Commission File No. 1-8489
SECURITIES AND EXCHANGE COMMISSION
Washington, DC
FORM U5S
ANNUAL REPORT
For the year ended December 31, 2000
Filed pursuant to the Public Utility Holding Company Act of 1935 by
Dominion Resources, Inc.
120 Tredegar Street, Richmond, VA 23219
DOMINION RESOURCES, INC.
FORM U5S--ANNUAL REPORT
For the Year Ended December 31, 2000
TABLE OF CONTENTS
ITEM 1. SYSTEM COMPANIES AND INVESTMENTS THEREIN AS OF
DECEMBER 31, 2000................................................ 3
ITEM 2. ACQUISITIONS OR SALES OF UTILITY ASSETS.......................... 8
ITEM 3. ISSUE, SALE, PLEDGE, GUARANTEE OR ASSUMPTION OF SYSTEM
SECURITIES....................................................... 8
ITEM 4. ACQUISITION, REDEMPTION OR RETIREMENT OF SYSTEM SECURITIES....... 10
ITEM 5. INVESTMENTS IN SECURITIES OF NONSYSTEM COMPANIES................. 13
ITEM 6. OFFICERS AND DIRECTORS........................................... 13
Part I. Names, principal business address and positions held
as of December 31, 2000............................... 13
Part II. Banking connections................................... 21
Part III. Compensation and other related information............ 21
ITEM 7. CONTRIBUTIONS AND PUBLIC RELATIONS............................... 22
ITEM 8. SERVICE, SALES AND CONSTRUCTION CONTRACTS........................ 22
Part I. Contracts for services or goods between system
companies............................................. 22
Part II. Contracts to purchase services or goods between system
company and any affiliate............................. 23
Part III. Employment of any person by any system company for the
performance on a continuing basis of management
services.............................................. 23
ITEM 9. WHOLESALE GENERATORS AND FOREIGN UTILITY COMPANIES............... 24
Part I. Information concerning interests held by system
companies in exempt wholesale generators or foreign
utility companies..................................... 24
Part II. Relationship of exempt wholesale generators and
foreign utility companies to system companies, and
financial data........................................ 27
Part III. Investment in exempt wholesale generators and foreign
utility companies..................................... 27
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS................................ 27
Financial Statements............................................. 27
Exhibits......................................................... 194
SIGNATURE................................................................. 195
2
DOMINION RESOURCES, INC.
FORM U5S--ANNUAL REPORT
For the Year Ended December 31, 2000
ITEM 1. SYSTEM COMPANIES AND INVESTMENTS THEREIN AS OF DECEMBER 31, 2000
Number of
Common % of
Shares Voting Issuer's Owner's
Name of Company Business Owned Power Book Value Book Value
--------------- -------- --------- ------ ---------- ----------
(Thousand of Dollars)
Dominion Resources, Holding company
Inc. (Dominion)
Consolidated Natural Holding company 100 100% $1,965,552 $5,875,562
Gas Company
(Consolidated Natural
Gas, or CNG): (note 1)
CNG Coal Company (CNG Held coal properties 2,236 100% 6,909 6,909
Coal)* (note 2)
CNG Financial Finances gas powered 5 100% 34 34
Services, Inc. (CNG equipment
Financial)*
CNG International Energy related 23,855 100% 124,640 124,640
Corporation (CNG activities outside
International) (note the United States
3)
Unsecured debt 15,000 15,000
CNG Kauai, Inc. (CNG Special purpose 1 100% 2,486 2,486
Kauai) subsidiary (note 4)
CNG Main Pass Gas Special purpose 1 100% 2,769 2,769
Gathering Corporation subsidiary (note 5)
(CNG Main Pass)
CNG Oil Gathering Special purpose 1 100% 4,995 4,995
Corporation (CNG Oil subsidiary (note 6)
Gathering)
CNG Power Company Nonutility energy 8,360 100% 10,230 10,230
(CNG Power) ventures
CNG Market Center Special purpose 10 100% 1,572 1,572
Services, Inc. (CNG subsidiary (note 7)
Market Center
Services or CNGMCS)*
Granite Road CoGen, Special purpose 1,000 100% 1 1
Inc. (Granite Road)* subsidiary (note 8)
CNG Power Services Electric power 1,552 100% (2,325) (2,325)
Corporation (CNG marketing
Power Services)
CNG Research Company Administers research 1,558 100% 80 80
(CNG Research)* activities
Consolidated Natural Service company 100 100% (494) (494)
Gas Service Company,
Inc. (CNG Service
Company or CNGSvc)
Consolidated System Liquefied natural gas 100 100% 770 770
LNG Company
(Consolidated LNG or
LNG)* (note 9)
Dominion Exploration Oil and gas 43,900 100% 741,262 745,809
& Production, Inc. exploration and
(Dominion E&P) production
(note 10)
Unsecured debt 519,675 519,675
CNG Pipeline Company Oil pipeline 12,000 100% 1,205 1,205
(CNG Pipeline)
3
Number of
Common % of Issuer's Owner's
Shares Voting Book Book
Name of Company Business Owned Power Value Value
--------------- -------- --------- ------ --------- ---------
(Thousand of
Dollars)
Dominion Field Gas marketing and gas 1,722 100% $ 28,577 $ 28,393
Services, Inc. storage services
(Dominion Field
Services) (note 11)
Dominion Products and Markets energy 399 100% 1,758 1,758
Services, Inc. related services
(Dominion P&S)
(note 12)
CNG Technologies, Inc. Development of new 200 100% 579 579
(CNG Technologies) gas-related
technologies
Dominion Retail, Inc. Retail energy 600 100% (8,063) (8,063)
(Dominion Retail) marketing
(note 13)
Dominion Transmission, Gas transmission 60,100 100% 792,159 792,235
Inc. (Dominion
Transmission) (note 14)
Unsecured Debt 337,426 337,426
CNG Iroquois, Inc. Special purpose 2,394 100% 44,152 44,152
(CNG Iroquois) subsidiary (note 15)
Hope Gas, Inc. Gas utility 449,000 100% 63,362 62,258
(Dominion Hope)
Unsecured debt 36,930 36,930
The East Ohio Gas Gas utility 4,759,353 100% 436,110 415,853
Company (Dominion East
Ohio)
Unsecured debt 298,259 298,259
The Peoples Natural Gas Gas utility 1,835,350 100% 284,409 274,795
Company (Dominion
Peoples)
Unsecured debt 131,344 131,344
Dominion Capital, Inc. Financial services 20 100% 522,607 522,607
(Dominion Capital) holding company
(note 16)
Catalyst Old River Electric power
Hydroelectric Limited production
Partnership -- 25% 22,798 28,035
Dominion Capital Middle market 100 100% 132,754 132,754
Ventures Corporation commercial lending
(DCV)
Dominion Land Real estate 100 100% 238 238
Management Company management
(DLMC)
Dominion Lands, Inc. Land development 10 100% 5,826 5,826
Dominion Mortgage Mortgage services 100 100% 343,537 343,537
Services, Inc.
Dominion Venture Middle market 100 100% 49,615 49,615
Investments, Inc. commercial lending
(DVII)
Edgen, Inc. Real estate holding 541 100% 18,803 18,803
company
Louisiana Hydroelectric Investment company 10 100% 9,430 9,430
Capital Corp.
(Louisiana Hydro)
OptaCor Financial Direct mail unsecured 100 100% 542 542
Services Company consumer loans
(Optacor)
4
Number of
Common % of Issuer's Owner's
Shares Voting Book Book
Name of Company Business Owned Power Value Value
--------------- -------- --------- ------ --------- ---------
(Thousand of
Dollars)
Rincon Securities, Investment company 1 100% $ 78,256 $ 78,256
Inc.
Stanton Associates, Real estate holding 529,411 100% 9,560 9,560
Inc. company
Vidalia Audit, Inc. Audit company for 100 100% 167 167
hydroelectric project
Virginia Financial Commercial finance 100 100% 286,836 286,836
Ventures, Inc.
(Virginia Financial)
Dominion Energy, Inc. Holding company 10 100% 550,510 550,510
(Dominion Energy or
DEI) (notes 17,18, and
19)
Dominion Black Warrior Exploration and 10 100% 11,095 11,095
Basin, Inc. production
Dominion Cogen, Inc. Cogeneration 100 100% 67,279 67,279
Dominion Cogen NY, Cogeneration in the 100 100% (351) (351)
Inc. (note 20) State of NY
Dominion Cogen WV, Cogeneration in the 100 100% 20,787 20,787
Inc. (note 21) State of WV
Dominion Elwood, Inc. Holding company 100 100% 96,869 96,869
(note 22)
Unsecured debt (19,150) (19,150)
Dominion Elwood Services company 10 100% 319 319
Services Company, Inc.
Dominion Energy General contractor 100 100% 0 0
Construction Company
Unsecured debt 548 548
Dominion Energy Direct Gas and electric 100 100% (775) (775)
Sales, Inc. marketing
Dominion Energy Special purpose 100 100% 1 1
Exchange, Inc. subsidiary
(Dominion Energy
Exchange)
Dominion Energy Special purpose 10 100% (128) (128)
Management, Inc.* subsidiary
Dominion Energy Services company 10 100% 7,963 7,963
Services Company, Inc.
Dominion Fairless Holding company 100 100% 0 0
Hills, Inc.
Dominion Kincaid, Inc. Holding company 10 100% 94,992 94,992
(note 23)
Unsecured debt 776 776
Kincaid Generation, Non-regulated power N/A 100% 119,547 119,547
LLC generation
Dominion Reserves, Exploration and 10 100% 219,299 219,299
Inc. production
Carthage Energy Gas marketing 500 100% $ (234) $ (234)
Services, Inc.
5
Number of
Common % of Issuer's Owner's
Shares Voting Book Book
Name of Company Business Owned Power Value Value
--------------- -------- ---------- ------ -------- --------
(Thousand of
Dollars)
Cypress Energy Inc. Exploration and 10 100% $(6,169) $(6,169)
production
Dominion Appalachian Exploration and 10 100% (6,804) (6,804)
Development, Inc. production
Dominion Appalachian Exploration and N/A 100% 13,319 13,319
Development production
Properties, LLC (note
24)
Dominion Gas Natural gas 10 100% 7,155 7,155
Processing MI, Inc. processing
(note 25)
Frederic HOF Limited Gas processing N/A 94% 14,741 14,741
Partnership
(Frederic HOF LP)
Dominion Midwest Exploration and 10 100% 107,457 107,457
Energy, Inc. production
Dominion Reserves Exploration and 10 100% 50,374 50,374
Gulf Coast, Inc. production
Dominion Reserves- Exploration and 10 100% (8,735) (8,735)
Indiana, Inc. production
Great Lakes Oil field services 10 100% 3,853 3,853
Compression, Inc.
Dominion Reserves- Exploration and 10 100% 53,200 53,200
Utah, Inc. production
Dominion San Juan, Holding company 10 100% 74,048 74,048
Inc. (note 26)
San Juan Partners, Oil & gas investments 100% 74,048 74,048
LLC
Dominion Storage, Inc. Special purpose 10 100% 359 359
subsidiary
Dominion Energy Exploration and 73,886 100% 107,313 107,313
Canada Limited production
(note 27)
Domcan East Alberta Oil and gas 1 100% 20,989 20,989
Ltd. exploration and
development
Domcan Boundary Oil and gas 26,343,437 100% 86,324 86,324
Corp. exploration and
(note 28) development
Dominion Generation, Electric power 100 100% (404) (404)
Inc. generation holding
company
Dominion Equipment, Special purpose 100 100% 100 100
Inc. subsidiary
Dominion Elwood II, Special purpose 100 100% 0 0
Inc. (note 29) subsidiary
Unsecured debt 42,552 42,552
Dominion Elwood III, Special purpose 100 100% (110) (110)
Inc. (note 30) subsidiary
Unsecured debt 70,369 70,369
Dominion Resources Service company 200 100% (24,317) (24,317)
Services, Inc.
6
Number of
Common % of Issuer's Owner's
Shares Voting Book Book
Name of Company Business Owned Power Value Value
--------------- -------- --------- ------ --------- ---------
(Thousand of
Dollars)
Dominion Resources Special purpose 7,732 3% $7,732 $7,732
Capital Trust I entity 257,732 257,732
Unsecured debt
Dominion Telecom, Inc. Telecommunications 158 100% 27,813 27,813
(note 31) services
Dominion U.K. Holding, Holding company 100 100% (2,211) (2,211)
Inc.
Virginia Electric and Electric utility 171,484 100% 3,849,020 3,850,020
Power Company
(Virginia Power)
Virginia Power Fuel Nuclear fuel 1,000 100% 1 1
Corporation procurement 35,656 35,656
Unsecured debt
Virginia Power Holding company
Services, Inc. 1,590 100% 23,891 23,891
Evantage, Inc. Energy services 1 100% 17,280 17,280
Virginia Power Energy Fuel procurement 1,000 100% 9,521 9,521
Marketing, Inc.
(VPEM)
Virginia Power Fuel procurement 1 100% (5,701) (5,701)
Services Energy Corp,
Inc. (VPSE)
Virginia Power Nuclear management 100 100% (2,138) (2,138)
Nuclear Services and operational
Company (VPNS) services
VP Property, Inc. Real estate holding 490.8 100% 4,787 4,787
company
VP Capital Trust I Special purpose 167,000 100% 4,175 4,175
Unsecured debt entity 139,175 139,175
-------
* Indicates company is inactive.
Notes:
1. Effective January 1, 2001, CNG transferred its interest in CNG Service
Company to Dominion through a dividend, preliminary to the merger of CNG
Service Company into Dominion Resources Services, Inc. on January 1, 2001.
2. CNG Coal formerly owned coal reserves and a related plant site. These
properties were sold in 1996.
3. Effective May 31, 2000, CNG International transferred its investment in CNG
Cayman One Ltd. and its subsidiary, CNGI Australia Pty Ltd., to CNG Cayman
Two Ltd. for a 23.08% direct interest in CNG Cayman Two. CNG Cayman Two is
held by DBNGP Finance Company LLC, which is owned 50% by CNG International.
4. CNG Kauai, an exempt wholesale generator, currently has a 1% general
partnership interest and a 98% limited partnership interest in Kauai Power
Partners, L.P. CNG International also holds a 1% limited partnership
interest in Kauai Power Partners. Kauai Power Partners is an exempt
wholesale generator involved in the greenfield development of a 26 MW
advanced steam-injected combustion turbine power plant on the island of
Kauai, Hawaii.
5. CNG Main Pass holds a 13.6% interest in Dauphin Island Gathering Partners
which operates a gas gathering pipeline system in the Main Pass area of the
Gulf of Mexico.
6. CNG Oil Gathering holds a 33.3% general partnership interest in Main Pass
Oil Gathering Company which operates an oil gathering pipeline system in
the Main Pass and Vioska Knoll areas of the Gulf of Mexico.
7. CNG Market Center Services held a 50% general partnership interest in the
CNG/Sabine Center gas marketing hub. Effective January 1, 2000, the hub
ceased operations. The partnership was dissolved and a liquidating
distribution was made to the partners in July 2000.
8. Granite Road holds a 50% general partnership interest in Granite Road
Limited, a partnership planning the development of a cogeneration facility.
9. Consolidated LNG ended its involvement in liquefied natural gas operations
in 1982, and as of February 1998 had recovered its undepreciated
investment, plus carrying charges and taxes, through a FERC-approved
amortization surcharge.
7
10. Effective April 12, 2000, CNG Producing Company was renamed Dominion
Exploration & Production, Inc.
11. Effective April 1, 2000, CNG Field Services Company was renamed Dominion
Field Services, Inc. On May 1, 2000, CNG transferred the net assets of
Phoenix Dominion Energy, LLC to Dominion Field Services. CNG had acquired
the net assets of Phoenix Dominion Energy, LLC from a subsidiary of
Dominion Energy, Inc.
12. Effective September 5, 2000, CNG Products and Services, Inc. was renamed
Dominion Products and Services, Inc.
13. Effective September 5, 2000, CNG Retail Services Corporation was renamed
Dominion Retail, Inc. Dominion Retail markets natural gas, electricity and
related products and services to residential, commercial and small
industrial customers.
14. Effective April 11, 2000, CNG Transmission Corporation was renamed Dominion
Transmission, Inc.
15. CNG Iroquois holds a 16% partnership interest in Iroquois Gas Transmission
System, L.P.
16. Dominion Capital holds a 50% interest in Trilon Dominion Partners, L.L.C.,
which is involved in venture capital investments.
17. Dominion Energy holds a 20% interest in Caithness BLM Group L.P. and a 23%
interest in Caithness Navy II Group L.P. Both companies are involved in
geothermal electric generation.
18. Dominion Energy holds a 15% interest in Luz Solar Partners Ltd. VII, L.P.,
which is involved in solar electric generation.
19. Dominion Energy holds a 10% interest in Rumford Cogeneration Company, Ltd.,
which is involved in wood burning electric generation.
20. Dominion Cogen NY, Inc. owns 1% general partnership interest in Middle
Falls, NYSD and Sissonville hydropower plants and DEI owns a 49%
interest. All investments in these plants have been written down to zero.
21. Dominion Cogen WV, Inc. is a wholly owned subsidiary of DEI that holds a
50% interest in Morgantown Energy Associates.
22. Dominion Elwood, Inc. is a wholly owned subsidiary of DEI that holds a 50%
interest in Elwood Energy LLC, which is involved in the development of an
electric power generating facility.
23. Dominion Kincaid, Inc. is a wholly owned subsidiary of DEI that holds a
99% interest in Kincaid Generation, LLC with DEI owning the remaining 1%
interest.
24. Dominion Appalachian Development Properties, LLC, is owned 99% by Dominion
Reserves, Inc. and 1% by Carthage Energy Services, Inc.
25. Dominion Gas Processing MI, Inc., holds a 50% interest in Wilderness Energy
L.C., which in turns holds a 51% interest in Wilderness Energy Services
Limited Partnership. Both Wilderness Energy L.C. and Wilderness Energy
Services Limited Partnership are involved in natural gas gathering and
processing.
26. San Juan Partners, Inc. is owned through Dominion San Juan, Inc.
27. Dominion Energy Canada Limited is owned 7.33% by Niton US, Inc., 46.34% by
Dominion Storage, Inc., and 46.33% by DEI. Niton US, Inc. has no other
activity.
28. Certain long-term debt of Domcan Boundry Corp. is owed to Domcan NS1 ULC.
Domcan NS1 ULC is a special purpose entity owned 99% by Remington LLC and
1% by DEI. Remington LLC is a special purpose entity owned 100% by DEI.
The only activity of Domcan NS1 LLC and Remington LLC relates to
borrowings on behalf of Domcan Boundry Corp.
29. Dominion Elwood II, Inc. is a wholly-owned subsidiary of DEI which holds a
50% interest in Elwood Energy II, LLC, which is involved in the
development of an electric power generating facility.
30. Dominion Elwood III, Inc. is a wholly-owned subsidiary of DEI which holds
a 50% interest in Elwood Energy III, LLC.
31. VPS Communications, Inc. was transferred from Virginia Power to Dominion on
August 1, 2000 and renamed Dominion Telecom, Inc., an exempt
telecommunications company.
ITEM 2. ACQUISITIONS OR SALES OF UTILITY ASSETS
During 2000, Virginia Power had three transactions involving the sale of
utility assets for consideration totaling $43,529. All three transactions are
exempt pursuant to Rule 44(b).
ITEM 3. ISSUE, SALE, PLEDGE, GUARANTEE OR ASSUMPTION OF SYSTEM SECURITIES
During 2000, Dominion Transmission had several letters of credit outstanding
to provide security to the Commonwealth of Pennsylvania for the Company's
obligation to plug and reclaim gas wells as part of the
8
process of abandonment of gas storage properties. One-half the cost of one
letter of credit is shared by nonaffiliated pipeline companies. As of December
31, 2000, the balance outstanding on these letters of credit totaled
$7,500,000.
Dominion maintained three indemnity agreements for surety bonds as of
December 31, 2000. The indemnity agreements represented total outstanding
obligations of $88,618,850. Effective April 16, 2001, a new indemnity agreement
was entered into which had the effect of consolidating two of the previous
agreements. At this time, Dominion maintains two separate indemnity agreements
with two separate surety companies.
CNG has issued guarantees, in addition to surety bonds, to the states of
Pennsylvania and West Virginia to maintain worker's compensation self-insurance
status for Dominion Transmission and Hope Gas. Self-insured status means that
the subsidiary pays the worker's compensation claims directly instead of paying
into the state maintained fund.
CNG has also issued a guarantee to the U.S. Department of Labor for Dominion
E&P to continue its self-insurance status in the state of Louisiana.
All of the above transactions are exempt pursuant to Rule 45(b)(6).
9
ITEM 4. ACQUISITION, REDEMPTION OR RETIREMENT OF SYSTEM SECURITIES
Calendar Year 2000
(Thousands of Dollars)
Number of
Name of Company Number of Shares or
Name of Issuer Acquiring, Shares or Principal Amount
and Title of Redeeming or Principal Amount Redeemed or
Issue Retiring Securities Acquired Retired (Note 1) Consideration
-------------- ------------------- ---------------- ---------------- -------------
Registered
Holding Company:
Dominion
Common stock, no Dominion 32,893,919 shares (note 3) $1,414,456
par............
Common stock, no
par............ Dominion 5,219,647 shares (note 4) $227,064
Name of Issuer
and Title of Commission
Issue Authorization (Note 2)
-------------- ----------------------
Registered
Holding Company:
Dominion
Common stock, no
par............ Release No. 27113 (File No. 70-9477)
Common stock, no
par............ Rule 42
Subsidiaries of
Registered
Holding Company:
Consolidated
Natural Gas:
Common stock,
par value $2.75 Consolidated
per share...... Natural Gas 9,996 shares (note 5) $ --
Subsidiaries of
Registered
Holding Company:
Consolidated
Natural Gas:
Common stock,
par value $2.75
per share...... Rule 42
Common stock,
par value $2.75
per share...... Dominion 95,938,356 shares (note 6) 95,938,356 shares (note 6) $6,373,092
Common stock,
par value $2.75
per share...... Release No. 27113 (File No. 70-9477)
Consolidated
Debentures...... Natural Gas $44,615 $45,254
Debentures...... Rule 42
Dominion Field
Services:
Capital stock,
par value
$10,000 per Consolidated
share.......... Natural Gas 355 shares (note 7) $ --
Dominion Field
Services:
Capital stock,
par value
$10,000 per
share.......... Rules 43 and 58
Virginia Natural
Gas (note 8):
Capital stock, Consolidated
no par value... Natural Gas 5,273 shares $532,933
Non-negotiable Consolidated
notes.......... Natural Gas $116,000
Virginia Natural
Gas (note 8):
Capital stock,
no par value... Release No. 27113 (File No. 70-9477)
Non-negotiable
notes.......... Release No. 27113 (File No. 70-9477)
CNG Service
Company:
Non-negotiable
notes.......... CNG Service Company $23,672 $23,672
CNG Service
Company:
Non-negotiable
notes.......... Rule 42
Dominion
Transmission:
Non-negotiable Dominion
notes.......... Transmission $5,827 $5,827
Dominion
Transmission:
Non-negotiable
notes.......... Rule 42
Dominion East
Ohio:
Non-negotiable
notes.......... Dominion East Ohio $2,440 $2,440
Dominion East
Ohio:
Non-negotiable
notes.......... Rule 42
Dominion Peoples:
Non-negotiable
notes.......... Dominion Peoples $1,261 $1,261
Dominion Peoples:
Non-negotiable
notes.......... Rule 42
10
Calendar Year 2000
(Thousands of Dollars)
Number of
Number of Shares or
Name of Company Shares or Principal Amount
Name of Issuer and Acquiring, Redeeming or Principal Amount Redeemed or
Title of Issue Retiring Securities Acquired Retired (Note 1) Consideration
------------------ ----------------------- ---------------- ---------------- -------------
Dominion Hope:
Non-negotiable
notes......... Dominion Hope 474 $474
Name of Issuer and Commission
Title of Issue Authorization (Note 2)
------------------ ----------------------
Dominion Hope:
Non-negotiable
notes......... Rule 42
Dominion E&P:
Non-negotiable
notes......... Dominion E&P $4,450 $4,450
Dominion E&P:
Non-negotiable
notes......... Rule 42
CNG Power:
CNG Bear
Mountain, Inc.
Capital stock,
CNGpPower:ar value
CNG$Bear10,000 per
Mountain,sInc.hare.......... CNG Power 1 share (note 9) $--
Capital stock,
par value
$10,000 per
share.......... non-jurisdictional
CNG
International:
CNG Cayman One
Ltd.
Capital stock,
par value $.01
per share...... CNG Cayman Two, Ltd. 990 shares (note 10) $--
CNGI Australia
Pty. Ltd.
Capital stock,
par value $1
CNGper share...... CNG Cayman Two, Ltd. 100 shares (note 10)
International:
CNG Cayman One
Ltd.
Capital stock, Release Nos. 26608,
par value $.01 26824
per share...... (File No. 70-8759)
CNGI Australia
Pty. Ltd.
Capital stock,
par value $1
per share......
CNG Cayman Three
Ltd.
Capital stock,
par value $.01 Sempra Energy
per share...... International 100 shares (note 11) $145,000
CNG Argentina
S.A.
Capital stock,
par value ARP Sempra Energy
CNG$Cayman1Threeper share.. International 12,000 shares (note 11)
Ltd.
Capital stock,
par value $.01
per share...... non-jurisdictional
CNG Argentina
S.A.
Capital stock,
par value ARP
$1 per share..
Dominion Energy:
Dominion Energy
Exchange
Common stock no
par............ Dominion Energy 100 shares (note 12) $1
Dominion Energy:
Dominion Energy
Exchange
Common stock no
par............ Rule 58
Dominion Energy Direct Sales, Inc.
Common stock no
par............ Dominion Energy 100 shares (note 13) $1
Dominion Energy Direct Sales, Inc.
Common stock no
par............ Rule 58
Virginia Power
$5.58 Series Virginia Power 400,000 shares $40,000
Preferred
Stock, $100
par...........
$6.35 Series Virginia Power 1,400,000 shares $140,000
Preferred
Stock, $100
par...........
Medium Term Virginia Power $60,500 $60,500
Notes, various
%, Series C...
First and Refunding Mortgage Virginia Power $135,000 $135,000
Bonds, Series
C, 5.875%,
April 1,
2000..........
Virginia Power
$5.58 Series Rule 42
Preferred
Stock, $100
par...........
$6.35 Series Rule 42
Preferred
Stock, $100
par...........
Medium Term Rule 42
Notes, various
%, Series C...
First and Refunding Mortgage Rule 42
Bonds, Series
C, 5.875%,
April 1,
2000..........
------
Notes to ITEM 4. appear on page 12.
11
--------
Notes:
1. Except as noted, all securities redeemed or retired have been cancelled.
2. Public Utility Holding Company Act of 1935 (1935 Act).
3. On January 28, 2000, in connection with the acquisition of CNG, Dominion
completed the first step transaction in which 32.9 million shares of
Dominion common stock were repurchased for $1.4 billion.
4. In February 2000, Dominion repurchased approximately 3.2 million shares of
stock through the implementation of a total return swap facility for
approximately $145 million. The remaining shares were repurchased in
connection with the Executive Stock Loan Program.
5. At December 31, 1999, CNG held 10,443 shares of its common stock as
treasury stock. During the period January 1 through January 27, 2000, a
total of 447 shares of treasury stock were reissued under CNG's then
existing employee incentive plans at an average price of $60.75 per share,
or approximately $27,000. Immediately prior to the merger with Dominion,
the remaining 9,996 shares of treasury stock held by CNG, valued at
$596,000, were retired.
6. On January 28, 2000, Dominion acquired all of the outstanding shares of
CNG's common stock for $6.4 billion, consisting of approximately 87
million shares of Dominion common stock valued at $3.5 billion and
approximately $2.9 billion in cash. The acquisition was completed by
merging CNG into a new subsidiary of Dominion. The name of the new
Dominion subsidiary was changed to Consolidated Natural Gas Company at the
time of the merger.
7. On May 1, 2000, Dominion Field Services issued to CNG 355 shares of its
common stock, par value $10,000 per share, and received a capital
contribution of $44,665 from CNG, with respect to the transfer by CNG of
the net assets of Phoenix Dominion Energy, LLC. CNG acquired the net
assets of Phoenix Dominion Energy, LLC from subsidiaries of Dominion for
$3,594,665 in cash.
8. On October 6, 2000, CNG completed the sale of Virginia Natural Gas, Inc.
(VNG), formerly a wholly-owned subsidiary, to AGL Resources Inc. for
$532,933,000 in cash. CNG was required to spin-off or sell VNG pursuant to
conditions set forth by the Virginia State Corporation Commission and the
Federal Trade Commission in connection with their approval of the
acquisition of CNG by Dominion. CNG used a portion of the proceeds from
the sale to retire the $116,000,000 of outstanding non-negotiable notes
between VNG and CNG.
9. CNG Bear Mountain, Inc., formerly a wholly-owned subsidiary of CNG Power,
was dissolved on March 17, 2000.
10. Effective May 31, 2000, CNG International transferred its investment in
CNG Cayman One Ltd. and its subsidiary, CNGI Australia Pty Ltd., to CNG
Cayman Two Ltd. for a 23.08% direct interest in CNG Cayman Two. CNG Cayman
Two is held by DBNGP Finance Company LLC, which is owned 50% by CNG
International.
11. On October 12, 2000, CNG International completed the sale of CNG Cayman
Three Ltd. and its subsidiary, CNG Argentina S.A., to Sempra Energy
International.
12. On September 21, 2000 Dominion Energy Exchange was formed as a wholly
owned subsidiary of Dominion Energy for the purpose of investing in EIP
Holdings, LLC which owns 66.34% of Tradespark, LP, an electronic and
telephonic marketplace for transactions in natural gas, electricity, coal,
sulfur dioxide and nitrogen dioxide emissions allowances and weather
financial products.
13. On February 22, 2000 Dominion Energy Direct Sales, Inc. was formed as a
wholly-owned subsidiary of Dominion Energy to engage in the business of
providing energy services, including retail sales of electricity to
commercial and industrial users, engineering, consulting and construction
activities and other energy related services.
12
ITEM 5. INVESTMENTS IN SECURITIES OF NONSYSTEM COMPANIES
The aggregate amounts of investments at December 31, 2000, in persons
operating in the system's retail service area are shown below.
Number of Aggregate
Name of Owner Persons Business of Persons Investment
------------- --------- ------------------- ----------
Dominion Transmission.. One State Development Fund $ 100,000
Dominion Hope.......... One State Development Fund $ 100,000
Dominion Hope.......... One Economic Development Small $2,475,000
Business Investment Company (Note)
Note: Investment made pursuant to the West Virginia Capital Companies Act and
under 40(a)(5).
The above do not include investments in securities of nonsystem companies
which have been authorized by Commission order under the Public Utility Holding
Company Act of 1935 and which are subject to Rule 24 Certificate filing
requirements.
Other investments in securities of non-system companies included the
following:
Type of Shares Owned/
Name of Owner Issuer Business of Issuer Book Value Investment % Ownership
------------- ------ ------------------ ---------- ---------- -------------
Dominion Resources Pantellos, Corp. Investor in electronic $2,678,556 Common 268,235 shares
marketplace Stock
EIP Holdings, LLC Investor in electronic $2,500,000 Partnership 9.90%
Dominion Energy Exchange marketplace interest
For Virginia Power's investments in securities of nonsystem companies, see
Exhibit F-3.
ITEM 6. OFFICERS AND DIRECTORS
Part I. Names, principal business address and positions held as of December 31,
2000
The names, principal business address and positions held as of December 31,
2000, of the officers and directors of system companies is presented in the
tables on page 15 through 20. The principal business address of each officer
and director is indicated in such tables by the numbers (1) through (30). The
addresses associated with these number designations are shown in the following
address key. The symbols used to indicate the positions held by officers and
directors are shown in the position symbol key below.
ADDRESS KEY
(1) 120 Tredegar Street, Richmond, VA 23219
(2) 701 East Cary Street, Richmond, VA 23219
(3) 5000 Dominion Boulevard, Glen Allen, VA 23060
(4) 625 Liberty Avenue, Pittsburgh, PA 15222
(5) 1450 Poydras Street, New Orleans, LA 70112
(6) 140 West Main Street, Clarksburg, WV 23601
(7) 347 West Main Street, Clarksburg, WV 23601
(8) 445 West Main Street, Clarksburg, WV 23601
13
(9) 1717 East Ninth Street, Cleveland, OH 44114
(10) 16945 Northchase Drive, Houston, TX 77060
(11) 5570 Hog Island Road, Surry, VA 23883
(12) 1022 Haley Drive, Mineral, VA 23117
(13) 2400 Grayland Avenue, Richmond, VA 23220
(14) 2700 Cromwell Drive, Norfolk, VA 23509
(15) Rope Ferry Road, Waterford, CT 06385
(16) 781 Weed Street, New Canaan, CT 06840
(17) 4 Derham Parc, Houston, TX 77024
(18) 100 North Tryon Street, Suite 2600, Charlotte, NC 28202
(19) 904 North First Street, Richmond, VA 23219
(20) 3805 Greenway, Baltimore, MD 21218
(21) One PPG Place, Suite 2970, Pittsburgh, PA 15222
(22) 29 Everett Street, Cambridge, MA 02138
(23) 1422 Euclid Avenue, Suite 1400, Cleveland, OH 44115
(24) 6 Whittaker's Mill, Williamsburg, VA 23185
(25) 1122 North 25th Street, Suite A, Richmond, VA 23223
(26) 314 Burnwick Road, Richmond, VA 23227
(27) 3559 Fairystone Park Highway, 2nd Floor, Bassett, VA 24055
(28) 600 Grant Street, Suite 700, Denver, CO 80203
(29) 1201 East 55th Street, Cleveland, OH 44103
(30) 400 3rd Avenue, SW, Calgary, Alberta, Canada T2P4H2
POSITION SYMBOL KEY
CB -- Chairman of the Board
CEO -- Chief Executive Officer
P -- President
EVP -- Executive Vice President
CFO -- Chief Financial Officer
COO -- Chief Operating Officer
GVP -- Group Vice President
CAO -- Chief Administrative Officer
SVP -- Senior Vice President
VP -- Vice President
S -- Secretary
T -- Treasurer
C -- Controller
GC -- General Counsel
D -- Director
14
Names of System Companies with Which Connected
--------------------------------------------------------------------
Principal CNG
Business Parent Service CNG CNG CNG Oil Power
Address Company Company CNG Coal International Main Pass Gathering Services
--------- -------- ------- -------- ------------- --------- --------- --------
Bamberg, T.J. (4)
Barger, J.L. (8)
Barker, K.D. (2)
Barrack, W.S., Jr. (16) D
Blount, R.H., II (11)
Bolton, M.S., Jr. (2)
Bowling, M.L., Jr. (3)
Braswell, J.W. (3)
Capps, T.E. (1) CB,P,CEO D,P,CEO
Carter, G.B. (1)
Chase, D.S. (1) VP
Chewning, T.N. (1) EVP,CFO EVP,CFO D,P,CEO
Christian, D.A. (3)
Coudriet, C.E. (1)
Cox, M.T., IV (1) P
Davidson, G.A., Jr. (4) D
Deacon, M.G., Jr. (3)
Dodd, T.E. (4) VP
Doswell, M.C. (2)
Earwod, J.T., Jr. (13)
Faggert, P.F. (3) VP
Farrell, T.F., II (1) EVP D,EVP D,CEO
Foo, W.K. (30)
Galvin, R.E. (17) D
Grier, R.S. (2) VP
Haas, R.A., Jr. (4)
Halbritter, M.A. (4)
Hall, E.S. (29)
Hall, W.C. Jr. (1) VP VP
Hardy, E.T. (2) SVP SVP
Harris, J.W. (18) D
Hartz, L.N. (3)
Hayes, R.M. (14)
Heacock, D.A. (12)
Hetzer, G.S. (1) SVP,T SVP,T SVP,T SVP,T SVP,T SVP,T
Hilton, E.P. (1)
Hodges, S.C. (1) VP VP
Hunter, K.E. (2) VP VP
Hyman, T.A., Jr. (4)
Ivey, C.S. (2)
Johnson, J.L. (1)
Kamper, G.T. (2) VP
Katz, L.D. (1)
Klink, B.C. (9)
Kochick, R.J. (5)
Koonce, P.D. (1)
Kovach, R.A. (9)
Lake, G.E., Jr. (10) SVP SVP SVP
Address key and position symbol key are located on pages 13 and 14.
15
Names of System Companies with Which Connected
-----------------------------------------------------------------------------
Dominion
Dominion Dominion Products
Consolidated Dominion Dominion Exploration & Field Dominion and
Natural Gas Capital Energy Production Services Generation Services
------------ -------- -------- ------------- -------- ---------- --------
Bamberg, T.J. VP
Barger, J.L.
Barker, K.D.
Barrack, W.S., Jr.
Blount, R.J., II
Bolton, M.S., Jr.
Bowling, M.L., Jr. VP
Braswell, J.W. VP
Capps, T.E. CB,P,CEO D CB D D D D,CEO
Carter, G.B.
Chase, D.S.
Chewning, T.N. EVP,CFO CB
Christian, D.A. SVP
Coudriet, C.E. P,CEO
Cox, M.T., IV SVP
Davidson, G.A., Jr.
Deacon, M.G., Jr. VP
Dodd, T.E. VP
Doswell, M.C.
Earwod, J.T., Jr.
Faggert, P.F. VP
Farrell, T.F., II D,EVP D,CEO D D,CEO D,CEO D
Foo, W.K. SVP SVP
Galvin, R.E.
Grier, R.S.
Haas, R.A., Jr.
Halbritter, M.A.
Hall, E.S.
Hall, W.C. Jr. VP
Hardy, E.T. SVP
Harris, J.W.
Hartz, L.N. VP
Hayes, R.M.
Heacock, D.A. VP
Hetzer, G.S. SVP,T SVP,T SVP,T SVP,T SVP,T SVP,T
Hilton, E.P. SVP
Hodges, S.C. VP
Hunter, K.E. VP
Hyman, T.A., Jr.
Ivey, C.S.
Johnson, J.L. SVP
Kamper, G.T.
Katz, L.D. C C C
Klink, B.C.
Kochick, R.J. VP VP
Koonce, P.D. SVP SVP
Kovach, R.A.
Lake, G.E., Jr. SVP SVP
Address key and position symbol key are located on pages 13 and 14.
16
Names of System Companies with Which Connected
------------------------------------------------------------------------------
Virginia
Dominion Dominion Dominion East Ohio Peoples Electric and
Retail Transmission U.K. Holding Hope Gas Gas Natural Gas Power
-------- ------------ ------------ -------- --------- ----------- ------------
Bamberg, T.J. VP
Barger, J.L. VP
Barker, K.D. VP
Barrack, W.S., Jr.
Blount, R.J., II VP
Bolton, M.S., Jr. SVP SVP SVP SVP
Bowling, M.L., Jr. VP
Braswell, J.W.
Capps, T.E. D,CEO D D,P D D D CB
Carter, G.B. VP
Chase, D.S.
Chewning, T.N.
Christian, D.A. SVP
Coudriet, C.E.
Cox, M.T., IV
Davidson, G.A., Jr.
Deacon, M.G., Jr.
Dodd, T.E. VP
Doswell, M.C. VP VP VP VP
Earwod, J.T., Jr. SVP
Faggert, P.F. VP
Farrell, T.F., II D D,CEO D D D D D,CEO
Foo, W.K.
Galvin, R.E.
Grier, R.S.
Haas, R.A., Jr. VP VP VP VP
Halbritter, M.A. VP
Hall, E.S. VP VP VP
Hall, W.C. Jr.
Hardy, E.T.
Harris, J.W.
Hartz, L.N. VP
Hayes, R.M. VP VP VP VP
Heacock, D.A. VP
Hetzer, G.S. SVP,T SVP,T SVP,T SVP,T SVP,T SVP,T
Hilton, E.P. SVP
Hodges, S.C.
Hunter, K.E.
Hyman, T.A., Jr. SVP SVP SVP
Ivey, C.S. VP
Johnson, J.L.
Kamper, G.T.
Katz, L.D. C C
Klink, B.C. VP VP VP
Kochick, R.J.
Koonce, P.D. SVP SVP
Kovach, R.A. VP VP VP
Lake, G.E., Jr.
Address key and position symbol key are located on pages 13 and 14.
17
Names of System Companies with Which Connected
---------------------------------------------------------------------
Principal CNG
Business Parent Service CNG CNG CNG Oil Power
Address Company Company CNG Coal International Main Pass Gathering Services
--------- ------- --------- -------- ------------- --------- --------- --------
Lambert, B.J., III (19) D
Leatherwood, R.L. (20) D
Lego, P.E. (21) D
Lewis, J.R. (5) SVP SVP
Manning, A.E. (2) VP
Marks, E.J., III (4) S
Martin, J.K. (1)
Matthews, W.R. (3)
McClenaghan, N.E. (29)
McDermid, M.E. (2) VP
McGettrick, M.F. (2)
McKean, T.D. (1) VP
McKenna, M.A. (22) D
Medvedo, P.P. (4) VP
Mikuta, M.P. (1)
Minter, S.A. (23) D
Mistr, W.S. (1) VP
Mola, E.C. (1) VP
Moore, J.L. (1)
Nichols, C.J. (5)
O'Hanlon, J.P. (1) EVP EVP P
Randall, K.A. (24) D
Riekel, A.R. (1)
Riely, H.C. (1)
Rigsby, R.E. (2) EVP EVP
Riley, H.P. (5) EVP D,EVP D,CEO D,P,CEO D,P,CEO
Riley, P.E., Jr. (4)
Rivas, E.J. (3)
Roach, E.M., Jr. (4) EVP D,EVP
Roberts, C.E. (6)
Rogers, S.A. (1) VP,C VP,C
Royal, F.S. (25) D
Sanderlin, J.L. (1) SVP SVP
Schools, M.R., Jr. (4)
Schuyler, J.R. (10) SVP SVP SVP
Shaw, J.A. (1)
Simmons, S.D. (26) D
Spilman, R.H. (27) D
Staton, J.D. (2)
Stutts, J.F. (1) VP,GC VP,GC
Sypolt, G.L. (8)
Thatcher, R.T. (3)
Trueheart, J.L. (2) GVP,CAO D,GVP,CAO
Vanzant, J.C., Jr. (6)
Wester, T.E. (4)
Wilkerson, P.A. (1) VP,S VP,S VP,S VP,S VP,S VP,S
Wollard, D.A. (28) D
Wood, F.G., III (5) SVP SVP SVP
Address key and position symbol key are located on pages 13 and 14.
18
Names of System Companies with Which Connected
-----------------------------------------------------------------------------
Dominion
Dominion Dominion Products
Consolidated Dominion Dominion Exploration & Field Dominion and
Natural Gas Capital Energy Production Services Generation Services
------------ -------- -------- ------------- -------- ---------- --------
Lambert, B.J., III
Leatherwood, R.L.
Lego, P.E.
Lewis, J.R. SVP SVP
Manning, A.E.
Marks, E.J., III
Martin, J.K. VP
Matthews, W.R. VP
McClenaghan, N.E.
McDermid, M.E.
McGettrick, M.F.
McKean, T.D.
McKenna, M.A.
Medvedo, P.P.
Mikuta, M.P. VP,C
Minter, S.A.
Mistr, W.S. SVP
Mola, E.C.
Moore, J.L. VP
Nichols, C.J. C C
O'Hanlon, J.P. EVP P,COO P P,COO
Randall, K.A.
Riekel, A.R. VP
Riely, H.C. S
Rigsby, R.E. EVP
Riley, H.P. EVP D,P,CEO D,P,CEO
Riley, P.E., Jr. SVP
Rivas, E.J. SVP SVP
Roach, E.M., Jr. D,EVP D D D D D
Roberts, C.E. VP VP
Rogers, S.A. VP,C
Royal, F.S.
Sanderlin, J.L. SVP
Schools, M.R., Jr.
Schuyler, J.R. SVP SVP
Shaw, J.A. SVP SVP SVP
Simmons, S.D.
Spilman, R.H.
Staton, J.D.
Stutts, J.F. VP,GC
Sypolt, G.L.
Thatcher, R.T.
Trueheart, J.L. GVP,CAO VP,C
Vanzant, J.C., Jr. VP
Wester, T.E.
Wilkerson, P.A. VP,S VP,S VP,S VP,S VP,S VP,S
Wollard, D.A.
Wood, F.G., III SVP SVP
Address key and position symbol key are located on pages 13 and 14.
19
Names of System Companies with Which Connected
------------------------------------------------------------------------------
Virginia
Dominion Dominion Dominion East Ohio Peoples Electric and
Retail Transmission U.K. Holding Hope Gas Gas Natural Gas Power
-------- ------------ ------------ -------- --------- ----------- ------------
Lambert, B.J., III
Leatherwood, R.L.
Lego, P.E.
Lewis, J.R.
Manning, A.E.
Marks, E.J., III
Martin, J.K.
Matthews, W.R. VP
McClenaghan, N.E. VP VP VP VP
McDermid, M.E. VP
McGettrick, M.F. SVP SVP SVP SVP
McKean, T.D.
McKenna, M.A.
Medvedo, P.P.
Mikuta, M.P.
Minter, S.A.
Mistr, W.S. VP
Mola, E.C.
Moore, J.L.
Nichols, C.J.
O'Hanlon, J.P. P P,COO
Randall, K.A.
Riekel, A.R. VP
Riely, H.C.
Rigsby, R.E. P P P P,COO
Riley, H.P.
Riley, P.E., Jr. SVP
Rivas, E.J. SVP
Roach, E.M., Jr. D D D D,CEO D,CEO D,CEO D,CEO
Roberts, C.E.
Rogers, S.A. VP
Royal, F.S.
Sanderlin, J.L.
Schools, M.R., Jr. C C C C
Schuyler, J.R.
Shaw, J.A. SVP SVP
Simmons, S.D.
Spilman, R.H.
Staton, J.D. SVP
Stutts, J.F. VP
Sypolt, G.L. SVP
Thatcher, R.T. VP
Trueheart, J.L. GVP
Vanzant, J.C., Jr.
Wester, T.E. VP VP VP
Wilkerson, P.A. VP,S VP,S VP,S VP,S VP,S VP,S VP,S
Wollard, D.A.
Wood, F.G., III
Address key and position symbol key are located on pages 13 and 14.
20
Part II. Banking connections
Information concerning all officers and directors of each system company who
have financial connections within the provisions of Section 17(c) of the Public
Utility Holding Company Act of 1935 as of December 31, 2000, follows:
Position Held Applicable
Name of Officer or Name and Location of Financial in Financial Exemption
Director Institution Institution Rule
------------------ ------------------------------ ------------- ----------
George A. Davidson, The PNC Financial Services Group, Director 70(a)
Jr..................... Inc. Pittsburgh, Pennsylvania
Benjamin J. Lambert, Consolidated Bank and Trust Director 70(a)
III.................... Company Richmond, Virginia
Steven A. Minter........ KeyCorp Director 70(a)
Cleveland, Ohio
Frank S. Royal.......... SunTrust Banks, Inc. Director 70(b)
Atlanta, Georgia.
Part III. Compensation and other related information
(a) The compensation of directors and executive officers of system
companies:
Information concerning the compensation of directors and the five
highest paid executive officers of the system for the year 2000 is included
in the Registrant's 2001 Proxy Statement which is filed as Exhibit F-4 to
this Form U5S. Information presented under the captions "THE BOARD--
Compensation and Other Programs" on page 8 and "EXECUTIVE COMPENSATION" on
page 15 in such proxy statement is hereby incorporated by reference.
(b) Their interest in the securities of system companies including options
or other rights to acquire securities:
Information concerning the interests of directors and executive officers
in the securities of system companies including options or other rights to
acquire securities is included in the Registrant's 2001 Proxy Statement,
which is filed as Exhibit F-4. Information presented under the following
captions in such proxy statement is hereby incorporated by reference: "THE
BOARD--Compensation and other Programs" on page 8; "SHARE OWNERSHIP TABLE"
on page 9; "ORGANIZATION, COMPENSATION & NOMINATING COMMITTEE REPORT--Long-
Term Incentives" on page 13; and "EXECUTIVE COMPENSATION" on pages 15
through 19.
(c) Their contracts and transactions with system companies:
Information concerning contracts and transactions by directors and
executive officers with system companies is included in the Registrant's
2001 Proxy Statement, which is filed as Exhibit F-4 to this Form U5S.
Information presented under the following captions in such proxy statement
is hereby incorporated by reference: "THE BOARD--Compensation and Other
Programs" on page 8; "EXECUTIVE COMPENSATION--Other Executive Agreements
and Arrangements" on page 18; and "EXECUTIVE COMPENSATION--Executive Stock
Purchase and Loan Program" on page 19.
(d) Their indebtedness to system companies:
None.
(e) Their participation in bonus and profit-sharing arrangements and other
benefits:
Information concerning the participation by directors and executive
officer in other benefits is included in the Registrant's 2001 Proxy
Statement, which is filed as Exhibit F-4 to this Form U5S. Information
presented under the following captions in such proxy statement is hereby
incorporated by
21
reference: "THE BOARD--Compensation and Other Programs" on page 8;
"ORGANIZATION, COMPENSATION & NOMINATING COMMITTEE REPORT--Annual
Incentives and Long-term Incentives" on pages 12 and 13; "EXECUTIVE
COMPENSATION--Retirement Plans" on page 17; "EXECUTIVE COMPENSATION--Other
Executive Agreements and Arrangements" on page 18; and "EXECUTIVE
COMPENSATION--Executive Stock Purchase and Loan Program" on page 19.
(f) Their rights to indemnification:
Pursuant to Section 13.1-697 and Section 13.1-698 of the Code of
Virginia, the Company's articles of incorporation indemnify a director or
officer who was or is a party or is threatened to be made a party to any
threatened, pending or completed action, suit or proceeding, whether civil,
criminal, administrative or investigative by reason of the fact that he is
or was a director, officer, employee or agent of the Company, or is or was
serving at the request of the Company as a director, officer, employee or
agent, against reasonable expenses incurred by him in connection with such
action, suit or proceeding if he acted in good faith and in a manner he
reasonably believed to be in or not opposed to the best interests of the
Company, and, with respect to any criminal action or proceeding, had no
reasonable cause to believe his conduct was unlawful.
The Company also purchases directors and officers liability insurance with
limits of $250 million, and, in recognition of the scope of the foregoing by-
law indemnification, certain other errors and omission and general liability
insurance coverage's which are applicable to all employees as insured,
including directors and officers.
