FAIR VALUE MEASUREMENTS

The information presented below categorizes the assets and liabilities in the balance sheets that are accounted for at fair value on a recurring basis in periods subsequent to initial recognition.

The mutual funds included in Level 1 are valued based on exchange-quoted market prices of individual securities. The mutual funds included in Level 2 are valued based on the closing net asset value per unit.

Derivative instruments included in Level 1 are valued using quoted market prices on the New York Mercantile Exchange (NYMEX) or the Intercontinental Exchange (ICE). Derivative instruments classified in Level 2 include physical commodity derivatives that are valued using Over-the-Counter Bulletin Board (OTCBB), broker, or dealer quotation services whose prices are derived principally from, or are corroborated by, observable market inputs. Also included in Level 2 are certain derivative instruments that have values that are similar to, and correlate with, quoted prices for exchange-traded instruments in active markets and derivative instruments with settlement dates more than one year into the future. Derivative instruments included in Level 3 are valued using generally unobservable inputs that are based upon the best information available and reflect management’s assumptions about how market participants would price the asset or liability. The Level 3 balances as of March 31, 2016 and September 30, 2015 consisted of gas commodity contracts. The Company’s and the Utilities' policy is to recognize transfers between the levels of the fair value hierarchy, if any, as of the beginning of the interim reporting period in which circumstances change or events occur to cause the transfer.

The mutual funds are included in "Other Investments" on the Company's balance sheets and in "Other Property and Investments" on Laclede Gas' balance sheets. Derivative assets and liabilities, including receivables and payables associated with cash margin requirements, are presented net in the balance sheets when a legally enforceable netting agreement exists between the Company, Laclede Gas, or Alagasco and the counterparty to a derivative contract.

Spire



	Quoted Prices in Active Markets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Effects of Netting and Cash Margin Receivables /Payables			Total
As of March 31, 2016
ASSETS
Gas Utility
U. S. stock/bond mutual funds	$	16.2	$	4.0	$	—	$	—		$	20.2
Gasoline and heating oil contracts	0.1		—		—		—			0.1
Subtotal	16.3		4.0		—		—			20.3
Gas Marketing
NYMEX/ICE natural gas contracts	2.0		6.8		—		(5.1		)	3.7
Natural gas commodity contracts	—		7.7		0.2		(0.8		)	7.1
Total	$	18.3	$	18.5	$	0.2	$	(5.9	)	$	31.1
LIABILITIES
Gas Utility
NYMEX/ICE natural gas contracts	$	13.5	$	—	$	—	$	(13.5	)	$	—
OTCBB natural gas contracts	—		6.0		—		—			6.0
NYMEX gasoline and heating oil contracts	0.2		—		—		(0.2		)	—
Subtotal	13.7		6.0		—		(13.7		)	6.0
Gas Marketing
NYMEX/ICE natural gas contracts	2.1		3.4		—		(5.5		)	—
Natural gas commodity contracts	—		3.7		—		(0.8		)	2.9
Other
Interest rate swaps	—		1.8		—		—			1.8
Total	$	15.8	$	14.9	$	—	$	(20.0	)	$	10.7

As of September 30, 2015
ASSETS
Gas Utility
U. S. stock/bond mutual funds	$	15.5	$	4.0	$	—	$	—		$	19.5
NYMEX/ICE natural gas contracts	1.3		—		—		(1.3		)	—
Subtotal	16.8		4.0		—		(1.3		)	19.5
Gas Marketing
NYMEX/ICE natural gas contracts	6.3		4.3		—		(6.6		)	4.0
Natural gas commodity contracts	—		1.5		0.2		(0.5		)	1.2
Total	$	23.1	$	9.8	$	0.2	$	(8.4	)	$	24.7
LIABILITIES
Gas Utility
NYMEX/ICE natural gas contracts	$	16.4	$	—	$	—	$	(16.4	)	$	—
OTCBB natural gas contracts	—		5.9		—		—			5.9
NYMEX gasoline and heating oil contracts	0.3		—		—		(0.3		)	—
Subtotal	16.7		5.9		—		(16.7		)	5.9
Gas Marketing
NYMEX/ICE natural gas contracts	1.2		3.9		—		(5.1		)	—
Natural gas commodity contracts	—		2.2		—		(0.5		)	1.7
Total	$	17.9	$	12.0	$	—	$	(22.3	)	$	7.6



