Boralex announces annual results

MONTREAL, Feb. 19, 2014 /CNW Telbec/ - Boralex Inc. ("Boralex" or the "Corporation") (TSX: BLX) announces its financial results for the fourth quarter and fiscal year ended December 31, 2013.

FINANCIAL HIGHLIGHTS (on a proportionate consolidation basis)⁽¹⁾

(in millions of dollars, except per share amounts and EBITDA margin)		Three-month periods ended December 31,			Years ended December 31,
		2013	2012		2013	2012
Revenues from energy sales		51.9	52.1		171.4	181.4
EBITDA		31.4	29.9		101.8	98.2
EBITDA margin (%)		60.5	57.4		59.4	54.1
Net earnings (loss)^(2)		0.5	1.2		(4.2)	(5.1)
	Per share (basic and diluted)($)^(2)	0.01	0.03		(0.11)	(0.14)
Cash flows from operations		16.1	13.5		51.2	47.7
	Per share (basic)($)	0.43	0.36		1.36	1.26

(1)	See "Reconciliations between IFRS and Proportionate Consolidation" sections in the financial statements accompanying this press release
(2)	Attributable to shareholders of Boralex

For the fourth quarter, revenues from energy sales calculated on a proportionate consolidation basis⁽¹⁾ totalled $51.9 million, compared with $52.1 million for the same period last year. For the fiscal year, those revenues were down 5.5% to $171.4 million in 2013 from $181.4 million in 2012. Excluding the impact of the November 2012 shutdown of the Kingsey Falls power station, those revenues for the fourth quarter and fiscal year were up 10% and 13%, respectively, from the same periods a year earlier.

Fourth-quarter EBITDA rose 5% to $31.4 million in 2013 from $29.9 million year over year. For the year ended December 31, 2013, EBITDA climbed 3.7% to $101.8 million compared with 2012. Reflecting this growth, fourth-quarter EBITDA margin increased to 60.5% in 2013 from 57.4% in 2012. For the fiscal year, EBIDTA margin widened to 59.4% in 2013 from 54.1% in 2012. Excluding the impact of the shutdown of the Kingsey Falls power station, EBITDA for the fourth quarter and fiscal year was up 9% and 15%, respectively, from the same periods a year earlier.

These favourable results were primarily driven by the June 2012 acquisition of St-Patrick wind farm in France, and the commissioning in December 2013 of phase I of the Seigneurie de Beaupré Wind Farms in Canada. Those facilities offset the impact of the Kingsey Falls closure, while favourably positioning Boralex for growth. The Corporation ended the fiscal year with $128 million in cash, which allows it to pursue its growth strategy.

OPERATING HIGHLIGHTS
Boralex expanded its installed capacity by 176 MW or nearly 37% to 652 MW in 2013 from 476 MW in 2012 through the addition of new assets in Canada and France:

• The December commissioning (on time and on budget) of phase I of the Seigneurie de Beaupré Wind Farms totalling 272 MW (net share of 136 MW for Boralex), the largest project ever completed by the Corporation; and
• The commissioning of Vron (8 MW) and La Vallée (32 MW) wind farms in France in September and December, respectively.

Regarding the year's achievements, "in 2013, we achieved further growth and improved our profit margin as a result of higher weightings in the wind and hydroelectric power segments," stated Mr. Lemaire. "In addition, by expanding our geographical diversification with major investments in Canada, we are acquiring new skills with different wind power technologies while helping to stabilize our future results," added Mr. Lemaire.

"Given our cash situation, the strength and quality of cash flows from operations, and particularly, the ability of our team to find, operate and finance projects in both France and Canada, I can only be enthusiastic about the future," concluded Mr. Lemaire.

OUTLOOK
Numerous projects representing approximately 236 MW (net share of 202 MW for Boralex) are slated for commissioning in 2014 and 2015, including:

• Jamie Creek hydroelectric power station (22 MW) in British Columbia (2014);
• Phase II of the of the Seigneurie de Beaupré Wind Farms in Québec (68 MW) (34 MW net share for Boralex) (2014);
• Québec wind farm Témiscouata I (25 MW) in partnership with Témiscouata RCM (2014);
• French wind farms Fortel-Bonnières and St-François (46 MW) (2014 and 2015);
• Québec wind farm Côte-de-Beaupré (25 MW) in partnership with La Côte-de-Beaupré RCM (2015); and
• Québec wind farm Témiscouata II (50 MW) for which Boralex recently obtained the ministerial order authorizing construction to begin (2015).

Boralex is pursuing further growth opportunities in projects under various stages of development in France and Canada.

Boralex intends to actively participate in the request for proposals for the purchase of a block of wind power recently tendered by Hydro-Québec for 450 MW in installed capacity, while seeking to position itself favourably to seize on further growth opportunities including potential acquisitions, RFPs from other Canadian jurisdictions or fixed-rate power purchase programs in France or Canada.

About Boralex
Boralex is a power producer whose core business is dedicated to the development and the operation of renewable energy power stations. Currently, the Corporation operates an asset base with an installed capacity of more than 650 MW in Canada, France and the Northeastern United States. Boralex is also committed under power development projects, both independently and with Canadian and European partners, to add approximately 250 MW of power that will be put in service by the end of 2015. With more than 200 employees, Boralex is known for its diversified expertise and in-depth experience in four power generation types-wind, hydroelectric, thermal and solar. Boralex's shares and convertible debentures are listed on the Toronto Stock Exchange under the ticker symbols BLX and BLX.DB, respectively. More information is available at www.boralex.com or www.sedar.com.

Caution regarding forward-looking statements
Some of the statements contained in this press release, including those regarding future results and performance, are forward-looking statements based on current expectations, within the meaning of securities legislation. Boralex would like to point out that, by their very nature, forward-looking statements involve risks and uncertainties such that its results or the measures it adopts could differ materially from those indicated by or underlying these statements, or could have an impact on the degree of realization of a particular projection. The main factors that could lead to a material difference between the Corporation's actual results and the projections or expectations set forth in the forward-looking statements include, but are not limited to, the general impact of economic conditions, raw material price increases and availability, currency fluctuations, volatility in the selling price of electricity, the Corporation's financing capacity, negative changes in general market conditions and regulations affecting the industry, as well as other factors discussed in the Corporation's filings with the various securities commissions.

There can be no assurance as to the materialization of the results, performance or achievements as expressed or implied by forward-looking statements. The reader is cautioned not to place undue reliance on such forward-looking statements. Unless required to do so under applicable securities legislation, Boralex management does not assume any obligation to update or revise forward-looking statements to reflect new information, future events or other changes.

Non-IFRS Measures
The summarized financial statements included in this press release also contain certain non-IFRS financial measures. In order to assess the performance of its assets and reporting segments, Boralex uses EBITDA and cash flows from operations, and EBITDA and cash flows from operations under proportionate consolidation, as performance measures. Management believes that these measures are widely accepted financial indicators used by investors to assess the operational performance of a company and its ability to generate cash through operations. These non-IFRS measures are derived primarily from the unaudited condensed consolidated financial statements accompanying this press release, but do not have a standardized meaning under IFRS; accordingly, they may not be comparable to similarly named measures used by other companies.

