THE SECURITIES EXCHANGE ACT OF 1934
THE SECURITIES EXCHANGE ACT OF 1934
FORM 10-Q
| (Mark One) | ||
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|
| For the quarterly period ended June 30, 2004 | ||
| 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 No. 33-7591 |
Oglethorpe Power Corporation
(An Electric Membership Corporation)
(Exact name of registrant as specified in its charter)
| Georgia (State or other jurisdiction of incorporation or organization |
58-1211925 (I.R.S. employer identification no.) | |
| Post Office Box 1349 2100 East Exchange Place Tucker, Georgia (Address of principal executive offices) |
30085-1349 (Zip Code) | |
| Registrant’s telephone number, including area code | (770) 270-7600 |
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 No
Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Securities Exchange Act of 1934). Yes No
Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date. The registrant is a membership corporation and has no authorized or outstanding equity securities.
OGLETHORPE POWER CORPORATION
INDEX TO QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED JUNE 30, 2004
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| PART I – FINANCIAL INFORMATION | |||||
| Item 1. | Financial Statements | ||||
| Condensed Balance Sheets as of June 30, 2004 | |||||
| (Unaudited) and December 31, 2003 | 3 | ||||
| Condensed Statements of Revenues and Expenses | |||||
| (Unaudited) for the Three Months and Six Months ended | |||||
| June 30, 2004 and 2003 | 5 | ||||
| Condensed Statements of Patronage Capital and Membership | |||||
| Fees and Accumulated Other Comprehensive Margin | |||||
| (Unaudited) for the Six Months ended | |||||
| June 30, 2004 and 2003 | 6 | ||||
| Condensed Statements of Cash Flows (Unaudited) | |||||
| For the Six Months ended June 30, 2004 and 2003 | 7 | ||||
| Notes to Condensed Financial Statements | |||||
| For the Six Months ended June 30, 2004 and 2003 | 8 | ||||
| Item 2. | Management’s Discussion and Analysis of | ||||
| Financial Condition and Results of Operations | 11 | ||||
| Item 3. | Quantitative and Qualitative Disclosures About Market Risk | 18 | |||
| Item 4. | Controls and Procedures | 18 | |||
| PART II – OTHER INFORMATION | |||||
| Item 1. | Legal Proceedings | 19 | |||
| Item 5. | Other | 19 | |||
| Item 6. | Exhibits and Reports on Form 8-K | 19 | |||
| SIGNATURES | 21 | ||||
2
PART I -FINANCIAL INFORMATION
Item 1.Financial Statements
Oglethorpe Power Corporation
Condensed Balance Sheets
June 30, 2004 and December 31, 2003
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(dollars in thousands) |
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2004 |
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2003 |
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(Unaudited) |
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| |
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Assets |
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Electric plant: |
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In service |
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$ |
5,776,052 |
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$ |
5,755,553 |
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Less: Accumulated provision for depreciation |
|
|
(2,184,343 |
) |
|
(2,107,274 |
) |
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|
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|
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3,591,709 |
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3,648,279 |
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|
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Nuclear fuel, at amortized cost |
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|
83,140 |
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|
90,283 |
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Construction work in progress |
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22,303 |
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|
26,212 |
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3,697,152 |
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3,764,774 |
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Investments and funds: |
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Decommissioning fund, at market |
|
|
185,518 |
|
|
180,448 |
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Deposit on Rocky Mountain transactions, at cost |
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|
80,304 |
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|
77,684 |
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Bond, reserve and construction funds, at market |
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7,945 |
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21,629 |
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Investment in associated organizations, at cost |
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30,573 |
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29,374 |
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Other, at cost |
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|
1,084 |
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|
1,084 |
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305,424 |
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310,219 |
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Current assets: |
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Cash and temporary cash investments, at cost |
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121,778 |
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226,830 |
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Other short-term investments, at market |
|
|
96,323 |
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|
96,213 |
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Receivables |
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127,182 |
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|
112,248 |
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|
Inventories, at average cost |
|
|
107,165 |
|
|
105,338 |
|
|
Prepayments and other current assets |
|
|
6,540 |
|
|
4,959 |
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|
|
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|
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|
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|
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|
|
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458,988 |
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545,588 |
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Deferred charges: |
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Premium and loss on reacquired debt, being amortized |
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142,015 |
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139,741 |
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Deferred amortization of capital leases |
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110,489 |
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110,626 |
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Deferred debt expense, being amortized |
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|
22,655 |
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23,953 |
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Deferred nuclear outage costs, being amortized |
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18,981 |
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14,764 |
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Deferred asset retirement obligations costs, being amortized |
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17,334 |
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14,821 |
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Other |
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4,207 |
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|
5,199 |
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315,681 |
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309,104 |
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$ |
4,777,245 |
|
$ |
4,929,685 |
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The accompanying notes are an integral part of these condensed financial statements.
Oglethorpe Power Corporation
Condensed Balance Sheets
June 30, 2004 and December 31, 2003
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(dollars in thousands) |
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2004 |
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2003 |
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(Unaudited) |
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Equity and Liabilities |
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Capitalization: |
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Patronage capital and membership fees |
|
$ |
459,812 |
|
$ |
444,418 |
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Accumulated other comprehensive loss |
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(42,265 |
) |
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(49,814 |
) |
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417,547 |
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394,604 |
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Long-term debt |
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3,236,906 |
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3,315,128 |
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Obligation under capital leases |
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333,327 |
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342,232 |
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Obligation under Rocky Mountain transactions |
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80,304 |
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77,684 |
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4,068,084 |
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4,129,648 |
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Current liabilities: |
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Long-term debt and capital leases due within one year |
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|
148,353 |
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|
237,522 |
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Accounts payable |
|
|
61,570 |
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|
63,559 |
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Accrued interest |
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8,931 |
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|
7,158 |
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Accrued and withheld taxes |
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|
20,893 |
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19,957 |
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Other current liabilities |
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7,943 |
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9,109 |
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247,690 |
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337,305 |
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Deferred credits and other liabilities: |
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Gain on sale of plant, being amortized |
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|
44,672 |
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|
45,909 |
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Net benefit of Rocky Mountain transactions, being amortized |
|
|
71,670 |
|
|
73,263 |
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|
Asset retirement obligations |
|
|
240,725 |
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|
233,155 |
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Accumulated retirement costs for other obligations |
|
|
34,728 |
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|
35,349 |
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Interest rate swap arrangements |
|
|
42,155 |
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|
49,916 |
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Other |
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|
27,521 |
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25,140 |
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461,471 |
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462,732 |
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$ |
4,777,245 |
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$ |
4,929,685 |
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Oglethorpe Power Corporation
Condensed Statements of Revenues and Expenses (Unaudited)
For the Three and Six Months Ended June 30, 2004 and 2003
|
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|
(dollars in thousands) |
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Three Months |
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Six Months |
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2004 |
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2003 |
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2004 |
|
2003 |
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Operating revenues: |
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Sales to Members |
|
$ |
319,762 |
|
$ |
284,081 |
|
$ |
616,449 |
|
$ |
546,595 |
| ||
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Sales to non-Members |
|
|
8,654 |
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|
8,530 |
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|
16,811 |
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|
19,507 |
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Total operating revenues |
|
|
328,416 |
|
|
292,611 |
|
|
633,260 |
|
|
566,102 |
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Operating expenses: |
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Fuel |
|
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84,416 |
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|
58,228 |
|
|
142,277 |
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|
103,533 |
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Production |
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