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
SOUTHERN INDIANA GAS AND ELECTRIC 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:
1. Southern Indiana Gas and Electric Company ("SIGECO") is a
combination gas and electric utility and wholly-owned subsidiary of
SIGCORP, Inc. ("SIGCORP"), an investor owned holding company. SIGCORP
was formed in 1995 under the laws of the State of Indiana by SIGECO. On
January 1, 1996, SIGCORP became the parent of SIGECO, pursuant to a
corporate reorganization plan and also became the parent of nonutility
subsidiaries formerly owned by SIGECO. SIGECO serves customers in 10
southwestern Indiana counties. Nonutility business activities are
conducted under separate subsidiaries.
SIGECO is an operating public utility incorporated on June 10, 1912
under the laws of the State of Indiana. The Company is located in
Evansville, Indiana and is engaged in the generation, transmission,
distribution and sale of electricity and the purchase, transportation,
distribution and sale of natural gas in southwestern Indiana. SIGECO
owns approximately 33% of the outstanding common stock of Community
Natural Gas Company, Inc. ("Community"), an Indiana corporation, which
is a small Indiana gas distribution company with offices in Mt. Carmel,
Illinois. Community conducts its business in southwestern Indiana.
2. The principal generating facilities of SIGECO include the
Culley Station with 406,000 kW of capacity and Warrick Unit No. 4 with
135,000 kW of capacity, both located in Warrick County near Yankeetown,
Indiana; and the A. B. Brown Station with 500,000 kW of capacity,
located in Posey County about eight miles east of Mt. Vernon, Indiana.
These facilities include six coal-fired generating units and have a
combined generating capacity of 1,041,000 kW.
SIGECO's Broadway Gas Turbine Units, with a capacity of 115,000 kW,
are located in Evansville, Vanderburgh County, Indiana. This generating
facility is equipped to burn oil and/or natural gas. These units
generally are used only for reserve, peaking or emergency purposes due
to the higher unit cost per kilowatt hour of generation when using oil
or gas as fuel.
SIGECO's Brown Gas Turbine I, with capacity of 80,000 kW, is
located at the A. B. Brown Station. The unit is fueled by natural gas,
although fuel oil can also be used if gas is unavailable. The main
function of the gas turbine is to generate adequate power during times
of peak demand. However, it is also used to assist in maintaining
voltage support on the west end of the system, and can be used to "black
start" the Brown plant if a catastrophe should cause a partial or total
system blackout.
SIGECO also owns two gas fired turbine generating units with a
capacity of 20,000 kW, which are used for peaking and emergency purposes
only. These units are known as the Northeast Gas Turbine Units and are
located northeast of Evansville, in Vanderburgh County, Indiana.
SIGECO's transmission system consists of 797 circuit miles of
138,000 and 69,000 volt lines. The transmission system also includes 26
substations with an installed capacity of 3,860,653 kilovolt amperes.
The electric distribution system includes 3,176 pole miles of lower
voltage overhead lines and 194 trench miles of conduit containing 1,110
miles of underground distribution cables. The distribution system also
includes 87 distribution substations with an installed capacity of
1,602,297 kilovolt amperes and 46,140 distribution transformers with an
installed capacity of 1,844,458 kilovolt amperes.
SIGECO owns and operates three underground gas storage fields with
an estimated ready delivery from storage capability of 3.8 billion cubic
feet of gas. The Oliver Field, in service since 1954, is located in
Posey County, Indiana, about 13 miles west of Evansville; the Midway
Field, in service since 1966, is located in Spencer County, Indiana,
about 20 miles east of Evansville near Richland, Indiana; and, the
Monroe City Field, in service since 1958, is located 10 miles east of
Vincennes, Indiana.
SIGECO's gas transmission system includes 335 miles of transmission
mains, and the gas distribution system includes 2,348 miles of
distribution mains.
The only utility property SIGECO owns outside of Indiana is
approximately eight miles of 138,000 volt electric transmission line
which is located in Kentucky and which interconnects with Louisville Gas
and Electric Company's transmission system at Cloverport, Kentucky.
Community is a small gas utility that has several noncontiguous
service territories in southwestern Indiana. Much of its service
territory is adjacent to or near the gas service territory of SIGECO.
Community has 6,546 natural gas customers consisting of residential,
commercial, industrial and public authority classes of service. Its gas
distribution system includes approximately 458 miles of distribution
mains. Community has no underground gas storage facilities.
3. For the year ended December 31, 1997, SIGECO's retail and
wholesale electric sales totaled 6,284,528,000 kWh, while its retail and
transported gas sales totaled 29,369,523 Dth. SIGECO has no electric or
gas retail sales outside the State of Indiana. For this same period,
SIGECO had wholesale electric sales of 905,902,000 kWh to utilities and
power marketers located outside the state of Indiana. SIGECO had no
wholesale natural gas sales outside of Indiana, or at the state line.
During 1997, SIGECO purchased 897,802,000 kWh of power from utilities
and power marketers located outside the state of Indiana. For the year
ended December 31, 1997, SIGECO's retail natural gas sales totaled
14,285,464 Dth and 14,544,059 Dth of natural gas was transported for end
users for a total natural gas sold and transported of 29,369,523 Dth,
all of which was distributed within the State of Indiana. For this same
period, SIGECO had no gas wholesale sales. During 1997, SIGECO
purchased for its system supply 16,262,033 Dth of natural gas, 100% of
its requirements, from 40 natural gas suppliers.
For the year ended December 31, 1997, Community's retail gas sales
totaled 948,411 Dth, and no natural gas was transported for end users
resulting in a total gas sold and transported of 948,411 Dth, all of
which was distributed within the State of Indiana. For this same
period, Community had no wholesale natural gas sales. During 1997,
Community received for its system supply 964,059 Dth of natural gas from
its four traditional pipeline suppliers, Texas Gas Transmission
Corporation, Texas Eastern Corporation, ANR Pipeline and Midwestern Gas.
The gas purchased for its system was purchased through a broker.
4. SIGECO does not hold any interest in an exempt wholesale
generator or foreign utility company.
Exhibit A: Consolidated statement of income and surplus of SIGECO
for the year ended December 31, 1997, together with a consolidating
balance sheet of SIGECO as of the close of such calendar year.
Exhibit B: Financial data schedule.
The above named Company has caused this statement to be duly
executed on its behalf by its authorized officer on this 27th day of
February, 1998.
SOUTHERN INDIANA GAS AND ELECTRIC COMPANY
By
T. L. Burke
Treasurer
ATTEST:
L. K. Tiemann
Assistant Secretary
The name, title and address of the officer to whom notice and
correspondence concerning this statement should be addressed is:
T. L. Burke
Treasurer
Southern Indiana Gas and Electric Company
20 N.W. Fourth Street
Evansville, Indiana 47741-0001
Exhibit A
Page 1 of 3
SOUTHERN INDIANA GAS AND ELECTRIC COMPANY
Consolidating Trial Balance
For Twelve Months Ending December 31, 1997
SIGECO
ASSETS
Utility Plant at cost:
Electric 1,091,349
Gas 141,646
Accumulated Depreciatio (557,631)
Cwip 32,241
Investment in Subsidiaries
Investments in leveraged leases
Investments in partnerships
Funds held by Trustee 4,102
Nonutility property & o 1,552
Cash and cash equivalen 1,113
Cash - Restricted
Temporary investments
Receivables, net 54,346
Notes receivable from a 1,502
Fuel (coal and oil) 8,921
Materials and supplies 14,014
Allowance Inventory 2,617
Gas in underground stor 9,045
Other current assets 9,833
Unamortized def. return on ABB#2
Unamortized prem. on re 5,184
Post-retire. ben. oblig 4,294
Accum Deferred Income Taxes
Def Tax Asset-FASB109
Other deferred charges 40,335
864,463
Exhibit A
Page 2 of 3
SOUTHERN INDIANA GAS AND ELECTRIC COMPANY
Consolidating Trial Balance
For Twelve Months Ending December 31, 1997
SIGECO
SHAREHOLDERS' EQUITY AN
Common Stock (78,258)
Additional paid-in capital
Retained Earnings (228,569)
Treasury stock
Cumulative preferred st (18,590)
Cumulative special pref (924)
Long-term debt less cur (238,707)
Long-term Partnership Obligations
Current por. of adj. ra (31,500)
Notes payable (31,643)
Maturing long-term debt (12,695)
Maturing Partnership Obligations
Accounts payable (27,066)
Notes payable to Assoc. (20,886)
Dividends payable (123)
Accrued taxes (5,925)
Accrued interest (4,635)
Refunds to customers (1,155)
Other accrued liabiliti (16,018)
Accumulated deferred in (114,493)
Accumulated deferred IT (20,249)
Regulatory liability - FAS 109
Post-retire. ben. oblig (11,271)
Other (1,755)
(864,463)
Exhibit A
Page 3 of 3
SOUTHERN INDIANA GAS AND ELECTRIC COMPANY
Consolidating Trial Balance
For Twelve Months Ending December 31, 1997
SIGECO
INCOME STATEMENT
Operating Revenues
Electric (272,545)
Gas (85,561)
Energy services
Other
Fuel for electric gene 62,630
Purchased electric ene 13,985
Cost of gas sold 54,060
Cost of energy services revenues
Cost of other revenues
Other operation expens 55,611
Maintenance 29,086
Depreciation and amort 40,191
Federal and state inc. 27,259
Property and other tax 12,829
AFUDC (other) (581)
Interest income (541)
Other, net (1,448)
Interest expense on lo 18,020
Amort. of prem., disc. 671
Other interest expense 1,769
AFUDC (borrowed) (797)
Preferred dividend requ 1,097
NET INCOME (44,266)
EXHIBIT B
Item
No. Caption Heading
(in thousands)
1. Total Assets $ 864,463
2. Total Operating Revenues $ 358,107
3. Net Income $ 44,266
