File No. 70-9543
UNITED STATES OF AMERICA
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Application of Northeast Utilities ) CERTIFICATE PURSUANT TO RULE 24
and Northeast Generation Services Company ) UNDER THE PUBLIC UTILITY HOLDING
on Form U-1 ) COMPANY ACT OF 1935
Pursuant to the requirements of Rule 24 under the Public Utility Holding
Company Act of 1935, Northeast Utilities ("NU"), a registered holding company,
hereby files this quarterly report as required by the Securities and Exchange
Commission's order authorizing the use of proceeds of financing transaction for
investment in Exempt Wholesale Generators. (HCAR No. 35-27148, March 7, 2000,
File No. 70-9543) ("Order").
For the quarter ended September 30, 2002, the following information is
reported pursuant to the Order.
1) A computation in accordance with rule 53(a) (as modified by the
Commission's order in this proceeding) of NU's aggregate investment
in EWGs.
As of September 30, 2002, NU's aggregate investment in EWGs was
approximately $448.2 million, or 65% of its average Consolidated Retained
Earnings for the most recent four quarters of approximately $691.3
million.
2) Consolidated capitalization ratios of NU as of the end of that quarter,
with consolidated debt to include all short-term debt and non-recourse
debt of the EWG:
NU Consolidated Capitalization
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As of September 30, 2002
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(Thousands of Dollars) %
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Common shareholders' equity $2,189,251 31.8%
Preferred stock 116,200 1.7
Long-term and short-term debt 2,640,574 38.4
Rate reduction bonds 1,935,467 28.1
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$6,881,492 100.0%
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3) Analysis of the growth in consolidated retained earnings which segregates
total earnings growth of Northeast Generation Company (NGC) from that
attributable to other subsidiaries of NU.
Retained earnings statement as of September 30, 2002:
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NGC NU Consolidated
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(Thousands of Dollars)
Beginning balance as of July 1, 2002 $28,319 $678,593
Additions:
Net income 4,000 48,575
Allocation of ESOP benefits - -
Deductions:
Adjustment to Previous Common
Stock Dividend Declaration - (36)
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Ending balance as of September 30, 2002 $32,319 $727,204
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4) A statement of revenues and net income for the EWG for the twelve months
ending as of the end of that quarter.
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Twelve Months Ended September 30, 2002 NGC
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(Thousands of Dollars)
Revenues $126,824
Net Income $ 29,022
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SIGNATURE
Pursuant to the requirements of the Public Utility Holding Company Act of
1935, the undersigned company has duly caused this Certificate to be signed on
its behalf by the undersigned thereunto duly authorized.
NORTHEAST UTILITIES
/s/ John P. Stack
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John P. Stack
Vice President - Accounting and Controller
Northeast Utilities
P.O. Box 270
Hartford, CT 06141-0270
November 26, 2002