<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-Q
X QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTER ENDED
DECEMBER 31, 1993
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD
FROM TO
Commission IRS Employer
File State of Identification
Number Registrant Incorporation Number
1-7810 Energen Corporation Alabama 63-0757759
2-38960 Alabama Gas Corporation Alabama 63-0022000
2101 Sixth Avenue North
Birmingham, Alabama 35203
Telephone Number 205/326-2700
Alabama Gas Corporation, a wholly-owned subsidiary of Energen
Corporation, meets the conditions set forth in General Instruction
H(1)(a) and (b) of Form 10-Q and is therefore filing this Form with
reduced disclosure format pursuant to General Instruction H(2).
Indicate by a check mark whether the registrants (1) have filed all
reports required to be filed by Section 13 or 15(d) of the
Securities and Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrants were required to
file such reports), and (2) have been subject to such filing
requirements for the past 90 days. YES X NO
Indicate the number of shares outstanding of each of the issuers'
classes of common stock, as of February 7, 1994:
Energen Corporation, $0.01 par value 10,916,871 shares
Alabama Gas Corporation, $0.01 par value 1,972,052 shares
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Energen Corporation and Alabama Gas Corporation
Form 10-Q for the Quarter Ended December 31, 1993
INDEX
Page No.
PART I. Financial Information (Unaudited)
Item 1. Financial Statements
(a) Consolidated Statements of Income of Energen Corporation 4
(b) Consolidated Balance Sheets of Energen Corporation 5-6
(c) Consolidated Statements of Cash Flows of Energen
Corporation 7
(d) Statements of Income of Alabama Gas Corporation 8
(e) Balance Sheets of Alabama Gas Corporation 9-10
(f) Statements of Cash Flows of Alabama Gas Corporation 11
(g) Notes to Unaudited Financial Statements 12-13
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 14-16
Selected Business Segment Data of Energen Corporation 17
PART II. Other Information
Item 6. Exhibits and Reports on Form 8-K 18
SIGNATURES 20
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<TABLE>
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
CONSOLIDATED STATEMENTS OF INCOME
Energen Corporation and Subsidiaries
(Unaudited)
<CAPTION>
Three Months Ended December 31,
1993 1992
(in thousands, except per share data)
<S> <C> <C> <C> <C>
Operating Revenues
Natural gas distribution $ 78,993 $ 76,866
Oil and gas production activities 6,201 4,905
Other 5,248 4,266
Intercompany eliminations (2,523) (1,929)
Total operating revenues 87,919 84,108
Operating Expenses
Cost of gas 43,374 43,906
Operations 23,143 20,281
Maintenance 2,251 2,167
Depreciation, depletion and amortization 6,711 5,971
Taxes, other than income taxes 6,727 6,417
Total operating expenses 82,206 78,742
Operating Income 5,713 5,366
Other Income (Expense)
Interest expense, net of amounts capitalized (2,922) (2,592)
Dividends on preferred stock of subsidiary - (21)
Other, net 196 406
Total other income (expense) (2,726) (2,207)
Income Before Income Taxes 2,987 3,159
Income taxes 687 489
Net Income $ 2,300 $ 2,670
Earnings Per Average Common Share $ 0.22 $ 0.26
Dividends Per Common Share $ 0.27 $ 0.26
Average Common Shares Outstanding 10,587 10,184
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
CONSOLIDATED BALANCE SHEETS
Energen Corporation and Subsidiaries
<CAPTION>
December 31, September 30,
1993 1993
(Unaudited)
(In thousands)
<S> <C> <C> <C> <C>
ASSETS
Property, Plant and Equipment
Utility plant $ 434,148 $ 429,115
Less accumulated depreciation 220,047 215,892
Utility plant, net 214,101 213,223
Oil and gas properties, successful efforts method 87,743 86,077
Less accumulated depreciation, depletion and amortization 36,829 35,150
Oil and gas properties, net 50,914 50,927
Other property, net 8,658 8,947
Total property, plant and equipment, net 273,673 273,097
Current Assets
Cash and cash equivalents 4,984 15,008
Accounts receivable, net of allowance for doubtful
accounts of $1,939 at December 31, 1993 and
$1,927 at September 30, 1993 51,771 36,181
Inventories, at average cost
Storage gas 22,313 -
Materials and supplies 8,652 8,957
Liquified natural gas in storage 3,829 3,636
Deferred gas costs 15,677 2,966
Deferred income taxes 4,134 4,090
Prepayments and other 2,343 4,034
Total current assets 113,703 74,872
Other Assets
Notes receivable 5,924 6,798
Deferred charges and other 12,085 15,918
Total other assets 18,009 22,716
TOTAL ASSETS $ 405,385 $ 370,685
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
CONSOLIDATED BALANCE SHEETS
Energen Corporation and Subsidiaries
<CAPTION>
December 31, September 30,
1993 1993
(Unaudited)
(In thousands)
<S> <C> <C> <C> <C> <C>
CAPITAL AND LIABILITIES
Capitalization
Preferred stock, cumulative, $0.01 par value, 5,000,000
shares authorized $ - $ -
Common shareholders' equity
Common stock, $0.01 par value; 30,000,000 shares authorized,
10,916,412 shares outstanding at December 31, 1993 and
10,320,317 shares outstanding at September 30, 1993 109 103
Premium on capital stock 81,082 66,368
Capital surplus 2,802 2,802
Retained earnings 70,546 71,040
Total common shareholders' equity 154,539 140,313
Long-term debt 104,173 85,852
Total capitalization 258,712 226,165
Current Liabilities
Long-term debt due within one year 4,673 5,043
Notes payable to banks 28,000 40,000
Accounts payable 38,524 27,609
Accrued taxes 12,006 9,656
Customers' deposits 17,131 16,719
Amounts due customers 6,248 5,105
Accrued wages and benefits 7,773 8,054
Other 13,775 13,232
Total current liabilities 128,130 125,418
Deferred Credits and Other Liabilities
Deferred income taxes 864 480
Accumulated deferred investment tax credits 4,956 5,077
Other 12,723 13,545
Total deferred credits and other liabilities 18,543 19,102
Commitments and Contingencies - -
TOTAL CAPITAL AND LIABILITIES $ 405,385 $ 370,685
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
CONSOLIDATED STATEMENTS OF CASH FLOWS
Energen Corporation and Subsidiaries
(Unaudited)
<CAPTION>
Three Months Ended December 31,
1993 1992
(In thousands)
<S> <C> <C> <C> <C>
Operating Activities
Net income $ 2,300 $ 2,670
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation, depletion and amortization 6,711 5,971
Deferred income taxes, net 212 68
Deferred investment tax credits, net (121) (132)
Gain on sale of equity securities (1,375) -
Net change in:
Accounts receivable (15,590) (16,435)
Inventories (22,201) 1,057
Accounts payable 10,915 25,036
Other current assets and liabilities (6,853) (9,378)
Other, net (98) 365
Net cash provided by (used in) operating activities (26,100) 9,222
Investing Activities
Additions to property, plant and equipment (7,193) (16,310)
Proceeds from sale of equity securities 3,305 -
Payments on notes receivable 693 419
Other, net 1,569 140
Net cash used in investing activities (1,626) (15,751)
Financing Activities
Payment of dividends on common stock (2,795) (2,648)
Issuance of common stock 14,721 85
Reduction of long-term debt and preferred stock of subsidiary (8,899) (1,242)
Proceeds from issuance of medium-term notes 26,675 -
Net change in short-term debt (12,000) 7,000
