DTE Energy 2010 Annual Report Download - page 4

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2
MANAGEMENT’S NARRATIVE ANALYSIS OF RESULTS OF OPERATIONS
Certain items reflected in the accompanying consolidated financial statements have been eliminated at DTE Energy as a result of
purchase accounting adjustments.
2009
2008
(in Millions)
Operating Revenues ..........................................................................................................................
$ 1,765
$ 2,115
Cost of Gas .......................................................................................................................................
1,037
1,351
Gross Margin ....................................................................................................................................
728
764
Operation and Maintenance ..............................................................................................................
411
464
Depreciation and Amortization .........................................................................................................
109
102
Taxes Other Than Income .................................................................................................................
48
47
Asset (Gains), Net .............................................................................................................................
(30)
(26)
Operating Income .............................................................................................................................
190
177
Other (Income) and Deductions ........................................................................................................
57
59
Income Tax Provision .......................................................................................................................
40
38
Net Income .......................................................................................................................................
$ 93
$ 80
Gross margin increased $45 million in 2010 and decreased $36 million in 2009. Revenues associated with certain tracking
mechanisms and surcharges are offset by related expenses elsewhere in the Consolidated Statement of Operations.
2010
2009
(in Millions)
2010 self-implementation and rate order
$ 125
$ —
Lost and stolen gas
13
(15)
Midstream storage and transportation revenues
(20)
22
Uncollectible tracking mechanism
(43)
(28)
Lower sales volumes
—
(13)
Weather
(23)
(4)
Other
(7)
2
Increase (decrease) in gross margin
$ 45
$ (36)
(in Millions)
2010
2009
2008
Gas Markets
Gas sales
$ 1,259
$ 1,420
$ 1,789
End user transportation
185
144
143
Intermediate transportation
69
69
72
Other
115
132
111
$ 1,628
$ 1,765
$ 2,115
2010
2009
2008
Gas Markets (Bcf))
Gas sales
116
135
146
End user transportation
140
124
122
256
259
268
Intermediate transportation
391
462
437
647
721
705