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Acquisitions
3 Months Ended
Mar. 31, 2014
Business Combinations [Abstract]  
ACQUISITIONS
ACQUISITIONS
Adobe Solar, LLC
See Note 2 to the financial statements of Southern Power under "Adobe Solar, LLC" in Item 8 of the Form 10-K for additional information.
On April 17, 2014, Southern Power and TRE, through Southern Turner Renewable Energy, LLC (STR), a jointly-owned subsidiary owned 90% by Southern Power, acquired all of the outstanding membership interests of Adobe Solar, LLC (Adobe) from Sun Edison, LLC, the original developer of the project. Adobe constructed and owns an approximately 20-MW solar photovoltaic facility in Kern County, California. The solar facility is expected to begin commercial operation in May 2014. The output of the plant is contracted under a 20-year PPA with Southern California Edison Company, which will begin on the commercial operation date. The acquisition is in accordance with Southern Power's overall growth strategy.
Southern Power's acquisition of Adobe included cash consideration of approximately $94.4 million, of which $75.5 million was paid at closing, with the remainder to be paid upon completion of certain milestones. The allocation of purchase price to individual assets has not been finalized. As of the acquisition date, approximately $81 million was allocated to CWIP and the remainder to other assets. The acquisition did not include any contingent consideration and due diligence costs were expensed as incurred and were not material.