FORM U-3A-2
File No. 69-267
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
Statement by Holding Company Claiming Exemption Under Rule
U-3A-2 from the Provisions of the Public Utility Holding Company
Act of 1935
To Be Filed Annually Prior to March 1
FLORIDA PROGRESS CORPORATION
(Name of Company)
hereby files with the Securities and Exchange Commission, pursuant to Rule 2,
its statement claiming exemption as a holding company from the provisions of the
Public Utility Holding Company Act of 1935, and submits the following
information:
1. NAME, STATE OF ORGANIZATION, LOCATION AND NATURE OF BUSINESS OF CLAIMANT
AND EVERY SUBSIDIARY THEREOF, OTHER THAN ANY EXEMPT WHOLESALE GENERATOR
(EWG) OR FOREIGN UTILITY COMPANY IN WHICH CLAIMANT DIRECTLY OR INDIRECTLY
HOLDS AN INTEREST, AS OF DECEMBER 31, 1997.
Name/ Location and
(State of Organization) Nature of Business
Claimant
Florida Progress Corporation Principal Executive Office
(Florida) located at One Progress Plaza
St. Petersburg, Florida 33701
Holding Company
Subsidiaries of Florida Progress Corporation
Progress Capital Holdings, Inc. St. Petersburg, Florida
(Florida) Downstream Holding Company
Florida Power Corporation Florida, Electric Utility
(Florida)
FPC Del, Inc. (Delaware) Delaware, Holder of accounts
receivable
Subsidiaries of Progress Capital Holdings, Inc.
<PAGE>
Mid-Continent Life Insurance Alabama, Arizona, Arkansas,
Company (Oklahoma) California, Colorado, Florida,
Georgia, Idaho, Illinois,
Indiana, Iowa, Kansas,
Kentucky, Louisiana, Michigan,
Minnesota, Mississippi,
Missouri, Montana, Nebraska,
Nevada, New Mexico, North
Carolina, North Dakota, Ohio,
Oklahoma, Oregon, S. Carolina,
S. Dakota, Tennessee, Texas,
Utah, Virginia, Washington,
W. Virginia, Wisconsin, and
Wyoming, Life Insurance
PIH, Inc. (Florida) Florida, International Power
Production Projects
Progress Reinsurance Company, Grand Cayman,
Ltd. (Cayman Islands) Cayman Islands, B.W.I.,
Captive Insurance Company
Progress Energy Corporation Florida and Alabama,
(Florida) Development of Independent and
Cogeneration Power Projects
Progress Holdings, Inc. Florida, Retail Electric
(Florida) Consumers
Electric Fuels Corporation Florida, Kentucky, Texas,
(Florida) Virginia, Ohio and West
Virginia, Sale and Mining
of Coal
Subsidiaries of Progress Energy Corporation
PEC Fort Drum, Inc. New York, Holder of Indirect
(Florida) Interest in Cogeneration
Project
Progress Desal, Inc. Florida, Development and
(Florida) Operation of a Desalination
Project for the Supply of
Potable Water
Progress Power Marketing, Inc. Florida, Power Marketing
(Florida)
Subsidiary of PIH, Inc.
ep3 L.L.C. Delaware, International
(Delaware) Marketing Alliance for
Development of Power
Generation Projects
<PAGE>
Subsidiary of Progress Holdings, Inc.
Cadence Network, LLC Ohio, Marketing of Energy
(Ohio) Supply Services
Subsidiaries of Electric Fuels Corporation
Awayland Coal Company, Inc. Kentucky and Virginia,
(Kentucky) Partner in Powell Mountain
Joint Venture, Coal Mining
COMCO of America, Inc. Inactive
(Florida)
Dixie Fuels Limited Texas, Owner/Operator of
(partnership) (Texas) Oceangoing Barges and Tugs
Dixie Fuels II, Limited Texas, Owner/Operator of
(partnership) (Texas) Marine Transportation
Equipment, Terminalling and
Transporting Bulk Cargoes
Homeland Coal Company, Inc. Kentucky and Virginia, Partner
(Kentucky) in Powell Mountain Joint
Venture, Coal Mining
Kentucky May Coal Kentucky and Ohio, Mining and
Company, Inc. (Virginia) Operation of Coal Facilities
Little Black Mountain Coal Kentucky and Virginia, Partner
Reserves, Inc. (Kentucky) in Dulcimer Land Company
Little Black Mountain Land Kentucky and Virginia, Owner
Company (Kentucky) of Coal Property
MEMCO Barge Line, Inc. Missouri and Louisiana,
(Delaware) Owner, Manager and Broker
of River Barges and Towboats
Mesa Hydrocarbons, Inc. Colorado, Inactive
(Florida)
Powell Mountain, Inc. Virginia, Interest in Coal
(Virginia) Mine Operations
Progress Land Corporation Kentucky, Ownership and
(Florida) Management of Coal Reserves
Progress Materials, Inc. Florida, Commercialization and
(Florida) Manufacture of Aardelite
Aggregate
<PAGE>
Progress Metal Reclamation Kentucky, Ohio, and West
Company (Kentucky) Virginia, Railcar Scrapping
and Repair, and Metal
Recycling
Progress Rail Services Alabama, Florida, Kentucky,
Corporation (Alabama) South Carolina, Missouri,
Louisiana, Tennessee, New
Jersey, Mississippi, Georgia,
Nebraska, Illinois, Indiana,
Pennsylvania, Texas, Wyoming,
Colorado and California,
Repair and Service of Railcars
Subsidiary of Homeland Coal Company, Inc.
