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THIS DOCUMENT CONTAINS OPERATIONAL AND FINANCIAL INFORMATION, WHICH IS
CONFIDENTIAL AND SHOULD ONLY BE DISCUSSED WITH NiSOURCE INC. PERSONNEL WHO
REQUIRE SUCH KNOWLEDGE WITHIN THE SCOPE OF THEIR EMPLOYMENT. THIS MATERIAL MAY
NOT BE RELEASED OR ITS CONTENTS DISCUSSED OUTSIDE THE COMPANY UNLESS AUTHORIZED
BY A MEMBER OF NiSOURCE'S SENIOR MANAGEMENT.
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
FORM U5S
ANNUAL REPORT
For the Year Ended December 31, 2002
Filed pursuant to the Public Utility Holding Company Act of 1935
NISOURCE INC.
COLUMBIA ENERGY GROUP
(Name of registered holding company)
801 E 86th Avenue
Merrillville, Indiana 46410
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TABLE OF CONTENTS
Page or
Exhibit No.
-----------
Item 1. System Companies and Investment Therein as of December 31, 2002........................................... 3
Item 2. Acquisitions or Sales of Utility Assets................................................................... 13
Item 3. Issue, Sale, Pledge, Guarantee or Assumption of System Securities......................................... 13
Item 4. Acquisition, Redemption or Retirement of System Securities................................................ 14
Item 5. Investments in Securities of Nonsystem Companies.......................................................... 16
Item 6. Officers and Directors.................................................................................... 18
Item 7. Contributions and Public Relations........................................................................ 44
Item 8. Service, Sales and Construction Contracts................................................................. 46
Item 9. Wholesale Generators and Foreign Utility Companies........................................................ 47
Item 10. Financial Statements and Exhibits......................................................................... 49
Consolidating Financial Statements.................................................................... 53
Signature of Registrant's Officer..................................................................... 253
Exhibits:
A. Securities and Exchange Act of 1934 Reports....................................................... 254
B. Index to Corporate Organization & By-Laws Exhibits................................................ 256
C. Indentures or Contracts........................................................................... 272
D. Tax Allocation Agreement for 2002................................................................. 273
E. Other Documents Prescribed by Rule or Order....................................................... 284
F. Report of Independent Public Accountants.......................................................... 285
G. Organizational Chart of Exempt Wholesale Generators or Foreign Utility Holding Companies.......... 287
H. Audited Financial Statements of Exempt Wholesale Generators or Foreign Utility Holding Companies.. 288
L. Debt Acquisition Schedule......................................................................... 288
2
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
NUMBER OF % OF VOTING ISSUER OWNER'S
COMMON POWER OR BOOK VALUE BOOK VALUE
TIER NAME OF COMPANY (COMPANY ABBREVIATION) SHARES HELD INTEREST HELD ($000) ($000) TYPE OF BUSINESS
-----------------------------------------------------------------------------------------------------------------------------------
NiSOURCE INC. (NI) Holding company
1 Bay State Gas Company (BSG) 100 100 520,652 520,652 Gas utility
Unsecured Debt (l) - - 218,535 218,535
Subsidiaries:
2 Bay State GPE, Inc. (BSGPE) 1,000 100 105 105 Electric generation
2 Boundry Gas, Inc. (BDY) 11 12 - - Gas supplier/purchaser
2 Northern Utilities, Inc. (NU) 100 100 110,746 110,746 Gas utility
Unsecured Debt (l) - - 11,550 11,550
1 Columbia Energy Group (CG) 100 100 2,396,266 6,407,908 Holding company
Subsidiaries:
2 Columbia Atlantic Trading Corporation
(CAT) 308 100 4,110 4,110 Gas-related ventures
2 Columbia Energy Group Capital
Corporation (CCC) 1 100 1,419 1,419 Holding company
Subsidiary:
3 TriStar Gas Technologies, Inc.
(TGT) * 20,000 100 - - Holding company
2 Columbia Energy Resources, Inc. (CER) 1 100 141,457 141,457 Holding company
Unsecured Debt (l) - - 85,613 85,613
Subsidiaries:
3 Alamco-Delaware, Inc. (AD) 100 100 7,656 7,656 Exploration & Production
of Natural Gas
3 Columbia Natural Resources, Inc.
(CNR) 2 100 141,110 141,440 Exploration & Production
of Natural Gas
3 Columbia Natural Resources Canada,
Ltd. (CNRCL) 1 100 8,813 8,813 Exploration & Production
of Natural Gas
3 Hawg Hauling & Disposal, Inc. (HH) 900 100 1,247 1,247 Brine hauling and
disposal services
2 Columbia Energy Services Corporation
(CES) 2,500 100 (88,821) (88,821) Energy-related services
Unsecured Debt (l) - - 11,500 11,500
Subsidiaries:
3 Columbia Energy Marketing
Corporation (CEM) * (h) - - - - -
3 Columbia Energy Power Marketing
Corporation (CPM) * (h) - - - - -
3 Columbia Energy Retail
Corporation (CERC) * (h) - - - - -
2 Columbia Finance Corp. (CFC) * (h) - - - - -
Subsidiary:
3 Columbia Accounts Receivable
Corporation (CAR) 10 100 9,161 9,161 Purchase & sales of trade
receivables
2 Columbia Gas of Kentucky, Inc. (CKY) 147,752 100 70,636 70,636 Gas utility
Unsecured Debt (l) - - 42,055 42,055
2 Columbia Gas of Maryland, Inc. (CMD) 2,883 100 28,404 28,404 Gas utility
Unsecured Debt (l) - - 18,975 18,975
2 Columbia Gas of Ohio, Inc. (COH) 6,369,585 100 436,965 436,965 Gas utility
Unsecured Debt - - 305,576 305,576
------------------------------------------------------------------------------------------------------------------------------------
3
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NUMBER OF % OF VOTING ISSUER OWNER'S
COMMON POWER OR BOOK VALUE BOOK VALUE
TIER NAME OF COMPANY (COMPANY ABBREVIATION) SHARES HELD INTEREST HELD ($000) ($000) TYPE OF BUSINESS
-------------------------------------------------------------------------------------------------------------------------------
2 Columbia Gas of Pennsylvania, Inc. (CPA) 1,805,112 100 206,881 206,881 Gas utility
Unsecured Debt (l) - - 241,116 241,116
2 Columbia Gas of Virginia, Inc. (CGV) 1,306,106 100 166,220 166,220 Gas utility
Unsecured Debt (l) - - 167,214 167,214
2 Columbia Gas Transmission Corporation (TCO) 1,934 100 1,092,778 1,092,778 Gas pipeline and storage
Unsecured Debt (l) - - 287,141 287,141
Secured Debt (m) - - 385,500 385,500
2 Columbia Gulf Transmission Company (CGT) 1,933 100 123,333 123,333 Gas pipeline and storage
Unsecured Debt (l) - - 109,595 109,595
2 Columbia LNG Corporation (CLNG) * (h) (i) - - - - -
Subsidiary:
3 CLNG Corporation (CLNGCO) * (h) - - - - -
2 Columbia Network Services Corporation (CNS) 900 100 4,835 4,835 Holding company
Subsidiary:
3 CNS Microwave, Inc. (CMC) 110 100 1,736 1,736 Telecommunications and
information services
2 Columbia Petroleum Corporation (PET) * 1,000 100 - - Petroleum operations
2 Columbia Pipeline Corporation (CPL) * (h) 1 100 735 735 Operates pipeline &
gathering facilities
Unsecured Debt (l) - - 765 765
Subsidiary:
3 Columbia Deep Water Services Company
(CDW) 1 100 735 735 Gas pipeline development
2 Columbia Remainder Corporation (CRC) 100 100 (76) (76) Holding company
Subsidiaries:
3 Columbia Electric Binghamton General
Corp. (CEB) * 1 100 - - Power generation
3 Columbia Electric Binghamton Limited
Corp. (CEBL) * 142 100 - - Power generation
Columbia Electric Haverstraw
Corporation (CHC) * (h) - - - - Power generation
3 Haverstraw Bay, LLC (HBL) * (a) - 98 - - Power generation
2 Columbia Service Partners, Inc. (CSP) 200 100 8,832 8,832 Energy-related services
Subsidiaries:
3 Columbia Assurance Agency, Inc. (CAA) 850 100 26 26 Insurance business
3 Columbia Service Partners of Virginia,
Inc. (CSPV) * - 100 - - Energy-related services
2 Columbia Transmission Communications
Corporation (CTC) 1 100 - - Telecommunications and
information services
2 NiSource Insurance Corporation Limited
(NICL) (j) 14,800 100 8,019 8,019 Insurance Group
1 EnergyUSA, Inc. (IN) (EUII) 1,000 100 (88,600) (88,600) Holding company
Unsecured Debt (l) - - 44,316 44,316
Subsidiaries:
2 EnergyUSA Commercial Energy Services, Inc.
(EUC) 1,000 100 (9,071) (9,071) Energy-related services
2 EnergyUSA Retail, Inc. (EUR) 1,000 100 (7,269) (7,269) Retail gas marketing
Subsidiary:
3 EnergyUSA Consumer Products Group,
Inc. (EUP) * (h) - - - - -
------------------------------------------------------------------------------------------------------------------------------------
4
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NUMBER OF % OF VOTING ISSUER OWNER'S
COMMON POWER OR BOOK VALUE BOOK VALUE
TIER NAME OF COMPANY (COMPANY ABBREVIATION) SHARES HELD INTEREST HELD ($000) ($000) TYPE OF BUSINESS
------------------------------------------------------------------------------------------------------------------------------------
2 EnergyUSA, Inc. (MA) (EUIM) 10,000 100 5,979 5,979 Propane company
Unsecured Debt (l) - - 2,504 2,504
Subsidiaries:
3 EnergySPE, Inc. (ESPE)* 10,000 100 (671) (671) Energy-related services
3 EnergyUSA (Connecticut), Inc. (EUIC) 6,955 100 (3,627) (3,627) Energy-related services
Unsecured Debt (l) - - 4,414 4,414
Subsidiaries:
4 Brayer Energy Solutions, Inc.
(BES) * (h) - - - - -
4 EnergyUSA Engineering, Inc. (EUE) 919 100 (1,281) (1,281) Engineering services
4 EnergyUSA Mechanical, Inc. (EUM) * 400 100 2,106 2,106 Energy-related services
2 EnergyUSA-TPC Corp. (TPC) 100 100 (13,699) (13,699) Gas marketing
Unsecured Debt (l) - - 13,864 13,864
Subsidiary:
3 EnergyUSA-Appalachian Corp. (EUA) (f) 100 100 6,282 6,282 Holds oil & gas
exploration investments
2 MS-1 Distribution & Storage Corp. (MS1) * (h) - - - - -
2 NESI Energy Marketing, L.L.C. (NEML) * (b) (h) - - - - -
2 NI Energy Services Transportation, Inc. (NEST) 1,000 100 393 393 Gas pipeline
2 NI Fuel Company, Inc. (NIFC)* 1,000 100 (14,545) (14,545) Holds oil & gas
exploration investments
2 NI-TEX, Inc. (NITEX) 1,000 100 (1,912) (1,912) Holding company
Subsidiary:
3 Laredo Nueces Pipeline Company (LNP) - 50 870 870 Gas pipeline
2 NI-TEX Gas Services, Inc. (NGS) 920 100 11,302 11,302 Holding company
1 IWC Resources Corporation (IWCR) * (k) 1,000 100 611,424 611,424 -
Subsidiaries:
2 Harbour Water Corporation (HWC) * (k) 1,000 100 8,303 8,303 -
2 Indianapolis Water Company (IWC) * (k) 500 100 622,452 622,452 -
Subsidiary:
3 White River Enviornmental Partnership,
Inc.(WRP)*(k) 100 100 - - Operator of wastewater
treatment plants
2 Irishman's Run Acquisition Corporation
(IRAC) * (k) 1,000 100 572 572 -
2 IWC Morgan Water Corporation (IWCM) * (k) 1,000 100 6,234 6,234 -
2 Lawrence Water Company, Inc. (LWC) * (k) 1,000 100 - - -
2 Liberty Water Corporation (LWAC) * (k) 200 100 (50) (50) -
2 The Darlington Water Works Company
(DWWC) * (k) 1,000 100 285 285 -
1 Kokomo Gas and Fuel Company (KOKO) 478,248 100 35,653 35,653 Gas utility
Subsidiary:
2 KGF Trading Company (KGF) * 100 100 - - Gas brokering
1 NI Energy Services, Inc. (NESI) 1,000 100 (20,281) (20,281) Holding company
Unsecured Debt (l) - - 45,482 45,482
Subsidiaries:
2 Crossroads Pipeline Company (CROSS) 1,000 100 (9,059) (9,059) Interstate gas pipeline
Unsecured Debt (l) - - 31,228 31,228
------------------------------------------------------------------------------------------------------------------------------------
5
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NUMBER OF % OF VOTING ISSUER OWNER'S
COMMON POWER OR BOOK VALUE BOOK VALUE
TIER NAME OF COMPANY (COMPANY ABBREVIATION) SHARES HELD INTEREST HELD ($000) ($000) TYPE OF BUSINESS
------------------------------------------------------------------------------------------------------------------------------
2 Green Fuels, Inc. (GREEN) * (h) - - - - -
2 NESI Power Marketing, Inc. (NPM) * 1,000 100 (21,727) (21,727) Power marketing
2 NiSource Energy Services Canada, Ltd.
(NESCL) * - 100 (669) (669) Holding company
Subsidiary:
3 NESI Energy Marketing Canada Ltd.
(NEMCL) * - 70 - - Energy marketing
1 NiSource Capital Markets, Inc. (NCM) 1,000 100 37,905 37,905 Financing subsidiary
1 NiSource Capital Trust I (NCT) (c) - 100 (4,769) (4,769) Financing subsidiary
1 NiSource Corporate Services Company (NCS) (g) 1,000 100 (20,766) (20,766) Management services
Unsecured Debt (l) - - 39,689 39,689
1 NiSource Development Company, Inc. (NDEV) 1,000 100 (79,707) (79,707) Holding company
Unsecured Debt (l) - - 178,365 178,365
Subsidiaries:
2 Analytic Sytems Laboratories, Inc.
(ASL) * (h) - - - - -
2 Cardinal Property Management, Inc.
(CARD) 1,000 100 14 14 Real estate services
2 Customer Information Services, Inc.
(CIS) * (h) - - - - -
2 JOF Transportation Company (JOF) 1,000 100 4,935 4,935 Holding company
2 KOGAF Enterprises, Inc. (KOGF) * (h) - - - - -
2 Lake Erie Land Company (LEL) 1,000 100 68,297 68,297 Commercial and residential
real estate services
Subsidiary:
3 SCC Services, Inc. (SCC) 1,000 100 (2,553) (2,553) Energy-related services
2 NDC Douglas Properties, Inc. (NDC) 1,000 100 13,140 13,140 Holds investments in
affordable housing projects
2 Progeni, Inc. (PRO) * (h) - - - - -
2 Protonics Research, Inc. (PRI) * (h) - - - - -
2 South Works Power Company (SWP) * 1,000 100 - - Holds a lease
1 NiSource Energy Technologies, Inc. (NET) 100 100 (10,730) (10,730) Holding company
Unsecured Debt (l) - - 20,814 20,814
1 NiSource Finance Corp. (NFC) 100 100 (342,943) (342,943) Financing subsidiary
1 NiSource Pipeline Group, Inc. (NPG) * (h) - - 11,591 11,591 -
Subsidiaries:
2 Granite State Gas Transmission, Inc.
(GSGT) 29,900 100 11,591 11,591 Interstate gas pipeline
Unsecured Debt (l) - - 7,327 7,327
Subsidiaries:
3 Bay State Energy Enterprises,
Inc. (BSEE) * 10,000 100 68 68 Energy-related services
3 Natural Gas Development, Inc.
(NGD) * (h) - - - - -
2 PNGTS Holding Corp. (PNGTS) * (h) - - - - -
1 Northern Indiana Fuel and Light Company, Inc.
(NIFL) 275,000 100 46,350 46,350 Gas utility
Subsidiary:
2 Northern Indiana Trading Company, Inc.
(NITC) 1,000 100 4,861 4,861 Gas brokering
-----------------------------------------------------------------------------------------------------------------------------------
6
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NUMBER OF % OF VOTING ISSUER OWNER'S
COMMON POWER OR BOOK VALUE BOOK VALUE
TIER NAME OF COMPANY (COMPANY ABBREVIATION) SHARES HELD INTEREST HELD ($000) ($000) TYPE OF BUSINESS
---------------------------------------------------------------------------------------------------------------------------------
1 Northern Indiana Public Service Company
(NIP) 73,282,258 100 899,622 899,622 Electric and gas utility
Unsecured Debt (l) - - 448,899 448,899
Subsidiary:
2 NIPSCO Exploration Company, Inc.
(NEXCO) * (h) - - - - -
1 Primary Energy, Inc. (PEI) 1,000 100 (28,538) (28,538) Arranges energy-related projects
Unsecured Debt (l) - - 77,699 77,699
Subsidiaries:
2 Cokenergy, Inc. (CEI) 1,000 100 (1,893) (1,893) Power generation project company
2 Harbor Coal Company (HCC) 1,000 100 5,247 5,247 Power generation project company
2 Ironside Energy LLC (IEL) (d) - 100 (4,974) (4,974) Power generation project company
2 Lakeside Energy Corporation
(LEC) 1,000 100 9,818 9,818 Power generation project company
2 North Lake Energy Corporation
(NLEC) 1,000 100 (3,716) (3,716) Power generation project company
2 Portside Energy Corporation
(PORT) 1,000 100 (942) (942) Power generation project company
2 Whiting Clean Energy, Inc.
(WCE) 1,000 100 (20,941) (20,941) Power generation project company
1 SM&P Utility Resources, Inc. (SMP) (e) - - - - -
Subsidiary:
2 Colcom Incorporated (CI) (e) - - - - -
------------------------------------------------------------------------------------------------------------------------------------
Note: All debt amounts exclude the current portion of long-term debt.
* Company was inactive at December 31, 2002.
(a) Haverstraw Bay, LLC was involved with power generation. Columbia
Electric Haverstraw Corporation owns a 2% interest and Columbia
Remainder Corporation directly holds 98%.
(b) NESI Energy Marketing L.L.C. was involved with the marketing of natural
gas and electricity. EnergyUSA, Inc. (IN) owned a 100% interest.
(c) NiSource Capital Trust I is a financing subsidiary of NiSource Inc.
NiSource Inc. holds 100% of the common equity.
(d) Primary Energy, Inc. owns a 100% interest in Ironside Energy LLC.
(e) SM&P Utility Resources, Inc. was sold to The Laclede Group on January
28, 2002.
(f) EnergyUSA-Appalachian Corp., an Indiana corporation, was formed on
February 19, 2001. The company holds oil and gas exploration
investments.
7
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
(g) On December 31, 2000, Columbia Energy Group Service Corporation (a
Delaware corp.) merged with NiSource Corporate Services Company (an
Indiana corp.) The combined company changed its name to NiSource
Corporate Services Company (a Delaware corp.). The company performs
management service for NiSource and its subsidiaries.
(h) The following companies were dissolved during 2002:
Analytic Systems Laboratories, Inc. (dissolved 02/01/02)
Brayer Energy Solutions, Inc. (dissolved 03/20/02)
CLNG Corporation (dissolved 3/14/02)
Columbia Electric Haverstraw Corporation (dissolved 12/31/02)
Columbia Energy Marketing Corporation (dissolved 12/31/02)
Columbia Energy Power Marketing Corporation (dissolved 12/31/02)
Columbia Energy Retail Corporation (dissolved 12/31/02)
Columbia Finance Corp. (dissolved 01/18/02)
Columbia LNG Corporation (dissolved 03/08/02)
Columbia Pipeline Corporation (dissolved 11/12/02)
Customer Information Services, Inc. (dissolved 1/24/02)
EnergyUSA Consumer Products Group, Inc. (dissolved 2/01/02)
Green Fuels, Inc. (dissolved 02/01/02)
KOGAF Enterprises, Inc. (dissolved 03/25/02)
MS-1 Distribution & Storage Corp. (dissolved 01/23/02)
Natural Gas Development, Inc. (dissolved 06/13/02)
NESI Energy Marketing, L.L.C. (dissolved 12/06/02)
NIPSCO Exploration Company, Inc. (dissolved 02/01/02)
NiSource Pipeline Group, Inc. (dissolved 11/15/02)
PNGTS Holding Corp. (dissolved 06/05/02)
Progeni, Inc. (dissolved 02/19/02)
Protonics Research, Inc. (dissolved 02/01/02)
(i) Columbia LNG Corporation, which owned and operates LNG storage and
transportation facilities was owned by Columbia Energy Group and Shell
Consolidated Energy Resources, Inc. Columbia Energy Group had voting
rights and owns 92.1% and Shell Consolidated Energy Resources, Inc. had
voting rights and owned 7.9% of Columbia LNG Corporation.
(j) On October 18, 2002, Columbia Insurance Corporation, Ltd. was renamed
NiSource Insurance Corporation Limited.
(k) On April 30, 2002, NiSource sold the water utility assets of the
Indianapolis Water Company (IWC) and other assets of IWC Resources
Corporation.
(l) Unsecured debt is presented on pages 9 - 13.
(m) Secured debt is presented on page 14.
8
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NOTE (l) UNSECURED DEBT
PRINCIPAL ISSUER OWNER'S
NAME OF COMPANY AMOUNT OWED BOOK VALUE BOOK VALUE
(ISSUER) SECURITY OWNED BY REGISTRANT ($000) ($000) ($000)
--------------------------------------------------------------------------------------
BSG Intercompany Notes:
2.11% Money Pool 218,535 218,535 218,535
------------------------------------------------------------------------------------
NU Intercompany Notes:
2.11% Money Pool 11,550 11,550 11,550
------------------------------------------------------------------------------------
CER Intercompany Notes:
2.11% Money Pool 85,613 85,613 85,613
------------------------------------------------------------------------------------
CES Intercompany Notes:
2.11% Money Pool 11,500 11,500 11,500
------------------------------------------------------------------------------------
CKY Intercompany Notes:
7.28% Due March 1, 2011 5,030 5,030 5,030
8.00% Due March 1, 2006 8,000 8,000 8,000
7.30% Due November 28, 2005 5,805 5,805 5,805
7.55% Due November 28, 2007 5,805 5,805 5,805
7.82% Due November 28, 2010 5,805 5,805 5,805
7.92% Due November 28, 2015 5,805 5,805 5,805
8.12% Due November 28, 2025 5,805 5,805 5,805
------------------------------------------------------------------------------------
42,055 42,055 42,055
------------------------------------------------------------------------------------
CMD Intercompany Notes:
8.12% Due March 1, 2016 6,500 6,500 6,500
7.30% Due November 28, 2005 2,495 2,495 2,495
7.55% Due November 28, 2007 2,495 2,495 2,495
7.82% Due November 28, 2010 2,495 2,495 2,495
7.92% Due November 28, 2015 2,495 2,495 2,495
8.12% Due November 28, 2025 2,495 2,495 2,495
------------------------------------------------------------------------------------
18,975 18,975 18,975
------------------------------------------------------------------------------------
9
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NOTE (l) UNSECURED DEBT (CONTINUED)
PRINCIPAL ISSUER OWNER'S
NAME OF COMPANY AMOUNT OWED BOOK VALUE BOOK VALUE
(ISSUER) SECURITY OWNED BY REGISTRANT ($000) ($000) ($000)
--------------------------------------------------------------------------------------
COH Intercompany Notes:
8.20% Due March 1, 2006 25,000 25,000 25,000
7.90% Due March 1, 2006 35,000 35,000 35,000
7.55% Due November 28, 2007 36,394 36,394 36,394
7.82% Due November 28, 2010 36,394 36,394 36,394
7.92% Due November 28, 2015 36,394 36,394 36,394
8.12% Due November 28, 2025 36,394 36,394 36,394
7.50% Due July 15, 2022 100,000 100,000 100,000
------------------------------------------------------------------------------------
305,576 305,576 305,576
------------------------------------------------------------------------------------
CPA Intercompany Notes:
7.28% Due March 1, 2011 11,000 11,000 11,000
7.89% Due March 1, 2014 20,000 20,000 20,000
7.89% Due March 1, 2016 20,000 20,000 20,000
8.12% Due March 1, 2013 35,000 35,000 35,000
7.90% Due March 1, 2006 10,000 10,000 10,000
7.30% Due November 28, 2005 17,843 17,843 17,843
7.55% Due November 28, 2007 17,843 17,843 17,843
7.82% Due November 28, 2010 17,843 17,843 17,843
7.92% Due November 28, 2015 17,843 17,843 17,843
8.12% Due November 28, 2025 17,843 17,843 17,843
2.11% Money Pool 55,901 55,901 55,901
------------------------------------------------------------------------------------
241,116 241,116 241,116
------------------------------------------------------------------------------------
10
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NOTE (l) UNSECURED DEBT (CONTINUED)
PRINCIPAL ISSUER OWNER'S
NAME OF COMPANY AMOUNT OWED BOOK VALUE BOOK VALUE
(ISSUER) SECURITY OWNED BY REGISTRANT ($000) ($000) ($000)
--------------------------------------------------------------------------------------
CGV Intercompany Notes:
7.28% Due March 1, 2011 10,000 10,000 10,000
6.81% Due March 1, 2012 15,000 15,000 15,000
6.73% Due March 1, 2013 10,000 10,000 10,000
7.89% Due March 1, 2014 10,000 10,000 10,000
8.12% Due March 1, 2016 21,000 21,000 21,000
7.30% Due November 28, 2005 12,835 12,835 12,835
7.55% Due November 28, 2007 12,835 12,835 12,835
7.82% Due November 28, 2010 12,835 12,835 12,835
7.92% Due November 28, 2015 12,835 12,835 12,835
8.12% Due November 28, 2025 12,835 12,835 12,835
2.11% Money Pool 37,039 37,039 37,039
-----------------------------------------------------------------------------------
167,214 167,214 167,214
-----------------------------------------------------------------------------------
TCO Intercompany Notes:
2.11% Money Pool 287,141 287,141 287,141
-----------------------------------------------------------------------------------
CGT Intercompany Notes:
7.65% Due March 1, 2014 20,000 20,000 20,000
7.30% Due November 28, 2005 9,578 9,578 9,578
7.55% Due November 28, 2007 9,578 9,578 9,578
7.82% Due November 28, 2010 9,578 9,578 9,578
7.92% Due November 28, 2015 9,578 9,578 9,578
8.12% Due November 28, 2025 9,578 9,578 9,578
2.11% Money Pool 41,705 41,705 41,705
-----------------------------------------------------------------------------------
109,595 109,595 109,595
-----------------------------------------------------------------------------------
CPL Intercompany Notes:
2.11% Money Pool 765 765 765
-----------------------------------------------------------------------------------
EUII Intercompany Notes:
2.11% Money Pool 44,316 44,316 44,316
-----------------------------------------------------------------------------------
11
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NOTE (l) UNSECURED DEBT (CONTINUED)
PRINCIPAL ISSUER OWNER'S
NAME OF COMPANY AMOUNT OWED BOOK VALUE BOOK VALUE
(ISSUER) SECURITY OWNED BY REGISTRANT ($000) ($000) ($000)
--------------------------------------------------------------------------------------
EUIM Intercompany Notes:
2.11% Money Pool 2,504 2,504 2,504
-----------------------------------------------------------------------------------
EUIC Intercompany Notes:
4.88% Short-term debt 4,414 4,414 4,414
-----------------------------------------------------------------------------------
TPC Intercompany Notes:
2.11% Money Pool 13,864 13,864 13,864
-----------------------------------------------------------------------------------
NESI Intercompany Notes:
2.11% Money Pool 45,482 45,482 45,482
-----------------------------------------------------------------------------------
CROSS Intercompany Notes:
2.11% Money Pool 31,228 31,228 31,228
-----------------------------------------------------------------------------------
NCS Intercompany Notes:
7.33% Due March 1, 2014 12,700 12,700 12,700
7.30% Due November 28, 2005 2,246 2,246 2,246
7.55% Due November 28, 2007 2,246 2,246 2,246
7.82% Due November 28, 2010 2,246 2,246 2,246
7.92% Due November 28, 2015 2,246 2,246 2,246
8.12% Due November 28, 2025 2,246 2,246 2,246
2.11% Money Pool 37,443 37,443 37,443
-----------------------------------------------------------------------------------
39,689 39,689 39,689
-----------------------------------------------------------------------------------
NDEV Intercompany Notes:
2.11% Money Pool 178,365 178,365 178,365
-----------------------------------------------------------------------------------
NET Intercompany Notes:
2.11% Money Pool 20,814 20,814 20,814
-----------------------------------------------------------------------------------
GSGT Intercompany Notes:
2.11% Money Pool 7,327 7,327 7,327
-----------------------------------------------------------------------------------
12
ITEM 1. SYSTEM COMPANIES AND INVESTMENT THEREIN AS OF DECEMBER 31, 2002
(continued)
NOTE (l) UNSECURED DEBT (CONTINUED)
PRINCIPAL ISSUER OWNER'S
NAME OF COMPANY AMOUNT OWED BOOK VALUE BOOK VALUE
(ISSUER) SECURITY OWNED BY REGISTRANT ($000) ($000) ($000)
--------------------------------------------------------------------------------------
NIP Intercompany Notes:
2.11% Money Pool 448,899 448,899 448,899
--------------------------------------------------------------------------------------
PEI Intercompany Notes:
2.11% Money Pool 77,699 77,699 77,699
--------------------------------------------------------------------------------------
2,414,236 2,414,236 2,414,236
======================================================================================
NOTE (M) SECURED DEBT
PRINCIPAL ISSUER OWNER'S
NAME OF COMPANY AMOUNT OWED BOOK VALUE BOOK VALUE
(ISSUER) SECURITY OWNED BY REGISTRANT ($000) ($000) ($000)
--------------------------------------------------------------------------------------
TCO Intercompany Notes:
6.80% Due November 28, 2005 128,500 128,500 128,500
7.05% Due November 28, 2007 128,500 128,500 128,500
7.32% Due November 28, 2010 128,500 128,500 128,500
------------------------------------------------------------------------------------
385,500 385,500 385,500
------------------------------------------------------------------------------------
ITEM 2. ACQUISITIONS OR SALES OF UTILITY ASSETS
None.
ITEM 3. ISSUE, SALE, PLEDGE, GUARANTEE OR ASSUMPTION OF SYSTEM SECURITIES
None.
13
ITEM 4. ACQUISITION, REDEMPTION OR RETIREMENT OF SYSTEM SECURITIES DURING
2002
Name of Company
Acquiring, Redeeming Number of Principal Consideration Held or Commission
Name of Issuer and Type of Issue or Retiring Securities Shares Amount ($000) ($000) Retired Authorization
------------------------------------------------------------------------------------------------------------------------------------
BSG
Medium Term Note - 6.625% Due 06-28-02 BSG - 5,000 5,000 Retired Exempt Rule 42
Medium Term Note - 7.250% Due 08-05-02 BSG - 20,000 20,000 Retired Exempt Rule 42
Medium Term Note - 7.550% Due 11-01-02 BSG - 4,000 4,000 Retired Exempt Rule 42
Medium Term Note - 7.375% Due 11-01-02 BSG - 7,000 7,000 Retired Exempt Rule 42
Medium Term Note - 7.550% Due 12-10-02 BSG - 1,000 1,000 Retired Exempt Rule 42
Medium Term Note - 7.450% Due 12-16-02 BSG - 5,000 5,000 Retired Exempt Rule 42
Medium Term Note - 7.370% Due 12-31-02 BSG - 5,000 5,000 Retired Exempt Rule 42
Medium Term Note - 7.380% Due 12-31-02 BSG - 5,000 5,000 Retired Exempt Rule 42
Medium Term Note - 7.375% Due 12-31-02 BSG - 1,000 1,000 Retired Exempt Rule 42
Subsidiary:
NU
Medium Term Note - 9.700% Due 09-01-31 NU - 13,000 13,000 Retired Exempt Rule 42
CEG
Debentures - 6.61% Series B, Due 11-28-02 CEG - 281,530 281,530 Retired Exempt Rule 42
CKY
Unsecured Debt CKY - 24 24 Retired Exempt Rule 42
COH
Unsecured Debt COH - 139 139 Retired Exempt Rule 42
IWC
Medium Term Note - 5.990% Due 02-01-09 IWC - 35,000 36,469 Retired Exempt Rule 42
Medium Term Note - 6.610% Due 02-01-19 IWC - 45,000 47,730 Retired Exempt Rule 42
Preferred Stock, Series A, 5.00% IWC - 1,047 1,047 Retired Exempt Rule 42
Preferred Stock, Series B, 4.25% IWC - 1,000 1,000 Retired Exempt Rule 42
Preferred Stock, Series C, 4.00% IWC - 450 450 Retired Exempt Rule 42
Preferred Stock, Series D, 4.50% IWC - 20 20 Retired Exempt Rule 42
NDC
Unsecured Debt NDC - 3,639 3,639 Retired Exempt Rule 42
------------------------------------------------------------------------------------------------------------------------------------
14
ITEM 4. ACQUISITION, REDEMPTION OR RETIREMENT OF SYSTEM SECURITIES DURING
2002 (continued)
Name of Company
Acquiring, Redeeming Number of Principal Consideration Held or Commission
Name of Issuer and Type of Issue or Retiring Securities Shares Amount ($000) ($000) Retired Authorization
------------------------------------------------------------------------------------------------------------------------------------
NIP
Redeemable Preferred Stock 8.35% NIP 6,000 600 611 Retired Exempt Rule 42
Redeemable Preferred Stock 7-3/4% NIP 5,554 555 561 Retired Exempt Rule 42
Preferred Stock 6.50%, Due 10-14-2002 NIP 430,000 43,000 43,000 Retired Exempt Rule 42
First Mortgage Bonds, Series T, 7-1/2%,
Due 04-01-02 NIP - 38,000 38,000 Retired Exempt Rule 42
Pollution Control Note, Series A Note,
City of Michigan City 5.70% NIP - 4,500 4,500 Retired Exempt Rule 42
Medium Term Note - 6.90% Due 06-03-02 NIP - 3,000 3,000 Retired Exempt Rule 42
Medium Term Note - 6.75% Due 06-12-02 NIP - 3,000 3,000 Retired Exempt Rule 42
Medium Term Note - 6.92% Due 06-06-02 NIP - 10,500 10,500 Retired Exempt Rule 42
TCO
Secured Debt TCO - 15 15 Retired Exempt Rule 42
------------------------------------------------------------------------------------------------------------------------------------
15
ITEM 5. INVESTMENTS IN SECURITIES OF NON SYSTEM COMPANIES
% of Voting Power Number of Book Value
Investor Investee Type of Investment or Interest Held Shares Owned ($000)
------------------------------------------------------------------------------------------------------------------------------------
CEB Binghamton Cogeneration Limited Partnership* Limited Partnership 10.0 N/A ***
CEBL Binghamton Cogeneration Limited Partnership* Limited Partnership 23.3 N/A ***
CES NewPower Holding, Inc. Common Shares 1.0 602,200 ***
CNR Clarksburg Gas Limited Partnership* Limited Partnership 2.0 N/A ***
CRC Haverstraw Bay, LLC* LLC Membership 98.0 N/A ***
HCC PCI Associates* Limited Partnership 50.0 N/A ***
JOF Chicago South Shore & South Bend Railroad Co. (b) General Partnership 40.0 N/A ***
JOF Illinois Indiana Development Company, L.L.C.* LLC Membership 40.0 N/A ***
NDC Bittersweet Pointe, L.P.* Limited Partnership 99.0 N/A ***
NDC Douglas Pointe Associates, L.P.* Limited Partnership 99.0 N/A ***
NDC Douglas Pointe II Associates, L.P.* Limited Partnership 99.0 N/A ***
NDC Douglas Pointe III Associates, L.L.C.* Limited Partnership 99.0 N/A ***
NDC Dunedin I, L.L.C.* LLC Membership 99.0 N/A ***
NDC Dunedin II, L.L.C.* LLC Membership 99.0 N/A ***
NDC Hebron Pointe, L.L.C.* LLC Membership 99.0 N/A ***
NDC House Investments - Midwest Corporate Tax Credit
Fund, L.P.* Limited Partnership 99.0 N/A ***
NDC Kingsmill Development Co., L.L.C.* Limited Partnership 99.9 N/A ***
NDC Prestwick Square of Fort Wayne Associates, L.P.* Limited Partnership 99.9 N/A ***
NDC Robertson, L.L.C.* LLC Membership 99.0 N/A ***
NDC Woodland Crossing, L.L.C.* LLC Membership 99.0 N/A ***
NDEV N Squared Aviation, L.L.C.* LLC Membership 33.3 N/A ***
NET Acumentrics Corporation Common Shares 3.1 333,333 ***
NET Capstone Turbine Corporation Common Shares 0.1 11,574 ***
NET CID Equity Capital III, L.P.* Limited Partnership 2.0 N/A ***
NET Corning Incorporated Common Shares 0.1 23,796 ***
NET Covance, Inc. Common Shares 0.1 4,483 ***
NET EnerTek Partners, LP* Limited Partnership 16.5 N/A ***
NET Evergreen Solar, Inc. Common Shares 0.1 14,524 ***
NET MOSAIC Energy, L.L.C.* LLC Membership 32.6 N/A ***
NET Nth Power Technologies Fund II, L.P.* Limited Partnership 4.1 N/A ***
NET Nth Power Technologies Fund II-A, L.P.* Limited Partnership 5.4 N/A ***
NET Proton Energy Systems, Inc. Common Shares 0.1 920 ***
NET Quest Diagnostics Incorporated Common Shares 0.1 4,482 ***
NET SunPower Corporation** Preferred Shares 14.7 1,215,564 ***
NET Utech Climate Challenge Fund, L.P.* Limited Partnership 17.9 N/A ***
NGS MidTex Gas Storage Company, L.L.P.* Limited Partnership 31.0 N/A ***
NIFC Bristol Resources Production Company, L.L.C.* LLC Membership 64.0 N/A ***
NU Boundary Gas, Inc. Common Shares 2.8 N/A ***
SWP The Wellingshire Joint Venture (b) General Partnership 50.0 N/A ***
TCO Millennium Pipeline Company, L.P.* Limited Partnership 47.0 N/A ***
TCO Millennium Pipeline Management Company, L.L.C. (a)* LLC Membership 47.5 N/A ***
----------------------------------------------------------------------------------------------------------------------------------
16
ITEM 5. INVESTMENTS IN SECURITIES OF NON SYSTEM COMPANIES (continued)
* All investments shown as limited partnerships are limited partnership
interests with no voting power. All LLC interests are in
manager-managed LLC's in which NiSource is not the manager.
** The interest in the preferred shares are non-voting.
*** Confidential treatment requested.
(a) Millennium Pipeline Management Company, L.P. holds a 1% general
partner interest in Millennium Pipeline Company, L.P.
(b) NiSource does not consolidate either general partnership because it
does not control either partnership, directly or indirectly and does
not have an interest greater than 50%. All interests comprising these
partnerships are general partnership interests. For Chicago South
Shore & South Bend Railroad Co., there is another general partner who
has a 60% general partnership interest. For the Wellingshire Joint
Venture, the other general partner owns a 50% general partnership
interest.
17
ITEM 6. OFFICERS AND DIRECTORS
PART I. NAMES, PRINCIPAL BUSINESS ADDRESS AND POSITIONS HELD AS OF
DECEMBER 31, 2002
The names, principal address and positions held as of December 31, 2002 of the
officers and directors of System companies is presented in the tables on the
following pages. The principal business address of each officer and director is
indicated in such tables by the numbers (1) through (23). 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:
1. 801 East 86th Avenue, Merrillville, Indiana 46410
2. 200 Civic Center Drive, Columbus, Ohio 43215
3. 12801 Fair Lakes, Parkway, Fairfax, Virginia 22030
4. 1500 165th Street, Hammond, IN 46324
5. 10 G Street, Suite 580, Washington DC 20002
6. Mintflower Place, 3rd Floor, 8 Par-La-Ville Road, Hamilton Bermuda HMNX
7. 67 Suncrest Terrace, PO Box 131, Colchester, Vermont, 05446
8. 2 Church Street, PO Box HM1022, Hamilton Bermuda HMDX
9. 1600 Dublin Road, Columbus Ohio 43215
10. 300 Friberg Pkwy, Westborough, Massachusetts 01581
11. 900 East Blvd, Kokomo, Indiana 46902
12. 220 E. Seventh Street, Auburn, Indiana 46706
13. 2001 Mercer Road, Lexington, Kentucky 40512
14. 1010 Sand Creek Drive, Chesterton, Indiana 46304
15. 650 Washington Road, Pittsburgh, Pennsylvania, 15228
16. 2603 Augusta, Houston, Texas, 77057
17. 900 Pennsylvania Avenue, Charleston, WV 25362
18. 1700 MacCorkle Avenue, S.E. Charleston, West Virginia 25314
19. 9001 Arboretum Parkway, Richmond, Virginia 23236
20. 4100 Edision Lakes Pkwy., Mishawaka, Indiana 4645
21. 1000, 400-3 Avenue SW, Calgary, AB T2P 4H2 Canada
22. 3661 Buchanan Street, 3rd Floor, San Francisco, California 94123
23. 1220 Waterway Blvd, Indianapolis, IN46202
18
ITEM 6. OFFICERS AND DIRECTORS (continued)
POSITION KEY CODE
D - Director
COB - Chairman of the Board
VC - Vice Chairman
CEO - Chief Executive Officer
COO - Chief Operating Officer
CFO - Chief Financial Officer
CAO - Chief Accounting Officer
CIO - Chief Information Officer
P - President
GC - General Counsel
GM - General Manager
GP - Group President
EVP - Executive Vice President
SVP - Senior Vice President
VP - Vice President
T - Treasurer
TR - Trustee
C - Controller
S - Secretary
CMS - Chairman of the Management Committee
MMC - Member of the Management Committee
SP - Sponsor
PNET - President, NiSource Energy Technologies
PT - President, Transaction Services
19
ITEM 6. OFFICERS AND DIRECTORS (continued)
NAME NI CG CAR NCM NCT NFC CCC TGT
------------------------------------------------------------------------------------------------------------
Stephen P. Adik (1) D, VC D D D SP D
------------------------------------------------------------------------------------------------------------
Steven C. Beering (1) D
------------------------------------------------------------------------------------------------------------
Arthur J. Decio (1) D
------------------------------------------------------------------------------------------------------------
Dennis E. Foster (1) D
------------------------------------------------------------------------------------------------------------
Gary L. Neale (1) D, COB, P, CEO
------------------------------------------------------------------------------------------------------------
Ian M. Rolland (1) D
------------------------------------------------------------------------------------------------------------
John W. Thompson (1) D
------------------------------------------------------------------------------------------------------------
Robert J. Welsh (1) D
------------------------------------------------------------------------------------------------------------
Carolyn Y. Woo (1) D
------------------------------------------------------------------------------------------------------------
Roger A. Young (1) D
------------------------------------------------------------------------------------------------------------
Samuel W. Miller, Jr. (1) EVP, COO
------------------------------------------------------------------------------------------------------------
Michael W. O'Donnell (1) EVP, CFO D, P D, P D, P TR D, P D, P D, P
------------------------------------------------------------------------------------------------------------
S. LaNette Zimmerman (1) EVP
------------------------------------------------------------------------------------------------------------
Peter V. Fazio Jr. (1) EVP, GC
------------------------------------------------------------------------------------------------------------
Patrick J. Mulchay (1) GP
------------------------------------------------------------------------------------------------------------
Jeffrey W. Yundt (1) GP
------------------------------------------------------------------------------------------------------------
Mark D. Wyckoff (1) PNET
------------------------------------------------------------------------------------------------------------
James M. Clarke (1) SVP
------------------------------------------------------------------------------------------------------------
Arthur E. Smith (1) SVP
------------------------------------------------------------------------------------------------------------
Barbara s. McKay (1) VP
------------------------------------------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP, C, CAO VP VP VP TR VP VP VP
------------------------------------------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T TR VP, T VP, T VP, T
------------------------------------------------------------------------------------------------------------
Dennis E. Senchak (1) VP
------------------------------------------------------------------------------------------------------------
Arthur A. Paquin (1) VP
------------------------------------------------------------------------------------------------------------
David A. Kelly (4) VP
------------------------------------------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S S S
------------------------------------------------------------------------------------------------------------
Vincent H. DeVito (2) C C C C C C
------------------------------------------------------------------------------------------------------------
20
ITEM 6. OFFICERS AND DIRECTORS (continued)
----------------------------------------------------------------------
NAME NCS NICL CAT CES
----------------------------------------------------------------------
Stephen P. Adik (1) D, VC D
----------------------------------------------------------------------
Gary L. Neale (1) D, COB, CEO
----------------------------------------------------------------------
Samuel W. Miller, Jr. (1) P
----------------------------------------------------------------------
Jeffrey W. Grossman (1) VP D, P VP D, VP
----------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T T
----------------------------------------------------------------------
James M. Clarke (1) SVP D
----------------------------------------------------------------------
Michael W. O'Donnell (1) EVP, CFO D D D, P
----------------------------------------------------------------------
S. LaNette Zimmerman (1) EVP
----------------------------------------------------------------------
Arthur E. Smith, Jr. (1) SVP
----------------------------------------------------------------------
Thomas J. Aruffo (1) VP
----------------------------------------------------------------------
Mary C. Bloom (2) VP
----------------------------------------------------------------------
Richard L. Bond (1) VP
----------------------------------------------------------------------
Robert D. Campbell (1) VP
----------------------------------------------------------------------
Donald K. Eldert (1) VP
----------------------------------------------------------------------
Gail W. Harowski (1) VP
----------------------------------------------------------------------
Dorothy M. Hawkins (1) VP
----------------------------------------------------------------------
Joel L. Hoelzer (1) VP
----------------------------------------------------------------------
Mark T. Maassel (1) VP
----------------------------------------------------------------------
Scott C. MacDonald (1) VP
----------------------------------------------------------------------
Charles E. Shafer II (2) VP
----------------------------------------------------------------------
Rebecca T. Sczudlo (5) VP
----------------------------------------------------------------------
David J. Vajda (1) VP
----------------------------------------------------------------------
Paul J. Newman (3) VP
----------------------------------------------------------------------
Genevieve A. Tuchow (2) VP
----------------------------------------------------------------------
Edward A. Santry (2) VP
----------------------------------------------------------------------
Timothy J. Tokish (2) VP
----------------------------------------------------------------------
Reginald L. Carter (2) PT
----------------------------------------------------------------------
Sherry H. Gavito (1) VP
----------------------------------------------------------------------
Karen A. Lohss (1) VP
----------------------------------------------------------------------
Patricia M. Lawicki (2) VP
----------------------------------------------------------------------
Gary W. Pottorff (1) S S S
----------------------------------------------------------------------
Tim Bucci (1) D, VP
----------------------------------------------------------------------
Susan Gatje (6) D
----------------------------------------------------------------------
Kathryn A. Westover (7) D
----------------------------------------------------------------------
Michael Ashford (8) S
----------------------------------------------------------------------
Vincent H. DeVito (2) C C C
----------------------------------------------------------------------
21
ITEM 6. OFFICERS AND DIRECTORS (continued)
--------------------------------------------------------------------------
NAME NIP CSP CSPV CAA NET
--------------------------------------------------------------------------
Stephen P. Adik (1) D
--------------------------------------------------------------------------
Patrick J. Mulchay (1) D
--------------------------------------------------------------------------
Jeffrey W. Yundt (1) D, COB D D D
--------------------------------------------------------------------------
Barrett Hatches (1) P
--------------------------------------------------------------------------
Robert J. Schacht (1) VP
--------------------------------------------------------------------------
Jerry L. Godwin (1) VP, COO
--------------------------------------------------------------------------
Robert C. Skaggs (2) D D D
--------------------------------------------------------------------------
Timothy J. Tokish (2) D D D
--------------------------------------------------------------------------
Michael A. Huwar (15) P P P
--------------------------------------------------------------------------
Timothy Taylor (1) VP
--------------------------------------------------------------------------
Karen J. Lenzo (1) VP
--------------------------------------------------------------------------
Daniel D. Gavito (1) VP
--------------------------------------------------------------------------
Kenneth P. Foley (1) VP
--------------------------------------------------------------------------
Jerome B. Weeden (1) VP
--------------------------------------------------------------------------
David J. Vajda (1) VP
--------------------------------------------------------------------------
Linda E. Miller (1) C
--------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP
--------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T VP, T
--------------------------------------------------------------------------
Robert G. Kriner (2) C C C
--------------------------------------------------------------------------
Mitchell E. Hershberger (1) C
--------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S
--------------------------------------------------------------------------
William J. Thomas (9) VP VP VP
--------------------------------------------------------------------------
Donald K. Eldert (1)
--------------------------------------------------------------------------
Steven P. Milne (22)
--------------------------------------------------------------------------
Carrie t. Lally (22)
--------------------------------------------------------------------------
Mark D. Wyckoff (1) D, P
--------------------------------------------------------------------------
Peter T. Disser (1) VP
--------------------------------------------------------------------------
Michael Zdyb (1) VP
--------------------------------------------------------------------------
22
ITEM 6. OFFICERS AND DIRECTORS (continued)
------------------------------------------------------------------------------------------
NAME KOKO KGF KOGF NIFL NITC SWP
------------------------------------------------------------------------------------------
Stephen P. Adik (1) D D D D D
------------------------------------------------------------------------------------------
Samuel W. Miller, Jr. (1) D
------------------------------------------------------------------------------------------
Patrick J. Mulchay (1) D
------------------------------------------------------------------------------------------
Jeffrey W. Yundt (1) D, COB D, COB COB D, COB
------------------------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP VP
------------------------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T
------------------------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S S
------------------------------------------------------------------------------------------
Barrett Hatches (1) D D D D D D, P
------------------------------------------------------------------------------------------
David J. Vajda (1) VP, T VP, T VP, T VP, T
------------------------------------------------------------------------------------------
Linda E. Miller (1) C C C C C
------------------------------------------------------------------------------------------
Vincent H. Devito (2) C
------------------------------------------------------------------------------------------
H. P. Conrad, Jr. (12) D, P D, P, T D, P, T, S
------------------------------------------------------------------------------------------
N. Reed Silliman (12) D
------------------------------------------------------------------------------------------
David a. McFatridge (11) VP VP VP
------------------------------------------------------------------------------------------
E. F. Hemingway, III (12) VP
------------------------------------------------------------------------------------------
------------------------------------------------------------
NAME BSG BSGPE NU
------------------------------------------------------------
Stephen P. Adik (1) D D
------------------------------------------------------------
Jack E. McGregor (10) D D
------------------------------------------------------------
Daniel J. Murphy III (10) D D
------------------------------------------------------------
Gary L Neale (1) D D
------------------------------------------------------------
Thomas C. Norton (10) D D
------------------------------------------------------------
Thomas W. Sherman (10) D D
------------------------------------------------------------
Robert C. Skaggs, Jr. (2) D, P D, P
------------------------------------------------------------
Roger A. Young (1) D, COB D
------------------------------------------------------------
Jeffrey W. Yundt (1) D D, COB
------------------------------------------------------------
Timothy J. Tokish (2) VP D, VP VP
------------------------------------------------------------
Michael a. Huwar (2) VP VP VP
------------------------------------------------------------
David A. Monte (2) VP VP
------------------------------------------------------------
Meg A. Brown (2) VP VP VP
------------------------------------------------------------
Samuel W. Miller (1) D
------------------------------------------------------------
Kenneth M. Margossian (10) D, P, CEO
------------------------------------------------------------
M. Carol Fox (2) VP VP VP
------------------------------------------------------------
Stephen H. Bryant (10) VP VP VP
------------------------------------------------------------
Danny G. Cote (10) D, VP
------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP
------------------------------------------------------------
Dennis W. McFarland (1) T T T
------------------------------------------------------------
Robert G. Kriner (2) C C C
------------------------------------------------------------
Gary W. Pottorff (1) S S S
------------------------------------------------------------
John M. O'Brien (2) VP
------------------------------------------------------------
23
ITEM 6. OFFICERS AND DIRECTORS (continued)
------------------------------------------------------------------------------------------
NAME CKY CMD COH CPA CGV NEST
------------------------------------------------------------------------------------------
Stephen P. Adik (1) D D D D D D
------------------------------------------------------------------------------------------
Joseph W. Kelly (13) D, VP
------------------------------------------------------------------------------------------
Robert C. Skaggs, Jr. (2) D, P D, P D, P D, P D, P D, P
------------------------------------------------------------------------------------------
Jeffrey W. Yundt (1) D D D D D D, P
------------------------------------------------------------------------------------------
Lawrence D. Smore (15) D, COO D, COO
------------------------------------------------------------------------------------------
Peggy H. Landini (1) D, COO
------------------------------------------------------------------------------------------
Terrence J. Murphy (15) VP VP VP
------------------------------------------------------------------------------------------
Edward A. Santry (14) VP VP
------------------------------------------------------------------------------------------
Vincent H. DeVito (2) C
------------------------------------------------------------------------------------------
Douglas G. Borror (2) D
------------------------------------------------------------------------------------------
Charlotte P. Kessler (2) D
------------------------------------------------------------------------------------------
Charles E. Shafer II (2) VP
------------------------------------------------------------------------------------------
Gary L. Neale (1) D
------------------------------------------------------------------------------------------
Richard F. James (16) VP VP VP VP VP
------------------------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S S
------------------------------------------------------------------------------------------
Reginald L. Carter (2) EVP, COO
------------------------------------------------------------------------------------------
M. Carol Fox (2) VP
------------------------------------------------------------------------------------------
Mike A. Huwar (2) VP VP VP VP VP
------------------------------------------------------------------------------------------
Genevieve A Tuchow (2) VP
------------------------------------------------------------------------------------------
John W. Partridge, Jr. (2) VP VP
------------------------------------------------------------------------------------------
Timothy J. Tokish, Jr. (2) VP VP VP VP VP
------------------------------------------------------------------------------------------
David A. Monte (2) VP VP VP VP VP
------------------------------------------------------------------------------------------
David J. Vajda (1) VP, T VP, T VP, T VP, T VP, T
------------------------------------------------------------------------------------------
Robert G. Kriner C C C C C
------------------------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP VP
------------------------------------------------------------------------------------------
Meg A. Brown (2) VP VP VP VP VP
------------------------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T
------------------------------------------------------------------------------------------
----------------------------------------------------------------------
NAME CER AD CNR CNRCL HH
----------------------------------------------------------------------
Catherine G. Abbott (3) D, CEO
----------------------------------------------------------------------
Michael W. O'Donnell (1) D
----------------------------------------------------------------------
Clifford D. Johnson (17) D
----------------------------------------------------------------------
Stephen M. Warnick (17) D, P D, P D, P D, P D, P
----------------------------------------------------------------------
Deanna J. Farmer (17) VP D, VP D, VP D, VP
----------------------------------------------------------------------
Sharon O. Flanery (17) VP D, VP D, VP D, VP D, VP
----------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP
----------------------------------------------------------------------
Kathleen O'Leary (3) VP VP VP VP
----------------------------------------------------------------------
R. Neal Pierce (17) D, GC
----------------------------------------------------------------------
R. Mark Hackett (17) VP D, VP VP D, VP
----------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T T VP, T
----------------------------------------------------------------------
June Konold (2) C
----------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S
----------------------------------------------------------------------
24
ITEM 6. OFFICERS AND DIRECTORS (continued)
---------------------------------------------------------------
NAME TCO CGT CDW CROSS
---------------------------------------------------------------
Catherine G. Abbott (3)
---------------------------------------------------------------
Glen L. Kettering (3) D, P D, P D, P D, P
---------------------------------------------------------------
Michael W. O'Donnell (1) D D D D
---------------------------------------------------------------
Rene P. Dartez (16) VP VP
---------------------------------------------------------------
James W Hart (16) VP VP
---------------------------------------------------------------
W. Harris Marple (18) SVP SVP
---------------------------------------------------------------
Kathleen O'Leary (3) VP VP
---------------------------------------------------------------
Alan D. Burns (18) VP VP
---------------------------------------------------------------
Sheree L. Parks Downey (18) VP VP VP
---------------------------------------------------------------
Victor M. Gaglio (18) VP VP
---------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP
---------------------------------------------------------------
Carl W. Levander (3) VP VP VP
---------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T
---------------------------------------------------------------
David C. Pentzien (3) VP
---------------------------------------------------------------
Reed D. Robinson (18) VP VP
---------------------------------------------------------------
Michael D. Watson (3) VP VP
---------------------------------------------------------------
Karen D. Townsend (3) C C C C
---------------------------------------------------------------
Gary W. Pottorff (1) S S S S
---------------------------------------------------------------
------------------------------------------
NAME BSEE GSGT
------------------------------------------
Glen L. Kettering (3) D, P D, P
------------------------------------------
Michael W. O'Donnell (1) D D
------------------------------------------
Stephen M. Warnick (18) VP
------------------------------------------
Jeffrey W. Grossman (1) VP VP
------------------------------------------
Carl W. Levander (3) VP
------------------------------------------
Dennis W. McFarland (1) VP, T VP, T
------------------------------------------
David C. Pentzien (3) VP
------------------------------------------
Reed D. Robinson (18) VP
------------------------------------------
Michael D. Watson (3) VP
------------------------------------------
Karen D. Townsend (3) C C
------------------------------------------
James W. Hart, Jr. (16) VP
------------------------------------------
Gary W. Pottorff (1) S S
------------------------------------------
25
ITEM 6. OFFICERS AND DIRECTORS (continued)
---------------------------------------------------
NAME CNS CMC CTC
---------------------------------------------------
Glen L. Kettering (3) D D D
---------------------------------------------------
Michael W. O'Donnell (1) D D D
---------------------------------------------------
Rene P. Dartez (16) VP VP D, P
---------------------------------------------------
Alan D. Burns (18) P P
---------------------------------------------------
Victor M. Gaglio (18) VP VP
---------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP
---------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T
---------------------------------------------------
Karen D. Townsend (3) C C
---------------------------------------------------
Deanna J. Farmer (2) C
---------------------------------------------------
Gary W. Pottorff (1) S S S
---------------------------------------------------
-------------------------------------------------------------
NAME TPC EUA PEI CEI
-------------------------------------------------------------
Stephen P. Adik (1) D D
-------------------------------------------------------------
Patrick J. Mulchay (1) D D
-------------------------------------------------------------
Michael Calderone (16) VP
-------------------------------------------------------------
Peter I. Tumminello (16) VP VP
-------------------------------------------------------------
Donald E. Theriault (4) VP
-------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP
-------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T
-------------------------------------------------------------
Gary W. Pottorff (1) S S S S
-------------------------------------------------------------
Joseph L. Turner, Jr. (1) D D
-------------------------------------------------------------
Mark d. Wyckoff (1) D, P D, P D, P D, P
-------------------------------------------------------------
Dean H. Hall (1) SVP SVP
-------------------------------------------------------------
V. Michael Alverson (1) VP VP
-------------------------------------------------------------
Peter T. Disser (1) VP
-------------------------------------------------------------
Mitchell E. Hershberger (1) C C C C
-------------------------------------------------------------
Gregory A. Martinsen (1) VP VP
-------------------------------------------------------------
Vincent H. DeVito (2) C C
-------------------------------------------------------------
26
ITEM 6. OFFICERS AND DIRECTORS (continued)
--------------------------------------------------------------------------------
NAME HCC IEL LEC NLEC PORT WCE
--------------------------------------------------------------------------------
Joseph L. Turner, Jr. (1) D D D D D
--------------------------------------------------------------------------------
Mark d. Wyckoff (1) D, P P D, P D, P D, P D, P
--------------------------------------------------------------------------------
Dean H. Hall (1) SVP SVP SVP VP VP VP
--------------------------------------------------------------------------------
V. Michael Alverson (1) VP VP VP VP VP VP
--------------------------------------------------------------------------------
Kenneth P. Foley (1) VP VP VP VP VP VP
--------------------------------------------------------------------------------
Richard L. Hoover (1) VP VP VP VP VP VP
--------------------------------------------------------------------------------
Gregory A. Martinsen (1) VP VP VP VP VP VP
--------------------------------------------------------------------------------
Vincent H. DeVito (2) C C C C C C
--------------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP VP
--------------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T VP, T VP, T
--------------------------------------------------------------------------------
Mitchell E. Hershberger (1) C C C C C C
--------------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S S
--------------------------------------------------------------------------------
------------------------------------------------------------
NAME PET CRC CEB CEBL
------------------------------------------------------------
Stephen P. Adik (1) D D D D
------------------------------------------------------------
Michael W. O'Donnell (1) D D, P D, P D, P
------------------------------------------------------------
Jeffrey W. Grossman (1) P VP P P
------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T
------------------------------------------------------------
Vincent H. DeVito (2) C C C C
------------------------------------------------------------
Gary W. Pottorff (1) S S S S
------------------------------------------------------------
-----------------------------------------------------------------------------
NAME EUII EUIM ESPE EUIC EUE EUC
-----------------------------------------------------------------------------
Stephen P. Adik (1) D, P D, P D, P D, P D, P D, P
-----------------------------------------------------------------------------
Donald K. Eldert (1) VP VP VP VP VP VP
-----------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP VP
-----------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T VP, T VP, T
-----------------------------------------------------------------------------
Vincent H. DeVito (2) C C C C C C
-----------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S S
-----------------------------------------------------------------------------
27
ITEM 6. OFFICERS AND DIRECTORS (continued)
-------------------------------------------------------------------
NAME EUM EUR NIFC NITEX NGS NESI
-------------------------------------------------------------------
Stephen P. Adik (1) D D, P D, P D, P D, P D
-------------------------------------------------------------------
Michael W. O'Donnell (1) D
-------------------------------------------------------------------
Jeffrey W. Yundt (1) D
-------------------------------------------------------------------
Sherry H. Gavito (1) VP P
-------------------------------------------------------------------
Mark A. Cleaves (19) VP
-------------------------------------------------------------------
James M. Clarke (1) D
-------------------------------------------------------------------
Donald K. Eldert (1) VP VP
-------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP VP
-------------------------------------------------------------------
Dennis W. McFarland (1) T T T T T T
-------------------------------------------------------------------
June M. Konold (2) C C
-------------------------------------------------------------------
Gary W. Pottorff (1) S S S S S S
-------------------------------------------------------------------
Vincent H. DeVito (2) C C C C
-------------------------------------------------------------------
-----------------------------------------------------------------------------------------
NAME NPM NESCL NEMCL NDEV CARD LEL SCC
-----------------------------------------------------------------------------------------
Stephen P. Adik (1) D D, P D, P D, VC D, COB
-----------------------------------------------------------------------------------------
Gary L. Neale (1) D D D, COB
-----------------------------------------------------------------------------------------
Jeffrey W. Yundt (1) D D D, COB
-----------------------------------------------------------------------------------------
James W. Surbey (21) D, S
-----------------------------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP VP
-----------------------------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T VP, T VP, T
-----------------------------------------------------------------------------------------
June M. Konold (2) C
-----------------------------------------------------------------------------------------
Gary W. Pottorff (1) S S S S
-----------------------------------------------------------------------------------------
Vincent H. DeVito (2) C C C
-----------------------------------------------------------------------------------------
Patricia K. Locascio (1) GM
-----------------------------------------------------------------------------------------
David A. Kelly (14) D
-----------------------------------------------------------------------------------------
Michael W. O'Donnell (1) P P
-----------------------------------------------------------------------------------------
John Palmer (14) C
-----------------------------------------------------------------------------------------
Jerry D. Mobley (14) P P
-----------------------------------------------------------------------------------------
-------------------------------------------
NAME JOF NDC
-------------------------------------------
Stephen P. Adik (1) D, P D, P
-------------------------------------------
William E. McDonough (20)
-------------------------------------------
Jeffrey W. Grossman (1) VP VP
-------------------------------------------
Dennis W. McFarland (1) VP, T VP, T
-------------------------------------------
Patricia K. Locascio (1) GM
-------------------------------------------
Gail W. Harowski (1)
-------------------------------------------
Samuel W. Miller, Jr. (1)
-------------------------------------------
Gary W. Pottorff (1) S S
-------------------------------------------
Vincent H. DeVito (2) C C
-------------------------------------------
28
ITEM 6. OFFICERS AND DIRECTORS (continued)
-----------------------------------------------------------
NAME IWCR IWC HWC IRAC
-----------------------------------------------------------
David A. Kelly (14) D, P D, P D, P D, P
-----------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP
-----------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T
-----------------------------------------------------------
Vincent H. DeVito (2) C C C C
-----------------------------------------------------------
Gary W. Pottorff S S S S
-----------------------------------------------------------
----------------------------------------------------------------------
NAME IWCM DWWC LWAC LWC WRP
----------------------------------------------------------------------
David A. Kelly (14) D, P D, P D, P D, P D, P
----------------------------------------------------------------------
Jeffrey W. Grossman (1) VP VP VP VP
----------------------------------------------------------------------
Dennis W. McFarland (1) VP, T VP, T VP, T VP, T
----------------------------------------------------------------------
Vincent H. DeVito (2) C C C C
----------------------------------------------------------------------
Gary W. Pottorff (1) S S S S
----------------------------------------------------------------------
Kenneth N. Giffin (23) D, VP
----------------------------------------------------------------------
John M. Davis (23) D, S, T
----------------------------------------------------------------------
----------------------------------------------------------------------
29
ITEM 6. OFFICERS AND DIRECTORS (continued)
PART II. FINANCIAL CONNECTIONS AS OF DECEMBER 31, 2002
Name of Officer or Director Name and Location of Financial Institution
------------------------------------------------------------------------------------------------------
Jack E. McGregor, Director of Bay State Gas Company and People's Bank - Bridgeport, CT
Northern Utilities
Daniel J. Murphy, Director of Bay State Gas and Northern Northmark Bank - North Andover, MA
Utilities
Gary L. Neale, Director and Chairman, President and Chief Mercantile National Bank - Hammond, IN
Executive Officer of NiSource Inc.
Robert J. Schacht, Executive Vice President and Chief HFS Banky - Hobart, IN
Operating Officer of Northern Indiana Public Service
Company
Robert J. Welsh, Director of NiSource Inc. Mercantile National Bank - Hammond, IN
Carolyn Y. Woo, Director of NiSource Inc. St. Joseph Capital Bank - Mishawaka, IN
------------------------------------------------------------------------------------------------------
Position Held in Applicable
Name of Officer or Director Financial Institution Exemption
----------------------------------------------------------------------------------------------
Jack E. McGregor, Director of Bay State Gas Company and Director Rule 70(c)
Northern Utilities
Daniel J. Murphy, Director of Bay State Gas and Northern Director Rule 70(c)
Utilities
Gary L. Neale, Director and Chairman, President and Chief Director Rule 70(c)
Executive Officer of NiSource Inc.
Robert J. Schacht, Executive Vice President and Chief Director Rule 70(c)
Operating Officer of Northern Indiana Public Service
Company
Robert J. Welsh, Director of NiSource Inc. Director Rule 70(c)
Carolyn Y. Woo, Director of NiSource Inc. Director Rule 70(c)
----------------------------------------------------------------------------------------------
30
ITEM 6. OFFICERS AND DIRECTORS (continued)
PART III(a). COMPENSATION OF OFFICERS AND DIRECTORS
EXECUTIVE COMPENSATION
NOMINATING AND COMPENSATION COMMITTEE REPORT ON EXECUTIVE COMPENSATION
The Nominating and Compensation Committee's compensation policy is designed to
relate total compensation (base salary, annual incentives and long-term
stock-based compensation) to corporate performance. This policy applies to all
of the Named Officers, including the Chief Executive Officer, as of December 31,
2002. The Committee discusses and considers executive compensation matters, then
makes recommendations to the full board of directors, which takes the final
action on these matters. The board of directors accepted all of the Committee's
recommendations in 2002.
The Committee has engaged Hewitt Associates, an independent compensation
consulting firm, to advise it and provide surveys of comparative compensation
practices for (1) a group of energy-oriented companies, including electric, gas
or combination utility companies, diversified energy companies and companies
with gas marketing, transmission and distribution operations and energy services
operations, and (2) a diversified group of companies representing general
industry. The 2002 executive compensation comparative groups consisted of 37 and
36 companies, respectively, from which data was available to Hewitt and which
the Committee believed to be competitors of the Company for executive talent.
The Committee may change the companies contained within the comparative
compensation groups in future years if information about any company included in
a group is not available, any companies included in a group are no longer
competitors for executive talent, or if the Committee determines that different
energy or other types of companies are competitors of the Company. The Company's
comparative compensation groups include some, but not all, of the companies that
make up the Dow Jones Utilities Index used in the Stock Price Performance Graph
and consist of a larger number of companies than contained in the index.
The Committee considers the surveys provided by Hewitt in determining base
salary, annual incentives and long-term stock-based compensation. The
Committee's philosophy is to set conservative base salaries at or near the
medians of the energy and general industry comparative groups, and to supplement
them with restricted/contingent stock awards and performance-based variable
compensation in the form of annual incentives under the Annual Incentive Plan
and option grants under the Long-Term Incentive Plan. This mix of compensation
allows an executive's annual total compensation to fluctuate according to the
Company's financial performance. Through the use of stock options and annual
incentives, the Committee continues to provide a performance-based component to
compensation. The Company's long-term incentive awards are stock-based (for
example, stock options, restricted stock awards and contingent stock awards) to
emphasize long-term stock price appreciation and the concomitant increased
stockholder value. In 2002, total compensation of the executive officers was
targeted between the 50th and the 75th percentile of the relevant comparative
compensation group.
In establishing Mr. Neale's base salary for 2002, the Committee reviewed
information provided by Hewitt regarding the chief executive officer
compensation practices of comparable utility and energy companies. The Committee
determined to set base salary near the median salary of the comparative group,
giving regard to Mr. Neale's proven abilities and strong performance with the
Company since joining it as Executive Vice President and Chief Operating Officer
in 1989. As with the other executive officers, Mr. Neale's total compensation
was targeted to be between the 50th and the 75th percentile of the relevant
comparative compensation group, depending upon the Company's financial
performance. As with the other executives, Mr. Neale's annual incentive under
the Annual Incentive Plan is based on the Company's performance against certain
financial performance targets established by the Committee. As part of his total
compensation package Mr. Neale also received stock options in 2002 as part of
the company's stock option program under which awards are made to various
management employees of the Company and its subsidiaries. Because the value of
the options to Mr. Neale is a function of the price growth of the company's
stock, the amount Mr. Neale would realize from his options is tied directly to
increases in shareholder value.
31
ITEM 6. OFFICERS AND DIRECTORS (continued)
The Committee determines annual incentive targets for all executive officers in
accordance with the Annual Incentive Plan. Each year, the Committee approves
certain financial performance targets to be included in the formula set forth in
the Annual Incentive Plan for awarding annual incentives. Annual incentives
awarded to each of the Named Officers (including the Chief Executive Officer)
are based on overall corporate performance, rather than individual performance
of the executive. In 2002, targets were based on earnings per share, while in
2003, targets will be based on net income from continuing operations. The Annual
Incentive Plan establishes a threshold level of financial performance (below
which no annual incentive is paid), a target level, and a maximum level (above
which no additional annual incentive is paid). The range of awards and levels of
awards (as a percent of base salary), if financial performance thresholds are
achieved, are as follows:
Range Award if Targets Met
----------------------------------------------------------------------------------------------------
Chief Executive Officer 40.0% to 120.0% 80.0%
Vice Chairman 35.0% to 105.0% 70.0%
Chief Operating Officer 35.0% to 105.0% 70.0%
President and Executive Vice Presidents 32.5% to 97.5% 65.0%
Other Vice Presidents 20.0% to 75.0% 40.0% to 50.0%
-------------------------------------------------------------------------------------------
The Committee determined that the Company would have met the threshold set under
the Annual Incentive Plan had the Company not taken a charge to earnings in
connection with the Company's decision to exit the telecommunications business,
a business acquired by the Company as part of the acquisition of Columbia Energy
Group. Therefore, while the Company's actual earnings per share in 2002 were
lower than threshold, the Committee awarded the Company's eligible employees,
including the executive officers, a discretionary bonus which in each case was
less than the minimum annual incentive that would have been paid if threshold
had been met under the Annual Incentive Plan.
In addition to base salaries and annual incentives, executive officers are also
eligible to receive stock-based awards under the Company's Long-Term Incentive
Plan. Under the Long-Term Incentive Plan, the Committee may award stock options,
stock appreciation rights, performance units, restricted stock awards,
contingent stock awards and dividend equivalents. The Committee considers base
salaries of the executive officers, prior awards under the Long-Term Incentive
Plan, and the Company's total compensation target in establishing long-term
incentive awards. For purposes of determining the number of options and/or
shares to be granted to reach total target compensation, options granted to
executive officers are valued using the Black-Scholes option pricing model at
the time of grant and restricted stock awards and contingent stock awards
granted to executive officers are valued using Hewitt's present value pricing
model. In 2002, stock options were awarded to each of the Named Officers, and
the number of options granted to each Named Officer was based on these
considerations. The compensation value of stock options depends on actual stock
price appreciation.
The Committee's compensation policy continues to be re-evaluated in order to
ensure that the executives' total compensation packages align with and support
the Company's business objectives while also aligning the interests of the
executive officers with the Company's performance as well as the interests of
its stockholders. In that regard, the Committee believes that compensation
packages should emphasize long-term growth and stability, while continuing to
provide incentives for short-term appreciation. As such, the Company's long-term
stock-based compensation has become more focused on grants of restricted stock
and contingent stock, with longer vesting and holding periods, versus stock
options. The ratio of the value of the contingent/restricted stock awards to
option grants is now approximately 75% to 25%. While historically contingent and
restricted stock awards contained certain performance vesting criteria (and
grants of contingent stock made in 2000 and 2001 still contain these performance
criteria), these vesting criteria resulted in variable, mark to market
accounting treatment, requiring quarterly adjustments to net income that were
not reflective of the Company's financial performance from operations. The
Committee determined that it was in the best interests of the Company and its
stockholders to retain, as part of the total compensation package, grants of
restricted and contingent stock which were tied to the performance of the
Company, but that avoided the negative impact associated with variable
accounting treatment.
32
ITEM 6. OFFICERS AND DIRECTORS (continued)
Therefore, beginning in 2003, grants of restricted stock and contingent stock
under the Long Term Incentive Plan will be made pursuant to a new Time
Accelerated Restricted Stock Award Program ("TARSAP"). Restrictions with respect
to awards will lapse at the end of a three-year performance cycle if the Company
meets both a peer group target and an absolute target. For the performance cycle
commencing on January 1, 2003 and ending on December 31, 2005 the peer group
target is a 60th percentile for relative total shareholder return ranking and
the absolute earnings target is a 12% annualized compound total shareholder
return. If both of the targets are not met, restrictions with respect to an
award will not lapse at the end of a three-year performance cycle but will lapse
on the sixth anniversary of the date of grant of the award. The TARSAP program
provides a compensation component, which aligns the Company's interest in stable
long-term growth and the stockholders' interests in tying executive compensation
to Company performance.
Section 162(m) of the Internal Revenue Code provides that compensation in excess
of $1,000,000 per year paid to the chief executive officer or any of the other
Named Officers, other than compensation meeting the definition of "performance
based compensation," will not be deductible by a corporation for federal income
tax purposes. Because a significant portion of total compensation is performance
based and certain executives have agreed to limitations on the amount of certain
grants under the Long-Term Incentive Plan, which can vest in any year, the
Committee does not anticipate that the limits of Section 162(m) will materially
affect the deductibility of compensation paid by the Company in 2002. However,
the Committee will continue to review the deductibility of compensation under
Section 162(m) and related regulations.
The Committee believes that its overall executive compensation program has been
successful in providing competitive compensation sufficient to attract and
retain highly qualified executives, while at the same time encouraging increased
performance from the executive officers, which creates additional stockholder
value.
NOMINATING AND COMPENSATION COMMITTEE
March 17, 2003
Steven C. Beering, Chairman
Arthur J. Decio
Robert J. Welsh
COMPENSATION OF EXECUTIVE OFFICERS
SUMMARY. The following table summarizes compensation for services to NiSource
and its corporate predecessor NiSource Inc. (incorporated in Indiana) and their
subsidiaries for the years 2002, 2001 and 2000 awarded to, earned by or paid to
the Chief Executive Officer, the four other most highly compensated executive
officers and two other individuals who would have been one of the four most
highly compensated executive officers of the Company had each such individual
remained an executive officer of the Company as of December 31, 2002
(collectively these individuals constitute the "Named Officers").
33
ITEM 6. OFFICERS AND DIRECTORS (continued)
SUMMARY COMPENSATION TABLE
Long-Term Compensation
---------------------------------
Annual Compensation Awards Payouts
----------------------------------------- ---------------- --------------
Other Annual Securities Long-Term All Other
Compensation Under-lying Incentive Plan Compensation
Name and Principal Position Year Salary ($) Bonus ($)(2) ($)(3) Options/SARS (#) Payouts ($)(4) ($)(5)
-----------------------------------------------------------------------------------------------------------------------------------
Gary L. Neale 2002 950,000 361,000 105,943 194,064 - 18,827
Chairman, President and 2001 950,000 - 9,774 160,377 285,000 22,273
Chief Executive Officer 2000 800,000 1,060,000 9,985 250,000 2,340,665 28,240
Stephen P. Adik 2002 500,000 166,250 7,174 68,493 190,341 4,493
Vice Chairman 2001 500,000 - 4,337 56,604 - 4,796
2000 425,000 526,250 15,258 90,000 1,058,738 5,284
Michael W. O'Donnell (6) 2002 400,000 123,500 12,183 30,822 492,339 24,000
Executive Vice President 2001 400,000 - 2,385,937 (7) 25,472 - 24,850
and Chief Financial Officer 2000 325,000 273,000 - - - 24,000
S. LaNette Zimmerman (8) 2002 304,166 98,000 2,583 24,258 582,776 1,221
Executive Vice President, 2001 291,650 - 11,870 20,047 - -
Human Resources and
Communications 2000 246,356 - - - - -
Mark D. Wyckoff (9) 2002 295,000 91,085 54,405 22,831 622,734 1,221
President, 2001 295,000 - - 18,868 - 583
Energy Technologies 2000 200,000 140,000 - 30,000 37,562 584
Patrick J. Mulchay (10) 2002 400,000 130,000 1,046 41,391 381,576 9,156
Group President, 2001 392,821 - 8,064 34,198 - 5,883
Merchant Energy 2000 375,000 253,125 3,253 75,000 1,058,738 5,948
Jeffrey W. Yundt (10) 2002 400,000 130,000 1,808 41,381 380,822 4,126
Group President, 2001 400,000 - 194,467 34,198 - 4,222
Energy Distribution 2000 350,000 218,050 5,545 75,000 1,058,738 3,512
--------------------------------------------------------------------------------------------------------------------------------
34
ITEM 6. OFFICERS AND DIRECTORS (continued)
(1) Compensation deferred at the election of the Named Officer is reported
in the category and year in which such compensation was earned.
(2) All bonuses are paid pursuant to the Annual Incentive Plan, except for
the bonus paid to Mr. O'Donnell in 2000, which was paid pursuant to the
Columbia Annual Incentive Plan, and the bonuses to Messrs. Mulchay and
Yundt, which are described in note (10). The amounts shown for Messrs.
Neale and Adik in 2000 include bonuses of $500,000 and $250,000,
respectively, received in consideration for their performance and
efforts in connection with the acquisition of Columbia Energy Group.
The amount shown for Mr. Wyckoff for 2000 includes $40,000 paid in
connection with his work on Project Compass, an integration project
related to the acquisition of Columbia Energy Group. For further
discussion of the bonuses paid in 2002 please refer to the Nominating
and Compensation Committee Report on Executive Compensation.
(3) The 2002 amount shown for Mr. Neale includes $73,076 paid to Mr. Neale
to buy back unused vacation days. The 2002 amount shown for Mr. Wyckoff
includes $38,720 paid by the Company in connection with a country club
membership and certain related dues. The 2001 amount shown for Mr.
