SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1995
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from _______________ to _______________
Commission file number 0-17389
A. Full title of the plan and the address of the plan, if different
from that of the issuer named below:
TEJAS GAS CORPORATION THRIFT PLAN
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
TEJAS GAS CORPORATION
1301 McKinney
Suite 700
Houston, Texas 77010
<PAGE>
TABLE OF CONTENTS
- --------------------------------------------------------------------------------
PAGE
(a) FINANCIAL STATEMENTS: ----
Independent Auditors' Report ..................................... 1
Statements of Net Assets Available for
Benefits, December 31, 1995 and 1994 ......................... 2
Statements of Changes in Net Assets Available
for Benefits for the Years Ended December
31, 1995 and 1994 ............................................ 3
Notes to Financial Statements for the Years
Ended December 31, 1995 and 1994 ............................. 4
(b) SUPPLEMENTAL SCHEDULES:
Item 27a - Schedule of Assets Held for Investment
Purposes As of December 31, 1995 ............................. 12
Item 27d - Schedule of Reportable Transactions for
the Year Ended December 31, 1995 ............................. 13
(c) Signatures ........................................................... 14
(d) EXHIBIT - Independent Auditors' Consent .............................. 15
INDEPENDENT AUDITORS' REPORT
Tejas Gas Corporation Thrift Plan:
We have audited the accompanying statements of net assets available for benefits
of the Tejas Gas Corporation Thrift Plan (the "Plan") as of December 31, 1995
and 1994, and the related statements of changes in net assets available for
benefits for the years then ended. These financial statements are the
responsibility of the Plan's management. Our responsibility is to express an
opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material
respects, the net assets available for benefits of the Plan as of December 31,
1995 and 1994, and the changes in net assets available for benefits for the
years then ended in conformity with generally accepted accounting principles.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules of (1) assets
held for investment purposes as of December 31, 1995 and (2) reportable
transactions for the year ended December 31, 1995 are presented for the purpose
of additional analysis and are not a required part of the basic financial
statements, but are supplementary information required by the Department of
Labor's Rules and Regulations for Reporting and Disclosure under the Employee
Retirement Income Security Act of 1974. The schedules are the responsibility of
the Plan's management. Such schedules have been subjected to the auditing
procedures applied in our audit of the basic 1995 financial statements and, in
our opinion, are fairly stated in all material respects when considered in
relation to the basic financial statements taken as a whole.
DELOITTE & TOUCHE LLP
Houston, Texas
June 25, 1996
<PAGE>
TEJAS GAS CORPORATION THRIFT PLAN
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS,
DECEMBER 31, 1995 AND 1994
- --------------------------------------------------------------------------------
ASSETS 1995 1994
- ------ ----------- -----------
INVESTMENTS - At fair value:
Stock of Tejas Gas Corporation:
Common stock ................................. $ 7,682,156 $ 5,911,120
Preferred stock .............................. 791,936 848,785
Mutual funds .................................... 3,120,622 1,676,380
Cash equivalents ................................ 1,556,983 1,274,265
Loans to participants ........................... 682,943 617,445
----------- -----------
Total .............................. 13,834,640 10,327,995
----------- -----------
RECEIVABLES:
Dividends and interest .......................... 7,760 6,448
From broker ..................................... 162,228 46,165
Company contribution ............................ 473,966 435,988
Due from other funds ............................ 68,564 171,270
----------- -----------
Total .............................. 712,518 659,871
----------- -----------
TOTAL ASSETS ....................................... $14,547,158 $10,987,866
----------- -----------
LIABILITIES AND NET ASSETS AVAILABLE FOR BENEFITS
LIABILITIES:
Due to other funds .............................. $ 68,564 $ 171,270
Payable to brokers .............................. 234,612
----------- -----------
NET ASSETS AVAILABLE FOR BENEFITS .................. 14,243,982 10,816,596
----------- -----------
TOTAL LIABILITIES AND NET ASSETS AVAILABLE
FOR BENEFITS .................................... $14,547,158 $10,987,866
----------- -----------
See notes to financial statements.
