Dominion Power 2004 Annual Report Download - page 26

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D 2004/Page 24
Reconciliation of Debt to Capitalization to GAAP Measures
GAAP Measure Adjusted Measure Projected GAAP Measure Projected Adjusted Measure
at 12/31/04 at 12/31/04 at 12/31/05 at 12/31/05
(dollars in millions)
Securities due within one year $ 1,368 $ 1,368 $ 2,476 $ 2,476
Short-term debt 573 573 825 825
Long-term debt:
Equity-linked debt securities 330 330 330 330
Junior subordinated debentures 1,429 1,441
Other long-term debt 13,748 13,748 12,353 12,353
Long-term debt–total 15,507 14,078 14,124 12,683
Total debt 17,448 59.9% 16,019 54.4% 17,425 56.0% 15,984 50.8%
Preferred stock 257 257 257 257
Junior subordinated debentures 1,429 1,441
Common shareholders' equity 11,426 11,426 13,442 13,442
Equity-linked debt securities 330 330
Total equity and preferred stock 11,683 40.1% 13,442 45.6% 13,699 44.0% 15,470 49.2%
Total capitalization $29,131 $29,461 $31,124 $31,454
Consolidated Dominion Resources, Inc.—Reconciliation of Operating Earnings to Reported Earnings (GAAP)
2000 2001 2002 2003 2004
Millions EPS Millions EPS Millions EPS Millions EPS Millions EPS
Operating Earnings $ 787 $ 3.33 $ 1,053 $ 4.17 $ 1,365 $ 4.83 $ 1,449 $ 4.55 $1,523 $ 4.61
After-tax items:
Valuation of long-term power-tolling contract (112) (0.34)
Hurricane Ivan—De-designation and changes
in value of oil hedges (61) (0.18)
Telecom related charges (750) (2.35) (13) (0.04)
Hurricane Isabel costs (122) (0.38) 11 0.03
CNGI assets held for sale (69) (0.22) 28 0.08
Severance costs for workforce reductions (16) (0.06) (3) (0.01)
Restructuring of certain electric sales contracts (39) (0.12)
Dominion Capital related charges (186) (0.79) (183) (0.73) (8) (0.03) (81) (0.25) (61) (0.18)
Termination of power purchase contracts (136) (0.54) (65) (0.20) (43) (0.13)
Expenses related to the sale of E&P assets (6) (0.02)
Class action lawsuit settlement (7) (0.02)
Cumulative effect of changes
in accounting principles 21 0.09 11 0.03
Restructuring & acquisition-related charges (198) (0.84) (68) (0.27) 5 0.02
Loss on sale of Saxon Mortgage (25) (0.10)
Enron impairment (97) (0.38)
Gain on sale of Corby Power Station 12 0.06
Other items (7) (0.02)
Total after-tax items (351) (1.48) (509) (2.02) (3) (0.01) (1,131) (3.55) (274) (0.83)
Reported Earnings (GAAP) $ 436 $ 1.85 $ 544 $ 2.15 $ 1,362 $ 4.82 $ 318 $ 1.00 $ 1,249 $ 3.78
Reconciliation of Operating Return on Equity to Reported Return on Equity
2004 2003
Millions % Millions %
Common Shareholders’ Equity–13 mos. average $10,552 $10,660
Operating Earnings–Twelve months ended* 1,523 1,449
Return on average common equity–operating 14.4% 13.6%
Reported Earnings–Twelve months ended 1,249 318
Return on average common equity–reported 11.8% 3.0%
* See Reconciliation of Operating Earnings to Reported Earnings.