|
[X]
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
[ ]
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
|
Oregon
|
93-0256820
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(State or other jurisdiction of
incorporation or organization)
|
(I.R.S. Employer
Identification No.)
|
Large accelerated filer [x]
|
Accelerated filer [ ]
|
Non-accelerated filer [ ]
|
Smaller reporting company [ ]
|
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Item 1.
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Item 2.
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Item 3.
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Item 4.
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Item 1.
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Item 1A.
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Item 6.
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Abbreviation or Acronym
|
|
Definition
|
AFDC
|
|
Allowance for funds used during construction
|
AUT
|
|
Annual Power Cost Update Tariff
|
Biglow Canyon
|
|
Biglow Canyon Wind Farm
|
Boardman
|
|
Boardman coal-fired generating plant
|
Cascade Crossing
|
|
Cascade Crossing Transmission Project
|
CERS
|
|
California Energy Resources Scheduling
|
Colstrip
|
|
Colstrip Units 3 and 4 coal-fired generating plant
|
EPA
|
|
U.S. Environmental Protection Agency
|
FERC
|
|
Federal Energy Regulatory Commission
|
IRP
|
|
Integrated Resource Plan
|
ISFSI
|
|
Independent Spent Fuel Storage Installation
|
kV
|
|
Kilovolt = one thousand volts of electricity
|
LLC
|
|
Limited Liability Company
|
Moody’s
|
|
Moody’s Investors Service
|
MW
|
|
Megawatts
|
MWa
|
|
Average megawatts
|
MWh
|
|
Megawatt hours
|
NVPC
|
|
Net Variable Power Costs
|
OPUC
|
|
Public Utility Commission of Oregon
|
PCAM
|
|
Power Cost Adjustment Mechanism
|
S&P
|
|
Standard & Poor’s Ratings Services
|
SEC
|
|
Securities and Exchange Commission
|
Trojan
|
|
Trojan Nuclear Plant
|
URP
|
|
Utility Reform Project
|
VIE
|
|
Variable Interest Entity
|
Item 1.
|
Financial Statements.
|
|
Three Months Ended
March 31, |
||||||
|
2012
|
|
2011
|
||||
Revenues, net
|
$
|
479
|
|
|
$
|
484
|
|
Operating expenses:
|
|
|
|
||||
Purchased power and fuel
|
195
|
|
|
194
|
|
||
Production and distribution
|
53
|
|
|
42
|
|
||
Administrative and other
|
54
|
|
|
52
|
|
||
Depreciation and amortization
|
62
|
|
|
56
|
|
||
Taxes other than income taxes
|
27
|
|
|
25
|
|
||
Total operating expenses
|
391
|
|
|
369
|
|
||
Income from operations
|
88
|
|
|
115
|
|
||
Other income:
|
|
|
|
||||
Allowance for equity funds used during construction
|
1
|
|
|
1
|
|
||
Miscellaneous income, net
|
3
|
|
|
2
|
|
||
Other income, net
|
4
|
|
|
3
|
|
||
Interest expense
|
28
|
|
|
27
|
|
||
Income before income taxes
|
64
|
|
|
91
|
|
||
Income taxes
|
15
|
|
|
22
|
|
||
Net income and net income attributable to Portland General Electric Company
|
$
|
49
|
|
|
$
|
69
|
|
Comprehensive income and comprehensive income attribu
table to Portland General Electric Company
|
$
|
49
|
|
|
$
|
69
|
|
|
|
|
|
||||
Weighted-average shares outstanding (in thousands):
|
|
|
|
||||
Basic
|
75,423
|
|
|
75,318
|
|
||
Diluted
|
75,443
|
|
|
75,337
|
|
||
|
|
|
|
||||
Earnings per share - basic and diluted
|
$
|
0.65
|
|
|
$
|
0.92
|
|
Dividends declared per common share
|
$
|
0.265
|
|
|
$
|
0.260
|
|
|
|
|
|
||||
See accompanying notes to condensed consolidated financial statements.
|
|||||||
|
|
|
|
|
March 31,
2012 |
|
December 31,
2011 |
||||
ASSETS
|
|
|
|
||||
Current assets:
|
|
|
|
||||
Cash and cash equivalents
|
$
|
8
|
|
|
$
|
6
|
|
Accounts receivable, net
|
156
|
|
|
144
|
|
||
Unbilled revenues
|
79
|
|
|
101
|
|
||
Inventories
|
81
|
|
|
71
|
|
||
Margin deposits
|
98
|
|
|
80
|
|
||
Regulatory assets - current
|
232
|
|
|
216
|
|
||
Deferred income tax assets
|
39
|
|
|
33
|
|
||
Other current assets
|
87
|
|
|
65
|
|
||
Total current assets
|
780
|
|
|
716
|
|
||
Electric utility plant, net
|
4,288
|
|
|
4,285
|
|
||
Regulatory assets - noncurrent
|
588
|
|
|
594
|
|
||
Nuclear decommissioning trust
|
36
|
|
|
37
|
|
||
Non-qualified benefit plan trust
|
36
|
|
|
36
|
|
||
Other noncurrent assets
|
61
|
|
|
65
|
|
||
Total assets
|
$
|
5,789
|
|
|
$
|
5,733
|
|
|
|
|
|
||||
See accompanying notes to condensed consolidated financial statements.
