The following tables present summarized financial information for PNMR by segment. PNM and TNMP each operate in only one segment. Therefore, tabular segment information is not presented for PNM and TNMP.

PNMR SEGMENT INFORMATION



	PNM Electric			TNMP Electric			Corporate and Other			Consolidated
Three Months Ended June 30, 2012	(In thousands)
Electric operating revenues	$	260,094		$	63,766		$	—		$	323,860
Cost of energy	83,235			11,484			—			94,719
Gross margin	176,859			52,282			—			229,141
Other operating expenses	106,244			21,319			(4,582		)	122,981
Depreciation and amortization	23,946			12,066			5,042			41,054
Operating income (loss)	46,669			18,897			(460		)	65,106
Interest income	3,429			—			(43		)	3,386
Other income (deductions)	(989		)	774			(1,434		)	(1,649		)
Net interest charges	(18,928		)	(7,069		)	(4,201		)	(30,198		)
Segment earnings (loss) before income taxes	30,181			12,602			(6,138		)	36,645
Income taxes (benefit)	9,841			4,584			(2,879		)	11,546
Segment earnings (loss)	20,340			8,018			(3,259		)	25,099
Valencia non-controlling interest	(3,455		)	—			—			(3,455		)
Subsidiary preferred stock dividends	(132		)	—			—			(132		)
Segment earnings (loss) attributable to PNMR	$	16,753		$	8,018		$	(3,259	)	$	21,512

Six Months Ended June 30, 2012
Electric operating revenues	$	510,510		$	118,724		$	—		$	629,234
Cost of energy	163,792			22,773			—			186,565
Gross margin	346,718			95,951			—			442,669
Other operating expenses	210,364			41,908			(7,906		)	244,366
Depreciation and amortization	47,580			23,353			8,535			79,468
Operating income (loss)	88,774			30,690			(629		)	118,835
Interest income	6,764			—			(86		)	6,678
Other income (deductions)	3,995			878			(3,974		)	899
Net interest charges	(37,422		)	(14,167		)	(8,176		)	(59,765		)
Segment earnings (loss) before income taxes	62,111			17,401			(12,865		)	66,647
Income taxes (benefit)	20,694			6,372			(5,995		)	21,071
Segment earnings (loss)	41,417			11,029			(6,870		)	45,576
Valencia non-controlling interest	(6,720		)	—			—			(6,720		)
Subsidiary preferred stock dividends	(264		)	—			—			(264		)
Segment earnings (loss) attributable to PNMR	$	34,433		$	11,029		$	(6,870	)	$	38,592

At June 30, 2012:
Total Assets	$	4,069,375		$	1,054,679		$	128,535		$	5,252,589
Goodwill	$	51,632		$	226,665		$	—		$	278,297
Additions to utility and non-utility plant included in accounts payable	$	8,681		$	551		$	392		$	9,624



	PNM Electric			TNMP Electric			First Choice			Corporate and Other			Consolidated
Three Months Ended June 30, 2011	(In thousands)
Electric revenues from non-affiliates	$	239,234		$	50,359		$	126,036		$	(43	)	$	415,586
Intersegment revenues	—			9,598			—			(9,598		)	—
Total electric operating revenues	239,234			59,957			126,036			(9,641		)	415,586
Cost of energy	81,497			10,259			91,296			(9,598		)	173,454
Gross margin	157,737			49,698			34,740			(43		)	242,132
Other operating expenses	124,297			25,277			23,630			(2,204		)	171,000
Depreciation and amortization	22,897			10,726			360			4,289			38,272
Operating income (loss)	10,543			13,695			10,750			(2,128		)	32,860
Interest income	4,225			—			31			(22		)	4,234
Other income (deductions)	4,484			259			(273		)	(1,648		)	2,822
Net interest charges	(18,027		)	(7,305		)	(141		)	(5,039		)	(30,512		)
Segment earnings (loss) before income taxes	1,225			6,649			10,367			(8,837		)	9,404
Income taxes (benefit)	(872		)	2,547			3,745			(3,685		)	1,735
Segment earnings (loss)	2,097			4,102			6,622			(5,152		)	7,669
Valencia non-controlling interest	(3,470		)	—			—			—			(3,470		)
Subsidiary preferred stock dividends	(132		)	—			—			—			(132		)
Segment earnings (loss) attributable to PNMR	$	(1,505	)	$	4,102		$	6,622		$	(5,152	)	$	4,067

Six Months Ended June 30, 2011
Electric revenues from non-affiliates	$	473,472		$	95,387		$	234,486		$	(96	)	$	803,249
Intersegment revenues	—			18,412			—			(18,412		)	—
Total electric operating revenues	473,472			113,799			234,486			(18,508		)	803,249
Cost of energy	170,711			20,412			159,250			(18,412		)	331,961
Gross margin	302,761			93,387			75,236			(96		)	471,288
Other operating expenses	227,423			44,981			42,616			(5,556		)	309,464
Depreciation and amortization	46,632			20,987			641			8,485			76,745
Operating income (loss)	28,706			27,419			31,979			(3,025		)	85,079
Interest income	8,282			—			34			(55		)	8,261
Other income (deductions)	9,702			575			(379		)	(3,250		)	6,648
Net interest charges	(36,107		)	(14,604		)	(286		)	(10,130		)	(61,127		)
Segment earnings (loss) before income taxes	10,583			13,390			31,348			(16,460		)	38,861
Income taxes (benefit)	1,522			5,125			11,237			(6,643		)	11,241
Segment earnings (loss)	9,061			8,265			20,111			(9,817		)	27,620
Valencia non-controlling interest	(6,652		)	—			—			—			(6,652		)
Subsidiary preferred stock dividends	(264		)	—			—			—			(264		)
Segment earnings (loss) attributable to PNMR	$	2,145		$	8,265		$	20,111		$	(9,817	)	$	20,704

At June 30, 2011:
Total Assets	$	3,920,154		$	1,018,425		$	254,352		$	108,702		$	5,301,633
Goodwill	$	51,632		$	226,665		$	43,013		$	—		$	321,310
Additions to utility and non-utility plant included in accounts payable	$	16,514		$	360		$	237		$	1,165		$	18,276