103,286,546
<TOTAL-OPERATING-REVENUES> 82,958,899
<NET-INCOME> 4,042,764
</TABLE>
