INVESTMENTS IN EQUITY INVESTEES

Investment in equity investees includes NJR's equity method investments and cost method investments.

Equity Method Investments

As of September 30, NJR's equity method investments include the following:



(Thousands)	2012		2011
Steckman Ridge	$	132,931	$	135,130
Iroquois	22,864		23,933
Total	$	155,795	$	159,063

As of September 30, 2012 and 2011, the investment of Steckman Ridge includes loans with a total outstanding principal balance of $70.4 million. The loans accrue interest at a variable rate that resets quarterly and are due December 31, 2017.

The following is the summarized financial information for Steckman Ridge and Iroquois for fiscal years ended September 30:



(Thousands)	2012		2011		2010
Steckman Ridge
Operating revenues	$	28,468	$	29,172	$	25,910
Operating income	$	20,554	$	21,767	$	18,568
Net income	$	18,587	$	20,053	$	16,772
Current assets	$	10,209	$	10,236	$	6,553
Noncurrent assets	$	243,896	$	247,943	$	250,720
Current liabilities	$	1,084	$	1,046	$	1,993
Noncurrent liabilities	$	140,811	$	140,811	$	140,811
Iroquois
Operating revenues	$	206,385	$	202,581	$	204,059
Operating income	$	114,872	$	111,540	$	116,760
Net income	$	90,672	$	88,208	$	83,359
Current assets	$	95,570	$	101,575	$	102,585
Noncurrent assets	$	688,670	$	716,686	$	746,286
Current liabilities	$	29,800	$	31,158	$	33,664
Noncurrent liabilities	$	366,694	$	378,099	$	394,627

NJRES and NJNG have entered into transportation, storage and park and loan agreements with Iroquois and Steckman Ridge. See Note 15. Related Party Transactions for more information on these intercompany transactions.

Cost Method Investments

During the fourth quarter of fiscal 2012, NJR acquired a 19.9 percent ownership interest in OwnEnergy, a developer of on-shore wind projects. NJR's investment of $8.8 million is accounted for in accordance with the cost method of accounting.