File No. 70-8693
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Post-Effective Amendment No. 5
to
FORM U-1
APPLICATION OR DECLARATION
under
THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935
***
AMERICAN ELECTRIC POWER COMPANY, INC.
1 Riverside Plaza, Columbus, Ohio 43215
AEP GENERATING COMPANY
1 Riverside Plaza, Columbus, Ohio 43215
APPALACHIAN POWER COMPANY
40 Franklin Road, S.W., Roanoke, Virginia 24011
COLUMBUS SOUTHERN POWER COMPANY
215 North Front Street, Columbus, Ohio 43215
INDIANA MICHIGAN POWER COMPANY
One Summit Square, P. O. Box 60, Fort Wayne, Indiana 46801
KENTUCKY POWER COMPANY
1701 Central Avenue, Ashland, Kentucky 41101
KINGSPORT POWER COMPANY
40 Franklin Road, S. W. Roanoke, Virginia 24011
OHIO POWER COMPANY
301 Cleveland Avenue, S. W., Canton, Ohio 44701
WHEELING POWER COMPANY
51 Sixteenth St., Wheeling, West Virginia 26003
(Name of company or companies filing this statement
and addresses of principal executive offices)
***
AMERICAN ELECTRIC POWER COMPANY, INC.
1 Riverside Plaza, Columbus, Ohio 43215
(Name of top registered holding company parent
of each applicant or declarant)
***
A. A. Pena, Treasurer
AMERICAN ELECTRIC POWER SERVICE CORPORATION
1 Riverside Plaza, Columbus, Ohio 43215
John F. DiLorenzo, Jr., Associate General Counsel
AMERICAN ELECTRIC POWER SERVICE CORPORATION
1 Riverside Plaza, Columbus, Ohio 43215
(Names and addresses of agents for service)
American Electric Power Company, Inc. ("American"), AEP Generating Company
("Generating"), Appalachian Power Company ("Appalachian"), Columbus Southern
Power Company ("Columbus"), Indiana Michigan Power Company ("Indiana"), Kentucky
Power Company ("Kentucky"), Kingsport Power Company ("Kingsport"), Ohio Power
Company ("Ohio") and Wheeling Power Company ("Wheeling") (collectively, "the
Companies") propose to amend their Application/Declaration on Form U-1 in File
No. 70-8693.
4. By supplying the following Financial Statements in ITEM 6 EXHIBITS AND
FINANCIAL STATEMENTS
(b) Financial Statements:
1. Balance Sheets as of March 31, 1999, and Statements of Income and
Retained Earnings for the 12 months ended March 31, 1999, of American and
its subsidiaries consolidated and of Generating, Appalachian, Columbus,
Indiana, Kentucky, Kingsport, Ohio and Wheeling (to be filed by
amendment).
SIGNATURES
Pursuant to the requirements of the Public Utility Holding Company Act of
1935, the undersigned have duly caused this statement to be signed on their
behalf by the undersigned thereunto duly authorized.
AMERICAN ELECTRIC POWER COMPANY, INC.
AEP GENERATING COMPANY
APPALACHIAN POWER COMPANY
COLUMBUS SOUTHERN POWER COMPANY
INDIANA MICHIGAN POWER COMPANY
KENTUCKY POWER COMPANY
KINGSPORT POWER COMPANY
OHIO POWER COMPANY
WHEELING POWER COMPANY
By: /S/ A. A. Pena
Treasurer
Dated: June 4, 1999
<PAGE>
<TABLE>
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF INCOME
(in millions, except per-share amounts)
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
<S> <C> <C> <C> <C>
REVENUES:
Domestic Regulated Electric Utilities . $1,550 $1,509 $6,387 $5,897
Worldwide Non-regulated Electric and
Gas Operations. . . . . . . . . . . . 144 12 184 59
------ ------ ------ ------
TOTAL REVENUES. . . . . . . . . 1,694 1,521 6,571 5,956
------ ------ ------ ------
EXPENSES:
Fuel and Purchased Power. . . . . . . . 491 485 2,162 1,812
Maintenance and Other Operation . . . . 427 411 1,858 1,720
Depreciation and Amortization . . . . . 148 144 584 583
Taxes Other Than Federal Income Taxes . 124 122 478 471
Worldwide Non-regulated Electric
and Gas Operations. . . . . . . . . . 123 15 200 59
------ ------ ------ ------
TOTAL EXPENSES. . . . . . . . . 1,313 1,177 5,282 4,645
------ ------ ------ ------
OPERATING INCOME. . . . . . . . . . . . . 381 344 1,289 1,311
OTHER LOSS, net . . . . . . . . . . . . . (5) (4) (6) 8
------ ------ ------ ------
INCOME BEFORE INTEREST, PREFERRED
DIVIDENDS AND INCOME TAXES. . . . . . . 376 340 1,283 1,319
INTEREST AND PREFERRED DIVIDENDS. . . . . 132 106 456 426
------ ------ ------ ------
INCOME BEFORE INCOME TAXES. . . . . . . . 244 234 827 893
INCOME TAXES. . . . . . . . . . . . . . . 93 83 290 295
------ ------ ------ ------
INCOME BEFORE EXTRAORDINARY ITEM. . . . . 151 151 537 598
EXTRAORDINARY LOSS - U.K. WINDFALL TAX. . - - - (109)
------ ------ ------ ------
NET INCOME. . . . . . . . . . . . . . . . $ 151 $ 151 $ 537 $ 489
------ ------ ------ ------
AVERAGE NUMBER OF SHARES OUTSTANDING. . . 192 190 191 189
--- --- --- ---
EARNINGS PER SHARE:
Before Extraordinary Item . . . . . . . $0.79 $0.79 $2.81 $3.16
Extraordinary Loss - U.K. Windfall Tax. - - - (0.58)
----- ----- ----- -----
Net Income. . . . . . . . . . . . . . . $0.79 $0.79 $2.81 $2.58
----- ----- ----- -----
CASH DIVIDENDS PAID PER SHARE . . . . . . $0.60 $0.60 $2.40 $2.40
----- ----- ----- -----
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in millions)
<S> <C> <C> <C> <C>
BALANCE AT BEGINNING OF PERIOD. . . . . . $1,684 $1,605 $1,642 $1,608
NET INCOME. . . . . . . . . . . . . . . . 151 151 537 489
DEDUCTIONS - Cash Dividends Declared. . . 115 114 459 455
