Vectren 2010 Annual Report Download - page 111

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109
Other – net in the Consolidated Statements of Income consists of the following:
(In millions) 2010 2009 2008
AFUDC – borrowed funds 1.4$ 1.3$ 2.2$
AFUDC – equity funds 0.3 0.7 0.3
Nonutility plant capitalized interest 2.1 6.0 3.7
Interest income, net 1.7 1.4 2.3
Other nonutility investment impairment charges (4.7) - (5.2)
Cash surrender value of life insurance policies 1.9 4.1 (2.8)
All other income 2.1 0.2 1.6
Total other – net 4.8$ 13.7$ 2.1$
Year Ended December 31,
Supplemental Cash Flow Information:
Year Ended December 31,
(In millions) 2010 2009 2008
Cash paid for:
Interest 104.5$ 95.5$ 92.6$
Income taxes 8.1 (12.2) (3.5)
As of December 31, 2010 and 2009, the Company has accruals related to utility and nonutility plant purchases totaling
approximately $13.9 million and $12.4 million, respectively.
21. Impact of Recently Issued Accounting Guidance
Variable Interest Entities
In June 2009, the FASB issued new accounting guidance regarding variable interest entities (VIE’s). This new guidance is
effective for annual reporting periods beginning after November 15, 2009. This guidance requires a qualitative analysis of which
holder of a variable interest controls the VIE and if that interest holder must consolidate a VIE. Additionally, it requires additional
disclosures and an ongoing reassessment of who must consolidate a VIE. The Company adopted this guidance on January 1,
2010. The adoption did not have any impact on the consolidated financial statements.
Fair Value Measurements & Disclosures
In January 2010, the FASB issued new accounting guidance on improving disclosures about fair market value. This guidance
amends prior disclosure requirements involving fair value measurements to add new requirements for disclosures about
transfers into and out of Levels 1 and 2 and separate disclosures about purchases, sales, issuances, and settlements relating to
Level 3 measurements. The guidance also clarifies existing fair value disclosures in regard to the level of disaggregation and
about inputs and valuation techniques used to measure fair value. The guidance also amends prior disclosure requirements
regarding postretirement benefit plan assets to require that disclosures be provided by classes of assets instead of major
categories of assets. This guidance is effective for the first reporting period beginning after December 15, 2009. The Company
adopted this guidance for its 2010 reporting. Due to the low level of items carried at fair value in the Company’s financial
statements, the adoption has not had any material impact.