XML 54 R38.htm IDEA: XBRL DOCUMENT v3.22.4
Schedule I Financial Statements of Cleco Holdings (Parent Company Only)
 12 Months Ended
Dec. 31, 2022
Condensed Financial Information Disclosure [Abstract]  
Schedule I Financial Statements of Cleco Holdings (Parent Company Only)
CLECO HOLDINGS (Parent Company Only)SCHEDULE I
Condensed Statements of Income
FOR THE YEAR ENDED DEC. 31,
(THOUSANDS)202220212020
Operating expenses
Administrative and general$1,088 $1,644 $1,497 
Merger transaction costs228 436 3,606 
Other operating expense246 247 239 
Total operating expenses1,562 2,327 5,342 
Operating loss(1,562)(2,327)(5,342)
Equity income from subsidiaries, net of tax231,702 234,512 173,337 
Interest, net(62,267)(60,461)(64,362)
Other (expense) income, net(724)8,788 3,021 
Income before income taxes167,149 180,512 106,654 
Federal and state income tax benefit(21,662)(14,454)(15,646)
Net income$188,811 $194,966 $122,300 
The accompanying notes are an integral part of the condensed financial statements.
CLECO HOLDINGS (Parent Company Only) SCHEDULE I
Condensed Statements of Comprehensive Income
FOR THE YEAR ENDED DEC. 31,
(THOUSANDS)202220212020
Net income$188,811 $194,966 $122,300 
Other comprehensive income, net of tax
Postretirement benefits gain (loss) (net of tax expense of $8,728, tax expense of $394, and tax benefit of $2,922, respectively)
23,688 2,167 (8,283)
Total other comprehensive income (loss), net of tax23,688 2,167 (8,283)
Comprehensive income, net of tax$212,499 $197,133 $114,017 
The accompanying notes are an integral part of the condensed financial statements.
CLECO HOLDINGS (Parent Company Only)SCHEDULE I
Condensed Balance Sheets
AT DEC. 31,
(THOUSANDS)20222021
Assets
  
Current assets
  
Cash and cash equivalents
$2,556 $10,408 
Accounts receivable - affiliate
31,242 94,704 
Other accounts receivable
1,781 419 
Taxes receivable, net
13,242 4,001 
Cash surrender value of trust-owned life insurance policies
43,388 82,316 
Other current assets65 59 
Total current assets
92,274 191,907 
Equity investment in subsidiaries
4,292,018 4,304,496 
Accumulated deferred federal and state income taxes, net
145,513 148,371 
Other deferred charges
788 1,010 
Total assets
$4,530,593 $4,645,784 
Liabilities and member's equity
  
