Atmos Energy Corporation
2015 Summary Annual Report
Safety: Our Core Value
For Atmos Energy, safety is far more than a program, department
or investment. It is a value that we ascribe to and observe in all
we do. It is all-inclusive in our strategy and inherent in our culture.
Cover Travis Cooper (left), an operations manager, and Quint
Nance, a senior field construction coordinator, both in the Mid-Tex
Division, inspect construction in East Texas on Atmos Energy’s largest
current capital project.
The multi-year job will install about 62 miles of 30-inch coated steel
pipe in two segments on Atmos Pipeline –Texas’ transmission system.
When completed in fiscal 2016, the new pipeline will transport natural
gas from our storage fields to help meet rising demands in the
Dallas-Fort Worth Metroplex from Mid-Tex customers and from other
local distribution companies.
The project also will substantially improve service reliability. Although
hampered by heavy rains, the pipeline project remains on schedule—
a tribute to the engineering and project management expertise of the
teams responsible for our infrastructure program.
Atmos Energy continues to modernize its pipeline infrastructure to
make it even safer and more reliable. During the past five years,
we have invested approximately $4.0 billion to fortify, replace or
expand our system. We plan to increase our spending on pipeline
modernization by more than 50 percent through fiscal 2020.
Atmos Energy’s natural gas transmission and distribution
pipelines span almost 76,000 miles and range in size from
2 inches to 36 inches in diameter. We also have some 3.1
million service lines that carry gas from our mains to our
customers’ premises.
Our pipelines, which were installed over many decades,
are made of various materials. The most common types are
coated steel and polyethylene plastic. However, we also have
pipelines made of cast iron, bare steel and vintage plastic.
Our modernization program along with federal and state
compliance rules and regulations determine the pipeline
assets selected for repair or replacement every year.
Investing in Infrastructure
Distribution Main Annual Replacement Mileage
25%–30%
120%
s
e
l
i
M
600
500
400
300
200
100
0
2010
2015
2020
During the past five years, the number of miles of pipeline
we have replaced annually has increased by 120 percent.
We expect that our annual replacements will go up another
25 percent to 30 percent during the next five years.
Modernizing
and Improving
Our Pipeline
Infrastructure
A major replacement project in our West Texas Division near
Amarillo involves constructing a new 16-inch coated steel pipeline to retire
an aging bare steel line installed in the 1930s. Engineer Matt McDonald (left)
and Dustin Crosley, Amarillo operations supervisor, test the wall thickness of
the existing pipe before it is tied in with the new line.
2
3
In Marrero, Louisiana, the main natural gas artery serving our
customers on the west bank of the Mississippi River in the Greater New
Orleans Region is being replaced by our Louisiana Division. The pipeline,
installed some 70 to 80 years ago, is one of our many modernization
projects across the state. The division expects to replace over many years
a significant portion of its distribution mains as well as aging meters, risers,
regulator stations and town border stations. Below: A collection of sensitive
instruments, called a “smart pig,” is sent through a pipeline to detect cracks,
corrosion, dents or deterioration that might cause a failure. We regularly
inspect our pipelines as part of our pipeline integrity management programs.
Training Our
Employees
To assist in assessing a pipeline’s condition, we use field instrumenta-
tion and engineering analysis to identify anomalies, cracks, deterioration
or corrosion that might occur. We also conduct hydrostatic testing when
needed to ensure that a pipeline can operate in excess of its normal oper-
ating pressure and during peak-service periods.
The obvious benefit of our modernization program is safer and more
reliable service for our customers and the communities we serve. Fortu-
nately, we have received approvals for very balanced regulatory mechanisms
to support the necessary investments to make these improvements.
Furthermore, our customers’ bills have remained relatively flat despite
our modernization expenditures. The abundance and low cost of natural
gas in the United States today is keeping our average residential bills very
affordable—a situation that we anticipate will remain for years to come.
Our natural gas customers are
seeing virtually no effect on their
bills from our investing in pipeline
infrastructure. Since fiscal 2007, our
average monthly residential bills,
adjusted for seasonality, have been
below $62. We expect our bills to
remain affordable through fiscal
2020 because of the country’s abun-
dant supplies of low-cost natural
gas. In fiscal 2015, our average
monthly residential bill of $52 was
the lowest among all household
utility bills, based on comparable
regional or national data.
Monthly Utility Bills
Atmos Energy Annualized Monthly Residential Bills
Natural Gas $52
Cable TV $77
Electricity $128
Water & Sewer $137
Mobile Phone $138
See data sources on page 36.
Average Customer Bill Remains Affordable
$70
$60
$50
$40
$30
$20
$10
$0
$58
$58
$52
07 08 09 10 11 12 13 14 15 16E 17E 18E 19E 20E
Estimated bills for fiscal 2016 through fiscal 2020 are based on normal weather.
On the surface, natural gas distribution and transmission
may appear to be simple, but underground it’s another
story. There, complicated technologies, nearly $7.5 billion
of net assets and thousands of pages of federal and state
regulations and our own standards all interact. To render
safe and reliable service requires that our service tech-
nicians and construction and maintenance operators be
not only dedicated, but also highly trained.
Since opening in 2010,
Atmos Energy’s Charles K. Vaughan
Center has conducted more than
37,000 hours of training for nearly
3,800 employees, who have taken
about 400 classes. The center offers
some 15 standard courses and is in
use nearly full time.
Our Charles K. Vaughan Center marked its fifth anniversary
in 2015 as the gas industry’s best-in-class training facility. The
center offers fully equipped classrooms and labs along with
two highly advanced facilities for hands-on learning. Inside
the 48,600-square-foot center is the Flow Lab, containing
every type of gas regulation, control and metering device used
on our system. Outside on the 11-acre site is Gas City, a simu-
lated neighborhood with apartments, single-residence houses,
commercial buildings and city streets. Its flexibility reinforces
our employees’ training for all types of real-life scenarios.
4
5
Gas Games, a friendly
competition among Atmos
Energy’s field employees, rein-
forces technical skills and the
underlying principle that safety
is integral to everything we do.
Technical Training
FISCAL YEAR
2011
2012
2013
2014
2015
Number of
Classes
Number of
Employees
Total Training
Hours
79
77
53
75
104
802
708
415
762
1,070
24,508
20,150
12,123
21,016
37,209
Our employees are well-trained professionals.
Field employees spend approximately one-fifth of
their time in the classroom and four-fifths practicing
skills. Back at work, their learning continues with on-
the-job training guided by senior technicians at their
locations. In addition, a cadre of Safety Champions
lead monthly safety huddles to discuss best practices
with their peers.
Continual training and certification for all field
employees is mandatory, so that they meet federal
Operator Qualification (OQ) standards. A field
employee cannot turn a valve, set a meter or locate
an underground pipeline without having up-to-date
OQ certification.
One of the most valuable lessons we teach is not a
technical skill—it’s a leadership skill. Called Coaching
in the Moment, this important technique prepares
our employees to talk courteously, but clearly, with
others about working safely.
Our employees are empowered to protect them-
selves, their fellow workers and the public by commu-
nicating openly and honestly at all times. Safety
is always our first priority.
