DTE Electric Co - FORM 8-K - EX-99.1 - EXHIBIT 99.1

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8-K - FORM 8-K - DTE Electric Co	c91577e8vk.htm
EX-99.2 - EXHIBIT 99.2 - DTE Electric Co	c91577exv99w2.htm

Exhibit 99.1

Q3 2009 Supplemental Financial Information October 30, 2009

DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)


	September 30			December 31
(in Millions)	2009			2008
ASSETS
Current Assets
Cash and cash equivalents	$	83		$	86
Restricted cash		28			86
Accounts receivable (less allowance for doubtful accounts of $288 and $265, respectively)
Customer		1,105			1,666
Other		112			166
Inventories
Fuel and gas		383			333
Materials and supplies		202			206
Deferred income taxes		226			227
Derivative assets		271			316
Other		244			242

		2,654			3,328


Investments
Nuclear decommissioning trust funds		791			685
Other		630			595

		1,421			1,280


Property
Property, plant and equipment		20,505			20,065
Less accumulated depreciation and depletion		(8,110	)		(7,834	)

		12,395			12,231


Other Assets
Goodwill		2,037			2,037
Regulatory assets		4,029			4,231
Securitized regulatory assets		905			1,001
Intangible assets		57			70
Notes receivable		114			115
Derivative assets		163			140
Other		184			157

		7,489			7,751


Total Assets	$	23,959		$	24,590

DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)


	September 30			December 31
(in Millions, Except Shares)	2009			2008
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable	$	578		$	899
Accrued interest		149			119
Dividends payable		87			86
Short-term borrowings		205			744
Current portion long-term debt, including capital leases		170			362
Derivative liabilities		257			285
Other		530			518

		1,976			3,013


Long-Term Debt (net of current portion)
Mortgage bonds, notes and other		6,738			6,458
Securitization bonds		793			932
Trust preferred-linked securities		289			289
Capital lease obligations		54			62

		7,874			7,741


Other Liabilities
Deferred income taxes		2,091			1,958
Regulatory liabilities		1,251			1,202
Asset retirement obligations		1,405			1,340
Unamortized investment tax credit		88			96
Derivative liabilities		252			344
Liabilities from transportation and storage contracts		100			111
Accrued pension liability		776			871
Accrued postretirement liability		1,424			1,434
Nuclear decommissioning		131			114
Other		319			328

		7,837			7,798


Commitments and Contingencies

Shareholders’ Equity
Common stock, without par value, 400,000,000 shares authorized, 164,928,049 and 163,019,596 shares issued and outstanding, respectively		3,235			3,175
Retained earnings		3,142			2,985
Accumulated other comprehensive loss		(141	)		(165	)

Total DTE Energy Company Shareholders’ Equity		6,236			5,995
Noncontrolling interests		36			43

Total Equity		6,272			6,038

Total Liabilities and Equity	$	23,959		$	24,590

DTE Energy Company
Consolidated Statements of Cash Flows (Unaudited)


	Nine Months Ended
	September 30
(in Millions)	2009			2008
Operating Activities
Net income	$	421		$	423
Adjustments to reconcile net income to net cash from operating activities:
Depreciation, depletion and amortization		738			675
Deferred income taxes		141			280
Gain on sale of non-utility assets		—			(128	)
Other asset (gains), losses and reserves, net		4			12
Gain on sale of interests in synfuel projects		—			(31	)
Contributions from synfuel partners		—			14
Changes in assets and liabilities, exclusive of changes shown separately (Note 1)		370			(227	)

Net cash from operating activities		1,674			1,018


Investing Activities
Plant and equipment expenditures — utility		(772	)		(842	)
Plant and equipment expenditures — non-utility		(47	)		(154	)
Proceeds from sale of interests in synfuel projects		—			84
Refunds to synfuel partners		—			(387	)
Proceeds from sale of non-utility assets		—			253
Proceeds from sale of other assets, net		35			21
Restricted cash for debt redemptions		58			104
Proceeds from sale of nuclear decommissioning trust fund assets		237			180
Investment in nuclear decommissioning trust funds		(251	)		(202	)
Other investments		(55	)		(105	)

Net cash used for investing activities		(795	)		(1,048	)


Financing Activities
Issuance of long-term debt		363			1,013
Redemption of long-term debt		(420	)		(446	)
Repurchase of long-term debt		—			(238	)
Short-term borrowings, net		(574	)		71
Issuance of common stock		27			—
Repurchase of common stock		—			(16	)
Dividends on common stock		(260	)		(258	)
Other		(18	)		(7	)

Net cash from (used for) financing activities		(882	)		119


Net Increase (Decrease) in Cash and Cash Equivalents		(3	)		89
Cash and Cash Equivalents Reclassified from Assets Held for Sale		—			11
Cash and Cash Equivalents at Beginning of Period		86			123

Cash and Cash Equivalents at End of Period	$	83		$	223

The Detroit Edison Company
Consolidated Statements of Operations (Unaudited)


