ML20052D886
| ML20052D886 | |
| Person / Time | |
|---|---|
| Site: | Zimmer |
| Issue date: | 12/31/1981 |
| From: | AMERICAN ELECTRIC POWER CO., INC., COLUMBUS & SOUTHERN OHIO ELECTRIC CO. |
| To: | |
| Shared Package | |
| ML20052D873 | List: |
| References | |
| NUDOCS 8205070282 | |
| Download: ML20052D886 (31) | |
Text
Cohimbus and Southern Ohio Electric Company ANNUAL REPORT 1981 AMERICAN ELECTRIC POWER SYSTEM l
4 1
j885?88lt2a888ljg
Contents
!!ackground of the Company . 3 Directors and Officers of the Company 4 Selected Financial Data . 5 Management's Discuwon and Analysis of Results of Operations and Financial Condition 47 Auditors
- Opinion , 8 Statements of Income .
9 Italance Sheets 10-11 Statements of Sources and Applications of Funds 12 Statements of Retained Earnings 13 Notes to Financial Statements !&25 Operating Statistics 2427 i rice Range of Cumulative Preference and Cumulative Preferred Stock 28-29
COLUMBUS AND SOUTHERN OHIO ELECTRIC COMPANY
.?i$ North Front Street, Columbus, Ohio 4321$ '
Background of the Company CoLUMHUS AND SotrTHERN Omo ELECrRIC COMPANY (the Company)is a subsidiary of American
- . Electric Power Company, Inc. ( AEP) and is engaged in the generation, purchase, transmission and f- distribution of electric power. The Company was organized under the laws of Ohio in 1906 and became part of the AEP System in 1980. The Company's principal executive offices are in Colum-
- bus, Ohio, i
The Company has two w holly owned subsidiaries, Simco inc. and Colomet. Inc. Simco Inc. is
! engaged in leasing coal-mining equipment and related mining operations. Colomet, Inc. is engaged in i' real estate activities.
i The Company serves approximately 466,000 customers in central and southern Ohio. Approx- 1 imately 80% of the Company's revenues are derived from the Columbus metropolitan area which is a l governmental, educational, wholesale and retail distribution center with a wide diversity ofindus-tries. Among the principal industries served are food processing, research, chemicals, stone,' clay, f glass and concrete products and electrical and electronic machinery. The Company also supplies wholesale electric power to other electric utilities and to municipally owned distribution systems within the service area.
The Company's gener'ating plants and important load centers are interconnected by a high-voltage transmission network. This network in turn is interconnected either directly or indirectly with the following other AEP System companies to form a single integrated power system: Appala-chian Power Company, Indiana & Michigan Electric Company, Kentucky Power Company, Kings-port Power Company, Michigan Power Company, Ohio Power Company and Wheeling Electric i
Company. The Company is also interconnected with the following other utilities: The Cincinnati-Gas & Electric Company, The Dayton Power and Light Company, Ohio Edison Company and Ohio Valley Electric Corporation.
T n
3
Directors J(niN E. AnTeica Rourur J. GRUESER FRANK N.IliiN JA% irs F. Kentz (c)
W. A. Canuu:. Jn. BEN T. RAY )
Ricirran E. Disanow RAu11 E. WAun JonN E. Dol.AN W. S. Winit.Jn.
Antista G. Gai EN (b)
Officers W S. Win rE. Jn. (a) JonN hl. ENiEny PETER J. DENI AnIA (a)
Chairrnan of the Board and Vice President and Assistant Treasurer and Chief Executive Oj]icer Treasurer Principal Accounting Rontar J. Gaur.sr n (d) RAYNioND A. IID%i ANN 0ff C#I Vice Chairnian of Vice President and h1ARGARET E. hicCriN (d) the Board Controller Secretary and Assistant lli N T. RAY J(nN ll INSKLEP (d) Treasurer President and Chief Vice President- JonN R. ElenioN (a) (h)
Operating OJ]icer Purchasing Secretary J Aurs P. FENSTfu%IAKl:R GERAt.n P. h! ALoNEY (a) QUINIIN E.130WERs Senior Vice President- Vice President and Assistant Controller Operations Principal Financial and Assistant Secretary lini n V. SnNE (d) OllICC' RicnAnn P. IloURGI RiE (f)
Senior Vice President- RicnARn hf. h1ChfoRRoW Assistant Secretary Custanter Service Vice Pr:sident-Line and 3any p, p,gogyg,o,3g, ga; EvrN E. Wu.uAus Risk Managentent Assistant Secretary Senior Vice President- nur R. hicNAccuroN (g) WiluAM E. OLsoN (a)
Adnunistration P)tce Pressdent-Eniplayee
\,
Assistant Secretary 1,7 ANK N. !!iEN (a) Relations Voce Pres' dent Wili.iru 3. PaocursKA (a)
EvoeNe D. h1Evtus (c) 3 Assistant Secretan-Ricitano A. llenci nr ((,f(,{,7ff JoAN Sr. J oits (a) (h)
Vic e i rc sedent' Servi c3 Assistant Secretary Distnhution and Roar RT E. SisiNota (g)
Service Vice President-Rates and LEoNAnn V. AssANTe (a)
Corporate Affairs Assistant Treasurer Ricurun E. Disunos (a)
Vice President SrANi ty P. ToutsEK Wiu.lui N. D'ONoEnio (a)
JonN E. DotAN (a, Via President-Corporate Assistant Treasurer Vice President Planning GenAu> R. KNonn (a)
Wiuis C. WEtcn A sistant Treasurer A. Jost en Down (a) %,AYNE L. PiDocK Vice President Via Presu. lent-Land Managernent Assustant Treasurer (as Principal occupation is as an employee of American Electric ther Service Corporation of Columbus. Ohio.
(b) Resigned Januuy 1.1982 (c) Resigned August 31,1981 (d) Resigned Februsy 1.1982 ,
(c) Resigned February I.1981 l (f) Resigned October 30,1981 L _ (g) Resigned Much I.1982 l (h) Elected March 10.1982 -
Col.UtfilUS AND SOUTilERN 01l10 ELECTRIC CO.t!!MNY l
Selected Financial Data l
l l
Year Ended December 31, 1981 1980 1979 1978 1977 (in thousands)
INCONIE STATENIENTS DATA: i
$f01,093 $376,926 $323,%8 OPERATING REVENUES - ELtcTaic . .. . $629,244 $432,842
, TOTAL OPFRATiNG EXPENSES .. . 507,898 393,549 342,770 310,544 247,942 OPtaATiNo INcour . . . . . . . . . .. 121,346 107,544 90,072 66,382 76,026 TOTAL Ornou INcouE ann DEnectioNs .... 22,002 19,725 20,963 15,338 11,154 INCOME IlEloRE INTEREST CilARGEs 143,348 127,269 111,035 81,720 87,180 ,
NET INTrnEsT CHAacEs .. ... . 63,980 64,774 51.058 41.893 32.846 NET INCOME - before nonreCurTing cumulative effect of accounting change 79,368 62,495 59.977 39,827 54,334 NoNutcenniso Couus.ATivE Enocr or AccoONTNG CH ANGE . ... . .. - 6,457 - - -
Ntr INCOME - DCfore prC[ erred and preference stock dividend requirements 79,368 68,952 59,977 39,827 54,334 l'RLILRREn ann PRIIERENCE STOCK DIVinENo RrovinEMENTs . ,. . ... 21,339 14,723 13,890 12,021 10,090 I;ARNiNos APPLICAHLE To COMMON Stock . $ 58,029 $ 54,229 $ 46,087 $ 27,806 $ 44,244 December 31, 1981 1980 1979 1978 1977 (in thousands)
HAI.ANCE SIIEFTS DATA:
Ei rcTuic UTH iTY PLANT . .. . $1,737,241 $1,637,356 $1,582.543 $1,476,436 $1,353,974 AccouuLAirn Puovisios ton Di:rwiciATioN 358,138 324.976 294.349 263.936 231,438 Nti Eucinic UTuny PLANT ... . . 1,379,103 1.312,380 1,288,194 1,212,500 1,122,536 TOTAL Assris . . . . .... . . .. 1,634,827 1,555,272 I,448,666 1,360,826 1,254,851 COMMON stock, PREMlUMS oN CAPITAL Stock AND Oruru PAnuN CAPITAL ..... . 360.642 320,642 290,014 285,4 % 282,685 RETAINro EARNINGS , .. .. .. . . . 145,M 9 143,102 140,851 129,370 138,898 CUuur.ATivE PREFERRi n SmcK:
Nor Sunsrcr To NI ann 4 TORY RrnEumos 8,304 8,304 98,354 98,354 98,354 Sunn.cr To hl4NnArony Rinrumos 106,780 91,780 60,000 60,000 20,000 CeuuLATive PuttTatNcE STOCK ... .. 54,834 54,834 - - -
1.oNG.TI:RM Dl;HT (3) .. .. . 709,954 669,587 649,828 592,321 548,862 00 Including portion due within one > car.
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Management s Discussion and Analysis of Results of Operations and Financial Condition The following are the more signilicant factors afTect- Construction and Financing Program ing the financial condition ofIlye Company as reflected fixpenditutes for the Company's construction pro-m the results ofoperatmns. I his discussion tefers to the .