Table-top safety exercises stress internal de-
velopment and coordination with our communities. At a drill
for our Mississippi Division employees, Scott Powell, Atmos
Energy’s director of safety, security and compliance, outlines a
scenario to test emergency plans and responses and to help
ensure our employees are prepared.
Fiscal 2015 Training Hours
Technical training at Vaughan Center
Offsite technical training
Safety training
Operator Qualification and
compliance training
37,209
8,988
81,945
19,816
We make annual evaluations of our emer-
gency plans and provide e-learning for field employees to
inform them about changes in procedures, such as installing
excess flow valves on new and replaced customer service lines.
6
7
Our service employees are much better
trained today, using improved techniques,
technologies and tools. They rely on care-
fully designed safety procedures when re-
sponding to all natural gas service requests.
They are especially vigilant when handling
any emergency call, whether it’s a suspect-
ed gas leak or a situation involving a haz-
ardous gas release.
We train our employees to evaluate every situa-
tion carefully, to rely on engineering controls, to
always protect customers and the public first and
to safeguard local first responders from taking
undue risks.
Hazard prevention is standard procedure at
Atmos Energy and is rooted in our safety policies,
personal protective equipment practices, Material
Safety Data Sheet procedures, hazardous sub-
stance training as well as basic and advanced
skills courses.
Trevor Brewer (center), a senior service technician
in our Kentucky/Mid-States Division at Columbia, Tennessee,
is one of the company’s Safety Champions. They share
their knowledge about proper operating procedures with
fellow employees and encourage their peers to discuss ways
to improve safety on the job and at home.
Protecting
Our Employees
Shoring is an extension of the personal protective equipment that
our employees must use. All excavations below a specific depth must be
protected with proper shoring equipment or the ditch must be tiered to
proper standards to avoid a cave-in. Advanced training is required for
employees who are authorized to supervise these types of excavations.
8
9
Equally critical is driving safety for our 4,000 vehicles. We
provide employees training for backing, Smith System driver’s
education and first-person videos by our own employees who
impart lessons learned to their colleagues. We are installing
on all vehicles new flashing lights to signal when the vehicle’s
brakes are applied; the warning lights have proved highly
effective at reducing collisions. We also are using inside our
vehicles DriveCam® video technology, which records an
employee’s performance behind the wheel for training and
accident prevention.
Our Enterprise Safety Committee sponsors some 220
operational safety-team leads. They organize safety hud-
dles at company locations and develop Safety Champions
who coach their peers. In safety huddles, employees share
stories about their own experiences to help our organiza-
tion improve based on the real-life learning of these em-
ployees and their inherent credibility with fellow employees.
Improved technologies, such as this remote methane
leak detector, help keep our employees safe while they protect the
public. An RMLD can quickly and efficiently detect a natural gas
leak up to 100 feet away and is used for leak surveying and respond-
ing to emergency calls.
Professional driver’s training and backing training are
part of our core learning program for all field technicians, who operate
some 4,000 vehicles in daily service.
Health and Wellness
33,000 pounds
lost by 3,900 employees
and spouses since 2010
Our health and wellness programs
have helped 3,900 employees and their spouses work
and live at their best by shedding 33,000 pounds
since the programs began in 2010. Besides improving
fitness and lowering medical insurance costs, our
programs encourage employees to avoid injuries.
Damage prevention seminars for professional
excavators encourage calling 811 before digging and stress industry
best practices for safe excavation. In Austin, Texas, Texas811, the
Austin Fire Department and Atmos Energy demonstrated not only
how to dig safely, but also steps to take if a natural gas line is hit.
Pipeline leaks are a primary safety focus of all
natural gas utilities, with extensive precautions
taken to prevent, detect and repair them.
Eliminating Leaks
and Third-Party
Damages
Leaks occur for various reasons, but one of the leading
causes is damage to pipelines caused by third parties. This
typically is the result of careless excavation, often when an
excavator violates state law by failing to have buried utility
facilities located and marked. Anyone excavating at depths
greater than the state requirement must, by law, call the
universal toll-free 811 number. The 811 Center then dis-
patches professional line locators to find all underground
utility lines in the area and to mark them with colored flags
and paint to guide safe digging. This service is provided
at no cost to the excavator.
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11
Our damage prevention efforts have yielded a steady
decline in damages to our pipeline systems. Since 2010, we
have reduced damages per 1,000 line locates by 11 percent.
That improvement is all the more impressive in light of the
economic development activities in our service areas that
have caused annual requests for facility-locates to rise by 24
percent since 2010 to more than 1.9 million annual requests.
Eliminating third-party damages requires vigilance and
diligence by our damage prevention specialists, who contact
repeat offenders to seek their cooperation to observe the
law and to protect their workers and the public.
An especially important part of our damage prevention
program is sponsoring training and meetings by our state
One-Call organizations to reach professional excavators.
We are a Gold Sponsor of the national Common Ground
Alliance and we are a strong ally with our states’ damage
prevention councils to promote safety.
Along with fewer damages, the number of active leaks on
our system has declined by 31 percent since 2010.
We continue to seek better leak detection technologies
as part of our comprehensive safety strategy. Innovative
gas-analysis instruments, involving mass spectroscopy, are
approximately 1,000 times more sensitive than traditional
leak detection equipment and are capable of sensing gas
leaks down to one part per billion in ambient air while
reducing false positives from naturally occurring methane.
We are conducting tests with this equipment mounted in
a vehicle to determine whether the technology can measure
and monitor methane levels from gas pipeline leaks, as
compared to methane emissions from countless other
sources, such as farm animals, vehicles and pollution.
In the center of downtown Dallas, Atmos Energy
is testing an advanced leak detection technology that is much more
sensitive for identifying methane releases than conventional methods.
The instrumentation is installed in a standard SUV, making it highly
mobile and allowing sampling to occur at driving speeds. The tech-
nician driving the vehicle also is informed in real time of potential
leaks that can be investigated promptly. Right: Brandon Nelson,
a compliance specialist in the Mid-Tex Division, and Tamera Hewitt,
a geographic information system specialist in the division, evaluate
maps from a survey to help identify areas needing closer attention
for potential leaks.
An existing natural gas pipeline (below) is located by
Jeff Knight, a crew leader in the Louisiana Division, in preparation
to install a new main to serve additional customers in Covington. Line
locators use colored flags and temporary spray paint to mark the routes
of all underground utility facilities, so that excavators know to dig only
by hand within tolerance zones around the buried lines. Line-locating
of utility lines is provided to the public free of charge.
Targeted Infrastructure Replacement
Bare Steel, Cast Iron and Early Generation Plastic
975
1,950
s
e
l
i
M
8,000
6,000
4,000
2,000
0
2010
2015
2020
Replacing aging pipeline infrastructure and service lines helps reduce
potential leaks on our system. Since fiscal 2010, we have replaced nearly
1,000 miles of pipelines. We plan to double our replacements by fiscal 2020.
12
13
Increasing public awareness about natural gas safety is the best and most
effective defense to prevent pipeline incidents.
Since 2006, Atmos Energy has conducted one of the industry’s best public awareness
programs to reach the 23 million adults in our service areas, 31,000 public and school
officials, 13,000 emergency officials and 219,000 professional excavators. Independent
opinion research shows that our messages are getting through.
