N-12025 Annual Financial Statements - Redacted
8 passages
2025 Annual Financial Statements Attachment 2 Page 42 of 48 REDACTED (CONFIDENTIAL INFORMATION REMOVED) NSPI has a business-wide risk management process, monitored by the Board of Directors, to ensure risks are appropriately identified, as...
AI summary NSPI outlines its business-wide risk management process, overseen by the Board of Directors, to identify, assess, and monitor significant risks that could cause a Material Adverse Effect on operations, liquidity, financial position, and results. These risks are largely beyond the company's control.
RISK MANAGEMENT INCLUDING FINANCIAL INSTRUMENTS NSPI's risk management policies and procedures provide a framework through which management monitors various risk exposures. The risk management policies and practices are monitored by the Bo...
AI summary NSPI's risk management framework includes oversight by the Board of Directors and use of financial instruments like derivatives to hedge commodity and foreign exchange risks. Derivatives are accounted for under regulatory accounting, with gains/losses recovered via the Fuel Adjustment Mechanism (FAM). The Credit Risk Oversight Committee and independent corporate team monitor risks.
Board and Director Performance Assessments The Board regularly assesses its effectiveness in order to find ways to improve its performance. The Board annually reviews the process by which Director performance assessments will be conducted....
AI summary The Board conducts annual performance assessments of its directors using questionnaires and one-on-one interviews, with results reported to the Board. Action plans address identified issues, and the independent Lead Director evaluates the Chair's performance separately.
2025 Board and Director Performance Assessment For the 2025 Board and Director Performance Assessment, the Chair spoke to each Director of NSPI in order to receive feedback about the effectiveness of the Board's operation. The Chair report...
AI summary The 2025 Board and Director Performance Assessment involved the Chair evaluating NSPI directors and the Lead Director assessing the Chair's performance through independent director interviews. Both assessments were reported to the Board on February 11, 2026.
- (2) For 2025, the threshold level for Net Earnings was $144M, target level was $160M, and stretch level was $205M. The overall result was below threshold levels, however, the NSP Board approved an interpolated result between 0 per cent f...
AI summary The document outlines the 2025 performance metrics for Net Earnings and CFFO, both of which fell below threshold levels. The NSPI Board recommended a Scorecard result of 88.4% of target after adjusting for the impact of a cyber incident, affecting all NSP executives, including Mr. Gregg.
Financial Review - [Management's Discussion & Analysis](#page-145-0) - [Forward-Looking Information](#page-146-0) - [Introduction and Strategic Overview](#page-146-0) - [Non-GAAP Financial Measures and Ratios](#page-147-0) - [Consolidated...
AI summary The document outlines the structure of a financial review, including sections on management's discussion, financial highlights, pension funding, liquidity, capital resources, and accounting policies, likely from a utility company like Emera or NSPI. It details consolidated financial statements, critical accounting estimates, and shareholder information.
Change in Law Risk The Company is also exposed to changes in the political environment and leadership, changes in law or regulations, changes to governmental policies, trade disputes, and the imposition of tariffs, any of which may impact...
AI summary The Company faces risks from political, legal, and regulatory changes, including deregulation, policy shifts affecting natural gas use, and data center laws. These may cause Material Adverse Effects, increased competition, and compliance challenges. Emera cannot predict future changes, making timely responses difficult.
Risk Management Including Financial Instruments The Company uses financial instruments as a method to manage its exposure to normal operating and market risks relating to commodity prices, interest rates, FX on forecast USD earnings and ca...
AI summary The Company uses financial instruments and derivatives to manage risks related to commodity prices, interest rates, FX, and deferred compensation. Derivatives are accounted for under NPNS exceptions, hedge accounting, or regulatory accounting, with gains/losses recognized in income or deferred. HFT derivatives are recorded in net income.
N-2Refiled Statements - NSPI - Redacted
6 passages
2025 Annual Financial Statements Attachment 2 Page 27 of 48 REDACTED (CONFIDENTIAL INFORMATION REMOVED) The Company assesses the potential for credit losses on a regular basis, and where appropriate, recognizes provisions. With respect to...
AI summary The Company manages credit risk by monitoring counterparties' creditworthiness, adjusting net liability/asset positions based on default probabilities, and securing cash deposits. Maximum credit exposure was $567 million as of December 31, 2025, with $119 million in past-due financial assets. Commodity master agreements and collateral mechanisms mitigate risks.
Risk Management and Compensation As part of the oversight responsibilities for the design and administration of the Company's executive compensation programs, the MRCC and NSPI Board identify and discuss design features or processes that m...
AI summary The MRCC and NSPI Board oversee the design and administration of executive compensation programs to identify and discuss potential conflicts of interest or inducements for excessive risk-taking. They also monitor industry trends and conduct annual risk assessments to ensure compensation aligns with the company's risk management approach.
Financial Review - [Management's Discussion & Analysis](#page-145-0) - [Forward-Looking Information](#page-146-0) - [Introduction and Strategic Overview](#page-146-0) - [Non-GAAP Financial Measures and Ratios](#page-147-0) - [Consolidated...
AI summary The document outlines the financial review section of a regulatory proceeding, covering topics such as Management's Discussion & Analysis, consolidated financial highlights, liquidity and capital resources, credit ratings, pension funding, and risk management. It includes sections on financial statements and related disclosures.
Enterprise Risk and Risk Management Emera has an enterprise-wide risk management process, overseen by its Enterprise Risk Management Committee ("ERMC") and monitored by the Board, to ensure risks are appropriately identified, assessed, mon...
AI summary Emera has an enterprise-wide risk management process managed by its Enterprise Risk Management Committee and Safety and Risk Committee, which oversee the identification and management of risks. These risks could have a material adverse effect on the company's operations, liquidity, and financial position.
2025 Annual Financial Statements Attachment 6 Page 51 of 138 REDACTED (CONFIDENTIAL INFORMATION REMOVED) Strategic Overview Management's Discussion and Analysis Consolidated Financial Statements Emera Leadership and Board Shareholder infor...
AI summary The document highlights the potential risks associated with cybersecurity breaches and their impact on Emera's operations, including system failures, loss of service, and financial losses. It outlines measures taken by the company to manage these risks, such as aligning with cybersecurity standards, conducting assessments, and engaging third-party experts.
C. Principal Financial Risks and Uncertainties Emera believes the following principal financial risks could have a material adverse effect on Emera or its subsidiaries, or their business operations, liquidity or access to or cost of capita...
AI summary Emera outlines principal financial risks that could affect its business, including those related to derivative instruments and fair value measurements. The company emphasizes the importance of risk management, which is overseen by its Enterprise Risk Management Committee and the Board of Directors' Safety and Risk Committee.