Commission file number | 1-38681 | Commission file number | 1-15973 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | NORTHWEST NATURAL GAS COMPANY | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Exact name of registrant as specified in its charter) | (Exact name of registrant as specified in its charter) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oregon | 82-4710680 | Oregon | 93-0256722 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
250 S.W. Taylor Street | Portland | Oregon | 97204 | 250 S.W. Taylor Street | Portland | Oregon | 97204 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Address of principal executive offices) | (Zip Code) | (Address of principal executive offices) | (Zip Code) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Registrant’s telephone number, including area code: (503) 226-4211 | Registrant’s telephone number, including area code: (503) 226-4211 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities registered pursuant to Section 12(b) of the Act: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Registrant | Title of each class | Trading Symbol | Name of each exchange on which registered | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Northwest Natural Holding Company | Common Stock | NWN | New York Stock Exchange | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Northwest Natural Gas Company | None | None | None | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities registered pursuant to Section 12(g) of the Act: None. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☒ | No | ☐ | NORTHWEST NATURAL GAS COMPANY | Yes | ☐ | No | ☒ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☐ | No | ☒ | NORTHWEST NATURAL GAS COMPANY | Yes | ☐ | No | ☒ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☒ | No | ☐ | NORTHWEST NATURAL GAS COMPANY | Yes | ☒ | No | ☐ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☒ | No | ☐ | NORTHWEST NATURAL GAS COMPANY | Yes | ☒ | No | ☐ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | NORTHWEST NATURAL GAS COMPANY | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Large Accelerated Filer | ☒ | Large Accelerated Filer | ☐ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accelerated Filer | ☐ | Accelerated Filer | ☐ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-accelerated Filer | ☐ | Non-accelerated Filer | ☒ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Smaller Reporting Company | ☐ | Smaller Reporting Company | ☐ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Emerging Growth Company | ☐ | Emerging Growth Company | ☐ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark whether the registrant has filed a report on and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☒ | No | ☐ | NORTHWEST NATURAL GAS COMPANY | Yes | ☐ | No | ☒ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☐ | No | ☒ | NORTHWEST NATURAL GAS COMPANY | Yes | ☐ | No | ☒ | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers during the relevant recovery period pursuant to §240.10D-1(b). | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | Yes | ☐ | No | ☒ | NORTHWEST NATURAL GAS COMPANY | Yes | ☐ | No | ☒ |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL HOLDING COMPANY | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NORTHWEST NATURAL GAS COMPANY | Yes | ☐ | No | ☒ |
Item | Page | |||||||||||||||||||||||
PART I | ||||||||||||||||||||||||
Item 1. | ||||||||||||||||||||||||
Item 1A. | ||||||||||||||||||||||||
Item 1B. | ||||||||||||||||||||||||
Item | ||||||||||||||||||||||||
Item 2. | ||||||||||||||||||||||||
Item 3. | ||||||||||||||||||||||||
Item 4. | ||||||||||||||||||||||||
PART II | ||||||||||||||||||||||||
Item 5. | ||||||||||||||||||||||||
Item 6. | ||||||||||||||||||||||||
Item 7. | ||||||||||||||||||||||||
Item 7A. | ||||||||||||||||||||||||
Item 8. | ||||||||||||||||||||||||
Item 9. | ||||||||||||||||||||||||
Item 9A. | ||||||||||||||||||||||||
Item 9B. | ||||||||||||||||||||||||
Item 9C. | ||||||||||||||||||||||||
PART III | ||||||||||||||||||||||||
Item 10. | ||||||||||||||||||||||||
Item 11. | ||||||||||||||||||||||||
Item 12. | ||||||||||||||||||||||||
Item 13. | ||||||||||||||||||||||||
Item 14. | ||||||||||||||||||||||||
PART IV | ||||||||||||||||||||||||
Item 15. | ||||||||||||||||||||||||
Item 16. | ||||||||||||||||||||||||
ACC | Arizona Corporation Commission; the entity that regulates NW Holdings' regulated water and wastewater businesses in Arizona with respect to rates and terms of service, among other matters | |||||||
AFUDC | ||||||||
Allowance for Funds Used During Construction | ||||||||
AOCI / AOCL | Accumulated Other Comprehensive Income (Loss) | |||||||
ASC | Accounting Standards Codification | |||||||
ASU | Accounting Standards Update as issued by the FASB | |||||||
Average Weather | The 25-year average of heating degree days based on temperatures established in our last Oregon general rate case | |||||||
Bcf | Billion cubic feet, a volumetric measure of natural gas, where one Bcf is roughly equal to 10 million therms | |||||||
CAP | Compliance Assurance Process with the Internal Revenue Service | |||||||
CCA | Climate Commitment Act enacted by the State of Washington | |||||||
CNG | Compressed Natural Gas | |||||||
CODM | Chief Operating Decision Maker, which for accounting purposes is defined as an individual or group of individuals responsible for the allocation of resources and assessing the performance of the entity's business units | |||||||
Core | Residential, commercial, and industrial customers receiving firm service from the | |||||||
Cost of Gas | The delivered cost of natural gas sold to customers, including the cost of gas purchased, | |||||||
Decoupling | A natural gas billing rate mechanism, also referred to as | |||||||
Degree Day | The number of degrees that the average outdoor temperature falls below or exceeds a base value in a given period of time | |||||||
Demand Cost | A component in | |||||||
Energy Corp | Northwest Energy Corporation, a wholly-owned subsidiary of | |||||||
EPA | Environmental Protection Agency | |||||||
EPS | Earnings per share | |||||||
Employee Stock Purchase Plan | ||||||||
FASB | Financial Accounting Standards Board | |||||||
FERC | Federal Energy Regulatory Commission; the entity regulating interstate storage services offered by | |||||||
Firm Service | Natural gas service offered to customers under contracts or rate schedules that will not be disrupted to meet the needs of other customers | |||||||
FMBs | First Mortgage Bonds | |||||||
General Rate Case | A periodic filing with state or federal regulators to establish billing rates for utility customers | |||||||
GHG | Greenhouse gases | |||||||
Interruptible Service | Natural gas service offered to customers (usually large commercial or industrial users) under contracts or rate schedules that allow for interruptions when necessary to meet the needs of firm service customers | |||||||
The portion of the Mist gas storage facility not used to serve NGD customers, instead serving utilities, third-party marketers, and electric generators | ||||||||
IPUC | Public Utility Commission of Idaho; the entity that regulates NW Holdings' regulated water businesses in Idaho with respect to rates and terms of service, among other matters | |||||||
IRA | Inflation Reduction Act of 2022 | |||||||
IRP | Integrated Resource Plan | |||||||
KB | Kelso-Beaver Pipeline, of which 10% is owned by KB Pipeline Company, a subsidiary of NNG Financial Corporation |
LIBOR | London Interbank Offered Rate | |||||||
LNG | Liquefied Natural Gas, the cryogenic liquid form of natural gas. To reach a liquid form at atmospheric pressure, natural gas must be cooled to approximately negative 260 degrees Fahrenheit |
LTIP | Long Term Incentive Plan | |||||||
Moody's | Moody's Investors Service, Inc., credit rating agency | |||||||
NAV | Net Asset Value | |||||||
NGD | Natural Gas Distribution, a segment of Northwest Natural Holding Company and Northwest Natural Gas Company that provides regulated natural gas distribution services to residential, commercial, and industrial customers in Oregon and Southwest Washington | |||||||
NGD Margin | A financial measure used by NW Natural's CODM consisting of NGD operating revenues less the associated cost of gas, revenue taxes, and environmental recoveries | |||||||
NNG Financial | NNG Financial Corporation, a wholly-owned subsidiary of NW | |||||||
Northwest Natural | ||||||||
NW Natural Renewables | NW Natural Renewables Holdings, LLC, a wholly-owned subsidiary of NW Holdings | |||||||
NWN Energy | NW Natural Energy, LLC, a wholly-owned subsidiary of NW | |||||||
NWN Gas Reserves | NWN Gas Reserves LLC, a wholly-owned subsidiary of | |||||||
NWN Gas Storage | NW Natural Gas Storage, LLC, a wholly-owned subsidiary of NWN Energy | |||||||
NW Natural Water Company, LLC, a wholly-owned subsidiary of NW Holdings | ||||||||
ODEQ | Oregon Department of Environmental Quality | |||||||
OPEIU | Office and Professional Employees International Union Local No. 11, AFL-CIO, | |||||||
OPUC | Public Utility Commission of Oregon; the entity that regulates our Oregon | |||||||
Purchased Gas Adjustment, a regulatory mechanism | ||||||||
PHMSA | U.S. Department of Transportation's Pipeline and Hazardous Materials Safety Administration | |||||||
ROE | Return on Equity, a measure of corporate profitability, calculated as net income or loss divided by average common | |||||||
ROR | Rate of Return, a measure of return on utility rate base. Authorized ROR refers to the rate of return approved by a regulatory agency and is generally discussed in the context of ROE and capital structure | |||||||
RSU | Restricted Stock Unit | |||||||
RTC | Renewable Thermal Certificate | |||||||
S&P | Standard & Poor's Financial Services LLC, a credit rating agency and | |||||||
Sales Service | Service provided whereby a customer purchases both natural gas commodity supply and transportation from the | |||||||
SEC | U.S. Securities and Exchange Commission | |||||||
Secured Overnight Financing Rate | ||||||||
SRRM | Site Remediation and Recovery Mechanism, a billing rate mechanism for recovering prudently incurred environmental site remediation costs allocable to Oregon through NGD customer billings, subject to an earnings test | |||||||
The basic unit of natural gas measurement, equal to one hundred thousand | ||||||||
Transportation Service | Service provided whereby a customer purchases natural gas directly from a supplier but pays the utility to transport the gas over its distribution system to the customer’s facility | |||||||
Accounting principles generally accepted in the United States of America |
WARM | An Oregon billing rate mechanism applied to natural gas residential and commercial customers to adjust for temperature variances from average weather | |||||||
WUTC | Washington Utilities and Transportation Commission, the entity that regulates our Washington |
Non-Utility(1) | ||||||||||||||||
In millions | Utility | Gas Storage(2) | Other | Total | ||||||||||||
Assets(3) | $ | 2,961.3 | $ | 59.6 | $ | 18.8 | $ | 3,039.7 | ||||||||
Net income (loss)(3) | 60.5 | (116.2 | ) | 0.1 | (55.6 | ) |
Number of Customers | % of Volumes | % of Utility Margin (1) | |||||||||||||||||||||||||||||||||||||||||||
Number of Meters | Number of Meters | % of Volumes | % of Margin | ||||||||||||||||||||||||||||||||||||||||||
Residential | 668,803 | 38 | % | 63 | % | Residential | 728,915 | 38 | 38 | % | 65 | % | |||||||||||||||||||||||||||||||||
Commercial | 68,050 | 22 | % | 28 | % | Commercial | 69,273 | 23 | 23 | % | 24 | % | |||||||||||||||||||||||||||||||||
Industrial | 1,021 | 40 | % | 8 | % | Industrial | 1,062 | 39 | 39 | % | 6 | % | |||||||||||||||||||||||||||||||||
Other | N/A | N/A | 1 | % | |||||||||||||||||||||||||||||||||||||||||
Other(1) | Other(1) | N/A | 5 | % | |||||||||||||||||||||||||||||||||||||||||
Total | 737,874 | 100 | % | 100 | % | Total | 799,250 | 100 | 100 | % | 100 | % |
Therms in millions | Therms | Percent | ||||||||||||
Sources of NGD supply: | ||||||||||||||
Firm supply purchases | 3.4 | 34 | % | |||||||||||
Mist underground storage (NGD only) | 3.1 | 30 | % | |||||||||||
Company-owned LNG storage | 1.9 | 19 | % | |||||||||||
Off-system storage contract | 0.5 | 5 | % | |||||||||||
Pipeline segmentation capacity | 0.6 | 6 | % | |||||||||||
Recall agreements | 0.4 | 4 | % | |||||||||||
Peak day citygate deliveries | 0.2 | 2 | % | |||||||||||
Total | 10.1 | 100 | % |
Therms in millions | Therms | Percent | ||||
Sources of utility supply: | ||||||
Firm supply purchases | 3.4 | 34 | % | |||
Mist underground storage (utility only) | 3.1 | 32 | ||||
Company-owned LNG storage | 1.9 | 19 | ||||
Off-system storage contract | 0.5 | 5 | ||||
Pipeline segmentation capacity | 0.6 | 6 | ||||
Recall agreements | 0.4 | 4 | ||||
Total | 9.9 | 100 | % |
Maximum Daily Deliverability (therms in millions) | Designed Storage Capacity (Bcf) | |||||||||||||
Gas Storage Facilities | ||||||||||||||
Owned Facility | ||||||||||||||
Mist, Oregon (Mist Facility)(1) | 3.1 | 11.7 | ||||||||||||
Mist, Oregon (North Mist Facility)(2) | 1.3 | 4.1 | ||||||||||||
Contracted Facility | ||||||||||||||
Jackson Prairie, Washington(3) | 0.5 | 1.1 | ||||||||||||
LNG Facilities | ||||||||||||||
Owned Facilities | ||||||||||||||
Newport, Oregon | 0.6 | 1.0 | ||||||||||||
Portland, Oregon | 1.3 | 0.6 | ||||||||||||
Total | 6.8 | 18.5 |
Maximum Daily Deliverability (therms in millions) | Designed Storage Capacity (Bcf) | |||||
Gas Storage Facilities | ||||||
Owned Facility | ||||||
Mist, Oregon(1) | 3.1 | 10.6 | ||||
Contracted Facilities | ||||||
Jackson Prairie, Washington(2) | 0.5 | 1.1 | ||||
Alberta, Canada(3) | 0.3 | 1.5 | ||||
LNG Facilities | ||||||
Owned Facilities | ||||||
Newport, Oregon | 0.6 | 1.0 | ||||
Portland, Oregon | 1.3 | 0.6 | ||||
Total | 5.8 | 14.8 |
Contract Duration (primary term) | Percent of Purchases | ||||
Long-term (one year or longer) | % | ||||
Short-term (more than one month, less than one year) | |||||
Spot (one month or less) | |||||
Total | 100 | % |
Maximum | |||||||||
Designed Storage Capacity (Bcf) | Deliverability (Therms in millions/day(3) | Injection (Therms in millions/day)(3) | |||||||
Mist Storage(1) | 5.4 | 2.3 | 0.8 | ||||||
Gill Ranch Storage(2) | 15.0 | 4.9 | 2.4 |
NW Natural: | |||||
Unionized employees(1) | 614 | ||||
Non-unionized employees | 600 | ||||
Total NW Natural | 1,214 | ||||
Other Entities: | |||||
Water and wastewater company employees | 161 | ||||
Other | 5 | ||||
Total other entities | 166 | ||||
Total Employees | 1,380 |
2017 | 2016 | |||||||||||||||
Quarter Ended | High | Low | High | Low | ||||||||||||
March 31 | $ | 61.70 | $ | 56.53 | $ | 54.51 | $ | 48.90 | ||||||||
June 30 | 63.40 | 57.65 | 64.84 | 49.46 | ||||||||||||
September 30 | 68.60 | 59.15 | 66.17 | 57.96 | ||||||||||||
December 31 | 69.50 | 58.55 | 61.85 | 53.50 |
Payment Month | 2017 | 2016 | ||||||
February | $ | 0.4700 | $ | 0.4675 | ||||
May | 0.4700 | 0.4675 | ||||||
August | 0.4700 | 0.4675 | ||||||
November | 0.4725 | 0.4700 | ||||||
Total per share | $ | 1.8825 | $ | 1.8725 |
Issuer Purchases of Equity Securities | ||||||||||||||||||||||||||
Period | Total Number of Shares Purchased | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(1) | Maximum Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs(1) | ||||||||||||||||||||||
Balance forward | 2,124,528 | $ | 16,732,648 | |||||||||||||||||||||||
10/01/23-10/31/23 | — | $ | — | — | — | |||||||||||||||||||||
11/01/23-11/30/23 | — | $ | — | — | — | |||||||||||||||||||||
12/01/23-12/31/23 | — | $ | — | — | — | |||||||||||||||||||||
Total | — | 2,124,528 | $ | 16,732,648 |
Issuer Purchases of Equity Securities | ||||||||||||||
Period | Total Number of Shares Purchased(1) | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(2) | Maximum Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs(2) | ||||||||||
Balance forward | 2,124,528 | $ | 16,732,648 | |||||||||||
10/01/17-10/31/17 | 657 | $ | 66.33 | — | — | |||||||||
11/01/17-11/30/17 | 14,239 | 67.89 | — | — | ||||||||||
12/01/17-12/31/17 | 650 | 64.98 | — | — | ||||||||||
Total | 15,546 | 67.71 | 2,124,528 | $ | 16,732,648 |
For the year ended December 31, | ||||||||||||||||||||
In thousands, except per share data | 2017 | 2016 | 2015 | 2014 | 2013 | |||||||||||||||
Operating revenues | $ | 762,173 | $ | 675,967 | $ | 723,791 | $ | 754,037 | $ | 758,518 | ||||||||||
Net income (loss) | (55,623 | ) | 58,895 | 53,703 | 58,692 | 60,538 | ||||||||||||||
Earnings (Loss) per share of common stock: | ||||||||||||||||||||
Basic | $ | (1.94 | ) | $ | 2.13 | $ | 1.96 | $ | 2.16 | $ | 2.24 | |||||||||
Diluted | (1.94 | ) | 2.12 | 1.96 | 2.16 | 2.24 | ||||||||||||||
Dividends paid per share of common stock | 1.88 | 1.87 | 1.86 | 1.85 | 1.83 | |||||||||||||||
Total assets, end of period | $ | 3,039,746 | $ | 3,079,801 | $ | 3,069,410 | $ | 3,056,326 | $ | 2,960,808 | ||||||||||
Total equity | 742,776 | 850,497 | 780,972 | 767,321 | 751,872 | |||||||||||||||
Long-term debt | 683,184 | 679,334 | 569,445 | 613,095 | 671,643 |
2023 | 2022 | 2021 | ||||||||||||||||||
Diluted EPS - Total(1) | $ | 2.59 | $ | 2.54 | $ | 2.56 | ||||||||||||||
Diluted EPS - NGD segment(2) | 2.59 | 2.34 | 2.24 | |||||||||||||||||
Diluted EPS - NW Holdings - other(2) | — | 0.20 | 0.32 | |||||||||||||||||
NON-GAAP RECONCILIATIONS | 2017 | 2016 | 2015 | ||||||||||||||||||
In millions, except per share data | Amount | Per Share | Amount | Per Share | Amount | Per Share | |||||||||||||||
Consolidated net income (loss) | $ | (55.6 | ) | $ | (1.94 | ) | $ | 58.9 | $ | 2.12 | $ | 53.7 | $ | 1.96 | |||||||
Adjustments: | |||||||||||||||||||||
Regulatory environmental disallowance(1) | — | — | 3.3 | 0.12 | 15.0 | 0.55 | |||||||||||||||
Impairment of long-lived assets(2) | 192.5 | 6.71 | — | — | — | — | |||||||||||||||
Tax effects on TCJA(3) | (21.4 | ) | (0.75 | ) | — | — | — | — | |||||||||||||
Tax effects on non-GAAP adjustments | (51.0 | ) | (1.78 | ) | (1.3 | ) | (0.05 | ) | (5.9 | ) | (0.22 | ) | |||||||||
Adjusted consolidated net income | $ | 64.5 | $ | 2.24 | $ | 60.9 | $ | 2.19 | $ | 62.8 | $ | 2.29 | |||||||||
Utility net income (loss) | $ | 60.5 | $ | 2.11 | $ | 54.6 | $ | 1.96 | $ | 53.4 | $ | 1.95 | |||||||||
Adjustments: | |||||||||||||||||||||
Regulatory environmental disallowance(1) | — | — | 3.3 | 0.12 | 15.0 | 0.55 | |||||||||||||||
Tax effects on TCJA(3) | 1.0 | 0.03 | — | — | — | — | |||||||||||||||
Tax effects on non-GAAP adjustments | — | — | (1.3 | ) | (0.05 | ) | (5.9 | ) | (0.22 | ) | |||||||||||
Adjusted utility net income | $ | 61.5 | $ | 2.14 | $ | 56.6 | $ | 2.03 | $ | 62.5 | $ | 2.28 | |||||||||
Gas storage net income (loss) | $ | (116.2 | ) | $ | (4.05 | ) | $ | 4.3 | $ | 0.16 | $ | 0.2 | $ | 0.01 | |||||||
Adjustments: | |||||||||||||||||||||
Impairment of long-lived assets(2) | 192.5 | 6.71 | — | — | — | — | |||||||||||||||
Tax effects on TCJA(3) | (21.9 | ) | (0.76 | ) | — | — | — | — | |||||||||||||
Tax effects on non-GAAP adjustments | (51.0 | ) | (1.78 | ) | — | — | — | — | |||||||||||||
Adjusted gas storage net income | $ | 3.4 | $ | 0.12 | $ | 4.3 | $ | 0.16 | $ | 0.2 | $ | 0.01 | |||||||||
Other net income (loss) | $ | 0.1 | $ | — | $ | — | $ | — | $ | 0.1 | $ | — | |||||||||
Adjustments: | |||||||||||||||||||||
Tax effects on TCJA(3) | (0.6 | ) | (0.02 | ) | — | — | — | — | |||||||||||||
Adjusted other net income (loss) | $ | (0.5 | ) | $ | (0.02 | ) | $ | — | $ | — | $ | 0.1 | $ | — |
2017 | 2016 | 2015 | |||||||||||||||||||
In millions, except per share data | Amount | Per Share | Amount | Per Share | Amount | Per Share | |||||||||||||||
Consolidated net income (loss) | $ | (55.6 | ) | $ | (1.94 | ) | $ | 58.9 | $ | 2.12 | $ | 53.7 | $ | 1.96 | |||||||
Adjusted consolidated net income(1) | $ | 64.5 | $ | 2.24 | $ | 60.9 | $ | 2.19 | $ | 62.8 | $ | 2.29 | |||||||||
Utility margin | $ | 392.6 | $ | 376.6 | $ | 371.4 | |||||||||||||||
Gas storage operating revenues | $ | 23.6 | $ | 25.3 | $ | 21.4 |
2023 | 2022 | 2021 | ||||||||||||||||||||||||
In millions | Amount | Per Share | Amount | Per Share | Amount | Per Share | ||||||||||||||||||||
Consolidated net income | $ | 93.9 | $ | 2.59 | $ | 86.3 | $ | 2.54 | $ | 78.7 | $ | 2.56 | ||||||||||||||
2023 | 2022 | 2021 | |||||||||||||||
In millions | Amount | Amount | Amount | ||||||||||||||
Consolidated net income | $ | 104.7 | $ | 91.6 | $ | 81.2 | |||||||||||
Natural gas distribution margin | 575.0 | 505.9 | 479.8 |
Per common share | 2023 | 2022 | 2021 | |||||||||||||||||
Dividends paid | $ | 1.9425 | $ | 1.9325 | $ | 1.9225 |
Per common share | 2017 | 2016 | 2015 | |||||||||
Dividends paid | $ | 1.8825 | $ | 1.8725 | $ | 1.8625 |
Oregon | Washington | |
Authorized Rate Structure: | ||
ROE | 9.5% | 10.1% |
ROR | 7.8% | 8.4% |
Debt/Equity Ratio | 50%/50% | 49%/51% |
Key Regulatory Mechanisms: | ||
PGA | X | X |
Gas Cost Incentive Sharing | X | |
Decoupling | X | |
WARM | X | |
Environmental Cost Deferral | X | X |
SRRM | X | |
Pension Balancing | X | |
Interstate Storage Sharing | X | X |
Oregon | Washington | ||||||||||||||||
2022 Rate Case (effective 11/1/2022) | 2020 Rate Case (effective 11/1/2020) | 2021 Rate Case (effective 11/1/2021) | 2019 Rate Case (effective 11/1/2019) | ||||||||||||||
Authorized Rate Structure: | |||||||||||||||||
Return on Equity | 9.4% | 9.4% | ** | 9.4% | |||||||||||||
Rate of Return | 6.8% | 7.0% | 6.8% | 7.2% | |||||||||||||
Debt/Equity Ratio | 50%/50% | 50%/50% | ** | 51%/49% | |||||||||||||
Key Regulatory Mechanisms: | |||||||||||||||||
Purchased Gas Adjustment (PGA) | X | X | X | X | |||||||||||||
Gas Cost Incentive Sharing | X | X | |||||||||||||||
Decoupling | X | X | |||||||||||||||
Weather Normalization (WARM) | X | X | |||||||||||||||
RNG Automatic Adjustment Clause | X | ||||||||||||||||
Environmental Cost Recovery | X | X | X | X | |||||||||||||
Interstate Storage and Asset Management Sharing | X | X | X | X | |||||||||||||
** The WUTC Order does not specify the underlying inputs to the cost of capital, including capital structure and return on equity. |
Annual spend | ||
Less: $5.0 million base rate rider | ||
Prior year carry-over(1) | ||
$5.0 million insurance + interest on insurance | ||
Total deferred annual spend subject to earnings test | ||
Less: over-earnings adjustment, if any | ||
Add: deferred interest on annual spend | ||
Total amount transferred to post-review |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
Oregon | $ | 23.5 | $ | 41.1 | $ | 9.1 | ||||||||||||||
Washington | 2.9 | 1.5 | 3.1 |
Total Household Income | Bill Discount Percentage | ||||||||||
Tier 0 | At or below 15% SMI | 40% | |||||||||
Tier 1 | 16% - 30% of SMI | 25% | |||||||||
Tier 2 | 31% - 45% of SMI | 20% | |||||||||
Tier 3 | 46% - 60% of SMI | 15% |
Total Household Income | Bill Discount Percentage | ||||||||||
Tier 0 | At or below 60% FPL | 80% | |||||||||
Tier 1 | 61% - 120% of FPL | 40% | |||||||||
Tier 2 | 121% - 150% of FPL | 20% | |||||||||
Tier 3 | Greater of 80% AMI or 151% - 200% of FPL | 15% |
In millions | 2017 | 2016 | 2015 | |||||||||
Oregon utility customer credit | $ | 11.7 | $ | 9.4 | $ | 9.6 | ||||||
Washington utility customer credit | 1.0 | 1.0 | 0.8 |
Dollars and therms in millions, except EPS data | 2023 | 2022 | 2021 | |||||||||||||||||
NGD net income | $ | 94.0 | $ | 79.7 | $ | 69.0 | ||||||||||||||
Diluted EPS - NGD segment | $ | 2.59 | $ | 2.34 | $ | 2.24 | ||||||||||||||
Gas sold and delivered (in therms) | 1,207 | 1,252 | 1,185 | |||||||||||||||||
NGD margin(1) | $ | 575.0 | $ | 505.9 | $ | 479.8 |
Dollars and therms in millions, except EPS data | 2017 | 2016 | 2015 | |||||||||
Utility net income | $ | 60.5 | $ | 54.6 | $ | 53.4 | ||||||
Adjusted utility net income(1) | 61.5 | 56.6 | 62.5 | |||||||||
EPS - utility segment | 2.11 | 1.96 | 1.95 | |||||||||
Adjusted EPS - utility segment(1) | 2.14 | 2.03 | 2.28 | |||||||||
Gas sold and delivered (in therms) | 1,240 | 1,085 | 1,029 | |||||||||
Utility margin(2) | $ | 392.6 | $ | 376.6 | $ | 371.4 |
Favorable (Unfavorable) | ||||||||||||||||||||||||||||||||
In thousands, except degree day and customer data | 2023 | 2022 | 2021 | 2023 vs. 2022 | 2022 vs. 2021 | |||||||||||||||||||||||||||
NGD volumes (therms): | ||||||||||||||||||||||||||||||||
Residential and commercial sales | 735,755 | 766,592 | 703,054 | (30,837) | 63,538 | |||||||||||||||||||||||||||
Industrial sales and transportation | 470,919 | 485,745 | 481,721 | (14,826) | 4,024 | |||||||||||||||||||||||||||
Total NGD volumes sold and delivered | 1,206,674 | 1,252,337 | 1,184,775 | (45,663) | 67,562 | |||||||||||||||||||||||||||
Operating revenues: | ||||||||||||||||||||||||||||||||
Residential and commercial sales | $ | 1,015,072 | $ | 881,370 | $ | 730,794 | $ | 133,702 | $ | 150,576 | ||||||||||||||||||||||
Industrial sales and transportation | 97,886 | 86,810 | 65,299 | 11,076 | 21,511 | |||||||||||||||||||||||||||
Other distribution revenues | 4,540 | 1,944 | 1,707 | 2,596 | 237 | |||||||||||||||||||||||||||
Other regulated services | 18,902 | 19,628 | 19,087 | (726) | 541 | |||||||||||||||||||||||||||
Total operating revenues | 1,136,400 | 989,752 | 816,887 | 146,648 | 172,865 | |||||||||||||||||||||||||||
Less: Cost of gas | 500,061 | 429,861 | 292,538 | (70,200) | (137,323) | |||||||||||||||||||||||||||
Less: Environmental remediation expense | 12,899 | 12,389 | 9,938 | (510) | (2,451) | |||||||||||||||||||||||||||
Less: Revenue taxes | 48,432 | 41,627 | 34,600 | (6,805) | (7,027) | |||||||||||||||||||||||||||
NGD margin | $ | 575,008 | $ | 505,875 | $ | 479,811 | $ | 69,133 | $ | 26,064 | ||||||||||||||||||||||
NGD margin(1) | ||||||||||||||||||||||||||||||||
Residential and commercial sales | $ | 512,479 | $ | 455,686 | $ | 430,295 | $ | 56,793 | $ | 25,391 | ||||||||||||||||||||||
Industrial sales and transportation | 34,748 | 33,543 | 32,182 | 1,205 | 1,361 | |||||||||||||||||||||||||||
Gain (loss) from gas cost incentive sharing | 4,459 | (4,917) | (3,381) | 9,376 | (1,536) | |||||||||||||||||||||||||||
Other margin | 4,426 | 1,943 | 1,633 | 2,483 | 310 | |||||||||||||||||||||||||||
Other regulated services | 18,896 | 19,620 | 19,082 | (724) | 538 | |||||||||||||||||||||||||||
NGD margin | $ | 575,008 | $ | 505,875 | $ | 479,811 | $ | 69,133 | $ | 26,064 | ||||||||||||||||||||||
Degree days(2) | ||||||||||||||||||||||||||||||||
Average(3) | 2,686 | 2,686 | 2,692 | — | (6) | |||||||||||||||||||||||||||
Actual | 2,480 | 2,712 | 2,378 | (9) | % | 14 | % | |||||||||||||||||||||||||
Percent (warmer) colder than average weather | (8) | % | 1 | % | (12) | % | ||||||||||||||||||||||||||
NGD meters - end of period: | ||||||||||||||||||||||||||||||||
Residential meters | 728,915 | 724,287 | 715,958 | 4,628 | 8,329 | |||||||||||||||||||||||||||
Commercial meters | 69,273 | 69,139 | 68,961 | 134 | 178 | |||||||||||||||||||||||||||
Industrial meters | 1,062 | 1,071 | 978 | (9) | 93 | |||||||||||||||||||||||||||
Total number of meters | 799,250 | 794,497 | 785,897 | 4,753 | 8,600 | |||||||||||||||||||||||||||
NGD meter growth: | ||||||||||||||||||||||||||||||||
Residential meters | 0.6 | % | 1.2 | % | ||||||||||||||||||||||||||||
Commercial meters | 0.2 | % | 0.3 | % | ||||||||||||||||||||||||||||
Industrial meters | (0.8) | % | 9.5 | % | ||||||||||||||||||||||||||||
Total meter growth | 0.6 | % | 1.1 | % |
Favorable/(Unfavorable) | ||||||||||||||||||||
In thousands, except degree day and customer data | 2017 | 2016 | 2015 | 2017 vs. 2016 | 2016 vs. 2015 | |||||||||||||||
Utility volumes (therms): | ||||||||||||||||||||
Residential and commercial sales | 740,369 | 609,222 | 570,728 | 131,147 | 38,494 | |||||||||||||||
Industrial sales and transportation | 499,924 | 475,774 | 457,884 | 24,150 | 17,890 | |||||||||||||||
Total utility volumes sold and delivered | 1,240,293 | 1,084,996 | 1,028,612 | 155,297 | 56,384 | |||||||||||||||
Utility operating revenues: | ||||||||||||||||||||
Residential and commercial sales | $ | 684,214 | $ | 604,390 | $ | 644,835 | $ | 79,824 | $ | (40,445 | ) | |||||||||
Industrial sales and transportation | 63,925 | 59,386 | 71,495 | 4,539 | (12,109 | ) | ||||||||||||||
Other revenues | 3,872 | 3,812 | 3,914 | 60 | (102 | ) | ||||||||||||||
Less: Revenue taxes | 19,069 | 17,111 | 18,034 | 1,958 | (923 | ) | ||||||||||||||
Total utility operating revenues | 732,942 | 650,477 | 702,210 | 82,465 | (51,733 | ) | ||||||||||||||
Less: Cost of gas | 325,019 | 260,588 | 327,305 | (64,431 | ) | 66,717 | ||||||||||||||
Less: Environmental remediation expense | 15,291 | 13,298 | 3,513 | (1,993 | ) | (9,785 | ) | |||||||||||||
Utility margin | $ | 392,632 | $ | 376,591 | $ | 371,392 | $ | 16,041 | $ | 5,199 | ||||||||||
Utility margin:(1) | ||||||||||||||||||||
Residential and commercial sales | $ | 355,736 | $ | 338,060 | $ | 334,134 | $ | 17,676 | $ | 3,926 | ||||||||||
Industrial sales and transportation | 31,847 | 30,989 | 30,081 | 858 | 908 | |||||||||||||||
Miscellaneous revenues | 3,865 | 3,796 | 3,913 | 69 | (117 | ) | ||||||||||||||
Gain from gas cost incentive sharing | 1,237 | 3,960 | 3,182 | (2,723 | ) | 778 | ||||||||||||||
Other margin adjustments | (53 | ) | (214 | ) | 82 | 161 | (296 | ) | ||||||||||||
Utility margin | $ | 392,632 | $ | 376,591 | $ | 371,392 | $ | 16,041 | $ | 5,199 | ||||||||||
Degree days | ||||||||||||||||||||
Average(2) | 4,240 | 4,256 | 4,240 | (16 | ) | 16 | ||||||||||||||
Actual | 4,553 | 3,551 | 3,458 | 28 | % | 3 | % | |||||||||||||
Percent colder (warmer) than average weather(2) | 7 | % | (17 | )% | (18 | )% | ||||||||||||||
Customers - end of period: | ||||||||||||||||||||
Residential customers | 668,803 | 656,855 | 646,841 | 11,948 | 10,014 | |||||||||||||||
Commercial customers | 68,050 | 67,278 | 66,584 | 772 | 694 | |||||||||||||||
Industrial customers | 1,021 | 1,013 | 1,003 | 8 | 10 | |||||||||||||||
Total number of customers | 737,874 | 725,146 | 714,428 | 12,728 | 10,718 | |||||||||||||||
Customer growth: | ||||||||||||||||||||
Residential customers | 1.8 | % | 1.5 | % | ||||||||||||||||
Commercial customers | 1.1 | % | 1.0 | % | ||||||||||||||||
Industrial customers | 0.8 | % | 1.0 | % | ||||||||||||||||
Total customer growth | 1.8 | % | 1.5 | % |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
Volumes (therms): | ||||||||||||||||||||
Residential sales | 455.7 | 478.1 | 445.6 | |||||||||||||||||
Commercial sales | 280.1 | 288.5 | 257.5 | |||||||||||||||||
Total volumes | 735.8 | 766.6 | 703.1 | |||||||||||||||||
Operating revenues: | ||||||||||||||||||||
Residential sales | $ | 685.5 | $ | 595.0 | $ | 506.2 | ||||||||||||||
Commercial sales | 329.6 | 286.4 | 224.6 | |||||||||||||||||
Total operating revenues | $ | 1,015.1 | $ | 881.4 | $ | 730.8 | ||||||||||||||
NGD Margin: | ||||||||||||||||||||
Residential margin | $ | 371.3 | $ | 328.2 | $ | 312.5 | ||||||||||||||
Commercial margin | 141.2 | 127.5 | 117.8 | |||||||||||||||||
Total NGD margin | $ | 512.5 | $ | 455.7 | $ | 430.3 |
In millions | 2017 | 2016 | 2015 | |||||||||
Volumes (therms): | ||||||||||||
Residential sales | 465.2 | 379.2 | 350.9 | |||||||||
Commercial sales | 275.2 | 230.0 | 219.8 | |||||||||
Total volumes | 740.4 | 609.2 | 570.7 | |||||||||
Operating revenues: | ||||||||||||
Residential sales | $ | 455.9 | $ | 404.3 | $ | 424.6 | ||||||
Commercial sales | 228.3 | 200.1 | 220.2 | |||||||||
Total operating revenues | $ | 684.2 | $ | 604.4 | $ | 644.8 | ||||||
Utility margin: | ||||||||||||
Residential: | ||||||||||||
Sales | $ | 262.1 | $ | 223.2 | $ | 211.6 | ||||||
Weather normalization | (11.9 | ) | 12.7 | 14.0 | ||||||||
Decoupling | (2.4 | ) | 0.8 | 7.2 | ||||||||
Total residential utility margin | 247.8 | 236.7 | 232.8 | |||||||||
Commercial: | ||||||||||||
Sales | 101.5 | 87.2 | 84.8 | |||||||||
Weather normalization | (4.6 | ) | 5.0 | 5.8 | ||||||||
Decoupling | 11.1 | 9.2 | 10.7 | |||||||||
Total commercial utility margin | 108.0 | 101.4 | 101.3 | |||||||||
Total utility margin | $ | 355.8 | $ | 338.1 | $ | 334.1 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
Volumes (therms): | ||||||||||||||||||||
Firm and interruptible sales | 102.3 | 104.4 | 90.8 | |||||||||||||||||
Firm and interruptible transportation | 368.6 | 381.3 | 390.9 | |||||||||||||||||
Total volumes | 470.9 | 485.7 | 481.7 | |||||||||||||||||
NGD Margin: | ||||||||||||||||||||
Firm and interruptible sales | $ | 14.1 | $ | 13.6 | $ | 12.6 | ||||||||||||||
Firm and interruptible transportation | 20.6 | 19.9 | 19.6 | |||||||||||||||||
Total NGD margin | $ | 34.7 | $ | 33.5 | $ | 32.2 |
In millions | 2017 | 2016 | 2015 | |||||||||
Volumes (therms): | ||||||||||||
Industrial - firm sales | 35.7 | 33.8 | 32.4 | |||||||||
Industrial - firm transportation | 167.7 | 156.9 | 144.0 | |||||||||
Industrial - interruptible sales | 55.1 | 50.4 | 57.3 | |||||||||
Industrial - interruptible transportation | 241.4 | 234.7 | 224.2 | |||||||||
Total volumes | 499.9 | 475.8 | 457.9 | |||||||||
Utility margin: | ||||||||||||
Industrial - sales and transportation | $ | 31.8 | $ | 31.0 | $ | 30.1 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
North Mist storage services | $ | 18.6 | $ | 19.4 | $ | 18.9 | ||||||||||||||
Other services | 0.3 | 0.2 | 0.2 | |||||||||||||||||
Total other regulated services | $ | 18.9 | $ | 19.6 | $ | 19.1 |
In millions | 2017 | 2016 | 2015 | |||||||||
Other revenues | $ | 3.9 | $ | 3.8 | $ | 3.9 |
In millions, except where indicated | 2023 | 2022 | 2021 | |||||||||||||||||
Cost of gas | $ | 500.1 | $ | 429.9 | $ | 292.5 | ||||||||||||||
Volumes sold (therms)(1) | 838.1 | 871.0 | 793.9 | |||||||||||||||||
Average cost of gas (cents per therm) | $ | 0.60 | $ | 0.49 | $ | 0.37 | ||||||||||||||
Gain (loss) from gas cost incentive sharing(2) | $ | 4.5 | $ | (4.9) | $ | (3.4) |
Dollars and therms in millions | 2017 | 2016 | 2015 | |||||||||
Cost of gas | $ | 325.0 | $ | 260.6 | $ | 327.3 | ||||||
Volumes sold (therms) | 831 | 693 | 660 | |||||||||
Average cost of gas (cents per therm) | $ | 0.39 | $ | 0.38 | $ | 0.50 | ||||||
Gain from gas cost incentive sharing | 1.2 | 4.0 | 3.2 |
In millions, except EPS data | 2023 | 2022 | 2021 | ||||||||||||||
NW Natural other - net income | $ | 10.7 | $ | 11.9 | $ | 12.2 | |||||||||||
Other NW Holdings activity | (10.9) | (5.3) | (2.5) | ||||||||||||||
NW Holdings other - net income (loss) | $ | (0.2) | $ | 6.6 | $ | 9.7 | |||||||||||
Diluted earnings per share - NW Holdings - other | $ | — | $ | 0.20 | $ | 0.32 |
In millions, except EPS data | 2017 | 2016 | 2015 | ||||||||
Operating revenues | $ | 23.6 | $ | 25.3 | $ | 21.4 | |||||
Operating expenses | 208.7 | 16.1 | 16.3 | ||||||||
Gas storage net income (loss) | (116.2 | ) | 4.3 | 0.2 | |||||||
Adjusted gas storage net income(1) | 3.4 | 4.3 | 0.2 | ||||||||
EPS - gas storage segment | (4.05 | ) | 0.16 | 0.01 | |||||||
Adjusted EPS - gas storage segment(1) | 0.12 | 0.16 | 0.01 |
In millions | 2017 | 2016 | 2015 | In millions | 2023 | 2022 | 2021 | ||||||||||||||||||||||||||||||||||
Operations and maintenance | $ | 165.2 | $ | 150.0 | $ | 157.5 | |||||||||||||||||||||||||||||||||||
NW Natural | |||||||||||||||||||||||||||||||||||||||||
Other NW Holdings operations and maintenance | |||||||||||||||||||||||||||||||||||||||||
NW Holdings |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural | $ | 119.5 | $ | 113.0 | $ | 110.5 | ||||||||||||||
Other NW Holdings depreciation | 6.1 | 3.7 | 3.0 | |||||||||||||||||
NW Holdings | $ | 125.6 | $ | 116.7 | $ | 113.5 |
In millions | 2017 | 2016 | 2015 | |||||||||
Depreciation and amortization | $ | 85.6 | $ | 82.3 | $ | 80.9 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural total other income (expense), net | $ | 15.4 | $ | (0.4) | $ | (12.7) | ||||||||||||||
Other NW Holdings activity | 2.5 | 1.6 | 0.1 | |||||||||||||||||
NW Holdings total other income (expense), net | $ | 17.9 | $ | 1.2 | $ | (12.6) |
In millions | 2017 | 2016 | 2015 | |||||||||
Equity portion of AFUDC | $ | 2.7 | $ | — | $ | — | ||||||
Gains from company-owned life insurance | 2.5 | 1.7 | 2.2 | |||||||||
Interest income | 0.2 | 0.1 | 0.1 | |||||||||
Loss from equity investments | (0.1 | ) | (0.1 | ) | (0.1 | ) | ||||||
Net interest income (expense) on deferred regulatory accounts | 2.0 | (0.1 | ) | 8.2 | ||||||||
Other non-operating | (2.0 | ) | (2.1 | ) | (2.7 | ) | ||||||
Total other income (expense), net | $ | 5.3 | $ | (0.5 | ) | $ | 7.7 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural | $ | 60.6 | $ | 46.3 | $ | 43.0 | ||||||||||||||
Other NW Holdings interest expense | 16.0 | 6.9 | 1.5 | |||||||||||||||||
NW Holdings | $ | 76.6 | $ | 53.2 | $ | 44.5 |
In millions | 2017 | 2016 | 2015 | |||||||||
Interest expense, net | $ | 38.5 | $ | 39.1 | $ | 42.5 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
Income tax expense | $ | 32.4 | $ | 29.1 | $ | 27.4 | ||||||||||||||
Effective tax rate | 25.6 | % | 25.2 | % | 25.8 | % |
In millions | 2017 | 2016 | 2015 | |||||||||
Income tax (benefit) expense | $ | (30.8 | ) | $ | 40.7 | $ | 35.8 | |||||
Effects of non-GAAP adjustments(1) | 51.0 | 1.3 | 5.9 | |||||||||
Effects from the TCJA(1) | 21.4 | — | — | |||||||||
Adjusted income tax expense | $ | 41.6 | $ | 42.0 | $ | 41.7 | ||||||
Effective tax rate | 35.6 | % | 40.9 | % | 40.0 | % | ||||||
Adjusted effective tax rate | 39.2 | % | 40.8 | % | 39.9 | % |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
Income tax expense | $ | 35.7 | $ | 31.0 | $ | 28.3 | ||||||||||||||
Effective tax rate | 25.4 | % | 25.3 | % | 25.9 | % |
December 31, | ||||||
2017 | 2016 | |||||
Common stock equity | 47.1 | % | 52.4 | % | ||
Long-term debt | 43.3 | 41.9 | ||||
Short-term debt, including current maturities of long-term debt | 9.6 | 5.7 | ||||
Total | 100.0 | % | 100.0 | % |
December 31, | ||||||||||||||
2023 | 2022 | |||||||||||||
Common equity | 44.9 | % | 46.8 | % | ||||||||||
Long-term debt (including current maturities) | 55.1 | 53.2 | ||||||||||||
Total | 100.0 | % | 100.0 | % |
December 31, | ||||||||||||||
2023 | 2022 | |||||||||||||
Common equity | 47.5 | % | 51.4 | % | ||||||||||
Long-term debt (including current maturities) | 52.5 | 48.6 | ||||||||||||
Total | 100.0 | % | 100.0 | % |
Payments Due in Years Ending December 31, | ||||||||||||||||||||||||||||
In millions | 2018 | 2019 | 2020 | 2021 | 2022 | Thereafter | Total | |||||||||||||||||||||
Short-term debt maturities | $ | 54.2 | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 54.2 | ||||||||||||||
Long-term debt maturities | 97.0 | 30.0 | 75.0 | 60.0 | — | 524.7 | 786.7 | |||||||||||||||||||||
Interest on long-term debt | 36.4 | 34.7 | 28.9 | 27.8 | 26.1 | 249.9 | 403.8 | |||||||||||||||||||||
Postretirement benefit payments(1) | 25.1 | 26.0 | 27.0 | 28.0 | 28.6 | 161.0 | 295.7 | |||||||||||||||||||||
Operating leases | 5.4 | 5.4 | 6.9 | 7.5 | 7.6 | 169.4 | 202.2 | |||||||||||||||||||||
Gas purchases(2) | 63.9 | 2.7 | 2.7 | 2.3 | — | — | 71.6 | |||||||||||||||||||||
Gas pipeline capacity commitments | 83.5 | 82.1 | 77.0 | 65.6 | 60.1 | 601.8 | 970.1 | |||||||||||||||||||||
Other purchase commitments(3) | 12.9 | 0.9 | 0.6 | 0.1 | — | — | 14.5 | |||||||||||||||||||||
Other long-term liabilities(4) | 17.3 | — | — | — | — | — | 17.3 | |||||||||||||||||||||
Total | $ | 395.7 | $ | 181.8 | $ | 218.1 | $ | 191.3 | $ | 122.4 | $ | 1,706.8 | $ | 2,816.1 |
December 31, 2023 | December 31, 2022 | ||||||||||||||||
In millions | Balance Outstanding | Weighted Average Interest Rate(1) | Balance Outstanding | Weighted Average Interest Rate(1) | |||||||||||||
NW Natural: | |||||||||||||||||
Commercial paper | $ | 16.8 | 5.5 | % | $ | 170.2 | 4.6 | % | |||||||||
Other (NW Holdings): | |||||||||||||||||
Credit agreement | 73.0 | 6.4 | % | 88.0 | 5.3 | % | |||||||||||
NW Holdings | $ | 89.8 | $ | 258.2 |
In millions | |||||
Lender rating, by category | Loan Commitment | ||||
AA/Aa | $ | 200 | |||
Total | $ | 200 |
In millions | |||
Lender rating, by category | Loan Commitment | ||
AA/Aa | $ | 201,000 | |
A/A1 | 99,000 | ||
Total | $ | 300,000 |
In millions | |||||
Lender rating, by category | Loan Commitment | ||||
AA/Aa | $ | 400 | |||
Total | $ | 400 |
S&P | Moody's | |||||||||||||||
Commercial paper (short-term debt) | A-1 | P-2 | ||||||||||||||
Senior secured (long-term debt) | AA- | |||||||||||||||
Senior unsecured (long-term debt) | n/a | |||||||||||||||
Corporate credit rating | A+ | n/a | ||||||||||||||
Ratings outlook | Negative | Stable |
In millions | Notional Amount | Effective Date | Expiration Date | Fixed Rate | ||||||||||
NW Holdings | $ | 100.0 | 1/17/2023 | 3/15/2024 | 4.7 | % | ||||||||
NWN Water | $ | 55.0 | 1/19/2023 | 6/10/2026 | 3.8 | % |
Year Ended December 31, | ||||||||||||||||||||
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural First Mortgage Bonds: | ||||||||||||||||||||
3.542% Series due 2023 | $ | 50 | $ | — | $ | — | ||||||||||||||
5.620% Series due 2023 | 40 | — | — | |||||||||||||||||
9.050% Series due 2021 | — | — | 10 | |||||||||||||||||
3.176% Series due 2021 | — | — | 50 | |||||||||||||||||
Total | $ | 90 | $ | — | $ | 60 |
Years Ended December 31, | ||||||||||||
In millions | 2017 | 2016 | 2015 | |||||||||
Utility First Mortgage Bonds | ||||||||||||
4.70% Series B due 2015 | $ | — | $ | — | $ | 40 | ||||||
5.15% Series B due 2016 | — | 25 | — | |||||||||
7.00% Series B due 2017 | 40 | — | — | |||||||||
$ | 40 | $ | 25 | $ | 40 | |||||||
Subsidiary Debt | ||||||||||||
Fixed-rate | $ | — | $ | — | $ | 20 | ||||||
$ | 40 | $ | 25 | $ | 60 |
In millions | Long-term debt maturities | Interest on long-term debt | ||||||||||||
NW Natural: | ||||||||||||||
2024 | $ | — | $ | 63.2 | ||||||||||
2025 | 30.0 | 62.9 | ||||||||||||
2026 | 55.0 | 60.9 | ||||||||||||
2027 | 64.7 | 57.7 | ||||||||||||
2028 | 10.0 | 54.8 | ||||||||||||
Thereafter | 1,215.0 | 826.7 | ||||||||||||
NW Natural Total | 1,374.7 | 1,126.2 | ||||||||||||
Other NW Holdings: | ||||||||||||||
2024 | 150.9 | 4.9 | ||||||||||||
2025 | 0.8 | 2.7 | ||||||||||||
2026 | 55.8 | 1.3 | ||||||||||||
2027 | 0.9 | 0.1 | ||||||||||||
2028 | 0.9 | 0.1 | ||||||||||||
Thereafter | 2.3 | 0.3 | ||||||||||||
Other NW Holdings Total | 211.6 | 9.4 | ||||||||||||
NW Holdings: | ||||||||||||||
2024 | 150.9 | 68.1 | ||||||||||||
2025 | 30.8 | 65.6 | ||||||||||||
2026 | 110.8 | 62.2 | ||||||||||||
2027 | 65.6 | 57.8 | ||||||||||||
2028 | 10.9 | 54.9 | ||||||||||||
Thereafter | 1,217.3 | 827.0 | ||||||||||||
NW Holdings Total | $ | 1,586.3 | $ | 1,135.6 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural cash provided by operating activities | $ | 281.9 | $ | 145.2 | $ | 141.5 | ||||||||||||||
NW Holdings cash provided by operating activities | 279.9 | 147.7 | 160.4 |
In millions | 2017 | 2016 | 2015 | |||||||||
Cash provided by operating activities | $ | 206.7 | $ | 222.1 | $ | 184.7 |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural cash used in investing activities | $ | (290.5) | $ | (320.3) | $ | (275.7) | ||||||||||||||
NW Holdings cash used in investing activities | (335.5) | (435.5) | (300.1) |
In millions | 2017 | 2016 | 2015 | |||||||||
Total cash used in investing activities | $ | (214.2 | ) | $ | (136.6 | ) | $ | (115.3 | ) | |||
Capital expenditures | (213.6 | ) | (139.5 | ) | (118.3 | ) |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NW Natural cash provided by financing activities | $ | 20.4 | $ | 178.9 | $ | 139.3 | ||||||||||||||
NW Holdings cash provided by financing activities | 64.2 | 301.6 | 131.4 |
In millions | 2017 | 2016 | 2015 | |||||||||
Total cash provided by (used in) financing activities | $ | 7.4 | $ | (86.2 | ) | $ | (74.7 | ) | ||||
Change in short-term debt | 0.9 | (216.7 | ) | 35.3 | ||||||||
Change in long-term debt | 60.0 | 125.0 | (60.0 | ) | ||||||||
Change in common stock issued, net | — | 52.8 | — |
2023 | ||||||||||||||
In millions | Up 1% | Down 1% | ||||||||||||
Unbilled revenue increase (decrease)(1) | $ | 1.2 | $ | (1.2) | ||||||||||
Margin increase (decrease)(1) | 0.2 | (0.2) | ||||||||||||
Net income before tax increase (decrease)(1) | 0.1 | (0.1) |
2017 | ||||||||
In millions | Up 1% | Down 1% | ||||||
Unbilled revenue increase (decrease) | $ | 0.6 | $ | (0.6 | ) | |||
Utility margin increase (decrease)(1) | 0.1 | (0.1 | ) | |||||
Net loss increase (decrease)(1) | — | — |
In millions | 2023 | 2022 | 2021 | |||||||||||||||||
NGD business net gain on commodity swaps | $ | 125.5 | $ | 107.8 | $ | 50.9 | ||||||||||||||
In millions | 2017 | 2016 | 2015 | |||||||||
Net utility loss on: | ||||||||||||
Commodity | ||||||||||||
Swaps | $ | (7.8 | ) | $ | (26.9 | ) | $ | (37.7 | ) |
Dollars in millions | Change in Assumption | Impact on 2023 Retirement Benefit Costs | Impact on Retirement Benefit Obligations at Dec. 31, 2023 | |||||||||||||||||
Discount rate: | (0.25) | % | ||||||||||||||||||
Qualified defined benefit plans | $ | (0.2) | $ | 10.8 | ||||||||||||||||
Non-qualified plans | — | 0.1 | ||||||||||||||||||
Other postretirement benefits | — | 0.5 | ||||||||||||||||||
Expected long-term return on plan assets: | (0.25) | % | ||||||||||||||||||
Qualified defined benefit plans | 0.9 | N/A |
Dollars in millions | Change in Assumption | Impact on 2017 Retirement Benefit Costs | Impact on Retirement Benefit Obligations at Dec. 31, 2017 | ||||||||
Discount rate: | (0.25 | )% | |||||||||
Qualified defined benefit plans | $ | 1.4 | $ | 15.2 | |||||||
Non-qualified plans | — | 0.9 | |||||||||
Other postretirement benefits | — | 0.8 | |||||||||
Expected long-term return on plan assets: | (0.25 | ) | |||||||||
Qualified defined benefit plans | 0.7 | N/A |
Financial Derivative Position by Credit Rating Unrealized Fair Value Gain (Loss) | ||||||||||||||
In millions | 2023 | 2022 | ||||||||||||
AA/Aa | $ | (100.7) | $ | 77.9 | ||||||||||
A/A | (14.8) | 72.7 | ||||||||||||
Total | $ | (115.5) | $ | 150.6 |
Financial Derivative Position by Credit Rating Unrealized Fair Value Gain (Loss) | ||||||||
In millions | 2017 | 2016 | ||||||
AA/Aa | $ | (9.0 | ) | $ | 13.7 | |||
A/A | (13.3 | ) | 1.7 | |||||
Total | $ | (22.3 | ) | $ | 15.4 |
Page | ||||||||
1. | ||||||||
2. | Reports of Independent Registered Public Accounting Firm (PCAOB ID 238) | |||||||
3. | Consolidated Financial Statements: | |||||||
4. | Supplementary Data for the Years Ended December 31, 2023, 2022, and 2021: | |||||||
Financial Statement Schedules | ||||||||
Page | ||
1. | Management's Report on Internal Control Over Financial Reporting | |
2. | ||
3. | Consolidated Financial Statements: | |
4. | ||
5. | Supplementary Data for the Years Ended December 31, 2017, 2016, and 2015: | |
Financial Statement Schedule | ||
NORTHWEST NATURAL GAS COMPANY CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | ||||||||||||
Year Ended December 31, | ||||||||||||
In thousands, except per share data | 2017 | 2016 | 2015 | |||||||||
Operating revenues | $ | 762,173 | $ | 675,967 | $ | 723,791 | ||||||
Operating expenses: | ||||||||||||
Cost of gas | 324,795 | 260,588 | 327,305 | |||||||||
Operations and maintenance | 165,246 | 149,974 | 157,521 | |||||||||
Environmental remediation | 15,291 | 13,298 | 3,513 | |||||||||
General taxes | 32,012 | 30,538 | 30,281 | |||||||||
Depreciation and amortization | 85,578 | 82,289 | 80,923 | |||||||||
Impairment expense | 192,478 | — | — | |||||||||
Total operating expenses | 815,400 | 536,687 | 599,543 | |||||||||
Income (loss) from operations | (53,227 | ) | 139,280 | 124,248 | ||||||||
Other income (expense), net | 5,348 | (543 | ) | 7,747 | ||||||||
Interest expense, net | 38,501 | 39,128 | 42,539 | |||||||||
Income (loss) before income taxes | (86,380 | ) | 99,609 | 89,456 | ||||||||
Income tax expense (benefit) | (30,757 | ) | 40,714 | 35,753 | ||||||||
Net income (loss) | (55,623 | ) | 58,895 | 53,703 | ||||||||
Other comprehensive income (loss): | ||||||||||||
Change in employee benefit plan liability, net of taxes of $735 for 2017, $452 for 2016, and ($988) for 2015 | (2,059 | ) | (744 | ) | 1,561 | |||||||
Amortization of non-qualified employee benefit plan liability, net of taxes of ($374) for 2017, ($624) for 2016, and ($883) for 2015 | 572 | 955 | 1,353 | |||||||||
Comprehensive income (loss) | $ | (57,110 | ) | $ | 59,106 | $ | 56,617 | |||||
Average common shares outstanding: | ||||||||||||
Basic | 28,669 | 27,647 | 27,347 | |||||||||
Diluted | 28,669 | 27,779 | 27,417 | |||||||||
Earnings (loss) per share of common stock: | ||||||||||||
Basic | $ | (1.94 | ) | $ | 2.13 | $ | 1.96 | |||||
Diluted | (1.94 | ) | 2.12 | 1.96 | ||||||||
Dividends declared per share of common stock | 1.88 | 1.87 | 1.86 |
Year Ended December 31, | ||||||||||||||||||||
In thousands, except per share data | 2023 | 2022 | 2021 | |||||||||||||||||
Operating revenues | $ | 1,197,475 | $ | 1,037,353 | $ | 860,400 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Cost of gas | 499,837 | 429,635 | 292,314 | |||||||||||||||||
Operations and maintenance | 273,766 | 224,667 | 204,227 | |||||||||||||||||
Environmental remediation | 12,899 | 12,389 | 9,938 | |||||||||||||||||
General taxes | 46,248 | 41,031 | 38,633 | |||||||||||||||||
Revenue taxes | 48,671 | 41,826 | 34,740 | |||||||||||||||||
Depreciation | 125,581 | 116,707 | 113,534 | |||||||||||||||||
Other operating expenses | 5,532 | 3,621 | 3,897 | |||||||||||||||||
Total operating expenses | 1,012,534 | 869,876 | 697,283 | |||||||||||||||||
Income from operations | 184,941 | 167,477 | 163,117 | |||||||||||||||||
Other income (expense), net | 17,855 | 1,203 | (12,559) | |||||||||||||||||
Interest expense, net | 76,566 | 53,247 | 44,486 | |||||||||||||||||
Income before income taxes | 126,230 | 115,433 | 106,072 | |||||||||||||||||
Income tax expense | 32,362 | 29,130 | 27,406 | |||||||||||||||||
Net income | 93,868 | 86,303 | 78,666 | |||||||||||||||||
Other comprehensive income (loss): | ||||||||||||||||||||
Change in employee benefit plan liability, net of taxes of $443 for 2023, $(1,511) for 2022, and $(219) for 2021 | (1,233) | 4,195 | 593 | |||||||||||||||||
Amortization of non-qualified employee benefit plan liability, net of taxes of $(148) for 2023, $(286) for 2022, and $(320) for 2021 | 410 | 795 | 905 | |||||||||||||||||
Unrealized gain on interest rate swaps, net of taxes of $(21) for 2023 and $(47) for 2022 | 59 | 129 | — | |||||||||||||||||
Comprehensive income | $ | 93,104 | $ | 91,422 | $ | 80,164 | ||||||||||||||
Average common shares outstanding: | ||||||||||||||||||||
Basic | 36,213 | 33,934 | 30,702 | |||||||||||||||||
Diluted | 36,265 | 33,984 | 30,752 | |||||||||||||||||
Earnings per share of common stock: | ||||||||||||||||||||
Basic | $ | 2.59 | $ | 2.54 | $ | 2.56 | ||||||||||||||
Diluted | 2.59 | 2.54 | 2.56 | |||||||||||||||||
NORTHWEST NATURAL GAS COMPANY CONSOLIDATED BALANCE SHEETS | ||||||||
As of December 31, | ||||||||
In thousands | 2017 | 2016 | ||||||
Assets: | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 3,472 | $ | 3,521 | ||||
Accounts receivable | 68,362 | 66,700 | ||||||
Accrued unbilled revenue | 62,381 | 64,946 | ||||||
Allowance for uncollectible accounts | (956 | ) | (1,290 | ) | ||||
Regulatory assets | 45,781 | 42,362 | ||||||
Derivative instruments | 1,735 | 17,031 | ||||||
Inventories | 47,973 | 54,129 | ||||||
Gas reserves | 15,704 | 15,926 | ||||||
Other current assets | 25,484 | 24,728 | ||||||
Total current assets | 269,936 | 288,053 | ||||||
Non-current assets: | ||||||||
Property, plant, and equipment | 3,215,451 | 3,208,816 | ||||||
Less: Accumulated depreciation | 960,477 | 947,916 | ||||||
Total property, plant, and equipment, net | 2,254,974 | 2,260,900 | ||||||
Gas reserves | 84,053 | 100,184 | ||||||
Regulatory assets | 356,608 | 357,530 | ||||||
Derivative instruments | 1,306 | 3,265 | ||||||
Other investments | 66,363 | 68,376 | ||||||
Other non-current assets | 6,506 | 1,493 | ||||||
Total non-current assets | 2,769,810 | 2,791,748 | ||||||
Total assets | $ | 3,039,746 | $ | 3,079,801 |
As of December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Assets: | ||||||||||||||
Current assets: | ||||||||||||||
Cash and cash equivalents | $ | 32,920 | $ | 29,270 | ||||||||||
Accounts receivable | 121,341 | 168,906 | ||||||||||||
Accrued unbilled revenue | 83,138 | 89,048 | ||||||||||||
Allowance for uncollectible accounts | (3,455) | (3,296) | ||||||||||||
Regulatory assets | 178,270 | 117,491 | ||||||||||||
Derivative instruments | 11,380 | 194,412 | ||||||||||||
Inventories | 112,571 | 87,096 | ||||||||||||
Other current assets | 65,275 | 61,286 | ||||||||||||
Total current assets | 601,440 | 744,213 | ||||||||||||
Non-current assets: | ||||||||||||||
Property, plant, and equipment | 4,556,609 | 4,261,566 | ||||||||||||
Less: Accumulated depreciation | 1,198,555 | 1,147,166 | ||||||||||||
Total property, plant, and equipment, net | 3,358,054 | 3,114,400 | ||||||||||||
Regulatory assets | 333,443 | 340,432 | ||||||||||||
Derivative instruments | 431 | 5,045 | ||||||||||||
Other investments | 102,951 | 95,704 | ||||||||||||
Operating lease right of use asset, net | 71,308 | 73,429 | ||||||||||||
Assets under sales-type leases | 129,882 | 134,302 | ||||||||||||
Goodwill | 163,344 | 149,283 | ||||||||||||
Other non-current assets | 106,239 | 91,518 | ||||||||||||
Total non-current assets | 4,265,652 | 4,004,113 | ||||||||||||
Total assets | $ | 4,867,092 | $ | 4,748,326 |
NORTHWEST NATURAL GAS COMPANY CONSOLIDATED BALANCE SHEETS | ||||||||
As of December 31, | ||||||||
In thousands | 2017 | 2016 | ||||||
Liabilities and equity: | ||||||||
Current liabilities: | ||||||||
Short-term debt | $ | 54,200 | $ | 53,300 | ||||
Current maturities of long-term debt | 96,703 | 39,989 | ||||||
Accounts payable | 112,308 | 85,664 | ||||||
Taxes accrued | 18,883 | 12,149 | ||||||
Interest accrued | 6,773 | 5,966 | ||||||
Regulatory liabilities | 34,013 | 40,290 | ||||||
Derivative instruments | 18,722 | 1,315 | ||||||
Other current liabilities | 40,248 | 35,844 | ||||||
Total current liabilities | 381,850 | 274,517 | ||||||
Long-term debt | 683,184 | 679,334 | ||||||
Deferred credits and other non-current liabilities: | ||||||||
Deferred tax liabilities | 270,526 | 557,085 | ||||||
Regulatory liabilities | 586,093 | 349,319 | ||||||
Pension and other postretirement benefit liabilities | 223,333 | 225,725 | ||||||
Derivative instruments | 4,649 | 913 | ||||||
Other non-current liabilities | 147,335 | 142,411 | ||||||
Total deferred credits and other non-current liabilities | 1,231,936 | 1,275,453 | ||||||
Commitments and contingencies (see Note 14 and Note 15) | ||||||||
Equity: | ||||||||
Common stock - no par value; authorized 100,000 shares; issued and outstanding 28,736 and 28,630 at December 31, 2017 and 2016, respectively | 448,865 | 445,187 | ||||||
Retained earnings | 302,349 | 412,261 | ||||||
Accumulated other comprehensive loss | (8,438 | ) | (6,951 | ) | ||||
Total equity | 742,776 | 850,497 | ||||||
Total liabilities and equity | $ | 3,039,746 | $ | 3,079,801 |
As of December 31, | ||||||||||||||
In thousands, except share information | 2023 | 2022 | ||||||||||||
Liabilities and equity: | ||||||||||||||
Current liabilities: | ||||||||||||||
Short-term debt | $ | 89,780 | $ | 258,200 | ||||||||||
Current maturities of long-term debt | 150,865 | 90,697 | ||||||||||||
Accounts payable | 145,361 | 180,667 | ||||||||||||
Taxes accrued | 15,454 | 15,625 | ||||||||||||
Interest accrued | 15,836 | 10,169 | ||||||||||||
Regulatory liabilities | 84,962 | 248,582 | ||||||||||||
Derivative instruments | 98,661 | 28,728 | ||||||||||||
Operating lease liabilities | 2,333 | 1,514 | ||||||||||||
Other current liabilities | 93,626 | 64,552 | ||||||||||||
Total current liabilities | 696,878 | 898,734 | ||||||||||||
Long-term debt | 1,425,435 | 1,246,167 | ||||||||||||
Deferred credits and other non-current liabilities: | ||||||||||||||
Deferred tax liabilities | 382,673 | 366,022 | ||||||||||||
Regulatory liabilities | 695,896 | 689,578 | ||||||||||||
Pension and other postretirement benefit liabilities | 158,116 | 149,143 | ||||||||||||
Derivative instruments | 28,055 | 20,838 | ||||||||||||
Operating lease liabilities | 77,167 | 78,965 | ||||||||||||
Other non-current liabilities | 119,034 | 123,438 | ||||||||||||
Total deferred credits and other non-current liabilities | 1,460,941 | 1,427,984 | ||||||||||||
Commitments and contingencies (see Note 16 and Note 17) | ||||||||||||||
Equity: | ||||||||||||||
Common stock - no par value; authorized 100,000,000 shares; issued and outstanding 37,631,212 and 35,524,590 at December 31, 2023 and 2022, respectively | 890,976 | 805,253 | ||||||||||||
Retained earnings | 399,911 | 376,473 | ||||||||||||
Accumulated other comprehensive loss | (7,049) | (6,285) | ||||||||||||
Total equity | 1,283,838 | 1,175,441 | ||||||||||||
Total liabilities and equity | $ | 4,867,092 | $ | 4,748,326 |
Common Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Equity | |||||||||||||||||||||||
In thousands | ||||||||||||||||||||||||||
Balance at December 31, 2020 | $ | 565,112 | $ | 336,523 | $ | (12,902) | $ | 888,733 | ||||||||||||||||||
Comprehensive income (loss) | — | 78,666 | 1,498 | 80,164 | ||||||||||||||||||||||
Dividends on common stock, $1.92 per share | — | (59,410) | — | (59,410) | ||||||||||||||||||||||
Stock-based compensation | 3,615 | — | — | 3,615 | ||||||||||||||||||||||
Shares issued pursuant to equity based plans | 4,543 | — | — | 4,543 | ||||||||||||||||||||||
Issuance of common stock, net of issuance costs | 17,501 | — | — | 17,501 | ||||||||||||||||||||||
Balance at December 31, 2021 | 590,771 | 355,779 | (11,404) | 935,146 | ||||||||||||||||||||||
Comprehensive income (loss) | — | 86,303 | 5,119 | 91,422 | ||||||||||||||||||||||
Dividends on common stock, $1.93 per share | — | (65,609) | — | (65,609) | ||||||||||||||||||||||
Stock-based compensation | 3,228 | — | — | 3,228 | ||||||||||||||||||||||
Shares issued pursuant to equity based plans | 2,978 | — | — | 2,978 | ||||||||||||||||||||||
Issuance of common stock, net of issuance costs | 208,276 | — | — | 208,276 | ||||||||||||||||||||||
Balance at December 31, 2022 | 805,253 | 376,473 | (6,285) | 1,175,441 | ||||||||||||||||||||||
Comprehensive income (loss) | — | 93,868 | (764) | 93,104 | ||||||||||||||||||||||
Dividends on common stock, $1.94 per share | — | (70,430) | — | (70,430) | ||||||||||||||||||||||
Shares issued in connection with business combinations | 12,884 | — | — | 12,884 | ||||||||||||||||||||||
Stock-based compensation | 3,598 | — | — | 3,598 | ||||||||||||||||||||||
Shares issued pursuant to equity based plans | 2,328 | — | — | 2,328 | ||||||||||||||||||||||
Issuance of common stock, net of issuance costs | 66,913 | — | — | 66,913 | ||||||||||||||||||||||
Balance at December 31, 2023 | $ | 890,976 | $ | 399,911 | $ | (7,049) | $ | 1,283,838 |
Common Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Equity | |||||||||||||
In thousands | ||||||||||||||||
Balance at December 31, 2014 | $ | 375,117 | $ | 402,280 | $ | (10,076 | ) | $ | 767,321 | |||||||
Comprehensive income | — | 53,703 | 2,914 | 56,617 | ||||||||||||
Dividends on common stock | — | (50,993 | ) | — | (50,993 | ) | ||||||||||
Tax expense from employee stock plans | (118 | ) | — | — | (118 | ) | ||||||||||
Stock-based compensation | 3,277 | — | — | 3,277 | ||||||||||||
Shares issued pursuant to equity based plans | 4,868 | — | — | 4,868 | ||||||||||||
Balance at December 31, 2015 | 383,144 | 404,990 | (7,162 | ) | 780,972 | |||||||||||
Comprehensive income | — | 58,895 | 211 | 59,106 | ||||||||||||
Dividends on common stock | — | (51,624 | ) | — | (51,624 | ) | ||||||||||
Stock-based compensation | 2,924 | — | — | 2,924 | ||||||||||||
Shares issued pursuant to equity based plans | 6,358 | — | — | 6,358 | ||||||||||||
Issuance of common stock, net of issuance costs | 52,761 | — | — | 52,761 | ||||||||||||
Balance at December 31, 2016 | 445,187 | 412,261 | (6,951 | ) | 850,497 | |||||||||||
Comprehensive income (loss) | — | (55,623 | ) | (1,487 | ) | (57,110 | ) | |||||||||
Dividends on common stock | — | (54,289 | ) | — | (54,289 | ) | ||||||||||
Stock-based compensation | 2,882 | — | — | 2,882 | ||||||||||||
Shares issued pursuant to equity based plans | 796 | — | — | 796 | ||||||||||||
Balance at December 31, 2017 | $ | 448,865 | $ | 302,349 | $ | (8,438 | ) | $ | 742,776 |
Year Ended December 31, | ||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | |||||||||||||||||
Operating activities: | ||||||||||||||||||||
Net income | $ | 93,868 | $ | 86,303 | $ | 78,666 | ||||||||||||||
Adjustments to reconcile net income to cash provided by operations: | ||||||||||||||||||||
Depreciation | 125,581 | 116,707 | 113,534 | |||||||||||||||||
Regulatory amortization of gas reserves | 3,217 | 5,589 | 13,897 | |||||||||||||||||
Deferred income taxes | 8,966 | 17,410 | 14,617 | |||||||||||||||||
Qualified defined benefit pension plan (benefit) expense | (2,430) | 5,351 | 16,556 | |||||||||||||||||
Contributions to qualified defined benefit pension plans | — | — | (9,590) | |||||||||||||||||
Deferred environmental expenditures, net | (26,052) | (18,160) | (18,187) | |||||||||||||||||
Environmental remediation expense | 12,899 | 12,389 | 9,938 | |||||||||||||||||
Asset optimization revenue sharing bill credits | (10,471) | (41,102) | (9,053) | |||||||||||||||||
Other | 22,972 | 21,558 | 20,622 | |||||||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Receivables, net | 50,977 | (76,454) | (44,128) | |||||||||||||||||
Inventories | (24,105) | (29,269) | (14,571) | |||||||||||||||||
Income and other taxes | (1,246) | 6,908 | 3,292 | |||||||||||||||||
Accounts payable | (39,958) | 24,508 | 12,118 | |||||||||||||||||
Deferred gas costs | 52,371 | 12,334 | (40,541) | |||||||||||||||||
Asset optimization revenue sharing | 22,637 | 28,937 | 44,458 | |||||||||||||||||
Decoupling mechanism | (11,415) | 10,922 | (5,206) | |||||||||||||||||
Cloud-based software | (16,307) | (23,908) | (7,407) | |||||||||||||||||
Other, net | 18,445 | (12,351) | (18,662) | |||||||||||||||||
Cash provided by operating activities | 279,949 | 147,672 | 160,353 | |||||||||||||||||
Investing activities: | ||||||||||||||||||||
Capital expenditures | (327,347) | (338,602) | (293,892) | |||||||||||||||||
Acquisitions, net of cash acquired | (7,533) | (94,279) | (1,289) | |||||||||||||||||
Purchase of equity method investment | (1,000) | (1,000) | (14,450) | |||||||||||||||||
Proceeds from sale of equity method investment | — | — | 7,000 | |||||||||||||||||
Other | 383 | (1,579) | 2,508 | |||||||||||||||||
Cash used in investing activities | (335,497) | (435,460) | (300,123) | |||||||||||||||||
NORTHWEST NATURAL GAS COMPANY CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
Year Ended December 31, | ||||||||||||
In thousands | 2017 | 2016 | 2015 | |||||||||
Operating activities: | ||||||||||||
Net income (loss) | $ | (55,623 | ) | $ | 58,895 | $ | 53,703 | |||||
Adjustments to reconcile net income (loss) to cash provided by operations: | ||||||||||||
Depreciation and amortization | 85,578 | 82,289 | 80,923 | |||||||||
Regulatory amortization of gas reserves | 16,353 | 15,525 | 17,991 | |||||||||
Deferred income taxes | (52,414 | ) | 32,056 | 26,972 | ||||||||
Qualified defined benefit pension plan expense | 5,364 | 5,274 | 5,697 | |||||||||
Contributions to qualified defined benefit pension plans | (19,430 | ) | (14,470 | ) | (14,120 | ) | ||||||
Deferred environmental expenditures, net | (13,716 | ) | (10,469 | ) | (10,568 | ) | ||||||
Regulatory disallowance of prior environmental cost deferrals | — | 3,287 | 15,000 | |||||||||
Amortization of environmental remediation | 15,291 | 13,298 | 3,513 | |||||||||
Impairment of long-lived assets | 192,478 | — | — | |||||||||
Other | 2,127 | 3,225 | (1,613 | ) | ||||||||
Changes in assets and liabilities: | ||||||||||||
Receivables, net | 3,099 | (7,484 | ) | 2,373 | ||||||||
Inventories | 5,571 | 16,620 | 6,964 | |||||||||
Income taxes | 6,734 | 9,467 | (6,541 | ) | ||||||||
Accounts payable | 1,424 | 12,380 | (17,175 | ) | ||||||||
Interest accrued | 807 | 93 | (206 | ) | ||||||||
Deferred gas costs | 17,122 | (10,204 | ) | 31,918 | ||||||||
Other, net | (4,061 | ) | 12,365 | (10,143 | ) | |||||||
Cash provided by operating activities | 206,704 | 222,147 | 184,688 | |||||||||
Investing activities: | ||||||||||||
Capital expenditures | (213,595 | ) | (139,511 | ) | (118,320 | ) | ||||||
Other | (577 | ) | 2,882 | 3,022 | ||||||||
Cash used in investing activities | (214,172 | ) | (136,629 | ) | (115,298 | ) | ||||||
Financing activities: | ||||||||||||
Repurchases related to stock-based compensation | (2,034 | ) | (1,042 | ) | — | |||||||
Proceeds from stock options exercised | 4,819 | 8,404 | 3,875 | |||||||||
Proceeds from common stock issued | — | 52,760 | — | |||||||||
Long-term debt issued | 100,000 | 150,000 | — | |||||||||
Long-term debt retired | (40,000 | ) | (25,000 | ) | (60,000 | ) | ||||||
Change in short-term debt | 900 | (216,735 | ) | 35,335 | ||||||||
Cash dividend payments on common stock | (53,957 | ) | (51,508 | ) | (49,243 | ) | ||||||
Other | (2,309 | ) | (3,087 | ) | (4,680 | ) | ||||||
Cash provided by (used in) financing activities | 7,419 | (86,208 | ) | (74,713 | ) | |||||||
(Decrease) increase in cash and cash equivalents | (49 | ) | (690 | ) | (5,323 | ) | ||||||
Cash and cash equivalents, beginning of period | 3,521 | 4,211 | 9,534 | |||||||||
Cash and cash equivalents, end of period | $ | 3,472 | $ | 3,521 | $ | 4,211 | ||||||
Supplemental disclosure of cash flow information: | ||||||||||||
Interest paid, net of capitalization | $ | 34,787 | $ | 36,023 | $ | 39,634 | ||||||
Income taxes paid (refunded) | 14,780 | (7,157 | ) | 17,306 |
Year Ended December 31, | ||||||||||||||||||||
2023 | 2022 | 2021 | ||||||||||||||||||
Financing activities: | ||||||||||||||||||||
Proceeds from common stock issued, net | 66,495 | 208,561 | 17,501 | |||||||||||||||||
Long-term debt issued | 330,000 | 290,000 | 185,000 | |||||||||||||||||
Long-term debt retired | (90,000) | — | (95,000) | |||||||||||||||||
Proceeds from term loan due within one year | — | — | 100,000 | |||||||||||||||||
Repayment of term loan | — | — | (100,000) | |||||||||||||||||
Repayments of commercial paper, maturities greater than three months | — | — | (195,025) | |||||||||||||||||
Changes in other short-term debt, net | (168,540) | (131,300) | 280,000 | |||||||||||||||||
Cash dividend payments on common stock | (67,340) | (62,771) | (55,919) | |||||||||||||||||
Payment of financing fees | (2,200) | (912) | (3,899) | |||||||||||||||||
Other | (4,207) | (1,946) | (1,222) | |||||||||||||||||
Cash provided by financing activities | 64,208 | 301,632 | 131,436 | |||||||||||||||||
Increase (decrease) in cash, cash equivalents and restricted cash | 8,660 | 13,844 | (8,334) | |||||||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 40,964 | 27,120 | 35,454 | |||||||||||||||||
Cash, cash equivalents and restricted cash, end of period | $ | 49,624 | $ | 40,964 | $ | 27,120 | ||||||||||||||
Supplemental disclosure of cash flow information: | ||||||||||||||||||||
Interest paid, net of capitalization | $ | 80,197 | $ | 50,823 | $ | 43,719 | ||||||||||||||
Income taxes paid, net of refunds | 24,263 | 2,779 | 10,555 | |||||||||||||||||
Non-cash activities: | ||||||||||||||||||||
Shares issued in connection with business combinations | $ | 12,884 | $ | — | $ | — | ||||||||||||||
Debt assumed in connection with business combinations | 3,131 | — | — |
Year Ended December 31, | ||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | |||||||||||||||||
Operating revenues | $ | 1,158,623 | $ | 1,014,339 | $ | 843,057 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Cost of gas | 500,061 | 429,861 | 292,538 | |||||||||||||||||
Operations and maintenance | 244,669 | 204,845 | 188,762 | |||||||||||||||||
Environmental remediation | 12,899 | 12,389 | 9,938 | |||||||||||||||||
General taxes | 44,980 | 40,151 | 38,150 | |||||||||||||||||
Revenue taxes | 48,432 | 41,627 | 34,600 | |||||||||||||||||
Depreciation | 119,514 | 112,957 | 110,504 | |||||||||||||||||
Other operating expenses | 2,423 | 3,135 | 3,332 | |||||||||||||||||
Total operating expenses | 972,978 | 844,965 | 677,824 | |||||||||||||||||
Income from operations | 185,645 | 169,374 | 165,233 | |||||||||||||||||
Other income (expense), net | 15,358 | (436) | (12,745) | |||||||||||||||||
Interest expense, net | 60,594 | 46,338 | 42,983 | |||||||||||||||||
Income before income taxes | 140,409 | 122,600 | 109,505 | |||||||||||||||||
Income tax expense | 35,672 | 31,036 | 28,333 | |||||||||||||||||
Net income | 104,737 | 91,564 | 81,172 | |||||||||||||||||
Other comprehensive income (loss): | ||||||||||||||||||||
Change in employee benefit plan liability, net of taxes of $443 for 2023, $(1,511) for 2022, and $(219) for 2021 | (1,233) | 4,195 | 593 | |||||||||||||||||
Amortization of non-qualified employee benefit plan liability, net of taxes of $(148) for 2023, $(286) for 2022, and $(320) for 2021 | 410 | 795 | 905 | |||||||||||||||||
Comprehensive income | $ | 103,914 | $ | 96,554 | $ | 82,670 |
As of December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Assets: | ||||||||||||||
Current assets: | ||||||||||||||
Cash and cash equivalents | $ | 19,841 | $ | 12,977 | ||||||||||
Accounts receivable | 117,216 | 165,607 | ||||||||||||
Accrued unbilled revenue | 81,524 | 87,482 | ||||||||||||
Receivables from affiliates | 824 | 634 | ||||||||||||
Allowance for uncollectible accounts | (3,228) | (3,079) | ||||||||||||
Regulatory assets | 178,270 | 117,491 | ||||||||||||
Derivative instruments | 11,184 | 194,236 | ||||||||||||
Inventories | 110,855 | 86,207 | ||||||||||||
Other current assets | 60,138 | 57,269 | ||||||||||||
Total current assets | 576,624 | 718,824 | ||||||||||||
Non-current assets: | ||||||||||||||
Property, plant, and equipment | 4,393,759 | 4,148,547 | ||||||||||||
Less: Accumulated depreciation | 1,181,962 | 1,137,231 | ||||||||||||
Total property, plant, and equipment, net | 3,211,797 | 3,011,316 | ||||||||||||
Regulatory assets | 333,418 | 340,407 | ||||||||||||
Derivative instruments | 373 | 5,045 | ||||||||||||
Other investments | 86,145 | 80,110 | ||||||||||||
Operating lease right of use asset, net | 70,728 | 72,720 | ||||||||||||
Assets under sales-type leases | 129,882 | 134,302 | ||||||||||||
Other non-current assets | 102,410 | 89,994 | ||||||||||||
Total non-current assets | 3,934,753 | 3,733,894 | ||||||||||||
Total assets | $ | 4,511,377 | $ | 4,452,718 |
As of December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Liabilities and equity: | ||||||||||||||
Current liabilities: | ||||||||||||||
Short-term debt | $ | 16,780 | $ | 170,200 | ||||||||||
Current maturities of long-term debt | — | 89,942 | ||||||||||||
Accounts payable | 138,111 | 177,590 | ||||||||||||
Payables to affiliates | 14,850 | 9,175 | ||||||||||||
Taxes accrued | 15,293 | 15,426 | ||||||||||||
Interest accrued | 15,111 | 8,900 | ||||||||||||
Regulatory liabilities | 84,912 | 248,553 | ||||||||||||
Derivative instruments | 98,661 | 28,728 | ||||||||||||
Operating lease liabilities | 2,128 | 1,363 | ||||||||||||
Other current liabilities | 89,371 | 62,019 | ||||||||||||
Total current liabilities | 475,217 | 811,896 | ||||||||||||
Long-term debt | 1,364,732 | 1,035,935 | ||||||||||||
Deferred credits and other non-current liabilities: | ||||||||||||||
Deferred tax liabilities | 371,867 | 362,353 | ||||||||||||
Regulatory liabilities | 694,947 | 688,599 | ||||||||||||
Pension and other postretirement benefit liabilities | 158,116 | 149,143 | ||||||||||||
Derivative instruments | 28,055 | 20,838 | ||||||||||||
Operating lease liabilities | 76,757 | 78,345 | ||||||||||||
Other non-current liabilities | 109,066 | 114,527 | ||||||||||||
Total deferred credits and other non-current liabilities | 1,438,808 | 1,413,805 | ||||||||||||
Commitments and contingencies (see Note 16 and Note 17) | ||||||||||||||
Equity: | ||||||||||||||
Common stock | 644,903 | 614,903 | ||||||||||||
Retained earnings | 594,954 | 582,593 | ||||||||||||
Accumulated other comprehensive loss | (7,237) | (6,414) | ||||||||||||
Total equity | 1,232,620 | 1,191,082 | ||||||||||||
Total liabilities and equity | $ | 4,511,377 | $ | 4,452,718 |
Common Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Equity | ||||||||||||||||||||||||||
In thousands | |||||||||||||||||||||||||||||
Balance at December 31, 2020 | $ | 319,506 | $ | 528,580 | $ | (12,902) | $ | 835,184 | |||||||||||||||||||||
Comprehensive income (loss) | — | 81,172 | 1,498 | 82,670 | |||||||||||||||||||||||||
Dividends on common stock | — | (56,056) | — | (56,056) | |||||||||||||||||||||||||
Capital contribution from parent | 116,009 | — | — | 116,009 | |||||||||||||||||||||||||
Balance at December 31, 2021 | 435,515 | 553,696 | (11,404) | 977,807 | |||||||||||||||||||||||||
Comprehensive income (loss) | — | 91,564 | 4,990 | 96,554 | |||||||||||||||||||||||||
Dividends on common stock | — | (62,667) | — | (62,667) | |||||||||||||||||||||||||
Capital contributions from parent | 179,388 | — | — | 179,388 | |||||||||||||||||||||||||
Balance at December 31, 2022 | 614,903 | 582,593 | (6,414) | 1,191,082 | |||||||||||||||||||||||||
Comprehensive income (loss) | — | 104,737 | (823) | 103,914 | |||||||||||||||||||||||||
Dividends on common stock | — | (92,376) | — | (92,376) | |||||||||||||||||||||||||
Capital contributions from parent | 30,000 | — | — | 30,000 | |||||||||||||||||||||||||
Balance at December 31, 2023 | $ | 644,903 | $ | 594,954 | $ | (7,237) | $ | 1,232,620 |
Year Ended December 31, | ||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | |||||||||||||||||
Operating activities: | ||||||||||||||||||||
Net income | $ | 104,737 | $ | 91,564 | $ | 81,172 | ||||||||||||||
Adjustments to reconcile net income to cash provided by operations: | ||||||||||||||||||||
Depreciation | 119,514 | 112,957 | 110,504 | |||||||||||||||||
Regulatory amortization of gas reserves | 3,217 | 5,589 | 13,897 | |||||||||||||||||
Deferred income taxes | 2,855 | 16,288 | 13,223 | |||||||||||||||||
Qualified defined benefit pension plan (benefit) expense | (2,430) | 5,351 | 16,556 | |||||||||||||||||
Contributions to qualified defined benefit pension plans | — | — | (9,590) | |||||||||||||||||
Deferred environmental expenditures, net | (26,052) | (18,160) | (18,187) | |||||||||||||||||
Environmental remediation expense | 12,899 | 12,389 | 9,938 | |||||||||||||||||
Asset optimization revenue sharing bill credits | (10,471) | (41,102) | (9,053) | |||||||||||||||||
Other | 22,341 | 20,448 | 18,517 | |||||||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Receivables, net | 51,391 | (75,177) | (43,030) | |||||||||||||||||
Inventories | (23,884) | (28,890) | (14,427) | |||||||||||||||||
Income and other taxes | 4,124 | 6,729 | (10,405) | |||||||||||||||||
Accounts payable | (43,531) | 21,375 | 8,728 | |||||||||||||||||
Deferred gas costs | 52,371 | 12,334 | (40,541) | |||||||||||||||||
Asset optimization revenue sharing | 22,637 | 28,937 | 44,458 | |||||||||||||||||
Decoupling mechanism | (11,415) | 10,922 | (5,206) | |||||||||||||||||
Cloud-based software | (16,307) | (23,908) | (7,407) | |||||||||||||||||
Other, net | 19,872 | (12,455) | (17,653) | |||||||||||||||||
Cash provided by operating activities | 281,868 | 145,191 | 141,494 | |||||||||||||||||
Investing activities: | ||||||||||||||||||||
Capital expenditures | (290,845) | (318,686) | (278,237) | |||||||||||||||||
Other | 384 | (1,579) | 2,508 | |||||||||||||||||
Cash used in investing activities | (290,461) | (320,265) | (275,729) | |||||||||||||||||
Financing activities: | ||||||||||||||||||||
Long-term debt issued | 330,000 | 140,000 | 130,000 | |||||||||||||||||
Long-term debt retired | (90,000) | — | (60,000) | |||||||||||||||||
Proceeds from term loan due within one year | — | — | 100,000 | |||||||||||||||||
Repayment of term loan | — | — | (100,000) | |||||||||||||||||
Repayment of commercial paper, maturities greater than three months | — | — | (195,025) | |||||||||||||||||
Changes in other short-term debt, net | (153,420) | (75,300) | 209,000 | |||||||||||||||||
Cash contributions received from parent | 30,000 | 179,388 | 116,009 | |||||||||||||||||
Cash dividend payments on common stock | (92,376) | (62,667) | (56,056) | |||||||||||||||||
Payment of financing fees | (2,080) | (843) | (2,818) | |||||||||||||||||
Other | (1,682) | (1,665) | (1,782) | |||||||||||||||||
Cash provided by financing activities | 20,442 | 178,913 | 139,328 | |||||||||||||||||
Increase in cash, cash equivalents and restricted cash | 11,849 | 3,839 | 5,093 | |||||||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 24,671 | 20,832 | 15,739 | |||||||||||||||||
Cash, cash equivalents and restricted cash, end of period | $ | 36,520 | $ | 24,671 | $ | 20,832 | ||||||||||||||
Supplemental disclosure of cash flow information: | ||||||||||||||||||||
Interest paid, net of capitalization | $ | 64,054 | $ | 44,813 | $ | 42,395 | ||||||||||||||
Income taxes paid, net of refunds | 27,745 | 5,990 | 26,451 |
Regulatory Assets | ||||||||
In thousands | 2017 | 2016 | ||||||
Current: | ||||||||
Unrealized loss on derivatives(1) | $ | 18,712 | $ | 1,315 | ||||
Gas costs | 154 | 6,830 | ||||||
Environmental costs(2) | 6,198 | 9,989 | ||||||
Decoupling(3) | 11,227 | 13,067 | ||||||
Income taxes | 2,218 | 4,378 | ||||||
Other(4) | 7,272 | 6,783 | ||||||
Total current | $ | 45,781 | $ | 42,362 | ||||
Non-current: | ||||||||
Unrealized loss on derivatives(1) | $ | 4,649 | $ | 913 | ||||
Pension balancing(5) | 60,383 | 50,863 | ||||||
Income taxes | 19,991 | 38,670 | ||||||
Pension and other postretirement benefit liabilities | 179,824 | 183,035 | ||||||
Environmental costs(2) | 72,128 | 63,970 | ||||||
Gas costs | 84 | 89 | ||||||
Decoupling(3) | 3,970 | 5,860 | ||||||
Other(4) | 15,579 | 14,130 | ||||||
Total non-current | $ | 356,608 | $ | 357,530 |
Regulatory Assets | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
NW Natural: | ||||||||||||||
Current: | ||||||||||||||
Unrealized loss on derivatives(1) | $ | 98,661 | $ | 28,728 | ||||||||||
Gas costs | 9,301 | 61,223 | ||||||||||||
Environmental costs(2) | 9,950 | 7,392 | ||||||||||||
Decoupling(3) | 2,288 | — | ||||||||||||
Pension balancing(4) | 7,131 | 7,131 | ||||||||||||
Income taxes | 2,208 | 2,208 | ||||||||||||
Washington Climate Commitment Act compliance | 20,537 | — | ||||||||||||
COVID-19 deferrals and expenses, net | 9,685 | 789 | ||||||||||||
Other(5) | 18,509 | 10,020 | ||||||||||||
Total current | $ | 178,270 | $ | 117,491 | ||||||||||
Non-current: | ||||||||||||||
Unrealized loss on derivatives(1) | $ | 28,055 | $ | 20,838 | ||||||||||
Pension balancing(4) | 27,460 | 32,997 | ||||||||||||
Income taxes | 10,731 | 10,943 | ||||||||||||
Pension and other postretirement benefit liabilities | 114,010 | 101,413 | ||||||||||||
Environmental costs(2) | 118,619 | 104,253 | ||||||||||||
Gas costs | 1,917 | 22,355 | ||||||||||||
Decoupling(3) | 1,017 | — | ||||||||||||
COVID-19 deferrals and expenses, net | 1,080 | 14,555 | ||||||||||||
Other(5) | 30,529 | 33,053 | ||||||||||||
Total non-current | 333,418 | 340,407 | ||||||||||||
Other (NW Holdings) | 25 | 25 | ||||||||||||
Total non-current -NW Holdings | $ | 333,443 | $ | 340,432 |
