Q2 2023 Earnings Conference Call August 10, 2023 8:30 a.m. ET Forward-Looking Statements Certain written statements included herein and/or oral statements made in connection with the presentation contained herein constitute “forward-looking information” within the meaning of applicable securities laws in each of the provinces and territories of Canada and the respective policies, regulations and rules under such laws and “forward-looking statements” within the meaning of the U.S. Private Securities Litigati ...

[Unaudited Interim Consolidated Financial Statements](index=1&type=section&id=Unaudited%20Interim%20Consolidated%20Financial%20Statements) [Interim Consolidated Statements of Operations](index=2&type=section&id=Interim%20Consolidated%20Statements%20of%20Operations) AQN reported a significant increase in net loss for Q2 2023, primarily due to long-term investment losses, while six-month net earnings attributable to shareholders declined Consolidated Statements of Operations Highlights (in thousands of U.S. dollars, except per share amounts) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | :--- | :--- | | **Total Revenue** | $627,871 | $619,385 | $1,406,498 | $1,352,622 | | **Operating Income** | $93,714 | $107,035 | $236,188 | $244,281 | | **Loss from Long-term Investments** | ($277,696) | ($113,380) | ($57,684) | ($124,069) | | **Net Loss** | ($262,321) | ($62,322) | ($12,711) | ($9,724) | | **Net (Loss) Earnings Attributable to Shareholders** | ($253,231) | ($33,387) | $16,908 | $57,578 | | **Basic and Diluted Net (Loss) Earnings Per Share** | ($0.37) | ($0.05) | $0.02 | $0.08 | [Interim Consolidated Statements of Comprehensive Income (Loss)](index=3&type=section&id=Interim%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) The company reported a significantly increased comprehensive loss for Q2 2023, primarily due to OCI volatility, while the six-month period saw a reversal to comprehensive income Comprehensive Income (Loss) Summary (in thousands of U.S. dollars) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | :--- | :--- | | **Net Loss** | ($262,321) | ($62,322) | ($12,711) | ($9,724) | | **Other Comprehensive Income (Loss), net of tax** | $35,728 | ($61,412) | $68,538 | ($112,446) | | **Comprehensive (Loss) Income** | ($226,593) | ($123,734) | $55,827 | ($122,170) | | **Comprehensive (Loss) Income Attributable to Shareholders** | ($217,900) | ($93,359) | $85,234 | ($54,115) | [Interim Consolidated Balance Sheets](index=4&type=section&id=Interim%20Consolidated%20Balance%20Sheets) Total assets remained stable at $17.97 billion, while total liabilities increased to $11.14 billion, primarily due to higher long-term debt Balance Sheet Highlights (in thousands of U.S. dollars) | Account | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Total Current Assets** | $1,048,996 | $1,094,481 | | **Total Assets** | $17,968,713 | $17,627,613 | | **Total Current Liabilities** | $1,471,480 | $1,534,460 | | **Total Long-Term Debt** | $7,569,344 | $7,088,743 | | **Total Liabilities** | $11,133,247 | $10,791,150 | | **Total Equity** | $6,835,466 | $6,836,439 | [Interim Consolidated Statement of Equity](index=6&type=section&id=Interim%20Consolidated%20Statement%20of%20Equity) Total equity remained stable at $6.84 billion, with OCI gains largely offset by net loss attributable to non-controlling interests and dividends Statement of Equity Reconciliation - Six Months Ended June 30, 2023 (in thousands of U.S. dollars) | Item | Amount | | :--- | :--- | | **Balance, December 31, 2022** | $6,836,439 | | Net Earnings (Loss) | ($12,711) | | Other Comprehensive Income (OCI) | $68,538 | | Dividends declared and distributions | ($157,969) | | Contributions from non-controlling interests | $107,933 | | Share issuances and other | ($4,764) | | **Balance, June 30, 2023** | $6,835,466 | [Interim Consolidated Statements of Cash Flows](index=10&type=section&id=Interim%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow slightly decreased, while investing activities significantly reduced cash usage, and financing activities provided less cash compared to the prior year Cash Flow Summary - Six Months Ended June 30 (in thousands of U.S. dollars) | Cash Flow Category | 2023 | 2022 | | :--- | :--- | :--- | | **Operating Activities** | $294,677 | $301,558 | | **Investing Activities** | ($494,568) | ($1,314,533) | | **Financing Activities** | $228,518 | $981,721 | | **Net Increase (Decrease) in Cash** | $29,499 | ($33,100) | [Notes to the Unaudited Interim Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20the%20Unaudited%20Interim%20Consolidated%20Financial%20Statements) [Note 3: Business Acquisition](index=12&type=section&id=Note%203.