Yundt includes a relocation allowance of $82,496 and a related tax
allowance of $57,321. The 2001 amount for Mr. O'Donnell includes a
relocation allowance of $49,407 and a related tax allowance of $40,793
as well as other amounts as described in note (10).
(4) The payouts shown are based on the value, at date of vesting, of
restricted shares awarded under the Long-Term Incentive Plan which
vested during the years shown. The amounts shown for 2000 for Messrs.
Neale, Adik, Yundt and Mulchay include amounts attributable to the
restricted stock awards granted in 1998 for which performance
requirements were waived by the Nominating and Compensation Committee.
Total restricted shares held (assuming 100% vesting) and aggregate
market value at December 31, 2002 (based on the average of the high and
low sale price of the common stock on that date as reported on the New
York Stock Exchange Composite Transactions Tape) for the Named Officers
were as follows: Mr. Neale, 441,563 shares valued at $ 8,760,609; Mr.
Adik, 151,492 shares valued at $3,015,521; Mr. O'Donnell, 31,033 shares
valued at $615,694; Mr. Wyckoff, 24,988 shares valued at $495,761; Ms.
Zimmerman, 43,884 shares valued at $870,658; Mr. Mulchay 79,743 shares
valued at $1,582,101; and Mr. Yundt, 78,281 shares valued at
$1,553,095. Dividends on the restricted shares are paid to the Named
Officers.
(5) The Chairman, President and Chief Executive Officer, the Vice Chairman,
and certain Group Presidents of the Company have available to them a
supplemental life insurance plan which provides split-dollar coverage
of up to 3.5 times base compensation as of commencement of the plan in
1991 and could provide life insurance coverage after retirement if
there is adequate cash value in the respective policy. "All Other
Compensation" represents Company contributions to the 401(k) Plan and
the dollar value of the benefit to the Named Officers under the
supplemental life insurance plan, as follows: Mr. Neale-$1,065 401(k)
Plan, $14,213 premium value and $3,549 term insurance cost; Mr.
Adik-$1,110 401(k) Plan, $2,004 premium value and $1,378 term insurance
cost; Mr. Mulchay-$4,988 401 (k) Plan, $3,067 premium value and $1,101
term insurance cost; Mr. Yundt-$1,221 401 (k) Plan, $1,949 premium
value and $956 term insurance cost; Mr. Wyckoff-$ 1,221 401(k) Plan;
and, Ms. Zimmerman-$1,221 401 (k) Plan. The value of the life insurance
premiums paid by the Company in excess of term insurance cost on behalf
of the Named Officers under the supplemental life insurance plan has
been restated for all periods in accordance with the present value
interest-free loan method. The amount shown for 2002 for Mr. O'Donnell
includes $11,000 paid by Columbia Energy Group to its Employee Savings
Plan and $ 13,000 paid by Columbia Energy Group to its Employee Savings
Restoration Plan.
(6) The amounts shown for 2000 for Mr. O'Donnell include 10 months of
compensation paid to Mr. O'Donnell in his capacity as Senior Vice
President and Chief Financial Officer of Columbia Energy Group prior to
the acquisition of Columbia Energy Group by the Company and 2 months of
compensation paid to Mr. O'Donnell in his capacity as Executive Vice
President and Chief Financial Officer of the Company.
(7) The compensation reported represents perquisites and other personal
benefits as discussed in note (3) as well as phantom stock units
granted to Mr. O'Donnell pursuant to an agreement under which the
Company established a phantom stock unit account for his benefit which
consisted initially of 73,020 units in consideration of his acceptance
of employment and 26,533 units in consideration of his willingness to
enter into a non-competition agreement with the Company. A phantom
stock unit is a unit whose value is related to the value of the common
stock of the Company. Mr. O'Donnell is entitled to receive dividend
equivalents with respect to the units in either cash or additional
units. Upon termination of employment, Mr. O'Donnell
35
ITEM 6. OFFICERS AND DIRECTORS (continued)
(or his beneficiary) will be entitled to receive from the Company a
cash distribution in an amount, with respect to each unit credited to
his account, equal to the greater of (i) the price per share of the
Company's common stock at the close of business on the date of
termination, and (ii) 85% of the price per share of the Company's
common stock on November 1, 2000. The 26,533 units credited to Mr.
O'Donnell's account in connection with the non-competition portion of
the agreement, and any dividend equivalents paid thereon, are subject
to forfeiture in the event that Mr. O'Donnell violates the
non-competition provisions of the agreement at any time during the term
of the agreement or for a period of one year following his termination.
The amount shown represents the value of the phantom stock units
granted pursuant to the Phantom Stock Agreement based on the closing
sale price of the common stock on December 31, 2001, as reported in The
Wall Street Journal.
(8) During 2000, Ms. Zimmerman worked as a consultant for the Company in
its Human Resources Department. The amount shown as salary for 2000
represents the compensation Ms. Zimmerman received from the Company
with respect to such consulting services.
(9) Mr. Wyckoff is also President of Primary Energy, Inc. and EnergyUSA-TPC
Corp.
(10) Mr. Mulchay was Group President, Merchant Energy until his retirement
from that post on January 31, 2003. Mr. Mulchay was also President of
Northern Indiana Public Service Company during 2000. Mr. Yundt was
Group President, Energy Distribution until his retirement from that
post on January 31, 2003. Mr. Yundt was also President of Bay State Gas
Company during 2000. As part of the negotiation of their respective
retirement agreements, each of Messrs. Mulchay and Yundt received a
bonus for services provided in 2002. The bonus amount shown for 2002
for both Messrs. Mulchay and Yundt represents the negotiated bonus that
each executive received. One half of each of Messrs. Mulchay's and
Yundt's bonus for 2000 was determined based on the financial
performance of the business units for which they were responsible.
Option Grants in 2002. The following table sets forth information concerning the
grants of options to purchase common stock made during 2002 to the Named
Officers. No stock appreciation rights were awarded during 2002.
OPTION/SAR GRANTS IN LAST FISCAL YEAR
INDIVIDUAL GRANTS
Number of Securities Percent of Total Options/ Exercise or Grant Date
Under-lying Options/ SARS Granted to Employees Base Price Expiration Present Value
Name SARS Granted (#)(1) in Fiscal Year (2) ($/SH)(3) Date ($)(4)
--------------------------------------------------------------------------------------------------------------------
Gary L. Neale 194,064 8.86 21.01 01/24/2012 751,028
Stephen P. Adik 68,493 3.13 21.01 01/24/2012 265,068
Michael W. O'Donnell 30,822 1.41 21.01 01/24/2012 119,281
Mark D. Wyckoff 22,831 1.04 21.01 01/24/2012 88,355
S. LaNette Zimmerman 24,258 1.11 21.01 01/24/2012 93,878
Patrick J. Mulchay 41,381 1.89 21.01 01/24/2012 160,144
Jeffrey W. Yundt 41,381 1.89 21.01 01/24/2012 160,144
--------------------------------------------------------------------------------------------------------------------
36
ITEM 6. OFFICERS AND DIRECTORS (continued)
(1) All options granted in 2002 are fully exercisable commencing one year
from the date of grant. Vesting may be accelerated as a result of
certain events relating to a change in control of the Company. The
exercise price and tax withholding obligation related to exercise may
be paid by delivery of already owned shares of common stock, subject to
certain conditions.
(2) Based on an aggregate of 2,190,745 options granted to all employees in
2002.
(3) The options were granted at the average of high and low sale prices of
the common stock on January 25, 2002, as reported on the New York Stock
Exchange Composite Transactions Tape.
(4) Grant date present value is determined using the Black-Scholes
option-pricing model. The assumptions used in the Black-Scholes option
pricing model for the January 25, 2002 grants (expiring January 24,
2012) were as follows: expected volatility - 30% (estimated stock price
volatility for the term of the grant); risk-free rate of return - 5.04%
(the rate for a ten-year U.S. treasury); discount for risk of
forfeiture - 10%; estimated annual dividend - $1.16; expected option
term - ten years; and vesting - 100% one year after date of grant. No
assumption was made relating to non-transferability. Actual gains, if
any, on option exercises and common shares are dependent on the future
performance of the common stock and overall market condition. The
amounts reflected in this table may not be achieved.
OPTION EXERCISES IN 2002. The following table sets forth certain information
concerning the exercise of options or stock appreciation rights during 2002 by
each of the Named Officers and the number and value of unexercised options and
stock appreciation rights at December 31, 2002.
AGGREGATE OPTION EXERCISES IN LAST FISCAL YEAR
AND FISCAL YEAR-END OPTION VALUES
Number of Securities Underlying Unexercised
Options/SARS at Fiscal Year-End (#)
Shares Acquired Value -------------------------------------------
Name on Exercise (#) Realized ($) Exercisable Unexercisable
------------------------------------------------------------------------------------------------
Gary L. Neale 20,000 144,864 750,377 194,064
Stephen P. Adik 12,000 80,627 288,604 68,493
Michael W. O'Donnell - - 25,472 30,822
Mark D. Wyckoff - - 94,668 22,831
S. LaNette Zimmerman - - 20,047 24,258
Patrick J. Mulchay 12,000 83,384 246,198 41,381
Jeffrey W. Yundt 12,000 83,384 246,198 41,381
------------------------------------------------------------------------------------------------
Value of Unexercised In-the-Money
Options/SARS at Fiscal Year-End ($)(1)
-------------------------------------
Name Exercisable Unexercisable
-----------------------------------------------------------
Gary L. Neale 802,405 -
Stephen P. Adik 293,590 -
Michael W. O'Donnell - -
Mark D. Wyckoff 71,155 -
S. LaNette Zimmerman - -
Patrick J. Mulchay 283,071 -
Jeffrey W. Yundt 283,071 -
-----------------------------------------------------------
(1) Represents the difference between the option exercise price and $19.84,
the average of high and low sale prices of the common shares on December 31,
2002, as reported on the New York Stock Exchange Composite Transactions Tape.
37
ITEM 6. OFFICERS AND DIRECTORS (continued)
LONG-TERM INCENTIVE PLAN AWARDS IN 2002. No shares of restricted stock or
contingent stock were awarded to any of the Named Officers pursuant to the
Long-Term Incentive Plan during 2002.
PENSION PLAN AND SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN
The following table shows estimated annual benefits, giving effect to the
Company's Pension Plan and Supplemental Executive Retirement Plan, payable upon
retirement to persons in the specified remuneration and years-of-service
classifications.
PENSION PLAN TABLE
Years of Service
--------------------------------------------------------
Remuneration 15 20 25 30 35
----------------------------------------------------------------------
300,000 120,060 160,080 167,580 175,080 175,080
400,000 165,060 220,080 230,080 240,080 240,080
500,000 210,060 280,080 292,580 305,080 305,080
600,000 255,060 340,080 355,080 370,080 370,080
700,000 300,060 400,080 417,580 435,080 435,080
800,000 345,060 460,080 480,080 500,080 500,080
900,000 390,060 520,080 542,580 565,080 565,080
1,000,000 435,060 580,080 605,080 630,080 630,080
1,100,000 480,060 640,080 667,580 695,080 695,080
1,200,000 525,060 700,080 730,080 760,080 760,080
1,300,000 570,060 760,080 792,580 825,080 825,080
1,400,000 615,060 820,080 855,080 890,080 890,080
1,500,000 660,060 880,080 917,580 955,080 955,080
1,600,000 705,060 940,080 980,080 1,020,080 1,020,080
1,700,000 750,060 1,000,080 1,042,580 1,085,080 1,085,080
1,800,000 795,060 1,060,080 1,105,080 1,150,080 1,150,080
1,900,000 840,060 1,120,080 1,167,580 1,215,080 1,215,080
2,000,000 885,060 1,180,080 1,230,080 1,280,080 1,280,080
----------------------------------------------------------------------
The credited years of service for each of the Named Officers (other than Mr.
O'Donnell), pursuant to the Pension Plan and Supplemental Executive Retirement
Plan, are as follows: Gary L. Neale - 28 years; Stephen P. Adik - 24 years;
Patrick J. Mulchay - 40 years; Mark D. Wyckoff - 11 years; S. LaNette Zimmerman
- 22; and Jeffrey W. Yundt - 23 years.
Upon their retirement, regular employees and officers of the Company and its
subsidiaries which adopt the plan (including directors who are also full-time
officers) will be entitled to a monthly pension in accordance with the
provisions of the Company's pension plan, originally effective as of January 1,
1945. The directors who are not and have not been officers of the Company are
not included in the pension plan. The pensions are payable out of a trust fund
established under the pension plan with The Northern Trust Company trustee. The
trust fund consists of contributions made by the Company and the earnings of the
fund. Over a period of years the contributions are intended to result in overall
actuarial solvency of the trust fund. The pension plan of the Company has been
determined by the Internal Revenue Service to be qualified under Section 401 of
the Internal Revenue Code.
38
ITEM 6. OFFICERS AND DIRECTORS (continued)
The pension plan was amended and restated effective July 1, 2002 to add a "cash
balance feature." Participants in the plan as of December 31, 2002 were entitled
to elect to remain in the "final average pay feature" of the plan or to begin
participating in the new cash balance feature. Participants hired on and after
January 1, 2002 automatically participate in the cash balance feature. A
participant in the cash balance feature will have a benefit consisting of his or
her opening account balance (his or her accrued benefit under the final average
pay feature of the plan as of December 31, 2002, if any) plus annual pay and
interest credits to his or her cash balance account. Pay credits equal a
percentage of compensation based on the participant's combined age and service.
Interest is credited to his or her account based on the interest rate on 30-year
treasury securities, as determined by the Internal Revenue Service, for the
September immediately preceding the first day of each year, but not less than
4%. Upon retirement, termination of employment or death, the participant or his
or her beneficiary will receive a benefit that is the equivalent of his or her
cash balance account balance. Participants and beneficiaries are entitled to
elect to receive payment of this benefit pursuant to various alternatives
including a lump sum option.
Pension benefits are determined separately under the final average pay portion
of the plan for each participant. The formula for a monthly payment for
retirement at age 65 is 1.7% of average monthly compensation multiplied by years
of service (to a maximum of 30 years) plus 0.6% of average monthly compensation
multiplied by years of service over 30. Average monthly compensation is the
average for the 60 consecutive highest-paid months in the employee's last 120
months of service. Covered compensation is defined as wages reported as W-2
earnings (up to a limit set forth in the Internal Revenue Code and adjusted
periodically) plus any salary reduction contributions made under the Company's
401(k) plan, minus any portion of a bonus in excess of 50% of base pay and any
amounts paid for unused vacation time and vacation days carried forward from
prior years. The benefits listed in the Pension Plan table are not subject to
any deduction for Social Security or other offset amounts.
The Company also has a Supplemental Executive Retirement Plan, which applies to
those officers, and other employees selected by the board of directors to
participate in the plan. Benefits from this plan are to be paid from the general
assets of the Company.
The Supplemental Executive Retirement Plan provides a retirement benefit at age
65 of the greater of (i) 60% of five-year average pay (prorated for less than 20
years of service) and an additional 0.5% of 5-year average pay per year for
participants with between 20 and 30 years of service, less Primary Social
Security Benefits or (ii) the benefit formula under the Company's Pension Plan.
In either case, the benefit is reduced by the actual pension payable from the
Company's Pension Plan. In addition, the Supplemental Executive Retirement Plan
provides certain early retirement and disability benefits and pre-retirement
death benefits for the spouse of a participant.
Mr. O'Donnell continues to participate in the Retirement Plan of Columbia Energy
Group, a subsidiary of the Company. Mr. O'Donnell has 30 credited years of
service under this plan. The formula for a retiree's monthly retirement benefit
at age 65 under the Retirement Plan of Columbia Energy Group is (i) 1.15% of the
retiree's final average compensation that does not exceed 1/2 of the average
Social Security wage base times years of service up to 30, plus (ii) 1.5% of the
retiree's final average compensation in excess of 1/2 of the average Social
Security wage base times years of service up to 30, plus (iii) .5% of the
retiree's final average compensation times years of service between 30 and 40.
In addition, Mr. O'Donnell participates in Columbia Energy Group's Pension
Restoration Plan which provides for a supplemental retirement benefit equal to
the difference between (i) the benefit he would have received under the
Retirement Plan had such benefit not been limited by section 401(a)(17) of the
Internal Revenue Code and reduced by his deferrals into the Columbia Executive
Deferred Compensation Plan, minus (ii) the actual benefit he received under the
Retirement Plan.
The Company has entered into an agreement with Ms. Zimmerman, which provides for
an additional retirement benefit in the event Ms. Zimmerman's employment with
the Company terminates either (i) due to death or disability prior to December
31, 2003, or (ii) for reasons other than her involuntary termination for good
cause after December 31, 2003. In either such event, Ms. Zimmerman's monthly
retirement benefit under the Supplemental Executive Retirement Plan will be
computed upon the assumption that her first day of service was January 1, 1981
and will be reduced by the amount of her retirement benefit that she receives
under the pension plan of her previous employer.
39
ITEM 6. OFFICERS AND DIRECTORS (continued)
CHANGE IN CONTROL AND TERMINATION AGREEMENTS
The Company has entered into Change in Control and Termination Agreements with
Mr. Neale and the other Named Officers. The Company believes that these
agreements are in the best interests of the stockholders, to insure that in the
event of extraordinary events, totally independent judgment is enhanced to
maximize stockholder value. The agreements can be terminated on three years'
notice and provide for the payment of specified benefits if the executive
terminates employment for good reason or is terminated by the Company for any
reason other than good cause within 24 months following certain changes in
control. Each of these agreements also provides for payment of these benefits if
the executive voluntarily terminates employment for any reason during a
specified one-month period within 24 months following a change in control or, in
the case of Messrs. Neale and Adik, at any time during this 24 month period. No
amounts will be payable under the agreements if the executive's employment is
terminated by the Company for good cause (as defined in the agreements).
The agreements provide for the payment of three times the executive's current
annual base salary and target incentive bonus compensation. The executive will
also receive a pro rata portion of the executive's targeted incentive bonus for
the year of termination. The executive would also receive benefits from the
Company that would otherwise be earned during the three-year period following
the executive's termination under the Company's Supplemental Executive
Retirement Plan and qualified retirement plans. All stock options held by the
executive would become immediately exercisable upon the date of termination of
employment, and the restrictions would lapse on all restricted stock and
contingent stock awards which have been made to the executive. The Company will
increase the payment made to the executive as necessary to compensate the
executive on an after-tax basis for any parachute penalty tax imposed on the
payment of amounts under the contracts.
During the three-year period following the executive's termination, the
executive and his or her spouse or other dependents will continue to be covered
by applicable health or welfare plans of the Company. If the executive dies
during the three-year period following the executive's termination, all amounts
payable to the executive will be paid to a named beneficiary.
The agreement with Mr. Neale provides for the same severance payments as
described above in the event his employment is terminated at any time by the
Company (other than for good cause) or due to death or disability, or if he
voluntarily terminates employment with good reason (as defined in the
agreement), even in the absence of a change in control.
In connection with Mr. Yundt's retirement, the Company agreed to pay to Mr.
Yundt an enhanced retirement benefit equal to the excess of (1) the retirement
benefit Mr. Yundt would have received under the SERP, the Company's Pension Plan
and Northern Indiana Public Service Company's Pension Plans, as in existence on
January 31, 2003, as if Mr. Yundt had (i) reached age 60 and completed 25 years
of service under the plans as of January 31, 2003 and (ii) received the greater
of the threshold 2002 incentive bonus or his actual bonus, over (2) the
aggregate benefit that Mr. Yundt was otherwise entitled to receive under the
plans. Mr. Yundt's agreement also provides that, in the event that certain
change in control events occur within a specified period of time following his
date of retirement, Mr. Yundt would be entitled to receive the benefits set
forth in his existing change in control agreement, less any benefits he received
pursuant to his enhanced retirement benefit. Likewise, in connection with Mr.
Mulchay's retirement, the Company entered into a retirement agreement with Mr.
Mulchay entitling him to receive the benefits set forth in his existing change
in control agreement in the event that certain change in control events occur
within a specified period of time following his date of retirement, less any
benefits he received pursuant to his severance agreement.
COMPENSATION OF THE COMPANY'S DIRECTORS
The Company pays each director who is not receiving a salary from the Company
$30,000 for each year, $3,000 annually for each standing committee on which the
director sits, $1,000 annually for each committee chairmanship, $1,200 for each
board meeting attended and $750 per committee meeting attended. Under a deferred
compensation arrangement, directors may elect to have their fees deferred in the
current year and credited to an interest-bearing account or to a phantom stock
account for payment in the future.
40
ITEM 6. OFFICERS AND DIRECTORS (continued)
The Company's Nonemployee Director Retirement Plan provides a retirement benefit
for each nonemployee director currently serving on the board who was originally
elected or appointed to the board prior to December 31, 2001, who has completed
at least five years of service on the board and who has not elected to opt out
of the plan. Directors who are first elected or appointed to the board after
2001 will not be eligible to participate in the retirement plan. The benefit
under the plan is a monthly amount equal to one-twelfth of the annual retainer
for board service in effect at the time of the director's retirement from the
board and will be paid for 120 months, or the number of full months of service
the individual served as a nonemployee director of the Company, whichever is
less. Directors first elected prior to 2001 who elected to opt out of the plan
in 2002 will receive, under the Company's Nonemployee Director Stock Incentive
Plan, as amended and restated effective as of July 1, 2002, restricted stock
units of comparable value to the present value of the retirement benefit such
director had earned under the retirement plan through June 30, 2002. Directors
who opt out of the retirement plan and directors first elected after 2001 will
not receive a retirement benefit under the retirement plan, but instead may
receive, at the discretion of the Nominating and Compensation Committee,
additional restricted shares of common stock and restricted stock unit grants
under the Company's Nonemployee Director Stock Incentive Plan to ensure that the
retirement benefit, together with other compensation paid to the nonemployee
director, delivers a competitive compensation package.
The Company's Nonemployee Director Stock Incentive Plan provides for a grant of
2,600 restricted shares of common stock to each nonemployee director of the
Company upon his or her election or re-election as a director of the Company.
The grants of restricted common stock vest in 20% annual increments, with all of
a director's stock vesting five years after the date of award. However, the
grants vest immediately upon the director's death, disability or retirement
after attaining age 70, or the effective date of a change in control of the
Company. In 2002, Messrs. Rolland, Thompson and Young each received a grant of
2,600 restricted shares of common stock under this plan. The board may designate
that a scheduled award will consist of nonqualified stock options rather than
restricted stock; if so, then, in lieu of restricted shares, each nonemployee
director shall be granted a nonqualified option to purchase 7,800 shares of
common stock. Grants of nonqualified stock options vest in 20% annual increments
and become fully vested on the fifth anniversary of the date of the grant. The
grants will vest immediately upon the director's death, disability or retirement
after attaining age 70, or the effective date of a change in control of the
Company.
Pursuant to the proposed amendments to the Company's Nonemployee Director Stock
Incentive Plan, the incentive plan will also provide for grants to nonemployee
directors of restricted stock units that have a value related to the Company's
common stock. These restricted stock units had previously been granted to
nonemployee directors under the Company's Nonemployee Director Restricted Stock
Unit Plan; however, under the proposed amendments to the incentive plan, the
provisions of the Restricted Stock Unit Plan regarding the grants of such
restricted stock units will be merged into the incentive plan. Under the
Restricted Stock Unit Plan, each nonemployee director received an initial grant
of 500 units in April 1999. Thereafter, each nonemployee director received, upon
his or her election or re-election to the board, an additional grant of units,
which beginning in 2002, was increased to 600 units. Pursuant to the proposed
amendments, the additional grants of 600 units to each nonemployee director upon
his or her election or re-election to the board will be made under the incentive
plan. The grants of units vest in 20% annual increments, with all of a
director's units vesting five years after the date of award. The grants vest
immediately upon the director's death, disability or retirement after attaining
age 70, or the effective date of a change in control of the Company. Additional
units are credited to each nonemployee director with respect to the units
included in his or her account from time to time to reflect dividends paid to
stockholders of the Company with respect to common stock. The units have no
voting or other stock ownership rights and are payable in shares of the
Company's common stock. In 2002, Messrs. Rolland, Thompson and Young each
received a grant of 600 units.
The Company has adopted a Directors' Charitable Gift Program for nonemployee
directors. Under the program, the Company makes a donation to one or more
eligible tax-exempt organizations as designated by each eligible director. The
Company contributes up to an aggregate of $125,000 for each nonemployee director
who has served as a director of the Company for at least five years and up to an
additional $125,000 (for an overall $250,000) for each nonemployee director who
has served ten years or more. Organizations eligible to receive a gift under the
program include charitable organizations and accredited United States
institutions of higher learning. Individual directors derive no financial
benefit from the program, as all deductions relating to the charitable donations
accrue solely to the Company. A director's private foundation is not eligible to
receive donations under the program. All current nonemployee directors are
eligible to participate in the program.
41
ITEM 6. OFFICERS AND DIRECTORS (continued)
PART III(b). SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS, DIRECTORS AND
MANAGEMENT.
The following table contains information about those persons or groups which are
known to the Company to be the beneficial owners of more than five percent of
the outstanding common stock.
Name and Address of Beneficial Owner Amount and Nature of Beneficial Ownership Percent of Class Outstanding
---------------------------------------------------------------------------------------------------------------------
CAPITAL RESEARCH AND MANAGEMENT COMPANY 22,215,880 8.30 (1)
333 South Hope Street, 55th Floor
Los Angeles, California 90071
MASSACHUSETTS FINANCIAL SERVICES COMPANY 13,827,032 5.65 (2)
500 Bolyston Street
15th Floor
Boston, Massachusetts 02116
---------------------------------------------------------------------------------------------------------------------
(1) As reported on statements made on Schedule 13G filed with the
Securities and Exchange Commission on February 13, 2003 on behalf of
Capital Research & Management Company. According to the report, the
amount shown includes 67,530 shares resulting form the assumed
conversion of 428,490 shares of convertible preferred securities, due
November 1, 2004; and includes 523,350 shares resulting from the
assumed conversion of 325,000 shares of the Convertible Preferred PIES,
due February 19, 2003.
(2) As reported on statements made on Schedule 13G filed with the
Securities and Exchange Commission on February 13, 2003 on behalf of
Massachusetts Financial Services Company. According to the report, the
amount shown includes 906,799 shares which may be acquired through the
conversion of convertible preferred securities, due November 1, 2004.
42
ITEM 6. OFFICERS AND DIRECTORS (continued)
The following table contains information about the beneficial ownership of the
Company's common stock as of March 1, 2003, for each of the directors, nominees
and named executive officers, and for all directors and executive officers as a
group.
Amount and Nature of
Name of Beneficial Owner Beneficial Ownership (1)(2)
-----------------------------------------------------------------------------------------------
Stephen P. Adik 612,237
Steven C. Beering 10,628
Arthur J. Decio 10,500
Dennis E. Foster 12,561
Gary L. Neale 1,529,158
Ian M. Rolland (3) 26,777
John W. Thompson 15,633
Robert J. Welsh 14,000
Carolyn Y. Woo 4,000
Roger A. Young 33,091
Patrick J. Mulchay 404,875
Michael W. O'Donnell 110,623
Mark D. Wyckoff 180,768
Jeffrey W. Yundt 416,910
S. LaNette Zimmerman 104,549
All directors and executive officers as a group 3,695,468
-----------------------------------------------------------------------------------------------
(1) The number of shares owned includes shares held in the Company's
Automatic Dividend Reinvestment and Share Purchase Plan, shares
held in the Company's Tax Deferred Savings Plans (the "401(k)"),
Employee Stock Purchase Plan and restricted shares awarded under
the Company's 1988 and 1994 Long-Term Incentive Plans (the
"Incentive Plans") and Nonemployee Director Stock Incentive Plan,
where applicable. The percentage of common stock owned by all
directors and executive officers as a group is approximately 1.41
percent of the common stock outstanding as of March 1, 2003.
(2) The totals include shares for which the following executive
officers have a right to acquire beneficial ownership, within 60
days after March 1, 2003, by exercising stock options granted
under the Incentive Plan: Stephen P. Adik - 357,097 shares; Gary
L. Neale - 944,441 shares; Patrick J. Mulchay - 287,579 shares;
Michael W. O'Donnell - 56,294 shares; Mark D. Wyckoff - 117,499
shares; Jeffrey W. Yundt - 287,579 shares; S. LaNette Zimmerman -
44,305 shares; and all executive officers as a group - 2,091,356
shares.
(3) The number of shares owned by Mr. Rolland includes 9,277 shares
owned by the Ian and Miriam Rolland Foundation over which Mr.
Rolland maintains investment control, but for which Mr. Rolland
disclaims beneficial ownership.
43
ITEM 6. OFFICERS AND DIRECTORS (continued)
PART III(c). CONTRACTS AND TRANSACTIONS.
None.
PART III(d). INDEBTEDNESS.
None.
PART III(e). PARTICIPATION IN BONUS AND PROFIT SHARING ARRANGEMENT.
See Item 6 Part III(a) above.
PART III(f). DIRECTORS AND OFFICERS RIGHTS TO INDEMNITY.
Provisions for indemnification of directors and officers are included in the
Certificate of Incorporation or By-Laws in accordance with applicable laws.
ITEM 7. CONTRIBUTIONS AND PUBLIC RELATIONS
PART I. EXPENDITURES FOR ANY POLITICAL PARTY, CANDIDATE FOR PUBLIC OFFICE
OR HOLDER OF SUCH OFFICE, OR ANY COMMITTEE OR AGENT THEREFOR.
Name of
Company Recipient of Beneficiary Purpose Accounts Charged Amount ($)
-------------------------------------------------------------------------------------------------------------------------------
CKY Employee Political Action Fund Legal, accounting and solicitation General and Administrative 108,892
CMD services rendered by employees for
COH Employees Political Action Fund
CPA registered with the Federal Election
CVA Committee
NIP
TCO
-------------------------------------------------------------------------------------------------------------------------------
44
ITEM 7. CONTRIBUTIONS AND PUBLIC RELATIONS (continued)
PART II. EXPENDITURES FOR ANY CITIZENS GROUP OR PUBLIC RELATIONS COUNSEL.
Calender Year 2002
Name of Company and Name or
Number of Recipients or Beneficiaries Purpose Accounts Charged Amount ($)
--------------------------------------------------------------------------------------------------------------------
BSG
7 Various Chambers of Commerce Economic Development General & Administrative 22,084
NU
2 Various Chambers of Commerce Economic Development General & Administrative 2,990
CGV
5 Various Chambers of Commerce Economic Development General & Administrative 9,006
CKY
Better Business Bureau Economic Development General & Administrative 570
CMD
2 Various Chambers of Commerce Economic Development General & Administrative 870
COH
Ohio Chamber of Commerce Economic Development General & Administrative 13,300
15 Various Chambers of Commerce Economic Development General & Administrative 9,282
CPA
Pennsylvania Chamber of Commerce Economic Development General & Administrative 8,250
York Chamber of Commerce Economic Development General & Administrative 7,710
12 Various Chambers of Commerce Economic Development General & Administrative 4,988
NIP
9 Various Chambers of Commerce Economic Development General & Administrative 55,740
TCO
5 Various Chambers of Commerce Information and Education General & Administrative 14,547
--------------------------------------------------------------------------------------------------------------------
45
ITEM 8. SERVICE, SALES AND CONSTRUCTION CONTRACTS
PART I. INTERCOMPANY CONTRACTS.
For the year ended December 31, 2002:
Serving Receiving In Effect on Dec. 31
Transaction Company Company Compensation($) Date of Contract (YES or NO)
-------------------------------------------------------------------------------------------------------------------------------
Management & Business Services BSG NU 1,573,424 1/1/1979 YES
Management & Business Services BSG GSGT 287,189 1/1/1979 NO
Operations & Maintenance Services BSG EUII 193,670 12/05/00 NO
Aircraft Support Personnel NIP NCS 796,690 N/A N/A
Corrosion Services NIP NIT 46,100 N/A N/A
Gas Line Construction Services NIP NIT 28,425 N/A N/A
Gas Line Construction Services NIP LEL 42,971 N/A N/A
Helicopter Usage NIP NCS 30,996 N/A N/A
Intense Computer System Fees NESI NIP 179,827 N/A N/A
Power Quality Services NIP NET 36,736 N/A N/A
Substation Services NIP PEI 27,128 N/A N/A
Administrative Services TCO CGT 2,614,487 1/1/2002 YES
Office Space Operating Agreement TCO CGT 240,060 N/A YES
Meter Maintenance and Gas Sampling TCO CGT, COH, CVA, C NR 14,846 N/A YES
Administrative Services TCO NCP 8,000 1/1/2001 NO
Operating Agreement - Lexington CS TCO CVA 87,600 N/A YES
Chart Processing TCO CNR 270,000 1/1/2001 YES
Administrative Services TCO CGT 118,128 7/1/2002 YES
Sale of Capacity TCO CVA 110,880 11/1/1999 YES
Replacement of Saco River Crossing TCO GSGT 137,977 N/A YES
Replacement of Dennis Road Crossing TCO GSGT 20,086 N/A YES
Installation of meters and components TCO CNR 49,280 N/A YES
Installation of meters and components TCO COH 14,250 N/A YES
Installation of meters and components TCO CPA 25,000 N/A YES
Raise meter, regulator and building TCO CKY 35,750 N/A YES
Fixed Fee Billings for O&M agreements CGT TCO 40,536 10/1/1991 YES
Fixed Fee Billing for O&M agreement CGT CPL/CDW 45,672 N/A YES
Maintenance services on pipeline NITCO NCP 823,200 N/A YES
-------------------------------------------------------------------------------------------------------------------------------
46
ITEM 8. SERVICE, SALES AND CONSTRUCTION CONTRACTS (continued)
PART II. SYSTEM CONTRACTS TO PURCHASE GOODS OR SERVICES FROM ANY AFFILIATE
(OTHER THAN A SYSTEM COMPANY) OR A COMPANY IN WHICH ANY OFFICER OR
DIRECTOR IS A PARTNER OR OWN 5% OR MORE OF ANY CLASS OF EQUITY
SECURITIES.
None.
PART III. SYSTEM CONTRACTS WITH OTHERS ON A CONTINUING BASIS FOR MANAGEMENT,
SUPERVISORY, OR FINANCIAL ADVISORY REVIEW.
None.
ITEM 9. WHOLESALE GENERATORS AND FOREIGN UTILITY COMPANIES
PART I. BUSINESS, CAPITAL, DEBT TO EQUITY RATIO AND SERVICE CONTRACTS.
(a) Company, location and business address.
Bay State GPE, Inc. (BSGPE)
BSGPE, a Massachusetts corporation, at 300 Friberg Parkway,
Westborough, Massachusetts is an EWG. It owns a turbo expander in
Agawam, Massachusetts that generates electricity from a turbine
engine as gas pressure is reduced when transferred from high
pressure interstate pipelines to lower pressure local distribution
pipes. BSGPE is a wholly owned subsidiary of Bay State Gas.
Whiting Clean Energy, Inc. (WCE)
WCE, a wholly owned subsidiary of Primary Energy, Inc., is an EWG.
WCE's business address is 801 E. 86th Avenue, Merrillville,
Indiana. WCE leases a combined-cycle cogeneration facility located
at BP's Whiting, Indiana refinery consisting of two gas-fired
combustion turbines (each with a generating capacity of 166
megawatts) and a 213-megawatt steam turbine generator. For
financial reporting purposes, the facility and the associated debt
are reported as if WCE owns the facility. WCE is responsible for
the operation and maintenance of the facility.
(b) Type and amount of capital invested.
When BSGPE was incorporated, Bay State Gas acquired all of the
issued and outstanding shares of BSGPE's common stock for $1,000.
Bay State also transferred ownership of the turbo expander and
related facilities to BSGPE at its net book value. Neither Bay
State Gas, nor NiSource, Inc. has made any financial guarantee to
any party for BSGPE.
Primary Energy, Inc.'s investment in WCE consists mainly of its
guarantee of WCE's performance under the lease through its parent
NiSource Inc. The lease was initiated in the first quarter of
2002. The unamortized value of the project amounts to
approximately $318 million. However, for financial reporting
purposes, NiSource owns the WCE facility and has approximately
$329.8 of long-term debt on its balance sheet.
47
ITEM 9. WHOLESALE GENERATORS AND FOREIGN UTILITY COMPANIES (continued)
(c) Ratio of debt to common equity and earnings of the company for the
year ended December 31, 2002.
As of December 31, 2002, BSGPE had no debt outstanding and for the
calendar year 2002, the turbo expander did not operate and did not
generate revenue. BSGPE had a net loss of $28,482 for 2002.
WCE had $20.3 million in notes payable outstanding at December 31,
2002 to NiSource Finance Corp. In addition, for financial
reporting purposes, WCE had $329.8 million of debt outstanding to
third parties. The debt to equity ratio for WCE at December 31,
2002 is not meaningful since the company's equity capitalization
is effectively zero. For 2002, WCE had a net loss of$20.9 million.
(d) Service, sales or construction contracts with system companies.
BSGPE currently has no service, sales or construction contracts
with another system company.
WCE has entered into maintenance and service agreements with
Northern Indiana Public Service Company (NIPSCO) for performance
of the operation and maintenance needs of WCE. WCE has compensated
NIPSCO $2.2 million for these services. In addition, WCE purchased
natural gas from TPC. WCE purchased $13.6 million of natural gas
from TPC during 2002.
PART II. ORGANIZATION CHART.
BSGPE is a wholly owned subsidiary of Bay State Gas Company. WCE is a wholly
owned subsidiary of Primary Energy, Inc. Bay State Gas Company and Primary
Energy, Inc. are wholly owned subsidiaries of NiSource, Inc. See Exhibit G for
an organization chart showing BSGPE and WCE in relation to the other NiSource,
Inc. system companies.
PART III. AGGREGATE INVESTMENT IN EWG'S AND FOREIGN UTILITY COMPANIES.
NiSource, Inc.'s aggregate investment in BSGPE is approximately $0.2 million and
its investment in WCE, as discussed in Part I(b), is approximately $329.8
million. The ratio of NiSource, Inc.'s aggregate investment in BSGPE and WCE to
its aggregate investment in its domestic public-utility subsidiary companies is
less than 1% based on the current book values of the utility subsidiaries.
48
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS
TABLE OF CONTENTS
CONSOLIDATED
CONSOLIDATED STATEMENT CONSOLIDATED
CONSOLIDATED STATEMENT OF COMMON STATEMENT OF
NAME OF COMPANY (COMPANY ABBREVIATION) BALANCE SHEET OF INCOME STOCK EQUITY CASH FLOWS
--------------------------------------------------------------------------------------------------------------------------------
NISOURCE INC. (NI) F-1 F-2 F-3 F-4
Bay State Gas Company (BSG) F-1, F-1A F-2, F-2A F-3, F-3A F-4, F-4A
Subsidiaries:
Bay State GPE, Inc. (BSGPE) F-1A F-2A F-3A F-4A
Boundry Gas, Inc. (BDY) N/A N/A N/A N/A
Northern Utilities, Inc. (NU) F-1A F-2A F-3A F-4A
Columbia Energy Group (CG) F-1, F-1B F-2, F-2B F-3, F-3B F-4, F-4B
Subsidiaries:
Columbia Atlantic Trading Corporation (CAT) F-1B F-2B F-3B F-4B
Columbia Energy Group Capital Corporation (CCC) F-1B, F-1C F-2B, F-2C F-3B, F-3C F-4B, F-4C
Subsidiary:
TriStar Gas Technologies, Inc. (TGT) * F-1C F-2C F-3C F-4C
Columbia Energy Resources, Inc. (CER) F-1B, F-1D F-2B, F-2D F-3B, F-3D F-4B, F-4D
Subsidiaries:
Alamco-Delaware, Inc. (AD) F-1D F-2D F-3D F-4D
Columbia Natural Resources, Inc. (CNR) F-1D F-2D F-3D F-4D
Columbia Natural Resources Canada, Ltd. (CNRCL) F-1D F-2D F-3D F-4D
Hawg Hauling & Disposal, Inc. (HH) F-1D F-2D F-3D F-4D
Columbia Energy Services Corporation (CES) F-1B F-2B F-3B F-4B
Subsidiaries:
Columbia Energy Marketing Corporation (CEM) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Energy Power Marketing Corporation (CPM) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Energy Retail Corporation (CERC) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Finance Corp. (CFC) * F-1B, F-1E F-2B, F-2E F-3B, F-3E F-4B, F-4E
Subsidiary:
Columbia Accounts Receivable Corporation (CAR) F-1E F-2E F-3E F-4E
Columbia Gas of Kentucky, Inc. (CKY) F-1B F-2B F-3B F-4B
Columbia Gas of Maryland, Inc. (CMD) F-1B F-2B F-3B F-4B
Columbia Gas of Ohio, Inc. (COH) F-1B F-2B F-3B F-4B
Columbia Gas of Pennsylvania, Inc. (CPA) F-1B F-2B F-3B F-4B
Columbia Gas of Virginia, Inc. (CGV) F-1B F-2B F-3B F-4B
Columbia Gas Transmission Corporation (TCO) F-1B F-2B F-3B F-4B
Columbia Gulf Transmission Company (CGT) F-1B F-2B F-3B F-4B
Columbia LNG Corporation (CLNG) * F-1B F-2B F-3B F-4B
Subsidiary:
CLNG Corporation (CLNGCO) * INACTIVE INACTIVE INACTIVE INACTIVE
--------------------------------------------------------------------------------------------------------------------------------
* Company was inactive at December 31, 2002.
49
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
TABLE OF CONTENTS (CONTINUED)
CONSOLIDATED STATEMENT CONSOLIDATED
CONSOLIDATED STATEMENT OF COMMON STATEMENT OF
NAME OF COMPANY (COMPANY ABBREVIATION) BALANCE SHEET OF INCOME STOCK EQUITY CASH FLOWS
-----------------------------------------------------------------------------------------------------------------------------
Columbia Network Services Corporation (CNS) F-1B, F-1F F-2B, F-2F F-3B, F-3F F-4B, F-4F
Subsidiary:
CNS Microwave, Inc. (CMC) F-1F F-2F F-3F F-4F
Columbia Petroleum Corporation (PET) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Pipeline Corporation (CPL) F-1B, F-1G F-2B, F-2G F-3B, F-3G F-4B, F-4G
Subsidiary:
Columbia Deep Water Services Company (CDW) F-1G F-2G F-3G F-4G
Columbia Remainder Corporation (CRC) F-1B F-2B F-3B F-4B
Subsidiaries:
Columbia Electric Binghamton General Corp. (CEB) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Electric Binghamton Limited Corp. (CEBL) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Electric Haverstraw Corporation (CHC) * INACTIVE INACTIVE INACTIVE INACTIVE
Haverstraw Bay, LLC (HBL) * INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Service Partners, Inc. (CSP) F-1B, F-1H F-2B, F-2H F-3B, F-3H F-4B, F-4H
Subsidiaries:
Columbia Assurance Agency, Inc. (CAA) F-1H F-2H F-3H F-4H
Columbia Service Partners of Virginia, Inc. (CSPV) INACTIVE INACTIVE INACTIVE INACTIVE
Columbia Transmission Communications Corporation (CTC) F-1B F-2B F-3B F-4B
NiSource Insurance Corporation Limited (NICL) F-1B F-2B F-3B F-4B
EnergyUSA, Inc. (IN) (EUII) F-1, F-1I F-2, F-2I F-3, F-3I F-4, F-4I
Subsidiaries:
EnergyUSA Commercial Energy Services, Inc. (EUC) F-1I F-2I F-3I F-4I
EnergyUSA Retail, Inc. (EUR) F-1I F-2I F-3I F-4I
Subsidiary:
EnergyUSA Consumer Products Group, Inc. (EUP) * INACTIVE INACTIVE INACTIVE INACTIVE
EnergyUSA, Inc. (MA) (EUIM) F-1I, F-1J F-2I, F-2J F-3I, F-3J F-4I, F-4J
Subsidiaries:
EnergySPE, Inc. (ESPE) * F-1J F-2J F-3J F-4J
EnergyUSA (Connecticut), Inc. (EUIC) F-1J, F-1K F-2J, F-2K F-3J, F-3K F-4J, F-4K
Subsidiaries:
Brayer Energy Solutions, Inc. (BES) * F-1K F-2K F-3K F-4K
EnergyUSA Engineering, Inc. (EUE) F-1K F-2K F-3K F-4K
EnergyUSA Mechanical, Inc. (EUM) * F-1K F-2K F-3K F-4K
EnergyUSA-TPC Corp. (TPC) F-1I, F-1L F-2I, F-2L F-3I, F-3L F-4I, F-4L
Subsidiary:
EnergyUSA - Appalachian Corp. (EUA) F-1L F-2L F-3L F-4L
MS-1 Distribution & Storage Corp. (MS1) * F-1I F-2I F-3I F-4I
-----------------------------------------------------------------------------------------------------------------------------
* Company was inactive at December 31, 2002.
50
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
TABLE OF CONTENTS (CONTINUED)
CONSOLIDATED STATEMENT CONSOLIDATED
CONSOLIDATED STATEMENT OF COMMON STATEMENT OF
NAME OF COMPANY (COMPANY ABBREVIATION) BALANCE SHEET OF INCOME STOCK EQUITY CASH FLOWS
-----------------------------------------------------------------------------------------------------------------------------
NESI Energy Marketing, L.L.C. (NEML) * F-1I F-2I F-3I F-4I
NI Energy Services Transportation, Inc. (NEST) F-1I F-2I F-3I F-4I
NI Fuel Company, Inc. (NIFC) * F-1I F-2I F-3I F-4I
NI-TEX, Inc. (NITEX) F-1I F-2I F-3I F-4I
Subsidiary:
Laredo Nueces Pipeline Company (LNP) N/A N/A N/A N/A
NI-TEX Gas Services, Inc. (NGS) F-1I F-2I F-3I F-4I
IWC Resources Corporation (IWCR) * F-1, F-1M F-2, F-2M F-3, F-3M F-4, F-4M
Subsidiaries:
Harbour Water Corporation (HWC) * F-1M F-2M F-3M F-4M
Indianapolis Water Company (IWC) * F-1M F-2M F-3M F-4M
Subsidiaries:
White River Enviornmental Partnership, Inc. (WRP) * INACTIVE INACTIVE INACTIVE INACTIVE
Irishman's Run Acquisition Corporation (IRAC) * F-1M F-2M F-3M F-4M
IWC Morgan Water Corporation (IWCM) * F-1M F-2M F-3M F-4M
Lawrence Water Company, Inc. (LWC) * F-1M F-2M F-3M F-4M
Liberty Water Corporation (LWAC) * F-1M F-2M F-3M F-4M
The Darlington Water Works Company (DWWC) * F-1M F-2M F-3M F-4M
Kokomo Gas and Fuel Company (KOKO) F-1, F-1N F-2, F-2N F-3, F-3N F-4, F-4N
Subsidiary:
KGF Trading Company (KGF) *
NI Energy Services, Inc. (NESI) F-1, F-1O F-2, F-2O F-3, F-3O F-4, F-4O
Subsidiaries:
Crossroads Pipeline Company (CROSS) F-1O F-2O F-3O F-4O
Green Fuels, Inc. (GREEN) * F-1O F-2O F-3O F-4O
NESI Power Marketing, Inc. (NPM) * F-1O F-2O F-3O F-4O
NiSource Energy Services Canada, Ltd. (NESCL) * F-1O F-2O F-3O F-4O
NiSource Capital Markets, Inc. (NCM) F-1 F-2 F-3 F-4
NiSource Capital Trust I (NCT) F-1 F-2 F-3 F-4
NiSource Corporate Services Company (NCS) F-1 F-2 F-3 F-4
NiSource Development Company, Inc. (NDEV) F-1, F-1P F-2, F-2P F-3, F-3P F-4, F-4P
Subsidiaries:
Analytic Sytems Laboratories, Inc. (ASL) * F-1P F-2P F-3P F-4P
Cardinal Property Management, Inc. (CARD) F-1P F-2P F-3P F-4P
Customer Information Services, Inc. (CIS) * F-1P F-2P F-3P F-4P
JOF Transportation Company (JOF) F-1P F-2P F-3P F-4P
KOGAF Enterprises, Inc. (KOGF) * F-1P F-2P F-3P F-4P
-----------------------------------------------------------------------------------------------------------------------------
* Company was inactive at December 31, 2002.
51
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
TABLE OF CONTENTS (CONTINUED)
CONSOLIDATED
CONSOLIDATED STATEMENT CONSOLIDATED
CONSOLIDATED STATEMENT OF COMMON STATEMENT OF
NAME OF COMPANY (COMPANY ABBREVIATION) BALANCE SHEET OF INCOME STOCK EQUITY CASH FLOWS
-----------------------------------------------------------------------------------------------------------------------------
Lake Erie Land Company (LEL) F-1P, F-1Q F-2O, F-2Q F-3O, F-3Q F-4O, F-4Q
Subsidiary:
SCC Services, Inc. (SCC) F-1Q F-2Q F-3Q F-4Q
NDC Douglas Properties, Inc. (NDC) F-1P F-2P F-3P F-4P
Progeni, Inc. (PRO) * F-1P F-2P F-3P F-4P
Protonics Research, Inc. (PRI) * F-1P F-2P F-3P F-4P
South Works Power Company (SWP) * F-1P F-2P F-3P F-4P
NiSource Energy Technologies, Inc. (NET) F-1 F-2 F-3 F-4
NiSource Finance Corp. (NFC) F-1 F-2 F-3 F-4
NiSource Pipeline Group, Inc. (NPG) * F-1, F-1R F-2, F-2R F-3, F-3R F-4, F-4R
Subsidiaries:
Granite State Gas Transmission, Inc. (GSGT) F-1R, F-1S F-2R, F-2S F-3R, F-3S F-4R, F-4S
Subsidiaries:
Bay State Energy Enterprises, Inc. (BSEE) * F-1S F-2S F-3S F-4S
Natural Gas Development, Inc. (NGD) * F-1S F-2S F-3S F-4S
PNTGS Holding Corp. (PNTGS) * F-1R F-2R F-3R F-4R
Northern Indiana Fuel and Light Company, Inc. (NIFL) F-1, F-1T F-2, F-2T F-3, F-3T F-4, F-4T
Subsidiary:
Northern Indiana Trading Company, Inc. (NITC) F-1T F-2T F-3T F-4T
Northern Indiana Public Service Company (NIP) F-1, F-1U F-2, F-2U F-3, F-3U F-4, F-4U
Subsidiary:
NIPSCO Exploration Company, Inc. (NEXCO) * F-1U F-2U F-3U F-4U
Primary Energy, Inc. (PEI) F-1, F-1V F-2, F-2V F-3, F-3V F-4, F-4U
Subsidiaries:
Cokenergy, Inc. (CEI) F-1V F-2V F-3V F-4U
Harbor Coal Company (HCC) F-1V F-2V F-3V F-4U
Ironside Energy LLC (IEL) F-1V F-2V F-3V F-4U
Lakeside Energy Corporation (LEC) F-1V F-2V F-3V F-4U
North Lake Energy Corporation (NLEC) F-1V F-2V F-3V F-4U
Portside Energy Corporation (PORT) F-1V F-2V F-3V F-4U
Whiting Clean Energy, Inc. (WCE) F-1V F-2V F-3V F-4U
SM&P Utility Resources, Inc. (SMP) F-1, F-1W F-2, F-2W F-3, F-3W F-4, F-4V
Subsidiary:
Colcom Incorporated (CI) F-1W F-2W F-3W F-4V
-----------------------------------------------------------------------------------------------------------------------------
* Company was inactive at December 31, 2002.
52
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (1 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 F-1 F-1 Consolidating
As of December 31, ($ in thousands) Page 3 Page 5 Page 7 Combined Entries Consolidated
----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * 16,434,919
Accumulated depreciation and amortization (7,998,157)
----------------------------------------------------------------------------------------------------------------------------------
Net utility plant 8,436,762
----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center 1,056,329
Canadian cost center 5,932
Accumulated depletion (122,747)
----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties 939,514
----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation 691,712
----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 10,067,988
----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations 79,207
Unconsolidated affiliates 118,812
Assets held for sale 26,148
Other investments 50,844
----------------------------------------------------------------------------------------------------------------------------------
Total Investments 275,011
----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 54,258
Restricted cash 1,900
Accounts receivable (less reserve) 580,073
Unbilled revenue (less reserve) 305,152
Gas inventory 255,301
Underrecovered gas and fuel costs 149,900
Materials and supplies, at average cost 65,932
Electric production fuel, at average cost 39,029
Price risk management assets 66,575
Exchange gas receivable 120,827
Prepayments and other 229,529
----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 1,868,476
----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets 116,873
Regulatory assets 608,788
Goodwill 3,707,627
Intangible assets 57,342
Deferred charges and other 194,775
----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 4,685,405
----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 16,896,880
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
53
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (2 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 F-1 F-1 Consolidating
As of December 31, ($ in thousands) Page 4 Page 6 Page 8 Combined Entries Consolidated
----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * 4,174,842
Preferred Stocks--
Subsidiary Companies -
Series without mandatory redemption provisions 81,114
Series with mandatory redemption provisions 3,814
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures 345,000
Long-term debt, excluding amounts due within one year 5,017,995
----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 9,622,765
----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt 1,232,594
Short-term borrowings 913,130
Accounts payable 521,609
Dividends declared on common and preferred stocks 1,115
Customer deposits 65,157
Taxes accrued 242,139
Interest accrued 88,293
Overrecovered gas and fuel costs 13,110
Price risk management liabilities 44,878
Exchange gas payable 411,912
Current deferred revenue 130,197
Other accruals 513,255
----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 4,177,389
----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities 3,225
Deferred income taxes 1,861,713
Deferred investment tax credits 96,297
Deferred credits 145,044
Noncurrent deferred revenue 305,400
Accrued liability for postretirement and pension benefits 417,158
Liabilities of discontinued operations 2,095
Other noncurrent liabilities 265,794
----------------------------------------------------------------------------------------------------------------------------------
Total Other 3,096,726
----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 16,896,880
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
54
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (3 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 Page 3
As of December 31, ($ in thousands) NI BSG CG EUII IWCR KOKO Total
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * 8,388,620 * * * *
Accumulated depreciation and amortization (4,023,795)
------------------------------------------------------------------------------------------------------------------------------------
Net utility plant 4,364,825
------------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center 970,045
Canadian cost center 6,426
Accumulated depletion (431,215)
------------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties 545,256
------------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation -
------------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 4,910,081
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations 79,207
Unconsolidated affiliates 34,961
Assets held for sale 24,232
Other investments 21,506
------------------------------------------------------------------------------------------------------------------------------------
Total Investments 159,906
------------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 37,417
Restricted cash 1,900
Accounts receivable (less reserve) 338,072
Unbilled revenue (less reserve) 173,374
Gas inventory 214,699
Underrecovered gas and fuel costs 90,089
Materials and supplies, at average cost 15,338
Electric production fuel, at average cost -
Price risk management assets 25,540
Exchange gas receivable 104,557
Prepayments and other 174,653
------------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 1,175,639
------------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets 112,856
Regulatory assets 359,399
Goodwill -
Intangible assets 3,017
Deferred charges and other 85,395
------------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 560,667
------------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 6,806,293
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
55
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (4 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 Page 4
As of December 31, ($ in thousands) NI BSG CG EUII IWCR KOKO Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * 2,396,266 * * * *
Preferred Stocks-
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year 1,387,780
------------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 3,784,046
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt 223
Short-term borrowings 830
Accounts payable 357,835
Dividends declared on common and preferred stocks -
Customer deposits 21,002
Taxes accrued 185,098
Interest accrued 27,183
Overrecovered gas and fuel costs 13,110
Price risk management liabilities 8,515
Exchange gas payable 411,912
Current deferred revenue 129,597
Other accruals 356,869
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 1,512,174
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 805,894
Deferred investment tax credits 28,319
Deferred credits 41,576
Noncurrent deferred revenue 305,388
Accrued liability for postretirement and pension benefits 115,379
Liabilities of discontinued operations 2,095
Other noncurrent liabilities 211,422
------------------------------------------------------------------------------------------------------------------------------------
Total Other 1,510,073
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 6,806,293
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
56
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (5 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 Page 5
As of December 31, ($ in thousands) NESI NCM NCT NCS NDEV NET Total
--------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * - * * *
Accumulated depreciation and amortization -
--------------------------------------------------------------------------------------------------------------------------------
Net utility plant -
--------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center -
Canadian cost center -
Accumulated depletion -
--------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties -
--------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation 43,330
--------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 43,330
--------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations -
Unconsolidated affiliates -
Assets held for sale -
Other investments -
--------------------------------------------------------------------------------------------------------------------------------
Total Investments -
--------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 1,080
Restricted cash -
Accounts receivable (less reserve) 75,114
Unbilled revenue (less reserve) -
Gas inventory -
Underrecovered gas and fuel costs -
Materials and supplies, at average cost -
Electric production fuel, at average cost -
Price risk management assets -
Exchange gas receivable -
Prepayments and other 18,945
--------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 95,139
--------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets -
Regulatory assets -
Goodwill -
Intangible assets 21,232
Deferred charges and other 29,234
--------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 50,466
--------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 188,935
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
57
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (6 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 Page 6
As of December 31, ($ in thousands) NESI NCM NCT NCS NDEV NET Total
--------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * (20,766) * * *
Preferred Stocks-
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year 23,930
--------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 3,164
--------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt 74
Short-term borrowings 37,443
Accounts payable 20,972
Dividends declared on common and preferred stocks -
Customer deposits -
Taxes accrued 20,440
Interest accrued 783
Overrecovered gas and fuel costs -
Price risk management liabilities -
Exchange gas payable -
Current deferred revenue -
Other accruals 57,612
--------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 137,324
--------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes (6,945)
Deferred investment tax credits -
Deferred credits -
Noncurrent deferred revenue -
Accrued liability for postretirement and pension benefits 55,392
Liabilities of discontinued operations -
Other noncurrent liabilities -
--------------------------------------------------------------------------------------------------------------------------------
Total Other 48,447
--------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
--------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 188,935
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
58
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (7 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 Page 7
As of December 31, ($ in thousands) NFC NPG NIFL NIP PEI SMP Total
-----------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * 6,415,603 * * *
Accumulated depreciation and amortization (3,547,661)
-----------------------------------------------------------------------------------------------------------------------------
Net utility plant 2,867,942
-----------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center -
Canadian cost center -
Accumulated depletion -
-----------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties -
-----------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation 2,445
-----------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 2,870,387
-----------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations -
Unconsolidated affiliates -
Assets held for sale -
Other investments 6,270
-----------------------------------------------------------------------------------------------------------------------------
Total Investments 6,270
-----------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 4,331
Restricted cash -
Accounts receivable (less reserve) 94,334
Unbilled revenue (less reserve) 72,307
Gas inventory 15,501
Underrecovered gas and fuel costs 50,097
Materials and supplies, at average cost 44,321
Electric production fuel, at average cost 39,029
Price risk management assets 3,531
Exchange gas receivable -
Prepayments and other 36,210
-----------------------------------------------------------------------------------------------------------------------------
Total Current Assets 359,661
-----------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets -
Regulatory assets 225,614
Goodwill -
Intangible assets 25,086
Deferred charges and other 5,044
-----------------------------------------------------------------------------------------------------------------------------
Total Other Assets 255,744
-----------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 3,492,062
=============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
59
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1 (8 of 8)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1 Page 8
As of December 31, ($ in thousands) NFC NPG NIFL NIP PEI SMP Total
-----------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * 899,622 * * *
Preferred Stocks-
Subsidiary Companies -
Series without mandatory redemption provisions 81,114
Series with mandatory redemption provisions 3,814
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year 713,351
-----------------------------------------------------------------------------------------------------------------------------
Total Capitalization 1,697,901
-----------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt 130,000
Short-term borrowings 448,899
Accounts payable 187,502
Dividends declared on common and preferred stocks 1,115
Customer deposits 39,346
Taxes accrued 70,986
Interest accrued 9,854
Overrecovered gas and fuel costs -
Price risk management liabilities 808
Exchange gas payable -
Current deferred revenue -
Other accruals 82,516
-----------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 971,026
-----------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 488,837
Deferred investment tax credits 64,315
Deferred credits 43,176
Noncurrent deferred revenue -
Accrued liability for postretirement and pension benefits 219,023
Liabilities of discontinued operations -
Other noncurrent liabilities 7,784
-----------------------------------------------------------------------------------------------------------------------------
Total Other 823,135
-----------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
-----------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 3,492,062
=============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
60
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1A (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
BAY STATE GAS COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1A
As of December 31, ($ in thousands) BSG BSGPE NU Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 1,162,484 * 257,236 * * *
Accumulated depreciation and amortization (290,938) (56,162)
---------------------------------------------------------------------------------------------------------------------------------
Net utility plant 871,546 201,074
---------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts
method
United States cost center - -
Canadian cost center - -
Accumulated depletion - -
---------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties - -
---------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation 74 2,206
---------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 871,620 203,280
---------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries 110,850 -
Assets of discontinued operations - -
Unconsolidated affiliates 32 2
Assets held for sale - -
Other investments - -
---------------------------------------------------------------------------------------------------------------------------------
Total Investments 110,882 2
---------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 448 316
Restricted cash - -
Accounts receivable (less reserve) 47,658 15,648
Unbilled revenue (less reserve) 47,999 7,263
Gas inventory 19,109 782
Underrecovered gas and fuel costs 2,500 2,557
Materials and supplies, at average cost 4,005 738
Electric production fuel, at average cost - -
Price risk management assets - 302
Exchange gas receivable 4,713 11,557
Prepayments and other 12,238 4,038
---------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 138,670 43,201
---------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets - 45
Regulatory assets 11,716 18,694
Goodwill - 859
Intangible assets 8,471 870
Deferred charges and other 13,459 1,334
---------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 33,646 21,802
---------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 1,154,818 268,285
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
61
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1A (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
BAY STATE GAS COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1A
As of December 31, ($ in thousands) BSG BSGPE NU Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 520,652 * 110,745 * * *
Preferred Stocks--
Subsidiary Companies - -
Series without mandatory redemption provisions - -
Series with mandatory redemption provisions - -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures - -
Long-term debt, excluding amounts due within one year 80,500 5,834
---------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 601,152 116,579
---------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption - -
Current portion of long-term debt 15,000 61,130
Short-term borrowings 218,535 11,549
Accounts payable 8,913 2,949
Dividends declared on common and preferred stocks - -
Customer deposits 2,981 901
Taxes accrued 4,587 2,252
Interest accrued 2,630 173
Overrecovered gas and fuel costs - -
Price risk management liabilities - (8)
Exchange gas payable - -
Current deferred revenue 600 -
Other accruals 35,005 11,323
---------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 288,251 90,269
---------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities - 8
Deferred income taxes 244,923 50,888
Deferred investment tax credits 2,613 264
Deferred credits - -
Noncurrent deferred revenue - -
Accrued liability for postretirement and pension
benefits 10,162 2,328
Liabilities of discontinued operations - -
Other noncurrent liabilities 7,717 7,949
---------------------------------------------------------------------------------------------------------------------------------
Total Other 265,415 61,437
---------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES - -
---------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 1,154,818 268,285
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
62
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (1 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B F-1B F-1B F-1B Consolidating F-1B
As of December 31, ($ in thousands) Page 3 Page 5 Page 7 Page 9 Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * * 8,388,620
Accumulated depreciation and amortization (4,023,795)
---------------------------------------------------------------------------------------------------------------------------------
Net utility plant 4,364,825
---------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties,
successful efforts method
United States cost center 970,045
Canadian cost center 6,426
Accumulated depletion (431,215)
---------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties 545,256
---------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated
depreciation -
---------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 4,910,081
---------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations 79,207
Unconsolidated affiliates 34,961
Assets held for sale 24,232
Other investments 21,505
---------------------------------------------------------------------------------------------------------------------------------
Total Investments 159,905
---------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 37,417
Restricted cash 1,900
Accounts receivable (less reserve) 338,072
Unbilled revenue (less reserve) 173,374
Gas inventory 214,699
Underrecovered gas and fuel costs 90,089
Materials and supplies, at average cost 15,338
Electric production fuel, at average cost -
Price risk management assets 25,541
Exchange gas receivable 104,557
Prepayments and other 174,653
---------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 1,175,640
---------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets 112,856
Regulatory assets 359,399
Goodwill -
Intangible assets 3,017
Deferred charges and other 85,395
---------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 560,667
---------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 6,806,293
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
63
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (2 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B F-1B F-1B F-1B Consolidating F-1B
As of December 31, ($ in thousands) Page 4 Page 6 Page 8 Page 10 Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * * 2,396,266
Preferred Stocks--
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely
Company debentures -
Long-term debt, excluding amounts due within one year 1,387,780
---------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 3,784,046
---------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt 223
Short-term borrowings 830
Accounts payable 357,835
Dividends declared on common and preferred
stocks -
Customer deposits 21,002
Taxes accrued 185,098
Interest accrued 27,183
Overrecovered gas and fuel costs 13,110
Price risk management liabilities 8,515
Exchange gas payable 411,912
Current deferred revenue 129,597
Other accruals 356,869
---------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 1,512,174
---------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 805,894
Deferred investment tax credits 28,319
Deferred credits 41,576
Noncurrent deferred revenue 305,388
Accrued liability for postretirement and
pension benefits 114,379
Liabilities of discontinued operations 2,095
Other noncurrent liabilities 212,422
---------------------------------------------------------------------------------------------------------------------------------
Total Other 1,510,073
---------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
---------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 6,806,293
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
64
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (3 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 3
As of December 31, ($ in thousands) CG CAT CCC CER CES CFC Total
------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * * *
Accumulated depreciation and amortization
------------------------------------------------------------------------------------------------------------------------
Net utility plant
------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts
method
United States cost center
Canadian cost center
Accumulated depletion
------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
------------------------------------------------------------------------------------------------------------------------
Total Investments
------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
------------------------------------------------------------------------------------------------------------------------
Total Current Assets
------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
------------------------------------------------------------------------------------------------------------------------
Total Other Assets
------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
65
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (4 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 4
As of December 31, ($ in thousands) CG CAT CCC CER CES CFC Total
------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
------------------------------------------------------------------------------------------------------------------------
Total Capitalization
------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension
benefits
Liabilities of discontinued operations
Other noncurrent liabilities
------------------------------------------------------------------------------------------------------------------------
Total Other
------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
66
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (5 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 5
As of December 31, ($ in thousands) CKY CMD COH CPA CGV TCO Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 233,229 84,414 1,542,682 661,495 500,931 3,742,981 6,765,732
Accumulated depreciation and amortization (105,257) (36,038) (670,291) (224,413) (121,863) (1,645,295) (2,803,157)
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant 127,972 48,376 872,391 437,082 379,068 2,097,686 3,962,575
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties,
successful efforts method
United States cost center - - - - - - -
Canadian cost center - - - - - - -
Accumulated depletion - - - - - - -
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties - - - - - - -
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated
depreciation - - - - - - -
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 127,972 48,376 872,391 437,082 379,068 2,097,686 3,962,575
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of
subsidiaries - - - - - - -
Assets of discontinued operations - - - - - - -
Unconsolidated affiliates - - - - - 32,470 32,470
Assets held for sale - - - - - - -
Other investments - - - - - 13,114 13,114
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments - - - - - 45,584 45,584
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 944 292 3,970 4,300 1,672 11 11,189
Restricted cash - - - - - - -
Accounts receivable (less reserve) 25,819 13,435 67,453 60,823 30,724 124,166 322,420
Unbilled revenue (less reserve) 10,652 3,855 101,870 41,027 18,040 - 175,444
Gas inventory 10,906 3,488 131,407 53,180 15,717 - 214,698
Underrecovered gas and fuel costs 8,441 - 31,210 50,438 - - 90,089
Materials and supplies, at average cost - 132 - - 524 7,494 8,150
Electric production fuel, at average cost - - - - - - -
Price risk management assets - - - - - - -
Exchange gas receivable 7,053 5,045 28,957 17,900 1,138 34,546 94,639
Prepayments and other 1,385 2,202 56,536 13,253 11,145 97,374 181,895
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 65,200 28,449 421,403 240,921 78,960 263,591 1,098,524
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets - - - - - - -
Regulatory assets 5,521 2,005 201,801 68,876 7,697 67,381 353,281
Goodwill - - - - - - -
Intangible assets 66 20 968 295 120 1,278 2,747
Deferred charges and other 777 493 70,211 2,249 5,144 6,855 85,729
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 6,364 2,518 272,980 71,420 12,961 75,514 441,757
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 199,536 79,343 1,566,774 749,423 470,989 2,482,375 5,548,440
-----------------------------------------------------------------------------------------------------------------------------------
67
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (6 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 5
As of December 31, ($ in thousands) CKY CMD COH CPA CGV TCO Total
---------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 70,636 28,404 436,965 206,881 166,220 1,092,778 2,001,884
Preferred Stocks--
Subsidiary Companies - - - - - - -
Series without mandatory redemption
provisions - - - - - - -
Series with mandatory redemption provisions - - - - - - -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding
solely Company debentures - - - - - - -
Long-term debt, excluding amounts due
within one year 42,181 18,975 307,055 185,215 130,175 385,908 1,069,509
---------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 112,817 47,379 744,020 392,096 296,395 1,478,686 3,071,393
---------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject
to mandatory redemption - - - - - - -
Current portion of long-term debt - - 177 - - 17 194
Short-term borrowings 29 - - 55,901 37,039 287,141 380,110
Accounts payable 19,042 6,209 139,327 51,498 31,033 26,287 273,396
Dividends declared on common and preferred
stocks - - - - - - -
Customer deposits 2,556 389 10,944 2,303 4,810 - 21,002
Taxes accrued 5,074 1,197 71,184 (4,280) (3,722) 70,397 139,850
Interest accrued 630 1 1,331 13 243 772 2,990
Overrecovered gas and fuel costs - 1,043 - - 12,067 - 13,110
Price risk management liabilities 239 77 2,311 716 - - 3,343
Exchange gas payable 29,314 6,462 214,833 63,453 6,528 84,867 405,457
Current deferred revenue - - - - - - -
Other accruals 11,921 7,212 133,645 46,032 18,646 82,186 299,642
---------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 68,805 22,590 573,752 215,636 106,644 551,667 1,539,094
---------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities - - - - - - -
Deferred income taxes 10,882 5,619 120,491 103,927 32,586 344,531 618,036
Deferred investment tax credits 1,302 749 15,766 7,506 2,074 706 28,103
Deferred credits - - - - - - -
Noncurrent deferred revenue - - - - - - -
Accrued liability for postretirement and
pension benefits 843 1,531 52,205 13,056 5,910 19,239 92,784
Liabilities of discontinued operations - - - - - - -
Other noncurrent liabilities 4,887 1,475 60,540 17,202 27,380 87,546 199,030
---------------------------------------------------------------------------------------------------------------------------------
Total Other Liabilities and Deferred Credits 17,914 9,374 249,002 141,691 67,950 452,022 937,953
---------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES - - - - - - -
---------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 199,536 79,343 1,566,774 749,423 470,989 2,482,375 5,548,440
---------------------------------------------------------------------------------------------------------------------------------
68
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (7 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 7
As of December 31, ($ in thousands) CGT CLNG CNS CPL CRC CSP Total
--------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 1,353,923 * * * * * *
Accumulated depreciation and amortization (1,080,627)
--------------------------------------------------------------------------------------------------------------------------------
Net utility plant 273,296
--------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful
efforts method
United States cost center -
Canadian cost center -
Accumulated depletion -
--------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties -
--------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation -
--------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 273,296
--------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations -
Unconsolidated affiliates -
Assets held for sale -
Other investments -
--------------------------------------------------------------------------------------------------------------------------------
Total Investments -
--------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 3
Restricted cash -
Accounts receivable (less reserve) 10,410
Unbilled revenue (less reserve) 153
Gas inventory -
Underrecovered gas and fuel costs -
Materials and supplies, at average cost 7,187
Electric production fuel, at average cost -
Price risk management assets -
Exchange gas receivable 9,230
Prepayments and other 8,774
--------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 35,757
--------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets -
Regulatory assets 6,118
Goodwill -
Intangible assets 143
Deferred charges and other 1,138
--------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 7,399
--------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 316,452
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
69
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (8 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 8
As of December 31, ($ in thousands) CGT CLNG CNS CPL CRC CSP Total
--------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 123,333 * * * * * *
Preferred Stocks--
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year 67,890
--------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 191,223
--------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt -
Short-term borrowings 41,705
Accounts payable 8,794
Dividends declared on common and preferred stocks -
Customer deposits -
Taxes accrued 6,952
Interest accrued 137
Overrecovered gas and fuel costs -
Price risk management liabilities -
Exchange gas payable 6,455
Current deferred revenue -
Other accruals 18,233
--------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 82,276
--------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 29,906
Deferred investment tax credits 216
Deferred credits -
Noncurrent deferred revenue -
Accrued liability for postretirement and pension
benefits 6,886
Liabilities of discontinued operations -
Other noncurrent liabilities 5,945
--------------------------------------------------------------------------------------------------------------------------------
Total Other 42,953
--------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
--------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 316,452
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
70
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (9 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 9
As of December 31, ($ in thousands) CTC NICL Total
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * *
Accumulated depreciation and amortization
------------------------------------------------------------------------------------------------------------------------------------
Net utility plant
------------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
------------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
------------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
------------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
------------------------------------------------------------------------------------------------------------------------------------
Total Investments
------------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
------------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
------------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
------------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
------------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
71
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1B (10 of 10)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1B Page 10
As of December 31, ($ in thousands) CTC NICL Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
------------------------------------------------------------------------------------------------------------------------------------
Total Other
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
72
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1C (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1C
As of December 31, ($ in thousands) CCC TGT Combined Entries Total
-------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
-------------------------------------------------------------------------------------------------------------------------
Net utility plant
-------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-------------------------------------------------------------------------------------------------------------------------
Total Investments
-------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
73
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1C (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP CAPITAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1C
As of December 31, ($ in thousands) CCC TGT Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
74
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1D (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1D Consolidating F-1D
As of December 31, ($ in thousands) Page 3 CER AD Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
--------------------------------------------------------------------------------------------------------------------------------
Net utility plant
--------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
--------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
--------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
--------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
--------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
--------------------------------------------------------------------------------------------------------------------------------
Total Investments
--------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
--------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
--------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
--------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
--------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
75
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1D (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1D Consolidating F-1D
As of December 31, ($ in thousands) Page 4 CER AD Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
--------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
--------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
--------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
--------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
--------------------------------------------------------------------------------------------------------------------------------
Total Other
--------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
--------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
76
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1D (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1D Page 3
As of December 31, ($ in thousands) CNR CNRCL HH Total
--------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * *
Accumulated depreciation and amortization
--------------------------------------------------------------------------------------------------------
Net utility plant
--------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
--------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
--------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
--------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
--------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
--------------------------------------------------------------------------------------------------------
Total Investments
--------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
--------------------------------------------------------------------------------------------------------
Total Current Assets
--------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
--------------------------------------------------------------------------------------------------------
Total Other Assets
--------------------------------------------------------------------------------------------------------
TOTAL ASSETS
========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
77
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1D (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1D Page 4
As of December 31, ($ in thousands) CNR CNRCL HH Total
--------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
--------------------------------------------------------------------------------------------------------
Total Capitalization
--------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
--------------------------------------------------------------------------------------------------------
Total Current Liabilities
--------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
--------------------------------------------------------------------------------------------------------
Total Other
--------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
--------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
78
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1E (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA FINANCE CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1E
As of December 31, ($ in thousands) CFC CAR Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
---------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
---------------------------------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
79
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1E (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA FINANCE CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1E
As of December 31, ($ in thousands) CFC CAR Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
80
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1F (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA NETWORK SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1F
As of December 31, ($ in thousands) CNS CMC Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
---------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
---------------------------------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
81
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1F (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA NETWORK SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1F
As of December 31, ($ in thousands) CNS CMC Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
82
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1G (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA PIPELINE CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1G
As of December 31, ($ in thousands) CPL CDW Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
---------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
---------------------------------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
83
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1G (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA PIPELINE CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1G
As of December 31, ($ in thousands) CPL CDW Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
84
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1H (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA SERVICE PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1H
As of December 31, ($ in thousands) CSP CAA Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
---------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
---------------------------------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
85
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1H (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA SERVICE PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1H
As of December 31, ($ in thousands) CSP CAA Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
86
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1I (1 of 6)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1I F-1I Consolidating F-1I
As of December 31, ($ in thousands) Page 3 Page 5 EUII Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments and Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
87
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1I (2 of 6)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1I F-1I Consolidating F-1I
As of December 31, ($ in thousands) Page 4 Page 6 EUII Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
88
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1I (3 of 6)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1I Page 3
As of December 31, ($ in thousands) EUC EUR EUIM TPC MS1 Total
-------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
-------------------------------------------------------------------------------------------------------------------
Net utility plant
-------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-------------------------------------------------------------------------------------------------------------------
Total Investments and Other Assets
-------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-------------------------------------------------------------------------------------------------------------------
Total Current Assets
-------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-------------------------------------------------------------------------------------------------------------------
Total Other Assets
-------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
89
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1I (4 of 6)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1I Page 4
As of December 31, ($ in thousands) EUC EUR EUIM TPC MS1 Total
-------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-------------------------------------------------------------------------------------------------------------------
Total Capitalization
-------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-------------------------------------------------------------------------------------------------------------------
Total Other Liabilities and Deferred Credits
-------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
90
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1I (5 of 6)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1I Page 5
As of December 31, ($ in thousands) NEML NEST NIFC NITEX NGS Total
-----------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=======================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
91
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1I (6 of 6)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1I Page 6
As of December 31, ($ in thousands) NEML NEST NIFC NITEX NGS Total
-----------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=======================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
92
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1J (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. (MA) AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1J
As of December 31, ($ in thousands) EUIM ESPE EUIC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT * * * * * *
Utility plant
Accumulated depreciation and amortization
------------------------------------------------------------------------------------------------------------------------------
Net utility plant
------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
------------------------------------------------------------------------------------------------------------------------------
Total Investments
------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
==============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
93
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1J (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. (MA) AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1J
As of December 31, ($ in thousands) EUIM ESPE EUIC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
------------------------------------------------------------------------------------------------------------------------------
Total Other
------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
==============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
94
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1K (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1K Consolidating F-1K
As of December 31, ($ in thousands) Page 3 EUIC BES Combined Entries Total
-------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
-------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-------------------------------------------------------------------------------------------------------------------------------
Total Investments
-------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
95
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1K (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1K Consolidating F-1K
As of December 31, ($ in thousands) Page 4 EUIC BES Combined Entries Total
-------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-------------------------------------------------------------------------------------------------------------------------------
Total Other
-------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
96
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1K (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1K Page 3
As of December 31, ($ in thousands) EUE EUM Total
---------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
---------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
---------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------
TOTAL ASSETS
=============================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
97
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1K (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1K Page 4
As of December 31, ($ in thousands) EUE EUM Total
---------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=============================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
98
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1L (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA-TPC CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1L
As of December 31, ($ in thousands) TPC EUA Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
---------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
---------------------------------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
99
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1L (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA-TPC CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1L
As of December 31, ($ in thousands) TPC EUA Combined Entries Total
---------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
---------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
100
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1M (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1M Consolidating F-1M
As of December 31, ($ in thousands) Page 3 IWCR HWC IWC Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * * *
Accumulated depreciation and amortization
---------------------------------------------------------------------------------------------------------------------------------
Net utility plant
---------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful
efforts method
United States cost center
Canadian cost center
Accumulated depletion
---------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
---------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated
depreciation
---------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
---------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of
subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
---------------------------------------------------------------------------------------------------------------------------------
Total Investments
---------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
---------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
---------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets, less accumulated
amortization
Deferred charges and other
---------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
---------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
101
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1M (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1M Consolidating F-1M
As of December 31, ($ in thousands) Page 4 IWCR HWC IWC Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption
provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable
preferred securities of subsidiary trust
holding solely Company debentures
Long-term debt, excluding amounts due within
one year
---------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
---------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred
stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
---------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
---------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and
pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
---------------------------------------------------------------------------------------------------------------------------------
Total Other
---------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
---------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
102
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1M (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1M Page 3
As of December 31, ($ in thousands) IRAC IWCM LWC LWAC DWWC Total
--------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
--------------------------------------------------------------------------------------------------------------------------------
Net utility plant
--------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful
efforts method
United States cost center
Canadian cost center
Accumulated depletion
--------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
--------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated
depreciation
--------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
--------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of
subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
--------------------------------------------------------------------------------------------------------------------------------
Total Investments
--------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
--------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
--------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets, less accumulated
amortization
Deferred charges and other
--------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
--------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
103
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1M (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1M Page 4
As of December 31, ($ in thousands) IRAC IWCM LWC LWAC DWWC Total
-----------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable
preferred securities of subsidiary trust holding
solely Company debentures
Long-term debt, excluding amounts due within
one year
-----------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred
stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and
pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
=============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
104
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1N (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
KOKOMO GAS AND FUEL COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1N
As of December 31, ($ in thousands) KOKO KGF Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 79,310 * * * *
Accumulated depreciation and amortization (38,693)
---------------------------------------------------------------------------------------------------------------------------------
Net utility plant 40,617
---------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center -
Canadian cost center -
Accumulated depletion -
---------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties -
---------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation -
---------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 40,617
---------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations -
Unconsolidated affiliates 5
Assets held for sale -
Other investments -
---------------------------------------------------------------------------------------------------------------------------------
Total Investments 5
---------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 1,270
Restricted cash -
Accounts receivable (less reserve) 4,482
Unbilled revenue (less reserve) 2,145
Gas inventory 830
Underrecovered gas and fuel costs -
Materials and supplies, at average cost 388
Electric production fuel, at average cost -
Price risk management assets -
Exchange gas receivable -
Prepayments and other 55
---------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 9,170
---------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets -
Regulatory assets -
Goodwill -
Intangible assets 208
Deferred charges and other 358
---------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 566
---------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 50,358
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
105
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1N (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
KOKOMO GAS AND FUEL COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1N
As of December 31, ($ in thousands) KOKO KGF Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 35,653 * * * *
Preferred Stocks--
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year -
---------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 35,653
---------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt -
Short-term borrowings -
Accounts payable 5,230
Dividends declared on common and preferred stocks -
Customer deposits 456
Taxes accrued 288
Interest accrued 143
Overrecovered gas and fuel costs (766)
Price risk management liabilities -
Exchange gas payable -
Current deferred revenue -
Other accruals 1,489
---------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 6,840
---------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 3,305
Deferred investment tax credits 465
Deferred credits 1,110
Noncurrent deferred revenue -
Accrued liability for postretirement and pension benefits 1,500
Liabilities of discontinued operations -
Other noncurrent liabilities 1,485
---------------------------------------------------------------------------------------------------------------------------------
Total Other 7,865
---------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
---------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 50,358
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
106
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1O (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1O Consolidating F-1O
As of December 31, ($ in thousands) Page 3 NESI CROSS Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
107
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1O (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1O Consolidating F-1O
As of December 31, ($ in thousands) Page 4 NESI CROSS Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension
benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
108
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1O (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1O Page 3
As of December 31, ($ in thousands) GREEN NPM NESCL Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
109
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1O (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1O Page 4
As of December 31, ($ in thousands) GREEN NPM NESCL Total
----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
----------------------------------------------------------------------------------------------------------------------------------
Total Other
----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
110
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1P (1 of 6)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1P F-1P Consolidating F-1P
As of December 31, ($ in thousands) Page 3 Page 5 NDEV ASL Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
111
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1P (2 of 6)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1P F-1P Consolidating F-1P
As of December 31, ($ in thousands) Page 4 Page 6 NDEV ASL Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
112
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1P (3 of 6)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1P Page 3
As of December 31, ($ in thousands) CARD CIS JOF KOGF LEL NDC Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Gpodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
-----------------------------------------------------------------------------------------------------------------------------------
* CONFIDENTIAL TREATMENT REQUESTED
113
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1P (4 of 6)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1P Page 4
As of December 31, ($ in thousands) CARD CIS JOF KOGF LEL NDC Total
-----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
114
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1P (5 of 6)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1P page 5
As of December 31, ($ in thousands) PRO PRI SWP Total
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * *
Accumulated depreciation and amortization
------------------------------------------------------------------------------------------------------------------------------------
Net utility plant
------------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
------------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
------------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
------------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
------------------------------------------------------------------------------------------------------------------------------------
Total Investments
