UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM U-13-60
ANNUAL REPORT
FOR THE PERIOD
BEGINNING JANUARY 1, 2002 AND ENDING DECEMBER 31, 2002
TO THE
U.S. SECURITIES AND EXCHANGE COMMISSION
OF
XCEL ENERGY SERVICES INC.
(Exact Name of Reporting Company)
A Subsidiary SERVICE COMPANY
("Mutual" or "Subsidiary")
Date of Incorporation April 2, 1997
State or Sovereign Power under which Incorporated or Organized: Delaware
Location of Principal Executive Offices of Reporting Company: Minneapolis, MN
Name, title, and address of officer to whom correspondence concerning this
report should be addressed:
David E. Ripka Vice President and Controller 800 Nicollet Mall Minneapolis, MN 55402
(Name) (Title) (Address)
Name of Principal Holding Company Whose Subsidiaries are served by Reporting
Company:
XCEL ENERGY INC.
Page 1
INSTRUCTIONS FOR USE OF FORM U-13-60
1. TIME OF FILING. --Rule 94 provides that on or before the first day of May in
each calendar year, each mutual service company and each subsidiary service
company as to which the Commission shall have made a favorable finding pursuant
to Rule 88, and every service company whose application for approval or
declaration pursuant to Rule 88 is pending shall file with the Commission an
annual report on Form U-13-60 and in accordance with the Instructions for that
form.
2. NUMBER OF COPIES. --Each annual report shall be filed in duplicate. The
company should prepare and retain at least one extra copy for itself in case
correspondence with reference to the report becomes necessary.
3. PERIOD COVERED BY REPORT. --The first report filed by any company shall cover
the period from the date the Uniform System of Accounts was required to be made
effective as to that company under Rules 82 and 93 to the end of that calendar
year. Subsequent reports should cover a calendar year.
4. REPORT FORMAT. --Reports shall be submitted on the forms prepared by the
Commission. If the space provided on any sheet of such form is inadequate,
additional sheets may be inserted of the same size as a sheet of the form or
folded to each size.
5. MONEY AMOUNTS DISPLAYED. --All money amounts required to be shown in
financial statements may be expressed in whole dollars, in thousands of dollars
or in hundred thousands of dollars, as appropriate and subject to provisions of
Regulation S-X (210.3-01(b)).
6. DEFICITS DISPLAYED. --Deficits and other like entries shall be indicated by
the use of either brackets or a parenthesis with corresponding reference in
footnotes. (Regulation S-X,210.3-01(c))
7. MAJOR AMENDMENTS OR CORRECTIONS. --Any company desiring to amend or correct a
major omission or error in a report after it has been filed with the Commission
shall submit an amended report including only those pages, schedules, and
entries that are to be amended or corrected. A cover letter shall be submitted
requesting the Commission to incorporate the amended report changes and shall be
signed by a duly authorized officer of the company.
8. DEFINITIONS. --Definitions contained in Instruction 01-8 to the Uniform
System of Accounts for Mutual Service Companies and Subsidiary Service
Companies, Public Utility Holding Company Act of 1935, as amended February 2,
1979 shall be applicable to words or terms used specifically within this Form
U-13-60.
9. ORGANIZATION CHART. --The service company shall submit with each annual
report a copy of its current organization chart.
10. METHODS OF ALLOCATION. --The service company shall submit with each annual
report a listing of the currently effective methods of allocation being used by
the service company and on file with the Securities and Exchange Commission
pursuant to the Public Utility Holding Company Act of 1935.
11. ANNUAL STATEMENT OF COMPENSATION FOR USE OF CAPITAL BILLED. --The service
company shall submit with each annual report a copy of the annual statement
supplied to each associate company in support of the amount of compensation for
use of capital billed during the calendar year.
Page 2
LISTING OF SCHEDULES AND ANALYSIS OF ACCOUNTS
Schedule or Page
Description of Schedules and Accounts Account Number Number
------------------------------------- -------------- ------
Comparative Balance Sheets Schedule I 3-4
Service Company Property Schedule II 5
Accumulated Provision for Depreciation and Amortization
of Service Company Property Schedule III 6
Investments Schedule IV 7
Accounts Receivable from Associate Companies Schedule V 8-8a
Fuel Stock Expenses Undistributed Schedule VI 9
Stores Expense Undistributed Schedule VII 9
Miscellaneous Current and Accrued Assets Schedule VIII 10
Miscellaneous Deferred Debits Schedule IX 10
Research, Development, or Demonstration Expenditures Schedule X 10
Proprietary Capital Schedule XI 11
Long-Term Debt Schedule XII 12
Current and Accrued Liabilities Schedule XIII 13
Notes to Financial Statements Schedule XIV 14-14d
Comparative Statement of Income Schedule XV 15
Analysis of Billing - Associate Companies Account 457 16
Analysis of Billing - Nonassociate Companies Account 458 17
Analysis of Charges for Service - Associate and
Nonassociate Companies Schedule XVI 18
Schedule of Expense by Department or Service Function Schedule XVII 19-19f
Departmental Analysis of Salaries Account 920 20
Outside Services Employed Account 923 21-21i
Employee Pensions and Benefits Account 926 22
General Advertising Expenses Account 930.1 23-23a
Page 2a
Schedule or Page
Description of Schedules and Accounts Account Number Number
------------------------------------- -------------- ------
Miscellaneous General Expenses Account 930.2 23b
Rents Account 931 23b
Taxes Other Than Income Taxes Account 408 24
Donations Account 426.1 25-25a
Other Deductions Account 426.5 26
Notes to Statements of Income Schedule XVIII 27
LISTING OF INSTRUCTIONAL FILING REQUIREMENTS
Organization Chart 28
Methods of Allocation 29-29a
Annual Statement of Compensation for Use of Capital Billed 30
Signature Clause 31
Page 3
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
SCHEDULE I--COMPARATIVE BALANCE SHEET
(thousands of dollars)
Give balance sheet of the Company as of December 31 of the current and prior
year
AS OF DECEMBER 31,
ACCOUNT ASSETS AND OTHER DEBITS 2002 2001
--------- ----------------------- --------------- --------------
SERVICE COMPANY PROPERTY
101 Service company property (Schedule II) $ -- $ --
107 Construction work in progress (Schedule II) -- 13
--------------- --------------
Total Property -- 13
--------------- --------------
108 Less accumulated provision for depreciation and
amortization of service company property (Schedule III) -- --
--------------- --------------
Net Service Company Property -- 13
--------------- --------------
INVESTMENTS
123 Investments in associate companies (Schedule IV) -- --
124 Other investments (Schedule IV) 3,823 3,860
--------------- --------------
Total Investments 3,823 3,860
--------------- --------------
CURRENT AND ACCRUED ASSETS
131 Cash (4,582)(1) 1,880
134 Special deposits -- --
135 Working funds 15 15
136 Temporary cash investments (Schedule IV) -- --
141 Notes receivable -- --
143 Accounts receivable 1,454 455
144 Accumulated provision for uncollectable accounts -- --
146 Accounts receivable from associate companies (Schedule V) 99,387 120,536
152 Fuel stock expenses undistributed (Schedule VI) -- --
154 Materials and supplies -- --
163 Stores expense undistributed (Schedule VII) 61 --
165 Prepayments 47,834 53,618
174 Miscellaneous current and accrued assets (Schedule VIII) -- --
--------------- --------------
Total Current and Accrued Assets 144,169 176,504
--------------- --------------
DEFERRED DEBITS
181 Unamortized debt expense -- --
184 Clearing accounts (11) 1,007
186 Miscellaneous deferred debits (Schedule IX) 44,644 22,520
188 Research, development, or demonstration expenditures (Schedule X) -- --
190 Accumulated deferred income taxes -- --
--------------- --------------
Total Deferred Debits 44,633 23,527
--------------- --------------
TOTAL ASSETS AND OTHER DEBITS $ 192,625 $ 203,904
=============== ==============
(1)Includes outstanding checks
Page 4
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
SCHEDULE I--COMPARATIVE BALANCE SHEET
(thousands of dollars)
AS OF DECEMBER 31,
ACCOUNT LIABILITIES AND PROPRIETARY CAPITAL 2002 2001
------------ ----------------------------------- ---------------- --------------
PROPRIETARY CAPITAL
201 Common stock issued (Schedule XI) $ -- $ --
211 Miscellaneous paid-in-capital (Schedule XI) (82) 13
215 Appropriated retained earnings (Schedule XI) -- --
216 Unappropriated retained earnings (Schedule XI) -- --
---------------- --------------
Total Proprietary Capital (82) 13
---------------- --------------
LONG-TERM DEBT
223 Advances from associate companies (Schedule XII) -- --
224 Other long-term debt (Schedule XII) -- --
225 Unamortized premium on long-term debt -- --
226 Unamortized discount on long-term debt-debit -- --
---------------- --------------
Total Long-Term Debt -- --
---------------- --------------
CURRENT AND ACCRUED LIABILITIES
231 Notes payable -- 47
232 Accounts payable 79,781 143,859
233 Notes payable to associate companies (Schedule XIII) 65,909 10,265
234 Accounts payable to associate companies (Schedule XIII) -- --
236 Taxes accrued (939) 2,473
237 Interest accrued -- --
238 Dividends declared -- --
241 Tax collections payable 3,101 3,840
242 Miscellaneous current and accrued liabilities (Schedule XIII) (47) (69)
---------------- --------------
Total Current and Accrued Liabilities 147,805 160,415
---------------- --------------
DEFERRED CREDITS AND OTHER NON-CURRENT LIABILITIES
228 Accumulated provision for pension and benefits 11,004 3,019
253 Other deferred credits 22,643 30,704
255 Accumulated deferred investment tax credits -- --
---------------- --------------
Total Deferred Credits and Other Non-Current Liabilities 33,647 33,723
---------------- --------------
283 ACCUMULATED DEFERRED INCOME TAXES 11,255 9,753
---------------- --------------
TOTAL LIABILITIES AND PROPRIETARY CAPITAL $ 192,625 $ 203,904
================ ==============
Page 5
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE II--SERVICE COMPANY PROPERTY
(thousands of dollars)
BALANCE AT RETIREMENTS OTHER BALANCE
BEGINNING OR CHANGES AT CLOSE
DESCRIPTION OF YEAR ADDITIONS SALES (1), (4) OF YEAR
----------- ------------ ------------ ------------ ------------ ------------
SERVICE COMPANY PROPERTY
Account
301 Organization $ -- $ -- $ -- $ -- $ --
303 Miscellaneous intangible plant -- -- -- -- --
304 Land and land rights -- -- -- -- --
305 Structures and improvements -- -- -- -- --
306 Leasehold improvements -- -- -- -- --
307 Equipment (2) -- -- -- -- --
308 Office furniture and equipment -- -- -- -- --
309 Automobiles, other vehicles and -- -- -- -- --
related garage equipment -- -- -- -- --
310 Aircraft and airport equipment -- -- -- -- --
311 Other service company property (3) -- -- -- -- --
------------ ------------ ------------ ------------ ------------
SUB-TOTAL -- -- -- -- --
107 Construction work in progress (4) 13 -- (13) --
------------ ------------ ------------ ------------ ------------
TOTAL $ 13 $ -- $ -- $ (13) $ --
============ ============ ============ ============ ============
(1) Provide an explanation of those changes considered material: None
(2) Subaccounts are required for each class of equipment owned. The service
company shall provide a listing by subaccount of equipment additions
during the year and the balance at the close of the year: None
(3) Describe other service company property: None
(4) Describe construction work in progress: None
Page 6
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE III--ACCUMULATED PROVISION FOR DEPRECIATION
AND AMORTIZATION OF SERVICE COMPANY PROPERTY
(thousands of dollars)
BALANCE AT ADDITIONS RETIREMENTS OTHER BALANCE
BEGINNING TO ACCOUNT OR CHANGES AT CLOSE
DESCRIPTION OF YEAR 403 SALES (1) OF YEAR
----------- ------------ ------------ ------------ ------------ ------------
Account
301 Organization $ -- $ -- $ -- $ -- $ --
303 Miscellaneous intangible plant -- -- -- -- --
304 Land and land rights -- -- -- -- --
305 Structures and improvements -- -- -- -- --
306 Leasehold improvements -- -- -- -- --
307 Equipment -- -- -- -- --
308 Office furniture and fixtures -- -- -- -- --
309 Automobiles, other vehicles and
related garage equipment -- -- -- -- --
310 Aircraft and airport equipment -- -- -- -- --
311 Other service company property -- -- -- -- --
------------ ------------ ------------ ------------ ------------
TOTAL $ -- $ -- $ -- $ -- $ --
============ ============ ============ ============ ============
(1) Provide an explanation of those changes considered material: None
Page 7
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE IV--INVESTMENTS
(thousands of dollars)
INSTRUCTIONS: Complete the following schedule concerning investments.
Under Account 124, "Other Investments", state each investment separately, with
description, including the name of issuing company, number of shares or
principal amount, etc.
Under Account 136, "Temporary Cash Investments", list each investment
separately.
BALANCE AT BALANCE AT
BEGINNING CLOSE
ACCOUNT ASSETS AND OTHER DEBITS OF YEAR OF YEAR
------- ----------------------- ------------- ------------
123 Investment in associate companies $ -- $ --
124 Other investments:
Pacific Life Insurance Co.; Key Man Life Insurance (1) 3,402 3,321
US Bancorp; Rabbi Trust (1) 458 502
136 Temporary cash investments -- --
------------- ------------
TOTAL $ 3,860 $ 3,823
============= ============
(1) Funding vehicles for deferred compensation liabilities
Page 8
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE V--ACCOUNTS RECEIVABLE FROM ASSOCIATE COMPANIES
(thousands of dollars)
INSTRUCTIONS: Complete the following schedule listing accounts receivable from
each associate company. Where the service company has provided accommodation or
convenience payments for associate companies, a separate listing of total
payments for each associate company by subaccount should be provided.
BALANCE AT BALANCE AT
BEGINNING CLOSE
DESCRIPTION OF YEAR OF YEAR
------------- ------------ ------------
Account 146 -- Accounts Receivable from Associate Companies
Xcel Energy Inc. $ 6,953 $ 6,330
Xcel Energy-Cadence Inc. 2 (1)
Cheyenne Light, Fuel and Power Company 370 462
1480 Welton, Inc. 42 136
Public Service Company of Colorado 53,362 26,264
P.S.R. Investments, Inc. 18 4
e prime, inc 119 183
Xcel Energy International Inc. 71 27
PS Colorado Credit Corporation, a dissolved corporation 56 --
WestGas InterState, Inc. 1 1
Utility Engineering Corporation 2,210 3,238
Quixx Corporation 533 --
Southwestern Public Service Company 14,929 6,335
Planergy International Inc. 60 470
Xcel Energy Retail Holdings Inc. 82 --
Xcel Energy Wyco Inc. 3 8
Wyco Development LLC 5 1
NRG Energy, Inc. 816 4,384
Viking Gas Transmission Company 74 146
Eloigne Company 7 15
First Midwest Auto Park, Inc. (sold) (10) --
United Power & Land Company 29 28
Seren Innovations, Inc. 160 171
Ultra Power Technologies, Inc. (3) --
Black Mountain Gas Company 51 (180)
Xcel Energy Products and Services Inc. 120 190
Northern States Power Company (a Minnesota Corp.) (NSP-MN) 35,829 45,398
Northern States Power Company (a Wisconsin Corp.) (NSP-WI) 3,907 4,789
Xcel Energy-Centrus Inc. 9 --
Reddy Kilowatt Corporation 1 1
XERS Inc. 728 228
NCE Communications, Inc. 2 1
Xcel Energy Markets Holdings Inc. -- 231
Xcel Energy Ventures Inc. -- 541
XEPS LLC (dissolved) -- (28)
e-prime Energy Marketing, Inc. -- 14
------------ ------------
TOTAL $ 120,536 $ 99,387
============ ============
Page 8a
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE V--ACCOUNTS RECEIVABLE FROM ASSOCIATE COMPANIES
(thousands of dollars)
INSTRUCTIONS: Complete the following schedule listing accounts receivable from
each associate company. Where the service company has provided accommodation or
convenience payments for associate companies, a separate listing of total
payments for each associate company by subaccount should be provided.
TOTAL
PAYMENTS
------------
Analysis of Convenience or Accommodation Payments:
Public Service Company of Colorado $ 66,962
Northern States Power Company (a Minnesota Corp.) (NSP-MN) 27,665
Northern States Power Company (a Wisconsin Corp.) (NSP-WI) 5,207
Southwestern Public Service Company 18,786
Xcel Energy Inc. 232
Cheyenne Light, Fuel and Power Company 1,029
Eloigne Company 37
Black Mountain Gas Company 140
Seren Innovations, Inc. 1,118
United Power & Land Company 82
Viking Gas Transmission Company 563
Xcel Energy Markets Holdings Inc. 7
Xcel Energy Retail Holdings Inc. 5
1480 Welton, Inc. 159
e prime, inc. 18
Planergy International Inc. 16
Utility Engineering Corporation 583
WestGas InterState, Inc. 1
NRG Energy, Inc. 384
e-prime Energy Marketing, Inc. 3
XERS Inc. 731
NCE Communications, Inc. 5
------------
TOTAL PAYMENTS 123,733
============
The majority of convenience payments relate to insurance, donations,
employee benefits, postage, freight, printing, facility services,
banking activity, legal services, strategic planning contracts,
software, hardware and communications.
Page 9
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE VI--FUEL STOCK EXPENSES UNDISTRIBUTED
(thousands of dollars)
INSTRUCTIONS: Report the amount of labor and expenses incurred with respect to
fuel stock expenses during the year and indicate amount attributable to each
associate company. Under the section headed "Summary" list below give an overall
report of the fuel functions performed by the service company.
DESCRIPTION LABOR EXPENSE TOTAL
----------- ------------ ------------ ------------
Account 152 -- Fuel Stock Expenses Undistributed $ -- $ -- $ --
------------ ------------ ------------
TOTAL $ -- $ -- $ --
============ ============ ============
Summary: None
SCHEDULE VII--STORES EXPENSE UNDISTRIBUTED
INSTRUCTIONS: Report the amount of labor and expenses incurred with respect to
stores expenses during the year and indicate amount attributable to each
associate company.
DESCRIPTION LABOR EXPENSE TOTAL
----------- ------------ ------------ ------------
Account 163 -- Stores Expenses Undistributed $ -- $ 61 $ 61
------------ ------------ ------------
TOTAL $ -- $ 61 $ 61
============ ============ ============
Page 10
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE VIII--MISCELLANEOUS CURRENT AND ACCRUED ASSETS
(thousands of dollars)
INSTRUCTIONS: Provide detail of items in this account. Items less than $10,000
may be grouped, showing the number of items in each group.
BALANCE AT BALANCE AT
BEGINNING CLOSE
DESCRIPTION OF YEAR OF YEAR
----------- ------------ ------------
Account 174 -- Miscellaneous Current and Accrued Assets $ -- $ --
------------ ------------
TOTAL $ -- $ --
============ ============
SCHEDULE IX--MISCELLANEOUS DEFERRED DEBITS
(thousands of dollars)
INSTRUCTIONS: Provide detail of items in this account. Items less than $10,000
may be grouped by class showing the number of items in each class.
BALANCE AT BALANCE AT
BEGINNING CLOSE
DESCRIPTION OF YEAR OF YEAR
----------- ------------ ------------
Account 186 -- Miscellaneous Deferred Debits
Prepaid pension $ 22,520 $ 44,644
------------ ------------
TOTAL $ 22,520 $ 44,644
============ ============
SCHEDULE X--RESEARCH, DEVELOPMENT OR DEMONSTRATION EXPENDITURES
(thousands of dollars)
INSTRUCTIONS: Provide a description of each material research, development, or
demonstration project which incurred costs by the service corporation during the
year.
BALANCE AT BALANCE AT
BEGINNING CLOSE
DESCRIPTION OF YEAR OF YEAR
----------- ------------ ------------
Account 188 -- Research, Development, or Demonstration
Expenditures $ -- $ --
------------ ------------
TOTAL $ -- $ --
============ ============
Page 11
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XI--PROPRIETARY CAPITAL
(thousands of dollars, except per share data)
OUTSTANDING AT
PAR OR CLOSE OF PERIOD
NUMBER OF STATED ---------------------------
ACCOUNT SHARES VALUE NUMBER TOTAL
NUMBER CLASS OF STOCK AUTHORIZED PER SHARE OF SHARES AMOUNT
------- ---------------------- ------------ ------------ ------------ ------------
201 Common Stock Issued 1,000 $ 0.01 1,000 $ --
INSTRUCTIONS: Classify amounts in each account with a brief explanation,
disclosing the general nature of transactions which give rise to the amounts.
DESCRIPTION AMOUNT
------------ ----------
Account 211 -- Miscellaneous Paid-In Capital $ 1
--Accumulated Other Comprehensive Income:
unrealized investments gains (losses) (83)
Account 215 -- Appropriated Retained Earnings --
----------
TOTAL $ (82)
==========
INSTRUCTIONS: Give particulars concerning net income or (loss) during the year,
distinguishing between compensation for the use of capital owned or net loss
remaining from servicing nonassociates per the General Instructions of the
Uniform System of Accounts. For dividends paid during the year in cash or
otherwise, provide rate percentage, amount of dividend, date declared and date
paid.
BALANCE AT BALANCE
BEGINNING NET INCOME DIVIDENDS AT CLOSE
DESCRIPTION OF YEAR OR (LOSS) PAID OF YEAR
----------- ------------ ------------ ------------ ------------
Account 216 -- Unappropriated
Retained Earnings $ -- $ -- $ -- $ --
------------ ------------ ------------ ------------
TOTAL $ -- $ -- $ -- $ --
============ ============ ============ ============
Page 12
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XII--LONG-TERM DEBT
(thousands of dollars)
INSTRUCTIONS: Advances from associate companies should be reported separately
for advances on notes and advances on open accounts. Names of associate
companies from which advances were received shall be shown under the class and
series of obligation column. For Account 224 - Other long-term debt provide the
name of creditor company or organization, terms of the obligation, date of
maturity, interest rate, and the amount authorized and outstanding.
TERM OF
OBLIGATION
CLASS & BALANCE AT BALANCE
SERIES OF DATE OF INTEREST AMOUNT BEGINNING DEDUCTIONS AT CLOSE
NAME OF CREDITOR OBLIGATION MATURITY RATE AUTHORIZED OF YEAR ADDITIONS (1) OF YEAR
---------------- ---------- -------- -------- -------------- ------------ ------------ ------------ ----------
Account 223 -
Advances From
Associate
Companies: $ -- $ -- $ -- $ -- $ --
Account 224 - Other
Long-Term Debt: -- -- -- -- --
-------------- ------------ ------------ ------------ ----------
TOTAL $ -- $ -- $ -- $ -- $ --
============== ============ ============ ============ ==========
(1) Give an explanation of deductions: None
Page 13
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XIII--CURRENT AND ACCRUED LIABILITIES
(thousands of dollars)
INSTRUCTIONS: Provide balance of notes and accounts payable to each associate
company. Give description and amount of miscellaneous current and accrued
liabilities. Items less than $10,000 may be grouped, showing the number of items
in each group.
BALANCE AT BALANCE AT
BEGINNING CLOSE
DESCRIPTION OF YEAR OF YEAR
----------- ------------ ------------
Account 233 -- Notes Payable to Associate Companies
Notes Payable - Xcel Energy Inc. $ 10,265 $ 65,909
------------ ------------
TOTAL $ 10,265 $ 65,909
============ ============
Account 234 -- Accounts Payable to Associate Companies $ -- $ --
------------ ------------
TOTAL $ -- $ --
============ ============
Account 242 -- Miscellaneous Current and Accrued Liabilities
Current Liability - Suspense Account (billed out in January 2003) $ (69) $ (47)
------------ ------------
TOTAL $ (69) $ (47)
============ ============
Page 14
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XIV - NOTES TO FINANCIAL STATEMENTS
INSTRUCTIONS: The space below is provided for important notes regarding the
financial statements or any account thereof. Furnish particulars as to any
significant contingent assets or liabilities existing at the end of the year.
Notes relating to financial statements shown elsewhere in this report may be
indicated here by reference.
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION AND FINANCIAL STATEMENT PRESENTATION
Xcel Energy Services Inc. (XES or the Company) is a wholly owned subsidiary of
Xcel Energy Inc. (Xcel Energy). XES is the service company for Xcel Energy and
its subsidiaries and began its operations effective August 1, 2000. XES provides
various administrative, management, environmental and other support services to
Xcel Energy and its subsidiaries, at cost, pursuant to service agreements
approved by the Securities and Exchange Commission (SEC) under the Public
Utility Holding Company Act of 1935 (PUHCA), as amended. The majority of the
services performed by XES for Xcel Energy and its subsidiaries are provided to
Xcel Energy's four major operating utilities, Northern States Power Company, a
Minnesota corporation (NSP-Minnesota), Northern States Power Company, a
Wisconsin corporation (NSP-Wisconsin), Public Service Company of Colorado and
Southwestern Public Service Company.
On August 18, 2000, New Century Energies, Inc. (NCE) and Northern States Power
Company (NSP) merged and formed Xcel Energy. Each share of NCE common stock was
exchanged for 1.55 shares of Xcel Energy common stock. NSP shares became Xcel
Energy shares on a one-for-one basis. The merger was structured as a tax-free,
stock-for-stock exchange for shareholders of both companies (except for
fractional shares), and accounted for as a pooling-of-interests. Pursuant to the
merger agreement, NCE was merged with and into NSP. NSP, as the surviving legal
corporation, changed its name to Xcel Energy.
REGULATION
XES is subject to regulation by the SEC under the PUHCA. XES' accounting
policies conform to accounting principles generally accepted in the United
States of America. XES maintains its accounts in accordance with the Uniform
System of Accounts Prescribed for Public Utilities and Licensees subject to the
Provisions of the Federal Power Act promulgated by the Federal Energy Regulatory
Commission.
USE OF ESTIMATES
The preparation of financial statements, in conformity with accounting
principles generally accepted in the United States of America, requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities and the disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
FAIR VALUE OF FINANCIAL INSTRUMENTS
The carrying amount of financial instruments approximates fair value. Fair
values have been determined through information obtained from market sources and
management estimates.
Page 14a
INCOME TAXES
The Company's operations are included in the consolidated Federal income tax
return of Xcel Energy. The allocation of income tax consequences to the Company,
including alternative minimum tax, is calculated under a parent company policy
which provides that benefits or liabilities created by the Company, computed on
a separate return basis, will be allocated to (and paid to or by) the Company to
the extent the benefits are usable or additional liabilities are incurred in
Xcel Energy's consolidated tax returns. Deferred taxes are provided on temporary
differences between the financial accounting and tax bases of assets and
liabilities using the tax rates that are in effect at the balance sheet date
(see Note 6).
STOCK-BASED COMPENSATION
The Company uses the intrinsic value based method of accounting for its
stock-based compensation plan.
2. COMMON STOCK
XES is authorized to issue 1,000 shares of Common Stock at a par value of one
cent ($0.01) per share. As of December 31, 2002, all shares of common stock were
issued and held by Xcel Energy.
3. SHORT-TERM BORROWINGS
At December 31, 2002, Xcel Energy had $400 million in credit facilities with
several banks.
PERIOD BEGINNING TERM CREDIT LINE
November 2000 5 years $ 400 million
The line of credit provides short-term financing in the form of bank loans and
letters of credit. At Dec. 31, 2002, there were $399 million of loans
outstanding under the Xcel Energy line of credit. The borrowing rate under this
line of credit is based on the applicable London Interbank Offered Rate (LIBOR)
plus an applicable spread, a euro dollar rate margin and the amount of money
borrowed.
The Board of Directors has authorized the Company to borrow directly from Xcel
Energy. At December 31, intercompany borrowings outstanding and the weighted
average interest rate were as follows (dollars in thousands):
2002 2001
Intercompany borrowings................. $ 65,909 $ 10,265
Weighted average interest rate.......... 2.79% 2.74%
4. COMMITMENTS AND CONTINGENCIES
LEASING PROGRAMS
The Company made payments for leases of various facilities used in the normal
course of business. The majority of the operating leases are under a leasing
program that has initial noncancelable terms of one year, while the remaining
leases have various terms. These leases may be renewed or replaced. No material
restrictions exist in these leasing agreements concerning dividends, additional
debt, or further leasing. Rental expense for the years ended December 31, 2002
and 2001 was approximately $18.0 million and $14.3 million, respectively.
Estimated future minimum lease payments at December 31, 2002 are as follows
(thousands of dollars):
2003 .................... $ 15,449
2004 .................... 15,575
2005 .................... 15,611
2006 .................... 13,571
2007 .................... 9,786
All years thereafter .... 8,299
Page 14b
TECHNOLOGY AGREEMENT
XES has a service agreement that extends through 2011 with International
Business Machines Corporation (IBM) to manage most of XES's information
technology systems and network infrastructure. This service agreement provides
the Company with flexibility as to the amount, type and quality of service
provided by IBM. The contract is cancelable at our option, although there are
financial penalties for early termination. For the years ended December 31, 2002
and 2001, XES payments to IBM were approximately $132 million and $130 million,
respectively. The contract also commits us to pay a minimal amount each year
from 2002 through 2011.
5. BENEFIT PLANS AND OTHER POSTRETIREMENT BENEFITS
PENSIONS
The Company participates in various tax qualified noncontributory defined
benefit pension plans, which cover substantially all Xcel Energy employees. At
December 31, 2002, there were 14,445 Xcel Energy employees (including 2,965
Company employees) participating in these plans. Xcel Energy, as the plan
sponsor, has overall responsibility for directly allocating such costs of each
individual plan to each of the participating employers. The plans' actuary
determined this allocation based on benefit obligations for active participants.
Benefits are based on a combination of years of service, the employee's average
pay and Social Security benefits.
Xcel Energy's policy is to fully fund into an external trust the actuarially
determined pension costs recognized for ratemaking and financial reporting
purposes, subject to the limitations of applicable employee benefit and tax
laws. Plan assets principally consist of the common stock of public companies,
corporate bonds and U.S. government securities. The target range for the Plan's
asset allocation is 75 to 80 percent with equity investments, 5 to 10 percent
with fixed income investments, no cash investments and 10 to 15 percent with
nontraditional investments (such as real estate and timber ventures). At
December 31, 2002, the actual pension portfolio mix was 68 percent equity, 16
percent fixed income, 4 percent cash investments and 12 percent nontraditional
investments.
Summary information of the actuarially computed benefit obligation, plan assets,
funded status and prepaid pension asset for the Xcel Energy plans at December
31, 2002 and 2001, is presented in the following table (in thousands):
2002 2001
------------ ------------
Benefit obligation ....................................... $ 2,505,576 $ 2,409,186
Fair value of plan assets ................................ 2,639,963 3,267,586
------------ ------------
Funded status: Plan assets exceed benefit obligations .... $ 134,387 $ 858,400
============ ============
Xcel Energy prepaid pension asset ........................ $ 466,229 $ 378,825
============ ============
The Company's net periodic pension credit for the years ended December 31, 2002
and 2001 was $22,670,000 and $15,903,000. Significant assumptions used by the
Company's actuary in the determination of these amounts are presented in the
following table:
2002 2001
---------- ----------
Significant assumptions:
Discount rate for year-end valuation ................... 6.75% 7.25%
Expected long-term increase in compensation level ...... 4.00% 4.50%
Expected average long-term rate of return on assets .... 9.50% 9.50%
Page 14c
DEFINED CONTRIBUTION PLANS
The Company participates in various defined contribution plans, which cover
substantially all Xcel Energy employees. Total contributions to these plans by
Xcel Energy were approximately $23 million and $29 million in 2002 and 2001,
respectively.
Until May 6, 2002, Xcel Energy had a leveraged employee stock ownership plan
(ESOP) that covered substantially all employees of the former NSP. Xcel Energy
made contributions to this noncontributory, defined contribution plan to the
extent it realized a tax savings from dividends paid on certain ESOP shares.
ESOP contributions had no material effect on Xcel Energy earnings because the
contributions were essentially offset by the tax savings provided by the
dividends paid on ESOP shares. Xcel Energy allocated leveraged ESOP shares to
participants when it repaid ESOP loans with dividends on stock held by the ESOP.
In May 2002, the ESOP was terminated and its assets were combined into the Xcel
Energy Retirement Savings 401(k) Plan. Starting with the 2003 plan year, the
ESOP component of the 401(k) Plan will no longer be leveraged.
POSTRETIREMENT HEALTH CARE BENEFITS
The Company participates in various health and welfare plans administered by
Xcel Energy. Xcel Energy has contributory health and welfare benefit plans that
provide health care and death benefits to most Xcel Energy retirees. The NSP
plan was terminated for nonbargaining employees retiring after 1998 and for
bargaining employees after 1999. In conjunction with the 1993 adoption of
Statement of Financial Accounting Standards No. 106 - "Employers' Accounting for
Postretirement Benefits Other Than Pensions," Xcel Energy elected to amortize
the unrecognized accumulated postretirement benefit obligation (APBO) on a
straight-line basis over 20 years. Plan assets are held in external funding
trusts and principally consist of investments in equity mutual funds, fixed
income securities and cash equivalents.
Summary information of the actuarially computed benefit obligation, plan assets,
funded status and accrued benefit cost for the Xcel Energy plans at December 31
is presented in the following table (in thousands):
2002 2001
------------ ------------
Benefit obligation ................................. $ 767,975 $ 687,455
Fair value of plan assets .......................... 250,983 242,803
------------ ------------
Funded status: Plan obligations exceed assets ...... $ 516,992 $ 444,652
============ ============
Xcel Energy accrued benefit liability recorded ..... $ 151,967 $ 137,140
============ ============
The Company's net periodic postretirement benefit cost for the years ended
December 31, 2002 and 2001 was $2,692,000 and $2,120,000, respectively.
Significant assumptions used by the Company's actuary in the determination of
these amounts are presented in the following table:
2002 2001
---------- ----------
Significant assumptions:
Discount rate for year-end valuation ................... 6.75% 7.25%
Expected average long-term rate of return on assets .... 8.0-9.0% 9.0%
The assumed health care cost trend rate in 2002 is approximately 8 percent,
decreasing gradually to 5.5 percent in 2007 and remaining level thereafter. A
1-percent increase in the assumed health care cost trend rate would increase the
Company's total accumulated benefit obligation by approximately $4,518,000 and
the service and interest cost components of net periodic postretirement benefit
costs by approximately $400,000. A 1-percent decrease in the assumed health care
cost trend rate will decrease the Company's total accumulated benefit obligation
by approximately $3,720,000 and the service and interest cost components of net
periodic postretirement benefit costs by approximately $325,000.
Page 14d
6. INCOME TAXES
The provision for income taxes for the years ended December 31, 2002 and 2001
consist of the following (in thousands of dollars):
2002 2001
---------- ----------
Current income taxes:
Federal ......................... $ (2,834) $ (3,614)
State ........................... (393) (405)
---------- ----------
Total current income taxes ...... (3,227) (4,019)
---------- ----------
Deferred income taxes:
Federal ......................... 1,319 3,792
State ........................... 183 430
---------- ----------
Total deferred income taxes ... 1,502 4,222
---------- ----------
Total provision for income taxes ... $ (1,725) $ 203
========== ==========
A reconciliation of the statutory U.S. income tax rate and the effective tax
rates for the years ended December 31, 2002 and 2001 follows (dollars in
thousands):
2002 2001
------ ------
Tax computed at U.S. statutory rate on pre-tax
accounting income ........................... $ (604) 35% $ 71 35%
Increase (decrease) in tax from:
State income taxes, net of Federal income tax
benefit ..................................... (136) 7 16 8
Non-deductible business meals .................. 110 (6) 116 57
Stock options .................................. (1,838) 107 -- --
Lobbying expenses .............................. 709 (41) -- --
Other .......................................... 34 (2) -- --
---------- ---------- ---------- ----------
Total income taxes ............................. $ (1,725) 100% $ 203 100%
========== ========== ========== ==========
The tax effects of significant temporary differences representing deferred tax
liabilities and assets are as follows (in thousands):
2002 2001
---------- ----------
Deferred income tax liabilities:
Information systems charges ....... $ 4,537 $ 6,575
Pension related costs ............. 12,338 2,566
Rent adjustments .................. 2,307 1,438
Incentive compensation ............ -- 413
Vacation liability ................ 447 --
---------- ----------
Total ........................... $ 19,629 $ 10,992
---------- ----------
Deferred income tax assets:
Postretirement benefit costs ...... $ 4,249 $ 1,200
Employee severance costs
4,125 --
Vacation liability ................ -- 39
---------- ----------
Total ........................... $ 8,374 $ 1,239
---------- ----------
Net deferred income tax liability .... $ 11,255 $ 9,753
========== ==========
Page 15
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XV - COMPARATIVE STATEMENT OF INCOME
(thousands of dollars)
CURRENT PRIOR
ACCOUNT DESCRIPTION YEAR YEAR
------- ----------- ------------ ------------
INCOME
457 Services rendered to associate companies $ 633,205 $ 663,190
458 Services rendered to nonassociate companies -- --
421 Miscellaneous income and loss -- --
------------ ------------
TOTAL INCOME 633,205 663,190
------------ ------------
EXPENSES
920 Salaries and wages 219,445 182,460
921 Office supplies and expenses 419,257 295,794
922 Administrative expenses transferred - credit (174,628) 5,414
923 Outside services employed 101,253 73,114
924 Property insurance 141 (573)
925 Injuries and damages 7,324 3,528
926 Employee pensions and benefits 6,641 52,339
928 Regulatory commission expenses (36) --
930.1 General advertising expenses 9,071 8,917
930.2 Miscellaneous general expenses 14,533 3,226
931 Rents 7,930 6,698
932 Maintenance of structures and equipment -- --
935 Maintenance of general plant -- --
OTHER EXPENSES
403 Depreciation and amortization expense -- --
408 Taxes other than income taxes 14,760 13,034
409 Income taxes (3,226) (4,019)
410 Provision for deferred income taxes 1,502 4,222
411 Provision for deferred income taxes - credit -- --
411.5 Investment tax credit -- --
416 Expense from merchandise jobbing and contract work -- --
417.1 Expenses of nonutility operations -- --
426.1 Donations 1,310 5,753
426.5 Other deductions 6,942 10,962
427 Interest on long-term debt -- --
430 Interest on debt to associate companies 1,345 2,310
431 Other interest expense (359) 11
------------ ------------
TOTAL EXPENSE 633,205 663,190
------------ ------------
NET INCOME OR (LOSS) $ -- $ --
============ ============
Page 16
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
ANALYSIS OF BILLING
ASSOCIATE COMPANIES--ACCOUNT 457
(thousands of dollars)
DIRECT INDIRECT COMPENSATION TOTAL
COSTS COSTS FOR USE AMOUNT
NAME OF ASSOCIATE COMPANY CHARGED CHARGED OF CAPITAL BILLED
------------------------- ------------ ------------ ------------ ------------
457-1 457-2 457-3
Public Service Company of Colorado $ 158,506 $ 49,132 $ 723 $ 208,361
Southwestern Public Service Company 50,822 17,223 147 68,192
Cheyenne Light, Fuel and Power Company 2,042 862 17 2,921
1480 Welton, Inc. 30 444 -- 474
e prime, inc. 900 337 3 1,240
P.S.R. Investments, Inc. 224 67 -- 291
WestGas InterState, Inc. 20 4 -- 24
Utility Engineering Corporation 862 1,471 121 2,454
Xcel Energy Inc. 17,522 3,529 25 21,076
Xcel Energy International Inc. 424 69 1 494
Xcel Energy-Cadence Inc. 4 -- -- 4
Public Service Company of Colorado (Hayden) 254 1 -- 255
Planergy International Inc. 511 259 22 792
Xcel Energy-Centrus Inc. 1 -- 1 2
Public Service Company of Colorado (Tri-State) 19 -- -- 19
Xcel Energy WYCO Inc. 67 22 -- 89
Xcel Energy Retail Holdings Inc. 81 -- 1 82
NCE Communications, Inc. 6 9 -- 15
XERS Inc. 2,533 90 9 2,632
NSP-MN 224,932 47,735 207 272,874
NSP-WI 28,392 8,303 33 36,728
NRG Energy, Inc. 5,048 4,864 17 9,929
Viking Gas Transmission Company 473 338 2 813
Eloigne Company 68 70 -- 138
First Midwest Auto Park, Inc. (sold) 8 2 -- 10
Reddy Kilowatt Corporation 5 6 -- 11
United Power and Land Company 136 13 -- 149
Seren Innovations, Inc. 684 780 3 1,467
Ultra Power Technologies, Inc. 1 -- -- 1
Black Mountain Gas Company 134 143 1 278
Natrogas, Incorporated 9 -- 6 15
Xcel Energy Ventures Inc. 1 -- 1 2
Xcel Energy Wholesale Group Inc. 1 -- -- 1
XEPS, LLC (dissolved) -- 4 -- 4
Xcel Energy Transco Inc. 1,227 16 4 1,247
e-prime Energy Marketing, Inc. 114 5 1 120
e-prime Florida, Inc. 1 -- -- 1
------------ ------------ ------------ ------------
TOTAL $ 496,062 $ 135,798 $ 1,345 $ 633,205
============ ============ ============ ============
Page 17
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
ANALYSIS OF BILLING
NONASSOCIATE COMPANIES--ACCOUNT 458
(thousands of dollars)
INSTRUCTIONS: Provide a brief description of the services rendered to each
nonassociate company:
NAME OF DIRECT INDIRECT COMPENSATION EXCESS TOTAL
NONASSOCIATE COSTS COSTS FOR USE TOTAL OR AMOUNT
COMPANY CHARGED CHARGED OF CAPITAL COST DEFICIENCY BILLED
------------ ------- -------- ------------ ----- ---------- ------
458-1 458-2 458-3 458-4
None
Page 18
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVI--ANALYSIS OF CHARGES FOR SERVICE--
ASSOCIATE AND NONASSOCIATE COMPANIES
(thousands of dollars)
INSTRUCTIONS: Total cost of service will equal for associate and nonassociate
companies the total amount billed under their separate analysis of billing
schedules.