Powell Mountain Joint Venture Kentucky and Virginia,
(partnership)(Virginia) Coal Mining
Subsidiaries of Kentucky May Coal Company, Inc.
Diamond May Coal Company Kentucky, Mining and Operation
(Kentucky) of Coal Facilities
Cincinnati Bulk Terminals, Inc. Ohio and Kentucky, Sale and
(Delaware) Terminalling of Coal and
Other Bulk Commodities
Kentucky May Mining Company Kentucky, Coal Mining
(Florida)
Subsidiary of Cincinnati Bulk Terminals, Inc.
Kanawha River Terminals, Inc. West Virginia and Kentucky,
(Florida) Sale and Terminalling of Coal
Subsidiary of Diamond May Coal Company
Diamond May Mining Company Kentucky, Coal Mining
(Florida)
Subsidiary of Little Black Mountain Coal Reserves, Inc.
Dulcimer Land Company Kentucky and Virginia,
(partnership)(Kentucky) Management of Coal Reserves
Subsidiaries of MEMCO Barge Line, Inc.
Elmwood Marine Services, Inc. Louisiana, Kentucky and
(Louisiana) W. Virginia, Fleeting,
Washing and Repair of Barges;
Ownership Interest in Inter-
national Marine Terminals
Partnership
<PAGE>
Subsidiaries of Elmwood Marine Services, Inc.
Conlease, Inc. Louisiana, Owner of
(Louisiana) Batture Leases
International Marine Terminals Louisiana, Owner/Operator
Partnership (partnership) of Bulk Materials Terminal
(Louisiana)
Subsidiary of International Marine Terminals Partnership
I.M.T. Land Corp. Louisiana, Owner of
(Louisiana) Terminal Land
Subsidiaries of Powell Mountain, Inc.
PMCC, Inc. Virginia, Interest in Coal
(Virginia) Mine Operation
Powell Mountain Coal Virginia and Kentucky,
Company, Inc. (Virginia) Interest in Coal Mine
Operation
Subsidiary of Powell Mountain Coal Company, Inc.
Murphy Land Company, Inc. Kentucky and Virgiia,
(Virginia) Partner in Dulcimer Land
Company and Owner of Coal
Property
Subsidiaries of Progress Rail Services Corporation
Chemetron-Railway Products, Colorado, Delaware, Georgia,
Inc. (Delaware) Iowa, Illinois, Kentucky,
Missouri, Montana, New Jersey,
Ohio, Pennsylvania, Wyoming,
Rail Welding Services and
Manufacturing, Sale and Lease
of Welding and Rail Handling
Equipment
FM Industries, Inc. Texas, Manufacture & Repair
(Texas) of Railcar Parts
PRS International Sales Virgin Islands, Foreign
Company, Inc. (Virgin Islands) Sales Corporation Agent
Railcar, Ltd. Georgia, Railcar Equipment
(Georgia) Leasing and Selling and
Railcar Rolling Stock
Management
Southern Machine and Tool Georgia and California,
Company (Georgia) Machine Shop Design and
<PAGE>
Fabrication, Manufacture of
Equipment and Railcar
Wheelshop
Subsidiaries of Railcar, Ltd.
Grupo Fyl, S.A. de C.V. Mexico, Marketing, Leasing,
(Mexico) and Selling Railcars
Servicios Ferroviarios Progress, Mexico, Mexican Holding
S. de R.L. de C.V. (Mexico) and Operating Limited
Liability Company
Subsidiary of Servicios Ferroviarios Progress,
S. de R.L. de C.V.
Servicios Administrativos Fyl, Mexico, Personnel and
S. de R.L. de C.V. (Mexico) Administrative Services
Limited Liability Company
for Servicios Ferroviarios
Progress
<PAGE>
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.
