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Previous: BEAUTICONTROL COSMETICS INC, 10-K405, 1999-03-01 |
Next: OPPENHEIMER BOND FUND FOR GROWTH /MA/, 485APOS, 1999-03-01 |
FILE NO. 1-9120
FORM U-3A-2
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C.
Statement by Holding Company
Claiming Exemption Under Rule U-3A-2
from the Provisions of the
Public Utility Holding Company Act of 1935
To Be Filed Annually Prior to March 1
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
- --------------------------------------------------------------------------------
(Name of company)
hereby files with the Securities and Exchange Commission, pursuant to Rule 2,
its statement claiming exemption as a holding company from the provisions of the
Public Utility Holding Company Act of 1935 and submits the following
information:
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1. Name, State of organization, location and nature of business of
claimant, and every subsidiary thereof, other than any exempt wholesale
generator (EWG) or foreign utility company in which claimant directly or
indirectly holds an interest.
1. Public Service Enterprise Group Incorporated (PSEG), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. PSEG has two direct wholly-owned subsidiaries, Public Service
Electric and Gas Company (PSE&G) and PSEG Energy Holdings Inc. (Energy
Holdings), formerly known as Enterprise Diversified Holdings Incorporated. PSEG
also has 274 indirect subsidiaries. Details are as follows:
1.1. PSE&G, a New Jersey corporation, with its principal executive offices at 80
Park Plaza, Newark, New Jersey 07102, is an operating public utility company
engaged principally in the generation, transmission, distribution and sale of
electric energy service and in the transmission, distribution and sale of gas
service in New Jersey. As of December 31, 1998, PSE&G comprised 82% of PSEG's
assets. PSE&G's 1998 revenues were 94% of PSEG's revenues and PSE&G's earnings
available to PSEG were 92% of PSEG's net income.
PSE&G has 7 direct wholly-owned subsidiaries; one direct 99%-owned subsidiary
(the remaining 1% of which is owned by PSE&G's subsidiary, Public Service
Corporation of New Jersey); one direct 50%-owned subsidiary (the remaining 50%
of which is owned by Potomac Electric Power Company, a Virginia and District of
Columbia corporation) and one indirect wholly-owned subsidiary, as follows:
1.1.A. PSE&G Fuel Corporation (Fuelco), a New Jersey corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102. Fuelco
provides financing, unconditionally guaranteed by PSE&G, of up to $125 million
aggregate principal amount at any one time outstanding with respect to its
42.49% interest in the nuclear fuel acquired for Peach Bottom Atomic Power
Station Units 2 and 3.
1.1.B. New Jersey Properties, Inc. (NJP), a New Jersey corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102. NJP
acquires certain real estate from time to time.
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1.1.C. Public Service Corporation of New Jersey (PSC of NJ), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. PSC of NJ owns 1% of Public Service New Millennium Economic
Development Fund L.L.C. (see below).
1.1.D. Soil Extraction Technologies, Inc., a New Jersey corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102, is
presently inactive and is in the process of dissolution.
1.1.E. The Francis Corporation (TFC), a New Jersey corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102. TFC
acquires certain real estate from time to time.
1.1.F. Enterprise Ventures & Services Corporation, a New Jersey corporation, has
its principal executive offices at 80 Park Plaza, Newark, New Jersey 07102, is
presently inactive and is in the process of dissolution.
1.1.G. Public Service New Millennium Economic Development Fund L.L.C. (New
Millennium), a New Jersey limited liability company formed in 1997, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102. New
Millennium is a direct 99%-owned subsidiary of PSE&G, with the remaining 1%
owned by PSC of NJ. New Millennium supports economic development and programs
providing technology to improve education and health care in urban areas of New
Jersey.
1.1.G.1. Tradelink New Jersey International Business Center, Inc. (Tradelink), a
New Jersey corporation formed in 1997, has its principal executive offices at 80
Park Plaza, Newark, New Jersey 07102. Tradelink is a direct subsidiary of Public
Service New Millennium Economic Development Fund L.L.C. and operates a full
service turn-key office suite facility designed to attract foreign firms to
establish a business presence in New Jersey.
1.1.H. Public Service Energy Trading Company (PS Trading), a New Jersey
corporation formed in 1997, has its principal executive offices at 80 Park
Plaza, Newark, New Jersey, 07102 and is currently inactive.
1.1.I. Gridco International L.L.C. (Gridco International), a Delaware
corporation, has its principal executive offices at 1209 Orange Street, New
Castle County, Wilmington, Delaware 19801. Gridco International, a direct
50%-owned subsidiary of PSE&G with the remaining 50% owned by Potomac Electric
Power Company, a Virginia and District of Columbia corporation, is currently
inactive.
1.2. PSEG Energy Holdings Inc., formerly known as Enterprise Diversified
Holdings Incorporated, a New Jersey corporation, has its principal executive
offices at 80 Park Plaza, Newark, New Jersey 07102. Energy Holdings is the
parent of PSEG's nonutility businesses. On June 12, 1998, PSEG renamed certain
of its principal non-utility subsidiaries. Enterprise Diversified Holdings
Incorporated was renamed PSEG Energy Holdings Inc.; Community Energy
Alternatives Incorporated was renamed PSEG Global Inc.; Energis Resources
Incorporated was renamed PSEG Energy Technologies Inc. and Public Service
Resources Corporation was renamed PSEG Resources Inc.
As of December 31, 1998, Energy Holdings comprised 17% of PSEG's assets. Energy
Holdings' 1998 revenues were 6% of PSEG's revenues and Energy Holdings' 1998 net
income was 8% of PSEG's net
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income. Energy Holdings' 6 direct wholly-owned subsidiaries and 258 indirect
subsidiaries are as follows:
1.2.A. PSEG Resources Inc. (PSEG Resources), formerly known as Public Service
Resources Corporation, a New Jersey corporation, has its principal executive
offices at 80 Park Plaza, Newark, New Jersey 07102. PSEG Resources makes
primarily passive investments in assets that can provide funds for future growth
as well as provide incremental earnings for Energy Holdings, including leveraged
leases, project financings, venture capital funds, leveraged buyout funds and
securities. Some of the transactions in which PSEG Resources and its
subsidiaries participate involve other equity investors. As of December 31,
1998, PSEG Resources comprised 10% of PSEG's assets. PSEG Resources' 1998
revenues were 2% of PSEG's revenues and PSEG Resources' 1998 net income was 9%
of PSEG's net income. PSEG Resources is a wholly-owned subsidiary of Energy
Holdings. PSEG Resources has 12 direct and 6 indirect wholly-owned subsidiaries
as follows:
1.2.A.1. Resources Capital Financing Corporation (RCFC), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. RCFC has as its sole investment an undivided interest in the
Beaver Valley 2 Nuclear Generating Station, Shippingport, Pennsylvania by virtue
of a leveraged lease transaction.
1.2.A.2. Resources Capital Investment Corporation (RCIC), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. RCIC has investments in several leveraged lease transactions.
1.2.A.3. The Water Source, Inc., a New Jersey corporation, has its principal
executive offices at 80 Park Plaza, Newark, New Jersey 07102, is presently
inactive and is in the process of dissolution.
1.2.A.4. Resources Capital Sales Corporation (RCSC) is incorporated under the
laws of the United States Virgin Islands and has its principal executive offices
at Guardian Building, Havensight, Saint Thomas, United States Virgin Islands
00801. RCSC was formed in connection with investment activities of PSEG
Resources to receive the benefits available to a foreign sales corporation (FSC)
under the Internal Revenue Code for the purpose of arranging the export of sales
and leases of United States manufactured products, including the financing,
management, negotiation and contracting of such sales and leases.
1.2.A.5. Resources Capital Management Corporation (RCMC), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. As of December 31, 1998, RCMC comprised 4% of PSEG's assets.
RCMC's 1998 revenues were 1% of PSEG's revenues and RCMC's 1998 net income was
3% of PSEG's net income. RCMC has investments in a project financing and several
leveraged leases. RCMC has six direct wholly-owned subsidiaries as follows:
1.2.A.5.(a) Franklin Street Real Estate, Inc. (Franklin), a Delaware
corporation, has its principal executive offices at 1300 Market Street,
Wilmington, Delaware 19801. Franklin acts as a lessee under a master lease and
lessor under an operating lease with regard to the leveraged lease investment of
RCMC in a Detroit, Michigan office complex.
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1.2.A.5.(b) Renaissance Tower Associates, Inc. (Tower), a Connecticut
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. Tower is the lender under a loan agreement and issuer of lender
notes under a leveraged lease transaction.
1.2.A.5.(c) RCMC Sales Corporation (RCMC SC) is incorporated under the laws of
the United States Virgin Islands, and has its principal executive offices at
Guardian Building, Havensight, Saint Thomas, United States Virgin Islands 00801.
RCMC SC was formed as a FSC in connection with investment activities of RCMC.
1.2.A.5.(d) RCMC One, Incorporated, a New Jersey corporation, has its principal
executive offices at 80 Park Plaza, Newark, New Jersey 07102, and is presently
inactive.
1.2.A.5.(e) RCMC, Inc. (RCMCI), a Delaware corporation, has its principal
executive offices at 1300 Market Street, Suite 407, Wilmington, Delaware 19801.
RCMCI has investments in four foreign aircraft leveraged leases, a limited
partnership investment in an advanced flue gas desulfurization facility and a
limited partnership investment in an ethylene facility in Sweeny, Texas.
1.2.A.5.(f) RCMC I, Inc. (RCMC I), a Delaware corporation, has its principal
executive offices at 1300 Market Street, Suite 407, Wilmington, Delaware 19801.
RCMC I has investments in a leveraged lease of an undivided interest of System
Energy Resources Inc.'s interest in a nuclear generating station in Port Gibson,
Mississippi and in a leveraged lease of an office facility in Denver, Colorado.
1.2.A.6. PSRC Sales Corporation One (PSRC One) is incorporated under the laws of
the United States Virgin Islands and has its principal executive offices at
Guardian Building, Havensight, Saint Thomas, United States Virgin Islands 00801.
PSRC One was formed as a FSC in connection with certain investment activities of
PSEG Resources.
1.2.A.7. PSRC Sales Corporation Two (PSRC Two) is incorporated under the laws of
the United States Virgin Islands and has its principal executive offices at
Guardian Building, Havensight, Saint Thomas, United States Virgin Islands 00801.
PSRC Two was formed as a FSC in connection with certain investment activities of
PSEG Resources.
1.2.A.8. PSRC Sales Corporation Three (PSRC Three) is incorporated under the
laws of the United States Virgin Islands and has its principal executive offices
at Guardian Building, Havensight, Saint Thomas, United States Virgin Islands
00801. PSRC Three was formed as a FSC in connection with certain investment
activities of PSEG Resources.
1.2.A.9. PSRC Sales Corporation Four (PSRC Four) is incorporated under the laws
of the United States Virgin Islands and has its principal executive offices at
Guardian Building, Havensight, Saint Thomas, United States Virgin Islands 00801.
PSRC Four was formed as a FSC in connection with certain investment activities
of PSEG Resources.
1.2.A.10. PSRC, Inc. (PSRCI), a Delaware corporation, has its principal
executive offices at 1300 Market Street, Suite 407, Wilmington, Delaware 19801.
PSRCI has investments in several leveraged lease transactions and a limited
partnership interest in a developer of an historic real estate rehabilitation
project in Philadelphia, Pennsylvania.
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1.2.A.11. PSRC I, Inc. (PSRC I), formerly PSRC Del. Inc., a Delaware
corporation, has its principal executive offices at 1300 Market Street, Suite
407, Wilmington, Delaware 19801. PSRC I has investments in leveraged buyout
funds, limited partnerships and securities.
1.2.A.12. Enterprise Energy Technology Group, Inc., a Delaware corporation, has
its principal executive offices at 1300 Market Street, Wilmington, Delaware
19801, and is presently inactive.
1.2.B. PSEG Global Inc. (PSEG Global), formerly known as Community Energy
Alternatives Incorporated, a New Jersey corporation, has its principal executive
offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450. PSEG Global
invests and participates in the development and operation of projects in the
generation and distribution of energy, which includes cogeneration and
independent power production facilities (IPP), and electric distribution
companies. The majority of such IPPs are domestic facilities designated as
"qualifying facilities" (QFs) under the Public Utility Regulatory Policies Act
of 1978, as amended (PURPA), 8 of which are designated as "foreign utility
companies" (FUCOs) under the Public Utility Holding Company Act of 1935, as
amended (PUHCA), and 7 of which are designated as "exempt wholesale generators"
(EWGs) under PUHCA. PSEG Global is a wholly-owned subsidiary of PSEG Energy
Holdings Inc. PSEG Global has 3 direct wholly-owned subsidiaries, PSEG Global
New Jersey Inc. (PSEG NJ), PSEG Global USA Inc. (PSEG Global USA), and PSEG
India Company, as well as 220 indirect subsidiaries including limited and
general partnership interests. PSEG NJ and its subsidiaries invest in projects
in New Jersey which sell power to PSE&G. PSEG Global USA and its subsidiaries
invest in projects which sell power to other domestic and foreign entities as
well as transmission and distribution projects. PSEG India Company and its
subsidiaries invest in projects in India. In addition to its investment in PSEG
NJ, PSEG Global USA, and PSEG India Company, PSEG Global is a limited partner in
2 QFs: (i) UAH-Hydro Kennebec Limited Partnership (15.6% partnership interest)
which owns a hydroelectric facility in Winslow, Maine, and (ii) Luz Solar
Partners, III (8.9% partnership interest) which owns a solar facility in Kramer
Junction, California. PSEG Global also is a limited partner in (i) Indeck North
American Power Fund, L.P. (Indeck) (6.8% partnership interest) which invests in
QFs and EWGs, and (ii) Indeck North American Power Partners, L.P. (13.3%
partnership interest), which is the general partner of Indeck. In addition,
Indeck owns a 99% interest in Indeck Harbor, LLC (Indeck Harbor) and, in turn,
Indeck Harbor owns a 70% general partnership interest in Harbor Cogeneration
Company. As of December 31, 1998, PSEG Global comprised 6% of PSEG's assets.
PSEG Global's 1998 revenues were 2% of PSEG's revenues and PSEG Global's 1998
net income was 1% of PSEG's net income.
1.2.B.1. PSEG Global New Jersey Inc., a New Jersey corporation, has its
principal executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey
07450. PSEG NJ has 3 direct subsidiaries and 4 indirect subsidiaries as
described below:
1.2.B.1.(a) PSEG Eagle Point Inc. (PSEG EPI), a New Jersey corporation, has its
principal executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey
07450. PSEG EPI is a 50% general partner in Eagle Point Cogeneration Partnership
(EPCP).
1.2.B.1.(a)(i) EPCP, a New Jersey limited partnership, has its principal
executive offices at U.S. Route 130 and Interstate 295, West Deptford, New
Jersey 08096, and owns a natural gas-fired cogeneration QF in West Deptford, New
Jersey.
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1.2.B.1.(b) PSEG Newark Bay Inc. (PSEG NBI), a New Jersey corporation, has its
principal executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey
07450. PSEG NBI is a 1% general partner in Newark Bay Cogeneration Partnership,
L.P. (NBCPLP). PSEG NJ is a 49% limited partner in NBCPLP.
1.2.B.1.(b)(i) NBCPLP, a New Jersey limited partnership, has its principal
executive offices at 414-462 Avenue P, Newark, New Jersey 07105. NBCPLP owns a
natural gas-fired cogeneration QF in Newark, New Jersey. NBCPLP also owns 100%
of NBCP Urban Renewal Corporation (NBCPURC) and a 99% limited partnership
interest in NBCP Urban Renewal Partnership (NBCPURP).
1.2.B.1.(b)(i)(A) NBCPURC, a New Jersey corporation, has its principal executive
offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450. NBCPURC is a
1% general partner in NBCPURP.
1.2.B.1.(b)(i)(A)(i) NBCPURP, a New Jersey limited partnership, has its
principal executive offices at 414-462 Avenue P, Newark, New Jersey 07105.
NBCPURP leases the site of a natural gas-fired cogeneration QF in Newark, New
Jersey.
1.2.B.1.(c) PSEG Newark Bay Services Inc. (PSEG NBS), a New Jersey corporation,
has its principal executive offices at 1200 East Ridgewood Avenue, Ridgewood,
New Jersey 07450. PSEG NBS provides operation and maintenance services to a
natural gas-fired cogeneration facility in Newark, New Jersey, which is a QF.
(See PSEG NBI above.)
1.2.B.2. PSEG Global USA Inc., a New Jersey corporation, has its principal
executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450.
PSEG Global USA has a total of 206 direct and indirect subsidiaries including
limited and general partnership interests as described below:
1.2.B.2.(a) CEMAS Corporation (CEMAS), a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801. CEMAS owns
18.63% of Inversora de San Nicolas, S.A. (ISN), 33.33% of Empresa Argentina
Electrica I, Inc. (EAEI), and 4.95% of AES San Nicolas, Inc. (ASNI).
1.2.B.2.(a)(i) ASNI, a Delaware corporation, has its principal office at 1001 N.
19th Street, Arlington, Virginia 22209, and is owned 4.95% by CEMAS. ASNI owns
62.74% of ISN.
1.2.B.2.(a)(i)(A) ISN, an Argentine corporation, has its principal executive
offices at Cerrito 1294, Piso 3, (1062), Buenos Aires (Capital Federal),
Argentina. ISN owns an 88% controlling stockholder interest in Central Termica
San Nicolas, S.A. (CTSN).
1.2.B.2.(a)(i)(A)(i) CTSN, an Argentine corporation, has its principal executive
offices at Cerrito 1294, Piso 3, (1062), Buenos Aires (Capital Federal),
Argentina. CTSN owns a coal-fired electric generating station in San Nicolas,
Argentina, and is an EWG.
1.2.B.2.(a)(i)(B) EAEI, a Delaware corporation, has its registered office at
1209 Orange Street, Wilmington, Delaware 19801, and has a 1% general partnership
interest in Empresa Argentina Electrica LP (EAELP). PSEG Americas, Inc. owns a
33% limited partnership interest in EAELP.
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1.2.B.2.(a)(i)(B)(i) EAELP, a Delaware limited partnership, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and has 1 direct and 1
indirect wholly-owned subsidiary as described below:
1.2.B.2.(a)(i)(B)(i)(a) Empresa Argentina Electrica II, a Delaware corporation,
has its registered office at 1209 Orange Street, Wilmington, Delaware 19801, and
has 1 direct wholly-owned subsidiary as described below:
1.2.B.2.(a)(i)(B)(i)(a)(i) Empresa Argentina Electrica, a Cayman Islands
company, has its registered office at Ugland House, South Church Street, George
Town, Grand Cayman Islands, British West Indies, and is presently inactive.
1.2.B.2.(b) Deblois Investments, Inc., a New Jersey corporation, has its
principal executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey
07450, and is presently inactive.
1.2.B.2.(c) National Energy Partners, a Delaware limited partnership, has its
principal executive offices at 11645 Wilshire Blvd., Suite 750, Los Angeles,
California 90024, and owns 100% of GWF Power Systems Company, Inc. (GWF PSC).
PSEG Global USA is a 50% general partner in National Energy Partners.
1.2.B.2.(c)(i) GWF PSC, a California corporation, has its principal executive
offices at 225 Lennon Lane, Suite 120, Walnut Creek, California 94598. GWF PSC
and GWF Power Systems, L.P. (GWFLP), together hold a 50% indirect interest in
the revenues (but do not share in operating or other costs) derived from the (1)
capacity payments related to 11.3 MW of incremental capacity and (2) net
dispatch payment received by the owner of a natural gas-fired cogeneration QF in
Newhall, California. GWF PSC has the following direct and indirect wholly and
partially owned subsidiaries:
1.2.B.2.(c)(i)(A) GWF Bay Area, Inc. (GWF Bay), a California corporation, has
its principal executive offices at 225 Lennon Lane, Suite 120, Walnut Creek,
California 94598. GWF Bay is a 2% managing general partner of GWFLP. GWF Bay is
an indirect 50% owned subsidiary of PSEG Global USA.
1.2.B.2.(c)(i)(A)(i) GWFLP, a California limited partnership, has its principal
executive offices at 225 Lennon Lane, Suite 120, Walnut Creek, California 94598,
and owns and operates five petroleum coke-fired small power production QFs in
Contra Costa County, California. PSEG Global USA directly owns a 48.5% limited
partnership interest in GWFLP. In addition PSEG Bay Area Inc. (PSEG Bay), owns a
0.5% general partnership interest in GWFLP.
1.2.B.2.(c)(i)(B) GWF Hanford, Inc. (GWF HI), a California corporation, has its
principal executive offices at 225 Lennon Lane, Suite 120, Walnut Creek,
California 94598. GWF HI is a 2% managing general partner of Hanford L.P. (HLP).
GWF HI is an indirect 50% owned subsidiary of PSEG Global USA.
1.2.B.2.(c)(i)(B)(i) HLP, a California Limited Partnership, has its registered
office at 225 Lennon Lane, Suite 120, Walnut Creek, California 94598, and is the
owner of a petroleum coke and natural gas-fired cogeneration QF in Hanford,
California. PSEG Global USA directly owns a 48.5% limited partnership interest
in HLP. PSEG Hanford Inc. (PSEG HI) owns a 0.5% general partnership interest in
HLP.
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1.2.B.2.(d) PSEG Asia Inc. (PSEG Asia), a Delaware corporation, has its
principal executive offices at Room 1701 Harbour Centre, 25 Harbour Road,
Wanchai, Hong Kong Special Administrative Region, People's Republic of China
(China) and is a developer of power production facilities in Asia which are each
expected to qualify upon completion as an EWG or a FUCO. PSEG Asia has the
following direct and indirect wholly-owned subsidiaries.
1.2.B.2.(d)(i) PSEG Asia Ltd., a Bermuda corporation, has its principal
executive offices at Clarendon House, 2 Church Street, Hamilton, Bermuda, and is
a developer of EWG and FUCO power production facilities in Asia. PSEG Asia Ltd.
has one wholly-owned subsidiary.
1.2.B.2.(d)(i)(A) Shanghai Yaneng Trading Company Limited, a Chinese company,
has its principal executive offices at No. 1 Ji Long Road, Room 2104, Wai Gao
Qiao Bonded Zone, Shanghai, People's Republic of China, and provides personnel
and other services for the development of PSEG Asia Ltd.'s projects in China.
1.2.B.2.(e) PSEG Baja Inc., a Delaware corporation, has its registered office at
1209 Orange Street, Wilmington, Delaware 19801, and is presently inactive.
1.2.B.2.(f) PSEG Conemaugh Management Inc. (PSEG CMI), a New Jersey corporation,
has its principal executive offices at 1200 East Ridgewood Avenue, Ridgewood,
New Jersey 07450. PSEG CMI is a 0.5% general partner in Pennsylvania Renewable
Resources, Associates (PRRA).
1.2.B.2.(f)(i) PRRA, a Pennsylvania limited partnership, has its principal
executive offices at 50 Tice Boulevard, Woodcliff Lake, New Jersey 07675. PRRA
owns a hydroelectric QF in Saltsburg, Pennsylvania. PSEG Mount Carmel Inc.
(described below) is a 49.5% limited partner in PRRA.
1.2.B.2.(g) PSEG GWF Inc., a New Jersey corporation, has its principal executive
offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450, and has 2
direct wholly-owned subsidiaries as described below:
1.2.B.2.(g)(i) PSEG Bay, a Delaware corporation, has its principal executive
offices at 225 Lennon Lane, Suite 120, Walnut Creek, California 94598. PSEG Bay
is a 0.5% general partner in GWFLP (described above), which is the owner and
operator of five petroleum coke-fired small power production facilities in
Contra Costa County, California. PSEG Global USA directly owns a 48.5% limited
partnership interest in GWFLP. All five facilities are QFs.
1.2.B.2.(g)(ii) PSEG HI, a Delaware corporation, has its principal executive
offices at 225 Lennon Lane, Suite 120, Walnut Creek, California 94598. PSEG HI
is a 0.5% general partner in Hanford L.P. (HLP) (described above), which is the
owner of a petroleum coke and natural gas-fired cogeneration QF in Hanford,
California. PSEG Global USA directly owns a 48.5% limited partnership interest
in HLP.
1.2.B.2.(h) PSEG Hawaiian Investment Inc., a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801, and owns a
48.49% limited partnership interest in Kalaeloa Investment Partners, L.P.
(KIPLP), a Delaware limited partnership.
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1.2.B.2.(i) PSEG Hawaiian Management Inc., a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801, and is a 1%
general partner in KIPLP.
1.2.B.2.(i)(i) KIPLP, a Delaware limited partnership, has its registered office
at 1209 Orange Street, Wilmington, Delaware 19801, and owns a 99% limited
partnership interest in Kalaeloa Partners, L.P. (KPLP).
1.2.B.2.(i)(i)(a) KPLP, a Delaware limited partnership, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and owns a heavy
oil-fired cogeneration QF on the Island of Oahu in Hawaii.
1.2.B.2.(j) PSEG India Inc., a Delaware corporation, has its principal executive
offices at Prakash Presidium II Floor, 110 Mahatma Gandhi Road, Nungambakkam,
Chennai, India 600034 and is a developer of power production facilities in
India, each of which is expected to qualify upon completion as an EWG.
1.2.B.2.(k) PSEG International Inc., a Delaware corporation, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and has the following
direct and indirect wholly and partially owned subsidiaries:
1.2.B.2.(k)(i) ECI International Development, Inc., a Delaware corporation, has
its registered office at 1209 Orange Street, Wilmington, Delaware 19801, and is
presently inactive.
1.2.B.2.(k)(ii) PSEG Americas Inc., a Delaware corporation, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and has the following
direct and indirect wholly and partially owned subsidiaries and owns a 0.01%
interest in PSEG Americas Operating Company (PSEGAOC) as described below:
1.2.B.2.(k)(ii)(A) La Plata I Inc., a Delaware Company, has its principal
executive offices at 1001 North 19th Street, Arlington, Virginia 22209, and was
formed for the purpose of acting as a holding company for purposes of investing
in and holding interests in La Plata Partners, L.P. La Plata I Inc. is a direct
and wholly owned subsidiary of PSEG Americas Inc.
1.2.B.2.(k)(ii)(A)(i) La Plata Partners L.P., a Delaware Limited Partnership,
has its principal executive offices at 1001 North 19th Street, Arlington,
Virginia 22209, and was formed for the purpose of holding shares or other equity
interests and to invest in other entities which are directly or indirectly
engaged in the electric energy business. La Plata I, Inc. holds a direct 33.33%
interest in La Plata Partners L.P. La Plata II, Inc. (described below) holds a
direct 1% interest in La Plata Partners, L.P.
1.2.B.2.(k)(ii)(A)(i)(a) La Plata Holdings, Inc., a Delaware Corporation, has
its principal executive offices at 1001 North 19th Street, Arlington, Virginia
22209, and was formed for the purpose of acting as a holding company for
purposes of investing in and holding interests in Camille, Ltd. La Plata
Holdings Inc. is a direct wholly owned subsidiary of La Plata Partners, L.P.
1.2.B.2.(k)(ii)(A)(i)(a)(i) Camille Ltd., a Cayman Islands company, has its
registered offices at Leeward One Building, Safe Haven Corporate Centre, West
Bay Road, P.O. Box 31106SMB, George Town,
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Grand Cayman, Cayman Islands, British West Indies, and was formed for the
purpose of executing, delivering and performing its obligations under and
consummating the transaction contemplated by the Stock Purchase Agreement. 100%
of Class A Preferred stock is directly owned by La Plata Holdings Inc. 33.33% of
the Class B Common stock is directly owned by Wildwood I Ltd. (described below).
1.2.B.2.(k)(ii)(A)(i)(a)(i)(A) Luz de la Plata S.A., an Argentine Sociedad
Anonima, has its registered offices in Buenos Aires, Argentina, and was formed
for the purpose of investing in generation, transformation, transmission,
distribution, commercialization, purchase and sale of electricity. Luz de la
Plata S.A. is a direct wholly owned subsidiary of Camille Ltd.
1.2.B.2.(k)(ii)(A)(i)(a)(i)(B) Compania de Inversiones en Electricidad S.A.
(COINELEC), an Argentine Sociedad Anonima, has its registered offices in Buenos
Aires, Argentina and was formed for the purpose of making investments, including
participation in joint ventures, buying and selling stocks, bonds, debentures or
other assets, public or private, and any related activities. A 40% interest in
COINELEC is directly owned by Camille Ltd. (described above), the remaining 60%
interest is directly owned by Luz de la Plata S.A. (described above).
1.2.B.2.(k)(ii)(A)(i)(a)(i)(B)(i) Empresa Distribuidora La Plata Sociedad
Anonima (EDELAP), an Argentine Sociedad Anonima, has its registered offices in
Buenos Aires, Argentina, is a FUCO, and was formed for the purpose of offering
services of distribution and commercialization of electricity in accordance with
the terms of the Concession Contract. 51% of EDELAP Class A stock is directly
owned by COINELEC (described above), 31.942% of EDELAP Class B shares is
directly owned by Luz de la Plata S.A. (described above) and an additional
7.058% of EDELAP Class B Shares are directly owned by Camille Ltd. (described
above).
1.2.B.2.(k)(ii)(A)(i)(a)(i)(B)(ii) Central Dique Sociedad Anonima (Central
Dique), an Argentine Sociedad Anonima, has its registered offices in Buenos
Aires, Argentina, and was formed for the purpose producing electricity and
selling it in bulk. COINELEC (described above) holds a 51% interest in Central
Dique.
1.2.B.2.(k)(ii)(B) La Plata II, Inc., a Delaware Corporation, has its principal
executive offices at 1001 North 19th Street, Arlington, Virginia 22209, and was
formed for the purpose of acting as a holding company for purposes of investing
in and holding interests in La Plata Partners, L.P. A 33.33% interest in La
Plata II, Inc. is directly held by PSEG Americas Inc. (described above).
1.2.B.2.(k)(ii)(C) PSEG Americas Ltd., a Bermuda corporation, has its principal
executive offices at Clarendon House, 2 Church Street, Hamilton, Bermuda. PSEG
Americas Ltd. has the following direct and indirect wholly and partially owned
subsidiaries as described below. Termo Santander Management Company Ltd., C.A.
was sold in August 1998.
1.2.B.2.(k)(ii)(C)(i) Andina Mendoza I Company, a Cayman Islands company, has
its registered office at Ugland House, South Church Street, George Town, Grand
Cayman Islands, British West Indies and is presently inactive. Andina Mendoza I
Company is a direct wholly owned subsidiary of PSEG Americas Ltd.
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1.2.B.2.(k)(ii)(C)(ii) PSEGAOC, a Cayman Island company has its registered
office at Ugland House, South Church Street, George Town, Grand Cayman, Cayman
Islands, British West Indies, and owns a 99.99% interest in CEA Operating
Argentina S.A.(CEA OA). (The remaining 0.01% interest is owned by CEMAS
Corporation (described above)). PSEGAOC is a directly 90% owned subsidiary of
PSEG Americas Ltd. PSEG Americas Inc. holds an additional 0.01% interest in this
company.
1.2.B.2.(k)(ii)(C)(ii)(a) CEA OA, an Argentina company, has its registered
office at Marcelo T. de Alvear 684, Piso 2, Buenos Aires, Argentina, and has two
33.34% owned subsidiaries:
1.2.B.2.(k)(ii)(C)(ii)(a)(i) Empresa Distribuidora de Energia Norte S.A., an
Argentine company, has its principal executive offices at Calle 48, numero 786,
La Plata, Argentina and owns a distribution facility in the province of Buenos
Aires, Argentina, and is a FUCO.
1.2.B.2.(k)(ii)(C)(ii)(a)(ii) Empresa Distribuidora de Energia Sur S.A., an
Argentine company, has its principal executive offices at Calle 48, numero 786,
La Plata, Argentina and owns a distribution facility in the province of Buenos
Aires, Argentina, and is a FUCO.
1.2.B.2.(k)(ii)(C)(iii) PSEG Brasil Ltda., a Brazilian company, has its
registered office at Rua Luigi Galvani 200, 8(degrees) Andar Conjunto 81, Sao
Paulo, CEP04575-020, Brazil, and provides management and business development
services. PSEG Brasil Ltda. is 99.9% directly owned by PSEG Americas Ltd.
(described above) and 0.1% directly owned by IPE Energia S.A. (IPE) (described
below).
1.2.B.2.(k)(ii)(C)(iv) PSEG Brazil II Company, a Cayman Islands company, has its
registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies and has one 50% owned subsidiary.
1.2.B.2.(k)(ii)(C)(iv)(a) Terra Roxa Participacoes S.A. (TRPSA), a Brazilian
company has its registered office at Rua Luigi Galvani 200, 8(degrees) Andar,
Conjunto 81, Sala A Sao Paulo, CEP04575-020, Brazil and is currently inactive.
PSEG Brazil III Company owns the remaining 50% interest in TRPSA.
1.2.B.2.(k)(ii)(C)(v) PSEG Brazil III Company, a Cayman Islands company, has its
registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies and has one 50% owned subsidiary,
TRPSA (described above) which is also 50% owned by PSEG Brazil II Company
(described above).
1.2.B.2.(k)(ii)(C)(vi) PSEG Brazil Investment Company, a Cayman Islands company,
has its registered office at Ugland House, South Church Street, George Town,
Grand Cayman, Cayman Islands, British West Indies, and was formed for the
purpose of indirectly acquiring privatized assets in Brazil. PSEG Brazil
Investment Company has the following direct and indirect wholly-owned
subsidiaries:
1.2.B.2.(k)(ii)(C)(vi)(a) Pampa Energia Ltda., a Cayman Islands company, has its
registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and was formed for the purpose of
indirectly acquiring privatized assets in Brazil. Pampa Energia Ltda. has the
following direct and indirect wholly-owned subsidiaries:
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1.2.B.2.(k)(ii)(C)(vi)(a)(i) PSEG Brazil Company, a Cayman Islands company, has
its registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and was formed for the purpose of
indirectly acquiring an interest in Rio Grande Energia, S.A., formerly Companhia
Norte-Nordeste de Distribuicao de Energia Eletrica, a Brazilian electrical
distribution company located in the State of Rio Grande do Sul ("RGE") and
currently owns a 50% interest in CEA Rio Grande S.A. and IPE (the other 50%
interest in each company is owned by PSEG Brazil I Company).
1.2.B.2.(k)(ii)(C)(vi)(a)(i)(A) CEA Rio Grande S.A., a Brazilian company has its
registered office at Rua Luigi Galvani 200, 8(degrees) Andar, Conjunto 81, Sala
B Sao Paulo, CEP04575-020, Brazil and is presently inactive.
1.2.B.2.(k)(ii)(C)(vi)(a)(i)(B) IPE, a Brazilian company has its registered
office at Rua Luigi Galvani 200, 8(degrees) Andar Conjunto 81, Sala B Sao Paulo,
CEP04575-020, Brazil, and owns a 99.9% interest in CEA Brasil Operacoes Ltda., a
Brazilian company (the remaining 0.1% ownership interest is held by PSEG Brazil
Company), and owns a 31.41% interest in RGE. IPE also owns 0.01% of PSEG Brasil
Ltda as described below:
1.2.B.2.(k)(ii)(C)(vi)(a)(i)(B)(i) RGE, a Brazilian company, has its registered
office at Rua da Consolaco #247, 8th Floor, Room 12, Sao Paulo, Brazil 01301903,
is 31.41% owned by IPE, and is a FUCO.
1.2.B.2.(k)(ii)(C)(vi)(a)(i)(B)(ii) CEA Brasil Operacoes Ltda., a Brazilian
company has its registered office at Rua Luigi Galvani 200, 8(degrees) Andar
Conjunto 81, Sala C Sao Paulo, CEP04575-020, Brazil and is presently inactive.
IPE owns a direct 99.9% interest in CEA Brasil Operacoes Ltda. and PSEG Brazil
Company directly owns the remaining 0.1%.
1.2.B.2.(k)(ii)(C)(vi)(a)(ii) PSEG Brazil I Company, a Cayman Islands company,
has its registered office at Ugland House, South Church Street, George Town,
Grand Cayman, Cayman Islands, British West Indies, and was formed for the
purpose of acquiring an indirect ownership interest in RGE and currently owns a
50% interest in CEA Rio Grande S.A. and IPE (the remaining 50% interest in each
company is owned by PSEG Brazil Company) (described above).
1.2.B.2.(k)(ii)(C)(vii) PSEG Brazil Operating Company, a Cayman Islands company,
has its registered office at Ugland House, South Church Street, George Town,
Grand Cayman, Cayman Islands, British West Indies, and is presently inactive.
1.2.B.2.(k)(ii)(C)(viii) PSEG Cayman Americas Company, a Cayman Islands company,
has its registered office at Ugland House, South Church Street, George Town,
Grand Cayman, Cayman Islands, British West Indies, and has the following
wholly-owned and partially-owned direct and indirect subsidiaries as described
below:
1.2.B.2.(k)(ii)(C)(viii)(a) PSEG Cayman Americas III Company, a Cayman Islands
company, has its registered office at Ugland House, South Church Street, George
Town, Grand Cayman, Cayman Islands, British West Indies, and was formed for the
purpose of making future investments in Latin America.
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1.2.B.2.(k)(ii)(C)(viii)(b) PSEG Cayman Americas IV Company, a Cayman Islands
company, has its registered office at Ugland House, South Church Street, George
Town, Grand Cayman, Cayman Islands, British West Indies, and was formed for the
purpose of making future investments in Latin America.
1.2.B.2.(k)(ii)(C)(viii)(c) PSEG Cayman Americas V Company, a Cayman Islands
company, has its registered office at Ugland House, South Church Street, George
Town, Grand Cayman, Cayman Islands, British West Indies, and has one 33%
directly-owned subsidiaries as described below:
1.2.B.2.(k)(ii)(C)(viii)(c)(i) AES Parana Operations SRL, an Argentine company
has its registered office in Buenos Aires, Argentina and was formed for the
purpose of making a future investment in Argentina. AES Parana Operation SRL
owns 1% of AES Parana SCA (described below). PSEG Cayman Americas V Company owns
an additional 33% of AES Parana SCA.
1.2.B.2.(k)(ii)(C)(viii)(c)(ii) AES Parana SCA, an Argentine company, has its
registered office in Buenos Aires, Argentina and was formed for the purpose of
providing maintenance and operation services for a future investment in
Argentina.
1.2.B.2.(k)(ii)(C)(viii)(d) PSEG Inversora S.A., an Argentine company, has its
registered office at Marcelo T. de Alvear 684, Piso 2, Buenos Aires, Argentina,
and was formed for the purpose of making future investments in Latin America.
PSEG Cayman Americas Company (described above) owns 99.99% of PSEG Invesora S.A.
PSEG Americas Ltd. owns the remaining 0.01% of PSEG Inversora S.A.
1.2.B.2.(k)(ii)(C)(ix) PSEG Electrica, a Cayman Island company, has its
registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and was formed for the purpose of
making a future investment in Venezuela.
1.2.B.2.(k)(ii)(C)(x) PSEG Peru LLC, a Delaware limited liability company, has
its registered office at 1209 Orange Street, Wilmington, Delaware 19801, and
provides management and operational support services to projects in Latin
America.
1.2.B.2.(k)(ii)(C)(xi) Peru Power Ltd., a Cayman Islands company, has its
registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and is presently inactive.
1.2.B.2.(k)(ii)(C)(xii) Terra Roxa I Ltda., a Cayman Islands company, has its
registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and is presently inactive.
1.2.B.2.(k)(ii)(C)(xiii) Transamerica Energy Company, a Cayman Islands company,
has its registered office at Ugland House, South Church Street, George Town,
Grand Cayman, Cayman Islands, British West Indies, and was formed for the
purpose of making a future investment in Panama.
1.2.B.2.(k)(ii)(C)(xiv) Venergy Holdings Company, formerly Turbogeneradores de
Maracay Company, a Cayman Islands company has its registered office at Ugland
House, South Church Street, George Town, Grand Cayman, Cayman Islands, British
West Indies, and has the following direct and indirect partially owned
subsidiaries.
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1.2.B.2.(k)(ii)(C)(xiv)(a) Turboven Company, a Cayman Islands company has its
registered office at c/o Trident Trust Company (Cayman) Limited, Fourth Floor,
One Capital Place, P. O. Box 847, Grand Cayman, Cayman Islands, British West
Indies and was has four direct wholly owned subsidiaries described below.
Turboven Company is a direct 50% owned subsidiary of Venergy Holdings Company.
1.2.B.2.(k)(ii)(C)(xiv)(a)(i) Turboven Cagua Company, a Cayman Islands company
has its registered office at c/o Trident Trust Company (Cayman) Limited, Fourth
Floor, One Capital Place, P. O. Box 847, Grand Cayman, Cayman Islands, British
West Indies, is a FUCO, and was formed for the purpose of making a future
investment in Latin America.
1.2.B.2.(k)(ii)(C)(xiv)(a)(ii) Turboven Maracay Company, a Cayman Islands
company has its registered office at c/o Trident Trust Company (Cayman) Limited,
Fourth Floor, One Capital Place, P. O. Box 847, Grand Cayman, Cayman Islands,
British West Indies, is a FUCO, and was formed for the purpose of making a
future investment in Latin America.
1.2.B.2.(k)(ii)(C)(xiv)(a)(iii) Turboven Valencia Company, a Cayman Islands
company has its registered office at c/o Trident Trust Company (Cayman) Limited,
Fourth Floor, One Capital Place, P. O. Box 847, Grand Cayman, Cayman Islands,
British West Indies, is a FUCO, and was formed for the purpose of making a
future investment in Latin America.
1.2.B.2.(k)(ii)(C)(xiv)(a)(iv) Turboven Victoria Company, a Cayman Islands
company has its registered office at c/o Trident Trust Company (Cayman) Limited,
Fourth Floor, One Capital Place, P. O. Box 847, Grand Cayman, Cayman Islands,
British West Indies, and was formed for the purpose of making a future
investment in Latin America.
1.2.B.2.(k)(ii)(C)(xv)Rayo-Andino Gestora Company, formerly Turbogeneradores de
Valencia Company, a Cayman Islands company has its registered office at Ugland
House, South Church Street, George Town, Grand Cayman, Cayman Islands, British
West Indies, and has one direct 0.014% owned subsidiary described below. A
92.843% interest is owned by Rayo-Andino Inversora Company also described below.
1.2.B.2.(k)(ii)(C)(xv)(a) Promotora Termica del Cafe SCA, a Colombian company
has its registered office at Carrera 11 No. 86-60, Oficina 301 de Santafe de
Bogota, Colombia and was formed for the purpose of making future investments in
Colombia.
1.2.B.2.(k)(ii)(C)(xvi)Rayo-Andino Inversora Company, a Cayman Islands company
has its registered office at Ugland House, South Church Street, George Town,
Grand Cayman, Cayman Islands, British West Indies, and has one direct 92.843%
owned subsidiary described above. A 0.014% interest is owned by Rayo-Andino
Gestora Company, also described above.
1.2.B.2.(k)(ii)(C)(xvii) Venergy Distribudora Uno, a Cayman Islands company has
its registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and was formed for the purpose of
making future investments in Latin America.
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1.2.B.2.(k)(ii)(C)(xviii) Venergy Distribudora Dos, a Cayman Islands company has
its registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and was formed for the purpose of
making future investments in Latin America.
1.2.B.2.(k)(ii)(C)(xvix) Wildwood I Ltd, a Cayman Islands company has its
registered offices at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and is a direct wholly owned
subsidiary of PSEG Americas Ltd.
1.2.B.2.(k)(ii)(D) PSEG Americas II Ltd. (PSEGAII), a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda. PSEGAII has one direct wholly-owned subsidiary, one
direct 50% owned subsidiary, and one indirect 17.13% owned subsidiary as
described below:
1.2.B.2.(k)(ii)(D)(i) Bahia Participacoes Ltda., a Cayman Islands company, has
its registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies. Bahia Participacoes Ltda., is a
directly wholly owned subsidiary of PSEGAII and is presently inactive.
1.2.B.2.(k)(ii)(D)(ii) Turbogeneradores de Venezuela, C.A. (TGV), a Venezuela
company, has its principal executive offices at Avenida Francisco de Miranda,
Torre Country Club, Chacaito, Caracas 1050, Venezuela. TGV is 50% directly owned
by PSEGAII. TGV owns 17.13% of Turbogeneradores Maracay, C.A. (TGM).
1.2.B.2.(k)(ii)(D)(ii)(a) TGM, a Venezuela company, has its principal executive
offices at Avenida Francisco de Miranda, Torre Country Club, Chacaito, Caracas
1050, Venezuela. TGM owns an investment in a gas-fired electric power generation
facility in Maracay, Venezuela, and is a FUCO.
1.2.B.2.(k)(ii)(E) Andina Electrica, Inc. (AEI), a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801, and owns a
51% limited partnership interest in Andina Mendoza Partner L.P. (AMPLP) as
described below:
1.2.B.2.(k)(ii)(E)(i) AMPLP, a Delaware limited partnership, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and directly wholly
owns Andina Mendoza Corporation (AMC) as described below:
1.2.B.2.(k)(ii)(E)(i)(a) AMC, a Delaware corporation, has its registered office
at 1209 Orange Street, Wilmington, Delaware 19801, and directly owns 51% of
Andina Mendoza Company (AMCO) as described below. The remaining 49% is directly
owned by PSEG Cayman Americas Company (described above).
1.2.B.2.(k)(ii)(E)(i)(a)(i) AMCO, a Cayman Islands company, has its registered
office Ugland House, South Church Street, George Town, Grand Cayman, Cayman
Islands, British West Indies, and has four wholly-owned subsidiaries as
described below:
1.2.B.2.(k)(ii)(E)(i)(a)(i)(A) PSEG Cayman Americas I Company, a Cayman Islands
company, has its registered office Ugland House, South Church Street, George
Town, Grand Cayman, Cayman Islands,
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British West Indies, and has one 99.9916% subsidiary and one indirect partially
owned subsidiary as described below. (PSEG Cayman Americas II Company (Cayman
II) owns the remaining 0.0083%.)
1.2.B.2.(k)(ii)(E)(i)(a)(i)(A)(i) CEA Operatora S.R.L., an Argentine company,
has its registered office at Marcelo T. de Alvear 684, Piso 2, Buenos Aires,
Argentina and has one 40% direct subsidiary as described below:
1.2.B.2.(k)(ii)(E)(i)(a)(i)(A)(i)(a) Inversora Electrica Cuyana S.A., an
Argentine company, has its registered office in Buenos Aires, Argentina and is
presently inactive.
1.2.B.2.(k)(ii)(E)(i)(a)(i)(B) PSEG Cayman II, a Cayman Islands company, has its
registered office Ugland House, South Church Street, George Town, Grand Cayman,
Cayman Islands, British West Indies, and owns 0.0083% of CEA Operadora S.R.L.
(described above).
1.2.B.2.(k)(ii)(E)(i)(a)(i)(C) Cuyana, Inc., a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801, and owns a
1% general partnership interest in AMPLP (described above).
1.2.B.2.(k)(ii)(E)(i)(a)(i)(D) Mendoza Energia, Inc., a Delaware corporation,
has its registered office at 1209 Orange Street, Wilmington, Delaware 19801, and
owns a 48% limited partnership interest in AMPLP (described above).
1.2.B.2.(k)(ii)(F) PSEG Peru Inc., a Delaware corporation, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and is presently
inactive.
1.2.B.2.(k)(ii)(G) PSEG Power Inc., a Delaware limited liability company, has
its registered office at 1200 East Ridgewood Avenue, Ridgewood, NJ 07450, and
was formed for the purpose of making investments in Latin America.
1.2.B.2.(k)(iii) PSEG Americas Services Inc. (PSEG-ASI), a Delaware corporation,
has its registered office at 1209 Orange Street, Wilmington, Delaware 19801.
PSEG-ASI provides management, operations and maintenance personnel to some of
the international subsidiaries of PSEG Global USA.
1.2.B.2.(k)(iv) PSEG Barka Inc., a Delaware corporation, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and has one direct
wholly-owned subsidiary:
1.2.B.2.(k)(iv)(A) Barka Power Holdings Ltd. (BPH), a Bermuda corporation, has
its principal offices at Clarendon House, 2 Church Street, Hamilton HMCX,
Bermuda. BPH was formed for the purpose of investing in power facilities in
Muscat, Oman, which are expected to qualify upon completion as an EWG.
1.2.B.2.(k)(v) PSEG (Bermuda) Holdings II Ltd., a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda, and has the following direct and indirect wholly and
partially owned subsidiaries:
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1.2.B.2.(k)(v)(A) PSEG India Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and owns
the following 20 direct wholly-owned and one indirect partially-owned
subsidiaries:
1.2.B.2.(k)(v)(A)(i) PSEG Ambalamugal Energy Company Ltd. (Ambalamugal), a
Mauritius company, has its registered office at 608 St. James Court, St. Denis
Street, Port Louis, Mauritius, and was formed for the purpose of investing in
power facilities in India, each of which upon completion is expected to qualify
as an EWG.
1.2.B.2.(k)(v)(A)(ii) PSEG Bhilai Energy Company Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius has one direct 45% owned subsidiary, and is an EWG.
1.2.B.2.(k)(v)(A)(ii)(a) Bhilai Power Supply Company Limited, an Indian company,
has its registered office at Vijaya Building (7th Floor), 17 Barakhamba Road,
New Delhi 110001, India, and will construct and own a 587 MW coal-fired power
plant in Malhya Pradish, India.
1.2.B.2.(k)(v)(A)(iii) PSEG Cochin Energy Company Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(iv) PSEG Cuddalore Energy Company Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(v) PSEG Hospet Energy Company Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(vi) PSEG Kakinada Energy Company Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(vii) PSEG Kolhapur Energy Company Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(viii) PSEG Kollumangudi Energy Company Ltd., a Mauritius
company, has its registered office at 608 St. James Court, St. Denis Street,
Port Louis, Mauritius, and was formed for the purpose of investing in power
facilities in India.
1.2.B.2.(k)(v)(A)(ix) PSEG Krishnapatnam Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
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1.2.B.2.(k)(v)(A)(x) PSEG Manali Energy Company Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(xi) PSEG Narela Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and was
formed for the purpose of investing in power facilities in India.
1.2.B.2.(k)(v)(A)(xii) PSEG North Chennai Ltd. (formerly PSEG North Madras
Ltd.), a Mauritius company, has its registered office at 608 St. James Court,
St. Denis Street, Port Louis, Mauritius, and was formed for the purpose of
investing in power facilities in India.
1.2.B.2.(k)(v)(A)(xiii) PSEG Parbati Energy Company Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(xiv) PSEG SAIL Energy Company Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(xv) PSEG SEPC Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and was
formed for the purpose of investing in power facilities in India.
1.2.B.2.(k)(v)(A)(xvi) PSEG Surat Garh Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(xvii) PSEG Teesta Energy Company Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(xviii) PSEG Tuticorin Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(v)(A)(xix) PSEG Vembar Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and was
formed for the purpose of investing in power facilities in India.
1.2.B.2.(k)(v)(A)(xx) PSEG Yamunanagar Energy Company Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
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1.2.B.2.(k)(vi) PSEG China Inc. (PSEG China), a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801, and has the
following direct and indirect wholly and partially owned subsidiaries:
1.2.B.2.(k)(vi)(A) C.T. Meiya Power Company, Ltd., a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda, is 50% owned by PSEG China and is in the process of
dissolution.
1.2.B.2.(k)(vi)(B) Meiya Power Company Limited, a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda, is 50% owned by PSEG China and has the following
direct and indirect wholly and partially owned subsidiaries:
1.2.B.2.(k)(vi)(B)(i) PSEG Shanghai BFG Company, a Cayman Island company, has
its registered office at Ugland House, South Church Street, George Town, Grand
Cayman, Cayman Islands, British West Indies, and has two direct 50% owned
subsidiaries as described below:
1.2.B.2.(k)(vi)(B)(i)(a) CanAm Energy China Holdings, LLC (CanAm), a Delaware
limited liability company, has its registered office at 1209 Orange Street,
Wilmington, Delaware 19801, and was formed for the purpose of investing in power
facilities in China which are expected to qualify upon completion as an EWG.
PSEG China indirectly owns 25% of CanAm. Can Am has a 65% interest in Shanghai
Wei-Gang Energy Company Ltd., described below.
1.2.B.2.(k)(vi)(B)(i)(a)(i) Shanghai Wei-Gang Energy Company Ltd.. (SWGEC), a
Chinese joint venture company, has its registered office at Room 1001,
Commercial Tower, 800 Quyang Road, Shanghai, China 200437 and owns and operates
a blast furnace gas-fired electric power generation facility in Shanghai, China
which is expected to qualify upon completion as a FUCO.
1.2.B.2.(k)(vi)(B)(i)(b) WEI/CEA China Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and is in the process of dissolution.
1.2.B.2.(k)(vi)(B)(ii) PSEG Tongzhou Cogen Power Ltd., a Bermuda limited
liability company, has its principal executive offices at Clarendon House, 2
Church Street, Hamilton, Bermuda, and has one direct 80% owned subsidiary as
described below:
1.2.B.2.(k)(vi)(B)(ii)(a) PSEG Tongzhou Meiya Cogeneration Company Limited
(TMCC), a Chinese joint venture company, has its offices at Tinsha Toun,
Tongzhou City, Jiangsu Province, China, and owns and operates a coal-fired
cogeneration facility in Tongzhou City, Jiangsu Province, China, which is
expected to qualify upon completion as an EWG. PSEG China indirectly owns 40% of
TMCC.
1.2.B.2.(k)(vi)(B)(iii) PSEG (Bermuda) Holdings Ltd., a Bermuda corporation, has
its principal executive offices at Clarendon House, 2 Church Street, Hamilton,
Bermuda, and owns a 60% interest in Shanghai Meiya Jinqiao Energy Co., Ltd.
(SMJE), as described below:
1.2.B.2.(k)(vi)(B)(iii)(a) SMJE, a Chinese joint venture company, has its
registered office at Lot #21, Jinqiao EPZ, Shanghai, China, and owns and
operates an oil-fired steam plant in Shanghai, China. PSEG China indirectly owns
30% of SMJE.
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1.2.B.2.(k)(vi)(B)(iv) China U.S. Power Partners I, Ltd., a Bermuda limited
liability company, has its principal executive offices at Clarendon House, 2
Church Street, Hamilton, Bermuda, is an EWG, and has a 30% interest in Jingyuan
Second Power Co., Ltd., (Jingyuan), as described below:
1.2.B.2.(k)(vi)(B)(iv)(a) Jingyuan, a Chinese joint venture company, has its
registered office at Lanzhou City, Gansu Province, China, and owns a coal-fired
electric power generation facility in Jingyuan, China which is an EWG. PSEG
China indirectly owns 15% of Jingyuan.
1.2.B.2.(k)(vi)(C) PSEG Anqing Power Ltd., a Bermuda limited liability company,
has its principal executive offices at Clarendon House, 2 Church Street,
Hamilton, Bermuda, and is in the process of dissolution.
1.2.B.2.(k)(vi)(D) PSEG Asia Power Ltd., a Bermuda limited liability company,
has its principal executive offices at Clarendon House, 2 Church Street,
Hamilton, Bermuda, and is in the process of dissolution.
1.2.B.2.(k)(vi)(E) PSEG China Holdings Ltd., formerly PSEG Gongyi Power Ltd.,
(China Holdings), a Bermuda limited liability company, has its principal offices
at Clarendon House, 2 Church Street, Hamilton, Bermuda and has 11 wholly-owned
subsidiaries and one indirect partially owned subsidiary as detailed below:
1.2.B.2.(k)(vi)(E)(i) Pinyi Power Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and was
formed for the purpose of investing in power facilities in China.
1.2.B.2.(k)(vi)(E)(ii) PSEG Asia I Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and was
formed for the purpose of investing in power facilities in China.
1.2.B.2.(k)(vi)(E)(iii) PSEG Asia II Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
China.
1.2.B.2.(k)(vi)(E)(iv) PSEG Wuxue Cogeneration Ltd. (formerly PSEG Asia III
Ltd.), a Mauritius company, has its registered office at 608 St. James Court,
St. Denis Street, Port Louis, Mauritius, and was formed for the purpose of
investing in power facilities in China.
1.2.B.2.(k)(vi)(E)(v) PSEG Doulinzi Hydropower Ltd. (formerly PSEG Asia IV
Ltd.), a Mauritius company, has its registered office at 608 St. James Court,
St. Denis Street, Port Louis, Mauritius, and was formed for the purpose of
investing in power facilities in China.
1.2.B.2.(k)(vi)(E)(vi) PSEG Haian Power Co. Ltd.(formerly PSEG Asia V Ltd.), a
Mauritius company, has its registered office at 608 St. James Court, St. Denis
Street, Port Louis, Mauritius, and was formed for the purpose of investing in
power facilities in China.
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1.2.B.2.(k)(vi)(E)(vii) PSEG Philippines Power LLC, a Delaware limited liability
company, has its registered office at 1209 Orange Street, Wilmington, Delaware
19801, and is presently inactive.
1.2.B.2.(k)(vi)(E)(viii) PSEG Rongjiang Hydropower Ltd., a Mauritius company,
has its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
China.
1.2.B.2.(k)(vi)(E)(ix) PSEG Xuzhou Cogeneration Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
China.
1.2.B.2.(k)(vi)(E)(x) PSEG Zhuzhou Cogen Power Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
China.
1.2.B.2.(k)(vi)(E)(xi) PSEG Zuojiang Hydropower Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
Zuojiang, China which are expected to qualify upon completion as an EWG. PSEG
Zuojiang Hydropower Ltd. has a direct 60% interest in Guangxi Zuojiang Meiya
Power Co. Ltd. described below.
1.2.B.2.(k)(vi)(E)(xi)(a) Guangxi Zuojiang Meiya Power Co. Ltd., a Chinese joint
venture company, has its registered office at 17 You Ai North Road, Nanning
City, Guangxi Zhuang Nationality Autonomous Region, China and owns and operates
a hydroelectric power facility in Zuojiang, Guangxi Zhuang Nationality
Autonomous Region, China which is expected to qualify upon completion as an EWG.
1.2.B.2.(k)(vi)(F) PSEG Huangshi Power Ltd., a Bermuda limited liability
company, has its principal offices at Clarenden House, 2 Church Street,
Hamilton, Bermuda and was formed for the purpose of investing in power
facilities in China.
1.2.B.2.(k)(vi)(G) PSEG Meiya Power Ltd., a Bermuda limited liability company,
has its principal executive offices at Clarendon House, 2 Church Street,
Hamilton, Bermuda, is an EWG and is in the process of dissolution.
1.2.B.2.(k)(vi)(H) PSEG Philippines Holdings LLC, a Delaware limited liability
company, has its registered office at 1209 Orange Street, Wilmington, Delaware
19801, is an EWG, and has one direct 27.8% owned subsidiary and five indirect
partially owned subsidiaries as described below:
1.2.B.2.(k)(vi)(H)(i) Magellan Capital Holdings Corporation (MCHC), a Philippine
company, has its offices at 4/F Ortigas Bldg., Ortigas Avenue, Pasig City,
Philippines, was formed for the purpose of investing in power facilities in the
Philippines which are expected to qualify upon completion as EWGs and has four
direct 56% owned subsidiaries and one indirect subsidiary as described below:
1.2.B.2.(k)(vi)(H)(i)(a) Magellan Cogeneration Inc., a Philippine company, has
its offices at 4/F Ortigas Bldg., Ortigas Avenue, Pasig City, Philippines, and
owns and operates a diesel-fired power generation facility in Cavite,
Philippines which is an EWG and is 56% owned by MCHC.
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1.2.B.2.(k)(vi)(H)(i)(b) Magellan Utilities Development Corporation (MUDC), a
Philippines company, has its offices at 4/F Ortigas Bldg., Ortigas Avenue, Pasig
City, Philippines, and was formed for the purpose of investing in a power
facility in the Philippines which is expected upon completion to qualify as an
EWG. MUDC is 60% owned by MCHC.
1.2.B.2.(k)(vi)(H)(i)(b)(1) Pinamucan Power Corporation (PPC), a Philippines
company, has its offices at 4/F Ortigas Bldg., Ortigas Avenue, Pasig City,
Philippines and is presently inactive. PPC is 99.8% owned by MUDC.
1.2.B.2.(k)(vi)(H)(i)(c) Batangas Agro-Industrial Development Corporation
(BAID), a Philippines company, has its offices at 4/F Ortigas Bldg., Ortigas
Avenue, Pasig City, Philippines and owns certain real property that is the site
of the EWG to be constructed by MUDC. BAID is 100% owned by MCHC.
1.2.B.2.(k)(vi)(H)(i)(d) Pinamucan Industrial Estates, Inc. (PIE), a Philippines
company, has its offices at 4/F Ortigas Bldg., Ortigas Avenue, Pasig City,
Philippines, and is presently inactive. PIE is 99.9% owned by MCHC.
1.2.B.2.(k)(vi)(I) PSEG Thailand Power Ltd., a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda, and has the following direct and indirect wholly and
partially owned subsidiaries as described below:
1.2.B.2.(k)(vi)(I)(i) Power Advisors Company Limited (PACL), a Thailand company,
has its principal executive offices at No. 55, 4th Floor, Sinkaehakam Building,
Ratchadapisek Road, Kwaeng Dindaeng, Khet Dindaeng, Bangkok Metropolis,
Thailand, and was formed for the purpose of investing in power facilities in
Thailand. PSEG Thailand Power Ltd. directly owns 48.9977% of PACL. PACL has one
partially owned direct subsidiary and four partially owned indirect subsidiaries
as described below:
1.2.B.2.(k)(vi)(I)(i)(a) Energy and Infrastructure Development Co., Ltd. (EID),
a Thailand company, has its offices at 388 Phahobyothin Rd., 12th Fl., S.P.
Bldg., Bangkok, Thailand and is a developer of power production facilities in
Southeast Asia which are each expected to qualify upon completion as an EWG or
FUCO. PSEG Thailand Power Ltd. has a direct 45% ownership interest in EID as
well as an indirect 2.7% ownership interest in EID through its subsidiary PACL
(described above). EID owns 75% of A & R Consultant Co., Ltd. (A&R), 75% of The
Environmental and Energy Management Co., Ltd. (EEM), 95% of Sri U-Thong Co. Ltd.
(SUT), and 95% of Yala Power Producer Co., Ltd. (Yala), all of which are
described below:
1.2.B.2.(k)(vi)(I)(i)(a)(i) A&R, a Thailand company, has its offices at 388
Phahobyothin Rd., 12th Fl., S.P. Bldg., Bangkok, Thailand, and provides
environmental and water management consulting services in Thailand.
1.2.B.2.(k)(vi)(I)(i)(a)(ii) EEM, a Thailand company, has its offices at 388
Phahobyothin Rd., 12th Fl., S.P. Bldg., Bangkok, Thailand, and is a developer of
alternative-fueled energy production facilities in Thailand.
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1.2.B.2.(k)(vi)(I)(i)(a)(iii) SUT, a Thailand company, has its offices at 388
Phahobyothin Rd., 12th Fl., S.P. Bldg., Bangkok, Thailand, and provides
engineering, procurement and construction services for electric power
transmission lines and substations in Southeast Asia.
1.2.B.2.(k)(vi)(I)(i)(a)(iv) Yala, a Thailand company, has its offices at 388
Phahobyothin Rd., 12th Fl., S.P. Bldg., Bangkok, Thailand, and is developing a
wood-waste-fired power production facility in Thailand which is expected to
qualify upon completion as an EWG.
1.2.B.2.(k)(vi)(I)(ii) PSEG Full Moon Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
Indonesia.
1.2.B.2.(k)(vi)(I)(iii) PSEG Full Moon (L) Ltd., a Malaysian company, has its
offices at Level 10, Wisma Oceanic, Jalan O.K.K. Awang Besar, 87007 Labuan F.T.,
Malaysia, and is in the process of dissolution.
1.2.B.2.(k)(vi)(I)(iv) PSEG Pontianak Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
Indonesia.
1.2.B.2.(k)(vi)(I)(v) PSEG Pontianak (L) Ltd., a Malaysian company, has its
offices at Level 10, Wisma Oceanic, Jalan O.K.K. Awang Besar, 87007 Labuan F.T.,
Malaysia, and has one direct 93.75% owned subsidiary as described below:
1.2.B.2.(k)(vi)(I)(v)(a) PT Pontianak Power, an Indonesian company, has its
principal executive offices at Ximenzi Road, #9, Jinqiao EPZ, Shanghai, People's
Republic of China and was formed for the purpose of investing in power
facilities in Pontianak, Indonesia, which is expected to qualify upon completion
as an EWG.
1.2.B.2.(k)(vi)(J) PSEG Zhou Kou Power Ltd., a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda, and has one direct wholly-owned subsidiary as
described below:
1.2.B.2.(k)(vi)(J)(i) PSEG Zhou Kou Power Company Ltd., a Mauritius company, has
its registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
Zhou Kou, China which are expected to qualify upon completion as an EWG.
1.2.B.2.(k)(vii) PSEG Elcho (Delaware) Inc. (PSEG Elcho), a Delaware
corporation, has its registered office at 1209 Orange Street, Wilmington,
Delaware 19801, and has the following direct and indirect wholly and partially
owned subsidiaries:
1.2.B.2.(k)(vii)(A) PSEG Europe B.V. (PSEG Europe), a Netherlands company, has
its principal executive offices at Weena 340, Rotterdam, The Netherlands, PSEG
Europe is a direct wholly owned subsidiary of PSEG Elcho and has one direct
wholly-owned subsidiary, Carlo Gavazzi Power B.V., three direct 99% owned
subsidiaries, (the remaining 1% interest in each of the three subsidiaries is
owned by PSEG Elcho) and one indirect partially owned subsidiary.
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1.2.B.2.(k)(vii)(A)(i) PSEG Investments B.V., a Netherlands company, has its
principal executive offices at Weena 340, Rotterdam, The Netherlands, and was
formed for the purpose of investing in power facilities in Konya Ilgin, Turkey,
which are expected to qualify upon completion as an EWG.
1.2.B.2.(k)(vii)(A)(ii) PSEG Poland B.V., a Netherlands company, has its
principal executive offices at Weena 340, Rotterdam, The Netherlands, and
directly owns a 17% equity interest in Elektrocieplownia Chorzow Elcho, S.z.o.o.
("Chorzow").
1.2.B.2.(k)(vii)(A)(ii)(a) Chorzow, a Polish company, has its principal
executive offices at W. Sklodowskiez 3, 41-503 Chorzow, Poland, and is
developing a coal-fired power station in Chorzow, Poland, which is expected to
qualify upon completion as an EWG.
1.2.B.2.(k)(vii)(A)(iii) PSEG Turkey B.V., formerly Konya Ilgin Electric
Production B.V., a Netherlands company, has its principal executive offices at
Weena 340, Rotterdam, The Netherlands, and was formed for the purpose of
investing in power facilities in Konya Ilgin, Turkey, which are expected to
qualify upon completion as an EWG.
1.2.B.2.(k)(vii)(A)(iv) Carlo Gavazzi Power, B.V. (formerly Ramat Hovav, B.V.),
a Netherlands company, has its principal executive offices at Weena 340,
Rotterdam, The Netherlands, and was formed for the purpose of investing in power
facilities in Italy.
1.2.B.2.(k)(viii) PSEG Global Ltd., a United Kingdom company, has its principal
executive offices at 8 Bourdon Street, London E1X 9HX, England, and was formed
for the purpose of managing development activities in Europe, India and the
Middle East. PSEG Global Ltd. has one wholly-owned subsidiary described below:
1.2.B.2.(k)(viii)(A) PSEG Plan Ltd. (formerly Opalshore Limited), a United
Kingdom company, has its principal executive offices at 8 Bourdon Street, London
E1X 9HX, England, and was formed for the purpose of serving PSEG Global Ltd. as
Trustee for its benefits plan.
1.2.B.2.(k)(ix) PSEG Punjab Energy Company Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius, and was formed for the purpose of investing in power facilities in
India.
1.2.B.2.(k)(x) PSEG Salalah Inc. (PSEG SI), a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801. PSEG SI has
the following direct and indirect wholly and partially owned subsidiaries
including one 50% directly-owned subsidiary, Salalah Power Holdings, Ltd.:
1.2.B.2.(k)(x)(A) PSEG International Ltd., a Bermuda limited liability company,
has its principal executive offices at Clarendon House, 2 Church Street,
Hamilton, Bermuda, and has the following direct wholly-owned and indirect
partially-owned subsidiaries:
1.2.B.2.(k)(x)(A)(i) PSEG Global LLC, a Delaware limited liability company, has
its registered office at 1209 Orange Street, Wilmington, Delaware 19801, and was
formed for the purpose of investing in power facilities in Tunisia which are
expected to qualify as an EWG.
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1.2.B.2.(k)(x)(A)(ii) PSEG Holdings Pte Ltd., a Singapore company, has its
principal executive offices at 95 South Bridge Road, #09-00 Pidemco Centre,
Singapore 058717, and was formed for the purpose of investing in power
facilities in Israel. PSEG Holdings Pte Ltd. has one 50% directly-owned
subsidiary as described below:
1.2.B.2.(k)(x)(A)(ii)(a) O.P.C. Ramat Hovav Ltd., an Israeli company, has its
registered office at 2 Hanamal Street, Haifa, Israel, and was formed for the
purpose of investing in power facilities in Israel.
1.2.B.2.(k)(x)(B) Salalah Power Holdings, Ltd., a Bermuda limited liability
company, has its principal executive offices at Clarendon House, 2 Church
Street, Hamilton, Bermuda, is 50% owned by PSEG SI and has two direct
wholly-owned subsidiaries.
1.2.B.2.(k)(x)(B)(i) Salalah Power Holdings I Ltd. (SPHI), a Bermuda limited
liability company, has its principal executive offices at Clarendon House, 2
Church Street, Hamilton, Bermuda, and was formed for the purpose of investing in
power facilities in Salalah, Oman, which are expected to qualify upon completion
as EWGs. PSEG SI indirectly owns 50% of SPHI.
1.2.B.2.(k)(x)(B)(ii) Salalah Power Holdings II, Ltd. (SPHII), a Bermuda limited
liability company, has its principal executive offices at Clarendon House, 2
Church Street, Hamilton, Bermuda, and was formed for the purpose of investing in
power facilities in Salalah, Oman, which are expected to qualify upon completion
as an EWG. PSEG SI indirectly owns 50% of SPHII.
1.2.B.2.(l) PSEG International Services Inc., a Delaware corporation, has its
registered office at 1209 Orange Street, Wilmington, Delaware 19801, and
provides management, operations and maintenance personnel to some of the
international subsidiaries of PSEG Global USA.
1.2.B.2.(m) PSEG Kalaeloa Inc., a Delaware corporation, has its registered
office at 1209 Orange Street, Wilmington, Delaware 19801, and was formed for the
purpose of acquiring a 1% general partnership interest in KPLP (described
above), a Delaware limited partnership. (The remaining 99% limited partnership
interest is owned by KIPLP, which is also described above.)
1.2.B.2.(n) PSEG Leasing Inc., a New Jersey corporation, has its principal
executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450,
and is a 50% general partner in National Energy Leasing Partners, (NELP).
1.2.B.2.(n)(i) NELP, a Delaware limited partnership, has its principal executive
offices at One Riverchase Parkway South, Birmingham, Alabama 35244. NELP has
entered into lease transactions with respect to certain of the equipment
installed at the Hanford cogeneration facility of HLP (described above) and the
five Contra Costa County, California small power production facilities of GWFLP
(described above).
1.2.B.2.(o) PSEG Mexico Inc., a Delaware corporation, has its registered office
at 1209 Orange Street, Wilmington, Delaware 19801, and is presently inactive.
1.2.B.2.(p) PSEG Mount Carmel Inc., a New Jersey corporation, has its principal
executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450,
and is a 49.5% limited partner in PRRA
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(described above). PSEG Conemaugh Management Inc. owns a 0.5% general
partnership interest in PRRA, resulting in a 50% indirect ownership by PSEG
Global USA.
1.2.B.2.(q) PSEG New Hampshire Incorporated (PSEG NH), a New Hampshire
corporation, has its principal executive offices in Bridgewater, New Hampshire.
PSEG NH is a co-managing 40% general partner in Bridgewater Power Company, L.P.
(BPCLP).
1.2.B.2.(q)(i) BPCLP, a New Hampshire limited partnership, has its principal
executive offices at Route 3, Bridgewater, New Hampshire 03222. BPCLP owns a
biomass-fired small power production QF in Bridgewater, New Hampshire.
1.2.B.2.(r) PSEG Project Services Inc. (PSEG PRO), a New Jersey corporation, has
its principal executive offices at 1200 East Ridgewood Avenue, Ridgewood, New
Jersey 07450. PSEG PRO provides engineering, procurement, construction and
management services and owns a 50% general partnership interest in each of the
two following limited partnerships:
1.2.B.2.(r)(i) National Energy Constructors, a California limited partnership,
has its principal executive offices at 14800 West Schulte Road, Tracy,
California 95376, under which PSEG PRO constructed five petroleum coke-fired
small power production facilities owned and operated by GWFLP (described above)
and a petroleum coke and natural gas-fired cogeneration QF owned by HLP
(described above).
1.2.B.2.(r)(ii) Tracy Operators, a California limited partnership, has its
principal executive offices at 14800 West Schulte Road, Tracy, California 95376,
and operates and maintains a biomass-fired small power production facility in
Tracy, California in which PSEG Tracy Inc. (described below) has an ownership
interest.
1.2.B.2.(s) PSEG Tracy Inc., a New Jersey corporation, has its principal
executive offices at 1200 East Ridgewood Avenue, Ridgewood, New Jersey 07450,
and is a co-managing 34.5% general partner in Thermal Energy Development
Partnership, L.P. (TEDPLP).
1.2.B.2.(s)(i) TEDPLP, a Delaware limited partnership, has its principal
executive offices at New York Life Building, 501 W. Weber Avenue, Suite 104A,
Stockton, California 95203. TEDPLP owns a small biomass-fired power production
QF in Tracy, California.
1.2.B.3.PSEG India Company, a Cayman Islands company has its registered office
at Ugland House, South Church Street, George Town, Grand Cayman Islands, British
West Indies. PSEG India Company has one direct wholly owned subsidiary, two
indirect wholly owned subsidiaries, and two indirect, partially owned
subsidiaries, all of which are described below:
1.2.B.3.(a) PSEG EAMS Ltd. (PSEG EAMS), a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and is a
wholly owned subsidiary of PSEG India Company and has two direct, wholly owned
subsidiaries and two indirect, partially owned subsidiaries which are described
below:
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1.2.B.3.(a)(i) PSEG Operations Ltd., a Mauritius company, has its registered
office at 608 St. James Court, St. Denis Street, Port Louis, Mauritius, and has
one direct nearly wholly owned subsidiary as described below.
1.2.B.3.(a)(i)(A) PSEG PPN Operations Private Ltd., an Indian company, has its
registered office at Prakash Presidium II Floor, 110 Mahatma Gandhi Road,
Nungambakkam, Chennai, India 600034, was formed for the purpose of operation and
maintenance of power facilities in India and is an EWG. PSEG Ambalamugal Energy
Company Ltd. (described above) owns one share of PSEG PPN Operations Private
Ltd.
1.2.B.3.(a)(ii) PSEG PPN Energy Company Ltd., a Mauritius company, has its
registered office at 608 St. James Court, St. Denis Street, Port Louis,
Mauritius and was formed for the purpose of investing in power facilities in
India. As of March 1, 1999, status as an EWG was pending and anticipated to be
granted. PSEG PPN Energy Company Ltd. has a 20% ownership interest in PPN Power
Generating Company Limited (PPN PGC) as described below:
1.2.B.3.(a)(ii)(A) PPN PGC, an Indian company, has its registered office at
Jhaver Plaza III Floor, I A Nungambakkam High Road, Nungambakkam, Chennai, India
600034, and was formed for the purpose of owning and operating power facilities
in India.
1.2.C. Enterprise Group Development Corporation (EGDC), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. EGDC is a nonresidential real estate development and investment
business. EGDC has investments in 8 commercial real estate properties (one of
which is developed) in several states. EGDC is an 80% joint venture partner in
each of State Street Square Urban Renewal Partners (SSSURPI), State Street
Square Urban Renewal Partners II (SSSURPIII), State Street Square Partners III
(SSSIII), State Street Square 36 West Partners (SSS36W) and State Street Square
NSB Partners (SSSNSB). As of December 31, 1998, EGDC comprised 0.4% of PSEG's
assets and EGDC's 1998 net loss comprised 0% of PSEG's net income. EGDC is a
wholly-owned subsidiary of Energy Holdings. EGDC has 9 direct and 2 indirect
subsidiaries as described below:
1.2.C.1. EGDC - Concourse, Incorporated (Concourse), a Florida corporation, has
its principal executive offices at 80 Park Plaza, Newark, New Jersey 07102.
Concourse is a 75% general partner in Concourse at Maitland Associates (CMA).
EGDC owns 100% of Concourse.
1.2.C.1.(a) CMA, a Florida general partnership, has its principal executive
offices at One Riverchase Parkway South, Birmingham, Alabama 35201, and is
presently inactive.
1.2.C.2. EGDC - Fairfax, Incorporated (Fairfax), a Virginia corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102. Fairfax
is a 50% general partner in Monument Place Associates (MPA).
1.2.C.2.(a) MPA, a Virginia general partnership, has its principal executive
offices at 1416 Dodge Street, Room 1100, Omaha, Nebraska 68179, and owns land on
which it plans to develop an office complex in Fairfax County, Virginia.
28
<PAGE>
1.2.C.3. SSSURPI, a New Jersey general partnership, has its principal executive
offices at 50 West State Street, Trenton, New Jersey 08608, and owns one phase
of a commercial office complex in Trenton, New Jersey.
1.2.C.4. SSSURPII, a New Jersey general partnership, has its principal executive
offices at 50 West State Street, Trenton, New Jersey 08608, and owns one phase
of a commercial office complex in Trenton, New Jersey.
1.2.C.5. SSSPIII, a New Jersey general partnership, has its principal executive
offices at 50 West State Street, Trenton, New Jersey 08608, and owns one phase
of a commercial office complex in Trenton, New Jersey.
1.2.C.6. SSSNSB, a New Jersey general partnership, has its principal executive
offices at 50 West State Street, Trenton, New Jersey 08608, and owns one phase
of a commercial office complex in Trenton, New Jersey.
1.2.C.7. SSS36W, a New Jersey general partnership, has its principal executive
offices at 50 West State Street, Trenton, New Jersey 08608, and is presently
inactive.
1.2.C.8. EGDC - Largo Incorporated (Largo), a Maryland corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102, and owns
land on which it plans to develop an office complex in Largo, Maryland.
1.2.C.9. EGDC - Largo Management Incorporated (Largo Management), a Maryland
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102, and is presently inactive.
1.2.D. PSEG Energy Technologies Inc. (PSEG Energy Technologies), formerly
Energis Resources Incorporated, a New Jersey corporation, has its principal
executive offices at 499 Thornall Street, Edison, New Jersey 08837. PSEG Energy
Technologies, an energy services business, is a wholly-owned subsidiary of
Energy Holdings. PSEG Energy Technologies provides a variety of energy related
services to industrial and commercial customers. As of December 31, 1998, PSEG
Energy Technologies comprised 0.7% of PSEG's assets and 1% of PSEG's revenues
and PSEG Energy Technologies' 1998 net loss comprised (2)% of PSEG's net income.
PSEG Energy Technologies has the following direct and indirect wholly-owned
subsidiaries:
1.2.D.1. The Dowling Group Inc. (Dowling Group), a Pennsylvania corporation, has
its principal executive offices at 1117 Club House Road, Gladwynne, Pennsylvania
19035. Dowling Group is a wholly-owned subsidiary of PSEG Energy Technologies.
Dowling Group has one direct subsidiary and two indirect subsidiaries, as
follows:
1.2.D.2. Fluidics, Inc. (Fluidics), a Pennsylvania corporation, has its
principal executive offices at 4140 Whitaker Avenue, Philadelphia, Pennsylvania
19124. Fluidics is a 14% directly owned subsidiary of PSEG Energy Technologies
and an 86% directly owned subsidiary of Dowling Group. Fluidics provides
mechanical, construction and building services. Fluidics has two wholly-owned
subsidiaries, as follows:
29
<PAGE>
1.2.D.2.(a) Fluidics of New Jersey, Inc., a New Jersey corporation, has its
principal executive offices at 499 Thornall Street, Edison, New Jersey 08837.
Fluidics of New Jersey, Inc. is a wholly-owned subsidiary of Fluidics and
provides mechanical, construction and building services.
1.2.D.2.(b) Wredna, Inc. (Wredna), a Delaware Corporation, has its principal
executive offices at 900 Market Street, Suite 200, Wilmington, Delaware 19801.
Wredna is a wholly-owned subsidiary of Fluidics and owns various Fluidics trade
and service marks which it licenses to Fluidics.
1.2.D.3. Public Service Conservation Resources Corporation (PSCRC), a New Jersey
corporation, has its principal executive offices at 499 Thornall Street, Edison,
New Jersey 08837. PSCRC finances, markets and develops energy conservation
projects, mostly within PSE&G's service territory. On January 1, 1999, the
outstanding stock of PSCRC was dividended by PSE&G to PSEG, which contributed
such stock indirectly to Energy Technologies as an additional equity investment.
1.2.D.4. Arden Engineering Constructors Inc. (Arden), a Rhode Island
corporation, has its principal executive offices at 435 Narragansett Park Drive,
Pawtucket, Rhode Island 02861. Arden, which was purchased in January 1999, is a
wholly-owned subsidiary of PSEG Energy Technologies. Arden provides mechanical,
construction and building services.
1.2.E. PSEG Capital Corporation (Capital), a New Jersey corporation, has its
principal executive offices at 80 Park Plaza, Newark, New Jersey 07102. Capital
is a wholly-owned financing subsidiary of Energy Holdings, which serves as a
capital financing vehicle for Energy Holdings' businesses (excluding PSEG Energy
Technologies), borrowing up to $650 million at any one time outstanding on their
behalf on the basis of a minimum net worth maintenance agreement with PSEG.
1.2.F. Enterprise Capital Funding Corporation (Funding), a New Jersey
corporation, has its principal executive offices at 80 Park Plaza, Newark, New
Jersey 07102. Funding, a wholly-owned subsidiary of Energy Holdings, serves as a
capital financing vehicle for Energy Holdings' businesses (excluding EGDC and
PSEG Energy Technologies), borrowing on their behalf on the basis of an
unconditional guaranty from Energy Holdings, but without direct support from
PSEG, as well as investing their short-term funds.
2. A brief description of the properties of claimant and each of its
subsidiary public utility companies used for the generation, transmission, and
distribution of electric energy for sale, or for the production, transmission,
and distribution of natural or manufactured gas, indicating the location of
principal generating plants, transmission lines, producing fields, gas
manufacturing plants, and electric and gas distribution facilities, including
all such properties which are outside the State in which
30
<PAGE>
claimant and its subsidiaries are organized and all transmission or pipelines
which deliver or receive electric energy or gas at the borders of such State.
PSEG owns no property used for the generation, transmission, or
distribution of electric energy for sale, or for the production, transmission,
and distribution of natural or manufactured gas.
PSEG's only subsidiary public utility company is PSE&G, which is an
operating electric and gas utility company. A description of the properties of
PSE&G used for the generation, transmission, and distribution of electric energy
for sale, and for the transmission and distribution of natural gas, which are
located predominantly in New Jersey, follows:
31
<PAGE>
ELECTRIC PROPERTIES
As of December 31, 1998, PSE&G's share of installed generating capacity
was 10,272 MW, as shown in the following table:
INSTALLED PRINCIPAL
NAME AND LOCATION CAPACITY (MW) FUELS USED
- ---------------------------------------- --------------- --------------
Steam:
Hudson, Jersey City, NJ............ 1,006 Coal/Gas
Mercer, Hamilton, NJ............... 648 Coal/Gas
Sewaren, Woodbridge Twp., NJ....... 453 Gas/Oil
Linden, Linden, NJ................. 415 Oil
Keystone, Shelocta, PA--22.84%(B).. 388 Coal
Conemaugh, New Florence,
PA--22.50%(B)...................... 382 Coal
Kearny, Kearny, NJ................. 280 Oil
--------
Total Steam..................... 3,572
--------
Nuclear: (Capacity factor calculated
in accordance with industry
maximum dependable capability
standards)
Hope Creek, Lower Alloways Creek,
NJ 95%(B).......................... 979 Nuclear
Salem 1, Lower Alloways Creek, NJ
42.59%(B).......................... 471 Nuclear
Salem 2, Lower Alloways Creek, NJ
42.59%(B).......................... 471 Nuclear
Peach Bottom 2, Peach Bottom, PA
42.49%(B).......................... 465 Nuclear
Peach Bottom 3, Peach Bottom, PA
42.49%(B).......................... 465 Nuclear
--------
Total Nuclear................... 2,851
--------
Combined Cycle:
Bergen, Ridgefield, NJ............. 675 Gas
Burlington, Burlington, NJ......... 245 Gas
--------
Total Combined Cycle............ 920
--------
Combustion Turbine:
Essex, Newark, NJ.................. 617 Gas/Oil
Edison, Edison Township, NJ........ 504 Gas/Oil
Kearny, Kearny, NJ................. 504 Gas/Oil
Burlington, Burlington, NJ......... 389 Oil
Linden, Linden, NJ................. 223 Gas/Oil
Hudson, Jersey City, NJ............ 129 Oil
Mercer, Hamilton, NJ............... 129 Oil
Sewaren, Woodbridge Township, NJ... 129 Oil
Bayonne, Bayonne, NJ............... 42 Oil
Bergen, Ridgefield, NJ............. 21 Gas
National Park, National Park, NJ... 21 Oil
Salem, Lower Alloways Creek, NJ
42.59%(B).......................... 16 Oil
--------
Total Combustion Turbine........ 2,724
--------
Internal Combustion:
Conemaugh, New Florence,
PA--22.50%(B)...................... 3 Oil
Keystone, Shelocta, PA--22.84%(B).. 2 Oil
--------
Total Internal Combustion....... 5
--------
Pumped Storage:
Yards Creek, Blairstown,
NJ--50%(B)(C)...................... 200
--------
Total PSE&G..................... 10,272 (A)
========
(A) Excludes 695 MW of non-utility capacity and 505 MW of capacity sales.
(B) PSE&G's share of jointly owned facility.
(C) Excludes energy for pumping and synchronous condensers.
32
<PAGE>
In addition to the generating facilities in New Jersey and Pennsylvania as
indicated in the table above, as of December 31, 1998, PSE&G owned 41 switching
and/or generating stations with an aggregate installed capacity of 30,417,670
kilovolt-amperes and 222 substations with an aggregate installed capacity of
7,497,000 kilovolt-amperes. In addition, seven substations having an aggregate
installed capacity of 103,250 kilovolt-amperes were operated on leased property.
All of these facilities are located in New Jersey.
As of December 31, 1998, PSE&G's transmission and distribution system
included approximately 154,634 circuit miles, of which approximately 38,538
miles were underground, and approximately 808,164 poles, of which approximately
538,759 poles were jointly owned. Approximately 99% of this property is located
in New Jersey.
In addition, as of December 31, 1998, PSE&G owned four electric
distribution headquarters and five subheadquarters in four operating divisions
all located in New Jersey.
GAS PROPERTIES
As of December 31, 1998, the daily gas capacity of PSE&G's 100%-owned
peaking facilities (the maximum daily gas delivery available during the three
peak winter months) consisted of liquid petroleum air gas (LPG) and liquefied
natural gas (LNG) and aggregated 2,973,000 therms (approximately 2,886,000 cubic
feet on an equivalent basis of 1,030 Btu/cubic foot) as shown in the following
table:
DAILY CAPACITY
PLANT LOCATION (THERMS)
----- -------- --------
Burlington LNG................... Burlington, NJ 773,000
Camden LPG....................... Camden, NJ 280,000
Central LPG...................... Edison Twp., NJ 960,000
Harrison LPG..................... Harrison, NJ 960,000
--------
Total.......................... 2,973,000
=========
As of December 31, 1998, PSE&G owned and operated approximately 16,240
miles of gas mains, owned 11 gas distribution headquarters and two
subheadquarters all in two operating regions located in New Jersey and owned one
meter shop in New Jersey serving all such areas. In addition, PSE&G operated 61
natural gas metering or regulating stations, all located in New Jersey, of which
28 were located on land owned by customers or natural gas pipeline companies
supplying PSE&G with natural gas and were operated under lease, easement or
other similar arrangement. In some instances, portions of the metering and
regulating facilities were owned by the pipeline companies.
33
<PAGE>
3. The following information is for the last calendar year with respect to
claimant and each of its subsidiary public utility companies:
(a) Number of kwh. (megawatt (Mwh.) = 1,000 kilowatts) of electric
energy sold (at retail or wholesale), and Mcf. of natural or
manufactured gas distributed at retail.
PSEG - None
PSE&G - 40,739,000 Mwh. (retail and wholesale) sold primarily
in the state of New Jersey providing revenue of
approximately $4,006 million in 1998
PSE&G - 355,919,153 Mcf. (1998 basis of 1,039 BTU/cubic foot)
sold in the state of New Jersey providing revenue of
approximately $1,513 million in 1998
(b) Number of kwh. of electric energy and Mcf. of natural or
manufactured gas distributed at retail outside the State in
which each such company is organized.
PSEG - None
PSE&G - None
(c) Number of Mwh. of electric energy and Mcf. of natural or
manufactured gas sold at wholesale outside the State in which
each such company is organized, or at the State line.
PSEG - None
PSE&G - 5,631,799 Mwh. Interchanged of physical sales in
multiple states, including primarily those states in the
following power pools: New York, Pennsylvania, Virginia,
Florida, Ohio and Tennessee, providing revenue of
approximately $160 million in 1998
PSE&G - 74,023,985 Mcf. total off-system sales sold in the
states of New Jersey (at N.J. City-Gate), New York,
Pennsylvania, Maryland, South Carolina, Ohio,
Washington, D.C., Virginia, North Carolina, Georgia,
Texas, Mississippi and Louisiana providing revenue of
approximately $170 million in 1998
34
<PAGE>
(d) Number of Mwh. of electric energy and Mcf. of natural or
manufactured gas purchased outside the State in which each
such company is organized or at the State line.
PSEG - None
PSE&G - 9,621,209 Mwh. of physical purchases made in multiple
states, including primarily those states in the
following power pools: New York, Pennsylvania, Virginia,
Florida, Ohio and Tennessee, at a cost of approximately
$207 million in 1998
PSE&G - 331,644,112 Mcf. received through sales and
transportation agreements with interstate pipelines
having delivery points within the State from the states
of New Jersey, New York, Pennsylvania, Ohio, Texas,
Louisiana and Mississippi at a cost of approximately
$1,096 million in 1998
4. The following information for the reporting period with respect to
claimant and each interest it holds directly or indirectly in an EWG or a
foreign utility company, stating monetary amounts in United States dollars:
(a) Name, location, business address and description of the facilities
used by the EWG or foreign utility company for the generation,
transmission and distribution of electric energy for sale or the
distribution at retail of natural or manufactured gas.
(i) PSEG Bhilai Energy Company Ltd. (BHILAI), a Mauritius company,
has its registered office at 608 St. James Court, St. Denis
Street, Port Louis, Mauritius. BHILAI has a 45% interest in
Bhilai Power Supply Company Limited, which will construct and
own a 587 MW coal-fired power plant in Malhya Pradish, India.
BHILAI is a direct wholly-owned subsidiary of PSEG India
Limited.
(ii) PSEG Meiya Power, Ltd. (PMP), a Bermuda limited liability
company, has its principal executive offices at Clarendon
House, 2 Church Street, Hamilton, Bermuda. PMP was formed for
the purpose of acquiring a controlling interest (51%) in the
voting securities of Meiya Jingling (Nanjing) Cogen Power Co.
Ltd. (MJCP), a Sino-Foreign Cooperative Joint Venture to be
formed under the laws of the People's Republic of China. MJCP,
after formation, will acquire an existing 100 MW coal-fired
generation facility, consisting of three pulverized coal-fired
boilers and two
35
<PAGE>
50 MW extracting/condensing steam turbine generating sets
located in Nanjing, Jiangsu Province, People's Republic of
China. PMP is a direct wholly-owned subsidiary of PSEG China.
(iii) PSEG Philippines Holdings LLC (PPHLLC), a Delaware limited
liability company, has its registered office at 1209 Orange
Street, Wilmington, Delaware 19801. PPHLLC has a 27.8%
interest in Magellan Capital Holdings Corporation, a
Philippine company, which in turn has a 56% interest in
Magellan Cogeneration Inc., a Philippine company, which owns
and operates a diesel-fired power generation facility in
Cavite, Philippines. PPHLLC is a direct wholly-owned
subsidiary of PSEG China.
(iv) Central Termica San Nicolas, S.A. (CTSN), an Argentine
corporation, has its principal executive offices at Cerrito
1294, Piso 3, (1062), Buenos Aires (Capital Federal),
Argentina. CTSN owns and operates a coal, petroleum coke,
natural gas and oil-fired electric power generating facility
located at San Nicolas, Argentina. CTSN is an indirectly owned
subsidiary of CEMAS Corporation.
(v) China U.S. Power Partners I, Ltd. (CUPPI), a Bermuda limited
liability company, has its registered office at Clarendon
House, 2 Church Street, Hamilton, Bermuda. CUPPI has a 30%
interest in Jingyuan Second Power Co., Ltd. (Jingyuan), which
owns a coal-fired electric power generation facility in
Jingyuan, China. PSEG China indirectly owns 15% of Jingyuan.
(vi) Rio Grande Energia, S.A.,("RGE"), formerly Companhia
Norte-Nordeste de Distribuicao de Energia Eletrica, a
Brazilian company, has its registered office at Rua da
Consolacao #247, 8th Floor, Room 12, Sao Paulo, Brazil
01301903. RGE is an electric distribution company serving the
State of Rio Grande do Sul, Brazil. RGE is 91.80% owned by Doc
3 Participacoes S.A., a Brazilian company, which in PSEG
Brazil Company and PSEG Brazil I Company, both Cayman
companies, which in turn are wholly-owned by Pampa Energia
Ltda.
(vii) Empresa Distribuidora de Energia Norte S.A. (EDEN), an
Argentine company, has its principal executive offices at
Calle 48, numero 786, La Plata, Argentina. EDEN owns a
distribution facility in the province of Buenos Aires,
Argentina. EDEN is a direct 33.34% owned subsidiary of PSEG
OA, which in turn is 99.99% owned by PSEGAOC, a Cayman company
and 0.01% owned by CEMAS Corporation. PSEGAOC is in turn 90%
owned by PSEG Americas Ltd., a Bermuda limited liability
36
<PAGE>
company. PSEG Americas Ltd. is a wholly-owned subsidiary of
PSEG Americas, Inc.
(viii) Empresa Distribuidora de Energia Sur S.A. (EDES), an
Argentine company, has its principal executive offices at
Calle 48, numero 786, La Plata, Argentina. EDES owns a
distribution facility in the province of Buenos Aires,
Argentina. EDES is a direct 33.34% owned subsidiary of PSEG
OA, which in turn is 99.99% owned by PSEGAOC, a Cayman company
and 0.01% owned by CEMAS Corporation. PSEGAOC is in turn 90%
owned by PSEG Americas Ltd., a Bermuda limited liability
company. PSEG Americas Ltd. is a wholly-owned subsidiary of
PSEG Americas, Inc.
(ix) Turbogeneradores Maracay, C.A. (TGM), a Venezuela company, has
its principal offices located at Avenida Francisco de Miranda,
Piso 12, Torre Country Club, Chacaito, Caracas, Venezuela. TGM
owns and operates two nominal 20 MW simple-cycle gas turbine
generators at the paper mill facilities of Manufacturas de
Papel C.A. in Maracay, Venezuela. TGM is a direct 17.13% owned
subsidiary of Turbogeneradores de Venezuela, C.A., (TGV). TGV
is a direct 50% owned subsidiary of PSEG Americas II, Ltd.
(x) Empresa Distribuidora La Plata Sociedad Anonima (EDELAP), an
Argentine Sociedad Anonima, with its executive offices in
Buenos Aires, Argentina. The principal purpose of EDELAP is to
offer services of distribution and commercialization of
electricity in accordance with the terms of the Concession
Contract. 51% of EDELAP Class A stock is directly owned by
COINELEC (described above), 31.942% of EDELAP Class B shares
is directly owned by Luz de la Plata S.A. and an additional
7.058% of EDELAP Class B Shares are directly owned by Camille
Ltd. (described above).
(xi) Turboven Cagua (CAGUA), a Cayman Islands company has its
registered office at c/o Trident Trust Company (Cayman)
Limited, Fourth Floor, One Capital Place, P. O. Box 847, Grand
Cayman, Cayman Islands, British West Indies, is a FUCO, and
was formed for the purpose of making a future investment in
Latin America.
(xii) Turboven Maracay (MARACAY), a Cayman Islands company has its
registered office at c/o Trident Trust Company (Cayman)
Limited, Fourth Floor, One Capital Place, P. O. Box 847, Grand
Cayman, Cayman Islands, British West Indies, is a FUCO, and
was
37
<PAGE>
formed for the purpose of making a future investment in Latin
America.
(xiii) Turboven Valencia (VALENCIA), a Cayman Islands company has
its registered office at c/o Trident Trust Company (Cayman)
Limited, Fourth Floor, One Capital Place, P. O. Box 847, Grand
Cayman, Cayman Islands, British West Indies, is a FUCO, and
was formed for the purpose of making a future investment in
Latin America.
(xiv) PSEG PPN Energy Company Ltd. (PPN Energy), a Mauritius
company, has its registered office at 608 St. James Court, St.
Denis Street, Port Louis, Mauritius and was formed for the
purpose of investing in power facilities in Kerala, India.
PSEG PPN Energy Company Ltd. has a 20% ownership interest in
PPN Power Generating Company Limited.
(xv) PSEG PPN Operations Private Ltd. (PPN Operations), an Indian
company, has its registered office at Prakash Presidium II
Floor, 110 Mahatma Gandhi Road, Nungambakkam, Chennai, India
600034, is an EWG and was formed for the purpose of investing
in power facilities in India.
(b) Name of each system company that holds an interest in such EWG or
foreign utility company; and description of the interest held.
See Exhibit C attached hereto and Items 1 and 4(a) above.
(c) Type and amount of capital invested, directly or indirectly, by the
holding company claiming exemption; any direct or indirect guarantee
of the security of the EWG or foreign utility company by the holding
company claiming exemption; and any debt or other financial
obligation for which there is recourse, directly or indirectly, to
the holding company claiming exemption or another system company,
other than the EWG or foreign utility company.
(i) BHILAI
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in BHILAI of U.S. $0.
(ii) PMP
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in PMP of U.S. $0.
38
<PAGE>
(iii) PPHLLC
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in PPHLLC of U.S. $8,514,259 all of which
is equity.
(iv) CTSN
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in CTSN of U.S. $18,930,802 all of which is
equity.
(v) CUPPI
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in CUPPI of U.S. $45,857,131 all of which
is equity. PSEG Global has committed to fund up to a total of
$130 million in Jingyuan, (system company of CUPPI) pursuant
to the joint venture contract governing Jingyuan.
(vi) RGE
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in RGE of U.S. $479,755,505 of which U.S.
$354,889,872 is equity and U.S. $0 is debt (including
interest).
(vii) EDEN
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in EDEN of U.S. $159,131,307 of which U.S.
$88,138,919 is equity and U.S. $0 is debt (including
interest).
(viii) EDES
As of December 31, 1998, PSEG has an indirect aggregate
capital investment in EDES of U.S. $64,635,682 of which U.S.
$35,793,465 is equity and U.S. $0 is debt (including
interest).
(ix) TGM
As of December 31, 1998, PSEG has an indirect capital
investment in TGM of U.S. $1,982,855 all of which is equity.
PSEG and its subsidiaries (direct and indirect) have no other
security guarantees, debt or other financial obligations
relative to TGM.
(x) EDELAP
As of December 31, 1998, PSEG has an indirect capital
investment in EDELAP of U.S. $61,210,066 all of which is
equity.
39
<PAGE>
(xi) CAGUA
As of December 31, 1998, PSEG has an indirect capital
investment in CAGUA of U.S. $0.
(xii) MARACAY
As of December 31, 1998, PSEG has an indirect capital
investment in MARACAY of U.S. $0.
(xiii) VALENCIA
As of December 31, 1998, PSEG has an indirect capital
investment in VALENCIA of U.S. $0.
(xiv) PPN Energy
As of December 31, 1998, PSEG has an indirect capital
investment in PPN Energy of U.S. $14,038,090 all of which is
equity.
(xv) PPN Operations
As of December 31, 1998, PSEG has an indirect capital
investment in PPN Operations of U.S. $0.
(d) Capitalization and earnings of the EWG or foreign utility company
during the reporting period.
(I) BHILAI
----------
12/31/98
$ U.S.
------
Capitalization $0
==============
Net Income $0
==============
40
<PAGE>
(II) PMP
--------
12/31/98
$ U.S.
------
ASSETS
Current Assets $14,874,813
Non-current Assets 90,470,604
---------------
Total Assets $105,345,417
===============
LIABILITIES
Current Liabilities $3,301,046
Non-current Liabilities 0
---------------
Total Liabilities 3,301,046
EQUITY 102,044,371
---------------
Total Liabilities and Equity $105,345,417
===============
Net Income for Year-Ended
12/31/98 $662,749
(III) PPHLLC
------------
12/31/98
$ U.S.
------
ASSETS
Current Assets $5,165,890
Non-current Assets 17,582,706
--------------
Total Assets $22,748,597
==============
LIABILITIES
Current Liabilities $231,071
Non-current Liabilities 377,115
--------------
Total Liabilities 608,186
EQUITY 22,140,411
--------------
Total Liabilities and Equity $22,748,597
==============
Net Income for Year-Ended
12/31/98 $98,837
41
<PAGE>
(IV) CTSN
---------
12/31/98
$ U.S.
------
ASSETS
Current Assets $46,970,308
Non-current Assets 140,412,842
--------------
Total Assets $187,383,150
==============
LIABILITIES
Current Liabilities $69,558,109
Non-current Liabilities 22,000,000
--------------
Total Liabilities 91,558,109
EQUITY 95,825,041
--------------
Total Liabilities and Equity $187,383,150
==============
Net Income for Year-Ended
12/31/98 $12,411,125
(V) CUPPI
---------
12/31/98
$ U.S.
------
ASSETS
Current Assets $5,424,065
Non-current Assets 97,471,130
--------------
Total Assets $102,895,195
==============
LIABILITIES
Current Liabilities $27,337,844
Non-current Liabilities 40,625,000
--------------
Total Liabilities 67,962,844
EQUITY 34,932,351
--------------
Total Liabilities and Equity $102,895,195
==============
Net Income for Year-Ended
12/31/98 $4,303,299
42
<PAGE>
(VI) RGE
--------
12/31/98
$ U.S.
------
ASSETS
Current Assets $101,515,000
Non-current Assets 1,747,214,000
---------------
Total Assets $1,848,729,000
===============
LIABILITIES
Current Liabilities $103,114,000
Non-current Liabilities 569,229,000
---------------
Total Liabilities 672,343,000
EQUITY 1,176,387,000
---------------
Total Liabilities and Equity $1,848,729,000
===============
Net Income for Year-Ended
12/31/98 $76,483,000
(VII) EDEN
----------
12/31/98
$ U.S.
------
ASSETS
Current Assets $97,885,584
Non-current Assets 465,632,152
--------------
Total Assets $563,517,736
==============
LIABILITIES
Current Liabilities $55,381,880
Non-current Liabilities 72,879,180
--------------
Total Liabilities 128,261,060
EQUITY 435,256,676
--------------
Total Liabilities and Equity $563,517,736
==============
Net Income for Year-Ended
12/31/98 $23,751,550
43
<PAGE>
(VIII) EDES
-----------
12/31/98
$ U.S.
------
ASSETS
Current Assets $40,502,697
Non-current Assets 171,560,604
--------------
Total Assets $212,063,301
==============
LIABILITIES
Current Liabilities $21,181,876
Non-current Liabilities 24,935,902
--------------
Total Liabilities 46,117,778
EQUITY 165,945,523
--------------
Total Liabilities and Equity $212,063,301
==============
Net Income for Year-Ended
12/31/98 $13,063,280
(IX) TGM
--------
12/31/98
$ U.S.
------
ASSETS
Current Assets $3,240,668
Non-current Assets 4,139,397
--------------
Total Assets $7,380,065
==============
LIABILITIES
Current Liabilities $1,536,635
Non-current Liabilities 728,108
--------------
Total Liabilities 2,264,743
EQUITY 5,115,322
--------------
Total Liabilities and Equity $7,380,065
==============
Net Income for Year-Ended
12/31/98 $813,191
44
<PAGE>
(X) EDELAP
----------
12/31/98
$ U.S.
------
ASSETS
Current Assets $31,450,239
Non-current Assets 325,436,498
--------------
Total Assets $356,886,737
==============
LIABILITIES
Current Liabilities $62,560,129
Non-current Liabilities 20,000,000
--------------
Total Liabilities 82,560,129
EQUITY 274,326,608
--------------
Total Liabilities and Equity $356,886,737
==============
Net Income for Year-Ended
12/31/98 $10,925,245
(XI) CAGUA
----------
12/31/98
$ U.S.
------
ASSETS
Current Assets $25,133
Non-current Assets 664,908
--------------
Total Assets $690,041
==============
LIABILITIES
Current Liabilities $401,528
Non-current Liabilities 0
--------------
Total Liabilities 401,528
EQUITY 288,513
--------------
Total Liabilities and Equity $690,041
==============
Net Income for Year-Ended
12/31/98 $0
45
<PAGE>
(XII) MARACAY
-------------
12/31/98
$ U.S.
------
ASSETS
Current Assets $99,102
Non-current Assets 179,710
--------------
Total Assets $278,812
==============
LIABILITIES
Current Liabilities $104,085
Non-current Liabilities 0
--------------
Total Liabilities 104,085
EQUITY 174,727
--------------
Total Liabilities and Equity $278,812
==============
Net Income for Year-Ended
12/31/98 $0
(XIII) VALENCIA
---------------
12/31/98
$ U.S.
------
ASSETS
Current Assets $31,220
Non-current Assets 197,397
--------------
Total Assets $228,617
==============
LIABILITIES
Current Liabilities $73,627
Non-current Liabilities 0
--------------
Total Liabilities 73,627
EQUITY 154,990
--------------
Total Liabilities and Equity $228,617
==============
Net Income for Year-Ended
12/31/98 $0
46
<PAGE>
(XIV) PPN ENERGY
----------------
12/31/98
$ U.S.
------
ASSETS
Current Assets $0
Non-current Assets 13,960,528
--------------
Total Assets $13,960,528
==============
LIABILITIES
Current Liabilities $2,528,741
Non-current Liabilities (218,582)
--------------
Total Liabilities 2,310,159
EQUITY 11,650,369
--------------
Total Liabilities and Equity $13,960,528
==============
Net Income for Year-Ended
12/31/98 $(56,888)
(XV) PPN OPERATIONS
-------------------
12/31/98
$ U.S.
------
ASSETS
Current Assets $11,891
Non-current Assets 0
--------------
Total Assets $11,891
==============
LIABILITIES
Current Liabilities $11,891
Non-current Liabilities 0
--------------
Total Liabilities 11,891
EQUITY 0
--------------
Total Liabilities and Equity $11,891
==============
Net Income for Year-Ended
12/31/98 $0
47
<PAGE>
(e) Identify any service, sales or construction contract(s) between the
EWG or foreign utility company and a system company, and describe
the services to be rendered or goods sold and fees or revenues under
such agreement(s).
(i) BHILAI
None.
(ii) PMP
None.
(iii) PPHLLC
None.
(iv) CTSN
None.
(v) CUPPI
None.
(vi) RGE
RGE has an Operators Agreement with IPE under which IPE
provides certain support services to RGE in connection with
electricity distribution.
(vii) EDEN
PSEGAOC has an Operators Agreement with EDEN under which
PSEGAOC provides certain support services to EDEN in
connection with electricity distribution.
(viii) EDES
PSEGAOC has an Operators Agreement with EDES under which
PSEGAOC provides certain support services to EDES in
connection with electricity distribution.
(ix) TGM
None.
(x) EDELAP
None.
(xi) CAGUA
None.
48
<PAGE>
(xii) MARACAY
None.
(xiii) VALENCIA
None.
(xiv) PPN Energy
None.
(xv) PPN Operations
PPN Operations has an Operation and Maintenance Agreement with
PPN PGC to provide certain services in connection with
mobilization, operation and maintenance of 330 MW combined
cycle electric power generating facility of PPN PGC located in
Pillaiperumalnallur in the state of Tamilnadu, India. Under
said agreement, PPN Operations will receive a fee equal to
fifteen percent (15%) of the non fuel and insurance related
operating expenses of the said facility.
49
<PAGE>
EXHIBIT A
---------
A consolidating statement of income and surplus of claimant and its direct
or indirect affiliated subsidiary companies for the last calendar year, together
with a consolidating balance sheet of claimant and its subsidiary companies as
of the close of such calendar year.
Exhibit A includes all required consolidating financial statements
described above to be filed with this report and are attached hereto.
Subsidiaries described under Item 1 above include all PSEG's direct and
indirect subsidiaries. Direct and indirect subsidiaries of PSEG that
exceeded 2% of PSEG's consolidated assets or consolidated revenues are
PSE&G, Energy Holdings, PSEG Resources, RCMC, PSEG Global, PSEG Global
USA, PSEG International, PSEG Americas Inc., PSEG Americas Ltd., PSEG
Brazil, and PSEG Pampa Energia Ltda. and are included in Exhibit A and
cross-referenced for additional information to Item I.
EXHIBIT B
---------
Financial Data Schedule
If, at the time a report on this form is filed, the registrant is required
to submit this report and any amendments thereto electronically via EDGAR, the
registrant shall furnish a Financial Data Schedule. The Schedule shall set forth
the financial and other data specified below that are applicable to the
registrant on a consolidated basis.
Exhibit B, attached to this report, includes all financial and other data
that are applicable to the registrant on a consolidated basis.
EXHIBIT C
---------
An organizational chart showing the relationship of each EWG or foreign
utility company to the associate companies in the holding-company system.
See attached Exhibit C.
50
<PAGE>
The above-named Claimant (PSEG) has caused this statement to be duly
executed on its behalf by its authorized officer on this 1st day of March, 1999.
Public Service Enterprise Group Incorporated
--------------------------------------------
(Name of Claimant)
By PATRICIA A. RADO
--------------------
Patricia A. Rado
Vice President and Controller
(Principal Accounting Officer)
(CORPORATE SEAL)
Attest:
E. J. BIGGINS, JR.
----------------------
E. J. Biggins, Jr.
Corporate Secretary
Name, title, and address of officer to whom notices and correspondence
concerning this statement should be addressed:
James T. Foran Associate General Counsel
------------------ -----------------------------
(Name) (Title)
80 Park Plaza, T5B, P. O. Box 1171, Newark, New Jersey 07101-1171
---------------------------------------------------------------------
(Address)
51
<PAGE>
EXHIBIT A
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
INTERCOMPANY ENERGY
PSEG ELIMINATIONS PSE&G & HOLDINGS &
CONSOL. & RECLASS. SUBS. (A) SUBS. (A) PSEG
--------- -------------- ----------- ------------ -------
<S> <C> <C> <C> <C> <C>
OPERATING REVENUES
- ------------------
Electric $ 4,031 $ -- $ 4,031 $ -- $ --
Gas 1,559 -- 1,559 -- --
Nonutility Activities 341 -- -- $ 340 $ 1
--------- -------------- ----------- ------------ -------
TOTAL OPERATING REVENUES 5,931 -- 5,590 340 1
--------- -------------- ----------- ------------ -------
OPERATING EXPENSES
- ------------------
Net Interchanged Power and Fuel for
Electric Generation 945 -- 945 -- --
Gas Purchased 970 -- 970 -- --
Operation and Maintenance 1,501 -- 1,357 149 (5)
Depreciation and Amortization 669 -- 658 5 6
Taxes:
Income Taxes 420 -- 398 31 (9)
Transitional Energy Facility Assessment/
New Jersey Gross Receipts Taxes 171 -- 171 -- --
Other 69 -- 72 (3) --
--------- -------------- ----------- ------------ -------
TOTAL OPERATING EXPENSES 4,745 -- 4,571 182 (8)
--------- -------------- ----------- ------------ -------
OPERATING INCOME 1,186 -- 1,019 158 9
--------- -------------- ----------- ------------ -------
OTHER INCOME AND DEDUCTIONS
- ---------------------------
Settlement of Salem
Litigation - Net of
Taxes of $29 -- -- -- -- --
Equity in Earnings of
Subsidiary Companies -- (671) -- -- 671
Other - net 6 (1) 8 (1) --
--------- -------------- ----------- ------------ -------
TOTAL OTHER INCOME AND DEDUCTIONS 6 (672) 8 (1) 671
--------- -------------- ----------- ------------ -------
INCOME BEFORE INTEREST CHARGES
AND DIVIDENDS ON PREFERRED SECURITIES 1,192 (672) 1,027 157 680
--------- -------------- ----------- ------------ -------
INTEREST CHARGES AND PREFERRED DIVIDENDS
- ----------------------------------------
Interest Expense 481 (27) 390 91 27
Allowance for Funds Used During
Construction - Debt and Capitalized Interest (13) -- (12) (1) --
Preferred Securities Dividend Requirements 80 26 45 -- 9
--------- -------------- ----------- ------------ -------
TOTAL INTEREST CHARGES AND PREFERRED
DIVIDENDS 548 (1) 423 90 36
--------- -------------- ----------- ------------ -------
NET INCOME $ 644 $ (671) $ 604 $ 67 $ 644
========= ============== =========== ============ =======
WEIGHTED AVERAGE COMMON SHARES AND
POTENTIAL DILUTIVE EFFECT OF STOCK
OPTIONS OUTSTANDING (000's) 230,974
TOTAL EARNINGS PER SHARE (Basic and Diluted) $ 2.79
=========
DIVIDENDS PAID PER SHARE OF COMMON STOCK $ 2.16
=========
</TABLE>
(A) Exceeds 2% of Enterprise's consolidated operating revenues. For additional
information, see Item I.
PSEG - Public Service Enterprise Group Incorporated
PSE&G - Public Service Electric and Gas Company
Energy Holdings - PSEG Energy Holdings Inc.
<PAGE>
PUBLIC SERVICE ENTERPRISE GROUP
INCORPORATED
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
Intercompany Energy
PSEG Eliminations PSE&G & Holdings &
Consol. & Reclass. Subs. Subs. PSEG
--------- -------------- ----------- ------------ -------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 1,623 $ (1,503) $ 1,352 $ 151 $ 1,623
ADD:
Net Income 644 (671) 604 67 644
--------- -------------- ----------- ------------ -------
Total 2,267 (2,174) 1,956 218 2,267
DEDUCT:
Cash Dividends:
Preferred Stock, at required rates -- (28) 10 18 --
Common Stock 499 (503) 503 -- 499
--------- -------------- ----------- ------------ -------
Total Cash Dividends 499 (531) 513 18 499
Restricted Stock Award 5 -- -- -- 5
Preferred Securities Issuance Expenses 15 -- -- -- 15
--------- -------------- ----------- ------------ -------
Total Deductions 519 (531) 513 18 519
--------- -------------- ----------- ------------ -------
BALANCE DECEMBER 31, 1998 $ 1,748 $ (1,643) $ 1,443 $ 200 $ 1,748
========= ============== =========== ============ =======
</TABLE>
<PAGE>
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
Intercompany Energy
PSEG Eliminations PSE&G & Holdings &
Consol. & Reclass. Subs. Subs. PSEG
--------- -------------- ----------- ------------ -------
<S> <C> <C> <C> <C> <C>
ASSETS
UTILITY PLANT - ORIGINAL COST
- -----------------------------
Electric $ 14,069 $ -- $ 14,069 $ -- $ --
Gas 2,847 -- 2,847 -- --
Common 578 -- 578 -- --
--------- -------------- ----------- ------------ -------
Total 17,494 -- 17,494 -- --
Less: Accumulated Depreciation and Amortization 7,048 -- 7,048 -- --
--------- -------------- ----------- ------------ -------
Net 10,446 -- 10,446 -- --
Nuclear Fuel in Service, net of
accumulated amortization 187 -- 187 -- --
--------- -------------- ----------- ------------ -------
Net Utility Plant in Service 10,633 -- 10,633 -- --
--------- -------------- ----------- ------------ -------
Construction Work in Progress including
Nuclear Fuel in Process 219 -- 219 -- --
Plant Held for Future Use 24 -- 24 -- --
--------- -------------- ----------- ------------ -------
NET UTILITY PLANT 10,876 -- 10,876 -- --
--------- -------------- ----------- ------------ -------
INVESTMENTS AND OTHER NONCURRENT ASSETS
- ---------------------------------------
Long-Term Investments, net of
amortization and net of
valuation allowances 3,034 (6,344) 138 2,896 6,344
Nuclear Decommissioning and Other
Special Funds 649 -- 649 -- --
Other Noncurrent Assets 150 -- 46 59 45
--------- -------------- ----------- ------------ -------
TOTAL INVESTMENTS AND
OTHER NONCURRENT ASSETS 3,833 (6,344) 833 2,955 6,389
--------- -------------- ----------- ------------ -------
CURRENT ASSETS
- --------------
Cash and Cash Equivalents 140 -- 43 8 89
Accounts Receivable:
Customer Accounts Receivable 506 -- 460 46 --
Other Accounts Receivable 219 -- 178 21 20
Less: Allowance for Doubtful Accounts 38 -- 38 -- --
Accounts Receivable - Associated Companies -- (68) -- 23 45
Unbilled Revenues 255 -- 255 -- --
Fuel, at average cost 331 -- 331 -- --
Materials and Supplies, at
average cost, net of inventory valuation
reserves 148 -- 146 2 --
Miscellaneous Current
Assets 93 -- 84 9 --
--------- -------------- ----------- ------------ -------
TOTAL CURRENT ASSETS 1,654 (68) 1,459 109 154
--------- -------------- ----------- ------------ -------
DEFERRED DEBITS
- ---------------
Unamortized Loss on Reacquired
Debt and Debt Expense 135 -- 135 -- --
OPEB Costs 270 -- 270 -- --
Environmental Costs 139 -- 139 -- --
Electric Energy and Gas Costs 35 -- 35 -- --
SFAS 109 Income Taxes 704 -- 704 -- --
Demand Side Management Costs 150 -- 150 -- --
Other 201 -- 147 47 7
--------- -------------- ----------- ------------ -------
TOTAL DEFERRED DEBITS 1,634 -- 1,580 47 7
--------- -------------- ----------- ------------ -------
TOTAL ASSETS $ 17,997 $ (6,412) $ 14,748 $ 3,111 $ 6,550
========= ============== =========== ============ =======
</TABLE>
<PAGE>
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
Intercompany Energy
PSEG Eliminations PSE&G & Holdings &
Consol. & Reclass. Subs. Subs. PSEG
--------- -------------- ----------- ------------ --------
<S> <C> <C> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
- --------------
Common Stockholders'
Equity:
Common Stock $ 3,603 $ (2,563) $ 2,563 $ -- $ 3,603
Treasury Stock (207) -- -- -- (207)
Contributed Capital -- (1,113) 594 $ 519 --
Retained Earnings 1,748 (1,643) 1,443 200 1,748
Accumulated Other
Comprehensive Income (46) 43 (3) (43) (43)
--------- -------------- ----------- ------------ --------
Total Common Stockholders' Equity: 5,098 (5,276) 4,597 676 5,101
Subsidiaries' Preferred
Securities:
Preferred Stock Without
Mandatory Redemption 95 (509) 95 509 --
Preferred Stock With
Mandatory Redemption 75 -- 75 -- --
Guaranteed Preferred
Beneficial Interest in
Subordinated Debentures 1,038 (17) 513 -- 542
Long-Term Debt 4,763 (542) 4,045 444 816
--------- -------------- ----------- ------------ --------
TOTAL CAPITALIZATION 11,069 (6,344) 9,325 1,629 6,459
--------- -------------- ----------- ------------ --------
OTHER LONG-TERM LIABILITIES
- ---------------------------
Accrued OPEB 344 -- 344 -- --
Decontamination and
Decommissioning Costs 39 -- 39 -- --
Environmental Costs 84 -- 84 -- --
Capital Lease Obligations 50 -- 50 -- --
--------- -------------- ----------- ------------ --------
TOTAL OTHER LONG - TERM LIABILITIES 517 -- 517 -- --
--------- -------------- ----------- ------------ --------
CURRENT LIABILITIES
- -------------------
Long-Term Debt due within one year 418 -- 100 318 --
Commercial Paper and Loans 1,056 -- 850 206 --
Accounts Payable 655 (10) 581 31 53
Accounts Payable -
Associated Companies -- (58) 46 -- 12
Other 329 -- 255 48 26
--------- -------------- ----------- ------------ --------
TOTAL CURRENT LIABILITIES 2,458 (68) 1,832 603 91
--------- -------------- ----------- ------------ --------
DEFERRED CREDITS
- ----------------
Income Taxes 3,384 -- 2,527 857 --
Investment Tax Credits 322 -- 313 9 --
Other 247 -- 234 13 --
--------- -------------- ----------- ------------ --------
TOTAL DEFERRED CREDITS 3,953 -- 3,074 879 --
--------- -------------- ----------- ------------ --------
TOTAL CAPITALIZATION AND LIABILITIES $ 17,997 $ (6,412) $ 14,748 $ 3,111 $ 6,550
========= ============== =========== ============ ========
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
INTERCOMPANY
PSE&G ELIMINATIONS
CONSOL. & RECLASS. PSE&G (A) PSCRC
------------- ------------ ------------ -----------
<S> <C> <C> <C> <C>
OPERATING REVENUES
- ------------------
Electric $ 4,031 $ (33) $ 4,009 $ 22
Gas 1,559 -- 1,559 --
------------- ------------ ------------ -----------
TOTAL OPERATING REVENUES 5,590 (33) 5,568 22
------------- ------------ ------------ -----------
OPERATING EXPENSES
- ------------------
Net Interchanged Power and Fuel for
Electric Generation 945 -- 945 --
Gas Purchased 970 -- 970 --
Operation and Maintenance 1,357 -- 1,350 7
Depreciation and Amortization 658 (33) 649 9
Taxes:
Income Taxes 398 -- 396 2
Transitional Energy Facility Assessment/New Jersey
Gross Receipts Taxes 171 -- 171 --
Other 72 -- 72 --
------------- ------------ ------------ -----------
TOTAL OPERATING EXPENSES 4,571 (33) 4,553 18
------------- ------------ ------------ -----------
OPERATING INCOME 1,019 -- 1,015 4
------------- ------------ ------------ -----------
OTHER INCOME AND DEDUCTIONS
- ---------------------------
Settlement of Salem Litigation - Net of Applicable
Taxes of $29 -- -- -- --
Other - net 8 (48) 13 (2)
------------- ------------ ------------ -----------
TOTAL OTHER INCOME AND DEDUCTIONS 8 (48) 13 (2)
------------- ------------ ------------ -----------
INCOME BEFORE INTEREST CHARGES
AND DIVIDENDS ON PREFERRED SECURITIES 1,027 (48) 1,028 2
------------- ------------ ------------ -----------
INTEREST CHARGES AND PREFERRED SECURITIES DIVIDENDS
- ---------------------------------------------------
Interest Expense 390 (46) 436 --
Allowance for Funds Used During Construction - Debt (12) -- (12) --
Preferred Securities Dividend Requirements of
Subsidiaries 45 -- -- --
------------- ------------ ------------ -----------
TOTAL INTEREST CHARGES AND PREFERRED
SECURITIES DIVIDEND 423 (46) 424 --
------------- ------------ ------------ -----------
NET INCOME 604 (2) 604 2
------------- ------------ ------------ -----------
Preferred Stock Dividend Requirements 9 -- 9 --
------------- ------------ ------------ -----------
EARNINGS AVAILABLE TO PUBLIC SERVICE
ENTERPRISE GROUP INCORPORATED $ 595 $ (2) $ 595 $ 2
============= ============ ============ ===========
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
CAPITAL E & G
FUELCO TRUST CAPITAL
------------- ------------ ------------
<S> <C> <C> <C>
OPERATING REVENUES
- ------------------
Electric $ 33 -- --
Gas -- -- --
------------- ------------ ------------
TOTAL OPERATING REVENUES 33 -- --
------------- ------------ ------------
OPERATING EXPENSES
- ------------------
Net Interchanged Power and Fuel for
Electric Generation -- -- --
Gas Purchased -- -- --
Operation and Maintenance -- -- --
Depreciation and Amortization 33 -- --
Taxes:
Income Taxes -- -- --
Transitional Energy Facility Assessment/New Jersey
Gross Receipts Taxes -- -- --
Other -- -- --
------------- ------------ ------------
TOTAL OPERATING EXPENSES 33 -- --
------------- ------------ ------------
OPERATING INCOME -- -- --
------------- ------------ ------------
OTHER INCOME AND DEDUCTIONS
- ---------------------------
Settlement of Salem Litigation - Net of Applicable
Taxes of $29 -- -- --
Other - net -- 26 19
------------- ------------ ------------
TOTAL OTHER INCOME AND DEDUCTIONS -- 26 19
------------- ------------ ------------
INCOME BEFORE INTEREST CHARGES
AND DIVIDENDS ON PREFERRED SECURITIES -- 26 19
------------- ------------ ------------
INTEREST CHARGES AND PREFERRED SECURITIES DIVIDENDS
- ---------------------------------------------------
Interest Expense -- -- --
Allowance for Funds Used During Construction - Debt -- -- --
Preferred Securities Dividend Requirements of
Subsidiaries -- 26 19
------------- ------------ ------------
TOTAL INTEREST CHARGES AND PREFERRED
SECURITIES DIVIDEND -- 26 19
------------- ------------ ------------
NET INCOME -- -- --
------------- ------------ ------------
Preferred Stock Dividend Requirements -- -- --
------------- ------------ ------------
EARNINGS AVAILABLE TO PUBLIC SERVICE
ENTERPRISE GROUP INCORPORATED $ -- $ -- $ --
============= ============ ============
</TABLE>
(A) Exceeds 2% of Enterprise's consolidated operating revenues. For additional
information, see Item I.
PSE&G - Public Service Electric and Gas Company
PSCRC - Public Service Conservation Resources Corporation
FUELCO - PSE&G Fuel Corporation
SETI - Soil Extraction Technologies, Incorporated
CAPITAL TRUST - Public Service Electric and Gas Capital Trust I
E&G CAPITAL - Public Service Electric and Gas Capital, L.P.
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
Intercompany
PSE&G Eliminations
Consol. & Reclass. PSE&G PSCRC SETI
------------- ------------ ------------ ----------- -------------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 1,352 $ 7 $ 1,352 $ (5) $ (2)
ADD:
Net Income 604 (2) 604 2 --
------------- ------------ ------------ ----------- -------------
Total 1,956 5 1,956 (3) (2)
------------- ------------ ------------ ----------- -------------
DEDUCT:
Cash Dividends:
Preferred Stock, at required rates 10 -- 10 -- --
Common Stock 503 -- 503 -- --
------------- ------------ ------------ ----------- -------------
Total Cash Dividends 513 -- 513 -- --
Total Deductions 513 -- 513 -- --
------------- ------------ ------------ ----------- -------------
BALANCE DECEMBER 31, 1998 $ 1,443 $ 5 $ 1,443 $ (3) $ (2)
============= ============ ============ =========== =============
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
Intercompany
PSE&G Eliminations
Consol. & Reclass. PSE&G Fuelco
------------- ------------ ------------ -----------
<S> <C> <C> <C> <C>
ASSETS
UTILITY PLANT - ORIGINAL COST
- -----------------------------
Electric $ 14,069 $ -- $ 14,069 $ --
Gas 2,847 -- 2,847 --
Common 578 -- 578 --
------------- ------------ ------------ -----------
Total 17,494 -- 17,494 --
Less: Accumulated Depreciation and Amortization 7,048 -- 7,048 --
------------- ------------ ------------ -----------
Net 10,446 -- 10,446 --
Nuclear Fuel in Service, net of
accumulated amortization 187 -- 110 77
------------- ------------ ------------ -----------
Net Utility Plant in Service 10,633 -- 10,556 77
Construction Work in Progress including
Nuclear Fuel in Process 219 -- 219 --
Plant Held for Future Use 24 -- 24 --
------------- ------------ ------------ -----------
NET UTILITY PLANT 10,876 -- 10,799 77
------------- ------------ ------------ -----------
INVESTMENTS AND OTHER NONCURRENT ASSETS
- ---------------------------------------
Long-Term Investments, net of
amortization and net of valuation allowances 138 -- 61 --
Investment in Subsidiaries -- $ (78) 78 --
Nuclear Decommissioning and Other Special Funds 649 -- 649 --
Other Noncurrent Assets 46 -- 46 --
------------- ------------ ------------ -----------
TOTAL INVESTMENTS AND OTHER NONCURRENT ASSETS 833 (78) 834 --
------------- ------------ ------------ -----------
CURRENT ASSETS
- --------------
Cash and Cash Equivalents 43 -- 42 --
Accounts Receivable:
Customer Accounts Receivable 460 -- 451 --
Other Accounts Receivable 178 -- 178 --
Less: Allowance for Doubtful Accounts 38 -- 34 --
Accounts Receivable - Associated Companies -- (550) 19 3
Unbilled Revenues 255 -- 255 --
Fuel, at average cost 331 -- 331 --
Materials and Supplies, at average cost, net of
inventory valuation reserves 146 -- 146 --
Miscellaneous Current Assets 84 -- 84 --
------------- ------------ ------------ -----------
TOTAL CURRENT ASSETS 1,459 (550) 1,472 3
------------- ------------ ------------ -----------
DEFERRED DEBITS
- ---------------
Unamortized Loss on Reacquired Debt and Debt Expense 135 -- 135 --
OPEB Costs 270 -- 270 --
Environmental Costs 139 -- 127 --
Electric Energy and Gas Costs 35 -- 35 --
SFAS 109 Income Taxes 704 -- 704 --
Demand Side Management Costs 150 -- 150 --
Other 147 -- 147 --
------------- ------------ ------------ -----------
TOTAL DEFERRED DEBITS 1,580 -- 1,568 --
------------- ------------ ------------ -----------
TOTAL ASSETS $ 14,748 $ (628) $ 14,673 $ 80
============= ============ ============ ===========
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
NJP SETI PSC of NJ
------------- ------------ ------------
<S> <C> <C> <C>
ASSETS
UTILITY PLANT - Original Cost
- -----------------------------
Electric $ -- $ -- $ --
Gas -- -- --
Common -- -- --
------------- ------------ ------------
Total -- -- --
Less: Accumulated Depreciation and Amortization -- -- --
------------- ------------ ------------
Net -- -- --
Nuclear Fuel in Service, net of
accumulated amortization -- -- --
------------- ------------ ------------
Net Utility Plant in Service -- -- --
Construction Work in Progress including
Nuclear Fuel in Process -- -- --
Plant Held for Future Use -- -- --
------------- ------------ ------------
NET UTILITY PLANT -- -- --
------------- ------------ ------------
INVESTMENTS AND OTHER NONCURRENT ASSETS
- ---------------------------------------
Long-Term Investments, net of
amortization and net of valuation allowances -- -- --
Investment in Subsidiaries -- -- --
Nuclear Decommissioning and Other Special Funds -- -- --
Other Noncurrent Assets -- -- --
------------- ------------ ------------
TOTAL INVESTMENTS AND OTHER NONCURRENT ASSETS -- -- --
------------- ------------ ------------
CURRENT ASSETS
- --------------
Cash and Cash Equivalents -- -- --
Accounts Receivable:
Customer Accounts Receivable -- -- --
Other Accounts Receivable -- -- --
Less: Allowance for Doubtful Accounts -- -- --
Accounts Receivable - Associated Companies -- -- --
Unbilled Revenues -- -- --
Fuel, at average cost -- -- --
Materials and Supplies, at average cost, net of
inventory valuation reserves -- -- --
Miscellaneous Current Assets -- -- --
------------- ------------ ------------
TOTAL CURRENT ASSETS -- -- --
------------- ------------ ------------
DEFERRED DEBITS
- ---------------
Unamortized Loss on Reacquired Debt and Debt Expense -- -- --
OPEB Costs -- -- --
Environmental Costs 12 -- --
Electric Energy and Gas Costs -- -- --
SFAS 109 Income Taxes -- -- --
Demand Side Management Costs -- -- --
Other -- -- --
------------- ------------ ------------
TOTAL DEFERRED DEBITS 12 -- --
------------- ------------ ------------
TOTAL ASSETS $ 12 $ -- $ --
============= ============ ============
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
New
PSCRC TFC Millennium
------------- ------------- ------------
<S> <C> <C> <C>
ASSETS
UTILITY PLANT - ORIGINAL COST
- -----------------------------
Electric $ -- $ -- $ --
Gas -- -- --
Common -- -- --
------------- ------------- ------------
Total -- -- --
Less: Accumulated Depreciation and Amortization -- -- --
------------- ------------- ------------
Net -- -- --
Nuclear Fuel in Service, net of
accumulated amortization -- -- --
------------- ------------- ------------
Net Utility Plant in Service -- -- --
Construction Work in Progress including
Nuclear Fuel in Process -- -- --
Plant Held for Future Use -- -- --
------------- ------------- ------------
NET UTILITY PLANT -- -- --
------------- ------------- ------------
INVESTMENTS AND OTHER NONCURRENT ASSETS
- ---------------------------------------
Long-Term Investments, net of
amortization and net of valuation allowances 73 1 3
Investment in Subsidiaries -- -- --
Nuclear Decommissioning and Other Special Funds -- -- --
Other Noncurrent Assets -- -- --
------------- ------------- ------------
TOTAL INVESTMENTS AND OTHER NONCURRENT ASSETS 73 1 3
------------- ------------- ------------
CURRENT ASSETS
- --------------
Cash and Cash Equivalents 1 -- --
Accounts Receivable:
Customer Accounts Receivable 9 -- --
Other Accounts Receivable -- -- --
Less: Allowance for Doubtful Accounts 4 -- --
Accounts Receivable - Associated Companies -- -- --
Unbilled Revenues -- -- --
Fuel, at average cost -- -- --
Materials and Supplies, at average cost, net of
inventory valuation reserves -- -- --
Miscellaneous Current Assets -- -- --
------------- ------------- ------------
TOTAL CURRENT ASSETS 6 -- --
------------- ------------- ------------
DEFERRED DEBITS
- ---------------
Unamortized Loss on Reacquired Debt and Debt Expense -- -- --
OPEB Costs -- -- --
Environmental Costs -- -- --
Electric Energy and Gas Costs -- -- --
SFAS 109 Income Taxes -- -- --
Demand Side Management Costs -- -- --
Other -- -- --
------------- ------------- ------------
TOTAL DEFERRED DEBITS -- -- --
------------- ------------- ------------
TOTAL ASSETS $ 79 $ 1 $ 3
============= ============= ============
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSE&G PSE&G Capital PSE&G Capital
Capital, L.P. Trust I Trust II
------------ ------------ -------------
<S> <C> <C> <C>
ASSETS
UTILITY PLANT - ORIGINAL COST
- -----------------------------
Electric $ -- $ -- $ --
Gas -- -- --
Common -- -- --
------------ ------------ -------------
Total -- -- --
Less: Accumulated Depreciation and Amortization -- -- --
------------ ------------ -------------
Net -- -- --
Nuclear Fuel in Service, net of
accumulated amortization -- -- --
------------ ------------ -------------
Net Utility Plant in Service -- -- --
Construction Work in Progress including
Nuclear Fuel in Process -- -- --
Plant Held for Future Use -- -- --
------------ ------------ -------------
NET UTILITY PLANT -- -- --
------------ ------------ -------------
INVESTMENTS AND OTHER NONCURRENT ASSETS
- ---------------------------------------
Long-Term Investments, net of
amortization and net of valuation allowances -- -- --
Investment in Subsidiaries -- -- --
Nuclear Decommissioning and Other Special Funds -- -- --
Other Noncurrent Assets -- -- --
------------ ------------ -------------
TOTAL INVESTMENTS AND OTHER NONCURRENT ASSETS -- -- --
------------ ------------ -------------
CURRENT ASSETS
- --------------
Cash and Cash Equivalents -- -- --
Accounts Receivable:
Customer Accounts Receivable -- -- --
Other Accounts Receivable -- -- --
Less: Allowance for Doubtful Accounts -- -- --
Accounts Receivable - Associated Companies 216 214 98
Unbilled Revenues -- -- --
Fuel, at average cost -- -- --
Materials and Supplies, at average cost, net of
inventory valuation reserves -- -- --
Miscellaneous Current Assets -- -- --
------------ ------------ -------------
TOTAL CURRENT ASSETS 216 214 98
------------ ------------ -------------
DEFERRED DEBITS
- ---------------
Unamortized Loss on Reacquired Debt and Debt Expense -- -- --
OPEB Costs -- -- --
Environmental Costs -- -- --
Electric Energy and Gas Costs -- -- --
SFAS 109 Income Taxes -- -- --
Demand Side Management Costs -- -- --
Other -- -- --
------------ ------------ -------------
TOTAL DEFERRED DEBITS -- -- --
------------ ------------ -------------
TOTAL ASSETS $ 216 $ 214 $ 98
============ ============ =============
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
Intercompany
PSE&G Eliminations
Consol. & Reclass. PSE&G Fuelco
------------- ------------ ------------ -----------
<S> <C> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
- --------------
Common Stockholder's Equity:
Common Stock $ 2,563 $ -- $ 2,563 $ --
Contributed Capital 594 (68) 594 --
Retained Earnings 1,443 6 1,443 --
Accumulated Other Comprehensive Income (3) -- (3) --
------------- ------------ ------------ -----------
Total Common Stockholder's Equity 4,597 (62) 4,597 --
Preferred Stock Without Mandatory Redemption 95 -- 95 --
Preferred Stock With Mandatory Redemption 75 -- 75 --
Subsidiaries' Preferred Securities:
Guaranteed Preferred Beneficial Interest in
Subordinated Debentures 513 (15) -- --
Long- Term Debt 4,045 (529) 4,574 --
------------- ------------ ------------ -----------
TOTAL CAPITALIZATION 9,325 (606) 9,341 --
------------- ------------ ------------ -----------
OTHER LONG-TERM LIABILITIES
- ---------------------------
Accrued OPEB 344 -- 344 --
Decontamination and Decommissioning Costs 39 -- 39 --
Environmental Costs 84 -- 84 --
Capital Lease Obligations 50 -- 50 --
------------- ------------ ------------ -----------
TOTAL OTHER LONG - TERM LIABILITIES 517 -- 517 --
------------- ------------ ------------ -----------
CURRENT LIABILITIES
- -------------------
Long - Term Debt due within one year 100 -- 100 --
Commercial Paper and Loans 850 -- 770 80
Accounts Payable 581 -- 581 --
Accounts Payable - Associated Companies 46 (22) 40 --
Other 255 -- 253 --
------------- ------------ ------------ -----------
TOTAL CURRENT LIABILITIES 1,832 (22) 1,744 80
------------- ------------ ------------ -----------
DEFERRED CREDITS
- ----------------
Income Taxes 2,527 -- 2,533 --
Investment Tax Credits 313 -- 313 --
Other 234 -- 225 --
------------- ------------ ------------ -----------
TOTAL DEFERRED CREDITS 3,074 -- 3,071 --
------------- ------------ ------------ -----------
TOTAL CAPITALIZATION AND LIABILITIES $ 14,748 $ (628) $ 14,673 $ 80
============= ============ ============ ===========
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<CAPTION>
NJP SETI PSC of NJ
------------- ------------ ------------
<S> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
- --------------
Common Stockholder's Equity:
Common Stock $ -- $ -- $ --
Contributed Capital -- 3 --
Retained Earnings -- (3) --
Accumulated Other Comprehensive Income -- -- --
------------- ------------ ------------
Total Common Stockholder's Equity -- -- --
Preferred Stock Without Mandatory Redemption -- -- --
Preferred Stock With Mandatory Redemption -- -- --
Subsidiaries' Preferred Securities:
Guaranteed Preferred Beneficial Interest in
Subordinated Debentures -- -- --
Long- Term Debt -- -- --
------------- ------------ ------------
TOTAL CAPITALIZATION -- -- --
------------- ------------ ------------
OTHER LONG-TERM LIABILITIES
- ---------------------------
Accrued OPEB -- -- --
Decontamination and Decommissioning Costs -- -- --
Environmental Costs -- -- --
Capital Lease Obligations -- -- --
------------- ------------ ------------
TOTAL OTHER LONG - TERM LIABILITIES -- -- --
------------- ------------ ------------
CURRENT LIABILITIES
- -------------------
Long - Term Debt due within one year -- -- --
Commercial Paper and Loans -- -- --
Accounts Payable -- -- --
Accounts Payable - Associated Companies 12 -- --
Other -- -- --
------------- ------------ ------------
TOTAL CURRENT LIABILITIES 12 -- --
------------- ------------ ------------
DEFERRED CREDITS
- ----------------
Income Taxes -- -- --
Investment Tax Credits -- -- --
Other -- -- --
------------- ------------ ------------
TOTAL DEFERRED CREDITS -- -- --
------------- ------------ ------------
TOTAL CAPITALIZATION AND LIABILITIES $ 12 $ -- $ --
============= ============ ============
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
New
PSCRC TFC Millennium
------------- ------------- ------------
<S> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
- --------------
Common Stockholder's Equity:
Common Stock $ -- $ -- $ --
Contributed Capital 61 1 3
Retained Earnings (3) -- --
Accumulated Other Comprehensive Income -- -- --
------------- ------------- ------------
Total Common Stockholder's Equity 58 1 3
Preferred Stock Without Mandatory Redemption -- -- --
Preferred Stock With Mandatory Redemption -- -- --
Subsidiaries' Preferred Securities:
Guaranteed Preferred Beneficial Interest in
Subordinated Debentures -- -- --
Long- Term Debt -- -- --
------------- ------------- ------------
TOTAL CAPITALIZATION 58 1 3
------------- ------------- ------------
OTHER LONG-TERM LIABILITIES
- ---------------------------
Accrued OPEB -- -- --
Decontamination and Decommissioning Costs -- -- --
Environmental Costs -- -- --
Capital Lease Obligations -- -- --
------------- ------------- ------------
TOTAL OTHER LONG - TERM LIABILITIES -- -- --
------------- ------------- ------------
CURRENT LIABILITIES
- -------------------
Long - Term Debt due within one year -- -- --
Commercial Paper and Loans -- -- --
Accounts Payable -- -- --
Accounts Payable - Associated Companies 16 -- --
Other 2 -- --
------------- ------------- ------------
TOTAL CURRENT LIABILITIES 18 -- --
------------- ------------- ------------
DEFERRED CREDITS
- ----------------
Income Taxes (6) -- --
Investment Tax Credits -- -- --
Other 9 -- --
------------- ------------- ------------
TOTAL DEFERRED CREDITS 3 -- --
------------- ------------- ------------
TOTAL CAPITALIZATION AND LIABILITIES $ 79 $ 1 $ 3
============= ============= ============
</TABLE>
<PAGE>
PUBLIC SERVICE ELECTRIC AND GAS COMPANY
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSE&G PSE&G Capital PSE&G Capital
Capital, L.P. Trust I Trust II
------------ ------------ -------------
<S> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
- --------------
Common Stockholder's Equity:
Common Stock $ -- $ -- $ --
Contributed Capital -- -- --
Retained Earnings -- -- --
Accumulated Other Comprehensive Income -- -- --
------------ ------------ -------------
Total Common Stockholder's Equity -- -- --
Preferred Stock Without Mandatory Redemption -- -- --
Preferred Stock With Mandatory Redemption -- -- --
Subsidiaries' Preferred Securities:
Guaranteed Preferred Beneficial Interest in
Subordinated Debentures 216 214 98
Long- Term Debt -- -- --
------------ ------------ -------------
TOTAL CAPITALIZATION 216 214 98
------------ ------------ -------------
OTHER LONG-TERM LIABILITIES
- ---------------------------
Accrued OPEB -- -- --
Decontamination and Decommissioning Costs -- -- --
Environmental Costs -- -- --
Capital Lease Obligations -- -- --
------------ ------------ -------------
TOTAL OTHER LONG - TERM LIABILITIES -- -- --
------------ ------------ -------------
CURRENT LIABILITIES
- -------------------
Long - Term Debt due within one year -- -- --
Commercial Paper and Loans -- -- --
Accounts Payable -- -- --
Accounts Payable - Associated Companies -- -- --
Other -- -- --
------------ ------------ -------------
TOTAL CURRENT LIABILITIES -- -- --
------------ ------------ -------------
DEFERRED CREDITS
- ----------------
Income Taxes -- -- --
Investment Tax Credits -- -- --
Other -- -- --
------------ ------------ -------------
TOTAL DEFERRED CREDITS -- -- --
------------ ------------ -------------
TOTAL CAPITALIZATION AND LIABILITIES $ 216 $ 214 $ 98
============ ============ =============
</TABLE>
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
ENERGY HOLDINGS ELIMINATIONS PSEG PSEG
CONSOLIDATION & RECLASS. ENERGY HOLDINGS GLOBAL
----------------- --------------- ---------------- ----------
<S> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 149 $ -- $ -- $ 114
Income from capital lease agreements 76 -- -- --
Unrealized gains (losses) on investments 14 -- -- --
Realized gains (losses) on investments 14 -- -- 2
Interest and dividend income 12 -- -- 1
Mechanical service contract revenues 58 -- -- --
Consulting and O&M fees 16 -- -- 9
Energy supply revenues 1 -- -- --
Interest and other - associated cos. -- (69) 8 --
Equity in subsidiary earnings -- (67) 67 --
----------------- --------------- ---------------- ----------
TOTAL REVENUES 340 (136) 75 126
----------------- --------------- ---------------- ----------
OPERATING EXPENSES:
Operation and maintenance 62 -- -- 5
Depreciation and amortization 5 -- -- 1
Property impairment (1) -- -- --
Administrative and general 87 (8) 10 46
----------------- --------------- ---------------- ----------
TOTAL OPERATING EXPENSES 153 (8) 10 52
----------------- --------------- ---------------- ----------
OPERATING INCOME 187 (128) 65 74
----------------- --------------- ---------------- ----------
OTHER INCOME (3) -- -- (3)
----------------- --------------- ---------------- ----------
INTEREST EXPENSE:
PSEG Capital Corporation -- (45) -- 12
Enterprise Capital Funding Corp. -- (15) -- 5
Enterprise Group Development Corp. -- -- -- --
PSEG Energy Holdings Inc. -- -- -- --
PSEG Energy Technologies Inc. -- (1) -- --
PSEG Global Inc. -- -- -- --
Other 91 (1) 1 25
Capitalized interest (1) -- -- (1)
----------------- --------------- ---------------- ----------
NET INTEREST EXPENSE 90 (62) 1 41
----------------- --------------- ---------------- ----------
INCOME BEFORE INCOME TAXES 94 (66) 64 30
----------------- --------------- ---------------- ----------
INCOME TAXES:
Current (3) 1 (4) 20
Deferred 33 -- 1 (8)
Investment and energy tax credits - net (1) -- -- --
----------------- --------------- ---------------- ----------
TOTAL INCOME TAXES 29 1 (3) 12
----------------- --------------- ---------------- ----------
MINORITY INTERESTS (2) -- -- (2)
----------------- --------------- ---------------- ----------
NET INCOME 67 (67) 67 20
----------------- --------------- ---------------- ----------
Preferred stock dividend requirements 18 (18) 18 14
----------------- --------------- ---------------- ----------
EARNINGS AVAILABLE TO COMMON STOCK $ 49 $ (49) $ 49 $ 6
================= =============== ================ ==========
</TABLE>
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG
PSEG ENERGY PSEG
RESOURCES (A) TECHNOLOGIES EGDC CAPITAL ECFC
--------------- ----------------- ----------- ------------- --------------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 35 $ -- $ -- $ -- $ --
Income from capital lease agreements 76 -- -- -- --
Unrealized gains (losses) on investments 12 2 -- -- --
Realized gains (losses) on investments 13 -- (1) -- --
Interest and dividend income 9 1 -- -- 1
Mechanical service contract revenues -- 58 -- -- --
Consulting and O&M fees -- 7 -- -- --
Energy supply revenues -- 1 -- -- --
Interest and other - associated cos. -- 1 -- 45 15
Equity in subsidiary earnings -- -- -- -- --
--------------- ----------------- ----------- ------------- --------------
TOTAL REVENUES 145 70 (1) 45 16
--------------- ----------------- ----------- ------------- --------------
OPERATING EXPENSES:
Operation and maintenance -- 57 -- -- --
Depreciation and amortization 2 2 -- -- --
Property impairment -- -- (1) -- --
Administrative and general 8 31 -- -- --
--------------- ----------------- ----------- ------------- --------------
TOTAL OPERATING EXPENSES 10 90 (1) -- --
--------------- ----------------- ----------- ------------- --------------
OPERATING INCOME 135 (20) -- 45 16
--------------- ----------------- ----------- ------------- --------------
OTHER INCOME -- -- -- -- --
--------------- ----------------- ----------- ------------- --------------
INTEREST EXPENSE:
PSEG Capital Corporation 33 -- -- -- --
Enterprise Capital Funding Corp. 10 -- -- -- --
Enterprise Group Development Corp. -- -- -- -- --
PSEG Energy Holdings Inc. -- -- -- -- --
PSEG Energy Technologies Inc. -- -- -- -- 1
PSEG Global Inc. -- -- -- -- --
Other 6 -- -- 45 15
Capitalized interest -- -- -- -- --
--------------- ----------------- ----------- ------------- --------------
NET INTEREST EXPENSE 49 -- -- 45 16
--------------- ----------------- ----------- ------------- --------------
INCOME BEFORE INCOME TAXES 86 (20) -- -- --
--------------- ----------------- ----------- ------------- --------------
INCOME TAXES:
Current (13) (7) -- -- --
Deferred 40 -- -- -- --
Investment and energy tax credits - net (1) -- -- -- --
--------------- ----------------- ----------- ------------- --------------
TOTAL INCOME TAXES 26 (7) -- -- --
--------------- ----------------- ----------- ------------- --------------
MINORITY INTERESTS -- -- -- -- --
--------------- ----------------- ----------- ------------- --------------
NET INCOME 60 (13) -- -- --
--------------- ----------------- ----------- ------------- --------------
Preferred stock dividend requirements 4 -- -- -- --
--------------- ----------------- ----------- ------------- --------------
EARNINGS AVAILABLE TO COMMON STOCK $ 56 $ (13) $ -- $ -- $ --
=============== ================= =========== ============= ==============
</TABLE>
<PAGE>
(A) Exceeds 2% of Enterprise's consolidated operating revenues. For
additional information, see Item I.
Energy Holdings - PSEG Energy Holdings Inc.
PSEG Global - PSEG Global Inc.
PSEG Resources - PSEG Resources Inc.
PSEG Energy Technologies - PSEG Energy Technologies Inc.
EGDC - Enterprise Group Development Corporation
PSEG CAPITAL - PSEG Capital Corporation
ECFC - Enterprise Capital Funding Corporation
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
ENERGY HOLDINGS ELIMINATIONS PSEG PSEG
CONSOL. & RECLASS. ENERGY HOLDINGS GLOBAL
----------------- --------------- ---------------- ----------
<S> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 151 $ (76) $ 151 $ 65
NET INCOME 67 (67) 67 20
----------------- --------------- ---------------- ----------
TOTAL 218 (143) 218 85
----------------- --------------- ---------------- ----------
DIVIDENDS DECLARED 18 (82) 18 14
----------------- --------------- ---------------- ----------
BALANCE DECEMBER 31, 1998 $ 200 $ (61) $ 200 $ 71
================= =============== ================ ==========
<CAPTION>
PSEG
PSEG ENERGY PSEG
RESOURCES TECHNOLOGIES EGDC CAPITAL ECFC
--------------- ----------------- ----------- ------------- --------------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 129 $ (26) $ (92) $ -- $ --
NET INCOME 60 (13) -- -- --
--------------- ----------------- ----------- ------------- --------------
TOTAL 189 (39) (92) -- --
--------------- ----------------- ----------- ------------- --------------
DIVIDENDS DECLARED 68 -- -- -- --
--------------- ----------------- ----------- ------------- --------------
BALANCE DECEMBER 31, 1998 $ 121 $ (39) $ (92) $ -- $ --
=============== ================= =========== ============= ==============
</TABLE>
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
ENERGY HOLDINGS ELIMINATIONS PSEG PSEG
CONSOL. & RECLASS. ENERGY HOLDINGS GLOBAL
----------------- --------------- ---------------- ----------
<S> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 8 $ -- $ -- $ 2
Accounts receivable:
Trade 46 -- -- 8
Other 20 1 -- 11
PSE&G 6 (1) -- 1
PSEG 5 (6) 7 --
Other associated companies -- (11) 1 --
Notes receivable:
PSE&G 12 -- -- --
Associated companies -- (800) -- --
Other -- -- -- --
Interest and dividends receivable 1 -- -- --
Inventory 2 -- -- --
Prepayments 9 -- 1 1
----------------- --------------- ---------------- ----------
Total Current Assets 109 (817) 9 23
----------------- --------------- ---------------- ----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate 64 (1) -- --
Other 26 -- 3 8
Accum. depr. and amortization (21) -- (2) (4)
Valuation allowances (10) -- -- --
----------------- --------------- ---------------- ----------
Property, Plant and Equipment-net 59 (1) 1 4
----------------- --------------- ---------------- ----------
INVESTMENTS
- -----------
Subsidiaries -- (1,236) 1,236 --
Capital lease agreements 1,396 -- -- --
Limited partnerships 526 -- -- 143
General partnerships 77 1 -- 42
Corporate joint ventures 879 -- -- 879
Securities 25 -- -- --
Valuation allowances (7) -- -- --
----------------- --------------- ---------------- ----------
Total Investments 2,896 (1,235) 1,236 1,064
----------------- --------------- ---------------- ----------
OTHER ASSETS
- ------------
Deferred project costs 32 -- -- 32
Debt service reserve 4 -- -- 4
Prepaid pension costs 4 1 -- 2
Goodwill 6 -- -- --
Other 1 (1) -- --
----------------- --------------- ---------------- ----------
Total Other Assets 47 -- -- 38
----------------- --------------- ---------------- ----------
TOTAL ASSETS $ 3,111 $ (2,053) $ 1,246 $ 1,129
================= =============== ================ ==========
</TABLE>
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG
PSEG ENERGY PSEG
RESOURCES TECHNOLOGIES EGDC CAPITAL ECFC
--------------- ----------------- ----------- ------------- --------------
<S> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 3 $ 2 $ 1 $ -- $ --
Accounts receivable:
Trade -- 38 -- -- --
Other 1 7 -- -- --
PSE&G -- 6 -- -- --
PSEG 2 2 -- -- --
Other associated companies -- -- -- 9 1
Notes receivable:
PSE&G -- 12 -- -- --
Associated companies -- 28 2 491 279
Other -- -- -- -- --
Interest and dividends receivable 1 -- -- -- --
Inventory -- 2 -- -- --
Prepayments -- 7 -- -- --
--------------- ----------------- ----------- ------------- --------------
Total Current Assets 7 104 3 500 280
--------------- ----------------- ----------- ------------- --------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate 18 -- 47 -- --
Other -- 15 -- -- --
Accum. depr. and amortization (9) (6) -- -- --
Valuation allowances -- -- (10) -- --
--------------- ----------------- ----------- ------------- --------------
Property, Plant and Equipment-net 9 9 37 -- --
--------------- ----------------- ----------- ------------- --------------
INVESTMENTS
- -----------
Subsidiaries -- -- -- -- --
Capital lease agreements 1,396 -- -- -- --
Limited partnerships 383 -- -- -- --
General partnerships -- -- 34 -- --
Corporate joint ventures -- -- -- -- --
Securities 21 4 -- -- --
Valuation allowances (7) -- -- -- --
--------------- ----------------- ----------- ------------- --------------
Total Investments 1,793 4 34 -- --
--------------- ----------------- ----------- ------------- --------------
OTHER ASSETS
- ------------
Deferred project costs -- -- -- -- --
Debt service reserve -- -- -- -- --
Prepaid pension costs -- 1 -- -- --
Goodwill -- 6 -- -- --
Other -- 1 1 -- --
--------------- ----------------- ----------- ------------- --------------
Total Other Assets -- 8 1 -- --
--------------- ----------------- ----------- ------------- --------------
TOTAL ASSETS $ 1,809 $ 125 $ 75 $ 500 $ 280
=============== ================= =========== ============= ==============
</TABLE>
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
ENERGY HOLDINGS ELIMINATIONS PSEG PSEG
CONSOL. & RECLASS. ENERGY HOLDINGS GLOBAL
----------------- --------------- ---------------- ----------
<S> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 31 $ -- $ -- $ 5
Taxes 7 (1) 4 2
Other 32 1 12 8
Interest 8 -- -- 5
Associated companies -- (17) 3 4
Notes payable:
PSEG Capital Corporation -- (491) -- 89
Enterprise Capital Funding Corp. -- (279) 2 50
Enterprise Group Development Corp. -- (2) -- --
PSEG Energy Technologies Inc. -- (28) -- --
Revolving credit facility 206 -- -- --
Preferred stock dividends payable -- -- -- --
Current portion of long-term debt 318 -- -- 118
----------------- --------------- ---------------- ----------
Total Current Liabilities 602 (817) 21 281
----------------- --------------- ---------------- ----------
TOTAL LONG-TERM DEBT 444 -- -- 102
- -------------------- ----------------- --------------- ---------------- ----------
DEFERRED CREDITS
- ----------------
Deferred income taxes 859 1 (6) 58
Deferred investment and energy tax credits 9 -- -- 9
Deferred revenues 3 -- -- 3
Long-term liabilities 8 -- 3 4
----------------- --------------- ---------------- ----------
Total Deferred Taxes and Other Liabilities 879 1 (3) 74
------------------------------------------------------------------------
MINORITY INTERESTS 1 -- -- 1
- ------------------ ----------------- --------------- ---------------- ----------
STOCKHOLDER'S EQUITY
- --------------------
Common stock -- (171) -- 63
Preferred stock 509 (509) 509 375
Contributed capital 519 (496) 519 205
Retained earnings 200 (61) 200 71
Foreign currency translation adjustments (43) -- -- (43)
----------------- --------------- ---------------- ----------
Total Stockholder's Equity 1,185 (1,237) 1,228 671
----------------- --------------- ---------------- ----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 3,111 $ (2,053) $ 1,246 $ 1,129
================= =============== ================ ==========
</TABLE>
<PAGE>
PSEG ENERGY HOLDINGS INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
(Millions of Dollars)
<TABLE>
<CAPTION>
PSEG
PSEG ENERGY PSEG
RESOURCES TECHNOLOGIES EGDC CAPITAL ECFC
--------------- ----------------- ----------- ------------- --------------
<S> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ 26 $ -- $ -- $ --
Taxes 1 1 -- -- --
Other 1 10 -- -- --
Interest 1 -- -- 1 1
Associated companies 9 -- 1 -- --
Notes payable:
PSEG Capital Corporation 402 -- -- -- --
Enterprise Capital Funding Corp. 227 -- -- -- --
Enterprise Group Development Corp. -- -- -- 2 --
PSEG Energy Technologies Inc. -- -- -- -- 28
Revolving credit facility -- -- -- -- 206
Preferred stock dividends payable -- -- -- -- --
Current portion of long-term debt -- -- -- 155 45
--------------- ----------------- ----------- ------------- --------------
Total Current Liabilities 641 37 1 158 280
--------------- ----------------- ----------- ------------- --------------
TOTAL LONG-TERM DEBT -- -- -- 342 --
- -------------------- --------------- ----------------- ----------- ------------- --------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 806 -- -- -- --
Deferred investment and energy tax credits -- -- -- -- --
Deferred revenues -- -- -- -- --
Long-term liabilities -- 1 -- -- --
--------------- ----------------- ----------- ------------- --------------
Total Deferred Taxes and Other Liabilities 806 1 -- -- --
-----------------------------------------------------------------------------------
MINORITY INTERESTS -- -- -- -- --
- ------------------ --------------- ----------------- ----------- ------------- --------------
STOCKHOLDER'S EQUITY
- --------------------
Common stock 107 -- 1 -- --
Preferred stock 134 -- -- -- --
Contributed capital -- 126 165 -- --
Retained earnings 121 (39) (92) -- --
Foreign currency translation adjustments -- -- -- -- --
--------------- ----------------- ----------- ------------- --------------
Total Stockholder's Equity 362 87 74 -- --
--------------- ----------------- ----------- ------------- --------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 1,809 $ 125 $ 75 $ 500 $ 280
=============== ================= =========== ============= ==============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
RESOURCES ELIMINATIONS PSEG
CONSOL. & RECLASS. RESOURCES
------------- --------------- ------------
<S> <C> <C> <C>
REVENUES:
Income from partnerships $ 34,537 $ -- $ 2,109
Income from capital lease agreements 75,801 -- 37,022
Unrealized gains (losses) on investments 11,794 -- (7,691)
Realized gains (losses) on investments 13,110 -- 2,401
Interest and dividend income 9,350 -- 2,961
Other 523 -- (22)
Equity in subsidiary earnings -- (63,043) 63,043
------------- --------------- ------------
TOTAL REVENUES 145,115 (63,043) 99,823
------------- --------------- ------------
OPERATING EXPENSES:
Operation and maintenance -- -- --
Depreciation and amortization 1,612 -- 200
Administrative and general 8,413 -- 7,393
------------- --------------- ------------
TOTAL OPERATING EXPENSES 10,024 -- 7,593
------------- --------------- ------------
OPERATING INCOME 135,090 (63,043) 92,230
------------- --------------- ------------
INTEREST EXPENSE:
PSEG Capital Corporation 32,322 -- 26,714
Enterprise Capital Funding Corp. 10,193 -- 8,207
Other 6,212 -- 605
Capitalized interest -- -- --
------------- --------------- ------------
NET INTEREST EXPENSE 48,727 -- 35,527
------------- --------------- ------------
INCOME BEFORE INCOME TAXES 86,363 (63,043) 56,703
------------- --------------- ------------
INCOME TAXES:
Current (12,495) -- (38,254)
Deferred 39,969 -- 35,529
Investment and energy tax credits - net (850) -- (313)
------------- --------------- ------------
TOTAL INCOME TAXES 26,623 -- (3,037)
------------- --------------- ------------
MINORITY INTERESTS -- -- --
------------- --------------- ------------
NET INCOME 59,740 (63,043) 59,740
------------- --------------- ------------
PREFERRED STOCK DIVIDEND REQUIREMENT 4,217 -- 4,217
------------- --------------- ------------
EARNINGS AVAILABLE TO COMMON STOCK $ 55,523 $ (63,043) $ 55,523
============= =============== ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
RCMC
CONSOL. (A) RCIC RCSC
----------- ------------ ------------
<S> <C> <C> <C>
REVENUES:
Income from partnerships $ 9,518 $ -- $ --
Income from capital lease agreements 22,656 13,033 --
Unrealized gains (losses) on investments (3,406) -- --
Realized gains (losses) on investments -- 8,491 --
Interest and dividend income 2,264 422 --
Other 375 -- 6
Equity in subsidiary earnings -- -- --
----------- ------------ ------------
TOTAL REVENUES 31,407 21,946 6
----------- ------------ ------------
OPERATING EXPENSES:
Operation and maintenance -- -- --
Depreciation and amortization -- -- --
Administrative and general 424 7 6
----------- ------------ ------------
TOTAL OPERATING EXPENSES 424 7 6
----------- ------------ ------------
OPERATING INCOME 30,983 21,939 --
----------- ------------ ------------
INTEREST EXPENSE:
PSEG Capital Corporation 5,094 330 --
Enterprise Capital Funding Corp. 1,803 117 --
Other 195 1,413 --
Capitalized interest -- -- --
----------- ------------ ------------
NET INTEREST EXPENSE 7,092 1,860 --
----------- ------------ ------------
INCOME BEFORE INCOME TAXES 23,891 20,078 --
----------- ------------ ------------
INCOME TAXES:
Current (23,070) 28,124 --
Deferred 28,849 (20,677) --
Investment and energy tax credits - net (205) (332) --
----------- ------------ ------------
TOTAL INCOME TAXES 5,574 7,116 --
----------- ------------ ------------
MINORITY INTERESTS -- -- --
----------- ------------ ------------
NET INCOME 18,317 12,963 --
----------- ------------ ------------
PREFERRED STOCK DIVIDEND REQUIREMENT -- -- --
----------- ------------ ------------
EARNINGS AVAILABLE TO COMMON STOCK $ 18,317 $ 12,963 $ --
=========== ============ ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSRC SC PSRC SC PSRC SC PSRC SC
RCFC ONE TWO THREE FOUR
----------- ------------- ------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ -- $ -- $ -- $ -- $ --
Income from capital lease agreements 47 -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- --
Interest and dividend income 184 -- -- -- --
Other 147 4 4 4 4
Equity in subsidiary earnings -- -- -- -- --
----------- ------------- ------------- ------------- ------------
TOTAL REVENUES 378 4 4 4 4
----------- ------------- ------------- ------------- ------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- --
Depreciation and amortization -- -- -- -- --
Administrative and general 17 4 4 4 4
----------- ------------- ------------- ------------- ------------
TOTAL OPERATING EXPENSES 17 4 4 4 4
----------- ------------- ------------- ------------- ------------
OPERATING INCOME 361 -- -- -- --
----------- ------------- ------------- ------------- ------------
INTEREST EXPENSE:
PSEG Capital Corporation 184 -- -- -- --
Enterprise Capital Funding Corp. 65 -- -- -- --
Other -- -- -- -- --
Capitalized interest -- -- -- -- --
----------- ------------- ------------- ------------- ------------
NET INTEREST EXPENSE 249 -- -- -- --
----------- ------------- ------------- ------------- ------------
INCOME BEFORE INCOME TAXES 112 -- -- -- --
----------- ------------- ------------- ------------- ------------
INCOME TAXES:
Current 553 -- -- -- --
Deferred (373) -- -- -- --
Investment and energy tax credits - net -- -- -- -- --
----------- ------------- ------------- ------------- ------------
TOTAL INCOME TAXES 180 -- -- -- --
----------- ------------- ------------- ------------- ------------
MINORITY INTERESTS -- -- -- -- --
----------- ------------- ------------- ------------- ------------
NET INCOME (68) -- -- -- --
----------- ------------- ------------- ------------- ------------
PREFERRED STOCK DIVIDEND REQUIREMENT -- -- -- -- --
----------- ------------- ------------- ------------- ------------
EARNINGS AVAILABLE TO COMMON STOCK $ (68) $ -- $ -- $ -- $ --
=========== ============= ============= ============= ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
THE PSGMC
WATER SOURCE CONSOL. PSRC, INC. ENTECH PSRC I, INC.
---------------- -------------- ---------- -------- ----------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ -- $ -- $ -- $ -- $ 22,911
Income from capital lease agreements -- -- 3,043 -- --
Unrealized gains (losses) on investments -- -- -- -- 22,890
Realized gains (losses) on investments -- -- -- -- 2,218
Interest and dividend income -- -- 122 -- 3,396
Other -- -- -- -- --
Equity in subsidiary earnings -- -- -- -- --
---------------- -------------- ---------- -------- ----------
TOTAL REVENUES -- -- 3,166 -- 51,416
---------------- -------------- ---------- -------- ----------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- --
Depreciation and amortization -- -- 1,412 -- --
Administrative and general -- -- 44 -- 506
---------------- -------------- ---------- -------- ----------
TOTAL OPERATING EXPENSES -- -- 1,455 -- 506
---------------- -------------- ---------- -------- ----------
OPERATING INCOME -- -- 1,710 -- 50,910
---------------- -------------- ---------- -------- ----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Other -- -- -- -- 3,998
Capitalized interest -- -- -- -- --
---------------- -------------- ---------- -------- ----------
NET INTEREST EXPENSE -- -- -- -- 3,998
---------------- -------------- ---------- -------- ----------
INCOME BEFORE INCOME TAXES -- -- 1,710 -- 46,912
---------------- -------------- ---------- -------- ----------
INCOME TAXES:
Current -- -- (3,387) 0 23,538
Deferred -- -- 4,036 (0) (7,396)
Investment and energy tax credits - net -- -- -- -- --
---------------- -------------- ---------- -------- ----------
TOTAL INCOME TAXES -- -- 649 -- 16,141
---------------- -------------- ---------- -------- ----------
MINORITY INTERESTS -- -- -- -- --
---------------- -------------- ---------- -------- ----------
NET INCOME -- -- 1,061 -- 30,770
---------------- -------------- ---------- -------- ----------
PREFERRED STOCK DIVIDEND REQUIREMENT -- -- -- -- --
---------------- -------------- ---------- -------- ----------
EARNINGS AVAILABLE TO COMMON STOCK $ -- $ -- $ 1,061 $ -- $ 30,770
================ ============== ========== ======== ==========
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
RESOURCES ELIMINATIONS PSEG RCMC
CONSOL. & RECLASS. RESOURCES CONSOL. RCIC
------------- --------------- ------------ ----------- ------------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 129,641 $ (138,277) $ 129,641 $ 47,554 $ 9,186
NET INCOME 59,740 (63,043) 59,740 18,317 12,963
------------- --------------- ------------ ----------- ------------
TOTAL 189,382 (201,319) 189,382 65,871 22,149
------------- --------------- ------------ ----------- ------------
DIVIDENDS DECLARED (Incl. Preferred Stock Dividends) 68,486 (1,442) 68,486 -- --
------------- --------------- ------------ ----------- ------------
BALANCE DECEMBER 31, 1998 $ 120,896 $ (199,877) $ 120,896 $ 65,871 $ 22,149
============= =============== ============ =========== ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSRC SC PSRC SC PSRC SC
RCSC RCFC ONE TWO THREE
-------------- ----------- ------------- -------------- ------------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (39) $ (2,352) $ (3) $ (3) $ --
NET INCOME -- (68) -- -- --
-------------- ----------- ------------- -------------- ------------
TOTAL (39) (2,421) (3) (3) --
-------------- ----------- ------------- -------------- ------------
DIVIDENDS DECLARED (Incl. Preferred Stock Dividends) -- -- -- -- --
-------------- ----------- ------------- -------------- ------------
BALANCE DECEMBER 31, 1998 $ (39) $ (2,421) $ (3) $ (3) $ --
============== =========== ============= ============== ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSRC SC THE PSGMC
FOUR WATER SOURCE CONSOL. PSRC, INC. ENTECH PSRC I, INC.
------------- -------------- ------------- ---------- --------- ------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ -- $ (1,055) $ -- $ 2,060 $ (975) $ 83,903
NET INCOME -- -- -- 1,061 -- 30,770
------------- -------------- ------------- ---------- --------- ---------
TOTAL -- (1,055) -- 3,120 (975) 114,674
------------- -------------- ------------- ---------- --------- ---------
DIVIDENDS DECLARED (Incl. Preferred
Stock Dividends) -- -- -- -- -- 1,442
------------- -------------- ------------- ---------- --------- ---------
BALANCE DECEMBER 31, 1998 $ -- $ (1,055) $ -- $ 3,120 $ (975) $ 113,231
============= ============== ============= ========== ========= =========
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
RESOURCES ELIMINATIONS PSEG RCMC
CONSOL. & RECLASS. RESOURCES CONSOL. RCIC RCSC
------------- --------------- ------------ ----------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 3,240 $ -- $ 2,376 $ 831 $ -- $ 9
Accounts and Notes receivable:
Trade -- -- -- -- -- --
Other 746 -- 1 -- 332 --
PSE&G -- -- -- -- -- --
PSEG 1,592 -- 1,592 -- -- --
Other associated companies -- (284,632) 111,775 32,775 -- --
Notes receivable:
Associated companies -- -- -- -- -- --
Other -- -- -- -- -- --
Interest & dividiend receivable 1,087 -- 63 -- -- --
Prepayments -- -- -- -- -- --
------------- --------------- ------------ ----------- ------------ ------------
Total Current Assets 6,666 (284,632) 115,807 33,607 332 9
------------- --------------- ------------ ----------- ------------ ------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate 17,169 -- 2,727 -- -- --
Other 399 -- 292 -- -- --
Accum. depr. and amortization (8,682) -- (1,262) -- -- --
Valuation allowances -- -- -- -- -- --
------------- --------------- ------------ ----------- ------------ ------------
Property, Plant and Equipment-net 8,887 -- 1,758 -- -- --
------------- --------------- ------------ ----------- ------------ ------------
INVESTMENTS
- -----------
Subsidiaries 0 (626,527) 626,527 -- -- --
Capital lease agreements 1,395,844 -- 637,824 601,661 86,717 --
Partnership interests 383,284 -- 2,430 40,588 -- --
Corporate joint ventures -- -- -- -- -- --
Securities 21,428 -- 9,428 -- -- --
Valuation allowances (6,973) -- (6,973) -- -- --
------------- --------------- ------------ ----------- ------------ ------------
Total Investments 1,793,583 (626,527) 1,269,235 642,249 86,717 --
------------- --------------- ------------ ----------- ------------ ------------
OTHER ASSETS
- ------------
Special funds-pension 159 -- 159 -- -- --
------------- --------------- ------------ ----------- ------------ ------------
Total Other Assets 159 -- 159 -- -- --
------------- --------------- ------------ ----------- ------------ ------------
TOTAL ASSETS $ 1,809,295 $ (911,159) $ 1,386,959 $ 675,856 $ 87,048 $ 9
============= =============== ============ =========== ============ ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSRC SC PSRC SC PSRC SC PSRC SC
RCFC ONE TWO THREE FOUR
------------- ------------- -------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ -- $ 5 $ 5 $ 5 $ 5
Accounts and Notes receivable:
Trade -- -- -- -- --
Other -- -- -- -- --
PSE&G -- -- -- -- --
PSEG -- -- -- -- --
Other associated companies 7,274 2 2 5 5
Notes receivable:
Associated companies -- -- -- -- --
Other -- -- -- -- --
Interest & dividiend receivable -- -- -- -- --
Prepayments -- -- -- -- --
------------- ------------- -------------- ------------- ------------
Total Current Assets 7,274 7 7 10 10
------------- ------------- -------------- ------------- ------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- --
Other -- -- -- -- --
Accum. depr. and amortization -- -- -- -- --
Valuation allowances -- -- -- -- --
------------- ------------- -------------- ------------- ------------
Property, Plant and Equipment-net -- -- -- -- --
------------- ------------- -------------- ------------- ------------
INVESTMENTS
- -----------
Subsidiaries -- -- -- -- --
Capital lease agreements 29,828 -- -- -- --
Partnership interests -- -- -- -- --
Corporate joint ventures -- -- -- -- --
Securities -- -- -- -- --
Valuation allowances -- -- -- -- --
------------- ------------- -------------- ------------- ------------
Total Investments 29,828 -- -- -- --
------------- ------------- -------------- ------------- ------------
OTHER ASSETS
- ------------
Special funds-pension -- -- -- -- --
------------- ------------- -------------- ------------- ------------
Total Other Assets -- -- -- -- --
------------- ------------- -------------- ------------- ------------
TOTAL ASSETS $ 37,102 $ 7 $ 7 $ 10 $ 10
============= ============= ============== ============= ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
THE PSGMC
WATER SOURCE CONSOL. PSRC, INC. ENTECH PSRC I, INC.
-------------- -------------- ---------- --------- ---------
<S> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ -- $ -- $ 1 $ -- $ 2
Accounts and Notes receivable:
Trade -- -- -- -- --
Other -- -- -- -- 413
PSE&G -- -- -- -- --
PSEG -- -- -- -- --
Other associated companies 30 -- -- 46 132,718
Notes receivable: -- -- -- -- --
Associated companies -- -- -- -- --
Other -- -- -- -- --
Interest & dividiend receivable -- -- -- -- 1,024
Prepayments -- -- -- -- --
-------------- -------------- ---------- --------- ---------
Total Current Assets 30 -- 1 46 134,158
-------------- -------------- ---------- --------- ---------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- 14,442 -- --
Other -- -- 107 -- --
Accum. depr. and amortization -- -- (7,420) -- --
Valuation allowances -- -- -- -- --
-------------- -------------- ---------- --------- ---------
Property, Plant and Equipment-net -- -- 7,129 -- --
-------------- -------------- ---------- --------- ---------
INVESTMENTS
- -----------
Subsidiaries -- -- -- -- --
Capital lease agreements -- -- 39,815 -- --
Partnership interests -- -- -- -- 340,267
Corporate joint ventures -- -- -- -- --
Securities -- -- -- -- 12,000
Valuation allowances -- -- -- -- --
-------------- -------------- ---------- --------- ---------
Total Investments -- -- 39,815 -- 352,267
-------------- -------------- ---------- --------- ---------
OTHER ASSETS
- ------------
Special funds-pension -- -- -- -- --
-------------- -------------- ---------- --------- ---------
Total Other Assets -- -- -- -- --
-------------- -------------- ---------- --------- ---------
TOTAL ASSETS $ 30 $-- $ 46,944 $ 46 $ 486,424
============== ============== ========== ========= =========
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
RESOURCES ELIMINATIONS PSEG RCMC
CONSOL. & RECLASS. RESOURCES CONSOL. RCIC RCSC
------------- --------------- ------------ ----------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ -- $ -- $ -- $ --
Taxes 653 -- 484 165 -- --
Other 2,391 -- 1,650 672 69 --
Interest 554 -- -- 490 -- --
Associated companies 9,001 (284,632) 180,432 73,917 27,031 38
Notes payable:
PSEG Capital Corporation 401,628 -- 343,541 52,615 3,516 --
Enterprise Capital Funding Corp. 226,533 -- 193,934 29,512 1,983 --
Enterprise Group Development Corp. -- -- -- -- -- --
Enterprise Diversified Holdings Inc -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- --
Current portion of long-term debt -- -- -- -- -- --
------------- --------------- ------------ ----------- ------------ ------------
Total Current Liabilities 640,759 (284,632) 720,041 157,372 32,600 38
------------- --------------- ------------ ----------- ------------ ------------
TOTAL LONG-TERM DEBT -- -- -- -- -- --
- -------------------- ------------- --------------- ------------ ----------- ------------ ------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 805,811 -- 304,359 398,652 26,470 --
Deferred investment
and energy tax credits 165 -- -- -- 165 --
Other 462 -- 462 -- -- --
------------- --------------- ------------ ----------- ------------ ------------
Total Deferred Credits 806,438 -- 304,821 398,652 26,635 --
------------- --------------- ------------ ----------- ------------ ------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 107,001 (67) 107,001 2 1 10
Preferred stock 134,200 -- 134,200 -- -- --
Contributed capital -- (426,583) -- 53,959 5,663 --
Retained earnings 120,896 (199,877) 120,896 65,871 22,149 (39)
------------- --------------- ------------ ----------- ------------ ------------
Total Stockholder's Equity 362,097 (626,527) 362,097 119,832 27,814 (29)
------------- --------------- ------------ ----------- ------------ ------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 1,809,295 $ (911,159) $ 1,386,959 $ 675,856 $ 87,048 $ 9
============= =============== ============ =========== ============ ============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSRC SC PSRC SC
RCFC ONE TWO
----------- ------------- -------------
<S> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ --
Taxes 4 -- --
Other -- -- --
Interest -- -- --
Associated companies 47 -- --
Notes payable:
PSEG Capital Corporation 1,956 -- --
Enterprise Capital Funding Corp. 1,103 -- --
Enterprise Group Development Corp. -- -- --
Enterprise Diversified Holdings Inc. -- -- --
U.S.Energy Incorporated -- -- --
Current portion of long-term debt -- -- --
----------- ------------- -------------
Total Current Liabilities 3,110 -- --
----------- ------------- -------------
TOTAL LONG-TERM DEBT -- -- --
- -------------------- ----------- ------------- -------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 32,600 -- --
Deferred investment
and energy tax credits -- -- --
Other -- -- --
----------- ------------- -------------
Total Deferred Credits 32,600 -- --
----------- ------------- -------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 1 10 10
Preferred stock -- -- --
Contributed capital 3,812 -- --
Retained earnings (2,421) (3) (3)
----------- ------------- -------------
Total Stockholder's Equity 1,392 7 7
----------- ------------- -------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 37,102 $ 7 $ 7
=========== ============= =============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSRC SC PSRC SC THE
THREE FOUR WATER SOURCE
------------- ------------ --------------
<S> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ --
Taxes -- -- --
Other -- -- --
Interest -- -- --
Associated companies -- -- --
Notes payable:
PSEG Capital Corporation -- -- --
Enterprise Capital Funding Corp. -- -- --
Enterprise Group Development Corp. -- -- --
Enterprise Diversified Holdings Inc. -- -- --
U.S.Energy Incorporated -- -- --
Current portion of long-term debt -- -- --
------------- ------------ --------------
Total Current Liabilities -- -- --
------------- ------------ --------------
TOTAL LONG-TERM DEBT -- -- --
- -------------------- ------------- ------------ --------------
DEFERRED CREDITS
- ----------------
Deferred income taxes -- -- 58
Deferred investment
and energy tax credits -- -- --
Other -- -- --
------------- ------------ --------------
Total Deferred Credits -- -- 58
------------- ------------ --------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 10 10 10
Preferred stock -- -- --
Contributed capital -- -- 1,017
Retained earnings -- -- (1,055)
------------- ------------ --------------
Total Stockholder's Equity 10 10 (28)
------------- ------------ --------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 10 $ 10 $ 30
============= ============ ==============
</TABLE>
<PAGE>
PSEG RESOURCES INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSGMC
CONSOL. PSRC, INC. ENTECH PSRC I, INC.
-------------- ---------- --------- ------------
<S> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ -- $ --
Taxes -- -- -- --
Other -- -- -- --
Interest -- -- -- 64
Associated companies -- 12,167 -- --
Notes payable:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Enterprise Group Development Corp. -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- --
U.S.Energy Incorporated -- -- -- --
Current portion of long-term debt -- -- -- --
-------------- ---------- --------- ---------
Total Current Liabilities -- 12,167 -- 64
-------------- ---------- --------- ---------
TOTAL LONG-TERM DEBT -- -- -- --
- -------------------- -------------- ---------- --------- ---------
DEFERRED CREDITS
- ----------------
Deferred income taxes -- 17,122 2 26,549
Deferred investment
and energy tax credits -- -- -- --
Other -- -- -- --
-------------- ---------- --------- ---------
Total Deferred Credits -- 17,122 2 26,549
-------------- ---------- --------- ---------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock -- 1 1 1
Preferred stock -- -- -- --
Contributed capital -- 14,534 1,018 346,580
Retained earnings -- 3,120 (975) 113,231
-------------- ---------- --------- ---------
Total Stockholder's Equity -- 17,655 45 459,812
-------------- ---------- --------- ---------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ -- $ 46,944 $ 46 $486,424
============== ========== ========= =========
</TABLE>
<PAGE>
RESOURCES CAPITAL MANAGEMENT CORPORATION
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
RCMC ELIMINATIONS
CONSOL. & RECLASS. RCMC RCMCSC RCMC, INC. RCMC I, INC.
------------ --------------- ----------- ----------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 9,518 $ -- $ -- $ -- $ 9,518 $ --
Income from capital lease agreements 22,656 -- 17,698 -- 217 4,741
Unrealized gains (losses) on investments (3,406) -- (3,406) -- -- --
Realized gains (losses) on investments -- -- -- -- -- --
Interest and dividend income 2,264 -- 2,175 -- 89 --
Other 375 -- -- 4 -- 370
Equity in subsidiary earnings -- (7,208) 7,208 -- -- --
------------ --------------- ----------- ----------- ------------ ------------
TOTAL REVENUES 31,407 (7,208) 23,675 4 9,824 5,111
------------ --------------- ----------- ----------- ------------ ------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- -- --
Depreciation and amortization -- -- -- -- -- --
Administrative and general 424 -- 133 4 83 203
------------ --------------- ----------- ----------- ------------ ------------
TOTAL OPERATING EXPENSES 424 -- 133 4 83 203
------------ --------------- ----------- ----------- ------------ ------------
OPERATING INCOME 30,983 (7,208) 23,542 -- 9,741 4,908
------------ --------------- ----------- ----------- ------------ ------------
INTEREST EXPENSE:
PSEG Capital Corporation 5,094 -- 2,977 -- -- 2,117
Enterprise Capital Funding Corp. 1,803 -- 1,054 -- -- 749
Other 195 -- -- -- 187 8
Capitalized interest -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
NET INTEREST EXPENSE 7,092 -- 4,032 -- 187 2,873
------------ --------------- ----------- ----------- ------------ ------------
INCOME BEFORE INCOME TAXES 23,891 (7,208) 19,511 -- 9,554 2,035
------------ --------------- ----------- ----------- ------------ ------------
INCOME TAXES:
Current (23,070) -- (14,852) -- (927) (7,290)
Deferred 28,849 -- 16,251 -- 4,279 8,319
Investment and energy tax credits - net (205) -- (205) -- -- --
------------ --------------- ----------- ----------- ------------ ------------
TOTAL INCOME TAXES 5,574 -- 1,193 -- 3,352 1,029
------------ --------------- ----------- ----------- ------------ ------------
MINORITY INTERESTS -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
NET INCOME $ 18,317 $ (7,208) $ 18,317 $ -- $ 6,202 $ 1,006
============ =============== =========== =========== ============ ============
</TABLE>
<PAGE>
RESOURCES CAPITAL MANAGEMENT CORPORATION
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
RCMC ELIMINATIONS
CONSOL. & RECLASS. RCMC RCMCSC RCMC, INC. RCMC I, INC.
------------ --------------- ----------- ----------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 47,554 $ (11,787) $ 47,554 $ (16) $ 9,511 $ 2,292
NET INCOME 18,317 (7,208) 18,317 -- 6,202 1,006
------------ --------------- ----------- ----------- ------------ ------------
TOTAL 65,871 (18,996) 65,871 (16) 15,713 3,298
------------ --------------- ----------- ----------- ------------ ------------
DIVIDENDS DECLARED -- (2,475) -- -- 2,475 --
------------ --------------- ----------- ----------- ------------ ------------
BALANCE DECEMBER 31, 1998 $ 65,871 $ (16,520) $ 65,871 $ (16) $ 13,238 $ 3,298
============ =============== =========== =========== ============ ============
</TABLE>
<PAGE>
RESOURCES CAPITAL MANAGEMENT CORPORATION
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
RCMC ELIMINATIONS
CONSOL. & RECLASS. RCMC RCMCSC RCMC, INC. RCMC I, INC
------------ --------------- ----------- ----------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 831 $ -- $ -- $ 10 $ 819 $ 2
Accounts and Notes receivable:
Trade -- -- -- -- -- --
Other -- -- -- -- -- --
PSE&G -- -- -- -- -- --
PSEG -- -- -- -- -- --
Other associated companies 32,775 -- -- -- 32,756 19
Notes receivable:
Associated companies -- -- -- -- -- --
Prepayments -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
Total Current Assets 33,607 -- -- 10 33,575 21
------------ --------------- ----------- ----------- ------------ ------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- -- --
Other -- -- -- -- -- --
Accum. depr. and amortization -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
Property, Plant and Equipment-net -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
INVESTMENTS
- -----------
Subsidiaries -- (42,709) 42,709 -- -- --
Capital lease agreements 601,661 -- 397,064 -- 32,438 172,159
Partnership interests 40,588 -- -- -- 40,588 --
Corporate joint ventures -- -- -- -- -- --
Securities -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
Total Investments 642,249 (42,709) 439,773 -- 73,026 172,159
------------ --------------- ----------- ----------- ------------ ------------
OTHER ASSETS
- ------------
Other -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
Total Other Assets -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
TOTAL ASSETS $ 675,856 $ (42,709) $ 439,773 $ 10 $ 106,601 $ 172,180
============ =============== =========== =========== ============ ============
</TABLE>
<PAGE>
RESOURCES CAPITAL MANAGEMENT CORPORATION
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
RCMC ELIMINATIONS
CONSOL. & RECLASS. RCMC RCMCSC RCMC, INC. RCMC I, INC.
------------ --------------- ----------- ----------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ -- $ -- $ -- $ --
Taxes 165 -- -- -- -- 165
Other 672 -- 672 -- -- --
Interest 490 -- -- -- 490 --
Associated companies 73,917 -- 73,365 15 -- 537
Notes payable:
PSEG Capital Corporation 52,615 -- 30,085 -- -- 22,530
Enterprise Capital Funding Corp. 29,512 -- 16,805 -- -- 12,708
Enterprise Group Development Corp. -- -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- --
Current portion of long-term debt -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
Total Current Liabilities 157,372 -- 120,926 15 490 35,940
------------ --------------- ----------- ----------- ------------ ------------
TOTAL LONG-TERM DEBT -- -- -- -- -- --
- -------------------- ------------ --------------- ----------- ----------- ------------ ------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 398,652 -- 199,015 -- 52,082 147,555
Deferred investment
and energy tax credits -- -- -- -- -- --
Other -- -- -- -- -- --
------------ --------------- ----------- ----------- ------------ ------------
Total Deferred Credits 398,652 -- 199,015 -- 52,082 147,555
------------ --------------- ----------- ----------- ------------ ------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 2 (3) 2 1 1 1
Preferred stock -- -- -- -- -- --
Contributed capital 53,959 (26,185) 53,959 10 40,790 (14,615)
Retained earnings 65,871 (16,520) 65,871 (16) 13,238 3,298
------------ --------------- ----------- ----------- ------------ ------------
Total Stockholder's Equity 119,832 (42,709) 119,832 (5) 54,029 (11,316)
------------ --------------- ----------- ----------- ------------ ------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 675,856 $ (42,709) $ 439,773 $ 10 $ 106,601 $ 172,180
============ =============== =========== =========== ============ ============
</TABLE>
<PAGE>
PSEG GLOBAL INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY
GLOBAL ELIMINATIONS PSEG
CONSOL. & RECLASS. GLOBAL
------------- --------------- ------------
<S> <C> <C> <C>
REVENUES:
Income from partnerships $ 112,890 $ 349 $ 630
Income from capital lease agreements -- -- --
Unrealized gains (losses) on investments -- -- --
Realized gains (losses) on investments -- -- --
Interest and dividend income 2,043 -- 888
Other 8,389 -- 450
Equity in subsidiary earnings -- (14,573) 14,573
------------- --------------- ------------
TOTAL REVENUES 123,322 (14,224) 16,541
------------- --------------- ------------
OPERATING EXPENSES:
Operation and maintenance 2,156 -- --
Depreciation and amortization 907 -- 400
Administrative and general 45,584 -- (649)
------------- --------------- ------------
TOTAL OPERATING EXPENSES 48,647 -- (249)
------------- --------------- ------------
OPERATING INCOME 74,675 (14,224) 16,790
------------- --------------- ------------
OTHER INCOME
Foreign Currency Translation Gain/Loss (3,031) -- --
Gain on Sale of Assets 1,948 -- --
------------- --------------- ------------
TOTAL OTHER INCOME (1,083) -- --
------------- --------------- ------------
INTEREST EXPENSE:
PSEG Capital Corporation 12,393 -- 11,082
Enterprise Capital Funding Corp. 4,568 -- 3,944
Other Associated Companies 170 -- (23,180)
Other 25,901 -- --
Capitalized interest (1,181) -- (78)
------------- --------------- ------------
NET INTEREST EXPENSE 41,851 -- (8,232)
------------- --------------- ------------
INCOME BEFORE INCOME TAXES 31,741 (14,224) 25,022
------------- --------------- ------------
INCOME TAXES:
Current 20,757 -- (73)
Deferred (7,708) -- 3,962
Investment and energy tax credits - net (258) -- 395
------------- --------------- ------------
TOTAL INCOME TAXES 12,791 -- 4,284
------------- --------------- ------------
MINORITY INTERESTS (1,788) -- --
------------- --------------- ------------
NET INCOME 20,738 (14,224) 20,738
------------- --------------- ------------
Preferred stock dividend requirements 13,261 -- 13,261
------------- --------------- ------------
EARNINGS AVAILABLE TO COMMON STOCK $ 7,477 $ (14,224) $ 7,477
============= =============== ============
</TABLE>
<PAGE>
PSEG GLOBAL INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG USA PSEG NJ INDIA COMPANY
CONSOL. CONSOL. CONSOL.
------------ ------------ --------------
<S> <C> <C> <C>
REVENUES:
Income from partnerships $ 88,647 $ 23,264 $ --
Income from capital lease agreements -- -- --
Unrealized gains (losses) on investments -- -- --
Realized gains (losses) on investments -- -- --
Interest and dividend income 1,155 -- --
Other 5,306 2,633 --
Equity in subsidiary earnings -- -- --
------------ ------------ --------------
TOTAL REVENUES 95,108 25,897 --
------------ ------------ --------------
OPERATING EXPENSES:
Operation and maintenance -- 2,156 --
Depreciation and amortization 501 6 --
Administrative and general 42,844 2,952 437
------------ ------------ --------------
TOTAL OPERATING EXPENSES 43,345 5,114 437
------------ ------------ --------------
OPERATING INCOME 51,763 20,783 (437)
------------ ------------ --------------
OTHER INCOME
Foreign Currency Translation Gain/Loss (3,031) -- --
Gain on Sale of Assets (596) 2,544 --
------------ ------------ --------------
TOTAL OTHER INCOME (3,627) 2,544 --
------------ ------------ --------------
INTEREST EXPENSE:
PSEG Capital Corporation 975 336 --
Enterprise Capital Funding Corp. 486 138 --
Other Associated Companies 23,343 7 --
Other 25,892 9 --
Capitalized interest (1,103) -- --
------------ ------------ --------------
NET INTEREST EXPENSE 49,593 490 --
------------ ------------ --------------
INCOME BEFORE INCOME TAXES (1,457) 22,837 (437)
------------ ------------ --------------
INCOME TAXES:
Current 5,335 15,495 --
Deferred (5,808) (5,831) (31)
Investment and energy tax credits - net (438) (215) --
------------ ------------ --------------
TOTAL INCOME TAXES (911) 9,449 (31)
------------ ------------ --------------
MINORITY INTERESTS (1,788) -- --
------------ ------------ --------------
NET INCOME 1,242 13,388 (406)
------------ ------------ --------------
Preferred stock dividend requirements -- -- --
------------ ------------ --------------
EARNINGS AVAILABLE TO COMMON STOCK $ 1,242 $ 13,388 $ (406)
============ ============ ==============
</TABLE>
<PAGE>
PSEG GLOBAL INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY PSEG
GLOBAL ELIMINATIONS PSEG PSEG USA PSEG NJ INDIA COMPANY
CONSOL. & RECLASS. GLOBAL CONSOL. CONSOL. CONSOL.
------------- --------------- ------------ ------------ ------------ --------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 63,773 $ (24,557) $ 63,773 $ 8,320 $ 16,237 $ --
NET INCOME 20,738 (14,224) 20,738 1,242 13,388 (406)
------------- --------------- ------------ ------------ ------------ --------------
TOTAL 84,511 (38,781) 84,511 9,562 29,625 (406)
------------- --------------- ------------ ------------ ------------ --------------
DIVIDENDS DECLARED 13,261 -- 13,261 -- -- --
------------- --------------- ------------ ------------ ------------ --------------
BALANCE DECEMBER 31, 1998 $ 71,250 $ (38,781) $ 71,250 $ 9,562 $ 29,625 $ (406)
============= =============== ============ ============ ============ ==============
</TABLE>
<PAGE>
PSEG GLOBAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY PSEG
GLOBAL ELIMINATIONS PSEG PSEG USA PSEG NJ INDIA COMPANY
CONSOL. & RECLASS. GLOBAL CONSOL. CONSOL. CONSOL.
------------- --------------- ------------ ------------ ------------ --------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 2,171 $ -- $ 33 $ 2,123 $ -- $ 15
Accounts and Notes receivable:
Trade 7,780 -- 1,120 6,226 434 --
Other 11,399 -- 318 11,081 -- --
PSE&G 719 -- 708 11 -- --
PSEG -- -- -- -- -- --
Other associated companies -- (624,649) 240,800 350,720 33,129 --
Notes receivable:
Associated companies -- -- -- -- -- --
Other -- -- -- -- -- --
Interest receivable 12 -- -- 12 -- --
Prepayments 510 -- 83 427 -- --
------------- --------------- ------------ ------------ ------------ --------------
Total Current Assets 22,591 (624,649) 243,062 370,600 33,563 15
------------- --------------- ------------ ------------ ------------ --------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- -- --
Other 7,811 -- 3,165 4,627 19 --
Accum. depr. and amortization (3,952) -- (2,273) (1,668) (11) --
Valuation allowances -- -- -- -- -- --
------------- --------------- ------------ ------------ ------------ --------------
Property, Plant and Equipment-net 3,859 -- 892 2,959 8 --
------------- --------------- ------------ ------------ ------------ --------------
INVESTMENTS
- -----------
Subsidiaries -- (933,015) 933,015 -- -- --
Capital lease agreements -- -- -- -- -- --
Partnership interests 185,203 -- 4,551 154,343 26,309 --
Corporate joint ventures 879,065 -- 3,297 861,808 -- 13,960
Securities -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
------------- --------------- ------------ ------------ ------------ --------------
Total Investments 1,064,268 (933,015) 940,863 1,016,151 26,309 13,960
------------- --------------- ------------ ------------ ------------ --------------
OTHER ASSETS
- ------------
Other 38,221 -- 16,897 21,324 -- --
------------- --------------- ------------ ------------ ------------ --------------
Total Other Assets 38,221 -- 16,897 21,324 -- --
------------- --------------- ------------ ------------ ------------ --------------
TOTAL ASSETS $ 1,128,939 $ (1,557,664) $1,201,714 $1,411,034 $ 59,880 $ 13,975
============= =============== ============ ============ ============ ==============
</TABLE>
<PAGE>
PSEG GLOBAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG INTERCOMPANY PSEG
GLOBAL ELIMINATIONS PSEG PSEG USA PSEG NJ INDIA COMPANY
CONSOL. & RECLASS. GLOBAL CONSOL. CONSOL. CONSOL.
------------- --------------- ------------ ------------ ------------ --------------
<S> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 4,801 $ -- $ 2,328 $ 2,469 $ 4 $ --
Taxes 1,905 -- 373 (58) 1,590 --
Other 7,533 -- 2,145 5,212 176 --
Interest 4,831 -- -- 4,831 -- --
Associated companies 4,542 (624,649) 390,566 235,755 326 2,544
Notes payable:
PSEG Capital Corporation 89,297 -- 79,127 7,350 2,820 --
Enterprise Capital Funding Corp. 50,368 -- 44,631 4,146 1,591 --
Enterprise Group Development Corp. -- -- -- -- -- --
Enterprise Diversified
Holdings Inc. -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- --
Current portion of long-term debt 117,753 -- -- 117,753 -- --
------------- --------------- ------------ ------------ ------------ --------------
Total Current Liabilities 281,030 (624,649) 519,170 377,458 6,507 2,544
------------- --------------- ------------ ------------ ------------ --------------
TOTAL LONG-TERM DEBT 102,116 -- -- 102,116 -- --
- --------------------- ------------- --------------- ------------ ------------ ------------ --------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 58,182 -- 10,372 41,091 6,938 (219)
Deferred investment
and energy tax credits 9,229 -- 1,085 8,144 -- --
Other 6,660 -- 701 4,476 1,483 --
------------- --------------- ------------ ------------ ------------ --------------
Total Deferred Credits 74,071 -- 12,158 53,711 8,421 (219)
------------- --------------- ------------ ------------ ------------ --------------
MINORITY INTEREST 1,336 -- -- 1,336 -- --
- ------------------ ------------- --------------- ------------ ------------ ------------ --------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 437,880 (20) 437,880 10 10 --
Stock Subs Payable -- -- -- -- -- --
Contributed capital 204,271 (937,229) 204,271 909,856 15,317 12,056
Retained earnings 71,250 (38,781) 71,250 9,562 29,625 (406)
Cumulative Translation Adjustment (43,015) 43,015 (43,015) (43,015) -- --
------------- --------------- ------------ ------------ ------------ --------------
Total Stockholder's Equity 670,386 (933,015) 670,386 876,413 44,952 11,650
------------- --------------- ------------ ------------ ------------ --------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 1,128,939 $ (1,557,664) $ 1,201,714 $ 1,411,034 $ 59,880 $ 13,975
============= =============== ============ ============ ============ ==============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY PSEG
PSEG USA ELIMINATIONS PSEG PSEG PSEG PROJECT
CONSOL. & RECLASS. USA CONEMAUGH TRACY SERVICES
------------ --------------- ----------- ------------ ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 88,647 $ (2,027) $ 38,539 $ -- $ -- $ --
Income from capital lease agreements -- -- -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- -- --
Interest and dividend income 1,155 -- -- -- -- --
Other 5,306 -- -- -- 316 --
Equity in subsidiary earnings -- 4,121 (4,122) -- -- --
------------ --------------- ----------- ------------ ------------- -------------
TOTAL REVENUES 95,108 2,094 34,417 -- 316 --
------------ --------------- ----------- ------------ ------------- -------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- -- --
Depreciation and amortization 501 -- 114 -- -- --
Administrative and general 42,844 -- 10,344 -- 143 --
------------ --------------- ----------- ------------ ------------- -------------
TOTAL OPERATING EXPENSES 43,345 -- 10,458 -- 143 --
------------ --------------- ----------- ------------ ------------- -------------
OPERATING INCOME 51,763 2,094 23,959 -- 173 --
------------ --------------- ----------- ------------ ------------- -------------
OTHER INCOME
Foreign Currency Translation Gain/Loss (3,031) -- -- -- -- --
Gain on Sale of Assets (596) -- 4,359 -- -- --
------------ --------------- ----------- ------------ ------------- -------------
TOTAL OTHER INCOME (3,627) -- 4,359 -- -- --
------------ --------------- ----------- ------------ ------------- -------------
INTEREST EXPENSE:
PSEG Capital Corporation 975 -- 679 -- -- --
Enterprise Capital Funding Corp. 486 -- 288 -- -- --
Other Associated Companies 23,343 -- 23,462 -- -- --
Other 25,892 -- 129 -- -- --
Capitalized interest (1,103) -- (761) -- -- --
------------ --------------- ----------- ------------ ------------- -------------
NET INTEREST EXPENSE 49,593 -- 23,797 -- -- --
------------ --------------- ----------- ------------ ------------- -------------
INCOME BEFORE INCOME TAXES (1,457) 2,094 4,521 -- 173 --
------------ --------------- ----------- ------------ ------------- -------------
INCOME TAXES:
Current 5,335 -- 3,874 1,129 1,834 48
Deferred (5,808) -- (236) (1,105) (1,560) (48)
Investment and energy tax credits - net (438) -- (359) -- -- --
------------ --------------- ----------- ------------ ------------- -------------
TOTAL INCOME TAXES (911) -- 3,279 24 274 --
------------ --------------- ----------- ------------ ------------- -------------
MINORITY INTERESTS (1,788) 1 -- -- -- --
------------ --------------- ----------- ------------ ------------- -------------
NET INCOME $ 1,242 $ 2,093 $ 1,242 $ (24) $ (101) $ --
============ =============== =========== ============ ============= =============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG PSEG
GWF PSEG DEBLOIS MOUNT PSEG
CONSOL. LEASING INVESTMENT CARMEL MEXICO
----------- ------------- ------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 381 $ -- $ -- $ -- $ --
Income from capital lease agreements -- -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- --
Interest and dividend income -- -- 499 -- --
Other -- -- -- -- --
Equity in subsidiary earnings -- -- -- -- --
----------- ------------- ------------- ------------- ------------
TOTAL REVENUES 381 -- 499 -- --
----------- ------------- ------------- ------------- ------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- --
Depreciation and amortization -- -- -- -- --
Administrative and general (5) 3 -- -- 1
----------- ------------- ------------- ------------- ------------
TOTAL OPERATING EXPENSES (5) 3 -- -- 1
----------- ------------- ------------- ------------- ------------
OPERATING INCOME 386 (3) 499 -- (1)
----------- ------------- ------------- ------------- ------------
OTHER INCOME
Foreign Currency Translation Gain/Loss -- -- -- -- --
Gain on Sale of Assets -- -- -- -- --
----------- ------------- ------------- ------------- ------------
TOTAL OTHER INCOME -- -- -- -- --
----------- ------------- ------------- ------------- ------------
INTEREST EXPENSE:
PSEG Capital Corporation -- 296 -- -- --
Enterprise Capital Funding Corp. -- 198 -- -- --
Other Associated Companies -- -- -- -- --
Other -- -- -- -- --
Capitalized interest -- -- -- -- --
----------- ------------- ------------- ------------- ------------
NET INTEREST EXPENSE -- 494 -- -- --
----------- ------------- ------------- ------------- ------------
INCOME BEFORE INCOME TAXES 386 (497) 499 -- (1)
----------- ------------- ------------- ------------- ------------
INCOME TAXES:
Current (14) (174) (127) 909 --
Deferred 172 -- -- (900) --
Investment and energy tax credits - net (4) -- -- -- --
----------- ------------- ------------- ------------- ------------
TOTAL INCOME TAXES 154 (174) (127) 9 --
----------- ------------- ------------- ------------- ------------
MINORITY INTERESTS -- -- -- -- --
----------- ------------- ------------- ------------- ------------
NET INCOME $ 232 $ (323) $ 626 $ (9) $ (1)
=========== ============= ============= ============= ============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG ASIA PSEG
PSEG INTERNATIONAL INC. INDIA
BAJA CEMAS SERVICES CONSOL. INC.
------------- ----------- ---------------- ---------- ---------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ -- $ 2,515 $ -- $ -- $ --
Income from capital lease agreements -- -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- --
Interest and dividend income -- -- -- -- --
Other -- 345 -- 2,357 --
Equity in subsidiary earnings -- 1 -- -- --
------------- ----------- ---------------- ---------- ---------
TOTAL REVENUES -- 2,861 -- 2,357 --
------------- ----------- ---------------- ---------- ---------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- --
Depreciation and amortization -- -- -- 387 --
Administrative and general -- 793 4,063 7,470 (152)
------------- ----------- ---------------- ---------- ---------
TOTAL OPERATING EXPENSES -- 793 4,063 7,857 (152)
------------- ----------- ---------------- ---------- ---------
OPERATING INCOME -- 2,068 (4,063) (5,500) 152
------------- ----------- ---------------- ---------- ---------
OTHER INCOME
Foreign Currency Translation Gain/Loss -- -- -- -- --
Gain on Sale of Assets -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
TOTAL OTHER INCOME -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Other Associated Companies -- -- -- (198) --
Other -- -- -- (14) --
Capitalized interest -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
NET INTEREST EXPENSE -- -- -- (212) --
------------- ----------- ---------------- ---------- ---------
INCOME BEFORE INCOME TAXES -- 2,068 (4,063) (5,288) 152
------------- ----------- ---------------- ---------- ---------
INCOME TAXES:
Current -- (159) (1,205) (175) (137)
Deferred -- 441 (218) (1,675) 189
Investment and energy tax credits - net -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
TOTAL INCOME TAXES -- 282 (1,423) (1,850) 52
------------- ----------- ---------------- ---------- ---------
MINORITY INTERESTS -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
NET INCOME $ -- $ 1,786 $ (2,640) $ (3,438) $ 100
============= =========== ================ ========== =========
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
INTERNATIONAL PSEG PSEG PSEG PSEG
INC. NEW HAWAIIAN HAWAIIAN KALAELOA
CONSOL. HAMPSHIRE MGT. INVESTMENT INC.
---------------- ------------ ----------- ------------- -----------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 42,739 $ 3,617 $ 58 $ 2,825 $ --
Income from capital lease agreements -- -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- --
Interest and dividend income 568 88 -- -- --
Other 2,153 135 -- -- --
Equity in subsidiary earnings -- -- -- -- --
---------------- ------------ ----------- ------------- -----------
TOTAL REVENUES 45,460 3,840 58 2,825 --
---------------- ------------ ----------- ------------- -----------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- --
Depreciation and amortization -- -- -- -- --
Administrative and general 17,726 266 40 2,152 --
---------------- ------------ ----------- ------------- -----------
TOTAL OPERATING EXPENSES 17,726 266 40 2,152 --
---------------- ------------ ----------- ------------- -----------
OPERATING INCOME 27,734 3,574 18 673 --
---------------- ------------ ----------- ------------- -----------
OTHER INCOME
Foreign Currency Translation Gain/Loss (3,031) -- -- -- --
Gain on Sale of Assets (4,955) -- -- -- --
---------------- ------------ ----------- ------------- -----------
TOTAL OTHER INCOME (7,986) -- -- -- --
---------------- ------------ ----------- ------------- -----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Other Associated Companies 79 -- -- -- --
Other 25,777 -- -- -- --
Capitalized interest (342) -- -- -- --
---------------- ------------ ----------- ------------- -----------
NET INTEREST EXPENSE 25,514 -- -- -- --
---------------- ------------ ----------- ------------- -----------
INCOME BEFORE INCOME TAXES (5,766) 3,574 18 673 --
---------------- ------------ ----------- ------------- -----------
INCOME TAXES:
Current (1,844) 1,320 2 54 --
Deferred (1,035) (48) 5 210 --
Investment and energy tax credits - net -- (75) -- -- --
---------------- ------------ ----------- ------------- -----------
TOTAL INCOME TAXES (2,879) 1,197 7 264 --
---------------- ------------ ----------- ------------- -----------
MINORITY INTERESTS (1,789) -- -- -- --
---------------- ------------ ----------- ------------- -----------
NET INCOME $ (1,098) $ 2,377 $ 11 $ 409 $ --
================ ============ =========== ============= ===========
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
PSEG USA ELIMINATIONS PSEG PSEG PSEG
CONSOL. & RECLASS. USA CONEMAUGH TRACY
------------ --------------- ------------ ------------ -------------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 8,320 $ 4,545 $ 8,320 $ (80) $ (6,133)
NET INCOME 1,242 2,093 1,242 (24) (101)
------------ --------------- ------------ ------------ -------------
TOTAL 9,562 6,638 9,562 (104) (6,234)
------------ --------------- ------------ ------------ -------------
DIVIDENDS DECLARED -- -- -- -- --
------------ --------------- ------------ ------------ -------------
BALANCE DECEMBER 31, 1998 $ 9,562 $ 6,638 $ 9,562 $ (104) $ (6,234)
============ =============== ============ ============ =============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG PSEG
PROJECT GWF PSEG PSEG MOUNT PSEG
SERVICES CONSOL. LEASING DEBLOIS CARMEL MEXICO
-------------- ----------- ------------- -------------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (1,220) $ 14,054 $ (1,361) $ (2,533) $ (2,392) $ (5)
NET INCOME -- 232 (323) 626 (9) (1)
-------------- ----------- ------------- -------------- ------------ ------------
TOTAL (1,220) 14,286 (1,684) (1,907) (2,401) (6)
-------------- ----------- ------------- -------------- ------------ ------------
DIVIDENDS DECLARED -- -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
BALANCE DECEMBER 31, 1998 $ (1,220) $ 14,286 $ (1,684) $ (1,907) $ (2,401) $ (6)
============== =========== ============= ============== ============ ============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG ASIA PSEG
PSEG INTERNATIONAL INC. INDIA
BAJA CEMAS SERVICES CONSOL. INC.
------------- ----------- ---------------- ---------- ---------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (885) $ 4,890 $ (3,832) $ (10,374) $ (1,863)
NET INCOME -- 1,786 (2,640) (3,438) 100
------------- ----------- ---------------- ---------- ---------
TOTAL (885) 6,676 (6,472) (13,812) (1,763)
------------- ----------- ---------------- ---------- ---------
DIVIDENDS DECLARED -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
BALANCE DECEMBER 31, 1998 $ (885) $ 6,676 $ (6,472) $ (13,812) $ (1,763)
============= =========== ================ ========== =========
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
INTERNATIONAL PSEG PSEG PSEG PSEG
INC. NEW HAWAIIAN HAWAIIAN KALAELOA
CONSOL. HAMPSHIRE MGT. INVESTMENT INC.
----------------- ------------ ---------- ------------ ----------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (3,367) $ 9,514 $ 22 $ 1,020 $ --
NET INCOME (1,098) 2,377 11 409 --
----------------- ------------ ---------- ------------ ----------
TOTAL (4,465) 11,891 33 1,429 --
----------------- ------------ ---------- ------------ ----------
DIVIDENDS DECLARED -- -- -- -- --
----------------- ------------ ---------- ------------ ----------
BALANCE DECEMBER 31, 1998 $ (4,465) $ 11,891 $ 33 $ 1,429 $ --
================= ============ ========== ============ ==========
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
PSEG USA ELIMINATIONS PSEG PSEG PSEG
CONSOL. & RECLASS. USA CONEMAUGH TRACY
------------ --------------- ----------- ------------ -------------
<S> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 2,123 $ -- $ (101) $ -- $ --
Accounts and Notes receivable:
Trade 6,226 (6) 201 -- 167
Other 11,081 -- 9 -- --
PSE&G 11 -- -- -- --
PSEG -- -- -- -- --
Other associated companies 350,720 (325,167) 420,328 3,169 3
Notes receivable:
Associated companies -- -- -- -- --
Other -- -- -- -- --
Interest receivable 12 -- -- -- --
Prepayments 427 -- 52 (1) --
------------ --------------- ----------- ------------ -------------
Total Current Assets 370,600 (325,173) 420,489 3,168 170
------------ --------------- ----------- ------------ -------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- --
Other 4,627 -- 751 -- --
Accum. depr. and amortization (1,668) -- (149) -- --
Valuation allowances -- -- -- -- --
------------ --------------- ----------- ------------ -------------
Property, Plant and Equipment-net 2,959 -- 602 -- --
------------ --------------- ----------- ------------ -------------
INVESTMENTS
- -----------
Subsidiaries -- (572,612) 572,593 -- --
Capital lease agreements -- -- -- -- --
Partnership interests 154,343 -- 75,603 2 --
Corporate joint ventures 861,808 -- 2 -- --
Securities -- -- -- -- --
Valuation allowances -- -- -- -- --
------------ --------------- ----------- ------------ -------------
Total Investments 1,016,151 (572,612) 648,198 2 --
------------ --------------- ----------- ------------ -------------
OTHER ASSETS
- ------------
Other 21,324 -- 2,196 -- --
------------ --------------- ----------- ------------ -------------
Total Other Assets 21,324 -- 2,196 -- --
------------ --------------- ----------- ------------ -------------
TOTAL ASSETS $1,411,034 $ (897,785) $1,071,485 $ 3,170 $ 170
============ =============== =========== ============ =============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG PSEG
PROJECT GWF PSEG PSEG MOUNT PSEG
SERVICES CONSOL. LEASING DEBLOIS CARMEL MEXICO
-------------- ----------- ------------- -------------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ -- $ -- $ -- $ -- $ -- $ --
Accounts and Notes receivable:
Trade -- -- -- -- -- 1
Other -- -- -- -- -- --
PSE&G -- -- -- -- -- --
PSEG -- -- -- -- -- --
Other associated companies -- -- 41,609 -- 324 10
Notes receivable:
Associated companies -- -- -- -- -- --
Other -- -- -- -- -- --
Interest receivable -- -- -- -- -- --
Prepayments 3 -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
Total Current Assets 3 -- 41,609 -- 324 11
-------------- ----------- ------------- -------------- ------------ ------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- -- --
Other -- -- -- -- -- --
Accum. depr. and amortization -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
Property, Plant and Equipment-net -- -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
INVESTMENTS
- -----------
Subsidiaries -- -- -- -- -- --
Capital lease agreements -- -- -- -- -- --
Partnership interests 7,580 41,617 (2,671) -- 198 --
Corporate joint ventures -- -- -- -- -- --
Securities -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
Total Investments 7,580 41,617 (2,671) -- 198 --
-------------- ----------- ------------- -------------- ------------ ------------
OTHER ASSETS
- ------------
Other -- -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
Total Other Assets -- -- -- -- -- --
-------------- ----------- ------------- -------------- ------------ ------------
TOTAL ASSETS $ 7,583 $ 41,617 $ 38,938 $ -- $ 522 $ 11
============== =========== ============= ============== ============ ============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
PSEG ASIA INTERNATIONAL
PSEG INTERNATIONAL INC. PSEG INC.
BAJA CEMAS SERVICES CONSOL. INDIA CONSOL.
------------- ----------- ---------------- ---------- --------- ---------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ -- $ -- $ -- $ 524 $ 439 $ 1,261
Accounts and Notes receivable:
Trade 1 97 10 2,705 1 2,957
Other -- -- -- 476 15 10,581
PSE&G -- -- 11 -- -- --
PSEG -- -- -- -- -- --
Other associated companies 2,647 20,420 1,865 2,893 2,615 170,439
Notes receivable:
Associated companies -- -- -- -- -- --
Other -- -- -- -- -- --
Interest receivable -- -- -- -- -- 12
Prepayments -- -- 30 27 -- 316
------------- ----------- ---------------- ---------- --------- ---------------
TOTAL CURRENT ASSETS 2,648 20,517 1,916 6,625 3,070 185,566
------------- ----------- ---------------- ---------- --------- ---------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- -- --
Other -- -- -- 1,639 403 1,834
Accum. depr. and amortization -- -- -- (1,112) (255) (152)
Valuation allowances -- -- -- -- -- --
------------- ----------- ---------------- ---------- --------- ---------------
Property, Plant and Equipment-net -- -- -- 527 148 1,682
------------- ----------- ---------------- ---------- --------- ---------------
INVESTMENTS
- -----------
Subsidiaries -- 19 -- -- -- --
Capital lease agreements -- -- -- -- -- --
Partnership interests -- -- -- -- -- --
Corporate joint ventures -- 18,931 -- -- -- 842,875
Securities -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
------------- ----------- ---------------- ---------- --------- ---------------
TOTAL INVESTMENTS -- 18,950 -- -- -- 842,875
------------- ----------- ---------------- ---------- --------- ---------------
OTHER ASSETS
- ------------
Other -- -- 1,348 3,354 169 14,257
------------- ----------- ---------------- ---------- --------- ---------------
TOTAL OTHER ASSETS -- -- 1,348 3,354 169 14,257
------------- ----------- ---------------- ---------- --------- ---------------
TOTAL ASSETS $ 2,648 $ 39,467 $ 3,264 $ 10,506 $ 3,387 $ 1,044,380
============= =========== ================ ========== ========= ===============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG PSEG PSEG
NEW HAWAIIAN HAWAIIAN KALAELOA
HAMPSHIRE MGT. INVESTMENT INC.
