Form U-13-60
Mutual and Subsidiary Service Companies
Revised February 7, 1980
ANNUAL REPORT
FOR THE PERIOD
Beginning January 1, 1999 and Ending December 31, 1999
TO THE
US SECURITIES AND EXCHANGE COMMISSION
OF
UNITIL SERVICE CORP.
A Subsidiary Service Company
Date of Incorporation October 9, 1984
State of Incorporation New Hampshire
Location of Principal Executive Offices of Reporting Company:
6 Liberty Lane West
Hampton, New Hampshire 03842-1720
Name, Title and address of officer to whom correspondence concerning this
report should be addressed:
Anthony J. Baratta., Sr. Vice President and Chief Financial Officer
6 Liberty Lane West
Hampton, New Hampshire 03842-1720
Name of Principal Holding Company Whose Subsidaries are served by Reporting
Company:
UNITIL Corporation
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
LISTING OF SCHEDULES AND ANALYSIS OF ACCOUNTS
Description of Schedules and Accounts Schedule or Account Page
Number Number
COMPARATIVE BALANCE SHEET Schedule I 4-5
SERVICE COMPANY PROPERTY Schedule II 6-7
ACCUMULATED PROVISION FOR DEPRECIATION
AND AMORTIZATION OF SERVICE COMPANY PROPERTY Schedule III 8
INVESTMENTS Schedule IV 9
ACCOUNTS RECEIVABLE FROM ASSOCIATE
COMPANIES Schedule V 10
FUEL STOCK EXPENSES UNDISTRIBUTED Schedule VI 11
STORES EXPENSE UNDISTRIBUTED Schedule VII 12
MISCELLANEOUS CURRENT AND ACCRUED ASSETS Schedule VIII 13
MISCELLANEOUS DEFERRED DEBITS Schedule IX 14
RESEARCH, DEVELOPMENT, OR DEMONSTRATION
EXPENDITURES Schedule X 15
PROPRIETARY CAPITAL Schedule XI 16
LONG-TERM DEBT Schedule XII 17
CURRENT AND ACCRUED LIABILITIES Schedule XIII 18
NOTES TO FINANCIAL STATEMENTS Schedule XIV 19
COMPARATIVE INCOME STATEMENT Schedule XV 20
ANALYSIS OF BILLING - ASSOCIATE COMPANIES Account 457 21
ANALYSIS OF BILLING - NONASSOCIATE COMPANIES Account 458 22
ANALYSIS OF CHARGES FOR SERVICE - ASSOCIATE
AND NONASSOCIATE COMPANIES Schedule XVI 23
SCHEDULE OF EXPENSE BY DEPARTMENT OR
SERVICE FUNCTION Schedule XVII 24-25
DEPARTMENTAL ANALYSIS OF SALARIES Account 920 26
OUTSIDE SERVICES EMPLOYED Account 923 27
EMPLOYEE PENSIONS AND BENEFITS Account 926 28
GENERAL ADVERTISING EXPENSES Account 930.1 29
MISCELLANEOUS GENERAL EXPENSES Account 930.2 30
RENTS Account 931 31
TAXES OTHER THAN INCOME TAXES Account 408 32
DONATIONS Account 426.1 33
OTHER DEDUCTIONS Account 426.5 34
NOTES TO STATEMENT OF INCOME Schedule XVIII 35
FINANCIAL DATA SCHEDULE Schedule XIX 36
ORGANIZATION CHART 37
METHODS OF ALLOCATION 38
ANNUAL STATEMENT OF COMPENSATION FOR USE 39
OF CAPITAL BILLED
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE I - COMPARATIVE BALANCE SHEET
Give balance sheet of the Company as of December 31 of the current and prior
year.
ACCOUNT ASSETS AND OTHER DEBITS AS OF DECEMBER 31
CURRENT PRIOR
SERVICE COMPANY PROPERTY
101 Service company property (Schedule II) 5,923,878 5,371,304
107 Construction work in progress (Schedule II) 0 0
Total Property 5,923,878 5,371,304
108 Less accumulated provision for depreciation
and amortization of service company
property (Schedule III) 3,518,140 2,670,176
Net Service Company Property 2,405,738 2,701,128
INVESTMENTS
123 Investments in associate companies (Schedule IV) 0 0
124 Other investments (Schedule IV) 0 0
Total investments 0 0
CURRENT AND ACCRUED ASSETS
131 Cash 562,111 537,413
134 Special deposits 0 0
135 Working funds 6,000 6,000
136 Temporary cash investments (Schedule IV) 0 0
141 Notes receivable 0 0
143 Accounts receivable 45,042 221,825
144 Accumulated provision for uncollectable
accounts 0 0
146 Accounts receivable from associate
companies (Schedule V) 1,991,847 1,656,544
152 Fuel stock expense undistributed (Schedule VI) 0 0
154 Materials and supplies 0 0
163 Stores expense undistributed (Schedule VII) 0 0
165 Prepayments 75,976 66,259
174 Miscellaneous current and accrued
assets (Schedule VIII) 0 0
Total Current and Accrued Assets 2,680,976 2,488,041
DEFERRED DEBITS
181 Unamortized debt expense 0 0
184 Clearing accounts 70,976 6,788
186 Miscellaneous deferred debits (Schedule IX) 1,605,254 1,636,028
188 Research, development, or demonstration
expenditures (Schedule X) 0 0
190 Accumulated deferred income tax 0 0
Total Deferred Debits 1,676,230 1,642,816
TOTAL ASSETS AND OTHER DEBITS 6,762,944 6,831,985
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE I - COMPARATIVE BALANCE SHEET
ACCOUNT LIABILITIES AND PROPRIETARY CAPITAL AS OF DECEMBER 31
CURRENT PRIOR
PROPRIETARY CAPITAL
201 Common stock issued (Schedule XI) 1,000 1,000
211 Miscellaneous paid-in-capital (Schedule XI) 0 0
215 Appropriated retained earnings (Schedule XI) 0 0
216 Unappropriated retained earnings (Schedule XI) 1,688 1,688
Total Proprietary Capital 2,688 2,688
LONG-TERM DEBT
223 Advances from associate companies (Schedule XII) 0 0
224 Other long-term debt (Schedule XII) 0 0
225 Unamortized premium on long- term debt 0 0
226 Unamortized discount on long-term debt-debit 0 0
Total Long-Term Debt 0 0
227 Obligations under capital leases - non-current 1,696,254 1,942,147
CURRENT AND ACCRUED LIABILITIES
231 Notes payable 0 0
232 Accounts payable 488,558 636,931
233 Notes payable to associate
companies (Schedule XIII) 1,915,347 2,424,099
234 Accounts payable to associate
companies (Schedule XIII) (81,926) 425,804
236 Taxes accrued 65,288 (144,013)
237 Interest accrued 73,524 48,826
238 Dividends declared 0 0
241 Tax collections payable 0 0
242 Miscellaneous current and accrued
liabilities (Schedule XIII) 2,505,121 1,539,132
243 Obligations under capital leases - current 723,415 754,544
Total Current and Accrued Liabilities 5,689,327 5,685,323
DEFERRED CREDITS
253 Other deferred credits 0 0
255 Accumulated deferred investment tax credits 0 0
Total Deferred Credits 0 0
282 ACCUMULATED DEFERRED INCOME TAXES (625,325) (798,173)
TOTAL LIABILITIES AND PROPRIETARY CAPITAL 6,762,944 6,831,985
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE II - SERVICE COMPANY PROPERTY
BALANCE AT RETIREMENTS OTHER BALANCE
BEGINNING ADDITIONS OR CHANGES 1/ AT CLOSE
DESCRIPTION OF YEAR SALES OF YEAR
SERVICE COMPANY PROPERTY
Account
301 ORGANIZATION
303 MISCELLANEOUS
INTANGIBLE PLANT
304 LAND AND LAND RIGHTS `
305 STRUCTURES AND
IMPROVEMENTS
306 LEASEHOLD
IMPROVEMENTS
307 EQUIPMENT 2/ 4,273,573 495,424 0 0 4,768,997
308 OFFICE FURNITURE
AND EQUIPMENT 1,082,555 39,735 0 0 1,122,290
309 AUTOMOBile
OTHER
VEHICLES AND
RELATED GARAGE
EQUIPMENT 15,176 17,415 0 0 32,591
310 AIRCRAFT AND
AIRPORT EQUIPMENT
311 OTHER SERVICE
COMPANY
PROPERTY 3/
SUB-TOTAL 5,371,304 552,574 0 0 5,923,878
107 CONSTRUCTION
WORK IN
PROGRESS
TOTAL 5,371,304 552,574 0 0 5,923,878
1/ PROVIDE AN EXPLANATION OF THOSE CHANGES CONSIDERED MATERIAL:
NONE
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE II - CONTINUED
2/ SUBACCOUNTS ARE REQUIRED FOR EACH CLASS OF EQUIPMENT OWNED. THE SERVICE
COMPANY SHALL PROVIDE A LISTING BY SUBACCOUNT OF EQUIPMENT ADDITIONS
DURING THE YEAR AND THE BALANCE AT THE CLOSE OF THE YEAR:
BALANCE AT
SUBACCOUNT DESCRIPTION ADDITIONS CLOSE OF
YEAR
Computer Equipment 485,234 4,017,919
PBX Phone System 10,190 751,078
TOTAL 495,424 4,768,997
3/ DESCRIBE OTHER SERVICE COMPANY PROPERTY:
NONE
4/ DESCRIBE CONSTRUCTION WORK IN PROGRESS:
NONE
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE III
ACCUMULATED PROVISION FOR DEPRECIATION AND
AMORTIZATION OF SERVICE COMPANY PROPERTY
BALANCE AT ADDITIONS OTHER BALANCE
BEGINNING CHARGED CHANGES AT CLOSE
DESCRIPTION OF YEAR TO ACCOUNT RETIRE- ADD OF YEAR
403 MENTS (DEDUCT)1/
Account
301 ORGANIZATION
303 MISCELLANEOUS
INTANGIBLE PLANT
304 LAND AND LAND
RIGHTS
305 STRUCTURES AND
IMPROVEMENTS
306 LEASEHOLD
IMPROVEMENTS
307 EQUIPMENT 2,373,558 685,174 0 0 3,058,732
308 OFFICE FURNITURE
AND EQUIPMENT 296,633 157,469 0 0 454,102
309 AUTOMOBILES,
OTHER
VEHICLES AND
RELATED GARAGE
EQUIPMENT (15) 5,321 0 0 5,306
310 AIRCRAFT AND
AIRPORT EQUIPMENT
311 OTHER SERVICE
COMPANY PROPERTY
TOTAL 2,670,176 847,964 0 0 3,518,140
1/ PROVIDE AN EXPLANATION OF THOSE CHANGES CONSIDERED MATERIAL:
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE IV - INVESTMENTS
INSTRUCTIONS: Complete the following schedule concerning investments.
Under Account 124 "Other Investments" state each investment
separately, with description, including, the name of issuing
company, number of shares or principal amount
Under Account 136, "Temporary Cash Investments", list each
investment separately.
BALANCE AT BALANCE AT
DESCRIPTION BEGINNING CLOSE
OF YEAR OF YEAR
ACCOUNT 123 - INVESTMENT IN ASSOCIATED COMPANIES 0 0
ACCOUNT 124 - OTHER INVESTMENTS 0 0
ACCOUNT 136 - TEMPORARY CASH INVESTMENTS 0 0
TOTAL 0 0
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE V - ACCOUNTS RECEIVABLE FROM ASSOCIATE COMPANIES
INSTRUCTIONS: Complete the following schedule listing accounts receivable
from each associate company. Where the service company has
provided accommodation or convenience payments for associate
companies, a separate listing of total payments for each
associate company by subaccount should be provided.
BALANCE AT BALANCE AT
DESCRIPTION BEGINNING CLOSE
OF YEAR OF YEAR
ACCOUNT 146 - ACCOUNTS RECEIVABLE FROM ASSOCIATE
Companies
Concord Electric Company 270,789 295,912
Exeter & Hampton Electric Company 277,879 314,217
Fitchburg Gas and Electric Light Company 733,193 808,568
UNITIL Power Corp. 350,090 447,532
UNITIL Realty Corp. 12,712 7,252
UNITIL Corporation 5,049 0
UNITIL Resources, Inc. 6,832 118,366
TOTAL 1,656,544 1,991,847
ANALYSIS OF CONVENIENCE OR ACCOMMODATION PAYMENTS:
Concord Electric Company 72,061
Exeter & Hampton Electric Company 74,682
Fitchburg Gas and Electric Light Company 544,174
UNITIL Power Corp. 280,833
UNITIL Realty Corp. 1,931
UNITIL Resources, Inc. 22,590
UNITIL Corp. 0
For detail of convenience payments by type and company, paid
by Unitil Service Corp. see page 10A.
TOTAL PAYMENTS 996,271
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31,1998
CONVENIENCE PAYMENTS BY TYPE AND COMPANY
CECo E&H FG&E UPC
Legal 38,986 42,019 501,707 262,522
Audit 33,075 32,663 42,467 18,311
72,061 74,682 544,174 280,833
CONVENIENCE PAYMENTS BY TYPE AND COMPANY (Cont.)
URC UC URI Total
Legal 1,777 0 22,436 869,447
Audit 154 0 154 126,824
1,931 0 22,590 996,271
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE VI - FUEL STOCK EXPENSES UNDISTRIBUTED
INSTRUCTIONS: Report the amount of labor and expenses incurred with respect
to fuel stock expense during the year and indicate amount
attributable to each associate company. Under the section
headed "Summary" listed below give an overall report of the
fuel functions performed by the service company.
DESCRIPTION LABOR EXPENSE TOTAL
ACCOUNT 152 - FUEL STOCK EXPENSE UNDISTRIBUTED 0 0 0
TOTAL 0 0 0
SUMMARY:
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE VII - STORES EXPENSE UNDISTRIBUTED
INSTRUCTIONS: Report the amount of labor and expenses incurred with respect
to stores expense during the year and indicate amount
attributable to each associate company.
DESCRIPTION LABOR EXPENSE TOTAL
ACCOUNT 163 - STORES EXPENSE UNDISTRIBUTED 0 0 0
TOTAL 0 0 0
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE VIII
MISCELLANEOUS CURRENT AND ACCRUED ASSETS
INSTRUCTIONS: Provide detail of items in this account. Items less
than $10,000 may be grouped, showing the number of
items in each group.
BALANCE AT BALANCE AT
DESCRIPTION BEGINNING CLOSE
OF YEAR OF YEAR
ACCOUNT 174 - MISCELLANEOUS CURRENT AND
ACCRUED ASSETS 0 0
TOTAL 0 0
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE IX - MISCELLANEOUS DEFERRED DEBITS
INSTRUCTIONS: Provide detail of items in this account. Items less
than $10,000 may be grouped by class showing the number
of items in each class.
BALANCE AT BALANCE AT
DESCRIPTION BEGINNING CLOSE
OF YEAR OF YEAR
ACCOUNT 186 - MISCELLANEOUS DEFERRED DEBITS
Under/(over) collected administrative expenses 7,637 14,672
Postage 69,343 55,584
PC purchases 3,537 0
Software Costs 1,555,511 1,534,998
TOTAL 1,636,028 1,605,254
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE X
RESEARCH, DEVELOPMENT OR DEMONSTRATION EXPENDITURES
INSTRUCTIONS: Provide a description of each material research,
development, or demonstration project which incurred
costs by the service corporation during the year.
BALANCE AT
DESCRIPTION CLOSE
OF YEAR
ACCOUNT 188 - RESEARCH, DEVELOPMENT OR
DEMONSTRATION EXPENDITURES 0
TOTAL 0
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XI - PROPRIETARY CAPITAL
PAR OR OUTSTANDING
NUMBER OF STATED CLOSE OF PERIOD
ACCOUNT NUMBER CLASS OF SHARES VALUE NO. OF TOTAL
STOCK AUTHORIZED PER SHARE SHARES AMOUNT
201 COMMON STOCK ISSUED 300 10.00 100 1,000
INSTRUCTIONS: Classify amounts in each account with brief explanation,
disclosing the general nature of transactions which gave rise to the
reported amounts.
DESCRIPTION AMOUNT
ACCOUNT 211 - MISCELLANEOUS PAID-IN CAPITAL 0
ACCOUNT 215 - APPROPRIATED RETAINED EARNINGS 0
TOTAL 0
INSTRUCTIONS: Give particulars concerning net income or (loss) during the
year, distinguishing between compensation for the use of capital owned or
net loss remaining from servicing nonassociates per the General Instructions
of the Uniform System of Accounts. For dividends paid during the year in
cash or otherwise, provide rate percentage, amount of dividend, date declared
and date paid.