%20Business%20acquisition) This note details the termination of the Kentucky Power acquisition, resulting in a $46.5 million loss, and the acquisition of the remaining 50% of the Deerfield II wind farm [Kentucky Power Company Acquisition Termination](index=12&type=section&id=3(a)%20Kentucky%20Power%20Company%20and%20AEP%20Kentucky%20Transmission%20Company,%20Inc.) The company terminated its agreement to acquire Kentucky Power Company, resulting in a $46.5 million loss from the write-off of transaction costs - The company terminated its agreement to acquire Kentucky Power Company on April 17, 2023[23](index=23&type=chunk) - A loss of **$46.5 million** was recognized for the six months ended June 30, 2023, due to the write-off of costs related to the terminated transaction[23](index=23&type=chunk) [Acquisition of Deerfield II Wind Facility](index=12&type=section&id=3(b)%20Acquisition%20of%20Deerfield%20II%20Wind%20Facility) AQN acquired the remaining 50% of the Deerfield II wind farm for $23.1 million, followed by additional funding from tax equity investors - Acquired the remaining **50%** of the Deerfield II wind farm for **$23.1 million** on June 15, 2023[24](index=24&type=chunk) [Note 5: Regulatory Matters](index=13&type=section&id=Note%205.%20Regulatory%20matters) The company is involved in several regulatory proceedings, including rate increases for CalPeco Electric and St. Lawrence Gas, and a potential $45 million loss for Empire Electric - CalPeco Electric System (California) received final approval for a revenue increase of **$26,979,000**, with new rates effective June 2023 and retroactive to January 2022[30](index=30&type=chunk) - St. Lawrence Gas (New York) was authorized for a revenue increase of **$5,249,000** to be implemented over three years, effective July 1, 2023[30](index=30&type=chunk) - Empire Electric (Missouri) may incur a one-time net loss of approximately **$45,000,000** related to a securitization order if it does not pursue further appeals[30](index=30&type=chunk) [Note 6: Long-Term Investments](index=15&type=section&id=Note%206.%20Long-term%20investments) Long-term investments decreased to $1.72 billion, primarily due to a fair value loss on Atlantica, contributing to a $57.7 million total loss from investments Long-Term Investment Breakdown (in thousands of U.S. dollars) | Investment Type | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Investments carried at fair value (incl. Atlantica) | $1,213,718 | $1,344,207 | | Other long-term investments (incl. equity-method) | $507,045 | $462,325 | | **Total** | **$1,720,763** | **$1,806,532** | Loss from Long-Term Investments (in thousands of U.S. dollars) | Component | Three Months Ended June 30, 2023 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | Fair value loss on investments | ($311,410) | ($132,026) | | Dividend and interest income | $26,616 | $54,272 | | Other long-term investments income | $7,098 | $20,070 | | **Total Loss from Long-Term Investments** | **($277,696)** | **($57,684)** | [Note 7: Long-Term Debt](index=18&type=section&id=Note%207.%20Long-term%20debt) Total long-term debt increased to $8.08 billion due to higher credit facility draws, leading to a rise in interest expense and a decrease in available liquidity Long-Term Debt Summary (in thousands of U.S. dollars) | Category | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Senior unsecured revolving credit facilities | $801,929 | $351,786 | | Total Long-Term Debt (including current portion) | $8,083,147 | $7,512,017 | | **Total Liquidity and Capital Reserves** | **$1,859,158** | **$2,346,330** | - Interest expense for the six months ended June 30, 2023, increased to **$171.6 million** from **$122.5 million** in the same period of 2022, largely due to higher costs on commercial paper and credit facility draws[50](index=50&type=chunk) [Note 10: Shareholders' Capital](index=21&type=section&id=Note%2010.