Vectren 2010 Annual Report Download - page 106

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104
Under current regulatory treatment, call premiums on reacquisition of long-term debt are generally recovered in customer rates
over the life of the refunding issue or over a 15-year period. Accordingly, any reacquisition would not be expected to have a
material effect on the Company's results of operations.
Because of the customized nature of notes receivable investments and lack of a readily available market, it is not practical to
estimate the fair value of these financial instruments at specific dates without considerable effort and cost. At December 31,
2010 and 2009, the fair value for these financial instruments was not estimated. The carrying value of notes receivable,
inclusive of any accrued interest and net of impairment reserves, was approximately $10.9 million and $16.7 million December
31, 2010 and 2009.
19. Segment Reporting
The Company segregates its operations into three groups: 1) Utility Group, 2) Nonutility Group, and 3) Corporate and Other.
The Utility Group is comprised of Vectren Utility Holdings, Inc.’s operations, which consist of the Company’s regulated
operations and other operations that provide information technology and other support services to those regulated operations.
The Company segregates its regulated operations between a Gas Utility Services operating segment and an Electric Utility
Services operating segment. The Gas Utility Services segment provides natural gas distribution and transportation services to
nearly two-thirds of Indiana and to west central Ohio. The Electric Utility Services segment provides electric distribution
services primarily to southwestern Indiana, and includes the Company’s power generating and wholesale power operations.
Regulated operations supply natural gas and /or electricity to over one million customers. In total, the Utility Group is comprised
of three operating segments: Gas Utility Services, Electric Utility Services, and Other Shared Service operations.
Consistent with a reporting structure implemented during 2010, the Nonutility Group is comprised of five operating segments.
Prior segment disclosures reported the Nonutility Group as a single operating segment, and for comparison purposes those
prior periods are conformed to the current year presentation. The operating segments of the Nonutility Group are Infrastructure
Services, Energy Services, Coal Mining, Energy Marketing, and Other Businesses.
Corporate and Other includes unallocated corporate expenses such as advertising and charitable contributions, among other
activities, that benefit the Company’s other operating segments.
Net income is the measure of profitability used by management for all operations.
Information related to the Company’s business segments is summarized below:
(In millions) 2010 2009 2008
Revenues
Utility Group
Gas Utility Services 954.1$
1,066.0$
1,432.7$
Electric Utility Services 608.0
528.6
524.2
Other Operations 44.5
42.8
36.8
Eliminations (42.9)
(41.2)
(35.0)
Total Utility Group 1,563.7 1,596.2 1,958.7
Nonutility Group
Infrastructure Services 235.6
202.0
195.4
Energy Services 146.9
121.3
118.6
Coal Mining 209.9
193.4
164.4
Energy Marketing 142.8
157.2
182.6
Other Businesses -
-
3.7
Total Nonutility Group 735.2 673.9 664.7
Eliminations (169.4)
(181.2)
(138.7)
Consolidated Revenues 2,129.5$
2,088.9$
2,484.7$
Year Ended December 31,