The summarized financial statement included in this press release also contain a section entitled, "Reconciliations between IFRS and Proportionate Consolidation," in which the results of Joint Ventures 50% owned by Boralex are treated as if they were proportionately consolidated and not as if they were accounted for using the equity method as required by IFRS. Since the information that Boralex uses to carry out internal analyses and make strategic and operating decisions is collected on a proportionate consolidation basis, management has considered it relevant to include the "Proportionate Consolidation" section to make it easier for investors to understand the concrete impacts of decisions made by the Corporation. Accordingly, tables reconciling IFRS data with data presented on a proportionate consolidation basis are included in the financial statements accompanying the press release.

 

Consolidated Financial Statements Unaudited
For the three-month period and year ended December 31, 2013

I - IFRS

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Consolidated Statements of Financial Position

	As at December 31,		As at December 31,
(in thousands of Canadian dollars) (unaudited)	2013		2012
ASSETS
Cash and cash equivalents	124,942		107,138
Restricted cash	19,366		5,063
Trade and other receivables	41,625		45,589
Inventories	4,502		4,404
Available-for-sale financial asset	—		3,009
Prepaid expenses	2,945		2,137
CURRENT ASSETS	193,380		167,340
Property, plant and equipment	799,213		689,024
Other intangible assets	257,058		253,115
Goodwill	49,890		48,663
Interest in Joint Ventures	90,880		58,994
Other non-current financial assets	289		—
Other non-current assets	32,017		12,735
NON-CURRENT ASSETS	1,229,347		1,062,531
TOTAL ASSETS	1,422,727		1,229,871
LIABILITIES
Trade and other payables	57,992		46,945
Current portion of debt	84,034		98,570
Current income tax liability	1,516		1,741
Other current financial liabilities	15,243		25,508
CURRENT LIABILITIES	158,785		172,764
Non-current debt	578,914		423,616
Convertible debentures	229,578		226,299
Deferred income tax liability	37,493		29,514
Decommissioning liability	7,198		5,765
Other non-current financial liabilities	19,704		24,698
Other non-current liabilities	4,921		4,846
NON-CURRENT LIABILITIES	877,808		714,738
TOTAL LIABILITIES	1,036,593		887,502
EQUITY
Equity attributable to shareholders	356,448		319,868
Non-controlling shareholders	29,686		22,501
TOTAL EQUITY	386,134		342,369
TOTAL LIABILITIES AND EQUITY	1,422,727		1,229,871

Consolidated Statements of Earnings (Loss)

		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except per share amounts) (unaudited)		2013		2012		2013		2012
REVENUES
Revenues from energy sales		49,496		52,063		169,023		181,440
Other income		331		2,401		3,009		2,853
		49,827		54,464		172,032		184,293
COSTS AND OTHER EXPENSES
Operating expenses		15,952		18,868		54,357		66,330
Administration		3,263		4,347		13,214		14,528
Development		1,181		1,353		4,145		5,129
Amortization		13,987		15,021		53,888		58,030
Other losses (gains)		—		—		(232)		971
Impairment of property, plant and equipment and intangible assets		—		—		266		823
		34,383		39,589		125,638		145,811
OPERATING INCOME		15,444		14,875		46,394		38,482
Financing costs		13,061		12,640		50,693		49,279
Foreign exchange loss (gain)		(530)		(80)		(788)		26
Net loss (gain) on financial instruments		(69)		(103)		(742)		396
Share in earnings (loss) of the Joint Ventures		(329)		(13)		(2,116)		51
Other		63		—		63		—
EARNINGS (LOSS) BEFORE INCOME TAXES		2,590		2,405		(4,948)		(11,168)
Income tax expense (recovery)		1,624		1,229		537		(2,183)
NET EARNINGS (LOSS) FROM CONTINUING OPERATIONS		966		1,176		(5,485)		(8,985)
Net earnings from discontinued operations		74		696		1,774		3,721
NET EARNINGS (LOSS)		1,040		1,872		(3,711)		(5,264)
NET EARNINGS (LOSS) ATTRIBUTABLE TO:
	Shareholders of Boralex	529		1,238		(3,838)		(5,115)
	Non-controlling shareholders	511		634		127		(149)
NET EARNINGS (LOSS)		1,040		1,872		(3,711)		(5,264)
NET EARNINGS (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	455		542		(5,612)		(8,836)
	Discontinued operations	74		696		1,774		3,721
		529		1,238		(3,838)		(5,115)
NET EARNINGS (LOSS) PER SHARE (BASIC AND DILUTED) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	$0.01		$0.01		($0.15)		($0.24)
	Discontinued operations	—		$0.02		$0.05		$0.10
		$0.01		$0.03		($0.10)		($0.14)

Consolidated Statements of Comprehensive Income (Loss)

		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)		2013		2012		2013		2012
NET EARNINGS (LOSS)		1,040		1,872		(3,711)		(5,264)
Other comprehensive income (loss) to be subsequently reclassified to net earnings (loss) when certain conditions are met
Translation adjustments:
	Unrealized foreign exchange gain (loss) on translation of financial statements of self-sustaining foreign operations	8,116		4,577		18,026		(1,352)
Cash flow hedges:
	Change in fair value of financial instruments	(99)		(3,471)		7,917		(16,931)
	Hedging items realized and recognized in net earnings (loss)	2,541		2,906		8,361		14,526
	Taxes	(732)		269		(4,819)		1,109
Cash flow hedges - Joint Ventures:
	Change in fair value of financial instruments	2,152		1,807		18,655		(4,088)
	Taxes	(473)		(481)		(4,855)		1,087
Available-for-sale financial asset:
	Change in fair value of an available-for-sale financial asset	—		221		858		(48)
	Items realized and recognized in net earnings (loss)	—		—		(149)		968
Total other comprehensive income (loss)		11,505		5,828		43,994		(4,729)
COMPREHENSIVE INCOME (LOSS)		12,545		7,700		40,283		(9,993)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO:
	Shareholders of Boralex	10,361		6,502		35,665		(9,131)
	Non-controlling shareholders	2,184		1,198		4,618		(862)
COMPREHENSIVE INCOME (LOSS)		12,545		7,700		40,283		(9,993)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	10,287		5,806		33,891		(12,852)
	Discontinued operations	74		696		1,774		3,721
		10,361		6,502		35,665		(9,131)

