2014 Q4 Form 8-K Financial Statement

#000160314515000101 Filed on September 21, 2015

View on sec.gov

Income Statement

Concept 2014 Q4 2013 Q4 2013 Q3
Revenue $89.00M $57.00M $37.00M
YoY Change 56.14%
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin $26.00M $28.00M $8.000M
YoY Change -7.14%
% of Gross Profit
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $32.00M $28.00M $10.00M
YoY Change 14.29%
% of Gross Profit
Operating Expenses $56.00M $56.00M $19.00M
YoY Change 0.0%
Operating Profit $36.00M $25.00M $9.000M
YoY Change 44.0%
Interest Expense -$19.00M -$19.00M $10.00M
YoY Change 0.0%
% of Operating Profit -52.78% -76.0% 111.11%
Other Income/Expense, Net $0.00 $0.00 -$10.00M
YoY Change
Pretax Income $17.00M $10.00M -$1.000M
YoY Change 70.0%
Income Tax -$28.00M -$2.000M $1.000M
% Of Pretax Income -164.71% -20.0%
Net Earnings $0.00 $8.000M -$3.000M
YoY Change -100.0%
Net Earnings / Revenue 0.0% 14.04% -8.11%
Basic Earnings Per Share
Diluted Earnings Per Share $0.00 $128.9K -$21.48K
COMMON SHARES
Basic Shares Outstanding 18.69M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2014 Q4 2013 Q4 2013 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $106.0M $27.00M
YoY Change 292.59%
Cash & Equivalents $111.0M $32.00M $17.00M
Short-Term Investments
Other Short-Term Assets $34.00M $8.000M
YoY Change 325.0%
Inventory $10.00M $5.000M
Prepaid Expenses $4.000M $2.000M
Receivables $41.00M $207.0M
Other Receivables $219.0M $0.00
Total Short-Term Assets $486.0M $251.0M
YoY Change 93.63%
LONG-TERM ASSETS
Property, Plant & Equipment $3.629B $2.106B
YoY Change 72.32%
Goodwill $0.00
YoY Change
Intangibles
YoY Change
Long-Term Investments $19.00M $7.000M
YoY Change 171.43%
Other Assets $49.00M $80.00M
YoY Change -38.75%
Total Long-Term Assets $3.851B $2.786B
YoY Change 38.23%
TOTAL ASSETS
Total Short-Term Assets $486.0M $251.0M
Total Long-Term Assets $3.851B $2.786B
Total Assets $4.337B $3.037B
YoY Change 42.81%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $152.0M $43.00M
YoY Change 253.49%
Accrued Expenses $23.00M $16.00M
YoY Change 43.75%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $86.00M $378.0M
YoY Change -77.25%
Total Short-Term Liabilities $322.0M $473.0M
YoY Change -31.92%
LONG-TERM LIABILITIES
Long-Term Debt $1.807B $1.527B
YoY Change 18.34%
Other Long-Term Liabilities $26.00M $15.00M
YoY Change 73.33%
Total Long-Term Liabilities $2.382B $1.592B
YoY Change 49.62%
TOTAL LIABILITIES
Total Short-Term Liabilities $322.0M $473.0M
Total Long-Term Liabilities $2.382B $1.592B
Total Liabilities $2.704B $2.065B
YoY Change 30.94%
SHAREHOLDERS EQUITY
Retained Earnings $0.00 -$30.00M
YoY Change -100.0%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $548.0M $713.0M
YoY Change
Total Liabilities & Shareholders Equity $4.337B $3.037B
YoY Change 42.81%

Cashflow Statement

Concept 2014 Q4 2013 Q4 2013 Q3
OPERATING ACTIVITIES
Net Income $0.00 $8.000M -$3.000M
YoY Change -100.0%
Depreciation, Depletion And Amortization $32.00M $28.00M $10.00M
YoY Change 14.29%
Cash From Operating Activities $48.00M $44.00M $15.50M
YoY Change 9.09%
INVESTING ACTIVITIES
Capital Expenditures -$531.0M -$111.0M -$171.8M
YoY Change 378.38%
Acquisitions
YoY Change
Other Investing Activities -$85.00M $5.000M $37.60M
YoY Change -1800.0%
Cash From Investing Activities -$616.0M -$106.0M -$134.2M
YoY Change 481.13%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 558.0M 74.00M 123.0M
YoY Change 654.05%
NET CHANGE
Cash From Operating Activities 48.00M 44.00M 15.50M
Cash From Investing Activities -616.0M -106.0M -134.2M
Cash From Financing Activities 558.0M 74.00M 123.0M
Net Change In Cash -10.00M 12.00M 4.300M
YoY Change -183.33%
FREE CASH FLOW
Cash From Operating Activities $48.00M $44.00M $15.50M
Capital Expenditures -$531.0M -$111.0M -$171.8M
Free Cash Flow $579.0M $155.0M $187.3M
YoY Change 273.55%

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CY2013 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Net Of Tax
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CY2014 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Net Of Tax
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CY2012 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Tax
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0 USD
CY2013 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Tax