-2-
TEJAS GAS CORPORATION THRIFT PLAN
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994
- -------------------------------------------------------------------------------
1995 1994
------------ ------------
NET ASSETS AVAILABLE FOR BENEFITS,
BEGINNING OF YEAR ........................... $ 10,816,596 $ 9,808,297
INVESTMENT INCOME:
Interest and dividends ...................... 159,686 114,185
Interest on loans to participants ........... 48,384 33,829
Net appreciation (depreciation) in fair value
of investments ............................ 1,927,642 (414,487)
Total .......................... 2,135,712 (266,473)
CONTRIBUTIONS:
Employees ................................... 1,076,992 1,064,310
Company ..................................... 473,966 435,988
Total .......................... 1,550,958 1,500,298
TRANSFER FROM LEDCO, INC. PROFIT SHARING PLAN .. 103,076
WITHDRAWALS .................................... (362,360) (225,526)
NET ASSETS AVAILABLE FOR BENEFITS, END OF YEAR . $ 14,243,982 $ 10,816,596
See notes to financial statements.
-3-
TEJAS GAS CORPORATION THRIFT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994
- --------------------------------------------------------------------------------
1. ACCOUNTING POLICIES
BASIS OF ACCOUNTING - The financial statements of the Tejas Gas
Corporation (the "Company") Thrift Plan (the "Plan") are prepared
under the accrual basis of accounting.
INVESTMENT VALUATION AND INCOME RECOGNITION - The Plan's investments
are stated at fair value. Shares of publicly traded Frank Russell
Trust Company investment funds are valued at quoted market prices
which represent the net asset value of shares held by the Plan at
year-end. The Company's Common Stock and depositary shares, each
share representing a one-tenth interest in a share of its 9.96%
cumulative preferred stock ("Preferred Stock"), are valued at their
quoted market prices. Notes receivable from participants are valued
at their cost which approximates their fair value.
Purchases and sales of securities are recorded on a trade date
basis. Interest income is recorded on the accrual basis. Dividends
are recorded on the ex-dividend date.
PAYMENT OF WITHDRAWALS - Withdrawals are recorded when paid.
The Company's Board of Directors has appointed a committee to
administer the Plan. The assets of the Plan are held in trust by
Frank Russell Trust Company (the "Trustee"). The Company has hired a
recordkeeper to maintain the individual participant account records.
The investment management fees and recordkeeping fees for 1995 and
1994 were paid by the Company.
2. DESCRIPTION OF THE PLAN
The description of the Plan is intended for the purpose of providing
information of a general nature only. Participants should refer to
the Plan agreement, as amended, for a complete description of the
Plan's provisions.
FUNDING - Contributions to the Plan are made by participating
employees (the "Participants") and by the Company. Each Participant
may contribute to the Plan annually an amount equal to any whole
percentage up to and including 15% of his or her base compensation.
The Company makes matching contributions to the Plan equal to the
Participant's contribution, but not to exceed 3% of the
Participant's annual base compensation (the "Company Contribution").
Participants make their contributions to the Plan through salary
deferral.
INVESTMENT PROGRAM - The Plan consists of six investment funds as
follows:
FUND A: A Frank Russell Trust Company investment fund invested
primarily in bonds, notes, debentures, mortgages, preferred
stocks, certificates of indebtedness, certificates of deposit
and Treasury bills, the maturity of which shall not generally
exceed three years.
-4-
FUND B: A Frank Russell Trust Company investment fund invested
in common and convertible preferred stock, bonds and other
forms of equity investments, including collective investment
funds composed primarily of equity securities.
FUND C: A Frank Russell Trust Company investment fund invested
in bonds, notes, debentures, mortgages, certificates of
deposit, Treasury bills and any obligation with no restriction
as to maturity, including collective investment funds composed
primarily of fixed-income securities.
FUND D: Invested solely in depositary shares representing the
Company's Preferred Stock and temporary short-term securities.
FUND E: A Frank Russell Trust Company investment fund invested
in various collective investment funds composed primarily of
securities or other financial instruments.
FUND F: Invested solely in common stock of the Company and
temporary short-term securities.
Participants have the right to direct the Trustee to invest their
contributions in any manner. All Company Contributions are invested
in Fund F. Participants may redirect their Company Contribution to
other investment funds.
PARTICIPATION - Any employee of the Company is eligible to
participate in the Plan on the first day of the next month following
completion of one hour of service with the Company.
WITHDRAWALS AND FORFEITURES - Participants or their designated
beneficiaries are entitled to withdraw the value of their
contribution account plus their entire Company Contribution account
in case of disability, retirement at or after the age of 65 or
death. In case of termination of service for other reasons,
Participants are entitled to the value of their contribution
accounts plus the vested portion of their Company Contribution
account. Vesting is determined by vested service years in accordance
with the following schedule:
COMPLETED YEARS VESTED
OF SERVICE PERCENTAGE
------------------ ----------
Less than one year 0
One year 20
Two years 40
Three years 60
Four years 80
Five years 100
Any portion of the value of Company Contributions not vested will be
forfeited upon termination of service. The amount forfeited by a
Participant is applied so as to reduce the Company's subsequent
contributions to the Plan. Forfeitures were $7,568 in 1995 and
$11,990 in 1994.
Participants may also withdraw from their accounts upon attaining
the age of 59 1/2. In addition, participants may make hardship
withdrawals from their contributions and fully vested Company
Contributions. After a hardship withdrawal, participant
contributions are suspended for one year.
-5-
LOANS TO PARTICIPANTS - Participants may borrow against their
contributions. Loans, which bear interest at rates ranging from 7.0%
to 9.5%, are limited to 50% of the Participants' vested account
balances up to a maximum of $50,000. Interest rates are equal to the
prime rate charged by First Interstate Bank of Texas, NA, on the
first day of the month in which the loan is made, plus one
percentage point. Loans may not exceed a five-year maturity, unless
funds are used to purchase a principal residence.
TERMINATION - Although it has not expressed any intent to do so, the
Company has the right under the Plan to discontinue its
contributions at any time and terminate the Plan subject to the
provisions of ERISA. In the event of Plan termination, participants
will become fully vested and entitled to the full distribution of
their accounts.
3. TAX STATUS
The Internal Revenue Service has determined and informed the Company
by a letter dated May 16, 1996, that the Plan and the related trust
are designed in accordance with the applicable sections of the
Internal Revenue Code ("IRC").
4. RELATED-PARTY TRANSACTIONS
The Trustee purchased 15,258 shares of the Company's common stock in
the open market at a cost of $722,327 in 1995; 12,867 shares were
purchased at a cost of $662,158 in 1994. The Trustee sold, in 1995,
on the Plan's behalf, 5,847 shares (cost: $136,266) of the Company's
common stock in the open market; 975 shares (cost: $21,313) were
sold in 1994. The proceeds from such sales amounted to $285,853 in
1995 and $46,165 in 1994. At December 31, 1995 and 1994, the Plan
held less than 1% and 2% of the Company's outstanding common stock,
respectively.
The Trustee purchased 5,040 depositary shares representing the
Company's Preferred Stock in the open market at a cost of $133,382
in 1995, 12,009 shares were purchased at a cost of $316,623 in 1994.
The Trustee sold, in 1995, on the Plan's behalf, 8,175 depositary
shares (cost: $224,827) representing the Company's Preferred Stock
in the open market, 920 depositary shares (cost: $25,727) were sold
in 1994. The proceeds from such sales amounted to $205,590 in 1995
and $24,483 in 1994.
5. TRANSFER OF ASSETS FROM ACQUIRED SUBSIDIARY
During February 1995, the Company, through one of its subsidiaries,
acquired a group of companies collectively referred to as the LEDCO
Companies. LEDCO, Inc. ("LEDCO"), the principal operating entity of
the LEDCO Companies, was the sponsor of the LEDCO, Inc. Profit
Sharing Plan, a qualified profit sharing plan. This plan was merged
into the Plan effective June 30, 1995, and the transfer of assets in
the amount of $103,076 was completed during December 1995.
-6-
6. RECONCILIATION OF FINANCIAL STATEMENTS TO FORM 5500
The following is a reconciliation of net assets available for
benefits per the financial statements to Form 5500:
<TABLE>
<CAPTION>
December 31,
----------------------------
1995 1994
------------ ------------
<S> <C> <C>
Net assets available for benefits per the financial statements $ 14,243,982 $ 10,816,596
Amounts allocated to withdrawing participants ................ (339,296) (141,876)
Net assets available for benefits per the Form 5500 .......... $ 13,904,686 $ 10,674,720
</TABLE>
The following is a reconciliation of benefits paid to participants
per the financial statements to the Form 5500:
<TABLE>
<CAPTION>
Year Ended
December 31, 1995
<S> <C>
Withdrawals paid to participants per the financial statements ........... $ 362,360
Add: Amounts allocated to withdrawing participants at December 31, 1995 339,296
Less: Amounts allocated to withdrawing participants at December 31, 1994 (141,876)
Benefits paid to participants per the Form 5500 ......................... $ 559,780
</TABLE>
Amounts allocated to withdrawing participants are recorded on the
Form 5500 for claims from terminated employees that have been
processed and approved prior to December 31 but not yet paid as of
that date.
-7-
7. NET ASSETS AVAILABLE FOR BENEFITS - BY FUND
December 31, 1995
<TABLE>
<CAPTION>
Investment funds
-----------------------------------------------------------------------------------------------
ASSETS A B C D E F Total
----------- ----------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C> <C>
INVESTMENTS
At fair value:
Stock of Tejas Gas
Corporation:
Preferred .................. -- -- -- $ 791,936 -- -- $ 791,936
Common ..................... -- -- -- -- -- $ 7,682,156 7,682,156
Mutual funds .................. -- $ 1,337,138 $ 528,567 -- $ 1,254,917 -- 3,120,622
Cash equivalents .............. $ 1,522,322 -- -- 8,665 -- 25,996 1,556,983
Loans to Participants ......... 682,943 -- -- -- -- -- 682,943
----------- ----------- ----------- ----------- ----------- ----------- -----------
Total ............ 2,205,265 1,337,138 528,567 800,601 1,254,917 7,708,152 13,834,640
----------- ----------- ----------- ----------- ----------- ----------- -----------
RECEIVABLES:
Dividends and interest ........ 7,495 3 7 161 3 91 7,760
Sale of stock ................. -- -- 162,228 -- -- -- 162,228
Company contribution .......... -- -- -- -- -- 473,966 473,966
Due from other funds .......... -- 8,083 6,817 19,939 -- 33,725 68,564
----------- ----------- ----------- ----------- ----------- ----------- -----------
Total ............ 7,495 8,086 169,052 20,100 3 507,782 712,518
----------- ----------- ----------- ----------- ----------- ----------- -----------
TOTAL ASSETS ..................... $ 2,212,760 $ 1,345,224 $ 697,619 $ 820,701 $ 1,254,920 $ 8,215,934 $14,547,158
=========== =========== =========== =========== =========== =========== ===========
LIABILITIES AND NET
ASSETS AVAILABLE
FOR BENEFITS
PAYABLE TO BROKERS ............... -- $ 204,164 -- -- $ 30,448 -- $ 234,612
DUE TO OTHER FUNDS ............... $ 63,719 -- -- -- 4,845 -- 68,564
NET ASSETS
AVAILABLE FOR
BENEFITS ...................... 2,149,041 1,141,060 $ 697,619 $ 820,701 1,219,627 $ 8,215,934 14,243,982
----------- ----------- ----------- ----------- ----------- ----------- -----------
TOTAL LIABILITIES
AND NET ASSETS
AVAILABLE FOR
BENEFITS ...................... $ 2,212,760 $ 1,345,224 $ 697,619 $ 820,701 $ 1,254,920 $ 8,215,934 $14,547,158
=========== =========== =========== =========== =========== =========== ===========
</TABLE>
-8-
December 31, 1994
<TABLE>
<CAPTION>
Investment funds
-----------------------------------------------------------------------------------------------
ASSETS A B C D E F Total
----------- ----------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C> <C>
INVESTMENTS
At fair value:
Stock of Tejas Gas
Corporation:
Preferred .................. -- -- -- $ 848,785 -- -- $ 848,785
Common ..................... -- -- -- -- -- $ 5,911,120 5,911,120
Mutual funds .................. -- $ 448,125 $ 566,868 -- $ 661,387 -- 1,676,380
Cash equivalents .............. $ 1,238,263 -- -- $ 8,953 -- 27,049 1,274,265
Loans to Participants ......... 617,445 -- -- -- -- -- 617,445
----------- ----------- ----------- ----------- ----------- ----------- -----------
Total ............ 1,855,708 448,125 566,868 857,738 661,387 5,938,169 10,327,995
----------- ----------- ----------- ----------- ----------- ----------- -----------
RECEIVABLES:
Dividends and interest ........ 6,055 -- -- 307 -- 86 6,448
Sale of stock ................. -- -- -- -- -- 46,165 46,165
Company contribution .......... -- -- -- -- -- 435,988 435,988
Due from other funds .......... -- 99,773 45,348 -- 2,687 23,462 171,270
----------- ----------- ----------- ----------- ----------- ----------- -----------
Total ............ 6,055 99,773 45,348 307 2,687 505,701 659,871
----------- ----------- ----------- ----------- ----------- ----------- -----------
TOTAL ASSETS ..................... $ 1,861,763 $ 547,898 $ 612,216 $ 858,045 $ 664,074 $ 6,443,870 $10,987,866
=========== =========== =========== =========== =========== =========== ===========
LIABILITIES AND NET
ASSETS AVAILABLE
FOR BENEFITS
DUE TO OTHER FUNDS ............... $ 100,310 -- -- $ 70,960 -- -- $ 171,270
NET ASSETS
AVAILABLE FOR
BENEFITS ...................... 1,761,453 $ 547,898 $ 612,216 787,085 $ 664,074 $ 6,443,870 10,816,596
----------- ----------- ----------- ----------- ----------- ----------- -----------
TOTAL LIABILITIES
AND NET ASSETS
AVAILABLE FOR
BENEFITS ...................... $ 1,861,763 $ 547,898 $ 612,216 $ 858,045 $ 664,074 $ 6,443,870 $10,987,866
=========== =========== =========== =========== =========== =========== ===========
</TABLE>
-9-
8. CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - BY FUND
December 31, 1995
<TABLE>
<CAPTION>
Investment Funds
--------------------------------------------------------------------------------------------------
A B C D E F Total
----------- ----------- --------- --------- ----------- ----------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
NET ASSETS AVAILABLE
FOR BENEFITS,
BEGINNING OF YEAR ......... $ 1,761,453 $ 547,898 $ 612,216 $ 787,085 $ 664,074 $ 6,443,870 $ 10,816,596
INVESTMENT INCOME:
Dividends ................. -- -- -- 72,421 -- -- 72,421
Interest .................. 83,976 3 7 496 4 2,779 87,265
Interest on loans to
Participants ........... 48,384 -- -- -- -- -- 48,384
----------- ----------- --------- --------- ----------- ----------- ------------
132,360 3 7 72,917 4 2,779 208,070
----------- ----------- --------- --------- ----------- ----------- ------------