. gram over the three-year per od i 1982-1984 are este financial statements appearing on the tidlowing pages.
suated to be approximately $361,500,uM). Substantial additional expenditures may be required if existing Operating Revenues and I..xpemes generating plants have to be modified or require adde-Operating revenues incr eased 2671 in 1981 and 169f in tional facilities to comply with present and future en-1980 compared to increases in energy sales of 36%> and vironmental quality standards In recent years, the 1 29, respectis ely. The smaller incr ease in 1981 revenues Company's construction program has been alrected by j as compared with energy sales was the result of higher substantial increases in construction costs and difficul-sales for resale which produce lower revenues per ties in obtaining financing for the program due to high kilowatt hour than other sales. The greater proportion- costs of capital and dividend or interest coverage re-ate increase in 1980 :evenues over energy sales was the quirements. The Company's construction program is result of a rate increase implemented during 1980 and reviewed continuously and revised from time to time in the recovery of higher fuel costs through fuel adjust. response to revised projections of load growth and ment provisions. Revenues in 1980 also increased due changes in the cost and availability of capital. in recent to an accounting change, adopted in 1980, to record years, these reviews have resulted in extending con-unbilled revenues. struction schedules of a number of projects with the Approximately 75% of the Company's evenues from objective of reducing the level of annual construction kilowatt-hour sales in 1981 were collected from retail expenditures. Ilowever, deferrals of construction proj-customers (residential, commercial, and indmirial). In ects may have an adverse etrect on the quality of service 1981, revenues attributable to retail customers rose 50; provided to customers in the future, and any resulting or.129 increase in kilowatt-hour sales while 1980 retail reductions in current construction costs may, in the sevenues and kilowat hour sales were up 169 and 4% long run, be at least partially offset by cancellation ie pectively. charges and general inflationary trends. In addition, Wholesale revenues increased significantly in 1981 when the completion date of a project under construc-on a large increase in kilowatt hour sales and increased tion is substantially delayed, it becomes more expen-59 in 1980 on an i 19 decline in kilowatt hour sales. On sive, both because of the fi>regoing factors and because January 1,1981, the Company became a participant in certain costs, such as allowance ihr funds used during the Ai!P System power pool. As a participant, the construction ( Al UDC) and other overheads, continue Company is able to take advantage of Ai!P's generating to accine until the facility is placed in commercial oper.
capability and trammiwion system which has increased ation, wholesale transactions between the Company and it is estimated that approximately 65CF of the Com-other utilities. pany's projected construction expenditures for 1982-Operating espenses rose 299 in 1981 and 159 in 1980 1984 will be financed with internally generated funds.
I due primarily to fuel ihr electric generation which in. The additional amounts needed will have to be raised ercased 149 in 1981 and 10'T in 1980. Purchased and esternally through sales of securities and investments interchange power incicased substantially in 1981 also in the Company's common equity by AIIP. The Com-as a result of the Company's participation in the Ai!P pany initially finances current constsuction expendi-System power pool. Ituture fuel expenses may be af- tures in excess of available internally generated funds
! fected by the powibility of more stringent environmen- by issuing unsecured short-term debt. Short term debt tal restrictions on burning cer4ain types of coal. is then periodically reduced with the proceeds of sub-Whether or not continued increases will adversely af- sequent sales oflong term debt securities and preferred feet earnings will depend on the Company's ability to stock. Prior to the acquisition of the Company by Al!P, reemer those costs promptly in the face of e! Torts by proceeds from the sale of common stock were also used comumer groups and others to delay or reduce rate to reduce short-term debt. Additional funds are now incicases and to climinate or reduce the extent of cov- obtained through cash capital contributions from the crage of fuel adjmtment clauses. parent company which are ultimately financed through the sale of Al?P's common stock.
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COLUSIBUS AND SOUTHERN OHIO ELECTRIC COAfPANY l
The amount of short-term debt which the Company Net income may issue is primarily limited by regulatory restrictions Net income before preferred and preference div- l under the Public Utility Holding Company Act of 1935. idends increased 159; in 1981. Net income for 1980 also At December 31, 1981, the Company was permitteg increased 159f. The 1980 increase was largely attributa-under these restrictions to issue a total of approxi- ble to adopting the unbilled method of recording rev-mately $72,(XXI,(XX) of short-term debt. On the same enues. Total AFUDC included in net income was 339F date, the Company had outstanding unused short-term in 1981,2607 in 1980 and 32Cf in 1979. The increase in bank lines of cred,t,i many of which are shared with 1981 reflects an increase in the accrual rate. The de-other AF.P companies. of approximately 5339,000,(HX). crease in 1980 relates to the inclusion in rate base of part llank lines of credit may be withdrawn by the banks of the construction expenditures related to the Zimmer extending them at any time and require the maintenanc nuclear unit in the Company's most recent rate case.
of compensating deposit balances or the payment of AFUDC does not represent cash income or a reduction fees m lieu of deposits.
in actual interest expense, but is an accounting conven-In order for the Company to issue add. .itional long-tion, required by regulatory systems of accounts. The term Jebt and preferred stock,it is necessary to comply with earnings coverage requirements contained in e of bormwed funds used for construction and a reasonable rate of return on other funds when so used is mortgage bond and debenture mdentures and m the
, capitalized as a cost of construction projects with a charter. The issuance of additional long-term debt (ex-concurrent credit to the Statement of income. The cept to refund maturing long-term debt) requires pre-amount capitalized is generally included in the plant tax earnings equal to at least Iwice the annual interest investment base for setting rates and recovered through charges on long-term debt, giving ef fect to the issuance depreciation charges included in the rates after the of the new debt, for a period of 12 consecutive months pmject h placed in commerdal omann.
within Ihe 15 months immediately preceding the date of the new issue. To issue additional preferred stock, the IslTects of Inflation Company must have after-tax gross income at least equal to one and one-half times annualinterest charges The high rates ofinflation have had a severe elTect on and preferred and preference dividends, giving effect to the Company's revenues, expenses and net income that the issuance of the new preferred stock, for the same is not readily evident in conventional financial state-period. At December 31,1981. the long-term debt and ments. For additional information on the effects ofin-preferred stock coverages of the Company were 2.37 flation, refer to Note 13 of Notes to Financial State-and 1.60, respectively. ments which presents a statement of income for 1981, in view of these restrictions on the issuance of addi- adjusted for the effects ofinflation, and a comparison of tional debt securities and preferred stock, it is evident selected supplementary data for a three-year period, that it will be possible to meet the capital requirements similarly adjusted, of the Company's construction program only if rate increases over the next several years are suf ficient to maintain the earnings levels required to issue the neces-sary amounts oflong-term debt and preferred stock and to provide an appropriate return on new equity invest-ment.
7
Auditors' Opinion Deloitte Haskins Sells
% t.,o e~,w sem Ccm'ba 0me 43215 s'4r 221 ? )00 c,neotsasos To the Shareowners and Board of Fe br uary 23, 1982 Directors of Columbus and Southern Ohio Electric Company:
We have examined the balance sheet of Columbus and Southern Ohio Electric Company as of December 31, 1981 and the related statements of income, retained earnings and sources and applications of funds for the year then ended. Our examina-tion was made in accordance with generally accepted auditing standards and, accordingly, included such tests of the account-ing records and such other auditing procedures as we considered necessary in the circumstances. The financial statements of Columbus and Southern Ohio Electric Company for the years ended December 31, 1980 and 1979 were examined by other auditors whose report thereon, dated February 6, 1981, expressed an unqualified opinion except as to the year ended December 31, 1980 was modified as to consistency with respect to the change in 1980 (with which they concurred) to the unbilled method of recognizing revenues as discussed in Note 2 of Notes to Financial Statements.
In our opinion, the financial statements for 1981 present fairly the financial position of Columbus and Southern Ohio Electric Company at December 31 1981 and the results of its operations and its sources and applications of funds for the year then ended, in conformity with generally accepted account-ing principles applied on a basis consistent with that of the preceding year subsequent to the change to the unbilled method of recognizing revenues discussed above.
/
8
COLUSIBUS AND SOUTHERN OHIO ELECTRIC COAIPANY Statements of Income Year Ended December 31.
1981 1980 1979 (in thousands)
Ori.u AriNo REvtNets - EttcTurc . . . .. .. .... .. .. . $629,244 $501,093 $432,842 Ort.nATiNo ExetNsts:
Operation:
Fuel for Electric Generation . . . . .. 172,148 151.018 137,078 Purchased and Interchange Power (net) .. .. 75,637 (147) (1,785)
Other . .. .. ... . . . . . .. 88,800 82,400 69,345 Maintenance ... . . . . .. . ... . 48,890 49,516 37,776 Depreciation . .. .... .. . . .. . 43,366 41,705 39,843 Taxes Other Than Federal income Tax s .. . . 47,736 40,799 38,*93 Federal Income Taxes ... . . .. . . . 31,321 28.258 22,320 Total Operating Expenses . . 507,898 393,549 342,770 Ort.u Anno INcout .. .. . . . .. . 121,346 107,544 90.072 Oriti:n INCOME AND Dl'DUciloNS:
Allowance for Other Funds Used During Construction 14,924 8,854 9,825
- Equity in Earnings of Subsidiary Companies . . I,557 2,136 1,727 Miscellaneous Nonoperating income Less Deductions . 5,521 8,735 9,411 Total Other Income and Deductions .. . 22,002 19,725 20, % 3 INcour litionE INti:Ri sr Cii Ancts , . . 143,348 127.269 111,035 INit ursT CliAucts:
Interest on Long. term Debt . .. . .... . 68,088 57,243 50,719 Interest on Short. term Debt . . . .. . . .. .. . 6,570 15,975 8,993 Miscellaneous Interest Charges . ... . . . . 912 474 422 Total Interest Charges . . . . . . 75,570 73,692 60,134 Allowance for Borrowed Funds Used During Construction (credit) ..... ...... . .. . .. . (11,590) (8.918) (9,076)
Net interest Charges . . . . _ 43,980 64.774 51,058 Ntr INcout 11 ioni: NoNurcunniNo CUucLAuvr Etiir i or Accot:NUNG Cil ANGE . .. .... . . . 79,368 62,495 59,977 NosuiconniNo Ceuti Auvt Eiricr or AccoUNnNG CurNor (nct of $5,501.000 applicable taxes) ... .. .
