Attached files
| file | filename |
|---|---|
| 8-K/A - 8-K/A - Clearway Energy, Inc. | a14-17305_18ka.htm |
| EX-99.3 - EX-99.3 - Clearway Energy, Inc. | a14-17305_1ex99d3.htm |
| EX-23.3 - EX-23.3 - Clearway Energy, Inc. | a14-17305_1ex23d3.htm |
| EX-99.1 - EX-99.1 - Clearway Energy, Inc. | a14-17305_1ex99d1.htm |
| EX-23.2 - EX-23.2 - Clearway Energy, Inc. | a14-17305_1ex23d2.htm |
| EX-99.5 - EX-99.5 - Clearway Energy, Inc. | a14-17305_1ex99d5.htm |
| EX-99.7 - EX-99.7 - Clearway Energy, Inc. | a14-17305_1ex99d7.htm |
| EX-23.1 - EX-23.1 - Clearway Energy, Inc. | a14-17305_1ex23d1.htm |
| EX-99.2 - EX-99.2 - Clearway Energy, Inc. | a14-17305_1ex99d2.htm |
| EX-99.6 - EX-99.6 - Clearway Energy, Inc. | a14-17305_1ex99d6.htm |
Exhibit 99.4
NRG SOLAR KANSAS SOUTH LLC
Financial Statements
(unaudited)
March 31, 2014
NRG SOLAR KANSAS SOUTH LLC
Balance Sheets
(Amounts in thousands)
|
|
|
March 31, |
|
December 31, |
|
|
|
|
(unaudited) |
|
|
|
|
Assets |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
Cash |
$ |
1,092 |
|
— |
|
|
Restricted cash |
|
198 |
|
3,483 |
|
|
Accounts receivable - trade |
|
358 |
|
225 |
|
|
Prepaid expenses |
|
22 |
|
22 |
|
|
Renewable energy grant receivable |
|
21,115 |
|
21,115 |
|
|
Total current assets |
|
22,785 |
|
24,845 |
|
|
Property, plant and equipment: |
|
|
|
|
|
|
Property, plant and equipment |
|
50,450 |
|
51,534 |
|
|
Less accumulated depreciation |
|
(1,932 |
) |
(1,277 |
) |
|
Net property, plant and equipment |
|
48,518 |
|
50,257 |
|
|
Other assets: |
|
|
|
|
|
|
Notes receivable |
|
369 |
|
369 |
|
|
Derivative assets |
|
1,475 |
|
2,161 |
|
|
Other noncurrent assets |
|
272 |
|
272 |
|
|
Total other assets |
|
2,116 |
|
2,802 |
|
|
Total assets |
$ |
73,419 |
|
77,904 |
|
|
Liabilities and Members’ Equity |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Current portion of long-term debt |
$ |
23,076 |
|
23,326 |
|
|
Accounts payable -trade |
|
97 |
|
103 |
|
|
Derivative liabilities |
|
412 |
|
539 |
|
|
Other current liabilities |
|
821 |
|
3,770 |
|
|
Total current liabilities |
|
24,406 |
|
27,738 |
|
|
Other liabilities: |
|
|
|
|
|
|
Long-term debt |
|
34,606 |
|
34,606 |
|
|
Total noncurrent liabilities |
|
34,606 |
|
34,606 |
|
|
Total liabilities |
|
59,012 |
|
62,344 |
|
|
Members’ equity |
|
|
|
|
|
|
Contributed capital |
|
14,464 |
|
14,464 |
|
|
Accumulated deficit |
|
(1,120 |
) |
(526 |
) |
|
Accumulated other comprehensive income |
|
1,063 |
|
1,622 |
|
|
Total members’ equity |
|
14,407 |
|
15,560 |
|
|
Total liabilities and members’ equity |
$ |
73,419 |
|
77,904 |
|
See accompanying Notes to Financial Statements
NRG SOLAR KANSAS SOUTH LLC
Statements of Operations and Comprehensive Income
(Amounts in thousands)
(unaudited)
|
|
|
Three months |
| |
|
Operating revenue: |
|
|
| |
|
Sales of electricity |
|
$ |
806 |
|
|
Total operating revenues |
|
806 |
| |
|
Operating costs and expenses: |
|
|
| |
|
Cost of operations |
|
199 |
| |
|
Depreciation expense |
|
655 |
| |
|
Total operating costs and expenses |
|
854 |
| |
|
Operating loss |
|
(48 |
) | |
|
Other expense, net: |
|
|
| |
|
Interest expense |
|
546 |
| |
|
Total other expense, net |
|
546 |
| |
|
Net loss |
|
(594 |
) | |
|
Other comprehensive income: |
|
|
| |
|
Unrealized loss on derivatives |
|
559 |
| |
|
Other comprehensive loss |
|
559 |
| |
|
Comprehensive loss |
|
$ |
(1,153 |
) |
See accompanying Notes to Financial Statements
NRG SOLAR KANSAS SOUTH LLC
Statements of Cash Flows
(Amounts in thousands)
(unaudited)
|
|
|
Three months |
| |
|
Cash flows from operating activities: |
|
|
| |
|
Net loss |
|
$ |
(594 |
) |
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
| |
|
Depreciation expense |
|
655 |
| |
|
Changes in assets and liabilities: |
|
|
| |
|
Accounts receivable - trade |
|
(133 |
) | |
|
Accounts payable - trade |
|
(6 |
) | |
|
Other current liabilities |
|
263 |
| |
|
Net cash provided by operating activities |
|
185 |
| |
|
Cash flows from investing activities: |
|
|
| |
|
Capital expenditures |
|
(2,128 |
) | |
|
Decrease in restricted cash |
|
3,285 |
| |
|
Net cash provided by investing activities |
|
1,157 |
| |
|
Cash flows from financing activities: |
|
|
| |
|
Repayment of long-term debt |
|
(250 |
) | |
|
Net cash used in financing activities |
|
(250 |
) | |
|
Net change in cash and cash equivalents |
|
1,092 |
| |
|
Cash and cash equivalents, beginning of period |
|
— |
| |
|
Cash and cash equivalents, end of period |
|
$ |
1,092 |
|
See accompanying Notes to Financial Statements
Notes to Unaudited Financial Statements
(1) Nature of Business
NRG Solar Kansas South LLC (Kansas South or the Company), a Delaware limited liability company, is a wholly owned subsidiary of NRG Solar Kansas South Holdings LLC (Kansas South Holdings), a Delaware limited liability company, a wholly owned subsidiary of NRG Solar PV LLC (Solar PV), a Delaware limited liability company, a wholly owned subsidiary of NRG Solar LLC (NRG Solar), a Delaware limited liability company, a wholly owned subsidiary of NRG Repowering Holdings LLC (NRG RH), a Delaware limited liability company, a wholly owned subsidiary of NRG Energy, Inc. (NRG or the Parent).
The Company, along with Kansas South Holdings, was originally a wholly owned subsidiary of Recurrent Energy Development Holdings, LLC (Recurrent) and was organized to develop, design, construct, own, and operate the 20MW Kansas South photovoltaic solar generating facility located near Stratford, California. In February 2013, Solar PV entered into a Purchase and Sale Agreement with Recurrent to acquire 100% of the equity interest in the Company.
In June 2011, the Company entered into a 20-year solar project power purchase agreement (PPA) to provide solar-generated electricity to Pacific Gas and Electric (PG&E).
On May 13, 2013, the Company was acquired by NRG. The construction of the Facility was completed and commercial operations commenced on June 7, 2013. The accounting for the acquisition in accordance with ASC 805, Business Combinations, was completed during the second quarter of 2014, with no material changes.
On April 21, 2014, the Company received $21 million from the U.S. Treasury Department, which represented the full amount of the renewable energy grant receivable. On April 24, 2014, the Company utilized the proceeds of the cash grant to repay the outstanding balance of the cash grant loan.
The following notes should be read in conjunction with the accounting policies and other disclosures as set forth in the notes to the Company’s annual financial statements. Interim results are not necessarily indicative of results for a full year.
(2) Derivative Instruments and Hedging Activity
The Company has a fixed for floating interest rate swap for 75% of its outstanding term loan amount. The notional amount of the swap was $27 million as of March 31, 2014. The following table summarizes the effects of the swap on the Company’s accumulated OCI balance, which reflects the change in the fair value of the swaps as they are accounted for as cash flow hedges (amounts in thousands):
|
Accumulated OCI balance as at December 31, 2013 |
|
$ |
1,622 |
|
|
|
|
|
| |
|
Mark-to-market of cash flow hedge accounting contracts |
|
(559 |
) | |
|
|
|
|
| |
|
Accumulated OCI balance as at March 31, 2014 |
|
$ |
1,063 |
|
(3) Commitments and Contingencies
In February 2014, the Company received a demand letter from Recurrent requesting payments for certain disputed items within the purchase and sale agreement. The Company engaged independent engineers to investigate the validity of the related claims and responded to the demand letter contesting the related payments. Thereafter, the parties engaged in settlement discussions and on July 17, 2014, they reached an agreement in principle to resolve the claims for approximately $1 million.
(4) Subsequent Events
These financial statements and notes reflect the Company’s evaluation of events occurring subsequent to the balance sheet date through July 17, 2014, the date that the financial statements are available to be issued.