NET APPRECIATION
OR (DEPRECIATION)
IN FAIR VALUE OF
INVESTMENTS ............... -- 204,827 81,955 37,656 224,014 1,379,190 1,927,642
----------- ----------- --------- --------- ----------- ----------- ------------
Total ........ 132,360 204,830 81,962 110,573 224,018 1,381,969 2,135,712
----------- ----------- --------- --------- ----------- ----------- ------------
CONTRIBUTIONS:
Employees ................. 97,280 221,514 87,086 115,533 169,592 385,987 1,076,992
Company ................... -- -- -- -- -- 473,966 473,966
----------- ----------- --------- --------- ----------- ----------- ------------
Total ........ 97,280 221,514 87,086 115,533 169,592 859,953 1,550,958
----------- ----------- --------- --------- ----------- ----------- ------------
FUND TRANSFERS ............... 219,198 193,577 (126,455) (161,560) 223,375 (348,135)
TRANSFER FROM
LEDCO, INC. PROFIT
SHARING PLAN .............. 3,096 18,985 43,924 -- 15,887 21,184 103,076
WITHDRAWALS .................. (64,346) (45,744) (1,114) (30,930) (77,319) (142,907) (362,360)
----------- ----------- --------- --------- ----------- ----------- ------------
NET ASSETS AVAILABLE
FOR BENEFITS, END
OF YEAR ................... $ 2,149,041 $ 1,141,060 $ 697,619 $ 820,701 $ 1,219,627 $ 8,215,934 $ 14,243,982
=========== =========== ========= ========= =========== =========== ============
</TABLE>
-10-
December 31, 1994
<TABLE>
<CAPTION>
Investment Funds
--------------------------------------------------------------------------------------------------
A B C D E F Total
----------- ----------- --------- --------- ----------- ----------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
NET ASSETS AVAILABLE
FOR BENEFITS,
BEGINNING OF YEAR ......... $ 1,326,538 $ 534,851 $ 688,802 $ 665,403 $ 588,444 $ 6,004,259 $ 9,808,297
INVESTMENT INCOME:
Dividends ................. -- -- -- 63,781 -- -- 63,781
Interest .................. 48,450 4 1 608 (1) 1,342 50,404
Interest on loans to
Participants ........... 33,829 -- -- -- -- -- 33,829
----------- ----------- --------- --------- ----------- ----------- ------------
82,279 4 1 64,289 (1) 1,342 148,014
----------- ----------- --------- --------- ----------- ----------- ------------
NET APPRECIATION
OR (DEPRECIATION)
IN FAIR VALUE OF
INVESTMENTS ............... -- 7,304 (8,868) (96,918) 900 (316,905) (414,487)
----------- ----------- --------- --------- ----------- ----------- ------------
Total ........ 82,279 7,308 (8,867) (32,529) 899 (315,563) (266,473)
----------- ----------- --------- --------- ----------- ----------- ------------
CONTRIBUTIONS:
Employees ................. 108,532 162,484 101,464 144,373 143,407 404,050 1,064,310
Company ................... -- -- -- -- -- 435,988 435,988
----------- ----------- --------- --------- ----------- ----------- ------------
Total ........ 108,532 162,484 101,464 144,373 143,407 840,038 1,500,298
----------- ----------- --------- --------- ----------- ----------- ------------
FUND TRANSFERS ............... 255,804 (128,703) (153,092) 49,115 (36,926) 13,802 --
WITHDRAWALS .................. (11,700) (28,042) (16,091) (39,277) (31,750) (98,666) (225,526)
----------- ----------- --------- --------- ----------- ----------- ------------
NET ASSETS AVAILABLE
FOR BENEFITS, END
OF YEAR ................... $ 1,761,453 $ 547,898 $ 612,216 $ 787,085 $ 664,074 $ 6,443,870 $ 10,816,596
=========== =========== ========= ========= =========== =========== ============
</TABLE>
-11-
TEJAS GAS CORPORATION THRIFT PLAN
Item 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