%20Shareholders'%20capital) Common shares outstanding increased to 688.8 million, with the dividend reinvestment plan suspended and $3.9 million in share-based compensation expense recorded - The dividend reinvestment plan (DRIP) was suspended effective March 16, 2023, with dividends to be paid only in cash while suspended[58](index=58&type=chunk) - During the six months ended June 30, 2023, the company issued **4,370,289** common shares under the DRIP before its suspension[58](index=58&type=chunk) - As of June 30, 2023, total unrecognized compensation costs related to non-vested share-based awards were **$39.5 million**, expected to be recognized over **2.27 years**[58](index=58&type=chunk) [Note 12: Dividends](index=24&type=section&id=Note%2012.%20Dividends) The company declared a reduced quarterly dividend of $0.1085 per common share, reflecting an earlier announced dividend cut Common Share Dividends Declared | Period | Dividend per Share (USD) | | :--- | :--- | | **Three Months Ended June 30, 2023** | $0.1085 | | **Three Months Ended June 30, 2022** | $0.1808 | | **Six Months Ended June 30, 2023** | $0.2170 | | **Six Months Ended June 30, 2022** | $0.3514 | [Note 18: Segmented Information](index=29&type=section&id=Note%2018.%20Segmented%20information) AQN's Regulated Services Group was the primary performance driver, and the company announced its intention to sell the Renewable Energy Group - On August 10, 2023, the company announced that it will pursue a sale of the Renewable Energy Group following a strategic review[85](index=85&type=chunk) Segment Performance - Six Months Ended June 30, 2023 (in thousands of U.S. dollars) | Segment | Revenue | Operating Income | | :--- | :--- | :--- | | **Regulated Services Group** | $1,206,394 | $235,289 | | **Renewable Energy Group** | $150,410 | $11,816 | | **Corporate** | — | ($10,917) | | **Total** | **$1,356,804** | **$236,188** | Total Assets by Segment (in thousands of U.S. dollars) | Segment | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Regulated Services Group** | $12,247,694 | $12,109,575 | | **Renewable Energy Group** | $5,401,782 | $5,251,933 | | **Corporate** | $319,237 | $266,105 | | **Total** | **$17,968,713** | **$17,627,613** | [Note 19: Commitments and Contingencies](index=33&type=section&id=Note%2019.%20Commitments%20and%20contingencies) The company faces ongoing litigation related to the 2020 Mountain View Fire and has significant future commitments totaling approximately $1.97 billion - The company is a defendant in **17** active lawsuits related to the November 2020 Mountain View Fire; the likelihood of success cannot be predicted, but the company has wildfire liability insurance[98](index=98&type=chunk) Future Commitments as of June 30, 2023 (in thousands of U.S. dollars) | Commitment Type | Total Amount | | :--- | :--- | | Power purchase | $321,954 | | Natural gas supply and service agreements | $479,791 | | Service agreements | $578,685 | | Capital projects | $16,537 | | Land easements and others | $572,507 | | **Total** | **$1,969,474** | [Note 21: Financial Instruments](index=35&type=section&id=Note%2021.%20Financial%20instruments) The company uses various financial instruments, including derivatives, to manage interest rate, foreign exchange, and commodity price risks, with $63.3 million in supplier financing invoices outstanding - The company uses derivative instruments to hedge cash flow variability for natural gas purchases, price risk on power sales, interest rate risk on debt, and foreign currency exposure[108](index=108&type=chunk)[110](index=110&type=chunk)[114](index=114&type=chunk) - The company expects **$19.7 million** of unrealized losses currently in Accumulated Other Comprehensive Income (AOCI) to be reclassified into earnings within the next **12 months** as underlying hedged transactions settle[114](index=114&type=chunk) - Under its supplier financing programs, the company had confirmed invoices of **$63.3 million** included in accounts payable as of June 30, 2023, a significant increase from **$16.8 million** at year-end 2022[121](index=121&type=chunk)