A compelling example is Call 811. Since the national One-Call number went into effect
in 2007, pipeline damages on Atmos Energy’s system have dropped dramatically, declining
from 4.0 damages per 1,000 line locates in 2008 to 2.8 in 2015.
According to the Common Ground Alliance, calling 811 has reduced the risk of
damaging a pipeline to less than 1 percent if an excavator calls 811, waits until the buried
utility lines are marked and then observes the markings on the ground while digging.
Calling 811, the national
toll-free number to have
all underground utility lines
located and marked, has dra-
matically reduced third-party
damages to pipelines and
utility facilities. We publicize
calling 811 through regional
and national advertising, cus-
tomer bill inserts, community
safety events, damage preven-
tion programs for professional
excavators and support for the
national Common Ground
Alliance and our states’ dam-
age prevention councils.
At a day-long, free workshop about the
science, engineering and technology of natural gas distri-
bution systems, pipeline inspectors from states in which we
operate learn to fuse high-density polyethylene pipe. The
training, held at our Charles K. Vaughan Center, gives the
officials, many who are new to their job, hands-on experi-
ence with typical assets they will find in our operations.
Increasing Public Awareness
about Pipeline Safety
Raising awareness with school officials about pipeline
safety, especially at schools near our high-pressure pipeline rights
of way, is a major program we began in 2015. At the Caddo Mills
Middle School in Caddo Mills, Texas, Terry Katenkamp, a field
construction coordinator in our Mid-Tex Division, shows Principal
Anne Payne the safest route for buses to take away from our trans-
mission line in case of an evacuation.
14
15
Anthony Tetto, a senior consultant for AEGIS, our primary insurance provider, leads a Loss Control
Review at our Mississippi Division. Drawing upon utility engineering and risk assessment expertise from
throughout North America, AEGIS provides an objective review of our operating procedures and practices
to help us identify potential problem areas and improve public and employee safety. In the assessment
meetings, key operating, engineering and support personnel review safety policies, practices and programs.
We cooperate and coordinate with first responders to safeguard our
communities. In Basehor, Kansas, Bruce Main, a crew leader in our Colorado-Kansas
Division, conducts Natural Gas 101 training for the Fairmount Township Fire Department.
Atmos Energy employees have provided this training for more than 1,700 first responders
in 46 communities. Chiefs and training officers from many fire departments have praised
our program, but those who lead rural or volunteer fire departments have been especially
appreciative because of their limited training resources. In Mississippi, our program has
been adopted as part of the state fire marshal training.
To protect our customers and the public, our centralized dispatch
center maintains around-the-clock readiness for emergency calls. We
regularly audit our emergency-call procedures and closely monitor
response times. We constantly strive to improve our performance.
Atmos Energy has been a supporter of stronger safety legislation
and regulations. A showcase example of effective regulation is the
natural-gas pipe testing requirement for all Texas schools. It has virtu-
ally eliminated school gas leaks. Similarly, pipeline damage preven-
tion laws in Virginia and Louisiana have lowered third-party damages
and have helped dissuade careless excavators from working in these
states. We are presently advocating, along with other members of the
American Gas Association, reauthorization by Congress of the federal
Pipeline Safety Act.
Cross-bore Safety
Our new cross-bore safety program
warns those most at risk, such as Leon Molinario of
Leon’s Plumbing in Metairie, Louisiana, while the
program seeks to eliminate an unforeseen hazard.
A cross bore is a natural gas or other utility line that
inadvertently was installed through a sewer pipe. If a
clog develops, plumbers and drain-cleaning technicians
usually use a power augur to remove the blockage.
Instead, we encourage them to use a video camera first
to see if a cross bore is present. Here, Joseph Dimm,
a senior service technician in the Louisiana Division,
provides assistance.
Measuring Our
Safety Progress
How do you know whether your
company is the safest natural gas
distributor in the country?
Atmos Energy consistently rates better than industry averages
on all safety measures reported by the American Gas Associ-
ation and by other industry organizations. We also score below
the national averages for employee accidents reported by
the federal Occupational Safety and Health Administration.
We focus on measuring three areas of safety. System safety
includes excavation damages, leaks found, age of open leaks
and unprotected bare-steel pipeline mileage. Employee safety
tracks primarily employee injuries and vehicle collisions.
Public safety looks at emergency response times.
Although we have multiple safety goals to achieve within
each of these three areas, we are more concerned with mea-
suring our overall progress of being incident-free every day,
the top goal we strive for in our culture of safety.
3 Types of Safety Measures
System Safety
Employee Safety
Public Safety
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17
To improve our performance, we participate
in the AGA’s peer-evaluation program of safety
practices. Beginning with 10 pilot companies, the
program now has 50 participating utilities. Its key
topics are: a culture of safety, worker procedures
and risk management.
We also participate in quarterly outside audits
of company safety processes. Conducted by our
primary insurance provider, these Loss Control
Reviews are rotated among our operating divisions
to examine and assess safety procedures and to
share best practices.
We are especially proud that Atmos Energy em-
ployees have taken leading roles on safety commit-
tees at both the AGA and the Southern Gas Asso-
ciation. And, in key safety measures, Atmos Energy
has a robust process for continuous improvement.
It encourages enhancements to safety procedures
and processes as we adopt new technologies and
modernize our pipeline infrastructure.
Accurate and up-to-date records are essential
to document all the work we do on our pipelines, whether installing
a new facility, repairing it, reconfiguring it or replacing it. We have
launched a major information technology project to deliver state-of-
the-art recordkeeping for our construction and replacement projects.
Above, Daniel Waguespack, Lousiana Division compliance manager,
notes changes to be made to an existing installation.
Key Safety Results: 2010–2015
Active leaks down
Enterprise damage rate down
Employee injuries down
Approximate miles of bare steel,
cast iron and early-generation
plastic pipe replaced
31%
19%
35%
1,000
Our goal at Atmos Energy is to be
the safest natural gas provider in the United
States. We take pride in all our achievements
and improvements. Yet, we remain focused
on being incident-free every day. Safety is our
core value.
Staying Focused on Safety
Invest in employees and infrastructure
Explore innovative technologies to enhance safety
Conduct rigorous, multi-year planning for continuous improvement
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19
Pipeline Modernization
Our strategy is to grow by investing in our regulated assets to
increase their safety and reliability. Through fiscal 2020, we
expect to spend between $5.4 billion and $6.4 billion to replace,
fortify and expand pipelines and service lines. Work is under way
near Canton, Texas, on one of our largest projects. We are
adding 62 miles of new pipelines to boost reliability and to meet
our customers’ growing demand for natural gas.
To Our Shareholders
In fiscal 2015, we made spectacular progress on our quest to become the nation’s safest natural gas distributor.
575 miles
148,000 hours
Highly Advanced Technology
We replaced 575 miles
of aging natural gas
distribution and trans-
mission pipelines to
enhance the safety and
reliability of our system.
We provided nearly
148,000 hours of
technical and safety
training to our service
and construction tech-
nicians to help them
render even safer, more
reliable and superior
customer service.
We also did very well financially.
We began evaluating the latest and most advanced
technology designed to detect pipeline leaks, and we
launched a multi-year information technology project
to manage and document the construction in our
pipeline modernization program.
$3.09 EPS
$1.56|share
25.5 percent
$63.77|share
Earnings per diluted
share grew for the 13th
consecutive year in fiscal
2015, and net income
increased by 8.7 percent
to $315.1 million, as
compared to $289.8
million in fiscal 2014.
Our fiscal 2015 cash
dividend was $1.56 per
share. In November
2015, the board of
directors continued our
consecutive annual div-
idend increases for the
32nd year by raising the
indicated rate for fiscal
2016 by 7.7 percent to
$1.68 per share.
The capital investments we are making to replace, fortify
and expand our distribution and transmission assets are
driving our financial results.
Since fiscal 2010, our capital spending has risen at a
compounded annual growth rate of 12.4 percent to reach
$975 million in fiscal 2015. More than 75 percent of our
investment during the past five years has been dedicated
to safety and reliability projects.
This significant increase in capital investment has oc-
curred because most regulators in our market areas have
approved constructive and balanced rate mechanisms.
These mechanisms provide for the recovery of more than
90 percent of our capital within six months of the test year.
Total shareholder return
in fiscal 2015 was 25.5
percent.
The market price of our
stock reached an all-
time high on November
4, 2015, of $63.77
a share.
Kim R. Cocklin
Chief Executive Officer
The balanced regulatory environments in our markets
today are the result of relationships built on trust with our
regulators, legislators, community leaders and custom-
ers. These relations were fostered by our former CEO
and current chairman, Robert W. Best. Bob built upon the
foundation laid by our founder, Charles K. Vaughan, that
a successful utility is one that is trusted and is focused on
providing safe, reliable and competitively priced service.
21
Earnings Growth Through Infrastructure Investments and Rate Mechanisms
Constructive regulatory mechanisms support efficient conversion of our rate-base growth opportunities into our financial results.
$1.0 billion to $1.4 billion in annual
capital investments through 2020
Constructive rate mechanisms
reducing regulatory lag
6% to 8% annual EPS growth
s
r
a
l
l
o
d
f
o
s
n
o
i
l
l
i
b
n
i
e
s
a
b
e
t
a
R
$10.0
$8.0
$6.0
$4.0
$2.0
$0.0
>90%
2015
2020E
Regulated Pipeline
Regulated Distribution
Earning on Annual Investments:
Within 0–6 Months
Within 7–12 Months
Greater than 12 Months
$5.00
$4.00
$3.00
$2.00
$1.00
$0.00
2015 2016E 2020E
Large Investments, Yet Low Customer Bills
Regulatory authorities in the states we serve recognize the
critical need to accelerate capital outlays to continue to
make our safe system even safer. With the resulting rate
mechanisms in place today, we plan to continue investing
in our pipeline infrastructure program far into the future.
Equally important, even with these large expenditures
for improvements, the average monthly bill for our service
remains very affordable.
Our average residential bill, adjusted for seasonality,
has averaged less than $60 a month since 2007, and we
expect our residential bills will remain in that range for
at least several more years.
After taking inflation into account, we expect our bills
will actually go down. This positive benefit is occurring
because natural gas continues to be abundant, affordable,
domestically available and clean. Reputable forecasts show
prices supporting this outcome for at least the next decade.
The net effect is that we are significantly upgrading our
infrastructure—with all the incumbent benefits of public
safety and reliability of gas deliveries even on the coldest
days—without our customers paying more for these
service improvements.
Atmos Energy’s annualized monthly gas bills, in fact,
may be one of the lowest costs in the household budget of
our average residential customer, as shown on page 4.
Financial Results
Contributions to fiscal 2015 net income were $205 million
from regulated distribution operations, $94 million from
regulated pipeline operations and $16 million from
nonregulated operations.
Our financial performance continues to reflect the
successful implementation of our long-term strategy of
enhancing the safety and reliability of our infrastructure.
Fiscal 2015 benefited from rate outcomes approved in
fiscal 2014 and 2015; they increased our regulated gross
profit by $118 million.
Additionally, weather, which was 8 percent colder than
normal in fiscal 2015, contributed 5 cents per diluted share
of earnings for the year.
Recent rate-design changes in Tennessee, Mississippi
and Colorado are expected to support increased capital
investments in those states in the future.
At September 30, 2015, our balance sheet had a debt-
to-capitalization ratio of 47.7 percent, compared to 46.2
percent at year-end in fiscal 2014. The company also had
nearly $900 million in net liquidity to meet anticipated
financial needs.
In late September 2015, we replaced an existing $1.25
billion revolving credit agreement, which was set to expire
in August 2019, with a new $1.25 billion revolving credit
agreement through September 2020 on substantially
the same terms. The new credit agreement retains an
“accordion” feature, which allows us the opportunity to
increase the facility to $1.5 billion.
Our strong financial position contributed to the recent
upgrade of our corporate credit rating to A by Fitch Ratings
and to an improvement in our outlook to Positive by
Standard & Poor’s.
Outlook
We will continue to execute our strategy of growth by
investing in our existing assets.
Our announced guidance for earnings per diluted
share in fiscal 2016 ranges between $3.20 and $3.40,
excluding unrealized margins. Contributions to net income
from regulated operations are forecast to be between
$315 million and $355 million, and net income from
nonregulated operations is expected to be in the range of
$14 million to $19 million.
We operate approximately 76,000 miles of distribution
and transmission pipelines and more than 3.1 million
service lines connected to customers’ premises.
Our primary focus is to replace as soon as possible
all the remaining cast iron pipe in our system and to
evaluate for replacement all existing bare steel pipelines.
In addition, our modernization program will continue to
emphasize the replacement or fortification of older coated
steel pipelines and early-vintage plastic pipe.
We have replaced nearly 1,000 miles of cast iron, bare
steel and early-generation plastic pipe since 2010, and we
expect to double our replacement mileage during the next
five years.
We project our capital expenditures in fiscal 2016 to
be between $1.0 billion and $1.1 billion and our annual
capital expenditures from fiscal 2017 through fiscal 2020
to range between $1.1 billion and $1.4 billion.
Our total regulated rate base value is expected to grow
at a compounded annual growth rate between 9 percent
and 10 percent, from approximately $5.5 billion at year-
end of fiscal 2015 to between $8.5 billion and $9.0 billion
by fiscal 2020.
Accordingly, we project that earnings per diluted share
will increase between 6 percent and 8 percent a year. This
growth rate, combined with an attractive dividend, should
yield an overall shareholder return between 9 percent and
11 percent each year through fiscal 2020.
Management Changes
As part of our senior-management succession planning,
the board of directors announced promotions for two key
officers, effective October 1, 2015.
Michael E. Haefner, 55, was promoted
from executive vice president to president
and chief operating officer of Atmos
Energy Corporation. In this role, he has
oversight for Atmos Energy’s regulated
distribution divisions, customer service
operations, regulated intrastate pipeline
division, nonregulated operations and the gas supply and
services group. Mike also was elected to the board of
directors, effective November 4, 2015.
One of the most important responsibilities of the board
is to establish for the CEO position a succession plan
that is seamless and transparent to continue the success
of the company. It is equally important that the plan is
controlled by the board—that it is not required due to
poor operational performance, failing health or financial
distress. This plan reflects the board’s deliberate and
careful consideration and their confidence that succession
will be successful.
Mike had been executive vice president from January
2015 through September 2015 and had previously served
as senior vice president of human resources.
Before joining Atmos Energy in 2008, he had worked
for 10 years as senior vice president, human resources, at
Sabre Holdings Corporation, the parent company of Sabre
Airline Solutions, Sabre Travel Network and Travelocity.
He also held leadership positions within Sabre from 1991
to 1997 while it was a division of AMR Corporation, the
parent of American Airlines. Earlier, he had worked as an
outside management consultant for Xerox Corporation and
in computing research at Eastman Kodak Company.
Mike earned a bachelor’s degree in mathematics from
St. John Fisher College and a master’s degree in computer
science from State University of New York at Buffalo.
Mike has the vision, experience and leadership skills,
as well as the understanding of our culture and values, to
ensure our continued financial and operational success.
The board of directors also named
Marvin L. Sweetin, 52, to the newly created
position of senior vice president, safety
and enterprise services. Marvin had been
senior vice president, utility operations,
since 2011.
He also had served as vice president of
customer service, director of technical training and director
of procurement.
Before joining Atmos Energy in 2000, Marvin worked at
Atlantic Richfield for 13 years in various roles, supporting
petroleum exploration and production activities around
the world.
He earned a bachelor’s degree in petroleum engineering
technology from Oklahoma State University and a master’s
degree in business administration from the University
of Dallas.
Investing these two officers with increased responsibilities
for the company’s success helps ensure our progress
toward becoming the safest natural gas provider. Both
leaders have demonstrated managerial excellence and
made valuable contributions to our company.
They are supported by our 4,800 employees, who are
committed to serving our customers exceptionally well
while ensuring safety for themselves, their fellow employees
and the people in the 1,408 communities we serve. On
our journey to becoming the safest natural gas company,
we have the right employees in the right place, getting the
right results the right way.
Kim R. Cocklin
Chief Executive Officer
November 6, 2015
22
23
An Attractive Investment
Atmos Energy’s High-Growth Natural Gas Delivery Investment Proposition
One of the largest
all-natural-gas
distributors in the U.S.
• Competitve total shareholder return of 9% to 11%
• 6% to 8% forecasted EPS growth through fiscal 2020; attractive dividend yield
• About 95% of earnings are regulated and rate base driven
Diversified asset
base with constructive
rate regulation
• Regulated distribution assets in 8 states serving more than 3 million customers
• Favorably positioned regulated pipeline spans Texas shale-gas supply basins
• Constructive rate mechanisms reduce or eliminate regulatory lag
Strong rate base
growth and minimal
regulatory lag
• Strong forecasted regulated rate-base growth through fiscal 2020
• Annual regulated capital expenditures between $1.0 billion and $1.4 billion
through fiscal 2020; more than 80% to be spent on safety and reliability
• Earning on more than 90% of annual capital within 6 months; 96% within 12 months
Solid financial
foundation with consistent
performance
• 13 consecutive years of EPS growth; 32 consecutive years of dividend growth
• 7.7% increase in indicated dividend for fiscal 2016
• High investment-grade credit ratings (A-, A2, A) with ample liquidity
Financial Highlights
Year Ended September 30 — Dollars in thousands, except per share data
2015
2014
Change
Operating revenues
Gross profit
Regulated distribution net income
Regulated pipeline net income
Nonregulated net income
Total
Total assets
Total capitalization*
Net income per share — diluted
Cash dividends per share
Book value per share at end of year
Consolidated regulated distribution throughput (MMcf)
Consolidated regulated pipeline transportation volumes (MMcf)
Consolidated nonregulated delivered gas sales volumes (MMcf)
Meters in service at end of year
Return on average shareholders’ equity
Shareholders’ equity as a percentage of total capitalization
(including short-term debt) at end of year
Shareholders of record
Weighted average shares outstanding — diluted (000s)
$ 4,142,136
$ 1,680,017
$ 4,940,916
$ 1,582,426
(16.2)%
6.2%
$
$
204,813
94,662
15,600
315,075
$
$
171,585
86,191
32,041
289,817
19.4%
9.8%
(51.3)%
8.7%
$ 9,092,945
$ 5,650,185
3.09
$
1.56
$
31.48
$
$ 8,594,704
$ 5,542,218
2.96
$
1.48
$
30.74
$
429,322
528,068
351,427
3,151,312
10.0%
451,803
493,360
377,441
3,115,069
9.9%
52.3%
14,940
101,892
53.8%
15,807
97,608
5.8%
1.9%
4.4%
5.4%
2.4%
(5.0)%
7.0%
6.9%
1.2%
1.0%
(2.8)%
(5.5)%
4.4%
*Total capitalization represents the sum of shareholders’ equity and long-term debt, excluding current maturities.
Summary Annual Report
The financial information presented in this report about Atmos Energy Corporation is condensed. Our
complete financial statements, including notes as well as management’s discussion and analysis of our
financial condition and results of operations, are presented in our Annual Report on Form 10-K. Atmos
Energy’s chief executive officer and its chief financial officer have executed all certifications with respect to
the financial statements contained therein and have completed management’s report on internal control
over financial reporting, which are required under the Sarbanes-Oxley Act of 2002 and related rules and
regulations of the Securities and Exchange Commission. Investors may request, without charge, our Annual
Report on Form 10-K for the fiscal year ended September 30, 2015, by calling Investor Relations at
972-855-3729 between 8 a.m. and 5 p.m. Central time. Our Annual Report on Form 10-K also is avail-
able on Atmos Energy’s website at www.atmosenergy.com. Additional investor information is presented
on pages 35 and 36 of this report.
24
25
Atmos Energy at a Glance
Condensed Consolidated Balance Sheets
Year Ended September 30
Meters in service
Residential
Commercial
Industrial
Public authority and other
Total meters
Heating degree days*
Actual (weighted average)
Percent of normal
Regulated distribution sales volumes (MMcf)
Residential
Commercial
Industrial
Public authority and other
Total
Regulated distribution transportation volumes (MMcf)
Total regulated distribution throughput (MMcf)
Intersegment activity (MMcf)
Consolidated regulated distribution throughput (MMcf)
Consolidated regulated pipeline transportation volumes (MMcf)
Consolidated nonregulated delivered gas sales volumes (MMcf)
Operating revenues (000s)
Regulated distribution sales revenues
Residential
Commercial
Industrial
Public authority and other
Total regulated distribution sales revenues
Transportation revenues
Other gas revenues
Total regulated distribution revenues
Regulated pipeline revenues
Nonregulated revenues
Total operating revenues (000s)
Other statistics
Gross plant (000s)
Net plant (000s)
Miles of pipe
Employees
*Heating degree days are adjusted for service areas with weather-normalized operations.
