SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act
of 1934
|
Date of Report |
|
|
(Date of earliest event reported): |
August 5, 2004 |
|
|
Name of Registrant, State of |
IRS Employer |
|
1-40 |
Pacific Enterprises |
94-0743670 |
|
1-1402 |
Southern California Gas Company |
95-1240705 |
---------------------------------------------------------------------
(Former name or former address, if changed since last report.)
FORM 8-K
Item 12. Results of Operations and Financial Condition
On August 5, 2004, Sempra Energy, of which Pacific Enterprises and Southern California Gas Company are consolidated subsidiaries, issued its earnings press release for the quarter ended June 30, 2004. The Sempra Energy financial information contained in the press release includes, on a consolidated basis, information regarding the results of operations and financial condition of Pacific Enterprises and Southern California Gas Company. A copy of the press release is attached as Exhibit 99.1. The information furnished in this Item 12 and in Exhibit 99.1 shall not be deemed to be "filed" for purposes of the Securities Exchange Act of 1934, nor shall it be deemed to be incorporated by reference in any filing of Sempra Energy, whether made before or after the date hereof, regardless of any general incorporation language in such filing.
Item 7. Financial Statements and Exhibits.
(c) Exhibits
99.1 August 5, 2004 Sempra Energy News Release (including tables)
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
Pacific Enterprises
|
Date: August 5, 2004 |
By: /s/ F. H. Ault |
|
F. H. Ault |
|
Southern California Gas Company
|
Date: August 5, 2004 |
By: /s/ S.D. Davis |
|
S.D. Davis |
|
Exhibit 99.1
News Release
|
Media Contacts: |
Doug Kline |
|
Analysts Contacts: |
Dennis Arriola/Karen Sedgwick |
SEMPRA ENERGY REPORTS
SECOND-QUARTER 2004 EARNINGS
- Electric-Generation, Energy--Trading Units Lead Solid Performance in Quarter
- Company on Track to Meet 2004 Earnings Guidance of $2.90 to $3.10 per Share
SAN DIEGO, Aug. 5, 2004 -- Sempra Energy today reported unaudited second-quarter 2004 earnings of $121 million, or $0.52 per diluted share, compared with $116 million, or $0.55 per diluted share, for the same period of 2003.
For the first six months of 2004, Sempra Energy's earnings increased 56 percent to $318 million, or $1.37 per diluted share, from $204 million, or $0.98 per diluted share, during the first six months of 2003. Net income for Sempra Energy Resources and Sempra Energy Trading more than doubled during the first half of 2004 to a combined $158 million from $60 million during the same period last year.
"With our electric-generation and energy-trading businesses performing significantly better than last year, plus the continued solid results of our California utilities, Sempra Energy is on track to meet our 2004 earnings guidance of $2.90 to $3.10 per share," said Stephen L. Baum, chairman and chief executive officer of Sempra Energy. "We also are moving forward with our liquefied natural gas (LNG) business. Site preparation will begin this month on Sempra Energy LNG's Mexican LNG receipt terminal, Energía Costa Azul, and we are finalizing the supply agreement."
In June, Sempra Energy raised its 2004 earnings guidance to $2.90 to $3.10 per share from $2.70 to $2.90 per share to reflect the company's improved business outlook.
Sempra Energy's second-quarter 2004 net income rose on higher profits at Sempra Energy Resources, Sempra Energy Trading and Southern California Gas Co. (SoCalGas), but earnings per share were affected by a greater number of common shares outstanding.
Second-quarter 2004 earnings included an $8 million loss related to the discontinuance of Atlantic Electric & Gas, a U.K.-based energy marketer, which was sold in April 2004. The first six months of 2004 included a loss of $32 million related to the discontinued operations Atlantic Electric & Gas.
Revenues for Sempra Energy were $2 billion in the second quarter 2004, compared with $1.8 billion in the year-ago quarter, due primarily to increased power sales by Sempra Energy Resources. For the first half of the year, Sempra Energy's revenues increased to $4.4 billion in 2004 from $3.8 billion in 2003.
OPERATING HIGHLIGHTS
Sempra Energy Utilities
Net income for SoCalGas rose to $50 million during the second quarter 2004 from $37 million in the year-earlier period, due to higher operating revenues.
Net income for San Diego Gas & Electric (SDG&E) in the second quarter 2004 was $30 million, compared with $41 million in last year's second quarter. The decrease primarily stemmed from the elimination of SDG&E's revenue incentive mechanism for the San Onofre Nuclear Generating Station, in which the utility holds a 20-percent ownership stake.
During the quarter, SDG&E received approval from the California Public Utilities Commission for its regional energy reliability plan. Under the approved plan, SDG&E will acquire a new 550-megawatt (MW), natural gas-fired power plant -- called Palomar Energy -- being developed in Escondido, Calif., by sister company Sempra Energy Resources. Construction on Palomar Energy, which began last month, is expected to be completed in 2006. The utility also will contract for renewable energy resources and plans to enter into a 10-year power-purchase agreement for up to 570 MW of electricity.
Sempra Energy Trading
On the strength of increased profitability of its petroleum and metals trading operations, Sempra Energy Trading's net income increased to $40 million during the second quarter 2004 from $35 million in the same period last year. Through the first half of 2004, Sempra Energy Trading's net income totaled $99 million, compared with $45 million in net income during the first six months of 2003.
During the quarter, Sempra Energy Trading completed a $1 billion, two-year committed credit facility to help finance its global operations.
Sempra Energy Resources
Sempra Energy Resources reported sharply higher net income of $22 million in the second quarter 2004, up from $5 million in the second quarter last year. The rise in net income was due to increased power sales from several new power plants that were put into full operation during the past year.
In the second quarter 2004, Sempra Energy Resources delivered nearly 3.9 million megawatt-hours of power under contracted agreements. The company expects to deliver substantially more power during the second half of 2004.
Last month, a subsidiary of Sempra Energy Resources assumed management of Coleto Creek Power Station, a 632-MW coal-fired Texas power plant, and eight other Texas power plants jointly acquired on a 50-50 basis from American Electric Power by Sempra Energy Partners and Carlyle/Riverstone. The $430 million acquisition, which was completed July 1, 2004, was substantially project-financed. Sempra Energy's share of equity in the transaction was $53 million.
Sempra Energy International and Sempra Energy LNG
Net income for Sempra Energy International and Sempra Energy LNG, on a combined basis, was $15 million in this year's second quarter, versus $18 million in the second quarter 2003. Tax reserves and increased development costs were offset partially by improved results in the company's Mexican operations and by the sale of a portion of the common stock in its jointly owned Luz del Sur unit in Peru.
Internet Broadcast
Sempra Energy will broadcast a live discussion of its earnings results over the Internet today at 1 p.m. EDT with key company executives. Access is available by logging onto the Web site at
www.sempra.com. For those unable to log onto the live Webcast, the teleconference will be available on replay a few hours after its conclusion by dialing (706) 645-9291 and entering the passcode, 8752753.Sempra Energy (NYSE: SRE), based in San Diego, is a Fortune 500 energy services holding company with 2003 revenues of $7.9 billion. The Sempra Energy companies' nearly 13,000 employees serve more than 10 million customers in the United States, Europe, Canada, Mexico, South America and Asia.
###
This press release contains statements that are not historical fact and constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When the company uses words like "believes," "expects," "anticipates," "intends," "plans," "estimates," "may," "would," "should" or similar expressions, or when the company discusses its strategy or plans, the company is making forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future results may differ materially from those expressed in the forward-looking statements. Forward-looking statements are necessarily based upon various assumptions involving judgments with respect to the future and other risks, including, among others: national, international, regional and local economic, competitive, political, legislative and regulatory conditions and developments; actions by the California Public Utilities Co mmission, the California State Legislature, the California Department of Water Resources and the Federal Energy Regulatory Commission; capital market conditions, inflation rates and interest rates; energy and trading markets, including the timing and extent of changes in commodity prices; weather conditions; business, regulatory and legal decisions; the pace of deregulation of retail natural gas and electricity delivery; the timing and success of business development efforts; and other uncertainties, all of which are difficult to predict and many of which are beyond the company's control. These risks and uncertainties are further discussed in the company's reports filed with the Securities and Exchange Commission that are available through the EDGAR system without charge at its Web site,
www.sec.gov and on the company's Web site, www.sempra.com.Sempra Energy Trading, Sempra Energy Resources, Sempra Energy International, Sempra Energy Solutions and Sempra Energy Partners are not the same as the utilities, San Diego Gas & Electric and Southern California Gas Co.