Regulatory Liabilities | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
NW Natural: | ||||||||||||||
Current: | ||||||||||||||
Gas costs | $ | 6,375 | $ | 4,121 | ||||||||||
Unrealized gain on derivatives(1) | 11,184 | 194,236 | ||||||||||||
Decoupling(3) | 7,612 | 14,026 | ||||||||||||
Income taxes(6) | 4,726 | 7,166 | ||||||||||||
Asset optimization revenue sharing | 31,583 | 26,368 | ||||||||||||
Washington Climate Commitment Act proceeds | 17,199 | — | ||||||||||||
Other(5) | 6,233 | 2,636 | ||||||||||||
Total current - NW Natural | 84,912 | 248,553 | ||||||||||||
Other (NW Holdings) | 50 | 29 | ||||||||||||
Total current - NW Holdings | $ | 84,962 | $ | 248,582 | ||||||||||
Non-current: | ||||||||||||||
Gas costs | $ | 8,556 | $ | 12,644 | ||||||||||
Unrealized gain on derivatives(1) | 373 | 5,045 | ||||||||||||
Decoupling(3) | 2,118 | 3,814 | ||||||||||||
Income taxes(6) | 169,485 | 174,212 | ||||||||||||
Accrued asset removal costs(7) | 496,235 | 467,742 | ||||||||||||
Asset optimization revenue sharing | 2,325 | 8,401 | ||||||||||||
Other(5) | 15,855 | 16,741 | ||||||||||||
Total non-current - NW Natural | 694,947 | 688,599 | ||||||||||||
Other (NW Holdings) | 949 | 979 | ||||||||||||
Total non-current -NW Holdings | $ | 695,896 | $ | 689,578 | ||||||||||
Regulatory Liabilities | ||||||||
In thousands | 2017 | 2016 | ||||||
Current: | ||||||||
Gas costs | $ | 14,886 | $ | 8,054 | ||||
Unrealized gain on derivatives(1) | 1,674 | 16,624 | ||||||
Decoupling(3) | 322 | — | ||||||
Other(4) | 17,131 | 15,612 | ||||||
Total current | $ | 34,013 | $ | 40,290 | ||||
Non-current: | ||||||||
Gas costs | $ | 4,630 | $ | 1,021 | ||||
Unrealized gain on derivatives(1) | 1,306 | 3,265 | ||||||
Decoupling(3) | 957 | — | ||||||
Income taxes | 213,306 | — | ||||||
Accrued asset removal costs(6) | 360,929 | 341,107 | ||||||
Other(4) | 4,965 | 3,926 | ||||||
Total non-current | $ | 586,093 | $ | 349,319 |
December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Cash and cash equivalents | $ | 32,920 | $ | 29,270 | ||||||||||
Restricted cash included in other current assets | 16,704 | 11,694 | ||||||||||||
Cash, cash equivalents and restricted cash | $ | 49,624 | $ | 40,964 |
December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Cash and cash equivalents | $ | 19,841 | $ | 12,977 | ||||||||||
Restricted cash included in other current assets | 16,679 | 11,694 | ||||||||||||
Cash, cash equivalents and restricted cash | $ | 36,520 | $ | 24,671 |
As of December 31, 2022 | As of December 31, 2023 | ||||||||||||||||||||||
Year ended December 31, 2023 | |||||||||||||||||||||||
In thousands | Beginning Balance | Provision recorded, net of adjustments | Write-offs recognized, net of recoveries | Ending Balance | |||||||||||||||||||
Allowance for uncollectible accounts: | |||||||||||||||||||||||
Residential | $ | 2,155 | $ | 2,743 | $ | (2,501) | $ | 2,397 | |||||||||||||||
Commercial | 400 | 454 | (353) | 501 | |||||||||||||||||||
Industrial | 188 | (122) | (1) | 65 | |||||||||||||||||||
Accrued unbilled and other | 336 | 47 | (118) | 265 | |||||||||||||||||||
Total NW Natural | 3,079 | 3,122 | (2,973) | 3,228 | |||||||||||||||||||
Other - NW Holdings | 217 | 10 | — | 227 | |||||||||||||||||||
Total NW Holdings | $ | 3,296 | $ | 3,132 | $ | (2,973) | $ | 3,455 |
In thousands, except per share data | 2023 | 2022 | 2021 | |||||||||||||||||
Net income | $ | 93,868 | $ | 86,303 | $ | 78,666 | ||||||||||||||
Average common shares outstanding - basic | 36,213 | 33,934 | 30,702 | |||||||||||||||||
Additional shares for stock-based compensation plans (See Note 8) | 52 | 50 | 50 | |||||||||||||||||
Average common shares outstanding - diluted | 36,265 | 33,984 | 30,752 | |||||||||||||||||
Earnings per share of common stock: | ||||||||||||||||||||
Basic | $ | 2.59 | $ | 2.54 | $ | 2.56 | ||||||||||||||
Diluted | 2.59 | 2.54 | 2.56 | |||||||||||||||||
Additional information: | ||||||||||||||||||||
Anti-dilutive shares | 1 | 2 | 7 |
In thousands, except per share data | 2017 | 2016 | 2015 | |||||||||
Net income (loss) | $ | (55,623 | ) | $ | 58,895 | $ | 53,703 | |||||
Average common shares outstanding - basic | 28,669 | 27,647 | 27,347 | |||||||||
Additional shares for stock-based compensation plans (See Note 6) | — | 132 | 70 | |||||||||
Average common shares outstanding - diluted | 28,669 | 27,779 | 27,417 | |||||||||
Earnings (loss) per share of common stock - basic | $ | (1.94 | ) | $ | 2.13 | $ | 1.96 | |||||
Earnings (loss) per share of common stock - diluted | $ | (1.94 | ) | $ | 2.12 | $ | 1.96 | |||||
Additional information: | ||||||||||||
Antidilutive shares | 97 | 5 | 12 |
In thousands | Utility | Gas Storage | Other | Total | ||||||||||||
2017 | ||||||||||||||||
Operating revenues | $ | 732,942 | $ | 23,620 | $ | 5,611 | $ | 762,173 | ||||||||
Depreciation and amortization | 79,734 | 5,844 | — | 85,578 | ||||||||||||
Income (loss) from operations (1) | 132,807 | (185,074 | ) | (960 | ) | (53,227 | ) | |||||||||
Net income (loss) (2) | 60,509 | (116,209 | ) | 77 | (55,623 | ) | ||||||||||
Capital expenditures | 211,672 | 1,923 | — | 213,595 | ||||||||||||
Total assets at December 31, 2017 | 2,961,326 | 59,583 | 18,837 | 3,039,746 | ||||||||||||
2016 | ||||||||||||||||
Operating revenues | $ | 650,477 | $ | 25,266 | $ | 224 | $ | 675,967 | ||||||||
Depreciation and amortization | 76,289 | 6,000 | — | 82,289 | ||||||||||||
Income (loss) from operations | 130,570 | 9,136 | (426 | ) | 139,280 | |||||||||||
Net income (loss) (3) | 54,567 | 4,303 | 25 | 58,895 | ||||||||||||
Capital expenditures | 138,074 | 1,437 | — | 139,511 | ||||||||||||
Total assets at December 31, 2016 | 2,806,627 | 256,333 | 16,841 | 3,079,801 | ||||||||||||
2015 | ||||||||||||||||
Operating revenues | $ | 702,210 | $ | 21,356 | $ | 225 | $ | 723,791 | ||||||||
Depreciation and amortization | 74,410 | 6,513 | — | 80,923 | ||||||||||||
Income (loss) from operations | 119,215 | 5,032 | 1 | 124,248 | ||||||||||||
Net income (loss) (3) | 53,391 | 174 | 138 | 53,703 | ||||||||||||
Capital expenditures | 115,272 | 3,048 | — | 118,320 | ||||||||||||
Total assets at December 31, 2015 | 2,791,623 | 261,750 | 16,037 | 3,069,410 |
In thousands | NGD | Other (NW Natural) | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||||||||||||
2023 | ||||||||||||||||||||||||||||||||
Operating revenues | $ | 1,136,400 | $ | 22,223 | $ | 1,158,623 | $ | 38,852 | $ | 1,197,475 | ||||||||||||||||||||||
Depreciation | 118,417 | 1,097 | 119,514 | 6,067 | 125,581 | |||||||||||||||||||||||||||
Income (loss) from operations | 170,591 | 15,054 | 185,645 | (704) | 184,941 | |||||||||||||||||||||||||||
Net income (loss) | 94,042 | 10,695 | 104,737 | (10,869) | 93,868 | |||||||||||||||||||||||||||
Capital expenditures | 285,998 | 4,847 | 290,845 | 36,502 | 327,347 | |||||||||||||||||||||||||||
Total assets at December 31, 2023 | 4,458,117 | 53,260 | 4,511,377 | 355,715 | 4,867,092 | |||||||||||||||||||||||||||
2022 | ||||||||||||||||||||||||||||||||
Operating revenues | $ | 989,752 | $ | 24,587 | $ | 1,014,339 | $ | 23,014 | $ | 1,037,353 | ||||||||||||||||||||||
Depreciation | 111,871 | 1,086 | 112,957 | 3,750 | 116,707 | |||||||||||||||||||||||||||
Income (loss) from operations | 152,839 | 16,535 | 169,374 | (1,897) | 167,477 | |||||||||||||||||||||||||||
Net income (loss) | 79,690 | 11,874 | 91,564 | (5,261) | 86,303 | |||||||||||||||||||||||||||
Capital expenditures | 315,979 | 2,707 | 318,686 | 19,916 | 338,602 | |||||||||||||||||||||||||||
Total assets at December 31, 2022 | 4,392,699 | 60,019 | 4,452,718 | 295,608 | 4,748,326 | |||||||||||||||||||||||||||
2021 | ||||||||||||||||||||||||||||||||
Operating revenues | $ | 816,887 | $ | 26,170 | $ | 843,057 | $ | 17,343 | $ | 860,400 | ||||||||||||||||||||||
Depreciation | 109,475 | 1,029 | 110,504 | 3,030 | 113,534 | |||||||||||||||||||||||||||
Income (loss) from operations | 147,902 | 17,331 | 165,233 | (2,116) | 163,117 | |||||||||||||||||||||||||||
Net income (loss) | 68,988 | 12,184 | 81,172 | (2,506) | 78,666 | |||||||||||||||||||||||||||
Capital expenditures | 275,267 | 2,970 | 278,237 | 15,655 | 293,892 | |||||||||||||||||||||||||||
Total assets at December 31, 2021 | 3,846,112 | 52,260 | 3,898,372 | 166,232 | 4,064,604 |
In thousands | 2023 | 2022 | 2021 | ||||||||||||||
NGD margin calculation: | |||||||||||||||||
NGD operating revenues | $ | 1,117,498 | $ | 970,124 | $ | 797,800 | |||||||||||
Other regulated services | 18,902 | 19,628 | 19,087 | ||||||||||||||
Total NGD operating revenues | 1,136,400 | 989,752 | 816,887 | ||||||||||||||
Less: NGD cost of gas | 500,061 | 429,861 | 292,538 | ||||||||||||||
Environmental remediation expense | 12,899 | 12,389 | 9,938 | ||||||||||||||
Revenue taxes | 48,432 | 41,627 | 34,600 | ||||||||||||||
NGD margin | $ | 575,008 | $ | 505,875 | $ | 479,811 |
In thousands | 2017 | 2016 | 2015 | ||||||||
Utility margin calculation: | |||||||||||
Utility operating revenues | $ | 732,942 | $ | 650,477 | $ | 702,210 | |||||
Less: Utility cost of gas | 325,019 | 260,588 | 327,305 | ||||||||
Environmental remediation expense | 15,291 | 13,298 | 3,513 | ||||||||
Utility margin | $ | 392,632 | $ | 376,591 | $ | 371,392 |
In thousands | Shares | |||||||
Balance, December 31, | 30,589 | |||||||
Sales to employees under ESPP | 48 | |||||||
Stock-based compensation | 49 | |||||||
Equity issuance | 376 | |||||||
Sales to shareholders under DRPP | 67 | |||||||
Balance, December 31, | 31,129 | |||||||
Sales to employees under ESPP | 36 | |||||||
Stock-based compensation | 42 | |||||||
Equity | 4,257 | |||||||
Sales to shareholders under DRPP | 61 | |||||||
Balance, December 31, | 35,525 | |||||||
Sales to employees under ESPP | 13 | |||||||
Stock-based compensation | 39 | |||||||
Equity issuance | 1,658 | |||||||
Sales to shareholders under DRPP | 69 | |||||||
Shares issued in connection with business combinations | 327 | |||||||
Balance, December 31, | 37,631 |
Year ended December 31, 2023 | ||||||||||||||||||||||||||||||||
In thousands | NGD | Other (NW Natural) | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||||||||||||
Natural gas sales | $ | 1,109,223 | $ | — | $ | 1,109,223 | $ | — | $ | 1,109,223 | ||||||||||||||||||||||
Gas storage revenue, net | — | 12,041 | 12,041 | — | 12,041 | |||||||||||||||||||||||||||
Asset management revenue, net | — | 5,942 | 5,942 | — | 5,942 | |||||||||||||||||||||||||||
Appliance retail center revenue | — | 4,240 | 4,240 | — | 4,240 | |||||||||||||||||||||||||||
Other revenue | 2,929 | — | 2,929 | 38,852 | 41,781 | |||||||||||||||||||||||||||
Revenue from contracts with customers | 1,112,152 | 22,223 | 1,134,375 | 38,852 | 1,173,227 | |||||||||||||||||||||||||||
Alternative revenue | 8,198 | — | 8,198 | — | 8,198 | |||||||||||||||||||||||||||
Leasing revenue | 16,050 | — | 16,050 | — | 16,050 | |||||||||||||||||||||||||||
Total operating revenues | $ | 1,136,400 | $ | 22,223 | $ | 1,158,623 | $ | 38,852 | $ | 1,197,475 |
Year ended December 31, 2022 | ||||||||||||||||||||||||||||||||
In thousands | NGD | Other (NW Natural) | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||||||||||||
Natural gas sales | $ | 989,654 | $ | — | $ | 989,654 | $ | — | $ | 989,654 | ||||||||||||||||||||||
Gas storage revenue, net | — | 11,792 | 11,792 | — | 11,792 | |||||||||||||||||||||||||||
Asset management revenue, net | — | 6,965 | 6,965 | — | 6,965 | |||||||||||||||||||||||||||
Appliance retail center revenue | — | 5,830 | 5,830 | — | 5,830 | |||||||||||||||||||||||||||
Other revenue | 2,510 | — | 2,510 | 23,014 | 25,524 | |||||||||||||||||||||||||||
Revenue from contracts with customers | 992,164 | 24,587 | 1,016,751 | 23,014 | 1,039,765 | |||||||||||||||||||||||||||
Alternative revenue | (19,605) | — | (19,605) | — | (19,605) | |||||||||||||||||||||||||||
Leasing revenue | 17,193 | — | 17,193 | — | 17,193 | |||||||||||||||||||||||||||
Total operating revenues | $ | 989,752 | $ | 24,587 | $ | 1,014,339 | $ | 23,014 | $ | 1,037,353 |
Year ended December 31, 2021 | ||||||||||||||||||||||||||||||||
In thousands | NGD | Other (NW Natural) | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||||||||||||
Natural gas sales | $ | 783,027 | $ | — | $ | 783,027 | $ | — | $ | 783,027 | ||||||||||||||||||||||
Gas storage revenue, net | — | 10,830 | 10,830 | — | 10,830 | |||||||||||||||||||||||||||
Asset management revenue, net | — | 9,387 | 9,387 | — | 9,387 | |||||||||||||||||||||||||||
Appliance retail center revenue | — | 5,953 | 5,953 | — | 5,953 | |||||||||||||||||||||||||||
Other revenue | 1,615 | — | 1,615 | 17,343 | 18,958 | |||||||||||||||||||||||||||
Revenue from contracts with customers | 784,642 | 26,170 | 810,812 | 17,343 | 828,155 | |||||||||||||||||||||||||||
Alternative revenue | 14,694 | — | 14,694 | — | 14,694 | |||||||||||||||||||||||||||
Leasing revenue | 17,551 | — | 17,551 | — | 17,551 | |||||||||||||||||||||||||||
Total operating revenues | $ | 816,887 | $ | 26,170 | $ | 843,057 | $ | 17,343 | $ | 860,400 |
Year ended December 31, | ||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | |||||||||||||||||
Lease revenue | ||||||||||||||||||||
Operating leases | $ | 76 | $ | 74 | $ | 80 | ||||||||||||||
Sales-type leases | 15,974 | 17,119 | 17,471 | |||||||||||||||||
Total lease revenue | $ | 16,050 | $ | 17,193 | $ | 17,551 |
In thousands | Operating | Sales-Type | Total | |||||||||||||||||
NW Natural: | ||||||||||||||||||||
2024 | $ | 603 | $ | 15,867 | $ | 16,470 | ||||||||||||||
2025 | 599 | 15,306 | 15,905 | |||||||||||||||||
2026 | 36 | 14,901 | 14,937 | |||||||||||||||||
2027 | 22 | 14,521 | 14,543 | |||||||||||||||||
2028 | — | 13,983 | 13,983 | |||||||||||||||||
Thereafter | — | 208,316 | 208,316 | |||||||||||||||||
Total minimum lease payments | $ | 1,260 | 282,894 | $ | 284,154 | |||||||||||||||
Less: imputed interest | 153,806 | |||||||||||||||||||
Total leases receivable | $ | 129,088 | ||||||||||||||||||
Other NW Holdings: | ||||||||||||||||||||
2024 | $ | 52 | $ | — | $ | 52 | ||||||||||||||
2025 | 53 | — | 53 | |||||||||||||||||
2026 | 56 | — | 56 | |||||||||||||||||
2027 | 57 | — | 57 | |||||||||||||||||
2028 | 58 | — | 58 | |||||||||||||||||
Thereafter | 800 | — | 800 | |||||||||||||||||
Total minimum lease payments | $ | 1,076 | $ | — | $ | 1,076 | ||||||||||||||
NW Holdings: | ||||||||||||||||||||
2024 | $ | 655 | $ | 15,867 | $ | 16,522 | ||||||||||||||
2025 | 652 | 15,306 | 15,958 | |||||||||||||||||
2026 | 92 | 14,901 | 14,993 | |||||||||||||||||
2027 | 79 | 14,521 | 14,600 | |||||||||||||||||
2028 | 58 | 13,983 | 14,041 | |||||||||||||||||
Thereafter | 800 | 208,316 | 209,116 | |||||||||||||||||
Total minimum lease payments | $ | 2,336 | 282,894 | $ | 285,230 | |||||||||||||||
Less: imputed interest | 153,806 | |||||||||||||||||||
Total leases receivable | $ | 129,088 |
Year ended December 31, 2023 | ||||||||||||||||||||
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Operating lease expense | $ | 7,244 | $ | 176 | $ | 7,420 | ||||||||||||||
Short-term lease expense | 925 | — | 925 |
Year ended December 31, 2022 | ||||||||||||||||||||
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Operating lease expense | $ | 7,003 | $ | 31 | $ | 7,034 | ||||||||||||||
Short-term lease expense | 880 | — | 880 |
Year ended December 31, 2021 | ||||||||||||||||||||
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Operating lease expense | $ | 6,859 | $ | 58 | $ | 6,917 | ||||||||||||||
Short-term lease expense | 1,220 | — | 1,220 |
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Operating lease right of use assets | $ | 70,728 | $ | 580 | $ | 71,308 | ||||||||||||||
Operating lease liabilities - current liabilities | $ | 2,128 | $ | 205 | $ | 2,333 | ||||||||||||||
Operating lease liabilities - non-current liabilities | 76,757 | 410 | 77,167 | |||||||||||||||||
Total operating lease liabilities | $ | 78,885 | $ | 615 | $ | 79,500 |
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Operating lease right of use assets | $ | 72,720 | $ | 709 | $ | 73,429 | ||||||||||||||
Operating lease liabilities - current liabilities | $ | 1,363 | $ | 151 | $ | 1,514 | ||||||||||||||
Operating lease liabilities - non-current liabilities | 78,345 | 620 | 78,965 | |||||||||||||||||
Total operating lease liabilities | $ | 79,708 | $ | 771 | $ | 80,479 |
2023 | 2022 | |||||||||||||
Weighted-average remaining lease term (years) | 16.2 | 17.2 | ||||||||||||
Weighted-average discount rate | 7.3 | % | 7.3 | % |
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
2024 | $ | 7,484 | $ | 183 | $ | 7,667 | ||||||||||||||
2025 | 7,362 | 176 | 7,538 | |||||||||||||||||
2026 | 7,361 | 153 | 7,514 | |||||||||||||||||
2027 | 7,538 | 107 | 7,645 | |||||||||||||||||
2028 | 7,719 | 6 | 7,725 | |||||||||||||||||
Thereafter | 101,272 | 6 | 101,278 | |||||||||||||||||
Total lease payments | 138,736 | 631 | 139,367 | |||||||||||||||||
Less: imputed interest | 59,851 | 16 | 59,867 | |||||||||||||||||
Total lease obligations | 78,885 | 615 | 79,500 | |||||||||||||||||
Less: current obligations | 2,128 | 205 | 2,333 | |||||||||||||||||
Long-term lease obligations | $ | 76,757 | $ | 410 | $ | 77,167 |
Year ended December 31, 2023 | ||||||||||||||||||||
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities | ||||||||||||||||||||
Operating cash flows from operating leases | $ | 7,434 | $ | 176 | $ | 7,610 | ||||||||||||||
Finance cash flows from finance leases | 369 | — | 369 | |||||||||||||||||
Right of use assets obtained in exchange for lease obligations | ||||||||||||||||||||
Operating leases | $ | 659 | $ | — | $ | 659 | ||||||||||||||
Finance leases | 369 | 101 | 470 |
Year ended December 31, 2022 | ||||||||||||||||||||
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities | ||||||||||||||||||||
Operating cash flows from operating leases | $ | 6,993 | $ | 64 | $ | 7,057 | ||||||||||||||
Finance cash flows from finance leases | 524 | — | 524 | |||||||||||||||||
Right of use assets obtained in exchange for lease obligations | ||||||||||||||||||||
Operating leases | $ | 309 | $ | 668 | $ | 977 | ||||||||||||||
Finance leases | 270 | — | 270 |
Year ended December 31, 2021 | ||||||||||||||||||||
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities | ||||||||||||||||||||
Operating cash flows from operating leases | $ | 6,840 | $ | 58 | $ | 6,898 | ||||||||||||||
Finance cash flows from finance leases | 801 | — | 801 | |||||||||||||||||
Right of use assets obtained in exchange for lease obligations | ||||||||||||||||||||
Operating leases | $ | 223 | $ | — | $ | 223 | ||||||||||||||
Finance leases | 314 | — | 314 |
Dollars in thousands | Shares(1) | Expense During Award Year(2) | Total Expense for Award | Dollars in thousands | Shares(1) | Expense During Award Year(2) | Total Expense for Award | |||||||||||||||||||||||||||||||||
Estimated award: | ||||||||||||||||||||||||||||||||||||||||
2015-2017 grant(3) | 18,300 | $ | (346 | ) | $ | 1,169 | ||||||||||||||||||||||||||||||||||
2021-2023 grant(3) | ||||||||||||||||||||||||||||||||||||||||
2021-2023 grant(3) | ||||||||||||||||||||||||||||||||||||||||
2021-2023 grant(3) | ||||||||||||||||||||||||||||||||||||||||
Actual award: | ||||||||||||||||||||||||||||||||||||||||
2014-2016 grant | 31,388 | 168 | 1,685 | |||||||||||||||||||||||||||||||||||||
2013-2015 grant | 8,914 | 312 | 1,240 | |||||||||||||||||||||||||||||||||||||
2020-2022 grant | ||||||||||||||||||||||||||||||||||||||||
2020-2022 grant | ||||||||||||||||||||||||||||||||||||||||
2020-2022 grant | ||||||||||||||||||||||||||||||||||||||||
2019-2021 grant |
Dollars in thousands | Performance Share Awards Outstanding | 2023 | ||||||||||||||||||||||||
Performance Period | Target | Maximum | Expense | |||||||||||||||||||||||
2021-23 | 48,030 | 96,060 | $ | 1,581 | ||||||||||||||||||||||
2022-24 | — | — | — | |||||||||||||||||||||||
