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CHAPTER 3: DEPARTMENT OF WATER SUPPLY <br />DFPARTMFNT OF WATER SUPPLY <br />COUNTY OF HAWAVI <br />(A Component Unit ofthe Country of Hawaii. State of Hawaii) <br />Management's Discussion and Analysis <br />June 30, 2008 and 2007 <br />Condensed Pinancial Information <br />The following are summaries from the Department's financial statements as of and for the years ended June 30, <br />2008, 2007, and 2006: <br />Assets: <br />Capital assets, net <br />Other assets <br />Total assets <br />Liabilities: <br />Long -term debt <br />Customers' deposits payable from <br />restricted assets <br />Other liabilities <br />Total liabilities <br />Net assets: <br />Invested in capital assets, net of related debt <br />Unrestricted <br />Total net assets <br />Changes in net assets: <br />Operating revenues — water sales <br />Total operating cxpcnses <br />Operating loss <br />Total nonoperating revenues <br />fatal nonoperating expenses <br />Change in net assets <br />Net assets at beginning of year <br />Net assets at end of year <br />2008 <br />2007 <br />2006 <br />$ 204,980,889 <br />198,146,445 <br />196,418,116 <br />79,738,743 <br />81,435,224 <br />74,344,720 <br />284 „719,632 <br />279,581.669 <br />270,762,836 <br />41,247,094 <br />42.308,135 <br />41,549,919 <br />19,739,823 <br />16,207,996 <br />14,403,033 <br />8,607,005 <br />7,460,133 <br />7,343,872 <br />69,593,922 <br />65,976,264 <br />63,296,824 <br />186,215,025 <br />179,984,628 <br />1 80,181,457 <br />28,910.685 <br />33,620,777 <br />27,284,555 <br />$ 215.125.710 <br />213,605.405 <br />207,466,012 <br />$ 37,724,830 <br />37,642,805 <br />33,291,676 <br />42,966,607 <br />38,251,318 <br />37.534,821 <br />(5,241;777) <br />(608,513) <br />(4,241,145) <br />8,896,067 <br />8,965,423 <br />8,760,782 <br />(2,1 33,985) <br />(2,217,517) <br />(1.669,152) <br />1,520,305 <br />6,139,393 <br />2,848,485 <br />213,605,405 <br />207,466,012 <br />204,617,527 <br />5 215,125,710 <br />213,605,405 <br />207,466,012 <br />Source: KPMG Department of Water Supply County of Hawaii (A Component Unit of the County of <br />Hawaii. State of Hawaii) Financial Statements June 30, 2008 and 2007 (With Independent Auditors' <br />Report Thereon) dated February 13, 2009 <br />IN <br />