Entergy 2009 Annual Report Download - page 3

Entergy Corporation and Subsidiaries 2009
To ou r ST a k e h o l d e r S :
Last year I began my annual letter to you by acknowledging, “I don’t know” how certain events will unfold. Unfortunately, all I can
say at this moment is “I really don’tknow.”Specically,Ireallydon’tknowhowoneofourkeyinitiatives,thespin-offofournon-
utility nuclear plants into a separate company, will turn out. Ordinarily, we would simply explain where we are in the process and
move forward with our traditional annual report, including my letter to you assessing the past year’s performance and outlining key
initiatives and strategies for the current year and beyond. In this case, I intend to do that in a supplemental report in the near future.
The reason we have decided to delay publishing our “traditional” annual report is the deadline for going to press with our 2009
annualreportwiththerequirednancialstatementsisliterallynow.Atthesametime,decisionsonsignicantregulatorymatters
in New York and Vermont related to the spin transaction are pending. In addition, events continue to unfold in Vermont regarding
matters pertaining to the Vermont Yankee nuclear plant. Given the range of potential outcomes and the likelihood we will know
considerably more in a matter of weeks, I don’t believe it is appropriate to speculate about what may or may not happen at this
time.Atsomepointintheregulatoryprocessyouhavedoneallyoucanandthedecisionisinthe“handsofthejury.”That’swhere
we “think” we are in New York; however, at a March 4, 2010 meeting of the New York Public Service Commission, March 25 was
signaledasapotentialdateforanaldecisionalthoughtheCommissionalsoagreedtoafurtheropportunityforinputfromall
of the parties. This input could potentially be wide ranging, including input on everything from their own articulated principles
or conditions for approval, to allowing testimony in the New York proceeding on or from Vermont, to soliciting input on
environmental issues raised in the license renewal process before another regulatory body. On March 10, a technical conference
wasconductedbytheNewYorkCommissionandcommentsaredueonMarch18,unlessmodiedforgoodcauseshown.This
couldbeawatershedeventinthespin-offstrategyasboththeNewYorkCommissionandEntergyhavesignicantdecisionsto
make depending on how broad the respondents request opening the proceeding. So instead of speculating on the outcome or what
comesnext“if,”wedecidedtotakeastagedapproachinpresentingour2009nancialresultsandstrategies.
 Thisreportincludesalltherequirednancialreports.Thesupplementalreportwillincludeinformationyouareaccustomed
to receiving.
I apologize for this delay and inconvenience, but in the end we expect to provide a better, more informative report as a result.
While this report is intentionally abbreviated, I would be remiss if I did not use this opportunity to acknowledge the outstanding
effortsofEntergyemployees.Thankstotheirhardwork,weachievedseveralimportantmilestonesin2009.Werecordedthesafest
yearinEntergy’shistorywithnofatalitiesandthefewestnumberofaccidents.Weimprovedfrom2008to2009onkeycustomer
servicemetricssuchasregulatoryoutagecomplaints,outagefrequency,outagedurationandcall-centerresponsemeasures.Infact,
itwasoursecondbestyearonoutagefrequency.Weachievedthehighestgenerationoutputfromourcollectivenucleareet.
We were named to the Dow Jones Sustainability World Index for the eighth consecutive year.
 Whileweachievedrecordtotalearningsandearningspershare,wedidnotreachouroverarchingnancialaspirationin2009,
whichistodelivertop-quartiletotalshareholderreturn.Ourtotalshareholderreturnfortheyearwas2.4percent,placingusinthe
bottomquartileofourpeergroup.Thisdismalperformancewascertainlybelowourexpectations.Atleastinpart,thisnancial
performancerelatestouncertaintiesonhowthespin-offwillberesolvedandonfuturepowerpricesforournon-utilitynuclear
eet.Therstoftheseweexpecttoshedmorelightoninthenearterm.Thesecondservestosubstantiateoneoftheprimary
reasonsforthespin-off.Notallinvestorsliketheriskassociatedwithpowerpricemovementsorhaveapointofviewonfuture
powerprices.Aseparatestockwouldallowthoseofyouwhoarecomfortablewiththatriskandhaveapositiveoutlookonpower
price or the value of clean energy to execute on that point of view.
 Regardless,aswehavesaidmanytimes,webelieveinthelong-termpotentialoftheseassetsandwhetherthespinisapprovedor
not, you own the plants and the underlying value. It is our responsibility to deliver the full “practically realizable” value. If the value of
havingtwoseparatestockswithspecicriskprolesisnotachievableduetoregulatoryactions,wewillcontinuetoworkdiligentlyon
strategies to deliver the full value that is achievable in a different way.
 Entergybuiltits11-yeartrackrecordoftop-quartileshareholderreturnbydiligentlyapplyingitsdistinctivestrengthsto
overcome external challenges. Our strengths include the thoughtful, resourceful leadership of our Board of Directors, the
adaptabilityandrobustnatureofourdynamicpoint-of-view-drivenstrategyfocusedonoperationalexcellenceandportfolio
management,andtheexperienceanddedicationofEntergyemployees.
 Thelast11yearshavenotbeenwithoutadversityortimesofgreatuncertainty.IcanassureyouthattheEntergythathas
deliveredvalueconsistentlyforallstakeholdersoverthisperiodisthesameEntergythatexiststoday.Ifanything,wearebetterand
stronger, and more determined to achieve our aspirations, knowing from our experience there is always a way through adversity
that is less risky or less time consuming if all options remain on the table. Good things don’t happen consistently by chance, but
rather by consistent hard work, resilience, determination and resourcefulness in quickly adapting as the world around us changes.
Whatever happens, you can count on deliberate and purposeful actions, not wishful thinking.
J. Wayne Leonard
ChairmanandChiefExecutiveOfcer
March 17, 2010
2  Forward-LookingInformation
3  Five-YearSummaryofSelectedFinancialandOperatingData
3  ComparisonofFive-YearCumulativeReturn
4-5 Denitions
7  Management’sFinancialDiscussionandAnalysis
58-59  ReportsofIndependentRegisteredPublicAccountingFirm
62-63
64-65
66  ConsolidatedStatementsofRetainedEarnings,
 ComprehensiveIncomeandPaid-InCapital
DirectorsandExecutiveOfcers
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