Content
Corporate
The Corporate segment includes management and administrative costs, corporate financing costs, distributions to ECT preferred unitholders, business development activities not attributable to a specific business segment and other corporate costs including current and future income taxes.
|
(millions of Canadian dollars) Year ended December 31, |
2007 |
2006 |
|---|---|---|
Costs before the impact of tax changes |
(58.3) |
(51.3) |
Revalue future taxes due to tax rate changes |
0.6 |
- |
Future taxes due to Tax Fairness Plan |
(2.1) |
- |
Total costs |
(59.8) |
(51.3) |
Corporate costs before the impact of tax changes were $58.3 million for the year ended December 31, 2007 compared with $51.3 million for the year ended December 31, 2006. The $7.0 million increase was driven by several factors including higher income taxes. Interest expense increased as a result of the increased borrowings used to finance the acquisition of the Wind Power projects in October 2006 as well as other expansion projects. Additionally, both incentive fees and ECT preferred unit distributions increased due to a 4.5% increase in per unit distributions for all Fund units commencing in the fourth quarter of 2006.