	Three Months Ended						Nine Months Ended
	September 30						September 30
(in Millions)	2009			2008			2009			2008
Operating Revenues	$	1,300		$	1,440		$	3,526		$	3,766


Operating Expenses
Fuel and purchased power		400			586			1,112			1,403
Operation and maintenance		306			292			928			1,019
Depreciation and amortization		222			193			607			563
Taxes other than income		43			54			147			176
Asset (gains) and reserves, net		—			(1	)		—			(1	)

		971			1,124			2,794			3,160


Operating Income		329			316			732			606


Other (Income) and Deductions
Interest expense		82			73			245			220
Interest income		—			(1	)		(1	)		(3	)
Other income		(12	)		(16	)		(29	)		(39	)
Other expenses		5			11			5			34

		75			67			220			212


Income Before Income Taxes		254			249			512			394

Income Tax Provision		98			90			199			143


Net Income	$	156		$	159		$	313		$	251

Michigan Consolidated Gas Company
Consolidated Statements of Operations (Unaudited)


	Three Months Ended						Nine Months Ended
	September 30						September 30
(in Millions)	2009			2008			2009			2008
Operating Revenues	$	189		$	232		$	1,237		$	1,509

Operating Expenses
Cost of gas		67			102			706			956
Operation and maintenance		94			93			326			364
Depreciation and amortization		27			25			80			75
Taxes other than income		12			9			38			34
Asset gains		—			(2	)		(1	)		(2	)

		200			227			1,149			1,427

Operating Income (Loss)		(11	)		5			88			82


Other (Income) and Deductions
Interest expense		19			16			51			46
Interest income		(2	)		(2	)		(6	)		(6	)
Other income		(1	)		(2	)		(6	)		(8	)
Other expenses		—			4			4			9

		16			16			43			41


Income (Loss) Before Income Taxes		(27	)		(11	)		45			41

Income Tax Provision (Benefit)		(8	)		(3	)		13			12


Net Income (Loss)	$	(19	)	$	(8	)	$	32		$	29

DTE Energy Debt/Equity Calculation
As of September 30, 2009
($ millions)


Short-term borrowings	$	205
Current portion of long-term debt, including capital leases		170
Mortgage bonds, notes and other		6,738
Securitization bonds, excluding current portion		793
Capital lease obligations		54
less MichCon short-term debt		(205	)
less Securitization bonds, including current portion		(933	)

Total debt		6,822

Trust preferred-linked securities		289

Total preferred/ other		289

Equity		6,236


Total capitalization	$	13,347


Debt		51.1	%
Preferred		2.2	%
Common shareholders’ equity		46.7	%


Total		100.0	%

Sales Analysis — Q3 2009

Electric Sales — Detroit Edison Service Area (GWh)


	Q3 2009		Q3 2008		% Change
Residential		4,107		4,595		-11	%
Commercial		4,806		5,072		-5	%
Industrial		2,562		3,327		-23	%
Other		799		789		1	%

		12,274		13,783		-11	%
Choice		337		329		2	%

TOTAL SALES		12,611		14,112		-11	%

Electric Revenue — Detroit Edison Service Area ($000s)


	Q3 2009		Q3 2008		% Change

Residential		517,052		520,453		-1	%
Commercial		449,537		477,917		-6	%
Industrial		190,103		229,805		-17	%
Other		44,629		45,626		-2	%

		1,201,321		1,273,801		-6	%
Choice		8,040		8,711		-8	%

TOTAL REVENUES		1,209,361		1,282,512		-6	%

Gas Sales — MichCon Service Area (MMcf)


	Q3 2009		Q3 2008		% Change
Residential		7,128		7,504		-5	%
Commercial		1,825		2,408		-24	%
Industrial		130		126		3	%

		9,083		10,038		-10	%
End User Transportation*		23,525		23,024		2	%

TOTAL SALES		32,608		33,062		-1	%


*		Includes choice customers

Gas Revenue — MichCon Service Area ($000s)


	Q3 2009		Q3 2008		% Change
Residential		93,945		117,390		-20	%
Commercial		22,135		35,619		-38	%
Industrial		1,257		1,612		-22	%

		117,338		154,621		-24	%
End User Transportation*		24,024		21,496		12	%

TOTAL REVENUES		141,362		176,117		-20	%


*		Includes choice customers

Weather

Cooling Degree Days
Detroit Edison service territory


	Q3 2009			Q3 2008			% Change
Actuals		421			556			-24	%
Normal		537			537


Deviation from normal		-22	%		4	%

Heating Degree Days
MichCon service territory


	Q3 2009			Q3 2008			% Change
Actuals		134			80			67	%
Normal		175			175


Deviation from normal		-23	%		-54	%

Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)


	Q2 2009			Q2 2008
Detroit Edison		(25	)		2		Colder weather reduced Detroit Edison’s earnings by $25M Q2 2009
MichCon		(1	)		(1	)	Milder weather reduced MichCon’s earnings by $1M Q3 2009

Sales Analysis — YTD September 30, 2009

Electric Sales — Detroit Edison Service Area (GWh)


	YTD 2009		YTD 2008		% Change
Residential		10,992		11,955		-8	%
Commercial		13,764		14,347		-4	%
Industrial		7,584		10,074		-25	%
Other		2,399		2,408		0	%

		34,739		38,784		-10	%

Choice		998		1,081		-8	%

TOTAL SALES		35,737		39,865		-10	%

Electric Revenue — Detroit Edison Service Area ($000s)


	YTD 2009		YTD 2008		% Change
Residential		1,348,019		1,325,706		2	%
Commercial		1,278,592		1,322,084		-3	%
Industrial		570,333		684,694		-17	%
Other		131,652		131,738		0	%

		3,328,596		3,464,222		-4	%

Choice		27,819		23,749		17	%

TOTAL REVENUES		3,356,415		3,487,971		-4	%

Gas Sales — MichCon Service Area (MMcf)


	YTD 2009		YTD 2008		% Change
Residential		71,387		73,090		-2	%
Commercial		21,924		24,262		-10	%
Industrial		865		675		28	%

		94,176		98,027		-4	%

End User Transportation*		86,566		89,798		-4	%

TOTAL SALES		180,742		187,825		-4	%


*		Includes choice customers

Gas Revenue — MichCon Service Area ($000s)


	YTD 2009		YTD 2008		% Change
Residential		740,224		830,596		-11	%
Commercial		222,727		268,891		-17	%
Industrial		7,524		7,528		0	%

		970,475		1,107,015		-12	%

End User Transportation*		103,277		104,433		-1	%

TOTAL REVENUES		1,073,752		1,211,447		-11	%


*		Includes choice customers

Weather

Cooling Degree Days
Detroit Edison service territory


	YTD 2009			YTD 2008			% Change
Actuals		575			759			-24	%
Normal		730			730


Deviation from normal		-21	%		4	%

Heating Degree Days
MichCon service territory


	YTD 2009			YTD 2008			% Change
Actuals		4,358			4,236			3	%
Normal		4,346			4,374


Deviation from normal		0	%		-3	%

Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)


	YTD 2009			YTD 2008
Detroit Edison		(38	)		1		Colder weather reduced Detroit Edison’s earnings by $38M YTD 2009
MichCon		1			(3	)	Colder weather increased MichCon’s earnings by $1M YTD 2009

DTE Energy Company
Consolidated Statements of Operations (Unaudited)
(Reconciliation of Reported to Operating Earnings)


	Three Months Ended September 30, 2009
	Reported			Operating			Operating
(in Millions)	Earnings			Adjustments			Earnings

Operating Revenues	$	1,961					$	1,961

Operating Expenses
Fuel, purchased power and gas		735						735
Operation and maintenance		554						554
Depreciation, depletion and amortization		266						266
Taxes other than income		63						63
Gain on sale of non-utility assets		—						—
Other asset (gains) and losses, reserves and impairments, net		—						—

		1,618			—			1,618


Operating Income		343			—			343


Other (Income) and Deductions
Interest expense		143						143
Interest income		(11	)					(11	)
Other income		(28	)		2			(26	)
Other expenses		8						8

		112			2			114

Income Before Income Taxes		231			(2	)		229

Income Tax Provision		73			(1	)		72


Income from Continuing Operations		158			(1	)		157

Discontinued Operations Income, net of tax		—						—


Net Income		158			(1	)		157

Less: Net Income Attributable to the Noncontrolling Interests From
Continuing operations		—						—
Discontinued operations		—						—

		—			—			—

Net Income Attributable to DTE Energy Company	$	158		$	(1	)	$	157

DTE Energy Company
Consolidated Statements of Operations (Unaudited)
(Reconciliation of Reported to Operating Earnings)

Nine Months Ended September 30, 2009

Reported

Operating

(in Millions)

Earnings

Adjustments

Earnings

Operating Revenues

5,904

Operating Expenses

Fuel, purchased power and gas

2,272

Operation and maintenance

1,740

(14

)

1,726

Depreciation, depletion and amortization

738

Taxes other than income

204

Gain on sale of non-utility assets

—

Other asset (gains) and losses, reserves and impairments, net

)

4,951

(14

)

4,937

Operating Income

953

967

Other (Income) and Deductions

Interest expense

409

Interest income

(17

)

(17

)

Other income

(74

)

(74

)

Other expenses

335

—

335

Income Before Income Taxes

618

632

Income Tax Provision

197

203

Income from Continuing Operations

421

429

Discontinued Operations Income, net of tax

—

Net Income

421

429

Less: Net Income Attributable to the Noncontrolling Interests From

Continuing operations

Discontinued operations

—

Net Income Attributable to DTE Energy Company

419

427

Attached files

DTE Electric Co Reports

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