Investments (Tables)

12 Months Ended

Dec. 31, 2016

Equity Method, Available for Sale Securities, and Other Investments

		MGE Energy				MGE
(In thousands)		2016		2015		2016		2015
Available for sale securities:
Cost basis	$	2,216	$	2,225	$	455	$	480
Gross unrealized gains		346		599		40		40
Gross unrealized losses		(8)		(2)		(8)		(2)
Fair value		2,554		2,822		487		518
Equity method investments:
ATC and ATC Holdco^(a)		72,458		69,466		-		69,466
Other		1,158		1,184		-		-
Total equity method investments		73,616		70,650		-		69,466
Other investments		120		159		-		-
Total	$	76,290	$	73,631	$	487	$	69,984

(a) MGE Transco holds an ownership interest in ATC, and MGEE Transco holds an ownership interest in ATC Holdco. In July 2016, MGE's ownership interest in MGE Transco declined below a majority, resulting in MGE Energy's investment in MGE Transco being deconsolidated from MGE's consolidated financial statements. See Footnote 8 for further discussion of noncontrolling interest. In December 2016, MGE's ownership interest in MGE Transco was transferred to MGE Energy, see "ATC and ATC Holdco" below for additional information.

During the years ended December 31, 2016, 2015, and 2014, certain investments were liquidated. As a result of these liquidations, MGE Energy and MGE received the following:

		MGE Energy						MGE
(In thousands)		2016		2015		2014		2016		2015		2014
Cash proceeds	$	408	$	19	$	38	$	16	$	19	$	-
Gain (loss) on sale		121		10		21		(8)		10		-

Equity Method Investments Summarized Financial Data

For the years ended December 31, 2016, 2015, and 2014, MGE Transco recorded the following:

(In thousands)		2016		2015		2014
Equity earnings from investment in ATC	$	8,670	$	7,728	$	9,150
Dividends received from ATC^(a)		7,926		6,645		7,740
Capital contributions to ATC		2,486		710		1,775

(a) As of December 31, 2016, MGE Transco recorded a $2.1 million receivable from ATC for a cash dividend received in January 2017.

ATC's summarized financial data for the years ended December 31, 2016, 2015, and 2014 is as follows:

(In thousands)
Income statement data for the year ended December 31,		2016		2015		2014
Operating revenues	$	650,806	$	615,836	$	635,033
Operating expenses		(322,517)		(319,321)		(307,451)
Other income		3,225		1,176		117
Interest expense, net		(98,758)		(97,250)		(88,970)
Earnings before members' income taxes	$	232,756	$	200,441	$	238,729

Balance sheet data as of December 31,		2016		2015
Current assets	$	75,790	$	80,520
Noncurrent assets		4,312,893		3,948,265
Total assets	$	4,388,683	$	4,028,785

Current liabilities	$	495,126	$	330,248
Long-term debt		1,865,302		1,790,718
Other noncurrent liabilities		271,495		244,991
Members' equity		1,756,760		1,662,828
Total members' equity and liabilities	$	4,388,683	$	4,028,785