ITEM 7. CONTRIBUTIONS AND PUBLIC RELATIONS
There were no payments made to any citizens group, public relations counsel,
political party, candidate for public office or holder of public office, or any
committee or agent therefor by the system companies during the year 2000.
Political contributions made by Dominion and its subsidiary companies,
before becoming subject to the 1935 Act on January 28, 2000 are not disclosed.
ITEM 8. SERVICES, SALES AND CONSTRUCTION CONTRACTS
Part I. Contracts for services or goods between system companies:
Date of Contract
Transaction (Note 1) Serving Company Receiving Company Compensation (Note 2)
-------------------- --------------------- ----------------------- ------------ ----------------
Management Services..... Dominion Transmission East Ohio Gas $1,847,243 January 28, 2000
Management Services..... Dominion Transmission Peoples Natural Gas $1,324,300 January 28, 2000
Management Services..... Dominion Transmission Hope Gas $ 811,796 January 28, 2000
Management Services..... Dominion Transmission Dominion Field Services $ 547,783 May 22, 1991
Management Services..... Dominion Transmission Virginia Natural Gas $ 307,963 (Note 3)
Aircraft Services....... Dominion Transmission Virginia Natural Gas $ 18,133 (Note 3,4)
22
ITEM 8. SERVICE, SALES AND CONSTRUCTION CONTRACTS (Continued)
Date of Contract
Transaction (Note 1) Serving Company Receiving Company Compensation (Note 2)
-------------------- --------------- ----------------- ------------ ----------------
Management Services..... Dominion Energy Morgantown Energy $ 541,980 September 15, 1989
Services Associates
Company, Inc.
Management Services..... Great Lakes Dominion Midwest $ 7,973,181 July 1, 1995
Compression, Energy, Inc.
Inc.
Management Services..... Dominion Dominion Appalachian $ 2,403,914 October 1, 1995
Appalachian Development Properties
Development, LLC
Inc.
Nuclear Fuel
Procurement............ Virginia Power VP Fuel, Corporation $68,661,283 June 30, 1995
Telecommunications
Services............... Virginia Power Dominion Telecom, $ 1,315,245 September 2, 1997
formerly VPS
Communications, Inc.
Nuclear Management &
Operations............. Virginia Power VP Services, Inc. (VPNS) $ 1,429,608 September 3, 1997,
as amended on
October 30, 1998
Administrative
Services............... Virginia Power VP Services, Inc. (VPEM) $ 3,028,201 September 3, 1997,
as amended on
October 30, 1998
Administrative
Services............... Virginia Power VP Services, Inc. (VPE) $ 137,772 September 3, 1997,
as amended on
October 30, 1998
Fuel & Risk Management
Services............... VPSE Virginia Power $ 6,201,211 October 30, 1998
Fuel & Risk Management
Services............... VPEM VPSE $16,493,575 October 30, 1998
-------
Notes:
(1) Contracts for management services with aggregate consideration passing
between the same companies of less than $100,000 have been omitted.
(2) All contracts were in effect at December 31, 2000.
(3) Virginia Natural Gas was sold by CNG on October 6, 2000. Approval of
contracts was pending at time of service.
(4) Aircraft services consisted of helicopters.
Part II. Contracts to purchase services or goods between any system company and
any affiliate (other than a system company) or any company in which any officer
or director of the receiving company is a partner or owns 5 percent or more of
any class of equity securities:
None.
Part III. Employment of any person by any system company for the performance on
a continuing basis of management, supervisory or financial advisory services:
None.
23
ITEM 9. WHOLESALE GENERATORS AND FOREIGN UTILITY COMPANIES
Part I. Information concerning the interests held by system companies in
exempt wholesale generators or foreign utility companies:
1. Information concerning the interests held by system companies in exempt
wholesale generators follows.
Kincaid Generation, LLC
(a) Dominion Kincaid, Inc. is a wholly owned subsidiary of Dominion Energy,
Inc. (DEI) which holds a 99% interest in Kincaid Generation LLC (Kincaid).
Kincaid is a 1,108 net megawatt coal-fired electric generating facility.
The name and business address of Kincaid is as follows:
Kincaid Generation, LLC
PO Box 260
Kincaid, Illinois 62540-0260
(b) At December 31, 2000, DEI's and Dominion Kincaid's investment in
Kincaid totaled $95,768,000 which includes intercompany loans/advances of
$776,002.
(c) Kincaid's debt to equity ratio and earnings as of December 31, 2000 was
2.11 ($252,456/119,547) and $22,019,046 respectively.
(d) At December 31, 2000, services between Kincaid and a system company
were as follows:
Transaction: Management services
Serving Company: Dominion Energy Services Company, Inc.
Receiving
Company: Kincaid Generation, LLC
Compensation: $2,053,284
Date of Contract: February 27, 1998
Elwood Energy LLC
(a) Dominion Elwood, Inc. is a wholly owned subsidiary of DEI which holds a
50% interest in Elwood Energy, LLC (Elwood). The purpose of the Company is to
own and develop up to 2,500 megawatt combined cycle and single cycle electric
power generating facility located near Elwood, Illinois. Elwood is also
permitted to purchase and sell fuel, electricity and capacity, and to operate
and manage the facility.
The name and business address of Elwood is as follows:
Elwood Energy, LLC
21100 Noel Road
Elwood, Illinois 60421
(b) At December 31, 2000, DEI's investment in Elwood totaled $77,719,216,
which includes an intercompany loans/advances of ($19,149,702).
(c) At December 31, 2000, Elwood had no debt outstanding. Therefore no debt
to equity ratio is presented. Elwood's earnings at December 31, 2000 were
$25,003,193.
(d) At December 31, 2000, services between Elwood and a system company were
as follows:
Transaction: Management services
Serving Company: Dominion Elwood Services Company
Receiving Company: Elwood Energy
Compensation: $403,897
Date of Contract: June 18, 1999
24
Elwood Energy II LLC
(a) Dominion Elwood II, Inc. is a wholly-owned subsidiary of Dominion
Generation, Inc. which holds a 50% interest in Elwood Energy II, LLC (Elwood
II), which holds a 100% interest in Elwood II Holdings, LLC. Elwood II is
involved in the development of a 300-megawatt gas fired combustion turbine
power plant in Elwood, Illinois.
The name and business address of Elwood II is as follows:
Elwood Energy II, LLC
24391 South Patterson Avenue
Elwood, Illinois 60421
(b) At December 31, 2000, DEI's investment in Elwood II totaled $42,551,938
which represents intercompany loans/advances of $42,551,938.
(c) Since the facility is currently in the construction stage, Elwood II had
no earnings for the year ended December 31, 2000. Accordingly, there is no debt
to equity ratio for Elwood II.
(d) At December 31, 2000, there were no services, sales or construction
contracts between Elwood II and any system company.
Elwood Energy III, LLC
(a) Dominion Elwood III, Inc. is a wholly-owned subsidiary of Dominion
Generation, Inc. which holds a 50% interest in Elwood Energy III, LLC (Elwood
III), which holds a 100% interest in Elwood III Holdings, LLC. Elwood III is
involved in the development of a 450-megawatt gas fired combustion turbine
power plant in Elwood, Illinois.
The name and business address of Elwood is as follows:
Elwood Energy III, LLC
24391 South Patterson Avenue
Elwood, Illinois 60421
(b) At December 31, 2000 DEI's investment in Elwood III totaled $70,258,682
which includes intercompany loans/advances of $70,368,724.
(c) Since the facility is currently in the construction stage, Elwood III
had no earnings for the year ended December 31, 2000. Accordingly, there is no
debt to equity ratio for Elwood III.
(d) At December 31, 2000, there was no service, sales or construction
contracts between Elwood III and any system company.
Kauai Power Partners, L.P.
(a) CNG International holds a 1% limited partnership interest in Kauai Power
Partners, L.P. (KPP), and CNG Kauai, a subsidiary of CNG International, holds a
1% general partnership interest and a 98% limited partnership interest in KPP.
KPP is involved in the greenfield development of a 26-megawatt advanced steam-
injected combustion turbine power plant on the island of Kauai, Hawaii.
The name and business address of KPP are as follows:
Kauai Power Partners, L.P.
Dominion Tower
625 Liberty Avenue
Pittsburgh, PA 15222
25
(b) At December 31, 2000, CNG International's and CNG Kauai's investment in
KPP totaled $2,501,000, which represents primarily costs incurred for the
project prior to construction.
(c) KPP has a capital structure consisting of equity contributed by its
partners and has no debt. Accordingly, there is no meaningful debt to equity
ratio for KPP. Since the facility is currently in the planning stage, KPP had
no earnings for the year ended December 31, 2000.
(d) At December 31, 2000, there were no service, sales or construction
contracts between KPP and any system company.
2. Information concerning the interests held by system companies in a
foreign utility company (FUCO) follows.
Latin America Fund
(a) CNG International holds a 16.5% limited partnership interest in The
Latin America Energy and Electricity Fund I, L.P. (Latin America Fund), a
Cayman Islands exempted limited partnership, and an 8.29% general partnership
interest in FondElec General Partner, L.P. (FondElec). FondElec holds a 1%
general partnership interest in the Latin America Fund. The Latin America
Fund's business is limited to investing in FUCOs in Latin America. As part of
the transaction, CNG International obtains an ownership interest, equal to its
percentage ownership interest in the partnership, in each of the Latin America
Fund's investments. The Latin America Fund had investments in two FUCOs as of
December 31, 2000.
The name and business address of the Latin America Fund are as follows:
The Latin America Energy and Electricity Fund I, L.P.
Stamford Harbor Park
333 Ludlow Street
Stamford, CT 06902
(b) At December 31, 2000, CNG International's investment in the Latin
America Fund totaled $8,129,000. CNG International's total commitment for
investment in the Latin America Fund was originally $10,000,000. The investment
program has been completed. There have been no transfers of assets from a CNG
affiliate to any FUCO in which the Latin America Fund has an interest.
(c) The Latin America Fund is an equity investment fund and as such has a
capital structure consisting of equity funds contributed by its partners.
Accordingly, there is no meaningful debt to equity ratio for the Latin America
Fund. The Latin America Fund had net income of $214,051 for the year ended
December 31, 2000.
(d) There are no service, sales or construction contracts between the Latin
America Fund, or any FUCOs in which the Latin America Fund has an interest, and
a system company.
Sodigas Pampeana, Sodigas Sur, and Buenos Aires Energy Company
On October 12, 2000, CNG International completed the sale of CNG Cayman
Three Ltd. and its subsidiary, CNG Argentina S.A., to Sempra Energy
International. Included in the sale were CNG International's 21.55% ownership
interest in each of two gas utility holding companies, Sodigas Pampeana and
Sodigas Sur, and a 25% ownership interest in an electric utility holding
company, Buenos Aires Energy Company (BAECO). The gas utility holding companies
have ownership interests in two gas distribution companies, Camuzzi Gas
Pampeana S.A. and Camuzzi Gas del Sur S.A., and BAECO has an ownership interest
in an electric distribution company, Empresa Distribuidora de Energia Atlantica
S.A.
As a result of the sale, at December 31, 2000, CNG's only investment in
FUCOs is the Latin American Fund, which is discussed above.
26
Corby Power Limited
In September 2000, Dominion completed the sale of its 80% interest in Corby
Power Limited (Corby) to PowerGen plc for 52.5 million pound sterling ($78
million at December 31, 2000). Corby is the owner of a 350-megawatt natural
gas-fired facility located approximately 90 miles north of London, England.
FUCO's held by Dominion Energy, Inc.
DEI reached an agreement on August 1, 1999 to sell its interests in its
foreign generation businesses which consists of approximately 1,200-megawatts
of gross generation capacity located in Latin America. DEI completed the sale
of its interests in Belize and Peru on November 1, 1999 and completed the sale
of its interests in Argentina and Bolivia on March 31, 2000 and May 31, 2000,
respectively. As of December 31, 2000, DEI held no investments in any FUCO's.
Part II. Relationship of exempt wholesale generators and foreign utility
companies to system companies, and financial data:
An organization chart showing the relationship of the EWG's to other system
companies is filed as Exhibit H-1 to H-3 to this Form U5S. An organization
chart showing the relationship of the FUCO to other system companies is filed
as Exhibit H-4 to this Form U5S. The financial statements of the EWG's is filed
as Exhibit I-1 to I-3 to this Form U5S. Financial statements of the FUCO are
filed as Exhibit I-4 to this Form U5S.
Part III. Investment in exempt wholesale generators and foreign utility
companies:
At December 31, 2000, Dominion's aggregate investment in EWG's amounted to
$288,798,836, or 5.7% of Dominion's aggregate capital investment in its
domestic public utility subsidiaries at that date. Dominion's aggregate
investment in FUCO's was $8,129,000 at December 31, 2000, or 0.2% of Dominion's
aggregate capital investment in its domestic public utility subsidiaries.
At December 31, 2000, CNG's aggregate investment in KPP amounted to
$2,501,000, or 0.2% of CNG's aggregate capital investment in its domestic
public utility subsidiaries at that date. CNG's aggregate investment in the
Latin American Fund was $8,129,000 at December 31, 2000, or 0.7% of CNG's
aggregate capital investment in its domestic public utility subsidiaries.
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS
Financial statements as of and for the year ended December 31, 2000
Dominion Resources, Inc.:
Consolidating Balance Sheet............................................... 31
Consolidating Income Statement............................................ 35
Consolidating Statement of Common Shareholders' Equity.................... 37
Consolidating Statement of Comprehensive Income........................... 39
Consolidating Statement of Cash Flows..................................... 41
Consolidated Natural Gas Company
Reclassifying Balance Sheet............................................... 43
Reclassifying & Adjusting Income Statement................................ 45
Reclassifying & Adjusting Statement of Comprehensive Income............... 46
Reclassifying & Adjusting Statement of Cash Flows......................... 47
Consolidating Balance Sheet............................................... 48
Consolidating Income Statement Supplement................................. 52
Consolidating Statement of Retained Earnings.............................. 54
Consolidating Statement of Comprehensive Income........................... 56
Consolidating Statement of Cash Flows..................................... 58
27
Consolidating Balance Sheet Supplement.................................... 60
Consolidating Income Statement Supplement................................. 62
Consolidating Statement of Retained Earnings Supplement................... 63
Consolidating Statement of Comprehensive Income Supplement................ 64
Consolidating Statement of Cash Flows Supplement.......................... 65
Dominion Transmission, Inc.
Consolidating Balance Sheet............................................... 66
Consolidating Income Statement............................................ 68
Consolidating Statement of Retained Earnings.............................. 69
Consolidating Statement of Comprehensive Income........................... 70
Consolidating Statement of Cash Flows..................................... 71
Dominion Exploration and Production, Inc.
Consolidating Balance Sheet............................................... 72
Consolidating Income Statement............................................ 74
Consolidating Statement of Retained Earnings.............................. 75
Consolidating Statement of Comprehensive Income........................... 76
Consolidating Statement of Cash Flows..................................... 77
CNG Power Company
Consolidating Balance Sheet............................................... 78
Consolidating Income Statement............................................ 80
Consolidating Statement of Retained Earnings.............................. 81
Consolidating Statement of Comprehensive Income........................... 82
Consolidating Statement of Cash Flows..................................... 83
CNG International Corporation
Consolidating Balance Sheet............................................... 84
Consolidating Income Statement............................................ 86
Consolidating Statement of Retained Earnings.............................. 87
Consolidating Statement of Comprehensive Income........................... 88
Consolidating Statement of Cash Flows..................................... 89
CNG Cayman One Ltd.
Consolidating Income Statement............................................ 90
Consolidating Statement of Retained Earnings.............................. 91
Consolidating Statement of Comprehensive Income........................... 92
Consolidating Statement of Cash Flows..................................... 93
CNG Cayman Three Ltd.
Consolidating Income Statement............................................ 94
Consolidating Statement of Retained Earnings.............................. 95
Consolidating Statement of Comprehensive Income........................... 96
Consolidating Statement of Cash Flows..................................... 97
Dominion Products and Services, Inc.
Consolidating Balance Sheet............................................... 98
Consolidating Income Statement............................................ 100
Consolidating Statement of Retained Earnings.............................. 101
Consolidating Statement of Comprehensive Income........................... 102
Consolidating Statement of Cash Flows..................................... 103
Dominion Capital, Inc.
Consolidating Balance Sheet............................................... 104
Consolidating Income Statement............................................ 108
Consolidating Statement of Common Shareholders' Equity.................... 110
Consolidating Statement of Comprehensive Income........................... 112
Consolidating Statement of Cash Flows..................................... 114
28
Dominion Energy, Inc.
Consolidating Balance Sheet............................................... 116
Consolidating Income Statement............................................ 118
Consolidating Statement of Common Shareholders' Equity.................... 119
Consolidating Statement of Comprehensive Income........................... 120
Consolidating Statement of Cash Flows..................................... 121
Dominion Energy, Inc.- Domestic Power Generation
Consolidating Balance Sheet............................................... 122
Consolidating Income Statement............................................ 126
Consolidating Statement of Common Shareholders' Equity.................... 128
Consolidating Statement of Comprehensive Income........................... 130
Consolidating Statement of Cash Flows..................................... 132
Dominion Kincaid, Inc.
Consolidating Balance Sheet............................................... 134
Consolidating Income Statement............................................ 136
Consolidating Statement of Common Shareholders' Equity.................... 137
Consolidating Statement of Comprehensive Income........................... 138
Consolidating Statement of Cash Flows..................................... 139
Dominion Energy, Inc.- Foreign Power Generation
Consolidating Balance Sheet............................................... 140
Consolidating Income Statement............................................ 142
Consolidating Statement of Common Shareholders' Equity.................... 143
Consolidating Statement of Comprehensive Income........................... 144
Consolidating Statement of Cash Flows..................................... 145
Dominion Energy, Inc.- Oil and Gas
Consolidating Balance Sheet............................................... 146
Consolidating Income Statement............................................ 148
Consolidating Statement of Common Shareholders' Equity.................... 149
Consolidating Statement of Comprehensive Income........................... 150
Consolidating Statement of Cash Flows..................................... 151
Dominion Reserves, Inc.
Consolidating Balance Sheet............................................... 152
Consolidating Income Statement............................................ 156
Consolidating Statement of Common Shareholders' Equity.................... 158
Consolidating Statement of Comprehensive Income........................... 160
Consolidating Statement of Cash Flows..................................... 162
Dominion Gas Processing MI, Inc.
Consolidating Balance Sheet............................................... 164
Consolidating Income Statement............................................ 166
Consolidating Statement of Common Shareholders' Equity.................... 167
Consolidating Statement of Comprehensive Income........................... 168
Consolidating Statement of Cash Flows..................................... 169
Dominion San Juan, Inc.
Consolidating Balance Sheet............................................... 170
Consolidating Income Statement............................................ 172
Consolidating Statement of Common Shareholders' Equity.................... 173
Consolidating Statement of Comprehensive Income........................... 174
Consolidating Statement of Cash Flows..................................... 175
29
Dominion Energy Canada Limited
Consolidating Balance Sheet............................................... 176
Consolidating Income Statement............................................ 178
Consolidating Statement of Common Shareholders' Equity.................... 179
Consolidating Statement of Comprehensive Income........................... 180
Consolidating Statement of Cash Flows..................................... 181
Virginia Electric and Power Company
Consolidating Balance Sheet............................................... 182
Consolidating Income Statement............................................ 184
Consolidating Statement of Common Shareholders' Equity.................... 185
Consolidating Statement of Comprehensive Income........................... 186
Consolidating Statement of Cash Flows..................................... 187
Virginia Power Services, Inc.
Consolidating Balance Sheet............................................... 188
Consolidating Income Statement............................................ 190
Consolidating Statement of Common Shareholders' Equity.................... 191
Consolidating Statement of Comprehensive Income........................... 192
Consolidating Statement of Cash Flows..................................... 193
The Notes to the Consolidated Financial Statements appearing on pages 41 to
69 of Dominion Resources, Inc.'s Form 10-K, filed with the Securities and
Exchange Commission (SEC) on March 20, 2001, and on pages 43 to 67 of Virginia
Electric and Power Company's Form 10-K, filed with the SEC on March 16, 2001,
and on pages 39 to 73 of Consolidated Natural Gas Company's Form 10-K filed
with the SEC on March 16, 2001 are incorporated herein by reference.
30
DOMINION RESOURCES, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Consolidating Virginia Dominion
Dominion Entries and Power (Page CNG (Page Energy
Consolidated Adjustments Dominion 182) 43) (Page 116)
------------ ------------- ----------- ----------- ---------- ----------
Current assets:
Cash and cash
equivalents............ $ 360,036 $ -- $ 50,922 $ 140,749 $ 57,549 $ 34,952
Accounts receivable:
Customers (less
allowance)............ 1,871,648 1,133,802 737,720
Other.................. 485,939 (166,519) 6,756 117,416 275,668 139,429
Inventories:
Materials and
supplies.............. 150,269 128,688 21,255
Fossil fuel............ 101,972 101,972
Gas stored--current
portion............... 74,600 74,600
Investment securities--
trading................ 274,643
Mortgage loans held for
sale................... 103,956
Commodity contract
assets................. 1,057,628 1,046,569 11,059
Unrecovered gas costs... 263,418 263,418
Broker margin deposits.. 267,305 2,991 264,314
Prepayments............. 172,672 18,665 154,007
Net assets held for
sale................... 72,854 15,696 57,158
Other................... 608,237 (7,363) 32,877 141,989 220,126 147,580
----------- ----------- ----------- ----------- ---------- ----------
Total current assets... 5,865,177 (173,882) 106,251 2,832,841 2,125,815 333,020
----------- ----------- ----------- ----------- ---------- ----------
Investments:
Loans receivable, net... 675,600
Investments in
affiliates............. 391,634 (8,104,992) 7,848,303 215,086
Available for sale
securities............. 291,630
Nuclear decommissioning
trust funds............ 851,453 851,453
Investment in real
estate................. 64,924
Other................... 326,589 (9,712) 2,679 62,216 119,193
----------- ----------- ----------- ----------- ---------- ----------
Total net investments.. 2,601,830 (8,114,704) 7,850,982 913,669 334,279
----------- ----------- ----------- ----------- ---------- ----------
Property, plant and
equipment:
Property, plant and
equipment.............. 28,011,326 (31,147) (120,554) 16,949,522 9,336,102 1,742,280
Less accumulated
depreciation, depletion
and amortization....... 13,162,051 (14,074) (8,644) 7,784,352 4,967,724 414,789
----------- ----------- ----------- ----------- ---------- ----------
Property, plant and
equipment, net........ 14,849,275 (17,073) (111,910) 9,165,170 4,368,378 1,327,491
----------- ----------- ----------- ----------- ---------- ----------
Deferred charges and
other assets:
Goodwill, net........... 3,501,841 3,449,118 2,927
Regulatory assets, net.. 516,068 86,090 235,172 194,806
Prepaid pension costs... 1,454,427 1,005,277 14,733 434,417
Other, net.............. 559,303 179 3,433 169,274 188,476 46,087
----------- ----------- ----------- ----------- ---------- ----------
Total deferred charges
and other
assets................ 6,031,639 179 4,543,918 419,179 817,699 49,014
----------- ----------- ----------- ----------- ---------- ----------
Total Assets............ $29,347,921 $(8,305,480) $12,389,241 $13,330,859 $7,311,892 $2,043,804
=========== =========== =========== =========== ========== ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
31
DOMINION RESOURCES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Dominion
Dominion Dominion Resources U.K.
Capital Resources Dominion Dominion Capital Holding,
(Page 104) Services, Inc. Telecom, Inc. Generation, Inc. Trust I, Inc. Inc.
---------- -------------- ------------- ---------------- ------------- --------
Current assets:
Cash and cash
equivalents............ $ 43,197 $ 20,480 $ 11,111 $-- $ -- $1,076
Accounts receivable:
Customers (less
allowance)............ 126
Other.................. 6,239 102,140 3,193 1 1,616
Inventories:
Materials and
supplies.............. 326
Fossil fuel............
Gas stored--current
portion...............
Investment securities--
trading................ 274,643
Mortgage loans held for
sale................... 103,956
Commodity contract
assets.................
Unrecovered gas costs...
Broker margin deposits..
Prepayments.............
Net assets held for
sale...................
Other................... 62,060 9,115 222 1,631
---------- -------- -------- ---- -------- ------
Total current assets... 490,095 131,735 14,978 1 1,631 2,692
---------- -------- -------- ---- -------- ------
Investments:
Loans receivable, net... 675,600
Investments in
affiliates............. 175,505 257,732
Available for sale
securities............. 291,630
Nuclear decommissioning
trust funds............
Investment in real
estate................. 64,924
Other................... 145,274 6,739 200
---------- -------- -------- ---- -------- ------
Total net investments.. 1,352,933 6,739 200 257,732
---------- -------- -------- ---- -------- ------
Property, plant and
equipment:
Property, plant and
equipment.............. 35,296 2,131 97,662 34
Less accumulated
depreciation, depletion
and amortization....... 16,298 1,596 10
---------- -------- -------- ---- -------- ------
Property, plant and
equipment, net........ 18,998 2,131 96,066 24
---------- -------- -------- ---- -------- ------
Deferred charges and
other assets:
Goodwill, net........... 49,796
Regulatory assets, net..
Prepaid pension costs...
Other, net.............. 123,871 17,385 10,598
---------- -------- -------- ---- -------- ------
Total deferred charges
and other assets...... 173,667 17,385 10,598
---------- -------- -------- ---- -------- ------
Total Assets............ $2,035,693 $157,990 $121,842 $ 25 $259,363 $2,692
========== ======== ======== ==== ======== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
32
DOMINION RESOURCES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Consolidating Virginia Dominion
Dominion Entries and Power (Page CNG (Page Energy
Consolidated Adjustments Dominion 183) 44) (Page 117)
------------ ------------- ----------- ----------- ---------- ----------
Current liabilities:
Securities due within
one year............... $ 336,479 $ -- $ -- $ 240,650 $ -- $ 6,330
Short-term debt......... 3,236,817 1,305,330 713,810 1,215,175 2,502
Accounts payable,
trade.................. 1,735,910 (190,139) 6,205 1,004,175 766,244 65,333
Accrued interest........ 194,568 (7,363) 63,117 93,851 23,594 4,625
Accrued payroll......... 127,327 88,308 7,095
Accrued taxes........... 316,889 70,507 60,219 178,224 1,227
Commodity contract
liabilities............ 1,020,463 993,352 26,866 245
Other................... 623,345 22,082 26,884 155,169 337,100 65,934
----------- ----------- ----------- ----------- ---------- ----------
Total current
liabilities........... 7,591,799 (175,420) 1,472,043 3,349,534 2,554,298 146,196
----------- ----------- ----------- ----------- ---------- ----------
Long term debt.......... 10,101,281 (1,208,692) 3,420,230 3,561,674 1,721,329 1,157,754
----------- ----------- ----------- ----------- ---------- ----------
Deferred credits and
other liabilities:
Deferred income taxes... 2,820,648 345,394 1,494,188 788,462 158,296
Deferred investment tax
credits................ 147,156 129,580 17,576
Other................... 799,873 (25,068) 159,310 302,849 264,675 30,164
----------- ----------- ----------- ----------- ---------- ----------
Total deferred credits
and other
liabilities........... 3,767,677 (25,068) 504,704 1,926,617 1,070,713 188,460
----------- ----------- ----------- ----------- ---------- ----------
Total Liabilities....... 21,460,756 (1,409,180) 5,396,977 8,837,825 5,346,340 1,492,410
----------- ----------- ----------- ----------- ---------- ----------
Minority interest....... 884 884
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts...... 385,000 135,000
Preferred stock no
subject to mandatory
redemption............. 509,014 509,014
Common shareholders'
equity:
Common Stock............ 5,978,436 (4,580,237) 5,978,435 2,737,407 1,815,695 208
Other paid in capital... 16,422 (1,373,000) 16,422 16,274 40,280 572,115
Accumulated other
comprehensive income... (30,882) 33,928 (30,883) (1,471) 295
Retained earnings....... 1,028,290 (976,991) 1,028,290 1,095,339 111,048 (22,108)
----------- ----------- ----------- ----------- ---------- ----------
Total common
shareholders' equity.. 6,992,267 (6,896,300) 6,992,264 3,849,020 1,965,552 550,510
----------- ----------- ----------- ----------- ---------- ----------
Total Liabilities and
shareholders' equity... $29,347,921 $(8,305,480) $12,389,241 $13,330,859 $7,311,892 $2,043,804
=========== =========== =========== =========== ========== ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
33
DOMINION RESOURCES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Dominion
Dominion Dominion Resources U.K.
Capital Resources Dominion Dominion Capital Holding,
(Page 105) Services, Inc. Telecom, Inc. Generation, Inc. Trust I, Inc. Inc.
---------- -------------- ------------- ---------------- ------------- --------
Current liabilities:
Securities due within
one year............... $ 89,499 $ -- $ -- $ -- $ -- $ --
Short-term debt.........
Accounts payable,
trade.................. 9,660 46,295 27,793 345
Accrued interest........ 15,113 1,631
Accrued payroll......... 3,158 28,766
Accrued taxes........... 2,270 82 4,360
Commodity contract
liabilities............
Other................... 4,652 9,431 1,550 543
---------- -------- -------- ----- -------- --------
Total current
liabilities........... 124,352 84,492 29,343 427 1,631 4,903
---------- -------- -------- ----- -------- --------
Long term debt.......... 1,353,801 40,999 54,186
---------- -------- -------- ----- -------- --------
Deferred credits and
other liabilities:
Deferred income taxes... 34,306 2
Deferred investment tax
credits................
Other................... 627 56,816 10,500
---------- -------- -------- ----- -------- --------
Total deferred credits
and other
liabilities........... 34,933 56,816 10,500 2
---------- -------- -------- ----- -------- --------
Total Liabilities....... 1,513,086 182,307 94,029 429 1,631 4,903
---------- -------- -------- ----- -------- --------
Minority interest.......
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts...... 250,000
Preferred stock no
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............ 8 1 19,187 7,732
Other paid in capital... 693,841 10,972 39,518
Accumulated other
comprehensive income... (8,597) (24,318) 164
Retained earnings....... (162,645) 0 (2,346) (404) (41,893)
---------- -------- -------- ----- -------- --------
Total common
shareholders' equity.. 522,607 (24,317) 27,813 (404) 7,732 (2,211)
---------- -------- -------- ----- -------- --------
Total Liabilities and
shareholders' equity... $2,035,693 $157,990 $121,842 $ 25 $259,363 $ 2,692
========== ======== ======== ===== ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
34
DOMINION RESOURCES, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Consolidating Dominion
Dominion Entries and Virginia Power CNG Energy
Consolidated Adjustments Dominion (Page 184) (Page 45) (Page 118)
------------ ------------- -------- -------------- --------- ----------
Operating Revenue:
Regulated sales........
Electric............... $4,492,022 $ -- $ -- $4,492,022 $ -- $ --
Gas.................... 1,374,092 (113,286) 1,487,378
Nonregulated sales.....
Electric............... 96,739 (3) 96,742
Gas.................... 592,790 (13,502) 582,284 24,008
Gas transportation and
storage............... 486,427 (393) (2,116) 488,936
Oil and gas
production............ 855,850 48,272 485,219 322,359
Other.................. 1,361,819 (903,996) 613,097 298,671 583,392 69,256
---------- --------- -------- ---------- --------- -------
Total................. 9,259,739 (917,894) 545,967 4,790,693 3,627,209 512,365
---------- --------- -------- ---------- --------- -------
Expenses:
Fuel, net.............. 1,106,165 1,103,577 2,588
Purchased power
capacity, net......... 740,108 740,108
Purchased gas, net..... 1,452,875 (20,404) (58,644) 1,531,923
Liquids, capacity and
other products
purchased............. 299,866 (3,063) 302,929
Restructuring and other
acquisition related
costs................. 459,266 (48,439) 71,226 260,976 567
Other operation and
maintenance........... 2,011,718 (279,272) 16,746 956,720 539,327 218,083
Depreciation, depletion
and amortization...... 1,176,215 47,283 557,513 413,899 121,820
Other taxes............ 485,339 (4,523) 275,194 184,011 19,678
---------- --------- -------- ---------- --------- -------
Total.................. 7,731,552 (302,739) (47,577) 3,704,338 3,233,065 362,736
---------- --------- -------- ---------- --------- -------
Income from
Operations............ 1,528,187 (615,155) 593,544 1,086,355 394,144 149,629
Other Income........... 95,403 (56,839) 31,605 47,044 27,279 20,190
---------- --------- -------- ---------- --------- -------
Income before interest
and income taxes...... 1,623,590 (671,994) 625,149 1,133,399 421,423 169,819
---------- --------- -------- ---------- --------- -------
Interest and related
charges:
Interest charges....... 957,784 (56,839) 308,861 285,118 150,572 72,641
Preferred dividends and
distributions of
subsidiary trusts..... 66,391 46,816
---------- --------- -------- ---------- --------- -------
Total.................. 1,024,175 (56,839) 308,861 331,934 150,572 72,641
---------- --------- -------- ---------- --------- -------
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 599,415 (615,155) 316,288 801,465 270,851 97,178
Income taxes........... 182,188 (119,310) 279,683 113,584 10,353
Minority interests..... 2,386 2,127
---------- --------- -------- ---------- --------- -------
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 414,841 (615,155) 435,598 521,782 157,267 84,698
Extraordinary item, net
Cumulative effect of a
change in accounting
principle, net........ (21,351) (594) (20,757)
---------- --------- -------- ---------- --------- -------
Net Income............. $ 436,192 $(615,155) $436,192 $ 542,539 $ 157,267 $84,698
========== ========= ======== ========== ========= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
35
DOMINION RESOURCES, INC.
CONSOLIDATING INCOME STATEMENT--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion
Dominion Resources Dominion
Dominion Resources Dominion Dominion Capital U.K.
Capital Services, Telecom, Generation, Trust I, Holding,
(Page 108) Inc. Inc. Inc. Inc. Inc.
---------- --------- -------- ----------- --------- --------
Operating Revenue:
Regulated sales........
Electric...............
Gas....................
Nonregulated sales.....
Electric...............
Gas....................
Gas transportation and
storage...............
Oil and gas
production............
Other.................. $ 432,897 $265,234 $ 3,268 $ -- $ -- $ --
--------- -------- ------- ----- ------ -------
Total................. 432,897 265,234 3,268
--------- -------- ------- ----- ------ -------
Expenses:
Fuel, net..............
Purchased power
capacity, net.........
Purchased gas, net.....
Liquids, capacity and
other products
purchased.............
Restructuring and other
acquisition related
costs................. 192,388 (17,452)
Other operation and
maintenance........... 298,282 256,614 4,410 150 658
Depreciation, depletion
and amortization...... 33,712 442 8 1,538
Other taxes............ 5,082 5,836 61
--------- -------- ------- ----- ------ -------
Total.................. 529,464 262,450 4,913 158 (15,256)
--------- -------- ------- ----- ------ -------
Income from
Operations............ (96,567) 2,784 (1,645) (158) 15,256
Other Income........... (832) (52) 19,575 7,433
--------- -------- ------- ----- ------ -------
Income before interest
and income taxes...... (96,567) 1,952 (1,697) (158) 19,575 22,689
--------- -------- ------- ----- ------ -------
Interest and related
charges:
Interest charges....... 192,178 1,952 895 2,406
Preferred dividends and
distributions of
subsidiary trusts..... 19,575
--------- -------- ------- ----- ------ -------
Total.................. 192,178 1,952 895 19,575 2,406
--------- -------- ------- ----- ------ -------
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. (288,745) (2,592) (158) 20,283
Income taxes........... (100,198) (949) (55) (920)
Minority interests..... 259
--------- -------- ------- ----- ------ -------
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. (188,806) (1,643) (103) 21,203
Extraordinary item, net
Cumulative effect of a
change in accounting
principle, net........
--------- -------- ------- ----- ------ -------
Net Income............. $(188,806) $ -- $(1,643) $(103) $ -- $21,203
========= ======== ======= ===== ====== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
36
DOMINION RESOURCES, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Consolidating Virginia Dominion
Dominion Entries and Power Energy
Consolidated Adjustments Dominion (Page 185) CNG (Page 119)
------------ ------------- ----------- ---------- ---------- ----------
Balance at December 31,
1999................... $ 4,773,462 $(5,099,978) $ 4,757,827 $3,742,352 $ -- $ 634,406
----------- ----------- ----------- ---------- ---------- ---------
Issuance of stock--CNG
acquisition........... 3,527,000 3,527,000
Issuance of stock
through public
offering.............. 354,000 354,000
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans................. 195,000 195,000
Stock repurchase and
retirement............ (1,641,000) (1,641,000)
Premium income equity
securities............ (21,000) (21,000)
Other common stock
activity.............. 3,288 (1,834,882) 3,287 1,815,695
Comprehensive income... 420,236 (596,153) 420,236 542,539 155,796 81,808
Dividends and other
adjustments........... (618,719) 634,713 (603,086) (435,871) (5,939) (165,704)
----------- ----------- ----------- ---------- ---------- ---------
Balance at December 31,
2000................... $ 6,992,267 $(6,896,300) $ 6,992,264 $3,849,020 $1,965,552 $ 550,510
=========== =========== =========== ========== ========== =========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
37
DOMINION RESOURCES, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY--(Continued)
As of December 31, 2000
(Thousands)
Dominion
Dominion Resources Dominion
Dominion Resources Dominion Dominion Capital U.K.
Capital Services, Telecom, Generation, Trust I, Holding,
(Page 110) Inc. Inc. Inc. Inc. Inc.
---------- --------- -------- ----------- --------- --------
Balance at December 31,
1999................... $740,912 $ -- $ -- $(301) $7,732 $(9,488)
-------- -------- ------- ----- ------ -------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 1 19,187
Comprehensive income... (182,247) (24,318) (1,643) (103) 24,322
Dividends and other
adjustments........... (36,058) 10,269 (17,045)
-------- -------- ------- ----- ------ -------
Balance at December 31,
2000................... $522,607 $(24,317) $27,813 $(404) $7,732 $(2,211)
======== ======== ======= ===== ====== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
38
DOMINION RESOURCES, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Consolidating
Dominion Entries and Virginia Power CNG Dominion Energy
Consolidated Adjustments Dominion (Page 186) (Page 46) (Page 120)
------------ ------------- -------- -------------- --------- ---------------
Net Income.............. $436,192 $(615,155) $436,192 $542,539 $157,267 $84,698
-------- --------- -------- -------- -------- -------
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............ 6,558 (6,558) 6,558
Less: reclassification
adjustment for gains
(losses) realized in
net income............
-------- --------- -------- -------- -------- -------
Unrealized gains
(losses) on investment
securities............ 6,558 (6,558) 6,558
Foreign currency
translation
adjustment............ 1,804 (229) 1,804 (2,890)
Minimum pension
liability adjustment.. (24,318) 25,789 (24,318) (1,471)
-------- --------- -------- -------- -------- -------
Other comprehensive
income (Loss).......... (15,956) 19,002 (15,956) (1,471) (2,890)
-------- --------- -------- -------- -------- -------
Comprehensive Income.... $420,236 $(596,153) $420,236 $542,539 $155,796 $81,808
======== ========= ======== ======== ======== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
39
DOMINION RESOURCES, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion Dominion
Capital Resources Dominion Dominion Resources Capital Dominion U.K.
(Page 112) Services, Inc. Telecom, Inc. Generation, Inc. Trust I, Inc. Holding, Inc.
---------- -------------- ------------- ---------------- ----------------- -------------
Net Income.............. $(188,806) $ -- $(1,643) $(103) $ -- $21,203
--------- -------- ------- ----- ----- -------
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............ 6,558
Less: reclassification
adjustment for gains
(losses) realized in
net income............
--------- -------- ------- ----- ----- -------
Unrealized gains
(losses) on investment
securities............ 6,558
Foreign currency
translation
adjustment............ 3,119
Minimum pension
liability adjustment.. (24,318)
--------- -------- ------- ----- ----- -------
Other comprehensive
income (Loss).......... 6,558 (24,318) 3,119
--------- -------- ------- ----- ----- -------
Comprehensive Income.... $(182,248) $(24,318) $(1,643) $(103) $ -- $24,322
========= ======== ======= ===== ===== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
40
DOMINION RESOURCES, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Consolidating Virginia
Dominion Entries and Power CNG
Consolidated Adjustments Dominion (Page 187) (Page 47)
------------ ------------- ---------- ---------- ---------
Cash flows from (used
in) operating
activities:
Net income............. $ 436,192 $(615,155) $ 436,192 $ 542,539 $157,267
Adjustments to
reconcile net income
to net cash from
operating activities:
Cumulative effect of a
change in accounting
principle............. (20,757) (20,757)
Restructuring and other
acquisition related
costs................. 124,075 (67,363) 57,679 133,759
DCI impairment losses.. 292,171
Extraordinary item,
net...................
Impairment of
regulatory assets &
other assets.......... (152,340) 152,340
Gains on sales of
subsidiaries.......... (22,511) 163,317 (168,444)
Depreciation and
amortization.......... 1,267,697 58,385 637,087 413,902
Deferred income taxes.. 21,597 24,257 27,198 17,174
Deferred fuel expense.. (32,578) (32,578)
Changes in current
assets and
liabilities:
Accounts receivable.... (841,857) 134,800 29,535 (524,061) (337,077)
Inventories............ (61,999) 3,502 (70,506)
Unrecovered gas costs.. (216,998) (216,998)
Purchase and
origination of
mortgages............. (4,280,698)
Proceeds from sale and
principal collections
of mortgages.......... 4,295,336
Accounts payable,
trade................. 673,579 (150,221) (2,416) 488,472 361,607
Accrued interest and
taxes................. 139,016 112,159 4,913 34,345
Commodity contract
assets and
liabilities........... (32,447) (32,447)
Net assets held for
sale.................. (23,800) (35,784) 11,984
Other.................. (372,022) 15,276 (483) (81,802) (332,620)
---------- --------- ---------- --------- --------
Net cash flows from
operating activities... 1,343,996 (615,300) 565,459 1,069,745 156,733
---------- --------- ---------- --------- --------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions............. (1,384,473) (734,485) (518,994)
Acquisition of
exploration and
production assets..... (353,029) (214,700)
Loan originations...... (2,910,737)
Repayments of loan
originations.......... 4,255,348
Sale of businesses..... 835,655 676,190
Sale of marketable
securities............ 136,994
Purchase of debt
securities............ (235,125)
Acquisition of
businesses............ (2,779,140) 90,400 (2,869,540)
Other investments...... (140,339) 60,000 (48,600) (47,608)
Other.................. (22,657) (113,350) 130,121 269 3,500
---------- --------- ---------- --------- --------
Net cash flow used in
investing activities... (2,597,503) 37,050 (2,788,019) (781,824) (54,004)
---------- --------- ---------- --------- --------
Cash flow from (used in)
financing activities:
Issuance of common
stock................. 531,597 531,596
Repurchase of common
stock................. (1,641,520) (1,641,520)
Issuance (repayment) of
short term debt....... 1,819,904 (611,150) 1,108,354 335,831 612,687
Issuance of long term
debt.................. 8,108,034 2,862,500 250,000
Repayment of long term
debt.................. (6,812,415) (375,500) (44,615)
Common dividend
payments.............. (615,194) 1,339,800 (615,054) (407,911) (657,140)
Other.................. (56,533) (48,600) (11,337) (46,515)
---------- --------- ---------- --------- --------
Net cash flow from (used
in) financing
activities............. 1,333,873 680,050 2,245,876 (208,917) (135,583)
---------- --------- ---------- --------- --------
Increase (decrease) in
cash and cash
equivalents............ 80,366 101,800 23,316 79,004 (32,854)
Cash and cash
equivalents at
beginning of the year.. 279,670 (101,800) 27,606 61,745 90,403
---------- --------- ---------- --------- --------
Cash and cash
equivalents at end of
the year............... $ 360,036 $ -- $ 50,922 $ 140,749 $ 57,549
========== ========= ========== ========= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
41
DOMINION RESOURCES, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion
Dominion Dominion Resources Dominion Dominion Resources Dominion
Energy Capital Services, Telecom, Generation, Capital UK
(Page 121) (Page 114) Inc. Inc. Inc. Trust I, Inc. Holding
---------- ---------- --------- -------- ----------- ------------- --------
Cash flows from (used
in) operating
activities:
Net income............. $ 84,698 $ (188,806) $ -- $(1,643) $(103) $-- $21,203
Adjustments to
reconcile net income
to net cash from
operating activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses.. 292,171
Extraordinary item,
net...................
Impairment of
regulatory assets &
other assets..........
Gains on sales of
subsidiaries.......... 68 (17,452)
Depreciation and
amortization.......... 121,821 35,005 442 8 1,047
Deferred income taxes.. 19,362 (64,600) (1,759) (36)
Deferred fuel expense..
Changes in current
assets and
liabilities:
Accounts receivable.... (56,210) 9,217 (102,139) 479 3,390
Inventories............ 4,778 227
Unrecovered gas costs..
Purchase and
origination of
mortgages............. (4,280,698)
Proceeds from sale and
principal collections
of mortgages.......... 4,295,336
Accounts payable,
trade................. (67,016) (1,641) 46,296 9,344 (10,686)
Accrued interest and
taxes................. (234) (11,426) (45) (741)
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other.................. (9,744) 563 45,952 683 95 (9,847)
-------- ---------- -------- ------- ----- ---- -------
Net cash flows from
operating activities... 97,523 85,121 (11,650) 9,451 (13,086)
-------- ---------- -------- ------- ----- ---- -------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions............. (64,966) (2,131) (63,897)
Acquisition of
exploration and
production assets..... (138,329)
Loan originations...... (2,910,737)
Repayments of loan
originations.......... 4,255,348
Sale of businesses..... 83,554 75,911
Sale of marketable
securities............ 136,994
Purchase of debt
securities............ (235,125)
Acquisition of
businesses............
Other investments...... 12,527 (116,658)
Other.................. (9,841) (36,319) (6,739) 9,702
-------- ---------- -------- ------- ----- ---- -------
Net cash flow used in
investing activities... (117,055) 1,093,503 (8,870) (63,897) 85,613
-------- ---------- -------- ------- ----- ---- -------
Cash flow from (used in)
financing activities:
Issuance of common
stock................. 1
Repurchase of common
stock.................
Issuance (repayment) of
short term debt....... 399,191 (120,194) 40,999 54,186
Issuance of long term
debt.................. 4,995,534
Repayment of long term
debt.................. (243,776) (6,099,621) (48,903)
Common dividend
payments.............. (163,863) (36,737) (74,289)
Other.................. 1,377 680 47,862
-------- ---------- -------- ------- ----- ---- -------
Net cash flow from (used
in) financing
activities............. (7,071) (1,260,338) 41,000 54,186 (75,330)
-------- ---------- -------- ------- ----- ---- -------
Increase (decrease) in
cash and cash
equivalents............ (26,603) (81,714) 20,480 (260) (2,803)
Cash and cash
equivalents at
beginning of the year.. 61,555 124,911 11,371 3,879
-------- ---------- -------- ------- ----- ---- -------
Cash and cash
equivalents at end of
the year............... $ 34,952 $ 43,197 $ 20,480 $11,111 $ -- $-- $ 1,076
======== ========== ======== ======= ===== ==== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
42
CONSOLIDATED NATURAL GAS COMPANY
RECLASSIFYING BALANCE SHEET
At December 31, 2000
(Thousands)
Consolidated
Natural Gas Reclassification
Company (As Adjustments to
Consolidated with Conform to
Dominion Dominion CNG and
Resources, Inc.) Resources, Inc. Subsidiaries
(Page 31) Presentation (Page 48)
----------------- ---------------- ------------
ASSETS
Current Assets
Cash and cash equivalents..... $ 57,549 $ 1 $ 57,548
Accounts receivable:
Customers, less allowance.... 737,720 (2,684) 740,404
Other........................ 275,668 22,852 252,816
Receivables from affiliated
companies.................... (20,165) 20,165
Inventories:
Gas stored--current portion.. 74,600 (1) 74,601
Materials and supplies....... 21,255 1 21,254
Unrecovered gas costs......... 263,418 263,418
Deferred income taxes--current
(net)........................
Broker margin deposits........ 264,314 264,314
Prepayments................... 154,007 154,007
Other......................... 220,126 220,126
Net assets held for sale...... 57,158 57,158
---------- -------- ----------
Total current assets........ 2,125,815 4 2,125,811
---------- -------- ----------
Investments
Stocks of subsidiary
companies, at equity--
consolidated.................
Notes of subsidiary
companies--consolidated......
Other......................... (79,851) 79,851
---------- -------- ----------
Total investments........... (79,851) 79,851
---------- -------- ----------
Property, Plant and Equipment
Property, plant and
equipment.................... 9,336,102 1 9,336,101
Less accumulated depreciation
and amortization............. 4,967,724 2 4,967,722
---------- -------- ----------
Net property, plant and
equipment.................. 4,368,378 (1) 4,368,379
---------- -------- ----------
Deferred Charges and Other
Assets
Regulatory assets............. 194,806 (969) 195,775
Prepaid pension cost.......... 434,417 (1) 434,418
Other......................... 188,476 79,850 108,626
---------- -------- ----------
Total deferred charges and
other assets............... 817,699 78,880 738,819
---------- -------- ----------
Total assets................ $7,311,892 $ (968) $7,312,860
========== ======== ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
43
CONSOLIDATED NATURAL GAS COMPANY
RECLASSIFYING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Consolidated Natural Reclassification
Gas Company (As Adjustments to
Consolidated with Conform to
Dominion Dominion CNG and
Resources, Inc.) Resources, Inc. Subsidiaries
(Page 33) Presentation (Page 50)
-------------------- ---------------- ------------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt............. $1,215,175 $ -- $1,215,175
Accounts payable, trade..... 766,244 29,950 736,294
Estimated rate contingencies
and refunds................ (40,603) 40,603
Payables to affiliated
companies.................. (29,948) 29,948
Customer deposits........... (7,101) 7,101
Accrued interest............ 23,594 23,594
Accrued payroll............. 7,095 7,095
Accrued taxes............... 178,224 (2) 178,226
Deferred income taxes--
current (net).............. (86,571) 86,571
Commodity contract
liabilities................ 26,866 26,866
Other....................... 337,100 107,412 229,688
---------- -------- ----------
Total current
liabilities.............. 2,554,298 3 2,554,295
---------- -------- ----------
Long-term Debt..............
Debentures and notes........ 1,721,329 1,721,329
Notes payable to
Registrant--consolidated...
---------- -------- ----------
Total long-term debt...... 1,721,329 1,721,329
---------- -------- ----------
Deferred Credits and Other
Liabilities................ --
Deferred income taxes....... 788,462 788,462
Deferred investment tax
credits.................... 17,576 17,576
Other....................... 264,675 (971) 265,646
---------- -------- ----------
Total deferred credits and
other liabilities........ 1,070,713 (971) 1,071,684
---------- -------- ----------
Total liabilities......... 5,346,340 (968) 5,347,308
Commitments and
Contingencies..............
