FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarterly Period Ended June 30, 1999
Commission File Number 001-11441
ENERGYNORTH, INC.
(Exact name of registrant as specified in its charter)
New Hampshire 02-0363755
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
1260 Elm Street, P.O. Box 329, Manchester, NH 03105
(Address and zip code of principal executive offices)
(603) 625-4000
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes [X] No [ ]
EnergyNorth, Inc. had 3,319,718 shares of $1.00 par value
common stock outstanding on July 27, 1999, the filing date of
this report.
<PAGE>
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
ENERGYNORTH, INC.
Condensed Consolidated Balance Sheets
Assets
(Unaudited, except for September 30, 1998 data)
(In thousands)
June 30, September 30,
1999 1998 1998
------------------- --------
Property:
Utility plant, at cost $165,184 $154,918 $158,595
Accumulated depreciation and amortization 54,902 50,819 51,313
------------------- --------
Net utility plant 110,282 104,099 107,282
Net nonutility property, at cost 8,116 7,773 7,771
------------------- --------
Net property 118,398 111,872 115,053
------------------- --------
Current assets:
Cash and temporary cash investments 599 6,845 1,231
Accounts receivable (net of allowances of
$1,267, $1,230 and $1,127, respectively) 10,764 13,609 9,727
Unbilled revenues 673 595 516
Materials and supplies 2,058 2,304 2,086
Supplemental gas supplies 6,479 6,990 9,653
Prepaid and deferred taxes 1,210 1,869 1,804
Recoverable FERC 636 transition costs - 505 252
Prepaid expenses and other 2,797 2,311 2,252
------------------- --------
Total current assets 24,580 35,028 27,521
------------------- --------
Deferred charges and other assets:
Regulatory asset - income taxes 2,401 2,401 2,401
Recoverable environmental costs 10,613 5,464 6,113
Other deferred charges 2,117 1,859 1,941
Other assets 2,236 2,020 2,121
------------------- --------
Total deferred charges and other assets 17,367 11,744 12,576
------------------- --------
Total assets $160,345 $158,644 $155,150
=================== ========
See accompanying notes to condensed consolidated financial statements.
<PAGE>
ENERGYNORTH, INC.
Condensed Consolidated Balance Sheets
Stockholders' Equity and Liabilities
(Unaudited, except for September 30, 1998 data)
(In thousands, except share information)
June 30, September
1999 1998 1998
------------------- --------
Capitalization:
Common stockholders' equity:
Common stock - par value of $1 per
share; 10,000,000 shares authorized;
3,319,718, 3,316,148 and 3,317,498
shares issued and outstanding, respectively $ 3,320 $ 3,316 $ 3,317
Amount in excess of par 32,506 32,410 32,445
Retained earnings 20,255 19,082 15,128
------------------- --------
Total common stockholders' equity 56,081 54,808 50,890
Long-term debt 45,731 45,731 44,390
------------------- --------
Total capitalization 101,812 100,539 95,280
------------------- --------
Current liabilities:
Notes payable to banks 3,926 1,505 3,524
Current portion of long-term debt 850 1,012 2,061
Inventory purchase obligation 5,308 5,919 8,712
Accounts payable 9,234 12,297 10,431
Deferred gas costs 736 3,959 3,841
Accrued interest 1,139 1,173 272
Accrued and deferred taxes 2,482 2,382 342
Accrued FERC 636 transition costs - 505 252
Accrued environmental remediation costs 3,398 1,597 2,345
Customer deposits and other 4,613 3,686 3,761
------------------- -------
Total current liabilities 31,686 34,035 35,541
------------------- -------
Commitments and contingencies
Deferred credits:
Deferred income taxes 19,483 18,605 18,828
Unamortized investment tax credits 1,518 1,641 1,610
Regulatory liability - income taxes 1,056 1,169 1,141
Long-term environmental remediation costs 2,000 - -
Contributions in aid of construction and other 2,790 2,655 2,750
------------------- --------
Total deferred credits 26,847 24,070 24,329
------------------- --------
Total stockholders' equity and liabilities $160,345 $158,644 $155,150
=================== ========
See accompanying notes to condensed consolidated financial statements.
<PAGE>
<TABLE>
<CAPTION>
ENERGYNORTH, INC.
Condensed Consolidated Statements of Income
For the periods ended June 30
(Unaudited)
(In thousands, except per share amounts)
Three Months Nine Months Twelve Months
1999 1998 1999 1998 1999 1998
------------------- -------------------- ---------------------
<S> <C> <C> <C> <C> <C> <C>
Operating revenues $21,655 $20,498 $101,111 $93,422 $117,615 $102,855
------------------- -------------------- ---------------------
Operating expenses:
Cost of sales 14,676 14,106 56,646 53,018 67,752 58,195
Operations and maintenance 5,965 5,542 19,074 16,785 25,362 22,185
Depreciation and amortization 1,854 1,640 5,864 5,004 7,464 6,491
Taxes other than income taxes 1,023 1,064 3,198 3,158 4,112 3,088
Federal and state income taxes (1,082) (1,031) 5,028 4,821 3,309 3,590
------------------- -------------------- ---------------------
Total operating expenses 22,436 21,321 89,810 82,786 107,999 93,549
------------------- -------------------- ---------------------
Operating income (loss) (781) (823) 11,301 10,636 9,616 9,306
Other income 77 247 983 1,096 1,060 1,364
Interest expense:
Interest on long-term debt 973 975 2,909 2,918 3,888 3,653
Other interest 144 207 862 594 1,117 903
------------------- -------------------- ---------------------
Total interest expense 1,117 1,182 3,771 3,512 5,005 4,556
------------------- -------------------- ---------------------
Net income (loss) $(1,821) $(1,758) $ 8,513 $ 8,220 $ 5,671 $ 6,114
=================== ==================== =====================
Weighted average shares outstanding 3,320 3,282 3,319 3,257 3,319 3,254
=================== ==================== =====================
Basic earnings (loss) per share $ (.55) $ (.54) $ 2.56 $ 2.52 $ 1.71 $ 1.88
=================== ==================== =====================
Dividends declared per share $ .35 $ .335 $ 1.02 $ .975 $ 1.355 $ 1.295
=================== ==================== =====================
</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
<TABLE>
<CAPTION>
ENERGYNORTH, INC.
Condensed Consolidated Statements of Cash Flows
For the nine months ended June 30
(Unaudited)
(In thousands)
1999 1998
------- -------
<S> <C> <C>
Cash flows from operating activities:
Net income $ 8,513 $ 8,220
Noncash items:
Depreciation and amortization 6,219 5,427
Deferred taxes and investment tax credits, net 450 153
Changes in:
Accounts receivable, net (1,037) (2,817)
Unbilled revenues (157) 7
Inventories 3,202 1,972
Prepaid expenses and other (545) 611
Deferred gas costs (3,105) 2,659
Accounts payable (1,197) 1,137
Accrued liabilities 1,667 617
Accrued/prepaid taxes 2,734 1,575
Payments for environmental costs and other (2,774) (965)
------- --------
Net cash provided by operating activities 13,970 18,596
------- --------
Cash flows from investing activities:
Additions to property (8,528) (10,000)
Change in note receivable, net - 131
Other investing activities - 249
------- --------
Net cash used for investing activities (8,528) (9,620)
------- --------
Cash flows from financing activities:
Issuance of common stock 64 63
Cash dividends on common stock (3,386) (3,189)
Issuance of long-term debt 2,223 456
Repayment of long-term debt (2,093) (856)
Repayment of capital lease obligations - (46)
Change in notes payable to banks 402 1,373
Change in inventory purchase obligation (3,404) (1,933)
Change in other financing activities 120 3
------- --------
Net cash used for financing activities (6,074) (4,129)
------- --------
Net (decrease) increase in cash and temporary cash investments (632) 4,847
Cash and temporary cash investments, beginning of period 1,231 1,998
------- --------
Cash and temporary cash investments, end of period $ 599 $ 6,845
======= ========
</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
ENERGYNORTH, INC.
Notes to Condensed Consolidated Financial Statements
June 30, 1999
(Unaudited)
EnergyNorth, Inc. (Company) is an exempt public utility holding
company operating in northern New England. Its principal
operating subsidiaries include EnergyNorth Natural Gas, Inc.
(ENGI), EnergyNorth Propane, Inc. (ENPI), and ENI Mechanicals,
Inc. (ENMI). ENGI is New Hampshire's largest natural gas utility
with over 71,000 customers. ENPI is a retail propane company
serving over 15,000 customers in New Hampshire, and through its
49% investment in VGS Propane, LLC, serves more than 9,000
customers in Vermont. ENMI, through its wholly owned
subsidiaries, Northern Peabody, Inc. (NPI) and Granite State
Plumbing and Heating, Inc. (GSP&H), provides mechanical
contracting services for commercial, industrial and institutional
customers in northern New England. They are engaged in the
design, construction and service of plumbing, heating,
ventilation, air conditioning and process piping systems.
Note 1. Basis of Presentation
The accompanying condensed consolidated financial statements of
EnergyNorth, Inc. include the accounts of all subsidiaries. All
significant intercompany accounts and transactions have been
eliminated in the accompanying financial statements.
Effective May 1, 1998, the Company acquired NPI and GSP&H, which
are subsidiaries of ENMI. The acquisition was accounted for as a
purchase, and is reflected in the condensed consolidated
financial statements for the periods ended June 30, 1999 and 1998.
The condensed consolidated financial statements included herein
have been prepared by the Company, without audit, pursuant to the
rules and regulations of the U. S. Securities and Exchange
Commission. Certain footnote disclosures and other information,
normally included in financial statements prepared in accordance
with generally accepted accounting principles, have been
condensed or omitted from these interim financial statements,
pursuant to such rules and regulations, although the Company
believes that the disclosures are adequate to make the
information not misleading. In the opinion of the Company, the
accompanying unaudited condensed consolidated financial
statements contain all adjustments, which include only normal
recurring adjustments, necessary to present fairly the financial
position as of June 30, 1999 and 1998 and the results of
operations for the three, nine and twelve months then ended and
statements of cash flows for the nine months ended June 30, 1999
and 1998. All accounting policies and practices have been applied
in a manner consistent with prior periods. These interim
financial statements should be read in conjunction with the
consolidated financial statements and notes thereto contained
in the Company's Annual Report to Shareholders for the
year ended September 30, 1998.
The business of ENGI and ENPI is influenced by seasonal weather
conditions. The amount of gas sold and transported for central
and space heating purposes and, to a lesser extent, water heating
is directly related to the ambient air temperature.
Consequently, more gas is sold and transported during the winter
months than is sold and transported during the summer months.
Therefore, the
<PAGE>
results of operations for the interim periods presented are not
indicative of the results to be expected for all or any part of
the balance of the current fiscal year.
Reclassifications are made periodically to previously issued
financial statements to conform to the current year's
presentation.
Note 2. Cash Flows
Supplemental disclosures of cash flow information for the nine
months ended June 30, are as follows (in thousands):
1999 1998
- -----------------------------------------------------------------
Cash paid (received) during the period for:
Interest (net of amount capitalized) $2,623 $2,222
Income taxes 1,448 2,890
Noncash activities:
Acquisition investment - 1,992
In preparing the accompanying condensed consolidated statements
of cash flows, all highly liquid investments having maturities of
three months or less when acquired were considered to be cash
equivalents and classified as cash and temporary cash
investments.
Note 3. Commitments and Contingencies
For a discussion of commitments and contingencies, please refer
to Footnote 11 in the Company's 1998 Annual Report to shareholders.