ASSOCIATE COMPANY CHARGES NONASSOCIATE COMPANY CHARGES
-------------------------------------- ----------------------------
DIRECT INDIRECT
ACCOUNT DESCRIPTION OF ITEMS COST COST TOTAL (None)
------- -------------------- ---------- ---------- ----------
920 Salaries and wages $ 184,653 $ 34,792 $ 219,445
921 Office supplies and expenses 359,640 59,617 419,257
922 Administrative expense transferred - credit (174,628) -- (174,628)
923 Outside services employed 76,885 24,368 101,253
924 Property insurance 137 4 141
925 Injuries and damages 3,729 3,595 7,324
926 Employee pensions and benefits 5,404 1,237 6,641
928 Regulatory commission expense (36) -- (36)
930.1 General advertising expenses 6,215 2,856 9,071
930.2 Miscellaneous general expense 12,410 2,123 14,533
931 Rents 6,930 1,000 7,930
932 Maintenance of structures and equipment -- -- --
403 Depreciation and amortization expense -- -- --
408 Taxes other than income taxes 12,612 2,148 14,760
409 Income taxes (3,226) -- (3,226)
410 Provision for deferred income taxes 1,502 -- 1,502
411 Provision for deferred income taxes-credit -- -- --
411.5 Investment tax credit -- -- --
426.1 Donations (1,710) 3,020 1,310
426.5 Other deductions 5,700 1,242 6,942
427 Interest on long-term debt -- -- --
431 Other interest expense -- (359) (359)
---------- ---------- ----------
TOTAL EXPENSES 496,217 135,643 631,860
---------- ---------- ----------
Compensation for use of equity capital -- -- --
430 Interest on debt to associate companies 1,345 1,345
---------- ---------- ----------
TOTAL COST OF SERVICE $ 497,562 $ 135,643 $ 633,205
========== ========== ==========
Page 19
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
-------------------------------------------------
TOTAL EXECUTIVE INVESTOR INTERNAL
ACCOUNT DESCRIPTION OF ITEMS AMOUNT OVERHEAD(1) MGMT SRVS RELATIONS AUDIT LEGAL
------- -------------------- ---------- ----------- ---------- ---------- ---------- ----------
920 Salaries and wages 219,445 -- 2,275 664 1,717 4,468
921 Office supplies and expenses 419,257 -- 726 1,271 162 2,789
922 Administrative expense transferred - credit (174,628) -- -- -- -- --
923 Outside services employed 101,253 -- 1,432 2,213 15 17,324
924 Property insurance 141 -- -- -- -- 2
925 Injuries and damages 7,324 -- -- -- -- --
926 Employee pensions and benefits 6,641 -- 80 7 62 65
928 Regulatory commission expense (36) -- -- -- -- --
930.1 General advertising expenses 9,071 -- -- 9 -- --
930.2 Miscellaneous general expense 14,533 -- 2,343 -- -- 1
931 Rents 7,930 -- -- -- -- --
932 Maintenance of structures and equipment -- -- -- -- -- --
935 Maintenance of general plant -- -- -- -- -- --
403 Depreciation and amortization expense -- -- -- -- -- --
408 Taxes other than income taxes 14,760 -- 153 27 114 170
409 Income taxes (3,226) -- -- -- -- --
410 Provision for deferred income taxes 1,502 -- -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- -- -- --
411.5 Investment tax credit -- -- -- -- -- --
426.1 Donations 1,310 -- 71 64 -- --
426.5 Other deductions 6,942 -- 118 188 -- 838
427 Interest on long-term debt -- -- -- -- -- --
430 Interest on debt to associate companies 1,345 -- -- -- -- --
431 Other interest expense (359) -- -- -- -- --
---------- ---------- ---------- ---------- ---------- ----------
TOTAL EXPENSES $ 633,205 $ -- $ 7,198 $ 4,443 $ 2,070 $ 25,657
========== ========== ========== ========== ========== ==========
(1) Overhead costs are included in each Service Function's cost in Accounts 408,
920, 926
Page 19a
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
-------------------------------------------------------------------
CORP
CLAIMS CORPORATE STRATEGY & GOVERNMENT FACILITIES &
ACCOUNT DESCRIPTION OF ITEMS SERVICES COMMUNICATIONS BUS DEVELOP AFFAIRS REAL ESTATE
------- -------------------- ---------- -------------- ----------- ---------- ------------
920 Salaries and wages 765 3,272 3,546 1,698 2,374
921 Office supplies and expenses 144 3,777 6,483 922 4,283
922 Administrative expense transferred - credit -- -- -- -- (234)
923 Outside services employed 86 1,937 2,747 1,602 9,204
924 Property insurance 3 -- -- 1 3
925 Injuries and damages -- -- -- -- --
926 Employee pensions and benefits 18 88 80 48 55
928 Regulatory commission expense -- -- -- -- --
930.1 General advertising expenses -- 8,678 -- 1 --
930.2 Miscellaneous general expense -- -- -- 323 --
931 Rents -- 6 -- 119 6,544
932 Maintenance of structures and equipment -- -- -- -- --
935 Maintenance of general plant -- -- -- -- --
403 Depreciation and amortization expense -- -- -- -- --
408 Taxes other than income taxes 41 194 191 101 114
409 Income taxes -- -- -- -- --
410 Provision for deferred income taxes -- -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- -- --
411.5 Investment tax credit -- -- -- -- --
426.1 Donations -- 350 -- 122 --
426.5 Other deductions -- (50) 167 29 4
427 Interest on long-term debt -- -- -- -- --
430 Interest on debt to associate companies -- -- -- -- --
431 Other interest expense -- -- -- -- --
---------- ---------- ---------- ---------- ----------
TOTAL EXPENSES $ 1,057 $ 18,252 $ 13,214 $ 4,966 $ 22,347
========== ========== ========== ========== ==========
19b
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
----------------------------------------------------------------------------
FACILITIES SUPPLY CHAIN
ADMINISTRATIVE SUPPLY SPECIAL HUMAN FINANCE &
ACCOUNT DESCRIPTION OF ITEMS SERVICES CHAIN PROGRAMS RESOURCES TREASURY
------- -------------------- -------------- ------------ ------------ ------------ ------------
920 Salaries and wages 479 5,945 309 7,374 2,748
921 Office supplies and expenses 1,047 37,123 95 8,599 2,721
922 Administrative expense transferred - credit -- (34,554) (396) 341 8
923 Outside services employed 2,040 3,628 1 3,191 660
924 Property insurance -- 1 -- 12 67
925 Injuries and damages 15 -- -- 4,511 2,828
926 Employee pensions and benefits 4 188 11 257 66
928 Regulatory commission expense -- -- -- -- --
930.1 General advertising expenses 2 -- -- -- --
930.2 Miscellaneous general expense -- -- -- -- --
931 Rents 360 -- -- 17 22
932 Maintenance of structures and equipment -- -- -- -- --
935 Maintenance of general plant -- -- -- -- --
403 Depreciation and amortization expense -- -- -- -- --
408 Taxes other than income taxes 15 392 20 633 154
409 Income taxes -- -- -- -- --
410 Provision for deferred income taxes -- -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- -- --
411.5 Investment tax credit -- -- -- -- --
426.1 Donations -- 66 -- -- 2
426.5 Other deductions -- 34 -- 172 --
427 Interest on long-term debt -- -- -- -- --
430 Interest on debt to associate companies -- -- -- -- --
431 Other interest expense -- -- -- -- --
------------ ------------ ------------ ------------ ------------
TOTAL EXPENSES $ 3,962 $ 12,823 $ 40 $ 25,107 $ 9,276
============ ============ ============ ============ ============
19c
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
DEPARTMENT OR SERVICE FUNCTION
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
-------------------------------------------------------------------------
ACCOUNTING BUSINESS UNIT
FINANCIAL RPTG ACCOUNTING PAYMENT & RECEIPTS
ACCOUNT DESCRIPTION OF ITEMS AND TAXES AND BUDGETING REPORTING PROCESSING PAYROLL
------- -------------------- -------------- ------------- ----------- ------------ ------------
920 Salaries and wages 17,875 15,804 1,389 841 739
921 Office supplies and expenses 16,061 47,844 170 193 250
922 Administrative expense transferred - credit (870) -- -- -- --
923 Outside services employed 4,292 6,210 437 1,013 188
924 Property insurance 1 1 -- -- --
925 Injuries and damages (30) -- -- -- --
926 Employee pensions and benefits 370 428 47 10 30
928 Regulatory commission expense -- -- -- -- --
930.1 General advertising expenses -- -- -- -- --
930.2 Miscellaneous general expense 11,757 6 -- -- --
931 Rents 16 7 2 270 --
932 Maintenance of structures and equipment -- -- -- -- --
935 Maintenance of general plant -- -- -- -- --
403 Depreciation and amortization expense -- -- -- -- --
408 Taxes other than income taxes 2,785 860 84 20 48
409 Income taxes (3,226) -- -- -- --
410 Provision for deferred income taxes 1,502 -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- -- --
411.5 Investment tax credit -- -- -- -- --
426.1 Donations 5 602 -- -- --
426.5 Other deductions 4,168 1,191 -- -- 71
427 Interest on long-term debt -- -- -- -- --
430 Interest on debt to associate companies 1,345 -- -- -- --
431 Other interest expense (359) -- -- -- --
------------ ------------ ------------ ------------ ------------
TOTAL EXPENSES $ 55,692 $ 72,953 $ 2,129 $ 2,347 $ 1,326
============ ============ ============ ============ ============
19d
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
-------------------------------------------------------------------------
ENERGY SUPPLY ENERGY SUPPLY ENERGY MARKETS
RATES & ENGINEERING & BUSINESS REGULATED TRADING
ACCOUNT DESCRIPTION OF ITEMS REGULATION ENVIRONMENTAL RESOURCES AND MARKETING
------- -------------------- -------------- -------------- -------------- -----------------
920 Salaries and wages 6,826 4,992 13,893 15,293
921 Office supplies and expenses 1,480 1,452 14,279 1,995
922 Administrative expense transferred - credit -- -- -- --
923 Outside services employed 404 1,771 2,534 1,090
924 Property insurance 1 7 10 1
925 Injuries and damages -- -- -- --
926 Employee pensions and benefits 182 111 336 777
928 Regulatory commission expense -- 2 -- --
930.1 General advertising expenses 28 -- -- --
930.2 Miscellaneous general expense -- 67 -- 2
931 Rents 19 10 19 80
932 Maintenance of structures and equipment -- -- -- --
935 Maintenance of general plant -- -- -- --
403 Depreciation and amortization expense -- -- -- --
408 Taxes other than income taxes 370 247 728 911
409 Income taxes -- -- -- --
410 Provision for deferred income taxes -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- --
411.5 Investment tax credit -- -- -- --
426.1 Donations -- 5 -- --
426.5 Other deductions -- 1 8 --
427 Interest on long-term debt -- -- -- --
430 Interest on debt to associate companies -- -- -- --
431 Other interest expense -- -- -- --
-------------- -------------- -------------- --------------
TOTAL EXPENSES $ 9,310 $ 8,665 $ 31,807 $ 20,149
============== ============== ============== ==============
19e
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
-------------------------------------------------------------------------
ENERGY ENERGY DELIVERY ENERGY DELIVERY
ENERGY MARKETS DELIVERY CONSTRUCTION ENGINEERING/
ACCOUNT DESCRIPTION OF ITEMS FUEL PROCUREMENT MARKETING OPERATION & MTCE DESIGN
------- -------------------- ---------------- -------------- ---------------- ---------------
920 Salaries and wages 3,086 1,404 14,381 23,204
921 Office supplies and expenses 835 918 11,373 12,825
922 Administrative expense transferred - credit -- -- -- --
923 Outside services employed 109 581 3,495 14,470
924 Property insurance -- 1 6 4
925 Injuries and damages -- -- -- --
926 Employee pensions and benefits 78 39 408 733
928 Regulatory commission expense -- -- (38) --
930.1 General advertising expenses -- -- -- 4
930.2 Miscellaneous general expense -- -- -- --
931 Rents 6 -- 6 341
932 Maintenance of structures and equipment -- -- -- --
935 Maintenance of general plant -- -- -- --
403 Depreciation and amortization expense -- -- -- --
408 Taxes other than income taxes 190 76 815 1,444
409 Income taxes -- -- -- --
410 Provision for deferred income taxes -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- --
411.5 Investment tax credit -- -- -- --
426.1 Donations -- -- -- --
426.5 Other deductions -- -- -- --
427 Interest on long-term debt -- -- -- --
430 Interest on debt to associate companies -- -- -- --
431 Other interest expense -- -- -- --
-------------- -------------- -------------- --------------
TOTAL EXPENSES $ 4,304 $ 3,019 $ 30,446 $ 53,025
============== ============== ============== ==============
19f
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
SCHEDULE XVII-SCHEDULE OF EXPENSE
BY DEPARTMENT OR SERVICE FUNCTION
(thousands of dollars)
INSTRUCTIONS: Indicate each department or
service function. (See Instruction 01-3
General Structure of Accounting System:
Uniform System of Accounts).
