<PAGE> 1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1995
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ...............to ..............
Commission file number 0-82
NORTH CAROLINA NATURAL GAS CORPORATION
--------------------------------------
(Exact name of registrant as specified in its charter)
DELAWARE 56-0646235
----------------- ----------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
150 Rowan Street, Fayetteville, North Carolina 28301-4993
----------------------------------------------------------
(Address of principal executive offices)
(Zip Code)
(910) 483-0315
---------------
(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 [ ]
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
Common Stock, $2.50 par value 6,450,963
----------------------------- -------------------
Class Number of Shares
<PAGE> 2
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets (Unaudited)
(in thousands)
ASSETS
June 30, September 30,
1995 1994
-------- ------------
Gas Utility Plant $261,987 $243,877
Less-Accumulated Depreciation and Amortization (84,635) (79,034)
------- -------
Utility Plant, net 177,352 164,843
------- -------
Nonutility Property 5,563 5,285
Less-Accumulated Depreciation (2,512) (2,417)
------- -------
Nonutility Plant, net 3,051 2,868
------- -------
Current Assets:
Cash 708 158
Restricted Temporary Cash Investments 4,581 9,282
Accounts Receivable, Less Reserve 13,164 11,795
Recoverable Purchased Gas Costs - 1,505
Inventories, at Average Cost -
Gas in Storage 4,962 8,091
Materials, Supplies & Merchandise 3,772 4,049
Deferred Gas Cost-Unbilled Volumes 578 473
Other Current Assets 373 387
------- -------
Total Current Assets 28,138 35,740
------- -------
Investment in Exploration Ventures 88 90
Deferred Charges and Other Assets 2,082 1,546
------- -------
Total Assets $210,711 $205,087
======= =======
(The accompanying notes are an integral part of these balance sheets.)
<PAGE> 3
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets (Unaudited)
(in thousands)
CAPITALIZATION AND LIABILITIES
June 30, September 30,
1995 1994
-------- -------------
Capitalization:
Stockholders' Investment:
Common Stock, Par Value $2.50;
Shares Outstanding 06/30/95, 6,451;
09/30/94, 6,367 $16,127 $15,916
Capital in Excess of Par Value 27,031 25,499
Retained Earnings 50,609 44,984
------- -------
Total Stockholders' Investment 93,767 86,399
------- -------
Long-Term Debt 35,000 37,000
------- -------
Total Capitalization 128,767 123,399
------- -------
Current Liabilities:
Current Maturities of Long-Term Debt 2,000 2,000
Notes Payable 19,000 26,000
Accounts Payable 15,102 9,675
Restricted Supplier Refunds 4,581 9,282
Refunds Payable to Customers 3,858 -
Taxes Payable 3,377 1,685
Other Current Liabilities 5,138 5,990
------- -------
Total Current Liabilities 53,056 54,632
------- -------
Other Credits:
Deferred Income Taxes 19,766 18,279
Unamortized Investment Tax Credits 2,970 3,122
Regulatory Liability Related to Income Taxes 3,716 3,923
Postretirement Benefit Liability (FAS 106) 1,189 634
Other 1,247 1,098
------- -------
Total Other Credits 28,888 27,056
------- -------
Total Capitalization and Liabilities $210,711 $205,087
======= =======
(The accompanying notes are an integral part of these balance sheets.)
<PAGE> 4
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Income (Unaudited)
For the Three Months Ended June 30, 1995 and 1994
(in thousands except per share amounts)
1995 1994
------- -------
Operating Revenues $34,271 $29,523
Cost of Gas 23,358 20,259
------ ------
Gross Margin 10,913 9,264
------ ------
Operating Expenses and Taxes:
Operations and Maintenance 5,293 4,594
Depreciation 2,039 1,860
General Taxes 1,749 1,571
Income Taxes 308 90
------ ------
Total Operating Expenses and Taxes 9,389 8,115
------ ------
Operating Income 1,524 1,149
Other Income (Loss), Net (79) (20)
Utility Interest Charges 1,006 1,001
------ ------
Net Income $439 $128
====== ======
Average Common Shares Outstanding 6,418 6,341
====== ======
Earnings Per Share $0.07 $0.02
====== ======
Dividends Declared Per Share $0.305 $0.29
====== ======
(The accompanying notes are an integral part of these statements.)