	Quoted Prices in Active Markets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Effects of Netting and Cash Margin Receivables /Payables			Total
As of March 31, 2015
ASSETS
Gas Utility
U. S. stock/bond mutual funds	$	16.4	$	3.9	$	—	$	—		$	20.3
NYMEX/ICE natural gas contracts	0.6		—		—		(0.6		)	—
Subtotal	17.0		3.9		—		(0.6		)	20.3
Gas Marketing
NYMEX/ICE natural gas contracts	3.4		1.7		—		(4.3		)	0.8
Natural gas commodity contracts	—		2.7		0.5		(0.5		)	2.7
Total	$	20.4	$	8.3	$	0.5	$	(5.4	)	$	23.8
LIABILITIES
Gas Utility
NYMEX/ICE natural gas contracts	$	14.1	$	—	$	—	$	(14.1	)	$	—
OTCBB natural gas contracts	—		14.5		—		—			14.5
NYMEX gasoline and heating oil contracts	1.0		—		—		(1.0		)	—
Interest rate swaps	—		2.9		—		—			2.9
Subtotal	15.1		17.4		—		(15.1		)	17.4
Gas Marketing
NYMEX/ICE natural gas contracts	1.9		3.5		—		(5.4		)	—
Natural gas commodity contracts	—		0.8		—		(0.5		)	0.3
Total	$	17.0	$	21.7	$	—	$	(21.0	)	$	17.7

Laclede Gas



	Quoted Prices in Active Markets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Effects of Netting and Cash Margin Receivables /Payables			Total
As of March 31, 2016
ASSETS
U. S. stock/bond mutual funds	$	16.2	$	4.0	$	—	$	—		$	20.2
Total	$	16.2	$	4.0	$	—	$	—		$	20.2
LIABILITIES
NYMEX/ICE natural gas contracts	$	13.5	$	—	$	—	$	(13.5	)	$	—
OTCBB natural gas contracts	—		6.0		—		—			6.0
Gasoline and heating oil contracts	0.2		—		—		(0.2		)	—
Total	$	13.7	$	6.0	$	—	$	(13.7	)	$	6.0



As of September 30, 2015
ASSETS
U. S. stock/bond mutual funds	$	15.5	$	4.0	$	—	$	—		$	19.5
NYMEX/ICE natural gas contracts	1.3		—		—		(1.3		)	—
Total	$	16.8	$	4.0	$	—	$	(1.3	)	$	19.5
LIABILITIES
NYMEX/ICE natural gas contracts	$	16.4	$	—	$	—	$	(16.4	)	$	—
OTCBB natural gas contracts	—		5.9		—		—			5.9
NYMEX gasoline and heating oil contracts	0.3		—		—		(0.3		)	—
Total	$	16.7	$	5.9	$	—	$	(16.7	)	$	5.9



	Quoted Prices in Active Markets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Effects of Netting and Cash Margin Receivables /Payables			Total
As of March 31, 2015
ASSETS
U. S. stock/bond mutual funds	$	16.4	$	3.9	$	—	$	—		$	20.3
NYMEX natural gas contracts	0.6		—		—		(0.6		)	—
Total	$	17.0	$	3.9	$	—	$	(0.6	)	$	20.3
LIABILITIES
NYMEX/ICE natural gas contracts	$	14.1	$	—	$	—	$	(14.1	)	$	—
OTCBB natural gas contracts	—		14.5		—		—			14.5
Gasoline and heating oil contracts	1.0		—		—		(1.0		)	—
Total	$	15.1	$	14.5	$	—	$	(15.1	)	$	14.5

Alagasco

During the second quarter of 2016 Alagasco commenced a gasoline derivative program to stabilize the cost of fuel used in operations. As of March 31, 2016, the fair value of related gasoline contracts was not significant. As of March 31, 2015, Alagasco had interest rate swaps with a fair value of $2.9, designated Level 2 on the fair value hierarchy.