We live in remarkable times. And for Duke Energy, 2001 was a year of remarkable change, challenge – and results. On the preceding pages, you saw impressive numbers, delivered by an outstanding team. You’ll recognize achievement and value growth in the numbers and charts – and focus, integrity and intellect in the people behind them.
In a year that sometimes seemed “out of focus,” Duke Energy posted its strongest-ever earnings. In the midst of economic downturn, an industry in transition and the cycles of an erratic market, we delivered on our promises to investors and customers. The power of focus helped us hold our ground in 2001 – and realize new gains as well.
As I write this letter in late February, investors in the U.S. and around the world are trying to make sense of things. Following fast on the heels of the dot.com demise of 2000, the bankruptcies of two major energy companies created new shockwaves from Wall Street to Main Street. Many investors I talk with feel stung by these experiences. Some are reluctant and confused. All are skeptical.
This more sober investor outlook is a positive development. As a manic market of inflated highs and tailspin lows is replaced by more measured expectations and clear-headedness, we return to basics. Basics in business strategy and direction. In performance measures and valuations. In customer service and corporate values. And in clear, straightforward communications.
We applaud this shift back to basics. The investing public deserves – and should demand – reliable information, candor and accountability. It is time for realism, rationality and forthright reporting. It is time for straight talk.
In that spirit, here are six questions I would ask when investing in any company:
RICHARD B. PRIORY