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CY2014 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Tax
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CY2013Q4 us-gaap Other Liabilities Current
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CY2014Q4 us-gaap Other Liabilities Current
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CY2013Q4 us-gaap Other Liabilities Noncurrent
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CY2014Q4 us-gaap Other Liabilities Noncurrent
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25000000 USD
CY2012 us-gaap Other Noncash Income Expense
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CY2013 us-gaap Other Noncash Income Expense
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3000000 USD
CY2014 us-gaap Other Noncash Income Expense
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CY2012 us-gaap Other Nonoperating Income Expense
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1000000 USD
CY2013 us-gaap Other Nonoperating Income Expense
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0 USD
CY2014 us-gaap Other Nonoperating Income Expense
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0 USD
CY2011Q4 us-gaap Partners Capital
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CY2012Q4 us-gaap Partners Capital
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CY2014Q2 us-gaap Partners Capital
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777000000 USD
us-gaap Partners Capital Account Contributions
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145000000 USD
CY2012 us-gaap Partners Capital Account Contributions
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798000000 USD
CY2013 us-gaap Partners Capital Account Contributions
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539000000 USD
us-gaap Partners Capital Account Contributions
PartnersCapitalAccountContributions
517000000 USD
CY2012 us-gaap Partners Capital Account Distributions
PartnersCapitalAccountDistributions
397000000 USD
CY2013 us-gaap Partners Capital Account Distributions
PartnersCapitalAccountDistributions
518000000 USD
us-gaap Partners Capital Account Distributions
PartnersCapitalAccountDistributions
728000000 USD
us-gaap Partners Capital Account Public Sale Of Units
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438000000 USD
CY2014Q3 us-gaap Partners Capital Account Public Sale Of Units Net Of Offering Costs
PartnersCapitalAccountPublicSaleOfUnitsNetOfOfferingCosts
438000000 USD
CY2014Q3 us-gaap Partners Capital Account Units Sold In Public Offering
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CY2013Q4 us-gaap Partners Capital Attributable To Noncontrolling Interest
PartnersCapitalAttributableToNoncontrollingInterest
0 USD
CY2014Q4 us-gaap Partners Capital Attributable To Noncontrolling Interest
PartnersCapitalAttributableToNoncontrollingInterest
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CY2013Q4 us-gaap Partners Capital Including Portion Attributable To Noncontrolling Interest
PartnersCapitalIncludingPortionAttributableToNoncontrollingInterest
972000000 USD
CY2014Q4 us-gaap Partners Capital Including Portion Attributable To Noncontrolling Interest
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1280000000 USD
CY2012 us-gaap Payments Of Capital Distribution
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CY2013 us-gaap Payments Of Capital Distribution
PaymentsOfCapitalDistribution
144000000 USD
CY2014 us-gaap Payments Of Capital Distribution
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705000000 USD
CY2012 us-gaap Payments Of Financing Costs
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2000000 USD
CY2013 us-gaap Payments Of Financing Costs
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1000000 USD
CY2014 us-gaap Payments Of Financing Costs
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1000000 USD
CY2012 us-gaap Payments To Acquire Additional Interest In Subsidiaries
PaymentsToAcquireAdditionalInterestInSubsidiaries
0 USD
CY2013 us-gaap Payments To Acquire Additional Interest In Subsidiaries
PaymentsToAcquireAdditionalInterestInSubsidiaries
0 USD
CY2014 us-gaap Payments To Acquire Additional Interest In Subsidiaries
PaymentsToAcquireAdditionalInterestInSubsidiaries
288000000 USD
CY2012 us-gaap Payments To Acquire Assets Investing Activities
PaymentsToAcquireAssetsInvestingActivities
192000000 USD
CY2013 us-gaap Payments To Acquire Assets Investing Activities
PaymentsToAcquireAssetsInvestingActivities
0 USD
CY2014 us-gaap Payments To Acquire Assets Investing Activities
PaymentsToAcquireAssetsInvestingActivities
0 USD
CY2012 us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
519000000 USD
CY2013 us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
647000000 USD
CY2014 us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
295000000 USD
CY2012 us-gaap Payments To Fund Longterm Loans To Related Parties
PaymentsToFundLongtermLoansToRelatedParties
0 USD
CY2013 us-gaap Payments To Fund Longterm Loans To Related Parties
PaymentsToFundLongtermLoansToRelatedParties
0 USD
CY2014 us-gaap Payments To Fund Longterm Loans To Related Parties
PaymentsToFundLongtermLoansToRelatedParties
174000000 USD
CY2013Q4 us-gaap Prepaid Expense Current
PrepaidExpenseCurrent
2000000 USD
CY2014Q4 us-gaap Prepaid Expense Current
PrepaidExpenseCurrent
4000000 USD
CY2012 us-gaap Proceeds From Insurance Settlement Investing Activities
ProceedsFromInsuranceSettlementInvestingActivities
0 USD
CY2013 us-gaap Proceeds From Insurance Settlement Investing Activities
ProceedsFromInsuranceSettlementInvestingActivities
5000000 USD
CY2014 us-gaap Proceeds From Insurance Settlement Investing Activities
ProceedsFromInsuranceSettlementInvestingActivities
1000000 USD
CY2012 us-gaap Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
0 USD
CY2013 us-gaap Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
0 USD
CY2014 us-gaap Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
438000000 USD
CY2012 us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
176000000 USD
CY2013 us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
135000000 USD
CY2014 us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
15000000 USD
CY2012 us-gaap Proceeds From Partnership Contribution
ProceedsFromPartnershipContribution
305000000 USD
CY2013 us-gaap Proceeds From Partnership Contribution
ProceedsFromPartnershipContribution
342000000 USD
CY2014 us-gaap Proceeds From Partnership Contribution
ProceedsFromPartnershipContribution
594000000 USD
CY2012 us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
191000000 USD
CY2013 us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
0 USD
CY2014 us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
0 USD
CY2012 us-gaap Proceeds From Sale Of Interest In Partnership Unit
ProceedsFromSaleOfInterestInPartnershipUnit
0 USD
CY2013 us-gaap Proceeds From Sale Of Interest In Partnership Unit
ProceedsFromSaleOfInterestInPartnershipUnit
0 USD
CY2014 us-gaap Proceeds From Sale Of Interest In Partnership Unit
ProceedsFromSaleOfInterestInPartnershipUnit
428000000 USD
us-gaap Profit Loss
ProfitLoss
23000000 USD
CY2012 us-gaap Profit Loss
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16000000 USD
CY2013Q1 us-gaap Profit Loss
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2000000 USD
CY2013Q2 us-gaap Profit Loss
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13000000 USD
CY2013 us-gaap Profit Loss
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20000000 USD
CY2013Q3 us-gaap Profit Loss
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-3000000 USD
CY2013Q4 us-gaap Profit Loss
ProfitLoss
8000000 USD
CY2014Q1 us-gaap Profit Loss
ProfitLoss
7000000 USD
CY2014Q2 us-gaap Profit Loss
ProfitLoss
23000000 USD
us-gaap Profit Loss
ProfitLoss
28000000 USD
CY2014Q3 us-gaap Profit Loss
ProfitLoss
26000000 USD
CY2014Q4 us-gaap Profit Loss
ProfitLoss
-3000000 USD
CY2014 us-gaap Profit Loss
ProfitLoss
53000000 USD
CY2013Q4 us-gaap Property Plant And Equipment Gross
PropertyPlantAndEquipmentGross
2368000000 USD
CY2014Q4 us-gaap Property Plant And Equipment Gross
PropertyPlantAndEquipmentGross
3634000000 USD
CY2013Q4 us-gaap Property Plant And Equipment Net
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2106000000 USD
CY2014Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
3276000000 USD
CY2012 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
-1000000 USD
CY2013 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
-4000000 USD
CY2014 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
-5000000 USD
CY2012 us-gaap Repayments Of Other Long Term Debt
RepaymentsOfOtherLongTermDebt
16000000 USD
CY2013 us-gaap Repayments Of Other Long Term Debt
