DTE Energy 2007 Annual Report Download - page 4

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Asset (gains) and losses, net gain increased $3 million in 2007 and increased $48 million in 2006. The 2007 increase is attributable to
$5 million related to the sale of base gas and a land sale of $1 million, partially offset by $3 million for the disallowance of certain
costs related to the acquisition of pipeline assets. The 2006 increase was due to the 2005 disallowances of approximately $42 million
of costs related to a computer billing system and $6 million of certain computer equipment and related depreciation resulting from the
April 2005 gas rate order.
Outlook — Operating results are expected to vary due to regulatory proceedings, weather, change in economic conditions, customer
conservation, process improvements and base gas sales. Higher gas prices and economic conditions have resulted in continued
pressure on receivables and working capital requirements that are partially mitigated by the MPSC’ s uncollectible true-up mechanism
and GCR mechanism.
We will continue to utilize the DTE Energy Operating System and the Performance Excellence Process to seek opportunities to
improve productivity, remove waste and decrease our costs while improving customer satisfaction.
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