------------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
------------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
------------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
------------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
------------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
115
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1P (6 of 6)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1P page 6
As of December 31, ($ in thousands) PRO PRI SWP Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
------------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
------------------------------------------------------------------------------------------------------------------------------------
Total Other
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
116
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1Q (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
LAKE ERIE LAND COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1Q
As of December 31, ($ in thousands) LEL SCC Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
----------------------------------------------------------------------------------------------------------------------------------
Total Investments
----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
117
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1Q (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
LAKE ERIE LAND COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1Q
As of December 31, ($ in thousands) LEL SCC Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
----------------------------------------------------------------------------------------------------------------------------------
Total Other
----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
118
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1R (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE PIPELINE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1R
As of December 31, ($ in thousands) NPG GSGT PNGTS Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
------------------------------------------------------------------------------------------------------------------------------------
Net utility plant
------------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
------------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
------------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
------------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
------------------------------------------------------------------------------------------------------------------------------------
Total Investments
------------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
------------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
------------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
------------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
------------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
119
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1R (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE PIPELINE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1R
As of December 31, ($ in thousands) NPG GSGT PNGTS Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
------------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
------------------------------------------------------------------------------------------------------------------------------------
Total Other
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
120
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1S (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
GRANITE STATE GAS TRANSMISSION, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1S
As of December 31, ($ in thousands) GSGT BSEE NGD Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 22,754 * * * * *
Accumulated depreciation and amortization (6,733)
------------------------------------------------------------------------------------------------------------------------------------
Net utility plant 16,021
------------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center -
Canadian cost center -
Accumulated depletion -
------------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties -
------------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation 600
------------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 16,621
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations -
Unconsolidated affiliates 68
Assets held for sale -
Other investments -
------------------------------------------------------------------------------------------------------------------------------------
Total Investments 68
------------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents (211)
Restricted cash -
Accounts receivable (less reserve) 2,822
Unbilled revenue (less reserve) -
Gas inventory -
Underrecovered gas and fuel costs -
Materials and supplies, at average cost -
Electric production fuel, at average cost -
Price risk management assets -
Exchange gas receivable -
Prepayments and other 117
------------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 2,728
------------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets -
Regulatory assets 3,635
Goodwill -
Intangible assets 31
Deferred charges and other (54)
------------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 3,612
------------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 23,029
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
121
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1S (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
GRANITE STATE GAS TRANSMISSION, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1S
As of December 31, ($ in thousands) GSGT BSEE NGD Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 11,591 * * * * *
Preferred Stocks--
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year -
------------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 11,591
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt -
Short-term borrowings 7,327
Accounts payable 1,371
Dividends declared on common and preferred stocks -
Customer deposits -
Taxes accrued (2,775)
Interest accrued 3
Overrecovered gas and fuel costs -
Price risk management liabilities -
Exchange gas payable -
Current deferred revenue -
Other accruals (17)
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 5,909
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 5,528
Deferred investment tax credits 20
Deferred credits 72
Noncurrent deferred revenue -
Accrued liability for postretirement and pension benefits (101)
Liabilities of discontinued operations -
Other noncurrent liabilities 10
------------------------------------------------------------------------------------------------------------------------------------
Total Other 5,529
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 23,029
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
122
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1T (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA FUEL AND LIGHT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1T
As of December 31, ($ in thousands) NIFL NITC Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 73,217 * * * *
Accumulated depreciation and amortization (26,626)
---------------------------------------------------------------------------------------------------------------------------------
Net utility plant 46,591
---------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center -
Canadian cost center -
Accumulated depletion -
---------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties -
---------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation -
---------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 46,591
---------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries -
Assets of discontinued operations -
Unconsolidated affiliates 4,862
Assets held for sale -
Other investments -
---------------------------------------------------------------------------------------------------------------------------------
Total Investments 4,862
---------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 334
Restricted cash -
Accounts receivable (less reserve) 7,185
Unbilled revenue (less reserve) 2,669
Gas inventory 3,851
Underrecovered gas and fuel costs 3,890
Materials and supplies, at average cost 369
Electric production fuel, at average cost -
Price risk management assets -
Exchange gas receivable -
Prepayments and other 53
---------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 18,351
---------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets -
Regulatory assets 112
Goodwill -
Intangible assets 318
Deferred charges and other 465
---------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 895
---------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 70,699
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
123
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1T (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA FUEL AND LIGHT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1T
As of December 31, ($ in thousands) NIFL NITC Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 46,350 * * * *
Preferred Stocks--
Subsidiary Companies -
Series without mandatory redemption provisions -
Series with mandatory redemption provisions -
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures -
Long-term debt, excluding amounts due within one year -
---------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 46,350
---------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption -
Current portion of long-term debt -
Short-term borrowings -
Accounts payable 8,588
Dividends declared on common and preferred stocks -
Customer deposits 152
Taxes accrued 214
Interest accrued 31
Overrecovered gas and fuel costs -
Price risk management liabilities -
Exchange gas payable -
Current deferred revenue -
Other accruals 1,078
---------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 10,063
---------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities -
Deferred income taxes 5,178
Deferred investment tax credits 302
Deferred credits 47
Noncurrent deferred revenue -
Accrued liability for postretirement and pension benefits 6,671
Liabilities of discontinued operations -
Other noncurrent liabilities 2,088
---------------------------------------------------------------------------------------------------------------------------------
Total Other 14,286
---------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES -
---------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 70,699
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
124
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1U (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA PUBLIC SERVICE COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1U
As of December 31, ($ in thousands) NIP NEXCO Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant 6,415,603 * * * 6,415,603
Accumulated depreciation and amortization (3,547,661) (3,547,661)
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant 2,867,942 2,867,942
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center - -
Canadian cost center - -
Accumulated depletion - -
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties - -
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation 2,445 2,445
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment 2,870,387 2,870,387
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries - -
Assets of discontinued operations - -
Unconsolidated affiliates - -
Assets held for sale - -
Other investments 6,270 6,270
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments 6,270 6,270
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents 4,331 4,331
Restricted cash - -
Accounts receivable (less reserve) 94,334 94,334
Unbilled revenue (less reserve) 72,307 72,307
Gas inventory 15,501 15,501
Underrecovered gas and fuel costs 50,097 50,097
Materials and supplies, at average cost 44,321 44,321
Electric production fuel, at average cost 39,029 39,029
Price risk management assets 3,531 3,531
Exchange gas receivable - -
Prepayments and other 36,210 36,210
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets 359,661 359,661
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets - -
Regulatory assets 225,614 225,614
Goodwill - -
Intangible assets 25,086 25,086
Deferred charges and other 5,044 5,044
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets 255,744 255,744
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS 3,492,062 3,492,062
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
125
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1U (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA PUBLIC SERVICE COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1U
As of December 31, ($ in thousands) NIP NEXCO Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity 899,622 * * * 899,622
Preferred Stocks--
Subsidiary Companies - -
Series without mandatory redemption provisions 81,114 81,114
Series with mandatory redemption provisions 3,814 3,814
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures - -
Long-term debt, excluding amounts due within one year 713,351 713,351
------------------------------------------------------------------------------------------------------------------------------------
Total Capitalization 1,697,901 1,697,901
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption - -
Current portion of long-term debt 130,000 130,000
Short-term borrowings 448,899 448,899
Accounts payable 187,502 187,502
Dividends declared on common and preferred stocks 1,115 1,115
Customer deposits 39,346 39,346
Taxes accrued 70,986 70,986
Interest accrued 9,854 9,854
Overrecovered gas and fuel costs - -
Price risk management liabilities 808 808
Exchange gas payable - -
Current deferred revenue - -
Other accruals 82,516 82,516
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities 971,026 971,026
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities - -
Deferred income taxes 488,837 488,837
Deferred investment tax credits 64,315 64,315
Deferred credits 43,176 43,176
Noncurrent deferred revenue - -
Accrued liability for postretirement and pension benefits 219,023 219,023
Liabilities of discontinued operations - -
Other noncurrent liabilities 7,784 7,784
------------------------------------------------------------------------------------------------------------------------------------
Total Other 823,135 823,135
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES - -
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES 3,492,062 3,492,062
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
126
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1V (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1V Consolidating F-1V
As of December 31, ($ in thousands) Page 3 PEI CEI HCC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * * *
Accumulated depreciation and amortization
------------------------------------------------------------------------------------------------------------------------------------
Net utility plant
------------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
------------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
------------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
------------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
------------------------------------------------------------------------------------------------------------------------------------
Total Investments
------------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
------------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
------------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets, less accumulated amortization
Deferred charges and other
------------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
------------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
127
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1V (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1V Consolidating F-1V
As of December 31, ($ in thousands) Page 4 PEI CEI HCC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
------------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
------------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
------------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
------------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
------------------------------------------------------------------------------------------------------------------------------------
Total Other
------------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
------------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES *
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
128
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1V (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1V Page 3
As of December 31, ($ in thousands) IEL LEC NLEC PORT WCE Total
-----------------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
129
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1V (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
F-1V Page 4
As of December 31, ($ in thousands) IEL LEC NLEC PORT WCE Total
-----------------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
-----------------------------------------------------------------------------------------------------------------------------------
Total Capitalization
-----------------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
-----------------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
-----------------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Total Other
-----------------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
130
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1W (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
SM&P UTILITY RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1W
As of December 31, ($ in thousands) SMP CI Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------
ASSETS
PROPERTY, PLANT AND EQUIPMENT
Utility plant * * * * *
Accumulated depreciation and amortization
-----------------------------------------------------------------------------------------------------------------------------
Net utility plant
-----------------------------------------------------------------------------------------------------------------------------
Gas and oil producing properties, successful efforts method
United States cost center
Canadian cost center
Accumulated depletion
-----------------------------------------------------------------------------------------------------------------------------
Net gas and oil producing properties
-----------------------------------------------------------------------------------------------------------------------------
Other property, at cost, less accumulated depreciation
-----------------------------------------------------------------------------------------------------------------------------
Net Property, Plant, and Equipment
-----------------------------------------------------------------------------------------------------------------------------
INVESTMENTS AND OTHER ASSETS
Equity in undistributed earnings of subsidiaries
Assets of discontinued operations
Unconsolidated affiliates
Assets held for sale
Other investments
-----------------------------------------------------------------------------------------------------------------------------
Total Investments
-----------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
Cash and cash equivalents
Restricted cash
Accounts receivable (less reserve)
Unbilled revenue (less reserve)
Gas inventory
Underrecovered gas and fuel costs
Materials and supplies, at average cost
Electric production fuel, at average cost
Price risk management assets
Exchange gas receivable
Prepayments and other
-----------------------------------------------------------------------------------------------------------------------------
Total Current Assets
-----------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS
Price risk management assets
Regulatory assets
Goodwill
Intangible assets
Deferred charges and other
-----------------------------------------------------------------------------------------------------------------------------
Total Other Assets
-----------------------------------------------------------------------------------------------------------------------------
TOTAL ASSETS
=============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
131
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-1W (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
SM&P UTILITY RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Not covered by Report of Independent Public Accountants)
Consolidating F-1W
As of December 31, ($ in thousands) SMP CI Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------
CAPITALIZATION AND LIABILITIES
CAPITALIZATION
Common Stock Equity * * * * *
Preferred Stocks--
Subsidiary Companies
Series without mandatory redemption provisions
Series with mandatory redemption provisions
Company-obligated mandatorily redeemable preferred
securities of subsidiary trust holding solely Company
debentures
Long-term debt, excluding amounts due within one year
----------------------------------------------------------------------------------------------------------------------------
Total Capitalization
----------------------------------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
Current redeemable preferred stock subject to
mandatory redemption
Current portion of long-term debt
Short-term borrowings
Accounts payable
Dividends declared on common and preferred stocks
Customer deposits
Taxes accrued
Interest accrued
Overrecovered gas and fuel costs
Price risk management liabilities
Exchange gas payable
Current deferred revenue
Other accruals
----------------------------------------------------------------------------------------------------------------------------
Total Current Liabilities
----------------------------------------------------------------------------------------------------------------------------
OTHER LIABILITIES AND DEFERRED CREDITS
Price risk management liabilities
Deferred income taxes
Deferred investment tax credits
Deferred credits
Noncurrent deferred revenue
Accrued liability for postretirement and pension benefits
Liabilities of discontinued operations
Other noncurrent liabilities
----------------------------------------------------------------------------------------------------------------------------
Total Other
----------------------------------------------------------------------------------------------------------------------------
COMMITMENTS AND CONTINGENCIES
----------------------------------------------------------------------------------------------------------------------------
TOTAL CAPITALIZATION AND LIABILITIES
============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
132
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2 (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2 F-2 F-2 Consolidating F-2
Year Ended December 31, ($ in thousands) Page 2 Page 3 Page 4 Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * 2,890,412
Gas Transmission and Storage 1,011,862
Electric 1,103,645
Exploration and Production 155,650
Other 1,330,737
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 6,492,306
Cost of Sales 3,163,259
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 3,329,047
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 1,288,238
Depreciation, depletion and amortization 574,041
Loss (gain) on sale or impairment of assets (27,177)
Other taxes 291,262
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 2,126,364
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 1,202,683
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (526,143)
Minority interest (20,355)
Dividend requirements on preferred stock of subsidiaries (6,782)
Other, net 10,170
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (543,110)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 659,573
INCOME TAXES 233,864
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 425,709
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes (9,405)
Net loss on the Disposition of Discontinued Operations -
net of taxes (43,799)
Change in Accounting - net of taxes -
Subsidiary Earnings -
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 372,505
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
133
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2 (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2 Page 2
Year Ended December 31, ($ in thousands) NI BSG CG EUII IWCR KOKO Total
------------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * 1,632,118 * * * *
Gas Transmission and Storage 940,085
Electric -
Exploration and Production 187,981
Other 58,085
------------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 2,818,269
Cost of Sales 874,781
------------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 1,943,488
------------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 739,927
Depreciation, depletion and amortization 207,524
Loss (gain) on sale or impairment of assets (5,332)
Other taxes 182,746
------------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 1,124,865
------------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 818,623
------------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (115,159)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 24,131
------------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (91,028)
------------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 727,595
INCOME TAXES 254,459
------------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 473,136
------------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes (6,413)
Net loss on the Disposition of Discontinued Operations -
net of taxes 51,274)
Change in Accounting - net of taxes -
Subsidiary Earnings -
------------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 415,449
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
(a) BSG includes two subsidiaries, CG includes twenty subsidiaries, EUII
includes ten subsidiaries, and NESI includes four subsidiaries as noted in Item
1. Consolidating financial statement of BSG, CG, EUII and NESI are presented
herewith in Exhibits F-1A through F4-A, F-1B through F-4B, F-1I through F-4I and
F-1K through F-4K, respectively.
134
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2 (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2 Page 3
Year Ended December 31, ($ in thousands) NESI NCM NCT NCS NDEV NET Total
------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * - * * *
Gas Transmission and Storage -
Electric -
Exploration and Production -
Other 304,443
------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 304,443
Cost of Sales -
------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 304,443
------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 282,691
Depreciation, depletion and amortization 8,034
Loss (gain) on sale or impairment of assets -
Other taxes 9,844
------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 300,569
------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 3,874
------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (5,070)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net (68)
------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (5,138)
------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES (1,264)
INCOME TAXES (1,264)
------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS -
------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings -
------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) -
==============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
(a) NDEV includes ten subsidiariesas noted in Item 1. Consolidating financial
statement of NDEV are presented herewith in Exhibits F-1L through F4-L.
135
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2 (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2 Page 4
Year Ended December 31, ($ in thousands) NFC NPG NIFL NIP PEI SMP Total
-----------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * 746,193 * * *
Gas Transmission and Storage 36,253
Electric 1,136,772
Exploration and Production -
Other 2,992
-----------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 1,922,210
Cost of Sales 867,319
Total Net Revenues 1,054,891
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 319,365
Depreciation, depletion and amortization 254,735
Loss (gain) on sale or impairment of assets -
Other taxes 71,739
-----------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 645,839
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 409,052
-----------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (59,942)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 1,872
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (58,070)
-----------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 350,982
INCOME TAXES 124,049
-----------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 226,933
-----------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings -
-----------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 226,933
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
(a) NPG includes two subsidiaries, NIFL includes one subsidiary, NIP includes
one subsidiary, PEI includes seven subsidiaries and SMP includes one subsidiary
as noted in Item 1. Consolidating financial statement of NPG, NIFL, NIP, PEI and
SMP are presented herewith in Exhibits F-1N through F4-N, F-1P through F-4P,
F-1Q through F-4Q, F-1R through F-4R and F-1S through F-4S, respectively.
136
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2A (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
BAY STATE GAS COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2A
Year Ended December 31, ($ in thousands) BSG BSGPE NU Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution 335,546 * 89,010 * * *
Gas Transmission and Storage 26,271 6,939
Electric - -
Exploration and Production - -
Other 1,752 865
-----------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 363,569 96,814
Cost of Sales 190,731 59,912
-----------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 172,838 36,902
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 97,635 18,023
Depreciation, depletion and amortization 38,055 8,994
Loss (gain) on sale or impairment of assets - -
Other taxes 10,276 3,142
-----------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 145,966 30,159
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 26,872 6,743
-----------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (14,444) (3,733)
Minority interest - -
Dividend requirements on preferred stock of subsidiaries - -
Other, net (576) 71
-----------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (15,020) (3,662)
-----------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 11,852 3,081
INCOME TAXES 4,864 942
-----------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 6,988 2,139
-----------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes - -
Net loss on the Disposition of Discontinued Operations -
net of taxes - -
Change in Accounting - net of taxes - -
Subsidiary Earnings 2,111 -
-----------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 9,099 2,139
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
137
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2B (1 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2B F-2B F-2B F-2B Consolidating F-2B
Year Ended December 31, ($ in thousands) Page 2 Page 3 Page 4 Page 5 Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * * 1,632,118
Gas Transmission and Storage 940,085
Electric -
Exploration and Production 187,981
Other 58,085
---------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 2,818,269
Cost of Sales 874,781
---------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 1,943,488
---------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 739,927
Depreciation, depletion and amortization 207,524
Loss (gain) on sale or impairment of assets (5,332)
Other taxes 182,746
---------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 1,124,865
---------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 818,623
---------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (115,159)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 24,131
---------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (91,028)
---------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 727,595
INCOME TAXES 254,459
---------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 473,136
---------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes (6,413)
Net loss on the Disposition of Discontinued Operations -
net of taxes (51,274)
Change in Accounting - net of taxes -
Subsidiary Earnings -
---------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 415,449
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
138
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2B (2 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2B Page 2
Year Ended December 31, ($ in thousands) CG CAT CCC CER CES CFC Total
-----------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
-----------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
-----------------------------------------------------------------------------------------------------------------
Total Net Revenues
-----------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
-----------------------------------------------------------------------------------------------------------------
Total Operating Expenses
-----------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
-----------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
-----------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
-----------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
-----------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
-----------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
-----------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
139
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2B (3 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2B Page 3
Year Ended December 31, ($ in thousands) CKY CMD COH CPA CGV TCO Total
------------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution 99,320 35,510 982,075 317,192 173,043 - 1,607,140
Gas Transmission and Storage 30,100 4,050 206,525 71,931 20,110 714,026 1,046,742
Electric - - - - - - -
Exploration and Production - - - - - - -
Other 448 971 (17,289) 13,625 4,076 10,505 12,336
----------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 129,868 40,531 1,171,311 402,748 197,229 724,531 2,666,218
Cost of Sales 72,797 20,305 688,290 216,750 94,509 - 1,092,651
----------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 57,071 20,226 483,021 185,998 102,720 724,531 1,573,567
----------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 25,090 7,555 182,000 90,706 44,917 243,934 594,202
Depreciation, depletion and amortization 8,702 2,426 13,440 16,075 14,405 84,301 139,349
Loss (gain) on sale or impairment of assets - - - - - (1,949) (1,949)
Other taxes 2,120 2,978 100,246 4,476 5,127 43,824 158,771
----------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 35,912 12,959 295,686 111,257 64,449 370,110 890,373
----------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 21,159 7,267 187,335 74,741 38,271 354,421 683,194
----------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (3,862) (1,636) (24,126) (16,054) (10,898) (35,751) (92,327)
Minority interest - - - - - - -
Dividend requirements on preferred stock of subsidiaries - - - - - - -
Other, net 1,630 301 (193) 4,291 1,814 2,743 10,586
----------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (2,232) (1,335) (24,319) (11,763) (9,084) (33,008) (81,741)
----------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 18,927 5,932 163,016 62,978 29,187 321,413 601,453
INCOME TAXES 7,124 2,358 55,670 24,743 11,048 124,143 225,086
----------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 11,803 3,574 107,346 38,235 18,139 197,270 376,367
----------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes - - - - - - -
Net loss on the Disposition of Discontinued Operations -
net of taxes - - - - - - -
Change in Accounting - net of taxes - - - - - - -
Subsidiary Earnings - - - - - - -
----------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 11,803 3,574 107,346 38,235 18,139 197,270 376,367
==================================================================================================================================
140
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2B (4 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2B Page 4
Year Ended December 31, ($ in thousands) CGT CLNG CNS CPL CRC CSP Total
-------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution - * * * * * *
Gas Transmission and Storage 140,212
Electric -
Exploration and Production -
Other 2,610
-------------------------------------------------------------------------------------------------------------------------
Gross Revenues 142,822
Cost of Sales -
-------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 142,822
-------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 69,702
Depreciation, depletion and amortization 23,208
Loss (gain) on sale or impairment of assets (193)
Other taxes 8,287
-------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 101,004
-------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 41,818
-------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (6,496)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net (40)
-------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (6,536)
-------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 35,282
INCOME TAXES 13,485
-------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 21,797
-------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings -
-------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 21,797
=========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
141
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2B (5 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2B Page 5
Year Ended December 31, ($ in thousands) CTC NICL Total
---------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------
NET INCOME (LOSS)
=======================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
142
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2C (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP CAPITAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2C
Year Ended December 31, ($ in thousands) CCC TGT Combined Entries Total
----------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
----------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
----------------------------------------------------------------------------------------------------------
Total Net Revenues
----------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
----------------------------------------------------------------------------------------------------------
Total Operating Expenses
----------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
----------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
----------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
----------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
----------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
----------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
----------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
==========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
143
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2D (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2D Consolidating F-2D
Year Ended December 31, ($ in thousands) Page 2 CER AD Combined Entries Total
----------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
----------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
----------------------------------------------------------------------------------------------------------------
Total Net Revenues
----------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
----------------------------------------------------------------------------------------------------------------
Total Operating Expenses
----------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
----------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
----------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
----------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
----------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
----------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
----------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
144
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2D (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2D Page 2
Year Ended December 31, ($ in thousands) CNR CNRCL HH Total
--------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
==================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
145
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2E (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA FINANCE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2E
Year Ended December 31, ($ in thousands) CFC CAR Combined Entries Total
---------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
146
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2F (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA NETWORK SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2F
Year Ended December 31, ($ in thousands) CNS CMC Combined Entries Total
---------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
147
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2G (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA PIPELINE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2G
Year Ended December 31, ($ in thousands) CPL CDW Combined Entries Total
---------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
148
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2H (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA SERVICE PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2H
Year Ended December 31, ($ in thousands) CSP CAA Combined Entries Total
---------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
149
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2I (1 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-21 F-21 Consolidating F-2F
Year Ended December 31, ($ in thousands) Page 2 Page 3 EUII Combined Entries Total
-----------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
-----------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
-----------------------------------------------------------------------------------------------------------------
Total Net Revenues
-----------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
-----------------------------------------------------------------------------------------------------------------
Total Operating Expenses
-----------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
-----------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
-----------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
-----------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
-----------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
-----------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
-----------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
150
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2I (2 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2I Page 2
Year Ended December 31, ($ in thousands) EUC EUR EUIM TPC MS1 Total
---------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
151
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2I (3 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2I Page 3
Year Ended December 31, ($ in thousands) NEML NEST NIFC NITEX NGS Total
---------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
---------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
---------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
---------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
---------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
---------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
---------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
---------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
---------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
---------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
---------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
---------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
152
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2J (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA, INC. (MA) AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not Covered by Report of Independent Public Accountants)
Consolidating F-2J
Year Ended December 31, ($ in thousands) EUIM ESPE EUIC Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
153
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2K (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2K Consolidating F-2K
Year Ended December 31, ($ in thousands) Page 2 EUIC BES Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
154
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2K (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2K Page 2
Year Ended December 31, ($ in thousands) EUE EUM Total
----------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
----------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
----------------------------------------------------------------------------------------------------------
Total Net Revenues
----------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
----------------------------------------------------------------------------------------------------------
Total Operating Expenses
----------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
----------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
----------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
----------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
----------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
----------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
----------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
==========================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
155
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2L (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
ENERGY USA-TPC CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2L
Year Ended December 31, ($ in thousands) TPC EUA Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
156
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2M (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2M Consolidating F-2M
Year Ended December 31, ($ in thousands) Page 2 IWCR HWC IWC Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
157
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2M (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2M Page 2
Year Ended December 31, ($ in thousands) IRAC IWCM LWC LWAC DWWC Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
158
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2N (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
KOKOMO GAS AND FUEL COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2N
Year Ended December 31, ($ in thousands) KOKO KGF Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution 40,812 * * * *
Gas Transmission and Storage 1,719
Electric -
Exploration and Production -
Other 5,805
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 48,336
Cost of Sales 35,991
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 12,345
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 5,290
Depreciation, depletion and amortization 2,256
Loss (gain) on sale or impairment of assets -
Other taxes 1,041
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 8,587
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 3,758
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (35)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 65
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) 30
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 3,788
INCOME TAXES 1,636
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 2,152
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings -
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 2,152
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
159
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2O (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2O Consolidating F-2O
Year Ended December 31, ($ in thousands) Page 2 NESI CROSS Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * - * * *
Gas Transmission and Storage 3,839
Electric -
Exploration and Production -
Other -
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 3,839
Cost of Sales 250
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 3,589
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 1,572
Depreciation, depletion and amortization 830
Loss (gain) on sale or impairment of assets -
Other taxes 380
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 2,782
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 807
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (940)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 4
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (936)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES (129)
INCOME TAXES 234
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS (363)
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings -
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) (363)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
160
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2O (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2O Page 2
Year Ended December 31, ($ in thousands) GREEN NPM NESCL Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
161
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2P (1 of 3)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2P F-2P Consolidating F-2P
Year Ended December 31, ($ in thousands) Page 2 Page 3 NDEV ASL Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
162
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2P (2 of 3)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2P Page 2
Year Ended December 31, ($ in thousands) CARD CIS JOF KOGF LEL NDC Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
163
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2P (3 of 3)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2P Page 3
Year Ended December 31, ($ in thousands) PRO PRI SWP Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
164
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2Q (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
LAKE ERIE LAND COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2Q
Year Ended December 31, ($ in thousands) LEL SCC Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
165
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2R (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE PIPELINE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2R
Year Ended December 31, ($ in thousands) NPG GSGT PNTGS Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Other taxes
Loss on asset impairment
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
166
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2S (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
GRANITE STATE GAS TRANSMISSION, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
GSGT Consolidating F-2S
Year Ended December 31, ($ in thousands) GSGT BSEE NGD Subtotal Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution - * * * * *
Gas Transmission and Storage 51,214
Electric -
Exploration and Production -
Other 2
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 51,216
Cost of Sales 47,801
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 3,415
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 913
Depreciation, depletion and amortization 605
Loss (gain) on sale or impairment of assets -
Other taxes 196
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 1,714
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 1,701
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (403)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 1,137
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) 734
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 2,435
INCOME TAXES 1,714
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 721
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings (1)
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 720
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
167
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2T (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA FUEL AND LIGHT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2T
Year Ended December 31, ($ in thousands) NIFL NITC Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution 48,648 * * * *
Gas Transmission and Storage 1,052
Electric -
Exploration and Production -
Other -
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 49,700
Cost of Sales 37,051
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 12,649
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 8,753
Depreciation, depletion and amortization 1,929
Loss (gain) on sale or impairment of assets -
Other taxes 844
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 11,526
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 1,123
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (36)
Minority interest -
Dividend requirements on preferred stock of subsidiaries -
Other, net 178
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) 142
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 1,265
INCOME TAXES 568
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 697
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes -
Net loss on the Disposition of Discontinued Operations -
net of taxes -
Change in Accounting - net of taxes -
Subsidiary Earnings 788
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 1,485
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
168
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2U (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA PUBLIC SERVICE COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
Consolidating F-2U
Year Ended December 31, ($ in thousands) NIP NEXCO Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution 746,193 * * * 746,193
Gas Transmission and Storage 36,253 36,253
Electric 1,136,772 1,136,772
Exploration and Production - -
Other - 2,992
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues 1,919,218 1,922,210
Cost of Sales 867,319 867,319
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues 1,051,899 1,054,891
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance 319,365 319,365
Depreciation, depletion and amortization 254,735 254,735
Loss (gain) on sale or impairment of assets - -
Other taxes 71,739 71,739
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses 645,839 645,839
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS) 406,060 409,052
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net (59,942) (59,942)
Minority interest - -
Dividend requirements on preferred stock of subsidiaries - -
Other, net 6,175 1,872
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions) (53,767) (58,070)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES 352,293 350,982
INCOME TAXES 125,360 124,049
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS 226,933 226,933
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes - -
Net loss on the Disposition of Discontinued Operations -
net of taxes - -
Change in Accounting - net of taxes - -
Subsidiary Earnings - -
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS) 226,933 226,933
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
169
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2V (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2V Consolidating F-2V
Year Ended December 31, ($ in thousands) Page 2 PEI CEI HCC Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
170
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-2V (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(Not covered by Report of Independent Public Accountants)
F-2V Page 2
Year Ended December 31, ($ in thousands) IEL LEC NLEC PORT WCE Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
171
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
Consolidating F-2W
Year Ended December 31, ($ in thousands) SMP CI Combined Entries Total
--------------------------------------------------------------------------------------------------------------------------------
NET REVENUES
Gas Distribution * * * * *
Gas Transmission and Storage
Electric
Exploration and Production
Other
--------------------------------------------------------------------------------------------------------------------------------
Gross Revenues
Cost of Sales
--------------------------------------------------------------------------------------------------------------------------------
Total Net Revenues
--------------------------------------------------------------------------------------------------------------------------------
OPERATING EXPENSES
Operation and maintenance
Depreciation, depletion and amortization
Loss (gain) on sale or impairment of assets
Other taxes
--------------------------------------------------------------------------------------------------------------------------------
Total Operating Expenses
--------------------------------------------------------------------------------------------------------------------------------
OPERATING INCOME (LOSS)
--------------------------------------------------------------------------------------------------------------------------------
OTHER INCOME (DEDUCTIONS)
Interest expense, net
Minority interest
Dividend requirements on preferred stock of subsidiaries
Other, net
--------------------------------------------------------------------------------------------------------------------------------
Total Other Income (Deductions)
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES
INCOME TAXES
--------------------------------------------------------------------------------------------------------------------------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
--------------------------------------------------------------------------------------------------------------------------------
Income (loss) from Discontinued Operations - net of taxes
Net loss on the Disposition of Discontinued Operations -
net of taxes
Change in Accounting - net of taxes
Subsidiary Earnings
--------------------------------------------------------------------------------------------------------------------------------
NET INCOME (LOSS)
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
172
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3 (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3 F-3 F-3 Consolidating F-3
Year Ended December 31, 2002 ($ in thousands) Page 2 Page 3 Page 4 Combined Entries Total
-------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * 2,075
Common stock issued - 416
Long-term incentive plan -
Employee stock purchase plan 1
Common stock retired -
-------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 2,492
-------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 2,637,122
Common stock issued - 734,303
Employee stock purchase plan 915
Long-term incentive plan 17,086
Recapitalization -
Capital contributions -
Treasury stock acquired (6,941)
-------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 3,382,485
-------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 799,215
Net income (loss) 372,505
Cash dividends -
NI (240,850)
Subsidiaries (to parent) -
Other -
-------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 930,870
-------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year (19,783)
Long-term Incentive Plan (693)
Amortization of Unearned Compensation 19,921
-------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (555)
-------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year 51,237
Other Comprehensive Income, net of tax
Unrealized (5,986)
Realized 274
Gain/Loss on foreign currency translation
Unrealized 21
Net unrealized gains on derivatives qualifying
as cash flow hedges 17,710
Minimum pension liability adjustment (203,706)
-------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (140,450)
-------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 4,174,842
===============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
173
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3 (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3 Page 2
Year Ended December 31, 2002 ($ in thousands) NI BSG CG EUII IWCR KOKO Total
----------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * - * * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
----------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 1,370,524
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions 12,794
Treasury stock acquired -
----------------------------------------------------------------------------------------------------------------------------
Balance at end of year 1,383,318
----------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 755,202
Net income (loss) 415,449
Cash dividends -
NI -
Subsidiaries (to parent) (202,050)
Other -
----------------------------------------------------------------------------------------------------------------------------
Balance at end of year 968,601
----------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
----------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year 51,419
Other Comprehensive Income, net of tax
Unrealized 422
Realized -
Gain/Loss on foreign currency translation
Unrealized 36
Net unrealized gains on derivatives qualifying
as cash flow hedges 12,559
Minimum pension liability adjustment (20,089)
----------------------------------------------------------------------------------------------------------------------------
Balance at end of year 44,347
----------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 2,396,266
============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
174
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3 (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3 Page 3
Year Ended December 31, 2002 ($ in thousands) NESI NCM NCT NCS NDEV NET Total
-----------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * 400 * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
-----------------------------------------------------------------------------------------------------------------------------
Balance at end of year 400
-----------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year -
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions -
Treasury stock acquired -
-----------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
-----------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year -
Net income (loss) -
Cash dividends -
NI -
Subsidiaries (to parent) -
Other -
-----------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
-----------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
-----------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
-----------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year -
Other Comprehensive Income, net of tax
Unrealized -
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges -
Minimum pension liability adjustment (21,166)
-----------------------------------------------------------------------------------------------------------------------------
Balance at end of year (21,166)
-----------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY (20,766)
=============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
175
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3 (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3 Page 4
Year Ended December 31, 2002 ($ in thousands) NFC NPG NIFL NIP PEI SMP Total
--------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * 859,488 * * *
Common stock issued - (Retired) -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 859,488
--------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 19,098
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions 14,385
Treasury stock acquired -
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 33,483
--------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 160,452
Net income (loss) 226,933
Cash dividends -
NI -
Subsidiaries (to parent) (232,738)
Other (6,782)
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 147,865
--------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
--------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year (2,724)
Other Comprehensive Income, net of tax
Unrealized -
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges 5,007
Minimum pension liability adjustment (143,497)
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (141,214)
--------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 899,622
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
176
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3A (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
BAY STATE GAS COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3A
Year Ended December 31, 2002 ($ in thousands) BSG BSGPE NU Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year - * 1 * * *
Common stock issued - - -
Long-term incentive plan - -
Employee stock purchase plan - -
Common stock retired - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year - 1
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 525,981 109,093
Common stock issued - - -
Employee stock purchase plan - -
Long-term incentive plan - -
Recapitalization -
Capital contributions 184 43
Treasury stock acquired - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 526,165 109,136
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 10,400 2,001
Net income (loss) 9,099 2,139
Cash dividends -
NI - -
Subsidiaries (to NI) (9,000) -
Other - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 10,499 4,140
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year - -
Long-term Incentive Plan - -
Amortization of Unearned Compensation - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year - -
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year - -
Other Comprehensive Income, net of tax
Unrealized - -
Realized - -
Gain/Loss on foreign currency translation
Unrealized - -
Net unrealized gains on derivatives qualifying
as cash flow hedges - -
Minimum pension liability adjustment (16,012) (2,532)
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (16,012) (2,532)
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 520,652 110,745
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
177
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3B (1 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3B F-3B F-3B F-3B Consolidating F-3B
Year Ended December 31, 2002 ($ in thousands) Page 2 Page 3 Page 4 Page 5 Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * * -
Common stock issued -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 1,370,524
Common stock issued -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions 12,794
Treasury stock acquired -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 1,383,318
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 755,202
Net income (loss) 415,449
Cash dividends -
NI -
Subsidiaries (to parent) (202,050)
Other -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 968,601
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year 51,419
Other Comprehensive Income, net of tax
Unrealized 421
Realized -
Gain/Loss on foreign currency translation
Unrealized 36
Net unrealized gains on derivatives qualifying
as cash flow hedges 12,560
Minimum pension liability adjustment (20,089)
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 44,347
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 2,396,266
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
178
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3B (2 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3B Page 2