------ ------ ------ ------
BALANCE AT END OF PERIOD. . . . . . . . . $1,720 $1,642 $1,720 $1,642
------ ------ ------ ------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in millions)
ASSETS
<S> <C> <C>
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . $ 280 $ 133
Accounts Receivable (net). . . . . . . . . . . . . . 854 715
Fuel . . . . . . . . . . . . . . . . . . . . . . . . 262 219
Materials and Supplies . . . . . . . . . . . . . . . 282 263
Accrued Utility Revenues . . . . . . . . . . . . . . 183 163
Energy Marketing and Trading Contracts . . . . . . . 603 14
Prepayments. . . . . . . . . . . . . . . . . . . . . 126 93
------- -------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 2,590 1,600
------- -------
PLANT, PROPERTY AND EQUIPMENT:
Electric:
Production . . . . . . . . . . . . . . . . . . . . 9,805 9,522
Transmission . . . . . . . . . . . . . . . . . . . 3,592 3,538
Distribution . . . . . . . . . . . . . . . . . . . 5,395 4,644
General (including gas and coal mining assets
and nuclear fuel) . . . . . . . . . . . . . . . . . 2,104 1,926
Construction Work in Progress. . . . . . . . . . . . 696 495
------- -------
Total Plant, Property and Equipment. . . . . 21,592 20,125
Accumulated Depreciation and Amortization. . . . . . 8,777 8,205
NET PLANT, PROPERTY AND EQUIPMENT. . . . . . 12,815 11,920
------- -------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 1,908 1,834
------- -------
OTHER ASSETS . . . . . . . . . . . . . . . . . . . . . 2,817 1,444
------- -------
TOTAL. . . . . . . . . . . . . . . . . . . $20,130 $16,798
------- -------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in millions)
LIABILITIES AND SHAREHOLDERS' EQUITY
<S> <C> <C>
CURRENT LIABILITIES:
Accounts Payable . . . . . . . . . . . . . . . . . . $ 741 $ 342
Short-term Debt. . . . . . . . . . . . . . . . . . . 626 640
Long-term Debt Due Within One Year . . . . . . . . . 490 120
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 387 416
Interest Accrued . . . . . . . . . . . . . . . . . . 117 110
Obligations Under Capital Leases . . . . . . . . . . 83 101
Energy Marketing and Trading Contracts . . . . . . . 585 14
Other. . . . . . . . . . . . . . . . . . . . . . . . 540 326
------ -------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 3,569 2,069
------ -------
LONG-TERM DEBT . . . . . . . . . . . . . . . . . . . . 6,542 5,182
------ -------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 2,616 2,552
------ -------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 345 370
------ -------
DEFERRED GAIN ON SALE AND LEASEBACK -
ROCKPORT PLANT UNIT 2. . . . . . . . . . . . . . . . 220 229
------ -------
DEFERRED CREDITS AND REGULATORY LIABILITIES. . . . . . 336 181
------ -------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 1,413 1,308
------ -------
CUMULATIVE PREFERRED STOCKS OF SUBSIDIARIES. . . . . . 174 174
------ -------
CONTINGENCIES (Note 8)
COMMON SHAREHOLDERS' EQUITY:
Common Stock-Par Value $6.50:
1999 1998
---- ----
Shares Authorized . . . .600,000,000 300,000,000
Shares Issued . . . . . .201,561,414 199,374,727
(8,999,992 shares were held in treasury) . . . . . 1,310 1,296
Paid-in Capital. . . . . . . . . . . . . . . . . . . 1,885 1,795
Retained Earnings. . . . . . . . . . . . . . . . . . 1,720 1,642
------- -------
TOTAL COMMON SHAREHOLDERS' EQUITY. . . . . . 4,915 4,733
------- -------
TOTAL. . . . . . . . . . . . . . . . . . . $20,130 $16,798
------- -------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
AEP GENERATING COMPANY
STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . $52,827 $54,052 $222,921 $222,824
OPERATING EXPENSES:
Fuel . . . . . . . . . . . . . . . . . 20,258 22,501 94,548 93,342
Rent - Rockport Plant Unit 2 . . . . . 17,071 17,071 68,283 68,283
Other Operation. . . . . . . . . . . . 3,370 2,649 10,722 11,025
Maintenance. . . . . . . . . . . . . . 2,262 2,178 11,978 12,200
Depreciation . . . . . . . . . . . . . 5,440 5,412 21,680 21,631
Taxes Other Than Federal Income Taxes. 1,239 943 3,791 3,606
Federal Income Taxes . . . . . . . . . 827 962 3,164 3,489
------- ------- -------- --------
TOTAL OPERATING EXPENSES . . . 50,467 51,716 214,166 213,576
------- ------- -------- --------
OPERATING INCOME . . . . . . . . . . . . 2,360 2,336 8,755 9,248
NONOPERATING INCOME. . . . . . . . . . . 856 829 3,391 3,582
------- ------- -------- --------
INCOME BEFORE INTEREST CHARGES . . . . . 3,216 3,165 12,146 12,830
INTEREST CHARGES . . . . . . . . . . . . 602 785 2,966 3,701
------- ------- -------- --------
NET INCOME . . . . . . . . . . . . . . . $ 2,614 $ 2,380 $ 9,180 $ 9,129
------- ------- -------- --------
STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . $2,770 $2,528 $1,732 $ 2,637
NET INCOME . . . . . . . . . . . . . . . 2,614 2,380 9,180 9,129
CASH DIVIDENDS DECLARED. . . . . . . . . 1,073 3,176 6,601 10,034
------ ------ ------ -------
BALANCE AT END OF PERIOD . . . . . . . . $4,311 $1,732 $4,311 $ 1,732
------ ------ ------ -------
The common stock of the Company is wholly owned by American Electric Power
Company, Inc.
