UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 28, 2008

CENTERPOINT ENERGY, INC.

(Exact name of registrant as specified in its charter)

Texas		1-31447		74-0694415
(State or other jurisdiction		(Commission File Number)		(IRS Employer
of incorporation)				Identification No.)

1111 Louisiana Houston, Texas (Address of principal executive offices)		77002 (Zip Code)

Registrant’s telephone number, including area code: (713) 207-1111

     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o     Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o     Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o     Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o     Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

Item 2.02. Results of Operations and Financial Condition.

          On February 28, 2008, CenterPoint Energy, Inc. (“CenterPoint Energy”) reported fourth quarter and full year 2007 earnings. For additional information regarding CenterPoint Energy’s fourth quarter and full year 2007 earnings, please refer to CenterPoint Energy’s press release attached to this report as Exhibit 99.1 (the “Press Release”), which Press Release is incorporated by reference herein. The information in the Press Release is being furnished, not filed, pursuant to Item 2.02. Accordingly, the information in the Press Release will not be incorporated by reference into any registration statement filed by CenterPoint Energy under the Securities Act of 1933, as amended, unless specifically identified therein as being incorporated therein by reference.

Item 9.01. Financial Statements and Exhibits.

          The exhibit listed below is furnished pursuant to Item 2.02 of this Form 8-K.

	(d)		Exhibits.
	99.1		Press Release issued February 28, 2008 regarding CenterPoint Energy, Inc.’s fourth quarter and full year 2007 earnings.

SIGNATURE

          Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

EXHIBIT INDEX

Exhibit
Number				Description
99.1		—		Press Release issued February 28, 2008 regarding CenterPoint Energy, Inc.’s fourth quarter and full year 2007 earnings.

Exhibit 99.1

		For more information contact
		Media:
		Leticia Lowe
		Phone 713.207.7702
		Investors:
		Marianne Paulsen
		Phone 713.207.6500

For Immediate Release		Page 1 of 5

CENTERPOINT ENERGY REPORTS FOURTH QUARTER AND
FULL YEAR 2007 EARNINGS

     Houston, TX — February 28, 2008 - CenterPoint Energy, Inc. (NYSE: CNP) today reported net income of $108 million, or $0.32 per diluted share, for the fourth quarter of 2007 compared to $67 million, or $0.20 per diluted share, for the same period of 2006. Results for the fourth quarter of 2006 were reduced by $12 million, or $0.04 per diluted share, related to the resolution of the company’s Zero Premium Exchangeable Subordinated Notes (ZENS) tax issue. Excluding this item, net income for the fourth quarter of 2006 would have been $79 million, or $0.24 per diluted share, compared to $108 million, or $0.32 per diluted share, for the fourth quarter of 2007.

     Net income for the year 2007 was $399 million, or $1.17 per diluted share, compared to $432 million, or $1.33 per diluted share, for 2006. Results for the year 2006 were favorably impacted by $92 million, or $0.28 per diluted share, due to the resolution of the ZENS tax issue but were negatively impacted by $21 million, or $0.06 per diluted share, from a settlement related to the company’s 2001 unbundled cost of service order (UCOS) issued by the Texas Public Utility Commission. Excluding the net effect of these items, net income for the year 2006 would have been $361 million, or $1.11 per diluted share, compared to $399 million, or $1.17 per diluted share, for the year 2007.

     “I am very pleased with the overall financial results that we are reporting today,” said David M. McClanahan, president and chief executive officer of CenterPoint Energy. “Our natural gas utilities showed significant improvement reflecting actions we have taken to enhance the operational and financial performance of this business. Our interstate pipelines and field services businesses turned in strong performances and our electric utility and competitive natural gas marketing businesses had a very solid year. Our company is well positioned to continue to take advantage of opportunities in each of our businesses.”

OPERATING INCOME BY SEGMENT

Electric Transmission & Distribution

     The electric transmission & distribution segment reported operating income of $104 million in the fourth quarter of 2007, consisting of $65 million from the regulated electric transmission & distribution utility operations (TDU), $10 million from the competition transition charge (CTC), and $29 million related to transition bonds. Operating income for the fourth quarter of 2006 was $96 million, consisting of $55 million from the TDU, $11 million from the CTC, and $30 million related to transition bonds. Operating income for the TDU for the fourth quarter of 2007 was positively impacted by customer growth of over 53,000 metered customers since December 2006, increased usage primarily due to favorable weather and higher revenues from ancillary services, partially offset by increased operating expenses.

