<PAGE> 1
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
(Mark One)
(X)QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended December 31, 1994
OR
( )TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from ............ to ............
Commission file number 0-1218
PUBLIC SERVICE COMPANY OF NORTH CAROLINA, INCORPORATED
(Exact name of registrant as specified in its charter)
NORTH CAROLINA 56-0233140
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
400 COX ROAD, P. O. BOX 1398
GASTONIA, NORTH CAROLINA 28053-1398
(Address of principal executive offices) (Zip Code)
(704) 864-6731
(Registrant's telephone number, including area code)
NONE
(Former name, former address and former fiscal year,
if changed since last report.)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period
that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days. Yes X No
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date.
Number of shares of Common Stock, $1 par value, outstanding
at January 31, 1995. . . . . . . . . . . . . . . . 18,462,323
<PAGE> 2
PUBLIC SERVICE COMPANY OF NORTH CAROLINA, INCORPORATED
------------------------------------------------------
AND SUBSIDIARIES
----------------
PART I. FINANCIAL INFORMATION
The condensed financial statements included herein have been
prepared by the registrant without audit, pursuant to the rules and
regulations of the Securities and Exchange Commission. Certain
information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting
principles have been condensed or omitted pursuant to such rules and
regulations, although the registrant believes that the disclosures
herein are adequate to make the information presented not misleading.
It is recommended that these condensed financial statements be read in
conjunction with the financial statements and the notes thereto included
in the registrant's latest annual report on Form 10-K.
<PAGE> 3
<TABLE>
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
<CAPTION>
Three Months Ended Twelve Months Ended
December 31 December 31
------------------ --------------------
1994 1993 1994 1993
------- ------- -------- --------
<S> <C> <C> <C> <C>
Operating revenues $66,835 $71,442 $269,098 $274,454
Cost of gas 33,736 41,582 147,531 161,897
------- ------- -------- --------
Gross margin 33,099 29,860 121,567 112,557
------- ------- -------- --------
Operating expenses and taxes:
Operating and maintenance 11,074 12,093 48,750 48,165
Provision for depreciation 4,433 3,801 15,830 14,477
General taxes 3,525 3,761 14,329 14,224
Income taxes 4,229 2,356 12,013 7,394
------- ------- -------- --------
23,261 22,011 90,922 84,260
------- ------- -------- --------
Operating income 9,838 7,849 30,645 28,297
Other income, net 12 667 3,914 388
Interest deductions 3,187 3,500 12,936 13,920
------- ------- -------- --------
Net income $ 6,663 $ 5,016 $ 21,623 $ 14,765
======= ======= ======== ========
Average common shares
outstanding 18,292 16,079 17,566 15,928
Earnings per share $.36 $.31 $1.23 $.93
Cash dividends declared
per share $.205 $.1975 $.805 $.7825
</TABLE>
<PAGE> 4
<TABLE>
CONSOLIDATED BALANCE SHEETS
(In thousands)
ASSETS
<CAPTION>
Dec 31 Sep 30 Dec 31
1994 1994 1993
-------- -------- --------
<S> <C> <C> <C>
Gas utility plant $532,994 $520,209 $485,634
Less - Accumulated depreciation 156,221 153,308 144,217
-------- -------- --------
376,773 366,901 341,417
-------- -------- --------
Non-utility property, net 889 251 9,664
-------- -------- --------
Current assets:
Cash and temporary investments 5,047 2,534 3,679
Restricted cash and temporary investments 1,422 12,731 7,646
Receivables, less allowance for
doubtful accounts 30,016 16,649 32,200
Materials and supplies 5,531 6,131 7,488
Stored gas inventory 12,998 14,276 12,305
Deferred gas costs, net 822 734 12,598
Prepayments and other 2,389 2,572 2,647
-------- -------- --------
58,225 55,627 78,563
-------- -------- --------
Deferred charges and other assets 6,225 5,160 2,326
-------- -------- --------
Total $442,112 $427,939 $431,970
======== ======== ========
CAPITALIZATION AND LIABILITIES
Capitalization:
Common equity -
Common stock, $1 par $ 18,301 $ 18,212 $ 16,103
Capital in excess of par value 101,556 100,201 73,115
Retained earnings 45,027 42,142 37,913
-------- -------- --------
164,884 160,555 127,131
Long-term debt 109,380 113,680 124,220
-------- -------- --------
274,264 274,235 251,351
-------- -------- --------
Current liabilities:
Maturities of long-term debt 9,540 5,240 5,538
Accounts payable 26,353 15,656 32,946
Accrued taxes 5,334 5,787 3,528
Customer prepayments and deposits 7,200 5,570 6,769
Cash dividends and interest 5,358 4,973 4,922
Restricted supplier refunds 1,422 12,731 7,646
Other 11,925 11,665 6,823
-------- -------- --------
67,132 61,622 68,172
Interim bank loans 31,000 23,000 44,000
-------- -------- --------
98,132 84,622 112,172
-------- -------- --------
Accrued pension cost 15,386 15,532 14,026
Deferred investment tax credits 4,968 5,081 5,377
Deferred income taxes 49,362 48,469 49,044
-------- -------- --------
Total $442,112 $427,939 $431,970
======== ======== ========
</TABLE>
<PAGE> 5
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS
(In thousands)
Twelve Months Ended
December 31
-------------------
1994 1993
------- -------
Balance beginning of period $37,913 $40,949
Add - Net income 21,623 14,765
Deduct - Common stock dividends
and other 14,509 17,801
------- -------
Balance end of period $45,027 $37,913
======= =======
<TABLE>
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
<CAPTION>
Three Months Ended Twelve Months Ended
December 31 December 31
------------------ -------------------
1994 1993 1994 1993
------- ------- ------- -------
<S> <C> <C> <C> <C>
Cash Flows From Operating Activities:
Net income $ 6,663 $ 5,016 $21,623 $14,765
Adjustments to reconcile net income
to net cash provided by operating
activities -
Depreciation, depletion and other 5,215 4,732 19,335 18,198
Deferred income taxes 893 2,451 318 1,059
Gain on sale of propane assets - - (3,128) -
------- ------- ------- -------
12,771 12,199 38,148 34,022
Change in operating assets and
liabilities:
Receivables, net (13,740) (17,965) 704 (1,473)
Inventories 1,878 (789) 1,263 (3,094)
Accounts payable 10,697 15,441 (345) (2,154)
Accrued pension cost (146) 502 1,361 2,576
Other 825 (8,551) 9,995 2,239
------- ------- ------- -------
12,285 837 51,126 32,116
------- ------- ------- -------
Cash Flows From Investing Activities:
Construction expenditures (15,322) (7,712) (53,079) (40,573)
Non-utility and other (1,040) (100) (1,940) 60
Proceeds from sale of propane assets - - 12,800 -
------- ------- ------- -------
(16,362) (7,812) (42,219) (40,513)
------- ------- ------- -------
Cash Flows From Financing Activities:
Issuance of common stock through public
offering, net of expenses - - 23,406 -
Issuance of common stock through
dividend reinvestment, stock purchase
and stock option plans 1,277 1,784 6,790 6,875
Increase (decrease) in interim bank
loans, net 8,000 10,500 (13,000) 18,500
Retirement of long-term debt,
preferred and common stock (27) (386) (10,940) (6,125)
Cash dividends (2,660) (3,163) (13,795) (12,338)
------- ------- ------- -------
6,590 8,735 (7,539) 6,912
------- ------- ------- -------
Net increase (decrease) in cash and
temporary investments 2,513 1,760 1,368 (1,485)
Cash and temporary investments
at beginning of period 2,534 1,919 3,679 5,164
------- ------- ------- -------
Cash and temporary investments
at end of period $ 5,047 $ 3,679 $ 5,047 $ 3,679
======= ======= ======= =======
Cash paid during the period for:
Interest (net of amount capitalized) $ 3,720 $ 5,303 $12,551 $13,316
Income taxes 2,443 - 11,371 7,263
</TABLE>
<PAGE> 6
NOTES TO FINANCIAL STATEMENTS
1. The accompanying unaudited consolidated financial statements and notes
should be read in conjunction with the financial statements and notes
included in PSNC's 1994 Annual Report. In the opinion of management, all
adjustments necessary for a fair statement of the results of operations for
the interim periods have been recorded. Certain amounts previously reported
have been reclassified to conform with the current period's presentation.
PSNC's business is seasonal in nature, therefore the financial results
for any interim period are not necessarily indicative of those which may be
expected for the annual period.
2. In November 1992, the Financial Accounting Standards Board issued its
Statement of Financial Accounting Standards (SFAS) No. 112, "Employers'
Accounting for Postemployment Benefits," that requires employers to adopt
accrual accounting for workers' compensation, disability, severance pay, and
other benefits provided to former or inactive employees after employment but
before retirement.
PSNC implemented SFAS No. 112 on October 1, 1994. As a result of
implementation, PSNC recorded a regulatory asset of $376,164 with a similar
increase in an accumulated postemployment compensation liability. In the
October 7, 1994 general rate case order, the North Carolina Utilities
Commission directed PSNC to amortize the regulatory asset over a three-year
period, and approved an ongoing expense level for SFAS No. 112 costs of
$59,756.
<PAGE> 7
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
RESULTS OF OPERATION AND FINANCIAL CONDITION
Changes in Results of Operations
- --------------------------------
(Amounts in thousands except
degree day and customer data) Three Months Ended December 31
--------------------------------------
Increase
1994 1993 (Decrease) %
-------- -------- --------- ---
Gross margin $ 33,099 $ 29,860 $ 3,239 11
Less - Franchise taxes 2,159 2,307 (148) (6)
-------- -------- ---------
Net margin $ 30,940 $ 27,553 $ 3,387 12
======== ======== =========
Total volume throughput (DT):
Residential 4,167 4,667 (500) (11)
Commercial/small industrial 2,902 3,198 (296) (9)
Large commercial/industrial 7,575 7,405 170 2
-------- -------- ---------
14,644 15,270 (626) (4)
======== ======== =========
Raleigh/Durham area degree days:
Actual 1,000 1,318 (318) (24)
Normal 1,264 1,264 - -
Percent of normal 79% 104%
Weather normalization adjustment
(WNA) revenue, net of tax $3,521 $ 439 $3,082
Customers at end of period:
Residential 249,193 237,846 11,347 5
Commercial/small industrial 29,451 27,978 1,473 5
Large commercial/industrial 381 377 4 1
-------- -------- ---------
279,025 266,201 12,824 5
======== ======== =========
Net margin for the three months ended December 31, 1994 increased
$3,387,000 as compared to the same period last year. This increase is
attributable to the items shown below:
<TABLE>
(Amounts in thousands)
<CAPTION>
Commercial/ Large
Small Commercial/
Changes in net margin Residential Industrial Industrial Other Total
due to: ----------- ---------- ---------- ------ ------
<S> <C> <C> <C> <C> <C>
Changes in rates
effective 10/94 $2,135 $546 $(387) $(732) $1,562
Customer growth 1,264 307 195 - 1,766
Other - - 102 (43) 59
----------- ---------- ---------- ------ ------
Total $3,399 $853 $ (90) $(775) $3,387
=========== ========== ========== ====== ======
</TABLE>
The net increase in rates was offset by a $732,000 refund ordered by the
North Carolina Utilities Commission (NCUC) in the October 7, 1994 general
rate case order that related to prior period income tax credits taken by
PSNC. Other items also include $102,000 specifically related to unauthorized
gas usage by certain large/commercial industrial customers during December
1994 that was billed at penalty rates.
<PAGE> 8
MANAGEMENT'S DISCUSSION (Continued)
(Amounts in thousands except
degree day data) Twelve Months Ended December 31
-----------------------------------------
Increase
1994 1993 (Decrease) %
-------- -------- --------- ---
Gross margin $121,567 $112,557 $ 9,010 8
Less - Franchise taxes 8,618 8,792 (174) (2)
-------- -------- ---------
Net margin $112,949 $103,765 $ 9,184 9
======== ======== =========
Total volume throughput (DT):
Residential 18,281 17,922 359 2
Commercial/small industrial 12,154 11,944 210 2
Large commercial/industrial 27,827 27,387 440 2
-------- -------- ---------
58,262 57,253 1,009 2
======== ======== =========
Raleigh/Durham area degree days:
Actual 3,071 3,462 (391) (11)
Normal 3,341 3,341 - -
Percent of normal 92% 104%
Weather normalization adjustment
(WNA) revenue, net of tax $2,944 $ 48 $2,896
Net margin for the twelve months ended December 31, 1994 increased
$9,184,000 as compared to the same period last year. This increase is
attributable to the items shown below:
<TABLE>
(Amounts in thousands)
<CAPTION>
Commercial/ Large
Small Commercial/
Changes in net margin Residential Industrial Industrial Other Total
due to: ----------- ---------- ---------- ------ ------
<S> <C> <C> <C> <C> <C>
Changes in rates
effective 10/94 $2,135 $ 546 $(387) $ (732) $1,562
Customer growth 3,924 1,356 413 - 5,693
Other - - 800 1,129 1,929
----------- ---------- ---------- ------ ------
TOTAL $6,059 $1,902 $ 826 $ 397 $9,184
=========== ========== ========== ====== ======
</TABLE>
The twelve-month period reflects the previously mentioned refund, and
penalty billings of $800,000 related to unauthorized gas usage by certain
large/commercial industrial customers. This period also includes a
$1,225,000 increase in margin due to the absence of the write-off of Southern
Expansion costs that occurred in July 1993 (see Note 2 to the financial
statements in the 1994 Annual Report).
Operating and maintenance expenses for the three months ended December
31, 1994 decreased 8% as compared to the same period last year. This
decrease was partly due to the reversal in the current three-month period of
a $750,000 charge to expenses, originally recorded in fiscal 1992, related to
the investigation of former manufactured gas plant (MGP) sites. The reversal
was made and the charge recorded as a regulatory asset in response to the
approval of recovery of these types of prudently incurred costs from
customers in PSNC's October 7, 1994 general rate case order (see Note 8 to
the financial statements in the 1994 Annual Report). Also contributing to
lower expenses for the period was a $299,000 reclassification of certain
sales compensation expenses to merchandising and jobbing.
<PAGE> 9
MANAGEMENT'S DISCUSSION (Continued)
Depreciation expense increased for the three and twelve months ended
December 31, 1994 due to utility plant additions. For the three-month
period, general taxes decreased due mainly to decreased franchise taxes,
which are based on operating revenues. The decrease in general taxes for the
twelve-month period was partially offset by increased property taxes
resulting from additions to taxable property and increased property tax
rates. The increase in income taxes for both periods is due in part to
income tax credits recorded during fiscal 1993 to account for prior year
unrecognized tax benefits.
Other income for the three-month period decreased $656,000 due mainly to
the absence of income from PSNC's propane subsidiary that was sold in June
1994. Also contributing was a $131,000 decrease in income from merchandising
operations due to the previously mentioned reclassification of certain sales
compensation expenses from operating and maintenance expenses. In addition,
miscellaneous income for the three-month period decreased $140,000 as
compared to the same period last year due to lower interest income on
declining balances of deferred gas costs. For the twelve-month period, other
income increased $3,524,000 primarily due to the sale of PSNC's propane
subsidiary assets and exploration and development assets. As a result of
these sales, PSNC recognized after-tax earnings of approximately $1,650,000.
Other income during the twelve-month period was also impacted by an increase
in income from merchandising operations and an increase in miscellaneous
income. Income from merchandising operations rose $858,000 in response to
price increases in merchandising activities. Miscellaneous income increased
$510,000 due mainly to revenues recorded from capacity release transactions
under the terms of an NCUC order dated July 22, 1994, which adopted
accounting procedures for these transactions.
Interest deductions for the three and twelve months ended December 31,
1994 decreased 9% and 7%, respectively. These decreases are due to lower
interest expense on declining balances in long-term debt outstanding, and to
the transfer of additional interest expense to construction work in progress
related to the construction of the Cardinal Pipeline project.
The average number of common shares outstanding reflects an increase of
14% and 10%, respectively, for the three- and twelve-month periods as
compared to the same periods last year. These increases are primarily due to
the May 1994 sale of 1,725,000 new shares of $1 par common stock discussed
elsewhere in this report.
Changes in Financial Condition
- ------------------------------
The capital expansion program, through the construction of lines,
services, systems, facilities and the purchase of equipment, is designed to
help PSNC meet the growing demand for its product. PSNC's fiscal 1995
construction budget is approximately $54,000,000, compared to actual
construction expenditures for fiscal 1994 of $45,469,000. The construction
program is regularly reviewed by management and is dependent upon PSNC's
continuing ability to generate adequate funds internally and to sell new
issues of debt and equity securities on acceptable terms. Construction
expenditures during the three and twelve months ended December 31, 1994 were
$15,322,000 and $53,079,000, respectively, as compared to $7,712,000 and
$40,573,000 for the same periods a year ago. These increases are mainly due
to construction expenditures related to the Cardinal Pipeline project.
During the three and twelve months ended December 31, 1994, construction
expenditures related to the project were $6,979,000 and $16,367,000,
respectively. See "Rate Matters" for further discussion.
PSNC generally finances its operations with internally generated funds,
supplemented with bank lines of credit to satisfy seasonal requirements.
PSNC also borrows under its bank lines of credit to finance portions of its
construction expenditures pending refinancing through the issuance of equity
<PAGE> 10
MANAGEMENT'S DISCUSSION (Continued)
or long-term debt at a later date depending upon prevailing market
conditions. PSNC has committed lines of credit with nine commercial banks
which vary monthly depending upon seasonal requirements. For the twelve-
month period beginning April 1, 1994, lines of credit with these banks range
from a minimum of $20,000,000 to a winter-period maximum of $45,000,000.
PSNC also has uncommitted annual lines of credit with four banks totaling
$26,000,000. Lines of credit are evaluated periodically by management and
renegotiated to accommodate anticipated short-term financing needs.
Management believes these lines are currently adequate to finance a portion
of construction expenditures, stored gas inventories and other corporate
needs.
PSNC sold an additional 1,725,000 new shares of $1 par common stock
through an underwritten public offering during May 1994. The proceeds, net
of expenses, were $23,406,000. These proceeds were used to repay all
outstanding short-term indebtedness, to redeem the outstanding $3,098,000 of
First Mortgage Bonds, 9 7/8% Series H, due 1995, and to help finance a
portion of fiscal 1994's construction expenditures.
The decrease in non-utility property is due to the previously mentioned
sale of PSNC's propane subsidiary assets and exploration and development
assets.
At December 31, 1994, restricted cash and temporary investments were
$1,422,000, a decrease from $12,731,000 at September 30, 1994. This decrease
was due to a deposit of $11,531,000 into the expansion fund in the Office of
the State Treasurer. This fund was created by an order of the NCUC, dated
June 3, 1993, for the purpose of constructing natural gas lines into unserved
areas of PSNC's service territory that otherwise would not be economically
feasible to serve. During January 1995, PSNC received supplier refunds of
approximately $1,162,000, which will be held for deposit into the expansion
fund at a later date.
Net deferred gas costs fluctuate in response to the operation of PSNC's
Rider D rate mechanism. This mechanism allows PSNC to recover margin losses
on negotiated sales to large commercial and industrial customers with
alternate fuel capability. It also allows PSNC to pass through to customers
all prudently incurred gas costs. On a monthly basis, any difference in
amounts paid and collected for these costs is recorded for subsequent refund
to or collection from PSNC's customers. Deferred gas costs at December 31,
1994 decreased $11,776,000 as compared to the same period last year. This
decrease primarily reflects overcollections for commodity gas costs. PSNC
will credit customers' bills in February 1995 to refund a portion of these
overcollections, and has reduced its rates prospectively in response to
recent declines in the price of natural gas.
Deferred charges and other assets increased $3,899,000 as compared to
December 31, 1993. This increase was primarily due to the recording of a
$3,705,000 regulatory asset related to the investigation and remediation of
former MGP sites (see Note 8 to the financial statements in the 1994 Annual
Report). Also contributing to the increase was the recording of a $376,000
transition obligation associated with the implementation of SFAS No. 112,
"Employers' Accounting for Postemployment Benefits," effective October 1,
1994.
Other current liabilities increased $5,102,000 as compared to December
31, 1993. This increase was due primarily to the accrual of additional MGP
investigation and remediation costs of $2,955,000 (see Note 8 to the
financial statements in the 1994 Annual Report). Also contributing to the
increase were additional costs of $1,115,000 for postretirement benefits, the
previously discussed charge of $376,000 for postemployment benefits, and the
accrual of the final contractor payment of $820,000 for the Cardinal Pipeline
project.
<PAGE> 11
MANAGEMENT'S DISCUSSION (Continued)
Rate Matters
- ------------
In March 1994, PSNC and a subsidiary of Piedmont Natural Gas Company,
Inc. (Piedmont) formed Cardinal Pipeline Company, LLC, to construct and
operate a 24-inch natural gas pipeline. The pipeline was placed into service
on December 31, 1994 and extends 37.5 miles from a connection with
Transcontinental Gas Pipe Line Corporation in Rockingham County, North
Carolina, to Alamance County, North Carolina, where it connects with an
existing pipeline of PSNC and an existing pipeline of Piedmont. Testimony
and exhibits were filed with the NCUC on January 11, 1995, for an increase in
annual revenues of approximately $3,000,000 to recover costs associated with
PSNC's investment. A hearing was held on January 25, 1995, and new rates
became effective the following day. As a result, a typical residential
customer's bill will increase approximately $.50 per month.
