PSEG Announces First-Quarter 2004 Results: $1.14 Per Share From
Continuing Operations Termination of Collins Lease During Quarter
Highlights Efforts To Improve Risk Profile NEWARK, N.J., April 29
/PRNewswire-FirstCall/ -- Public Service Enterprise Group (PSEG)
announced today (April 29, 2004) that earnings from continuing
operations and net income for the first quarter of 2004 were $271
million or $1.14 per share of common stock, based on 239 million
average shares outstanding. Comparatively, PSEG's earnings from
continuing operations for the first quarter of 2003 were $324
million or $1.43 per share of common stock, based on 226 million
average shares outstanding. These earlier period results excluded a
below-the-line benefit of $370 million or $1.64 per share related
to the adoption of a new accounting standard for fossil and nuclear
decommissioning and also excluded charges of $13 million or 6 cents
per share related to discontinued operations. Net income, including
these items, was $681 million or $3.01 per share. Attachments to
this release provide a comparative summary of 2004 and 2003 results
and other details about the quarterly results for PSEG and its
principal subsidiaries - Public Service Electric and Gas Co.
(PSE&G), PSEG Power and PSEG Energy Holdings. E. James Ferland,
chairman and chief executive officer of PSEG, said first-quarter
results reflected a solid performance by PSE&G, due primarily
to higher electric rates, which became effective last August 1 and
represented the first increase in more than a decade. However,
Ferland said the benefit of the rate increase in the quarter was
more than offset by various factors impacting both PSEG Power and
PSEG Energy Holdings. "Power's comparatively lower results were
caused in large measure," Ferland explained, "by the absence of
revenues from a market transition charge collected from electric
customers during a four-year period of industry restructuring here
in New Jersey. As expected, these revenues fell away last August at
the same time PSE&G's rate increase was implemented. Power's
results also reflected higher O&M costs at various electric
generating facilities and reduced basic generation service (BGS)
margins due to lower volumes and to the introduction of seasonal
pricing last August." PSEG Energy Holdings' quarterly results were
lower than those of last year's first quarter principally because
the termination of PSEG Resources' lease investment in the Collins
generating facility in Illinois reduced earnings on a one-time
basis by about $17 million or 7 cents per share. Under the terms of
the lease termination, Resources received pre-tax proceeds of about
$184 million of cash or more than 92% of its investment in the
facility, which is operated by Midwest Generation LLC, an indirect
subsidiary of Edison Mission Energy (EME). "Despite the modest loss
of 7 cents per share, the lease termination substantially reduced
our risk exposure to EME, with which Resources has lease
investments in two other coal-fired Illinois generating
facilities," Ferland said. "This is consistent with our strategic
objective to continuously improve our overall risk profile." Other
significant developments in the first quarter included the
following: * The New Jersey Board of Public Utilities held the
third annual BGS auction in February. PSE&G was successful in
securing 12- and 36-month contracts for the electric needs of their
customers at very competitive rates. This year, PSEG Power was a
direct participant in the auction and, combined with the results of
prior BGS auctions and other opportunities, has secured contracts
for more than 75% of its expected output over the next 18-24
months. * In March, PSEG successfully completed a 4-year, $450
million credit facility at PSEG and a 3-year, $600 million joint
facility at PSEG and PSEG Power. These new multi-year agreements
substantially extended the maturities and increased the capacity of
PSEG's liquidity facilities to $2.3 billion, of which approximately
$1.9 billion was available at March 31, 2004. "We were very pleased
with the market's response to these transactions, both of which
were oversubscribed," Ferland said. * Also in March, PSEG Power
issued $250 million of 5-year and $250 million of 10-year senior
notes at rates of 3.75% and 5.00%, respectively. The proceeds from
these issuances, combined with cash on hand, allowed PSEG Power to
re-finance the $800 million of non-recourse loans that were issued
for the construction of two generating plants in the Midwest. In
looking ahead, Ferland said that PSEG's major businesses have the
following 2004 earnings targets: PSE&G -- $320 to $340 million,
PSEG Power -- $400 to $450 million, and PSEG Energy Holdings --
$130 to $150 million. "PSEG's overall first-quarter results were
not as strong as last year's and have put greater pressure on us to
perform well during the rest of 2004 to achieve our guidance of
$3.60 to $3.80 for the full year," he said. "Although PSEG Power
was successful in achieving its hedging objective in the 2004 BGS
process, the auction was extremely competitive, which could affect
our margins," Ferland said. "This is why it will be essential that
Power's generating facilities, particularly its nuclear units,
operate well during the summer." "Our Hope Creek nuclear station
has undergone a planned maintenance outage this spring and one of
our Salem nuclear units is nearing completion of a refueling and
other improvements," he said. "We scheduled these outages to assure
reliability of service to our customers during the hot summer
months." Ferland said a strong performance by Power's generating
fleet this summer will help counter the pressures from earnings in
the first quarter. "Over the course of the year, we anticipate that
nearly 90% of our generation output will come from our low-cost
nuclear and coal facilities, and most of these assets are situated
near the vast majority of our customers," he said. Ferland said
that the energy industry continues to be in a "highly challenging"
time. "We are facing such pressures as an oversupply of electric
generation capacity and the resulting competition, volatile energy
prices and market conditions, and demanding capital markets," he
said. "This could constrain near-term earnings growth for PSEG.
Longer term, we expect capacity prices to begin rebounding. This
should improve future cash flows, improve our range of business
opportunities and provide prospects for growth." FORWARD-LOOKING
STATEMENT Readers are cautioned that statements contained in this
press release about our and our subsidiaries' future performance,
including future revenues, earnings, strategies, prospects and all
other statements that are not purely historical, are
forward-looking statements for purposes of the safe harbor
provisions under The Private Securities Litigation Reform Act of
1995. Although we believe that our expectations are based on
reasonable assumptions, we can give no assurance they will be
achieved. The results or events predicted in these statements may
differ materially from actual results or events. Factors which
could cause results or events to differ from current expectations
include, among other things: the effects of weather; the
performance of generating units and transmission systems; the
availability and prices for oil, gas, coal, nuclear fuel, capacity
and electricity; changes in the markets for electricity and other
energy-related commodities; changes in the number of participants
and the risk profile of such participants in the energy marketing
and trading business; the effectiveness of our risk management and
internal controls systems; the effects of regulatory decisions and
changes in law; changes in competition in the markets we serve; the
ability to recover regulatory assets and other potential stranded
costs; the outcomes of litigation and regulatory proceedings or
inquiries; the timing and success of efforts to develop domestic
and international power projects; conditions of the capital markets
and equity markets; advances in technology; changes in accounting
standards; changes in interest rates and in financial and foreign
currency markets generally; the economic and political climate and
growth in the areas in which we conduct our activities; and changes
in corporate strategies. For further information, please refer to
our Annual Report on Form 10-K and subsequent reports on Form 10-Q
and Form 8-K filed with the Securities and Exchange Commission.
These documents address in further detail our business, industry
issues and other factors that could cause actual results to differ
materially from those indicated in this release. In addition, any
forward-looking statements included herein represent our estimates
only as of today and should not be relied upon as representing our
estimates as of any subsequent date. While we may elect to update
forward-looking statements from time to time, we specifically
disclaim any obligation to do so, even if our estimates change,
unless otherwise required by applicable securities laws. PUBLIC
SERVICE ENTERPRISE GROUP INCORPORATED March 31, 2004 (Unaudited)
First Quarter 2004 2003* As Restated (Note 3) Earnings Results (in
Millions) Income from Continuing Operations PSE&G $124 $100
PSEG Power 109 177 PSEG Energy Holdings PSEG Global 45 45 PSEG
Resources - 11 PSEG Energy Holdings (2) (1) Total PSEG Energy
Holdings 43 55 PSEG (5) (8) Income from Continuing Operations $271
$324 Loss from Discontinued Operations, including Loss on Disposal
- (13) Cumulative Effect of a Change in Accounting Principle - 370
PSEG Net Income $271 $681 Fully Diluted Average Shares Outstanding
(in Millions) 239 226 Per Share Results (Diluted) Income from
Continuing Operations PSE&G $0.52 $0.44 PSEG Power 0.46 0.78
PSEG Energy Holdings PSEG Global 0.19 0.20 PSEG Resources - 0.05
PSEG Energy Holdings (0.01) (0.00) Total PSEG Energy Holdings 0.18
0.25 PSEG (0.02) (0.04) Income from Continuing Operations $1.14
$1.43 Loss from Discontinued Operations, including Loss on Disposal
- (0.06) Cumulative Effect of a Change in Accounting Principle -
1.64 PSEG Net Income $1.14 $3.01 Note 1: Income from Continuing
Operations include preferred stock dividends relating to PSE&G
of $1 million and $1 million, Global of $4 million and $4 million
and Resources of $1 million and $2 million for each of the quarters
ended March 31, 2004 and 2003, respectively. Note 2: Basic Earnings
per Share from Net Income was $1.15 and $3.02 per share for the
quarters ended March 31, 2004 and 2003, respectively. Note 3: 2003
results reflect the restatement to correct foreign currency
translation impacts of Energy Holdings' equity method investment in
RGE, a distribution company in Brazil, and other minor items. The
total impact of the restatement for the 2003 quarter resulted in an
increase in PSEG's and Energy Holdings' net income of approximately
$0.01 per share. PUBLIC SERVICE ENTERPRISE GROUP CONSOLIDATING
STATEMENT OF OPERATIONS For the Quarter Ended March 31, 2004
(Unaudited, $ Million) PSEG PSEG ENERGY PSEG OTHER PSE&G POWER
HOLDINGS (Note 3) OPERATING REVENUES $3,221 $(866) $2,182 $1,692
$213 OPERATING EXPENSES Energy Costs 1,823 (866) 1,419 1,224 46
Operation and Maintenance 546 (11) 278 230 49 Depreciation and
Amortization 172 5 127 27 13 Taxes Other Than Income Taxes 45 - 45
- - Total Operating Expenses 2,586 (872) 1,869 1,481 108 Income
from Equity Method Investments 28 - - - 28 OPERATING INCOME 663 6
313 211 133 Other Income 35 (4) 3 35 1 Other Deductions (23) - (1)
(20) (2) Interest Expense (223) (23) (96) (41) (63) Preferred
Securities Dividends (1) 5 (1) - (5) INCOME FROM CONTINUING
OPERATIONS BEFORE INCOME TAXES (Note 1) 451 (16) 218 185 64 Income
Taxes (180) 11 (94) (76) (21) - NET INCOME $271 $(5) $124 $109 $43
For the Quarter Ended March 31, 2003 (Unaudited, $ Million) PSEG
PSEG as PSEG ENERGY Restated OTHER PSE&G POWER HOLDINGS (Note
2) (Note 3) (Note 2) OPERATING REVENUES $3,288 $(880) $2,148 $1,830
$190 OPERATING EXPENSES Energy Costs 1,953 (880) 1,507 1,291 35
Operation and Maintenance 519 (4) 286 202 35 Depreciation and
Amortization 99 2 66 23 8 Taxes Other Than Income Taxes 44 - 44 - -
Total Operating Expenses 2,615 (882) 1,903 1,516 78 Income from
Equity Method Investments 20 - - - 20 OPERATING INCOME 693 2 245
314 132 Other Income 59 1 10 44 4 Other Deductions (43) (4) (1)
(30) (8) Interest Expense (198) (25) (97) (28) (48) Preferred
Securities Dividends (1) 6 (1) - (6) INCOME FROM CONTINUING
OPERATIONS BEFORE INCOME TAXES (Note 1) 510 (20) 156 300 74 Income
Taxes (186) 12 (56) (123) (19) INCOME FROM CONTINUING OPERATIONS
324 (8) 100 177 55 Loss from Discontinued Operations, including
Loss on Disposal (13) - - - (13) INCOME BEFORE CUMULATIVE EFFECT OF
A CHANGE IN ACCOUNTING PRINCIPLE 311 (8) 100 177 42 Cumulative
Effect of a Change in Accounting Principle, net of tax 370 - - 370
- NET INCOME $681 $(8) $100 $547 $42 Note 1: Income from Continuing
Operations before Income Taxes include preferred stock dividends
relating to PSE&G of $1 million and $1 million, Global of $4
million and $4 million and Resources of $1 million and $2 million
for the quarters ended March 31, 2004 and 2003, respectively. Note
2: 2003 results reflect the restatement to correct foreign currency
impacts of Energy Holdings' equity method investment in RGE, a
distribution company in Brazil, and other minor items. Note 3:
