10-Q

	UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q
x	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the Quarterly Period Ended March 31, 2017
	or
¨	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE      SECURITIES EXCHANGE ACT OF 1934
	For the transition period from ____________ to ____________

Commission File Number	Registrant; State of Incorporation; Address; and Telephone Number	I.R.S. Employer Identification No.
1-5324	EVERSOURCE ENERGY (a Massachusetts voluntary association) 300 Cadwell Drive Springfield, Massachusetts 01104 Telephone:  (800) 286-5000	04-2147929
0-00404	THE CONNECTICUT LIGHT AND POWER COMPANY (a Connecticut corporation) 107 Selden Street Berlin, Connecticut 06037-1616 Telephone:  (800) 286-5000	06-0303850
1-02301	NSTAR ELECTRIC COMPANY (a Massachusetts corporation) 800 Boylston Street Boston, Massachusetts 02199 Telephone:  (800) 286-5000	04-1278810
1-6392	PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE (a New Hampshire corporation) Energy Park 780 North Commercial Street Manchester, New Hampshire 03101-1134 Telephone:  (800) 286-5000	02-0181050
0-7624	WESTERN MASSACHUSETTS ELECTRIC COMPANY (a Massachusetts corporation) 300 Cadwell Drive Springfield, Massachusetts 01104 Telephone:  (800) 286-5000	04-1961130

Indicate by check mark whether the registrants (1) have filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrants were required to file such reports), and (2) have been subject to such filing requirements for the past 90 days.

Yes	No
x	¨

Indicate by check mark whether the registrants have submitted electronically and posted on its corporate Web sites, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrants were required to submit and post such files).

Yes	No
x	¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.  (Check one):

	Large accelerated filer	Accelerated filer	Non-accelerated filer	Smaller reporting company	Emerging growth company
Eversource Energy	x	¨	¨	¨	¨
The Connecticut Light and Power Company	¨	¨	x	¨	¨
NSTAR Electric Company	¨	¨	x	¨	¨
Public Service Company of New Hampshire	¨	¨	x	¨	¨
Western Massachusetts Electric Company	¨	¨	x	¨	¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrants are shell companies (as defined in Rule 12b-2 of the Exchange Act):

	Yes	No
Eversource Energy	¨	x
The Connecticut Light and Power Company	¨	x
NSTAR Electric Company	¨	x
Public Service Company of New Hampshire	¨	x
Western Massachusetts Electric Company	¨	x

Indicate the number of shares outstanding of each of the issuers' classes of common stock, as of the latest practicable date:

Company - Class of Stock	Outstanding as of April 30, 2017
Eversource Energy Common Shares, $5.00 par value	316,885,808 shares
The Connecticut Light and Power Company Common Stock, $10.00 par value	6,035,205 shares
NSTAR Electric Company Common Stock, $1.00 par value	100 shares
Public Service Company of New Hampshire Common Stock, $1.00 par value	301 shares
Western Massachusetts Electric Company Common Stock, $25.00 par value	434,653 shares

Eversource Energy holds all of the 6,035,205 shares, 100 shares, 301 shares, and 434,653 shares of the outstanding common stock of The Connecticut Light and Power Company, NSTAR Electric Company, Public Service Company of New Hampshire and Western Massachusetts Electric Company, respectively.

NSTAR Electric Company, Public Service Company of New Hampshire and Western Massachusetts Electric Company each meet the conditions set forth in General Instructions H(1)(a) and (b) of Form 10-Q, and each is therefore filing this Form 10-Q with the reduced disclosure format specified in General Instruction H(2) of Form 10-Q.

Eversource Energy, The Connecticut Light and Power Company, NSTAR Electric Company, Public Service Company of New Hampshire, and Western Massachusetts Electric Company each separately file this combined Form 10-Q.  Information contained herein relating to any individual registrant is filed by such registrant on its own behalf.  Each registrant makes no representation as to information relating to the other registrants.  

GLOSSARY OF TERMS

The following is a glossary of abbreviations or acronyms that are found in this report:

Current or former Eversource Energy companies, segments or investments:
Eversource, ES or the Company	Eversource Energy and subsidiaries
Eversource parent or ES parent	Eversource Energy, a public utility holding company
ES parent and other companies	ES parent and other companies are comprised of Eversource parent, Eversource Service and other subsidiaries, which primarily includes our unregulated businesses, HWP Company, The Rocky River Realty Company (a real estate subsidiary), and the consolidated operations of CYAPC and YAEC
CL&P	The Connecticut Light and Power Company
NSTAR Electric	NSTAR Electric Company
PSNH	Public Service Company of New Hampshire
WMECO	Western Massachusetts Electric Company
NSTAR Gas	NSTAR Gas Company
Yankee Gas	Yankee Gas Services Company
NPT	Northern Pass Transmission LLC
Eversource Service	Eversource Energy Service Company
CYAPC	Connecticut Yankee Atomic Power Company
MYAPC	Maine Yankee Atomic Power Company
YAEC	Yankee Atomic Electric Company
Yankee Companies	CYAPC, YAEC and MYAPC
Regulated companies	The Eversource Regulated companies are comprised of the electric distribution and transmission businesses of CL&P, NSTAR Electric, PSNH, and WMECO, the natural gas distribution businesses of Yankee Gas and NSTAR Gas, the generation activities of PSNH and WMECO, and NPT
Regulators:
DEEP	Connecticut Department of Energy and Environmental Protection
DOE	U.S. Department of Energy
DOER	Massachusetts Department of Energy Resources
DPU	Massachusetts Department of Public Utilities
EPA	U.S. Environmental Protection Agency
FERC	Federal Energy Regulatory Commission
ISO-NE	ISO New England, Inc., the New England Independent System Operator
MA DEP	Massachusetts Department of Environmental Protection
NHPUC	New Hampshire Public Utilities Commission
PURA	Connecticut Public Utilities Regulatory Authority
SEC	U.S. Securities and Exchange Commission
SJC	Supreme Judicial Court of Massachusetts
Other Terms and Abbreviations:
Access Northeast	A project being developed jointly by Eversource, Enbridge, Inc. ("Enbridge"), and National Grid plc ("National Grid") through Algonquin Gas Transmission, LLC to bring needed additional natural gas pipeline and storage capacity to New England.
ADIT	Accumulated Deferred Income Taxes
AFUDC	Allowance For Funds Used During Construction
AOCL	Accumulated Other Comprehensive Loss
ARO	Asset Retirement Obligation
Bay State Wind	A proposed offshore wind project being developed off the coast of Massachusetts
Bcf	Billion cubic feet
C&LM	Conservation and Load Management
CfD	Contract for Differences
Clean Air Project	The construction of a wet flue gas desulphurization system, known as "scrubber technology," to reduce mercury emissions of the Merrimack coal-fired generation station in Bow, New Hampshire
CO2	Carbon dioxide
CPSL	Capital Projects Scheduling List
CTA	Competitive Transition Assessment
CWIP	Construction Work in Progress
EDC	Electric distribution company
EPS	Earnings Per Share
ERISA	Employee Retirement Income Security Act of 1974

i

ESOP	Employee Stock Ownership Plan
ESPP	Employee Share Purchase Plan
Eversource 2016 Form 10-K	The Eversource Energy and Subsidiaries 2016 combined Annual Report on Form 10-K as filed with the SEC
FERC ALJ	FERC Administrative Law Judge
Fitch	Fitch Ratings
FMCC	Federally Mandated Congestion Charge
FTR	Financial Transmission Rights
GAAP	Accounting principles generally accepted in the United States of America
GSC	Generation Service Charge
GSRP	Greater Springfield Reliability Project
GWh	Gigawatt-Hours
HQ	Hydro-Québec, a corporation wholly-owned by the Québec government, including its divisions that produce, transmit and distribute electricity in Québec, Canada
HVDC	High voltage direct current
Hydro Renewable Energy	Hydro Renewable Energy, Inc., a wholly-owned subsidiary of Hydro-Québec
IPP	Independent Power Producers
ISO-NE Tariff	ISO-NE FERC Transmission, Markets and Services Tariff
kV	Kilovolt
kVa	Kilovolt-ampere
kW	Kilowatt (equal to one thousand watts)
kWh	Kilowatt-Hours (the basic unit of electricity energy equal to one kilowatt of power supplied for one hour)
LBR	Lost Base Revenue
LNG	Liquefied natural gas
LRS	Supplier of last resort service
McF	Million cubic feet
MGP	Manufactured Gas Plant
MMBtu	One million British thermal units
Moody's	Moody's Investors Services, Inc.
MW	Megawatt
MWh	Megawatt-Hours
NEEWS	New England East-West Solution
NETOs	New England Transmission Owners
Northern Pass	The high-voltage direct-current and associated alternating-current transmission line project from Canada into New Hampshire
NOx	Nitrogen oxides
OCI	Other Comprehensive Income/(Loss)
PAM	Pension and PBOP Rate Adjustment Mechanism
PBOP	Postretirement Benefits Other Than Pension
PBOP Plan	Postretirement Benefits Other Than Pension Plan that provides certain retiree benefits, primarily medical, dental and life insurance
PCRBs	Pollution Control Revenue Bonds
Pension Plan	Single uniform noncontributory defined benefit retirement plan
PPA	Pension Protection Act
RECs	Renewable Energy Certificates
Regulatory ROE	The average cost of capital method for calculating the return on equity related to the distribution and generation business segment excluding the wholesale transmission segment
RNS	Regional Network Service
ROE	Return on Equity
RRB	Rate Reduction Bond or Rate Reduction Certificate
RSUs	Restricted share units
S&P	Standard & Poor's Financial Services LLC
SBC	Systems Benefits Charge
SCRC	Stranded Cost Recovery Charge
SERP	Supplemental Executive Retirement Plans and non-qualified defined benefit retirement plans
SIP	Simplified Incentive Plan
SO2	Sulfur dioxide
SS	Standard service
TCAM	Transmission Cost Adjustment Mechanism
TSA	Transmission Service Agreement
UI	The United Illuminating Company

ii

EVERSOURCE ENERGY AND SUBSIDIARIES   

THE CONNECTICUT LIGHT AND POWER COMPANY

NSTAR ELECTRIC COMPANY AND SUBSIDIARY

PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE AND SUBSIDIARY

WESTERN MASSACHUSETTS ELECTRIC COMPANY

TABLE OF CONTENTS

		Page
PART I – FINANCIAL INFORMATION
ITEM 1.	Financial Statements (Unaudited)
	Eversource Energy and Subsidiaries (Unaudited)
	Condensed Consolidated Balance Sheets	1
	Condensed Consolidated Statements of Income	2
	Condensed Consolidated Statements of Comprehensive Income	2
	Condensed Consolidated Statements of Cash Flows	3
	The Connecticut Light and Power Company (Unaudited)
	Condensed Balance Sheets	4
	Condensed Statements of Income	5
	Condensed Statements of Comprehensive Income	5
	Condensed Statements of Cash Flows	6
	NSTAR Electric Company and Subsidiary (Unaudited)
	Condensed Consolidated Balance Sheets	7
	Condensed Consolidated Statements of Income	8
	Condensed Consolidated Statements of Comprehensive Income	8
	Condensed Consolidated Statements of Cash Flows	9
	Public Service Company of New Hampshire and Subsidiary (Unaudited)
	Condensed Consolidated Balance Sheets	10
	Condensed Consolidated Statements of Income	11
	Condensed Consolidated Statements of Comprehensive Income	11
	Condensed Consolidated Statements of Cash Flows	12
	Western Massachusetts Electric Company (Unaudited)
	Condensed Balance Sheets	13
	Condensed Statements of Income	14
	Condensed Statements of Comprehensive Income	14
	Condensed Statements of Cash Flows	15
	Combined Notes to Condensed Financial Statements (Unaudited)	16
ITEM 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations
	Eversource Energy and Subsidiaries	32
	The Connecticut Light and Power Company	45
	NSTAR Electric Company and Subsidiary	47
	Public Service Company of New Hampshire and Subsidiary	49
	Western Massachusetts Electric Company	51
ITEM 3.	Quantitative and Qualitative Disclosures About Market Risk	53
ITEM 4.	Controls and Procedures	53
PART II – OTHER INFORMATION
ITEM 1.	Legal Proceedings	54
ITEM 1A.	Risk Factors	54
ITEM 2.	Unregistered Sales of Equity Securities and Use of Proceeds	54
ITEM 6.	Exhibits	55
SIGNATURES		57

iii

EVERSOURCE ENERGY AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(Thousands of Dollars)	As of March 31, 2017			As of December 31, 2016
ASSETS
Current Assets:
Cash and Cash Equivalents	$	45,763		$	30,251
Receivables, Net	879,451			847,301
Unbilled Revenues	166,710			168,490
Fuel, Materials, Supplies and Inventory	361,779			328,721
Regulatory Assets	875,037			887,625
Prepayments and Other Current Assets	182,659			215,284
Total Current Assets	2,511,399			2,477,672
Property, Plant and Equipment, Net	21,641,898			21,350,510
Deferred Debits and Other Assets:
Regulatory Assets	3,564,700			3,638,688
Goodwill	3,519,401			3,519,401
Marketable Securities	561,585			544,642
Other Long-Term Assets	556,193			522,260
Total Deferred Debits and Other Assets	8,201,879			8,224,991
Total Assets	$	32,355,176		$	32,053,173
LIABILITIES AND CAPITALIZATION
Current Liabilities:
Notes Payable	$	975,500		$	1,148,500
Long-Term Debt – Current Portion	773,883			773,883
Accounts Payable	745,856			884,521
Regulatory Liabilities	199,160			146,787
Other Current Liabilities	639,366			684,914
Total Current Liabilities	3,333,765			3,638,605
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	5,758,603			5,607,207
Regulatory Liabilities	692,989			702,255
Derivative Liabilities	415,795			413,676
Accrued Pension and SERP	1,077,593			1,141,514
Other Long-Term Liabilities	848,776			853,260
Total Deferred Credits and Other Liabilities	8,793,756			8,717,912
Capitalization:
Long-Term Debt	9,267,891			8,829,354
Noncontrolling Interest - Preferred Stock of Subsidiaries	155,568			155,568
Equity:
Common Shareholders' Equity:
Common Shares	1,669,392			1,669,392
Capital Surplus, Paid In	6,230,608			6,250,224
Retained Earnings	3,284,108			3,175,171
Accumulated Other Comprehensive Loss	(62,141		)	(65,282		)
Treasury Stock	(317,771		)	(317,771		)
Common Shareholders' Equity	10,804,196			10,711,734
Total Capitalization	20,227,655			19,696,656
Total Liabilities and Capitalization	$	32,355,176		$	32,053,173

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

1

EVERSOURCE ENERGY AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars, Except Share Information)	2017		2016
Operating Revenues	$	2,105,135	$	2,055,635
Operating Expenses:
Purchased Power, Fuel and Transmission	753,649		754,859
Operations and Maintenance	330,265		320,136
Depreciation	186,805		173,986
Amortization of Regulatory Assets, Net	24,017		20,997
Energy Efficiency Programs	146,158		137,175
Taxes Other Than Income Taxes	155,222		159,946
Total Operating Expenses	1,596,116		1,567,099
Operating Income	509,019		488,536
Interest Expense	103,429		98,212
Other Income, Net	13,577		2,011
Income Before Income Tax Expense	419,167		392,335
Income Tax Expense	157,829		146,302
Net Income	261,338		246,033
Net Income Attributable to Noncontrolling Interests	1,880		1,880
Net Income Attributable to Common Shareholders	$	259,458	$	244,153
Basic and Diluted Earnings Per Common Share	$	0.82	$	0.77
Dividends Declared Per Common Share	$	0.48	$	0.45
Weighted Average Common Shares Outstanding:
Basic	317,463,151		317,517,141
Diluted	318,124,536		318,481,050

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Net Income	$	261,338		$	246,033
Other Comprehensive Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	534			534
Changes in Unrealized Gains on Marketable Securities	1,645			264
Changes in Funded Status of Pension, SERP and PBOP Benefit Plans	962			871
Other Comprehensive Income, Net of Tax	3,141			1,669
Comprehensive Income Attributable to Noncontrolling Interests	(1,880		)	(1,880		)
Comprehensive Income Attributable to Common Shareholders	$	262,599		$	245,822

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

2

EVERSOURCE ENERGY AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Operating Activities:
Net Income	$	261,338		$	246,033
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	186,805			173,986
Deferred Income Taxes	141,398			141,132
Pension, SERP and PBOP Expense, Net	5,828			11,583
Pension and PBOP Contributions	(45,700		)	(30,383		)
Regulatory Over/(Under) Recoveries, Net	56,734			(82,772		)
Amortization of Regulatory Assets, Net	24,017			20,997
Other	(42,428		)	(16,532		)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(50,251		)	(133,965		)
Fuel, Materials, Supplies and Inventory	(33,058		)	(22,748		)
Taxes Receivable/Accrued, Net	32,313			279,106
Accounts Payable	(57,701		)	(76,317		)
Other Current Assets and Liabilities, Net	(42,793		)	(10,156		)
Net Cash Flows Provided by Operating Activities	436,502			499,964
Investing Activities:
Investments in Property, Plant and Equipment	(523,560		)	(431,472		)
Proceeds from Sales of Marketable Securities	154,772			136,805
Purchases of Marketable Securities	(149,688		)	(135,427		)
Other Investing Activities	(11,281		)	5,494
Net Cash Flows Used in Investing Activities	(529,757		)	(424,600		)
Financing Activities:
Cash Dividends on Common Shares	(150,521		)	(141,157		)
Cash Dividends on Preferred Stock	(1,880		)	(1,880		)
Decrease in Notes Payable	(173,000		)	(391,453		)
Issuance of Long-Term Debt	600,000			500,000
Retirements of Long-Term Debt	(150,000		)	—
Other Financing Activities	(15,832		)	(13,855		)
Net Cash Flows Provided by/(Used in) Financing Activities	108,767			(48,345		)
Net Increase in Cash and Cash Equivalents	15,512			27,019
Cash and Cash Equivalents - Beginning of Period	30,251			23,947
Cash and Cash Equivalents - End of Period	$	45,763		$	50,966

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

3

THE CONNECTICUT LIGHT AND POWER COMPANY

CONDENSED BALANCE SHEETS

(Unaudited)

(Thousands of Dollars)	As of March 31, 2017		As of December 31, 2016
ASSETS
Current Assets:
Cash	$	15,315	$	6,579
Receivables, Net	349,714		359,132
Accounts Receivable from Affiliated Companies	17,184		16,851
Unbilled Revenues	51,069		50,373
Materials, Supplies and Inventory	56,432		52,050
Regulatory Assets	370,083		335,526
Prepayments and Other Current Assets	52,406		52,670
Total Current Assets	912,203		873,181
Property, Plant and Equipment, Net	7,754,894		7,632,392
Deferred Debits and Other Assets:
Regulatory Assets	1,367,486		1,391,564
Other Long-Term Assets	140,157		137,907
Total Deferred Debits and Other Assets	1,507,643		1,529,471
Total Assets	$	10,174,740	$	10,035,044
LIABILITIES AND CAPITALIZATION
Current Liabilities:
Notes Payable to Eversource Parent	$	3,400	$	80,100
Long-Term Debt – Current Portion	100,000		250,000
Accounts Payable	281,414		289,532
Accounts Payable to Affiliated Companies	67,250		88,075
Obligations to Third Party Suppliers	51,885		55,520
Regulatory Liabilities	58,946		47,055
Derivative Liabilities	70,739		77,765
Other Current Liabilities	127,869		120,399
Total Current Liabilities	761,503		1,008,446
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	2,037,638		1,987,661
Regulatory Liabilities	101,241		100,138
Derivative Liabilities	415,187		412,750
Accrued Pension, SERP and PBOP	296,105		300,208
Other Long-Term Liabilities	123,931		123,244
Total Deferred Credits and Other Liabilities	2,974,102		2,924,001
Capitalization:
Long-Term Debt	2,813,151		2,516,010
Preferred Stock Not Subject to Mandatory Redemption	116,200		116,200
Common Stockholder's Equity:
Common Stock	60,352		60,352
Capital Surplus, Paid In	2,110,726		2,110,714
Retained Earnings	1,338,592		1,299,374
Accumulated Other Comprehensive Income/(Loss)	114		(53		)
Common Stockholder's Equity	3,509,784		3,470,387
Total Capitalization	6,439,135		6,102,597
Total Liabilities and Capitalization	$	10,174,740	$	10,035,044

The accompanying notes are an integral part of these unaudited condensed financial statements.

4

THE CONNECTICUT LIGHT AND POWER COMPANY

CONDENSED STATEMENTS OF INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017		2016
Operating Revenues	$	732,310	$	735,317
Operating Expenses:
Purchased Power and Transmission	244,938		272,600
Operations and Maintenance	128,226		110,843
Depreciation	59,751		56,969
Amortization of Regulatory Assets, Net	12,803		9,878
Energy Efficiency Programs	36,591		38,090
Taxes Other Than Income Taxes	73,979		75,465
Total Operating Expenses	556,288		563,845
Operating Income	176,022		171,472
Interest Expense	34,964		36,498
Other Income, Net	2,756		936
Income Before Income Tax Expense	143,814		135,910
Income Tax Expense	53,606		48,863
Net Income	$	90,208	$	87,047

The accompanying notes are an integral part of these unaudited condensed financial statements.

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017		2016
Net Income	$	90,208	$	87,047
Other Comprehensive Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	111		111
Changes in Unrealized Gains on Marketable Securities	56		9
Other Comprehensive Income, Net of Tax	167		120
Comprehensive Income	$	90,375	$	87,167

The accompanying notes are an integral part of these unaudited condensed financial statements.

5

THE CONNECTICUT LIGHT AND POWER COMPANY

CONDENSED STATEMENTS OF CASH FLOWS

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Operating Activities:
Net Income	$	90,208		$	87,047
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	59,751			56,969
Deferred Income Taxes	47,864			58,363
Regulatory Underrecoveries, Net	(18,734		)	(70,195		)
Amortization of Regulatory Assets, Net	12,803			9,878
Other	(2,373		)	2,216
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(1,280		)	(37,501		)
Taxes Receivable/Accrued, Net	32,920			141,951
Accounts Payable	(16,957		)	(5,040		)
Other Current Assets and Liabilities, Net	(32,576		)	(22,533		)
Net Cash Flows Provided by Operating Activities	171,626			221,155
Investing Activities:
Investments in Property, Plant and Equipment	(181,601		)	(147,131		)
Proceeds from the Sale of  Property, Plant and Equipment	—			9,047
Other Investing Activities	32			49
Net Cash Flows Used in Investing Activities	(181,569		)	(138,035		)
Financing Activities:
Cash Dividends on Common Stock	(49,600		)	(49,900		)
Cash Dividends on Preferred Stock	(1,390		)	(1,390		)
Capital Contributions from Eversource Parent	—			145,700
Issuance of Long-Term Debt	300,000			—
Retirement of Long-Term Debt	(150,000		)	—
Decrease in Notes Payable to Eversource Parent	(76,700		)	(161,900		)
Other Financing Activities	(3,631		)	(205		)
Net Cash Flows Provided by/(Used in) Financing Activities	18,679			(67,695		)
Net Increase in Cash	8,736			15,425
Cash - Beginning of Period	6,579			1,057
Cash - End of Period	$	15,315		$	16,482

The accompanying notes are an integral part of these unaudited condensed financial statements.

6

NSTAR ELECTRIC COMPANY AND SUBSIDIARY

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(Thousands of Dollars)	As of March 31, 2017		As of December 31, 2016
ASSETS
Current Assets:
Cash and Cash Equivalents	$	2,448	$	3,494
Receivables, Net	264,337		257,557
Accounts Receivable from Affiliated Companies	4,565		8,581
Unbilled Revenues	28,393		31,632
Taxes Receivable	2,884		39,738
Materials, Supplies and Inventory	94,338		62,288
Regulatory Assets	276,476		289,400
Prepayments and Other Current Assets	17,109		14,906
Total Current Assets	690,550		707,596
Property, Plant and Equipment, Net	6,108,944		6,051,835
Deferred Debits and Other Assets:
Regulatory Assets	1,051,090		1,057,746
Prepaid PBOP	100,609		95,073
Other Long-Term Assets	63,371		60,572
Total Deferred Debits and Other Assets	1,215,070		1,213,391
Total Assets	$	8,014,564	$	7,972,822
LIABILITIES AND CAPITALIZATION
Current Liabilities:
Notes Payable	$	174,500	$	126,500
Long-Term Debt – Current Portion	400,000		400,000
Accounts Payable	177,110		232,599
Accounts Payable to Affiliated Companies	96,924		91,532
Obligations to Third Party Suppliers	60,650		55,863
Renewable Portfolio Standards Compliance Obligations	94,800		75,571
Regulatory Liabilities	62,154		63,653
Other Current Liabilities	54,166		71,122
Total Current Liabilities	1,120,304		1,116,840
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	1,866,259		1,836,292
Regulatory Liabilities	390,458		391,823
Accrued Pension and SERP	99,491		111,827
Other Long-Term Liabilities	125,640		123,194
Total Deferred Credits and Other Liabilities	2,481,848		2,463,136
Capitalization:
Long-Term Debt	1,678,514		1,678,116
Preferred Stock Not Subject to Mandatory Redemption	43,000		43,000
Common Stockholder's Equity:
Common Stock	—		—
Capital Surplus, Paid In	1,045,378		1,045,378
Retained Earnings	1,645,156		1,625,984
Accumulated Other Comprehensive Income	364		368
Common Stockholder's Equity	2,690,898		2,671,730
Total Capitalization	4,412,412		4,392,846
Total Liabilities and Capitalization	$	8,014,564	$	7,972,822

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

7

NSTAR ELECTRIC COMPANY AND SUBSIDIARY

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017		2016
Operating Revenues	$	603,779	$	614,216
Operating Expenses:
Purchased Power and Transmission	233,093		254,336
Operations and Maintenance	88,351		94,696
Depreciation	55,216		51,886
Amortization of Regulatory Assets, Net	4,977		4,683
Energy Efficiency Programs	67,312		66,243
Taxes Other Than Income Taxes	27,393		32,555
Total Operating Expenses	476,342		504,399
Operating Income	127,437		109,817
Interest Expense	22,029		20,889
Other Income/(Loss), Net	3,249		(334		)
Income Before Income Tax Expense	108,657		88,594
Income Tax Expense	42,495		34,101
Net Income	$	66,162	$	54,493

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Net Income	$	66,162		$	54,493
Other Comprehensive Loss, Net of Tax:
Changes in Funded Status of SERP Benefit Plan	(4		)	(10		)
Other Comprehensive Loss, Net of Tax	(4		)	(10		)
Comprehensive Income	$	66,158		$	54,483

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

8

NSTAR ELECTRIC COMPANY AND SUBSIDIARY

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Operating Activities:
Net Income	$	66,162		$	54,493
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	55,216			51,886
Deferred Income Taxes	29,199			32,878
Pension, SERP and PBOP Benefits and Contributions, Net of Expense	(10,422		)	(12,953		)
Regulatory Over/(Under) Recoveries, Net	4,373			(16,746		)
Amortization of Regulatory Assets, Net	4,977			4,683
Other	(3,691		)	(3,245		)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(2,376		)	(29,132		)
Materials, Supplies and Inventory	(32,050		)	(40,322		)
Taxes Receivable/Accrued, Net	38,970			33,938
Accounts Payable	(19,025		)	1,187
Other Current Assets and Liabilities, Net	2,371			19,600
Net Cash Flows Provided by Operating Activities	133,704			96,267
Investing Activities:
Investments in Property, Plant and Equipment	(132,105		)	(91,319		)
Other Investing Activities	(3,617		)	—
Net Cash Flows Used in Investing Activities	(135,722		)	(91,319		)
Financing Activities:
Cash Dividends on Common Stock	(46,500		)	(90,300		)
Cash Dividends on Preferred Stock	(490		)	(490		)
Increase in Notes Payable	48,000			86,000
Other Financing Activities	(38		)	—
Net Cash Flows Provided by/(Used in) Financing Activities	972			(4,790		)
(Decrease)/Increase in Cash and Cash Equivalents	(1,046		)	158
Cash and Cash Equivalents - Beginning of Period	3,494			3,346
Cash and Cash Equivalents - End of Period	$	2,448		$	3,504

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

9

PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE AND SUBSIDIARY

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(Thousands of Dollars)	As of March 31, 2017			As of December 31, 2016
ASSETS
Current Assets:
Cash	$	7,743		$	4,646
Receivables, Net	81,899			84,450
Accounts Receivable from Affiliated Companies	2,098			4,185
Unbilled Revenues	42,784			41,004
Fuel, Materials, Supplies and Inventory	165,725			162,354
Regulatory Assets	111,274			117,240
Prepayments and Other Current Assets	9,423			28,908
Total Current Assets	420,946			442,787
Property, Plant and Equipment, Net	3,076,608			3,039,313
Deferred Debits and Other Assets:
Regulatory Assets	243,643			245,525
Other Long-Term Assets	42,797			37,720
Total Deferred Debits and Other Assets	286,440			283,245
Total Assets	$	3,783,994		$	3,765,345
LIABILITIES AND CAPITALIZATION
Current Liabilities:
Notes Payable to Eversource Parent	$	144,900		$	160,900
Long-Term Debt – Current Portion	70,000			70,000
Accounts Payable	70,710			85,716
Accounts Payable to Affiliated Companies	40,463			29,154
Regulatory Liabilities	17,224			12,659
Other Current Liabilities	52,771			43,253
Total Current Liabilities	396,068			401,682
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	796,118			785,385
Regulatory Liabilities	45,600			44,779
Accrued Pension, SERP and PBOP	91,911			94,652
Other Long-Term Liabilities	48,435			49,442
Total Deferred Credits and Other Liabilities	982,064			974,258
Capitalization:
Long-Term Debt	1,002,305			1,002,048
Common Stockholder's Equity:
Common Stock	—			—
Capital Surplus, Paid In	843,134			843,134
Retained Earnings	565,098			549,286
Accumulated Other Comprehensive Loss	(4,675		)	(5,063		)
Common Stockholder's Equity	1,403,557			1,387,357
Total Capitalization	2,405,862			2,389,405
Total Liabilities and Capitalization	$	3,783,994		$	3,765,345

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

10

PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE AND SUBSIDIARY

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017		2016
Operating Revenues	$	253,157	$	242,290
Operating Expenses:
Purchased Power, Fuel and Transmission	61,747		50,214
Operations and Maintenance	62,351		59,213
Depreciation	30,735		28,235
Amortization of Regulatory Assets, Net	5,445		8,518
Energy Efficiency Programs	3,746		3,620
Taxes Other Than Income Taxes	20,881		21,795
Total Operating Expenses	184,905		171,595
Operating Income	68,252		70,695
Interest Expense	12,808		12,461
Other Income, Net	1,198		150
Income Before Income Tax Expense	56,642		58,384
Income Tax Expense	22,330		22,326
Net Income	$	34,312	$	36,058

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017		2016
Net Income	$	34,312	$	36,058
Other Comprehensive Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	291		290
Changes in Unrealized Gains on Marketable Securities	97		16
Other Comprehensive Income, Net of Tax	388		306
Comprehensive Income	$	34,700	$	36,364

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

11

PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE AND SUBSIDIARY

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Operating Activities:
Net Income	$	34,312		$	36,058
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	30,735			28,235
Deferred Income Taxes	11,290			21,181
Regulatory Over/(Under) Recoveries, Net	3,507			(2,291		)
Amortization of Regulatory Assets, Net	5,445			8,518
Other	(4,471		)	(9,166		)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	1,149			(17,207		)
Fuel, Materials, Supplies and Inventory	(3,371		)	6,903
Taxes Receivable/Accrued, Net	1,778			57,935
Accounts Payable	5,475			2,100
Other Current Assets and Liabilities, Net	27,332			24,021
Net Cash Flows Provided by Operating Activities	113,181			156,287
Investing Activities:
Investments in Property, Plant and Equipment	(75,327		)	(72,338		)
Other Investing Activities	(145		)	84
Net Cash Flows Used in Investing Activities	(75,472		)	(72,254		)
Financing Activities:
Cash Dividends on Common Stock	(18,500		)	(19,400		)
Capital Contributions from Eversource Parent	—			11,500
Decrease in Notes Payable to Eversource Parent	(16,000		)	(74,200		)
Other Financing Activities	(112		)	(86		)
Net Cash Flows Used in Financing Activities	(34,612		)	(82,186		)
Net Increase in Cash	3,097			1,847
Cash - Beginning of Period	4,646			1,733
Cash - End of Period	$	7,743		$	3,580

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

12

WESTERN MASSACHUSETTS ELECTRIC COMPANY

CONDENSED BALANCE SHEETS

(Unaudited)

(Thousands of Dollars)	As of March 31, 2017			As of December 31, 2016
ASSETS
Current Assets:
Cash	$	769		$	—
Receivables, Net	57,340			54,940
Accounts Receivable from Affiliated Companies	16,588			14,425
Unbilled Revenues	16,850			15,329
Materials, Supplies and Inventory	9,911			8,618
Regulatory Assets	66,033			64,123
Prepayments and Other Current Assets	3,365			2,595
Total Current Assets	170,856			160,030
Property, Plant and Equipment, Net	1,694,818			1,678,262
Deferred Debits and Other Assets:
Regulatory Assets	123,317			127,291
Other Long-Term Assets	31,171			29,062
Total Deferred Debits and Other Assets	154,488			156,353
Total Assets	$	2,020,162		$	1,994,645
LIABILITIES AND CAPITALIZATION
Current Liabilities:
Notes Payable to Eversource Parent	$	71,400		$	51,000
Accounts Payable	44,023			56,036
Accounts Payable to Affiliated Companies	14,837			19,478
Obligations to Third Party Suppliers	9,705			10,508
Renewable Portfolio Standards Compliance Obligations	25,110			20,383
Regulatory Liabilities	12,897			14,888
Other Current Liabilities	7,659			14,984
Total Current Liabilities	185,631			187,277
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	507,203			490,793
Regulatory Liabilities	19,119			17,227
Accrued Pension, SERP and PBOP	18,660			20,390
Other Long-Term Liabilities	44,177			41,308
Total Deferred Credits and Other Liabilities	589,159			569,718
Capitalization:
Long-Term Debt	566,415			566,536
Common Stockholder's Equity:
Common Stock	10,866			10,866
Capital Surplus, Paid In	444,398			444,398
Retained Earnings	225,930			218,212
Accumulated Other Comprehensive Loss	(2,237		)	(2,362		)
Common Stockholder's Equity	678,957			671,114
Total Capitalization	1,245,372			1,237,650
Total Liabilities and Capitalization	$	2,020,162		$	1,994,645

The accompanying notes are an integral part of these unaudited condensed financial statements.   

13

WESTERN MASSACHUSETTS ELECTRIC COMPANY

CONDENSED STATEMENTS OF INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Operating Revenues	$	130,136		$	128,095
Operating Expenses:
Purchased Power and Transmission	40,867			39,563
Operations and Maintenance	22,498			21,805
Depreciation	12,002			11,371
Amortization of Regulatory (Liabilities)/Assets, Net	(488		)	1,212
Energy Efficiency Programs	10,664			10,856
Taxes Other Than Income Taxes	10,428			10,232
Total Operating Expenses	95,971			95,039
Operating Income	34,165			33,056
Interest Expense	6,249			6,004
Other Income/(Loss), Net	77			(149		)
Income Before Income Tax Expense	27,993			26,903
Income Tax Expense	10,775			10,076
Net Income	$	17,218		$	16,827

The accompanying notes are an integral part of these unaudited condensed financial statements.       

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017		2016
Net Income	$	17,218	$	16,827
Other Comprehensive Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	109		109
Changes in Unrealized Gains on Marketable Securities	16		3
Other Comprehensive Income, Net of Tax	125		112
Comprehensive Income	$	17,343	$	16,939

The accompanying notes are an integral part of these unaudited condensed financial statements.       

14

WESTERN MASSACHUSETTS ELECTRIC COMPANY

CONDENSED STATEMENTS OF CASH FLOWS

(Unaudited)

	For the Three Months Ended March 31,
(Thousands of Dollars)	2017			2016
Operating Activities:
Net Income	$	17,218		$	16,827
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	12,002			11,371
Deferred Income Taxes	16,176			9,921
Regulatory Underrecoveries, Net	(452		)	(6,100		)
Amortization of Regulatory (Liabilities)/Assets, Net	(488		)	1,212
Other	(326		)	(541		)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(5,924		)	2,197
Taxes Receivable/Accrued, Net	(1,404		)	26,976
Accounts Payable	(10,141		)	(11,011		)
Other Current Assets and Liabilities, Net	(4,057		)	(136		)
Net Cash Flows Provided by Operating Activities	22,604			50,716
Investing Activities:
Investments in Property, Plant and Equipment	(32,744		)	(39,891		)
Other Investing Activities	9			13
Net Cash Flows Used in Investing Activities	(32,735		)	(39,878		)
Financing Activities:
Cash Dividends on Common Stock	(9,500		)	(9,500		)
Increase in Notes Payable to Eversource Parent	20,400			100
Other Financing Activities	—			(3		)
Net Cash Flows Provided by/(Used in) Financing Activities	10,900			(9,403		)
Net Increase in Cash	769			1,435
Cash - Beginning of Period	—			834
Cash - End of Period	$	769		$	2,269

The accompanying notes are an integral part of these unaudited condensed financial statements.

15

EVERSOURCE ENERGY AND SUBSIDIARIES

THE CONNECTICUT LIGHT AND POWER COMPANY

NSTAR ELECTRIC COMPANY AND SUBSIDIARY

PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE AND SUBSIDIARY

WESTERN MASSACHUSETTS ELECTRIC COMPANY

COMBINED NOTES TO CONDENSED FINANCIAL STATEMENTS (Unaudited)

Refer to the Glossary of Terms included in this combined Quarterly Report on Form 10-Q for abbreviations and acronyms used throughout the combined notes to the unaudited condensed financial statements.

1.    SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A.    Basis of Presentation

Eversource Energy is a public utility holding company primarily engaged, through its wholly-owned regulated utility subsidiaries, in the energy delivery business.  Eversource Energy's wholly-owned regulated utility subsidiaries consist of CL&P, NSTAR Electric, PSNH, WMECO, Yankee Gas and NSTAR Gas.  Eversource provides energy delivery service to approximately 3.7 million electric and natural gas customers through these six regulated utilities in Connecticut, Massachusetts and New Hampshire.  

The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH include the accounts of each of their respective subsidiaries.  Intercompany transactions have been eliminated in consolidation.  The accompanying unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P and WMECO are herein collectively referred to as the "financial statements."

The combined notes to the financial statements have been prepared pursuant to the rules and regulations of the SEC.  Certain information and footnote disclosures included in annual financial statements prepared in accordance with GAAP have been omitted pursuant to such rules and regulations.  The accompanying financial statements should be read in conjunction with the Combined Notes to Financial Statements included in Item 8, "Financial Statements and Supplementary Data," of the Eversource 2016 Form 10-K, which was filed with the SEC.  The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.

The financial statements contain, in the opinion of management, all adjustments (including normal, recurring adjustments) necessary to present fairly Eversource's, CL&P's, NSTAR Electric's, PSNH's and WMECO's financial position as of March 31, 2017 and December 31, 2016, and the results of operations, comprehensive income and cash flows for the three months ended March 31, 2017 and 2016.  The results of operations, comprehensive income and cash flows for the three months ended March 31, 2017 and 2016 are not necessarily indicative of the results expected for a full year.  

Eversource consolidates CYAPC and YAEC because CL&P's, NSTAR Electric's, PSNH's and WMECO's combined ownership interest in each of these entities is greater than 50 percent.  Intercompany transactions between CL&P, NSTAR Electric, PSNH and WMECO and the CYAPC and YAEC companies have been eliminated in consolidation of the Eversource financial statements.

Eversource's utility subsidiaries' distribution (including generation assets) and transmission businesses are subject to rate-regulation that is based on cost recovery and meets the criteria for application of accounting guidance for entities with rate-regulated operations, which considers the effect of regulation on the differences in the timing of the recognition of certain revenues and expenses from those of other businesses and industries.  See Note 2, "Regulatory Accounting," for further information.

Certain reclassifications of prior period data were made in the accompanying financial statements to conform to the current period presentation.

B.    Accounting Standards

Accounting Standards Issued but Not Yet Effective:  In May 2014, the Financial Accounting Standards Board ("FASB") issued an Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, which amends existing revenue recognition guidance and is required to be applied retrospectively (either to each reporting period presented or cumulatively at the date of initial application).  The Company is evaluating the requirements and potential impacts of ASU 2014-09 and will implement the standard in the first quarter of 2018 cumulatively at the date of initial application. The guidance continues to be interpreted on an industry specific level, including the timing of recognizing revenues from billings to protected customers that may not meet the collectability threshold for revenue recognition. Therefore, while the effects of implementing the ASU on results of operations are not expected to be material, there may be changes in the timing of revenue recognition on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Liabilities, which is required to be implemented in the first quarter of 2018.  The ASU will remove the available-for-sale designation for equity securities, whereby changes in fair value are recorded in accumulated other comprehensive income within shareholders' equity, and will require changes in fair value of all equity securities to be recorded in earnings beginning on January 1, 2018, with the unrealized gain or loss on available-for-sale equity securities as of that date reclassified to retained earnings as a cumulative effect of adoption.  The fair value of available-for-sale equity securities subject to this guidance as of March 31, 2017 was approximately $49 million.  The remaining available-for-sale equity securities included in marketable securities on the balance sheet are held in nuclear decommissioning trusts and are subject to regulatory accounting

16

treatment and will not be impacted by this guidance. Implementation of the ASU for other financial instruments is not expected to have a material impact on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

In February 2016, the FASB issued ASU 2016-02, Leases, which changes existing lease accounting guidance and is required to be applied in the first quarter of 2019, with earlier application permitted.  The ASU is required to be implemented for leases beginning on the date of initial application. For prior periods presented, leases are required to be recognized and measured using a modified retrospective approach.  The Company is reviewing the requirements of ASU 2016-02, including balance sheet recognition of leases previously deemed operating leases, and expects to implement the ASU in the first quarter of 2019.

In March 2017, the FASB issued ASU 2017-07, Compensation – Retirement Benefits: Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, required to be implemented in the first quarter of 2018. The ASU requires separate presentation of service cost from other components of net pension and PBOP costs, with the other components presented as non-operating income and not subject to capitalization. The Company is assessing the impacts of the ASU on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO, however implementation of the ASU is not expected to have a material impact on the net income of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

C.    Provision for Uncollectible Accounts

Eversource, including CL&P, NSTAR Electric, PSNH and WMECO, presents its receivables at estimated net realizable value by maintaining a provision for uncollectible accounts.  This provision is determined based upon a variety of judgments and factors, including the application of an estimated uncollectible percentage to each receivable aging category.  The estimate is based upon historical collection and write-off experience and management's assessment of collectability from customers.  Management continuously assesses the collectability of receivables and adjusts collectability estimates based on actual experience.  Receivable balances are written off against the provision for uncollectible accounts when the customer accounts are terminated and these balances are deemed to be uncollectible.

The PURA allows CL&P and Yankee Gas to accelerate the recovery of accounts receivable balances attributable to qualified customers under financial or medical duress (uncollectible hardship accounts receivable) outstanding for greater than 180 days and 90 days, respectively.  The DPU allows WMECO and NSTAR Gas also to recover in rates, amounts associated with certain uncollectible hardship accounts receivable.  Certain of NSTAR Electric's uncollectible hardship accounts receivable are expected to be recovered in future rates, similar to WMECO and NSTAR Gas. These uncollectible customer account balances are included in Regulatory Assets or Other Long-Term Assets on the balance sheets.

The total provision for uncollectible accounts and for uncollectible hardship accounts, which is included in the total provision, is included in Receivables, Net on the balance sheets, and was as follows:

	Total Provision for Uncollectible Accounts				Uncollectible Hardship
(Millions of Dollars)	As of March 31, 2017		As of December 31, 2016		As of March 31, 2017		As of December 31, 2016
Eversource	$	203.2	$	200.6	$	118.0	$	119.9
CL&P	88.7		86.4		69.8		67.7
NSTAR Electric	52.6		54.8		23.7		26.2
PSNH	10.4		9.9		—		—
WMECO	14.2		15.5		8.2		9.9

D.    Fair Value Measurements

Fair value measurement guidance is applied to derivative contracts that are not elected or designated as "normal purchases or normal sales" ("normal") and to the marketable securities held in trusts.  Fair value measurement guidance is also applied to valuations of the investments used to calculate the funded status of pension and PBOP plans, the nonrecurring fair value measurements of nonfinancial assets such as goodwill and AROs, and the estimated fair value of preferred stock and long-term debt.

Fair Value Hierarchy:  In measuring fair value, Eversource uses observable market data when available in order to minimize the use of unobservable inputs.  Inputs used in fair value measurements are categorized into three fair value hierarchy levels for disclosure purposes.  The entire fair value measurement is categorized based on the lowest level of input that is significant to the fair value measurement.  Eversource evaluates the classification of assets and liabilities measured at fair value on a quarterly basis, and Eversource's policy is to recognize transfers between levels of the fair value hierarchy as of the end of the reporting period.  The three levels of the fair value hierarchy are described below:

Level 1 - Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities as of the reporting date.  Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis.  

Level 2 - Inputs are quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs are observable.

Level 3 - Quoted market prices are not available.  Fair value is derived from valuation techniques in which one or more significant inputs or assumptions are unobservable.  Where possible, valuation techniques incorporate observable market inputs that can be validated to external sources such as industry exchanges, including prices of energy and energy-related products.  

17

Determination of Fair Value:  The valuation techniques and inputs used in Eversource's fair value measurements are described in Note 4, "Derivative Instruments," Note 5, "Marketable Securities," and Note 10, "Fair Value of Financial Instruments," to the financial statements.

E.    Other Income, Net

Items included within Other Income, Net on the statements of income primarily consist of investment income/(loss), interest income, AFUDC related to equity funds, and income/(loss) related to equity method investments.  Investment income/(loss) primarily relates to debt and equity securities held in trust.  For further information, see Note 5, "Marketable Securities," to the financial statements.  

F.    Other Taxes

Gross receipts taxes levied by the state of Connecticut are collected by CL&P and Yankee Gas from their respective customers.  These gross receipts taxes are shown separately with collections in Operating Revenues and with payments in Taxes Other Than Income Taxes on the statements of income as follows:

	For the Three Months Ended
(Millions of Dollars)	March 31, 2017		March 31, 2016
Eversource	$	42.2	$	42.2
CL&P	33.9		36.0

As agents for state and local governments, Eversource's companies that serve customers in Connecticut and Massachusetts collect certain sales taxes that are recorded on a net basis with no impact on the statements of income.     

G.    Supplemental Cash Flow Information

Non-cash investing activities include plant additions included in Accounts Payable as follows:

(Millions of Dollars)	As of March 31, 2017		As of March 31, 2016
Eversource	$	220.5	$	125.6
CL&P	104.2		52.6
NSTAR Electric	29.8		11.7
PSNH	28.7		26.8
WMECO	19.6		10.7

2.    REGULATORY ACCOUNTING

Eversource's Regulated companies are subject to rate regulation that is based on cost recovery and meets the criteria for application of accounting guidance for rate-regulated operations, which considers the effect of regulation on the timing of the recognition of certain revenues and expenses. The Regulated companies' financial statements reflect the effects of the rate-making process.  The rates charged to the customers of Eversource's Regulated companies are designed to collect each company's costs to provide service, including a return on investment.  

Management believes it is probable that each of the Regulated companies will recover its respective investments in long-lived assets, including regulatory assets.  If management were to determine that it could no longer apply the accounting guidance applicable to rate-regulated enterprises to any of the Regulated companies' operations, or if management could not conclude it is probable that costs would be recovered from customers in future rates, the costs would be charged to net income in the period in which the determination is made.

Regulatory Assets:  The components of regulatory assets were as follows:

Eversource	As of March 31, 2017		As of December 31, 2016
(Millions of Dollars)
Benefit Costs	$	1,782.5	$	1,817.8
Derivative Liabilities	416.3		423.3
Income Taxes, Net	645.4		644.5
Storm Restoration Costs	375.8		385.3
Goodwill-related	459.3		464.4
Regulatory Tracker Mechanisms	578.9		576.6
Contractual Obligations - Yankee Companies	70.6		84.9
Other Regulatory Assets	110.9		129.5
Total Regulatory Assets	4,439.7		4,526.3
Less:  Current Portion	875.0		887.6
Total Long-Term Regulatory Assets	$	3,564.7	$	3,638.7

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	As of March 31, 2017								As of December 31, 2016
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO		CL&P		NSTAR Electric		PSNH		WMECO
Benefit Costs	$	421.5	$	429.9	$	181.1	$	85.1	$	429.3	$	438.6	$	184.2	$	86.7
Derivative Liabilities	413.5		2.5		—		—		420.5		2.8		—		—
Income Taxes, Net	435.9		90.4		23.4		30.9		437.0		89.7		24.2		30.8
Storm Restoration Costs	225.1		118.5		17.0		15.2		239.8		112.5		17.1		15.9
Goodwill-related	—		394.3		—		—		—		398.7		—		—
Regulatory Tracker Mechanisms	170.5		245.9		101.8		49.1		123.9		257.3		104.5		46.7
Other Regulatory Assets	71.1		46.1		31.6		9.0		76.6		47.5		32.7		11.3
Total Regulatory Assets	1,737.6		1,327.6		354.9		189.3		1,727.1		1,347.1		362.7		191.4
Less:  Current Portion	370.1		276.5		111.3		66.0		335.5		289.4		117.2		64.1
Total Long-Term Regulatory Assets	$	1,367.5	$	1,051.1	$	243.6	$	123.3	$	1,391.6	$	1,057.7	$	245.5	$	127.3

Regulatory Costs in Other Long-Term Assets:  Eversource's Regulated companies had $91.4 million (including $5.0 million for CL&P, $33.3 million for NSTAR Electric, $12.9 million for PSNH and $22.1 million for WMECO) and $86.3 million (including $5.9 million for CL&P, $35.0 million for NSTAR Electric, $8.2 million for PSNH, and $20.1 million for WMECO) of additional regulatory costs as of March 31, 2017 and December 31, 2016, respectively, that were included in Other Long-Term Assets on the balance sheets.  These amounts represent incurred costs for which recovery has not yet been specifically approved by the applicable regulatory agency.  However, based on regulatory policies or past precedent on similar costs, management believes it is probable that these costs will ultimately be approved and recovered from customers in rates.  

Regulatory Liabilities:  The components of regulatory liabilities were as follows:

Eversource	As of March 31, 2017		As of December 31, 2016
(Millions of Dollars)
Cost of Removal	$	469.6	$	459.7
Benefit Costs	130.8		136.2
Regulatory Tracker Mechanisms	188.8		145.3
AFUDC - Transmission	65.8		65.8
Other Regulatory Liabilities	37.2		42.1
Total Regulatory Liabilities	892.2		849.1
Less:  Current Portion	199.2		146.8
Total Long-Term Regulatory Liabilities	$	693.0	$	702.3

	As of March 31, 2017								As of December 31, 2016
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO		CL&P		NSTAR Electric		PSNH		WMECO
Cost of Removal	$	42.5	$	273.3	$	44.8	$	10.6	$	38.8	$	271.6	$	44.1	$	8.6
Benefit Costs	—		109.8		—		—		—		113.1		—		—
Regulatory Tracker Mechanisms	44.5		62.2		15.0		12.7		37.2		63.7		10.7		14.7
AFUDC - Transmission	49.9		7.2		—		8.7		50.2		6.9		—		8.7
Other Regulatory Liabilities	23.2		0.2		3.0		—		21.0		0.2		2.7		0.1
Total Regulatory Liabilities	160.1		452.7		62.8		32.0		147.2		455.5		57.5		32.1
Less:  Current Portion	58.9		62.2		17.2		12.9		47.1		63.7		12.7		14.9
Total Long-Term Regulatory Liabilities	$	101.2	$	390.5	$	45.6	$	19.1	$	100.1	$	391.8	$	44.8	$	17.2

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3.    PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION

The following tables summarize utility property, plant and equipment by asset category:

Eversource	As of March 31, 2017			As of December 31, 2016
(Millions of Dollars)
Distribution - Electric	$	13,893.9		$	13,716.9
Distribution - Natural Gas	3,049.3			3,010.4
Transmission - Electric	8,600.1			8,517.4
Generation	1,225.6			1,224.2
Electric and Natural Gas Utility	26,768.9			26,468.9
Other (1)	585.1			591.6
Property, Plant and Equipment, Gross	27,354.0			27,060.5
Less:  Accumulated Depreciation
Electric and Natural Gas Utility	(6,607.5		)	(6,480.4		)
Other	(251.3		)	(242.0		)
Total Accumulated Depreciation	(6,858.8		)	(6,722.4		)
Property, Plant and Equipment, Net	20,495.2			20,338.1
Construction Work in Progress	1,146.7			1,012.4
Total Property, Plant and Equipment, Net	$	21,641.9		$	21,350.5

⁽¹⁾ These assets are primarily comprised of building improvements, computer software, hardware and equipment at Eversource Service.

	As of March 31, 2017												As of December 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Distribution	$	5,628.7		$	5,471.5		$	1,981.9		$	851.8		$	5,562.9		$	5,402.3		$	1,949.8		$	841.9
Transmission	3,930.1			2,462.8			1,075.5			1,083.4			3,912.9			2,435.8			1,059.3			1,061.1
Generation	—			—			1,189.6			36.0			—			—			1,188.2			36.0
Property, Plant and Equipment, Gross	9,558.8			7,934.3			4,247.0			1,971.2			9,475.8			7,838.1			4,197.3			1,939.0
Less:  Accumulated Depreciation	(2,125.4		)	(2,064.4		)	(1,277.7		)	(347.0		)	(2,082.4		)	(2,025.4		)	(1,254.7		)	(338.8		)
Property, Plant and Equipment, Net	7,433.4			5,869.9			2,969.3			1,624.2			7,393.4			5,812.7			2,942.6			1,600.2
Construction Work in Progress	321.5			239.0			107.3			70.6			239.0			239.1			96.7			78.1
Total Property, Plant and Equipment, Net	$	7,754.9		$	6,108.9		$	3,076.6		$	1,694.8		$	7,632.4		$	6,051.8		$	3,039.3		$	1,678.3

4.    DERIVATIVE INSTRUMENTS

The Regulated companies purchase and procure energy and energy-related products, which are subject to price volatility, for their customers.  The costs associated with supplying energy to customers are recoverable from customers in future rates.  The Regulated companies manage the risks associated with the price volatility of energy and energy-related products through the use of derivative and non-derivative contracts.  

Many of the derivative contracts meet the definition of, and are designated as, normal and qualify for accrual accounting under the applicable accounting guidance.  The costs and benefits of derivative contracts that meet the definition of normal are recognized in Operating Expenses or Operating Revenues on the statements of income, as applicable, as electricity or natural gas is delivered.

Derivative contracts that are not designated as normal are recorded at fair value as current or long-term Derivative Assets or Derivative Liabilities on the balance sheets.  For the Regulated companies, regulatory assets or regulatory liabilities are recorded to offset the fair values of derivatives, as contract settlement amounts are recovered from, or refunded to, customers in their respective energy supply rates.  

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The gross fair values of derivative assets and liabilities with the same counterparty are offset and reported as net Derivative Assets or Derivative Liabilities, with current and long-term portions, on the balance sheets.  The following table presents the gross fair values of contracts, categorized by risk type, and the net amounts recorded as current or long-term derivative assets or liabilities:

	As of March 31, 2017									As of December 31, 2016
(Millions of Dollars)	Commodity Supply and Price Risk Management			Netting (1)			Net Amount Recorded as a Derivative			Commodity Supply and Price Risk Management			Netting (1)			Net Amount Recorded as a Derivative
Current Derivative Assets:
Level 2:
Eversource	$	0.6		$	—		$	0.6		$	6.0		$	—		$	6.0
Level 3:
Eversource, CL&P	12.5			(8.6		)	3.9			13.9			(9.4		)	4.5
Long-Term Derivative Assets:
Level 2:
Eversource	$	—		$	—		$	—		$	0.3		$	(0.1	)	$	0.2
Level 3:
Eversource, CL&P	78.3			(9.8		)	68.5			77.3			(11.7		)	65.6
Current Derivative Liabilities:
Level 3:
Eversource	$	(72.9	)	$	—		$	(72.9	)	$	(79.7	)	$	—		$	(79.7	)
CL&P	(70.7		)	—			(70.7		)	(77.8		)	—			(77.8		)
NSTAR Electric	(2.2		)	—			(2.2		)	(1.9		)	—			(1.9		)
Long-Term Derivative Liabilities:
Level 2:
Eversource	$	(0.3	)	$	—		$	(0.3	)	$	—		$	—		$	—
Level 3:
Eversource	(415.5		)	—			(415.5		)	(413.7		)	—			(413.7		)
CL&P	(415.2		)	—			(415.2		)	(412.8		)	—			(412.8		)
NSTAR Electric	(0.3		)	—			(0.3		)	(0.9		)	—			(0.9		)

⁽¹⁾  Amounts represent derivative assets and liabilities that Eversource elected to record net on the balance sheets.  These amounts are subject to master netting agreements or similar agreements for which the right of offset exists.

For further information on the fair value of derivative contracts, see Note 1D, "Summary of Significant Accounting Policies - Fair Value Measurements," to the financial statements.

Derivative Contracts at Fair Value with Offsetting Regulatory Amounts

Commodity Supply and Price Risk Management:  As required by regulation, CL&P, along with UI, has capacity-related contracts with generation facilities.  CL&P has a sharing agreement with UI, with 80 percent of the costs or benefits of each contract borne by or allocated to CL&P and 20 percent borne by or allocated to UI.  The combined capacity of these contracts is 787 MW.  The capacity contracts extend through 2026 and obligate both CL&P and UI to make or receive payments on a monthly basis to or from the generation facilities based on the difference between a set capacity price and the capacity market price received in the ISO-NE capacity markets.  In addition, CL&P has a contract to purchase 0.1 million MWh of energy per year through 2020.   

NSTAR Electric has a renewable energy contract to purchase 0.1 million MWh of energy per year through 2018 and a capacity-related contract to purchase up to 35 MW per year through 2019.

As of March 31, 2017 and December 31, 2016, Eversource had New York Mercantile Exchange ("NYMEX") financial contracts for natural gas futures in order to reduce variability associated with the purchase price of approximately 5.4 million and 9.2 million MMBtu of natural gas, respectively.

For the three months ended March 31, 2017 and 2016, there were losses of $26.5 million and $30.5 million, respectively, deferred as regulatory costs, which reflect the change in fair value associated with Eversource's derivative contracts.

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Fair Value Measurements of Derivative Instruments

Derivative contracts classified as Level 2 in the fair value hierarchy relate to the financial contracts for natural gas futures.  Prices are obtained from broker quotes and are based on actual market activity.  The contracts are valued using NYMEX natural gas prices.  Valuations of these contracts also incorporate discount rates using the yield curve approach.  

The fair value of derivative contracts classified as Level 3 utilizes significant unobservable inputs.  The fair value is modeled using income techniques, such as discounted cash flow valuations adjusted for assumptions relating to exit price.  Significant observable inputs for valuations of these contracts include energy and energy-related product prices in future years for which quoted prices in an active market exist.  Fair value measurements categorized in Level 3 of the fair value hierarchy are prepared by individuals with expertise in valuation techniques, pricing of energy and energy-related products, and accounting requirements.  The future power and capacity prices for periods that are not quoted in an active market or established at auction are based on available market data and are escalated based on estimates of inflation in order to address the full term of the contract.  

Valuations of derivative contracts using a discounted cash flow methodology include assumptions regarding the timing and likelihood of scheduled payments and also reflect non-performance risk, including credit, using the default probability approach based on the counterparty's credit rating for assets and the Company's credit rating for liabilities.  Valuations incorporate estimates of premiums or discounts that would be required by a market participant to arrive at an exit price, using historical market transactions adjusted for the terms of the contract.  

The following is a summary of Eversource's, including CL&P's and NSTAR Electric's, Level 3 derivative contracts and the range of the significant unobservable inputs utilized in the valuations over the duration of the contracts:

	As of March 31, 2017						As of December 31, 2016
	Range					Period Covered	Range					Period Covered
Capacity Prices:
Eversource, CL&P	$	5.00	—	8.70	per kW-Month	2020 - 2026	$	5.50	—	8.70	per kW-Month	2020 - 2026
Forward Reserve:
Eversource, CL&P	$	1.40	—	2.00	per kW-Month	2017 - 2024	$	1.40	—	2.00	per kW-Month	2017 - 2024
REC Prices:
Eversource, NSTAR Electric	$	27.00	—	30.00	per REC	2017 - 2018	$	24.00	—	29.00	per REC	2017 - 2018

Exit price premiums of 2 percent through 19 percent are also applied on these contracts and reflect the uncertainty and illiquidity premiums that would be required based on the most recent market activity available for similar type contracts.

Significant increases or decreases in future energy or capacity prices in isolation would decrease or increase, respectively, the fair value of the derivative liability.  Any increases in risk premiums would increase the fair value of the derivative liability.  Changes in these fair values are recorded as a regulatory asset or liability and do not impact net income.  

Valuations using significant unobservable inputs:  The following table presents changes in the Level 3 category of derivative assets and derivative liabilities measured at fair value on a recurring basis.  The derivative assets and liabilities are presented on a net basis.

	For the Three Months Ended March 31,
	2017									2016
(Millions of Dollars)	Eversource			CL&P			NSTAR   Electric			Eversource			CL&P			NSTAR   Electric
Derivatives, Net:
Fair Value as of Beginning of Period	$	(423.3	)	$	(420.5	)	$	(2.8	)	$	(380.9	)	$	(380.8	)	$	(0.1	)
Net Realized/Unrealized Losses Included in Regulatory Assets and Liabilities	(15.4		)	(14.6		)	(0.8		)	(28.9		)	(24.6		)	(4.3		)
Settlements	22.7			21.6			1.1			22.1			20.3			1.8
Fair Value as of End of Period	$	(416.0	)	$	(413.5	)	$	(2.5	)	$	(387.7	)	$	(385.1	)	$	(2.6	)

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5.    MARKETABLE SECURITIES

Eversource maintains trusts that hold marketable securities to fund certain non-qualified executive benefits. These trusts are not subject to regulatory oversight by state or federal agencies.  CYAPC and YAEC maintain legally restricted trusts, each of which holds marketable securities, to fund the spent nuclear fuel removal obligations of their nuclear fuel storage facilities.

Trading Securities:  Eversource has elected to record certain equity securities as trading securities, with the changes in fair values recorded in Other Income, Net on the statements of income.  As of December 31, 2016, these securities were classified as Level 1 in the fair value hierarchy and totaled $9.6 million.  These securities were sold during the first quarter of 2017 and were no longer held as of March 31, 2017. For the three months ended March 31, 2016, net gains on these securities of $0.2 million were recorded in Other Income, Net on the statement of income. Dividend income is recorded in Other Income, Net when dividends are declared.  

Available-for-Sale Securities:  The following is a summary of available-for-sale securities, which are recorded at fair value and are included in current and long-term Marketable Securities on the balance sheets.

	As of March 31, 2017									As of December 31, 2016
Eversource (Millions of Dollars)	Amortized Cost		Pre-Tax Unrealized Gains		Pre-Tax Unrealized Losses			Fair Value		Amortized Cost		Pre-Tax Unrealized Gains		Pre-Tax Unrealized Losses			Fair Value
Debt Securities	$	296.9	$	2.4	$	(1.3	)	$	298.0	$	296.2	$	1.1	$	(2.1	)	$	295.2
Equity Securities	201.9		77.8		(0.5		)	279.2		203.3		62.3		(1.2		)	264.4

Eversource's debt and equity securities include CYAPC's and YAEC's marketable securities held in nuclear decommissioning trusts in the amounts of $482.3 million and $466.7 million as of March 31, 2017 and December 31, 2016, respectively.  Unrealized gains and losses for these nuclear decommissioning trusts are recorded in Marketable Securities with the corresponding offset to Other Long-Term Liabilities on the balance sheets, with no impact on the statements of income.  

Unrealized Losses and Other-than-Temporary Impairment:  There have been no significant unrealized losses, other-than-temporary impairments or credit losses for the three months ended March 31, 2017 and 2016. Factors considered in determining whether a credit loss exists include the duration and severity of the impairment, adverse conditions specifically affecting the issuer, and the payment history, ratings and rating changes of the security.  For asset-backed debt securities, underlying collateral and expected future cash flows are also evaluated.

Realized Gains and Losses:  Realized gains and losses on available-for-sale securities are recorded in Other Income, Net for Eversource's non-qualified benefit trust and are offset in Other Long-Term Liabilities for CYAPC and YAEC.  Eversource utilizes the specific identification basis method for the Eversource non-qualified benefit trust, and the average cost basis method for the CYAPC and YAEC nuclear decommissioning trusts to compute the realized gains and losses on the sale of available-for-sale securities.

Contractual Maturities:  As of March 31, 2017, the contractual maturities of available-for-sale debt securities were as follows:  

Eversource (Millions of Dollars)	Amortized Cost		Fair Value
Less than one year (1)	$	60.6	$	60.6
One to five years	47.4		48.1
Six to ten years	54.7		55.3
Greater than ten years	134.2		134.0
Total Debt Securities	$	296.9	$	298.0

⁽¹⁾  Amounts in the Less than one year category include securities in the CYAPC and YAEC nuclear decommissioning trusts, which are restricted and are classified in long-term Marketable Securities on the balance sheets.

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Fair Value Measurements:  The following table presents the marketable securities recorded at fair value on a recurring basis by the level in which they are classified within the fair value hierarchy:

Eversource (Millions of Dollars)	As of March 31, 2017		As of December 31, 2016
Level 1:
Mutual Funds and Equities	$	279.2	$	274.0
Money Market Funds	56.2		54.8
Total Level 1	$	335.4	$	328.8
Level 2:
U.S. Government Issued Debt Securities (Agency and Treasury)	$	57.0	$	63.0
Corporate Debt Securities	41.6		41.1
Asset-Backed Debt Securities	19.8		18.5
Municipal Bonds	112.5		107.5
Other Fixed Income Securities	10.9		10.3
Total Level 2	$	241.8	$	240.4
Total Marketable Securities	$	577.2	$	569.2

U.S. government issued debt securities are valued using market approaches that incorporate transactions for the same or similar bonds and adjustments for yields and maturity dates.  Corporate debt securities are valued using a market approach, utilizing recent trades of the same or similar instrument and also incorporating yield curves, credit spreads and specific bond terms and conditions.  Asset-backed debt securities include collateralized mortgage obligations, commercial mortgage backed securities, and securities collateralized by auto loans, credit card loans or receivables.  Asset-backed debt securities are valued using recent trades of similar instruments, prepayment assumptions, yield curves, issuance and maturity dates, and tranche information.  Municipal bonds are valued using a market approach that incorporates reported trades and benchmark yields.  Other fixed income securities are valued using pricing models, quoted prices of securities with similar characteristics, and discounted cash flows.

6.    SHORT-TERM AND LONG-TERM DEBT

Commercial Paper Programs and Credit Agreements: Eversource parent has a $1.45 billion commercial paper program allowing Eversource parent to issue commercial paper as a form of short-term debt.  As of March 31, 2017 and December 31, 2016, Eversource parent had $801.0 million and approximately $1.0 billion, respectively, in short-term borrowings outstanding under the Eversource parent commercial paper program, leaving $649.0 million and $428.0 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively. The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 1.12 percent and 0.88 percent, respectively. As of March 31, 2017, there were intercompany loans from Eversource parent of $3.4 million to CL&P, $144.9 million to PSNH, and $71.4 million to WMECO.  As of December 31, 2016, there were intercompany loans from Eversource parent of $80.1 million to CL&P, $160.9 million to PSNH and $51.0 million to WMECO.  Eversource parent, CL&P, PSNH, WMECO, NSTAR Gas and Yankee Gas are parties to a five-year $1.45 billion revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop Eversource parent's $1.45 billion commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

NSTAR Electric has a $450 million commercial paper program allowing NSTAR Electric to issue commercial paper as a form of short-term debt. As of March 31, 2017 and December 31, 2016, NSTAR Electric had $174.5 million and $126.5 million, respectively, in short-term borrowings outstanding under its commercial paper program, leaving $275.5 million and $323.5 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively.  The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 0.86 percent and 0.71 percent, respectively.  NSTAR Electric is a party to a five-year $450 million revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop NSTAR Electric's $450 million commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

Amounts outstanding under the commercial paper programs are included in Notes Payable for Eversource and NSTAR Electric and are classified in current liabilities on the balance sheets as all borrowings are outstanding for no more than 364 days at one time.  Intercompany loans from Eversource parent to CL&P, PSNH and WMECO are included in Notes Payable to Eversource Parent and are classified in current liabilities on their respective balance sheets.  Intercompany loans from Eversource parent to CL&P, PSNH and WMECO are eliminated in consolidation on Eversource's balance sheets.

Long-Term Debt Issuances:  In March 2017, Eversource parent issued $300 million of 2.75 percent Series K Senior Notes due to mature in 2022. The proceeds, net of issuance costs, were used to repay short-term borrowings under the Eversource parent commercial paper program.

In March 2017, CL&P issued $300 million of 3.20 percent 2017 Series A First and Refunding Mortgage Bonds due to mature in 2027. The proceeds, net of issuance costs, were used to repay short-term borrowings.

Long-Term Debt Repayments:  In March 2017, CL&P repaid at maturity the $150 million5.375 percent 2007 Series A First and Refunding Mortgage Bonds, using short term borrowings.

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Long-Term Debt Issuance Authorizations: On January 4, 2017, PURA approved CL&P's request for authorization to issue up to $1.325 billion in long-term debt through December 31, 2020. On March 30, 2017, the DPU approved NSTAR Electric's request for authorization to issue up to $700 million in long-term debt through December 31, 2018.

7.    PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

Eversource Service sponsors a defined benefit retirement plan ("Pension Plan") that covers eligible participants.  In addition to the Pension Plan, Eversource maintains non-qualified defined benefit retirement plans sponsored by Eversource Service ("SERP Plans"), which provide benefits in excess of Internal Revenue Code limitations to eligible participants.  Eversource Service also sponsors a defined benefit postretirement plan that provides life insurance and a health reimbursement arrangement created for the purpose of reimbursing retirees and dependents for health insurance premiums and certain medical expenses, to eligible participants that met certain age and service eligibility requirements ("PBOP Plan").

In August 2016, the Company amended its PBOP Plan, which standardized separate benefit structures that existed within the plan and made other benefit changes. The remeasurement resulted in a prior service credit of $5.3 million for the three months ended March 31, 2017, which was reflected as a reduction to net periodic benefit expense for PBOP benefits. The majority of this amount will be deferred for future refund to customers.

The components of net periodic benefit expense for the Pension, SERP and PBOP Plans are shown below.  The net periodic benefit expense and the intercompany allocations, less the capitalized portions of pension, SERP and PBOP amounts, are included in Operations and Maintenance expense on the statements of income.  Capitalized amounts relate to employees working on capital projects and are included in Property, Plant and Equipment, Net on the balance sheets.  Pension, SERP and PBOP expense reflected in the statements of cash flows for CL&P, NSTAR Electric, PSNH and WMECO does not include the intercompany allocations or the corresponding capitalized portion, as these amounts are cash settled on a short-term basis.

	Pension and SERP
Eversource	For the Three Months Ended
(Millions of Dollars)	March 31, 2017			March 31, 2016
Service Cost	$	18.7		$	19.4
Interest Cost	46.3			46.5
Expected Return on Pension Plan Assets	(83.5		)	(79.6		)
Actuarial Loss	33.6			31.5
Prior Service Cost	1.1			0.9
Total Net Periodic Benefit Expense	$	16.2		$	18.7
Capitalized Pension Expense	$	5.4		$	6.1
	PBOP
Eversource	For the Three Months Ended
(Millions of Dollars)	March 31, 2017			March 31, 2016
Service Cost	$	2.4		$	3.1
Interest Cost	7.2			9.7
Expected Return on Plan Assets	(15.9		)	(15.7		)
Actuarial Loss	2.0			1.1
Prior Service Credit	(5.3		)	(0.1		)
Total Net Periodic Benefit Income	$	(9.6	)	$	(1.9	)
Capitalized PBOP Income	$	(4.6	)	$	(0.9	)

	Pension and SERP
	For the Three Months Ended March 31, 2017												For the Three Months Ended March 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Service Cost	$	4.8		$	3.3		$	2.5		$	0.8		$	5.0		$	3.4		$	2.5		$	0.9
Interest Cost	10.5			8.3			5.2			2.1			10.6			8.3			5.1			2.1
Expected Return on Pension Plan Assets	(18.0		)	(17.6		)	(9.9		)	(4.4		)	(18.2		)	(16.9		)	(9.7		)	(4.4		)
Actuarial Loss	6.9			8.6			2.8			1.5			6.7			8.4			2.5			1.4
Prior Service Cost	0.4			0.1			0.1			0.1			0.4			—			0.1			0.1
Total Net Periodic Benefit Expense	$	4.6		$	2.7		$	0.7		$	0.1		$	4.5		$	3.2		$	0.5		$	0.1
Intercompany Allocations	$	2.5		$	1.9		$	0.8		$	0.5		$	3.3		$	2.2		$	1.0		$	0.6
Capitalized Pension Expense	$	2.5		$	1.7		$	0.3		$	0.1		$	2.7		$	1.8		$	0.3		$	0.2

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	PBOP
	For the Three Months Ended March 31, 2017												For the Three Months Ended March 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Service Cost	$	0.5		$	0.4		$	0.3		$	0.1		$	0.5		$	0.9		$	0.3		$	0.1
Interest Cost	1.4			2.1			0.8			0.3			1.4			4.0			0.8			0.3
Expected Return on Plan Assets	(2.4		)	(6.6		)	(1.3		)	(0.5		)	(2.6		)	(6.4		)	(1.4		)	(0.6		)
Actuarial Loss	0.2			0.9			0.1			—			0.2			0.2			0.1			—
Prior Service Cost/(Credit)	0.3			(4.3		)	0.1			—			—			—			—			—
Total Net Periodic Benefit Income	$	—		$	(7.5	)	$	—		$	(0.1	)	$	(0.5	)	$	(1.3	)	$	(0.2	)	$	(0.2	)
Intercompany Allocations	$	(0.3	)	$	(0.3	)	$	(0.1	)	$	—		$	0.2		$	0.1		$	—		$	—
Capitalized PBOP Income	$	(0.1	)	$	(3.8	)	$	—		$	—		$	(0.2	)	$	(0.6	)	$	—		$	(0.1	)

8.    COMMITMENTS AND CONTINGENCIES

A.    Environmental Matters

Eversource, CL&P, NSTAR Electric, PSNH and WMECO are subject to environmental laws and regulations intended to mitigate or remove the effect of past operations and improve or maintain the quality of the environment.  These laws and regulations require the removal or the remedy of the effect on the environment of the disposal or release of certain specified hazardous substances at current and former operating sites.  Eversource, CL&P, NSTAR Electric, PSNH and WMECO have an active environmental auditing and training program and each believes it is substantially in compliance with all enacted laws and regulations.

The number of environmental sites and related reserves for which remediation or long-term monitoring, preliminary site work or site assessment is being performed are as follows:

	As of March 31, 2017			As of December 31, 2016
	Number of Sites	Reserve (in millions)		Number of Sites	Reserve (in millions)
Eversource	60	$	58.2	61	$	65.8
CL&P	14	5.3		14	4.9
NSTAR Electric	13	1.0		13	3.2
PSNH	11	5.3		11	5.3
WMECO	4	0.7		4	0.6

Included in the Eversource number of sites and reserve amounts above are former MGP sites that were operated several decades ago and manufactured gas from coal and other processes, which resulted in certain by-products remaining in the environment that may pose a potential risk to human health and the environment, for which Eversource may have potential liability.  The reserve balances related to these former MGP sites were $53.0 million and $59.0 million as of March 31, 2017 and December 31, 2016, respectively, and related primarily to the natural gas business segment. The reduction in the reserve balance at the MGP sites was primarily due to a change in cost estimates at one site.

These reserve estimates are subjective in nature as they take into consideration several different remediation options at each specific site.  The reliability and precision of these estimates can be affected by several factors, including new information concerning either the level of contamination at the site, the extent of Eversource's, CL&P's, NSTAR Electric's, PSNH's, and WMECO's responsibility for remediation or the extent of remediation required, recently enacted laws and regulations, or changes in cost estimates due to certain economic factors.  It is possible that new information or future developments could require a reassessment of the potential exposure to related environmental matters.  As this information becomes available, management will continue to assess the potential exposure and adjust the reserves accordingly.

B.    Guarantees and Indemnifications

In the normal course of business, Eversource parent provides credit assurances on behalf of its subsidiaries, including CL&P, NSTAR Electric, PSNH and WMECO, in the form of guarantees.  

Eversource parent issued a declining balance guaranty on behalf of Eversource Gas Transmission LLC, a wholly-owned subsidiary, to guarantee the payment of the subsidiary's capital contributions for its investment in the Access Northeast project. The guaranty will not exceed $206 million and decreases as capital contributions are made.  The guaranty will expire upon the earlier of the full performance of the guaranteed obligations or December 31, 2021.  

Eversource parent issued a guaranty on behalf of its subsidiary, NPT, under which, beginning at the time the Northern Pass Transmission line goes into commercial operation, Eversource parent will guarantee the financial obligations of NPT under the TSA with HQ in an amount not to exceed $25 million.  Eversource parent's obligations under the guaranty expire upon the full, final and indefeasible payment of the guaranteed obligations. Eversource parent has also entered into a guaranty on behalf of NPT under which Eversource parent will guarantee NPT's obligations under a facility with a financial institution pursuant to which NPT may request letters of credit in an aggregate amount of up to approximately $14 million.

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Eversource parent has also guaranteed certain indemnification and other obligations as a result of the sales of former unregulated subsidiaries and the termination of an unregulated business, with maximum exposures either not specified or not material.  

Management does not anticipate a material impact to net income or cash flows as a result of these various guarantees and indemnifications.  

The following table summarizes Eversource parent's exposure to guarantees and indemnifications of its subsidiaries to external parties, as of March 31, 2017:  

Company	Description	Maximum  Exposure (in millions)		Expiration Dates
On behalf of subsidiaries:
Eversource Gas Transmission LLC	Access Northeast Project Capital Contributions Guaranty	$	185.1	2021
Various	Surety Bonds (1)	38.7		2017 - 2018
Eversource Service and Rocky River Realty Company	Lease Payments for Vehicles and Real Estate	8.8		2019 - 2024

⁽¹⁾  Surety bond expiration dates reflect termination dates, the majority of which will be renewed or extended.  Certain surety bonds contain credit ratings triggers that would require Eversource parent to post collateral in the event that the unsecured debt credit ratings of Eversource parent are downgraded.  

C.    FERC ROE Complaints

Four separate complaints have been filed at the FERC by combinations of New England state attorneys general, state regulatory commissions, consumer advocates, consumer groups, municipal parties and other parties (collectively the "Complainants"). In each of the first three complaints, the Complainants challenged the NETOs' base ROE of 11.14 percent that had been utilized since 2005 and sought an order to reduce it prospectively from the date of the final FERC order and for the 15-month complaint periods arising from the separate complaints. In the fourth complaint, filed April 29, 2016, the Complainants challenged the NETOs' base ROE of 10.57 percent and the maximum ROE for transmission incentive ("incentive cap") of 11.74 percent, asserting that these ROEs were unjust and unreasonable.

In response to appeals of the FERC decision in the first complaint filed by the NETOs and the Complainants, the D.C. Circuit Court of Appeals (the "Court") issued a decision on April 14, 2017 vacating and remanding the FERC's decision. The Court found that the FERC failed to make an explicit finding that the prior 11.14 percent base ROE was unjust and unreasonable, as required under Section 206 of the Federal Power Act, before it could set a new base ROE. The Court also found that the FERC did not provide a rational connection between the record evidence and its decision to select the midpoint of the upper half of the zone of reasonableness for the new base ROE.

A summary of the four separate complaints and the base ROEs pertinent to those complaints are as follows:

Complaint	15-Month Time Period of Complaint (Beginning as of Complaint Filing Date)	Original Base ROE Authorized by FERC at Time of Complaint Filing Date (1)	Base ROE Subsequently Authorized by FERC for First Complaint Period and also Effective from October 16, 2014 through April 14, 2017 (1)	Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)		FERC ALJ Recommendation of Base ROE on Second and Third Complaints (Issued March 22, 2016)
First	10/1/2011 - 12/31/2012	11.14%	10.57%	$—	(2)	N/A
Second	12/27/2012 - 3/26/2014	11.14%	N/A	39.1	(3)	9.59%
Third	7/31/2014 - 10/30/2015	11.14%	10.57%	—		10.90%
Fourth	4/29/2016 - 7/28/2017	10.57%	10.57%	—		N/A

⁽¹⁾ The total ROE between October 1, 2011 and October 15, 2014 was within a range of 11.14 percent to 13.1 percent. In 2014, as a result of a FERC order, the incentive cap was set at 11.74 percent for the first complaint period and also effective from October 16, 2014 through April 14, 2017.

⁽²⁾ CL&P, NSTAR Electric, PSNH and WMECO have refunded all amounts associated with the first complaint period, totaling $38.9 million (pre-tax and excluding interest) at Eversource (including $22.4 million at CL&P, $8.4 million at NSTAR Electric, $2.8 million at PSNH, and $5.3 million at WMECO), reflecting both the base ROE and incentive cap prescribed by the FERC order.

⁽³⁾ The reserve represents the difference between the ROEs billed during the second complaint period and a 10.57 percent base ROE and 11.74 percent incentive cap. The reserve was $21.4 million for CL&P, $8.5 million for NSTAR Electric, $3.1 million for PSNH, and $6.1 million for WMECO as of March 31, 2017.

At this time, the Company cannot reasonably estimate a range of gain or loss for the complaint proceedings. The Court decision did not provide a reasonable basis for a change to the March 31, 2017 reserve balance of $39.1 million (pre-tax and excluding interest) for the second complaint period, and the Company has not changed its reserves or recognized ROEs for any of the complaint periods.

Management cannot at this time predict the ultimate effect of the Court decision on any of the complaint periods or the estimated impacts on the financial position, results of operations or cash flows of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

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The average impact of a 10 basis point change to the base ROE for each of the 15-month complaint periods would affect Eversource's after-tax earnings by approximately $3 million.

D.    Eversource and NSTAR Electric Boston Harbor Civil Action

On July 15, 2016, the United States Army Corps of Engineers filed a civil action in the United States District Court for the District of Massachusetts under provisions of the Rivers and Harbors Act of 1899 and the Clean Water Act against NSTAR Electric, Harbor Electric Energy Company, a wholly-owned subsidiary of NSTAR Electric ("HEEC"), and the Massachusetts Water Resources Authority (together with NSTAR Electric and HEEC, the "Defendants").  The action alleges that the Defendants failed to comply with certain permitting requirements relating to the placement of the HEEC-owned electric distribution cable beneath Boston Harbor.  The action seeks an order to force HEEC to comply with cable depth requirements in the U.S. Army Corps of Engineers' permit or alternatively to remove the electric distribution cable and cease unauthorized work in U.S. waterways.  The action also seeks civil penalties and other costs.  Management believes there are valid defenses to the claims and is defending NSTAR Electric and HEEC vigorously. Concurrently, NSTAR Electric and HEEC are seeking to work collaboratively with all parties for a mutually beneficial resolution.  At this time, management is unable to predict the outcome of this action or the impact on Eversource's and NSTAR Electric's financial position, results of operations, or cash flows.

9.    PSNH GENERATION ASSET SALE

On June 10, 2015, Eversource and PSNH entered into the 2015 Public Service Company of New Hampshire Restructuring and Rate Stabilization Agreement (the "Agreement") with the New Hampshire Office of Energy and Planning, certain members of the NHPUC staff, the Office of Consumer Advocate, two State Senators, and several other parties.  Under the terms of the Agreement, PSNH agreed to divest its generation assets, subject to NHPUC approval.  The Agreement provided for a resolution of issues pertaining to PSNH's generation assets in pending regulatory proceedings before the NHPUC.  The Agreement provided for the Clean Air Project prudence proceeding to be resolved and all remaining Clean Air Project costs to be included in rates effective January 1, 2016.  As part of the Agreement, PSNH agreed to forego recovery of $25 million of the equity return related to the Clean Air Project.  In addition, PSNH will not seek a general distribution rate increase effective before July 1, 2017 and will contribute $5 million to create a clean energy fund, which will not be recoverable from its customers.  

On July 1, 2016, the NHPUC approved the Agreement in an order that, among other things, instructs PSNH to begin the process of divesting its generation assets.  The NHPUC selected an auction adviser to assist with the divestiture, and the final plan and auction process were approved by the NHPUC in November 2016.  An intervening appeal alleging that the auction process and schedule were unreasonable was rejected by the New Hampshire Supreme Court in February 2017. In late March 2017, the formal divestiture process began. We continue to believe the assets will be sold by the end of 2017.

The sales price of the generation assets could be less than the carrying value, but the Company believes that full recovery of PSNH's generation assets is probable through a combination of cash flows during the remaining operating period, sales proceeds upon divestiture, and recovery of stranded costs via bonds that will be secured by a non-bypassable charge or through recoveries in future rates billed to PSNH's customers.

As of March 31, 2017, PSNH's generation assets were as follows:

(Millions of Dollars)
Gross Plant	$	1,192.6
Accumulated Depreciation	(564.1		)
Net Plant	628.5
Fuel	98.3
Materials and Supplies	48.5
Emission Allowances	19.7
Total Generation Assets	$	795.0

As of March 31, 2017, current and long-term liabilities associated with PSNH's generation assets included Accounts Payable of $30.1 million, Other Current Liabilities of $21.7 million, AROs of $20.3 million, and Accrued Pension, SERP and PBOP of $23.7 million.

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10.    FAIR VALUE OF FINANCIAL INSTRUMENTS

The following methods and assumptions were used to estimate the fair value of each of the following financial instruments:

Preferred Stock and Long-Term Debt:  The fair value of CL&P's and NSTAR Electric's preferred stock is based upon pricing models that incorporate interest rates and other market factors, valuations or trades of similar securities and cash flow projections.  The fair value of long-term debt securities is based upon pricing models that incorporate quoted market prices for those issues or similar issues adjusted for market conditions, credit ratings of the respective companies and treasury benchmark yields.  The fair values provided in the tables below are classified as Level 2 within the fair value hierarchy.  Carrying amounts and estimated fair values are as follows:

	As of March 31, 2017				As of December 31, 2016
Eversource (Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Preferred Stock Not Subject to Mandatory Redemption	$	155.6	$	156.6	$	155.6	$	158.3
Long-Term Debt	10,041.8		10,428.0		9,603.2		9,980.5

	CL&P				NSTAR Electric				PSNH				WMECO
(Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Carrying Amount		Fair Value		Carrying Amount		Fair Value
As of March 31, 2017:
Preferred Stock Not Subject to Mandatory Redemption	$	116.2	$	113.5	$	43.0	$	43.1	$	—	$	—	$	—	$	—
Long-Term Debt	2,913.2		3,179.5		2,078.5		2,202.9		1,072.3		1,115.2		566.4		596.8
As of December 31, 2016:
Preferred Stock Not Subject to Mandatory Redemption	$	116.2	$	114.7	$	43.0	$	43.6	$	—	$	—	$	—	$	—
Long-Term Debt	2,766.0		3,049.6		2,078.1		2,201.6		1,072.0		1,109.7		566.5		589.0

Derivative Instruments and Marketable Securities: Derivative instruments and investments in marketable securities are carried at fair value.  For further information, see Note 4, "Derivative Instruments," and Note 5, "Marketable Securities," to the financial statements.  

See Note 1D, "Summary of Significant Accounting Policies - Fair Value Measurements," for the fair value measurement policy and the fair value hierarchy.

11.    ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

The changes in accumulated other comprehensive income/(loss) by component, net of tax, is as follows:

	For the Three Months Ended March 31, 2017											For the Three Months Ended March 31, 2016
	Qualified			Unrealized								Qualified			Unrealized
	Cash Flow			Gains								Cash Flow			Gains/(Losses)
Eversource (Millions of Dollars)	Hedging			on Marketable		Defined						Hedging			on Marketable			Defined
	Instruments			Securities		Benefit Plans			Total			Instruments			Securities			Benefit Plans			Total
Balance as of Beginning of Period	$	(8.2	)	$	0.4	$	(57.5	)	$	(65.3	)	$	(10.3	)	$	(1.9	)	$	(54.6	)	$	(66.8	)
OCI Before Reclassifications	—			1.7		—			1.7			—			0.2			—			0.2
Amounts Reclassified from AOCL	0.5			—		1.0			1.5			0.5			—			0.9			1.4
Net OCI	0.5			1.7		1.0			3.2			0.5			0.2			0.9			1.6
Balance as of End of Period	$	(7.7	)	$	2.1	$	(56.5	)	$	(62.1	)	$	(9.8	)	$	(1.7	)	$	(53.7	)	$	(65.2	)

Eversource's qualified cash flow hedging instruments represent interest rate swap agreements on debt issuances that were settled in prior years. The settlement amount was recorded in AOCL and is being amortized into Net Income over the term of the underlying debt instrument.  CL&P, PSNH and WMECO continue to amortize interest rate swaps settled in prior years from AOCL into Interest Expense over the remaining life of the associated long-term debt. Such interest rate swaps are not material to their respective financial statements.

Defined benefit plan OCI amounts before reclassifications relate to actuarial gains and losses and prior service costs that arose during the year and were recognized in AOCL. The unamortized actuarial gains and losses and prior service costs on the defined benefit plans are amortized from AOCL into Operations and Maintenance expense over the average future employee service period, and are reflected in amounts reclassified from AOCL.  For further information, see Note 7, "Pension Benefits and Postretirement Benefits Other Than Pensions."

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12.    COMMON SHARES

The following table sets forth the Eversource parent common shares and the shares of common stock of CL&P, NSTAR Electric, PSNH and WMECO that were authorized and issued, as well as the respective per share par values:  

	Shares
			Authorized as of March 31, 2017 and	Issued as of
	Par Value		December 31, 2016	March 31, 2017	December 31, 2016
Eversource	$	5	380,000,000	333,878,402	333,878,402
CL&P	$	10	24,500,000	6,035,205	6,035,205
NSTAR Electric	$	1	100,000,000	100	100
PSNH	$	1	100,000,000	301	301
WMECO	$	25	1,072,471	434,653	434,653

As of both March 31, 2017 and December 31, 2016, there were 16,992,594 Eversource common shares held as treasury shares.  As of both March 31, 2017 and December 31, 2016, Eversource common shares outstanding were 316,885,808.

13.    COMMON SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS

Dividends on the preferred stock of CL&P and NSTAR Electric totaled $1.9 million for each of the three months ended March 31, 2017 and 2016. These dividends were presented as Net Income Attributable to Noncontrolling Interests on the Eversource statements of income.  Noncontrolling Interest – Preferred Stock of Subsidiaries on the Eversource balance sheets totaled $155.6 million as of March 31, 2017 and December 31, 2016. On the Eversource balance sheets, Common Shareholders' Equity was fully attributable to the parent and Noncontrolling Interest – Preferred Stock of Subsidiaries was fully attributable to the noncontrolling interest.

14.    EARNINGS PER SHARE

Basic EPS is computed based upon the weighted average number of common shares outstanding during each period.  Diluted EPS is computed on the basis of the weighted average number of common shares outstanding plus the potential dilutive effect of certain share-based compensation awards as if they were converted into common shares.  The dilutive effect of unvested RSU and performance share awards and unexercised stock options is calculated using the treasury stock method.  RSU and performance share awards are included in basic weighted average common shares outstanding as of the date that all necessary vesting conditions have been satisfied.  For the three months ended March 31, 2017 and 2016, there were no antidilutive share awards excluded from the computation of diluted EPS.

The following table sets forth the components of basic and diluted EPS:

Eversource (Millions of Dollars, except share information)	For the Three Months Ended
	March 31, 2017		March 31, 2016
Net Income Attributable to Common Shareholders	$	259.5	$	244.2
Weighted Average Common Shares Outstanding:
Basic	317,463,151		317,517,141
Dilutive Effect	661,385		963,909
Diluted	318,124,536		318,481,050
Basic and Diluted EPS	$	0.82	$	0.77

15.    SEGMENT INFORMATION

Presentation:  Eversource is organized among the Electric Distribution, Electric Transmission and Natural Gas Distribution reportable segments and Other based on a combination of factors, including the characteristics of each segments' services, the sources of operating revenues and expenses and the regulatory environment in which each segment operates.  These reportable segments represent substantially all of Eversource's total consolidated revenues.  Revenues from the sale of electricity and natural gas primarily are derived from residential, commercial and industrial customers and are not dependent on any single customer.  The Electric Distribution reportable segment includes the generation activities of PSNH and WMECO.  

The remainder of Eversource's operations is presented as Other in the tables below and primarily consists of 1) the equity in earnings of Eversource parent from its subsidiaries and intercompany interest income, both of which are eliminated in consolidation, and interest expense related to the debt of Eversource parent, 2) the revenues and expenses of Eversource Service, most of which are eliminated in consolidation, 3) the operations of CYAPC and YAEC, and 4) the results of other unregulated subsidiaries, which are not part of its core business. In addition, Other in the tables below includes Eversource parent's equity ownership interests in certain natural gas pipeline projects owned by Enbridge, Inc., the Bay State Wind project, an energy investment fund, and two companies that transmit hydroelectricity imported from the Hydro-Quebec system in Canada. In the ordinary course of business, Yankee Gas and NSTAR Gas purchase natural gas transmission services from the Enbridge, Inc. natural gas pipeline projects described above. These affiliate transaction costs total approximately $62.5 million annually and are classified as Purchased Power, Fuel and Transmission on the Eversource statements of income.

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Cash flows used for investments in plant included in the segment information below are cash capital expenditures that do not include amounts incurred but not paid, cost of removal, AFUDC related to equity funds, and the capitalized portions of pension expense.   

Eversource's reportable segments are determined based upon the level at which Eversource's chief operating decision maker assesses performance and makes decisions about the allocation of company resources.  Each of Eversource's subsidiaries, including CL&P, NSTAR Electric, PSNH and WMECO, has one reportable segment.  Eversource's operating segments and reporting units are consistent with its reportable business segments.

Eversource's segment information is as follows:

	For the Three Months Ended March 31, 2017
Eversource (Millions of Dollars)	Electric Distribution			Natural Gas Distribution			Electric Transmission			Other			Eliminations			Total
Operating Revenues	$	1,401.1		$	403.6		$	316.9		$	236.3		$	(252.8	)	$	2,105.1
Depreciation and Amortization	(129.8		)	(21.7		)	(50.6		)	(9.2		)	0.5			(210.8		)
Other Operating Expenses	(1,041.9		)	(289.6		)	(90.0		)	(216.6		)	252.8			(1,385.3		)
Operating Income	$	229.4		$	92.3		$	176.3		$	10.5		$	0.5		$	509.0
Interest Expense	$	(48.2	)	$	(10.6	)	$	(28.1	)	$	(19.7	)	$	3.2		$	(103.4	)
Other Income, Net	5.0			0.3			4.9			328.9			(325.5		)	13.6
Net Income Attributable to Common Shareholders	114.1			50.8			94.2			322.2			(321.8		)	259.5
Cash Flows Used for Investments in Plant	236.2			64.5			192.6			30.3			—			523.6

	For the Three Months Ended March 31, 2016
Eversource (Millions of Dollars)	Electric Distribution			Natural Gas Distribution			Electric Transmission			Other			Eliminations			Total
Operating Revenues	$	1,436.1		$	342.6		$	283.3		$	214.2		$	(220.6	)	$	2,055.6
Depreciation and Amortization	(127.7		)	(15.8		)	(45.1		)	(6.9		)	0.5			(195.0		)
Other Operating Expenses	(1,088.9		)	(233.5		)	(73.0		)	(197.3		)	220.6			(1,372.1		)
Operating Income	$	219.5		$	93.3		$	165.2		$	10.0		$	0.5		$	488.5
Interest Expense	$	(48.0	)	$	(10.1	)	$	(28.0	)	$	(14.1	)	$	2.0		$	(98.2	)
Other Income/(Loss), Net	—			(0.3		)	2.6			305.5			(305.8		)	2.0
Net Income Attributable to Common Shareholders	108.4			50.9			85.7			302.5			(303.3		)	244.2
Cash Flows Used for Investments in Plant	184.2			52.1			172.4			22.8			—			431.5

The following table summarizes Eversource's segmented total assets:

Eversource (Millions of Dollars)	Electric Distribution		Natural Gas Distribution		Electric Transmission		Other		Eliminations			Total
As of March 31, 2017	$	18,343.3	$	3,332.7	$	9,015.6	$	14,590.4	$	(12,926.8	)	$	32,355.2
As of December 31, 2016	18,367.5		3,303.8		8,751.5		14,493.1		(12,862.7		)	32,053.2

31

EVERSOURCE ENERGY AND SUBSIDIARIES

Management's Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis should be read in conjunction with our unaudited condensed consolidated financial statements and related combined notes included in this combined Quarterly Report on Form 10-Q, as well as the Eversource 2016 Form 10-K.  References in this combined Quarterly Report on Form 10-Q to "Eversource," the "Company," "we," "us," and "our" refer to Eversource Energy and its consolidated subsidiaries.  All per-share amounts are reported on a diluted basis.  The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P and WMECO are herein collectively referred to as the "financial statements."  

Refer to the Glossary of Terms included in this combined Quarterly Report on Form 10-Q for abbreviations and acronyms used throughout this Management's Discussion and Analysis of Financial Condition and Results of Operations.  

The only common equity securities that are publicly traded are common shares of Eversource.  The earnings and EPS of each business discussed below do not represent a direct legal interest in the assets and liabilities of such business but rather represent a direct interest in our assets and liabilities as a whole.  EPS by business is a financial measure not recognized under GAAP calculated by dividing the Net Income Attributable to Common Shareholders of each business by the weighted average diluted Eversource common shares outstanding for the period.  We use this non-GAAP financial measure to evaluate and provide details of earnings results by business.  We believe that the non-GAAP presentation is more representative of our financial performance and provides additional and useful information to readers of this report in analyzing historical and future performance by business.  This non-GAAP financial measure should not be considered as an alternative to reported Net Income Attributable to Common Shareholders or EPS determined in accordance with GAAP as an indicator of operating performance.

From time to time we make statements concerning our expectations, beliefs, plans, objectives, goals, strategies, assumptions of future events, future financial performance or growth and other statements that are not historical facts.  These statements are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995.  You can generally identify our forward-looking statements through the use of words or phrases such as "estimate," "expect," "anticipate," "intend," "plan," "project," "believe," "forecast," "should," "could," and other similar expressions.  Forward-looking statements are based on the current expectations, estimates, assumptions or projections of management and are not guarantees of future performance.  These expectations, estimates, assumptions or projections may vary materially from actual results.  Accordingly, any such statements are qualified in their entirety by reference to, and are accompanied by, the following important factors that could cause our actual results to differ materially from those contained in our forward-looking statements, including, but not limited to:

• cyber breaches, acts of war or terrorism, or grid disturbances,

• actions or inaction of local, state and federal regulatory, public policy and taxing bodies,

• changes in business conditions, which could include disruptive technology related to our current or future business model,

• changes in economic conditions, including impact on interest rates, tax policies, and customer demand and payment ability,

• fluctuations in weather patterns,

• changes in laws, regulations or regulatory policy,

• changes in levels or timing of capital expenditures,

• disruptions in the capital markets or other events that make our access to necessary capital more difficult or costly,

• developments in legal or public policy doctrines,

• technological developments,

• changes in accounting standards and financial reporting regulations,

• actions of rating agencies, and

• other presently unknown or unforeseen factors.  

Other risk factors are detailed in our reports filed with the SEC and updated as necessary, and we encourage you to consult such disclosures.

All such factors are difficult to predict and contain uncertainties that may materially affect our actual results, many of which are beyond our control.  You should not place undue reliance on the forward-looking statements, as each speaks only as of the date on which such statement is made, and, except as required by federal securities laws, we undertake no obligation to update any forward-looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events.  New factors emerge from time to time and it is not possible for us to predict all of such factors, nor can we assess the impact of each such factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.  For more information, see Item 1A, Risk Factors, included in this combined Quarterly Report on Form 10-Q and in Eversource's 2016 combined Annual Report on Form 10-K.  This combined Quarterly Report on Form 10-Q and Eversource's 2016 combined Annual Report on Form 10-K also describe material contingencies and critical accounting policies in the accompanying Management's Discussion and Analysis of Financial Condition and Results of Operations and Combined Notes to Financial Statements.  We encourage you to review these items.

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Financial Condition and Business Analysis

Executive Summary

The following items in this executive summary are explained in more detail in this combined Quarterly Report on Form 10-Q:

Results:  

• We earned $259.5 million, or $0.82 per share, in the first quarter of 2017, compared with $244.2 million, or $0.77 per share, in the first quarter of 2016.  

• Our electric distribution segment, which includes generation, earned $114.1 million, or $0.36 per share, in the first quarter of 2017, compared with $108.4 million, or $0.34 per share, in the first quarter of 2016.  Our electric transmission segment earned $94.2 million, or $0.30 per share, in the first quarter of 2017, compared with $85.7 million, or $0.27 per share, in the first quarter of 2016.  Our natural gas distribution segment earned $50.8 million, or $0.16 per share, in the first quarter of 2017, compared with $50.9 million, or $0.16 per share, in the first quarter of 2016.  

• Eversource parent and other companies earned $0.4 million in the first quarter of 2017, compared with a net loss of $0.8 million in the first quarter of 2016.

Liquidity:

• Cash flows provided by operating activities totaled $436.5 million in the first quarter of 2017, compared with $500.0 million in the first quarter of 2016.  Investments in property, plant and equipment totaled $523.6 million in the first quarter of 2017, compared with $431.5 million in the first quarter of 2016.  Cash and cash equivalents totaled $45.8 million as of March 31, 2017, compared with $30.3 million as of December 31, 2016.

• In March 2017, Eversource parent issued $300 million of 2.75 percent Series K Senior Notes, due to mature in 2022. The proceeds, net of issuance costs, were used to repay short-term borrowings under the Eversource parent commercial paper program. In March 2017, CL&P issued $300 million of 3.20 percent 2017 Series A First and Refunding Mortgage Bonds due to mature in 2027. The proceeds, net of issuance costs, were used to repay short-term borrowings. Also in March 2017, CL&P repaid at maturity $150 million of 5.375 percent 2007 Series A First and Refunding Mortgage Bonds, using short-term borrowings.

• On May 3, 2017, our Board of Trustees approved a common share dividend payment of $0.475 per share, payable on June 30, 2017 to shareholders of record as of May 31, 2017.

Strategic, Legislative, Regulatory, Policy and Other Items:

• On April 14, 2017, pursuant to appeals the NETOs and Complainants filed on the first FERC ROE complaint decision, the D.C. Circuit Court of Appeals issued a decision vacating and remanding the FERC's decision. The Court remanded the case to the FERC for further proceedings consistent with the Court's decision.

• On March 31, 2017, pursuant to legislation that became law in 2016, the Massachusetts EDCs, including NSTAR Electric and WMECO, and the DOER issued a joint RFP for 9.45 terawatt hours of clean energy per year, such as hydropower, land-based wind or solar. The RFP seeks proposals for long-term contracts of 15 to 20 years to provide electric distribution companies with clean energy generation. Northern Pass will be bid into the RFP.

Overview

Consolidated:  Below is a summary of our earnings by business, which also reconciles the non-GAAP financial measure of EPS by business to the most directly comparable GAAP measure of diluted EPS, for the first quarter of 2017 and 2016.  

	For the Three Months Ended March 31,
	2017				2016
(Millions of Dollars, Except Per-Share Amounts)	Amount		Per Share		Amount			Per Share
Net Income Attributable to Common Shareholders (GAAP)	$	259.5	$	0.82	$	244.2		$	0.77
Regulated Companies	$	259.1	$	0.82	$	245.0		$	0.77
Eversource Parent and Other Companies	0.4		—		(0.8		)	—
Net Income Attributable to Common Shareholders (GAAP)	$	259.5	$	0.82	$	244.2		$	0.77

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Regulated Companies:  Our Regulated companies consist of the electric distribution, electric transmission, and natural gas distribution segments. Generation activities of PSNH and WMECO are included in our electric distribution segment.  A summary of our segment earnings and EPS for the first quarter of 2017 and 2016 is as follows:  

	For the Three Months Ended March 31,
	2017				2016
(Millions of Dollars, Except Per-Share Amounts)	Amount		Per Share		Amount		Per Share
Electric Distribution	$	114.1	$	0.36	$	108.4	$	0.34
Electric Transmission	94.2		0.30		85.7		0.27
Natural Gas Distribution	50.8		0.16		50.9		0.16
Net Income - Regulated Companies	$	259.1	$	0.82	$	245.0	$	0.77

Our electric distribution segment earnings increased$5.7 million in the first quarter of 2017, as compared to the first quarter of 2016, due primarily to higher lost base revenues at NSTAR Electric and lower property and other tax expense, partially offset by lower generation earnings, higher operations and maintenance expense driven primarily by higher storm restoration costs, and higher depreciation expense.

Our electric transmission segment earnings increased$8.5 million in the first quarter of 2017, as compared to the first quarter of 2016, due primarily to a higher transmission rate base as a result of our continued investment in our transmission infrastructure.

Our natural gas distribution segment earnings decreased$0.1 million in the first quarter of 2017, as compared to the first quarter of 2016, due primarily to higher operations and maintenance expense and depreciation expense, partially offset by higher firm natural gas sales volumes driven by colder weather in Connecticut in the first quarter of 2017, as compared to the first quarter of 2016, and higher revenues due to growth in new customer base.

Eversource Parent and Other Companies:  Eversource parent and other companies had earnings of $0.4 million in the first quarter of 2017, compared with a net loss of $0.8 million in the first quarter of 2016.  The earnings increase was due primarily to higher investment earnings from Eversource parent's equity method investments and a lower effective tax rate, partially offset by higher interest expense.

Electric and Natural Gas Sales Volumes:  Weather, fluctuations in energy supply costs, conservation measures (including utility-sponsored energy efficiency programs), and economic conditions affect customer energy usage.  Industrial sales volumes are less sensitive to temperature variations than residential and commercial sales volumes.  In our service territories, weather impacts electric sales volumes during the summer and both electric and natural gas sales volumes during the winter; however, natural gas sales volumes are more sensitive to temperature variations than are electric sales volumes.  Customer heating or cooling usage may not directly correlate with historical levels or with the level of degree-days that occur.

Fluctuations in retail electric sales volumes at NSTAR Electric and PSNH impact earnings ("Traditional" in the table below).  For CL&P and WMECO, fluctuations in retail electric sales volumes do not impact earnings due to their respective regulatory commission approved distribution revenue decoupling mechanisms ("Decoupled" in the table below).  These distribution revenues are decoupled from their customer sales volumes, which breaks the relationship between sales volumes and revenues recognized.  CL&P and WMECO reconcile their annual base distribution rate recovery amounts to their respective pre-established levels of baseline distribution delivery service revenues of $1.059 billion and $132.4 million, respectively.  Any difference between the allowed level of distribution revenue and the actual amount incurred during a 12-month period is adjusted through rates in the following period.

Fluctuations in natural gas sales volumes in Massachusetts do not impact earnings due to the DPU-approved natural gas distribution revenue decoupling mechanism approved in the last rate case decision ("Decoupled" in the table below).  Natural gas distribution revenues are decoupled from their customer sales volumes, where applicable, which breaks the relationship between sales volumes and revenues recognized.

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A summary of our retail electric GWh sales volumes and our firm natural gas Mcf sales volumes, as well as percentage changes, is as follows:  

	For the Three Months Ended March 31, 2017 Compared to 2016
	Sales Volumes (GWh)		Percentage
Electric	2017	2016	Increase/(Decrease)
Traditional:
Residential	2,436	2,404	1.3	%
Commercial	3,939	3,990	(1.3	)%
Industrial	596	600	(0.7	)%
Total – Traditional	6,971	6,994	(0.3	)%
Decoupled:
Residential	2,988	2,943	1.5	%
Commercial	2,591	2,618	(1.0	)%
Industrial	622	664	(6.3	)%
Total – Decoupled	6,201	6,225	(0.4	)%
Total Sales Volumes	13,172	13,219	(0.4	)%

	For the Three Months Ended March 31, 2017 Compared to 2016
	Sales Volumes (Mcf)		Percentage
Firm Natural Gas	2017	2016	Increase/(Decrease)
Traditional:
Residential	7,093	6,642	6.8	%
Commercial	8,409	7,976	5.4	%
Industrial	3,403	3,367	1.1	%
Total – Traditional	18,905	17,985	5.1	%
Decoupled:
Residential	10,185	9,309	9.4	%
Commercial	9,130	8,988	1.6	%
Industrial	1,709	1,854	(7.8	)%
Total – Decoupled	21,024	20,151	4.3	%
Special Contracts (1)	1,217	1,212	0.4	%
Total – Decoupled and Special Contracts	22,241	21,363	4.1	%
Total Sales Volumes	41,146	39,348	4.6	%

⁽¹⁾  Special contracts are unique to the natural gas distribution customers who take service under such an arrangement and generally specify the amount of distribution revenue to be paid to Yankee Gas regardless of the customers' usage.

For the first quarter of 2017, retail electric sales volumes at our electric utilities with a traditional rate structure (NSTAR Electric and PSNH) remained relatively unchanged, as compared to the first quarter of 2016.  Colder weather in March 2017, as compared to March 2016, was offset by the milder weather in January and February 2017, as compared to the same periods in 2016, which resulted in an overall slight decrease in sales volumes.

On January 28, 2016, Eversource received approval of a three-year energy efficiency plan in Massachusetts, which includes recovery of LBR at NSTAR Electric until it is operating under a decoupled rate structure.  NSTAR Electric earns LBR related to reductions in sales volume as a result of successful energy efficiency programs.  LBR is recovered from retail customers through current rates.  NSTAR Electric recognized LBR of $17.2 million in the first quarter of 2017, compared to $12.9 million in the first quarter of 2016.

Our firm natural gas sales volumes are subject to many of the same influences as our retail electric sales volumes.  In addition, they have benefited from customer growth in both of our natural gas distribution companies. In the first quarter of 2017, our consolidated firm natural gas sales volumes were higher, as compared to the first quarter of 2016.  Heating degree days for the first quarter of 2017 were 4.0 percent higher in Connecticut, as compared to the same period in 2016.

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Liquidity

Consolidated:  Cash and cash equivalents totaled $45.8 million as of March 31, 2017, compared with $30.3 million as of December 31, 2016.

Long-Term Debt Issuances: In March 2017, Eversource parent issued $300 million of 2.75 percent Series K Senior Notes, due to mature in 2022. The proceeds, net of issuance costs, were used to repay short-term borrowings under the Eversource parent commercial paper program. Also in March 2017, CL&P issued $300 million of 3.20 percent 2017 Series A First and Refunding Mortgage Bonds due to mature in 2027. The proceeds, net of issuance costs, were used to repay short-term borrowings.

Long-Term Debt Repayments: In March 2017, CL&P repaid at maturity the $150 million of 5.375 percent 2007 Series A First and Refunding Mortgage Bonds, using short-term borrowings.

Commercial Paper Programs and Credit Agreements: Eversource parent has a $1.45 billion commercial paper program allowing Eversource parent to issue commercial paper as a form of short-term debt.  As of March 31, 2017 and December 31, 2016, Eversource parent had $801.0 million and approximately $1.0 billion, respectively, in short-term borrowings outstanding under the Eversource parent commercial paper program, leaving $649.0 million and $428.0 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively. The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 1.12 percent and 0.88 percent, respectively. As of March 31, 2017, there were intercompany loans from Eversource parent of $3.4 million to CL&P, $144.9 million to PSNH, and $71.4 million to WMECO.  As of December 31, 2016, there were intercompany loans from Eversource parent of $80.1 million to CL&P, $160.9 million to PSNH and $51.0 million to WMECO.  Eversource parent, CL&P, PSNH, WMECO, NSTAR Gas and Yankee Gas are parties to a five-year $1.45 billion revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop Eversource parent's $1.45 billion commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

NSTAR Electric has a $450 million commercial paper program allowing NSTAR Electric to issue commercial paper as a form of short-term debt. As of March 31, 2017 and December 31, 2016, NSTAR Electric had $174.5 million and $126.5 million, respectively, in short-term borrowings outstanding under its commercial paper program, leaving $275.5 million and $323.5 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively.  The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 0.86 percent and 0.71 percent, respectively.  NSTAR Electric is a party to a five-year $450 million revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop NSTAR Electric's $450 million commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

Cash Flows:  Cash flows provided by operating activities totaled $436.5 million in the first quarter of 2017, compared with $500.0 million in the first quarter of 2016.  The decrease in operating cash flows was due primarily to $211.9 million in lower income tax refunds as a result of the impact of the December 2015 legislation that extended tax bonus depreciation. That legislation extended the accelerated deduction of depreciation to businesses from 2015 to 2019, and also resulted in a refund of approximately $275 million we received in the first quarter of 2016. Partially offsetting this unfavorable impact was the timing of regulatory recoveries, which primarily related to customer billings in excess of purchased power costs, and the timing of collections on our accounts receivable.

On February 2, 2017, our Board of Trustees approved a common share dividend of $0.475 per share, payable on March 31, 2017 to shareholders of record as of March 2, 2017.  In the first quarter of 2017, we paid cash dividends on common shares of $150.5 million, compared with $141.2 million in the first quarter of 2016. On May 3, 2017, our Board of Trustees approved a common share dividend payment of $0.475 per share, payable on June 30, 2017 to shareholders of record as of May 31, 2017.

In the first quarter of 2017, CL&P, NSTAR Electric, PSNH, and WMECO paid $49.6 million, $46.5 million, $18.5 million, and $9.5 million, respectively, in common stock dividends to Eversource parent.

Investments in Property, Plant and Equipment on the statements of cash flows do not include amounts incurred on capital projects but not yet paid, cost of removal, AFUDC related to equity funds, and the capitalized portions of pension expense.  In the first quarter of 2017, investments for Eversource, CL&P, NSTAR Electric, PSNH, and WMECO were $523.6 million, $181.6 million, $132.1 million, $75.3 million, and $32.7 million respectively.   

36

Business Development and Capital Expenditures

Our consolidated capital expenditures, including amounts incurred but not paid, cost of removal, AFUDC, and the capitalized portions of pension expense (all of which are non-cash factors), totaled $446.4 million in the first quarter of 2017, compared to $368.5 million in the first quarter of 2016.  These amounts included $21.5 million and $24.0 million in the first quarter of 2017 and 2016, respectively, related to information technology and facilities upgrades and enhancements, primarily at Eversource Service and The Rocky River Realty Company.

Access Northeast: Access Northeast is a natural gas pipeline and storage project being developed jointly by Eversource, Enbridge, Inc. ("Enbridge") and National Grid plc ("National Grid"), through Algonquin Gas Transmission, LLC ("AGT"). This project is expected to enhance the Algonquin and Maritimes & Northeast pipeline systems using existing routes and is expected to include two new LNG storage tanks and liquefaction and vaporization facilities in Acushnet, Massachusetts that are currently expected to be connected to the Algonquin natural gas pipeline. Access Northeast is expected to be capable of delivering approximately 900 million cubic feet of additional natural gas per day to New England on peak demand days. Eversource and Enbridge each own a 40 percent interest in the project, with the remaining 20 percent interest owned by National Grid. The project is subject to FERC and other federal and state regulatory approvals. Its initial proposed configuration was expected to cost approximately $3 billion to construct, with Eversource Energy's investment share at approximately $1.2 billion. As of March 31, 2017, we have invested $31.1 million in this project.

Enbridge, Eversource and National Grid are currently evaluating a series of options surrounding Access Northeast, including state infrastructure legislation changes and LDC contracts, in order to help bring needed additional natural gas pipeline and storage capacity to New England. As a result, the final design, cost, and in-service date of Access Northeast will continue to be refined.

Bay State Wind: Bay State Wind is a proposed off-shore wind project being jointly developed by Eversource and Denmark-based DONG Energy. Bay State Wind will be located in a 300-square-mile area approximately 15 to 25 miles south of Martha's Vineyard that has the ultimate potential to generate more than 2,000 MW of energy. Both Eversource and DONG Energy hold a 50 percent ownership interest in Bay State Wind. In August 2016, Massachusetts passed clean energy legislation that requires EDCs to jointly solicit RFPs and enter into long-term contracts for off-shore wind, creating RFP opportunities for projects like Bay State Wind. The initial RFP, which is legislatively required to be for no less than 400 MW of off-shore wind, is due to be released by June 30, 2017, and Bay State Wind will be bid into that RFP.

Electric Transmission Business:  

Our consolidated electric transmission business capital expenditures increased by $29.3 million in the first quarter of 2017, as compared to the first quarter of 2016.  A summary of electric transmission capital expenditures by company is as follows:  

	For the Three Months Ended March 31,
(Millions of Dollars)	2017		2016
CL&P	$	79.9	$	63.4
NSTAR Electric	39.2		31.7
PSNH	21.6		19.6
WMECO	18.6		18.0
NPT	9.7		7.0
Total Electric Transmission Segment	$	169.0	$	139.7

Northern Pass: Northern Pass is NPT's planned high-voltage direct-current ("HVDC") transmission line from the Québec-New Hampshire border to Franklin, New Hampshire and an associated alternating current radial transmission line between Franklin and Deerfield, New Hampshire.  Northern Pass will interconnect at the Québec-New Hampshire border with a planned HQ HVDC transmission line.  On July 21, 2015, the DOE issued the draft Environmental Impact Statement ("EIS") for Northern Pass representing a key milestone in the permitting process.  The DOE completed the comment period on the draft EIS on April 4, 2016, and is expected to issue the final EIS in the third quarter of 2017.

On August 18, 2015, NPT announced the Forward NH Plan, which is expected to deliver substantial energy cost savings and other benefits to New Hampshire, including a commitment to contribute $200 million to projects associated with economic development, tourism, community betterment and clean energy innovations to benefit the state of New Hampshire. The Forward NH Plan also included a commitment by PSNH to secure a power purchase agreement ("PPA") with HQ to ensure that customers receive their load share of the low cost, clean energy to be delivered over that transmission line. On June 28, 2016, PSNH filed the executed PPA with the NHPUC for approval. On March 27, 2017, the NHPUC dismissed PSNH's petition for approval of the PPA. PSNH had requested suspension or reconsideration of that decision but on April 20, 2017, the request was denied by the NHPUC. The Forward NH Plan and the PPA are both commitments that are contingent upon the Northern Pass transmission line going into commercial operation.

On October 14, 2016, the NHPUC approved a settlement agreement between NPT and the NHPUC staff and granted NPT public utility status, conditional on final project permitting.  

37

The Society for the Protection of New Hampshire Forests ("SPNHF") filed a lawsuit against NPT in November 2015 alleging that NPT does not have the right to install underground transmission lines in the public highway right of way without the permission of the abutting landowners, such as the SPNHF. On January 31, 2017, the New Hampshire Supreme Court upheld a lower court's ruling confirming that NPT has the right to install underground transmission lines along and beneath public highways in New Hampshire with approval of the New Hampshire Department of Transportation.

The New Hampshire Site Evaluation Committee ("NH SEC") commenced hearings for formal siting on April 13, 2017 and is expected to issue an order on Northern Pass no later than September 30, 2017. The DOE is expected to act on a Presidential Permit for Northern Pass after the final NH SEC order is released and is expected to issue an approval before the end of 2017. Northern Pass has been targeted for completion by the end of 2019.

In August 2016, Massachusetts enacted clean energy legislation that requires EDCs to jointly solicit proposals and enter into long-term contracts for energy, such as hydropower. The RFP was issued on March 31, 2017, and Northern Pass will be bid into that RFP in late July 2017.

Greater Boston Reliability Solution: In February 2015, ISO-NE selected the Greater Boston and New Hampshire Solution (the "Solution"), proposed by Eversource and National Grid, to satisfy the requirements identified in the Greater Boston study.  The Solution consists of a portfolio of electric transmission upgrades covering southern New Hampshire and northern Massachusetts in the Merrimack Valley and continuing into the greater Boston metropolitan area, of which 28 are in Eversource's service territory. The NH SEC issued its written order approving the New Hampshire upgrades on October 4, 2016. We are currently pursuing the necessary regulatory and siting application approvals in Massachusetts. Construction has also begun on several smaller projects not requiring siting approval. All upgrades are expected to be completed by the end of 2019.  We estimate our portion of the investment in the Solution will be approximately $560 million, of which $146.4 million has been capitalized through March 31, 2017.

GHCC:  The Greater Hartford Central Connecticut ("GHCC") projects, which have been approved by ISO-NE, consist of 27 projects with an expected investment of approximately $350 million that are expected to be placed in service through 2018.  Twelve projects have been placed in service, and eleven projects are in active construction.  As of March 31, 2017, CL&P had capitalized $141.6 million in costs associated with GHCC.

Seacoast Reliability Project:  On April 12, 2016, PSNH filed a siting application with the NH SEC for the Seacoast Reliability Project, a 13-mile, 115kV transmission line within several New Hampshire communities, which proposes to use a combination of overhead, underground and underwater line design to help meet the growing demand for electricity in the Seacoast region.  In June 2016, the NH SEC accepted our application as complete and we expect the NH SEC decision by late 2017.  This project is expected to be completed by the end of 2018.  We now estimate our investment in this project will be approximately $84 million, of which $15.4 million has been capitalized through March 31, 2017.

Distribution Business:

A summary of distribution capital expenditures is as follows:

	For the Three Months Ended March 31,
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO			Total Electric		Natural Gas		Total Electric and Natural Gas Distribution Segment
2017
Basic Business	$	42.9	$	30.1	$	17.8	$	5.2		$	96.0	$	15.8	$	111.8
Aging Infrastructure	40.6		14.6		19.4		4.3			78.9		29.0		107.9
Load Growth (1)	9.5		15.8		4.3		(2.3		)	27.3		6.0		33.3
Total Distribution	93.0		60.5		41.5		7.2			202.2		50.8		253.0
Generation	—		0.3		2.3		0.3			2.9		—		2.9
Total Electric and Natural Gas Distribution Segment	$	93.0	$	60.8	$	43.8	$	7.5		$	205.1	$	50.8	$	255.9
2016
Basic Business	$	39.1	$	24.0	$	15.1	$	3.4		$	81.6	$	12.6	$	94.2
Aging Infrastructure	26.5		12.5		14.4		4.4			57.8		19.2		77.0
Load Growth	9.0		14.2		3.5		0.5			27.2		6.0		33.2
Total Distribution	74.6		50.7		33.0		8.3			166.6		37.8		204.4
Generation	—		—		0.4		—			0.4		—		0.4
Total Electric and Natural Gas Distribution Segment	$	74.6	$	50.7	$	33.4	$	8.3		$	167.0	$	37.8	$	204.8

⁽¹⁾ For the three months ended March 31, 2017, WMECO had $4.7 million of total contributions in aid of construction, which was a credit to capital expenditures for the period.

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For the electric distribution business, basic business includes the purchase of meters, tools, vehicles, information technology, transformer replacements, equipment facilities, and the relocation of plant.  Aging infrastructure relates to reliability and the replacement of overhead lines, plant substations, underground cable replacement, and equipment failures.  Load growth includes requests for new business and capacity additions on distribution lines and substation additions and expansions.  

For the natural gas distribution segment, basic business addresses daily operational needs including meters, pipe relocations due to public works projects, vehicles, and tools.  Aging infrastructure projects seek to improve the reliability of the system through enhancements related to cast iron and bare steel replacement of main and services, corrosion mediation, and station upgrades.  Load growth reflects growth in existing service territories including new developments, installation of services, and expansion.

The natural gas distribution segment's capital spending program increased by $13.0 million in the first quarter of 2017, as compared to the first quarter of 2016, as a result of the Hopkinton Liquefier Replacement project. The total project cost is estimated to be approximately $170 million and is expected to be placed in service in late 2019.

FERC Regulatory Matters

FERC ROE Complaints: Four separate complaints have been filed at the FERC by combinations of New England state attorneys general, state regulatory commissions, consumer advocates, consumer groups, municipal parties and other parties (collectively the "Complainants"). In each of the first three complaints, the Complainants challenged the NETOs' base ROE of 11.14 percent that had been utilized since 2005 and sought an order to reduce it prospectively from the date of the final FERC order and for the 15-month complaint periods arising from the separate complaints. In the fourth complaint, filed April 29, 2016, the Complainants challenged the NETOs' base ROE of 10.57 percent and the maximum ROE for transmission incentive ("incentive cap") of 11.74 percent, asserting that these ROEs were unjust and unreasonable.

In response to appeals of the FERC decision in the first complaint filed by the NETOs and the Complainants, the D.C. Circuit Court of Appeals (the "Court") issued a decision on April 14, 2017 vacating and remanding the FERC's decision. The Court found that the FERC failed to make an explicit finding that the prior 11.14 percent base ROE was unjust and unreasonable, as required under Section 206 of the Federal Power Act, before it could set a new base ROE. The Court also found that the FERC did not provide a rational connection between the record evidence and its decision to select the midpoint of the upper half of the zone of reasonableness for the new base ROE.

A summary of the four separate complaints and the base ROEs pertinent to those complaints are as follows:

Complaint	15-Month Time Period of Complaint (Beginning as of Complaint Filing Date)	Original Base ROE Authorized by FERC at Time of Complaint Filing Date (1)	Base ROE Subsequently Authorized by FERC for First Complaint Period and also Effective from October 16, 2014 through April 14, 2017 (1)	Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)		FERC ALJ Recommendation of Base ROE on Second and Third Complaints (Issued March 22, 2016)
First	10/1/2011 - 12/31/2012	11.14%	10.57%	$—	(2)	N/A
Second	12/27/2012 - 3/26/2014	11.14%	N/A	39.1	(3)	9.59%
Third	7/31/2014 - 10/30/2015	11.14%	10.57%	—		10.90%
Fourth	4/29/2016 - 7/28/2017	10.57%	10.57%	—		N/A

⁽¹⁾ The total ROE between October 1, 2011 and October 15, 2014 was within a range of 11.14 percent to 13.1 percent. In 2014, as a result of a FERC order, the incentive cap was set at 11.74 percent for the first complaint period and also effective from October 16, 2014 through April 14, 2017.

⁽²⁾ CL&P, NSTAR Electric, PSNH and WMECO have refunded all amounts associated with the first complaint period, totaling $38.9 million (pre-tax and excluding interest) at Eversource (including $22.4 million at CL&P, $8.4 million at NSTAR Electric, $2.8 million at PSNH, and $5.3 million at WMECO), reflecting both the base ROE and incentive cap prescribed by the FERC order.

⁽³⁾ The reserve represents the difference between the ROEs billed during the second complaint period and a 10.57 percent base ROE and 11.74 percent incentive cap. The reserve was $21.4 million for CL&P, $8.5 million for NSTAR Electric, $3.1 million for PSNH, and $6.1 million for WMECO as of March 31, 2017.

At this time, the Company cannot reasonably estimate a range of gain or loss for the complaint proceedings. The Court decision did not provide a reasonable basis for a change to the March 31, 2017 reserve balance of $39.1 million (pre-tax and excluding interest) for the second complaint period, and the Company has not changed its reserves or recognized ROEs for any of the complaint periods.

Management cannot at this time predict the ultimate effect of the Court decision on any of the complaint periods or the estimated impacts on the financial position, results of operations or cash flows of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

The average impact of a 10 basis point change to the base ROE for each of the 15-month complaint periods would affect Eversource's after-tax earnings by approximately $3 million.

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FERC Order No. 1000:  On August 15, 2014, the D.C. Circuit Court of Appeals upheld the FERC's authority to order major changes to transmission planning and cost allocation in FERC Order No. 1000 and Order No. 1000-A, including transmission planning for public policy needs, and the requirement that utilities remove from their transmission tariffs their rights of first refusal to build transmission, to allow for competition. ISO-NE and the NETOs, including CL&P, NSTAR Electric, PSNH and WMECO, made compliance filings to address this policy, which included exemption from competition for certain transmission solutions previously evaluated by ISO-NE, and the NETOs' rights to retain use and control of existing right of ways. This compliance was accepted by the FERC on December 14, 2015. At the same time, the NETOs filed an appeal to the D.C. Circuit Court of Appeals, challenging FERC's removal of the right of first refusal. State regulators also filed an appeal, challenging the FERC's determination that ISO-NE should select public policy transmission projects after a competitive process. On April 18, 2017, the D.C. Circuit Court of Appeals issued a decision rejecting both challenges.

NSTAR Electric and WMECO Merger FERC Filings: On January 13, 2017, Eversource made two filings with FERC related to the proposed merger of WMECO into NSTAR Electric with an anticipated effective date of January 1, 2018. One filing requests FERC approval of the merger, and the other filing requests FERC approval of NSTAR Electric's assumption of WMECO's short-term debt obligations. The FERC approved the merger on March 2, 2017 and will act on the assumption of debt filing later in 2017.

Regulatory Developments and Rate Matters

Electric and Natural Gas Base Distribution Rates:  

The Regulated companies’ distribution rates are set by their respective state regulatory commissions, and their tariffs include mechanisms for periodically adjusting their rates for the recovery of specific incurred costs.  Other than as described below, for the first quarter of 2017, changes made to the Regulated companies’ rates did not have a material impact on their earnings, financial position, or cash flows.  For further information, see “Financial Condition and Business Analysis – Regulatory Developments and Rate Matters” included in Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” of the Eversource 2016 Form 10-K.

Connecticut:

On April 20, 2017, PURA approved the joint request of CL&P, the Connecticut Office of Consumer Counsel and the Connecticut Attorney General to amend the deadline to establish new electric distribution rates in the 2012 Connecticut merger settlement agreement from "no later than December 1, 2017" to "no later than July 1, 2018".

Massachusetts:

Clean Energy RFP:On March 31, 2017, pursuant to comprehensive energy legislation, "An Act to Promote Energy Diversity," which became law in 2016, the Massachusetts EDCs, including NSTAR Electric and WMECO, and the DOER issued a joint RFP for 9.45 terawatt hours of clean energy per year, such as hydropower, land-based wind or solar. The RFP seeks proposals for long-term contracts of 15 to 20 years to provide the state's electric distribution companies with clean energy generation. The proposal submission due date is July 27, 2017. Contracts will be selected in January 2018, with an expectation to submit executed long-term contracts to the DPU for final approval in April 2018. Northern Pass will be bid into the RFP.

NSTAR Electric and WMECO Rate Case: On January 17, 2017, NSTAR Electric and WMECO jointly filed an application (the "Joint Applicants") with the DPU for approval of a combined $96 million increase in base distribution rates, effective January 1, 2018. As part of this filing, the Joint Applicants are presenting a grid-wise performance plan, including the implementation of a performance-based rate-making mechanism in conjunction with a grid modernization base commitment of $400 million in incremental capital investment over a period of five years, commencing January 1, 2018. In addition, the Joint Applicants are proposing to streamline and align rate classifications between NSTAR Electric and WMECO, and requesting a revenue decoupling rate mechanism for NSTAR Electric. WMECO has a revenue decoupling mechanism in place. The DPU will also be reviewing the proposed merger of NSTAR Electric and WMECO as part of the rate case. A final decision from the DPU is expected in late 2017, with new rates anticipated to be effective January 1, 2018.

New Hampshire:

Generation Divestiture:  On June 10, 2015, Eversource and PSNH entered into the 2015 Public Service Company of New Hampshire Restructuring and Rate Stabilization Agreement (the "Agreement") with the New Hampshire Office of Energy and Planning, certain members of the NHPUC staff, the Office of Consumer Advocate, two State Senators, and several other parties.  Under the terms of the Agreement, PSNH agreed to divest its generation assets, subject to NHPUC approval.  The Agreement provided for a resolution of issues pertaining to PSNH's generation assets in pending regulatory proceedings before the NHPUC.  The Agreement provided for the Clean Air Project prudence proceeding to be resolved and all remaining Clean Air Project costs to be included in rates effective January 1, 2016.  As part of the Agreement, PSNH agreed to forego recovery of $25 million of the equity return related to the Clean Air Project.  In addition, PSNH will not seek a general distribution rate increase effective before July 1, 2017 and will contribute $5 million to create a clean energy fund, which will not be recoverable from its customers.

On July 1, 2016, the NHPUC approved the Agreement in an order that, among other things, instructs PSNH to begin the process of divesting its generation assets.  The NHPUC selected an auction adviser to assist with the divestiture, and the final plan and auction process were approved by the NHPUC in November 2016.  An intervening appeal alleging that the auction process and schedule were unreasonable was rejected by the New Hampshire Supreme Court in February 2017. In late March 2017, the formal divestiture process began. We continue to believe the assets will be sold by the end of 2017.

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As of March 31, 2017, PSNH's energy service rate base subject to divestiture was approximately $620 million. This rate base will be reduced by the amount of the sales proceeds from the generation assets that are divested and sold. Upon completion of the divestiture process, full recovery of PSNH's generation assets is probable through a combination of cash flows during the remaining operating period, sales proceeds upon divestiture, and recovery of stranded costs via bonds that will be secured by a non-bypassable charge or through recoveries in future rates billed to PSNH's customers.

Critical Accounting Policies

The preparation of financial statements in conformity with GAAP requires management to make estimates, assumptions and, at times, difficult, subjective or complex judgments.  Changes in these estimates, assumptions and judgments, in and of themselves, could materially impact our financial position, results of operations or cash flows.  Our management communicates to and discusses with the Audit Committee of our Board of Trustees significant matters relating to critical accounting policies.  Our critical accounting policies that we believed were the most critical in nature were reported in the Eversource 2016 Form 10-K.  There have been no material changes with regard to these critical accounting policies.

Other Matters

Accounting Standards:  For information regarding new accounting standards, see Note 1B, "Summary of Significant Accounting Policies –Accounting Standards," to the financial statements.

Contractual Obligations and Commercial Commitments:  There have been no material contractual obligations identified and no material changes with regard to the contractual obligations and commercial commitments previously disclosed in the Eversource 2016 Form 10-K.

Web Site:  Additional financial information is available through our website at www.eversource.com.  We make available through our website a link to the SEC's EDGAR website (http://www.sec.gov/edgar/searchedgar/companysearch.html), at which site Eversource's, CL&P's, NSTAR Electric's, PSNH's and WMECO's combined Annual Reports on Form 10-K, combined Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and any amendments to those reports may be reviewed.  Information contained on the Company's website or that can be accessed through the website is not incorporated into and does not constitute a part of this combined Quarterly Report on Form 10-Q.

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RESULTS OF OPERATIONS – EVERSOURCE ENERGY AND SUBSIDIARIES

The following provides the amounts and variances in operating revenues and expense line items in the statements of income for Eversource for the three months ended March 31, 2017 and 2016 included in this combined Quarterly Report on Form 10-Q:  

	For the Three Months Ended March 31,
(Millions of Dollars)	2017		2016		Increase/ (Decrease)			Percent
Operating Revenues	$	2,105.1	$	2,055.6	$	49.5		2.4	%
Operating Expenses:
Purchased Power, Fuel and Transmission	753.6		754.9		(1.3		)	(0.2	)
Operations and Maintenance	330.3		320.1		10.2			3.2
Depreciation	186.8		174.0		12.8			7.4
Amortization of Regulatory Assets, Net	24.0		21.0		3.0			14.3
Energy Efficiency Programs	146.2		137.2		9.0			6.6
Taxes Other Than Income Taxes	155.2		159.9		(4.7		)	(2.9	)
Total Operating Expenses	1,596.1		1,567.1		29.0			1.9
Operating Income	509.0		488.5		20.5			4.2
Interest Expense	103.4		98.2		5.2			5.3
Other Income, Net	13.6		2.0		11.6			(a)
Income Before Income Tax Expense	419.2		392.3		26.9			6.9
Income Tax Expense	157.8		146.2		11.6			7.9
Net Income	261.4		246.1		15.3			6.2
Net Income Attributable to Noncontrolling Interests	1.9		1.9		—			—
Net Income Attributable to Common Shareholders	$	259.5	$	244.2	$	15.3		6.3	%

(a) Percent greater than 100 not shown as it is not meaningful.

Operating Revenues

A summary of our Operating Revenues by segment is as follows:

	For the Three Months Ended March 31,
(Millions of Dollars)	2017			2016			Increase/ (Decrease)			Percent
Electric Distribution	$	1,401.1		$	1,436.1		$	(35.0	)	(2.4	)%
Natural Gas Distribution	403.6			342.6			61.0			17.8
Electric Transmission	316.9			283.3			33.6			11.9
Other and Eliminations	(16.5		)	(6.4		)	(10.1		)	(a)
Total Operating Revenues	$	2,105.1		$	2,055.6		$	49.5		2.4	%

(a) Percent greater than 100 not shown as it is not meaningful.  

A summary of our retail electric GWh sales volumes and our firm natural gas sales volumes in Mcf were as follows:

	For the Three Months Ended March 31,
	2017	2016	Increase/ (Decrease)		Percent
Electric
Traditional	6,971	6,994	(23	)	(0.3	)%
Decoupled	6,201	6,225	(24	)	(0.4	)
Total Electric	13,172	13,219	(47	)	(0.4	)
Firm Natural Gas
Traditional	18,905	17,985	920		5.1
Decoupled and Special Contracts	22,241	21,363	878		4.1
Total Firm Natural Gas	41,146	39,348	1,798		4.6	%

Operating Revenues, which primarily consist of base electric and natural gas distribution revenues and tracked revenues further described below, increased by $49.5 million for the three months ended March 31, 2017, as compared to the same period in 2016.  

Base electric and natural gas distribution revenues:  Base electric distribution segment revenues, excluding LBR, increased $3.2 million for the three months ended March 31, 2017, as compared to the same period in 2016. Operating Revenues increased $4.3 million for the three months ended March 31, 2017, as compared to the same period in 2016, as a result of higher LBR recognition. 

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Base natural gas distribution revenues increased $3.4 million for the three months ended March 31, 2017, as compared to the same period in 2016, driven by higher firm natural gas sales volumes due to colder weather in Connecticut in the first quarter of 2017, as compared to the first quarter of 2016, as well as growth in new customer base.

Fluctuations in CL&P's, WMECO's and NSTAR Gas' sales volumes do not impact the level of base distribution revenue realized or earnings due to their respective regulatory commission approved revenue decoupling mechanisms.  The revenue decoupling mechanisms permit recovery of a base amount of distribution revenues and break the relationship between sales volumes and revenues recognized.  Revenue decoupling mechanisms result in the recovery of our approved base distribution revenue requirements.  

Tracked distribution revenues: Tracked revenues consist of certain costs that are recovered from customers in rates through regulatory commission-approved cost tracking mechanisms and therefore, have no impact on earnings.  Costs recovered through cost tracking mechanisms include energy supply procurement costs and other energy-related costs for our electric and natural gas customers, retail transmission charges, energy efficiency program costs, and restructuring and stranded cost recovery revenues.  In addition, tracked revenues include certain incentives earned and carrying charges. Tracked natural gas distribution segment revenues increased as a result of an increase in natural gas supply costs ($46.3 million) and an increase in energy efficiency program revenues ($10.1 million). Tracked electric distribution revenues decreased as a result of a decrease in electric energy supply costs ($53.6 million), driven by decreased average retail rates, partially offset by an increase in federally-mandated congestion charges ($12.6 million).

Electric transmission revenues:  The electric transmission segment revenues increased by $33.6 million due primarily to the recovery of higher revenue requirements associated with ongoing investments in our transmission infrastructure.

Purchased Power, Fuel and Transmission expense includes costs associated with purchasing electricity and natural gas on behalf of our customers.  These energy supply costs are recovered from customers in rates through cost tracking mechanisms, which have no impact on earnings (tracked costs).  Purchased Power, Fuel and Transmission expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the following:

(Millions of Dollars)	Increase/(Decrease)
Electric Distribution	$	(62.1	)
Natural Gas Distribution	41.1
Transmission	19.7
Total Purchased Power, Fuel and Transmission	$	(1.3	)

The decrease in purchased power expense at the electric distribution business was driven by lower prices associated with the procurement of energy supply and lower sales volumes for the three months ended March 31, 2017, as compared to the same period in 2016.  The increase in purchased power expense at the natural gas distribution business was due to higher sales volumes.  The increase in transmission costs was primarily the result of an increase in costs billed by ISO-NE that support regional grid investment.

Operations and Maintenance expense includes tracked costs and costs that are part of base electric and natural gas distribution rates with changes impacting earnings (non-tracked costs).  Operations and Maintenance expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the following:

(Millions of Dollars)	Increase/(Decrease)
Base Electric Distribution:
Storm restoration costs	$	8.0
Shared corporate costs (including computer software depreciation at Eversource Service)	5.5
System resiliency project costs at CL&P	2.2
Employee-related expenses, including labor and benefits	(8.8		)
Bad debt expense	(3.2		)
Other operations and maintenance	0.6
Total Base Electric Distribution	4.3
Total Base Natural Gas Distribution:
Shared corporate costs (including computer software depreciation at Eversource Service)	1.3
Other operations and maintenance	2.2
Total Base Natural Gas Distribution	3.5
Total Tracked costs (Electric Distribution, Electric Transmission and Natural Gas Distribution)	9.4
Other and eliminations:
Eversource Parent and Other Companies	(2.0		)
Eliminations	(5.0		)
Total Operations and Maintenance	$	10.2

Depreciation expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher utility plant in service balances.

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Amortization of Regulatory Assets, Net expense includes the deferral of energy supply and energy-related costs included in certain regulatory-approved tracking mechanisms, and the amortization of certain costs.  The deferral adjusts expense to match the corresponding revenues. Amortization of Regulatory Assets, Net, increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the deferral of energy supply and energy-related costs which can fluctuate from period to period based on the timing of costs incurred and the related rate changes to recover these costs.  Energy supply and energy-related costs at CL&P, NSTAR Electric, PSNH and WMECO, which are the primary drivers in amortization, are recovered from customers in rates and have no impact on earnings.  

Energy Efficiency Programs expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the deferral adjustment for the natural gas businesses, which reflects the actual costs of energy efficiency programs compared to the estimated amounts billed to customers, and the timing of the recovery of energy efficiency costs incurred in accordance with the program guidelines established by the regulatory commissions.  The deferrals adjust expense to match the energy efficiency programs revenue.  The costs for various state energy policy initiatives and expanded energy efficiency programs are recovered from customers in rates and have no impact on earnings.

Taxes Other Than Income Taxes expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, due to lower employment-related taxes and a decrease in property tax rates at NSTAR Electric, partially offset by an increase in property taxes at CL&P due to higher utility plant balances.

Interest Expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher interest on long-term debt ($4.9 million) as a result of new debt issuances.

Other Income, Net increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to an increase in earnings related to equity method investments ($4.7 million), higher AFUDC related to equity funds ($2.5 million) and an increase in net gains related to the deferred compensation plans ($2.1 million).

Income Tax Expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher pre-tax earnings ($9.4 million) and items that impact our tax rate as a result of regulatory treatment (flow-through items) and permanent differences ($2.2 million).

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RESULTS OF OPERATIONS – THE CONNECTICUT LIGHT AND POWER COMPANY

The following  provides the amounts and variances in operating revenues and expense line items in the statements of income for CL&P for the three months ended March 31, 2017 and 2016 included in this combined Quarterly Report on Form 10-Q:  

	For the Three Months Ended March 31,
(Millions of Dollars)	2017		2016		Increase/ (Decrease)			Percent
Operating Revenues	$	732.3	$	735.3	$	(3.0	)	(0.4	)%
Operating Expenses:
Purchased Power and Transmission	244.9		272.6		(27.7		)	(10.2	)
Operations and Maintenance	128.2		110.8		17.4			15.7
Depreciation	59.8		57.0		2.8			4.9
Amortization of Regulatory Assets, Net	12.8		9.9		2.9			29.3
Energy Efficiency Programs	36.6		38.1		(1.5		)	(3.9	)
Taxes Other Than Income Taxes	74.0		75.4		(1.4		)	(1.9	)
Total Operating Expenses	556.3		563.8		(7.5		)	(1.3	)
Operating Income	176.0		171.5		4.5			2.6
Interest Expense	35.0		36.5		(1.5		)	(4.1	)
Other Income, Net	2.8		0.9		1.9			(a)
Income Before Income Tax Expense	143.8		135.9		7.9			5.8
Income Tax Expense	53.6		48.9		4.7			9.6
Net Income	$	90.2	$	87.0	$	3.2		3.7	%

(a) Percent greater than 100 not shown as it is not meaningful.

Operating Revenues

CL&P's retail sales volumes were as follows:

	For the Three Months Ended March 31,
	2017	2016	Decrease		Percent
Retail Sales Volumes in GWh	5,330	5,350	(20	)	(0.4	)%

CL&P's Operating Revenues, which consist of base distribution revenues and tracked revenues further described below, decreased by $3.0 million for the three months ended March 31, 2017, as compared to the same period in 2016.

Fluctuations in CL&P's sales volumes do not impact the level of base distribution revenue realized or earnings due to the PURA-approved revenue decoupling mechanism.  CL&P's revenue decoupling mechanism permits recovery of a base amount of distribution revenues ($1.059 billion annually) and breaks the relationship between sales volumes and revenues recognized.  The revenue decoupling mechanism results in the recovery of approved base distribution revenue requirements.  

Fluctuations in the overall level of operating revenues are primarily related to tracked revenues.  Tracked revenues consist of certain costs that are recovered from customers in rates through PURA-approved cost tracking mechanisms and therefore, have no impact on earnings.  Costs recovered through cost tracking mechanisms include energy supply procurement and other energy-related costs, retail transmission charges, energy efficiency program costs and restructuring and stranded cost recovery revenues.  In addition, tracked revenues include certain incentives earned and carrying charges. Tracked distribution revenues decreased primarily as a result of a decrease in energy supply costs ($30.0 million) driven by decreased average retail rates. In addition, there was a $4.0 million decrease in stranded cost recovery revenue. Partially offsetting these decreases was an increase in federally-mandated congestion charges ($12.6 million).

Transmission revenues increased by $18.9 million due primarily to higher revenue requirements associated with ongoing investments in our transmission infrastructure.

Purchased Power and Transmission expense includes costs associated with purchasing electricity on behalf of CL&P's customers.  These energy supply costs are recovered from customers in PURA-approved cost tracking mechanisms, which have no impact on earnings (tracked costs). Purchased Power and Transmission expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the following:

(Millions of Dollars)	Increase/(Decrease)
Purchased Power Costs	$	(38.3	)
Transmission Costs	10.6
Total Purchased Power and Transmission	$	(27.7	)

45

Included in purchased power costs are the costs associated with CL&P's GSC and deferred energy supply costs.  The GSC recovers energy-related costs incurred as a result of providing electric generation service supply to all customers who have not migrated to third party suppliers.  The decrease in purchased power costs for the three months ended March 31, 2017, compared to the same period in 2016, was due primarily to a decrease in the price of standard offer supply. The increase in transmission costs was primarily the result of an increase in costs billed by ISO-NE that support regional grid investment. 

Operations and Maintenance expense includes tracked costs and costs that are part of base distribution rates with changes impacting earnings (non-tracked costs).  Operations and Maintenance expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, driven by a $9.0 million increase in non-tracked costs, which was primarily attributable to higher storm restoration costs, higher system resiliency project costs, and higher shared corporate costs, partially offset by lower employee-related expenses. In addition, there was an $8.4 million increase in tracked costs, which was primarily attributable to higher transmission expenses.

Income Tax Expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher pre-tax earnings ($2.7 million), higher state taxes ($1.1 million), and items that impact our tax rate as a result of regulatory treatment (flow-through items) and permanent differences ($0.9 million).

EARNINGS SUMMARY

CL&P's earnings increased $3.2 million for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to an increase in transmission earnings driven by a higher transmission rate base and higher distribution revenues due in part to a higher rate base for the system resiliency program.  These favorable earnings impacts were partially offset by higher operations and maintenance expense and a higher effective tax rate.

LIQUIDITY

Cash totaled $15.3 million as of March 31, 2017, compared with $6.6 million as of December 31, 2016.

CL&P had cash flows provided by operating activities of $171.6 million for the three months ended March 31, 2017, as compared to $221.2 million in the same period of 2016.  The decrease in operating cash flows was due primarily to $117.0 million in lower income tax refunds received in 2017, as compared to 2016. Partially offsetting this decrease was the favorable impact of the timing of regulatory recoveries, primarily related to purchased power costs, and the favorable impacts related to the timing of collections and payments of working capital items.

In March 2017, CL&P issued $300 million of 3.20 percent 2017 Series A First and Refunding Mortgage Bonds due to mature in 2027. The proceeds, net of issuance costs, were used to repay short-term borrowings. Also in March 2017, CL&P repaid at maturity the $150 million of 5.375 percent 2007 Series A First and Refunding Mortgage Bonds, using short-term borrowings.

Eversource parent has a $1.45 billion commercial paper program allowing Eversource parent to issue commercial paper as a form of short-term debt, with intercompany loans to certain subsidiaries, including CL&P.  The weighted-average interest rate on the commercial paper borrowings as of March 31, 2017 and December 31, 2016 was 1.12 percent and 0.88 percent, respectively.  As of March 31, 2017 and December 31, 2016, there were intercompany loans from Eversource parent to CL&P of $3.4 million and $80.1 million, respectively.

Eversource parent, and certain of its subsidiaries, including CL&P, are parties to a five-year $1.45 billion revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

Investments in Property, Plant and Equipment on the statements of cash flows do not include amounts incurred on capital projects but not yet paid, cost of removal, AFUDC related to equity funds, and the capitalized portions of pension expense.  CL&P's investments in property, plant and equipment totaled $181.6 million for the three months ended March 31, 2017.

46

RESULTS OF OPERATIONS – NSTAR ELECTRIC COMPANY AND SUBSIDIARY

The following provides the amounts and variances in operating revenues and expense line items in the statements of income for NSTAR Electric for the three months ended March 31, 2017 and 2016 included in this combined Quarterly Report on Form 10-Q:  

	For the Three Months Ended March 31,
(Millions of Dollars)	2017		2016			Increase/ (Decrease)			Percent
Operating Revenues	$	603.8	$	614.2		$	(10.4	)	(1.7	)%
Operating Expenses:
Purchased Power and Transmission	233.1		254.3			(21.2		)	(8.3	)
Operations and Maintenance	88.4		94.7			(6.3		)	(6.7	)
Depreciation	55.2		51.9			3.3			6.4
Amortization of Regulatory Assets, Net	5.0		4.7			0.3			6.4
Energy Efficiency Programs	67.3		66.2			1.1			1.7
Taxes Other Than Income Taxes	27.4		32.6			(5.2		)	(16.0	)
Total Operating Expenses	476.4		504.4			(28.0		)	(5.6	)
Operating Income	127.4		109.8			17.6			16.0
Interest Expense	22.0		20.9			1.1			5.3
Other Income/(Loss), Net	3.3		(0.3		)	3.6			(a)
Income Before Income Tax Expense	108.7		88.6			20.1			22.7
Income Tax Expense	42.5		34.1			8.4			24.6
Net Income	$	66.2	$	54.5		$	11.7		21.5	%

(a) Percent greater than 100 not shown as it is not meaningful.

Operating Revenues

NSTAR Electric's retail sales volumes were as follows:

	For the Three Months Ended March 31,
	2017	2016	Decrease		Percent
Retail Sales Volumes in GWh	4,979	5,018	(39	)	(0.8	)%

NSTAR Electric's Operating Revenues, which consist of base distribution revenues and tracked revenues further described below, decreased by $10.4 million for the three months ended March 31, 2017, as compared to the same period in 2016.  

Base distribution revenues:  Base distribution revenues, excluding LBR, remained relatively unchanged for the three months ended March 31, 2017, as compared to the same period in 2016. Operating Revenues increased $4.3 million for the three months ended March 31, 2017, as compared to the same period in 2016, as a result of higher LBR recognition. 

Tracked revenues:  Tracked revenues consist of certain costs that are recovered from customers in rates through DPU-approved cost tracking mechanisms and therefore, have no impact on earnings.  Costs recovered through cost tracking mechanisms include energy supply costs, retail transmission charges, energy efficiency program costs, net metering for distributed generation and transition cost recovery revenues.  In addition, tracked revenues include certain incentives earned and carrying charges. Tracked distribution revenues decreased primarily as a result of a decrease in energy supply costs ($22.4 million) driven by decreased average retail rates and lower sales volumes, and a decrease in retail transmission charges ($7.3 million).  Partially offsetting these decreases were an increase in net metering revenues ($7.3 million), an increase in revenues related to renewable energy requirements ($7.3 million), and an increase in energy efficiency program revenues ($4.0 million).

Transmission revenues increased by $3.6 million due primarily to the recovery of higher revenue requirements associated with ongoing investments in our transmission infrastructure.

Purchased Power and Transmission expense includes costs associated with purchasing electricity on behalf of NSTAR Electric's customers. These energy supply costs are recovered from customers in DPU-approved cost tracking mechanisms, which have no impact on earnings (tracked costs).  Purchased Power and Transmission expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the following:  

(Millions of Dollars)	Decrease
Purchased Power Costs	$	(17.5	)
Transmission Costs	(3.7		)
Total Purchased Power and Transmission	$	(21.2	)

47

Included in purchased power costs are the costs associated with NSTAR Electric's basic service charge and deferred energy supply costs.  The basic service charge recovers energy-related costs incurred as a result of providing electric generation service supply to all customers who have not migrated to third party suppliers.  The decrease in purchased power costs was due primarily to lower prices associated with the procurement of energy supply and lower sales volumes.  The decrease in transmission costs was primarily the result of a decrease in the retail transmission cost deferral, which reflects the actual costs of transmission service compared to estimated amounts billed to customers.

Operations and Maintenance expense includes tracked costs and costs that are part of base distribution rates with changes impacting earnings (non-tracked costs).  Operations and Maintenance expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, driven by a $6.6 million decrease in non-tracked costs, which was primarily attributable to lower employee-related expenses and lower bad debt expense, partially offset by higher shared corporate costs. Tracked costs increased $0.3 million.

Depreciation expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher utility plant in service balances.  

Taxes Other Than Income Taxes expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to a decrease in property tax rates and lower employment-related taxes.

Other Income/(Loss), Net increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher AFUDC on equity funds ($1.2 million), an increase related to officer insurance policies ($1.2 million) and an increase in gains related to deferred compensation plans ($1.1 million).

Income Tax Expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher pre-tax earnings ($7.0 million), higher state taxes ($0.8 million), and items that impact our tax rate as a result of regulatory treatment (flow-through items) and permanent differences ($0.6 million).

EARNINGS SUMMARY

NSTAR Electric's earnings increased $11.7 million for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to lower operations and maintenance expense, higher distribution revenues as a result of higher lost base revenues, higher earnings from net metering and higher energy efficiency incentives, lower property and other tax expense, and an increase in transmission earnings driven by a higher transmission rate base. These favorable earnings impacts were partially offset by higher depreciation expense and higher interest expense.

LIQUIDITY

NSTAR Electric had cash flows provided by operating activities of $133.7 million for the three months ended March 31, 2017, as compared to $96.3 million in the same period of 2016.  The increase in operating cash flows was due primarily to a favorable impact related to an increase in regulatory recoveries due to collections from customers in excess of purchased power costs and changes in the timing of working capital items. Partially offsetting these favorable impacts was $4.9 million in lower income tax refunds received in 2017, as compared to 2016.

NSTAR Electric has a $450 million commercial paper program allowing NSTAR Electric to issue commercial paper as a form of short-term debt. As of March 31, 2017 and December 31, 2016, NSTAR Electric had $174.5 million and $126.5 million, respectively, in short-term borrowings outstanding under its commercial paper program, leaving $275.5 million and $323.5 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively.  The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 0.86 percent and 0.71 percent, respectively.  NSTAR Electric is a party to a five-year $450 million revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop NSTAR Electric's $450 million commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

48

RESULTS OF OPERATIONS – PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE AND SUBSIDIARY

The following provides the amounts and variances in operating revenues and expense line items in the statements of income for PSNH for the three months ended March 31, 2017 and 2016 included in this combined Quarterly Report on Form 10-Q:  

	For the Three Months Ended March 31,
(Millions of Dollars)	2017		2016		Increase/ (Decrease)			Percent
Operating Revenues	$	253.2	$	242.3	$	10.9		4.5	%
Operating Expenses:
Purchased Power, Fuel and Transmission	61.8		50.2		11.6			23.1
Operations and Maintenance	62.4		59.2		3.2			5.4
Depreciation	30.7		28.3		2.4			8.5
Amortization of Regulatory Assets, Net	5.4		8.5		(3.1		)	(36.5	)
Energy Efficiency Programs	3.7		3.6		0.1			2.8
Taxes Other Than Income Taxes	20.9		21.8		(0.9		)	(4.1	)
Total Operating Expenses	184.9		171.6		13.3			7.8
Operating Income	68.3		70.7		(2.4		)	(3.4	)
Interest Expense	12.8		12.5		0.3			2.4
Other Income, Net	1.1		0.2		0.9			(a)
Income Before Income Tax Expense	56.6		58.4		(1.8		)	(3.1	)
Income Tax Expense	22.3		22.3		—			—
Net Income	$	34.3	$	36.1	$	(1.8	)	(5.0	)%

(a) Percent greater than 100 not shown as it is not meaningful.

Operating Revenues

PSNH's retail sales volumes were as follows:

	For the Three Months Ended March 31,
	2017	2016	Increase	Percent
Retail Sales Volumes in GWh	1,992	1,976	16	0.8	%

PSNH's Operating Revenues, which consist of base distribution revenues and tracked revenues further described below, increased by $10.9 million for the three months ended March 31, 2017, as compared to the same period in 2016.

Base distribution revenues:  Base distribution revenues increased $2.9 million due primarily to a $1.0 million increase as a result of a distribution rate increase effective July 1, 2016.

Tracked revenues: Tracked revenues consist of certain costs that are recovered from customers in rates through NHPUC-approved cost tracking mechanisms and therefore, have no impact on earnings.  Costs recovered through cost tracking mechanisms include energy supply costs and costs associated with the generation of electricity for customers, retail transmission charges, energy efficiency program costs and stranded cost recovery revenues.  In addition, tracked revenues include certain incentives earned and carrying charges. Tracked distribution revenues increased primarily as a result of an increase in retail transmission charges ($5.8 million) and an increase in both energy supply costs and wholesale generation revenues (totaling $3.7 million) for the three months ended March 31, 2017, as compared to the same period of 2016. The increase in energy supply costs was driven by increased average retail rates. Partially offsetting these increases was a decrease in revenues related to the timing of the sale of RECs ($7.7 million).

Transmission revenues increased by $6.2 million due primarily to higher revenue requirements associated with ongoing investments in our transmission infrastructure.

Purchased Power, Fuel and Transmission expense includes costs associated with PSNH's generation of electricity, as well as purchasing electricity on behalf of its customers.  These generation and energy supply costs are recovered from customers in NHPUC-approved cost tracking mechanisms, which have no impact on earnings (tracked costs).  Purchased Power, Fuel and Transmission expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the following:

(Millions of Dollars)	Increase
Purchased Power and Generation Fuel Costs	$	2.0
Transmission Costs	9.6
Total Purchased Power, Fuel and Transmission	$	11.6

49

In order to meet the demand of customers who have not migrated to third party suppliers, PSNH procures power through power supply contracts and spot purchases in the competitive New England wholesale power market and/or produces power through its own generation.  The increase in purchased power and generation fuel costs was due primarily to Regional Greenhouse Gas Initiative related expenses. The increase in transmission costs was primarily the result of an increase in the retail transmission cost deferral, which reflects the actual costs of transmission service compared to estimated amounts billed to customers.

Operations and Maintenance expense includes tracked costs and costs that are part of base distribution rates with changes impacting earnings (non-tracked costs).  Operations and Maintenance expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, driven by a $3.4 million increase in tracked costs, which was primarily attributable to higher transmission expenses, partially offset by a $0.2 million decrease in non-tracked costs.

Depreciation expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to higher utility plant in service balances.  

Amortization of Regulatory Assets, Net expense includes the deferral to expense of energy supply costs and the amortization of certain costs, which are recovered from customers in rates and have no impact on earnings.  The decrease for the three months ended March 31, 2017, as compared to the same period in 2016, was due primarily to the deferral adjustment of the stranded cost recovery charge.  The deferral adjusts expense to match the corresponding revenues.  

EARNINGS SUMMARY

PSNH's earnings decreased $1.8 million for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to lower generation earnings and higher depreciation expense, partially offset by higher distribution revenues due primarily to a distribution rate increase effective July 1, 2016 and an increase in transmission earnings driven by a higher transmission rate base.

LIQUIDITY

PSNH had cash flows provided by operating activities of $113.2 million for the three months ended March 31, 2017, as compared to $156.3 million in the same period of 2016.  The decrease in operating cash flows was due primarily to income tax payments of $9.0 million made in 2017, compared to income tax refunds of $53.9 million received in the same period in 2016. In addition, there was a $10.3 million decrease related to the use of fuel inventories. Partially offsetting these decreases were $9.7 million lower Pension Plan contributions made in 2017, as compared to 2016 and the favorable impacts related to the timing of collections of accounts receivable and regulatory recoveries.

50

RESULTS OF OPERATIONS – WESTERN MASSACHUSETTS ELECTRIC COMPANY

The following provides the amounts and variances in operating revenues and expense line items in the statements of income for WMECO for the three months ended March 31, 2017 and 2016 included in this combined Quarterly Report on Form 10-Q:  

	For the Three Months Ended March 31,
(Millions of Dollars)	2017			2016			Increase/ (Decrease)			Percent
Operating Revenues	$	130.1		$	128.1		$	2.0		1.6	%
Operating Expenses:
Purchased Power and Transmission	40.9			39.5			1.4			3.5
Operations and Maintenance	22.5			21.8			0.7			3.2
Depreciation	12.0			11.4			0.6			5.3
Amortization of Regulatory (Liabilities)/Assets, Net	(0.5		)	1.2			(1.7		)	(a)
Energy Efficiency Programs	10.7			10.9			(0.2		)	(1.8	)
Taxes Other Than Income Taxes	10.3			10.2			0.1			1.0
Total Operating Expenses	95.9			95.0			0.9			0.9
Operating Income	34.2			33.1			1.1			3.3
Interest Expense	6.2			6.0			0.2			3.3
Other Income/(Loss), Net	—			(0.2		)	0.2			(100.0	)
Income Before Income Tax Expense	28.0			26.9			1.1			4.1
Income Tax Expense	10.8			10.1			0.7			6.9
Net Income	$	17.2		$	16.8		$	0.4		2.4	%

(a) Percent greater than 100 not shown as it is not meaningful.

Operating Revenues

WMECO's retail sales volumes were as follows:

	For the Three Months Ended March 31,
	2017	2016	Decrease		Percent
Retail Sales Volumes in GWh	870	876	(6	)	(0.6	)%

WMECO's Operating Revenues, which consist of base distribution revenues and tracked revenues further described below, increased by $2.0 million for the three months ended March 31, 2017, as compared to the same period in 2016.

Fluctuations in WMECO's sales volumes do not impact the level of base distribution revenue realized or earnings due to the DPU-approved revenue decoupling mechanism.  WMECO's revenue decoupling mechanism permits recovery of a base amount of distribution revenues ($132.4 million annually) and breaks the relationship between sales volumes and revenues recognized.  The revenue decoupling mechanism results in the recovery of approved base distribution revenue requirements.  

Fluctuations in the overall level of operating revenues are primarily related to tracked revenues.  Tracked revenues consist of certain costs that are recovered from customers in rates through DPU-approved cost tracking mechanisms and therefore, have no impact on earnings.  Costs recovered through cost tracking mechanisms include energy supply costs, retail transmission charges, energy efficiency program costs, low income assistance programs, and restructuring and stranded cost recovery revenues.  In addition, tracked revenues include certain incentives earned and carrying charges. Tracked revenues decreased due primarily to a decrease in energy supply costs ($4.9 million) driven by decreased average retail rates and lower sales volumes, partially offset by an increase in retail transmission charges ($2.2 million).

Transmission revenues increased by $4.9 million due primarily to higher revenue requirements associated with ongoing investments in our transmission infrastructure.

Purchased Power and Transmission expense includes costs associated with the purchasing of energy supply on behalf of WMECO's customers. These energy supply costs are recovered from customers in DPU-approved cost tracking mechanisms, which have no impact on earnings (tracked costs).  Purchased Power and Transmission expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to the following:

(Millions of Dollars)	Increase/(Decrease)
Purchased Power Costs	$	(1.9	)
Transmission Costs	3.3
Total Purchased Power and Transmission	$	1.4

51

Included in purchased power costs are the costs associated with WMECO's basic service charge and deferred energy supply costs.  The basic service charge recovers energy-related costs incurred as a result of providing electric generation service supply to all customers who have not migrated to third party suppliers.  The decrease in purchased power costs was due primarily to lower prices associated with the procurement of energy supply. The increase in transmission costs was primarily the result of an increase in the retail transmission cost deferral, which reflects the actual costs of transmission service compared to estimated amounts billed to customers.

Operations and Maintenance expense includes tracked costs and costs that are part of base distribution rates with changes impacting earnings (non-tracked costs).  Operations and Maintenance expense increased for the three months ended March 31, 2017, as compared to the same period in 2016, driven by a $2.1 million increase in non-tracked costs, which was primarily attributable to higher storm restoration costs, higher shared corporate costs, and higher bad expense. Tracked costs decreased $1.4 million, which was primarily attributable to the deferral adjustment for RECs generated and sold by the WMECO solar program, partially offset by higher transmission expenses.

Amortization of Regulatory (Liabilities)/Assets, Net expense decreased for the three months ended March 31, 2017, as compared to the same period in 2016, due to the timing of refunds or recovery of tracked costs to/from customers in rates.  These costs have no impact on earnings.

EARNINGS SUMMARY

WMECO's earnings increased $0.4 million for the three months ended March 31, 2017, as compared to the same period in 2016, due primarily to an increase in transmission earnings driven by a higher transmission rate base, partially offset by higher operations and maintenance expense.

LIQUIDITY

WMECO had cash flows provided by operating activities of $22.6 million for the three months ended March 31, 2017, as compared to $50.7 million in the same period of 2016.  The decrease in operating cash flows was due primarily to a decrease of $22.4 million in income tax refunds in 2017, as compared to 2016 and the timing of collections of accounts receivable.

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ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market Risk Information

Commodity Price Risk Management:  Our Regulated companies enter into energy contracts to serve our customers and the economic impacts of those contracts are passed on to our customers.  Accordingly, the Regulated companies have no exposure to loss of future earnings or fair values due to these market risk-sensitive instruments.  Eversource's Energy Supply Risk Committee, comprised of senior officers, reviews and approves all large scale energy related transactions entered into by its Regulated companies.

Other Risk Management Activities

Interest Rate Risk Management:  We manage our interest rate risk exposure in accordance with our written policies and procedures by maintaining a mix of fixed and variable rate long-term debt.  

Credit Risk Management:  Credit risk relates to the risk of loss that we would incur as a result of non-performance by counterparties pursuant to the terms of our contractual obligations.  We serve a wide variety of customers and transact with suppliers that include IPPs, industrial companies, natural gas and electric utilities, oil and gas producers, financial institutions, and other energy marketers.  Margin accounts exist within this diverse group, and we realize interest receipts and payments related to balances outstanding in these margin accounts.  This wide customer and supplier mix generates a need for a variety of contractual structures, products and terms that, in turn, require us to manage the portfolio of market risk inherent in those transactions in a manner consistent with the parameters established by our risk management process.

Our Regulated companies are subject to credit risk from certain long-term or high-volume supply contracts with energy marketing companies.  Our Regulated companies manage the credit risk with these counterparties in accordance with established credit risk practices and monitor contracting risks, including credit risk.  As of March 31, 2017, our Regulated companies did not hold collateral (letters of credit) from counterparties related to our standard service contracts.  As of March 31, 2017, Eversource had $24.3 million of cash posted with ISO-NE related to energy transactions.

We have provided additional disclosures regarding interest rate risk management and credit risk management in Part II, Item 7A, "Quantitative and Qualitative Disclosures about Market Risk," in Eversource's 2016 Form 10-K, which is incorporated herein by reference. There have been no additional risks identified and no material changes with regard to the items previously disclosed in the Eversource 2016 Form 10-K.

ITEM 4. CONTROLS AND PROCEDURES

Management, on behalf of Eversource, CL&P, NSTAR Electric, PSNH and WMECO, evaluated the design and operation of the disclosure controls and procedures as of March 31, 2017 to determine whether they are effective in ensuring that the disclosure of required information is made timely and in accordance with the Securities Exchange Act of 1934 and the rules and regulations of the SEC.  This evaluation was made under management's supervision and with management's participation, including the principal executive officer and principal financial officer as of the end of the period covered by this Quarterly Report on Form 10-Q.  There are inherent limitations of disclosure controls and procedures, including the possibility of human error and the circumventing or overriding of the controls and procedures.  Accordingly, even effective disclosure controls and procedures can only provide reasonable assurance of achieving their control objectives.  The principal executive officer and principal financial officer have concluded, based on their review, that the disclosure controls and procedures of Eversource, CL&P, NSTAR Electric, PSNH and WMECO are effective to ensure that information required to be disclosed by us in reports filed under the Securities Exchange Act of 1934 (i) is recorded, processed, summarized, and reported within the time periods specified in SEC rules and regulations and (ii) is accumulated and communicated to management, including the principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosures.

There have been no changes in internal controls over financial reporting for Eversource, CL&P, NSTAR Electric, PSNH and WMECO during the quarter ended March 31, 2017 that have materially affected, or are reasonably likely to materially affect, internal controls over financial reporting.

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PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

We are parties to various legal proceedings.  We have disclosed these legal proceedings in Part I, Item 3, "Legal Proceedings," and elsewhere in our 2016 Form 10-K.  These disclosures are incorporated herein by reference.  There have been no additional material legal proceedings identified and no further material changes with regard to the legal proceedings previously disclosed in our 2016 Form 10-K.

ITEM 1A. RISK FACTORS

We are subject to a variety of significant risks in addition to the matters set forth under "Forward-Looking Statements," in Item 2, "Management's Discussion and Analysis of Financial Condition and Results of Operations," of this Quarterly Report on Form 10-Q.  We have identified a number of these risk factors in Part I, Item 1A, "Risk Factors," in our 2016 Form 10-K, which risk factors are incorporated herein by reference.  These risk factors should be considered carefully in evaluating our risk profile.  There have been no additional risk factors identified and no material changes with regard to the risk factors previously disclosed in our 2016 Form 10-K.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

The following table discloses purchases of our common shares made by us or on our behalf for the periods shown below.  The common shares purchased consist of open market purchases made by the Company or an independent agent.  These share transactions related to shares awarded under the Company's Incentive Plan and Dividend Reinvestment Plan and matching contributions under the Eversource 401k Plan.

Period	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans and Programs (at month end)
January 1 – January 31, 2017	6,374	$	54.71	—	—
February 1 – February 28, 2017	291,389	56.95		—	—
March 1  – March 31, 2017	109,367	59.24		—	—
Total	407,130	$	57.53	—	—

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ITEM 6. EXHIBITS

Each document described below is filed herewith, unless designated with an asterisk (*), which exhibits are incorporated by reference by the registrant under whose name the exhibit appears.

	Exhibit No.	Description
	Listing of Exhibits (Eversource)
	3.1	Declaration of Trust of Eversource Energy, as amended through May 3, 2017
*	4.1	Eighth Supplemental Indenture between Eversource Energy and The Bank of New York Trust Company N.A., as Trustee, dated as of March 10, 2017, relating to $300 million of Senior Notes, Series K, Due 2022 (incorporated by reference to Exhibit 4.1, Eversource Energy Current Report on Form 8-K filed March 16, 2017, File No. 001-05324)
	12	Ratio of Earnings to Fixed Charges
	31	Certification by the Chief Executive Officer of Eversource Energy pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	31.1	Certification by the Chief Financial Officer of Eversource Energy pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	32	Certification by the Chief Executive Officer and Chief Financial Officer of Eversource Energy pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
	Listing of Exhibits (CL&P)
*	4.1	Supplemental Indenture (2017 Series A Bonds) between CL&P and Deutsche Bank Trust Company Americas, as Trustee dated as of March 10, 2017 (incorporated by reference to Exhibit 4.1, CL&P Current Report on Form 8-K filed March 16, 2017, File No. 000-00404)
	12	Ratio of Earnings to Fixed Charges
	31	Certification by the Chairman of The Connecticut Light and Power Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	31.1	Certification by the Chief Financial Officer of The Connecticut Light and Power Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	32	Certification by the Chairman and the Chief Financial Officer of The Connecticut Light and Power Company pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
	Listing of Exhibits (NSTAR Electric Company)
	12	Ratio of Earnings to Fixed Charges
	31	Certification by the Chairman of NSTAR Electric Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	31.1	Certification by the Chief Financial Officer of NSTAR Electric Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	32	Certification by the Chairman and the Chief Financial Officer of NSTAR Electric Company pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
	Listing of Exhibits (PSNH)
	12	Ratio of Earnings to Fixed Charges
	31	Certification by the Chairman of Public Service Company of New Hampshire pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

55

31.1	Certification by the Chief Financial Officer of Public Service Company of New Hampshire pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32	Certification by the Chairman and the Chief Financial Officer of Public Service Company of New Hampshire pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
Listing of Exhibits (WMECO)
12	Ratio of Earnings to Fixed Charges
31	Certification by the Chairman of Western Massachusetts Electric Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.1	Certification by the Chief Financial Officer of Western Massachusetts Electric Company pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32	Certification by the Chairman and the Chief Financial Officer of Western Massachusetts Electric Company pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
Listing of Exhibits (Eversource, CL&P, NSTAR Electric, PSNH, WMECO)
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema
101.CAL	XBRL Taxonomy Extension Calculation
101.DEF	XBRL Taxonomy Extension Definition
101.LAB	XBRL Taxonomy Extension Labels
101.PRE	XBRL Taxonomy Extension Presentation

56

SIGNATURE

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	EVERSOURCE ENERGY
May 5, 2017	By:	/s/ Jay S. Buth
		Jay S. Buth
		Vice President, Controller and Chief Accounting Officer

SIGNATURE

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	THE CONNECTICUT LIGHT AND POWER COMPANY
May 5, 2017	By:	/s/ Jay S. Buth
		Jay S. Buth
		Vice President, Controller and Chief Accounting Officer

SIGNATURE

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	NSTAR ELECTRIC COMPANY
May 5, 2017	By:	/s/ Jay S. Buth
		Jay S. Buth
		Vice President, Controller and Chief Accounting Officer

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SIGNATURE

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	PUBLIC SERVICE COMPANY OF NEW HAMPSHIRE
May 5, 2017	By:	/s/ Jay S. Buth
		Jay S. Buth
		Vice President, Controller and Chief Accounting Officer

SIGNATURE

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	WESTERN MASSACHUSETTS ELECTRIC COMPANY
May 5, 2017	By:	/s/ Jay S. Buth
		Jay S. Buth
		Vice President, Controller and Chief Accounting Officer

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EX-3.1

Exhibit 3.1

DECLARATION OF TRUST

OF

EVERSOURCE ENERGY

Dated January 15, 1927

AS AMENDED

February 20, 1935

February 21, 1940

February 25, 1955

February 27, 1959

February 28, 1962

March 18, 1964

November 22, 1965

April 22, 1969

April 28, 1970

April 24, 1973

April 25, 1978

May 19, 1987

May 24, 1988

May 13, 2003

May 10, 2005

April 29, 2015

May 3, 2017

DECLARATION OF TRUST

OF

EVERSOURCE ENERGY

This DECLARATION OF TRUST is made at Boston in the County of Suffolk and Commonwealth of Massachusetts this fifteenth day of January, 1927, by GEORGE W. LAWRENCE of Greenfield, ALVAH CROCKER of Fitchburg, W. RODMAN PEABODY of Milton, ALFRED L. RIPLEY of Andover, CHARLES W. HAZELTON of Montague, ARTHUR W. WOOD of Arlington, CHARLES WALCOTT of Cambridge, MOSES WILLIAMS of Needham, CHARLES STETSON of Boston, J. PRESTON RICE of Newton, all in the Commonwealth of Massachusetts, SAMUEL FERGUSON of Hartford in the State of Connecticut and JONATHAN BULKLEY of New York in the State of New York, who are hereinafter called the Trustees, and said expression shall extend to and include the Trustees for the time being hereunder appointed as hereinafter provided, and the word “Trustee” as hereinafter used shall apply to any one of the said Trustees where the context so admits.  

WHEREAS, it is desired to create under and in accordance with the provisions of this instrument a voluntary association for the acquisition of property and the conduct of business as hereinafter set forth, consisting, first, of the Trustees, in whom shall be vested the legal title to all property at any time belonging to said association except as hereinafter provided and who shall manage, control and carry on the affairs of the association as hereinafter set forth, and second, of the persons (hereinafter called the Shareholders) who shall from time to time be the holders of certificates of beneficial interest, known as shares, to be issued as hereinafter provided, in whom shall be vested the entire beneficial interest in all property belonging to the association and all business conducted by it and all profits earned by it,

NOW, THEREFORE, this declaration of trust WITNESSETH that said George W. Lawrence, Alvah Crocker, W. Rodman Peabody, Alfred L. Ripley, Charles W. Hazelton, Arthur W. Wood, Charles Walcott, Moses Williams, Charles Stetson, J. Preston Rice, Samuel Ferguson and Jonathan Bulkley for themselves, their heirs, executors, administrators, successors and assigns, do hereby declare that they and their successors from time to time, as Trustees hereunder, will hold, manage and dispose of the aforesaid property, if and when acquired by them, and all such other property as may be hereafter transferred or conveyed to them as Trustees hereunder, or otherwise acquired and held on behalf of the association as hereinafter provided (all of said property at any time and from time to time so held being hereinafter collectively referred to as the “trust estate”), in trust to hold, manage and control said trust estate and receive the income thereof and to dispose of the same for the benefit of the Shareholders according to the number and kind of shares held by them respectively, and with and subject to the powers and provisions hereinafter contained concerning the same.  

BUSINESS NAME OF TRUSTEES

(1)  The Trustees in their collective capacity shall be designated “Eversource Energy” and in so far as may be practicable all the business of the association shall be done and all its affairs conducted in and under that name, to the end that legal title to the entire trust estate except as otherwise provided herein and in any event the absolute control thereof shall be at all times vested in the Trustees, and that all obligations incurred by or in behalf of the association shall be the obligations of the Trustees only and not of the Shareholders but enforceable against the Trustees as hereinafter provided, only as such trustees, and only to the extent of the trust estate in their hands and possession and never against them or any of them in their individual capacity or capacities.  

Shareholder

NUMBER, ELECTION, QUALIFICATION,

RESIGNATION AND COShareholderMPENSATION OF TRUSTEES

(2)  The number of the Trustees hereunder for each ensuing year shall be such as may be fixed at each annual meeting of the Shareholders by a vote of at least a majority of the number of shares then outstanding hereunder of such class or classes as then have general voting powers, except that if at any annual meeting no such number shall be so fixed then the number for the ensuing year shall be the same as for the year preceding.  

(3)  Every Trustee shall hold office until the annual meeting of the Shareholders next succeeding his election and thereafter until the succeeding board of Trustees has been elected as hereinafter provided, and until at least a majority of said succeeding board is qualified to act as hereinafter provided.  

(4)  At each annual meeting of the Shareholders they may elect a new board of Trustees for the ensuing year of such number as may be then fixed as hereinbefore provided, and any one or more or all of the Trustees previously in office may be reelected to the new board, and at any meeting at which the number of Trustees is increased the Shareholders may elect all or less than all the additional Trustees so provided for, but no Trustee shall be elected unless he receives the affirmative votes of at least a majority of the number of shares then outstanding hereunder of such class or classes as then have general voting power.  

Proxy Access for Trustee Nominations.  Subject to the terms and conditions of this declaration of trust, in connection with an annual meeting of Shareholders at which Trustees are to be elected, the association will include in its proxy statement and on its form of proxy the name of a nominee for election to the Board submitted pursuant to this Article 4 (a “Shareholder Nominee”) and will include in its proxy statement the “Required Information” (as defined in Article 4(c)), if: (1) the Shareholder Nominee satisfies the eligibility requirements in this Article 4; (2) the Shareholder Nominee is identified in a timely notice (the “Shareholder Notice”) that satisfies this Article 4 and is delivered by a Shareholder that qualifies as, or is acting on behalf of, an Eligible Shareholder (as defined in Article 4(a)); (3) the Eligible Shareholder expressly elects at the time of the delivery of the Shareholder Notice to have the Shareholder Nominee included in the association’s proxy materials; and (4) the additional requirements of the declaration of trust are met.

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(a) To qualify as an “Eligible Shareholder,” a Shareholder or a group as described in this Article 4(a) must: (i) Own and have Owned (as defined below), continuously for at least three years as of the date of the Shareholder Notice, a number of the issued and outstanding common shares (as adjusted to account for any stock dividend, stock split, subdivision, combination, reclassification or recapitalization of common stock) that represents at least three percent of the issued and outstanding common shares that are entitled to vote generally in the election of Trustees as of the date of the Shareholder Notice (the “Required Shares”); and (ii) thereafter continue to Own the Required Shares through such annual meeting of Shareholders.

For purposes of satisfying the ownership requirements of this Article 4(a), a group of no more than twenty Shareholders and/or beneficial owners may aggregate the number of common shares that are entitled to vote generally in the election of Trustees that each group member has Owned continuously for at least three years as of the date of the Shareholder Notice.  No shares may be attributed to more than one Eligible Shareholder, and no Shareholder or beneficial owner, alone or together with any of its affiliates, may individually or as a member of a group qualify as or constitute more than one Eligible Shareholder under this Article 4.  Each of the following shall be treated as one Shareholder or beneficial owner: (x) a group of any two or more funds that are under common management and investment control; (y) a group of any two or more funds that are under common management and funded primarily by a single employer; or (z) a group of investment companies, as such term is defined in Section 12(d)(l)(G)(ii) of the Investment Company Act of 1940, as amended. Whenever an Eligible Shareholder consists of a group of Shareholders and/or beneficial owners, any and all requirements and obligations for an Eligible Shareholder set forth in this Article 4 must be satisfied by and as to each such Shareholder or beneficial owner, except that shares may be aggregated as specified in this Article 4(a) and except as otherwise provided in this Article 4. For purposes of this Article 4, the term “affiliate” or “affiliates” shall have the meanings ascribed thereto under the rules and regulations promulgated under the Securities Exchange Act of 1934, as amended (the “Exchange Act”).

(b)  For purposes of this Article 4:

(i)  A Shareholder or beneficial owner shall be deemed to “Own” only those issued and outstanding common shares that are entitled to vote generally in the election of Trustees and as to which such person possesses both (a) the full voting and investment rights pertaining to the shares and (b) the full economic interest in (including the opportunity for profit and risk of loss on) such shares; provided that the number of shares calculated in accordance with clauses (a) and (b) shall not include any shares (1) sold by such person or any of its affiliates in any transaction that has not been settled or closed, (2) borrowed by such person or any of its affiliates for any purposes or purchased by such person or any of its affiliates pursuant to an agreement to resell or (3) subject to any option, warrant, forward contract, swap, contract of sale or other derivative or similar agreement entered into by such person or any of its affiliates, whether any such instrument or agreement is to be settled with shares or with cash based on the notional amount or value of the issued and outstanding common shares that are entitled to vote generally in the election of Trustees, in any such case which instrument or agreement has, or is intended to have, or if exercised would have, the purpose or effect of (x) reducing in any manner, to any extent or at any time in the future, such person’s or its affiliates’ full right to vote or direct the voting of any such shares and/or (y) hedging, offsetting or

3

altering to any degree any gain or loss arising from the full economic ownership of such shares by such person or its affiliate. The terms “Owned,” “Owning,” “Ownership” and other variations of the word “Own,” when used with respect to a Shareholder or beneficial owner, shall have correlative meanings.

(ii)  A Shareholder or beneficial owner shall “Own” shares held in the name of a nominee or other intermediary so long as the person retains the right to instruct how the shares are voted with respect to the election of Trustees and the right to direct the disposition thereof and possesses the full economic interest in the shares. The person’s Ownership of shares shall be deemed to continue during any period in which the person has delegated any voting power by means of a proxy, power of attorney or other instrument or arrangement that is revocable at any time by the Shareholder.

(iii)  A Shareholder or beneficial owner’s Ownership of shares shall be deemed to continue during any period in which the person has loaned such shares provided that the person has the power to recall such loaned shares on five business days’ notice.

(c)  For purposes of this Article 4, the “Required Information” that the association will include in its proxy statement is:

(i)  the information set forth in the Schedule 14N provided with the Shareholder Notice concerning each Shareholder Nominee and the Eligible Shareholder that is required to be disclosed in the association’s proxy statement by the applicable requirements of the Exchange Act and the rules and regulations thereunder, and

(ii)  if the Eligible Shareholder so elects, a written statement of the Eligible Shareholder (or, in the case of a group, a written statement of the group), not to exceed 500 words, in support of each Shareholder Nominee, which must be provided at the same time as the Shareholder Notice for inclusion in the association’s proxy statement for the annual meeting (the “Statement”).

Notwithstanding anything to the contrary contained in this Article 4, the association may omit from its proxy materials any information or Statement that it, in good faith, believes is untrue in any material respect (or omits a material fact necessary in order to make the statements made, in light of the circumstances under which they are made, not misleading) or would violate any applicable law, rule, regulation or listing standard.  Nothing in this Article 4 shall limit the association’s ability to solicit against and include in its proxy materials its own statements relating to any Eligible Shareholder or Shareholder Nominee.

(d)  The Shareholder Notice shall set forth the following information, representations and agreements:

(i)  as to each Shareholder Nominee, all information relating to such person that is required to be disclosed in solicitations of proxies for election of Trustees in an election contest, or is otherwise required, in each case pursuant to and in accordance with Regulation 14A under the Exchange Act; provided, however, that, in addition to the information required in the Shareholder Notice pursuant to this Article 4, the association

4

may require each such person to furnish such other information as may reasonably be required by the association to determine the eligibility of such person to serve as a Trustee, including information relevant to a determination whether such person can be considered an independent Trustee,

(ii)  a representation addressed to the association that the Shareholder delivering the Shareholder Notice (or a Qualified Representative as defined in Article 4(m) of such Shareholder) intends to appear in person or by proxy at the meeting to present its Shareholder Nominee or Shareholder Nominees,

(iii) as to each Eligible Shareholder giving the Shareholder Notice (and in the case of a group, as to each Shareholder or beneficial owner whose shares are aggregated for purposes of constituting an Eligible Shareholder) and if any such Eligible Shareholder, Shareholder or beneficial owner is an entity, as to each director, executive officer, managing member or control person of such entity (any such individual or control person, a “Control Person”):

(a)  the name and address of such Eligible Shareholder and any Control Person (in the case of any record holder(s), as they appear on the association’s books);

(b)  the number of common shares which are owned of record or beneficially owned by the Eligible Shareholder and/or by any Control Person as of the date of the Shareholder Notice, and for purposes of this clause, an Eligible Shareholder or Control Person shall be deemed to beneficially own common shares if the Eligible Shareholder or Control Person owns such shares, directly or indirectly, for purposes of Section 13(d) of the Exchange Act and Regulations 13D and 13G thereunder or has or shares pursuant to any agreement, arrangement or understanding (whether or not in writing) (x) the right to acquire such shares (whether such right is exercisable immediately or only after the passage of time or the fulfillment of a condition or both), (y) the right to vote such shares, or instruct how the shares are voted, alone or in concert with others and/or (z) investment power with respect to such shares, including the power to dispose of, or to direct the disposition of, such shares;

(c)  a description of any agreement, arrangement or understanding with respect to the nomination between or among the Eligible Shareholder or any Control Person and any other person, including without limitation any agreements that would be required to be disclosed pursuant to Item 5 or Item 6 of Exchange Act Schedule 13D (regardless of whether the requirement to file a Schedule 13D is applicable); and

(d)  a description of any agreement, arrangement or understanding (including, without limitation, any derivative or short positions, profit interests, options, hedging transactions, and borrowed shares) that has been entered into as of the date of the Shareholder Notice by, or on behalf of, the Eligible Shareholder or Control Person, the effect or intent of which is to mitigate loss, manage risk or

5

benefit from changes in the price of the common shares, or maintain, increase or decrease the voting power of the Eligible Shareholder or Control Person with respect to securities of the association,

(iv)  a copy of the Schedule 14N that has been or concurrently is filed with the Securities and Exchange Commission under the Exchange Act,

(v)  a statement of the Eligible Shareholder (and in the case of a group, the written statement of each Shareholder or beneficial owner whose shares are aggregated for purposes of constituting an Eligible Shareholder), which statement(s) shall also be included in the Schedule 14N filed with the Securities and Exchange Commission: (a) setting forth and certifying to the number of common shares that are entitled to vote generally in the election of Trustees the Eligible Shareholder Owns and has Owned (as defined in Article 4(b)(i)) continuously for at least three years as of the date of the Shareholder Notice; and(b) agreeing to continue to Own such shares through the annual meeting of the Shareholders,

(vi)  the written agreement of the Eligible Shareholder (and in the case of a group, the written agreement of each Shareholder or beneficial owner whose shares are aggregated for purposes of constituting an Eligible Shareholder) addressed to the association, setting forth the following additional agreements, representations and warranties:

(a)  it will provide (1) no later than two weeks after the record date for the annual meeting both the information required under Article 4(d)(ii-iii) above and notification in writing verifying the Eligible Shareholder’s continuous Ownership of the Required Shares, in each case, as of the record date for the annual meeting, and (2) immediate notice to the association if the Eligible Shareholder ceases to own any of the Required Shares prior to the annual meeting of Shareholders;

(b)  it (1) acquired the Required Shares in the ordinary course of business and not with the intent to change or influence control at the association and does not presently have any such intent, (2) has not nominated and will not nominate for election to the Board at the annual meeting of Shareholders any person other than the Shareholder Nominee(s) being nominated pursuant to this Article 4, (3) has not engaged and will not engage in, and has not been and will not be a participant (as defined in Item 4 of Exchange Act Schedule 14A) in, a solicitation within the meaning of Exchange Act Rule 14a-1(1), in support of the election of any individual as a Trustee at the annual meeting other than its Shareholder Nominee or a nominee of the Board and (4) will not distribute to any Shareholder any form of proxy for the annual meeting other than the form distributed by the association; and

(c) it will (1) assume all liability stemming from any legal or regulatory violation arising out of the Eligible Shareholder’s communications with the Shareholders of the association or out of the information that the Eligible Shareholder provided to the association, (2) indemnify and hold harmless the

6

association and each of its Trustees, officers and employees individually against any liability, loss or damages in connection with any threatened or pending action, suit or proceeding, whether legal, administrative or investigative, against the association or any of its Trustees, officers or employees arising out of the nomination or solicitation process pursuant to this Article 4, (3) comply with all laws, rules, regulations and listing standards applicable to any solicitation in connection with the annual meeting, (4) file all materials described below in Article 4(f)(iii) with the Securities and Exchange Commission, regardless of whether any such filing is required under Exchange Act Regulation 14A, or whether any exemption from filing is available for such materials under Exchange Act Regulation 14A and (5) at the request of the association, promptly, but in any event within five business days after such request, provide to the association prior to the day of the annual meeting such additional information as reasonably requested by the association, and

(vii)  in the case of a nomination by a group, the designation by all group members of one group member that is authorized to act on behalf of all members of the group with respect to the nomination and matters related thereto, including withdrawal of the nomination.

(e) To be timely under this Article 4, the written Shareholder Notice must be delivered by a Shareholder to the Corporate Secretary of the association at the principal executive offices of the association not later than the Close of Business (as defined in Article 4(m) below) on the 20th day or earlier than the Close of Business on the 150th day prior to the first anniversary of the date (as stated in the association’s proxy materials) that the definitive proxy statement was first sent to Shareholders in connection with the preceding year’s annual meeting of Shareholders; provided, however, that in the event the annual meeting is more than 30 days before or after the anniversary of the previous year’s annual meeting, or if no annual meeting was held in the preceding year, to be timely, the Shareholder Notice must be so delivered not earlier than the Close of Business on the 150th day prior to such annual meeting and not later than the Close of Business on the later of the 20th day prior to such annual meeting or the 10th day following the day on which Public Announcement (as defined in Article 4(m) below) of the date of such meeting is first made by the association.  In no event shall an adjournment or recess of an annual meeting, or a postponement of an annual meeting for which notice has been given or with respect to which there has been a Public Announcement of the date of the meeting, commence a new time period (or extend any time period) for the giving of the Shareholder Notice as described above.

(f)  An Eligible Shareholder must:

(i)  within two weeks after the date of the Shareholder Notice, provide to the association one or more written statements from the record holder(s) of the Required Shares and from each intermediary through which the Required Shares are or have been held, in each case during the requisite three-year holding period, specifying the number of shares that the Eligible Shareholder Owns, and has Owned continuously in compliance with this Article 4;

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(ii)  include in the Schedule 14N filed with the Securities and Exchange Commission a statement by the Eligible Shareholder (and in the case of a group, by each Shareholder or beneficial owner whose shares are aggregated for purposes of constituting an Eligible Shareholder) certifying (a) the number of common shares that are entitled to vote generally in the election of Trustees that it Owns and has Owned continuously for at least three years as of the date of the Shareholder Notice and (b) that it Owns and has Owned such shares within the meaning of Article 4(b);

(iii)  file with the Securities and Exchange Commission any solicitation by or on behalf of the Eligible Shareholder relating to the annual meeting of Shareholders, one or more of the Trustees or Trustee nominees or any Shareholder Nominee, regardless of whether any such filing is required under Exchange Act Regulation 14A or whether any exemption from filing is available for such solicitation or other communication under Exchange Act Regulation 14A; and

(iv)  in the case of any group, provide to the association documentation reasonably satisfactory to the association demonstrating that the number of Shareholders and/or beneficial owners within such group does not exceed twenty, including whether a group of funds qualifies as one Shareholder or beneficial owner within the meaning of Article 4(a).

The information provided pursuant to this Article 4(f) shall be deemed part of the Shareholder Notice for purposes of this Article 4(f).

(g)  Within the time period for delivery of the Shareholder Notice, a written representation and agreement of each Shareholder Nominee shall be delivered to the Corporate Secretary of the association at the principal executive offices of the association, which shall be signed by each Shareholder Nominee and shall represent and agree that such Shareholder Nominee:

(i)  consents to being named in the association’s proxy statement and form of proxy as a nominee and to serving as a Trustee if elected;

(ii)  is not and will not become a party to any agreement, arrangement or understanding with, and has not given any commitment or assurance to, any person or entity as to how such Shareholder Nominee, if elected as a Trustee, will act or vote on any issue or question that has not been disclosed to the association;

(iii)  is not and will not become a party to any agreement, arrangement or understanding with any person or entity other than the association with respect to any direct or indirect compensation, reimbursement or indemnification in connection with service or action as a Trustee that has not been disclosed to the association; and

(iv)  if elected as a Trustee, will comply with the association’s Code of Business Conduct, as well as all corporate governance, conflict of interest, confidentiality, insider trading and share ownership policies and guidelines and any other policies and guidelines applicable to Trustees.

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At the request of the association, the Shareholder Nominee must promptly, but in any event within two weeks after such request, submit all completed and signed questionnaires required of the Trustees and provide to the association such other information as it may reasonably request.  The association may request such additional information as necessary to permit the Board to determine if each Shareholder Nominee satisfies the requirements of this Article 4.

(h)  In the event that any information or communications provided by the Eligible Shareholder or any Shareholder Nominees to the association or its Shareholders is not, when provided, or thereafter ceases to be, true, correct and complete in all material respects (including omitting a material fact necessary to make the statements made, in light of the circumstances under which they were made, not misleading), such Eligible Shareholder or Shareholder Nominee, as the case may be, shall promptly notify the Corporate Secretary and provide the information that is required to make such information or communication true, correct, complete and not misleading; it being understood that providing any such notification shall not be deemed to cure any defect or limit the association’s right to omit a Shareholder Nominee from its proxy materials as provided in this Article 4.

(i)  Notwithstanding anything to the contrary contained in this Article 4, the association may omit from its proxy materials any Shareholder Nominee, and such nomination shall be disregarded and no vote on such Shareholder Nominee will occur, notwithstanding that proxies in respect of such vote may have been received by the association, if:

(i)  the Eligible Shareholder or Shareholder Nominee breaches any of its respective agreements, representations or warranties set forth in the Shareholder Notice (or otherwise submitted pursuant to this Article 4), any of the information in the Shareholder Notice (or otherwise submitted pursuant to this Article 4) was not, when provided, true, correct and complete, or the Eligible Shareholder or applicable Shareholder Nominee otherwise fails to comply with its obligations pursuant to this declaration of trust, including, but not limited to, its obligations under this Article 4;

(ii)  the Shareholder Nominee (a) is not independent under any applicable listing standards of the New York Stock Exchange (as such standards may change from time to time), any applicable rules of the Securities and Exchange Commission and any publicly disclosed standards used by the Board in determining and disclosing the independence of the Trustees, (b) is or has been, within the past three years, an officer or director of a competitor, as defined in Section 8 of the Clayton Antitrust Act of 1914, as amended, (c) is a director or officer of any public utility company regulated by the Federal Energy Regulatory Commission, (d) is a director serving on more than four Boards of other publicly held companies, (e) is a named subject of a pending criminal proceeding (excluding traffic violations and other minor offenses) or has been convicted in a criminal proceeding (excluding traffic violations and other minor offenses) within the past ten years, or (f) is subject to any order of the type specified in Rule 506(d) of Regulation D promulgated under the Securities Act of 1933, as amended;

9

(iii)  the association has received a notice (whether or not subsequently withdrawn) that a Shareholder of record intends to nominate any candidate for election to the Board (other than pursuant to this Article 4) so that the number of nominees would exceed the number of Trustees to be elected at the applicable annual meeting; provided that, for the avoidance of doubt, unless otherwise required by law or otherwise determined by the Chairman of the meeting or the Board, if the association receives such notice after the proxy materials for the applicable annual meeting have been distributed to the Shareholders, any nomination or nominations pursuant to this Article 4 shall be disregarded, notwithstanding that proxies in respect of the election of any Shareholder Nominee or Shareholder Nominees may have been received by the association, but only to the extent the maximum number of Shareholder Nominees after such restriction with respect to this clause equals or exceeds one; or

(iv)  the election of the Shareholder Nominee to the Board would cause the association to violate this declaration of trust, any applicable law, rule, regulation or listing standard.

(j)  The maximum number of Shareholder Nominees submitted by all Eligible Shareholders that may be included in the association’s proxy materials pursuant to this Article 4 shall not exceed the greater of (x) two or (y) twenty percent of the number of Trustees in office as of the last day on which a Shareholder Notice may be delivered pursuant to this Article 4 with respect to the annual meeting, or if such amount is not a whole number, the closest whole number (rounding down) below twenty percent (such resulting number, the “Permitted Number”), provided that the Permitted Number shall be reduced by:

(i)  any Shareholder Nominee whose name was submitted for inclusion in the association’s proxy materials pursuant to this Article 4 but whom the Board of Trustees decides to nominate as a Board nominee; and

(ii)  any nominees who were previously elected to the Board as Shareholder Nominees at any of the preceding two annual meetings and who are nominated for election at such annual meeting by the Board as a Board nominee.

An Eligible Shareholder submitting more than one Shareholder Nominee for inclusion in the association’s proxy materials pursuant to this Article 4 shall rank such Shareholder Nominees based on the order that the Eligible Shareholder desires such Shareholder Nominees to be selected for inclusion in the association’s proxy materials and include such specified rank in its Shareholder Notice submitted to the association.  In the event that the number of Shareholder Nominees submitted by Eligible Shareholders pursuant to this Article 4 exceeds the Permitted Number, the association shall determine which Shareholder Nominees shall be included in the association’s proxy materials in accordance with the following provisions: the highest ranking Shareholder Nominee of each Eligible Shareholder will be selected for inclusion in the association’s proxy materials until the Permitted Number is reached, going in order of the amount (largest to smallest) of shares of the association each Eligible Shareholder disclosed as Owned in its respective Shareholder Notice submitted to the association.  If the Permitted Number is not reached after each Eligible Shareholder has had one Shareholder Nominee selected, this selection process will continue as many times as necessary, following the same

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order each time, until the Permitted Number is reached.  Following such determination, if any Shareholder Nominee who satisfies the eligibility requirements in this Article 4 thereafter is nominated by the Board, thereafter is not included in the association’s proxy materials or thereafter is not submitted for Trustee election for any reason (including the Eligible Shareholder’s or Shareholder Nominee’s failure to comply with this Article 4), no other nominee or nominees shall be included in the association’s proxy materials or otherwise submitted for election as a Trustee at the applicable annual meeting in substitution for such Shareholder Nominee(s).  Notwithstanding the number of Shareholder Nominees, the number of Trustees elected at any annual meeting shall not exceed the number of nominees proposed by the Board of Trustees.

(k)  Any Shareholder Nominee who is included in the association’s proxy materials for a particular annual meeting of Shareholders but withdraws from or becomes ineligible or unavailable for election at the annual meeting for any reason, including for the failure to comply with any provision of this declaration of trust (provided that in no event shall any such withdrawal, ineligibility or unavailability commence a new time period (or extend any time period) for the giving of a Shareholder Notice) will be ineligible to be a Shareholder Nominee pursuant to this Article 4 for the next two annual meetings.

(l)  The Board (and any other person or body authorized by the Board) shall have the power and authority to interpret this Article 4 and to make any and all determinations necessary or advisable to apply this Article 4 to any persons, facts or circumstances, including the power to determine (i) whether one or more Shareholders or beneficial owners qualifies as an Eligible Shareholder, (ii) whether a Shareholder Notice complies with this Article 4 and otherwise meets the requirements of this Article 4, (iii) whether a Shareholder Nominee satisfies the qualifications and requirements in this Article 4, and (iv) whether the requirements of this Article 4 have been satisfied.  Notwithstanding the foregoing provisions of this Article 4, unless otherwise required by law or otherwise determined by the Chairman of the meeting or the Board, if the Shareholder (or a Qualified Representative of the Shareholder, as defined in Article 4(m)) does not appear at  the annual meeting of Shareholders to present its Shareholder Nominee or Shareholder Nominees, such nomination or nominations shall be disregarded, notwithstanding that proxies in respect of the election of the Shareholder Nominee or Shareholder Nominees may have been received by the association.  This Article 4 shall be the exclusive method for Shareholders to include nominees for Trustee election in the association’s proxy materials.

(m)  For purposes of this Article 4, (i) the “Close of Business” shall mean 6:00 p.m. Eastern Time at the principal executive offices of the association on any calendar day, whether or not the day is a business day, (ii) “Public Announcement” shall mean disclosure in a press release reported by a national news service or in a document publicly filed by the association with the Securities and Exchange Commission pursuant to Sections 13, 14 or 15(d) of the Exchange Act and (iii) a “Qualified Representative” of a Shareholder shall mean a person who is a duly authorized officer, manager or partner of such Shareholder or authorized by a writing executed by such Shareholder (or a reliable reproduction or electronic transmission of the writing) delivered to the association prior to the making of a nomination for Trustee at a meeting of the Shareholders by such Shareholder stating that such person is authorized to act for such Shareholder as proxy at the meeting of Shareholders.

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(5)  Every Trustee elected by the Shareholders or by the Trustees to fill a vacancy as provided in Article (7) shall be required, except in case of reelection, to qualify as such Trustee by signing, sealing and acknowledging, and depositing with the Secretary of the association within twenty (20) days after his election a written statement containing a declaration of his acceptance of such election and of the trusts, duties and obligations hereby imposed upon him as such Trustee.  If at the expiration of twenty (20) days after any meeting at which Trustees are elected any Trustee other than a reelected Trustee shall have failed to qualify as such Trustee, the election of that one or those so failing shall become null and void and each such failure shall create a vacancy to be filled as provided in Article (7).  

(6)  Any Trustee may resign by presenting his written resignation at a meeting of the Trustees or by delivering the same at the principal office of the association addressed to the President or Secretary of the association, but such resignation shall take effect only upon its acceptance by the Trustees or by the election of a new Trustee in the place of the Trustee so resigning, or upon the expiration of twenty (20) days after the presentation or the delivery of such resignation, whichever event shall first occur, and after such resignation, until it takes effect as aforesaid, the resigning Trustee may, but shall not be obliged to, act as Trustee hereunder.  

(7)  If a vacancy shall exist in the board of Trustees by reason of failure to elect a full board at a meeting of Shareholders, or of the death, resignation, or failure to qualify of any Trustee, a new Trustee to fill such vacancy shall be elected by the remaining Trustees and such vacancy may be so filled even if such remaining Trustees shall be less than a majority of the whole board.  

(8)  Whenever any change of Trustees shall take place hereunder either by the death or resignation of any Trustee or Trustees or by the election of a new board of Trustees or of any additional Trustee or Trustees, the title to the entire trust estate as previously vested in the former Trustees shall immediately vest in the Trustees holding office as a result of such change without any conveyance from any outgoing Trustee or Trustees or from the heirs, executors or administrators of any deceased Trustee or Trustees or from the continuing Trustees or any of them; but notwithstanding this provision, it shall be the duty of each outgoing Trustee, of the heirs, executors or administrators of each deceased Trustee and of each continuing Trustee, to execute, acknowledge and deliver such instruments of conveyance as shall be deemed by the Trustees advisable and appropriate for the purpose of confirming the title vested as aforesaid in the Trustees then holding office.  

(9)  The Trustees shall receive such reasonable compensation as the Trustees may determine, and if any Trustee shall be called upon to travel or perform other extra services he may be paid his expenses and such special remuneration as the Trustees may determine.  

CONVERSION OF TRUST ESTATE INTO CASH

(10)  It shall be the duty of the Trustees at or before the termination of the trust hereby created to sell and convert into cash the entire trust estate and no Shareholder shall have or acquire at any time any interest in any specific property, real or personal, at any time forming part of the trust estate, or any right to any division or partition thereof or any other rights with reference thereto, except to have said property dealt with as herein provided, to receive dividends therefrom,

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as herein provided, and to share in the distribution of the cash proceeds thereof upon the termination of the trust, except that the Trustees in the exercise of their uncontrolled discretion may, if they see fit, at the termination of the trust retain and distribute in kind as hereinafter provided, all or any part of the personal property forming a part of the trust estate.

BUSINESS POWERS OF THE TRUSTEES

(11)  Until the termination of the trust hereby created, the Trustees in the control and management of the trust estate and in the conduct of the business of the association shall have power at any time and from time to time, subject however to the limitations and conditions herein contained in this or any other article hereof:  

(a)  To subscribe for or to acquire by purchase for cash or in exchange for shares of the association or otherwise and for such price and upon such terms as the Trustees may in their uncontrolled discretion determine, stocks, shares, rights, bonds, notes or other securities or obligations of any corporation, trust or association of whatever nature and wherever situated and of any government or agency or political subdivision thereof, including, without limiting the generality of the foregoing, any corporation, trust or association which is engaged in whole or in part in the business of manufacturing, generating, producing, transmitting, selling, distributing, or dealing in, electrical energy, gas, or water power.  

(b)  To manufacture, generate, produce, transmit, purchase, sell, distribute and deal in electrical energy, gas, or water power, and for the aforesaid purposes or any of them to acquire by purchase for cash or in exchange for shares of the association, or otherwise, and to lease, and to hold, develop, construct, erect, maintain, conduct, operate, manage under contract and otherwise utilize real estate, or any rights or interests therein, water rights, water power or privileges, buildings, plants, systems, machinery or any other things suitable for said purposes or any of them.  

(c)  To sell at public auction or by private contract, or otherwise, the whole or any part of the trust estate, free and discharged of the trusts hereunder, to any person or persons in such manner and for such price or consideration upon time or otherwise, and subject to such restrictions and agreements as they may in their uncontrolled discretion determine and without the necessity of applying to any court or to the Shareholders hereunder for leave so to do, and to buy in or rescind or vary any contract of sale and to resell without being responsible for loss, and to convert, exchange or refund the whole or any part of the trust estate for or into any shares, bonds, or other securities or obligations, property or effects in which the Trustees might, under the provisions hereof, invest any moneys forming a part of the trust estate, and, without limiting the generality of the foregoing, to sell the whole or any part of the trust estate for any shares, bonds or other securities or obligations of the purchaser, as a step in proceedings looking towards the termination of the trust hereby created, or the carrying out of any plan for the reorganization or rearrangement of the business or properties conducted or held hereunder, provided however that the Trustees shall not so sell, except to effect a transfer to a corporation, trust or association a majority in interest of the shares of which is then held as a part of the trust estate or a transfer upon or in

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connection with the termination of the trust hereby created, any shares of the stock of any corporation, trust or association if (i) a majority in interest of such shares is then held as a part of the trust estate, and (ii) the book value of the association’s investment in the shares and other securities of such corporation, trust or association is 10% or more of the aggregate book value of the assets comprising the trust estate at the time, unless such sale shall have been authorized by the Shareholders at a meeting called for that purpose, by a vote of at least a majority in number of all the shares then outstanding hereunder of such class or classes as then have general voting power.  

(d)  To borrow money and to issue bonds or other obligations therefor and to secure the payment thereof by mortgage, pledge or charge of the whole or any part of the trust estate then owned or thereafter acquired, except that no such mortgage, pledge or charge of the trust estate as a whole or substantially as a whole shall be created unless authorized in each and every such case by a vote of at least two-thirds (2/3) in number of all the shares then outstanding hereunder of such class or classes as then have general voting power, provided, however, that no such authorization shall be required to secure bonds or obligations issued to refund at any time and in any manner any secured bonds or obligations whenever issued.  

(e)  To furnish assistance, on such terms as they shall think proper, with or without security, to any corporation, trust or association of which any of the stocks, shares, bonds or other securities or obligations shall constitute a part of the trust estate in the financing of the business of such corporation, trust or association or in obtaining, by purchase, lease or otherwise, any facilities or services it may require, either by making funds available to such corporation, trust or association through loans, advances, contributions or otherwise, or by guaranteeing the obligations of such corporation, trust or association, or in any other manner they may deem proper; and to advance or lend money on such terms as they shall think proper, with or without security, to any other person, corporation, trust, firm or association of any description whenever in their opinion such action is necessary or convenient in the business or conducive to the advantage of the association; and to discharge and cancel without payment any indebtedness thus arising, or to convert the same into stocks, shares, bonds or other obligations of such corporation, trust or association or of any other with or into which it may be consolidated or merged or to which its property may be transferred or leased or by which its capital stock may be owned.  

(f)  To exercise any and all powers and rights belonging to the holder of any stocks, shares, bonds or securities or obligations forming a part of the trust estate whether by voting or by giving any consent, request or notice or otherwise and either in person or by proxy or attorney and to give proxies or powers of attorney therefor with or without power of substitution, which proxies and powers of attorney may be for meetings or actions generally or for any particular meeting, meetings or action and may include the exercise of any discretionary powers, and without limiting the generality of the foregoing, to vote in favor of or to consent to the creation of any mortgage, lien or other encumbrances upon all or part of the franchises and property then owned or thereafter acquired of any or all of the corporations, trusts and associations by which said stocks, shares, bonds, securities or obligations were issued, or to vote in favor of or to consent to the merger or consolidation of such corporation, trust or association with any other corporation, trust or association or for

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the sale, lease, surrender or abandonment of all or any part of the franchises and property of any such corporation, trust or association.  

(g)  To cause any stocks, shares, bonds or other securities or obligations subject to these trusts to be transferred into the name of Eversource Energy or into the names of the Trustees or any one or more of them or to remain in or be transferred into the name of any other person, firm, association, trust or corporation and in any such case in such manner as not to give notice that the same are affected by the trust hereby created or by any trust, and to be deposited for safe keeping in such place and in such manner and subject to such control or joint control as they may deem proper.  

(h)  To cause any real estate at any time acquired on behalf of the association to be acquired and held for the association by such special trustee or trustees, and under such form of agreement or declaration of trust, and with such provisions for the resignation or removal of such special trustee or trustees and the appointment of his, its or their successors as the Trustees may determine, but subject in all cases to the absolute right of the Trustees to control and direct the use, management, sale, mortgage, lease or other dealings with or disposition of said real estate.  

(i)  To collect, sue for, receive and receipt for all sums of money coming due as a part of the trust estate, to consent to the extension of the time for payment, or to the renewal of any bonds or other securities or obligations belonging to the trust estate and to compound, compromise, abandon or adjust, by arbitration or otherwise, any actions, suits, proceedings, disputes, claims, demands and things relating to the trust estate, and to transfer to and deposit with any corporation, committee or other persons any stocks, shares, bonds or other securities or obligations forming part of the trust estate for the purposes of any arrangement for enforcing or protecting the interests of the Trustees as the owners of such stocks, shares, bonds or other securities or obligations, and to pay any assessment levied in connection with such arrangement, and

(j)  To purchase, acquire and hold shares, bonds and notes and other obligations and securities issued by the Trustees as herein provided and either to cancel and retire the same in whole or in part or to reissue them in whole or in part to such person or persons, and for such purposes hereby permitted and in such manner and upon such terms and for such consideration as the Trustees may determine but no such shares while so held by the Trustees shall be entitled to any voting rights or to any dividends or be deemed outstanding for any purpose hereunder.  

(k)  To perform and do all such further acts and things as may be properly incidental to the exercise of the foregoing powers or any of them to the same extent to which such further acts and things might be performed and done from time to time by a business corporation lawfully organized under the laws of the Commonwealth of Massachusetts.  

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MEETINGS OF TRUSTEES

(12)  An annual meeting of the Trustees shall be held immediately after and at the same place as the annual meeting of the Shareholders.  Other regular meetings may be held at such places either within or outside of Massachusetts as the Trustees may by vote from time to time determine.  A special meeting of the Trustees may be held at any time and at any place when called by the Chairman of the Board, President, Secretary or two or more Trustees and shall be held at such time and place as the notice of such special meeting shall specify.  No notice of said annual meeting shall be required, but notice of each other meeting shall be given either by the Secretary or by the person or persons by whom such meeting is called by giving to each of the Trustees three (3) days’ notice of such meeting; and such notice sent by mail, postage prepaid, to any Trustee at his usual address on the third day or any earlier day before such meeting shall be deemed sufficient notice to him whether or not the same be received by him, and in computing such time Sundays and holidays shall be included, but it shall not be necessary to give notice of any such meeting as aforesaid to any Trustee who is present at the meeting or who either before or after the meeting waives such notice in writing.  A majority of the full board of Trustees present at any meeting shall constitute a quorum for the transaction of business and for the purpose of filling vacancies, as provided in Article (7), a majority of the Trustees continuing in office shall constitute such quorum, but less than a quorum may adjourn any meeting from time to time and such meeting may be held as adjourned without further notice.  When a quorum is present at any meeting a majority of the Trustees present and voting shall decide any questions brought before such meeting.  Any Trustee may participate in a meeting of the Trustees, or any committee thereof, by conference telephone or similar communications equipment by means of which all persons participating in the meeting can hear each other at the same time, and participation by such means shall constitute presence in person at such meeting.

OFFICERS, AGENTS AND EXECUTIVE COMMITTEE

(13)  The Trustees shall from time to time elect a Chairman of the Board, a President, a Treasurer and a Secretary and may elect one or more Vice Presidents and one or more Assistant Treasurers and such other officers as the Trustees may think proper, and may permit any officer so elected to resign and may remove any such officer with or without cause and may fill any vacancy and may elect temporary officers to serve during the absence or disability of the regular officers or for any specified purpose.  Every officer so elected unless otherwise determined by the Trustees shall hold his office until the first meeting of the Trustees following the next succeeding annual meeting of the Shareholders and thereafter until his successor has been chosen.  Any such officer may be, but no such officer need be, a Shareholder or Trustee, and any two or more offices may be held by the same person, except that no one person shall be both President and Vice President or both Treasurer and Assistant Treasurer.  Such officers shall receive such compensation, if any, as may from time to time be fixed by the Trustees and they shall have respectively, in addition to the powers and duties conferred and imposed upon them by the express provisions of this declaration of trust, such further powers and duties as may be conferred and imposed upon them from time to time by the Trustees.  

(14)  The Chairman of the Board, if present, shall preside at all meetings of the Trustees and of the Shareholders, and in his absence from any such meeting, the President, or if he also be

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absent, the senior Vice President present, shall so preside, but if neither the Chairman of the Board nor the President nor any Vice President shall be present, a temporary Chairman shall be chosen by the meeting.  

(15)  The Treasurer shall have custody of all moneys belonging to the trust estate and shall deposit the same in such one or more banks or trust companies as may be designated from time to time by the Trustees in the name “Eversource Energy” and shall disburse the same in the discharge of obligations incurred by the Trustees or for other purposes authorized by the Trustees by checks drawn by him against such deposit account or accounts and signed on behalf of Eversource Energy by him as Treasurer.  He shall also keep accurate books of account of all the financial transactions of the Trustees.  If required by the Trustees, the Treasurer shall give bond for the faithful discharge of his duties and the premium on such bond shall be paid out of the trust estate.  Such bond, if given, shall be in the custody of the President.  All or any part of the duties of the Treasurer may be performed at any time and from time to time by any assistant treasurer designated for that purpose by the Trustees.  In addition, the Trustees may from time to time authorize or require other officers, employees, or agents to sign checks drawn against any such deposit account or accounts.

(16)  The Secretary shall attend, if possible, all meetings of the Trustees, of the Executive Committee if any and of the Shareholders and shall give notice of all such meetings as required by the provisions hereof and shall keep the minutes of all such meetings, but if he is absent from any meeting a temporary secretary shall be chosen by the meeting to act in his place.

(17)  The Trustees may likewise from time to time appoint or employ or authorize the appointment or employment of agents or employees or representatives and the Trustees may fix their compensation, term of employment, duties and powers or authorize the same to be fixed and may remove them or terminate their employment or authorize the same to be done.  The Trustees may delegate any or all of the powers and discretions of the Trustees to any of the officers, agents or representatives elected or appointed pursuant to the provisions hereof, and all action taken by any such officer, agent or representative pursuant to such delegation shall be binding upon the Trustees.  All promissory notes and other negotiable instruments, except checks, and all bonds and other agreements for the payment of money or evidences of indebtedness and all contracts in writing and other documents issued or entered into by the Trustees including instruments affecting the title to real estate, shall be signed and delivered in their behalf as they may determine either by a majority of the Trustees or by such one or more Trustees or officers, agents, or representatives of the Trustees as they may designate.  Any instrument affecting the title to real estate signed and delivered by the person or persons authorized so to do by the Trustees as hereinbefore provided shall be effective to convey all the right, title, and interest of all the Trustees which it purports to convey.

(18)  The Trustees may appoint from time to time from among their number an Executive Committee of not less than five (5) members and may at any time abolish said committee or remove any member or members thereof with or without cause, and may fill all vacancies therein.  Such committee if appointed shall have and exercise such of the powers and discretions of the Trustees and be subject to such supervision and control by the Trustees as the Trustees shall from time to time determine.  Meetings of said committee shall be held and notified from time to time as provided herein with reference to meetings of the Trustees and minutes of such meetings shall be

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kept as provided in Article (16), and the minutes of every such meeting shall be presented to the next meeting of the Trustees.  

SHARES AND SHAREHOLDERS

(19)  The transferable certificate of beneficial interest known as shares issued or to be issued hereunder may consist either of common shares with or without par value or of preferred shares with or without par value of any class or classes, or of both common and preferred shares.  Shares, either common or preferred, may be issued from time to time for cash, property or services, or as a distribution to Shareholders, and may be issued by the Trustees only upon authority so to do granted by the Shareholders.  Common shares, in addition to the three million (3,000,000) of such common shares authorized by the Shareholders prior to March 18, 1964, shall be issued only when authorized by the affirmative vote of at least a majority in interest of all shares previously issued and then outstanding of such class or classes as have general voting power.  Preferred shares shall be issued only when authorized by the affirmative vote of at least two-thirds (2/3) in interest of shares having general voting power as aforesaid and also by such vote or consent of the holders of each class of preferred shares previously issued and then outstanding as may be required by the rights, privileges and preferences of said outstanding class established as hereinafter provided.  All preferred shares issued shall have such par value, if any, such priority as to dividends which may be cumulative, such priority in liquidation, such voting rights and such other rights, privileges, preferences, restrictions and limitations as may be established and authorized by the votes and consents of Shareholders pursuant to which they are issued.  The holders of common shares shall have preemptive rights as follows:  Upon the offering or sale by the Trustees for cash of any common shares or convertible securities each holder of common shares shall have the preemptive right subject to the provisions of this Article to purchase such shares or convertible securities in proportion to the number of common shares held by him, within the time and on the terms fixed by the Trustees.  Such preemptive rights, however, shall not be applicable to the issue of common shares, or the grant of rights or options on such shares, to Trustees, Directors, officers, or employees, as such, of the association, or of a subsidiary thereof, if such issue or grant is approved by the holders of common shares, at a meeting duly held for the purpose or is authorized by and consistent with a plan theretofore so approved.  Whenever any rights to subscribe to common shares or convertible securities have not been exercised by the holders thereof, and by the terms thereof such subscription rights have ceased to be exercisable, the Trustees may authorize the disposal of the common shares or convertible securities theretofore subject to such unexercised rights in such manner as the Trustees may deem proper.  Common shares shall not be subject to preemptive rights if they are issued on the conversion of convertible securities and such securities were offered or issued to holders of common shares in satisfaction of their preemptive rights or were not subject to preemptive rights.  Common shares and convertible securities shall not be subject to preemptive rights if they are (1) common shares or convertible securities theretofore offered to holders of common shares in satisfaction of their preemptive rights and not purchased thereby; (2) issued pursuant to a plan adjusting any rights to fractional shares or fractional interests in order to prevent the issue of such fractional shares or fractional interests in such shares; (3) issued in connection with a merger or consolidation, or pursuant to order of a court of competent jurisdiction unless such order otherwise provides; (4) issued in a public offering or to or through underwriters who shall have agreed to make a public offering of such common shares or convertible securities; (5) released from such preemptive rights by the affirmative vote or written

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consent of the holders of at least two-thirds (2/3) of the common shares then outstanding; or (6) shares or convertible securities held in the treasury.  Except as herein specifically provided, no holder of shares of any class shall have any preemptive rights to subscribe to any shares or securities of any class issued at any time.  No fractional shares shall be issued and in connection with the issue of shares of any class the Trustees may take such action as they deem desirable in order to avoid or prevent the issue of fractional shares.  As used in this Article “convertible securities” means securities which are convertible into, or entitle the holder thereof to purchase, common shares.  

(20)  Every Shareholder shall be entitled to receive a certificate in such form as the Trustees shall from time to time approve, specifying the number and kind of shares held by him with such description, if any, as may be necessary to distinguish shares of one class from shares of any other class or classes.  Such certificates shall, unless otherwise determined by the Trustees, be signed on behalf of the Trustees by the President or a Vice President and the Treasurer or an Assistant Treasurer.  On evidence satisfactory to the Trustees that any certificate issued hereunder has been worn out, mutilated, lost or destroyed, the Trustees may cause a new certificate to be issued in place thereof on such terms, if any, as to indemnity and otherwise, as the Trustees shall deem proper.  

(21)  A register or registers shall be kept by or on behalf of the Trustees which shall contain the names and addresses of the Shareholders and the number and kind of shares held by them respectively.  Such register or registers may be in such form as the Trustees may from time to time deem proper.  No Shareholder shall be entitled to receive payment of any dividend declared or other distribution from the trust estate or to have any notice given to him as herein provided until he has given his address to the Trustees or to a Transfer Agent for the class of shares held by him for entry on such register.  The Trustees may appoint one or more Transfer Agents and one or more Registrars for any class of shares.  Any Transfer Agent and Registrar so appointed shall have such duties as may be prescribed by the Trustees.  

(22)  Every transfer of any shares (otherwise than by operation of law) shall be in writing under the hand of the Transferor or of his agent thereunto duly authorized in writing and upon delivery thereof to the Treasurer or to any Transfer Agent accompanied by the existing certificate for such shares together with such evidence of the genuineness of such transfer, authorization and other matters as may reasonably be required shall be registered and thereupon a new certificate for the shares transferred shall be issued to the Transferee, and in case of a transfer of only part of the shares represented by any certificate, a new certificate for the residue thereof shall be issued to the Transferor.  Until a transfer shall be registered, the record holder of each and every certificate shall be deemed to be the holder of the share or shares represented thereby for all purposes hereof, and neither the Trustees nor any Transfer Agent nor any Registrar nor any officer or agent of the Trustees shall be affected by any notice of such transfer.  

(23)  Any person becoming entitled to any shares in consequence of the death, bankruptcy or insolvency of any Shareholder or otherwise by operation of law, upon production of proper evidence thereof and upon delivery of the existing certificate to the Trustees or to any Transfer Agent for such shares shall be recorded as the holder of said shares and shall receive a new certificate therefor, but until so registered the Shareholder of record shall be deemed to be the holder of such shares for all purposes hereof and neither the Trustees nor any Transfer Agent nor

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Registrar nor any officer or agent of the Trustees shall be affected by any notice of such death, bankruptcy, insolvency or other involuntary transfer.  

(24)  Shares issued as herein provided shall be personal property entitling the holders only to the rights against the Trustees and with reference to the trust estate which are herein set forth and upon the death of any Shareholder all shares held by him shall pass as a part of his personal estate.  

(25)  Two or more persons holding any share shall be joint owners of the entire interest therein, and no entry shall be made in the register or in any certificate that any person is entitled to any future, limited or contingent interest in any share.  But any person registered as a holder of any share may, subject to the provisions hereinafter contained, be described in the register or in any certificates as a trustee of any kind, and any words may be added to the description to identify the said trust.  

(26)  All shares issued hereunder shall be fullpaid and nonassessable and no Trustee, officer or agent shall be entitled to look to the Shareholders personally for indemnity against any liability incurred by him in the execution of these presents or to call upon the Shareholders for the payment of any sum of money or any assessment whatever.  

(27)  Neither the Trustees nor any officer or agent of the Trustees nor any Transfer Agent shall be bound to take notice or be affected by notice of any trust whether express, implied or constructive or of any charge, pledge or equity to which any of said shares or the interest of any of the Shareholders under the declaration of trust may be subject or to ascertain or to inquire whether any sale or transfer of any such shares or interest by any such Shareholder or by his personal representatives is authorized by any such trust, charge, pledge or equity or to recognize any person whatever as having any interest in such shares except the persons registered as Shareholders and the receipt of the person in whose name any share is registered or if such share is registered in the names of more than one person the receipt of any one of such persons or the receipt of the duly authorized agent of any such person shall be a sufficient discharge for all dividends and other money and for all shares, bonds, obligations and other property payable, issuable or deliverable in respect to such share and from all liability to see to the application of such dividends, money, shares, bonds, obligations and other property.  

MEETINGS OF SHAREHOLDERS

(28)  An annual meeting of the Shareholders shall be held during the month of April, May or June in each year on such day and at such hour as the Trustees may from time to time determine, at such place either within or outside of Massachusetts as may be designated by the Trustees, for the purpose of electing new Trustees in place of and to succeed those whose terms of office expire at that time and for such other purposes as may be specified by the Trustees.  If such annual meeting shall not be held as above provided, a special meeting may be held in lieu thereof at any time and any business which might have been transacted at such annual meeting may be transacted at such special meeting and for all purposes hereof such special meeting shall be deemed to be an annual meeting duly held as herein provided.  Special meetings of the Shareholders shall be held whenever ordered by the Trustees, the Chairman of the Board or the President or requested by the holders of one-tenth (1/10) in interest of all the shares outstanding of any class or classes having the general

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right to vote and any business which may be transacted at an annual meeting of Shareholders may be transacted at a special meeting.  Special meetings shall be held at such place as may be designated by the Trustees or the Chairman of the Board or the President.  Notice of each meeting of the Shareholders, whether annual or special, specifying the time, place and purposes thereof, shall be given to all Shareholders entitled to vote thereat by delivering such notice to such Shareholders at least seven (7) days before such meeting. Notice delivered via electronic transmission shall be considered notice for purposes of the preceding sentence provided that such notice is, (i) if given by facsimile telecommunication, directed to a number furnished by the Shareholder for such purpose, (ii) if given by electronic mail, directed to an electronic mail address furnished by the Shareholder for such purpose, (iii) if delivered by posting on an electronic network accompanied by a separate notice to the Shareholder of such posting, directed to an electronic mail address furnished by the Shareholder for the purpose, and (iv) if by any other form of electronic transmission, directed to the Shareholder in such manner as the Shareholder shall have specified. For purposes of this paragraph “electronic transmission” means any process of communication not directly involving the physical transfer of paper that is suitable for the retention, retrieval and reproduction of information by the recipient. If the Secretary shall refuse or fail to give any such notice of any special meeting such notices may be given by the persons or person by whom such meeting was called or requested.  At all meetings of the Shareholders every holder of common shares shall have one (1) vote for every such share held by him, and every holder of preferred shares of any class or classes thereof shall have such voting rights as may be authorized in accordance with the provisions of Article (19).  Every Shareholder entitled to vote at any meeting shall have the same right to vote thereat or at any adjournment or adjournments thereof, either in person or by proxy as in the case of a stockholder in a corporation. Any vote, consent, waiver, proxy appointment or other action by a Shareholder or by the proxy or other agent of any Shareholder, shall be considered given in writing, dated and signed if, in lieu of any other means permitted by this Declaration of Trust, it consists of an electronic transmission that sets forth or is delivered with information from which it can be determined (i) that the electronic transmission was transmitted by the Shareholder, proxy or agent or by a person authorized to act for the Shareholder, proxy or agent; and (ii) the date on which such Shareholder, proxy, agent or authorized person transmitted the electronic transmission. The date on which the electronic transmission is transmitted shall be considered to be the date on which it was signed. The electronic transmission shall be considered received if it has been sent to any address specified for the purpose or, if no address has been specified, to the principal office of the association, addressed to the Secretary or other officer or agent having custody of the records of proceedings of Shareholders. At all meetings a majority of all shares issued and outstanding and having the general right to vote shall constitute a quorum for the transaction of business, but less than such majority may adjourn the meeting from time to time and the meeting may be held as adjourned without further notice.  When a quorum is present at any meeting all matters properly brought before the meeting shall be decided by the majority vote of the Shareholders present or represented at such meeting and voting upon such questions, except as otherwise provided herein and as may be otherwise provided hereafter as to particular questions in the provisions for the establishment of the rights, privileges and preferences of any class or classes of preferred shares.  The Trustees may fix in advance a time not more than sixty (60) days before the date of any meeting of the Shareholders or the date for the payment of any dividend or the making of any distribution of any kind to Shareholders or the last day on which the consent or dissent of Shareholders may be effectively expressed for any purpose as the record date for determining the Shareholders having the right to notice of and to vote at such meeting, and any adjournment thereof, or the right to receive such dividend or distribution or the right to give such

21

consent or dissent, and in such case only Shareholders of record on such record date shall have such right, notwithstanding any transfer of shares on the books of the association after the record date.  In lieu of fixing such record date, the Trustees may for any of such purposes close the transfer books of the association for all or any portion of said sixty (60) day period.  

(29)  When any share is held jointly by several persons, any one of them may vote at any meeting in person or by proxy in respect of such share, but if more than one of them shall be present at such meeting in person or by proxy, and such joint owners or their proxies so present disagree as to any vote to be cast, such vote shall not be received in respect of such share.  

(30)  If the holder of any share is a minor or a person of unsound mind, or subject to guardianship or to the legal control of any other person as regards the charge or management of such share, he may vote by his guardian or such other person appointed or having such control, and such vote may be given in person or by proxy.  

DIVIDENDS

(31)  The Trustees may from time to time declare and pay to the Shareholders such dividends as they see fit, and no Shareholders of any class shall be entitled to receive or be paid any dividends from the trust estate except as determined by the Trustees.  Whenever any dividend is declared and paid upon any class of shares outstanding the holders of said class shall all receive the same amount per share, but if any class or classes of preferred shares shall be issued the dividends paid from time to time shall be paid to and distributed among the separate classes in accordance with the rights, privileges, preferences, restrictions and limitations established in connection with the creation of said preferred class or classes.  The Trustees may appoint a Dividend Agent for any class of shares with such powers and duties as they may prescribe.  

RIGHTS OF THIRD PERSONS

(32)  No Shareholder shall be held to any liability whatever for the payment of any sum of money, or for damages or otherwise under any contract, obligation or undertaking made, entered into or issued by the Trustees or by any officer, agent or representative elected or appointed by the Trustees and no such contract, obligation or undertaking shall be enforceable against the Trustees or any of them in their or his individual capacities or capacity and all such contracts, obligations and undertakings shall be enforceable only against the Trustees as such and every person, firm, association, trust and corporation having any claim or demand arising out of any such contract, obligation or undertaking shall look only to the trust estate for the payment or satisfaction thereof.  It shall be the duty of the Trustees and each of them and of every officer, agent or representative elected or appointed by them to include in every written agreement entered into by them or any of them as herein provided, a statement of the immunity provided by this article for the Shareholders and for the Trustees as individuals, and neither the Trustees nor any of them nor any officer, agent or representative appointed or elected by them shall have any power or authority to enter into any agreement or incur any obligation as herein provided except in accordance with the provisions of this Article.

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In case any Shareholder shall at any time for any reason be held to or be under any personal liability whatever solely by reason of his being or having been a Shareholder and not by reason of his acts or omissions as a Shareholder, then such Shareholder (or his heirs, executors, administrators, or other legal representatives) shall be held harmless and indemnified out of the trust estate from and of all loss, liability or expense by reason of such liability.  

(33)  The receipts of the Trustees or any of them for money or other things paid to them or him, and in the case of money paid the receipt of the Treasurer, shall be effectual discharges to the persons, firms, associations, trusts or corporations paying or delivering such money or things and from all liability to see to the application thereof, and the statement or representation of any one or more of the Trustees or of the Secretary to the effect that the person or persons purporting to act as Trustees in connection with the sale of any part of the trust estate or in connection with any other action taken on behalf of the association as herein provided, are in fact the Trustees hereunder at that time, or to the effect that any person purporting to act as an officer, agent or representative of the association is in fact such officer, agent or representative, or to the effect that any sale or other action taken as aforesaid has been duly authorized by the Trustees or by the Shareholders as may be required by the provisions hereof or as to the meetings, votes or other proceedings by which such authority was given, shall be conclusive evidence of the facts so stated in favor of every purchaser of any part of the trust estate and of every person, firm, association, trust or corporation dealing with the association through the person or persons so held out as Trustees or as officers, agents or representatives, and in favor of every association, trust or corporation whose shares or other securities are transferred by any such sale, and of every transfer agent transferring such shares.  

RESPONSIBILITY OF TRUSTEES AND OTHERS

(34)  No Trustee, and no officer, agent or other representative elected or appointed pursuant to any provision hereof, shall be liable for any act or default on the part of any co-Trustee, or other officer or agent, or for having permitted any co-Trustee, or other officer or agent to receive or retain any money or property receivable by the Trustees hereunder, or for errors of judgment in exercising or failing to exercise any of the powers or discretions conferred upon or resting upon him, or for any loss arising out of any investment, or for failure to sue for or to collect any moneys or property belonging to the trust estate, or for any act or omission to act, performed or omitted by him in good faith in the execution of the trusts hereby created, and each Trustee and every such officer, agent or representative shall be answerable and accountable only for his own receipts and for his own wilful acts, neglects and defaults constituting a breach of trust knowingly and intentionally committed by him in bad faith, and not for those of any other, or of any bank, trust company, broker, attorney, auctioneer or other person with whom or into whose hands any property forming part of the trust estate may be deposited or come, or by whom any action relating to the trusts hereof may be taken or omitted to be taken; nor shall any Trustee or any such officer, agent or representative be liable or accountable for any defect in title, or for failing to transfer to or vest in the Trustees title to any property or effects for the time being subject to any of the trusts of these presents, or intended or believed to be so subject, or for failing to take out or maintain any or sufficient insurance or for liens or encumbrances upon any such property or effects, or for lack of genuineness or for invalidity of the shares, bonds, or other obligations or instruments forming part of or relating to the trust estate, or for any loss, or otherwise, unless the same shall happen through his own wilful act, neglect or default constituting a breach of trust knowingly and intentionally committed by him in

23

bad faith; and the Trustees and each of them and each such officer, agent or representative shall be entitled out of the trust estate to reimbursement for their or his reasonable expenses and outlays and to be put in funds and exonerated and indemnified to their or his reasonable satisfaction from time to time, against any and all loss, costs, expense and liability incurred or to be incurred by them or him in the execution of the trusts hereby created; and no Trustee, however appointed, shall be obliged to give any bond or surety or other security for the performance of any of his duties in the said trusts.  

In addition, and without limiting the protection afforded to them by the preceding paragraph of this Article (34), no Trustee, officer, agent or representative shall be liable for monetary damages for breach of fiduciary duty as a Trustee, officer, agent or representative, notwithstanding any provision of law imposing such liability; provided, however, that the provisions of this paragraph shall not be deemed to eliminate or limit any liability which such Trustee, officer, agent or representative would otherwise have under the provisions of the declaration (1) for any breach of such person’s duty of loyalty to the association or its Shareholders, (2) for acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law, or (3) for any transaction from which such person derived an improper personal benefit.  

The association shall indemnify each of its Trustees and officers, as defined in the last paragraph of this Article, against any loss, liability or expense, including amounts paid in satisfaction of judgments, in compromise or as fines and penalties, and counsel fees, imposed upon or reasonably incurred by him in connection with the defense or disposition of any action, suit or other proceeding, whether civil or criminal, in which he may be involved or with which he may be threatened, while in office or thereafter, by reason of his being or having been such a Trustee or officer, except with respect to any matter as to which he shall have been finally adjudicated in such action, suit or proceeding not to have acted in good faith in the reasonable belief that his action was in the best interests of the association; provided, however, that as to any matter disposed of by a compromise payment by such Trustee or officer, pursuant to a consent decree or otherwise, no indemnification either for said payment or for any other expenses shall be provided unless a determination is made that indemnification of the Trustee or officer is proper under the circumstances because such Trustee or officer acted in good faith in the reasonable belief that his action was in the best interests of the association.  Such determination shall be made (1) by the board of Trustees by a majority vote of a quorum consisting of Trustees who were not parties to such action, suit or proceeding, or (2) if such a quorum is not obtainable, or, even if obtainable, such a quorum so directs, by independent legal counsel in a written opinion, or (3) by the Shareholders.  

In performing his duties, any such Trustee or officer who acts in good faith shall be fully protected in relying upon the books of account of the association or of another organization in which he serves as contemplated by this Article, reports, opinions and advice to the association or to such other organization by any of its officers or employees or by counsel, accountants, appraisers or other experts or consultants selected with reasonable care or upon other records of the association or of such other organization.  

Expenses incurred by any Trustee or officer with respect to any action, suit or proceeding heretofore referred to in this Article may be paid or advanced by the association prior to the final disposition of such action, suit or proceeding, upon receipt of an undertaking by or on behalf of the

24

Trustee or officer to repay such amount if upon final disposition thereof he shall not be entitled to indemnification under this Article.  

The rights of indemnification hereby provided shall not be exclusive of or affect any other right to which any Trustee or officer may be entitled and all such rights shall inure to the benefit of his heirs, executors, administrators and other legal representatives.  Such other rights shall include the powers, immunities and rights of reimbursement which would be allowable under the laws of the Commonwealth of Massachusetts were the association a business corporation organized under such laws.  

As used in this Article, the terms “Trustee” and “officer” include persons elected as Trustees by the Shareholders or by the board of Trustees, persons elected as officers by the board of Trustees, and persons who serve by vote or at the request of the association as directors, officers, or trustees of another organization in which the association has any direct or indirect interest as a Shareholder, creditor or otherwise.  Nothing contained in this Article shall affect any rights to indemnification to which employees, agents and representatives of the association other than Trustees and officers may be entitled by contract or otherwise under law.  

(35)  The Trustees may consult with any counsel, lawyer, valuer, surveyor, engineer, broker, auctioneer, accountant or other expert, consultant or person deemed by them competent, to be selected, employed, retained or consulted by them at the expense of the trust estate, whether individuals, firms or corporations, and whether or not disinterested or generally or specially employed, retained or consulted, and any action taken by the Trustees in good faith on the opinion or advice of, or information received from, any such counsel, lawyer, valuer, surveyor, engineer, broker, auctioneer, accountant or other expert, consultant or person deemed by them competent, shall be complete and conclusive protection to the Trustees and each of them.  

(36)  No sale, contract, arrangement or other dealing made or entered into on behalf of the association or in which it is directly or indirectly interested to or with any Trustee or officer hereunder, or to or with any firm, corporation, trust or association in which any such Trustee or officer is interested and no such sale, contract, arrangement or other dealing in which any such Trustee or officer is in any other way directly or indirectly interested shall be voidable either by the Trustees or by the Shareholders, nor shall any such Trustee or officer so interested be liable to account either to the Trustees or to the Shareholders for any profit or benefit arising from any such sale, contract, arrangement or other dealing.  

DURATION, TERMINATION AND AMENDMENTS

(37)  Unless sooner terminated as provided in Article (39), the trust hereby created shall continue without limitation of time in such manner that the Trustees shall have all the powers and discretions expressed to be given to them by these presents, and that no Shareholder shall be entitled to put an end to the same or to require a division of the trust estate or any part thereof; provided, however, that if any statute or rule of law of the Commonwealth of Massachusetts shall require that lives in being must be used to determine the maximum period for which the trust hereby created may endure, then the trust hereby created shall terminate upon the expiration of twenty (20) years from the death of the last survivor of the following persons:  Allen Abercrombie

25

and Alice Abercrombie, children of Fred C. Abercrombie of Turners Falls, Massachusetts, Rachael Brown, Deborah Brown and Letitia Brown, children of Howard W. Brown of Brookline, Massachusetts, Gertrude Peabody, Anne P. Peabody, Katharine Peabody and Cora W. Peabody, children of W. Rodman Peabody of Milton, Massachusetts, Edward D. Rowley, Charles F. Rowley, Jr. and Francis H. Rowley, children of Charles F. Rowley of Brookline, Massachusetts, and Charles M. Storey, Jr., Anderson Storey, Susan J. Storey and Gertrude Storey, children of Charles M. Storey of Boston, Massachusetts.  

(38)  The death of a Shareholder or a Trustee or the dissolution of a Shareholder (if a corporation) during the continuance of the trust hereby created shall not operate to terminate the same nor shall it entitle the legal representatives of any such Shareholder or Trustee to an accounting or to take any action in the courts or otherwise.  

(39)  The trust hereby created may be terminated at any time and any of the terms, powers, and provisions herein contained may be altered, amended, added to, or rescinded at any time by the affirmative vote of at least two-thirds (2/3) of the Trustees but any such termination or alteration, amendment, addition or rescission before becoming effective shall be approved either by the affirmative vote or the consent thereto in writing of the holders of two-thirds (2/3) of all shares previously issued and then outstanding of such class or classes as have general voting power; provided however that no alteration, amendment, addition or rescission adversely affecting the preferences or priorities of any preferred shares then outstanding shall become effective without the affirmative vote or the consent in writing, if such consent be provided for, of the holders of at least two-thirds (2/3) of the preferred shares the preferences or priorities of which are so affected.  

(40)  In case these trusts shall be terminated or any of the terms, powers and provisions herein contained shall be altered, amended, added to or rescinded pursuant to the provisions of Article (39), a certificate in any number of counterparts deemed desirable, setting forth such termination, alteration, amendment, addition or rescission and that the Trustees and the Shareholders have authorized the same in accordance with the provisions of said Article (39), shall be signed by the Trustees or a majority of them, and by the Secretary, and shall be acknowledged by one of the Trustees and the Trustees shall cause counterparts thereof to be recorded or filed in the various registries of deeds, if any, in which this declaration of trust is then recorded and at the principal office of the association and in such other places as may be required by law.  

(41)  Upon the termination of the trust hereby created either by the aforesaid limitation contained in Article (37) or as provided in Article (39) the Trustees shall forthwith sell and convert into cash in the manner and with the powers hereinbefore set forth, all property belonging to the trust estate except such stocks, bonds or obligations as they may determine to distribute in kind as hereinafter provided and shall thereupon distribute the entire trust estate as it then exists to and among the Shareholders by giving to the holders of preferred shares of any class or classes then outstanding such preferences and priorities and such amounts per share as they may be entitled to respectively and by dividing the remaining assets, share for share, among the holders of the common shares and of the shares of any other class or classes which may be entitled to such distribution in such manner that each such holder shall receive the same amount per share as every other such holder, and in making such distribution the Trustees shall have full power to pay and deliver to the Shareholders or any of them either money or such stocks, bonds or obligations as the Trustees may see fit so to distribute, or partly money and partly such stocks, bonds or obligations,

26

and in this connection to place such valuation as they may deem proper upon all stocks, bonds or obligations so distributed.  

GENERAL PROVISIONS

(42)  Whenever the Trustees see fit, they may authorize that the signature of any Trustee or of any officer, agent, or representative elected or appointed by the Trustees be facsimile and that the seal of the association, if any be adopted by the Trustees, be facsimile.  

(43)  Except when the context otherwise requires, any expression used herein in the conjunctive or the disjunctive shall include both the conjunctive and the disjunctive, and any expression in the singular or the plural shall include both the singular and the plural.  

(44)  The headings of different parts of these presents are inserted merely for convenience of reference, and are not to be taken as any part of these presents or to control or affect the meaning, construction or effect of the same.  

(45)  This instrument is executed by the Trustees and delivered in the Commonwealth of Massachusetts, and with reference to the laws thereof, and the rights of all parties and the construction and effect of every provision hereof shall be subject to and construed according to the laws of said Commonwealth.  

(46)  Amendments to the trust hereby created shall not be held or construed to invalidate in any manner anything done hereunder pursuant to the terms hereof prior to the effective date of any such amendment.  

IN WITNESS WHEREOF we have hereunto set our hands and seals at Boston in the Commonwealth of Massachusetts, on or as of the fifteenth day of January, in the year nineteen hundred and twentyseven, which date shall be the formal date hereof and may be used in all references hereto, this being one of six counterparts or original copies hereof, all executed in the same manner and at the same time and constituting together one and the same instrument.  

GEORGE W. LAWRENCE

(Seal)

CHARLES WALCOTT

(Seal)

ALVAH CROCKER

(Seal)

MOSES WILLIAMS

(Seal)

W. RODMAN PEABODY

(Seal)

CHARLES STETSON

(Seal)

ALFRED L. RIPLEY

(Seal)

J. PRESTON RICE

(Seal)

CHARLES W. HAZELTON

(Seal)

SAMUEL FERGUSON

(Seal)

ARTHUR W. WOOD

(Seal)

JONATHAN BULKLEY

(Seal)

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EX-12

Eversource Energy and Subsidiaries																Exhibit 12
Ratio of Earnings to Fixed Charges
(Unaudited)
	Three Months Ended March 31, 2017
				For the Years Ended December 31,
(Thousands of Dollars)				2016			2015			2014			2013			2012 (a)
Earnings, as defined:
Net income	$	261,338		$	949,821		$	886,004		$	827,065		$	793,689		$	533,077
Income tax expense	157,829			554,997			539,967			468,297			426,941			274,926
Equity in earnings of equity investees	(4,566		)	(243		)	(883		)	(1,044		)	(1,318		)	(1,154		)
Dividends received from equity investees	4,824			120			—			—			582			733
Fixed charges, as below	110,124			429,406			397,392			386,451			362,403			353,616
Less: Interest capitalized (including AFUDC)	(2,281		)	(10,791		)	(7,221		)	(5,766		)	(4,062		)	(5,261		)
Preferred dividend security requirements   of consolidated subsidiaries (pre-tax)	(3,133		)	(12,532		)	(12,532		)	(12,532		)	(12,803		)	(11,715		)
Total earnings, as defined	$	524,135		$	1,910,778		$	1,802,727		$	1,662,471		$	1,565,432		$	1,144,222
Fixed charges, as defined:
Interest Expense	$	103,429		$	400,961		$	372,420		$	362,106		$	338,699		$	329,945
Rental interest factor	1,281			5,122			5,219			6,047			6,839			6,695
Preferred dividend security requirements   of consolidated subsidiaries (pre-tax)	3,133			12,532			12,532			12,532			12,803			11,715
Interest capitalized (including AFUDC)	2,281			10,791			7,221			5,766			4,062			5,261
Total fixed charges, as defined	$	110,124		$	429,406		$	397,392		$	386,451		$	362,403		$	353,616
Ratio of Earnings to Fixed Charges	4.76			4.45			4.54			4.30			4.32			3.24
(a) NSTAR amounts were included in Eversource beginning April 10, 2012.

EX-31

Exhibit 31

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, James J. Judge, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Eversource Energy (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	James J. Judge
	James J. Judge
	Chairman, President and Chief Executive Officer
	(Principal Executive Officer)

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Philip J. Lembo, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Eversource Energy (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with this Quarterly Report on Form 10-Q of Eversource Energy (the registrant) for the period ending March 31, 2017 as filed with the Securities and Exchange Commission (the Report), we, James J. Judge, Chairman, President and Chief Executive Officer of the registrant, and Philip J. Lembo, Executive Vice President and Chief Financial Officer of the registrant, certify, pursuant to 18 U.S.C. Sec. 1350, as adopted pursuant to Sec. 906 of the Sarbanes-Oxley Act of 2002, that:

1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrant.

/s/	James J. Judge
	James J. Judge
	Chairman, President and Chief Executive Officer

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer

Date:  May 5, 2017

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the registrant and will be retained by the registrant and furnished to the Securities and Exchange Commission or its staff upon request.

EX-12

The Connecticut Light and Power Company																Exhibit 12
Ratio of Earnings to Fixed Charges
(Unaudited)
	Three Months Ended March 31, 2017
				For the Years Ended December 31,
(Thousands of Dollars)				2016			2015			2014			2013			2012
Earnings, as defined:
Net income	$	90,208		$	334,254		$	299,360		$	287,754		$	279,412		$	209,725
Income tax expense	53,606			208,308			177,396			133,451			141,663			94,437
Equity in earnings of equity investees	(9		)	(61		)	(31		)	(32		)	(67		)	(40		)
Dividends received from equity investees	—			60			—			—			289			—
Fixed charges, as below	37,143			152,635			153,751			152,513			139,929			139,982
Less: Interest capitalized (including AFUDC)	(877		)	(3,319		)	(2,630		)	(1,867		)	(2,249		)	(2,456		)
Total earnings, as defined	$	180,071		$	691,877		$	627,846		$	571,819		$	558,977		$	441,648
Fixed charges, as defined:
Interest Expense	$	34,964		$	144,110		$	145,795		$	147,421		$	133,650		$	133,127
Rental interest factor	1,302			5,206			5,326			3,225			4,030			4,399
Interest capitalized (including AFUDC)	877			3,319			2,630			1,867			2,249			2,456
Total fixed charges, as defined	$	37,143		$	152,635		$	153,751		$	152,513		$	139,929		$	139,982
Ratio of Earnings to Fixed Charges	4.85			4.53			4.08			3.75			3.99			3.16

EX-31

Exhibit 31

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, James J. Judge, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of The Connecticut Light and Power Company (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	James J. Judge
	James J. Judge
	Chairman
	(Principal Executive Officer)

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Philip J. Lembo, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of The Connecticut Light and Power Company (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with this Quarterly Report on Form 10-Q of The Connecticut Light and Power Company (the registrant) for the period ending March 31, 2017 as filed with the Securities and Exchange Commission (the Report), we, James J. Judge, Chairman of the registrant, and Philip J. Lembo, Executive Vice President and Chief Financial Officer of the registrant, certify, pursuant to 18 U.S.C. Sec. 1350, as adopted pursuant to Sec. 906 of the Sarbanes-Oxley Act of 2002, that:

1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrant.

/s/	James J. Judge
	James J. Judge
	Chairman

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer

Date:  May 5, 2017

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the registrant and will be retained by the registrant and furnished to the Securities and Exchange Commission or its staff upon request.

EX-12

NSTAR Electric Company and Subsidiary																Exhibit 12
Ratio of Earnings to Fixed Charges
(Unaudited)
	Three Months Ended March 31, 2017
				For the Years Ended December 31,
(Thousands of Dollars)				2016			2015			2014			2013			2012
Earnings, as defined:
Net income	$	66,162		$	292,705		$	344,542		$	303,088		$	268,546		$	190,242
Income tax expense	42,495			187,767			228,044			201,981			172,866			123,966
Equity in earnings of equity investees	(61		)	(309		)	(343		)	(408		)	(550		)	(412		)
Dividends received from equity investees	—			20			—			—			344			286
Fixed charges, as below	23,621			91,766			80,536			82,503			73,115			72,364
Less: Interest capitalized (including AFUDC)	(810		)	(4,634		)	(1,980		)	(2,027		)	(511		)	(259		)
Total earnings, as defined	$	131,407		$	567,315		$	650,799		$	585,137		$	513,810		$	386,187
Fixed charges, as defined:
Interest Expense	$	22,029		$	84,005		$	75,347		$	77,878		$	70,383		$	70,054
Rental interest factor	782			3,127			3,209			2,598			2,221			2,051
Interest capitalized (including AFUDC)	810			4,634			1,980			2,027			511			259
Total fixed charges, as defined	$	23,621		$	91,766		$	80,536		$	82,503		$	73,115		$	72,364
Ratio of Earnings to Fixed Charges	5.56			6.18			8.08			7.09			7.03			5.34

EX-31

Exhibit 31

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, James J. Judge, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of NSTAR Electric Company (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	James J. Judge
	James J. Judge
	Chairman
	(Principal Executive Officer)

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Philip J. Lembo, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of NSTAR Electric Company (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with this Quarterly Report on Form 10-Q of NSTAR Electric Company (the registrant) for the period ending March 31, 2017 as filed with the Securities and Exchange Commission (the Report), we, James J. Judge, Chairman of the registrant, and Philip J. Lembo, Executive Vice President and Chief Financial Officer of the registrant, certify, pursuant to 18 U.S.C. Sec. 1350, as adopted pursuant to Sec. 906 of the Sarbanes-Oxley Act of 2002, that:

1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrant.

/s/	James J. Judge
	James J. Judge
	Chairman

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer

Date:  May 5, 2017

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the registrant and will be retained by the registrant and furnished to the Securities and Exchange Commission or its staff upon request.

EX-12

Public Service Company of New Hampshire and Subsidiary																Exhibit 12
Ratio of Earnings to Fixed Charges
(Unaudited)
	Three Months Ended March 31, 2017
				For the Years Ended December 31,
(Thousands of Dollars)				2016			2015			2014			2013			2012
Earnings, as defined:
Net income	$	34,312		$	131,985		$	114,442		$	113,944		$	111,397		$	96,882
Income tax expense	22,330			82,364			73,060			72,135			71,101			60,993
Equity in earnings of equity investees	(2		)	(15		)	(8		)	(8		)	(12		)	(8		)
Dividends received from equity investees	—			25			—			—			42			—
Fixed charges, as below	13,212			51,843			47,949			46,530			47,318			52,769
Less: Interest capitalized (including AFUDC)	(150		)	(787		)	(994		)	(640		)	(500		)	(1,579		)
Total earnings, as defined	$	69,702		$	265,415		$	234,449		$	231,961		$	229,346		$	209,057
Fixed charges, as defined:
Interest Expense	$	12,808		$	50,040		$	45,990		$	45,349		$	46,176		$	50,228
Rental interest factor	254			1,016			965			541			642			962
Interest capitalized (including AFUDC)	150			787			994			640			500			1,579
Total fixed charges, as defined	$	13,212		$	51,843		$	47,949		$	46,530		$	47,318		$	52,769
Ratio of Earnings to Fixed Charges	5.28			5.12			4.89			4.99			4.85			3.96

EX-31

Exhibit 31

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, James J. Judge, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Public Service Company of New Hampshire (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	James J. Judge
	James J. Judge
	Chairman
	(Principal Executive Officer)

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Philip J. Lembo, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Public Service Company of New Hampshire (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with this Quarterly Report on Form 10-Q of Public Service Company of New Hampshire (the registrant) for the period ending March 31, 2017 as filed with the Securities and Exchange Commission (the Report), we, James J. Judge, Chairman of the registrant, and Philip J. Lembo, Executive Vice President and Chief Financial Officer of the registrant, certify, pursuant to 18 U.S.C. Sec. 1350, as adopted pursuant to Sec. 906 of the Sarbanes-Oxley Act of 2002, that:

1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrant.

/s/	James J. Judge
	James J. Judge
	Chairman

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer

Date:  May 5, 2017

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the registrant and will be retained by the registrant and furnished to the Securities and Exchange Commission or its staff upon request.

EX-12

Western Massachusetts Electric Company																Exhibit 12
Ratio of Earnings to Fixed Charges
(Unaudited)
	Three Months Ended March 31, 2017
				For the Years Ended December 31,
(Thousands of Dollars)				2016			2015			2014			2013			2012
Earnings, as defined:
Net income	$	17,218		$	58,072		$	56,506		$	57,819		$	60,438		$	54,503
Income tax expense	10,775			38,022			36,970			37,268			37,368			32,140
Equity in earnings of equity investees	(2		)	(16		)	(8		)	(8		)	(18		)	(11		)
Dividends received from equity investees	—			15			—			—			80			—
Fixed charges, as below	6,596			25,776			26,553			26,202			26,316			28,162
Less: Interest capitalized (including AFUDC)	(170		)	(644		)	(1,042		)	(864		)	(498		)	(534		)
Total earnings, as defined	$	34,417		$	121,225		$	118,979		$	120,417		$	123,686		$	114,260
Fixed charges, as defined:
Interest Expense	$	6,249		$	24,425		$	24,792		$	24,931		$	24,851		$	26,634
Rental interest factor	177			707			719			407			967			994
Interest capitalized (including AFUDC)	170			644			1,042			864			498			534
Total fixed charges, as defined	$	6,596		$	25,776		$	26,553		$	26,202		$	26,316		$	28,162
Ratio of Earnings to Fixed Charges	5.22			4.70			4.48			4.60			4.70			4.06

EX-31

Exhibit 31

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, James J. Judge, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Western Massachusetts Electric Company (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	James J. Judge
	James J. Judge
	Chairman
	(Principal Executive Officer)

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Philip J. Lembo, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Western Massachusetts Electric Company (the registrant);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:  May 5, 2017

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with this Quarterly Report on Form 10-Q of Western Massachusetts Electric Company (the registrant) for the period ending March 31, 2017 as filed with the Securities and Exchange Commission (the Report), we, James J. Judge, Chairman of the registrant, and Philip J. Lembo, Executive Vice President and Chief Financial Officer of the registrant, certify, pursuant to 18 U.S.C. Sec. 1350, as adopted pursuant to Sec. 906 of the Sarbanes-Oxley Act of 2002, that:

1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the registrant.

/s/	James J. Judge
	James J. Judge
	Chairman

/s/	Philip J. Lembo
	Philip J. Lembo
	Executive Vice President and Chief Financial Officer

Date:  May 5, 2017

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the registrant and will be retained by the registrant and furnished to the Securities and Exchange Commission or its staff upon request.

XML

DOCUMENT AND ENTITY INFORMATION - shares	3 Months Ended
	Mar. 31, 2017	Apr. 30, 2017
Document And Entity [Line Items]
Entity Registrant Name	Eversource Energy
Entity Central Index Key	0000072741
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q1
Amendment Flag	false
Trading Symbol	ES
Entity Common Stock, Shares Outstanding (in shares)		316,885,808
The Connecticut Light And Power Company [Member]
Document And Entity [Line Items]
Entity Registrant Name	The Connecticut Light and Power Company
Entity Central Index Key	0000023426
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding (in shares)		6,035,205
Public Service Company Of New Hampshire [Member]
Document And Entity [Line Items]
Entity Registrant Name	Public Service Company of New Hampshire
Entity Central Index Key	0000315256
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding (in shares)		301
Western Massachusetts Electric Company [Member]
Document And Entity [Line Items]
Entity Registrant Name	Western Massachusetts Electric Company
Entity Central Index Key	0000106170
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding (in shares)		434,653
NSTAR Electric Company [Member]
Document And Entity [Line Items]
Entity Registrant Name	NSTAR Electric Company
Entity Central Index Key	0000013372
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding (in shares)		100

XML

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Current Assets:
Cash and Cash Equivalents	$ 45,763	$ 30,251
Receivables, Net	879,451	847,301
Unbilled Revenues	166,710	168,490
Fuel, Materials, Supplies and Inventory	361,779	328,721
Regulatory Assets	875,037	887,625
Prepayments and Other Current Assets	182,659	215,284
Total Current Assets	2,511,399	2,477,672
Property, Plant and Equipment, Net	21,641,898	21,350,510
Deferred Debits and Other Assets:
Regulatory Assets	3,564,700	3,638,688
Goodwill	3,519,401	3,519,401
Marketable Securities	561,585	544,642
Other Long-Term Assets	556,193	522,260
Total Deferred Debits and Other Assets	8,201,879	8,224,991
Total Assets	32,355,176	32,053,173
Current Liabilities:
Notes Payable	975,500	1,148,500
Long-Term Debt – Current Portion	773,883	773,883
Accounts Payable	745,856	884,521
Regulatory Liabilities	199,160	146,787
Other Current Liabilities	639,366	684,914
Total Current Liabilities	3,333,765	3,638,605
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	5,758,603	5,607,207
Regulatory Liabilities	692,989	702,255
Derivative Liabilities	415,795	413,676
Accrued Pension and SERP	1,077,593	1,141,514
Other Long-Term Liabilities	848,776	853,260
Total Deferred Credits and Other Liabilities	8,793,756	8,717,912
Capitalization:
Long-Term Debt	9,267,891	8,829,354
Noncontrolling Interest - Preferred Stock of Subsidiaries	155,568	155,568
Common Shareholders' Equity:
Common Shares	1,669,392	1,669,392
Capital Surplus, Paid In	6,230,608	6,250,224
Retained Earnings	3,284,108	3,175,171
Accumulated Other Comprehensive Loss	(62,141)	(65,282)
Treasury Stock	(317,771)	(317,771)
Common Stockholder's Equity	10,804,196	10,711,734
Total Capitalization	20,227,655	19,696,656
Total Liabilities and Capitalization	32,355,176	32,053,173
The Connecticut Light And Power Company [Member]
Current Assets:
Cash and Cash Equivalents	15,315	6,579
Receivables, Net	349,714	359,132
Accounts Receivable from Affiliated Companies	17,184	16,851
Unbilled Revenues	51,069	50,373
Materials, Supplies and Inventory	56,432	52,050
Regulatory Assets	370,083	335,526
Prepayments and Other Current Assets	52,406	52,670
Total Current Assets	912,203	873,181
Property, Plant and Equipment, Net	7,754,894	7,632,392
Deferred Debits and Other Assets:
Regulatory Assets	1,367,486	1,391,564
Other Long-Term Assets	140,157	137,907
Total Deferred Debits and Other Assets	1,507,643	1,529,471
Total Assets	10,174,740	10,035,044
Current Liabilities:
Notes Payable to Eversource Parent	3,400	80,100
Long-Term Debt – Current Portion	100,000	250,000
Accounts Payable	281,414	289,532
Accounts Payable to Affiliated Companies	67,250	88,075
Obligations to Third Party Suppliers	51,885	55,520
Regulatory Liabilities	58,946	47,055
Derivative Liabilities	70,739	77,765
Other Current Liabilities	127,869	120,399
Total Current Liabilities	761,503	1,008,446
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	2,037,638	1,987,661
Regulatory Liabilities	101,241	100,138
Derivative Liabilities	415,187	412,750
Accrued Pension and SERP	296,105	300,208
Other Long-Term Liabilities	123,931	123,244
Total Deferred Credits and Other Liabilities	2,974,102	2,924,001
Capitalization:
Long-Term Debt	2,813,151	2,516,010
Noncontrolling Interest - Preferred Stock of Subsidiaries	116,200	116,200
Common Shareholders' Equity:
Common Shares	60,352	60,352
Capital Surplus, Paid In	2,110,726	2,110,714
Retained Earnings	1,338,592	1,299,374
Accumulated Other Comprehensive Loss	114	(53)
Common Stockholder's Equity	3,509,784	3,470,387
Total Capitalization	6,439,135	6,102,597
Total Liabilities and Capitalization	10,174,740	10,035,044
NSTAR Electric Company [Member]
Current Assets:
Cash and Cash Equivalents	2,448	3,494
Receivables, Net	264,337	257,557
Accounts Receivable from Affiliated Companies	4,565	8,581
Unbilled Revenues	28,393	31,632
Taxes Receivable	2,884	39,738
Fuel, Materials, Supplies and Inventory	94,338	62,288
Regulatory Assets	276,476	289,400
Prepayments and Other Current Assets	17,109	14,906
Total Current Assets	690,550	707,596
Property, Plant and Equipment, Net	6,108,944	6,051,835
Deferred Debits and Other Assets:
Regulatory Assets	1,051,090	1,057,746
Prepaid PBOP	100,609	95,073
Other Long-Term Assets	63,371	60,572
Total Deferred Debits and Other Assets	1,215,070	1,213,391
Total Assets	8,014,564	7,972,822
Current Liabilities:
Notes Payable	174,500	126,500
Long-Term Debt – Current Portion	400,000	400,000
Accounts Payable	177,110	232,599
Accounts Payable to Affiliated Companies	96,924	91,532
Obligations to Third Party Suppliers	60,650	55,863
Renewable Portfolio Standards Compliance Obligations	94,800	75,571
Regulatory Liabilities	62,154	63,653
Other Current Liabilities	54,166	71,122
Total Current Liabilities	1,120,304	1,116,840
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	1,866,259	1,836,292
Regulatory Liabilities	390,458	391,823
Accrued Pension and SERP	99,491	111,827
Other Long-Term Liabilities	125,640	123,194
Total Deferred Credits and Other Liabilities	2,481,848	2,463,136
Capitalization:
Long-Term Debt	1,678,514	1,678,116
Noncontrolling Interest - Preferred Stock of Subsidiaries	43,000	43,000
Common Shareholders' Equity:
Common Shares	0	0
Capital Surplus, Paid In	1,045,378	1,045,378
Retained Earnings	1,645,156	1,625,984
Accumulated Other Comprehensive Loss	364	368
Common Stockholder's Equity	2,690,898	2,671,730
Total Capitalization	4,412,412	4,392,846
Total Liabilities and Capitalization	8,014,564	7,972,822
Public Service Company Of New Hampshire [Member]
Current Assets:
Cash and Cash Equivalents	7,743	4,646
Receivables, Net	81,899	84,450
Accounts Receivable from Affiliated Companies	2,098	4,185
Unbilled Revenues	42,784	41,004
Fuel, Materials, Supplies and Inventory	165,725	162,354
Regulatory Assets	111,274	117,240
Prepayments and Other Current Assets	9,423	28,908
Total Current Assets	420,946	442,787
Property, Plant and Equipment, Net	3,076,608	3,039,313
Deferred Debits and Other Assets:
Regulatory Assets	243,643	245,525
Other Long-Term Assets	42,797	37,720
Total Deferred Debits and Other Assets	286,440	283,245
Total Assets	3,783,994	3,765,345
Current Liabilities:
Notes Payable to Eversource Parent	144,900	160,900
Long-Term Debt – Current Portion	70,000	70,000
Accounts Payable	70,710	85,716
Accounts Payable to Affiliated Companies	40,463	29,154
Regulatory Liabilities	17,224	12,659
Other Current Liabilities	52,771	43,253
Total Current Liabilities	396,068	401,682
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	796,118	785,385
Regulatory Liabilities	45,600	44,779
Accrued Pension and SERP	91,911	94,652
Other Long-Term Liabilities	48,435	49,442
Total Deferred Credits and Other Liabilities	982,064	974,258
Capitalization:
Long-Term Debt	1,002,305	1,002,048
Common Shareholders' Equity:
Common Shares	0	0
Capital Surplus, Paid In	843,134	843,134
Retained Earnings	565,098	549,286
Accumulated Other Comprehensive Loss	(4,675)	(5,063)
Common Stockholder's Equity	1,403,557	1,387,357
Total Capitalization	2,405,862	2,389,405
Total Liabilities and Capitalization	3,783,994	3,765,345
Western Massachusetts Electric Company [Member]
Current Assets:
Cash and Cash Equivalents	769	0
Receivables, Net	57,340	54,940
Accounts Receivable from Affiliated Companies	16,588	14,425
Unbilled Revenues	16,850	15,329
Fuel, Materials, Supplies and Inventory	9,911	8,618
Regulatory Assets	66,033	64,123
Prepayments and Other Current Assets	3,365	2,595
Total Current Assets	170,856	160,030
Property, Plant and Equipment, Net	1,694,818	1,678,262
Deferred Debits and Other Assets:
Regulatory Assets	123,317	127,291
Other Long-Term Assets	31,171	29,062
Total Deferred Debits and Other Assets	154,488	156,353
Total Assets	2,020,162	1,994,645
Current Liabilities:
Notes Payable to Eversource Parent	71,400	51,000
Accounts Payable	44,023	56,036
Accounts Payable to Affiliated Companies	14,837	19,478
Obligations to Third Party Suppliers	9,705	10,508
Renewable Portfolio Standards Compliance Obligations	25,110	20,383
Regulatory Liabilities	12,897	14,888
Other Current Liabilities	7,659	14,984
Total Current Liabilities	185,631	187,277
Deferred Credits and Other Liabilities:
Accumulated Deferred Income Taxes	507,203	490,793
Regulatory Liabilities	19,119	17,227
Accrued Pension and SERP	18,660	20,390
Other Long-Term Liabilities	44,177	41,308
Total Deferred Credits and Other Liabilities	589,159	569,718
Capitalization:
Long-Term Debt	566,415	566,536
Common Shareholders' Equity:
Common Shares	10,866	10,866
Capital Surplus, Paid In	444,398	444,398
Retained Earnings	225,930	218,212
Accumulated Other Comprehensive Loss	(2,237)	(2,362)
Common Stockholder's Equity	678,957	671,114
Total Capitalization	1,245,372	1,237,650
Total Liabilities and Capitalization	$ 2,020,162	$ 1,994,645

XML

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Operating Revenues	$ 2,105,135	$ 2,055,635
Operating Expenses:
Purchased Power, Fuel and Transmission	753,649	754,859
Operations and Maintenance	330,265	320,136
Depreciation	186,805	173,986
Amortization of Regulatory Assets, Net	24,017	20,997
Energy Efficiency Programs	146,158	137,175
Taxes Other Than Income Taxes	155,222	159,946
Total Operating Expenses	1,596,116	1,567,099
Operating Income/(Loss)	509,019	488,536
Interest Expense	103,429	98,212
Other Income/(Loss), Net	13,577	2,011
Income Before Income Tax Expense	419,167	392,335
Income Tax Expense	157,829	146,302
Net Income	261,338	246,033
Net Income Attributable to Noncontrolling Interests	1,880	1,880
Net Income Attributable to Common Shareholders	$ 259,458	$ 244,153
Dividends Declared Per Common Share (in dollars per share)	$ 0.48	$ 0.45
Weighted Average Common Shares Outstanding:
Basic (in shares)	317,463,151	317,517,141
Diluted (in shares)	318,124,536	318,481,050
The Connecticut Light And Power Company [Member]
Operating Revenues	$ 732,310	$ 735,317
Operating Expenses:
Purchased Power, Fuel and Transmission	244,938	272,600
Operations and Maintenance	128,226	110,843
Depreciation	59,751	56,969
Amortization of Regulatory Assets, Net	12,803	9,878
Energy Efficiency Programs	36,591	38,090
Taxes Other Than Income Taxes	73,979	75,465
Total Operating Expenses	556,288	563,845
Operating Income/(Loss)	176,022	171,472
Interest Expense	34,964	36,498
Other Income/(Loss), Net	2,756	936
Income Before Income Tax Expense	143,814	135,910
Income Tax Expense	53,606	48,863
Net Income	90,208	87,047
NSTAR Electric Company [Member]
Operating Revenues	603,779	614,216
Operating Expenses:
Purchased Power, Fuel and Transmission	233,093	254,336
Operations and Maintenance	88,351	94,696
Depreciation	55,216	51,886
Amortization of Regulatory Assets, Net	4,977	4,683
Energy Efficiency Programs	67,312	66,243
Taxes Other Than Income Taxes	27,393	32,555
Total Operating Expenses	476,342	504,399
Operating Income/(Loss)	127,437	109,817
Interest Expense	22,029	20,889
Other Income/(Loss), Net	3,249	(334)
Income Before Income Tax Expense	108,657	88,594
Income Tax Expense	42,495	34,101
Net Income	66,162	54,493
Public Service Company Of New Hampshire [Member]
Operating Revenues	253,157	242,290
Operating Expenses:
Purchased Power, Fuel and Transmission	61,747	50,214
Operations and Maintenance	62,351	59,213
Depreciation	30,735	28,235
Amortization of Regulatory Assets, Net	5,445	8,518
Energy Efficiency Programs	3,746	3,620
Taxes Other Than Income Taxes	20,881	21,795
Total Operating Expenses	184,905	171,595
Operating Income/(Loss)	68,252	70,695
Interest Expense	12,808	12,461
Other Income/(Loss), Net	1,198	150
Income Before Income Tax Expense	56,642	58,384
Income Tax Expense	22,330	22,326
Net Income	34,312	36,058
Western Massachusetts Electric Company [Member]
Operating Revenues	130,136	128,095
Operating Expenses:
Purchased Power, Fuel and Transmission	40,867	39,563
Operations and Maintenance	22,498	21,805
Depreciation	12,002	11,371
Amortization of Regulatory Asset (Liability)	(488)	1,212
Energy Efficiency Programs	10,664	10,856
Taxes Other Than Income Taxes	10,428	10,232
Total Operating Expenses	95,971	95,039
Operating Income/(Loss)	34,165	33,056
Interest Expense	6,249	6,004
Other Income/(Loss), Net	77	(149)
Income Before Income Tax Expense	27,993	26,903
Income Tax Expense	10,775	10,076
Net Income	$ 17,218	$ 16,827

XML

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Net Income	$ 261,338	$ 246,033
Other Comprehensive (Loss)/Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	534	534
Changes in Unrealized Gains/(Losses) on Marketable Securities	1,645	264
Changes in Funded Status of Pension, SERP and PBOP Benefit Plans	962	871
Net OCI	3,141	1,669
Comprehensive Income Attributable to Noncontrolling Interests	(1,880)	(1,880)
Comprehensive Income Attributable to Common Shareholders	262,599	245,822
The Connecticut Light And Power Company [Member]
Net Income	90,208	87,047
Other Comprehensive (Loss)/Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	111	111
Changes in Unrealized Gains/(Losses) on Marketable Securities	56	9
Net OCI	167	120
Comprehensive Income Attributable to Common Shareholders	90,375	87,167
NSTAR Electric Company [Member]
Net Income	66,162	54,493
Other Comprehensive (Loss)/Income, Net of Tax:
Changes in Funded Status of Pension, SERP and PBOP Benefit Plans	(4)	(10)
Net OCI	(4)	(10)
Comprehensive Income Attributable to Common Shareholders	66,158	54,483
Public Service Company Of New Hampshire [Member]
Net Income	34,312	36,058
Other Comprehensive (Loss)/Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	291	290
Changes in Unrealized Gains/(Losses) on Marketable Securities	97	16
Net OCI	388	306
Comprehensive Income Attributable to Common Shareholders	34,700	36,364
Western Massachusetts Electric Company [Member]
Net Income	17,218	16,827
Other Comprehensive (Loss)/Income, Net of Tax:
Qualified Cash Flow Hedging Instruments	109	109
Changes in Unrealized Gains/(Losses) on Marketable Securities	16	3
Net OCI	125	112
Comprehensive Income Attributable to Common Shareholders	$ 17,343	$ 16,939

XML

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Operating Activities:
Net Income	$ 261,338	$ 246,033
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	186,805	173,986
Deferred Income Taxes	141,398	141,132
Pension, SERP and PBOP Expense, Net	5,828	11,583
Pension and PBOP Contributions	(45,700)	(30,383)
Regulatory Over/(Under) Recoveries, Net	56,734	(82,772)
Amortization of Regulatory Assets, Net	24,017	20,997
Other	(42,428)	(16,532)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(50,251)	(133,965)
Fuel, Materials, Supplies and Inventory	(33,058)	(22,748)
Taxes Receivable/Accrued, Net	32,313	279,106
Accounts Payable	(57,701)	(76,317)
Other Current Assets and Liabilities, Net	(42,793)	(10,156)
Net Cash Flows Provided by Operating Activities	436,502	499,964
Investing Activities:
Investments in Property, Plant and Equipment	(523,560)	(431,472)
Proceeds from Sales of Marketable Securities	154,772	136,805
Purchases of Marketable Securities	(149,688)	(135,427)
Other Investing Activities	(11,281)	5,494
Net Cash Flows Used in Investing Activities	(529,757)	(424,600)
Financing Activities:
Cash Dividends on Common Shares	(150,521)	(141,157)
Cash Dividends on Preferred Stock	(1,880)	(1,880)
Decrease in Notes Payable	(173,000)	(391,453)
Issuance of Long-Term Debt	600,000	500,000
Retirements of Long-Term Debt	(150,000)	0
Other Financing Activities	(15,832)	(13,855)
Net Cash Flows Provided by/(Used in) Financing Activities	108,767	(48,345)
Net Increase in Cash and Cash Equivalents	15,512	27,019
Cash and Cash Equivalents - Beginning of Period	30,251	23,947
Cash and Cash Equivalents - End of Period	45,763	50,966
The Connecticut Light And Power Company [Member]
Operating Activities:
Net Income	90,208	87,047
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	59,751	56,969
Deferred Income Taxes	47,864	58,363
Regulatory Over/(Under) Recoveries, Net	(18,734)	(70,195)
Amortization of Regulatory Assets, Net	12,803	9,878
Other	(2,373)	2,216
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(1,280)	(37,501)
Taxes Receivable/Accrued, Net	32,920	141,951
Accounts Payable	(16,957)	(5,040)
Other Current Assets and Liabilities, Net	(32,576)	(22,533)
Net Cash Flows Provided by Operating Activities	171,626	221,155
Investing Activities:
Investments in Property, Plant and Equipment	(181,601)	(147,131)
Proceeds from the Sale of Property, Plant and Equipment	0	9,047
Other Investing Activities	32	49
Net Cash Flows Used in Investing Activities	(181,569)	(138,035)
Financing Activities:
Cash Dividends on Common Shares	(49,600)	(49,900)
Capital Contributions from Eversource Parent	0	145,700
Cash Dividends on Preferred Stock	(1,390)	(1,390)
Decrease in Notes Payable to Eversource Parent	(76,700)	(161,900)
Issuance of Long-Term Debt	300,000	0
Retirements of Long-Term Debt	(150,000)	0
Other Financing Activities	(3,631)	(205)
Net Cash Flows Provided by/(Used in) Financing Activities	18,679	(67,695)
Net Increase in Cash and Cash Equivalents	8,736	15,425
Cash and Cash Equivalents - Beginning of Period	6,579	1,057
Cash and Cash Equivalents - End of Period	15,315	16,482
NSTAR Electric Company [Member]
Operating Activities:
Net Income	66,162	54,493
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	55,216	51,886
Deferred Income Taxes	29,199	32,878
Pension and PBOP Contributions, Net of Pension, SERP and PBOP Expense	(10,422)	(12,953)
Regulatory Over/(Under) Recoveries, Net	4,373	(16,746)
Amortization of Regulatory Assets, Net	4,977	4,683
Other	(3,691)	(3,245)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(2,376)	(29,132)
Fuel, Materials, Supplies and Inventory	(32,050)	(40,322)
Taxes Receivable/Accrued, Net	38,970	33,938
Accounts Payable	(19,025)	1,187
Other Current Assets and Liabilities, Net	2,371	19,600
Net Cash Flows Provided by Operating Activities	133,704	96,267
Investing Activities:
Investments in Property, Plant and Equipment	(132,105)	(91,319)
Other Investing Activities	(3,617)	0
Net Cash Flows Used in Investing Activities	(135,722)	(91,319)
Financing Activities:
Cash Dividends on Common Shares	(46,500)	(90,300)
Cash Dividends on Preferred Stock	(490)	(490)
Decrease in Notes Payable	48,000	86,000
Other Financing Activities	(38)	0
Net Cash Flows Provided by/(Used in) Financing Activities	972	(4,790)
Net Increase in Cash and Cash Equivalents	(1,046)	158
Cash and Cash Equivalents - Beginning of Period	3,494	3,346
Cash and Cash Equivalents - End of Period	2,448	3,504
Public Service Company Of New Hampshire [Member]
Operating Activities:
Net Income	34,312	36,058
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	30,735	28,235
Deferred Income Taxes	11,290	21,181
Regulatory Over/(Under) Recoveries, Net	3,507	(2,291)
Amortization of Regulatory Assets, Net	5,445	8,518
Other	(4,471)	(9,166)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	1,149	(17,207)
Fuel, Materials, Supplies and Inventory	(3,371)	6,903
Taxes Receivable/Accrued, Net	1,778	57,935
Accounts Payable	5,475	2,100
Other Current Assets and Liabilities, Net	27,332	24,021
Net Cash Flows Provided by Operating Activities	113,181	156,287
Investing Activities:
Investments in Property, Plant and Equipment	(75,327)	(72,338)
Other Investing Activities	(145)	84
Net Cash Flows Used in Investing Activities	(75,472)	(72,254)
Financing Activities:
Cash Dividends on Common Shares	(18,500)	(19,400)
Capital Contributions from Eversource Parent	0	11,500
Decrease in Notes Payable to Eversource Parent	(16,000)	(74,200)
Other Financing Activities	(112)	(86)
Net Cash Flows Provided by/(Used in) Financing Activities	(34,612)	(82,186)
Net Increase in Cash and Cash Equivalents	3,097	1,847
Cash and Cash Equivalents - Beginning of Period	4,646	1,733
Cash and Cash Equivalents - End of Period	7,743	3,580
Western Massachusetts Electric Company [Member]
Operating Activities:
Net Income	17,218	16,827
Adjustments to Reconcile Net Income to Net Cash Flows Provided by Operating Activities:
Depreciation	12,002	11,371
Deferred Income Taxes	16,176	9,921
Regulatory Over/(Under) Recoveries, Net	(452)	(6,100)
Amortization of Regulatory (Liabilities)/Assets, Net	(488)	1,212
Other	(326)	(541)
Changes in Current Assets and Liabilities:
Receivables and Unbilled Revenues, Net	(5,924)	2,197
Taxes Receivable/Accrued, Net	(1,404)	26,976
Accounts Payable	(10,141)	(11,011)
Other Current Assets and Liabilities, Net	(4,057)	(136)
Net Cash Flows Provided by Operating Activities	22,604	50,716
Investing Activities:
Investments in Property, Plant and Equipment	(32,744)	(39,891)
Other Investing Activities	9	13
Net Cash Flows Used in Investing Activities	(32,735)	(39,878)
Financing Activities:
Cash Dividends on Common Shares	(9,500)	(9,500)
Decrease in Notes Payable to Eversource Parent	20,400	100
Other Financing Activities	0	(3)
Net Cash Flows Provided by/(Used in) Financing Activities	10,900	(9,403)
Net Increase in Cash and Cash Equivalents	769	1,435
Cash and Cash Equivalents - Beginning of Period	0	834
Cash and Cash Equivalents - End of Period	$ 769	$ 2,269

XML

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

3 Months Ended

Mar. 31, 2017

Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A.    Basis of Presentation

Eversource Energy is a public utility holding company primarily engaged, through its wholly-owned regulated utility subsidiaries, in the energy delivery business.  Eversource Energy's wholly-owned regulated utility subsidiaries consist of CL&P, NSTAR Electric, PSNH, WMECO, Yankee Gas and NSTAR Gas.  Eversource provides energy delivery service to approximately 3.7 million electric and natural gas customers through these six regulated utilities in Connecticut, Massachusetts and New Hampshire.  

The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH include the accounts of each of their respective subsidiaries.  Intercompany transactions have been eliminated in consolidation.  The accompanying unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P and WMECO are herein collectively referred to as the "financial statements."

The combined notes to the financial statements have been prepared pursuant to the rules and regulations of the SEC.  Certain information and footnote disclosures included in annual financial statements prepared in accordance with GAAP have been omitted pursuant to such rules and regulations.  The accompanying financial statements should be read in conjunction with the Combined Notes to Financial Statements included in Item 8, "Financial Statements and Supplementary Data," of the Eversource 2016 Form 10-K, which was filed with the SEC.  The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.

The financial statements contain, in the opinion of management, all adjustments (including normal, recurring adjustments) necessary to present fairly Eversource's, CL&P's, NSTAR Electric's, PSNH's and WMECO's financial position as of March 31, 2017 and December 31, 2016, and the results of operations, comprehensive income and cash flows for the three months ended March 31, 2017 and 2016.  The results of operations, comprehensive income and cash flows for the three months ended March 31, 2017 and 2016 are not necessarily indicative of the results expected for a full year.  

Eversource consolidates CYAPC and YAEC because CL&P's, NSTAR Electric's, PSNH's and WMECO's combined ownership interest in each of these entities is greater than 50 percent.  Intercompany transactions between CL&P, NSTAR Electric, PSNH and WMECO and the CYAPC and YAEC companies have been eliminated in consolidation of the Eversource financial statements.

Eversource's utility subsidiaries' distribution (including generation assets) and transmission businesses are subject to rate-regulation that is based on cost recovery and meets the criteria for application of accounting guidance for entities with rate-regulated operations, which considers the effect of regulation on the differences in the timing of the recognition of certain revenues and expenses from those of other businesses and industries.  See Note 2, "Regulatory Accounting," for further information.

Certain reclassifications of prior period data were made in the accompanying financial statements to conform to the current period presentation.

B.    Accounting Standards

Accounting Standards Issued but Not Yet Effective:  In May 2014, the Financial Accounting Standards Board ("FASB") issued an Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, which amends existing revenue recognition guidance and is required to be applied retrospectively (either to each reporting period presented or cumulatively at the date of initial application).  The Company is evaluating the requirements and potential impacts of ASU 2014-09 and will implement the standard in the first quarter of 2018 cumulatively at the date of initial application. The guidance continues to be interpreted on an industry specific level, including the timing of recognizing revenues from billings to protected customers that may not meet the collectability threshold for revenue recognition. Therefore, while the effects of implementing the ASU on results of operations are not expected to be material, there may be changes in the timing of revenue recognition on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Liabilities, which is required to be implemented in the first quarter of 2018.  The ASU will remove the available-for-sale designation for equity securities, whereby changes in fair value are recorded in accumulated other comprehensive income within shareholders' equity, and will require changes in fair value of all equity securities to be recorded in earnings beginning on January 1, 2018, with the unrealized gain or loss on available-for-sale equity securities as of that date reclassified to retained earnings as a cumulative effect of adoption.  The fair value of available-for-sale equity securities subject to this guidance as of March 31, 2017 was approximately $49 million.  The remaining available-for-sale equity securities included in marketable securities on the balance sheet are held in nuclear decommissioning trusts and are subject to regulatory accounting treatment and will not be impacted by this guidance. Implementation of the ASU for other financial instruments is not expected to have a material impact on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

In February 2016, the FASB issued ASU 2016-02, Leases, which changes existing lease accounting guidance and is required to be applied in the first quarter of 2019, with earlier application permitted.  The ASU is required to be implemented for leases beginning on the date of initial application. For prior periods presented, leases are required to be recognized and measured using a modified retrospective approach.  The Company is reviewing the requirements of ASU 2016-02, including balance sheet recognition of leases previously deemed operating leases, and expects to implement the ASU in the first quarter of 2019.

In March 2017, the FASB issued ASU 2017-07, Compensation – Retirement Benefits: Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, required to be implemented in the first quarter of 2018. The ASU requires separate presentation of service cost from other components of net pension and PBOP costs, with the other components presented as non-operating income and not subject to capitalization. The Company is assessing the impacts of the ASU on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO, however implementation of the ASU is not expected to have a material impact on the net income of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

C.    Provision for Uncollectible Accounts

Eversource, including CL&P, NSTAR Electric, PSNH and WMECO, presents its receivables at estimated net realizable value by maintaining a provision for uncollectible accounts.  This provision is determined based upon a variety of judgments and factors, including the application of an estimated uncollectible percentage to each receivable aging category.  The estimate is based upon historical collection and write-off experience and management's assessment of collectability from customers.  Management continuously assesses the collectability of receivables and adjusts collectability estimates based on actual experience.  Receivable balances are written off against the provision for uncollectible accounts when the customer accounts are terminated and these balances are deemed to be uncollectible.

The PURA allows CL&P and Yankee Gas to accelerate the recovery of accounts receivable balances attributable to qualified customers under financial or medical duress (uncollectible hardship accounts receivable) outstanding for greater than 180 days and 90 days, respectively.  The DPU allows WMECO and NSTAR Gas also to recover in rates, amounts associated with certain uncollectible hardship accounts receivable.  Certain of NSTAR Electric's uncollectible hardship accounts receivable are expected to be recovered in future rates, similar to WMECO and NSTAR Gas. These uncollectible customer account balances are included in Regulatory Assets or Other Long-Term Assets on the balance sheets.

The total provision for uncollectible accounts and for uncollectible hardship accounts, which is included in the total provision, is included in Receivables, Net on the balance sheets, and was as follows:

	Total Provision for Uncollectible Accounts				Uncollectible Hardship
(Millions of Dollars)	As of March 31, 2017		As of December 31, 2016		As of March 31, 2017		As of December 31, 2016
Eversource	$	203.2	$	200.6	$	118.0	$	119.9
CL&P	88.7		86.4		69.8		67.7
NSTAR Electric	52.6		54.8		23.7		26.2
PSNH	10.4		9.9		—		—
WMECO	14.2		15.5		8.2		9.9

D.    Fair Value Measurements

Fair value measurement guidance is applied to derivative contracts that are not elected or designated as "normal purchases or normal sales" ("normal") and to the marketable securities held in trusts.  Fair value measurement guidance is also applied to valuations of the investments used to calculate the funded status of pension and PBOP plans, the nonrecurring fair value measurements of nonfinancial assets such as goodwill and AROs, and the estimated fair value of preferred stock and long-term debt.

Fair Value Hierarchy:  In measuring fair value, Eversource uses observable market data when available in order to minimize the use of unobservable inputs.  Inputs used in fair value measurements are categorized into three fair value hierarchy levels for disclosure purposes.  The entire fair value measurement is categorized based on the lowest level of input that is significant to the fair value measurement.  Eversource evaluates the classification of assets and liabilities measured at fair value on a quarterly basis, and Eversource's policy is to recognize transfers between levels of the fair value hierarchy as of the end of the reporting period.  The three levels of the fair value hierarchy are described below:

Level 1 - Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities as of the reporting date.  Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis.  

Level 2 - Inputs are quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs are observable.

Level 3 - Quoted market prices are not available.  Fair value is derived from valuation techniques in which one or more significant inputs or assumptions are unobservable.  Where possible, valuation techniques incorporate observable market inputs that can be validated to external sources such as industry exchanges, including prices of energy and energy-related products.  

Determination of Fair Value:  The valuation techniques and inputs used in Eversource's fair value measurements are described in Note 4, "Derivative Instruments," Note 5, "Marketable Securities," and Note 10, "Fair Value of Financial Instruments," to the financial statements.

E.    Other Income, Net

Items included within Other Income, Net on the statements of income primarily consist of investment income/(loss), interest income, AFUDC related to equity funds, and income/(loss) related to equity method investments.  Investment income/(loss) primarily relates to debt and equity securities held in trust.  For further information, see Note 5, "Marketable Securities," to the financial statements.  

F.    Other Taxes

Gross receipts taxes levied by the state of Connecticut are collected by CL&P and Yankee Gas from their respective customers.  These gross receipts taxes are shown separately with collections in Operating Revenues and with payments in Taxes Other Than Income Taxes on the statements of income as follows:

	For the Three Months Ended
(Millions of Dollars)	March 31, 2017		March 31, 2016
Eversource	$	42.2	$	42.2
CL&P	33.9		36.0

As agents for state and local governments, Eversource's companies that serve customers in Connecticut and Massachusetts collect certain sales taxes that are recorded on a net basis with no impact on the statements of income.     

G.    Supplemental Cash Flow Information

Non-cash investing activities include plant additions included in Accounts Payable as follows:

(Millions of Dollars)	As of March 31, 2017		As of March 31, 2016
Eversource	$	220.5	$	125.6
CL&P	104.2		52.6
NSTAR Electric	29.8		11.7
PSNH	28.7		26.8
WMECO	19.6		10.7

XML

REGULATORY ACCOUNTING

3 Months Ended

Mar. 31, 2017

Regulated Operations [Abstract]

REGULATORY ACCOUNTING

REGULATORY ACCOUNTING

Eversource's Regulated companies are subject to rate regulation that is based on cost recovery and meets the criteria for application of accounting guidance for rate-regulated operations, which considers the effect of regulation on the timing of the recognition of certain revenues and expenses. The Regulated companies' financial statements reflect the effects of the rate-making process.  The rates charged to the customers of Eversource's Regulated companies are designed to collect each company's costs to provide service, including a return on investment.  

Management believes it is probable that each of the Regulated companies will recover its respective investments in long-lived assets, including regulatory assets.  If management were to determine that it could no longer apply the accounting guidance applicable to rate-regulated enterprises to any of the Regulated companies' operations, or if management could not conclude it is probable that costs would be recovered from customers in future rates, the costs would be charged to net income in the period in which the determination is made.

Regulatory Assets:  The components of regulatory assets were as follows:

Eversource	As of March 31, 2017		As of December 31, 2016
(Millions of Dollars)
Benefit Costs	$	1,782.5	$	1,817.8
Derivative Liabilities	416.3		423.3
Income Taxes, Net	645.4		644.5
Storm Restoration Costs	375.8		385.3
Goodwill-related	459.3		464.4
Regulatory Tracker Mechanisms	578.9		576.6
Contractual Obligations - Yankee Companies	70.6		84.9
Other Regulatory Assets	110.9		129.5
Total Regulatory Assets	4,439.7		4,526.3
Less:  Current Portion	875.0		887.6
Total Long-Term Regulatory Assets	$	3,564.7	$	3,638.7

	As of March 31, 2017								As of December 31, 2016
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO		CL&P		NSTAR Electric		PSNH		WMECO
Benefit Costs	$	421.5	$	429.9	$	181.1	$	85.1	$	429.3	$	438.6	$	184.2	$	86.7
Derivative Liabilities	413.5		2.5		—		—		420.5		2.8		—		—
Income Taxes, Net	435.9		90.4		23.4		30.9		437.0		89.7		24.2		30.8
Storm Restoration Costs	225.1		118.5		17.0		15.2		239.8		112.5		17.1		15.9
Goodwill-related	—		394.3		—		—		—		398.7		—		—
Regulatory Tracker Mechanisms	170.5		245.9		101.8		49.1		123.9		257.3		104.5		46.7
Other Regulatory Assets	71.1		46.1		31.6		9.0		76.6		47.5		32.7		11.3
Total Regulatory Assets	1,737.6		1,327.6		354.9		189.3		1,727.1		1,347.1		362.7		191.4
Less:  Current Portion	370.1		276.5		111.3		66.0		335.5		289.4		117.2		64.1
Total Long-Term Regulatory Assets	$	1,367.5	$	1,051.1	$	243.6	$	123.3	$	1,391.6	$	1,057.7	$	245.5	$	127.3

Regulatory Costs in Other Long-Term Assets:  Eversource's Regulated companies had $91.4 million (including $5.0 million for CL&P, $33.3 million for NSTAR Electric, $12.9 million for PSNH and $22.1 million for WMECO) and $86.3 million (including $5.9 million for CL&P, $35.0 million for NSTAR Electric, $8.2 million for PSNH, and $20.1 million for WMECO) of additional regulatory costs as of March 31, 2017 and December 31, 2016, respectively, that were included in Other Long-Term Assets on the balance sheets.  These amounts represent incurred costs for which recovery has not yet been specifically approved by the applicable regulatory agency.  However, based on regulatory policies or past precedent on similar costs, management believes it is probable that these costs will ultimately be approved and recovered from customers in rates.  

Regulatory Liabilities:  The components of regulatory liabilities were as follows:

Eversource	As of March 31, 2017		As of December 31, 2016
(Millions of Dollars)
Cost of Removal	$	469.6	$	459.7
Benefit Costs	130.8		136.2
Regulatory Tracker Mechanisms	188.8		145.3
AFUDC - Transmission	65.8		65.8
Other Regulatory Liabilities	37.2		42.1
Total Regulatory Liabilities	892.2		849.1
Less:  Current Portion	199.2		146.8
Total Long-Term Regulatory Liabilities	$	693.0	$	702.3

	As of March 31, 2017								As of December 31, 2016
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO		CL&P		NSTAR Electric		PSNH		WMECO
Cost of Removal	$	42.5	$	273.3	$	44.8	$	10.6	$	38.8	$	271.6	$	44.1	$	8.6
Benefit Costs	—		109.8		—		—		—		113.1		—		—
Regulatory Tracker Mechanisms	44.5		62.2		15.0		12.7		37.2		63.7		10.7		14.7
AFUDC - Transmission	49.9		7.2		—		8.7		50.2		6.9		—		8.7
Other Regulatory Liabilities	23.2		0.2		3.0		—		21.0		0.2		2.7		0.1
Total Regulatory Liabilities	160.1		452.7		62.8		32.0		147.2		455.5		57.5		32.1
Less:  Current Portion	58.9		62.2		17.2		12.9		47.1		63.7		12.7		14.9
Total Long-Term Regulatory Liabilities	$	101.2	$	390.5	$	45.6	$	19.1	$	100.1	$	391.8	$	44.8	$	17.2

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PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION

3 Months Ended

Mar. 31, 2017

Property, Plant and Equipment [Abstract]

PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION

PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION

The following tables summarize utility property, plant and equipment by asset category:

Eversource	As of March 31, 2017			As of December 31, 2016
(Millions of Dollars)
Distribution - Electric	$	13,893.9		$	13,716.9
Distribution - Natural Gas	3,049.3			3,010.4
Transmission - Electric	8,600.1			8,517.4
Generation	1,225.6			1,224.2
Electric and Natural Gas Utility	26,768.9			26,468.9
Other (1)	585.1			591.6
Property, Plant and Equipment, Gross	27,354.0			27,060.5
Less:  Accumulated Depreciation
Electric and Natural Gas Utility	(6,607.5		)	(6,480.4		)
Other	(251.3		)	(242.0		)
Total Accumulated Depreciation	(6,858.8		)	(6,722.4		)
Property, Plant and Equipment, Net	20,495.2			20,338.1
Construction Work in Progress	1,146.7			1,012.4
Total Property, Plant and Equipment, Net	$	21,641.9		$	21,350.5

⁽¹⁾ These assets are primarily comprised of building improvements, computer software, hardware and equipment at Eversource Service.

	As of March 31, 2017												As of December 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Distribution	$	5,628.7		$	5,471.5		$	1,981.9		$	851.8		$	5,562.9		$	5,402.3		$	1,949.8		$	841.9
Transmission	3,930.1			2,462.8			1,075.5			1,083.4			3,912.9			2,435.8			1,059.3			1,061.1
Generation	—			—			1,189.6			36.0			—			—			1,188.2			36.0
Property, Plant and Equipment, Gross	9,558.8			7,934.3			4,247.0			1,971.2			9,475.8			7,838.1			4,197.3			1,939.0
Less:  Accumulated Depreciation	(2,125.4		)	(2,064.4		)	(1,277.7		)	(347.0		)	(2,082.4		)	(2,025.4		)	(1,254.7		)	(338.8		)
Property, Plant and Equipment, Net	7,433.4			5,869.9			2,969.3			1,624.2			7,393.4			5,812.7			2,942.6			1,600.2
Construction Work in Progress	321.5			239.0			107.3			70.6			239.0			239.1			96.7			78.1
Total Property, Plant and Equipment, Net	$	7,754.9		$	6,108.9		$	3,076.6		$	1,694.8		$	7,632.4		$	6,051.8		$	3,039.3		$	1,678.3

XML

DERIVATIVE INSTRUMENTS

3 Months Ended

Mar. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS

The Regulated companies purchase and procure energy and energy-related products, which are subject to price volatility, for their customers.  The costs associated with supplying energy to customers are recoverable from customers in future rates.  The Regulated companies manage the risks associated with the price volatility of energy and energy-related products through the use of derivative and non-derivative contracts.  

Many of the derivative contracts meet the definition of, and are designated as, normal and qualify for accrual accounting under the applicable accounting guidance.  The costs and benefits of derivative contracts that meet the definition of normal are recognized in Operating Expenses or Operating Revenues on the statements of income, as applicable, as electricity or natural gas is delivered.

Derivative contracts that are not designated as normal are recorded at fair value as current or long-term Derivative Assets or Derivative Liabilities on the balance sheets.  For the Regulated companies, regulatory assets or regulatory liabilities are recorded to offset the fair values of derivatives, as contract settlement amounts are recovered from, or refunded to, customers in their respective energy supply rates.  

The gross fair values of derivative assets and liabilities with the same counterparty are offset and reported as net Derivative Assets or Derivative Liabilities, with current and long-term portions, on the balance sheets.  The following table presents the gross fair values of contracts, categorized by risk type, and the net amounts recorded as current or long-term derivative assets or liabilities:

	As of March 31, 2017									As of December 31, 2016
(Millions of Dollars)	Commodity Supply and Price Risk Management			Netting (1)			Net Amount Recorded as a Derivative			Commodity Supply and Price Risk Management			Netting (1)			Net Amount Recorded as a Derivative
Current Derivative Assets:
Level 2:
Eversource	$	0.6		$	—		$	0.6		$	6.0		$	—		$	6.0
Level 3:
Eversource, CL&P	12.5			(8.6		)	3.9			13.9			(9.4		)	4.5
Long-Term Derivative Assets:
Level 2:
Eversource	$	—		$	—		$	—		$	0.3		$	(0.1	)	$	0.2
Level 3:
Eversource, CL&P	78.3			(9.8		)	68.5			77.3			(11.7		)	65.6
Current Derivative Liabilities:
Level 3:
Eversource	$	(72.9	)	$	—		$	(72.9	)	$	(79.7	)	$	—		$	(79.7	)
CL&P	(70.7		)	—			(70.7		)	(77.8		)	—			(77.8		)
NSTAR Electric	(2.2		)	—			(2.2		)	(1.9		)	—			(1.9		)
Long-Term Derivative Liabilities:
Level 2:
Eversource	$	(0.3	)	$	—		$	(0.3	)	$	—		$	—		$	—
Level 3:
Eversource	(415.5		)	—			(415.5		)	(413.7		)	—			(413.7		)
CL&P	(415.2		)	—			(415.2		)	(412.8		)	—			(412.8		)
NSTAR Electric	(0.3		)	—			(0.3		)	(0.9		)	—			(0.9		)

⁽¹⁾  Amounts represent derivative assets and liabilities that Eversource elected to record net on the balance sheets.  These amounts are subject to master netting agreements or similar agreements for which the right of offset exists.

For further information on the fair value of derivative contracts, see Note 1D, "Summary of Significant Accounting Policies - Fair Value Measurements," to the financial statements.

Derivative Contracts at Fair Value with Offsetting Regulatory Amounts

Commodity Supply and Price Risk Management:  As required by regulation, CL&P, along with UI, has capacity-related contracts with generation facilities.  CL&P has a sharing agreement with UI, with 80 percent of the costs or benefits of each contract borne by or allocated to CL&P and 20 percent borne by or allocated to UI.  The combined capacity of these contracts is 787 MW.  The capacity contracts extend through 2026 and obligate both CL&P and UI to make or receive payments on a monthly basis to or from the generation facilities based on the difference between a set capacity price and the capacity market price received in the ISO-NE capacity markets.  In addition, CL&P has a contract to purchase 0.1 million MWh of energy per year through 2020.   

NSTAR Electric has a renewable energy contract to purchase 0.1 million MWh of energy per year through 2018 and a capacity-related contract to purchase up to 35 MW per year through 2019.

As of March 31, 2017 and December 31, 2016, Eversource had New York Mercantile Exchange ("NYMEX") financial contracts for natural gas futures in order to reduce variability associated with the purchase price of approximately 5.4 million and 9.2 million MMBtu of natural gas, respectively.

For the three months ended March 31, 2017 and 2016, there were losses of $26.5 million and $30.5 million, respectively, deferred as regulatory costs, which reflect the change in fair value associated with Eversource's derivative contracts.

Fair Value Measurements of Derivative Instruments

Derivative contracts classified as Level 2 in the fair value hierarchy relate to the financial contracts for natural gas futures.  Prices are obtained from broker quotes and are based on actual market activity.  The contracts are valued using NYMEX natural gas prices.  Valuations of these contracts also incorporate discount rates using the yield curve approach.  

The fair value of derivative contracts classified as Level 3 utilizes significant unobservable inputs.  The fair value is modeled using income techniques, such as discounted cash flow valuations adjusted for assumptions relating to exit price.  Significant observable inputs for valuations of these contracts include energy and energy-related product prices in future years for which quoted prices in an active market exist.  Fair value measurements categorized in Level 3 of the fair value hierarchy are prepared by individuals with expertise in valuation techniques, pricing of energy and energy-related products, and accounting requirements.  The future power and capacity prices for periods that are not quoted in an active market or established at auction are based on available market data and are escalated based on estimates of inflation in order to address the full term of the contract.  

Valuations of derivative contracts using a discounted cash flow methodology include assumptions regarding the timing and likelihood of scheduled payments and also reflect non-performance risk, including credit, using the default probability approach based on the counterparty's credit rating for assets and the Company's credit rating for liabilities.  Valuations incorporate estimates of premiums or discounts that would be required by a market participant to arrive at an exit price, using historical market transactions adjusted for the terms of the contract.  

The following is a summary of Eversource's, including CL&P's and NSTAR Electric's, Level 3 derivative contracts and the range of the significant unobservable inputs utilized in the valuations over the duration of the contracts:

	As of March 31, 2017						As of December 31, 2016
	Range					Period Covered	Range					Period Covered
Capacity Prices:
Eversource, CL&P	$	5.00	—	8.70	per kW-Month	2020 - 2026	$	5.50	—	8.70	per kW-Month	2020 - 2026
Forward Reserve:
Eversource, CL&P	$	1.40	—	2.00	per kW-Month	2017 - 2024	$	1.40	—	2.00	per kW-Month	2017 - 2024
REC Prices:
Eversource, NSTAR Electric	$	27.00	—	30.00	per REC	2017 - 2018	$	24.00	—	29.00	per REC	2017 - 2018

Exit price premiums of 2 percent through 19 percent are also applied on these contracts and reflect the uncertainty and illiquidity premiums that would be required based on the most recent market activity available for similar type contracts.

Significant increases or decreases in future energy or capacity prices in isolation would decrease or increase, respectively, the fair value of the derivative liability.  Any increases in risk premiums would increase the fair value of the derivative liability.  Changes in these fair values are recorded as a regulatory asset or liability and do not impact net income.  

Valuations using significant unobservable inputs:  The following table presents changes in the Level 3 category of derivative assets and derivative liabilities measured at fair value on a recurring basis.  The derivative assets and liabilities are presented on a net basis.

	For the Three Months Ended March 31,
	2017									2016
(Millions of Dollars)	Eversource			CL&P			NSTAR   Electric			Eversource			CL&P			NSTAR   Electric
Derivatives, Net:
Fair Value as of Beginning of Period	$	(423.3	)	$	(420.5	)	$	(2.8	)	$	(380.9	)	$	(380.8	)	$	(0.1	)
Net Realized/Unrealized Losses Included in Regulatory Assets and Liabilities	(15.4		)	(14.6		)	(0.8		)	(28.9		)	(24.6		)	(4.3		)
Settlements	22.7			21.6			1.1			22.1			20.3			1.8
Fair Value as of End of Period	$	(416.0	)	$	(413.5	)	$	(2.5	)	$	(387.7	)	$	(385.1	)	$	(2.6	)

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MARKETABLE SECURITIES

3 Months Ended

Mar. 31, 2017

Investments, Debt and Equity Securities [Abstract]

MARKETABLE SECURITIES

MARKETABLE SECURITIES

Eversource maintains trusts that hold marketable securities to fund certain non-qualified executive benefits. These trusts are not subject to regulatory oversight by state or federal agencies.  CYAPC and YAEC maintain legally restricted trusts, each of which holds marketable securities, to fund the spent nuclear fuel removal obligations of their nuclear fuel storage facilities.

Trading Securities:  Eversource has elected to record certain equity securities as trading securities, with the changes in fair values recorded in Other Income, Net on the statements of income.  As of December 31, 2016, these securities were classified as Level 1 in the fair value hierarchy and totaled $9.6 million.  These securities were sold during the first quarter of 2017 and were no longer held as of March 31, 2017. For the three months ended March 31, 2016, net gains on these securities of $0.2 million were recorded in Other Income, Net on the statement of income. Dividend income is recorded in Other Income, Net when dividends are declared.  

Available-for-Sale Securities:  The following is a summary of available-for-sale securities, which are recorded at fair value and are included in current and long-term Marketable Securities on the balance sheets.

	As of March 31, 2017									As of December 31, 2016
Eversource (Millions of Dollars)	Amortized Cost		Pre-Tax Unrealized Gains		Pre-Tax Unrealized Losses			Fair Value		Amortized Cost		Pre-Tax Unrealized Gains		Pre-Tax Unrealized Losses			Fair Value
Debt Securities	$	296.9	$	2.4	$	(1.3	)	$	298.0	$	296.2	$	1.1	$	(2.1	)	$	295.2
Equity Securities	201.9		77.8		(0.5		)	279.2		203.3		62.3		(1.2		)	264.4

Eversource's debt and equity securities include CYAPC's and YAEC's marketable securities held in nuclear decommissioning trusts in the amounts of $482.3 million and $466.7 million as of March 31, 2017 and December 31, 2016, respectively.  Unrealized gains and losses for these nuclear decommissioning trusts are recorded in Marketable Securities with the corresponding offset to Other Long-Term Liabilities on the balance sheets, with no impact on the statements of income.  

Unrealized Losses and Other-than-Temporary Impairment:  There have been no significant unrealized losses, other-than-temporary impairments or credit losses for the three months ended March 31, 2017 and 2016. Factors considered in determining whether a credit loss exists include the duration and severity of the impairment, adverse conditions specifically affecting the issuer, and the payment history, ratings and rating changes of the security.  For asset-backed debt securities, underlying collateral and expected future cash flows are also evaluated.

Realized Gains and Losses:  Realized gains and losses on available-for-sale securities are recorded in Other Income, Net for Eversource's non-qualified benefit trust and are offset in Other Long-Term Liabilities for CYAPC and YAEC.  Eversource utilizes the specific identification basis method for the Eversource non-qualified benefit trust, and the average cost basis method for the CYAPC and YAEC nuclear decommissioning trusts to compute the realized gains and losses on the sale of available-for-sale securities.

Contractual Maturities:  As of March 31, 2017, the contractual maturities of available-for-sale debt securities were as follows:  

Eversource (Millions of Dollars)	Amortized Cost		Fair Value
Less than one year (1)	$	60.6	$	60.6
One to five years	47.4		48.1
Six to ten years	54.7		55.3
Greater than ten years	134.2		134.0
Total Debt Securities	$	296.9	$	298.0

⁽¹⁾  Amounts in the Less than one year category include securities in the CYAPC and YAEC nuclear decommissioning trusts, which are restricted and are classified in long-term Marketable Securities on the balance sheets.

Fair Value Measurements:  The following table presents the marketable securities recorded at fair value on a recurring basis by the level in which they are classified within the fair value hierarchy:

Eversource (Millions of Dollars)	As of March 31, 2017		As of December 31, 2016
Level 1:
Mutual Funds and Equities	$	279.2	$	274.0
Money Market Funds	56.2		54.8
Total Level 1	$	335.4	$	328.8
Level 2:
U.S. Government Issued Debt Securities (Agency and Treasury)	$	57.0	$	63.0
Corporate Debt Securities	41.6		41.1
Asset-Backed Debt Securities	19.8		18.5
Municipal Bonds	112.5		107.5
Other Fixed Income Securities	10.9		10.3
Total Level 2	$	241.8	$	240.4
Total Marketable Securities	$	577.2	$	569.2

U.S. government issued debt securities are valued using market approaches that incorporate transactions for the same or similar bonds and adjustments for yields and maturity dates.  Corporate debt securities are valued using a market approach, utilizing recent trades of the same or similar instrument and also incorporating yield curves, credit spreads and specific bond terms and conditions.  Asset-backed debt securities include collateralized mortgage obligations, commercial mortgage backed securities, and securities collateralized by auto loans, credit card loans or receivables.  Asset-backed debt securities are valued using recent trades of similar instruments, prepayment assumptions, yield curves, issuance and maturity dates, and tranche information.  Municipal bonds are valued using a market approach that incorporates reported trades and benchmark yields.  Other fixed income securities are valued using pricing models, quoted prices of securities with similar characteristics, and discounted cash flows.

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SHORT-TERM AND LONG-TERM DEBT

3 Months Ended

Mar. 31, 2017

Debt Disclosure [Abstract]

SHORT-TERM AND LONG-TERM DEBT

SHORT-TERM AND LONG-TERM DEBT

Commercial Paper Programs and Credit Agreements: Eversource parent has a $1.45 billion commercial paper program allowing Eversource parent to issue commercial paper as a form of short-term debt.  As of March 31, 2017 and December 31, 2016, Eversource parent had $801.0 million and approximately $1.0 billion, respectively, in short-term borrowings outstanding under the Eversource parent commercial paper program, leaving $649.0 million and $428.0 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively. The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 1.12 percent and 0.88 percent, respectively. As of March 31, 2017, there were intercompany loans from Eversource parent of $3.4 million to CL&P, $144.9 million to PSNH, and $71.4 million to WMECO.  As of December 31, 2016, there were intercompany loans from Eversource parent of $80.1 million to CL&P, $160.9 million to PSNH and $51.0 million to WMECO.  Eversource parent, CL&P, PSNH, WMECO, NSTAR Gas and Yankee Gas are parties to a five-year $1.45 billion revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop Eversource parent's $1.45 billion commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

NSTAR Electric has a $450 million commercial paper program allowing NSTAR Electric to issue commercial paper as a form of short-term debt. As of March 31, 2017 and December 31, 2016, NSTAR Electric had $174.5 million and $126.5 million, respectively, in short-term borrowings outstanding under its commercial paper program, leaving $275.5 million and $323.5 million of available borrowing capacity as of March 31, 2017 and December 31, 2016, respectively.  The weighted-average interest rate on these borrowings as of March 31, 2017 and December 31, 2016 was 0.86 percent and 0.71 percent, respectively.  NSTAR Electric is a party to a five-year $450 million revolving credit facility. The revolving credit facility's termination date is September 4, 2021.  The revolving credit facility serves to backstop NSTAR Electric's $450 million commercial paper program.  There were no borrowings outstanding on the revolving credit facility as of March 31, 2017 or December 31, 2016.

Amounts outstanding under the commercial paper programs are included in Notes Payable for Eversource and NSTAR Electric and are classified in current liabilities on the balance sheets as all borrowings are outstanding for no more than 364 days at one time.  Intercompany loans from Eversource parent to CL&P, PSNH and WMECO are included in Notes Payable to Eversource Parent and are classified in current liabilities on their respective balance sheets.  Intercompany loans from Eversource parent to CL&P, PSNH and WMECO are eliminated in consolidation on Eversource's balance sheets.

Long-Term Debt Issuances:  In March 2017, Eversource parent issued $300 million of 2.75 percent Series K Senior Notes due to mature in 2022. The proceeds, net of issuance costs, were used to repay short-term borrowings under the Eversource parent commercial paper program.

In March 2017, CL&P issued $300 million of 3.20 percent 2017 Series A First and Refunding Mortgage Bonds due to mature in 2027. The proceeds, net of issuance costs, were used to repay short-term borrowings.

Long-Term Debt Repayments:  In March 2017, CL&P repaid at maturity the $150 million5.375 percent 2007 Series A First and Refunding Mortgage Bonds, using short term borrowings.

Long-Term Debt Issuance Authorizations: On January 4, 2017, PURA approved CL&P's request for authorization to issue up to $1.325 billion in long-term debt through December 31, 2020. On March 30, 2017, the DPU approved NSTAR Electric's request for authorization to issue up to $700 million in long-term debt through December 31, 2018.

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PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

3 Months Ended

Mar. 31, 2017

Postemployment Benefits [Abstract]

PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

Eversource Service sponsors a defined benefit retirement plan ("Pension Plan") that covers eligible participants.  In addition to the Pension Plan, Eversource maintains non-qualified defined benefit retirement plans sponsored by Eversource Service ("SERP Plans"), which provide benefits in excess of Internal Revenue Code limitations to eligible participants.  Eversource Service also sponsors a defined benefit postretirement plan that provides life insurance and a health reimbursement arrangement created for the purpose of reimbursing retirees and dependents for health insurance premiums and certain medical expenses, to eligible participants that met certain age and service eligibility requirements ("PBOP Plan").

In August 2016, the Company amended its PBOP Plan, which standardized separate benefit structures that existed within the plan and made other benefit changes. The remeasurement resulted in a prior service credit of $5.3 million for the three months ended March 31, 2017, which was reflected as a reduction to net periodic benefit expense for PBOP benefits. The majority of this amount will be deferred for future refund to customers.

The components of net periodic benefit expense for the Pension, SERP and PBOP Plans are shown below.  The net periodic benefit expense and the intercompany allocations, less the capitalized portions of pension, SERP and PBOP amounts, are included in Operations and Maintenance expense on the statements of income.  Capitalized amounts relate to employees working on capital projects and are included in Property, Plant and Equipment, Net on the balance sheets.  Pension, SERP and PBOP expense reflected in the statements of cash flows for CL&P, NSTAR Electric, PSNH and WMECO does not include the intercompany allocations or the corresponding capitalized portion, as these amounts are cash settled on a short-term basis.

	Pension and SERP
Eversource	For the Three Months Ended
(Millions of Dollars)	March 31, 2017			March 31, 2016
Service Cost	$	18.7		$	19.4
Interest Cost	46.3			46.5
Expected Return on Pension Plan Assets	(83.5		)	(79.6		)
Actuarial Loss	33.6			31.5
Prior Service Cost	1.1			0.9
Total Net Periodic Benefit Expense	$	16.2		$	18.7
Capitalized Pension Expense	$	5.4		$	6.1
	PBOP
Eversource	For the Three Months Ended
(Millions of Dollars)	March 31, 2017			March 31, 2016
Service Cost	$	2.4		$	3.1
Interest Cost	7.2			9.7
Expected Return on Plan Assets	(15.9		)	(15.7		)
Actuarial Loss	2.0			1.1
Prior Service Credit	(5.3		)	(0.1		)
Total Net Periodic Benefit Income	$	(9.6	)	$	(1.9	)
Capitalized PBOP Income	$	(4.6	)	$	(0.9	)

	Pension and SERP
	For the Three Months Ended March 31, 2017												For the Three Months Ended March 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Service Cost	$	4.8		$	3.3		$	2.5		$	0.8		$	5.0		$	3.4		$	2.5		$	0.9
Interest Cost	10.5			8.3			5.2			2.1			10.6			8.3			5.1			2.1
Expected Return on Pension Plan Assets	(18.0		)	(17.6		)	(9.9		)	(4.4		)	(18.2		)	(16.9		)	(9.7		)	(4.4		)
Actuarial Loss	6.9			8.6			2.8			1.5			6.7			8.4			2.5			1.4
Prior Service Cost	0.4			0.1			0.1			0.1			0.4			—			0.1			0.1
Total Net Periodic Benefit Expense	$	4.6		$	2.7		$	0.7		$	0.1		$	4.5		$	3.2		$	0.5		$	0.1
Intercompany Allocations	$	2.5		$	1.9		$	0.8		$	0.5		$	3.3		$	2.2		$	1.0		$	0.6
Capitalized Pension Expense	$	2.5		$	1.7		$	0.3		$	0.1		$	2.7		$	1.8		$	0.3		$	0.2

	PBOP
	For the Three Months Ended March 31, 2017												For the Three Months Ended March 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Service Cost	$	0.5		$	0.4		$	0.3		$	0.1		$	0.5		$	0.9		$	0.3		$	0.1
Interest Cost	1.4			2.1			0.8			0.3			1.4			4.0			0.8			0.3
Expected Return on Plan Assets	(2.4		)	(6.6		)	(1.3		)	(0.5		)	(2.6		)	(6.4		)	(1.4		)	(0.6		)
Actuarial Loss	0.2			0.9			0.1			—			0.2			0.2			0.1			—
Prior Service Cost/(Credit)	0.3			(4.3		)	0.1			—			—			—			—			—
Total Net Periodic Benefit Income	$	—		$	(7.5	)	$	—		$	(0.1	)	$	(0.5	)	$	(1.3	)	$	(0.2	)	$	(0.2	)
Intercompany Allocations	$	(0.3	)	$	(0.3	)	$	(0.1	)	$	—		$	0.2		$	0.1		$	—		$	—
Capitalized PBOP Income	$	(0.1	)	$	(3.8	)	$	—		$	—		$	(0.2	)	$	(0.6	)	$	—		$	(0.1	)

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COMMITMENTS AND CONTINGENCIES

3 Months Ended

Mar. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

A.    Environmental Matters

Eversource, CL&P, NSTAR Electric, PSNH and WMECO are subject to environmental laws and regulations intended to mitigate or remove the effect of past operations and improve or maintain the quality of the environment.  These laws and regulations require the removal or the remedy of the effect on the environment of the disposal or release of certain specified hazardous substances at current and former operating sites.  Eversource, CL&P, NSTAR Electric, PSNH and WMECO have an active environmental auditing and training program and each believes it is substantially in compliance with all enacted laws and regulations.