BALANCE AT NET INCOME BALANCE AT
DESCRIPTION BEGINNING OR DIVIDENDS CLOSE
OF YEAR (LOSS) PAID OF YEAR
ACCOUNT 216 -
UNAPPROPRIATED RETAINED
EARNINGS 1,688 0 0 1,688
TOTAL 1,688 0 0 1,688
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XII - LONG-TERM DEBT
INSTRUCTIONS:Advances from associate companies should be reported separately
for advances on notes, and advances on open account. Names of associate
companies from which advances were received shall be shown under the class
and series of obligation column. For Account 224 - Other long-term debt
provide the name of creditor company or organization, terms of the obligation,
date of maturity, interest rate, and the amount authorized and outstanding.
TERMS OF
OBLIG CLASS DATE BALANCE
NAME OF & SERIES OF INT. AMT. 1/ AT CLOSE
CREDITOR OF OBLIGATION MAT. RATE AUTH. ADD. DED. OF YEAR
ACCOUNT 223 - ADVANCES
FROM ASSOCIATE COMPANIES 0 0 0 0
ACCOUNT 224 - OTHER LONG-TERM DEBT: 0 0 0 0
TOTAL 0 0 0 0
1/ GIVE AN EXPLANATION OF DEDUCTIONS:
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XIII - CURRENT AND ACCRUED LIABILITIES
Provide balance of notes and accounts payable to each associate
company. Give description and amount of miscellaneous current
and accrued liabilities. Items less than $10,000 may be
grouped, showing the number of items in each group.
BALANCE AT BALANCE AT
DESCRIPTION BEGINNING CLOSE
OF YEAR OF YEAR
ACCOUNT 233 - NOTES PAYABLE TO
ASSOCIATE COMPANIES
Money Pool 2,424,099 1,915,347
TOTAL 2,424,099 1,915,347
ACCOUNT 234 - ACCOUNTS PAYABLE TO ASSOCIATE
COMPANIES
Concord Electric Company (83,469) (51,509)
Exeter & Hampton Electric Company (65,370) (46,471)
Fitchburg Gas and Electric Company (373,904) (149,073)
UNITIL Corporation (1) 1,081,034 192,214
UNITIL Power Corporation (129,106) (22,976)
UNITIL Realty Corporation (1,425) (244)
UNITIL Resources, Inc. (1,955) (3,867)
(1) Balance consists of KESOP for UNITIL
Service Employees only, not subsidaries.
TOTAL 425,804 (81,926)
ACCOUNT 242 - MISCELLANEOUS CURRENT
AND ACCRUED LIABILITIES
Accrued FASB 87 517,943 962,399
Accrued Supplemental Executive Retirement Plan 439,846 558,886
Accrued Legal Fees 973 187
Accrued Annual Report 53,100 49,836
Accrued FASB 106 87,805 110,308
Accrued FASB 106 - APBO 2,421 7,331
Accrued FASB 106 - Gain/Loss (1,649) (1,649)
Accrued Interest on Escrow 0 0
Accrued Auditing 2,700 456
Accrued Compensation 407,000 817,367
Accrued Miscellaneous Costs 28,993 0
TOTAL 1,539,132 2,505,121
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XIV
NOTES TO FINANCIAL STATEMENT
INSTRUCTIONS: The space below is provided for important notes regarding the
financial statements or any account thereof. Furnish particulars
as to any significant contingent assets or liabilities existing
at the end of the year. Notes relating to financial statements
shown elsewhere in this report may be indicated here by reference.
Selected Notes to the Financial Statements:
UNITIL Service Corp. (USC), a wholly-owned subsidiary of UNITIL Corporation,
a public utility holding company, provides centralized support services to
the parent company and its subsidiaries. USC is subject to the jurisdiction
of the Securities and Exchange Commission (SEC) under the Public Utility
Holding Company Act of 1935. Accordingly, USC maintains its books of
account as prescribed by the "Uniform System of Accounts for Mutual Service
Companies and Subsidiary Service Companies" as Amended February 2, 1979
to be effective January 1, 1980. USC prepares its financial statements in
conformity with generally accepted accounting principles.
Please refer to the 1999 UNITIL Corporation Form 10-K for additional
disclosures.
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XV
STATEMENT OF INCOME
ACCOUNT DESCRIPTION CURRENT PRIOR
YEAR YEAR
INCOME
457 Services rendered to associate companies 17,587,988 17,003,091
458 Services rendered to nonassociate
companies 30,000 30,000
419 Interest Income 0 0
421 Miscellaneous income or loss 0 (18,685)
Total Income 17,617,988 17,014,406
EXPENSE
920 Salaries and wages 8,749,800 8,023,133
921 Office supplies and expenses 904,781 968,711
922 Administrative expense transferred -
credit (7,035) 52,185
923 Outside services employed 733,642 1,495,119
924 Property insurance 2,182 2,851
925 Injuries and damages 32,901 28,135
926 Employee pensions and benefits 1,812,887 1,656,941
928 Regulatory commission expense 400 0
930.1 General advertising expense 84,134 449,561
930.2 Miscellaneous general expense 621,918 366,986
931 Rents 1,511,230 1,666,467
932 Maintenance of structures and
equipment 549,938 488,204
403 Depreciation and amortization expense 1,195,903 903,178
408 Taxes other than income taxes 721,062 551,633
409 Income taxes 88,622 95,666
410 Provision for deferred income taxes 172,847 (77,254)
411 Provision for deferred income taxes -
credit 0 0
411.5 Investment tax credit 0 0
426.1 Donations 96,601 24,822
426.5 Other deductions 0 0
427 Interest on long-term debt 0 0
430 Interest on debt to associate
companies 15,550 57,442
431 Other interest expense 330,625 260,626
Total Expense 17,617,988 17,014,406
Net Income or (Loss) 0 0
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
ANALYSIS OF BILLING
ASSOCIATE COMPANIES
ACCOUNT 457
DIRECT INDIRECT COMPENSATION TOTAL
COSTS COSTS FOR USE AMOUNT
NAME OF ASSOCIATE CHARGED CHARGED OF CAPITAL BILLED
COMPANY 457-1 457-2 457-3
Concord Electric Company 1,359,702 1,236,506 0 2,596,208
Exeter & Hampton Electric
Company 1,418,771 1,309,205 0 2,727,976
Fitchburg Gas and Electric
Light Company 3,981,339 3,730,884 0 7,712,223
UNITIL Power Corp. 2,046,654 1,883,268 0 3,929,922
UNITIL Realty Corp. 11,488 11,594 0 23,082
UNITIL Resources, Inc. 295,196 235,511 0 530,707
UNITIL Corp. 33,780 34,090 0 67,870
TOTAL 9,146,930 8,441,058 0 17,587,988
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
ANALYSIS OF BILLING
NONASSOCIATE COMPANIES
ACCOUNT 458
DIRECT INDIRECT COMPENSATION EXCESS
NAME OF COSTS COSTS FOR USE TOTAL OR TOTAL
NONASSOC CHARGED CHARGED OF CAPITAL DEFICIENCY AMOUNT
COMPANY 457-1 457-2 457-3 COST 458-4 BILLED
UNITIL Retiree
Trust 0 30,000 30,000 0 30,000
Total 0 30,000 0 30,000 0 30,000
INSTRUCTION: Provide a brief description of the services rendered to each
nonassociate company.