Financial Data and Key Metrics Changes - The consolidated adjusted EBITDA for Q1 2023 was $341 million, up approximately 3% from $330.5 million in the same period last year [14] - Adjusted net earnings for Q1 2023 were $119.9 million, a decrease of 15% compared to $141.2 million reported last year [16] - Adjusted net earnings per share for Q1 2023 were $0.17, down from $0.21 in the prior year [17] - GAAP net earnings increased to $270.1 million from $91 million in Q1 2022, reflecting a significant increase of $179.1 million [17] Business Line Data and Key Metrics Changes - The Regulated Services Group delivered an operating profit of $255.3 million in Q1 2023, compared to $231.2 million in the same quarter last year, marking a 10% increase [14] - The Renewable Energy Group's operating profit for Q1 2023 was $106.5 million, down 10% from $117.9 million in the same quarter last year, primarily due to lower HLBV income [15] Market Data and Key Metrics Changes - The company received final rate case orders at three California facilities, resulting in aggregate annual revenue increases of $29.6 million [10] - The company filed for increased revenues of $39.7 million at its New York Water utility and $7.3 million at its Empire Electric Arkansas utility, indicating ongoing efforts to enhance revenue streams [12][11] Company Strategy and Development Direction - The company initiated a strategic review of its Renewable Energy Group to explore alternatives for maximizing shareholder value, including the potential separation from the Regulated Services Group [6][7] - The company reaffirmed its 2023 adjusted net earnings per share outlook of $0.55 to $0.61 and plans to spend $1 billion in capital expenditures, with $700 million allocated to the Regulated Services Group and $300 million to the Renewable Energy Group [8][17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging macroeconomic environment and regulatory uncertainty, which influenced the decision to terminate the Kentucky Power acquisition [9] - The company remains focused on optimizing its balance sheet and does not expect new equity financing through the end of 2024 [18] - Management expressed confidence in the growth potential of both the regulated and renewable businesses, driven by the energy transition [55] Other Important Information - The company has nearly 750 megawatts of wind and solar projects in various stages of construction, expecting to bring approximately 450 megawatts into service throughout 2023 [13] - The strategic review committee has been formed to oversee the review process, which is expected to conclude by the second quarter earnings call [7] Q&A Session Summary Question: Regarding the strategic review and asset sales - Management confirmed that the strategic review and the $1 billion asset sale program are proceeding concurrently, with no major asset sales expected before the conclusion of the strategic review [20][22] Question: Impact of higher interest rates on rate case requests - Management indicated that discussions with regulators remain constructive, and the number of rate cases is consistent with business plans despite the higher interest rate environment [24] Question: State of the M&A market and private transactions - Management noted robust interest in renewable energy assets from various financial and strategic players, indicating a healthy private market despite public market fluctuations [28] Question: Timing of the strategic review - Management expressed confidence in completing the strategic review within the three-month timeframe, citing their experience with asset recycling as a factor [65] Question: Opportunities in the regulated business - Management highlighted growth opportunities in safety, reliability improvements, and renewable energy integration within the regulated business [86]

Revenue and Earnings - Revenue for the three months ended March 31, 2023, was $778.6 million, a 6.2% increase from $733.2 million in the same period of 2022[2] - Net earnings attributable to common shareholders rose significantly to $268.0 million in Q1 2023, up from $88.7 million in Q1 2022, marking a 201.5% increase[3] - Basic and diluted net earnings per share increased to $0.39 in Q1 2023, compared to $0.13 in Q1 2022[3] - Net earnings for the three months ended March 31, 2023, were $249,610, compared to $52,598 for the same period in 2022, representing a significant increase[14] - Net earnings attributable to shareholders of Algonquin Power & Utilities Corp. for the three months ended March 31, 2023, were $270,139,000, compared to $90,965,000 for the same period in 2022, representing an increase of 196%[74] - Basic and diluted net earnings per share for the three months ended March 31, 2023, were $268,047,000, up from $88,745,000 in the prior year, reflecting a significant growth in profitability[74] Operating Income and Expenses - Operating income increased to $142.5 million in Q1 2023, compared to $137.2 million in Q1 2022, reflecting a growth of 3.4%[2] - Operating income for the three months ended March 31, 2023, was $142,474,000, compared to $137,246,000 in the same period of 2022, showing a slight increase[79] - Cash provided by operating activities for Q1 2023 was $34,218, a decrease from $166,221 in Q1 2022[14] - The company’s cash paid for interest expense in Q1 2023 was $102,712, compared to $61,606 in Q1 2022[16] - Interest expense for the three months ended March 31, 2023, was $81,918,000, compared to $57,943,000 in the same period of 2022, representing an increase of approximately 41%[79] Assets and Liabilities - Total assets as of March 31, 2023, were $17.9 billion, a slight increase from $17.8 billion as of December 31, 2022[6] - Long-term debt increased to $7.3 billion as of March 31, 2023, compared to $7.1 billion at the end of 2022[8] - Total assets as of March 31, 2023, were $7,274,807, reflecting growth from previous periods[12] - Regulatory assets decreased to $160.2 million as of March 31, 2023, down from $190.4 million at the end of 2022[6] - Long-term investments carried at fair value increased to $1,523,520 as of March 31, 2023, from $1,344,207 as of December 31, 2022[30] - Long-term debt totaled $7,333,362 as of March 31, 2023, up from $7,088,743 at December 31, 2022, reflecting an increase of approximately 3.5%[40] - The total financial liabilities amount to $8.02 billion, with a fair value of $7.47 billion[89] Investments and Capital Expenditures - The company reported a gain from long-term investments of $220.0 million in Q1 2023, a significant recovery from a loss of $10.7 million in Q1 2022[2] - The company’s investments in property, plant, and equipment totaled $169,749 in Q1 2023, down from $327,699 in Q1 2022[14] - The Company made capital contributions of $10,309 to Texas Coastal Wind Facilities and $5,805 to projects under construction during the three months ended March 31, 2023[33] Shareholder Information - Cash dividends on common shares amounted to $95,893 in Q1 2023, slightly up from $93,381 in Q1 2022[16] - Dividends declared for common shares were $75,386 for the three months ended March 31, 2023, with a dividend per share of $0.1085, down from $115,574 and $0.1706 in 2022[64] - The number of common shares outstanding increased to 688,592,052 as of March 31, 2023, from 674,110,190 a year earlier, representing a growth of about 2.1%[51] Regulatory and Legal Matters - The California Public Utilities Commission authorized an annual revenue increase of $1,412 for Apple Valley Water System, effective March 2023, retroactive to July 1, 2022[25] - The California Public Utilities Commission authorized an annual revenue increase of $1,105 for Park Water System, effective March 2023, retroactive to July 1, 2022[25] - Liberty CalPeco is currently facing 17 active lawsuits related to the Mountain View Fire, with claims including negligence and wrongful death[83] Miscellaneous - The company plans to continue expanding its renewable energy portfolio and exploring strategic acquisitions to enhance growth opportunities[2] - The company terminated the Kentucky Acquisition Agreement on April 17, 2023, and is assessing potential costs incurred[21] - The company’s operating results are subject to seasonal fluctuations, impacting quarterly performance[18]

Algonquin Power & Utilities Corp. (NYSE:AQN) Q4 2022 Results Conference Call March 17, 2023 8:30 AM ET Company Participants Brian Chin - Vice President of Investor Relations Arun Banskota - President & Chief Executive Officer Darren Myers - Chief Financial Officer Jeff Norman - Chief Development Officer Johnny Johnston - Chief Operating Officer Conference Call Participants Sean Steuart - TD Securities Dariusz Lozny - Bank of America David Quezada - Raymond James Nelson Ng - RBC Capital Markets Robert Hope - ...

Financial Data and Key Metrics Changes - The company's Q3 2022 consolidated revenue was $666.7 million, up from $528.6 million in Q3 2021, representing a year-over-year increase of approximately 26% [19] - Adjusted EBITDA for Q3 2022 was $276.1 million, a 10% increase from $252 million in the same period last year [19] - Adjusted net earnings decreased to $73.5 million from $97.6 million year-over-year, primarily due to a $23.3 million increase in interest expense [19][20] - Adjusted net earnings per share for Q3 2022 was $0.11, down from $0.15 in the prior year [20] Business Line Data and Key Metrics Changes - The regulated services group reported an operating profit of $229.3 million, an increase of 17% from $195.7 million in the same quarter last year, driven by the acquisition of Liberty New York Water and new rate implementations [21] - The renewable energy group had an operating profit of $71.5 million, relatively flat compared to the previous year, with existing facilities contributing approximately $4 million offset by higher costs from Texas Coastal Wind Facilities [22] Market Data and Key Metrics Changes - The company is experiencing pressure from rising interest rates and capital market volatility, impacting its growth initiatives [8][9] - Approximately 22% of the company's consolidated debt is subject to variable interest rates, with a potential $16 million annual impact from a 100 basis point increase [25] Company Strategy and Development Direction - The company is focused on three strategic pillars: growth, operational excellence, and sustainability, with a commitment to reducing reliance on raising equity [9][30] - The pending acquisition of Kentucky Power Company is expected to close in January 2023, with a revised purchase price of approximately $2.6 billion [10][28] - The company is actively pursuing asset recycling opportunities to finance its growth, having signed an inaugural asset recycling transaction expected to generate approximately $278 million [24][29] Management's Comments on Operating Environment and Future Outlook - Management described the current operating environment as challenging due to higher interest rates and project delays, but remains optimistic about long-term growth in regulated and renewable sectors [8][27] - The company expects adjusted net earnings per share for 2022 to be in the range of $0.66 to $0.69, reflecting pressures from interest rates and project timelines [26] Other Important Information - The company released its 2022 ESG report, highlighting progress in diversity, equity, and inclusion, as well as third-party verification of emissions data [15][16] - The Inflation Reduction Act has reinforced the company's strategy to invest in renewable assets by increasing tax credit levels [13] Q&A Session Summary Question: Does the new EPS guidance range include the $55 million to $60 million gain on the asset sales? - Yes, it does [31] Question: Will most of the $2.1 billion available liquidity be allocated towards the closing of the Kentucky Power Acquisition? - Yes, liquidity is expected to be in the range of $2.5 billion as the year ends, with credit facilities used to fund the transaction [32] Question: Is equity on the table at current valuation levels? - The company aims to reduce reliance on equity markets and is confident in continuing asset recycling to fund growth [35][36] Question: Are there pressures on asset prices due to rising rates? - Despite rising interest rates, there remains robust interest in renewable assets from long-term investors [41][43] Question: What are the plans for capital recycling next year? - The company is in planning stages and will provide more details at the Investor Day [50] Question: What are the key priorities for the Kentucky business next year? - The company plans to file an Integrated Resource Plan (IRP) in early 2023 to outline its service strategy for Kentucky [54]

Financial Data and Key Metrics Changes - Q2 adjusted EBITDA was $289.3 million, an 18% increase year-over-year from $244.9 million [6][21] - Q2 adjusted net earnings per share was $0.16, compared to $0.15 in the prior year, representing a 7% increase [6][23] Business Line Data and Key Metrics Changes - The regulated services group reported operating profit of $185.9 million, up 15% from $161.1 million in the same quarter last year [21] - The renewable energy group reported operating profit of $117.9 million, a 22% increase from $97 million in the same quarter last year [22] Market Data and Key Metrics Changes - The acquisition of Liberty New York Water added approximately 45% of total customer connections and 15% of regulated business EBITDA [8] - The company is in discussions regarding the acquisition of Kentucky Power, with expectations to close in the second half of 2022 [10][28] Company Strategy and Development Direction - The company focuses on three strategic pillars: growth, operational excellence, and sustainability [7] - A five-year capital plan of $12.4 billion is in place, with a significant portion aimed at organic growth [7][24] - The company is actively pursuing renewable energy projects, including a 175-megawatt facility in Saskatchewan and various solar projects [11][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to close the Kentucky Power transaction despite regulatory challenges [10][36] - The company anticipates benefits from the Inflation Reduction Act of 2022, which could enhance investment opportunities in renewable energy [31][32] Other Important Information - The company achieved a Baa2 long-term issuer rating from Moody's, which is expected to broaden access to debt capital markets [25] - The company reported a 15% improvement in greenhouse gas emissions intensity compared to the previous year [18][19] Q&A Session Summary Question: Progress on the sale of Kentucky Power - Management is working closely with AEP to resolve inconsistencies in regulatory orders and remains confident in closing the transaction in the second half of 2022 [36] Question: Contribution from the RNG acquisition - The RNG project is seen as a learning opportunity, with expected contributions of approximately 500 MMBtu per day once fully operational [39] Question: Update on renewable asset sales - Strong interest from financial players in long-lived, well-contracted sustainable infrastructure has been observed, with management presentations ongoing [43]