Algonquin Power & Utilities Corp. – Consolidated Financial Statements ALGONQUIN POWER & UTILITIES CORP.  Notes to the Consolidated Financial Statements  December 31, 2012 and 2011   (in thousands of Canadian dollars except as noted and amounts per share)  17.  Income taxes (continued)  18.  Sale of Small U.S. Hydro Facilities  As at December 31, 2012, the Company had non-capital losses carry forwards available to reduce  future year’s taxable income, which expire as follows:  On March 14, 2013, APCo entered into an agreement to sell 10 small U.S. hydroelectric  generating facilities that were no longer considered strategic to the ongoing operations of the  Company for gross proceeds of U.S. $27,000. In August 2012, APCo sold another small U.S.  Hydro facility for gross proceeds of $350 for a loss on sale, net of tax of $253 which is included in the  loss from discontinued operations. The operating results from these facilities are therefore disclosed  as discontinued operations on the consolidated statements and prior periods have been reclassified  to conform to this presentation.  The summary of operating results and cash flows from discontinued operations for the years ended  December 31 is as follows:  Year of expiry  Non-capital losses carry forwards   2015 $ 5,426   2026 and onwards 390,633  $ 396,059  Assets held-for-sale as at December 31, were as follows:  2012 2011 Non-regulated energy sales  2,870  5,921  Operating and administrative expenses  3,241  4,402  Depreciation of property, plant and equipment  1,279  1,405  Interest expense  4 4 Loss on sale of assets  253  - Write-down of long-lived assets  - 1,354 Loss from discontinued operations, before income taxes  (1,907)  (1,244)  Income tax recovery  750  492  Loss from discontinued operations, net of income taxes  (1,157)  (752)  Add: Depreciation of property, plant and equipment  1,279  1,405  Loss on sale of assets  253  - Write-down of long-lived assets  -  1,354  Less: Income tax recovery  (750)  (492)  Net cash (outflow) inflow from discontinued operations (375) 1,515 2012 2011 Property, plant and equipment  24,390  25,847  2012 Annual Report 121