SHAREHOLDERS’ EQUITY

Spire

On May 17, 2016, Spire completed a public offering of 2,185,000 shares of its common stock, generating $133.2 of proceeds net of issuance costs.

On April 3, 2017, Spire settled purchase contracts underlying equity units issued in 2014 by issuing 2,504,684 shares of its common stock, generating net cash proceeds of approximately $142.0.

Spire has a shelf registration statement on Form S-3 on file with the U.S. Securities and Exchange Commission (“SEC”) for the issuance of equity and debt securities, which expires September 23, 2019. Under that registration statement, on May 10, 2018, Spire issued and sold 2,300,000 shares of its common stock at a public offering price of $68.75 per share.

Spire filed a registration statement on Form S-3 with the SEC on June 15, 2017 for the issuance and sale of up to 250,000 shares of its common stock under its Dividend Reinvestment and Direct Stock Purchase Plan. There were 221,107 and 216,678 shares at September 30, 2018 and November 12, 2018, respectively, remaining available for issuance under this Form S-3.

At September 30, 2018 and 2017, Spire had authorized 5,000,000 shares of preferred stock, but none were issued and outstanding.

Spire Missouri

Substantially all of Spire Missouri’s plant is subject to the liens of its first mortgage bonds. The mortgage contains several restrictions on Spire Missouri’s ability to pay cash dividends on its common stock or to make loans to its parent company. These mortgage restrictions are applicable regardless of whether the stock is publicly held or held solely by Spire Missouri’s parent company. Under the most restrictive of these provisions, no cash dividend may be declared or paid if, after the dividend, the aggregate net amount spent for all dividends after September 30, 1953 would exceed a maximum amount determined by a formula set out in the mortgage. Under that formula, the maximum amount is the sum of $8.0 plus earnings applicable to common stock (adjusted for stock repurchases and issuances) for the period from September 30, 1953 to the last day of the quarter before the declaration or payment date for the dividends. As of September 30, 2018 and 2017, the amount under the mortgage’s formula that was available to pay dividends was $1,097.6 and $1,010.8, respectively. Thus, all of Spire Missouri’s retained earnings were free from such dividend restrictions as of those dates.

Spire Missouri is authorized by the MoPSC to issue registered securities (first mortgage bonds, unsecured debt and preferred stock), issue common stock, and issue private placement debt in an aggregate amount of up to $500.0 for financings placed any time before September 30, 2021.

At September 30, 2018 and 2017, Spire Missouri had authorized 1,480,000 shares of preferred stock, but none were issued and outstanding.

Spire Alabama

At September 30, 2018 and 2017, Spire Alabama had authorized 120,000 shares of preferred stock, but none were issued and outstanding.

Accumulated Other Comprehensive Income

The components of AOCI, net of income taxes, recognized in the balance sheets at September 30 were as follows:



	Net Unrealized Gains (Losses) on Cash Flow Hedges			Defined Benefit Pension and Other Postretirement Benefit Plans			Net Unrealized Losses on Available-for-Sale Debt Securities			Total
Spire
Balance at September 30, 2016	$	(2.3	)	$	(1.8	)	$	(0.1	)	$	(4.2	)
Other comprehensive income (loss)	7.2			0.3			(0.1		)	7.4
Balance at September 30, 2017	4.9			(1.5		)	(0.2		)	3.2
Other comprehensive income	2.0			0.3			0.2			2.5
Reclassification of certain income tax effects	1.0			(0.3		)	—			0.7
Balance at September 30, 2018	$	7.9		$	(1.5	)	$	—		$	6.4

Spire Missouri
Balance at September 30, 2016	$	0.1		$	(1.8	)	$	(0.1	)	$	(1.8	)
Other comprehensive income (loss)	—			0.2			(0.1		)	0.1
Balance at September 30, 2017	0.1			(1.6		)	(0.2		)	(1.7		)
Other comprehensive (loss) income	(0.1		)	0.3			0.2			0.4
Reclassification of certain income tax effects	—			(0.3		)	—			(0.3		)
Balance at September 30, 2018	$	—		$	(1.6	)	$	—		$	(1.6	)

Income tax expense (benefit) recorded for items of other comprehensive income (loss) reported in the statements of comprehensive income is calculated by applying statutory federal, state, and local income tax rates applicable to ordinary income. The tax rates applied to individual items of other comprehensive income (loss) are similar within each reporting period. For the periods presented, Spire Alabama had no AOCI balances.