/2H5d 1$&%*'ATMOS ENERGY CORPORATION,'CONDENSED CONSOLIDATED BALANCE SHEETS'(In thousands)^June 30,^September 30, ^2001 ^2000^(Unaudited) 'ASSETS$'Property, plant and equipment"$1,635,803"$1,579,8030'Less accum. depreciation and amortization"634,075"597,457( 'Net property, plant and equipment "1,001,728 "982,346 'Current assets 'Cash and cash equivalents "424,483  "7,379 'Accounts receivable, net "117,928 "114,448.'Inventories of supplies and merchandise "10,490 "6,456'Gas stored underground "52,327 "64,222'Prepayments "73,912 "8,101'Total current assets"679,140"200,606('Deferred charges and other assets"191,937"165,806"$1,872,805"$1,348,758+'SHAREHOLDERS' EQUITY AND LIABILITIES'Shareholders' equity'Common stock"$ 202"$ 160!'Additional paid-in capital"485,872"306,887'Retained earnings"114,486 "83,154-'Accumulated other comprehensive income "44 "2,265'Shareholders' equity"600,604"392,466 'Long-term debt "700,517 "363,198"'Total capitalization""1,301,121""755,664#'Current liabilities+$'Current maturities of long-term debt $"16,444 $"17,566%'Short-term debt%"124,237%"250,047&'Accounts payable &"77,903 &"73,031''Taxes payable '"30,411 '"10,844('Customers' deposits ("22,689 ("9,923 )'Other current liabilities )"83,033 )"21,085 +'Total current liabilities+"354,717+"382,496,'Deferred income taxes,"130,135,"131,619--'Deferred credits and other liabilities -"86,832 -"78,979/"$1,872,805/"$1,348,758M2^See accompanying notes to condensed consolidated financial statements.4'ATMOS ENERGY CORPORATION>5'CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED),6'(In thousands, except per share data)8^Three months ended8^Three months ended9^June 309^June 30 :^2001 :^2000<'Operating revenues<"$ 164,260<"$ 152,362='Purchased gas cost="102,981 ="92,332?'Gross profit ?"61,279 ?"60,0304A'Gas trading margin of Woodward Marketing, LLCA"(3,195) A"--C'Operating expensesD'Operation D"29,394 D"38,511E'Maintenance E"1,803 E"1,611$F'Depreciation and amortization F"16,129 F"15,138G'Taxes, other than income G"7,584 G"7,114I'Total operating expenses I"54,910 I"62,374K'Operating income (loss) K"3,174K"(2,344)4M'Equity in earnings of Woodward Marketing, LLC M"-- M"4,740N'Miscellaneous income N"644 N"54O'Interest charges, net O"9,232 O"10,164Q'Loss before income taxesQ"(5,414)Q"(7,714)S'Income tax benefitS"(2,014)S"(3,318)U'Net lossU"$ (3,400)U"$ (4,396)+W'Basic and diluted net loss per shareW"$ (.08)W"$ (.14)Y'Cash dividends per shareY"$ .290Y"$ .285+\'Weighted average shares outstanding:]'Basic and diluted ]"40,395 ]"31,501M`'See accompanying notes to condensed consolidated financial statements.b'ATMOS ENERGY CORPORATION>c'CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED),d'(In thousands, except per share data)f^Nine months endedf^Nine months endedg^June 30g^June 30 h^2001 h^2000j'Operating revenuesj"$ 1,282,163j"$ 691,017k'Purchased gas costk"972,612k"423,310m'Gross profitm"309,551m"267,7074o'Gas trading margin of Woodward Marketing, LLCo"(3,195) o"--q'Operating expensesr'Operation r"96,823r"106,202s'Maintenance s"5,317 s"5,798$t'Depreciation and amortization t"47,815 t"48,128u'Taxes, other than income u"30,395 u"23,795w'Total operating expensesw"180,350w"183,923y'Operating incomey"126,006 y"83,7844{'Equity in earnings of Woodward Marketing, LLC {"8,062 {"9,127%|'Miscellaneous income (expense)|"(1,426) |"1,313}'Interest charges, net }"31,295 }"32,408!'Income before income taxes"101,347 "61,816'Income taxes "37,701 "22,315'Net income"$ 63,646"$ 39,501!'Basic net income per share"$ 1.71"$ 1.26#'Diluted net income per share"$ 1.70"$ 1.25'Cash dividends per share"$ .870"$ .855+'Weighted average shares outstanding: 'Basic "37,318 "31,363'Diluted "37,422 "31,510M'See accompanying notes to condensed consolidated financial statements.'ATMOS ENERGY CORPORATION6'CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS'(UNAUDITED)'(In thousands)^Nine months ended^Nine months ended^June 30^June 30 ^2001 ^2000+'Cash Flows From Operating Activities'Net income"$ 63,646"$ 39,501-'Adjustments to reconcile net income to1'net cash provided by operating activities:%'Depreciation and amortization:"'Charged to depreciation and'amortization "47,815 "48,128 'Charged to other accounts "2,068 "2,296&'Deferred income taxes (benefit) "(191) "10,545)'Net change in operating assets and'liabilities "32,180 "16,9470'Net cash provided by operating activities"145,518"117,417+'Cash Flows From Investing Activities,'Acquisition of Missouri assets of ANG "--"(32,000)'Capital expenditures"(70,305)"(54,347))'Retirements of property, plant and'equipment, net "(515) "1,231)'Acquisition of assets to be leased"(4,890) "--('Increase in cash from acquisition "13,129 "--+'Proceeds from sale of utility assets "6,625 "--,'Net cash used in investing activities"(55,956)"(85,116)+'Cash Flows From Financing Activities&'Net decrease in short-term debt"(125,810)"(4,422)'Cash dividends paid"(32,314)"(26,931)"'Repayment of long-term debt"(13,803)"(10,862)3'Net proceeds from issuance of long-term debt"347,099 "--'Issuance of common stock "10,327 "9,477('Net proceeds from equity offering"142,043 "--7'Net cash provided (used) by financing activities"327,542"(32,738);'Net increase (decrease) in cash and cash equivalents"417,104 "(437)-'Cash and cash equivalents at beginning'of period "7,379 "8,585''Cash and cash equivalents at end'of period"$ 424,483"$ 8,148M'See accompanying notes to condensed consolidated financial statements.