MILWAUKEE, Oct. 29 /PRNewswire-FirstCall/ -- Wisconsin Energy (NYSE: WEC)
today reported net income from continuing operations of $77 million or 65
cents a share for the third quarter of 2008. This compares with net income
from continuing operations of $83 million or 70 cents a share in the third
quarter last year.
For the first nine months of 2008, net income from continuing operations
reached $259 million or $2.19 a share. On a comparable basis, earnings for the
first nine months last year were $242 million or $2.04 a share.
Total sales of electricity declined by nearly 3.8 percent in this year's
third quarter -- the result of cool summer weather and minimal demand for air
conditioning.
Residential use of electricity fell by 5 percent in this year's third
quarter. Usage by residential customers fell 2.2 percent in the first nine
months of 2008.
Consumption of electricity by small commercial and industrial customers
fell by 1.4 percent and 1 percent, respectively, in the third quarter and
first nine months of 2008.
Electricity use by large commercial and industrial customers fell by 3.5
percent in the third quarter and 1 percent compared to the first nine months
of 2007.
Third quarter 2008 revenues from continuing operations were $852 million.
In the corresponding period last year, revenues from continuing operations
were $882 million.
'We posted solid financial results in the first nine months of this year,'
said Gale Klappa, Wisconsin Energy's chairman, president and chief executive
officer. 'And our focus remains on delivering world-class reliability for our
customers at prices that are below the national average.'
Earnings per share listed in this news release are on a fully diluted
basis.
Conference Call
A conference call is scheduled for 1 p.m. Central time on Wednesday,
Oct. 29, 2008. The presentation will review 2008 third quarter earnings and
will discuss the company's outlook for the future.
All interested parties, including stockholders, the news media and the
general public, are invited to listen to the presentation. The conference call
may be accessed by dialing 877-795-3610 up to 15 minutes before the call
begins. International callers may dial 719-325-4834. The confirmation code is
1178834. Access also may be gained through the company's Web site
(http://www.wisconsinenergy.com). Click on the icon for the 'Third Quarter
2008 Earnings Release and Conference Call' and select 'webcast audio.' In
conjunction with this earnings announcement, Wisconsin Energy will post on its
Web site a package of detailed financial information on its third quarter
performance. The materials will be available at 7:30 a.m. Central time on Oct.
29. An archive of the presentation will be available on the Web site after the
call. A replay of the audio portion of the presentation will be available
approximately two hours following the conclusion of the presentation and
accessible through Nov. 5, 2008. Domestic callers should dial
888-203-1112. International callers should dial 719-457-0820. The replay
confirmation code is 1178834.
Wisconsin Energy Corporation (NYSE: WEC), based in Milwaukee, is one of
the nation's premier energy companies, serving more than 1.1 million electric
customers in Wisconsin and Michigan's Upper Peninsula and more than 1 million
natural gas customers in Wisconsin. The company's principal utilities are We
Energies and Edison Sault Electric. The company's non-utility businesses
include renewable energy technology and real estate development.
Wisconsin Energy Corporation (http://www.wisconsinenergy.com) has more
than $11 billion of assets, approximately 5,000 employees and more than 50,000
stockholders of record.