Consolidated Statements of Changes in Equity

														2013
	Equity attributable to shareholders
(in thousands of Canadian dollars) (unaudited)	Capital stock		Equity component of convertible debentures		Contributed surplus		Retained earnings		Other comprehensive income (loss)		Total		Non- controlling shareholders		Total equity
BALANCE AS AT JANUARY 1, 2013	222,870		14,379		6,945		144,492		(68,818)		319,868		22,501		342,369
Net earnings (loss)	—		—		—		(3,838)		—		(3,838)		127		(3,711)
Other comprehensive income	—		—		—		—		39,503		39,503		4,491		43,994
COMPREHENSIVE INCOME (LOSS)	—		—		—		(3,838)		39,503		35,665		4,618		40,283
Conversion of convertible debentures	94		—		—		—		—		94		—		94
Exercise of options	115		—		—		—		—		115		—		115
Stock option expense	—		—		785		—		—		785		—		785
Excess of proceeds on repurchase by non-controlling shareholders	—		—		—		(79)		—		(79)		(26)		(105)
Contribution of non-controlling shareholders	—		—		—		—		—		—		2,593		2,593
BALANCE AS AT DECEMBER 31, 2013	223,079		14,379		7,730		140,575		(29,315	)	356,448		29,686		386,134
														2012
	Equity attributable to shareholders
(in thousands of Canadian dollars) (unaudited)	Capital stock		Equity component of convertible debentures		Contributed surplus		Retained earnings		Other comprehensive income (loss)		Total		Non- controlling shareholders		Total equity
BALANCE AS AT JANUARY 1, 2012	222,758		14,379		6,106		144,501		(65,980)		321,764		7,114		328,878
Net loss	—		—		—		(5,115)		—		(5,115)		(149)		(5,264)
Other comprehensive loss	—		—		—		—		(4,016)		(4,016)		(713)		(4,729)
COMPREHENSIVE LOSS	—		—		—		(5,115)		(4,016)		(9,131)		(862)		(9,993)
Conversion of convertible debentures	117		—		—		—		—		117		—		117
Share repurchases	(5)		—		—		(2)		—		(7)		—		(7)
Stock option expense	—		—		839		—		—		839		—		839
Excess of proceeds from partial sale of a subsidiary	—		—		—		5,108		1,178		6,286		(6,286)		—
Contribution of non-controlling shareholders	—		—		—		—		—		—		22,535		22,535
BALANCE AS AT DECEMBER 31, 2012	222,870		14,379		6,945		144,492		(68,818)		319,868		22,501		342,369

Consolidated Statements of Cash Flows

	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)	2013		2012		2013		2012
Net earnings (loss)	1,040		1,872		(3,711)		(5,264)
Less: Net earnings from discontinued operations	74		696		1,774		3,721
Net earnings (loss) from continuing operations	966		1,176		(5,485)		(8,985)
Financing costs	13,061		12,640		50,693		49,279
Interest paid	(14,280)		(14,180)		(48,905)		(47,271)
Income tax expense (recovery)	1,624		1,229		537		(2,183)
Income taxes paid	(647)		(2,694)		(3,372)		(5,334)
Non-cash items in earnings (loss):
Net loss (gain) on financial instruments	(69)		(103)		(742)		396
Share in results of Joint Ventures	329		13		2,116		(51)
Amortization	13,987		15,021		53,888		58,030
Impairment of property, plant and equipment and intangible assets	—		—		266		823
Other losses (gains)	—		—		(232)		971
Other	351		393		2,152		2,046
	15,322		13,495		50,916		47,721
Change in non-cash items related to operating activities	(12,610)		(15,207)		8,350		(325)
NET CASH FLOWS RELATED TO OPERATING ACTIVITIES	2,712		(1,712)		59,266		47,396
Business acquisitions	—		(24,801)		—		(63,881)
Additions to property, plant and equipment	(28,395)		(4,787)		(107,479)		(10,320)
Additions to other intangible assets	—		(402)		—		(2,550)
Change in restricted cash	(9,529)		(4,856)		(18,890)		13,225
Increase in interest in Joint Ventures	(2,781)		—		(8,318)		(17,735)
Change in reserve funds	23		—		(13,956)		—
Development projects	(2,177)		(178)		(9,666)		(3,422)
Proceeds from sale of assets	15		—		389		8,763
Other	(247)		723		(463)		833
NET CASH FLOWS RELATED TO INVESTING ACTIVITIES	(43,091)		(34,301)		(158,383)		(75,087)
Net increase in non-current debt	29,439		—		209,739		—
Repayments on non-current debt	(4,097)		(3,747)		(101,471)		(27,713)
Contribution of non-controlling shareholders	1,856		4,307		2,593		22,513
Other	66		—		5		(2)
NET CASH FLOWS RELATED TO FINANCING ACTIVITIES	27,264		560		110,866		(5,202)
Cash from discontinued operations	84		1,041		2,054		(3,642)
TRANSLATION ADJUSTMENT ON CASH AND CASH EQUIVALENTS	1,906		1,055		4,001		(1,030)
NET CHANGE IN CASH AND CASH EQUIVALENTS	(11,125)		(33,357)		17,804		(37,565)
CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR	136,067		140,495		107,138		144,703
CASH AND CASH EQUIVALENTS - END OF YEAR	124,942		107,138		124,942		107,138

Information by Operating Segment

	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except MWh) (unaudited)	2013		2012		2013		2012
Power production (MWh)
Wind power stations	227,195		210,838		682,136		632,422
Hydroelectric power stations	142,912		164,072		621,094		572,513
Thermal power stations	31,448		66,051		143,369		310,170
Solar power station	980		991		5,945		6,316
	402,535		441,952		1,452,544		1,521,421
Revenues from energy sales
Wind power stations	29,305		25,124		85,109		74,654
Hydroelectric power stations	12,746		13,860		53,756		47,748
Thermal power stations	6,976		12,654		27,446		56,355
Solar power station	469		425		2,712		2,683
	49,496		52,063		169,023		181,440
EBITDA
Wind power stations	24,279		21,327		66,594		60,935
Hydroelectric power stations	9,002		9,541		40,413		36,752
Thermal power stations	26		2,601		3,010		14,558
Solar power station	438		324		2,379		2,312
Corporate and eliminations	(4,706)		(3,910)		(14,259)		(16,200)
	29,039		29,883		98,137		98,357

Information by Geographic Segment

	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except MWh) (unaudited)	2013		2012		2013		2012
Power production (MWh)
Canada	147,212		181,870		571,062		729,443
United States	86,871		100,441		387,942		343,294
France	168,452		159,641		493,540		448,684
	402,535		441,952		1,452,544		1,521,421
Revenues from energy sales
Canada	17,317		21,888		63,568		89,623
United States	7,295		7,960		31,601		26,375
France	24,884		22,215		73,854		65,442
	49,496		52,063		169,023		181,440
EBITDA
Canada	9,130		10,275		33,554		40,783
United States	5,149		5,546		23,864		21,869
France	14,760		14,062		40,719		35,705
	29,039		29,883		98,137		98,357

II - Proportionate Consolidation

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Consolidated Statements of Financial Position

	As at December 31,		As at December 31,
(in thousands of Canadian dollars) (unaudited)	2013		2012
ASSETS
Cash and cash equivalents	127,541		107,138
Restricted cash	60,126		11,650
Trade and other receivables	72,758		48,930
Inventories	4,502		4,404
Other current financial assets	—		14
Available-for-sale financial asset	—		3,009
Prepaid expenses	2,945		2,137
CURRENT ASSETS	267,872		177,282
Property, plant and equipment	1,179,653		812,830
Other intangible assets	257,058		253,115
Goodwill	49,890		48,663
Other non-current financial assets	1,262		—
Other non-current assets	35,705		31,274
NON-CURRENT ASSETS	1,523,568		1,145,882
TOTAL ASSETS	1,791,440		1,323,164
LIABILITIES
Trade and other payables	81,607		50,826
Current portion of debt	122,509		98,570
Current income tax liability	1,516		1,741
Other current financial liabilities	15,243		29,342
CURRENT LIABILITIES	220,875		180,479
Non-current debt	855,484		495,090
Convertible debentures	229,578		226,299
Deferred income tax liability	37,493		29,513
Decommissioning liability	8,160		6,099
Other non-current financial liabilities	19,704		38,469
Other non-current liabilities	34,366		4,846
NON-CURRENT LIABILITIES	1,184,785		800,316
TOTAL LIABILITIES	1,405,660		980,795
EQUITY
Equity attributable to shareholders	356,094		319,868
Non-controlling shareholders	29,686		22,501
TOTAL EQUITY	385,780		342,369
TOTAL LIABILITIES AND EQUITY	1,791,440		1,323,164

Consolidated Statements of Earnings (Loss)

		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except per share amounts) (unaudited)		2013		2012		2013		2012
REVENUES
Revenues from energy sales		51,867		52,063		171,395		181,440
Other income		342		2,401		2,726		2,853
		52,209		54,464		174,121		184,293
COSTS AND OTHER EXPENSES
Operating expenses		16,294		18,868		54,699		66,330
Administration		3,295		4,364		13,381		14,591
Development		1,181		1,355		4,142		5,134
Amortization		15,595		15,021		55,496		58,030
Other losses (gains)		—		—		(232)		971
Impairment of property, plant and equipment and intangible assets		—		—		266		823
		36,365		39,608		127,752		145,879
OPERATING INCOME		15,844		14,856		46,369		38,414
Financing costs		15,082		12,636		52,861		49,269
Foreign exchange loss (gain)		(521)		(80)		(700)		27
Net loss (gain) on financial instruments		(1,309)		(105)		(553)		286
Other		63		—		63		—
EARNINGS (LOSS) BEFORE INCOME TAXES		2,529		2,405		(5,302)		(11,168)
Income tax expense (recovery)		1,624		1,229		537		(2,183)
NET EARNINGS (LOSS) FROM CONTINUING OPERATIONS		905		1,176		(5,839)		(8,985
Net earnings from discontinued operations		74		696		1,774		3,721
NET EARNINGS (LOSS)		979		1,872		(4,065)		(5,264)
NET EARNINGS (LOSS) ATTRIBUTABLE TO:
	Shareholders of Boralex	468		1,238		(4,192)		(5,115)
	Non-controlling shareholders	511		634		127		(149)
NET EARNINGS (LOSS)		979		1,872		(4,065)		(5,264)
NET EARNINGS (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	394		542		(5,966)		(8,836)
	Discontinued operations	74		696		1,774		3,721
		468		1,238		(4,192)		(5,115)
NET EARNINGS (LOSS) PER SHARE (BASIC AND DILUTED) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	$0.01		$0.01		($0.16)		($0.24)
	Discontinued operations	—		$0.02		$0.05		$0.10
		$0.01		$0.03		($0.11)		($0.14)

Consolidated Statements of Cash Flows

		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)		2013		2012		2013		2012
Net earnings (loss)		979		1,872		(4,065)		(5,264)
Less: Net earnings from discontinued operations		74		696		1,774		3,721
Net earnings (loss) from continuing operations		905		1,176		(5,839)		(8,985)
Financing costs		15,082		12,636		52,861		49,269
Interest paid		(15,515)		(14,175)		(50,136)		(47,258)
Income tax expense (recovery)		1,624		1,229		537		(2,183)
Income taxes paid		(647)		(2,694)		(3,372)		(5,334)
Non-cash items in earnings (loss):
	Net loss (gain) on financial instruments	(1,309)		(105)		(553)		286
	Amortization	15,595		15,021		55,496		58,030
	Impairment of property, plant and equipment and intangible assets	—		—		266		823
	Other losses (gains)	—		—		(232)		971
	Other	351		393		2,152		2,046
		16,086		13,481		51,180		47,665
Change in non-cash items related to operating activities		1,044		(9,444)		8,698		(791)
NET CASH FLOWS RELATED TO OPERATING ACTIVITIES		17,130		4,037		59,878		46,874
Business acquisitions		—		(24,801)		—		(63,881)
Additions to property, plant and equipment		(82,942)		(22,253)		(323,415)		(103,138)
Additions to other intangible assets		—		(402)		—		(2,550)
Change in restricted cash		(46,921)		(9,364)		(53,063)		11,315
Change in reserve funds		23		—		(13,956)		—
Development projects		(2,177)		(178)		(9,666)		(3,422)
Proceeds from sale of assets		15		—		389		8,763
Other		(247)		723		(463)		833
NET CASH FLOWS RELATED TO INVESTING ACTIVITIES		(132,249)		(56,275)		(400,174)		(152,080)
Net increase in non-current debt		105,958		16,226		453,517		77,889
Repayments on non-current debt		(4,097)		(3,747)		(101,471)		(28,088)
Contribution of non-controlling shareholders		1,856		4,307		2,593		22,513
Other		66		—		5		(2)
NET CASH FLOWS RELATED TO FINANCING ACTIVITIES		103,783		16,786		354,644		72,312
Cash from discontinued operations		84		1,041		2,054		(3,642)
TRANSLATION ADJUSTMENT ON CASH AND CASH EQUIVALENTS		1,906		1,055		4,001		(1,030)
NET CHANGE IN CASH AND CASH EQUIVALENTS		(9,346)		(33,356)		20,403		(37,566)
CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR		136,887		140,494		107,138		144,704
CASH AND CASH EQUIVALENTS - END OF YEAR		127,541		107,138		127,541		107,138

Information by Operating Segment

	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except MWh) (unaudited)	2013		2012		2013		2012
Power production (MWh)
Wind power stations	249,276		210,838		704,217		632,422
Hydroelectric power stations	142,912		164,072		621,094		572,513
Thermal power stations	31,448		66,051		143,369		310,170
Solar power station	980		991		5,945		6,316
	424,616		441,952		1,474,625		1,521,421
Revenues from energy sales
Wind power stations	31,676		25,124		87,481		74,654
Hydroelectric power stations	12,746		13,860		53,756		47,748
Thermal power stations	6,976		12,654		27,446		56,355
Solar power station	469		425		2,712		2,683
	51,867		52,063		171,395		181,440
EBITDA
Wind power stations	26,136		21,321		69,957		60,816
Hydroelectric power stations	9,002		9,541		40,413		36,752
Thermal power stations	26		2,601		3,010		14,558
Solar power station	438		324		2,379		2,312
Corporate and eliminations	(4,226)		(3,910)		(13,923)		(16,200)
	31,376		29,877		101,836		98,238

Information by Geographic Segment

	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except MWh) (unaudited)	2013		2012		2013		2012
Power production (MWh)
Canada	169,293		181,870		593,143		729,443
United States	86,871		100,441		387,942		343,294
France	168,452		159,641		493,540		448,684
	424,616		441,952		1,474,625		1,521,421
Revenues from energy sales
Canada	19,688		21,888		65,940		89,623
United States	7,295		7,960		31,601		26,375
France	24,884		22,215		73,854		65,442
	51,867		52,063		171,395		181,440
EBITDA
Canada	11,467		10,269		37,253		40,664
United States	5,149		5,546		23,864		21,869
France	14,760		14,062		40,719		35,705
	31,376		29,877		101,836		98,238

III - Non-IFRS Measures

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Non-IFRS Measures

The Corporation's power stations are grouped into four distinct operating segments - wind, hydroelectric, thermal and solar power. The Corporation operates under one reportable segment: power generation. The classification of these segments is based on the different cost structures relating to each of the four types of power stations. The same accounting rules are used for segmented information as for the consolidated accounts.

The operating segments are presented according to the same criteria used to prepare the internal report submitted to the segment leader who allocates resources and assesses operating segment performance. The President and Chief Executive Officer is considered the segment leader, who assesses segment performance based on power production, revenues from energy sales, EBITDA and cash flows from operations.

This section includes also an EBITDA and cash flows from operations presented on a Proportionate Consolidation basis in which the results of Seigneurie de Beaupré Wind Farms 2 and 3 and Seigneurie de Beaupré Wind Farm 4 General Partnerships (the "Joint Ventures"), which are 50% owned by Boralex, have been treated as if they were proportionately consolidated and not as if they were accounted for using the equity method as required by IFRS. Since the information Boralex uses to carry out internal analyses and make strategic and operating decisions is collected on a proportionate consolidation basis, management has considered it relevant to use this accounting basis for this presentation to make it easier for investors to understand the concrete impacts of decisions made by the Corporation. Moreover, tables reconciling IFRS data with data presented on a proportionate consolidation basis are included.

EBITDA

EBITDA does not have a standardized meaning under IFRS; accordingly, it may not be comparable to similarly named measures used by other companies. Investors should not view EBITDA as an alternative measure to, for example, net earnings (loss), or as a measure of operating results, which are IFRS measures.

EBITDA is reconciled to the most comparable IFRS measure, namely, net earnings (loss) attributable to shareholders of Boralex, in the following tables:

IFRS
		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)		2013		2012		2013		2012
Net earnings (loss) attributable to shareholders of Boralex		529		1,238		(3,838)		(5,115)
Net earnings from discontinued operations		(74)		(696)		(1,774)		(3,721)
Non-controlling shareholders		511		634		127		(149)
Income tax expense (recovery)		1,624		1,229		537		(2,183)
Net loss (gain) on financial instruments		(69)		(103)		(742)		396
Foreign exchange loss (gain)		(530)		(80)		(788)		26
Financing costs		13,061		12,640		50,693		49,279
Impairment of property, plant and equipment and intangible assets		—		—		266		823
Other losses (gains)		—		—		(232)		971
Amortization		13,987		15,021		53,888		58,030
EBITDA		29,039		29,883		98,137		98,357
Proportionate Consolidation
		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)		2013		2012		2013		2012
Net earnings (loss) attributable to shareholders of Boralex		468		1,238		(4,192)		(5,115)
Net earnings from discontinued operations		(74)		(696)		(1,774)		(3,721)
Non-controlling shareholders		511		634		127		(149)
Income tax expense (recovery)		1,624		1,229		537		(2,183)
Net loss (gain) on financial instruments		(1,309)		(105)		(553)		286
Foreign exchange loss (gain)		(521)		(80)		(700)		27
Financing costs		15,082		12,636		52,861		49,269
Impairment of property, plant and equipment and intangible assets		—		—		266		823
Other losses (gains)		—		—		(232)		971
Amortization		15,595		15,021		55,496		58,030
EBITDA on a Proportionate Consolidation basis		31,376		29,877		101,836		98,238
Wind power segment
		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)		2013		2012		2013		2012
EBITDA		24,279		21,327		66,594		60,935
Minus : Share in earnings (loss) of Joint Ventures		212		(13)		(1,426)		51
Plus : EBITDA Joint Ventures		2,069		(19)		1,937		(68)
	Non-EBITDA items	1,857		(6)		3,363		(119)
EBITDA on a Proportionate Consolidation basis		26,136		21,321		69,957		60,816
Consolidated
		Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars) (unaudited)		2013		2012		2013		2012
EBITDA		29,039		29,883		98,137		98,357
Minus : Share in earnings (loss) of Joint Ventures		(329)		(13)		(2,116)		51
Plus : EBITDA Joint Ventures		2,069		(19)		1,937		(68)
	Non-EBITDA items	2,398		(6)		4,053		(119)
Elimination of management revenues against property, plant and equipment		(61)		—		(354)		—
EBITDA on a Proportionate Consolidation basis		31,376		29,877		101,836		98,238

Cash flows from operations
Cash flows from operations are equal to net cash flows related to operating activities before the change in non-cash items related to operating activities. Management uses this measure to assess cash flows generated by the Corporation's operations and its capacity to finance its expansion through those funds. In light of the seasonal nature of the Corporation's operations and development activities, changes in non-cash items can vary considerably. In addition, development activities result in significant changes in Trade and other payables during the construction period, as well as an initial injection of working capital at project start-up. Accordingly, the Corporation considers it more representative not to integrate changes in non-cash items in this performance measure.

Investors should not consider cash flows from operations as an alternative measure to cash flows related to operating activities, which is an IFRS measure.

Cash flows from operations are reconciled to the most comparable IFRS measure, namely, net cash flows related to operating activities, in the following tables:

IFRS
	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except per share amounts) (unaudited)	2013		2012		2013		2012
Net cash flows related to operating activities	2,712		(1,712)		59,266		47,396
Change in non-cash items related to operating activities	(12,610)		(15,207)		8,350		(325)
CASH FLOWS FROM OPERATIONS	15,322		13,495		50,916		47,721
CASH FLOWS FROM OPERATIONS (per share)	$0.41		$0.36		$1.35		$1.26
Proportionate Consolidation
	Three-month periods ended December 31				Years ended December 31
(in thousands of Canadian dollars, except per share amounts) (unaudited)	2013		2012		2013		2012
Net cash flows related to operating activities	17,130		4,037		59,878		46,874
Change in non-cash items related to operating activities	1,044		(9,444	)	8,698		(791)
CASH FLOWS FROM OPERATIONS on a Proportionate Consolidation basis	16,086		13,481		51,180		47,665
CASH FLOWS FROM OPERATIONS (per share) on a Proportionate Consolidation basis	$0.43		$0.36		$1.36		$1.26

