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8-K - 8-K - HAWAIIAN ELECTRIC CO INCa13-5213_18k.htm

HEI Exhibit 99

 

February 15, 2013

 

Contact:

Shelee M.T. Kimura

 

 

Manager, Investor Relations &

Telephone: (808) 543-7384

 

Strategic Planning

E-mail: skimura@hei.com

 

 

 

HAWAIIAN ELECTRIC INDUSTRIES REPORTS 2012 YEAR-END & FOURTH QUARTER EARNINGS; WEBCAST TO INCLUDE EPS GUIDANCE

 

2012 Net Income of $139 Million Flat Compared to 2011

Hawaiian Electric Company Invests Over $300 Million in Local Infrastructure

American Savings Bank Extends Over $1.7 Billion in Loans and Refinancings

 

HONOLULU – Hawaiian Electric Industries, Inc. (NYSE - HE) (HEI) today reported year-end GAAP earnings of $138.7 million, flat with $138.2 million in 2011.  Diluted earnings per share (EPS) were $1.42 for 2012, slightly down compared to $1.44 for 2011.  For the fourth quarter of 2012, reported earnings were $13.8 million or $0.14 EPS, compared to $34.2 million or $0.36 EPS for the same quarter last year.  2012 and fourth quarter earnings include a $24 million after-tax write-down related to the settlement agreement between Hawaiian Electric Company1 and the Hawaii Consumer Advocate, which is subject to approval by the Hawaii Public Utilities Commission.

“HEI’s 2012 earnings reflect Hawaiian Electric Company’s agreement with the Consumer Advocate which included a significant write-off of invested capital.  If approved, the agreement will resolve many pending issues, allowing our utilities to continue their focus on reducing Hawaii’s dependence on expensive oil,” said Constance H. Lau, HEI president and chief executive officer.

“American Savings Bank (American) continued to deliver stable and predictable results, contributing roughly 40% to consolidated HEI earnings in 2012.  Steady loan growth was supported by more than $1.7 billion in new credit and refinancings provided to customers.  Strong capital ratios enabled American to pay 2012 dividends to HEI totaling $45 million, an important source of funding as HEI continues to invest in its Hawaii based businesses,” added Lau.

“In 2012, Hawaiian Electric Company invested in local infrastructure totaling over $300 million, more than three times its earnings.  These investments are critical to modernize the electric grid to operate more reliably while integrating more clean energy for our customers and our state.

 


1  “Hawaiian Electric Company” or “utility”, unless otherwise defined, refers to the three utilities, Hawaiian Electric Company, Inc. on Oahu, Maui Electric Company, Limited, and Hawaii Electric Light Company, Inc.

 



 

Hawaiian Electric Industries, Inc. News Release

February 15, 2013

Page 2

 

In 2012, we achieved 13% of sales from renewable energy and are on track to exceed the 15% renewable portfolio standard by 2015,” said Lau.

Excluding the write-down of regulatory assets, core earnings2 for 2012 were $163.1 million or $1.68 EPS, compared to $143.9 million or $1.50 EPS in 2011.  For the fourth quarter, core earnings were $38.3 million or $0.39 EPS compared to $39.9 million or $0.42 EPS for the same quarter last year.

 

UTILITY EARNINGS REFLECT CLEAN ENERGY AND RELIABILITY INVESTMENTS

Full Year Results:

Reported earnings from the utility of $99.3 million in 2012 were essentially flat with $100.0 million in 2011.  Core earnings were $123.7 million in 2012 compared to $105.7 million in 2011.  The main driver of the $18 million core earnings improvement from the prior year was a full year recovery of costs in 2012 for reliability and clean energy investments on Oahu compared to a partial year recovery of costs in 2011.

Operations and maintenance (O&M) expenses3 (pretax) were $15 million or approximately 4% higher compared to the prior year.  The increases were primarily due to higher customer service expenses, reserves for environmental costs and higher power plant overhaul costs.

 

Fourth Quarter Results:

Reported earnings from the utility for the fourth quarter of 2012 were $4.2 million compared to $25.8 million in 2011.  Core earnings were $28.7 million in the fourth quarter of 2012 compared to $31.5 million in the fourth quarter of 2011.  The $3 million core earnings decline from the prior year quarter was primarily due to higher O&M expenses, largely offset by the recovery of costs for clean energy and reliability investments, primarily related to our Oahu and Maui utilities.

O&M expenses3 (pretax) were $14 million or 15% higher as expected in the fourth quarter of 2012 compared to the fourth quarter of 2011 largely due to higher customer service expenses and the timing of 2011 expenses weighted more to the first three quarters of the year.


2 Non-GAAP measure which excludes the fourth quarter after-tax partial write-off of certain utility regulatory assets of $24.4 million in 2012 and $5.7 million in 2011.  See “Explanation of HEI’s Use of Certain Unaudited Non-GAAP Measures” and attached tables for GAAP to Non-GAAP reconciliations.

3 Excludes demand side management (DSM) program costs.  DSM program costs were $6 million and $4 million for the full year in 2012 and 2011, respectively, and $2 million and $1 million in the fourth quarter of 2012 and 2011, respectively.  DSM program costs are recovered through a surcharge.

 



 

Hawaiian Electric Industries, Inc. News Release

February 15, 2013

Page 3

 

AMERICAN SAVINGS BANK:   SOLID PERFORMANCE AND LOAN GROWTH

Full Year Results:

 

American’s net income for 2012 was $58.6 million compared to $59.8 million in 2011 reflecting the challenging low interest rate environment. The primary drivers impacting net income for the year were (on an after-tax basis):  $4 million lower net interest income and $5 million higher noninterest expense largely offset by $6 million higher gains on sales of new residential mortgages and $1 million lower provision for loan losses.

Overall, American’s return on average equity for the full year remained solid at 11.7% in 2012 compared to 12.0% in 2011 and the return on average assets was 1.18% in 2012 compared to 1.23% in 2011.

 

Fourth Quarter Results:

 

Fourth quarter 2012 net income of $14.4 million was essentially flat with the linked quarter of $14.2 million as higher noninterest income, driven mainly by higher gains on sales of newly originated residential mortgages, was offset by higher noninterest expense and lower net interest income.

Compared to the same quarter of 2011, net income declined by $1.0 million primarily driven by (on an after-tax basis): $2 million lower net interest income and $3 million higher noninterest expense which were largely offset by $4 million higher noninterest income primarily due to higher gains on sale of new residential mortgages and higher fee income.

American’s fourth quarter 2012 return on average equity was 11.3%, up slightly from 11.2% in the linked quarter but down from 12.2% in the same quarter last year.  Return on average assets was 1.15% for the fourth quarter of 2012, unchanged from the linked quarter and down from 1.26% in the same quarter last year.

Also refer to the American news release issued on January 30, 2013.

 



 

Hawaiian Electric Industries, Inc. News Release

February 15, 2013

Page 4

 

HOLDING AND OTHER COMPANIES

 

The holding and other companies’ net losses were $19.3 million in 2012 compared to $21.6 million in 2011.  The lower net loss in 2012 was primarily driven by lower interest expense.  Fourth quarter net losses were $4.8 million in 2012 compared to $6.9 million in the fourth quarter 2011 primarily due to HEI funding the HEI Charitable Foundation in the fourth quarter of 2011.

 

WEBCAST AND CONFERENCE CALL

 

HEI TO ANNOUNCE 2013 EPS GUIDANCE IN EARNINGS CONFERENCE CALL

 

Hawaiian Electric Industries, Inc. will conduct a webcast and conference call to review its 2012 earnings on Friday, February 15, 2013, at 12:00 noon Hawaii time (5:00 p.m. Eastern time).  HEI will announce 2013 EPS guidance during the scheduled webcast and conference call.

The event can be accessed through HEI’s website at www.hei.com or by dialing (866) 202-3048 and entering passcode:  97355196 for the teleconference call.  The presentation for the webcast will be on HEI’s website under the headings “Investor Relations,” “News & Events” and “Presentations & Webcasts.”  HEI and Hawaiian Electric Company, Inc. (HECO) intend to continue to use HEI’s website, www.hei.com, as a means of disclosing additional information.  Such disclosures will be included on HEI’s website in the Investor Relations section.  Accordingly, investors should routinely monitor such portions of HEI’s website, in addition to following HEI’s, HECO’s and American’s press releases, HEI’s and HECO’s Securities and Exchange Commission (SEC) filings and HEI’s public conference calls and webcasts.  The information on HEI’s website is not incorporated by reference in this document or in HEI’s and HECO’s SEC filings unless, and except to the extent, specifically incorporated by reference.  Investors may also wish to refer to the Public Utilities Commission of the State of Hawaii (PUC) website at dms.puc.hawaii.gov/dms in order to review documents filed with and issued by the PUC.  No information on the PUC website is incorporated by reference in this document or in HEI’s and HECO’s SEC filings.

An online replay of the webcast will be available at the same website beginning about two hours after the event and will remain on HEI’s website for 12 months.  Replays of the conference call will also be available approximately two hours after the event through March 1, 2013, by dialing (888) 286-8010, passcode: 47992097.

HEI supplies power to approximately 450,000 customers or 95% of Hawaii’s population through its electric utilities, HECO, Hawaii Electric Light Company, Inc. and Maui Electric

 



 

Hawaiian Electric Industries, Inc. News Release

February 15, 2013

Page 5

 

Company, Limited and provides a wide array of banking and other financial services to consumers and businesses through American, one of Hawaii’s largest financial institutions.

 

EXPLANATION OF HEI’S USE OF CERTAIN UNAUDITED NON-GAAP MEASURES

 

HEI and HECO management use certain non-GAAP measures such as core earnings and adjusted return on average common equity (ROE) to evaluate the performance of the utility.  Management believes these non-GAAP measures provide useful information and are a better indicator of the utility’s core operating activities.  Core earnings as presented here may not be comparable to similarly titled measures used by other companies.  The tables at the end of this news release provide a reconciliation of reported GAAP earnings to non-GAAP core earnings for both the utility and HEI consolidated and the corresponding adjustments to common equity for purposes of calculating adjusted ROE.

The reconciling adjustments from GAAP earnings to core earnings are the recorded after-tax charges of $24.4 million and $5.7 million in the fourth quarter of 2012 and 2011, respectively, related to settlement charges for the partial write-off of utility regulatory assets in 2012 and 2011.  The 2012 charges are not yet approved by the PUC.  For more information on the settlement charge recorded in 2012, see the Form 8-K filed on January 29, 2013.  Management does not consider these items to be representative of the company’s fundamental core earnings.

 

FORWARD-LOOKING STATEMENTS

 

This release may contain “forward-looking statements,” which include statements that are predictive in nature, depend upon or refer to future events or conditions, and usually include words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “predicts,” “estimates” or similar expressions.  In addition, any statements concerning future financial performance, ongoing business strategies or prospects or possible future actions are also forward-looking statements.  Forward-looking statements are based on current expectations and projections about future events and are subject to risks, uncertainties and the accuracy of assumptions concerning HEI and its subsidiaries, the performance of the industries in which they do business and economic and market factors, among other things.  These forward-looking statements are not guarantees of future performance.

Forward-looking statements in this release should be read in conjunction with the “Forward-Looking Statements” and “Risk Factors” discussions (which are incorporated by reference herein) set forth in HEI’s Annual Report on Form 10-K for the year ended December 31,

 



 

Hawaiian Electric Industries, Inc. News Release

February 15, 2013

Page 6

 

2011, Quarterly Report on Form 10-Q for the quarter ended September 30, 2012 and HEI’s future periodic reports that discuss important factors that could cause HEI’s results to differ materially from those anticipated in such statements.  These forward-looking statements speak only as of the date of the report, presentation or filing in which they are made.  Except to the extent required by the federal securities laws, HEI, HECO, American and their subsidiaries undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

###

 



 

Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

 

 

Three months ended

 

Years ended

 

 

 

December 31,

 

December 31,

 

(in thousands, except per share amounts)

 

2012

 

2011

 

2012

 

2011

 

Revenues

 

 

 

 

 

 

 

 

 

Electric utility

 

$

769,182

 

$

784,363

 

$

3,109,439

 

$

2,978,690

 

Bank

 

68,970

 

66,676

 

265,539

 

264,407

 

Other

 

(5

)

(11

)

17

 

(762

)

Total revenues

 

838,147

 

851,028

 

3,374,995

 

3,242,335

 

Expenses

 

 

 

 

 

 

 

 

 

Electric utility

 

749,739

 

731,911

 

2,896,427

 

2,763,556

 

Bank

 

46,945

 

43,818

 

177,106

 

172,806

 

Other

 

4,191

 

7,129

 

17,266

 

16,277

 

Total expenses

 

800,875

 

782,858

 

3,090,799

 

2,952,639

 

Operating income (loss)

 

 

 

 

 

 

 

 

 

Electric utility

 

19,443

 

52,452

 

213,012

 

215,134

 

Bank

 

22,025

 

22,858

 

88,433

 

91,601

 

Other

 

(4,196

)

(7,140

)

(17,249

)

(17,039

)

Total operating income

 

37,272

 

68,170

 

284,196

 

289,696

 

Interest expense–other than on deposit liabilities and other bank borrowings

 

(19,393

)

(17,840

)

(78,151

)

(82,106

)

Allowance for borrowed funds used during construction

 

1,904

 

767

 

4,355

 

2,498

 

Allowance for equity funds used during construction

 

1,459

 

1,833

 

7,007

 

5,964

 

Income before income taxes

 

21,242

 

52,930

 

217,407

 

216,052

 

Income taxes

 

6,933

 

18,232

 

76,859

 

75,932

 

Net income

 

14,309

 

34,698

 

140,548

 

140,120

 

Preferred stock dividends of subsidiaries

 

473

 

473

 

1,890

 

1,890

 

Net income for common stock

 

$

13,836

 

$

34,225

 

$

138,658

 

$

138,230

 

Basic earnings per common share

 

$

0.14

 

$

0.36

 

$

1.43

 

$

1.45

 

Diluted earnings per common share

 

$

0.14

 

$

0.36

 

$

1.42

 

$

1.44

 

Dividends per common share

 

$

0.31

 

$

0.31

 

$

1.24

 

$

1.24

 

Weighted-average number of common shares outstanding

 

97,602

 

95,939

 

96,908

 

95,510

 

Adjusted weighted-average shares

 

97,970

 

96,199

 

97,338

 

95,820

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) for common stock by segment

 

 

 

 

 

 

 

 

 

Electric utility

 

$

4,225

 

$

25,814

 

$

99,276

 

$

99,986

 

Bank

 

14,363

 

15,340

 

58,637

 

59,843

 

Other

 

(4,752

)

(6,929

)

(19,255

)

(21,599

)

Net income for common stock

 

$

13,836

 

$

34,225

 

$

138,658

 

$

138,230

 

Comprehensive income attributable to common shareholders

 

$

3,103

 

$

21,750

 

$

131,372

 

$

131,565

 

Return on average common equity

 

 

 

 

 

8.9%

 

9.2%

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and HEI’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

7



 

Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries

CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

December 31

 

2012

 

2011

 

(dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

Cash and cash equivalents

 

$

219,662

 

$

270,265

 

Accounts receivable and unbilled revenues, net

 

362,823

 

344,322

 

Available-for-sale investment and mortgage-related securities

 

671,358

 

624,331

 

Investment in stock of Federal Home Loan Bank of Seattle

 

96,022

 

97,764

 

Loans receivable held for investment, net

 

3,737,233

 

3,642,818

 

Loans held for sale, at lower of cost or fair value

 

26,005

 

9,601

 

Property, plant and equipment, net of accumulated depreciation of $2,125,286 in 2012 and $2,049,821 in 2011

 

3,594,829

 

3,334,501

 

Regulatory assets

 

864,596

 

669,389

 

Other

 

494,414

 

519,296

 

Goodwill

 

82,190

 

82,190

 

Total assets

 

$

10,149,132

 

$

9,594,477

 

Liabilities and shareholders’ equity

 

 

 

 

 

Liabilities

 

 

 

 

 

Accounts payable

 

$

212,379

 

$

216,176

 

Interest and dividends payable

 

26,258

 

25,041

 

Deposit liabilities

 

4,229,916

 

4,070,032

 

Short-term borrowings—other than bank

 

83,693

 

68,821

 

Other bank borrowings

 

195,926

 

233,229

 

Long-term debt, net—other than bank

 

1,422,872

 

1,340,070

 

Deferred income taxes

 

439,329

 

354,051

 

Regulatory liabilities

 

322,074

 

315,466

 

Contributions in aid of construction

 

405,520

 

356,203

 

Retirement benefits liability

 

656,394

 

530,407

 

Other

 

526,613

 

521,982

 

Total liabilities

 

8,520,974

 

8,031,478

 

 

 

 

 

 

 