The number of environmental sites and related reserves for which remediation or long-term monitoring, preliminary site work or site assessment is being performed are as follows:

	As of March 31, 2017			As of December 31, 2016
	Number of Sites	Reserve (in millions)		Number of Sites	Reserve (in millions)
Eversource	60	$	58.2	61	$	65.8
CL&P	14	5.3		14	4.9
NSTAR Electric	13	1.0		13	3.2
PSNH	11	5.3		11	5.3
WMECO	4	0.7		4	0.6

Included in the Eversource number of sites and reserve amounts above are former MGP sites that were operated several decades ago and manufactured gas from coal and other processes, which resulted in certain by-products remaining in the environment that may pose a potential risk to human health and the environment, for which Eversource may have potential liability.  The reserve balances related to these former MGP sites were $53.0 million and $59.0 million as of March 31, 2017 and December 31, 2016, respectively, and related primarily to the natural gas business segment. The reduction in the reserve balance at the MGP sites was primarily due to a change in cost estimates at one site.

These reserve estimates are subjective in nature as they take into consideration several different remediation options at each specific site.  The reliability and precision of these estimates can be affected by several factors, including new information concerning either the level of contamination at the site, the extent of Eversource's, CL&P's, NSTAR Electric's, PSNH's, and WMECO's responsibility for remediation or the extent of remediation required, recently enacted laws and regulations, or changes in cost estimates due to certain economic factors.  It is possible that new information or future developments could require a reassessment of the potential exposure to related environmental matters.  As this information becomes available, management will continue to assess the potential exposure and adjust the reserves accordingly.

B.    Guarantees and Indemnifications

In the normal course of business, Eversource parent provides credit assurances on behalf of its subsidiaries, including CL&P, NSTAR Electric, PSNH and WMECO, in the form of guarantees.  

Eversource parent issued a declining balance guaranty on behalf of Eversource Gas Transmission LLC, a wholly-owned subsidiary, to guarantee the payment of the subsidiary's capital contributions for its investment in the Access Northeast project. The guaranty will not exceed $206 million and decreases as capital contributions are made.  The guaranty will expire upon the earlier of the full performance of the guaranteed obligations or December 31, 2021.  

Eversource parent issued a guaranty on behalf of its subsidiary, NPT, under which, beginning at the time the Northern Pass Transmission line goes into commercial operation, Eversource parent will guarantee the financial obligations of NPT under the TSA with HQ in an amount not to exceed $25 million.  Eversource parent's obligations under the guaranty expire upon the full, final and indefeasible payment of the guaranteed obligations. Eversource parent has also entered into a guaranty on behalf of NPT under which Eversource parent will guarantee NPT's obligations under a facility with a financial institution pursuant to which NPT may request letters of credit in an aggregate amount of up to approximately $14 million.

Eversource parent has also guaranteed certain indemnification and other obligations as a result of the sales of former unregulated subsidiaries and the termination of an unregulated business, with maximum exposures either not specified or not material.  

Management does not anticipate a material impact to net income or cash flows as a result of these various guarantees and indemnifications.  

The following table summarizes Eversource parent's exposure to guarantees and indemnifications of its subsidiaries to external parties, as of March 31, 2017:  

Company	Description	Maximum  Exposure (in millions)		Expiration Dates
On behalf of subsidiaries:
Eversource Gas Transmission LLC	Access Northeast Project Capital Contributions Guaranty	$	185.1	2021
Various	Surety Bonds (1)	38.7		2017 - 2018
Eversource Service and Rocky River Realty Company	Lease Payments for Vehicles and Real Estate	8.8		2019 - 2024

⁽¹⁾  Surety bond expiration dates reflect termination dates, the majority of which will be renewed or extended.  Certain surety bonds contain credit ratings triggers that would require Eversource parent to post collateral in the event that the unsecured debt credit ratings of Eversource parent are downgraded.  

C.    FERC ROE Complaints

Four separate complaints have been filed at the FERC by combinations of New England state attorneys general, state regulatory commissions, consumer advocates, consumer groups, municipal parties and other parties (collectively the "Complainants"). In each of the first three complaints, the Complainants challenged the NETOs' base ROE of 11.14 percent that had been utilized since 2005 and sought an order to reduce it prospectively from the date of the final FERC order and for the 15-month complaint periods arising from the separate complaints. In the fourth complaint, filed April 29, 2016, the Complainants challenged the NETOs' base ROE of 10.57 percent and the maximum ROE for transmission incentive ("incentive cap") of 11.74 percent, asserting that these ROEs were unjust and unreasonable.

In response to appeals of the FERC decision in the first complaint filed by the NETOs and the Complainants, the D.C. Circuit Court of Appeals (the "Court") issued a decision on April 14, 2017 vacating and remanding the FERC's decision. The Court found that the FERC failed to make an explicit finding that the prior 11.14 percent base ROE was unjust and unreasonable, as required under Section 206 of the Federal Power Act, before it could set a new base ROE. The Court also found that the FERC did not provide a rational connection between the record evidence and its decision to select the midpoint of the upper half of the zone of reasonableness for the new base ROE.

A summary of the four separate complaints and the base ROEs pertinent to those complaints are as follows:

Complaint	15-Month Time Period of Complaint (Beginning as of Complaint Filing Date)	Original Base ROE Authorized by FERC at Time of Complaint Filing Date (1)	Base ROE Subsequently Authorized by FERC for First Complaint Period and also Effective from October 16, 2014 through April 14, 2017 (1)	Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)		FERC ALJ Recommendation of Base ROE on Second and Third Complaints (Issued March 22, 2016)
First	10/1/2011 - 12/31/2012	11.14%	10.57%	$—	(2)	N/A
Second	12/27/2012 - 3/26/2014	11.14%	N/A	39.1	(3)	9.59%
Third	7/31/2014 - 10/30/2015	11.14%	10.57%	—		10.90%
Fourth	4/29/2016 - 7/28/2017	10.57%	10.57%	—		N/A

⁽¹⁾ The total ROE between October 1, 2011 and October 15, 2014 was within a range of 11.14 percent to 13.1 percent. In 2014, as a result of a FERC order, the incentive cap was set at 11.74 percent for the first complaint period and also effective from October 16, 2014 through April 14, 2017.

⁽²⁾ CL&P, NSTAR Electric, PSNH and WMECO have refunded all amounts associated with the first complaint period, totaling $38.9 million (pre-tax and excluding interest) at Eversource (including $22.4 million at CL&P, $8.4 million at NSTAR Electric, $2.8 million at PSNH, and $5.3 million at WMECO), reflecting both the base ROE and incentive cap prescribed by the FERC order.

⁽³⁾ The reserve represents the difference between the ROEs billed during the second complaint period and a 10.57 percent base ROE and 11.74 percent incentive cap. The reserve was $21.4 million for CL&P, $8.5 million for NSTAR Electric, $3.1 million for PSNH, and $6.1 million for WMECO as of March 31, 2017.

At this time, the Company cannot reasonably estimate a range of gain or loss for the complaint proceedings. The Court decision did not provide a reasonable basis for a change to the March 31, 2017 reserve balance of $39.1 million (pre-tax and excluding interest) for the second complaint period, and the Company has not changed its reserves or recognized ROEs for any of the complaint periods.

Management cannot at this time predict the ultimate effect of the Court decision on any of the complaint periods or the estimated impacts on the financial position, results of operations or cash flows of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

The average impact of a 10 basis point change to the base ROE for each of the 15-month complaint periods would affect Eversource's after-tax earnings by approximately $3 million.

D.    Eversource and NSTAR Electric Boston Harbor Civil Action

On July 15, 2016, the United States Army Corps of Engineers filed a civil action in the United States District Court for the District of Massachusetts under provisions of the Rivers and Harbors Act of 1899 and the Clean Water Act against NSTAR Electric, Harbor Electric Energy Company, a wholly-owned subsidiary of NSTAR Electric ("HEEC"), and the Massachusetts Water Resources Authority (together with NSTAR Electric and HEEC, the "Defendants").  The action alleges that the Defendants failed to comply with certain permitting requirements relating to the placement of the HEEC-owned electric distribution cable beneath Boston Harbor.  The action seeks an order to force HEEC to comply with cable depth requirements in the U.S. Army Corps of Engineers' permit or alternatively to remove the electric distribution cable and cease unauthorized work in U.S. waterways.  The action also seeks civil penalties and other costs.  Management believes there are valid defenses to the claims and is defending NSTAR Electric and HEEC vigorously. Concurrently, NSTAR Electric and HEEC are seeking to work collaboratively with all parties for a mutually beneficial resolution.  At this time, management is unable to predict the outcome of this action or the impact on Eversource's and NSTAR Electric's financial position, results of operations, or cash flows.

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PSNH GENERATION ASSET SALE

3 Months Ended

Mar. 31, 2017

Regulated Operations [Abstract]

PSNH GENERATION ASSET SALE

PSNH GENERATION ASSET SALE

On June 10, 2015, Eversource and PSNH entered into the 2015 Public Service Company of New Hampshire Restructuring and Rate Stabilization Agreement (the "Agreement") with the New Hampshire Office of Energy and Planning, certain members of the NHPUC staff, the Office of Consumer Advocate, two State Senators, and several other parties.  Under the terms of the Agreement, PSNH agreed to divest its generation assets, subject to NHPUC approval.  The Agreement provided for a resolution of issues pertaining to PSNH's generation assets in pending regulatory proceedings before the NHPUC.  The Agreement provided for the Clean Air Project prudence proceeding to be resolved and all remaining Clean Air Project costs to be included in rates effective January 1, 2016.  As part of the Agreement, PSNH agreed to forego recovery of $25 million of the equity return related to the Clean Air Project.  In addition, PSNH will not seek a general distribution rate increase effective before July 1, 2017 and will contribute $5 million to create a clean energy fund, which will not be recoverable from its customers.  

On July 1, 2016, the NHPUC approved the Agreement in an order that, among other things, instructs PSNH to begin the process of divesting its generation assets.  The NHPUC selected an auction adviser to assist with the divestiture, and the final plan and auction process were approved by the NHPUC in November 2016.  An intervening appeal alleging that the auction process and schedule were unreasonable was rejected by the New Hampshire Supreme Court in February 2017. In late March 2017, the formal divestiture process began. We continue to believe the assets will be sold by the end of 2017.

The sales price of the generation assets could be less than the carrying value, but the Company believes that full recovery of PSNH's generation assets is probable through a combination of cash flows during the remaining operating period, sales proceeds upon divestiture, and recovery of stranded costs via bonds that will be secured by a non-bypassable charge or through recoveries in future rates billed to PSNH's customers.

As of March 31, 2017, PSNH's generation assets were as follows:

(Millions of Dollars)
Gross Plant	$	1,192.6
Accumulated Depreciation	(564.1		)
Net Plant	628.5
Fuel	98.3
Materials and Supplies	48.5
Emission Allowances	19.7
Total Generation Assets	$	795.0

As of March 31, 2017, current and long-term liabilities associated with PSNH's generation assets included Accounts Payable of $30.1 million, Other Current Liabilities of $21.7 million, AROs of $20.3 million, and Accrued Pension, SERP and PBOP of $23.7 million.

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FAIR VALUE OF FINANCIAL INSTRUMENTS

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE OF FINANCIAL INSTRUMENTS

The following methods and assumptions were used to estimate the fair value of each of the following financial instruments:

Preferred Stock and Long-Term Debt:  The fair value of CL&P's and NSTAR Electric's preferred stock is based upon pricing models that incorporate interest rates and other market factors, valuations or trades of similar securities and cash flow projections.  The fair value of long-term debt securities is based upon pricing models that incorporate quoted market prices for those issues or similar issues adjusted for market conditions, credit ratings of the respective companies and treasury benchmark yields.  The fair values provided in the tables below are classified as Level 2 within the fair value hierarchy.  Carrying amounts and estimated fair values are as follows:

	As of March 31, 2017				As of December 31, 2016
Eversource (Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Preferred Stock Not Subject to Mandatory Redemption	$	155.6	$	156.6	$	155.6	$	158.3
Long-Term Debt	10,041.8		10,428.0		9,603.2		9,980.5

	CL&P				NSTAR Electric				PSNH				WMECO
(Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Carrying Amount		Fair Value		Carrying Amount		Fair Value
As of March 31, 2017:
Preferred Stock Not Subject to Mandatory Redemption	$	116.2	$	113.5	$	43.0	$	43.1	$	—	$	—	$	—	$	—
Long-Term Debt	2,913.2		3,179.5		2,078.5		2,202.9		1,072.3		1,115.2		566.4		596.8
As of December 31, 2016:
Preferred Stock Not Subject to Mandatory Redemption	$	116.2	$	114.7	$	43.0	$	43.6	$	—	$	—	$	—	$	—
Long-Term Debt	2,766.0		3,049.6		2,078.1		2,201.6		1,072.0		1,109.7		566.5		589.0

Derivative Instruments and Marketable Securities: Derivative instruments and investments in marketable securities are carried at fair value.  For further information, see Note 4, "Derivative Instruments," and Note 5, "Marketable Securities," to the financial statements.  

See Note 1D, "Summary of Significant Accounting Policies - Fair Value Measurements," for the fair value measurement policy and the fair value hierarchy.

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ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

3 Months Ended

Mar. 31, 2017

Equity [Abstract]

ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

The changes in accumulated other comprehensive income/(loss) by component, net of tax, is as follows:

	For the Three Months Ended March 31, 2017											For the Three Months Ended March 31, 2016
	Qualified			Unrealized								Qualified			Unrealized
	Cash Flow			Gains								Cash Flow			Gains/(Losses)
Eversource (Millions of Dollars)	Hedging			on Marketable		Defined						Hedging			on Marketable			Defined
	Instruments			Securities		Benefit Plans			Total			Instruments			Securities			Benefit Plans			Total
Balance as of Beginning of Period	$	(8.2	)	$	0.4	$	(57.5	)	$	(65.3	)	$	(10.3	)	$	(1.9	)	$	(54.6	)	$	(66.8	)
OCI Before Reclassifications	—			1.7		—			1.7			—			0.2			—			0.2
Amounts Reclassified from AOCL	0.5			—		1.0			1.5			0.5			—			0.9			1.4
Net OCI	0.5			1.7		1.0			3.2			0.5			0.2			0.9			1.6
Balance as of End of Period	$	(7.7	)	$	2.1	$	(56.5	)	$	(62.1	)	$	(9.8	)	$	(1.7	)	$	(53.7	)	$	(65.2	)

Eversource's qualified cash flow hedging instruments represent interest rate swap agreements on debt issuances that were settled in prior years. The settlement amount was recorded in AOCL and is being amortized into Net Income over the term of the underlying debt instrument.  CL&P, PSNH and WMECO continue to amortize interest rate swaps settled in prior years from AOCL into Interest Expense over the remaining life of the associated long-term debt. Such interest rate swaps are not material to their respective financial statements.

Defined benefit plan OCI amounts before reclassifications relate to actuarial gains and losses and prior service costs that arose during the year and were recognized in AOCL. The unamortized actuarial gains and losses and prior service costs on the defined benefit plans are amortized from AOCL into Operations and Maintenance expense over the average future employee service period, and are reflected in amounts reclassified from AOCL.  For further information, see Note 7, "Pension Benefits and Postretirement Benefits Other Than Pensions."

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COMMON SHARES

3 Months Ended

Mar. 31, 2017

Equity [Abstract]

COMMON SHARES

COMMON SHARES

The following table sets forth the Eversource parent common shares and the shares of common stock of CL&P, NSTAR Electric, PSNH and WMECO that were authorized and issued, as well as the respective per share par values:  

	Shares
			Authorized as of March 31, 2017 and	Issued as of
	Par Value		December 31, 2016	March 31, 2017	December 31, 2016
Eversource	$	5	380,000,000	333,878,402	333,878,402
CL&P	$	10	24,500,000	6,035,205	6,035,205
NSTAR Electric	$	1	100,000,000	100	100
PSNH	$	1	100,000,000	301	301
WMECO	$	25	1,072,471	434,653	434,653

As of both March 31, 2017 and December 31, 2016, there were 16,992,594 Eversource common shares held as treasury shares.  As of both March 31, 2017 and December 31, 2016, Eversource common shares outstanding were 316,885,808.

COMMON SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS

Dividends on the preferred stock of CL&P and NSTAR Electric totaled $1.9 million for each of the three months ended March 31, 2017 and 2016. These dividends were presented as Net Income Attributable to Noncontrolling Interests on the Eversource statements of income.  Noncontrolling Interest – Preferred Stock of Subsidiaries on the Eversource balance sheets totaled $155.6 million as of March 31, 2017 and December 31, 2016. On the Eversource balance sheets, Common Shareholders' Equity was fully attributable to the parent and Noncontrolling Interest – Preferred Stock of Subsidiaries was fully attributable to the noncontrolling interest.

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COMMON SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS

3 Months Ended

Mar. 31, 2017

Equity [Abstract]

COMMON SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS

COMMON SHARES

The following table sets forth the Eversource parent common shares and the shares of common stock of CL&P, NSTAR Electric, PSNH and WMECO that were authorized and issued, as well as the respective per share par values:  

	Shares
			Authorized as of March 31, 2017 and	Issued as of
	Par Value		December 31, 2016	March 31, 2017	December 31, 2016
Eversource	$	5	380,000,000	333,878,402	333,878,402
CL&P	$	10	24,500,000	6,035,205	6,035,205
NSTAR Electric	$	1	100,000,000	100	100
PSNH	$	1	100,000,000	301	301
WMECO	$	25	1,072,471	434,653	434,653

As of both March 31, 2017 and December 31, 2016, there were 16,992,594 Eversource common shares held as treasury shares.  As of both March 31, 2017 and December 31, 2016, Eversource common shares outstanding were 316,885,808.

COMMON SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS

Dividends on the preferred stock of CL&P and NSTAR Electric totaled $1.9 million for each of the three months ended March 31, 2017 and 2016. These dividends were presented as Net Income Attributable to Noncontrolling Interests on the Eversource statements of income.  Noncontrolling Interest – Preferred Stock of Subsidiaries on the Eversource balance sheets totaled $155.6 million as of March 31, 2017 and December 31, 2016. On the Eversource balance sheets, Common Shareholders' Equity was fully attributable to the parent and Noncontrolling Interest – Preferred Stock of Subsidiaries was fully attributable to the noncontrolling interest.

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EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

EARNINGS PER SHARE

EARNINGS PER SHARE

Basic EPS is computed based upon the weighted average number of common shares outstanding during each period.  Diluted EPS is computed on the basis of the weighted average number of common shares outstanding plus the potential dilutive effect of certain share-based compensation awards as if they were converted into common shares.  The dilutive effect of unvested RSU and performance share awards and unexercised stock options is calculated using the treasury stock method.  RSU and performance share awards are included in basic weighted average common shares outstanding as of the date that all necessary vesting conditions have been satisfied.  For the three months ended March 31, 2017 and 2016, there were no antidilutive share awards excluded from the computation of diluted EPS.

The following table sets forth the components of basic and diluted EPS:

Eversource (Millions of Dollars, except share information)	For the Three Months Ended
	March 31, 2017		March 31, 2016
Net Income Attributable to Common Shareholders	$	259.5	$	244.2
Weighted Average Common Shares Outstanding:
Basic	317,463,151		317,517,141
Dilutive Effect	661,385		963,909
Diluted	318,124,536		318,481,050
Basic and Diluted EPS	$	0.82	$	0.77

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SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

Presentation:  Eversource is organized among the Electric Distribution, Electric Transmission and Natural Gas Distribution reportable segments and Other based on a combination of factors, including the characteristics of each segments' services, the sources of operating revenues and expenses and the regulatory environment in which each segment operates.  These reportable segments represent substantially all of Eversource's total consolidated revenues.  Revenues from the sale of electricity and natural gas primarily are derived from residential, commercial and industrial customers and are not dependent on any single customer.  The Electric Distribution reportable segment includes the generation activities of PSNH and WMECO.  

The remainder of Eversource's operations is presented as Other in the tables below and primarily consists of 1) the equity in earnings of Eversource parent from its subsidiaries and intercompany interest income, both of which are eliminated in consolidation, and interest expense related to the debt of Eversource parent, 2) the revenues and expenses of Eversource Service, most of which are eliminated in consolidation, 3) the operations of CYAPC and YAEC, and 4) the results of other unregulated subsidiaries, which are not part of its core business. In addition, Other in the tables below includes Eversource parent's equity ownership interests in certain natural gas pipeline projects owned by Enbridge, Inc., the Bay State Wind project, an energy investment fund, and two companies that transmit hydroelectricity imported from the Hydro-Quebec system in Canada. In the ordinary course of business, Yankee Gas and NSTAR Gas purchase natural gas transmission services from the Enbridge, Inc. natural gas pipeline projects described above. These affiliate transaction costs total approximately $62.5 million annually and are classified as Purchased Power, Fuel and Transmission on the Eversource statements of income.

Cash flows used for investments in plant included in the segment information below are cash capital expenditures that do not include amounts incurred but not paid, cost of removal, AFUDC related to equity funds, and the capitalized portions of pension expense.   

Eversource's reportable segments are determined based upon the level at which Eversource's chief operating decision maker assesses performance and makes decisions about the allocation of company resources.  Each of Eversource's subsidiaries, including CL&P, NSTAR Electric, PSNH and WMECO, has one reportable segment.  Eversource's operating segments and reporting units are consistent with its reportable business segments.

Eversource's segment information is as follows:

	For the Three Months Ended March 31, 2017
Eversource (Millions of Dollars)	Electric Distribution			Natural Gas Distribution			Electric Transmission			Other			Eliminations			Total
Operating Revenues	$	1,401.1		$	403.6		$	316.9		$	236.3		$	(252.8	)	$	2,105.1
Depreciation and Amortization	(129.8		)	(21.7		)	(50.6		)	(9.2		)	0.5			(210.8		)
Other Operating Expenses	(1,041.9		)	(289.6		)	(90.0		)	(216.6		)	252.8			(1,385.3		)
Operating Income	$	229.4		$	92.3		$	176.3		$	10.5		$	0.5		$	509.0
Interest Expense	$	(48.2	)	$	(10.6	)	$	(28.1	)	$	(19.7	)	$	3.2		$	(103.4	)
Other Income, Net	5.0			0.3			4.9			328.9			(325.5		)	13.6
Net Income Attributable to Common Shareholders	114.1			50.8			94.2			322.2			(321.8		)	259.5
Cash Flows Used for Investments in Plant	236.2			64.5			192.6			30.3			—			523.6

	For the Three Months Ended March 31, 2016
Eversource (Millions of Dollars)	Electric Distribution			Natural Gas Distribution			Electric Transmission			Other			Eliminations			Total
Operating Revenues	$	1,436.1		$	342.6		$	283.3		$	214.2		$	(220.6	)	$	2,055.6
Depreciation and Amortization	(127.7		)	(15.8		)	(45.1		)	(6.9		)	0.5			(195.0		)
Other Operating Expenses	(1,088.9		)	(233.5		)	(73.0		)	(197.3		)	220.6			(1,372.1		)
Operating Income	$	219.5		$	93.3		$	165.2		$	10.0		$	0.5		$	488.5
Interest Expense	$	(48.0	)	$	(10.1	)	$	(28.0	)	$	(14.1	)	$	2.0		$	(98.2	)
Other Income/(Loss), Net	—			(0.3		)	2.6			305.5			(305.8		)	2.0
Net Income Attributable to Common Shareholders	108.4			50.9			85.7			302.5			(303.3		)	244.2
Cash Flows Used for Investments in Plant	184.2			52.1			172.4			22.8			—			431.5

The following table summarizes Eversource's segmented total assets:

Eversource (Millions of Dollars)	Electric Distribution		Natural Gas Distribution		Electric Transmission		Other		Eliminations			Total
As of March 31, 2017	$	18,343.3	$	3,332.7	$	9,015.6	$	14,590.4	$	(12,926.8	)	$	32,355.2
As of December 31, 2016	18,367.5		3,303.8		8,751.5		14,493.1		(12,862.7		)	32,053.2

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

3 Months Ended

Mar. 31, 2017

Accounting Policies [Abstract]

Basis of Presentation

Basis of Presentation

Eversource Energy is a public utility holding company primarily engaged, through its wholly-owned regulated utility subsidiaries, in the energy delivery business.  Eversource Energy's wholly-owned regulated utility subsidiaries consist of CL&P, NSTAR Electric, PSNH, WMECO, Yankee Gas and NSTAR Gas.  Eversource provides energy delivery service to approximately 3.7 million electric and natural gas customers through these six regulated utilities in Connecticut, Massachusetts and New Hampshire.  

The unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH include the accounts of each of their respective subsidiaries.  Intercompany transactions have been eliminated in consolidation.  The accompanying unaudited condensed consolidated financial statements of Eversource, NSTAR Electric and PSNH and the unaudited condensed financial statements of CL&P and WMECO are herein collectively referred to as the "financial statements."

The combined notes to the financial statements have been prepared pursuant to the rules and regulations of the SEC.  Certain information and footnote disclosures included in annual financial statements prepared in accordance with GAAP have been omitted pursuant to such rules and regulations.  The accompanying financial statements should be read in conjunction with the Combined Notes to Financial Statements included in Item 8, "Financial Statements and Supplementary Data," of the Eversource 2016 Form 10-K, which was filed with the SEC.  The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.

The financial statements contain, in the opinion of management, all adjustments (including normal, recurring adjustments) necessary to present fairly Eversource's, CL&P's, NSTAR Electric's, PSNH's and WMECO's financial position as of March 31, 2017 and December 31, 2016, and the results of operations, comprehensive income and cash flows for the three months ended March 31, 2017 and 2016.  The results of operations, comprehensive income and cash flows for the three months ended March 31, 2017 and 2016 are not necessarily indicative of the results expected for a full year.  

Eversource consolidates CYAPC and YAEC because CL&P's, NSTAR Electric's, PSNH's and WMECO's combined ownership interest in each of these entities is greater than 50 percent.  Intercompany transactions between CL&P, NSTAR Electric, PSNH and WMECO and the CYAPC and YAEC companies have been eliminated in consolidation of the Eversource financial statements.

Eversource's utility subsidiaries' distribution (including generation assets) and transmission businesses are subject to rate-regulation that is based on cost recovery and meets the criteria for application of accounting guidance for entities with rate-regulated operations, which considers the effect of regulation on the differences in the timing of the recognition of certain revenues and expenses from those of other businesses and industries.  See Note 2, "Regulatory Accounting," for further information.

Certain reclassifications of prior period data were made in the accompanying financial statements to conform to the current period presentation

Accounting Standards

Accounting Standards

Accounting Standards Issued but Not Yet Effective:  In May 2014, the Financial Accounting Standards Board ("FASB") issued an Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, which amends existing revenue recognition guidance and is required to be applied retrospectively (either to each reporting period presented or cumulatively at the date of initial application).  The Company is evaluating the requirements and potential impacts of ASU 2014-09 and will implement the standard in the first quarter of 2018 cumulatively at the date of initial application. The guidance continues to be interpreted on an industry specific level, including the timing of recognizing revenues from billings to protected customers that may not meet the collectability threshold for revenue recognition. Therefore, while the effects of implementing the ASU on results of operations are not expected to be material, there may be changes in the timing of revenue recognition on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Liabilities, which is required to be implemented in the first quarter of 2018.  The ASU will remove the available-for-sale designation for equity securities, whereby changes in fair value are recorded in accumulated other comprehensive income within shareholders' equity, and will require changes in fair value of all equity securities to be recorded in earnings beginning on January 1, 2018, with the unrealized gain or loss on available-for-sale equity securities as of that date reclassified to retained earnings as a cumulative effect of adoption.  The fair value of available-for-sale equity securities subject to this guidance as of March 31, 2017 was approximately $49 million.  The remaining available-for-sale equity securities included in marketable securities on the balance sheet are held in nuclear decommissioning trusts and are subject to regulatory accounting treatment and will not be impacted by this guidance. Implementation of the ASU for other financial instruments is not expected to have a material impact on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO.

In February 2016, the FASB issued ASU 2016-02, Leases, which changes existing lease accounting guidance and is required to be applied in the first quarter of 2019, with earlier application permitted.  The ASU is required to be implemented for leases beginning on the date of initial application. For prior periods presented, leases are required to be recognized and measured using a modified retrospective approach.  The Company is reviewing the requirements of ASU 2016-02, including balance sheet recognition of leases previously deemed operating leases, and expects to implement the ASU in the first quarter of 2019.

In March 2017, the FASB issued ASU 2017-07, Compensation – Retirement Benefits: Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, required to be implemented in the first quarter of 2018. The ASU requires separate presentation of service cost from other components of net pension and PBOP costs, with the other components presented as non-operating income and not subject to capitalization. The Company is assessing the impacts of the ASU on the financial statements of Eversource, CL&P, NSTAR Electric, PSNH and WMECO

Provision for Uncollectible Accounts

Provision for Uncollectible Accounts

Eversource, including CL&P, NSTAR Electric, PSNH and WMECO, presents its receivables at estimated net realizable value by maintaining a provision for uncollectible accounts.  This provision is determined based upon a variety of judgments and factors, including the application of an estimated uncollectible percentage to each receivable aging category.  The estimate is based upon historical collection and write-off experience and management's assessment of collectability from customers.  Management continuously assesses the collectability of receivables and adjusts collectability estimates based on actual experience.  Receivable balances are written off against the provision for uncollectible accounts when the customer accounts are terminated and these balances are deemed to be uncollectible.

The PURA allows CL&P and Yankee Gas to accelerate the recovery of accounts receivable balances attributable to qualified customers under financial or medical duress (uncollectible hardship accounts receivable) outstanding for greater than 180 days and 90 days, respectively.  The DPU allows WMECO and NSTAR Gas also to recover in rates, amounts associated with certain uncollectible hardship accounts receivable.  Certain of NSTAR Electric's uncollectible hardship accounts receivable are expected to be recovered in future rates, similar to WMECO and NSTAR Gas. These uncollectible customer account balances are included in Regulatory Assets or Other Long-Term Assets on the balance sheets.

Fair Value Measurements

Fair Value Measurements

Fair value measurement guidance is applied to derivative contracts that are not elected or designated as "normal purchases or normal sales" ("normal") and to the marketable securities held in trusts.  Fair value measurement guidance is also applied to valuations of the investments used to calculate the funded status of pension and PBOP plans, the nonrecurring fair value measurements of nonfinancial assets such as goodwill and AROs, and the estimated fair value of preferred stock and long-term debt.

Fair Value Hierarchy:  In measuring fair value, Eversource uses observable market data when available in order to minimize the use of unobservable inputs.  Inputs used in fair value measurements are categorized into three fair value hierarchy levels for disclosure purposes.  The entire fair value measurement is categorized based on the lowest level of input that is significant to the fair value measurement.  Eversource evaluates the classification of assets and liabilities measured at fair value on a quarterly basis, and Eversource's policy is to recognize transfers between levels of the fair value hierarchy as of the end of the reporting period.  The three levels of the fair value hierarchy are described below:

Level 1 - Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities as of the reporting date.  Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis.  

Level 2 - Inputs are quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs are observable.

Level 3 - Quoted market prices are not available.  Fair value is derived from valuation techniques in which one or more significant inputs or assumptions are unobservable.  Where possible, valuation techniques incorporate observable market inputs that can be validated to external sources such as industry exchanges, including prices of energy and energy-related products.  

Other Income, Net

Other Income, Net

Items included within Other Income, Net on the statements of income primarily consist of investment income/(loss), interest income, AFUDC related to equity funds, and income/(loss) related to equity method investments.  Investment income/(loss) primarily relates to debt and equity securities held in trust.  For further information, see Note 5, "Marketable Securities," to the financial statements.  

Other Taxes

As agents for state and local governments, Eversource's companies that serve customers in Connecticut and Massachusetts collect certain sales taxes that are recorded on a net basis with no impact on the statements of income.

Other Taxes

Gross receipts taxes levied by the state of Connecticut are collected by CL&P and Yankee Gas from their respective customers.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

3 Months Ended

Mar. 31, 2017

Accounting Policies [Abstract]

Schedule of Accounts, Notes, Loans and Financing Receivable

The total provision for uncollectible accounts and for uncollectible hardship accounts, which is included in the total provision, is included in Receivables, Net on the balance sheets, and was as follows:

	Total Provision for Uncollectible Accounts				Uncollectible Hardship
(Millions of Dollars)	As of March 31, 2017		As of December 31, 2016		As of March 31, 2017		As of December 31, 2016
Eversource	$	203.2	$	200.6	$	118.0	$	119.9
CL&P	88.7		86.4		69.8		67.7
NSTAR Electric	52.6		54.8		23.7		26.2
PSNH	10.4		9.9		—		—
WMECO	14.2		15.5		8.2		9.9

State Of Connecticut Gross Earnings Taxes

These gross receipts taxes are shown separately with collections in Operating Revenues and with payments in Taxes Other Than Income Taxes on the statements of income as follows:

	For the Three Months Ended
(Millions of Dollars)	March 31, 2017		March 31, 2016
Eversource	$	42.2	$	42.2
CL&P	33.9		36.0

Schedule of Supplemental Cash Flow Information

Non-cash investing activities include plant additions included in Accounts Payable as follows:

(Millions of Dollars)	As of March 31, 2017		As of March 31, 2016
Eversource	$	220.5	$	125.6
CL&P	104.2		52.6
NSTAR Electric	29.8		11.7
PSNH	28.7		26.8
WMECO	19.6		10.7

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REGULATORY ACCOUNTING (Tables)

3 Months Ended

Mar. 31, 2017

Regulated Operations [Abstract]

Schedule of Regulatory Assets

The components of regulatory assets were as follows:

Eversource	As of March 31, 2017		As of December 31, 2016
(Millions of Dollars)
Benefit Costs	$	1,782.5	$	1,817.8
Derivative Liabilities	416.3		423.3
Income Taxes, Net	645.4		644.5
Storm Restoration Costs	375.8		385.3
Goodwill-related	459.3		464.4
Regulatory Tracker Mechanisms	578.9		576.6
Contractual Obligations - Yankee Companies	70.6		84.9
Other Regulatory Assets	110.9		129.5
Total Regulatory Assets	4,439.7		4,526.3
Less:  Current Portion	875.0		887.6
Total Long-Term Regulatory Assets	$	3,564.7	$	3,638.7

	As of March 31, 2017								As of December 31, 2016
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO		CL&P		NSTAR Electric		PSNH		WMECO
Benefit Costs	$	421.5	$	429.9	$	181.1	$	85.1	$	429.3	$	438.6	$	184.2	$	86.7
Derivative Liabilities	413.5		2.5		—		—		420.5		2.8		—		—
Income Taxes, Net	435.9		90.4		23.4		30.9		437.0		89.7		24.2		30.8
Storm Restoration Costs	225.1		118.5		17.0		15.2		239.8		112.5		17.1		15.9
Goodwill-related	—		394.3		—		—		—		398.7		—		—
Regulatory Tracker Mechanisms	170.5		245.9		101.8		49.1		123.9		257.3		104.5		46.7
Other Regulatory Assets	71.1		46.1		31.6		9.0		76.6		47.5		32.7		11.3
Total Regulatory Assets	1,737.6		1,327.6		354.9		189.3		1,727.1		1,347.1		362.7		191.4
Less:  Current Portion	370.1		276.5		111.3		66.0		335.5		289.4		117.2		64.1
Total Long-Term Regulatory Assets	$	1,367.5	$	1,051.1	$	243.6	$	123.3	$	1,391.6	$	1,057.7	$	245.5	$	127.3

Schedule of Regulatory Liabilities

The components of regulatory liabilities were as follows:

Eversource	As of March 31, 2017		As of December 31, 2016
(Millions of Dollars)
Cost of Removal	$	469.6	$	459.7
Benefit Costs	130.8		136.2
Regulatory Tracker Mechanisms	188.8		145.3
AFUDC - Transmission	65.8		65.8
Other Regulatory Liabilities	37.2		42.1
Total Regulatory Liabilities	892.2		849.1
Less:  Current Portion	199.2		146.8
Total Long-Term Regulatory Liabilities	$	693.0	$	702.3

	As of March 31, 2017								As of December 31, 2016
(Millions of Dollars)	CL&P		NSTAR Electric		PSNH		WMECO		CL&P		NSTAR Electric		PSNH		WMECO
Cost of Removal	$	42.5	$	273.3	$	44.8	$	10.6	$	38.8	$	271.6	$	44.1	$	8.6
Benefit Costs	—		109.8		—		—		—		113.1		—		—
Regulatory Tracker Mechanisms	44.5		62.2		15.0		12.7		37.2		63.7		10.7		14.7
AFUDC - Transmission	49.9		7.2		—		8.7		50.2		6.9		—		8.7
Other Regulatory Liabilities	23.2		0.2		3.0		—		21.0		0.2		2.7		0.1
Total Regulatory Liabilities	160.1		452.7		62.8		32.0		147.2		455.5		57.5		32.1
Less:  Current Portion	58.9		62.2		17.2		12.9		47.1		63.7		12.7		14.9
Total Long-Term Regulatory Liabilities	$	101.2	$	390.5	$	45.6	$	19.1	$	100.1	$	391.8	$	44.8	$	17.2

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PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION (Tables)

3 Months Ended

Mar. 31, 2017

Property, Plant and Equipment [Abstract]

Public Utility Property, Plant, and Equipment

The following tables summarize utility property, plant and equipment by asset category:

Eversource	As of March 31, 2017			As of December 31, 2016
(Millions of Dollars)
Distribution - Electric	$	13,893.9		$	13,716.9
Distribution - Natural Gas	3,049.3			3,010.4
Transmission - Electric	8,600.1			8,517.4
Generation	1,225.6			1,224.2
Electric and Natural Gas Utility	26,768.9			26,468.9
Other (1)	585.1			591.6
Property, Plant and Equipment, Gross	27,354.0			27,060.5
Less:  Accumulated Depreciation
Electric and Natural Gas Utility	(6,607.5		)	(6,480.4		)
Other	(251.3		)	(242.0		)
Total Accumulated Depreciation	(6,858.8		)	(6,722.4		)
Property, Plant and Equipment, Net	20,495.2			20,338.1
Construction Work in Progress	1,146.7			1,012.4
Total Property, Plant and Equipment, Net	$	21,641.9		$	21,350.5

⁽¹⁾ These assets are primarily comprised of building improvements, computer software, hardware and equipment at Eversource Service.

	As of March 31, 2017												As of December 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Distribution	$	5,628.7		$	5,471.5		$	1,981.9		$	851.8		$	5,562.9		$	5,402.3		$	1,949.8		$	841.9
Transmission	3,930.1			2,462.8			1,075.5			1,083.4			3,912.9			2,435.8			1,059.3			1,061.1
Generation	—			—			1,189.6			36.0			—			—			1,188.2			36.0
Property, Plant and Equipment, Gross	9,558.8			7,934.3			4,247.0			1,971.2			9,475.8			7,838.1			4,197.3			1,939.0
Less:  Accumulated Depreciation	(2,125.4		)	(2,064.4		)	(1,277.7		)	(347.0		)	(2,082.4		)	(2,025.4		)	(1,254.7		)	(338.8		)
Property, Plant and Equipment, Net	7,433.4			5,869.9			2,969.3			1,624.2			7,393.4			5,812.7			2,942.6			1,600.2
Construction Work in Progress	321.5			239.0			107.3			70.6			239.0			239.1			96.7			78.1
Total Property, Plant and Equipment, Net	$	7,754.9		$	6,108.9		$	3,076.6		$	1,694.8		$	7,632.4		$	6,051.8		$	3,039.3		$	1,678.3

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DERIVATIVE INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following table presents the gross fair values of contracts, categorized by risk type, and the net amounts recorded as current or long-term derivative assets or liabilities:

	As of March 31, 2017									As of December 31, 2016
(Millions of Dollars)	Commodity Supply and Price Risk Management			Netting (1)			Net Amount Recorded as a Derivative			Commodity Supply and Price Risk Management			Netting (1)			Net Amount Recorded as a Derivative
Current Derivative Assets:
Level 2:
Eversource	$	0.6		$	—		$	0.6		$	6.0		$	—		$	6.0
Level 3:
Eversource, CL&P	12.5			(8.6		)	3.9			13.9			(9.4		)	4.5
Long-Term Derivative Assets:
Level 2:
Eversource	$	—		$	—		$	—		$	0.3		$	(0.1	)	$	0.2
Level 3:
Eversource, CL&P	78.3			(9.8		)	68.5			77.3			(11.7		)	65.6
Current Derivative Liabilities:
Level 3:
Eversource	$	(72.9	)	$	—		$	(72.9	)	$	(79.7	)	$	—		$	(79.7	)
CL&P	(70.7		)	—			(70.7		)	(77.8		)	—			(77.8		)
NSTAR Electric	(2.2		)	—			(2.2		)	(1.9		)	—			(1.9		)
Long-Term Derivative Liabilities:
Level 2:
Eversource	$	(0.3	)	$	—		$	(0.3	)	$	—		$	—		$	—
Level 3:
Eversource	(415.5		)	—			(415.5		)	(413.7		)	—			(413.7		)
CL&P	(415.2		)	—			(415.2		)	(412.8		)	—			(412.8		)
NSTAR Electric	(0.3		)	—			(0.3		)	(0.9		)	—			(0.9		)

⁽¹⁾  Amounts represent derivative assets and liabilities that Eversource elected to record net on the balance sheets.  These amounts are subject to master netting agreements or similar agreements for which the right of offset exists.

Fair Value Inputs, Liabilities, Quantitative Information

The following is a summary of Eversource's, including CL&P's and NSTAR Electric's, Level 3 derivative contracts and the range of the significant unobservable inputs utilized in the valuations over the duration of the contracts:

	As of March 31, 2017						As of December 31, 2016
	Range					Period Covered	Range					Period Covered
Capacity Prices:
Eversource, CL&P	$	5.00	—	8.70	per kW-Month	2020 - 2026	$	5.50	—	8.70	per kW-Month	2020 - 2026
Forward Reserve:
Eversource, CL&P	$	1.40	—	2.00	per kW-Month	2017 - 2024	$	1.40	—	2.00	per kW-Month	2017 - 2024
REC Prices:
Eversource, NSTAR Electric	$	27.00	—	30.00	per REC	2017 - 2018	$	24.00	—	29.00	per REC	2017 - 2018

Rollforward Of Net Derivative Asset Liabilities Valued Using Unobservable Inputs

The following table presents changes in the Level 3 category of derivative assets and derivative liabilities measured at fair value on a recurring basis.  The derivative assets and liabilities are presented on a net basis.

	For the Three Months Ended March 31,
	2017									2016
(Millions of Dollars)	Eversource			CL&P			NSTAR   Electric			Eversource			CL&P			NSTAR   Electric
Derivatives, Net:
Fair Value as of Beginning of Period	$	(423.3	)	$	(420.5	)	$	(2.8	)	$	(380.9	)	$	(380.8	)	$	(0.1	)
Net Realized/Unrealized Losses Included in Regulatory Assets and Liabilities	(15.4		)	(14.6		)	(0.8		)	(28.9		)	(24.6		)	(4.3		)
Settlements	22.7			21.6			1.1			22.1			20.3			1.8
Fair Value as of End of Period	$	(416.0	)	$	(413.5	)	$	(2.5	)	$	(387.7	)	$	(385.1	)	$	(2.6	)

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MARKETABLE SECURITIES (Tables)

3 Months Ended

Mar. 31, 2017

Investments, Debt and Equity Securities [Abstract]

Schedule of Available-for-sale Securities Reconciliation

The following is a summary of available-for-sale securities, which are recorded at fair value and are included in current and long-term Marketable Securities on the balance sheets.

	As of March 31, 2017									As of December 31, 2016
Eversource (Millions of Dollars)	Amortized Cost		Pre-Tax Unrealized Gains		Pre-Tax Unrealized Losses			Fair Value		Amortized Cost		Pre-Tax Unrealized Gains		Pre-Tax Unrealized Losses			Fair Value
Debt Securities	$	296.9	$	2.4	$	(1.3	)	$	298.0	$	296.2	$	1.1	$	(2.1	)	$	295.2
Equity Securities	201.9		77.8		(0.5		)	279.2		203.3		62.3		(1.2		)	264.4

Investments Classified by Contractual Maturity Date

As of March 31, 2017, the contractual maturities of available-for-sale debt securities were as follows:  

Eversource (Millions of Dollars)	Amortized Cost		Fair Value
Less than one year (1)	$	60.6	$	60.6
One to five years	47.4		48.1
Six to ten years	54.7		55.3
Greater than ten years	134.2		134.0
Total Debt Securities	$	296.9	$	298.0

⁽¹⁾  Amounts in the Less than one year category include securities in the CYAPC and YAEC nuclear decommissioning trusts, which are restricted and are classified in long-term Marketable Securities on the balance sheets.

Fair Value on a Recurring Basis

The following table presents the marketable securities recorded at fair value on a recurring basis by the level in which they are classified within the fair value hierarchy:

Eversource (Millions of Dollars)	As of March 31, 2017		As of December 31, 2016
Level 1:
Mutual Funds and Equities	$	279.2	$	274.0
Money Market Funds	56.2		54.8
Total Level 1	$	335.4	$	328.8
Level 2:
U.S. Government Issued Debt Securities (Agency and Treasury)	$	57.0	$	63.0
Corporate Debt Securities	41.6		41.1
Asset-Backed Debt Securities	19.8		18.5
Municipal Bonds	112.5		107.5
Other Fixed Income Securities	10.9		10.3
Total Level 2	$	241.8	$	240.4
Total Marketable Securities	$	577.2	$	569.2

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PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS (Tables)

3 Months Ended

Mar. 31, 2017

Postemployment Benefits [Abstract]

Schedule of Net Benefit Costs

The components of net periodic benefit expense for the Pension, SERP and PBOP Plans are shown below.  The net periodic benefit expense and the intercompany allocations, less the capitalized portions of pension, SERP and PBOP amounts, are included in Operations and Maintenance expense on the statements of income.  Capitalized amounts relate to employees working on capital projects and are included in Property, Plant and Equipment, Net on the balance sheets.  Pension, SERP and PBOP expense reflected in the statements of cash flows for CL&P, NSTAR Electric, PSNH and WMECO does not include the intercompany allocations or the corresponding capitalized portion, as these amounts are cash settled on a short-term basis.

	Pension and SERP
Eversource	For the Three Months Ended
(Millions of Dollars)	March 31, 2017			March 31, 2016
Service Cost	$	18.7		$	19.4
Interest Cost	46.3			46.5
Expected Return on Pension Plan Assets	(83.5		)	(79.6		)
Actuarial Loss	33.6			31.5
Prior Service Cost	1.1			0.9
Total Net Periodic Benefit Expense	$	16.2		$	18.7
Capitalized Pension Expense	$	5.4		$	6.1
	PBOP
Eversource	For the Three Months Ended
(Millions of Dollars)	March 31, 2017			March 31, 2016
Service Cost	$	2.4		$	3.1
Interest Cost	7.2			9.7
Expected Return on Plan Assets	(15.9		)	(15.7		)
Actuarial Loss	2.0			1.1
Prior Service Credit	(5.3		)	(0.1		)
Total Net Periodic Benefit Income	$	(9.6	)	$	(1.9	)
Capitalized PBOP Income	$	(4.6	)	$	(0.9	)

	Pension and SERP
	For the Three Months Ended March 31, 2017												For the Three Months Ended March 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Service Cost	$	4.8		$	3.3		$	2.5		$	0.8		$	5.0		$	3.4		$	2.5		$	0.9
Interest Cost	10.5			8.3			5.2			2.1			10.6			8.3			5.1			2.1
Expected Return on Pension Plan Assets	(18.0		)	(17.6		)	(9.9		)	(4.4		)	(18.2		)	(16.9		)	(9.7		)	(4.4		)
Actuarial Loss	6.9			8.6			2.8			1.5			6.7			8.4			2.5			1.4
Prior Service Cost	0.4			0.1			0.1			0.1			0.4			—			0.1			0.1
Total Net Periodic Benefit Expense	$	4.6		$	2.7		$	0.7		$	0.1		$	4.5		$	3.2		$	0.5		$	0.1
Intercompany Allocations	$	2.5		$	1.9		$	0.8		$	0.5		$	3.3		$	2.2		$	1.0		$	0.6
Capitalized Pension Expense	$	2.5		$	1.7		$	0.3		$	0.1		$	2.7		$	1.8		$	0.3		$	0.2

	PBOP
	For the Three Months Ended March 31, 2017												For the Three Months Ended March 31, 2016
(Millions of Dollars)	CL&P			NSTAR Electric			PSNH			WMECO			CL&P			NSTAR Electric			PSNH			WMECO
Service Cost	$	0.5		$	0.4		$	0.3		$	0.1		$	0.5		$	0.9		$	0.3		$	0.1
Interest Cost	1.4			2.1			0.8			0.3			1.4			4.0			0.8			0.3
Expected Return on Plan Assets	(2.4		)	(6.6		)	(1.3		)	(0.5		)	(2.6		)	(6.4		)	(1.4		)	(0.6		)
Actuarial Loss	0.2			0.9			0.1			—			0.2			0.2			0.1			—
Prior Service Cost/(Credit)	0.3			(4.3		)	0.1			—			—			—			—			—
Total Net Periodic Benefit Income	$	—		$	(7.5	)	$	—		$	(0.1	)	$	(0.5	)	$	(1.3	)	$	(0.2	)	$	(0.2	)
Intercompany Allocations	$	(0.3	)	$	(0.3	)	$	(0.1	)	$	—		$	0.2		$	0.1		$	—		$	—
Capitalized PBOP Income	$	(0.1	)	$	(3.8	)	$	—		$	—		$	(0.2	)	$	(0.6	)	$	—		$	(0.1	)

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COMMITMENTS AND CONTINGENCIES (Tables)

3 Months Ended

Mar. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Schedule of Environmental Loss Contingencies by Site

The number of environmental sites and related reserves for which remediation or long-term monitoring, preliminary site work or site assessment is being performed are as follows:

	As of March 31, 2017			As of December 31, 2016
	Number of Sites	Reserve (in millions)		Number of Sites	Reserve (in millions)
Eversource	60	$	58.2	61	$	65.8
CL&P	14	5.3		14	4.9
NSTAR Electric	13	1.0		13	3.2
PSNH	11	5.3		11	5.3
WMECO	4	0.7		4	0.6

Schedule of Guarantor Obligations

The following table summarizes Eversource parent's exposure to guarantees and indemnifications of its subsidiaries to external parties, as of March 31, 2017:  

Company	Description	Maximum  Exposure (in millions)		Expiration Dates
On behalf of subsidiaries:
Eversource Gas Transmission LLC	Access Northeast Project Capital Contributions Guaranty	$	185.1	2021
Various	Surety Bonds (1)	38.7		2017 - 2018
Eversource Service and Rocky River Realty Company	Lease Payments for Vehicles and Real Estate	8.8		2019 - 2024

⁽¹⁾  Surety bond expiration dates reflect termination dates, the majority of which will be renewed or extended.  Certain surety bonds contain credit ratings triggers that would require Eversource parent to post collateral in the event that the unsecured debt credit ratings of Eversource parent are downgraded.  

Schedule of Complaints and Base ROE

A summary of the four separate complaints and the base ROEs pertinent to those complaints are as follows:

Complaint	15-Month Time Period of Complaint (Beginning as of Complaint Filing Date)	Original Base ROE Authorized by FERC at Time of Complaint Filing Date (1)	Base ROE Subsequently Authorized by FERC for First Complaint Period and also Effective from October 16, 2014 through April 14, 2017 (1)	Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)		FERC ALJ Recommendation of Base ROE on Second and Third Complaints (Issued March 22, 2016)
First	10/1/2011 - 12/31/2012	11.14%	10.57%	$—	(2)	N/A
Second	12/27/2012 - 3/26/2014	11.14%	N/A	39.1	(3)	9.59%
Third	7/31/2014 - 10/30/2015	11.14%	10.57%	—		10.90%
Fourth	4/29/2016 - 7/28/2017	10.57%	10.57%	—		N/A

⁽¹⁾ The total ROE between October 1, 2011 and October 15, 2014 was within a range of 11.14 percent to 13.1 percent. In 2014, as a result of a FERC order, the incentive cap was set at 11.74 percent for the first complaint period and also effective from October 16, 2014 through April 14, 2017.

⁽²⁾ CL&P, NSTAR Electric, PSNH and WMECO have refunded all amounts associated with the first complaint period, totaling $38.9 million (pre-tax and excluding interest) at Eversource (including $22.4 million at CL&P, $8.4 million at NSTAR Electric, $2.8 million at PSNH, and $5.3 million at WMECO), reflecting both the base ROE and incentive cap prescribed by the FERC order.

⁽³⁾ The reserve represents the difference between the ROEs billed during the second complaint period and a 10.57 percent base ROE and 11.74 percent incentive cap. The reserve was $21.4 million for CL&P, $8.5 million for NSTAR Electric, $3.1 million for PSNH, and $6.1 million for WMECO as of March 31, 2017.