<PAGE> 12
<TABLE>
EXHIBIT 11
PUBLIC SERVICE COMPANY OF NORTH CAROLINA, INCORPORATED
COMPUTATION OF EARNINGS PER SHARE
(In thousands, except per share amounts)
<CAPTION>
Three Months Ended Twelve Months Ended
December 31 December 31
------------------- -------------------
1994 1993 1994 1993
-------- -------- -------- --------
<S> <C> <C> <C> <C>
Net income $ 6,663 $ 5,016 $ 21,623 $ 14,765
-------- -------- -------- --------
Average common shares outstanding 18,292 16,079 17,566 15,928
Additional dilutive effect of
outstanding options (as determined
by the application of the treasury
stock method) 50 79 64 83
-------- -------- -------- --------
Average common shares outstanding
as adjusted 18,342 16,158 17,630 16,011
-------- -------- -------- --------
Earnings per share, as adjusted $ .36 $ .31 $1.23 $ .92
===== ===== ===== =====
<F01>
This calculation is submitted in accordance with Regulation S-K item 601(b)(11)
although not required by footnote 2 to paragraph 14 of APB Opinion No. 15 because it results
in dilution of less than 3%.
</TABLE>
<PAGE> 13
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
- --------------------------
None
Item 2. Changes in Securities
- ------------------------------
None
Item 3. Defaults Upon Senior Securities
- ----------------------------------------
None
Item 4. Submission of Matters to a Vote of Security Holders
- ------------------------------------------------------------
None
Item 5. Other Information
- --------------------------
On December 30, 1994, the Board of Directors of Tar Heel Energy Corporation
approved a change in the subsidiary's name to Clean Energy Enterprises,
Inc. The change was made to reflect its realignment from exploration and
development activities to participation in the natural gas vehicle market,
and its assumption of responsibility for all PSNC vehicle fleet
maintenance.
Item 6. Exhibits and Reports on Form 8-K
- -----------------------------------------
(a) Part I Exhibits:
11 - Statement re computation of per share earnings.
27 - Financial Data Schedule UT.
(b) Reports on Form 8-K:
There were no reports on Form 8-K filed during the three months
ended December 31, 1994.
<PAGE> 14
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
PUBLIC SERVICE COMPANY
OF NORTH CAROLINA, INCORPORATED
---------------------------------------
(Registrant)
Date 2-08-95 Charles E. Zeigler, Jr.
------- ---------------------------------------
Charles E. Zeigler, Jr.
Chairman, President and
Chief Executive Officer
Date 2-08-95 Robert D. Voigt
------- ---------------------------------------
Robert D. Voigt
Senior Vice President - Finance
and Treasurer
<TABLE> <S> <C>
<ARTICLE> UT
<MULTIPLIER> 1000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> SEP-30-1995
<PERIOD-START> OCT-01-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> 376773
<OTHER-PROPERTY-AND-INVEST> 889
<TOTAL-CURRENT-ASSETS> 58225
<TOTAL-DEFERRED-CHARGES> 6225
<OTHER-ASSETS> 0
<TOTAL-ASSETS> 442112
<COMMON> 18301
<CAPITAL-SURPLUS-PAID-IN> 101556
<RETAINED-EARNINGS> 45027
<TOTAL-COMMON-STOCKHOLDERS-EQ> 164884
0
0
<LONG-TERM-DEBT-NET> 109380
<SHORT-TERM-NOTES> 31000
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 9540
0
<CAPITAL-LEASE-OBLIGATIONS> 0
<LEASES-CURRENT> 0
<OTHER-ITEMS-CAPITAL-AND-LIAB> 127308
<TOT-CAPITALIZATION-AND-LIAB> 442112
<GROSS-OPERATING-REVENUE> 33099<F1>
<INCOME-TAX-EXPENSE> 4229
<OTHER-OPERATING-EXPENSES> 19032
<TOTAL-OPERATING-EXPENSES> 23261
<OPERATING-INCOME-LOSS> 9838
<OTHER-INCOME-NET> 12
<INCOME-BEFORE-INTEREST-EXPEN> 9850
<TOTAL-INTEREST-EXPENSE> 3187
<NET-INCOME> 6663
0
<EARNINGS-AVAILABLE-FOR-COMM> 6663
<COMMON-STOCK-DIVIDENDS> 3752
<TOTAL-INTEREST-ON-BONDS> 2786<F2>
<CASH-FLOW-OPERATIONS> 12285
<EPS-PRIMARY> .36
<EPS-DILUTED> .36
<FN>
<F1>This item represents gross margin, or operating revenues less cost of gas.
<F2>This item represents interest on both bonds and debentures.
</FN>
</TABLE>
