View:
SIGNATURE
Pursuant to the requirements of the Public Utility Holding Company Act of
1935, the undersigned company has duly caused this Certificate to be signed on
its behalf by the undersigned thereunto duly authorized.
Unitil Resources, Inc.
By: /s/ Gail A. Siart
Gail A. Siart
Treasurer
Dated: August 14, 1996
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________________________________________________
Application of Unitil Corporation )
) CERTIFICATE PURSUANT TO
and its Subsidiaries on Form U-1 ) RULE 24 UNDER THE PUBLIC
) UTILITY HOLDING COMPANY
(File No. 70-8074) ) ACT OF 1935
_____________________________________________________________________________
Pursuant to the requirements of Rule 24 under the Public Utility Holding
Company Act of 1935, Unitil Corporation, on behalf of itself and its
subsidiary, Unitil Resources, Inc. hereby files the attached quarterly report
as required by the Securities and Exchange Commission's order approving the
formation of a subsidiary company to provide consulting services to
non affiliates (HCAR. No. 25816; File No. 70-8074; May 24, 1993) and its order
approving the provision by that subsidiary of additional services including
energy marketing and energy management services (HCAR. No. 26487; File No.
70-8773; May 31, 1996).
Exhibits
Exhibit A - Description of the various consulting, energy marketing,
energy management and other activities undertaken by Unitil
Resources, Inc.
Exhibit B - Statement of the amount of funds invested by Unitil in
Unitil Resources, Inc.
Exhibit C - Description of staffing.
Exhibit D - Description of the intellectual property.
Exhibit E - Statement of energy marketing expenses incurred by Unitil
Resources, Inc.
Exhibit F - Statement of energy sales.
Exhibit G - Financial Statements.
EXHIBIT A
Page 1 of 1
Description of Various Consulting, Energy Marketing, Energy Management and
Other Activities Undertaken by Unitil Resources Inc:
Staff providing services under the activities listed below (unless
otherwise indicated) are located at Unitil Service Corp. (Unitil Service),
6 Liberty Lane West, Hampton, NH 03842-1720, where most client work is
performed. From time to time staff visit other locations, predominately in
New England, representing client interests.
Consulting Services
A. Great Bay Power Corporation (GBP) Management and Administrative Services.
Unitil Resources provided transition-related management and administrative
services to GBP during the first quarter of 1996, in a variety of functional
areas including accounting, finance, and general management. These services
relate to the conclusion on December 31, 1995 of the Management and
Administrative Services Agreement between GBP and Unitil Corporation, dated
November 23, 1994, and the transfer to GBP of activities which were being
handled by Unitil Resources under the concluded contract. Charges to GBP
totalled ($358) in the second quarter of 1996 and $15,427 for the year-to-date.
B. Kingston-Warren Corporation Consultancy. An agreement was signed as of
December 30, 1994 between Unitil Resources and Kingston-Warren Corporation
(K-W) under which Unitil Resources will assist K-W in the conduct of studies
relating to alternatives to K-W's current retail power supply arrangements.
No charges have been assessed to date on this contract.
Energy Marketing Activities
A. New Hampshire Pilot Program. As of July 1, 1996, Unitil Resources became
eligible to begin marketing electricity at retail to statewide participants in
the New Hampshire Pilot Program. This 24-month program allows 3% of all
electric customers in the State of New Hampshire to purchase unbundled
electricity from the supplier of their choice. Due to the starting date of
this program no revenues were generated from this activity during the second
quarter of 1996, or for the year-to-date.
Energy Management Services
No contracts/activities to date.
EXHIBIT B
Statement of the Amount of Funds Invested by Unitil Corporation in Unitil
Resources, Inc.:
The initial investment in Unitil Resources, Inc. was $10,000. There has
been no further investment.
EXHIBIT C
Description of Staffing:
Staff involved in providing service to Unitil Resources, Inc. (Unitil
Resources) are located at Unitil Service Corp. (Unitil Service). Service is
provided to Unitil Resources pursuant to a service agreement between Unitil
Service and Unitil Resources dated July 1, 1993. Services provided by Unitil
Service during the second quarter of 1996, and cumulatively to date, included
regulatory, finance, accounting, marketing, energy management and
administrative services and ranged in number from nineteen to sixty-two
employees on a part-time basis each month. The following are the percentages
of Unitil Service time that were expended on Unitil Resources activities in
the second quarter of 1996 and cumulatively to date:
Consulting Energy Energy
& Other Marketing Mgmt. Total
First Quarter 0.20% 0.00% 0.00% 0.20%
Second Quarter 0.00% 3.40% 0.00% 3.40%
Third Quarter
Fourth Quarter
Year To Date 0.10% 1.70% 0.00% 1.80%
EXHIBIT D
Description of the Intellectual Property:
No intellectual property was purchased or received during the quarter.
