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72
P. Supplemental Cash Flow Information
NU
As of and For the Years Ended December 31,
(Millions of Dollars)
2013
2012 (1)
2011
Cash Paid/(Received) During the Year for:
Interest, Net of Amounts Capitalized
$
343.3
$
356.5
$
256.3
Income Taxes
50.0
(12.8)
(76.6)
Non-Cash Investing Activities:
Plant Additions Included in Accounts Payable (As of)
193.1
160.6
168.5
(1) NSTAR amounts were included in NU beginning April 10, 2012.
As of and For the Years Ended December 31,
2013
2012
2011
NSTAR
NSTAR
NSTAR
(Millions of Dollars)
CL&P
Electric
PSNH
WMECO
CL&P
Electric
PSNH
WMECO
CL&P
Electric
PSNH
WMECO
Cash Paid/(Received) During
the Year for:
Interest, Net of Amounts
Capitalized
$
131.6
$
75.8
$
43.3
$
25.8
$
129.4
$
94.6
$
49.8
$
25.8
$
136.6
$
96.1
$
49.3
$
22.1
Income Taxes
55.0
163.4
(30.1)
(69.0)
(42.0)
88.1
14.7
(8.4)
(27.5)
(62.2)
(29.0)
(4.9)
Non-Cash Investing Activities:
Plant Additions Included in
Accounts Payable (As of)
51.4
57.0
34.9
19.5
42.8
50.0
16.8
30.0
32.7
34.3
51.1
61.3
The merger of NU with NSTAR on April 10, 2012 represented a significant non-cash transaction. Refer to Note 2, "Merger of NU and
NSTAR," for further information on the purchase price of NSTAR.
Q. Related Parties
NUSCO, NU's service company, provides centralized accounting, administrative, engineering, financial, information technology, legal,
operational, planning, purchasing, and other services to NU's companies. RRR, Renewable Properties, Inc. and Properties, Inc., three
other NU subsidiaries, construct, acquire or lease some of the property and facilities used by NU's companies.
As of both December 31, 2013 and 2012, CL&P, PSNH and WMECO had long-term receivables from NUSCO in the amounts of $25
million, $3.8 million and $5.5 million, respectively, which were included in Other Long-Term Assets on the balance sheets. These
amounts related to the funding of investments held in trust by NUSCO in connection with certain postretirement benefits for CL&P,
PSNH and WMECO employees and have been eliminated in consolidation on the NU financial statements.
NSTAR Electric’s balance sheets included $64.2 million and $70.2 million in Payable to Affiliated Companies as of December 31, 2013
and 2012, respectively. These amounts related to payments received from affiliates as a result of NSTAR Electric’s role as the acting
sponsor of the NSTAR Pension Plan.
Included in the CL&P, NSTAR Electric, PSNH and WMECO balance sheets as of December 31, 2013 and 2012 were Accounts
Receivable from Affiliated Companies and Accounts Payable to Affiliated Companies relating to transactions between CL&P, NSTAR
Electric, PSNH and WMECO and other subsidiaries that are wholly owned by NU. These amounts have been eliminated in
consolidation on the NU financial statements.
R. Severance Benefits
During 2013, NU recorded severance benefit expenses of $9.7 million in connection with the partial outsourcing of information
technology functions made as part of ongoing post-merger integration. As of December 31, 2013, the severance accrual totaled $14.7
million and was included in Other Current Liabilities on the balance sheet.
2. MERGER OF NU AND NSTAR
On April 10, 2012, NU acquired 100 percent of the outstanding common shares of NSTAR. Pursuant to the terms and conditions of the
Agreement and Plan of Merger, as amended, (the "Merger Agreement,") NSTAR and its subsidiaries became wholly-owned
subsidiaries of NU.
NSTAR was a holding company engaged through its subsidiaries in the energy delivery business serving electric and natural gas
distribution customers in Massachusetts. As part of the merger, NSTAR shareholders received 1.312 NU common shares for each
NSTAR common share owned (the "exchange ratio") as of the acquisition date. The exchange ratio was structured to result in a no-
premium merger based on the average closing share price of each company's common shares for the 20 trading days preceding the
announcement of the merger in October 2010. NU issued approximately 136 million common shares to the NSTAR shareholders as a
result of the merger.