SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2021

The activity in the allowance for uncollectible accounts by portfolio segment is as follows:


	Eversource						CL&P						NSTAR Electric						PSNH
(Millions of Dollars)	Hardship Accounts		Retail (Non-Hardship), Wholesale, and Other Receivables		Total Allowance		Hardship Accounts		Retail (Non-Hardship), Wholesale and Other Receivables		Total Allowance		Hardship Accounts		Retail (Non-Hardship), Wholesale, and Other Receivables		Total Allowance		Total Allowance
Three Months Ended 2021
Beginning Balance	$	197.3	$	194.4	$	391.7	$	138.4	$	36.7	$	175.1	$	31.1	$	58.2	$	89.3	$	17.3
Uncollectible Expense	—		11.4		11.4		—		2.8		2.8		—		3.5		3.5		2.0
Uncollectible Costs Deferred (1)	16.6		24.5		41.1		9.3		8.3		17.6		4.9		6.9		11.8		(0.3)
Write-Offs	(3.4)		(18.1)		(21.5)		(2.3)		(5.4)		(7.7)		(0.1)		(7.7)		(7.8)		(2.0)
Recoveries Collected	0.2		2.9		3.1		0.2		0.8		1.0		—		1.2		1.2		0.2
Ending Balance	$	210.7	$	215.1	$	425.8	$	145.6	$	43.2	$	188.8	$	35.9	$	62.1	$	98.0	$	17.2

Six Months Ended 2021
Beginning Balance	$	194.8	$	164.1	$	358.9	$	129.1	$	28.3	$	157.4	$	39.7	$	51.9	$	91.6	$	17.2
Uncollectible Expense	—		27.7		27.7		—		6.6		6.6		—		7.4		7.4		3.2
Uncollectible Costs Deferred (1)	22.0		51.6		73.6		21.2		15.7		36.9		(3.5)		15.2		11.7		0.8
Write-Offs	(6.7)		(34.8)		(41.5)		(5.2)		(9.3)		(14.5)		(0.3)		(15.2)		(15.5)		(4.5)
Recoveries Collected	0.6		6.5		7.1		0.5		1.9		2.4		—		2.8		2.8		0.5
Ending Balance	$	210.7	$	215.1	$	425.8	$	145.6	$	43.2	$	188.8	$	35.9	$	62.1	$	98.0	$	17.2


	Eversource						CL&P						NSTAR Electric						PSNH
(Millions of Dollars)	Hardship Accounts		Retail (Non-Hardship), Wholesale, and Other Receivables		Total Allowance		Hardship Accounts		Retail (Non-Hardship), Wholesale and Other Receivables		Total Allowance		Hardship Accounts		Retail (Non-Hardship), Wholesale, and Other Receivables		Total Allowance		Total Allowance
Three Months Ended 2020
Beginning Balance	$	172.2	$	89.9	$	262.1	$	110.7	$	20.2	$	130.9	$	38.5	$	32.6	$	71.1	$	11.2
Uncollectible Expense	—		9.2		9.2		—		3.0		3.0		—		3.1		3.1		0.6
Uncollectible Costs Deferred (1)	7.1		8.5		15.6		8.6		1.6		10.2		(3.7)		3.5		(0.2)		1.1
Write-Offs	(4.4)		(16.6)		(21.0)		(3.6)		(6.0)		(9.6)		(0.2)		(6.2)		(6.4)		(1.3)
Recoveries Collected	0.6		3.5		4.1		0.6		1.6		2.2		—		1.1		1.1		0.2
Ending Balance	$	175.5	$	94.5	$	270.0	$	116.3	$	20.4	$	136.7	$	34.6	$	34.1	$	68.7	$	11.8

Six Months Ended 2020
Beginning Balance	$	143.3	$	81.5	$	224.8	$	80.1	$	17.2	$	97.3	$	43.9	$	31.5	$	75.4	$	10.5
ASU 2016-13 Implementation Impact on January 1, 2020	21.6		2.2		23.8		21.3		0.9		22.2		(1.6)		0.3		(1.3)		0.3
Uncollectible Expense	—		20.6		20.6		—		6.2		6.2		—		6.8		6.8		1.3
Uncollectible Costs Deferred (1)	18.9		17.0		35.9		21.5		3.4		24.9		(7.1)		6.9		(0.2)		2.4
Write-Offs	(9.1)		(33.4)		(42.5)		(7.4)		(9.5)		(16.9)		(0.6)		(14.2)		(14.8)		(3.0)
Recoveries Collected	0.8		6.6		7.4		0.8		2.2		3.0		—		2.8		2.8		0.3
Ending Balance	$	175.5	$	94.5	$	270.0	$	116.3	$	20.4	$	136.7	$	34.6	$	34.1	$	68.7	$	11.8

(1) These expected credit losses are deferred as regulatory costs on the balance sheets, as these amounts are ultimately recovered in rates. Amounts include uncollectible costs for hardship accounts and other customer receivables, including uncollectible amounts related to COVID-19 and uncollectible energy supply costs.