-more-

		For more information contact
		Media:
		Leticia Lowe
		Phone 713.207.7702
		Investors:
		Marianne Paulsen
		Phone 713.207.6500

For Immediate Release		Page 2 of 5

     Operating income for the year 2007 was $561 million, consisting of $400 million from the TDU, $42 million from the CTC, and $119 million related to transition bonds. Operating income for 2006 was $576 million, consisting of $395 million from the TDU, $55 million from the CTC, and $126 million related to transition bonds. In addition to the factors noted above, operating income for the TDU for 2007 was impacted by a full year of reduced base rates and increased spending on low income assistance and energy efficiency programs resulting from a rate settlement implemented in October 2006. In addition, operating income for 2007 included a $17 million favorable settlement related to the final fuel reconciliation of the formerly integrated electric utility. Operating income for 2006 included a $32 million charge related to the UCOS settlement and proceeds from land sales.

Natural Gas Distribution

     The natural gas distribution segment reported operating income of $89 million for the fourth quarter of 2007 compared to $34 million for the same period of 2006. The increase in operating income for the fourth quarter of 2007 resulted from the addition of over 38,000 customers since December 2006, increased customer usage, the benefit of rate increases and reduced operating expenses, partially offset by higher bad debt expense. Operating income for the fourth quarter of 2006 included a $21 million write-off for purchased natural gas costs for periods prior to July 2004, which were denied recovery by the Minnesota Public Utilities Commission.

     Operating income for the year 2007 was $218 million compared to $124 million for 2006. In addition to the factors noted, operating income for 2007 benefited from a return to more normal weather.

Competitive Natural Gas Sales and Services

     The competitive natural gas sales and services segment reported operating income of $19 million for the fourth quarter of 2007 compared to $33 million for the same period of 2006. The decrease in operating income was due to a reduction in locational and seasonal natural gas price differentials. In addition, the fourth quarter of 2007 included a $2 million gain resulting from mark-to-market accounting compared to a $3 million gain for the same period of 2006. The fourth quarter of 2006 also included a $10 million inventory write-down of natural gas inventory to the lower of average cost or market.

-more-

		For more information contact
		Media:
		Leticia Lowe
		Phone 713.207.7702
		Investors:
		Marianne Paulsen
		Phone 713.207.6500

For Immediate Release		Page 3 of 5

     Operating income for the year 2007 was $75 million compared to $77 million for 2006. For the year 2007, an increase in sales to commercial and industrial customers was more than offset by reduced opportunities for optimization of the company’s pipeline and storage assets resulting from lower locational and seasonal natural gas price differentials. In addition, the year 2007 included a $10 million charge resulting from mark-to-market accounting and an $11 million inventory write-down, compared to a $37 million gain resulting from mark-to-market accounting and a $66 million inventory write-down for 2006.

Interstate Pipelines

     The interstate pipelines segment reported operating income of $71 million for the fourth quarter of 2007 compared to $44 million for the same period of 2006. The increase in operating income was driven primarily by the new Carthage to Perryville pipeline, which went into commercial service in May 2007 and favorable settlements of certain state tax issues, partially offset by higher operating expenses and a write-off of project development costs. The fourth quarter of 2006 included a gain from the sale of excess gas no longer required following improvements to a storage facility and a write-off of expenses associated with a discontinued pipeline project.

     Operating income for the year 2007 was $237 million compared to $181 million for 2006. In addition to the factors noted above, operating income for 2007 benefited from increased ancillary services.

Field Services

     The field services segment reported operating income of $24 million for the fourth quarter of 2007 compared to $23 million for the same period of 2006. In addition to operating income, this business had equity income of $3 million in the fourth quarter of 2007 compared to a loss of $1 million in the fourth quarter of 2006 from its 50 percent interest in a jointly-owned gas processing plant. These amounts are included in Other — net under the Other Income (Expense) caption.

     Operating income for the year 2007 was $99 million compared to $89 million for 2006. Operating income increased due to higher throughput and increased ancillary services, partially offset by higher operating expenses and lower commodity prices. In addition, equity income from the jointly-owned gas processing plant was $10 million for the year 2007 compared to $6 million for the year 2006. The increase was primarily due to a plant expansion.

-more-

		For more information contact
		Media:
		Leticia Lowe
		Phone 713.207.7702
		Investors:
		Marianne Paulsen
		Phone 713.207.6500

For Immediate Release		Page 4 of 5

DIVIDEND DECLARATION

     On January 24, 2008, CenterPoint Energy’s board of directors declared a regular quarterly cash dividend of $0.1825 per share of common stock payable on March 10, 2008, to shareholders of record as of the close of business on February 15, 2008.

OUTLOOK FOR 2008

     CenterPoint Energy expects diluted earnings per share for 2008 to be in the range of $1.15 to $1.25. This guidance takes into consideration various economic and operational assumptions related to the business segments in which the company operates. The company has made certain assumptions regarding the impact to earnings of various regulatory proceedings but cannot predict the ultimate outcome of any of those proceedings. In providing this guidance, the company has not projected the impact of any changes in accounting standards, any impact from acquisitions or divestitures, or the outcome of the TDU’s true-up appeal.

FILING OF FORM 10-K FOR CENTERPOINT ENERGY, INC.

     Today, CenterPoint Energy, Inc. filed with the Securities and Exchange Commission (SEC) its Annual Report on Form 10-K for the fiscal year ended December 31, 2007. A copy of that report is available on the company’s web site, www.CenterPointEnergy.com, under the “Investors” section. Other filings the company makes at the SEC and other documents relating to its corporate governance can also be found on that site.

WEBCAST OF EARNINGS CONFERENCE CALL

     CenterPoint Energy’s management will host an earnings conference call on Thursday, February 28, 2008, at 10:30 a.m. Central time or 11:30 a.m. Eastern time. Interested parties may listen to a live audio broadcast of the conference call at www.CenterPointEnergy.com/investors/events. A replay of the call can be accessed approximately two hours after the completion of the call and will be archived on the Web site for at least one year.

     CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. Assets total over $17 billion. With about 8,600 employees, CenterPoint Energy and its predecessor companies have been in business for more than 130 years. For more information, visit the Web site at www.CenterPointEnergy.com.

-more-

		For more information contact
		Media:
		Leticia Lowe
		Phone 713.207.7702
		Investors:
		Marianne Paulsen
		Phone 713.207.6500

For Immediate Release		Page 5 of 5

     This news release includes forward-looking statements. Actual events and results may differ materially from those projected. The statements in this news release regarding future financial performance and results of operations and other statements that are not historical facts are forward-looking statements. Factors that could affect actual results include the timing and outcome of appeals from the true-up proceedings, the timing and impact of future regulatory, legislative and IRS decisions, effects of competition, weather variations, changes in CenterPoint Energy’s or its subsidiaries’ business plans, financial market conditions, the timing and extent of changes in commodity prices, particularly natural gas, the impact of unplanned facility outages, and other factors discussed in CenterPoint Energy’s Form 10-K for the period ended December 31, 2007, and other filings with the Securities and Exchange Commission.

###

CenterPoint Energy, Inc. and Subsidiaries
Statements of Consolidated Income
(Millions of Dollars)
(Unaudited)

		Quarter Ended								Twelve Months Ended
		December 31,								December 31,
		2006				2007				2006				2007
Revenues:
Electric Transmission & Distribution		$	407			$	438			$	1,781			$	1,837
Natural Gas Distribution			1,079				1,158				3,593				3,759
Competitive Natural Gas Sales and Services			908				864				3,651				3,579
Interstate Pipelines			89				152				388				500
Field Services			36				50				150				175
Other Operations			3				2				15				10
Eliminations			(58	)			(62	)			(259	)			(237	)
Total			2,464				2,602				9,319				9,623
Expenses:
Natural gas			1,623				1,646				5,909				5,995
Operation and maintenance			381				409				1,399				1,440
Depreciation and amortization			147				156				599				631
Taxes other than income taxes			78				88				367				372
Total			2,229				2,299				8,274				8,438
Operating Income			235				303				1,045				1,185
Other Income (Expense) :
Gain (Loss) on Time Warner investment			77				(40	)			94				(114	)
Gain (Loss) on indexed debt securities			(67	)			41				(80	)			111
Interest and other finance charges			(117	)			(135	)			(470	)			(503	)
Interest on transition bonds			(32	)			(30	)			(130	)			(123	)
Distribution from AOL Time Warner litigation settlement			—				—				—				32
Additional distribution to ZENS holders			—				—				—				(27	)
Other — net			8				10				35				33
Total			(131	)			(154	)			(551	)			(591	)
Income Before Income Taxes			104				149				494				594
Income Tax Expense			(37	)			(41	)			(62	)			(195	)
Net Income		$	67			$	108			$	432			$	399

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.

CenterPoint Energy, Inc. and Subsidiaries
Selected Data From Statements of Consolidated Income
(Millions of Dollars, Except Share and Per Share Amounts)
(Unaudited)

		Quarter Ended								Twelve Months Ended
		December 31,								December 31,
		2006				2007				2006				2007
Basic Earnings Per Common Share:
Net Income		$	0.21			$	0.34			$	1.39			$	1.25
Diluted Earnings Per Common Share:
Net Income		$	0.20			$	0.32			$	1.33			$	1.17
Dividends Declared per Common Share		$	0.15			$	0.17			$	0.60			$	0.68
Weighted Average Common Shares Outstanding (000):
— Basic			313,048				321,695				311,826				320,480
— Diluted			334,618				342,841				324,778				342,507
Operating Income (Loss) by Segment
Electric Transmission & Distribution:
Electric Transmission and Distribution Operations		$	55			$	65			$	395			$	400
Competition Transition Charge			11				10				55				42
Total Electric Transmission and Distribution Utility			66				75				450				442
Transition Bond Companies			30				29				126				119
Total Electric Transmission & Distribution			96				104				576				561
Natural Gas Distribution			34				89				124				218
Competitive Natural Gas Sales and Services			33				19				77				75
Interstate Pipelines			44				71				181				237
Field Services			23				24				89				99
Other Operations			5				(4	)			(2	)			(5	)
Total		$	235			$	303			$	1,045			$	1,185

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.

CenterPoint Energy, Inc. and Subsidiaries
Results of Operations by Segment
(Millions of Dollars)
(Unaudited)

		Electric Transmission & Distribution
		Quarter Ended												Twelve Months Ended
		December 31,								% Diff				December 31,								% Diff
		2006				2007				Fav/(Unfav)				2006				2007				Fav/(Unfav)
Results of Operations:
Revenues:
Electric transmission and distribution utility		$	346			$	373				8	%		$	1,516			$	1,560				3	%
Transition bond companies			61				65				7	%			265				277				5	%
Total			407				438				8	%			1,781				1,837				3	%
Expenses:
Operation and maintenance			175				185				(6	%)			611				652				(7	%)
Depreciation and amortization			61				61				—				243				243				—
Taxes other than income taxes			44				52				(18	%)			212				223				(5	%)
Transition bond companies			31				36				(16	%)			139				158				(14	%)
Total			311				334				(7	%)			1,205				1,276				(6	%)
Operating Income		$	96			$	104				8	%		$	576			$	561				(3	%)
Operating Income:
Electric transmission and distribution operations		$	55			$	65				18	%		$	395			$	400				1	%
Competition transition charge			11				10				(9	%)			55				42				(24	%)
Transition bond companies			30				29				(3	%)			126				119				(6	%)
Total Segment Operating Income		$	96			$	104				8	%		$	576			$	561				(3	%)
Electric Transmission & Distribution
Operating Data:
Actual MWH Delivered
Residential			4,637,585				4,939,054				7	%			23,954,745				23,999,085				—
Total			16,638,022				17,729,923				7	%			75,876,929				76,290,615				1	%
Weather (average for service area):
Percentage of 10-year average:
Cooling degree days			111	%			140	%			29	%			102	%			104	%			2	%
Heating degree days			85	%			76	%			(9	%)			76	%			98	%			22	%
Average number of metered customers:
Residential			1,742,580				1,790,977				3	%			1,732,656				1,773,319				2	%
Total			1,979,890				2,031,504				3	%			1,968,114				2,012,636				2	%

		Natural Gas Distribution
		Quarter Ended												Twelve Months Ended
		December 31,								% Diff				December 31,								% Diff
		2006				2007				Fav/(Unfav)				2006				2007				Fav/(Unfav)
Results of Operations:
Revenues		$	1,079			$	1,158				7	%		$	3,593			$	3,759				5	%
Expenses:
Natural gas			811				838				(3	%)			2,598				2,683				(3	%)
Operation and maintenance			165				158				4	%			594				579				3	%
Depreciation and amortization			39				41				(5	%)			152				155				(2	%)
Taxes other than income taxes			30				32				(7	%)			125				124				1	%
Total			1,045				1,069				(2	%)			3,469				3,541				(2	%)
Operating Income		$	34			$	89				(162	%)		$	124			$	218				76	%
Natural Gas Distribution Operating Data:
Throughput data in BCF
Residential			54				53				(2	%)			152				172				13	%
Commercial and Industrial			64				65				2	%			224				232				4	%
Total Throughput			118				118				—				376				404				7	%
Weather (average for service area)
Percentage of 10-year average:
Heating degree days			95	%			93	%			(2	%)			88	%			96	%			8	%
Average number of customers:
Residential			2,909,673				2,944,729				1	%			2,883,927				2,931,523				2	%
Commercial and Industrial			244,030				248,824				2	%			243,265				246,993				2	%
Total			3,153,703				3,193,553				1	%			3,127,192				3,178,516				2	%

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.

CenterPoint Energy, Inc. and Subsidiaries
Results of Operations by Segment
(Millions of Dollars)
(Unaudited)

		Competitive Natural Gas Sales and Services
		Quarter Ended												Twelve Months Ended
		December 31,								% Diff				December 31,								% Diff
		2006				2007				Fav/(Unfav)				2006				2007				Fav/(Unfav)
Results of Operations:
Revenues		$	908			$	864				(5	%)		$	3,651			$	3,579				(2	%)
Expenses:
Natural gas			867				836				4	%			3,540				3,467				2	%
Operation and maintenance			7				8				(14	%)			30				31				(3	%)
Depreciation and amortization			—				1				—				1				5				(400	%)
Taxes other than income taxes			1				—				100	%			3				1				67	%
Total			875				845				3	%			3,574				3,504				2	%
Operating Income		$	33			$	19				(42	%)		$	77			$	75				(3	%)
Competitive Natural Gas Sales and Services Operating Data:
Throughput data in BCF
Wholesale — third parties			84				73				(13	%)			335				314				(6	%)
Wholesale — affiliates			9				2				(78	%)			36				9				(75	%)
Retail & Pipeline			46				55				20	%			184				199				8	%
Total Throughput			139				130				(6	%)			555				522				(6	%)
Average number of customers:
Wholesale			140				237				69	%			140				235				68	%
Retail & Pipeline			6,697				6,870				3	%			6,590				6,801				3	%
Total			6,837				7,107				4	%			6,730				7,036				5	%

		Interstate Pipelines
		Quarter Ended												Twelve Months Ended
		December 31,								% Diff				December 31,								% Diff
		2006				2007				Fav/(Unfav)				2006				2007				Fav/(Unfav)
Results of Operations:
Revenues		$	89			$	152				71	%		$	388			$	500				29	%
Expenses:
Natural gas			8				28				(250	%)			31				83				(168	%)
Operation and maintenance			23				40				(74	%)			120				125				(4	%)
Depreciation and amortization			9				12				(33	%)			37				44				(19	%)
Taxes other than income taxes			5				1				80	%			19				11				42	%
Total			45				81				(80	%)			207				263				(27	%)
Operating Income		$	44			$	71				61	%		$	181			$	237				31	%
Pipelines Operating Data:
Throughput data in BCF
Transportation			221				336				52	%			939				1,216				29	%

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.

