Board Of Aldermen

Amounts recognized in regulatory assets for the DB and OPEB Plans that have not yet been
recognized as components of net periodic benefit cost of the following as of December 31,
2015:

(in thousands) DB Plan OPEB Plans
Net actuarial (gain)/loss $ 6,658 $ 433
Prior service cost - (196)
Regulatory asset $6,658 $ 237

Amounts recognized in regulatory assets for the DB and OPEB Plans that have not yet been
recognized as components of net periodic benefit cost of the following as of December 31,
2014:

The following table sets forth information regarding our DB Plan and our OPEB Plans as of
December 31, 2014 and for the year then ended:

(in thousands) DB Plan OPEB Plans
Projected benefit obligations $ 21,512 $ 3,000
Employer contribution 986 -
Benefits paid, excluding expenses (429) (34)
Fair value of plan assets 13,495 962
Accumulated benefit obligation 19,374 -
Funded status (8,017) (2,038)
Net periodic benefit cost 893 130

Amount of the funded status recognized in the
Consolidated Balance Sheet consisted of:

Note 6 — Post-retirement Benefit Plans
Pension Plan and Other Post-retirement Benefits

At December 31, 2015, contractual maturities of held-to-maturity securities, in the carrying
amount of approximately $17,237,000, were due in one year or less. Actual maturities may
differ from contractual maturities because some borrowers have the right to call or prepay
obligations with or without call or prepay penalties.

Note 4 ~ Accounts Receivable

Accounts receivable consisted of the following at December 31, 2015 and 2014:

Note 2 — Property, Plant and Equipment

The components of property, plant and equipment as of December 31, 2015 and 2014 were
as follows:

subsidiaries also record to plant and CIAC the fair market value of developer installed mains
and any excess of fair market value over the cost of community water systems purchased
from developers. CIAC are amortized over the life of the related properties.

Revenues

Accounts Receivable — Billed, Net

Accounts receivable are recorded at the invoiced amounts. The allowance for doubtful
accounts is our best estimate of the amount of probable credit losses in our existing accounts
receivable, and is determined based on historical write-off experience and the aging of
account balances. We review the allowance for doubtful accounts quarterly. Account bal-
ances are written off against the allowance when it is probable the receivable will not be
recovered.

Accounts Receivable — Unbilled, Net

the entire balance in this account, which included $23.4 million of principal due on the bonds
being refunded, as well as approximately $375,000 of accrued interest due on these bonds,
was paid out to the holders of those debt instruments.

Maintenance, repairs and minor improvements are charged to expense as incurred. Improve-
ments which significantly increase the value of property, plant and equipment are capitalized.

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 1 — Description of Business and Summary of Significant Accounting Policies

Description of Business: