File No.:1-14161
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
Form U-3A-2
Statement by Holding Company Claiming Exemption Under Rule U-3A-2 from the
Provisions of the Public Utility Holding Company Act of 1935
KEYSPAN CORPORATION D/B/A KEYSPAN ENERGY AND
KEYSPAN ENERGY CORPORATION
hereby file with the Securities and Exchange Commission, pursuant to Rule 2, a
joint statement claiming exemptions as holding companies from the provisions of
the Public Utility Holding Company Act of 1935, (the "Act") and submit the
following information:
1. Name, State of organization, location and nature of business of claimant and
every subsidiary thereof, other than an exempt wholesale generator ("EWG") or
foreign utility company in which claimant directly or indirectly holds an
interest.
The first claimant, KeySpan Corporation d/b/a KeySpan Energy ("KeySpan
Energy") is a New York corporation organized in 1998, and has its principal
executive offices at One MetroTech Center, Brooklyn, New York 11201 and 175 East
Old Country Road, Hicksville, New York 11801. KeySpan Energy is the parent
company of KeySpan Energy Corporation ("KEC"), the second claimant, which is
also a holding company claiming exemption under the Public Utility Holding Act
of 1935. KeySpan Energy's principal business involves providing a range of
energy-related services through its operations and investments in utility and
non-utility subsidiaries.
The claimant, KEC is a New York corporation organized in 1996 and has
its principal executive offices at One MetroTech Center, Brooklyn, New York
11201. Claimant is a holding company for its principal subsidiary, The Brooklyn
Union Gas Company ("Brooklyn Union") and for a variety of energy-related
businesses which are conducted through its non-utility subsidiaries.
Collectively, KeySpan Energy and KEC are the claimants.
<PAGE>
The claimants principal, wholly and majority-owned subsidiaries, which
are directly or indirectly owned, are as follows:
Brooklyn Union, a New York corporation, is a utility subsidiary and distributes
natural gas in the New York City Boroughs of Brooklyn, Staten Island and Queens.
Brooklyn Union's offices are primarily based in Brooklyn, New York. Brooklyn
Union is a direct subsidiary of KEC and an indirect subsidiary of KeySpan
Energy.
KeySpan Gas East Corporation d/b/a Brooklyn Union of Long Island ("BULI"), a New
York corporation, is a utility subsidiary and distributes natural gas in New
York State to Nassau and Suffolk counties and the Rockaway Peninsula in Queens
County. BULI's main office is located in Hicksville, New York. BULI is a direct
subsidiary of KeySpan Energy.
KeySpan Generation LLC ("KeySpan Generation"), a New York limited liability
company, generates electricity for the Long Island Power Authority ("LIPA")
under a 15-year Power Supply Agreement. LIPA then sells the electricity to more
than one million electric customers in Nassau and Suffolk counties and the
Rockaway Peninsula of Queens County. KeySpan Generation's main office is located
in Hicksville, New York. It is a direct subsidiary of KeySpan Energy.
Active Conditioning Corp. ("Active"), a New Jersey corporation, has an office in
Edison, New Jersey and is a heating, ventilating and air-conditioning contractor
which provides services to residential and small commercial customers. Active is
an indirect subsidiary of KeySpan Energy.
Delta KeySpan, Inc. ("Delta"), a Delaware corporation, has an office in Warwick,
Rhode Island and is a heating, ventilating and air conditioning contractor.
Delta is an indirect subsidiary of KeySpan Energy.
Fritze KeySpan, LLC ("Fritze"), a Delaware limited liability company, is
headquartered in Whippany, New Jersey, and designs, builds, installs and
services heating, ventilating, and air-conditioning systems for commercial and
residential customers in North and Central New Jersey. Fritze is an indirect
subsidiary of KeySpan Energy.
GEI Timna Inc., a Delaware corporation, has an office in Brooklyn, New York and
was established to develop an Israeli power project. GEI Timna is inactive and
owns no assets. It is currently in the process of winding up its business and
will be dissolved as soon as practicable. GEI Timna is an indirect subsidiary of
both KeySpan Energy and KEC.
<PAGE>
GEI Development Corp. ("GEI"), a Delaware corporation, has an office in
Brooklyn, New York, and is the successor company to, and holds the outstanding
obligations of, Gas Energy Inc. and Gas Energy Cogeneration, Inc. which were
sold to Calpine Corporation in December 1997. GEI is a direct subsidiary of
KEC and an indirect subsidiary of KeySpan Energy..
GTM Energy, LLC, a Delaware limited liability company, is engaged in the
development of power generation projects in New York City. GTM Energy, LLC has
offices in Brooklyn and New York City, New York and is an indirect subsidiary of
both KeySpan Energy and KEC.
GMS Facilities Limited ("GMSFL"), is a corporation organized under the laws of
Alberta, Canada, that is engaged in the midstream business in Western Canada. It
holds an interest in the Chevron Fort Saschatachewan gas processing facility,
and the Rimbey Pipeline located in Western Canada. GMSFL's office is located in
Calgary, Canada. It is an indirect subsidiary of both KeySpan Energy and KEC.
Gulf Midstream Services Limited ("GMSL") is a corporation organized under the
laws of Alberta, Canada with an office in Calgary, Canada. It is the managing
partner of Gulf Midstream Services Partnership and has a management agreement to
operate facilities on behalf of Gulf Midstream Services Partnership and GMS
Facilities Limited. GMSL is an indirect subsidiary of both KeySpan Energy and
KEC.
Gulf Midstream Services Partnership (GMSP") is a partnership, organized under
the laws of Alberta, Canada, that is engaged in the midstream business in
Western Canada. It holds interests in 12 natural gas processing plants and
associated gathering systems and is also involved in natural gas fractionation,
storage, transportation and marketing. It's office is based in Calgary, Canada.
GMSP is an indirect subsidiary of both KeySpan Energy and KEC.
Honeoye Storage Corporation ("Honeoye"), a New York corporation owns a gas
storage facility in Ontario County, New York. This underground gas storage
facility consists of 28 injection/withdrawal wells, 12 observation wells, 19
miles of field gathering lines, compressor units totaling 2700 horsepower and
10.5 miles of transmission pipeline connecting the facilities to the Tennessee
Gas Pipeline transmission system. Honeoye provides up to 48.0 Billion Cubic Feet
("BCF") of storage service to New York and New England area gas distribution
companies. Honeoye also maintains a 18.6% interest in Adrian Gas Storage, which
owns a gas storage facility in Steuben, New York. KeySpan Energy owns
approximately 52% of the outstanding common stock of Honeoye. Honeoye is an
<PAGE>
indirect subsidiary of both KeySpan Energy and KEC.
Island Energy Services Company, Inc. ("Island"), a New York corporation, located
in Hicksville, New York, is an inactive company which has no assets. Island is a
direct subsidiary of KeySpan Energy.
KeySpan C.I., Limited. ("KeySpan CI"), a Cayman Island corporation, is a holding
company for investments in Phoenix Natural Gas Limited ("Phoenix"), a natural
gas distribution system, and Premier Transco Limited ("Premier"), a natural gas
pipeline company, both in Northern Ireland.1 It has an office in Brooklyn, New
York. KeySpan CI is an indirect subsidiary of both KeySpan Energy and KEC.
KeySpan C.I.II, Limited ("KeySpan CI II"), a Cayman Island corporation, is a
holding company for investment in Grupo KeySpan S. de R.L. de C. V. ("Grupo").
It has an office in Brooklyn, New York. KeySpan CI II is an indirect subsidiary
of both KeySpan Energy and KEC.
KeySpan Communications Corp., ("KCC") a New York corporation, with offices in
Long Island, New York, builds, operates and maintains a high-speed fiber optic
network throughout Long Island and New York City. Currently, the fiber optic
network serves several carriers under long and short-term leases. The fiber
optic network also serves the telecommunication needs of KeySpan Energy and its
subsidiaries. KCC is a direct subsidiary of KeySpan Energy.
KeySpan Corporate Services LLC ("Corp Services"), a New York limited liability
company, provides corporate administrative services including financial, legal
and tax services to KeySpan Energy and its various subsidiaries and affiliates.
Corp Services has offices in Brooklyn and Hicksville, New York. It is a direct
subsidiary of KeySpan Energy.
KeySpan Cross Bay, LLC ("KeySpan Cross Bay"), a Delaware limited liability
company, owns a 25% interest in the Cross Bay Pipeline, LLC, a Delaware limited
liability company, that is developing an interstate pipeline to transport gas
from two existing interstate pipelines located in New Jersey to New York City
and Long Island. It has an office in Brooklyn, New York. KeySpan Cross Bay is
- --------
1KeySpan C.I. directly holds a 24.5% interest in Premier and a 25.5%
indirect interest in Premier through its wholly-owned subsidiary KeySpan U.K.
Limited ("KeySpan UK"), a corporation organized under the laws of the United
Kingdom.
<PAGE>
an indirect subsidiary of both KeySpan Energy and KEC.
KeySpan Electric Services LLC ("KeySpan Electric"), a New York limited liability
company, provides day-to-day operation and maintenance services for the
facilities owned by the Long Island Lighting Company d/b/a LIPA, subject to
LIPA's overall direction.2 KeySpan Electric has an office in Hicksville, New
York. It is a direct subsidiary of KeySpan Energy.
KeySpan Energy Canada Limited ("KeySpan Canada"), a Canadian corporation, with
an office in Brooklyn, New York, owns an interest in the Taylor Gas Liquids
Partnership ("Taylor"). Taylor owns an interest in the Younger NGL Extraction
Plant (the "Younger Plant") in Western Canada which is a natural gas liquids and
extraction facility. KeySpan Canada is an indirect subsidiary of both KeySpan
Energy and KEC.
KeySpan Energy Construction, LLC ("KeySpan Construction"), a New York limited
liability company, provides a full range of field services to electric utilities
and performs general contracting services. KeySpan Construction is based in Long
Island, New York. It is a direct subsidiary of KeySpan Energy.
KeySpan Energy Development Corporation ("KEDC"), a Delaware corporation, based
in Brooklyn, New York, is a development company and a holding company for
companies, engaged in international and domestic non-utility activities. KEDC's
primary activities, both directly and through its subsidiaries, are development,
ownership, and operation of market area natural gas pipelines and storage
facilities located in the United States. KEDC invests in companies which
develop, own, and or operate non-utility generation plants, gas processing
plants and gathering systems, liquid natural gas processing facilities, foreign
utility companies under Section 33 of the Public Utility Holding company Act of
1935, natural gas pipelines, and oil fields located in certain areas of Europe,
Canada, or Latin America. KEDC is a direct subsidiary of KEC and an indirect
subsidiary of KeySpan Energy.
KeySpan Energy Management Inc., a Delaware corporation, is based in Jericho,
Long Island. It designs and operates energy systems of large-scale residential
and commercial facilities, and provides energy-related services to clients in
the New York metropolitan area. KeySpan Energy Management Inc. is an indirect
subsidiary of KeySpan Energy.
- -------- 2 KeySpan Electric Services LLC is not an electric utility company
under PUHCA. SEE BL HOLDING CORP., Holding Co. Act Release No. 26875 at 5
fn. 8 (May 15, 1998).
<PAGE>
KeySpan Energy Services, Inc., a Delaware corporation, with offices in College
Point, New York, buys and sells gas, and provides related services to
individual, commercial and industrial customers in the Northeastern United
States. It also sells electricity to a limited number of retail customers.
KeySpan Energy Services, Inc. is an indirect subsidiary of KeySpan Energy.
KeySpan Energy Solutions, LLC, a Delaware limited liability company, with
offices in College Point, New York, provides service and maintenance for heating
equipment, water heaters, central air conditioners and gas appliances. It also
offers safety products and services to gas consumers. KeySpan Energy Solutions,
LLC is an indirect subsidiary of KeySpan Energy.
KeySpan Energy Supply, LLC, a Delaware limited liability company, with offices
in College Point, New York, is engaged in energy marketing and brokering
activities. It purcahses gas and electric as agent for customers of KeySpan
Energy Services, Inc. and KeySpan Energy Management, Inc. It also purcahses fuel
for KeySpan Ravenswood Services, Corp. ("KRS"). KeySpan Energy Supply, LLC is a
direct subsidiary of KeySpan Energy.
KeySpan Energy Trading Services LLC ("KETS"), a New York limited liability
company, with offices in Hicksville, New York, is a broker responsible for all
energy supply trading on behalf of LIPA, Brooklyn Union and BULI. The services
provided by KETS include energy supply portfolio management, risk management,
and associated administration and billing. On behalf of LIPA, KETS is
responsible for (a) the purchase from third parties of additional capacity and
energy that LIPA needs to serve its customers, and (b) the off-system sale of
LIPA's energy which it does not require to meet the needs of its system
customers. KETS is a direct subsidiary of KeySpan Energy.
KeySpan Engineering Associates, Inc., a New York corporation, with offices in
Jericho, New York, is a professional engineering corporation that provides
engineering services to its clients. It is a wholly-owned subsidiary of KeySpan
Energy Management, Inc. KeySpan Engineering Associates, Inc. is an indirect
subsidiary of KeySpan Energy.
KeySpan Exploration and Production, LLC, a Delaware limited liability company,
is a gas exploration and development company is engaged in a joint venture with
The Houston Exploration Company, to explore and develop offshore leases in the
Gulf of Mexico. KeySpan Exploration and Production, LLC has an office in
Brooklyn, New York. It is a direct subsidiary of KeySpan Energy.
KeySpan International Corporation, a Delaware corporation, is involved in gas
distribution and cogeneration activities in selected developing gas markets in
<PAGE>
Europe and Latin America through its investments in KeySpan UK, Premier and
Phoenix. It has offices in Brooklyn, New York. KeySpan International Corporation
is an indirect subsidiary of both KeySpan Energy and KEC.
KeySpan Midstream, LLC, a Delaware limited liability company, wholly-owned by
KEDC, is the holding company for KeySpan CI Midstream Limited ("KeySpan CI").
KeySpan Midstream, LLC is an indirect subsidiary of both KeySpan Energy and KEC.
KeySpan CI, a Cayman Island corporation, is the sole shareholder of KeySpan
Luxembourg Ltd. ("KS Luxembourg"). It has offices in Brooklyn, New York. KeySpan
CI is an indirect subsidiary of both KeySpan Energy and KEC.
KS Luxembourg, a Luxembourg corporation, is a wholly owned holding company for
the claimants interests in Nicodama Beheer V.B.V ("Nicodama") and KeySpan
Midstream Finance Co. It has offices in Brooklyn, New York. KS Luxembourg is an
indirect subsidiary of both KeySpan Energy and KEC.
Nicodama is a company organized under the laws of the Netherlands. It holds part
of the claimants interest in KeySpan Energy Development Co. ("KeySpan Nova
Scotia"). Nicodama is an indirect subsidiary of both KeySpan Energy and KEC.
KeySpan Nova Scotia, is a limited liability company incorporated under the laws
of Nova Scotia, Canada, and holds a 100% interest in KeySpan Energy Canada. It
also holds an approximate 50% interest in each of GMS Facilities Limited, Gulf
Midstream Services Limited and Gulf Midstream Services Partnership. KeySpan Nova
Scotia has an office in Brooklyn, New York. It is an indirect subsidiary of both
KeySpan Energy and KEC.
KeySpan Natural Fuels, LLC, a Delaware limited liability company, with an office
in Brooklyn, New York, owns Section 29 oil and gas properties in West Virginia,
operated by The Houston Exploration Company. KeySpan Natural Fuels, LLC is a
direct subsidiary of KEC and an indirect subsidiary of KeySpan Energy.
KeySpan North East Ventures Inc. ("KeySpan North East"), a Delaware corporation,
is a holding company for KeySpan Energy's interest in Northeast Gas Markets LLC.
KeySpan North East has an office in Brooklyn, New York and is a direct
subsidiary of KEC and an indirect subsidiary of KeySpan Energy.
KeySpan Operating Services, LLC, a New York limited liability company, is the
holding company for KeySpan Energy's interest in KeySpan Energy Construction,
<PAGE>
LLC. KeySpan Operating Services, LLC has an office in Hicksville, New York
and is a direct subsidiary of KeySpan Energy.
KeySpan Plumbing Solutions, Inc., a New York corporation, with an office in
College Point, New York is a wholly-owned subsidiary of KeySpan Energy
Solutions, LLC. It provides plumbing and maintenance services to customers in
the New York metropolitan area. KeySpan Plumbing Solutions, Inc. is an indirect
subsidiary of KeySpan Energy.
KRS, a New York corporation, with offices in both Long Island City and Brooklyn,
New York. KRS is primarily engaged in providing day-to-day operation and
maintenance services to KeySpan-Ravenswood, Inc. ("KeySpan- Ravenswood"), an
EWG. KRS is subject to KeySpan-Ravenswood's overall direction and control. It
also provides small amounts of oil to The Consolidated Edison Company of New
York, Inc. ("Con Edison"), and provides day-to-day operation and maintenance
services to Con Edison for its steam plant located the Ravenswood Facility. KRS
does not own any electric or steam facilities. KRS is a direct subsidiary of
KeySpan Energy.
KeySpan Services, Inc., a Delaware corporation, is a holding company of several
wholly-owned, direct subsidiaries which are engaged in: the ownership of
telecommunication equipment; the design and development of energy plants for
large industrial and institutional customers; the installation and maintenance
of heating and central air-conditioning systems; providing a wide range of
appliances services for residential customers and small business customers;
providing plumbing and engineering services; and marketing gas and retail
electricity. KeySpan Services Inc. has an office in Brooklyn, New York and is a
direct subsidiary of KeySpan Energy.
KeySpan Technologies Inc., a New York corporation, with offices in Brooklyn
and Hicksville, New York. It conducts market tests and assesses the business
viability of pre-commercial technologies, such as fuel cells, distributed
generation, and develops market partnerships and alliances with developers to
optimize the value of these technologies. KeySpan Technologies Inc. is a direct
subsidiary of KeySpan Energy.
<PAGE>
KeySpan Utility Services LLC, a New York limited liability company, provides the
following services to LIPA and various KeySpan subsidiaries, including Brooklyn
Union and KeySpan Gas East: gas and electric transmission and distribution
system planning; marketing services; procurement of goods and services; research
and development services; meter repair operations; and corporate administrative
services. KeySpan Utility Services LLC is based in Hicksville, New York and a
direct subsidiary of KeySpan Energy.
LILCO Energy Systems, Inc., a New York corporation, has a 1% equity interest in
the Iroquois Gas Transmission System, L.P., a FERC regulated general partnership
engaged in the operation of the Iroquois Pipeline which transports natural gas
from Canada to the Northeast United States. LILCO Energy Systems, Inc.'s main
office is Hicksville, New York. It is a direct subsidiary of KeySpan Energy.
Marquez Development Corp. ("Marquez"), a New York corporation, owns a non-
active uranium mill and mine in New Mexico. Marquez's main office is
Hicksville, New York. Marquez is a direct subsidiary of KeySpan Energy.
North East Transmission Co., Inc. ("NETCO"), a Delaware corporation, has a
18.4% equity interest in Iroquois Transmissions System, L.P., a FERC regulated
general partnership engaged in the operation of the Iroquois Pipeline, which
transports natural gas from Canada to the Northeast United States. NETCO is
based in Brooklyn, New York and is an indirect subsidiary of both KeySpan
Energy and KEC.
Northeast Gas Markets, LLC ("NEGM"), a Delaware limited liability company,
provides natural gas procurement, management and marketing services, project
development support, and consulting services to clients in the Northeastern
United States. NEGM is an indirect subsidiary of both KeySpan Energy and KEC.
R.D. Mortman LLC, a New York limited liability company, with offices in South
Hackensack, New Jersey provides oil burner/boiler service and installations.
R.D. Mortman LLC is an indirect subsidiary of KeySpan Energy.
Solex Production, Limited ("Solex"), a Canadian corporation, owns and is
developing the Nipisi oil field located in Western Canada. Solex has an office
in Calgary, Canada and is an indirect subsidiary of both KeySpan Energy and KEC.
<PAGE>
The Houston Exploration Company, a Delaware corporation, with offices based in
Houston, Texas, is engaged in the exploration, development, and acquisition of
domestic natural gas and oil properties. The company has offshore properties in
the Gulf of Mexico, and onshore properties in South Texas, the Arkoma Basin,
East Texas and West Virginia. KeySpan Energy owns approximately 64% of the
outstanding stock of The Houston Exploration Company, which stock is traded on
the New York Stock Exchange under the symbol THX. The Houston Exploration
Company is an indirect subsidiary of both KeySpan Energy and KEC.
THEC Holdings Corp. ("THEC"), a Delaware corporation, is the parent company for
KeySpan Energy's interest in The Houston Exploration Company. THEC has offices
in Brooklyn, New York and is a direct subsidiary of KEC and an indirect
subsidiary KeySpan Energy.
2. A brief description of the properties of claimant and each of its subsidiary
public utility companies used for the generation, transmission, and distribution
of electric energy for sale, or for the production, transmission and
distribution of natural or manufactured gas, indicating the location of
principal generating plants, transmission lines, producing fields, gas
manufacturing plants, and electric and gas distribution facilities, including
all such properties which are outside the State in which claimant and its
subsidiaries are organized and all transmission or pipelines which deliver or
receive electric energy or gas at the borders of such State.
(a) Description of properties of claimants:
KeySpan Energy and KEC have no properties that are used for
the generation, production, transmission and distribution of
electric energy or manufactured or natural gas.
(b) Description of properties of claimant's public utility company
subsidiary:
Brooklyn Union, KEC's wholly-owned subsidiary
public utility company's properties consist primarily of
natural gas distribution systems and related facilities and
local offices serving the New York City Boroughs of Brooklyn,
Staten Island and Queens. As of December 31, 1999, Brooklyn
Union had approximately 3,909 miles of gas main and 1,600,000
Mcf. of liquefied natural gas storage capacity.
BULI, KeySpan Energy's wholly-owned subsidiary public utility
company's properties consist primarily of natural gas
distribution systems and related facilities and local offices
in New York State that serves Nassau and Suffolk Counties and
the Rockaway peninsula in Queens County in the State of New
York. As of December 31, 1999, BULI had approximately 6,491
miles of gas main and 600,000 Mcf. of liquefied natural gas
storage capacity.
<PAGE>
KeySpan Generation, KeySpan Energy's wholly-owned electric
public utility company's properties consist of oil and
gas-fired generating facilities located on Long Island and the
delivery of power generated by these facilities to LIPA. As of
December 31, 1999 the company owned and operated 53 electric
generation facilities throughout Long Island.
3. The following information for the last calendar year with respect to claimant
and each of its subsidiary public utility companies:
(a) Number of kwh. of electric energy sold (at retail or wholesale), and Mcf. of
natural or manufactured gas distributed at retail.
Claimant Subsidiary
-------- ----------
KeySpan Energy Brooklyn Union
None 162,181,000 dth
$1,103,749,000
KEC BULI
None 78,794,184 dth
$572,393,790
KeySpan Generation
18,878,780,000 kwh
$303,161,000
(b) Number of kwh. of electric energy and Mcf. of natural or manufactured gas
distributed at retail outside the State in which each company is organized.
KeySpan Energy Brooklyn Union
None None
KEC BULI
None None
KeySpan Generation
None
<PAGE>
(c) Number of kwh. of electric energy and Mcf. of natural or manufactured gas
sold at wholesale outside the state in which each such company is organized, or
at the State line.
KeySpan Energy Brooklyn Union
None None
KEC BULI
None 9,587,338 dth
$20,676,979
KeySpan Generation
37,044,000 kwh
$2,901,571
(d) Number of kwh. of electric energy and Mcf. of natural or manufactured gas
purchased outside the State in which each such company is organized, or at the
State line.
KeySpan Energy Brooklyn Union
None 180,293,982 dth
$416,864,845
KEC BULI
None 80,375,913 dth
$186,492,641
KeySpan Generation
142,336,000 kwh
$3,781,581
Note: The information for the gas utilities was reported in dth because it was
not available in mcf.
4. The following information for the reporting period with respect to claimant
and each interest it holds directly or indirectly in an EWG or a foreign utility
company, stating monetary amounts in United States dollars.
<PAGE>
(a) Name, location, business address and description of the facilities used
by the EWG or foreign utility company for the generation, transmission
and distribution of electric energy for sale or for the distribution at
retail of natural or manufactured gas.
KeySpan-Ravenswood, a New York corporation, has its office at One
MetroTech Center, Brooklyn, NY 11021, it is an EWG pursuant to Section
32 of the Act. It owns and/or leases and operates an approximate 2,168
megawatt electric generating facility located in Queens, New York ("the
Ravenswood Facility"), and sells energy and capacity at wholesale in
the New York market.
Phoenix was organized in the United Kingdom and has its office at 19
Clarendon Road, Clarendon Dock, Belfast, BT13BG. Phoenix is a natural
gas distribution company in Northern Ireland which has claimed foreign
utility company status under Section 33(a) of the Public Utility
Holding Company Act of 1935.
Premier was organized in the United Kingdom, and has its office at 100
Thames Valley Park Drive, Reading, Berkshire, England. Premier
transports natural gas through a 24-inch pipeline from southwest
Scotland, under the Irish Sea, to Northern Ireland which has claimed
foreign utility company status under Section 33(a) of the Public
Utility Holding Company Act of 1935.
FINSA Energeticos, S. de R.L. de C.V., ("FINSA") a Mexican company,
has its office at Paso de la Reform Num. 300, Paso 14 Col. Juarez,
Mexico City, Mexico. It claimed foreign utility company status under
Section 33(a) of the Public Utility Holding Act of 1935, and is involved in
the development of generation and pipeline projects in Mexico.
Grupo KeySpan, S. de R.L. de C. V., a Mexican company, has its office at
Paso De Los Tamarinds No. 400A, Paso 20, Col. Basques De Las Lamas,
05120Mexico, D.F. It claimed foreign utility company status under
Section 33(a) of the Public Utility Holding Act of 1935, and is the
holding company for KeySpan Energy's 50% interest in FINSA.
(b) Name of each company that holds an interest in such EWG or foreign
utility company; and description of the interest held.
KeySpan Ravenswood is a direct wholly-owned subsidiary of KeySpan
Energy.
<PAGE>
The ownership structure of Phoenix and Premier are as follows: KeySpan
CI directly owns 24.5% of Phoenix's voting stock and 24.5% of Premier's
voting stock. It also directly owns all of the common stock of KeySpan
UK, which owns an additional 25.5% of Premier's voting stock
The ownership structure of Grupo and FINSA are as follows: KeySpan
International Corporation owns a 100% interest in KeySpan CI, and a .1%
interest in Grupo. KeySpan CI II owns a 99.9% interest in Grupo. Grupo
owns a 50% voting interest in FINSA.
(c) Type and amount of capital invested, directly or indirectly, by the
holding company claiming exemption; any direct or indirect guarantee of
the security of the EWG or foreign utility company by the holding
company claiming exemption; and any debt or other financial obligation
for which there is recourse, directly or indirectly, to the holding
company claiming exemption or another system company, other than the
EWG or foreign utility company.
The total amount of capital invested in KeySpan Ravenswood is
$207,549,000 and the type of investment is common stock. KeySpan Energy
has guaranteed KeySpan Ravenswood's performance under the approximately
$425 million dollar lease for the Ravenswood Facility with LIC Funding
Limited Partnership. KeySpan-Ravenswood holds no debt for which there
is recourse directly or indirectly to KeySpan Energy.
The total amount of capital invested in Phoenix is $46,099,000 and the
type of investment is common stock. Phoenix holds no debt for which
there is recourse directly or indirectly to either KeySpan Energy or
KEC.
The total amount of capital invested in Premier is $65,652,000 and the
type of investment is common stock. Premier holds no debt for which
there is recourse directly or indirectly to either KeySpan Energy or
KEC.
The equity investment in FINSA paid through Grupo is $907,000, and the
debt is $1,295,000. There is no guarantee by to either KeySpan Energy
or KEC of any obligations of FINSA or Grupo, nor is there any recourse
from any obligations of FINSA or Grupo.
(d) Capitalization and earnings of the EWG or foreign utility company during
the reporting period.
<PAGE>
For the period ending December 31, 1999, KeySpan Ravenswood had net
earning of $47,394,000 and total capital of $254,943,000 comprised of
common stock of $207,549,000 and accumulated earnings of $47,394,000.
For the period ending December 31, 1999, Phoenix had a net loss of
$12,162,498 and had total capital in the amount of $125,715,757,
comprised of common stock of $166,816,818 and accumulated losses of
$41,101,061.
For the period ending December 31, 1999, Premier had net earnings of
$10,360,087 and a capital structure of $97,050,000 of long term debt
and common equity of $31,974,740. The common equity is comprised of
common stock of $24,057,077 and accumulated earnings of $7,917,662.
For the period ending September 30, 1999, Grupo KeySpan's share of
FINSA's net earnings was $ $388,712. Grupo's only asset is its interest
in FINSA. FINSA has common equity of $2,702,849 which is comprised of
common stock of $3,468,583 and an accumulated deficit of $765,733.
(e) Identify any service, sales or construction contract (s) between the
EWG or foreign utility company and a system company, and describe the
services to be rendered or goods sold and fees or revenues under such
agreement(s).
None
<PAGE>
EXHIBIT A
A consolidating statement of income and surplus of the claimant and its
subsidiary companies for the last calendar year, together with a consolidating
balance sheet of claimant and its subsidiary companies as of the close of such
calendar year.
The following financial statements of claimant and its subsidiary companies are
attached hereto as Exhibit A
Condensed Consolidating Income Statements (Unaudited) for KeySpan Corporation
d/b/a KeySpan Energy and KeySpan Energy Corporation for calendar year Ending
December 31, 1999
Condensed Consolidating Earnings Reinvested Statements (Unaudited) for KeySpan
Corporation d/b/a KeySpan Energy and KeySpan Energy Corporation for the calendar
year Ending December 31, 1999
Condensed Consolidating Balance Sheet (Unaudited) for KeySpan
Corporation d/b/a KeySpan Energy and KeySpan Energy
Corporation as of December 31, 1999
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan KeySpan
Keyspan Energy Ravenswood Ravenswood Utility
Corporation Corporation Service Co. INC Services LLC
----------- ----------- ----------- --- ------------
<S> <C> <C> <C> <C> <C>
Assets
Property
Electric 0 0 330 214,434 0
Gas 0 0 0 0 0
Other 0 0 0 0 0
Accumulated Depreciation 0 0 (7) (3,916) 0
Gas Exploration & Production, at cost 0 20 0 0 0
Accumulated Depletion 0 0 0 0 0
--------------------------------------------------------------------------
0 20 323 210,518 0
--------------------------------------------------------------------------
Equity Investments and Other 2,433,597 690,749 0 0 0
--------------------------------------------------------------------------
Current Assets
Cash & Temporary Cash Investments 1,186 5,911 3,049 2,622 0
Customer Accounts Receivables 0 0 0 0 0
Other Accounts Receivable 2,246,663 26,883 49,624 164,917 88,996
Allowance for Uncollectible Accounts 0 0 0 0 0
Special Deposits 50,674 403 0 0 0
Gas in Storage, at average cost 0 0 0 0 0
Materials and Supplies, at average cost 0 0 21,652 0 0
Other 1,731 0 614 13,524 0
--------------------------------------------------------------------------
2,300,254 3,197 74,939 181,063 88,996
--------------------------------------------------------------------------
Deferred Charges
Goodwill, net 164,138 0 0 0 0
Income taxes 140,466 1,383 822 (3,998) 10,636
Other 11,100 (7,557) 166 0 419
--------------------------------------------------------------------------
315,704 (6,174) 988 (3,998) 11,055
--------------------------------------------------------------------------
Total Assets 5,049,555 717,792 76,250 387,583 100,051
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
Energy Keyspan KeySpan KeySpan KeySpan
Trading Energy Gas East Corporate Generation
Services LLC Services LLC Corporation Services LLC LLC
------------ ------------ ----------- ------------ ---------
<S> <C> <C> <C> <C> <C>
Assets
Property
Electric 0 0 0 0 1,132,087
Gas 0 0 1,392,976 0 0
Other 0 0 0 331,947 0
Accumulated Depreciation 0 0 (245,956) (114,720) (656,674)
Gas Exploration & Production, at cost 0 0 0 0 0
Accumulated Depletion 0 0 0 0 0
-------------------------------------------------------------------------------
0 0 1,147,020 217,227 475,413
-------------------------------------------------------------------------------
Equity Investments and Other 0 0 557 371 162
-----------------------------------------------------------------------------
Current Assets
Cash & Temporary Cash Investments 0 0 0 (3,671) 0
Customer Accounts Receivables 0 0 122,889 0 0
Other Accounts Receivable 24,506 253,915 571,419 1,218,289 593,414
Allowance for Uncollectible Accounts 0 0 (5,310) 0 0
Special Deposits 0 0 10 32,425 0
Gas in Storage, at average cost 0 0 72,741 0 0
Materials and Supplies, at average cost 0 15,224 5,507 3,319 22,092
Other 0 22,946 1,435 3,644 12,356
--------------------------------------------------------------------------------
24,506 292,085 768,691 1,254,006 627,862
--------------------------------------------------------------------------------
Deferred Charges
Goodwill, net 0 0 0 0 0
Income Taxes 89 23,116 (3,530) 32,716 3,870
Other (62) 230,992 180,115 2,310 4,129
--------------------------------------------------------------------------------
27 254,108 176,585 35,026 7,999
--------------------------------------------------------------------------------
Total Assets 24,533 546,193 2,092,853 1,506,630 1,111,436
================================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
The Brooklyn The Houston GEI Energy KeySpan
Union Gas Exploration Development Development Services
Company Company Company Company Inc.
------- ------- ------- ------- ----
<S> <C> <C> <C> <C> <C>
Assets
Property
Electric 0 0 0 0 0
Gas 2,056,408 0 0 0 0
Other 0 0 0 0 37,928
Accumulated Depreciation (563,864) 0 0 0 (4,030)
Gas Exploration & Production, at cost 0 1,130,605 0 10,210 0
Accumulated Depletion 0 (520,489) 0 0 0
---------------------------------------------------------------------
1,492,544 610,116 0 10,210 33,898
---------------------------------------------------------------------
Equity Investments and Other 54,289 217,616 0 298,163 13,393
---------------------------------------------------------------------
Current Assets
Cash & Temporary Cash Investments 70,068 15,502 4,237 8,028 8,988
Customer Accounts Receivables 180,590 0 0 0 80,358
Other Accounts Receivable 32,272 44,427 633 1,820 3,453
Allowance for Uncollectible Accounts (14,984) 0 0 0 0
Special Deposits 9,798 0 0 0 0
Gas in Storage, at average cost 71,515 0 0 0 0
Materials and Supplies, at average cost 12,306 969 0 0 3,744
Other 22,402 3,885 0 577 1,474
---------------------------------------------------------------------
383,967 64,783 4,870 10,425 98,017
----------------------------------------------------------------------------
Deferred Charges
Goodwill, net 0 0 0 48,333 41,770
Income Taxes 0 0 1,438 51 5,156
Other 265,255 3,583 0 74,689 4,646
--------------------------------------------------------------------
265,255 3,583 1,438 123,073 51,572
--------------------------------------------------------------------
Total Assets 2,196,055 896,098 6,308 441,871 196,880
====================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
Keyspan
Exploration Northeast KeySpan KeySpan
and Transmission Natural Operating
Production Company Fuels LLC Services LLC
---------- ------- --------- ------------
<S> <C> <C> <C> <C>
Assets
Property
Electric 0 0 0 0
Gas 0 0 0 0
Other 0 0 0 5,782
Accumulated Depreciation 0 0 0 (120)
Gas Exploration & Production, at cost 35,630 0 1,360 0
Accumulated Depletion 0 0 0 0
-----------------------------------------------------------
35,630 0 1,360 5,662
-----------------------------------------------------------
Equity Investments and Other 0 44,083 0 0
-----------------------------------------------------------
Current Assets
Cash & Temporary Cash Investments 0 9,114 31 611
Customer Accounts Receivables 11,017 (1,017) (503) 0
Other Accounts Receivable 0 0 0 6,222
Allowance for Uncollectible Accounts 0 0 0 0
Special Deposits 0 0 0 0
Gas in Storage, at average cost 0 0 0 0
Materials and Supplies, at average cost 0 0 0 0
Other 0 0 0 0
-----------------------------------------------------------
11,017 8,097 (472) 6,833
-----------------------------------------------------------
Deferred Charges
Goodwill, net 0 1,537 0 0
Income Taxes 0 0 0 0
Other 0 0 0 54
-----------------------------------------------------------
0 1,537 0 54
-----------------------------------------------------------
Total Assets 46,647 53,717 888 12,549
===========================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan Keyspan
Northeast Energy Reclassifications
Ventures LLC Supply LLC & Elimination's Consolidated
----------------------------------------------------------------
<S> <C> <C> <C> <C>
Assets
Property
Electric 0 0 0 1346851
Gas 0 0 0 3,449,384
Other 0 0 0 375,657
Accumulated Depreciation 0 0 0 (1,589,287)
Gas Exploration & Production, at cost 91 0 0 1,177,916
Accumulated Depletion (20) 0 0 (520,509)
-------------------------------------------------------------
71 0 0 4,240,012
-------------------------------------------------------------
Equity Investments and Other 0 0 (3,361,249) 391,731
-------------------------------------------------------------
Current Assets
Cash & Temporary Cash Investments 2,589 337 0 128,602
Customer Accounts Receivables 9 0 26,483 419,826
Other Accounts Receivable 0 718 (5,087,198) 240,973
Allowance for Uncollectible Accounts 0 0 0 (20,294)
Special Deposits 0 0 (32,447) 60,863
Gas in Storage, at average cost 0 0 0 144,256
Materials and Supplies, at average cost 0 0 0 84,813
Other 170 0 14,156 98,914
-------------------------------------------------------------
2,768 1,055 (5,079,006) 1,157,953
-------------------------------------------------------------
Deferred Charges
Goodwill, net 0 0 0 255,778
Income Taxes 0 0 (212,215) 0
Other 1,605 (23) (86,204) 685,217
-------------------------------------------------------------
1,605 (23) (298,419) 940,995
-------------------------------------------------------------
Total Assets 4,444 1,032 (8,738,674) 6,730,691
=============================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan KeySpan
Keyspan Energy Ravenswood Ravenswood Utility
Corporation Corporation Service Co. INC Services LLC
----------- ----------- ----------- --- ------------
<S> <C> <C> <C> <C> <C>
Capitalization
Common Stock 2,974,278 717,966 2,340 207,549 (2,206)
Retained Earnings 355,309 (295,614) 72 47,394 4,952
Accumulated Foreign Currency Adjustment 0 0 0 0 0
Treasury Stock Purchased (722,959) 0 0 0 0
--------------------------------------------------------------------------
Total Common Shareholders Equity 2,606,628 422,352 2,412 254,943 2,746
Preferred Stock 447,339 0 0 0 0
Long-Term Debt 626,901 0 0 0 10,126
--------------------------------------------------------------------------
Total Capitalization 3,680,868 422,352 2,412 254,943 12,872
--------------------------------------------------------------------------
Current Liabilities
Notes Payable 214,938 0 0 0 0
Current Redemption of Preferred Stock 0 0 0 0 0
Accounts Payable and Accrued Expenses 701,436 294,653 73,661 123,669 86,535
Dividends Payable 60,901 403 0 0 0
Taxes Accrued 9,045 237 170 (132) 0
Customer Deposits 0 0 0 0 0
Interest Accrued 11,036 0 0 0 0
--------------------------------------------------------------------------
997,356 295,293 73,831 123,537 86,535
--------------------------------------------------------------------------
Deferred Credits and Other Liabilities
Regulatory Liabilities 0 0 0 0 0
Deferred Federal Income Tax 0 0 7 3,675 0
Postretirement Benefits & Other Reserves 323,424 147 0 5,428 644
Other 48,746 0 0 0 0
--------------------------------------------------------------------------
372,170 147 7 9,103 644
--------------------------------------------------------------------------
Minority Interest in Subsidiary Companies (837) 0 0 0 0
--------------------------------------------------------------------------
Total Capitalization and Liabilities 5,049,557 717,792 76,250 387,583 100,051
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
Energy Keyspan KeySpan KeySpan KeySpan
Trading Energy Gas East Corporate Generation
Services LLC Services LLC Corporation Services LLC LLC
------------ ------------ ----------- ------------ ---
<S> <C> <C> <C> <C> <C>
Capitalization
Common Stock 7,444 23,652 657,862 136,251 192,064
Retained Earnings 4,791 3,253 (4,788) 5,404 37,769
Accumulated Foreign Currency Adjustment 0 0 0 0 0
Treasury Stock Purchased 0 0 0 0 0
----------------------------------------------------------------------------
Total Common Shareholders Equity 12,235 26,905 653,074 141,655 229,833
Preferred Stock 0 0 0 0 0
Long-Term Debt 4,857 39,467 572,904 246,723 319,991
----------------------------------------------------------------------------
Total Capitalization 17,092 66,372 1,225,978 388,378 549,824
----------------------------------------------------------------------------
Current Liabilities
Notes Payable 0 0 0 0 0
Current Redemption of Preferred Stock 0 0 0 0 0
Accounts Payable and Accrued Expenses 7,365 465,897 681,808 1,098,155 532,668
Dividends Payable 0 0 0 0 0
Taxes Accrued 0 13 5,005 (940) 22,291
Customer Deposits 0 0 3,925 0 0
Interest Accrued 0 0 (80) 0 271
----------------------------------------------------------------------------
7,365 465,910 690,658 1,097,215 555,230
----------------------------------------------------------------------------
Deferred Credits and Other Liabilities
Regulatory Liabilities 0 0 20,888 0 0
Deferred Federal Income Tax 0 634 73,433 13,958 894
Postretirement Benefits & Other Reserves 76 13,267 81,828 4,471 5,489
Other 0 10 68 2,608 (1)
----------------------------------------------------------------------------
76 13,911 176,217 21,037 6,382
----------------------------------------------------------------------------
Minority Interest in Subsidiary Companies 0 0 0 0 0
----------------------------------------------------------------------------
Total Capitalization and Liabilities 24,533 546,193 2,092,853 1,506,630 1,111,436
============================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
The Brooklyn The Houston GEI Energy KeySpan
Union Gas Exploration Development Development Services
Company Company Company Company Inc.
