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NORTHEAST UTILITIES
ANNUAL REPORT 2005

Table of contents

  • Page 1
    ANNUAL REPORT 2005 NORTHEAST UTILITIES

  • Page 2
    ...2005 $7,397,390 $ (153,865) $ (253,488) $ (1.93) 2004 $6,542,120 $ 402,217 $ 116,588 $ 0.91 Operating Revenues Operating (Loss)/Income Net (Loss)/Income... Sales of Electricity (Regulated Retail, kWh-millions) Electric Customers (Average) Gas Customers (Average) Property, Plant and Equipment, Net

  • Page 3
    ... years Transmission Group www.transmission-nu.com Connecticut Light and Power www.cl-p.com Yankee Gas www.yankeegas.com Public Service Company of New Hampshire www.psnh.com Western Massachusetts Electric Company www.wmeco.com Northeast Utilities www.nu.com NORTHEAST UTILITIES ANNUAL REPORT 2005

  • Page 4
    ... projects in its Regional System Plan NU's projects comprise over half of the projected capital expenditures in the plan NU 55% Charles W. Shivery Chairman, President and CEO TO OUR SHAREHOLDERS, EMPLOYEES, CUSTOMERS AND BUSINESS PARTNERS In 2005, we began the transformation of Northeast Utilities...

  • Page 5
    ... our plans. Congress directed the Federal Energy Regulatory Commission (FERC) to develop incentives for constructing new transmission facilities. At the state level, Massachusetts and Connecticut laws allow a prompt true-up of FERC-approved retail transmission charges in distribution company rates...

  • Page 6
    ... difficult conditions, NU crews worked safely and efficiently, bringing help to thousands of people in serious need. The strength of NU's regulated electric and natural gas distribution companies, and regulated generation, reflects our many years of experience. In 2005, these businesses performed...

  • Page 7
    ...Our liquefied natural gas (LNG) facility in Waterbury, Connecticut, for example, will allow Yankee Gas to store more gas for use by customers during peak demand periods. The biggest construction project in Yankee Gas history, this LNG facility will be operational for the 2007-08 heating season. Our...

  • Page 8
    ... of Northeast Utilities. Bringing new ideas, diverse experience and powerful energy to our business, they are dedicated to building a stronger NU by serving customers, communities and shareholders. MAJOR CONSTRUCTION PROJECTS Project 345-kV Bethel to Norwalk, Connecticut Description Transmission...

  • Page 9
    ... Generates power with economical, cleaner energy from wood, a renewable resource Displaces the use of fossil fuels Provides approximate $20 million boost to New Hampshire's regional economy 48% (as of March 2006) 2007-08 heating season Delivers price and supply stability during natural gas peak...

  • Page 10
    ..., New England and the country. " In March 2005, CL&P broke ground on the overhead line portion of the 345-kV project which runs 21 miles through southwest Connecticut, one of the fastest growing and economically vital areas of the state. Its 54-town area consumes half of all the electric power used...

  • Page 11
    ...LNG Project, Yankee Gas "Yankee Gas has an obligation to provide our gas customers with a secure, reliable energy supply. One way of achieving that objective is to try and keep prices stable during peak demand periods, and that can be done by storing natural gas during periods of low demand. Yankee...

  • Page 12
    ... service, reduce costs and help grow our business. Six call centers will transition to two and be virtually operated as a single center, staffed by NU customer service professionals. We are also converting three online Customer Information Systems to one. " The result of this four-year project...

  • Page 13
    ... fuels, will reduce thousands of tons of emissions into the environment each year and will add $20 million to New Hampshire's economy. The Northern Wood Power Project is a real win for our customers, our shareholders and New Hampshire's economy and natural environment." NORTHEAST UTILITIES ANNUAL...

  • Page 14
    ... better serve customers and will drive superior earnings growth. The U.S. Energy Information Agency (EIA) projects that, by 2025, electricity demand in New England will increase approximately 37 percent over 2002. New telecommunications and computer technologies, security systems, medical imaging...

  • Page 15
    ... Statements of Comprehensive (Loss)/Income Consolidated Statements of Shareholders' Equity Consolidated Statements of Cash Flows Consolidated Statements of Capitalization Notes to Consolidated Financial Statements Trustees and Officers Shareholder Information NORTHEAST UTILITIES ANNUAL REPORT 2005

  • Page 16
    ... July 22, 2005, Connecticut also adopted legislation that provides local electric distribution companies, including CL&P, with financial incentives to promote construction of distributed generation. The Connecticut Department of Public Utility Control (DPUC) is conducting a number of new dockets to...

  • Page 17
    ... of NU's Utility Group regulated electric companies, CL&P, PSNH and Western Massachusetts Electric Company (WMECO), has received regulatory approvals to recover the increased cost of energy being supplied to their customers in 2006. These increased costs are primarily the result of new solicitations...

  • Page 18
    ... and $2.5 billion in 2003. The lower 2005 NU Enterprises revenues reï¬,ect lower wholesale electric sales. NU's revenues during 2004 increased due to increased revenues from NU Enterprises primarily as a result of higher merchant energy retail sales volumes and higher prices. The remainder of the...

  • Page 19
    ... business earnings positively or negatively, lower electric and natural gas sales do negatively affect distribution company earnings. NU Enterprises: During 2005, NU Enterprises was the parent of Select Energy, Inc. (Select Energy), Select Energy Services, Inc. (SESI) and its subsidiaries, Northeast...

  • Page 20
    ... number of charges impacted NU Enterprises' merchant energy business results in 2005. Extreme increases in gas and oil prices in 2005 negatively affected sale obligations which had not yet been exited. NU recorded $278.9 million of after-tax ($440.9 million pre-tax) wholesale contract market changes...

  • Page 21
    ... payments made for the exit from long-term wholesale power contracts by NU Enterprises of approximately $186 million and an accounts receivable increase due to the retail distribution rate increases that took effect in 2005 offset by increases in working capital items including an accounts payable...

  • Page 22
    ... 31, 2005, Select Energy at NU's current credit ratings levels could have been requested to provide $12.7 million of collateral under certain contracts which counterparties have not required to date. If NU were to be downgraded to a sub-investment grade level by either Moody's or S&P, a number of...

  • Page 23
    ... close on the sale of the generation assets by the end of 2006. Energy Services Businesses: In 2005, NU Enterprises sold two of its six energy services businesses, SECI-NH and Woods Network, for a total of approximately $6.5 million. In January of 2006, the Massachusetts service location of SECI-CT...

  • Page 24
    ... lead times allow. Management will provide the estimated removal and in service dates when these construction contracts are signed. At December 31, 2005, CL&P has capitalized $6 million associated with this project. Business Development and Capital Expenditures Consolidated: In 2005, NU's capital...

  • Page 25
    ... and Services Tariff, FERC Electric No. 3, Schedule 21 - NU. As a result of the RTO start-up on February 1, 2005, the ROE in the local network service (LNS) tariff was increased to 12.8 percent. The ROE being utilized in the calculation of the current regional network service (RNS) rates is the...

  • Page 26
    ...PSNH's net income or financial position. Connecticut: Transmission Tracking Mechanism: On July 6, 2005, Connecticut adopted legislation creating a mechanism to allow the DPUC to true-up, at least annually, the retail transmission charge in local electric distribution company rates based on changes...

  • Page 27
    ... on August 11, 2005 in the Connecticut Superior Court. The court has not yet set a schedule for the appeal. Procurement Fee Rate Proceedings: CL&P is currently allowed to collect a fixed procurement fee of 0.50 mills per kilowatt-hour (kWh) from customers who purchase TSO service through 2006. One...

  • Page 28
    ... costs by combining certain operations of Yankee Gas and CL&P. New Hampshire: ES Rates: In accordance with the "Agreement to Settle PSNH Restructuring" and state law, PSNH files for updated Transition Energy Service Rate and Default Energy Service Rate, collectively referred to as Energy Service...

  • Page 29
    ... increase in costs as a direct result of higher fuel and purchased power costs that PSNH expected to incur. The generation ROE used in the updated cost projections was based upon the 9.63 percent ROE ordered on June 8, 2005. An order changing the ES rate to $0.0724 per kWh, effective August 1, 2005...

  • Page 30
    ... spent nuclear fuel is stored on the sites of the Yankee Companies' plants. The Yankee Companies collected the funds for payments into the nuclear waste fund from wholesale utility customers under FERCapproved contract rates. The wholesale utility customers in turn collect these payments from their...

  • Page 31
    ... of 2005. In January of 2006, the Massachusetts service location of SECI-CT was sold for approximately $2 million. Outlook: NU is not providing 2006 earnings guidance for NU Enterprises due to many factors, including: • The application of mark-to-market accounting to certain energy contracts until...

  • Page 32
    ... third parties. Currently, Select Energy has a contract for which a portion of the contract's fair value is determined based on a model or other valuation method. The model utilizes natural gas prices and a conversion factor to electricity. Broker quotes for electricity at locations for which Select...

  • Page 33
    ...-scheduled outages, bidding and scheduling with various ISOs, environmental issues and fuel costs. Competitive generation activities are also subject to various federal, state and local regulations. These risks may result in changes in the anticipated gross margins which the merchant energy business...

  • Page 34
    ...the competitive generation business, certain competitive generation contracts to sell plant output in future periods previously accounted for under accrual accounting were required to be marked-to-market in the fourth quarter of 2005. The contracts whose changes in fair value ï¬,ow through operating...

  • Page 35
    ... Network and Woods Electrical, all of which relate to the energy services businesses. In the fourth quarter of 2005, NU Enterprises sold SECI-NH and Woods Network to unaffiliated buyers for approximately $6.5 million. In January of 2006, the Massachusetts service location of SECI-CT was sold for...

  • Page 36
    ...requirements method utilized the total monthly volume of electricity or gas delivered to the system and applied a delivery efficiency (DE) factor to reduce the total monthly volume by an estimate of delivery losses in order to calculate total estimated monthly sales to customers. The total estimated...

  • Page 37
    ..., "Accounting for the Effects of Certain Types of Regulation." The transmission and distribution businesses of CL&P, PSNH and WMECO, along with PSNH's generation business and Yankee Gas' distribution business, continue to be cost-of-service rate regulated, and management believes the application of...

  • Page 38
    ...as a certain number of employees are expected to elect the new 401(k) benefit, resulting in a reduction in aggregate estimated future years of service under the Pension Plan. Management estimated the amount of the curtailment expense associated with this change based upon actuarial calculations and...

  • Page 39
    ... increase/(decrease) to the Pension Plan's and PBOP Plan's reported cost as a result of a change in the following assumptions by 50 basis points (in millions): Pension Plan Assumption Change 2005 At December 31, Postretirement Plan 2004 2005 2004 Lower long-term rate of return Lower discount rate...

  • Page 40
    ... the health care cost trend by one percentage point would have increased service and interest cost components of the PBOP Plan cost by $0.9 million in 2005 and $1 million in 2004. Income Taxes: Income tax expense is calculated each year in each of the jurisdictions in which NU operates. This process...

  • Page 41
    ... Significant Accounting Policies - Asset Retirement Obligations," to the consolidated financial statements. Under SFAS No. 71, regulated utilities, including NU's Utility Group companies, currently recover amounts in rates for future costs of removal of plant assets. At December 31, 2005 and 2004...

  • Page 42
    ... or operating lease agreements or agreements related to the estimated future annual Utility Group or NUEnterprises costs that could trigger a change in terms and conditions, such as acceleration of payment obligations. (e) Amounts are not included on NU's consolidated balance sheets. Rate reduction...

  • Page 43
    ... from NU Enterprises ($687 million) and higher CL&P and WMECO standard offer supply costs and increased retail sales ($479 million). The increase is also due to higher PSNH expenses primarily due to higher energy costs and higher retail sales ($98 million) and higher Yankee Gas expenses primarily...

  • Page 44
    ... by lower expenses for NU Enterprises as a result of decreased cost of services primarily in the services business ($29 million). Interest Expense, Net Interest expense, net increased $22 million in 2005, primarily due to higher interest on long-term debt ($23 million) as a result of Utility Group...

  • Page 45
    ... customer. In addition, electric wholesale revenues decreased $72 million, primarily due to lower Utility Group sales related to IPP contracts and the expiration of long-term contracts. Other Operation Other operation expenses increased $104 million in 2004, primarily due to higher expenses for NU...

  • Page 46
    ... offset by lower state income tax expense, due to increased state tax credits and favorable unitary apportionment. (Loss)/Income from Discontinued Operations Beginning with the quarter ended September 30, 2005, the operations of SESI, SECI-NH, Woods Network and Woods Electrical were presented...

  • Page 47
    ... of Northeast Utilities and subsidiaries (NU) and of other sections of this annual report. These financial statements, which were audited by Deloitte & Touche LLP, have been prepared in conformity with accounting principles generally accepted in the United States of America using estimates and...

  • Page 48
    ... an explanatory paragraph regarding the Company's recording of significant charges in connection with its decision to exit certain business lines and the reporting of certain components of the Company's energy services businesses as discontinued operations. Hartford, Connecticut March 7, 2006

  • Page 49
    ... Company's energy services businesses are reported as discontinued operations. We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the effectiveness of the Company's internal control over financial reporting as of December 31, 2005...

  • Page 50
    ... uncollectible accounts of $24,444 in 2005 and $25,325 in 2004 Unbilled revenues Taxes receivable Fuel, materials and supplies Marketable securities Derivative assets - current Prepayments and other Assets held for sale Property, Plant and Equipment: Electric utility Gas utility Competitive energy...

  • Page 51
    ...) 2005 Liabilities and Capitalization Current Liabilities: Notes payable to banks Long-term debt - current portion Accounts payable Accrued taxes Accrued interest Derivative liabilities - current Counterparty deposits Other Liabilities of assets held for sale Rate Reduction Bonds Deferred Credits...

  • Page 52
    ... information) 2005 Operating Revenues Operating Expenses: Operation - Fuel, purchased and net interchange power Other Wholesale contract market changes, net Restructuring and impairment charges Maintenance Depreciation Amortization Amortization of rate reduction bonds Taxes other than income taxes...

  • Page 53
    ... Allocation of benefits - ESOP 590,173 Restricted shares, net (65,446) Tax deduction for stock options exercised and Employee Stock Purchase Plan disqualifying dispositions Capital stock expenses, net Other comprehensive income Balance as of December 31, 2005 153,225,892 368 (14,540) 21,207 $874...

  • Page 54
    ... contract market changes, net Restructuring and impairment charges Bad debt expense Depreciation Deferred income taxes Amortization Amortization of rate reduction bonds Amortization/(deferral) of recoverable energy costs Pension expense/(income) Wholesale contract buyout payments Regulatory (refunds...

  • Page 55
    ... 2028 2031 Other: 2005-2008 2012-2015 2018-2026 2034 Total Pollution Control Notes and Other Total First Mortgage Bonds, Pollution Control Notes and Other Fees and interest due for spent nuclear fuel disposal costs Change in Fair Value Unamortized premium and discount, net Total Long-Term Debt Less...

  • Page 56
    ... three companies: The Connecticut Light and Power Company (CL&P), Public Service Company of New Hampshire (PSNH) and Western Massachusetts Electric Company (WMECO). Another Utility Group company is Yankee Gas Services Company (Yankee Gas), which owns and operates Connecticut's largest natural gas...

  • Page 57
    ..., the company changed the classification of the change in restricted cash - locational marginal pricing (LMP) costs balances to present that change as an investing activity. The company previously presented that change as an operating activity which resulted in a $93.6 million decrease in net cash...

  • Page 58
    ... rate classes, then applying an average rate to the estimate of unbilled sales. The estimated DE factor had a significant impact on estimated unbilled revenue amounts. In the first quarter of 2005, management adopted a new method to estimate unbilled revenues for CL&P, PSNH, WMECO, and Yankee Gas...

  • Page 59
    ...Select Energy reported the settlement of all derivative wholesale contracts, including full requirements sales contracts in fuel, purchased and net interchange power as a result of applying mark-to-market accounting to those contracts. Certain competitive generation related derivative contracts that...

  • Page 60
    ... "Accounting for the Effects of Certain Types of Regulation." The transmission and distribution businesses of CL&P, PSNH and WMECO, along with PSNH's generation business and Yankee Gas' distribution business, continue to be cost-of-service rate regulated, and management believes that the application...

  • Page 61
    ... at December 31, 2005 and 2004, respectively. The majority of the recoverable energy costs are currently recovered in rates from the customers of CL&P, PSNH, WMECO, and Yankee Gas. PSNH's recoverable energy costs are Part 3 stranded costs. Regulatory Liabilities: The Utility Group had $1.3 billion...

  • Page 62
    ...energy contracts Other Total deferred tax assets - current Net deferred tax (assets)/liabilities - current Deferred tax liabilities - long-term: Accelerated depreciation and other plant-related differences Employee benefits Regulatory amounts: Securitized contract termination costs and other Income...

  • Page 63
    ... beneficiary." L. Jointly Owned Electric Utility Plant Regional Nuclear Companies: At December 31, 2005, CL&P, PSNH and WMECO own common stock in three regional nuclear companies (Yankee Companies). Each of the Yankee Companies owns a single nuclear generating plant which is being decommissioned...

  • Page 64
    ... Principles Board Opinion (APB) No. 25, "Accounting for Stock Issued to Employees," and related interpretations. Equity-based employee compensation cost for stock options is not reï¬,ected in net income, as all options granted under those plans had an exercise price equal to the market value of the...

  • Page 65
    ... review across operating companies have been performed. The earnings impact of this implementation has been reported as a cumulative effect of accounting change, net of tax benefit, of $1 million related to NU Enterprises. The Utility Group companies utilized regulatory accounting in accordance...

  • Page 66
    ... for SESI that had not been spent on construction projects and $16.3 million in escrow for Yankee Gas, which represented payment for Yankee Gas' first mortgage bonds that were paid on June 1, 2005. Other Income: Investment income CL&P procurement fee AFUDC - equity funds Gain on disposition of...

  • Page 67
    ... in 2005 at prices less than their marks at the time; • A charge of approximately $80 million related to purchases of additional electricity for an increase in the load forecasts related to a full requirements contract with a customer in the PennsylvaniaNew Jersey-Maryland (PJM) power pool...

  • Page 68
    ... statements. The major classes of assets and liabilities that are held for sale at December 31, 2005 are as follows: On March 9, 2005, NU concluded that NU Enterprises' energy services businesses are not central to NU's long-term strategy and do not meet the company's expectations of profitability...

  • Page 69
    ... Other assets Long-term contract receivables Total assets Accounts and notes payable Other current liabilities Long-term debt Other liabilities Total liabilities Net assets $ 10.2 8.6 1.3 2.2 79.5 101.8 3.0 3.2 86.3 9.0 101.5 $ 0.3 authorization to allow NU, CL&P, WMECO, and Yankee Gas to incur...

  • Page 70
    ...other comprehensive income at December 31, 2005 was a positive $18.2 million, net of tax NU Enterprises: Wholesale $256.6 Retail 35.3 Generation 9.2 Hedging 19.7 Utility Group - Gas: Non-trading 0.1 Utility Group - Electric: Non-trading 82.6 NU Parent: Hedging - Totals $403.5 $103.5 $(369.3) $(220...

  • Page 71
    .... NU Enterprises - Wholesale: Certain electricity and natural gas derivative contracts are part of Select Energy's wholesale marketing business that the company is in the process of exiting. These contracts also include other wholesale short-term and long-term electricity supply and sales contracts...

  • Page 72
    ... natural gas inventory was recorded as an increase to fuel, materials and supplies of $1.2 million at December 31, 2005. Utility Group - Gas - Non-Trading: Yankee Gas' non-trading derivatives consist of peaking supply arrangements to serve winter load obligations and firm retail sales contracts...

  • Page 73
    ...service requirements. For current employees and certain retirees, the total benefit is limited to two times the 1993 per retiree health care cost. These costs are charged to expense over the estimated work life of the employee. NU uses a December 31st measurement date for the PBOP Plan. NU annually...

  • Page 74
    ... were used in calculating the plans' year end funded status: At December 31, Pension Benefits Balance Sheets 2005 2004 Postretirement Benefits 2005 2004 Discount rate Compensation/progression rate Health care cost trend rate The components of net periodic expense/(income) are as follows...

  • Page 75
    ... 2005 and 2004 Target Asset Allocation Assumed Rate of Return Currently, NU's policy is to annually fund an amount at least equal to that which will satisfy the requirements of the Employee Retirement Income Security Act and Internal Revenue Code. Postretirement health plan assets for non-union...

  • Page 76
    ... fair value of each stock option grant has been estimated on the date of grant using the Black-Scholes option pricing model and is used to calculate the pro forma net (loss)/income and EPS over the service period, as disclosed in Note 1N, "Summary of Significant Accounting Policies - Equity-Based...

  • Page 77
    ..., 2005 2004 Utility Group - Gas: Yankee Gas NU Enterprises: Merchant Energy Energy Services Totals $287.6 - - $287.6 $287.6 3.2 29.1 $319.9 As a result of NU's 2005 announcements to exit the competitive wholesale and retail marketing businesses, the competitive generation business and the energy...

  • Page 78
    ... Rate, collectively referred to as Energy Service Rate (ES) revenues and costs. The NHPUC reviews the filing, including a prudence review of the operations within PSNH's generation business segment. The cumulative deferral of SCRC revenues in excess of costs was $303.3 million at December 31, 2005...

  • Page 79
    ... include any unasserted claims. At December 31, 2005, there are 11 sites for which there are unasserted claims; however, any related remediation costs are not probable or estimable at this time. NU's environmental liability also takes into account recurring costs of managing hazardous substances and...

  • Page 80
    ... the contracts signed for the Northern Wood Power Project and are not included in the table of estimated future annual Utility Group costs below. Yankee Companies FERC-Approved Billings, Subject to Refund: NU has significant decommissioning and plant closure cost obligations to the Yankee Companies...

  • Page 81
    ... costs of the Utility Group's significant long-term contractual arrangements at December 31, 2005 are as follows: 2007 2008 2009 2010 Thereafter VYNPC Electricity procurement contracts Natural gas procurement contracts PNGTS pipeline commitments Hydro-Quebec Transmission business project...

  • Page 82
    ... spent nuclear fuel is stored on the sites of the Yankee Companies' plants. The Yankee Companies collected the funds for payments into the nuclear waste fund from wholesale utility customers under FERC-approved contract rates. The wholesale utility customers in turn collect these payments from their...

  • Page 83
    ... the court, 2) the recovery of CL&P's station service billings from NRG, which is currently the subject of an arbitration, and 3) the recovery of Yankee Gas' and CL&P's expenditures that were incurred related to an NRG subsidiary's generating plant construction project that has ceased. While it is...

  • Page 84
    ... spent nuclear fuel trust Totals $ 3.7 58.1 50.8 (a) $ 55.1 49.3 $104.4 $(1.2) $112.6 $112.6 For 2005, management determined that the decline in the value of the Globix investment was other than temporary in nature and recorded pre-tax charges totaling $6.1 million in other income, net on the...

  • Page 85
    .... Certain lease agreements contain contingent lease payments. The contingent lease payments are based on various factors, such as the commercial paper rate plus a credit spread or the consumer price index. Essentially all utility plant of CL&P, PSNH, NGC, and Yankee Energy System, Inc. is subject to...

  • Page 86
    ... $(1.2) The changes in the components of other comprehensive income/(loss) are reported net of the following income tax effects: (Millions of Dollars) 2005 2004 2003 Qualified cash ï¬,ow hedging instruments Unrealized gains on securities Minimum supplemental executive retirement pension liability...

  • Page 87
    ... regarding CL&P's, PSNH's, and WMECO's transmission businesses. Utility Group revenues from the sale of electricity and natural gas are primarily derived from residential, commercial and industrial customers and are not dependent on any single customer. The NU Enterprises merchant energy business...

  • Page 88
    ... segment schedules due to rounding): For the Year Ended December 31, 2005 Utility Group Distribution (Millions of Dollars) Electric Gas Transmission NU Enterprises Other Eliminations Total Operating revenues Wholesale contract market changes, net Restructuring and impairment charges Depreciation...

  • Page 89
    ...fit Preferred dividends Income/(loss) from continuing operations Income from discontinued operations Income/(loss) before cumulative effect of accounting change Cumulative effect of accounting change, net of tax benefit Net income/(loss) Cash ï¬,ows for total investments in plant $ 3,865.8 (483...

  • Page 90
    ... are included in the services and other columns. NU Enterprises - For the Year Ended December 31, 2005 Merchant Services Energy and Other Total (Millions of Dollars) Operating revenues Wholesale contract market charges, net Restructuring and impairment charges Depreciation and amortization Other...

  • Page 91
    ... quarter of 2005. (c) Quarterly operating (loss)/income amounts differ from those previously reported as a result of the change in classification of certain costs that were not recoverable from regulated customers. These amounts were previously presented in other income, net, have been reclassi...

  • Page 92
    ... Operations Cumulative Effects of Accounting Changes, Net of Tax Benefits Net (Loss)/Income Basic Common Shares Outstanding (Average) Fully Diluted Common Shares Outstanding (Average) Dividends Per Share Market Price - Closing (high) (c) Market Price - Closing (low) (c) Market Price - Closing...

  • Page 93
    ... Total Electric Total Gas Total - Utility Group NU Enterprises: Retail Wholesale (a) Generation Services Miscellaneous and eliminations Total - NU Enterprises Other miscellaneous and eliminations Total Utility Group Sales: (kWh - Millions) Residential Commercial Industrial Wholesale Streetlighting...

  • Page 94
    ...Hartford Steam Boiler Inspection & Insurance Company Northeast Utilities Service Company Officers as of March 9, 2006 Charles W. Shivery Chairman, President and Chief Executive Officer Electric & Gas Operating Company Officers CL&P - The Connecticut Light and Power Company PSNH - Public Service...

  • Page 95
    ... schedules thereto, without charge, upon receipt of a written request sent to: O. Kay Comendul Assistant Secretary Northeast Utilities P.O. Box 270 Hartford, Connecticut 06141-0270 New option to receive your annual report and proxy materials electronically In 2005, NU shareholders approved a change...

  • Page 96
    P.O. Box 270 Hartford, Connecticut 06141-0270 1 800.286.5000 www.nu.com