Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 31, 2015 | |
Entity Information [Line Items] | ||
Entity Registrant Name | CONNECTICUT WATER SERVICE INC / CT | |
Entity Central Index Key | 276,209 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 11,168,731 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
ASSETS | ||
Utility Plant | $ 697,560 | $ 685,654 |
Construction Work in Progress | 12,150 | 9,304 |
Gross Utility Plant | 709,710 | 694,958 |
Accumulated Provision for Depreciation | (194,343) | (188,019) |
Net Utility Plant | 515,367 | 506,939 |
Other Property and Investments | 8,487 | 8,271 |
Cash and Cash Equivalents | 3,065 | 2,475 |
Accounts Receivable (Less Allowance, 2015 - $1,034; 2014 - $1,202) | 11,457 | 11,971 |
Accrued Unbilled Revenues | 9,400 | 8,283 |
Materials and Supplies | 1,816 | 1,486 |
Prepayments and Other Current Assets | 9,966 | 11,953 |
Total Current Assets | 35,704 | 36,168 |
Restricted Cash | 234 | 0 |
Unamortized Debt Issuance Expense | 6,042 | 6,292 |
Unrecovered Income Taxes - Regulatory Asset | 71,416 | 57,331 |
Pension Benefits - Regulatory Asset | 14,661 | 13,713 |
Post-Retirement Benefits Other Than Pension - Regulatory Asset | 2,601 | 2,626 |
Goodwill | 30,427 | 31,685 |
Deferred Charges and Other Costs | 8,862 | 8,164 |
Total Regulatory and Other Long-Term Assets | 134,243 | 119,811 |
Total Assets | 693,801 | 671,189 |
CAPITALIZATION AND LIABILITIES | ||
Common Stock Without Par Value: Authorized - 25,000,000 Shares - Issued and Outstanding: 2015 - 11,167,637; 2014 - 11,124,630 | 142,382 | 141,684 |
Retained Earnings (Accumulated Deficit) | 75,386 | 69,370 |
Accumulated Other Comprehensive Loss | (1,582) | (1,603) |
Common Stockholders' Equity | 216,186 | 209,451 |
Preferred Stock | 772 | 772 |
Long-Term Debt | 177,302 | 176,601 |
Total Capitalization | 394,260 | 386,824 |
Debt, Current | 2,469 | 2,457 |
Interim Bank Loans Payable | 3,718 | 1,991 |
Accounts Payable and Accrued Expenses | 9,164 | 10,019 |
Accrued Interest | 718 | 693 |
Customer Refund Liability, Current | 6,458 | 6,079 |
Other Current Liabilities | 2,378 | 2,383 |
Total Current Liabilities | 24,905 | 23,622 |
Advances for Construction | 24,809 | 26,718 |
Deferred Federal and State Income Taxes | 49,502 | 53,322 |
Unfunded Future Income Taxes | 68,490 | 56,919 |
Long-Term Compensation Arrangements | 37,496 | 35,748 |
Unamortized Investment Tax Credits | 1,301 | 1,339 |
Refund to Customers - Regulatory Liability | 5,158 | 1,550 |
Other Long-Term Liabilities | 965 | 776 |
Total Long-Term Liabilities | 187,721 | 176,372 |
Contributions in Aid of Construction | 86,915 | 84,371 |
Commitments and Contingencies | 0 | 0 |
Total Capitalization and Liabilities | $ 693,801 | $ 671,189 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ / shares in Thousands, $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Issued | 11,167,637 | 11,124,630 |
Outstanding | 11,167,637 | 11,124,630 |
ASSETS | ||
Allowance | $ 1,034 | $ 1,202 |
Capitalization, Long-term Debt and Equity [Abstract] | ||
Common Stock, No Par Value | $ 0 | $ 0 |
Common Stock, Shares Authorized | 25,000,000 | 25,000,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Operating Revenues | $ 26,624 | $ 25,459 | $ 46,654 | $ 45,719 |
Operating Expenses | ||||
Operation and Maintenance | 11,179 | 10,503 | 22,503 | 21,170 |
Depreciation | 3,161 | 2,838 | 6,297 | 5,646 |
Income Taxes | 453 | 1,840 | (488) | 2,334 |
Taxes Other Than Income Taxes | 2,082 | 2,001 | 4,428 | 4,388 |
Total Operating Expenses | 16,875 | 17,182 | 32,740 | 33,538 |
Net Operating Revenues | 9,749 | 8,277 | 13,914 | 12,181 |
Other Utility Income, Net of Taxes | 205 | 202 | 360 | 387 |
Total Utility Operating Income | 9,954 | 8,479 | 14,274 | 12,568 |
Other Income (Deductions), Net of Taxes | ||||
Non-Water Sales Earnings | 375 | 398 | 744 | 831 |
Allowance for Funds Used During Construction | 108 | 169 | 198 | 267 |
Other | (104) | 51 | (111) | 69 |
Total Other Income, Net of Taxes | 379 | 618 | 831 | 1,167 |
Interest and Debt Expense | ||||
Interest on Long-Term Debt | 1,763 | 1,768 | 3,537 | 3,519 |
Interest Income (Expense), Net | (132) | (164) | (264) | (322) |
Amortization of Debt Expense | 27 | 3 | 54 | 62 |
Total Interest and Debt Expense | 1,658 | 1,607 | 3,327 | 3,259 |
Net Income | 8,675 | 7,490 | 11,778 | 10,476 |
Preferred Stock Dividend Requirement | 10 | 10 | 19 | 19 |
Net Income Applicable to Common Stock | $ 8,665 | $ 7,480 | $ 11,759 | $ 10,457 |
Weighted Average Common Shares Outstanding: | ||||
Basic (in shares) | 10,957,571 | 10,886,883 | 10,941,043 | 10,877,883 |
Diluted (in shares) | 11,156,798 | 11,085,061 | 11,150,583 | 11,073,258 |
Earnings Per Common Share: | ||||
Basic (in dollars per share) | $ 0.79 | $ 0.69 | $ 1.07 | $ 0.96 |
Diluted (in dollars per share) | 0.77 | 0.67 | 1.05 | 0.94 |
Dividends Per Common Share (in dollars per share) | $ 0.2575 | $ 0.2475 | $ 0.5150 | $ 0.4950 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Net Income | $ 8,675 | $ 7,490 | $ 11,778 | $ 10,476 |
Other Comprehensive Income, net of tax | ||||
Reclassification to Pension and Post-Retirement Benefits Other Than Pension, net of tax benefit (expense) of $24 and $(37) for the three months ended June 30, 2015 and 2014, respectively, and $(61) and $(26) for the six months ended June 30, 2015 and 2014 | (28) | 61 | 69 | 122 |
Unrealized gain (loss) on investments, net of tax (expense) benefit of $39 and $(26) for the three months ended June 30, 2015 and 2014, respectively, and of $31 and $(24) for the six months ended June 30, 2015 and 2014, respectively | (62) | 41 | (48) | 38 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (90) | 102 | 21 | 160 |
Comprehensive Income | $ 8,585 | $ 7,592 | $ 11,799 | $ 10,636 |
CONSOLIDATED STATEMENTS OF COM6
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Other Comprehensive Income, net of tax | ||||
Reclassification to Pension and Post-Retirement Benefits Plans, net of tax (expense) benefit of | $ (24) | $ 13 | $ 61 | $ 26 |
Unrealized Investment loss, net of tax expense of | $ 39 | $ (26) | $ 31 | $ (24) |
CONSOLIDATED STATEMENTS OF RETA
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Balance at Beginning of Period | $ 69,595 | $ 59,519 | $ 69,370 | $ 59,277 |
Net Income | 8,675 | 7,490 | 11,778 | 10,476 |
Retained Earnings before Dividends | 78,270 | 67,009 | 81,148 | 69,753 |
Dividends Declared: | ||||
Cumulative Preferred, Class A, $0.20 per share for the three months ended June 30, 2015 and 2014, respectively, and $0.40 per share for the six months ended June 30, 2015 and 2014, respectively | 10 | 10 | 19 | 19 |
Common Stock - $0.2575 per share and $0.2425 per share for the three months ended June 30, 2015 and 2014, respectively, and $0.5150 per share and $0.4950 per share for the six months ended June 30, 2015 and 2014, respectively | 2,874 | 2,740 | 5,743 | 5,475 |
Total Dividends Declared | 2,884 | 2,750 | 5,762 | 5,494 |
Balance at End of Period | 75,386 | 64,259 | 75,386 | 64,259 |
Series A Voting | ||||
Dividends Declared: | ||||
Cumulative Preferred, Class A, $0.20 per share for the three months ended June 30, 2015 and 2014, respectively, and $0.40 per share for the six months ended June 30, 2015 and 2014, respectively | 3 | 3 | 6 | 6 |
Cumulative Preferred Stock | ||||
Dividends Declared: | ||||
Cumulative Preferred, Class A, $0.20 per share for the three months ended June 30, 2015 and 2014, respectively, and $0.40 per share for the six months ended June 30, 2015 and 2014, respectively | $ 7 | $ 7 | $ 13 | $ 13 |
CONSOLIDATED STATEMENTS OF RET8
CONSOLIDATED STATEMENTS OF RETAINED EARNINGS (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Dividends Declared: | ||||
Common Stock (in dollars per share) | $ 0.2575 | $ 0.2475 | $ 0.5150 | $ 0.4950 |
Cumulative Preferred Stock | ||||
Dividends Declared: | ||||
Preferred Stock (in dollars per share) | 0.225 | 0.225 | 0.450 | 0.450 |
Series A Voting | ||||
Dividends Declared: | ||||
Preferred Stock (in dollars per share) | $ 0.20 | $ 0.20 | $ 0.40 | $ 0.40 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Net Additions to Utility Plant Used in Continuing Operations | $ 14,238 | $ 17,458 |
Operating Activities: | ||
Net Income | 11,778 | 10,476 |
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | ||
Deferred Revenues | (2,344) | (2,673) |
Provision for Deferred Income Taxes and Investment Tax Credits, Net | (6,341) | 2,433 |
Allowance for Funds Used During Construction | (198) | (267) |
Depreciation (including $387 and $500 in 2015 and 2014, respectively, charged to other accounts) | 6,684 | 6,146 |
Change in Assets and Liabilities: | ||
Increase in Accounts Receivable and Accrued Unbilled Revenues | (603) | (763) |
Increase in Prepayments and Other Current Assets | 1,626 | (2,346) |
(Increase) Decrease in Other Non-Current Items | 7,279 | 554 |
Increase in Accounts Payable, Accrued Expenses and Other Current Liabilities | (576) | (10) |
Total Adjustments | 5,527 | 3,074 |
Net Cash and Cash Equivalents Provided by Operating Activities | 17,305 | 13,550 |
Investing Activities: | ||
Release of restricted cash | 0 | 1,395 |
Net Cash and Cash Equivalents Used in Investing Activities | (14,238) | (16,063) |
Financing Activities: | ||
Proceeds from Interim Bank Loans | 3,718 | 0 |
Repayment of Interim Bank Loans | (1,991) | 0 |
Proceeds from the Issuance of Long-Term Debt | 1,630 | 0 |
Proceeds from Issuance of Common Stock | 753 | 886 |
Costs to Issue Long-Term Debt and Common Stock | (5) | 0 |
Repayment of Long-Term Debt Including Current Portion | (943) | (793) |
Advances from Others for Construction | 123 | 136 |
Cash Dividends Paid | (5,762) | (5,494) |
Net Cash and Cash Equivalents (Used in) Provided by Financing Activities | (2,477) | (5,265) |
Net (Decrease) Increase in Cash and Cash Equivalents | 590 | (7,778) |
Cash and Cash Equivalents at Beginning of Period | 2,475 | 18,371 |
Cash and Cash Equivalents at End of Year | 3,065 | 10,593 |
Non-Cash Investing and Financing Activities: | ||
Non-Cash Contributed Utility Plant | 616 | 412 |
Short-term Investment of Bond Proceeds Held in Restricted Cash | 234 | |
Cash Paid for: | ||
Interest | 3,356 | 3,313 |
State and Federal Income Taxes | $ 360 | $ 1,135 |
CONSOLIDATED STATEMENTS OF CA10
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | ||
Depreciation charged to other accounts | $ 387 | $ 500 |
Basis of Preparation of Financi
Basis of Preparation of Financials | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. Basis of Preparation of Financials The condensed consolidated financial statements included herein have been prepared by Connecticut Water Service, Inc. (the “Company”) and its wholly-owned subsidiaries, pursuant to the rules and regulations of the Securities and Exchange Commission and reflect all adjustments that are of a normal recurring nature which are, in the opinion of management, necessary to a fair statement of the results for interim periods. Certain information and footnote disclosures have been omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. The Company’s primary operating subsidiaries are: The Connecticut Water Company (“Connecticut Water”) and The Maine Water Company (“Maine Water”). The Biddeford & Saco Water Company (“BSWC”) was merged with and into Maine Water, with Maine Water remaining as the surviving entity, effective January 1, 2014. The Condensed Consolidated Balance Sheet at December 31, 2014 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. It is suggested that these condensed consolidated financial statements be read in conjunction with the financial statements and the notes thereto included in the Company’s latest Annual Report on Form 10-K for the year ended December 31, 2014 (the “10-K”) and as updated in the Company’s Quarterly Report on Form 10-Q for the period ending March 31, 2015. The results for interim periods are not necessarily indicative of results to be expected for the year since the consolidated earnings are subject to seasonal factors. Regulatory Matters The rates we charge our water customers in Connecticut and Maine are established under the jurisdiction of and are approved by the Connecticut Public Utilities Regulatory Authority (“PURA”) and the Maine Public Utilities Commission (“MPUC”), respectively. It is our policy to seek rate relief as necessary to enable us to achieve an adequate rate of return. Connecticut Water’s allowed return on equity and return on rate base, effective June 30, 2015 were 9.75% and 7.32% , respectively. Maine Water’s average allowed return on equity and return on rate base, effective June 30, 2015 were 9.50% and 7.96% , respectively. The PURA establishes rates in Connecticut on a company-wide basis while the MPUC approves Maine Water’s rates on a division-by-division basis. In September 2014, Maine Water and the Coastal Mountain Land Trust entered into a Letter of Intent for the sale and donation of a conservation easement on 1,300 acres of watershed land in the Camden and Rockland Division. The Letter of Intent contained three primary conditions: (1) MPUC approval for the accounting of the transaction in a manner acceptable to Maine Water, followed by (2) bondholder/trustee approval and (3) approval by the board of directors. Coastal Mountain Land Trust has a condition of having to raise the necessary funds in two parts - which is currently expected to be during 2017 and in 2019. In November 2014, Maine Water filed a request with the MPUC for the accounting treatment of the estimated $1.2 million net gain/tax benefits and in May 2015, Maine Water and the Office of the Public Advocate reached a settlement agreement where these benefits would be shared equally between shareholder and customers of the Camden and Rockland Division. An additional provision was agreed upon that extended an existing rate stay-out period for this division through July 1, 2017. The MPUC approved the settlement agreement through its Order dated July 10, 2015. Connecticut Rates Effective April 1, 2014, in accordance with a settlement agreement with the Office of the Consumer Counsel of the State of Connecticut (the “OCC”) and the Office of the Attorney General for the State of Connecticut, Connecticut Water’s cumulative Water Infrastructure Conservation Adjustment (“WICA”) surcharge of 7.89% was rolled into base rates charged to customers. On July 29, 2014, Connecticut Water filed a WICA application with the PURA requesting a 1.59% surcharge to customers’ bills, representing approximately $12.7 million in WICA related projects. On September 26, 2014, the PURA approved the 1.59% surcharge with the new rates becoming effective on October 1, 2014. On January 28, 2015, Connecticut Water filed a WICA application with the PURA requesting a 1.35% surcharge to customers' bills, representing approximately $11.2 million in WICA related projects. On February 23, 2015, Connecticut Water filed for a 0.10% reconciliation adjustment for the 2014 shortfall in WICA. On March 25 and 27, 2015, the PURA approved the reconciliation adjustment and the WICA application, respectively. Effective April 1, 2015, the cumulative WICA surcharge is now 3.04%. On July 24, 2015, Connecticut Water filed a WICA application with the PURA requesting a 1.15% surcharge to customers' bills, representing approximately $6.2 million in WICA related projects. If approved as filed, a cumulative WICA surcharge of 4.19% will be added to customer bills beginning on October 1, 2015. On June 5, 2013, Connecticut’s General Assembly passed Public Act 13-78, “An Act Concerning Water Infrastructure and Conservation, Municipal Reporting Requirements and Unpaid Utility Accounts at Multi-Family Dwellings” (“PA 13-78”), which authorized a Water Revenue Adjustment (“WRA”) to reconcile actual water demands with the demands projected in the last general rate case and allows companies to adjust rates as necessary to recover the revenues approved by PURA in the last general rate case. The WRA removes the financial disincentive for water utilities to develop and implement effective water conservation programs. The WRA allows water companies to defer on the balance sheet, as a regulatory asset or liability, for later collection from or crediting to customers the amount by which actual revenues deviate from the revenues allowed in the most recent general rate proceedings, including WICA proceedings. Additionally, PA 13-78 raised the cap for WICA charges to 10%, from 7.5%, between general rate cases and expands the eligible projects to include energy conservation projects, improvements required to comply with streamflow regulations, and improvements to acquired systems. Connecticut Water’s allowed revenues for the six months ended June 30, 2015 , as approved by PURA during our 2010 general rate case and including subsequently approved WICA surcharges, are approximately $36.8 million. Through normal billing for the six months ended June 30, 2015 , revenue for Connecticut Water would have been approximately $34.3 million had the WRA not been implemented. As a result of the implementation of the WRA, Connecticut Water recorded $2.5 million in additional revenue for the six months ended June 30, 2015 . Maine Rates Effective June 2013, a Water Infrastructure Charge (“WISC”) became available in Maine that allows for expedited recovery of investment in water system infrastructure replacement, both treatment and distribution. Because the MPUC sets rates for Maine Water on a division-by-division basis, the WISC must be implemented in the same manner. Maine Water currently has a WISC in place in nine of its ten divisions with expected annual revenue of $197,000. The previously approved WISC surcharge for the Biddeford and Saco division was folded into base rates upon the completion of the that division’s rate case. On March 25, 2014, the MPUC approved a rate increase that was requested in June 2013 resulting in an annual increase of $340,000 in revenues for one of Maine Water’s divisions, which became effective on that date. Additionally, Maine Water filed for a general rate increase for its Biddeford and Saco division, its largest division, on November 5, 2014 requesting $1.7 million in additional revenues, offset by $700,000 in the first year due to the adoption of Internal Revenue Service (“IRS”) Revenue Procedure 2012-19 (“Repair Regulations”). Maine Water entered into a stipulation agreement (“Biddeford Stipulation Agreement”) with Maine’s Office of the Public Advocate which allowed for flow-through treatment of the Repair Regulations retroactive to January 1, 2014. As part of the Biddeford Stipulation Agreement, customers in the Biddeford and Saco division would receive the benefit of the Repair Regulations of approximately $880,000, over a three year period. Excluding the impact of the refund to customers, the Biddeford Stipulation Agreement calls for an annual increase in rates of approximately $1.3 million. MPUC issued a final decision related to the Biddeford Stipulation Agreement on March 13, 2015, with the new rates, and the first year of the refund, effective on March 10, 2015. The MPUC also approved pension plan accounting for the Biddeford Saco division as part of the rate order. As a result, the Company made an adjustment to Goodwill reflecting the pension regulatory asset that was established as part of the order. On October 30, 2014, Maine Water petitioned the MPUC for approval of an accounting order that would allow it to return to its customers a federal income tax refund stemming from the adoption of Repair Regulations to eight of its ten divisions, and to allow flow-through treatment of the repair deduction as of January 1, 2014. On February 26, 2015, the MPUC approved a stipulation between Maine Water and the Office of the Public Advocate (“Maine Water Stipulation Agreement”) that refunds $2.9 million to the customers of the eight divisions over a two year period starting no later than July 1, 2015, and allows the requested accounting treatment. In addition, Maine Water agreed not to file a general rate case during the two year refund period in any of the eight divisions that were allowed the refund. As part of the Biddeford Stipulation Agreement and the Maine Water Stipulation Agreement, Maine Water was required to determine the remaining deferred tax liabilities associated with the fixed assets which Maine Water would be deducting as part of the adoption of the Repair Regulations. All parties to the Biddeford Stipulation Agreement and the Maine Water Stipulation Agreement, and the MPUC, agreed that any benefit resulting from the elimination of deferred tax liabilities previously recorded on qualifying fixed assets subject to the Repair Regulation deduction, would be deferred and considered in a separate docket initiated after Maine Water had analyzed this additional deferred tax liability in more detail. The Company viewed the completion of the docket determining the ultimate disposition of the deferred tax liability associated with the qualifying fixed assets subject to the Repair Regulation deduction as materially linked to the flow through treatment granted in the MPUC’s order issued on February 26, 2015. On April 8, 2015, Maine Water filed a petition with the MPUC that asked for amortization of the identified deferred tax liabilities in each of its ten divisions. On June 16, 2015, Maine Water and the Office of the Public Advocate reached a settlement agreement that allowed for the amortization of these deferred tax liabilities over a one to nine year period, depending on the division. The MPUC approved this agreement on June 22, 2015, at which point Maine Water began the amortization based on the agreed upon schedule. With the completion of this docket, Maine Water recorded in the quarter ended June 30, 2015 the retroactive benefit associated with the flow through of Repair Regulations from January 1, 2014. The 2014 benefit reflected in the second quarter was approximately $931,000, or $0.09 per basic share outstanding. |
Pension and Other Post-Retireme
Pension and Other Post-Retirement Benefits | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Pension and Other Post-Retirement Benefits | 2. Pension and Other Post-Retirement Benefits The following tables set forth the components of pension and other post-retirement benefit costs for the three and six months ended June 30, 2015 and 2014 . Pension Benefits Components of Net Periodic Cost (in thousands): Three Months Six Months Period ended June 30, 2015 2014 2015 2014 Service Cost $ 506 $ 488 $ 1,076 $ 976 Interest Cost 786 763 1,557 1,526 Expected Return on Plan Assets (958 ) (889 ) (1,924 ) (1,778 ) Amortization of: Prior Service Cost 4 18 8 36 Net Recognized Loss 799 273 1,490 546 Net Periodic Benefit Cost $ 1,137 $ 653 $ 2,207 $ 1,306 The Company does not plan to make a contribution to its defined benefit pension plan in 2015 for the 2014 plan year, as allowed by the plan’s current funding status. Post-Retirement Benefits Other Than Pension (PBOP) Components of Net Periodic Cost (in thousands): Three Months Six Months Period ended June 30, 2015 2014 2015 2014 Service Cost $ 77 $ 154 $ 229 $ 308 Interest Cost 135 160 282 320 Expected Return on Plan Assets (81 ) (77 ) (162 ) (154 ) Other 56 56 112 112 Amortization of: Prior Service Credit (144 ) (201 ) (286 ) (402 ) Recognized Net Loss 83 68 193 136 Net Periodic Benefit Cost $ 126 $ 160 $ 368 $ 320 |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Earnings per Share | 3. Earnings per Share Earnings per weighted average common share are calculated by dividing net income applicable to common stock by the weighted average number of shares of common stock outstanding during the respective periods as detailed below (diluted shares include the effect of stock awards): Three months ended June 30, 2015 2014 Common Shares Outstanding End of Period: 11,167,637 11,097,506 Weighted Average Shares Outstanding (Days Outstanding Basis): Basic 10,957,571 10,886,883 Diluted 11,156,798 11,085,061 Basic Earnings per Share $ 0.79 $ 0.69 Dilutive Effect of Stock Awards (0.02 ) (0.02 ) Diluted Earnings per Share $ 0.77 $ 0.67 Six months ended June 30, Weighted Average Shares Outstanding (Days Outstanding Basis): Basic 10,941,043 10,877,883 Diluted 11,150,583 11,073,258 Basic Earnings per Share $ 1.07 $ 0.96 Dilutive Effect of Stock Awards (0.02 ) (0.02 ) Diluted Earnings per Share $ 1.05 $ 0.94 Total unrecognized compensation expense for all stock awards was approximately $1.4 million as of June 30, 2015 and will be recognized over a weighted average period of 1.5 years . |
New Accounting Pronouncements
New Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Recently Adopted and New Accounting Pronouncements | 4. Recently Adopted and New Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers,” which amends its guidance related to revenue recognition. ASU 2014-09 requires an entity to recognize revenue as performance obligations are met, in order to reflect the transfer of promised goods or services to customers in an amount that reflects the consideration the entity is entitled to receive for those goods or services. The following steps are applied in the updated guidance: (1) identify the contract(s) with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, the entity satisfies a performance obligation. ASU 2014-09 is effective for public companies for fiscal years, and interim periods within those years, beginning after December 15, 2016, and can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption, however early adoption is not permitted. On April 1, 2015, the FASB voted for a one-year deferral of the effective date of ASU 2014-09, making ASU 2014-09 effective for public companies for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company is currently determining its implementation approach and assessing the impact that this guidance may have on our consolidated financial position. In April 2015, the FASB issued ASU 2015-03, “Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The update requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of the related debt liability instead of being presented as an asset. Debt disclosures will include the face amount of the debt liability and the effective interest rate. The update requires retrospective application and represents a change in accounting principle. The update is effective for fiscal years beginning after December 15, 2015. Early adoption is permitted for financial statements that have not been previously issued. The Company is currently assessing the impact of this standard on its consolidated financial statements and footnote disclosures, but does not expect that the adoption of this guidance will materially impact our consolidated financial position. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) (Notes) | 6 Months Ended |
Jun. 30, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | 5. Accumulated Other Comprehensive Income The changes in Accumulated Other Comprehensive Income (Loss) (“AOCI”) by component, net of tax, for the three months ended June 30, 2015 and 2014 are as follows (in thousands): Three months ended June 30, 2015 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 312 $ (1,804 ) $ (1,492 ) Other Comprehensive Income (Loss) Before Reclassification (137 ) (65 ) (202 ) Amounts Reclassified from AOCI 75 37 112 Net current-period Other Comprehensive Income (Loss) (62 ) (28 ) (90 ) Ending Balance $ 250 $ (1,832 ) $ (1,582 ) Three months ended June 30, 2014 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 256 $ (313 ) $ (57 ) Other Comprehensive Income Before Reclassification 41 — 41 Amounts Reclassified from AOCI — 61 61 Net current-period Other Comprehensive Income 41 61 102 Ending Balance $ 297 $ (252 ) $ 45 (a) All amounts shown are net of tax. Amounts in parentheses indicate loss. The changes in AOCI by component, net of tax, for the six months ended June 30, 2015 and 2014 are as follows (in thousands): Six months ended June 30, 2015 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 298 $ (1,901 ) $ (1,603 ) Other Comprehensive Income (Loss) Before Reclassification (123 ) (65 ) (188 ) Amounts Reclassified from AOCI 75 134 209 Net current-period Other Comprehensive Income (Loss) (48 ) 69 21 Ending Balance $ 250 $ (1,832 ) $ (1,582 ) Six months ended June 30, 2014 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 259 $ (374 ) $ (115 ) Other Comprehensive Income Before Reclassification 27 — 27 Amounts Reclassified from AOCI 11 122 133 Net current-period Other Comprehensive Income 38 122 160 Ending Balance $ 297 $ (252 ) $ 45 (a) All amounts shown are net of tax. Amounts in parentheses indicate loss. The following table sets forth the amounts reclassified from AOCI by component and the affected line item on the Condensed Consolidated Statements of Income for the three months ended June 30, 2015 and 2014 (in thousands): Details about Other AOCI Components Amounts Reclassified from AOCI Three Months Ended June 30, 2015(a) Amounts Reclassified from AOCI Three Months Ended June 30, 2014(a) Affected Line Items on Income Statement Realized Gains on Investments $ 128 $ — Other Income Tax expense (53 ) — Other Income 75 — Amortization of Recognized Net Gain from Defined Benefit Items 61 74 Other Income (b) Tax expense (24 ) (13 ) Other Income 37 61 Total Reclassifications for the period, net of tax $ 112 $ 61 (a) Amounts in parentheses indicate loss/expense. (b) Included in computation of net periodic pension cost (see Note 2 for additional details). The following table sets forth the amounts reclassified from AOCI by component and the affected line item on the Condensed Consolidated Statements of Income for the six months ended June 30, 2015 and 2014 (in thousands): Details about Other AOCI Components Amounts Reclassified from AOCI Six Months Ended June 30, 2015(a) Amounts Reclassified from AOCI Six Months Ended June 30, 2014(a) Affected Line Items on Income Statement Realized Gains on Investments $ 128 $ 18 Other Income Tax expense (53 ) (7 ) Other Income 75 11 Amortization of Recognized Net Gain from Defined Benefit Items 196 148 Other Income (b) Tax expense (62 ) (26 ) Other Income 134 122 Total Reclassifications for the period, net of tax $ 209 $ 133 (a) Amounts in parentheses indicate loss/expense. (b) Included in computation of net periodic pension cost (see Note 2 for additional details). |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Long-Term Debt | Long-Term Debt Long-Term Debt at June 30, 2015 and December 31, 2014 consisted of the following (in thousands): 2015 2014 Connecticut Water Service, Inc.: 4.09% Term Loan Note $ 14,974 $ 15,466 The Connecticut Water Company: Var. 2004 Series Variable Rate, Due 2029 12,500 12,500 Var. 2004 Series A, Due 2028 5,000 5,000 Var. 2004 Series B, Due 2028 4,550 4,550 5.10% 2009 A Series, Due 2039 19,930 19,950 5.00% 2011 A Series, Due 2021 23,394 23,483 3.16% CoBank Note Payable, Due 2020 8,000 8,000 3.51% CoBank Note Payable, Due 2022 14,795 14,795 4.29% CoBank Note Payable, Due 2028 17,020 17,020 4.72% CoBank Note Payable, Due 2032 14,795 14,795 4.75% CoBank Note Payable, Due 2033 14,550 14,550 Total The Connecticut Water Company 134,534 134,643 The Maine Water Company: 8.95% 1994 Series G, Due 2024 9,000 9,000 2.68% 1999 Series J, Due 2019 339 424 0.00% 2001 Series K, Due 2031 656 698 2.58% 2002 Series L, Due 2022 75 83 1.53% 2003 Series M, Due 2023 361 381 1.73% 2004 Series N, Due 2024 431 431 0.00% 2004 Series O, Due 2034 127 133 1.76% 2006 Series P, Due 2026 411 431 1.57% 2009 Series R, Due 2029 227 237 0.00% 2009 Series S, Due 2029 650 672 0.00% 2009 Series T, Due 2029 1,823 1,886 0.00% 2012 Series U, Due 2042 160 165 1.00% 2013 Series V, Due 2033 1,360 1,385 2.52% CoBank Note Payable, Due 2017 1,965 1,965 4.24% CoBank Note Payable, Due 2024 4,500 4,500 7.72% BSWC Series L, Due 2018 2,250 2,250 2.40% BSWC Series N, Due 2022 1,176 1,251 1.86% BSWC Series O, Due 2025 846 846 2.23% BSWC Series P, Due 2028 1,324 1,354 0.01% BSWC Series Q, Due 2035 1,864 — Various Various Capital Leases 27 37 Total The Maine Water Company 29,572 28,129 Add: Acquisition Fair Value Adjustment 691 820 Less: Current Portion (2,469 ) (2,457 ) Total Long-Term Debt $ 177,302 $ 176,601 There are no mandatory sinking fund payments required on Connecticut Water’s outstanding Water Facilities Revenue Bonds. However, certain fixed rate Unsecured Water Facilities Revenue Refinancing Bonds provide for an estate redemption right whereby the estate of deceased bondholders or surviving joint owners may submit bonds to the trustee for redemption at par, subject to a $25,000 per individual holder and a 3% annual aggregate limitation. On December 22, 2014, Maine Water and CoBank, ACB (“CoBank”) entered into an amendment to Amended and Restated Master Loan Agreement by and between Maine Water and CoBank, dated as of December 1, 2012 (the “Agreement”) pursuant to which CoBank loaned Maine Water $4,500,000. Maine Water intends to use the proceeds of the above described loan from CoBank to refinance existing debt and to finance capital expenditures. On March 17, 2015, Maine Water completed the issuance of $1,864,050 aggregate principal amount of its First Mortgage Bonds, Series Q, 0.01% due March 17, 2035 (the “Bonds”). The Bonds were issued by Maine Water to the Maine Municipal Bond Bank (the “Bank”) and the proceeds of the issuance were loaned (the “Loan”) by the Bank to Maine Water pursuant to a Loan Agreement by and between Maine Water and the Bank dated as of March 17, 2015 (the “Loan Agreement”). The proceeds of the Loan will be used by Maine Water to fund various water facilities projects, including the replacement of a booster station and to fund modifications to a treatment plant, each located in the Town of Biddeford, Maine. During the first half of 2015, the Company paid approximately $492,000 related to Connecticut Water Service’s Term Note Payable issued as part of the acquisition of Maine Water, approximately $421,000 in sinking funds related to Maine Water’s outstanding bonds and $20,000 related to a deceased bond holder. Financial Covenants – The Company and its subsidiaries are required to comply with certain covenants in connection with various long term loan agreements. The most restrictive of these covenants is to maintain a consolidated debt to capitalization ratio of not more than 60%. Additionally, Maine Water has restrictions on cash dividends paid based on restricted net assets. The Company and its subsidiaries were in compliance with all covenants at June 30, 2015 . |
Fair Value Disclosures
Fair Value Disclosures | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Fair Value Disclosures | Fair Value Disclosures FASB Accounting Standards Codification (“ASC”) 820, Fair Value Measurements and Disclosures (“FASB ASC 820”) provides enhanced guidance for using fair value to measure assets and liabilities and expands disclosure with respect to fair value measurements. FASB ASC 820 establishes a fair value hierarchy that distinguishes between assumptions based on market data (observable inputs) and the Company’s assumptions (unobservable inputs). The hierarchy consists of three broad levels, as follows: Level 1 – Quoted market prices in active markets for identical assets or liabilities. Level 2 – Inputs other than Level 1 that are either directly or indirectly observable. Level 3 – Unobservable inputs developed using the Company’s estimates and assumptions, which reflect those that the Company believes market participants would use. The following table summarizes our financial instruments measured at fair value on a recurring basis within the fair value hierarchy as of June 30, 2015 (in thousands): Level 1 Level 2 Level 3 Total Asset Type: Company Owned Life Insurance $ — $ 2,990 $ — $ 2,990 Money Market Fund 55 — — 55 Mutual Funds: Equity Funds (1) 1,426 — — 1,426 Fixed Income Funds (2) 424 — — 424 Total $ 1,905 $ 2,990 $ — $ 4,895 The following table summarizes our financial instruments measured at fair value on a recurring basis within the fair value hierarchy as of December 31, 2014 (in thousands): Level 1 Level 2 Level 3 Total Asset Type: Company Owned Life Insurance $ — $ 2,977 $ — $ 2,977 Money Market Fund 166 — — 166 Mutual Funds: Equity Funds (1) 1,790 — — 1,790 Total $ 1,956 $ 2,977 $ — $ 4,933 (1) Mutual funds consist primarily of equity securities and are presented on the Other Property and Investments line item of the Company’s Condensed Consolidated Balance Sheets. (2) Mutual funds consist primarily of fixed income securities and are presented on the Other Property and Investments line item of the Company’s Condensed Consolidated Balance Sheets. The fair value of Company Owned Life Insurance is based on the cash surrender value of the contracts. These contracts are based principally on a referenced pool of investment funds that actively redeem shares and are observable and measurable and are presented on the Other Property and Investments line item of the Company’s Condensed Consolidated Balance Sheets. The following methods and assumptions were used to estimate the fair value of each of the following financial instruments, which are not recorded at fair value on the financial statements. Cash and cash equivalents – Cash equivalents consist of highly liquid instruments with original maturities at the time of purchase of three months or less. The carrying amount approximates fair value. Under the fair value hierarchy the fair value of cash and cash equivalents is classified as a Level 1 measurement. Restricted Cash – As part of Maine Water’s March 2015 bond offering, the Company recorded unused proceeds from this bond issuance as restricted cash as the funds can only be used for certain capital expenditures. The Company expects to use the remainder of the proceeds during 2015, as the approved capital expenditures are completed. The carrying amount approximates fair value. Under the fair value hierarchy the fair value of restricted cash is classified as a Level 1 measurement. Long-Term Debt – The fair value of the Company’s fixed rate long-term debt is based upon borrowing rates currently available to the Company. As of June 30, 2015 and December 31, 2014 , the estimated fair value of the Company’s long-term debt was $188,509,000 and $189,942,000 , respectively, as compared to the carrying amounts of $177,302,000 and $176,601,000 , respectively. The estimated fair value of long term debt was calculated using a discounted cash flow model that uses comparable interest rates and yield curve data based on the A-rated MMD (Municipal Market Data) Index which is a benchmark of current municipal bond yields. Under the fair value hierarchy, the fair value of long term debt is classified as a Level 2 measurement. Advances for Construction – Customer advances for construction had a carrying amount of $24,809,000 and $26,718,000 at June 30, 2015 and December 31, 2014 , respectively. Their relative fair values cannot be accurately estimated since future refund payments depend on several variables, including new customer connections, customer consumption levels and future rate increases. The fair values shown above have been reported to meet the disclosure requirements of FASB ASC 825, “Financial Instruments” (“FASB ASC 825”) and do not purport to represent the amounts at which those obligations would be settled. |
Segment Reporting
Segment Reporting | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Segment Reporting | Segment Reporting The Company operates principally in three business segments: Water Activities, Real Estate Transactions, and Services and Rentals. Financial data for the segments is as follows (in thousands): Three months ended June 30, 2015 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 26,967 $ 8,698 $ 398 $ 8,300 Real Estate Transactions — — — — Services and Rentals 1,463 566 191 375 Total $ 28,430 $ 9,264 $ 589 $ 8,675 Three months ended June 30, 2014 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 25,810 $ 8,837 $ 1,745 $ 7,092 Real Estate Transactions — — — — Services and Rentals 1,476 655 257 398 Total $ 27,286 $ 9,492 $ 2,002 $ 7,490 Six months ended June 30, 2015 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 47,307 $ 10,385 $ (649 ) $ 11,034 Real Estate Transactions — — — — Services and Rentals 2,825 1,195 451 744 Total $ 50,132 $ 11,580 $ (198 ) $ 11,778 Six months ended June 30, 2014 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 46,430 $ 11,755 $ 2,110 $ 9,645 Real Estate Transactions — — — — Services and Rentals 2,888 1,365 534 831 Total $ 49,318 $ 13,120 $ 2,644 $ 10,476 The revenues shown in Water Activities above consisted of revenues from water customers of $26,624,000 and $25,459,000 for the three months ended June 30, 2015 and 2014 , respectively. Additionally, there were revenues associated with utility plant leased to others of $343,000 and $351,000 for the three months ended June 30, 2015 and 2014 , respectively. The revenues from water customers for the three months ended June 30, 2015 and 2014 include $2,652,000 and $2,686,000 in additional revenues related to the implementation of the WRA, respectively. The revenues shown in Water Activities above consisted of revenues from water customers of $46,654,000 and $45,719,000 for the six months ended June 30, 2015 and 2014 , respectively. Additionally, there were revenues associated with utility plant leased to others of $653,000 and $711,000 for the six months ended June 30, 2015 and 2014 , respectively. The revenues from water customers for the six months ended June 30, 2015 and 2014 include $2,463,000 and $2,793,000 in additional revenues related to the implementation of the WRA, respectively. The Company owns various small, discrete parcels of land that are no longer required for water supply purposes. From time to time, the Company may sell or donate these parcels, depending on various factors, including the current market for land, the amount of tax benefits received for donations and the Company’s ability to use any benefits received from donations. Assets by segment (in thousands): June 30, 2015 December 31, 2014 Total Plant and Other Investments: Water Activities $ 523,270 $ 514,606 Non-Water 584 605 523,854 515,211 Other Assets: Water Activities 169,356 152,929 Non-Water 591 3,049 169,947 155,978 Total Assets $ 693,801 $ 671,189 |
Income Tax Expense
Income Tax Expense | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Income Taxes | Income Taxes FASB ASC 740 Income Taxes (“FASB ASC 740”) addresses the determination of how tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under FASB ASC 740, the Company must recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate resolution. On June 11, 2013, the Company was notified by the Connecticut Department of Revenue Services that its state tax filings for the years 2009 through 2011 would be reviewed beginning in the fourth quarter of 2013. On March 24, 2015, the Company was notified by the Connecticut Department of Revenue Services that the audit was expanded to include the 2012 and 2013 tax years. The State focused its review on tax credits associated with fixed capital investment. The Company and the State have come to an agreement regarding investments eligible for the credit. The closing agreement was executed on May 4, 2015. The Company had previously recorded a provision for the possible disallowance of these credits and therefore there was minimal impact in 2015. On the 2012 Federal tax return, filed in September 2013, Connecticut Water filed a change in accounting method to adopt the IRS’ temporary tangible property regulations. This method change allowed the Company to take a current year deduction for expenses that were previously capitalized for tax purposes. Since the filing of the 2012 tax return, the IRS has issued final regulations. On February 11, 2014, the Company was notified by the IRS that its Federal tax filing for 2012 would be reviewed. This review, which began in the first quarter of 2014 and was completed in the first quarter of 2015, resulted in no change to the tax liability. Since the Company had previously recorded a provision for the possible disallowance of the repair deduction in prior periods, the completion of the audit resulted in the reversal of the reserves in the amount of $1,185,000. While the Company maintains the belief that the deduction taken on its tax return is appropriate, the methodology for determining the deduction has not been agreed to by the taxing authorities. On the 2013 Federal tax return, filed in September 2014, Maine Water filed the same change in accounting method. Through June 30, 2015 , the Company has recorded, as required by FASB ASC 740, a provision of $5.2 million for a portion of the benefit that is not being returned to customers resulting from any possible future tax authority challenge. From time to time, the Company may be assessed interest and penalties by taxing authorities. In those cases, the charges would appear on the Other line item within the Other Income (Deductions), Net of Taxes section of the Company’s Condensed Consolidated Statements of Income. There were no such charges for the six months ended June 30, 2015 and 2014 . Additionally, there were no accruals relating to interest or penalties as of June 30, 2015 and December 31, 2014 . The Company remains subject to examination by federal tax authorities for the 2011 and 2013 tax years; and the State of Maine’s tax authorities for the 2011 through 2013 tax years. The Company is currently engaged in an analysis to determine the amount of expenditures related to tangible property that will be reflected on its 2015 Federal Tax Return to be filed in September 2016. As a result, through the second quarter of 2015, the Company has estimated the portion of its infrastructure investment that will qualify as a repair deduction for 2015 and has reflected that deduction in its effective tax rate at 75% of the expected $16 million of infrastructure improvement, net of any reserves. Consistent with other differences between book and tax expenditures, the Company is required to use the flow-through method to account for any timing differences not required by the IRS to be normalized. The Company’s effective income tax rate for the three months ended June 30, 2015 and 2014 was 6.4% and 21.1% , respectively. The Company’s effective tax rate, excluding discrete items booked during the quarter, was 12.8% for the three months ended June 30, 2015 . These discrete items include a credit of approximately $931,000 associated with the 2014 tax benefits being recognized as a result of the MPUC approval of a settlement agreement, as discussed in Note 1. Additionally, these discrete items include adjustments related to the provision for the repair deduction in Connecticut and Maine. The statutory income tax rates during each period were 41% . In determining its annual estimated effective tax rate for interim periods, the Company reflects its estimated permanent and flow-through tax differences for the taxable year, including the basis difference for the adoption of the tangible property regulations. The Company’s effective income tax rate for the six months ended June 30, 2015 and 2014 was (1.7)% and 20.2% , respectively. The Company’s effective tax rate, excluding discrete items, was 11.6% for the six months ended June 30, 2015 . These discrete items include adjustments related to the provisions for the repair deduction, the Connecticut credits and a credit of approximately $931,000 associated with the 2014 tax benefits being recognized as a result of the MPUC approval of a settlement agreement. The statutory income tax rates during each period were 41% . In determining its annual estimated effective tax rate for interim periods, the Company reflects its estimated permanent and flow-through tax differences for the taxable year, including the basis difference for the adoption of the tangible property regulations. |
Lines of Credit
Lines of Credit | 6 Months Ended |
Jun. 30, 2015 | |
Notes To Financial Statements [Abstract] | |
Lines of Credit | Lines of Credit The Company maintains a $15.0 million line of credit agreement with CoBank, that is currently scheduled to expire on July 1, 2016 . The Company maintains an additional line of credit of $20.0 million with RBS Citizens, N.A., with an expiration date of June 30, 2017 . As of June 30, 2015 , the total lines of credit available to the Company were $35.0 million . As of June 30, 2015 and December 31, 2014 , the Company had $3.7 million and $2.0 million , respectively, of Interim Bank Loans Payable. As of June 30, 2015 , the Company had $31.3 million in unused lines of credit. Interest expense charged on lines of credit will fluctuate based on market interest rates. |
Pension and Other Post-Retire21
Pension and Other Post-Retirement Benefits Pension and Post-Retirement Benefits (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Pension and Other Post-Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs [Table Text Block] | Pension Benefits Components of Net Periodic Cost (in thousands): Three Months Six Months Period ended June 30, 2015 2014 2015 2014 Service Cost $ 506 $ 488 $ 1,076 $ 976 Interest Cost 786 763 1,557 1,526 Expected Return on Plan Assets (958 ) (889 ) (1,924 ) (1,778 ) Amortization of: Prior Service Cost 4 18 8 36 Net Recognized Loss 799 273 1,490 546 Net Periodic Benefit Cost $ 1,137 $ 653 $ 2,207 $ 1,306 |
schedule of post retirement benefits other than pension costs [Table Text Block] | Post-Retirement Benefits Other Than Pension (PBOP) Components of Net Periodic Cost (in thousands): Three Months Six Months Period ended June 30, 2015 2014 2015 2014 Service Cost $ 77 $ 154 $ 229 $ 308 Interest Cost 135 160 282 320 Expected Return on Plan Assets (81 ) (77 ) (162 ) (154 ) Other 56 56 112 112 Amortization of: Prior Service Credit (144 ) (201 ) (286 ) (402 ) Recognized Net Loss 83 68 193 136 Net Periodic Benefit Cost $ 126 $ 160 $ 368 $ 320 |
Earnings per Share Earnings per
Earnings per Share Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Earnings per weighted average common share are calculated by dividing net income applicable to common stock by the weighted average number of shares of common stock outstanding during the respective periods as detailed below (diluted shares include the effect of stock awards): Three months ended June 30, 2015 2014 Common Shares Outstanding End of Period: 11,167,637 11,097,506 Weighted Average Shares Outstanding (Days Outstanding Basis): Basic 10,957,571 10,886,883 Diluted 11,156,798 11,085,061 Basic Earnings per Share $ 0.79 $ 0.69 Dilutive Effect of Stock Awards (0.02 ) (0.02 ) Diluted Earnings per Share $ 0.77 $ 0.67 Six months ended June 30, Weighted Average Shares Outstanding (Days Outstanding Basis): Basic 10,941,043 10,877,883 Diluted 11,150,583 11,073,258 Basic Earnings per Share $ 1.07 $ 0.96 Dilutive Effect of Stock Awards (0.02 ) (0.02 ) Diluted Earnings per Share $ 1.05 $ 0.94 |
Accumulated Other Comprehensi23
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The changes in Accumulated Other Comprehensive Income (Loss) (“AOCI”) by component, net of tax, for the three months ended June 30, 2015 and 2014 are as follows (in thousands): Three months ended June 30, 2015 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 312 $ (1,804 ) $ (1,492 ) Other Comprehensive Income (Loss) Before Reclassification (137 ) (65 ) (202 ) Amounts Reclassified from AOCI 75 37 112 Net current-period Other Comprehensive Income (Loss) (62 ) (28 ) (90 ) Ending Balance $ 250 $ (1,832 ) $ (1,582 ) Three months ended June 30, 2014 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 256 $ (313 ) $ (57 ) Other Comprehensive Income Before Reclassification 41 — 41 Amounts Reclassified from AOCI — 61 61 Net current-period Other Comprehensive Income 41 61 102 Ending Balance $ 297 $ (252 ) $ 45 (a) All amounts shown are net of tax. Amounts in parentheses indicate loss. The changes in AOCI by component, net of tax, for the six months ended June 30, 2015 and 2014 are as follows (in thousands): Six months ended June 30, 2015 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 298 $ (1,901 ) $ (1,603 ) Other Comprehensive Income (Loss) Before Reclassification (123 ) (65 ) (188 ) Amounts Reclassified from AOCI 75 134 209 Net current-period Other Comprehensive Income (Loss) (48 ) 69 21 Ending Balance $ 250 $ (1,832 ) $ (1,582 ) Six months ended June 30, 2014 Unrealized Gains on Investments Defined Benefit Items Total Beginning Balance (a) $ 259 $ (374 ) $ (115 ) Other Comprehensive Income Before Reclassification 27 — 27 Amounts Reclassified from AOCI 11 122 133 Net current-period Other Comprehensive Income 38 122 160 Ending Balance $ 297 $ (252 ) $ 45 (a) All amounts shown are net of tax. Amounts in parentheses indicate loss. The following table sets forth the amounts reclassified from AOCI by component and the affected line item on the Condensed Consolidated Statements of Income for the three months ended June 30, 2015 and 2014 (in thousands): Details about Other AOCI Components Amounts Reclassified from AOCI Three Months Ended June 30, 2015(a) Amounts Reclassified from AOCI Three Months Ended June 30, 2014(a) Affected Line Items on Income Statement Realized Gains on Investments $ 128 $ — Other Income Tax expense (53 ) — Other Income 75 — Amortization of Recognized Net Gain from Defined Benefit Items 61 74 Other Income (b) Tax expense (24 ) (13 ) Other Income 37 61 Total Reclassifications for the period, net of tax $ 112 $ 61 (a) Amounts in parentheses indicate loss/expense. (b) Included in computation of net periodic pension cost (see Note 2 for additional details). The following table sets forth the amounts reclassified from AOCI by component and the affected line item on the Condensed Consolidated Statements of Income for the six months ended June 30, 2015 and 2014 (in thousands): Details about Other AOCI Components Amounts Reclassified from AOCI Six Months Ended June 30, 2015(a) Amounts Reclassified from AOCI Six Months Ended June 30, 2014(a) Affected Line Items on Income Statement Realized Gains on Investments $ 128 $ 18 Other Income Tax expense (53 ) (7 ) Other Income 75 11 Amortization of Recognized Net Gain from Defined Benefit Items 196 148 Other Income (b) Tax expense (62 ) (26 ) Other Income 134 122 Total Reclassifications for the period, net of tax $ 209 $ 133 (a) Amounts in parentheses indicate loss/expense. (b) Included in computation of net periodic pension cost (see Note 2 for additional details). |
Long-Term Debt Long-Term Debt (
Long-Term Debt Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Long-term Debt, Unclassified [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Long-Term Debt at June 30, 2015 and December 31, 2014 consisted of the following (in thousands): 2015 2014 Connecticut Water Service, Inc.: 4.09% Term Loan Note $ 14,974 $ 15,466 The Connecticut Water Company: Var. 2004 Series Variable Rate, Due 2029 12,500 12,500 Var. 2004 Series A, Due 2028 5,000 5,000 Var. 2004 Series B, Due 2028 4,550 4,550 5.10% 2009 A Series, Due 2039 19,930 19,950 5.00% 2011 A Series, Due 2021 23,394 23,483 3.16% CoBank Note Payable, Due 2020 8,000 8,000 3.51% CoBank Note Payable, Due 2022 14,795 14,795 4.29% CoBank Note Payable, Due 2028 17,020 17,020 4.72% CoBank Note Payable, Due 2032 14,795 14,795 4.75% CoBank Note Payable, Due 2033 14,550 14,550 Total The Connecticut Water Company 134,534 134,643 The Maine Water Company: 8.95% 1994 Series G, Due 2024 9,000 9,000 2.68% 1999 Series J, Due 2019 339 424 0.00% 2001 Series K, Due 2031 656 698 2.58% 2002 Series L, Due 2022 75 83 1.53% 2003 Series M, Due 2023 361 381 1.73% 2004 Series N, Due 2024 431 431 0.00% 2004 Series O, Due 2034 127 133 1.76% 2006 Series P, Due 2026 411 431 1.57% 2009 Series R, Due 2029 227 237 0.00% 2009 Series S, Due 2029 650 672 0.00% 2009 Series T, Due 2029 1,823 1,886 0.00% 2012 Series U, Due 2042 160 165 1.00% 2013 Series V, Due 2033 1,360 1,385 2.52% CoBank Note Payable, Due 2017 1,965 1,965 4.24% CoBank Note Payable, Due 2024 4,500 4,500 7.72% BSWC Series L, Due 2018 2,250 2,250 2.40% BSWC Series N, Due 2022 1,176 1,251 1.86% BSWC Series O, Due 2025 846 846 2.23% BSWC Series P, Due 2028 1,324 1,354 0.01% BSWC Series Q, Due 2035 1,864 — Various Various Capital Leases 27 37 Total The Maine Water Company 29,572 28,129 Add: Acquisition Fair Value Adjustment 691 820 Less: Current Portion (2,469 ) (2,457 ) Total Long-Term Debt $ 177,302 $ 176,601 |
Fair Value Disclosures Fair Val
Fair Value Disclosures Fair Value Disclosures (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following table summarizes our financial instruments measured at fair value on a recurring basis within the fair value hierarchy as of June 30, 2015 (in thousands): Level 1 Level 2 Level 3 Total Asset Type: Company Owned Life Insurance $ — $ 2,990 $ — $ 2,990 Money Market Fund 55 — — 55 Mutual Funds: Equity Funds (1) 1,426 — — 1,426 Fixed Income Funds (2) 424 — — 424 Total $ 1,905 $ 2,990 $ — $ 4,895 The following table summarizes our financial instruments measured at fair value on a recurring basis within the fair value hierarchy as of December 31, 2014 (in thousands): Level 1 Level 2 Level 3 Total Asset Type: Company Owned Life Insurance $ — $ 2,977 $ — $ 2,977 Money Market Fund 166 — — 166 Mutual Funds: Equity Funds (1) 1,790 — — 1,790 Total $ 1,956 $ 2,977 $ — $ 4,933 (1) Mutual funds consist primarily of equity securities and are presented on the Other Property and Investments line item of the Company’s Condensed Consolidated Balance Sheets. |
Segment Reporting Segment Repor
