Exhibit 99.2
DTE ENERGY COMPANY
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED)
(In millions) | March 31 2012 | December 31 2011 | ||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash and cash equivalents | $ | 57 | $ | 68 | ||||
Restricted cash, principally Securitization | 86 | 147 | ||||||
Accounts receivable (less allowance for doubtful accounts of $160 and $162, respectively) | ||||||||
Customer | 1,262 | 1,317 | ||||||
Other | 122 | 90 | ||||||
Inventories | ||||||||
Fuel and gas | 447 | 572 | ||||||
Materials and supplies | 219 | 219 | ||||||
Deferred income taxes | 62 | 51 | ||||||
Derivative assets | 277 | 222 | ||||||
Regulatory assets | 232 | 314 | ||||||
Other | 187 | 196 | ||||||
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2,951 | 3,196 | |||||||
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Investments | ||||||||
Nuclear decommissioning trust funds | 1,004 | 937 | ||||||
Other | 532 | 525 | ||||||
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1,536 | 1,462 | |||||||
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Property | ||||||||
Property, plant and equipment | 22,780 | 22,541 | ||||||
Less accumulated depreciation, depletion and amortization | (8,856 | ) | (8,795 | ) | ||||
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13,924 | 13,746 | |||||||
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Other Assets | ||||||||
Goodwill | 2,020 | 2,020 | ||||||
Regulatory assets | 4,423 | 4,539 | ||||||
Securitized regulatory assets | 536 | 577 | ||||||
Intangible assets | 70 | 73 | ||||||
Notes receivable | 120 | 123 | ||||||
Derivative assets | 78 | 74 | ||||||
Other | 188 | 199 | ||||||
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7,435 | 7,605 | |||||||
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Total Assets | $ | 25,846 | $ | 26,009 | ||||
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DTE ENERGY COMPANY
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED) — (Continued)
(In millions, except shares) | March 31 2012 | December 31 2011 | ||||||
LIABILITIES AND EQUITY |
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Current Liabilities | ||||||||
Accounts payable | $ | 690 | $ | 782 | ||||
Accrued interest | 121 | 95 | ||||||
Dividends payable | 100 | 99 | ||||||
Short-term borrowings | 313 | 419 | ||||||
Current portion long-term debt, including capital leases | 530 | 526 | ||||||
Derivative liabilities | 238 | 158 | ||||||
Gas inventory equalization | 114 | — | ||||||
Other | 424 | 549 | ||||||
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2,530 | 2,628 | |||||||
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Long-Term Debt (net of current portion) | ||||||||
Mortgage bonds, notes and other | 6,404 | 6,405 | ||||||
Securitization bonds | 391 | 479 | ||||||
Junior subordinated debentures | 280 | 280 | ||||||
Trust preferred-linked securities | — | — | ||||||
Capital lease obligations | 18 | 23 | ||||||
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7,093 | 7,187 | |||||||
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Other Liabilities | ||||||||
Deferred income taxes | 3,188 | 3,116 | ||||||
Regulatory liabilities | 1,018 | 1,019 | ||||||
Asset retirement obligations | 1,615 | 1,591 | ||||||
Unamortized investment tax credit | 63 | 65 | ||||||
Derivative liabilities | 99 | 89 | ||||||
Accrued pension liability | 1,300 | 1,298 | ||||||
Accrued postretirement liability | 1,342 | 1,484 | ||||||
Nuclear decommissioning | 156 | 148 | ||||||
Other | 295 | 331 | ||||||
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9,076 | 9,141 | |||||||
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Commitments and Contingencies | ||||||||
Equity | ||||||||
Common stock, without par value, 400,000,000 shares authorized, 170,112,217 and 169,247,282 shares issued and outstanding, respectively | 3,453 | 3,417 | ||||||
Retained earnings | 3,804 | 3,750 | ||||||
Accumulated other comprehensive loss | (153 | ) | (158 | ) | ||||
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Total DTE Energy Company Equity | 7,104 | 7,009 | ||||||
Noncontrolling interests | 43 | 44 | ||||||
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Total Equity | 7,147 | 7,053 | ||||||
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Total Liabilities and Equity | $ | 25,846 | $ | 26,009 | ||||