Net cash provided by financing activities 17,702 3,195
Net change in cash and cash equivalents (10,024) (3,334)
Cash and cash equivalents at beginning of period 15,008 10,303
Cash and cash equivalents at end of period $ 4,984 $ 6,969
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
STATEMENTS OF INCOME
Alabama Gas Corporation
(Unaudited)
<CAPTION>
Three Months Ended December 31,
1993 1992
(In thousands, except per share data)
<S> <C> <C> <C> <C>
Operating Revenues $ 78,993 $ 76,866
Operating Expenses
Cost of gas 44,610 45,289
Operations 18,248 16,259
Maintenance 2,153 2,052
Depreciation 4,427 4,262
Income taxes
Current 361 360
Deferred, net (32) 48
Deferred investment tax credits, net (122) (132)
Taxes, other than income taxes 6,403 6,175
Total operating expenses 76,048 74,313
Operating Income 2,945 2,553
Other Income
Allowance for funds used during construction 76 17
Other, net (208) 183
Total other income (132) 200
Interest Charges
Interest on long-term debt 1,419 1,523
Other interest expense 698 345
Total interest charges 2,117 1,868
Net Income 696 885
Less cash dividends on cumulative preferred stock - 21
Net Income Available for Common $ 696 $ 864
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
BALANCE SHEETS
Alabama Gas Corporation
<CAPTION>
December 31, September 30,
1993 1993
(Unaudited)
(In thousands)
<S> <C> <C> <C> <C>
ASSETS
Property, Plant and Equipment
Utility plant $ 434,148 $ 429,115
Less accumulated depreciation 220,047 215,892
Utility plant, net 214,101 213,223
Other property, net 82 83
Current Assets
Cash 1,921 480
Accounts receivable
Gas 38,252 23,563
Merchandise 1,354 1,256
Other 1,006 1,011
Allowance for doubtful accounts (1,800) (1,800)
Inventories, at average cost
Storage gas 22,313 -
Materials and supplies 5,767 5,851
Liquified natural gas in storage 3,829 3,636
Deferred gas costs 15,677 2,966
Deferred income taxes 2,587 2,587
Prepayments and other 2,149 2,520
Total current assets 93,055 42,070
Deferred Charges and Other Assets 8,804 9,172
TOTAL ASSETS $ 316,042 $ 264,548
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
BALANCE SHEETS
Alabama Gas Corporation
<CAPTION>
December 31, September 30,
1993 1993
(Unaudited)
(In thousands)
<S> <C> <C> <C> <C>
CAPITAL AND LIABILITIES
Capitalization
Common shareholder's equity
Common stock, $0.01 par value; 3,000,000 shares authorized,
1,972,052 shares outstanding in 1993 and 1992 $ 20 $ 20
Premium on capital stock 31,682 21,682
Capital surplus 2,802 2,802
Retained earnings 72,787 74,886
Total common shareholder's equity 107,291 99,390
Cumulative preferred stock, $0.01 par value, 120,000 shares
authorized, issuable in series - $4.70 Series - -
Long-term debt 62,833 43,912
Total capitalization 170,124 143,302
Current Liabilities
Long-term debt due within one year 2,823 3,193
Notes payable to banks 28,000 29,000
Accounts payable
Other 35,366 18,772
Affiliated companies 6,925 1,252
Accrued taxes 10,869 8,960
Customers' deposits 17,129 16,717
Supplier refunds due customers 792 740
Other amounts due customers 5,456 4,365
Accrued wages and benefits 4,758 5,261
Other 5,802 4,821
Total current liabilities 117,920 93,081
Deferred Credits and Other Liabilities
Deferred income taxes 12,512 12,416
Accumulated deferred investment tax credits 4,956 5,077
Regulatory liability 7,543 7,717
Customer advances for construction and other 2,987 2,955
Total deferred credits and other liabilities 27,998 28,165
Commitments and Contingencies - -
TOTAL CAPITAL AND LIABILITIES $ 316,042 $ 264,548
The accompanying Notes are an integral part of these statements.
</TABLE>
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<TABLE>
STATEMENTS OF CASH FLOWS
Alabama Gas Corporation
(Unaudited)
<CAPTION>
Three Months Ended December 31,
1993 1992
(in thousands)
<S> <C> <C> <C> <C>
Operating Activities
Net income $ 696 $ 885
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization 4,427 4,262
Deferred income taxes, net (32) 48
Deferred investment tax credits (122) (132)
Net change in:
Accounts receivable (14,869) (15,725)
Inventories (22,422) (118)
Accounts payable 15,342 23,472
Other current assets and liabilities (8,398) (10,382)
Other, net 461 161
Net cash provided by (used in) operating activities (24,917) 2,471
Investing Activities
Additions to property, plant and equipment (5,214) (3,426)
Net advances from holding company 87 -
Other, net (21) (37)
Net cash used in investing activities (5,148) (3,463)
Financing Activities
Payment of dividends on common stock (2,795) (2,650)
Payment of dividends on preferred stock - (21)
Reduction of long-term debt and preferred stock (8,299) (442)
Proceeds from issuance of medium-term notes 26,675 -
Proceeds from equity infusion from parent 10,000 -
Net advances from (to) affiliates 6,925 (2,476)
Net change in short-term debt (1,000) 7,000
Net cash provided by financing activities 31,506 1,411
Net change in cash 1,441 419
Cash at beginning of period 480 2,394
Cash at end of period $ 1,921 $ 2,813
The accompanying Notes are an integral part of these statements.
</TABLE>
<PAGE>
Energen Corporation and Alabama Corporation
Notes to Unaudited Financial Statements
1. Basis of Presentation
All adjustments to the unaudited financial statements which are, in
the opinion of management, necessary for a fair statement of the
results of operations for the interim periods have been recorded.
Such adjustments consisted only of normal recurring items. The
consolidated financial statements and notes thereto should be read
in conjunction with the financial statements and notes for the
years ended September 30, 1993, 1992, and 1991 included in the 1993
Annual Report of Energen Corporation (the Company) on Form 10-K.
Certain reclassifications were made to conform prior years'
financial statements to the current quarter presentation. The
Company's primary business is seasonal in character and influenced
by weather conditions. Results of operations for the interim
periods are not necessarily indicative of the results which may be
expected for the fiscal year.
2. Change in Accounting Method
The Company adopted SFAS No. 106, Employers' Accounting for
Postretirement Benefits Other than Pensions, with respect to the
accrual of such costs for all employees under labor union
agreements effective for the year beginning October 1, 1993. The
Company adopted SFAS No. 106 with respect to salaried employees in
a prior year. There is no cumulative effect on the income
statement resulting from the adoption of SFAS No. 106 as the
Company has elected to amortize transition costs over a twenty year
period. The Company funds its accrued
postretirement benefit liability on a quarterly basis in the month
following each quarter end.
The expense for the plan covering employees under labor union
agreements for the year ended September 30, 1994 is expected to be
$3,709,000. The "projected unit credit" actuarial method was used
to determine the normal cost and actuarial liability.
A reconciliation of the estimated status of the obligation is as
follows (in thousands):
Three Months Ended
December 31, 1993
Accumulated postretirement benefit $ (26,007)
Plan assets 10
Unamortized amounts 25,372
Accrued post-employment benefit liability $ (625)
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Net periodic postretirement benefit cost for the quarter ended
December 31, 1993 includes the following (in thousands):
Three Months Ended
December 31, 1993
Service cost $ 126
Interest cost on accumulated
postretirement benefit obligation 480
Amortization of transition obligation 321
Amortization of actuarial gains and losses -
Expected return on plan assets -
Net periodic postretirement benefit expense $ 927
The weighted average health care cost trend rate used in
determining the accumulated postretirement benefit obligation was
8.0 percent. That assumption has a significant effect on the
amounts reported. To illustrate, increasing the weighted average
health care cost trend rate by 1.0 percent would increase the
accumulated postretirement benefit obligation by 8.7 percent and
the net periodic benefit cost by 8.5 percent. The weighted average
discount rate used in determining the accumulated postretirement
benefit obligation was 7.5 percent. On December 6, 1993, the Alabama Public
Service Commission adopted Order 4-3454, which allows the Company to recover
all costs accrued under SFAS No. 106 through rates.