Florida Progress Corporation ("Progress") owns no property used in the
generation, transmission, or distribution of electricity or for the production,
transmission, and distribution of natural or manufactured gas.
Florida Power Corporation ("Power") renders electric service to
approximately 1.3 million customers in central and northern Florida (the
"State") and along the west coast of the State. Power is the only public utility
subsidiary of Progress that owns properties used for the generation,
transmission, and distribution of electric energy, and all such property is
located within the State. Power provides electric service in 32 of the State's
67 counties. In an area covering about 20,000 square miles, its service
territory includes the rapidly growing areas around Orlando, and the densely
populated Gulf Coast cities of St. Petersburg and Clearwater.
As of December 31, 1997, Power's total net winter generating capacity was
7,717 megawatts ("MW"). This capacity is generated by thirteen steam units with
a capacity of 4,661 MW and forty-five combustion turbine units with a capacity
of 3,056 MW. Approximately 53% of Power's capacity is in two locations. Five
steam plants totaling 3,031 MW, including Power's 90.4% share, representing 755
MW, of one nuclear unit, are located at Crystal River in Citrus County, Florida.
Two steam plants totaling 1,034 MW are located at Anclote in Pasco County,
Florida. The remaining steam plants and the combustion turbine units are located
in Florida in Pinellas, Volusia, Osceola, Highlands, Polk, Orange, Suwannee and
Alachua counties.
Power owns 362 substations having an aggregate transformer capacity of
42,392,415 kilivolt amperes. The transmission system consists of approximately
4,622 circuit miles of high voltage transmission lines, of which 2,620 circuit
miles are operated at 500, 230 or 115 kilivolts ("KV") and the balance at 69 KV.
Power has numerous interconnection points with other generating utilities within
the State and seven interconnections with Georgia Power Company, which permit
Power to receive energy from and deliver it to Georgia. Power has 24,311 circuit
miles of distribution lines which operate at various voltages ranging from 2.4
to 25 KV.
<PAGE>
3. THE FOLLOWING INFORMATION FOR THE LATEST CALENDAR YEAR
(1997) 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.
(b) NUMBER OF KWH OF ELECTRIC ENERGY AND MCF. OF
NATURAL OR MANUFACTURED GAS DISTRIBUTED AT
RETAIL OUTSIDE THE STATE IN WHICH EACH SUCH
COMPANY IS ORGANIZED.
(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.
(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.
Claimant: None
Florida Power Corporation: (In Millions)
(a) Number of KWH of electric
energy sold 33,289.9
(b) Number of KWH of electric
energy distributed at retail
outside the State None
(c) Number of KWH of electric
energy sold at wholesale
outside the State or at the
state line 299.8
(d) Number of KWH of electric
energy purchased outside the
State or at the state line 3,179.1
<PAGE>
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:
(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.
(B) NAME OF EACH SYSTEM COMPANY THAT HOLDS AN INTEREST IN
SUCH EWG OR FOREIGN UTILITY COMPANY, AND DESCRIPTION OF
THE INTEREST HELD.
(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.
(D) CAPITALIZATION AND EARNINGS OF THE EWG OR FOREIGN UTILITY COMPANY
DURING THE REPORTING PERIOD.
(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
FINANCIAL STATEMENTS
Exhibit
Number Description of Exhibit
99.(A) Consolidating statements of income and retained earnings for the
calendar year 1997 together with the consolidating balance sheet
as of December 31, 1997 for Florida Progress Corporation and its
first-tier subsidiaries, Progress Capital Holdings, Inc., FPC
Del, Inc., and Florida Power Corporation.
99.(B) Consolidating statements of income and retained
earnings for the calendar year 1997, together
with the consolidating balance sheet as of
December 31, 1997 for Progress Capital Holdings,
Inc. and its first-tier subsidiaries, Progress
Holdings, Inc., Mid-Continent Life Insurance
Company, Progress Reinsurance Company, Ltd.,
Progress Energy Corporation and Electric Fuels
Corporation.
EXHIBIT B
FINANCIAL DATA SCHEDULE
Exhibit No.
27 Financial Data Schedule for Florida Progress
Corporation.
EXHIBIT C
ORGANIZATIONAL CHART SHOWING RELATIONSHIP
OF EACH EWG OR FOREIGN UTILITY
None.
<PAGE>
SIGNATURES
The above-named claimant has caused this statement to be duly executed on
its behalf by its authorized officer on the 24th day of February, 1998.
