FORM 8-K
CURRENT REPORT
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) DECEMBER 18, 2003
COMMISSION REGISTRANT; STATE OF INCORPORATION; IRS EMPLOYER
FILE NUMBER ADDRESS; AND TELEPHONE NUMBER IDENTIFICATION NO.
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1-9513 CMS ENERGY CORPORATION 38-2726431
(A MICHIGAN CORPORATION)
ONE ENERGY PLAZA
JACKSON, MICHIGAN 49201
(517) 788-0550
1-5611 CONSUMERS ENERGY COMPANY 38-0442310
(A MICHIGAN CORPORATION)
ONE ENERGY PLAZA
JACKSON, MICHIGAN 49201
(517) 788-0550
ITEM 5. OTHER EVENTS
GAS RATE CASE ORDER
On December 18, 2003, the Michigan Public Service Commission (MPSC) issued an
order granting Consumers Energy Company (Consumers) interim gas rate relief in
the amount of $19.34 million annually, which is under bond and subject to refund
if final rate relief is granted in a lesser amount. Consumers filed a general
gas rate case in March 2003 requesting rate relief of approximately $156 million
annually and immediate interim rate relief in the same amount in order to meet
rising costs to maintain and operate its 25,000-mile natural gas system,
including the costs of meeting new federal pipeline safety standards. Consumers
subsequently filed several updates to its original request for interim relief.
In its latest filing on December 8, 2003, in recognition of the impact of this
winter's higher gas prices on customers, Consumers reduced its interim rate
request to $33 million annually, subject to MPSC approval of revised
depreciation expense for accounting and rate-making purposes. The order adopted
a $34 million reduction in depreciation expense and meets Consumers' need for
prompt interim rate relief to ensure the safety and reliability of its natural
gas system.
The order is conditioned upon Consumers voluntarily agreeing to restrict
dividend payments to its parent company, CMS Energy Corporation (CMS Energy), to
a maximum of $190 million annually during the period in which Consumers receives
the interim relief. The order states that the rate relief will be effective for
service rendered on and after the day following Consumers' submission of a
letter to the MPSC accepting the dividend restriction. Consumers formally
accepted the dividend restriction on December 18, 2003.
The order is available on the MPSC website at www.michigan.gov/mpsc. Consumers'
full gas rate case is still before the MPSC, which has not set a date for
issuance of a final order.
This Form 8-K contains "forward-looking statements" within the meaning of the
safe harbor provisions of the federal securities laws. The "forward-looking
statements" are subject to risks and uncertainties. They should be read in
conjunction with the "CMS ENERGY FORWARD-LOOKING STATEMENTS, CAUTIONARY FACTORS
AND UNCERTAINTIES" found in Item 1 of CMS Energy's Form 10-K/A filed on July 1,
2003 for the Fiscal Year Ended December 31, 2002 and the "CONSUMERS
FORWARD-LOOKING STATEMENTS, CAUTIONARY FACTORS AND UNCERTAINTIES" found in Item
1 of Consumers' Form 10-K for the Fiscal Year Ended December 31, 2002 (both
incorporated herein by reference), that discuss important factors that could
cause CMS Energy's and Consumers' results to differ materially from those
anticipated in such statements.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrants have duly caused this report to be signed on their behalf by the
undersigned hereunto duly authorized.
CMS ENERGY CORPORATION
Dated: December 19, 2003
By: /s/ S. Kinnie Smith
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S. Kinnie Smith
Vice Chairman of the Board
and General Counsel
CONSUMERS ENERGY COMPANY
Dated: December 19, 2003
By: /s/ S. Kinnie Smith
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S. Kinnie Smith
Vice Chairman of the Board