15 Percent Increase in Operating Earnings Per Share Highlights PG&E Corporation 1999 Financial Results.Business Editors SAN FRANCISCO--(BUSINESS WIRE)--March 2, 2000 PG&E Corporation -- PG&E Corporation posts 1999 operating earnings Operating Earnings Profits after subtracting expenses such as marketing, cost of goods sold, administration and general operating costs from revenue. Notes: Tax and interest expenses are not subtracted - operating earnings are synonymous with EBIT (earnings before of $2.24 per share, or a 15 percent increase over 1998. -- PG&E Corp. posts record operating revenue operating revenue Revenue from any regular source. Revenue from sales is adjusted for discounts and returns when calculating operating revenue. Compare other revenue. of $20.8 billion, an increase of 6 percent over 1998 operating revenue. -- PG&E Corp. operating earnings rise to $826 million, an 11 percent increase over 1998 results. -- PG&E National Energy Group records operating earnings of $0.17 per share, an increase of 42 percent over 1998. -- Utility unit Pacific Gas and Electric Company
The Pacific Gas and Electric Company (PG&E) , (NYSE: PCG), is the utility that provides natural gas and electricity to most of Northern California. posts operating earnings of $2.07, an increase of 14 percent over 1998. PG&E Corporation (NYSE NYSE See: New York Stock Exchange :PCG PCG phonocardiogram. ) today reported that 1999 operating earnings per share increased by 15 percent to $2.24 per share from 1998 levels of $1.94 per share. The Corporation attributed these results to strong performance in both its National Energy Group, which contributed $0.17 per share, an increase of 42 percent over 1998, and its Pacific Gas and Electric Company utility unit, which contributed $2.07 per share, an increase of 14 percent over 1998. Fourth quarter 1999 operating earnings per share were $0.81, a 59 percent increase over 1998 fourth quarter earnings per share results of $0.51. The Corporation reported overall earnings for 1999 of ($0.20) per share, or a loss of $71 million due to the pending sale of its Texas-based natural gas business and its retail energy services unit. (See footnote Text that appears at the bottom of a page that adds explanation. It is often used to give credit to the source of information. When accumulated and printed at the end of a document, they are called "endnotes." for one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. gains and charges recorded during the fourth quarter of 1999.) PG&E Corp.'s National Energy Group reported record revenues of $11.592 billion. This represents an increase of nine percent over 1998 revenues of $10.653 billion. "1999 marked a year both of growth and positioning for the future for our National Energy Group. It achieved 42 percent growth in operating earnings, continued to build its strong national portfolio of generating projects, and took action to eliminate future earnings drag drag Force exerted by a fluid stream on any obstacle in its path or felt by an object moving through a fluid. Its magnitude and how it may be reduced are important to designers of moving vehicles, ships, suspension bridges, cooling towers, and other structures. from under-performing businesses," said Robert Robert, Henry Martyn 1837-1923. American army engineer and parliamentary authority. He designed the defenses for Washington, D.C., during the Civil War and later wrote Robert's Rules of Order (1876). Noun 1. D. Glynn Glynn (Irish: An Gleann) is a quiet rural village on the outskirts of Larne, County Antrim, Northern Ireland. It had a population of 641 people in the 2001 Census. It is in the Larne Borough Council area. , Jr., Chairman, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , and President of PG&E Corporation. "This strong performance makes clear the future growth potential of this unit. "The transaction to sell our Texas natural gas business is immediately accretive to earnings. It enables our management team to focus increased financial and human resources The fancy word for "people." The human resources department within an organization, years ago known as the "personnel department," manages the administrative aspects of the employees. on further expanding our competitive generation business and on maximizing the value from our energy commodity trading and natural gas units." The Corporation noted that other factors driving the unit's performance included ongoing competitive generation portfolio management activities and continued superior operational and financial performance of its Northwest For names and places containing the slightly longer word 'northwestern' (or variants), see . Northwest or north west is the ordinal direction halfway between north and west on a compass. It is the opposite of southeast. natural gas transmission assets. The Corporation's utility unit, Pacific Gas and Electric Company, posted 1999 operating revenue of $9.228 billion, compared to 1998 operating revenue of $8.924 billion, a 3.4 percent increase. Utility earnings in the fourth quarter reflect the full revenues from the unit's 1999 General Rate Case, approved on February February: see month. 17, 2000. "While the decision in Pacific Gas and Electric Company's General Rate Case resolves a significant uncertainty regarding its future revenues," said Glynn, "the unit continued to earn below its authorized au·thor·ize tr.v. au·thor·ized, au·thor·iz·ing, au·thor·iz·es 1. To grant authority or power to. 2. To give permission for; sanction: rate of return on its distribution and transmission business in 1999. But its strong focus on operational excellence, highlighted by a record seventh consecutive Institute of Nuclear Power Operations The Institute of Nuclear Power Operations (INPO) is an organization established by the U.S. nuclear power industry in response to recommendations by the Kemeny Commission Report [1], following the investigation of the Three Mile Island Unit 2 event [2] Number 1 rating for the Diablo di·ab·lo adj. Diable. [Alteration (influenced by Spanish diablo, devil) of diable.] Canyon canyon Very narrow, deep valley cut by a river through resistant rock and having steep, almost vertical sides. Canyons occur most often in arid or semiarid regions. Some canyons (e.g., the Grand Canyon) are spectacular natural features. See also submarine canyon. Nuclear Plant, and continued focus on cost management, give it the ability to earn its authorized return on equity going forward." Customers of PG&E Corporation's utility unit also saw improved levels of service with an average 12 percent reduction in power outages This is a list of famous wide-scale power outages. 1965
"We are very pleased with our operating performance for 1999," said Glynn. "We look forward to the year ahead as we continue to deliver strong operating performance and build shareholder value in 2000 and beyond." PG&E Corporation, with revenues of more than $20 billion and operations in 27 states, markets energy services and products throughout North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. through its National Energy Group. PG&E Corporation's businesses also include Pacific Gas and Electric Company, the Northern and Central California Central California can refer to one of several divisions or regions of the U.S state of California:
Footnote On One-Time Gains And Charges The Corporation's 1999 annual earnings include net charges of ($2.44). One-time gains and charges for the year include: a write-down Write-Down Reducing the book value of an asset because it is overvalued compared to the market value. Notes: This is usually reflected in the company's income statement as an expense, thereby reducing net income. of ($2.42) related to the sale of the Corporation's Texas natural gas liquids and natural gas pipeline business; a revised assessment of legal contingencies Contingencies (ISSN 1048-9851) is the bimonthly magazine of the American Academy of Actuaries, providing a large and diverse readership with general interest and technical articles on a wide range of issues related to the actuarial profession. related to its Texas natural gas operations reduced the recorded liability for these matters and resulted in a one-time gain of $0.10; charges of ($0.16) per share related to the sale of its retail energy services unit, PG&E Energy Services; a one-time gain of $0.03 associated with a change in accounting method; and a $0.01 net gain relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc other items.