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
AEP GENERATING COMPANY
BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Production . . . . . . . . . . . . . . . . . . . . . $630,240 $629,094
General. . . . . . . . . . . . . . . . . . . . . . . 2,068 1,997
Construction Work in Progress. . . . . . . . . . . . 4,513 3,688
-------- --------
Total Electric Utility Plant . . . . . . . . 636,821 634,779
Accumulated Depreciation . . . . . . . . . . . . . . 283,005 262,636
-------- --------
NET ELECTRIC UTILITY PLANT . . . . . . . . . 353,816 372,143
-------- --------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . 2,010 127
Accounts Receivable - Affiliated Companies . . . . . 20,194 17,731
Fuel . . . . . . . . . . . . . . . . . . . . . . . . 19,159 13,916
Materials and Supplies . . . . . . . . . . . . . . . 3,912 4,258
Prepayments. . . . . . . . . . . . . . . . . . . . . 70 340
-------- --------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 45,345 36,372
-------- --------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 5,924 6,164
-------- --------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . 3,248 3,400
-------- --------
TOTAL. . . . . . . . . . . . . . . . . . . $408,333 $418,079
-------- --------
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
AEP GENERATING COMPANY
BALANCE SHEETS
(UNAUDITED)
March 31,
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - Par Value $1,000:
Authorized and Outstanding - 1,000 Shares. . . . . $ 1,000 $ 1,000
Paid-in Capital. . . . . . . . . . . . . . . . . . . 33,235 39,235
Retained Earnings. . . . . . . . . . . . . . . . . . 4,311 1,732
-------- --------
Total Common Shareholder's Equity. . . . . . 38,546 41,967
Long-term Debt . . . . . . . . . . . . . . . . . . . 44,794 44,786
-------- --------
TOTAL CAPITALIZATION . . . . . . . . . . . . 83,340 86,753
-------- --------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 824 1,133
-------- --------
CURRENT LIABILITIES:
Short-term Debt - Notes Payable. . . . . . . . . . . 5,575 15,175
Accounts Payable . . . . . . . . . . . . . . . . . . 17,135 13,823
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 8,854 6,136
Rent Accrued - Rockport Plant Unit 2 . . . . . . . . 23,427 23,427
Other. . . . . . . . . . . . . . . . . . . . . . . . 4,808 999
-------- --------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 59,799 59,560
-------- --------
DEFERRED GAIN ON SALE AND LEASEBACK -
ROCKPORT PLANT UNIT 2. . . . . . . . . . . . . . . . 131,937 137,508
-------- --------
REGULATORY LIABILITIES:
Deferred Investment Tax Credits. . . . . . . . . . . 65,724 69,175
Amounts Due to Customers for Income Taxes. . . . . . 28,066 31,051
-------- --------
TOTAL REGULATORY LIABILITIES . . . . . . . . 93,790 100,226
-------- --------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 38,643 32,899
-------- --------
TOTAL. . . . . . . . . . . . . . . . . . . $408,333 $418,079
-------- --------
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
APPALACHIAN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . $427,702 $415,366 $1,684,580 $1,627,432
OPERATING EXPENSES:
Fuel . . . . . . . . . . . . . . . . . 123,573 108,209 452,864 417,082
Purchased Power. . . . . . . . . . . . 50,591 69,262 284,445 295,237
Other Operation. . . . . . . . . . . . 62,749 54,867 262,600 237,812
Maintenance. . . . . . . . . . . . . . 28,511 35,352 128,015 125,415
Depreciation and Amortization. . . . . 36,551 35,405 144,955 139,100
Taxes Other Than Federal Income Taxes. 29,975 30,244 115,801 116,561
Federal Income Taxes . . . . . . . . . 24,145 17,778 59,999 56,316
-------- -------- ---------- ----------
TOTAL OPERATING EXPENSES . . . 356,095 351,117 1,448,679 1,387,523
-------- -------- ---------- ----------
OPERATING INCOME . . . . . . . . . . . . 71,607 64,249 235,901 239,909
NONOPERATING LOSS. . . . . . . . . . . . (1,088) (387) (9,002) (853)
-------- -------- ---------- ----------
INCOME BEFORE INTEREST CHARGES . . . . . 70,519 63,862 226,899 239,056
INTEREST CHARGES . . . . . . . . . . . . 31,258 30,663 127,507 121,827
-------- -------- ---------- ----------
NET INCOME . . . . . . . . . . . . . . . 39,261 33,199 99,392 117,229
PREFERRED STOCK DIVIDEND REQUIREMENTS. . 675 469 2,703 2,510
-------- -------- ---------- ----------
EARNINGS APPLICABLE TO COMMON STOCK. . . $ 38,586 $ 32,730 $ 96,689 $ 114,719
-------- -------- ---------- ----------
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . $179,461 $207,544 $210,545 $211,382
NET INCOME . . . . . . . . . . . . . . . 39,261 33,199 99,392 117,229
DEDUCTIONS:
Cash Dividends Declared:
Common Stock . . . . . . . . . . . . 30,348 29,729 119,535 115,556
Cumulative Preferred Stock . . . . . 567 362 2,478 2,079
Capital Stock Expense. . . . . . . . . 108 107 225 431
-------- -------- -------- --------
BALANCE AT END OF PERIOD . . . . . . . . $187,699 $210,545 $187,699 $210,545
-------- -------- -------- --------
The common stock of the Company is wholly owned by American Electric Power
Company, Inc.
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
APPALACHIAN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
--------------------------
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Production . . . . . . . . . . . . . . . . . . . . . $1,996,848 $1,948,269
Transmission . . . . . . . . . . . . . . . . . . . . 1,122,987 1,097,566
Distribution . . . . . . . . . . . . . . . . . . . . 1,650,705 1,600,620
General. . . . . . . . . . . . . . . . . . . . . . . 229,512 206,358
Construction Work in Progress. . . . . . . . . . . . 121,376 84,476
Total Electric Utility Plant . . . . . . . . 5,121,428 4,937,289
Accumulated Depreciation and Amortization. . . . . . 2,018,326 1,896,903
--------- ---------
NET ELECTRIC UTILITY PLANT . . . . . . . . . 3,103,102 3,040,386
--------- ---------
OTHER PROPERTY AND INVESTMENTS . . . . . . . . . . . . 120,748 51,069
------- ------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . 36,098 6,494
Accounts Receivable (net). . . . . . . . . . . . . . 118,436 168,006
Fuel . . . . . . . . . . . . . . . . . . . . . . . . 54,937 50,708
Materials and Supplies . . . . . . . . . . . . . . . 61,128 57,520
Accrued Utility Revenues . . . . . . . . . . . . . . 35,008 35,758
Energy Marketing and Trading Contracts . . . . . . . 138,195 3,418
Prepayments. . . . . . . . . . . . . . . . . . . . . 14,499 5,572
---------- ----------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 458,301 327,476
---------- ----------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 424,314 439,039
---------- ----------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . 43,529 50,302
