TransAlta gets favorable force majeure ruling, sees reversing $95M provision
TransAlta reported Friday that an independent arbitration panel has provided the company force majeure relief for the Keephills 1 outage that commenced on March 5, 2013. "The decision by the panel validates our internal policies and operating practices concerning the safety of our equipment. The course of action that we took in 2013 to protect the safety of our equipment has been upheld by their decision," the company remarked. CFO Donald Tremblay noted that "as part of our Q4 results, we will be reversing our accounting provision of approximately $95M, which was equivalent to roughly one half of the expected exposure. This will have a positive impact on 2016 EBITDA however there will be no impact to AFFO."