Capitalization (Tables)

12 Months Ended

Dec. 31, 2020

Schedule of maturities of long term debt

FMB Series RR, SS, 2019A, 2019B and 2020A are term bonds with single maturity dates subsequent to 2025. The aggregate annual principal repayment obligations for all long-term debt over the next five years are shown below:

	Year	(Millions of Dollars) Annual Maturities
	2021	$ 7.3
	2022	$ 6.7
	2023	$ 16.1
	2024	$ 6.0
	2025	$ 5.6

Schedule of earnings per share

The following table presents the calculation of basic and diluted earnings per share (EPS) for the years ended December 31, 2020, 2019 and 2018. Basic EPS is computed on the basis of the weighted average number of shares outstanding. Diluted EPS assumes the conversion of both the Convertible Preferred Stock $7.00 Series and $8.00 Series (fully converted into common stock in September 2019).

	(In Thousands, Except Per Share Amounts)
	2020					2019					2018
Basic:	Income			Shares		Income			Shares		Income			Shares
Net Income	$	38,425			17,459	$	33,888			16,685	$	32,452			16,384
Preferred Dividend		(120	)				(132	)				(144	)
Earnings Applicable to Common Stock	$	38,305			17,459	$	33,756			16,685	$	32,308			16,384
Basic EPS	$	2.19				$	2.02				$	1.97
Diluted:
Earnings Applicable to Common Stock	$	38,305			17,459	$	33,756			16,685	$	32,308			16,384
$7.00 Series Dividend		67			115		67			115		67			115
$8.00 Series Dividend		-			-		12			29		24			41
Adjusted Earnings Applicable to Common Stock	$	38,372			17,574	$	33,835			16,829	$	32,399			16,540
Diluted EPS	$	2.18				$	2.01				$	1.96

Schedule of carrying amount and estimated fair value of bonds

The following methods and assumptions were used by the Company in estimating its fair value disclosure for financial instruments for which it is practicable to estimate that value. The carrying amounts reflected in the consolidated balance sheets for cash and cash equivalents, accounts receivable, accounts payable and notes payable approximate their respective fair values due to the short-term maturities of these instruments. The fair value of First Mortgage and State Revolving Fund Bonds (collectively, the Bonds) issued by Middlesex is based on quoted market prices for similar issues. Under the fair value hierarchy, the fair value of cash and cash equivalents is classified as a Level 1 measurement and the fair value of notes payable and the Bonds in the table below are classified as Level 2 measurements. The carrying amount and fair value of the Bonds were as follows:

	(Thousands of Dollars) At December 31,
	2020				2019
	Carrying		Fair		Carrying		Fair
	Amount		Value		Amount		Value
Bonds	$	147,667	$	159,195	$	151,361	$	160,772