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Disclosures about Segments
 9 Months Ended
Sep. 30, 2018
Segment Reporting [Abstract]  
Disclosures about Segments
Note 9 — Disclosures about Segments
Cleco’s reportable segment is based on its method of internal reporting, which disaggregates business units by its first-tier subsidiary.
Cleco Power, the reportable segment, engages in business activities from which it earns revenue and incurs expenses. Segment managers report periodically to Cleco’s CEO with discrete financial information and, at least quarterly, present discrete financial information to Cleco and Cleco Power’s Boards of Managers. The reportable segment prepares budgets that are presented to and approved by Cleco and Cleco Power’s Boards of Managers. The column shown as Other in the following tables includes the holding company, a shared services subsidiary, two transmission interconnection facility subsidiaries, an investment subsidiary, and a subsidiary formed to facilitate the Purchase and Sale Agreement with NRG Energy and NRG South Central. On December 29, 2017, Cleco sold the transmission assets owned by Attala and Perryville, the two subsidiaries that owned and operated the transmission interconnection facilities. After December 29, 2017, the remaining operations of Attala and Perryville were minimal. On February 6, 2018, Cleco Cajun entered into the Purchase and Sale Agreement with NRG Energy and NRG South Central. Upon the expected closing of the transaction, Cleco anticipates Cleco Cajun will be a new reportable segment. For more information on the Purchase and Sale Agreement and related transactions, see Note 16 — “Plan of Acquisition.”
The financial results in the following tables are presented on an accrual basis. Management evaluates the performance of its segment and allocates resources to it based on segment profit and the requirements to implement new strategic initiatives and projects to meet current business objectives. Material intercompany transactions occur on a regular basis. These intercompany transactions relate primarily to joint and common administrative support services.
SEGMENT INFORMATION FOR THE THREE MONTHS ENDED SEPT. 30,
2018 (THOUSANDS)
CLECO POWER

 
OTHER

 
ELIMINATIONS

 
CONSOLIDATED

Revenue
 
 
 
 
 
 
 
Electric operations
$
343,482

 
$
(2,420
)
 
$
—

 
$
341,062

Other operations
20,186

 
—

 
—

 
20,186

Affiliate revenue
223

 
22,765

 
(22,988
)
 
—

Electric customer credits
(2,992
)
 
—

 
—

 
(2,992
)
Operating revenue, net
$
360,899

 
$
20,345

 
$
(22,988
)
 
$
358,256

Depreciation and amortization
$
41,687

 
$
2,076

 
$
—

 
$
43,763

Interest income
$
1,606

 
$
310

 
$
(84
)
 
$
1,832

Interest charges
$
17,895

 
$
14,017

 
$
(84
)
 
$
31,828

Federal and state income tax expense (benefit)
$
18,016

 
$
(6,597
)
 
$
—

 
$
11,419

Net income (loss)
$
63,336

 
$
(15,975
)
 
$
(1
)
 
$
47,360

2017 (THOUSANDS)
CLECO POWER

 
OTHER

 
ELIMINATIONS

 
CONSOLIDATED

Revenue
 
 
 
 
 
 
 
Electric operations
$
320,009

 
$
(2,420
)
 
$
—

 
$
317,589

Other operations
20,768

 
514

 
—

 
21,282

Affiliate revenue
209

 
13,517

 
(13,726
)
 
—

Electric customer credits
(372
)
 
—

 
—

 
(372
)
Operating revenue, net
$
340,614

 
$
11,611

 
$
(13,726
)
 
$
338,499

Depreciation and amortization
$
40,049

 
$
2,179

 
$
—

 
$
42,228

Interest income
$
332

 
$
31

 
$
(9
)
 
$
354

Interest charges
$
17,141

 
$
13,331

 
$
(10
)
 
$
30,462

Federal and state income tax expense (benefit)
$
30,092

 
$
(7,038
)
 
$
—

 
$
23,054

Net income (loss)
$
54,852

 
$
(9,548
)
 
$
—

 
$
45,304

SEGMENT INFORMATION FOR THE NINE MONTHS ENDED SEPT. 30,
2018 (THOUSANDS)
CLECO POWER

 
OTHER

 
ELIMINATIONS

 
CONSOLIDATED

Revenue
 
 
 
 
 
 
 
Electric operations
$
904,746

 
$
(7,260
)
 
$
—

 
$
897,486

Other operations
61,066

 
1

 
—

 
61,067

Affiliate revenue
651

 
55,707

 
(56,358
)
 
—

Electric customer credits
(24,276
)
 
—

 
—

 
(24,276
)
Operating revenue, net
$
942,187

 
$
48,448

 
$
(56,358
)
 
$
934,277

Depreciation and amortization
$
121,796

 
$
6,281

 
$
(1
)
 
$
128,076

Interest income
$
3,560

 
$
652

 
$
(169
)
 
$
4,043

Interest charges
$
53,658

 
$
41,409

 
$
(173
)
 
$
94,894

Federal and state income tax expense (benefit)
$
39,724

 
$
(17,777
)
 
$
—

 
$
21,947

Net income (loss)
$
132,359

 
$
(48,299
)
 
$
—

 
$
84,060

Additions to property, plant, and equipment
$
193,708

 
$
911

 
$
—

 
$
194,619

Equity investment in investees (1)
$
18,172

 
$
—

 
$
—

 
$
18,172

Goodwill (1)
$
1,490,797

 
$
—

 
$
—

 
$
1,490,797

Total segment assets (1)
$
5,808,604

 
$
688,066

 
$
(34,835
)
 
$
6,461,835

(1) Balances as of September 30, 2018
 
 
 
 
 
 
 
2017 (THOUSANDS)
CLECO POWER

 
OTHER

 
ELIMINATIONS

 
CONSOLIDATED

Revenue
 
 
 
 
 
 
 
Electric operations
$
847,417

 
$
(8,337
)
 
$
—

 
$
839,080

Other operations
58,083

 
1,544

 


 
59,627

Affiliate revenue
649

 
41,882

 
(42,531
)
 
—

Electric customer credits
(1,045
)
 
—

 
—

 
(1,045
)
Operating revenue, net
$
905,104

 
$
35,089

 
$
(42,531
)
 
$
897,662

Depreciation and amortization
$
118,280

 
$
6,351

 
$
(1
)
 
$
124,630

Interest income
$
926

 
$
271

 
$
(151
)
 
$
1,046

Interest charges
$
52,654

 
$
40,297

 
$
(151
)
 
$
92,800

Federal and state income tax expense (benefit)
$
63,010

 
$
(20,629
)
 
$
—

 
$
42,381

Net income (loss)
$
108,439

 
$
(31,398
)
 
$
—

 
$
77,041

Additions to property, plant, and equipment
$
183,604

 
$
2,005

 
$
—

 
$
185,609

Equity investment in investees (1)
$
18,172

 
$
—

 
$
—

 
$
18,172

Goodwill (1)
$
1,490,797

 
$
—

 
$
—

 
$
1,490,797

Total segment assets (1)
$
5,679,538

 
$
619,943

 
$
(21,099
)
 
$
6,278,382

(1) Balances as of December 31, 2017