ONEOK is the largest natural gas distributor in Kansas and Oklahoma, and the third largest in Texas. Our integrated strategy focuses on positive relationships with regulators, consistent strategies and synchronized rate case filings. We focus on growth of our customer count and rate base through efficient investment in our system while emphasizing safety and cost control. ONEOK continues to be a reliable and value-added provider, efficiently delivering natural gas to more than two million customers.

Results
(For The Year Ended Dec. 31)	2008	2007	2006
Total throughput (MMcf)	394,163	380,599	379,223
Capital expenditures ($Millions)	$169.0	$162.0	$159.0
Number of customers (Average)	2,060,653	2,050,767	2,031,551
Operating income ($Millions)	$188.8	$174.1	$117.4

Highlights and Features:

• ONEOK is the 8th largest natural gas distributor in the U.S. according to a recent report by Pipeline & Gas Journal.
• ONEOK’s distribution companies reported operating income of $188.8 million in 2008, compared with $174.1 million in 2007. Net margins increased $17.3 million, primarily due to implementation of new rate mechanisms in Oklahoma and Texas.
• Oklahoma Natural Gas received approval in December 2008 to recover the fuel-related portion of bad-debts costs through the purchase gas adjustment mechanism, which is estimated to be approximately $1.0 million to $2.5 million.
• Oklahoma Natural Gas received approval in December 2008 to recover, and earn a return on, $12.6 million in capital costs incurred to expand and maintain the natural gas distribution system in Oklahoma.
• Kansas Gas Service received approval in December 2008 to recover, and earn a return on, $2.9 million in capital investment for safety-related and public improvement infrastructure.
• Texas Gas Service received approval fro $1.0 million in capital recovery in the El Paso service area and $4.7 million in rate adjustments across various service territories.