EXHIBIT E
Statement of Energy Marketing Expenses:
Quarter Ended Year-To-Date
June 30, 1996 Period
Retail Energy Marketing Expenses 418,298 418,298
Wholesale Energy Marketing Expenses -- --
Total Energy Marketing Expenses 418,298 418,298
EXHIBIT F
Statement of Energy Sales:
There have been no retail or wholesale energy sales in 1996.
EXHIBIT G
Page 1 of 5
Unitil Resources, Inc.
(A Wholly-owned Subsidiary of Unitil Corporation)
STATEMENTS OF EARNINGS
(UNAUDITED)
Three Months Ended June 30, Six Months Ended June 30,
1996 1995 1996 1995
Revenues $(358) $199,534 $15,427 $411,670
Operating Expenses:
Administrative
and General 421,178 122,448 434,460 249,798
Total Operating
Expenses 421,178 122,448 434,460 249,798
Operating Income (421,536) 77,086 (419,033) 161,872
Nonoperating Income 4,941 105 10,141 105
Earning Before
Income Taxes (416,595) 77,191 (408,892) 161,977
Income Taxes:
Current Federal (131,614) 24,408 (129,178) 51,217
Current State (29,137) 5,404 (28,598) 11,339
Total Income Taxes (160,751) 29,812 (157,776) 62,556
Net Income $(255,844) $47,379 $(251,116) $99,421
Exhibit G
Page 2 of 5
Unitil Resources, Inc.
(A Wholly-owned Subsidiary of Unitil Corporation)
BALANCE SHEETS
(UNAUDITED)
June 30 December 31
ASSETS: 1996 1995 1995
Current Assets:
Cash $307,714 $257,273 $411,781
Accounts Receivable 5,000 4,996 258
Unbilled and Accrued Revenue -- 21,781 4,181
Total Current Assets 312,714 284,050 416,220
Deferred Debits -- -- --
Total Assets $312,714 $284,050 $416,220
LIABILITIES AND
STOCKHOLDERS EQUITY:
Current Liabilities:
Accounts Payable $30,412 $44,888 $50,862
Taxes Accrued & Other 189,722 (523) 21,663
Total Current Liabilities 220,134 44,365 72,525
Stockholder's Equity:
Common Stock, $1.00 par value
Authorized - 10,000 shares
Outstanding - 10,000 shares 100 100 100
Premium on Common Stock 9,900 9,900 9,900
Retained Earnings 82,580 229,685 333,695
Total Stockholder's Equity 92,580 239,685 343,695
Total Liabilities and Equity $312,714 $284,050 $416,220
Exhibit G
Page 3 of 5
Unitil Resources, Inc.
(A Wholly-owned Subsidiary of Unitil Corporation)
STATEMENTS OF CASH FLOWS
(UNAUDITED)
For the Six Months Ended June 30,
1996 1995
Net Cash Flow from Operating Activities:
Net Income $(251,116) $99,421
Change in Assets and Liabilities
(Increase) Decrease in:
Accounts Receivable (4,742) 60,569
Unbilled and Accrued Revenue 4,182 (12,833)
Deferred Debits -- 1,484
Increase (Decrease) in:
Accounts Payable (20,450) (7,116)
Taxes Accrued & Other 168,059 17,033
Net Cash Provided by Operating Activities (104,067) 158,558
Net Increase in Cash (104,067) 158,558
Cash at beginning of year 411,781 98,715
Cash at June 30, $307,714 $257,273
Exhibit G
Page 4 of 5
Unitil Resources, Inc.
(A Wholly-owned Subsidiary of Unitil Corporation)
STATEMENTS OF CASH FLOWS
(UNAUDITED)
For the Six Months Ended June 30, 1996
Energy
Consulting Energy Mgmt. &
& Other Power Commodity Marketing
Services Marketing Sales Services Total
Net Cash Flow from
Operating Activities:
Net Income $3,646 $(254,762) -- -- $(251,116)
Change in Assets
and Liabilities
(Increase) Decrease in:
Accounts Receivable 258 (5,000) -- -- (4,742)
Unbilled and
Accrued Revenue 4,182 -- -- -- 4,182
Deferred Debits -- -- -- -- --
Increase (Decrease) in:
Accounts Payable (20,450) -- -- -- (20,450)
Taxes Accrued & Other (954) 169,013 -- -- 168,059
Net Cash Provided
by Operating Activities (17,500) (90,749) -- -- (104,067)
Net Increase in Cash (104,067)
Cash at beginning of year 411,781
Cash at June 30, $307,714
Exhibit G
Page 5 of 5
Unitil Resources, Inc.
(A Wholly-owned Subsidiary of Unitil Corporation)
STATEMENTS OF RETAINED EARNINGS
(UNAUDITED)
For the Three Months Ended June 30,
1996 1995
Retained Earnings,
Beginning of Period $338,424 $182,305
Net Income (255,844) 47,380
Retained Earnings,
End of Period $82,580 $229,685
For the Six Months Ended June 30,
1996 1995
Retained Earnings,
Beginning of Period $333,696 $130,264
Net Income (251,116) 99,421
Retained Earnings,
End of Period $82,580 $229,685