TOTAL. . . . . . . . . . . . . . . . . . . $4,149,994 $3,908,272
========== ==========
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
APPALACHIAN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
-----------------
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - No Par Value:
Authorized - 30,000,000 Shares
Outstanding - 13,499,500 Shares. . . . . . . . . . $ 260,458 $ 260,458
Paid-in Capital. . . . . . . . . . . . . . . . . . . 663,743 613,256
Retained Earnings. . . . . . . . . . . . . . . . . . 187,699 210,545
---------- ----------
Total Common Shareholder's Equity. . . . . . 1,111,900 1,084,259
Cumulative Preferred Stock:
Not Subject to Mandatory Redemption. . . . . . . . 19,353 19,589
Subject to Mandatory Redemption. . . . . . . . . . 22,310 22,310
Long-term Debt . . . . . . . . . . . . . . . . . . . 1,395,477 1,435,432
---------- ----------
TOTAL CAPITALIZATION . . . . . . . . . . . . 2,549,040 2,561,590
---------- ----------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 123,043 158,816
---------- ----------
CURRENT LIABILITIES:
Long-term Debt Due Within One Year . . . . . . . . . 157,239 19,504
Short-term Debt. . . . . . . . . . . . . . . . . . . 57,275 142,400
Accounts Payable . . . . . . . . . . . . . . . . . . 97,080 81,713
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 50,421 65,119
Customer Deposits. . . . . . . . . . . . . . . . . . 13,537 13,692
Interest Accrued . . . . . . . . . . . . . . . . . . 29,288 29,729
Revenue Refunds Accrued. . . . . . . . . . . . . . . 44,818 2,927
Energy Marketing and Trading Contracts . . . . . . . 138,960 3,714
Other. . . . . . . . . . . . . . . . . . . . . . . . 84,242 70,903
---------- ----------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 672,860 429,701
---------- ----------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 653,896 653,049
---------- ----------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 61,059 66,314
---------- ----------
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . 90,096 38,802
---------- ----------
CONTINGENCIES (Note 6)
TOTAL. . . . . . . . . . . . . . . . . . . $4,149,994 $3,908,272
========== ==========
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
COLUMBUS SOUTHERN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . $279,067 $266,399 $1,200,413 $1,096,243
OPERATING EXPENSES:
Fuel . . . . . . . . . . . . . . . . . 45,856 46,980 187,907 182,266
Purchased Power. . . . . . . . . . . . 55,191 47,837 245,042 185,633
Other Operation. . . . . . . . . . . . 45,969 44,582 204,107 183,115
Maintenance. . . . . . . . . . . . . . 13,946 14,307 61,734 67,939
Depreciation . . . . . . . . . . . . . 23,184 22,850 91,552 98,465
Taxes Other Than Federal Income Taxes. 31,078 29,936 117,690 117,486
Federal Income Taxes . . . . . . . . . 17,796 14,678 79,352 68,413
-------- -------- ---------- ----------
TOTAL OPERATING EXPENSES . . . 233,020 221,170 987,384 903,317
-------- -------- ---------- ----------
OPERATING INCOME . . . . . . . . . . . . 46,047 45,229 213,029 192,926
NONOPERATING INCOME (LOSS) . . . . . . . 361 (28) (954) 2,073
-------- -------- ---------- ----------
INCOME BEFORE INTEREST CHARGES . . . . . 46,408 45,201 212,075 194,999
INTEREST CHARGES . . . . . . . . . . . . 18,990 19,556 77,258 79,299
-------- -------- ---------- ----------
NET INCOME . . . . . . . . . . . . . . . 27,418 25,645 134,817 115,700
PREFERRED STOCK DIVIDEND REQUIREMENTS. . 533 533 2,131 1,482
-------- -------- ---------- ----------
EARNINGS APPLICABLE TO COMMON STOCK. . . $ 26,885 $ 25,112 $ 132,686 $ 114,218
-------- -------- ---------- ----------
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . $186,441 $138,172 $142,623 $108,727
NET INCOME . . . . . . . . . . . . . . . 27,418 25,645 134,817 115,700
DEDUCTIONS:
Cash Dividends Declared:
Common Stock . . . . . . . . . . . . 21,999 20,661 83,982 79,674
Cumulative Preferred Stock . . . . . 437 437 1,750 1,750
Capital Stock Expense. . . . . . . . . 96 96 381 380
-------- -------- -------- --------
BALANCE AT END OF PERIOD . . . . . . . . $191,327 $142,623 $191,327 $142,623
-------- -------- -------- --------
The common stock of the Company is wholly owned by American Electric Power Company, Inc.
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
COLUMBUS SOUTHERN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Production . . . . . . . . . . . . . . . . . . . . . . . $1,533,468 $1,525,322
Transmission . . . . . . . . . . . . . . . . . . . . . . 341,734 337,286
Distribution . . . . . . . . . . . . . . . . . . . . . . 947,759 913,081
General. . . . . . . . . . . . . . . . . . . . . . . . . 131,789 131,262
Construction Work in Progress. . . . . . . . . . . . . . 114,899 87,624
---------- ----------
Total Electric Utility Plant . . . . . . . . . . 3,069,649 2,994,575
Accumulated Depreciation . . . . . . . . . . . . . . . . 1,155,909 1,092,927
---------- ----------
NET ELECTRIC UTILITY PLANT . . . . . . . . . . . 1,913,740 1,901,648
---------- ----------
OTHER PROPERTY AND INVESTMENTS . . . . . . . . . . . . . . 79,670 39,345
---------- ----------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . . . 14,728 9,520
Accounts Receivable:
Customers. . . . . . . . . . . . . . . . . . . . . . . 85,674 83,719
Affiliated Companies . . . . . . . . . . . . . . . . . 24,514 50,686
Miscellaneous. . . . . . . . . . . . . . . . . . . . . 11,440 13,381
Allowance for Uncollectible Accounts . . . . . . . . . (2,993) (996)
Fuel . . . . . . . . . . . . . . . . . . . . . . . . . . 22,604 22,251
Materials and Supplies . . . . . . . . . . . . . . . . . 31,183 27,381
Accrued Utility Revenues . . . . . . . . . . . . . . . . 35,643 47,326
Energy Marketing and Trading Contracts . . . . . . . . . 79,987 1,920
Prepayments and Other. . . . . . . . . . . . . . . . . . 38,312 33,662
---------- ----------
TOTAL CURRENT ASSETS . . . . . . . . . . . . . . 341,092 288,850
---------- ----------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . . . 346,940 354,490
---------- ----------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . . . 56,185 53,090
---------- ----------
TOTAL. . . . . . . . . . . . . . . . . . . . . $2,737,627 $2,637,423
---------- ----------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
COLUMBUS SOUTHERN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - No Par Value:
Authorized - 24,000,000 Shares
Outstanding - 16,410,426 Shares. . . . . . . . . . $ 41,026 $ 41,026
Paid-in Capital. . . . . . . . . . . . . . . . . . . 572,587 572,207
Retained Earnings. . . . . . . . . . . . . . . . . . 191,327 142,623
---------- ----------
Total Common Shareholder's Equity. . . . . . 804,940 755,856
Cumulative Preferred Stock - Subject to
