OG&E 2009 Annual Report Download - page 20

Short-Term Debt
Short-term borrowings or advances from OGE Energy generally are used to meet working capital requirements. The
Company borrows on a short-term basis, as necessary, by the issuance of commercial paper, by borrowings under its revolving credit
agreement or by advances from OGE Energy. There were no outstanding borrowings under this revolving credit agreement and no
outstanding commercial paper borrowings at December 31, 2009 or 2008. At December 31, 2009, the Company had no outstanding
advances from OGE Energy. At December 31, 2008, the Company had approximately $17.6 million in outstanding advances from
OGE Energy. Also, the Company has the necessary regulatory approvals to incur up to $800 million in short-term borrowings at any
time for a two-year period beginning January 1, 2009 and ending December 31, 2010. See Note 10 of Notes to Financial Statements
for a discussion of OGE Energy’s and the Company’s short-term debt activity. The Company has less than $0.1 million and
approximately $50.7 million of cash and cash equivalents at December 31, 2009 and 2008, respectively.
Registration Statement Filing
During the first half of 2010, the Company expects to file a Form S-3 Registration Statement to register debt securities for
sale by the Company.
Expected Issuance of Long-Term Debt
The Company expects to issue approximately $250 million of long-term debt in mid-2010, depending on market conditions,
to fund capital expenditures, repay short-term borrowings and for general corporate purposes.
EMPLOYEES
The Company had 2,127 employees at December 31, 2009.
ACCESS TO SECURITIES AND EXCHANGE COMMISSION FILINGS
OGE Energy’s web site address is www.oge.com. Through OGE Energy’s web site under the heading “Investor Relations”,
“SEC Filings,” OGE Energy makes available, free of charge, OGE Energy’s and the Company’s annual report on Form 10-K,
quarterly reports on Form 10-Q, current reports on Form 8-K and all amendments to those reports filed or furnished pursuant to
Section 13(a) or 15(d) of the Exchange Act as soon as reasonably practicable after such material is electronically filed with or
furnished to the SEC. Our Internet website and the information contained therein or connected thereto are not intended to be
incorporated into this Form 10-K and should not be considered a part of this Form 10-K.
Item 1A. Risk Factors.
In the discussion of risk factors set forth below, unless the context otherwise requires, the terms “we”, “our” and “us”
refer to Oklahoma Gas and Electric Company and “OGE Energy” refers to OGE Energy. In addition to the other
information in this Annual Report on Form 10-K and other documents filed by us with the SEC from time to time, the
following factors should be carefully considered in evaluating the Company. Such factors could affect actual results and cause
results to differ materially from those expressed in any forward-looking statements made by or on our behalf. Additional
risks and uncertainties not currently known to us or that we currently view as immaterial may also impair our business
operations.
REGULATORY RISKS
Our profitability depends to a large extent on our ability to fully recover our costs from our customers and there may be changes in
the regulatory environment that impair our ability to recover costs from our customers.
We are subject to comprehensive regulation by several Federal and state utility regulatory agencies, which significantly
influences our operating environment and our ability to fully recover our costs from utility customers. With rising fuel costs,
recoverability of under recovered amounts from our customers is a significant risk. The utility commissions in the states where we
operate regulate many aspects of our utility operations including siting and construction of facilities, customer service and the rates
that we can charge customers. The profitability of our utility operations is dependent on our ability to fully recover costs related to
providing energy and utility services to our customers.
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