Tables Follow
WISCONSIN ENERGY CORPORATION
CONSOLIDATED CONDENSED INCOME STATEMENTS
(Unaudited)
Three Months Ended Nine Months Ended
September 30 September 30
2008 2007 2008 2007
(Millions of Dollars, Except
Per Share Amounts)
Operating Revenues $852.5 $881.5 $3,230.4 $3,089.1
Operating Expenses
Fuel and purchased power 344.1 254.3 980.4 716.1
Cost of gas sold 95.9 78.0 841.8 710.4
Other operation and maintenance 320.1 284.3 1,023.2 891.5
Depreciation, decommissioning
and amortization 84.1 85.6 242.3 250.9
Property and revenue taxes 26.7 26.2 81.0 77.5
Total Operating Expenses 870.9 728.4 3,168.7 2,646.4
Amortization of Gain 157.4 - 403.4 -
Operating Income 139.0 153.1 465.1 442.7
Equity in Earnings of Transmission
Affiliate 14.4 10.9 38.0 32.1
Other Income, net 7.1 14.8 25.6 47.8
Interest Expense, net 38.8 42.5 113.4 127.2
Income from Continuing
Operations Before Income Taxes 121.7 136.3 415.3 395.4
Income Taxes 44.7 53.2 156.8 153.5
Income from Continuing Operations 77.0 83.1 258.5 241.9
Income (Loss) from Discontinued
Operations, Net of Tax 0.5 (0.2) 0.2 (0.6)
Net Income $77.5 $82.9 $258.7 $241.3
Earnings Per Share (Basic)
Continuing operations $0.66 $0.71 $2.21 $2.07
Discontinued operations - - - (0.01)
Total Earnings Per Share (Basic) $0.66 $0.71 $2.21 $2.06
Earnings Per Share (Diluted)
Continuing operations $0.65 $0.70 $2.19 $2.04
Discontinued operations - - - -
Total Earnings Per Share (Diluted) $0.65 $0.70 $2.19 $2.04
Weighted Average Common
Shares Outstanding (Millions)
Basic 116.9 116.9 116.9 116.9
Diluted 118.2 118.2 118.2 118.5
Dividends Per Share of Common Stock $0.27 $0.25 $0.81 $0.75
WISCONSIN ENERGY CORPORATION
CONSOLIDATED CONDENSED BALANCE SHEETS
(Unaudited)
September 30, December 31,
2008 2007
(Millions of Dollars)
Assets
Net Property, Plant and Equipment $8,333.7 $7,681.2
Investments
Restricted cash 215.4 323.5
Equity investment in
transmission affiliate 266.1 238.5
Other 36.9 42.7
Total Investments 518.4 604.7
Current Assets
Cash and cash equivalents 23.3 27.4
Restricted cash 235.5 408.1
Accounts receivable 334.3 361.8
Accrued revenues 154.9 312.2
Materials, supplies and inventories 359.5 361.3
Regulatory assets 82.5 164.7
Prepayments and other 195.8 214.2
Total Current Assets 1,385.8 1,849.7
Deferred Charges and Other Assets
Regulatory assets 919.9 961.6
Goodwill 441.9 441.9
Other 204.0 181.2
Total Deferred Charges and
Other Assets 1,565.8 1,584.7
Total Assets $11,803.7 $11,720.3
Capitalization and Liabilities
Capitalization
Common equity $3,265.3 $3,099.2
Preferred stock of subsidiary 30.4 30.4
Long-term debt 3,271.1 3,172.5
Total Capitalization 6,566.8 6,302.1
Current Liabilities
Long-term debt due currently 381.3 352.8
Short-term debt 914.2 900.7
Accounts payable 330.9 478.3
Regulatory liabilities 338.2 563.1
Other 295.0 207.9
Total Current Liabilities 2,259.6 2,502.8
Deferred Credits and Other Liabilities
Regulatory liabilities 1,157.2 1,314.3
Deferred income taxes - long-term 684.5 551.7
Deferred revenue, net 495.0 347.7
Pension and other benefit
obligations 275.1 310.1
Other 365.5 391.6
Total Deferred Credits and
Other Liabilities 2,977.3 2,915.4
Total Capitalization and Liabilities $11,803.7 $11,720.3
WISCONSIN ENERGY CORPORATION
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
Nine Months Ended September 30,
2008 2007
(Millions of Dollars)
Operating Activities
Net income $258.7 $241.3
Reconciliation to cash
Depreciation, decommissioning
and amortization 250.1 258.2
Amortization of Gain (403.4) -
Deferred income taxes and
investment tax credits, net 155.4 (22.9)
Working capital and other 382.7 156.1
Cash Provided by Operating Activities 643.5 632.7
Investing Activities
Capital expenditures (889.4) (842.2)
Change in restricted cash 280.7 -
Proceeds from asset sales 13.8 540.9
Other investing activities (87.3) (85.1)
Cash Used in Investing Activities (682.2) (386.4)
Financing Activities
Common stock issued (repurchased), net (9.9) (25.1)
Dividends paid on common stock (94.7) (87.7)
Change in debt, net 140.3 330.0
Other financing activities, net (1.1) (0.5)
Cash Provided by Financing Activities 34.6 216.7
Change in Cash (4.1) 463.0
Cash at Beginning of Period 27.4 37.0
Cash at End of Period $23.3 $500.0
SOURCE Wisconsin Energy