3. Regulatory
As a public utility in the state of Alabama, Alagasco is subject to
regulation by the Alabama Public Service Commission (APSC), which
has adopted several innovative approaches to rate regulation,
including Alabama's Rate Stabilization and Equalization (RSE) rate-
setting process. Implemented in 1983 and modified in 1985, 1987,
and 1990, RSE replaces the traditional utility rate case with APSC-
monitored periodic rate adjustments presently designed to give
Alagasco the opportunity to earn an average return on equity (ROE)
at its fiscal year-end within a specified range. Under Alagasco's
current RSE order, which became effective December 1990, Alagasco's
allowed ROE range is 13.15 percent to 13.65 percent. The APSC
conducts quarterly reviews to determine, based on Alagasco's budget
and fiscal year-to-date performance, whether Alagasco's projected
ROE for the fiscal year will be within the allowed range.
Reductions in rates can be made quarterly to bring the projected
ROE within the allowed range. Increases, however, are permitted
only once each fiscal year effective on December 1, and cannot
exceed 4 percent of prior-year revenues.
RSE limits Alagasco's equity upon which a return is permitted to 60
percent of total capitalization and provides for a cost control
measure designed to monitor Alagasco's operations and maintenance
(O & M) expense. If increases in O & M expense per customer fall
within 1.25 percent above or below the Consumer Price Index for all
Urban Customers (index range), no adjustment is required. If,
however, increases in O & M expense per customer exceed the index
range, three-fourths of the difference is returned to customers.
To the extent increases in O & M expense per customer are less than
the index range, Alagasco will benefit by one-half of the
difference through future rate adjustments. Effective December 15,
1990, the APSC approved a temperature adjustment to customers'
monthly bills to mitigate the effect of departures from normal
temperature on Alagasco's earnings. The calculation is performed
monthly and adjusted on customer's bills in the actual month the
weather variation occurs.
Under RSE as extended, a $.5 million annual decrease in revenue
became effective October 1, 1993, and a $7.2 million annual
increase in revenue became effective December 1, 1993.
4. Supplemental Cash Flow Information
Energen Corporation
Three months ended December 31, (in thousands) 1993 1992
Interest paid, net of amounts capitalized $ 3,753 $ 4,065
Income taxes paid $ 158 $ 793
Noncash investing activities (capitalized
depreciation and allowance for funds used
during construction) $ 122 $ 62
Noncash financing activities (debt issuance costs) $ 175 $ -
Alabama Gas Corporation
Three months ended December 31, (in thousands) 1993 1992
Interest paid $ 3,361 $ 3,489
Income taxes paid $ (185) $ 243
Noncash investing activities (capitalized
depreciation and allowance for funds used
during construction) $ 122 $ 62
Noncash financing activities (debt issuance costs) $ 175 $ -
<PAGE>
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Item 2. Managements's Discussion and Analysis of Financial
Condition and Results of Operations
Consolidated net income for the first quarter was $2,300,000 ($0.22
per share) compared to $2,670,000 ($0.26 per share) in the prior
year. The slight decline in the current quarter is due primarily
to a decreased contribution from the Company's exploration and
production subsidiary, Taurus Exploration, Inc., (Taurus).
Taurus's, $.4 million decrease in earnings in the current quarter
was primarily attributable to the absence of coalbed methane
drilling fees due to the expiration of the tax credit qualifying
deadline on December 31, 1992; to decreased consulting fees; and to
decreased recognition of tax credits on an interim basis. The
contribution from Alabama Gas Corporation (Alagasco), the Company's
natural gas utility, remained virtually the same as that of the
prior year. Net income from the Company's other activities
increased slightly due primarily to increased propane margins and
merchandising sales.
Natural gas revenues increased three percent in the current quarter
primarily due to the pass through of increased gas cost partially
offset by decreased sales to core customers.
Oil and gas revenues increased 26 percent for the quarter primarily
due to a 54 percent increase in oil and gas production volumes
partially offset by reduced consulting fees following the
conclusion of a major consulting contract. The average sales price
of gas this quarter was $2.02 per Mcf compared with $1.92 per Mcf
in the prior year. The average sales price of oil this quarter was
$14.94 per barrel compared with $18.40 per barrel in the prior
year. Taurus's sales contracts are largely tied to the spot market
and are sensitive to price fluctuations inherent therein. To hedge
its exposure to such price fluctuations on oil and gas production,
Taurus periodically enters into futures contracts. Under this
program, Taurus has entered into futures contracts for the sale of
5.3 Bcf of its gas production with an average contract price of
$1.95, and for the sale of 36,000 barrels of its oil production at
an average contract price of $20.30 over the remainder of this
fiscal year. Taurus plans to extend its hedging program into
fiscal 1995.
Other revenues for the quarter were higher by $1 million due to
increased merchandise sales.
The cost of gas remained virtually unchanged. Increases due to
purchased volumes were offset by an overall decrease in the unit
cost of purchased gas.
Operations and maintenance expense increased 13 percent in the
first quarter primarily due to increased labor and related expenses
at Alagasco and decreased drilling fees and overhead reimbursements
at Taurus.
Depreciation expense increased 12 percent in the current quarter
due primarily to increased oil and gas production at Taurus and
normal plant growth at Alagasco.
The Company's expense for taxes other than income taxes primarily
reflects various state and local business taxes paid by Alagasco as
well as various payroll-related taxes. The state and local
business taxes are generally based on gross receipts of Alagasco
and fluctuate accordingly.
Alagasco's higher average short-term debt outstanding (associated
with the current year purchase of storage gas inventory) together
with the effect of the $15.0 million unsecured notes issued in the
third quarter of the prior fiscal year combined to create a 13
percent increase in interest expense in the current quarter.
Other income decreased in the current quarter primarily due to
redemption fees incurred related to the current year refinancing.
Income tax expense for the quarter increased over the prior year
due to decreased recognition of nonconventional fuel tax credits on
an interim basis. The Company anticipates effective tax rates to
remain lower than statutory rates through the year 2002 as it
expects to recognize all tax credits generated for financial
statement purposes.
As previously discussed, the Company's business is seasonal in
character and influenced by weather conditions. Results of
operations for the interim periods are not necessarily indicative
of the results that may be expected for the fiscal year.
Liquidity and Capital Resources
Net cash provided by operating activities decreased $35.3 million
in the current year and is due largely to the purchase of storage
gas by Alagasco during the current year in connection
with the implementation of Order 636. Fluctuations in accounts
receivable and payable are generally the result of timing of
payments.
Net cash provided by investing activities increased $14.1 million
over the prior year. The most significant factor contributing to
the increase was the current year reduction in capital
expenditures. Capital expenditures for the prior year included the
Company's investment of approximately $13.0 million in conventional
producing properties following the 1992 sale of nonconventional
properties. Also contributing to the increase were proceeds of
$3.3 million resulting from the sale of equity securities.
The increase in net cash provided by financing activities of $14.5
million is attributable to several occurrences in the first quarter
of the current year. The issuance of 550,000 shares of Energen
common stock in November of 1993 resulted in proceeds of
approximately $13.5 million which were used primarily to help fund
the purchase of storage gas. Alagasco also issued $26.8
million of medium-term notes which offered investors a combination
of interest rates and investment periods ranging from 5.6 percent
to 7.2 percent for notes redeemable December 1, 1998, to December
15, 2023. Alagasco used proceeds from these notes to fund the
balance of the storage investment, redeem its 8.75 percent
debentures, reduce its short-term debt outstanding and to fund
additional capital needs. Subsequent to December 31, 1993,
Alagasco has issued an additional $23.2 million in medium-term
notes with interest rates ranging from 5.4 percent to 7.2 percent
and maturities of January 15, 1999 to January 13, 2014. Net
proceeds will be used primarily to repay short-term debt.