FLORIDA PROGRESS CORPORATION
By: /s/ Jeffrey R. Heinicka
----------------------------
Jeffrey R. Heinicka
Senior Vice President and
Chief Financial Officer
(Corporate Seal)
Attest:
By: /s/ Douglas E. Wentz
---------------------------------
Douglas E. Wentz
Assistant Secretary
Name, title and address of officer to whom notices and correspondence concerning
this statement should be addressed:
Kenneth E. Armstrong
Vice President and General Counsel
Florida Progress Corporation
P.O. Box 14042
St. Petersburg, Florida 33733
(813) 866-5153
<PAGE>
EXHIBIT INDEX
Description of Exhibit
Exhibit
Number
27 Financial Data Schedule for Florida Progress
Corporation.
99.(A) Consolidating statements of income and retained
earnings for the calendar year 1997 together with
the consolidating balance sheet as of December 31, 1997
for Florida Progress Corporation and its first-tier
subsidiaries, Progress Capital Holdings, Inc., FPC
Del, Inc., and Florida Power Corporation.
99.(B) Consolidating statements of income and retained
earnings for the calendar year 1997, together
with the consolidating balance sheet as of
December 31, 1997 for Progress Capital Holdings,
Inc. and its first-tier subsidiaries, Progress
Holdings, Inc., Mid-Continent Life Insurance
Company, Progress Reinsurance Company, Ltd.,
Progress Energy Corporation and Electric Fuels
Corporation.
<TABLE> <S> <C>
<ARTICLE> OPUR3
<CIK> 0000357261
<NAME> FLORIDA PROGRESS CORPORATION
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> DEC-31-1997
<BOOK-VALUE> PER-BOOK
<TOTAL-ASSETS> 5,760
<TOTAL-OPERATING-REVENUES> 3,316
<NET-INCOME> 54
</TABLE>
EXHIBIT 99.(a)
FLORIDA PROGRESS CORPORATION AND SUBSIDIARIES
CONSOLIDATING STATEMENT OF INCOME
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION>
Florida Florida Progress Florida
Progress Power Capital FPC Progress
Corp. Corp. Holdings Del,Inc. Elim. Consol.
---------- ---------- ---------- ---------- ---------- ----------
REVENUES:
<S> <C> <C> <C> <C> <C> <C>
Electric utility $ 0.0 $ 2,448.4 $ 0.0 $ 0.0 $ 0.0 $ 2,448.4
Diversified 66.4 0.0 1,148.2 0.0 (347.4) 867.2
---------- -------- -------- ------ -------- --------
66.4 2,448.4 1,148.2 0.0 (347.4) 3,315.6
EXPENSES: -- -- -- -- -- --
Electric utility:
Fuel 0.0 458.1 0.0 0.0 0.0 458.1
Purchased power 0.0 490.6 0.0 0.0 0.0 490.6
Energy conservation cost 67.0 0.0 0.0 0.0 67.0
Operation and maintenance 0.0 422.3 0.0 0.0 0.0 422.3
Extended nuclear outage -
O&M and replacement power costs 0.0 173.3 0.0 0.0 0.0 173.3
Depreciation 0.0 325.9 0.0 0.0 0.0 325.9
Taxes other than income taxes 0.0 193.6 0.0 0.0 0.0 193.6
---------- -------- -------- ------ -------- --------
0.0 2,130.8 0.0 0.0 0.0 2,130.8
---------- -------- -------- ------ -------- --------
Diversified:
Cost of sales 0.0 0.0 1,032.1 0.0 (278.2) 753.9
Loss rel.to life insurance subsidiary 10.7 0.0 86.9 0.0 0.0 97.6
Other 7.4 0.0 55.9 0.0 (2.6) 60.7
---------- -------- -------- ------ -------- --------
18.1 0.0 1,174.9 0.0 (280.8) 912.2
---------- -------- -------- ------ -------- --------
INCOME FROM OPERATIONS 48.3 317.6 (26.7) 0.0 (66.6) 272.6
---------- -------- -------- ------ -------- --------
INTEREST EXPENSE AND OTHER:
Interest expense 4.0 117.3 37.9 0.0 (0.5) 158.7
Allowance for funds used
during construction 0.0 (9.7) 0.0 0.0 0.0 (9.7)
Preferred dividend requirements
of Florida Power 0.0 1.5 0.0 0.0 0.0 1.5
Other expense (income), net 0.0 4.2 (3.1) 0.0 0.3 1.4
---------- -------- -------- ------ -------- --------
4.0 113.3 34.8 0.0 (0.2) 151.9
---------- -------- -------- ------ -------- --------
INCOME BEFORE INCOME TAXES 44.3 204.3 (61.5) 0.0 (66.4) 120.7
Income taxes (10.0) 69.9 6.5 0.0 0.0 66.4
---------- -------- -------- ------ -------- --------
NET INCOME $ 54.3 $ 134.4 ($ 68.0) $ 0.0 ($ 66.4) $ 54.3
========== ======== ======== ====== ======== ========
</TABLE>
<PAGE>
FLORIDA PROGRESS CORPORATION AND SUBSIDIARIES
CONSOLIDATING BALANCE SHEET
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION>
Florida Florida Progress Florida
Progress Power Capital FPC Progress
Corp. Corp. Holdings Del,Inc. Elim. Consol.