- 6,457 -
Ntr INeout Arai n NoNuicenniNo CouUi.Anyt Eriicr or AccoUNHNO CuANGE - before preferred and preference stock dividend requirements . .... .... . 79,368 68.952 59,977 PRI I rRRED AND PRIIi'Ri Ncr Stock Divmi ND RI QUiREMrNrs .. 21,339 14,723 13,890 UAusiNos ArtiicAntt to CouuoN stock , .. . ..... .. $ 58,029 $ 54,229 $ 46,087 Pro forma amounts assuming the method of recording unbilled revenues is applied retroactively:
Earnings Applicable to Common Stock ....... .. . ... $ 47,772 $ 45,815 See Notes to financial Statements.
9
Balance Sheets December 31.
1981 1980 (in thousands)
ASSETS EtirrRic UUUTY PLANT:
Production .. . . .. ..... $ 666,445 5 655.087 Transmission ... .. . . .. . . 248,405 244,570 Distribution .. . . . . . . . 414,716 391,716 General and hiiscellaneous .. . .. 58,027 56,859 Construction Work in Progress . . .. . 349,648 289,124 Total Electric Utility Plant . 1,737,241 1.637.356 Less Accumulated Provision for Depreciation . . . 358,138 324.976 Electric Utility Plant Less Provision . . . 1,379,103 1.312.380 OriiER PROPERTY AND INVESTMENTS . .. 27,178 28.021 Ct'RRENT Assets:
Cash . . .. . .. . . . . . .. 3,747 5,937 Special Deposits and Working Funds ... 9,405 8.540 Accounts Receivable:
Customers . . . . . 33,075 36.618 Associated Companies . . . 7,056 101 hiiscellaneous . .. . .. . 5,093 3,938 Accumulated Provision for Uncollectible Accounts . (678) (680) hlaterials and Supplies (at average cost):
Fuel . .. . . . . . .. 39,616 53.342 Construction and Operation Afaterials and Supplies . 22,018 17,855 Accrued Utility Revenues .. .. .. .. .. . 14,011 13,891 Prepayments and Other Current Assets . ..... 8,335 7.349 Total Current Assets . . ..... . 141,678 146.891 DEI ERRED DrBITS:
Unamortized Debt Expense . . ........ . 2,932 3.178 Property Taxes . .. .. ..... . . . . . 26,295 23.220 Deferred Collection of Fuel Costs . .. . .. . ... 5,118 -
Other Work in Progress ... ... . .. .. ... . ... 44,247 36,655 Other Deferred Debits . . .. .. . .. .. . . . 8,276 4.927 Total Deferred Debits .. . . . 86,868 67,980 Total .. . ... . . . . . .... $1,634,827 $1,555.272 See Notes ta financial Statements.
10
i COLU.\! BUS AND SOUTilERN 01110 ELECTRIC CO.t!PANY t
December 31.
1981 1980 (in thousands)
CAPITALIZATION AND LIABILITIES C API T A UZATION:
Common Stock - No Par Value:
Authorized - 24.(XX),000 Shares Outstanding - 16.410.426 Shares . .. . $ 41,026 $ 41,026 Premiums on Capital Stock . .. . .. 249,616 249.616 Other Paid-in Capital .... . . . .. ... 70,000 30.000 Retained Earnings .. ... . . .. . .. 145,049 143,102 Total Common Shareowner's Equity .. .. 505,691 463,744 Cumulative Preferred Stock:
t Not Subject to Mandatory Redemption .. . . .. 8,304 8.304 Subject to Mandatory Redemption . . ... 106,780 91.780 Cumulative Preference Stock . . .. . 54,834 54.834 1.ong-term Debt (less portion due within one year) . 657,692 654.722 Total Capitalization (less portion due within one year) . .. .. 1,333,301 1.273.384 CennENT LiAniuriEs:
Long-term Debt Due Within One Year .. .. . 52,262 14,865 Short-term Debt:
Notes Payable to aanks . . 26,6 % 48.032 Notes Payable to Other Financial Institutions . - 30,000 Accounts Payable:
General .. . .. .. . . .. 30,750 30,045 Associated Companies . . . . . . 1,732 538 Customer Deposits . .. . .. . . ... 2,248 1,800 Tases Accrued .. . ... . . 54,814 50,038 Interest Accrued . . .. . ... .. 17,2 % 17,184 Other Current I.iabilities .. . . . . .. .. 12,726 9.883 Total Current 1.iabilities .. ... .. .. .. 198,524 202.385 Comu rsu:Nis AND CONTINGENCIES (Note 10)
Di t tuurn Carnirs ann OPERAllNG RESERVES:
Deferred income Tases ...... . .. .. 45,031 34,165 Deferred Investment Tas Credits .. ... . ... . 51,855 42.728 Other Deferred Credits and Operating Reserves . ... . 6,116 2,610 Total Deferred Credits and Operating Reserves 103,002 79.503 Tot al . . . . . . . . ... .. . . . .. .. $_11 634,827 $ 1,555.272 1
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1 i
1 i
Statements of Sources and Applications of Funds Year Ended December 31, 1981 1980 1979 (in thousands)
Souncts or Fusos:
Funds from Operations:
Net income ......... .......... ..... . $ 79,368 $ 68,952 5 59,977 Principal Non-fund Charges (Credits) to income:
Depreciation .... ...... . ..... ... . . 43,529 41,705 39,843 Provision for Deferred Income Taxes (net) . 10,865 8,376 4,509 Deferred Investment Tax Credits (net) .... . . 13,687 14.629 5.768 Allowance for Other Funds Used During Construction (14,924) (8,854) (9.825)
Equity in Undistributed Earnings of Subsidiaries . (1,346) I,450 1,824 Other (net) . . . . . . . . . 1,016 1,176 831 Total Funds from Operations . 132,195 127,434 102,927 Funds from Contributions and Financings:
Contributions and Financings:
Common Stock .... ... ....
- 1,311 4,528 Capital Contributions from Parent Company . 40,000 30,000 -
Cumulative Preference Stock . . .. . - 54,667 -
Cumulative Preferred Stock . 14,497 49,415 -
Long-term Debt .... . 79,123 79,200 79,775 Short term Debt (net) . . . (51,336) 27.369 (2,769)
Total ..... ... ..... ..... . 82,284 241,962 81,534 1.ess Retirements of Cumulative Preferred Stock...
and Long. term Debt . . 39,093 182.082 22,532 Net Funds from Contributions and Financings . 43,191 59,880 59,002 Total Sources of Funds $175,386 $187,314 $161,929 APPL.lCATIONS OF FUNos:
Gross Additions to Utility Plant . . $108,%5 $101,904 $114,921 Gross Other Additions .. . . . 7,394 1,515 1,636 Total Gross Additions . . .... . 116,359 103,419 116,557 Allowance for Other Funds Used During Construction (14,924) (8.854) (9,825)
Net Additions to Utility Plant . . . 101,435 94,565 106,732 Dividends on Common Stock ... ....... . .... 55,467 38,041 34,606 Dividends on Cumulative Preferred and Preference Stock 21,339 14,723 13,890 Deferred Collection of Fuel Costs .. . 5,118 - -
Other items (net) ... ... ....... . . . . . 7,318 (676) 4,005 increase (Decrease) in Working Capital (a) . . . (15,291) 40,661 2.696 Total Applications of Funds .. . $175,386 $187.314 $161,929 (a) Excludes Long-term Debt Due Within One Year and Short-term Debt and is represented by increase (decrease) as follows:
Cash and Cash items . . $ (1,325) 3 3,230 $ 1,402 Accounts Receivable . . . . . .. . 4,568 4,265 469 Materials and Supplies .. . (9,563) 24.231 6,206 Accrued Utility Revenues. . . .. 121 13,891 -
Accounts Payable ... . . . . (1,898) (2,559) (2,624)
Taxes Accrued ... . ... .. . . . (4,776) 439 (10,484)
Other tnet) ...... . . . .... . . .. (2,418) (2.836) 7,727
$ (15,29!) $40.66i $ 2.6 %
5ee Nm to rmam ial statements.
12 s
~- N._
COLOAIB05 AND SOUTilERN OHIO El.ECTRIC COMPANl' l
\
- Statements of Retained Ean'iings t
i ,
p ,
Year Ended December 31. ,
1981 ,. 1980 1979 s - s (in thousands)
< x g Italance at Ileginning of [ car . . . .y.... . ..... . ... $143,102 ' . 3140,851 $129.370 Net income after Nonrecurring Cumulative Effect of Accounting Change . ..... . .... .. . . 79,368 68,952 59.977 p Total . . . . . . .. ....... .. .. . .... .. 222,470' , 209.803 189.347 N 'uctions: .g Dividends Declared: 'N ,
mommon Stock . . . . . . . . . . .. 55,467 38,011 34,606 Cumulative Preferred 3tock: s 4'.25 Ec Series . . . . ..... . .... . '. w . . . . 34 ;
169 440 4.65 % Series ........... .. . . .'5. ...
s i
23 154 419 10 % Series . .. ... . . . . .1 . ...h - . 210 740 1,800 7.52 % Series . 3... .. . .... ...'. . . . ' \. , 63 443 1,203 8.52 fc Series . .. .. ... . ... .. . . . . g, 79 621 1,704 10.52 % Series . .. . . . .. . . .. 187 826 2,104
$2.42 Series .. .. ...... . ..... . . . . .. 306 1,011 2,420 9.50 % Series .. .. . . . 5..... .. ... 3,800 3,800 3,800
$ 3.45 S e r i e s . . . . . . . . . . . . . . . . . '.w '. . . . . . .. 6,900 1,570 -
' [1.75 Series . . .. .... .. .. .. .. .... . . . 1,375 ' .
Oiinulative Preference Stock - $15.25 Series .. . ... 8,362 '5,38') -
0 Total Cash Dividends Declared ... . . . ... 76,806 52,764 48,496 Premium and Expense.on Retirement of Cumulative Preferred Stock .. .. . . . . . . . . .. .. ..
13.016 -
, Capital Stock Expense .. ... .. ...... ... .. .... 615, 921 -
Total Deductions ........7. .....,.. ..... 77,421 66,701 48,4 %
llalance at End of Year .. .. . ....... .. . .. .. . .. .. $145,049 $143.102 $140,851
' . g . -
- ~
See Notes to financial'. utements. . ~
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Notes to Financial Statements I, Significant Accounting Policies: Revenue and Fuct The common stock of the Company is w holly owned Prior to 1980. revenues were recorded as billed to by American Electric Power Company, Inc. (AEP). customers on a monthly cycle basis. In 1980, the Com-The Gnancial statements include the accounts of the pany began to record unbilled utility revenues (see Note Company and two wholly owned subsidiaries. Simco 2)-
Inc. and Colomet. Inc. Simco Inc. is engaged in leasing Effective July 1,1981, the Company became subject coal-mining equipment and related mining operations. to the Ohio fuel regulations adopted February 25,1981 Colomet, Inc. is engaged in real estate activities. The and. as authorized by the PUCO changed its method of Company accounts for its investment in such sub. accounting to defer recognition of fuel costs not recov-sidiaries by use of the equity method. cred through the fuel recovery mechanism. Under the The accounting and rates of the Company are subject new regulations, the PUCO establishes an electric fuel in certain respects to the requirements of the Public component (EFC) rate for a six month period based on Utilities Commission of Ohio (PUCO) and to the re. fuel costs of the prior six month period. Fuel costs not quirements of the Federal Energy Regulatory Commis. recovered through the application of the EFC rate are sion (FERC). The Gnancial statements have been pre. deferred and subsequently amortized in the period that pared on the basis of the accounts which are maintained such costs are renected in billings to PUCO jurisdic-for FERC purposes. tional customers. At December 31.1981, $5.118 000 of recoverable fuel costs were deferred. Prior to July 1.
Electric Utility Plant; Other Property and Investments 1981. the Comp my charged to expense the cost of fuel and Depreciation as it was consumed. The Company does not practice deferred fuel cost accounting for energy transactions Electric utility plant is stated at original cost. Gener-not subject to the PUCO's EFC regulations. Ohio law ally, the plant of the Company is subject to first and regulations require refunds of amounts collected mortgage liens.
through the fuel recovery mechamsm found by the The Company capitalites, as a construction cost, an PUCO. after audit and hearing. not to bejustified. Hear-allowance for funds used during construction, an item mgs to date have not required any sigmncant refunds.
not representing cash income, which is delined in the applicable regulatory systems of accounts as the net cost of boriowed funds used for construction purposes Deferred Federal income taxes, reduced where and a reasonable rate on other funds when so used. The elTective net-of tax rate used by the Company was applicable by investmeat tax credits, are provided by 9.50% in 1981. 8.71% in 1980 and 7.387c in I979 (applied the Company generally to the extent that such amounts on a semi-annual compound basis). are allowed for rate-making purposes. In accordance The Company proddes for depreciation on a w ith a PUCO rate order and the adoption ora net-of-tax straight line basis over the estimated usefullives of the allowance for funds rate, the Company records in other property. Provisions for depreciation, stated as a per, income rather than as a reduction in Federal income centage of the average balance of related electric prop. taxes, the tax benefits associated with borrowed funds erties, approximated 3.31% for 1981,3.297c for 1980 used to finance construction.
and 3.28% for 1979. The Company practices deferral accounting for the Operating expenses ue charged with the costs of elTect of tax reductions resulting from the application of labor. materials, supers ision and other costs incurred in investment tax credits to provisions for current and maintaining the properties. Property accounts are certain deferred Federal income taxes. The deferred charged with the costs of betterments and major re- investment tax credit applicable to current Federalin-placements of property and the accumulated provision come taxes payable is amortized over the composite life for depreciation is charged with retirements, together of the related property.
with removal costs less salvage.
Other property and insestments are generally stated at cost.
14
ColRtIBUS ANi> SOUlllERN Ollin 11LCTRIC Cinil'ANY l'cinion /wir 2. Change in Accounting Method:
'lhe Company has a non-contributory retirement in- The Company changed its method of accounting in come plan which : overs substantially all of its 1980 to accrue utility revenues for services rendered but employ ees. not billed at month-end. Prior to the change, revenues Pension costs for the y ears ended December 31,19M 1. w cre recorded as billed to customers on a monthly cycle 1980 and 1979 were approximate'y $l4,170.000, basis. The new method was adopted to permit a better
$ l 3,020,000 and $ 10.655,000, respectively. The matching of costs and revenues and to allow the Com-amounts coser the costs of currently accruing benefits pany's results to be more comparable w ith other operat-together with principal and interest on unfunded prior- ing companies within the AEP System.
sersice costs, which are being amoitized over various 'Ihe change (net of applicable taxes) increased 1980 periods not to escced 40 years. income before the cumulative effect of the accounting A comparison of the plan's accumulated benefits and change by $1.043.000. The nonrecurring cumulative ef-net assets as of January 1.1981, the date of the most feet of the accounting change applicable to years prior recent actuarial study, is presented below: to January 1,1980 is show n separately in the Statement Linu.a y I, ofincome for 1980. Pro forma amounts are shown in the I"Mi 19'"' Statements of income to disclose the amount of earn-on thousand ings applicable to common stock that would have been
[aiNI) n : is. reported for 1980 and 1979 ifIhe method of accounting vestea sx2.4m $79.7m for revenues had been in etTect in prior years.
N ons ested 15 fM 1.md
$98,oed $x2,700 Net aucts a.utable for benefits 592.*) $'0.700 t he awumed rate of return used by the actuary in determining the actuarial present value of accrued benefits was 7b9 at each valuation date.
I 15
I NOTiiS 'lO FIN ANCI Al, STATiiMF,NTS (Continued)
- 3. Federal Income Tases:
The details of Federal income tases as reported are as follows:
Year 1.nded December 31, 19xl 1980 1979 tin thouunds)
Charge.1 to Operating INpenset 5 6,769 510,754 512,043 Current (net)
Deferred (net) . . .
10,865 2.875 4,509 Deferred Insestment Tas Credits inct) 13,687 14,629 5,768 lotal 31,321 28,258 22,320 Credited to Other income and Ikducthms - Current (net) (4.131) t7,905) (7,969)
Charged to Nonrecurring Cumulatne l_ffect of Accountmg Change (a) __
_ 5,501 _
lo:al I ederal Income Tases as Reported 527,190 $25,854 514,351 tal Represents deferred tases applicable to the change in the Company 's book accounting method to recogniie unbilled res enues (See Note 2 L The following is a reconciliation of the difference between the amount of Federal income taxes computed, by multiplying book income before Federal income taxes by the statutory tax rate, and the amount af Federalincome taxes reported in the Statements of Income.
Year Ended December 31, 1981 1980 1979 (in thousands)
Net income liefore l' referred and Preference Stock Dnidend Requirements 5 79,368 $68,952 559,977 i ederal inwmc Tases 27,190 25,854 14,351 l're-tas llook income 5106,558 594,806 574,328 l'ederal income Tases on Pre-tas flook Income at Statutory Rate (,169) 5 49,017 $41,611 5 34,191 Decrease in I ederal income Taxes Resulting I' rom the Following items on Which Ikferred Tases Are Not Prosided:
Escess of Tas Oser llook ikpreciation .. .. I1,577) (1,657) (4,784)
Allowance for l'unds Used During Construction and Miscellaneous items Capitalized on the llocks but Deducted for Tas Purn ses (10,941) (9.990) (11,471)
Insestment las Credits Not ikferred (1,333)
(402) (151)
Other (8,907) (5.959) (2,252)
Total l'ederal inwme Taxes as Reported 5 27,190 525,854 5 14,351 I IIectne I ederal income Tas Rate 25.5 7 27.3 7 19.3r7 The following are the principal components of Federal income taxes as reported:
Year Ended December 31, 1981 1980 1979 (in thouunds)
Current:
l'ederal income Tases 5 14,702 5 14,113 511,905 Insestment Tas Credit (12,064) (11,264) (7,8311 lot.d Cunent I edeial Income Tases ineti 2.618 2.849 4,074 Deferr ed.
Ikpreaation thberahnd. ADR and ACRS) 5.493 6.118 4,740 l'nbdled Resenues 56 6,390 -
Allowance for llorrowed I unds thed Durmg Construction 3.016 - -
1)ther 5.417 341 (231)
Insestment Tas Cicdit Appheable to Certain Deferred Income Tases (3,117) (4,473) -
lot.d Ikfeited I ederal Income lases anet) 10.865 _ 8.37_6 _ 4.509 1 stal ikferred Insestment las Credits (neti 13.687 _
l4.629 , 5,7L 8 lotal lederal Income Tases as Reported 5 27,190 $_;5.854 514.351 16
COI.l]SIBUS AND SOUTHERN OHIO El.ECTRIC COSIPANY The Company filed separate Federal income tax returns for taxable s cars prior to the acquisition by AEPon May 9, 1980. From the date of acquisition the Company hasjoined in filing a consolidated Federal income tax return with its affdiated companies in the AEP System. The allocation of the AEP System's consolidated Federalincome tax to the System companies is in accordance with Securities and Exchange Commission ISEC) rules under the Public Utility lloiding Company Act of 1935. In 1981, the SEC amended its rules to permit the allocation of the benefit ofcurrent tax lowes to the System companies giving rise to such losses in determining taxes curren% payable. In prior years, in order to be consistent with rate-making, the benefits of these tax losses, without affecting taxes payable, were reallocated to the AEP System companies giving rise to such losses in determining each System company's Federal income tax expense. The tax loss of the System parent company, American Electric Power Company, Inc.,
continues to be allocated to its subsidiaries with taxable income. With the exception of the loss of the parent company, the new method of allocation approximates a separate return result for each company in the consolidated group. Consolidated investment tax credits utilized are generally allocated to the System companies giving rise to them.
Unused AEP System investment tax credits at December 31,1981 aggregated approximately $260,000,000, of w hich $22,000.000, generated by the Company are available for its future utilization. Of the Company's investment tax credit carryforwards, approximately $7,600,000 has been applied as a reduction of deferred income taxes prior to December 31,1981 and w ill not be reflected in net income w hen realized in future years except as affected by changes in deferred income taxes.
The Federalincome tax returns of the Company for the years prior to 1975 have been settled. The Internal Revenue Service has review ed the returns for 1975 and 1976, and disallowances for those years have been proposed, some of w hich the Company has protested. The proposed disallowances would not result in an assessment of additional taxes due to the availability ofinvestment tax credit carryforward. In the opinion of the Company, adequate provision has been made for Federal income taxes.
- 4. Common Ownership of Generating and Transmission Facilities:
The following table summarizes the Company's ownership in facilities in w hich the Company's ownership interest, and Ihat of The Cincinnati Gas & Electric Company and The Dayton Power and Light Company,is that of a tenant in common. Each of the participating companies is obligated to pay a share of the costs of any suchjointly owned l facilities in the aame proportion as its ownership interest. The Company's proportionate share of the operating cost-awoeiated with such facilities are included in the Statements ofincome and the amounts reflected in the accompany ing Italance Sheets under utility plant include such costs as follows.
Company's Share December 31.
1981 1980 Percent Utility Construction Utility Construction of Plant Work Plant Work Ow nership in Sersice in Progren in Service in Progrew (in thousands) 1%luction:
W. C. Heck.iord Generatmg Station (Unit No. 6i 12.5 $ 9.666 $ 113 $ 9.620 $ 25 Conem!!c Generatmg Station tUnit No. 4) 43.5 58.837 218 57.918 756
- 1. M. Stuart Generatmg Station 26.0 128,535 I.883 123.649 4.493 Wm II, hmmer Nuclear Power Station (Unit No.11 28.5 328.348 (a) 262.323 (a)
$197.038 $310.562 $191.187 $267.597 Iransmmion (b) $ 53.477 $ I.429 $ 53.371 $ 940 (a) Insludes $24.408.000 and $19.050.000 at December 31.1981 and 1980. reht5ely, forhmN Unit No. I nuclear fuel.
(b) Var)mg percentage of ounership.
At December 31,1981 and 1980, the accumulated provision for depreciation with respect to the Company's share ofjointly ow ned facilities amounted to $57,204.000 and $50.058,000, respectively.
I7
NOTES TO I lNANCIAL STATEMENTS (Continued)
- 5. Common Stock, Premiums on Capital Stock and Other Paid.in Capital:
The changes in common stock outstanding during the three years ended December 31.1981 are detailed below:
Common Stock Inued s lYemiums, Net Number Stated of Expenw on Year of Shares Value Capital Stock tin thousands) 1981 - $- $-
c 1980 64.475 161 1,lM) 1979 197,975 495 4.013 The changes in common stock shown above resulted esclusively from issuances through the Company's dividend reinvestment and employees' stock purchase plans prior to the acquisition by AEP. As a result of the acquisition the dividend reinvestment plan was terminated and parent company common stock is now being purchased for the employeei stock purchase plan.
The premiums on capital stock was reduced $2,074,600 in 1980. The reduction represents the amount of premium originally contributed by certain shares of preferred stock w hich were reacquired during 1980 as a result of a tender olTer.
The Company received from its parent cash capital contributions of $40,000,000 in 1981 and $30,(MX),000 in 1980 which were credited to other paid-in capital.
- 6. Metained Earnings:
Various restrictions on the use of retained earnings for cash dividends on common stock and other purposes are contained in or result from cosenants in the Company's mortgage indentures, debenture indenture and charter provisions. Approsimately $74,400,(XX) was so restricted at December 31,1981.
- 7. Cumulatise Preferred and Preference Stock:
At December 31.1981, authorized shares of cumulative preferred and preference stock were as follows:
Cumulatise lYeferred Stock Shares Authorized
$100 Par Value , l.500 (MW) 25 Par Value ,,.... 5.00tVn)
Cumulative lYeference Stock
$100 Stated Value 2.0lW).000 The cumulative preferied and preference stock is callable at the option of the Company at the prices indicated plus accrued dividends. The insoluntary liquidation preference is par value for all outstanding shares of cumulative preferred <,tock and $100 per share for cumulative preference stock.
A. Cumulatise Preferred Stock Not Subject to Mandatory Redemption:
Shares Outstandin_g Amount December 31, December 31 Current Restricted l'ar lYior to Value 1981 1980 1981 1980 Series Call lYice (in thousands) 4254 , .$110 - $100 7,942 7,942 $ 794 5 794 4.852 4.852 485 485 4654 . . 101 - 100 2,097 )
100 20,967 20,967 2.097 ttrY , 106.75 -
100 8,393 8.393 839 839 7.52"i ,, 108 -
100 9,258 9.258 926 926 8.521 . , 108 -
25 126,503 126,503 3,163 3.163
$2.42 29 075 -
$8,304 $8.3M 18
.1
COLUStBUS AND 50UlllERN OlHO ELECTRIC COSilMNY
- 11. Cumulathe Preferred Stock Subject to Afandatory Redemption:
Shares Outstanding Amount cember 31. Ncember 31, Current Restricted Par Series ta) Call Price Prior to Value 19MI 19x0 l_9{l 1980 (in thousands) 10.529 eb) . 5107.25 8-2-85 5lix) 17,M04 17.804 5 1.780 5 l.780 9Ni (c) 120 - 100 400A M 400JMW) 40JN10 40.000 5L45 (d> 28 45 11145 25 2.0t h).0t N) 2.oixUW N) 50 AW M) 50AX10
%K75 fe) 28 75 5146 25 6(nuux) -
15 JX N) -
5106.780 591.780 1 _: xxrc C. Cumulathe Preference Stock Subject to 31andatory Redemption:
Shares Outstanding Amount Current Restricted Stated ..._ pcemberg, - _ _
_ - @ceynper_ M.
Series (al Call Pnce IWr to Value 1981 1980 1981 1980 (in thousando 515.29 (fl . 5115.25 -
5100 548.342 548.342 554.834 554.834 (a) The minimum sinking fund prosisions of the series subject to mandatory redemption aggregate 51#N),0ilo for 19x4 and 56,841J100 for 1985 and 57.591JNMI for 1986 Ibi A sinking fund for the 10.529 Series requires the Company to provide, on ir before August I, of each year beginning in 1981, for the iedemption ot 10.tuiu shares of such series.1he Company has the right, on each sinking fund date, to redeem an additional 10JiOO shares and has the option lo cretht shares purc hased or otherwisc acquired m heu of redeeming shares for the sinking fund. Approximately 182.200 shares of the 10.529 Series w cre acquired in 1980 w hich may be used to satnfy sinking fund requirements through 1998. Prior to August 2,1985 shares may not be redeemed, other than by operation of the appheable sinking fund. through refundmg operations at an effectise cost ofless than 10.52% per annum, (c) A sinking fund for the 9.50'T Series requires the Company to prog ide, on or before Niay 1, ofeach year beginning in 1984 for the redemption of 163MM) shares of such series. The Company has the right, on each sinking fund date, to redeem an additional 16JM10 shares.
Idp A sinking fund for the 53.45 Series requires the Company to provide on or before Nosember I, of each year beginning in 1985, for the redemption of itMUDN) shares of such series. The Company has the right, on each sinking fund date, to redeem an additional 100.000 shares.
(e) A sinking fund for the 5t75 Series requires the Company to pros ide, on or before Ntay 1, ofeach year beginning in 1986, for the redemption of 30J4N1 shares of such series.1he Cornpany has the right. on each sinking fund date, to redeem an additional 30.000 shares.
(fi A sinking fund for the $15.25 Series requires the Company to proside, on or before Niay 1.of each year beginning in 1985, for the redemption of 27,417 shares of such series. The Company has the right, on each sinking fund date, to redeem an additional 27,417 shares, igi thllerences betw een redemption pricedincludmg commissions and reacquisition espenses)and the stated salue plus any premium and less any dncount or e spenses apphcable to the shares as they are retired are accounted for in the following manner as prescribed by the FERC. Gains on reacquisition are recorded as an merease in proprietary capital and losses are a reduction of preuous reacquisition gains with an excess being charged to retained earnings.
