CenterPoint Energy 2006 Annual Report Download

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Energy
Every Day
ANNUAL REPORT 2006

Table of contents

  • Page 1
    Energy Every Day ANNUAL REPORT 2006

  • Page 2
    ... on us for growth. They depend on us for service and reliability. And we consistently deliver. Every single day. Total Shareholder Return for 2006 The chart illustrates total shareholder return for CenterPoint Energy's common stock (assuming reinvestment of dividends) between 12/31/05 and 12/31/06...

  • Page 3
    ... sells natural gas and related services to commercial, industrial and wholesale customers that are primarily located in the eastern half of the United States. Operating income was $77 million. Our Code of Ethics The CenterPoint Energy Ethics and Compliance Code is based on our core values of...

  • Page 4
    CenterPoint Energy is an energy delivery company, and we are continuing to find ways to make each tomorrow even brighter - for our customers, shareholders, employees and communities. Milton Carroll, Chairman of the Board, David M. McClanahan, President and Chief Executive Officer

  • Page 5
    Dear Shareholder, With our company's transition period following electric restructuring in Texas largely completed, we were able to turn our full attention to executing our core business plans in 2006. We are pleased to report that we had a good year. CenterPoint Energy reported $432 million in net...

  • Page 6
    ... solid values. At CenterPoint Energy, we're committed to our core values of integrity, accountability, initiative and respect for our customers, investors, employees and communities. We demonstrate our values through our community relations activities, workforce and supplier diversity programs and...

  • Page 7
    ... our labor resources, plan for upcoming retirements and expand our leadership development program. • We are working with IBM to develop an intelligent electric grid using broadband over power lines technology. This exciting project has the potential to significantly improve metering, grid planning...

  • Page 8
    It's 6:07 a.m. Sleepy risers press snooze, hoping for a few more minutes' rest. But CenterPoint Energy is already on, delivering the electricity that powers alarm clocks and coffee makers, bedside lamps and air conditioners.

  • Page 9
    ... to grow in 2006, adding more than 37,000 metered residential and small commercial customers. Operating income was $450 million (excluding the transition bond companies), up from $448 million in 2005. We reached a rate case agreement approved by the Public Utility Commission of Texas (PUCT) that...

  • Page 10
    ...to optimize our labor resources, balance our labor requirements and plan for upcoming retirements. We implemented a five-year labor strategy that includes hiring additional front-line employees in 2007 and facilitates the transfer of knowledge from retiring employees. We also signed a new, four-year...

  • Page 11
    ... fleet services, surveying and mapping, and line locating to serve both our electric and gas businesses; creating a combined marketing and sales organization to identify and capitalize on growth opportunities; reorganizing our community relations, human resources, finance, regulatory and corporate...

  • Page 12
    It's 9:15 a.m. A last few hungry souls enjoy breakfast cooked over ï¬,ames. CenterPoint Energy reliably delivers the natural gas that fuels kitchens and homes, workplaces and industries.

  • Page 13
    ... We signed agreements for three such projects, two in Houston and one in Biloxi, Mississippi. Working to Get Our Rates Right We are working hard to earn our authorized rate of return. We have new rates in place in several of our jurisdictions. In 2006, we reached settlements in our 2005 rural Texas...

  • Page 14
    It's 1:02 p.m. Many never see the pipe CenterPoint Energy lays to connect supply to demand. Homes and industry simply enjoy the benefits of clean, efficient natural gas delivered through the lines.

  • Page 15
    ... when it goes into service in the summer of 2008. The pipeline has 95 percent of capacity already sold to affiliates of Florida Power & Light, Progress Energy, Southern Company, Tampa Electric and EOG Resources. Carthage to Perryville and SESH are two of the larger pipeline projects to be built in...

  • Page 16
    ... triple the annual amount of the prior three years. We added more than 400 new well connections and initiated a record number of projects, including a $22 million expansion of the East Texas/Waskom processing plant and associated facilities and a $38 million north Louisiana system expansion to...

  • Page 17
    ... transportation management services for utilities, co-ops, gas-fired electric generators and large industrial facilities. To meet increased customer demands, CES invested in new gas storage facilities and expanded its intrastate pipeline system. The Pierce Junction storage facility in Houston added...

  • Page 18
    ... our sponsorship and support from the City of Houston, the National Weather Service 2006 Hurricane Workshop provided information on hurricane preparedness to a public concerned in the aftermath of hurricanes Rita and Katrina. CenterPoint Energy employees recorded more than 128,000 hours of volunteer...

  • Page 19
    ...Tower auditorium, 1111 Louisiana Street, Houston, Texas. Shareholders who hold shares of CenterPoint Energy as of March 26, 2007, will receive notice of the meeting and will be eligible to vote. Information Requests Call (888) 468-3020 toll-free for additional copies of: 2006 Annual Report and Form...

  • Page 20
    From dawn to dusk CenterPoint Energy is on 1111 LOUISIANA STREET HOUSTON, TX 77002