Liabilities
Current liabilities
Long-term debt due within one year
$230,523 $67,700 
Accounts payable
1,900 570 
Short-term debt
64,000 — 
Accounts payable - affiliate
17,496 120,691 
Taxes payable, net
33 14 
Interest accrued
10,264 10,123 
Deferred compensation
12,162 14,420 
Other current liabilities
749 748 
Total current liabilities
337,127 214,266 
Postretirement benefit obligations
2,774 3,941 
Other deferred credits
313 1,313 
Long-term debt, net
1,243,312 1,472,108 
Total liabilities
1,583,526 1,691,628 
Commitments and contingencies (Note 5)
Member's equity2,947,067 2,954,156 
Total liabilities and member's equity
$4,530,593 $4,645,784 
The accompanying notes are an integral part of the condensed financial statements.  
CLECO HOLDINGS (Parent Company Only) SCHEDULE I
Condensed Statements of Cash Flows
FOR THE YEAR ENDED DEC. 31,
(THOUSANDS)202220212020
Operating activities
Net cash provided by operating activities$180,270 $56,054 $73,452 
Investing activities
Return on investment in trust-owned life insurance policies35,175 — — 
Net cash provided by investing activities35,175 — — 
Financing activities
Draws on credit facility64,000 — 88,000 
Payments on credit facility— — (88,000)
Repayment of long-term debt(67,700)(66,000)(64,000)
Payment of financing costs(9)(1,268)(2,838)
Distributions to member(219,588)— — 
Net cash used in financing activities(223,297)(67,268)(66,838)
Net (decrease) increase in cash and cash equivalents(7,852)(11,214)6,614 
Cash and cash equivalents at beginning of period10,408 21,622 15,008 
Cash and cash equivalents at end of period$2,556 $10,408 $21,622 
Supplementary cash flow information
Interest paid, net of amount capitalized$59,848 $57,688 $62,745 
Income taxes refunded, net$— $— $(2,942)
The accompanying notes are an integral part of the condensed financial statements.
Note 1 — Summary of Significant Accounting Policies
The condensed financial statements represent the financial information required by SEC Regulation S-X 5-04 for Cleco Holdings, which requires the inclusion of parent company only financial statements if the restricted net assets of consolidated subsidiaries exceed 25% of total consolidated net assets as of the last day of its most recent fiscal year. As of December 31, 2022, Cleco Holdings’ restricted net assets of consolidated subsidiaries were $1.37 billion and exceeded 25% of its total consolidated net assets.
Cleco Holdings’ major, first-tier subsidiaries are Cleco Power and Cleco Cajun. Cleco Power contains the LPSC-jurisdictional generation, transmission, and distribution electric utility operations serving its retail and wholesale customers. Cleco Cajun is an unregulated electric utility company that owns generation and transmission assets and supplies wholesale power and capacity to its customers.
The accompanying financial statements have been prepared to present the results of operations, financial condition, and cash flows of Cleco Holdings on a stand-alone basis as a holding company. Investments in subsidiaries and other investees are presented using the equity method. These financial statements should be read in conjunction with Cleco’s consolidated financial statements.
Note 3 — Cash Distributions and Equity Contributions
Some provisions in Cleco Power’s debt instruments restrict the amount of equity available for distribution to Cleco Holdings by Cleco Power by requiring Cleco Power’s total indebtedness to be less than or equal to 65.0% of total capitalization. In addition, the 2016 Merger Commitments provide for limitations on the amount of distributions that may be paid from Cleco Power to Cleco Holdings, depending on Cleco Power’s common equity ratio and its corporate credit ratings.
The following table summarizes the cash distributions Cleco Holdings received from affiliates during 2022, 2021, and 2020:

 FOR THE YEAR ENDED DEC. 31,
(THOUSANDS)202220212020
Cleco Power$105,500 $— $— 
Cleco Cajun137,000 111,000 134,000 
Total$242,500 $111,000 $134,000 

During the years ended December 31, 2022, 2021, and 2020, Cleco Holdings made no contributions to affiliates.
During the years ended December 31, 2022, 2021, and 2020, Cleco Holdings received no equity contributions from Cleco Group.
During the year ended December 31, 2022, Cleco Holdings made $219.6 million of distribution payments to Cleco Group. During the years ended December 31, 2021, and 2020, Cleco Holdings made no distribution payments to Cleco Group.
Note 4 — Income Taxes
Cleco Holdings’ (Parent Company Only) Condensed Statements of Income reflect income tax expense (benefit) for the following line items:
 FOR THE YEAR ENDED DEC. 31,
(THOUSANDS)202220212020
Federal and state income tax benefit
$(21,662)$(14,454)$(15,646)
Equity income from subsidiaries - federal and state income tax expense
$22,579 $27,565 $51,364 

For information regarding the TCJA, see Part II, Item 8, “Financial Statements and Supplementary Data — Notes to the Financial Statements — Note 11 — Income Taxes — TCJA.”
Note 5 — Commitments and Contingencies
For information regarding commitments and contingencies related to Cleco Holdings, see Part II, Item 8, “Financial Statements and Supplementary Data — Notes to the Financial Statements — Note 15 — Litigation, Other Commitments and Contingencies, and Disclosures about Guarantees.”