------------- ---------- ------------ ----------
<S> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ -- $ -- $ -- $ --
Accounts and Notes receivable:
Trade -- 1 90 1
Other -- -- -- --
PSE&G -- -- -- --
PSEG -- -- -- --
Other associated companies 7,315 90 2,160 --
Notes receivable:
Associated companies -- -- -- --
Other -- -- -- --
Interest receivable -- -- -- --
Prepayments -- -- -- --
------------- ---------- ------------ ----------
Total Current Assets 7,315 91 2,250 1
------------- ---------- ------------ ----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- --
Other -- -- -- --
Accum. depr. and amortization -- -- -- --
Valuation allowances -- -- -- --
------------- ---------- ------------ ----------
Property, Plant and Equipment-net -- -- -- --
------------- ---------- ------------ ----------
INVESTMENTS
- -----------
Subsidiaries -- -- -- --
Capital lease agreements -- -- -- --
Partnership interests 6,201 486 25,327 --
Corporate joint ventures -- -- -- --
Securities -- -- -- --
Valuation allowances -- -- -- --
------------- ---------- ------------ ----------
Total Investments 6,201 486 25,327 --
------------- ---------- ------------ ----------
OTHER ASSETS
- ------------
Other -- -- -- --
------------- ---------- ------------ ----------
Total Other Assets -- -- -- --
------------- ---------- ------------ ----------
TOTAL ASSETS $ 13,516 $ 577 $ 27,577 $ 1
============= ========== ============ ==========
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
INTERCOMPANY
PSEG USA ELIMINATIONS PSEG PSEG PSEG
CONSOL. & RECLASS. USA CONEMAUGH TRACY
------------ --------------- ----------- ------------ -------------
<S> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 2,469 $ -- $ 709 $ -- $ --
Taxes (58) -- (503) 34 123
Other 5,212 -- 1,734 -- --
Interest 4,831 -- -- -- --
Associated companies 235,755 (325,169) 133,545 -- 3,040
Notes payable:
PSEG Capital Corporation 7,350 -- 7,350 -- --
Enterprise Capital Funding Corp. 4,146 -- 4,146 -- --
Enterprise Group Development Corp. -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- --
Other Associated companies -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- --
Current portion of long-term debt 117,753 -- -- -- --
------------ --------------- ----------- ------------ -------------
Total Current Liabilities 377,458 (325,169) 146,981 34 3,163
------------ --------------- ----------- ------------ -------------
TOTAL LONG-TERM DEBT 102,116 -- -- -- --
- --------------------- ------------ --------------- ----------- ------------ -------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 41,091 -- 40,419 3,235 (94)
Deferred investment
and energy tax credits 8,144 -- 7,666 -- --
Other 4,476 -- -- -- 3,330
------------ --------------- ----------- ------------ -------------
Total Deferred Credits 53,711 -- 48,085 3,235 3,236
------------ --------------- ----------- ------------ -------------
MINORITY INTEREST 1,336 (16) -- -- --
- ------------------ ------------ --------------- ----------- ------------ -------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 10 (41) 10 5 5
Stock Subs Payable -- (6) 6 -- --
Contributed capital 909,856 (622,207) 909,856 -- --
Retained earnings 9,562 6,639 9,562 (104) (6,234)
Cumulative Translation Adjustment (43,015) 43,015 (43,015) -- --
------------ --------------- ----------- ------------ -------------
Total Stockholder's Equity 876,413 (572,600) 876,419 (99) (6,229)
------------ --------------- ----------- ------------ -------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $1,411,034 $ (897,785) $1,071,485 $ 3,170 $ 170
============ =============== =========== ============ =============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG PSEG
PROJECT GWF PSEG PSEG MOUNT PSEG
SERVICES CONSOL. LEASING DEBLOIS CARMEL MEXICO
------------ ----------- ------------- ------------- ------------- ------------
<S> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ -- $ -- $ -- $ --
Taxes -- 172 (2) 44 6 --
Other -- -- -- -- -- --
Interest -- -- -- -- -- --
Associated companies 7,790 27,126 9,221 1,857 2,606 16
Notes payable:
PSEG Capital Corporation -- -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- -- --
Enterprise Group Development Corp. -- -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- -- --
Other Associated companies -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- --
Current portion of long-term debt -- -- -- -- -- --
------------ ----------- ------------- ------------- ------------- ------------
Total Current Liabilities 7,790 27,298 9,219 1,901 2,612 16
------------ ----------- ------------- ------------- ------------- ------------
TOTAL LONG-TERM DEBT -- -- -- -- -- --
- --------------------- ------------ ----------- ------------- ------------- ------------- ------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 1,008 205 (540) 1 1,894 --
Deferred investment
and energy tax credits -- (177) -- -- -- --
Other -- -- -- -- -- --
------------ ----------- ------------- ------------- ------------- ------------
Total Deferred Credits 1,008 28 (540) 1 1,894 --
------------ ----------- ------------- ------------- ------------- ------------
MINORITY INTEREST -- -- -- -- -- --
- ------------------ ------------ ----------- ------------- ------------- ------------- ------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 5 5 5 5 -- 1
Stock Subs Payable -- -- -- -- -- --
Contributed capital -- -- 31,938 -- (1,583) --
Retained earnings (1,220) 14,286 (1,684) (1,907) (2,401) (6)
Cumulative Translation Adjustment -- -- -- -- -- --
------------ ----------- ------------- ------------- ------------- ------------
Total Stockholder's Equity (1,215) 14,291 30,259 (1,902) (3,984) (5)
------------ ----------- ------------- ------------- ------------- ------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 7,583 $ 41,617 $ 38,938 $ -- $ 522 $ 11
============ =========== ============= ============= ============= ============
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG ASIA
PSEG INTERNATIONAL INC. PSEG
BAJA CEMAS SERVICES CONSOL. INDIA
------------- ----------- ---------------- ---------- ---------
<S> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ -- $ 1,076 $ --
Taxes -- -- -- 5 --
Other -- -- 3,619 (76) --
Interest -- -- -- -- --
Associated companies -- 1 5,331 25,193 5,258
Notes payable:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Enterprise Group Development Corp. -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- --
Other Associated companies -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- --
Current portion of long-term debt -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
Total Current Liabilities -- 1 8,950 26,198 5,258
------------- ----------- ---------------- ---------- ---------
TOTAL LONG-TERM DEBT -- -- -- -- --
- --------------------- ------------- ----------- ---------------- ---------- ---------
DEFERRED CREDITS
- ----------------
Deferred income taxes (168) 1,671 (453) (5,680) (108)
Deferred investment
and energy tax credits -- -- -- -- --
Other -- 981 39 -- --
------------- ----------- ---------------- ---------- ---------
Total Deferred Credits (168) 2,652 (414) (5,680) (108)
------------- ----------- ---------------- ---------- ---------
MINORITY INTEREST -- -- -- -- --
- ------------------ ------------- ----------- ---------------- ---------- ---------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 1 -- -- -- 1
Stock Subs Payable -- -- -- -- --
Contributed capital 3,700 30,138 1,200 3,800 --
Retained earnings (885) 6,676 (6,472) (13,812) (1,764)
Cumulative Translation Adjustment -- -- -- -- --
------------- ----------- ---------------- ---------- ---------
Total Stockholder's Equity 2,816 36,814 (5,272) (10,012) (1,763)
------------- ----------- ---------------- ---------- ---------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 2,648 $ 39,467 $ 3,264 $ 10,506 $ 3,387
============= =========== ================ ========== =========
</TABLE>
<PAGE>
PSEG USA
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
INTERNATIONAL PSEG PSEG PSEG PSEG
INC. NEW HAWAIIAN HAWAIIAN KALAELOA
CONSOL. HAMPSHIRE MGT. INVESTMENT INC.
----------------- ------------ ---------- ------------ ----------
<S> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 682 $ -- $ 2 $ -- $ --
Taxes -- -- -- 63 --
Other (65) -- -- -- --
Interest 4,831 -- -- -- --
Associated companies 339,877 63 -- -- --
Notes payable:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Enterprise Group Development Corp. -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- --
Other Associated companies -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- --
Current portion of long-term debt 117,753 -- -- -- --
----------------- ------------ ---------- ------------ ----------
Total Current Liabilities 463,078 63 2 63 --
----------------- ------------ ---------- ------------ ----------
TOTAL LONG-TERM DEBT 102,116 -- -- -- --
- --------------------- ----------------- ------------ ---------- ------------ ----------
DEFERRED CREDITS
- ----------------
Deferred income taxes (1,416) 902 5 210 --
Deferred investment
and energy tax credits -- 655 -- -- --
Other 126 -- -- -- --
----------------- ------------ ---------- ------------ ----------
Total Deferred Credits (1,290) 1,557 5 210 --
----------------- ------------ ---------- ------------ ----------
MINORITY INTEREST 1,352 -- -- -- --
- ------------------ ----------------- ------------ ---------- ------------ ----------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 1 5 1 -- 1
Stock Subs Payable -- -- -- -- --
Contributed capital 526,603 -- 536 25,875 --
Retained earnings (4,465) 11,891 33 1,429 --
Cumulative Translation Adjustment (43,015) -- -- -- --
----------------- ------------ ---------- ------------ ----------
Total Stockholder's Equity 479,124 11,896 570 27,304 1
----------------- ------------ ---------- ------------ ----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 1,044,380 $ 13,516 $ 577 $ 27,577 $ 1
================= ============ ========== ============ ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
International INTERCOMPANY PSEG Americas
Inc. ELIMINATIONS International Inc.
CONSOL. & RECLASS. Inc. CONSOL.
------------- --------------- ----------- ----------
<S> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 42,739 $ (1,474) $ -- $ 43,242
Income from capital lease agreements -- -- -- --
Unrealized gains (losses) on investments -- -- -- --
Realized gains (losses) on investments -- -- -- --
Interest and dividend income 568 -- -- 568
Other 2,153 -- -- 2,153
Equity in subsidiary earnings -- 1,098 (1,098) --
------------- --------------- ----------- ----------
TOTAL REVENUES 45,460 (376) (1,098) 45,963
------------- --------------- ----------- ----------
OPERATING EXPENSES:
Operation and maintenance -- -- -- --
Depreciation and amortization -- -- -- --
Administrative and general 17,726 -- -- 6,516
------------- --------------- ----------- ----------
TOTAL OPERATING EXPENSES 17,726 -- -- 6,516
------------- --------------- ----------- ----------
OPERATING INCOME 27,734 (376) (1,098) 39,447
------------- --------------- ----------- ----------
OTHER INCOME
Foreign Currency Translation Gain/Loss (3,031) -- -- (3,031)
Gain on Sale of Assets (4,955) -- -- (4,955)
------------- --------------- ----------- ----------
TOTAL OTHER INCOME (7,986) -- -- (7,986)
------------- --------------- ----------- ----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Other Associated Companies 79 -- -- 54
Other 25,777 -- -- 25,777
Capitalized interest (342) -- -- --
------------- --------------- ----------- ----------
NET INTEREST EXPENSE 25,514 -- -- 25,831
------------- --------------- ----------- ----------
INCOME BEFORE INCOME TAXES (5,766) (376) (1,098) 5,630
------------- --------------- ----------- ----------
INCOME TAXES:
Current (1,844) -- 1 (1,032)
Deferred (1,035) -- (1) 869
Investment and energy tax credits - net -- -- -- --
------------- --------------- ----------- ----------
TOTAL INCOME TAXES (2,879) -- -- (163)
------------- --------------- ----------- ----------
MINORITY INTERESTS (1,789) -- -- (1,789)
------------- --------------- ----------- ----------
NET INCOME $ (1,098) $ (376) $ (1,098) $ 7,582
============= =============== =========== ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Bermuda
Americas PSEG Holdings
Services Barka II Inc.
Inc. Inc. CONSOL.
------------ ------------ -----------
<S> <C> <C> <C>
REVENUES:
Income from partnerships $ -- $ -- $ 1,823
Income from capital lease agreements -- -- --
Unrealized gains (losses) on investments -- -- --
Realized gains (losses) on investments -- -- --
Interest and dividend income -- -- --
Other -- -- --
Equity in subsidiary earnings -- -- --
------------ ------------ -----------
TOTAL REVENUES -- -- 1,823
------------ ------------ -----------
OPERATING EXPENSES:
Operation and maintenance -- -- --
Depreciation and amortization -- -- --
Administrative and general 1,012 2 2,223
------------ ------------ -----------
TOTAL OPERATING EXPENSES 1,012 2 2,223
------------ ------------ -----------
OPERATING INCOME (1,012) (2) (400)
------------ ------------ -----------
OTHER INCOME
Foreign Currency Translation Gain/Loss -- -- --
Gain on Sale of Assets -- -- --
------------ ------------ -----------
TOTAL OTHER INCOME -- -- --
------------ ------------ -----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- --
Enterprise Capital Funding Corp. -- -- --
Other Associated Companies 1 -- 1
Other -- -- --
Capitalized interest -- -- --
------------ ------------ -----------
NET INTEREST EXPENSE 1 -- 1
------------ ------------ -----------
INCOME BEFORE INCOME TAXES (1,013) (2) (401)
------------ ------------ -----------
INCOME TAXES:
Current (459) (1) --
Deferred 106 -- (550)
Investment and energy tax credits - net -- -- --
------------ ------------ -----------
TOTAL INCOME TAXES (353) (1) (550)
------------ ------------ -----------
MINORITY INTERESTS -- -- --
------------ ------------ -----------
NET INCOME $ (660) $ (1) $ 149
============ ============ ===========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
China PSEG Salalah ECI
Inc. Elcho Inc. International
CONSOL. CONSOL. CONSOL. Development
-------------- ------------- ------------ ------------
<S> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ (852) $ -- $ -- $ --
Income from capital lease agreements -- -- -- --
Unrealized gains (losses) on investments -- -- -- --
Realized gains (losses) on investments -- -- -- --
Interest and dividend income -- -- -- --
Other -- -- -- --
Equity in subsidiary earnings -- -- -- --
-------------- ------------- ------------ ------------
TOTAL REVENUES (852) -- -- --
-------------- ------------- ------------ ------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- --
Depreciation and amortization -- -- -- --
Administrative and general 1,478 901 18 --
-------------- ------------- ------------ ------------
TOTAL OPERATING EXPENSES 1,478 901 18 --
-------------- ------------- ------------ ------------
OPERATING INCOME (2,330) (901) (18) --
-------------- ------------- ------------ ------------
OTHER INCOME
Foreign Currency Translation Gain/Loss -- -- -- --
Gain on Sale of Assets -- -- -- --
-------------- ------------- ------------ ------------
TOTAL OTHER INCOME -- -- -- --
-------------- ------------- ------------ ------------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Other Associated Companies 2 1 -- --
Other -- -- -- --
Capitalized interest (342) -- -- --
-------------- ------------- ------------ ------------
NET INTEREST EXPENSE (340) 1 -- --
-------------- ------------- ------------ ------------
INCOME BEFORE INCOME TAXES (1,990) (902) (18) --
-------------- ------------- ------------ ------------
INCOME TAXES:
Current (154) (197) (2) --
Deferred 177 108 (1) --
Investment and energy tax credits - net -- -- -- --
-------------- ------------- ------------ ------------
TOTAL INCOME TAXES 23 (89) (3) --
-------------- ------------- ------------ ------------
MINORITY INTERESTS -- -- -- --
-------------- ------------- ------------ ------------
NET INCOME $ (2,013) $ (813) $ (15) $ --
============== ============= ============ ============
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Punjab Bermuda
PSEG Energy Holdings
Ltd. Co. Ltd. Inc.
----------- ----------- ----------
<S> <C> <C> <C>
REVENUES:
Income from partnerships $ -- $ -- $ --
Income from capital lease agreements -- -- --
Unrealized gains (losses) on investments -- -- --
Realized gains (losses) on investments -- -- --
Interest and dividend income -- -- --
Other -- -- --
Equity in subsidiary earnings -- -- --
----------- ----------- ----------
TOTAL REVENUES -- -- --
----------- ----------- ----------
OPERATING EXPENSES:
Operation and maintenance -- -- --
Depreciation and amortization -- -- --
Administrative and general 5,351 223 2
----------- ----------- ----------
TOTAL OPERATING EXPENSES 5,351 223 2
----------- ----------- ----------
OPERATING INCOME (5,351) (223) (2)
----------- ----------- ----------
OTHER INCOME
Foreign Currency Translation Gain/Loss -- -- --
Gain on Sale of Assets -- -- --
----------- ----------- ----------
TOTAL OTHER INCOME -- -- --
----------- ----------- ----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- --
Enterprise Capital Funding Corp. -- -- --
Other Associated Companies 20 -- --
Other -- -- --
Capitalized interest -- -- --
----------- ----------- ----------
NET INTEREST EXPENSE 20 -- --
----------- ----------- ----------
INCOME BEFORE INCOME TAXES (5,371) (223) (2)
----------- ----------- ----------
INCOME TAXES:
Current -- -- --
Deferred (1,665) (78) --
Investment and energy tax credits - net -- -- --
----------- ----------- ----------
TOTAL INCOME TAXES (1,665) (78) --
----------- ----------- ----------
MINORITY INTERESTS -- -- --
----------- ----------- ----------
NET INCOME $ (3,706) $ (145) $ (2)
=========== =========== ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG PSEG PSEG Bermuda
International INTERCOMPANY PSEG Americas Americas PSEG Holdings
Inc. ELIMINATIONS International Inc. Services Barka II
CONSOL. & RECLASS. Inc. CONSOL. Inc. Inc. CONSOL.
------------- --------------- ------------ ----------- ------------ ------------ -----------
<S> <C> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (3,367) $ 4,820 $ (3,367) $ (2) $ (234) $ (2) $ (2,555)
NET INCOME (1,098) (376) (1,098) 7,582 (660) (1) 149
------------- --------------- ------------ ----------- ------------ ------------ -----------
TOTAL (4,465) 4,444 (4,465) 7,580 (894) (3) (2,406)
------------- --------------- ------------ ----------- ------------ ------------ -----------
DIVIDENDS DECLARED -- -- -- -- -- -- --
------------- --------------- ------------ ----------- ------------ ------------ -----------
BALANCE DECEMBER 31, 1998 $ (4,465) $ 4,444 $ (4,465) $ 7,580 $ (894) $ (3) $ (2,406)
============= =============== ============ =========== ============ ============ ===========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG PSEG
China PSEG PSEG ECI Punjab Bermuda
Inc. Elcho Salalah International PSEG Energy Holdings
CONSOL. CONSOL. Inc. Development Ltd. Co. Ltd. Inc.
-------------- ------------- ------------ ------------ ----------- ----------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 216 $ (427) $ (2) $ -- $ (338) $ (1,474) $ (2)
NET INCOME (2,013) (813) (15) -- (3,706) (145) (2)
-------------- ------------- ------------ ------------ ----------- ----------- ----------
TOTAL (1,797) (1,240) (17) -- (4,044) (1,619) (4)
-------------- ------------- ------------ ------------ ----------- ----------- ----------
DIVIDENDS DECLARED -- -- -- -- -- -- --
-------------- ------------- ------------ ------------ ----------- ----------- ----------
BALANCE DECEMBER 31, 1998 $ (1,797) $ (1,240) $ (17) $ -- $ (4,044) $ (1,619) $ (4)
============== ============= ============ ============ =========== =========== ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
International INTERCOMPANY PSEG Americas
Inc. ELIMINATIONS International Inc.
CONSOL. & RECLASS. Inc. CONSOL.
------------- --------------- ----------- ----------
<S> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 1,261 $ -- $ 2 $ 301
Accounts and Notes receivable:
Trade 2,957 (1) 1 2,876
Other 10,581 -- -- 10,025
PSE&G -- -- -- --
PSEG -- -- -- --
Other associated companies 170,439 -- 99 169,445
Notes receivable:
Associated companies -- -- -- --
Other -- -- -- --
Interest receivable 12 -- -- 12
Prepayments 316 -- -- --
------------- --------------- ----------- ----------
Total Current Assets 185,566 (1) 102 182,659
------------- --------------- ----------- ----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- --
Other 1,834 -- -- 123
Accum. depr. and amortization (152) -- -- --
Valuation allowances -- -- -- --
------------- --------------- ----------- ----------
Property, Plant and Equipment-net 1,682 -- -- 123
------------- --------------- ----------- ----------
INVESTMENTS
- -----------
Subsidiaries -- (485,607) 485,607 --
Capital lease agreements -- -- -- --
Partnership interests -- -- -- --
Corporate joint ventures 842,875 -- -- 766,714
Securities -- -- -- --
Valuation allowances -- -- -- --
------------- --------------- ----------- ----------
Total Investments 842,875 (485,607) 485,607 766,714
------------- --------------- ----------- ----------
OTHER ASSETS
- ------------
Other 14,257 -- 15 5,994
------------- --------------- ----------- ----------
Total Other Assets 14,257 -- 15 5,994
------------- --------------- ----------- ----------
TOTAL ASSETS $ 1,044,380 $ (485,608) $ 485,724 $ 955,490
============= =============== =========== ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Bermuda
Americas PSEG Holdings
Services Barka II
Inc. Inc. Consol.
------------ ------------ -----------
<S> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 104 $ -- $ (128)
Accounts and Notes receivable:
Trade 22 -- --
Other 18 -- 411
PSE&G -- -- --
PSEG -- -- --
Other associated companies 18 -- --
Notes receivable:
Associated companies -- -- --
Other -- -- --
Interest receivable -- -- --
Prepayments -- -- --
------------ ------------ -----------
Total Current Assets 162 -- 283
------------ ------------ -----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- --
Other 33 -- 230
Accum. depr. and amortization (7) -- (49)
Valuation allowances -- -- --
------------ ------------ -----------
Property, Plant and Equipment-net 26 -- 181
------------ ------------ -----------
INVESTMENTS
- -----------
Subsidiaries -- -- --
Capital lease agreements -- -- --
Partnership interests -- -- --
Corporate joint ventures -- -- --
Securities -- -- --
Valuation allowances -- -- --
------------ ------------ -----------
Total Investments -- -- --
------------ ------------ -----------
OTHER ASSETS
- ------------
Other 29 -- 3,154
------------ ------------ -----------
Total Other Assets 29 -- 3,154
------------ ------------ -----------
TOTAL ASSETS $ 217 $ -- $ 3,618
============ ============ ===========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
China Elcho Salalah ECI
Inc. Inc. Inc. International
CONSOL. CONSOL. CONSOL. Development
-------------- ------------- ------------ ------------
<S> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 1 $ 99 $ -- $ --
Accounts and Notes receivable:
Trade 1 58 -- --
Other -- -- -- --
PSE&G -- -- -- --
PSEG -- -- -- --
Other associated companies 399 137 -- --
Notes receivable:
Associated companies -- -- -- --
Other -- -- -- --
Interest receivable -- -- -- --
Prepayments -- -- -- --
-------------- ------------- ------------ ------------
Total Current Assets 401 294 -- --
-------------- ------------- ------------ ------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- --
Other -- -- -- --
Accum. depr. and amortization -- -- -- --
Valuation allowances -- -- -- --
-------------- ------------- ------------ ------------
Property, Plant and Equipment-net -- -- -- --
-------------- ------------- ------------ ------------
INVESTMENTS
- -----------
Subsidiaries -- -- -- --
Capital lease agreements -- -- -- --
Partnership interests -- -- -- --
Corporate joint ventures 76,161 -- -- --
Securities -- -- -- --
Valuation allowances -- -- -- --
-------------- ------------- ------------ ------------
Total Investments 76,161 -- -- --
-------------- ------------- ------------ ------------
OTHER ASSETS
- ------------
Other 1,074 3,436 -- --
-------------- ------------- ------------ ------------
Total Other Assets 1,074 3,436 -- --
-------------- ------------- ------------ ------------
TOTAL ASSETS $ 77,636 $ 3,730 $ -- $ --
============== ============= ============ ============
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Punjab Bermuda
PSEG Energy Holdings
Ltd. Co. Ltd. Inc.
----------- ----------- ----------
<S> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 879 $ 3 $ --
Accounts and Notes receivable:
Trade -- -- --
Other 127 -- --
PSE&G -- -- --
PSEG -- -- --
Other associated companies 341 -- --
Notes receivable:
Associated companies -- -- --
Other -- -- --
Interest receivable -- -- --
Prepayments 316 -- --
----------- ----------- ----------
Total Current Assets 1,663 3 --
----------- ----------- ----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- --
Other 1,448 -- --
Accum. depr. and amortization (96) -- --
Valuation allowances -- -- --
----------- ----------- ----------
Property, Plant and Equipment-net 1,352 -- --
----------- ----------- ----------
INVESTMENTS
- -----------
Subsidiaries -- -- --
Capital lease agreements -- -- --
Partnership interests -- -- --
Corporate joint ventures -- -- --
Securities -- -- --
Valuation allowances -- -- --
----------- ----------- ----------
Total Investments -- -- --
----------- ----------- ----------
OTHER ASSETS
- ------------
Other 379 176 --
----------- ----------- ----------
Total Other Assets 379 176 --
----------- ----------- ----------
TOTAL ASSETS $ 3,394 $ 179 $ --
=========== =========== ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
International INTERCOMPANY PSEG Americas
Inc. ELIMINATIONS International Inc.
CONSOL. & RECLASS. Inc. CONSOL.
------------- --------------- ----------- ----------
<S> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 682 $ -- $ -- $ 394
Taxes -- -- -- --
Other (65) -- -- (65)
Interest 4,831 -- -- 4,831
Associated companies 339,877 -- 6,599 239,360
Notes payable:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Enterprise Group Development Corp. -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- --
U.S.Energy Incorporated -- -- -- --
Current portion of long-term debt 117,753 -- -- 117,753
------------- --------------- ----------- ----------
Total Current Liabilities 463,078 -- 6,599 362,273
------------- --------------- ----------- ----------
TOTAL LONG-TERM DEBT 102,116 -- -- 102,116
- -------------------- ------------- --------------- ----------- ----------
DEFERRED CREDITS
- ----------------
Deferred income taxes (1,416) -- -- 865
Deferred investment
and energy tax credits -- -- -- --
Other 126 -- -- 126
------------- --------------- ----------- ----------
Total Deferred Credits (1,290) -- -- 991
------------- --------------- ----------- ----------
MINORITY INTEREST 1,352 -- -- 1,352
- ----------------- ------------- --------------- ----------- ----------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 1 (1) 1 --
Stock Subs Payable -- (1) 1 --
Contributed capital 526,603 (533,065) 526,603 519,898
Retained earnings (4,465) 4,444 (4,465) 7,580
Cumulative Translation Adjustment (43,015) 43,015 (43,015) (38,720)
------------- --------------- ----------- ----------
Total Stockholder's Equity 479,124 (485,608) 479,125 488,758
------------- --------------- ----------- ----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 1,044,380 $ (485,608) $ 485,724 $ 955,490
============= =============== =========== ==========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Bermuda
Americas PSEG Holdings
Services Barka II
Inc. Inc. Consol.
------------ ------------ -----------
<S> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 64 $ -- $ --
Taxes -- -- --
Other -- -- --
Interest -- -- --
Associated companies 1,052 3 6,969
Notes payable:
PSEG Capital Corporation -- -- --
Enterprise Capital Funding Corp. -- -- --
Enterprise Group Development Corp. -- -- --
Enterprise Diversified Holdings Inc. -- -- --
U.S.Energy Incorporated -- -- --
Current portion of long-term debt -- -- --
------------ ------------ -----------
Total Current Liabilities 1,116 3 6,969
------------ ------------ -----------
TOTAL LONG-TERM DEBT -- -- --
- -------------------- ------------ ------------ -----------
DEFERRED CREDITS
- ----------------
Deferred income taxes (5) -- (945)
Deferred investment
and energy tax credits -- -- --
Other -- -- --
------------ ------------ -----------
Total Deferred Credits (5) -- (945)
------------ ------------ -----------
MINORITY INTEREST -- -- --
- ----------------- ------------ ------------ -----------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock -- -- --
Stock Subs Payable -- -- --
Contributed capital -- -- --
Retained earnings (894) (3) (2,406)
Cumulative Translation Adjustment -- -- --
------------ ------------ -----------
Total Stockholder's Equity (894) (3) (2,406)
------------ ------------ -----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 217 $ -- $ 3,618
============ ============ ===========
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
China Elcho Salalah ECI
Inc. Inc. Inc. International
CONSOL. CONSOL. CONSOL. Development
-------------- ------------- ------------ ------------
<S> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ -- $ -- $ --
Taxes -- -- -- --
Other -- -- -- --
Interest -- -- -- --
Associated companies 68,898 5,273 18 --
Notes payable:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Enterprise Group Development Corp. -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- --
U.S.Energy Incorporated -- -- -- --
Current portion of long-term debt -- -- -- --
-------------- ------------- ------------ ------------
Total Current Liabilities 68,898 5,273 18 --
-------------- ------------- ------------ ------------
TOTAL LONG-TERM DEBT -- -- -- --
- -------------------- -------------- ------------- ------------ ------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 1,662 (303) (1) --
Deferred investment
and energy tax credits -- -- -- --
Other -- -- -- --
-------------- ------------- ------------ ------------
Total Deferred Credits 1,662 (303) (1) --
-------------- ------------- ------------ ------------
MINORITY INTEREST -- -- -- --
- ----------------- -------------- ------------- ------------ ------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock 1 -- -- --
Stock Subs Payable -- -- -- --
Contributed capital 13,167 -- -- --
Retained earnings (1,797) (1,240) (17) --
Cumulative Translation Adjustment (4,295) -- -- --
-------------- ------------- ------------ ------------
Total Stockholder's Equity 7,076 (1,240) (17) -
-------------- ------------- ------------ ------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 77,636 $ 3,730 $ -- $ --
============== ============= ============ ============
</TABLE>
<PAGE>
PSEG INTERNATIONAL INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Punjab Bermuda
PSEG Energy Holdings
Ltd. Co. Ltd. Inc.
----------- ----------- ----------
<S> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 224 $ -- $ --
Taxes -- -- --
Other -- -- --
Interest -- -- --
Associated companies 9,031 2,670 4
Notes payable:
PSEG Capital Corporation -- -- --
Enterprise Capital Funding Corp. -- -- --
Enterprise Group Development Corp. -- -- --
Enterprise Diversified Holdings Inc. -- -- --
U.S.Energy Incorporated -- -- --
Current portion of long-term debt -- -- --
----------- ----------- ----------
Total Current Liabilities 9,255 2,670 4
----------- ----------- ----------
TOTAL LONG-TERM DEBT -- -- --
- -------------------- ----------- ----------- ----------
DEFERRED CREDITS
- ----------------
Deferred income taxes (1,817) (872) --
Deferred investment
and energy tax credits -- -- --
Other -- -- --
----------- ----------- ----------
Total Deferred Credits (1,817) (872) --
----------- ----------- ----------
MINORITY INTEREST -- -- --
- ----------------- ----------- ----------- ----------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock -- -- --
Stock Subs Payable -- -- --
Contributed capital -- -- --
Retained earnings (4,044) (1,619) (4)
Cumulative Translation Adjustment -- -- --
----------- ----------- ----------
Total Stockholder's Equity (4,044) (1,619) (4)
----------- ----------- ----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 3,394 $ 179 $ --
=========== =========== ==========
</TABLE>
<PAGE>
PSEG AMERICAS INC.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Americas INTERCOMPANY PSEG PSEG PSEG PSEG Americas
Inc. ELIMINATIONS Americas La Plata II La Plata I Americas II Ltd.
CONSOL. & RECLASS. Inc. (US) (US) Ltd. CONSOL.
-------- ---------- -------- ------- ------- ------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $43,242 $ -- $ -- $ -- $ -- $ -- $43,242
Income from capital lease
agreements -- -- -- -- -- -- --
Unrealized gains (losses) on
investments -- -- -- -- -- -- --
Realized gains (losses) on
investments -- -- -- -- -- -- --
Interest and dividend income 568 -- -- -- -- -- 568
Other 2,153 -- -- -- -- -- 2,153
Equity in subsidiary earnings -- (9,449) 9,449 -- -- -- --
-------- ---------- -------- ------- ------- ------- --------
TOTAL REVENUES 45,963 (9,449) 9,449 -- -- -- 45,963
-------- ---------- -------- ------- ------- ------- --------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- -- -- --
Depreciation and amortization -- -- -- -- -- -- --
Administrative and general 6,516 -- (135) -- -- -- 6,651
-------- ---------- -------- ------- ------- ------- --------
TOTAL OPERATING EXPENSES 6,516 -- (135) -- -- -- 6,651
-------- ---------- -------- ------- ------- ------- --------
OPERATING INCOME 39,447 (9,449) 9,584 -- -- -- 39,312
-------- ---------- -------- ------- ------- ------- --------
OTHER INCOME:
Foreign Currency Translation
Gain/Loss (3,031) -- -- -- -- -- (3,031)
Gain on Sale of Assets (4,955) -- (3,084) -- -- -- (1,871)
-------- ---------- -------- ------- ------- ------- --------
TOTAL OTHER INCOME (7,986) -- (3,084) -- -- -- (4,902)
-------- ---------- -------- ------- ------- ------- --------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- -- -- --
Other Associated Companies 54 -- -- -- -- -- 54
Other 25,777 -- -- -- -- -- 25,777
Capitalized interest -- -- -- -- -- -- -
-------- ---------- -------- ------- ------- ------- --------
NET INTEREST EXPENSE 25,831 -- -- -- -- -- 25,831
-------- ---------- -------- ------- ------- ------- --------
INCOME BEFORE INCOME TAXES 5,630 (9,449) 6,500 -- -- -- 8,579
-------- ---------- -------- ------- ------- ------- --------
INCOME TAXES:
Current (1,032) -- (1,032) -- -- -- --
Deferred 869 -- (50) -- -- -- 919
Investment and energy tax
credits - net -- -- -- -- -- -- --
-------- ---------- -------- ------- ------- ------- --------
TOTAL INCOME TAXES (163) -- (1,082) -- -- -- 919
-------- ---------- -------- ------- ------- ------- --------
MINORITY INTERESTS (1,789) -- -- -- -- -- (1,789)
-------- ---------- -------- ------- ------- ------- --------
NET INCOME $ 7,582 $ (9,449) $ 7,582 $ -- $ -- $ -- $ 9,449
======== ========== ======== ======= ======= ======= ========
</TABLE>
<PAGE>
PSEG AMERICAS INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Americas INTERCOMPANY PSEG PSEG PSEG PSEG Americas
Inc. ELIMINATIONS Americas La Plata II La Plata I Americas II Ltd.
CONSOL. & RECLASS. Inc. (US) (US) Ltd. CONSOL.
-------- ---------- -------- ------- ------- ------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (2) $ 239 $ (2) $ -- $ -- $ -- $ (239)
NET INCOME 7,582 (9,449) 7,582 -- -- -- 9,449
-------- ---------- -------- ------- ------- ------- --------
TOTAL 7,580 (9,210) 7,580 -- -- -- 9,210
-------- ---------- -------- ------- ------- ------- --------
DIVIDENDS DECLARED -- -- -- -- -- -- --
-------- ---------- -------- ------- ------- ------- --------
BALANCE DECEMBER 31, 1998 $ 7,580 $ (9,210) $ 7,580 $ -- $ -- $ -- $ 9,210
======== ========== ======== ======= ======= ======= ========
</TABLE>
<PAGE>
PSEG AMERICAS INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Americas INTERCOMPANY PSEG PSEG PSEG PSEG Americas
Inc. ELIMINATIONS Americas La Plata II La Plata I Americas II Ltd.
CONSOL. & RECLASS. Inc. (US) (US) Ltd. CONSOL.
-------- ---------- -------- ------- ------- ------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 301 $ -- $ -- $ -- $ -- $ -- $ 301
Accounts and Notes receivable:
Trade 2,876 -- (9) -- -- -- 2,885
Other 10,025 -- -- -- -- -- 10,025
PSE&G -- -- -- -- -- -- --
PSEG -- -- -- -- -- -- --
Other associated companies 169,445 -- 54,001 -- -- 10 115,434
Notes receivable:
Associated companies -- -- -- -- -- -- --
Other -- -- -- -- -- -- --
Interest receivable 12 -- -- -- -- -- 12
Prepayments -- -- -- -- -- -- --
-------- ---------- -------- ------- ------- ------- --------
Total Current Assets 182,659 -- 53,992 -- -- 10 128,657
-------- ---------- -------- ------- ------- ------- --------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- -- -- --
Other 123 -- -- -- -- -- 123
Accum. depr. and amortization -- -- -- -- -- -- --
Valuation allowances -- -- -- -- -- -- --
-------- ---------- -------- ------- ------- ------- --------
Property, Plant and Equipment-net 123 -- -- -- -- -- 123
-------- ---------- -------- ------- ------- ------- --------
INVESTMENTS
- -----------
Subsidiaries -- (435,845) 435,843 -- -- 2 --
Capital lease agreements -- -- -- -- -- -- --
Partnership interests -- -- -- -- -- -- --
Corporate joint ventures 766,714 -- 1,982 51 10,773 -- 753,908
Securities -- -- -- -- -- -- --
Valuation allowances -- -- -- -- -- -- --
-------- ---------- -------- ------- ------- ------- --------
Total Investments 766,714 (435,845) 437,825 51 10,773 2 753,908
-------- ---------- -------- ------- ------- ------- --------
OTHER ASSETS
- ------------
Other 5,994 -- -- -- -- -- 5,994
-------- ---------- -------- ------- ------- ------- --------
Total Other Assets 5,994 -- -- -- -- -- 5,994
-------- ---------- -------- ------- ------- ------- --------
TOTAL ASSETS $955,490 $(435,845) $491,817 $ 51 $10,773 $ 12 $888,682
======== ========== ======== ======= ======= ======= ========
</TABLE>
<PAGE>
PSEG AMERICAS INC.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG PSEG
Americas INTERCOMPANY PSEG PSEG PSEG PSEG Americas
Inc. ELIMINATIONS Americas La Plata II La Plata I Americas II Ltd.
CONSOL. & RECLASS. Inc. (US) (US) Ltd. CONSOL.
-------- ---------- -------- ------- ------- ------- --------
<S> <C> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 394 $ -- $ -- $ -- $ -- $ -- $ 394
Taxes -- -- -- -- -- -- --
Other (65) -- -- -- -- -- (65)
Interest 4,831 -- -- -- -- -- 4,831
Associated companies 239,360 -- 3,230 -- -- 12 236,118
Notes payable:
PSEG Capital Corporation -- -- -- -- -- -- --
Enterprise Capital Funding
Corp. -- -- -- -- -- -- --
Enterprise Group Development
Corp. -- -- -- -- -- -- --
Enterprise Diversified
Holdings Inc. -- -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- -- --
Current portion of long-term debt 117,753 -- -- -- -- -- 117,753
-------- ---------- -------- ------- ------- ------- --------
Total Current Liabilities 362,273 -- 3,230 -- -- 12 359,031
-------- ---------- -------- ------- ------- ------- --------
TOTAL LONG-TERM DEBT 102,116 -- -- -- -- -- 102,116
- -------------------- -------- ---------- -------- ------- ------- ------- --------
DEFERRED CREDITS
- ----------------
Deferred income taxes 865 -- (171) -- -- -- 1,036
Deferred investment
and energy tax credits - -- -- -- -- -- --
Other 126 -- -- -- -- -- 126
-------- ---------- -------- ------- ------- ------- --------
Total Deferred Credits 991 -- (171) -- -- -- 1,162
-------- ---------- -------- ------- ------- ------- --------
MINORITY INTEREST 1,352 (22) -- -- -- -- 1,374
- ----------------- -------- ---------- -------- ------- ------- ------- --------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock -- -- -- -- -- -- --
Stock Subs Payable -- -- -- -- -- -- --
Contributed capital 519,898 (465,333) 519,898 51 10,773 -- 454,509
Retained earnings 7,580 (9,210) 7,580 -- -- -- 9,210
Cumulative Translation Adjustment (38,720) 38,720 (38,720) -- -- -- (38,720)
-------- ---------- -------- ------- ------- ------- --------
Total Stockholder's Equity 488,758 (435,823) 488,758 51 10,773 -- 424,999
-------- ---------- -------- ------- ------- ------- --------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $955,490 $(435,845) $491,817 $ 51 $10,773 $ 12 $888,682
======== ========== ======== ======= ======= ======= ========
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG Venergy
Americas INTERCOMPANY PSEG PSEG PSEG Holdings
Ltd. ELIMINATIONS Americas Peru Brazil Company
CONSOL. & RECLASS. Ltd. LLC Ltda. (Cayman)
------------ -------------- ----------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 43,242 $ 1,749 $ 6 $ -- $ -- $ --
Income from capital lease agreements -- -- -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- -- --
Interest and dividend income 568 -- -- -- -- --
Other 2,153 (8,050) 2,153 -- -- --
Equity in subsidiary earnings - (1,617) 1,617 -- -- --
------------ -------------- ----------- ---------- ---------- ------------
TOTAL REVENUES 45,963 (7,918) 3,776 -- -- --
------------ -------------- ----------- ---------- ---------- ------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- -- --
Depreciation and amortization -- -- -- -- -- --
Administrative and general 6,651 (8,050) 5,219 1 1,272 --
------------ -------------- ----------- ---------- ---------- ------------
TOTAL OPERATING EXPENSES 6,651 (8,050) 5,219 1 1,272 --
------------ -------------- ----------- ---------- ---------- ------------
OPERATING INCOME 39,312 132 (1,443) (1) (1,272) --
------------ -------------- ----------- ---------- ---------- ------------
OTHER INCOME:
Foreign Currency Translation Gain/Loss (3,031) -- -- -- -- --
Gain on Sale of Assets (1,871) -- (1,871) -- -- --
------------ -------------- ----------- ---------- ---------- ------------
TOTAL OTHER INCOME (4,902) -- (1,871) -- -- --
------------ -------------- ----------- ---------- ---------- ------------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- -- --
Other Associated Companies 54 -- 13 -- 2 --
Other 25,777 -- (12,776) -- -- --
Capitalized interest -- -- -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
NET INTEREST EXPENSE 25,831 -- (12,763) -- 2 --
------------ -------------- ----------- ---------- ---------- ------------
INCOME BEFORE INCOME TAXES 8,579 132 9,449 (1) (1,274) --
------------ -------------- ----------- ---------- ---------- ------------
INCOME TAXES:
Current -- -- -- -- -- --
Deferred 919 -- -- (1) (127) --
Investment and energy tax credits - net -- -- -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
TOTAL INCOME TAXES 919 -- -- (1) (127) --
------------ -------------- ----------- ---------- ---------- ------------
MINORITY INTERESTS (1,789) (1,788) -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
NET INCOME $ 9,449 $ 1,920 $ 9,449 $ -- $ (1,147) $ --
============ ============== =========== ========== ========== ============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Americas PSEG
PSEG Operating PSEG PSEG Brazil
Electrica Company Brazil II Wildwood I Investment
(Cayman) CONSOL. Company Ltd. CONSOL.
------------- ----------- ------------ ------------- -------------
<S> <C> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ -- $ 10,819 $ -- $ -- $ 30,668
Income from capital lease agreements -- -- -- -- --
Unrealized gains (losses) on investments -- -- -- -- --
Realized gains (losses) on investments -- -- -- -- --
Interest and dividend income -- 290 -- -- 278
Other -- 8,050 -- -- --
Equity in subsidiary earnings -- -- -- -- --
------------- ----------- ------------ ------------- -------------
TOTAL REVENUES -- 19,159 -- -- 30,946
------------- ----------- ------------ ------------- -------------
OPERATING EXPENSES:
Operation and maintenance -- -- -- -- --
Depreciation and amortization -- -- -- -- --
Administrative and general -- 8,050 -- -- 159
------------- ----------- ------------ ------------- -------------
TOTAL OPERATING EXPENSES -- 8,050 -- -- 159
------------- ----------- ------------ ------------- -------------
OPERATING INCOME -- 11,109 -- -- 30,787
------------- ----------- ------------ ------------- -------------
OTHER INCOME:
Foreign Currency Translation Gain/Loss -- -- -- -- (3,031)
Gain on Sale of Assets -- -- -- -- --
------------- ----------- ------------ ------------- -------------
TOTAL OTHER INCOME -- -- -- -- (3,031)
------------- ----------- ------------ ------------- -------------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Other Associated Companies -- -- -- -- 39
Other -- 21,308 -- -- 17,245
Capitalized interest -- -- -- -- --
------------- ----------- ------------ ------------- -------------
NET INTEREST EXPENSE -- 21,308 -- -- 17,284
------------- ----------- ------------ ------------- -------------
INCOME BEFORE INCOME TAXES -- (10,199) -- -- 10,472
------------- ----------- ------------ ------------- -------------
INCOME TAXES:
Current -- -- -- -- --
Deferred -- -- -- -- 1,047
Investment and energy tax credits - net -- -- -- -- --
------------- ----------- ------------ ------------- -------------
TOTAL INCOME TAXES -- -- -- -- 1,047
------------- ----------- ------------ ------------- -------------
MINORITY INTERESTS -- (1) -- -- --
------------- ----------- ------------ ------------- -------------
NET INCOME $ -- $ (10,198) $ -- $ -- $ 9,425
============= =========== ============ ============= =============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG Venergy
Americas INTERCOMPANY PSEG PSEG PSEG Holdings
Ltd. ELIMINATIONS Americas Peru Brazil Company
CONSOL. & RECLASS. Ltd. LLC Ltda. (Cayman)
------------ -------------- ----------- ----------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ (239) $ 9,093 $ (239) $ -- $ (103) $ --
NET INCOME 9,449 1,920 9,449 -- (1,147) --
------------ -------------- ----------- ----------- ---------- ------------
TOTAL 9,210 11,013 9,210 -- (1,250) --
------------ -------------- ----------- ----------- ---------- ------------
DIVIDENDS DECLARED -- -- -- -- -- --
------------ -------------- ----------- ----------- ---------- ------------
BALANCE DECEMBER 31, 1998 $ 9,210 $ 11,013 $ 9,210 $ -- $ (1,250) $ --
============ ============== =========== =========== ========== ============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Americas PSEG
PSEG Operating PSEG PSEG Brazil
Electrica Company Brazil II Wildwood I Investment
(Cayman) CONSOL. Company Ltd. CONSOL.
------------- ----------- ------------ ------------- -------------
<S> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ -- $ (9,856) $ -- $ -- $ 866
NET INCOME -- (10,198) -- -- 9,425
------------- ----------- ------------ ------------- -------------
TOTAL -- (20,054) -- -- 10,291
------------- ----------- ------------ ------------- -------------
DIVIDENDS DECLARED -- -- -- -- --
------------- ----------- ------------ ------------- -------------
BALANCE DECEMBER 31, 1998 $ -- $ (20,054) $ -- $ -- $ 10,291
============= =========== ============ ============= =============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING BALANCE SHEET
December 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG Venergy
Americas INTERCOMPANY PSEG PSEG PSEG Holdings
Ltd. ELIMINATIONS Americas Peru Brazil Company
CONSOL. & RECLASS. Ltd. LLC Ltda. (Cayman)
------------ -------------- ----------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ 301 $ -- $ 11 $ -- $ 242 $ --
Accounts and Notes receivable:
Trade 2,885 -- 691 -- 2 --
Other 10,025 -- -- -- 25 10,000
PSE&G - -- -- -- -- --
PSEG - -- -- -- -- --
Other associated companies 115,434 -- 115,417 -- 17 --
Notes receivable:
Associated companies -- -- -- -- -- --
Other -- -- -- -- -- --
Interest receivable 12 -- -- -- -- --
Prepayments -- -- -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
Total Current Assets 128,657 -- 116,119 -- 286 10,000
------------ -------------- ----------- ---------- ---------- ------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- -- --
Other 123 -- -- -- 123 --
Accum. depr. and amortization -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
Property, Plant and Equipment-net 123 -- -- -- 123 --
------------ -------------- ----------- ---------- ---------- ------------
INVESTMENTS
- -----------
Subsidiaries -- (418,960) 418,960 -- -- --
Capital lease agreements -- -- -- -- -- --
Partnership interests -- -- -- -- -- --
Corporate joint ventures 753,908 -- 260 -- -- --
Securities -- -- -- -- -- --
Valuation allowances -- -- -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
Total Investments 753,908 (418,960) 419,220 -- -- --
------------ -------------- ----------- ---------- ---------- ------------
OTHER ASSETS
- ------------
Other 5,994 -- 2,114 -- 115 --
------------ -------------- ----------- ---------- ---------- ------------
Total Other Assets 5,994 -- 2,114 -- 115 --
------------ -------------- ----------- ---------- ---------- ------------
TOTAL ASSETS $ 888,682 $ (418,960) $ 537,453 $ -- $ 524 $ 10,000
============ ============== =========== ========== ========== ============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING BALANCE SHEET
December 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Americas PSEG
PSEG Operating PSEG PSEG Brazil
Electrica Company Brazil II Wildwood I Investment
(Cayman) CONSOL. Company Ltd. CONSOL.
------------- ----------- ------------ ------------- -------------
<S> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and temporary cash investments $ -- $ 13 $ -- $ -- $ 35
Accounts and Notes receivable:
Trade -- 222 -- -- 1,970
Other -- -- -- -- --
PSE&G -- -- -- -- --
PSEG -- -- -- -- --
Other associated companies -- -- -- -- --
Notes receivable:
Associated companies -- -- -- -- --
Other -- -- -- -- --
Interest receivable -- 12 -- -- --
Prepayments -- -- -- -- --
------------- ----------- ------------ ------------- -------------
Total Current Assets -- 247 -- -- 2,005
------------- ----------- ------------ ------------- -------------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real estate -- -- -- -- --
Other -- -- -- -- --
Accum. depr. and amortization -- -- -- -- --
Valuation allowances -- -- -- -- --
------------- ----------- ------------ ------------- -------------
Property, Plant and Equipment-net -- -- -- -- --
------------- ----------- ------------ ------------- -------------
INVESTMENTS
- -----------
Subsidiaries -- -- -- -- --
Capital lease agreements -- -- -- -- --
Partnership interests -- -- -- -- --
Corporate joint ventures -- 223,507 -- 50,386 479,755
Securities -- -- -- -- --
Valuation allowances -- -- -- -- --
------------- ----------- ------------ ------------- -------------
Total Investments -- 223,507 -- 50,386 479,755
------------- ----------- ------------ ------------- -------------
OTHER ASSETS
- ------------
Other -- 3,756 -- -- 9
------------- ----------- ------------ ------------- -------------
Total Other Assets -- 3,756 -- -- 9
------------- ----------- ------------ ------------- -------------
TOTAL ASSETS $ -- $ 227,510 $ -- $ 50,386 $ 481,769
============= =========== ============ ============= =============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING BALANCE SHEET
December 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG Venergy
Americas INTERCOMPANY PSEG PSEG PSEG Holdings
Ltd. ELIMINATIONS Americas Peru Brazil Company
CONSOL. & RECLASS. Ltd. LLC Ltda. (Cayman)
------------ -------------- ----------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ 394 $ -- $ -- $ -- $ 90 $ --
Taxes -- -- -- -- -- --
Other (65) -- (65) -- -- --
Interest 4,831 -- -- -- -- --
Associated companies 236,118 -- 112,393 -- 1,624 --
Notes payable:
PSEG Capital Corporation -- -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- -- --
Enterprise Group Development Corp. -- -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- --
Current portion of long-term debt 117,753 -- -- -- -- --
------------ -------------- ----------- ---------- ---------- ------------
Total Current Liabilities 359,031 -- 112,328 -- 1,714 --
------------ -------------- ----------- ---------- ---------- ------------
TOTAL LONG-TERM DEBT 102,116 -- -- -- -- --
- -------------------- ------------ -------------- ----------- ---------- ---------- ------------
DEFERRED CREDITS
- ----------------
Deferred income taxes 1,036 -- -- -- (107) --
Deferred investment
and energy tax credits -- -- -- -- -- --
Other 126 -- 126 -- -- --
------------ -------------- ----------- ---------- ---------- ------------
Total Deferred Credits 1,162 -- 126 -- (107) --
------------ -------------- ----------- ---------- ---------- ------------
MINORITY INTEREST 1,374 1,356 -- -- -- --
- ----------------- ------------ -------------- ----------- ---------- ---------- ------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock -- -- -- -- -- --
Stock Subs Payable -- -- -- -- -- --
Contributed capital 454,509 (470,049) 454,509 -- 167 10,000
Retained earnings 9,210 11,013 9,210 -- (1,250) --
Cumulative Translation Adjustment (38,720) 38,720 (38,720) -- -- --
------------ -------------- ----------- ---------- ---------- ------------
Total Stockholder's Equity 424,999 (420,316) 424,999 -- (1,083) 10,000
------------ -------------- ----------- ---------- ---------- ------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 888,682 $ (418,960) $ 537,453 $-- $ 524 $ 10,000
============ ============== =========== ========== ========== ============
</TABLE>
<PAGE>
PSEG AMERICAS LTD.
CONSOLIDATING BALANCE SHEET
December 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Americas PSEG
PSEG Operating PSEG PSEG Brazil
Electrica Company Brazil II Wildwood I Investment
(Cayman) CONSOL. Company Ltd. CONSOL.
------------- ----------- ------------ ------------- -------------
<S> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
- --------------------
CURRENT LIABILITIES
- -------------------
Accounts payable:
Trade $ -- $ 304 $ -- $ -- $ --
Taxes -- -- -- -- --
Other -- -- -- -- --
Interest -- 2,800 -- -- 2,031
Associated companies -- 113,900 -- 210 7,991
Notes payable:
PSEG Capital Corporation -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- --
Enterprise Group Development Corp. -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- --
Current portion of long-term debt -- 87,044 -- -- 30,709
------------- ----------- ------------ ------------- -------------
Total Current Liabilities -- 204,048 -- 210 40,731
------------- ----------- ------------ ------------- -------------
TOTAL LONG-TERM DEBT -- 9,990 -- -- 92,126
- -------------------- ------------- ----------- ------------ ------------- -------------
DEFERRED CREDITS
- ----------------
Deferred income taxes -- -- -- -- 1,143
Deferred investment
and energy tax credits -- -- -- -- --
Other -- -- -- -- --
------------- ----------- ------------ ------------- -------------
Total Deferred Credits -- -- -- -- 1,143
------------- ----------- ------------ ------------- -------------
MINORITY INTEREST -- 18 -- -- --
- ----------------- ------------- ----------- ------------ ------------- -------------
STOCKHOLDER'S EQUITY
- --------------------
Capital stock -- -- -- -- --
Stock Subs Payable -- -- -- -- --
Contributed capital -- 33,508 -- 50,176 376,198
Retained earnings -- (20,054) -- -- 10,291
Cumulative Translation Adjustment -- -- -- -- (38,720)
------------- ----------- ------------ ------------- -------------
Total Stockholder's Equity -- 13,454 -- 50,176 347,769
------------- ----------- ------------ ------------- -------------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ -- $ 227,510 $ -- $ 50,386 $ 481,769
============= =========== ============ ============= =============
</TABLE>
<PAGE>
PSEG BRAZIL INVESTMENT
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Pampa
Brazil INTERCOMPANY PSEG Energia
Investment ELIMINATIONS Brazil Ltda.
CONSOL. & RECLASS. Investment CONSOL.
------------ -------------- ----------- ----------
<S> <C> <C> <C> <C>
REVENUES:
Income from partnerships $ 30,668 $ -- $ -- $ 30,668
Income from capital lease agreements -- -- -- --
Unrealized gains (losses) on investments -- -- -- --
Realized gains (losses) on investments -- -- -- --
Interest and dividend income 278 -- -- 278
Other -- -- -- --
Equity in subsidiary earnings -- (9,425) 9,425 --
------------ -------------- ----------- ----------
TOTAL REVENUES 30,946 (9,425) 9,425 30,946
------------ -------------- ----------- ----------
OPERATING EXPENSES:
Operation and maintenance -- -- -- --
Depreciation and amortization -- -- -- --
Administrative and general 159 -- -- 159
------------ -------------- ----------- ----------
TOTAL OPERATING EXPENSES 159 -- -- 159
------------ -------------- ----------- ----------
OPERATING INCOME 30,787 (9,425) 9,425 30,787
------------ -------------- ----------- ----------
OTHER INCOME
Foreign Currency Translation Gain/Loss (3,031) -- -- (3,031)
------------ -------------- ----------- ----------
TOTAL OTHER INCOME (3,031) -- -- (3,031)
------------ -------------- ----------- ----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Other Associated Companies 39 -- -- 39
Other 17,245 -- -- 17,245
Capitalized interest -- -- -- --
------------ -------------- ----------- ----------
NET INTEREST EXPENSE 17,284 -- -- 17,284
------------ -------------- ----------- ----------
INCOME BEFORE INCOME TAXES 10,472 (9,425) 9,425 10,472
------------ -------------- ----------- ----------
INCOME TAXES:
Current -- -- -- --
Deferred 1,047 -- -- 1,047
Investment and energy tax credits - net -- -- -- --
------------ -------------- ----------- ----------
TOTAL INCOME TAXES 1,047 -- -- 1,047
------------ -------------- ----------- ----------
MINORITY INTERESTS -- -- -- --
------------ -------------- ----------- ----------
NET INCOME $ 9,425 $ (9,425) $ 9,425 $ 9,425
============ ============== =========== ==========
</TABLE>
<PAGE>
PSEG BRAZIL INVESTMENT
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Pampa
Brazil INTERCOMPANY PSEG Energia
Investment ELIMINATIONS Brazil Ltda.
CONSOL. & RECLASS. Investment CONSOL.
------------ -------------- ----------- -----------
<S> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 866 $ (866) $ 866 $ 866
NET INCOME 9,425 (9,425) 9,425 9,425
------------ -------------- ----------- -----------
TOTAL 10,291 (10,291) 10,291 10,291
------------ -------------- ----------- -----------
DIVIDENDS DECLARED -- -- -- --
------------ -------------- ----------- -----------
------------ -------------- ----------- -----------
BALANCE DECEMBER 31, 1998 $ 10,291 $ (10,291) $ 10,291 $ 10,291
============ ============== =========== ===========
</TABLE>
<PAGE>
PSEG BRAZIL INVESTMENT
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Pampa
Brazil INTERCOMPANY PSEG Energia
Investment ELIMINATIONS Brazil Ltda.
CONSOL. & RECLASS. Investment CONSOL.
------------ -------------- ----------- ----------
<S> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and Temporary Cash Investments $ 35 $ -- $ -- $ 35
Accounts and Notes Receivable:
Trade 1,970 -- -- 1,970
Other -- -- -- --
PSE&G -- -- -- --
PSEG -- -- -- --
Other Associated Companies -- -- -- --
Notes Receivable:
Associated Companies -- -- -- --
Other -- -- -- --
Interest Receivable -- -- -- --
Prepayments -- -- -- --
------------ -------------- ----------- ----------
Total Current Assets 2,005 -- -- 2,005
------------ -------------- ----------- ----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real Estate -- -- -- --
Other -- -- -- --
Accum. Depr. and Amortization -- -- -- --
Valuation Allowances -- -- -- --
------------ -------------- ----------- ----------
Property, Plant and Equipment-net -- -- -- --
------------ -------------- ----------- ----------
INVESTMENTS
- -----------
Subsidiaries -- (347,769) 347,769 --
Capital Lease Agreements -- -- -- --
Partnership Interests -- -- -- --
Corporate Joint Ventures 479,755 -- -- 479,755
Securities -- -- -- --
Valuation Allowances -- -- -- --
------------ -------------- ----------- ----------
Total Investments 479,755 (347,769) 347,769 479,755
------------ -------------- ----------- ----------
OTHER ASSETS
- ------------
Other 9 -- -- 9
------------ -------------- ----------- ----------
Total Other Assets 9 -- -- 9
------------ -------------- ----------- ----------
TOTAL ASSETS $ 481,769 $ (347,769) $ 347,769 $481,769
============ ============== =========== ==========
</TABLE>
<PAGE>
PSEG BRAZIL INVESTMENT
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
PSEG Pampa
Brazil INTERCOMPANY PSEG Energia
Investment ELIMINATIONS Brazil Ltda.
CONSOL. & RECLASS. Investment CONSOL.
------------ -------------- ----------- ----------
<S> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts Payable:
Trade $ -- $ -- $ -- $ --
Taxes -- -- -- --
Other -- -- -- --
Interest 2,031 -- -- 2,031
Associated Companies 7,991 -- -- 7,991
Notes Payable:
PSEG Capital Corporation -- -- -- --
Enterprise Capital Funding Corp. -- -- -- --
Enterprise Group Development Corp. -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- --
U.S.Energy Incorporated -- -- -- --
Current Portion of Long-Term Debt 30,709 -- -- 30,709
------------ -------------- ----------- ----------
Total Current Liabilities 40,731 -- -- 40,731
------------ -------------- ----------- ----------
TOTAL LONG-TERM DEBT 92,126 -- -- 92,126
- -------------------- ------------ -------------- ----------- ----------
DEFERRED CREDITS
- ----------------
Deferred Income Taxes 1,143 -- -- 1,143
Deferred Investment
and Energy Tax Credits -- -- -- --
Other -- -- -- --
------------ -------------- ----------- ----------
Total Deferred Credits 1,143 -- -- 1,143
------------ -------------- ----------- ----------
STOCKHOLDER'S EQUITY
- --------------------
Capital Stock -- -- -- --
Stock Subs Payable -- -- -- --
Contributed Capital 376,198 (376,198) 376,198 376,198
Retained Earnings 10,291 (10,291) 10,291 10,291
Cumulative Translation Adjustment (38,720) 38,720 (38,720) (38,720)
------------ -------------- ----------- ----------
Total Stockholder's Equity 347,769 (347,769) 347,769 347,769
------------ -------------- ----------- ----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 481,769 $ (347,769) $ 347,769 $481,769
============ ============== =========== ==========
</TABLE>
<PAGE>
PSEG PAMPA ENERGIA LTDA.
CONSOLIDATING STATEMENT OF INCOME
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Pampa PSEG
Energia INTERCOMPANY Pampa PSEG
Ltda. ELIMINATIONS Energia Brazil PSEG IPE'
CONSOL. & RECLASS. Ltda. I Brazil Energia
------------ -------------- ----------- ---------- ------------ -----------
<S> <C> <C> <C> <C> <C> <C>
REVENUES:
Income from Partnerships $ 30,668 $ -- $ -- $ -- $ -- $ 30,668
Income from Capital Lease Agreements -- -- -- -- -- --
Unrealized Gains (Losses) on Investments -- -- -- -- -- --
Realized Gains (Losses) on Investments -- -- -- -- -- --
Interest and Dividend Income 278 -- -- -- -- 278
Other -- -- -- -- -- --
Equity in Subsidiary Earnings -- (9,425) 9,425 -- -- --
------------ -------------- ----------- ---------- ------------ -----------
TOTAL REVENUES 30,946 (9,425) 9,425 -- -- 30,946
------------ -------------- ----------- ---------- ------------ -----------
OPERATING EXPENSES:
Operation and Maintenance -- -- -- -- -- --
Depreciation and Amortization -- -- -- -- -- --
Administrative and General 159 -- -- -- -- 159
------------ -------------- ----------- ---------- ------------ -----------
TOTAL OPERATING EXPENSES 159 -- -- -- -- 159
------------ -------------- ----------- ---------- ------------ -----------
OPERATING INCOME 30,787 (9,425) 9,425 -- -- 30,787
------------ -------------- ----------- ---------- ------------ -----------
OTHER INCOME:
Foreign Currency Translation Gain/(Loss) (3,031) -- -- -- -- (3,031)
------------ -------------- ----------- ---------- ------------ -----------
TOTAL OTHER INCOME (3,031) -- -- -- -- (3,031)
------------ -------------- ----------- ---------- ------------ -----------
INTEREST EXPENSE:
PSEG Capital Corporation -- -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- -- --
Other Associated Companies 39 -- -- -- -- 39
Other 17,245 -- -- -- -- 17,245
Capitalized Interest -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
NET INTEREST EXPENSE 17,284 -- -- -- -- 17,284
------------ -------------- ----------- ---------- ------------ -----------
INCOME BEFORE INCOME TAXES 10,472 (9,425) 9,425 -- -- 10,472
------------ -------------- ----------- ---------- ------------ -----------
INCOME TAXES:
Current -- -- -- -- -- --
Deferred 1,047 -- -- -- -- 1,047
Investment and Energy Tax Credits - Net -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
TOTAL INCOME TAXES 1,047 -- -- -- -- 1,047
------------ -------------- ----------- ---------- ------------ -----------
MINORITY INTERESTS -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
NET INCOME $ 9,425 $ (9,425) $ 9,425 $ -- $ -- $ 9,425
============ ============== =========== ========== ============ ===========
</TABLE>
<PAGE>
PSEG PAMPA ENERGIA LTDA.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
FOR THE YEAR ENDING DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Pampa PSEG
Energia INTERCOMPANY Pampa PSEG
Ltda. ELIMINATIONS Energia Brazil PSEG IPE'
CONSOL. & RECLASS. Ltda. I Brazil Energia
------------ -------------- ----------- ----------- ----------- ------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE JANUARY 1, 1998 $ 866 $ (866) $ 866 $ -- $ -- $ 866
NET INCOME 9,425 (9,425) 9,425 -- -- 9,425
------------ -------------- ----------- ----------- ----------- ------------
TOTAL 10,291 (10,291) 10,291 -- -- 10,291
------------ -------------- ----------- ----------- ----------- ------------
DIVIDENDS DECLARED -- -- -- -- -- --
------------ -------------- ----------- ----------- ----------- ------------
------------ -------------- ----------- ----------- ----------- ------------
BALANCE DECEMBER 31, 1998 $ 10,291 $ (10,291) $ 10,291 $ -- $ -- $ 10,291
============ ============== =========== =========== =========== ============
</TABLE>
<PAGE>
PSEG PAMPA ENERGIA LTDA.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Pampa PSEG
Energia INTERCOMPANY Pampa PSEG
Ltda. ELIMINATIONS Energia Brazil PSEG IPE'
CONSOL. & RECLASS. Ltda. I Brazil Energia
------------ -------------- ----------- ---------- ------------ -----------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
CURRENT ASSETS
- --------------
Cash and Temporary Cash Investments $ 35 $ -- $ -- $ -- $ -- $ 35
Accounts and Notes Receivable:
Trade 1,970 (2) -- -- -- 1,972
Other -- -- -- -- -- --
PSE&G -- -- -- -- -- --
PSEG -- -- -- -- -- --
Other Associated Companies -- (752,396) 376,198 188,099 188,099 --
Notes Receivable:
Associated Companies -- -- -- -- -- --
Other -- -- -- -- -- --
Interest Receivable -- -- -- -- -- --
Prepayments -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
Total Current Assets 2,005 (752,398) 376,198 188,099 188,099 2,007
------------ -------------- ----------- ---------- ------------ -----------
PROPERTY, PLANT AND EQUIPMENT
- -----------------------------
Real Estate -- -- -- -- -- --
Other -- -- -- -- -- --
Accum. Depr. and Amortization -- -- -- -- -- --
Valuation Allowances -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
Property, Plant and Equipment-net -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
INVESTMENTS
- -----------
Subsidiaries -- 28,427 (28,429) 1 1 --
Capital Lease Agreements -- -- -- -- -- --
Partnership Interests -- -- -- -- -- --
Corporate Joint Ventures 479,755 -- -- -- -- 479,755
Securities -- -- -- -- -- --
Valuation Allowances -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
Total Investments 479,755 28,427 (28,429) 1 1 479,755
------------ -------------- ----------- ---------- ------------ -----------
OTHER ASSETS
- ------------
Other 9 -- -- -- -- 9
------------ -------------- ----------- ---------- ------------ -----------
Total Other Assets 9 -- -- -- -- 9
------------ -------------- ----------- ---------- ------------ -----------
TOTAL ASSETS $ 481,769 $ (723,971) $ 347,769 $ 188,100 $ 188,100 $ 481,771
============ ============== =========== ========== ============ ===========
</TABLE>
<PAGE>
PSEG PAMPA ENERGIA LTDA.
CONSOLIDATING BALANCE SHEET
DECEMBER 31, 1998
($ IN THOUSANDS)
<TABLE>
<CAPTION>
PSEG
Pampa PSEG
Energia INTERCOMPANY Pampa PSEG
Ltda. ELIMINATIONS Energia Brazil PSEG IPE'
CONSOL. & RECLASS. Ltda. I Brazil Energia
------------ -------------- ----------- ---------- ------------ -----------
<S> <C> <C> <C> <C> <C> <C>
LIABILITIES AND
STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
- -------------------
Accounts Payable:
Trade $ -- $ -- $ -- $ -- $ -- $ --
Taxes -- -- -- -- -- --
Other -- -- -- -- -- --
Interest 2,031 -- -- -- -- 2,031
Associated Companies 7,991 (752,397) -- 188,099 188,099 384,190
Notes payable:
PSEG Capital Corporation -- -- -- -- -- --
Enterprise Capital Funding Corp. -- -- -- -- -- --
Enterprise Group Development Corp. -- -- -- -- -- --
Enterprise Diversified Holdings Inc. -- -- -- -- -- --
U.S.Energy Incorporated -- -- -- -- -- --
Current Portion of Long-Term Debt 30,709 -- -- -- -- 30,709
------------ -------------- ----------- ---------- ------------ -----------
Total Current Liabilities 40,731 (752,397) - 188,099 188,099 416,930
------------ -------------- ----------- ---------- ------------ -----------
TOTAL LONG-TERM DEBT 92,126 -- -- -- -- 92,126
- -------------------- ------------ -------------- ----------- ---------- ------------ -----------
DEFERRED CREDITS
- ----------------
Deferred Income Taxes 1,143 -- -- -- -- 1,143
Deferred Investment
and Energy Tax Credits -- -- -- -- -- --
Other -- -- -- -- -- --
------------ -------------- ----------- ---------- ------------ -----------
Total Deferred Credits 1,143 -- -- -- -- 1,143
------------ -------------- ----------- ---------- ------------ -----------
STOCKHOLDER'S EQUITY
- --------------------
Capital Stock -- (1) -- -- -- 1
Stock Subs Payable -- (2) -- 1 1 --
Contributed Capital 376,198 -- 376,198 -- -- --
Retained Earnings 10,291 (10,291) 10,291 -- -- 10,291
Cumulative Translation Adjustment (38,720) 38,720 (38,720) -- -- (38,720)
------------ -------------- ----------- ---------- ------------ -----------
Total Stockholder's Equity 347,769 28,426 347,769 1 1 (28,428)
------------ -------------- ----------- ---------- ------------ -----------
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $ 481,769 $ (723,971) $ 347,769 $ 188,100 $ 188,100 $ 481,771
============ ============== =========== ========== ============ ===========
</TABLE>
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (i)
BHILAI
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG (Bermuda) Holdings II, Ltd.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG India Ltd.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Bhilai Energy Company Ltd.
---------------------------------------------------------------
| 45%
|
---------------------------------------------------------------
Bhilai Power Supply Company Limited
---------------------------------------------------------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (ii)
PSEG Meiya Power, Ltd.
(PMP)
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG China, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PMP
---------------------------------------------------------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (iii)
PPHLLC
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG China, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PPHLLC
---------------------------------------------------------------
| 27.8%
|
---------------------------------------------------------------
Magellan Capital Holdings Corporation
---------------------------------------------------------------
| 56%
|
---------------------------------------------------------------
Magellan Cogeneration Inc.
---------------------------------------------------------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (iv)
CTSN
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
CEMAS
---------------------------------------------------------------
4.95% | |
| |
------------------ |
ASNI | 18.63%
------------------ |
| |
| 62.74% --------------
--------------------------- ISN
--------------
|
| 88%
--------------
CTSN
--------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (v)
CUPPI
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG China, Inc.
---------------------------------------------------------------
| 50%
|
---------------------------------------------------------------
Meiya Power Company Limited
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
CUPPI
---------------------------------------------------------------
| 30%
|
---------------------------------------------------------------
Jingyuan
---------------------------------------------------------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (vi)
RGE
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Ltd.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Brazil Investment Company
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Pampa Energia Ltda.
---------------------------------------------------------------
|
100% | 100%
---------------------------------------------------------------
| |
| |
- ----------------------- -------------------------
PSEG Brazil Company PSEG Brazil I Company
- ----------------------- -------------------------
| 50%
0.1% | -----------------------------
| | |
| 50% | | 50%
| ----------------------- ----------------------
| IPE Energia S.A. CEA Rio Grande S.A.
| ----------------------- ----------------------
| |
| |
| ----------------------
| | |
| 99.9% | | 31.41%
- -------------------------- ------------------------
CEA Brasil Operacoes Ltda. Rio Grande Energia, S.A.
- -------------------------- ------------------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (vii), (viii)
EDEN, EDES
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas Ltd.
---------------------------------------------------------------
| 90%
|
---------------------------------------------------------------
PSEG Americas Operating Company
---------------------------------------------------------------
| 99.99%
|
---------------------------------------------------------------
CEA Operating Argentina S.A.
---------------------------------------------------------------
|
|
------------------------------------------
| |
33.34% | | 33.34%
-------------- ---------------
EDEN EDES
-------------- ---------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (ix)
TGM
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas II, Ltd.
---------------------------------------------------------------
| 50%
|
---------------------------------------------------------------
TGV
---------------------------------------------------------------
| 17.13%
|
---------------------------------------------------------------
TGM
---------------------------------------------------------------
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (x)
EDELAP
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Inc.
---------------------------------------------------------------
|
|
--------------------------------------------------------
| | |
100% | 100% | | 33.33%
- ----------------------- ----------------------- -----------------------
PSEG Americas Ltd. La Plata I La Plata II
- ----------------------- ----------------------- -----------------------
| | |
100% | | 33.33% | 1%
- ----------------------- ----------------------- |
Wildwood I Ltd. La Plata Partners LP ------------
- ---------------------- -----------------------
| |
| | 100%
| -----------------------
| La Plata Holdings Inc.
| -----------------------
33.33% | |
------------------------|
| 100%
-----------------------
Camille Ltd.
-----------------------
|
|
-----------------------
| |
100% | | 40%
---------------------- ----------------------
Luz de la Plata S.A. COINELEC
---------------------- /----------------------
| / |
31.942% | / | 51%
---------------------- / ----------------------
EDELAP / 51% Central Dique
----------------------/ ----------------------
<PAGE>
<TABLE>
Exhibit C
Organizational Chart - Response 4 (b) (xi),(xii),(xiii)
CAGUA, MARACAY, VALENCIA
<CAPTION>
<S> <C> <C> <C>
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global USA
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG International, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Inc.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Americas, Ltd.
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Venergy Holdings Company
---------------------------------------------------------------
| 50%
|
---------------------------------------------------------------
Turboven Company
---------------------------------------------------------------
|
|
--------------------------------------------------------------------------------------
| | | |
100% | 100% | 100% | | 100%
- ---------------------- ------------------------ ------------------------- ----------------------------
Turboven Cagua Company Turboven Maracay Company Turboven Valencia Company Turboven La Victoria Company
- ---------------------- ------------------------ ------------------------- ----------------------------
</TABLE>
<PAGE>
Exhibit C
Organizational Chart - Response 4 (b) (xiv), (xv)
PPN Energy, PPN Operations
---------------------------------------------------------------
PSEG
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
Energy Holdings
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG Global
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG India Company
---------------------------------------------------------------
| 100%
|
---------------------------------------------------------------
PSEG EAMS Ltd.
---------------------------------------------------------------
|
|
----------------------------------------
| |
100% | | 100%
--------------------------------- ---------------------------------------
PSEG Operations Ltd. PSEG PPN Energy Company Ltd.
--------------------------------- ---------------------------------------
| |
| 99.99% | 20%
--------------------------------- ---------------------------------------
PSEG PPN Operations Private Ltd. PPN Power Generating Company Limited
--------------------------------- ---------------------------------------
<TABLE> <S> <C>
<ARTICLE> OPUR3
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> DEC-31-1998
<BOOK-VALUE> PER-BOOK
<TOTAL-ASSETS> 17,997
<TOTAL-OPERATING-REVENUES> 5,931
<NET-INCOME> 644
</TABLE>
|
|