Segment Reporting Segment Reporting (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Reconciliation of Revenue from Segments to Consolidated [Table Text Block] | Financial data for the segments is as follows (in thousands): Three months ended June 30, 2015 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 26,967 $ 8,698 $ 398 $ 8,300 Real Estate Transactions — — — — Services and Rentals 1,463 566 191 375 Total $ 28,430 $ 9,264 $ 589 $ 8,675 Three months ended June 30, 2014 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 25,810 $ 8,837 $ 1,745 $ 7,092 Real Estate Transactions — — — — Services and Rentals 1,476 655 257 398 Total $ 27,286 $ 9,492 $ 2,002 $ 7,490 Six months ended June 30, 2015 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 47,307 $ 10,385 $ (649 ) $ 11,034 Real Estate Transactions — — — — Services and Rentals 2,825 1,195 451 744 Total $ 50,132 $ 11,580 $ (198 ) $ 11,778 Six months ended June 30, 2014 Segment Revenues Pre-Tax Income Income Tax Expense Net Income Water Activities $ 46,430 $ 11,755 $ 2,110 $ 9,645 Real Estate Transactions — — — — Services and Rentals 2,888 1,365 534 831 Total $ 49,318 $ 13,120 $ 2,644 $ 10,476 |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | Assets by segment (in thousands): June 30, 2015 December 31, 2014 Total Plant and Other Investments: Water Activities $ 523,270 $ 514,606 Non-Water 584 605 523,854 515,211 Other Assets: Water Activities 169,356 152,929 Non-Water 591 3,049 169,947 155,978 Total Assets $ 693,801 $ 671,189 |
Basis of Preparation of Finan27
Basis of Preparation of Financials In text details (Details) | Jun. 30, 2015Rate |
Maine Water Company [Member] | |
Allowed Rate of Return on Equity | 9.50% |
Allowed Return on Rate Base | 7.96% |
The Connecticut Water Company [Member] | |
Allowed Rate of Return on Equity | 9.75% |
Allowed Return on Rate Base | 7.32% |
Pension and Other Post-Retire28
Pension and Other Post-Retirement Benefits Pension Benefit Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Pension Plans, Defined Benefit [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined Benefit Plan, Service Cost | $ 506 | $ 488 | $ 1,076 | $ 976 |
Defined Benefit Plan, Interest Cost | 786 | 763 | 1,557 | 1,526 |
Defined Benefit Plan, Expected Return on Plan Assets | (958) | (889) | (1,924) | (1,778) |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | 4 | 18 | 8 | 36 |
Defined Benefit Plan, Amortization of Gains (Losses) | 799 | 273 | 1,490 | 546 |
Defined Benefit Plan, Net Periodic Benefit Cost | 1,137 | 653 | 2,207 | 1,306 |
Other Postretirement Benefit Plans, Defined Benefit [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Defined Benefit Plan, Service Cost | 77 | 154 | 229 | 308 |
Defined Benefit Plan, Interest Cost | 135 | 160 | 282 | 320 |
Defined Benefit Plan, Expected Return on Plan Assets | (81) | (77) | (162) | (154) |
Defined benefit plan amortization of regulatory assets | 56 | 56 | 112 | 112 |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | (144) | (201) | (286) | (402) |
Defined Benefit Plan, Amortization of Gains (Losses) | 83 | 68 | 193 | 136 |
Defined Benefit Plan, Net Periodic Benefit Cost | $ 126 | $ 160 | $ 368 | $ 320 |
Earnings per Share Earnings p29
Earnings per Share Earnings per Share (Details) - $ / shares | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Common Stock, Shares, Outstanding | 11,167,637 | 11,097,506 | 11,167,637 | 11,097,506 | 11,124,630 |
Weighted Average Number of Shares Outstanding, Basic | 10,957,571 | 10,886,883 | 10,941,043 | 10,877,883 | |
Diluted (in shares) | 11,156,798 | 11,085,061 | 11,150,583 | 11,073,258 | |
Basic (in dollars per share) | $ 0.79 | $ 0.69 | $ 1.07 | $ 0.96 | |
Incremental Common Shares Attributal To Share Based Payements Arrangements | (0.02) | (0.02) | (0.02) | (0.02) | |
Earnings Per Share, Diluted | $ 0.77 | $ 0.67 | $ 1.05 | $ 0.94 |
Earnings per Share EPS in Text
Earnings per Share EPS in Text Tagging (Details) - Jun. 30, 2015 - USD ($) $ in Millions | Total |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 1 year 5 months 15 days |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 1.4 |
Accumulated Other Comprehensi31
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accumulated Other Comprehensive Income (Loss) Tables [Abstract] | ||||||||
Other Comprehensive Income (Loss), Reclassification Adjustment for Sale of Securities Included in Net Income, before Tax | $ 128 | $ 0 | $ 128 | $ 18 | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment for Sale of Securities Included in Net Income, Tax | (53) | 0 | (53) | (7) | ||||
Accumulated Other Comprehensive Loss | $ (1,582) | (1,492) | $ 45 | (57) | (1,582) | 45 | $ (1,603) | $ (115) |
Other Comprehensive Income (Loss), Reclassification Adjustment for Sale of Securities Included in Net Income, Net of Tax | 75 | 75 | 0 | 0 | 75 | 11 | ||
Other Comprehensive Income (Loss), Reclassification, Pension and Other Postretirement Benefit Plans, Net Gain (Loss) Recognized in Net Periodic Benefit Cost, before Tax | 61 | 74 | ||||||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Tax | (24) | (13) | ||||||
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | 250 | 312 | 297 | 256 | 250 | 297 | 298 | |
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | (1,832) | (1,804) | (252) | (313) | (1,832) | (252) | $ (1,901) | |
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, before Reclassification Adjustments, Net of Tax | (137) | 41 | (123) | |||||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, before Reclassification Adjustments, Net of Tax | (65) | 0 | (65) | |||||
Total Other Comprehensive Income Before Reclassification, Net of Tax | (202) | 41 | (188) | 27 | ||||
Other Comprehensive Income (Loss), Reclassification, Pension and Other Postretirement Benefit Plans, Net Gain (Loss) Recognized in Net Periodic Benefit Cost, Net of Tax | 37 | 37 | 61 | 61 | 134 | 122 | ||
Total Amounts Reclassified From AOCI, Net of Tax | 112 | $ 112 | 61 | $ 61 | 209 | 133 | ||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | (62) | 41 | (48) | 38 | ||||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | (28) | 61 | 69 | 122 | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | $ (90) | $ 102 | $ 21 | $ 160 |
Long-Term Debt Long-Term Debt32
Long-Term Debt Long-Term Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | $ 177,302 | $ 176,601 |
Long-term Debt, Current Maturities | (2,469) | (2,457) |
Long-term Debt | 177,302 | 176,601 |
Parent [Member] | Connecticut Water Service Term Loan Note and Supplement A [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 14,974 | 15,466 |
The Connecticut Water Company [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | (134,534) | (134,643) |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series Issued 2004, Due 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 12,500 | 12,500 |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series A Issued 2004 Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 5,000 | 5,000 |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series B Issued 2004 Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 4,550 | 4,550 |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series A Issued 2009, Due 2039 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 19,930 | 19,950 |
The Connecticut Water Company [Member] | CoBank Note Payable, Due 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 8,000 | 8,000 |
The Connecticut Water Company [Member] | CoBank Note Payable Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 14,795 | 14,795 |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series A Issued 2011 Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 23,394 | 23,483 |
The Connecticut Water Company [Member] | CoBank Note Payable Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 17,020 | 17,020 |
The Connecticut Water Company [Member] | CoBank Note Payable Due 2032 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 14,795 | 14,795 |
The Connecticut Water Company [Member] | CoBank Note Payable, Due 2033 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 14,550 | 14,550 |
Maine Water Company [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | (29,572) | (28,129) |
Maine Water Company [Member] | Maine Water Company Series G [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 9,000 | 9,000 |
Maine Water Company [Member] | Maine Water Company Series J [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 339 | 424 |
Maine Water Company [Member] | Maine Water Company Series K [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 656 | 698 |
Maine Water Company [Member] | Maine Water Company Series L [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 75 | 83 |
Maine Water Company [Member] | Maine Water Company Series M [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 361 | 381 |
Maine Water Company [Member] | Maine Water Company Series N [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 431 | 431 |
Maine Water Company [Member] | Maine Water Company Series O [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 127 | 133 |
Maine Water Company [Member] | Maine Water Company Series P [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 411 | 431 |
Maine Water Company [Member] | Maine Water Company Series R [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 227 | 237 |
Maine Water Company [Member] | Maine Water Company Series S [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 650 | 672 |
Maine Water Company [Member] | Maine Water Company Series T [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 1,823 | 1,886 |
Maine Water Company [Member] | Fair Value Adjustment of Long-Term Debt Assume [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 691 | 820 |
Maine Water Company [Member] | 2012 Series U, Due 2042 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 160 | 165 |
Maine Water Company [Member] | 2013 Series V, Due 2033 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 1,360 | 1,385 |
Maine Water Company [Member] | CoBank Note Payable, Due 2017 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | (1,965) | (1,965) |
Maine Water Company [Member] | CoBank Note Payable, Due 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | (4,500) | (4,500) |
Maine Water Company [Member] | Series L, Due 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 2,250 | 2,250 |
Maine Water Company [Member] | Series N, Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 1,176 | 1,251 |
Maine Water Company [Member] | Series O, Due 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 846 | 846 |
Maine Water Company [Member] | Series P, Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | 1,324 | 1,354 |
Maine Water Company [Member] | Series Q, Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | (1,864) | 0 |
Maine Water Company [Member] | Long Term Capital Leases [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Excluding Current Maturities | $ 27 | $ 37 |
Long-Term Debt Long-Term Debt P
Long-Term Debt Long-Term Debt Parenthetical (Details) | Jun. 30, 2015 | Dec. 31, 2014 |
Parent [Member] | Connecticut Water Service Term Loan Note and Supplement A [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.09% | 4.09% |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series A Issued 2009, Due 2039 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 5.10% | 5.10% |
The Connecticut Water Company [Member] | Unsecured Water Facilities Revenue Refinancing Bonds Series A Issued 2011 Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | 5.00% |
The Connecticut Water Company [Member] | CoBank Note Payable, Due 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.16% | 3.16% |
The Connecticut Water Company [Member] | CoBank Note Payable Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.51% | 3.51% |
The Connecticut Water Company [Member] | CoBank Note Payable Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.29% | 4.29% |
The Connecticut Water Company [Member] | CoBank Note Payable Due 2032 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.72% | 4.72% |
The Connecticut Water Company [Member] | CoBank Note Payable, Due 2033 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | 4.75% |
Maine Water Company [Member] | Maine Water Company Series G [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 8.95% | 8.95% |
Maine Water Company [Member] | Maine Water Company Series J [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 2.68% | 2.68% |
Maine Water Company [Member] | Maine Water Company Series K [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.00% | 0.00% |
Maine Water Company [Member] | Maine Water Company Series L [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 2.58% | 2.58% |
Maine Water Company [Member] | Maine Water Company Series M [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.53% | 1.53% |
Maine Water Company [Member] | Maine Water Company Series N [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.73% | 1.73% |
Maine Water Company [Member] | Maine Water Company Series O [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.00% | 0.00% |
Maine Water Company [Member] | Maine Water Company Series P [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.76% | 1.76% |
Maine Water Company [Member] | Maine Water Company Series R [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.57% | 1.57% |
Maine Water Company [Member] | Maine Water Company Series S [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.00% | 0.00% |
Maine Water Company [Member] | Maine Water Company Series T [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.00% | 0.00% |
Maine Water Company [Member] | 2012 Series U, Due 2042 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.00% | 0.00% |
Maine Water Company [Member] | 2013 Series V, Due 2033 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.00% | 1.00% |
Maine Water Company [Member] | CoBank Note Payable, Due 2017 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | 3.00% |
Maine Water Company [Member] | Series L, Due 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 7.72% | 7.72% |
Maine Water Company [Member] | Series N, Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 2.40% | 2.40% |
Maine Water Company [Member] | Series O, Due 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.86% | 1.86% |
Maine Water Company [Member] | Series P, Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 2.23% | 2.23% |
Maine Water Company [Member] | Series Q, Due 2028 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.01% | 0.01% |
Long-Term Debt Long-Term Debt i
Long-Term Debt Long-Term Debt in Text (Details) - Entity [Domain] - Debt Instrument, Name [Domain] - USD ($) | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | $ 2,469,000 | $ 2,457,000 |
Monetary Limit of Deceased Bond Holders Redemption per Year | $ 25,000 | |
Percent Limit of Deceased Bond Holders Redemption per Year | 3.00% |
Fair Value Disclosures Fair V35
Fair Value Disclosures Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | $ 4,895 | $ 4,933 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 1,905 | 1,956 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 2,990 | 2,977 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Cash Surrender Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 2,990 | 2,977 |
Cash Surrender Value [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Cash Surrender Value [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 2,990 | 2,977 |
Cash Surrender Value [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 55 | 166 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 55 | 166 |
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Equity Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 1,426 | 1,790 |
Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 1,426 | 1,790 |
Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | $ 0 | $ 0 |
Fair Value Disclosures In Text
Fair Value Disclosures In Text Tagging (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term Debt, Fair Value | $ 188,509 | $ 189,942 |
Long-term Debt | 177,302 | 176,601 |
Advances for Construction | $ 24,809 | $ 26,718 |
Segment Reporting Segment Rep37
Segment Reporting Segment Reporting (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 28,430 | $ 27,286 | $ 50,132 | $ 49,318 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 9,264 | 9,492 | 11,580 | 13,120 |
Income Tax Expense (Benefit), Continuing Operations | 589 | 2,002 | (198) | 2,644 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 8,675 | 7,490 | 11,778 | 10,476 |
Water Activities [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 26,967 | 25,810 | 47,307 | 46,430 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 8,698 | 8,837 | 10,385 | 11,755 |
Income Tax Expense (Benefit), Continuing Operations | 398 | 1,745 | (649) | 2,110 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 8,300 | 7,092 | 11,034 | 9,645 |
Real Estate Transactions [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 0 | 0 | 0 | 0 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 0 | 0 | 0 | 0 |
Income Tax Expense (Benefit), Continuing Operations | 0 | 0 | 0 | 0 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 0 | 0 | 0 | 0 |
Services and Rentals [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,463 | 1,476 | 2,825 | 2,888 |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest | 566 | 655 | 1,195 | 1,365 |
Income Tax Expense (Benefit), Continuing Operations | 191 | 257 | 451 | 534 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ 375 | $ 398 | $ 744 | $ 831 |
Segment Reporting Segment Rep38
Segment Reporting Segment Reporting Textual Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Operating Revenues | $ 26,624,000 | $ 25,459,000 | $ 46,654,000 | $ 45,719,000 |
Regulated Operating Revenue, Other | 343,000 | 351,000 | 653,000 | 711,000 |
Water Revenue Adjustment | $ 2,652,000 | $ 2,686,000 | $ 2,463,000 | $ 2,793,000 |
Segment Reporting Assets by Seg
Segment Reporting Assets by Segment (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Total Plant and Other Investments | $ 523,854 | $ 515,211 |
Other Assets | 169,947 | 155,978 |
Assets | 693,801 | 671,189 |
Water Activities [Member] | ||
Segment Reporting Information [Line Items] | ||
Total Plant and Other Investments | 523,270 | 514,606 |
Other Assets | 169,356 | 152,929 |
Services and Rentals and Real Estate Combine [Member] | ||
Segment Reporting Information [Line Items] | ||
Total Plant and Other Investments | 584 | 605 |
Other Assets | $ 591 | $ 3,049 |
Income Tax Expense Income Tax E
Income Tax Expense Income Tax Expense (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Operating Loss Carryforwards [Line Items] | ||||
Effective Income Tax Rate, Continuing Operations | 6.40% | 21.10% | (1.70%) | 20.20% |
Effective Tax Rate Excluding Reserve Against Fixed Capital Investment Credits Claimed in Prior Years | 12.80% | 11.60% | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate | 41.00% | 41.00% |
Lines of Credit Lines of Credit
Lines of Credit Lines of Credit (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Short-term Debt [Line Items] | ||
Line of Credit Facility, Current Borrowing Capacity | $ 35,000 | |
Interim Bank Loans Payable | 3,718 | $ 1,991 |
Line of Credit Facility, Remaining Borrowing Capacity | 31,300 | |
CTWS Line of Credit A [Member] | ||
Short-term Debt [Line Items] | ||
Line of Credit Facility, Current Borrowing Capacity | 15,000 | |
CTWS Line of Credit B [Member] | ||
Short-term Debt [Line Items] | ||
Line of Credit Facility, Current Borrowing Capacity | $ 20,000 |