<PAGE> 5
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Income (Unaudited)
For the Nine Months Ended June 30, 1995 and 1994
(in thousands except per share amounts)
1995 1994
---- ----
Operating Revenues $121,199 $134,220
Cost of Gas 74,019 88,740
------- -------
Gross Margin 47,180 45,480
------- -------
Operating Expenses and Taxes:
Operations and Maintenance 15,642 14,393
Depreciation 5,971 5,487
General Taxes 5,715 6,137
Income Taxes 6,203 6,207
------- -------
Total Operating Expenses and Taxes 33,531 32,224
------- -------
Operating Income 13,649 13,256
Other Income, Net 1,015 930
Utility Interest Charges 3,287 3,064
------- -------
Net Income $11,377 $11,122
======= =======
Average Common Shares Outstanding 6,394 6,323
======= =======
Earnings Per Share $1.78 $1.76
======= =======
Dividends Declared Per Share $0.90 $0.85
======= =======
(The accompanying notes are an integral part of these statements.)
<PAGE> 6
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Income (Unaudited)
For the Twelve Months Ended June 30, 1995 and 1994
(in thousands except per share amounts)
1995 1994
---- ----
Operating Revenues $147,316 $163,415
Cost of Gas 90,519 108,063
------- -------
Gross Margin 56,797 55,352
------- -------
Operating Expenses and Taxes:
Operations and Maintenance 20,726 18,927
Depreciation 7,858 7,253
General Taxes 7,102 7,606
Income Taxes 6,314 6,555
------- -------
Total Operating Expenses and Taxes 42,000 40,341
------- -------
Operating Income 14,797 15,011
Other Income, Net 887 628
Utility Interest Charges 4,279 4,093
------- -------
Net Income $11,405 $11,546
======= =======
Average Common Shares Outstanding 6,384 6,315
======= =======
Earnings Per Share $1.79 $1.83
======= =======
Dividends Declared Per Share $1.19 $1.12
======= =======
(The accompanying notes are an integral part of these statements.)
<PAGE> 7
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows (Unaudited)
For the Nine Months Ended June 30, 1995 and 1994
(in thousands)
1995 1994
---- ----
Cash Flows From Operating Activities:
Net Income $11,377 $11,122
Adjustments to reconcile net income to net cash
provided by (used in) operating activities:
Depreciation and amortization 5,999 5,735
Change in deferred income taxes and
deferred investment tax credits, net 1,130 575
Change in other current assets and liabilities 13,457 5,126
Change in accural for FAS 106 and FAS 112 costs 722 363
Other (19) (81)
------ ------
Net cash provided by operating activities 32,666 22,840
------ ------
Cash Flows From Investing Activities:
Property additions (18,943) (16,095)
Proceeds from sale of property - 1,076
Other, net (164) (154)
------ ------
Net cash used in investing activities (19,107) (15,173)
------ ------
Cash Flows From Financing Activities:
Decrease in notes payable (7,000) (1,400)
Retirement of long-term debt (2,000) (2,000)
Cash dividends paid (5,752) (5,374)
Issuance of common stock through dividend
reinvestment and employee stock purchase plans 1,743 1,195
------ ------
Net cash used in financing activities (13,009) (7,579)
------ ------
Net increase in cash and temporary cash investments 550 88
Cash and temporary cash investments, beginning of period 158 1,592
------ ------
Cash and temporary cash investments, end of period $708 $1,680
====== ======
Interest, net of amounts capitalized $4,290 $3,933
Income taxes, net of refunds 3,367 4,622
(The accompanying notes are an integral part of these statements.)
<PAGE> 8
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
June 30, 1995
Note 1: The condensed financial statements included in this report reflect
only normal recurring adjustments which are, in the opinion of management,
necessary to a fair statement of the results for the periods shown. Because
of the seasonal nature of the Company's business, the results of operations
for the nine-month period ended June 30, 1995 are not necessarily indicative
of the results for the full year. These financial statements have been
prepared by the Company, without audit, pursuant to the rules and regulations
of the Securities and Exchange Commission. Certain information and footnote
disclosures normally included in financial statements prepared in accordance
with generally accepted accounting principles have been condensed or omitted
pursuant to such rules and regulations, although the Company believes that
the disclosures are adequate to make the information presented not misleading.
It is suggested that these condensed financial statements be read in
conjunction with the financial statements and the notes thereto included in
the Company's annual report for the fiscal year ended September 30, 1994.
Note 2: Long-Term Debt at June 30, 1995:
Amount Due
Within
Issue One Year Total
----- ---------- -------
9.21% Debentures, Series C,
due 11/15/11 $ - $25,000,000
8 3/4% Debentures, Series B,
due 06/15/01 2,000,000 12,000,000
---------- ----------
Long-Term Debt $ 2,000,000 $37,000,000
========== ==========
Note 3: During the nine months ended June 30, 1995, the Company received
additional supplier refunds of $1,762,750 from Transco and Columbia. Upon
order of the NCUC, the Company has invested all of these funds in U.S.
Treasury securities until such time as the Commission orders the funds
transferred to an Expansion Fund administered by the Commission pursuant to
legislation passed in July 1991 which encourages the expansion of Natural
Gas service into unserved areas of the State, including substantial portions
of the Company's franchised service territory. At June 30, 1995, $4,581,000
of temporary cash investments are restricted for transfer to the Expansion
<PAGE> 9
Fund which was established for the Company by Order of the NCUC dated February
8, 1993. On April 30, 1993 and October 19, 1994, respectively, the Company
transferred $3.8 million and $6.6 million to the Expansion Fund administered
by the Commission pursuant to the Order. At June 30, 1995, a total of $11.3
million is in the Expansion Fund and is available to the Company only upon
application to the NCUC for an expansion project approved by the NCUC.
<PAGE> 10
Item 2.
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(1) Material Changes in Financial Condition
Current cash requirements are financed primarily through internally
generated cash, the issuance of new common stock through dividend
reinvestment and employee stock purchase plans and committed bank lines
of credit totaling $40 million plus the cost of gas in storage. At June
30, 1995, loans totaling $19 million were outstanding under the lines of
credit compared to $26 million outstanding at September 30, 1994.
Construction spending was $18.9 million for the nine months ended June 30,
1995, compared to $16.0 million for the same period in 1994. Construction
expenditures for the remainder of the fiscal year 1995 are projected at $6
million. Management believes that the Company's lines of credit and cash
provided from operating activities will be sufficient to satisfy the
Company's anticipated short-term cash requirements during the remainder of
fiscal year 1995. However, the Company plans to issue $30 million of
long-term debt in November 1995 to reduce the amount of short-term debt
then outstanding and to provide funds for the fiscal year 1996 construction
program.
Net cash provided by operating activities increased $9,826,000 for the
nine months ended June 30, 1995, as compared to the same period last year.
This increase was primarily due to an increase in refunds payable to
customers caused by the actual cost of gas being lower than the cost of gas
underlying the Company's sales rates as gas prices have declined
significantly during the late winter and spring of 1995. The Company is
required to accrue the difference and refund such overcollections to
customers through rate decrements or direct refunds.
Net cash used in financing activities decreased $5,430,000 for the nine
months ended June 30, 1995, as compared to the same period last year. The
primary reasons for this decrease were (1) a reduction in short-term
borrowing, and (2) an increase in dividends paid to stockholders, offset
somewhat by the exercise of stock options by certain officers.
(2) Material Changes in Results of Operations
Three significant factors had a favorable impact on results of
operations for the quarter ended June 30, 1995, compared to the same quarter
a year earlier. These factors were (1) a continuation of the low commodity
prices of natural gas; (2) a 5.7% increase in the customer base; and (3) a
large industrial customer using natural gas to generate electricity added
another turbine generator which increased its average daily load by almost
5,000 dekatherms (dt) per day. The continued low commodity gas prices,
coupled with oil prices that were generally higher than last year's prices,
enabled the Company to increase its market share in the price sensitive,
dual-fueled industrial market. Natural gas commodity prices were, on
average, 17% less during the 1995 quarter compared to prices in effect
during the 1994 quarter.
<PAGE> 11
Because of these favorable market conditions and continued strong
growth, the Company's gross margin increased $1.65 million, operating
income increased $375,000 and net income increased $311,000 in the quarter
ended June 30, 1995, compared to the 1994 quarter.
Net income increased by only $255,000 in the nine month period ended
June 30, 1995, and it decreased by $141,000 in the twelve month period
compared to the same periods last year. While these periods also benefited
from the same factors affecting the quarter, the results of operations for
nine months and twelve months were unfavorably affected by a significant
decline in volumes of gas delivered to another large customer (a municipal
electric utility). That load loss is the primary reason why the gross margin
increase for the twelve month period ended June 30, 1995, was only $1,445,000
compared to increases in gross margin of $1,649,000 and $1,700,000,
respectively, for the three month and nine month periods.
Throughput volumes for all three periods were higher than the same
periods in the prior year. Even though winter weather was 22% warmer than
normal and 17% warmer than 1994, overall throughput volumes increased
because of (1) customer growth in excess of 5% for all periods; (2) the
lower commodity gas prices which increased demand from the industrial
market sector; (3) the increase in volumes beginning in April 1995 to one
large industrial customer; and (4) more deliveries to interruptible
customers during periods of warm weather during the winter essentially
replaced the volumes that normally would have gone to the residential and
commercial customers for space heating requirements if the weather had been
colder. (The Company's Weather Normalization Adjustment factor in its rates
largely offsets the margin impact of winter weather that is warmer or
colder than normal.)
The chart on the following page compares the Company's throughput
volumes in thousands of dekatherms (Mdt) by market segment for the three
month, nine month and twelve month periods:
<PAGE> 12
THROUGHPUT VOLUMES (Mdt) BY MARKET SEGMENT
3 Months 9 Months 12 Months
------------ ------------- -------------
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
Core Market
(Non-IST) 7,628 6,522 27,958 27,468 33,810 33,935
IST Customers
(those with #6
oil as alternative
fuel) 4,531 3,669 11,605 9,677 15,609 13,325
------ ------ ------ ------ ------ ------
Total 12,159 10,191 39,563 37,145 49,419 47,260
====== ====== ====== ====== ====== ======
Core market volume increases, caused by customer growth and increased
demand, for the three month and nine month periods resulted in additional
margin for the Company. Changes in IST volumes have no impact on the
Company's realized margin as the IST ratemaking mechanism stabilizes the
Company's margin from IST customers at the level approved in the Company's
last general rate case.
The following table shows the throughput in terms of sales and
transportation volumes:
THROUGHPUT VOLUMES (Mdt) BY TYPE OF SERVICE
3 Months 9 Months 12 Months
------------- -------------- -------------
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
Sales 9,255 6,265 30,386 28,316 35,560 33,929
Transportation 2,904 3,926 9,177 8,829 13,859 13,331
------ ------ ------ ------ ------ ------
Total 12,159 10,191 39,563 37,145 49,419 47,260
====== ====== ====== ====== ====== ======
The Company earns the same profit margin on transportation of
customer-owned gas as it earns from sales transactions to those customers.
However, changes in the mix of transportation and sales volumes can have
significant impacts on operating revenues and cost of gas, because the
commodity cost of gas associated with transportation volumes is paid by
the customer directly to the customer's supplier and is, therefore, not
incurred nor billed by the Company.