Note 4. Subsequent Event
On July 14, 1999, the Company and Eastern Enterprises (Eastern), a
Massachusetts business trust, entered into an Agreement and
Plan of Reorganization (Agreement) which provides for the
merger of the Company with and into a subsidiary of Eastern, as a
result of which the Company would become a wholly owned
subsidiary of Eastern. Under the Agreement, holders of outstanding
shares of the Company's common stock can elect to receive cash, Eastern
common stock or a combination of cash and stock as set forth in the
Agreement. Completion of the merger is subject to approval by
the Company's stockholders and receipt of satisfactory regulatory
approvals, including approval by the New Hampshire Public
Utilities Commission and the Securities and Exchange Commission
and antitrust clearance.
<PAGE>
ENERGYNORTH, INC.
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations
June 30, 1999
Results of Operations
- ---------------------
Net loss for the three months ended June 30, 1999, was $1.8
million, or $.55 per share, compared to $1.7 million, or $.54 per
share, in 1998. Net income increased to $8.5 million, or $2.56
per share, for the nine months ended June 30, 1999, from $8.2
million, or $2.52 per share, in 1998. For the twelve months ended
June 30, 1999, net income was $5.7 million, or $1.71 per share,
compared to $6.1 million, or $1.88 per share, in the prior
period. Included in the prior twelve-month period results was a
one-time, after-tax credit of $649,000, or $.20 per share, which
was the result of a property tax settlement.
Temperatures for the current three, nine and twelve-month periods
were colder than the prior comparable periods, but significantly
warmer than normal and had a major impact on the results of
operations for the periods presented. The table below discloses
degree day data as recorded at the U.S. weather station in
Concord, New Hampshire, comparing actual degree days to the
previous period and to normal. Due to the size and topographical
variations of the Company's service territory, weather conditions
vary. Concord, New Hampshire weather data is considered to be
representative of the territory.
Actual Actual Change vs. Change vs.
6-30-99 6-30-98 Normal Previous Period Normal Period
------- ------- ------ --------------- -------------
3 months 896 826 999 8.5% (10.3)%
9 months 6,530 6,365 7,178 2.6% (9.0)%
12 months 6,697 6,579 7,452 1.8% (10.1)%
<PAGE>
Quarterly Comparison
- --------------------
Total operating revenues increased $1.2 million, or 5.6%, for the
quarter ended June 30, 1999. ENMI mechanical contract sales
increased $2.7 million for the quarter due primarily to the
timing of the ENMI acquisition. Utility gas service revenues
were $11.4 million compared to $13.1 million in the
prior period, a 13.1% decrease. The average number of
customers increased 2.3% for the quarter, the weather was 8.5%
colder, and firm sendout, including transportation, increased
2.6%. Lower purchased gas costs of $1.5 million passed through
the cost of gas adjustment (CGA) to firm customers was the
primary reason for the revenue decrease. Changes in the CGA
rates affect operating revenues; however, they do not affect
total margin because the CGA is a tariff mechanism designed to
provide dollar-for-dollar recovery of gas costs. Utility natural
gas margin increased 2.1% for the quarter.
Propane gallons sold increased 14.1% for the three-month period
due to an 8.8% increase in the average number of retail propane
customers and colder temperatures. Retail propane operating
revenues increased $145,000 and gross margin increased 17.1%
compared to the same quarter last year.
<PAGE>
Operations and maintenance expenses relating to the mechanical
contracting businesses acquired in May 1998 were the main
reason for the increase in operations and maintenance expenses
from the prior comparable period. Depreciation and amortization
expenses increased for the period as a result of capital additions
and amortization of environmental remediation costs. The decrease
in other income resulted primarily from a reduction in interest
earned on the temporary investment of surplus cash.
Nine-Month Comparison
- ---------------------
Total operating revenues increased $7.7 million, or 8.2%, for the
nine months ended June 30, 1999. Partially offsetting a $15.6
million increase in ENMI mechanical contract sales, due primarily
to the timing of the ENMI acquisition, were lower utility gas
service revenues. Utility gas service revenues were $69.8
million compared to $77.7 million in the prior period, a 10.1%
decrease. The decrease resulted in part from lower purchased gas
costs of $8.2 million that were passed through the CGA to firm
customers. In addition, revenues decreased as customers switched
from sales gas service to transportation gas service. The
weather was 2.6% colder than the prior period and firm sendout,
including transportation, increased over 4.8% as the average
number of customers increased 2.4%. Margin earned from utility
natural gas operations was $1.4 million, or 4.0%, higher than
last year's nine-month period.
The average number of retail propane customers grew nearly 8.3%
for the nine-month period and temperatures were 2.6% colder than
the prior period. Retail propane gallons sold increased 8.1%
compared to the prior period. Operating revenues were virtually
unchanged from the prior period as retail prices decreased in
response to lower purchased propane costs, resulting in an 8.6%
increase in margin.
Included in the 13.6% increase in operations and maintenance
expenses were expenses attributed to the mechanical contracting
operations and higher wage rates. Continued capital additions to
plant and equipment and amortization of environmental remediation
costs were the primary reasons for the 17.2% increase in
depreciation and amortization expenses. The primary reason
for the 7.4% increase in total interest expense was the greater
level of short-term debt outstanding during the current period.
Twelve-Month Comparison
- -----------------------
Total operating revenues increased $14.8 million, or 14.4%,
for the twelve months ended June 30, 1999. A $23.4 million
increase in ENMI mechanical contract sales resulting from the
timing of the ENMI acquisition was partially offset by
lower utility gas service revenues. Utility gas service
revenues were $77.4 million compared to $85.9 million in the
prior period, a 9.9% decrease. Although firm sendout, including
transportation, increased 5.8% over the prior period, revenues
decreased as lower gas costs of $8.1 million were passed through
the CGA. In addition, revenues were lower as customers switched
from sales gas service to transportation gas
<PAGE>
service. Margin earned from utility natural gas operations increased
$1.6 million, or 4.2%, from the corresponding prior period.
The average number of retail propane customers increased 7.9% for
the twelve months ended June 30, 1999 and temperatures were 1.8%
colder than the prior period. Although propane gallons sold
increased 7.3%, operating revenues decreased slightly as sales
prices were reduced to reflect lower propane costs. Margin
earned from retail propane operations increased 7.8% compared to
the same period last year.
Operations and maintenance expenses of the mechanical contracting
business and increases in wages were the primary reasons for
the 14.3% increase in operations and maintenance expenses for the
period. Higher depreciation and amortization charges were a
direct result of plant additions and amortization of
environmental remediation costs. Taxes other than income taxes
for the prior period included favorable property tax settlements.
The decrease in other income included interest on refunds
received from federal income tax settlements and interest earned
on temporary investments.
Total interest expense increased 9.9% during the twelve-month
period due primarily to the $22 million of 7.4% First Mortgage
Bonds issued in September 1997 and the increased level of short-
term debt outstanding during the current period.
Capital Resources and Liquidity
- -------------------------------
Cash flow patterns reflect the seasonality of the Company's
utility and propane businesses. The greatest demand for cash is
in the fall and early winter as construction projects are brought
to completion and during the winter as accounts receivable
balances grow. During the spring and early summer months, a
positive cash flow stream is created as accounts receivable
balances are collected. At this time, inventories have been
utilized and prepaid amounts, mostly insurance, are being
amortized. During the summer months, supplemental gas supplies
are replenished in preparation for the winter heating season. The
overcollected deferred gas cost amounts at June 30, 1999, will be
returned to customers during subsequent winter and summer periods
through the CGA mechanism. ENMI does not share the seasonal
characteristics of the utility and propane businesses.
The Company's major capital requirements result from efforts to
serve additional customers and from normal replacements and
efficiency improvements to the existing plant. For the nine
months ended June 30, 1999, capital expenditures totaled
approximately $8.5 million.
Capital expenditures and working capital requirements were
financed by internally generated funds and supplemented by short-
term bank borrowings. At June 30, 1999, the Company had
unsecured bank lines of credit of $27.7 million, $3.9 million of
which was outstanding.
<PAGE>
Construction expenditures for fiscal 1999 are expected to total
approximately $13.4 million. Construction expenditures, payment
of dividends, long-term debt repayments, environmental
remediation and working capital requirements will continue to be
funded through cash generated by operations, supplemented by
available lines of credit.
Environmental Matters
- ---------------------
The Company and certain of its predecessors owned or operated
several facilities for the manufacture of gas from coal, a
process used through the mid-1900s that produced by-products that
may be considered contaminated or hazardous under current law,
and some of which may still be present at such facilities. In
April, 1999 the Company received a request from the New Hampshire
Department of Environmental Services to participate with Public
Service Company of New Hampshire (PSNH) and Northern Utilities in
the development of a site investigation report for a former
manufactured gas site located in Dover, New Hampshire. The
Company is also participating with PSNH in the investigation and
remediation of former manufactured gas sites in Laconia, New
Hampshire and Nashua, New Hampshire and is engaged in remediation
of a site in Concord, New Hampshire. Costs to complete the
Company's share of site investigation, risk characterization and
remediation at manufactured gas sites are currently estimated to
range from $5.4 million to $10.5 million. In addition to costs
incurred to date, the Company has recorded $3.4 million as an
accrued current liability and $2.0 million as a long-term
liability at June 30, 1999 with a corresponding charge to
recoverable environmental costs. For further detail regarding
environmental issues please refer to Footnote 11 in the Company's
1998 Annual Report to Shareholders.
Year 2000 Readiness
- -------------------
The Company has evaluated its principal computer systems and
noninformation technology systems including, but not limited to,
telecommunication systems, automated meter reading systems,
SCADA, regulator stations, plant remote control systems and
security systems to determine readiness for the year 2000. These
systems are currently capable of processing the year 2000, or are
in the process of being upgraded or replaced by systems that are
similarly capable. All necessary program modifications and system
upgrades and testing are expected to be completed by the year
2000. At June 30, 1999, all Company systems critical to the
delivery of gas to customers are year 2000 compliant. Costs
incurred to date and costs expected to be incurred to complete
the year 2000 readiness are not material and will not have a
material impact on the Company's financial position or results of
operations.
The Company is currently assessing year 2000 issues with third
parties with whom it has a material relationship. Although this
assessment is ongoing, critical vendors contacted to date have
indicated that interruption to service due to year 2000 problems
are unlikely. Due to the complexity of the problem and the
reliance on certain important vendors and suppliers, there can be
no guarantee that year 2000 compliance for all computer systems
and other systems will be achieved or that critical and important vendors
and suppliers will achieve compliance. The successful upgrade of the
<PAGE>
Company's systems on a timely basis is critical to
enable the Company to avoid business disruption and the loss of
essential information or data in the year 2000. In addition, a
disruption of the transmission of gas due to year 2000 problems
experienced by the Company's gas supplier or other significant
vendors and service providers could prevent the delivery of a
sufficient amount of gas to enable the Company to serve certain
customer segments.
Because of the difficulty of accessing year 2000 readiness of
others outside the control of the Company, the Company considers
potential disruptions by these third parties to present the
"reasonably likely worst case scenario." The Company's inability
to serve its customers could result in increased costs, loss of
business and other similar risks. In an effort to investigate
the risks of non-compliance, the Company is in the process of
preparing a contingency plan. It is anticipated that contingency
plans will be finalized by September 30, 1999.
Factors that May Affect Future Results
- --------------------------------------
The Private Securities Litigation Reform Act of 1995 encourages
the use of cautionary statements accompanying forward-looking
statements. The preceding Management's Discussion and Analysis
of Financial Condition and Results of Operations includes or
refers to forward-looking statements concerning the impact of
changes in the cost of gas and of the CGA mechanism on total
margin; projected capital expenditures and sources of cash to
fund expenditures; year 2000 readiness; and estimated costs of
environmental remediation and anticipated regulatory approval of
recovery mechanisms. The Company's future results, generally and
with respect to such forward-looking statements, may be affected
by many factors, among which are uncertainty as to the regulatory
allowance of recovery of changes in the cost of gas; uncertain
demands for capital expenditures and the availability of cash
from various sources; uncertainty as to environmental costs and
as to regulatory approval of the full recovery of environmental
costs, and other regulatory assets; weather; results of
regulatory proceedings on unbundling; impact of new pipeline
supplies; and success of the Company's year 2000 readiness
efforts and those of its vendors and customers.
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
A description of pending legal proceedings is contained in the
Company's annual report on Form 10-K for the fiscal year ended
September 30, 1998.
No further material legal proceedings or material developments
occurred since September 30, 1998.
Items 2-5 are not applicable.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits:
27 - Financial Data Schedule
(Submitted only in electronic format to the
Securities and Exchange Commission)
(b) Reports on Form 8-K:
A current report on Form 8-K reporting the occurrence of an
event covered by Item 5 was filed on July 20, 1999 by the
Company regarding an Agreement and Plan of Reorganization
entered into by the Company and Eastern Enterprises on
July 14, 1999.
<PAGE>
ENERGYNORTH, INC.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
EnergyNorth, Inc.
(Registrant)
Date: July 27, 1999 /s/ DAVID A. SKRZYSOWSKI
------------- -------------------------------------
David A. Skrzysowski, duly authorized
Vice President & Controller
(Principal Accounting Officer)
<TABLE> <S> <C>
<ARTICLE> UT
<LEGEND>
This schedule contains summary financial information extracted from the
EnergyNorth, Inc. condensed consolidated balance sheet as of June 30,
1999 and condensed consolidated statement of income and statement of cash
flows for the nine months ended June 30, 1999 and is qualified in its
entirety by reference to such financial statements.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> SEP-30-1999
<PERIOD-END> JUN-30-1999
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> 110,282<F1>
<OTHER-PROPERTY-AND-INVEST> 8,116<F2>
<TOTAL-CURRENT-ASSETS> 24,580
<TOTAL-DEFERRED-CHARGES> 15,131
<OTHER-ASSETS> 2,236
<TOTAL-ASSETS> 160,345
<COMMON> 3,320
<CAPITAL-SURPLUS-PAID-IN> 32,506
<RETAINED-EARNINGS> 20,255
<TOTAL-COMMON-STOCKHOLDERS-EQ> 56,081
0
0
<LONG-TERM-DEBT-NET> 45,731
<SHORT-TERM-NOTES> 3,926
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 850
0
<CAPITAL-LEASE-OBLIGATIONS> 0
<LEASES-CURRENT> 0
<OTHER-ITEMS-CAPITAL-AND-LIAB> 53,757
<TOT-CAPITALIZATION-AND-LIAB> 160,345
<GROSS-OPERATING-REVENUE> 101,111
<INCOME-TAX-EXPENSE> 5,028
<OTHER-OPERATING-EXPENSES> 84,782
<TOTAL-OPERATING-EXPENSES> 89,810
<OPERATING-INCOME-LOSS> 11,301
<OTHER-INCOME-NET> 983
<INCOME-BEFORE-INTEREST-EXPEN> 12,284
<TOTAL-INTEREST-EXPENSE> 3,771
<NET-INCOME> 8,513
0
<EARNINGS-AVAILABLE-FOR-COMM> 8,513
<COMMON-STOCK-DIVIDENDS> 3,386
<TOTAL-INTEREST-ON-BONDS> 3,569<F3>
<CASH-FLOW-OPERATIONS> 13,970
<EPS-BASIC> $2.56
<EPS-DILUTED> 0
<FN>
<F1>Net of accumulated depreciation of $54,902
<F2>Net of accumulated depreciation of $11,092
<F3>$3,569 represents the forecasted annual interest on bonds for the fiscal
year ending September 30, 1999. Actual interest on bonds for the nine months
ended June 30, 1999 was $2,679.
</FN>
</TABLE>
