SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
(Mark One)
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 [FEE REQUIRED]
For the Fiscal Year Ended December 31, 2001
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
Commission File Number 2-62223
SAVINGS PLAN OF ENTERGY CORPORATION AND SUBSIDIARIES
(Full title of the plan)
ENTERGY CORPORATION
639 Loyola Avenue
New Orleans, Louisiana 70113
(Issuer and address of principal executive office)
SAVINGS PLAN OF ENTERGY CORPORATION AND SUBSIDIARIES
Table of Contents
Page
Number
(a) Financial Statements:
Independent Auditors' Report 2
Statements of Net Assets Available for Benefits
as of December 31, 2001 and 2000 3
Statement of Changes in Net Assets Available for
Benefits for the Year Ended December 31, 2001 4
Notes to Financial Statements 5
(b) Signature 16
(c)Exhibit:
Independent Auditors' Consent 17
INDEPENDENT AUDITORS' REPORT
To the Trustee and Participants of the
Savings Plan of Entergy Corporation and Subsidiaries
We have audited the accompanying statements of net assets available
for benefits of the Savings Plan of Entergy Corporation and
Subsidiaries as of December 31, 2001 and 2000, and the related
statement of changes in net assets available for benefits for the
year ended December 31, 2001. These financial statements are the
responsibility of the Plan's management. Our responsibility is to
express an opinion on these financial statements based on our
audits.
We conducted our audits in accordance with auditing standards
generally accepted in the United States of America. Those standards
require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the
financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, such financial statements present fairly, in all
material respects, the net assets available for benefits of the Plan
as of December 31, 2001 and 2000, and the changes in net assets
available for benefits for the year ended December 31, 2001, in
conformity with accounting principles generally accepted in the
United States of America.
DELOITTE & TOUCHE LLP
New Orleans, Louisiana
June 21, 2002
SAVINGS PLAN OF ENTERGY CORPORATION AND SUBSIDIARIES
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31,
2001 2000
INVESTMENTS:
Plan interest in Master Trust $1,550,195,537 $1,435,953,379
RECEIVABLES:
Plans transferred-in - 91,547,410
Loans transferred-in - 3,570,549
Participants' contributions 1,185,734 1,386,012
Employer contributions 597,663 353,019
Interest receivable 53,285 48,866
-------------- --------------
1,836,682 96,905,856
-------------- --------------
Net Assets Available for Benefits $1,552,032,219 $1,532,859,235
============== ==============
See Notes to Financial Statements.
SAVINGS PLAN OF ENTERGY CORPORATION AND SUBSIDIARIES
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
For the Year Ended December 31, 2001
Participant Non-Participant
Directed Directed Total
Additions to (Reductions in) Net Assets attributed to:
Investment loss:
Plan interest in Master Trust investment loss $(38,347,797) $(25,985,653) $(64,333,450)
Contributions:
Participant 72,589,129 - 72,589,129
Employer - net of forfeitures 25,433,189 2,463,661 27,896,850
-------------- ------------- --------------
Total contributions 98,022,318 2,463,661 100,485,979
-------------- ------------- --------------
Total additions (reductions) 59,674,521 (23,521,992) 36,152,529
Distributions to withdrawing participants 43,724,605 14,969,220 58,693,825
-------------- ------------- --------------
Net increase (decrease) before transfers 15,949,916 (38,491,212) (22,541,296)
-------------- ------------- --------------
Transfers:
Plans transferred-in 41,714,280 - 41,714,280
Interfund transfers 11,679,474 (11,679,474) -
-------------- ------------- --------------
Total transfers 53,393,754 (11,679,474) 41,714,280
-------------- ------------- --------------
Net increase (decrease) 69,343,670 (50,170,686) 19,172,984
Net Assets Available for Benefits
Beginning of Year 1,000,064,194 532,795,041 1,532,859,235
-------------- ------------- --------------
End of Year $1,069,407,864 $ 482,624,355 $1,552,032,219
============== ============= ==============
See Notes to Financial Statements.
SAVINGS PLAN OF ENTERGY CORPORATION AND SUBSIDIARIES
Notes to Financial Statements
Note 1. General Description of the Plan
The following description of the Savings Plan of Entergy
Corporation and Subsidiaries (Entergy Savings Plan) is provided for
general information only. Entergy Savings Plan participants should
refer to the Entergy Savings Plan summary plan description for a
more complete description of the Entergy Savings Plan's provisions.
General: The Entergy Savings Plan is a defined contribution plan
of Entergy Corporation and Subsidiaries, collectively the Entergy
System Companies, subject to the provisions of the Employee
Retirement Income Security Act of 1974, as amended (ERISA). The
ERISA provisions set forth the requirements for participation,
vesting of benefits, fiduciary conduct for administering and
handling of assets, and disclosure of Entergy Savings Plan
information.
The Entergy Savings Plan constitutes two types of plans qualified
under Internal Revenue Code Section 401 as follows:
o A profit sharing plan; and
o A stock bonus plan which constitutes an Employee Stock
Ownership Plan (ESOP).
Plan Amendments in 2001: The Entergy Savings Plan was amended
effective January 1, 2001 to adopt certain benefit enhancements.
These amendments apply to eligible employees who are employed by a
participating Entergy System Company on or after January 1, 2001.
These amendments do not apply to New York Employees (NY Employees)
or bargaining employees located at the Pilgrim Steam Electric
Generating Station (Pilgrim Bargaining Employees). NY Employees
include employees transferred from the Power Authority of the State
of New York (NYPA) to Entergy Nuclear Operations, Inc. (ENUC), or
employees hired by ENUC after November 21, 2000, whose work
location is either the James A. Fitzpatrick Nuclear Power Station,
the Indian Point 3 Nuclear Power Station, or Entergy's White
Plains, New York office that provides professional support to those
plants.
The Entergy Savings Plan was also amended effective September 6,
2001 to include certain provisions applicable to Indian Point 2
Employees (IP2 Employees). Generally, IP2 Employees include non-
bargaining employees transferred from Consolidated Edison Company
of New York, Inc. (Con Edison) to ENUC, or non-bargaining employees
hired by ENUC after September 6, 2001 whose work location is either
Indian Point Generating Station Unit 1 or 2, Indian Point Gas
Turbine Unit 1, 2, or 3, or the Toddville Training Center.
The Entergy Savings Plan was also amended effective September 6,
2001 to restate the features of the participant loan program,
including special provisions for IP2 Employees.
The significant changes to the Entergy Savings Plan resulting from
these amendments are described throughout this note.
Trustee: The Entergy Savings Plan utilizes T. Rowe Price Trust
Company as its trustee and T. Rowe Price Retirement Plan Services,
Inc. as its recordkeeper and provider of other administrative
services. Except for NY Employees, the Entergy Savings Plan's
investment options, which are managed by its trustee or affiliates
of its trustee, are:
o Entergy Stock Fund
o Stable Income Fund
o Balanced Fund
o Equity Income Fund
o Equity Index Trust
o Blue Chip Growth Fund
o New Horizons Fund
o New Income Fund
o International Stock Fund
o Participants' Loans
o Tradelink Participant-Directed Brokerage Accounts1
1 Investment option does not apply to Pilgrim Bargaining Employees
Eligibility: The Entergy Savings Plan is available to participating
Entergy System Company employees as soon as administratively
practicable following the employee's employment commencement date.
However, Pilgrim Bargaining Employees have a six-month waiting
period.
Contributions: Entergy Savings Plan contributions made by or on
behalf of participants are deposited with the trustee.
Participants may elect to contribute, through payroll deductions,
up to a total of 6% of their annual base salary (basic) for which
the employing Entergy System Company will make matching
contributions. Participants may make supplemental contributions up
to 13% of their annual base salary for which there are no matching
contributions, except for Pilgrim Bargaining Employees who may make
supplemental contributions up to 10% of their annual base salary.
Basic and supplemental contributions may be made on a before-tax
basis (401(k) contributions), an after-tax basis, or a combination
of both. Contributions are limited by federal tax legislation.
The 401(k) contribution dollar limit for the calendar year 2001 was
$10,500 per participant.
The employing Entergy System Company's matching contribution to the
Entergy Savings Plan on behalf of the participant is determined
based on the participant's investment election. If a participant's
employer matching investment election is directed entirely to the
Entergy Stock Fund, the employing Entergy System Company's matching
contribution will be equal to 75% of the participant's basic
contribution. Employer matching contributions not directed
entirely to the Entergy Stock Fund will receive matching
contributions equal to 50% of the participant's basic contribution.
Pilgrim Bargaining Employees will receive matching contributions
equal to 50% of the participant's basic contribution regardless of
their investment elections.
The Entergy Savings Plan provides that certain taxable amounts
received by an employee that originated from an employee benefit
plan qualified under Section 401(a) of the Internal Revenue Code of
1986, as amended (the Code), may be accepted under the Entergy
Savings Plan as rollover contributions (rollover contributions).
Investments: Participant contributions are invested as directed by
participants in accordance with the Entergy Savings Plan's
investment options. Earnings on participant contributions are
allocated based on participants' account balances.
The 50% matching contributions on participant-elected contributions
are invested as directed by participants in accordance with the
Entergy Savings Plan's investment options and the 75% matching
contributions on participant-elected deferrals are invested in the
Entergy Stock Fund. The 50% matching contributions for Pilgrim
Bargaining Employees are invested in the Entergy Stock Fund.
Participants can transfer a portion of their matching contributions
invested in the Entergy Stock Fund into other Entergy Savings Plan
investment funds if they are at least 50 years of age and have 10
years of participation in the Entergy Savings Plan. Years of
participation in the Gulf States Utilities Company Employee's
Thrift Plan, the NYPA Savings Plan, and the Con Edison Savings Plan
also count for this purpose. Pilgrim Bargaining Employees must be
55 years of age and have 10 years of participation in the Entergy
Savings Plan to exercise this option.
The value of investments may fluctuate with changes in market
conditions. The amount of risk varies based on the fund's
investment goals and composition. Participants should realize the
risk associated with each investment when determining how to invest
their contributions.
Participant accounts: Each participant's account is credited with
the participant's contribution and allocation of the Entergy System
Companies' matching contribution and net earnings of the Entergy
Savings Plan's interest in the Master Trust (see Note 4).
Allocations are based on participant earnings or account balances,
as defined.
Vesting: Participants are fully vested at all times in participant
contributions and company matching contributions. Pilgrim
Bargaining Employees are fully vested at all times in participant
contributions and become fully vested in company matching
contributions upon completion of five years of service.
In-Service withdrawals: While employed, participants may, with
certain restrictions, withdraw all or a portion of the value of
their basic and supplemental contributions, rollover contributions,
and System Individual Retirement Accounts. Such withdrawals may
include all or a portion of the value of their basic and
supplemental before-tax accounts if the participant has attained
age 59-1/2. Withdrawals of before-tax contributions may be subject
to a 10% premature distribution tax unless the participant is age
59-1/2 or older. A participant may also apply for a hardship
withdrawal from his 401(k) contributions if the participant
satisfies certain financial hardship withdrawal criteria.
A dividend pass through feature under the Entergy Savings Plan
allows participants to either receive a cash distribution of their
ESOP Entergy Stock Fund dividends or reinvest the dividends in the
ESOP Entergy Stock Fund. Cash dividends on Entergy Corporation
common stock attributable to employer matching contributions made
at the rate of 75% of the participant's basic contribution are paid
to the employee in cash.
Employed participants may, with certain restrictions, transfer from
the ESOP Entergy Stock Fund a portion of the amount credited to
their ESOP accounts to other investment funds (or withdraw such
amount, in the case of certain Tax Credit ESOP accounts) after the
participant completes an 84-month holding period or after the
participant reaches age 50 and completes 10 years of plan
participation. The amount of in-service withdrawal is limited by
provisions of the Code applicable to the ESOP and may be subject to
an additional 10% premature distribution tax unless the participant
is age 59-1/2 or older. Withdrawals from the ESOP accounts are in
the form of stock certificates, plus cash for the value of any
fractional share, unless the participant makes a request to receive
the withdrawal in the form of cash.
Loans to participants: The Entergy Savings Plan has a loan
provision whereby participants who are actively employed may borrow
an amount from their eligible account up to a maximum of 50% of the
vested balance of their account or $50,000, whichever is less. The
amount borrowed is deducted from the participant's eligible account
and repaid with interest based on the prime rate plus 1% in
accordance with an established schedule. The loan must be repaid
within 4-1/2 years, or 20 years if for the acquisition of the
participant's primary residence. If a participant with an
outstanding loan separates from service, the remaining principal
balance of the loan is treated as a taxable distribution to the
participant unless the amount is repaid in full within a specified
period from the date of separation.
Payment of Benefits: Participants become eligible to receive a
single-sum distribution of the entire vested value of the
participant's Entergy Savings Plan accounts upon termination of
employment, retirement, disability, or death. There are certain
provisions regarding deferral of distributions; installment
distributions for terminated participants, retirees, and disabled
participants; minimum account balances; and mandatory
distributions.
Generally, there are tax consequences associated with receiving a
distribution from the Entergy Savings Plan, unless the taxable
portion is rolled over to an individual retirement account or
another retirement plan account which qualifies under Sections
408(a) or 401(a) of the Code. Additionally, a 10% penalty tax for
early withdrawal applies, unless the distribution is received after
age 59-1/2 or the participant satisfies one of the legal exemptions
to such tax.
Inactive accounts: Participants are allowed, under the provisions
of the Entergy Savings Plan, to defer receipt of their vested
account balance upon separation from the Entergy Savings Plan until
age 70-1/2. The amount allocated to such participants was
$209,081,262 at December 31, 2001.
Forfeitures: Upon termination of employment for reasons other than
retirement, disability, or death, the portion of the employee's
account in which he/she is not vested at the time of termination
shall be forfeited and credited to a forfeiture account. Amounts
forfeited for the year ended December 31, 2001 were $22,478.
Forfeitures are used first to pay administrative expenses and the
residual, if any, to reduce employer contributions.
NY Employees: The following provisions are applicable for NY
employees.
Eligibility: NY employees become eligible to participate in the
Entergy Savings Plan upon commencement of employment with an
Entergy System Company.
Contributions: Entergy Savings Plan contributions made by or on
behalf of NY employees are deposited with the trustee. Non-
bargaining NY Employees may elect to contribute, through payroll
deductions, up to a total of 6% of their annual base salary
(basic). The employing Entergy System Company will make matching
contributions to the Entergy Savings Plan on behalf of the
participant in an amount equal to 50% of the participant's basic
contribution. Participants may make additional contributions up to
a total of 9% of their annual base salary (supplemental) for which
there are no matching contributions. Basic and supplemental
contributions may be made on a before-tax basis (401(k)
contributions), an after-tax basis, or a combination of both.
Contributions are limited by federal tax legislation. The 401(k)
contribution dollar limit for the calendar year 2001 was $10,500
per participant.
Bargaining NY Employees may only contribute to the Entergy
Savings Plan on a before-tax basis. These contributions may not
exceed: (1) 25% of earnings if the employee is credited with ten or
more years of benefit service or does not participate in the
Entergy Corporation Retirement Plan III; or (2) 22% of earnings if
the employee is credited with less than ten years of benefit
service and participates in the Entergy Corporation Retirement Plan
III. Bargaining NY Employees are not eligible for employer
matching contributions.
Investments: Participant contributions are invested as directed
by participants in accordance with the investment options made
available to non-bargaining and bargaining NY Employees. Matching
contributions made on behalf of non-bargaining NY Employees, based
on their elected contributions, are invested by the trustee in the
Entergy Stock Fund. The Entergy Savings Plan's investments
available to non-bargaining NY Employees (which includes any
amounts transferred from the NYPA Savings Plan for bargaining NY
Employees) and to bargaining NY Employees, which are managed by its
trustee or affiliates of its trustee are:
o Stable Value Trust1
o Mid-Cap Value Fund1
o Value Fund1
o Prime Reserve Fund1
o Growth and Income Fund
o New America Growth Fund
o Science and Technology Fund
o Capital Appreciation Fund
o Spectrum Income Fund
o Spectrum Growth Fund
o Equity Index 500 Fund
o Growth Stock Fund2
1 Available to bargaining NY Employees only
2 Available to non-bargaining NY Employees only
Participant accounts: Transferred NY Employees' before-tax and
after-tax accounts under the NYPA Savings Plan were transferred to
the Entergy Savings Plan by direct trust-to-trust transfer.
Vesting: NY Employees are fully vested at all times in
participant contributions and amounts transferred from the NYPA
Savings Plan. Non-bargaining NY Employees become fully vested in
company matching contributions upon completion of five years of
service. Years of service under the NYPA Savings Plan also count
for this purpose.
In-Service withdrawals: Special in-service withdrawal
provisions apply to non-bargaining NY Employees and to that portion
of a bargaining NY Employee's accounts transferred from the NYPA
Savings Plan. Under these provisions, the NY Employee may, with
certain restrictions, withdraw all or a portion of the value of
their after-tax contributions and any vested portion of their NYPA
Company account. NY Employees described in this paragraph who have
attained age 59-1/2 may, without penalty and subject to certain
restrictions, withdraw all or a portion of their NYPA Company,
Deferral, Qualified Non-Elective, Rollover, and Discretionary
Employer Contribution accounts. A separate financial hardship
withdrawal provision also applies.
Loans to participants: Certain provisions apply to non-
bargaining NY Employees under the Entergy Savings Plan loan
program. Non-bargaining NY Employees may have two loans
outstanding at any time. In addition, the loan repayment period is
subject to a 30-year maximum for a participant's primary residence
loan, and a 5-year maximum for all other loans. The amount borrowed
is deducted from the participant's eligible account and repaid with
interest based on the prime rate plus 1% in accordance with an
established schedule. Bargaining NY Employee participants are not
eligible for new loans under the Entergy Savings Plan.
Payment of benefits: Transferred NY employees shall be paid in
the form of cash for that portion of their Company account that was
transferred from the NYPA Savings Plan upon termination of
employment, retirement, disability, or death. There are certain
provisions applicable to non-bargaining and bargaining NY Employees
that are carried over from the NYPA Savings Plan and the NYPA DC
Plan, respectively, regarding the timing and form of payment of
benefits.
IP2 Employees: The Entergy Savings Plan was amended effective
September 6, 2001 for IP2 employees in the following respects.
Eligibility: IP2 non-bargaining employees become eligible to
participate in the Entergy Savings Plan as soon as administratively
possible following commencement of employment with an Entergy
System Company. IP2 bargaining employees are not eligible to
participate in the Entergy Savings Plan.
Investments: If a participant's transferred account includes
investments in Con Edison common stock, the participant must direct
this portion of the account to be reinvested in one or more of the
other investment options available under the Entergy Savings Plan
within twelve months of the transfer of the account to the Entergy
Savings Plan.
Participant accounts: Transferred IP2 Employees' before-tax and
after-tax accounts under the Con Edison Savings Plan were
transferred to the Entergy Savings Plan by direct trust-to-trust
transfer.
In-Service withdrawals: Special in-service withdrawal
provisions apply to non-bargaining IP2 Employees accounts
transferred from the Con Edison Savings Plan. Under these
provisions, the IP2 Employees who have not yet attained age 59-1/2
may, with certain restrictions, withdraw all or a portion of the
value of their after-tax contributions and their Con Edison Company
matching account.
Note 2. Summary of Significant Accounting Policies
Basis of presentation: The accompanying financial statements have
been prepared on the accrual basis of accounting.
Use of estimates in the preparation of financial statements: The
preparation of the Entergy Savings Plan financial statements, in
conformity with accounting principles generally accepted in the
United States of America, requires management to make estimates and
assumptions that affect reported amounts in the Statements of Net
Assets Available for Benefits and the Statement of Changes in Net
Assets Available for Benefits, such as those regarding fair value.
Adjustments to the reported amounts may be necessary in the future
to the extent that future estimates or actual results are different
from the estimates used in the financial statements.
Investment valuation: Cash and temporary cash investments and
loans to participants are valued at cost, which approximates fair
value. Investments in equity and fixed income securities are
stated at their fair value as determined by quoted market prices on
the valuation date, in compliance with the Department of Labor
Rules and Regulations for Reporting and Disclosure under ERISA.
The values of guaranteed investment contracts (GICs) are recorded
at contract value, which approximates fair market value. Contract
value represents amounts invested under the GICs, plus interest
earned and reinvested through the valuation date at the contracted
rate. The values of synthetic investment contracts (SICs) are
recorded at contract value, which approximates fair market value,
because participants are guaranteed a return of principal and
accrued interest. SICs are similar to GICs except that the assets
of a SIC are placed in a trust with ownership by the Master Trust
and a financially responsible third party issues a wrapper
contract. A wrapper contract is an insurance policy that
guarantees a stated rate of return on specific Master Trust assets
placed in the trust.
Payment of benefits: Benefits payable for terminations and
withdrawals are recorded when paid. This accounting method differs
from that required in the Internal Revenue Service and Department
of Labor Form 5500, which requires benefits payable to be accrued
and charged to net assets in the period the liability arises.
Income recognition: The difference in fair value of the assets in
the Master Trust from one period to the next is recognized and
included in investment income (loss) in the accompanying Statement
of Changes in Net Assets Available for Benefits. The investment
income (loss) also includes realized gains and losses.
Purchases and sales of securities are accounted for on a trade-date
basis. Interest income is recorded on the accrual basis.
Dividends are recorded on the ex-dividend date.
Administrative expenses: All costs and expenses of administering
the Entergy Savings Plan, except expenses incurred in the direct
acquisition or disposition of stock and investment manager fees,
are paid first by forfeitures and then by Entergy Corporation.
Concentration of credit risk: The Stable Income Fund of the Master
Trust invests in GICs and SICs which are subject to credit risk
with respect to the insurance companies that back them. The
potential credit risk of the GICs as of December 31, 2001 is
$50,102,449. The potential credit risk for the SICs represents the
amount by which the contract value exceeds the fair value of the
SIC assets in the trust. As of December 31, 2001, the contract
value of the SIC assets was $174,088,033. The fair value of the
SIC assets exceeded the contract value by $4,118,534. There are no
reserves against the contract values of the GICs or SICs for credit
risk of the contract issuers or otherwise. The Entergy Savings
Plan provisions set investment guidelines addressing investment
diversification, quality, maturity and performance standards
prescribed to mitigate the potential credit risk.
Note 3. Investment Contracts With Insurance Companies
The Master Trust invests in a diversified portfolio of GICs and
SICs issued by insurance companies and other financial
institutions. The average yield for the GICs and SICs was
approximately 5.7% for 2001 and 6.5% for 2000. The crediting
interest rates varied from 4.42%-6.60% for 2001 and 2000.
Note 4. Interest in Master Trust
The Entergy Savings Plan investments are held in a bank-
administered trust (Master Trust) established by Entergy
Corporation and maintained by T. Rowe Price Trust Company (the
Trustee). The Entergy Savings Plan maintains an undivided
beneficial interest in each of the investment accounts of the
Master Trust. Use of the Master Trust permits the commingling of
the trust assets of the savings plans of Entergy Corporation and
its subsidiaries for investment and administrative purposes.
Although assets are commingled in the Master Trust, the Trustee
maintains supporting records for the purpose of allocating the
equity in net earnings (losses) and the administrative expenses of
the investment accounts to the participating plans. Equity in an
investment account's net earnings is comprised of interest and
dividends and realized and unrealized investment gains and losses.
As of December 31, 2001 and 2000, the Entergy Savings Plan's
interest in the net assets of the Master Trust was approximately
99% and 100%, respectively.
The fair values of investments in the Master Trust as of December
31, 2001 and 2000 are as follows:
2001 2000
Cash and cash equivalents $ 40,551,547 $ 30,356,253
Common stock* 575,905,167 601,837,292
Mutual funds 535,718,048 450,208,929
Common trust funds 142,788,948 113,303,508
Guaranteed investment contracts 50,102,449 18,276,970
Synthetic investment contracts 174,088,033 183,710,228
Brokerage accounts 7,388,946 6,297,797
Loans to participants 41,519,682 31,962,402
-------------- --------------
$1,568,062,820 $1,435,953,379
============== ==============
* As of December 31, 2001 and 2000, $482,449,100 and $532,441,519,
respectively, of the Entergy Corporation common stock was non-
participant directed.
Dividend and interest income and net realized and unrealized
appreciation (depreciation) of investments in the Master Trust for
the year ended December 31, 2001 are summarized as follows:
Dividend and interest income:
Common stock $16,847,998
Mutual funds 14,126,878
Common trust funds 630,515
Loans to participants 3,443,375
-----------
$35,048,766
===========
Net realized and unrealized appreciation (depreciation) of
investments:
Common stock $(43,861,111)
Mutual funds (54,615,024)
Common trust funds (10,995,998)
Synthetic investment contracts 13,801,227
Brokerage accounts (2,328,833)
------------
$(97,999,739)
============
Non-bargaining NY employees' before-tax and after-tax accounts
under the NYPA Savings Plan were transferred to the Entergy Savings
Plan effective November 21, 2000 and received in January 2001.
Therefore, the plans and loans transferred are reflected as
receivables in the Statement of Net Assets as of December 31, 2000.
Note 5. Tax Status
Entergy Savings Plan obtained its latest determination letter on
March 26, 1997, in which the Internal Revenue Service stated that
the Entergy Savings Plan, as then designed, was in compliance with
the applicable requirements of the Code. The Entergy Savings Plan
has been amended since receiving the determination letter.
However, the plan administrator and the plan's tax counsel believe
that the Entergy Savings Plan is currently designed and being
operated in compliance with the applicable requirements of the
Code. Accordingly, no provision for income taxes has been included
in the Entergy Savings Plan's financial statements.
Note 6. Entergy Savings Plan Termination
Although it has not expressed any intent to do so, the Entergy
System Companies have the right under the Entergy Savings Plan to
discontinue their contributions at any time and Entergy Corporation
has the right to terminate the Entergy Savings Plan subject to the
provisions of ERISA. In the event that the Entergy Savings Plan is
terminated, subject to conditions set forth in ERISA, the Entergy
Savings Plan provides that all participants will be fully vested
and the net assets of the Entergy Savings Plan be distributed to
participants in proportion to their respective vested interests in
such net assets at that date.
Note 7. Related Party Transactions
Certain of the Master Trust investments are shares in funds managed
by T. Rowe Price Trust Company who is the trustee, as defined by
the Entergy Savings Plan and, therefore, these investments and
investment transactions qualify as party-in-interest transactions.
As the Master Trust holds common stock of Entergy Corporation as an
investment, these investments and investment transactions also
qualify as party-in-interest transactions. The year-end market
price of Entergy Corporation common stock was $39.11 and $42.31 per
share at December 31, 2001 and 2000, respectively.
Note 8. Reconciliation to Form 5500
As of December 31, 2001 and 2000, the Entergy Savings Plan had
approximately $271,164 and $687,782, respectively, of pending
distributions to participants who elected to withdraw from the
Entergy Savings Plan. These amounts are recorded as a liability in
the Entergy Savings Plan's Form 5500; however, these amounts are
not recorded as a liability in the accompanying statements of net
assets available for benefits in accordance with generally accepted
accounting principles.
The following reconciles the financial statements to the Entergy
Savings Plan Form 5500 for the plan year ended December 31, 2001
and 2000:
Net Assets Available Benefits Paid
for Benefits
2001 2000 2001 2000
Per financial statements $1,552,032,219 $1,532,859,235 $ 58,693,825 $ 94,283,242
Pending distributions to (271,164) (687,782) (416,618) 400,987
participants
-------------- -------------- ------------ ------------
Per Form 5500 $1,551,761,055 $1,532,171,453 $ 58,277,207 $ 94,684,229
============== ============== ============ ============
SIGNATURE
The Entergy Savings Plan. Pursuant to the requirements of the
Securities and Exchange Act of 1934, the Employee Benefits Committee
has duly caused this annual report to be signed on its behalf by the
undersigned hereunto duly authorized.
SAVINGS PLAN OF ENTERGY
CORPORATION AND SUBSIDIARIES
By: /s/ Darrell A. Guidroz
Darrell A. Guidroz
Director, Human Resources
Compensation and Benefits
Dated: June 28, 2002
INDEPENDENT AUDITORS' CONSENT
We consent to the incorporation by reference in Post-Effective
Amendments No. 3 and 5A on Form S-8, and their related prospectus, to
Registration Statement No. 33-54298 of Entergy Corporation on Form S-4
of our report dated June 21, 2002, appearing in this Annual Report on
Form 11-K of the Savings Plan of Entergy Corporation and Subsidiaries
for the year ended December 31, 2001.
DELOITTE & TOUCHE LLP
New Orleans, Louisiana
June 28, 2002