19
2 NOTES TO I:lN ANCI AI. STATEMENTS (Continued) 1
- 8. long term Debt, l.Ines of Credit and At December 31,1981, the principal amount of de-Compensating flalances: bentures reacquired in anticipation of sinking fund re-quirements was $843,000.
l.ong-term debt by major category was outstanding The Company had unused short-term bank lines of as follows (less portion due within one year): credit of approximately $339,000,000 and $187,000.000
- '"*'3
at Decembe-31,1981 and 1980,respectively. Available -
I'*' '" lines of credit are subject to withdrawal at the banks'
"" ' h "'*"d" option and approximately $334,000,000 and nrst stortgage Ilonds $636.963 $609.903 $181,000,000 of such lines at December 31,1981 and h rI ng-term INbt: 1980, respectively, are shared with other companies in Term Loans ".960 the AEP System. In accordance with informal agree-Other . 572 1.145 ments with the banks, compensating balance deposits Total ,. $657.692 $654.722 of up to 10% or equivalent fees are required to maintain the lines of credit and, on any amounts actually bor-17irst mortgage bonds outstanding were as follows:
rowed, generally either additional compensatii.g bal-
- *'"'h* ' 3 ' '
ance deposits of up to 10% are maintained or adjust-1981 im ments in interest rates are made. Substantially all bank
"'""'"" balances are maintained by the Company to compen-4 Rate Due Jul 1981 - September i $ - $ 9.000 sate the banks for services and for the Company's share 9un 19x2 - June i . 50.om 50.000 of both used and available lines of credit.
119 1981 - January i 30.000 30,000 The Company has a line of credit which extends until 2$toberi
.i9 October 1982 with a major leasing company. The line of
.in 969 1984 - Nosember i oo.mo 60.000 credit was unused at December 31,1981. When used, 7%4 1985 - July 1 45.000 45.000 no compensating balances will be required but, rather, II8 flar h i I' ,
I ', 9 short-term notes pay;able secured by the Company's coal and oil m, ventories wdl be issued.
4an 1988 - January i 13.860 13.860 13hw 1990 - octobet i . 80.om 80.000 Under the Company's lines of credit and other short-
' tedmwing agmmenh, noks d mature not mom 4N IN 2 s a I h,2$ 153 27 9.45 9 19wi- stay 1 . .
. . 40.000 40.000 than 270 days after the day of issuance or renewal.
644 1997 - October i 14.640 14.640 9.207 1998 - N1 arch 1 45.000 45.000 9. Supplementary income Statement Information and 7% 1998 - June 1 .. .. 24.750 24.750 tous 1999 - september i 60.000 60.000 Related-Party Transactions:
n 2 sfa .
jjj ;$ Operating revenues - electric shown in the State-ment of income for 1980 includes approximately 8m 2m6 - september i 35.000 35.000 Unamortiied iDiscouno $3,757,000 representing sales of energy to an affiliated Premium (net) (287) 269 company within the AEP System subsequent to the f.eu Iwtion Due Within One Year o1 acquon d & Gmpany on .May 9, M.
Total .. $636.963 $609.903 ta) luued by the Company in Stay 1981.
l.ong term debt of the Company, excluding premium or discount, outstanding at December 31.1981 is due over the next five years, as follows:
Principal Amount (in thousando 1982 . $52.262 19Mt . . 39.973 1984 .
75,499 19M4 . .. 52.994 1986 , . 16.859 20
Col.USillUS AND SOUTilERN 01/10 El.ECTRIC CWilMNY Operating expenses shown in the Statements of in- program including commitments for commonly-owned come include certain items not shown separately, as nuclear generation and transmission facilities.
follows: Effective December 31, 1980, the Company sus-Year I:nded December 31. pended construction of two generating units at its 19xi 19xo 19'9 Poston Station and transferred the associated construc-On thousando tion costs from Construction Work in Progress to Other Purchased Power ta) th 521.4x0 5 459 5 4 h) Work in Progress. Construction will resume if Ameri-Interchange Power (neu: can hlur.icipal Pow er- Ohio inc. ( A h1PO), the members up system I lect"'
lf tshttes (c) 44,414 of which are certain Ohio municipal electric systems, 2xi -
Other Companies (d) (277) (887) (2.215) elect to purchase one or both of the two units pursuant
$7 5.617 Sf147) $t .7x5) to a Coordinalion agreemCnt, dated May 1,1979. Ah1PO hc is currently required to make its decision with respect to I",'*j[,"c n [dhan i ederal such a purchase on or before September 30,1982. In the Real and Peiwnal Propert> event that AMPO does not elect to purchase the units Tees 524.140 $20.7ll 520.654
"" , and if the Company should determine not to resume act [p 1x.539 16.2x3 i4.123 construction, the principles in a Supreme Court of Ohio social security rases - decision involving an unamliated utility may require the l ederal and state 4.447 3.35i 2,764 Other 610 454 Company to write-off a portion of the deferred con-452 540.799 struction costs which could have a materialimpact en 547_.736 $18.193 , ,
7 g g g; g Deptei;on arrheable to coal write-o!T might occur. The amount of any potential
'ENr i I u En 5 ii4 5 -127 s li7 -
write-off is not determinable at this time and would depend on various factors including the tax effects. sale tal Purchased power for 19xo indudes $227JMW) representing or salvage value of;t turbine generator and other assets
" a EcNnYtSE'siafiN9Ubha e coni any w n un the M stem sun acquired for the construction project. As of December (b) inandes pow er rurchased rsom Ohio Valley litectne Corpora- 31,1981, construction costs related to the two Poston non of aprioumately $6.579Jino m 1981. So66Junn in 1980 and units amounted to $41,M4,000.
5x7JNN)in 1979 ed 1980 amount repiesents transactions subsequent to stay 9 The Company is subj.ect to certain develop.mg laws 19xo.
and regulations with respect to air and water quality, (d6 Indodes interchange power sold to Ohio Valley 1:tectric Cor-poranon oraperosimately 5(iixJuun in 1981, si94Juun in 1980 and land use and other environmental matters. While the
$<4 nJuxo in 1979. Company is unable to predict the ultimate effect ofsuch The Company has no significant royalty or advertis- laws and regulations, it is possible that the Company ing espenses. Inay be required to pay penalties for failure to comply American Electric Power Service Corporation pto- ur ng certain periods or that compliance therewith vides ecstain services to the Company and the afliliated may requ re the Company to modify or replace existing companies in the A EP System. The costs of the services and proposed equipment and facihties.
are determmed b). the service company on a direct- Ohio Valley Electne Corporation (OVEC), which charge basis to the estent practicable and on reasonable was organized by the Company, its parent, three af-bases of proration for indirect costs. The charges for libated operating companies and several unaffiliated services are made on a cost basis but include no com- u ty companies, has a long-term contract which ex-pensation for the use of equity capital, all of which is t< na to W to supph pown to k h Department furnished to the sersice company by AEP. The service ""EY d I'"### * * * " b"*"
company is subject to the regulation of the SEC under by OVEC are designed to be sufficient for OVEC to the Publie Utility lloiding Company Act of 1935. meet its opaating expenses,6xt d costs and to provide an annual return on its equity capital. The participatmg 10 Commitments and Contingencies: utilities are obligated te purchase, in proportion to their Equity Participation Ratio, an additional $ 10,000,000 of The Company estimates that its construction pro- OVEC common stock in the event the outstanding de-gram for the year 1982 will require espenditures of mand notes are called, and are also obligated to provide approsimately $118,000,000. Substantial commitments any additional capital required by OVEC not available have been made in connection with the construction from other sources. The Company is en Ad to receive 21
NOTIES TO I:lN ANCI Al. STATliMiiNTS (Continued) from OVliC, and is obligated to pay for,4.3% of the Future minimum lease payments, by period and in power not required by DOli the aggregate, of the Company's capitalleases and non-On January 4,1982, IU Consersion Systems, Inc. canceliable operating leases consisted of the following filed both a complaint for declaratoryjudgment, equita- at December 31 1981:
ble relief and damages, and a motion for temporary capital o rerating restraining order and preliminary injunction against the M" L*"
(in thousando Company in the United States District Court for the Southern District of Ohio.1ne complaint alleged that 19x2 s 7.mo s 1.oio the Company breached a contract with the plaintiff in _
- "", ]',
connection with the construction and supervision of the i9g 3,o o 2mo operation of a waste management facility for the Con- ivs6 5.30 2.nu I ater Years 32.n o 19.a o esville Plant Units 5 and 6 by both wrongfully terminat.
Total Future stinimum Lease Pa> mena . 59.3 0 s2pno ing said contract and failing to pay the plaintitYa proper termination fee. On January 6.1982, the plaintiff with- i ess Estimared Interest Element drew the motion for temporary restraining order and included '1herein ta) 2_6.no preliminary injunction and, on January 25, liled an Estimated Present value of Enture Stinimum 1. ease Pas ments 533.m:0 amended compla. int seeking, among other th.mgs.
$13.(MMUNH) damages for the Company's alleged im- tai Interest rates used range from 7.4'1 to 18.7%
ptoper termination and breach of contract. The Com- The following is a pro forma analysis ofleased prop-pany filed an answer and counterclaim on February 23. erties under capital leases and related obligations as-1982 denying the plaintitrs allegations and seeking over suming that such leases were capitalized:
$15,tHWUMHidamages because of the plantitrs breach of I)ecember 31. ~
Contract warranties. ;9j - -~g (in thousand4 g
Ensironmental Facilities sl4.0M slo.otu The Company, as part ofits operations, leases prop- Transportation Equirment 14.a o to.uo Electne Producoon 12.om 12.mo erty, plant and equipment underleases ranging in length 2""
z " * "I I ""' " 2:" "
from 5 to 30 ) ears. Most of the leases require the Com- -
- "" I'"P'" i ' "d C"P I I '"' 42 "" '4 #*
pany to pay selated property tases. maintenance costs
- I ew Accumulated Prosision foi and other costs of operation. The Company espects Amonifation i t.oio t i .no that in the normal course of business, leases will gener- Net Properties Under capital 1. eases 529.om s23.oix>
ally be renew ed or replaced by other leases. The major- ompions Under capital I eases tai sthi5i ) 530No
= =-
ity of the various rentals are under leases having pur-(al includmg an estimated 53.no.om and 52.000.000. resrec-chase options or renew al options for substantially all of .
us ein due within one > ear.
the economic lis es of the properties.
Rentals are classified approximately as follows: 11ad capital leases been capitalized. any additional Year i nJed llecember 31. net expense for each of the three years ended December emi iyso i979 31,1981 would have been insignificant. The pro forma on thomando data does not give recognition to ofTsetting adjustments in allowable revenues that the Company believes would operasing larenses s 5.osi si. c 53.147 cie.uing and weenaneous normally be espected to occur through the regulatory Acounis tai 7.241 5.567 3.195 rate-making process, if the related leases had been cap-Iotal s l 2.294 59.350 56.142 italized.
^ tai in the apportionment c.: these accounts. rirt of the amounts show n aic charged to income.
22
COLU.tlitUS AND SOUTIIERN 01110 ELECTRIC CO.tfl%NY I
- 12. Unaudited Quarterly Financial Information: 13. L'naudited Information on Inflation and Changing Prices:
The following quarterly financial information is un-audited but,in the opinion of the Company, includes all The supplementary information in the statements adjustments necessary for a fair presentation of the below is presented in compliance with the requirements amounts shown: of the Financial Accounting Standards Board (FASB).
Qu.irterly lyriods Operating Operrung Net The information iw intended to disclose the effects of
_ _.I:nded R_e y enues _lncome income (a) both general inflation and changing prices; however, (in thousands) the amounts should be considered approximations of W r.31 $160.286 $30.202 $17.801 such efTects rather than precise measures since a num-June to 156.816 28.376 16.699 ber of subjectivejudgments and estimating techmques J were employed in deseloping the information.
kc.'sI I 4.6$ l .1x Constant dollar amounts represent historical costs i9m wr. 31 124.185 26.25x 23.402 stated in terms of dollars of equal purchasing power, as ser i j; j; ;y mgasured by the average level of the 1981 Consumer t>.c. 31 121.74: 25.236 13.881 Price Index for All Urban Consumers (CPI-U).
1979 Current cost amounts reflect the changes in specific
{d';
n 3, 3'
Qj[ 3y
, 3j;j7j prices of property, plant and equipment from the date Sept. 30 l l 7.545 29.073 21.724 such assets were acquired to the present, and differ Dec. 31 107,744 21.460 13.640 from constant dollar amounts to the extent that specific l w Herore preferred stock anidend requirements. prices have risen at a different rate than the general l inflation rate as measured by the CPI-U. The current cost of property, plan
- and equipment represents the approximate cost of replacing such resources and in-cludes utility plant in service, construction work in progress, land, land rights and other property and in-vestments. Current cost amounts were determined primarily by applying appropriate indexes from the llandy-Whitman Index of Public Utility Construction Costs.
I 23 L _ _ _ _ _ _ _ _
NOTES TO FIN ANCI Al. STATI!MiiNTS (Concluded)
Statement of Income Adjusted for Effects of Changing Prices As Stated Adjusted Adjusted in the Primary for General for Changes Financial Innation in Specific Prices Year Ended December 31.19MI Statements (constant dollar) (current cost)
(in thousands)
Operating Resenues , 5 629.244 5 629,tXX) $ 629,0X)
Operating Eitpenses:
Operation:
fuel for Electric Generation 172,148 172,000 172,(XX)
Purchased and Interchange Power (net) 75,637 76,uX) 76,000 Other 88.800 89.0m) 89,000 Maintenance 48,890 49,000 49,(XX)
Depreciation f a) ,. 43.366 92,000 93,000 47,736 4M,000 48,(XM1 Taites Other Than i ederal Income Tases
- Federal Income Tases 31,321 31,000 31,000 Total Operating Espenses 507,898 557,000 558,000 Operating income .... 121,346 72.uX) 71,000 Other income and Deductions (a) 22,002 21,000 21,000 Net Interest Charges . . .. . . .... (63.980) (64,0tX)) (64,000)
Preferred and lYeference Stock Disidend Requirements (21.339) (21,000) (21,000)
Earnings Applicable to Common Stock (b) $ 5M,029 $ H,000 $ 7,000 Increase in Specific Prices (current cost) of Property, I'l, int and Equipment field During tha Year (c) $ 251,000 Reduction ;o Net Recoverable Cost (d) . $ (67,000) (91,000)
EITect of increase in General Price 1.csel (226.0lX))
Esceu ofincrease m General Priec Lesel over Increase in Specific Pnces After Reduction to Net Recoserable Cost (66,(XX))
Gain from Decline in Purchasing Pow (rof Net Amounts Owed (e) . 74.000 74,00()
Net $ 7,000 $ 8,000 (a) As prewnbed by Ihe FASI). t he items in the Statement ofIncome that has e been adjusted are depreciation and depletion (including portions clanified in Ot her Income and Deductions) The indation-adjusted data for accumulated pros isions for depreciation w etc estimated by applying to such amounts the hntorical ratios of accumulated prosisions to original cost. Depreciation and depletion charges were cenputed by applying current accrual rates to various accounts after adjusting such accounts for the etTects of changing prices.
(b) including the reduction to net recoverable cost, the low from operations on a constant dollar basis and current cost basis would hav e been
$$9,000,000 and $84,000,000, respectisely, (c) At December 31,19x t, current cost of property, plant and equipment, net of accumulated depreciation and depletion was $2,782,000,(XX) while histoncal cost or net cost recoverable through depreciation was $1,401.000,000.
(d) 'I he redut tion to net recoverable cost of property, plant and equ;pment (as espressed in terms ofinnation-adjusted cost) to historical cost recognites that the rate-making proceu limits the Company to recovery of the historical cost of the subject awets, te) To properly reDett the economics of rate regulation in the Statement of tncome Adjusted for Effects of Changing Prices,the reduction to net recoverable costuhould be oliset by the g.iin that results from the decline in purchasing power of the net amounts ow ed by the Company. During a period ofindation. holders of monetar) awets such as cash and receivables sulTer a loss of general purchasing power w hile holders of monetary liabihties, generall jlong-term debt, e sperience a gain (because debt uill be repaid in dollars having less purchasing pow er). The Company's gain from the decline in purchasing pow er ofits net amounts ou ed is primarily attributable to the substantial amount of deM and cumulatis e preferred stock subject to mandatory redemption which has Iven used to finance uti lity plant.
24
COLUAfflUS AND SOUTilERN 01110 ELECTRIC COSIPANY lhe-Year Comparison of Selected Supplementary Data Adjusted for i fTetts of Changing IYices (dollar amounts are expreued in terms of aserage 1981 dollars)
Year Ended December 31, 1981 19x0 1979 197H 1977 l tin thousands, escept indes data) 1 Operating Revenues $629,0x) $552,0x) $542,0(x) $525,4x) $486.00 lintoric alCostinformation AdjustcJfor Generallnflation:
l Income from Operations fescludmg reduction to net l recuserable cost) $M, tux) $14 (x4) $17,0 x) i Net Aucts at Year-end at Net Recoverable Cost $497,tx x) $497.30 $625.ux) l Current Cost Information:
Income from Operations tescluding reduction to net recoserable cost) $7,u x) $12,00 $23,0x1 I Accu ofincrease in General ITice f.evel user increase in Specific I4 ices after Reduction to Net Recoserable Cost $t 66.m x)) $(123,0 0) $(158,(xx))
Net Aucts at Year-end at Net Recoserable Cost $497,mx) $497,nN) $625,ux)
General financial l>ata:
G<nn from Decline in Ibrchasing Power of Net Amounts Owed $74.ux) $105,mx) 5117,0 x)
Average Consumer lYice Index 272.1 246.N 217.5 195.4 181.5 l
25
Operating Statistics Ol'ERATING STATISTICS 1981 1980 1979 1978 1977 li i crnic Oei a Aliso RF vi.NUI s (in thousands):
l' rom Kilowatt-hour Sales:
Residential:
Without filectric Ileating $156,512 5156,464 $134,915 $121,883(a) 5111,470 With filectric Ileating 49,723 46,682 37,037 33,459t a) 24.801 Total Residential 206,235 203,146 171.952 155,342 136,271 Commercial 170,570 155.287 131.773 111,717 100,226 Industrial 89,305 87,519 80,057 69.802 60,019 Sales for Resale:
Municipalities 19,966 19,023 15,931 15,168 10,747 Other filectrie Utilities 128,574 15,333 16,655 11,183 4,582 Total Sales for Resale 148,540 34,356 32,586 26,351 15,329 Miscellaneous 9,169 16,816 12,688 10,016 9,130 Total from Kilowatt-hour Sales 623,819 497,124 429,956 373,228 320,975 Other Operating Revenues 5,425 3,969 3,786 3,698 2,993 Total lilectric Operating Revenues . $629,244 $501_,093
_S43,842 $376,926 $323.968 Soruri s AND SAns or list Roy (in millions of kilowatt-hours):
Sour ces:
Net Generated - Steam and l'eaking Units 11,342 10.540 10,495 9,427 9,670 l'urchased 950 108 3 306 55 Net Interchange 1,858 (66) (115) 98 (173)
Total Sources 14,150 10,582 10,383 9,831 9.552 1.ess: 1.osses Company Use, lite, 751 719 699 739 687 Net Sources 13,399 9,863 9,684 9,092 8,865 Sales:
Residential:
Without lilectric Ileating 2,411 2,468 2,349 2,300 (a) 2,433 With lifectric Ileating 995 968 873 855 (a) 676 Total Residential 3,406 3,436 3,222 3,155 3,109 Commercial _3__,112 2,902 2,742 2,584 2,684 Industrial 2,032 2,045 2.131 2,042 2,045 Sales for Resale:
Municipalities 590 589 559 520 498 Other lilectric Utilities 4,025 518 678 484 216 Total Sales for Resale 3,615 1,107 1,237 1,004 714 Miscellaneous 234 373 352 307 313 Total Sales 13.399 9,863 9,684 9,092 8,865 26
COLUSfBUS AND SOUTilERN 01110 ELECTRIC COSIPANY OPERATING STATISTICS (Concluded) 1981 1980 1979 1978 1977 AvruAct Cost or itett. CoNSUserD (h)
Cents per Million litu:
Coal . . . . . . . . . . . . . . . . . . . . . . 144.16 129.38 119.66 115.89 95.61 Fuel Oil .... .. .... .. .. . . 486.27 386.03 310.c9 285.17 251.30 Gas . . .......... ....... . 298.43 284.10 233.97 228.83 178.19 Overall .. . ... . .. .. .... 144.79 131.24 121.66 120.88 97.97 Cents per Kilowatt-hour Generated:
Coal . ..... .. . ... 1.55 1.41 1.28 1.24 1.03 Fuel Oil .. .. .. . .. .. .. 4.13 5.55 4.21 3.92 3.45 Gas ....... . ...... . . 4.68 4.42 3.89 4.20 3.86 Overall .. . .. .. . ... . 1.56 1.43 1.31 1.30 1.06 Res:DEMIAL SruVICE - AvruActs:
Annual Kwh Use per Customer:
Tota: . ... . .. . 8,121 8,270 7,8% 7,876 7,883 With Electric Ileating .. .. . 18,884 19,930 20,471 20,425(a) 22,079 Annual Electric flill:
Total . . . . . .. ... . $492 $489 $421 $388 $346 With Electric fleating ... . $944 $%1 $868 $799(a) $810 Price per Kw h (in cents):
Total . . . . . . . .... ... . . 6.05 5.91 5.34 4.92 4.38 With Electric IIcating . . . . . . . . 5.00 4.82 4.24 3.91(a) 3.67 Nesinra or litternic CusTosinns - Year-End:
Residential:
Without Electric IIcating . . 368,036 366.277 366,068 364,319 364,194 With Electric Ileating . . ... 54,181 51,115 45,948 39,204 33.806 Total Residential .. .. . .. 422,217 417.392 412.016 403.523 398,000 Commercial . . . . . . . . . ........ . 41,524 39.906 41,461 40,708 40,018 Industrial . . . . . ... .. .. .... 2,336 2,400 2,487 2.505 2.563 Sales for Resale:
Municipalities .. .. .. . .. ... 4 4 4 4 4 Other Electric Utilities ... ... .. 2 _
5 4 4 3 Tota! Sales for Resale . .. .... 6 9 8 8 7 Miscellaneous .. . ......... ... 291 1.324 1,318 1.169 1,130 Total Electric Customers . . 466,374 461,031 457,290 447,913 4 1,718 (at l'.stimated (to 1981 amounts esclude the etTect of deferred collection of fuel costs.
27
Price Range of Cumulative Preference and Cumulative Preferred Stock fly Quarters (1981 and 1980)
__ _ I.93.1_-guape_y_t _ _ _ _ _ _ ___191-J- y_ar_t ef_L_ _ _ _
ist 2nd 3rd 4th i st 2nd 3rd 4th Cwnularise l' reference St<n L
($1(W) Stated Value)
$15.25 Series (Old N1oney issue)
Disidends l' aid l'er Share $3.8125 $3.8125 $3.8125 $3.8125 - -
$3.4736 $3.8125 Niat Let 1* rice - $ l'er Share
( NYSli) - liigh 104 % 100 97 % 98 % -
115 113 105
- low 99 95 % 89M 87 % -
110 llM4 104
$15.25 Seriest New Stoney issue)
Disidends l' aid l'er Share $3.8125 $3.8125 $3.8125 $3.8125 - -
$3.4736 $3.8125 N!arket l' rice - $ l'er Share (N YSIE) - liigh 108M 104 104 101 % -
119 % 114 til
- low 104 98 93 92 -
100 109% 104 C_urnulzstis e_ l' referred St<n k
($100 l'ar Value) 4.25G Series Disidends l' aid l'er Share $1.0625 $1.0625 $ 1.0625 $1.0625 $ 1.06 $ 1.06 $1.06 $1.07 Ntar ket l' rice - $ l'er Share (01C)
Ask (Iligh!!mw ) - - - -
930/93b !!O!!10 35/35 31/31 Ilid (iiigh!!mw) 27/27 27/26 26/24 25/22 56/56 90/90 30/30 25/25 4.659 Series Disidends l' aid l'er Share $1.1625 $1.1625 $1.1625 $1.1625 $1.16 $ 1.16 $1.16 $1.17 N1ar ket 1* rice - $ l'er Share (O!C)
Ask (liigh!!mw ) - - - -
85/85 101/101 38/38 35/35 Ilid (iiighlimw) 30/30 30/29 29:27 27/25 80/80 85/85 33%/33M 28/28 7.527 Series Disidends l' aid l'er Share $1.88 $1.88 $1.88 $1.88 $1.88 $1.88 $1.88 $1.88 N1arket hice -$ l'er Share (O l'C)
Ask (Iligh/Imw ) - - - -
92/92 108/108 62h!62b 56%/56%
Ilid (liigh!!mw ) 48/48 48/46 47/44 44/43 74/74 53h/53% 55/55 48/48 8.52'; Series Disidends l' aid l'er Share $2.13 $2.13 $2.13 $2.13 $2.13 $2.13 $2.13 $2.13 N1.u ket l' rice -$ l'er Share (UTC)
.kk (iiigh!!mw) - - - -
92/92 108/108 71/71 64 % !64 %
4 Ilid (Iligh'Imw ) 55/55 55/53 54'50 49'48 86/86 57/57 64/64 55/55 28
COLUSIBUS AND SOUTHERN OHIO ELECTRIC COSIPANY 19M1 - Quarters 1980 - Quarters ist 2nd 3rd 4th 1 st 2nd 3rd 4th rumularis e Preferred Stod
($100 l'ar Value) 10Df f Series 1)ividends l'aisi l'er Share $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 Ntarket l' rice - $ l'er Share (OICI Ask (Iligh/luw) - - - -
96/96 109%/109b 83/83 71/71 Ilid (lligh/Imw) 64 63 63/61 61'65 56'55 90 90 71/71 72%/72% 62/62 9.500 Series 1)isidends l' aid l'er Share $2.375 $2.375 $2.375 $2.375 $2.375 $2.375 $2.375 $2.375 Nf ar ket l* rice - $ l'er Share 1()'IC)
Ask (Iligh/Imw ) - - - -
76/76 63/63 70/70 63/63 lied (Ilighllow) - - - -
72%/72h 59/59 63/63 59/59 10.52'i Series I)isidends l' aid l'er Share $2.63 $2.63 $2.63 $2.63 $2.63 $2.63 $2.63 $2.63 Ntarket l' rice - $ l'er Share (UTC)
Ask (Ilighllow ) - - -
62/62 104 115 90 79 %
llid (llighll ow ) 68 67 67/65 65 62 63/59 94 75 76 % 70
($25 l'ai Value)
$2.42 Series I)isidends l' aid l'er Share 50.605 $0.605 $0.605 $0.605 $0.605 $0.605 $0.605 $0.605 Ntar ket l* rice - $ l'er Share
( N YS E) - liigh 17M 17 % 16 % 17 28 % 31.07 24 21
- l ow 16h 15 % 15h 14 % 25 4 19 % 17 % 16
$3.45 Series I)isidends l' aid l'er Share $0.8625 $0.8625 $0.8625 $0.8625 - - -
$0.21 N1arket l*: ice - $ l'er Share (N YSE) - liigh -
25 24 23 % - - -
25 % /25 %
- lew -
23 22 21 - - -
24 %/24 %
$1.75 Series (1) 1)isidends l' aid l'er Share - -
$0.73 $0.9375 - - - -
Ntar ket l's ice - $ l'er Share (OIC)
Ask (Iligh'Imw) - - - - - - - -
llid tliigh/lew ) - - - - - - - -
O I C - (h er-t he-Counter NYSl; - New York Stak I:.uhange (1) twued Ntay tWI Note -- The abuse quotations tyd and asked represent prices between dealers and do not represent actual transactions.
- 1) ash indicates quotation not as ailable, r
29 i
k
The Company's Annual Report (Form 10-K) to the Securities and Exchange Commission will be available on or about March 31,1982 to shareowners upon written request and at no cost. Please address such requests to:
Mr.11. D. Post Assistant Treasurer American Electric Power Service Corporation 180 East Ilroad Street Columbus, Ohio 43215 Transfer Agents Cumulatise Preferred Stock The lluntington National Bank P.O. Ilox 1558, Columbus, Ohio 43216 Citibank, N.A.*
111 Wall Street, New York, New York 10043 Cumulathe Preference Stock AmeriTrust Company 900 Euclid Avenue, Cleveland, Ohio 44101 Registrars Cumulatise Preferred Stock HancOhio National Bank 155 East Ilroad Street, Columbus, Ohio 43265 Alanufacturers llanoser Trust Company' 4 New York Plaza, New York, New York 10015 l Cumulative Preference Stock AmeriTrust Company 900 Euclid Avenue. Cleveland, Ohio 44101
- Not aprikaNe to the 4.25% Series.
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COL U11 BUS AND SOUTHERN OHIO ELECTRIC CO31PA Nl' e ____________ -