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Segment Information
 9 Months Ended
Jun. 30, 2019
Segment Reporting [Abstract]  
Segment Information
Note 15 — Segment Information
We have determined that we have two reportable segments: (1) Gas Utility and (2) Electric Utility. Gas Utility revenues are derived principally from the sale and distribution of natural gas to customers in eastern and central Pennsylvania. Electric Utility derives its revenues principally from the sale and distribution of electricity in two northeastern Pennsylvania counties.
The accounting policies of our reportable segments are the same as those described in Note 2 of the Company’s 2018 Annual Report. Our Chief Operating Decision Maker evaluates the performance of our Gas Utility and Electric Utility segments principally based upon their income before income taxes. Financial information by business segment follows:
 
 
 
 
Reportable Segments
Three Months Ended June 30, 2019
 
Total
 
Gas Utility
 
Electric Utility
Revenues
 
$
163,893

 
$
144,441

 
$
19,452

Cost of sales
 
$
61,021

 
$
51,626

 
$
9,395

Depreciation
 
$
23,141

 
$
21,612

 
$
1,529

Operating income
 
$
20,325

 
$
18,592

 
$
1,733

Pension and other postretirement plans non-service income
 
$
440

 
$
387

 
$
53

Interest expense
 
$
(12,325
)
 
$
(11,522
)
 
$
(803
)
Income before income taxes
 
$
8,440

 
$
7,457

 
$
983

Capital expenditures (including the effects of accruals)
 
$
84,451

 
$
79,272

 
$
5,179

 
 
 
 
Reportable Segments
Three Months Ended June 30, 2018
 
Total
 
Gas Utility
 
Electric Utility
Revenues
 
$
159,934

 
$
138,597

 
$
21,337

Cost of sales
 
$
72,537

 
$
60,837

 
$
11,700

Depreciation
 
$
21,414

 
$
20,011

 
$
1,403

Operating income (a)
 
$
4,483

 
$
3,126

 
$
1,357

Pension and other postretirement plans non-service expense (a)
 
$
(569
)
 
$
(498
)
 
$
(71
)
Interest expense
 
$
(10,003
)
 
$
(9,829
)
 
$
(174
)
(Loss) income before income taxes
 
$
(6,089
)
 
$
(7,201
)
 
$
1,112

Capital expenditures (including the effects of accruals)
 
$
79,704

 
$
76,546

 
$
3,158

 
 
 
 
Reportable Segments
Nine Months Ended June 30, 2019
 
Total
 
Gas Utility
 
Electric Utility
Revenues
 
$
916,210

 
$
842,998

 
$
73,212

Cost of sales
 
$
438,516

 
$
398,910

 
$
39,606

Depreciation
 
$
67,956

 
$
63,554

 
$
4,402

Operating income
 
$
217,265

 
$
208,756

 
$
8,509

Pension and other postretirement plans non-service income
 
$
1,247

 
$
1,094

 
$
153

Interest expense
 
$
(36,294
)
 
$
(34,362
)
 
$
(1,932
)
Income before income taxes
 
$
182,218

 
$
175,488

 
$
6,730

Capital expenditures (including the effects of accruals)
 
$
232,569

 
$
221,112

 
$
11,457

 
 
 
 
 
 
 
As of June 30, 2019
 
 
 
 
 
 
Total assets
 
$
3,375,622

 
$
3,191,316

 
$
184,306

Goodwill
 
$
182,145

 
$
182,145

 
$
—

 
 
 
 
Reportable Segments
Nine Months Ended June 30, 2018
 
Total
 
Gas Utility
 
Electric Utility
Revenues
 
$
966,300

 
$
894,535

 
$
71,765

Cost of sales
 
$
481,613

 
$
440,726

 
$
40,887

Depreciation
 
$
62,926

 
$
58,787

 
$
4,139

Operating income (a)
 
$
237,124

 
$
232,049

 
$
5,075

Pension and other postretirement plans non-service expense (a)
 
$
(1,788
)
 
$
(1,565
)
 
$
(223
)
Interest expense
 
$
(32,033
)
 
$
(31,221
)
 
$
(812
)
Income before income taxes
 
$
203,303

 
$
199,263

 
$
4,040

Capital expenditures (including the effects of accruals)
 
$
206,492

 
$
196,751

 
$
9,741

 
 
 
 
 
 
 
As of June 30, 2018
 
 
 
 
 
 
Total assets
 
$
3,194,025

 
$
3,008,441

 
$
185,584

Goodwill
 
$
182,145

 
$
182,145

 
$
—


(a) Amounts reflect the reclassification of non-service income (expense) associated with our pension and other postretirement plans from “Operating and administrative expenses” to “Pension and other postretirement plans non-service income (expense)” on the Condensed Consolidated Statements of Income as a result of the adoption of ASU No. 2017-07 (see Note 3).