Year Ended December 31, 2002 ($ in thousands) CG CAT CCC CER CES CFC Total
--------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * * *
Common stock issued
Long-term incentive plan
Employee stock purchase plan
Common stock retired
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
Other
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
179
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3B (3 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3B Page 3
Year Ended December 31, 2002 ($ in thousands) CKY CMD COH CPA CGV TCO Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year 23,806 72 119,240 45,128 65,305 48 253,599
Common stock issued - - - 40,000 - - - 40,000
Long-term incentive plan - - - - - - -
Employee stock purchase plan - - - - - - -
Common stock retired - - - - - - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 23,806 72 159,240 45,128 65,305 48 293,599
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 3,160 10,923 11,316 3,480 5,314 1,027,040 1,061,233
Common stock issued - - - - - - - -
Employee stock purchase plan - - - - - - -
Long-term incentive plan - - - - - - -
Recapitalization -
Capital contributions 378 249 1,957 1,655 1,326 5,548 11,113
Treasury stock acquired - - - - - - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 3,538 11,172 13,273 5,135 6,640 1,032,588 1,072,346
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 53,081 16,186 241,978 145,848 94,935 61,209 613,237
Net income (loss) 11,803 3,574 107,346 38,235 18,139 197,270 376,367
Cash dividends -
NI - - - - - - -
Subsidiaries (to parent) (20,997) (2,416) (78,208) (25,181) (18,025) (190,900) (335,727)
Other - - - - - - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 43,887 17,344 271,116 158,902 95,049 67,579 653,877
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year - - - - - - -
Long-term Incentive Plan - - - - - - -
Amortization of Unearned Compensation - - - - - - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year - - - - - - -
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year - - - - - - -
Other Comprehensive Income, net of tax
Unrealized - - - - - - -
Realized - - - - - - -
Gain/Loss on foreign currency translation
Unrealized - - - - - - -
Net unrealized gains on derivatives qualifying
as cash flow hedges - - - - - - -
Minimum pension liability adjustment (595) (184) (6,664) (2,284) (774) (7,437) (17,938)
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (595) (184) (6,664) (2,284) (774) (7,437) (17,938)
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 70,636 28,404 436,965 206,881 166,220 1,092,778 2,001,884
==================================================================================================================================
180
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3B (4 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3B Page 4
Year Ended December 31, 2002 ($ in thousands) CGT CLNG CNS CPL CRC CSP Total
---------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year 20 * * * * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
---------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 20
---------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 117,235
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions 845
Treasury stock acquired -
---------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 118,080
---------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 6,959
Net income (loss) 21,797
Cash dividends -
NI -
Subsidiaries (to parent) (22,200)
Other -
---------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 6,556
---------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
---------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
---------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year -
Other Comprehensive Income, net of tax
Unrealized -
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges -
Minimum pension liability adjustment (1,323)
---------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (1,323)
---------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 123,333
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
181
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3B (5 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3B Page 5
Year Ended December 31, 2002 ($ in thousands) CTC NICL Total
--------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
Other
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
182
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3C (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP CAPITAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3C
Year Ended December 31, 2002 ($ in thousands) CCC TGT Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
183
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3D (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3D CER Consolidating F-3D
Year Ended December 31, 2002 ($ in thousands) Page 2 CER AD Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
184
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3D (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3D Page 2
Year Ended December 31, 2002 ($ in thousands) CNR CNRCL HH Total
---------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * *
Common stock issued -
Long-term incentive plan
Employee Stock Purchase Plan
Common stock retired
---------------------------------------------------------------------------------------------------------------------
Balance at end of year
---------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee Stock Purchase Plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
---------------------------------------------------------------------------------------------------------------------
Balance at end of year
---------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
---------------------------------------------------------------------------------------------------------------------
Balance at end of year
---------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
---------------------------------------------------------------------------------------------------------------------
Balance at end of year
---------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
---------------------------------------------------------------------------------------------------------------------
Balance at end of year
---------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
=====================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
185
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3E (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA FINANCE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3E
Year Ended December 31, 2002 ($ in thousands) CFC CAR Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
186
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3F (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA NET WORK SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3F
Year Ended December 31, 2002 ($ in thousands) CNS CMC Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
187
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3G (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA PIPELINE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3G
Year Ended December 31, 2002 ($ in thousands) CPL CDW Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
188
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3H (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA SERVICE PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3H
Year Ended December 31, 2002 ($ in thousands) CSP CAA Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
189
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3I (1 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3I F-3I Consolidating F-3I
Year Ended December 31, 2002 ($ in thousands) Page 2 Page 3 EUII Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
190
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3I (2 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3I Page 2
Year Ended December 31, 2002 ($ in thousands) EUC EUR EUIM TPC MS1 Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
191
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3I (3 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3I Page 3
Year Ended December 31, 2002 ($ in thousands) NEML NEST NIFC NITEX NGS Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
192
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3J (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. (MA) AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3J
Year Ended December 31, 2002 ($ in thousands) EUIM ESPE EUIC Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
193
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3K (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3K Consolidating F-3K
Year Ended December 31, 2002 ($ in thousands) Page 2 EUIC BES Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* Confidential treatment requested
194
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3K (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3K Page 2
Year Ended December 31, 2002 ($ in thousands) EUE EUM Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
195
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3L (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA-TPC CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3L
Year Ended December 31, 2002 ($ in thousands) TPC EUA Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
196
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3M (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3M Consolidating F-3M
Year Ended December 31, 2002 ($ in thousands) Page 2 IWCR HWC IWC Combined Entries Consolidated
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
197
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3M (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3M Page 2
Year Ended December 31, 2002 ($ in thousands) IRAC IWCM LWC LWAC DWWC Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
198
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3N (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
KOKOMO GAS AND FUEL COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3N
Year Ended December 31, 2002 ($ in thousands) KOKO KGF Combined Entries Consolidated
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year 46,170 * * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 46,170
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 30
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions 105
Treasury stock acquired -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 135
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year (11,782)
Net income (loss) 2,152
Cash dividends -
NI -
Subsidiaries (to NI) (600)
Other -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (10,230)
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year -
Other Comprehensive Income, net of tax
Unrealized -
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges -
Minimum pension liability adjustment (422)
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (422)
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 35,653
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
199
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3O (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3O Consolidating F-3O
Year Ended December 31, 2002 ($ in thousands) Page 2 NESI CROSS Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * 1 * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 1
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year -
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions -
Treasury stock acquired -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year (8,697)
Net income (loss) (363)
Cash dividends -
NI -
Subsidiaries (to NI) -
Other -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (9,060)
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year -
Other Comprehensive Income, net of tax
Unrealized -
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges -
Minimum pension liability adjustment -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY (9,059)
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
200
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3O (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3O Page 2
Year Ended December 31, 2002 ($ in thousands) GREEN NPM NESCL Total
--------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
--------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
--------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
201
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3P (1 of 3)
NISOURCE INC. AND SUBSIDIARIES
NiSOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3P F-3P Consolidating F-3P
Year Ended December 31, 2002 ($ in thousands) Page2 Page 3 NDEV ASL Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
202
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3P (2 of 3)
NISOURCE INC. AND SUBSIDIARIES
NiSOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3P Page 2
Year Ended December 31, 2002 ($ in thousands) CARD CIS JOF KOGF LEL NDC Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
203
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3P (3 of 3)
NISOURCE INC. AND SUBSIDIARIES
NiSOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3P Page 3
Year Ended December 31, 2002 ($ in thousands) PRO PRI SWP Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
204
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3Q (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
LAKE ERIE LAND COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3Q
Year Ended December 31, 2002 ($ in thousands) LEL SCC Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury shares acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
205
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3R (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NiSOURCE PIPELINE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3R
Year Ended December 31, 2002 ($ in thousands) NPG GSGT PNGTS Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization/Dissolution -
Capital contributions
Treasury stock acquired
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
206
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3S (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
GRANITE STATE GAS TRANSMISSION, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3S
Year Ended December 31, 2002 ($ in thousands) GSGT BSEE NGD Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year 30 * * * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 30
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 15,302
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization/Dissolution -
Capital contributions 11,059
Treasury stock acquired -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 26,361
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year (15,443)
Net income (loss) 720
Cash dividends -
NI -
Subsidiaries (to parent) -
Other -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (14,723)
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year -
Other Comprehensive Income, net of tax
Unrealized (77)
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges -
Minimum pension liability adjustment -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (77)
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 11,591
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
207
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3T (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA FUEL AND LIGHT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3T
Year Ended December 31, 2002 ($ in thousands) NIFL NITC Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year 30,674 * * * *
Common stock issued - -
Long-term incentive plan -
Employee stock purchase plan -
Common stock retired -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 30,674
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 93
Common stock issued - -
Employee stock purchase plan -
Long-term incentive plan -
Recapitalization -
Capital contributions 52
Treasury stock acquired -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 145
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 14,645
Net income (loss) 1,485
Cash dividends -
NI -
Subsidiaries (to NI) -
Other -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 16,130
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year -
Long-term Incentive Plan -
Amortization of Unearned Compensation -
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year -
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year -
Other Comprehensive Income, net of tax
Unrealized -
Realized -
Gain/Loss on foreign currency translation
Unrealized -
Net unrealized gains on derivatives qualifying
as cash flow hedges -
Minimum pension liability adjustment (599)
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (599)
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 46,350
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
208
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3U (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA PUBLIC SERVICE COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
Consolidating F-3U
Year Ended December 31, 2002 ($ in thousands) NIP NEXCO Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year 859,488 * * * 859,488
Common stock issued/retired - - -
Long-term incentive plan - -
Employee stock purchase plan - -
Common stock retired - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 859,488 859,488
----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year 19,098 19,098
Common stock issued - - -
Employee stock purchase plan - -
Long-term incentive plan - -
Recapitalization -
Capital contributions 14,385 14,385
Treasury stock acquired - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 33,483 33,483
----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year 160,452 160,452
Net income (loss) 226,933 226,933
Cash dividends - -
Preferred Stock (6,782) (6,782)
Subsidiaries to NI (232,738) (232,738)
Other - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year 147,865 147,865
----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year - -
Long-term Incentive Plan - -
Amortization of Unearned Compensation - -
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year - -
----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year (2,724) (2,724)
Other Comprehensive Income, net of tax
Unrealized - -
Realized - -
Gain/Loss on foreign currency translation
Unrealized - -
Net unrealized gains on derivatives qualifying
as cash flow hedges 5,007 5,007
Minimum pension liabiity adjustment (143,497) (143,497)
----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year (141,214) (141,214)
----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY 899,622 899,622
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
209
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3V (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3V Consolidating F-3V
Year Ended December 31, 2002 ($ in thousands) Page 2 PEI CEI HCC Combined Entries Consolidated
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to NI)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
210
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-3V (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMMON STOCK EQUITY
(Not covered by Report of Independent Public Accountants)
F-3V Page 2
Year Ended December 31, 2002 ($ in thousands) IEL LEC NLEC PORT WCE Total
-------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
Treasury stock acquired
-------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
=========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
211
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
Consolidating F-3W
Year Ended December 31, 2002 ($ in thousands) SMP CI Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCK
Balance at beginning of year * * * * *
Common stock issued -
Long-term incentive plan
Employee stock purchase plan
Common stock retired
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ADDITIONAL PAID IN CAPITAL
Balance at beginning of year
Common stock issued -
Employee stock purchase plan
Long-term incentive plan
Recapitalization -
Capital contributions
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
RETAINED EARNINGS
Balance at beginning of year
Net income (loss)
Cash dividends -
NI
Subsidiaries (to parent)
Other
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
OTHER
Balance at beginning of year
Long-term Incentive Plan
Amortization of Unearned Compensation
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATED OTHER COMPREHENSIVE INCOME
Balance at beginning of year
Other Comprehensive Income, net of tax
Unrealized
Realized
Gain/Loss on foreign currency translation
Unrealized
Net unrealized gains on derivatives qualifying
as cash flow hedges
Minimum pension liability adjustment
-----------------------------------------------------------------------------------------------------------------------------------
Balance at end of year
-----------------------------------------------------------------------------------------------------------------------------------
TOTAL COMMON STOCK EQUITY
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
212
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4 (1 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4 F-4 F-4 Consolidating F-4
Year Ended December 31, ($ in thousands) Page 2 Page 3 Page 4 Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * 372,505
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 574,041
Net changes in price risk management activities (22,300)
Asset impairment -
Deferred income taxes and investment tax credits 114,100
Deferred revenue (88,900)
Stock compensation expense 27,100
Gain on sale of assets (27,200)
Income from change in accounting -
Gain on sale of discontinued operations 43,800
Income from discontinued operations 9,400
Other, asset items (6,500)
Other, liability items 27,000
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net 102,700
Inventories 66,800
Accounts payable (91,600)
Taxes accrued (5,400)
(Under) Overrecovered gas and fuel costs (51,500)
Exchange gas receivable/payable 190,700
Other accruals (136,500)
Other assets 44,700
Other liabilities 45,700
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 1,188,646
Net Cash Flows from Discontinuing Operations (16,200)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 1,172,446
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (621,900)
Acquisition of businesses -
Proceeds from disposition of assets 419,200
Other investing activities -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (202,700)
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt (532,100)
Change in short-term debt (941,200)
Retirement of preferred shares (46,700)
Issuance of common stock and capital contributed 734,900
Acquisition of treasury stock (6,900)
Dividends paid - common shares (241,500)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (1,033,500)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (63,754)
Cash and cash equivalents at beginning of year 118,012
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 54,258
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
213
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4 (2 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4 Page 2
Year Ended December 31, ($ in thousands) NI BSG CG EUII IWCR KOKO Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * 415,449 * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 207,524
Net changes in price risk management activities (25,300)
Asset impairment -
Deferred income taxes and investment tax credits 107,900
Deferred revenue (89,500)
Stock compensation expense -
Gain on sale of assets (5,300)
Income from change in accounting -
Gain on sale of discontinued operations 51,300
Income from discontinued operations 6,400
Other, asset items 7,900
Other, liability items -
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net 173,700
Inventories (19,800)
Accounts payable 72,200
Taxes accrued (46,500)
(Under) Overrecovered gas and fuel costs (62,500)
Exchange gas receivable/payable 211,900
Other accruals (96,800)
Other assets (33,900)
Other liabilities 3,300
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 877,973
Net Cash Flows from Discontinuing Operations (16,200)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 861,773
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (322,400)
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (322,400)
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt (281,700)
Change in short-term debt (71,800)
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares (202,100)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (555,600)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (16,300)
Cash and cash equivalents at beginning of year 53,717
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 37,417
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
214
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4 (3 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4 Page 3
Year Ended December 31, ($ in thousands) NESI NCM NCT NCS NDEV NET Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * - * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 8,034
Net changes in price risk management activities -
Asset impairment -
Deferred income taxes and investment tax credits (27,257)
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items -
Other, liability items -
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net 84,146
Inventories -
Accounts payable (56,797)
Taxes accrued 10,188
(Under) Overrecovered gas and fuel costs -
Exchange gas receivable/payable -
Other accruals 3,771
Other assets 33,073
Other liabilities 46,842
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 102,000
Net Cash Flows from Discontinuing Operations -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 102,000
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures -
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities -
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt -
Change in short-term debt (100,963)
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (100,963)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents 1,037
Cash and cash equivalents at beginning of year 43
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 1,080
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
215
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4 (4 of 4)
NISOURCE INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4 Page 4
Year Ended December 31, ($ in thousands) NFC NPG NIFL NIP PEI SMP Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * 226,933 * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 254,735
Net changes in price risk management activities (7,111)
Asset impairment -
Deferred income taxes and investment tax credits 10,966
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items 18,980
Other, liability items -
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net (45,395)
Inventories 79,681
Accounts payable 37,366
Taxes accrued (97,171)
(Under) Overrecovered gas and fuel costs (25,545)
Exchange gas receivable/payable -
Other accruals 4,973
Other assets (8,745)
Other liabilities 7,574
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 457,241
Net Cash Flows from Discontinuing Operations -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 457,241
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (242,078)
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities (5,091)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (247,169)
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt (59,000)
Change in short-term debt 113,484
Retirement of preferred shares (43,000)
Issuance of common stock and capital contributed 14,385
Acquisition of treasury stock -
Dividends paid - common shares (240,100)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (214,231)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (4,159)
Cash and cash equivalents at beginning of year 8,490
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 4,331
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
216
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4A (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
BAY STATE GAS COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4A
Year Ended December 31, ($ in thousands) BSG BSGPE NU Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 9,099 * 2,139 * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 38,055 8,994
Net changes in price risk management activities - -
Asset impairment - -
Deferred income taxes and investment tax credits 10,117 (1,900)
Deferred revenue 602 -
Stock compensation expense - -
Gain on sale of assets - -
Income from change in accounting - -
Gain on sale of discontinued operations - -
Income from discontinued operations - -
Other, asset items 3,449 (1,982)
Other, liability items 4,487 2,993
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net 6,245 5,282
Inventories 3,650 17,554
Accounts payable (35,452) (18,057)
Taxes accrued (9,899) (2,320)
(Under) Overrecovered gas and fuel costs 9,809 3,835
Exchange gas receivable/payable (4,713) (11,557)
Other accruals (655) 2,900
Other assets (2,412) (19)
Other liabilities (198) (88)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 32,184 7,774
Net Cash Flows from Discontinuing Operations - -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 32,184 7,774
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (29,600) (4,016)
Acquisition of businesses - -
Proceeds from disposition of assets - -
Other investing activities - -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (29,600) (4,016)
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt - -
Retirement of long-term debt (53,100) (13,000)
Change in short-term debt 58,553 9,500
Retirement of preferred shares - -
Issuance of common stock - -
Acquisition of treasury stock - -
Dividends paid - common shares (9,000) -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (3,547) (3,500)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (963) 258
Cash and cash equivalents at beginning of year 1,411 58
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 448 316
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
217
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4B (1 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4B F-4B F-4B F-4B Consolidating F-4B
Year Ended December 31, ($ in thousands) Page 2 Page 3 Page 4 Page 5 Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * * 415,449
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 207,524
Net changes in price risk management activities (25,300)
Asset impairment -
Deferred income taxes and investment tax credits 107,900
Deferred revenue (89,500)
Stock compensation expense -
Gain on sale of assets (5,300)
Income from change in accounting -
Gain on sale of discontinued operations 51,300
Income from discontinued operations 6,400
Other, asset items 7,900
Other, liability items -
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net 173,700
Inventories (19,800)
Accounts payable 72,200
Taxes accrued (46,500)
(Under) Overrecovered gas and fuel costs (62,500)
Exchange gas receivable/payable 211,900
Other accruals (96,800)
Other assets (33,900)
Other liabilities 3,300
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 877,973
Net Cash Flows from Discontinuing Operations (16,200)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 861,773
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (322,400)
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (322,400)
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt (281,700)
Change in short-term debt (71,800)
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares (202,100)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (555,600)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (16,300)
Cash and cash equivalents at beginning of year 53,717
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 37,417
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
218
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4B (2 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4B Page 2
Year Ended December 31, ($ in thousands) CG CAT CCC CER CES CFC Total
--------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
--------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
--------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
--------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
--------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
--------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
--------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
--------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
--------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
219
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4B (3 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4B Page 3
Year Ended December 31, ($ in thousands) CKY CMD COH CPA CGV TCO Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 11,803 3,574 107,346 38,235 18,139 197,270 376,367
Adjustments to reconcile net income to net cash
from continuing operations:
Depreciation, depletion and amortization 8,702 2,426 13,440 16,075 14,405 84,301 139,349
Net changes in price risk management activities - - - - - - -
Asset impairment - - - - - - -
Deferred income taxes and investment tax credits (1,500) 2,398 5,151 28,923 19,965 28,887 83,824
Deferred revenue - - - - - - -
Stock compensation expense - - - - - - -
Gain on sale of assets - - - - - - -
Income from change in accounting - - - - - - -
Gain on sale of discontinued operations - - - - - - -
Income from discontinued operations - - - - - - -
Other, asset items 643 (8) 10,578 (601) 4,780 (2,772) 12,620
Other, liability items 6,315 (5,528) (3,059) (7,922) (48,196) - (58,390)
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net (8,963) (696) 35,611 587 10,810 (3,556) 33,793
Inventories 8,383 800 (34,590) 4,812 1,582 (241) (19,254)
Accounts payable 2,300 993 (17,735) 9,476 5,306 (36,757) (36,417)
Taxes accrued 1,911 1,778 15,442 (27,854) (20,003) (42,657) (71,383)
(Under) Overrecovered gas and fuel costs 3,705 (3,600) 3,558 (37,790) (28,932) - (63,059)
Exchange gas receivable/payable 15,892 484 144,370 41,381 2,247 11,266 215,640
Other accruals 118 (100) (674) - (54) 536 (174)
Other assets 1,240 - 2,768 (1,954) (320) (33,995) (32,261)
Other liabilities (14,148) 4,719 (43,282) (25,737) 38,060 4,272 (36,116)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 36,401 7,240 238,924 37,631 17,789 206,554 544,539
Net Cash Flows from Discontinuing Operations - - - - - - -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 36,401 7,240 238,924 37,631 17,789 206,554 544,539
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (9,739) (2,306) (56,233) (21,818) (23,451) (76,007) (189,554)
Acquisition of businesses - - - - - - -
Proceeds from disposition of assets - - - - - - -
Other investing activities - - - - - - -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (9,739) (2,306) (56,233) (21,818) (23,451) (76,007) (189,554)
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt (28) - - - - - (28)
Retirement of long-term debt (5,800) (2,495) 100,000 - - (133,219) (41,514)
Change in short-term debt - - (248,540) 12,166 24,204 193,534 (18,636)
Retirement of preferred shares - - - - - - -
Issuance of common stock - - 40,000 - - - 40,000
Acquisition of treasury stock - - - - - - -
Dividends paid - common shares (20,997) (2,415) (78,208) (25,181) (18,024) (190,900) (335,725)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (26,825) (4,910) (186,748) (13,015) 6,180 (130,585) (355,903)
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (163) 24 (4,057) 2,798 518 (38) (918)
Cash and cash equivalents at beginning of year 1,107 268 8,027 1,502 1,154 49 12,107
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 944 292 3,970 4,300 1,672 11 11,189
====================================================================================================================================
220
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4B (4 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4B Page 4
Year Ended December 31, ($ in thousands) CGT CLNG CNS CPL CRC CSP Total
---------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 21,797 * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 23,208
Net changes in price risk management activities -
Asset impairment -
Deferred income taxes and investment tax credits (2,997)
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items -
Other, liability items -
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net 6,171
Inventories (629)
Accounts payable (18,154)
Taxes accrued (4,207)
(Under) Overrecovered gas and fuel costs -
Exchange gas receivable/payable (3,007)
Other accruals 75
Other assets 4,395
Other liabilities 1,843
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 28,495
Net Cash Flows from Discontinuing Operations -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 28,495
---------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (9,758)
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (9,758)
---------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt (11,306)
Change in short-term debt 14,769
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares (22,200)
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (18,737)
---------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents -
Cash and cash equivalents at beginning of year 3
---------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 3
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
221
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4B (5 of 5)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4B Page 5
Year Ended December 31, ($ in thousands) CTC NICL Total
----------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
----------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
----------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
----------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
----------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
----------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
----------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
----------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
----------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
222
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4C (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY GROUP CAPITAL CORP.AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4C
Year Ended December 31, ($ in thousands) CCC TGT Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
223
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4D (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4D Consolidating F-4D
Year Ended December 31, ($ in thousands) Page 2 CER AD Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
224
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4D (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA ENERGY RESOURCES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4D Page 2
Year Ended December 31, ($ in thousands) CNR CNRCL HH Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
225
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4E (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA FINANCE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4E
Year Ended December 31, ($ in thousands) CFC CAR Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
226
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4F (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA NETWORK SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4F
Year Ended December 31, ($ in thousands) CNS CMC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
227
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4G (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA PIPELINE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4G
Year Ended December 31, ($ in thousands) CPL CDW Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
228
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4H (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
COLUMBIA SERVICE PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4H
Year Ended December 31, ($ in thousands) CSP CAA Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
229
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4I (1 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4I F-4I Consolidating F-4I
Year Ended December 31, ($ in thousands) Page 2 Page 3 EUII Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
230
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4I (2 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4I Page 2
Year Ended December 31, ($ in thousands) EUC EUR EUIM TPC MS1 Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
231
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4I (3 of 3)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4I Page 3
Year Ended December 31, ($ in thousands) NEML NEST NIFC NITEX NGS Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
232
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4J (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA, INC. (MA) AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4J
Year Ended December 31, ($ in thousands) EUIM ESPE EUIC Combined Entries Total
-------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
-------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
-------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
-------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
-------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
===============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
233
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4K (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4K Consolidating F-4K
Year Ended December 31, ($ in thousands) Page 2 EUIC BES Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
----------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
----------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
----------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
234
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4K (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA (CONNECTICUT) INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4K Page 2
Year Ended December 31, ($ in thousands) EUE EUM Total
-----------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
-----------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
-----------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
-----------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
-----------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
-----------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
-----------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
-----------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
-----------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
=================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
235
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4L (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
ENERGYUSA-TPC CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4L
Year Ended December 31, ($ in thousands) TPC EUA Combined Entries Total
-------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
-------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
-------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
-------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
-------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
-------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
===============================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
236
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4M (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4M Consolidating F-4M
Year Ended December 31, ($ in thousands) Page 2 IWCR HWC IWC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
237
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4M (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
IWC RESOURCES CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4M Page 2
Year Ended December 31, ($ in thousands) IRAC IWCM LWC LWAC DWWC Total
----------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
----------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
----------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
----------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
238
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4N (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
KOKOMO GAS AND FUEL COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4N
Year Ended December 31, ($ in thousands) KOKO KGF Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 2,152 * * * *
Adjustments to reconcile net income to net cash
from continuing operations:
Depreciation, depletion and amortization 2,256
Net changes in price risk management activities -
Asset impairment -
Deferred income taxes and investment tax credits (889)
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items -
Other, liability items -
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net (2,775)
Inventories (42)
Accounts payable 408
Taxes accrued 422
(Under) Overrecovered gas and fuel costs 1,532
Exchange gas receivable/payable -
Other accruals (20)
Other assets (706)
Other liabilities (556)
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 1,782
Net Cash Flows from Discontinuing Operations -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 1,782
---------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (1,448)
Acquisition of businesses -
Proceeds from disposition of assets 28
Other investing activities -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (1,420)
---------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt -
Change in short-term debt -
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares (600)
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (600)
---------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (238)
Cash and cash equivalents at beginning of year 1,508
---------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 1,270
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
239
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4O (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES, INC AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4O Consolidating F-4O
Year Ended December 31, ($ in thousands) Page 2 NESI CROSS Combined Entries Total
---------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * (363) * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 830
Net changes in price risk management activities -
Asset impairment -
Deferred income taxes and investment tax credits -
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items (467)
Other, liability items -
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net -
Inventories -
Accounts payable -
Taxes accrued -
(Under) Overrecovered gas and fuel costs -
Exchange gas receivable/payable -
Other accruals -
Other assets -
Other liabilities -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations -
Net Cash Flows from Discontinuing Operations -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities -
---------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures -
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities -
---------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt -
Change in short-term debt -
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares -
---------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities -
---------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents -
Cash and cash equivalents at beginning of year -
---------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD -
=================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
240
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4O (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
NI ENERGY SERVICES, INC AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4O Page 2
Year Ended December 31, ($ in thousands) GREEN NPM NESCL Total
--------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
--------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
--------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
--------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
--------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
==========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
241
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4P (1 of 3)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4P F-4P Consolidating F-4P
Year Ended December 31, ($ in thousands) Page 2 Page 3 NDEV ASL Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
-----------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
-----------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
-----------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
242
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4P (2 of 3)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4P Page 2
Year Ended December 31, ($ in thousands) CARD CIS JOF KOGAF LEL NDC Total
---------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
---------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
---------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
---------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
---------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
---------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
---------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
---------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
---------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
===========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
243
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4P (3 of 3)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4P Page 3
Year Ended December 31, ($ in thousands) PRO PRI SWP Total
------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4Q (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE DEVELOPMENT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4Q
Year Ended December 31, ($ in thousands) LEL SCC Combined Entries Total
----------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
----------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
----------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
Net Cash Flows from Financing Activities
----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
----------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
==================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4R (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
LAKE ERIE LAND COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4R
Year Ended December 31, ($ in thousands) NPG GSGT PNGTS Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
-----------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
-----------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
Net Cash Flows from Financing Activities
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
-----------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4S (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NISOURCE PIPELINE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4S
Year Ended December 31, ($ in thousands) GSGT BSEE NGD Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 720 * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 605
Net changes in price risk management activities -
Asset impairment -
Deferred income taxes and investment tax credits (506)
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items (525)
Other, liability items -
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net 10,106
Inventories -
Accounts payable 4,593
Taxes accrued 751
(Under) Overrecovered gas and fuel costs -
Exchange gas receivable/payable -
Other accruals -
Other assets 974
Other liabilities (17,014)
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations (296)
Net Cash Flows from Discontinuing Operations -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities (296)
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures -
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities 376
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities 376
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt -
Change in short-term debt -
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities -
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents 80
Cash and cash equivalents at beginning of year (291)
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD (211)
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
247
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4T (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
GRANITE STATE GAS TRANSMISSION, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4T
Year Ended December 31, ($ in thousands) NIFL NITC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 1,485 * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 1,929
Net changes in price risk management activities -
Asset impairment -
Deferred income taxes and investment tax credits (684)
Deferred revenue -
Stock compensation expense -
Gain on sale of assets -
Income from change in accounting -
Gain on sale of discontinued operations -
Income from discontinued operations -
Other, asset items (544)
Other, liability items -
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net (5,009)
Inventories 1,776
Accounts payable (1,204)
Taxes accrued (123)
(Under) Overrecovered gas and fuel costs 1,445
Exchange gas receivable/payable -
Other accruals 559
Other assets (77)
Other liabilities 2,775
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 2,328
Net Cash Flows from Discontinuing Operations -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 2,328
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (1,994)
Acquisition of businesses -
Proceeds from disposition of assets -
Other investing activities -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities -
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt -
Retirement of long-term debt -
Change in short-term debt -
Retirement of preferred shares -
Issuance of common stock -
Acquisition of treasury stock -
Dividends paid - common shares -
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities -
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents 334
Cash and cash equivalents at beginning of year -
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 334
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
248
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4U (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
NORTHERN INDIANA FUEL AND LIGHT COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4U
Year Ended December 31, ($ in thousands) NIP NEXCO Combined Entries Total
-----------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income 226,933 * * * 226,933
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization 254,735 254,735
Net changes in price risk management activities (7,111) (7,111)
Asset impairment - -
Deferred income taxes and investment tax credits 10,966 10,966
Deferred revenue - -
Stock compensation expense - -
Gain on sale of assets - -
Income from change in accounting - -
Gain on sale of discontinued operations - -
Income from discontinued operations - -
Other, asset items 18,980 18,980
Other, liability items - -
Changes in assets and liabilities, net of effect from acquisitions of
businesses:
Accounts receivable, net (45,395) (45,395)
Inventories 79,681 79,681
Accounts payable 37,366 37,366
Taxes accrued (97,171) (97,171)
(Under) Overrecovered gas and fuel costs (25,545) (25,545)
Exchange gas receivable/payable - -
Other accruals 4,973 4,973
Other assets (8,745) (8,745)
Other liabilities 7,574 7,574
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations 457,241 457,241
Net Cash Flows from Discontinuing Operations - -
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities 457,241 457,241
-----------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures (242,078) (242,078)
Acquisition of businesses - -
Proceeds from disposition of assets - -
Other investing activities (5,091) (5,091)
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities (247,169) (247,169)
-----------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt - -
Retirement of long-term debt (59,000) (59,000)
Change in short-term debt 113,484 113,484
Retirement of preferred shares (43,000) (43,000)
Issuance of common stock and capital contributed 14,385 14,385
Acquisition of treasury stock - -
Dividends paid - common shares (240,100) (240,100)
-----------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Financing Activities (214,231) (214,231)
-----------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents (4,159) (4,159)
Cash and cash equivalents at beginning of year 8,490 8,490
-----------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD 4,331 4,331
===================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
249
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4V (1 of 2)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4V Consolidating F-4V
Year Ended December 31, ($ in thousands) Page 2 PEI CEI HCC Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
250
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4V (2 of 2)
NISOURCE INC. AND SUBSIDIARIES
PRIMARY ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
F-4V Page 2
Year Ended December 31, ($ in thousands) IEL LEC NLEC PORT WCE Total
--------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
--------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
--------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
--------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
Net Cash Flows from Financing Activities
--------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
--------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
==========================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
251
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued) F-4W (1 of 1)
NISOURCE INC. AND SUBSIDIARIES
SM&P UTILITY RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Not covered by Report of Independent Public Accountants)
Consolidating F-4W
Year Ended December 31, ($ in thousands) SMP CI Combined Entries Total
------------------------------------------------------------------------------------------------------------------------------------
OPERATING ACTIVITIES
Net income * * * * *
Adjustments to reconcile net income to net cash from
continuing operations:
Depreciation, depletion and amortization
Net changes in price risk management activities
Asset impairment
Deferred income taxes and investment tax credits
Deferred revenue
Stock compensation expense
Gain on sale of assets
Income from change in accounting
Gain on sale of discontinued operations
Income from discontinued operations
Other, asset items
Other, liability items
Changes in assets and liabilities, net of effect
from acquisitions of businesses:
Accounts receivable, net
Inventories
Accounts payable
Taxes accrued
(Under) Overrecovered gas and fuel costs
Exchange gas receivable/payable
Other accruals
Other assets
Other liabilities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Continuing Operations
Net Cash Flows from Discontinuing Operations
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Operating Activities
------------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
Capital expenditures
Acquisition of businesses
Proceeds from disposition of assets
Other investing activities
------------------------------------------------------------------------------------------------------------------------------------
Net Cash Flows from Investing Activities
------------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
Issuance of long-term debt
Retirement of long-term debt
Change in short-term debt
Retirement of preferred shares
Issuance of common stock
Acquisition of treasury stock
Dividends paid - common shares
Net Cash Flows from Financing Activities
------------------------------------------------------------------------------------------------------------------------------------
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
------------------------------------------------------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD
====================================================================================================================================
* CONFIDENTIAL TREATMENT REQUESTED
252
SIGNATURES
Each undersigned system company 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. The signature of
each undersigned company shall be deemed to relate only to matters having
reference to such company or its subsidiaries.
NISOURCE INC.
---------------------------------
(Registrant)
Dated: May 1, 2003 By: /s/ Jeffrey W. Grossman
---------------------------------
Jeffrey W. Grossman
Vice President and Controller
(Principal Accounting Officer)
COLUMBIA ENERGY GROUP
---------------------------------
(Registrant)
Dated: May 1, 2003 By: /s/ Jeffrey W. Grossman
---------------------------------
Jeffrey W. Grossman
Vice President
253
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBITS FILED AS PART OF THIS REPORT:
A. Annual Reports Under the Securities Exchange Act of 1934.
B. Corporate Organization Documents and Bylaws.
C. Indentures and Contracts.
D. Tax Allocation Agreement for 2002.
E. Other Documents Prescribed by Rule or Order.
F. Report of Independent Public Accountants.
G. System Organization Chart.
H. Financial Statements of EWG or Foreign Utility Company.
L. Acquisition Debt Schedule
254
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT A. ANNUAL REPORTS UNDER THE SECURITIES EXCHANGE ACT OF 1934.
The financial statements included in Form 10-K for the following companies are
incorporated herein by reference:
System Company Filing Date File Number
---------------------------------------------------------------------------------------------------------------------------
NiSource Inc. March 3, 2003 001-16189
Columbia Energy Group March 3, 2003 001-01098
Northern Indiana Public Service Company March 11, 2003 001-04125
---------------------------------------------------------------------------------------------------------------------------
255
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935.
EXHIBIT B NOTES
------------------------------------
Articles of By-Laws or
NAME OF COMPANY Incorporation Regulation
-------------------------------------------------------------------------------------------------------------------
NISOURCE INC. (1) (2)
Bay State Gas Company A-1, A-2 (3) B-1 (4)
Bay State GPE, Inc. (5) (6)
Northern Utilities, Inc. (7) (8)
Columbia Energy Group (9) (10)
Columbia Atlantic Trading Corporation (11) (12)
Columbia Energy Group Capital Corporation (13) (14)
TriStar Gas Technologies, Inc. (15) (16)
Columbia Energy Resources Inc. (17) (18)
Alamco-Delaware, Inc. (19) (20)
Columbia Natural Resources, Inc. (21) (22)
Columbia Natural Resources Canada, Ltd. (23) (24)
Hawg Hauling & Disposal, Inc. (25) (26)
Columbia Energy Services Corporation (27) (28)
Columbia Accounts Receivable Corporation (29) (30)
Columbia Gas of Kentucky, Inc. (31) (32)
Columbia Gas of Maryland, Inc. (33) (34)
Columbia Gas of Ohio, Inc. (35) (36)
Columbia Gas of Pennsylvania, Inc. (37) (38)
Columbia Gas of Virginia, Inc. (39) (40)
Columbia Gas Transmission Corporation (41) (42)
Columbia Gulf Transmission Company (43) (44)
Columbia Network Services Corporation (45) (46)
CNS Microwave, Inc. (47) (48)
Columbia Petroleum Corporation (49) (50)
Columbia Deep Water Services Company (51) (52)
Columbia Remainder Corporation (53) (54)
Columbia Electric Binghamton General Corporation (55) (56)
Columbia Electric Binghamton Limited Corporation (57) (58)
Haverstraw Bay, LLC A-3 (59) (60)
Haverstraw Bay, LLC (61) (62)
Columbia Service Partners, Inc. (63) B-2 (64)
Columbia Assurance Agency, Inc. (65) (66)
Columbia Service Partners of Virginia, Inc. (67) (68)
Columbia Transmission Communications Corporation (69) (70)
NiSource Insurance Corporation, Limited (71) (72)
-------------------------------------------------------------------------------------------------------------------
256
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B NOTES
-----------------------------------------
Articles of By-Laws or
NAME OF COMPANY Incorporation Regulations
-------------------------------------------------------------------------------------------------------------------
EnergyUSA, Inc. (IN) (73) (74)
EnergyUSA Commercial Energy Services, Inc. (75) (76)
EnergyUSA Retail, Inc. (77) (78)
EnergyUSA, Inc. (MA) (79) (80)
EnergySPE, Inc. (81) (82)
EnergyUSA (Connecticut), Inc. (83) (84)
EnergyUSA Engineering, Inc. (85) (86)
EnergyUSA Mechanical, Inc. (87) (88)
EnergyUSA-TPC Corp. (89) (90)
EnergyUSA-Appalachian Corp. A-5 (91) (92)
NI Energy Services Transportation, Inc. (93) (94)
NI Fuel Company, Inc. (95) (96)
NI-TEX, Inc. (97) (98)
NI-TEX Gas Services, Inc. A-6, A-7, A-8 (99) (100)
IWC Resources Corporation (101) (102)
Harbour Water Company (103) (104)
Indianapolis Water Company (105) (106)
White River Environmental Partnership, Inc. (107) (108)
Irishman's Run Acquisition Company A-9 (109) (110)
IWC Morgan Water Corporation A-10 (111) (112)
Lawrence Water Company, Inc. A-11 (113) (114)
Liberty Water Corporation (115) (116)
The Darlington Water Works Company A-12, A-13 (117) (118)
Kokomo Gas and Fuel Company (119) (120)
KGF Trading Company (121) B-3 (122)
NI Energy Services, Inc. (123) (124)
Crossroads Pipeline Company (125) (126)
NESI Power Marketing, Inc. (127) (128)
NiSource Energy Services Canada, Ltd. (129) (130)
NESI Energy Marketing Canada Ltd. (131) (132)
NiSource Capital Markets, Inc. (133) (134)
NiSource Capital Trust I (135) (136)
NiSource Corporate Services Company (137) (138)
NiSource Development Company, Inc. (139) (140)
Cardinal Property Management, Inc. (141) (142)
JOF Transportation Company (143) (144)
Lake Erie Land Company (145) (146)
SCC Services, Inc. (147) (148)
NDC Douglas Properties, Inc. (149) (150)
-------------------------------------------------------------------------------------------------------------------
257
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
EXHIBIT B NOTES
-------------------------------------
Articles of By-Laws or
NAME OF COMPANY Incorporation Regulations
-------------------------------------------------------------------------------------------------------------------
South Works Power Company (151) (152)
NiSource Energy Technologies, Inc. (153) (154)
NiSource Finance Corp. (155) (156)
Granite State Gas Transmission, Inc. (157) (158)
Bay State Energy Enterprises, Inc. (159) (160)
Northern Indiana Fuel and Light Company, Inc. (161) B-4 (162)
Northern Indiana Trading Company, Inc. (163) B-5 (164)
Northern Indiana Public Service Company (165) B-6 (166)
Primary Energy, Inc. (167) (168)
Cokenergy, Inc. (169) (170)
Harbor Coal Company (171) (172)
Ironside Energy LLC (173) (174)
Lakeside Energy Corporation (175) (176)
North Lake Energy Corporation (177) (178)
Portside Energy Corporation (179) (180)
Whiting Clean Energy, Inc. (181) (182)
-------------------------------------------------------------------------------------------------------------------
258
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
1 NiSource Inc. Certificate of Incorporation of New NiSource Inc. (n/k/a
NiSource Inc.) dated March 29, 2000 filed as Exhibit A-1 to Form U5S
(2001), Amended and Restated Certificate of Incorporation of New
NiSource Inc. (n/k/a NiSource Inc.) dated October 30, 2000 filed as
Exhibit A-2 to Form U5S (2001), Certificate of Amendment of Certificate
of Incorporation re name change to NiSource Inc. November 1, 2000 filed
as Exhibit A-3 to Form U5S (2001), and Certificate of Ownership and
Merger of Old NiSource Inc. into NiSource Inc. dated November 1, 2000
filed as Exhibit A-4 to Form U5S (2001).