ASSETS ---------- ---------- ---------- ---------- ---------- ----------
PROPERTY, PLANT AND EQUIPMENT:
<S> <C> <C> <C> <C> <C> <C>
Electric utility plant in service
and held for future use $ 0.0 $ 6,166.8 $ 0.0 $ 0.0 $ 0.0 $ 6,166.8
Less: Accumulated depreciation 0.0 2,511.0 0.0 0.0 0.0 2,511.0
Accumulated decommissioning
for nuclear plant 0.0 223.7 0.0 0.0 0.0 223.7
Accumulated dismantlement
for fossil plants 0.0 128.5 0.0 0.0 0.0 128.5
-------- -------- ------ -------- -------- --------
0.0 3,303.6 0.0 0.0 0.0 3,303.6
Construction work in progress 0.0 279.4 0.0 0.0 0.0 279.4
Nuclear fuel, net of amortization 0.0 66.5 0.0 0.0 0.0 66.5
-------- -------- ------ -------- -------- --------
Net electric utility plant 0.0 3,649.5 0.0 0.0 0.0 3,649.5
Other property, net of depr 4.3 33.2 400.0 0.0 0.2 437.7
-------- -------- ------ -------- -------- --------
4.3 3,682.7 400.0 0.0 0.2 4,087.2
-------- -------- ------ -------- -------- --------
CURRENT ASSETS:
Cash and equivalents (0.7) 0.0 3.8 0.0 0.0 3.1
Accounts receivable, net 0.0 89.8 124.9 159.0 0.0 373.7
Intercompany receivables (10.2) 154.1 30.7 0.0 (174.6) 0.0
Current portion of leases & loans 0.0 0.0 1.2 0.0 0.0 1.2
Inventories, primarily at average cost:
Fuel 0.0 44.0 33.6 0.0 0.0 77.6
Utility materials and supplies 0.0 91.9 0.0 0.0 0.0 91.9
Diversified materials 0.0 0.0 126.8 0.0 0.0 126.8
Underrecovery of fuel cost 0.0 34.5 0.0 0.0 0.0 34.5
Income taxes receivable 4.1 13.5 (0.8) 16.8
Other 0.4 38.0 11.3 0.0 0.0 49.7
-------- -------- ------ -------- -------- --------
(6.4) 465.8 332.3 159.0 (175.4) 775.3
-------- -------- ------ -------- -------- --------
OTHER ASSETS:
Investments:
Leases & loans receivable, net 0.0 0.0 24.0 0.0 0.0 24.0
Joint ventures and partnerships 5.0 0.0 49.6 0.0 0.0 54.6
Invest in consol affiliates 1,791.8 0.0 0.0 0.0 (1,791.8) 0.0
Nuclear plt decommissioning fnd 0.0 266.7 0.0 0.0 0.0 266.7
Def purchased power contract term cost 0.0 348.2 0.0 0.0 0.0 348.2
Other 5.7 137.4 61.1 0.0 (0.2) 204.0
-------- -------- ------ -------- -------- --------
1,802.5 752.3 134.7 0.0 (1,792.0) 897.5
-------- -------- ------ -------- -------- --------
$ 1,800.4 $ 4,900.8 $ 867.0 $ 159.0 $(1,967.2) $ 5,760.0
======== ======== ====== ======== ======== ========
</TABLE>
<PAGE>
FLORIDA PROGRESS CORPORATION AND SUBSIDIARIES
CONSOLIDATING BALANCE SHEET
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION>
Florida Florida Progress Florida
Progress Power Capital FPC Progress
Corp. Corp. Holdings Del,Inc. Elim. Consol.