|
SEMPRA ENERGY |
|||||||||
|
Table A |
|||||||||
|
STATEMENTS OF CONSOLIDATED INCOME (Unaudited) |
|||||||||
|
Three months ended |
Six months ended |
||||||||
|
June 30, |
June 30, |
||||||||
|
(Dollars in millions, except per share amounts) |
2004 |
2003 |
2004 |
2003 |
|||||
|
Operating revenues |
|||||||||
|
California utilities: |
|||||||||
|
Natural gas |
$ 947 |
$ 929 |
$ 2,280 |
$ 2,091 |
|||||
|
Electric |
420 |
397 |
801 |
792 |
|||||
|
Other |
629 |
514 |
1,275 |
880 |
|||||
|
Total operating revenues |
1,996 |
1,840 |
4,356 |
3,763 |
|||||
|
Operating expenses |
|||||||||
|
California utilities: |
|||||||||
|
Cost of natural gas |
482 |
480 |
1,306 |
1,157 |
|||||
|
Cost of electric fuel and purchased power |
155 |
137 |
282 |
300 |
|||||
|
Other cost of sales |
375 |
296 |
702 |
515 |
|||||
|
Other operating expenses |
546 |
518 |
1,067 |
963 |
|||||
|
Depreciation and amortization |
165 |
149 |
330 |
297 |
|||||
|
Franchise fees and other taxes |
53 |
57 |
117 |
113 |
|||||
|
Total operating expenses |
1,776 |
1,637 |
3,804 |
3,345 |
|||||
|
Operating income |
220 |
203 |
552 |
418 |
|||||
|
Other income - net |
13 |
9 |
18 |
4 |
|||||
|
Interest income |
10 |
10 |
33 |
22 |
|||||
|
Interest expense |
(80 |
) |
(71 |
) |
(160 |
) |
(145 |
) |
|
|
Preferred dividends / distributions by subsidiaries |
(3 |
) |
(8 |
) |
(5 |
) |
(15 |
) |
|
|
Income from continuing operations before income taxes |
160 |
143 |
438 |
284 |
|||||
|
Income tax expense |
31 |
27 |
88 |
51 |
|||||
|
Income from continuing operations |
129 |
116 |
350 |
233 |
|||||
|
Loss from discontinued operations, net of tax |
(6 |
) |
- |
(30 |
) |
- |
|||
|
Loss on disposal of discontinued operations, net of tax |
(2 |
) |
- |
(2 |
) |
- |
|||
|
Income before cumulative effect of change in accounting principle |
121 |
116 |
318 |
233 |
|||||
|
Cumulative effect of change in accounting principle, net of tax |
- |
- |
- |
(29 |
) |
||||
|
Net Income |
$ 121 |
$ 116 |
$ 318 |
$ 204 |
|||||
|
Weighted-average number of shares outstanding (thousands): |
|||||||||
|
Basic |
230,432 |
207,626 |
229,245 |
207,013 |
|||||
|
Diluted |
234,312 |
210,164 |
232,738 |
208,882 |
|||||
|
Income from continuing operations per share of common stock |
|||||||||
|
Basic |
$ 0.56 |
$ 0.56 |
$ 1.53 |
$ 1.13 |
|||||
|
Diluted |
$ 0.55 |
$ 0.55 |
$ 1.51 |
$ 1.12 |
|||||
|
Income before cumulative effect of change in accounting |
|||||||||
|
principle per share of common stock |
|||||||||
|
Basic |
$ 0.52 |
$ 0.56 |
$ 1.39 |
$ 1.13 |
|||||
|
Diluted |
$ 0.52 |
$ 0.55 |
$ 1.37 |
$ 1.12 |
|||||
|
Net income per share of common stock |
|||||||||
|
|
Basic |
$ 0.52 |
$ 0.56 |
$ 1.39 |
$ 0.99 |
||||
|
Diluted |
$ 0.52 |
$ 0.55 |
$ 1.37 |
$ 0.98 |
|||||
|
Dividends declared per share of common stock |
$ 0.25 |
$ 0.25 |
$ 0.50 |
$ 0.50 |
|||||
|
SEMPRA ENERGY |
|||||||
|
Table B |
|||||||
|
CONSOLIDATED BALANCE SHEETS (Unaudited) |
|||||||
|
Balance at |
|||||||
|
June 30, |
December 31, |
||||||
|
(Dollars in millions) |
|
2004 |
2003 |
||||
|
Assets |
|||||||
|
Current assets: |
|||||||
|
Cash and cash equivalents |
$ 1,150 |
$ 432 |
|||||
|
Short-term investments |
- |
363 |
|||||
|
Accounts receivable |
816 |
1,002 |
|||||
|
Due from affiliate |
4 |
- |
|||||
|
Deferred income taxes |
84 |
66 |
|||||
|
Interest receivable |
63 |
62 |
|||||
|
Trading assets |
5,088 |
5,250 |
|||||
|
Regulatory assets arising from fixed-price contracts and other derivatives |
152 |
144 |
|||||
|
Other regulatory assets |
100 |
89 |
|||||
|
Inventories |
107 |
147 |
|||||
|
Other |
184 |
157 |
|||||
|
Current assets of continuing operations |
7,748 |
7,712 |
|||||
|
Current assets of discontinued operations |
119 |
220 |
|||||
|
Total current assets |
7,867 |
7,932 |
|||||
|
Investments and other assets: |
|||||||
|
Due from affiliates |
47 |
55 |
|||||
|
Regulatory assets arising from fixed-price contracts and other derivatives |
569 |
650 |
|||||
|
Other regulatory assets |
509 |
554 |
|||||
|
Nuclear decommissioning trusts |
566 |
570 |
|||||
|
Investments |
1,055 |
1,114 |
|||||
|
Sundry |
752 |
706 |
|||||
|
Total investments and other assets |
3,498 |
3,649 |
|||||
|
Property, plant and equipment - net |
10,693 |
10,474 |
|||||
|
Total assets |
$ 22,058 |
$ 22,055 |
|||||
|
Liabilities and Shareholders' Equity |
|||||||
|
Current liabilities: |
|||||||
|
Short-term debt |
$ 68 |
$ 28 |
|||||
|
Accounts payable |
841 |
841 |
|||||
|
Income taxes payable |
267 |
261 |
|||||
|
Trading liabilities |
4,157 |
4,457 |
|||||
|
Dividends and interest payable |
134 |
136 |
|||||
|
Regulatory balancing accounts - net |
520 |
424 |
|||||
|
Fixed-price contracts and other derivatives |
160 |
148 |
|||||
|
Current portion of long-term debt |
863 |
1,433 |
|||||
|
Other |
623 |
704 |
|||||
|
Current liabilities of continuing operations |
7,633 |
8,432 |
|||||
|
Current liabilities of discontinued operations |
32 |
52 |
|||||
|
Total current liabilities |
7,665 |
8,484 |
|||||
|
Long-term debt |
4,419 |
3,841 |
|||||
|
Deferred credits and other liabilities: |
|||||||
|
Due to affiliates |
362 |
362 |
|||||
|
Customer advances for construction |
84 |
89 |
|||||
|
Postretirement benefits other than pensions |
122 |
131 |
|||||
|
Deferred income taxes |
239 |
202 |
|||||
|
Deferred investment tax credits |
81 |
84 |
|||||
|
Regulatory liabilities arising from cost of removal obligations |
2,297 |
2,238 |
|||||
|
Regulatory liabilities arising from asset retirement obligations |
284 |
281 |
|||||
|
Other regulatory liabilities |
104 |
108 |
|||||
|
Fixed-price contracts and other derivatives |
571 |
680 |
|||||
|
Asset retirement obligations |
318 |
313 |
|||||
|
Deferred credits and other |
1,167 |
1,173 |
|||||
|
Total deferred credits and other liabilities |
5,629 |
5,661 |
|||||
|
Preferred stock of subsidiaries |
179 |
179 |
|||||
|
Shareholders' equity |
4,166 |
3,890 |
|||||
|
Total liabilities and shareholders' equity |
$ 22,058 |
$ 22,055 |
|||||
|
SEMPRA ENERGY |
||||||
|
Table C |
||||||
|
CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS (Unaudited) |
||||||
|
Six months ended |
||||||
|
June 30, |
||||||
|
(Dollars in millions) |
|
2004 |
|
2003 |
||
|
Cash Flows from Operating Activities: |
||||||
|
Net income |
$ 318 |
$ 204 |
||||
|
Adjustments to reconcile net income to net cash provided by operating |
||||||
|
activities: |
||||||
|
Loss from discontinued operations, net of tax |
30 |
- |
||||
|
Loss on disposal of discontinued operations, net of tax |
2 |
- |
||||
|
Cumulative effect of change in accounting principle |
- |
29 |
||||
|
Depreciation and amortization |
330 |
297 |
||||
|
Deferred income taxes and investment tax credits |
(12 |
) |
(110 |
) |
||
|
Other - net |
33 |
39 |
||||
|
Net changes in other working capital components |
30 |
335 |
||||
|
Changes in other assets |
(57 |
) |
(48 |
) |
||
|
Changes in other liabilities |
8 |
12 |
||||
|
Net cash provided by continuing operations |
682 |
758 |
||||
|
Net cash used in discontinued operations |
(30 |
) |
- |
|||
|
Net cash provided by operating activities |
652 |
758 |
||||
|
Cash Flows from Investing Activities: |
||||||
|
Expenditures for property, plant and equipment |
(498 |
) |
(441 |
) |
||
|
Net proceeds from sale of assets |
363 |
(1) |
- |
|||
|
Proceeds from disposal of discontinued operations |
112 |
- |
||||
|
Investments and acquisitions of subsidiaries, net of cash acquired |
(13 |
) |
(134 |
) |
||
|
Dividends received from affiliates |
47 |
- |
||||
|
Affiliate loan |
- |
(64 |
) |
|||
|
Other - net |
1 |
(2 |
) |
|||
|
Net cash provided by (used in) investing activities |
12 |
(641 |
) |
|||
|
Cash Flows from Financing Activities: |
||||||
|
Common dividends paid |
(115 |
) |
(104 |
) |
||
|
Issuances of common stock |
92 |
50 |
||||
|
Repurchases of common stock |
(2 |
) |
(6 |
) |
||
|
Issuances of long-term debt |
896 |
400 |
||||
|
Payments on long-term debt |
(877 |
) |
(339 |
) |
||
|
Increase (decrease) in short-term debt - net |
63 |
(240 |
) |
|||
|
Other - net |
(3 |
) |
(8 |
) |
||
|
Net cash provided by (used in) financing activities |
54 |
(247 |
) |
|||
|
Increase (decrease) in cash and cash equivalents |
718 |
(130 |
) |
|||
|
Cash and cash equivalents, January 1 |
432 |
455 |
||||
|
Cash and cash equivalents, June 30 |
$ 1,150 |
$ 325 |
||||
|
(1) |
Proceeds from the sale of U.S. Treasury obligations which previously securitized the Mesquite synthetic lease. |
|||||
|
SEMPRA ENERGY |
||||||||||
|
Table D |
||||||||||
|
BUSINESS UNIT EARNINGS AND CAPITAL EXPENDITURES & INVESTMENTS (Unaudited) |
||||||||||
|
Three months ended |
Six months ended |
|||||||||
|
June 30, |
|
June 30, |
||||||||
|
(Dollars in millions) |
2004 |
|
2003 |
|
2004 |
|
2003 |
|||
|
Net Income |
||||||||||
|
California Utilities: |
||||||||||
|
San Diego Gas & Electric |
$ 30 |
$ 41 |
$ 80 |
$ 86 |
||||||
|
Southern California Gas |
50 |
37 |
106 |
95 |
||||||
|
Total California Utilities |
80 |
78 |
186 |
181 |
||||||
|
Global Enterprises: |
||||||||||
|
Trading |
40 |
35 |
99 |
45 |
||||||
|
Resources |
22 |
5 |
59 |
15 |
||||||
|
International/ LNG |
15 |
18 |
32 |
25 |
||||||
|
Solutions |
3 |
8 |
(1 |
) |
8 |
|||||
|
Total Global Enterprises |
80 |
66 |
189 |
93 |
||||||
|
Financial |
6 |
8 |
16 |
19 |
||||||
|
Parent & Other |
(37 |
) |
(36 |
) |
(41 |
) |
(60 |
) |
||
|
Continuing Operations |
129 |
116 |
350 |
233 |
||||||
|
Discontinued Operations (1) |
(8 |
) |
- |
(32 |
) |
- |
||||
|
Cumulative Effect of Change in Accounting Principle |
- |
- |
- |
(29) |
(2) |
|||||
|
Consolidated Net Income |
$ 121 |
$ 116 |
$ 318 |
$ 204 |
||||||
|
(1) |
Reflects Atlantic Electric & Gas and includes ($2) related to the disposal. |
|||||||||
|
(2) |
The effects to Trading and Solutions were ($28) and ($1), respectively. |
|||||||||
|
Three months ended |
Six months ended |
|||||||||
|
June 30, |
|
June 30, |
||||||||
|
(Dollars in millions) |
2004 |
|
2003 |
|
2004 |
|
2003 |
|||
|
Capital Expenditures and Investments |
||||||||||
|
California Utilities: |
||||||||||
|
San Diego Gas & Electric |
$ 112 |
$ 94 |
$ 181 |
$ 183 |
||||||
|
Southern California Gas |
82 |
77 |
144 |
135 |
||||||
|
Total California Utilities |
194 |
171 |
325 |
318 |
||||||
|
Global Enterprises: |
||||||||||
|
Resources |
34 |
87 |
49 |
171 |
||||||
|
Trading |
36 |
5 |
82 |
12 |
||||||
|
International/LNG |
11 |
29 |
38 |
55 |
||||||
|
Total Global Enterprises |
81 |
121 |
169 |
238 |
||||||
|
Parent & Other |
10 |
10 |
17 |
19 |
||||||
|
Consolidated Capital Expenditures and Investments |
$ 285 |
$ 302 |
$ 511 |
$ 575 |
||||||
|
SEMPRA ENERGY |
|||||||||||
|
Table E |
|||||||||||
|
OTHER OPERATING STATISTICS (Unaudited) |
|||||||||||
|
Three months ended |
Six months ended |
||||||||||
|
June 30, |
|
June 30, |
|||||||||
|
CALIFORNIA UTILITIES |
2004 |
|
2003 |
|
2004 |
|
2003 |
||||
|
Revenues (Dollars in millions) |
|||||||||||
|
SDG&E (excludes intercompany sales) |
$ 529 |
$ 514 |
$ 1,104 |
$ 1,073 |
|||||||
|
SoCalGas (excludes intercompany sales) |
$ 838 |
$ 812 |
$ 1,977 |
$ 1,810 |
|||||||
|
Gas Sales (Bcf) |
81 |
89 |
221 |
214 |
|||||||
|
Transportation and Exchange (Bcf) |
128 |
113 |
249 |
247 |
|||||||
|
Total Deliveries (Bcf) |
209 |
202 |
470 |
461 |
|||||||
|
Total Gas Customers (Thousands) |
6,251 |
6,166 |
|||||||||
|
Electric Sales (Millions of kWhs) |
3,747 |
3,454 |
7,559 |
7,063 |
|||||||
|
Direct Access (Millions of kWhs) |
929 |
759 |
1,658 |
1,565 |
|||||||
|
Total Deliveries (Millions of kWhs) |
4,676 |
4,213 |
9,217 |
8,628 |
|||||||
|
Total Electric Customers (Thousands) |
1,306 |
1,289 |
|||||||||
|
RESOURCES |
|
|
|
|
|
|
|||||
|
Power Sold (Millions of kWhs) |
3,884 |
2,050 |
8,361 |
3,453 |
|||||||
|
SOLUTIONS |
|
|
|
|
|
|
|||||
|
Revenues (Dollars in millions) |
$ 43 |
$ 55 |
$ 73 |
$ 97 |
|||||||
|
INTERNATIONAL |
|||||||||||
|
(Represents 100% of these subsidiaries, although only the Mexican subsidiaries are 100% owned by Sempra Energy). |
|
|
|||||||||
|
Natural Gas Sales (Bcf) |
|||||||||||
|
Argentina |
62 |
57 |
113 |
96 |
|||||||
|
Mexico |
10 |
10 |
20 |
19 |
|||||||
|
Chile |
- |
- |
1 |
1 |
|||||||
|
Natural Gas Customers (Thousands) |
|||||||||||
|
Argentina |
1,429 |
1,379 |
|||||||||
|
Mexico |
103 |
84 |
|||||||||
|
Chile |
37 |
36 |
|||||||||
|
Electric Sales (Millions of kWhs) |
|||||||||||
|
Peru |
1,016 |
1,003 |
2,023 |
2,013 |
|||||||
|
Chile |
502 |
464 |
1,010 |
934 |
|||||||
|
Electric Customers (Thousands) |
|||||||||||
|
Peru |
740 |
724 |
|||||||||
|
Chile |
502 |
489 |
|||||||||
|
SEMPRA ENERGY |
|||||||||
|
Table E (Continued) |
|||||||||
|
TRADING |
|
|
|
|
|
||||
|
Three months ended |
Six months ended |
||||||||
|
June 30, |
June 30, |
||||||||
|
Trading Margin (Dollars in millions) |
2004 |
2003 |
2004 |
2003 |
|||||
|
Geographical: |
|||||||||
|
North America |
$ 128 |
$ 89 |
$ 241 |
$ 151 |
|||||
|
Europe/Asia |
36 |
51 |
120 |
73 |
|||||
|
Total |
$ 164 |
$ 140 |
$ 361 |
$ 224 |
|||||
|
Product Line: |
|||||||||
|
Gas |
$ 50 |
$ 62 |
$ 91 |
$ 92 |
|||||
|
Power |
(9) |
14 |
29 |
12 |
|||||
|
Oil - Crude & Products |
48 |
18 |
89 |
50 |
|||||
|
Metals |
50 |
19 |
108 |
26 |
|||||
|
Other |
25 |
27 |
44 |
44 |
|||||
|
Total |
$ 164 |
$ 140 |
$ 361 |
$ 224 |
|||||
|
Physical Statistics |
|
|
|
|
|
||||
|
Natural Gas (BCF/Day) |
12.7 |
13.2 |
13.2 |
13.4 |
|||||
|
Electric (Billions of kWhs) |
75.2 |
65.3 |
168.1 |
131.4 |
|||||
|
Oil & Liquid Products (Millions Bbls/Day) |
1.7 |
1.9 |
1.9 |
1.7 |
|||||
|
Fair |
|||||||||
|
Market Value |
|||||||||
|
June 30, |
Scheduled Maturity (in months) |
||||||||
|
Net Unrealized Revenue (Dollars in millions) |
2004 |
0 - 12 |
13 - 24 |
25 - 36 |
> 36 |
||||
|
Sources of Over-the-Counter (OTC) Fair Value: |
|||||||||
|
Prices actively quoted |
$ 409 |
$ 361 |
$ 15 |
$ (1) |
$ 34 |
||||
|
Prices provided by other external sources |
6 |
(8) |
- |
- |
14 |
||||
|
Prices based on models and other valuation methods |
- |
(14) |
4 |
- |
10 |
||||
|
Total OTC Fair Value (1) |
415 |
339 |
19 |
(1) |
58 |
||||
|
Maturity of OTC Fair Value |
|||||||||
|
Percentage |
100.0% |
81.6% |
4.6% |
-0.2% |
14.0% |
||||
|
Cumulative Percentages |
|
81.6% |
86.2% |
86.0% |
100.0% |
||||
|
|
|
|
|
|
|
||||
|
Exchange Contracts (2) |
186 |
$ 201 |
$ (14) |
$ 10 |
$ (11) |
||||
|
Total Net Unrealized Revenue |
$ 601 |
||||||||
|
(1) The present value of unrealized revenue to be received or (paid) from outstanding OTC contracts |
|||||||||
|
(2) Cash received associated with open Exchange Contracts |
|||||||||
|
June 30, |
March 31, |
December 31, |
September 30, |
June 30, |
|||||
|
Credit Quality of Unrealized Trading Assets (net of margin) |
2004 |
2004 |
2003 |
2003 |
2003 |
||||
|
Commodity Exchanges |
8% |
6% |
8% |
8% |
6% |
||||
|
Investment Grade |
71% |
63% |
70% |
66% |
71% |
||||
|
Below Investment Grade |
21% |
31% |
22% |
26% |
23% |
||||
|
Three months ended |
Six months ended |
||||||||
|
June 30, |
June 30, |
||||||||
|
Risk Adjusted Performance Indicators |
2004 |
2003 |
2004 |
2003 |
|||||
|
VaR at 95% (Dollars in millions) (1) |
$ 6.4 |
$ 5.6 |
$ 6.1 |
$ 7.8 |
|||||
|
VaR at 99% (Dollars in millions) (2) |
$ 9.0 |
$ 7.9 |
$ 8.5 |
$ 11.0 |
|||||
|
Risk Adjusted Return on Capital (RAROC) (3) |
33% |
38% |
37% |
22% |
|||||
|
(1) Average Daily Value-at-Risk for the period using a 95% confidence level |
|||||||||
|
(2) Average Daily Value-at-Risk for the period using a 99% confidence level |
|||||||||
|
(3) Average Daily Trading Margin/Average Daily VaR at 95% confidence level |
|||||||||