XML 53 R8.htm IDEA: XBRL DOCUMENT
v2.4.0.8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended
--- | ---
Jun. 30, 2013
Accounting Policies [Abstract] |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying Unaudited Condensed Consolidated Financial Statements have been prepared by NJR in accordance with the rules and regulations of the Securities and Exchange Commission and Accounting Standards Codification (ASC) 270. The September 30, 2012, Balance Sheet data is derived from the audited financial statements of the Company. These Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the consolidated financial statements and the notes thereto included in NJR's 2012 Annual Report on Form 10-K. The Unaudited Condensed Consolidated Financial Statements include the accounts of NJR and its subsidiaries. In the opinion of management, the accompanying Unaudited Condensed Consolidated Financial Statements reflect all adjustments necessary, for a fair presentation of the results of the interim periods presented. These adjustments are of a normal and recurring nature. Because of the seasonal nature of NJR's utility and wholesale energy services operations, in addition to other factors, the financial results for the interim periods presented are not indicative of the results that are to be expected for the fiscal year ended September 30, 2013. Intercompany transactions and accounts have been eliminated. Gas in Storage The following table summarizes gas in storage, at average cost by company as of:
| June 30, 2013 | September 30, 2012
($ in thousands) | Gas in Storage |  | Bcf (1) | Gas in Storage |  | Bcf (1)
NJNG |  | $ | 63,900 |  | 12.3 |  |  | $ | 145,379 |  | 22.2 |
NJRES |  | 216,218 |  | 56.3 |  |  | 119,814 |  | 45.5 |
Total |  | $ | 280,118 |  | 68.6 |  |  | $ | 265,193 |  | 67.7 |
(1) | Billion cubic feet (Bcf).
Available for Sale Securities Included in other noncurrent assets on the Unaudited Condensed Consolidated Balance Sheets are certain investments in equity securities of a publicly traded energy company that have a fair value of $11.5 million and $11 million as of June 30, 2013 and September 30, 2012, respectively. Total unrealized gains associated with these equity securities, which are included as a part of accumulated other comprehensive income, a component of common stock equity, were $8.9 million ($5.3 million, after tax) and $8.3 million ($4.9 million, after tax) as of June 30, 2013 and September 30, 2012, respectively. During the third quarter of fiscal 2013, NJR received proceeds of approximately $482,000 from the sale of available-for-sale securities and realized a pre-tax gain of $380,000, which is included in other income in the Unaudited Condensed Consolidated Statements of Operations. Reclassifications of realized gains out of other comprehensive income into income are determined based on average cost. Asset Held for Sale NJR's subsidiary, CR&R, has committed to a plan to sell approximately 25.3 acres of undeveloped land located in Monmouth County with a net book value of $5.4 million. Since it is probable that the sale will be completed within the next 12 months, as of June 30, 2013, the Company has classified the property as held for sale in the Unaudited Condensed Consolidated Balance Sheets. Disposal of Equipment In October 2012, certain of NJRCEV's solar assets sustained damage as a result of Post Tropical Cyclone Sandy, commonly referred to as Superstorm Sandy (Superstorm Sandy). To the extent that any of the assets were deemed irreparable, the Company disposed of the damaged assets. As a result, the Company recognized a pre-tax loss of $766,000, which is included in other income on the Unaudited Condensed Consolidated Statements of Operations. During the third quarter of fiscal 2013, the Company received $954,000 from an insurance claim, representing the replacement value of the disposed assets and recorded a gain in the same amount in other income on the Unaudited Condensed Consolidated Statements of Operations. Recent Updates to the Accounting Standards Codification In December 2011, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2011-11, an amendment to ASC Topic 210, Balance Sheet, requiring additional disclosures about the nature of an entity's rights of setoff and related master netting arrangements associated with its financial and derivative instruments. The objective of the disclosures is to facilitate comparison between financial statements prepared on the basis of generally accepted accounting principles (GAAP) in the United States of America and those prepared on the basis of International Financial Reporting Standards. The amended guidance will become effective for annual periods beginning on or after January 1, 2013, as well as interim periods within those annual periods, and will be applied retrospectively. The Company has determined that the new guidance will not impact its financial position, results of operations or cash flows upon adoption. In February 2013, the FASB issued ASU No. 2013-02, an amendment to ASC Topic 220, Comprehensive Income, requiring information about amounts reclassified out of accumulated other comprehensive income as well as income statement line items that are affected by the reclassifications. The new guidance does not change existing requirements for reporting net income or other comprehensive income in the financial statements. ASU 2013-02 became effective for reporting periods beginning after December 15, 2012. There was no impact to the Company's financial position, results of operations or cash flows upon adoption. NJR applied the provisions of the new guidance prospectively effective January 1, 2013. The information for the six month period ending June 30, 3013 is as follows: Accumulated Other Comprehensive Income
(Thousands) | Unrealized gain on available for sale securities | Net unrealized gain on derivatives | Adjustment to postemployment benefit obligation | Total
Beginning balance as of January 1, 2013 | $ | 4,601 |  |  | $ | 41 |  |  | $ | (15,330 | ) |  | $ | (10,688 | )
Other comprehensive income, excluding reclassifications, net of tax of $(611), $(4), $-, $(615) | 885 |  |  | 6 |  |  | — |  |  | 891 |
Amounts reclassified from accumulated other comprehensive income, net of tax of $155, $21 $(405), $(229) | (225 | ) | (1) | (40 | ) | (2) | 592 |  | (3) | 327 |
Net current-period other comprehensive income, net of tax of $(456), $17, $(405), $(844) | 660 |  |  | (34 | ) |  | 592 |  |  | 1,218 |
Ending balance as of June 30, 2013 | $ | 5,261 |  |  | $ | 7 |  |  | $ | (14,738 | ) |  | $ | (9,470 | )
(1) | Reclassified to other income in the Unaudited Consolidated Statements of Operations.
(2) | Reclassified to gas purchases in the Unaudited Consolidated Statements of Operations.
(3) | Included in the computation of net periodic pension cost, a component of operations and maintenance expense in the Unaudited Consolidated Statements of Operations.

X
- Details
Name: | us-gaap_AccountingPoliciesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for all significant accounting policies of the reporting entity. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6367646&loc=d3e18780-107790 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6367646&loc=d3e18726-107790 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher AICPA -Name Accounting Principles Board Opinion (APB) -Number 22 -Paragraph 8 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6367646&loc=d3e18861-107790 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6367646&loc=d3e18743-107790 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=6367646&loc=d3e18854-107790 + Details
Name: | us-gaap_SignificantAccountingPoliciesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration