TEXAS AND VIRGINIA
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1-10042
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75-1743247
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---------------------------------
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------------------------
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----------------------
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(State or Other Jurisdiction
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(Commission File
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(I.R.S. Employer
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of Incorporation)
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Number)
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Identification No.)
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1800 THREE LINCOLN CENTRE,
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5430 LBJ FREEWAY, DALLAS, TEXAS
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75240
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----------------------------------------------------
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-----------------
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(Address of Principal Executive Offices)
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(Zip Code)
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Item 2.02.
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Results of Operations and Financial Condition.
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Item 9.01.
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Financial Statements and Exhibits.
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Exhibit Number
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Description
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99.1
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ATMOS ENERGY CORPORATION
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(Registrant)
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DATE: February 6, 2018
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By:
/s/ CHRISTOPHER T. FORSYTHE
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Christopher T. Forsythe
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Senior Vice President and
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Chief Financial Officer
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Exhibit Number
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Description
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99.1
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News Release
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•
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Fiscal
2018
first quarter consolidated net income was
$314.1 million
, or
$2.89
per diluted share, compared with consolidated net income of
$125.0 million
, or
$1.19
per diluted share in the prior-year quarter.
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•
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Adjusted net income from continuing operations was
$152.2 million
, or
$1.40
per diluted share after excluding a one-time income tax benefit of
$161.9 million
, or
$1.49
per diluted share, related to the Tax Cuts and Jobs Act of 2017 (the TCJA) due to the revaluation of the Company's net deferred tax liabilities. Net income from continuing operations was
$114.0 million
, or
$1.08
per diluted share for the same period last year.
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•
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Fiscal 2018 earnings guidance was increased to $3.85 to $4.05 per diluted share from $3.75 to $3.95 per diluted share. Capital expenditures are expected to remain in the previously announced range of $1.3 billion to $1.4 billion in fiscal 2018.
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•
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The company's Board of Directors has declared a quarterly dividend of $0.485 per common share. The indicated annual dividend for fiscal
2018
is $1.94, which represents a 7.8 percent increase over fiscal 2017.
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Three Months Ended December 31
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||||||||||
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2017
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2016
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Change
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(In thousands, except per share data)
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Income from continuing operations
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$
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314,132
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$
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114,038
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$
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200,094
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One-time, non-cash income tax benefit
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161,884
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—
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161,884
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Adjusted income from continuing operations
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$
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152,248
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$
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114,038
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$
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38,210
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Consolidated diluted EPS from continuing operations
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$
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2.89
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$
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1.08
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$
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1.81
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Diluted EPS from one-time, non-cash income tax benefit
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1.49
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—
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1.49
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Adjusted diluted EPS from continuing operations
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$
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1.40
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$
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1.08
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$
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0.32
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Statements of Income
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Three Months Ended
December 31 |
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(000s except per share)
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2017
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2016
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Gross Profit:
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Distribution segment
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$
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397,034
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$
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359,310
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Pipeline and storage segment
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125,551
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109,597
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Intersegment eliminations
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(310
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)
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(44
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)
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Gross profit
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522,275
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468,863
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Operation and maintenance expense
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129,567
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124,938
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Depreciation and amortization
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88,374
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76,958
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Taxes, other than income
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62,773
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57,049
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Total operating expenses
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280,714
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258,945
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Operating income
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241,561
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209,918
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Miscellaneous expense
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(2,035
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)
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(994
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)
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Interest charges
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31,509
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31,030
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Income from continuing operations before income taxes
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208,017
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177,894
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Income tax expense (benefit)
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(106,115
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)
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63,856
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Income from continuing operations
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314,132
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114,038
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Income from discontinued operations, net of tax
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—
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10,994
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Net Income
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$
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314,132
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$
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125,032
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Basic and diluted net income per share
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Income per share from continuing operations
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$
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2.89
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$
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1.08
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Income per share from discontinued operations
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—
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0.11
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Net income per share - basic and diluted
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$
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2.89
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$
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1.19
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Cash dividends per share
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$
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0.485
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$
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0.450
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Basic and diluted weighted average shares outstanding
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108,564
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105,284
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Three Months Ended
December 31 |
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Summary Net Income by Segment (000s)
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2017
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2016
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Distribution
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$
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249,099
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$
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85,364
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Pipeline and storage
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65,033
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28,674
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Net income from continuing operations
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314,132
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114,038
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Net income from discontinued operations
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—
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10,994
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Net Income
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$
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314,132
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$
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125,032
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Condensed Balance Sheets
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December 31,
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September 30,
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(000s)
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2017
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2017
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Net property, plant and equipment
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$
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9,518,792
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$
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9,259,182
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Cash and cash equivalents
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54,750
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26,409
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Accounts receivable, net
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489,217
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222,263
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Gas stored underground
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163,959
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184,653
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Other current assets
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70,984
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106,321
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Total current assets
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778,910
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539,646
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Goodwill
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730,132
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730,132
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Deferred charges and other assets
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236,886
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220,636
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$
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11,264,720
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$
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10,749,596
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Shareholders' equity
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$
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4,563,620
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$
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3,898,666
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Long-term debt
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3,067,469
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3,067,045
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Total capitalization
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7,631,089
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6,965,711
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Accounts payable and accrued liabilities
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285,675
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233,050
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Other current liabilities
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336,919
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332,648
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Short-term debt
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336,816
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447,745
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Total current liabilities
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959,410
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1,013,443
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Deferred income taxes
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1,033,206
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1,878,699
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Regulatory excess deferred taxes
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746,246
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—
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Deferred credits and other liabilities
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894,769
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891,743
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$
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11,264,720
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$
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10,749,596
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Condensed Statements of Cash Flows
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Three Months Ended
December 31 |
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(000s)
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2017
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2016
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Cash flows from operating activities
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Net income
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$
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314,132
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$
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125,032
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Depreciation and amortization
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88,374
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77,143
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Deferred income taxes
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53,149
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67,241
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One-time income tax benefit
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(161,884
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)
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—
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Discontinued cash flow hedging for natural gas marketing commodity contracts
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—
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(10,579
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)
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Other
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6,915
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4,842
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Changes in assets and liabilities
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(127,448
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)
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(146,716
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)
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Net cash provided by operating activities
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173,238
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116,963
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Cash flows from investing activities
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Capital expenditures
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(383,238
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)
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(297,962
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)
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Acquisition
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—
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(85,714
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)
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Available-for-sale securities activities, net
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(135
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)
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(10,263
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)
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Other, net
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2,001
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1,802
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Net cash used in investing activities
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(381,372
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)
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(392,137
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)
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Cash flows from financing activities
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Net increase (decrease) in short-term debt
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(110,929
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)
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110,936
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Proceeds from issuance of long-term debt, net of premium/discount
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—
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125,000
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Net proceeds from equity offering
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395,099
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49,400
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Issuance of common stock through stock purchase and employee retirement plans
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5,660
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8,998
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Interest rate agreements cash collateral
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—
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25,670
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Cash dividends paid
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(51,837
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)
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(47,740
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)
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Other
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(1,518
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)
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—
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Net cash provided by financing activities
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236,475
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272,264
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Net increase (decrease) in cash and cash equivalents
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28,341
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(2,910
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)
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Cash and cash equivalents at beginning of period
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26,409
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|
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47,534
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Cash and cash equivalents at end of period
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$
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54,750
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$
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44,624
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Three Months Ended
December 31 |
||||||
Statistics
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2017
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2016
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||||
Consolidated distribution throughput (MMcf as metered)
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124,357
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110,605
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Consolidated pipeline and storage transportation volumes (MMcf)
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155,105
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134,976
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Distribution meters in service
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3,236,524
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3,202,106
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Distribution average cost of gas
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$
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5.37
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$
|
5.31
|
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