Eversource expects to record after-tax impairment charge of $1.4B-$1.6B in Q4

Eversource Energy provided the following updates regarding its process to divest its 50% ownership interest in three offshore wind projects: South Fork Wind, Revolution Wind and Sunrise Wind. Eversource currently holds its share of these three projects in two separate joint venture partnerships with Orsted, one that holds only South Fork Wind and another that holds both Revolution Wind and Sunrise Wind. Eversource also separately holds a tax equity investment in South Fork Wind. As a result of these fourth quarter developments, Eversource expects to record an after-tax other-than-temporary impairment charge in the range of $1.4B to $1.6B in the fourth quarter of 2023. This range is an estimate and subject to change as Eversource prepares its financial statements for the year ended December 31, 2023. The impairment charge reflects the current estimate of the fair value of the projects and will not impact Eversource’s future cash flows or its current cash balances. Eversource will continue to make future cash expenditures for required cash contributions to the JV projects up to the time of the sale of its interest in these projects.