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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
July 21, 2000 July 21, 2000
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(Date of earliest
event reported)
PUGET SOUND ENERGY, INC.
(Exact name of registrant as specified in its charter)
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Commission File Number 1-4393
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Washington 91-0374630
(State or other jurisdiction of (IRS Employer
incorporation or organization) Identification No.)
411 - 108th Avenue N.E., Bellevue, Washington 98004-5515
(Address of principal executive offices)
(425) 454-6363
(Registrant's telephone number, including area code)
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ITEM 5. Other Events
On July 21, 2000, the Company issued the following press release.
Puget Sound Energy reports second-quarter results
Bellevue, Wash. (July 21, 2000) -- Puget Sound Energy (NYSE: PSD) today
reported income for common stock for the second quarter of 2000 of $25.1
million, or 29 cents per share. Earnings for the 1999 second quarter were 23
cents per share, excluding the 10 cents per share positive impact of the
unusual items described in Factors in Second Quarter Results, below (total
reported earnings for the second quarter of 1999 were 33 cents per share).
Income for common stock for the twelve months ended June 30, 2000 was
$180.6 million, or $2.13 per share, up from income of $172.6 million, or $2.04
per share for the same period a year ago.
"The strong second-quarter results reflect improved energy margins,
coupled with our continued emphasis on controlling costs while serving
additional utility customers at high levels of service," said President and
Chief Executive Officer William S. Weaver. "In a period of extremely volatile
energy markets, we benefited from our emphasis on keeping energy resources and
loads in relative balance."
FACTORS IN SECOND-QUARTER RESULTS
Operating revenues for the quarter were $539 million, up $103 million from
the same period in 1999. Energy margins for the quarter were up, reflecting
continued growth in the number of customers served and increased wholesale sales
to other utilities and others, offset in part by weather that was warmer than a
year ago.
Second-quarter utility operations and maintenance expenses of $58.4 million
held essentially flat compared to a year ago.
Per-share earnings for the quarter and 12-month periods ended June 30, 1999
were positively impacted by approximately 10 cents per share, the result of a
gain from the sale of the company's investment in common stock of Cabot Oil &
Gas Corp., offset in part by costs associated with a wholly-owned subsidiary's
exiting certain product lines.
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FACTORS IN 12-MONTH RESULTS
Operating revenues for the 12-month period were $2.2 billion, up 10
percent compared to the same period in 1999. Twelve-month results were affected
by the same factors as quarterly results. As in the quarter, utility operations
and maintenance expenses for the 12 months held essentially flat compared to
1999.
OTHER MATTERS
Puget Sound Energy yesterday (July 20) signed an agreement with PPL
Global, LLC (formerly PP&L Global, Inc.) terminating the Asset Purchase
Agreement dated as of November 1, 1998 under which PPL Global, LLC had proposed
purchasing Puget Sound Energy's 735-megawatt interest in the four-unit Colstrip
power plants and associated transmission capacity across Montana.
As a result, Puget Sound Energy retains its 50 percent interest in
Colstrip Units 1 & 2 and 25 percent of Units 3 & 4.
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<TABLE>
PUGET SOUND ENERGY -- SUMMARY INCOME STATEMENT
(In thousands, except per-share amounts)
<CAPTION>
3 months ended 6/30 (1) 12 months ended 6/30 (1)
-------------------------------- ----------------------------
2000 1999 2000 1999
-------------------------------- ----------------------------
<S> <C> <C> <C> <C>
Operating revenues
Electric $ 437,491 $ 336,895 $ 1,696,150 $ 1,557,409
Gas 98,017 94,173 523,958 456,994
Other 3,293 4,996 22,411 26,131
------------- ------------- ------------ ------------
Total operating revenues 538,801 436,064 2,242,519 2,040,534
------------- ------------- ------------ ------------
Operating expenses
Purchased electricity 238,105 176,116 853,198 806,765
Purchased gas 46,184 38,822 257,319 192,358
Electric generation fuel 29,904 11,178 89,037 56,871
Residential exchange (9,073) (8,631) (39,957) (48,307)
Utility operations & maintenance 58,395 58,363 234,718 234,048
Other operations & maintenance 4,045 9,624 17,628 35,855
Depreciation & amortization 49,316 42,899 185,390 169,924
Conservation amortization 1,380 1,934 8,185 6,854
Other taxes 43,914 41,982 189,950 170,523
Federal income taxes 13,512 11,157 112,565 114,043
------------- ------------- ------------ ------------
Total operating expenses 475,682 383,444 1,908,033 1,738,934
------------- ------------- ------------ ------------
Operating income 63,119 52,620 334,486 301,600
Other income 6,878 15,379 18,061 26,647
------------- ------------- ------------ ------------
Income before interest charges 69,997 67,999 352,547 328,247
Interest charges 42,628 36,934 162,239 143,359
------------- ------------- ------------ ------------
Net Income 27,369 31,065 190,308 184,888
Less pref. stock dividend accruals 2,229 3,013 9,708 12,333
------------- ------------- ------------ ------------
Income for common stock $ 25,140 $ 28,052 $ 180,600 $ 172,555
Common shares outstanding 85,295 84,561 84,918 84,561
------------- ------------- ------------ ------------
Earnings per common share $ 0.29 $ 0.33 $ 2.13 $ 2.04
<FN>
(1) Partial-year results may not accurately predict full-year performance,
as earnings are significantly affected by weather.
</FN>
</TABLE>
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<TABLE>
PUGET SOUND ENERGY -- UTILITY OPERATING DATA
<CAPTION>
3 months ended 6/30 12 months ended 6/30
----------------------------- ---------------------------------
2000 1999 2000 1999
----------------------------- ---------------------------------
<S> <C> <C> <C> <C>
Energy sales revenues
($ in thousands)
Electricity
Residential $ 138,225 $ 141,579 $ 607,116 $ 593,873
Commercial 106,645 109,571 477,913 462,138
Industrial 45,710 42,065 181,955 185,925
Other (1) 11,275 (18,579) 24,045 (13,364)
-------------- --------------- ---------------- ----------------
Subtotal, retail sales 301,855 274,636 1,291,029 1,228,572
Sales to other utilities 135,636 62,259 405,121 328,837
-------------- --------------- ---------------- ----------------
Total electricity sales 437,491 336,895 1,696,150 1,557,409
Gas
Residential 54,833 55,500 315,383 280,222
Commercial 30,592 27,004 153,444 125,497
Industrial 6,885 5,609 31,599 25,013
Transportation 2,838 3,258 12,280 13,884
Other 2,869 2,802 11,252 12,378
-------------- --------------- ---------------- ----------------
Total gas sales 98,017 94,173 523,958 456,994
-------------- --------------- ---------------- ----------------
Total energy sales revenues $ 535,508 $ 431,068 $ 2,220,108 $ 2,014,403
Energy sales volumes
Electricity (in mWh)
Residential 2,217,910 2,332,258 9,714,499 9,702,093
Commercial 1,744,088 1,790,489 7,521,874 7,363,707
Industrial 942,744 993,013 3,960,782 4,103,190
Other (1) (35,278) (190,180) 320,824 112,408
-------------- --------------- ---------------- ----------------
Subtotal, retail sales 4,869,464 4,925,580 21,517,979 21,281,398
Sales to other utilities 2,820,296 2,691,380 11,549,139 11,965,647
-------------- --------------- ---------------- ----------------
Total mWh 7,689,760 7,616,960 33,067,118 33,247,045
Gas (in 000's of therms)
Residential 80,125 95,393 496,785 497,635
Commercial 59,680 61,306 308,799 278,340
Industrial 14,782 14,015 71,040 59,009
Transportation 49,475 57,446 218,237 242,040
-------------- --------------- ---------------- ----------------
Total gas volumes 204,062 228,160 1,094,861 1,077,024
Customers served (2)
Electricity
Total electricity 915,084 898,992 907,873 891,280
customers
Gas
Total gas customers 580,259 555,371 569,626 544,344
Weather
Actual heating degree days 910 1,105 4,796 4,880
Normal heating degree days 925 925 4,909 4,909
<FN>
(1) Includes change in unbilled revenues and Conservation Trust collection.
(2) Quarterly data represents average served during June; 12-month data
represents average for the year.
</FN>
</TABLE>
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PUGET SOUND ENERGY, INC.
Date: July 21, 2000
James W. Eldredge
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James W. Eldredge
Corporate Secretary & Controller
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