Business Segments

6 Months Ended

Jun. 30, 2023

Segment Reporting [Abstract]

Business Segments [Text Block]

BUSINESS SEGMENTS

We present two reportable segments: Regulated Operations and ALLETE Clean Energy. 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. We also present Corporate and Other which includes New Energy, a renewable energy development company, BNI Energy, our coal mining operations in North Dakota, ALLETE Properties, our legacy Florida real estate investment, along with our investment in Nobles 2, South Shore Energy, our non-rate regulated, Wisconsin subsidiary developing NTEC, other business development and corporate expenditures, unallocated interest expense, a small amount of non-rate base generation, land holdings in Minnesota, and earnings on cash and investments.

NOTE 10. BUSINESS SEGMENTS (Continued)

	Quarter Ended		Six Months Ended
	June 30		June 30
	2023	2022	2023	2022
Millions
Operating Revenue
Regulated Operations
Residential	$36.0	$40.6	$85.4	$96.6
Commercial	44.0	44.4	91.7	92.7
Municipal	7.6	10.0	16.5	22.1
Industrial	140.2	150.6	285.1	298.4
Other Power Suppliers	36.3	36.9	72.2	77.9
Other	28.1	26.2	53.9	50.0
Total Regulated Operations	292.2	308.7	604.8	637.7
ALLETE Clean Energy
Long-term PSA	13.2	18.9	31.6	44.3
Sale of Wind Energy Facilities	166.6	—	348.4	—
Other	1.3	2.3	2.6	5.1
Total ALLETE Clean Energy	181.1	21.2	382.6	49.4
Corporate and Other
Long-term Contract	23.9	21.4	49.4	44.0
Sale of Renewable Development Projects	32.6	14.5	52.4	14.5
Other	3.6	7.3	9.1	11.0
Total Corporate and Other	60.1	43.2	110.9	69.5
Total Operating Revenue	$533.4	$373.1	$1,098.3	$756.6
Net Income Attributable to ALLETE
Regulated Operations	$37.8	$29.6	$78.4	$81.1
ALLETE Clean Energy	3.1	5.8	11.6	22.3
Corporate and Other (a)	10.6	2.2	19.7	0.5
Total Net Income Attributable to ALLETE	$51.5	$37.6	$109.7	$103.9

(a)Net Income in 2022 includes a $4.0 million after-tax expense as a result of purchase price accounting related to projects under development at the time of acquisition and $3.0 million after-tax of transaction costs related to the acquisition of New Energy.

	June 30, 2023	December 31, 2022
Millions
Assets
Regulated Operations	$4,259.8	$4,291.4
ALLETE Clean Energy	1,557.9	1,873.3
Corporate and Other	750.2	680.9
Total Assets	$6,567.9	$6,845.6