Common Stockholder's
Equity.....................
Common stock................ 1,815,695 1,815,695
Other capital............... 40,280 40,280
Retained earnings........... 111,048 111,048
Accumulated other
comprehensive income....... (1,471) (1,471)
---------- -------- ----------
Total common stockholder's
equity................... 1,965,552 1,965,552
---------- -------- ----------
Total liabilities and
stockholder's equity..... $7,311,892 $ (968) $7,312,860
========== ======== ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
44
CONSOLIDATED NATURAL GAS COMPANY
RECLASSIFYING & ADJUSTING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
To Adjust
Consolidated Natural Reclassification for the Period
Gas Company Adjustments to January 1, 2000 to
(As Consolidated Conform to January 28, 2000
with Dominion Dominion (Date of Acquisition CNG and
Resources, Inc.) Resources, Inc. by Dominion Subsidiaries
(Page 35) Presentation Resources, Inc.) (Page 52)
-------------------- ---------------- -------------------- ------------
Operating revenue and
income:
Regulated gas sales.... $1,487,378 $ 1 $(231,537) $1,718,914
Nonregulated gas
sales................. 582,284 (54,083) (39,072) 675,439
Gas transportation and
storage............... 488,936 (6,081) (55,897) 550,914
Oil and gas
production............ 485,219 (6,995) (39,302) 531,516
Other.................. 583,392 84,130 (35,918) 535,180
---------- --------- --------- ----------
Total................. 3,627,209 16,972 (401,726) 4,011,963
---------- --------- --------- ----------
Expenses:
Purchased gas.......... 1,531,923 (1) (172,916) 1,704,840
Liquids, capacity and
other products
purchased............. 302,929 455 (25,369) 327,843
Restructuring and other
merger-related costs.. 260,976 (9,294) 270,270
Operation and
maintenance........... 539,327 675 (47,634) 586,286
Depreciation and
amortization.......... 413,899 (2) (28,557) 442,458
Other taxes............ 184,011 1 (19,389) 203,399
---------- --------- --------- ----------
Total................. 3,233,065 1,128 (303,159) 3,535,096
---------- --------- --------- ----------
Income from operations.. 394,144 15,844 (98,567) 476,867
---------- --------- --------- ----------
Other income and
expense:
Gain on sale of
Virginia Natural Gas.. (163,317) 163,317
Loss on net assets held
for sale.............. 152,340 (152,340)
Equity in earnings of
subsidiary companies--
consolidated..........
Interest revenue from
affiliated companies--
consolidated.......... (20) 20
Other.................. 27,279 (4,851) (1,809) 33,939
---------- --------- --------- ----------
Total other income and
expense.............. 27,279 (15,848) (1,809) 44,936
---------- --------- --------- ----------
Income before interest
and income taxes....... 421,423 (4) (100,376) 521,803
Interest charges........ 150,572 120 (10,965) 161,417
---------- --------- --------- ----------
Income before income
taxes.................. 270,851 (124) (89,411) 360,386
Income tax expense...... 113,584 (124) (33,404) 147,112
---------- --------- --------- ----------
Income before cumulative
effect of a change in
accounting principle... 157,267 (56,007) 213,274
Cumulative effect of a
change in accounting
principle (net of
income taxes).......... 30,728 (30,728)
---------- --------- --------- ----------
Net income.............. $ 157,267 $ -- $ (86,735) $ 244,002
========== ========= ========= ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
45
CONSOLIDATED NATURAL GAS COMPANY
RECLASSIFYING & ADJUSTING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Consolidated To Adjust for the
Natural Gas period
Company (As January 1, 2000 to
Consolidated with January 28, 2000
Dominion (date of acquisition CNG and
Resources, Inc.) by Dominion Subsidiaries
(Page 39) Resources, Inc.) (Page 56)
----------------- -------------------- ------------
Net income................. $157,267 $(86,735) $244,002
Other comprehensive income,
net of tax:
Foreign currency
translation adjustment.. 1,077 (1,077)
Less: reclassification
adjustment for losses
realized in net income.. (3,637) 3,637
-------- -------- --------
Total foreign currency
translation
adjustment............ (2,560) 2,560
Minimum pension liability
adjustment.............. (1,471) (1,281) (190)
-------- -------- --------
Other comprehensive
income (loss)......... (1,471) (3,841) 2,370
-------- -------- --------
Comprehensive income....... $155,796 $(90,576) $246,372
======== ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
46
CONSOLIDATED NATURAL GAS COMPANY
RECLASSIFYING & ADJUSTING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Consolidated To Adjust
Natural Reclassification for the Period
Gas Company Adjustments to January 1, 2000 to Consolidated Natural
(As Consolidated Conform to January 28, 2000 Gas Company per
with Dominion Dominion (Date of Acquisition Consolidated Natural
Resources, Resources, Inc. by Dominion Gas Company
Inc.)(Page 41) Presentation Resources, Inc.) Form 10-K(Page 58)
---------------- ---------------- -------------------- --------------------
Cash flows from (used
in) operating
activities:
Net income............. $ 157,267 $ -- $ (86,735) $ 244,002
Adjustments to
reconcile net income
to net cash from
operating activities:
Cumulative effect of a
change in accounting
principle............. 30,728 (30,728)
Restructuring and other
acquisition related
costs................. 133,759 (9,294) 143,053
Loss on net assets held
for sale.............. 152,340 152,340
Sale of Virginia
Natural Gas........... 168,444 (168,444)
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries.......... (168,444) (168,444)
Depreciation and
amortization.......... 413,902 1 (28,557) 442,458
Pension cost (credit)--
net................... 138,171 10,364 (148,535)
Deferred income taxes.. 17,174 (12,298) 29,472
Investment tax credit.. 1,909 155 (2,064)
Deferred fuel expense..
Changes in current
assets and
liabilities:
Accounts receivable.... (337,077) 36,762 (373,839)
Inventories............ (70,506) (59,009) (11,497)
Unrecovered gas costs.. (216,998) 8,346 (225,344)
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Broker margin
deposits.............. 225,290 16,607 (241,897)
Prepayments............ 42,586 (14,310) (28,276)
Other current assets... 80,104 (14,789) (65,315)
Accounts payable,
trade................. 361,607 59,087 302,520
Estimated rate
contingencies and
refunds............... 3,749 2,152 (5,901)
Accounts payable to
customers............. (923) 1,882 (959)
Accrued interest and
taxes................. 34,345 (11,463) 45,808
Commodity contract
assets and
liabilities...........
Other--net............. (31,624) (43,066) 74,690
Net assets held for
sale.................. 11,984 4,825 7,159
Changes in other assets
and liabilities....... (127,098) (2,638) 129,736
Other.................. (332,620) (332,165) 53 (508)
--------- --------- --------- ---------
Net cash flows from
operating activities... 156,733 (111,198) 267,931
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions............. (518,994) 24,189 (543,183)
Acquisition of
exploration and
production assets..... (214,700) 3,257 (217,957)
Loan originations......
Repayments of loan
originations..........
Proceeds from sale of
Virginia Natural Gas,
net of cash sold...... (531,656) 531,656
Proceeds from sale of
Argentine investments,
net of cash sold...... (144,534) 144,534
Sale of businesses..... 676,190 676,190
Sale of marketable
securities............
Purchase of debt
securities............
Acquisition of
businesses............
Other investments...... 5,541 1,647 (7,188)
Other.................. 3,500 (5,541) (352) 9,393
--------- --------- --------- ---------
Net cash flow used in
investing activities... (54,004) 28,741 (82,745)
Cash flow from (used in)
financing activities:
Issuance of common
stock.................
Repurchase of common
stock.................
Issuance (repayment) of
short term debt....... 612,687 85,912 526,775
Issuance of long term
debt..................
Repayment of long term
debt.................. (44,615) (44,615)
Common dividend
payments.............. (657,140) 46,515 34 (703,689)
Other.................. (46,515) (46,515)
--------- --------- --------- ---------
Net cash flow from (used
in) financing
activities............. (135,583) 85,946 (221,529)
Increase (decrease) in
cash and cash
equivalents............ (32,854) 3,489 (36,343)
Cash and cash
equivalents at
beginning of the year.. 90,403 (3,488) 93,891
--------- --------- --------- ---------
Cash and cash
equivalents at end of
the year............... $ 57,549 $ -- $ 1 $ 57,548
========= ========= ========= =========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
47
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING BALANCE SHEET
At December 31, 2000
(Thousands)
Eliminations Dominion
CNG and and Combined Transmission Dominion
Subsidiaries Adjustments Total CNG CNGSvc (Page 66) East Ohio
------------ ------------ ----------- ---------- ---------- ------------ ----------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 57,548 $ (203) $ 57,751 $ 7 $ 1,599 $ 641 $ 41,097
Accounts receivable:
Customers, less
allowance............. 740,404 740,404 64,698 504,004
Other.................. 252,816 252,816 4,786 1,335 (1,233) 3,648
Receivables from
affiliated companies... 20,165 (2,426,697) 2,446,862 993,930 1,161,869 48,889 2,015
Inventories:
Gas stored--current
portion............... 74,601 (2,045) 76,646 29,000
Materials and
supplies.............. 21,254 21,254 10,719 3,990
Unrecovered gas costs... 263,418 263,418 121,068 65,873
Deferred income taxes--
current (net).......... (82) 82
Broker margin deposits.. 264,314 264,314
Prepayments............. 154,007 (3) 154,010 14,657 1,916 13,892 94,569
Other................... 220,126 6 220,120 62,023 (397) 69,882 (575)
Net assets held for
sale................... 57,158 57,158
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total current assets... 2,125,811 (2,371,866) 4,497,677 1,075,403 1,166,322 328,556 743,621
---------- ----------- ----------- ---------- ---------- ---------- ----------
Investments
Stocks of subsidiary
companies, at equity--
consolidated........... (2,460,646) 2,460,646 2,460,646
Notes of subsidiary
companies--
consolidated........... (1,324,182) 1,324,182 1,324,182
Other................... 79,851 (66,848) 146,699 28,723 758
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total investments...... 79,851 (3,851,676) 3,931,527 3,784,828 28,723 758
---------- ----------- ----------- ---------- ---------- ---------- ----------
Property, Plant and
Equipment
Property, plant and
equipment.............. 9,336,101 (3,044) 9,339,145 40,116 2,188,544 1,613,528
Less accumulated
depreciation and
amortization........... 4,967,722 (28,335) 4,996,057 24,943 1,159,675 690,674
---------- ----------- ----------- ---------- ---------- ---------- ----------
Net property, plant and
equipment............. 4,368,379 25,291 4,343,088 15,173 1,028,869 922,854
---------- ----------- ----------- ---------- ---------- ---------- ----------
Deferred Charges and
Other Assets
Regulatory assets....... 195,775 (46,418) 242,193 16,799 62,614
Prepaid pension cost.... 434,418 (29,048) 463,466 28,658 113,637 207,276
Other................... 108,626 (2,729) 111,355 55,782 4,723 10,108 (597)
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total deferred charges
and other assets...... 738,819 (78,195) 817,014 55,782 33,381 140,544 269,293
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total assets........... $7,312,860 $(6,276,446) $13,589,306 $4,916,013 $1,214,876 $1,526,692 $1,936,526
========== =========== =========== ========== ========== ========== ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
48
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Dominion Dominion Other
Dominion Dominion E&P Field Dominion CNG Power CNGI Subsidiaries
Peoples Hope (Page 72) Services Retail (Page 78) (Page 84) (Page 60)
-------- -------- ---------- -------- -------- --------- --------- ------------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 3,844 $ 4,701 $ 5,382 $ 23 $ 176 $ 3 $ 203 $ 75
Accounts receivable:
Customers, less
allowance............. 95,374 52,797 4,865 3,818 13,709 1,139
Other.................. 6,455 (4,946) 166,290 76,366 57 58
Receivables from
affiliated companies... 4,783 1,834 12,167 40,608 22,710 9,133 138,161 10,763
Inventories:
Gas stored--current
portion............... 6,456 7,718 1,382 32,090
Materials and
supplies.............. 2,011 530 3,980 24
Unrecovered gas costs... 76,477
Deferred income taxes--
current (net).......... 82
Broker margin deposits.. 179,119 85,195
Prepayments............. 7,021 2,425 1,865 17,638 6 1 3 17
Other................... 17,153 (1,259) 21,331 39,842 12,045 2 (6) 79
Net assets held for
sale...................
-------- -------- ---------- -------- ------- ------- -------- -------
Total current assets... 219,574 63,800 395,081 264,896 80,793 9,139 138,361 12,131
-------- -------- ---------- -------- ------- ------- -------- -------
Investments
Stocks of subsidiary
companies, at equity--
consolidated...........
Notes of subsidiary
companies--
consolidated...........
Other................... 1,125 1 66,848 49,244
-------- -------- ---------- -------- ------- ------- -------- -------
Total investments...... 1,125 1 66,848 49,244
-------- -------- ---------- -------- ------- ------- -------- -------
Property, Plant and
Equipment
Property, plant and
equipment.............. 695,289 199,227 4,556,708 30,515 8,557 5,845 816
Less accumulated
depreciation and
amortization........... 240,511 79,452 2,790,598 1,665 4,911 3,012 616
-------- -------- ---------- -------- ------- ------- -------- -------
Net property, plant and
equipment............. 454,778 119,775 1,766,110 28,850 3,646 2,833 200
-------- -------- ---------- -------- ------- ------- -------- -------
Deferred Charges and
Other Assets
Regulatory assets....... 150,096 12,684
Prepaid pension cost.... 92,612 21,023 260
Other................... 7,215 328 18,938 7,911 2,946 64 3,937
-------- -------- ---------- -------- ------- ------- -------- -------
Total deferred charges
and other assets...... 249,923 34,035 18,938 7,911 3,206 64 3,937
-------- -------- ---------- -------- ------- ------- -------- -------
Total assets........... $924,275 $218,735 $2,180,129 $301,657 $87,645 $11,973 $205,473 $65,312
======== ======== ========== ======== ======= ======= ======== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
49
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Eliminations Dominion
CNG and and Combined Transmission Dominion
Subsidiaries Adjustments Total CNG CNGSvc (Page 67) East Ohio
------------ ------------ ----------- ---------- ---------- ------------ ----------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $1,215,175 $ -- $ 1,215,175 $1,215,175 $ -- $ -- $ --
Accounts payable,
trade.................. 736,294 (47) 736,341 1,587 7,452 24,172 236,181
Estimated rate
contingencies and
refunds................ 40,603 40,603 39,736 49
Payables to affiliated
companies.............. 29,948 (2,426,697) 2,456,645 3,781 1,145,377 41,897 512,821
Customer deposits....... 7,101 7,101 113 4,420
Accrued interest........ 23,594 23,594 22,997 485
Accrued payroll......... 7,095 7,095 1,898 3,556
Accrued taxes........... 178,226 (1,103) 179,329 17,789 385 38,569 126,323
Deferred income taxes--
current (net).......... 86,571 (82) 86,653 32,211 22,590
Other................... 229,688 (2,632) 232,320 399 9,685 27,139 22,376
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total current
liabilities........... 2,554,295 (2,430,561) 4,984,856 1,261,728 1,162,899 205,735 928,801
---------- ----------- ----------- ---------- ---------- ---------- ----------
Long-term Debt
Debentures and notes.... 1,721,329 1,721,329 1,721,329
Notes payable to
Registrant--
consolidated........... (1,324,182) 1,324,182 331,599 295,819
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total long-term debt... 1,721,329 (1,324,182) 3,045,511 1,721,329 331,599 295,819
---------- ----------- ----------- ---------- ---------- ---------- ----------
Deferred Credits and
Other Liabilities
Deferred income taxes... 788,462 5,466 782,996 (7,354) 1,339 167,014 191,554
Deferred investment tax
credits................ 17,576 17,576 8,298
Other................... 265,646 (80,187) 345,833 14,958 51,132 30,185 75,944
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total deferred credits
and other
liabilities........... 1,071,684 (74,721) 1,146,405 7,604 52,471 197,199 275,796
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total liabilities...... 5,347,308
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 1,815,695 (1,835,358) 3,651,053 1,816,010 10 601,000 237,968
Other capital........... 40,280 17,986 22,294 2,254 19,975
Retained earnings....... 111,048 (631,551) 742,599 111,048 189,523 178,433
Accumulated other
comprehensive income... (1,471) 1,941 (3,412) (1,706) (504) (618) (266)
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total common
stockholder's equity.. 1,965,552 (2,446,982) 4,412,534 1,925,352 (494) 792,159 436,110
---------- ----------- ----------- ---------- ---------- ---------- ----------
Total liabilities and
stockholder's equity.. $7,312,860 $(6,276,446) $13,589,306 $4,916,013 $1,214,876 $1,526,692 $1,936,526
========== =========== =========== ========== ========== ========== ==========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
50
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Dominion Dominion Other
Dominion Dominion E&P (Page Field Dominion CNG Power CNGI Subsidiaries
Peoples Hope 73) Services Retail (Page 79) (Page 85) (Page 61)
-------- -------- ---------- -------- -------- --------- --------- ------------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
Accounts payable,
trade.................. 74,062 26,341 213,689 110,444 39,790 47 2,576
Estimated rate
contingencies and
refunds................ 842 (24)
Payables to affiliated
companies.............. 168,504 42,388 327,595 122,995 54,014 21 1,032 36,220
Customer deposits....... 2,143 399 26
Accrued interest........ 94 18
Accrued payroll......... 1,020 618 3
Accrued taxes........... (14,733) 2,716 3,290 1,254 709 925 1,103 999
Deferred income taxes--
current (net).......... 31,827 25
Other................... 14,677 2,348 22,616 26,433 1,880 102,635 2,132
-------- -------- ---------- -------- ------- ------- -------- -------
Total current
liabilities........... 278,436 74,829 567,190 261,152 96,396 946 104,817 41,927
-------- -------- ---------- -------- ------- ------- -------- -------
Long-term Debt
Debentures and notes....
Notes payable to
Registrant--
consolidated........... 130,083 36,456 515,225 15,000
-------- -------- ---------- -------- ------- ------- -------- -------
Total long-term debt... 130,083 36,456 515,225 15,000
-------- -------- ---------- -------- ------- ------- -------- -------
Deferred Credits and
Other Liabilities
Deferred income taxes... 167,478 20,552 276,266 (669) (1,490) 797 (40,678) 8,187
Deferred investment tax
credits................ 7,249 2,029
Other................... 56,620 21,507 80,186 12,597 802 1,694 208
-------- -------- ---------- -------- ------- ------- -------- -------
Total deferred credits
and other
liabilities........... 231,347 44,088 356,452 11,928 (688) 797 (38,984) 8,395
-------- -------- ---------- -------- ------- ------- -------- -------
Total liabilities......
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 183,535 44,900 439,000 17,220 6,000 8,360 238,550 58,500
Other capital........... 45 20
Retained earnings....... 101,127 18,527 302,262 11,312 (14,063) 1,870 (113,910) (43,530)
Accumulated other
comprehensive income... (253) (65)
-------- -------- ---------- -------- ------- ------- -------- -------
Total common
stockholder's equity.. 284,409 63,362 741,262 28,577 (8,063) 10,230 124,640 14,990
-------- -------- ---------- -------- ------- ------- -------- -------
Total liabilities and
stockholder's equity.. $924,275 $218,735 $2,180,129 $301,657 $87,645 $11,973 $205,473 $65,312
======== ======== ========== ======== ======= ======= ======== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
51
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Eliminations Dominion
CNG and and Combined Transmission Dominion Dominion
Subsidiaries Adjustments Total CNG CNGSvc (Page 68) East Ohio Peoples
------------ ------------ ---------- -------- ------- ------------ ---------- --------
Operating revenue and
income:
Regulated gas sales.... $1,718,914 $ (334) $1,719,248 $ $ $ $1,228,555 $231,540
Nonregulated gas
sales................. 675,439 (89,566) 765,005
Gas transportation and
storage............... 550,914 (113,553) 664,467 441,078 114,000 100,524
Oil and gas
production............ 531,516 (106,132) 637,648 40,930
Other.................. 535,180 (209,885) 745,065 183,893 86,143 20,128 8,765
---------- --------- ---------- -------- ------- -------- ---------- --------
Total.................. 4,011,963 (519,470) 4,531,433 183,893 568,151 1,362,683 340,829
---------- --------- ---------- -------- ------- -------- ---------- --------
Expenses:
Purchased gas.......... 1,704,840 (302,341) 2,007,181 14,866 864,189 155,667
Liquids, capacity and
other products
purchased............. 327,843 (9,240) 337,083 61,430
Restructuring and other
merger-related costs.. 270,270 6,279 263,991 13,121 72,734 20,147 49,600 17,941
Operation and
maintenance........... 586,286 (217,120) 803,406 49,218 101,725 156,531 200,632 80,674
Depreciation and
amortization.......... 442,458 (2,610) 445,068 7,504 62,410 49,787 16,511
Other taxes............ 203,399 203,399 (145) 4,198 29,090 130,866 5,548
---------- --------- ---------- -------- ------- -------- ---------- --------
Total.................. 3,535,096 (525,032) 4,060,128 62,194 186,161 344,474 1,295,074 276,341
---------- --------- ---------- -------- ------- -------- ---------- --------
Income from operations.. 476,867 5,562 471,305 (62,194) (2,268) 223,677 67,609 64,488
---------- --------- ---------- -------- ------- -------- ---------- --------
Other income and
expense:
Gain on sale of
Virginia Natural Gas.. 163,317 163,317 163,317
Loss on net assets held
for sale.............. (152,340) (152,340)
Equity in earnings of
subsidiary companies--
consolidated.......... (212,413) 212,413 212,413
Interest revenue from
affiliated companies--
consolidated.......... 20 (150,599) 150,619 144,346 1,368 1,681
Other.................. 33,939 (2,877) 36,816 6,625 (289) 3,178 13,088 2,243
---------- --------- ---------- -------- ------- -------- ---------- --------
Total other income and
expense............... 44,936 (365,889) 410,825 526,701 1,079 4,859 13,088 2,243
---------- --------- ---------- -------- ------- -------- ---------- --------
Income before interest
and income taxes....... 521,803 (360,327) 882,130 464,507 (1,189) 228,536 80,697 66,731
Interest charges........ 161,417 (153,620) 315,037 174,011 1,890 23,915 39,437 14,226
---------- --------- ---------- -------- ------- -------- ---------- --------
Income before income
taxes.................. 360,386 (206,707) 567,093 290,496 (3,079) 204,621 41,260 52,505
Income tax expense...... 147,112 947 146,165 46,494 77,467 16,328 15,699
---------- --------- ---------- -------- ------- -------- ---------- --------
Income before cumulative
effect of a change in
accounting principle... 213,274 (207,654) 420,928 244,002 (3,079) 127,154 24,932 36,806
Cumulative effect of a
change in accounting
principle (net of
income taxes).......... (30,728) 3,079 (33,807) (3,079) (6,212) (12,591) (9,859)
---------- --------- ---------- -------- ------- -------- ---------- --------
Net income.............. $ 244,002 $(210,733) $ 454,735 $244,002 $ $133,366 $ 37,523 $ 46,665
========== ========= ========== ======== ======= ======== ========== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
52
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING INCOME STATEMENT--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion
E&P Dominion Other
Dominion (Page Field Dominion CNG Power CNGI Subsidiaries
VNG Hope 74) Services Retail (Page 80) (Page 86) (Page 62)
-------- -------- -------- -------- -------- --------- --------- ------------
Operating revenue and
income:
Regulated gas sales.... $147,341 $111,812 $ -- $ -- $ -- $ -- $ -- $ --
Nonregulated gas
sales................. 617,195 147,810
Gas transportation and
storage............... 2,517 5,782 398 168
Oil and gas
production............ 596,718
Other.................. 4,950 5,851 381,641 11,984 25,434 3,627 102 12,547
-------- -------- ------- ------- ------- ------ --------- -------
Total.................. 154,808 123,445 978,757 629,347 173,244 3,627 102 12,547
-------- -------- ------- ------- ------- ------ --------- -------
Expenses:
Purchased gas.......... 78,221 63,013 81,254 605,157 144,814
Liquids, capacity and
other products
purchased............. 251,729 284 18,915 2,085 2,640
Restructuring and other
merger-related costs.. 1,960 2,953 80,775 7 1,643 3,110
Operation and
maintenance........... 34,640 29,721 108,162 16,556 12,383 361 5,225 7,578
Depreciation and
amortization.......... 12,044 6,118 288,084 530 1,739 207 134
Other taxes............ 7,716 10,089 14,604 81 1,223 64 192 (127)
-------- -------- ------- ------- ------- ------ --------- -------
Total.................. 134,581 111,894 824,608 622,615 180,717 2,717 8,661 10,091
-------- -------- ------- ------- ------- ------ --------- -------
Income from operations.. 20,227 11,551 154,149 6,732 (7,473) 910 (8,559) 2,456
-------- -------- ------- ------- ------- ------ --------- -------
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale.............. (152,340)
Equity in earnings of
subsidiary companies--
consolidated..........
Interest revenue from
affiliated companies--
consolidated.......... 95 150 7 43 472 2,008 449
Other.................. (38) 424 1,677 1,490 145 69 3,120 5,084
-------- -------- ------- ------- ------- ------ --------- -------
Total other income and
expense............... 57 424 1,827 1,497 188 541 (147,212) 5,533
-------- -------- ------- ------- ------- ------ --------- -------
Income before interest
and income taxes....... 20,284 11,975 155,976 8,229 (7,285) 1,451 (155,771) 7,989
Interest charges........ 6,906 4,197 42,101 3,347 719 1,743 2,545
-------- -------- ------- ------- ------- ------ --------- -------
Income before income
taxes.................. 13,378 7,778 113,875 4,882 (8,004) 1,451 (157,514) 5,444
Income tax expense...... 5,699 3,513 32,831 1,858 (2,772) 406 (53,796) 2,438
-------- -------- ------- ------- ------- ------ --------- -------
Income before cumulative
effect of a change in
accounting principle... 7,679 4,265 81,044 3,024 (5,232) 1,045 (103,718) 3,006
Cumulative effect of a
change in accounting
principle (net of
income taxes).......... (186) (1,696) (162) (2) (14) (6)
-------- -------- ------- ------- ------- ------ --------- -------
Net income.............. $ 7,865 $ 5,961 $81,206 $ 3,026 $(5,218) $1,045 $(103,712) $ 3,006
======== ======== ======= ======= ======= ====== ========= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
53
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
CNG Eliminations Dominion Dominion
and and Combined Transmission East Dominion
Subsidiaries Adjustments Total CNG CNGSvc (Page 69) Ohio Peoples
------------ ------------ ---------- ---------- ------ ------------ -------- --------
Retained Earnings
Balance at December 31,
1999................... $1,549,505 $(540,118) $2,089,623 $1,549,505 $-- $119,222 $156,759 $ 65,346
Net income for the
period January 1
through January 27,
2000................... 86,654 (96,288) 182,942 86,654 21,411 34,250 20,727
---------- --------- ---------- ---------- ---- -------- -------- --------
Total.................. 1,636,159 (636,406) 2,272,565 1,636,159 140,633 191,009 86,073
Merger of Parent Company
with Dominion
Resources, Inc......... (1,636,159) (1,636,159) (1,636,159)
---------- --------- ---------- ---------- ---- -------- -------- --------
Balance at January 28,
2000................... (636,406) 636,406 140,633 191,009 86,073
Net income for the
period January 28
through December 31,
2000................... 157,348 (114,445) 271,793 157,348 111,955 3,273 25,938
Dividends declared on
common stock--cash..... (46,300) 112,502 (158,802) (46,300) (63,065) (15,849) (10,884)
Sale of Virginia Natural
Gas by Parent Company.. 6,798 (6,798)
---------- --------- ---------- ---------- ---- -------- -------- --------
Balance at December 31,
2000................... $ 111,048 $(631,551) $ 742,599 $ 111,048 $-- $189,523 $178,433 $101,127
========== ========= ========== ========== ==== ======== ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
54
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF RETAINED EARNINGS--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion Other
Dominion E&P Field Dominion CNG Power CNGI Subsidiaries
VNG Hope (Page 75) Services Retail (Page 81) (Page 87) (Page 63)
------ -------- --------- -------- -------- --------- --------- ------------
Retained Earnings
Balance at December 31,
1999................... $2,437 $12,566 $240,256 $ 8,286 $ (8,845) $ 825 $ (10,198) $(46,536)
Net income for the
period January 1
through January 27,
2000................... 5,761 5,042 6,924 752 1,251 173 (267) 264
------ ------- -------- ------- -------- ------ --------- --------
Total.................. 8,198 17,608 247,180 9,038 (7,594) 998 (10,465) (46,272)
Merger of Parent Company
with Dominion
Resources, Inc. .......
------ ------- -------- ------- -------- ------ --------- --------
Balance at January 28,
2000................... 8,198 17,608 247,180 9,038 (7,594) 998 (10,465) (46,272)
Net income for the
period January 28
through December 31,
2000................... 2,104 919 74,282 2,274 (6,469) 872 (103,445) 2,742
Dividends declared on
common stock--cash..... (3,504) (19,200)
Sale of Virginia Natural
Gas by Parent Company.. (6,798)
------ ------- -------- ------- -------- ------ --------- --------
Balance at December 31,
2000................... $ -- $18,527 $302,262 $11,312 $(14,063) $1,870 $(113,910) $(43,530)
====== ======= ======== ======= ======== ====== ========= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
55
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Eliminations Dominion Dominion
CNG and and Combined Transmission East Dominion
Subsidiaries Adjustments Total CNG CNGSvc (Page 70) Ohio Peoples
------------ ------------ -------- -------- ------ ------------ -------- --------
Net income.............. $244,002 $(210,733) $454,735 $244,002 $ $133,366 $37,523 $46,665
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............ (1,077) 1,077 (2,154) (1,077)
Less: reclassification
adjustment for losses
realized in net
income................ 3,637 (3,637) 7,274 3,637
-------- --------- -------- -------- --- -------- ------- -------
Total foreign currency
translation
adjustment............ 2,560 (2,560) 5,120 2,560
Minimum pension
liability adjustment.. (190) (119) (71) (190) 30 (76) 60 86
-------- --------- -------- -------- --- -------- ------- -------
Other comprehensive
income (loss)......... 2,370 (2,679) 5,049 2,370 30 (76) 60 86
-------- --------- -------- -------- --- -------- ------- -------
Comprehensive income.... $246,372 $(213,412) $459,784 $246,372 $30 $133,290 $37,583 $46,751
======== ========= ======== ======== === ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
56
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion
E&P Dominion Other
Dominion (Page Field Dominion CNG Power CNGI Subsidiaries
VNG Hope 76) Services Retail (Page 82) (Page 88) (Page 64)
------ -------- -------- -------- -------- --------- --------- ------------
Net income.............. $7,865 $5,961 $81,206 $3,026 $(5,218) $1,045 $(103,712) $3,006
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............ (1,077)
Less: reclassification
adjustment for losses
realized in net
income................ 3,637
------ ------ ------- ------ ------- ------ --------- ------
Total foreign currency
translation
adjustment............ 2,560
Minimum pension
liability adjustment.. 19
------ ------ ------- ------ ------- ------ --------- ------
Other comprehensive
income (loss)......... 19 2,560
------ ------ ------- ------ ------- ------ --------- ------
Comprehensive income.... $7,865 $5,980 $81,206 $3,026 $(5,218) $1,045 $(101,152) $3,006
====== ====== ======= ====== ======= ====== ========= ======
The Notes to the Consolidated Financial Statements are in integral part of this
statement.
57
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Eliminations Dominion
CNG and and Combined Transmission Dominion Dominion
Subsidiaries Adjustments Total CNG CNGSvc (Page 71) East Ohio Peoples
------------ ------------ ----------- --------- --------- ------------ --------- --------
Cash Flows From (Used
In) Operating
Activities
Net income............. $ 244,002 $ (210,733) $ 454,735 $ 244,002 $ -- $ 133,366 $ 37,523 $ 46,665
Adjustments to
reconcile net income
to net cash from
operating activities:
Cumulative effect of a
change in accounting
principle............ (30,728) 3,079 (33,807) (3,079) (6,212) (12,591) (9,859)
Restructuring and
other merger-related
costs................ 143,053 (1,423) 144,476 574 23,588 14,807 44,428 10,596
Loss on net assets
held for sale........ 152,340 152,340
Sale of Virginia
Natural Gas.......... (168,444) (168,444) (168,444)
Depreciation and
amortization......... 442,458 (2,610) 445,068 7,504 62,410 49,787 16,511
Pension cost
(credit)--net........ (148,535) 13 (148,548) 978 (7,990) (38,014) (66,549) (25,454)
Deferred income
taxes--net........... 29,472 956 28,516 (6,320) 70 8,765 17,644 24,147
Investment tax
credit............... (2,064) (2,064) (1,317) (494)
Changes in current
assets and current
liabilities:
Accounts receivable.. (399,742) (665) (399,077) (4,749) (484) (16,882) (255,364) (24,520)
Receivables from
affiliated
companies........... 25,903 21,880 4,023 (5,056) 21,032 (6,832) 3,407 (2,886)
Inventories.......... (11,497) (11,497) (1,656) 26,819 2,730
Unrecovered gas
costs............... (225,344) (225,344) (101,212) (65,873) (58,259)
Broker margin
deposits............ (241,897) (241,897)
Prepayments.......... (28,276) (3) (28,273) 56 (60) 2,032 (6,479) (5,885)
Other current
assets.............. (65,315) (7) (65,308) (6,450) 424 (23,200) 1,192 (4,567)
Accounts payable,
trade............... 336,010 195 335,815 1,433 (2,834) 2,199 142,315 44,163
Payables to
affiliated
companies........... (33,490) (23,888) (9,602) (24,783) 4,665 12,053 22,050 6,755
Estimated rate
contingencies and
refunds............. (5,901) (5,901) 7,097 (11,913) 553
Amounts payable to
customers........... (959) (959) (3,955)
Accrued expenses..... 45,808 (1,616) 47,424 11,890 (330) 4,838 38,701 (15,667)
Other--net........... 74,690 (1,827) 76,517 (2,531) 6,212 5,257 8,608 924
Net assets held for
sale................ 7,159 7,159
Changes in other
assets and other
liabilities.......... 129,736 (147,660) 277,396 (47) (23,037) 158,121 (2,405) (5,613)
Excess of equity in
earnings of
subsidiary companies
over their cash
dividends paid--
consolidated......... 24,606 (24,606) (24,606)
Other--net............ (508) (508) 29 (311) (285) 45
--------- ----------- ----------- --------- --------- --------- --------- --------
Net cash flows from
(used in) operating
activities.......... 267,931 (332,544) 600,475 15,976 25,681 216,626 (34,257) (115)
--------- ----------- ----------- --------- --------- --------- --------- --------
Cash Flows From (Used
In) Investing
Activities
Plant construction and
other property
additions:
Acquisition of
exploration and
production assets.... (217,957) (217,957)
Other................. (543,183) (543,183) 926 (63,620) (64,947) (35,515)
Proceeds from sale of
Virginia Natural Gas,
net of cash sold...... 531,656 231 531,425 532,021
Proceeds from sale of
Argentine investments,
net of cash sold...... 144,534 144,534
Cost of other
investments........... (7,188) (7,188) (925)
Intrasystem long-term
financing--net........ (34,574) 34,574 34,574
Intrasystem money pool
investments--net...... 1,054,568 (1,054,568) (360,992) (548,696) (14,048)
Property transfers to
(from) affiliates..... (2,265) 86 23 2,243
Other.................. 9,393 45 9,348 (45) 1,222 217 (3,099) 6,408
--------- ----------- ----------- --------- --------- --------- --------- --------
Net cash flows from
(used in) investing
activities.......... (82,745) 1,164,804 (1,247,549) 205,558 (548,813) (78,290) (68,023) (26,864)
--------- ----------- ----------- --------- --------- --------- --------- --------
Cash Flows From (Used
In ) Financing
Activities
Repayments of long-term
debt.................. (44,615) (44,615) (44,615)
Issuance (repayment) of
short-term debt....... 526,775 526,775 526,775
Dividends paid--
Registrant............ (703,655) (703,655) (703,655)
Intrasystem long-term
financing-net......... 34,574 (34,574) (23,672) (5,827) (2,440) (1,261)
Intrasystem money pool
borrowings
(repayments)--net..... (1,054,568) 1,054,568 486,174 (34,343) 178,511 50,742
Dividends paid--
subsidiary companies--
consolidated.......... 187,807 (187,807) (97,620) (39,979) (22,704)
Purchase of treasury
stock................. (34) (34) (34)
Other.................. (45) 45
--------- ----------- ----------- --------- --------- --------- --------- --------
Net cash flows from
(used in) financing
activities.......... (221,529) (832,232) 610,703 (221,529) 462,502 (137,790) 136,092 26,777
--------- ----------- ----------- --------- --------- --------- --------- --------
Increase (decrease)
in cash and cash
equivalents......... (36,343) 28 (36,371) 5 (60,630) 546 33,812 (202)
Cash and cash
equivalents at
beginning of year..... 93,891 (231) 94,122 2 62,229 95 7,285 4,046
--------- ----------- ----------- --------- --------- --------- --------- --------
Cash and cash
equivalents at end of
year.................. $ 57,548 $ (203) $ 57,751 $ 7 $ 1,599 $ 641 $ 41,097 $ 3,844
========= =========== =========== ========= ========= ========= ========= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
58
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF CASH FLOWS--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion Other
E&P (Page Field Dominion CNG Power CNGI Subsidiaries
VNG HGI 77) Services Retail (Page 83) (Page 89) (Page 65)
-------- -------- --------- -------- -------- --------- --------- ------------
Cash Flows From (Used
In) Operating
Activities
Net income.............. $ 7,865 $ 5,961 $ 81,206 $ 3,026 $ (5,218) $ 1,045 $(103,712) $ 3,006
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle............. (186) (1,696) (162) (2) (14) (6)
Restructuring and other
merger-related costs.. 1,960 2,312 43,485 19 1,262 9 1,423 13
Loss on net assets held
for sale.............. 152,340
Sale of Virginia
Natural Gas...........
Depreciation and
amortization.......... 12,044 6,118 288,084 530 1,739 207 134
Pension cost (credit)--
net................... 3,030 (8,220) (5,682) (634) (13)
Deferred income taxes--
net................... 1,536 3,962 25,760 171 (539) 33 (48,261) 1,548
Investment tax credit.. (116) (137)
Changes in current
assets and current
liabilities:
Accounts receivable... 25,663 (19,171) (72,565) (26,662) (6,712) 1,862 665 (158)
Receivables from
affiliated
companies............ 3,950 (331) (8,330) 12,579 (12,156) 182 (1,127) (409)
Inventories........... (22,307) (356) (1,047) (1,406) (14,310) 36
Unrecovered gas
costs................
Broker margin
deposits............. (162,161) (79,736)
Prepayments........... 113 (357) (122) (17,638) 62 (1) 3 3
Other current assets.. 269 3,584 (5,156) (22,652) (8,761) 7 2
Accounts payable,
trade................ 3,891 12,355 51,620 47,957 32,029 (381) (195) 1,263
Payables to affiliated
companies............ 1,199 7,844 7,142 (56,374) 8,808 (96) 613 522
Estimated rate
contingencies and
refunds.............. (1,590) (48)
Amounts payable to
customers............ 2,996
Accrued expenses...... 5,012 208 291 770 288 (10) 529 904
Other--net............ (48) (47) 16,680 38,127 1,507 1,817 11
Net assets held for
sale.................
Changes in other assets
and other
liabilities........... (1,868) 2,384 427 2,439 (3,127) (67) 147,661 2,528
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated..........
Other--net............. 14
-------- -------- --------- -------- -------- ------- --------- -------
Net cash flows from
(used in) operating
activities........... 43,427 14,365 259,470 (98,852) (5,776) 2,819 151,878 9,233
-------- -------- --------- -------- -------- ------- --------- -------
Cash Flows From (Used
In) Investing
Activities
Plant construction and
other property
additions:
Acquisition of
exploration and
production assets..... (217,957)
Other.................. (15,752) (9,950) (352,077) (919) (1,332) 3
Proceeds from sale of
Virginia Natural Gas,
net of cash sold....... (596)
Proceeds from sale of
Argentine investments,
net of cash sold.......
Cost of other
investments............ 679 (6,059) (883)
Intrasystem long-term
financing--net.........
Intrasystem money pool
investments--net....... 12,290 (3,496) (137,030) (2,596)
Property transfers to
(from) affiliates...... (41) (46)
Other................... 3,194 (550) 5,578 (3,576) (1)
-------- -------- --------- -------- -------- ------- --------- -------
Net cash flows from
(used in) investing
activities........... (13,154) (10,541) (552,212) (4,495) (1,333) (2,817) (143,086) (3,479)
-------- -------- --------- -------- -------- ------- --------- -------
Cash Flows From (Used In
) Financing Activities
Repayments of long-term
debt...................
Issuance (repayment) of
short-term debt........
Dividends paid--
Registrant.............
Intrasystem long-term
financing--net......... (474) (4,450) 3,550
Intrasystem money pool
borrowings
(repayments)--net...... (27,000) (786) 305,803 103,771 7,281 (9,835) (5,750)
Dividends paid--
subsidiary companies--
consolidated........... (3,504) (800) (19,200) (4,000)
Purchase of treasury
stock..................
Other................... 45
-------- -------- --------- -------- -------- ------- --------- -------
Net cash flows from
(used in) financing
activities........... (30,504) (2,060) 282,153 103,366 7,281 (9,835) (5,750)
-------- -------- --------- -------- -------- ------- --------- -------
Increase (decrease) in
cash and cash
equivalents.......... (231) 1,764 (10,589) 19 172 2 (1,043) 4
Cash and cash
equivalents at
beginning of year...... 231 2,937 15,971 4 4 1 1,246 71
-------- -------- --------- -------- -------- ------- --------- -------
Cash and cash
equivalents at end of
year................... $ -- $ 4,701 $ 5,382 $ 23 $ 176 $ 3 $ 203 $ 75
======== ======== ========= ======== ======== ======= ========= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
59
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING BALANCE SHEET SUPPLEMENT
At December 31, 2000
(Thousands)
Dominion
Other P&S CNG
Subsidiaries (Page Main CNG Oil CNG CNG CNG
Total 98) Pass Gathering CNGPSC LNG Coal Research Financial
------------ -------- ------- --------- ------ ---- ------ -------- ---------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 75 $ 28 $ 1 $ 1 $ 1 $ 1 $ 1 $ 3 $39
Accounts receivable:
Customers, less
allowance............. 1,139 1,139
Other.................. 58 58
Receivables from
affiliated companies... 10,763 3,241 2,637 669 4,146 70
Inventories:
Gas stored--current
portion...............
Materials and
supplies..............
Unrecovered gas costs...
Deferred income taxes--
current (net)..........
Broker margin deposits..
Prepayments............. 17 1 5 10 1
Other................... 79 1 78
Net assets held for
sale...................
------- ------ ------- ------- ------ ---- ------ --- ---
Total current assets.. 12,131 4,409 6 11 2,638 672 4,283 73 39
------- ------ ------- ------- ------ ---- ------ --- ---
Investments
Stocks of subsidiary
companies, at equity--
consolidated...........
Notes of subsidiary
companies--
consolidated...........
Other................... 49,244 32,807 16,437
------- ------ ------- ------- ------ ---- ------ --- ---
Total investments..... 49,244 32,807 16,437
------- ------ ------- ------- ------ ---- ------ --- ---
Property, Plant and
Equipment
Property, plant and
equipment..............
Less accumulated
depreciation and
amortization...........
Net property, plant
and equipment........
Deferred Charges and
Other Assets
Regulatory assets.......
Prepaid pension cost....
Other................... 3,937 184 3,740 13
------- ------ ------- ------- ------ ---- ------ --- ---
Total deferred charges
and other assets..... 3,937 184 3,740 13
------- ------ ------- ------- ------ ---- ------ --- ---
Total assets.......... $65,312 $4,409 $32,813 $16,448 $2,822 $672 $8,023 $86 $39
======= ====== ======= ======= ====== ==== ====== === ===
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
60
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING BALANCE SHEET SUPPLEMENT--(Continued)
At December 31, 2000
(Thousands)
Dominion
Other P&S CNG
Subsidiaries (Page Main CNG Oil CNG CNG
Total 99) Pass Gathering CNGPSC LNG CNG Coal Research Financial
------------ -------- ------- --------- -------- ------ -------- -------- ---------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $--
Accounts payable,
trade.................. 2,576 451 2,125
Estimated rate
contingencies and
refunds................
Payables to affiliated
companies.............. 36,220 610 24,532 8,769 2,309
Customer deposits.......
Accrued interest........
Accrued payroll.........
Accrued taxes........... 999 665 (360) (15) 246 (99) 551 6 5
Deferred income taxes--
current (net)..........
Other................... 2,132 1,838 293 1
-------- ------- ------- ------- -------- ------ -------- -------- ----
Total current
liabilities........... 41,927 3,564 24,172 8,754 4,973 (98) 551 6 5
-------- ------- ------- ------- -------- ------ -------- -------- ----
Long-term Debt
Debentures and notes....
Notes payable to
Registrant--
consolidated...........
Total long-term debt...
Deferred Credits and
Other Liabilities
Deferred income taxes... 8,187 (1,121) 5,872 2,699 174 563
Deferred investment tax
credits................
Other................... 208 208
-------- ------- ------- ------- -------- ------ -------- -------- ----
Total deferred credits
and other
liabilities........... 8,395 (913) 5,872 2,699 174 563
-------- ------- ------- ------- -------- ------ -------- -------- ----
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 58,500 3,990 15,520 1,000 22,360 15,580 50
Other capital........... 20 10 10
Retained earnings....... (43,530) (2,232) 2,759 4,985 (17,845) (230) (15,451) (15,500) (16)
Accumulated other
comprehensive income...
-------- ------- ------- ------- -------- ------ -------- -------- ----
Total common
stockholder's equity.. 14,990 1,758 2,769 4,995 (2,325) 770 6,909 80 34
-------- ------- ------- ------- -------- ------ -------- -------- ----
Total liabilities and
stockholder's equity.. $ 65,312 $ 4,409 $32,813 $16,448 $ 2,822 $ 672 $ 8,023 $ 86 $ 39
======== ======= ======= ======= ======== ====== ======== ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
61
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING INCOME STATEMENT SUPPLEMENT
For the Year Ended December 31, 2000
(Thousands)
Other Dominion CNG
Subsidiaries P&S Main CNG Oil CNG CNG CNG
Total (Page 100) Pass Gathering CNGPSC LNG Coal Research Financial
------------ ---------- ------ --------- ------ ----- ----- -------- ---------
Operating revenue and
income:
Regulated gas sales.... $ -- $ -- $ -- $ -- $ -- $ -- $ -- $-- $--
Nonregulated gas
sales.................
Gas transportation and
storage...............
Oil and gas
production............
Other.................. 12,547 9,907 2,640
------- ------ ------ ------ ------ ----- ----- ---- ----
Total.................. 12,547 9,907 2,640
------- ------ ------ ------ ------ ----- ----- ---- ----
Expenses:
Purchased gas..........
Liquids, capacity and
other products
purchased............. 2,640 2,640
Restructuring and other
merger-related costs..
Operation and
maintenance........... 7,578 7,425 25 70 42 2 11 2 1
Depreciation and
amortization..........
Other taxes............ (127) 16 (143)
------- ------ ------ ------ ------ ----- ----- ---- ----
Total.................. 10,091 7,441 25 70 2,682 2 (132) 2 1
------- ------ ------ ------ ------ ----- ----- ---- ----
Income from operations.. 2,456 2,466 (25) (70) (42) (2) 132 (2) (1)
------- ------ ------ ------ ------ ----- ----- ---- ----
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale..............
Equity in earnings of
subsidiary companies--
consolidated..........
Interest revenue from
affiliated companies--
consolidated.......... 449 132 60 253 4
Other.................. 5,084 17 1,418 2,899 540 210
------- ------ ------ ------ ------ ----- ----- ---- ----
Total other income and
expense............... 5,533 149 1,418 2,899 540 60 463 4
------- ------ ------ ------ ------ ----- ----- ---- ----
Income before interest
and income taxes....... 7,989 2,615 1,393 2,829 498 58 595 2 (1)
Interest charges........ 2,545 1,734 682 129
------- ------ ------ ------ ------ ----- ----- ---- ----
Income before income
taxes.................. 5,444 2,615 (341) 2,147 369 58 595 2 (1)
Income tax expense...... 2,438 916 (108) 758 27 290 555
------- ------ ------ ------ ------ ----- ----- ---- ----
Income before cumulative
effect of a change in
accounting principle... 3,006 1,699 (233) 1,389 342 (232) 40 2 (1)
Cumulative effect of a
change in accounting
principle (net of
income taxes)..........
------- ------ ------ ------ ------ ----- ----- ---- ----
Net income.............. $ 3,006 $1,699 $ (233) $1,389 $ 342 $(232) $ 40 $ 2 $ (1)
======= ====== ====== ====== ====== ===== ===== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
62
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF RETAINED EARNINGS SUPPLEMENT
For the Year Ended December 31, 2000
(Thousands)
Other Dominion
Subsidiaries P&S CNG Main CNG Oil CNG CNG
Total (Page 101) Pass Gathering CNGPSC LNG CNG Coal Research Financial
------------ ---------- -------- --------- -------- ----- -------- -------- ---------
Retained Earnings
Balance at December 31,
1999................... $(46,536) $(3,931) $2,992 $3,596 $(18,187) $ 2 $(15,491) $(15,502) $(15)
Net income for the
period January 1
through
January 27, 2000....... 264 58 51 158 (17) 14
-------- ------- ------ ------ -------- ----- -------- -------- ----
Total.................. (46,272) (3,873) 3,043 3,754 (18,187) (15) (15,477) (15,502) (15)
Merger of Parent Company
with Dominion
Resources, Inc.........
-------- ------- ------ ------ -------- ----- -------- -------- ----
Balance at January 28,
2000................... (46,272) (3,873) 3,043 3,754 (18,187) (15) (15,477) (15,502) (15)
Net income for the
period January 28
through
December 31, 2000...... 2,742 1,641 (284) 1,231 342 (215) 26 2 (1)
Dividends declared on
common stock--cash.....
Sale of Virginia Natural
Gas by Parent Company..
-------- ------- ------ ------ -------- ----- -------- -------- ----
Balance at December 31,
2000................... $(43,530) $(2,232) $2,759 $4,985 $(17,845) $(230) $(15,451) $(15,500) $(16)
======== ======= ====== ====== ======== ===== ======== ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
63
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME SUPPLEMENT
For the Year Ended December 31, 2000
(Thousands)
Other Dominion
Subsidiaries P&S CNG Main CNG Oil CNG CNG CNG
Total (Page 102) Pass Gathering CNGPSC LNG Coal Research Financial
------------ ---------- -------- --------- ------ ----- ---- -------- ---------
Net income.............. $3,006 $1,699 $(233) $1,389 $342 $(232) $40 $ 2 $(1)
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............
Less: reclassification
adjustment for losses
realized in net
income................
------ ------ ----- ------ ---- ----- --- --- ---
Total foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------ ------ ----- ------ ---- ----- --- --- ---
Other comprehensive
income (loss).........
------ ------ ----- ------ ---- ----- --- --- ---
Comprehensive income.... $3,006 $1,699 $(233) $1,389 $342 $(232) $40 $ 2 $(1)
====== ====== ===== ====== ==== ===== === === ===
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
64
CONSOLIDATED NATURAL GAS COMPANY
CONSOLIDATING STATEMENT OF CASH FLOWS SUPPLEMENT
For the Year Ended December 31, 2000
(Thousands)
Other Dominion CNG CNG
Subsidiaries P&S Main Oil CNG CNG CNG
Total (Page 103) Pass Gathering CNGPSC LNG Coal Research Financial
------------ ---------- ------- --------- ------- ----- ----- -------- ---------
Cash Flows From (Used
In) Operating
Activities
Net income.............. $ 3,006 $ 1,699 $ (233) $ 1,389 $ 342 $(232) $ 40 $ 2 $ (1)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
merger-related costs.. 13 11 2
Loss on net assets held
for sale..............
Sale of Virginia
Natural Gas...........
Depreciation and
amortization..........
Pension cost (credit)--
net...................
Deferred income taxes--
net................... 1,548 (174) 1,242 278 197 5
Investment tax credit..
Changes in current
assets and current
liabilities:
Accounts receivable... (158) (746) 593 (5)
Receivables from
affiliated
companies............ (409) 570 3 (977) 1 (5) (1)
Inventories...........
Unrecovered gas
costs................
Broker margin
deposits.............
Prepayments........... 3 (1) 2 1 1
Other current assets.. 2 2
Accounts payable,
trade................ 1,263 (414) 1,676 1
Payables to affiliated
companies............ 522 7 26 5 488 (1) (1) (1) (1)
Estimated rate
contingencies and
refunds..............
Amounts payable to
customers............
Accrued expenses...... 904 718 (245) 80 156 (110) 306 (1)
Other--net............ 11 661 1 1 (653) (1) 1 1
Net assets held for
sale.................
Changes in other assets
and other
liabilities........... 2,528 208 1,465 982 (185) 58
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated..........
Other--net.............
------- ------- ------- ------- ------- ----- ----- --- ----
Net cash flows from
(used in) operating
activities........... 9,233 2,539 2,258 2,741 1,637 (342) 402 (2)
------- ------- ------- ------- ------- ----- ----- --- ----
Cash Flows From (Used
In) Investing
Activities
Plant construction and
other property
additions:
Acquisition of
exploration and
production assets.....
Other..................
Proceeds from sale of
Virginia Natural Gas,
net of cash sold.......
Proceeds from sale of
Argentine investments,
net of cash sold.......
Cost of other
investments............ (883) (883)
Intrasystem long-term
financing--net.........
Intrasystem money pool
investments--net....... (2,596) (2,516) 342 (424) 2
Property transfers to
(from) affiliates......
Other...................
------- ------- ------- ------- ------- ----- ----- --- ----
Net cash flows from
(used in) investing
activities........... (3,479) (2,516) (883) 342 (424) 2
------- ------- ------- ------- ------- ----- ----- --- ----
Cash Flows From (Used
In) Financing
Activities
Repayments of long-term
debt...................
Issuance (repayment) of
short-term debt........
Dividends paid--
Registrant.............
Intrasystem long-term
financing--net.........
Intrasystem money pool
borrowings
(repayments)--net...... (5,750) (1,374) (2,740) (1,636)
Dividends paid--
subsidiary companies--
consolidated...........
Purchase of treasury
stock..................
Other...................
------- ------- ------- ------- ------- ----- ----- --- ----
Net cash flows from
(used in) financing
activities........... (5,750) (1,374) (2,740) (1,636)
------- ------- ------- ------- ------- ----- ----- --- ----
Increase (decrease) in
cash and cash
equivalents.......... 4 23 1 1 1 (22) 2 (2)
Cash and cash
equivalents at
beginning of year...... 71 5 1 23 1 41
------- ------- ------- ------- ------- ----- ----- --- ----
Cash and cash
equivalents at end of
year................... $ 75 $ 28 $ 1 $ 1 $ 1 $ 1 $ 1 $ 3 $ 39
======= ======= ======= ======= ======= ===== ===== === ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
65
DOMINION TRANSMISSION, INC.
CONSOLIDATING BALANCE SHEET
At December 31, 2000
(Thousands)
Dominion Eliminations
Transmission and Combined Dominion CNG
and Subsidiary Adjustments Total Transmission Iroquois
-------------- ------------ ---------- ------------ --------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 641 $ -- $ 641 $ 641 $ --
Accounts receivable:
Customers, less
allowance............. 64,698 64,698 64,698
Other.................. (1,233) (1,233) (1,233)
Receivables from
affiliated companies... 48,889 48,889 23,991 24,898
Inventories:
Gas stored--current
portion...............
Materials and
supplies.............. 10,719 10,719 10,719
Unrecovered gas costs... 121,068 121,068 121,068
Deferred income taxes--
current (net)..........
Broker margin deposits..
Prepayments............. 13,892 13,892 13,892
Other................... 69,882 69,882 69,872 10
Net assets held for
sale...................
---------- -------- ---------- ---------- -------
Total current assets.. 328,556 328,556 303,648 24,908
---------- -------- ---------- ---------- -------
Investments
Stock of subsidiary
company, at equity--
consolidated........... (44,152) 44,152 44,152
Notes of subsidiary
company--consolidated..
Other................... 28,723 28,723 28,723
---------- -------- ---------- ---------- -------
Total investments..... 28,723 (44,152) 72,875 44,152 28,723
---------- -------- ---------- ---------- -------
Property, Plant and
Equipment
Property, plant and
equipment.............. 2,188,544 2,188,544 2,188,544
Less accumulated
depreciation and
amortization........... 1,159,675 1,159,675 1,159,675
---------- -------- ---------- ---------- -------
Net property, plant
and equipment........ 1,028,869 1,028,869 1,028,869
---------- -------- ---------- ---------- -------
Deferred Charges and
Other Assets
Regulatory assets....... 16,799 16,799 16,799
Prepaid pension cost.... 113,637 113,637 113,637
Other................... 10,108 10,108 10,108
---------- -------- ---------- ---------- -------
Total deferred charges
and other assets..... 140,544 140,544 140,544
---------- -------- ---------- ---------- -------
Total assets.......... $1,526,692 $(44,152) $1,570,844 $1,517,213 $53,631
========== ======== ========== ========== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
66
DOMINION TRANSMISSION, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Dominion
Transmission Eliminations
and and Combined Dominion CNG
Subsidiary Adjustments Total Transmission Iroquois
------------ ------------ ---------- ------------ --------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $ --
Accounts payable,
trade.................. 24,172 24,172 24,172
Estimated rate
contingencies and
refunds................ 39,736 39,736 39,736
Payables to affiliated
companies.............. 41,897 41,897 41,897
Customer deposits....... 113 113 113
Accrued interest........ -- -- --
Accrued payroll......... 1,898 1,898 1,898
Accrued taxes........... 38,569 38,569 39,045 (476)
Deferred income taxes--
current (net).......... 32,211 32,211 32,211
Other................... 27,139 27,139 27,139
---------- -------- ---------- ---------- -------
Total current
liabilities.......... 205,735 205,735 206,211 (476)
---------- -------- ---------- ---------- -------
Long-term Debt
Debentures and notes....
Notes payable to
Registrant--
consolidated........... 331,599 331,599 331,599
---------- -------- ---------- ---------- -------
Total long-term debt.. 331,599 331,599 331,599
---------- -------- ---------- ---------- -------
Deferred Credits and
Other Liabilities
Deferred income taxes... 167,014 167,014 157,059 9,955
Deferred investment tax
credits................ --
Other................... 30,185 30,185 30,185
---------- -------- ---------- ---------- -------
Total deferred credits
and other
liabilities.......... 197,199 197,199 187,244 9,955
---------- -------- ---------- ---------- -------
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 601,000 (23,940) 624,940 601,000 23,940
Other capital........... 2,254 2,254 2,254
Retained earnings....... 189,523 (20,212) 209,735 189,523 20,212
Accumulated other
comprehensive income... (618) (618) (618)
---------- -------- ---------- ---------- -------
Total common
stockholder's
equity............... 792,159 (44,152) 836,311 792,159 44,152
---------- -------- ---------- ---------- -------
Total liabilities and
stockholder's
equity............... $1,526,692 $(44,152) $1,570,844 $1,517,213 $53,631
========== ======== ========== ========== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
67
DOMINION TRANSMISSION, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
Transmission and Combined Dominion CNG
and Subsidiary Adjustments Total Transmission Iroquois
-------------- ------------ -------- ------------ --------
Operating revenue and
income:
Regulated gas sales.... $ -- $ -- $ -- $ -- $ --
Nonregulated gas
sales.................
Gas transportation and
storage............... 441,078 441,078 441,078
Oil and gas
production............ 40,930 40,930 40,930
Other.................. 86,143 86,143 86,143
-------- ------- -------- -------- ------
Total................. 568,151 568,151 568,151
-------- ------- -------- -------- ------
Expenses:
Purchased gas.......... 14,866 14,866 14,866
Liquids, capacity and
other products
purchased............. 61,430 61,430 61,430
Restructuring and other
merger-related costs.. 20,147 20,147 20,147
Operation and
maintenance........... 156,531 156,531 156,549 (18)
Depreciation and
amortization.......... 62,410 62,410 62,410
Other taxes............ 29,090 29,090 29,169 (79)
-------- ------- -------- -------- ------
Total................. 344,474 344,474 344,571 (97)
-------- ------- -------- -------- ------
Income from operations.. 223,677 223,677 223,580 97
-------- ------- -------- -------- ------
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale..............
Equity in earnings of
subsidiary company--
consolidated.......... (4,443) 4,443 4,443
Interest revenue from
affiliated companies--
consolidated.......... 1,681 1,681 548 1,133
Other.................. 3,178 3,178 (3,052) 6,230
-------- ------- -------- -------- ------
Total other income and
expense.............. 4,859 (4,443) 9,302 1,939 7,363
-------- ------- -------- -------- ------
Income before interest
and income taxes....... 228,536 (4,443) 232,979 225,519 7,460
Interest charges........ 23,915 23,915 23,915
-------- ------- -------- -------- ------
Income before income
taxes.................. 204,621 (4,443) 209,064 201,604 7,460
Income tax expense...... 77,467 77,467 74,450 3,017
-------- ------- -------- -------- ------
Income before cumulative
effect of a change in
accounting principle... 127,154 (4,443) 131,597 127,154 4,443
Cumulative effect of a
change in accounting
principle (net of
income taxes).......... (6,212) (6,212) (6,212)
-------- ------- -------- -------- ------
Net income.............. $133,366 $(4,443) $137,809 $133,366 $4,443
======== ======= ======== ======== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
68
DOMINION TRANSMISSION CORPORATION
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
Transmission and Combined Dominion CNG
and Subsidiary Adjustments Total Transmission Iroquois
-------------- ------------ -------- ------------ --------
Retained Earnings
Balance at December 31,
1999................... $119,222 $(15,769) $134,991 $119,222 $15,769
Net income for the
period January 1
through January 27,
2000................... 21,411 (423) 21,834 21,411 423
-------- -------- -------- -------- -------
Total................. 140,633 (16,192) 156,825 140,633 16,192
Merger of Parent Company
with Dominion
Resources, Inc.........
-------- -------- -------- -------- -------
Balance at January 28,
2000................... 140,633 (16,192) 156,825 140,633 16,192
Net income for the
period January 28
through December 31,
2000................... 111,955 (4,020) 115,975 111,955 4,020
Dividends declared on
common stock--cash..... (63,065) (63,065) (63,065)
-------- -------- -------- -------- -------
Balance at December 31,
2000................... $189,523 $(20,212) $209,735 $189,523 $20,212
======== ======== ======== ======== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
69
DOMINION TRANSMISSION, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
Transmission and and Combined Dominion CNG
Subsidiary Adjustments Total Transmission Iroquois
---------------- ------------ -------- ------------ --------
Net income.............. $133,366 $(4,443) $137,809 $133,366 $4,443
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............
Less: reclassification
adjustment for losses
realized in net
income................
-------- ------- -------- -------- ------
Total foreign currency
translation
adjustment............
Minimum pension
liability adjustment.. (76) (76) (76)
-------- ------- -------- -------- ------
Other comprehensive
income (loss)......... (76) (76) (76)
-------- ------- -------- -------- ------
Comprehensive income.... $133,290 $(4,443) $137,733 $133,290 $4,443
======== ======= ======== ======== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
70
DOMINION TRANSMISSION INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
Transmission and Combined Dominion CNG
and Subsidiary Adjustments Total Transmission Iroquois
-------------- ------------ --------- ------------ --------
Cash Flows From (Used
In) Operating
Activities
Net income.............. $ 133,366 $(4,443) $ 137,809 $ 133,366 $ 4,443
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle............. (6,212) (6,212) (6,212)
Restructuring and other
merger-related costs.. 14,807 14,807 14,807
Loss on net assets held
for sale..............
Sale of Virginia
Natural Gas...........
Depreciation and
amortization.......... 62,410 62,410 62,410
Pension cost (credit)--
net................... (38,014) (38,014) (38,014)
Deferred income taxes--
net................... 8,765 8,765 7,311 1,454
Investment tax credit..
Changes in current
assets and current
liabilities:
Accounts receivable... (16,882) (16,882) (16,882)
Receivables from
affiliated
companies............ (6,832) (1,432) (5,400) (5,307) (93)
Inventories........... (1,656) (1,656) (1,656)
Unrecovered gas
costs................ (101,212) (101,212) (101,212)
Broker margin
deposits.............
Prepayments........... 2,032 2,032 2,039 (7)
Other current assets.. (23,200) (23,200) (23,200)
Accounts payable,
trade................ 2,199 2,199 2,199
Payables to affiliated
companies............ 12,053 1,432 10,621 12,053 (1,432)
Estimated rate
contingencies and
refunds.............. 7,097 7,097 7,097
Amounts payable to
customers............
Accrued expenses...... 4,838 4,838 4,930 (92)
Other--net............ 5,257 5,257 5,258 (1)
Changes in other assets
and other liabilities.. 158,121 158,121 147,421 10,700
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated........... 4,443 (4,443) (4,443)
Other--net.............. (311) (311) (311)
--------- ------- --------- --------- --------
Net cash flows from
(used in) operating
activities........... 216,626 216,626 201,654 14,972
--------- ------- --------- --------- --------
Cash Flows From (Used
In) Investing
Activities
Plant construction and
other property
additions.............. (63,620) (63,620) (63,620)
Proceeds from sale of
Virginia Natural Gas,
net of cash sold.......
Proceeds from sale of
Argentine investments,
net of cash sold.......
Cost of other
investments............ (925) (925) (925)
Intrasystem long-term
financing--net.........
Intrasystem money pool
investments--net....... (14,048) (14,048) (14,048)
Property transfers to
(from) affiliates...... 86 86 86
Other................... 217 217 217
--------- ------- --------- --------- --------
Net cash flows from
(used in) investing
activities........... (78,290) (78,290) (63,317) (14,973)
--------- ------- --------- --------- --------
Cash Flows From (Used
In) Financing
Activities
Repayments of long-term
debt...................
Issuance (repayment) of
short-term debt........
Dividends paid..........
Intrasystem long-term
financing-net.......... (5,827) (5,827) (5,827)
Intrasystem money pool
borrowings
(repayments)--net...... (34,343) (34,343) (34,343)
Dividends paid--
subsidiary companies--
consolidated........... (97,620) (97,620) (97,620)
Purchase of treasury
stock..................
Other...................
--------- ------- --------- --------- --------
Net cash flows from
(used in) financing
activities........... (137,790) (137,790) (137,790)
--------- ------- --------- --------- --------
Increase (decrease) in
cash and cash
equivalents.......... 546 546 547 (1)
Cash and cash
equivalents at
beginning of year...... 95 95 94 1
--------- ------- --------- --------- --------
Cash and cash
equivalents at end of
year................... $ 641 $ -- $ 641 $ 641 $ --
========= ======= ========= ========= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
71
DOMINION EXPLORATION & PRODUCTION, INC.
CONSOLIDATING BALANCE SHEET
At December 31, 2000
(Thousands)
Dominion E&P Eliminations
and and Combined Dominion CNG
Subsidiary Adjustments Total E&P Pipeline
------------ ------------ ---------- ---------- --------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 5,382 $ -- $ 5,382 $ 5,352 $ 30
Accounts receivable:
Customers, less
allowance............. 4,865 4,865 4,865
Other.................. 166,290 166,290 166,277 13
Receivables from
affiliated companies... 12,167 (63) 12,230 11,236 994
Inventories:
Gas stored--current
portion...............
Materials and
supplies.............. 3,980 3,980 3,980
Unrecovered gas costs...
Deferred income taxes--
current (net).......... 82 82 82
Broker margin deposits.. 179,119 179,119 179,119
Prepayments............. 1,865 1,865 1,865
Other................... 21,331 21,331 21,271 60
Net assets held for
sale...................
---------- ------- ---------- ---------- ------
Total current
assets.............. 395,081 (63) 395,144 394,047 1,097
---------- ------- ---------- ---------- ------
Investments
Stock of subsidiary
company, at equity--
consolidated........... (1,205) 1,205 1,205
Notes of subsidiary
company--consolidated..
Other...................
---------- ------- ---------- ---------- ------
Total investments.... (1,205) 1,205 1,205
---------- ------- ---------- ---------- ------
Property, Plant and
Equipment
Property, plant and
equipment.............. 4,556,708 4,556,708 4,552,181 4,527
Less accumulated
depreciation and
amortization........... 2,790,598 2,790,598 2,786,336 4,262
---------- ------- ---------- ---------- ------
Net property, plant
and equipment....... 1,766,110 1,766,110 1,765,845 265
---------- ------- ---------- ---------- ------
Deferred Charges and
Other Assets
Regulatory assets.......
Prepaid pension cost....
Other................... 18,938 18,938 18,960 (22)
---------- ------- ---------- ---------- ------
Total deferred
charges and other
assets.............. 18,938 18,938 18,960 (22)
---------- ------- ---------- ---------- ------
Total assets......... $2,180,129 $(1,268) $2,181,397 $2,180,057 $1,340
========== ======= ========== ========== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
72
DOMINION EXPLORATION & PRODUCTION, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Dominion Eliminations
E&P and and Combined Dominion CNG
Subsidiary Adjustments Total E&P Pipeline
---------- ------------ ---------- ---------- --------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $ --
Accounts payable,
trade.................. 213,689 213,689 213,679 10
Estimated rate contin-
gencies and refunds....
Payables to affiliated
companies.............. 327,595 (63) 327,658 327,595 63
Customer deposits.......
Accrued interest........
Accrued payroll.........
Accrued taxes........... 3,290 3,290 3,322 (32)
Deferred income taxes--
current (net)..........
Other................... 22,616 22,616 22,616
---------- ------- ---------- ---------- ------
Total current
liabilities.......... 567,190 (63) 567,253 567,212 41
---------- ------- ---------- ---------- ------
Long-term Debt
Debentures and notes....
Notes payable to Regis-
trant--consolidated.... 515,225 515,225 515,225
---------- ------- ---------- ---------- ------
Total long-term debt.. 515,225 515,225 515,225
---------- ------- ---------- ---------- ------
Deferred Credits and
Other Liabilities
Deferred income taxes... 276,266 276,266 276,172 94
Deferred investment tax
credits................
Other................... 80,186 80,186 80,186
---------- ------- ---------- ---------- ------
Total deferred credits
and other
liabilities.......... 356,452 356,452 356,358 94
---------- ------- ---------- ---------- ------
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 439,000 (1,200) 440,200 439,000 1,200
Other capital...........
Retained earnings....... 302,262 (5) 302,267 302,262 5
Accumulated other
comprehensive income...
---------- ------- ---------- ---------- ------
Total common
stockholder's
equity............... 741,262 (1,205) 742,467 741,262 1,205
---------- ------- ---------- ---------- ------
Total liabilities and
stockholder's
equity............... $2,180,129 $(1,268) $2,181,397 $2,180,057 $1,340
========== ======= ========== ========== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
73
DOMINION EXPLORATION & PRODUCTION, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
E&P and and Combined Dominion CNG
Subsidiary Adjustments Total E&P Pipeline
---------- ------------ -------- -------- --------
Operating revenue and
income:
Regulated gas sales...... $ -- $ -- $ -- $ -- $ --
Nonregulated gas sales...
Gas transportation and
storage................. 398 (289) 687 398 289
Oil and gas production... 596,718 596,718 596,718
Other.................... 381,641 381,641 381,634 7
-------- ----- -------- -------- -----
Total................... 978,757 (289) 979,046 978,750 296
-------- ----- -------- -------- -----
Expenses:
Purchased gas............ 81,254 81,254 81,254
Liquids, capacity and
other products
purchased............... 251,729 (289) 252,018 252,018
Restructuring and other
merger-related costs.... 80,775 80,775 80,775
Operation and
maintenance............. 108,162 108,162 107,688 474
Depreciation and
amortization............ 288,084 288,084 287,995 89
Other taxes.............. 14,604 14,604 14,600 4
-------- ----- -------- -------- -----
Total................... 824,608 (289) 824,897 824,330 567
-------- ----- -------- -------- -----
Income from operations.... 154,149 154,149 154,420 (271)
-------- ----- -------- -------- -----
Other income and expense:
Gain on sale of Virginia
Natural Gas.............
Loss on net assets held
for sale................
Equity in earnings of
subsidiary company--
consolidated............ 137 (137) (137)
Interest revenue from
affiliated companies--
consolidated............ 150 150 86 64
Other.................... 1,677 1,677 1,677
-------- ----- -------- -------- -----
Total other income and
expense................ 1,827 137 1,690 1,626 64
-------- ----- -------- -------- -----
Income before interest and
income taxes............. 155,976 137 155,839 156,046 (207)
Interest charges.......... 42,101 42,101 42,101
-------- ----- -------- -------- -----
Income before income
taxes.................... 113,875 137 113,738 113,945 (207)
Income tax expense........ 32,831 32,831 32,901 (70)
-------- ----- -------- -------- -----
Income before cumulative
effect of a change in
accounting principle..... 81,044 137 80,907 81,044 (137)
Cumulative effect of a
change in accounting
principle (net of income
taxes)................... (162) (162) (162)
-------- ----- -------- -------- -----
Net income................ $ 81,206 $ 137 $ 81,069 $ 81,206 $(137)
======== ===== ======== ======== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
74
DOMINION EXPLORATION & PRODUCTION, INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
E&P and and Combined Dominion CNG
Subsidiary Adjustments Total E&P Pipeline
---------- ------------ -------- -------- --------
Retained Earnings
Balance at December 31,
1999.................... $240,256 $(241) $240,497 $240,256 $241
Net income for the period
January 1 through
January 27, 2000........ 6,924 46 6,878 6,924 (46)
-------- ----- -------- -------- ----
Total.................. 247,180 (195) 247,375 247,180 195
Merger of Parent Company
with Dominion
Resources, Inc..........
-------- ----- -------- -------- ----
Balance at January 28,
2000.................... 247,180 (195) 247,375 247,180 195
Net income for the period
January 28 through
December 31, 2000....... 74,282 91 74,191 74,282 (91)
Dividends declared on
common stock--cash...... (19,200) 99 (19,299) (19,200) (99)
-------- ----- -------- -------- ----
Balance at December 31,
2000.................... $302,262 $ (5) $302,267 $302,262 $ 5
======== ===== ======== ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
75
DOMINION EXPLORATION & PRODUCTION, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
E&P and and Combined Dominion CNG
Subsidiary Adjustments Total E&P Pipeline
---------- ------------ -------- -------- --------
Net income.................. $81,206 $137 $81,069 $81,206 $(137)
Other comprehensive income,
net of tax:
Foreign currency
translation adjustment....
Less: reclassification
adjustment for losses
realized in net income....
------- ---- ------- ------- -----
Total foreign currency
translation adjustment....
Minimum pension liability
adjustment................
------- ---- ------- ------- -----
Other comprehensive income
(loss)....................
------- ---- ------- ------- -----
Comprehensive income........ $81,206 $137 $81,069 $81,206 $(137)
======= ==== ======= ======= =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
76
DOMINION EXPLORATION & PRODUCTION, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion E&P Eliminations
and and Combined Dominion CNG
Subsidiary Adjustments Total E&P Pipeline
------------ ------------ --------- --------- --------
Cash Flows From (Used
In) Operating
Activities
Net income.............. $ 81,206 $ 137 $ 81,069 $ 81,206 $(137)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle............. (162) (162) (162)
Restructuring and other
merger-related costs.. 43,485 43,485 43,485
Loss on net assets held
for sale..............
Sale of Virginia
Natural Gas...........
Depreciation and
amortization.......... 288,084 288,084 287,996 88
Pension cost (credit)-
net................... (5,682) (5,682) (5,682)
Deferred income taxes-
net................... 25,760 25,760 25,790 (30)
Investment tax credit..
Changes in current
assets and current
liabilities:
Accounts receivable... (72,565) (72,565) (72,588) 23
Receivables from
affiliated
companies............ (8,330) (75) (8,255) (8,309) 54
Inventories........... (1,047) (1,047) (1,047)
Unrecovered gas
costs................
Broker margin
deposits............. (162,161) (162,161) (162,161)
Prepayments........... (122) (122) (122)
Other current assets.. (5,156) (5,156) (5,149) (7)
Accounts payable,
trade................ 51,620 51,620 51,630 (10)
Payables to affiliated
companies............ 7,142 75 7,067 7,088 (21)
Estimated rate
contingencies and
refunds..............
Amounts payable to
customers............
Accrued expenses...... 291 291 331 (40)
Other-net............. 16,680 16,680 16,680
Changes in other assets
and other liabilities.. 427 427 405 22
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated........... (236) 236 236
Other-net...............
--------- ----- --------- --------- -----
Net cash flows from
(used in) operating
activities........... 259,470 (99) 259,569 259,627 (58)
--------- ----- --------- --------- -----
Cash Flows From (Used
In) Investing
Activities
Plant construction and
other property
additions:
Acquisition of
exploration and
production assets..... (217,957) (217,957) (217,957)
Other.................. (352,077) (352,077) (352,077)
Proceeds from sale of
Virginia Natural Gas,
net of cash sold.......
Proceeds from sale of
Argentine investments,
net of cash sold.......
Cost of other
investments............
Intrasystem long-term
financing-net..........
Intrasystem money pool
investments-net........ 12,290 12,290 12,139 151
Property transfers to
(from) affiliates...... (46) (46) (46)
Other................... 5,578 5,578 5,578
--------- ----- --------- --------- -----
Net cash flows from
(used in) investing
activities........... (552,212) (552,212) (552,363) 151
--------- ----- --------- --------- -----
Cash Flows From (Used
In) Financing
Activities
Repayments of long-term
debt...................
Issuance (repayment) of
short-term debt........
Dividends paid..........
Intrasystem long-term
financing-net.......... (4,450) (4,450) (4,450)
Intrasystem money pool
borrowings
(repayments)-net....... 305,803 305,803 305,803
Dividends paid--
subsidiary companies--
consolidated........... (19,200) 99 (19,299) (19,200) (99)
Purchase of treasury
stock..................
Other...................
--------- ----- --------- --------- -----
Net cash flows from
(used in) financing
activities........... 282,153 99 282,054 282,153 (99)
--------- ----- --------- --------- -----
Increase (decrease) in
cash and cash
equivalents.......... (10,589) (10,589) (10,583) (6)
Cash and cash
equivalents at
beginning of year...... 15,971 15,971 15,935 36
--------- ----- --------- --------- -----
Cash and cash
equivalents at end of
year................... $ 5,382 $ -- $ 5,382 $ 5,352 $ 30
========= ===== ========= ========= =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
77
CNG POWER COMPANY
CONSOLIDATING BALANCE SHEET
At December 31, 2000
(Thousands)
CNG Power Eliminations
and and Combined CNG Granite
Subsidiaries Adjustments Total Power CNGMCS Road
------------ ------------ -------- ------- ------ -------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 3 $ -- $ 3 $ 1 $ 2 $--
Accounts receivable:
Customers, less
allowance.............
Other..................
Receivables from
affiliated companies... 9,133 9,133 7,457 1,676
Inventories:
Gas stored--current
portion...............
Materials and
supplies..............
Unrecovered gas costs...
Deferred income taxes--
current (net)..........
Broker margin deposits..
Prepayments............. 1 1 1
Other................... 2 2 2
Net assets held for
sale...................
------- ------- ------- ------- ------ ----
Total current assets.. 9,139 9,139 7,461 1,678
------- ------- ------- ------- ------ ----
Investments
Stocks of subsidiary
companies, at equity--
consolidated........... (1,573) 1,573 1,573
Notes of subsidiary
companies--
consolidated...........
Other................... 1 1 1
------- ------- ------- ------- ------ ----
Total investments..... 1 (1,573) 1,574 1,573 1
------- ------- ------- ------- ------ ----
Property, Plant and
Equipment
Property, plant and
equipment.............. 5,845 5,845 5,845
Less accumulated
depreciation and
amortization........... 3,012 3,012 3,012
------- ------- ------- ------- ------ ----
Net property, plant
and equipment........ 2,833 2,833 2,833
------- ------- ------- ------- ------ ----
Deferred Charges and
Other Assets
Regulatory assets.......
Prepaid pension cost....
Other...................
------- ------- ------- ------- ------ ----
Total deferred charges
and other assets.....
------- ------- ------- ------- ------ ----
Total assets.......... $11,973 $(1,573) $13,546 $11,867 $1,678 $ 1
======= ======= ======= ======= ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
78
CNG POWER COMPANY
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
CNG Power Eliminations
and and Combined CNG Granite
Subsidiaries Adjustments Total Power CNGMCS Road
------------ ------------ -------- ------- ------ -------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $ -- $--
Accounts payable,
trade..................
Estimated rate
contingencies and
refunds................
Payables to affiliated
companies.............. 21 21 21
Customer deposits.......
Accrued interest........
Accrued payroll.........
Accrued taxes........... 925 925 819 106
Deferred income taxes--
current (net)..........
Other...................
------- ------- ------- ------- ------ ----
Total current
liabilities.......... 946 946 840 106
------- ------- ------- ------- ------ ----
Long-term Debt
Debentures and notes....
Notes payable to
Registrant--
consolidated...........
------- ------- ------- ------- ------ ----
Total long-term debt..
------- ------- ------- ------- ------ ----
Deferred Credits and
Other Liabilities
Deferred income taxes... 797 797 797
Deferred investment tax
credits................
Other...................
------- ------- ------- ------- ------ ----
Total deferred credits
and other
liabilities.......... 797 797 797
------- ------- ------- ------- ------ ----
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 8,360 (101) 8,461 8,360 100 1
Other capital...........
Retained earnings....... 1,870 (1,472) 3,342 1,870 1,472
Accumulated other
comprehensive income...
------- ------- ------- ------- ------ ----
Total common
stockholder's
equity............... 10,230 (1,573) 11,803 10,230 1,572 1
------- ------- ------- ------- ------ ----
Total liabilities and
stockholder's
equity............... $11,973 $(1,573) $13,546 $11,867 $1,678 $ 1
======= ======= ======= ======= ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
79
CNG POWER COMPANY
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
CNG Power Eliminations
and and Combined CNG CNG Bear Granite
Subsidiaries Adjustments Total Power CNGMCS Mountain Road
------------ ------------ -------- ------ ------ -------- -------
Operating revenue and
income:
Regulated gas sales.... $ -- $ -- $ -- $ -- $-- $-- $--
Nonregulated gas
sales.................
Gas transportation and
storage...............
Oil and gas
production............
Other.................. 3,627 3,627 3,627
------ ----- ------ ------ ---- ---- ----
Total................. 3,627 3,627 3,627
------ ----- ------ ------ ---- ---- ----
Expenses:
Purchased gas..........
Liquids, capacity and
other products
purchased............. 2,085 2,085 2,085
Restructuring and other
merger-related costs..
Operation and
maintenance........... 361 361 357 4
Depreciation and
amortization.......... 207 207 207
Other taxes............ 64 64 77 (13)
------ ----- ------ ------ ---- ---- ----
Total................. 2,717 2,717 2,726 (9)
------ ----- ------ ------ ---- ---- ----
Income from operations.. 910 910 901 9
------ ----- ------ ------ ---- ---- ----
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale..............
Equity in earnings of
subsidiary companies--
consolidated.......... (124) 124 124
Interest revenue from
affiliated companies--
consolidated.......... 472 472 386 86
Other.................. 69 69 1 68
------ ----- ------ ------ ---- ---- ----
Total other income and
expense.............. 541 (124) 665 511 154
------ ----- ------ ------ ---- ---- ----
Income before interest
and income taxes....... 1,451 (124) 1,575 1,412 163
Interest charges........
------ ----- ------ ------ ---- ---- ----
Income before income
taxes.................. 1,451 (124) 1,575 1,412 163
Income tax expense...... 406 406 367 39
------ ----- ------ ------ ---- ---- ----
Income before cumulative
effect of a change in
accounting principle... 1,045 (124) 1,169 1,045 124
Cumulative effect of a
change in accounting
principle (net of
income taxes)..........
------ ----- ------ ------ ---- ---- ----
Net income.............. $1,045 $(124) $1,169 $1,045 $124 $ $
====== ===== ====== ====== ==== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
80
CNG POWER COMPANY
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
CNG Power Eliminations
and and Combined CNG CNG Bear Granite
Subsidiaries Adjustments Total Power CNGMCS Mountain Road
------------ ------------ -------- ------ ------ -------- -------
Retained Earnings
Balance at December 31,
1999................... $ 825 $(1,360) $2,185 $ 825 $1,348 $ 12 $--
Net income for the
period January 1
through January 27,
2000................... 173 (103) 276 173 103
------ ------- ------ ------ ------ ---- ----
Total.................. 998 (1,463) 2,461 998 1,451 12
Merger of Parent Company
with Dominion
Resources, Inc.........
------ ------- ------ ------ ------ ---- ----
Balance at January 28,
2000................... 998 (1,463) 2,461 998 1,451 12
Net income for the
period January 28
through December 31,
2000................... 872 (21) 893 872 21
Dissolution of CNG Bear
Mountain............... 12 (12) (12)
Dividends declared on
common stock--cash.....
------ ------- ------ ------ ------ ---- ----
Balance at December 31,
2000................... $1,870 $(1,472) $3,342 $1,870 $1,472 $-- $--
====== ======= ====== ====== ====== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
81
CNG POWER COMPANY
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
CNG Power Eliminations
and and Combined CNG CNG Bear Granite
Subsidiaries Adjustments Total Power CNGMCS Mountain Road
------------ ------------ -------- ------ ------ -------- -------
Net income.............. $1,045 $(124) $1,169 $1,045 $124 $-- $--
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............
Less: reclassification
adjustment for losses
realized in net
income................
------ ----- ------ ------ ---- ---- ----
Total foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------ ----- ------ ------ ---- ---- ----
Other comprehensive
income (loss).........
------ ----- ------ ------ ---- ---- ----
Comprehensive income.... $1,045 $(124) $1,169 $1,045 $124 $-- $--
====== ===== ====== ====== ==== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
82
CNG POWER COMPANY
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
CNG Power Eliminations
and and Combined CNG CNG Bear Granite CNG
Subsidiaries Adjustments Total Power CNGMCS Mountain Road Kauai
------------ ------------ -------- ------- ------ -------- ------- -----
Cash Flows From (Used In)
Operating Activities
Net income............... $ 1,045 $(124) $ 1,169 $ 1,045 $ 124 $-- $-- $--
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle..............
Restructuring and other
merger-related costs... 9 9 9
Loss on net assets held
for sale...............
Sale of Virginia Natural
Gas....................
Depreciation and
amortization........... 207 207 207
Pension cost (credit)-
net....................
Deferred income taxes-
net.................... 33 33 32 1
Investment tax credit...
Changes in current
assets and current
liabilities:
Accounts receivables.... 1,862 1,862 1,862
Receivables from
affiliated companies... 182 (35) 217 187 (5) 35
Inventories............. 36 36 36
Unrecovered gas costs...
Broker margin
deposits...............
Prepayments............. (1) (1) (1)
Other current assets....
Accounts payable,
trade.................. (381) (381) (381)
Payables to affiliated
companies.............. (96) 35 (131) (130) (1)
Estimated rate
contingencies and
refunds................
Amounts payable to
customers..............
Accrued expenses........ (10) (10) 9 (5) (14)
Other-net...............
Changes in other assets
and other liabilities... (67) (67) (67)
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated............ 124 (124) (124)
Other--net...............
------- ----- ------- ------- ----- ---- ---- ----
Net cash flows from
(used in) operating
activities........... 2,819 2,819 2,751 47 21
------- ----- ------- ------- ----- ---- ---- ----
Cash Flows From (Used In)
Investing Activities
Plant construction and
other property
additions...............
Proceeds from sale of
Virginia Natural Gas,
net of cash sold........
Proceeds from sale of
Argentine investments,
net of cash sold........
Cost of other
investments............. 679 679 679
Intrasystem long-term
financing-net........... (21) 21 21
Intrasystem money pool
investments-net......... (3,496) (3,496) (2,772) (724)
Property transfers to
(from) affiliates.......
Other....................
------- ----- ------- ------- ----- ---- ---- ----
Net cash flows from
(used in) investing
activities........... (2,817) (21) (2,796) (2,751) (45)
------- ----- ------- ------- ----- ---- ---- ----
Cash Flows From (Used In)
Financing Activities
Repayments of long-term
debt....................
Issuance (repayment) of
short-term debt.........
Dividends paid...........
Intrasystem long-term
financing-net........... 21 (21) (21)
Intrasystem money pool
borrowings (repayments)-
net.....................
Dividends paid--
subsidiary companies--
consolidated............
Purchase of treasury
stock...................
Other....................
------- ----- ------- ------- ----- ---- ---- ----
Net cash flows from
(used in) financing
activities........... 21 (21) (21)
------- ----- ------- ------- ----- ---- ---- ----
Increase (decrease) in
cash and cash
equivalents.......... 2 2 2
Cash and cash equivalents
at beginning of year.... 1 1 1
------- ----- ------- ------- ----- ---- ---- ----
Cash and cash equivalents
at end of year.......... $ 3 $ -- $ 3 $ 1 $ 2 $-- $-- $--
======= ===== ======= ======= ===== ==== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
83
CNG INTERNATIONAL CORPORATION
CONSOLIDATING BALANCE SHEET
At December 31, 2000
(Thousands)
Eliminations CNG CNG
CNGI and and Combined Cayman Cayman CNG
Subsidiaries Adjustments Total CNGI One Three Kauai
------------ ------------ -------- -------- ------ ------ ------
Assets
Current Assets
Cash and cash
equivalents............ $ 203 $ -- $ 203 $ 193 $-- $-- $ 10
Accounts receivable:
Customers, less
allowance.............
Other..................
Receivables from
affiliated companies... 138,161 138,161 138,161
Inventories:
Gas stored--current
portion...............
Materials and
supplies..............
Unrecovered gas costs...
Deferred income taxes--
current (net)..........
Broker margin deposits..
Prepayments............. 3 3 3
Other................... (6) (6) (6)
Net assets held for
sale...................
-------- ------- -------- -------- ---- ---- ------
Total current assets... 138,361 138,361 138,351 10
-------- ------- -------- -------- ---- ---- ------
Investments
Stocks of subsidiary
companies, at equity--
consolidated........... (2,486) 2,486 2,486
Notes of subsidiary
companies--
consolidated...........
Other................... 66,848 66,848 64,372 2,476
-------- ------- -------- -------- ---- ---- ------
Total investments...... 66,848 (2,486) 69,334 66,858 2,476
-------- ------- -------- -------- ---- ---- ------
Property, Plant and
Equipment
Property, plant and
equipment.............. 816 816 816
Less accumulated
depreciation and
amortization........... 616 616 616
-------- ------- -------- -------- ---- ---- ------
Net property, plant and
equipment............. 200 200 200
-------- ------- -------- -------- ---- ---- ------
Deferred Charges and
Other Assets
Regulatory assets.......
Prepaid pension cost....
Other................... 64 64 64
-------- ------- -------- -------- ---- ---- ------
Total deferred charges
and other assets...... 64 64 64
-------- ------- -------- -------- ---- ---- ------
Total assets........... $205,473 $(2,486) $207,959 $205,473 $-- $-- $2,486
======== ======= ======== ======== ==== ==== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
84
CNG INTERNATIONAL CORPORATION
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Eliminations CNG CNG
CNGI and and Combined Cayman Cayman CNG
Subsidiaries Adjustments Total CNGI One Three Kauai
------------ ------------ --------- --------- ------ ------ ------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $-- $-- $ --
Accounts payable,
trade.................. 47 47 47
Estimated rate
contingencies and
refunds................
Payables to affiliated
companies.............. 1,032 1,032 1,032
Customer deposits.......
Accrued interest........
Accrued payroll.........
Accrued taxes........... 1,103 1,103 1,103
Deferred income taxes--
current (net)..........
Other................... 102,635 102,635 102,635
--------- ------- --------- --------- ---- ---- ------
Total current
liabilities........... 104,817 104,817 104,817
--------- ------- --------- --------- ---- ---- ------
Long-term Debt
Debentures and notes....
Notes payable to
Registrant--
consolidated........... 15,000 15,000 15,000
--------- ------- --------- --------- ---- ---- ------
Total long-term debt... 15,000 15,000 15,000
--------- ------- --------- --------- ---- ---- ------
Deferred Credits and
Other Liabilities
Deferred income taxes... (40,678) (40,678) (40,678)
Deferred investment tax
credits................
Other................... 1,694 1,694 1,694
--------- ------- --------- --------- ---- ---- ------
Total deferred credits
and other
liabilities........... (38,984) (38,984) (38,984)
--------- ------- --------- --------- ---- ---- ------
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 238,550 (10) 238,560 238,550 10
Other capital........... (2,476) 2,476 2,476
Retained earnings....... (113,910) (113,910) (113,910)
Accumulated other
comprehensive income...
--------- ------- --------- --------- ---- ---- ------
Total common
stockholder's equity.. 124,640 (2,486) 127,126 124,640 2,486
--------- ------- --------- --------- ---- ---- ------
Total liabilities and
stockholder's equity.. $ 205,473 $(2,486) $ 207,959 $ 205,473 $-- $-- $2,486
========= ======= ========= ========= ==== ==== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
85
CNG INTERNATIONAL CORPORATION
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
CNG CNG
Eliminations Cayman Cayman
CNGI and and Combined One Three CNG
Subsidiaries Adjustments Total CNGI (Page 90) (Page 94) Kauai
------------ ------------ --------- --------- --------- --------- -----
Operating revenue and
income:
Regulated gas sales.... $ -- $ -- $ -- $ -- $ -- $ -- $--
Nonregulated gas
sales.................
Gas transportation and
storage...............
Oil and gas
production............
Other.................. 102 102 102
--------- ------- --------- --------- ------ -------- ----
Total.................. 102 102 102
--------- ------- --------- --------- ------ -------- ----
Expenses:
Purchased gas..........
Liquids, capacity and
other products
purchased.............
Restructuring and other
merger-related costs.. 3,110 3,110 3,110
Operation and
maintenance........... 5,225 5,225 4,391 834
Depreciation and
amortization.......... 134 134 134
Other taxes............ 192 192 184 8
--------- ------- --------- --------- ------ -------- ----
Total.................. 8,661 8,661 7,819 842
--------- ------- --------- --------- ------ -------- ----
Income from operations.. (8,559) (8,559) (7,717) (842)
--------- ------- --------- --------- ------ -------- ----
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale.............. (152,340) (152,340) (135,100) (17,240)
Equity in earnings of
subsidiary companies--
consolidated.......... 15,379 (15,379) (15,379)
Interest revenue from
affiliated companies--
consolidated.......... 2,008 2,008 2,008
Other.................. 3,120 3,120 417 1,107 1,596
--------- ------- --------- --------- ------ -------- ----
Total other income and
expense............... (147,212) 15,379 (162,591) (148,054) 1,107 (15,644)
--------- ------- --------- --------- ------ -------- ----
Income before interest
and income taxes....... (155,771) 15,379 (171,150) (155,771) 1,107 (16,486)
Interest charges........ 1,743 1,743 1,743
--------- ------- --------- --------- ------ -------- ----
Income before income
taxes.................. (157,514) 15,379 (172,893) (157,514) 1,107 (16,486)
Income tax expense...... (53,796) (53,796) (53,796)
--------- ------- --------- --------- ------ -------- ----
Income before cumulative
effect of a change in
accounting principle... (103,718) 15,379 (119,097) (103,718) 1,107 (16,486)
Cumulative effect of a
change in accounting
principle (net of
income taxes).......... (6) (6) (6)
--------- ------- --------- --------- ------ -------- ----
Net income.............. $(103,712) $15,379 $(119,091) $(103,712) $1,107 $(16,486) $--
========= ======= ========= ========= ====== ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
86
CNG INTERNATIONAL CORPORATION
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
CNG CNG
Eliminations Cayman Cayman
CNGI and and Combined One Three CNG
Subsidiaries Adjustments Total CNGI (Page 91) (Page 95) Kauai
------------ ------------ --------- --------- --------- --------- -----
Retained Earnings
Balance at December 31,
1999................... $ (10,198) $(14,834) $ 4,636 $ (10,198) $ 2,282 $ 12,552 $--
Net income for the
period January 1
through January 27,
2000................... (267) 37 (304) (267) (37)
--------- -------- --------- --------- ------- -------- ----
Total.................. (10,465) (14,797) 4,332 (10,465) 2,282 12,515
Merger of Parent Company
with Dominion
Resources, Inc.........
--------- -------- --------- --------- ------- -------- ----
Balance at January 28,
2000................... (10,465) (14,797) 4,332 (10,465) 2,282 12,515
Net income for the
period January 28
through December 31,
2000................... (103,445) 15,342 (118,787) (103,445) 1,107 (16,449)
Sale of CNG Cayman Three
by CNG International... (3,934) 3,934 3,934
Dividends declared on
common stock--cash..... 3,389 (3,389) (3,389)
--------- -------- --------- --------- ------- -------- ----
Balance at December 31,
2000................... $(113,910) $ -- $(113,910) $(113,910) $ -- $ -- $--
========= ======== ========= ========= ======= ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
87
CNG INTERNATIONAL CORPORATION
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
CNG CNG
Eliminations Cayman Cayman
CNGI and and Combined One Three CNG
Subsidiaries Adjustments Total CNGI (Page 92) (Page 96) Kauai
------------ ------------ --------- --------- --------- --------- -----
Net income.............. $(103,712) $15,379 $(119,091) $(103,712) $ 1,107 $(16,486) $--
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............ (1,077) 1,077 (2,154) (1,077) (1,077)
Less: reclassification
adjustment for losses
realized in net
income................ 3,637 (3,637) 7,274 3,637 3,637
--------- ------- --------- --------- ------- -------- ----
Total foreign currency
translation
adjustment............ 2,560 (2,560) 5,120 2,560 2,560
Minimum pension
liability adjustment.. 0 0 0 0 0
--------- ------- --------- --------- ------- -------- ----
Other comprehensive
income (loss)......... 2,560 (2,560) 5,120 2,560 2,560
--------- ------- --------- --------- ------- -------- ----
Comprehensive income.... $(101,152) $12,819 $(113,971) $(101,152) $ 3,667 $(16,486) $--
========= ======= ========= ========= ======= ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
88
CNG INTERNATIONAL CORPORATION
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
CNG CNG
Cayman One Cayman Three
CNGI Eliminations and and
and and Combined Subsidiary Subsidiary CNG
Subsidiaries Adjustments Total CNGI (Page 93) (Page 97) Kauai
------------ ------------ --------- --------- ---------- ------------ -----
Cash Flows From (Used
In) Operating
Activities
Net income............. $(103,712) $ 15,379 $(119,091) $(103,712) $ 1,107 $(16,486) $--
Adjustments to
reconcile net income
to net cash from
operating activities:
Cumulative effect of a
change in accounting
principle............ (6) (6) (6)
Restructuring and
other merger-related
costs................ 1,423 1,423 1,423
Loss on net assets
held for sale........ 152,340 152,340 135,100 17,240
Sale of Virginia
Natural Gas..........
Depreciation and
amortization......... 134 134 134
Pension cost
(credit)--net........ (13) (13) (13)
Deferred income
taxes--net........... (48,261) (48,261) (48,261)
Investment tax
credit...............
Changes in current
assets and current
liabilities:
Accounts receivable... 665 665 147 518
Receivables from
affiliated
companies............ (1,127) (26) (1,101) (1,101)
Inventories...........
Unrecovered gas
costs................
Broker margin
deposits.............
Prepayments........... 3 3 3
Other current
assets............... 7 7 7
Accounts payable,
trade................ (195) (195) (129) (56) (10)
Payables to
affiliated
companies............ 613 26 587 613 (26)
Estimated rate
contingencies and
refunds..............
Amounts payable to
customers............
Accrued expenses...... 529 529 400 124 5
Other--net............ 1,817 1,817 1,817
Changes in other
assets and other
liabilities.......... 147,661 147,661 150,890 (1,231) (1,998)
Excess of equity in
earnings of
subsidiary companies
over their cash
dividends paid--
consolidated......... (15,379) 15,379 15,379
Other--net............
--------- -------- --------- --------- ------- -------- ----
Net cash from (used
in) operating
activities......... 151,878 151,878 152,691 (803) (10)
--------- -------- --------- --------- ------- -------- ----
Cash Flows From (Used
In) Investing
Activities
Plant construction and
other property
additions............. 3 3 3
Proceeds from sale of
Virginia Natural Gas,
net of cash sold......
Proceeds from sale of
Argentine investments,
net of cash sold......
Cost of other
investments........... (6,059) (6,059) (6,059)
Intrasystem long-term
financing--net........
Intrasystem money pool
investments--net...... (137,030) (137,030) (137,030)
Property transfers to
(from) affiliates.....
Other..................
