Business Segments

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Business Segments [Text Block]

BUSINESS SEGMENTS

We present three reportable segments: Regulated Operations, ALLETE Clean Energy and U.S. Water Services. We measure performance of our operations through budgeting and monitoring of contributions to consolidated net income by each business segment.

Regulated Operations includes three operating segments which consist of our regulated utilities, Minnesota Power and SWL&P, as well as our investment in ATC. ALLETE Clean Energy is our business focused on developing, acquiring and operating clean and renewable energy projects. U.S. Water Services was our integrated water management company, which is reflected in operating results until it was sold in March 2019. We also present Corporate and Other which includes two operating segments, BNI Energy, our coal mining operations in North Dakota, and ALLETE Properties, our legacy Florida real estate investment, along with our investment in Nobles 2, other business development and corporate expenditures, unallocated interest expense, a small amount of non-rate base generation, approximately 4,000 acres of land in Minnesota, and earnings on cash and investments.

NOTE 10. BUSINESS SEGMENTS (Continued)

	Quarter Ended		Nine Months Ended
	September 30,		September 30,
	2020	2019	2020	2019
Millions
Operating Revenue
Regulated Operations
Residential	$34.2	$29.8	$102.5	$104.2
Commercial	37.1	36.8	103.2	110.6
Municipal	11.2	11.8	30.5	39.4
Industrial	109.6	115.6	316.4	357.5
Other Power Suppliers	30.9	37.3	96.6	111.9
CIP Financial Incentive (a)	2.4	2.8	2.4	2.8
Other	29.7	20.0	69.6	59.7
Total Regulated Operations	255.1	254.1	721.2	786.1
ALLETE Clean Energy
Long-term PSA	11.9	7.5	44.0	34.6
Other	2.9	2.9	8.5	8.7
Total ALLETE Clean Energy	14.8	10.4	52.5	43.3
U.S. Water Services (b)
Point-in-Time	—	—	—	19.0
Contract	—	—	—	9.2
Capital Project	—	—	—	5.2
Total U.S. Water Services	—	—	—	33.4
Corporate and Other
Long-term Contract	20.7	20.5	65.6	61.9
Other	3.3	3.3	9.4	11.2
Total Corporate and Other	24.0	23.8	75.0	73.1
Total Operating Revenue	$293.9	$288.3	$848.7	$935.9
Net Income (Loss) Attributable to ALLETE
Regulated Operations	$42.4	$32.4	$111.0	$114.2
ALLETE Clean Energy	1.1	(1.2)	16.8	6.5
U.S. Water Services (b)	—	—	—	(1.1)
Corporate and Other (b)	(2.8)	—	(0.7)	16.3
Total Net Income Attributable to ALLETE	$40.7	$31.2	$127.1	$135.9

(a)     See Note 2. Regulatory Matters.

(b)     In March 2019, ALLETE sold U.S. Water Services. The Company recognized a gain on the sale of $11.1 million after-tax during the nine months ended September 30, 2019, which is reflected in Corporate and Other.

	September 30, 2020	December 31, 2019
Millions
Assets
Regulated Operations	$4,134.4	$4,130.8
ALLETE Clean Energy	1,308.3	1,001.5
Corporate and Other	435.8	350.5
Total Assets	$5,878.5	$5,482.8