IV - Reconciliations between IFRS and Proportionate Consolidation

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Financial Highlights

		2013
(in thousands of Canadian dollars, except MWh and per share amounts) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
POWER PRODUCTION (MWh)
Wind power stations		682,136		22,081		704,217
Hydroelectric power stations		621,094		—		621,094
Thermal power stations		143,369		—		143,369
Solar power station		5,945		—		5,945
		1,452,544		22,081		1,474,625
REVENUES FROM ENERGY SALES
Wind power stations		85,109		2,372		87,481
Hydroelectric power stations		53,756		—		53,756
Thermal power stations		27,446		—		27,446
Solar power station		2,712		—		2,712
		169,023		2,372		171,395
EBITDA
Wind power stations		66,594		3,363		69,957
Hydroelectric power stations		40,413		—		40,413
Thermal power stations		3,010		—		3,010
Solar power station		2,379		—		2,379
		112,396		3,363		115,759
Corporate and eliminations		(14,259)		336		(13,923)
		98,137		3,699		101,836
CASH FLOWS FROM OPERATIONS
	In dollars	50,916		264		51,180
	Per share (basic)	$1.35		$0.01		$1.36
		2012
(in thousands of Canadian dollars, except MWh and per share amounts) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
POWER PRODUCTION (MWh)
Wind power stations		632,422		—		632,422
Hydroelectric power stations		572,513		—		572,513
Thermal power stations		310,170		—		310,170
Solar power station		6,316		—		6,316
		1,521,421		—		1,521,421
REVENUES FROM ENERGY SALES
Wind power stations		74,654		—		74,654
Hydroelectric power stations		47,748		—		47,748
Thermal power stations		56,355		—		56,355
Solar power station		2,683		—		2,683
		181,440		—		181,440
EBITDA
Wind power stations		60,935		(119)		60,816
Hydroelectric power stations		36,752		—		36,752
Thermal power stations		14,558		—		14,558
Solar power station		2,312		—		2,312
		114,557		(119)		114,438
Corporate and eliminations		(16,200)		—		(16,200)
		98,357		(119)		98,238
CASH FLOWS FROM OPERATIONS
	In dollars	47,721		(56)		47,665
	Per share (basic)	$1.26		—		$1.26

Consolidated Statements of Financial Position

	2013
(in thousands of Canadian dollars) (unaudited)	IFRS		Adjustments Joint Ventures		Proportionate Consolidation
ASSETS
Cash and cash equivalents	124,942		2,599		127,541
Restricted cash	19,366		40,760		60,126
Trade and other receivables	41,625		31,133		72,758
Inventories	4,502		—		4,502
Prepaid expenses	2,945		—		2,945
CURRENT ASSETS	193,380		74,492		267,872
Property, plant and equipment	799,213		380,440		1,179,653
Other intangible assets	257,058		—		257,058
Goodwill	49,890		—		49,890
Interest in Joint Ventures	90,880		(90,880)		—
Other non-current financial assets	289		973		1,262
Other non-current assets	32,017		3,688		35,705
NON-CURRENT ASSETS	1,229,347		294,221		1,523,568
TOTAL ASSETS	1,422,727		368,713		1,791,440
LIABILITIES
Trade and other payables	57,992		23,615		81,607
Current portion of debt	84,034		38,475		122,509
Current income tax liability	1,516		—		1,516
Other current financial liabilities	15,243		—		15,243
CURRENT LIABILITIES	158,785		62,090		220,875
Non-current debt	578,914		276,570		855,484
Convertible debentures	229,578		—		229,578
Deferred income tax liability	37,493		—		37,493
Decommissioning liability	7,198		962		8,160
Other non-current financial liabilities	19,704		—		19,704
Other non-current liabilities	4,921		29,445		34,366
NON-CURRENT LIABILITIES	877,808		306,977		1,184,785
TOTAL LIABILITIES	1,036,593		369,067		1,405,660
EQUITY
Equity attributable to shareholders	356,448		(354)		356,094
Non-controlling shareholders	29,686		—		29,686
TOTAL EQUITY	386,134		(354)		385,780
TOTAL LIABILITIES AND EQUITY	1,422,727		368,713		1,791,440

Consolidated Statements of Financial Position

	2012
(in thousands of Canadian dollars) (unaudited)	IFRS		Adjustments Joint Ventures		Proportionate Consolidation
ASSETS
Cash and cash equivalents	107,138		—		107,138
Restricted cash	5,063		6,587		11,650
Trade and other receivables	45,589		3,341		48,930
Inventories	4,404		—		4,404
Other current financial assets	—		14		14
Available-for-sale financial asset	3,009		—		3,009
Prepaid expenses	2,137		—		2,137
CURRENT ASSETS	167,340		9,942		177,282
Property, plant and equipment	689,024		123,806		812,830
Other intangible assets	253,115		—		253,115
Goodwill	48,663		—		48,663
Interest in Joint Ventures	58,994		(58,994)		—
Other non-current assets	12,735		18,539		31,274
NON-CURRENT ASSETS	1,062,531		83,351		1,145,882
TOTAL ASSETS	1,229,871		93,293		1,323,164
LIABILITIES
Trade and other payables	46,945		3,881		50,826
Current portion of debt	98,570		—		98,570
Current income tax liability	1,741		—		1,741
Other current financial liabilities	25,508		3,834		29,342
CURRENT LIABILITIES	172,764		7,715		180,479
Non-current debt	423,616		71,474		495,090
Convertible debentures	226,299		—		226,299
Deferred income tax liability	29,514		(1)		29,513
Decommissioning liability	5,765		334		6,099
Other non-current financial liabilities	24,698		13,771		38,469
Other non-current liabilities	4,846		—		4,846
NON-CURRENT LIABILITIES	714,738		85,578		800,316
TOTAL LIABILITIES	887,502		93,293		980,795
EQUITY
Equity attributable to shareholders	319,868		—		319,868
Non-controlling shareholders	22,501		—		22,501
TOTAL EQUITY	342,369		—		342,369
TOTAL LIABILITIES AND EQUITY	1,229,871		93,293		1,323,164

Consolidated Statements of Earnings (Loss)

		Three-month period ended December 31
		2013
(in thousands of Canadian dollars, except per share amounts) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
REVENUES
Revenues from energy sales		49,496		2,371		51,867
Other income		331		11		342
		49,827		2,382		52,209
COSTS AND OTHER EXPENSES
Operating expenses		15,952		342		16,294
Administration		3,263		32		3,295
Development		1,181		—		1,181
Amortization		13,987		1,608		15,595
		34,383		1,982		36,365
OPERATING INCOME		15,444		400		15,844
Financing costs		13,061		2,021		15,082
Foreign exchange loss (gain)		(530)		9		(521)
Net loss on financial instruments		(69)		(1,240)		(1,309)
Share in earnings (loss) of the Joint Ventures		(329)		329		—
Other		63		—		63
EARNINGS (LOSS) BEFORE INCOME TAXES		2,590		(61)		2,529
Income tax expense		1,624		—		1,624
NET EARNINGS (LOSS) FROM CONTINUING OPERATIONS		966		(61)		905
Net earnings from discontinued operations		74		—		74
NET EARNINGS (LOSS)		1,040		(61)		979
NET EARNINGS (LOSS) ATTRIBUTABLE TO:
	Shareholders of Boralex	529		(61)		468
	Non-controlling shareholders	511		—		511
NET EARNINGS (LOSS)		1,040		(61)		979
NET EARNINGS (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	455		(61)		394
	Discontinued operations	74		—		74
		529		(61)		468
NET EARNINGS PER SHARE (BASIC AND DILUTED) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	$0.01		—		$0.01
	Discontinued operations	—		—		—
		$0.01		—		$0.01

