Subsequent to the issuance of the Company's Consolidated Financial Statements for the year ended December 31, 2017, the Company identified an immaterial computational error related to the amount of authorized revenue recorded pursuant to the Company's pension and health care cost recovery balancing accounts. In accordance with the 2015 GRC, the Company adjusts the revenue and corresponding balancing accounts quarterly to reflect actual pension and health care costs, subject to certain limitations prescribed by the 2015 GRC. The error does not impact the billings to customers or the cash collected from customers in this GRC period, which ends on December 31, 2019. As provided for in the 2015 GRC, the amounts included in the balancing account will be recovered from or refunded to customers during the next GRC period.

The Company corrected the error in the accompanying Consolidated Financial Statements for the year ended December 31, 2017. The Company believes the correction of the error is immaterial to the previously issued Consolidated Financial Statements for prior periods.

The corrections to the Company's Consolidated Statement of Income for the year ended December 31, 2017 were as follows:

Consolidated Statement of Income



	2017
	As Previously Reported		Adjustments (a)			As Adjusted		Corrections		As Corrected
	(In thousands, except per share data)
Operating revenue	$	666,890	$	—		$	666,890	$	9,223	$	676,113
Operating expenses:
Income taxes	28,928		2,887			31,815		3,464		35,279
Total operating expenses	572,267		(6,701		)	565,566		3,464		569,030
Net operating income	94,623		6,701			101,324		5,759		107,083
Net income	$	67,181	$	—		$	67,181	$	5,759	$	72,940
Earnings per share:
Basic	$	1.40	$	—		$	1.40	$	0.12	$	1.52
Diluted	$	1.40	$	—		$	1.40	$	0.12	$	1.52

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(a)	Reflects the retrospective adoption of ASU 2017-07 (see Note 2). The Company adopted this guidance effective January 1, 2018.

The corrections to the Company's Consolidated Balance Sheet as of December 31, 2017 were as follows:

Consolidated Balance Sheet



	December 31, 2017
	As Previously Reported		Corrections			As Corrected
	(In thousands, except per share data)
ASSETS
Other assets:
Regulatory assets	$	401,147	$	4,335		$	405,482
Total other assets	464,537		4,335			468,872
TOTAL ASSETS	$	2,740,375	$	4,335		$	2,744,710
CAPITALIZATION AND LIABILITIES
Capitalization:
Retained earnings	$	356,753	$	5,759		$	362,512
Total common stockholders' equity	693,462		5,759			699,221
Total capitalization	1,209,255		5,759			1,215,014
Deferred income taxes	192,946		1,671			194,617
Regulatory liabilities	179,706		(3,095		)	176,611
TOTAL CAPITALIZATION AND LIABILITIES	$	2,740,375	$	4,335		$	2,744,710

The corrections to the Company's Consolidated Statement of Cash Flows for the year ended December 31, 2017 were as follows:



	2017
	As Previously Reported		Corrections			As Corrected
	(In thousands)
Operating activities:
Net income	$	67,181	$	5,759		$	72,940
Other changes in noncurrent assets and liabilities	19,511		(5,759		)	13,752
Net cash provided by operating activities	$	147,842	$	—		$	147,842

Other than for the correction to net income, retained earnings, and total stockholders’ equity shown above, the corrections had no impact to the Consolidated Statement of Common Stockholders' Equity for the year ended December 31, 2017.