Preferred stock of subsidiaries - not subject to mandatory redemption

 

34,293

 

34,293

 

 

 

 

 

 

 

Shareholders’ equity

 

 

 

 

 

Preferred stock, no par value, authorized 10,000,000 shares; issued: none

 

-

 

-

 

Common stock, no par value, authorized 200,000,000 shares; issued and outstanding: 97,928,403 shares in 2012 and 96,038,328 shares in 2011

 

1,403,484

 

1,349,446

 

Retained earnings

 

216,804

 

198,397

 

Accumulated other comprehensive loss, net of tax benefits

 

(26,423

)

(19,137

)

Total shareholders’ equity

 

1,593,865

 

1,528,706

 

Total liabilities and shareholders’ equity

 

$

10,149,132

 

$

9,594,477

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and HEI’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

8



 

Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

Years ended December 31

 

2012

 

2011

 

(in thousands)

 

 

 

 

 

Cash flows from operating activities

 

 

 

 

 

Net income

 

$

 140,548

 

$

 140,120

 

Adjustments to reconcile net income to net cash provided by operating activities

 

 

 

 

 

Depreciation of property, plant and equipment

 

150,389

 

148,152

 

Other amortization

 

7,958

 

19,318

 

Provision for loan losses

 

12,883

 

15,009

 

Impairment of utility assets

 

40,000

 

9,215

 

Loans receivable originated and purchased, held for sale

 

(519,622)

 

(267,656)

 

Proceeds from sale of loans receivable, held for sale

 

513,000

 

273,932

 

Change in deferred income taxes

 

90,848

 

79,444

 

Change in excess tax benefits from share-based payment arrangements

 

(61)

 

35

 

Allowance for equity funds used during construction

 

(7,007)

 

(5,964)

 

Change in cash overdraft

 

-

 

(2,688)

 

Changes in assets and liabilities

 

 

 

 

 

Increase in accounts receivable and unbilled revenues, net

 

(18,501)

 

(77,326)

 

Decrease (increase) in fuel oil stock

 

10,129

 

(18,843)

 

Increase in regulatory assets

 

(72,401)

 

(40,132)

 

Decrease in accounts, interest and dividends payable

 

(39,738)

 

(34,480)

 

Change in prepaid and accrued income taxes and utility revenue taxes

 

21,079

 

73,153

 

Contributions to defined benefit pension and other postretirement benefit plans

 

(77,703)

 

(74,961)

 

Change in other assets and liabilities

 

(17,259)

 

14,038

 

Net cash provided by operating activities

 

234,542

 

250,366

 

Cash flows from investing activities

 

 

 

 

 

Available-for-sale investment and mortgage-related securities purchased

 

(243,633)

 

(361,876)

 

Principal repayments on available-for-sale investment and mortgage-related securities

 

191,253

 

389,906

 

Proceeds from sale of available-for-sale investment and mortgage-related securities

 

3,548

 

32,799

 

Net increase in loans held for investment

 

(112,730)

 

(181,080)

 

Proceeds from sale of real estate acquired in settlement of loans

 

11,336

 

8,020

 

Capital expenditures

 

(325,480)

 

(235,116)

 

Contributions in aid of construction

 

45,982

 

23,534

 

Other

 

2,677

 

(2,974)

 

Net cash used in investing activities

 

(427,047)

 

(326,787)

 

Cash flows from financing activities

 

 

 

 

 

Net increase in deposit liabilities

 

159,884

 

94,660

 

Net increase in short-term borrowings with original maturities of three months or less

 

14,872

 

43,898

 

Net increase (decrease) in retail repurchase agreements

 

(37,291)

 

10,910

 

Proceeds from other bank borrowings

 

5,000

 

-

 

Repayments of other bank borrowings

 

(5,000)

 

(15,000)

 

Proceeds from issuance of long-term debt

 

457,000

 

125,000

 

Repayment of long-term debt

 

(375,500)

 

(150,000)

 

Change in excess tax benefits from share-based payment arrangements

 

61

 

(35)

 

Net proceeds from issuance of common stock

 

23,613

 

15,979

 

Common stock dividends

 

(96,202)

 

(106,812)

 

Preferred stock dividends of subsidiaries

 

(1,890)

 

(1,890)

 

Other

 

(2,645)

 

(675)

 

Net cash provided by financing activities

 

141,902

 

16,035

 

Net decrease in cash and cash equivalents

 

(50,603)

 

(60,386)

 

Cash and cash equivalents, January 1

 

270,265

 

330,651

 

Cash and cash equivalents, December 31

 

$

 219,662

 

$

 270,265

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and HEI’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

9



 

Hawaiian Electric Company, Inc. (HECO) and Subsidiaries

CONSOLIDATED STATEMENTS OF INCOME

 

(Unaudited)

 

Three months ended

 

Years ended

 

 

 

December 31,

 

December 31,

 

(dollars in thousands, except per barrel amounts)

 

2012

 

2011

 

2012

 

2011

 

 

 

 

 

 

 

 

 

 

 

Operating revenues

 

  $

 767,172

 

$

 782,904

 

 $

3,101,998

 

$

2,973,764

 

Operating expenses

 

 

 

 

 

 

 

 

 

Fuel oil

 

311,343

 

339,650

 

1,297,419

 

1,265,126

 

Purchased power

 

184,400

 

181,473

 

724,240

 

689,652

 

Other operation

 

75,311

 

62,731

 

272,117

 

257,065

 

Maintenance

 

30,671

 

28,411

 

122,312

 

121,219

 

Depreciation

 

35,942

 

35,302

 

144,498

 

142,975

 

Taxes, other than income taxes

 

70,692

 

74,002

 

292,841

 

276,504

 

Income taxes

 

18,303

 

19,358

 