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DTE ENERGY COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
Three Months Ended March 31 | ||||||||
(In millions) | 2012 | 2011 | ||||||
Operating Activities | ||||||||
Net income | $ | 158 | $ | 178 | ||||
Adjustments to reconcile net income to net cash from operating activities: | ||||||||
Depreciation, depletion and amortization | 232 | 245 | ||||||
Deferred income taxes | 58 | 48 | ||||||
Asset (gains) and losses, reserves and impairments, net | (19 | ) | 11 | |||||
Changes in assets and liabilities, exclusive of changes shown separately | 191 | 240 | ||||||
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Net cash from operating activities | 620 | 722 | ||||||
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Investing Activities | ||||||||
Plant and equipment expenditures — utility | (331 | ) | (253 | ) | ||||
Plant and equipment expenditures — non-utility | (61 | ) | (17 | ) | ||||
Proceeds from sale of assets | 11 | 4 | ||||||
Restricted cash for debt redemption, principally Securitization | 63 | 53 | ||||||
Proceeds from sale of nuclear decommissioning trust fund assets | 11 | 20 | ||||||
Investment in nuclear decommissioning trust funds | (15 | ) | (28 | ) | ||||
Other | (21 | ) | (23 | ) | ||||
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Net cash used for investing activities | (343 | ) | (244 | ) | ||||
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Financing Activities | ||||||||
Redemption of long-term debt | (86 | ) | (94 | ) | ||||
Short-term borrowings, net | (106 | ) | (150 | ) | ||||
Issuance of common stock, net | 10 | — | ||||||
Dividends on common stock | (99 | ) | (95 | ) | ||||
Other | (7 | ) | 2 | |||||
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Net cash used for financing activities | (288 | ) | (346 | ) | ||||
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Net Increase (Decrease) in Cash and Cash Equivalents | (11 | ) | 132 | |||||
Cash and Cash Equivalents at Beginning of Period | 68 | 65 | ||||||
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Cash and Cash Equivalents at End of Period | $ | 57 | $ | 197 | ||||
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THE DETROIT EDISON COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
Three Months Ended March 31 | ||||||||
(in Millions) | 2012 | 2011 | ||||||
Operating Revenues | $ | 1,198 | $ | 1,192 | ||||
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Operating Expenses | ||||||||
Fuel and purchased power | 377 | 378 | ||||||
Operation and maintenance | 355 | 329 | ||||||
Depreciation and amortization | 185 | 202 | ||||||
Taxes other than income | 68 | 59 | ||||||
Asset (gains) and losses, net | — | 19 | ||||||
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985 | 987 | |||||||
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Operating Income | 213 | 205 | ||||||
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Other (Income) and Deductions | ||||||||
Interest expense | 69 | 71 | ||||||
Interest income | — | |||||||
Other income | (16 | ) | (10 | ) | ||||
Other expenses | 6 | 6 | ||||||
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59 | 67 | |||||||
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Income Before Income Taxes | 154 | 138 | ||||||
Income Tax Expense | 57 | 53 | ||||||
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Net Income | $ | 97 | $ | 85 | ||||
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MICHIGAN CONSOLIDATED GAS COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
Three Months Ended March 31 | ||||||||
(in Millions) | 2012 | 2011 | ||||||
Operating Revenues | $ | 501 | $ | 680 | ||||
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Operating Expenses | ||||||||
Cost of gas | 271 | 399 | ||||||
Operation and maintenance | 99 | 101 | ||||||
Depreciation and amortization | 23 | 22 | ||||||
Taxes other than income | 18 | 17 | ||||||
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411 | 539 | |||||||
Operating Income | 90 | 141 | ||||||
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Other (Income) and Deductions | ||||||||
Interest expense | 15 | 16 | ||||||
Interest income | (2 | ) | (2 | ) | ||||
Other income | (2 | ) | (2 | ) | ||||
Other expenses | 1 | 1 | ||||||
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12 | 13 | |||||||
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Income Before Income Taxes | 78 | 128 | ||||||
