Cinergy Announces Second Quarter Earnings.CINCINNATI--(BUSINESS WIRE)--July 24, 1997--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. ), 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 Company and PSI Energy, Inc., announced today that earnings for the second quarter of 1997 were $.35 per share, the same as the second quarter of 1996, largely because of unusually mild weather during the quarter. For the second quarter of 1997, net income was $55.5 million compared with $56 million in the second quarter a year ago, which included a 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 $17.4 million, or $.07 per share, for voluntary workforce reduction programs. Higher earnings in 1997 from rate increases and savings from the workforce reduction programs were more than offset by the reduction in retail kwh sales from the unusually mild weather during the second quarter. This May was the third coldest on record in the company's service area, and 1997 set a record for the number of days before reaching a temperature of 90 degrees. "While we have experienced weather impacts on earnings as have other energy services companies, continued growth in the region and our ability to control costs helped mitigate mit·i·gate v. To moderate in force or intensity. mit  i·ga tion n. its impact," said
James James, person in the BibleJames, in the Gospel of St. Luke, kinsman of St. Jude. The original does not specify the relationship. James, rivers, United States James. E. Rogers, Cinergy Cinergy Corp. was an energy company based in Cincinnati, Ohio. Cinergy was created on October 24, 1994, from the merger of the Cincinnati Gas & Electric Company (CG&E) with PSI Energy and later included Union Light, Heat & Power (ULH&P) as well. vice chairman, president and chief executive officer. "Although we can't control the forces of nature, we remain committed to our long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. growth strategy and to the aggressive management of our business." Growth of more than 400% over the prior year in power sales and trading volumes Trading volume The number of shares transacted every day. As there is a seller for every buyer, one can think of the trading volume as half of the number of shares transacted. That is, if A sells 100 shares to B, the volume is 100 shares. by the Energy Commodities Business Unit resulted in an increase in total electric kwh sales of 65.5% in the second quarter compared with a year earlier. Mcf gas sales and transportation volumes for the quarter ended June June: see month. 30, 1997, increased 1.8% when compared to the same period in 1996. For the six months ended June 30, 1997, net income was $169.6 million, or $1.07 per share, compared with net income of $166.2 million, or $1.05 per share for the comparable period in 1996. For the twelve months ended June 30, net income was $338.2 million, or $2.14 per share, before a previously reported charge of $.12 per share for reacquiring CG&E's preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. , compared with $351.7 million, or $2.23 per share, in the comparable period in 1996. Both twelve month periods reflect previously reported write-offs. For the 12 months ended June 30, 1997, electric kwh sales were up 30.2% and gas mcf sales and transportation volumes were down 2.4% when compared with the same period in 1996. Earlier this month, the government of the United Kingdom announced a windfall profits tax A windfall profits tax is a tax on profits that ensue from a sudden windfall to a particular company or industry. United States In 1980, United States federal legislation was passed that levied such a tax on oil companies because of the profits they earned as a result of which will be levied on certain British companies, including Midlands Electricity The Midlands Electricity Board was formed in 1947, under the Electricity Act of that year. The counterpart of the East Midlands board, it served southern, and western parts of Warwickshire, as well as the counties of Worcestershire, Herefordshire, Shropshire, and Staffordshire, as plc, which is 50% owned by Cinergy. Cinergy will take a one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. charge of approximately $113 million, or $.72 per share, in the period during which the legislation is enacted into law, which is expected to be in the third quarter of 1997. Following are summaries of Cinergy's unaudited consolidated financial information for the second quarter and 12 month period ended June 30. -0-
Cinergy Corp.
(Rounded to thousands, except per share amounts)
Second Quarter 1997 1996
Revenues $ 865,333 $ 716,834
Net income $ 55,489 $ 56,040
Earnings per share $ .35 $ .35
Average shares outstanding 157,679 157,679
12 Mo. ended 6/30 1997 1996
Revenues $ 3,537,424 $ 3,150,584
Net income $ 338,222 $ 351,727
Costs of reacquisition of
preferred stock of subsidiary $ (18,391) --
Net income applicable to common stock $ 319,831 $ 351,727
Earnings per share
Net income $ 2.14 $ 2.23
Costs of reacquisition of preferred
stock of subsidiary (.12) --
Net income applicable to common stock $ 2.02 $ 2.23
Average shares outstanding 157,679 157,448
2nd Quarter kwh Sales 1997 1996 %
Increase
(Decrease)
Residential 2,910,456 3,174,446 (8.3)
Commercial 2,693,855 2,807,302 (4.0)
Industrial 4,273,081 4,227,295 1.1
Other retail 423,332 431,940 (2.0)
Firm power sales 606,590 579,731 4.6
Non-firm power sales 11,070,316 2,062,171 436.8
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Total 21,977,630 13,282,885 65.5
2nd Quarter mcf Sales 1997 1996
Residential 5,797 5,509 5.2
Commercial 2,463 2,628 (6.3)
Industrial 618 1,038 (40.5)
Other retail 388 476 (18.5)
All other 52 49 6.1
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Total gas sales 9,318 9,700 (3.9)
Gas transported 12,920 12,136 6.5
----- ------
Total gas sold & transported 22,238 21,836 1.8
CONTACT: Cinergy Corp. News contact: 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 contact: Felicia Ramstein, 513/287-4348 |
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