2023-25 | — | — | — | |||||||||||||||||||||||
Total | 48,030 | 96,060 | $ | 1,581 |
Dollars in thousands | Performance Share Awards Outstanding | 2017 | Cumulative Expense | |||||||||||
Performance Period | Target | Maximum | Expense/(Reversal) | December 31, 2017 | ||||||||||
2015-17 | 29,967 | 59,934 | $ | (346 | ) | $ | 1,169 | |||||||
2016-18 | 24,826 | 49,652 | 337 | 815 | ||||||||||
2017-19 | 32,680 | 65,360 | 942 | 942 | ||||||||||
Total | 87,473 | 174,946 | $ | 933 |
Number of RSUs | Weighted - Average Price Per RSU | |||||||||||||
Nonvested, December 31, 2020 | 82,464 | $ | 59.40 | |||||||||||
Granted | 38,160 | 49.16 | ||||||||||||
Vested | (31,733) | 60.06 | ||||||||||||
Forfeited | (1,164) | 46.82 | ||||||||||||
Nonvested, December 31, 2021 | 87,727 | 54.87 | ||||||||||||
Granted | 48,212 | 46.50 | ||||||||||||
Vested | (33,054) | 55.90 | ||||||||||||
Forfeited | (3,037) | 56.34 | ||||||||||||
Nonvested, December 31, 2022 | 99,848 | 50.44 | ||||||||||||
Granted | 45,532 | 48.24 | ||||||||||||
Vested | (36,393) | 56.65 | ||||||||||||
Forfeited | (11,696) | 49.98 | ||||||||||||
Nonvested, December 31, 2023 | 97,291 | $ | 49.80 |
Number of RSUs | Weighted - Average Price Per RSU | ||||||
Nonvested, December 31, 2014 | 70,794 | $ | 44.00 | ||||
Granted | 37,264 | 46.29 | |||||
Vested | (19,003 | ) | 44.81 | ||||
Forfeited | (468 | ) | 44.99 | ||||
Nonvested, December 31, 2015 | 88,587 | 44.78 | |||||
Granted | 40,271 | 54.36 | |||||
Vested | (29,488 | ) | 45.56 | ||||
Forfeited | (9,397 | ) | 44.59 | ||||
Nonvested, December 31, 2016 | 89,973 | 48.85 | |||||
Granted | 32,168 | 60.51 | |||||
Vested | (35,341 | ) | 47.07 | ||||
Forfeited | (2,278 | ) | 53.78 | ||||
Nonvested, December 31, 2017 | 84,522 | 53.90 |
Option Shares | Weighted - Average Price Per Share | Intrinsic Value (In millions) | |||||||||
Balance outstanding, December 31, 2014 | 416,088 | $ | 43.40 | $ | 2.7 | ||||||
Exercised | (62,900 | ) | 39.96 | 0.5 | |||||||
Forfeited | (500 | ) | 45.74 | n/a | |||||||
Balance outstanding, December 31, 2015 | 352,688 | 44.00 | 2.3 | ||||||||
Exercised | (172,525 | ) | 43.61 | 2.0 | |||||||
Forfeited | — | n/a | n/a | ||||||||
Balance outstanding, December 31, 2016 | 180,163 | 44.38 | 2.8 | ||||||||
Exercised | (88,275 | ) | 44.33 | 1.8 | |||||||
Forfeited | (200 | ) | 41.15 | n/a | |||||||
Balance outstanding and exercisable, December 31, 2017 | 91,688 | 44.43 | 1.4 |
In thousands | 2023 | 2022 | 2021 | ||||||||||||||||||||
Operations and maintenance expense, for stock-based compensation | $ | 3,293 | $ | 2,877 | $ | 3,272 | |||||||||||||||||
Income tax benefit | (872) | (762) | (866) | ||||||||||||||||||||
Net stock-based compensation effect on net income | 2,421 | 2,115 | 2,406 | ||||||||||||||||||||
Amounts capitalized for stock-based compensation | $ | 305 | $ | 351 | $ | 344 |
In thousands | 2017 | 2016 | 2015 | |||||||
Operations and maintenance expense, for stock-based compensation | $ | 2,354 | $ | 2,370 | $ | 2,673 | ||||
Income tax benefit | (930 | ) | (924 | ) | (1,012 | ) | ||||
Net stock-based compensation effect on net income (loss) | $ | 1,424 | $ | 1,446 | $ | 1,661 | ||||
Amounts capitalized for stock-based compensation | $ | 528 | $ | 554 | $ | 661 |
December 31, 2023 | December 31, 2022 | ||||||||||||||||
In millions | Balance Outstanding | Weighted Average Interest Rate(1) | Balance Outstanding | Weighted Average Interest Rate(1) | |||||||||||||
NW Natural: | |||||||||||||||||
Commercial paper | $ | 16.8 | 5.5 | % | $ | 170.2 | 4.6 | % | |||||||||
Other (NW Holdings): | |||||||||||||||||
Credit agreement | 73.0 | 6.4 | % | 88.0 | 5.3 | % | |||||||||||
NW Holdings | $ | 89.8 | $ | 258.2 |
December 31, 2023 | December 31, 2022 | ||||||||||||||||
In millions | Balance Outstanding | Weighted Average Interest Rate(1) | Balance Outstanding | Weighted Average Interest Rate(1) | |||||||||||||
NW Natural first mortgage bonds | $ | 1,374.7 | 4.7 | % | $ | 1,134.7 | 4.5 | % | |||||||||
NW Holdings credit agreement | 100.0 | 5.5 | % | 100.0 | 4.2 | % | |||||||||||
NWN Water credit agreement | 50.0 | 5.8 | % | 50.0 | 4.2 | % | |||||||||||
NWN Water term loan | 55.0 | 4.7 | % | 55.0 | 2.5 | % | |||||||||||
Other long-term debt | 6.6 | 6.2 | |||||||||||||||
Long-term debt, gross | 1,586.3 | 1,345.9 | |||||||||||||||
Less: unamortized debt issuance costs | 10.0 | 9.0 | |||||||||||||||
Less: current maturities | 150.9 | 90.7 | |||||||||||||||
Total long-term debt | $ | 1,425.4 | $ | 1,246.2 |
In millions | Notional Amount | Effective Date | Expiration Date | Fixed Rate | ||||||||||
NW Holdings | $ | 100.0 | 1/17/2023 | 3/15/2024 | 4.7 | % | ||||||||
NWN Water | $ | 55.0 | 1/19/2023 | 6/10/2026 | 3.8 | % |
In thousands | NW Natural | Other (NW Holdings) | NW Holdings | |||||||||||||||||
2024 | $ | — | $ | 150,868 | $ | 150,868 | ||||||||||||||
2025 | 30,000 | 824 | 30,824 | |||||||||||||||||
2026 | 55,000 | 55,852 | 110,852 | |||||||||||||||||
2027 | 64,700 | 881 | 65,581 | |||||||||||||||||
2028 | 10,000 | 866 | 10,866 | |||||||||||||||||
Thereafter | 1,215,000 | 2,353 | 1,217,353 | |||||||||||||||||
Total | $ | 1,374,700 | $ | 211,644 | $ | 1,586,344 |
In thousands | ||||
Year | ||||
2018 | $ | 97,000 | ||
2019 | 30,000 | |||
2020 | 75,000 | |||
2021 | 60,000 | |||
2022 | — | |||
Thereafter | 524,700 |
In thousands | 2023 | 2022 | ||||||||||||
NW Natural: | ||||||||||||||
First Mortgage Bonds: | ||||||||||||||
3.542% Series due 2023 | $ | — | $ | 50,000 | ||||||||||
5.620% Series due 2023 | — | 40,000 | ||||||||||||
7.720% Series due 2025 | 20,000 | 20,000 | ||||||||||||
6.520% Series due 2025 | 10,000 | 10,000 | ||||||||||||
7.050% Series due 2026 | 20,000 | 20,000 | ||||||||||||
3.211% Series due 2026 | 35,000 | 35,000 | ||||||||||||
7.000% Series due 2027 | 20,000 | 20,000 | ||||||||||||
2.822% Series due 2027 | 25,000 | 25,000 | ||||||||||||
6.650% Series due 2027 | 19,700 | 19,700 | ||||||||||||
6.650% Series due 2028 | 10,000 | 10,000 | ||||||||||||
3.141% Series due 2029 | 50,000 | 50,000 | ||||||||||||
7.740% Series due 2030 | 20,000 | 20,000 | ||||||||||||
7.850% Series due 2030 | 10,000 | 10,000 | ||||||||||||
5.820% Series due 2032 | 30,000 | 30,000 | ||||||||||||
5.660% Series due 2033 | 40,000 | 40,000 | ||||||||||||
5.750% Series due 2033 | 100,000 | — | ||||||||||||
5.180% Series due 2034 | 80,000 | — | ||||||||||||
5.250% Series due 2035 | 10,000 | 10,000 | ||||||||||||
5.230% Series due 2038 | 50,000 | — | ||||||||||||
4.000% Series due 2042 | 50,000 | 50,000 | ||||||||||||
4.136% Series due 2046 | 40,000 | 40,000 | ||||||||||||
3.685% Series due 2047 | 75,000 | 75,000 | ||||||||||||
4.110% Series due 2048 | 50,000 | 50,000 | ||||||||||||
3.869% Series due 2049 | 90,000 | 90,000 | ||||||||||||
3.600% Series due 2050 | 150,000 | 150,000 | ||||||||||||
3.078% Series due 2051 | 130,000 | 130,000 | ||||||||||||
4.780% Series due 2052 | 140,000 | 140,000 | ||||||||||||
5.430% Series due 2053 | 100,000 | — | ||||||||||||
Long-term debt, gross | 1,374,700 | 1,134,700 | ||||||||||||
Less: current maturities | — | 90,000 | ||||||||||||
Total long-term debt | $ | 1,374,700 | $ | 1,044,700 |
In thousands | 2017 | 2016 | ||||||
First Mortgage Bonds | ||||||||
7.000 % Series B due 2017 | $ | — | $ | 40,000 | ||||
1.545 % Series B due 2018 | 75,000 | 75,000 | ||||||
6.600 % Series B due 2018 | 22,000 | 22,000 | ||||||
8.310 % Series B due 2019 | 10,000 | 10,000 | ||||||
7.630 % Series B due 2019 | 20,000 | 20,000 | ||||||
5.370 % Series B due 2020 | 75,000 | 75,000 | ||||||
9.050 % Series A due 2021 | 10,000 | 10,000 | ||||||
3.176 % Series B due 2021 | 50,000 | 50,000 | ||||||
3.542 % Series B due 2023 | 50,000 | 50,000 | ||||||
5.620 % Series B due 2023 | 40,000 | 40,000 | ||||||
7.720 % Series B due 2025 | 20,000 | 20,000 | ||||||
6.520 % Series B due 2025 | 10,000 | 10,000 | ||||||
7.050 % Series B due 2026 | 20,000 | 20,000 | ||||||
3.211 % Series B due 2026 | 35,000 | 35,000 | ||||||
7.000 % Series B due 2027 | 20,000 | 20,000 | ||||||
2.822 % Series B due 2027 | 25,000 | — | ||||||
6.650 % Series B due 2027 | 19,700 | 19,700 | ||||||
6.650 % Series B due 2028 | 10,000 | 10,000 | ||||||
7.740 % Series B due 2030 | 20,000 | 20,000 | ||||||
7.850 % Series B due 2030 | 10,000 | 10,000 | ||||||
5.820 % Series B due 2032 | 30,000 | 30,000 | ||||||
5.660 % Series B due 2033 | 40,000 | 40,000 | ||||||
5.250 % Series B due 2035 | 10,000 | 10,000 | ||||||
4.000 % Series B due 2042 | 50,000 | 50,000 | ||||||
4.136 % Series B due 2046 | 40,000 | 40,000 | ||||||
3.685 % Series B due 2047 | 75,000 | — | ||||||
786,700 | 726,700 | |||||||
Less: Current maturities | 97,000 | 40,000 | ||||||
Total long-term debt | $ | 689,700 | $ | 686,700 |
December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
NW Natural: | ||||||||||||||
Gross long-term debt | $ | 1,374,700 | $ | 1,134,700 | ||||||||||
Unamortized debt issuance costs | (9,968) | (8,823) | ||||||||||||
Carrying amount | 1,364,732 | 1,125,877 | ||||||||||||
Estimated fair value(1) | 1,236,559 | 944,383 | ||||||||||||
NW Holdings: | ||||||||||||||
Gross long-term debt | $ | 1,586,344 | $ | 1,345,851 | ||||||||||
Unamortized debt issuance costs | (10,044) | (8,987) | ||||||||||||
Carrying amount | 1,576,300 | 1,336,864 | ||||||||||||
Estimated fair value(1) | 1,447,941 | 1,148,395 | ||||||||||||
(1) Estimated fair value does not include unamortized debt issuance costs. |
December 31, | ||||||||
In thousands | 2017 | 2016 | ||||||
Gross long-term debt | $ | 786,700 | $ | 726,700 | ||||
Unamortized debt issuance costs | (6,813 | ) | (7,377 | ) | ||||
Carrying amount | $ | 779,887 | $ | 719,323 | ||||
Estimated fair value | $ | 853,339 | $ | 793,339 |
Postretirement Benefit Plans | ||||||||||||||||||||||||||
Pension Benefits | Other Benefits | |||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Reconciliation of change in benefit obligation: | ||||||||||||||||||||||||||
Obligation at January 1 | $ | 413,413 | $ | 542,618 | $ | 19,880 | $ | 27,223 | ||||||||||||||||||
Service cost | 3,922 | 5,933 | 105 | 193 | ||||||||||||||||||||||
Interest cost | 21,019 | 14,593 | 1,067 | 724 | ||||||||||||||||||||||
Net actuarial gain (loss) | 15,066 | (122,168) | 2,208 | (6,234) | ||||||||||||||||||||||
Benefits paid | (27,970) | (27,563) | (1,793) | (2,026) | ||||||||||||||||||||||
Obligation at December 31 | 425,450 | 413,413 | 21,467 | 19,880 | ||||||||||||||||||||||
Reconciliation of change in plan assets: | ||||||||||||||||||||||||||
Fair value of plan assets at January 1 | 280,304 | 399,217 | — | — | ||||||||||||||||||||||
Actual return on plan assets | 28,841 | (93,703) | — | — | ||||||||||||||||||||||
Employer contributions | 2,269 | 2,353 | 1,793 | 2,026 | ||||||||||||||||||||||
Benefits paid | (27,970) | (27,563) | (1,793) | (2,026) | ||||||||||||||||||||||
Fair value of plan assets at December 31 | 283,444 | 280,304 | — | — | ||||||||||||||||||||||
Funded status at December 31 | $ | (142,006) | $ | (133,109) | $ | (21,467) | $ | (19,880) |
Postretirement Benefit Plans | ||||||||||||||||
Pension Benefits | Other Benefits | |||||||||||||||
In thousands | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Reconciliation of change in benefit obligation: | ||||||||||||||||
Obligation at January 1 | $ | 457,839 | $ | 445,628 | $ | 29,395 | $ | 31,049 | ||||||||
Service cost | 7,090 | 7,083 | 341 | 391 | ||||||||||||
Interest cost | 18,111 | 18,399 | 1,141 | 1,175 | ||||||||||||
Net actuarial (gain) loss | 34,829 | 7,688 | (213 | ) | (1,488 | ) | ||||||||||
Benefits paid(1) | (31,580 | ) | (20,959 | ) | (1,737 | ) | (1,732 | ) | ||||||||
Obligation at December 31 | $ | 486,289 | $ | 457,839 | $ | 28,927 | $ | 29,395 | ||||||||
Reconciliation of change in plan assets: | ||||||||||||||||
Fair value of plan assets at January 1 | $ | 257,714 | $ | 249,338 | $ | — | $ | — | ||||||||
Actual return on plan assets | 40,308 | 12,593 | — | — | ||||||||||||
Employer contributions | 21,483 | 16,742 | 1,737 | 1,732 | ||||||||||||
Benefits paid(1) | (31,580 | ) | (20,959 | ) | (1,737 | ) | (1,732 | ) | ||||||||
Fair value of plan assets at December 31 | $ | 287,925 | $ | 257,714 | $ | — | $ | — | ||||||||
Funded status at December 31 | $ | (198,364 | ) | $ | (200,125 | ) | $ | (28,927 | ) | $ | (29,395 | ) |
Regulatory Assets | Other Comprehensive Loss (Income) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | Pension Benefits | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | 2023 | 2022 | 2021 | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||
Net actuarial (gain) loss | $ | 10,318 | $ | 2,833 | $ | (32,258) | $ | 2,208 | $ | (6,234) | $ | (688) | $ | 1,630 | $ | (5,706) | $ | (812) | ||||||||||||||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Prior service credit | — | — | — | — | 333 | 468 | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Actuarial loss | — | (11,531) | (21,250) | — | (426) | (645) | (713) | (1,081) | (1,225) | |||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 10,318 | $ | (8,698) | $ | (53,508) | $ | 2,208 | $ | (6,327) | $ | (865) | $ | 917 | $ | (6,787) | $ | (2,037) |
Regulatory Assets | Other Comprehensive Loss (Income) | |||||||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | Pension Benefits | ||||||||||||||||||||||||||||||||||
In thousands | 2017 | 2016 | 2015 | 2017 | 2016 | 2015 | 2017 | 2016 | 2015 | |||||||||||||||||||||||||||
Net actuarial loss (gain) | $ | 12,177 | $ | 14,005 | $ | 419 | $ | (214 | ) | $ | (1,488 | ) | $ | 2,724 | $ | 2,777 | $ | (1,196 | ) | $ | (2,549 | ) | ||||||||||||||
Settlement Loss | — | — | — | — | — | — | — | 193 | — | |||||||||||||||||||||||||||
Amortization of: | ||||||||||||||||||||||||||||||||||||
Prior service cost | (127 | ) | (230 | ) | (230 | ) | 468 | 468 | (197 | ) | — | — | — | |||||||||||||||||||||||
Actuarial loss | (14,802 | ) | (13,238 | ) | (16,372 | ) | (696 | ) | (705 | ) | (554 | ) | (946 | ) | 1,386 | (2,236 | ) | |||||||||||||||||||
Total | $ | (2,752 | ) | $ | 537 | $ | (16,183 | ) | $ | (442 | ) | $ | (1,725 | ) | $ | 1,973 | $ | 1,831 | $ | 383 | $ | (4,785 | ) |
Regulatory Assets | AOCL | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | Pension Benefits | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Regulatory Assets | Regulatory Assets | AOCL | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | Other Postretirement Benefits | Pension Benefits | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
In thousands | 2017 | 2016 | 2017 | 2016 | 2017 | 2016 | In thousands | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 49 | $ | 176 | $ | (2,206 | ) | $ | (2,675 | ) | $ | — | $ | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net actuarial loss | 175,035 | 177,660 | 6,964 | 7,874 | 13,266 | 11,434 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Prior service credit | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net actuarial loss (gain) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 175,084 | $ | 177,836 | $ | 4,758 | $ | 5,199 | $ | 13,266 | $ | 11,435 |
Year ended December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Beginning balance | $ | (6,414) | $ | (11,404) | ||||||||||
Amounts reclassified to AOCL | (1,676) | 5,706 | ||||||||||||
Amounts reclassified from AOCL: | ||||||||||||||
Amortization of actuarial losses | 558 | 1,081 | ||||||||||||
Total reclassifications before tax | (1,118) | 6,787 | ||||||||||||
Tax benefit (expense) | 295 | (1,797) | ||||||||||||
Total reclassifications for the period | (823) | 4,990 | ||||||||||||
Ending balance | $ | (7,237) | $ | (6,414) |
Year Ended December 31, | |||||||
In thousands | 2017 | 2016 | |||||
Beginning balance | $ | (6,951 | ) | $ | (7,162 | ) | |
Amounts reclassified to AOCL | (2,794 | ) | (1,196 | ) | |||
Amounts reclassified from AOCL: | |||||||
Amortization of actuarial losses | 946 | 1,386 | |||||
Loss from plan settlement | — | 193 | |||||
Total reclassifications before tax | (1,848 | ) | 383 | ||||
Tax expense (benefit) | 361 | (172 | ) | ||||
Total reclassifications for the period | (1,487 | ) | 211 | ||||
Ending balance | $ | (8,438 | ) | $ | (6,951 | ) |
Asset Category | Target Allocation | ||||
Long government/credit | 20 | % | |||
U.S. large cap equity | |||||
Non-U.S. equity | 18 | ||||
Absolute return strategies | 12 | ||||
U.S. small/mid cap equity | |||||
High yield bonds | 5 | ||||
Emerging markets equity | |||||
Emerging market debt | |||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | 2023 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
Service cost | $ | 3,922 | $ | 5,933 | $ | 6,981 | $ | 105 | $ | 193 | $ | 238 | ||||||||||||||||||||||||||
Interest cost | 21,018 | 14,593 | 13,448 | 1,067 | 724 | 684 | ||||||||||||||||||||||||||||||||
Expected return on plan assets | (25,723) | (25,698) | (24,232) | — | — | — | ||||||||||||||||||||||||||||||||
Amortization of prior service credit | — | — | — | — | (333) | (468) | ||||||||||||||||||||||||||||||||
Amortization of net actuarial loss | 713 | 12,612 | 22,475 | — | 426 | 645 | ||||||||||||||||||||||||||||||||
Net periodic (benefit) cost | (70) | 7,440 | 18,672 | 1,172 | 1,010 | 1,099 | ||||||||||||||||||||||||||||||||
Amount allocated to construction | (1,684) | (2,621) | (3,015) | (36) | (76) | (93) | ||||||||||||||||||||||||||||||||
Net periodic (benefit) cost charged to expense | (1,754) | 4,819 | 15,657 | 1,136 | 934 | 1,006 | ||||||||||||||||||||||||||||||||
Amortization of regulatory balancing account | 7,131 | 7,131 | 7,131 | — | — | — | ||||||||||||||||||||||||||||||||
Net amount charged to expense | $ | 5,377 | $ | 11,950 | $ | 22,788 | $ | 1,136 | $ | 934 | $ | 1,006 |
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||
In thousands | 2017 | 2016 | 2015 | 2017 | 2016 | 2015 | ||||||||||||||||||
Service cost | $ | 7,090 | $ | 7,083 | $ | 8,267 | $ | 341 | $ | 391 | $ | 527 | ||||||||||||
Interest cost | 18,111 | 18,399 | 18,360 | 1,141 | 1,175 | 1,179 | ||||||||||||||||||
Expected return on plan assets | (20,433 | ) | (20,054 | ) | (20,676 | ) | — | — | — | |||||||||||||||
Amortization of prior service costs | 127 | 231 | 231 | (468 | ) | (468 | ) | 197 | ||||||||||||||||
Amortization of net actuarial loss | 15,748 | 14,624 | 18,609 | 696 | 705 | 554 | ||||||||||||||||||
Settlement expense | — | 193 | — | — | — | — | ||||||||||||||||||
Net periodic benefit cost | 20,643 | 20,476 | 24,791 | 1,710 | 1,803 | 2,457 | ||||||||||||||||||
Amount allocated to construction | (6,597 | ) | (5,746 | ) | (6,834 | ) | (587 | ) | (600 | ) | (808 | ) | ||||||||||||
Amount deferred to regulatory balancing account(1) | (6,542 | ) | (6,252 | ) | (8,241 | ) | — | — | — | |||||||||||||||
Net amount charged to expense | $ | 7,504 | $ | 8,478 | $ | 9,716 | $ | 1,123 | $ | 1,203 | $ | 1,649 |
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||||||||||||||||||||
2023 | 2022 | 2021 | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||||||
Assumptions for net periodic benefit cost: | ||||||||||||||||||||||||||||||||||||||
Weighted-average discount rate | 5.14 | % | 2.71 | % | 2.40 | % | 5.19 | % | 2.72 | % | 2.34 | % | ||||||||||||||||||||||||||
Rate of increase in compensation | 4.00-5.00% | 3.50 | % | 3.50 | % | n/a | n/a | n/a | ||||||||||||||||||||||||||||||
Expected long-term rate of return | 7.50 | % | 7.00 | % | 7.25 | % | n/a | n/a | n/a | |||||||||||||||||||||||||||||
Assumptions for year-end funded status: | ||||||||||||||||||||||||||||||||||||||
Weighted-average discount rate | 4.98 | % | 5.18 | % | 2.71 | % | 4.98 | % | 5.19 | % | 2.72 | % | ||||||||||||||||||||||||||
Rate of increase in compensation(1) | 4.00-4.73% | 4.00-6.00% | 3.50 | % | n/a | n/a | n/a | |||||||||||||||||||||||||||||||
Expected long-term rate of return | 7.50 | % | 7.50 | % | 7.00 | % | n/a | n/a | n/a |
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||