<PAGE> 13
Operating revenues increased $4,748,000 and cost of gas increased
$3,099,000 for the quarter ended June 30, 1995, compared to the quarter
ended June 30, 1994. Because of the much lower commodity gas prices that
were in effect in mid-winter 1995, the Company filed an application, which
the NCUC approved, to lower its sales rates significantly as of March 1,
1995. Not only did the rate decrease improve the Company's competitive
position in all market segments, it also resulted in several transportation
customers shifting back to sales service beginning in March and continuing
through June 30, 1995. Accordingly, transportation volumes decreased
1,022,000 dt in the quarter while sales volumes increased 2,990,000 dt. The
additional purchases required for system supply caused gas costs to increase
approximately $5.3 million during the quarter. However, as average commodity
prices were down 17% in the 1995 quarter compared to the 1994 quarter, gas
costs declined approximately $2.8 million due to the lower prices for a
net increase in commodity gas costs of $2.5 million. The remaining $600,000
increase in gas costs during the quarter was due primarily to the fact that
capacity release credits were less in 1995 than 1994. So, operating
revenues for the quarter ended June 30, 1995 increased (1) $3.2 million due
to the net increase in gas costs and (2) $1.6 million in margin increases for
reasons already mentioned, including a 5.7% increase in the customer
base and a 5,000 dt per day increase in deliveries to one large industrial
customer.
Operating revenues decreased $13,021,000 and cost of gas decreased
$14,721,000 for the nine months ended June 30, 1995, compared to the nine
months ended June 30, 1994. The primary reason for these decreases was a 37%
decrease in the average commodity cost of gas in the 1995 period compared
to the 1994 period. Partially offsetting the price decrease were increases
in gas purchased for system sales and additional revenues (i.e., margin)
from the higher throughput volumes and growth in the customer base.
Decreases in operating revenues and cost of gas for the twelve months
ended June 30, 1995, compared to the twelve months ended June 30, 1994,
were $16,099,000 and $17,544,000, respectively. As with the nine month
period, the primary factor causing these decreases was lower commodity gas
prices - an average of 34% over the twelve months. However, margin growth
was adversely affected by the loss of load primarily during July -
September, 1994, to the municipal electric utility.
Operations and maintenance expenses increased $699,000, $1,249,000
and $1,799,000, respectively, for the three, nine and twelve month periods
compared to the same periods last year. Affecting all periods were
increases in employee compensation due to wage and salary rate increases
and a net increase of three employees associated with the addition of
nearly 7,000 customers from June 30, 1994 to June 30, 1995; related
increases in employee benefits, especially post-retirement benefits
and post-employment benefits brought about by the adoption of FAS 106 and
FAS 112, respectively; and increased maintenance expenses on the pipeline
rights-of-way due to the expansion of the Company's transmission pipeline
<PAGE> 14
system and the increasing age of the original pipeline. Partially
offsetting the increased expenses for the nine month and twelve month
periods were lower operating expenses - particularly compressor fuel
and electricity for the LNG plant - associated with winter weather that
was 17% warmer than the prior year.
Depreciation expense increased in all periods as compared to the
same periods last year due to the addition of utility plant in service,
primarily transmission and distribution plant, related to system expansion
and customer growth.
General taxes increased in the three month period while decreasing
in the nine and twelve month periods as compared to the same periods last
year. The primary tax in this category is the state gross receipts tax
which is based on revenues and, therefore, it tracks the change in revenues.
Income taxes increased $218,000 for the quarter as compared to the
same period last year. This increase was caused by an increase in
operating income.
Utility interest charges increased $5,000, $223,000, and $186,000,
respectively, for the three, nine and twelve months ended June 30, 1995
as compared to the same periods last year. All periods were affected by
an increase in short-term bank loans and higher interest rates on short-term
borrowing partially offset by increased allowance for funds used during
construction (AFUDC) due to more construction work in progress for system
strengthening and expansion projects, and decreases in interest on long-term
debt due to sinking fund payments. Affecting the nine and twelve month
periods was an increase in net refunds payable to customers (which carry
a NCUC-mandated 10% interest rate) compared to the same periods last year.
<PAGE> 15
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
None.
Item 2. Changes in the Rights of the Company's Security Holders
None.
Item 3. Default Upon Senior Securities
None.
Item 4. Submission of Matters to a Vote of Security Holders
None.
Item 5. Other Information
On May 2, 1995, the Company filed for approval of a general rate
increase that would generate additional revenues to the Company of
approximately $4.6 million per year. The hearings on this request have
been scheduled to be held in October. The new rates, if approved, will
become effective early in the 1995-1996 winter period.
In 1991, the North Carolina Department of Environment, Health and
Natural Resources advised the Company of a possible environmental
contamination arising from the site of a former manufactured gas facility
in Kinston, North Carolina. The Company retained an environmental services
consulting firm which has estimated the costs of investigation and
remediation based on its work to date to be between $1.4 million and $2.8
million over a four-to-six year period. The Company believes that any
appreciable costs not previously provided for will be recovered from third
parties, including liability insurance carriers, or in natural gas rates.
<PAGE> 16
The Company also owns another site of a former manufactured
gas plant in New Bern, North Carolina, and was a previous owner of three
small former manufactured gas plant sites on which no significant problems
have arisen.
The Company does not anticipate that any environmental contamination
will have any adverse impact on the Company's financial position, results of
operation and net cash flows.
Item 6. Exhibits and Reports on Form 8-k
(a) Exhibits
27 Financial Data Schedule
(b) Reports on Form 8-K
None.
<PAGE> 17
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.
North Carolina Natural Gas Corporation
--------------------------------------
(Registrant)
Date: August 14, 1995 /s/ Gerald A. Teele
------------------------------------
Gerald A. Teele
Senior Vice President, Treasurer and
Chief Financial Officer
(Principal Financial Officer)
Date: August 14, 1995 /s/ Charles W. Siska, Jr.
------------------------------------
Charles W. Siska, Jr.
Controller
(Principal Accounting Officer)
<PAGE> 18
NORTH CAROLINA NATURAL GAS CORPORATION AND SUBSIDIARIES
INDEX OF EXHIBITS
The following exhibit is filed as part of this Form 10-Q for the
period ended June 30, 1995.
Exhibit
Number
-------
27 - Financial Data Schedule
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<ARTICLE> UT
<CIK> 0000072596
<NAME> NORTH CAROLINA NATURAL GAS CORPORATION
<MULTIPLIER> 1000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> SEP-30-1995
<PERIOD-END> JUN-30-1995
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> 177352
<OTHER-PROPERTY-AND-INVEST> 3051
<TOTAL-CURRENT-ASSETS> 28138
<TOTAL-DEFERRED-CHARGES> 2170
<OTHER-ASSETS> 0
<TOTAL-ASSETS> 210711
<COMMON> 16127
<CAPITAL-SURPLUS-PAID-IN> 27031
<RETAINED-EARNINGS> 50609
<TOTAL-COMMON-STOCKHOLDERS-EQ> 93767
0
0
<LONG-TERM-DEBT-NET> 35000
<SHORT-TERM-NOTES> 19000
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 2000
0
<CAPITAL-LEASE-OBLIGATIONS> 0
<LEASES-CURRENT> 0
<OTHER-ITEMS-CAPITAL-AND-LIAB> 60944
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<GROSS-OPERATING-REVENUE> 121199
<INCOME-TAX-EXPENSE> 6203
<OTHER-OPERATING-EXPENSES> 101347
<TOTAL-OPERATING-EXPENSES> 107550
<OPERATING-INCOME-LOSS> 13649
<OTHER-INCOME-NET> 1015
<INCOME-BEFORE-INTEREST-EXPEN> 14664
<TOTAL-INTEREST-EXPENSE> 3287
<NET-INCOME> 11377
0
<EARNINGS-AVAILABLE-FOR-COMM> 11377
<COMMON-STOCK-DIVIDENDS> 5752
<TOTAL-INTEREST-ON-BONDS> 0
<CASH-FLOW-OPERATIONS> 32666
<EPS-PRIMARY> 1.78
<EPS-DILUTED> 1.78
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