Mandatory Redemption . . . . . . . . . . . . . . . 25,000 25,000
Long-term Debt . . . . . . . . . . . . . . . . . . . 959,922 939,659
---------- ----------
TOTAL CAPITALIZATION . . . . . . . . . . . . 1,789,862 1,720,515
---------- ----------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 43,866 42,723
---------- ----------
CURRENT LIABILITIES:
Long-term Debt Due Within One Year . . . . . . . . . - 24,750
Short-term Debt. . . . . . . . . . . . . . . . . . . 45,700 60,050
Accounts Payable - General . . . . . . . . . . . . . 23,416 44,034
Accounts Payable - Affiliated Companies. . . . . . . 41,148 61,880
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 127,913 115,926
Interest Accrued . . . . . . . . . . . . . . . . . . 24,294 26,055
Energy Marketing and Trading Contracts . . . . . . . 80,429 2,086
Other. . . . . . . . . . . . . . . . . . . . . . . . 33,053 24,714
---------- ----------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 375,953 359,495
---------- ----------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 438,645 431,794
---------- ----------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 47,842 52,046
---------- ----------
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . 41,459 30,850
---------- ----------
CONTINGENCIES (Note 3)
TOTAL. . . . . . . . . . . . . . . . . . . $2,737,627 $2,637,423
---------- ----------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
INDIANA MICHIGAN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . $334,113 $328,468 $1,411,439 $1,326,387
OPERATING EXPENSES:
Fuel . . . . . . . . . . . . . . . . . 41,800 44,879 169,513 211,031
Purchased Power. . . . . . . . . . . . 62,315 58,159 302,202 186,938
Other Operation. . . . . . . . . . . . 91,575 76,433 362,349 331,937
Maintenance. . . . . . . . . . . . . . 31,202 27,078 161,717 119,622
Depreciation and Amortization. . . . . 36,985 35,793 146,304 141,587
Amortization of Rockport Plant Unit 1
Phase-in Plan Deferrals. . . . . . . - - - 7,960
Taxes Other Than Federal Income Taxes. 19,029 18,697 67,924 65,357
Federal Income Taxes . . . . . . . . . 12,369 18,366 45,648 64,998
-------- -------- ---------- ----------
TOTAL OPERATING EXPENSES . . . 295,275 279,405 1,255,657 1,129,430
-------- -------- ---------- ----------
OPERATING INCOME . . . . . . . . . . . . 38,838 49,063 155,782 196,957
NONOPERATING INCOME (LOSS) . . . . . . . 1,735 1,315 (419) 5,262
-------- -------- --------- ----------
INCOME BEFORE INTEREST CHARGES . . . . . 40,573 50,378 155,363 202,219
INTEREST CHARGES . . . . . . . . . . . . 20,503 16,634 72,409 65,994
-------- -------- ---------- ----------
NET INCOME . . . . . . . . . . . . . . . 20,070 33,744 82,954 136,225
PREFERRED STOCK DIVIDEND REQUIREMENTS. . 1,214 1,217 4,821 4,845
-------- -------- ---------- ----------
EARNINGS APPLICABLE TO COMMON STOCK. . . $ 18,856 $ 32,527 $ 78,133 $ 131,380
-------- -------- ---------- ----------
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . $253,154 $278,814 $281,975 $282,157
NET INCOME . . . . . . . . . . . . . . . 20,070 33,744 82,954 136,225
DEDUCTIONS:
Cash Dividends Declared:
Common Stock . . . . . . . . . . . . 28,664 29,366 116,762 131,561
Cumulative Preferred Stock . . . . . 1,182 1,184 4,731 4,738
Capital Stock Expense. . . . . . . . . 32 33 90 108
-------- -------- -------- --------
BALANCE AT END OF PERIOD . . . . . . . . $243,346 $281,975 $243,346 $281,975
-------- -------- -------- --------
The common stock of the Company is wholly owned by American Electric Power Company, Inc.
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
INDIANA MICHIGAN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Production . . . . . . . . . . . . . . . . . . . . . $2,580,567 $2,550,797
Transmission . . . . . . . . . . . . . . . . . . . . 917,008 910,058
Distribution . . . . . . . . . . . . . . . . . . . . 773,187 739,503
General (including nuclear fuel) . . . . . . . . . . 227,347 223,602
Construction Work in Progress. . . . . . . . . . . . 161,984 106,262
---------- ----------
Total Electric Utility Plant . . . . . . . . 4,660,093 4,530,222
Accumulated Depreciation and Amortization. . . . . . 2,113,688 2,001,265
---------- ----------
NET ELECTRIC UTILITY PLANT . . . . . . . . . 2,546,405 2,528,957
---------- ----------
NUCLEAR DECOMMISSIONING AND SPENT NUCLEAR FUEL
DISPOSAL TRUST FUNDS . . . . . . . . . . . . . . . . 672,940 592,494
---------- ----------
OTHER PROPERTY AND INVESTMENTS . . . . . . . . . . . . 207,609 173,598
---------- ----------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . 26,851 11,614
Accounts Receivable (net). . . . . . . . . . . . . . 124,769 136,026
Fuel . . . . . . . . . . . . . . . . . . . . . . . . 30,482 22,757
Materials and Supplies . . . . . . . . . . . . . . . 83,538 78,965
Accrued Utility Revenues . . . . . . . . . . . . . . 28,183 31,485
Energy Marketing and Trading Contracts . . . . . . . 87,354 2,252
Prepayments. . . . . . . . . . . . . . . . . . . . . 8,572 5,908
---------- ----------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 389,749 289,007
---------- ----------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 493,496 411,042
---------- ----------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . 40,737 43,265
---------- ----------
TOTAL. . . . . . . . . . . . . . . . . . . $4,350,936 $4,038,363
---------- ----------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
INDIANA MICHIGAN POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - No Par Value:
Authorized - 2,500,000 Shares
Outstanding - 1,400,000 Shares . . . . . . . . . . $ 56,584 $ 56,584
Paid-in Capital. . . . . . . . . . . . . . . . . . . 732,639 732,506
Retained Earnings. . . . . . . . . . . . . . . . . . 243,346 281,975
---------- ----------
Total Common Shareholder's Equity. . . . . . 1,032,569 1,071,065
Cumulative Preferred Stock:
Not Subject to Mandatory Redemption. . . . . . . . 9,266 9,435
Subject to Mandatory Redemption. . . . . . . . . . 68,445 68,445
Long-term Debt . . . . . . . . . . . . . . . . . . . 1,030,093 1,017,419
---------- ----------
TOTAL CAPITALIZATION . . . . . . . . . . . . 2,140,373 2,166,364
---------- ----------
OTHER NONCURRENT LIABILITIES:
Nuclear Decommissioning. . . . . . . . . . . . . . . 468,181 405,419
Other. . . . . . . . . . . . . . . . . . . . . . . . 243,836 240,724
---------- ----------
TOTAL OTHER NONCURRENT LIABILITIES . . . . . 712,017 646,143
---------- ----------
CURRENT LIABILITIES:
Long-term Debt Due Within One Year . . . . . . . . . 148,000 35,000
Short-term Debt. . . . . . . . . . . . . . . . . . . 110,295 110,475
Accounts Payable - General . . . . . . . . . . . . . 67,724 34,154
