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HomeMy WebLinkAbout2002Annual Report.pdf-t., 11-1 ANNUAL REPORT OF SMALL TELEPHONE COMPANIES TO THE IDAHO PUBLIC UTILITIES COMMISSION RECEIVEDFOR THE YEAR ENDING DECEMBER 31 2002 FilED COMPANY INFORMATION 2003 APR 14 PH 4: 23 Exact name of utility: Potlatch Telephone Compan Address of principal office: 702 E Main Street, Kendrick, ID 83537 Telephone Number (Area Code 208 ) 289-5701 Cities or towns served: Kendrick & Julietta IOi\HC PLiBUC UTlLll:C~ COtiHISSION Name and title of officer having custody of the general corporate books of account: John Erpenbach, Assistant Treasurer Address of office where corporate books are kept and phone number: 301 S Westfield Rd, Madison, WI 53717 Organized under the laws of the State of: Idaho Date of organization: 06-May- Form of organization (proprietorship, association, corporation): If a Subchapter S Corporation, please specify: Name and address of controlling company, if any: 301 S Westfield Rd , Madison, WI 53717 Names of affiliated companies. Give address and description of business: See Attached. Corporation TDS Telecommunications Corporation OFFICERS Report below the title, name and office address of each general officer of the utility at the end of the year. If there were any changes during the year, show the name, title, and address of the previous officer and the date of change. Title Name Address President Michael A. Pandow Madison, WI Vice President Jerry W Masters Madison, WI Vice President David A Wittwer Madison, WI Vice President Daniel V Gregory Madison, WI Vice President Paul E Pederson Madison, WI Vice President Larry Boehm LaCenter, WA Vice President James A. Probert Asotin, WA Vice President Conrad C Marks Madison, WI Treasurer David Jones Madison, WI Assistant Treasurer John R Erpenbach Madison, WI Secretary David Jones Madison, WI Assistant Secretary Phyllis A Conatser Knoxville, TN Agent James A. Probert Madison, WI Agent Louis D Reilly, III Madison, WI DIRECTORS List the name of each person who was a member of the Board of Directors at any given time during the year: (Fees related to meetings only. Name and Address Daniel V. Gregory Jerry W. Masters Michaiel A. Pandow David A. Wittwer Term Expired or Current Term Will Expire Meetings Attended This year Fees Paid During Year Open Open Open Open $0. $0. $0. $0. Name of Chairman of the Board: Name of Secretary (or Clerk) of Board: Number of Meetings of the Board during the year: Michaiel A. Pandow Phyllis Conatser MANAGERS List the name of each person who performed management duties for the Company during the year, and the total wages and bonuses paid to those persons: (Do not include Director fees in these amounts. Name Randall Brunes Title Wages and Bonuses Paid N/AManager Revised 12/00 Page 2 NOTES TO THE FINANCIAL STATEMENTS Please provide important information such as changes in accounting or depreciation practices extensions or additions to the system; disposal of any substantial portion of the property of the utility; reorganization , mergers, or consolidations with other companies; leases executed; other contracts or agreements entered into; changes made in articles of incorporation or amendments; the occurrence of contingency losses or gains. Troy Telephone Company merged inot Potlatch Telephone Company on January 1 , 2002. Potlatch Telephone Company is the surviving entity. Revised 8/99 Page 3 BALANCE SHEET Assets and Other Debits Balance Balance IncreaseBeginningat EndTitle ot Account ot Year ot Year (DeCrease) Current Assets 1120 Cash and Equivalents 1130 Cash 572 606 191 361 618 755 1140 Special Cash Deposits 1150 Working Cash Advances 400 450 1160 Temporary Investments 1180 Telecommunications Accts. Receivable 80,193 128,592 48,399 1181 Accts. Rec. Allow. -Telecommunications 1190 Other Accounts Receivable 235,064 155,350 (79,714) 1191 Accounts Receivable Allow. - Other (47 059)(47 059) 1200 