8-KOther Events

ATMOS ENERGY CORP 8-K Report, Corporate Update (Apr 12, 2017)

Filed April 12, 2017For Securities:ATO

Summary

Atmos Energy Corporation (ATO) filed a Current Report on Form 8-K on April 12, 2017, to recast its consolidated financial statements previously filed in its Annual Report on Form 10-K for the year ended September 30, 2016. The primary purpose of this filing is to reflect changes in the company's reportable segments, effective December 1, 2016, and to present its nonregulated natural gas marketing business as discontinued operations. This recast is a result of the company's exit from the nonregulated natural gas marketing business with the sale of Atmos Energy Marketing, LLC (AEM) on January 1, 2017. The company's reportable segments have been reorganized into three categories: Distribution, Pipeline and Storage, and Natural Gas Marketing (discontinued operations), replacing the prior structure of Regulated Distribution, Regulated Pipeline, and Nonregulated. Importantly, the company states that these changes and the presentation of discontinued operations have no impact on its historical consolidated financial position, results of operations, or cash flows.

Key Highlights

  • 1Atmos Energy is recasting its previously filed 2016 financial statements to reflect changes in its reportable business segments.
  • 2The company has officially exited its nonregulated natural gas marketing business following the sale of Atmos Energy Marketing, LLC (AEM) on January 1, 2017.
  • 3The company's reportable segments have been restructured into three categories: Distribution, Pipeline and Storage, and Natural Gas Marketing (as discontinued operations).
  • 4This segment realignment became effective on December 1, 2016, and was first reported in the Q1 Fiscal 2017 Form 10-Q.
  • 5The recast financial statements and segment changes do not alter the company's historical consolidated financial position, results of operations, or cash flows.
  • 6This filing provides updated exhibits to reflect these changes, including recast sections of the Fiscal 2016 Form 10-K.
  • 7The report includes forward-looking statements discussing various risks and uncertainties that could impact future financial performance.

Frequently Asked Questions

Atmos Energy is filing this 8-K to provide a recast of its consolidated financial statements from its 2016 Annual Report. This recast is necessary to reflect changes in its reportable business segments and to present its former nonregulated natural gas marketing business as discontinued operations.

Effective December 1, 2016, Atmos Energy's reportable segments have been reorganized into three categories: Distribution, Pipeline and Storage, and Natural Gas Marketing (which now consists solely of discontinued operations). This replaces the prior segments of Regulated Distribution, Regulated Pipeline, and Nonregulated.

According to the filing, the change in segments and the presentation of discontinued operations had no impact on Atmos Energy's historical consolidated financial position, results of operations, or cash flows. The recast financial statements do not represent a restatement of previously issued financial statements.

The recast financial information and updated disclosures are filed as exhibits to this Form 8-K, primarily within Exhibit 99.1, which includes recast sections of the Fiscal 2016 Form 10-K. Investors should read this Form 8-K in conjunction with the original Fiscal 2016 Form 10-K and subsequent filings like the First Quarter Fiscal 2017 Form 10-Q.