Components of Other Income, Net

The components of Other Income, Net on the statements of income were as follows:














	For the Three Months Ended
	June 30, 2021								June 30, 2020
(Millions of Dollars)	Eversource		CL&P		NSTAR Electric		PSNH		Eversource		CL&P		NSTAR Electric		PSNH
Pension, SERP and PBOP Non-Service Income Components	$	22.1	$	4.3	$	10.2	$	2.7	$	10.7	$	0.9	$	7.1	$	1.6
AFUDC Equity	9.2		1.7		6.2		0.3		10.8		3.9		5.3		1.2
Equity in Earnings of Unconsolidated Affiliates (1)	4.7		—		0.1		—		5.9		—		0.1		—
Investment Income	1.9		1.2		0.6		0.3		1.8		2.2		—		0.3
Interest Income	8.4		2.7		4.8		0.9		1.0		1.4		0.5		0.5

Other	0.3		—		—		0.1		—		0.1		0.1		—
Total Other Income, Net	$	46.6	$	9.9	$	21.9	$	4.3	$	30.2	$	8.5	$	13.1	$	3.6














	For the Six Months Ended
	June 30, 2021								June 30, 2020
(Millions of Dollars)	Eversource		CL&P		NSTAR Electric		PSNH		Eversource		CL&P		NSTAR Electric		PSNH
Pension, SERP and PBOP Non-Service Income Components	$	42.2	$	7.0	$	20.2	$	5.4	$	23.4	$	2.1	$	15.0	$	3.5
AFUDC Equity	18.4		3.4		12.4		0.9		21.4		7.9		10.3		2.6
Equity in Earnings of Unconsolidated Affiliates (1)	8.4		—		0.2		—		9.8		—		0.2		—
Investment Income/(Loss)	1.3		1.5		0.8		0.4		(2.5)		(1.3)		(1.3)		(0.2)
Interest Income	9.9		2.8		4.9		1.6		1.8		1.6		0.7		0.8

Other	0.6		0.1		0.2		0.1		0.4		0.1		0.5		0.1
Total Other Income, Net	$	80.8	$	14.8	$	38.7	$	8.4	$	54.3	$	10.4	$	25.4	$	6.8

(1) Equity in earnings of unconsolidated affiliates includes $2.1 million of pre-tax unrealized gains associated with an investment in a renewable energy fund for the three and six months ended June 30, 2021. For the three and six months ended June 30, 2020, equity in earnings of unconsolidated affiliates included $2.4 million of primarily realized gains associated with this investment.

Other Taxes

These gross receipts taxes are recorded 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				For the Six Months Ended
(Millions of Dollars)	June 30, 2021		June 30, 2020		June 30, 2021		June 30, 2020
Eversource	$	39.9	$	37.6	$	88.5	$	80.7
CL&P	35.4		33.1		74.6		68.6

Non-cash Investing Activities

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


(Millions of Dollars)	As of June 30, 2021		As of June 30, 2020
Eversource	$	344.8	$	336.1
CL&P	66.4		95.0
NSTAR Electric	103.8		75.5
PSNH	33.9		48.3

Reconciliation of Cash Balances to Cash and Restricted Cash

The following table reconciles cash as reported on the balance sheets to the cash and restricted cash balance as reported on the statements of cash flows:


	As of June 30, 2021								As of December 31, 2020
(Millions of Dollars)	Eversource		CL&P		NSTAR Electric		PSNH		Eversource		CL&P		NSTAR Electric		PSNH
Cash as reported on the Balance Sheets	$	217.4	$	198.4	$	0.6	$	0.3	$	106.6	$	90.8	$	0.1	$	0.1
Restricted cash included in:
Special Deposits	71.8		8.6		17.2		35.1		73.6		8.7		17.2		36.8
Marketable Securities	34.1		0.4		0.1		0.6		41.2		0.3		0.1		0.6
Other Long-Term Assets	44.7		—		—		3.2		43.6		—		—		2.1
Cash and Restricted Cash as reported on the Statements of Cash Flows	$	368.0	$	207.4	$	17.9	$	39.2	$	265.0	$	99.8	$	17.4	$	39.6