Investment in American Transmission Company (Tables) - ATC

6 Months Ended

Jun. 30, 2016

Investment in ATC

Schedule of changes to our investment in ATC

The following table shows changes to our investment in ATC:

	Three Months Ended June 30						Six Months Ended June 30
(in millions)	2016				2015		2016				2015
Balance at beginning of period	$	1,422.5			$	431.1	$	1,380.9		(1)	$	424.1
Add: Earnings from equity method investment	30.9				14.3		69.4				30.4
Add: Capital contributions	3.1				1.2		12.1				2.5
Add: Acquisition of Integrys's investment in ATC	(1.0		)	(2)	552.0		(1.0		)	(2)	552.0
Add: Adjustment to equity method goodwill	1.1				—		10.4				—
Less: Distributions received	31.6				10.8		46.7				21.2
Less: Other	—				—		0.1				—
Balance at end of period	$	1,425.0			$	987.8	$	1,425.0			$	987.8

⁽¹⁾  Equity method goodwill of $395.8 million from the acquisition of Integrys was recorded in the fourth quarter of 2015.

⁽²⁾  Amount reflects an adjustment to the allocation of the purchase price made in the second quarter of 2016.

Schedule of significant transactions with ATC

The following table summarizes our significant related party transactions with ATC:

	Three Months Ended June 30				Six Months Ended June 30
(in millions)	2016		2015		2016		2015
Charges to ATC for services and construction	$	4.3	$	2.5	$	8.4	$	5.0
Charges from ATC for network transmission services	91.1		59.6		182.1		119.2

Schedule of receivables and payables with ATC

Our balance sheets included the following receivables and payables related to ATC:

(in millions)	June 30, 2016		December 31, 2015
Accounts receivable
Services provided to ATC	$	1.4	$	1.0
Accounts payable
Services received from ATC	30.3		28.3

Schedule of summarized income statement data for ATC

Summarized financial data for ATC is included in the following tables:

	Three Months Ended June 30				Six Months Ended June 30
(in millions)	2016		2015		2016		2015
Income statement data
Revenues	$	154.3	$	165.1	$	318.5	$	317.5
Operating expenses	81.7		80.3		160.8		160.3
Other expense	23.7		24.2		47.7		48.6
Net income	$	48.9	$	60.6	$	110.0	$	108.6

Schedule of summarized balance sheet data for ATC

(in millions)	June 30, 2016		December 31, 2015
Balance sheet data
Current assets	$	83.9	$	80.5
Noncurrent assets	4,104.6		3,948.3
Total assets	$	4,188.5	$	4,028.8
Current liabilities	$	382.5	$	330.3
Long-term debt	1,791.0		1,790.7
Other noncurrent liabilities	293.8		245.0
Shareholders' equity	1,721.2		1,662.8
Total liabilities and shareholders' equity	$	4,188.5	$	4,028.8