Topic:"Accounting Policies" in M12779

NSP Maritime Link Inc. Consolidated Balance Sheet As at December 31 millions of Canadian dollars 2025 2024 Assets Current assets Cash $ 15.3 $ 6.1 Restricted cash (note 1) 0.3 13.5 Due from related parties (note 10) 19.4 14.6 Regulatory as...

AI summary The consolidated balance sheet of NSP Maritime Link Inc. as of December 31, 2025, shows an increase in current assets, particularly in cash and regulatory assets, compared to 2024. Total assets decreased slightly, while liabilities increased, particularly long-term debt. Equity also decreased slightly over the same period.

NSP Maritime Link Inc. Consolidated Statement of Cash Flows Year Ended December 31 millions of Canadian dollars 2025 2024 Operating activities Net income $ 41.1 $ 44.7 Adjustments to reconcile net income to net cash provided by operating a...

AI summary The consolidated statement of cash flows for NSP Maritime Link Inc. shows net cash provided by operating activities of 114.7 million Canadian dollars in 2025, compared to (387.6) million in 2024. Net income decreased from 44.7 million to 41.1 million during the same period. Significant adjustments include depreciation and amortization, and changes in regulatory assets and liabilities.

NSP Maritime Link Inc. Consolidated Statement of Changes in Equity millions of Canadian dollars Common Stock Retained Earnings Total Equity Balance December 31, 2024 $ 375.3 $ 99.9 $ 475.2 Net income - 41.1 41.1 Reduction of stated capital...

AI summary The document presents the consolidated statement of changes in equity for NSP Maritime Link Inc. for the years ending December 31, 2025 and 2024. It shows changes in common stock, retained earnings, and total equity, including net income, reductions in stated capital, and dividends declared.

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

AI summary The section outlines significant accounting policies applied by Nova Scotia Power (NSP) under USGAAP. It provides context for financial reporting practices relevant to regulatory proceedings in Nova Scotia.

Other current assets consisted of the following: As at December 31 December 31 millions of Canadian dollars 2025 2024 Accounts receivable (1) $ 3.5 $ 0.8 Prepaid expense 0.8 0.8 HST receivable 0.2 0.8 Other 0.1 0.2 $ 4.6 $ 2.6 (1) Accounts...

AI summary The text presents a table detailing other current assets for the years 2025 and 2024, including accounts receivable, prepaid expenses, HST receivable, and other items. The accounts receivable balance is noted to be related to interest under the amended FLG, with further details in note 7.

Regulatory assets consisted of the following: As at December 31 December 31 millions of Canadian dollars 2025 2024 Deferred income tax regulatory asset $ 188.3 $ 170.7 Refund of prior year assessments to NSPI 481.4 488.7 Other regulatory a...

AI summary The text provides a table showing the regulatory assets of Nova Scotia Power as of December 31, 2025, and December 31, 2024, including deferred income tax regulatory assets, refunds of prior year assessments, and other regulatory assets.

NSPML recognizes deferred income tax assets and liabilities for the future tax consequences of events that have been included in the consolidated financial statements or income tax returns, in accordance with NSPML's rate-regulated account...

AI summary NSPML recognizes deferred income tax assets and liabilities based on future tax consequences, in accordance with its rate-regulated accounting policy approved by the NSEB. These taxes may be recovered from or returned to customers in future years, leading to the recognition of a net deferred income tax regulatory asset or liability.

Refund of prior year assessments to NSPI On November 29, 2024, the NSEB approved NSPML's application for the creation of a $500 million regulatory asset relating to a refund to NSPI for a portion of previous NSPML assessment payments to he...

AI summary The NSEB approved the creation of a $500 million regulatory asset for NSPML to refund NSPI for prior assessments related to the delayed Muskrat Falls project. The asset was amortized over 28 years, with $18.6 million amortized in 2025 and the unamortized balance at $481.4 million as of December 31, 2025.

Deferral of Marine Survey Costs On December 21, 2023, the NSEB approved NSPML's request to defer the cost of the 2024 marine survey over a 3 year period for customers. In 2024, a regulatory asset was created to defer the collection of this...

AI summary The NSEB approved NSPML's request to defer the 2024 marine survey costs over three years, creating a regulatory asset that was amortized in 2025. The unamortized balance as of December 31, 2025, was $1.3 million, which was recognized in 'OM&G' that year.

Other long-term assets consisted of the following: As at December 31 December 31 millions of Canadian dollars 2025 2024 Deferred debt financing costs ("DFC") (1) $ 25.4 $ 26.3 Right-of-use assets for operating leases 1.4 1.0 $ 26.8 $ 27.3...

AI summary The document outlines other long-term assets, including deferred debt financing costs and right-of-use assets for operating leases, with figures for 2025 and 2024. The deferred debt financing costs are related to interest rate derivative contracts used to hedge against rising interest rates prior to the issuance of long-term debt in 2014.

