XML 74 R28.htm IDEA: XBRL DOCUMENT v3.7.0.1
Derivative Accounting (Tables)
 3 Months Ended
Mar. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Outstanding gross notional amount of derivatives, which represents both purchases and sales (does not reflect net position)
As of March 31, 2017, we had the following outstanding gross notional volume of derivatives, which represent both purchases and sales (does not reflect net position): 
Commodity
 
Quantity
Power
 
1,123

 
GWh
Gas
 
226

 
Billion cubic feet
Gains and losses from derivative instruments in designated cash flow accounting hedges relationships
The following table provides information about gains and losses from derivative instruments in designated cash flow accounting hedging relationships during the three months ended March 31, 2017 and 2016 (dollars in thousands):
 
 
 
Financial Statement Location
 
Three Months Ended 
 March 31,
Commodity Contracts
 
 
2017
 
2016
Loss Recognized in OCI on Derivative Instruments (Effective Portion)
 
OCI — derivative instruments
 
$
(96
)
 
$
(147
)
Loss Reclassified from Accumulated OCI into Income (Effective Portion Realized) (a)
 
Fuel and purchased power (b)
 
(851
)
 
(941
)

(a)
During the three months ended March 31, 2017 and 2016, we had no losses reclassified from accumulated OCI to earnings related to discontinued cash flow hedges.
(b)
Amounts are before the effect of PSA deferrals.
Gains and losses from derivative instruments not designated as accounting hedges instruments
The following table provides information about gains and losses from derivative instruments not designated as accounting hedging instruments during the three months ended March 31, 2017 and 2016 (dollars in thousands):
 
 
 
Financial Statement Location
 
Three Months Ended 
 March 31,
Commodity Contracts
 
 
2017
 
2016
Net Loss Recognized in Income
 
Operating revenues
 
$
(288
)
 
$
(102
)
Net Loss Recognized in Income
 
Fuel and purchased power (a)
 
(52,627
)
 
(30,936
)
Total
 
 
 
$
(52,915
)
 
$
(31,038
)

(a)
Amounts are before the effect of PSA deferrals.
Schedule of offsetting assets
The following tables provide information about the fair value of our risk management activities reported on a gross basis, and the impacts of offsetting as of March 31, 2017 and December 31, 2016.  These amounts relate to commodity contracts and are located in the assets and liabilities from risk management activities lines of our Condensed Consolidated Balance Sheets.

As of March 31, 2017:
(dollars in thousands)
 
Gross
 Recognized
 Derivatives
 (a)
 
Amounts
Offset
 (b)
 
Net
 Recognized
 Derivatives
 
Other
 (c)
 
Amount Reported on Balance Sheet
Current assets
 
$
28,193

 
$
(23,983
)
 
$
4,210

 
$
12

 
$
4,222

Investments and other assets
 
1,654

 
(1,654
)
 
—

 
—

 
—

Total assets
 
29,847

 
(25,637
)
 
4,210

 
12

 
4,222

 
 
 
 
 
 
 
 
 
 
 
Current liabilities
 
(61,861
)
 
23,983

 
(37,878
)
 
(4,054
)
 
(41,932
)
Deferred credits and other
 
(64,867
)
 
1,654

 
(63,213
)
 
—

 
(63,213
)
Total liabilities
 
(126,728
)
 
25,637

 
(101,091
)
 
(4,054
)
 
(105,145
)
Total
 
$
(96,881
)
 
$
—

 
$
(96,881
)
 
$
(4,042
)
 
$
(100,923
)

(a)
All of our gross recognized derivative instruments were subject to master netting arrangements.
(b)
No cash collateral has been provided to counterparties, or received from counterparties, that is subject to offsetting.
(c)
Represents cash collateral and cash margin that is not subject to offsetting. Amounts relate to non-derivative instruments, derivatives qualifying for scope exceptions, or collateral and margin posted in excess of the recognized derivative instrument.  Includes cash collateral received from counterparties of $4,054.
 
As of December 31, 2016:
(dollars in thousands)
 
Gross
Recognized
Derivatives
 (a)
 
Amounts
Offset
(b)
 
Net
 Recognized
 Derivatives
 
Other
 (c)
 
Amount
Reported on
Balance Sheet
Current assets
 
$
48,094

 
$
(28,400
)
 
$
19,694

 
$
—

 
$
19,694

Investments and other assets
 
6,704

 
(6,703
)
 
1

 
—

 
1

Total assets
 
54,798

 
(35,103
)
 
19,695

 
—

 
19,695

 
 
 
 
 
 
 
 
 
 
 
Current liabilities
 
(50,182
)
 
28,400

 
(21,782
)
 
(4,054
)
 
(25,836
)
Deferred credits and other
 
(53,941
)
 