2017 | 2016 | 2015 | 2017 | 2016 | 2015 | |||||||||||||
Assumptions for net periodic benefit cost: | ||||||||||||||||||
Weighted-average discount rate | 3.99 | % | 4.17 | % | 3.82 | % | 3.85 | % | 4.00 | % | 3.74 | % | ||||||
Rate of increase in compensation | 3.25-4.5% | 3.25-4.5% | 3.25-5.0% | n/a | n/a | n/a | ||||||||||||
Expected long-term rate of return | 7.50 | % | 7.50 | % | 7.50 | % | n/a | n/a | n/a | |||||||||
Assumptions for year-end funded status: | ||||||||||||||||||
Weighted-average discount rate | 3.52 | % | 4.00 | % | 4.21 | % | 3.44 | % | 3.85 | % | 4.00 | % | ||||||
Rate of increase in compensation | 3.25-4.5% | 3.25-4.5% | 3.25-4.5% | n/a | n/a | n/a | ||||||||||||
Expected long-term rate of return | 7.50 | % | 7.50 | % | 7.50 | % | n/a | n/a | n/a |
In thousands | 1% Increase | 1% Decrease | ||||||
Effect on net periodic postretirement health care benefit cost | $ | 44 | $ | (39 | ) | |||
Effect on the accumulated postretirement benefit obligation | 478 | (428 | ) |
In thousands | Pension Benefits | Other Benefits | ||||||||||||
Employer Contributions: | ||||||||||||||
2022 | $ | 2,353 | $ | 2,026 | ||||||||||
2023 | 2,269 | 1,793 | ||||||||||||
2024 (estimated) | 22,850 | 3,233 | ||||||||||||
Benefit Payments: | ||||||||||||||
2021 | $ | 25,371 | $ | 2,050 | ||||||||||
2022 | 27,563 | 2,026 | ||||||||||||
2023 | 27,970 | 1,793 | ||||||||||||
Estimated Future Benefit Payments: | ||||||||||||||
2024 | $ | 27,288 | $ | 3,233 | ||||||||||
2025 | 36,313 | 1,652 | ||||||||||||
2026 | 27,979 | 1,620 | ||||||||||||
2027 | 28,300 | 1,608 | ||||||||||||
2028 | 28,604 | 1,583 | ||||||||||||
2029-2033 | 145,652 | 7,440 |
In thousands | Pension Benefits | Other Benefits | ||||||
Employer Contributions: | ||||||||
2016 | $ | 16,742 | $ | 1,732 | ||||
2017 | 21,483 | 1,737 | ||||||
2018 (estimated) | 17,710 | 1,835 | ||||||
Benefit Payments: | ||||||||
2015 | 35,923 | 2,018 | ||||||
2016 | 20,959 | 1,732 | ||||||
2017 | 31,580 | 1,737 | ||||||
Estimated Future Benefit Payments: | ||||||||
2018 | 22,679 | 1,835 | ||||||
2019 | 23,546 | 1,871 | ||||||
2020 | 24,542 | 1,861 | ||||||
2021 | 25,471 | 1,904 | ||||||
2022 | 26,095 | 1,886 | ||||||
2023-2027 | 145,065 | 9,261 |
In thousands | December 31, 2023 | |||||||||||||||||||||||||||||||
Investments | Level 1 | Level 2 | Level 3 | Non-Published NAV(1) | Total | |||||||||||||||||||||||||||
US equity | $ | — | $ | — | $ | — | $ | 73,910 | $ | 73,910 | ||||||||||||||||||||||
International / Global equity | 27,730 | — | — | 63,767 | 91,497 | |||||||||||||||||||||||||||
Liability hedging | — | — | — | 98,408 | 98,408 | |||||||||||||||||||||||||||
Opportunistic | — | — | — | 17,148 | 17,148 | |||||||||||||||||||||||||||
Cash and cash equivalents | — | — | — | 2,480 | 2,480 | |||||||||||||||||||||||||||
Total investments | $ | 27,730 | $ | — | $ | — | $ | 255,713 | $ | 283,443 | ||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||
Investments | Level 1 | Level 2 | Level 3 | Non-Published NAV(1) | Total | |||||||||||||||||||||||||||
US equity | $ | — | $ | — | $ | — | $ | 68,729 | $ | 68,729 | ||||||||||||||||||||||
International / Global equity | 26,677 | — | — | 63,827 | 90,504 | |||||||||||||||||||||||||||
Liability hedging | — | — | — | 94,823 | 94,823 | |||||||||||||||||||||||||||
Opportunistic | — | — | — | 23,903 | 23,903 | |||||||||||||||||||||||||||
Cash and cash equivalents | — | — | — | 2,345 | 2,345 | |||||||||||||||||||||||||||
Total investments | $ | 26,677 | $ | — | $ | — | $ | 253,627 | $ | 280,304 | ||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||||||||||
Receivables: | ||||||||||||||||||||||||||||||||
Accrued interest and dividend income | $ | 10,698 | $ | 7,703 | ||||||||||||||||||||||||||||
Total receivables | 10,698 | 7,703 | ||||||||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Due to broker for securities purchased | (10,698) | (7,701) | ||||||||||||||||||||||||||||||
Total investment in retirement trust | $ | 283,443 | $ | 280,306 |
In thousands | December 31, 2017 | |||||||||||||||||||
Investments | Level 1 | Level 2 | Level 3 | Non-Published NAV(1) | Total | |||||||||||||||
U.S. large cap equity | $ | — | $ | — | $ | — | $ | 102,851 | $ | 102,851 | ||||||||||
U.S. small/mid cap equity | — | — | — | 16,423 | 16,423 | |||||||||||||||
Non-U.S. equity | 21,211 | — | — | 56,075 | 77,286 | |||||||||||||||
Emerging markets equity | — | — | — | 28,743 | 28,743 | |||||||||||||||
Fixed income | — | — | — | 2,781 | 2,781 | |||||||||||||||
Long government/credit | — | — | — | 33,081 | 33,081 | |||||||||||||||
High yield bonds | — | — | — | 2,777 | 2,777 | |||||||||||||||
Emerging market debt | — | — | — | 12,605 | 12,605 | |||||||||||||||
Real estate | — | — | — | 5,544 | 5,544 | |||||||||||||||
Absolute return strategy | — | — | — | 189 | 189 | |||||||||||||||
Cash and cash equivalents | 82 | — | — | 5,533 | 5,615 | |||||||||||||||
Total investments | $ | 21,293 | $ | — | $ | — | $ | 266,602 | $ | 287,895 | ||||||||||
December 31, 2016 | ||||||||||||||||||||
Investments | Level 1 | Level 2 | Level 3 | Non-Published NAV(1) | Total | |||||||||||||||
U.S. large cap equity | $ | 49,841 | $ | — | $ | — | $ | 5,655 | $ | 55,496 | ||||||||||
U.S. small/mid cap equity | 18,629 | — | — | 10,232 | 28,861 | |||||||||||||||
Non-U.S. equity | 22,404 | — | — | 25,346 | 47,750 | |||||||||||||||
Emerging markets equity | — | — | — | 13,457 | 13,457 | |||||||||||||||
Fixed income | — | — | — | 6,719 | 6,719 | |||||||||||||||
Long government/credit | — | 34,955 | — | 17,960 | 52,915 | |||||||||||||||
High yield bonds | — | — | — | 14,072 | 14,072 | |||||||||||||||
Emerging market debt | — | — | — | 8,504 | 8,504 | |||||||||||||||
Real estate | 17,857 | — | — | 882 | 18,739 | |||||||||||||||
Absolute return strategy | — | — | — | 3,111 | 3,111 | |||||||||||||||
Cash and cash equivalents | $ | 9 | $ | — | $ | — | $ | 2,482 | $ | 2,491 | ||||||||||
Total investments | $ | 108,740 | $ | 34,955 | $ | — | $ | 108,420 | $ | 252,115 | ||||||||||
December 31, | ||||||||||||||||||||
2017 | 2016 | |||||||||||||||||||
Receivables: | ||||||||||||||||||||
Accrued interest and dividend income | $ | 30 | $ | 451 | ||||||||||||||||
Due from broker for securities sold | — | 5,170 | ||||||||||||||||||
Total receivables | $ | 30 | $ | 5,621 | ||||||||||||||||
Liabilities: | ||||||||||||||||||||
Due to broker for securities purchased | $ | — | $ | 22 | ||||||||||||||||
Total investment in retirement trust | $ | 287,925 | $ | 257,714 |
NW Holdings | NW Natural | |||||||||||||||||||||||||||||||||||||
Dollars in thousands | 2023 | 2022 | 2021 | 2023 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
Income taxes at federal statutory rate | $ | 26,508 | $ | 24,241 | $ | 22,275 | $ | 29,486 | $ | 25,746 | $ | 22,996 | ||||||||||||||||||||||||||
Increase (decrease): | ||||||||||||||||||||||||||||||||||||||
State income tax, net of federal | 10,875 | 10,139 | 9,962 | 11,510 | 10,504 | 10,150 | ||||||||||||||||||||||||||||||||
Differences required to be flowed-through by regulatory commissions | (3,976) | (4,748) | (4,655) | (3,972) | (4,746) | (4,738) | ||||||||||||||||||||||||||||||||
Other, net | (1,045) | (502) | (176) | (1,352) | (468) | (75) | ||||||||||||||||||||||||||||||||
Total provision for income taxes | $ | 32,362 | $ | 29,130 | $ | 27,406 | $ | 35,672 | $ | 31,036 | $ | 28,333 | ||||||||||||||||||||||||||
Effective tax rate | 25.6% | 25.2% | 25.8% | 25.4% | 25.3% | 25.9% |
Dollars in thousands | 2017 | 2016 | 2015 | |||||||||
Income taxes (benefits) at federal statutory rate | $ | (30,233 | ) | $ | 34,863 | $ | 31,310 | |||||
Increase (decrease): | ||||||||||||
State income tax, net of federal | (5,784 | ) | 4,582 | 4,195 | ||||||||
Amortization of investment tax credits | (4 | ) | (41 | ) | (118 | ) | ||||||
Differences required to be flowed-through by regulatory commissions | 2,357 | 2,357 | 2,357 | |||||||||
Gains on company and trust-owned life insurance | (872 | ) | (594 | ) | (766 | ) | ||||||
Effect of TCJA | (21,429 | ) | — | — | ||||||||
Deferred Tax Rate Differential Post-TCJA | 26,947 | — | — | |||||||||
Other, net | (1,739 | ) | (453 | ) | (1,225 | ) | ||||||
Total provision for income taxes (benefits) | $ | (30,757 | ) | $ | 40,714 | $ | 35,753 | |||||
Effective tax rate | 35.6 | % | 40.9 | % | 40.0 | % |
NW Holdings | NW Natural | |||||||||||||||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | 2023 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
Current | ||||||||||||||||||||||||||||||||||||||
Federal | $ | 13,496 | $ | 5,172 | $ | 6,508 | $ | 20,512 | $ | 7,442 | $ | 7,570 | ||||||||||||||||||||||||||
State | 9,901 | 6,551 | 6,281 | 12,304 | 7,307 | 7,540 | ||||||||||||||||||||||||||||||||
Total current income taxes | 23,397 | 11,723 | 12,789 | 32,816 | 14,749 | 15,110 | ||||||||||||||||||||||||||||||||
Deferred | ||||||||||||||||||||||||||||||||||||||
Federal | 5,100 | 11,124 | 8,289 | 591 | 10,298 | 7,915 | ||||||||||||||||||||||||||||||||
State | 3,865 | 6,283 | 6,328 | 2,265 | 5,989 | 5,308 | ||||||||||||||||||||||||||||||||
Total deferred income taxes | 8,965 | 17,407 | 14,617 | 2,856 | 16,287 | 13,223 | ||||||||||||||||||||||||||||||||
Income tax provision | $ | 32,362 | $ | 29,130 | $ | 27,406 | $ | 35,672 | $ | 31,036 | $ | 28,333 | ||||||||||||||||||||||||||
In thousands | 2017 | 2016 | 2015 | |||||||||
Current | ||||||||||||
Federal | $ | 16,403 | $ | 7,402 | $ | 10,558 | ||||||
State | 4,892 | 2,042 | 61 | |||||||||
21,295 | 9,444 | 10,619 | ||||||||||
Deferred | ||||||||||||
Federal | (41,134 | ) | 26,219 | 18,729 | ||||||||
State | (10,918 | ) | 5,051 | 6,405 | ||||||||
(52,052 | ) | 31,270 | 25,134 | |||||||||
Total provision for income taxes (loss benefits) | $ | (30,757 | ) | $ | 40,714 | $ | 35,753 |
NW Holdings | NW Natural | |||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Deferred tax liabilities: | ||||||||||||||||||||||||||
Plant and property | $ | 350,802 | $ | 326,326 | $ | 340,042 | $ | 320,121 | ||||||||||||||||||
Leases receivable | 35,635 | 36,873 | 35,635 | 36,873 | ||||||||||||||||||||||
Pension and postretirement obligations | 24,830 | 22,973 | 24,830 | 22,973 | ||||||||||||||||||||||
Income tax regulatory asset | 12,939 | 13,152 | 12,939 | 13,152 | ||||||||||||||||||||||
Lease right of use assets | 21,002 | 21,272 | 20,849 | 21,084 | ||||||||||||||||||||||
Other Intangibles | 528 | — | — | — | ||||||||||||||||||||||
Other | 4,432 | 17,050 | 4,620 | 17,314 | ||||||||||||||||||||||
Total deferred income tax liabilities | 450,168 | 437,646 | 438,915 | 431,517 | ||||||||||||||||||||||
Deferred income tax assets: | ||||||||||||||||||||||||||
Income tax regulatory liability | 46,372 | 48,270 | 46,120 | 48,018 | ||||||||||||||||||||||
Lease liabilities | 21,047 | 21,306 | 20,884 | 21,102 | ||||||||||||||||||||||
Other intangible assets | — | 1,947 | — | — | ||||||||||||||||||||||
Net operating losses and credits carried forward | 76 | 101 | 44 | 44 | ||||||||||||||||||||||
Total deferred income tax assets | 67,495 | 71,624 | 67,048 | 69,164 | ||||||||||||||||||||||
Total net deferred income tax liabilities | $ | 382,673 | $ | 366,022 | $ | 371,867 | $ | 362,353 | ||||||||||||||||||
In thousands | 2017 | 2016 | 2015 | |||||||||
Utility: | ||||||||||||
Current | $ | 21,453 | $ | 10,300 | $ | 15,890 | ||||||
Deferred | 19,479 | 28,749 | 20,834 | |||||||||
Deferred investment tax credits | (4 | ) | (41 | ) | (118 | ) | ||||||
40,928 | 39,008 | 36,606 | ||||||||||
Non-utility business segments: | ||||||||||||
Current | (158 | ) | (856 | ) | (5,271 | ) | ||||||
Deferred | (71,527 | ) | 2,562 | 4,418 | ||||||||
(71,685 | ) | 1,706 | (853 | ) | ||||||||
Total provision for income taxes | $ | (30,757 | ) | $ | 40,714 | $ | 35,753 |
In thousands | 2017 | 2016 | ||||||
Deferred tax liabilities: | ||||||||
Plant and property | $ | 296,114 | $ | 428,642 | ||||
Regulatory income tax assets | 22,209 | 43,048 | ||||||
Regulatory liabilities | 29,114 | 48,291 | ||||||
Non-regulated deferred tax liabilities | 933 | 51,446 | ||||||
Total | $ | 348,370 | $ | 571,427 | ||||
Deferred tax assets: | ||||||||
Regulatory income tax liabilities | $ | 56,470 | $ | — | ||||
Non-regulated deferred tax assets | 17,796 | — | ||||||
Pension and postretirement obligations | 3,512 | 4,493 | ||||||
Alternative minimum tax credit carryforward | 66 | 9,853 | ||||||
Total | $ | 77,844 | $ | 14,346 | ||||
Deferred income tax liabilities, net | $ | 270,526 | $ | 557,081 | ||||
Deferred investment tax credits | — | 4 | ||||||
Deferred income taxes and investment tax credits | $ | 270,526 | $ | 557,085 |
In thousands | 2017 | 2016 | ||||||
Utility plant in service | $ | 2,975,217 | $ | 2,843,243 | ||||
Utility construction work in progress | 159,924 | 62,264 | ||||||
Less: Accumulated depreciation | 942,879 | 903,096 | ||||||
Utility plant, net | 2,192,262 | 2,002,411 | ||||||
Non-utility plant in service | 75,639 | 299,378 | ||||||
Non-utility construction work in progress | 4,671 | 3,931 | ||||||
Less: Accumulated depreciation | 17,598 | 44,820 | ||||||
Non-utility plant, net | 62,712 | 258,489 | ||||||
Total property, plant, and equipment | $ | 2,254,974 | $ | 2,260,900 | ||||
Capital expenditures in accrued liabilities | $ | 34,976 | $ | 9,547 |
In thousands | 2023 | 2022 | ||||||||||||
NW Natural: | ||||||||||||||
NGD plant in service | $ | 4,206,455 | $ | 3,992,676 | ||||||||||
NGD construction work in progress | 105,166 | 78,897 | ||||||||||||
Less: Accumulated depreciation | 1,159,367 | 1,115,690 | ||||||||||||
NGD plant, net | 3,152,254 | 2,955,883 | ||||||||||||
Other plant in service | 71,175 | 70,368 | ||||||||||||
Other construction work in progress | 10,963 | 6,606 | ||||||||||||
Less: Accumulated depreciation | 22,595 | 21,541 | ||||||||||||
Other plant, net | 59,543 | 55,433 | ||||||||||||
Total property, plant, and equipment | $ | 3,211,797 | $ | 3,011,316 | ||||||||||
Other (NW Holdings): | ||||||||||||||
Other plant in service | $ | 147,040 | $ | 92,979 | ||||||||||
Other construction work in progress | 15,810 | 20,040 | ||||||||||||
Less: Accumulated depreciation | 16,593 | 9,935 | ||||||||||||
Other plant, net | 146,257 | 103,084 | ||||||||||||
NW Holdings: | ||||||||||||||
Total property, plant, and equipment | $ | 3,358,054 | $ | 3,114,400 | ||||||||||
NW Natural: | ||||||||||||||
Capital expenditures in accrued liabilities | $ | 24,168 | $ | 24,584 | ||||||||||
NW Holdings: | ||||||||||||||
Capital expenditures in accrued liabilities | $ | 27,879 | $ | 25,318 |
In thousands | 2017 | 2016 | ||||||
Gas reserves, current | $ | 15,704 | $ | 15,926 | ||||
Gas reserves, non-current | 171,832 | 171,610 | ||||||
Less: Accumulated amortization | 87,779 | 71,426 | ||||||
Total gas reserves(1) | 99,757 | 116,110 | ||||||
Less: Deferred taxes on gas reserves | 22,712 | 28,119 | ||||||
Net investment in gas reserves | $ | 77,045 | $ | 87,991 |
NW Holdings | NW Natural | |||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Investments in life insurance policies | $ | 45,713 | $ | 49,358 | $ | 45,713 | $ | 49,358 | ||||||||||||||||||
Investments in gas reserves, non-current | 20,893 | 22,970 | 20,893 | 22,970 | ||||||||||||||||||||||
Investments in unconsolidated affiliates | 36,345 | 23,376 | 19,539 | 7,782 | ||||||||||||||||||||||
Total other investments | $ | 102,951 | $ | 95,704 | $ | 86,145 | $ | 80,110 |
In thousands | 2017 | 2016 | ||||||
Investments in life insurance policies | $ | 50,792 | $ | 52,719 | ||||
Investments in gas pipeline | 13,669 | 13,767 | ||||||
Other | 1,902 | 1,890 | ||||||
Total other investments | $ | 66,363 | $ | 68,376 |
In thousands | December 31, 2023 | ||||
Current assets | $ | 1,569 | |||
Property, plant and equipment | 25,974 | ||||
Goodwill | 69,890 | ||||
Non-current assets | 1,077 | ||||
Current liabilities | (991) | ||||
Non-current liabilities | (9,115) | ||||
Total net assets acquired | $ | 88,404 |
At December 31, | ||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||
Natural gas (in therms): | ||||||||||||||
Financial | 948,425 | 852,435 | ||||||||||||
Physical | 571,610 | 463,254 | ||||||||||||
Foreign exchange | $ | 11,926 | $ | 7,617 |
At December 31, | ||||||||
In thousands | 2017 | 2016 | ||||||
Natural gas (in therms): | ||||||||
Financial | 429,100 | 477,430 | ||||||
Physical | 520,268 | 535,450 | ||||||
Foreign exchange | $ | 7,669 | $ | 7,497 |
December 31, 2023 | December 31, 2022 | |||||||||||||||||||||||||
In thousands | Natural gas commodity | Foreign exchange | Natural gas commodity | Foreign exchange | ||||||||||||||||||||||
Benefit (expense) to cost of gas | $ | (131,833) | $ | 168 | $ | 119,935 | $ | (165) | ||||||||||||||||||
Operating revenues (expense) | — | — | — | — | ||||||||||||||||||||||
Amounts deferred to regulatory accounts on balance sheet | 131,833 | (168) | (119,935) | 165 | ||||||||||||||||||||||
Total gain (loss) in pre-tax earnings | $ | — | $ | — | $ | — | $ | — |
December 31, 2017 | December 31, 2016 | |||||||||||||||
In thousands | Natural gas commodity | Foreign exchange | Natural gas commodity | Foreign exchange | ||||||||||||
Benefit (expense) to cost of gas | $ | (26,000 | ) | $ | 107 | $ | 22,746 | $ | (130 | ) | ||||||
Operating revenues | (1,021 | ) | — | 995 | — | |||||||||||
Amounts deferred to regulatory accounts on balance sheet | 26,665 | (107 | ) | (23,394 | ) | 130 | ||||||||||
Total gain (loss) in pre-tax earnings | $ | (356 | ) | $ | — | $ | 347 | $ | — |
Credit Rating Downgrade Scenarios | ||||||||||||||||||||
In thousands | (Current Ratings) A+/A3 | BBB+/Baa1 | BBB/Baa2 | BBB-/Baa3 | Specul-ative | |||||||||||||||
With Adequate Assurance Calls | $ | — | $ | — | $ | — | $ | (5,428 | ) | $ | (15,422 | ) | ||||||||
Without Adequate Assurance Calls | — | — | — | (5,428 | ) | (11,594 | ) |
In millions | Notional Amount | Effective Date | Expiration Date | Fixed Rate | ||||||||||
NW Holdings | $ | 100.0 | 1/17/2023 | 3/15/2024 | 4.7 | % | ||||||||
NWN Water | $ | 55.0 | 1/19/2023 | 6/10/2026 | 3.8 | % |
In thousands | Operating leases | Capital leases | Minimum lease payments | |||||||||
2018 | $ | 5,378 | $ | 3 | $ | 5,381 | ||||||
2019 | 5,379 | — | 5,379 | |||||||||
2020 | 6,945 | — | 6,945 | |||||||||
2021 | 7,482 | — | 7,482 | |||||||||
2022 | 7,629 | — | 7,629 | |||||||||
Thereafter | 169,411 | — | 169,411 | |||||||||
Total | $ | 202,224 | $ | 3 | $ | 202,227 |
In thousands | Gas Purchase Agreements(1) | Pipeline Capacity Purchase Agreements | Pipeline Capacity Release Agreements | |||||||||||||||||
2024 | $ | 303,682 | $ | 78,907 | $ | 7,543 | ||||||||||||||
2025 | 34,457 | 81,114 | 3,455 | |||||||||||||||||
2026 | 34,586 | 66,972 | — | |||||||||||||||||
2027 | 33,830 | 67,123 | — | |||||||||||||||||
2028 | 33,980 | 63,812 | — | |||||||||||||||||
Thereafter | 208,426 | 377,175 | — | |||||||||||||||||
Total | 648,961 | 735,103 | 10,998 | |||||||||||||||||
Less: Amount representing interest | 96,491 | 183,620 | 373 | |||||||||||||||||
Total at present value | $ | 552,470 | $ | 551,483 | $ | 10,625 |
In thousands | Gas Purchase Agreements | Pipeline Capacity Purchase Agreements | Pipeline Capacity Release Agreements | |||||||||
2018 | $ | 63,944 | $ | 79,891 | $ | 3,581 | ||||||
2019 | 2,729 | 82,129 | — | |||||||||
2020 | 2,729 | 77,028 | — | |||||||||
2021 | 2,273 | 65,630 | — | |||||||||
2022 | — | 60,050 | — | |||||||||
Thereafter | — | 601,844 | — | |||||||||
Total | 71,675 | 966,572 | 3,581 | |||||||||
Less: Amount representing interest | 601 | 174,542 | 24 | |||||||||
Total at present value | $ | 71,074 | $ | 792,030 | $ | 3,557 |
Current Liabilities | Non-Current Liabilities | |||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Portland Harbor site: | ||||||||||||||||||||||||||
Gasco/Siltronic Sediments | $ | 12,428 | $ | 9,744 | $ | 42,550 | $ | 42,120 | ||||||||||||||||||
Other Portland Harbor | 3,035 | 2,634 | 11,270 | 11,270 | ||||||||||||||||||||||
Gasco/Siltronic Upland site | 16,304 | 16,067 | 34,235 | 35,457 | ||||||||||||||||||||||
Front Street site | 687 | 457 | 939 | 879 | ||||||||||||||||||||||
Oregon Steel Mills | — | — | 179 | 179 | ||||||||||||||||||||||
Total | $ | 32,454 | $ | 28,902 | $ | 89,173 | $ | 89,905 |
Current Liabilities | Non-Current Liabilities | |||||||||||||||
In thousands | 2017 | 2016 | 2017 | 2016 | ||||||||||||
Portland Harbor site: | ||||||||||||||||
Gasco/Siltronic Sediments | $ | 2,683 | $ | 869 | $ | 45,346 | $ | 43,972 | ||||||||
Other Portland Harbor | 1,949 | 1,970 | 4,163 | 4,148 | ||||||||||||
Gasco/Siltronic Upland site | 13,422 | 10,657 | 47,835 | 49,183 | ||||||||||||
Central Service Center site | 25 | 73 | — | — | ||||||||||||
Front Street site | 1,009 | 906 | 10,757 | 7,786 | ||||||||||||
Oregon Steel Mills | — | — | 179 | 179 | ||||||||||||
Total | $ | 19,088 | $ | 14,475 | $ | 108,280 | $ | 105,268 |
In thousands | 2023 | 2022 | ||||||||||||
Deferred costs and interest(1) | $ | 57,758 | $ | 47,666 | ||||||||||
Accrued site liabilities(2) | 121,575 | 118,763 | ||||||||||||
Insurance proceeds and interest | (50,764) | (54,784) | ||||||||||||
Total regulatory asset deferral(1) | 128,569 | 111,645 | ||||||||||||
Current regulatory assets(3) | 9,950 | 7,392 | ||||||||||||
Long-term regulatory assets(3) | 118,619 | 104,253 |
In thousands | 2017 | 2016 | ||||||
Deferred costs and interest (1) | $ | 45,546 | $ | 53,039 | ||||
Accrued site liabilities (2) | 126,950 | 119,443 | ||||||
Insurance proceeds and interest | (94,170 | ) | (98,523 | ) | ||||
Total regulatory asset deferral(1) | $ | 78,326 | $ | 73,959 | ||||
Current regulatory assets(3) | 6,198 | 9,989 | ||||||
Long-term regulatory assets(3) | 72,128 | 63,970 |
Year Ended December 31, | ||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | |||||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operations and maintenance | $ | 5,145 | $ | 3,828 | $ | 4,837 | ||||||||||||||
Total operating expenses | 5,145 | 3,828 | 4,837 | |||||||||||||||||
Loss from operations | (5,145) | (3,828) | (4,837) | |||||||||||||||||
Earnings from investment in subsidiaries, net of tax | 106,267 | 92,727 | 83,072 | |||||||||||||||||
Other income (expense), net | (1,156) | 60 | (143) | |||||||||||||||||
Interest expense, net | 10,022 | 4,967 | 982 | |||||||||||||||||
Income before income taxes | 89,944 | 83,992 | 77,110 | |||||||||||||||||
Income tax benefit | (3,924) | (2,311) | (1,556) | |||||||||||||||||
Net income | 93,868 | 86,303 | 78,666 | |||||||||||||||||
Other comprehensive income (loss) from subsidiaries, net of tax | (868) | 5,108 | 1,498 | |||||||||||||||||
Unrealized gain on interest rate swap, net of tax | 104 | 11 | — | |||||||||||||||||
Comprehensive income | $ | 93,104 | $ | 91,422 | $ | 80,164 |
As of December 31, | ||||||||||||||||||||
In thousands | 2023 | 2022 | ||||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 1,011 | $ | 7,280 | ||||||||||||||||
Receivables from affiliates | 15,596 | 9,967 | ||||||||||||||||||
Other current assets | 4,160 | 2,895 | ||||||||||||||||||
Total current assets | 20,767 | 20,142 | ||||||||||||||||||
Non-current assets: | ||||||||||||||||||||
Investments in subsidiaries | 1,456,449 | 1,357,599 | ||||||||||||||||||
Other investments | 32 | 14 | ||||||||||||||||||
Deferred tax assets | 513 | 520 | ||||||||||||||||||
Other non-current assets | 367 | 486 | ||||||||||||||||||
Total non-current assets | 1,457,361 | 1,358,619 | ||||||||||||||||||
Total assets | $ | 1,478,128 | $ | 1,378,761 | ||||||||||||||||
Liabilities and equity: | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Short-term debt | $ | 73,000 | $ | 88,000 | ||||||||||||||||
Current maturities of long-term debt | 99,992 | — | ||||||||||||||||||
Accounts payable | 968 | 402 | ||||||||||||||||||
Payables to affiliates | 19,897 | 14,665 | ||||||||||||||||||
Other current liabilities | 433 | 295 | ||||||||||||||||||
Total current liabilities | 194,290 | 103,362 | ||||||||||||||||||
Long-term debt | — | 99,958 | ||||||||||||||||||
Total equity | 1,283,838 | 1,175,441 | ||||||||||||||||||
Total liabilities and equity | $ | 1,478,128 | $ | 1,378,761 |
Year Ended December 31, | ||||||||||||||||||||||||||||||||
In thousands | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||
Operating activities: | ||||||||||||||||||||||||||||||||
Net income | $ | 93,868 | $ | 86,303 | $ | 78,666 | ||||||||||||||||||||||||||
Adjustments to reconcile net income to cash used in operations: | ||||||||||||||||||||||||||||||||
Equity in earnings of subsidiaries, net of tax | (106,267) | (92,727) | (83,072) | |||||||||||||||||||||||||||||
Cash dividends received from subsidiaries | 92,375 | 62,710 | 56,057 | |||||||||||||||||||||||||||||
Deferred income taxes | (31) | (141) | (212) | |||||||||||||||||||||||||||||
Other | 164 | 142 | 119 | |||||||||||||||||||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||||||||||||||
Receivables from affiliates | (5,629) | (7,787) | 12,558 | |||||||||||||||||||||||||||||
Income and other taxes | (491) | 8,161 | 1,299 | |||||||||||||||||||||||||||||
Accounts payable | 6,314 | (2,499) | 3,342 | |||||||||||||||||||||||||||||
Interest accrued | 103 | 156 | 57 | |||||||||||||||||||||||||||||
Other, net | (380) | (211) | (313) | |||||||||||||||||||||||||||||
Cash provided by operating activities | 80,026 | 54,107 | 68,501 | |||||||||||||||||||||||||||||
Investing activities: | ||||||||||||||||||||||||||||||||
Contributions to subsidiaries | (76,310) | (241,497) | (142,405) | |||||||||||||||||||||||||||||
Return of capital from subsidiaries | 3,350 | — | 26,000 | |||||||||||||||||||||||||||||
Cash used in investing activities | (72,960) | (241,497) | (116,405) | |||||||||||||||||||||||||||||
Financing activities: | ||||||||||||||||||||||||||||||||
Proceeds from common stock issued, net | 66,495 | 208,561 | 17,501 | |||||||||||||||||||||||||||||
Long-term debt issued | — | 100,000 | — | |||||||||||||||||||||||||||||
Changes in other short-term debt, net | (15,000) | (56,000) | 71,000 | |||||||||||||||||||||||||||||
Cash dividend payments on common stock | (67,340) | (62,771) | (55,919) | |||||||||||||||||||||||||||||
Other | 2,510 | 4,615 | 4,320 | |||||||||||||||||||||||||||||
Cash (used in) provided by financing activities | (13,335) | 194,405 | 36,902 | |||||||||||||||||||||||||||||
(Decrease) increase in cash and cash equivalents | (6,269) | 7,015 | (11,002) | |||||||||||||||||||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 7,280 | 265 | 11,267 | |||||||||||||||||||||||||||||
Cash, cash equivalents and restricted cash, end of period | $ | 1,011 | $ | 7,280 | $ | 265 |
Quarter ended | ||||||||||||||||
In thousands, except per share data | March 31 | June 30 | September 30 | December 31 | ||||||||||||
2017 | ||||||||||||||||
Operating revenues | $ | 297,323 | $ | 136,238 | $ | 88,190 | $ | 240,422 | ||||||||
Net income (loss) | 40,310 | 2,729 | (8,495 | ) | (90,167 | ) | ||||||||||
Basic earnings (loss) per share(1) | 1.41 | 0.10 | (0.30 | ) | (3.14 | ) | ||||||||||
Diluted earnings (loss) per share(1) | 1.40 | 0.10 | (0.30 | ) | (3.14 | ) | ||||||||||
2016 | ||||||||||||||||
Operating revenues | $ | 255,529 | $ | 99,183 | $ | 87,727 | $ | 233,528 | ||||||||
Net income (loss) | 36,641 | 2,019 | (8,040 | ) | 28,275 | |||||||||||
Basic earnings (loss) per share(1) | 1.33 | 0.07 | (0.29 | ) | 1.01 | |||||||||||
Diluted earnings (loss) per share(1) | 1.33 | 0.07 | (0.29 | ) | 1.00 |
COLUMN A | COLUMN B | COLUMN C | COLUMN D | COLUMN E | ||||||||||||||||||||||||||||
Additions | Deductions | |||||||||||||||||||||||||||||||
In thousands (year ended December 31) | Balance at beginning of period | Charged to costs and expenses | Charged to other accounts | Net write-offs | Balance at end of period | |||||||||||||||||||||||||||
2023 | ||||||||||||||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts | $ | 3,296 | $ | 2,869 | $ | 263 | $ | 2,973 | $ | 3,455 | ||||||||||||||||||||||
2022 | ||||||||||||||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts | $ | 2,018 | $ | 1,081 | $ | 1,810 | $ | 1,613 | $ | 3,296 | ||||||||||||||||||||||
2021 | ||||||||||||||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts | $ | 3,219 | $ | 724 | $ | (219) | $ | 1,706 | $ | 2,018 |
COLUMN A | COLUMN B | COLUMN C | COLUMN D | COLUMN E | ||||||||||||||||||||||||||||
Additions | Deductions | |||||||||||||||||||||||||||||||
In thousands (year ended December 31) | Balance at beginning of period | Charged to costs and expenses | Charged to other accounts | Net write-offs | Balance at end of period | |||||||||||||||||||||||||||
2023 | ||||||||||||||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts | $ | 3,079 | $ | 2,859 | $ | 263 | $ | 2,973 | $ | 3,228 | ||||||||||||||||||||||
2022 | ||||||||||||||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts | $ | 1,962 | $ | 920 | $ | 1,810 | $ | 1,613 | $ | 3,079 | ||||||||||||||||||||||
2021 | ||||||||||||||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||||||||||||||
Allowance for uncollectible accounts | $ | 3,107 | $ | 780 | $ | (219) | $ | 1,706 | $ | 1,962 |
COLUMN A | COLUMN B | COLUMN C | COLUMN D | COLUMN E | ||||||||||||||||
Additions | Deductions | |||||||||||||||||||
In thousands (year ended December 31) | Balance at beginning of period | Charged to costs and expenses | Charged to other accounts | Net write-offs | Balance at end of period | |||||||||||||||
2017 | ||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||
Allowance for uncollectible accounts | $ | 1,290 | $ | 865 | $ | — | $ | 1,199 | $ | 956 | ||||||||||
2016 | ||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||
Allowance for uncollectible accounts | $ | 870 | $ | 1,246 | $ | — | $ | 826 | $ | 1,290 | ||||||||||
2015 | ||||||||||||||||||||
Reserves deducted in balance sheet from assets to which they apply: | ||||||||||||||||||||
Allowance for uncollectible accounts | $ | 969 | $ | 760 | $ | — | $ | 859 | $ | 870 |
EXECUTIVE OFFICERS | |||||||||||||||
Name | |||||||||||||||
Age at Dec. 31, | Positions held during last five years(1) | ||||||||||||||
David H. | 62 | Chief Executive Officer (2023- ); President and | |||||||||||||
Frank H. Burkhartsmeyer* | 59 | Senior Vice President and Chief Financial Officer | |||||||||||||
54 | |||||||||||||||
Vice President and Chief Information Officer (2017- ); Chief Information Officer, WorleyParsons (America's Division) (2016-2017); Executive Service Delivery Manager for SAP, British Petroleum (2011-2015). | |||||||||||||||
Shawn M. Filippi* | 51 | Vice President, Chief Compliance Officer and Corporate Secretary(2) (2016- ); Vice President and Corporate Secretary (2015-2016); Senior Legal Counsel (2011-2014); Assistant Corporate Secretary (2010-2014). | |||||||||||||
Jon G. Huddleston | 61 | Vice President, Engineering and Utility Operations (2018- 2023 ); Senior Director, Utility Operations (2014-2018); Director, Utility Operations (2013-2014); Process Director (2007-2013). | |||||||||||||
Joseph S. Karney | 45 | Vice President, Engineering and Utility Operations (2023- ); Senior Director, Utility Operations (2021-2023); Senior Engineering Director (2019-2021); Engineering Director (2017-2019); Compliance Senior Manager (2015-2017). | |||||||||||||
Zachary D. Kravitz | 40 | Vice President, Rates and Regulatory (2022- ); Senior Director, Rates and Regulatory (2021-2022); Director, Rates and Regulatory (2018-2021); Regulatory Attorney (2014-2018). | |||||||||||||
Justin B. Palfreyman* | 45 | President (2023- ); President, NW Natural RNG Holding Company, LLC (2021- ); Senior Vice President, Strategy and Business Development, NW Natural Gas Company (2023); Vice President, Strategy and Business Development (2017-2023); President, NW Natural Water, LLC (2018- ); Vice President, Business Development (2016-2017); Director, Power, Energy and Infrastructure Group, Lazard, Freres & Co. (2009-2016). | |||||||||||||
Melinda B. Rogers | 58 | Vice President, Chief Human Resources and Diversity Officer (2018- ); Senior Director of Human Resources (2018); Senior Manager, Organizational Effectiveness and Talent Acquisition (2015-2017); Senior Associate, Point B (2014-2015); Director, Executive Development Center, Willamette University (2011-2014). | |||||||||||||
Kimberly | 54 | Senior Vice President and Chief Operating Officer (2023- ); Senior Vice President, Operations and Chief Marketing Officer (2018-2023); Senior Vice President, Communications and Chief Marketing Officer | |||||||||||||
MardiLyn | 67 | Senior Vice President, Regulation and General Counsel | |||||||||||||
David A. Weber | 64 | Vice President, Gas Supply and Utility Support Services (2019- ); President and Chief Executive Officer, NW Natural Gas Storage, LLC |
48 | Vice President, Chief Public Affairs and Sustainability Officer (2023- ); Vice President, Public Affairs and Sustainability (2020-2023); Vice President, Public Affairs (2019-2020); Government and Community Affairs Director (2018-2019); State Affairs Manager, Port of Portland (2015-2018); Business and Rail Relations Manager, Port of Portland (2007-2015). | |||||||||||||
Brody J. Wilson* | 44 | Chief Financial |
DIRECTOR (NORTHWEST NATURAL GAS COMPANY ONLY)** | ||||||||||||||
Name | Age at Dec. 31, 2023 | |||||||||||||
71 | Executive Vice President, |
Mr. Wynne’s senior management experience with a variety of companies, board service on a number of public and |
(a) | (b) | (c) | ||||||||||||||||||
Plan Category | Number of securities to be issued upon exercise of outstanding options, warrants and rights | Weighted-average exercise price of outstanding options, warrants and rights | Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) | |||||||||||||||||
Equity compensation plans approved by security holders: | ||||||||||||||||||||
Long Term Incentive Plan (LTIP) (1)(2) | 247,186 | n/a | 180,755 | |||||||||||||||||
Employee Stock Purchase Plan | 50,120 | $ | 32.06 | 256,637 | ||||||||||||||||
Equity compensation plans not approved by security holders: | ||||||||||||||||||||
Executive Deferred Compensation Plan (EDCP)(3) | 705 | n/a | n/a | |||||||||||||||||
Directors Deferred Compensation Plan (DDCP)(3) | 28,849 | n/a | n/a | |||||||||||||||||
Deferred Compensation Plan for Directors and Executives (DCP)(4) | 210,708 | n/a | n/a | |||||||||||||||||
Total | 537,568 | 437,392 |
(a) | (b) | (c) | ||||||||
Plan Category | Number of securities to be issued upon exercise of outstanding options, warrants and rights | Weighted-average exercise price of outstanding options, warrants and rights | Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) | |||||||
Equity compensation plans approved by security holders: | ||||||||||
LTIP (1)(2) | 171,995 | n/a | 626,960 | |||||||
Restated Stock Option Plan | 91,688 | $ | 44.43 | — | ||||||
Employee Stock Purchase Plan | 22,804 | 56.53 | 37,857 | |||||||
Equity compensation plans not approved by security holders: | ||||||||||
Executive Deferred Compensation Plan (EDCP)(3) | 1,132 | n/a | n/a | |||||||
Directors Deferred Compensation Plan (DDCP)(3) | 42,936 | n/a | n/a | |||||||
Deferred Compensation Plan for Directors and Executives (DCP)(4) | 176,265 | n/a | n/a | |||||||
Total | 506,820 | 664,817 |
In thousands | 2023 | 2022 | ||||||||||||
Audit Fees | $ | 1,540 | $ | 1,518 | ||||||||||
Audit-Related Fees | 37 | 477 | ||||||||||||
Tax Fees | 22 | 23 | ||||||||||||
All Other Fees | 2 | 4 | ||||||||||||
Total | $ | 1,601 | $ | 2,022 |
*3a. | |||||
*3b. | |||||
*3c. | |||||
3d. | |||||
*4b. | |||||
*4c. | |||||
*4d. | |||||
*4e. | |||||
* | |||||
*4g. | |||||
*4h. | |||||
* | Copy of Indenture, dated as of June 1, 1991, between | ||||
4j. | |||||
*4k. | |||||
*4l. | |||||
*4m. | |||||
*4n. | |||||
* | |||||
*4p. | |||||
4q. | |||||
4r. | |||||
21 | |||||
23a. | |||||
23b. | |||||
31.1 | |||||
31.3 | |||||
31.4 | |||||
**32.1 | |||||
**32.2 | |||||
97 | |||||
101 | The following materials formatted in Inline Extensible Business Reporting Language (Inline XBRL): (i) Consolidated Statements of Income; (ii) Consolidated Balance Sheets; (iii) Consolidated Statements of Cash Flows; and (iv) Related notes. | ||||
104 | The cover page from the Company's Annual Report on Form 10-K for the year ended December 31, 2023, formatted in Inline XBRL and contained in Exhibit 101. | ||||
Executive Compensation Plans and Arrangements: | |||||
10g. | |||||
10h. | |||||
10i. | |||||
10j. | |||||
10k. | |||||
10l. | |||||
10m. | |||||
*10n. | |||||
*10o. | |||||
10q. | |||||
*10r. | |||||
10s. | |||||
10t. | |||||
*10u. | |||||
*10v. | |||||
* | |||||
10x. | |||||
*10y. | |||||
10z. | |||||
*10aa. | |||||
10bb. | |||||
10cc. | |||||
*10dd. | |||||
* | |||||
*10ff. | |||||
10gg. | |||||
Signature | Title | Date | ||||||||||
/s/ David H. Anderson | Principal Executive Officer and Director | February 23, | ||||||||||
David H. Anderson Chief Executive Officer | ||||||||||||
/s/ Brody J. Wilson | Principal Financial Officer and Principal Accounting Officer | February 23, | ||||||||||
Brody J. Wilson Chief Financial Officer, Chief Accounting Officer, | ||||||||||||
/s/ Timothy P. Boyle | Director | ) | ||||||||||
Timothy P. Boyle | ) | |||||||||||
) | ||||||||||||
/s/ | Director | ) | ||||||||||
) | ||||||||||||
) | ||||||||||||
/s/ | Director | ) | ||||||||||
) | ||||||||||||
) | ||||||||||||
/s/ | Director | ) | ||||||||||
) | ||||||||||||
) | ||||||||||||
/s/ Sandra McDonough | Director | February 23, | ||||||||||
) | ||||||||||||
) | ||||||||||||
/s/ Nathan I. Partain | Director | ) | ||||||||||
) | ||||||||||||
) | ||||||||||||
/s/ Jane L. Peverett | Director | ) | ||||||||||
Jane L. Peverett | ) | |||||||||||
) | ||||||||||||
/s/ Kenneth Thrasher | Director | ) | ||||||||||
Kenneth Thrasher | ) | |||||||||||
) | ||||||||||||
/s/ Malia H. Wasson | Director | ) | ||||||||||
Malia H. Wasson | ) | |||||||||||
) | ||||||||||||
/s/ Charles A. Wilhoite | Director | ) | ||||||||||
Charles A. Wilhoite | ) |
Signature | Title | Date | |||||||||
/s/ David H. Anderson | Principal Executive Officer and Director | February 23, 2024 | |||||||||
David H. Anderson Chief Executive Officer | |||||||||||
/s/ Brody J. Wilson | Principal Financial Officer and Principal Accounting Officer | February 23, 2024 | |||||||||
Brody J. Wilson Chief Financial Officer, Chief Accounting Officer, Vice President, Treasurer | |||||||||||
/s/ Timothy P. Boyle | Director | ) | |||||||||
Timothy P. Boyle | ) | ||||||||||
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/s/ Monica Enand | Director | ) | |||||||||
Monica Enand | ) | ||||||||||
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/s/ Karen Lee | Director | ) | |||||||||
Karen Lee | ) | ||||||||||
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/s/ Dave McCurdy | Director | ) | |||||||||
Dave McCurdy | ) | ||||||||||
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/s/ Sandra McDonough | Director | February 23, 2024 | |||||||||
Sandra McDonough | ) | ||||||||||
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/s/ Nathan I. Partain | Director | ) | |||||||||
Nathan I. Partain | ) | ||||||||||
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/s/ Jane L. Peverett | Director | ) | |||||||||
Jane L. Peverett | ) | ||||||||||
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/s/ Kenneth Thrasher | Director | ) | |||||||||
Kenneth Thrasher | ) | ||||||||||
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/s/ Malia H. Wasson | Director | ) | |||||||||
Malia H. Wasson | ) | ||||||||||
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/s/ Charles A. Wilhoite | Director | ) | |||||||||
Charles A. Wilhoite | ) | ||||||||||
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/s/ Steven E. Wynne | Director | ) | |||||||||
Steven E. Wynne | ) |