Upon retirement, if a qualifying employee elects to receive medical benefits under our Post-65
Plan, we pay up to a maximum monthly benefit of $350 based on years of service.
The following table sets forth information regarding our DB Plan and our OPEB Plans as of
December 31, 2018 and for the year then ended:
Note 5 — Deferred Charges and Other Assets
Deferred charges and other assets as of December 31, 2018 and 2017 consisted of the
following:
Recovery
Period
(in thousands) 2018 2017 (in years)
Regulatory assets:
Source development charges $ 873 $ 952 5-25
Miscellaneous studies 865 980 2-25
Unrecovered pension and post-retirement
benefits expense 8,197 8,244 (1)
Total regulatory assets 9,935 10,176
Supplemental executive retirement plan asset 762 735
Total deferred charges and other assets $ 10,697 $ 10,911
Note 3 — Restricted Cash
The following table provides a reconciliation of cash, cash equivalents, and restricted cash
reported within the consolidated balance sheets that sum to the total of the same such amounts
shown in the statement of cash flows.
(in thousands) 2018 2017
Cash and cash equivalents $ 1,575 $ 994
Restricted cash - RSF 3,428 4,953
Restricted cash - Bond Project Funds 3,337 3,288
Total cash, cash equivalents and restricted cash
shown in the consolidated statements of cash flows $ 8,340 $ 9,235
Investment in Joint Venture
Southwood uses the equity method of accounting for its investment in a joint venture in which it
does not have a controlling interest. Under this method, Southwood records its proportionate
share of losses under “Other, net” in the accompanying Consolidated Statements of Income
(Loss) with a corresponding decrease in the carrying value of the investment.
Income Taxes
Deferred Charges and Other Assets
Deferred charges include certain regulatory assets and other assets. Regulatory assets are
amortized over the periods they are recovered through NHPUC-authorized water rates. The
Company’s utility subsidiaries have recorded certain regulatory assets in cases where the
NHPUWC has permitted, or is expected to permit, recovery of these costs over future periods.
Currently, the regulatory assets are being amortized over periods ranging from 2 to 25 years.
Unamortized Debt Issuance Costs
Concentration of Credit Risks
Cash and Cash Equivalents
Cash and cash equivalents generally consist of cash, money market funds and other short-term
liquid investments with original maturities of three months or less.
Restricted Cash - RSF
PENNICHUCK CORPORATION AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Note lI — Description of Business and Summary of Significant Accounting Policies
Description of Business:
PENNICHUCK CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Years Ended December 31, 2018 and 2017
(in thousands)
Financing Activities:
Borrowings (payments) on lines of credit, net
Payments on long-term debt
Contributions in aid of construction
Proceeds from long-term borrowings
Debt issuance costs
Dividends paid
