TransCanada drops CAN$16 billion pipeline projects
As a result of its decision not to proceed with the proposed projects, TransCanada is reviewing its approximate $1.3 billion carrying value.
This is including allowance for funds used during construction (AFUDC) capitalized since inception and expects an estimated $1 billion after-tax non-cash charge will be recorded in the company's fourth quarter results.
TransCanada stopped capitalizing AFUDC on the project effective August 23, 2017, as disclosed on September 7, 2017.
In light of the project’s inability to reach a regulatory decision, no recoveries of costs from third parties are expected. ■