------- ------- ------- ------- --------
<S> <C> <C> <C> <C> <C>
Capitalization
Common Stock 468,747 366,154 14,943 329,921 128,325
Retained Earnings 403,959 (22,867) (14,688) 7,620 (16,678)
Accumulated Foreign Currency Adjustment 0 0 0 7,714 0
Treasury Stock Purchased 0 0 0 0 0
------------------------------------------------------------------------
Total Common Shareholders Equity 872,706 343,287 255 345,255 111,647
Preferred Stock 0 0 0 0 0
Long-Term Debt 647,271 281,000 0 86,405 0
------------------------------------------------------------------------
Total Capitalization 1,519,977 624,287 255 431,660 111,647
------------------------------------------------------------------------
Current Liabilities
Notes Payable 0 80,000 0 0 0
Current Redemption of Preferred Stock 0 0 0 0 0
Accounts Payable and Accrued Expenses 263,412 56,004 6,028 9,762 77,233
Dividends Payable 2 0 0 0 0
Taxes Accrued 22,420 0 25 0 997
Customer Deposits 26,113 0 0 76 1,731
Interest Accrued 9,102 0 0 337 0
------------------------------------------------------------------------
321,049 136,004 6,053 10,175 79,961
------------------------------------------------------------------------
Deferred Credits and Other Liabilities
Regulatory Liabilities 5,730 0 0 0 0
Deferred Federal Income Tax 275,372 57,179 0 (1,164) (1,966)
Postretirement Benefits & Other Reserves 65,600 0 0 1,200 176
Other 8,327 153 0 0 7,062
------------------------------------------------------------------------
355,029 57,332 0 36 5,272
------------------------------------------------------------------------
Minority Interest in Subsidiary Companies 0 78,475 0 0 0
------------------------------------------------------------------------
Total Capitalization and Liabilities 2,196,055 896,098 6,308 441,871 196,880
========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
Keyspan
Exploration Northeast KeySpan KeySpan
and Transmission Natural Operating
Production Company Fuels LLC Services LLC
---------- ------- --------- ------------
<S> <C> <C> <C> <C>
Capitalization
Common Stock 23,103 32,448 1,500 3,020
Retained Earnings 0 12,178 672 63
Accumulated Foreign Currency Adjustment 0 0 0 0
Treasury Stock Purchased 0 0 0 0
-------------------------------------------------------------
Total Common Shareholders Equity 23,103 44,626 2,172 3,083
Preferred Stock 0 0 0 0
Long-Term Debt 0 0 0 0
-------------------------------------------------------------
Total Capitalization 23,103 44,626 2,172 3,083
-------------------------------------------------------------
Current Liabilities
Notes Payable 0 0 0 0
Current Redemption of Preferred Stock 0 0 0 0
Accounts Payable and Accrued Expenses 12,527 2,325 300 9,277
Dividends Payable 0 0 0 0
Taxes Accrued 0 (1,245) 0 32
Customer Deposits 0 0 0 0
Interest Accrued 0 0 0 0
-------------------------------------------------------------
12,527 1,080 300 9,309
-------------------------------------------------------------
Deferred Credits and Other Liabilities
Regulatory Liabilities 0 0 0 0
Deferred Federal Income Tax 11,017 8,011 (1,584) 3
Postretirement Benefits & Other Reserves 0 0 0 0
Other 0 0 0 0
-------------------------------------------------------------
11,017 8,011 (1,584) 3
-------------------------------------------------------------
Minority Interest in Subsidiary Companies 0 0 0 154
-------------------------------------------------------------
Total Capitalization and Liabilities 46,647 53,717 888 12,549
=============================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Balance Sheet
December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan Keyspan
Northeast Energy Reclassifications
Ventures LLC Supply LLC & Elimination's Consolidated
--------------------------------------------------------------
<S> <C> <C> <C> <C>
Capitalization
Common Stock 1,997 1,501 (3,315,471) 2,973,388
Retained Earnings 1,332 (759) (72,494) 456,882
Accumulated Foreign Currency Adjustment 0 0 0 7,714
Treasury Stock Purchased 0 0 0 (722,959)
-------------------------------------------------------------
Total Common Shareholders Equity 3,329 742 (3,387,965) 2,715,025
Preferred Stock 0 0 (363,000) 84,339
Long-Term Debt 0 0 (1,152,943) 1,682,702
-------------------------------------------------------------
Total Capitalization 3,329 742 (4,903,908) 4,482,066
-------------------------------------------------------------
Current Liabilities
Notes Payable 0 0 (86,638) 208,300
Current Redemption of Preferred Stock 0 0 363,000 363,000
Accounts Payable and Accrued Expenses 508 344 (3,858,216) 645,347
Dividends Payable 0 0 0 61,306
Taxes Accrued 57 (54) (7,484) 50,437
Customer Deposits 0 0 (76) 31,769
Interest Accrued 0 0 7,427 28,093
-------------------------------------------------------------
565 290 (3,581,987) 1,388,252
-------------------------------------------------------------
Deferred Credits and Other Liabilities
Regulatory Liabilities 0 0 0 26,618
Deferred Federal Income Tax 257 0 (253,496) 186,230
Postretirement Benefits & Other Reserves 0 0 (147) 501,603
Other 23 0 (796) 66,200
0
-------------------------------------------------------------
280 0 (254,439) 780,651
-------------------------------------------------------------
Minority Interest in Subsidiary Companies 270 0 1,660 79,722
-------------------------------------------------------------
Total Capitalization and Liabilities 4,444 1,032 (8,738,674) 6,730,691
=============================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Income Statement
12 Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan KeySpan
KeySpan Energy Ravenswood Ravenswood Utility
Corporation Corporation Service Co. Inc. Services LLC
----------- ----------- ----------- ---- ------------
<S> <C> <C> <C> <C> <C>
REVENUES
Gas Distribution 0 0 0 0 0
Gas Exploration & Production 0 0 0 0 0
Electric Service 0 0 0 145,020 0
Energy Related Services and Other 1,928 0 23,066 0 33,508
--------------------------------------------------------------------------
Total Revenues 1,928 0 23,066 145,020 33,508
--------------------------------------------------------------------------
OPERATING EXPENSES
Purchased Gas 0 0 0 0 0
Fuel and Purchased Power 0 0 5,924 11,544 0
Operations and Maintenance 37,323 (258) 16,528 37,841 33,618
Depreciation, Depletion and Amortization 4,185 0 7 4,344 0
Operating Taxes 909 258 473 19,159 227
--------------------------------------------------------------------------
Total Operating Expenses 42,417 0 22,932 72,888 33,845
--------------------------------------------------------------------------
OPERATING INCOME (40,489) 0 134 72,132 (337)
--------------------------------------------------------------------------
OTHER INCOME AND DEDUCTIONS
Interest and Other, net 179,419 9,612 8 508 956
Minority Interest (2,059) 0 0 0 0
--------------------------------------------------------------------------
Total Other Income and (Deductions) 177,360 9,612 8 508 956
--------------------------------------------------------------------------
INCOME (LOSS) BEFORE INTEREST CHARGES AND INCOME TAXES 136,871 9,612 142 72,640 619
INTEREST CHARGES 74,929 0 23 0 756
INCOME TAXES (CREDIT) (12,951) (387) 47 25,246 (118)
--------------------------------------------------------------------------
NET INCOME (LOSS) 74,893 9,999 72 47,394 (19)
Preferred Stock Dividend Requirements 34,752 0 0 0 0
--------------------------------------------------------------------------
EARNINGS (LOSS) FOR COMMON STOCK 40,141 9,999 72 47,394 (19)
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Income Statement
12 Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
Energy KeySpan KeySpan KeySpan KeySpan
Trading Energy Gas East Corporate Generation
Services LLC Services LLC Corporation Services LLC LLC
------------ ------------ ----------- ------------ ---
<S> <C> <C> <C> <C> <C>
REVENUES
Gas Distribution 0 0 637,091 0 0
Gas Exploration & Production 0 0 0 0 0
Electric Service 8,430 398,303 0 0 303,161
Energy Related Services and Other 0 2,308 3,614 198,245 15,303
--------------------------------------------------------------------------
Total Revenues 8,430 400,611 640,705 198,245 318,464
--------------------------------------------------------------------------
OPERATING EXPENSES
Purchased Gas 0 0 284,924 0 0
Fuel and Purchased Power 753 0 0 0 0
Operations and Maintenance 1,296 368,414 124,925 134,688 122,432
Depreciation, Depletion and Amortization 0 0 32,804 23,014 39,983
Operating Taxes 501 7,605 83,636 11,983 106,483
--------------------------------------------------------------------------
Total Operating Expenses 2,550 376,019 526,289 169,685 268,898
--------------------------------------------------------------------------
OPERATING INCOME 5,880 24,592 114,416 28,560 49,566
--------------------------------------------------------------------------
OTHER INCOME AND DEDUCTIONS
Interest and Other, net 107 (7,930) 895 13,271 (1,357)
Minority Interest 0 0 0 0 0
--------------------------------------------------------------------------
Total Other Income and (Deductions) 107 (7,930) 895 13,271 (1,357)
--------------------------------------------------------------------------
INCOME (LOSS) BEFORE INTEREST CHARGES AND INCOME TAXES 5,987 16,662 115,311 41,831 48,209
INTEREST CHARGES 363 2,941 50,488 15,880 20,123
INCOME TAXES (CREDIT) 2,058 8,467 23,301 5,853 7,232
--------------------------------------------------------------------------
NET INCOME (LOSS) 3,566 5,254 41,522 20,098 20,854
Preferred Stock Dividend Requirements 0 0 0 0 0
--------------------------------------------------------------------------
EARNINGS (LOSS) FOR COMMON STOCK 3,566 5,254 41,522 20,098 20,854
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Income Statement
12 Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
The Brooklyn The Houston GEI Energy KeySpan
Union Gas Exploration Development Development Services
Company Company Company Company Inc.
------- ------- ------- ------- ----
<S> <C> <C> <C> <C> <C>
REVENUES
Gas Distribution 1,116,041 0 0 0 0
Gas Exploration & Production 0 150,581 0 0 0
Electric Service 0 0 0 0 0
Energy Related Services and Other 0 0 0 688 185,357
--------------------------------------------------------------------------
Total Revenues 1,116,041 150,581 0 688 185,357
--------------------------------------------------------------------------
OPERATING EXPENSES
Purchased Gas 417,120 0 0 0 42,388
Fuel and Purchased Power 0 0 0 0 0
Operations and Maintenance 290,051 27,662 0 7,560 144,010
Depreciation, Depletion and Amortization 70,196 74,051 0 1,099 3,548
Operating Taxes 140,163 338 0 8 0
--------------------------------------------------------------------------
Total Operating Expenses 917,530 102,051 0 8,667 189,946
--------------------------------------------------------------------------
OPERATING INCOME 198,511 48,530 0 (7,979) (4,589)
--------------------------------------------------------------------------
OTHER INCOME AND DEDUCTIONS
Interest and Other, net 25,532 1,162 995 13,254 684
Minority Interest 0 (8,865) 0 0 0
--------------------------------------------------------------------------
Total Other Income and (Deductions) 25,532 (7,703) 995 13,254 684
--------------------------------------------------------------------------
INCOME(LOSS) BEFORE INTEREST CHARGES AND INCOME TAXES 224,043 40,827 995 5,275 (3,905)
INTEREST CHARGES 34,270 13,307 0 3,726 0
INCOME TAXES (CREDIT) 60,125 11,748 0 (14) (1,143)
--------------------------------------------------------------------------
NET INCOME (LOSS) 129,648 15,772 995 1,563 (2,762)
Preferred Stock Dividend Requirements 0 0 0 0 0
--------------------------------------------------------------------------
EARNINGS (LOSS) FOR COMMON STOCK 129,648 15,772 995 1,563 (2,762)
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Income Statement
12 Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
Keyspan
Exploration Northeast KeySpan KeySpan
and Transmission Natural Operating
Production Company Fuels LLC Services LLC
---------- ------- --------- ------------
<S> <C> <C> <C> <C>
REVENUES
Gas Distribution 0 0 0 0
Gas Exploration & Production 0 0 0 0
Electric Service 0 0 0 7,188
Energy Related Services and Other 0 0 0 0
-----------------------------------------------------------
Total Revenues 0 0 0 7,188
-----------------------------------------------------------
OPERATING EXPENSES
Purchased Gas 0 0 0 0
Fuel and Purchased Power 0 0 0 0
Operations and Maintenance 0 0 0 7,066
Depreciation, Depletion and Amortization 0 0 0 0
Operating Taxes 0 0 0 0
-----------------------------------------------------------
Total Operating Expenses 0 0 0 7,066
-----------------------------------------------------------
OPERATING INCOME 0 0 0 122
-----------------------------------------------------------
OTHER INCOME AND DEDUCTIONS
Interest and Other, net 0 5,118 78 70
Minority Interest 0 0 0 (94)
-----------------------------------------------------------
Total Other Income and (Deductions) 0 5,118 78 (24)
-----------------------------------------------------------
INCOME (LOSS) BEFORE INTEREST CHARGES AND INCOME TAXES 0 5,118 78 98
INTEREST CHARGES 0 0 0 0
INCOME TAXES (CREDIT) 0 0 0 35
-------------------------------------------------------------
NET INCOME (LOSS) 0 5,118 78 63
Preferred Stock Dividend Requirements 0 0 0 0
-------------------------------------------------------------
EARNINGS (LOSS) FOR COMMON STOCK 0 5,118 78 63
=============================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Income Statement
12 Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan KeySpan
Northeast Energy Reclassifications
Ventures LLC Supply LLC & Elimination's Consolidated
------------ ---------- --------------- ------------
<S> <C> <C> <C> <C>
REVENUES
Gas Distribution 0 0 0 1,753,132
Gas Exploration & Production 0 0 0 150,581
Electric Service 0 815 (1,335) 861,582
Energy Related Services and Other 2,101 0 (276,800) 189,318
-------------------------------------------------------------
Total Revenues 2,101 815 (278,135) 2,954,613
-------------------------------------------------------------
OPERATING EXPENSES
Purchased Gas 0 0 0 744,432
Fuel and Purchased Power 0 0 (969) 17,252
Operations and Maintenance 697 1,818 (264,505) 1,091,166
Depreciation, Depletion and Amortization 209 0 0 253,440
Operating Taxes 0 3 (5,592) 366,154
-------------------------------------------------------------
Total Operating Expenses 906 1,821 (271,066) 2,472,444
-------------------------------------------------------------
OPERATING INCOME 1,195 (1,006) (7,069) 482,169
-------------------------------------------------------------
OTHER INCOME AND DEDUCTIONS
Interest and Other, net 35 24 (193,804) 48,637
Minority Interest (123) 0 0 (11,141)
-------------------------------------------------------------
Total Other Income and (Deductions) (88) 24 (193,804) 37,496
-------------------------------------------------------------
INCOME(LOSS) BEFORE INTEREST CHARGES AND INCOME TAXES 1,107 (982) (200,873) 519,665
INTEREST CHARGES 0 0 (92,114) 124,692
INCOME TAXES (CREDIT) 395 (343) 6,811 136,362
-------------------------------------------------------------
NET INCOME (LOSS) 712 (639) (115,570) 258,611
Preferred Stock Dividend Requirements 0 0 0 34,752
-------------------------------------------------------------
EARNINGS (LOSS) FOR COMMON STOCK 712 (639) (115,570) 223,859
=============================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Earnings Reinvestment Statement
Twelve Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
Keyspan KeySpan
Keyspan Energy Ravenswood Ravenswood Utility
Corporation Corporation Service Co Inc. Services LLC
----------- ----------- ---------- ---- ------------
<S> <C> <C> <C> <C> <C>
Earnings Reinvested at Beginning of Period 565,356 420,772 0 0 4,971
Net Income ( Loss) 74,893 9,999 72 47,394 (19)
-----------------------------------------------------------------------
640,249 430,771 72 47,394 4,952
Dividends Declared on Common Stock (255,274) (726,385) 0 0 0
Dividends Declared on Preferred Stock (34,752) 0 0 0 0
Other, Includes Redemption of Preferred Stock 5,086 0 0 0 0
-----------------------------------------------------------------------
Earnings Reinvested at End of Period 355,309 (295,614) 72 47,394 4,952
=======================================================================
</TABLE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Earnings Reinvestment Statement
Twelve Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
Energy KeySpan KeySpan KeySpan KeySpan
Trading Energy Gas East Corporate Generation
Services LLC Services LLC Corporation Services LLC LLC
------------ ------------ ----------- ------------ ---
<S> <C> <C> <C> <C> <C>
Earnings Reinvested at Beginning of Period 1,225 (2,005) (45,785) (14,694) 15,594
Net Income ( Loss) 3,566 5,254 41,522 20,098 20,854
--------------------------------------------------------------------------
4,791 3,249 (4,263) 5,404 36,448
Dividends Declared on Common Stock 0 0 0 0 0
Dividends Declared on Preferred Stock 0 0 0 0 0
Other, Includes Redemption of Preferred Stock 0 4 (525) 0 1,321
--------------------------------------------------------------------------
Earnings Reinvested at End of Period 4,791 3,253 (4,788) 5,404 37,769
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Earnings Reinvestment Statement
Twelve Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
The Brooklyn The Houston GEI Energy KeySpan
Union Gas Exploration Development Development Services
Company Company Company Company Inc.
------- ------- ------- ------- ----
<S> <C> <C> <C> <C> <C>
Earnings Reinvested at Beginning of Period 484,250 (38,639) (15,683) 6,057 (13,916)
Net Income ( Loss) 129,648 15,772 995 1,563 (2,762)
--------------------------------------------------------------------------
613,898 (22,867) (14,688) 7,620 (16,678)
Dividends Declared on Common Stock (209,939) 0 0 0 0
Dividends Declared on Preferred Stock 0 0 0 0 0
Other, Includes Redemption of Preferred Stock 0 0 0 0 0
--------------------------------------------------------------------------
Earnings Reinvested at End of Period 403,959 (22,867) (14,688) 7,620 (16,678)
==========================================================================
</TABLE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Earnings Reinvestment Statement
Twelve Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
Keyspan
Exploration Northeast KeySpan Keyspan KeySpan
and Transmission Natural Operating Northeast
Production Company Fuels LLC Services LLC Ventures LLC
---------- ------- --------- ------------ ------------
<S> <C> <C> <C> <C> <C>
Earnings Reinvested at Beginning of Period 0 7,060 594 0 620
Net Income ( Loss) 0 5,118 78 63 712
--------------------------------------------------------------------------
0 12,178 672 63 1,332
Dividends Declared on Common Stock 0 0 0 0 0
Dividends Declared on Preferred Stock 0 0 0 0 0
Other, Includes Redemption of Preferred Stock 0 0 0 0 0
--------------------------------------------------------------------------
Earnings Reinvested at End of Period 0 12,178 672 63 1,332
==========================================================================
</TABLE>
<PAGE>
<TABLE>
KeySpan Corporation
D/B/A KeySpan Energy
Consolidating Earnings Reinvestment Statement
Twelve Months ended December 31, 1999
(In Thousands of Dollars)
<CAPTION>
KeySpan
Energy Reclassifications
Supply LLC & Elimination's Consolidated
---------- --------------- ------------
<S> <C> <C> <C>
Earnings Reinvested at Beginning of Period (120) (901,469) 474,188
Net Income ( Loss) (639) (115,570) 258,611
-----------------------------------------------
(759) (1,017,039) 732,799
Dividends Declared on Common Stock 0 945,347 (246,251)
Dividends Declared on Preferred Stock 0 0 (34,752)
Other, Includes Redemption of Preferred Stock 0 (800) 5,086
-----------------------------------------------
Earnings Reinvested at End of Period (759) (72,492) 456,882
===============================================
</TABLE>
<PAGE>
KeySpan Corporation d/b/a KeySpan Energy
Notes to the Consolidating Financial Statements
The financial statements of KeySpan Energy Development Corporation include the
assets, liabilities, results of operations and changes in reinvested earnings of
the following companies:
KeySpan International Corporation KeySpan CI Ltd.
Phoenix Natural Gas Limited
Premier Transco Limited
KeySpan U.K. Limited
KeySpan CI II Ltd.
Grupo KeySpan S. de R.L. de C.V.
FINSA Energeticos, S. de R.L. de C.V.
GEI Timna, Inc.
GTM Energy LLC
KeySpan Cross Bay, LLC
Honeoye Storage Corporation
Solex Production, Ltd.
KeySpan Midstream, LLC
KeySpan CI Midstream Ltd.
KeySpan Luxembourg S.A.R.L.
Nicodoma Beheer V.B.V.
KeySpan Midstream Finance Co.
KeySpan Energy Development
KeySpan Energy Canada Ltd.
GMS Facilities Ltd.
Gulf Midstream Services Ltd.
Gulf Midstream Services Partnership
The financial statements of KeySpan Services, Inc. (also referred to as KeySpan
Energy Marketing Group) include the assets, liabilities, results of operations
and changes in reinvested earnings of the following companies:
KeySpan Communications Corp.
KeySpan Energy Management, Inc.
KeySpan Engineering Associates, Inc.
R. D. Mortman, LLC
KeySpan Energy Solutions, LLC
KeySpan Plumbing Solutions, Inc.
KeySpan Energy Services, Inc.
Fritze KeySpan, LLC
Delta KeySpan Inc.
Active Conditioning Corp.
<PAGE>
The financial statements of KeySpan North East Ventures, Inc. include the
assets, liabilities, results of operations and changes in reinvested earnings of
Northeast Gas Markets, LLC.
The financial statements of the Houston Exploration Company include the assets,
liabilities, results of operations and changes in reinvested earnings of
Seneca-Upshur Petroleum, Inc. and THEC Holdings Corp.
The financial statements of North East Transmission Company, Inc. includes the
equity investments in Iroquois Gas Transmission System, L.P.
<PAGE>
EXHIBIT B. Financial Data Schedule
If, at the time a report on this form is filed, the registrant is
required to submit this report and any amendments thereto electronically via
EDGAR, the registrant shall furnish a Financial Data Schedule. The Schedule
shall set forth the financial and other data specified below that are applicable
to the registrant on a consolidated basis.
Item No. Caption Heading
1 Total Assets
2 Total Operating Revenues
3 Net Income
SEE EXHIBIT 27 ANNEXED HERETO
<PAGE>
EXHIBIT C
An organization chart showing the relationship of each EWG or foreign
utility company to associate companies in the holding-company system.
KEYSPAN ENERGY
MARCH 31, 2000
----------------------
KeySpan Energy
----------------------
| |
---------------------- -----------------------
KEC KeySpan Ravenswood
---------------------- -----------------------
|
-------------
KEDC
-------------
|
-------------
KeySpan
International
Corporation
-------------
| |
----------- ------------
KeySpan CI KeySpan CI II
----------- ------------
| | | |
- ------- ------- ------- -------
KeySpan Phoenix Premier GRUPO
UK (24.5%) (24.5%) (99%)
- ------- ------- ------- -------
| |
- ------- ------
Premier FINSA
(25.5%) (50%)
- ------- ------
<PAGE>
The above-named claimant has caused this statement to be duly executed
on its behalf by its authorized officer on this 31st day March, 2000.
KEYSPAN CORPORATION
d/b/a KEYSPAN ENERGY
(Name of Claimant)
By /s/ Ronald S. Jendras
------------------------
Ronald S. Jendras
Vice President, Controller &
Chief Accounting Officer
CORPORATE SEAL
[Corporate Seal of KeySpan Corporation d/b/a KeySpan Energy Appears Here]
Attest: /s/ Robert R. Wieczorek
-----------------------
Robert R. Wieczorek
Vice President, Secretary &
Treasurer
<PAGE>
The above-named claimant has caused this statement to be duly executed on its
behalf by its authorized officer on this 31st day of March, 2000.
KEYSPAN ENERGY CORPORATION
(Name of Claimant)
By /s/ Craig G. Matthews
---------------------
Craig G. Matthews
President and Chief Operating Officer
CORPORATE SEAL
[Corporate Seal of KeySpan Energy Corporation Appears Here]
Attest: /s/ Robert R. Wieczorek
-----------------------
Robert R. Wieczorek
Vice President, Secretary &
Treasurer
Name, title, and address of officer to whom notices and correspondence
concerning this statement should be addressed:
Robert R. Wieczorek Vice President, Secretary & Treasurer
------------------- -------------------------------------
(Name) (Title)
One MetroTech Center, Brooklyn, New York 11201
-----------------------------------------------
(Address)
<TABLE> <S> <C>
<ARTICLE> OPUR3
<LEGEND>
This schedule contains summary financial information extracted from the
Consolidating Balance Sheet, Consolidating Income Statement, and Consolidating
Earnings Reinvestment Statement, and is qualified in its entirety by reference
to such financial statements.
</LEGEND>
<MULTIPLIER> 1000
<S> <C>
<PERIOD-TYPE> Year
<FISCAL-YEAR-END> Dec-31-1999
<PERIOD-START> Jan-1-1999
<PERIOD-END> Dec-31-1999
<BOOK-VALUE> Per-Book
<TOTAL-ASSETS> 6,730,691
<TOTAL-OPERATING-REVENUES> 2,954,613
<NET-INCOME> 223,859
</TABLE>
