Printer Friendly

ATLANTIC ENERGY ANNOUNCES 1991 RESULTS

 ATLANTIC ENERGY ANNOUNCES 1991 RESULTS
 PLEASANTVILLE, N.J., Jan. 27 /PRNewswire/ -- J.G. Salomone, chief


financial officer of Atlantic Energy, Inc. (NYSE: ATE) today announced consolidated financial results for the 12 months and fourth quarter ended Dec. 31, 1991.
 Atlantic Energy, Inc. is the parent company of Atlantic City Electric Company (ACE), its primary subsidiary; and Atlantic Energy Technology, Inc. (AET); Atlantic Generation, Inc. (AGI); Atlantic Southern Properties, Inc. (ASP); and ATE Investment, Inc. (ATE).
 Salomone said, "Earnings per share were $3.49, a significant improvement over the $3.02 per share reported in 1990, with 7.5 percent more average shares of Common Stock outstanding in 1991. There are two principal reasons why we had a better year, both of which relate to the electric company. In July the New Jersey Board of Regulatory Commissioners (BRC) granted us a $50 million increase in base rates right at the start of our peak summer sales season, which turned out to be the hottest summer on record at the Jersey shore." In the order granting the rate increase, the BRC approved an overall rate of return of 10.52 percent and a return on common equity of 12.50 percent.
 "Earnings were negatively affected by the nonutility business which, overall, recorded losses amounting to $.22 per share. Most of that, about $.15 per share, was for provisions made in the fourth quarter of 1991 by AGI, the company's nonutility generation subsidiary," said Salomone. "These provisions were a result of one-time writedowns of certain small cogeneration projects, of which AGI's share was $5 million. These projects are expected to be sold, and will permit AGI to focus on development of larger projects," Salomone stated.
 Total energy sales recorded by ACE for the 12 months ended Dec. 31, 1991, increased 2.3 percent to 7935.6 billion kilowatt-hours. Energy sales to Residential customers increased 3.1 percent from the prior period, reflecting warmer weather in the 1991 cooling season and a modest increase in the average number of Residential customers. Sales to Commercial customers increased 2.8 percent as a result of a slight increase in the number of customers and higher average use per customer. Sales to Industrial & Other customers decreased slightly. Salomone reported that "only 4,100 new customers were added to ACE's system in 1991, which is the lowest level of new customer additions in recent history."
 Total consolidated operating revenues for the 12 months ended Dec. 31, 1991, increased to $778.0 million from $716.8 million for the prior 12-month period. Net income totaled $85.6 million compared with $68.9 million for the prior period.
 Operations expense, including increased purchased power costs, totaled $221.7 million and were 16 percent higher in the current 12-month period. Federal Income Tax expense increased 35 percent to $36.2 million as a result of higher net income in the current period. Depreciation expense increased 6.2 percent to $66 million and reflects the effects of increased amounts of electric plant in service. Preferred Stock dividend requirements of ACE increased 52 percent to $16.4 million, reflecting the issuance of new series of Preferred Stock.
 Total consolidated operating revenues for the fourth quarter ended Dec. 31, 1991, increased to $181 million compared with $166 million for the fourth quarter of 1990. Net income amounted to $11.7 million compared with $3.3 million for the prior period. Earnings per share amounted to $.46, compared with $.15 in the prior period. Salomone stated that "the major factors associated with the change in fourth quarter earnings were the effects of higher base rates in the current period, offset by the provisions for nonutility writedowns by AGI."
 Total energy sales recorded by ACE for the fourth quarter ended Dec. 31, 1991, decreased less than 1 percent to 1782.2 billion kilowatt- hours. Sales to Residential customers increased 2.5 percent, primarily as a result of higher average use per Residential customer during the current three month period. Sales to Commercial customers were virtually unchanged. Sales to Industrial & Other customers decreased 9.2 percent from the prior period, reflecting the installation and equipment.
 ATLANTIC ENERGY, INC.
 (Unaudited; dollar amounts in millions, except per-share data)
 Periods ended 12 months Pct. Three months Pct.
 Dec. 31 1991 1990 Chg. 1991 1990 Chg.
 Energy sales
 (million kwh) 7,936 7,757 2.3 1,782 1,792 (.6)
 Operating revenues $778.0 $716.8 8.5 $181.0 $166.0 9.0
 Net income 85.6 68.9 24.2 11.7 3.3 254.5
 Average shares
 outstanding (000s) 24,504 22,795 7.5 25,416 22,946 10.8
 Earnings per share $3.49 $3.02 15.6 $.46 $.15 206.7
 Return on end of
 period common
 equity (pct.) 11.34 10.43 -- -- -- --
 /delval/
 -0- 1/27/92
 /CONTACT: Lois F. Jennings, 609-645-4247, or evenings, 609-794-3141, or Robert K. Marshall, 609-645-4655, or evenings, 609-653-4421, both of Atlantic Energy/
 (ATE) CO: Atlantic Energy, Inc. ST: New Jersey IN: UTI SU: ERN


MP-SF -- PH002 -- 3542 01/27/92 08:51 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jan 27, 1992
Words:845
Previous Article:New ITALIAN WINE LAW APPROVED BY THE ITALIAN PARLIAMENT (Industry Overview)
Next Article:SILICON GRAPHICS EXPANDS IRIS INDIGO FAMILY FEATURE-RICH MODELS CREATE NEW CLASS OF DESKTOP GRAPHICS COMPUTER
Topics:


Related Articles
ATLANTIC ENERGY ANNOUNCES 1991 RESULTS.
ATLANTIC ENERGY ANNOUNCES JUNE 1992 RESULTS
ATLANTIC ENERGY, INC. ANNOUNCES SEPTEMBER 1992 RESULTS
ATLANTIC ENERGY, INC. ANNOUNCES MARCH 1993 RESULTS
ATLANTIC ENERGY, INC. ANNOUNCES JUNE 1993 RESULTS
ATLANTIC ENERGY ANNOUNCES 1994 RESULTS
EARNINGS BRIEF: ATLANTIC ENERGY ANNOUNCES MARCH 1995 RESULTS
EARNINGS BRIEF; ATLANTIC ENERGY ANNOUNCES YEAR-END 1995 RESULTS
ATLANTIC ENERGY ANNOUNCES FIRST QUARTER 1996 RESULTS
ATLANTIC ENERGY ANNOUNCES SECOND QUARTER 1996 RESULTS

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters