Commission File Number	Exact name of registrant as specified in its charter; State of Incorporation; Address and Telephone Number	IRS Employer Identification No.
1-14756	Ameren Corporation	43-1723446
	(Missouri Corporation)
	1901 Chouteau Avenue
	St. Louis, Missouri 63103
	(314) 621-3222
1-2967	Union Electric Company	43-0559760
	(Missouri Corporation)
	1901 Chouteau Avenue
	St. Louis, Missouri 63103
	(314) 621-3222
1-3672	Central Illinois Public Service Company	37-0211380
	(Illinois Corporation)
	607 East Adams Street
	Springfield, Illinois 62739
	(888) 789-2477
333-56594	Ameren Energy Generating Company	37-1395586
	(Illinois Corporation)
	1901 Chouteau Avenue
	St. Louis, Missouri 63103
	(314) 621-3222
2-95569	CILCORP Inc.	37-1169387
	(Illinois Corporation)
	300 Liberty Street
	Peoria, Illinois 61602
	(309) 677-5271
1-2732	Central Illinois Light Company	37-0211050
	(Illinois Corporation)
	300 Liberty Street
	Peoria, Illinois 61602
	(309) 677-5271
1-3004	Illinois Power Company	37-0344645
	(Illinois Corporation)
	370 South Main Street
	Decatur, Illinois 62523
	(217) 424-6600

 

 

	Page
Glossary of Terms and Abbreviations..........................................................................................................................................................................................................................................	5
Forward-looking Statements...........................................................................................................................................................................................................................................................	6
PART I Financial Information
Item 1.    Financial Statements (Unaudited)
Ameren Corporation
Consolidated Statement of Income........................................................................................................................................................................................................................	8
Consolidated Balance Sheet...................................................................................................................................................................................................................................	9
Consolidated Statement of Cash Flows................................................................................................................................................................................................................	10
Union Electric Company
Consolidated Statement of Income........................................................................................................................................................................................................................	11
Consolidated Balance Sheet...................................................................................................................................................................................................................................	12
Consolidated Statement of Cash Flows................................................................................................................................................................................................................	13
Central Illinois Public Service Company
Statement of Income.................................................................................................................................................................................................................................................	14
Balance Sheet.............................................................................................................................................................................................................................................................	15
Statement of Cash Flows..........................................................................................................................................................................................................................................	16
Ameren Energy Generating Company
Consolidated Statement of Income.........................................................................................................................................................................................................................	17
Consolidated Balance Sheet....................................................................................................................................................................................................................................	18
Consolidated Statement of Cash Flows.................................................................................................................................................................................................................	19
CILCORP Inc.
Consolidated Statement of Income........................................................................................................................................................................................................................	20
Consolidated Balance Sheet....................................................................................................................................................................................................................................	21
Consolidated Statement of Cash Flows.................................................................................................................................................................................................................	22
Central Illinois Light Company
Consolidated Statement of Income.........................................................................................................................................................................................................................	23
Consolidated Balance Sheet....................................................................................................................................................................................................................................	24
Consolidated Statement of Cash Flows.................................................................................................................................................................................................................	25
Illinois Power Company
Consolidated Statement of Income.........................................................................................................................................................................................................................	26
Consolidated Balance Sheet....................................................................................................................................................................................................................................	27
Consolidated Statement of Cash Flows.................................................................................................................................................................................................................	28
Combined Notes to Financial Statements.....................................................................................................................................................................................................................	29
Item 2.    Management’s Discussion and Analysis of Financial Condition and Results of Operations..............................................................................................................................	54
Item 3.    Quantitative and Qualitative Disclosures About Market Risk...................................................................................................................................................................................	73
Item 4.    Controls and Procedures..................................................................................................................................................................................................................................................	77
PART II Other Information
Item 1.     Legal Proceedings............................................................................................................................................................................................................................................................	77
Item 1A. Risk Factors.......................................................................................................................................................................................................................................................................	77
Item 2.     Unregistered Sales of Equity Securities and Use of Proceeds..................................................................................................................................................................................	81
Item 6.     Exhibits...............................................................................................................................................................................................................................................................................	81
Signatures...........................................................................................................................................................................................................................................................................................	83

·

regulatory or legislative actions, including changes in regulatory policies and ratemaking determinations, such as in UE’s pending electric rate case and the outcome of CIPS, CILCO and IP rate rehearing proceedings, or the enactment of legislation rolling back and freezing electric rates at 2006 levels or similar actions that impair the full and timely recovery of costs in Illinois;

·	the contribution by the Ameren Illinois Utilities, Genco or AERG to an electric rate increase phase-in plan, customer credits or energy efficiency and assistance programs to avoid electric rate rollback and freeze, generation tax or similar legislation in Illinois;

·	the impact of the termination of the JDA;

·	changes in laws and other governmental actions, including monetary and fiscal policies;

·

the effects of increased competition in the future due to, among other things, deregulation of certain aspects of our business at both the state and federal levels, and the implementation of deregulation, such as occurred when the electric rate freeze and power supply contracts expired in Illinois at the end of 2006;

·	the effects of participation in the MISO;

·

the availability of fuel such as coal, natural gas, and enriched uranium used to produce electricity; the availability of purchased power and natural gas for distribution; and the level and volatility of future market prices for such commodities, including the ability to recover the costs for such commodities;

·	the effectiveness of our risk management strategies and the use of financial and derivative instruments;

·	prices for power in the Midwest;

·	business and economic conditions, including their impact on interest rates;

·	disruptions of the capital markets or other events that make the Ameren Companies’ access to necessary capital more difficult or costly;

·	the impact of the adoption of new accounting standards and the application of appropriate technical accounting rules and guidance;

·	actions of credit rating agencies and the effects of such actions;

·	weather conditions and other natural phenomena;

·	the impact of system outages caused by severe weather conditions or other events;

·	generation plant construction, installation and performance, including costs associated with UE’s Taum Sauk pumped-storage hydroelectric plant incident and the plant’s future operation;

·	recoverability through insurance of costs associated with UE’s Taum Sauk pumped-storage hydroelectric plant incident;

·	operation of UE’s nuclear power facility, including planned and unplanned outages, and decommissioning costs;

·	the effects of strategic initiatives, including acquisitions and divestitures;

·	the impact of current environmental regulations on utilities and power generating companies and the expectation that more stringent requirements, including those related to greenhouse gases, will be introduced over time, which could have a negative financial effect;

·	labor disputes, future wage and employee benefits costs, including changes in returns on benefit plan assets;

·	the inability of our counterparties and affiliates to meet their obligations with respect to contracts and financial instruments;

·	the cost and availability of transmission capacity for the energy generated by the Ameren Companies’ facilities or required to satisfy energy sales made by the Ameren Companies;

·	legal and administrative proceedings; and

·	acts of sabotage, war, terrorism or intentionally disruptive acts.

 

AMEREN CORPORATION
CONSOLIDATED BALANCE SHEET
(Unaudited) (In millions, except per share amounts)
		March 31,			December 31,
		2007			2006
ASSETS
Current Assets:
Cash and cash equivalents	$	161		$	137
Accounts receivables – trade (less allowance for doubtful
accounts of $25 and $11, respectively)		687			418
Unbilled revenue		216			309
Miscellaneous accounts and notes receivable		177			160
Materials and supplies		489			647
Other current assets		130			203
Total current assets		1,860			1,874
Property and Plant, Net		14,353			14,286
Investments and Other Assets:
Investments in leveraged leases		13			13
Nuclear decommissioning trust fund		288			285
Goodwill		831			831
Intangible assets		210			217
Other assets		650			641
Regulatory assets		1,421			1,431
Total investments and other assets		3,413			3,418
TOTAL ASSETS	$	19,626		$	19,578
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Current maturities of long-term debt	$	303		$	456
Short-term debt		953			612
Accounts and wages payable		454			671
Taxes accrued		137			58
Other current liabilities		402			405
Total current liabilities		2,249			2,202
Long-term Debt, Net		5,260			5,285
Preferred Stock of Subsidiary Subject to Mandatory Redemption		18			18
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes, net		2,000			2,144
Accumulated deferred investment tax credits		116			118
Regulatory liabilities		1,185			1,234
Asset retirement obligations		557			549
Accrued pension and other postretirement benefits		1,086			1,065
Other deferred credits and liabilities		385			169
Total deferred credits and other liabilities		5,329			5,279
Preferred Stock of Subsidiaries Not Subject to Mandatory Redemption		195			195
Minority Interest in Consolidated Subsidiaries		18			16
Commitments and Contingencies (Notes 2, 8, and 9)
Stockholders' Equity:
Common stock, $.01 par value, 400.0 shares authorized –
shares outstanding of 207.0 and 206.6, respectively		2			2
Other paid-in capital, principally premium on common stock		4,521			4,495
Retained earnings		2,011			2,024
Accumulated other comprehensive income		23			62
Total stockholders’ equity		6,557			6,583
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	19,626		$	19,578

AMEREN CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
(Unaudited) (In millions)
		Three Months Ended
		March 31,
		2007			2006
Cash Flows From Operating Activities:
Net income	$	123		$	70
Adjustments to reconcile net income to net cash
provided by operating activities:
Gains on sale of emission allowances		(4	)		(4	)
Depreciation and amortization		182			169
Amortization of nuclear fuel		9			9
Amortization of debt issuance costs and premium/discounts		5			4
Deferred income taxes and investment tax credits, net		(12	)		8
Minority interest		7			7
Other		6			7
Changes in assets and liabilities:
Receivables, net		(193	)		104
Materials and supplies		158			151
Accounts and wages payable		(81	)		(282	)
Taxes accrued		77			(1	)
Assets, other		24			44
Liabilities, other		36			40
Pension and other postretirement benefit obligations, net		21			47
Net cash provided by operating activities		358			373
Cash Flows From Investing Activities:
Capital expenditures		(357	)		(220	)
CT acquisitions		-			(292	)
Nuclear fuel expenditures		(23	)		(24	)
Purchases of securities – Nuclear Decommissioning Trust Fund		(47	)		(30	)
Sales of securities – Nuclear Decommissioning Trust Fund		43			27
Purchases of emission allowances		(5	)		(38	)
Sales of emission allowances		2			4
Other		1			-
Net cash used in investing activities		(386	)		(573	)
Cash Flows From Financing Activities:
Dividends on common stock		(131	)		(130	)
Short-term debt, net		341			274
Dividends paid to minority interest		(5	)		(7	)
Redemptions, repurchases, and maturities of long-term debt		(174	)		(31	)
Issuances of common stock		21			27
Net cash provided by financing activities		52			133
Net change in cash and cash equivalents		24			(67	)
Cash and cash equivalents at beginning of year		137			96
Cash and cash equivalents at end of period	$	161		$	29

UNION ELECTRIC COMPANY
CONSOLIDATED STATEMENT OF INCOME
(Unaudited) (In millions)
		Three Months Ended
		March 31,
		2007			2006
Operating Revenues:
Electric - excluding off-system	$	451		$	501
Electric - off-system		122			66
Gas		76			69
Other		1			-
Total operating revenues		650			636
Operating Expenses:
Fuel		125			125
Purchased power		33			67
Gas purchased for resale		49			44
Other operations and maintenance		224			171
Depreciation and amortization		87			80
Taxes other than income taxes		57			59
Total operating expenses		575			546
Operating Income		75			90
Other Income and Expenses:
Miscellaneous income		10			3
Miscellaneous expense		(2	)		(2	)
Total other income		8			1
Interest Charges		48			35
Income Before Income Taxes and Equity
in Income of Unconsolidated Investment		35			56
Income Taxes		11			19
Income Before Equity in Income
of Unconsolidated Investment		24			37
Equity in Income of Unconsolidated Investment, Net of Taxes		14			14
Net Income		38			51
Preferred Stock Dividends		1			1
Net Income Available to Common Stockholder	$	37		$	50

UNION ELECTRIC COMPANY
CONSOLIDATED BALANCE SHEET
(Unaudited) (In millions, except per share amounts)
		March 31,			December 31
		2007			2006
ASSETS
Current Assets:
Cash and cash equivalents	$	-		$	1
Accounts receivable – trade (less allowance for doubtful
accounts of $8 and $6, respectively)		164			145
Unbilled revenue		96			120
Miscellaneous accounts and notes receivable		110			128
Advances to money pool		14			18
Accounts receivable – affiliates		106			33
Materials and supplies		234			236
Other current assets		47			45
Total current assets		771			726
Property and Plant, Net		7,931			7,882
Investments and Other Assets:
Nuclear decommissioning trust fund		288			285
Intangible assets		57			58
Other assets		472			526
Regulatory assets		801			810
Total investments and other assets		1,618			1,679
TOTAL ASSETS	$	10,320		$	10,287
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Current maturities of long-term debt	$	4		$	5
Short-term debt		448			234
Intercompany note payable – Ameren		214			77
Accounts and wages payable		120			313
Accounts payable – affiliates		102			185
Taxes accrued		97			66
Other current liabilities		174			191
Total current liabilities		1,159			1,071
Long-term Debt, Net		2,935			2,934
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes, net		1,250			1,293
Accumulated deferred investment tax credits		88			89
Regulatory liabilities		825			827
Asset retirement obligations		498			491
Accrued pension and other postretirement benefits		381			374
Other deferred credits and liabilities		80			55
Total deferred credits and other liabilities		3,122			3,129
Commitments and Contingencies (Notes 2, 8 and 9)
Stockholders' Equity:
Common stock, $5 par value, 150.0 shares authorized – 102.1 shares outstanding		511			511
Preferred stock not subject to mandatory redemption		113			113
Other paid-in capital, principally premium on common stock		739			739
Retained earnings		1,742			1,783
Accumulated other comprehensive income (loss)		(1	)		7
Total stockholders' equity		3,104			3,153
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	10,320		$	10,287

UNION ELECTRIC COMPANY
CONSOLIDATED STATEMENT OF CASH FLOWS
(Unaudited) (In millions)
		March 31,
		2007			2006
Cash Flows From Operating Activities:
Net income	$	38		$	51
Adjustments to reconcile net income to net cash
provided by operating activities:
Gain on sales of emission allowances		(3	)		(2	)
Depreciation and amortization		87			80
Amortization of nuclear fuel		9			9
Amortization of debt issuance costs and premium/discounts		1			1
Deferred income taxes and investment tax credits, net		9			-
Coal contract settlement		-			11
Other		2			(1	)
Changes in assets and liabilities:
Receivables, net		(50	)		55
Materials and supplies		2			11
Accounts and wages payable		(195	)		(177	)
Taxes accrued		31			17
Assets, other		54			13
Liabilities, other		(42	)		(1	)
Pension and other postretirement obligations, net		7			19
Net cash provided by (used in) operating activities		(50	)		86
Cash Flows From Investing Activities:
Capital expenditures		(200	)		(113	)
CT acquisitions		-			(292	)
Nuclear fuel expenditures		(23	)		(24	)
Changes in money pool advances		4			-
Proceeds from intercompany note receivable – CIPS		-			1
Purchases of securities – Nuclear Decommissioning Trust Fund		(47	)		(30	)
Sales of securities – Nuclear Decommissioning Trust Fund		43			27
Sales of emission allowances		2			2
Net cash used in investing activities		(221	)		(429	)
Cash Flows From Financing Activities:
Dividends on common stock		(80	)		(42	)
Dividends on preferred stock		(1	)		(1	)
Short-term debt, net		214			365
Changes in money pool borrowings		-			1
Intercompany note payable - Ameren		137			-
Capital contribution from parent		-			1
Net cash provided by financing activities		270			324
Net change in cash and cash equivalents		(1	)		(19	)
Cash and cash equivalents at beginning of year		1			20
Cash and cash equivalents at end of period	$	-		$	1

 

CENTRAL ILLINOIS PUBLIC SERVICE COMPANY
STATEMENT OF INCOME
(Unaudited) (In millions)
		Three Months Ended
		March 31,
		2007			2006
Operating Revenues:
Electric	$	211		$	160
Gas		101			97
Other		2			-
Total operating revenues		314			257
Operating Expenses:
Purchased power		150			117
Gas purchased for resale		74			72
Other operations and maintenance		43			38
Depreciation and amortization		17			16
Taxes other than income taxes		9			12
Total operating expenses		293			255
Operating Income		21			2
Other Income and Expenses:
Miscellaneous income		3			5
Miscellaneous expense		-			(1	)
Total other income		3			4
Interest Charges		8			7
Income (Loss) Before Income Taxes		16			(1	)
Income Taxes		5			-
Net Income (Loss)		11			(1	)
Preferred Stock Dividends		1			1
Net Income (Loss) Available to Common Stockholder	$	10		$	(2	)

 

CENTRAL ILLINOIS PUBLIC SERVICE COMPANY
BALANCE SHEET
(Unaudited) (In millions)
		March 31,			December 31,
		2007			2006
ASSETS
Current Assets:
Cash and cash equivalents	$	46		$	6
Accounts receivable – trade (less allowance for doubtful
accounts of $6 and $2, respectively)		104			55
Unbilled revenue		31			43
Accounts receivable – affiliates		12			10
Current portion of intercompany note receivable – Genco		37			37
Current portion of intercompany tax receivable – Genco		9			9
Advances to money pool		15			1
Materials and supplies		33			71
Other current assets		45			46
Total current assets		332			278
Property and Plant, Net		1,157			1,155
Investments and Other Assets:
Intercompany note receivable – Genco		126			126
Intercompany tax receivable – Genco		113			115
Other assets		25			27
Regulatory assets		144			146
Total investments and other assets		408			414
TOTAL ASSETS	$	1,897		$	1,847
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Short-term debt	$	100		$	35
Accounts and wages payable		50			36
Accounts payable – affiliates		33			81
Taxes accrued		14			10
Other current liabilities		39			36
Total current liabilities		236			198
Long-term Debt, Net		471			471
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes and investment tax credits, net		282			297
Regulatory liabilities		218			224
Accrued pension and other postretirement benefits		90			90
Other deferred credits and liabilities		46			24
Total deferred credits and other liabilities		636			635
Commitments and Contingencies (Notes 2 and 8)
Stockholders' Equity:
Common stock, no par value, 45.0 shares authorized – 25.5 shares outstanding		-			-
Other paid-in capital		190			190
Preferred stock not subject to mandatory redemption		50			50
Retained earnings		312			302
Accumulated other comprehensive income		2			1
Total stockholders' equity		554			543
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	1,897		$	1,847

CENTRAL ILLINOIS PUBLIC SERVICE COMPANY
STATEMENT OF CASH FLOWS
(Unaudited) (In millions)
		Three Months Ended
		March 31,
		2007			2006
Cash Flows From Operating Activities:
Net income (loss)	$	11		$	(1	)
Adjustments to reconcile net income (loss) to net cash
provided by operating activities:
Depreciation and amortization		17			16
Deferred income taxes and investment tax credits, net		(3	)		(2	)
Other		(1	)		(1	)
Changes in assets and liabilities:
Receivables, net		(37	)		26
Materials and supplies		38			36
Accounts and wages payable		(31	)		(21	)
Taxes accrued		4			(10	)
Assets, other		9			22
Liabilities, other		3			2
Net cash provided by operating activities		10			67
Cash Flows From Investing Activities:
Capital expenditures		(20	)		(17	)
Changes in money pool advances		(14	)		(47	)
Net cash used in investing activities		(34	)		(64	)
Cash Flows From Financing Activities:
Dividends on preferred stock		(1	)		(1	)
Short-term debt, net		65			-
Changes in money pool borrowings		-			(2	)
Net cash provided by (used in) financing activities		64			(3	)
Net change in cash and cash equivalents		40			-
Cash and cash equivalents at beginning of year		6			-
Cash and cash equivalents at end of period	$	46		$	-

AMEREN ENERGY GENERATING COMPANY
CONSOLIDATED STATEMENT OF INCOME
(Unaudited) (In millions)
		Three Months Ended
		March 31,
		2007			2006
Operating Revenues	$	243		$	247
Operating Expenses:
Fuel		81			69
Purchased power		21			96
Other operations and maintenance		34			32
Depreciation and amortization		18			18
Taxes other than income taxes		6			6
Total operating expenses		160			221
Operating Income		83			26
Interest Charges		14			15
Income Before Income Taxes		69			11
Income Taxes		26			5
Net Income	$	43		$	6

AMEREN ENERGY GENERATING COMPANY
CONSOLIDATED BALANCE SHEET
(Unaudited) (In millions, except shares)
		March 31,			December 31,
		2007			2006
ASSETS
Current Assets:
Cash and cash equivalents	$	1		$	1
Accounts receivable – affiliates		86			96
Accounts receivable – trade		12			19
Materials and supplies		96			96
Other current assets		6			5
Total current assets		201			217
Property and Plant, Net		1,536			1,539
Intangible Assets		66			74
Other Assets		19			20
TOTAL ASSETS	$	1,822		$	1,850
LIABILITIES AND STOCKHOLDER'S EQUITY
Current Liabilities:
Current portion of intercompany notes payable – CIPS	$	37		$	37
Borrowings from money pool		130			123
Accounts and wages payable		19			52
Accounts payable – affiliates		35			66
Current portion of intercompany tax payable – CIPS		9			9
Taxes accrued		38			22
Other current liabilities		28			22
Total current liabilities		296			331
Long-term Debt, Net		474			474
Intercompany Notes Payable – CIPS		126			126
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes, net		144			165
Accumulated deferred investment tax credits		8			9
Intercompany tax payable – CIPS		113			115
Asset retirement obligations		31			31
Accrued pension and other postretirement benefits		35			34
Other deferred credits and liabilities		29			2
Total deferred credits and other liabilities		360			356
Commitments and Contingencies (Notes 2 and 8)
Stockholder's Equity:
Common stock, no par value, 10,000 shares authorized – 2,000 shares outstanding		-			-
Other paid-in capital		428			428
Retained earnings		160			156
Accumulated other comprehensive loss		(22	)		(21	)
Total stockholder's equity		566			563
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY	$	1,822		$	1,850