UNITIL Retiree Trust - Professional services provided.
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XVI
ANALYSIS OF CHARGES FOR SERVICE
ASSOCIATE AND NONASSOCIATE COMPANIES
ASSOCIATE COMPANY CHARGES
DESCRIPTION OF ITEMS DIRECT INDIRECT
COST COST TOTAL
920 SALARIES AND WAGES 7,848,890 870,910 8,719,800
921 OFFICE SUPPLES AND EXPENSES 168,840 735,941 904,781
922 ADMIN EXPENSE TRANS-CREDIT (7,035) (7,035)
923 OUTSIDE SERVICES EMPLOYED 104,483 629,159 733,642
924 PROPERTY INSURANCE 2,182 2,182
925 INJURIES AND DAMAGES 32,901 32,901
926 EMPLOYEE PENSIONS AND BENEFITS 1,812,887 1,812,887
928 REGULATORY COMMISSION EXPENSE 400 400
930.1 GENERAL ADVERTISING EXPENSE 84,134 84,134
930.2 MISC. GENERAL EXPENSE 621,918 621,918
931 RENTS 0 1,511,230 1,511,230
932 MAINT. OF STRUCT. & EQUIP. 1,024,717 (474,779) 549,938
403 DEPR. AND AMORT. EXPENSE 1,195,903 1,195,903
408 TAXES OTHER THAN INCOME 721,062 721,062
409 INCOME TAXES 88,622 88,622
410 PROV FOR DEF INC TAXES 172,847 172,847
411 PROV FOR DEF INC TAX CREDIT 0
411.5 INVESTMENT TAX CREDIT 0
419 INTEREST INCOME 0 0
426.1 DONATIONS 96,601 96,601
426.5 OTHER DEDUCTIONS 0 0
427 INTEREST ON LONG-TERM DEBT 0
431 OTHER INTEREST EXPENSE 330,625 330,625
INSTRUCTION: Total cost of service will equal
for associate and nonassociate companies
the total amount billed under their separate
analysis of billing schedules.
SUBTOTAL EXPENSES 9,146,930 8,425,508 17,572,438
COMPENSATION FOR USE OF EQUITY CAPITAL 0
430 INTEREST ON DEBT TO ASSOCIATE CO.'S 0 15,550 15,550
TOTAL EXPENSES 9,146,930 8,441,058 17,587,988
421 MISCELLANEOUS INCOME 0 0 0
TOTAL COST OF SERVICE 9,146,930 8,441,058 17,587,988
SCHEDULE XVI CONT.
ANALYSIS OF CHARGES FOR SERVICE
ASSOCIATE AND NONASSOCIATE COMPANIES
NONASSOCIATE COMPANY CHARGES
DESCRIPTION OF ITEMS DIRECT INDIRECT
COST COST TOTAL
920 SALARIES AND WAGES 30,000 30,000
921 OFFICE SUPPLES AND EXPENSES 0
922 ADMIN EXPENSE TRANS-CREDIT 0
923 OUTSIDE SERVICES EMPLOYED 0
924 PROPERTY INSURANCE 0
925 INJURIES AND DAMAGES 0
926 EMPLOYEE PENSIONS AND BENEFITS 0
928 REGULATORY COMMISSION EXPENSE 0
930.1 GENERAL ADVERTISING EXPENSE 0
930.2 MISC. GENERAL EXPENSE 0
931 RENTS 0
932 MAINT. OF STRUCT. & EQUIP. 0
403 DEPR. AND AMORT. EXPENSE 0
408 TAXES OTHER THAN INCOME 0
409 INCOME TAXES 0
410 PROV FOR DEF INC TAXES 0
411 PROV FOR DEF INC TAX CREDIT 0
411.5 INVESTMENT TAX CREDIT 0
419 INTEREST INCOME 0
426.1 DONATIONS 0
426.5 OTHER DEDUCTIONS 0
427 INTEREST ON LONG-TERM DEBT 0
431 OTHER INTEREST EXPENSE 0
INSTRUCTION: Total cost of service will equal
for associate and nonassociate companies
the total amount billed under their separate
analysis of billing schedules.