Notes Receivable 1201 Notes Receivable Allowance 1210 Interest & Dividends Receivable 064 131 067 1220 Material and Supplies 513 348 835 1280 Prepayments 1290 Prepaid Rents 1300 Prepaid Taxes 1310 Prepaid Insurance 1320 Prepaid Directory Expenses 1330 Other Prepayments 800 600 (200) 1350 Other Current Assets Noncurrent Assets 1401 Investment in Affiliated Companies 1402 Investment in Nonaffiliated Companies 310 783 1,473 1406 Nonregulated Investments 13,449 970 521 1407 Unamortized Debt Issuance Expense 1408 Sinking Funds 1410 Other Noncurrent Assets 1438 Deferred Maintenance & Retirements 999 108 109 1439 Deferred Charges 1500 Other Jurisdiction Assets - Net Property, Plant and Equipment 2001 Telecommunications Plants in Service 145,257 719 180 573,923 2002 Prop. Held for Future Telecom. Use 2003 Telecom. Plant under Constr. - Short Term 343 325 018) 2004 Telecom. Plant under Constr. - Long Term 2005 Telecom. Plant Adjustment 2006 Nonoperating Plant 2007 Goodwill Depreciation and Amortization Accounts 3100 Accumulated Depreciated 233 543 825,432 591 889 3200 Accum. Depre. - Held for Future Use 3300 Accumulated Depreciation - Nonoperating 3400 Accumulated Amortization - Tangible 3410 Accum. Amort. - Capitalized Leases 3420 Accum. Amort. - Leasehold Improvements 3500 Accumulated Amortization - Intangible 308,638 308,638 3600 Accumulated Amortization - Other 1,413 (1,413) TOTAL ASSETS 840 040 076 118 236 078 Page 4 BALANCE SHEET Liabilities & Stockholders' Equity Balance Balance Increase Beginning at End Title of Account of Year of Year (Decrease) Current Liabilities 4010 Accounts Payable 131 898 155 052 154 4020 Notes Payable 4030 Advance Billings and Payments 000 031 19,031 4040 Customer Deposits 4050 Current Maturities - Long -Term Debt 84,464 125 372 908 4060 Current Maturities - Capital leases 4070 Income Taxes - Accrued 175 175 4080 Other Taxes - Accrued 13,974 021 047 4100 Net Current Defer. Oper. Income Taxes 4110 Net Current Defer. Nonoper. Income Taxes 4120 Other Accrued Liabilities 270 039 5,769 4130 Other Current Liabilities Long-Term Debt 4210 Funded Debt 1 ,437,426 859,035 421 609 4220 Premium on Long-Term Debt 4230 Discount on Long-Term Debt 4240 Reacquired Debt 4250 Obligations Under Capital Leases 4260 Advances from Affiliated Companies 4270 Other Long-Term Debt Other Liabilities & Deferred Credits 4310 Other Long-Term Liabilities 2,492 5,423 931 4320 Unamort. Oper. Invest. Tax Credits - Net 4330 Unamort. Nonoper. Invest. Tax Credits - Net 016 379 637) 4340 Net Noncurrent Defer. Oper. Income Taxes 517 774 628,028 110 254 4350 Net Noncur. Defer. Nonoper. Income Taxes 4360 Other Deferred Credits 998 284 (1,714) 4370 Other Juris. Liab. & Def. Credits - Net Stockholders' Equity 4510 Capital Stock 000 325 19,325 4520 Additional Paid-In Capital 376,149 376,149 4530 Treasury Stock 4540 Other Capital 4550 Retained Earnings 230 579 745 805 515 226 TOTAL LlAB. & OTHER CREDITS 840 040 076,118 236 078 Page 5 AN A L Y S I S O F T E L E C O M M U N I C A T I O N S P L A N T I N S E R V I C E TO T A L C o m p a n y B a s i s Ba l a n c e Pl a n t Tr a n s f e r s Ba l a n c e Be g i n n i n g Ad d i t i o n s Re t i r e d an d En d of Y e a r Du r i n g y e a r or S o l d Ad j u s t m e n t s of Y e a r An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e 21 1 1 La n d 13 8 67 3 16 , 81 1 21 1 2 Mo t o r V e h i c l e s 63 , 63 0 07 3 86 9 ) 55 , 83 4 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 21 1 5 Ga r a g e W o r k E q u i p m e n t 21 1 6 Ot h e r W o r k E q u i p m e n t 12 7 86 5 (4 5 , 65 6 ) 10 , 00 0 92 , 20 9 21 2 1 Bu i l d i n g s 31 9 52 9 05 5 38 2 58 4 21 2 2 Fu r n i t u r e 70 1 77 2 ) 22 , 92 9 21 2 3 Of f i c e E q u i p m e n t 69 6 84 5 45 , 54 1 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 31 0 , 4 6 7 67 3 (1 5 1 31 2 ) 17 3 , 82 8 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 87 8 02 9 23 8 (4 6 , 01 ~ 28 7 , 12 6 14 1 37 4 22 1 5 El e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 22 3 2 Ci r c u i t E q u i p m e n t 64 4 37 7 10 0 , 4 5 4 (3 7 61 7 ) 34 6 , 17 7 05 3 39 1 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e s W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t 24 1 1 Po l e s 53 0 23 , 55 4 08 4 24 2 1 Ae r i a l C a b l e 73 , 57 2 57 4 (3 , 34 2 ) 15 4 70 1 23 0 , 50 5 24 2 2 Un d e r g r o u n d C a b l e 7, 4 3 3 85 7 13 , 29 0 24 2 3 Bu r i e d C a b l e 54 0 , 20 7 60 , 20 0 (6 , 58 2 ) 39 7 30 6 99 1 , 13 1 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 99 4 99 4 24 4 1 Co n d u i t S y s t e m s 61 1 06 4 67 5 26 8 1 Ca p i t a l L e a s e s 26 8 2 Le a s e h o l d I m p r o v e m e n t s 26 9 0 In t a n g i b l e s 1, 4 7 2 74 0 21 2 ) 36 3 00 0 36 3 00 0 TO T A L P L A N T A C C O U N T S 14 5 25 7 20 4 95 2 (1 5 0 , 29 7 ) 51 9 , 26 8 71 9 , 18 0 Pa g e 6 AN A L Y S I S O F T E L E C O M M U N I C A T I O N S P L A N T A C C O U N T S ID A H O O p e r a t i o n s O n l y Ba l a n c e Pl a n t Tr a n s f e r s Ba l a n c e Be g i n n i n g Ad d i t i o n s Re t i r e d an d En d of Y e a r Du r i n g Y e a r or S o l d Ad j u s t m e n t s of Y e a r An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e 21 1 1 La n d 13 8 67 3 81 1 21 1 2 Mo t o r V e h i c l e s 63 , 63 0 07 3 (8 , 86 9 ) 83 4 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 21 1 5 Ga r a g e W o r k E q u i p m e n t 21 1 6 Ot h e r W o r k E q u i p m e n t 12 7 86 5 (4 5 , 65 6 ) 10 , 00 0 20 9 21 2 1 Bu i l d i n g s 31 9 52 9 05 5 38 2 58 4 21 2 2 Fu r n i t u r e 70 1 77 2 ) 92 9 21 2 3 Of f i c e E q u i p m e n t 40 , 69 6 84 5 54 1 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 31 0 , 4 6 7 67 3 (1 5 1 31 2 ) 17 3 , 82 8 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 87 8 02 9 23 8 (4 6 01 9 ) 28 7 , 12 6 14 1 37 4 22 1 5 El e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 22 3 2 Ci r c u i t E q u i p m e n t 64 4 37 7 10 0 , 4 5 4 (3 7 61 7 ) 34 6 17 7 05 3 , 39 1 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e s W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t 24 1 1 Po l e s 29 , 53 0 23 , 55 4 08 4 24 2 1 Ae r i a l C a b l e 73 , 57 2 57 4 34 2 ) 15 4 70 1 23 0 , 50 5 24 2 2 Un d e r g r o u n d C a b l e 7, 4 3 3 85 7 13 , 29 0 24 2 3 Bu r i e d C a b l e 54 0 20 7 60 , 20 0 (6 , 58 2 ) 39 7 30 6 99 1 13 1 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 99 4 99 4 24 4 1 Co n d u i t S y s t e m s 72 , 61 1 06 4 67 5 26 8 1 Ca p i t a l L e a s e s 26 8 2 Le a s e h o l d I m p r o v e m e n t s 26 9 0 In t a n g i b l e s 1, 4 7 2 74 0 21 2 ) 36 3 00 0 36 3 , 00 0 TO T A L P L A N T A C C O U N T S 14 5 25 7 20 4 95 2 (1 5 0 , 29 7 ) 51 9 26 8 71 9 18 0 Pa g e 7 AN A L Y S I S O F E N T R I E S I N A C C U M U L A T E D D E P R E C I A T I O N Ac c o u n t 3 1 0 0 TO T A L C o m p a n y B a s i s Ba l a n c e Cr e d i t s Re t i r e m e n t s Ba l a n c e Be g i n n i n g De p r e c i a t i o n Du r i n g an d En d of Y e a r Ra t e Ye a r Ad j u s t m e n t s of Y e a r An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n 21 1 2 Mo t o r V e h i c l e s 33 , 4 9 9 12 . 4 0 % 19 8 86 9 ) 82 8 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 21 1 5 Ga r a g e W o r k E q u i p m e n t 21 1 6 Ot h e r W o r k E q u i p m e n t 11 8 , 4 8 9 50 % 12 6 (4 5 65 5 ) 96 0 21 2 1 Bu i l d i n g s 72 3 00 % 90 0 10 9 , 62 3 21 2 2 Fu r n i t u r e 10 , 59 0 80 % (2 , 4 2 1 ) 16 9 21 2 3 Of f i c e E q u i p m e n t 51 4 13 . 10 % 97 8 40 , 4 9 2 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 21 4 13 5 14 . 30 % (6 6 , 33 8 ) 14 7 79 7 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 37 3 71 9 80 % 25 7 82 2 (6 5 52 2 ) 56 6 , 01 9 22 1 5 El e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 22 3 2 Ci r c u i t E q u i p m e n t 21 9 07 0 75 % 17 6 78 1 (1 8 11 5 ) 37 7 73 6 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e s W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t 24 1 1 Po l e s 13 , 32 8 18 % 97 9 39 , 30 7 24 2 1 Ae r i a l C a b l e 02 5 00 % 10 1 57 5 (3 , 92 4 ) 10 6 , 67 6 24 2 2 Un d e r g r o u n d C a b l e 89 5 50 % 56 2 9, 4 5 7 24 2 3 Bu r i e d C a b l e 12 6 83 1 50 % 14 8 08 9 38 0 ) 26 7 54 0 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 00 % (8 3 7 ) (8 3 7 ) 24 4 1 Co n d u i t S y s t e m s 11 , 29 4 00 % 37 1 66 5 TO T A L 22 8 11 2 74 6 78 5 (1 4 9 , 4 6 5 ) 82 5 , 4 3 2 Pl e a s e l i s t i n d i v i d u a l d e p r e c i a t i o n r a t e f o r e a c h a c c o u n t . Re v i s e d 8 / 9 9 Pa g e 8 AN A L Y S I S O F E N T R I E S I N A C C U M U L A T E D D E P R E C I A T I O N Ac c o u n t 3 1 0 0 ID A H O O p e r a t i o n s O n l y Ba l a n c e Cr e d i t s Re t i r e m e n t s Ba l a n c e Be g i n n i n g De p r e c i a t i o n Du r i n g an d En d of Y e a r Ra t e Ye a r Ad j u s t m e n t s of Y e a r An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n 21 1 2 M o t o r V e h i c l e s 33 , 4 9 9 12 . 4 0 % 19 8 86 9 ) 82 8 21 1 3 A i r c r a f t 21 1 4 S p e c i a l P u r p o s e V e h i c l e s 21 1 5 G a r a g e W o r k E q u i p m e n t 21 1 6 O t h e r W o r k E q u i p m e n t 11 8 , 4 8 9 50 % 12 6 (4 5 65 5 ) 96 0 21 2 1 B u i l d i n g s 72 3 00 % 90 0 10 9 , 62 3 21 2 2 F u r n i t u r e 59 0 80 % 59 0 21 2 3 O f f i c e E q u i p m e n t 51 4 13 , 10 % 97 8 40 , 4 9 2 21 2 4 G e n e r a l P u r p o s e C o m p u t e r s 21 4 13 5 14 , 30 % (6 6 33 8 ) 14 7 , 79 7 22 1 1 A n a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 D i g i t a l E l e c t r o n i c S w i t c h i n g 37 3 , 71 9 80 % 25 7 82 2 (6 5 52 2 ) 56 6 , 01 9 22 1 5 E l e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 O p e r a t o r S y s t e m s 22 3 1 R a d i o S y s t e m s 22 3 2 C i r c u i t E q u i p m e n t 21 9 , 07 0 75 % 17 6 , 78 1 (1 8 11 5 ) 37 7 73 6 23 1 1 S t a t i o n A p p a r a t u s 23 2 1 C u s t o m e r P r e m i s e s W i r i n g 23 4 1 L a r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 P u b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 O t h e r T e r m i n a l E q u i p m e n t 24 1 1 P o l e s 32 8 18 % 97 9 39 , 30 7 24 2 1 A e r i a l C a b l e 02 5 00 % 10 1 57 5 92 4 ) 10 6 67 6 24 2 2 U n d e r g r o u n d C a b l e 89 5 50 % 56 2 9, 4 5 7 24 2 3 B u r i e d C a b l e 12 6 83 1 50 % 14 8 , 08 9 38 0 ) 26 7 , 54 0 24 2 4 S u b m a r i n e C a b l e 24 2 6 I n t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 A e r i a l W i r e 00 % (8 3 7 ) (8 3 7 ) 24 4 1 C o n d u i t S y s t e m s 11 , 29 4 00 % 37 1 66 5 TO T A L 22 8 11 2 74 9 20 6 (1 4 9 , 4 6 5 ) 82 7 85 3 Pl e a s e l i s t i n d i v i d u a l d e p r e c i a t i o n r a t e f o r e a c h a c c o u n t . Pa g e 9 INVESTMENTS Report below the investments in Accounts 1401 , 1402 and 1406. Identify each investment as to the account in which included. Minor amounts in Account 1406 may be grouped by classes. Description 14062 Non-reg Materials 14063 Non-reg Leased Invest. 14064 Non-reg WIP 14065 Internet Investment Date Acquired Book Cost of Investments Disposed of This year Book Cost of Investments Held at nd of Year 650 049 012 259 Totals 970 RECEIVABLES Itemize amounts show in Accounts 1180, 1190 and 1200. For notes receivable list each note separately and include the maturity date and interest rate. Minor amounts in Account 1210 may be combined, Name of Company 11801-11803 1190230 11901-1190101 1210100 1190700 1190210-1190220 1190250 1190300 1190400 1190500 1191000 1210200 Totals Due from Customers National Exchange Carrier Association TDS Telecom Telecommunications Technologies Fund Advances Rec - TDS Telecom Access Services Billing & Collection Toll Uncollectible Other Internal Revenue Service State of Idaho Department of Revenue MCI Interest Amount at End of YearNotes Accounts Receivabl!! Receivable 128,592 (47,498) 096 46,415 140,836 (22,981 ) 910 16,572 (47,059) 131 243 014 Page 10 NOTES PAYABLE For Notes Payable, list each note separately and include the maturity date and interest rate. Name of Creditor NONE Totals Date of Note Interest Rate Report below all Accounts Payable amounting to more than $100. ACCOUNTS PAYABLE Name of Creditor 4010101 TDS Long Distance 4010101 Asotin 4010210 AT&T 4010210 Sprint 4010210 MCI 4010210 Vartec 4010210 Talton 4010210 Vartec 4010210 Clear Choice 4010220 Troy 4010230 NECA 4010300 Vendors 4010305 GR/IR 4010320 AlP Other Revised 8/99 Page 11 Due Date Face Amount Amount 784 667 (24 179) (952) 735 1,418 314 954 016 (182) 2,477 155,052 LO N G - T E R M D E B T Ac c o u n t s 4 2 1 0 , 4 2 4 0 , 4 2 5 0 , 4 2 6 0 , 4 2 7 0 a n d 4 3 1 0 Li s t t h e r e q u i r e d d a t a f o r e a c h o b l i g a t i o n i n c l u d e d i n t h e s e a c c o u n t s , g r o u p i n g t h e m b y a c c o u n t n u m b e r a n d s h o w i n g t o t a l s f o r e a c h a c c o u n t . If a n y o b l i g a t i o n s m a t u r e s e r i a l l y o r o t h e r w i s e a t v a r i o u s d a t e s , g i v e p a r t i c u l a r s i n a n o t e , Cl a s s & S e r i e s of O b l i g a t i o n RU S Re v i s e d 8 / 9 9 Da t e Da t e Fa c t Pr e m i u m ! D i s c o u n t Am o u n t Ou t s t a n d i n g Ye a r In t e r e s t f o r y e a r Is s u e Ma t u r i t v Au t h o r i z e d Ye a r - En d To t a l Am o r t i z e d Ra t e Am o u n t 19 9 1 20 1 5 65 7 00 0 85 9 03 5 . 12 3 08 7 . Pa g e 1 2 CAPITAL STOCK Report below the particulars called for concerning common and preferred stock at end of year designating separate series of any general class, Show totals separately for common and preferred. For each class of preferred stock, show the dividend rate and whether dividends are cumulative or noncumulative. Show details in a footnote of capital stock sold during the year. Include number of shares consideration received, premium or discount, and expenses incurred. Number Outstanding per of Shares Par Value Balance Sheet Class & Series of Stock Authorized per Share Shares Amount Common Stock 10,000 $1.000 000 Common Stock 000 $25.773 $19 325 Revised 8/99 Page 13 INCOME & RETAINED EARNINGS STATEMENT Item Total Company Idaho Only Total Operating Income (from page 15) Total Operating Expenses (from page 17) 951,457. 221 948. 951,457. 221 948. 7100 Other Operating Income and Expense (816.00)(816.00) 7210 Operating Investment Tax Credits-Net 7220 Operating Federal Income Taxes 7230 Operating State and Local Income Taxes 7240 Operating Other Taxes 7250 Provision for Deferred Operating Income Taxes-Net7200 Operating Taxes (Total) 196,757. 071. 536. (32,00) 308 332. 196 757. 071. 536, (32.00) 308 332, 7310 Dividend Income 7320 Interest Income 7330 Income from Sinking and Other Funds 7340 Allowance for Funds Used During Construction 7350 Gains/Losses from the Disposition of Certain Property 7360 Other Nonoperating Income 7370 Special Charges7300 Nonoperating Income and Expense (84.00) (73 644.75) (84.00) (73 644.75) 7410 Nonoperating Investment Tax Credits-Net 7420 Nonoperating Federal Income Taxes 7430 Nonoperating State and Local Income Taxes 7440 Nonoperating Other Taxes 7450 Provision for Deferred Nonoperating Income Taxes-Net7400 Nonoperating Taxes 064.47 (72 664.28) 637,00) 595. 390. 064.47 (72 664.28) 637.00) 595. 390, 7510 Interest on Funded Debt 7520 Interest Expense-Capital Leases 7530 Amortization of Debt Issuance Expense 7540 Other Interested Deductions7500 Interest and Related Items 348.348, 101 664,101 664. 526.526. 102 194.102 194. 7610 Extraordinary Income Credits 7620 Extraordinary Income Charges 7630 Current Income Tax Effect of Extraordinary Items-Net 7640 Provision for Deferred Income Tax Effect of Extraordinary Items-Net7600 Extraordinary Items 7910 Income Effect of Jurisdictional Ratemaking Differences-Net 7990 Nonregulated Net Income AMOUNT TRANSFERRED TO RETAINED EARNINGS 244 785.244 785. Revised 8/99 Page 14 OPERATING REVENUES Item Total Company Idaho Only Local Network Services Revenues 5001 Basic Area Revenue 5002 Optional Extended Area Revenue 5003 Cellular Mobile Revenue 5004 Other Mobile Services Revenue 5010 Public Telephone Revenue 5040 Local Private Line Revenue 5050 Customer Premises Revenue 5060 Other Local Exchange Revenue 5069 Other Local Exchange Settlements Network Access Services Revenues 5081 End User Revenue (SLC) 5082 Switched Access Revenue (Interstate) 5083 Special Access Revenue 5084 State Access Revenue (Intrastate) Long Distance Network Services Revenues 5100 Long Distance Message Revenue - All Miscellaneous Revenues 5230 Directory Revenue 5240 Rent Revenue 5250 Corporate Operations Revenue 5261 Special Billing Arrangements Revenue 5262 Customer Operations Revenue 5263 Plant Operations Revenue 5264 Other Incidental Regulated Revenue 5269 Other Revenue Settlements 5270 Carrier Billing & Collection Revenue Uncollectible Revenues 5301 Uncollectible Revenue - Telecommunications 5302 Uncollectible Revenue - Other TOTAL OPERATING REVENUES Please identify the following revenues: NECA USF $214 187. 331 084.43 5,468. 331 084.43 5,468. 757,757, 752.76,752. 178 994. 700 216. 064, 539 251. 178,994. 700 216. 064. 539 251. 772. 904. 20,772. 904, 385,385. 148.148. 004.004. 594.00)(5,594.00) (41 752.49)(41 752.49) 951.457,951,457. . To what account were they booked?5082110 State USF . To what account were they booked? Page 15 OPERATING EXPENSES Item Total Company Idaho Only Plant Specific Operations Expense 6110 Network Support Expenses 6112 Motor Vehicle Expense 6113 Aircraft Expense 6114 Special Purpose Vehicles Expense 6115 Garage Work Equipment Expense 6116 Other Work Equipment Expense 6120 General Support Expenses 6121 Land and Building Expenses 6122 Furniture and Artworks Expense 6123 Office Equipment Expense 6124 General Purpose Computers Expense 6210 Central Office Switching Expenses 6211 Analog Electronic Expense 6212 Digital Electronic Expense 6215 Electro-Mechanical Expense 6220 Operators System Expense 6230 Central Office Transmission Expenses 6231 Radio Systems Expense 6232 Circuit Equipment Expense 6310 Information Origination/Termination Expense 6311 Station Apparatus Expense 6341 Large Private Branch Exchange Expense 6351 Public Telephone Terminal Equipment Expense 6362 Other Terminal Equipment Expense 6410 Cable and Wire Facilities Expenses 6411 Pole Expense 6421 Aerial Cable Expense 6422 Underground Cable Expense 6423 Buried Cable Expense 6424 Submarine Cable Expense 6425 Deep Sea Cable Expense 6426 Intrabuilding Network Cable Expense 6431 Aerial Wire Expense 6441 Conduit Systems Expense 641.641. 256,256. 12,428. (72.00) (300.00) 65. 12,428. (72.00) (300.00) 65. 936.26,936. 147. 874, 147. 874. 880. 236. 880, 236. 64,488.64,488. 507.507. TOTAL PLANT SPECIFIC OPERATIONS EXPENSE 125 091.125 091. Revised 8/99 Page 16 OPERATING EXPENSES Item Total Company Idaho Only Plant Nonspecific Operations Expense 6510 Other Property/Plant/Equipment Expenses 6511 Property Held for Future Telecomm. Use Expenses 6512 Provisioning Expense 6530 Network Operations Expense 6531 Power Expense 6532 Network Administration Expense 6533 Testing Expense 6534 Plant Operations Administration Expense 6535 Engineering Expense 6540 Access Expense 6560 Depreciation and Amortization Expenses 6561 Depreciation Expense-Telecom. Plant in Service 6562 Depreciation Expense-Property Held for Future Use 6563 Amortization Expense - Tangible 6564 Amortization Expense - Intangible 6565 Amortization Expense - Other Total Plant Nonspecific Operations Expenses Customer Operations Expense 6610 Marketing 6611 Product Management 6612 Sales 6613 Product Advertising 6620 Services 6621 Call Completion Services 6622 Number Services 6623 Customer Services Total Customer Operations Expense Corporate Operations Expense 6710 Executive and Planning 6711 Executive 6712 Planning 6720 General and Administrative 6721 Accounting and Finance 6722 External Relations 6723 Human Resources 6724 Information Management 6725 Legal 6726 Procurement 6727 Research and Development 6728 Other General and Administrative 6790 Provision for Uncollectible Notes Receivable Total Corporate Operations Expense TOTAL OPERATING EXPENSES Revised 8/99 Page 17 594. 775. 514. 601.48 648. 839. 19,594. 775. 514. 601.48 648. 839, 417,473, 826. 417,473. 826. 688.688. 575 962.575 962. 073,29,073, 712,712, 9,436.44 9,436.44 315.315. 734.734. 200 987.200,987. 274 258.274 258. 884. 602. 884. 602. 238, 221. 21,461. 747. 340. 991, 238. 221. 21,461. 747. 23,340, 991. 146.16,146. 246,635. 221 948. 246 635. 221 948. CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 20 0 2 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f i c e : K e n d r i c k Pr e f i x ( e s ) : 2 8 9 Ce n t r a l O f f i c e S w i t c h Ch e c k a l l t h a t a p p l y : St a n d A l o n e Ho s t Re m o t e Ac c e s s L i n e C a p a c i t y De s i g n : 3 84 0 Ty p e : E W S D Ch e c k o n e : Di g i t a l An a l o g - Ch e c k o n e : El e c t r o n i c X El e c t r o - Me c h a n i c a l Ot h e r : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 6 9 9 (I n c l u d e C e n t r e x , P A L , S e m i - Pu b . In s t a l l e d / E q u i p p e d : 1 28 0 W i r e d / 5 7 6 E q u i p p e d Pu b l i c T e l e p h o n e L i n e s Co m p a n y O f f i c i a l L i n e s Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Co m p a n y T e s t L i n e s Be g i n n i n g o f Y e a r Ne w C o n n e c t s Di s c o n n e c t s En d o f Y e a r Re s i d e n c e Mu l t i - Si n g l e L i n e Li n e Mu l t i - Su b t o t a l Pa r t y Pa r t y Pa r t y Re s i d e n c e 52 3 52 3 53 6 53 6 Ce n t r e x NA R . Mu l t i - Li n e Pa r t y Bu s i n e s s Si n g l e L i n e Mu l t i - pa r t y Pa r t y 16 3 16 3 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C , : 0 Di a l T o n e f r o m a n o t h e r C . : 0 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : 3 7 Cu s t o m C a l l i n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : 6 9 9 To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : Re v i s e d 8 / 9 9 Pa g e 1 8 Su b t o t a l Bu s i n e s s 16 3 16 3 To t a l Re s i d e n c e & B u s i n e s s 68 6 69 9 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 2 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f i c e : J u l i e t t a Pr e f i x ( e s ) : 2 7 6 Ce n t r a l O f f i c e S w i t c h Ty p e : E W S D Ch e c k a l l t h a t a p p l y : St a n d A l o n e Ho s t Re m o t e Ch e c k o n e : Di g i t a l An a l o g - Ch e c k o n e : El e c t r o n i c El e c t r o - Me c h a n i c a l Ot h e r : Ac c e s s L i n e C a p a c i t y De s i g n : 3 , 84 0 Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 5 2 2 (I n c l u d e C e n t r e x , P A L , S e m i - Pu b . In s t a l l e d / E q u i p p e d : 1 28 0 W i r e d / 4 4 8 E q u i p p e d Pu b l i c T e l e p h o n e L i n e s Co m p a n y O f f i c i a l L i n e s Co m p a n y T e s t L i n e s Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Be g i n n i n g o f Y e a r Ne w C o n n e c t s Di s c o n n e c t s En d o f Y e a r Re s i d e n c e Mu l t i - Si n g l e L i n e Li n e Mu l t i - Su b t o t a l Pa r t y Pa r t y Pa r t y Re s i d e n c e 46 1 46 1 45 6 45 6 Ce n t r e x NA R . Mu l t i - Li n e pa r t y Bu s i n e s s Si n g l e L i n e Mu l t i - pa r t y Pa r t y Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . : 0 Di a l T o n e f r o m a n o t h e r C . : 0 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : 4 2 Cu s t o m C a l l i n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : 52 2 To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : Re v i s e d 8 / 9 9 Pa g e 1 8 Su b t o t a l Bu s i n e s s To t a l