Income Tax Expense | 27 | 46 | ||||||
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Net Income | $ | 51 | $ | 82 | ||||
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DTE Energy Debt/Equity Calculation
As of March 31, 2012
($ millions)
Short-term borrowings | $ | 313 | ||
Current portion of long-term debt, including capital leases | 530 | |||
Mortgage bonds, notes and other | 6,404 | |||
Securitization bonds, excluding current portion | 391 | |||
Capital lease obligations | 18 | |||
Other adjustments | 248 | |||
less Securitization bonds, including current portion | (559 | ) | ||
50% Junior Subordinated Debentures | 140 | |||
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Total debt | 7,485 | |||
50% Junior Subordinated Debentures | 140 | |||
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Total preferred/ other | 140 | |||
Equity | 7,104 | |||
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Total capitalization | $ | 14,729 | ||
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Debt | 51 | % | ||
Junior Subordinated Debentures | 1 | % | ||
Common shareholders’ equity | 48 | % | ||
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Total | 100 | % | ||
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Sales Analysis - 1Q 2012
Electric Sales - Detroit Edison Service Area (GWh)
1Q 2012 | 1Q 2011 | % Change | ||||||||||
Residential | 3,700 | 3,889 | -5 | % | ||||||||
Commercial | 3,885 | 3,993 | -3 | % | ||||||||
Industrial | 2,374 | 2,342 | 1 | % | ||||||||
Other1 | 258 | 280 | -8 | % | ||||||||
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10,217 | 10,503 | -3 | % | |||||||||
Choice | 1,254 | 1,302 | -4 | % | ||||||||
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TOTAL SALES | 11,471 | 11,805 | -3 | % | ||||||||
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1 | 2011 Excludes 518 GWh related to a wholesale contract terminated Dec. 2011 |
Gas Sales - MichCon Service Area (MMcf)
1Q 2012 | 1Q 2011 | % Change | ||||||||||
Residential | 36,793 | 47,659 | -23 | % | ||||||||
Commercial | 8,652 | 12,503 | -31 | % | ||||||||
Industrial | 235 | 299 | -22 | % | ||||||||
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45,680 | 60,461 | -24 | % | |||||||||
End User Transportation* | 48,014 | 51,724 | -7 | % | ||||||||
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TOTAL SALES | 93,694 | 112,185 | -16 | % | ||||||||
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* | Includes choice customers |
Electric Revenue - Detroit Edison Service Area ($000s)
1Q 2012 | 1Q 2011 | % Change | ||||||||||
Residential | 546,791 | 519,437 | 5 | % | ||||||||
Commercial | 429,512 | 395,706 | 9 | % | ||||||||
Industrial | 183,400 | 164,301 | 12 | % | ||||||||
Other2 | 25,849 | 25,989 | -1 | % | ||||||||
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1,185,552 | 1,105,434 | 7 | % | |||||||||
Choice | 20,785 | 26,034 | -20 | % | ||||||||
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TOTAL REVENUES | 1,206,337 | 1,131,468 | 7 | % | ||||||||
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2 | 2011 Excludes $22,723k related to a wholesale contract terminated Dec. 2011 |
Gas Revenue - MichCon Service Area ($000s)
1Q 2012 | 1Q 2011 | % Change | ||||||||||
Residential | 321,645 | 443,274 | -27 | % | ||||||||
Commercial | 72,995 | 113,370 | -36 | % | ||||||||
Industrial | 1,804 | 2,512 | -28 | % | ||||||||
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396,444 | 559,157 | -29 | % | |||||||||
End User Transportation* | 73,177 | 81,232 | -10 | % | ||||||||
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TOTAL REVENUES | 469,621 | 640,389 | -27 | % | ||||||||
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* | Includes choice customers |
Weather
Cooling Degree Days
Detroit Edison service territory
1Q 2012 | 1Q 2011 | % Change | ||||||||||
Actuals | 16 | — | N/A | |||||||||
Normal | — | — | ||||||||||
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Deviation from normal | N/A | N/A |
Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)
1Q 2012 | 1Q 2011 | |||||||
MichCon | (23 | ) | 9 |
Heating Degree Days
MichCon service territory
1Q 2012 | 1Q 2011 | % Change | ||||||||||
Actuals | 2,525 | 3,451 | -27 | % | ||||||||
Normal | 3,225 | 3,213 | ||||||||||
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Deviation from normal | -22 | % | 7 | % |