PG&E CORPORATION
CONDENSED STATEMENT OF CONSOLIDATED INCOME
(unaudited)
Three months ended Twelve months ended
December 31, December 31,
------------------ -------------------
1999 1998 1999 1998
---- ---- ---- ----
(in millions, except
per share amounts)
Operating Revenues
Pacific Gas and
Electric Company $ 2,323 $ 2,218 $ 9,228 $ 8,924
National Energy Group
PG&E Generating 304 295 1,122 649
PG&E Gas Transmission
-Texas 178 451 1,148 1,941
-Northwest 58 60 224 237
PG&E Energy Trading 2,376 2,516 10,521 8,509
Eliminations and Other (444) (176) (1,423) (683)
Total operating ----- ----- ------ ------
revenues 4,795 5,364 20,820 19,577
----- ----- ------ ------
Operating Expenses
Cost of energy for
Pacific Gas and
Electric Company 966 960 3,149 2,942
Cost of energy
--National Energy Group 2,172 2,911 10,587 9,852
Operating expenses,
including depreciation 2,236 1,008 6,206 4,685
Total operating ----- ----- ------ ------
expenses 5,374 4,879 19,942 17,479
----- ----- ------ ------
Operating Income (579) 485 878 2,098
Interest expense
and other (115) (157) (617) (716)
Income Before ----- ----- ----- -----
Income Taxes (694) 328 261 1,382
----- ----- ----- -----
Income taxes (147) 120 248 611
----- ----- ----- -----
Income before
discontinued
operations and
cumulative
effect of a change in
accounting principle (547) 208 13 771
----- ----- ----- -----
Discontinued operations
Loss from operations
of PG&E Energy Services
(net of applicable income
taxes of $9 million,
$14 million, $35 million,
and $41 million,
respectively) (6) (12) (40) (52)
Loss on disposal of
PG&E Energy Services
(net of applicable
income taxes
of $36 million) (58) -- (58) --
Net income (loss) before
cumulative effect
of a change in ----- ----- ----- -----
accounting principle (611) 196 (85) 719
Cumulative effect
of a change in an
accounting principle
(net of applicable
income taxes
of $8 million) -- -- 12 --
----- ----- ----- -----
Net Income (Loss) $ (611) $ 196 $ (73) $ 719
----- ----- ----- -----
----- ----- ----- -----
Weighted Average
Common Shares Outstanding 366 383 368 382
Earnings (Loss) Per
Common Share, Basic
and Diluted
Income from continuing
operations (1.49) $ 0.54 $ 0.04 $ 2.02
Discontinued operations (0.18) (0.03) (0.27) (0.14)
Cumulative effect of a
change in an accounting
principle -- -- 0.03 --
Net income (loss) $ (1.67) $ 0.51 $ (0.20) $ 1.88
Dividends Declared
Per Common Share $ 0.30 $ 0.30 $ 1.20 $ 1.20
Earnings per share from continuing operations for PG&E Corporation's
lines of business are as follows:
Three months ended Twelve months ended
December 31, December 31,
------------------ -------------------
1999 1998 1999 1998
---- ---- ---- ----
Utility
Pacific Gas and
Electric Company $ 0.72 $ 0.45 2.07 $ 1.82
National Energy Group
PG&E Generating 0.06 0.09 0.26 0.28
PG&E Gas Transmission
-Texas (2.34) (0.05) (2.43) (0.18)
-Northwest 0.06 0.05 0.18 0.17
PG&E Energy Trading (0.04) (0.02) (0.09) (0.02)
Eliminations and Other 0.05 0.02 0.05 (0.05)
Subtotal - National ------ ------ ------ ------
Energy Group (2.21) 0.09 (2.03) 0.20
------ ------ ------ ------
Total $ (1.49) $ 0.54 $ 0.04 $ 2.02
------ ------ ------ ------
------ ------ ------ ------
Note to Editors: Please do not use "Pacific Gas and Electric" or "PG&E" when referring to PG&E Corporation or its National Energy Group. The PG&E National Energy Group is not the same company as Pacific Gas and Electric Company, the utility, and is not regulated reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. by the California Public Utilities Commission The California Public Utilities Commission (CPUC; also often commonly referred to as simply the PUC) [1] is a state Public Utilities Commission which regulates privately-owned utilities in the state of California, including electric power, . Customers of Pacific Gas and Electric Company do not have to buy products or services from the National Energy Group in order to continue to receive quality regulated services from Pacific Gas and Electric Company. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion