UNITED STATES
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 (NO FEE REQUIRED)
For the year ended December 31, 2003
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 (NO FEE REQUIRED)
Commission File Number 001-09120
A. Full title of the plan and the address of the plan, if different from that of
the issuer named below:
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
THRIFT AND TAX-DEFERRED SAVINGS PLAN
B. Name of issuer of the securities held pursuant to the plan and the address of
its principal executive office:
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
80 PARK PLAZA
NEWARK, NEW JERSEY 07102
MAILING ADDRESS: P.O. Box 1171
NEWARK, NEW JERSEY 07101-1171
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
THRIFT AND TAX-DEFERRED SAVINGS PLAN
TABLE OF CONTENTS
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Page(s)
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 3
FINANCIAL STATEMENTS
Statements of Net Assets Available for Benefits as of December 31, 2003 and 2002 4
Statement of Changes in Net Assets Available for Benefits for the Year Ended
December 31, 2003 5
NOTES TO FINANCIAL STATEMENTS
As of December 31, 2003 and 2002 and for the Year Ended December 31, 2003 6-13
SIGNATURES 14
EXHIBIT INDEX 15
2
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Trustees and Participants of the Thrift and Tax-Deferred Savings Plan of
Public Service Enterprise Group Incorporated:
We have audited the accompanying statements of net assets available for benefits
of the Public Service Enterprise Group Incorporated Thrift and Tax-Deferred
Savings Plan (the "Plan") as of December 31, 2003 and 2002, and the related
statement of changes in net assets available for benefits for the year ended
December 31, 2003. 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 of the Public
Company Accounting Oversight Board (United States). 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, 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,
2003 and 2002, and the changes in net assets available for benefits for the year
ended December 31, 2003 in conformity with accounting principles generally
accepted in the United States of America.
/s/ DELOITTE & TOUCHE LLP
Parsippany, New Jersey
June 23, 2004
3
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
THRIFT AND TAX-DEFERRED SAVINGS PLAN
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
--------------------------------------------------------------------------------
As of December 31,
---------------------------
2003 2002
---- ----
ASSETS
Investments, at Fair Value-
Plan Interest in Master Employee Benefit Plan Trust (Note 3) $782,740,790 $647,126,221
Receivables:
Deposits and Contributions - Employees 1,790,858 1,387,863
Deposits and Contributions - Employer 582,543 452,689
Due from Broker for Securities Sold 1,786,918 242,460
Interest and Dividends 584 1,694
------------ ------------
Total Receivables 4,160,903 2,084,706
------------ ------------
Total Assets 786,901,693 649,210,927
------------ ------------
LIABILITIES
Due to Broker for Securities Purchased 2,161,043 40,989
Accounts Payable 672,594 395,992
Accrued Expenses 544,756 356,662
------------ ------------
Total Liabilities 3,378,393 793,643
------------ ------------
NET ASSETS AVAILABLE FOR BENEFITS $783,523,300 $648,417,284
============ ============
See Notes to Financial Statements.
4
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
THRIFT AND TAX-DEFERRED SAVINGS PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 2003
--------------------------------------------------------------------------------
ADDITIONS
Net Investment Income
Plan Interest in Master Employee Benefit Plan Trust (Note 3) $120,131,953
Deposits and Contributions
Employees 37,819,040
Employer 12,880,381
------------
Total Deposits and Contributions 50,699,421
Transfer from Employee Savings Plan--Net 1,479,256
------------
Total Additions 172,310,630
------------
DEDUCTIONS
Benefit Payments to Participants 36,084,004
Administrative Expenses 1,120,610
------------
Total Deductions 37,204,614
------------
INCREASE IN NET ASSETS AVAILABLE FOR BENEFITS 135,106,016
NET ASSETS AVAILABLE FOR BENEFITS
Beginning of Year 648,417,284
------------
End of Year $783,523,300
============
See Notes to Financial Statements.
5
PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
THRIFT AND TAX-DEFERRED SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF DECEMBER 31, 2003 AND 2002 AND FOR THE YEAR ENDED DECEMBER 31, 2003
--------------------------------------------------------------------------------
1. DESCRIPTION OF THE PLAN
General
The following description of the Public Service Enterprise Group Incorporated
(Company) Thrift and Tax-Deferred Savings Plan (Plan) is provided for general
information purposes only. Participants (any person who has an interest in the
Trust Fund) should refer to the Plan Document for more complete information.
The Plan is a defined contribution plan covering substantially all
non-bargaining unit employees of the Company and its Participating Affiliates
(each, an Employer). The Company's Employee Benefits Committee is the Named
Fiduciary of the Plan and controls and manages its operation and administration.
Until September 30, 2003, Deutsche Bank Trust Company Americas served as the
Trustee of the Plan. The Bank of New York became the Trustee of the Plan
effective October 1, 2003 (each a Trustee and, collectively, the Trustees).
Hewitt Associates is the record keeper of the Plan. The Plan is subject to the
provisions of the Employee Retirement Income Security Act of 1974, as amended
(ERISA).
The majority of the Plan's investment assets are held in a trust account by the
Trustee and consist of an undivided interest in an investment account of the
Master Employee Benefit Trust (the Master Trust), a master trust established by
the Company and administered by the Trustee.
During 2002, through a subsidiary, the Company acquired Wisvest Connecticut LLC.
As a result of this transaction, the savings plan of the acquired company was
merged with and into the Plan and the Public Service Enterprise Group
Incorporated Employee Savings Plan (Savings Plan), effective December 31, 2002,
and Participant account balances of $4,223,854 were transferred into the Plan as
of December 31, 2002. The Plan was amended and restated effective December 31,
2002 to reflect the Wisvest acquisition and the immediate vesting of all
Employer Contributions.
Contributions
Each year, Participants may contribute from 1% to 8% of their annual
compensation, as defined in the Plan, subject to certain Internal Revenue Code
(IRC) limitations (Basic Deposits). The Participant's Employer contributes 50%
of this Basic Deposit amount as its matching contribution to the Plan (Employer
Contributions). A Participant's Employer begins matching contributions when that
Participant has completed one Year of Service, as defined in the Plan, with
his/her Employer. Participants may also contribute amounts representing
distributions from other qualified defined benefit or defined contribution
plans.
Prior to February 1, 2002, Employer Contributions in excess of 6% and up to 8%
of compensation were made in shares of the Company's Common Stock, and were not
available for transfer to any other investment fund or withdrawal from the Plan
prior to the Participant's termination of employment. Effective March 1, 2002,
Employer Contributions are made in cash and invested according to the
Participant's then current investment election and all shares of Company Stock
held in a Participant's account are eligible for transfer to any other
investment fund, except the Employee Stock Ownership Plan Fund (ESOP Fund).
6
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
In addition, a Participant may elect to make supplemental deposits to the Plan
in increments of 1% of compensation up to an additional 42% of compensation
(Supplemental Deposits), subject to certain IRC limitations, without any
corresponding matching Employer Contribution. Participants may designate such
Basic and/or Supplemental Deposits as post-income tax contributions (Nondeferred
Deposits) or pre-income tax contributions (Deferred Deposits).
Each Participant may, within any Plan Year, make one or more additional lump sum
deposits on a nondeferred basis in minimum amounts of $250 and in such total
amounts which, when aggregated with such Participant's Basic Deposits and
Supplemental Deposits, do not exceed 50% of his or her compensation for that
Plan Year and subject to the limitations of the IRC.
Participant Accounts
Individual accounts are maintained for each Plan Participant. Each Participant's
account is credited with the Participant's contributions and allocations of (a)
the Employer's contributions and (b) Plan earnings, and charged with an
allocation of administrative expenses. Allocations are based on Participant
earnings or account balances, as defined. The benefit to which a Participant or
beneficiary is entitled upon death, disability or retirement, as applicable, is
the benefit that can be provided from the Participant's vested account.
ESOP Fund Participants receive quarterly payments directly from the Trustees
equal to the dividends paid to the Trustees on the shares of the Company's
Common Stock held for their account in the ESOP Fund.
Participants who have elected to participate in the Company's Common Stock Fund
may elect to have the dividends on the shares of the Common Stock paid directly
to the Participant (or beneficiary) in cash or paid to the Participant's
account, which will then be reinvested in the Company's Common Stock Fund. These
provisions are not applicable with respect to Company Common Stock held in a
Participant's Frozen ESOP Account.
Participant Loans
Participants may borrow from their fund accounts up to a maximum of $50,000
reduced by the highest outstanding loan balance during the past twelve months,
whichever is less. The loans are secured by the balance in the Participant's
account and bear interest at rates commensurate with local prevailing rates.
Principal and interest is paid ratably through payroll deductions. During 2003,
the rate of interest on loans granted to Participants was 4.25% until June 30,
2003 and 4.00% effective July 1, 2003. During 2002, the rate of interest on
loans granted to Participants was 4.75%.
No amounts may be loaned directly from any ESOP Fund, from any portion of a
Participant's Savings Account attributable to transfers from the Cash Balance
Plan of Public Service Enterprise Group Incorporated (Cash Balance Plan) or from
assets held in the Schwab Personal Choice Retirement Account (PCRA) Fund. No
Participant may have more than two loans outstanding at any time.
Payment of Benefits
On termination of service due to retirement, a Participant may elect to receive
an amount equal to the value of the Participant's vested interest in his or her
account in either a lump-sum amount, or in quarterly or annual installments over
a ten-year period. If a Participant's account balance is less than $5,000 at the
time of termination, the Participant will receive an automatic lump-sum payment
for the entire account balance. For termination due to death, the Participant's
beneficiary will receive lump-sum distribution equal to the value of the
Participant's vested interest in his or her account.
7
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
Forfeitures
Any nonvested portion of the Participant's account, determined as of the date of
severance from employment, shall be forfeited and shall be applied thereafter to
reduce a subsequent contribution or contributions of the Employer as provided in
the Plan. If such former Participant is rehired and remains employed by an
Employer at the end of the fifth Plan Year after the Plan Year in which such
severance occurred, then such nonvested portion of the Participant's Account
shall be reinstated by the Employer and the Participant's right thereto shall be
determined as if the Participant had not terminated employment, provided that
the Participant repays to the Plan the amount of any distribution paid to him or
her on account of the severance from employment. For the years ended December
31, 2003 and 2002, forfeitures amounted to $153,377 and $194,090, respectively.
Vesting
Except for amounts transferred from the Cash Balance Plan into the Plan,
Employer Contributions to a Participant's Thrift Account are fully vested.
Amounts transferred from the Cash Balance Plan follow the Cash Balance Plan
vesting regulations and vest upon the earliest of a Participant's completion of
five years of service with an Employer, attainment of age 65 or approval for
benefits under a Company long-term disability plan. All amounts credited to a
Participant's ESOP Fund are fully vested.
Penalties Upon Withdrawal
If a Participant withdraws vested Employer Contributions and/or Deposits before
they have been in the Plan for twenty-four months, such Participant will lose
the matching Employer Contributions on Deposits made during the subsequent three
months. Distributions to Participants electing to withdraw Nondeferred Deposits
and Employer Contributions are made as soon as practicable after such elections
are received by the Plan's record keeper. Nondeferred Deposits may be withdrawn
at any time, but certain penalties may apply. Deferred Deposits may not be
withdrawn during employment prior to age 59-1/2 except for reasons of
extraordinary financial hardship and to the extent permitted by the IRC
(hardship withdrawals). Distributions to Participants of approved hardship
withdrawals are made as soon as practicable after such approval.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting
The financial statements of the Plan have been prepared on an accrual basis in
accordance with accounting principles generally accepted in the United States of
America (GAAP).
Use of Estimates
The preparation of financial statements in conformity with GAAP requires Plan
management to make estimates and assumptions that affect the reported amounts of
net assets available for benefits and changes therein. Actual results could
differ from those estimates.
8
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
Risks and Uncertainties
The Plan utilizes various investment options. The mutual funds invest in various
securities including U.S. Government securities, corporate debt instruments and
corporate stocks. Investment securities, in general, are exposed to various
risks, such as interest rate, credit and overall market volatility. Due to the
level of risk associated with certain investment securities, it is reasonably
possible that changes in the values of investment securities will occur in the
near term and that such changes could materially affect Participants' account
balances and the amounts reported in the financial statements.
Reclassifications
Certain reclassifications of amounts reported in the prior period have been made
to conform with the current year presentation.
Investment Valuation and Income Recognition (Master Trust Fund)
The investments in the Master Trust are stated at fair value except for its
benefit-responsive investment contracts within the Stable Value Fund, which are
recorded at contract value, which approximates fair value. The Plan's
investments in the guaranteed annuity contracts of the Stable Value Fund are
with various insurance companies and other financial institutions, and are
recorded at contract value, which approximates fair value, and are calculated as
cost plus accumulated interest less withdrawals. Quoted market prices are used
to value all other investments. Shares of mutual funds are valued at the net
asset value of shares held by the Plan at year-end. Purchases and sales of
securities are recorded on a trade-date basis. Short-Term Investments are stated
at cost, which approximates fair market value. Dividend income is recorded on
the ex-dividend date. The loans to Participants are valued at outstanding
principal balance plus accrued interest, which approximates fair value.
Investment gains and losses from securities transactions are computed using an
adjusted cost basis as prescribed by the Department of Labor's (DOL) Rules and
Regulations for Reporting and Disclosure.
Payment of Benefits
Benefit payments to Participants are recorded upon distribution. Amounts
allocated to accounts of persons who have elected to withdraw from the plan but
have not yet been paid were $556,070 and $286,795 as of December 31, 2003 and
2002, respectively.
Administrative Expenses of Plan
All expenses incurred for the administration of the Plan, including taxes and
brokerage costs, are deducted from the Master Trust Fund.
Transfers of the ESOP Fund to Thrift Account
Participants are permitted to transfer all, but not less than all, of the shares
of the Company's Common Stock from their ESOP Fund to their Thrift Accounts. To
affect such transfers, the Trustee will sell the shares of the Company's Common
Stock held in the ESOP Fund and invest the proceeds in the Thrift Account
Investment Funds designated by the Participant. The cash value of each share of
the Company's Common Stock transferred will be equal to the price per share of
the Company's Common Stock actually received by the Trustee. Any such transfer
is treated as a rollover contribution.
9
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
3. INVESTMENT OF THE PLAN AND SAVINGS PLAN IN THE MASTER TRUST
Certain of the Plan's investment assets are held in a trust account by the
Trustee and consist of an undivided interest in an investment account of the
Master Trust. Use of the Master Trust permits the commingling of trust assets
with the assets of the Savings Plan for investment and administrative purposes.
Although assets of both plans are commingled in the Master Trust, the Trustee
maintains supporting records for the purpose of allocating the net gain or loss
of the investment account to the respective participating plans. The net
investment income of the investment assets is allocated by the Trustee to each
participating plan based on the relationship of the interest of each plan to the
total of the interests of the participating plans. As of December 31, 2003 and
2002, the Plan's interests in such assets of the Master Trust were approximately
60% and 61%, respectively.
As of December 31,
-------------------------------
2003 2002
---- ----
Investments at Fair Value:
Participant Loans $32,754,824 $32,248,249
Cash and Cash Equivalents 13,739,844 35,714,345
Common Stock of
Public Service Enterprise Group Incorporated 164,431,925 131,765,788
Mutual Funds 564,442,202 386,914,157
Guaranteed Investment Contracts (GICs) 496,907,855 449,586,297
Schwab PCRA Fund (a) 33,064,452 20,363,052
-------------- --------------
Total Investments $1,305,341,102 $1,056,591,888
============== ==============
For the
Year Ended
December 31, 2003
-----------------
Investment Income:
Net Appreciation in Fair Value of Mutual Funds $117,296,643
Net Appreciation in Fair Value of Common Stock
of Public Service Enterprise Group Incorporated 44,725,804
Net Appreciation in Fair Value of Schwab PCRA Fund (a) 8,278,691
Interest on Participant Loans 1,896,476
Interest from Mutual Funds 237,114
Interest from Enterprise Common Stock Funds 2,106,954
Interest from GICs 20,114,944
Dividends from Common Stock of Public Service Enterprise Group Incorporated 8,629,026
------------
Total Investment Income, Net $203,285,652
============
----------
(a) Amounts primarily relate to equity investments in stocks and through mutual
funds. The net appreciation in fair value is primarily comprised of
realized/unrealized gains or losses and dividends earned on these equity
investments.
10
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
The Master Trust includes the following GICs in the Stable Value Fund as of
December 31, 2003 and 2002:
A. Thrift Account Investment Funds
Assets of the Stable Value Funds
The assets of the Stable Value Fund are primarily invested in Traditional GICs
or Synthetic GICs with additional investments in the Trustee's Short-Term
Investment Fund. All GIC contract values approximate fair values. As of
December 31, 2003, the Stable Value Fund was comprised of the following:
Issuer Type Expiration Effective Rate Contract Value
-------------------------------------------- ------------- ---------------------- ---------------- ------------------
Prudential Life Insurance Company Traditional November 30, 2005 6.99% $ 6,151,902
Bank of America (A) Synthetic Open-Ended 4.02% 59,944,907
ING Life Insurance & Annuity Co. (A) Synthetic Open-Ended 3.64% 58,583,201
John Hancock Synthetic Open-Ended 5.75% 6,993,905
JP Morgan Chase (A) Synthetic Open-Ended 4.56% 26,930,359
Metropolitan Life (A) Synthetic Open-Ended 4.24% 90,397,961
Monumental Life (A) Synthetic Open-Ended 4.18% 90,407,621
Rabobank Nederland (A) Synthetic Open-Ended 5.49% 74,816,248
State Street Bank and Trust Company Synthetic Open-Ended 4.03% 20,870,755
UBS AG (A) Synthetic Open-Ended 5.21% 61,810,996
------------
Total GICs 496,907,855
Investment in Bank of New York Short-Term Investment Fund 0.99% 12,383,797
------------
Total Stable Value Fund $509,291,652
=============
----------
(A) Managed by INVESCO Institutional, Inc.
As of December 31, 2002, the Stable Value Fund was comprised of the following:
Issuer Type Expiration Effective Rate Contract Value
-------------------------------------------- ------------- ---------------------- ---------------- ------------------
Prudential Life Insurance Company Traditional November 30, 2005 6.99% $ 5,749,978
Caisse des Depots Synthetic February 3, 2003 2.89% 3,013,847
Bank of America (A) Synthetic Open-Ended 5.69% 25,453,497
Bank of America (B) Synthetic Open-Ended 4.31% 34,948,401
Bank of America (B) Synthetic Open-Ended 4.94% 32,412,641
Continental Assurance Company (B) Synthetic Open-Ended 4.94% 6,451,015
ING Life Insurance & Annuity Co. (B) Synthetic Open-Ended 2.44% 18,059,082
Allstate Life Insurance Company Synthetic Open-Ended 5.54% 47,559,808
State Street Bank and Trust Company Synthetic Open-Ended 4.63% 58,362,324
John Hancock Synthetic Open-Ended 5.62% 10,234,630
Monumental Life Synthetic Open-Ended 5.89% 56,631,169
JP Morgan Chase (B) Synthetic Open-Ended 4.25% 51,136,404
JP Morgan Chase (B) Synthetic Open-Ended 4.81% 27,812,585
JP Morgan Chase (A) Synthetic Open-Ended 6.71% 21,987,438
UBS AG Synthetic Open-Ended 6.45% 49,773,478
-------------
Total GICs 449,586,297
Investment in Bank of New York Short-Term Investment Fund 1.36% 19,501,795
-------------
Total Stable Value Fund $469,088,092
=============
----------
(A) Managed by PIMCO Investment Management Company
(B) Managed by INVESCO Institutional, Inc.
11
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
Assets of the Enterprise Common Stock Fund
The assets of the Enterprise Common Stock Fund are invested in the Company's
Common Stock.
B. ESOP Fund
During 2003 and 2002, no contributions to or transfers into the ESOP Fund were
permitted.
C. Schwab PCRA Fund
The Schwab PCRA Fund is a self-directed brokerage account in which Participants
can select and manage a wide selection of investments including mutual funds,
stocks and bonds. Deposits into the Schwab PCRA Fund must come from balances
transferred from the other options in the Plan. Participants may transfer up to
100% of their account balance, less $500 to pay for certain fees, to the Schwab
PCRA Fund.
4. NON-PARTICIPANT DIRECTED INVESTMENTS
As stated previously, prior to March 1, 2002, Employer Contributions for
Participants with respect to Basic Deposits in excess of 6% and up to 8% of
compensation were made in shares of the Company's Common Stock into the
Enterprise Common Stock Fund and were not available for transfer to any other
Investment Fund or withdrawal from the Plan prior to the Participant's
termination of employment. Information about the net assets and the significant
components of the changes in net assets relating to the Plan's interest in the
Enterprise Common Stock Fund is as follows:
As of December 31,
--------------------------
2003 2002
---- ----
Net Assets:
Enterprise Common Stock Fund $ 82,346,841 $ 70,715,733
============ ============
For the Year
Ended
December 31,
2003
-----------
Changes in Net Assets:
Deposits and Contributions $ 4,500,456
Dividends and Interest 5,453,956
Net Appreciation 23,332,514
Benefits Paid to Participants (3,612,829)
Forfeitures (14,172)
Loan Repayments 864,373
Loans to Participants (1,062,051)
Administrative Expenses (116,692)
Transfers from Participant-Directed Investments (17,714,447)
------------
Total Net Change $ 11,631,108
============
12
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)
5. FEDERAL INCOME TAX STATUS
The Internal Review Service has determined and informed the Company by letter
dated May 25, 2004 that the Plan and related trust are designed in accordance
with the applicable sections of the Internal Revenue Code ("IRC"). The Plan has
been amended since the issuance of the determination letter; however, the Plan
Administrator and the Plan's tax counsel believe that the Plan is designed and
is currently being operated in compliance with the applicable requirements of
the IRC.
6. RELATED-PARTY TRANSACTIONS
Certain Plan investments are in the Company's Common Stock. As the Company is
the Plan Sponsor, these transactions qualify as party-in-interest transactions.
Certain administrative functions are performed by the officers and employees of
the Company (who may also be Participants in the Plan) at no cost to the Plan.
These transactions are not deemed prohibited party-in-interest transactions,
because they are covered by statutory or administrative exemptions from ERISA's
rules on prohibited transactions.
As of December 31, 2003 and 2002, the Master Trust held 9,762,984 and 10,924,899
shares, respectively, of the Common Stock of Public Service Enterprise Group
Incorporated, the sponsoring employer stock, in Mutual Funds, with a market
value per unit of $15.52 and $11.48, respectively.
As of December 31, 2003 and 2002, the Master Trust held 291,315 and 308,532
shares, respectively, of the Common Stock of Public Service Enterprise Group
Incorporated, the sponsoring employer stock, in the ESOP Fund, with a market
value per share of $43.80 and $32.10, respectively.
For the year ended December 31, 2003, the Master Trust recorded dividend income
of approximately $9 million from the Common Stock of Public Service Enterprise
Group Incorporated.
7. PLAN TERMINATION
Although it has not expressed any intention to do so, the Company has the right
under the Plan to discontinue its contributions at any time and to terminate the
Plan subject to the provisions set forth in ERISA. In the event that the Plan is
terminated, all Participants would become 100 percent vested in their account.
13
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
trustees (or other persons who administer the Plan) have duly caused this Annual
Report to be signed by the undersigned thereunto duly authorized.
Public Service Enterprise Group Incorporated
Employee Thrift and Tax-Deferred Savings Plan
(Name of Plan)
By: /s/ Margaret M. Pego
--------------------------------------------------
Margaret M. Pego
Chairperson of Employee
Benefits Committee
Date: June 25, 2004
14
EXHIBIT INDEX
Exhibit Number
--------------
99 Consent of Independent Registered Public Accounting Firm
15