Consolidated Statements of Earnings

		Three-month period ended December 31
		2012
(in thousands of Canadian dollars, except per share amounts) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
REVENUES
Revenues from energy sales		52,063		—		52,063
Other income		2,401		—		2,401
		54,464		—		54,464
COSTS AND OTHER EXPENSES
Operating expenses		18,868		—		18,868
Administration		4,347		17		4,364
Development		1,353		2		1,355
Amortization		15,021		—		15,021
		39,589		19		39,608
OPERATING INCOME (LOSS)		14,875		(19)		14,856
Financing costs		12,640		(4)		12,636
Foreign exchange gain		(80)		—		(80)
Net loss on financial instruments		(103)		(2)		(105)
Share in earnings (loss) of the Joint Ventures		(13)		13		—
EARNINGS BEFORE INCOME TAXES		2,405		—		2,405
Income tax expense		1,229		—		1,229
NET EARNINGS FROM CONTINUING OPERATIONS		1,176		—		1,176
Net earnings from discontinued operations		696		—		696
NET EARNINGS		1,872		—		1,872
NET EARNINGS ATTRIBUTABLE TO:
	Shareholders of Boralex	1,238		—		1,238
	Non-controlling shareholders	634		—		634
NET EARNINGS		1,872		—		1,872
NET EARNINGS ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	542		—		542
	Discontinued operations	696		—		696
		1,238		—		1,238
NET EARNINGS PER SHARE (BASIC AND DILUTED) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	$0.01		—		$0.01
	Discontinued operations	$0.02		—		$0.02
		$0.03		—		$0.03

Consolidated Statements of Earnings (Loss)

		Year ended December 31
		2013
(in thousands of Canadian dollars, except per share amounts) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
REVENUES
Revenues from energy sales		169,023		2,372		171,395
Other income		3,009		(283)		2,726
		172,032		2,089		174,121
COSTS AND OTHER EXPENSES
Operating expenses		54,357		342		54,699
Administration		13,214		167		13,381
Development		4,145		(3)		4,142
Amortization		53,888		1,608		55,496
Other gains		(232)		—		(232)
Impairment of property, plant and equipment and intangible assets		266		—		266
		125,638		2,114		127,752
OPERATING INCOME (LOSS)		46,394		(25)		46,369
Financing costs		50,693		2,168		52,861
Foreign exchange loss (gain)		(788)		88		(700)
Net loss (gain) on financial instruments		(742)		189		(553)
Share in earnings (loss) of the Joint Ventures		(2,116)		2,116		—
Other		63		—		63
LOSS BEFORE INCOME TAXES		(4,948)		(354)		(5,302)
Income tax expense		537		—		537
NET LOSS FROM CONTINUING OPERATIONS		(5,485)		(354)		(5,839)
Net earnings from discontinued operations		1,774		—		1,774
NET LOSS		(3,711)		(354)		(4,065)
NET EARNINGS (LOSS) ATTRIBUTABLE TO:
	Shareholders of Boralex	(3,838)		(354)		(4,192)
	Non-controlling shareholders	127		—		127
NET LOSS		(3,711)		(354)		(4,065)
NET EARNINGS (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	(5,612)		(354)		(5,966)
	Discontinued operations	1,774		—		1,774
		(3,838)		(354)	)	(4,192)
NET EARNINGS (LOSS) PER SHARE (BASIC AND DILUTED) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	($0.15)		($0.01)		($0.16)
	Discontinued operations	$0.05		—		$0.05
		($0.10)		($0.01)		($0.11)

Consolidated Statements of Earnings (Loss)

		Year ended December 31
		2012
(in thousands of Canadian dollars, except per share amounts) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
REVENUES
Revenues from energy sales		181,440		—		181,440
Other income		2,853		—		2,853
		184,293		—		184,293
COSTS AND OTHER EXPENSES
Operating expenses		66,330		—		66,330
Administration		14,528		63		14,591
Development		5,129		5		5,134
Amortization		58,030		—		58,030
Other losses		971		—		971
Impairment of property, plant and equipment and intangible assets		823		—		823
		145,811		68		145,879
OPERATING INCOME (LOSS)		38,482		(68)		38,414
Financing costs		49,279		(10)		49,269
Foreign exchange loss		26		1		27
Net loss (gain) on financial instruments		396		(110)		286
Share in earnings (loss) of the Joint Ventures		51		(51)		—
LOSS BEFORE INCOME TAXES		(11,168)		—		(11,168)
Income tax recovery		(2,183)		—		(2,183)
NET LOSS FROM CONTINUING OPERATIONS		(8,985)		—		(8,985)
Net earnings from discontinued operations		3,721		—		3,721
NET LOSS		(5,264)		—		(5,264)
NET LOSS ATTRIBUTABLE TO:
	Shareholders of Boralex	(5,115)		—		(5,115)
	Non-controlling shareholders	(149)		—		(149)
NET LOSS		(5,264)		—		(5,264)
NET EARNINGS (LOSS) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	(8,836)		—		(8,836)
	Discontinued operations	3,721		—		3,721
		(5,115)		—		(5,115)
NET EARNINGS (LOSS) PER SHARE (BASIC AND DILUTED) ATTRIBUTABLE TO SHAREHOLDERS OF BORALEX
	Continuing operations	($0.24)		—		($0.24)
	Discontinued operations	$0.10		—		$0.10
		($0.14)		—		($0.14)

Consolidated Statements of Cash Flows

		Three-month period ended December 31
		2013
(in thousands of Canadian dollars) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
Net earnings (loss)		1,040		(61)		979
Less: Net earnings from discontinued operations		74		—		74
Net earnings (loss) from continuing operations		966		(61)		905
Financing costs		13,061		2,021		15,082
Interest paid		(14,280)		(1,235)		(15,515)
Income tax expense		1,624		—		1,624
Income taxes paid		(647)		—		(647)
Non-cash items in earnings (loss):
	Net loss on financial instruments	(69)		(1,240)		(1,309)
	Share in results of Joint Ventures	329		(329)		—
	Amortization	13,987		1,608		15,595
	Other	351		—		351
		15,322		764		16,086
Change in non-cash items related to operating activities		(12,610)		13,654		1,044
NET CASH FLOWS RELATED TO OPERATING ACTIVITIES		2,712		14,418		17,130
Additions to property, plant and equipment		(28,395)		(54,547)		(82,942)
Change in restricted cash		(9,529)		(37,392)		(46,921)
Increase in interest in Joint Ventures		(2,781)		2,781		—
Change in reserve funds		23		—		23
Development projects		(2,177)		—		(2,177)
Proceeds from sale of assets		15		—		15
Other		(247)		—		(247)
NET CASH FLOWS RELATED TO INVESTING ACTIVITIES		(43,091)		(89,158)		(132,249)
Net increase in non-current debt		29,439		76,519		105,958
Repayments on non-current debt		(4,097)		—		(4,097)
Contribution of non-controlling shareholders		1,856		—		1,856
Other		66		—		66
NET CASH FLOWS RELATED TO FINANCING ACTIVITIES		27,264		76,519		103,783
Cash from discontinued operations		84		—		84
TRANSLATION ADJUSTMENT ON CASH AND CASH EQUIVALENTS		1,906		—		1,906
NET CHANGE IN CASH AND CASH EQUIVALENTS		(11,125)		1,779		(9,346)
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD		136,067		820		136,887
CASH AND CASH EQUIVALENTS - END OF PERIOD		124,942		2,599		127,541

