GOODWILL AND INTANGIBLES

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL

GOODWILL AND INTANGIBLES

Goodwill

Goodwill represents the excess of the cost of an acquisition over the fair value of the identifiable net assets acquired. The table below shows our goodwill balances by segment at March 31, 2022. We had no changes to the carrying amount of goodwill during the three months ended March 31, 2022.

(in millions)	Wisconsin		Illinois		Other States		Non-Utility Energy Infrastructure		Total
Goodwill balance (1)	$	2,104.3	$	758.7	$	183.2	$	6.6	$	3,052.8

(1)We had no accumulated impairment losses related to our goodwill as of March 31, 2022.

Intangible Assets

At March 31, 2022 and December 31, 2021, we had $5.7 million of indefinite-lived intangible assets primarily related to a MGU trade name obtained through an acquisition, which is included in other long-term assets on our balance sheets. We had no changes to the carrying amount of these intangible assets during the three months ended March 31, 2022.

Intangible Liabilities

The intangible liabilities below were all obtained through acquisitions by WECI and are classified as other long-term liabilities on our balance sheets.

	March 31, 2022						December 31, 2021
(in millions)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
PPAs (1)	$	87.9	$	(8.5)	$	79.4	$	87.9	$	(6.5)	$	81.4
Proxy revenue swap (2)	7.2		(2.2)		5.0		7.2		(2.1)		5.1
Interconnection agreements (3)	4.7		(0.6)		4.1		4.7		(0.5)		4.2
Total intangible liabilities	$	99.8	$	(11.3)	$	88.5	$	99.8	$	(9.1)	$	90.7

(1)    Represents PPAs related to the acquisition of Blooming Grove, Tatanka Ridge, and Jayhawk expiring between 2030 and 2032. The weighted-average remaining useful life of the PPAs is 10 years.

(2)    Represents an agreement with a counterparty to swap the market revenue of Upstream's wind generation for fixed quarterly payments over 10 years, which expires in 2029. The remaining useful life of the proxy revenue swap is seven years.

(3)    Represents interconnection agreements related to the acquisitions of Tatanka Ridge and Bishop Hill III, expiring in 2040 and 2041, respectively. These agreements relate to payments for connecting our facilities to the infrastructure of another utility to facilitate the movement of power onto the electric grid. The weighted-average remaining useful life of the interconnection agreements is 19 years.

Amortization related to these intangibles for the three months ended March 31, 2022 and 2021, was $2.2 million and $1.9 million, respectively. Amortization for the next five years, including amounts recorded through March 31, 2022, is estimated to be:

	For the Years Ending December 31
(in millions)	2022		2023		2024		2025		2026
Amortization to be recorded in operating revenues	$	8.5	$	8.4	$	8.4	$	8.4	$	8.4
Amortization to be recorded in other operation and maintenance	0.2		0.2		0.2		0.2		0.2