76,594

 

65,988

 

Total operating expenses

 

726,662

 

740,927

 

2,930,021

 

2,818,529

 

Operating income

 

40,510

 

41,977

 

171,977

 

155,235

 

Other income (deductions)

 

 

 

 

 

 

 

 

 

Allowance for equity funds used during construction

 

1,459

 

1,833

 

7,007

 

5,964

 

Impairment of assets

 

(40,000

)

(9,215)

 

(40,000

)

(9,215

)

Other, net

 

630

 

332

 

4,441

 

3,126

 

Income tax benefits

 

15,684

 

4,220

 

15,546

 

4,404

 

Total other income (deductions)

 

(22,227

)

(2,830)

 

(13,006

)

4,279

 

Interest and other charges

 

 

 

 

 

 

 

 

 

Interest on long-term debt

 

14,614

 

14,383

 

59,014

 

57,532

 

Amortization of net bond premium and expense

 

629

 

765

 

2,905

 

3,081

 

Other interest charges (credits)

 

220

 

(1,547)

 

136

 

(582

)

Allowance for borrowed funds used during construction

 

(1,904

)

(767)

 

(4,355

)

(2,498

)

Total interest and other charges

 

13,559

 

12,834

 

57,700

 

57,533

 

Net income

 

4,724

 

26,313

 

101,271

 

101,981

 

Preferred stock dividends of subsidiaries

 

229

 

229

 

915

 

915

 

Net income attributable to HECO

 

4,495

 

26,084

 

100,356

 

101,066

 

Preferred stock dividends of HECO

 

270

 

270

 

1,080

 

1,080

 

Net income for common stock

 

  $

 4,225

 

$

 25,814

 

 $

 99,276

 

$

 99,986

 

Comprehensive income attributable to common shareholder

 

  $

 3,058

 

$

 24,877

 

 $

 98,338

 

$

 99,245

 

OTHER ELECTRIC UTILITY INFORMATION

 

 

 

 

 

 

 

 

 

Kilowatthour sales (millions)

 

 

 

 

 

 

 

 

 

HECO

 

1,771

 

1,799

 

6,976

 

7,242

 

HELCO

 

275

 

276

 

1,085

 

1,104

 

MECO

 

290

 

293

 

1,145

 

1,181

 

 

 

2,336

 

2,368

 

9,206

 

9,527

 

Wet-bulb temperature (Oahu average; degrees Fahrenheit)

 

69.4

 

70.0

 

68.9

 

70.0

 

Cooling degree days (Oahu)

 

1,102

 

1,273

 

4,532

 

4,954

 

Average fuel oil cost per barrel

 

$133.37

 

$134.28

 

$138.09

 

$123.63

 

Return on average common equity (%) (simple average)

 

 

 

 

 

 

 

 

 

HECO

 

 

 

 

 

7.57

 

6.43

 

HELCO

 

 

 

 

 

5.90

 

9.68

 

MECO

 

 

 

 

 

5.44

 

7.73

 

HECO Consolidated

 

 

 

 

 

6.91

 

7.31

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto incorporated by reference in HECO’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and the consolidated financial statements and the notes thereto in HECO’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

10



 

Hawaiian Electric Company, Inc. (HECO) and Subsidiaries

CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

December 31

 

2012

 

2011

 

(dollars in thousands, except par value)

 

 

 

 

 

Assets

 

 

 

 

 

Utility plant, at cost

 

 

 

 

 

Land

 

$

 51,568

 

$

 51,514

 

Plant and equipment

 

5,364,400

 

5,052,027

 

Less accumulated depreciation

 

(2,040,789

)

(1,966,894

)

Construction in progress

 

151,378

 

138,838

 

Net utility plant

 

3,526,557

 

3,275,485

 

Current assets

 

 

 

 

 

Cash and cash equivalents

 

17,159

 

48,806

 

Customer accounts receivable, net

 

210,779

 

183,328

 

Accrued unbilled revenues, net

 

134,298

 

137,826

 

Other accounts receivable, net

 

28,176

 

8,623

 

Fuel oil stock, at average cost

 

161,419

 

171,548

 

Materials and supplies, at average cost

 

51,085

 

43,188

 

Prepayments and other

 

32,865

 

36,667

 

Regulatory assets

 

51,267

 

20,283

 

Total current assets

 

687,048

 

650,269

 

Other long-term assets

 

 

 

 

 

Regulatory assets

 

813,329

 

649,106

 

Unamortized debt expense

 

10,554

 

12,786

 

Other

 

71,305

 

86,361

 

Total other long-term assets

 

895,188

 

748,253

 

Total assets

 

$

 5,108,793

 

$

 4,674,007

 

Capitalization and liabilities

 

 

 

 

 

Capitalization

 

 

 

 

 

Common stock, $6 2/3 par value, authorized 50,000,000 shares; outstanding 14,665,264 in 2012 and 14,233,723 shares in 2011

 

$

 97,788

 

$

 94,911

 

Premium on capital stock

 

468,045

 

426,921

 

Retained earnings

 

907,273

 

881,041

 

Accumulated other comprehensive loss, net of tax benefits

 

(970

)

(32

)

Common stock equity

 

1,472,136

 

1,402,841

 

Cumulative preferred stock – not subject to mandatory redemption

 

34,293

 

34,293

 

Long-term debt, net

 

1,147,872

 

1,000,570

 

Total capitalization

 

2,654,301

 

2,437,704

 

Current liabilities

 

 

 

 

 

Current portion of long-term debt

 

-

 

57,500

 

Accounts payable

 

186,824

 

188,580

 

Interest and preferred dividends payable

 

21,092

 

19,483

 

Taxes accrued

 

251,066

 

230,076

 

Other

 

62,879

 

69,353

 

Total current liabilities

 

521,861

 

564,992

 

Deferred credits and other liabilities

 

 

 

 

 

Deferred income taxes

 

417,611

 

337,863

 

Regulatory liabilities

 

322,074

 

315,466

 

Unamortized tax credits

 

66,584

 

60,614

 

Retirement benefits liability

 

620,205

 

494,753

 

Other

 

100,637

 

106,412

 

Total deferred credits and other liabilities

 

1,527,111

 

1,315,108

 

Contributions in aid of construction

 

405,520

 

356,203

 

Total capitalization and liabilities

 

$

 5,108,793

 

$

 4,674,007

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto incorporated by reference in HECO’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and the consolidated financial statements and the notes thereto in HECO’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

11



 

Hawaiian Electric Company, Inc. (HECO) and Subsidiaries

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

Years ended December 31

 

2012

 

2011

 

(in thousands)

 

 

 

 

 

Cash flows from operating activities

 

 

 

 

 

Net income

 

$

 101,271

 

$

 101,981

 

Adjustments to reconcile net income to net cash provided by operating activities

 

 

 

 

 

Depreciation of property, plant and equipment

 

144,498

 

142,975

 

Other amortization

 

6,998

 

17,378

 

Impairment of assets

 

40,000

 

9,215

 

Change in deferred income taxes

 

86,878

 

69,091

 

Change in tax credits, net

 

6,075

 

2,087

 

Allowance for equity funds used during construction

 

(7,007

)

(5,964

)

Change in cash overdraft

 

-

 

(2,688

)

Changes in assets and liabilities

 

 

 

 

 

Increase in accounts receivable

 

(47,004

)

(44,404

)

Decrease (increase) in accrued unbilled revenues

 

3,528

 

(33,442

)

Decrease (increase) in fuel oil stock

 

10,129

 

(18,843

)

Increase in materials and supplies

 

(7,897

)

(6,471

)

Increase in regulatory assets

 

(72,401

)

(40,132

)

Decrease in accounts payable

 

(38,913

)

(35,815

)

Change in prepaid and accrued income taxes and utility revenue taxes

 

25,239

 

69,736

 

Contributions to defined benefit pension and other postretirement benefit plans

 

(63,075

)

(73,176

)

Change in other assets and liabilities

 

(11,088

)

9,866

 

Net cash provided by operating activities

 

177,231

 

161,394

 

Cash flows from investing activities

 

 

 

 

 

Capital expenditures

 

(310,091

)

(226,022

)

Contributions in aid of construction

 

45,982

 

23,534

 

Other

 

-

 

77

 

Net cash used in investing activities

 

(264,109

)

(202,411

)

Cash flows from financing activities

 

 

 

 

 

Common stock dividends

 

(73,044

)

(70,558

)

Preferred stock dividends of HECO and subsidiaries

 

(1,995

)

(1,995

)

Proceeds from issuance of common stock

 

44,000

 

40,000

 

Proceeds from issuance of long-term debt

 

457,000

 

-

 

Repayment of long-term debt

 

(368,500

)

-

 

Other

 

(2,230

)

(560

)

Net cash provided by (used in) financing activities

 

55,231

 

(33,113

)

Net decrease in cash and cash equivalents

 

(31,647

)

(74,130

)

Cash and cash equivalents, January 1

 

48,806

 

122,936

 

Cash and cash equivalents, December 31

 

$

 17,159

 

$

 48,806

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto incorporated by reference in HECO’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and the consolidated financial statements and the notes thereto in HECO’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

12



 

American Savings Bank, F.S.B.

STATEMENTS OF INCOME DATA

 

(Unaudited)

 

Three months ended

 

Years ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

December 31,

(in thousands)

 

2012

 

2012

 

2011

 

 

2012

 

2011

 

Interest income

 

 

 

 

 

 

 

 

 

 

 

 

Interest and fees on loans

 

  $

 42,816

 

  $

 43,880

 

  $

 46,500

 

 

$

176,057

 

$

 184,485

 

Interest on investment and mortgage-related securities

3,288

 

3,432

 

3,352

 

 

13,822

 

14,568

 

Total interest income

 

46,104

 

47,312

 

49,852

 

 

189,879

 

199,053

 

Interest expense

 

 

 

 

 

 

 

 

 

 

 

 

Interest on deposit liabilities

 

1,408

 

1,540

 

1,837

 

 

6,423

 

8,983

 

Interest on other borrowings

 

1,193

 

1,201

 

1,362

 

 

4,869

 

5,486

 

Total interest expense

 

2,601

 

2,741

 

3,199

 

 

11,292

 

14,469

 

Net interest income

 

43,503

 

44,571

 

46,653

 

 

178,587

 

184,584

 

Provision for loan losses

 

3,379

 

3,580

 

4,082

 

 

12,883

 

15,009

 

Net interest income after provision for loan losses

40,124

 

40,991

 

42,571

 

 

165,704

 

169,575

 

Noninterest income

 

 

 

 

 

 

 

 

 

 

 

 

Fees from other financial services

 

8,887

 

7,674

 

7,476

 

 

31,361

 

28,881

 

Fee income on deposit liabilities

 

4,648

 

4,527

 

4,486

 

 

17,775

 

18,026

 

Fee income on other financial products

 

1,836

 

1,660

 

1,364

 

 

6,577

 

6,704

 

Gain on sale of loans

 

6,331

 

4,077

 

2,760

 

 

14,628

 

5,028

 

Other income

 

1,164

 

1,346

 

738

 

 

5,319

 

6,715

 

Total noninterest income

 

22,866

 

19,284

 

16,824

 

 

75,660

 

65,354

 

Noninterest expense

 

 

 

 

 

 

 

 

 

 