--------- -------- --------- --------- ------- -------- ----
Net cash from (used
in) investing
activities......... (143,086) (143,086) (143,086)
--------- -------- --------- --------- ------- -------- ----
Cash Flows From (Used
In ) Financing
Activities
Repayments of long-term
debt..................
Issuance (repayment) of
short-term debt.......
Dividends paid.........
Intrasystem long-term
financing-net.........
Intrasystem money pool
borrowings
(repayments)--net..... (9,835) (9,835) (9,835)
Dividends paid--
subsidiary companies--
consolidated..........
Purchase of treasury
stock.................
Other..................
--------- -------- --------- --------- ------- -------- ----
Net cash from (used
in) financing
activities......... (9,835) (9,835) (9,835)
--------- -------- --------- --------- ------- -------- ----
Increase (decrease)
in cash and cash
equivalents........ (1,043) (1,043) (230) (803) (10)
Cash and cash
equivalents at
beginning of year..... 1,246 1,246 423 803 20
--------- -------- --------- --------- ------- -------- ----
Cash and cash
equivalents at end of
year.................. $ 203 $ -- $ 203 $ 193 $ -- $ -- $ 10
========= ======== ========= ========= ======= ======== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
89
CNG CAYMAN ONE LTD.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
CNG
Cayman One Eliminations CNG CNGI
and and Combined Cayman Australia
Subsidiary Adjustments Total One Pty Ltd.
---------- ------------ -------- ------ ---------
Operating revenue and income:
Regulated gas sales......... $ -- $ -- $ -- $ -- $ --
Nonregulated gas sales......
Gas transportation and
storage....................
Oil and gas production......
Other.......................
------ ------- ------ ------ ------
Total......................
------ ------- ------ ------ ------
Expenses:
Purchased gas...............
Liquids, capacity and other
products purchased.........
Restructuring and other
merger-related costs.......
Operation and maintenance...
Depreciation and
amortization...............
Other taxes.................
------ ------- ------ ------ ------
Total......................
------ ------- ------ ------ ------
Income from operations.......
------ ------- ------ ------ ------
Other income and expense:
Gain on sale of Virginia
Natural Gas................
Loss on net assets held for
sale.......................
Equity in earnings of
subsidiary company--
consolidated............... (1,107) 1,107 1,107
Interest revenue from
affiliated companies--
consolidated...............
Other....................... 1,107 1,107 1,107
------ ------- ------ ------ ------
Total other income and
expense................... 1,107 (1,107) 2,214 1,107 1,107
------ ------- ------ ------ ------
Income before interest and
income taxes................ 1,107 (1,107) 2,214 1,107 1,107
Interest charges.............
------ ------- ------ ------ ------
Income before income taxes... 1,107 (1,107) 2,214 1,107 1,107
Income tax expense...........
------ ------- ------ ------ ------
Income before cumulative
effect of a change in
accounting principle........ 1,107 (1,107) 2,214 1,107 1,107
Cumulative effect of a change
in accounting principle (net
of income taxes)............
------ ------- ------ ------ ------
Net income................... $1,107 $(1,107) $2,214 $1,107 $1,107
====== ======= ====== ====== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
90
CNG CAYMAN ONE LTD.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
CNG
Cayman One Eliminations CNG CNGI
and and Combined Cayman Australia
Subsidiary Adjustments Total One Pty Ltd.
---------- ------------ -------- ------- ---------
Retained Earnings
Balance at December 31,
1999.................... $ 2,282 $(2,282) $ 4,564 $ 2,282 $ 2,282
Net income for the period
January 1 through
January 27, 2000........
------- ------- ------- ------- -------
Total.................. 2,282 (2,282) 4,564 2,282 2,282
Merger of Parent Company
with Dominion Resources,
Inc.....................
------- ------- ------- ------- -------
Balance at January 28,
2000.................... 2,282 (2,282) 4,564 2,282 2,282
Net income for the period
January 28 through
December 31, 2000....... 1,107 (1,107) 2,214 1,107 1,107
Transfer of CNG Cayman
One assets to investment
in CNG Cayman Two....... 3,389 (3,389) (3,389)
Dividends declared on
common stock--cash...... (3,389) (3,389) (3,389)
------- ------- ------- ------- -------
Balance at December 31,
2000.................... $ -- $ -- $ -- $ -- $ --
======= ======= ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
91
CNG CAYMAN ONE LTD.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
CNG Cayman Eliminations CNG CNGI
One and and Combined Cayman Australia
Subsidiary Adjustments Total One Pty Ltd.
---------- ------------ -------- ------- ---------
Net income................. $ 1,107 $(1,107) $ 2,214 $ 1,107 $ 1,107
Other comprehensive income,
net of tax:
Foreign currency
translation adjustment... (1,077) 1,077 (2,154) (1,077) (1,077)
Less: reclassification
adjustment for losses
realized in net income... 3,637 (3,637) 7,274 3,637 3,637
------- ------- ------- ------- -------
Total foreign currency
translation adjustment... 2,560 (2,560) 5,120 2,560 2,560
Minimum pension liability
adjustment...............
------- ------- ------- ------- -------
Other comprehensive income
(loss)................... 2,560 (2,560) 5,120 2,560 2,560
------- ------- ------- ------- -------
Comprehensive income....... $ 3,667 $(3,667) $ 7,334 $ 3,667 $ 3,667
======= ======= ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
92
CNG CAYMAN ONE LTD.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
CNG
Cayman One Eliminations CNGI
and and Combined CNG Australia
Subsidiary Adjustments Total Cayman One Pty Ltd.
---------- ------------ -------- ---------- ---------
Cash Flows From (Used In)
Operating Activities
Net income............... $ 1,107 $(1,107) $ 2,214 $ 1,107 $ 1,107
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle..............
Restructuring and other
merger-related costs...
Loss on net assets held
for sale...............
Sale of Virginia Natural
Gas....................
Depreciation and
amortization...........
Pension cost (credit)--
net....................
Deferred income taxes--
net....................
Investment tax credit...
Changes in current
assets and current
liabilities:
Accounts receivable.....
Receivables from
affiliated companies...
Inventories.............
Unrecovered gas costs...
Broker margin
deposits...............
Prepayments.............
Other current assets....
Accounts payable,
trade..................
Payables to affiliated
companies..............
Estimated rate
contingencies and
refunds................
Amounts payable to
customers..............
Accrued expenses........ 124 124 124
Other--net..............
Changes in other assets
and other liabilities.. (1,231) (1,231) (1,231)
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated........... 1,107 (1,107) (1,107)
Other-net...............
------- ------- ------- ------- -------
Net cash flows from
(used in) operating
activities...........
------- ------- ------- ------- -------
Cash Flows From (Used In)
Investing Activities
Plant construction and
other property
additions...............
Proceeds from sale of
Virginia Natural Gas,
net of cash sold........
Proceeds from sale of
Argentine investments,
net of cash sold........
Cost of other
investments.............
Intrasystem long-term
financing--net..........
Intrasystem money pool
investments--net........
Property transfers to
(from) affiliates.......
Other....................
------- ------- ------- ------- -------
Net cash flows from
(used in) investing
activities...........
------- ------- ------- ------- -------
Cash Flows From (Used In)
Financing Activities
Repayments of long-term
debt....................
Issuance (repayment) of
short-term debt.........
Dividends paid...........
Intrasystem long-term
financing--net..........
Intrasystem money pool
borrowings
(repayments)--net.......
Dividends paid--
subsidiary companies--
consolidated............
Purchase of treasury
stock...................
Other....................
------- ------- ------- ------- -------
Net cash flows from
(used in) financing
activities...........
------- ------- ------- ------- -------
Increase (decrease) in
cash and cash
equivalents..........
Cash and cash equivalents
at beginning of year....
------- ------- ------- ------- -------
Cash and cash equivalents
at end of year.......... $ -- $ -- $ -- $ -- $ --
======= ======= ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
93
CNG CAYMAN THREE LTD.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
CNG Cayman Eliminations CNG CNG
Three and and Combined Cayman Argentina
Subsidiary Adjustments Total Three S.A.
---------- ------------ -------- -------- ---------
Operating revenue and
income:
Regulated gas sales.... $ -- $-- $ -- $ -- $ --
Nonregulated gas
sales.................
Gas transportation and
storage...............
Oil and gas
production............
Other..................
-------- ---- -------- -------- -----
Total.................
-------- ---- -------- -------- -----
Expenses:
Purchased gas..........
Liquids, capacity and
other products
purchased.............
Restructuring and other
merger-related costs..
Operation and
maintenance........... 834 834 33 801
Depreciation and
amortization..........
Other taxes............ 8 8 8
-------- ---- -------- -------- -----
Total................. 842 842 33 809
-------- ---- -------- -------- -----
Income from operations.. (842) (842) (33) (809)
-------- ---- -------- -------- -----
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale.............. (17,240) (17,240) (17,240)
Equity in earnings of
subsidiary company--
consolidated.......... 809 (809) (809)
Interest revenue from
affiliated companies--
consolidated..........
Other.................. 1,596 1,596 1,596
-------- ---- -------- -------- -----
Total other income and
expense.............. (15,644) 809 (16,453) (16,453)
-------- ---- -------- -------- -----
Income before interest
and income taxes....... (16,486) 809 (17,295) (16,486) (809)
Interest charges........
-------- ---- -------- -------- -----
Income before income
taxes.................. (16,486) 809 (17,295) (16,486) (809)
Income tax expense......
-------- ---- -------- -------- -----
Income before cumulative
effect of a change in
accounting principle... (16,486) 809 (17,295) (16,486) (809)
Cumulative effect of a
change in accounting
principle (net of
income taxes)..........
-------- ---- -------- -------- -----
Net income.............. $(16,486) $809 $(17,295) $(16,486) $(809)
======== ==== ======== ======== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
94
CNG CAYMAN THREE LTD.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
CNG Cayman Eliminations CNG CNG
Three and and Combined Cayman Argentina
Subsidiary Adjustments Total Three S.A.
---------- ------------ -------- -------- ---------
Retained Earnings
Balance at December 31,
1999................... $ 12,552 $(667) $ 13,219 $ 12,552 $ 667
Net income for the
period January 1
through January 27,
2000................... (37) 37 (74) (37) (37)
-------- ----- -------- -------- -----
Total................. 12,515 (630) 13,145 12,515 630
Merger of Parent Company
with Dominion
Resources, Inc.........
-------- ----- -------- -------- -----
Balance at January 28,
2000................... 12,515 (630) 13,145 12,515 630
Net income for the
period January 28
through December 31,
2000................... (16,449) 772 (17,221) (16,449) (772)
Sale of CNG Cayman Three
by CNG International... 3,934 (142) 4,076 3,934 142
Dividends declared on
common stock--cash.....
-------- ----- -------- -------- -----
Balance at December 31,
2000................... $ -- $ -- $ -- $ -- $ --
======== ===== ======== ======== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
95
CNG CAYMAN THREE LTD.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
CNG Cayman Eliminations CNG CNG
Three and and Combined Cayman Argentina
Subsidiary Adjustments Total Three S.A.
---------- ------------ -------- -------- ---------
Net income............... $(16,486) $809 $(17,295) $(16,486) $(809)
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment.............
Less: reclassification
adjustment for losses
realized in net
income.................
-------- ---- -------- -------- -----
Total foreign currency
translation
adjustment............
Minimum pension
liability adjustment...
-------- ---- -------- -------- -----
Other comprehensive
income (loss).........
-------- ---- -------- -------- -----
Comprehensive income..... $(16,486) $809 $(17,295) $(16,486) $(809)
======== ==== ======== ======== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
96
CNG CAYMAN THREE LTD.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
CNG
Cayman Three Eliminations CNG
and and Combined CNG Arentina
Subsidiary Adjustments Total Cayman Three S.A.
------------ ------------ -------- ------------ --------
Cash Flows From (Used In)
Operating Activities
Net income............... $(16,486) $ 809 $(17,295) $(16,486) $(809)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle..............
Restructuring and other
merger-related costs...
Loss on net assets held
for sale............... 17,240 17,240 17,240
Sale of Virginia Natural
Gas....................
Depreciation and
amortization...........
Pension cost (credit)--
net....................
Deferred income taxes-
net....................
Investment tax credit...
Changes in current
assets and current
liabilities:
Accounts receivable..... 518 518 518
Receivables from
affiliated companies...
Inventories.............
Unrecovered gas costs...
Broker margin
deposits...............
Prepayments.............
Other current assets....
Accounts payable,
trade.................. (56) (56) (56)
Payables to affiliated
companies.............. (26) (26) (26)
Estimated rate
contingencies and
refunds................
Amounts payable to
customers..............
Accrued expenses........ 5 5 5
Other--net..............
Changes in other assets
and other liabilities... (1,998) (1,998) (1,828) (170)
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated............ (809) 809 809
Other--net...............
-------- ----- -------- -------- -----
Net cash flows from
(used in) operating
activities........... (803) (803) (291) (512)
-------- ----- -------- -------- -----
Cash Flows From (Used In)
Investing Activities
Plant construction and
other property
additions...............
Proceeds from sale of
Virginia Natural Gas,
net of cash sold........
Proceeds from sale of
Argentine investments,
net of cash sold........
Cost of other
investments.............
Intrasystem long-term
financing-net...........
Intrasystem money pool
investments-net.........
Property transfers to
(from) affiliates.......
Other....................
-------- ----- -------- -------- -----
Net cash flows from
(used in) investing
activities...........
-------- ----- -------- -------- -----
Cash Flows From (Used In)
Financing Activities
Repayments of long-term
debt....................
Issuance (repayment) of
short-term debt.........
Dividends paid...........
Intrasystem long-term
financing-net...........
Intrasystem money pool
borrowings (repayments)-
net.....................
Dividends paid--
subsidiary companies--
consolidated............
Purchase of treasury
stock...................
Other....................
-------- ----- -------- -------- -----
Net cash flows from
(used in) financing
activities...........
-------- ----- -------- -------- -----
Increase (decrease) in
cash and cash
equivalents.......... (803) (803) (291) (512)
Cash and cash equivalents
at beginning of year.... 803 803 291 512
-------- ----- -------- -------- -----
Cash and cash equivalents
at end of year.......... $ -- $ -- $ -- $ -- $ --
======== ===== ======== ======== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
97
DOMINION PRODUCTS AND SERVICES, INC.
CONSOLIDATING BALANCE SHEET
At December 31, 2000
(Thousands)
Dominion Eliminations
P&S and and Combined Dominion CNG
Subsidiary Adjustments Total P&S Technologies
---------- ------------ -------- -------- ------------
ASSETS
Current Assets
Cash and cash
equivalents............ $ 28 $ -- $ 28 $ 27 $ 1
Accounts receivable:
Customers, less
allowance............ 1,139 1,139 1,139
Other.................
Receivables from
affiliated companies... 3,241 3,241 3,070 171
Inventories:
Gas stored--current
portion..............
Materials and
supplies.............
Unrecovered gas costs...
Deferred income taxes--
current (net)..........
Broker margin deposits..
Prepayments............. 1 1 1
Other...................
Net assets held for
sale...................
------ ----- ------ ------ ----
Total current
assets............. 4,409 4,409 4,237 172
------ ----- ------ ------ ----
Investments
Stock of subsidiary
company, at equity--
consolidated........... (579) 579 579
Notes of subsidiary
company--consolidated..
Other...................
------ ----- ------ ------ ----
Total investments... (579) 579 579
------ ----- ------ ------ ----
Property, Plant and
Equipment
Property, plant and
equipment..............
Less accumulated
depreciation and
amortization...........
------ ----- ------ ------ ----
Net property, plant
and equipment......
------ ----- ------ ------ ----
Deferred Charges and
Other Assets
Regulatory assets.......
Prepaid pension cost....
Other...................
------ ----- ------ ------ ----
Total deferred
charges and other
assets.............
------ ----- ------ ------ ----
Total assets........ $4,409 $(579) $4,988 $4,816 $172
====== ===== ====== ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
98
DOMINION PRODUCTS AND SERVICES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
At December 31, 2000
(Thousands)
Dominion Eliminations
P&S and and Combined Dominion CNG
Subsidiary Adjustments Total P&S Technologies
---------- ------------ -------- -------- ------------
LIABILITIES AND
STOCKHOLDER'S EQUITY
Current Liabilities
Short-term debt......... $ -- $ -- $ -- $ -- $ --
Accounts payable,
trade.................. 451 451 451
Estimated rate
contingencies and
refunds................
Payables to affiliated
companies.............. 610 610 610
Customer deposits.......
Accrued interest........
Accrued payroll.........
Accrued taxes........... 665 665 727 (62)
Deferred income taxes--
current (net)..........
Other................... 1,838 1,838 1,838
------- ------- ------- ------- -------
Total current
liabilities.......... 3,564 3,564 3,626 (62)
------- ------- ------- ------- -------
Long-term Debt
Debentures and notes....
Notes payable to
Registrant--
consolidated...........
------- ------- ------- ------- -------
Total long-term debt..
------- ------- ------- ------- -------
Deferred Credits and
Other Liabilities
Deferred income taxes... (1,121) (1,121) (776) (345)
Deferred investment tax
credits................
Other................... 208 208 208
------- ------- ------- ------- -------
Total deferred credits
and other
liabilities.......... (913) (913) (568) (345)
------- ------- ------- ------- -------
Commitments and
Contingencies
Common Stockholder's
Equity
Common stock............ 3,990 (2,000) 5,990 3,990 2,000
Other capital...........
Retained earnings....... (2,232) 1,421 (3,653) (2,232) (1,421)
Accumulated other
comprehensive income...
------- ------- ------- ------- -------
Total common
stockholder's
equity............... 1,758 (579) 2,337 1,758 579
------- ------- ------- ------- -------
Total liabilities and
stockholder's
equity............... $ 4,409 $ (579) $ 4,988 $ 4,816 $ 172
======= ======= ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
99
DOMINION PRODUCTS AND SERVICES, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
P&S and and Combined Dominion CNG
Subsidiary Adjustments Total P&S Technologies
---------- ------------ -------- -------- ------------
Operating revenue and
income:
Regulated gas sales.... $ -- $-- $ -- $ -- $--
Nonregulated gas
sales.................
Gas transportation and
storage...............
Oil and gas
production............
Other.................. 9,907 9,907 9,907
------ ---- ------ ------ ----
Total................. 9,907 9,907 9,907
------ ---- ------ ------ ----
Expenses:
Purchased gas..........
Liquids, capacity and
other products
purchased.............
Restructuring and other
merger-related costs..
Operation and
maintenance........... 7,425 7,425 7,425
Depreciation and
amortization..........
Other taxes............ 16 16 16
------ ---- ------ ------ ----
Total................. 7,441 7,441 7,441
------ ---- ------ ------ ----
Income from operations.. 2,466 2,466 2,466
------ ---- ------ ------ ----
Other income and
expense:
Gain on sale of
Virginia Natural Gas..
Loss on net assets held
for sale..............
Equity in earnings of
subsidiary company--
consolidated.......... 33 (33) (33)
Interest revenue from
affiliated companies--
consolidated.......... 132 132 122 10
Other.................. 17 17 (2) 19
------ ---- ------ ------ ----
Total other income and
expense.............. 149 33 116 87 29
------ ---- ------ ------ ----
Income before interest
and income taxes....... 2,615 33 2,582 2,553 29
Interest charges........
------ ---- ------ ------ ----
Income before income
taxes.................. 2,615 33 2,582 2,553 29
Income tax expense...... 916 916 854 62
------ ---- ------ ------ ----
Income before cumulative
effect of a change in
accounting principle... 1,699 33 1,666 1,699 (33)
Cumulative effect of a
change in accounting
principle (net of
income taxes)..........
------ ---- ------ ------ ----
Net income.............. $1,699 $ 33 $1,666 $1,699 $(33)
====== ==== ====== ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
100
DOMINION PRODUCTS AND SERVICES, INC.
CONSOLIDATING STATEMENT OF RETAINED EARNINGS
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
P&S and and Combined Dominion CNG
Subsidiary Adjustments Total P&S Technologies
---------- ------------ -------- -------- ------------
Retained Earnings
Balance at December 31,
1999................... $(3,931) $1,389 $(5,320) $(3,931) $(1,389)
Net income for the
period January 1
through January 27,
2000................... 58 1 57 58 (1)
------- ------ ------- ------- -------
Total................. (3,873) 1,390 (5,263) (3,873) (1,390)
Merger of Parent Company
with Dominion
Resources, Inc. .......
------- ------ ------- ------- -------
Balance at January 28,
2000................... (3,873) 1,390 (5,263) (3,873) (1,390)
Net income for the
period January 28
through December 31,
2000................... 1,641 32 1,609 1,641 (32)
Dividends declared on
common stock--cash.....
------- ------ ------- ------- -------
Balance at December 31,
2000................... $(2,232) $1,422 $(3,654) $(2,232) $(1,422)
======= ====== ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
101
DOMINION PRODUCTS AND SERVICES, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
P&S and and Combined Dominion CNG
Subsidiary Adjustments Total P&S Technologies
---------- ------------ -------- -------- ------------
Net income.............. $1,699 $33 $1,666 $1,699 $(33)
Other comprehensive
income, net of tax:
Foreign currency
translation
adjustment............
Less: reclassification
adjustment for losses
realized in net
income................
------ --- ------ ------ ----
Total foreign currency
translation
adjustment...........
Minimum pension
liability adjustment..
------ --- ------ ------ ----
Other comprehensive
income (loss)........
------ --- ------ ------ ----
Comprehensive income.... $1,699 $33 $1,666 $1,699 $(33)
====== === ====== ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
102
DOMINION PRODUCTS AND SERVICES, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion Eliminations
P&S and and Combined Dominion CNG
Subsidiary Adjustments Total P&S Technologies
---------- ------------ -------- -------- ------------
Cash Flows From (Used In)
Operating Activities
Net income............... $ 1,699 $ 33 $ 1,666 $ 1,699 $(33)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle..............
Restructuring and other
merger-related costs... 11 11 11
Loss on net assets held
for sale...............
Sale of Virginia Natural
Gas....................
Depreciation and
amortization...........
Pension cost (credit)--
net....................
Deferred income taxes--
net.................... (174) (174) (236) 62
Investment tax credit...
Changes in current
assets and current
liabilities:
Accounts receivable..... (746) (746) (746)
Receivables from
affiliated companies... 570 570 570
Inventories.............
Unrecovered gas costs...
Broker margin
deposits...............
Prepayments............. (1) (1) (1)
Other current assets....
Accounts payable,
trade.................. (414) (414) (383) (31)
Payables to affiliated
companies.............. 7 7 7
Estimated rate
contingencies and
refunds................
Amounts payable to
customers..............
Accrued expenses........ 718 718 690 28
Other--net.............. 661 661 661
Changes in other assets
and other liabilities... 208 208 208
Excess of equity in
earnings of subsidiary
companies over their
cash dividends paid--
consolidated............ (33) 33 33
Other--net...............
------- ---- ------- ------- ----
Net cash flows from
(used in) operating
activities........... 2,539 2,539 2,513 26
------- ---- ------- ------- ----
Cash Flows From (Used In)
Investing Activities
Plant construction and
other property
additions...............
Proceeds from sale of
Virginia Natural Gas,
net of cash sold........
Proceeds from sale of
Argentine investments,
net of cash sold........
Cost of other
investments.............
Intrasystem long-term
financing--net..........
Intrasystem money pool
investments--net........ (2,516) (2,516) (2,490) (26)
Property transfers to
(from) affiliates.......
Other....................
------- ---- ------- ------- ----
Net cash flows from
(used in) investing
activities........... (2,516) (2,516) (2,490) (26)
------- ---- ------- ------- ----
Cash Flows From (Used In)
Financing Activities
Repayments of long-term
debt....................
Issuance (repayment) of
short-term debt.........
Dividends paid...........
Intrasystem long-term
financing--net..........
Intrasystem money pool
borrowings
(repayments)--net.......
Dividends paid--
subsidiary companies--
consolidated............
Purchase of treasury
stock...................
Other....................
------- ---- ------- ------- ----
Net cash flows from
(used in) financing
activities...........
------- ---- ------- ------- ----
Increase (decrease) in
cash and cash
equivalents.......... 23 23 23
Cash and cash equivalents
at beginning of year.... 5 5 4 1
------- ---- ------- ------- ----
Cash and cash equivalents
at end of year.......... $ 28 $-- $ 28 $ 27 $ 1
======= ==== ======= ======= ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
103
DOMINION CAPITAL, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion Catalyst Old
Dominion Consolidating Mortgage River
Capital Entries and Dominion Services, Virginia Hydroelectric
Consolidated Adjustments Capital Inc. Financial DCV OptaCor DVII Ltd.
------------ ------------- ---------- --------- --------- -------- ------- ------- -------------
Current assets:
Cash and cash
equivalents......... $ 43,197 $ (63,408) $ 2,206 $ 236 $ 43,151 $ (4,373) $ 29 $ -- $63,408
Accounts receivable:
Customers (less
allowance).........
Other............... 6,239 (5,180) 1,632 2,663 (1,203) 4 3,836
Inventories:
Materials and
supplies...........
Fossil fuel.........
Gas stored--current
portion............
Investment
securities--
trading............. 274,643 274,643
Mortgage loans held
for sale............ 103,956 103,956
Commodity contract
assets..............
Unrecovered gas
costs...............
Broker margin
deposits............
Prepayments..........
Net assets held for
sale................
Other................ 62,060 (4,022) 8,379 6,537 31,589 13,159 70 383
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Total current
assets........... 490,095 (72,610) 12,217 385,372 77,403 7,583 103 67,627
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Investments:
Loans receivable,
net................. 675,600 22,508 514,040 133,083 331
Investments in
affiliates.......... 175,505 (1,678,049) 1,743,543 51,774 0 49,469
Available for sale
securities.......... 291,630 10,823 13,916 76,487 72,809
Nuclear
decommissioning
trust funds.........
Investment in real
estate.............. 64,924 3,891 0 0
Other................ 145,274 5,769 20,203 36,898
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Total net
investments...... 1,352,933 (1,678,049) 1,786,534 13,916 662,504 242,790 331 49,469
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Property, plant and
equipment:
Property, plant and
equipment........... 35,296 (419,948) 878 21,749 1,028 5,073 419,948
Less accumulated
depreciation,
depletion and
amortization........ 16,298 (5,127) 703 10,439 402 1,568
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Property, plant
and equipment,
net.............. 18,998 (414,821) 175 11,310 626 3,505 419,948
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Deferred charges and
other assets:
Goodwill, net........ 49,796 46,095 (246) 0
Regulatory assets,
net.................
Prepaid pension
costs...............
Other, net........... 123,871 (493,816) 1,313 118,429 11,492 (404) 61 488,689
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Total deferred
charges and other
assets........... 173,667 (493,816) 1,313 164,524 11,246 (404) 61 488,689
---------- ----------- ---------- -------- -------- -------- ---- ------- --------
Total Assets........ $2,035,693 $(2,659,296) $1,800,239 $575,122 $751,779 $253,474 $434 $49,530 $976,264
========== =========== ========== ======== ======== ======== ==== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
104
DOMINION CAPITAL, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Catalyst Old
Dominion Consolidating Mortgage River
Capital Entries and Dominion Services, Virginia Hydroelectric
Consolidated Adjustments Capital Inc. Financial DCV OptaCor DVII Ltd.
------------ ------------- ---------- --------- --------- -------- -------- ------- -------------
Current liabilities:
Securities due
within one year.... $ 89,499 $ 10,774 $ -- $ 78,725 $ -- $ -- $ -- $ -- $ --
Short-term debt.....
Accounts payable,
trade.............. 9,660 (6,081) 2,215 6,489 0 322 5,237
Accrued interest.... 15,113 (16,729) 12,826 1,324 935 846 13,969
Accrued payroll..... 3,158 0 (9) 2,887 277 3
Accrued taxes....... 2,270 (12) (12) 0 21 1,836 422
Commodity contract
liabilities........
Other............... 4,652 (6,252) 2,191 559 1,685 0 6,252
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Total current
liabilities..... 124,352 (18,300) 17,211 89,984 2,918 3,007 422 25,458
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Long term debt..... 1,353,801 (1,613,100) 1,257,322 109,477 468,580 120,802 859,615
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Deferred credits and
other liabilities:
Deferred income
taxes.............. 34,306 1,586 31,539 (6,555) (1,277) (109) (507)
Deferred investment
tax credits........
Other............... 627 (1,141) 1,513 585 0 (1,812) 1
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Total deferred
credits and
other
liabilities..... 34,933 (1,141) 3,099 32,124 (6,555) (3,089) (108) (507)
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Total
Liabilities....... 1,513,086 (1,632,541) 1,277,632 231,585 464,943 120,720 (108) (85) 885,073
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Minority interest... (68,393) 68,393
Obligated
mandatorily
redeemable
preferred
securities of
subsidiary trusts..
Preferred stock not
subject to
mandatory
redemption.........
Common shareholders'
equity:
Common Stock........ 8 (64,657) 8 50,100
Other paid in
capital............ 693,841 (790,330) 693,840 294,113 167,039 122,273 12,218 62,930 22,798
Accumulated other
comprehensive
income............. (8,597) 7,810 (8,597) (45)
Retained earnings... (162,645) (111,185) (162,644) 49,424 69,742 10,481 (11,676) (13,315)
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Total common
shareholders'
equity.......... 522,607 (958,362) 522,607 343,537 286,836 132,754 542 49,615 22,798
---------- ----------- ---------- -------- -------- -------- -------- ------- --------
Total Liabilities
and shareholders'
equity............ $2,035,693 $(2,659,296) $1,800,239 $575,122 $751,779 $253,474 $ 434 $49,530 $976,264
========== =========== ========== ======== ======== ======== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
105
DOMINION CAPITAL, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Rincon Stanton Vidalia Dominion
Securities, Associates, Edgen, Audit, Louisiana Lands,
Inc. Inc. Inc. DLMC Inc. Hydro Inc.
----------- ----------- ------- ---- ------- --------- --------
Current assets:
Cash and cash
equivalents............ $ 838 $ 192 $ 80 $ 69 $ 1 $ 1 $ 767
Accounts receivable:
Customers (less
allowance)............
Other.................. 115 473 516 429 (499) 3,453
Inventories:
Materials and
supplies..............
Fossil fuel............
Gas stored--current
portion...............
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets.................
Unrecovered gas costs...
Broker margin deposits..
Prepayments.............
Net assets held for
sale...................
Other................... 1,073 3,371 26 0 47 1,364 84
-------- ------- ------- ---- ---- ------- -------
Total current
assets.............. 1,911 3,678 579 585 477 866 4,304
-------- ------- ------- ---- ---- ------- -------
Investments:
Loans receivable, net... 0 471 2,151 0 0 3,016
Investments in
affiliates............. (8,355) 0 13,597 254 3,272 0
Available for sale
securities............. 117,595 0 0 0 0 0
Nuclear decommissioning
trust funds............
Investment in real
estate................. 0 4,682 626 0 0 55,725
Other................... 3,819 1,503 0 0 76,899 183
-------- ------- ------- ---- ---- ------- -------
Total net
investments......... 113,059 6,656 16,374 254 80,171 58,924
-------- ------- ------- ---- ---- ------- -------
Property, plant and
equipment:
Property, plant and
equipment.............. 0 5,635 170 37 0 726
Less accumulated
depreciation, depletion
and amortization....... 0 2,230 126 37 0 5,920
-------- ------- ------- ---- ---- ------- -------
Property, plant and
equipment, net...... 0 3,405 44 0 0 (5,194)
-------- ------- ------- ---- ---- ------- -------
Deferred charges and
other assets:
Goodwill, net........... 3,947 0 0 0 0 0
Regulatory assets, net..
Prepaid pension costs...
Other, net.............. 2,115 2,115 0 0 1,898 (8,021)
-------- ------- ------- ---- ---- ------- -------
Total deferred
charges and other
assets.............. 6,062 2,115 0 0 1,898 (8,021)
-------- ------- ------- ---- ---- ------- -------
Total Assets............ $121,032 $15,854 $16,997 $839 $477 $82,935 $50,013
======== ======= ======= ==== ==== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
106
DOMINION CAPITAL, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Rincon Stanton Vidalia Dominion
Securities, Associates, Edgen, Audit, Louisiana Lands,
Inc. Inc. Inc. DLMC Inc. Hydro Inc.
----------- ----------- ------- ------- ------- --------- --------
Current liabilities:
Securities due within
one year............... $ -- $ -- $ -- $ -- $-- $ -- $ --
Short-term debt.........
Accounts payable,
trade.................. 4 119 284 1 1,070
Accrued interest........ 873 4 4 0 905 156
Accrued payroll.........
Accrued taxes........... 3 12
Commodity contract
liabilities............
Other................... 33 (2) 57 129
-------- ------- ------- ------- ---- ------- --------
Total current
liabilities......... 906 6 119 291 58 905 1,367
-------- ------- ------- ------- ---- ------- --------
Long term debt......... 45,955 6,543 0 0 266 44,142 54,199
-------- ------- ------- ------- ---- ------- --------
Deferred credits and
other liabilities:
Deferred income taxes... (4,085) (444) (2,490) (80) (14) 28,458 (11,716)
Deferred investment tax
credits................
Other................... 189 565 390 337
-------- ------- ------- ------- ---- ------- --------
Total deferred
credits and other
liabilities......... (4,085) (255) (1,925) 310 (14) 28,458 (11,379)
-------- ------- ------- ------- ---- ------- --------
Total Liabilities...... 42,776 6,294 (1,806) 601 310 73,505 44,187
-------- ------- ------- ------- ---- ------- --------
Minority interest.......
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts......
Preferred stock not
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............ 1,000 10,199 1 3,346 1 10
Other paid in capital... 16,168 (1,649) 28,398 200 1,100 64,743
Accumulated other
comprehensive income... (7,765)
Retained earnings....... 68,853 1,010 (9,596) (3,108) (33) 8,329 (58,927)
-------- ------- ------- ------- ---- ------- --------
Total common
shareholders'
equity.............. 78,256 9,560 18,803 238 167 9,430 5,826
-------- ------- ------- ------- ---- ------- --------
Total Liabilities and
shareholders'
equity................ $121,032 $15,854 $16,997 $ 839 $477 $82,935 $ 50,013
======== ======= ======= ======= ==== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
107
DOMINION CAPITAL, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Catalyst Old
Dominion Consolidating Mortgage River
Capital Entries and Dominion Services, Virginia Hydroelectric
Consolidated Adjustments Capital Inc. Financial DCV OptaCor DVII L.P.
------------ ------------- --------- --------- --------- -------- ------- ------ -------------
Operating Revenue:
Regulated sales.......
Electric.............
Gas..................
Nonregulated sales....
Electric.............
Gas..................
Gas transportation and
storage..............
Oil and gas
production...........
Other................. $ 432,897 $224,605 $(132,714) $ 61,300 $137,885 $ 20,602 $ 75 $4,398 $ 94,591
--------- -------- --------- -------- -------- -------- ---- ------ --------
Total.............. 432,897 224,605 (132,714) 61,300 137,885 20,602 75 4,398 94,591
--------- -------- --------- -------- -------- -------- ---- ------ --------
Expenses:
Fuel, net.............
Purchased power
capacity, net........
Purchased gas, net....
Liquids, capacity and
other products
purchased............
Restructuring and
other acquisition
related costs........ 192,388 192,388
Other operation and
maintenance.......... 298,282 35,322 13,787 75,846 91,085 36,509 80 8,366
Depreciation,
depletion and
amortization......... 33,712 (13,846) 909 29,640 403 1,193 144 13,846
Other taxes........... 5,082 (10,080) 378 3,542 367 10,080
--------- -------- --------- -------- -------- -------- ---- ------ --------
Total.............. 529,464 203,784 15,074 109,028 91,488 38,069 80 144 32,292
--------- -------- --------- -------- -------- -------- ---- ------ --------
Income from
Operations.......... (96,567) 20,821 (147,788) (47,728) 46,397 (17,467) (5) 4,254 62,299
Other Income.......... (4,684) 4,684
--------- -------- --------- -------- -------- -------- ---- ------ --------
Income before
interest and income
taxes............... (96,567) 16,137 (147,788) (47,728) 46,397 (17,467) (5) 4,254 66,983
--------- -------- --------- -------- -------- -------- ---- ------ --------
Interest and related
charges:
Interest charges...... 192,178 (121,705) 76,316 24,875 100,180 11,782 82,187
--------- -------- --------- -------- -------- -------- ---- ------ --------
Preferred dividends
and distributions of
subsidiary trusts....
Total.............. 192,178 (121,705) 76,316 24,875 100,180 11,782 82,187
--------- -------- --------- -------- -------- -------- ---- ------ --------
Income before
provision for income
tax, minority
interest,
extraordinary item
and cumulative
effect of a change
in accounting
principle........... (288,745) 137,842 (224,104) (72,603) (53,783) (29,249) (5) 4,254 (15,204)
Income taxes.......... (100,198) (35,297) (24,084) (16,987) (11,425) (14) 1,465
Minority interests.... 259 1,415 (1,303)
--------- -------- --------- -------- -------- -------- ---- ------ --------
Income before
extraordinary item
and cumulative
effect of a change
in accounting
principle........... (188,806) 136,427 (188,807) (48,519) (36,796) (16,521) 9 2,789 (15,204)
Extraordinary item,
net
Cumulative effect of a
change in accounting
principle, net.......
--------- -------- --------- -------- -------- -------- ---- ------ --------
Net Income........... $(188,806) $136,427 $(188,807) $(48,519) $(36,796) $(16,521) $ 9 $2,789 $(15,204)
========= ======== ========= ======== ======== ======== ==== ====== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
108
DOMINION CAPITAL, INC.
CONSOLIDATING INCOME STATEMENT--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Rincon Stanton Vidalia Louisiana Dominion
Securities, Inc. Associates, Inc. Edgen, Inc. DLMC Audit, Inc. Hydro Lands, Inc.
---------------- ---------------- ----------- ----- ----------- --------- -----------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric...............
Gas....................
Gas transportation and
storage................
Oil and gas production..
Other................... $14,550 $2,419 $ 894 $ 9 $295 $7,860 $ (3,872)
------- ------ ------- ----- ---- ------ --------
Total................ 14,550 2,419 894 9 295 7,860 (3,872)
------- ------ ------- ----- ---- ------ --------
Expenses:
Fuel, net...............
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 309 799 4,730 (112) 45 31,516
Depreciation, depletion
and amortization....... 714 470 51 9 59 120
Other taxes............. 2 54 112 3 624
------- ------ ------- ----- ---- ------ --------
Total................ 1,023 1,271 4,835 9 48 59 32,260
------- ------ ------- ----- ---- ------ --------
Income from
Operations............ 13,527 1,148 (3,941) 247 7,801 (36,132)
Other Income
------- ------ ------- ----- ---- ------ --------
Income before interest
and income taxes...... 13,527 1,148 (3,941) 247 7,801 (36,132)
------- ------ ------- ----- ---- ------ --------
Interest and related
charges:
Interest charges........ 8,810 718 3 10 5,429 3,573
------- ------ ------- ----- ---- ------ --------
Preferred dividends and
distributions of
subsidiary trusts......
Total................ 8,810 718 3 10 5,429 3,573
------- ------ ------- ----- ---- ------ --------
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 4,717 430 (3,941) (3) 237 2,372 (39,705)
Income taxes............ 47 455 (1,379) (3) 83 903 (13,962)
Minority interests...... 147
------- ------ ------- ----- ---- ------ --------
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 4,670 (172) (2,562) 154 1,469 (25,743)
Extraordinary item, net
Cumulative effect of a
change in accounting
principle, net.........
------- ------ ------- ----- ---- ------ --------
Net Income............. $ 4,670 $ (172) $(2,562) $ -- $154 $1,469 $(25,743)
======= ====== ======= ===== ==== ====== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
109
DOMINION CAPITAL, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion
Dominion Consolidating Mortgage Rincon
Capital Entries and Dominion Services, Virginia Securities,
Consolidated Adjustments Capital Inc. Financial DCV OptaCor DVII Inc.
------------ ------------- -------- --------- --------- -------- ------- ------- -----------
Balance at December 31,
1999................... $ 740,912 $(1,139,775) $740,912 $345,657 $312,782 $148,123 $931 $50,336 $74,662
--------- ----------- -------- -------- -------- -------- ---- ------- -------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. (1,820)
Comprehensive income... (182,248) 129,994 (182,249) (42,119) (36,839) (15,369) 9 2,789 3,594
Dividends and other
adjustments........... (36,057) 53,239 (36,056) 39,999 10,893 (398) (3,510)
--------- ----------- -------- -------- -------- -------- ---- ------- -------
Balance at December 31,
2000................... $ 522,607 $ (958,362) $522,607 $343,537 $286,836 $132,754 $542 $49,615 $78,256
========= =========== ======== ======== ======== ======== ==== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
110
DOMINION CAPITAL, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY--(Continued)
As of December 31, 2000
(Thousands)
Catalyst
Stanton Vidalia Dominion Old River Trilon
Associates, Edgen, Audit, Louisiana Lands, Hydroelectric Stonehouse Dominion
Inc. Inc. DLMC Inc. Hydro Inc. L.P. LLC Partners
----------- ------- ------- ------- --------- -------- ------------- ---------- --------
Balance at December 31,
1999................... $9,732 $21,364 $(1,762) $(187) $6,861 $ 24,915 $106,394 $ 1,738 $ 38,229
------ ------- ------- ----- ------ -------- -------- ------- --------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through
public offering.......
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 3,346 (1,526)
Comprehensive income... (172) (2,562) 154 1,469 (25,743) (15,204)
Dividends and other
adjustments........... 1 (1,346) 200 1,100 6,654 (68,392) (212) (38,229)
------ ------- ------- ----- ------ -------- -------- ------- --------
Balance at December 31,
2000................... $9,560 $18,803 $ 238 $ 167 $9,430 $ 5,826 $ 22,798 $ -- $ --
====== ======= ======= ===== ====== ======== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
111
DOMINION CAPITAL, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Consolidating Dominion
Dominion Capital Entries and Dominion Mortgage Virginia
Consolidated Adjustments Capital Services, Inc. Financial DCV OptaCor
---------------- ------------- --------- -------------- --------- -------- -------
Net Income.............. $(188,806) $136,427 $(188,807) $(48,519) $(36,796) $(16,521) $ 9
--------- -------- --------- -------- -------- -------- ---
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............ 6,558 (6,433) 6,558 6,400 (43) 1,152
Less: reclassification
adjustment for gains
(losses) realized in
net income
--------- -------- --------- -------- -------- -------- ---
Unrealized gains
(losses) on investment
securities............ 6,558 (6,433) 6,558 6,400 (43) 1,152
Foreign currency
translation adjustment
Minimum pension
liability adjustment
--------- -------- --------- -------- -------- -------- ---
Other comprehensive
income (Loss).......... 6,558 (6,433) 6,558 6,400 (43) 1,152
--------- -------- --------- -------- -------- -------- ---
Comprehensive Income.... $(182,248) $129,994 $(182,249) $(42,119) $(36,839) $(15,369) $ 9
========= ======== ========= ======== ======== ======== ===
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
112
DOMINION CAPITAL, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Catalyst Old
River Rincon
Hydroelectric Securities, Stanton Vidalia Louisiana Dominion
DVII L.P. Inc. Associates, Inc. Edgen, Inc. DLMC Audit, Inc. Hydro Lands, Inc.
------ ------------- ----------- ---------------- ----------- ---- ----------- --------- -----------
Net Income......... $2,789 $(15,204) $ 4,670 $(172) $(2,562) $-- $154 $1,469 $(25,743)
------ --------- ------- ----- ------- ---- ---- ------ --------
Other comprehensive
income, net of
tax:
Unrealized holding
gains (losses) on
investment
securities....... (1,076)
Less:
reclassification
adjustment for
gains (losses)
realized in net
income ..........
------ --------- ------- ----- ------- ---- ---- ------ --------
Unrealized gains
(losses) on
investment
securities....... (1,076)
Foreign currency
translation
adjustment
Minimum pension
liability
adjustment
------ --------- ------- ----- ------- ---- ---- ------ --------
Other comprehensive
income (Loss)..... (1,076)
------ --------- ------- ----- ------- ---- ---- ------ --------
Comprehensive
Income............ $2,789 $(15,204) $ 3,594 $(172) $(2,562) $-- $154 $1,469 $(25,743)
====== ========= ======= ===== ======= ==== ==== ====== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
113
DOMINION CAPITAL, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion Catalyst Old
Dominion Consolidating Mortgage River
Capital Entries and Dominion Services, Virginia Hydroelectric
Consolidated Adjustments Capital Inc. Financial DCV OptaCor DVII L.P.
------------ ------------- --------- ---------- ---------- -------- ------- ------ -------------
Cash flows from
(used in)
operating
activities:
Net income......... $ (188,806) $136,427 $(188,807) $ (48,519) $ (36,796) $(16,521) $ 9 $2,789 $(15,204)
Adjustments to
reconcile net
income to net cash
from operating
activities:
Cumulative effect
of a change in
accounting
principle........
Restructuring and
other acquisition
related costs....
DCI impairment
losses........... 292,171 292,171
Extraordinary
item, net........
Impairment of
regulatory
assets...........
Gains on sales of
subsidiaries.....
Depreciation and
amortization..... 35,005 (14,965) 909 29,640 1,933 389 144 14,965
Deferred income
taxes............ (64,600) (6,432) (12,788) (14,596) (14,255) (1,782) (3) (276)
Deferred fuel
expense..........
Changes in current
assets and
liabilities:
Accounts
receivable....... 9,217 1,415 4,143 (2,148) 5,711 (509)
Inventories.......
Unrecovered gas
costs............
Purchase and
origination of
mortgages........ (4,280,698) (4,280,698)
Proceeds from sale
and principal
collections of
mortgages........ 4,295,336 4,295,336
Accounts payable,
trade............ (1,641) (3,824) (3,306) 3,699 (975) (50) 3,322
Accrued interest
and taxes........ (11,426) 397 11,540 3,316 (25,009) (1,811) (12) 41
Commodity contract
assets and
liabilities......
Net assets held
for sale.........
Other.............. 563 (404,826) 163,575 61,151 103,304 25,731 114 (4,398) (7,797)
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Net cash flows
from operating
activities..... 85,121 363 (24,734) 49,329 27,029 10,742 58 (1,700) 5,223
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Cash flow from
(used in)
investing
activities:
Plant construction
and other property
additions......... 1,152 (1,152)
Acquisition of
exploration and
production
assets............
Loan originations.. (2,910,737) (2,159,245) (751,492)
Repayments of loan
originations...... 4,255,348 54,679 11,679 3,411,142 778,511 143
Sale of
businesses........
Sale of marketable
securities........ 136,994 134,029 10
Purchase of debt
securities........ (235,125) (100,855) (10,000) (31,958) (76,483) (15,829)
Acquisition of
businesses........
Other investments.. (116,658) 312,556 (332,410) (121,771) (64,434) 9,012 5,210
Other.............. (36,319) (32,402) 84 (24,601) 25,008 (16,577) 1
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Net cash flow
used in
investing
activities..... 1,093,503 235,130 (330,647) (44,301) 1,135,998 3,625 144 5,210 (1,152)
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Cash flow from
(used in)
financing
activities:
Issuance of common
stock.............
Repurchase of
common stock......
Issuance
(repayment) of
short term debt... (120,194) (171,879) (230,415) (22,017) 383,633 (79,465)
Issuance of long
term debt......... 4,995,534 (8,287) 1,050,000 3,945,534 8,287
Repayment of long
term debt......... (6,099,621) 2,035 (425,945) (3,967,824) (1,576,544) (2,035)
Common dividend
payments.......... (36,737) 3,009 (36,737) 580 (415) (3,174)
Other.............. 680 4,796 681 40,000 10,311 17 (336)
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Net cash flow from
(used in)
financing
activities........ (1,260,338) (170,326) 357,584 (4,307) (1,182,020) (79,465) (398) (3,510) 6,252
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Increase (decrease)
in cash and cash
equivalents....... (81,714) 65,167 2,203 721 (18,993) (65,098) (196) (123)
Cash and cash
equivalents at
beginning of the
year.............. 124,911 (65,330) 3 (485) 62,144 60,725 225 286
---------- -------- --------- ---------- ---------- -------- ---- ------ --------
Cash and cash
equivalents at end
of the year....... $ 43,197 $ (163) $ 2,206 $ 236 $ 43,151 $ (4,373) $ 29 $ -- $ 163
========== ======== ========= ========== ========== ======== ==== ====== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
114
DOMINION CAPITAL, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Rincon Stanton Vidalia Dominion
Securities, Associates, Edgen, Audit, Louisiana Lands,
Inc. Inc. Inc. DLMC Inc. Hydro Inc.
----------- ----------- ------- ------ ------- --------- --------
Cash flows from (used
in) operating
activities:
Net income.............. $ 4,670 $ (172) $(2,562) $ -- $154 $1,469 $(25,743)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization.......... 1,282 470 51 9 59 119
Deferred income taxes.. 47 (1,281) (1,379) (36) 460 (12,279)
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... 142 (330) (34) (269) 500 596
Inventories............
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. (4) (81) (271) (144) 1 (8)
Accrued interest and
taxes................. 180 227 (101) 28 (118) (257) 153
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other................... (790) 2,560 8,356 (1,315) (1) 17 54,882
-------- ------ ------- ------ ---- ------ --------
Net cash flows from
operating
activities.......... 5,385 1,865 3,764 (1,492) (233) 2,248 17,720
-------- ------ ------- ------ ---- ------ --------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions..............
Acquisition of
exploration and
production assets......
Loan originations.......
Repayments of loan
originations........... 327 784 (1,917)
Sale of businesses......
Sale of marketable
securities............. 2,955
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments....... 105,930 2,622 (5,084) (254) (2,872) (25,163)
Other................... 806 565 386 10,411
-------- ------ ------- ------ ---- ------ --------
Net cash flow used in
investing
activities.......... 108,885 3,755 (3,735) 132 (2,872) (16,669)
-------- ------ ------- ------ ---- ------ --------
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ (1,053) (1,222) 34 2,190
Issuance of long term
debt...................
Repayment of long term
debt................... (114,000) (4,736) (475) (10,097)
Common dividend
payments...............
Other................... 2,000 200 1,100 (58,089)
-------- ------ ------- ------ ---- ------ --------
Net cash flow from (used
in) financing
activities............. (114,000) (5,789) 778 234 625 (65,996)
-------- ------ ------- ------ ---- ------ --------
Increase (decrease) in
cash and cash
equivalents............ 270 (169) 29 (582) 1 1 (64,945)
Cash and cash
equivalents at
beginning of the year.. 568 361 51 651 65,712
-------- ------ ------- ------ ---- ------ --------
Cash and cash
equivalents at end of
the year............... $ 838 $ 192 $ 80 $ 69 $ 1 $ 1 $ 767
======== ====== ======= ====== ==== ====== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
115
DOMINION ENERGY, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Domestic Foreign
Dominion Consolidating Power Power Dominion
Energy Entries and Dominion Oil & Gas Generation Generation Energy
Consolidated Adjustments Energy (Page 146) (Page 122) (Page 140) Management, Inc.