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PSNH GENERATION ASSET SALE - (Tables)

3 Months Ended

Mar. 31, 2017

Regulated Operations [Abstract]

Schedule of Generation Assets and Liabilities

As of March 31, 2017, PSNH's generation assets were as follows:

(Millions of Dollars)
Gross Plant	$	1,192.6
Accumulated Depreciation	(564.1		)
Net Plant	628.5
Fuel	98.3
Materials and Supplies	48.5
Emission Allowances	19.7
Total Generation Assets	$	795.0

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping

Carrying amounts and estimated fair values are as follows:

	As of March 31, 2017				As of December 31, 2016
Eversource (Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Preferred Stock Not Subject to Mandatory Redemption	$	155.6	$	156.6	$	155.6	$	158.3
Long-Term Debt	10,041.8		10,428.0		9,603.2		9,980.5

	CL&P				NSTAR Electric				PSNH				WMECO
(Millions of Dollars)	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Carrying Amount		Fair Value		Carrying Amount		Fair Value
As of March 31, 2017:
Preferred Stock Not Subject to Mandatory Redemption	$	116.2	$	113.5	$	43.0	$	43.1	$	—	$	—	$	—	$	—
Long-Term Debt	2,913.2		3,179.5		2,078.5		2,202.9		1,072.3		1,115.2		566.4		596.8
As of December 31, 2016:
Preferred Stock Not Subject to Mandatory Redemption	$	116.2	$	114.7	$	43.0	$	43.6	$	—	$	—	$	—	$	—
Long-Term Debt	2,766.0		3,049.6		2,078.1		2,201.6		1,072.0		1,109.7		566.5		589.0

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ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) (Tables)

3 Months Ended

Mar. 31, 2017

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss)

The changes in accumulated other comprehensive income/(loss) by component, net of tax, is as follows:

	For the Three Months Ended March 31, 2017											For the Three Months Ended March 31, 2016
	Qualified			Unrealized								Qualified			Unrealized
	Cash Flow			Gains								Cash Flow			Gains/(Losses)
Eversource (Millions of Dollars)	Hedging			on Marketable		Defined						Hedging			on Marketable			Defined
	Instruments			Securities		Benefit Plans			Total			Instruments			Securities			Benefit Plans			Total
Balance as of Beginning of Period	$	(8.2	)	$	0.4	$	(57.5	)	$	(65.3	)	$	(10.3	)	$	(1.9	)	$	(54.6	)	$	(66.8	)
OCI Before Reclassifications	—			1.7		—			1.7			—			0.2			—			0.2
Amounts Reclassified from AOCL	0.5			—		1.0			1.5			0.5			—			0.9			1.4
Net OCI	0.5			1.7		1.0			3.2			0.5			0.2			0.9			1.6
Balance as of End of Period	$	(7.7	)	$	2.1	$	(56.5	)	$	(62.1	)	$	(9.8	)	$	(1.7	)	$	(53.7	)	$	(65.2	)

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COMMON SHARES (Tables)

3 Months Ended

Mar. 31, 2017

Equity [Abstract]

Schedule of Stock by Class

The following table sets forth the Eversource parent common shares and the shares of common stock of CL&P, NSTAR Electric, PSNH and WMECO that were authorized and issued, as well as the respective per share par values:  

	Shares
			Authorized as of March 31, 2017 and	Issued as of
	Par Value		December 31, 2016	March 31, 2017	December 31, 2016
Eversource	$	5	380,000,000	333,878,402	333,878,402
CL&P	$	10	24,500,000	6,035,205	6,035,205
NSTAR Electric	$	1	100,000,000	100	100
PSNH	$	1	100,000,000	301	301
WMECO	$	25	1,072,471	434,653	434,653

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EARNINGS PER SHARE (Tables)

3 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following table sets forth the components of basic and diluted EPS:

Eversource (Millions of Dollars, except share information)	For the Three Months Ended
	March 31, 2017		March 31, 2016
Net Income Attributable to Common Shareholders	$	259.5	$	244.2
Weighted Average Common Shares Outstanding:
Basic	317,463,151		317,517,141
Dilutive Effect	661,385		963,909
Diluted	318,124,536		318,481,050
Basic and Diluted EPS	$	0.82	$	0.77

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SEGMENT INFORMATION (Tables)

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

Eversource's segment information is as follows:

	For the Three Months Ended March 31, 2017
Eversource (Millions of Dollars)	Electric Distribution			Natural Gas Distribution			Electric Transmission			Other			Eliminations			Total
Operating Revenues	$	1,401.1		$	403.6		$	316.9		$	236.3		$	(252.8	)	$	2,105.1
Depreciation and Amortization	(129.8		)	(21.7		)	(50.6		)	(9.2		)	0.5			(210.8		)
Other Operating Expenses	(1,041.9		)	(289.6		)	(90.0		)	(216.6		)	252.8			(1,385.3		)
Operating Income	$	229.4		$	92.3		$	176.3		$	10.5		$	0.5		$	509.0
Interest Expense	$	(48.2	)	$	(10.6	)	$	(28.1	)	$	(19.7	)	$	3.2		$	(103.4	)
Other Income, Net	5.0			0.3			4.9			328.9			(325.5		)	13.6
Net Income Attributable to Common Shareholders	114.1			50.8			94.2			322.2			(321.8		)	259.5
Cash Flows Used for Investments in Plant	236.2			64.5			192.6			30.3			—			523.6

	For the Three Months Ended March 31, 2016
Eversource (Millions of Dollars)	Electric Distribution			Natural Gas Distribution			Electric Transmission			Other			Eliminations			Total
Operating Revenues	$	1,436.1		$	342.6		$	283.3		$	214.2		$	(220.6	)	$	2,055.6
Depreciation and Amortization	(127.7		)	(15.8		)	(45.1		)	(6.9		)	0.5			(195.0		)
Other Operating Expenses	(1,088.9		)	(233.5		)	(73.0		)	(197.3		)	220.6			(1,372.1		)
Operating Income	$	219.5		$	93.3		$	165.2		$	10.0		$	0.5		$	488.5
Interest Expense	$	(48.0	)	$	(10.1	)	$	(28.0	)	$	(14.1	)	$	2.0		$	(98.2	)
Other Income/(Loss), Net	—			(0.3		)	2.6			305.5			(305.8		)	2.0
Net Income Attributable to Common Shareholders	108.4			50.9			85.7			302.5			(303.3		)	244.2
Cash Flows Used for Investments in Plant	184.2			52.1			172.4			22.8			—			431.5

The following table summarizes Eversource's segmented total assets:

Eversource (Millions of Dollars)	Electric Distribution		Natural Gas Distribution		Electric Transmission		Other		Eliminations			Total
As of March 31, 2017	$	18,343.3	$	3,332.7	$	9,015.6	$	14,590.4	$	(12,926.8	)	$	32,355.2
As of December 31, 2016	18,367.5		3,303.8		8,751.5		14,493.1		(12,862.7		)	32,053.2

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Basis of Presentation (Details) customer in Millions	3 Months Ended
	Mar. 31, 2017 customer utility
Schedule of Equity Method Investments [Line Items]
Number of electric and natural gas customers | customer	3.7
Connecticut, Massachusetts and New Hampshire [Member]
Schedule of Equity Method Investments [Line Items]
Number of regulated utilities | utility	6

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Accounting Standards (Details) $ in Millions	Mar. 31, 2017 USD ($)
Accounting Policies [Abstract]
Available for sale securities subject to new accounting guidance	$ 49

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Provision for Uncollectible Accounts Narrative (Details)	3 Months Ended
	Mar. 31, 2017
Maximum [Member] | The Connecticut Light And Power Company [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Period of accounts receivable recoverable under financial or medical duress	180 days
Minimum [Member] | Yankee Gas Services Company [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Period of accounts receivable recoverable under financial or medical duress	90 days

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Provision for Uncollectible Accounts (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Provision for Uncollectible Accounts	$ 203.2	$ 200.6
Uncollectible Hardship	118.0	119.9
The Connecticut Light And Power Company [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Provision for Uncollectible Accounts	88.7	86.4
Uncollectible Hardship	69.8	67.7
NSTAR Electric Company [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Provision for Uncollectible Accounts	52.6	54.8
Uncollectible Hardship	23.7	26.2
Public Service Company Of New Hampshire [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Provision for Uncollectible Accounts	10.4	9.9
Uncollectible Hardship	0.0	0.0
Western Massachusetts Electric Company [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Provision for Uncollectible Accounts	14.2	15.5
Uncollectible Hardship	$ 8.2	$ 9.9

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Other Taxes (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Schedule of Gross Tax Receipts [Line Items]
Excise and sales taxes	$ 42.2	$ 42.2
The Connecticut Light And Power Company [Member]
Schedule of Gross Tax Receipts [Line Items]
Excise and sales taxes	$ 33.9	$ 36.0

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Supplemental Cash Flow (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Schedule of Supplemental Cash Flow [Line Items]
Capital expenditures incurred but not yet paid	$ 220.5	$ 125.6
The Connecticut Light And Power Company [Member]
Schedule of Supplemental Cash Flow [Line Items]
Capital expenditures incurred but not yet paid	104.2	52.6
NSTAR Electric Company [Member]
Schedule of Supplemental Cash Flow [Line Items]
Capital expenditures incurred but not yet paid	29.8	11.7
Public Service Company Of New Hampshire [Member]
Schedule of Supplemental Cash Flow [Line Items]
Capital expenditures incurred but not yet paid	28.7	26.8
Western Massachusetts Electric Company [Member]
Schedule of Supplemental Cash Flow [Line Items]
Capital expenditures incurred but not yet paid	$ 19.6	$ 10.7

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REGULATORY ACCOUNTING - Components of Regulatory Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Regulatory Assets [Line Items]
Total Regulatory Assets	$ 4,439,700	$ 4,526,300
Less: Current Portion	875,037	887,625
Total Long-Term Regulatory Assets	3,564,700	3,638,688
Benefit Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	1,782,500	1,817,800
Derivative Liabilities [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	416,300	423,300
Income Taxes, Net [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	645,400	644,500
Storm Restoration Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	375,800	385,300
Goodwill-related [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	459,300	464,400
Regulatory Tracker Mechanisms [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	578,900	576,600
Contractusl Obligations - Yankee Companies [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	70,600	84,900
Other Regulatory Assets [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	110,900	129,500
The Connecticut Light And Power Company [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	1,737,600	1,727,100
Less: Current Portion	370,083	335,526
Total Long-Term Regulatory Assets	1,367,486	1,391,564
The Connecticut Light And Power Company [Member] | Benefit Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	421,500	429,300
The Connecticut Light And Power Company [Member] | Derivative Liabilities [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	413,500	420,500
The Connecticut Light And Power Company [Member] | Income Taxes, Net [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	435,900	437,000
The Connecticut Light And Power Company [Member] | Storm Restoration Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	225,100	239,800
The Connecticut Light And Power Company [Member] | Goodwill-related [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	0	0
The Connecticut Light And Power Company [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	170,500	123,900
The Connecticut Light And Power Company [Member] | Other Regulatory Assets [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	71,100	76,600
NSTAR Electric Company [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	1,327,600	1,347,100
Less: Current Portion	276,476	289,400
Total Long-Term Regulatory Assets	1,051,090	1,057,746
NSTAR Electric Company [Member] | Benefit Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	429,900	438,600
NSTAR Electric Company [Member] | Derivative Liabilities [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	2,500	2,800
NSTAR Electric Company [Member] | Income Taxes, Net [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	90,400	89,700
NSTAR Electric Company [Member] | Storm Restoration Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	118,500	112,500
NSTAR Electric Company [Member] | Goodwill-related [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	394,300	398,700
NSTAR Electric Company [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	245,900	257,300
NSTAR Electric Company [Member] | Other Regulatory Assets [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	46,100	47,500
Public Service Company Of New Hampshire [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	354,900	362,700
Less: Current Portion	111,274	117,240
Total Long-Term Regulatory Assets	243,643	245,525
Public Service Company Of New Hampshire [Member] | Benefit Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	181,100	184,200
Public Service Company Of New Hampshire [Member] | Derivative Liabilities [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	0	0
Public Service Company Of New Hampshire [Member] | Income Taxes, Net [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	23,400	24,200
Public Service Company Of New Hampshire [Member] | Storm Restoration Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	17,000	17,100
Public Service Company Of New Hampshire [Member] | Goodwill-related [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	0	0
Public Service Company Of New Hampshire [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	101,800	104,500
Public Service Company Of New Hampshire [Member] | Other Regulatory Assets [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	31,600	32,700
Western Massachusetts Electric Company [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	189,300	191,400
Less: Current Portion	66,033	64,123
Total Long-Term Regulatory Assets	123,317	127,291
Western Massachusetts Electric Company [Member] | Benefit Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	85,100	86,700
Western Massachusetts Electric Company [Member] | Derivative Liabilities [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	0	0
Western Massachusetts Electric Company [Member] | Income Taxes, Net [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	30,900	30,800
Western Massachusetts Electric Company [Member] | Storm Restoration Costs [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	15,200	15,900
Western Massachusetts Electric Company [Member] | Goodwill-related [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	0	0
Western Massachusetts Electric Company [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	49,100	46,700
Western Massachusetts Electric Company [Member] | Other Regulatory Assets [Member]
Regulatory Assets [Line Items]
Total Regulatory Assets	$ 9,000	$ 11,300

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REGULATORY ACCOUNTING - Regulatory Costs in Other Long-Term Assets (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Regulatory Assets [Line Items]
Amount of regulatory costs not yet approved	$ 91.4	$ 86.3
The Connecticut Light And Power Company [Member]
Regulatory Assets [Line Items]
Amount of regulatory costs not yet approved	5.0	5.9
NSTAR Electric Company [Member]
Regulatory Assets [Line Items]
Amount of regulatory costs not yet approved	33.3	35.0
Public Service Company Of New Hampshire [Member]
Regulatory Assets [Line Items]
Amount of regulatory costs not yet approved	12.9	8.2
Western Massachusetts Electric Company [Member]
Regulatory Assets [Line Items]
Amount of regulatory costs not yet approved	$ 22.1	$ 20.1

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REGULATORY ACCOUNTING - Components of Regulatory Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	$ 892,200	$ 849,100
Less: Current Portion	199,160	146,787
Total Long-Term Regulatory Liabilities	692,989	702,255
Cost of Removal [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	469,600	459,700
Benefit Costs [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	130,800	136,200
Regulatory Tracker Mechanisms [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	188,800	145,300
AFUDC - Transmission [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	65,800	65,800
Other Regulatory Liabilities [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	37,200	42,100
The Connecticut Light And Power Company [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	160,100	147,200
Less: Current Portion	58,946	47,055
Total Long-Term Regulatory Liabilities	101,241	100,138
The Connecticut Light And Power Company [Member] | Cost of Removal [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	42,500	38,800
The Connecticut Light And Power Company [Member] | Benefit Costs [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	0	0
The Connecticut Light And Power Company [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	44,500	37,200
The Connecticut Light And Power Company [Member] | AFUDC - Transmission [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	49,900	50,200
The Connecticut Light And Power Company [Member] | Other Regulatory Liabilities [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	23,200	21,000
NSTAR Electric Company [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	452,700	455,500
Less: Current Portion	62,154	63,653
Total Long-Term Regulatory Liabilities	390,458	391,823
NSTAR Electric Company [Member] | Cost of Removal [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	273,300	271,600
NSTAR Electric Company [Member] | Benefit Costs [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	109,800	113,100
NSTAR Electric Company [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	62,200	63,700
NSTAR Electric Company [Member] | AFUDC - Transmission [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	7,200	6,900
NSTAR Electric Company [Member] | Other Regulatory Liabilities [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	200	200
Public Service Company Of New Hampshire [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	62,800	57,500
Less: Current Portion	17,224	12,659
Total Long-Term Regulatory Liabilities	45,600	44,779
Public Service Company Of New Hampshire [Member] | Cost of Removal [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	44,800	44,100
Public Service Company Of New Hampshire [Member] | Benefit Costs [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	0	0
Public Service Company Of New Hampshire [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	15,000	10,700
Public Service Company Of New Hampshire [Member] | AFUDC - Transmission [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	0	0
Public Service Company Of New Hampshire [Member] | Other Regulatory Liabilities [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	3,000	2,700
Western Massachusetts Electric Company [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	32,000	32,100
Less: Current Portion	12,897	14,888
Total Long-Term Regulatory Liabilities	19,119	17,227
Western Massachusetts Electric Company [Member] | Cost of Removal [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	10,600	8,600
Western Massachusetts Electric Company [Member] | Benefit Costs [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	0	0
Western Massachusetts Electric Company [Member] | Regulatory Tracker Mechanisms [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	12,700	14,700
Western Massachusetts Electric Company [Member] | AFUDC - Transmission [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	8,700	8,700
Western Massachusetts Electric Company [Member] | Other Regulatory Liabilities [Member]
Regulatory Liabilities [Line Items]
Total Regulatory Liabilities	$ 0	$ 100

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PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION - Investment in Utility Property, plant and equipment by asset (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Public Utility, Property, Plant and Equipment [Line Items]
Distribution - Electric	$ 13,893,900	$ 13,716,900
Distribution - Natural Gas	3,049,300	3,010,400
Transmission	8,600,100	8,517,400
Generation	1,225,600	1,224,200
Electric and Natural Gas Utility	26,768,900	26,468,900
Other	585,100	591,600
Property, Plant and Equipment, Gross	27,354,000	27,060,500
Less: Accumulated Depreciation
Electric and Natural Gas Utility	(6,607,500)	(6,480,400)
Other	(251,300)	(242,000)
Total Accumulated Depreciation	(6,858,800)	(6,722,400)
Property, Plant and Equipment, Net	20,495,200	20,338,100
Construction Work in Progress	1,146,700	1,012,400
Net Plant	21,641,898	21,350,510
The Connecticut Light And Power Company [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Distribution - Electric	5,628,700	5,562,900
Transmission	3,930,100	3,912,900
Generation	0	0
Property, Plant and Equipment, Gross	9,558,800	9,475,800
Less: Accumulated Depreciation
Total Accumulated Depreciation	(2,125,400)	(2,082,400)
Property, Plant and Equipment, Net	7,433,400	7,393,400
Construction Work in Progress	321,500	239,000
Net Plant	7,754,894	7,632,392
NSTAR Electric Company [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Distribution - Electric	5,471,500	5,402,300
Transmission	2,462,800	2,435,800
Generation	0	0
Property, Plant and Equipment, Gross	7,934,300	7,838,100
Less: Accumulated Depreciation
Total Accumulated Depreciation	(2,064,400)	(2,025,400)
Property, Plant and Equipment, Net	5,869,900	5,812,700
Construction Work in Progress	239,000	239,100
Net Plant	6,108,944	6,051,835
Public Service Company Of New Hampshire [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Distribution - Electric	1,981,900	1,949,800
Transmission	1,075,500	1,059,300
Generation	1,189,600	1,188,200
Property, Plant and Equipment, Gross	4,247,000	4,197,300
Less: Accumulated Depreciation
Total Accumulated Depreciation	(1,277,700)	(1,254,700)
Property, Plant and Equipment, Net	2,969,300	2,942,600
Construction Work in Progress	107,300	96,700
Net Plant	3,076,608	3,039,313
Western Massachusetts Electric Company [Member]
Public Utility, Property, Plant and Equipment [Line Items]
Distribution - Electric	851,800	841,900
Transmission	1,083,400	1,061,100
Generation	36,000	36,000
Property, Plant and Equipment, Gross	1,971,200	1,939,000
Less: Accumulated Depreciation
Total Accumulated Depreciation	(347,000)	(338,800)
Property, Plant and Equipment, Net	1,624,200	1,600,200
Construction Work in Progress	70,600	78,100
Net Plant	$ 1,694,818	$ 1,678,262

XML

DERIVATIVE INSTRUMENTS - Gross Fair Value of Contracts (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Current Derivative Assets [Member] | Fair Value, Inputs, Level 2 [Member]
Derivative Assets (Liabilities), at Fair Value, Net, by Balance Sheet Classification [Abstract]
Commodity Supply and Price Risk Management	$ 0.6	$ 6.0
Netting	0.0	0.0
Net Amount Recorded as a Derivative	0.6	6.0
Current Derivative Assets [Member] | Eversource and The Connecticut Light And Power Company [Member] | Fair Value, Inputs, Level 3 [Member]
Derivative Assets (Liabilities), at Fair Value, Net, by Balance Sheet Classification [Abstract]
Commodity Supply and Price Risk Management	12.5	13.9
Netting	(8.6)	(9.4)
Net Amount Recorded as a Derivative	3.9	4.5
Long-term Derivative Assets [Member] | Fair Value, Inputs, Level 2 [Member]
Derivative Assets (Liabilities), at Fair Value, Net, by Balance Sheet Classification [Abstract]
Commodity Supply and Price Risk Management	0.0	0.3
Netting	0.0	(0.1)
Net Amount Recorded as a Derivative	0.0	0.2
Long-term Derivative Assets [Member] | Eversource and The Connecticut Light And Power Company [Member] | Fair Value, Inputs, Level 3 [Member]
Derivative Assets (Liabilities), at Fair Value, Net, by Balance Sheet Classification [Abstract]
Commodity Supply and Price Risk Management	78.3	77.3
Netting	(9.8)	(11.7)
Net Amount Recorded as a Derivative	68.5	65.6
Current Derivative Liabilities [Member] | Fair Value, Inputs, Level 3 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(72.9)	(79.7)
Netting	0.0	0.0
Net Amount Recorded as a Derivative	(72.9)	(79.7)
Current Derivative Liabilities [Member] | The Connecticut Light And Power Company [Member] | Fair Value, Inputs, Level 3 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(70.7)	(77.8)
Netting	0.0	0.0
Net Amount Recorded as a Derivative	(70.7)	(77.8)
Current Derivative Liabilities [Member] | NSTAR Electric Company [Member] | Fair Value, Inputs, Level 3 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(2.2)	(1.9)
Netting	0.0	0.0
Net Amount Recorded as a Derivative	(2.2)	(1.9)
Long-Term Derivative Liabilities [Member] | Fair Value, Inputs, Level 2 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(0.3)	0.0
Netting	0.0	0.0
Net Amount Recorded as a Derivative	(0.3)	0.0
Long-Term Derivative Liabilities [Member] | Fair Value, Inputs, Level 3 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(415.5)	(413.7)
Netting	0.0	0.0
Net Amount Recorded as a Derivative	(415.5)	(413.7)
Long-Term Derivative Liabilities [Member] | The Connecticut Light And Power Company [Member] | Fair Value, Inputs, Level 3 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(415.2)	(412.8)
Netting	0.0	0.0
Net Amount Recorded as a Derivative	(415.2)	(412.8)
Long-Term Derivative Liabilities [Member] | NSTAR Electric Company [Member] | Fair Value, Inputs, Level 3 [Member]
Current and Long-Term Derivative Liabilities
Commodity Supply and Price Risk Management	(0.3)	(0.9)
Netting	0.0	0.0
Net Amount Recorded as a Derivative	$ (0.3)	$ (0.9)

XML

DERIVATIVE INSTRUMENTS - Derivative Contracts at Fair Value (Details) MWh in Millions, MMBTU in Millions, $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2017 USD ($) MMBTU MWh MW	Mar. 31, 2016 USD ($)	Dec. 31, 2016 MMBTU
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Percentage of costs or benefits borne under capacity-related contracts by United Illuminated Company	20.00%
Amount of power to be purchased under capacity-related contract (up to) | MW	787
Amount of natural gas to be purchased under futures contracts | MMBTU	5.4		9.2
Losses deferred as regulatory costs | $	$ 26.5	$ 30.5
The Connecticut Light And Power Company [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Percentage of costs or benefits borne under capacity-related contracts	80.00%
Amount of energy to be purchased under renewable energy contract (in mwh) | MWh	0.1
NSTAR Electric Company [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of power to be purchased under capacity-related contract (up to) | MW	35
Amount of energy to be purchased under renewable energy contract (in mwh) | MWh	0.1

XML

DERIVATIVE INSTRUMENTS - Unobservable Inputs Utilized (Details) - Fair Value, Inputs, Level 3 [Member] - $ / KWmo	Mar. 31, 2017	Dec. 31, 2016
Eversource and The Connecticut Light And Power Company [Member] | Minimum [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Capacity Prices (in USDPerKiloWattMonth)	5.00	5.50
Forward Reserve (in USDPerKiloWattMonth)	1.40	1.40
Eversource and The Connecticut Light And Power Company [Member] | Maximum [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Capacity Prices (in USDPerKiloWattMonth)	8.70	8.70
Forward Reserve (in USDPerKiloWattMonth)	2.00	2.00
Eversource and NSTAR Electric Company [Member] | Minimum [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
REC Prices (in USDPerKiloWattMonth)	27.00	24.00
Eversource and NSTAR Electric Company [Member] | Maximum [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
REC Prices (in USDPerKiloWattMonth)	30.00	29.00

XML

DERIVATIVE INSTRUMENTS - Unobservable Inputs Narrative (Details) - Fair Value, Inputs, Level 3 [Member]	3 Months Ended
	Mar. 31, 2017
Minimum [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Percentage of exit price premiums related to derivative contracts	2.00%
Maximum [Member]
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Percentage of exit price premiums related to derivative contracts	19.00%

XML

DERIVATIVE INSTRUMENTS - Derivative Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Derivatives, Net [Rollforward]
Fair Value as of Beginning of Period	$ (423.3)	$ (380.9)
Net Realized/Unrealized Losses Included in Regulatory Assets and Liabilities	(15.4)	(28.9)
Settlements	22.7	22.1
Fair Value as of End of Period	(416.0)	(387.7)
The Connecticut Light And Power Company [Member]
Derivatives, Net [Rollforward]
Fair Value as of Beginning of Period	(420.5)	(380.8)
Net Realized/Unrealized Losses Included in Regulatory Assets and Liabilities	(14.6)	(24.6)
Settlements	21.6	20.3
Fair Value as of End of Period	(413.5)	(385.1)
NSTAR Electric Company [Member]
Derivatives, Net [Rollforward]
Fair Value as of Beginning of Period	(2.8)	(0.1)
Net Realized/Unrealized Losses Included in Regulatory Assets and Liabilities	(0.8)	(4.3)
Settlements	1.1	1.8
Fair Value as of End of Period	$ (2.5)	$ (2.6)

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MARKETABLE SECURITIES - Trading Securities (Details) - Fair Value, Inputs, Level 1 [Member] - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2016	Dec. 31, 2016
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value of securities under fair value option		$ 9.6
Other Income [Member]
Schedule of Trading Securities and Other Trading Assets [Line Items]
Net gain (loss) under fair value option	$ 0.2

XML

MARKETABLE SECURITIES - Schedule of Available for Sale Securities (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 296.9	$ 296.2
Pre-Tax Unrealized Gains	2.4	1.1
Pre-Tax Unrealized Losses	(1.3)	(2.1)
Fair Value	298.0	295.2
Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	201.9	203.3
Pre-Tax Unrealized Gains	77.8	62.3
Pre-Tax Unrealized Losses	(0.5)	(1.2)
Fair Value	$ 279.2	$ 264.4

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MARKETABLE SECURITIES - Available for Sale Securities Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Investments, Debt and Equity Securities [Abstract]
Debt, equity and marketable securities held in nuclear decommissioning trust	$ 482.3	$ 466.7

XML

MARKETABLE SECURITIES - Schedule of Contractual Maturities (Details) $ in Millions	Mar. 31, 2017 USD ($)
Amortized Cost
Less than one year	$ 60.6
One to five years	47.4
Six to ten years	54.7
Greater than ten years	134.2
Total Debt Securities	296.9
Fair Value
Less than one year	60.6
One to five years	48.1
Six to ten years	55.3
Greater than ten years	134.0
Total Debt Securities	$ 298.0

XML

MARKETABLE SECURITIES - Schedule of Fair Value Measurements (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	$ 577.2	$ 569.2
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	335.4	328.8
Fair Value, Inputs, Level 1 [Member] | Mutual Funds and Equities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	279.2	274.0
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	56.2	54.8
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	241.8	240.4
Fair Value, Inputs, Level 2 [Member] | U.S. Government Issued Debt Securities (Agency and Treasury) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	57.0	63.0
Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	41.6	41.1
Fair Value, Inputs, Level 2 [Member] | Asset-Backed Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	19.8	18.5
Fair Value, Inputs, Level 2 [Member] | Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	112.5	107.5
Fair Value, Inputs, Level 2 [Member] | Other Fixed Income Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities recorded at fair value on a recurring basis	$ 10.9	$ 10.3

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SHORT-TERM AND LONG-TERM DEBT - Commercial Paper Programs and Credit Agreements (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Eversource Parent [Member]
Line of Credit Facility [Line Items]
Amount outstanding during period	$ 0	$ 0
Eversource Parent [Member] | Commercial Paper [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	1,450,000,000
Short-term borrowings outstanding	801,000,000	1,000,000,000
Remaining borrowing capacity	$ 649,000,000	$ 428,000,000
Weighted average interest rate (as a percentage)	1.12%	0.88%
Eversource Parent [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 1,450,000,000
Debt instrument term	5 years
The Connecticut Light And Power Company [Member]
Line of Credit Facility [Line Items]
Notes payable to Eversource Parent	$ 3,400,000	$ 80,100,000
Public Service Company Of New Hampshire [Member]
Line of Credit Facility [Line Items]
Notes payable to Eversource Parent	144,900,000	160,900,000
Western Massachusetts Electric Company [Member]
Line of Credit Facility [Line Items]
Notes payable to Eversource Parent	71,400,000	51,000,000
NSTAR Electric Company [Member]
Line of Credit Facility [Line Items]
Amount outstanding during period	0	0
NSTAR Electric Company [Member] | Commercial Paper [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	450,000,000
Short-term borrowings outstanding	174,500,000	126,500,000
Remaining borrowing capacity	$ 275,500,000	$ 323,500,000
Weighted average interest rate (as a percentage)	0.86%	0.71%
NSTAR Electric Company [Member] | Line of Credit [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 450,000,000
Debt instrument term	5 years

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SHORT-TERM AND LONG-TERM DEBT - Long-Term Debt Issuances (Details) - Senior Notes [Member]	Mar. 31, 2017 USD ($)
Eversource Parent [Member] | Series K Senior Notes Due 2022 [Member]
Debt Instrument [Line Items]
Debt instrument, face amount	$ 300,000,000
Interest rate stated percentage	2.75%
The Connecticut Light And Power Company [Member] | 2017 Series A First and Refunding Mortgage Bonds Due 2027 [Member]
Debt Instrument [Line Items]
Debt instrument, face amount	$ 300,000,000
Interest rate stated percentage	3.20%

XML

SHORT-TERM AND LONG-TERM DEBT - Long-Term Debt Repayments (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2017	Mar. 31, 2016
Debt Instrument [Line Items]
Repayments of debt		$ 150,000	$ 0
The Connecticut Light And Power Company [Member]
Debt Instrument [Line Items]
Repayments of debt		$ 150,000	$ 0
2007 Series A First and Refunding Mortgage Bonds [Member] | Senior Notes [Member] | The Connecticut Light And Power Company [Member]
Debt Instrument [Line Items]
Repayments of debt	$ 150,000
Interest rate stated percentage	5.375%	5.375%

XML

SHORT-TERM AND LONG - Long-Term Debt Issuance Authorization (Details) - Senior Notes [Member] - USD ($) $ in Millions	Mar. 30, 2017	Jan. 04, 2017
The Connecticut Light And Power Company [Member]
Debt Instrument [Line Items]
Amount of debt authorized (up to)		$ 1,325
NSTAR Electric Company [Member]
Debt Instrument [Line Items]
Amount of debt authorized (up to)	$ 700

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PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2017 USD ($)
Pension Plan [Member]
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Prior service credit as a result of remeasurement	$ 5.3

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PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS - Components of Periodic Benefit Expense (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Pension Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	$ 18.7	$ 19.4
Interest Cost	46.3	46.5
Expected Return on Pension Plan Assets	(83.5)	(79.6)
Actuarial Loss	33.6	31.5
Prior Service Cost/(Credit)	1.1	0.9
Total Net Periodic Benefit Income	16.2	18.7
Capitalized PBOP Income	5.4	6.1
Other Postretirement Benefit Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	2.4	3.1
Interest Cost	7.2	9.7
Expected Return on Pension Plan Assets	(15.9)	(15.7)
Actuarial Loss	2.0	1.1
Prior Service Cost/(Credit)	(5.3)	(0.1)
Total Net Periodic Benefit Income	(9.6)	(1.9)
Capitalized PBOP Income	(4.6)	(0.9)
The Connecticut Light And Power Company [Member] | Pension Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	4.8	5.0
Interest Cost	10.5	10.6
Expected Return on Pension Plan Assets	(18.0)	(18.2)
Actuarial Loss	6.9	6.7
Prior Service Cost/(Credit)	0.4	0.4
Total Net Periodic Benefit Income	4.6	4.5
Intercompany Allocations	2.5	3.3
Capitalized PBOP Income	2.5	2.7
The Connecticut Light And Power Company [Member] | Other Postretirement Benefit Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	0.5	0.5
Interest Cost	1.4	1.4
Expected Return on Pension Plan Assets	(2.4)	(2.6)
Actuarial Loss	0.2	0.2
Prior Service Cost/(Credit)	0.3	0.0
Total Net Periodic Benefit Income	0.0	(0.5)
Intercompany Allocations	(0.3)	0.2
Capitalized PBOP Income	(0.1)	(0.2)
NSTAR Electric Company [Member] | Pension Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	3.3	3.4
Interest Cost	8.3	8.3
Expected Return on Pension Plan Assets	(17.6)	(16.9)
Actuarial Loss	8.6	8.4
Prior Service Cost/(Credit)	0.1	0.0
Total Net Periodic Benefit Income	2.7	3.2
Intercompany Allocations	1.9	2.2
Capitalized PBOP Income	1.7	1.8
NSTAR Electric Company [Member] | Other Postretirement Benefit Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	0.4	0.9
Interest Cost	2.1	4.0
Expected Return on Pension Plan Assets	(6.6)	(6.4)
Actuarial Loss	0.9	0.2
Prior Service Cost/(Credit)	(4.3)	0.0
Total Net Periodic Benefit Income	(7.5)	(1.3)
Intercompany Allocations	(0.3)	0.1
Capitalized PBOP Income	(3.8)	(0.6)
Public Service Company Of New Hampshire [Member] | Pension Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	2.5	2.5
Interest Cost	5.2	5.1
Expected Return on Pension Plan Assets	(9.9)	(9.7)
Actuarial Loss	2.8	2.5
Prior Service Cost/(Credit)	0.1	0.1
Total Net Periodic Benefit Income	0.7	0.5
Intercompany Allocations	0.8	1.0
Capitalized PBOP Income	0.3	0.3
Public Service Company Of New Hampshire [Member] | Other Postretirement Benefit Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	0.3	0.3
Interest Cost	0.8	0.8
Expected Return on Pension Plan Assets	(1.3)	(1.4)
Actuarial Loss	0.1	0.1
Prior Service Cost/(Credit)	0.1	0.0
Total Net Periodic Benefit Income	0.0	(0.2)
Intercompany Allocations	(0.1)	0.0
Capitalized PBOP Income	0.0	0.0
Western Massachusetts Electric Company [Member] | Pension Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	0.8	0.9
Interest Cost	2.1	2.1
Expected Return on Pension Plan Assets	(4.4)	(4.4)
Actuarial Loss	1.5	1.4
Prior Service Cost/(Credit)	0.1	0.1
Total Net Periodic Benefit Income	0.1	0.1
Intercompany Allocations	0.5	0.6
Capitalized PBOP Income	0.1	0.2
Western Massachusetts Electric Company [Member] | Other Postretirement Benefit Plan [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service Cost	0.1	0.1
Interest Cost	0.3	0.3
Expected Return on Pension Plan Assets	(0.5)	(0.6)
Actuarial Loss	0.0	0.0
Prior Service Cost/(Credit)	0.0	0.0
Total Net Periodic Benefit Income	(0.1)	(0.2)
Intercompany Allocations	0.0	0.0
Capitalized PBOP Income	$ 0.0	$ (0.1)

XML

COMMITMENTS AND CONTINGENCIES - Schedule of Environmental Matters (Details) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2017 USD ($) site	Dec. 31, 2016 USD ($) site
Site Contingency [Line Items]
Number of Sites | site	60	61
Reserve | $	$ 58.2	$ 65.8
The Connecticut Light And Power Company [Member]
Site Contingency [Line Items]
Number of Sites | site	14	14
Reserve | $	$ 5.3	$ 4.9
NSTAR Electric Company [Member]
Site Contingency [Line Items]
Number of Sites | site	13	13
Reserve | $	$ 1.0	$ 3.2
Public Service Company Of New Hampshire [Member]
Site Contingency [Line Items]
Number of Sites | site	11	11
Reserve | $	$ 5.3	$ 5.3
Western Massachusetts Electric Company [Member]
Site Contingency [Line Items]
Number of Sites | site	4	4
Reserve | $	$ 0.7	$ 0.6

XML

COMMITMENTS AND CONTINGENCIES - Environmental Matters Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Site Contingency [Line Items]
Reserve	$ 58.2	$ 65.8
MGP Site accrual [Member]
Site Contingency [Line Items]
Reserve	$ 53.0	$ 59.0

XML

COMMITMENTS AND CONTINGENCIES - Guarantees and Indemnifications Narrative (Details) $ in Millions	Mar. 31, 2017 USD ($)
Access Northeast [Member]
Guarantor Obligations [Line Items]
Guarantor obligations, maximum exposure (up to)	$ 206
Guarantee Of Financial Obligations Of Npt [Member]
Guarantor Obligations [Line Items]
Guarantor obligations, maximum exposure (up to)	25
Guarantee Of Npt Letters Of Credit [Member]
Guarantor Obligations [Line Items]
Guarantor obligations, maximum exposure (up to)	$ 14

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COMMITMENTS AND CONTINGENCIES - Schedule of Guarantees and Indemnifications (Details) $ in Millions	Mar. 31, 2017 USD ($)
Access Northeast Project Capital Contributions Guarantee Expiring In 2021 [Member]
Loss Contingencies [Line Items]
Maximum Exposure	$ 185.1
Various Subsidiary Surety Bonds And Performance Guarantees Expiring Between 2016 And 2018 [Member]
Loss Contingencies [Line Items]
Maximum Exposure	38.7
Guarantee Of Rocky River Reality And Nusco Lease Payments For Real Estate And Vehicles Expiring 2019 Through 2024 [Member]
Loss Contingencies [Line Items]
Maximum Exposure	$ 8.8

XML

COMMITMENTS AND CONTINGENCIES - FERC ROE Complaints (Details) - USD ($) $ in Millions			3 Months Ended	15 Months Ended
	Apr. 14, 2017	Apr. 29, 2016	Mar. 31, 2017	Mar. 26, 2014
FERC ROE First, Second and Third Complaints [Member]
Loss Contingencies [Line Items]
Base ROE percentage challenged by complainants			11.14%
FERC ROE Complaints [Member]
Loss Contingencies [Line Items]
Period of complaint			15 months
Basis point change			10.00%
Estimate of possible loss for each 10 basis point change to base ROE			$ 3.0
FERC ROE Fourth Complaint [Member]
Loss Contingencies [Line Items]
Base ROE percentage of complaint period		10.57%
Maximum percentage cap of ROE for incentive projects		11.74%
Loss contingency, estimate of possible earnings impact			0.0
FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate of possible earnings impact			0.0
FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Base ROE percentage of complaint period				10.57%
Loss contingency, estimate of possible earnings impact			39.1
The Connecticut Light And Power Company [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate of possible earnings impact			21.4
NSTAR Electric Company [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate of possible earnings impact			8.5
Public Service Company Of New Hampshire [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate of possible earnings impact			3.1
Western Massachusetts Electric Company [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate of possible earnings impact			$ 6.1
Subsequent Event [Member] | FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Base ROE percentage challenged by complainants	11.14%

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COMMITMENTS AND CONTINGENCIES - Schedule of Complaints and Base ROEs (Details) - USD ($) $ in Millions	3 Months Ended	15 Months Ended			16 Months Ended	30 Months Ended	36 Months Ended
	Mar. 31, 2017	Jul. 30, 2017	Mar. 26, 2014	Dec. 31, 2012	Oct. 30, 2015	Mar. 31, 2017	Oct. 15, 2014
FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Original Base ROE Authorized by FERC at Time of Complaint (in percentage)				11.14%
Base ROE Subsequently Authorized by FERC for first complaint period and prospectively from October 16, 2014 (in percentage)				10.57%
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	$ 0.0					$ 0.0
Percentage of maximum ROE for any incentive project						11.74%
Customer Refund Payments	38.9
FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Original Base ROE Authorized by FERC at Time of Complaint (in percentage)			11.14%
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	39.1					$ 39.1
FERC ALJ Recommendation of base ROE on Second and Third Complaints (Issued March 22, 2016) (in percentage)			9.59%
Percentage of maximum ROE for any incentive project			11.74%
FERC ROE Third Complaint [Member]
Loss Contingencies [Line Items]
Original Base ROE Authorized by FERC at Time of Complaint (in percentage)					11.14%
Base ROE Subsequently Authorized by FERC for first complaint period and prospectively from October 16, 2014 (in percentage)					10.57%
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	0.0					0.0
FERC ALJ Recommendation of base ROE on Second and Third Complaints (Issued March 22, 2016) (in percentage)					10.90%
FERC ROE Fourth Complaint [Member]
Loss Contingencies [Line Items]
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	0.0					0.0
Scenario, Forecast [Member] | FERC ROE Fourth Complaint [Member]
Loss Contingencies [Line Items]
Original Base ROE Authorized by FERC at Time of Complaint (in percentage)		10.57%
Base ROE Subsequently Authorized by FERC for first complaint period and prospectively from October 16, 2014 (in percentage)		10.57%
The Connecticut Light And Power Company [Member] | FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Customer Refund Payments	22.4
The Connecticut Light And Power Company [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	21.4					21.4
NSTAR Electric Company [Member] | FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Customer Refund Payments	8.4
NSTAR Electric Company [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	8.5					8.5
Public Service Company Of New Hampshire [Member] | FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Customer Refund Payments	2.8
Public Service Company Of New Hampshire [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	3.1					3.1
Western Massachusetts Electric Company [Member] | FERC ROE First Complaint [Member]
Loss Contingencies [Line Items]
Customer Refund Payments	5.3
Western Massachusetts Electric Company [Member] | FERC ROE Second Complaint [Member]
Loss Contingencies [Line Items]
Reserve (Pre-Tax and Excluding Interest) as of March 31, 2017 (in millions)	$ 6.1					$ 6.1
Minimum [Member] | FERC ROE First, Second and Third Complaints [Member]
Loss Contingencies [Line Items]
Percentage of maximum ROE for any incentive project							11.14%
Maximum [Member] | FERC ROE First, Second and Third Complaints [Member]
Loss Contingencies [Line Items]
Percentage of maximum ROE for any incentive project							13.10%

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PSNH GENERATION ASSET SALE - Narrative (Details) $ in Thousands	Jun. 10, 2015 USD ($) senator	Mar. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Regulatory Assets [Line Items]
Equity return related to clean air project forgone	$ 25,000
Other current liabilities		$ 639,366	$ 684,914
Accrued Pension and SERP		1,077,593	1,141,514
Public Service Company Of New Hampshire [Member]
Regulatory Assets [Line Items]
Other current liabilities		52,771	43,253
Accrued Pension and SERP		91,911	$ 94,652
Electricity Generation Plant, Non-Nuclear [Member] | Public Service Company Of New Hampshire [Member]
Regulatory Assets [Line Items]
Number of state senators | senator	2
Payments for restructuring	$ 5,000
Accounts payable		30,100
Other current liabilities		21,700
Asset retirement obligation		20,300
Accrued Pension and SERP		$ 23,700

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PSNH GENERATION ASSET SALE - PSNH Generation Assets and Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Regulatory Assets [Line Items]
Gross Plant	$ 27,354,000	$ 27,060,500
Accumulated Depreciation	(6,858,800)	(6,722,400)
Net Plant	21,641,898	21,350,510
Emission Allowances	361,779	328,721
Public Service Company Of New Hampshire [Member]
Regulatory Assets [Line Items]
Gross Plant	4,247,000	4,197,300
Accumulated Depreciation	(1,277,700)	(1,254,700)
Net Plant	3,076,608	3,039,313
Emission Allowances	165,725	$ 162,354
Electricity Generation Plant, Non-Nuclear [Member] | Public Service Company Of New Hampshire [Member]
Regulatory Assets [Line Items]
Gross Plant	1,192,600
Accumulated Depreciation	(564,100)
Net Plant	628,500
Fuel	98,300
Materials and Supplies	48,500
Emission Allowances	19,700
Total Generation Assets	$ 795,000

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FAIR VALUE OF FINANCIAL INSTRUMENTS - Carrying Amounts and Fair Value Hierarchy (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	$ 155,568	$ 155,568
Carrying Amount | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	155,600	155,600
Long-Term Debt	10,041,800	9,603,200
Fair Value | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	156,600	158,300
Long-Term Debt	10,428,000	9,980,500
The Connecticut Light And Power Company [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	116,200	116,200
The Connecticut Light And Power Company [Member] | Carrying Amount | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	116,200	116,200
Long-Term Debt	2,913,200	2,766,000
The Connecticut Light And Power Company [Member] | Fair Value | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	113,500	114,700
Long-Term Debt	3,179,500	3,049,600
NSTAR Electric Company [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	43,000	43,000
NSTAR Electric Company [Member] | Carrying Amount | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	43,000	43,000
Long-Term Debt	2,078,500	2,078,100
NSTAR Electric Company [Member] | Fair Value | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	43,100	43,600
Long-Term Debt	2,202,900	2,201,600
Public Service Company Of New Hampshire [Member] | Carrying Amount | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	0	0
Long-Term Debt	1,072,300	1,072,000
Public Service Company Of New Hampshire [Member] | Fair Value | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	0	0
Long-Term Debt	1,115,200	1,109,700
Western Massachusetts Electric Company [Member] | Carrying Amount | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	0	0
Long-Term Debt	566,400	566,500
Western Massachusetts Electric Company [Member] | Fair Value | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Preferred Stock Not Subject to Mandatory Redemption	0	0
Long-Term Debt	$ 596,800	$ 589,000

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ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) - Schedule of Accumulated Other Comprehensive Income (loss) by Component (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
AOCI Attributable to Parent [Roll Forward]
Balance as of Beginning of Period	$ (65,282)
OCI Before Reclassifications	1,700	$ 200
Amounts Reclassified from AOCL	1,500	1,400
Net OCI	3,141	1,669
Balance as of End of Period	(62,141)
AOCI Attributable to Parent [Member]
AOCI Attributable to Parent [Roll Forward]
Balance as of Beginning of Period	(65,300)	(66,800)
Balance as of End of Period	(62,100)	(65,200)
Qualified Cash Flow Hedging Instruments [Member]
AOCI Attributable to Parent [Roll Forward]
Balance as of Beginning of Period	(8,200)	(10,300)
OCI Before Reclassifications	0	0
Amounts Reclassified from AOCL	500	500
Net OCI	500	500
Balance as of End of Period	(7,700)	(9,800)
Unrealized Gains/(Losses) on Marketable Securities [Member]
AOCI Attributable to Parent [Roll Forward]
Balance as of Beginning of Period	400	(1,900)
OCI Before Reclassifications	1,700	200
Amounts Reclassified from AOCL	0	0
Net OCI	1,700	200
Balance as of End of Period	2,100	(1,700)
Defined Benefit Plans [Member]
AOCI Attributable to Parent [Roll Forward]
Balance as of Beginning of Period	(57,500)	(54,600)
OCI Before Reclassifications	0	0
Amounts Reclassified from AOCL	1,000	900
Net OCI	1,000	900
Balance as of End of Period	$ (56,500)	$ (53,700)

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COMMON SHARES - Schedule of Common Shares (Details) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Class of Stock [Line Items]
Per Value (in dollars per share)	$ 5	$ 5
Authorized (in shares)	380,000,000	380,000,000
Issued (in shares)	333,878,402	333,878,402
The Connecticut Light And Power Company [Member]
Class of Stock [Line Items]
Per Value (in dollars per share)	$ 10	$ 10
Authorized (in shares)	24,500,000	24,500,000
Issued (in shares)	6,035,205	6,035,205
NSTAR Electric Company [Member]
Class of Stock [Line Items]
Per Value (in dollars per share)	$ 1	$ 1
Authorized (in shares)	100,000,000	100,000,000
Issued (in shares)	100	100
Public Service Company Of New Hampshire [Member]
Class of Stock [Line Items]
Per Value (in dollars per share)	$ 1	$ 1
Authorized (in shares)	100,000,000	100,000,000
Issued (in shares)	301	301
Western Massachusetts Electric Company [Member]
Class of Stock [Line Items]
Per Value (in dollars per share)	$ 25	$ 25
Authorized (in shares)	1,072,471	1,072,471
Issued (in shares)	434,653	434,653

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COMMON SHARES - Narrative (Details) - shares	Mar. 31, 2017	Dec. 31, 2016
Equity [Abstract]
Treasury stock (in shares)	16,992,594	16,992,594
Common stock outstanding (in shares)	316,885,808	316,885,808

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COMMON SHAREHOLDERS' EQUITY AND NONCONTROLLING INTERESTS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Class of Stock [Line Items]
Noncontrolling Interest - Preferred Stock of Subsidiaries	$ 155,568		$ 155,568
The Connecticut Light And Power Company [Member]
Class of Stock [Line Items]
Net income attributable to noncontrolling interests	1,900
Noncontrolling Interest - Preferred Stock of Subsidiaries	116,200		116,200
NSTAR Electric Company [Member]
Class of Stock [Line Items]
Net income attributable to noncontrolling interests		$ 1,900
Noncontrolling Interest - Preferred Stock of Subsidiaries	$ 43,000		$ 43,000

XML

EARNINGS PER SHARE - Narrative (Details) - shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Earnings Per Share [Abstract]
Antidilutive share awards excluded from computation (in shares)	0	0

XML

EARNINGS PER SHARE - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Earnings Per Share [Abstract]
Net Income Attributable to Common Shareholders	$ 259,458	$ 244,153
Weighted Average Common Shares Outstanding:
Basic (in shares)	317,463,151	317,517,141
Dilutive Effect (in shares)	661,385	963,909
Diluted (in shares)	318,124,536	318,481,050
Basic and Diluted EPS (in dollars per share)	$ 0.82	$ 0.77

XML

SEGMENT INFORMATION - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2017 USD ($) companies segment
Segment Reporting Information [Line Items]
Number of companies that transmit hydro electricity imported from The Hydro-Quebec System in Canada | companies	2
Amount of natural gas transmission purchased from Enbridge by Yankee Gas and NSTAR Gas | $	$ 62.5
The Connecticut Light And Power Company [Member]
Segment Reporting Information [Line Items]
Number of reportable segments	1
NSTAR Electric Company [Member]
Segment Reporting Information [Line Items]
Number of reportable segments	1
Public Service Company Of New Hampshire [Member]
Segment Reporting Information [Line Items]
Number of reportable segments	1
Western Massachusetts Electric Company [Member]
Segment Reporting Information [Line Items]
Number of reportable segments	1

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SEGMENT INFORMATION - Schedule of Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Segment Reporting Information [Line Items]
Operating Revenues	$ 2,105,135	$ 2,055,635
Depreciation and Amortization	(210,800)	(195,000)
Other Operating Expenses	(1,385,300)	(1,372,100)
Operating Income/(Loss)	509,019	488,536
Interest Expense	(103,429)	(98,212)
Other Income/(Loss), Net	13,577	2,011
Net Income Attributable to Common Shareholders	259,458	244,153
Cash Flows Used for Investments in Plant	523,560	431,472
Assets	32,355,176		$ 32,053,173
Operating Segments [Member] | Electric Distribution [Member]
Segment Reporting Information [Line Items]
Operating Revenues	1,401,100	1,436,100
Depreciation and Amortization	(129,800)	(127,700)
Other Operating Expenses	(1,041,900)	(1,088,900)
Operating Income/(Loss)	229,400	219,500
Interest Expense	(48,200)	(48,000)
Other Income/(Loss), Net	5,000	0
Net Income Attributable to Common Shareholders	114,100	108,400
Cash Flows Used for Investments in Plant	236,200	184,200
Assets	18,343,300		18,367,500
Operating Segments [Member] | Natural Gas Distribution [Member]
Segment Reporting Information [Line Items]
Operating Revenues	403,600	342,600
Depreciation and Amortization	(21,700)	(15,800)
Other Operating Expenses	(289,600)	(233,500)
Operating Income/(Loss)	92,300	93,300
Interest Expense	(10,600)	(10,100)
Other Income/(Loss), Net	300	(300)
Net Income Attributable to Common Shareholders	50,800	50,900
Cash Flows Used for Investments in Plant	64,500	52,100
Assets	3,332,700		3,303,800
Operating Segments [Member] | Electric Transmission [Member]
Segment Reporting Information [Line Items]
Operating Revenues	316,900	283,300
Depreciation and Amortization	(50,600)	(45,100)
Other Operating Expenses	(90,000)	(73,000)
Operating Income/(Loss)	176,300	165,200
Interest Expense	(28,100)	(28,000)
Other Income/(Loss), Net	4,900	2,600
Net Income Attributable to Common Shareholders	94,200	85,700
Cash Flows Used for Investments in Plant	192,600	172,400
Assets	9,015,600		8,751,500
Operating Segments [Member] | Other [Member]
Segment Reporting Information [Line Items]
Operating Revenues	236,300	214,200
Depreciation and Amortization	(9,200)	(6,900)
Other Operating Expenses	(216,600)	(197,300)
Operating Income/(Loss)	10,500	10,000
Interest Expense	(19,700)	(14,100)
Other Income/(Loss), Net	328,900	305,500
Net Income Attributable to Common Shareholders	322,200	302,500
Cash Flows Used for Investments in Plant	30,300	22,800
Assets	14,590,400		14,493,100
Eliminations [Member]
Segment Reporting Information [Line Items]
Operating Revenues	(252,800)	(220,600)
Depreciation and Amortization	500	500
Other Operating Expenses	252,800	220,600
Operating Income/(Loss)	500	500
Interest Expense	3,200	2,000
Other Income/(Loss), Net	(325,500)	(305,800)
Net Income Attributable to Common Shareholders	(321,800)	(303,300)
Cash Flows Used for Investments in Plant	0	$ 0
Assets	$ (12,926,800)		$ (12,862,700)