CAPITAL AND LIABILITIES ---------- ---------- ---------- ---------- ---------- ----------
COMMON STOCK EQUITY:
<S> <C> <C> <C> <C> <C> <C>
Common stock $ 1,209.0 $ 1,004.4 $ 160.1 $ 0.0 $ (1,164.5) $ 1,209.0
Retained earnings 567.0 763.1 (135.9) 0.0 (627.2) 567.0
-------- -------- ------ -------- -------- --------
1,776.0 1,767.5 24.2 0.0 (1,791.7) 1,776.0
CUMULATIVE PREFERRED STOCK OF FLORIDA POWER:
Without sinking funds 0.0 33.5 0.0 0.0 0.0 33.5
LONG-TERM DEBT 0.0 1,745.4 632.4 0.0 0.0 2,377.8
-------- -------- ------ -------- -------- --------
TOTAL CAPITAL 1,776.0 3,546.4 656.6 0.0 (1,791.7) 4,187.3
-------- -------- ------ -------- -------- --------
CURRENT LIABILITIES:
Accounts payable 11.2 161.9 80.2 0.0 (0.1) 253.2
Intercompany payables (0.1) 26.5 (10.9) 159.0 (174.5) 0.0
Customers' deposits 0.0 97.1 0.0 0.0 0.0 97.1
Income taxes payable 0.0 0.0 0.8 0.0 (0.8) 0.0
Accrued interest 1.6 45.7 9.6 0.0 (0.1) 56.8
Other 1.5 67.1 18.2 0.0 0.0 86.8
-------- -------- ------ -------- -------- --------
14.2 398.3 97.9 159.0 (175.5) 493.9
Notes payable 0.0 179.8 35.0 0.0 0.0 214.8
Current portion of long-term debt 0.0 1.5 13.7 0.0 0.0 15.2
-------- -------- ------ -------- -------- --------
14.2 579.6 146.6 159.0 (175.5) 723.9
-------- -------- ------ -------- -------- --------
DEFERRED CREDITS AND OTHER LIABILITIES:
Deferred income taxes (13.4) 451.3 33.3 0.0 0.0 471.2
Unamortized investment tax credits 0.0 85.1 0.6 0.0 0.0 85.7
Other postretirement benfit costs 1.2 104.7 1.5 0.0 0.0 107.4
Other 22.4 133.7 28.4 0.0 0.0 184.5
-------- -------- ------ -------- -------- --------
10.2 774.8 63.8 0.0 0.0 848.8
-------- -------- ------ -------- -------- --------
$ 1,800.4 $ 4,900.8 $ 867.0 $ 159.0 $ (1,967.2) $ 5,760.0
======== ======== ====== ======== ======== ========
</TABLE>
<PAGE>
FLORIDA PROGRESS CORPORATION AND SUBSIDIARIES
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION>
Florida Florida Progress Florida
Progress Power Capital FPC Progress
Corp. Corp. Holdings Del,Inc. Elim. Consol.
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
BALANCE AT BEGINNING OF YEAR $ 716.5 $ 821.1 ($ 56.5) $ 0.0 ($ 764.6) $ 716.5
Net Income (loss) 54.3 134.4 (68.0) 0.0 (66.4) 54.3
Cash dividends at $2.10 per share (203.8) (192.4) (11.4) 0.0 203.8 (203.8)
------ ------ ------ ---- ------ ------
BALANCE AT END OF YEAR $ 567.0 $ 763.1 ($ 135.9) $ 0.0 ($ 627.2) $ 567.0
====== ====== ====== ==== ====== ======
</TABLE>
EXHIBIT 99.(b)
PROGRESS CAPITAL HOLDINGS AND SUBSIDIARIES
CONSOLIDATING STATEMENT OF INCOME
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION>
Mid- Progress
Progress Progress Progress Continent Progress Electric Capital
Capital Energy Holdings, Life Ins. Reinsurance Fuels Holdings
Holdings Corp. Inc. Company Co., Ltd. Corp. Elim. Consol.