Accounts Payable - Affiliated Companies. . . . . . . 28,335 44,811
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 49,702 64,401
Interest Accrued . . . . . . . . . . . . . . . . . . 16,537 17,290
Rent Accrued - Rockport Plant Unit 2 . . . . . . . . 23,427 23,427
Revenue Refunds Accrued. . . . . . . . . . . . . . . 55,000 -
Obligations Under Capital Leases . . . . . . . . . . 10,681 33,497
Energy Marketing and Trading Contracts . . . . . . . 87,838 2,447
Other. . . . . . . . . . . . . . . . . . . . . . . . 77,234 45,499
---------- ----------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 674,773 411,001
---------- ----------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 560,136 562,547
---------- ----------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 127,881 136,136
---------- ----------
DEFERRED GAIN ON SALE AND LEASEBACK -
ROCKPORT PLANT UNIT 2. . . . . . . . . . . . . . . . 87,785 91,492
---------- ----------
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . 47,971 24,680
---------- ----------
CONTINGENCIES (Note 4)
TOTAL. . . . . . . . . . . . . . . . . . . $4,350,936 $4,038,363
---------- ----------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
KENTUCKY POWER COMPANY
STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . $90,741 $87,345 $366,395 $339,400
OPERATING EXPENSES:
Fuel . . . . . . . . . . . . . . . . . 19,691 22,301 80,693 80,188
Purchased Power. . . . . . . . . . . . 24,427 21,211 103,836 93,011
Other Operation. . . . . . . . . . . . 12,351 10,994 49,159 50,530
Maintenance. . . . . . . . . . . . . . 4,791 9,166 26,087 28,476
Depreciation and Amortization. . . . . 7,190 6,910 28,360 26,844
Taxes Other Than Federal Income Taxes. 2,534 2,492 9,729 9,094
Federal Income Taxes . . . . . . . . . 4,397 2,180 13,369 7,550
------- ------- -------- --------
TOTAL OPERATING EXPENSES . . . 75,381 75,254 311,233 295,693
------- ------- -------- --------
OPERATING INCOME . . . . . . . . . . . . 15,360 12,091 55,162 43,707
NONOPERATING LOSS. . . . . . . . . . . . (114) (71) (1,769) (394)
------- ------- -------- --------
INCOME BEFORE INTEREST CHARGES . . . . . 15,246 12,020 53,393 43,313
INTEREST CHARGES . . . . . . . . . . . . 7,037 7,003 28,525 26,681
------- ------- -------- --------
NET INCOME . . . . . . . . . . . . . . . $ 8,209 $ 5,017 $ 24,868 $ 16,632
------- ------- -------- --------
STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . $71,452 $78,076 $76,018 $86,531
NET INCOME . . . . . . . . . . . . . . . 8,209 5,017 24,868 16,632
CASH DIVIDENDS DECLARED. . . . . . . . . 7,443 7,075 28,668 27,145
------- ------- ------- -------
BALANCE AT END OF PERIOD . . . . . . . . $72,218 $76,018 $72,218 $76,018
------- ------- ------- -------
The common stock of the Company is wholly owned by American Electric Power
Company, Inc.
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
KENTUCKY POWER COMPANY
BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Production . . . . . . . . . . . . . . . . . . . . . $ 267,282 $ 261,537
Transmission . . . . . . . . . . . . . . . . . . . . 327,989 308,770
Distribution . . . . . . . . . . . . . . . . . . . . 353,918 341,575
General. . . . . . . . . . . . . . . . . . . . . . . 68,259 64,982
Construction Work in Progress. . . . . . . . . . . . 31,954 35,392
---------- ----------
Total Electric Utility Plant . . . . . . . . 1,049,402 1,012,256
Accumulated Depreciation and Amortization. . . . . . 322,483 301,368
---------- ----------
NET ELECTRIC UTILITY PLANT . . . . . . . . . 726,919 710,888
---------- ----------
OTHER PROPERTY AND INVESTMENTS . . . . . . . . . . . . 15,126 7,339
---------- ----------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . 4,251 990
Accounts Receivable:
Customers. . . . . . . . . . . . . . . . . . . . . 22,919 22,759
Affiliated Companies . . . . . . . . . . . . . . . 6,084 7,859
Miscellaneous. . . . . . . . . . . . . . . . . . . 3,151 3,692
Allowance for Uncollectible Accounts . . . . . . . . (930) (610)
Fuel . . . . . . . . . . . . . . . . . . . . . . . . 9,895 10,146
Materials and Supplies . . . . . . . . . . . . . . . 13,538 14,051
Accrued Utility Revenues . . . . . . . . . . . . . . 13,573 10,255
Energy Marketing and Trading Contracts . . . . . . . 32,257 725
Prepayments. . . . . . . . . . . . . . . . . . . . . 1,339 1,037
---------- ----------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 106,077 70,904
---------- ----------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 91,785 90,698
---------- ----------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . 8,684 9,129
---------- ----------
TOTAL. . . . . . . . . . . . . . . . . . . $ 948,591 $ 888,958
---------- ----------
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
KENTUCKY POWER COMPANY
BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - Par Value $50:
Authorized - 2,000,000 Shares
Outstanding - 1,009,000 Shares . . . . . . . . . . $ 50,450 $ 50,450
Paid-in Capital. . . . . . . . . . . . . . . . . . . 148,750 128,750
Retained Earnings. . . . . . . . . . . . . . . . . . 72,218 76,018
-------- --------
Total Common Shareholder's Equity. . . . . . 271,418 255,218
Long-term Debt . . . . . . . . . . . . . . . . . . . 296,089 338,891
-------- --------
TOTAL CAPITALIZATION . . . . . . . . . . . . 567,507 594,109
-------- --------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 26,124 26,727
-------- --------
CURRENT LIABILITIES:
Long-term Debt Due Within One Year . . . . . . . . . 72,797 2,203
Short-term Debt. . . . . . . . . . . . . . . . . . . 11,950 39,275
Accounts Payable - General . . . . . . . . . . . . . 9,919 10,028
Account Payable - Affiliated Companies . . . . . . . 13,270 8,325
Customer Deposits. . . . . . . . . . . . . . . . . . 3,961 3,737
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 12,387 8,825
Interest Accrued . . . . . . . . . . . . . . . . . . 8,795 7,986
Energy Marketing and Trading Accounts. . . . . . . . 32,431 787
Other. . . . . . . . . . . . . . . . . . . . . . . . 12,505 14,344
-------- --------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 178,015 95,510
-------- --------
DEFERRED FEDERAL INCOME TAXES. . . . . . . . . . . . . 158,415 154,150
-------- --------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 13,900 15,310
-------- --------
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . 4,630 3,152
-------- --------
CONTINGENCIES (Note 4)
TOTAL. . . . . . . . . . . . . . . . . . . $948,591 $888,958
-------- --------
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
KINGSPORT POWER COMPANY
STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . . $21,723 $21,381 $78,840 $80,022
OPERATING EXPENSES:
Purchased Power - Affiliated Company . . 15,592 15,376 54,835 57,626
Other Operation. . . . . . . . . . . . . 2,166 1,826 9,273 8,367
Maintenance. . . . . . . . . . . . . . . 485 623 2,775 2,147
Depreciation . . . . . . . . . . . . . . 684 675 2,773 2,624
Taxes Other Than Federal Income Taxes. . 899 955 3,538 3,844
Federal Income Taxes . . . . . . . . . . 423 354 705 872
------- ------- ------- -------
TOTAL OPERATING EXPENSES . . . . 20,249 19,809 73,899 75,480
------- ------- ------- -------
OPERATING INCOME . . . . . . . . . . . . . 1,474 1,572 4,941 4,542
NONOPERATING INCOME. . . . . . . . . . . . 191 130 919 611
------- ------- ------- -------
INCOME BEFORE INTEREST CHARGES . . . . . . 1,665 1,702 5,860 5,153
INTEREST CHARGES . . . . . . . . . . . . . 813 710 3,820 2,766
------- ------- ------- -------
NET INCOME . . . . . . . . . . . . . . . . $ 852 $ 992 $ 2,040 $ 2,387
------- ------- ------- -------
STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . . $7,099 $7,367 $7,747 $7,663
NET INCOME . . . . . . . . . . . . . . . . 852 992 2,040 2,387
CASH DIVIDENDS DECLARED. . . . . . . . . . 687 612 2,523 2,303
------ ------ ------ ------
BALANCE AT END OF PERIOD . . . . . . . . . $7,264 $7,747 $7,264 $7,747
------ ------ ------ ------
The common stock of the Company is wholly owned by American Electric Power
Company, Inc.
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
KINGSPORT POWER COMPANY
BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Transmission . . . . . . . . . . . . . . . . . . . . $14,027 $13,572
Distribution . . . . . . . . . . . . . . . . . . . . 68,228 65,936
General. . . . . . . . . . . . . . . . . . . . . . . 4,848 4,576
Construction Work in Progress. . . . . . . . . . . . 1,812 853
------- -------
Total Electric Utility Plant . . . . . . . . 88,915 84,937
Accumulated Depreciation . . . . . . . . . . . . . . 30,389 28,038
------- -------
NET ELECTRIC UTILITY PLANT . . . . . . . . . 58,526 56,899
------- -------
OTHER PROPERTY AND INVESTMENTS . . . . . . . . . . . . 1,726 464
------- -------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . 74 651
Accounts Receivable. . . . . . . . . . . . . . . . . 8,306 7,350
Allowance for Uncollectible Accounts . . . . . . . . (51) (25)
Rate Refund Receivable Due From
Affiliated Power Supplier . . . . . . . . . . . . . 16,311 -
Materials and Supplies . . . . . . . . . . . . . . . 394 565
Accrued Utility Revenues . . . . . . . . . . . . . . 2,898 2,557
Prepayments. . . . . . . . . . . . . . . . . . . . . 827 662
------- -------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 28,759 11,760
------- -------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 5,733 5,595
------- -------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . 784 909
------- -------
TOTAL. . . . . . . . . . . . . . . . . . . $95,528 $75,627
------- -------
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
KINGSPORT POWER COMPANY
BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - No Par Value:
Authorized - 500,000 Shares
Outstanding - 410,000 Shares . . . . . . . . . . . $ 4,100 $ 4,100
Paid-in Capital. . . . . . . . . . . . . . . . . . . 13,800 10,800
Retained Earnings. . . . . . . . . . . . . . . . . . 7,264 7,747
------- -------
Total Common Shareholder's Equity. . . . . . 25,164 22,647
Long-term Debt - Notes Payable to Banks. . . . . . . 25,000 25,000
------- -------
TOTAL CAPITALIZATION . . . . . . . . . . . . 50,164 47,647
------- -------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 2,008 2,080
------- -------
CURRENT LIABILITIES:
Short-term Debt - Notes Payable. . . . . . . . . . . 4,525 4,650
Accounts Payable . . . . . . . . . . . . . . . . . . 6,758 6,662
Customer Deposits. . . . . . . . . . . . . . . . . . 899 880
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 1,463 1,730
Revenue Refunds Accrued. . . . . . . . . . . . . . . 17,166 -
Other. . . . . . . . . . . . . . . . . . . . . . . . 2,236 2,183
------- -------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 33,047 16,105
------- -------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 9,230 8,625
------- -------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 927 1,011
------- -------
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . 152 159
------- -------
CONTINGENCIES (Note 3)
TOTAL. . . . . . . . . . . . . . . . . . . $95,528 $75,627
------- -------
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
OHIO POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<CAPTION>
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
<S> <C> <C> <C> <C>
OPERATING REVENUES . . . . . . . . . . . $518,221 $515,672 $2,108,096 $1,923,482
OPERATING EXPENSES:
Fuel . . . . . . . . . . . . . . . . . 189,163 193,275 734,410 673,408
Purchased Power. . . . . . . . . . . . 21,273 19,590 152,416 75,284
Other Operation. . . . . . . . . . . . 85,061 80,901 357,354 320,626
Maintenance. . . . . . . . . . . . . . 25,490 30,593 134,508 144,947
Depreciation and Amortization. . . . . 36,785 35,863 145,415 141,730
Taxes Other Than Federal Income Taxes. 43,853 42,658 170,548 169,225
Federal Income Taxes . . . . . . . . . 37,640 33,723 124,186 123,331
-------- -------- ---------- ----------
TOTAL OPERATING EXPENSES . . . 439,265 436,603 1,818,837 1,648,551
-------- -------- ---------- ----------
OPERATING INCOME . . . . . . . . . . . . 78,956 79,069 289,259 274,931
NONOPERATING INCOME. . . . . . . . . . . 2,000 1,238 1,350 11,090
-------- -------- ---------- ----------
INCOME BEFORE INTEREST CHARGES . . . . . 80,956 80,307 290,609 286,021
INTEREST CHARGES . . . . . . . . . . . . 20,135 19,871 80,299 82,487
-------- -------- ---------- ----------
NET INCOME . . . . . . . . . . . . . . . 60,821 60,436 210,310 203,534
PREFERRED STOCK DIVIDEND REQUIREMENTS. . 367 370 1,471 1,480
-------- -------- ---------- ----------
EARNINGS APPLICABLE TO COMMON STOCK. . . $ 60,454 $ 60,066 $ 208,839 $ 202,054
-------- -------- ---------- ----------
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
Three Months Ended Twelve Months Ended
March 31, March 31,
1999 1998 1999 1998
(in thousands)
BALANCE AT BEGINNING OF PERIOD . . . . . $587,500 $590,151 $597,442 $609,934
NET INCOME . . . . . . . . . . . . . . . 60,821 60,436 210,310 203,534
DEDUCTIONS:
Cash Dividends Declared:
Common Stock . . . . . . . . . . . . 57,703 52,775 216,029 214,546
Cumulative Preferred Stock . . . . . 367 370 1,472 1,480
-------- -------- -------- --------
BALANCE AT END OF PERIOD . . . . . . . . $590,251 $597,442 $590,251 $597,442
-------- -------- -------- --------
The common stock of the Company is wholly owned by American Electric Power Company, Inc.