RepaymentsOfOtherLongTermDebt
29000000 USD
CY2014 us-gaap Repayments Of Other Long Term Debt
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377000000 USD
CY2012 us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
174000000 USD
CY2013 us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
0 USD
CY2014 us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
0 USD
CY2013Q4 us-gaap Restricted Cash And Cash Equivalents At Carrying Value
RestrictedCashAndCashEquivalentsAtCarryingValue
2000000 USD
CY2014Q4 us-gaap Restricted Cash And Cash Equivalents At Carrying Value
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82000000 USD
CY2013Q4 us-gaap Restricted Cash And Cash Equivalents Noncurrent
RestrictedCashAndCashEquivalentsNoncurrent
2000000 USD
CY2014Q4 us-gaap Restricted Cash And Cash Equivalents Noncurrent
RestrictedCashAndCashEquivalentsNoncurrent
3000000 USD
CY2013Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-30000000 USD
CY2014Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
0 USD
CY2013Q4 us-gaap Sales And Excise Tax Payable Current And Noncurrent
SalesAndExciseTaxPayableCurrentAndNoncurrent
2000000 USD
CY2014Q4 us-gaap Sales And Excise Tax Payable Current And Noncurrent
SalesAndExciseTaxPayableCurrentAndNoncurrent
2000000 USD
CY2012 us-gaap Sales Revenue Net
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131000000 USD
CY2013Q1 us-gaap Sales Revenue Net
SalesRevenueNet
42000000 USD
CY2013Q2 us-gaap Sales Revenue Net
SalesRevenueNet
43000000 USD
CY2013Q3 us-gaap Sales Revenue Net
SalesRevenueNet
37000000 USD
CY2013Q4 us-gaap Sales Revenue Net
SalesRevenueNet
57000000 USD
CY2013 us-gaap Sales Revenue Net
SalesRevenueNet
179000000 USD
CY2014Q1 us-gaap Sales Revenue Net
SalesRevenueNet
71000000 USD
CY2014Q2 us-gaap Sales Revenue Net
SalesRevenueNet
99000000 USD
CY2014Q3 us-gaap Sales Revenue Net
SalesRevenueNet
97000000 USD
CY2014Q4 us-gaap Sales Revenue Net
SalesRevenueNet
81000000 USD
CY2014 us-gaap Sales Revenue Net
SalesRevenueNet
348000000 USD
CY2014Q3 us-gaap Share Price
SharePrice
25
CY2012 us-gaap State And Local Income Tax Expense Benefit Continuing Operations
StateAndLocalIncomeTaxExpenseBenefitContinuingOperations
-2000000 USD
CY2013 us-gaap State And Local Income Tax Expense Benefit Continuing Operations
StateAndLocalIncomeTaxExpenseBenefitContinuingOperations
1000000 USD
CY2014 us-gaap State And Local Income Tax Expense Benefit Continuing Operations
StateAndLocalIncomeTaxExpenseBenefitContinuingOperations
1000000 USD
CY2014Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
1280000000 USD
CY2014Q4 us-gaap Tax Credit Carryforward Amount
TaxCreditCarryforwardAmount
75000000 USD
CY2014Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
4000000 USD
CY2014Q4 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
UnrecognizedTaxBenefitsThatWouldImpactEffectiveTaxRate
4000000 USD
CY2012 us-gaap Utilities Operating Expense Depreciation And Amortization
UtilitiesOperatingExpenseDepreciationAndAmortization
40000000 USD
CY2013 us-gaap Utilities Operating Expense Depreciation And Amortization
UtilitiesOperatingExpenseDepreciationAndAmortization
55000000 USD
CY2014 us-gaap Utilities Operating Expense Depreciation And Amortization
UtilitiesOperatingExpenseDepreciationAndAmortization
95000000 USD
CY2012 us-gaap Utilities Operating Expense Maintenance And Operations
UtilitiesOperatingExpenseMaintenanceAndOperations
33000000 USD
CY2013 us-gaap Utilities Operating Expense Maintenance And Operations
UtilitiesOperatingExpenseMaintenanceAndOperations
44000000 USD
CY2014 us-gaap Utilities Operating Expense Maintenance And Operations
UtilitiesOperatingExpenseMaintenanceAndOperations
74000000 USD
CY2012 us-gaap Utilities Operating Expense Taxes
UtilitiesOperatingExpenseTaxes
2000000 USD
CY2013 us-gaap Utilities Operating Expense Taxes
UtilitiesOperatingExpenseTaxes
6000000 USD
CY2014 us-gaap Utilities Operating Expense Taxes
UtilitiesOperatingExpenseTaxes
5000000 USD
CY2013Q4 us-gaap Value Added Tax Receivable
ValueAddedTaxReceivable
5000000 USD
CY2014Q4 us-gaap Value Added Tax Receivable
ValueAddedTaxReceivable
0 USD
CY2014 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
18700000 shares
CY2014 us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;color:#231f20;font-style:italic;">Concentration of Credit Risk </font><font style="font-family:Arial;font-size:9pt;color:#231f20;">- Financial instruments which potentially subject NEP to concentrations of credit risk consist primarily of accounts receivable and derivative instruments. Accounts receivable are comprised primarily of amounts due from various non-affiliated parties who are counterparties to the PPAs. NEP has a limited number of counterparties, all of which are in the energy industry, and this concentration may impact the overall exposure to credit risk, either positively or negatively, in that the counterparties may be similarly affected by changes in economic, industry or other conditions. If any of these customers&#8217; receivable balances should be deemed uncollectible, it could have a material adverse effect on NEP&#8217;s consolidated results of operations and financial condition. However, management does not believe significant credit risk exists at December 31, 2014, because of the creditworthiness of the counterparties. All amounts due from such counterparties at December 31, 2014 and 2013 have been collected.</font></div><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;">During 2014, NEP derived approximately </font><font style="font-family:Arial;font-size:9pt;">36%</font><font style="font-family:Arial;font-size:9pt;"> and </font><font style="font-family:Arial;font-size:9pt;">25%</font><font style="font-family:Arial;font-size:9pt;"> of its consolidated revenue from its contracts with PG&amp;E and the IESO, respectively.</font></div></div>
CY2014 us-gaap Derivatives Methods Of Accounting Hedge Effectiveness
DerivativesMethodsOfAccountingHedgeEffectiveness
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;color:#231f20;font-style:italic;">Derivative Instruments and Hedging Activities </font><font style="font-family:Arial;font-size:9pt;color:#231f20;">- Derivative instruments, when required to be marked to market, are recorded on NEP&#8217;s consolidated balance sheets as either an asset or liability measured at fair value. For interest rate swaps, generally NEP assesses a hedging instrument&#8217;s effectiveness by using non-statistical methods including dollar value comparisons of the change in the fair value of the derivative to the change in the fair value or cash flows of the hedged item. See Note 5.</font></div></div><div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;">In order to apply hedge accounting, the transactions must be designated as hedges and must be highly effective in offsetting the hedged risk. For interest rate swaps, generally NEP assesses a hedging instrument&#8217;s effectiveness by using non-statistical methods including dollar value comparisons of the change in the fair value of the derivative to the change in the fair value or cash flows of the hedged item. Hedge effectiveness is tested at the inception of the hedge and on at least a quarterly basis throughout the hedge&#8217;s life. The effective portion of changes in the fair value of derivatives accounted for as cash flow hedges are deferred and recorded as a component of AOCI. The amounts deferred in AOCI are recognized in earnings when the hedged transactions occur. Any amounts excluded from the assessment of hedge effectiveness, as well as the ineffective portion of the gain or loss, is reported in current earnings.</font></div></div>
CY2014 us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;color:#231f20;font-style:italic;">Use of Significant Estimates </font><font style="font-family:Arial;font-size:9pt;color:#231f20;">- The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.</font></div><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;color:#231f20;">In recording transactions and balances resulting from business operations, NEP uses estimates based on the best information available. Estimates are used for such items as plant depreciable lives, tax provisions and allowances, asset retirement obligations, fair value measurements, purchase price allocations, environmental liabilities and legal costs incurred in connection with recorded loss contingencies, among others. As new information becomes available or actual amounts are determinable, the recorded estimates are revised. Consequently, operating results can be affected by revisions to prior accounting estimates.</font></div></div>

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