------------ ------------- ---------- ---------- ---------- ---------- ----------------
Current assets:
Cash and cash
equivalents............ $ 34,952 $ -- $ 3,815 $ 9,787 $ 21,350 $-- $--
Accounts receivable:
Customers (less
allowance)............
Other.................. 139,429 (52,484) 43,564 98,136 49,990 223
Inventories:
Materials and
supplies..............
Fossil fuel............
Gas stored--current
portion...............
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets................. 11,059 11,059
Unrecovered gas costs...
Broker margin deposits..
Prepayments.............
Net assets held for
sale...................
Other................... 147,580 (60) 115,610 25,653 6,377
---------- ----------- ---------- ---------- -------- ---- ----
Total current
assets.............. 333,020 (52,544) 162,989 133,576 88,776 223
---------- ----------- ---------- ---------- -------- ---- ----
Investments:
Loans receivable, net...
Investments in
affiliates............. 215,086 75,409 21,565 118,112
Available for sale
securities.............
Nuclear decommissioning
trust funds............
Investment in real
estate.................
Other................... 119,193 (1,222,035) 947,073 295,397 98,758
---------- ----------- ---------- ---------- -------- ---- ----
Total net
investments......... 334,279 (1,222,035) 1,022,482 316,962 216,870
---------- ----------- ---------- ---------- -------- ---- ----
Property, plant and
equipment:
Property, plant and
equipment.............. 1,742,280 13,328 1,367,542 361,410
Less accumulated
depreciation, depletion
and amortization....... 414,789 6,391 382,344 26,054
---------- ----------- ---------- ---------- -------- ---- ----
Property, plant and
equipment, net........ 1,327,491 6,937 985,198 335,356
---------- ----------- ---------- ---------- -------- ---- ----
Deferred charges and
other assets:
Goodwill, net........... 2,927 2,927
Regulatory assets, net..
Prepaid pension costs...
Other, net.............. 46,087 509 14,705 30,873
---------- ----------- ---------- ---------- -------- ---- ----
Total deferred
charges and other
assets.............. 49,014 509 17,632 30,873
---------- ----------- ---------- ---------- -------- ---- ----
Total Assets............ $2,043,804 $(1,274,579) $1,192,917 $1,453,368 $671,875 $-- $223
========== =========== ========== ========== ======== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
116
DOMINION ENERGY, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Domestic Foreign Dominion
Dominion Consolidating Power Power Energy
Energy Entries and Dominion Oil & Gas Generation Generation Management,
Consolidated Adjustments Energy (Page 147) (Page 124) (Page 141) Inc.
------------ ------------- ---------- ---------- ---------- ---------- -----------
Current liabilities:
Securities due within
one year............... $ 6,330 $ -- $ -- $ -- $ 6,330 $ -- $ --
Short-term debt......... 2,502 2,502
Accounts payable,
trade.................. 65,333 (52,484) 26,127 37,413 53,855 422
Accrued interest........ 4,625 (60) 3,589 109 987
Accrued payroll.........
Accrued taxes........... 1,227 (105) (2,264) 3,666 (70)
Commodity contract
liabilities............ 245 245
Other................... 65,934 2,112 43,890 19,933 (1)
---------- ----------- ---------- ---------- -------- ----- -----
Total current
liabilities......... 146,196 (52,544) 31,723 81,650 85,016 351
---------- ----------- ---------- ---------- -------- ----- -----
Long term debt......... 1,157,754 (468,815) 588,622 774,473 263,474
---------- ----------- ---------- ---------- -------- ----- -----
Deferred credits and
other liabilities:
Deferred income taxes... 158,296 27,427 97,497 33,372
Deferred investment tax
credits................
Other................... 30,164 (5,364) 33,784 1,744
---------- ----------- ---------- ---------- -------- ----- -----
Total deferred
credits and other
liabilities......... 188,460 22,063 131,281 35,116
---------- ----------- ---------- ---------- -------- ----- -----
Total Liabilities....... 1,492,410 (521,359) 642,408 987,404 383,606 351
---------- ----------- ---------- ---------- -------- ----- -----
Minority interest....... 884 (1,195) 884 1,195
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts......
Preferred stock no
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............ 208 (35,104) 208 35,104
Other paid in capital... 572,115 (386,553) 572,115 219,077 167,476
Accumulated other
comprehensive income... 295 9,971 295 (9,971)
Retained earnings....... (22,108) (340,339) (22,109) 255,974 84,494 (128)
---------- ----------- ---------- ---------- -------- ----- -----
Total common
shareholders'
equity.............. 550,510 (752,025) 550,509 465,080 287,074 (128)
---------- ----------- ---------- ---------- -------- ----- -----
Total Liabilities and
shareholders' equity... $2,043,804 $(1,274,579) $1,192,917 $1,453,368 $671,875 $ -- $ 223
========== =========== ========== ========== ======== ===== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
117
DOMINION ENERGY, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Domestic Foreign Dominion
Dominion Consolidating Power Power Energy
Energy Entries and Dominion Oil & Gas Generation Generation Management,
Consolidated Adjustments Energy (Page 148) (Page 126) (Page 142) Inc.
------------ ------------- -------- ---------- ---------- ---------- -----------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric............... $ 96,742 $ (67) $ -- $ -- $ 83,833 $12,976 $--
Gas.................... 24,008 24,008
Gas transportation and
storage................
Oil and gas production.. 322,359 322,359
Other................... 69,256 (116,043) 118,705 49,556 16,917 121
-------- --------- -------- -------- -------- ------- ----
Total................ 512,365 (116,110) 118,705 371,915 124,758 13,097
-------- --------- -------- -------- -------- ------- ----
Expenses:
Fuel, net............... 2,588 1,350 1,238
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs.................. 567 567
Other operation and
maintenance............ 218,083 (121) 19,355 137,083 58,094 3,656 16
Depreciation, depletion
and amortization....... 121,820 4,771 101,790 12,730 2,529
Other taxes............. 19,678 277 16,230 2,408 757 6
-------- --------- -------- -------- -------- ------- ----
Total................ 362,736 (121) 24,970 255,103 74,582 8,180 22
-------- --------- -------- -------- -------- ------- ----
Income from
Operations............ 149,629 (115,989) 93,735 116,812 50,176 4,917 (22)
Other Income............ 20,190 (18,601) 11,497 10,745 13,733 2,816
-------- --------- -------- -------- -------- ------- ----
Income before interest
and income taxes...... 169,819 (134,590) 105,232 127,557 63,909 7,733 (22)
-------- --------- -------- -------- -------- ------- ----
Interest and related
charges:
Interest charges........ 72,641 (18,601) 30,108 39,280 19,293 2,561
Preferred dividends and
distributions of
subsidiary trusts......
-------- --------- -------- -------- -------- ------- ----
Total................ 72,641 (18,601) 30,108 39,280 19,293 2,561
-------- --------- -------- -------- -------- ------- ----
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 97,178 (115,989) 75,124 88,277 44,616 5,172 (22)
Income taxes............ 10,353 (9,574) 2,586 17,184 164 (7)
Minority interests...... 2,127 (169) 141 220 1,935
-------- --------- -------- -------- -------- ------- ----
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 84,698 (115,820) 84,698 85,550 27,212 3,073 (15)
Extraordinary item,
net....................
Cumulative effect of a
change in accounting
principle, net.........
-------- --------- -------- -------- -------- ------- ----
Net Income............. $ 84,698 $(115,820) $ 84,698 $ 85,550 $ 27,212 $ 3,073 $(15)
======== ========= ======== ======== ======== ======= ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
118
DOMINION ENERGY, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Domestic Foreign
Consolidating Power Power Dominion
Dominion Energy Entries and Dominion Oil & Gas Generation Generation Energy
Consolidated Adjustments Energy (Page 149) (Page 128) (Page 143) Management, Inc.
--------------- ------------- --------- ---------- ---------- ---------- ----------------
Balance at December 31,
1999................... $ 634,406 $(836,972) $ 612,611 $403,457 $265,071 $ 190,353 $(114)
--------- --------- --------- -------- -------- --------- -----
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 158,953 101 (159,054)
Comprehensive income... 81,808 (109,080) 81,808 78,810 27,212 3,073 (15)
Dividends and other
adjustments........... (165,704) 35,074 (143,910) (17,187) (5,310) (34,372) 1
--------- --------- --------- -------- -------- --------- -----
Balance at December 31,
2000................... $ 550,510 $(752,025) $ 550,509 $465,080 $287,074 $ -- $(128)
========= ========= ========= ======== ======== ========= =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
119
DOMINION ENERGY, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Domestic Foreign
Consolidating Power Power
Dominion Energy Entries and Dominion Oil&Gas Generation Generation Dominion Energy
Consolidated Adjustments Energy (Page 150) (Page 130) (Page 144) Management, Inc.
--------------- ------------- -------- ---------- ---------- ---------- ----------------
Net Income.............. $84,698 $(115,820) $84,698 $85,550 $27,212 $3,073 $(15)
------- --------- ------- ------- ------- ------ ----
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------- --------- ------- ------- ------- ------ ----
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............ (2,890) 6,740 (2,890) (6,740)
Minimum pension
liability adjustment..
------- --------- ------- ------- ------- ------ ----
Other comprehensive
income (Loss).......... (2,890) 6,740 (2,890) (6,740)
------- --------- ------- ------- ------- ------ ----
Comprehensive Income.... $81,808 $(109,080) $81,808 $78,810 $27,212 $3,073 $(15)
======= ========= ======= ======= ======= ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
120
DOMINION ENERGY, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Domestic Foreign
Consolidating Power Power Dominion
Dominion Energy Entries and Dominion Oil & Gas Generation Generation Energy
Consolidated Adjustments Energy (Page 151) (Page 130) (Page 145) Management, Inc.
--------------- ------------- --------- ---------- ---------- ---------- ----------------
Cash flows from (used
in) operating
activities:
Net income.............. $ 84,698 $(115,820) $ 84,698 $ 85,550 $ 27,212 $ 3,073 $ (15)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries.......... 68 68
Depreciation and
amortization.......... 121,821 403 4,770 101,152 12,730 2,766
Deferred income taxes.. 19,362 (20,561) 25,755 14,168
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... (56,210) 6,776 183,965 (245,801) 829 (1,922) (57)
Inventories............ 4,778 6,053 (1,317) 42
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. (67,016) 157,085 (346,055) 118,208 5,279 (1,616) 83
Accrued interest and
taxes................. (234) (1) 4,682 (6,366) (879) 2,337 (7)
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other.................. (9,744) 112,492 (118,733) 8,525 (12,347) 323 (4)
--------- --------- --------- --------- -------- -------- -----
Net cash flows from
operating
activities.......... 97,523 160,935 (207,166) 93,076 45,675 5,003
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (64,966) (53,671) (6,003) (5,248) (44)
Acquisition of
exploration and
production assets...... (138,329) (138,329)
Loan originations.......
Repayments of loan
originations...........
Sale of businesses...... 83,554 149,788 (19) (66,215)
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments....... 12,527 5,525 6,935 67
Other................... (9,841) 3,001 (2,798) 5,313 (22,095) 6,738
--------- --------- --------- --------- -------- -------- -----
Net cash flow used in
investing
activities.......... (117,055) 3,001 98,844 (132,103) (27,276) (59,521)
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ 399,191 (209,812) 528,850 71,373 8,866 (86)
Issuance of long term
debt...................
Repayment of long term
debt................... (243,776) 45,876 (269,303) (13,908) (6,330) (111)
Common dividend
payments............... (163,863) (145,263) (18,600)
Other................... 1,377 769 205 403
--------- --------- --------- --------- -------- -------- -----
Net cash flow from (used
in) financing
activities............. (7,071) (163,936) 115,053 39,070 2,939 (197)
--------- --------- --------- --------- -------- -------- -----
Increase (decrease) in
cash and cash
equivalents............ (26,603) 6,731 43 21,338 (54,715)
Cash and cash
equivalents at
beginning of the year.. 61,555 (2,916) 9,744 12 54,715
--------- --------- --------- --------- -------- -------- -----
Cash and cash
equivalents at end of
the year............... $ 34,952 $ -- $ 3,815 $ 9,787 $ 21,350 $ -- $ --
========= ========= ========= ========= ======== ======== =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
121
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Domestic Dominion
Power Consolidating Dominion Dominion Kincaid, Dominion
Generation Entries and Dominion Energy Services Cogen WV, Inc. Dominion Elwood III,
Consolidated Adjustments Cogen, Inc. Company, Inc. Inc. (Page 134) Elwood, Inc. Inc.*
------------ ------------- ----------- --------------- --------- ---------- ------------ -----------
Current assets:
Cash and cash
equivalents....... $ 21,350 $ -- $ -- $ 7 $ -- $ 21,343 $ -- $ --
Accounts
receivable:
Customers (less
allowance).......
Other............. 49,990 (459) 3,084 10,861 99 7,260 1,694
Inventories:
Materials and
supplies.........
Fossil fuel.......
Gas stored--
current portion..
Investment
securities--
trading...........
Mortgage loans held
for sale..........
Commodity contract
assets............ 11,059
Unrecovered gas
costs.............
Broker margin
deposits..........
Prepayments........
Net assets held for
sale..............
Other.............. 6,377 705 692 4,682
-------- ----- ------- ------- ------- -------- -------- -----
Total current
assets........... 88,776 (459) 3,084 11,573 791 33,285 1,694
-------- ----- ------- ------- ------- -------- -------- -----
Investments:
Loans receivable,
net...............
Investments in
affiliates........ 118,112 11,627 106,654 (169)
Available for sale
securities........
Nuclear
decommissioning
trust funds.......
Investment in real
estate............
Other.............. 98,758 64,929 3,057 20,301 10,301
-------- ----- ------- ------- ------- -------- -------- -----
Total net
investments...... 216,870 64,929 3,057 31,928 10,301 106,654 (169)
-------- ----- ------- ------- ------- -------- -------- -----
Property, plant and
equipment:
Property, plant and
equipment......... 361,410 360,131
Less accumulated
depreciation,
depletion and
amortization...... 26,054 26,054
-------- ----- ------- ------- ------- -------- -------- -----
Property, plant
and equipment,
net.............. 335,356 334,077
-------- ----- ------- ------- ------- -------- -------- -----
Deferred charges
and other assets:
Goodwill, net......
Regulatory assets,
net...............
Prepaid pension
costs.............
Other, net......... 30,873 1 1,995 6,501
-------- ----- ------- ------- ------- -------- -------- -----
Total deferred
charges and other
assets........... 30,873 1 1,995 6,501
-------- ----- ------- ------- ------- -------- -------- -----
Total Assets....... $671,875 $(459) $68,013 $14,631 $34,714 $384,164 $108,348 $(169)
======== ===== ======= ======= ======= ======== ======== =====
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
122
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Dominion
Elwood Energy Dominion Dominion Dominion Dominion
Services Construction Energy Direct Dominion Equipment, Energy Fairless Hills,
Company, Inc. Company, Inc. Sales, Inc. Cogen NY, Inc. Inc.* Exchange, Inc. Inc.
------------- ------------- ------------- -------------- ---------- -------------- ---------------
Current assets:
Cash and cash
equivalents.......... $ -- $ -- $ -- $ -- $ -- $ -- $ --
Accounts receivable:
Customers (less
allowance)..........
Other................ 565 26,886
Inventories:
Materials and
supplies............
Fossil fuel..........
Gas stored--current
portion.............
Investment
securities--trading..
Mortgage loans held
for sale.............
Commodity contract
assets............... 11,059
Unrecovered gas
costs................
Broker margin
deposits.............
Prepayments...........
Net assets held for
sale.................
Other................. (130) 428
----- ----- ------- ----- ----- ------ -------
Total current
assets.............. 565 37,815 428
----- ----- ------- ----- ----- ------ -------
Investments:
Loans receivable,
net..................
Investments in
affiliates...........
Available for sale
securities...........
Nuclear
decommissioning trust
funds................
Investment in real
estate...............
Other................. 170
----- ----- ------- ----- ----- ------ -------
Total net
investments......... 170
----- ----- ------- ----- ----- ------ -------
Property, plant and
equipment:
Property, plant and
equipment............ 1,279
Less accumulated
depreciation,
depletion and
amortization.........
----- ----- ------- ----- ----- ------ -------
Property, plant and
equipment, net...... 1,279
----- ----- ------- ----- ----- ------ -------
Deferred charges and
other assets:
Goodwill, net.........
Regulatory assets,
net..................
Prepaid pension
costs................
Other, net............ 944 2,500 18,932
----- ----- ------- ----- ----- ------ -------
Total deferred
charges and other
assets.............. 944 2,500 18,932
----- ----- ------- ----- ----- ------ -------
Total Assets.......... $ 565 $ -- $40,208 $ -- $ 428 $2,500 $18,932
===== ===== ======= ===== ===== ====== =======
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
123
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Domestic Dominion
Power Consolidating Dominion Dominion Kincaid, Dominion
Generation Entries and Dominion Energy Services Cogen WV, Inc. Dominion Elwood III,
Consolidated Adjustments Cogen, Inc. Company, Inc. Inc. (Page 135) Elwood, Inc. Inc.*
------------ ------------- ----------- --------------- --------- ---------- ------------ -----------
Current
liabilities:
Securities due
within one year... $ 6,330 $ -- $ -- $ -- $ -- $ 6,330 $ -- $ --
Short-term debt....
Accounts payable,
trade............. 53,855 (459) 718 8,272
Accrued interest... 987 150 (6) 843
Accrued payroll....
Accrued taxes...... 3,666 346 2,643 (227) 437 1,490 (59)
Commodity contract
liabilities....... 245
Other.............. 19,933 1,569 278
-------- ----- ------- ------- ------- -------- -------- -----
Total current
liabilities...... 85,016 (459) 496 4,924 (227) 16,160 1,490 (59)
-------- ----- ------- ------- ------- -------- -------- -----
Long term debt..... 263,474 296 259,430 3,200
-------- ----- ------- ------- ------- -------- -------- -----
Deferred credits
and other
liabilities:
Deferred income
taxes............. 33,372 (58) 272 14,154 12,387 6,789
Deferred investment
tax credits.......
Other.............. 1,744 1,472
-------- ----- ------- ------- ------- -------- -------- -----
Total deferred
credits and other
liabilities...... 35,116 (58) 1,744 14,154 12,387 6,789
-------- ----- ------- ------- ------- -------- -------- -----
Total Liabilities.. 383,606 (459) 734 6,668 13,927 287,977 11,479 (59)
-------- ----- ------- ------- ------- -------- -------- -----
Minority interest.. 1,195 1,195
Obligated
mandatorily
redeemable
preferred
securities of
subsidiary
trusts............
Preferred stock no
subject to
mandatory
redemption........
Common
shareholders'
equity:
Common Stock....... 35,104 35,000 1 1
Other paid in
capital........... 167,476 1,723 21,997 56,429 87,336
Accumulated other
comprehensive
income............
Retained earnings.. 84,494 30,556 7,962 (1,211) 38,563 9,533 (110)
-------- ----- ------- ------- ------- -------- -------- -----
Total common
shareholders'
equity........... 287,074 67,279 7,963 20,787 94,992 96,869 (110)
-------- ----- ------- ------- ------- -------- -------- -----
Total Liabilities
and shareholders'
equity............ $671,875 $(459) $68,013 $14,631 $34,714 $384,164 $108,348 $(169)
======== ===== ======= ======= ======= ======== ======== =====
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
124
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Dominion Dominion
Elwood Energy Dominion Dominion Dominion Dominion Fairless
Services Construction Energy Direct Cogen NY, Equipment, Energy Hills,
Company, Inc. Company, Inc. Sales, Inc. Inc. Inc.* Exchange, Inc. Inc.
------------- ------------- ------------- --------- ---------- -------------- --------
Current liabilities:
Securities due within
one year............... $ -- $ -- $ -- $ -- $ -- $ -- $ --
Short-term debt.........
Accounts payable,
trade.................. 21 326 23,036 182 328 2,499 18,932
Accrued interest........
Accrued payroll.........
Accrued taxes........... 172 (874) (422) 160
Commodity contract
liabilities............ 245
Other................... 86 18,000
----- ----- ------- ----- ----- ------ -------
Total current
liabilities........... 279 (548) 40,859 342 328 2,499 18,932
----- ----- ------- ----- ----- ------ -------
Long term debt.......... 548
----- ----- ------- ----- ----- ------ -------
Deferred credits and
other liabilities:
Deferred income taxes... (33) (148) 9
Deferred investment tax
credits................
Other................... 272
----- ----- ------- ----- ----- ------ -------
Total deferred credits
and other
liabilities........... (33) 124 9
----- ----- ------- ----- ----- ------ -------
Total Liabilities....... 246 40,983 351 328 2,499 18,932
Minority interest.......
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts......
Preferred stock not
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............ 1 100 1
Other paid in capital... 1 301 (311)
Accumulated other
comprehensive income...
Retained earnings....... 318 (1,076) (41) 0
----- ----- ------- ----- ----- ------ -------
Total common
shareholders' equity.. 319 (775) (351) 100 1
----- ----- ------- ----- ----- ------ -------
Total Liabilities and
shareholders' equity... $ 565 $ -- $40,208 $ -- $ 428 $2,500 $18,932
===== ===== ======= ===== ===== ====== =======
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
125
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion
Domestic Energy Dominion Dominion
Power Consolidating Dominion Services Dominion Kincaid, Dominion Elwood
Generation Entries and Cogen, Company, Cogen Inc. Elwood, III,
Consolidated Adjustments Inc. Inc. WV, Inc (Page 136) Inc. Inc.*
------------ ------------- -------- -------- -------- ---------- -------- --------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric............... $ 83,833 $ -- $ -- $ -- $ -- $83,211 $ -- $ --
Gas.................... 24,008
Gas transportation and
storage................
Oil and gas production..
Other................... 16,917 3,137 1,043 12,502 (169)
-------- ----- ------ ------ ------ ------- ------- -----
Total.................. 124,758 3,137 1,043 83,211 12,502 (169)
-------- ----- ------ ------ ------ ------- ------- -----
Expenses:
Fuel, net............... 1,350 3,180
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 58,094 (1,454) 26,852 6
Depreciation, depletion
and amortization....... 12,730 76 12,654
Other taxes............. 2,408 1,105 1,101
-------- ----- ------ ------ ------ ------- ------- -----
Total.................. 74,582 (349) 76 43,787 6
-------- ----- ------ ------ ------ ------- ------- -----
Income from
Operations............ 50,176 3,486 967 39,424 12,496 (169)
Other Income............ 13,733 5,197 626 1,306 1,887
-------- ----- ------ ------ ------ ------- ------- -----
Income before interest
and income taxes....... 63,909 5,197 4,112 2,273 41,311 12,496 (169)
-------- ----- ------ ------ ------ ------- ------- -----
Interest and related
charges:
Interest charges........ 19,293 19,293
Preferred dividends and
distributions of
subsidiary trusts......
-------- ----- ------ ------ ------ ------- ------- -----
Total.................. 19,293 19,293
-------- ----- ------ ------ ------ ------- ------- -----
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 44,616 5,197 4,112 2,273 22,018 12,496 (169)
Income taxes............ 17,184 1,813 1,519 799 8,665 4,869 (59)
Minority interests...... 220 220
-------- ----- ------ ------ ------ ------- ------- -----
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 27,212 3,384 2,593 1,474 13,133 7,627 (110)
Extraordinary item,
net....................
Cumulative effect of a
change in accounting
principle, net.........
-------- ----- ------ ------ ------ ------- ------- -----
Net Income............. $ 27,212 $ -- $3,384 $2,593 $1,474 $13,133 $ 7,627 $(110)
======== ===== ====== ====== ====== ======= ======= =====
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
126
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING INCOME STATEMENT--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion Dominion
Elwood Energy Energy Dominion
Services Construction Direct Dominion Dominion Energy Dominion
Company, Company, Sales, Cogen NY, Equipment, Exchange, Fairless Hills,
Inc. Inc. Inc. Inc. Inc.* Inc. Inc.
-------- ------------ -------- --------- ---------- --------- ---------------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric............... $-- $-- $ 622 $-- $-- $-- $--
Gas.................... 24,008
Gas transportation and
storage................
Oil and gas production..
Other................... 404
---- ---- ------- ---- ---- ---- ----
Total.................. 404 24,630
---- ---- ------- ---- ---- ---- ----
Expenses:
Fuel, net............... (1,830)
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 22 (4) 32,672
Depreciation, depletion
and amortization.......
Other taxes............. 41 4 157
---- ---- ------- ---- ---- ---- ----
Total.................. 63 30,999
---- ---- ------- ---- ---- ---- ----
Income from
Operations............ 341 (6,369)
Other Income............ 4,717
---- ---- ------- ---- ---- ---- ----
Income before interest
and income taxes....... 341 (1,652)
---- ---- ------- ---- ---- ---- ----
Interest and related
charges:
Interest charges........
Preferred dividends and
distributions of
subsidiary trusts......
---- ---- ------- ---- ---- ---- ----
Total..................
---- ---- ------- ---- ---- ---- ----
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 341 (1,652)
Income taxes............ 155 (577)
Minority interests......
---- ---- ------- ---- ---- ---- ----
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 186 (1,075)
Extraordinary item,
net....................
Cumulative effect of a
change in accounting
principle, net.........
---- ---- ------- ---- ---- ---- ----
Net Income............. $186 $-- $(1,075) $-- $-- $-- $--
==== ==== ======= ==== ==== ==== ====
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
127
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion
Domestic Energy Dominion
Power Consolidating Dominion Services Kincaid,
Generation Entries and Cogen, Company, Dominion Inc. Dominion Dominion
Consolidated Adjustments Inc. Inc. Cogen WV, Inc (Page 137) Elwood, Inc. Elwood III, Inc. *
------------ ------------- -------- -------- ------------- ---------- ------------ ------------------
Balance at
December 31,
1999.............. $265,071 $-- $63,895 $5,370 $19,314 $81,858 $94,853 $ --
-------- ---- ------- ------ ------- ------- ------- -----
Issuance of
stock--CNG
acquisition......
Issuance of stock
through public
offering.........
Issuance of stock
through employee,
executive loan
and direct stock
purchase plans...
Stock repurchase
and retirement...
Premium income
equity
securities.......
Other common stock
activity......... 101
Comprehensive
income........... 27,212 3,384 2,593 1,474 13,133 7,627 (110)
Dividends and
other
adjustments...... (5,310) (1) 1 (5,611)
-------- ---- ------- ------ ------- ------- ------- -----
Balance at
December 31,
2000.............. $287,074 $-- $67,279 $7,963 $20,787 $94,992 $96,869 $(110)
======== ==== ======= ====== ======= ======= ======= =====
--------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
128
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY--(Continued)
As of December 31, 2000
(Thousands)
Dominion Dominion Dominion
Elwood Energy Energy Dominion
Services Construction Direct Dominion Dominion Energy
Company, Inc. Company, Inc. Sales, Inc. Cogen NY, Inc. Equipment, Inc. * Exchange, Inc.
------------- ------------- ----------- -------------- ----------------- --------------
Balance at December 31,
1999................... $132 $-- $ -- $(351) $-- $--
---- ---- ------- ----- ---- ----
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 100 1
Comprehensive income... 186 (1,075)
Dividends and other
adjustments........... 1 300
---- ---- ------- ----- ---- ----
Balance at December 31,
2000................... $319 $-- $ (775) $(351) $100 $1
==== ==== ======= ===== ==== ====
--------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
129
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion
Domestic Energy Dominion
Power Consolidating Dominion Services Dominion Kincaid, Dominion
Generation Entries and Cogen, Company, Cogen Inc. Elwood,
Consolidated Adjustments Inc. Inc. WV, Inc. (Page 138) Inc.
------------ ------------- -------- -------- -------- ---------- --------
Net Income.............. $27,212 $-- $3,384 $2,593 $1,474 $13,133 $7,627
------- ---- ------ ------ ------ ------- ------
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------- ---- ------ ------ ------ ------- ------
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------- ---- ------ ------ ------ ------- ------
Other comprehensive
income (Loss)..........
------- ---- ------ ------ ------ ------- ------
Comprehensive Income.... $27,212 $-- $3,384 $2,593 $1,474 $13,133 $7,627
======= ==== ====== ====== ====== ======= ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
130
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion Dominion
Dominion Elwood Energy Energy Dominion Dominion
Elwood Services Construction Direct Dominion Dominion Energy Fairless
III, Company, Company, Sales, Cogen Equipment, Exchange, Hills,
Inc. * Inc. Inc. Inc. NY, Inc. Inc.* Inc. Inc.
-------- -------- ------------ -------- -------- ---------- --------- --------
Net Income.............. $(110) $186 $-- $(1,075) $-- $-- $-- $--
----- ---- ---- ------- ---- ---- ---- ----
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
----- ---- ---- ------- ---- ---- ---- ----
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
----- ---- ---- ------- ---- ---- ---- ----
Other comprehensive
income (Loss)..........
----- ---- ---- ------- ---- ---- ---- ----
Comprehensive Income.... $(110) $186 $-- $(1,075) $-- $-- $-- $--
===== ==== ==== ======= ==== ==== ==== ====
--------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
131
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Domestic Dominion Dominion
Power Consolidating Dominion Energy Dominion Kincaid, Dominion Dominion
Generation Entries and Cogen, Services Cogen WV, Inc. Elwood, Elwood III,
Consolidated Adjustments Inc. Company, Inc. Inc (Page 139) Inc. Inc. *
------------ ------------- -------- ------------- --------- ---------- -------- -----------
Cash flows from (used
in) operating
activities:
Net income.............. $ 27,212 $-- $ 3,384 $ 2,593 $ 1,474 $13,133 $ 7,627 $(110)
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization.......... 12,730 76 12,654
Deferred income taxes.. 14,168 (6) 547 1,415 6,230 6,151
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... 829 (2,784) (921) 1,878 1,448 (994)
Inventories............ (1,317) (509) (808)
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. 5,279 (2,400) (3,222) (3,843) (3,900)
Accrued interest and
taxes................. (879) 19 2,574 (516) (2,124) 418 (59)
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other................... (12,347) (1,214) (1,043) (90) (12,502) 140
-------- ---- ------- ------- ------- ------- -------- -----
Net cash flows from
operating activities.. 45,675 (1,787) 357 2,775 26,600 (3,200) (29)
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (5,248) (3,969)
Acquisition of
exploration and
production assets......
Loan originations.......
Repayments of loan
originations...........
Sale of businesses......
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments....... 67 38 29
Other .................. (22,095) (1) 9
-------- ---- ------- ------- ------- ------- -------- -----
Net cash flow used in
investing activities.. (27,276) 38 (1) (3,960) 29
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ 8,866 1,749 (351) (2,775) 5,023 3,200
Issuance of long term
debt...................
Repayment of long term
debt................... (6,330) (6,330)
Common dividend
payments...............
Other................... 403
-------- ---- ------- ------- ------- ------- -------- -----
Net cash flow from (used
in) financing
activities............. 2,939 1,749 (351) (2,775) (1,307) 3,200
-------- ---- ------- ------- ------- ------- -------- -----
Increase (decrease) in
cash and cash
equivalents............ 21,338 5 21,333
Cash and cash
equivalents at
beginning of the year.. 12 2 10
-------- ---- ------- ------- ------- ------- -------- -----
Cash and cash
equivalents at end of
the year............... $ 21,350 $-- $ -- $ 7 $ -- $21,343 $ -- $ --
======== ==== ======= ======= ======= ======= ======== =====
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
132
DOMINION ENERGY, INC.--DOMESTIC POWER GENERATION
CONSOLIDATING STATEMENT OF CASH FLOWS--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion Dominion Dominion
Elwood Energy Dominion Dominion Dominion Energy Fairless
Services Construction Energy Direct Cogen NY, Equipment, Exchange, Hills,
Company, Inc. Company, Inc. Sales, Inc. Inc. Inc.* Inc. Inc.
------------- ------------- ------------- --------- ---------- --------- --------
Cash flows from (used
in) operating
activities:
Net income.............. $ 186 $ -- $ (1,075) $ -- $ -- $ -- $--
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization..........
Deferred income taxes.. (21) (148)
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... 93 28,995 (26,886)
Inventories............
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. (411) (25,312) 23,036 2,499 18,932 (100)
Accrued interest and
taxes................. 105 (874) (422)
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other................... 47 (4,999) 7,314
----- -------- -------- ------- -------- ----- ----
Net cash flows from
operating activities.. (1) (2,190) 1,819 2,499 18,932 (100) --
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (1,279)
Acquisition of
exploration and
production assets......
Loan originations.......
Repayments of loan
originations...........
Sale of businesses......
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments.......
Other .................. (671) (2,500) (18,932)
----- -------- -------- ------- -------- ----- ----
Net cash flow used in
investing activities.. -- -- (1,950) (2,500) (18,932) -- --
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ 2,190 (170)
Issuance of long term
debt...................
Repayment of long term
debt...................
Common dividend
payments...............
Other................... 1 301 1 100
----- -------- -------- ------- -------- ----- ----
Net cash flow from (used
in) financing
activities............. 1 2,190 131 1 -- 100 --
----- -------- -------- ------- -------- ----- ----
Increase (decrease) in
cash and cash
equivalents............ -- -- -- -- -- -- --
Cash and cash
equivalents at
beginning of the
year................... --
----- -------- -------- ------- -------- ----- ----
Cash and cash
equivalents at end of
the year............... $ -- $ -- $ -- $ -- $ -- $ -- $--
===== ======== ======== ======= ======== ===== ====
-------
* Dominion Elwood III, Inc. and Dominion Equipment, Inc. are subsidiaries of
Dominion Generation, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
133
DOMINION KINCAID, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion
Kincaid, Consolidating Dominion Kincaid
Inc. Entries and Kincaid, Generation,
Consolidated Adjustments Inc. LLC
------------ ------------- -------- -----------
Current assets:
Cash and cash equivalents...... $ 21,343 $ -- $ -- $ 21,343
Accounts receivable:
Customers (less allowance)....
Other......................... 7,260 7,260
Inventories:
Materials and supplies........
Fossil fuel...................
Gas stored--current portion...
Investment securities--
trading.......................
Mortgage loans held for sale...
Commodity contract assets......
Unrecovered gas costs..........
Broker margin deposits.........
Prepayments....................
Net assets held for sale.......
Other.......................... 4,682 4,682
-------- --------- -------- --------
Total current assets.......... 33,285 33,285
-------- --------- -------- --------
Investments:
Loans receivable, net..........
Investments in affiliates......
Available for sale securities..
Nuclear decommissioning trust
funds.........................
Investment in real estate......
Other.......................... 10,301 (118,352) 118,352 10,301
-------- --------- -------- --------
Total net investments......... 10,301 (118,352) 118,352 10,301
-------- --------- -------- --------
Property, plant and equipment:
Property, plant and equipment.. 360,131 360,131
Less accumulated depreciation,
depletion and amortization.... 26,054 26,054
-------- --------- -------- --------
Property, plant and equipment,
net.......................... 334,077 334,077
-------- --------- -------- --------
Deferred charges and other
assets:
Goodwill, net..................
Regulatory assets, net.........
Prepaid pension costs..........
Other, net..................... 6,501 6,501
-------- --------- -------- --------
Total deferred charges and
other assets................. 6,501 6,501
-------- --------- -------- --------
Total Assets................... $384,164 $(118,352) $118,352 $384,164
======== ========= ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
134
DOMINION KINCAID, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion
Kincaid, Consolidating Dominion Kincaid
Inc. Entries and Kincaid, Generation,
Consolidated Adjustments Inc. LLC
------------ ------------- -------- -----------
Current liabilities:
Securities due within one
year......................... $ 6,330 $ -- $ -- $ 6,330
Short-term debt...............
Accounts payable, trade....... 8,272 4,121 4,151
Accrued interest.............. 843 843
Accrued payroll...............
Accrued taxes................. 437 (122) 559
Commodity contract
liabilities..................
Other......................... 278 278
-------- --------- -------- --------
Total current liabilities.... 16,160 3,999 12,161
-------- --------- -------- --------
Long term debt................ 259,430 6,974 252,456
-------- --------- -------- --------
Deferred credits and other
liabilities:
Deferred income taxes......... 12,387 12,387
Deferred investment tax
credits......................
Other.........................
-------- --------- -------- --------
Total deferred credits and
other liabilities........... 12,387 12,387
-------- --------- -------- --------
Total Liabilities............. 287,977 23,360 264,617
-------- --------- -------- --------
Minority interest............. 1,195 1,195
Obligated mandatorily
redeemable preferred
securities of subsidiary
trusts.......................
Preferred stock no subject to
mandatory redemption.........
Common shareholders' equity:
Common Stock..................
Other paid in capital......... 56,429 (54,899) 56,429 54,899
Accumulated other
comprehensive income.........
Retained earnings............. 38,563 (64,648) 38,563 64,648
-------- --------- -------- --------
Total common shareholders'
equity...................... 94,992 (119,547) 94,992 119,547
-------- --------- -------- --------
Total Liabilities and
shareholders' equity......... $384,164 $(118,352) $118,352 $384,164
======== ========= ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
135
DOMINION KINCAID, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion
Kincaid, Consolidating Kincaid
Inc. Entries and Dominion Generation,
Consolidated Adjustments Kincaid, Inc. LLC
------------ ------------- ------------- -----------
Operating Revenue:
Regulated sales...........
Electric.................
Gas......................
Nonregulated sales........
Electric................. $83,211 $ -- $ -- $83,211
Gas......................
Gas transportation and
storage..................
Oil and gas production....
Other..................... (21,799) 21,799
------- -------- ------- -------
Total.................... 83,211 (21,799) 21,799 83,211
------- -------- ------- -------
Expenses:
Fuel, net................. 3,180 3,180
Purchased power capacity,
net......................
Purchased gas, net........
Liquids, capacity and
other products
purchased................
Restructuring and other
acquisition related
costs....................
Other operation and
maintenance.............. 26,852 26,852
Depreciation, depletion
and amortization......... 12,654 12,654
Other taxes............... 1,101 1,101
------- -------- ------- -------
Total.................... 43,787 43,787
------- -------- ------- -------
Income from Operations... 39,424 (21,799) 21,799 39,424
Other Income.............. 1,887 1,887
------- -------- ------- -------
Income before interest
and income taxes........ 41,311 (21,799) 21,799 41,311
------- -------- ------- -------
Interest and related
charges:
Interest charges.......... 19,293 19,293
------- -------- ------- -------
Preferred dividends and
distributions of
subsidiary trusts........
Total.................... 19,293 19,293
------- -------- ------- -------
Income before provision
for income tax, minority
interest, extraordinary
item and cumulative
effect of a change in
accounting principle.... 22,018 (21,799) 21,799 22,018
Income taxes.............. 8,665 8,665
Minority interests........ 220 220
------- -------- ------- -------
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............... 13,133 (22,019) 13,134 22,018
Extraordinary item, net...
Cumulative effect of a
change in accounting
principle, net...........
------- -------- ------- -------
Net Income............... $13,133 $(22,019) $13,134 $22,018
======= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
136
DOMINION KINCAID, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion
Kincaid, Consolidating Kincaid
Inc. Entries and Dominion Generation,
Consolidated Adjustments Kincaid, Inc. LLC
------------ ------------- ------------- -----------
Balance at December 31,
1999..................... $81,858 $ (97,528) $81,858 $ 97,528
------- --------- ------- --------
Issuance of stock--CNG
acquisition............
Issuance of stock
through public
offering...............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans..................
Stock repurchase and
retirement.............
Premium income equity
securities.............
Other common stock
activity...............
Comprehensive income.... 13,133 (22,019) 13,134 22,018
Dividends and other
adjustments............ 1 1
------- --------- ------- --------
Balance at December 31,
2000..................... $94,992 $(119,547) $94,992 $119,547
======= ========= ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
137
DOMINION KINCAID, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion
Kincaid, Consolidating Dominion Kincaid
Inc. Entries and Kincaid, Generation,
Consolidated Adjustments Inc. LLC
------------ ------------- -------- -----------
Net Income..................... $13,133 $(22,019) $13,134 $22,018
------- -------- ------- -------
Other comprehensive income, net
of tax:
Unrealized holding gains
(losses) on investment
securities...................
Less: reclassification
adjustment for gains (losses)
realized in net income.......
------- -------- ------- -------
Unrealized gains (losses) on
investment securities........
Foreign currency translation
adjustment...................
Minimum pension liability
adjustment...................
------- -------- ------- -------
Other comprehensive income
(Loss)........................
------- -------- ------- -------
Comprehensive Income........... $13,133 $(22,019) $13,134 $22,018
======= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
Statement.
138
DOMINION KINCAID, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion
Kincaid, Consolidating Kincaid
Inc. Entries and Dominion Generation,
Consolidated Adjustments Kincaid, Inc. LLC
------------ ------------- ------------- -----------
Cash flows from (used in)
operating activities:
Net income................ $13,133 $(22,019) $ 13,134 $22,018
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle...............
Restructuring and other
acquisition related
costs...................
DCI impairment losses....
Extraordinary item, net..
Impairment of regulatory
assets..................
Gains on sales of
subsidiaries............
Depreciation and
amortization............ 12,654 12,654
Deferred income taxes.... 6,230 (6,230) 6,230 6,230
Deferred fuel expense....
Changes in current assets
and liabilities:
Accounts receivable...... 1,448 (3,000) 3,000 1,448
Inventories.............. (808) (808)
Unrecovered gas costs....
Purchase and origination
of mortgages............
Proceeds from sale and
principal collections of
mortgages...............
Accounts payable, trade.. (3,843) 2,300 (2,300) (3,843)
Accrued interest and
taxes................... (2,124) 2,114 (2,114) (2,124)
Commodity contract assets
and liabilities.........
Net assets held for
sale....................
Other.................... (90) 30,684 (21,799) (8,975)
------- -------- -------- -------
Net cash flows from
operating activities.... 26,600 3,849 (3,849) 26,600
------- -------- -------- -------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions................ (3,969) (3,969)
Acquisition of exploration
and production assets....
Loan originations.........
Repayments of loan
originations.............
Sale of businesses........
Sale of marketable
securities...............
Purchase of debt
securities...............
Acquisition of
businesses...............
Other investments.........
Other..................... 9 9
------- -------- -------- -------
Net cash flow used in
investing activities.... (3,960) (3,960)
------- -------- -------- -------
Cash flow from (used in)
financing activities:
Issuance of common stock..
Repurchase of common
stock....................
Issuance (repayment) of
short term debt.......... 5,023 (3,849) 3,849 5,023
Issuance of long term
debt.....................
Repayment of long term
debt..................... (6,330) (6,330)
Common dividend payments..
Other.....................
------- -------- -------- -------
Net cash flow from (used
in) financing
activities............... (1,307) (3,849) 3,849 (1,307)
------- -------- -------- -------
Increase (decrease) in
cash and cash
equivalents.............. 21,333 21,333
Cash and cash equivalents
at beginning of the
year..................... 10 10
------- -------- -------- -------
Cash and cash equivalents
at end of the year....... $21,343 $ -- $ -- $21,343
======= ======== ======== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
139
DOMINION ENERGY, INC.--FOREIGN POWER GENERATION
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion Dominion
Foreign Energy Dominion Energy
Power Consolidating Company Management Interamerican
Generation Entries and (Caymen Argentina Holding Co
Consolidated Adjustments Islands) SA LDC
------------ ------------- -------- ---------- -------------
Current assets:
Cash and cash
equivalents............ $-- $-- $-- $-- $--
Accounts receivable:
Customers (less
allowance)............
Other..................
Inventories:
Materials and
supplies..............
Fossil fuel............
Gas stored--current
portion...............
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets.................
Unrecovered gas costs...
Broker margin deposits..
Prepayments.............
Net assets held for
sale...................
Other...................
---- ---- ---- ---- ----
Total current assets...
---- ---- ---- ---- ----
Investments:
Loans receivable, net...
Investments in
affiliates.............
Available for sale
securities.............
Nuclear decommissioning
trust funds............
Investment in real
estate.................
Other...................
---- ---- ---- ---- ----
Total net investments..
---- ---- ---- ---- ----
Property, plant and
equipment:
Property, plant and
equipment..............
Less accumulated
depreciation, depletion
and amortization.......
---- ---- ---- ---- ----
Property, plant and
equipment, net........
---- ---- ---- ---- ----
Deferred charges and
other assets:
Goodwill, net...........
Regulatory assets, net..
Prepaid pension costs...
Other, net..............
---- ---- ---- ---- ----
Total deferred charges
and other assets......
---- ---- ---- ---- ----
Total Assets............ $-- $-- $-- $-- $--
==== ==== ==== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
140
DOMINION ENERGY INC.--FOREIGN POWER GENERATION
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Dominion
Foreign Energy Energy
Power Consolidating Company Dominion Interamerican
Generation Entries and (Cayman Management Holding Co
Consolidated Adjustments Islands) Argentina SA LDC
------------ ------------- -------- ------------ -------------
Current liabilities:
Securities due within
one year............... $-- $-- $-- $-- $--
Short-term debt.........
Accounts payable,
trade..................
Accrued interest........
Accrued payroll.........
Accrued taxes...........
Commodity contract
liabilities............
Other...................
---- ---- ---- ---- ----
Total current
liabilities...........
---- ---- ---- ---- ----
Long term debt..........
---- ---- ---- ---- ----
Deferred credits and
other liabilities:
Deferred income taxes...
Deferred investment tax
credits................
Other...................
---- ---- ---- ---- ----
Total deferred credits
and other
liabilities...........
---- ---- ---- ---- ----
Total Liabilities.......
---- ---- ---- ---- ----
Minority interest.......
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts......
Preferred stock not
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............
Other paid in capital...
Accumulated other
comprehensive income...
Retained earnings.......
---- ---- ---- ---- ----
Total common
shareholders' equity..
---- ---- ---- ---- ----
Total Liabilities and
shareholders' equity... $-- $-- $-- $-- $--
==== ==== ==== ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
141
DOMINION ENERGY INC.--FOREIGN POWER GENERATION
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion
Foreign Energy Energy
Power Consolidating Company Dominion Interamerican
Generation Entries and (Cayman Management Holding Co
Consolidated Adjustments Islands) Argentina SA LDC
------------ ------------- -------- ------------ -------------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric............... $12,976 $-- $7,477 $-- $5,499
Gas....................
Gas transportation and
storage................
Oil and gas production..
Other................... 121 121
------- ---- ------ ---- ------
Total.................. 13,097 7,477 121 5,499
------- ---- ------ ---- ------
Expenses:
Fuel, net............... 1,238 1,238
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 3,656 2,267 154 1,235
Depreciation, depletion
and amortization....... 2,529 1,507 7 1,015
Other taxes............. 757 753 4
------- ---- ------ ---- ------
Total.................. 8,180 5,765 165 2,250
------- ---- ------ ---- ------
Income from
Operations............ 4,917 1,712 (44) 3,249
Other Income............ 2,816 969 (1) 1,848
------- ---- ------ ---- ------
Income before interest
and income taxes...... 7,733 2,681 (45) 5,097
------- ---- ------ ---- ------
Interest and related
charges:
Interest charges........ 2,561 2,043 518
Preferred dividends and
distributions of
subsidiary trusts......
------- ---- ------ ---- ------
Total.................. 2,561 2,043 518
------- ---- ------ ---- ------
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 5,172 638 (45) 4,579
Income taxes............ 164 (931) 1,095
Minority interests...... 1,935 184 1,751
------- ---- ------ ---- ------
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 3,073 1,385 (45) 1,733
Extraordinary item,
net....................
Cumulative effect of a
change in accounting
principle, net.........
------- ---- ------ ---- ------
Net Income............. $ 3,073 $-- $1,385 $(45) $1,733
======= ==== ====== ==== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
142
DOMINION ENERGY, INC.--FOREIGN POWER GENERATION
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion
Energy Dominion
Foreign Power Consolidating Company Dominion Energy
Generation Entries and (Caymen Management Interamerican
Consolidated Adjustments Islands) Argentina SA Holding Co LDC
------------- ------------- -------- ------------ --------------
Balance at December 31,
1999................... $ 190,353 $-- $102,625 $ 1,044 $ 86,684
--------- ---- -------- ------- --------
Issuance of stock--CNG
acquisition..........
Issuance of stock
through public
offering.............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans................
Stock repurchase and
retirement...........
Premium income equity
securities...........
Other common stock
activity............. (159,054) (98,627) (1,631) (58,796)
Comprehensive income.. 3,073 1,385 (45) 1,733
Dividends and other
adjustments.......... (34,372) (5,383) 632 (29,621)
--------- ---- -------- ------- --------
Balance at December 31,
2000................... $ -- $-- $ -- $ -- $ --
========= ==== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
143
DOMINION ENERGY, INC.--FOREIGN POWER GENERATION
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion
Foreign Energy Dominion Energy
Power Consolidating Company Management Interamerican
Generation Entries and (Caymen Argentina Holding Co
Consolidated Adjustments Islands) SA LDC
------------ ------------- -------- ---------- -------------
Net Income.............. $3,073 $-- $1,385 $(45) $1,733
------ ---- ------ ---- ------
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------ ---- ------ ---- ------
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------ ---- ------ ---- ------
Other comprehensive
income (Loss)..........
------ ---- ------ ---- ------
Comprehensive Income.... $3,073 $-- $1,385 $(45) $1,733
====== ==== ====== ==== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
144
DOMINION ENERGY, INC.--FOREIGN POWER GENERATION
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion
Energy Dominion
Foreign Power Consolidating Company Dominion Energy
Generation Entries and (Caymen Management Interamerican
Consolidated Adjustments Islands) Argentina SA Holding Co LDC
------------- ------------- -------- ------------ --------------
Cash flows from (used
in) operating
activities:
Net income.............. $ 3,073 $-- $ 1,385 $(45) $ 1,733
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization.......... 2,766 1,744 7 1,015
Deferred income taxes..
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... (1,922) (1,807) (2) (113)
Inventories............ 42 42
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. (1,616) (754) (29) (833)
Accrued interest and
taxes................. 2,337 710 (58) 1,685
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other.................. 323 (1,491) 38 1,776
-------- ---- ------- ---- --------
Net cash flows from
operating activities.. 5,003 (213) (89) 5,305
-------- ---- ------- ---- --------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (44) (44)
Acquisition of
exploration and
production assets......
Loan originations.......
Repayments of loan
originations...........
Sale of businesses...... (66,215) (6,318) (5) (59,892)
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments.......
Other .................. 6,738 6,738
-------- ---- ------- ---- --------
Net cash flow used in
investing activities.. (59,521) (6,362) (5) (53,154)
-------- ---- ------- ---- --------
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ (86) (8) (78)
Issuance of long term
debt...................
Repayment of long term
debt................... (111) 1,118 (1,229)
Common dividend
payments...............
Other...................
-------- ---- ------- ---- --------
Net cash flow from (used
in) financing
activities............. (197) 1,110 -- (1,307)
Increase (decrease) in
cash and cash
equivalents............ (54,715) (5,465) (94) (49,156)
Cash and cash
equivalents at
beginning of the year.. 54,715 5,465 94 49,156
-------- ---- ------- ---- --------
Cash and cash
equivalents at end of
the year............... $ -- $-- $ -- $-- $ --
======== ==== ======= ==== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
145
DOMINION ENERGY, INC.--OIL & GAS
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion
Dominion Dominion Carthage Energy Dominion
Consolidating Reserves, Black Dominion Energy Canada San Juan, Dominion
Oil & Gas Entries and Inc. Warrior Reserves Services, Limited Inc. Storage,
Consolidated Adjustments (Page 152) Basin, Inc. Utah, Inc. Inc.* (Page 176) (Page 170) Inc.
------------ ------------- ---------- ----------- ---------- --------- ---------- ---------- --------
Current assets:
Cash and cash
equivalents..... $ 9,787 $ -- $ (2,865) $ 1,791 $ -- $ 3,253 $ 7,606 $ -- $ 2
Accounts
receivable:
Customers (less
allowance).....
Other........... 98,136 (539,036) 444,837 6,187 81,982 11,840 40,896 51,430
Inventories:
Materials and
supplies.......
Fossil fuel.....
Gas stored--
current
portion........
Investment
securities--
trading.........
Mortgage loans
held for sale...
Commodity
contract
assets..........
Unrecovered gas
costs...........
Broker margin
deposits........
Prepayments......
Net assets held
for sale........
Other............ 25,653 3,017 9,182 7,474 634 5,346
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Total current
assets......... 133,576 (539,036) 444,989 17,160 89,456 15,727 53,848 51,430 2
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Investments:
Loans receivable,
net.............
Investments in
affiliates...... 21,565 7,357 14,208
Available for
sale
securities......
Nuclear
decommissioning
trust funds.....
Investment in
real estate.....
Other............ 295,397 16,305 295,073 (16,305) 24 300
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Total net
investments.... 316,962 16,305 302,430 (16,305) 14,232 300
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Property, plant
and equipment:
Property, plant
and equipment... 1,367,542 554,986 29,711 79,871 183 578,476 124,315
Less accumulated
depreciation,
depletion and
amortization.... 382,344 245,417 5,375 17,642 148 89,834 23,928
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Property, plant
and equipment,
net............ 985,198 309,569 24,336 62,229 35 488,642 100,387
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Deferred charges
and other
assets:
Goodwill, net.... 2,927 2,927
Regulatory
assets, net.....
Prepaid pension
costs...........
Other, net....... 14,705 8,118 734 5,783 70
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Total deferred
charges and
other assets... 17,632 11,045 734 5,783 70
---------- --------- ---------- -------- -------- ------- -------- -------- ----
Total Assets..... $1,453,368 $(522,731) $1,068,033 $ 25,191 $152,419 $15,762 $562,505 $151,887 $302
========== ========= ========== ======== ======== ======= ======== ======== ====
-------
* Carthage Energy Services, Inc. is a subsidiary of Dominion Reserves, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
146
DOMINION ENERGY, INC.--OIL & GAS
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion
Dominion Energy
Consolidating Dominion Black Dominion Canada Dominion San
Oil & Gas Entries and Reserves, Inc. Warrior Reserves Carthage Energy Limited Juan, Inc.
Consolidated Adjustments (Page 153) Basin, Inc. Utah, Inc. Services, Inc.* (Page 177) (Page 171)
------------ ------------- -------------- ----------- ---------- --------------- ---------- ------------
Current
liabilities:
Securities due
within one year
Short-term debt.. $ 2,502 $ -- $ -- $ -- $ -- $ -- $ 2,502 $ --
Accounts payable,
trade........... 37,413 (539,036) 453,142 14,956 66,383 7,917 7,478 26,573
Accrued
interest........ 109 109
Accrued payroll..
Accrued taxes.... (2,264) (2,336) (5,056) (1,233) 2,717 2,332 1,312
Commodity
contract
liabilities.....
Other............ 43,890 5,817 507 37,566
---------- --------- ---------- ------- -------- ------- -------- --------
Total current
liabilities.... 81,650 (539,036) 456,732 9,900 65,150 11,141 49,878 27,885
---------- --------- ---------- ------- -------- ------- -------- --------
Long term debt... 774,473 16,305 300,824 22,315 3,423 382,323 49,283
---------- --------- ---------- ------- -------- ------- -------- --------
Deferred credits
and other
liabilities:
Deferred income
taxes........... 97,497 74,409 4,196 11,754 (6,888) 13,412 671
Deferred
investment tax
credits
Other............ 33,784 15,885 8,320 9,579
---------- --------- ---------- ------- -------- ------- -------- --------
Total deferred
credits and
other
liabilities.... 131,281 90,294 4,196 11,754 1,432 22,991 671
---------- --------- ---------- ------- -------- ------- -------- --------
Total
Liabilities..... 987,404 (522,731) 847,850 14,096 99,219 15,996 455,192 77,839
---------- --------- ---------- ------- -------- ------- -------- --------
Minority
interest........ 884 884
Obligated
mandatorily
redeemable
preferred
securities of
subsidiary
trusts..........
Preferred stock
no subject to
mandatory
redemption......
Common
shareholders'
equity:
Common Stock.....
Other paid in
capital......... 219,077 63,154 8,500 6,202 92,207 49,122
Accumulated other
comprehensive
income.......... (9,971) (9,971)
Retained
earnings........ 255,974 156,145 11,095 44,700 (6,436) 25,077 24,926
---------- --------- ---------- ------- -------- ------- -------- --------
Total common
shareholders'
equity......... 465,080 219,299 11,095 53,200 (234) 107,313 74,048
---------- --------- ---------- ------- -------- ------- -------- --------
Total Liabilities
and
shareholders'
equity.......... $1,453,368 $(522,731) $1,068,033 $25,191 $152,419 $15,762 $562,505 $151,887
========== ========= ========== ======= ======== ======= ======== ========
Dominion
Storage, Inc.
-------------
Current
liabilities:
Securities due
within one year
Short-term debt.. $ --
Accounts payable,
trade...........
Accrued
interest........
Accrued payroll..
Accrued taxes....
Commodity
contract
liabilities.....
Other............
-------------
Total current
liabilities....
-------------
Long term debt...
-------------
Deferred credits
and other
liabilities:
Deferred income
taxes........... (57)
Deferred
investment tax
credits
Other............
-------------
Total deferred
credits and
other
liabilities.... (57)
-------------
Total
Liabilities..... (57)
-------------
Minority
interest........
Obligated
mandatorily
redeemable
preferred
securities of
subsidiary
trusts..........
Preferred stock
no subject to
mandatory
redemption......
Common
shareholders'
equity:
Common Stock.....
Other paid in
capital......... (108)
Accumulated other
comprehensive
income..........
Retained
earnings........ 467
-------------
Total common
shareholders'
equity......... 359
-------------
Total Liabilities
and
shareholders'
equity.......... $ 302
=============
-------
* Carthage Energy Services, Inc. is a subsidiary of Dominion Reserves, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
147
DOMINION ENERGY, INC.--OIL & GAS
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion
Dominion Black Dominion Carthage Energy Dominion
Consolidating Reserves, Warrior Reserves Energy Canada San Juan, Dominion
Oil & Gas Entries and Inc. Basin, Utah, Services, Limited Inc. Storage,
Consolidated Adjustments (Page 156) Inc. Inc. Inc.* (Page 178) (Page 172) Inc.
------------ ------------- ---------- -------- -------- --------- ---------- ---------- --------
Operating Revenue:
Regulated sales.......
Electric.............
Gas..................
Nonregulated sales....
Electric.............
Gas..................
Gas transportation and
storage..............
Oil and gas
production........... $322,359 $ -- $81,090 $13,264 $51,277 $ -- $146,304 $30,424 $--
Other................. 49,556 14,915 23 143 1,979 32,496
-------- ------ ------- ------- ------- ------- -------- ------- ---
Total................ 371,915 96,005 13,287 51,420 1,979 178,800 30,424
-------- ------ ------- ------- ------- ------- -------- ------- ---
Expenses:
Fuel, net.............
Purchased power
capacity, net........
Purchased gas, net....
Liquids, capacity and
other products
purchased............
Restructuring and
other acquisition
related costs........
Other operation and
maintenance.......... 137,083 45,224 10,849 8,081 17,059 47,961 7,909
Depreciation,
depletion and
amortization......... 101,790 36,348 828 4,705 453 50,294 9,162
Other taxes........... 16,230 6,498 771 1,684 92 4,205 2,980
-------- ------ ------- ------- ------- ------- -------- ------- ---
Total................ 255,103 88,070 12,448 14,470 17,604 102,460 20,051
-------- ------ ------- ------- ------- ------- -------- ------- ---
Income from
Operations.......... 116,812 7,935 839 36,950 (15,625) 76,340 10,373
Other Income.......... 10,745 (5,234) 13,229 (406) 8 8,892 (5,744)
-------- ------ ------- ------- ------- ------- -------- ------- ---
Income before
interest and income
taxes............... 127,557 (5,234) 21,164 433 36,958 (6,733) 70,596 10,373
-------- ------ ------- ------- ------- ------- -------- ------- ---
Interest and related
charges:
Interest charges...... 39,280 (5,234) 11,807 392 1,361 480 27,042 3,432
Preferred dividends
and distributions of
subsidiary trusts....
-------- ------ ------- ------- ------- ------- -------- ------- ---
Total................ 39,280 (5,234) 11,807 392 1,361 480 27,042 3,432
-------- ------ ------- ------- ------- ------- -------- ------- ---
Income before
provision for income
tax, minority
interest,
extraordinary item
and cumulative
effect of a change
in accounting
principle........... 88,277 9,357 41 35,597 (7,213) 43,554 6,941
Income taxes.......... 2,586 (12,082) (4,352) 10,305 (2,598) 21,519 (10,206)
Minority interests.... 141 141
-------- ------ ------- ------- ------- ------- -------- ------- ---
Income before
extraordinary item
and cumulative
effect of a change
in accounting
principle........... 85,550 21,298 4,393 25,292 (4,615) 22,035 17,147
Extraordinary item,
net..................
Cumulative effect of a
change in accounting
principle, net.......
-------- ------ ------- ------- ------- ------- -------- ------- ---
Net Income........... $ 85,550 $ -- $21,298 $ 4,393 $25,292 $(4,615) $ 22,035 $17,147 $--
======== ====== ======= ======= ======= ======= ======== ======= ===
-------
* Carthage Energy Services, Inc. is a subsidiary of Dominion Reserves, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
148
DOMINION ENERGY, INC.--OIL & GAS
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS EQUITY
As of December 31, 2000
(Thousands)
Dominion
Energy
Dominion Canada Dominion
Consolidating Dominion Black Dominion Limited San Juan, Dominion
Oil & Gas Entries and Reserves, Inc. Warrior Reserves Carthage Energy (Page Inc. Storage,
Consolidated Adjustments (Page 158) Basin, Inc. Utah, Inc. Services, Inc.* 179) (Page 173) Inc.
------------ ------------- -------------- ----------- ---------- --------------- -------- ---------- --------
Balance at
December 31,
1999............. $403,457 $(3,423) $217,638 $ 6,702 $27,908 $4,381 $ 92,991 $56,902 $358
-------- ------- -------- ------- ------- ------ -------- ------- ----
Issuance of
stock--CNG
acquisition....
Issuance of
stock through
public
offering.......
Issuance of
stock through
employee,
executive loan
and direct
stock purchase
plans..........
Stock repurchase
and
retirement.....
Premium income
equity
securities.....
Other common
stock
activity.......
Comprehensive
income......... 78,810 21,298 4,393 25,292 (4,615) 15,295 17,147
Dividends and
other
adjustments.... (17,187) 3,423 (19,637) (973) (1) 1
-------- ------- -------- ------- ------- ------ -------- ------- ----
Balance at
December 31,
2000............. $465,080 $ -- $219,299 $11,095 $53,200 $ (234) $107,313 $74,048 $359
======== ======= ======== ======= ======= ====== ======== ======= ====
-------
* Carthage Energy Services, Inc. is a subsidiary of Dominion Reserves, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
149
DOMINION ENERGY, INC.--OIL & GAS
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion
Dominion Dominion Energy Dominion
Consolidating Reserves, Black Dominion Canada San Juan,
Oil & Gas Entries and Inc. Warrior Reserves Carthage Energy Limited Inc.
Consolidated Adjustments (Page 160) Basin, Inc. Utah, Inc. Services, Inc.* (Page 180) (Page 174)
------------ ------------- ---------- ----------- ---------- --------------- ---------- ----------
Net Income....... $85,550 $-- $21,298 $4,393 $25,292 $(4,615) $22,035 $17,147
------- ---- ------- ------ ------- ------- ------- -------
Other
comprehensive
income, net of
tax:
Unrealized
holding gains
(losses) on
investment
securities.....
Less:
reclassification
adjustment for
gains (losses)
realized in net
income.........
------- ---- ------- ------ ------- ------- ------- -------
Unrealized gains
(losses) on
investment
securities.....
Foreign currency
translation
adjustment..... (6,740) (6,740)
Minimum pension
liability
adjustment.....
------- ---- ------- ------ ------- ------- ------- -------
Other
comprehensive
income (Loss)... (6,740) (6,740)
------- ---- ------- ------ ------- ------- ------- -------
Comprehensive
Income.......... $78,810 $-- $21,298 $4,393 $25,292 $(4,615) $15,295 $17,147
======= ==== ======= ====== ======= ======= ======= =======
Dominion
Storage, Inc.
-------------
Net Income....... $--
-------------
Other
comprehensive
income, net of
tax:
Unrealized
holding gains
(losses) on
investment
securities.....
Less:
reclassification
adjustment for
gains (losses)
realized in net
income.........
-------------
Unrealized gains
(losses) on
investment
securities.....
Foreign currency
translation
adjustment.....
Minimum pension
liability
adjustment.....
-------------
Other
comprehensive
income (Loss)...
-------------
Comprehensive
Income.......... $--
=============
--------
* Carthage Energy Services, Inc. is a subsidiary of Dominion Reserves, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
150
DOMINION ENERGY, INC.--OIL & GAS
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion
Energy
Dominion Canada
Consolidating Dominion Black Dominion Limited
Oil & Gas Entries and Reserves, Inc. Warrior Reserves Carthage Energy Dominion (Page
Consolidated Adjustments (Page 162) Basin, Inc. Utah, Inc. Services, Inc.* Storage, Inc. 181)
------------ ------------- -------------- ----------- ---------- --------------- ------------- --------
Cash flows from
(used in)
operating
activities:
Net income....... $ 85,550 $ -- $ 21,298 $ 4,393 $ 25,292 $ (4,615) $ -- $ 22,035
Adjustments to
reconcile net
income to net
cash from
operating
activities:
Cumulative
effect of a
change in
accounting
principle......
Restructuring
and other
acquisition
related costs..
DCI impairment
losses.........
Extraordinary
item, net......
Impairment of
regulatory
assets.........
Gains on sales
of
subsidiaries...
Depreciation and
amortization... 101,152 36,231 828 4,705 453 50,296
Deferred income
taxes.......... 25,755 2,252 3,654 3,775 (5,419) (115) 21,471
Deferred fuel
expense........
Changes in
current assets
and liabilities:
Accounts
receivable..... (245,801) (282,040) (1,066) (69,282) 164,478 (26,477)
Inventories..... 6,053 230 (983) 110 6,619 77
Unrecovered gas
costs..........
Purchase and
origination of
mortgages......
Proceeds from
sale and
principal
collections of
mortgages......
Accounts
payable,
trade.......... 118,208 (149,039) 355,535 10,140 54,362 (176,138) 751
Accrued interest
and taxes...... (6,366) (5,743) (4,933) (85) 3,704 115 1,618
Commodity
contract assets
and
liabilities....
Net assets held
for sale.......
Other........... 8,525 (13,672) (5) (6) 11,410 1 10,798
--------- --------- --------- -------- -------- --------- ----- --------
Net cash flows
from operating
activities..... 93,076 (149,039) 114,091 12,028 18,871 492 1 80,569
--------- --------- --------- -------- -------- --------- ----- --------
Cash flow from
(used in)
investing
activities:
Plant
construction and
other property
additions....... (6,003) (3,037) (470) (1,923)
Acquisition of
exploration and
production
assets.......... (138,329) (24,016) (16,925) (18,103) (78,639)
Loan
originations....
Repayments of
loan
originations....
Sale of
businesses...... (19) (19)
Sale of
marketable
securities......
Purchase of debt
securities......
Acquisition of
businesses......
Other
investments..... 6,935 6,935
Other............ 5,313 14,399 (3,959) (4,073) 1,209 (2,330)
--------- --------- --------- -------- -------- --------- ----- --------
Net cash flow
used in
investing
activities..... (132,103) (12,673) (21,354) (24,099) 1,209 (74,034)
--------- --------- --------- -------- -------- --------- ----- --------
Cash flow from
(used in)
financing
activities:
Issuance of
common stock....
Repurchase of
common stock....
Issuance
(repayment) of
short term
debt............ 71,373 159,217 (87,104) 9,293 5,228 1,481 (1,831)
Issuance of long
term debt.......
Repayment of long
term debt....... (13,908) (10,178) (3,730)
Common dividend
payments........ (18,600) (18,600)
Other............ 205 (29) 234
--------- --------- --------- -------- -------- --------- ----- --------
Net cash flow
from (used in)
financing
activities...... 39,070 149,039 (105,733) 9,293 5,228 1,481 (5,327)
--------- --------- --------- -------- -------- --------- ----- --------
Increase
(decrease) in
cash and cash
equivalents..... 43 (4,315) (33) 3,182 1 1,208
Cash and cash
equivalents at
beginning of the
year............ 9,744 1,450 1,824 71 1 6,398
--------- --------- --------- -------- -------- --------- ----- --------
Cash and cash
equivalents at
end of the
year............ $ 9,787 $ -- $ (2,865) $ 1,791 $ -- $ 3,253 $ 2 $ 7,606
========= ========= ========= ======== ======== ========= ===== ========
Dominion
San Juan,
Inc.
(Page 175)
-----------
Cash flows from
(used in)
operating
activities:
Net income....... $ 17,147
Adjustments to
reconcile net
income to net
cash from
operating
activities:
Cumulative
effect of a
change in
accounting
principle......
Restructuring
and other
acquisition
related costs..
DCI impairment
losses.........
Extraordinary
item, net......
Impairment of
regulatory
assets.........
Gains on sales
of
subsidiaries...
Depreciation and
amortization... 8,639
Deferred income
taxes.......... 137
Deferred fuel
expense........
Changes in
current assets
and liabilities:
Accounts
receivable..... (31,414)
Inventories.....
Unrecovered gas
costs..........
Purchase and
origination of
mortgages......
Proceeds from
sale and
principal
collections of
mortgages......
Accounts
payable,
trade.......... 22,597
Accrued interest
and taxes...... (1,042)
Commodity
contract assets
and
liabilities....
Net assets held
for sale.......
Other........... (1)
-----------
Net cash flows
from operating
activities..... 16,063
-----------
Cash flow from
(used in)
investing
activities:
Plant
construction and
other property
additions....... (573)
Acquisition of
exploration and
production
assets.......... (646)
Loan
originations....
Repayments of
loan
originations....
Sale of
businesses......
Sale of
marketable
securities......
Purchase of debt
securities......
Acquisition of
businesses......
Other
investments.....
Other............ 67
-----------
Net cash flow
used in
investing
activities..... (1,152)
-----------
Cash flow from
(used in)
financing
activities:
Issuance of
common stock....
Repurchase of
common stock....
Issuance
(repayment) of
short term
debt............ (14,911)
Issuance of long
term debt.......
Repayment of long
term debt.......
Common dividend
payments........
Other............
-----------
Net cash flow
from (used in)
financing
activities...... (14,911)
-----------
Increase
(decrease) in
cash and cash
equivalents.....
Cash and cash
equivalents at
beginning of the
year............
-----------
Cash and cash
equivalents at
end of the
year............ $ --
===========
-------
* Carthage Energy Services, Inc. is a subsidiary of Dominion Reserves, Inc.
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
151
DOMINION RESERVES, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion
Dominion Appalachian
Dominion Consolidating Appalachian Development
Reserves, Inc. Entries and Dominion Cypress Development, Properties
Consolidated Adjustments Reserves, Inc. Energy, Inc. Inc. LLC
-------------- ------------- -------------- ------------ ------------ -----------
Current assets:
Cash and cash
equivalents............ $ (2,865) $ -- $ (3,871) $-- $ 67 $ --
Accounts receivable:
Customers (less
allowance)
Other.................. 444,837 (170,562) 496,278 426 14,608 25,128
Inventories:
Materials and
supplies..............
Fossil fuel............
Gas stored--current
portion...............
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets.................
Unrecovered gas costs...
Broker margin deposits..
Prepayments.............
Net assets held for
sale...................
Other................... 3,017 534 0 169
---------- --------- ---------- ---- ------- --------
Total current assets... 444,989 (170,562) 492,941 426 14,844 25,128
---------- --------- ---------- ---- ------- --------
Investments:
Loans receivable, net...
Investments in
affiliates............. 7,357
Available for sale
securities.............
Nuclear decommissioning
trust funds............
Investment in real
estate.................
Other................... 295,073 (267,510) 447,370 184
---------- --------- ---------- ---- ------- --------
Total net investments.. 302,430 (267,510) 447,370 184
---------- --------- ---------- ---- ------- --------
Property, plant and
equipment:
Property, plant and
equipment.............. 554,986 87,973 28 7,865 142,641
Less accumulated
depreciation, depletion
and amortization....... 245,417 23,706 25 1,747 62,588
---------- --------- ---------- ---- ------- --------
Property, plant and
equipment, net........ 309,569 64,267 3 6,118 80,053
---------- --------- ---------- ---- ------- --------
Deferred charges and
other assets:
Goodwill, net........... 2,927 750 1,976
Regulatory assets, net..
Prepaid pension costs...
Other, net.............. 8,118 3,883 10
---------- --------- ---------- ---- ------- --------
Total deferred charges
and other assets...... 11,045 3,883 760 1,976
---------- --------- ---------- ---- ------- --------
Total Assets............ $1,068,033 $(438,072) $1,008,461 $429 $21,906 $107,157
========== ========= ========== ==== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
152
DOMINION RESERVES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion
Dominion Appalachian
Dominion Consolidating Appalachian Development
Reserves, Inc. Entries and Dominion Cypress Development, Properties
Consolidated Adjustments Reserves, Inc. Energy, Inc. Inc. LLC
-------------- ------------- -------------- ------------ ------------ -----------
Current liabilities:
Securities due within
one year...............
Short-term debt.........
Accounts payable,
trade.................. $ 453,142 $(170,561) $ 541,061 $ 692 $24,905 $ 4,754
Accrued interest........ 109 109
Accrued payroll.........
Accrued taxes........... (2,336) 2,856 180 383 (265)
Commodity contract
liabilities............
Other................... 5,817 1,090
---------- --------- ---------- ------- ------- --------
Total current
liabilities........... 456,732 (170,561) 544,026 872 26,378 4,489
---------- --------- ---------- ------- ------- --------
Long term debt.......... 300,824 (107,061) 204,036 8,157 2,160 68,715
---------- --------- ---------- ------- ------- --------
Deferred credits and
other liabilities:
Deferred income taxes... 74,409 31,697 (2,431) 172 20,634
Deferred investment tax
credits................
Other................... 15,885 9,403
---------- --------- ---------- ------- ------- --------
Total deferred credits
and other
liabilities........... 90,294 41,100 (2,431) 172 20,634
---------- --------- ---------- ------- ------- --------
Total liabilities....... 847,850 (277,622) 789,162 6,598 28,710 93,838
---------- --------- ---------- ------- ------- --------
Minority interest....... 884
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts......
Preferred stock no
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............ (2,279) 0 2,210
Other paid in capital... 63,154 (64,880) 63,154 853 202 3,648
Accumulated other
comprehensive income...
Retained earnings....... 156,145 (93,291) 156,145 (7,022) (7,006) 7,461
---------- --------- ---------- ------- ------- --------
Total common
shareholders' equity.. 219,299 (160,450) 219,299 (6,169) (6,804) 13,319
---------- --------- ---------- ------- ------- --------
Total Liabilities and
shareholders' equity... $1,068,033 $(438,072) $1,008,461 $ 429 $21,906 $107,157
========== ========= ========== ======= ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
153
DOMINION RESERVES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Gas
Processing Dominion Great Lakes Dominion Dominion Phoenix
MI, Inc. Midwest Compression, Reserves Gulf Reserves Dominion
(Page 164) Energy, Inc. Inc. Coast, Inc. Indiana, Inc. Energy, LLC
------------ ------------ ------------ ------------- ------------- -----------
Current assets:
Cash and cash
equivalents............ $ 728 $ 169 $ 13 $ -- $ 29 $--
Accounts receivable:
Customers (less
allowance)............
Other.................. 4,702 64,176 5,206 1,199 3,676
Inventories:
Materials and
supplies..............
Fossil fuel............
Gas stored--current
portion...............
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets.................
Unrecovered gas costs...
Broker margin deposits..
Prepayments.............
Net assets held for
sale...................
Other................... 25 2,159 230 0 (100)
------- -------- ------- ------- ------ ----
Total current assets... 5,455 66,504 5,449 1,199 3,605
------- -------- ------- ------- ------ ----
Investments:
Loans receivable, net...
Investments in
affiliates............. 7,357
Available for sale
securities.............
Nuclear decommissioning
trust funds............
Investment in real
estate.................
Other................... 506 62,888 51,635
------- -------- ------- ------- ------ ----
Total net investments.. 7,863 62,888 51,635
------- -------- ------- ------- ------ ----
Property, plant and
equipment:
Property, plant and
equipment.............. 27,356 277,026 8,375 1,137 2,585
Less accumulated
depreciation, depletion
and amortization....... 14,316 139,091 2,090 1,125 729
------- -------- ------- ------- ------ ----
Property, plant and
equipment, net........ 13,040 137,935 6,285 12 1,856
------- -------- ------- ------- ------ ----
Deferred charges and
other assets:
Goodwill, net........... 201
Regulatory assets, net..
Prepaid pension costs...
Other, net.............. 4,225
------- -------- ------- ------- ------ ----
Total deferred charges
and other assets...... 4,225 201
------- -------- ------- ------- ------ ----
Total Assets............ $26,358 $271,552 $11,935 $52,846 $5,461 $--
======= ======== ======= ======= ====== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
154
DOMINION RESERVES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Gas
Processing Dominion Great Lakes Dominion Dominion Phoenix
MI, Inc. Midwest Compression, Reserves Gulf Reserves Dominion
(Page 165) Energy, Inc. Inc. Coast, Inc. Indiana, Inc. Energy, LLC
------------ ------------ ------------ ------------- ------------- -----------
Current liabilities:
Securities due within
one year...............
Short-term debt.........
Accounts payable,
trade.................. $ 944 $ 47,703 $ 2,493 $ 798 $ 353 $--
Accrued interest........
Accrued payroll.........
Accrued taxes........... (104) (2,762) (151) 29 (2,502)
Commodity contract
liabilities............
Other................... 3,560 1,167
------- -------- ------- ------- ------- ----
Total current
liabilities........... 840 48,501 3,509 827 (2,149)
------- -------- ------- ------- ------- ----
Long term debt.......... 13,330 93,424 3,681 14,382
------- -------- ------- ------- ------- ----
Deferred credits and
other liabilities:
Deferred income taxes... 4,149 15,793 892 1,540 1,963
Deferred investment tax
credits................
Other................... 6,377 105
------- -------- ------- ------- ------- ----
Total deferred credits
and other
liabilities........... 4,149 22,170 892 1,645 1,963
------- -------- ------- ------- ------- ----
Total liabilities....... 18,319 164,095 8,082 2,472 14,196
------- -------- ------- ------- ------- ----
Minority interest....... 884
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts......
Preferred stock no
subject to mandatory
redemption.............
Common shareholders'
equity:
Common Stock............ 3 56 10 0
Other paid in capital... 8 37,543 40 21,937 649
Accumulated other
comprehensive income...
Retained earnings....... 7,144 69,858 3,803 28,437 (9,384)
------- -------- ------- ------- ------- ----
Total common
shareholders' equity.. 7,155 107,457 3,853 50,374 (8,735)
------- -------- ------- ------- ------- ----
Total liabilities and
shareholders' equity... $26,358 $271,552 $11,935 $52,846 $ 5,461 $--
======= ======== ======= ======= ======= ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
155
DOMINION RESERVES, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion
Dominion Appalachian
Dominion Consolidating Appalachian Development
Reserves, Inc. Entries and Dominion Cypress Development, Properties
Consolidated Adjustments Reserves, Inc Energy, Inc. Inc. LLC
-------------- ------------- ------------- ------------ ------------ -----------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric...............
Gas....................
Gas transportation and
storage................
Oil and gas production.. $ 81,090 $ -- $ 1,701 $ -- $ -- $22,303
Other................... 14,915 (20,996) 21,130 1,197
-------- -------- ------- ----- ------- -------
Total.................. 96,005 (20,996) 22,831 1,197 22,303
-------- -------- ------- ----- ------- -------
Expenses:
Fuel, net...............
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 45,224 9,916 60 3,464 5,190
Depreciation, depletion
and amortization....... 36,348 6,957 7 560 6,675
Other taxes............. 6,498 524 257 1,610
-------- -------- ------- ----- ------- -------
Total.................. 88,070 17,397 67 4,281 13,475
-------- -------- ------- ----- ------- -------
Income from
Operations............ 7,935 (20,996) 5,434 (67) (3,084) 8,828
Other Income............ 13,229 (9,197) 23,892 185
-------- -------- ------- ----- ------- -------
Income before interest
and income taxes...... 21,164 (30,193) 29,326 (67) (2,899) 8,828
-------- -------- ------- ----- ------- -------
Interest and related
charges:
Interest charges........ 11,807 (9,197) 7,798 524 351 4,303
Preferred dividends and
distributions of
subsidiary trusts......
-------- -------- ------- ----- ------- -------
Total.................. 11,807 (9,197) 7,798 524 351 4,303
-------- -------- ------- ----- ------- -------
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 9,357 (20,996) 21,528 (591) (3,250) 4,525
Income taxes............ (12,082) 228 (207) (1,119) (2,141)
Minority interests...... 141
-------- -------- ------- ----- ------- -------
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 21,298 (20,996) 21,300 (384) (2,131) 6,666
Extraordinary item,
net....................
Cumulative effect of a
change in accounting
principle, net.........
-------- -------- ------- ----- ------- -------
Net Income............. $ 21,298 $(20,996) $21,300 $(384) $(2,131) $ 6,666
======== ======== ======= ===== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
156
DOMINION RESERVES, INC.
CONSOLIDATING INCOME STATEMENT--(Continued)
For the Year Ended December 31, 2000
(Thousands)
Dominion Gas
Processing Dominion Great Lakes Dominion Dominion Phoenix
MI, Inc. Midwest Compression, Reserves Gulf Reserves Dominion
(Page 166) Energy, Inc. Inc. Coast, Inc. Indiana, Inc. Energy, LLC
------------ ------------ ------------ ------------- ------------- -----------
Operating Revenue:
Regulated sales.........
Electric...............
Gas....................
Nonregulated sales......
Electric...............
Gas....................
Gas transportation and
storage................
Oil and gas production.. $ -- $56,000 $ -- $ 33 $ 1,053 $--
Other................... 6,477 401 5,898 808
------ ------- ------ ------ ------- ----
Total.................. 6,477 56,401 5,898 33 1,053 808
------ ------- ------ ------ ------- ----
Expenses:
Fuel, net...............
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 1,545 21,567 3,004 20 68 390
Depreciation, depletion
and amortization....... 1,440 19,016 716 30 761 186
Other taxes............. 3,711 342 24 30
------ ------- ------ ------ ------- ----
Total.................. 2,985 44,294 4,062 50 853 606
------ ------- ------ ------ ------- ----
Income from
Operations............ 3,492 12,107 1,836 (17) 200 202
Other Income............ 31 3,185 3,336 (8,411) 208
------ ------- ------ ------ ------- ----
Income before interest
and income taxes...... 3,523 15,292 1,836 3,319 (8,211) 410
------ ------- ------ ------ ------- ----
Interest and related
charges:
Interest charges........ 883 5,786 246 35 960 118
Preferred dividends and
distributions of
subsidiary trusts......
------ ------- ------ ------ ------- ----
Total.................. 883 5,786 246 35 960 118
------ ------- ------ ------ ------- ----
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 2,640 9,506 1,590 3,284 (9,171) 292
Income taxes............ 875 (8,156) 377 1,149 (3,207) 119
Minority interests...... 141
------ ------- ------ ------ ------- ----
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 1,624 17,662 1,213 2,135 (5,964) 173
Extraordinary item, net
Cumulative effect of a
change in accounting
principle, net.........
------ ------- ------ ------ ------- ----
Net Income............. $1,624 $17,662 $1,213 $2,135 $(5,964) $173
====== ======= ====== ====== ======= ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
157
DOMINION RESERVES, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion
Dominion Appalachian
Dominion Consolidating Appalachian Development
Reserves, Inc. Entries and Dominion Cypress Development, Properties
Consolidated Adjustments Reserves, Inc. Energy, Inc. Inc. LLC
-------------- ------------- -------------- ------------ ------------ -----------
Balance at December 31,
1999................... $217,638 $(139,626) $214,216 $(5,784) $(4,674) $ 6,654
-------- --------- -------- ------- ------- -------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 2,279 2,210
Comprehensive income... 21,298 (20,996) 21,300 (384) (2,131) 6,666
Dividends and other
adjustments........... (19,637) 2,451 (16,217) (1) (1) (2,211)
-------- --------- -------- ------- ------- -------
Balance at December 31,
2000................... $219,299 $(160,450) $219,299 $(6,169) $(6,804) $13,319
======== ========= ======== ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
158
DOMINION RESERVES, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY--(Continued)
As of December 31, 2000
(Thousands)
Dominion Gas
Processing Dominion Great Lakes Dominion Dominion Phoenix
MI, Inc. Midwest Compression, Reserves Gulf Reserves Dominion
(Page 167) Energy, Inc. Inc. Coast, Inc. Indiana, Inc. Energy, LLC
------------ ------------ ------------ ------------- ------------- -----------
Balance at December 31,
1999................... $5,531 $ 89,795 $2,638 $48,239 $(2,774) $ 3,423
------ -------- ------ ------- ------- -------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 3 56 10
Comprehensive income... 1,624 17,662 1,213 2,135 (5,964) 173
Dividends and other
adjustments........... (3) (56) (8) 3 (3,596)
------ -------- ------ ------- ------- -------
Balance at December 31,
2000................... $7,155 $107,457 $3,853 $50,374 $(8,735) $ --
====== ======== ====== ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
159
DOMINION RESERVES, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion Dominion
Dominion Consolidating Appalachian Appalachian
Reserves, Inc. Entries and Dominion Cypress Development, Development
Consolidated Adjustments Reserves, Inc. Energy, Inc. Inc. Properties LLC
-------------- ------------- -------------- ------------ ------------ --------------
Net Income.............. $21,298 $(20,996) $21,300 $(384) $(2,131) $6,666
------- -------- ------- ----- ------- ------
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------- -------- ------- ----- ------- ------
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------- -------- ------- ----- ------- ------
Other comprehensive
income (Loss)..........
------- -------- ------- ----- ------- ------
Comprehensive Income.... $21,298 $(20,996) $21,300 $(384) $(2,131) $6,666
======= ======== ======= ===== ======= ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
160
DOMINION RESERVES, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion
Gas Dominion
Processing Dominion Great Lakes Reserves Dominion Phoenix
MI, Inc. Midwest Compression, Gulf Reserves Dominion
(Page 168) Energy, Inc. Inc. Coast, Inc. Indiana, Inc. Energy, LLC
---------- ------------ ------------ ----------- ------------- -----------
Net Income.............. $1,624 $17,662 $1,213 $2,135 $(5,964) $173
------ ------- ------ ------ ------- ----
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------ ------- ------ ------ ------- ----
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------ ------- ------ ------ ------- ----
Other comprehensive
income (Loss)..........
------ ------- ------ ------ ------- ----
Comprehensive Income.... $1,624 $17,662 $1,213 $2,135 $(5,964) $173
====== ======= ====== ====== ======= ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
161
DOMINION RESERVES, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion
Dominion Dominion Appalachian
Reserves, Consolidating Dominion Cypress Appalachian Development
Inc. Entries and Reserves, Energy, Development, Properties
Consolidated Adjustments Inc. Inc. Inc. LLC
------------ ------------- --------- ------- ------------ -----------
Cash flows from (used
in) operating
activities:
Net income.............. $ 21,298 $ (20,996) $ 21,300 $ (384) $ (2,131) $ 6,666
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization.......... 36,231 6,957 7 560 6,675
Deferred income taxes.. 2,252 3,287 (2,263) (67) 823
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... (282,040) 152,817 (466,188) 81 34,909 8,927
Inventories............ 230 (110)
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. 355,535 (152,817) 536,792 280 (27,829) (29,151)
Accrued interest and
taxes................. (5,743) (3,143) 2,256 307 (1,398)
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other.................. (13,672) 20,996 (25,888) (61)
--------- --------- --------- ------- -------- --------
Net cash flows from
operating activities.. 114,091 73,007 (23) 5,688 (7,458)
--------- --------- --------- ------- -------- --------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (3,037) (1,282)
Acquisition of
exploration and
production assets...... (24,016) (13,973) (506) (6,795)
Loan originations.......
Repayments of loan
originations...........
Sale of businesses...... (19)
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments.......
Other .................. 14,399 11,318 1,658
--------- --------- --------- ------- -------- --------
Net cash flow used in
investing activities.. (12,673) (2,655) (130) (6,795)
--------- --------- --------- ------- -------- --------
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ (87,104) (56,572) 23 (5,724) 14,253
Issuance of long term
debt...................
Repayment of long term
debt...................
Common dividend
payments............... (18,600) (18,600)
Other................... (29)
--------- --------- --------- ------- -------- --------
Net cash flow from (used
in) financing
activities............. (105,733) (75,172) 23 (5,724) 14,253
--------- --------- --------- ------- -------- --------
Increase (decrease) in
cash and cash
equivalents............ (4,315) (4,820) (166)
Cash and cash
equivalents at
beginning of the year.. 1,450 949 233
--------- --------- --------- ------- -------- --------
Cash and cash
equivalents at end of
the year............... $ (2,865) $ -- $ (3,871) $ -- $ 67 $ --
========= ========= ========= ======= ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
162
DOMINION RESERVES, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS--(Continued)
For The Year Ended December 31, 2000
(Thousands)
Dominion
Gas Dominion Dominion Dominion Phoenix
Processing Midwest Great Lakes Reserves Reserves Dominion
MI, Inc. Energy, Compression, Gulf Coast, Indiana, Energy,
(Page 169) Inc. Inc. Inc. Inc. LLC
---------- -------- ------------ ----------- -------- --------
Cash flows from (used
in) operating
activities:
Net income.............. $ 1,624 $ 17,662 $ 1,213 $ 2,135 $(5,964) $ 173
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle.............
Restructuring and other
acquisition related
costs.................
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization.......... 1,320 18,938 392 30 1,163 189
Deferred income taxes.. 369 (1,940) 255 1,383 406 (1)
Deferred fuel expense..
Changes in current
assets and liabilities:
Accounts receivable.... (1,527) 6,741 (1,568) (393) (3,008) (12,831)
Inventories............ (1,549) 104 1785
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. 613 (5,579) (75) 215 163 32,923
Accrued interest and
taxes................. (95) (915) (82) (276) (2,515) 118
Commodity contract
assets and
liabilities...........
Net assets held for
sale..................
Other.................. 519 539 444 2 10,189 (20,412)
------- -------- ------- ------- ------- --------
Net cash flows from
operating activities.. 2,823 33,897 683 3,096 434 1,944
------- -------- ------- ------- ------- --------
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (80) (2,272) 594 3
Acquisition of
exploration and
production assets...... (2,492) (247) (3)
Loan originations.......
Repayments of loan
originations...........
Sale of businesses...... (19)
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments.......
Other .................. (67) 2,622 (59) (1,073)
------- -------- ------- ------- ------- --------
Net cash flow used in
investing activities.. (147) (2,142) 347 (59) (1,092)
------- -------- ------- ------- ------- --------
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ (2,136) (31,606) (1,002) (3,096) (375) (869)
Issuance of long term
debt...................
Repayment of long term
debt...................
Common dividend
payments...............
Other................... (29)
------- -------- ------- ------- ------- --------
Net cash flow from (used
in) financing
activities............. (2,136) (31,606) (1,031) (3,096) (375) (869)
------- -------- ------- ------- ------- --------
Increase (decrease) in
cash and cash
equivalents............ 540 149 (1) (17)
Cash and cash
equivalents at
beginning of the year.. 188 19 15 29 17
------- -------- ------- ------- ------- --------
Cash and cash
equivalents at end of
the year............... $ 728 $ 168 $ 14 $ -- $ 29 $ --
======= ======== ======= ======= ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
163
DOMINION GAS PROCESSING MI, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion Gas
Processing Consolidating Dominion Gas
MI, Inc. Entries and Processing Frederic
Consolidated Adjustments MI, Inc. HOF, LP
------------ ------------- ------------ --------
Current assets:
Cash and cash equivalents..... $ 728 $ -- $ -- $ 728
Accounts receivable:
Customers (less allowance)...
Other........................ 4,702 3,541 1,161
Inventories:
Materials and supplies.......
Fossil fuel..................
Gas stored--current portion..
Investment securities--
trading......................
Mortgage loans held for sale..
Commodity contract assets.....
Unrecovered gas costs.........
Broker margin deposits........
Prepayments...................
Net assets held for sale......
Other......................... 25 25
------- -------- ------- -------
Total current assets......... 5,455 3,541 1,914
------- -------- ------- -------
Investments:
Loans receivable, net.........
Investments in affiliates..... 7,357 7,357
Available for sale
securities...................
Nuclear decommissioning trust
funds........................
Investment in real estate.....
Other......................... 506 (13,857) 14,363
------- -------- ------- -------
Total net investments........ 7,863 (13,857) 21,720
------- -------- ------- -------
Property, plant and equipment:
Property, plant and
equipment.................... 27,356 27,356
Less accumulated depreciation,
depletion and amortization... 14,316 14,316
------- -------- ------- -------
Property, plant and
equipment, net.............. 13,040 13,040
------- -------- ------- -------
Deferred charges and other
assets:
Goodwill, net.................
Regulatory assets, net........
Prepaid pension costs.........
Other, net....................
------- -------- ------- -------
Total deferred charges and
other assets
------- -------- ------- -------
Total Assets.................. $26,358 $(13,857) $25,261 $14,954
======= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
164
DOMINION GAS PROCESSING MI, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion Gas
Processing Consolidating Dominion Gas
MI, Inc. Entries and Processing Frederic
Consolidated Adjustments MI, Inc. HOF, LP
------------ ------------- ------------ --------
Current liabilities:
Securities due within one
year.........................
Short-term debt...............
Accounts payable, trade....... $ 944 $ -- $ 731 $ 213
Accrued interest..............
Accrued payroll...............
Accrued taxes................. (104) (104)
Commodity contract
liabilities..................
Other.........................
------- -------- ------- -------
Total current liabilities.... 840 627 213
------- -------- ------- -------
Long term debt................ 13,330 13,330
------- -------- ------- -------
Deferred credits and other
liabilities:
Deferred income taxes......... 4,149 4,149
Deferred investment tax
credits......................
Other.........................
------- -------- ------- -------
Total deferred credits and
other liabilities........... 4,149 4,149 0
------- -------- ------- -------
Total Liabilities............. 18,319 18,106 213
------- -------- ------- -------
Minority interest............. 884 884
Obligated mandatorily
redeemable preferred
securities of subsidiary
trusts.......................
Preferred stock no subject to
mandatory redemption.........
Common shareholders' equity:
Common Stock.................. 3 (12,391) 3 12,391
Other paid in capital......... 8 8
Accumulated other
comprehensive income.........
Retained earnings............. 7,144 (2,350) 7,144 2,350
------- -------- ------- -------
Total common shareholders'
equity...................... 7,155 (14,741) 7,155 14,741
------- -------- ------- -------
Total Liabilities and
shareholders' equity......... $26,358 $(13,857) $25,261 $14,954
======= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
165
DOMINION GAS PROCESSING MI, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion Gas
Processing Consolidating Dominion Gas
MI, Inc. Entries and Processing Frederic
Consolidated Adjustments MI, Inc. HOF, LP
------------ ------------- ------------ --------
Operating Revenue:
Regulated sales...............
Electric.....................
Gas..........................
Nonregulated sales............
Electric.....................
Gas..........................
Gas transportation and
storage......................
Oil and gas production........
Other......................... $6,477 $(2,209) $3,382 $5,304
------ ------- ------ ------
Total........................ 6,477 (2,209) 3,382 5,304
------ ------- ------ ------
Expenses:
Fuel, net.....................
Purchased power capacity,
net..........................
Purchased gas, net............
Liquids, capacity and other
products purchased...........
Restructuring and other
acquisition related costs....
Other operation and
maintenance.................. 1,545 1,545
Depreciation, depletion and
amortization................. 1,440 1,440
Other taxes...................
------ ------- ------ ------
Total........................ 2,985 2,985
------ ------- ------ ------
Income from Operations....... 3,492 (2,209) 3,382 2,319
Other Income.................. 31 31
------ ------- ------ ------
Income before interest and
income taxes................ 3,523 (2,209) 3,382 2,350
------ ------- ------ ------
Interest and related charges:
Interest charges.............. 883 883
Preferred dividends and
distributions of subsidiary
trusts.......................
------ ------- ------ ------
Total........................ 883 883
------ ------- ------ ------
Income before provision for
income tax, minority
interest, extraordinary item
and cumulative effect of a
change in accounting
principle................... 2,640 (2,209) 2,499 2,350
Income taxes.................. 875 875
Minority interests............ 141 141
------ ------- ------ ------
Income before extraordinary
item and cumulative effect
of a change in accounting
principle................... 1,624 (2,350) 1,624 2,350
Extraordinary item, net.......
Cumulative effect of a change
in accounting principle,
net..........................
------ ------- ------ ------
Net Income................... $1,624 $(2,350) $1,624 $2,350
====== ======= ====== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
166
DOMINION GAS PROCESSING MI, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
Consolidating Balance Sheet
As of December 31, 2000
Dominion Gas
Processing Consolidating Dominion Gas
MI, Inc. Entries and Processing Frederic
Consolidated Adjustments MI, Inc. HOF, LP
------------ ------------- ------------ --------
Balance at December 31, 1999.. $5,531 $(15,526) $5,531 $15,526
------ -------- ------ -------
Issuance of stock--CNG
acquisition................
Issuance of stock through
public offering............
Issuance of stock through
employee, executive loan
and direct stock purchase
plans......................
Stock repurchase and
retirement.................
Premium income equity
securities.................
Other common stock
activity................... 3 (12,391) 3 12,391
Comprehensive income........ 1,624 (2,350) 1,624 2,350
Dividends and other
adjustments................ (3) 15,526 (3) (15,526)
------ -------- ------ -------
Balance at December 31, 2000.. $7,155 $(14,741) $7,155 $14,741
====== ======== ====== =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
167
DOMINION GAS PROCESSING MI, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion Gas
Processing Consolidating Dominion Gas
MI, Inc. Entries and Processing Frederic
Consolidated Adjustments MI, Inc. HOF, LP
------------ ------------- ------------ --------
Net Income.................... $1,624 $(2,350) $1,624 $2,350
------ ------- ------ ------
Other comprehensive income,
net of tax:
Unrealized holding gains
(losses) on investment
securities..................
Less: reclassification
adjustment for gains
(losses) realized in net
income......................
------ ------- ------ ------
Unrealized gains (losses) on
investment securities.......
Foreign currency translation
adjustment..................
Minimum pension liability
adjustment..................
------ ------- ------ ------
Other comprehensive income
(Loss).......................
------ ------- ------ ------
Comprehensive Income.......... $1,624 $(2,350) $1,624 $2,350
====== ======= ====== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
168
DOMINION GAS PROCESSING MI, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
Dominion Gas Dominion
Processing Consolidating Gas
MI, Inc. Entries and Processing Frederic
Consolidated Adjustments MI, Inc. HOF, LP
------------ ------------- ---------- --------
Cash flows from (used in)
operating activities:
Net income..................... $ 1,624 $(2,350) $ 1,624 $ 2,350
Adjustments to reconcile net
income to net cash from
operating activities:
Cumulative effect of a change
in accounting principle......
Restructuring and other
acquisition related costs....
DCI impairment losses.........
Extraordinary item, net.......
Impairment of regulatory
assets.......................
Gains on sales of
subsidiaries.................
Depreciation and
amortization................. 1,320 1,320
Deferred income taxes......... 369 369
Deferred fuel expense.........
Changes in current assets and
liabilities:
Accounts receivable........... (1,527) (1,596) 69
Inventories...................
Unrecovered gas costs.........
Purchase and origination of
mortgages....................
Proceeds from sale and
principal collections of
mortgages....................
Accounts payable, trade....... 613 528 85
Accrued interest and taxes.... (95) (95)
Commodity contract assets and
liabilities..................
Net assets held for sale......
Other......................... 519 2,350 1,306 (3,137)
------- ------- ------- -------
Net cash flows from operating
activities................... 2,823 2,136 687
Cash flow from (used in)
investing activities:
Plant construction and other
property additions............ (80) (80)
Acquisition of exploration and
production assets.............
Loan originations..............
Repayments of loan
originations..................
Sale of businesses.............
Sale of marketable securities..
Purchase of debt securities....
Acquisition of businesses......
Other investments..............
Other.......................... (67) (67)
------- ------- ------- -------
Net cash flow used in
investing activities......... (147) (147)
Cash flow from (used in)
financing activities:
Issuance of common stock.......
Repurchase of common stock.....
Issuance (repayment) of short
term debt..................... (2,136) (2,136)
Issuance of long term debt.....
Repayment of long term debt....
Common dividend payments.......
Other.........................
------- ------- ------- -------
Net cash flow from (used in)
financing activities.......... (2,136) (2,136)
Increase (decrease) in cash and
cash equivalents.............. 540 540
Cash and cash equivalents at
beginning of the year......... 188 188
------- ------- ------- -------
Cash and cash equivalents at
end of the year............... $ 728 $ -- $ -- $ 728
======= ======= ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
169
DOMINION SAN JUAN, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion San Consolidating
Juan, Inc. Entries and Dominion San San Juan
Consolidated Adjustments Juan, Inc. Partners, LLC
------------ ------------- ------------ -------------
Current assets:
Cash and cash
equivalents.............
Accounts receivable:
Customers (less
allowance).............
Other................... $ 51,430 $ -- $ -- $ 51,430
Inventories:
Materials and supplies..
Fossil fuel.............
Gas stored--current
portion................
Investment securities--
trading.................
Mortgage loans held for
sale....................
Commodity contract
assets..................
Unrecovered gas costs....
Broker margin deposits...
Prepayments..............
Net assets held for
sale....................
Other....................
-------- -------- ------- --------
Total current assets.... 51,430 51,430
-------- -------- ------- --------
Investments:
Loans receivable, net....
Investments in
affiliates..............
Available for sale
securities..............
Nuclear decommissioning
trust funds.............
Investment in real
estate..................
Other.................... 0 (74,048) 74,048
-------- -------- ------- --------
Total net investments... 0 (74,048) 74,048
-------- -------- ------- --------
Property, plant and
equipment:
Property, plant and
equipment............... 124,315 124,315
Less accumulated
depreciation, depletion
and amortization........ 23,928 23,928
-------- -------- ------- --------
Property, plant and
equipment, net......... 100,387 100,387
-------- -------- ------- --------
Deferred charges and
other assets:
Goodwill, net............
Regulatory assets, net...
Prepaid pension costs....
Other, net............... 70 70
-------- -------- ------- --------
Total deferred charges
and other assets....... 70 70
-------- -------- ------- --------
Total Assets............. $151,887 $(74,048) $74,048 $151,887
======== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of
this statement.
170
DOMINION SAN JUAN, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion San Consolidating San Juan
Juan, Inc. Entries and Dominion San Partners,
Consolidated Adjustments Juan, Inc. LLC
------------ ------------- ------------ ---------
Current liabilities:
Securities due within one
year........................
Short-term debt..............
Accounts payable, trade...... $ 26,573 $ -- $ -- $ 26,573
Accrued interest.............
Accrued payroll..............
Accrued taxes................ 1,312 1,312
Commodity contract
liabilities.................
Other........................
-------- -------- ------- --------
Total current liabilities... 27,885 27,885
-------- -------- ------- --------
Long term debt............... 49,283 49,283
-------- -------- ------- --------
Deferred credits and other
liabilities:
Deferred income taxes........ 671 671
Deferred investment tax
credits.....................
Other........................
-------- -------- ------- --------
Total deferred credits and
other liabilities.......... 671 671
-------- -------- ------- --------
Total Liabilities............ 77,839 77,839
-------- -------- ------- --------
Minority interest............
Obligated mandatorily
redeemable preferred
securities of subsidiary
trusts......................
Preferred stock no subject to
mandatory redemption........
Common shareholders' equity:
Common Stock.................
Other paid in capital........ 49,122 (49,122) 49,122 49,122
Accumulated other
comprehensive income........
Retained earnings............ 24,926 (24,926) 24,926 24,926
-------- -------- ------- --------
Total common shareholders'
equity..................... 74,048 (74,048) 74,048 74,048
-------- -------- ------- --------
Total Liabilities and
shareholders' equity........ $151,887 $(74,048) $74,048 $151,887
======== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
171
DOMINION SAN JUAN, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion San Consolidating San Juan
Juan, Inc. Entries and Dominion San Partners,
Consolidated Adjustments Juan, Inc. LLC
------------ ------------- ------------ ---------
Operating Revenue:
Regulated sales
Electric...................
Gas........................
Nonregulated sales
Electric...................
Gas........................
Gas transportation and
storage....................
Oil and gas production...... $ 30,424 $ -- $ -- $ 30,424
Other....................... (17,146) 17,146
-------- -------- ------- --------
Total...................... 30,424 (17,146) 17,146 30,424
-------- -------- ------- --------
Expenses:
Fuel, net...................
Purchased power capacity,
net........................
Purchased gas, net..........
Liquids, capacity and other
products purchased.........
Restructuring and other
acquisition related costs..
Other operation and
maintenance................ 7,909 7,909
Depreciation, depletion and
amortization............... 9,162 9,162
Other taxes................. 2,980 2,980
-------- -------- ------- --------
Total...................... 20,051 20,051
-------- -------- ------- --------
Income from Operations..... 10,373 (17,146) 17,146 10,373
Other Income................
-------- -------- ------- --------
Income before interest and
income taxes.............. 10,373 (17,146) 17,146 10,373
-------- -------- ------- --------
Interest and related
charges:
Interest charges............ 3,432 3,432
Preferred dividends and
distributions of subsidiary
trusts.....................
-------- -------- ------- --------
Total...................... 3,432 3,432
-------- -------- ------- --------
Income before provision for
income tax, minority
interest, extraordinary
item and cumulative effect
of a change in accounting
principle................. 6,941 (17,146) 17,146 6,941
Income taxes................ (10,206) (10,206)
Minority interests..........
-------- -------- ------- --------
Income before extraordinary
item and cumulative effect
of a change in accounting
principle................. 17,147 (17,146) 17,146 17,147
Extraordinary item, net.....
Cumulative effect of a
change in accounting
principle, net.............
-------- -------- ------- --------
Net Income................. $ 17,147 $(17,146) $17,146 $ 17,147
======== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
172
DOMINION SAN JUAN, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion San Consolidating San Juan
Juan, Inc. Entries and Dominion San Partners,
Consolidated Adjustments Juan, Inc. LLC
------------ ------------- ------------ ---------
Balance at December 31,
1999........................ $56,902 $(56,902) $56,902 $56,902
------- -------- ------- -------
Issuance of stock--CNG
acquisition...............
Issuance of stock through
public offering...........
Issuance of stock through
employee, executive loan
and direct stock purchase
plans.....................
Stock repurchase and
retirement................
Premium income equity
securities................
Other common stock
activity..................
Comprehensive income....... 17,147 17,147
Dividends and other
adjustments............... (1) (17,146) 17,146 (1)
------- -------- ------- -------
Balance at December 31,
2000........................ $74,048 $(74,048) $74,048 $74,048
======= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
173
DOMINION SAN JUAN, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED DECEMBER 31, 2000
(Thousands)
Dominion Consolidating
San Juan, Inc. Entries and Dominion San Juan
Consolidated Adjustments San Juan, Inc. Partners, LLC
-------------- ------------- -------------- -------------
Net Income.............. $17,147 $(17,146) $17,146 $17,147
------- -------- ------- -------
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------- -------- ------- -------
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------- -------- ------- -------
Other comprehensive
income (Loss)..........
------- -------- ------- -------
Comprehensive Income.... $17,147 $(17,146) $17,146 $17,147
======= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
174
DOMINION SAN JUAN, INC.
CONSOLIDATING STATEMENTS OF CASH FLOW
For the Year Ended December 31, 2000
(Thousands)
Dominion San Consolidating Dominion San Juan
Juan, Inc. Entries and San Juan, Partners,
Consolidated Adjustments Inc. LLC
------------ ------------- --------- ---------
Cash flows from (used in)
operating activities:
Net income..................... $ 17,147 $(17,146) $17,146 $ 17,147
Adjustments to reconcile net
income to net cash from
operating activities:
Cumulative effect of a change
in accounting principle......
Restructuring and other
acquisition related costs....
DCI impairment losses.........
Extraordinary item, net.......
Impairment of regulatory
assets.......................
Gains on sales of
subsidiaries.................
Depreciation and
amortization................. 8,639 8,639
Deferred income taxes......... 137 137
Deferred fuel expense.........
Changes in current assets and
liabilities:
Accounts receivable........... (31,414) (31,414)
Inventories...................
Unrecovered gas costs.........
Purchase and origination of
mortgages....................
Proceeds from sale and
principal collections of
mortgages....................
Accounts payable, trade....... 22,597 22,597
Accrued interest and taxes.... (1,042) (1,042)
Commodity contract assets and
liabilities..................
Net assets held for sale......
Other......................... (1) (1)
-------- -------- ------- --------
Net cash flows from operating
activities................... 16,063 (17,146) 17,146 16,063
-------- -------- ------- --------
Cash flow from (used in)
investing activities:
Plant construction and other
property additions............ (573) (573)
Acquisition of exploration and
production assets............. (646) (646)
Loan originations..............
Repayments of loan
originations..................
Sale of businesses.............
Sale of marketable securities..
Purchase of debt securities....
Acquisition of businesses......
Other investments..............
Other.......................... 67 67
-------- -------- ------- --------
Net cash flow used in
investing activities......... (1,152) (1,152)
-------- -------- ------- --------
Cash flow from (used in)
financing activities:
Issuance of common stock.......
Repurchase of common stock.....
Issuance (repayment) of short
term debt..................... (14,911) (14,911)
Issuance of long term debt.....
Repayment of long term debt....
Common dividend payments.......
Other..........................
-------- -------- ------- --------
Net cash flow from (used in)
financing activities.......... (14,911) (14,911)
-------- -------- ------- --------
Increase (decrease) in cash and
cash equivalents.............. (17,146) 17,146
Cash and cash equivalents at
beginning of the year.........
-------- -------- ------- --------
Cash and cash equivalents at
end of the year............... $ -- $(17,146) $17,146 $ --
======== ======== ======= ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
175
DOMINION ENERGY CANADA LIMITED
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Dominion
Energy Canada Consolidating Domcan East Domcan
Limited Entries and Alberta Boundary
Consolidated Adjustments Ltd. Corp.
------------- ------------- ----------- --------
Current assets:
Cash and cash equivalents..... $ 7,606 $-- $ 5,759 $ 1,847
Accounts receivable:
Customers (less allowance)...
Other........................ 40,896 30,632 10,264
Inventories:
Materials and supplies.......
Fossil fuel..................
Gas stored--current portion..
Investment securities--
trading......................
Mortgage loans held for sale..
Commodity contract assets.....
Unrecovered gas costs.........
Broker margin deposits........
Prepayments...................
Net assets held for sale......
Other......................... 5,346 2,869 2,477
-------- ---- -------- --------
Total current assets......... 53,848 39,260 14,588
-------- ---- -------- --------
Investments:
Loans receivable, net.........
Investments in affiliates..... 14,208 14,208
Available for sale
securities...................
Nuclear decommissioning trust
funds........................
Investment in real estate.....
Other......................... 24 24
-------- ---- -------- --------
Total net investments........ 14,232 14,232
-------- ---- -------- --------
Property, plant and equipment:
Property, plant and
equipment.................... 578,476 240,904 337,572
Less accumulated depreciation,
depletion and amortization... 89,834 45,640 44,194
-------- ---- -------- --------
Property, plant and
equipment, net.............. 488,642 195,264 293,378
-------- ---- -------- --------
Deferred charges and other
assets:
Goodwill, net.................
Regulatory assets, net........
Prepaid pension costs.........
Other, net.................... 5,783 3,343 2,440
-------- ---- -------- --------
Total deferred charges and
other assets................ 5,783 3,343 2,440
-------- ---- -------- --------
Total Assets.................. $562,505 $-- $252,099 $310,406
======== ==== ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
176
DOMINION ENERGY CANADA LIMITED
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Dominion
Energy Canada Consolidating Domcan East Domcan
Limited Entries and Alberta Boundary
Consolidated Adjustments Ltd. Corp.
------------- ------------- ----------- --------
Current liabilities:
Securities due within one
year........................
Short-term debt.............. $ 2,502 $ -- $ -- $ 2,502
Accounts payable, trade...... 7,478 1,467 6,011
Accrued interest.............
Accrued payroll..............
Accrued taxes................ 2,332 1,704 628
Commodity contract
liabilities.................
Other........................ 37,566 11,129 26,437
-------- ----- -------- --------
Total current liabilities... 49,878 14,300 35,578
-------- ----- -------- --------
Long term debt............... 382,323 163,143 219,180
-------- ----- -------- --------
Deferred credits and other
liabilities:
Deferred income taxes........ 13,412 48,980 (35,568)
Deferred investment tax
credits.....................
Other........................ 9,579 4,687 4,892
-------- ----- -------- --------
Total deferred credits and
other liabilities.......... 22,991 53,667 (30,676)
-------- ----- -------- --------
Total Liabilities............ 455,192 231,110 224,082
-------- ----- -------- --------
Minority interest............
Obligated mandatorily
redeemable preferred
securities of subsidiary
trusts......................
Preferred stock no subject to
mandatory redemption........
Common shareholders' equity:
Common Stock.................
Other paid in capital........ 92,207 14,521 77,686
Accumulated other
comprehensive income........ (9,971) (1,228) (8,743)
Retained earnings............ 25,077 7,696 17,381
-------- ----- -------- --------
Total common shareholders'
equity..................... 107,313 20,989 86,324
-------- ----- -------- --------
Total Liabilities and
shareholders' equity........ $562,505 $ -- $252,099 $310,406
======== ===== ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
177
DOMINION ENERGY CANADA LIMITED
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Dominion
Energy
Canada Consolidating Domcan East Domcan
Limited Entries and Alberta Boundary
Consolidated Adjustments Ltd. Corp.
------------ ------------- ----------- --------
Operating Revenue:
Regulated sales...............
Electric.....................
Gas..........................
Nonregulated sales............
Electric.....................
Gas..........................
Gas transportation and
storage......................
Oil and gas production........ $146,304 $-- $56,471 $89,833
Other......................... 32,496 13,174 19,322
-------- ---- ------- -------
Total........................ 178,800 69,645 109,155
-------- ---- ------- -------
Expenses:
Fuel, net.....................
Purchased power capacity,
net..........................
Purchased gas, net............
Liquids, capacity and other
products purchased...........
Restructuring and other
acquisition related costs....
Other operation and
maintenance.................. 47,961 15,699 32,262
Depreciation, depletion and
amortization................. 50,294 19,893 30,401
Other taxes................... 4,205 2,318 1,887
-------- ---- ------- -------
Total........................ 102,460 37,910 64,550
-------- ---- ------- -------
Income from Operations....... 76,340 31,735 44,605
Other Income.................. (5,744) (798) (4,946)
-------- ---- ------- -------
Income before interest and
income taxes................ 70,596 30,937 39,659
-------- ---- ------- -------
Interest and related charges:
Interest charges.............. 27,042 10,124 16,918
Preferred dividends and
distributions of subsidiary
trusts.......................
-------- ---- ------- -------
Total........................ 27,042 10,124 16,918
-------- ---- ------- -------
Income before provision for
income tax, minority
interest, extraordinary item
and cumulative effect of a
change in accounting
principle................... 43,554 20,813 22,741
Income taxes.................. 21,519 9,497 12,022
Minority interests............
-------- ---- ------- -------
Income before extraordinary
item and cumulative effect
of a change in accounting
principle................... 22,035 11,316 10,719
Extraordinary item, net.......
Cumulative effect of a change
in accounting principle,
net..........................
-------- ---- ------- -------
Net Income................... $ 22,035 $-- $11,316 $10,719
======== ==== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
178
DOMINION ENERGY CANADA LIMITED
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Dominion
Energy
Canada Consolidating Domcan East Domcan
Limited Entries and Alberta Boundary
Consolidated Adjustments Ltd. Corp.
------------ ------------- ----------- --------
Balance at December 31, 1999... $ 92,991 $-- $13,142 $79,849
-------- ---- ------- -------
Issuance of stock--CNG
acquisition.................
Issuance of stock through
public offering.............
Issuance of stock through
employee, executive loan and
direct stock purchase
plans.......................
Stock repurchase and
retirement..................
Premium income equity
securities..................
Other common stock activity..
Comprehensive income......... 15,295 11,794 3,501
Dividends and other
adjustments................. (973) (3,947) 2,974
-------- ---- ------- -------
Balance at December 31, 2000... $107,313 $-- $20,989 $86,324
======== ==== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
179
DOMINION ENERGY CANADA LIMITED
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Dominion
Energy
Canada Consolidating Domcan
Limited Entries and Domcan East Boundary
Consolidated Adjustments Alberta Ltd. Corp.
------------ ------------- ------------ --------
Net Income.................... $22,035 $ -- $11,316 $10,719
------- ----- ------- -------
Other comprehensive income,
net of tax:
Unrealized holding gains
(losses) on investment
securities..................
Less: reclassification
adjustment for gains
(losses) realized in net
income......................
------- ----- ------- -------
Unrealized gains (losses) on
investment securities.......
Foreign currency translation
adjustment.................. (6,740) 478 (7,218)
------- ----- ------- -------
Minimum pension liability
adjustment..................
Other comprehensive income
(Loss)....................... (6,740) 478 (7,218)
------- ----- ------- -------
Comprehensive Income.......... $15,295 $ -- $11,794 $ 3,501
======= ===== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
180
DOMINION ENERGY CANADA LIMITED
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Dominion
Energy
Canada Consolidating Domcan East Domcan
Limited Entries and Alberta Boundary
Consolidated Adjustments Ltd. Corp.
------------ ------------- ----------- --------
Cash flows from (used in)
operating activities:
Net income.................... $ 22,035 $-- $ 11,316 $ 10,719
Adjustments to reconcile net
income to net cash from
operating activities:
Cumulative effect of a change
in accounting principle.....
Restructuring and other
acquisition related costs...
DCI impairment losses........
Extraordinary item, net......
Impairment of regulatory
assets......................
Gains on sales of
subsidiaries................
Depreciation and
amortization................ 50,296 19,898 30,398
Deferred income taxes........ 21,471 9,408 12,063
Deferred fuel expense........
Changes in current assets and
liabilities:
Accounts receivable.......... (26,477) (7,334) (19,143)
Inventories.................. 77 (245) 322
Unrecovered gas costs........
Purchase and origination of
mortgages...................
Proceeds from sale and
principal collections of
mortgages...................
Accounts payable, trade...... 751 219 532
Accrued interest and taxes... 1,618 185 1,433
Commodity contract assets and
liabilities.................
Net assets held for sale.....
Other........................ 10,798 (5,846) 16,644
-------- ---- -------- --------
Net cash flows from operating
activities.................. 80,569 27,601 52,968
-------- ---- -------- --------
Cash flow from (used in)
investing activities:
Plant construction and other
property additions...........
Acquisition of exploration and
production assets............ (78,639) (18,151) (60,488)
Loan originations.............
Repayments of loan
originations.................
Sale of businesses............
Sale of marketable
securities...................
Purchase of debt securities...
Acquisition of businesses.....
Other investments............. 6,935 6,935
Other......................... (2,330) (2,134) (196)
-------- ---- -------- --------
Net cash flow used in
investing activities........ (74,034) (13,350) (60,684)
-------- ---- -------- --------
Cash flow from (used in)
financing activities:
Issuance of common stock......
Repurchase of common stock....
Issuance (repayment) of short
term debt.................... (1,831) (11,054) 9,223
Issuance of long term debt....
Repayment of long term debt... (3,730) (278) (3,452)
Common dividend payments......
Other......................... 234 234
-------- ---- -------- --------
Net cash flow from (used in)
financing activities......... (5,327) (11,098) 5,771
-------- ---- -------- --------
Increase (decrease) in cash
and cash equivalents......... 1,208 3,153 (1,945)
Cash and cash equivalents at
beginning of the year........ 6,398 2,606 3,792
-------- ---- -------- --------
Cash and cash equivalents at
end of the year.............. $ 7,606 $-- $ 5,759 $ 1,847
======== ==== ======== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
181
VIRGINIA ELECTRIC AND POWER COMPANY
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Consolidating Virginia Virginia Power
Virginia Power Entries and Virginia Power Fuel Services, Inc. VP Capital
Consolidated Adjustments Power Corporation (Page 188) VPSC Trust I
-------------- ------------- ----------- ----------- -------------- ---- ----------
Current assets:
Cash and cash
equivalents............ $ 140,749 $ -- $ 137,957 $ 1 $ 2,791 $-- $ --
Accounts receivable:
Customers (less
allowance)............ 1,133,802 910,315 223,487
Other.................. 117,416 (454,182) 359,113 73,280 139,205
Inventories:
Materials and
supplies.............. 128,688 128,688
Fossil fuel............ 101,972 36,547 65,425
Gas stored--current
portion................
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets................. 1,046,569 403,206 643,363
Unrecovered gas costs...
Broker margin deposits.. 2,991 42,398 (39,407)
Prepayments............. 18,665 17,860 805
Net assets held for
sale...................
Other................... 141,989 138,025 3,964
----------- --------- ----------- ------- ---------- ---- --------
Total current assets... 2,832,841 (454,182) 2,174,109 1 973,708 139,205
----------- --------- ----------- ------- ---------- ---- --------
Investments:
Loans receivable, net...
Investments in
affiliates............. (28,067) 28,067
Available for sale
securities.............
Nuclear decommissioning
trust funds............ 851,453 851,453
Investment in real
estate.................
Other................... 62,216 38,984 23,232
----------- --------- ----------- ------- ---------- ---- --------
Total net investments.. 913,669 (28,067) 918,504 23,232
----------- --------- ----------- ------- ---------- ---- --------
Property, plant and
equipment:
Property, plant and
equipment.............. 16,949,522 16,910,087 34,537 4,898
Less accumulated
depreciation, depletion
and amortization....... 7,784,352 7,784,189 163
----------- --------- ----------- ------- ---------- ---- --------
Property, plant and
equipment, net........ 9,165,170 9,125,898 34,537 4,735
----------- --------- ----------- ------- ---------- ---- --------
Deferred charges and
other assets:
Goodwill, net...........
Regulatory assets, net.. 235,172 235,172
Prepaid pension costs... 14,733 14,733
Other, net.............. 169,274 104,573 64,701
----------- --------- ----------- ------- ---------- ---- --------
Total deferred charges
and other assets...... 419,179 354,478 64,701
----------- --------- ----------- ------- ---------- ---- --------
Total Assets............ $13,330,859 $(482,249) $12,572,989 $34,538 $1,066,376 $-- $139,205
=========== ========= =========== ======= ========== ==== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
182
VIRGINIA ELECTRIC AND POWER COMPANY
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Virginia Consolidating Virginia Virginia Power VP
Power Entries and Virginia Power Fuel Services, Inc. Capital
Consolidated Adjustments Power Corporation (Page 189) VPSC Trust I
------------ ------------- ----------- ----------- -------------- ---- --------
Current liabilities:
Securities due within one year..... $ 240,650 $ -- $ 240,650 $ -- $ -- $-- $ --
Short-term debt.................... 713,810 713,810
Accounts payable, trade............ 1,004,175 (454,182) 1,040,610 34,537 383,210
Accrued interest................... 93,851 93,851
Accrued payroll.................... 88,308 87,237 1,071
Accrued taxes...................... 60,219 56,069 4,150
Commodity contract liabilities..... 993,352 394,868 598,484
Other.............................. 155,169 155,741 (602) 30
----------- --------- ----------- ------- ---------- ---- --------
Total current liabilities.......... 3,349,534 (454,182) 2,782,836 34,537 986,313 30
----------- --------- ----------- ------- ---------- ---- --------
Long term debt..................... 3,561,674 3,561,674
----------- --------- ----------- ------- ---------- ---- --------
Deferred credits and other
liabilities:
Deferred income taxes.............. 1,494,188 1,492,496 1,692
Deferred investment tax credits.... 129,580 129,580
Other.............................. 302,849 248,369 54,480
----------- --------- ----------- ------- ---------- ---- --------
Total deferred credits and other
liabilities........................ 1,926,617 1,870,445 56,172
----------- --------- ----------- ------- ---------- ---- --------
Total Liabilities.................. 8,837,825 (454,182) 8,214,955 34,537 1,042,485 30
----------- --------- ----------- ------- ---------- ---- --------
Minority interest..................
Obligated mandatorily redeemable
preferred securities of subsidiary
trusts............................ 135,000 135,000
Preferred stock no subject to
mandatory redemption.............. 509,014 509,014
Common shareholders' equity:
Common Stock....................... 2,737,407 (37,618) 2,737,407 1 33,442 4,175
Other paid in capital.............. 16,274 16,274
Accumulated other comprehensive
income.............................
Retained earnings.................. 1,095,339 9,551 1,095,339 (9,551)
----------- --------- ----------- ------- ---------- ---- --------
Total common shareholders'
equity............................ 3,849,020 (28,067) 3,849,020 1 23,891 4,175
----------- --------- ----------- ------- ---------- ---- --------
Total Liabilities and shareholders'
equity............................ $13,330,859 $(482,249) $12,572,989 $34,538 $1,066,376 $-- $139,205
=========== ========= =========== ======= ========== ==== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
183
VIRGINIA ELECTRIC AND POWER COMPANY
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Virginia
Power
Virginia Consolidating Virginia Services, VP
Power Entries and Virginia Power Fuel Inc. Capital
Consolidated Adjustments Power Corporation (Page 190) VPSC Trust I
------------ ------------- ---------- ----------- ---------- ------ --------
Operating Revenue:
Regulated sales
Electric............... $4,492,022 $ -- $4,492,017 $-- $ 5 $ -- $ --
Gas....................
Nonregulated sales
Electric...............
Gas....................
Gas transportation and
storage................
Oil and gas production..
Other................... 298,671 291,095 4,029 3,547
---------- ------ ---------- ---- ------- ------ --------
Total.................. 4,790,693 4,783,112 4,034 3,547
---------- ------ ---------- ---- ------- ------ --------
Expenses:
Fuel, net............... 1,103,577 1,103,582 (5)
Purchased power
capacity, net.......... 740,108 740,108
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs.................. 71,226 71,226
Other operation and
maintenance............ 956,720 953,040 12,574 1,974 (10,868)
Depreciation, depletion
and amortization....... 557,513 556,992 162 359
Other taxes............. 275,194 274,917 222 55
---------- ------ ---------- ---- ------- ------ --------
Total.................. 3,704,338 3,699,865 12,953 2,388 (10,868)
---------- ------ ---------- ---- ------- ------ --------
Income from
Operations............ 1,086,355 1,083,247 (8,919) 1,159 10,868
Other Income............ 47,044 5,634 41,482 725 (797)
---------- ------ ---------- ---- ------- ------ --------
Income before interest
and income taxes...... 1,133,399 5,634 1,124,729 (8,194) 362 10,868
---------- ------ ---------- ---- ------- ------ --------
Interest and related
charges:
Interest charges........ 285,118 285,118
Preferred dividends and
distributions of
subsidiary trusts...... 46,816 35,948 10,868
---------- ------ ---------- ---- ------- ------ --------
Total.................. 331,934 321,066 10,868
---------- ------ ---------- ---- ------- ------ --------
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. 801,465 5,634 803,663 (8,194) 362
Income taxes............ 279,683 281,881 (2,324) 126
---------- ------ ---------- ---- ------- ------ --------
Minority interests......
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. 521,782 5,634 521,782 (5,870) 236
Extraordinary item, net
Cumulative effect of a
change in accounting
principle, net......... (20,757) (20,757)
---------- ------ ---------- ---- ------- ------ --------
Net Income............. $ 542,539 $5,634 $ 542,539 $-- $(5,870) $ 236 $ --
========== ====== ========== ==== ======= ====== ========
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
184
VIRGINIA ELECTRIC AND POWER COMPANY
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Consolidating Virginia Virginia Power
Virginia Power Entries and Virginia Power Fuel Services, Inc. VP Capital
Consolidated Adjustments Power Corporation (Page 191) VPSC Trust I
-------------- ------------- ---------- ----------- -------------- ------- ----------
Balance at December 31,
1999................... $3,742,352 $(54,393) $3,771,414 $ 1 $ 8,819 $12,336 $4,175
---------- -------- ---------- --- ------- ------- ------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan
and direct stock
purchase plans........
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. (18,626) 22,442 (3,816)
Comprehensive income... 542,539 5,634 542,539 (5,870) 236
Dividends and other
adjustments........... (435,871) 39,318 (464,933) (1,500) (8,756)
---------- -------- ---------- --- ------- ------- ------
Balance at December 31,
2000................... $3,849,020 $(28,067) $3,849,020 $ 1 $23,891 $ -- $4,175
========== ======== ========== === ======= ======= ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
185
VIRGINIA ELECTRIC AND POWER COMPANY
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Consolidating Virginia Virginia Power
Virginia Power Entries and Virginia Power Fuel Services, Inc. VP Capital
Consolidated Adjustments Power Corporation (Page 192) VPSC Trust I
-------------- ------------- -------- ----------- -------------- ---- ----------
Net Income.............. $542,539 $5,634 $542,539 $-- $(5,870) $236 $--
-------- ------ -------- ---- ------- ---- ----
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
-------- ------ -------- ---- ------- ---- ----
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
-------- ------ -------- ---- ------- ---- ----
Other comprehensive
income (Loss)..........
-------- ------ -------- ---- ------- ---- ----
Comprehensive Income.... $542,539 $5,634 $542,539 $-- $(5,870) $236 $--
======== ====== ======== ==== ======= ==== ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
186
VIRGINIA ELECTRIC AND POWER COMPANY
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Consolidating Virginia Virginia Power
Virginia Power Entries and Virginia Power Fuel Services, Inc. VP Capital
Consolidated Adjustments Power Corporation (Page 193) VPSC Trust I
-------------- ------------- ---------- ----------- -------------- ------- ----------
Cash flows from (used
in) operating
activities:
Net income.............. $ 542,539 $ 5,634 $ 542,539 $ -- $ (5,870) $ 236 $--
Adjustments to reconcile
net income to net cash
from operating
activities:
Cumulative effect of a
change in accounting
principle............. (20,757) (20,757)
Restructuring and other
acquisition related
costs................. 57,679 57,679
DCI impairment losses..
Extraordinary item,
net...................
Impairment of
regulatory assets.....
Gains on sales of
subsidiaries..........
Depreciation and
amortization.......... 637,087 636,566 162 359
Deferred income taxes.. 27,198 (11,142) 40,869 (2,257) (272)
Deferred fuel expense.. (32,578) (40,975) 8,397
Changes in current
assets and liabilities:
Accounts receivable.... (524,061) (3,800) (314,048) (209,727) 3,514
Inventories............ 3,502 (553) 3,608 (124) 571
Unrecovered gas costs..
Purchase and
origination of
mortgages.............
Proceeds from sale and
principal collections
of mortgages..........
Accounts payable,
trade................. 488,472 18,448 246,016 (119) 228,782 (4,655)
Accrued interest and
taxes................. 4,913 45 1,654 3,223 (9)
Commodity contract
assets and
liabilities........... (32,447) 18,944 (51,391)
Net assets held for
sale..................
Other.................. (81,802) (24,040) (86,557) (6,315) 35,713 (603)
---------- -------- ---------- ------- -------- ------- ----
Net cash flows from
operating activities.. 1,069,745 21,514 1,048,616 (6,434) 6,908 (859)
---------- -------- ---------- ------- -------- ------- ----
Cash flow from (used in)
investing activities:
Plant construction and
other property
additions.............. (734,485) (33,765) (702,256) 6,434 (4,898)
Acquisition of
exploration and
production assets......
Loan originations.......
Repayments of loan
originations...........
Sale of businesses......
Sale of marketable
securities.............
Purchase of debt
securities.............
Acquisition of
businesses.............
Other investments....... (47,608) 34,097 (81,705)
Other................... 269 (200) 23,473 (23,204) 200
---------- -------- ---------- ------- -------- ------- ----
Net cash flow used in
investing activities.. (781,824) 132 (760,488) 6,434 (28,102) 200
---------- -------- ---------- ------- -------- ------- ----
Cash flow from (used in)
financing activities:
Issuance of common
stock..................
Repurchase of common
stock..................
Issuance (repayment) of
short term debt........ 335,831 335,831
Issuance of long term
debt................... 250,000 250,000
Repayment of long term
debt................... (375,500) (375,500)
Common dividend
payments............... (407,911) 1,500 (407,911) (1,500)
Other................... (11,337) (23,146) (10,634) 22,443
---------- -------- ---------- ------- -------- ------- ----
Net cash flow from (used
in) financing
activities............. (208,917) (21,646) (208,214) 20,943
---------- -------- ---------- ------- -------- ------- ----
Increase (decrease) in
cash and cash
equivalents............ 79,004 79,914 (251) (659)
Cash and cash
equivalents at
beginning of the year.. 61,745 58,043 1 3,042 659
---------- -------- ---------- ------- -------- ------- ----
Cash and cash
equivalents at end of
the year............... $ 140,749 $ -- $ 137,957 $ 1 $ 2,791 $ -- $--
========== ======== ========== ======= ======== ======= ====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
187
VIRGINIA POWER SERVICES, INC.
CONSOLIDATING BALANCE SHEET
As of December 31, 2000
(Thousands)
Virginia
Virginia Power Virginia
Virginia Power Services Power
Virginia Power Consolidating Power Energy Energy Nuclear VP
Services, Inc. Entries and Services, Evantage, Marketing, Corp, Services Property,
Consolidated Adjustments Inc. Inc. Inc. Inc. Company Inc.
-------------- ------------- --------- --------- ---------- -------- -------- ---------
Current assets:
Cash and cash
equivalents............ $ 2,791 $ -- $ 83 $ 2,459 $ 1 $ 7 $ 241 $ --
Accounts receivable:
Customers (less
allowance)............ 223,487 2,281 206,736 14,042 428
Other.................. 73,280 (121,132) 88,354 7,228 47,748 50,871 211
Inventories:
Materials and
supplies..............
Fossil fuel............ 65,425 18,559 46,866
Gas stored--current
portion...............
Investment securities--
trading................
Mortgage loans held for
sale...................
Commodity contract
assets................. 643,363 620,351 23,012
Unrecovered gas costs...
Broker margin deposits.. (39,407) (38,780) (627)
Prepayments............. 805 240 622 (57)
Net assets held for
sale...................
Other................... 3,964 11 63 3,843 47
---------- --------- -------- ------- -------- -------- ------ ------
Total current assets... 973,708 (121,132) 88,448 11,968 854,918 138,636 870
---------- --------- -------- ------- -------- -------- ------ ------
Investments:
Loans receivable, net...
Investments in
affiliates............. (23,749) 23,749
Available for sale
securities.............
Nuclear decommissioning
trust funds............
Investment in real
estate.................
Other................... 23,232 23,140 92
---------- --------- -------- ------- -------- -------- ------ ------
Total net investments.. 23,232 (23,749) 23,749 23,140 92
---------- --------- -------- ------- -------- -------- ------ ------
Property, plant and
equipment:
Property, plant and
equipment.............. 4,898 4,898
Less accumulated
depreciation, depletion
and amortization....... 163 163
---------- --------- -------- ------- -------- -------- ------ ------
Property, plant and
equipment, net........ 4,735 4,735
---------- --------- -------- ------- -------- -------- ------ ------
Deferred charges and
other assets:
Goodwill, net...........
Regulatory assets, net..
Prepaid pension costs...
Other, net.............. 64,701 13,714 46,256 4,639 91 1
---------- --------- -------- ------- -------- -------- ------ ------
Total deferred charges
and other assets...... 64,701 13,714 46,256 4,639 91 1
---------- --------- -------- ------- -------- -------- ------ ------
Total Assets............ $1,066,376 $(144,881) $112,197 $48,822 $901,174 $143,275 $1,053 $4,736
========== ========= ======== ======= ======== ======== ====== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
188
VIRGINIA POWER SERVICES, INC.
CONSOLIDATING BALANCE SHEET--(Continued)
As of December 31, 2000
(Thousands)
Virginia
Virginia Power Virginia
Virginia Power Services Power
Virginia Power Consolidating Power Energy Energy Nuclear VP
Services, Inc. Entries and Services, Evantage, Marketing, Corp, Services Property,
Consolidated Adjustments Inc. Inc. Inc. Inc. Company Inc.
-------------- ------------- --------- --------- ---------- -------- -------- ---------
Current liabilities:
Securities due within
one year..............
Short-term debt........
Accounts payable,
trade................. $ 383,210 $(120,405) $ 88,349 $20,539 $272,491 $119,559 $2,669 $ 8
Accrued interest.......
Accrued payroll........ 1,071 939 132
Accrued taxes.......... 4,150 (43) (93) 3,423 714 218 (69)
Commodity contract
liabilities........... 598,484 575,307 23,177
Other.................. (602) (727) 36 34 55
---------- --------- -------- ------- -------- -------- ------ ------
Total current
liabilities........... 986,313 (121,132) 88,306 20,482 852,194 143,450 3,074 (61)
---------- --------- -------- ------- -------- -------- ------ ------
Long term debt.........
---------- --------- -------- ------- -------- -------- ------ ------
Deferred credits and
other liabilities:
Deferred income taxes.. 1,692 1,449 231 2 10
Deferred investment tax
credits...............
Other.................. 54,480 11,060 38,010 5,295 115
---------- --------- -------- ------- -------- -------- ------ ------
Total deferred credits
and other
liabilities........... 56,172 11,060 39,459 5,526 117 10
---------- --------- -------- ------- -------- -------- ------ ------
Total Liabilities...... 1,042,485 (121,132) 88,306 31,542 891,653 148,976 3,191 (51)
---------- --------- -------- ------- -------- -------- ------ ------
Minority interest......
Obligated mandatorily
redeemable preferred
securities of
subsidiary trusts.....
Preferred stock not
subject to mandatory
redemption............
Common shareholders'
equity:
Common Stock........... 33,442 (33,194) 33,442 17,545 10,000 1 750 4,898
Other paid in capital..
Accumulated other
comprehensive income..
Retained earnings...... (9,551) 9,445 (9,551) (265) (479) (5,702) (2,888) (111)
---------- --------- -------- ------- -------- -------- ------ ------
Total common
shareholders'
equity................ 23,891 (23,749) 23,891 17,280 9,521 (5,701) (2,138) 4,787
---------- --------- -------- ------- -------- -------- ------ ------
Total Liabilities and
shareholders' equity.. $1,066,376 $(144,881) $112,197 $48,822 $901,174 $143,275 $1,053 $4,736
========== ========= ======== ======= ======== ======== ====== ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
189
VIRGINIA POWER SERVICES, INC.
CONSOLIDATING INCOME STATEMENT
For the Year Ended December 31, 2000
(Thousands)
Virginia Virginia Virginia Virginia
Power Virginia Power Power Power
Services, Consolidating Power Energy Services Nuclear VP
Inc. Entries and Services, Evantage, Marketing, Energy Services Property,
Consolidated Adjustments Inc. Inc. Inc. Corp, Inc. Company Inc.
------------ ------------- --------- --------- ---------- ---------- -------- ---------
Operating Revenue:
Regulated sales
Electric............... $ 5 $ -- $ -- $ 5 $ -- $ -- $ -- $ --
Gas....................
Nonregulated sales
Electric...............
Gas....................
Gas transportation and
storage................
Oil and gas production..
Other................... 4,029 774 12,272 (9,522) 505
------- ------ ------- ------ ------- ------- ------- -----
Total.................. 4,034 779 12,272 (9,522) 505
------- ------ ------- ------ ------- ------- ------- -----
Expenses:
Fuel, net............... (5) (59) 54
Purchased power
capacity, net..........
Purchased gas, net......
Liquids, capacity and
other products
purchased..............
Restructuring and other
acquisition related
costs..................
Other operation and
maintenance............ 12,574 95 1,830 8,340 (111) 2,412 8
Depreciation, depletion
and amortization....... 162 162
Other taxes............. 222 4 171 47
------- ------ ------- ------ ------- ------- ------- -----
Total.................. 12,953 95 1,775 8,511 (57) 2,459 170
------- ------ ------- ------ ------- ------- ------- -----
Income from
Operations............ (8,919) (95) (996) 3,761 (9,465) (1,954) (170)
Other Income............ 725 5,809 (5,808) 587 94 16 27
------- ------ ------- ------ ------- ------- ------- -----
Income before interest
and income taxes...... (8,194) 5,809 (5,903) (409) 3,855 (9,449) (1,927) (170)
------- ------ ------- ------ ------- ------- ------- -----
Interest and related
charges:
Interest charges........
Preferred dividends and
distributions of
subsidiary trusts......
------- ------ ------- ------ ------- ------- ------- -----
Total..................
------- ------ ------- ------ ------- ------- ------- -----
Income before provision
for income tax,
minority interest,
extraordinary item and
cumulative effect of a
change in accounting
principle............. (8,194) 5,809 (5,903) (409) 3,855 (9,449) (1,927) (170)
Income taxes............ (2,324) (33) (144) 2,309 (3,732) (665) (59)
------- ------ ------- ------ ------- ------- ------- -----
Minority interests......
Income before
extraordinary item and
cumulative effect of a
change in accounting
principle............. (5,870) 5,809 (5,870) (265) 1,546 (5,717) (1,262) (111)
Extraordinary item,
net....................
Cumulative effect of a
change in accounting
principle, net.........
------- ------ ------- ------ ------- ------- ------- -----
Net Income............. $(5,870) $5,809 $(5,870) $ (265) $ 1,546 $(5,717) $(1,262) $(111)
======= ====== ======= ====== ======= ======= ======= =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
190
VIRGINIA POWER SERVICES, INC.
CONSOLIDATING STATEMENT OF COMMON SHAREHOLDERS' EQUITY
As of December 31, 2000
(Thousands)
Virginia Virginia Virginia
Power Power Power
Virginia Power Consolidating Energy Services Nuclear VP
Services, Inc. Entries and Virginia Power Evantage, Marketing, Energy Services Property,
Consolidated Adjustments Services, Inc. Inc. Inc. Corp, Inc. Company Inc.
-------------- ------------- -------------- --------- ---------- ---------- -------- ---------
Balance at December 31,
1999................... $ 8,819 $ -- $ 204 $ -- $ 9,475 $ 16 $ (876) $ --
------- -------- ------- ------- ------- ------- ------- ------
Issuance of stock--CNG
acquisition...........
Issuance of stock
through public
offering..............
Issuance of stock
through employee,
executive loan and
direct stock purchase
plans.................
Stock repurchase and
retirement............
Premium income equity
securities............
Other common stock
activity.............. 22,442 (33,194) 33,193 17,545 4,898
Comprehensive income... (5,870) 5,809 (5,870) (265) 1,546 (5,717) (1,262) (111)
Dividends and other
adjustments........... (1,500) 3,636 (3,636) (1,500)
------- -------- ------- ------- ------- ------- ------- ------
Balance at December 31,
2000................... $23,891 $(23,749) $23,891 $17,280 $ 9,521 $(5,701) $(2,138) $4,787
======= ======== ======= ======= ======= ======= ======= ======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
191
VIRGINIA POWER SERVICES, INC.
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended December 31, 2000
(Thousands)
Virginia
Virginia Power Virginia
Virginia Power Services Power
Virginia Power Consolidating Power Energy Energy Nuclear VP
Services, Inc. Entries and Services, Evantage, Marketing, Corp, Services Property,
Consolidated Adjustments Inc. Inc. Inc. Inc. Company Inc.
-------------- ------------- --------- --------- ---------- -------- -------- ---------
Net Income.............. $(5,870) $5,809 $(5,870) $(265) $1,546 $(5,717) $(1,262) $(111)
------- ------ ------- ----- ------ ------- ------- -----
Other comprehensive
income, net of tax:
Unrealized holding
gains (losses) on
investment
securities............
Less: reclassification
adjustment for gains
(losses) realized in
net income............
------- ------ ------- ----- ------ ------- ------- -----
Unrealized gains
(losses) on investment
securities............
Foreign currency
translation
adjustment............
Minimum pension
liability adjustment..
------- ------ ------- ----- ------ ------- ------- -----
Other comprehensive
income (Loss)..........
------- ------ ------- ----- ------ ------- ------- -----
Comprehensive Income.... $(5,870) $5,809 $(5,870) $(265) $1,546 $(5,717) $(1,262) $(111)
======= ====== ======= ===== ====== ======= ======= =====
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
192
VIRGINIA POWER SERVICES, INC.
CONSOLIDATING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 2000
(Thousands)
Virginia Virginia Virginia
Power Power Power
Virginia Power Consolidating Energy Services Nuclear VP
Services, Inc. Entries and Virginia Power Evantage, Marketing, Energy Services Property,
Consolidated Adjustments Services, Inc. Inc. Inc. Corp, Inc. Company Inc.
-------------- ------------- -------------- --------- ---------- ---------- -------- ---------
Cash flows from (used
in) operating
activities:
Net income............. $ (5,870) $ 5,809 $ (5,870) $ (265) $ 1,546 $ (5,717) $(1,262) $ (111)
Adjustments to
reconcile net income
to net cash from
operating activities:
Cumulative effect of a
change in accounting
principle............
Restructuring and
other acquisition
related costs........
DCI impairment
losses...............
Extraordinary item,
net..................
Impairment of
regulatory assets....
Gains on sales of
subsidiaries.........
Depreciation and
amortization......... 162 162
Deferred income
taxes................ (2,257) 1,420 (3,612) (75) 10
Deferred fuel
expense.............. 8,397 8,397
Changes in current
assets and
liabilities:
Accounts receivable... (209,727) 158 7,830 (180,395) (38,103) 783
Inventories........... (124) (1,700) 1,576
Unrecovered gas
costs................
Purchase and
origination of
mortgages............
Proceeds from sale and
principal collections
of mortgages.........
Accounts payable,
trade................ 228,782 9 3,200 193,427 32,114 24 8
Accrued interest and
taxes................ 3,223 (39) (93) 1,514 1,410 499 (68)
Commodity contract
assets and
liabilities.......... (51,391) (51,391)
Net assets held for
sale.................
Other................. 35,713 5 (2,618) 37,080 1,142 105 (1)
--------- -------- -------- -------- --------- -------- ------- -------
Net cash flows from
operating
activities........... 6,908 5,809 (5,737) 8,054 1,501 (2,793) 74
--------- -------- -------- -------- --------- -------- ------- -------
Cash flow from (used
in) investing
activities:
Plant construction and
other property
additions............ (4,898) (4,898)
Acquisition of
exploration and
production assets....
Loan originations.....
Repayments of loan
originations.........
Sale of businesses....
Sale of marketable
securities...........
Purchase of debt
securities...........
Acquisition of
businesses...........
Other investments..... 15,134 (15,134)
Other................. (23,204) (23,140) (64)
--------- -------- -------- -------- --------- -------- ------- -------
Net cash flow used in
investing
activities........... (28,102) 15,134 (15,134) (23,140) (64) (4,898)
--------- -------- -------- -------- --------- -------- ------- -------
Cash flow from (used
in) financing
activities:
Issuance of common
stock................
Repurchase of common
stock................
Issuance (repayment)
of short term debt...
Issuance of long term
debt.................
Repayment of long term
debt.................
Common dividend
payments............. (1,500) 1,500 (1,500) (1,500)
Other................. 22,443 (22,443) 22,443 17,545 4,898
--------- -------- -------- -------- --------- -------- ------- -------
Net cash flow from
(used in) financing
activities............ 20,943 (20,943) 20,943 17,545 (1,500) 4,898
--------- -------- -------- -------- --------- -------- ------- -------
Increase (decrease) in
cash and cash
equivalents........... (251) 72 2,459 1 (2,793) 10
Cash and cash
equivalents at
beginning of the
year.................. 3,042 11 2,800 231
--------- -------- -------- -------- --------- -------- ------- -------
Cash and cash
equivalents at end of
the year.............. $ 2,791 $ -- $ 83 $ 2,459 $ 1 $ 7 $ 241 $ --
========= ======== ======== ======== ========= ======== ======= =======
The Notes to the Consolidated Financial Statements are an integral part of this
statement.
193
Exhibits
SEC
Exhibit
Reference Description of Exhibit
--------- ----------------------
A. 1. Dominion Resources, Inc. Annual Report on Form 10-K is hereby
incorporated by reference (File No. 1-8489).
2. Virginia Electric and Power Company Annual Report on Form 10-K is
hereby incorporated by reference (1-2255)
3. Consolidated Natural Gas Company Annual Report on Form 10-K is
hereby incorporated by reference (1-3196).
B. 1. A copy of the charter, as amended, and copy of the by-laws, as
amended, of Dominion Resources, Inc. and each subsidiary company
thereof, unless otherwise indicated on the list filed herewith,
are incorporated by reference to previous filings with the
Commission, as shown on such list.
C. 1. The indentures of Dominion Resources, Inc. are hereby
incorporated by reference to previously filed material as
indicated on the list (filed herewith).
2. Purchase and Sale Agreement, dated August 7, 2000, by and among
Northeast Nuclear Energy Company, et al and Dominion Resources,
Inc. (Exhibit 10(iii), Form 10-Q for the quarter ended June 30,
2000, File No. 1-8489, incorporated by reference). This
transaction involving the purchase of Millstone Nuclear Power
Station was completed effective March 31, 2001.
D. Tax Allocation Agreement (filed herewith)
E. Pursuant to Rule 16(c) under the Public Utility Holding Company Act
of 1935, the annual report of the Iroquois Gas Transmission System,
L.P., for the year ended December 31, 2000, is filed herewith as
Exhibit E.
F. Schedules supporting items of this report:
1. ITEM 1--Schedule of Investments (filed herewith)
2. ITEM 2--Schedule of Acquisitions, Redemptions, or Retirements of
Systems Securities (filed herewith)
3. ITEM 5--Investment in Securities of Nonsystem Companies (filed
herewith on Form SE)
4. ITEM 6--Dominion Resources, Inc. 2001 Proxy Statement, dated
March 16, 2001 is hereby incorporated by reference.
5. ITEM 10--Schedule of utility plant and related depreciation
accounts, together with schedules of other property or
investments (filed herewith on Form SE)
6. Consent of Deloitte and Touche LLP (filed herewith)
G. Financial Data Schedules are no longer applicable.
H. 1. Organization charts showing the relationship of the exempt
wholesale generators in which the system holds and interest to
other system companies, is filed herewith as Attachment H-1
through H-3.
2. Organization chart showing the relationship of the foreign
utility companies in which the system holds an interest to other
system companies, are filed herewith as Attachment H-4.
I. Financial statements of the exempt wholesale generators and foreign
utility company are filed herewith as Attachments I-1 through I-4.
194
SIGNATURE
The registrant has duly caused this annual report to be signed on its behalf
by the undersigned thereunto duly authorized pursuant to the requirements of
the Public Utility Holding Company Act of 1935, such company being a registered
holding company.
DOMINION RESOURCES, INC.
_________________________________
(Registrant)
/s/ Steven A. Rogers
By: _________________________________
Steven A. Rogers
Vice President, Controller and
Principal Accounting Officer
May 1, 2001
195