<PAGE><TABLE>
NATIONAL GRID USA SERVICE COMPANY
At September 30, 2000
(In Millions, Rounded to Hundred Thousands of Dollars)
BALANCE SHEET
<CAPTION>
Account Assets and Other Debits As of
September 30
<S> <C> <C>
SERVICE COMPANY PROPERTY
101 Service company property $ 20.8
107 Construction work in progress
------
Total Property 20.8
------
108 Less accumulated provision for depreciation
and amortization of service
company property 4.0
------
Net Service Company Property 16.8
------
INVESTMENTS
123 Investments in associate companies
124 &
128 Other Investments 96.2
------
Total Investments 96.2
------
CURRENT AND ACCRUED ASSETS
131 Cash .9
134 Special deposits .6
135 Working funds
136 Temporary cash investments 60.0
141 Notes receivable from associate companies
(Money Pool)
143 Accounts receivable
144 Accumulated provision of uncollectible accounts
146 Accounts receivable from associate companies 18.8
152 Fuel stock expenses undistributed
154 Materials and supplies
163 Stores expense undistributed
165 Prepayments 9.0
174 Miscellaneous current and accrued assets
------
Total Current and Accrued Assets 89.3
------
DEFERRED DEBITS
181 Unamortized debt expense
184 Clearing accounts
186 Miscellaneous deferred debits 54.5
188 Research, development, or demonstration
expenditures
190 Accumulated deferred income taxes 17.0
------
Total Deferred Debits 71.5
------
TOTAL ASSETS AND OTHER DEBITS $273.8
======
</TABLE>
<PAGE><TABLE>
NATIONAL GRID USA SERVICE COMPANY
At September 30, 2000
(In Millions, Rounded to Hundred Thousands of Dollars)
BALANCE SHEET
<CAPTION>
Account Liabilities and Proprietary Capital As of
September 30
<S> <C> <C>
PROPRIETARY CAPITAL
201 Common stock issued
211 Miscellaneous paid-in-capital $ 28.2
215 Appropriated retained earnings
216 Unappropriated retained earnings 3.1
------
Total Proprietary Capital 31.3
------
LONG-TERM DEBT
223 Advances from associate companies
224 Other long-term debt
225 Unamortized premium on long-term debt
226 Unamortized discount on long-term debt - debit
------
Total Long-Term Debt
------
CURRENT AND ACCRUED LIABILITIES
231 Notes payable
232 Accounts payable 10.0
233 Notes payable to associate companies
234 Accounts payable to associate companies 1.3
236 Taxes accrued
237 Interest accrued
238 Dividends declared
241 Tax collections payable .2
242 Miscellaneous current and accrued
liabilities 10.1
------
Total Current and Accrued Liabilities 21.6
------
DEFERRED CREDITS
253 Other deferred credits 220.9
255 Accumulated deferred investment tax credits
------
Total Deferred Credits 220.9
------
282 ACCUMULATED DEFERRED INCOME TAXES
------
TOTAL LIABILITIES AND PROPRIETARY CAPITAL $273.8
======
</TABLE>