CenterPoint Energy, Inc. and Subsidiaries
Results of Operations by Segment
(Millions of Dollars)
(Unaudited)

		Field Services
		Quarter Ended												Twelve Months Ended
		December 31,												December 31,
										% Diff												% Diff
		2006				2007				Fav/(Unfav)				2006				2007				Fav/(Unfav)
Results of Operations:
Revenues		$	36			$	50				39	%		$	150			$	175				17	%
Expenses:
Natural gas			(6	)			5				(183	%)			(10	)			(4	)			(60	%)
Operation and maintenance			17				17				—				59				66				(12	%)
Depreciation and amortization			2				3				(50	%)			10				11				(10	%)
Taxes other than income taxes			—				1				—				2				3				(50	%)
Total			13				26				(100	%)			61				76				(25	%)
Operating Income		$	23			$	24				4	%		$	89			$	99				11	%
Field Services Operating Data:
Throughput data in BCF
Gathering			96				102				6	%			375				398				6	%

		Other Operations
		Quarter Ended												Twelve Months Ended
		December 31,												December 31,
										% Diff												% Diff
		2006				2007				Fav/(Unfav)				2006				2007				Fav/(Unfav)
Results of Operations:
Revenues		$	3			$	2				(33	%)		$	15			$	10				(33	%)
Expenses			(2	)			6				(400	%)			17				15				12	%
Operating Income (Loss)		$	5			$	(4	)			(180	%)		$	(2	)		$	(5	)			(150	%)

Capital Expenditures by Segment
(Millions of Dollars)
(Unaudited)

		Quarter Ended								Twelve Months Ended
		December 31,								December 31,
		2006				2007				2006				2007
Capital Expenditures by Segment
Electric Transmission & Distribution		$	111			$	97			$	389			$	401
Natural Gas Distribution			54				56				187				191
Competitive Natural Gas Sales and Services			4				2				18				7
Interstate Pipelines			259				55				437				308
Field Services			24				19				65				74
Other Operations			7				8				25				30
Total		$	459			$	237			$	1,121			$	1,011

Interest Expense Detail
(Millions of Dollars)
(Unaudited)

		Quarter Ended								Twelve Months Ended
		December 31,								December 31,
		2006				2007				2006				2007
Interest Expense Detail
Amortization of Deferred Financing Cost		$	13			$	20			$	53			$	62
Capitalization of Interest Cost			(4	)			(3	)			(10	)			(21	)
Transition Bond Interest Expense			32				30				130				123
Other Interest Expense			108				118				427				462
Total Interest Expense		$	149			$	165			$	600			$	626

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.

CenterPoint Energy, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Millions of Dollars)
(Unaudited)

		December 31,				December 31,
		2006				2007
ASSETS
Current Assets:
Cash and cash equivalents		$	127			$	129
Other current assets			2,868				2,659
Total current assets			2,995				2,788
Property, Plant and Equipment, net			9,204				9,740
Other Assets:
Goodwill			1,705				1,696
Regulatory assets			3,290				2,993
Other non-current assets			439				655
Total other assets			5,434				5,344
Total Assets		$	17,633			$	17,872
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities:
Short-term borrowings		$	187			$	232
Current portion of transition bond long-term debt			147				159
Current portion of other long-term debt			1,051				1,156
Other current liabilities			2,836				2,244
Total current liabilities			4,221				3,791
Other Liabilities:
Accumulated deferred income taxes, net and investment tax credit			2,362				2,266
Regulatory liabilities			792				828
Other non-current liabilities			900				813
Total other liabilities			4,054				3,907
Long-term Debt:
Transition bond			2,260				2,101
Other			5,542				6,263
Total long-term debt			7,802				8,364
Shareholders’ Equity			1,556				1,810
Total Liabilities and Shareholders’ Equity		$	17,633			$	17,872

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.

CenterPoint Energy, Inc. and Subsidiaries
Condensed Statements of Consolidated Cash Flows
(Millions of Dollars)
(Unaudited)

		Twelve Months Ended December 31,
		2006				2007
Cash Flows from Operating Activities:
Net income		$	432			$	399
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			655				696
Deferred income taxes and investment tax credit			(241	)			—
Tax and interest reserves reductions related to ZENS and ACES			(107	)			—
Write-down of natural gas inventory			66				11
Changes in net regulatory assets			79				81
Changes in other assets and liabilities			108				(425	)
Other, net			(1	)			12
Net Cash Provided by Operating Activities			991				774
Net Cash Used in Investing Activities			(1,056	)			(1,300	)
Net Cash Provided by Financing Activities			118				528
Net Increase in Cash and Cash Equivalents			53				2
Cash and Cash Equivalents at Beginning of Period			74				127
Cash and Cash Equivalents at End of Period		$	127			$	129

Reference is made to the Notes to the Consolidated Financial Statements
contained in the Annual Report on Form 10-K of CenterPoint Energy, Inc.