2 5 I5 Arial5! Arial5" Arial5# Arial5$ Arial5% Arial Unicode MS5& Arial Unicode MS5'  Arial5(  Arial5) Arial5* Arial5+Arial !!""            !!!"!#!$!%%&  '& (% ) *%+%,& -% . /'0'1( 2' 3'4)5)6* 7) 8)9):);*<*=) >* ?)@)A* @@ @@ @@ @ @  @ @ @ @ @@  @@  @ @ @ @ @ @@ @  @  @  @  @  @  @  @ @ @  @  @  @  @  @ @ @ @ @ @ @  @@ @@ ! @ " @ # @ $ @ %@ @ & @ ' @ (@ @ ) @ * @@ + @ , @ - @ . @ / @ 0 @ 1 @ 2 @ 3@ @ 4 @ 5 @ 6 @ 7 @ 8@ @ 9@ @ :@ @ ;@@ < @@ >@@ ?@@ @@@ B@ @  C@ @  D@ @  E@ @ F @ G @ H@ @ I @ K @ M @@ N @ O @ P @ Q@ @ R @ S@ @ T @ U @ V @ W@ @ X @ Y @ Z@ @ [ @ \@ @ ] @ ^@ @ _ @ `@ @ a @ b@ @ c @@ d @ e@ @ f @ g@@ h @@ j@@ k@@ l@@ n@ @  o@ @  p@ @  q@ @ r @ s @ t@ @ u @ w @ x @@ y @ z @ { @ |@ @ } @ ~@ @  @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @ @@ @ @ @ @ @ @ @@ @@ @@ @@ @@ @@ @@@ @ @  @ @  @ @  @ @  @@ @ @@ @@ @@ @@ @ @ @ @ @ @ @ @ @ @@ @ @ @@ @ @ @ @ @ @ @ @@ @ @ @ @ @ @ @ @ @ @ @ @ @@ @ @ @ @@ @ @ @ @@ @@ q@' q@' q@'q0*'ATMOS ENERGY CORPORATION+'CONDENSED CONSOLIDATED BALANCE SHEETS'(In thousands)^June 30,^September 30, ^2002 ^2001^(Unaudited) 'ASSETS#'Property, plant and equipment"$ 2,210,815"$ 2,109,8674 'Less accumulated depreciation and amortization "826,226 "774,469' 'Net property, plant and equipment "1,384,589 "1,335,398 'Current assets 'Cash and cash equivalents "7,003 "15,263,'Cash held on deposit in margin account "10,376 "66,666'Accounts receivable, net "158,924 "124,046'Inventories "4,895 "6,041'Gas stored underground "55,614 "89,555,'Assets from risk management activities "27,178 "95,968'Deferred gas cost"- "10,999*'Other current assets and prepayments "8,190 "15,713'Total current assets "272,180 "424,251'Intangible assets "11,071 "12,125'Goodwill "67,386 "64,7457'Noncurrent assets from risk management activities "7,359 "29,771''Deferred charges and other assets "178,387 "169,890"$ 1,920,972"$ 2,036,180*'SHAREHOLDERS' EQUITY AND LIABILITIES 'Shareholders' equity!'Common stock!"$ 207!"$ 204 "'Additional paid-in capital ""503,415 ""489,948#'Retained earnings #"124,006 #"95,1323$'Accumulated other comprehensive income (loss) $"(1,251) $"(1,420)&'Shareholders' equity &"626,377 &"583,864''Long-term debt '"675,756 '"692,399)'Total capitalization)"1,302,133)"1,276,263*'Current liabilities*+'Current maturities of long-term debt +"20,413 +"20,695,'Short-term debt ,"45,492 ,"201,247.-'Accounts payable and accrued liabilities -"144,452 -"84,471.'Taxes payable ."21,365 ."11,620/'Customers' deposits /"31,312 /"32,35110'Liabilities from risk management activities 0"20,129 0"119,4841'Deferred gas cost 1"19,2191"-2'Other current liabilities 2"48,779 2"41,1614'Total current liabilities 4"351,161 4"511,0295'Deferred income taxes 5"157,488 5"138,934<6'Noncurrent liabilities from risk management activities 6"2,767 6"7,412,7'Deferred credits and other liabilities 7"107,423 7"102,5429"$ 1,920,9729"$ 2,036,180K<^See accompanying notes to condensed consolidated financial statements>'ATMOS ENERGY CORPORATION=?'CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)+@'(In thousands, except per share data)B^Three months endedB^Three months ended C^June 30 C^June 30 D^2002 D^2001F'Operating revenuesF"$ 161,800F"$ 164,260G'Purchased gas cost G"87,967 G"102,981I'Gross profit I"73,833 I"61,279K'Gas trading margin K"12,259 K"(3,195)M'Operating expensesN'Operation and maintenance N"37,832 N"31,197#O'Depreciation and amortization O"20,362 O"16,129P'Taxes, other than income P"8,720 P"7,584R'Total operating expenses R"66,914 R"54,910T'Operating income T"19,178 T"3,174$U'Miscellaneous income (expense) U"(182) U"644V'Interest charges, net V"13,823 V"9,232'X'Income (loss) before income taxes X"5,173 X"(5,414)*Y'Provision (benefit) for income taxes Y"1,919 Y"(2,014)['Net income (loss)["$ 3,254["$ (3,400)']'Basic net income (loss) per share]"$ 0.08]"$ (0.08))_'Diluted net income (loss) per share_"$ 0.08_"$ (0.08)'a'Cash dividends declared per sharea"$ .295a"$ .290*c'Weighted average shares outstanding: d'Basic d"41,265 d"40,395 f'Diluted f"41,370 f"40,395Kh'See accompanying notes to condensed consolidated financial statementsj'ATMOS ENERGY CORPORATION=k'CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)+l'(In thousands, except per share data)n^Nine months endedn^Nine months ended o^June 30 o^June 30 p^2002 p^2001r'Operating revenuesr"$ 812,623r"$ 1,282,163s'Purchased gas cost s"479,542 s"972,612u'Gross profit u"333,081 u"309,551w'Gas trading margin w"29,026 w"(3,195)x'Operating expensesy'Operation and maintenance y"122,614 y"102,140#z'Depreciation and amortization z"60,875 z"47,815{'Taxes, other than income {"29,661 {"30,395}'Total operating expenses }"213,150 }"180,350'Operating income "148,957 "126,0066'Equity in earnings of Woodward Marketing, L.L.C."- "8,062$'Miscellaneous income (expense) "(893) "(1,426)'Interest charges, net "44,304 "31,295 'Income before income taxes "103,760 "101,347 'Provision for income taxes "38,495 "37,701'Net income"$ 65,265"$ 63,646 'Basic net income per share"$ 1.59"$ 1.71"'Diluted net income per share"$ 1.59"$ 1.70''Cash dividends declared per share"$ .885"$ .870*'Weighted average shares outstanding: 'Basic "41,049 "37,318 'Diluted "41,144 "37,422K'See accompanying notes to condensed consolidated financial statements'ATMOS ENERGY CORPORATION5'CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS'(UNAUDITED)'(In thousands)^Nine months ended^Nine months ended ^June 30 ^June 30 ^2002 ^2001*'Cash Flows From Operating Activities'Net income"$ 65,265"$ 63,646>'Adjustments to reconcile net income to net cash provided'by operating activities:$'Depreciation and amortization:!'Charged to depreciation and'amortization "60,875 "47,815'Charged to other accounts "1,931 "2,068%'Deferred income taxes (benefit) "18,454 "(191) 'Other "(3,223)"-<'Net assets/liabilities from risk management activities"(10,780)"-4'Net change in operating assets and liabilities "169,144 "32,180/'Net cash provided by operating activities "301,666 "145,518*'Cash Flows From Investing Activities'Capital expenditures"(89,768)"(70,305)'Acquisitions"(15,747)"-('Retirements of property, plant and'equipment, net "(1,930) "(515)#'Assets for leasing activities "(6,880) "(4,890)''Increase in cash from acquisition"- "13,129''Proceeds from sale of assets, net"- "6,625+'Net cash used in investing activities"(114,325)"(55,956)*'Cash Flows From Financing Activities%'Net decrease in short-term debt"(155,755)"(125,810)'Cash dividends paid"(36,391)"(32,314)!'Repayment of long-term debt"(16,925)"(13,803)2'Net proceeds from issuance of long-term debt"- "347,099'Issuance of common stock "13,470 "10,327''Net proceeds from equity offering"- "142,0436'Net cash provided (used) by financing activities"(195,601) "327,542:'Net increase (decrease) in cash and cash equivalents "(8,260) "417,104,'Cash and cash equivalents at beginning'of period "15,263 "7,379&'Cash and cash equivalents at end'of period"$ 7,003"$ 424,483K'See accompanying notes to condensed consolidated financial statements 6Sheet1 6Sheet2 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