UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
ý QUARTERLY REPORT PURSUANT TO
SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2002
or
o 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 1-3551
|
EQUITABLE RESOURCES, INC. |
||||
|
(Exact name of registrant as specified in its charter) |
||||
|
|
|
|
||
|
PENNSYLVANIA |
|
25-0464690 |
||
|
(State of incorporation or organization) |
|
(IRS Employer Identification No.) |
||
|
|
|
|
||
One Oxford Centre, Suite 3300, 301 Grant Street, Pittsburgh, Pennsylvania 15219 |
||||
|
(Address of principal executive offices, including zip code) |
||||
|
|
|
|
||
|
Registrant’s telephone number, including area code: (412) 553-5700 |
||||
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 ý No o
Indicate the number of shares outstanding of each of issuer’s classes of common stock, as of the latest practicable date.
|
|
Class |
|
|
|
Outstanding
at |
|
|
|
|
|
||||
|
Common stock, no par value |
|
61,995,385 shares |
||||
EQUITABLE RESOURCES, INC. AND SUBSIDIARIES
Index
|
|
Page No. |
||
|
Part I. Financial Information: |
|
||
|
|
|
|
|
|
|
Item 1. |
Financial Statements (Unaudited): |
|
|
|
|
|
|
|
|
|
Statements of Consolidated Income for the Three and Six Months Ended June 30, 2002 and 2001 |
2 |
|
|
|
|
|
|
|
|
3 |
|
|
|
|
|
|
|
|
|
Condensed Consolidated Balance Sheets as of June 30, 2002, and December 31, 2001 |
4-5 |
|
|
|
|
|
|
|
|
6-12 |
|
|
|
|
|
|
|
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations |
13-30 |
|
|
|
|
|
|
|
|
31 |
||
|
|
|
|
|
|
|
|
|
|
|
|
32 |
||
|
|
|
|
|
|
|
32 |
||
|
|
|
|
|
|
33 |
|||
|
|
|
||
|
34 |
|||
|
|
|
||
|
35 |
|||
EQUITABLE RESOURCES, INC. AND SUBSIDIARIES
Statements of Consolidated Income (Unaudited)
(Thousands Except Per Share Amounts)
|
|
|
Three
Months Ended |
|
Six Months
Ended |
|
||||||||
|
|
|
2002 |
|
2001 |
|
2002 |
|
2001 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Operating revenues |
|
$ |
268,638 |
|
$ |
345,544 |
|
$ |
612,695 |
|
$ |
1,196,701 |
|
|
Cost of sales |
|
144,620 |
|
216,838 |
|
327,801 |
|
882,404 |
|
||||
|
Net operating revenues |
|
124,018 |
|
128,706 |
|
284,894 |
|
314,297 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
||||
|
Operation and maintenance |
|
18,412 |
|
20,580 |
|
35,996 |
|
41,227 |
|
||||
|
Production and exploration |
|
6,391 |
|
9,544 |
|
12,841 |
|
19,224 |
|
||||
|
Selling, general and administrative |
|
23,091 |
|
30,405 |
|
48,948 |
|
60,263 |
|
||||
|
Impairment of long-lived assets |
|
5,320 |
|
— |
|
5,320 |
|
— |
|
||||
|
Depreciation, depletion and amortization |
|
16,771 |
|
17,404 |
|
33,538 |
|
34,537 |
|
||||
|
Total operating expenses |
|
69,985 |
|
77,933 |
|
136,643 |
|
155,251 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Operating income |
|
54,033 |
|
50,773 |
|
148,251 |
|
159,046 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Equity (losses) earnings from nonconsolidated investments and minority interest: |
|
|
|
|
|
|
|
|
|
||||
|
Westport |
|
(625 |
) |
3,477 |
|
(4,873 |
) |
14,467 |
|
||||
|
Other |
|
(1,517 |
) |
3,362 |
|
(1,336 |
) |
5,303 |
|
||||
|
|
|
(2,142 |
) |
6,839 |
|
(6,209 |
) |
19,770 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Earnings before interest and taxes (EBIT) |
|
51,891 |
|
57,612 |
|
142,042 |
|
178,816 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Interest charges |
|
9,259 |
|
9,345 |
|
18,838 |
|
20,812 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Income from continuing operations before income taxes and cumulative effect of accounting change |
|
42,632 |
|
48,267 |
|
123,204 |
|
158,004 |
|
||||
|
Income taxes |
|
13,443 |
|
16,830 |
|
41,643 |
|
55,301 |
|
||||
|
Income from continuing operations before cumulative effect of accounting change |
|
29,189 |
|
31,437 |
|
81,561 |
|
102,703 |
|
||||
|
Income from discontinued operations |
|
9,000 |
|
— |
|
9,000 |
|
— |
|
||||
|
Cumulative effect of accounting change, net of tax |
|
— |
|
— |
|
(5,519 |
) |
— |
|
||||
|
Net income |
|
$ |
38,189 |
|
$ |
31,437 |
|
$ |
85,042 |
|
$ |
102,703 |
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Earnings per share of common stock: |
|
|
|
|
|
|
|
|
|
||||
|
Basic: |
|
|
|
|
|
|
|
|
|
||||
|
Weighted average common shares outstanding |
|
63,280 |
|
64,636 |
|
||||||||