Centerpoint Energy, Inc (holding Co) · NYSE:CNP
Centerpoint Energy, Inc (holding Co) — FY2010 Earnings Presentation
12 slides from Centerpoint Energy, Inc (holding Co)'s earnings presentation, Mar 1, 2011
Slide 1: Fourth Quarter and Full Year 2010 Earnings Supplemental Materials
NYSE: CNPwww.CenterPointEnergy.com Fourth Quarter and Full Year 2010 Earnings Supplemental MaterialsMarch 1, 2011
Slide 2: Cautionary Statement Regarding Forward-Looking Information
This presentation contains statements concerning our expectations, beliefs, plans, objectives, goals, strategies, future events or performance and underlying assumptions and other statements that are not historical facts. These statements are "forward-looking statements" within the meaning of the Pr
Slide 3: Full Year 2010 Operating Income Drivers
Full Year 2010 Operating Income Drivers 12 months ended December 31, 2010 InterstatePipelines $14 Field Services$57 Other$10 CompetitiveNatural Gas Sales & Service$(5) Rate increases and annual rate adjustmentsLower pension and benefitsLower bad debt expensesPartially offset by:Other, primarily high
Slide 4: Electric Transmission & Distribution 2010 Operating Income Drivers
Electric Transmission & Distribution2010 Operating Income* Drivers Increased usage Customer growth Other, primarily higher O&M ADFIT credit related to Hurricane Ike restoration costs * Excludes operating income from transition and system restoration bonds of $131 and $140 for 2009 and 2010, respecti
Slide 5: Natural Gas Distribution 2010
Natural Gas Distribution2010 Operating Income Drivers Rate increases and annual rate adjustments Lower pension and benefits Other, primarily higher O&M Lower bad debt expenses (in millions) 2009 2010 21% Percentage of operating income excluding $140m from securitization bonds
Slide 6: Interstate Pipelines 2010
Interstate Pipelines2010 Operating Income Drivers Increased transportation margin primarily from new contracts Higher D&A and taxes other than income taxes Lower operating expenses Lower ancillary services, off- system deliveries and other transportation margins (in millions) 2009 2010 24% Percentag
Slide 7: Field Services 2010
Field Services2010 Operating Income Drivers Increased gathering margin primarily from Haynesville projects Higher O&M 4Q 2010 gain on sale of non- strategic assets Higher depreciation and other taxes (in millions) 2009 2010 14% Percentage of operating income excluding $140m from securitization bonds
Slide 8: Competitive Natural Gas Sales & Services 2010
Competitive Natural Gas Sales & Services2010 Operating Income Drivers Mark-to-market:2010: $4 gain2009: $23 loss Lower optimization opportunities around pipeline and storage assets (in millions) 2009 2010 1% Percentage of operating income excluding $140m from securitization bonds
Slide 9: Interstate Pipelines and Field Services 2010 Margin Contribution - Solid Core Growth
Interstate Pipelines and Field Services2010 Margin1 Contribution - Solid Core Growth Margin equals revenues minus natural gas expenseNatural gas and ancillary services (balancing, system management, liquids)Natural gas and liquids (in millions) $508 $190 Interstate Pipelines Field Services $501 $266
Slide 10: Equity issued in 2010
Equity issued in 2010 e new (in millions) No.of shares _Net proceeds 2009 Shares outstanding 3917 Underwritten equity offering 33 $ 315, Defined contribution plan 54 i) Dividend reinvestment plan 10 15 Other 13 7 2010 Shares outstanding 4247 § 416 March 1,201 Fourth Qua nd Full Year 2010 Earnings Su
Slide 11: Long-term Debt and Capitalization Ratio
Long-term Debt and Capitalization Ratio Excluding transition and system restoration bonds* * The transition and system restoration bonds are non-recourse to CenterPoint Energy and CenterPoint Energy Houston Electric and are serviced through collections of separate charges which are held in trust. **
Slide 12: Credit Metrics and Credit Ratings
Credit Metrics Credit Ratings * Calculated per CNP's interpretation of S&P methodology; actual calculations may include other adjustments not anticipated** Black line indicates S&P's target metrics for CNP in order to maintain its current ratings as set forth in S&P's report dated May 5, 2010 14%**