--------- ------- ---------- -------- --------- ------- -------- --------
REVENUES:
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Electric utility $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0
Diversified 26.0 1.2 (1.4) 116.1 0.0 1,032.5 (26.2) 1,148.2
----- ------ ----- ------- ------- -------- -------- -------
26.0 1.2 (1.4) 116.1 0.0 1,032.5 (26.2) 1,148.2
EXPENSES: -- -- -- -- -- -- -- --
Electric utility:
Fuel 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Purchased power 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Energy conservation cost 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Operation and maintenance 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Extended nuclear outage -
O&M and replacement power costs 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Depreciation 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Taxes other than income taxes 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
----- ------ ----- ------- ------- -------- -------- --------
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
----- ------ ----- ------- ------- -------- -------- --------
Diversified:
Cost of sales 0.0 0.0 0.0 107.1 0.0 925.0 0.0 1,032.1
Loss rel.to life insurance subsidiary 86.9 0.0 0.0 0.0 0.0 0.0 0.0 86.9
Other 2.4 8.3 0.0 8.6 0.8 35.8 0.0 55.9
----- ------ ----- ------- ------- -------- -------- --------
89.3 8.3 0.0 115.7 0.8 960.8 0.0 1,174.9
----- ------ ----- ------- ------- -------- -------- --------
INCOME FROM OPERATIONS (63.3) (7.1) (1.4) 0.4 (0.8) 71.7 (26.2) (26.7)
----- ------ ----- ------- ------- -------- -------- --------
INTEREST EXPENSE AND OTHER:
Interest expense 37.0 0.5 0.0 0.0 0.0 23.7 (23.3) 37.9
Allowance for funds used
during construction 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Preferred dividend requirements
of Florida Power 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other expense (income), net (22.6) 0.0 0.0 0.0 0.1 (3.6) 23.0 (3.1)
----- ------ ----- ------- ------- -------- -------- --------
14.4 0.5 0.0 0.0 0.1 20.1 (0.3) 34.8
----- ------ ----- ------- ------- -------- -------- --------
INCOME BEFORE INCOME TAXES (77.7) (7.6) (1.4) 0.4 (0.9) 51.6 (25.9) (61.5)
Income taxes (9.7) (2.8) (0.5) 0.0 0.0 19.5 0.0 6.5
----- ------ ----- ------- ------- -------- -------- --------
NET INCOME ($ 68.0) ($4.8) (0.9) $ 0.4 (0.9) 32.1 ($ 25.9) ($ 68.0)
===== ====== ===== ======= ======= ======== ======= =======
Effective December 31, 1997, the Company deconsolidated the financial statements
of Mid-Continent Life Insurance Company.
</TABLE>
<PAGE>
PROGRESS CAPITAL HOLDINGS AND SUBSIDIARIES
CONSOLIDATING BALANCE SHEET
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION
Progress
Progress Progress Progress Progress Electric Capital
Capital Energy Holdings, Reinsurance Fuels Holdings
Holdings Corp. Inc. Co., Ltd. Corp. Elim. Consol.
ASSETS ------- ------- ------- --------- ------- ------- --------
PROPERTY, PLANT AND EQUIPMENT:
<S> <C> <C> <C> <C> <C> <C> <C>
Electric utility plant in service
and held for future use $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Less: Accumulated depreciation 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Accumulated decommissioning
for nuclear plant 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Accumulated dismantlement
for fossil plants 0.0 0.0 0.0 0.0 0.0 0.0 0.0
------- ------- ------- --------- ------- ------- -------
0.0 0.0 0.0 0.0 0.0 0.0 0.0
Construction work in progress 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Nuclear fuel, net of amortization 0.0 0.0 0.0 0.0 0.0 0.0 0.0
------- ------- ------- --------- ------- ------- -------
Net electric utility plant 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other property, net of depr. 0.0 0.1 0.0 0.0 399.9 0.0 400.0
------- ------- ------- --------- ------- ------- -------
0.0 0.1 0.0 0.0 399.9 0.0 400.0
------- ------- ------- --------- ------- ------- -------
CURRENT ASSETS:
Cash and equivalents 0.1 0.0 0.0 0.9 2.8 0.0 3.8
Accounts receivable, net 0.0 0.0 0.0 0.0 124.9 0.0 124.9
Intercompany receivables 250.0 0.0 0.0 0.0 30.7 (250.0) 30.7
Current portion of leases & loans 0.0 0.0 0.0 0.0 1.2 0.0 1.2
Inventories, primarily at average cost:
Fuel 0.0 0.0 0.0 0.0 33.6 0.0 33.6
Utility materials and supplies 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Diversified materials 0.0 0.0 0.0 0.0 126.8 0.0 126.8
Underrecovery of fuel cost 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other 2.5 0.3 0.0 0.1 7.6 0.8 11.3
------- ------- ------- --------- ------- ------- -------
252.6 0.3 0.0 1.0 327.6 (249.2) 332.3
------- ------- ------- --------- ------- ------- -------
OTHER ASSETS:
Investments:
Leases & loans receivable, net 0.0 0.0 0.0 0.0 24.0 0.0 24.0
Joint ventures and partnerships 28.1 9.9 1.9 0.0 9.7 0.0 49.6
Invest in consol affiliates 416.7 0.0 0.0 0.0 0.0 (416.7) 0.0
Nuclear plt decommissioning fnd 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Other 0.0 0.0 0.0 0.0 61.1 0.0 61.1
------- ------- ------- --------- ------- ------- -------
444.8 9.9 1.9 0.0 94.8 (416.7) 134.7
------- ------- ------- --------- ------- ------- -------
$697.4 $10.3 $1.9 $1.0 $822.3 ($665.9) $867.0
======= ======= ======= ========= ======= ======= =======
Effective December 31, 1997, the Company deconsolidated the financial statements
of Mid-Continent Life Insurance Company.