2 NiSource Inc. Amended and restated By-Laws dated October 23, 2001,
filed as Exhibit B-1 to Form U5S (2001).
3 Bay Sate Gas Company Articles of Organization dated November 10, 1998,
filed as Exhibit A-1 to Form U5S (2002); amendments dated November 16,
1998 filed as Exhibit A-2 to Form U5S (2002).
4 Bay State Gas Company Amended and Restated By-Laws dated March 3, 1999,
filed as Exhibit B-2 to Form U5S (2001); amendment dated May 22, 202
filed as Exhibit B-1 to Form U5S (2002).
5 Bay State GPE, Inc. Articles of Organization dated November 2, 1998,
filed as Exhibit A-5 to Form U5S (2001).
6 Bay State GPE, Inc. Amended and Restated By-Laws dated July 29, 1999,
filed as Exhibit B-3 to Form U5S (2001).
7 Northern Utilities, Inc. Record of Organization of Bay State of New
Hampshire, Inc. (n/k/a Northern Utilities, Inc.) dated January 9, 1979,
filed as Exhibit A-6 to Form U5S (2001).
8 Northern Utilities, Inc. Amended and Restated By-Laws dated February 7,
2001, filed as Exhibit B-4 to Form U5S (2001).
9 Restated Certificate of Incorporation as adopted by action of the Board
of Directors on October 19, 1988, filed as Exhibit 1-A to Form U5S
(1988); corrected copy as of July 15, 1991, filed as Exhibit 1-A to
Form U5S (1991); restated copy as of November 28, 1995, filed pursuant
to Item 14 of Form 10-K (1995); Certificate of Amendment of Certificate
of Incorporation of Columbia Energy Group, dated January 16, 1998,
filed as Exhibit 1-A to Form U5S (1997); Corrected Certificate of
Amendment of Restated Certificate of Incorporation of Columbia Energy
Group dated June 1, 1999, filed as Exhibit 1-A and Certificate of
Amendment of Restated Certificate of Incorporation of Columbia Energy
Group dated June 2, 1999, filed as Exhibit 2-A to Form U5S (1999). The
items identified above are contained in the appropriate filing of
Columbia Energy Group.
10 By-Laws as of May 28, 1986, filed as Exhibit 1-B to Form U5S (1986);
amendments dated May 13, 1987 and November 18, 1987, filed as Exhibit
B, pages 13-15, to Form U5S (1987); amendment dated January 16, 1998,
filed as Exhibit 1-B to Form U5S (1998); amendments dated February 22,
2000, filed as Exhibit 1-B to Form U5S (2000); amended and restated
By-Laws dated November 1, 2000, filed as Exhibit 2-B to Form U5S
(2000). The items identified above are contained in the appropriate
filing of Columbia Energy Group.
11 CAT Restated Certificate of Incorporation as filed on February 27,
1989, filed as Exhibit 2-A to Form U5S (1988); amendment dated August
18, 1997, filed as Exhibit 2-A to Form U5S (1997). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
12 CAT By-Laws as amended effective February 27, 1989, filed as Exhibit
1-B to Form U5S (1988). The items identified above are contained in the
appropriate filing of Columbia Energy Group.
259
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
13 Certificate of Incorporation of TriStar Capital Corporation dated
August 2, 1990, filed as Exhibit 2-A to Form U5S (1990); amendment
dated June 30, 1997, filed as Exhibit 17-A to Form U5S (1997);
amendment changing name to Columbia Energy Group Capital Corporation
dated June 2, 1998, filed as Exhibit 9-A to Form U5S (1998). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
14 By-Laws of TriStar Capital Corporation dated August 2, 1990, filed as
Exhibit 4-B to Form U5S (1990). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
15 Certificate of Incorporation of TriStar Gas Technologies, Inc. dated
August 2, 1990, filed as Exhibit 3-A to Form U5S (1990). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
16 By-Laws of TriStar Gas Technologies, Inc. dated August 2, 1990, filed
as Exhibit 5-B to Form U5S (1990). The items identified above are
contained in the appropriate filing of Columbia Energy Group. Amendment
to the By-Laws dated April 11, 2001, filed as Exhibit B-5 to Form U5S
(2001).
17 Certificate of Amendment of Certificate of Incorporation of Columbia
Natural Resources, Inc. (changing name to Columbia Energy Resources,
Inc.) dated September 28, 1998, filed as Exhibit 6-A to Form U5S
(1998). The items identified above are contained in the appropriate
filing of Columbia Energy Group.
18 By-Laws of Columbia Energy Resources, Inc. dated September 30, 1998,
filed as Exhibit 6-B to Form U5S (1998). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
19 Certificate of Incorporation of Alamco-Delaware, dated July 21, 1994,
filed as Exhibit 11-A to Form U5S (1997). The items identified above
are contained in the appropriate filing of Columbia Energy Group.
20 By-Laws of Alamco-Delaware filed as Exhibit 9-B to Form U5S (1997). The
items identified above are contained in the appropriate filing of
Columbia Energy Group.
21 Certificate of Incorporation of Columbia Natural Resources, Inc.
adopted on November 21, 1984, filed as Exhibit 4-A to Form U5S (1984).
The items identified above are contained in the appropriate filing of
Columbia Energy Group.
22 By-Laws as of November 26, 1984, filed as Exhibit 2-B to Form U5S
(1984). The items identified above are contained in the appropriate
filing of Columbia Energy Group.
23 Article of Incorporation of 758117 Alberta Ltd. dated October 6, 1997,
filed as Exhibit 7-A and amendment changing name to Columbia Natural
Resources Canada, Ltd., dated December 12, 1997, filed as Exhibit 8-A
to Form U5S (1998). The items identified above are contained in the
appropriate filing of Columbia Energy Group.
24 By-laws of 758117 Alberta Ltd., dated December 12, 1997, filed as
Exhibit 7-B to Form U5S (1998). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
260
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
25 Certificate of Incorporation of Hawg Hauling & Disposal, Inc. dated
March 17, 1993, filed as Exhibit 12-A to Form U5S (1997). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
26 By-Laws of Hawg Hauling & Disposal, Inc. dated March 17, 1993, filed as
Exhibit 10-B to Form U5S (1997). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
27 Certificate of Incorporation of Columbia Energy Services Corporation
(formerly The Inland Gas Company, Inc.) dated June 25, 1993, filed
under cover of Form SE as Exhibit 1-B to Form U5S (1993). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
28 By-Laws of Columbia Energy Services Corporation dated May 28, 1993,
filed as Exhibit 2-B to Form U5S (1993). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
29 Certificate of Incorporation of Columbia Accounts Receivable
Corporation dated November 5, 1998, filed as Exhibit 8-A to Form U5S
(1999). The items identified above are contained in the appropriate
filing of Columbia Energy Group.
30 By-Laws of Columbia Accounts Receivable Corporation dated November 5,
1998, filed as Exhibit 3-B to Form U5S (1999). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
31 Articles of Incorporation, as amended to January 1, 1958, filed as
Exhibit 2-A to Form U5S (1957); amendment dated December 21, 1981,
filed as Exhibit 3-A to Form U5S (1981); amendment dated November 15,
1988, filed as Exhibit 2-A to Form U5S (1988); amendment dated March
13, 1995, filed as Exhibit 2-A to Form U5S (1995); amendment dated
February 15, 1995, filed as Exhibit 3-A to Form U5S (1995); amendment
dated January 12, 1996, filed as Exhibit 4-A to Form U5S (1995). The
items identified above are contained in the appropriate filing of
Columbia Energy Group.
32 By-Laws, as amended to September 1, 1968, filed as Exhibit 4-B to Form
U5S (1968); amendment dated June 16, 1970, filed as Exhibit 4-B to Form
U5S (1970); amendment dated September 24, 1975, filed as Exhibit 1-B to
Form U5S (1975); amendment dated May 4, 1977, filed as Exhibit 3-B to
Form U5S (1977); amendment dated May 1, 1985, filed as Exhibit 2-B to
Form U5S (1985); amendment dated December 8, 1988, filed as Exhibit 3-B
to Form U5S (1988); amendment dated June 15, 1989, filed as Exhibit 1-B
to Form U5S (1989); amendment dated January 9, 1996 filed as Exhibit
2-B to Form U5S (1995); amendment dated November 1, 1997, filed as
Exhibit 2-B to Form U5S (1997); amendment dated April 19, 2000, filed
as Exhibit 3-B to Form U5S (2000). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
33 Certificate of Incorporation as adopted July 1, 1958, filed as Exhibit
1-A to Form U5S (1961); amendment dated January 17, 1980, filed as
Exhibit 1-A to Form U5S (1979); amendment dated February 15, 1995 filed
as Exhibit 5A to Form U5S (1995). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
34 By-Laws, as amended to May 2, 1972, filed as Exhibit 4-B to Form U5S
(1972); amendment dated May 1, 1985, filed as Exhibit 3-B to Form U5S
(1985); amendment dated December 8, 1988, filed as Exhibit 4-B to Form
U5S (1988); amendment dated June 15, 1989, filed as Exhibit 2-B to Form
U5S (1989); amendment dated January 9, 1996 filed as Exhibit 3-B to
Form U5S (1995); amendment dated June 30, 1997, filed as Exhibit 3-B
and amendment dated November 1, 1997, filed as Exhibit 4-B to Form U5S
(1997). The items identified above are contained in the appropriate
filing of Columbia Energy Group.
261
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
35 Articles of Incorporation as adopted October 6, 1961, filed as Exhibit
1-A to Form U5S (1964); amendment dated December 27, 1963, filed as
Exhibit 2-A to Form U5S (1964); amendment dated February 21, 1964,
filed as Exhibit 3-A to Form U5S (1964); Certificate of Merger of
Columbia Gas of Ohio, Inc. and The Ohio Valley Gas Company effective
December 31, 1974, filed as Exhibit 5-A to Form U5S (1974); amendment
dated January 8, 1982, filed as Exhibit 2-A to Form U5S (1982);
amendment dated February 16, 1995, filed as exhibit 6-A to Form U5S
(1995). The items identified above are contained in the appropriate
filing of Columbia Energy Group.
36 Regulations as adopted October 16, 1961, filed as Exhibit 2-B to Form
U5S (1964); amendment dated August 19, 1968, filed as Exhibit 5-B to
Form U5S (1968); amendment dated May 1, 1985, filed as Exhibit 5-B to
Form U5S (1985); amendment dated December 9, 1985, filed as Exhibit 6-B
to Form U5S (1985); amendment dated December 8, 1988, filed as Exhibit
6-B to Form U5S (1988); amendment dated June 15, 1989, filed as Exhibit
4-B to Form U5S (1989); amendment dated January 9, 1996, filed as
Exhibit 4-B to Form U5S (1995); amendment dated November 1, 1997, filed
as Exhibit 5-B to Form U5S (1997). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
37 Articles of Incorporation as adopted during the year 1960, filed as
Exhibit 1-A to Form U5S (1962); amendment dated December 21, 1981,
filed as Exhibit 4-A to Form U5S (1981); amendment dated February 15,
1995, filed as Exhibit 7-A to Form U5S (1995). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
38 By-Laws, as amended to May 2, 1972, filed as Exhibit 6-B to Form U5S
(1972); amendment dated May 1, 1985, filed as Exhibit 7-B to Form U5S
(1985); amendment dated December 8, 1988, filed as Exhibit 7-B to Form
U5S (1988); amendment dated June 15, 1989, filed as Exhibit 5-B to Form
U5S (1989); amendment dated January 9, 1996, filed as Exhibit 5-B to
Form U5S (1995); amendment dated November 1, 1997, filed as Exhibit 6-B
to Form U5S (1997). The items identified above are contained in the
appropriate filing of Columbia Energy Group.
39 Certificate of Incorporation of Commonwealth Gas Services, Inc. as
amended through December 19, 1958, and including the Certificate of
Merger dated December 18, 1979, filed as Exhibit 8-A to Form U5S
(1981); amendment dated December 30, 1987, filed as Exhibit B, page 17,
to Form U5S (1987); amendment dated February 15, 1995, filed as Exhibit
8-A to Form U5S (1995); amendment dated January 16, 1998, filed as
Exhibit 16-A to Form U5S (1997). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
40 By-Laws of Commonwealth Gas Services, Inc. as amended through March 5,
1985, filed as Exhibit 9-B to Form U5S (1985); amendment dated April
21, 1986, filed as Exhibit 6-B to Form U5S (1986); amendment dated
April 20, 1987, filed as Exhibit B, page 18, to Form U5S (1987);
amendment dated January 1, 1989, filed as Exhibit 9-B to Form U5S
(1988); amendment dated June 15, 1989, filed as Exhibit 9-B to Form U5S
(1989); amendment dated May 6, 1991, filed as Exhibit 3-B to Form U5S
(1991); amendment dated December 7, 1992, filed as Exhibit 2-B to Form
U5S (1992);amendment dated November 1, 1997, filed as Exhibit 13-B to
Form U5S (1997). The items identified above are contained in the
appropriate filing of Columbia Energy Group.
41 Restated Certificate of Incorporation of Columbia Gas Transmission
Corporation dated March 3, 1982, filed as Exhibit 3-A to Form U5S
(1982); amendment dated October 22, 1984, filed as Exhibit 3-A to Form
U5S (1984); Certificate of Merger of Commonwealth Gas Pipeline Corp.
into Columbia Gas Transmission Corp. dated October 26, 1990, filed as
Exhibit 1-A to Form U5S (1990); amendment dated November 28, 1995,
filed as Exhibit 6-A and amendment dated June 30, 1997, filed as
Exhibit 7-A to Form U5S (1997). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
262
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
42 By-Laws of Columbia Gas Transmission Corporation as amended through May
9, 1991, filed as Exhibit 1-B to Form U5S (1991); amendment dated
January 17, 1996, file as Exhibit 3-B to Form U5S (1996). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
43 Certificate of Incorporation as adopted May 26, 1958, filed as Exhibit
3-A to Form U5S (1958); amendment dated November 10, 1981, filed as
Exhibit 6-A to Form U5S (1981); amendment dated December 23, 1994,
filed as Exhibit 2-A to Form U5S (1994); amendment dated June 30, 1997,
filed as Exhibit 8-A to Form U5S (1997). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
44 By-Laws of Columbia Gulf Transmission Company as amended through May 9,
1991, filed as Exhibit 2-B to Form U5S (1991); amendment dated January
17, 1996, file as Exhibit 4B to Form U5S (1996). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
45 Certificate of Incorporation of Columbia Network Services Corporation
dated June 7, 1996, filed as Exhibit 3-A Form U5S (1996). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
46 By-Laws of Columbia Network Services Corporation as adopted August 29,
1996, filed as Exhibit 8-B to Form U5S (1996). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
Amendment to the By-Laws dated May 1, 2001, filed as Exhibit B-9 to
Form U5S (2001), and Amendment to the By-Laws dated June 4, 2001, filed
as Exhibit B-10 to Form U5S (2001).
47 Certificate of Incorporation of CNS Microwave Inc., dated October 15,
1996, filed as Exhibit 4-A to Form U5S (1996). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
48 By-Laws of CNS Microwave, Inc. as adopted October 25, 1996, filed as
Exhibit 9-B to Form U5S (1996). The items identified above are
contained in the appropriate filing of Columbia Energy Group. Amendment
to the By-Laws dated May 1, 2001, filed as Exhibit B-11 to Form U5S
(2001) and Amendment to the By-Laws dated June 4, 2001, filed as
Exhibit B-12 to Form U5S (2001).
49 Certificate of Incorporation of Columbia Petroleum Corporation dated
March 12, 1999, filed as Exhibit 9-A to Form U5S (1999). The items
identified above are contained in the appropriate filing of Columbia
Energy Group.
50 By-Laws of Columbia Petroleum Corporation dated March 12, 1999, filed
as Exhibit 4-B to Form U5S (1999). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
51 Certificate of Incorporation of Columbia Deep Water Services Company
dated January 7, 1998, filed as Exhibit 5-A to Form U5S (1998). The
items identified above are contained in the appropriate filing of
Columbia Energy Group.
52 By-Laws of Columbia Deep Water Services Company dated January 8, 1998,
filed as Exhibit 5-B to Form U5S (1998). The items identified above are
contained in the appropriate filing of Columbia Energy Group. Amendment
to the By-Laws dated May 1, 2001, filed as Exhibit B-15 to Form U5S
(2001), and amendment to the By-Laws dated June 4, 2001, filed as
Exhibit B-16 to Form U5S (2001).
53 Certificate of Incorporation of Columbia Electric Remainder Corporation
dated October 23, 2000, filed as Exhibit 3-A to Form U5S (2000). The
items identified above are contained in the appropriate filing of
Columbia Energy Group.
263
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
54 By-Laws of Columbia Electric Remainder Corporation dated October 23,
2000, filed as Exhibit 5-B to Form U5S (2000). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
Amendment to the By-Laws dated April 10, 2001, filed as Exhibit B-17 to
Form U5S (2001).
55 Certificate of Incorporation of TVC Two Corporation dated December 28,
1989, filed as Exhibit 7-A to Form U5S (1989); amendment changing name
to TriStar Binghamton General Corporation, dated May 8, 1990, filed as
Exhibit 6-A to Form U5S (1990); amendment changing name to Columbia
Electric Binghamton General Corporation, dated August 4, 1998, filed as
Exhibit 16-A to Form U5S (1998). The items identified above are
contained in the appropriate filing of Columbia Energy Group.
56 By-Laws of TVC Two Corporation (name later changed to TriStar
Binghamton General Corporation) dated December 28, 1989, filed as
Exhibit 17-B to Form U5S (1989). The items identified above are
contained in the appropriate filing of Columbia Energy Group. Amendment
to the By-Laws dated June 4, 2001, filed as Exhibit B-18 to Form U5S
(2001).
57 Certificate of Incorporation of TVC Three Corporation dated December
28, 1989, filed as Exhibit 8-A to Form U5S (1989); amendment changing
name to TriStar Binghamton Limited Corporation, dated May 8, 1990,
filed as Exhibit 7-A to Form U5S (1990); amendment changing name to
Columbia Electric Binghamton Limited Corporation, dated August 4, 1998,
filed as Exhibit 17-A to Form U5S (1998). The items identified above
are contained in the appropriate filing of Columbia Energy Group.
58 By-Laws of TVC Three Corporation (name later changed to TriStar
Binghamton Limited Corporation) dated December 28, 1989, filed as
Exhibit 19-B to Form U5S (1989). Amendment to the By-Laws dated June 4,
2001, filed as Exhibit B-18 to Form U5S (2001).
59 Haverstraw Bay, LLC Articles of Formation dated September 19, 1999,
filed as Exhibit A-3 to Form U5S (2002).
60 Haverstraw Bay, LLC Operating Agreement is not currently available and
would be filed in an amendment upon it becoming available.
61 Haverstraw Bay, LLC (see number 59 above).
62 Haverstraw Bay, LLC (see number 60 above).
63 Columbia Service Partners, Inc. Articles of Incorporation are currently
not available and will be filed by amendment.
64 Columbia Service Partners, Inc. By-Laws are currently not available and
will be filed by amendment. Amendments dated April 1, 2002, to be filed
as Exhibit B-2 to Form U5S (2002).
65 Article of Incorporation of Columbia Assurance Agency, Inc., dated June
23, 1997, filed as Exhibit 2-A to Form U5S (1998); amendment dated May
3, 1999, filed as Exhibit 5-A to Form U5S (1999).
66 Code of Regulations of Columbia Assurance Agency, Inc., dated July 30,
1997, filed as Exhibit 3-B to Form U5S (1998).
264
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
67 Columbia Service Partners of Virginia, Inc. Articles of Incorporation
are currently not available and will be filed by amendment.
68 Columbia Service Partners of Virginia, Inc. By-Laws are currently not
available and will be filed by amendment.
69 Certificate of Incorporation of Columbia Energy Telecommunications
Company dated April 17, 1998 filed as Exhibit 10-A and
amendment-changing name to Columbia Transmission Communications
Corporation, dated September 24, 1997 filed as Exhibit 11-A to Form U5S
(1998).
70 By-Laws of Columbia Energy Telecommunications Company dated May 11,
1998, filed as Exhibit 8-B to Form U5S (1998).
71 Certificate of Incorporation of Columbia Insurance Corporation, Ltd.
dated November 1, 1996, filed as Exhibit 2-A to Form U5S (1996);
amendment to Memorandum of Association of the Company dated August 12,
2000, filed as Exhibit 2-A to Form U5S (2000). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
72 By-laws of Columbia Insurance Corporation, Ltd. as adopted November 4,
1996, file as Exhibit 5-B to Form U5S (1996). The items identified
above are contained in the appropriate filing of Columbia Energy Group.
73 EnergyUSA, Inc. (IN) Certificate of Incorporation dated March 26, 1999,
filed as Exhibit A-7 to Form U5S (2001).
74 EnergyUSA, Inc. (IN) Amended By-Laws dated May 1, 1999, filed as
Exhibit B-21 to Form U5S (2001).
75 EnergyUSA Commercial Energy Services, Inc. Certificate of Incorporation
of NESI Energy Services Company (n/k/a EnergyUSA Commercial Energy
Services Inc.) dated January 31, 1997, filed as Exhibit A-20 to Form US
(2001), Articles of Merger of Parkway Engineering and Distributing
Company, Inc. into NESI Energy Services Company dated May 1, 1998.
Surviving corporation's name is NESI Solutions, Inc., filed as Exhibit
A-21 to Form U5S (2001), Articles of Amendment regarding name change to
EnergyUSA Commercial, Inc. dated May 27, 1999, filed as Exhibit A-22 to
Form U5S (2001), Articles of Amendment regarding name change to
EnergyUSA Commercial Energy Services, Inc. dated February 15, 2000,
files as Exhibit A-23 to Form U5S (2001).
76 EnergyUSA Commercial Energy Services, Inc. Amended and Restated By-Laws
dated May 2, 1998, filed as Exhibit B-29 to Form U5S (2001), and
amendment to the By-Laws dated April 11, 2001, filed as Exhibit B-30,
to Form U5S (2001).
77 EnergyUSA Retail, Inc. Certificate of Incorporation of NESI Integrated
Energy Resources, Inc. (n/k/a EnergyUSA Retail, Inc.) dated January 28,
1997, filed as Exhibit A-24 on Form U5S (2001), Articles of Amendment
regarding name change to EnergyUSA Retail, Inc. dated March 11, 1999,
filed as Exhibit A-25 to Form U5S (2001).
78 EnergyUSA Retail, Inc. Amended and Restated By-Laws dated March 11,
1999, filed as Exhibit B-31 to Form U5S (2001).
79 EnergyUSA, Inc. (MA) Articles of Organization of Energy Asset Funding,
Inc. (n/k/a EnergyUSA, Inc.) dated September 26, 1995, filed as Exhibit
A-8 for Form U5S (2001), Articles of Amendment regarding name change to
EnergyUSA, Inc. dated August 9, 1996, filed as Exhibit A-9 to Form U5S
(2001), Certificate of Change of Fiscal Year End dated October 13,
1999, filed as Exhibit A-10 to Form U5S (2001).
265
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
80 EnergyUSA, Inc. (MA) Amended By-Laws dated April 11, 2001, filed as
Exhibit B-22 to Form U5S (2001).
81 Articles of Organization dated November 13, 1997, filed as Exhibit A-11
to Form U5S (2001).
82 EnergySPE, Inc. Amended By-Laws dated April 11, 2001, filed as Exhibit
B-23 to Form U5S (2001).
83 EnergyUSA, Inc. (CT) Certificate of Incorporation of Savage-Alert, Inc.
(n/k/a EnergyUSA, Inc. (CT)) dated December 20, 1993, filed as Exhibit
A-12 to Form U5S (2001), Certificate of Amendment regarding name change
to Savage Alert, Inc. dated July 1, 1998, identified as Exhibit A-13 to
Form U5S (2001) but not currently available. This exhibit will be filed
by amendment. Certificate of Amendment regarding name change to
EnergyUSA, Inc. dated January 22, 2001, filed as Exhibit A-14 to Form
U5S (2001).
84 EnergyUSA, Inc. (CT) By-Laws dated December 30, 1993, filed as Exhibit
B-24 to Form U5S (2001) and amended By-Laws dated April 11, 2001, filed
as Exhibit B-25 to Form U5S (2001).
85 EnergyUSA Engineering, Inc. Certificate of Incorporation of Savage
Engineering, Inc. (n/k/a Energy USA Engineering, Inc.) dated March 1,
1982, filed as Exhibit A-16 to Form U5S (2001), Certificate of
Amendment regarding name change to EnergyUSA Engineering, Inc. dated
May 18, 2001, filed as Exhibit A-17 to Form U5S (2001).
86 EnergyUSA Engineering, Inc. By-Laws dated March 1, 1982, filed as
Exhibit B-27 to Form U5S (2001).
87 EnergyUSA Mechanical, Inc. Certificate of Incorporation of Alert, Inc.
(n/k/a EnergyUSA Mechanical, Inc.) dated July 29, 1982, filed as
Exhibit A-18 to Form U5S (2001), Certificate of Amendment regarding
name change to EnergyUSA Mechanical, Inc. dated may 18, 2001, filed as
Exhibit A-19 to Form U5S (2001).
88 EnergyUSA Mechanical, Inc. By-Laws dated May 2, 1998, filed as Exhibit
B-28 to Form U5S (2001).
89 EnergyUSA-TPC Corp Certificate of Incorporation of EnergyUSA Gas
Marketing Co. (n/k/a EnergyUSA-TPC Corp.) dated August 10, 2000, filed
as Exhibit A-27 for Form U5S (2001), Articles of Amendment regarding
name change to EnergyUSA-TPC Corp dated September 19, 2000, filed as
Exhibit A-28 to Form U5S (2001).
90 EnergyUSA-TPC Corp. Amended and Restated By-Laws dated September 19,
2000 filed as Exhibit B-33 to Form U5S (2001).
91 EnergyUSA Appalachian Corp. Articles of Incorporation dated February 9,
2001 filed as Exhibit A-5 to Form U5S (2002).
92 EnergyUSA-Appalachian Corp. By-Laws dated February 19, 2001, filed as
Exhibit B-34 to Form U5S (2001).
93 NI Energy Services Transportation, Inc. Articles of Incorporation dated
June 18, 1998, filed as Exhibit A-33 to Form U5S (2001).
94 NI Energy Services Transportation, Inc. By-Laws dated June 18, 1998
filed as Exhibit B-36 to Form U5S (2001), and amendment to the By-Laws
dated April 11, 2001, filed as Exhibit B-37 to From U5S (2001).
266
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
95 NI Fuel Company, Inc. Certificate of Incorporation of NIPSCO Fuel
Company, Inc. (n/k/a NI Fuel Company, Inc.) dated December 23, 1974,
filed as Exhibit A-34 on Form U5S (2001), Articles of Amendment
regarding name change to NI Fuel Company, Inc dated April 20, 1999,
filed as Exhibit A-35 to Form U5S (2001).
96 NI Fuel Company, Inc. Amended and Restated By-Laws dated April 10, 1991
filed as Exhibit B-38 to Form U5S (2001).
97 NI-TEX, Inc. Certificate of Incorporation dated August 26, 1988, filed
as Exhibit A-36 to Form U5S (2001).
98 NI-TEX, Inc. Amended and Restated By-Laws dated April 11, 2001, as
Exhibit B-39 to From U5S (2001).
99 NI-Tex Gas Services, Inc. Certificate of Incorporation dated March 30,
1989, filed as Exhibit A-6 to Form U5S (2002); Amended Certificate of
Incorporation dated October 13, 1992, filed as Exhibit A-7 to Form U5S
(2002); Amended and Restated Certificate of Incorporation dated
November 17, 1998, filed as Exhibit A-8 to Form U5S (2002).
100 NI-Tex Gas Services, Inc. By-Laws dated November 18, 1998, as Exhibit
B-40 to Form U5S (2001).
101 IWC Resources Corporation Articles of Incorporation are currently not
available and will be filed by amendment.
102 IWC Resources Corporation By-Laws are currently not available and will
be filed by amendment.
103 Harbor Water Company Articles of Incorporation are not available and
will be filed by amendment.
104 Harbor Water Company By-Laws not available and will be filed by
amendment.
105 Indianapolis Water Company Articles of Incorporation are currently not
available and will be filed by amendment.
106 Indianapolis Water Company By-Laws are currently not available and will
be filed by amendment.
107 White River Environmental Partnership, Inc. documents are currently not
available and will be filed by amendment.
108 White River Environmental Partnership, Inc. documents are currently not
available and will be filed by amendment.
109 Irishman's Run Acquisition Company Certificate of Incorporation and
Articles of Incorporation dated November 22, 1999 filed as Exhibit A-9
to Form U5S (2002).
110 Irishman's Run Acquisition Company By-Laws not available and will be
filed by amendment.
267
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
111 IWC Morgan Water Corporation Certificate of Incorporation and Articles
of Incorporation dated February 12, 1999, filed as Exhibit A-10 to Form
U5S (2002).
112 IWC Morgan Water Corporation By-Laws are currently not available and
will be filed by amendment.
113 Lawrence Water Company, Inc. Certificate of Incorporation and Articles
of Incorporation dated December 8, 1998, filed as Exhibit A-11 to Form
U5S (2002).
114 Lawrence Water Company, Inc. By-Laws, are currently not available and
will be filed by amendment.
115 Liberty Water Corporation Articles of Incorporation are currently not
available and will be filed by amendment.
116 Liberty Water Corporation By-Laws are currently not available and will
be filed by amendment.
117 The Darlington Water Works Company Articles of Association dated
September 4, 1906, filed as Exhibit A-12 to Form U5S (2002);
Certificate of Amendment and Articles of Amendment of Articles of
Incorporation, dated December 20, 1976, filed as Exhibit A-13 to Form
U5S (2002).
118 The Darlington Water Works Company By-Laws are currently not available
and will be filed by amendment.
119 Kokomo Gas and Fuel Company Restatement of Articles of Incorporation,
filed as Exhibit A-37 to Form U5S (2001).
120 Kokomo Gas and Fuel Company Amended and Restated By-Laws dated February
28, 2002, filed as Exhibit B-41 to Form U5S (2001).
121 KGF Trading Company certificate of Incorporation dated July 31, 1992,
filed as Exhibit A-39 to Form U5S (2001).
122 KGF Trading Company By-Laws dated July 31, 1992, filed as Exhibit B-42
to Form U5S (2001); amendment dated March 13, 2002 filed as Exhibit B-
3 to Form U5S (2002).
123 NI Energy Services, Inc. Certificate of Incorporation of NIPSCO Energy
Services, Inc. (n/k/a NI Energy Services, Inc.) dated November 12,
1985, filed as Exhibit A-39 to Form U5S (2001), Articles of Amendment
regarding name change to NI Energy Services, Inc. dated February 27,
1998, filed as Exhibit A-40 to From U5S (2001).
124 NI Energy Services, Inc. By-Laws dated July 1, 1996, filed as Exhibit
B-43 to Form U5S (2001), and amendment to the By-Laws dated April 11,
2001, as filed to Form U5S (2001).
125 Crossroads Pipeline Company Certificate of Incorporation of NI Pipeline
Company (n/k/a Crossroads Pipeline Company) dated April 5, 1993, filed
as Exhibit A-41on Form U5S (2001), Articles of Amendment regarding name
change to Crossroads Pipeline Company dated April 15, 1993, filed as
Exhibit A-42 on Form U5S (2001).
126 Crossroads Pipeline Company Amended and Restated By-Laws dated May 1,
2001 filed as Exhibit B-45 to Form U5S (2001).
268
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
127 NESI Power Marketing, Inc. Certificate of Incorporation on Customer
Information Services, Inc. (n/k/a NESI Power Marketing, Inc.) dated
July 18, 1996, filed as Exhibit A-44 on From U5S (2001), Articles of
Amendment regarding name change to NESI Power Marketing, Inc. dated
December 11, 1996, filed as Exhibit A-45 on From U5S (2001).
128 NESI Power Marketing, Inc. By-Laws dated November 15, 1996, filed as
Exhibit B-46 to Form U5S (2001).
129 NiSource Energy Services Canada, Ltd. organizational documents are
currently not available and will be filed by amendment.
130 NiSource Energy Services Canada, Ltd. By-Laws are currently not
available and will be filed by amendment.
131 NESI Energy Marketing Canada, Ltd. organizational documents are not
available.
132 NESI Energy Marketing Canada, Ltd. By-Laws are not available.
133 NiSource Capital Markets, Inc. Articles of Incorporation of NIPSCO
Capital Markets, Inc. (n/k/a NiSource Capital Markets, Inc.) dated
March 10, 1989, filed as Exhibit A-46 on Form U5S (2001), Articles of
Amendment regarding name change to NiSource Capital Markets, Inc. dated
April 21, 1999, filed as Exhibit A-47 on Form U5S (2001).
134 NiSource Capital Markets, Inc. Amended and Restated By-Laws dated April
21, 1999, filed as Exhibit B-47 to Form U5S (2001).
135 NiSource Capital Trust I Certificate of Trust of NIPSCO Capital Trust I
(n/k/a NiSource Capital Trust I) dated December 17, 1998, filed as
Exhibit A-48 to Form U5S (2001), Certificate of Amendment of
Certificate of Trust regarding name change to NiSource Capital Trust I
dated December 19, 2001, filed as Exhibit A-49 on Form U5S (2001).
136 NiSource Capital Trust I By-Laws are not available for trust.
137 Certificate of Incorporation, as amended through May 17, 1991, filed as
Exhibit 3-A to Form U5S (1991); amendment dated June 30, 1997, filed as
Exhibit 5-A to Form U5S (1997); amendment dated January 16, 1998, filed
as Exhibit 3-A to Form U5S (1998); Certificate of Merger of NiSource
Corporate Services Company and Columbia Energy Group Service
Corporation dated December 22, 2001, filed as Exhibit 1-A to Form U5S
(2000). Certificate of Merger of NiSource Corporate Services Company
into Columbia Energy Group Service Corporation. Surviving corporation's
name is NiSource Corporate Services Company, filed as Exhibit A-50 on
Form U5S (2001).
138 By-Laws, as amended February 10, 1988, filed as Exhibit 8-B to Form U5S
(1988); amendment dated December 29, 1997, filed as Exhibit 7-B to Form
U5S (1997); By-Laws dated November 1, 2000, filed as Exhibit 4-B to
Form U5S (2000). Amended and Restated By-Laws dated January 1, 2001,
filed as Exhibit B-48 to Form U5S (2001).
139 NiSource Development Company, Inc. Certificate of Incorporation of
NIPSCO Development Company, Inc. (n/k/a NiSource Development Company,
Inc.) dated August 17, 1987, filed as form U5S (2001), Articles of
Amendment regarding name change to NiSource Development Company, Inc.
dated April 20, 1999, filed as Exhibit A-52 on Form U5S (2001).
269
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
140 NiSource Development Company, Inc. Amended and Restated By-Laws dated
July 1, 1996, filed as Exhibit B-49 to Form U5S (2001), amendment to
the By-Laws dated April 11, 2001, filed as Exhibit B-50 to From U5S
(2001).
141 Cardinal Property Management, Inc. Certificate of Incorporation dated
November 14, 1990, filed as Exhibit A-57 on Form U5S (2001).
142 Cardinal Property Management, Inc. By-Laws dated December 20, 1990,
filed as Exhibit B-51 to Form U5S (2001), amendment to the By-Laws
dated April 14, 1999, filed as Exhibit B-52 to Form U5S (2001).
143 JOF Transportation Company Certificate of Incorporation dated December
8, 1989, filed as Exhibit A-60 on Form U5S (2001)
144 JOF Transportation Company By-Laws dated December 11, 1989, filed as
Exhibit B-53 to Form U5S (2001), amendment to the By-Laws dated April
11, 2001, filed as Exhibit B-54 to Form U5S (2001).
145 Lake Erie Land Company Certificate of Incorporation dated October 12,
1989, filed as Exhibit A-62 on From U5S (2001).
146 Lake Erie Land Company By-Laws dated April 4, 1990, filed as Exhibit
B-55 to Form U5S (2001).
147 SCC Services, Inc. Certificate of Incorporation dated January 23, 1992,
filed as Exhibit A-64 on Form U5S (2001).
148 SCC Services, Inc. By-Laws dated January 24, 1992, filed as Exhibit
B-56 to Form U5S (2001), amendment to the By-Laws dated April 11, 2001,
filed as Exhibit B-57 to Form U5S (2001).
149 DC Douglas Properties, Inc. Certificate of Incorporation dated March
19, 1992, filed as Exhibit A-64 on From U5S (2001).
150 NDC Douglas Properties, Inc. By-Laws dated March 24, 1992, filed as
Exhibit B-58 to Form U5S (2001).
151 South Works Power Company Certificate of Incorporation dated June 10,
1999, filed as Exhibit A-68 on Form U5S (2001).
152 South Works Power Company By-Laws dated June 10, 1999, filed as Exhibit
B-61 to Form U5S (2001).
153 NiSource Energy Technologies, Inc. Certificate of Incorporation dated
October 27, 2000, filed as Exhibit A-69 on Form U5S (2001).
154 NiSource Energy Technologies, Inc. By-Laws dated October 27, 2000,
filed as Exhibit B-62 to Form U5S (2001).
155 NiSource Finance Corp. Certificate of Incorporation dated March 31,
2000, filed as Exhibit A-70 on From U5S (2001).