Primarily includes financing activities at the parent and
intercompany eliminations. PUBLIC SERVICE ENTERPRISE GROUP
CONSOLIDATING BALANCE SHEET As of March 31, 2004 (Unaudited, $
Million) PSEG PSEG ENERGY PSEG OTHER PSE&G POWER HOLDINGS (Note
2) CURRENT ASSETS Cash and Cash Equivalents $470 $2 $318 $27 $123
Accounts Receivable (Note 1) 1,720 (290) 948 842 220 Other Current
Assets 1,225 (217) 284 748 410 Total Current Assets 3,415 (505)
1,550 1,617 753 NET PROPERTY, PLANT AND EQUIPMENT 12,502 127 6,544
4,668 1,163 NONCURRENT ASSETS Regulatory Assets 4,710 - 4,710 - -
Long-Term Investments 4,747 48 133 43 4,523 Nuclear Decommissioning
Fund 981 - - 981 - Other Noncurrent Assets 1,360 (25) 369 382 634
Total Noncurrent Assets 11,798 23 5,212 1,406 5,157 TOTAL ASSETS
$27,715 $(355) $13,306 $7,691 $7,073 CURRENT LIABILITIES Short
-Term Debt $746 $289 $425 $- $32 Accounts Payable (Note 1) 1,083
(409) 703 750 39 Other Current Liabilities 1,388 152 443 439 354
Total Current Liabilities 3,217 32 1,571 1,189 425 NONCURRENT
LIABILITIES Deferred Income Taxes and ITC 4,124 (50) 2,693 - 1,481
Regulatory Liabilities 526 - 526 - - OPEB Costs 542 4 521 17 -
Other Noncurrent Liabilities 1,121 92 236 582 211 Total Noncurrent
Liabilities 6,313 46 3,976 599 1,692 LONG-TERM DEBT - excluding
amount due within one year 12,605 1,461 5,095 3,316 2,733
SUBSIDIARIES' PREFERRED SECURITIES 80 (434) 80 - 434 COMMON
STOCKHOLDERS' EQUITY 5,500 (1,460) 2,584 2,587 1,789 TOTAL
LIABILITIES AND CAPITALIZATION $27,715 $(355) $13,306 $7,691 $7,073
Note 1: Includes amounts related to transactions with affiliates.
Note 2: Primarily includes PSEG (parent company), PSEG Services
Corp. and intercompany eliminations. PUBLIC SERVICE ENTERPRISE
GROUP CONSOLIDATING BALANCE SHEET As of December 31, 2003
(Unaudited, $ Million) PSEG PSEG ENERGY PSEG OTHER PSE&G POWER
HOLDINGS (Note 2) CURRENT ASSETS Cash and Cash Equivalents $452
$181 $140 $27 $104 Accounts Receivable (Note 1) 1,549 (393) 804 843
295 Other Current Assets 1,659 (276) 377 909 649 Total Current
Assets 3,660 (488) 1,321 1,779 1,048 NET PROPERTY, PLANT AND
EQUIPMENT 12,422 128 6,535 4,581 1,178 NONCURRENT ASSETS Regulatory
Assets 4,801 - 4,801 - - Long-Term Investments 4,808 51 131 43
4,583 Nuclear Decommissioning Fund 985 - - 985 - Other Noncurrent
Assets 1,382 17 374 343 648 Total Noncurrent Assets 11,976 68 5,306
1,371 5,231 TOTAL ASSETS $28,058 $(292) $13,162 $7,731 $7,457
CURRENT LIABILITIES Short -Term Debt $1,027 $299 $423 $- $305
Accounts Payable (Note 1) 1,216 (358) 717 800 57 Other Current
Liabilities 1,101 64 406 265 366 Total Current Liabilities 3,344 5
1,546 1,065 728 NONCURRENT LIABILITIES Deferred Income Taxes and
ITC 4,196 (6) 2,715 - 1,487 Regulatory Liabilities 536 - 536 - -
OPEB Costs 532 4 509 16 3 Other Noncurrent Liabilities 896 83 187
429 197 Total Noncurrent Liabilities 6,160 81 3,947 445 1,687
LONG-TERM DEBT - excluding amount due within one year 12,945 1,462
5,129 3,616 2,738 SUBSIDIARIES' PREFERRED SECURITIES 80 (509) 80 -
509 COMMON STOCKHOLDERS' EQUITY 5,529 (1,331) 2,460 2,605 1,795
TOTAL LIABILITIES AND CAPITALIZATION $28,058 $(292) $13,162 $7,731
$7,457 Note 1: Includes amounts related to transactions with
affiliates. Note 2: Primarily includes PSEG (parent company), PSEG
Services Corp. and intercompany eliminations. PUBLIC SERVICE
ENTERPRISE GROUP CONSOLIDATING STATEMENTS OF CASH FLOWS For the
Quarter Ended March 31, 2004 (Unaudited, $ Million) PSEG PSEG
ENERGY TOTAL OTHER PSE&G POWER HOLDINGS (Note 1) CASH FLOWS
FROM OPERATING ACTIVITIES: Net Income (Note 2) $271 $(5) $124 $109
$43 Adjustments to Reconcile Net Income to Net Cash Flows From
Operating Activities: Depreciation and Amortization 172 3 127 27 15
Amortization of Nuclear Fuel 23 - - 23 - Non-Cash Items 67 8 105 24
(70) Net Decrease (Increase) in Accounts Receivable & Unbilled
Revenue (84) (101) (75) 6 86 Net Decrease in Accounts Payable (168)
(57) (14) (50) (47) Net Change in Other Current Assets and
Liabilities 634 149 56 411 18 Other 35 (15) (39) 20 69 Net Cash
Provided by (Used In) Operating Activities 950 (18) 284 570 114
CASH FLOWS FROM INVESTING ACTIVITIES: Additions to Property, Plant,
and Equipment (235) (1) (75) (147) (12) Proceeds from the Sale of
Investments 49 - - - 49 Other 19 (103) 1 (111) 232 Net Cash (Used
In) Provided By Investing Activities (167) (104) (74) (258) 269
CASH FLOWS FROM FINANCING ACTIVITIES: Net Change in Short-Term Debt
(10) (10) - - - Issuance of Project- Level/Securitization Long-Term
Debt 489 - - 488 1 Redemption of LTD and Project-
Level/Securitization LTD (1,108) - (32) (800) (276) Return of
Capital - 75 - - (75) Issuance of Common Stock/Contributed Capital
21 21 - - - Cash Dividends Paid on Common Stock (130) (130) - - -
Other (26) (13) - - (13) Net Cash Used In Financing Activities
(764) (57) (32) (312) (363) Effect of Exchange Rate Changes on Cash
(1) - - - (1) Net Increase (Decrease) in Cash and Cash Equivalents
18 (179) 178 - 19 Cash and Cash Equivalents at Beginning of Period
452 181 140 27 104 Cash and Cash Equivalents at End of Period $470
$2 $318 $27 $123 For the Quarter Ended March 31, 2003 (Unaudited, $
Million) PSEG PSEG ENERGY TOTAL OTHER PSE&G POWER HOLDINGS
(Note 1) CASH FLOWS FROM OPERATING ACTIVITIES: Net Income (Note 2)
$681 $(8) $100 $547 $42 Adjustments to Reconcile Net Income to Net
Cash Flows From Operating Activities: Depreciation and Amortization
99 - 66 23 10 Amortization of Nuclear Fuel 23 - - 23 - Non-Cash
Items (314) 20 38 (339) (33) Net Decrease (Increase) in Accounts
Receivable & Unbilled Revenue (205) 227 (211) (200) (21) Net
Increase (Decrease) in Accounts Payable 115 (164) 14 314 (49) Net
Change in Other Current Assets and Liabilities 169 (92) 76 205 (20)
Other 73 (14) - 42 45 Net Cash Provided by (Used In) Operating
Activities 641 (31) 83 615 (26) CASH FLOWS FROM INVESTING
ACTIVITIES: Additions to Property, Plant, and Equipment (315) (1)
(91) (153) (70) Proceeds from the Sale of Investments (18) - - -
(18) Other (4) 142 8 (212) 58 Net Cash (Used In) Provided By
Investing Activities (337) 141 (83) (365) (30) CASH FLOWS FROM
FINANCING ACTIVITIES: Net Change in Short-Term Debt (39) 167 (58)
(239) 91 Issuance of Project- Level/Securitization Long-Term Debt
401 - 150 - 251 Redemption of LTD and Project- Level/Securitization
LTD (501) - (180) - (321) Return of Capital - - - - - Issuance of
Common Stock/Contributed Capital 21 (149) 170 - - Cash Dividends
Paid on Common Stock (122) (122) - - - Other 1 (5) - - 6 Net Cash
(Used In) Provided By Financing Activities (239) (109) 82 (239) 27
Effect of Exchange Rate Changes on Cash - - - - - Net Increase
(Decrease) in Cash and Cash Equivalents 65 1 82 11 (29) Cash and
Cash Equivalents at Beginning of Period 149 - 35 26 88 Cash and
Cash Equivalents at End of Period $214 $1 $117 $37 $59 Note 1:
Primarily includes activities at the parent and intercompany
eliminations. Note 2: Net Income includes preferred stock dividends
relating to PSE&G of $1 million and $1 million, Global of $4
million and $4 million and Resources of $1 million and $2 million
for the quarters ended March 31, 2004 and 2003, respectively.
PUBLIC SERVICE ENTERPRISE GROUP Quarter-to-Quarter EPS
Reconciliation March 31, 2004 vs. March 31, 2003 (Unaudited) PSEG
1st Quarter 2003 Net Income (as restated)* $3.01 Loss from
Discontinued Operations (ET and Global's investments in Rades) 0.06
Cumulative Effect of a Change in Accounting Principal (adoption of
Asset Retirement Obligation at Power) (1.64) PSEG 1st Quarter 2003
Income from Continuing Operations (as restated)* $1.43 PSE&G
B/(W) 1st Quarter 2003 $0.44 Electric Rate Case 0.10 Weather
(degree days were 47 DD warmer or 1.7%) (0.01) Other Margin
(volumes and demand) 0.02 Additional Shares Outstanding (2003
Issuance, DRIP) (0.03) 1st Quarter 2004 $0.52 $0.08 PSEG Power 1st
Quarter 2003 $0.78 Lower Operating Margins (MTC and BGS
seasonality) (0.18) O&M and Depreciation (0.08) Interest
Expense (Midwest Financing costs) (0.04) Additional Shares
Outstanding (2003 Issuance, DRIP) (0.02) 1st Quarter 2004 $0.46
$(0.32) PSEG Energy Holdings 1st Quarter 2003 (as restated)* $0.25
Global Operations- flat - Additional Shares Outstanding (2003
Issuance, DRIP) (0.01) (0.01) Resources Termination of EME-Collins
Lease (0.07) Operations 0.02 (0.05) Energy Holdings (Parent) (0.01)
1st Quarter 2004 $0.18 $(0.07) Public Service Enterprise Group 1st
Quarter 2003 $(0.04) Interest Expense 0.01 Other 0.01 1st Quarter
2004 $(0.02) $0.02 PSEG 1st Quarter 2004 Income from Continuing
Operations $1.14 Loss from Discontinued Operations (Global's
Investments in Rades - includes operating earnings offset by loss
on disposal) - PSEG 1st Quarter 2004 Net Income $1.14 * See
Attachment 1, Note 3 for further details regarding the 2003
restatement. PSEG Global L.L.C. Investment Results For the Quarter
Ended March 31, 2004 (Unaudited, $ Million) For the Quarter Ended
As of March 31, 2004 March 31, Non- 2004 Recourse Capital At
Interest Region Risk (A) EBIT (B) (C) North America $399 $51 $-
Latin America 1,573 33 8 Asia Pacific 185 3 - Europe 284 13 8 India
95 7 5 Total $2,536 $107 $21 For the Quarter Ended As of March 31,
2003 December 31, Non- 2003 Recourse Capital Interest Region Risk
(A) EBIT (B) (C) North America $424 $59 $- Latin America 1,575 27 7
Asia Pacific 180 2 - Europe 309 4 - India 91 - - Total $2,579 $92
$7 Reconciliation of EBIT to Income from Continuing Operations for
Quarter Ending: 3/31/2003 3/31/2004 Total Global EBIT $107 $92
Interest Expense 38 26 Income Taxes 18 11 Minority Interest 2 5
Preference Units Distributions 4 - Preferred Stock Dividends - 5
Income from Continuing Operations $45 $45 (A) Total capital at risk
includes Global's gross investments, net of equity adjustments,
non-recourse debt at the project level and including equity
commitment guarantees. (B) Includes Global's share of net earnings,
including interest expense and income taxes, for investments
accounted for under the equity method of accounting. (C)
Non-recourse interest is interest expense on debt that is
non-recourse to Global. PUBLIC SERVICE ELECTRIC & GAS Sales and
Revenues to Customers March 2004 (Unaudited, $ Million) Electric
Sales Three Change Twelve Change Sales (millions kwh) Months vs.
Months vs. Ended 2003 Ended 2003 Residential 3,145 1.8% 12,856
-2.7% Commercial 5,662 5.3% 22,567 1.9% Industrial 1,555 -0.5%
6,614 -2.1% Total 3.3% -0.2% Revenue (in millions) Residential $357
23.3% $1,406 7.7% Commercial 407 -2.8% 1,822 -0.3% Industrial 71
-32.5% 379 -20.2% Total 2.6% 0.0% Gas Sold and Transported Three
Change Twelve Change Sales (millions therms) Months vs. Months vs.
Ended 2003 Ended 2003 Residential Sales 732 -1.3% 1,530 0.5%
Commercial - Firm Sales 299 -1.7% 606 -0.5% Commercial - Interr.
& Cogen 13 27.6% 49 -6.9% Industrial - Firm Sales 27 -3.0% 56
-4.7% Inustrial - Interr. & Cogen 84 -29.9% 474 -8.5% Total
1,154 -4.1% 2,716 -1.7% Gas Transported 270 -39.8% 1,164 -10.5%
Revenue (in millions) Residential Sales $527 13.2% $1,110 24.2%
Commercial - Firm Sales 236 -6.1% 456 8.7% Commercial - Interr.
& Cogen 9 17.3% 33 15.7% Industrial - Firm Sales 22 -8.0% 42
4.4% Industrial - Interr. & Cogen 58 -36.4% 294 8.1% Total $852
1.4% $1,936 17.0% Gas Transported 383 -5.7% 838 -0.1% Three Change
Twelve Change Weather Data Months vs. Months vs. Ended 2003 Ended
2003 Degree Days - Actual 2,776 -1.7% 5,112 -1.3% Degree Days -
Normal 2,634 4,867 THI Hours - Actual 3 -76.9% 14,805 -20.4% THI
Hours - Normal 28 14,878 PUBLIC SERVICE ENTERPRISE GROUP
STATISTICAL MEASURES (Unaudited) March 31, March 31, 2004 2003
Weighted Average Common Shares Outstanding (000's) - QTR Basic
236,193 225,342 Diluted 238,852 225,714 Stock Price at End of
Period $46.98 $36.69 Dividends Paid per Share of Common Stock - QTR
$0.55 $0.54 Dividend Payout Ratio* 64.1% 82.8% Dividend Yield 4.7%
5.9% Price/Earnings Ratio* 13.7 14.1 Rate of Return on Average
Common Equity* 16.5% 14.0% Ratio of Earnings to Fixed Charges 2.63
3.01 Book Value per Common Share $23.26 $20.35 Market Price as a
Percent of Book Value 202% 180% Total Shareholder Return - QTR
Ending 8.5% 16.1% Total Shareholder Return - 12 Months Ending 34.6%
-14.7% Generation by Fuel Type - Quarter Ending March 31, 2004
March 31, 2003 Nuclear - NJ 38% 38% Nuclear - PA 20% 20% Total
Nuclear 58% 58% Fossil - Coal - NJ 9% 14% Fossil - Coal - PA 13%
11% Fossil - Coal - CT 6% 6% Total Coal 28% 31% Fossil - Oil &
Natural Gas - NJ 9% 7% Fossil - Oil & Natural Gas - NY 2% 0%
Fossil - Oil & Natural Gas - CT 3% 3% Fossil - Oil &
Natural Gas - Midwest 0% 0% Total Oil & Natural Gas 14% 10%
Fossil - Pumped Storage 0% 1% 100% 100% *Calculation based on
earnings from continuing operations for 12-month period ending
DATASOURCE: Public Service Enterprise Group Incorporated CONTACT:
Paul Rosengren, +1-973-430-5911, or Leslie Cifelli,
+1-973-430-3809, both of Public Service Enterprise Group
Incorporated Web site: http://www.pseg.com/
Copyright