Re s i d e n c e & B u s i n e s s 52 7 52 2 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 2 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f i c e : T r o y Pr e f i x ( e s ) : 8 3 5 Ce n t r a l O f f i c e S w i t c h Ch e c k a l l t h a t a p p l y : St a n d A l o n e Ho s t Re m o t e Ac c e s s L i n e C a p a c i t y De s i g n : 3 80 0 Ty p e : E W S D Ch e c k o n e : Di g i t a l An a l o g - Ch e c k o n e : El e c t r o n i c El e c t r o - Me c h a n i c a l Ot h e r : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 9 7 7 (I n c l u d e C e n t r e x , P A L , S e m i - Pu b . In s t a l l e d / E q u i p p e d : 1 87 6 W i r e d / 9 5 5 E q u i p p e d Pu b l i c T e l e p h o n e L i n e s Co m p a n y O f f i c i a l L i n e s Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Co m p a n y T e s t L i n e s Be g i n n i n g o f Y e a r Ne w C o n n e c t s Di s c o n n e c t s En d o f Y e a r Re s i d e n c e Mu l t i - Si n g l e L i n e Li n e Mu l t i - Su b t o t a l Pa r t y Pa r t y Pa r t y Re s i d e n c e 83 1 83 1 84 0 84 0 Ce n t r e x N. A . R . Mu l t i - Li n e Pa r t y Bu s i n e s s Si n g l e L i n e Mu l t i - Pa r t y Pa r t y 13 7 13 7 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . : 0 Di a l T o n e f r o m a n o t h e r C . : 0 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : 1 3 0 Cu s t o m C a l l i n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : 9 7 7 To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : Re v i s e d 8 / 9 9 Pa g e 1 8 Su b t o t a l Bu s i n e s s 13 7 13 7 To t a l Re s i d e n c e & B u s i n e s s 96 8 97 7 Lo c a l E x c h a n g e 1 K e n d r i c k 2 J u l i e t t a 3 T r o y Re v i s e d 8 / 9 9 NU M B E R O F C A L L S C O M P L E T E D B Y C U S T O M E R S D U R I N G 2 0 0 2 Av e r a g e # of C u s t o m e r Li n e s i n U s e 16 1 To l l C a l l s O r i q i n a t e d ( T o t a l o f a l l C a r r i e r s ) Av g . / In t r a s t a t e In t e r s t a t e To t a l Li n e 99 4 33 6 02 6 01 5 ;'i f / f l : : ! ! ! ! ! ! 93 5 Lo c a l C a l l s Nu m b e r Av g . / (1 O 0 0 s ) Li n e 34 1 78 3 2 00 9 . (A ) A l l l o c a l c a l l s a r e r o u t e d t h r o u g h K e n d r i c k . T h e i n f o r m a t i o n i n l i n e o n e r e f l e c t s t h e da t a fo r K e n d r i c k , J u l i e t t a a n d T r o y e x c h a m g e s . Pa g e 1 9 ANNUAL REPORT FOR SMALL TELEPHONE COMPANIES YEAR ENDED DECEMBER 2002 CUSTOMER RELATIONS RULES COMPLIANCE Rule IDAPA 31.21.01.603 Rule IDAPA31.41.01.105 Please provide copies of: Summary of Customer Relations Rules for TelephoneCorporations Idaho Telephone Solicitation Act Notification Method of Notification: Mailed separately to customers Yes- No Included in directory Yes - No Date of notification November 1, 2002 Alternate method of notification Rule IDAPA 31.41.01.403. Record of Complaints: Number received by Company Category of complaints (if known): Deposit Disputes N/A Charges on Bill N/A Denial/Termination N/A Quality or Availability of Service Carrier Selection/Assignment N/A Miscellaneous Revised 8/99 Page 20 CERTIFICATE County of Latah ) ss . State of Idaho , the undersigned John Erpenbach and David Jones of the Potlatch Telephone Company utility on our oath do severally say that the foregoing return has been prepared under our direction, from the original books, papers, and records of said utility; that we have carefully examined same, and declare the same to be a correct statement of the business affairs of said utility for the period covered by the return in respect to each and every matter and thing therein set forth, to the best of //- /l. Z (Officer in Cha ge of Accounts) our knowledge, information and belief. Subscribed and Sworn to Before Me this 91'J..day of , (Year) ~(j d~~Notary Public My Commission expires / 7 , (Year)~(J~ gd kJ ex celli n e(sonl OJ nul rp ts/tel ann u a I rp t Revised 8/99 Page 21