Consolidated Statements of Cash Flows

		Three-month period ended December 31
		2012
(in thousands of Canadian dollars) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
Net earnings		1,872		—		1,872
Less: Net earnings from discontinued operations		696		—		696
Net earnings from continuing operations		1,176		—		1,176
Financing costs		12,640		(4)		12,636
Interest paid		(14,180)		5		(14,175)
Income tax expense		1,229		—		1,229
Income taxes paid		(2,694)		—		(2,694)
Non-cash items in earnings:
	Net loss on financial instruments	(103)		(2)		(105)
	Share in results of Joint Ventures	13		(13)		—
	Amortization	15,021		—		15,021
	Other	393		—		393
		13,495		(14)		13,481
Change in non-cash items related to operating activities		(15,207)		5,763		(9,444)
NET CASH FLOWS RELATED TO OPERATING ACTIVITIES		(1,712)		5,749		4,037
Business acquisitions		(24,801)		—		(24,801)
Additions to property, plant and equipment		(4,787)		(17,466)		(22,253)
Additions to other intangible assets		(402)		—		(402)
Change in restricted cash		(4,856)		(4,508)		(9,364)
Development projects		(178)		—		(178)
Other		723		—		723
NET CASH FLOWS RELATED TO INVESTING ACTIVITIES		(34,301)		(21,974)		(56,275)
Net increase in non-current debt		—		16,226		16,226
Repayments on non-current debt		(3,747)		—		(3,747)
Contribution of non-controlling shareholders		4,307		—		4,307
NET CASH FLOWS RELATED TO FINANCING ACTIVITIES		560		16,226		16,786
Cash from discontinued operations		1,041		—		1,041
TRANSLATION ADJUSTMENT ON CASH AND CASH EQUIVALENTS		1,055		—		1,055
NET CHANGE IN CASH AND CASH EQUIVALENTS		(33,357)		1		(33,356)
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD		140,495		(1)		140,494
CASH AND CASH EQUIVALENTS - END OF PERIOD		107,138		—		107,138

Consolidated Statements of Cash Flows

		Year ended December 31
		2013
(in thousands of Canadian dollars) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
Net loss		(3,711)		(354)		(4,065)
Less: Net earnings from discontinued operations		1,774		—		1,774
Net loss from continuing operations		(5,485)		(354)		(5,839)
Financing costs		50,693		2,168		52,861
Interest paid		(48,905)		(1,231)		(50,136)
Income tax expense		537		—		537
Income taxes paid		(3,372)		—		(3,372)
Non-cash items in loss:
	Net loss (gain) on financial instruments	(742)		189		(553)
	Share in results of Joint Ventures	2,116		(2,116)		—
	Amortization	53,888		1,608		55,496
	Impairment of property, plant and equipment and intangible assets	266		—		266
	Other gains	(232)		—		(232)
	Other	2,152		—		2,152
		50,916		264		51,180
Change in non-cash items related to operating activities		8,350		348		8,698
NET CASH FLOWS RELATED TO OPERATING ACTIVITIES		59,266		612		59,878
Additions to property, plant and equipment		(107,479)		(215,936)		(323,415)
Change in restricted cash		(18,890)		(34,173)		(53,063)
Increase in interest in Joint Ventures		(8,318)		8,318		—
Change in reserve funds		(13,956)		—		(13,956)
Development projects		(9,666)		—		(9,666)
Proceeds from sale of assets		389		—		389
Other		(463)		—		(463)
NET CASH FLOWS RELATED TO INVESTING ACTIVITIES		(158,383)		(241,791)		(400,174)
Net increase in non-current debt		209,739		243,778		453,517
Repayments on non-current debt		(101,471)		—		(101,471)
Contribution of non-controlling shareholders		2,593		—		2,593
Other		5		—		5
NET CASH FLOWS RELATED TO FINANCING ACTIVITIES		110,866		243,778		354,644
Cash from discontinued operations		2,054		—		2,054
TRANSLATION ADJUSTMENT ON CASH AND CASH EQUIVALENTS		4,001		—		4,001
NET CHANGE IN CASH AND CASH EQUIVALENTS		17,804		2,599		20,403
CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR		107,138		—		107,138
CASH AND CASH EQUIVALENTS - END OF YEAR		124,942		2,599		127,541

Consolidated Statements of Cash Flows

		Year ended December 31
		2012
(in thousands of Canadian dollars) (unaudited)		IFRS		Adjustments Joint Ventures		Proportionate Consolidation
Net loss		(5,264)		—		(5,264)
Less: Net earnings from discontinued operations		3,721		—		3,721
Net loss from continuing operations		(8,985)		—		(8,985)
Financing costs		49,279		(10)		49,269
Interest paid		(47,271)		13		(47,258)
Income tax recovery		(2,183)		—		(2,183)
Income taxes paid		(5,334)		—		(5,334)
Non-cash items in loss:
	Net loss (gain) on financial instruments	396		(110)		286
	Share in results of Joint Ventures	(51)		51		—
	Amortization	58,030		—		58,030
	Impairment of property, plant and equipment and intangible assets	823		—		823
	Other losses	971		—		971
	Other	2,046		—		2,046
		47,721		(56)		47,665
Change in non-cash items related to operating activities		(325)		(466)		(791)
NET CASH FLOWS RELATED TO OPERATING ACTIVITIES		47,396		(522)		46,874
Business acquisitions		(63,881)		—		(63,881)
Additions to property, plant and equipment		(10,320)		(92,818)		(103,138)
Additions to other intangible assets		(2,550)		—		(2,550)
Change in restricted cash		13,225		(1,910)		11,315
Increase in interest in Joint Ventures		(17,735)		17,735		—
Development projects		(3,422)		—		(3,422)
Proceeds from sale of assets		8,763		—		8,763
Other		833		—		833
NET CASH FLOWS RELATED TO INVESTING ACTIVITIES		(75,087)		(76,993)		(152,080)
Net increase in non-current debt		—		77,889		77,889
Repayments on non-current debt		(27,713)		(375)		(28,088)
Contribution of non-controlling shareholders		22,513		—		22,513
Other		(2)		—		(2)
NET CASH FLOWS RELATED TO FINANCING ACTIVITIES		(5,202)		77,514		72,312
Cash from discontinued operations		(3,642)		—		(3,642)
TRANSLATION ADJUSTMENT ON CASH AND CASH EQUIVALENTS		(1,030)		—		(1,030)
NET CHANGE IN CASH AND CASH EQUIVALENTS		(37,565)		(1)		(37,566)
CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR		144,703		1		144,704
CASH AND CASH EQUIVALENTS - END OF YEAR		107,138		—		107,138

 

 

 

 

 

SOURCE: Boralex Inc.

Media
Patricia Lemaire
Director, Public Affairs and Communications
Boralex Inc.
514-985-1353
[email protected]

Investors
Marc Jasmin
Director, Investor Relations
Boralex Inc.
514-284-9868
[email protected]