Other Comprehensive Income (Loss) |
OTHER COMPREHENSIVE INCOME (LOSS)
We record deferred gains (losses) in AOCI related to interest rate swaps designated as cash flow hedges, commodity contracts designated as cash flow hedges and the amortization of components of our defined benefit plans. Deferred gains (losses) for our commodity contracts designated as cash flow hedges are recognized in earnings upon settlement, while deferred gains (losses) related to our interest rate swaps are recognized in earnings as they are amortized.
The following table details reclassifications out of AOCI and into net income. The amounts in parentheses below indicate decreases to net income in the Consolidated Statements of Income for the period, net of tax (in thousands): | | | | | | | | | | | | | | | | | Location on the Condensed Consolidated Statements of Income | Amount Reclassified from AOCI | Three Months Ended | | Nine Months Ended | September 30, 2017 | September 30, 2016 | | September 30, 2017 | September 30, 2016 | Gains and (losses) on cash flow hedges: | | | | | | | Interest rate swaps | Interest expense | $ | (713 | ) | $ | (840 | ) | | $ | (2,228 | ) | $ | (2,530 | ) | Commodity contracts | Revenue | 295 |
| 2,201 |
| | 954 |
| 9,140 |
| Commodity contracts | Fuel, purchased power and cost of natural gas sold
| (34 | ) | 128 |
| | (20 | ) | (23 | ) | | | (452 | ) | 1,489 |
| | (1,294 | ) | 6,587 |
| Income tax | Income tax benefit (expense) | 154 |
| (566 | ) | | 435 |
| (2,450 | ) | Total reclassification adjustments related to cash flow hedges, net of tax | | $ | (298 | ) | $ | 923 |
| | $ | (859 | ) | $ | 4,137 |
| | | | | | | | Amortization of components of defined benefit plans: | | | | | | | Prior service cost | Operations and maintenance | $ | 49 |
| $ | 55 |
| | $ | 146 |
| $ | 165 |
| Actuarial gain (loss) | Operations and maintenance | (414 | ) | (494 | ) | | (1,242 | ) | (1,483 | ) | | | (365 | ) | (439 | ) | | (1,096 | ) | (1,318 | ) | Income tax | Income tax benefit (expense) | 128 |
| 152 |
| | 393 |
| 460 |
| Total reclassification adjustments related to defined benefit plans, net of tax | | $ | (237 | ) | $ | (287 | ) | | $ | (703 | ) | $ | (858 | ) | Total reclassifications | | $ | (535 | ) | $ | 636 |
| | $ | (1,562 | ) | $ | 3,279 |
|
Balances by classification included within AOCI, net of tax on the accompanying Condensed Consolidated Balance Sheets were as follows (in thousands): | | | | | | | | | | | | | | | Derivatives Designated as Cash Flow Hedges | | | | Interest Rate Swaps | Commodity Derivatives | Employee Benefit Plans | Total | As of December 31, 2016 | $ | (18,109 | ) | $ | (233 | ) | $ | (16,541 | ) | $ | (34,883 | ) | Other comprehensive income (loss) | | | | | before reclassifications | — |
| 755 |
| — |
| 755 |
| Amounts reclassified from AOCI | 1,449 |
| (590 | ) | 703 |
| 1,562 |
| Ending Balance September 30, 2017 | $ | (16,660 | ) | $ | (68 | ) | $ | (15,838 | ) | $ | (32,566 | ) | | | | | | | | | | | | Derivatives Designated as Cash Flow Hedges | | | | Interest Rate Swaps | Commodity Derivatives | Employee Benefit Plans | Total | Balance as of December 31, 2015 | $ | (341 | ) | $ | 7,066 |
| $ | (15,780 | ) | $ | (9,055 | ) | Other comprehensive income (loss) | | | | | before reclassifications | (20,200 | ) | (417 | ) | — |
| (20,617 | ) | Amounts reclassified from AOCI | 1,644 |
| (5,781 | ) | 858 |
| (3,279 | ) | Ending Balance September 30, 2016 | $ | (18,897 | ) | $ | 868 |
| $ | (14,922 | ) | $ | (32,951 | ) |
|