Note 19 - Business Segments

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

NOTE 19 — BUSINESS SEGMENTS

The Company has two reporting segments: Electricity and Product Segments. These segments are managed and reported separately as each offers different products and serves different markets. The Electricity Segment is engaged in the sale of electricity from the Company’s power plants pursuant to PPAs. The Product Segment is engaged in the manufacture, including design and development, of turbines and power units for the supply of electrical energy and in the associated construction of power plants utilizing the power units manufactured by the Company to supply energy from geothermal fields and other alternative energy sources. Transfer prices between the operating segments were determined on current market values or cost plus markup of the seller’s business segment.

Summarized financial information concerning the Company’s reportable segments is shown in the following tables:

	Electricity			Product		Consolidated
	(Dollars in thousands)
Year Ended December 31, 2014:
Net revenues from external customers	$	382,301		$	177,223	$	559,524
Intersegment revenues		—			44,718		44,718
Depreciation and amortization expense		97,826			2,973		100,799
Operating income (loss)		90,401			53,089		143,490
Segment assets at period end *		1,963,486			158,070		2,121,556
Expenditures for long-lived assets		155,323			3,458		158,781
* Including unconsolidated investments		—			—		—
Year Ended December 31, 2013:
Net revenues from external customers	$	329,747		$	203,492	$	533,239
Intersegment revenues		—			37,248		37,248
Depreciation and amortization expense		88,853			4,079		92,932
Operating income (loss)		54,265			42,693		96,958
Segment assets at period end *		2,017,838			141,595		2,159,433
Expenditures for long-lived assets		203,047			1,581		204,628
* Including unconsolidated investments		7,076			—		7,076
Year Ended December 31, 2012 :
Net revenues from external customers	$	314,894		$	186,879	$	501,773
Intersegment revenues		—			48,315		48,315
Depreciation and amortization expense		95,927			3,557		99,484
Operating income		(189,994	)		30,098		(159,896	)
Segment assets at period end *		1,990,490			97,033		2,087,523
Expenditures for long-lived assets		228,289			4,731		233,020
* Including unconsolidated investments		2,591			—		2,591

Reconciling information between reportable segments and the Company’s consolidated totals is shown in the following table:

	Year Ended December 31,
	2014			2013			2012
	(Dollars in thousands)
Revenues:
Total segment revenues	$	559,524		$	533,239		$	501,773
Intersegment revenues		44,718			37,248			48,315
Elimination of intersegment revenues		(44,718	)		(37,248	)		(48,315	)
Total consolidated revenues	$	559,524		$	533,239		$	501,773
Operating income:
Operating income	$	143,490		$	96,958		$	(159,896	)
Interest income		312			1,332			1,201
Interest expense, net		(84,654	)		(73,776	)		(64,069	)
Foreign currency translation and transaction gains (losses)		(5,839	)		5,085			242
Income attributable to sale of equity interest		24,143			19,945			10,127
Gain from sale of property, plant and equipment		7,628			—			—
Other non-operating income (expense), net		756			1,592			590
Total consolidated income before income taxes and equity in income of investees	$	85,836		$	51,136		$	(211,805	)

The Company sells electricity and products for power plants and others, mainly to the geographical areas according to location of the customers, as detailed below. The following tables present certain data by geographic area:

	Year Ended December 31,
	2014		2013		2012
	(Dollars in thousands)
Revenues from external customers attributable to: (1)
North America	$	293,710	$	314,666	$	271,845
Pacific Rim		4,859		20,082		109,177
Latin America		29,329		21,879		27,939
Africa		86,074		68,746		40,885
Far East		59,212		10,582		2,075
Europe		86,340		97,284		49,852
Consolidated total	$	559,524	$	533,239	$	501,773

____________

⁽¹⁾Revenues as reported in the geographic area in which they originate.

	Year Ended December 31,
	2014		2013		2012
	(Dollars in thousands)
Long-lived assets (primarily power plants and related assets) located in:
North America	$	1,369,136	$	1,387,449	$	1,358,877
Latin America		76,601		63,972		67,536
Africa		330,200		338,395		274,395
Europe		13,272		12,787		14,859
Pacific Rim and Far East		862		671		210
Consolidated total	$	1,790,071	$	1,803,274	$	1,715,877

The following table presents revenues from major customers:

	Year Ended December 31,
	2014			2013			2012
	Revenues		%	Revenues		%	Revenues		%
	(Dollars in thousands)			(Dollars in thousands)			(Dollars in thousands)
Southern California Edison (1)	$	75,803	13.5	$	75,562	14.2	$	90,239	18.0
Hawaii Electric Light Company (1)		44,513	8.0		48,825	9.2		48,606	9.7
Sierra Pacific Power Company and Nevada Power Company (1)(2)		92,580	16.5		94,111	17.6		78,631	15.7
Mighty River Power (3)		—	—		19,174	3.6		99,617	19.9
KPLC (1)		86,074	15.4		61,876	11.6		40,887	8.1

________

⁽¹⁾Revenues reported in Electricity Segment.

⁽²⁾Subsidiaries of NV Energy, Inc.

⁽³⁾Revenues reported in Products Segment.