</TABLE>
<PAGE>
PROGRESS CAPITAL HOLDINGS AND SUBSIDIARIES
CONSOLIDATING BALANCE SHEET
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION Progress
Progress Progress Progress Progress Electric Capital
Capital Energy Holdings Reinsurance Fuels Holdings
Holdings Corp. Inc. Co., Ltd. Corp. Elim. Consol.
CAPITAL AND LIABILITIES ------- ------- ------- --------- ------- ------- --------
COMMON STOCK EQUITY:
<S> <C> <C> <C> <C> <C> <C> <C>
Common stock $160.1 $7.4 $2.8 $3.8 $88.9 ($102.9) $160.1
Retained earnings (135.9) (8.6) (0.9) (4.2) 112.6 (98.9) (135.9)
------- ------- ------- --------- ------- ------- --------
24.2 (1.2) 1.9 (0.4) 201.5 (201.8) 24.2
CUMULATIVE PREFERRED STOCK OF FLORIDA POWER:
Without sinking funds 0.0 0.0 0.0 0.0 0.0 0.0 0.0
LONG-TERM DEBT 629.0 0.0 0.0 0.0 418.4 (415.0) 632.4
------- ------- ------- --------- ------- ------- -------
TOTAL CAPITAL 653.2 (1.2) 1.9 (0.4) 619.9 (616.8) 656.6
------- ------- ------- --------- ------- ------- -------
CURRENT LIABILITIES:
Accounts payable 0.1 0.0 0.0 0.1 80.0 0.0 80.2
Intercompany payables (11.6) 9.0 0.0 0.0 41.7 (50.0) (10.9)
Customers' deposits 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Income taxes payable 0.0 0.0 0.0 0.0 0.0 0.8 0.8
Accrued interest 9.2 0.0 0.0 0.0 0.4 0.0 9.6
Other 0.3 0.3 0.0 0.0 17.5 0.1 18.2
------- ------- ------- --------- ------- ------- -------
(2.0) 9.3 0.0 0.1 139.6 (49.1) 97.9
Notes payable 35.0 0.0 0.0 0.0 0.0 0.0 35.0
Current portion of long-term debt 10.0 0.0 0.0 0.0 3.7 0.0 13.7
------- ------- ------- --------- ------- ------- -------
43.0 9.3 0.0 0.1 143.3 (49.1) 146.6
------- ------- ------- --------- ------- ------- -------
DEFERRED CREDITS AND OTHER LIABILITIES:
Deferred income taxes (0.6) (2.4) 0.0 0.0 36.3 0.0 33.3
Unamortized investment tax credits 0.0 0.0 0.0 0.0 0.6 0.0 0.6
Other postretirement benefit costs 0.0 0.0 0.0 0.0 1.5 0.0 1.5
Other 1.8 4.6 0.0 1.3 20.7 0.0 28.4
------- ------- ------- --------- ------- ------- -------
1.2 2.2 0.0 1.3 59.1 0.0 63.8
------- ------- ------- --------- ------- ------- -------
$697.4 $10.3 $1.9 $1.0 $822.3 ($665.9) $867.0
======= ======= ======= ========= ======= ======= =======
Effective December 31, 1997, the Company deconsolidated the financial statements
of Mid-Continent Life Insurance Company.
</TABLE>
<PAGE>
PROGRESS CAPITAL HOLDINGS AND SUBSIDIARIES
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the year ended December 31, 1997
(In millions)
<TABLE>
<CAPTION>
Mid- Progress
Progress Progress Progress Continent Progress Electric Capital
Capital Energy Holdings, Life Ins. Reinsurance Fuels Holdings
Holdings Corp. Inc. Company Co., Ltd. Corp. Elim. Consol.
------- ------- ----------- ------- --------- ------- ------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
BALANCE AT BEGINNING OF YEAR ($ 56.5) ($ 3.8) $ 0.0 $ 80.3 ($ 3.3) $ 90.5 ($ 163.7) ($ 56.5)
Net Income (loss) (68.0) (4.8) (0.9) 0.4 (0.9) 32.1 ($ 25.9) (68.0)
Cash dividends (11.4) 0.0 0.0 0.0 0.0 (10.0) 10.0 (11.4)
Reversal of retained earnings
balance due to deconsolidation 0.0 0.0 0.0 (80.7) 0.0 0.0 80.7 0.0
------ ---- ---- ----- ---- ------ ------ ------
BALANCE AT END OF YEAR ($ 135.9) ($ 8.6) ($ 0.9) $ 0.0 ($ 4.2) $ 112.6 ($ 98.9)($ 135.9)
====== ==== ==== ===== ==== ====== ====== ======
</TABLE>