DEPARTMENT OR SERVICE FUNCTION
--------------------------------------------------------------------
MARKETING CUSTOMER INFORMATION AVIATION
ACCOUNT DESCRIPTION OF ITEMS AND SALES SERVICE TECHNOLOGY SERVICES FLEET
------- -------------------- ---------- ---------- ----------- ---------- ----------
920 Salaries and wages 19,544 33,371 7,582 790 797
921 Office supplies and expenses 3,368 37,411 193,328 5,218 115
922 Administrative expense transferred - credit -- -- (135,555) (3,368) --
923 Outside services employed 4,950 4,630 8,910 89 --
924 Property insurance 11 9 -- -- --
925 Injuries and damages -- -- -- -- --
926 Employee pensions and benefits 612 1,225 186 21 19
928 Regulatory commission expense -- -- -- -- --
930.1 General advertising expenses 182 167 -- -- --
930.2 Miscellaneous general expense 4 -- 30 -- --
931 Rents 7 17 57 5 --
932 Maintenance of structures and equipment -- -- -- -- --
935 Maintenance of general plant -- -- -- -- --
403 Depreciation and amortization expense -- -- -- -- --
408 Taxes other than income taxes 1,173 2,192 416 45 37
409 Income taxes -- -- -- -- --
410 Provision for deferred income taxes -- -- -- -- --
411 Provision for deferred income taxes-credit -- -- -- -- --
411.5 Investment tax credit -- -- -- -- --
426.1 Donations 15 8 -- -- --
426.5 Other deductions 3 -- -- -- --
427 Interest on long-term debt -- -- -- -- --
430 Interest on debt to associate companies -- -- -- -- --
431 Other interest expense -- -- -- -- --
---------- ---------- ---------- ---------- ----------
TOTAL EXPENSES $ 29,869 $ 79,030 $ 74,954 $ 2,800 $ 968
========== ========== ========== ========== ==========
Page 20
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
DEPARTMENTAL ANALYSIS OF SALARIES--ACCOUNT 920
(thousands of dollars)
DEPARTMENTAL SALARY EXPENSE
------------------------------------------------------------
INCLUDED IN AMOUNTS BILLED TO:
------------------------------
NUMBER OF
NAME OF DEPARTMENT TOTAL PARENT OTHER NON- PERSONNEL
OR SERVICE FUNCTION AMOUNT COMPANY ASSOCIATES ASSOCIATES END OF YEAR
------------------- ------------ ------------ ------------ ------------ ------------
Executive Management Services $ 2,275 $ 326 $ 1,949 $ -- 12
Internal Audit 1,717 40 1,677 -- 23
Aviation Services 790 -- 790 -- 9
Government Affairs 1,698 30 1,668 -- 14
Corporate and Employee Communications 3,272 71 3,201 -- 40
Legal 4,468 278 4,190 -- 37
Claims Services 765 -- 765 -- 12
Corporate Strategy and Business Development 3,546 205 3,341 -- 21
Energy Supply Business Resources 13,893 44 13,849 -- 131
Energy Markets Regulated Trading & Marketing 15,293 335 14,958 -- 142
Energy Supply Engineering & Environmental 4,992 50 4,942 -- 65
Energy Markets Fuel Procurement 3,086 7 3,079 -- 38
Information Technology 7,582 82 7,500 -- 83
Supply Chain 5,945 13 5,932 -- 81
Supply Chain Special Programs 309 -- 309 -- 7
Investor Relations 664 33 631 -- 7
Payment & Reporting 1,389 -- 1,389 -- 29
Human Resources 7,374 279 7,095 -- 206
Payroll 739 4 735 -- 13
Rates and Regulation 6,826 4 6,822 -- 74
Accounting, Financial Reporting and Taxes 17,875 8,246 9,629 -- 126
Energy Delivery Engineering/Design 23,204 -- 23,204 -- 397
Energy Delivery Construction, Oper & Maint 14,381 -- 14,381 -- 125
Fleet 797 -- 797 -- 10
Energy Delivery Marketing 1,404 -- 1,404 -- 15
Customer Service 33,371 2 33,369 -- 835
Marketing and Sales 19,544 7 19,537 -- 230
Facilities & Real Estate 2,374 1 2,373 -- 22
Facilities Administrative Services 479 15 464 -- 20
Finance & Treasury 2,748 115 2,633 -- 31
Business Unit Accounting and Budgeting 15,804 239 15,565 -- 143
Receipts Processing 841 -- 841 -- 22
------------ ------------ ------------ ------------ ------------
TOTAL $ 219,445 $ 10,426 $ 209,019 $ -- 3,020
============ ============ ============ ============ ============
Page 21
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Legal Services
Andrew M. Toft Legal Services NA $ 52
Baker Botts, LLP Legal Services NA 56
Briggs & Morgan Legal Services NA 3,213
Brooks & Jackson, Inc. Legal Services NA 41
Brownstein Hyatt Farber Legal Services NA 169
Burford & Ryburn, LLP Legal Services NA 31
Charles River Associates, Inc. Legal Services NA 382
Dewey Ballantine, LLP Legal Services NA 369
Donald Gary Howard Legal Services NA 56
Dorsey & Whitney, LLP Legal Services NA 420
Ducker Montgomery & Lewis PC Legal Services NA 74
Elzi Pringle & Gurr Legal Services NA 488
Faegre & Benson Legal Services NA 1,148
Fredrikson & Byron PA Legal Services NA 73
Friedlob Sanderson Raskin & Paulson Legal Services NA 219
Gibson, Ochsner & Adkins, LLP Legal Services NA 54
Gorsuch Kirgis LLC Legal Services NA 583
Gray, Plant, Mooty, Mooty Legal Services NA 248
Hinkle, Hensley, Shanor & Martin Legal Services NA 1,145
Hogan & Hartson, LLP Legal Services NA 111
Holland & Hart, LLP Legal Services NA 72
Holme, Roberts & Owen, LLP Legal Services NA 46
Hunton & Williams Legal Services NA 30
Jones, Day, Reavis & Pouge Legal Services NA 3,652
Kelly & Ryberg, S. C. Legal Services NA 95
Kirby A. Kennedy & Associates Legal Services NA 27
Landry & Ludewig, LLP Legal Services NA 107
LeBouf, Lamb, Greene & MacRae LLP Legal Services NA 227
Lindquist & Vennum Legal Services NA 61
Loomis, Ewert, Parsley & Davis Legal Services NA 40
McCarthy, Sweeney & Harkaway, PC Legal Services NA 108
McDermott, Will & Emery Legal Services NA 340
Merchant & Gould PC Legal Services NA 68
Messerli & Kramer Attorneys Legal Services NA 34
Michael, Best & Friedrich Legal Services NA 372
Morgan, Lewis & Bockius, LLP Legal Services NA 568
Ove Arup & Partners MA, Inc. Legal Services NA 51
Peterson, Farris, Doores & Jones Legal Services NA 247
Ramsey Action Program, Inc. Legal Services NA 45
Richard V. Huston, DVM Legal Services NA 31
Rider, Bennett, Egan & Arundel Legal Services NA 50
Robinson, Water & O'Dorisio Legal Services NA 38
Shaw Pittman, LLP Legal Services NA 92
Shenehon Company Legal Services NA 31
Page 21a
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Skadden, Arps, Slate, Meagher & Flom Legal Services NA 260
Slover & Loftus Legal Services NA 399
Squire, Sanders & Dempsey Legal Services NA 328
Stone & Webster Consultants Legal Services NA 38
Thelen, Reid & Priest, LLP Consulting/Outside Services NA 35
Thompson, Hine & Flory, LLP Legal Services NA 212
Trivue Legal Services NA 54
White & Steele Legal Services NA 307
Winston & Strawn Legal Services NA 93
Other (234) Various 810
---------
Total Legal Services 17,895
---------
Auditing, Tax, Consulting and Accounting Services
Arthur Andersen LLP Auditing, Tax and Other Services NA 4,181
Deloitte & Touche LLP Auditing, Tax and Other Services NA 1,651
Price Waterhouse Coopers Auditing, Tax and Other Services NA 93
---------
Total Auditing, Tax, Consulting and Other Services 5,925
---------
Consulting/Outside Services
ABB, Inc. Consulting/Outside Services NA 323
Acconite Corporation Consulting/Outside Services NA 50
Accountants on Call Consulting/Outside Services NA 306
Acme $ of Ormond Beach, Inc. Consulting/Outside Services NA 301
Adecco Employment Service Consulting/Outside Services NA 2,418
ADP Investor Community Service Consulting/Outside Services NA 99
Affiliated Credit Services, Inc. Consulting/Outside Services NA 81
Ajilon Finance Consulting/Outside Services NA 53
Alan W. Burgess M.D. Consulting/Outside Services NA 50
All Bases Covered Consulting/Outside Services NA 223
Alliant Energy Consulting/Outside Services NA 43
Allied Interstate, Inc. Consulting/Outside Services NA 115
Alstom ESCA Corporation Consulting/Outside Services NA 39
Altech Environmental Consulting/Outside Services NA 119
Amarillo National Bank Consulting/Outside Services NA 328
American Civil Constructors Consulting/Outside Services NA 800
American Society For Quality Consulting/Outside Services NA 48
AOC Consulting/Outside Services NA 37
Applied Energy Group Consulting/Outside Services NA 54
Arthur T. Nakata Consulting/Outside Services NA 33
Arundel Street Consulting, Inc. Consulting/Outside Services NA 154
Ascential Software Consulting/Outside Services NA 190
Aspect Communications Corp. Consulting/Outside Services NA 41
Association of Electric Consulting/Outside Services NA 47
AT&T Consulting/Outside Services NA 112
Automation Solution, Inc. Consulting/Outside Services NA 72
Page 21b
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
AVI Systems Consulting/Outside Services NA 28
Barr Engineering Consulting/Outside Services NA 245
BB Solutions Consulting/Outside Services NA 47
Beacon Consulting Group, Inc. Consulting/Outside Services NA 40
Bearing Point Consulting/Outside Services NA 536
Belair Builders, Inc. Consulting/Outside Services NA 68
Benco Messenger Service, Inc. Consulting/Outside Services NA 353
Black & Veatch, Engineering-Architectural Consulting/Outside Services NA 124
Black Diamond Consulting/Outside Services NA 195
Boice Dunham Group Consulting/Outside Services NA 32
Bowe Systec, Inc. Consulting/Outside Services NA 140
Bowne of Minnesota Consulting/Outside Services NA 129
Brayden Automation Corp. Consulting/Outside Services NA 30
BST Project Costs Consulting/Outside Services NA 370
B.T. Construction, Inc. Consulting/Outside Services NA 153
Burns & McDonnell, Inc. Consulting/Outside Services NA 30
Business Wire Corp. Consulting/Outside Services NA 114
C. I. Technologies Consulting/Outside Services NA 128
C. Barela Consulting/Outside Services NA 43
C. V. Selman & Associates, Inc. Consulting/Outside Services NA 75
Campbell Services, Inc. Consulting/Outside Services NA 78
Capitol Advantage, Inc. Consulting/Outside Services NA 39
Carlson School of Management Consulting/Outside Services NA 40
Cedar Corporation Consulting/Outside Services NA 54
Central Minnesota Delivery Consulting/Outside Services NA 25
CH2M Hill, Inc. Consulting/Outside Services NA 27
Change Solutions, Inc. Consulting/Outside Services NA 129
Charan Associates, Inc. Consulting/Outside Services NA 96
Citigate Dewe Rogerson, Inc. Consulting/Outside Services NA 45
Coherent Solutions, Inc. Consulting/Outside Services NA 83
Collins Electrical Construction Co. Consulting/Outside Services NA 195
Colorado Springs Utilities Consulting/Outside Services NA 63
Colorado State University Consulting/Outside Services NA 29
Commonwealth Associates, Inc. Consulting/Outside Services NA 30
Community Action of Minneapolis Consulting/Outside Services NA 27
Compact Offer Consulting/Outside Services NA 45
Compucom Systems, Inc. Consulting/Outside Services NA 250
Computer Contract Consultant Consulting/Outside Services NA 344
Computer Systems & Software, Inc. Consulting/Outside Services NA 293
Comtec, Inc. Consulting/Outside Services NA 58
Concours Group Consulting/Outside Services NA 257
Contract Engineering Services, Inc. Consulting/Outside Services NA 63
Contrino Direct Marketing Consulting/Outside Services NA 25
Cook Systems International Consulting/Outside Services NA 79
Page 21c
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Copeland Trucking Consulting/Outside Services NA 147
Copyright Clearance Center Consulting/Outside Services NA 32
Curtis 1000 Consulting/Outside Services NA 27
Custom Compliance Solutions Consulting/Outside Services NA 138
Dave Coil Consulting/Outside Services NA 53
DCP Consulting Consulting/Outside Services NA 334
DDI Consulting, Inc. Consulting/Outside Services NA 89
Decicion Analyst, Inc. Consulting/Outside Services NA 164
Dees Consultancy, Inc. Consulting/Outside Services NA 45
Dennhardt & Associates Consulting/Outside Services NA 72
Dennis & Company Consulting/Outside Services NA 25
Distributed Office Environment Consulting/Outside Services NA 73
Dolores Ann Harris Consulting/Outside Services NA 34
Dominion Construction Co. Consulting/Outside Services NA 371
Don Turner Consultants Consulting/Outside Services NA 62
Douglas Brandon Consulting/Outside Services NA 46
DRI-WEFA Consulting/Outside Services NA 37
DST Output, Inc. Consulting/Outside Services NA 167
Dstar Consulting/Outside Services NA 25
e prime, inc. Consulting/Outside Services A 226
Earth Tech, Inc. Consulting/Outside Services NA 36
Easi Document Integration Consulting/Outside Services NA 1,251
Eckhoff Services, Inc. Consulting/Outside Services NA 80
EDI Business Group, Inc. Consulting/Outside Services NA 165
Efficiency Engineering, Inc. Consulting/Outside Services NA 48
Eide Bailly LLP Consulting/Outside Services NA 91
Electric Software Products Consulting/Outside Services NA 26
Electrocon International, Inc. Consulting/Outside Services NA 29
Electronic Security Systems, Inc. Consulting/Outside Services NA 32
Elite Energy Consulting/Outside Services NA 28
Elmwood Solutions, Inc. Consulting/Outside Services NA 92
Eloquor Consulting, Inc. Consulting/Outside Services NA 45
Emergency Outfitters Inc. Consulting/Outside Services NA 65
Emergingsoft Corp. Consulting/Outside Services NA 86
Empirix, Inc. Consulting/Outside Services NA 40
Employee/Management Involvement Concept Consulting/Outside Services NA 47
Encomm Midwest Consulting/Outside Services NA 50
Energy Design Assistance Programs Consulting/Outside Services NA 196
Energy Packaging Solutions LLC Consulting/Outside Services NA 38
Engineering Repro Systems Consulting/Outside Services NA 56
Entegee Advance Possis Consulting/Outside Services NA 1,700
Entergy Services, Inc. Consulting/Outside Services NA 177
Envinta Corporation Consulting/Outside Services NA 257
EPRI Consulting/Outside Services NA 1,473
Equifax Credit Information Services Consulting/Outside Services NA 225
Page 21d
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Erin Engineering & Research, Inc. Consulting/Outside Services NA 202
Eurasia Business Services Consulting/Outside Services NA 191
Evelyn Logan Consulting/Outside Services NA 33
Evergreen Caissons, Inc. Consulting/Outside Services NA 381
Executive Development Center Consulting/Outside Services NA 82
Express Personnel Services Consulting/Outside Services NA 42
Financial Engineering Associates Consulting/Outside Services NA 25
First Call Association Consulting/Outside Services NA 35
Flowserve Consulting/Outside Services NA 49
Ford Personnel Services, Inc. Consulting/Outside Services NA 51
Freelance Creative Consulting/Outside Services NA 175
GAB Robins Consulting/Outside Services NA 88
Gantz Wiley Research Consulting/Outside Services NA 48
GE Energy Management Service Consulting/Outside Services NA 63
GE Young & Company Consulting/Outside Services NA 67
Geduldig & Ferguson, Inc. Consulting/Outside Services NA 37
General Litho Services, Inc. Consulting/Outside Services NA 58
General Physics Corporation Consulting/Outside Services NA 101
GEO Digital Technologies, Inc. Consulting/Outside Services NA 71
GeoMatrix Consulting Consulting/Outside Services NA 90
GIGA Information Group Consulting/Outside Services NA 28
Global Atmospherics, Inc. Consulting/Outside Services NA 28
Gold Cross Courier Service, Inc. Consulting/Outside Services NA 29
Governmental Strategies, Inc. Consulting/Outside Services NA 73
Gradstaff, Inc. Consulting/Outside Services NA 36
Grant Online System Consulting/Outside Services NA 33
Great Southwestern Construction, Inc. Consulting/Outside Services NA 1,933
Greta Johnson Consulting/Outside Services NA 126
Gunther Douglas, Inc. Consulting/Outside Services NA 112
H. Zinder & Associates, Inc. Consulting/Outside Services NA 35
Hanley-Wood Integrated Consulting/Outside Services NA 195
Hayes Consulting Company, LLC Consulting/Outside Services NA 55
Health Promotion Management, Inc. Consulting/Outside Services NA 183
Healthone Clinic Services Consulting/Outside Services NA 40
Helmer Printing, Inc. Consulting/Outside Services NA 122
High Energy Group, Inc. Consulting/Outside Services NA 171
Hoeft Appliance Center Consulting/Outside Services NA 52
Holly D. Neel Consulting/Outside Services NA 64
Honeywell Consulting/Outside Services NA 46
Hospital Shared Services Consulting/Outside Services NA 54
Hotchkiss, Inc. Consulting/Outside Services NA 117
IBM Consulting/Outside Services NA 931
Imcorp Consulting/Outside Services NA 248
Indicon Consulting/Outside Services NA 134
Page 21e
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Indus International Consulting/Outside Services NA 3,277
Information Handling Services Consulting/Outside Services NA 65
Insights Unlimited Consulting/Outside Services NA 136
Instrument Manufacturing Co. Consulting/Outside Services NA 115
IOS Capital Consulting/Outside Services NA 26
Iota Development Corporation Consulting/Outside Services NA 206
Iron Mountain Confidential Consulting/Outside Services NA 29
Iron Mountain Records Management Consulting/Outside Services NA 30
Jeane Thorne Consulting/Outside Services NA 361
Jefferson Wells Consulting/Outside Services NA 129
Johnston & Associates LLC Consulting/Outside Services NA 81
Julia Evans Consulting/Outside Services NA 57
Juran Institute, Inc. Consulting/Outside Services NA 70
Kathy Kriner Consulting/Outside Services NA 41
Keane, Inc. Consulting/Outside Services NA 72
Kelly Services, Inc. Consulting/Outside Services NA 139
Keltoi Consulting LLC Consulting/Outside Services NA 76
Kema Consulting, Inc. Consulting/Outside Services NA 25
Kim Michael Staudt Consulting/Outside Services NA 52
Kintana, Inc. Consulting/Outside Services NA 107
Lamber Macgillthomas, Inc. Consulting/Outside Services NA 25
Leo Tinoco Consulting/Outside Services NA 71
Liaison Creative Services Consulting/Outside Services NA 76
Lindberg Consulting Consulting/Outside Services NA 102
Lisa Hives Consulting/Outside Services NA 74
Logic Bay Corporation Consulting/Outside Services NA 175
Madelia Sub Consulting/Outside Services NA 66
Management Systems International Consulting/Outside Services NA 127
Manitoba HVDC Research Center Consulting/Outside Services NA 59
Manpower Temporary Services Consulting/Outside Services NA 505
Market & Johnson, Inc. Consulting/Outside Services NA 207
Market Strategies, Inc. Consulting/Outside Services NA 651
Mary E. Miura Consulting/Outside Services NA 73
Mass Mutual Finanical Group Consulting/Outside Services NA 27
Matt Myers Consulting Consulting/Outside Services NA 81
Mavo Systems, Inc. Consulting/Outside Services NA 28
Maxim Technologies, Inc. Consulting/Outside Services NA 40
MCM Consulting Consulting/Outside Services NA 41
McPherson Group, Inc. Consulting/Outside Services NA 95
McWilliams & Associates Consulting/Outside Services NA 42
Media Mosaic Consulting/Outside Services NA 471
Meridian Aggregates Co., LLP Consulting/Outside Services NA 33
Merrick & Company Consulting/Outside Services NA 614
Metro Connections, Inc. Consulting/Outside Services NA 51
Metropolitan Mechanical Consulting/Outside Services NA 78
Page 21f
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Michigan Technology University Consulting/Outside Services NA 79
MidAmerican Energy Company Consulting/Outside Services NA 149
Midwest ISO Consulting/Outside Services NA 73
Mile High Corporate Services Consulting/Outside Services NA 166
Mile High Properties, LLC Consulting/Outside Services NA 196
Miner & Miner Consulting/Outside Services NA 99
Minneapolis Consulting Group Consulting/Outside Services NA 463
Minnesota Wild Consulting/Outside Services NA 649
Minntertainment Company Consulting/Outside Services NA 125
Monique Lovato Consulting/Outside Services NA 36
Moody's Investor Service Consulting/Outside Services NA 52
Morris Schriem Consulting/Outside Services NA 41
Mueller Pipeliners, Inc. Consulting/Outside Services NA 1,042
Munchiando Excavating Consulting/Outside Services NA 93
Nantech Consulting Consulting/Outside Services NA 167
National Barricade Consulting/Outside Services NA 79
Nationwide Advertising Service Consulting/Outside Services NA 45
Navigant Consulting, Inc. Consulting/Outside Services NA 62
NETG Consulting/Outside Services NA 115
New Energy Associates LLC Consulting/Outside Services NA 78
New Harbor, Inc. Consulting/Outside Services NA 590
New York Stock Exchange, Inc. Consulting/Outside Services NA 456
Nexant, Inc. Consulting/Outside Services NA 135
Northwest Electrical Systems Consulting/Outside Services NA 136
Northwestern Travel Agency Consulting/Outside Services NA 36
Northwrite, Inc. Consulting/Outside Services NA 138
Occupational Medicine Consulting/Outside Services NA 112
Office Team Consulting/Outside Services NA 70
Opus 21 Management Solutions Consulting/Outside Services NA 786
Oracular of Minnesota Consulting/Outside Services NA 853
Otter Tail Power Company Consulting/Outside Services NA 94
Output Technology Solutions Consulting/Outside Services NA 117
PA Consulting Group Consulting/Outside Services NA 35
Pace Analytical Services, Inc. Consulting/Outside Services NA 27
Pacioli Companies Consulting/Outside Services NA 121
Padilla, Speer Beardsley, Inc. Consulting/Outside Services NA 64
Par Electrical Contractors Consulting/Outside Services NA 1,393
Parson Group, LLC Consulting/Outside Services NA 121
Partnership Continuum, Inc. Consulting/Outside Services NA 55
People Soft USA Consulting/Outside Services NA 199
Percite Information Technology Consulting/Outside Services NA 184
Personnel Decisions International Corp. Consulting/Outside Services NA 158
Pettigrew & Associates Consulting/Outside Services NA 58
Pettus Construction LLC Consulting/Outside Services NA 57
Pirelli Cables & Systems N. A. Consulting/Outside Services NA 359
Page 21g
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
PIRA Energy Group Consulting/Outside Services NA 29
Power Plan Consultants, Inc. Consulting/Outside Services NA 566
Power Technologies, Inc. Consulting/Outside Services NA 220
Powerhouse Rigging Consulting/Outside Services NA 262
Precision Resource Co. Consulting/Outside Services A 667
Premier Personnel Consulting/Outside Services NA 57
Pro Staff Personnel Services Consulting/Outside Services NA 481
Prosource Technologies Consulting/Outside Services NA 115
Quantum Consulting & Placement Consulting/Outside Services NA 98
Rainier Technology, Inc. Consulting/Outside Services NA 694
Rapidigm, Inc. Consulting/Outside Services NA 99
Red Planet Consulting, Inc. Consulting/Outside Services NA 119
Reichman, Karten Sword, Inc. Consulting/Outside Services NA 36
Rellek Dev., Inc. Consulting/Outside Services NA 145
RER, Inc. Consulting/Outside Services NA 79
Resolution, Inc. Consulting/Outside Services NA 249
Resources Connection, Inc. Consulting/Outside Services NA 309
Reuters America, Inc. Consulting/Outside Services NA 37
RHI Management Resources Consulting/Outside Services NA 115
Richter Scale Productions, Inc. Consulting/Outside Services NA 53
Rick Souther Photography Consulting/Outside Services NA 73
Right Management Consulting, Inc. Consulting/Outside Services NA 672
RJ Services, Inc. Consulting/Outside Services NA 40
RM Software, Inc. Consulting/Outside Services NA 25
RNL Solutions Consulting/Outside Services NA 200
Robert Half Consulting/Outside Services NA 59
Robert Reents Consulting/Outside Services NA 48
Robins, Kaplan, Miller & Ciresi Consulting/Outside Services NA 279
Rocky Mountain Security Consulting/Outside Services NA 224
Ronald A. Jerich & Associates Consulting/Outside Services NA 96
RSM Enterprises Consulting/Outside Services NA 34
Russeth, Inc. Consulting/Outside Services NA 59
S G S Statistical Services LLC Consulting/Outside Services NA 53
S.A. Robotics Consulting/Outside Services NA 104
Safety Kleen Corporation Consulting/Outside Services NA 38
Sage Results, Inc. Consulting/Outside Services NA 53
Scott Madden & Associates Consulting/Outside Services NA 388
SDS Architects, Inc. Consulting/Outside Services NA 28
Security Solutions, LLC Consulting/Outside Services NA 101
Sedway Consulting, Inc. Consulting/Outside Services NA 348
Seever Courier Service Consulting/Outside Services NA 48
Shared Resource Management Consulting/Outside Services NA 660
Shareholder.Com Consulting/Outside Services NA 45
Sheldon J. Harris Consulting/Outside Services NA 62
Siemens Consulting/Outside Services NA 262
Page 21h
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ ---------
Siemens Building Technologies Consulting/Outside Services NA 43
Siemens Power T&D, Inc. Consulting/Outside Services NA 356
Simpson Partnership Inc. Consulting/Outside Services NA 39
Sitrick & Co., Inc. Consulting/Outside Services NA 376
Smart Partners Consulting/Outside Services NA 39
Soft Link, Inc. Consulting/Outside Services NA 191
Soft Scape, Inc. Consulting/Outside Services NA 40
Software Architects, Inc. Consulting/Outside Services NA 45
Solutions Marketing Consulting Consulting/Outside Services NA 229
Somos, Inc. Consulting/Outside Services NA 32
Sopheon Corporation Consulting/Outside Services NA 33
Sprint Express, Inc. Consulting/Outside Services NA 36
Standard & Poor's Corp. Consulting/Outside Services NA 35
Staubach Company Consulting/Outside Services NA 33
Staubach Management Services Consulting/Outside Services NA 286
Stop Processing Center Consulting/Outside Services NA 27
Stratplans, Inc. Consulting/Outside Services NA 93
Summit Blue Consulting Consulting/Outside Services NA 63
Sungard Energy Systems, Inc. Consulting/Outside Services NA 98
Superior Seven Mile Creek Land Consulting/Outside Services NA 83
Superior Special Services, Inc. Consulting/Outside Services NA 297
Svingen Athens Russell, Et. Al. Consulting/Outside Services NA 27
Swanson Consulting Group Consulting/Outside Services NA 93
Synergetic Design Consulting/Outside Services NA 1,177
Synova, Inc. Consulting/Outside Services NA 96
TB Industries, Inc. Consulting/Outside Services NA 55
Technology Resource Group, Inc. Consulting/Outside Services NA 95
TekSystems, Inc. Consulting/Outside Services NA 205
Tension Envelope Consulting/Outside Services NA 478
The Blackstone Group LP Consulting/Outside Services NA 787
The Gallup Group Consulting/Outside Services NA 28
The Marathon Group Consulting/Outside Services NA 98
The Maris Group Consulting/Outside Services NA 428
The Market Solutions Group Consulting/Outside Services NA 221
The Smith Free Group Consulting/Outside Services NA 54
The St. Paul Companies Consulting/Outside Services NA 185
The Westin Westminster Consulting/Outside Services NA 67
The Writers Group Consulting/Outside Services NA 81
Theobald & Associates Consulting/Outside Services NA 29
TMP Worldwide Consulting/Outside Services NA 299
Tony Kwilas Consulting/Outside Services NA 28
Top Echelon Contracting, Inc. Consulting/Outside Services NA 61
Towers Perrin Consulting/Outside Services NA 201
Trans Alarm Consulting/Outside Services NA 3,562
Page 21i
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OUTSIDE SERVICES EMPLOYED--ACCOUNT 923
(thousands of dollars)
INSTRUCTIONS: Provide a breakdown of outside services employed. If the aggregate
amounts paid to any one payee and included within one category is less than
$25,000, only the aggregate number and amount of all such payments included
within the subaccounts need be shown. Provide a subtotal for each type of
service.
RELATIONSHIP
SERVICES A'=ASSOCIATED
FROM WHOM PURCHASED PROVIDED "NA"=NONASSOCIATED AMOUNT
------------------- -------- ------------------ -----------
Transformer Disposal Consulting/Outside Services NA 27
TRC Mariah Associates, Inc. Consulting/Outside Services NA 39
Tri-State Generation & Transmission Consulting/Outside Services NA 400
Two Degrees Consulting/Outside Services NA 137
Ulteig Engineers, Inc. Consulting/Outside Services NA 339
UMS Group Consulting/Outside Services NA 209
United Accounts, Inc. Consulting/Outside Services NA 30
United Business Mail Consulting/Outside Services NA 152
United Parcel Service Consulting/Outside Services NA 25
Universal Field Services, Inc. Consulting/Outside Services NA 27
Universal Network Solutions Consulting/Outside Services NA 831
UP Tempo Consulting Consulting/Outside Services NA 90
Utilities International, Inc. Consulting/Outside Services NA 1,540
Utility Engineering Consulting/Outside Services A 358
Verifications, Inc. Consulting/Outside Services NA 139
Verint Systems, Inc. Consulting/Outside Services NA 725
Veritas Software Corporation Consulting/Outside Services NA 47
Visa Consulting/Outside Services NA 187
Visimetrix, Inc. Consulting/Outside Services NA 68
Vision Technologies, Inc. Consulting/Outside Services NA 53
Volt Services Group Consulting/Outside Services NA 44
Vonasek & Schieffer, Inc. Consulting/Outside Services NA 492
W. L. Hall Company Consulting/Outside Services NA 102
Wackenhut Consulting/Outside Services NA 1,433
Waltco, Inc. Consulting/Outside Services NA 79
Ware Consulting LLC Consulting/Outside Services NA 176
Waste Management Consulting/Outside Services NA 159
Waukesha Electric Systems, Inc. Consulting/Outside Services NA 75
Weatherdata, Inc. Consulting/Outside Services NA 45
Webmethods, Inc. Consulting/Outside Services NA 266
Wells Fargo Shareowner Service Consulting/Outside Services NA 1,698
Wenck Associates, Inc. Consulting/Outside Services NA 29
Western Area Power Associates Consulting/Outside Services NA 65
Wilbanks Corporation Consulting/Outside Services NA 95
Wilbanks Resources Corp. Consulting/Outside Services NA 27
Xerox Consulting/Outside Services NA 44
Yamamoto/Moss, Inc. Consulting/Outside Services NA 88
Z Systems Consulting/Outside Services NA 31
Zechman & Associates Consulting/Outside Services NA 525
Other (1291) Various NA 1,580
-----------
Total Consulting/Outside Services 77,433
-----------
TOTAL CONSULTING/OUTSIDE SERVICES EMPLOYED $ 101,253
===========
Page 22
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
EMPLOYEE PENSION AND BENEFITS--ACCOUNT 926
(thousands of dollars)
INSTRUCTIONS: Provide a listing of each pension plan and benefit program
provided by the service company. Such listing should be limited to $25,000.
DESCRIPTION AMOUNT
----------- ------------
Pensions $ (23,457)
Managed Health Care/Dental/Vision 16,882
Employee Savings Plans (401K) 4,668
Supplemental Executive Retirement Plan 4,308
Post Retirement Health Care 2,692
Life Insurance 1,351
Benefit Wave Election 369
Post Employment Benefits (172)
------------
TOTAL $ 6,641
============
Page 23
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
GENERAL ADVERTISING EXPENSE--ACCOUNT 930.1
(thousands of dollars)
INSTRUCTIONS: Provide a listing of the amount included in Account 930.1,
"General Advertising Expenses", classifying the items according to the nature of
the advertising and as defined in the account definition. If a particular class
includes an amount in excess of $3,000 applicable to a single payee, show
separately the name of the payee and the aggregate amount applicable thereto.
DESCRIPTION NAME OF PAYEE AMOUNT
----------- ------------- --------
Ad Agency/Advertising/Printing McClain Finlon Advertising Inc. $ 3,034
Advertising - Sponsorship St. Paul Facilities Management 1,339
Advertising Pepsi Center 1,110
Advertising Xcel Energy Center 1,054
Advertising - Sponsorship Minnesota Wild Hockey Club 940
Printing Goldstein's 328
Advertising Minntertainment Co. 250
Printing Hotchkiss, Inc. 77
Printing General Litho Services, Inc. 71
Advertising Grand Excursion, Inc. 60
Advertising TMP Worldwide 58
Advertising - Sponsorship Penumbra Theatre Company 51
Advertising Home Builders Association 42
Advertising Texas Panhandle Heritage 40
Advertising Saint Paul Festival & Heritage 37
Advertising City of Sioux Falls 35
Advertising - Sponsorship Downtown Denver Partnership, Inc. 33
Printing Merit Printing 30
Advertising Minneapolis Downtown Council 27
Advertising Colorado Press Association 26
Advertising Culture, Inc. 25
Advertising Nexus Energy Software, Inc. 25
Advertising - Sponsorship U.S. Hockey Hall of Fame 25
Advertising St. Paul Area Chamber of Commerce 22
Advertising Nationwide Advertising,Inc. 21
Advertising Market Solutions Group 20
Advertising Saint Paul Riverfront Corp 20
Printing DST Output, Inc. 20
Advertising/Printing Monique Lovato 16
Advertising Griffin Communications, Inc. 13
Advertising RTD Marketing Dept. 12
Advertising St. Josephs Home For Children 10
Printing Output Technology Solutions, Inc. 9
Advertising Jonathon Treat 9
Advertising Great Plains Institute 8
Advertising - Consulting Stop Process Center 8
Advertising Ordway Circle of Stars 8
Advertising Plaza Research 7
Printing Pyramid Print & Graphics 7
Printing Park Printing 6
Advertising - Sponsorship National Association of Investors 6
Page 23a
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
GENERAL ADVERTISING EXPENSE--ACCOUNT 930.1
(thousands of dollars)
INSTRUCTIONS: Provide a listing of the amount included in Account 930.1,
"General Advertising Expenses", classifying the items according to the nature of
the advertising and as defined in the account definition. If a particular class
includes an amount in excess of $3,000 applicable to a single payee, show
separately the name of the payee and the aggregate amount applicable thereto.
DESCRIPTION NAME OF PAYEE AMOUNT
----------- ------------- ------
Advertising Lubbock Rate Campaign 5
Advertising Casa De Esperanza 5
Advertising Como Zoo & Conservatory 5
Advertising Marshall Fields Symphony Ball 5
Advertising National Council of Jewish Women 5
Advertising The Childrens Theatre Co. 5
Advertising United Hospital Foundation 5
Advertising Denver Regional Council of Gov 5
Advertising Educational Development Specialists 4
Advertising Minority Business Entrepreneur 4
Advertising Insight Consulting 4
Advertising The Pines At Genesse, LLC 4
Advertising Peanuts on Parade 4
Advertising Denver Business Journal 4
Advertising Boys & Girls Club of the Twin Cities 3
Advertising - Consulting Japanese Society for Quality Control 3
Miscellaneous Advertising Various (94) 62
-------------
TOTAL $ 9,071
=============
Page 23b
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
MISCELLANEOUS GENERAL EXPENSES--ACCOUNT 930.2
(thousands of dollars)
INSTRUCTIONS: Provide a listing of the amount included in Account 930.2,
"Miscellaneous General Expenses" classifying such expenses according to their
nature. Payments and expenses permitted by Section 321 (b)(2) of the Federal
Election Campaign Act, as amended by Public Law 94-283 in 1976 (2 U.S.C. 441
(b)(2)) shall be separately classified.
DESCRIPTION AMOUNT
----------- ------
Utility Association Dues $ 1,424
Board of Director Fees and Expenses 2,315
Shared Asset costs (1) 10,786
Shareholder Relations expenses 8
------------
TOTAL $ 14,533
============
(1) Costs for capital assets utilized by more than one affiliate company
RENTS--ACCOUNT 931
(thousands of dollars)
TYPE OF PROPERTY AMOUNT
---------------- ------
Rents - Office Space $ 7,930
------------
TOTAL $ 7,930
============
Page 24
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
TAXES OTHER THAN INCOME TAXES--ACCOUNT 408
(thousands of dollars)
INSTRUCTIONS: Provide an analysis of Account 408 "Taxes Other Than Income
Taxes". Separate the analysis into two groups: (1) other than U.S. Government
taxes, and (2) U.S. Government taxes. Specify each of the various kinds of taxes
and show the amounts thereof. Provide a subtotal for each class of tax.
KIND OF TAX AMOUNT
----------- ------
Other Than U.S. Government Taxes:
State Unemployment Taxes $ 751
Franchise Tax - Texas, Kansas, Delaware, Ohio and New Mexico 222
Other - various 89
-------
SUBTOTAL 1,062
-------
U.S. Government Taxes:
Social Security Taxes 13,499
Federal Unemployment Taxes 199
-------
SUBTOTAL 13,698
-------
TOTAL $14,760
=======
Page 25
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
DONATIONS--ACCOUNT 426.1
(thousands of dollars)
INSTRUCTIONS: Provide a listing of the amount included in Account 426.1,
"Donations", classifying such expenses by its purpose. The aggregate number and
amount of all items of less than $3,000 may be shown in lieu of details.
NAME OF RECIPIENT PURPOSE OF DONATION AMOUNT
----------------- ------------------- ------
2002 Sponsorship NMBA Convention Contribution to support community assistance $ 3
Asian Chamber of Commerce Contribution to support community assistance 5
Business Social Awards Contribution to support community assistance 4
CACI Contribution to support community assistance 5
Center for New Americans Contribution to support community assistance 10
City of Arvada; Arvada Center Contribution to support community assistance 3
City of Milaca Fire Department Contribution to support community assistance 3
Colorado Black Chamber of Commerce Contribution to support community assistance 10
Colorado Business Hall of Fame Contribution to support community assistance 5
Colorado Women's Chamber of Commerce Contribution to support community assistance 10
CSG/Legislators Forum Contribution to support community assistance 5
Denver Hispanic Chamber of Commerce Contribution to support community assistance 10
Denver Metro Chamber Foundation Contribution to support community assistance 8
DLCC Services Corporation LLC Contribution to support community assistance 10
Downtown Denver Partnership Inc. Contribution to support community assistance 96
Goldstein's Contribution to support community assistance 5
Governor's Fishing Opener Contribution to support community assistance 10
Greater Pueblo Chamber of Commerce Contribution to support community assistance 3
MEDA Contribution to support community assistance 13
Milestone Growth Fund, Inc. Contribution to support community assistance 20
Minnesota Chamber of Commerce Contribution to support community assistance 8
Minnesota Environmental Sciences Contribution to support community assistance 5
Minnesota Property Tax Reform Contribution to support community assistance 3
Minnesota Science Museum Contribution to support community assistance 5
Minnesota State Society Contribution to support community assistance 3
Minnesota Utilities Investors Group Contribution to support community assistance 64
Minnesotans for a Fair Redistricting Contribution to support community assistance 5
MN Rural Electrical Association Contribution to support community assistance 18
National Minority Supplier Dev Contribution to support community assistance 12
National Western Stock Show Contribution to support community assistance 3
Options, Inc Contribution to support community assistance 8
Panhandle Water Planning Group Contribution to support community assistance 5
Public Affairs Council Contribution to support community assistance 4
Rocky Mountain Minority Contribution to support community assistance 26
St Paul Riverfront Corporation Contribution to support community assistance 8
Swearing-In Account Ceremony Contribution to support community assistance 5
Taste of Minnesota Contribution to support community assistance 45
The Friends of St. Paul Contribution to support community assistance 10
Urban League of Metro Denver Contribution to support community assistance 11
US Chamber of Commerce Contribution to support community assistance 70
Windustry Wind Energy Contribution to support community assistance 5
Women's Foundation of Colorado Contribution to support community assistance 3
Page 25a
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
DONATIONS--ACCOUNT 426.1
(thousands of dollars)
INSTRUCTIONS: Provide a listing of the amount included in Account 426.1,
"Donations", classifying such expenses by its purpose. The aggregate number and
amount of all items of less than $3,000 may be shown in lieu of details.
NAME OF RECIPIENT PURPOSE OF DONATION AMOUNT
----------------- ------------------- ------
American Heart Association Contribution to support health 13
National Jewish Med and Research Contribution to support health 5
The Children's Hospital Foundation Contribution to support health 10
Citzens Scholarship Foundation Contribution to support education 66
Latin American Education Foundation Contribution to support education 5
Mizel Center for Arts & Culture Contribution to support education 5
University Film Society Contribution to support education 4
Colorado Energy Assistance Foundation (CEAF) Contribution to support low income 500
United Way Contribution to support United Way 3
Horton's Kids Contribution to support young people 4
Junior Achievement Contribution to support young people 18
On Wings of Hope; Kempe Children Contribution to support young people 5
The Delay Foundation for Kids Contribution to support young people 8
Other (134) 103
---------
TOTAL $ 1,310
=========
Page 26
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
OTHER DEDUCTIONS--ACCOUNT 426.5
(thousands of dollars)
INSTRUCTIONS: Provide a listing of the amount include in Account 426.5, "Other
Deductions", classifying such expenses according to their nature.
DESCRIPTION NAME OF PAYEE AMOUNT
Expenditures for Certain Civic, Company employee, administrative costs
Political & Related Activities for civic, political and related activities $ 873
NRG Integration (billed to Holding Co.) Various 4,885
Life Insurance Premiums for Corporate Officers Various 1,184
and to fund non-qualified deferred
compensation program
-------
TOTAL $ 6,942
=======
Page 27
ANNUAL REPORT OF XCEL ENERGY SERVICES, INC.
For the Year Ended December 31, 2002
SCHEDULE XVIII--NOTES TO STATEMENT OF INCOME
INSTRUCTIONS: The space below is provided for important notes regarding the
statement of income or any account thereof. Furnish particulars as to any
significant increases and services rendered or expenses incurred during the
year. Notes related to financial statements shown elsewhere in this report may
be indicated here by reference.
Account 920 - For 2002 this account includes compensation costs paid under the
employee incentive plans previously reported in account 926.
Account 922 - Starting October 2001 with the conversion to the JD Edwards
General Ledger system, costs for Aviation Services, Information
Technology and Supply Chain Purchasing are initially recorded in income
statement clearing accounts (408, 920-926) according to the nature of
the cost. At month-end these costs are transferred to the balance sheet
clearing accounts (184) and account 922 is credited.
Also see Notes to Financial Statements on pages 14-14d for additional Notes to
Statement of Income.
Page 28
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
For the Year Ended December 31, 2002
ORGANIZATION CHART (SUMMARY LEVEL)
ORGANIZATION CHART SERVICE FUNCTION
------------------ ----------------
Chairman Executive Management Services
President, CEO Executive Management Services
Internal Audit Internal Audit
Investor/Shareholder Services Investor Relations
Corporate Strategy and Business Development Corp Strategy & Business Development
Financial and Support Services-CFO Accounting, Fin Reporting, Taxes
Accounting Accounting, Fin Reporting, Taxes
Accounts Payable Payment & Reporting
Finance and Treasury Finance and Treasury
General Counsel Legal
Claims Services Claims Services
Regulatory and Governmental Affairs - Vice-President Rates and Regulation
Regulatory Administration Rates and Regulation
Government Affairs Government Affairs
Shared Services - Chief Administration Officer Executive Management Services
Human Resources Human Resources
Communications Corporate and Employee Communications
Supply Chain Supply Chain and S. Chain Special Programs
Facilities and Real Estate Facilities and Real Estate
Aviation Aviation
Payroll Payroll
Energy Markets - President Energy Mkts Reg Trading & Mktg
Energy Markets Regulated Trading & Marketing Energy Mkts Reg Trading & Mktg
Energy Markets Fuel Procurement Energy Markets Fuel Procurement
Energy Markets - Vice-President/CFO Business Unit Acctg & Budgeting
Energy Supply - President Business Unit Acctg & Budgeting
Energy Supply Business Resources Business Unit Acctg & Budgeting
Energy Supply Engineering & Environmental Energy Supply Engineering & Environmental
Delivery - President Business Unit Acctg & Budgeting
Energy Delivery Asset Management Business Unit Acctg & Budgeting
Energy Delivery Engineering/Design Energy Delivery Engineering/Design
Energy Delivery Construction, Oper & Maint Energy Delivery Constr, Oper & Maint
Fleet Fleet
Energy Delivery Marketing Energy Delivery Marketing
Retail - President Business Unit Acctg & Budgeting
Retail - Controller Business Unit Acctg & Budgeting
Marketing and Sales Marketing and Sales
Customer Service Customer Sales
Receipts Processing Receipts Processing
Information Technology - Vice-President/CIO Information Technology
Page 29
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
METHODS OF ALLOCATION
Revenue Ratio - Based on the sum of the monthly revenue amounts for the prior
year ending December 31, the numerator of which is for an applicable Operating
Company or affiliate company and the denominator of which is for all applicable
Operating Companies and affiliate companies. This ratio will be determined
annually, or at such time as may be required due to significant changes.
Employee Ratio - Based on the number of employees at the end of the prior year
ending December 31, the numerator of which is for an applicable Operating
Company or affiliate company and the denominator of which is for all applicable
Operating Companies and affiliate companies. This ratio will be determined
annually, or at such time as may be required due to significant changes.
Total Assets Ratio, with 15 Percent of Assets assigned to Xcel Energy Inc. -
Based on the total assets as of December 31 for the prior year, the numerator of
which is for an applicable Operating Company or affiliate company and the
denominator of which is for all applicable Operating Companies and affiliate
companies. Xcel Energy Inc. will be assigned fifteen percent of the total
assets. This ratio will be determined annually, or at such time as may be
required due to significant changes.
Total Assets Ratio - Based on the total assets as of December 31 for the prior
year, the numerator of which is for an applicable Operating Company or affiliate
company and the denominator of which is for all applicable Operating Companies
and affiliate companies. This ratio will be determined annually, or at such time
as may be required due to significant changes.
Square Footage Ratio - Based on the total square footage as of December 31 for
the prior year, the numerator of which is for an applicable Operating Company or
affiliate company and the denominator of which is for all applicable Operating
Companies and affiliate companies. This ratio will be determined annually, or at
such time as may be required due to significant changes.
Invoice Transaction Ratio - Based on the sum of the monthly number of invoice
transactions processed for the prior year ending December 31, the numerator of
which is for an applicable Operating Company or affiliate company and the
denominator of which is for all applicable Operating Companies and affiliate
companies. This ratio will be determined annually, or at such time as may be
required due to significant changes.
Customer Bills Ratio - Based on the average of the monthly total number of
customer bills issued during the prior year ending December 31, the numerator of
which is for an applicable Operating Company or affiliate company and the
denominator of which is for all applicable Operating Companies and affiliate
companies. This ratio will be determined annually, or at such a time as may be
required due to significant changes.
MWh Generation Ratio - Based on the sum of the monthly electric MWh generated
during the prior year ending December 31, the numerator of which is for an
applicable Operating Company and the denominator of which is for all applicable
Operating Companies. This ratio will be determined annually, or at such time as
may be required due to significant changes.
Page 29a
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
METHODS OF ALLOCATION
Total MWh Sales Ratio - Based on the sum of the monthly electric MWh hours sold
during the prior year ending December 31, the numerator of which is for an
applicable Operating Company and the denominator of which is for all applicable
Operating Companies. This includes sales to ultimate customers, wholesale
customers, and non-requirement sales for resale. This ratio will be determined
annually, or at such time as may be required due to significant changes.
Customers Ratio - Based on the average of the monthly total electric customers
(and/or gas customers, or residential, business and large commercial and
industrial customers where applicable) for the prior year ending December 31,
the numerator of which is for an applicable Operating Company or affiliate
company and the denominator of which is for all applicable Operating Companies
and affiliate companies. This ratio will be determined annually, or at such time
as may be required due to significant changes.
Labor Dollars Ratio - Based on the XES department (performing center) labor
dollars charged to Operating companies and other affiliates for the month. The
numerator of which is the labor dollars charged to an Operating Company or
affiliate company and the denominator of which is for all Operating Companies
and affiliate companies charged by the department for the month.
Delivery Services Gross Plant Ratio - Based on transmission and distribution
gross plant for the Delivery Business unit, both electric and gas for the prior
year ending December 31, the numerator of which is an applicable Operating
Company and the denominator of which is for all applicable Operating Companies.
This ratio will be determined annually, or at such time as may be required due
to significant changes.
Page 30
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
ANNUAL STATEMENT OF COMPENSATION FOR USE OF CAPITAL BILLED
For the Period Ended December 31, 2002
The following annual statement was supplied to each associate company
in support of the amount of compensation for use of capital billed during 2002:
In accordance with Instruction 01-12 of the Securities and Exchange
Commission's Uniform System of Accounts for Mutual Service Companies and
Subsidiary Service Companies, Xcel Energy Services Inc. (XES) submits the
following information on the billing of interest on borrowed funds to associated
companies for the year 2002:
A. Amount of interest billed to associate companies is contained on
page 16, Analysis of Billing.
B. Amount of interest XES pays Xcel Energy Inc. is based on Xcel
Energy's weighted cost of debt adjusted for their commitment
(facilities) fees. Interest is billed to associate companies
based on each company's Accounts Receivable balance weighted with
other significant Service Company assets in which the benefits
can be directly assigned to specific companies. Companies with
outstanding Accounts Receivable balances greater than 30 days and
more than $1,000 are charged a 1% penalty on the outstanding
balance in addition to their monthly interest expense. The
penalty amounts reduce the monthly interest amount allocated
based on total Accounts Receivable balances.
Page 31
ANNUAL REPORT OF XCEL ENERGY SERVICES INC.
SIGNATURE CLAUSE
Pursuant to the requirements of the Public Utility Holding Company Act
of 1935 and the rules and regulations of the Securities and Exchange Commission
issued thereunder, the undersigned company has duly caused this report to be
signed on its behalf by the undersigned officer thereunto duly authorized.
Xcel Energy Services Inc.
---------------------------------------------
(Name of Reporting Company)
By: /s/ David E. Ripka
---------------------------------------------
(Signature of Signing Officer)
David E. Ripka, Vice President and Controller
---------------------------------------------
(Printed Name and Title of Signing Officer)
Date: April 30, 2003