6,703

 
(47,238
)
 
—

 
(47,238
)
Total liabilities
 
(104,123
)
 
35,103

 
(69,020
)
 
(4,054
)
 
(73,074
)
Total
 
$
(49,325
)
 
$
—

 
$
(49,325
)
 
$
(4,054
)
 
$
(53,379
)

(a)
All of our gross recognized derivative instruments were subject to master netting arrangements.
(b)
No cash collateral has been provided to counterparties, or received from counterparties, that is subject to offsetting.
(c)
Represents cash collateral and cash margin that is not subject to offsetting. Amounts relate to non-derivative instruments, derivatives qualifying for scope exceptions, or collateral and margin posted in excess of the recognized derivative instrument.  Includes cash collateral received from counterparties of $4,054.
Schedule of offsetting liabilities
The following tables provide information about the fair value of our risk management activities reported on a gross basis, and the impacts of offsetting as of March 31, 2017 and December 31, 2016.  These amounts relate to commodity contracts and are located in the assets and liabilities from risk management activities lines of our Condensed Consolidated Balance Sheets.

As of March 31, 2017:
(dollars in thousands)
 
Gross
 Recognized
 Derivatives
 (a)
 
Amounts
Offset
 (b)
 
Net
 Recognized
 Derivatives
 
Other
 (c)
 
Amount Reported on Balance Sheet
Current assets
 
$
28,193

 
$
(23,983
)
 
$
4,210

 
$
12

 
$
4,222

Investments and other assets
 
1,654

 
(1,654
)
 
—

 
—

 
—

Total assets
 
29,847

 
(25,637
)
 
4,210

 
12

 
4,222

 
 
 
 
 
 
 
 
 
 
 
Current liabilities
 
(61,861
)
 
23,983

 
(37,878
)
 
(4,054
)
 
(41,932
)
Deferred credits and other
 
(64,867
)
 
1,654

 
(63,213
)
 
—

 
(63,213
)
Total liabilities
 
(126,728
)
 
25,637

 
(101,091
)
 
(4,054
)
 
(105,145
)
Total
 
$
(96,881
)
 
$
—

 
$
(96,881
)
 
$
(4,042
)
 
$
(100,923
)

(a)
All of our gross recognized derivative instruments were subject to master netting arrangements.
(b)
No cash collateral has been provided to counterparties, or received from counterparties, that is subject to offsetting.
(c)
Represents cash collateral and cash margin that is not subject to offsetting. Amounts relate to non-derivative instruments, derivatives qualifying for scope exceptions, or collateral and margin posted in excess of the recognized derivative instrument.  Includes cash collateral received from counterparties of $4,054.
 
As of December 31, 2016:
(dollars in thousands)
 
Gross
Recognized
Derivatives
 (a)
 
Amounts
Offset
(b)
 
Net
 Recognized
 Derivatives
 
Other
 (c)
 
Amount
Reported on
Balance Sheet
Current assets
 
$
48,094

 
$
(28,400
)
 
$
19,694

 
$
—

 
$
19,694

Investments and other assets
 
6,704

 
(6,703
)
 
1

 
—

 
1

Total assets
 
54,798

 
(35,103
)
 
19,695

 
—

 
19,695

 
 
 
 
 
 
 
 
 
 
 
Current liabilities
 
(50,182
)
 
28,400

 
(21,782
)
 
(4,054
)
 
(25,836
)
Deferred credits and other
 
(53,941
)
 
6,703

 
(47,238
)
 
—

 
(47,238
)
Total liabilities
 
(104,123
)
 
35,103

 
(69,020
)
 
(4,054
)
 
(73,074
)
Total
 
$
(49,325
)
 
$
—

 
$
(49,325
)
 
$
(4,054
)
 
$
(53,379
)

(a)
All of our gross recognized derivative instruments were subject to master netting arrangements.
(b)
No cash collateral has been provided to counterparties, or received from counterparties, that is subject to offsetting.
(c)
Represents cash collateral and cash margin that is not subject to offsetting. Amounts relate to non-derivative instruments, derivatives qualifying for scope exceptions, or collateral and margin posted in excess of the recognized derivative instrument.  Includes cash collateral received from counterparties of
Information about derivative instruments that have credit-risk-related contingent features
The following table provides information about our derivative instruments that have credit-risk-related contingent features at March 31, 2017 (dollars in thousands):
 
March 31, 2017
Aggregate fair value of derivative instruments in a net liability position
$
126,728

Cash collateral posted
—

Additional cash collateral in the event credit-risk-related contingent features were fully triggered (a)
63,646


(a)
This amount is after counterparty netting and includes those contracts which qualify for scope exceptions, which are excluded from the derivative details above.