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Segment Information
 6 Months Ended
Jun. 30, 2016
Segment Reporting [Abstract]  
Segment Information
Segment Information
We use the management approach to identify operating segments. We organize our business around differences in regulatory environment and/or products or services, and the operating results of each segment are regularly reviewed by the chief operating decision maker (our Chief Executive Officer) in order to make decisions about resources and to assess performance. The segments are evaluated based on their pre-tax operating income. Our operations comprise two reportable segments:
•
Regulated Energy. The Regulated Energy segment includes natural gas distribution, natural gas transmission and electric distribution operations. All operations in this segment are regulated, as to their rates and services, by the PSC having jurisdiction in each operating territory or by the FERC in the case of Eastern Shore.
•
Unregulated Energy. The Unregulated Energy segment includes propane distribution and wholesale marketing operations, and natural gas marketing operations, which are unregulated as to their rates and services. Effective April 1, 2015, this segment includes Aspire Energy, whose services include natural gas gathering, processing, transportation and supply (See Note 3, Acquisitions, regarding the merger with Gatherco). Also included in this segment are other unregulated energy services, such as energy-related merchandise sales and heating, ventilation and air conditioning, plumbing and electrical services.
The remainder of our operations is presented as “Other businesses and eliminations”, which consists of unregulated subsidiaries that own real estate leased to Chesapeake Utilities, as well as certain corporate costs not allocated to other operations.

The following table presents financial information about our reportable segments:
 
 
Three Months Ended
 
Six Months Ended
 
 
June 30,
 
June 30,
 
 
2016
 
2015
 
2016
 
2015
(in thousands)
 
 
 
 
 
 
 
 
Operating Revenues, Unaffiliated Customers
 
 
 
 
 
 
 
 
Regulated Energy segment
 
$
66,590

 
$
61,790

 
$
155,483

 
$
171,082

Unregulated Energy segment
 
35,752

 
30,892

 
93,155

 
91,681

Total operating revenues, unaffiliated customers
 
$
102,342

 
$
92,682

 
$
248,638

 
$
262,763

Intersegment Revenues (1)
 
 
 
 
 
 
 
 
Regulated Energy segment
 
$
805

 
$
270

 
$
1,128

 
$
560

Unregulated Energy segment
 
1,052

 
1,666

 
1,165

 
1,873

Other businesses
 
240

 
220

 
466

 
440

Total intersegment revenues
 
$
2,097

 
$
2,156

 
$
2,759

 
$
2,873

Operating Income
 
 
 
 
 
 
 
 
Regulated Energy segment
 
$
15,226

 
$
13,605

 
$
39,545

 
$
35,788

Unregulated Energy segment
 
412

 
(540
)
 
12,347

 
14,689

Other businesses and eliminations
 
104

 
105

 
230

 
201

Total operating income
 
15,742

 
13,170

 
52,122

 
50,678

Other Expense, net
 
(8
)
 
(171
)
 
(42
)
 
(38
)
Interest
 
2,624

 
2,485

 
5,274

 
4,933

Income before Income Taxes
 
13,110

 
10,514

 
46,806

 
45,707

Income taxes
 
5,081

 
4,220

 
18,410

 
18,304

Net Income
 
$
8,029

 
$
6,294

 
$
28,396

 
$
27,403

 
(1) 
All significant intersegment revenues are billed at market rates and have been eliminated from consolidated operating revenues.
(in thousands)
 
June 30, 2016
 
December 31, 2015
Identifiable Assets
 
 
 
 
Regulated Energy segment
 
$
892,513

 
$
872,065

Unregulated Energy segment
 
192,654

 
171,840

Other businesses and eliminations
 
11,880

 
23,516

Total identifiable assets
 
$
1,097,047

 
$
1,067,421



Our operations are entirely domestic.