SUBTOTAL EXPENSES 0 30,000 30,000
COMPENSATION FOR USE OF EQUITY CAPITAL 0
430 INTEREST ON DEBT TO ASSOCIATE CO.'S 0 0 0
TOTAL EXPENSES 0 30,000 30,000
421 MISCELLANEOUS INCOME 0 0 0
TOTAL COST OF SERVICE 0 30,000 30,000
SCHEDULE XVI CONT.
ANALYSIS OF CHARGES FOR SERVICE
ASSOCIATE AND NONASSOCIATE COMPANIES
TOTAL CHARGES FOR SERVICE
DESCRIPTION OF ITEMS DIRECT INDIRECT
COST COST TOTAL
920 SALARIES AND WAGES 7,848,890 900,910 8,749,800
921 OFFICE SUPPLES AND EXPENSES 168,840 735,941 904,781
922 ADMIN EXPENSE TRANS-CREDIT 0 (7,035) (7,035)
923 OUTSIDE SERVICES EMPLOYED 104,483 629,159 733,642
924 PROPERTY INSURANCE 0 2,182 2,182
925 INJURIES AND DAMAGES 0 32,901 32,901
926 EMPLOYEE PENSIONS AND BENEFITS 0 1,812,887 1,812,887
928 REGULATORY COMMISSION EXPENSE 0 400 400
930.1 GENERAL ADVERTISING EXPENSE 0 84,134 84,134
930.2 MISC. GENERAL EXPENSE 0 621,918 621,918
931 RENTS 0 1,511,230 1,511,230
932 MAINT. OF STRUCT. & EQUIP. 1,024,717 (474,779) 549,938
403 DEPR. AND AMORT. EXPENSE 0 1,195,903 1,195,903
408 TAXES OTHER THAN INCOME 0 721,062 721,062
409 INCOME TAXES 0 88,622 88,622
410 PROV FOR DEF INC TAXES 0 172,847 172,847
411 PROV FOR DEF INC TAX CREDIT 0 0 0
411.5 INVESTMENT TAX CREDIT 0 0 0
419 INTEREST INCOME 0 0 0
426.1 DONATIONS 0 96,601 96,601
426.5 OTHER DEDUCTIONS 0 0 0
427 INTEREST ON LONG-TERM DEBT 0 0 0
431 OTHER INTEREST EXPENSE 0 330,625 330,625
INSTRUCTION: Total cost of service will equal
for associate and nonassociate companies
the total amount billed under their separate
analysis of billing schedules.
SUBTOTAL EXPENSES 9,146,930 8,455,508 17,602,438
COMPENSATION FOR USE OF EQUITY CAPITAL 0
430 INTEREST ON DEBT TO ASSOCIATE CO.'S 0 15,550 15,550
TOTAL EXPENSES 9,146,930 8,471,058 17,617,988
421 MISCELLANEOUS INCOME 0 0 0
TOTAL COST OF SERVICE 9,146,930 8,471,058 17,617,988
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XVII
SCHEDULE OF EXPENSE DISTRIBUTION
BY
DEPARTMENT OR SERVICE FUNCTION
DEPARTMENT OR
SERVICE FUNCTION
DESCRIPTION OF ITEMS TOTAL OVER- REGULATORY
AMOUNT HEAD & COMMUN. ADMIN.
920 SALARIES AND WAGES 8,749,800 1,277,221 1,860,833
921 OFFICE SUPPLES AND EXPENSES 904,781 111,641 198,246
922 ADMIN. EXPENSE TRANS-CREDIT (7,035)
923 OUTSIDE SERVICES EMPLOYED 733,642 135,922 312,702
924 PROPERTY INSURANCE 2,182
925 INJURIES AND DAMAGES 32,901
926 EMPLOYEE PENSIONS AND BENEFITS 1,812,887 21,735 1,727,604
928 REGULATORY COMMISSION EXPENSE 400 400
930.1 GENERAL ADVERTISING EXPENSE 84,134 72,549 11,585
930.2 MISC. GENERAL EXPENSE 621,918 321,170
931 RENTS 1,511,230 374 21,499
932 MAINT. OF STRUCT. & EQUIP. 549,938 42,098
403 DEPR. AND AMORT. EXPENSE 1,195,903
408 TAXES OTHER THAN INCOME 721,062
409 INCOME TAXES 88,622
410 PROV. FOR DEF. INC. TAXES 172,847
411 PROV. FOR DEF. INC. TAX CREDIT 0
411.5 INVESTMENT TAX CREDIT 0
426.1 DONATIONS 96,601
426.5 OTHER DEDUCTIONS 0
427 INTEREST ON LONG-TERM DEBT 0
430 INTEREST ON DEBT TO ASSOCIATE
COMPANIES 15,550
431 OTHER INTEREST EXPENSE 330,625
INSTRUCTIONS: Indicate each
department or
service function. (see Instruction
01-3 General Structure of Account-
ing System Uniform System Account.
TOTAL EXPENSES - 17,617,988 1,619,842 4,495,737
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XVII
SCHEDULE OF EXPENSE DISTRIBUTION
BY
DEPARTMENT OR SERVICE FUNCTION
DEPARTMENT OR SERVICE FUNCTION
ACCOUNT ENERGY CUSTOMER
NUMBER ACCOUNTING MARKETS DISTRIBUTION FINANCE SERV. ENGINEER. TECHNOLOGY
920 990,886 595,441 199,500 607,306 1,497,955 1,188,110 532,548
921 20,879 21,371 4,185 54,653 157,500 95,619 240,687
922 (7,035)
923 20,412 22,964 40,731 29,198 102,652 6,821 62,240
924 2,182
925 32,901
926 10,282 2,105 6,533 25,147 1,115 18,366
928
930.1
930.2 300,748
931 (1,043,043) 6,378 112 86,967 2,917 2,436,026
932 61,995 86,294 195 359,356
403 1,195,903
408 721,062
409 88,622
410 172,847
411
411.5
426.1 96,601
426.5
427
430 15,550
431 330,625
2,329,411 641,881 250,794 1,379,808 1,956,515 1,294,777 3,649,223
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
DEPARTMENTAL ANALYSIS OF SALARIES
ACCOUNT 920
DEPARTMENT SALARY EXPENSE NUMBER
NAME OF DEPARTMENT INCLUDE IN AMOUNTS BILLED TO PERSONNEL
Indicate each departmentTOTAL PARENT OTHER NON END OF
or service function AMOUNT COMPANY ASSOCIATES ASSOCIATES YEAR
Regulatory & Comm. 1,277,221 0 1,277,221 0 20
Technology Services 532,548 0 532,548 0 10
Accounting 990,886 0 986,086 4,800 21
Finance 607,306 0 606,706 600 8
Administrative 1,860,833 0 1,837,133 23,700 17
Energy Markets 595,441 0 595,441 0 9
Engineering 1,188,110 0 1,188,110 0 22
Distribution 199,500 0 199,500 0 1
Customer Services 1,497,955 0 1,497,055 900 44
TOTAL 8,749,800 0 8,719,800 30,000 152
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
OUTSIDE SERVICES EMPLOYED
ACCOUNT 923
INSTRUCTIONS: Provide a breakdown by subaccount of outside services employed.
If the aggregate amounts paid to any one payee and included within
one subaccount is less than $25,000, only the aggregate number
and amount of all such payments included within the subaccount
need be shown. Provide a subtotal for each type of service.
RELATIONSHIP
"A"= ASSOCIATE
FROM WHOM PURCHASED ADDRESS "NA"=NON AMOUNT
ASSOCIATE
Outside Services - Legal
Various NA 45,001
LeBoeuf, Lamb Greene NA 37,914
Outside Services - Accounting
Grant Thornton NA 13,853
Outside Services - Other
Various NA 177,718
Bruce Mast & Associates NA 59,691
Business Software Alliance NA 42,000
Ceridian NA 41,478
Energy Strategies NA 60,447
Focused Change NA 32,482
Kelly Services NA 63,108
Public Affairs Group NA 40,000
Russell Reynolds NA 27,208
URT NA 34,600
Outside Services - Market Development
Various NA 22,842
Outside Services - Visibility
Various NA 35,300
TOTAL 733,642
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
EMPLOYEE PENSIONS AND BENEFITS
ACCOUNT 926
INSTRUCTIONS: Provide a listing of each pension plan and benefit
program provided by the service company. Such
listing should be limited to $25,000.
DESCRIPTION AMOUNT
Health Insurance 782,810
Net Periodic Pension Expense 467,132
401 K 195,854
Life Insurance 63,812
Education 98,218
Other 20,303
Supplemental Executive Retirement Plan 157,345
FASB 106 27,413
TOTAL 1,812,887
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
GENERAL ADVERTISING EXPENSES
ACCOUNT 930.1
INSTRUCTIONS: Provide a listing of the amounts included in Account
930.1 "General Advertising Expenses", classifying the items according to the
nature of the advertising and as defined in the account definition. If a
particular class includes an amount in excess of $3,000 applicable to a
single payee, show separately the name of the payee and the aggregate amount
applicable thereto.
DESCRIPTION NAME OF PAYEE AMOUNT
Internet Development Brown and Company 12,600
Internet Development Rocket Science 10,200
Advertising Advance Notice Inc. 9,723
Advertising Adventures in Advertising 4,715
Advertising Bonci on Design 6,776
Advertising IDEC 3,858
Advertising Ingalls Adverising 3,780
Advertising NH Public Radio 18,590
Advertising RAM Printing 4,262
Advertising Other 9,630
TOTAL 84,134
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
MISCELLANEOUS GENERAL EXPENSES
ACCOUNT 930.2
INSTRUCTIONS: Provide a listing of the amount included in Account 930.02
"Miscellaneous General Expense", classifying such expenses
according to their nature. Payments and expenses permitted by
Section 321 (b) (2) of the Federal Election Campaign Act, as
amended by Public Law 94-283 in 1976 (2 U.S.C. 441 (b) (2)
shall be separately classified.
DESCRIPTION AMOUNT
Printing and Distribution of
Quarterly and Annual Reports 155,098
Employee Orientations 11,092
Director's Fees and Expenses 226,650
Business Development 83,038
Communications 146,040
TOTAL 621,918
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
RENTS
ACCOUNT 931
INSTRUCTIONS: Provide a listing of the amount included in Account 931,
"Rents" classifying such expenses by major groupings of property, as
defined in the account definition of the Uniform System of Accounts.
TYPE OF PROPERTY AMOUNT
Office Building 1,501,056
EDP Equipment 1,704
Miscellaneous 8,470
TOTAL 1,511,230
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
TAXES OTHER THAN INCOME TAXES
ACCOUNT 408
INSTRUCTIONS: Provide an analysis of Account 408, "Taxes Other Than Income
Taxes". Separate the analysis into two groups: (1) other than
U. S. Government and (2) U.S. Government taxes. Specify
each of the various kinds of taxes and show the amounts there of.
Provide a subtotal for each class of tax.
KIND OF TAX AMOUNT
Other than U.S. Government Tax:
State Telephone & Telegram Tax 8,468
State Unemployment Tax - NH 6,697
Other 85
Business Enterprise Tax 44,551
59,801
U.S. Government Tax:
Federal Telephone & Telegram Tax 4,019
Federal Insurance Contribution Act 649,252
Federal Unemployment Tax 7,990
661,261
TOTAL 721,062
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
DONATIONS
ACCOUNT 426.1
INSTRUCTIONS: Provide a listing of the amount included in Account 426.1,
"Donations", classifying such expenses by its purpose. The
aggregate number and amount of all items of less than $3,000
may be shown in lieu of details.
NAME OF RECIPIENT PURPOSE OF DONATION AMOUNT
P. J. Stulgis Memorial Fund 12,500
LongsJohn Memorial 10,000
American Red Cross 3,780
Capitol Center for the Arts 5,000
Easter Seals 6,585
New Hampshire Historical Society 3,000
United Way 20,100
Various 35,636
TOTAL 96,601
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
OTHER DEDUCTIONS
ACCOUNT 426.5
INSTRUCTIONS: Provide a listing of the amount included in Account 426.5,
"Other Deductions", classifying such expenses according to
their nature.
DESCRIPTION NAME OF PAYEE AMOUNT
None
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XVIII
NOTES TO STATEMENT OF INCOME
INSTRUCTIONS: The space below is provided for important notes regarding
the statement of income or any account thereof. Furnish particulars as to
any significant increases in services rendered or expenses incurred during
the year. Notes relating to financial statements shown elsewhere in this
report may be indicated here by reference.
See page 19.
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SCHEDULE XIX - FINANCIAL DATA SCHEDULE
ITEM NO. CAPTION HEADING AMOUNT
1 Net Service Company Property 2,405,738
2 Total Investments 0
3 Total Current and Accrued Assets 2,680,976
4 Total Deferred Debits 1,676,230
5 Balancing Amount for Total Assets and Other Debits 0
6 Total Assets and Other Debits 6,762,944
7 Total Proprietary Capital 2,688
8 Total Long-Term Debt 0
9 Notes Payable 0
10 Notes Payable to Associate Companies 1,915,347
11 Balancing Amount for Total Current and Accrued Liabilities 3,773,980
12 Total Deferred Credits 0
13 Accumulated Deferred Income Taxes (625,325)
14 Total Liabilities and Proprietary Capital 6,762,944
15 Service Rendered to Associate Companies 17,587,988
16 Service Rendered to Nonassociate Companies 30,000
17 Miscellaneous Income or Loss 0
18 Total Income 17,617,988
19 Salaries and Wages 8,749,800
20 Employee Pensions and Benefits 1,812,887
21 Balancing Amount for Total Expenses 7,055,301
22 Total Expenses 17,617,988
23 Net Income (Loss) 0
24 Total Expenses (Direct Costs) 9,146,930
25 Total Expenses (Indirect Costs) 8,471,058
26 Total Expenses (Total) 17,617,988
27 Number of Personnel End of Year 152
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
ORGANIZATION CHART AS OF DECEMBER 31, 1999
President Schoenberger
Senior Vice President - Finance Baratta
Senior Executive Vice President - Energy Distribution Dalton
Vice President - Engineering and Operations Appleton
Senior Executive Vice President - Energy Markets Daly**
Vice President - Sales and Marketing Black
Vice President - Energy Procurement Foote
Vice President - Technology Smith
Vice President - Finance & Treasurer Collin
Vice President and Controller Brock
Vice President - Customer Services Morrissey
Senior Vice President - Communication & Regulation Gantz
Vice President - Communication & Regulation Stewart
** James G. Daly resigned effective 2/7/2000.
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
METHODS OF ALLOCATION
See Next Page
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1998
METHODS OF ALLOCATION
The cost of services rendered by UNITIL Service are allocated and
billed based on direct time charges and to a lesser extent, direct cost
assigned to individual projects or jobs performed on behalf of associated
companies in accordance with the general guidelines set forth below.
A. Direct Labor Cost - Gross Wages. Direct Labor Cost - Gross Wages are
based on the actual gross wage rates of assigned employees multiplied by the
actual number of hours worked and directly charged to specific projects or
jobs.
B. Direct Labor Cost - Other. Direct Labor Cost - Other includes the costs
of paid absences, such as vacations, sick pay and holidays, and are allocated
by employee based on the direct time charged to associated companies. In
the event there are no direct time charges available for this allocation,
the direct time charges of all UNITIL Service employees are used to make
this allocation.
C. General Overhead Costs, including Indirect Labor. General Overhead
Costs represent UNITIL Service Indirect Labor Costs and Administrative and
General Expenses, and are allocated based on a monthly overhead rate applied
against direct time charges. Indirect Labor Costs include pension costs,
insurance, payroll taxes, employee savings plan, and similar payroll and
benefit items. Administrative and General Expenses are those administrative
and operating expenses incurred by UNITIL Service in providing services to
associated companies which cannot be identified with or directly charged to
a specific project or job.
D. Direct Charges. Direct Charges are costs that are directly assignable
based on the individual projects or jobs performed on behalf of associated
companies, and are excluded from General Overheads. Direct Charges are
billed at actual cost and include: Employee Travel, Meals, Lodging, and
Other Related Expenses, Data Management Hardware Leases and Maintenance
Costs, Telephone Lease, and other miscellaneous expenses.
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
ANNUAL STATEMENT OF COMPENSATION FOR USE OF CAPITAL BILLED
Non applicable
ANNUAL REPORT OF UNITIL SERVICE CORP.
FORM U-13-60
For the Year Ended December 31, 1999
SIGNATURE CLAUSE
Pursuant to the requirements of the Public Utility Holding Company Act of
1935 and the rules and regulations of the Securities and Exchange
Commission issued thereunder, the undersigned company has duly caused
this report to be signed on its behalf by the undersigned officer thereunto
duly authorized,
UNITIL Service Corp.
(Name of Reporting Company)
By:/s/ Anthony J. Baratta, Jr., CFO
(Signature of Signing Officer)
Anthony J. Baratta, Jr., CFO
(Printed Name and Title of Signing Officer)
Date: April 28, 2000
