CenterPoint Energy 2013 Annual Report Download - page 72

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50
Natural Gas Distribution
The following table provides summary data of our Natural Gas Distribution business segment for 2013, 2012 and 2011 (in
millions, except throughput and customer data):
Year Ended December 31,
2013 2012 2011
Revenues ......................................................................................................... $ 2,863 $ 2,342 $ 2,841
Expenses:
Natural gas .................................................................................................... 1,607 1,196 1,675
Operation and maintenance .......................................................................... 667 637 655
Depreciation and amortization...................................................................... 185 173 166
Taxes other than income taxes...................................................................... 141 110 119
Total expenses................................................................................... 2,600 2,116 2,615
Operating Income............................................................................................ $ 263 $ 226 $ 226
Throughput (in Bcf):
Residential .................................................................................................... 182 140 172
Commercial and industrial............................................................................ 265 243 251
Total Throughput.............................................................................. 447 383 423
Number of customers at end of period:
Residential .................................................................................................... 3,090,966 3,058,695 3,036,267
Commercial and industrial............................................................................ 247,100 246,413 246,220
Total.................................................................................................. 3,338,066 3,305,108 3,282,487
2013 Compared to 2012. Our Natural Gas Distribution business segment reported operating income of $263 million for 2013
compared to $226 million for 2012. Operating income increased $37 million primarily due to increased usage as a result of colder
weather compared to the prior year, partially mitigated by weather hedges and weather normalization adjustments ($29 million),
rate increases ($29 million), and increased economic activity across our footprint including the addition of approximately 33,000
residential customers ($7 million). These increases were partially offset by increased operating expenses ($6 million), higher bad
debt expense ($5 million), higher depreciation and amortization expense ($12 million) and an increase in taxes ($5 million),
primarily attributable to property taxes. Increased expense related to energy efficiency programs ($17 million) and increased
expense related to higher gross receipt taxes ($26 million) were offset by a corresponding increase in the related revenues.
2012 Compared to 2011. Our Natural Gas Distribution business segment reported operating income of $226 million for each
of 2012 and 2011. Operating income was unchanged despite substantially reduced revenues from near record mild temperatures
in the first quarter of 2012 that were partially mitigated by weather hedges and weather normalization adjustments ($21 million),
increased depreciation and amortization expense ($7 million) and increased property taxes ($4 million). These adverse impacts
were offset by certain reduced operation and maintenance expenses ($5 million), lower bad debt expense ($7 million), the addition
of over 22,000 customers ($6 million) and rate increases ($12 million). Decreased expense related to energy efficiency programs
($4 million) and decreased expense related to lower gross receipts taxes ($12 million) were offset by a corresponding reduction
in the related revenues.