Energen has short-term credit facilities totaling $110 million
available for working capital needs, with $28 million and $27
million outstanding at December 31,1993 and 1992, respectively.
CAPITAL EXPENDITURES: Capital and exploration expenditures could
approximate $52 million in 1994, excluding municipal gas system
acquisitions, and primarily will be used to fund normal
distribution system expansion and the development of a new customer
information system at Alagasco, and oil and gas development
activities. The Company anticipates funding these capital
expenditures through internally generated capital and the
utilization of short-term credit facilities. In addition to the
capital expenditures, the Company will maintain an investment in
storage working gas which is anticipated to average $26.0 million.
<PAGE>
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<TABLE>
Energen Corporation
Selected Business Segment Data
<CAPTION>
Three Months Ended December 31,
1993 1992
<S> <C> <C> <C> <C>
Natural Gas Distribution
Operating revenues (in thousands)
Residential $ 51,598 $ 50,437
Commercial and industrial - small 19,112 19,303
Commercial and industrial - large 23 276
Transportation 7,808 7,278
Other 452 (428)
Total $ 78,993 $ 76,866
Volumes sold and transported (thousands of Mcf)
Residential 6,932 7,271
Commercial and industrial - small 3,073 3,309
Commercial and industrial - large 5 78
Transportation 13,168 12,986
Total 23,178 23,644
Other data (in thousands)
Depreciation and amortization $ 4,427 $ 4,262
Capital expenditures $ 5,336 $ 3,487
Operating income $ 3,152 $ 2,829
Oil and Gas Exploration and Production
Operating revenues (in thousands)
Natural gas $ 4,019 $ 2,377
Oil 812 791
Other 1,370 1,737
Total $ 6,201 $ 4,905
Sales volume - natural gas (thousands of Mcf) 1,991 1,241
Sales volume - oil (thousands of barrels) 54 43
Average sales price - natural gas (per Mcf) $ 2.02 $ 1.92
Average sales price - oil (per barrel) $ 14.94 $ 18.40
Other data (in thousands)
Depreciation, depletion and amortization $ 1,955 $ 1,428
Capital expenditures $ 1,833 $ 12,803
Exploration expenditures $ 55 $ 96
Operating income (loss) $ 2,098 $ 2,308
Other Businesses (in thousands)
Operating revenues $ 5,248 $ 4,266
Depreciation and amortization $ 329 $ 281
Capital expenditures $ 146 $ 82
Operating income $ 774 $ 542
Eliminations and Corporate Expenses (in thousands)
Operating loss $ (311) $ (313)
</TABLE>
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PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
* 4 Indenture dated as of November 1, 1993, between Alabama
Gas Corporation and Nations Bank of Georgia, National
Association, Trustee, which was filed as Exhibit 4(k) to
Alabama Gas' Amendment #1 to Registration Statement on
Form S-3 (Registration No. 33-70466).
* Incorporated by Reference
(b) Reports on Form 8-K
No reports on Form 8-K were filed for the three months ended
December 31, 1993.
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SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of
1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
ENERGEN CORPORATION
ALABAMA GAS CORPORATION
February 14, 1994 By /s/ Rex J. Lysinger
Date Rex J. Lysinger
Chairman of the Board and Chief
Executive Officer
February 14, 1994 By /s/ G. C. Ketcham
Date G. C. Ketcham
Executive Vice President, Chief
Financial Officer and Treasurer
February 14, 1994 By /s/ J. T. McManus
Date J. T. McManus
Vice President-Finance and
Corporate Development of Energen
and Vice President-Finance
and Planning of Alagasco
