CINergy Corp. releases 1994 earnings.CINCINNATI--(BUSINESS WIRE)--Jan. 26, 1995--CINergy Corp. (NYSE NYSE See: New York Stock Exchange :CIN CIN cervical intraepithelial neoplasia. Cervical intraepithelial neoplasia (CIN) A term used to categorize degrees of dysplasia arising in the epithelium, or outer layer, of the cervix. ), the parent company of The Cincinnati Cincinnati (sĭnsənăt`ē, –năt`ə), city (1990 pop. 364,040), seat of Hamilton co., extreme SW Ohio, on the Ohio River opposite Newport and Covington, Ky.; inc. as a city 1819. Gas & Electric Co. and PSI Energy Inc., today announced 1994 consolidated earnings of $1.30 per share compared with $.43 per share in 1993. The 1994 earnings reflect write-offs totalling $61 million, net of taxes, or $.41 per share, primarily for merger-related costs, such as transaction costs Transaction Costs Costs incurred when buying or selling securities. These include brokers' commissions and spreads (the difference between the price the dealer paid for a security and the price they can sell it). and the costs of the voluntary workforce reduction program attributable to CG&E's electric operations, and other costs that cannot be recovered from customers due to rate settlements related to securing support for the merger. Of the total write-offs, $46 million, or $.31 per share, was taken in the fourth quarter. Additionally, 1994 earnings were adversely impacted by $.14 per share due to milder than normal weather conditions. Earnings for 1993 reflected a fourth quarter write-off Write-Off A reduction in the value of an asset or earnings by the amount of an expense or loss. Companies are able to write off certain expenses that are required to run the business, or have been incurred in the operation of the business and detract from retained revenues. of $223 million, net of taxes, or $1.55 per share, of certain costs associated with the Wm. H. Zimmer Generating Station and $16 million, net of taxes, or $.11 per share, for defense of the hostile takeover Hostile Takeover A takeover attempt that is strongly resisted by the target firm. Notes: Hostile takeovers are usually bad news, as the employee moral of the target firm can quickly turn to animosity against the acquiring firm. attempt. Earnings in 1994, excluding the non-recurring charges, were $252 million, or $1.71 per share, down from $301 million, or $2.09 per share, in 1993. The decrease is primarily attributable to the delay in the pending PSI Energy rate case before the Indiana Indiana, state, United States Indiana, midwestern state in the N central United States. It is bordered by Lake Michigan and the state of Michigan (N), Ohio (E), Kentucky, across the Ohio R. (S), and Illinois (W). Utility Regulatory Commission, a rate reduction associated with settlement of a 1990 PSI Energy rate order and mild weather in the third and fourth quarters affecting sales of gas and electricity. A settlement of PSI's pending rate case is awaiting approval of the IURC IURC Indiana Utility Regulatory Commission . The agreement calls for a 4.2 percent overall increase in rates and an 11.9 percent return on common equity. In addition, financial incentives to achieve or exceed merger savings projections provide an opportunity to earn up to 13.25 percent until the company's next rate order. If approved by the IURC, the new rates could take effect as early as mid-February n. 1. the middle part of February. Noun 1. mid-February - the middle part of February period, period of time, time period - an amount of time; "a time period of 30 years"; "hastened the period of time of his recovery"; "Picasso's blue . ``With the completion of the merger and settlement of PSI Energy's rate case, we have been able to get major uncertainties behind us,'' said James E. Rogers, vice chairman, president and chief operating officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. of CINergy. ``We are now moving forward in 1995 to create the value for shareholders and customers that CINergy will bring.'' Excluding non-recurring charges, fourth quarter 1994 earnings were $31 million compared with $73 million for the fourth quarter a year ago. The decrease is attributable to the delay in the PSI Energy rate case, the rate reduction from the 1990 PSI Energy rate order settlement, and extremely mild weather in the quarter. Following are summaries of CINergy's unaudited consolidated financial information for the 12 month period ended Dec. 31 and the fourth quarter. The figures assume the companies were combined during the entire period. -0-
CINergy Corp.
(Rounded to thousands)
12 Mo. ended 12/31 1994 1993 ______________________________ ______________ ______________ Revenues $2,924,177 $2,840,108 Earnings on Common Shares $ 191,142 $ 62,547(a) Earnings Per Share $ 1.30 $ .43 Av. Shares Outstanding 147,426 144,226 Fourth Quarter 1994 1993 ______________________________ ______________ ______________ Revenues $ 693,380 $ 762,912 Earnings (loss) on Common Shares ($ 14,664) ($ 152,745)(a) Earnings (loss) Per Share ($ 0.10) ($ 1.05) Av. Shares Outstanding 150,264 145,018 (a) Reflects the write-off of a portion of Zimmer Station of $223 million, net of tax. CONTACT: CINergy Corp. Media - Steve Brash brash (brash) heartburn. water brash heartburn with regurgitation of sour fluid or almost tasteless saliva into the mouth. , 513/287-2226 (w) 513/231-6895 (h) Angeline Protogere, 317/838-1338 (w) 317/298-3090 (h) Investor - Renae Conley, 317/838-1157 |
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