17
<PAGE>
FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
Quarterly Report Under Section 13 or 15(d)
of the Securities Exchange Act of 1934
For Quarter Ended September 30, 1995 Commission File No. 1-4698
------------------ ------
Nevada Power Company
------------------------------------------------------
(Exact name of registrant as specified in its charter)
Nevada 88-0045330
- ------------------------------- ------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
6226 West Sahara Avenue, Las Vegas, Nevada 89102
- ------------------------------------------ ---------
(Address of principal executive offices) (Zip Code)
(702) 367-5000
----------------------------------------------------
(Registrant's telephone number, including area code)
- -------------------------------------------------------------------------------
(Former name, former address and former fiscal year, if changed since last
report.)
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 .
---- ---
Indicate the number of shares outstanding of each of the issuer's
classes of Common Stock, as of the latest practicable date.
Common Stock outstanding October 31, 1995, 46,743,628 shares.
-----------
1
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PART I. FINANCIAL INFORMATION
STATEMENTS OF INCOME
(In Thousands, Except Per Share Amounts)
(Unaudited)
FOR THE FOR THE
THREE MONTHS NINE MONTHS
ENDED SEPTEMBER 30, ENDED SEPTEMBER 30,
------------------- -------------------
1995 1994 1995 1994
-------- -------- -------- --------
ELECTRIC REVENUES .......................$280,135 $268,359 $598,667 $608,805
OPERATING EXPENSES AND TAXES:
Fuel ............................... 34,690 36,209 79,129 83,404
Purchased and interchanged power ... 79,804 85,775 182,392 205,270
Deferred energy cost adjustments,
net ............................... 16,114 4,420 34,241 19,237
-------- -------- -------- --------
Net energy costs .................. 130,608 126,404 295,762 307,911
Other production operations ........ 5,109 4,884 13,844 12,899
Other operations ................... 26,003 25,962 73,163 73,538
Maintenance and repairs ............ 6,865 7,991 25,804 27,176
Provision for depreciation ......... 14,019 12,884 40,548 37,422
General taxes ...................... 4,889 4,246 14,228 12,741
Federal income taxes ............... 28,381 26,291 35,654 37,064
-------- -------- -------- --------
215,874 208,662 499,003 508,751
-------- -------- -------- --------
OPERATING INCOME ........................ 64,261 59,697 99,664 100,054
-------- -------- -------- --------
OTHER INCOME (EXPENSES):
Allowance for other funds used
during construction ............... 1,229 1,633 4,401 5,304
Miscellaneous, net ................. (682) 171 1,045 5,022
-------- -------- -------- --------
547 1,804 5,446 10,326
-------- -------- -------- --------
INCOME BEFORE INTEREST DEDUCTIONS ....... 64,808 61,501 105,110 110,380
-------- -------- -------- --------
INTEREST DEDUCTIONS:
Interest on long-term debt ......... 12,110 11,168 35,400 33,199
Other interest ..................... 305 789 1,298 2,134
Allowance for borrowed funds used
during construction ............... (666) (928) (2,611) (3,310)
-------- -------- -------- --------
11,749 11,029 34,087 32,023
-------- -------- -------- --------
NET INCOME .............................. 53,059 50,472 71,023 78,357
DIVIDEND REQUIREMENTS ON PREFERRED STOCK 991 993 2,975 2,982
-------- -------- -------- --------
EARNINGS AVAILABLE FOR COMMON STOCK .....$ 52,068 $ 49,479 $ 68,048 $ 75,375
======== ======== ======== ========
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING ............................ 46,516 42,714 46,081 42,256
======== ======== ======== ========
EARNINGS PER AVERAGE COMMON SHARE .......$ 1.12 $ 1.16 $ 1.48 $ 1.78
======== ======== ======== ========
DIVIDENDS PER COMMON SHARE ..............$ 0.40 $ 0.40 $ 1.20 $ 1.20
======== ======== ======== ========
See Notes to Financial Statements.
2
<PAGE>
BALANCE SHEETS
ASSETS
(Unaudited)
September 30, December 31,
1995 1994
------------- ------------
(In Thousands)
ELECTRIC PLANT:
Original cost ....................................... $1,960,706 $1,831,400
Less accumulated depreciation ....................... 532,033 495,691
---------- ----------
Net plant in service .............................. 1,428,673 1,335,709
Construction work in progress ....................... 149,353 159,167
Other plant, net .................................... 83,398 89,127
---------- ----------
1,661,424 1,584,003
---------- ----------
INVESTMENTS ........................................... 10,008 21,602
---------- ----------
CURRENT ASSETS:
Cash and temporary cash investments ................. 65,142 123
Customer receivables ................................ 104,538 70,378
Other receivables ................................... 9,349 6,033
Fuel stock and materials and supplies ............... 34,507 36,657
Deferred energy costs ............................... (9,968) 25,714
Prepayments ......................................... 9,443 9,657
---------- ----------
213,011 148,562
---------- ----------
DEFERRED CHARGES ...................................... 151,105 153,222
---------- ----------
$2,035,548 $1,907,389
========== ==========
CAPITALIZATION AND LIABILITIES
CAPITALIZATION:
Common shareholders' equity:
Common stock, 46,681,098 and 45,382,370
shares issued and outstanding, respectively ...... $ 49,886 $ 48,587
Premium and unamortized expense on capital stock .. 588,053 563,562
Retained earnings ................................. 132,589 119,600
---------- ----------
770,528 731,749
---------- ----------
Cumulative preferred stock .......................... 41,864 42,064
---------- ----------
Long-term debt ...................................... 786,459 712,571
---------- ----------
1,598,851 1,486,384
---------- ----------
CURRENT LIABILITIES:
Notes Payable ....................................... 14,000 -
Current maturities and sinking fund requirements .... 6,194 57,551
Accounts payable, including salaries and wages ...... 81,257 66,467
Accrued taxes ....................................... 39,480 2,493
Accrued interest .................................... 10,245 6,239
Accumulated deferred taxes on deferred energy costs . (3,489) 9,000
Customers' service deposits and other ............... 33,389 35,763
---------- ----------
181,076 177,513
---------- ----------
DEFERRED CREDITS AND OTHER LIABILITIES:
Accumulated deferred investment tax credits ......... 32,829 33,924
Accumulated deferred taxes on income ................ 140,926 135,152
Customers' advances for construction and other ...... 81,866 74,416
---------- ----------
255,621 243,492
---------- ----------
$2,035,548 $1,907,389
========== ==========
See Notes to Financial Statements.
3
<PAGE>
STATEMENTS OF CASH FLOWS
(Unaudited)
FOR THE NINE MONTHS
ENDED SEPTEMBER 30,
--------------------
1995 1994
-------- --------
(In Thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income .......................................... $ 71,023 $ 78,357
Adjustments to reconcile net income to net cash
provided-
Depreciation and amortization ...................... 48,614 47,439
Deferred income taxes and investment tax credits ... (12,226) 726
Allowance for other funds used during construction . (4,401) (5,304)
Changes in-
Receivables ........................................ (37,389) (50,916)
Fuel stock and materials and supplies .............. 2,150 997
Accounts payable and other current liabilities ..... 14,138 12,876
Deferred energy costs .............................. 33,750 16,037
Accrued taxes and interest ......................... 40,993 38,015
Other assets and liabilities ........................ 623 (8,085)
-------- --------
Net cash provided by operating activities ......... 157,275 130,142
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Construction expenditures and gross additions ....... (121,340) (113,741)
Investment in subsidiaries and other ................ 13,637 (302)
Salvage net of removal cost ......................... 2,672 (18)
-------- --------
Net cash used in investing activities ............. (105,031) (114,061)
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Sale of capital stock ............................... 25,776 27,876
Sale of long-term debt .............................. 85,000 -
Change in funds held in trust ....................... 7,158 32,079
Retirement of preferred stock and long-term debt .... (69,892) (5,753)
Coal contract buy-out ............................... - (15,439)
Change in short-term borrowing ...................... 14,000 -
Cash dividends ...................................... (58,021) (53,524)
Other financing activities .......................... 8,754 4,852
-------- --------
Net cash provided by (used in) financing activities 12,775 (9,909)
-------- --------
CASH AND TEMPORARY CASH INVESTMENTS:
Net increase during the period ...................... 65,019 6,172
Beginning of period ................................. 123 145
-------- --------
End of period ....................................... $ 65,142 $ 6,317
======== ========
CASH PAID DURING THE PERIOD FOR:
Interest, net of amounts capitalized ................ $ 37,187 $ 35,997
======== ========
Income taxes ........................................ $ 10,785 $ 5,000
======== ========
See Notes to Financial Statements.
4
<PAGE>
NOTES TO FINANCIAL STATEMENTS
The condensed financial statements included herein have been prepared by
the registrant, pursuant to the rules and regulations of the Securities and
Exchange Commission, and reflect all adjustments which, in the opinion of
management are necessary for a fair presentation. Certain information and
footnote disclosures have been condensed in accordance with generally accepted
accounting principles and pursuant to such rules and regulations. The
registrant believes that the disclosures are adequate to make the information
presented not misleading. It is suggested that these condensed financial
statements and notes thereto be read in conjunction with the financial
statements and the notes thereto included in the registrant's latest annual
report. Certain prior period amounts have been reclassified, with no effect on
income or common shareholders' equity, to conform with the current period
presentation.
(1) FEDERAL INCOME TAXES:
For interim financial reporting purposes, Nevada Power Company (Company)
reflects in the computation of the federal income tax provision liberalized
depreciation based upon the expected annual percentage relationship of book
and tax depreciation and reflects the allowance for funds used during
construction on an actual basis. The total federal income tax expense as set
forth in the accompanying statements of income results in an effective federal
income tax rate different than the statutory federal income tax rate. The
table below shows the effects of those transactions which created this
difference.
THREE MONTHS NINE MONTHS
ENDED SEPTEMBER 30, ENDED SEPTEMBER 30,
------------------- -------------------
1995 1994 1995 1994
------- ------- ------- -------
(In Thousands)
Federal income tax at statutory rate . $28,607 $27,207 $38,364 $42,113
Investment tax credit amortization ... (365) (365) (1,095) (1,095)
Other ................................ 433 421 1,317 950
------- ------- ------- -------
Recorded federal income taxes ........ $28,675 $27,263 $38,586 $41,968
======= ======= ======= =======
Federal income taxes included in-
Operating expenses ................. $28,381 $26,291 $35,654 $37,064
Other income, net .................. 294 972 2,932 4,904
------- ------- ------- -------
Recorded federal income taxes ........ $28,675 $27,263 $38,586 $41,968
======= ======= ======= =======
(2) COMMITMENTS AND CONTINGENCIES:
The Federal Clean Air Act Amendments of 1990 (Amendments) include
provisions for reduction of emissions of oxides of nitrogen by establishing
new emission limits for coal-fired generating units. This will require the
installation of additional pollution-control technology at some of the Reid
Gardner Station generating units before 2000 at an estimated cost to the
Company of no more than $6 million.
The Clean Air Act Amendments also mandated creation of the Grand Canyon
Visibility Transport Commission to work toward the goal of visibility
improvement in the Grand
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Canyon and other national parks of the Colorado Plateau. The Commission is
expected to make recommendations to the U.S. Environmental Protection Agency
(EPA) by May 1996, regarding ways to improve visibility. A variety of
actions could be considered including imposition of more pollution controls or
emissions limitations upon large sources of pollution in the West and
Southwest. The potential affect on the Company cannot be determined at this
time.
Further related to visibility, the United States Congress authorized the
EPA to study the potential impact the Mohave Generating Station (Mohave) may
have on visibility in the Grand Canyon area. Results of this study are
expected in 1996. Also, the Nevada Division of Environmental Protection has
imposed more stringent interim stack opacity limits for Mohave. This may
affect the Company's utilization of resources, however, a final opacity
standard will not be established until November 1995. As a 14 percent owner
of Mohave, the Company will be required to fund any plant improvements that
may result from the visibility study and opacity limitation. The cost of any
potential improvements cannot be estimated at this time.
Saguaro Power Company (Saguaro), a cogeneration power producer, and the
Company are parties to a 30-year power purchase contract (Contract) wherein
the Company agreed to purchase power from Saguaro's plant near Henderson,
Nevada. On July 22, 1995, Saguaro filed a lawsuit in District Court,
Clark County, Nevada, seeking damages and injunctive relief as a result of
being curtailed in its power deliveries during periods of low load
conditions on the Company's system. The lawsuit alleges that the Company
refused to accept and pay for approximately $2 million of electric energy and
capacity, and that the Company should reimburse Saguaro for $2 million
related to the construction of the interconnection line. Saguaro also alleges
that the Company has refused to pay Saguaro for excess capacity. Lastly,
Saguaro alleges that the Company has committed fraud and anticipatory
breach of the Contract and this conduct has damaged Saguaro in an approximate
additional amount of $75 million. Saguaro also seeks injunctive relief to
prevent curtailments of its power deliveries and arbitration regarding the
curtailments. The Company believes its actions are consistent with the
Contract, federal and state regulations, and state administrative
directives, and will vigorously defend against these claims. Further, the
Company contends it has paid Saguaro all amounts due it under the terms of the
Contract.
On September 1, 1995, Las Vegas Cogeneration Limited Partnership filed a
similar lawsuit to that of Saguaro; it pleads curtailment damages are less
than $200,000.
On July 24, 1995, Nevada Cogeneration Associates #1 and Nevada
Cogeneration Associates #2, also cogeneration power producers, made a request
for arbitration of their current contracts relative to the same issues of low
load condition curtailments and energy and capacity payments. They allege
under payments by the Company of approximately $2.6 million. The Nevada
District Court has recently denied the Company's request that the issues
regarding low load conditions be heard before the Public Service Commission of
Nevada based on the arbitration clauses of the various contracts.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
LIQUIDITY AND CAPITAL RESOURCES
The Company's customer growth rate during 1994 and 1993 was 6.0 and 5.4
percent, respectively. The increase in customers for the first nine months of
1995 was at an
6
<PAGE>
annualized rate of 5.6 percent. At September 30, 1995, the Company provided
electric service to 446,355 customers.
Every three years Nevada law requires the Company to file with the
Public Service Commission of Nevada (PSC) a forecast of electricity demands
for the next 20 years and the Company's plans to meet those demands. Among
the major items in the Company's 1994 Resource Plan and Refiled 1994 Resource
Plan (Refiled Plan), as amended, which were approved by the PSC in 1994 and
1995 are the following:
(1) the Company shall continue to pursue a short-term power purchase
strategy;
(2) the Company will have sufficient flexibility to implement an
efficient cost-effective acquisition process, noting that the
competitive solicitation process remains the preferred method
for comparing resource options;
(3) the installation of the initial 230 kV circuit and associated
substation and communication facilities on the previously
approved Arden-Northwest 230 kV Transmission Line;
(4) the rerouting of a portion of the Arden-McCullough #2 230 kV
Transmission Line;
(5) limited resource planning approval to seek the necessary UEPA
and other permitting approvals, and to acquire necessary sites
and rights-of-way for two 230 kV switching stations;
(6) a Renewable Energy Program for the Company to utilize all
appropriate incentives, resources, and expertise to foster the
development of economically competitive renewable energy systems
with the intent to provide Southern Nevada customers with 20
megawatts of solar-generated electricity by the year 2002.
The Company will file any significant modifications to the Refiled Plan
by April 1, 1996.
To meet capital expenditure requirements through 1996, the Company plans
to utilize internally generated cash, the proceeds from industrial
development revenue bonds (IDBs), first mortgage bonds (FMBs), preferred
securities and common stock issues through public offerings and the Stock
Purchase and Dividend Reinvestment Plan (SPP).
The Company has the option of issuing new shares or using open market
purchases of its common stock to meet the requirements of the SPP. Under the
SPP the Company issued 1,825,120 and 1,241,056 shares, respectively, of its
common stock in 1994 and the first nine months of 1995.
On May 19, 1995, the Company sold $85 million of First Mortgage Bonds,
Series AA, through a public offering. The bonds will mature in 2000 and will
require interest payments due on May 1 and November 1 at the annual rate of
7.06%. Net proceeds from the sale of the bonds were used to repay
approximately $70.0 million of indebtedness under the Company's bank revolving
credit facility, which was incurred for the purposes of repaying the Company's
$50,000,000 First Mortgage Bonds, 6.92% Series U due 1995 and funding the
Company's construction program. The remaining net proceeds of the series AA
7
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First Mortgage Bonds will be used in connection with the Company's
construction program and for general corporate purposes.
On September 11, 1995, the PSC gave the Company authorization to issue
an additional 4 million shares of common stock under the SPP.
On September 11, 1995, the Company's application with the PSC for
authorization to finance certain construction projects with up to $76.75
million of IDBs was approved. On October 12, 1995, Clark County, Nevada issued
$76.75 million floating rate 35-year IDBs (Nevada Power Company Project)
Series 1995A. Net proceeds from the sale of the IDBs were placed on deposit
with a trustee and will be used to finance the construction of certain
facilities which qualify for tax-exempt financing. On September 1, 1995, the
$14 million 6 3/8% Pollution Control Revenue Bonds (PCRBs) due 2004 were
redeemed in anticipation of the issuance on October 12, 1995, of Pollution
Control Refunding Revenue Bonds (PCRRBs) Series 1995D which are referred to
below. On October 12, 1995, Clark County, Nevada issued variable rate
refunding revenue bonds (Nevada Power Company Project) consisting of $85
million Series 1995B and $44 million Series 1995C Industrial Development
Refunding Revenue Bonds (IDRRBs) due 2030 and $20.3 million Series 1995D
PCRRBs with $14 million due 2011 and $6.3 million due 2023. In addition, on
October 12, 1995, Coconino County, Arizona issued $13 million Series 1995E
floating rate PCRRBs due 2022. Net proceeds from the sale of the Series 1995B
IDRRBs were used for the redemption on November 1, 1995, of the variable rate
IDBs due 2018 for $25 million and due 2019 for $60 million. Net proceeds from
the sale of the Series 1995C IDRRBs, $6.3 million of the Series 1995D PCRRBs
and the Series 1995E PCRRBs are on deposit with a trustee to be used for the
redemption of the $44 million floating rate IDBs due 2015, the $6.3 million 6
3/4% Series O FMBs due 2007 and related PCRBs, and the $13 million 7 1/8%
Series N FMBs due 2006 and related PCRBs expected to be on December 1, 1995,
November 28, 1995 and November 15, 1995, respectively.
On July 17, 1995, the Company filed a request with the PSC to decrease
energy rates by approximately $20 million under the state's deferred energy
accounting procedures. On September 28, 1995, the PSC approved the rate
decrease which took effect October 1, 1995. Residential rates were reduced by
$2 million, small and medium commercial customers' rates were reduced by $2
million and larger customers received the remaining $16 million. The new
energy rates more closely reflect the cost of providing service to each of the
customer classes. The PSC also approved a plan which could provide for
additional reductions in December 1995 based on lower fuel and purchased power
costs this past summer. Hearings will be conducted in November on related
fuel and purchased power issues.
8
<PAGE>
OPERATING RESULTS OF FIRST NINE MONTHS OF 1995
COMPARED TO FIRST NINE MONTHS OF 1994
Earnings per average common share were $1.48 for the first nine months
of 1995, compared to $1.78 for the same period in 1994. The decrease in
earnings was due primarily to milder weather in 1995 and the $4.2 million, net
of tax, reflected in other income for the settlement of the replacement power
case from the 1985 Mohave Generating Station accident recorded in the second
quarter of 1994. Although the average number of customers increased 5.8
percent, kilowatthour sales, excluding sales for resale, were up only .8
percent, as compared to the first nine months of 1994 due to milder weather in
1995.
Fuel expense decreased by $4.3 million due to reduced average fuel
rates. Purchased power decreased $22.9 million due to reduced power
purchases. Depreciation expense increased $3.1 million because of a growing
asset base. Other income miscellaneous, net decreased $4.0 million mainly due
to the second quarter 1994 recording of the $4.2 million, net of tax,
settlement of the replacement power case from the 1985 Mohave Generating
Station accident.
Average common shares increased because of the sale of additional common
shares through a public offering in November 1994 and the SPP to partially
provide funds for the construction of facilities necessary to meet increased
customer demand for electricity.
OPERATING RESULTS OF THIRD QUARTER OF 1995
COMPARED TO THIRD QUARTER OF 1994
Earnings per average common share were $1.12 for the third quarter of
1995, compared to $1.16 for the same period in 1994. The decrease in earnings
per average common share was because average common shares increased from the
sale of additional common shares through a public offering in November 1994
and the SPP to partially provide funds for the construction of facilities
necessary to meet increased customer demand for electricity. However,
earnings available for common stock increased due to higher revenues. The
average number of customers increased 5.8 percent and kilowatthour sales,
excluding sales for resale, were up 4.5 percent, as compared to the third
quarter of 1994. Revenues were higher due to the increased number of
customers as well as warmer weather in the third quarter of 1995.
Fuel expense decreased by $1.5 million due to lower average fuel rates.
Purchased power decreased $6.0 million due to reduced power purchases.
Depreciation expense increased $1.1 million because of a growing asset base.
9
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PART II. OTHER INFORMATION
Items 1 through 5. None.
Item 6. Exhibits and Reports on Form 8-K.
a. Exhibits.
Exhibits Filed Description
-------------- -----------
27 Financial Data Schedule
b. Reports on Form 8-K.
None.
Signatures
----------
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.
Nevada Power Company
--------------------
(Registrant)
STEVEN W. RIGAZIO
---------------------------------------
(Signature)
Date: November 3, 1995 Steven W. Rigazio
----------------
Vice President, Finance and Planning,
Treasurer, Chief Financial Officer
10
<TABLE> <S> <C>
<ARTICLE> UT
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE BALANCE
SHEET OF NEVADA POWER COMPANY AS OF SEPTEMBER 30, 1995, AND THE RELATED
STATEMENTS OF INCOME AND CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1995
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> DEC-31-1995
<PERIOD-END> SEP-30-1995
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> $1,661,424
<OTHER-PROPERTY-AND-INVEST> 10,008
<TOTAL-CURRENT-ASSETS> 213,011
<TOTAL-DEFERRED-CHARGES> 151,105
<OTHER-ASSETS> 0
<TOTAL-ASSETS> 2,035,548
<COMMON> 49,886
<CAPITAL-SURPLUS-PAID-IN> 588,053
<RETAINED-EARNINGS> 132,589
<TOTAL-COMMON-STOCKHOLDERS-EQ> 770,528
38,000
3,864
<LONG-TERM-DEBT-NET> 690,080
<SHORT-TERM-NOTES> 14,000
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 700
200
<CAPITAL-LEASE-OBLIGATIONS> 96,379
<LEASES-CURRENT> 5,294
<OTHER-ITEMS-CAPITAL-AND-LIAB> 416,503
<TOT-CAPITALIZATION-AND-LIAB> 2,035,548
<GROSS-OPERATING-REVENUE> 598,667
<INCOME-TAX-EXPENSE> 35,654
<OTHER-OPERATING-EXPENSES> 463,349
<TOTAL-OPERATING-EXPENSES> 499,003
<OPERATING-INCOME-LOSS> 99,664
<OTHER-INCOME-NET> 5,446
<INCOME-BEFORE-INTEREST-EXPEN> 105,110
<TOTAL-INTEREST-EXPENSE> 34,087
<NET-INCOME> 71,023
2,975
<EARNINGS-AVAILABLE-FOR-COMM> 68,048
<COMMON-STOCK-DIVIDENDS> 55,059
<TOTAL-INTEREST-ON-BONDS> 0<F1>
<CASH-FLOW-OPERATIONS> 157,275
<EPS-PRIMARY> 1.48
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<FN>
<F1>INAPPLICABLE.
</FN>
</TABLE>