|
|
March 31,
2012 |
|
December 31,
2011 |
||||
LIABILITIES AND EQUITY
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Accounts payable
|
$
|
80
|
|
|
$
|
111
|
|
Liabilities from price risk management activities - current
|
242
|
|
|
216
|
|
||
Short-term debt
|
—
|
|
|
30
|
|
||
Current portion of long-term debt
|
100
|
|
|
100
|
|
||
Accrued expenses and other current liabilities
|
166
|
|
|
157
|
|
||
Total current liabilities
|
588
|
|
|
614
|
|
||
Long-term debt, net of current portion
|
1,635
|
|
|
1,635
|
|
||
Regulatory liabilities - noncurrent
|
742
|
|
|
720
|
|
||
Deferred income taxes
|
557
|
|
|
529
|
|
||
Liabilities from price risk management activities - noncurrent
|
173
|
|
|
172
|
|
||
Unfunded status of pension and postretirement plans
|
197
|
|
|
195
|
|
||
Non-qualified benefit plan liabilities
|
102
|
|
|
101
|
|
||
Other noncurrent liabilities
|
100
|
|
|
101
|
|
||
Total liabilities
|
4,094
|
|
|
4,067
|
|
||
Commitments and contingencies (see notes)
|
|
|
|
||||
Equity:
|
|
|
|
||||
Portland General Electric Company shareholders’ equity:
|
|
|
|
||||
Preferred stock, no par value, 30,000,000 shares authorized; none issued and outstanding as of March 31, 2012 and December 31, 2011
|
—
|
|
|
—
|
|
||
Common stock, no par value, 160,000,000 shares authorized; 75,504,580 and 75,362,956 shares issued and outstanding as of
March 31, 2012 and December 31, 2011, respectively
|
836
|
|
|
836
|
|
||
Accumulated other comprehensive loss
|
(6
|
)
|
|
(6
|
)
|
||
Retained earnings
|
862
|
|
|
833
|
|
||
Total Portland General Electric Company shareholders’ equity
|
1,692
|
|
|
1,663
|
|
||
Noncontrolling interests’ equity
|
3
|
|
|
3
|
|
||
Total equity
|
1,695
|
|
|
1,666
|
|
||
Total liabilities and equity
|
$
|
5,789
|
|
|
$
|
5,733
|
|
|
|||||||
See accompanying notes to condensed consolidated financial statements.
|
|
Three Months Ended March 31,
|
||||||
|
2012
|
|
2011
|
||||
Cash flows from operating activities:
|
|
|
|
||||
Net income
|
$
|
49
|
|
|
$
|
69
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
||||
Depreciation and amortization
|
62
|
|
|
56
|
|
||
Increase (decrease) in net liabilities from price risk management activities
|
21
|
|
|
(29
|
)
|
||
Regulatory deferral - price risk management activities
|
(22
|
)
|
|
29
|
|
||
Deferred income taxes
|
24
|
|
|
25
|
|
||
Power cost deferrals, net of amortization
|
3
|
|
|
4
|
|
||
Allowance for equity funds used during construction
|
(1
|
)
|
|
(1
|
)
|
||
Other non-cash income and expenses, net
|
14
|
|
|
9
|
|
||
Changes in working capital:
|
|
|
|
||||
Decrease (increase) in receivables
|
9
|
|
|
(1
|
)
|
||
(Increase) decrease in margin deposits, net
|
(18
|
)
|
|
3
|
|
||
Income tax refund received
|
8
|
|
|
8
|
|
||
Decrease in payables and accrued liabilities
|
(18
|
)
|
|
(10
|
)
|
||
Other working capital items, net
|
(24
|
)
|
|
(16
|
)
|
||
Other, net
|
3
|
|
|
—
|
|
||
Net cash provided by operating activities
|
110
|
|
|
146
|
|
||
Cash flows from investing activities:
|
|
|
|
||||
Capital expenditures
|
(69
|
)
|
|
(69
|
)
|
||
Sale of solar power facility
|
10
|
|
|
—
|
|
||
Sales of Nuclear decommissioning trust securities
|
7
|
|
|
18
|
|
||
Purchases of Nuclear decommissioning trust securities
|
(7
|
)
|
|
(19
|
)
|
||
Other, net
|
1
|
|
|
—
|
|
||
Net cash used in investing activities
|
(58
|
)
|
|
(70
|
)
|
||
|
|
|
|
||||
See accompanying notes to condensed consolidated financial statements.
|
|
Three Months Ended March 31,
|
||||||
|
2012
|
|
2011
|
||||
Cash flows from financing activities:
|
|
|
|
||||
Payments on long-term debt
|
$
|
—
|
|
|
$
|
(10
|
)
|
Maturities of commercial paper, net
|
(30
|
)
|
|
(19
|
)
|
||
Dividends paid
|
(20
|
)
|
|
(20
|
)
|
||
Noncontrolling interests’ capital distributions
|
—
|
|
|
(4
|
)
|
||
Net cash used in financing activities
|
(50
|
)
|
|
(53
|
)
|
||
Increase in cash and cash equivalents
|
2
|
|
|
23
|
|
||
Cash and cash equivalents, beginning of period
|
6
|
|
|
4
|
|
||
Cash and cash equivalents, end of period
|
$
|
8
|
|
|
$
|
27
|
|
|
|
|
|
||||
Supplemental cash flow information is as follows:
|
|
|
|
||||
Cash paid for interest, net of amounts capitalized
|
$
|
13
|
|
|
$
|
15
|
|
Cash paid for income taxes
|
—
|
|
|
1
|
|
||
Non-cash investing and financing activities:
|
|
|
|
||||
Accrued capital additions
|
8
|
|
|
9
|
|
||
Accrued dividends payable
|
21
|
|
|
20
|
|
||
|
|||||||
See accompanying notes to condensed consolidated financial statements.
|
|
Three Months Ended
March 31,
|
||||||
|
2012
|
|
2011
|
||||
Balance as of beginning of period
|
$
|
6
|
|
|
$
|
5
|
|
Provision, net
|
1
|
|
|
2
|
|
||
Amounts written off, less recoveries
|
(1
|
)
|
|
(2
|
)
|
||
Balance as of end of period
|
$
|
6
|
|
|
$
|
5
|
|
|
March 31,
2012 |
|
December 31,
2011 |
||||
Electric utility plant
|
$
|
6,630
|
|
|
$
|
6,596
|
|
Construction work in progress
|
129
|
|
|
120
|
|
||
Total cost
|
6,759
|
|
|
6,716
|
|
||
Less: accumulated depreciation and amortization
|
(2,471
|
)
|
|
(2,431
|
)
|
||
Electric utility plant, net
|
$
|
4,288
|
|
|
$
|
4,285
|
|
|
March 31, 2012
|
|
December 31, 2011
|
||||||||||||
|
Current
|
|
Noncurrent
|
|
Current
|
|
Noncurrent
|
||||||||
Regulatory assets:
|
|
|
|
|
|
|
|
||||||||
Price risk management
|
$
|
216
|
|
|
$
|
172
|
|
|
$
|
194
|
|
|
$
|
172
|
|
Pension and other postretirement plans
|
—
|
|
|
290
|
|
|
—
|
|
|
295
|
|
||||
Deferred income taxes
|
—
|
|
|
85
|
|
|
—
|
|
|
87
|
|
||||
Deferred broker settlements
|
9
|
|
|
—
|
|
|
11
|
|
|
—
|
|
||||
Debt reacquisition costs
|
—
|
|
|
27
|
|
|
—
|
|
|
28
|
|
||||
Other
|
7
|
|
|
14
|
|
|
11
|
|
|
12
|
|
||||
Total regulatory assets
|
$
|
232
|
|
|
$
|
588
|
|
|
$
|
216
|
|
|
$
|
594
|
|
Regulatory liabilities:
|
|
|
|
|
|
|
|
||||||||
Asset retirement removal costs
|
$
|
—
|
|
|
$
|
651
|
|
|
$
|
—
|
|
|
$
|
637
|
|
Asset retirement obligations
|
—
|
|
|
37
|
|
|
—
|
|
|
36
|
|
||||
Power cost adjustment mechanism
|
—
|
|
|
14
|
|
|
—
|
|
|
10
|
|
||||
Other
|
3
|
|
|
40
|
|
|
6
|
|
|
37
|
|
||||
Total regulatory liabilities
|
$
|
3
|
|
|
$
|
742
|
|
|
$
|
6
|
|
|
$
|
720
|
|
|
March 31,
2012 |
|
December 31, 2011
|
||||
Accrued employee compensation and benefits
|
$
|
38
|
|
|
$
|
44
|
|
Accrued interest payable
|
35
|
|
|
24
|
|
||
Accrued dividends payable
|
21
|
|
|
21
|
|
||
Other
|
72
|
|
|
68
|
|
||
Total accrued expenses and other current liabilities
|
$
|
166
|
|
|
$
|
157
|
|
•
|
A
$370 million
syndicated credit facility, with
$10 million
and
$360 million
scheduled to terminate in
July 2012
and
July 2013
, respectively; and
|
•
|
A
$300 million
syndicated credit facility, which is scheduled to terminate in
December 2016
.
|
|
Defined Benefit
Pension Plan
|
|
Other Postretirement
Benefits
|
|
Non-Qualified
Benefit Plans
|
||||||||||||||||||
|
2012
|
|
2011
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
||||||||||||
Service cost
|
$
|
3
|
|
|
$
|
3
|
|
|
$
|
1
|
|
|
$
|
1
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Interest cost
|
8
|
|
|
7
|
|
|
1
|
|
|
1
|
|
|
1
|
|
|
1
|
|
||||||
Expected return on plan assets
|
(10
|
)
|
|
(10
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Amortization of net actuarial loss
|
4
|
|
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Net periodic benefit cost
|
$
|
5
|
|
|
$
|
2
|
|
|
$
|
2
|
|
|
$
|
2
|
|
|
$
|
1
|
|
|
$
|
1
|
|
|
As of March 31, 2012
|
||||||||||||||
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Assets:
|
|
|
|
|
|
|
|
||||||||
Nuclear decommissioning trust:
(1)
|
|
|
|
|
|
|
|
||||||||
Money market funds
|
$
|
—
|
|
|
$
|
14
|
|
|
$
|
—
|
|
|
$
|
14
|
|
Debt securities:
|
|
|
|
|
|
|
|
||||||||
Domestic government
|
4
|
|
|
9
|
|
|
—
|
|
|
13
|
|
||||
Corporate credit
|
—
|
|
|
9
|
|
|
—
|
|
|
9
|
|
||||
Non-qualified benefit plan trust:
(2)
|
|
|
|
|
|
|
|
||||||||
Equity securities:
|
|
|
|
|
|
|
|
||||||||
Domestic
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
International
|
7
|
|
|
3
|
|
|
—
|
|
|
10
|
|
||||
Debt securities - domestic government
|
2
|
|
|
—
|
|
|
—
|
|
|
2
|
|
||||
Assets from price risk management activities:
(1) (3)
|
|
|
|
|
|
|
|
||||||||
Electricity
|
—
|
|
|
6
|
|
|
1
|
|
|
7
|
|
||||
Natural gas
|
—
|
|
|
18
|
|
|
—
|
|
|
18
|
|
||||
|
$
|
13
|
|
|
$
|
59
|
|
|
$
|
1
|
|
|
$
|
73
|
|
Liabilities from price risk management
activities:
(1) (3)
|
|
|
|
|
|
|
|
||||||||
Electricity
|
$
|
—
|
|
|
$
|
130
|
|
|
$
|
36
|
|
|
$
|
166
|
|
Natural gas
|
—
|
|
|
189
|
|
|
60
|
|
|
249
|
|
||||
|
$
|
—
|
|
|
$
|
319
|
|
|
$
|
96
|
|
|
$
|
415
|
|
(1)
|
Activities are subject to regulation, with certain gains and losses deferred pursuant to regulatory accounting and included in Regulatory assets or Regulatory liabilities as appropriate.
|
(2)
|
Excludes insurance policies of
$24 million
, which are recorded at cash surrender value.
|
(3)
|
For further information, see Note 4, Price Risk Management.
|
|
As of December 31, 2011
|
||||||||||||||
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Assets:
|
|
|
|
|
|
|
|
||||||||
Nuclear decommissioning trust:
(1)
|
|
|
|
|
|
|
|
||||||||
Money market funds
|
$
|
—
|
|
|
$
|
14
|
|
|
$
|
—
|
|
|
$
|
14
|
|
Debt securities:
|
|
|
|
|
|
|
|
||||||||
Domestic
|
3
|
|
|
9
|
|
|
—
|
|
|
12
|
|
||||
Corporate credit
|
—
|
|
|
11
|
|
|
—
|
|
|
11
|
|
||||
Non-qualified benefit plan trust:
(2)
|
|
|
|
|
|
|
|
||||||||
Equity securities:
|
|
|
|
|
|
|
|
||||||||
Domestic
|
7
|
|
|
2
|
|
|
—
|
|
|
9
|
|
||||
International
|
1
|
|
|
—
|
|
|
—
|
|
|
1
|
|
||||
Debt securities - domestic government
|
3
|
|
|
—
|
|
|
—
|
|
|
3
|
|
||||
Assets from price risk management activities:
(1) (3)
|
|
|
|
|
|
|
|
||||||||
Electricity
|
—
|
|
|
2
|
|
|
—
|
|
|
2
|
|
||||
Natural gas
|
—
|
|
|
17
|
|
|
—
|
|
|
17
|
|
||||
|
$
|
14
|
|
|
$
|
55
|
|
|
$
|
—
|
|
|
$
|
69
|
|
Liabilities from price risk management
activities:
(1) (3)
|
|
|
|
|
|
|
|
||||||||
Electricity
|
$
|
—
|
|
|
$
|
108
|
|
|
$
|
29
|
|
|
$
|
137
|
|
Natural gas
|
—
|
|
|
201
|
|
|
50
|
|
|
251
|
|
||||
|
$
|
—
|
|
|
$
|
309
|
|
|
$
|
79
|
|
|
$
|
388
|
|
(1)
|
Activities are subject to regulation, with certain gains and losses deferred pursuant to regulatory accounting and included in Regulatory assets or Regulatory liabilities as appropriate.
|
(2)
|
Excludes insurance policies of
$23 million
, which are recorded at cash surrender value.
|
(3)
|
For further information, see Note 4, Price Risk Management.
|
|
Fair Value
(in millions)
(1)
|
|
Range and Weighted Average
Price per Unit
|
||||||||||||||
|
|
|
Low
|
|
High
|
|
Weighted Average
|
|
Unit
|
||||||||
Liabilities from price risk management activities:
(2)
|
|
|
|
|
|
|
|
|
|
||||||||
Electricity financial swaps
|
$
|
36
|
|
|
$
|
5.99
|
|
|
$
|
49.70
|
|
|
$
|
38.33
|
|
|
MWh
|
Natural gas financial swaps
|
$
|
60
|
|
|
$
|
2.85
|
|
|
$
|
4.83
|
|
|
$
|
3.71
|
|
|
Dth
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, |
||||||
|
|
2012
|
|
2011
|
||||
Balance as of the beginning of the period
|
$
|
79
|
|
|
$
|
120
|
|
|
Net realized/unrealized losses (gains) for the period
(1)
|
|
18
|
|
|
(2
|
)
|
||
Purchases
|
|
—
|
|
|
(1
|
)
|
||
Issues
|
|
(1
|
)
|
|
—
|
|
||
Settlements
|
|
—
|
|
|
(1
|
)
|
||
Transfers out of Level 3 to Level 2
|
|
(1
|
)
|
|
—
|
|
||
Balance as of the end of the period
|
$
|
95
|
|
|
$
|
116
|
|
(1)
|
Contains nominal amounts of realized losses, net. Both realized and unrealized gains (losses) are recorded in Purchased power and fuel expense in the condensed consolidated statements of income of which the unrealized portion is fully offset by the effects of regulatory accounting until settlement of the underlying transactions.
|
|
March 31,
2012 |
|
December 31,
2011 |
|
||||
Current assets:
|
|
|
|
|
||||
Commodity contracts:
|
|
|
|
|
||||
Electricity
|
$
|
7
|
|
|
$
|
2
|
|
|
Natural gas
|
18
|
|
|
17
|
|
|
||
Total current derivative assets
|
25
|
|
(1)
|
19
|
|
(1)
|
||
Total derivative assets not designated as hedging instruments
|
$
|
25
|
|
|
$
|
19
|
|
|
Total derivative assets
|
$
|
25
|
|
|
$
|
19
|
|
|
Current liabilities:
|
|
|
|
|
||||
Commodity contracts:
|
|
|
|
|
||||
Electricity
|
$
|
90
|
|
|
$
|
66
|
|
|
Natural gas
|
152
|
|
|
150
|
|
|
||
Total current derivative liabilities
|
242
|
|
|
216
|
|
|
||
Noncurrent liabilities:
|
|
|
|
|
||||
Commodity contracts:
|
|
|
|
|
||||
Electricity
|
76
|
|
|
71
|
|
|
||
Natural gas
|
97
|
|
|
101
|
|
|
||
Total noncurrent derivative liabilities
|
173
|
|
|
172
|
|
|
||
Total derivative liabilities not designated as hedging instruments
|
$
|
415
|
|
|
$
|
388
|
|
|
Total derivative liabilities
|
$
|
415
|
|
|
$
|
388
|
|
|
(1)
|
Included in Other current assets on the condensed consolidated balance sheets.
|
|
Three Months Ended
March 31, |
||||||
|
2012
|
|
2011
|
||||
Commodity contracts:
|
|
|
|
||||
Electricity
|
$
|
53
|
|
|
$
|
31
|
|
Natural Gas
|
36
|
|
|
(6
|
)
|
|
2012
|
|
2013
|
|
2014
|
|
2015
|
|
Total
|
||||||||||
Commodity contracts:
|
|
|
|
|
|
|
|
|
|
||||||||||
Electricity
|
$
|
63
|
|
|
$
|
60
|
|
|
$
|
25
|
|
|
$
|
11
|
|
|
$
|
159
|
|
Natural gas
|
111
|
|
|
83
|
|
|
30
|
|
|
7
|
|
|
231
|
|
|||||
Net unrealized loss
|
$
|
174
|
|
|
$
|
143
|
|
|
$
|
55
|
|
|
$
|
18
|
|
|
$
|
390
|
|
|
March 31,
2012 |
|
December 31,
2011 |
||
Assets from price risk management activities:
|
|
|
|
||
Counterparty A
|
16
|
%
|
|
16
|
%
|
Counterparty B
|
12
|
|
|
19
|
|
Counterparty C
|
11
|
|
|
7
|
|
Counterparty D
|
8
|
|
|
13
|
|
|
47
|
%
|
|
55
|
%
|
Liabilities from price risk management activities:
|
|
|
|
||
Counterparty C
|
22
|
%
|
|
23
|
%
|
Counterparty E
|
13
|
|
|
10
|
|
|
35
|
%
|
|
33
|
%
|
|
Three Months Ended
March 31, |
||||||
|
2012
|
|
2011
|
||||
Numerator (in millions):
|
|
|
|
||||
Net income attributable to Portland General Electric
Company common shareholders
|
$
|
49
|
|
|
$
|
69
|
|
Denominator (in thousands):
|
|
|
|
||||
Weighted-average common shares outstanding - basic
|
75,423
|
|
|
75,318
|
|
||
Dilutive effect of unvested restricted stock units and
employee stock purchase plan shares
|
20
|
|
|
19
|
|
||
Weighted-average common shares outstanding - diluted
|
75,443
|
|
|
75,337
|
|
||
|
|
|
|
||||
Earnings per share - basic and diluted
|
$
|
0.65
|
|
|
$
|
0.92
|
|
|
Portland General Electric Company Shareholders’ Equity
|
|
|
|
|||||||||||||||
|
Common Stock
|
|
Accumulated
Other
Comprehensive
Loss
|
|
Retained
Earnings
|
|
|
Noncontrolling
Interests’
Equity
|
|||||||||||
|
Shares
|
|
Amount
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
||||||||||||||
Balances as of December 31, 2011
|
75,362,956
|
|
|
$
|
836
|
|
|
$
|
(6
|
)
|
|
$
|
833
|
|
|
|
$
|
3
|
|
Vesting of restricted and performance stock units
|
140,714
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
||||
Issuance of shares pursuant to dividend reinvestment and direct stock purchase plan
|
910
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
||||
Stock-based compensation
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
||||
Dividends declared
|
—
|
|
|
—
|
|
|
—
|
|
|
(20
|
)
|
|
|
—
|
|
||||
Noncontrolling interests’ capital distributions
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
||||
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
49
|
|
|
|
—
|
|
||||
Balances as of March 31, 2012
|
75,504,580
|
|
|
$
|
836
|
|
|
$
|
(6
|
)
|
|
$
|
862
|
|
|
|
$
|
3
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Balances as of December 31, 2010
|
75,316,419
|
|
|
$
|
831
|
|
|
$
|
(5
|
)
|
|
$
|
766
|
|
|
|
$
|
7
|
|
Vesting of restricted stock units
|
9,184
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
||||
Stock-based compensation
|
—
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
||||
Dividends declared
|
—
|
|
|
—
|
|
|
—
|
|
|
(20
|
)
|
|
|
—
|
|
||||
Noncontrolling interests’ capital distributions
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
(4
|
)
|
||||
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
69
|
|
|
|
—
|
|
||||
Balances as of March 31, 2011
|
75,325,603
|
|
|
$
|
832
|
|
|
$
|
(5
|
)
|
|
$
|
815
|
|
|
|
$
|
3
|
|
|
March 31,
2012 |
|
December 31,
2011 |
||||
Cash and cash equivalents
|
$
|
1
|
|
|
$
|
1
|
|
Electric utility plant, net
|
5
|
|
|
5
|
|
Item 2.
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations.
|
•
|
governmental policies and regulatory audits, investigations and actions, including those of the FERC and OPUC with respect to allowed rates of return, financings, electricity pricing and price structures, acquisition and disposal of facilities and other assets, construction and operation of plant facilities, transmission of electricity, recovery of power costs and capital investments, and current or prospective wholesale and retail competition;
|
•
|
the effects of weak economies in the state of Oregon and the United States, including decreased demand for electricity, reduced revenue from sales of excess energy during periods of low wholesale market prices, impaired financial stability of vendors and service providers and elevated levels of uncollectible customer accounts;
|
•
|
the outcome of legal and regulatory proceedings and issues including, but not limited to, the matters described in Note 7, Contingencies, in the Notes to Condensed Consolidated Financial Statements;
|
•
|
unseasonable or extreme weather and other natural phenomena, which can affect customers’ demand for power and could significantly affect PGE’s ability and cost to procure adequate power and fuel supplies to serve its customers, and could increase the Company’s costs to maintain its generating facilities and transmission and distribution systems;
|
•
|
operational factors affecting PGE’s power generation facilities, including forced outages, hydro and wind conditions, and disruption of fuel supply, which may cause the Company to incur repair costs, as well as increased power costs for replacement power;
|
•
|
volatility in wholesale power and natural gas prices, which could require the Company to issue additional letters of credit or post additional cash as collateral with counterparties pursuant to existing power and natural gas purchase agreements;
|
•
|
capital market conditions, including access to capital, interest rate volatility, reductions in demand for investment-grade commercial paper and the availability and cost of capital, as well as changes in PGE’s credit ratings, which could have an impact on the Company’s cost of capital and its ability to access the capital markets to support requirements for working capital, construction costs, and the repayments of maturing debt;
|
•
|
future laws, regulations, and proceedings that could increase the Company’s costs or affect the operations of the Company’s thermal generating plants by imposing requirements for additional emissions controls or significant emissions fees or taxes, particularly with respect to coal-fired generation facilities, in order to mitigate carbon dioxide, mercury and other gas emissions;
|
•
|
changes in wholesale prices for natural gas, coal, oil, and other fuels and the impact of such changes on the Company’s power costs and the availability and price of wholesale power in the western United States;
|
•
|
changes in residential, commercial, and industrial customer growth, and in demographic patterns, in PGE’s service territory;
|
•
|
the effectiveness of PGE’s risk management policies and procedures and the creditworthiness of customers and counterparties;
|
•
|
the failure to complete capital projects on schedule and within budget;
|
•
|
declines in the fair value of equity securities held for the defined benefit pension plans and other benefit plans, which could result in increased funding requirements for such plans;
|
•
|
changes in, and compliance with, environmental and endangered species laws and policies;
|
•
|
the effects of climate change, including changes in the environment that may affect energy costs or consumption, increase the Company’s costs, or adversely affect its operations;
|
•
|
new federal, state, and local laws that could have adverse effects on operating results;
|
•
|
cyber security attacks, data security breaches, or other malicious acts that cause damage to the Company’s generation and transmission facilities, information technology systems, or result in the release of confidential customer and proprietary information;
|
•
|
employee workforce factors, including aging, potential strikes, work stoppages, and transitions in senior management;
|
•
|
general political, economic, and financial market conditions;
|
•
|
natural disasters and other risks, such as earthquake, flood, drought, lightning, wind, and fire;
|
•
|
financial or regulatory accounting principles or policies imposed by governing bodies; and
|
•
|
acts of war or terrorism.
|
|
Three Months Ended March 31,
|
|
|
|||||||||||
|
2012
|
|
2011
|
|
Increase
/(Decrease)in Energy
Deliveries
|
|||||||||
|
Average
Number of
Customers
|
|
Energy
Deliveries *
|
|
Average
Number of
Customers
|
|
Energy
Deliveries *
|
|
||||||
Residential
|
722,197
|
|
|
2,259
|
|
|
719,615
|
|
|
2,291
|
|
|
(1.4
|
)%
|
Commercial
|
102,169
|
|
|
1,839
|
|
|
101,018
|
|
|
1,831
|
|
|
0.4
|
|
Industrial
|
266
|
|
|
1,006
|
|
|
258
|
|
|
1,024
|
|
|
(1.8
|
)
|
Total
|
824,632
|
|
|
5,104
|
|
|
820,891
|
|
|
5,146
|
|
|
(0.8
|
)
|
|
|
|
|
|
|
|
|
|
|
*
|
In thousands of MWh.
|
•
|
300 to 500 MW of base load energy resources;
|
•
|
200 MW of year-round flexible and peaking resources;
|
•
|
200 MW of bi-seasonal (winter and summer) peaking supply; and
|
•
|
150 MW of winter-only peaking supply.
|
•
|
Challenges to recovery of the Company’s investment in its closed Trojan plant;
|
•
|
Claims for refunds related to wholesale energy sales during 2000 - 2001 in the Pacific Northwest; and
|
•
|
An investigation of environmental matters regarding Portland Harbor.
|
•
|
General Rate Case — In PGE’s 2011 General Rate Case, the OPUC approved a tariff that provides a mechanism for future consideration of customer price changes related to the recovery of the Company’s remaining investment in the Boardman generating plant over a shortened operating life. Pursuant to the tariff, the OPUC approved recovery of increased depreciation expense reflecting a change in the retirement date of Boardman from 2040 to 2020, with new prices effective July 1, 2011, which provided incremental revenues for the last six months of 2011 of $7 million. An additional increase of approximately $6 million in annual revenue went into effect for 2012 as a result of this tariff change, primarily due to the mid-year application of the tariff in 2011.
|
•
|
Power Costs — Pursuant to the AUT process, PGE annually files an estimate of power costs for the following year. In November 2011, the OPUC issued an order on the 2012 AUT resulting in an estimated 1% decrease in customer prices. The new prices became effective January 1, 2012 and are expected to result in a decline of approximately $22 million in annual revenue, as a result of expected lower power costs.
|
•
|
Renewable Resource Costs — Pursuant to a renewable adjustment clause mechanism (RAC), PGE can recover in customer prices prudently incurred costs of renewable resources that are expected to be placed in service in the current year. The Company may submit a filing to the OPUC by April 1st each year, with prices expected to become effective January 1st of the following year.
|
•
|
Decoupling — The decoupling mechanism is intended to provide for recovery of reduced revenues resulting from a reduction in electricity sales attributable to energy efficiency and conservation efforts by residential and certain commercial customers. The mechanism provides for customer collection (or refund) if weather adjusted use per customer is less (or more) than the levels approved in the Company’s most recent general rate case.
|
•
|
For the three month period ended March 31, 2012, the Company has recorded an estimated refund of $1 million. Any estimated refund or collection for the 2012 calendar year would be provided to customers under a tariff that would begin June 1, 2013.
|
•
|
During 2011, PGE recorded an estimated refund of $2 million that is expected to be provided to customers over a one year period beginning June 1, 2012 as weather adjusted use per customer was greater than levels projected in the 2011 General Rate Case.
|
•
|
For 2010, the Company recorded an estimated collection of $8 million, as weather adjusted use per customer was less than levels included in the 2009 General Rate Case. After review, the OPUC approved collections from customers over a one-year period that began June 1, 2011.
|
•
|
Refund of tax credits — In 2011, PGE provided credits to customers for tax credits the Company had accumulated related to the Independent Spent Fuel Storage Installation at the former Trojan site. The discontinuance of the customer credits on January 1, 2012 will have the effect of increasing the Company
’
s annual revenues by approximately $18 million.
|
|
Three Months Ended
March 31,
|
||||||||||||
|
2012
|
|
2011
|
||||||||||
Revenues, net
|
$
|
479
|
|
|
100
|
%
|
|
$
|
484
|
|
|
100
|
%
|
Purchased power and fuel
|
195
|
|
|
41
|
|
|
194
|
|
|
40
|
|
||
Gross margin
|
284
|
|
|
59
|
|
|
290
|
|
|
60
|
|
||
Operating expenses:
|
|
|
|
|
|
|
|
||||||
Production and distribution
|
53
|
|
|
11
|
|
|
42
|
|
|
9
|
|
||
Administrative and other
|
54
|
|
|
11
|
|
|
52
|
|
|
11
|
|
||
Depreciation and amortization
|
62
|
|
|
13
|
|
|
56
|
|
|
11
|
|
||
Taxes other than income taxes
|
27
|
|
|
6
|
|
|
25
|
|
|
5
|
|
||
Total operating expenses
|
196
|
|
|
41
|
|
|
175
|
|
|
36
|
|
||
Income from operations
|
88
|
|
|
18
|
|
|
115
|
|
|
24
|
|
||
Other income:
|
|
|
|
|
|
|
|
||||||
Allowance for equity funds used during construction
|
1
|
|
|
—
|
|
|
1
|
|
|
—
|
|
||
Miscellaneous income, net
|
3
|
|
|
1
|
|
|
2
|
|
|
—
|
|
||
Other income, net
|
4
|
|
|
1
|
|
|
3
|
|
|
1
|
|
||
Interest expense
|
28
|
|
|
6
|
|
|
27
|
|
|
6
|
|
||
Income before income taxes
|
64
|
|
|
13
|
|
|
91
|
|
|
19
|
|
||
Income taxes
|
15
|
|
|
3
|
|
|
22
|
|
|
5
|
|
||
Net income and net income attributable to
Portland General Electric Company
|
$
|
49
|
|
|
10
|
%
|
|
$
|
69
|
|
|
14
|
%
|
|
Three Months Ended March 31,
|
||||||||||||
|
2012
|
|
2011
|
||||||||||
Revenues
(1)
(dollars in millions):
|
|
|
|
|
|
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
||||||
Residential
|
$
|
256
|
|
|
53
|
%
|
|
$
|
256
|
|
|
53
|
%
|
Commercial
|
156
|
|
|
33
|
|
|
156
|
|
|
32
|
|
||
Industrial
|
53
|
|
|
12
|
|
|
54
|
|
|
11
|
|
||
Subtotal
|
465
|
|
|
98
|
|
|
466
|
|
|
96
|
|
||
Other - accrued revenues
|
(3
|
)
|
|
(1
|
)
|
|
(3
|
)
|
|
(1
|
)
|
||
Total retail revenues
|
462
|
|
|
97
|
|
|
463
|
|
|
95
|
|
||
Wholesale revenues
|
10
|
|
|
2
|
|
|
13
|
|
|
3
|
|
||
Other operating revenues
|
7
|
|
|
1
|
|
|
8
|
|
|
2
|
|
||
Total revenues
|
$
|
479
|
|
|
100
|
%
|
|
$
|
484
|
|
|
100
|
%
|
Energy deliveries
(2)
(MWh in thousands):
|
|
|
|
|
|
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
||||||
Residential
|
2,259
|
|
|
42
|
%
|
|
2,291
|
|
|
41
|
%
|
||
Commercial
|
1,839
|
|
|
33
|
|
|
1,831
|
|
|
33
|
|
||
Industrial
|
1,006
|
|
|
18
|
|
|
1,024
|
|
|
18
|
|
||
Total retail energy deliveries
|
5,104
|
|
|
93
|
|
|
5,146
|
|
|
92
|
|
||
Wholesale energy deliveries
|
388
|
|
|
7
|
|
|
477
|
|
|
8
|
|
||
Total energy deliveries
|
5,492
|
|
|
100
|
%
|
|
5,623
|
|
|
100
|
%
|
||
Average number of retail customers:
|
|
|
|
|
|
|
|
||||||
Residential
|
722,197
|
|
|
88
|
%
|
|
719,615
|
|
|
88
|
%
|
||
Commercial
|
102,169
|
|
|
12
|
|
|
101,018
|
|
|
12
|
|
||
Industrial
|
266
|
|
|
—
|
|
|
258
|
|
|
—
|
|
||
Total
|
824,632
|
|
|
100
|
%
|
|
820,891
|
|
|
100
|
%
|
(1)
|
Includes both revenues from customers who purchase their energy supplies from the Company and revenues from the delivery of energy to those commercial and industrial customers that purchase their energy from ESSs.
|
(2)
|
Includes both energy sold to retail customers and energy deliveries to those commercial and industrial customers that purchase their energy from ESSs.
|
•
|
An $8 million decrease from a lower volume of energy sold due to one large industrial customer that transitioned to direct access and a weakness in demand from certain customers in the industrial sector in early 2012;
|
•
|
A $3 million decrease related to changes in the average retail price, resulting primarily from tariff changes effective January 1, 2012 as authorized by the OPUC;
|
•
|
A $2 million decrease related to decoupling, with a $1 million estimated refund recorded in 2012 compared to a $1 million collection in 2011; partially offset by
|
•
|
A $5 million increase as a result of credits provided to customers during 2011 related to the Independent Spent Fuel Storage Installation that were not applicable in 2012;
|
•
|
A $3 million increase resulting from increased deliveries to direct access customers; and
|
•
|
A $4 million increase resulting from several items, the largest of which amounted to just over $1 million including the reversal in 2012 of a refund recorded in 2011 for FERC land use fees, the recovery of costs for the solar feed-in tariff, and the difference in the PCAM, with a $4 million estimated refund recorded in the first quarter 2011 and an additional $3 million refund adjustment recorded in the first quarter 2012 related to the 2011 PCAM.
|
|
Heating Degree-days
|
||||
|
2012
|
|
2011
|
||
January
|
740
|
|
|
714
|
|
February
|
618
|
|
|
683
|
|
March
|
609
|
|
|
577
|
|
1st quarter
|
1,967
|
|
|
1,974
|
|
15-year average for the quarter
|
1,848
|
|
|
1,845
|
|
|
Runoff as a Percent of Normal *
|
||||
Location
|
2012
Forecast
|
|
2011
Actual
|
||
Columbia River at The Dalles, Oregon
|
118
|
%
|
|
135
|
%
|
Mid-Columbia River at Grand Coulee, Washington
|
120
|
|
|
123
|
|
Clackamas River at Estacada, Oregon
|
123
|
|
|
135
|
|
Deschutes River at Moody, Oregon
|
108
|
|
|
120
|
|
|
2012
|
|
2013
|
|
2014
|
|
2015
|
|
2016
|
||||||||||
Ongoing capital expenditures
|
$
|
273
|
|
|
$
|
255
|
|
|
$
|
231
|
|
|
$
|
251
|
|
|
$
|
330
|
|
Hydro licensing and construction
|
23
|
|
|
12
|
|
|
29
|
|
|
31
|
|
|
11
|
|
|||||
Boardman emissions controls
(1)
|
11
|
|
|
11
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Cascade Crossing
|
27
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total capital expenditures
|
$
|
334
|
|
(2)
|
$
|
278
|
|
|
$
|
260
|
|
|
$
|
282
|
|
|
$
|
341
|
|
Long-term debt maturities
|
$
|
100
|
|
|
$
|
100
|
|
|
$
|
—
|
|
|
$
|
70
|
|
|
$
|
67
|
|
(1)
|
Represents 80% of estimated total costs based on installation of emissions controls to meet regulatory requirements. In 1985, PGE sold an undivided 15% interest in Boardman to a third party, reducing the Company’s ownership interest from 80% to 65%. The purchaser has certain rights to participate in the financing of the portion of the total capital cost attributable to its interest. If the purchaser does not exercise its rights to finance the portion of the total cost attributable to its interest, PGE’s share of the total cost for the emissions controls at Boardman is expected to be 80%.