2015
2014
Year Ended September 30 — Dollars in thousands, except share data
2015
2014
2,878,740
262,655
1,508
8,409
3,151,312
2,846,664
258,404
1,530
8,471
3,115,069
2,608
2,685
98%
102%
170,522
100,323
14,452
8,053
293,350
148,998
442,348
(13,026)
429,322
528,068
351,427
$ 1,761,689
772,187
74,981
53,401
2,662,258
67,475
27,852
2,757,585
97,662
1,286,889
$ 4,142,136
187,431
105,074
15,746
9,069
317,320
147,776
465,096
(13,293)
451,803
493,360
377,441
$ 1,933,099
876,042
90,536
64,779
2,964,456
64,049
27,707
3,056,212
92,166
1,792,538
$ 4,940,916
$ 9,240,100
$ 7,430,580
75,806
4,753
$ 8,447,700
$ 6,725,906
73,248
4,761
Assets
Property, plant and equipment
Construction in progress
Less accumulated depreciation and amortization
Net property, plant and equipment
Current assets
Cash and cash equivalents
Accounts receivable, less allowance for doubtful accounts of
$15,283 in 2015 and $23,992 in 2014
Gas stored underground
Other current assets
Total current assets
Goodwill
Deferred charges and other assets
Capitalization and Liabilities
Shareholders’ equity
Common stock, no par value (stated at $0.005 per share);
200,000,000 shares authorized; issued and outstanding:
2015 – 101,478,818 shares, 2014 – 100,388,092 shares
Additional paid-in capital
Accumulated other comprehensive loss
Retained earnings
Shareholders’ equity
Long-term debt
Total capitalization
Current liabilities
Accounts payable and accrued liabilities
Other current liabilities
Short-term debt
Total current liabilities
Deferred income taxes
Regulatory cost of removal obligation
Pension and postretirement liabilities
Deferred credits and other liabilities
$ 8,959,702
280,398
9,240,100
1,809,520
7,430,580
$ 8,200,121
247,579
8,447,700
1,721,794
6,725,906
28,653
42,258
295,160
236,603
70,569
630,985
742,702
288,678
$ 9,092,945
343,400
278,917
111,265
775,840
742,029
350,929
$ 8,594,704
507
$
2,230,591
(109,330)
1,073,029
3,194,797
2,455,388
5,650,185
238,942
457,954
457,927
1,154,823
1,411,315
427,553
287,373
161,696
$ 9,092,945
502
$
2,180,151
(12,393)
917,972
3,086,232
2,455,986
5,542,218
308,086
405,869
196,695
910,650
1,286,616
445,387
340,963
68,870
$ 8,594,704
26
27
Condensed Consolidated Statements of Income
Condensed Consolidated Statements of Cash Flows
Year Ended September 30 — Dollars in thousands, except per share data
2015
2014
2013
Year Ended September 30 — Dollars in thousands
2015
2014
2013
Operating revenues
Regulated distribution segment
Regulated pipeline segment
Nonregulated segment
Intersegment eliminations
Purchased gas cost
Regulated distribution segment
Regulated pipeline segment
Nonregulated segment
Intersegment eliminations
Gross profit
Operating expenses
Operation and maintenance
Depreciation and amortization
Taxes, other than income
Total operating expenses
Operating income
Miscellaneous expense, net
Interest charges
Income from continuing operations before income taxes
Income tax expense
Income from continuing operations
Income from discontinued operations, net of tax ($0, $0 and $3,986)
Gain on sale of discontinued operations, net of tax ($0, $0 and $2,909)
Net income
Basic earnings per share
Income per share from continuing operations
Income per share from discontinued operations
Net income per share — basic
Diluted earnings per share
Income per share from continuing operations
Income per share from discontinued operations
Net income per share — diluted
Weighted average shares outstanding:
Basic
Diluted
$ 2,763,835
370,112
1,472,209
(464,020)
4,142,136
1,526,258
—
1,399,349
(463,488)
2,462,119
1,680,017
541,868
274,796
231,958
1,048,622
631,395
(4,389)
116,241
510,765
195,690
315,075
—
—
315,075
$
$
$
$
$
3.09
—
3.09
3.09
—
3.09
$ 3,061,546
318,459
2,067,292
(506,381)
4,940,916
$ 2,399,493
268,900
1,587,914
(380,847)
3,875,460
1,885,031
—
1,979,337
(505,878)
3,358,490
1,582,426
1,318,257
—
1,524,583
(379,430)
2,463,410
1,412,050
505,154
253,987
211,936
971,077
611,349
(5,235)
129,295
476,819
187,002
289,817
—
—
289,817
2.96
—
2.96
2.96
—
2.96
$
$
$
$
$
488,020
235,079
187,072
910,171
501,879
(197)
128,385
373,297
142,599
230,698
7,202
5,294
243,194
2.54
0.14
2.68
2.50
0.14
2.64
$
$
$
$
$
101,892
101,892
97,606
97,608
90,533
91,711
Cash Flows from Operating Activities
Net income
Adjustments to reconcile net income to net cash
provided by operating activities:
Gain on sale of discontinued operations
Depreciation and amortization:
Charged to depreciation and amortization
Charged to other accounts
Deferred income taxes
Stock-based compensation
Debt financing costs
Other
Changes in assets and liabilities
Net cash provided by operating activities
Cash Flows Used in Investing Activities
Capital expenditures
Proceeds from the sale of discontinued operations
Other, net
Net cash used in investing activities
Cash Flows from Financing Activities
Net increase (decrease) in short-term debt
Net proceeds from issuance of long-term debt
Net proceeds from equity offering
Settlement of Treasury lock agreements
Repayment of long-term debt
Cash dividends paid
Repurchase of equity awards
Issuance of common stock
Net cash provided by financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year
$
315,075
$
289,817
$
243,194
—
—
(8,203)
274,796
1,209
192,886
27,491
5,922
(850)
19,990
836,519
(975,132)
—
377
(974,755)
254,780
493,538
—
13,364
(500,000)
(160,018)
(7,985)
30,952
124,631
(13,605)
42,258
28,653
253,987
969
189,952
25,531
9,409
(428)
(29,251)
739,986
(835,251)
—
(2,325)
(837,576)
(165,865)
—
390,205
—
—
(146,248)
(8,717)
4,274
73,649
(23,941)
66,199
42,258
$
236,928
679
141,336
17,814
8,480
(2,887)
(24,214)
613,127
(845,033)
153,023
(4,904)
(696,914)
(208,070)
493,793
—
(66,626)
(131)
(128,115)
(5,150)
46
85,747
1,960
64,239
66,199
$
$
28
29
Report of Independent Registered Public Accounting Firm on Condensed Financial Statements
Condensed Financial and Statistical Summary 2011–2015
The Board of Directors and Shareholders of Atmos Energy Corporation
Year Ended September 30
2015
2014
2013
2012
2011
We have audited, in accordance with the standards of the Public Company Accounting Oversight
Board (United States), the consolidated balance sheets of Atmos Energy Corporation at September 30,
2015 and 2014, and the related consolidated statements of income, comprehensive income,
shareholders’ equity, and cash flows for each of the three years in the period ended September 30,
2015 (not presented separately herein); and in our report dated November 6, 2015, we expressed
an unqualified opinion on those consolidated financial statements.