Accounts payable and accrued liabilities consisted of the following: As at December 31 December 31 millions of Canadian dollars 2025 2024 Accounts payable $ - $ 0.3 Accrued liabilities 3.1 3.8 $ 3.1 $ 4.1 10. RELATED PARTY TRANSACTIONS

AI summary The text provides a breakdown of accounts payable and accrued liabilities for the years 2025 and 2024, followed by a section titled '10. RELATED PARTY TRANSACTIONS', indicating the discussion of transactions between related parties.

The income tax provision, for the years ended December 31, differs from that computed using the enacted Canadian federal statutory income tax rate for the following reasons: millions of Canadian dollars 2025 2024 Income before provision fo...

AI summary The income tax provision for the years ended December 31, 2025 and 2024 differs from the statutory income tax rate due to deferred income taxes on regulated income recorded as regulatory assets and liabilities, provincial income taxes, and income tax recovery.

The following table reflects the composition of taxes on income from continuing operations presented in the Consolidated Statements of Income for the years ended December 31: Canada Canada millions of Canadian dollars (Federal) (Provincial...

AI summary The document provides a detailed breakdown of taxes on income from continuing operations, including deferred income tax assets and liabilities for the years 2025 and 2024. It also outlines NSPML's tax carryforwards, including net operating loss carryforwards, investment tax credits, and capital loss carryforwards, along with associated deferred tax assets and valuation allowances.

Authorized : Unlimited number of non-par value common shares. 2025 2024 millions of millions Canadian millions of millions of Canadian Issued and outstanding: of shares dollars shares dollars Balance, January 1 452.3 $ 375.3 452.3 $ 392.4...

AI summary The document outlines the issued and outstanding common shares of a company, showing no additional shares were issued to ENL in 2025 and 2024. A reduction of stated capital of $17.1 million was returned to the shareholder (Emera Inc.) in both years.

16. VARIABLE INTEREST ENTITY The Company performs ongoing analysis to assess whether it holds any VIEs or whether any reconsideration events have arisen with respect to existing VIEs. To identify potential VIEs, management reviews contract...

AI summary The document discusses the Company's ongoing analysis of variable interest entities (VIEs), including the identification of potential VIEs through contract reviews. NSPML is identified as the primary beneficiary of MLFT, requiring consolidation of MLFT into NSPML's financial statements.

Note 2: Please refer to summary of unregulated costs for detail on unregulated adjustments As at December 31 Unregulated Reg BS Reg BS December 31 Unregulated Reg BS Reg BS Other long-term assets 26.8 - 26.8 27.3 Retained earnings (note 2)...

AI summary The text provides a summary of unregulated costs and related financial figures, including retained earnings, deferred income taxes, and due from related parties as of December 31, 2025. It refers to a detailed summary of unregulated adjustments for further information.

NSP Maritime Link Inc. millions of Canadian dollars 2025 Rate Base Cash Restricted Cash 15.3 Due from related parties 0.3 Regualtory Assets 39.8 1.3 1.3 Note 3 Other current assets 1.1 Total current assets 57.8 Accumulated Depreciation (39...

AI summary The document provides a financial overview of NSP Maritime Link Inc. in 2025, detailing assets, liabilities, equity, and depreciation. Key items include regulatory assets, accumulated depreciation, and long-term debt. The note references an approved depreciation study.

1 Request IR-03: 2 3 Please provide a detailed breakdown of all balances due to and from related parties and 4 reconcile differences between the presentation of these balances in the regulated and 5 consolidated financial statements. 6 7 R...

AI summary The request asks for a detailed breakdown of balances due to and from related parties and a reconciliation of these balances between regulated and consolidated financial statements. The response refers to tables provided for this information.

Request IR-05: - a) Please provide a detailed breakdown of the deferred income tax regulatory asset balance of $188.3 million as reported for 2025. - b) In addition, include supporting schedules that show the changes in the balance during...

AI summary The document requests a detailed breakdown and supporting schedules for the deferred income tax regulatory asset balance of $188.3 million as reported for 2025, with a response indicating a reconciliation of a $17.5 million change in the balance.

NSP Maritime Link Incorporated Change in Deferred Income Tax Regulatory Asset For the year ended December 31, 2025 In millions 2024 Deferred Income Tax 2024 Deferred Income Tax 2025 Deferred Income Tax 2025 Deferred Income Tax Change in Re...

AI summary The document details changes in the deferred income tax regulatory asset for NSP Maritime Link Incorporated for the year ended December 31, 2025. It includes a breakdown of changes in various components such as property, plant and equipment, net operating loss carryforwards, and regulatory assets. Additionally, it outlines a response to a request regarding changes in common stock, attributing the change to the return of stated capital linked to FLG1 debt payments.

14 b) The engineering and inspection activity that was deferred to 2026 is currently scheduled to 15 be completed in May 2026. 1 Request IR-08: 2 a) Please provide the unconsolidated financial statements for the year ended December 3 31, 2...

AI summary The engineering and inspection activity deferred to 2026 is now scheduled for completion in May 2026. The request for unconsolidated financial statements and related reconciliations for the year ended December 31, 2025, has been addressed with attachments providing the required financial information in Excel format.

operties of the properties of the properties of the properties of the properties of the properties of the properties of the properties of the properties of the properties of the properties of the properties of the properties of the propert...

AI summary The text appears to be a redacted and repetitive segment containing fragmented legal and accounting terminology, possibly related to financial reporting and corporate governance. It mentions formulas and provisions related to income, arm's length dealings, and corporate activities, though the content is incomplete and unclear.

- For more information, see Guide RC4088, General Index of Financial Information (GIFI), and Guide T4012, T2 Corporation Income Tax Guide. Part 1 – Information on the person primarily involved with the financial information Provided accoun...

AI summary The text outlines financial information reporting requirements, including the preparation of corporate income tax returns and the absence of reservations, notes to financial statements, subsequent events, contingent liabilities, commitments, and investments in joint ventures or partnerships.

NSPML 2025 Financial Statements and Cost Containment Reports NSEB IR-12 Attachment 1 Page 19 of 79 REDACTED NSP Maritime Link Incorporated 82957 4318 RC0001 1 Description 705 2 Amount 395 4 Deduction under 20(1)(f) ITA 16,741 5 Lease Payme...

AI summary The document presents financial data related to NSP Maritime Link Incorporated, including deductions under the Income Tax Act, lease payments, marine survey costs deferral, and other financial line items. It includes a net income (loss) for income tax purposes, indicating a significant negative figure.

Note 2: This amount must be prorated by the following calculation: eligible amount of the gift divided by the proceeds of disposition of the gift.

AI summary This note outlines a proration calculation for an eligible gift amount based on the proceeds from the disposition of the gift.

82057-4318 RC0001 Year of origin: Federal Québec Alberta 1 prior year 2023-12-31 ———————————————————————————————————— 2025-06-11 15:24 – Amounts c carried forward – Addition al deduction for gifts of a medicine ——— 82957 4318 RC000 Total c...

AI summary The text appears to be a portion of a financial or accounting table, likely related to the recording of gifts of musical instruments and their adjustments. It includes line items such as 'Total current-year gifts of musical instruments' and 'Adjustment for an acquisition of control.'

- Part 2 - CCA calculation - Г 1 2 3 4 5 6 7 8 Class number Description Proceeds of dispositions of the DIEP (enter amount from column 8 that relates to the DIEP reported in column 4) UCC (column 2 plus column 3 plus or minus column 5 minu...

AI summary This table outlines the calculation of Capital Cost Allowance (CCA) for different classes of assets, including descriptions, proceeds from dispositions, UCC calculations, immediate expensing, and cost of acquisitions. It provides a structured approach to determining CCA for various asset classes.

Continuity of financial statement reserves (not deductible) Financial statement reserves (not deductible) Description Balance at the beginning of the year Transfer on an amalgamation or the wind-up of a subsidiary Add Deduct Balance at the...

AI summary This section presents a table detailing the continuity of financial statement reserves that are not deductible. It includes balances at the beginning and end of the year, as well as transfers and adjustments related to amalgamation or the wind-up of a subsidiary.

The total opening balance plus the total transfers should be entered on line 414 of Schedule 1 as a deduction. The total closing balance should be entered on line 126 of Schedule 1 as an addition. é Schedule 15

AI summary The text provides instructions for entering the total opening and closing balances on specific lines of Schedule 1, indicating a focus on accounting procedures and financial reporting.

82957 4318 RC0001 2020 00 11 10.21 02007 10101100001 Part 1 – Capital (continued) ———————————————————————————————————— S ubtotal A (from page 1) 2,092,784,200 A Deduct the following amounts: Deferred tax debit balance at the end of the yea...

AI summary The text presents a financial table related to capital and investment allowance, including deferred tax balances, unrealized foreign exchange losses, and various asset valuations. It outlines calculations for capital for the year and includes details on investment allowances for loans, bonds, and long-term debt.

NSPML 2025 Financial Statements and Cost Containment Reports NSEB IR-12 Attachment 1 Page 71 of 79 REDACTED NSP Maritime Link Incorporated 82957 4318 RC0001 Adjustment date Part 5 – worksneet for adjustment when a corporation is fo med as...

AI summary The text discusses the financial adjustment worksheet for a corporation formed through amalgamation, focusing on the calculation of costs and cash on hand for predecessor corporations. It provides instructions for filling out the worksheet and highlights the importance of record-keeping.