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
OHIO POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
ASSETS
<S> <C> <C>
ELECTRIC UTILITY PLANT:
Production . . . . . . . . . . . . . . . . . . . . . $2,677,630 $2,606,491
Transmission . . . . . . . . . . . . . . . . . . . . 845,755 848,954
Distribution . . . . . . . . . . . . . . . . . . . . 954,198 920,280
General (including mining assets). . . . . . . . . . 680,173 702,846
Construction Work in Progress. . . . . . . . . . . . 115,146 87,280
---------- ----------
Total Electric Utility Plant . . . . . . . . 5,272,902 5,165,851
Accumulated Depreciation and Amortization. . . . . . 2,493,936 2,381,164
---------- ----------
NET ELECTRIC UTILITY PLANT . . . . . . . . . 2,778,966 2,784,687
---------- ----------
OTHER PROPERTY AND INVESTMENTS . . . . . . . . . . . . 230,832 123,632
---------- ----------
CURRENT ASSETS:
Cash and Cash Equivalents. . . . . . . . . . . . . . 114,785 83,662
Accounts Receivable:
Customers. . . . . . . . . . . . . . . . . . . . . 255,995 220,781
Affiliated Companies . . . . . . . . . . . . . . . 118,333 65,268
Miscellaneous. . . . . . . . . . . . . . . . . . . 41,063 45,904
Allowance for Uncollectible Accounts . . . . . . . (2,290) (2,155)
Fuel . . . . . . . . . . . . . . . . . . . . . . . . 117,956 98,819
Materials and Supplies . . . . . . . . . . . . . . . 84,237 80,047
Accrued Utility Revenues . . . . . . . . . . . . . . 39,419 35,095
Energy Marketing and Trading Contracts . . . . . . . 125,927 3,160
Prepayments. . . . . . . . . . . . . . . . . . . . . 47,536 41,541
---------- ----------
TOTAL CURRENT ASSETS . . . . . . . . . . . . 942,961 672,122
---------- ----------
REGULATORY ASSETS. . . . . . . . . . . . . . . . . . . 549,597 536,643
---------- ----------
DEFERRED CHARGES . . . . . . . . . . . . . . . . . . . 88,536 82,975
---------- ----------
TOTAL. . . . . . . . . . . . . . . . . . . $4,590,892 $4,200,059
---------- ----------
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
OHIO POWER COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
March 31,
1999 1998
(in thousands)
CAPITALIZATION AND LIABILITIES
<S> <C> <C>
CAPITALIZATION:
Common Stock - No Par Value:
Authorized - 40,000,000 Shares
Outstanding - 27,952,473 Shares. . . . . . . . . . $ 321,201 $ 321,201
Paid-in Capital. . . . . . . . . . . . . . . . . . . 462,338 462,296
Retained Earnings. . . . . . . . . . . . . . . . . . 590,251 597,442
---------- ----------
Total Common Shareholder's Equity. . . . . . 1,373,790 1,380,939
Cumulative Preferred Stock:
Not Subject to Mandatory Redemption. . . . . . . . 17,357 17,542
Subject to Mandatory Redemption. . . . . . . . . . 11,850 11,850
Long-term Debt . . . . . . . . . . . . . . . . . . . 975,452 994,312
---------- ----------
TOTAL CAPITALIZATION . . . . . . . . . . . . 2,378,449 2,404,643
---------- ----------
OTHER NONCURRENT LIABILITIES . . . . . . . . . . . . . 374,244 297,583
---------- ----------
CURRENT LIABILITIES:
Long-term Debt Due Within One Year . . . . . . . . . 98,958 26,031
Short-term Debt. . . . . . . . . . . . . . . . . . . 219,700 167,500
Accounts Payable . . . . . . . . . . . . . . . . . . 242,161 177,525
Taxes Accrued. . . . . . . . . . . . . . . . . . . . 164,425 156,138
Interest Accrued . . . . . . . . . . . . . . . . . . 23,212 25,026
Obligations Under Capital Leases . . . . . . . . . . 28,283 27,835
Energy Marketing and Trading Contracts . . . . . . . 126,567 3,433
Other. . . . . . . . . . . . . . . . . . . . . . . . 92,614 83,823
---------- ----------
TOTAL CURRENT LIABILITIES. . . . . . . . . . 995,920 667,311
---------- ----------
DEFERRED INCOME TAXES. . . . . . . . . . . . . . . . . 702,248 722,404
---------- ----------
DEFERRED INVESTMENT TAX CREDITS. . . . . . . . . . . . 38,458 41,979
---------- ----------
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . 101,573 66,139
---------- ----------
CONTINGENCIES (Note 4)
TOTAL. . . . . . . . . . . . . . . . . . . $4,590,892 $4,200,059
---------- ----------
See Notes to Consolidated Financial Statements.
</TABLE>