In our opinion, the information set forth in the accompanying condensed consolidated financial
statements as of September 30, 2015 and 2014 and for each of the three years in the period ended
September 30, 2015 (presented on pages 27 through 29) is fairly stated, in all material respects, in
relation to the consolidated financial statements from which it has been derived.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight
Board (United States), the effectiveness of Atmos Energy Corporation’s internal control over financial
reporting as of September 30, 2015, based on criteria established in Internal Control—Integrated
Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013
framework) and our report dated November 6, 2015 (not presented separately herein) expressed an
unqualified opinion thereon.
Dallas, Texas
November 6, 2015
Balance Sheet Data at September 30 (000s)
Capital expenditures
Net property, plant and equipment
Working capital
Total assets
Shareholders’ equity
Long-term debt, excluding current maturities
Total capitalization
Income Statement Data
Operating revenues (000s)
Gross profit (000s)
Income from continuing operations (000s)
Income from discontinued operations, net of tax (000s)
Net income (000s)
Income per share from continuing operations—diluted
Income per share from discontinued operations—diluted
Net income per diluted share
975,132
$
7,430,580
(523,838)
9,092,945
3,194,797
2,455,388
5,650,185
$ 4,142,136
1,680,017
315,075
—
315,075
3.09
—
3.09
835,251 $
845,033 $
732,858 $
$
6,725,906
(134,810)
8,594,704
3,086,232
2,455,986
5,542,218
6,030,655
(301,353)
7,934,268
2,580,409
2,455,671
5,036,080
5,475,604
(447,992)
7,495,675
2,359,243
1,956,305
4,315,548
622,965
5,147,918
143,355
7,282,871
2,255,421
2,206,117
4,461,538
$ 4,940,916 $ 3,875,460 $ 3,436,162 $ 4,286,435
1,300,820
1,582,426
189,588
289,817
18,013
—
207,601
289,817
2.07
2.96
0.20
—
2.27
2.96
1,323,739
192,196
24,521
216,717
2.10
0.27
2.37
1,412,050
230,698
12,496
243,194
2.50
0.14
2.64
Common Stock Data
Shares outstanding (000s)
End of year
Weighted average—diluted
Cash dividends per share
Shareholders of record
Market price— High
Low $
End of year
Book value per share at end of year
Price/Earnings ratio at end of year
Market/Book ratio at end of year
Annualized dividend yield at end of year
Customers and Volumes (as metered)
Consolidated regulated distribution sales
volumes (MMcf)
Consolidated regulated distribution transportation
volumes (MMcf)
Consolidated regulated distribution throughput (MMcf)
Consolidated regulated pipeline transportation
volumes (MMcf)
Consolidated nonregulated delivered gas
sales volumes (MMcf)
Meters in service at end of year
Regulated distribution average cost of gas per Mcf sold
Regulated distribution average transportation fee per Mcf
Statistics
Return on average shareholders’ equity
Number of employees
Net regulated distribution plant per meter
Regulated distribution operation and maintenance
expense per meter
Meters per employee—regulated distribution
Times interest earned before income taxes
$
$
$
$
$
101,479
101,892
1.56
14,940
58.81
47.35
58.18
31.48
18.83
1.85
2.7%
$
$
$
$
$
100,388
97,608
90,640
91,711
90,240
91,172
1.48 $
1.40 $
1.38 $
15,807
16,662
17,775
53.40 $
41.08 $
47.70 $
30.74 $
16.11
1.55
3.1%
45.19 $
33.20 $
42.59 $
28.47 $
16.13
1.50
3.3%
36.94 $
30.60 $
35.79 $
26.14 $
15.10
1.37
3.9%
90,296
90,652
1.36
18,680
34.98
28.87
32.45
24.98
14.30
1.30
4.2%
293,350
317,320
272,773
255,725
289,927
135,972
429,322
134,483
451,803
124,264
397,037
135,258
390,983
134,093
424,020
528,068
493,360
467,178
466,527
435,012
351,427
3,151,312
5.20
$
0.49
$
377,441
3,115,069
$
$
5.94 $
0.47 $
343,669
3,011,980
351,628
3,116,589
384,799
3,213,191
5.30
0.46
4.64 $
0.43 $
4.91 $
0.45 $
$
$
10.0%
4,753
1,799
123
688
4.19
$
$
9.9%
4,761
1,670 $
9.7%
4,720
1,567 $
9.3%
4,759
1,468 $
9.1%
4,949
1,362
124 $
679
4.63
126 $
662
4.01
118 $
680
3.27
111
676
3.13
30
31
Atmos Energy Officers
Atmos Energy Officers
Senior Management Team
Regulated Divisions
Nonregulated Operations
Shared Services (continued)
Kim R. Cocklin
Chief Executive Officer
J. Kevin Akers
President,
Kentucky/Mid-States Division
Mark S. Bergeron
President,
Atmos Energy Holdings, Inc.
Conrad E. Gruber
Vice President,
Strategic Planning
Michael E. Haefner
President and
Chief Operating Officer
Richard A. Erskine
President,
Atmos Pipeline–Texas Division
Bret J. Eckert
Senior Vice President and
Chief Financial Officer
David E. Gates
President,
Mississippi Division
Louis P. Gregory
Senior Vice President,
General Counsel and
Corporate Secretary
Marvin L. Sweetin
Senior Vice President,
Safety and
Enterprise Services
Gary W. Gregory
President,
Colorado-Kansas Division
Tom S. Hawkins Jr.
President,
Louisiana Division
John A. Paris
President,
Mid-Tex Division
David J. Park
President,
West Texas Division
Shared Services
Verlon R. Aston Jr.
Vice President,
Governmental and
Public Affairs
Clay C. Cash
Vice President,
Customer Service
Kenneth M. Malter
Vice President,
Gas Supply and Services
Kelli L. Martin
Vice President,
Workforce Development
John S. McDill
Vice President,
Pipeline Safety
Christopher T. Forsythe
Vice President and Controller
Edward Pace McDonald IV
Vice President, Tax
Susan K. Giles
Vice President,
Investor Relations
Richard J. Gius
Vice President and
Chief Information Officer
Daniel M. Meziere
Vice President and Treasurer
John M. Robbins
Vice President, Human Resources
32
33
Board of Directors
Corporate Information
Common Stock Listing
New York Stock Exchange. Trading symbol: ATO
Stock Transfer Agent and Registrar
American Stock Transfer & Trust Company, LLC
Operations Center
6201 15th Avenue
Brooklyn, New York 11219
800-543-3038
To inquire about your Atmos Energy common stock, please call
AST at the telephone number above. You may use the agent’s
interactive voice response system 24 hours a day to learn about
transferring stock or to check your recent account activity, all
without the assistance of a customer service representative. Please
have available your Atmos Energy shareholder account number
and your Social Security or federal taxpayer ID number.
To speak to an AST customer service representative, please call the
same number between 8 a.m. and 8 p.m. Eastern time, Monday
through Friday.
You also may send an email message on our transfer agent’s
website at www.amstock.com. Please refer to Atmos Energy in
your email message and include your Atmos Energy shareholder
account number.
Independent Registered Public Accounting Firm
Ernst & Young LLP
One Victory Park
Suite 2000
2323 Victory Avenue
Dallas, Texas 75219
214-969-8000
Form 10-K
Atmos Energy Corporation’s Annual Report on Form 10-K is avail-
able at no charge from Investor Relations, Atmos Energy Corpo-
ration, P.O. Box 650205, Dallas, Texas 75265-0205 or by calling
972-855-3729 between 8 a.m. and 5 p.m. Central time. Atmos
Energy’s Form 10-K also may be viewed on Atmos Energy’s website
at www.atmosenergy.com.
Annual Meeting of Shareholders
The 2016 Annual Meeting of Shareholders will be held at the
Charles K. Vaughan Center, 3697 Mapleshade Lane, Plano, Texas
75075 on Wednesday, February 3, 2016, at 9:00 a.m. Central time.
Direct Stock Purchase Plan
Atmos Energy has a Direct Stock Purchase Plan that is available to
all investors. For an Enrollment Application Form and a Plan
Prospectus, please call AST at 800-543-3038. The Prospectus is
also available at www.atmosenergy.com. You may also obtain
information by writing to Investor Relations, Atmos Energy Corpo-
ration, P.O. Box 650205, Dallas, Texas 75265-0205.
This is not an offer to sell, or a solicitation to buy, any securities of
Atmos Energy Corporation. Shares of Atmos Energy common stock
purchased through the Direct Stock Purchase Plan will be offered
only by Prospectus.
Atmos Energy on the Internet
Information about Atmos Energy is available on the Internet at
www.atmosenergy.com. Our website includes news releases,
current and historical financial reports, other investor data, corpo-
rate governance documents, management biographies, customer
information and facts about Atmos Energy’s operations.
Atmos Energy Corporation Contacts
To contact Atmos Energy’s Investor Relations, call 972-855-3729
between 8 a.m. and 5 p.m. Central time or send an email
message to InvestorRelations@atmosenergy.com.
Securities analysts and investment managers, please contact:
Susan K. Giles
Vice President, Investor Relations
972-855-3729 (voice) 972-855-3040 (fax)
InvestorRelations@atmosenergy.com
Robert W. Best
Chairman of the Board,
Kim R. Cocklin
Chief Executive Officer,
Richard W. Douglas
Executive Vice President,
Ruben E. Esquivel
Vice President for
Richard K. Gordon
General Partner of Juniper
Atmos Energy Corporation
Atmos Energy Corporation
Jones Lang LaSalle LLC
Community and Corporate
Energy LP and Co-founder
Dallas, Texas
Dallas, Texas
Dallas, Texas
Relations, UT Southwestern
of Juniper Capital II
Board member since 1997
Board member since 2009
Board member since 2007
Medical Center
Houston, Texas
Committee: Executive
(Chair)
Committees: Human
Dallas, Texas
Board member since 2001
Resources, Nominating and
Board member since 2008
Committees: Human
Corporate Governance,
Committees: Audit,
Resources (Chair),
Work Session/Annual Meeting
Human Resources
Executive, Nominating and
Corporate Governance
Robert C. Grable
Partner, Kelly Hart &
Hallman LLP
Fort Worth, Texas
Michael E. Haefner
President and Chief
Operating Officer,
Dr. Thomas C. Meredith
President, Effective
Nancy K. Quinn
Independent Energy
Richard A. Sampson
General Partner and Founder,
Leadership LLC
Consultant
RS Core Capital, LLC
Atmos Energy Corporation
Oxford, Mississippi
Key Biscayne, Florida
Denver, Colorado
Board member since 2009
Dallas, Texas
Board member since 1995
Board member since 2004
Board member since 2012
Committees: Audit,
Board member since 2015
Committees: Work Session/
Lead Director since 2013
Committees: Audit,
Human Resources,
Work Session/Annual Meeting
Annual Meeting (Chair),
Committees: Audit (Chair),
Human Resources
Executive, Human Resources,
Executive, Nominating and
Nominating and Corporate
Corporate Governance
Governance
Stephen R. Springer
Retired Senior Vice President
Richard Ware II
Chairman and President,
Charles K. Vaughan
Honorary Director,
and General Manager,
Midstream Division,
Amarillo National Bank
Amarillo, Texas
Retired Chairman
of the Board and
The Williams Companies, Inc.
Board member since 1994
Retired Lead Director,
Fort Myers Beach, Florida
Committees: Nominating
Atmos Energy Corporation
Board member since 2005
and Corporate Governance
Dallas, Texas
Committee: Work Session/
(Chair), Audit,
Board member from
Annual Meeting
Executive, Work Session/
1983 to 2012
Annual Meeting
34
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Forward-looking Statements
The matters discussed or incorporated by reference in this Summary Annual Report may contain
“forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical
fact included in this report are forward-looking statements made in good faith by the Company and are
intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform
Act of 1995. When used in this report or any other of the Company’s documents or oral presentations,
the words “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “goal,” “intend,” “objective,” “plan,”
“projection,” “seek,” “strategy” or similar words are intended to identify forward-looking statements.
Such forward-looking statements are subject to risks and uncertainties that could cause actual results to
differ materially from those discussed in this report. These risks and uncertainties are discussed in the
Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2015. Although the
Company believes these forward-looking statements to be reasonable, there can be no assurance that
they will approximate actual experience or that the expectations derived from them will be realized.
Further, the Company undertakes no obligation to update or revise any of its forward-looking statements,
whether as a result of new information, future events or otherwise.
Other Information
You can view this Summary Annual Report, our Annual Report on Form 10-K and other financial documents
for fiscal 2015 and previous years at www.atmosenergy.com.
If you are a shareholder who would like to receive our Summary Annual Report and other company
documents electronically in the future, please sign up for electronic distribution. It’s convenient and easy,
and it saves the costs to produce and distribute these materials.
To receive these documents by electronic delivery next year, please visit www.atmosenergy.com or
www.proxyvote.com to give your consent. Please remember that accessing our Summary Annual Report
and other company documents over the Internet may result in charges to you from your Internet service
provider or telephone company.
Opposite: The High Five Interchange, the first-ever confluence of five stacked highways, is a Dallas landmark.
Its height exceeds a 12-story building and its roadways include 37 permanent bridges and other unusual
design and construction features. One other feature is a natural gas transmission pipeline beneath the site.
To assure greater safety and reliability, our Mid-Tex Division is replacing a segment of the 20-inch pipeline
that crosses a creek and runs through a highly developed urban area.
Data sources for the chart Monthly Utility Bills on page 4
• Natural Gas $52: Atmos Energy enterprise average monthly residential billing for fiscal 2015, adjusted for seasonality
• Cable $77: Federal Communications Commission 2013 research at www.fcc.gov; Table 1, overall average, “Next Most Popular Service” category
• Electricity $128: U.S. Energy Information Administration report; Average Annual Energy Bills by Census Division, 2009–2040 Table of Energy
Expenditure, Residential, Electricity. Average of monthly electric bills for 2014 of the following regions: West North Central, East South Central,
West South Central, Mountain
• Water & Sewer $137: www.circleofblue.org; average of the 30 major U.S. cities, excluding the highest and lowest values
• Mobile Phone $138: www.usnews.com; average of four service providers referred to in first paragraph of article
© 2015 Atmos Energy Corporation. All rights reserved.
Atmos Energy® is a registered trademark of Atmos Energy Corporation.
36
Atmos Energy Corporation
P.O. Box 650205
Dallas, Texas 75265-0205
atmosenergy.com