AS OF DECEMBER 31, 1995
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares/ Market
Par Value Cost Value
--------- ---------- ----------
<S> <C> <C> <C>
FUND A:
CASH EQUIVALENTS - Short-Term Investment Fund 1,522,322 $1,522,322 $1,522,322
LOAN INVESTMENTS - Ranging from 7.0% to 9.5% -- 682,943 682,943
---------- ----------
TOTAL FUND A INVESTMENTS ....................... -- $2,205,265 $2,205,265
========== ==========
FUND B - MUTUAL FUNDS:
Equity I Fund ............................... 46,452 $ 651,228 $ 802,039
Equity II Fund .............................. 16,202 221,706 268,388
International I Fund ........................ 15,650 239,396 266,711
---------- ----------
TOTAL FUND B INVESTMENTS ....................... -- $1,112,330 $1,337,138
========== ==========
FUND C - MUTUAL FUNDS:
Fixed Income I Fund ......................... 19,755 $ 207,855 $ 264,481
Fixed Income II Fund ........................ 20,637 220,214 264,086
---------- ----------
TOTAL FUND C INVESTMENTS ....................... -- $ 428,069 $ 528,567
========== ==========
FUND D:
PREFERRED STOCK - Tejas Gas Corporation ..... 30,169 $ 825,939 $ 791,936
CASH EQUIVALENTS - Short-Term Investment Fund 8,665 8,665 8,665
---------- ----------
TOTAL FUND D INVESTMENTS ....................... -- $ 834,604 $ 800,601
========== ==========
FUND E - MUTUAL FUNDS:
Fixed Income I Fund ......................... 28,092 $ 309,886 $ 376,091
Fixed Income II Fund ........................ 9,785 108,557 125,224
Equity I Fund ............................... 21,818 256,697 376,715
Equity II Fund .............................. 7,614 90,920 126,137
Equity I Special Fund ....................... 7,734 85,550 125,522
International I Fund ........................ 7,348 103,952 125,228
---------- ----------
TOTAL FUND E INVESTMENTS ....................... -- $ 955,562 $1,254,917
========== ==========
FUND F:
COMMON STOCK - Tejas Gas Corporation ........ 145,289 $3,254,520 $7,682,156
CASH EQUIVALENTS - Short-Term Investment Fund 25,996 25,996 25,996
---------- ----------
TOTAL FUND F INVESTMENTS ....................... -- $3,280,516 $7,708,152
========== ==========
</TABLE>
-12-
TEJAS GAS CORPORATION THRIFT PLAN
Item 27d - SCHEDULE OF REPORTABLE TRANSACTIONS
FOR THE YEAR ENDED DECEMBER 31, 1995
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE OF SHARES VALUE COST OF
DESCRIPTION OF ASSETS PURCHASED PURCHASE SOLD OF SALE ASSET GAIN
- --------------------- --------- ---------- --------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
SERIES OF TRANSACTIONS:
Mutual Funds:
Short-term investment 2,321,361 $2,321,361 2,038,643 $2,038,643 $2,038,643 $ 0
Equity I Fund ....... 40,501 624,214 9,406 138,931 106,991 31,940
Tejas Gas Corporation -
Common stock ........ 15,258 722,327 5,847 285,853 136,266 149,587
</TABLE>
-13-
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
trustees (or other persons who administer the Plan) have duly caused this annual
report to be signed on its behalf by the undersigned thereunto duly authorized.
TEJAS GAS CORPORATION THRIFT PLAN
By: /s/ C.M. BRADFORD
-------------------------
C.M. Bradford
(Plan Administrator)
June 25, 1996
-14-
EXHIBIT
INDEPENDENT AUDITORS' CONSENT
We consent to the incorporation by reference in Registration Statements No.
33-70746, 33-60064, 33-32792, 33-91436 and 33-44615 on Form S-8 for Tejas Gas
Corporation Thrift Plan of our report dated June 25, 1996 appearing in this
Annual Report on Form 11-K of Tejas Gas Corporation Thrift Plan for the year
ended December 31, 1995.
DELOITTE & TOUCHE LLP
Houston, Texas
June 25, 1996
-15-
