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ATLANTIC ENERGY ANNOUNCES MARCH 1992 RESULTS

 ATLANTIC ENERGY ANNOUNCES MARCH 1992 RESULTS
 PLEASANTVILLE, N.J., April 23 /PRNewswire/ -- J.G. Salomone, vice


president and chief financial officer of Atlantic Energy, Inc. (NYSE: ATE) today announced consolidated financial results for the 12 months and first quarter ended March 31, 1992.
 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).
 Note: Per-share amounts reflect a 2-for-1 split of the company's common stock effective May 14, 1992.
 Earnings per share were $2.09 for the current 12-month period, compared with $1.36 in 1991, with 10 percent more average shares outstanding in the current period. Salomone said, "Several factors contributed to the improved per share earnings in the current 12-month and quarter-ended periods. Approximately $.15 of the increase was the net result of a one-time recognition by ACE in the first quarter of 1992 of the recent settlement with Philadelphia Electric Company (PE). That settlement related to a lawsuit filed by ACE in connection with the extended outage at the Peach Bottom Atomic Power Station. Earnings have also been positively impacted by a $50 million increase in base rates effective in July 1991 and increased kilowatt-hour sales." Salomone stated that last year's results were adversely affected by charges for purchased capacity incurred by ACE without full corrsponding rate relief. "That had the effect of reducing per share earnings by about 17 cents a year ago."
 With respect to the Peach Bottom settlement, Salomone stated, "ACE's share of the settlement amounted to approximately $15.5 million, after legal expenses, and 75 percent of that has been allocated to shareholders." ACE plans to amend its pending energy adjustment filing before the New Jersey Board of Regulatory Commissioners to reflect the allocation of the remaining 25 percent of the settlement to ACE's customers.
 Total consolidated operating revenues for the 12 months ended March 31, 1992, increased to $831.2 million from $744.3 million from the prior 12-month period due to rate relief and increased kilowatt-hour sales. Net income totaled $105.1 million compared with $62.3 million for the prior period. Operations and maintenance expense totaled $194.8 million, compared with $193.0 million in the prior period. Capacity costs, including capacity purchased from two nonutility generators, increased to $80.7 million from $67.8 million. Federal Income Tax expense increased to $43.9 million from $23.5 million. Interest expense declined to $53.3 million from $57.2 million, reflecting the redemption of a series of higher cost debt and lower interest expense on short term debt. Preferred stock dividend requirements of ACE increased to $17.8 million from $11.8 million due to the issuance of a new series of preferred stock.
 Total energy sales to ultimate customers recorded by ACE for the 12 months ended March 31, 1992, increased 2.5 percent to 7,948 million kilowatt-hours. Energy sales to residential customers increased 5.4 percent from the prior period reflecting weather conditions in the current year and a modest increase in the average number of residential customers. Sales to commercial customers increased 2.2 percent as a result of a slight increase in the number of customers and weather conditions. Sales to industrial and other customers declined 3.5 percent. The decrease resulted from ACE's largest industrial customer installing and operating its own electrical generating equipment beginning in October 1991.
 Total consolidated operating revenues for the first quarter ended March 31, 1992, increased to $197.8 million compared with $175.0 million for the first quarter of 1991. Net income amounted to $27.9 million, compared with $8.5 million for the prior period. Earnings per share amounted to $.55 compared with $.18 in the prior period. Salomone stated, "The major factors associated with the change in first quarter earnings were the one-time effect of the Peach Bottom settlement, and higher base rates in the current period."
 Total energy sales to ultimate customers recorded by ACE for the first quarter ended March 31, 1992, increased slightly less than 1 percent to 1,988 million kilowatt-hours. Sales to residential customers increased 4 percent, primarily due to cooler weather, higher average use and an increase in the average number of rrease in the average number of commercial customers. Sales to industrial and other customers decreased 9.5 percent. The decrease resulted from the loss of ACE's largest industrial customer.
 ATLANTIC ENERGY, INC.
 (Unaudited; dollar amounts in millions, except per-share data)
 Periods ended 12 months Pct. Three months Pct.
 March 31 1992 1991 Chg. 1992 1991 Chg.
 Energy sales to
 ultimate customers
 (million kwh) 7,948 7,757 2.5 1,988 1,976 .6
 Operating revenues(A) $831.2 $744.3 11.7 $197.8 $175.0 13.0
 Net income 105.1 62.3 68.7 27.9 8.5 228.2
 Average shares
 outstanding (000s)(B) 50,233 45,795 9.7 51,083 46,128 10.7
 Earnings per share(B) $2.09 $1.36 53.7 $.55 $.18 205.6
 Return on end-of-
 period common
 equity (pct.) 13.64 9.51 --- --- --- ---
 (A) Amounts include sales to other utilities that had been previously accounted for as net expense.
 (B) Amounts reflect a 2-for-1 split of common stock as authorized by the company's board of directors on March 12, 1992.
 /delval/
 -0- 4/23/92
 /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


MK-CC -- PH023 -- 1845 04/23/92 11:47 EDT
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