 

 

Compensation and employee benefits

 

19,953

 

18,684

 

17,820

 

 

75,979

 

71,137

 

Occupancy

 

4,313

 

4,400

 

4,313

 

 

17,179

 

17,154

 

Data processing

 

2,854

 

2,644

 

1,676

 

 

10,098

 

8,155

 

Services

 

2,800

 

3,062

 

1,990

 

 

9,866

 

7,396

 

Equipment

 

1,806

 

1,762

 

1,762

 

 

7,105

 

6,903

 

Other expense

 

9,207

 

8,096

 

8,997

 

 

32,116

 

32,648

 

Total noninterest expense

 

40,933

 

38,648

 

36,558

 

 

152,343

 

143,393

 

Income before income taxes

 

22,057

 

21,627

 

22,837

 

 

89,021

 

91,536

 

Income taxes

 

7,694

 

7,419

 

7,497

 

 

30,384

 

31,693

 

Net income

 

  $

 14,363

 

  $

 14,208

 

  $

 15,340

 

 

$

 58,637

 

$

 59,843

 

Comprehensive income

 

  $

 5,740

 

  $

 15,517

 

  $

 7,400

 

 

$

 52,612

 

$

 56,760

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OTHER BANK INFORMATION (annualized %, except as of period end)

 

 

 

 

 

 

 

 

Return on average assets

 

1.15

 

1.15

 

1.26

 

 

1.18

 

1.23

 

Return on average equity

 

11.29

 

11.24

 

12.24

 

 

11.68

 

11.99

 

Return on average tangible common equity

 

13.47

 

13.41

 

14.65

 

 

13.97

 

14.35

 

Net interest margin

 

3.81

 

3.92

 

4.16

 

 

3.93

 

4.12

 

Net charge-offs to average loans outstanding

 

0.13

 

0.35

 

0.48

 

 

0.24

 

0.49

 

Efficiency ratio

 

61

 

60

 

57

 

 

59

 

57

 

As of period end

 

 

 

 

 

 

 

 

 

 

 

 

Nonperforming assets to loans outstanding and real estate owned **

 

1.87

 

1.73

 

2.01

 

 

 

 

 

 

Allowance for loan losses to loans outstanding

 

1.11

 

1.06

 

1.03

 

 

 

 

 

 

Leverage ratio *

 

9.1

 

9.3

 

9.0

 

 

 

 

 

 

Total risk-based capital ratio *

 

12.8

 

12.9

 

12.9

 

 

 

 

 

 

Tangible common equity to total assets

 

8.39

 

8.72

 

8.42

 

 

 

 

 

 

Dividend paid to HEI (via ASHI) ($ in millions) **

 

15

 

10

 

20

 

 

45

 

63

 

* Regulatory basis

 

 

 

 

 

 

 

 

 

 

 

 

** Fourth quarter 2011 includes noncash dividends of $5 million.

 

 

 

 

 

 

 

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and HEI’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

13



 

American Savings Bank, F.S.B.

BALANCE SHEETS DATA

(Unaudited)

 

December 31

 

2012

 

2011

 

(in thousands)

 

 

 

 

 

Assets

 

 

 

 

 

Cash and cash equivalents

 

$

184,430

 

$

219,678

 

Available-for-sale investment and mortgage-related securities

 

671,358

 

624,331

 

Investment in stock of Federal Home Loan Bank of Seattle

 

96,022

 

97,764

 

Loans receivable held for investment

 

3,779,218

 

3,680,724

 

Allowance for loan losses

 

(41,985

)

(37,906

)

Loans receivable held for investment, net

 

3,737,233

 

3,642,818

 

Loans held for sale, at lower of cost or fair value

 

26,005

 

9,601

 

Other

 

244,435

 

233,592

 

Goodwill

 

82,190

 

82,190

 

Total assets

 

$

5,041,673

 

$

4,909,974

 

 

 

 

 

 

 

Liabilities and shareholder’s equity

 

 

 

 

 

Deposit liabilities–noninterest-bearing

 

$

1,164,308

 

$

993,828

 

Deposit liabilities–interest-bearing

 

3,065,608

 

3,076,204

 

Other borrowings

 

195,926

 

233,229

 

Other

 

117,752

 

118,078

 

Total liabilities

 

4,543,594

 

4,421,339

 

 

 

 

 

 

 

Common stock

 

333,712

 

331,880

 

Retained earnings

 

179,763

 

166,126

 

Accumulated other comprehensive loss, net of tax benefits

 

(15,396

)

(9,371

)

Total shareholder’s equity

 

498,079

 

488,635

 

Total liabilities and shareholder’s equity

 

$

5,041,673

 

$

4,909,974

 

 

This information should be read in conjunction with the consolidated financial statements and the notes thereto in HEI’s Annual Report on SEC Form 10-K for the year ended December 31, 2012 (when filed) and HEI’s Quarterly Reports on SEC Form 10-Q for the quarters ended March 31, 2012, June 30, 2012 and September 30, 2012, as updated by SEC Forms 8-K.

 

14



 

Hawaiian Electric Industries, Inc. (HEI) and Subsidiaries

RECONCILIATION OF GAAP1 TO NON-GAAP MEASURES

(Unaudited)

 

 

 

Net Income

 

Diluted Earnings Per Share (EPS)

 

Shareholders’ Equity

 

 

 

Three months ended

 

Years ended

 

Three months ended

 

Years ended

 

Years ended

 

 

 

December 31,

 

December 31,

 

December 31,

 

December 31,

 

December 31,

 

(in millions, except EPS amounts)

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP (As Reported)

 

$

13.8

 

$

34.2

 

$

138.7

 

$

138.2

 

$

0.14

 

$

0.36

 

$

1.42

 

$

1.44

 

$

1,593.9

 

$

1,528.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Excluding Special Items:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Settlement agreement, subject to PUC approval, for the partial writedown of certain utility regulated assets

 

24.4

 

-

 

24.4

 

-

 

0.25

 

-

 

0.25

 

-

 

24.4

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Settlement agreement for the partial writedown of the East Oahu Transmission Project (EOTP) Phase I costs

 

-

 

5.7

 

-

 

5.7

 

-

 

0.06

 

-

 

0.06

 

-

 

5.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP (Core)

 

$

38.3

 

$

39.9

 

$

163.1

 

$

143.9

 

$

0.39

 

$

0.42

 

$

1.68

 

$

1.50

 

$

1,618.3

 

$

1,534.4

 

 

Note:  Columns may not foot due to rounding

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Years ended

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2012

 

2011

 

Other Measures:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Shareholders’ Equity (Simple Average):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Based on GAAP

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,561.3

 

$

1,504.6

 

Non-GAAP (Core)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,576.4

 

$

1,507.4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on Average Common Equity (ROE) (Simple Average):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Based on GAAP

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8.9%

 

9.2%

 

Non-GAAP (Core)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

10.3%

 

9.5%

 

 

1  Generally Accepted Accounting Principles

 

15



 

Hawaiian Electric Company, Inc. (HECO) and Subsidiaries

RECONCILIATION OF GAAP TO NON-GAAP MEASURES

(Unaudited)

 

 

 

Net Income

 

Common Stock Equity

 

 

 

Three months ended

 

Years ended

 

Years ended

 

 

 

December 31,

 

December 31,

 

December 31,

 

(in millions)

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP (As Reported)

 

$

4.2

 

$

25.8

 

$

99.3

 

$

100.0

 

$

1,472.1

 

$

1,402.8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Excluding Special Items:

 

 

 

 

 

 

 

 

 

 

 

 

 

Settlement agreement, subject to PUC approval, for the partial writedown of certain utility regulated assets

 

24.4

 

-

 

24.4

 

-

 

24.4

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Settlement agreement for the partial writedown of the EOTP Phase I costs

 

-

 

5.7

 

-

 

5.7

 

-

 

5.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP (Core)

 

$

28.7

 

$

31.5

 

$

123.7

 

$

105.7

 

$

1,496.6

 

$

1,408.5

 

 

Note:  Columns may not foot due to rounding

 

 

 

 

 

 

 

 

 

 

 

Years ended
December 31,

 

 

 

 

 

 

 

 

 

 

2012

 

2011

Other Measures:

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Common Equity (Simple Average)

 

 

 

 

 

 

 

 

 

 

 

 

 

Based on GAAP

 

 

 

 

 

 

 

 

 

$

1,437.5

 

$

1,368.5

 

Non-GAAP (Core)

 

 

 

 

 

 

 

 

 

$

1,452.6

 

$

1,371.4

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on Average Common Equity (ROE) (Simple Average):

 

 

 

 

 

 

 

 

 

 

 

Based on GAAP

 

 

 

 

 

 

 

 

 

6.9%

 

7.3%

 

Non-GAAP (Core)

 

 

 

 

 

 

 

 

 

8.5%

 

7.7%

 

 

 

 

Hawaiian Electric Company, Inc. (HECO, Oahu)

 

Hawaii Electric Light Company, Inc. (HELCO)

 

Maui Electric Company, Limited (MECO)

 

 

 

Net Income

 

Common Stock Equity

 

Net Income

 

Common Stock Equity

 

Net Income

 

Common Stock Equity

 

 

 

Years ended

 

Years ended

 

Years ended

 

Years ended

 

Years ended

 

Years ended

 

 

 

December 31,

 

December 31,

 

December 31,

 

December 31,

 

December 31,

 

December 31,

 

(in millions)

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

2012

 

2011

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP (As Reported)

 

$

70.4

 

$

55.4

 

$

974.2

 

$

886.7

 

$

16.2

 

$

26.7

 

$

268.9

 

$

280.5

 

$

12.6

 

$

18.0

 

$

228.9

 

$

235.6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Excluding Special Items:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Settlement agreement, subject to PUC approval, for the partial writedown of certain utility regulated assets

 

17.7

 

-

 

17.7

 

-

 

3.4

 

-

 

3.4

 

-

 

3.4

 

-

 

3.4

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Settlement agreement for the partial writedown of the EOTP Phase I costs

 

-

 

5.7

 

-

 

5.7

 

-

 

-

 

-

 

-

 

-

 

-

 

-

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP (Core)

 

$

88.2

 

$

61.1

 

$

991.9

 

$

892.4

 

$

19.6

 

$

26.7

 

$

272.3

 

$

280.5

 

$

16.0

 

$

18.0

 

$

232.3

 

$

235.6

 

 

Note:  Columns may not foot due to rounding

 

 

 

 

 

 

 

Years ended
December 31,

 

 

 

 

 

Years ended
December 31,

 

 

 

 

 

Years ended
December 31,

 

 

 

 

 

 

 

2012

 

2011

 

 

 

 

 

2012

 

2011

 

 

 

 

 

2012

 

2011

 

Other Measures:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Common Equity (Simple Average)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Based on GAAP

 

 

 

 

 

$

930.4

 

$

860.6

 

 

 

 

 

$

274.7

 

$

275.2

 

 

 

 

 

$

232.2

 

$

232.6

 

Non-GAAP (Core)

 

 

 

 

 

$

942.2

 

$

863.4

 

 

 

 

 

$

276.4

 

$

275.2

 

 

 

 

 

$

233.9

 

$

232.6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on Average Common Equity (ROE) (Simple Average):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Based on GAAP

 

 

 

 

 

7.6%