156 NiSource Finance Corp. By-Laws dated March 31, 2000, filed as Exhibit
B-63 to Form U5S (2001).
157 Granite State Gas Transmission, Inc. Articles of Organization are
currently not available and will be filed by amendment.
270
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
158 Granite State Gas Transmission, Inc. Amended and Restated By-Laws dated
June 14, 2001, filed as Exhibit B-65 to Form U5S (2001).
159 Bay State Energy Enterprises, Inc. Articles of Organization dated June
5, 1995, filed as Exhibit A-72 on From U5S (2001).
160 Bay State Energy Enterprises, Inc. Amended and Restated By-Laws dated
June 4, 2001, filed as Exhibit B-66 to Form U5S (2001).
161 Northern Indiana Fuel & Light Company, Inc. Articles of Incorporation
are currently not available and will be filed by amendment.
162 Northern Indiana Fuel & Light Company, Inc. Amended and Restate By-Laws
dated April 13, 1971, filed as Exhibit B-69 to Form U5S (2001);
amendment dated April 9, 2002, filed as Exhibit B-4 to Form U5S (2002).
163 Northern Indiana Trading Company, Inc. Certificate of Incorporation
dated February 10, 1988, filed as Exhibit A-76 on From U5S (2001).
164 Northern Indiana Trading Company, Inc. By-Laws dated February 17, 1988,
filed as Exhibit B-70 to Form U5S (2001); amendment dated March 20,
2002, filed as Exhibit B-5 to Form U5S (2002).
165 Northern Indiana Public Service Company Amended Articles of
Incorporation dated April 14, 1982, filed as Exhibit A-77 on From U5S
(2001), Articles of Amendment regarding director dated may 5, 1982,
filed as Exhibit A-78 on From U5S (2001), Articles of Amendment
regarding directors dated November 9, 2000, filed as Exhibit A-79 on
From U5S (2001).
166 Northern Indiana Public Service Company Amended and Restated By-Laws
dated October 24, 2000, filed as Exhibit B-71 to Form U5S (2001);
Amendment dated April 10, 2002, filed as Exhibit B-6 to Form U5S
(2002).
167 Primary Energy, Inc. Certificate of Incorporation dated November 27,
1995, filed as Exhibit A-81 on From U5S (2001).
168 Primary Energy, Inc. By-Laws dated December 1, 2001, filed as Exhibit
B-72 to Form U5S (2001).
169 Cokenergy, Inc. Certificate of Incorporation dated October 17, 1996,
filed as Exhibit A-82 on From U5S (2001).
170 Cokenergy, Inc. Amended and Restated By-Laws dated April 8, 1998, filed
as Exhibit B-73 to Form U5S (2001).
171 Harbor Coal Company Articles of Incorporation are currently not
available and will be filed by amendment.
172 Harbor Coal Company By-Laws dated July 21, 1992, filed as Exhibit B-74
to Form U5S (2001).
173 Ironside Energy LLC Certificate of Organization dated November 9, 1999,
filed as Exhibit A-84 on From U5S (2001).
174 Ironside Energy LLC By-Laws are currently not available and will be
filed by amendment.
175 Lakeside Energy Corporation Certificate of Incorporation dated May 13,
1994, filed as Exhibit A-85 on From U5S (2001).
271
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT B. INDEX TO CORPORATE ORGANIZATION AND BY-LAWS EXHIBITS FILED PURSUANT
TO THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935. (CONTINUED)
NOTES:
176 Lakeside Energy Corporation By-Laws dated may 13, 1994, filed as
Exhibit B-75 to Form U5S (2001), amendment to the By-Laws dated April
11, 2001, filed as Exhibit B-76 to Form U5S (2001).
177 North Lake Energy Corporation Certificate of Incorporation dated
November 21, 1994, filed as Exhibit A-86 on From U5S (2001).
178 North Lake Energy Corporation Amended and Restated By-Laws dated April
11, 2001, filed as Exhibit B-77 to Form U5S (2001).
179 Portside Energy Corporation Certificate of Incorporation dated
September 14, 1995, filed as Exhibit A-87 on From U5S (2001).
180 Portside Energy Corporation By-Laws dated September 14, 1995, filed as
Exhibit B-78 to From U5S (2001), amendment to the By-Laws dated April
11, 2001, filed as Exhibit B-70 to Form U5S (2001).
181 Whiting Clean Energy, Inc. Certificate of Incorporation of Oilside,
Inc. (n/k/a Whiting Clean Energy, Inc.) dated November 12, 1998, filed
as Exhibit A-88 on From U5S (2001), Articles of Amendment regarding
name change to Whiting Clean Energy, Inc. dated March 11, 1999, filed
as Exhibit A-89 on From U5S (2001).
182 Whiting Clean Energy, Inc. Amended and Restated By-Laws dated March 11,
1999, filed as Exhibit B-80 to Form U5S (2001); amendment to the
By-Laws dated April 11, 2001, filed as Exhibit B-81 to Form U5S (2001).
EXHIBIT C. INDENTURES AND CONTRACTS.
The indentures and other fundamental documents defining the rights of security
holders are incorporated herein by reference made to NiSource Inc.'s 2002 Form
10-K, Columbia Energy Group's 2002 Form 10-K and Northern Indiana Public Service
Company's 2002 Form 10-K as shown in Exhibit A filed herewith.
272
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002.
September 30, 2002
NISOURCE INC. AND SUBSIDIARY COMPANIES
INTERCOMPANY INCOME TAX ALLOCATION AGREEMENT
WHEREAS, NiSource Inc., a corporation organized under the laws of the
State of Delaware ("NiSource") and a registered holding company under the Public
Utility Holding Company Act of 1935 ("Act"), together with its subsidiary
companies, direct and indirect, listed as parties hereto, comprise the members
of the NiSource consolidated group which will join annually in the filing of a
consolidated Federal income tax return, and it is now the intention of NiSource
and its subsidiaries, direct and indirect, (hereinafter collectively referred to
as the "NiSource Group"), to enter into an agreement for the allocation of
current federal income taxes; and
WHEREAS, certain members of the NiSource Group will join annually in
the filing of certain consolidated state income tax returns (to the extent
permitted or required under applicable state income tax laws), and it is now the
intention of the NiSource Group to enter into an agreement for the allocation of
current state income taxes; and
WHEREAS, by order dated September 12, 2002, the Securities and Exchange
Commission has authorized NiSource and its subsidiaries to enter into this
agreement as of January 1, 2001 and to allocate consolidated income taxes in the
manner herein provided; and
NOW, THEREFORE, each member ("Member") of the NiSource Group does
hereby covenant and agree with one another that the current consolidated income
tax liabilities of the NiSource Group shall be allocated as follows:
DEFINITIONS AND INTERPRETATION
Section 1.1 Definitions. For all purposes of this
Agreement, except as otherwise expressly provided, the following terms shall
have the following respective meanings:
"Acquisition Indebtedness" means indebtedness incurred by NiSource or
NiSource Finance Corp. ("Finance") to finance the acquisition (including related
costs) by NiSource of all of the issued and outstanding stock of Columbia Energy
Group and any renewals or extensions thereof. Acquisition Indebtedness also
includes indebtedness incurred by NiSource or Finance for the purpose of
refinancing the indebtedness relating to the acquisition (including related
costs) of all of the issued and outstanding stock of Columbia Energy Group.
"Code" means the Internal Revenue Code of 1986, as amended.
"Consolidated Group" means NiSource and all of its subsidiaries which,
from time to time, may be included in any (i) federal income tax return filed by
NiSource in accordance with sections 1501 and 1502 of the Code or (ii) Other
Return.
"Consolidated Return" means any consolidated federal income tax return
or Other Return filed by NiSource whether before or after the date hereof, which
includes one or more Members of the NiSource Group in a consolidated, combined
or unitary group of which NiSource is the common parent.
"Consolidated Return Year" means any period during which NiSource files
a consolidated federal income tax return or Other Return that includes one or
more Members of the NiSource Group in a consolidated, combined or unitary group
of which NiSource is a common parent.
"Consolidated Taxable Income" is the taxable income of the Consolidated
Group as computed for federal or state income tax purposes.
273
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
"Consolidated Tax Liability" means, with reference to any taxable
period, the consolidated, combined or unitary tax liability (including any
interest, additions to tax and penalties) of the Consolidated Group for such
taxable period (including the consolidated federal income tax liability and
other consolidated, combined or unitary liability for Other Taxes).
"Corporate Taxable Income" means the income or loss of an associate
company for a tax year computed as though such company had filed a separate
return on the same basis as used in the Consolidated Return, except that
dividend income from associate companies shall be disregarded, and other
intercompany transactions eliminated in the Consolidated Return shall be given
appropriate effect.
"Designated Official" means the Vice President, Corporate Tax of
NiSource Corporate Services Company or such other official assigned the
responsibilities of Vice President, Corporate Tax of NiSource Corporate Services
Company.
"Other Return" means any consolidated, combined or unitary return of
Other Taxes filed by NiSource or another Member of the NiSource Group, whether
before or after the date hereof, which covers the operations of one or more
Members of the NiSource Group.
"Other Taxes" means any taxes (including any interest and penalties)
payable by NiSource or another Member of the NiSource Group to the government of
any state, municipal or other political subdivision, including all agencies and
instrumentalities of such government.
"Person" means any individual, partnership, form, corporation, limited
liability company, joint stock company, unincorporated association, joint
venture, trust or other entity or enterprise, or any government or political
subdivision or agency, department or instrumentality thereof.
"Regulations" means the Treasury Regulations promulgated under the
Code.
"Separate Return Tax" means the tax on the Corporate Taxable Income of
a corporation which is a Member computed for purposes of this Agreement as
though such company were not a Member of a consolidated group.
Section 1.2 References, Etc. The words "hereof",
"herein" and "hereunder" and words of similar import when used in this Agreement
shall refer to this Agreement as a whole and not to any particular provision of
this Agreement. All terms defined herein in the singular shall have the same
meanings in the plural and vice versa. All References herein to any Person
includes such Person's successors and assigns. All references herein to Articles
and Sections shall, unless the context requires a different construction, be
deemed to be references to the Articles and Sections of this Agreement. For
purposes of this Agreement, Finance will not be treated as a Member of the
NiSource Group and all items of income, deduction, loss, credit or any other tax
attribute of Finance shall be treated as an item of income, deduction, loss,
credit or tax attribute of NiSource. In this Agreement, unless a clear contrary
intention appears the word "including" (and with correlative meaning "include")
means "including but not limited to".
PREPARATION AND FILING OF TAX RETURNS; ALLOCATION OF TAXES
Section 2.1 Federal Returns.
(a) A U.S. consolidated federal income tax return shall be
prepared and filed by NiSource for each taxable year in respect of which this
Agreement is in effect and for which the Consolidated Group is required or
permitted to file a consolidated federal income tax return. NiSource and all its
subsidiaries shall execute and file such consents, elections and other documents
that may be required or appropriate for the proper filing of such returns.
274
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
(b) (i) The Consolidated Group will elect, on a timely basis,
in accordance with Code Section 1552(b) and Section 1.1552-1(c)(2) of the
Regulations to allocate its consolidated tax liability (other than alternative
minimum tax ("AMT") and its related credits) among its Members under the method
described in Sections 1.1502-33(d)(3) and 1.1552-1(a)(2) commencing with the
consolidated taxable year ended December 31, 2001. The fixed percentage to be
used for purposes of Regulations section 1.1502-33(d)(3)(i) is 100%. The general
effect of such method is to first allocate the consolidated tax liability among
the Members of the Consolidated Group on the basis of the percentage of the
total consolidated tax which the tax of such Member (other than AMT and its
related credits) if computed on a separate return basis would bear to the total
amount of the taxes (other than AMT and its related credits) for all Members of
the group so computed. Then such method allocates an additional amount (the "Tax
Benefit Amount") to each Member up to, but not greater than, the excess, if any,
of its Separate Return Tax liability (other than AMT and its related credits)
over the amount allocated to such Member in the previous sentence. The total of
the Tax Benefit Amounts allocated to Members shall result in payments to, and an
increase in the earnings and profits of, the Members who had items of deduction,
loss or credits to which such Tax Benefit Amount is attributable. This election
is intended to comply with Rule 45(c)(5) under the Act, as modified by Section
2(d) below.
(ii) The allocation of the alternative minimum tax liability incurred
by the NiSource Group and the resulting minimum tax credit shall be allocated in
the manner set forth in Proposed and Temporary Treasury Regulation Sections
1.1502-55. This method generally allocates (i) any AMT paid by the NiSource
Group based on the relative separate adjusted AMT of each Member and (ii) the
minimum tax credit (AMTC) on the basis of the AMT previously assigned to such
Member and assuming that AMTC is utilized on a "first in/first out" methodology,
and that to the extent that AMTC arising in one year is not fully utilized, such
AMTC is utilized proportionately by the Members previously assigned AMT for that
year.
(c) Each Member's allocable share of the consolidated income tax
liability as determined in Section 2.1(b) hereby shall be used in both (i) the
determination of each Member's earnings and profits and (ii) determining the
amounts to be paid (as provided in Section 3.4 of this Agreement) by Members to
NiSource with respect to each Member's share of the Consolidated Group's Tax
liability and payments from NiSource to Members with respect to the use of a
Member's tax attributes.
(d) (i) The aggregate of all amounts paid by Members of the
Consolidated Group (the "Paying Members") as a result of the excess of each
Members' Separate Return Tax liability (as determined under Section
1.1552-1(a)(2)(ii) of the Regulations) over the amount allocated to such Member
as its share of the Consolidated Tax Liability under Code Section 1552 (i.e.,
the Tax Benefit Amount) shall be paid by NiSource to the other Members (the
"Loss Members") which had tax deductions, losses and credits to which such
payments by the Paying Members are attributable. The apportionment of such
payments among Loss Members shall be in a manner that reflects the Consolidated
Group's absorption of such tax attributes in the manner described in Section
2.1(e) below. The payments to the Loss Members for their tax attributes shall be
pursuant to a consistent method which reasonably reflects such items of loss or
credit (such consistency and reasonableness to be determined by the Designated
Official).
(ii) Notwithstanding the provisions of section 2.1(d)(i), the Tax
Benefit Amount allocated to NiSource and paid to NiSource as a result of its
being a Loss Member shall be limited to its Tax Benefit Amount determined
without regard to this section 2.1(b)(ii) multiplied by a fraction, the
numerator of which is NiSource's interest deduction attributable to Acquisition
Indebtedness, and the denominator of which is the sum of all of NiSource's
deductions. The portion of NiSource's Tax Benefit Amount which cannot be
allocated and paid to NiSource due to the operation of this Section shall be
reallocated to Paying Members of the Consolidated Group other than NiSource in
accordance with the principles contained in section 2.1(b)(i).
(e) In apportioning the payments to Loss Members for the Tax
Benefit Amount pursuant to Section 2.1(d) hereof:
(i) any consolidated net operating loss ("NOL") shall be
allocated among the group Members pursuant to Regulations Section 1.1502-21(b).
To the extent the consolidated NOL is carried back, any Member's individually
allocable NOL shall be deemed carried back and utilized in proportion to the
amount that the Member's NOL bears to the consolidated NOL. Analogous principles
shall apply in the case of NOL carryforwards;
275
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
(ii) with respect to each type of credit used to offset
all or a portion of the Consolidated Tax Liability otherwise payable, such
credit shall be allocated among the Members by crediting to each Member an
amount of credit which that Member would have available to utilize on a separate
return basis in a manner consistent with the method set forth in Section
2.1(e)(i) above.
(iii) the cost of any credit recapture which results in the
payment of tax shall be specifically allocated to the Member whose credit is
recaptured determined in a manner consistent with the provisions of Section
2.1(e)(i) above.
(f) The allocation of tax shall be subject to further adjustment
from time to time on account of the payment of additional tax or the receipt of
a refund attributable to either the filing of an amended return or on account of
the results of an audit conducted by the Internal Revenue Service or other
relevant taxing authority.
Section 2.2 Other Taxes. (a) NiSource will prepare and file
(or cause to be prepared and filed) all returns of Other Taxes which are
required to be filed with respect to the operations of NiSource and its
subsidiaries. In the event any taxing authority requires or permits that a
combined, consolidated or unitary return be filed for Other Taxes, which return
includes both NiSource and a subsidiary, NiSource may elect to file such return
and shall have the right to require any Member to be included in such return.
NiSource will advise each of its subsidiaries included in each Other Return and
each governmental office in which any Other Return is filed. Other Taxes shall
be allocated among the NiSource Group in a manner that is consistent with the
method set forth in Article 2 hereof. Furthermore, amounts due to NiSource or
from NiSource, with respect to Other Taxes, shall be determined in a manner
consistent with Sections 2.1(b) and 2.1(d).
(b) Each Member of the NiSource Group that does not file an Other
Return together with any other Member of the NiSource Group shall be solely
responsible and obligated to pay the tax liability with respect to such return
from its own funds. Such returns shall be prepared and filed by NiSource or the
Member filing the Other Return.
(c) If any Member of the NiSource Group is required to file a
combined, consolidated or unitary return for Other Taxes with another Member of
the NiSource Group, but not with NiSource (an "Other Taxes Subgroup"), then
NiSource shall have the rights, powers and obligations to file such tax returns
and apportion among and, collect and remit from, the applicable Members such
Other Taxes as the rights, powers and obligations given to NiSource under this
Agreement with respect to the Consolidated Tax Liability. Such returns shall be
prepared and filed by NiSource. If the right to file a combined, consolidated or
unitary return for Other Taxes is optional, then NiSource shall decide which of
its subsidiaries should, to the extent permitted by law, join in filing of such
return.
Section 2.3 Member Tax Information. The Members of the
Consolidated Group shall submit the tax information requested by the Designated
Official of NiSource in the manner and by the date requested, in order to enable
the Designated Official to calculate the amounts payable by the Members pursuant
to Article 3 hereof.
RESPONSIBILITY FOR TAX; INTERCOMPANY PAYMENTS
Section 3.1 Responsibility. Assuming the Members of the
Consolidated Group have fulfilled their obligations pursuant to this Article
III, then NiSource will be solely responsible for, and will indemnify and hold
each Member of the Consolidated Group harmless with respect to, the payment of:
(a) the Consolidated Tax Liability for each taxable period for which, as
determined under Section 2.1 hereof, NiSource filed a Consolidated Return or
should have been filed; and (b) any and all Other Taxes due or payable with
respect to any Other Return which is filed by NiSource or should have been
filed.
276
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
Section 3.2 Federal Tax Payments. (a) With respect to each
Consolidated Return Year, the Designated Official of NiSource shall estimate and
assess or pay to Members of the Consolidated Group their share of estimated tax
payments to be made on a projected consolidated federal income tax return for
each year. In making this determination, NiSource shall elect a method for
determining estimated tax and each Member shall follow that method; provided,
however, under no circumstances shall a Loss Member be paid any amount described
in Section 2.1(d) until a date after which NiSource has filed the Consolidated
Consolidated Return for such Consolidated Return Year. Such Members
will pay, to NiSource or be paid by NiSource, such estimates not later than the
15th day of the 4th, 6th, 9th and 12th months of such Consolidated Return Year.
With respect to any extension payment, the Designated Official of NiSource shall
estimate and assess or pay to Members of the Consolidated Group their share of
such extension payment. The difference between (1) a Member's estimated tax
payments used for computation of the quarterly estimated payments plus their
extension payments and (2) such Member's actual Tax Liability for any
Consolidated Return Year as determined under Section 2.1(b) hereof, shall be
paid to NiSource or by NiSource within sixty (60) days after the filing of the
consolidated federal income tax return.
(b) NiSource shall have sole authority, to the
exclusion of all other Members of the Consolidated Group, to agree to any
adjustment proposed by the Internal Revenue Service or any other taxing
authority with respect to items of income, deductions or credits, as well as
interest or penalties, attributable to any Member of the Consolidated Group
during any Consolidated Return Year in which such Member was a Member of the
Consolidated Group notwithstanding that such adjustment may increase the amounts
payable by Members of the Consolidated Group under this Section 3.2 or Section
3.3 hereof. In the event of any adjustment to the Consolidated Tax Liability
relating to items of income, deductions or credit, as well as interest or
penalties, attributable to any Member of the Consolidated Group by reason of an
amended return, claim for refund or audit by the Internal Revenue Service or any
other taxing authority, the liability of all other Members of the Consolidated
Group under paragraphs (a) of this Section 3.2 or Section 3.3 hereof shall be
redetermined to give effect to such adjustment as if such adjustment had been
made as a part of the original computation of such liability, and payment from a
Member to NiSource or by NiSource to a Member, as the case may be, shall be
promptly made after any payments are made to the Internal Revenue Service or any
other taxing authority, refunds received or final determination of the matter in
the case of contested proceedings. In such event, any payments between the
parties shall bear interest at the then prevailing rate or rates on deficiencies
assessed by the Internal Revenue Service or any other relevant taxing authority,
during the period from the due date of the Consolidated Return (determined
without regard to extensions of time for the filing thereof) for the
Consolidated Return Year to which the adjustments were made to the date of
payment.
Section 3.3 Other Tax Payments. Payments by a Member with
respect to Other Taxes and required estimates thereof for which any other Member
has joint and several liability shall be calculated and made by or to such
Member in the same manner as that provided in Section 3.2. The principles set
forth in Section 3.2 governing the determination and adjustment of payments as
well as the method of payment to or from such Member with respect to federal
income taxes shall be equally applicable in determining and adjusting the amount
of and due date of payments to be made to or from such subsidiary with respect
to Other Taxes and estimates thereof. Each Member shall pay, directly to the
appropriate taxing authority, all taxes for which such Member is liable and for
which no other Member has joint or several liability.
Section 3.4 Payment Mechanics. (a) Any payments to be made by a
subsidiary of NiSource pursuant to Section 2.1, 2.2, 3.2 or 3.3 hereof shall be
made by such subsidiary to NiSource by either promptly crediting as an offset
against amounts owed to such Member by NiSource or to the extent no amounts are
owed to such Member by NiSource, by cash payments to NiSource. To the extent any
payments are to be made to a subsidiary with respect to the use of such
subsidiary's tax attributes by the Consolidated Group pursuant to Section 2.1,
2.2, 3.2 or 3.3 hereof, NiSource shall make such payment to such subsidiary by
either promptly crediting as an offset against amounts owned by such Member to
NiSource, or to the extent no amounts are owed to NiSource by such Member, by
cash payments to the Member.
277
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
(b) Tax payments by NiSource with respect to any Consolidated
Tax Liability shall be paid by NiSource and shall be debited to the Member of
the Consolidated Group for their respective shares of such Consolidated Tax
Liability as determined pursuant to Article II hereof. Tax Refunds received by
NiSource with respect to any Consolidated Tax Liability, shall be paid by
NiSource to the Member of the Consolidated Group entitled to such Tax Refund, as
determined.
(c) NiSource shall be responsible for maintaining the books and
records reflecting the intercompany accounts reflecting the amounts owned,
collected and paid with respect to Taxes pursuant to this Agreement.
(d) NiSource may delegate to other Members of the Consolidated
Group responsibilities for the collection and disbursement of monies as required
under this Agreement as well as responsibilities for maintaining books and
records as required under this Agreement.
Section 3.5 Administration. The provisions of this Agreement
shall be administered by the Designated Official of NiSource. The
interpretations of this Agreement by the Designated Official of NiSource shall
be conclusive.
ARTICLE IV.
MISCELLANEOUS PROVISIONS
Section 4.1 Effect. The provisions hereof shall fix the rights
and obligations of the parties as to the matters covered hereby whether or not
such are followed for federal income tax or other purposes by the Consolidated
Group, including the computation of earnings and profits for federal income tax
purposes.
Section 4.2 Effective Date and Termination of Affiliation.
This Agreement shall be effective with respect to all taxable years ending on or
after January 1, 2001, in which any subsidiary of NiSource is a Member of the
Consolidated Group for any portion of the tax year. In the event that a party to
this Agreement ceases to be a Member of the Consolidated Group, the rights and
obligations of such party and each other party to this Agreement shall survive,
but only with respect to taxable years including or ending before the date such
party ceases to be a Member of the Consolidated Group.
Section 4.3 Notices. Any and all notices, requests or other
communications hereunder shall be given in writing (a) if to NiSource to
Attention: Vice President, Tax, Facsimile Number: 219-647-6177 and (b) if to any
other person, at such other address as shall be furnished by such person by like
notice to the other parties.
Section 4.4 Expenses. Each party hereto shall pay its own
expenses incident to this Agreement and the transactions contemplated hereby,
including all legal and accounting fees and disbursements.
Section 4.5 Benefit and Burden. This Agreement shall inure
to the benefit of, and shall be binding upon, the parties hereto and their
respective successors.
Section 4.6 Amendments and Waiver. No amendment, modification,
change or cancellation of this Agreement shall be valid unless the same is in
writing and signed by the parties hereto. No waiver of any provision of this
Agreement shall be valid unless in writing and signed by the person against whom
that waiver is sought to be enforced. The failure of any party at any time to
insist upon strict performance of any condition, promise, agreement or
understanding set forth herein shall not be construed as a waiver or
relinquishment of the right to insist upon strict performance of the same or any
other condition, promise, agreement or understanding at a future time.
278
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
Section 4.7 Assignments. Neither this Agreement nor any right,
interest or obligation hereunder may be assigned by any party hereto and any
attempt to do so shall be null and void.
Section 4.8 Severability. The invalidity or unenforceability of
any particular provision of this Agreement shall not affect the other provisions
hereof, and this Agreement shall be construed in all respects as if such invalid
or unenforceable provision were omitted.
Section 4.9 Entire Agreement. THIS AGREEMENT SETS FORTH ALL
OF THE PROMISES, AGREEMENTS, CONDITIONS, UNDERSTANDINGS, WARRANTIES AND
REPRESENTATIONS AMONG THE PARTIES WITH RESPECT TO THE TRANSACTIONS CONTEMPLATED
HEREBY, AND SUPERSEDES ALL PRIOR AGREEMENTS, ARRANGEMENTS AND UNDERSTANDINGS
BETWEEN THE PARTIES HERETO, WHETHER WRITTEN, ORAL OR OTHERWISE. THERE ARE NO
PROMISES, AGREEMENTS, CONDITIONS, UNDERSTANDINGS, WARRANTIES OR REPRESENTATIONS,
ORAL OR WRITTEN, EXPRESS OR IMPLIED, AMONG THE PARTIES EXCEPT AS SET FORTH
HEREIN.
Section 4.10 Applicable Law. THIS AGREEMENT SHALL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF INDIANA.
Section 4.11 Counterparts. This Agreement may be executed in one
or more counterparts, each of which shall constitute an original and together
which shall constitute one instrument. The parties hereto specifically recognize
that from time to time other corporations may become Members of the Consolidated
Group and hereby agree that such new Members may become Members to this
Agreement by executing a copy of this Agreement and it will be effective as if
all the Members had re-signed.
Section 4.12 Attorneys' Fees. If any Member or former Member
hereto commences an action against another party to enforce any of the terms,
covenants, conditions or provisions of this Agreement, or because of a default
by a party under this Agreement, the prevailing party in any such action shall
be entitled to recover its costs, expenses and losses, including attorneys'
fees, incurred in connection with the prosecution or defense of such action from
the losing party.
Section 4.13 No Third Party Rights. Nothing in this Agreement
shall be deemed to create any right in any creditor or other person or entity
not a party hereto and this Agreement shall not be construed in any respect to
be a contract in whole or in part for the benefit of any third party.
Section 4.14 Further Documents. The parties agree to execute
any and all documents, and to perform any and all other acts, reasonably
necessary to accomplish the purposes of this Agreement.
Section 4.15 Headings and Captions. The headings and captions
contained in this Agreement are inserted and included solely for convenience and
shall not be considered or given any effect in construing the provisions hereof
if any question of intent should arise.
Section 4.16 Departing Members
(a) In the event that any Member of the NiSource Group at any time
leaves the NiSource Group and, under any applicable statutory provision or
regulation, that Member is assigned and deemed to take with it all or a portion
of any of the tax attributes of the NiSource Group (including but not limited to
NOL, credit carry forwards, and AMTC carry forwards), then to the extent that
the amount of tax attributes so assigned differs from the amount of such
attributes previously allocated to such Member under this agreement, the
departing Member shall appropriately settle with the NiSource Group. Such
settlement shall consist of payment (1) on a dollar for dollar basis for all
differences in credits, and, (2) in the case of NOL differences (or other
differences related to other deductions), in a dollar amount computed by
reference to the amount of NOL multiplied by the applicable tax rate relating to
such NOL. The settlement payment
279
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
shall be paid to NiSource within sixty days after the Member leaves the NiSource
Group. The settlement amounts shall be allocated among the remaining Members of
the NiSource Group in proportion to the relative level of attributes possessed
by each Member and the attributes of each Member shall be adjusted accordingly.
(b) Upon the departure of any Member from the NiSource Group,
such Member shall allocate its items of income, deduction, loss and credit
between the period that it was a Member of the NiSource Group and the period
thereafter based upon a closing of the books methodology allowed under Treasury
Regulation Section 1.1502-76(b)(2). The difference between (1) its prior
estimated taxes or payments of Tax Benefit and (2) the amount of taxes due or
payments of Tax Benefit due to that Member, shall be appropriately settled on
the day such Member leaves the NiSource Group or on an alternative date mutually
agreeable in writing to the NiSource Group and the departing Member.
EXECUTED as of the date and year first above written.
By: /s/ J. W. Grossman
-------------------------------------
Printed Name: Jeffrey W. Grossman
Title: Vice President and Controller
NiSource Inc.
By: /s/ J. W. Grossman
-------------------------------------
Printed Name: Jeffrey W. Grossman
Title: Vice President
[List of companies attached as Exhibit A]
By: /s/ J. W. Grossman
-------------------------------------
Printed Name: Jeffrey W. Grossman
Title: President
Columbia Insurance Corporation, Ltd.
By: /s/ H. Phillip Conrad
-------------------------------------
Printed Name: H. Phillip Conrad
Title: President
Northern Indiana Trading Company, Inc.
280
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
Exhibit A
Bay State Gas Company
Bay State GPE, Inc.
Northern Utilities, Inc.
Columbia Energy Group
Columbia Atlantic Trading Corporation
Columbia Energy Group Capital Corporation
TriStar Gas Technologies, Inc.
Columbia Energy Resources, Inc.
Alamco-Delaware, Inc.
Columbia Natural Resources, Inc.
Columbia Natural Resources Canada, Ltd.
Hawg Hauling and Disposal, Inc.
Columbia Energy Services Corporation
Columbia Energy Marketing Corporation
Columbia Energy Power Marketing Corporation
Columbia Energy Retail Corporation
Columbia Accounts Receivable Corporation
Columbia Gas of Kentucky, Inc.
Columbia Gas of Maryland, Inc.
Columbia Gas of Ohio, Inc.
Columbia Gas of Pennsylvania, Inc.
Columbia Gas of Virginia, Inc.
Columbia Gas Transmission Corporation
Columbia Gulf Transmission Company
Columbia Network Services Corporation
CNS Microwave, Inc.
Columbia Petroleum Corporation
Columbia Pipeline Corporation
Columbia Deep Water Services Company
Columbia Remainder Corporation
Columbia Electric Binghamton General Corporation
Columbia Electric Binghamton Limited Corporation
Columbia Electric Haverstraw Corporation
Columbia Service Partners, Inc.
Columbia Assurance Agency, Inc.
Columbia Service Partners of Virginia, Inc.
Columbia Transmission Communications Corporation
EnergyUSA, Inc. (IN)
EnergyUSA, Inc. (MA)
EnergySPE, Inc.
281
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
EnergyUSA (Connecticut), Inc.
EnergyUSA Engineering, Inc.
EnergyUSA Mechanical, Inc.
EnergyUSA Commercial Energy Services, Inc.
EnergyUSA Retail, Inc.
EnergyUSA-TPC Corp.
EnergyUSA-Appalachian Corp.
NI Energy Services Transportation, Inc.
NI Fuel Company, Inc.
NI-TEX, Inc.
NI-TEX Gas Services, Inc.
IWC Resources Corporation
Harbour Water Corporation
Indianapolis Water Company
Irishman's Run Acquisition Corporation
IWC Morgan Water Corporation
Lawrence Water Company, Inc.
Liberty Water Corporation
The Darlington Water Works Company
Kokomo Gas and Fuel Company
NI Energy Services, Inc.
Crossroads Pipeline Company
NESI Power Marketing, Inc.
NiSource Capital Markets, Inc.
NiSource Corporate Services Company (DE)
NiSource Development Company, Inc.
Cardinal Property Management, Inc.
JOF Transportation Company
Lake Erie Land Company
SCC Services, Inc.
NDC Douglas Properties, Inc.
South Works Power Company
NiSource Energy Technologies, Inc.
NiSource Finance Corp.
NiSource Pipeline Group, Inc.
Granite State Gas Transmission, Inc.
Bay State Energy Enterprises, Inc.
Northern Indiana Fuel and Light Company, Inc.
Northern Indiana Public Service Company
Primary Energy, Inc.
Cokenergy, Inc.
Harbor Coal Company
Lakeside Energy Corporation
282
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT D. TAX ALLOCATION AGREEMENT FOR 2002. (CONTINUED)
North Lake Energy Corporation
Portside Energy Corporation
Whiting Clean Energy, Inc.
283
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT E. OTHER DOCUMENTS PRESCRIBED BY RULE OR ORDER.
None.
284
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT F. REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS.
NiSource Inc.:
INDEPENDENT AUDITORS' REPORT
TO THE BOARD OF DIRECTORS OF NISOURCE INC.:
We have audited the accompanying consolidated balance sheets and statements of
consolidated capitalization and long-term debt of NiSource Inc. and subsidiaries
as of December 31, 2002 and 2001, and the related statements of consolidated
income, common stockholders' equity and cash flows for each of the three years
in the period ended December 31, 2002. Our audits also included the financial
statement schedules listed in the index at Item 8. These financial statements
and financial statement schedules are the responsibility of NiSource's
management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with auditing standards generally accepted
in the United States of America. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, such consolidated financial statements referred to above present
fairly, in all material respects, the financial position of NiSource Inc. and
subsidiaries as of December 31, 2002 and 2001, and the results of their
operations and their cash flows for each of the three years in the period ended
December 31, 2002, in conformity with accounting principles generally accepted
in the United States of America. Also, in our opinion, such financial statement
schedules, when considered in relation to the basic consolidated financial
statements taken as a whole, present fairly in all material respects the
information set forth therein.
As explained in Note 2Q to the financial statements, effective January 1, 2001,
NiSource Inc. adopted Statement of Financial Accounting Standards No. 133,
"Accounting for Derivatives Instruments and Hedging Activities," as amended. As
explained in Note 2I to the financial statements, effective January 1, 2002,
NiSource adopted SFAS 142, "Goodwill and Other Intangible Assets."
Deloitte & Touche LLP
Chicago, Illinois
February 13, 2003
285
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT F. REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS. (CONTINUED)
Columbia Energy Group:
INDEPENDENT AUDITORS' REPORT
TO THE SHAREHOLDER OF COLUMBIA ENERGY GROUP:
We have audited the accompanying consolidated balance sheets of Columbia Energy
Group (a Delaware corporation, the "Corporation" and a wholly owned subsidiary
of NiSource Inc.) and subsidiaries as of December 31, 2002 and 2001, and the
related statements of consolidated income, cash flows and common stock equity
for each of the three years in the period ended December 31, 2002. Our audits
also included the financial statement schedules listed in the index at Item 8.
These financial statements and financial statement schedules are the
responsibility of the Corporation's management. Our responsibility is to express
an opinion on the financial statements and financial statement schedules based
on our audits.
We conducted our audits in accordance with auditing standards generally accepted
in the United States of America. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material
respects, the financial position of the Corporation and subsidiaries as of
December 31, 2002, and 2001, and the results of their operations and their cash
flows for each of the three years in the period ended December 31, 2002 in
conformity with accounting principles generally accepted in the United States of
America. Also, in our opinion, such financial statement schedules, when
considered in relation to the basic consolidated financial statements taken as a
whole, present fairly in all material respects the information set forth
therein.
As explained in Note 1L to the financial statements, effective January 1, 2001,
the Corporation adopted Statement of Financial Accounting Standards No. 133,
"Accounting for Derivatives Instruments and Hedging Activities," as amended.
Deloitte & Touche LLP
Columbus, Ohio
February 13, 2003
286
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT G. SYSTEM ORGANIZATION CHART.
ORGANIZATION CHART - BAY STATE GPE, INC.
NiSource Inc.
100% Owned
Bay State Gas Company
100% Owned
Bay State GPE, Inc.
ORGANIZATION CHART - WHITING CLEAN ENERGY, INC.
NiSource Inc.
100% Owned
Primary Energy, Inc.
100% Owned
Whiting Clean Energy, Inc.
287
ITEM 10. FINANCIAL STATEMENTS AND EXHIBITS (continued)
EXHIBIT H. FINANCIAL STATEMENTS OF EWG OR FOREIGN UTILITY COMPANY.
Confidential treatment requested.
EXHIBIT L. DEBT ACQUISITION SCHEDULE.
Confidential treatment requested.
288
NISOURCE INC.
FORM U5S ANNUAL REPORT
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2002
EXHIBITS
289
Exhibit
Number Description
------- -----------
Exhibit A-1 Acquisition Gas Company, Inc. Articles of Organization dated November 10, 1998.
Exhibit A-2 Acquisition Gas Company, Inc. Articles of Merger of Acquisition Gas Company, Inc. and Bay
State Gas Company dated _February 11, 1999.
Exhibit A-3 Haverstraw Bay, LLC Certificate of Formation of Limited Liability Company dated
September 14, 1999.
Exhibit A-4 Columbia Insurance Corporation, Ltd. Certificate of Incorporation On Change of Name
dated October 21, 2002.
Exhibit A-5 EnergyUSA - Appalachian Corp. Certificate of Incorporation dated February 19, 2001 and
Articles of Incorporation of EnergyUSA - Appalachian Corp. dated February 16, 2001.
Exhibit A-6 Triumph Natural Gas, Inc. Certificate of Incorporation dated March 13, 1989.
Exhibit A-7 Triumph Natural Gas, Inc. Restated Certificate of Incorporation of Triumph Natural Gas,
Inc. dated March 30, 1989.
Exhibit A-8 Triumph Natural Gas, Inc. Restated Certificate of Incorporation of Triumph Natural Gas,
Inc. dated November 17, 1998.
Exhibit A-9 Irishman's Run Acquisition Corp. Certificate of Incorporation dated November 22, 1999 and
Articles of Incorporation dated November 18, 1999.
Exhibit A-10 IWC Morgan Water Corporation Certificate of Incorporation dated February 12, 1999 and
Articles of Incorporation dated February 12, 1999.
Exhibit A-11 Lawrence Water Company, Inc. Certificate of Incorporation dated December 8, 1998 and
Articles of Incorporation of Lawrence Water Company, Inc. dated December 8, 1998.
Exhibit A-12 The Darlington Water Works Company Articles of Association dated September 4, 1906.
Exhibit A-13 The Darlington Water Works Company Certificate of Amendment of The Darlington Water Works
Company dated December 22, 1976 and Articles of Amendment of the Articles of The Articles of
Incorporation of The Darlington Water Works Company dated December 20, 1976.
Exhibit B-1 Bay State Gas Company Resolution amending By-Laws dated May 22, 2002.
Exhibit B-2 Columbia Service Partners, Inc. Resolutions Amending By-Laws dated April 1, 2002.
289
NISOURCE INC.
FORM U5S ANNUAL REPORT
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2002
EXHIBITS (continued)
Exhibit
Number Description
------ -----------
Exhibit B-3 KGF Trading Company Resolutions Amending By-Laws dated March 13, 2002.
Exhibit B-4 Northern Indiana Fuel and Light Company, Inc. Resolutions Amending By-Laws dated April 9,
2002.
Exhibit B-5 Northern Indiana Trading Company, Inc. Resolutions Amending By-Laws dated March 20, 2002.
Exhibit B-6 Northern Indiana Public Service Company Resolutions Amending By-Laws dated April 10, 2002.
290