|
(2)
|
Amounts shown include preliminary engineering and removal costs, which are included in other net operating activities in the condensed consolidated statements of cash flows.
|
•
|
The addition of new generating plants and improvements to existing plants. The related RFP processes will determine the successful bidders and clarify the timing and total cost for the new capacity, energy, and renewable resources described in the IRP; and
|
•
|
The construction of the Cascade Crossing transmission line at an estimated total cost (in 2011 dollars) of $800 million to $1.0 billion. The Company continues to work with other stakeholders in planning the project and potential project partnerships. As of March 31, 2012, the Company has recorded $25 million in costs included in Construction work in progress (CWIP), in Electric utility plant, net in its condensed consolidated balance sheets.
|
|
Three Months Ended March 31,
|
||||||
|
2012
|
|
2011
|
||||
Cash and cash equivalents, beginning of period
|
$
|
6
|
|
|
$
|
4
|
|
Net cash provided by (used in):
|
|
|
|
||||
Operating activities
|
110
|
|
|
146
|
|
||
Investing activities
|
(58
|
)
|
|
(70
|
)
|
||
Financing activities
|
(50
|
)
|
|
(53
|
)
|
||
Increase in cash and cash equivalents
|
2
|
|
|
23
|
|
||
Cash and cash equivalents, end of period
|
$
|
8
|
|
|
$
|
27
|
|
•
|
A
$370 million
syndicated credit facility, with
$10 million
and
$360 million
scheduled to terminate
July 2012
and
July 2013
, respectively;
|
•
|
A
$300 million
syndicated credit facility, which is scheduled to terminate in
December 2016
|
|
Moody’s
|
|
S&P
|
First Mortgage Bonds
|
A3
|
|
A-
|
Senior unsecured debt
|
Baa2
|
|
BBB
|
Commercial paper
|
Prime-2
|
|
A-2
|
Outlook
|
Stable
|
|
Stable
|
Item 3.
|
Quantitative and Qualitative Disclosures About Market Risk.
|
Item 4.
|
Controls and Procedures.
|
Item 1.
|
Legal Proceedings.
|
Item 1A.
|
Risk Factors.
|
Item 6.
|
Exhibits.
|
3.1
|
Second Amended and Restated Articles of Incorporation of Portland General Electric Company (incorporated by reference to Exhibit 3.1 to the Company’s Quarterly Report on Form 10‑Q filed August 3, 2009).
|
3.2
|
Ninth Amended and Restated Bylaws of Portland General Electric Company (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed October 27, 2011).
|
10.1
|
Form of Officers’ and Key Employees’ Performance Stock Unit Agreement.
|
31.1
|
Certification of Chief Executive Officer.
|
31.2
|
Certification of Chief Financial Officer.
|
32
|
Certifications of Chief Executive Officer and Chief Financial Officer.
|
101.INS*
|
XBRL Instance Document.
|
101.SCH*
|
XBRL Taxonomy Extension Schema Document.
|
101.CAL*
|
XBRL Taxonomy Extension Calculation Linkbase Document.
|
101.DEF*
|
XBRL Taxonomy Extension Definition Linkbase Document.
|
101.LAB*
|
XBRL Taxonomy Extension Label Linkbase Document.
|
101.PRE*
|
XBRL Taxonomy Extension Presentation Linkbase Document.
|
|
|
|
PORTLAND GENERAL ELECTRIC COMPANY
|
|
|
|
|
(Registrant)
|
|
|
|
|
|
|
|
|
|
|
|
Date:
|
May 2, 2012
|
|
By:
|
/s/ Maria M. Pope
|
|
|
|
|
Maria M. Pope
|
|
|
|
|
Senior Vice President, Finance,
Chief Financial Officer, and Treasurer
|
|
|
|
|
(duly authorized officer and principal financial officer)
|
(a)
|
Portland General Electric Company (the “
Company
”) hereby grants
___________
performance stock units (“
Performance Stock Units
”) to
_____________ ______ ____________
(the “
Grantee
”) in accordance with the terms of this agreement (the “
Agreement
”).
|
(b)
|
A Performance Stock Unit represents the right to receive a share of the Company
’
s common stock (“
Share
”) at a future date and time, subject to the vesting provisions provided herein.
|
(c)
|
The grant is effective as of
March 5, 2012
(the “
Grant Date
”).
|
(d)
|
The three-year performance period applicable to this grant is January 1, 2012 to December 31, 2014 (the “
Performance Period
”).
|
(e)
|
The grant is made under the Portland General Electric Company 2006 Stock Incentive Plan (the “
Plan
”) and is subject to the terms and conditions of the Plan and this Agreement.
|
(f)
|
Capitalized terms used but not defined in this Agreement shall have the meanings set forth in the Plan unless the context clearly requires an alternative meaning.
|
(i)
|
the Committee shall use the actual Accounting ROE for any fiscal years that ended prior to the Termination and shall use the Target ROE (90% of base case) for any other fiscal years included in the Performance Period; and
|
(ii)
|
the Committee shall use the Target Regulated Asset Base for 3-year Performance Period.
|
(a)
|
If to the Grantee, to the most recent address for Grantee that the Company or its subsidiaries have in their records.
|
(b)
|
If to the Company, to:
|
Dated:
|
|
|
|
[NAME OF GRANTEE]
|
Dated:
|
|
|
By:
|
PORTLAND GENERAL ELECTRIC COMPANY
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of Portland General Electric Company;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the period presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date:
|
May 2, 2012
|
By:
|
/s/ James J. Piro
|
|
|
|
James J. Piro
|
|
|
|
President and Chief Executive Officer
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of Portland General Electric Company;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the period presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date:
|
May 2, 2012
|
By:
|
/s/ Maria M. Pope
|
|
|
|
Maria M. Pope
|
|
|
|
Senior Vice President, Finance,
Chief Financial Officer and Treasurer
|
|
/s/ James J. Piro
|
|
/s/ Maria M. Pope
|
|
||
|
James J. Piro
|
|
Maria M. Pope
|
|
||
|
President and
Chief Executive Officer
|
|
Senior Vice President, Finance,
Chief Financial Officer, and Treasurer
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Date:
|
May 2, 2012
|
|
Date:
|
May 2, 2012
|
|