Capstone’s district heating utilities segment comprises a 33.3% interest  in Värmevärden, located in Sweden. Capstone's investment includes loans receivable and equity. In 2012, the business completed a bond offering, resulting in repayment of a portion of the loans due to shareholders. Värmevärden's overall financial performance in 2013 was below 2012, primarily due to the use of alternative, more expensive heat production systems during periods when primary systems required maintenance. Overall, Värmevärden's cash flow to support interest and dividend payments to shareholders remained strong. During the first four months of 2012, Värmevärden used the bond issuance proceeds to reduce Capstone's shareholder loan from$81,587 to $33,628. As a result, in 2013, Capstone received $495 less interest income. Capstone received $1,103 higher dividends from Värmevärden in 2013. The increase was primarily due to distribution of surplus cash attributable to prior years' performance. Equity accounted income (loss) included in Capstone's net income was $5,265 lower than in 2012, mostly due to a decrease in enacted tax rates  that resulted in a deferred tax recovery. In addition, during 2013, more expensive heat production systems were used in periods when primary systems required maintenance. Heat production is typically highest during the first quarter, which coincides with the coldest months of the year. The first and fourth quarters combined have historically accounted for approximately 65% of Värmevärden’s annual revenue. Interest income from the shareholder loan is expected to be consistent with 2013 while dividends are expected to be higher in 2014, resulting in higher Adjusted EBITDA from the district heating segment compared with 2013. Interest income Dividends Equity accounted income (Loss) District heating Infrastructure – Utilities Outlook  (1) Seasonality Heat and Steam Production JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC GWh 0 50 100 150 200 HEAT AND STEAM PRODUCTION $_{pp}$ 2012 $_{pp}$ 2013 For the year ended Dec 31, 2013 Dec 31, 2012 Heat and steam production (GWh) 1,091 1,078 Equity accounted income (loss) proportionate to Capstone (2,950) 2,315 Interest income 2,861 3,356 Dividends 3,104 2,001 Adjusted EBITDA and AFFO 5,965 5,357 2013 ANNUAL REPORT  33 (1) See page 20 for a description of various other material factors or assumptions underlying our outlook. $_{pp}$  14% Industrial Heat  pp  5% Electricity $_{pp}$ 5% Fossil  Fuel $_{pp}$ 76% Bio and Waste Fuel FUEL MIX BREAKDOWN  BY MWH 2013 $_{pp}$  13% Industrial Heat $_{pp}$ 4% Electricity $_{pp}$ 6% Fossil  Fuel $_{pp}$ 77% Bio and Waste Fuel FUEL MIX BREAKDOWN  BY MWH 2012 $_{pp}$ 11% Industrial Heat pp  18% Electricity $_{pp}$ 16% Fossil Fuel $_{pp}$ 56% Bio and Waste Fuel FUEL MIX BREAKDOWN  BY COST (SEK) 2013 $_{pp}$  11% Industrial Heat $_{pp}$ 17% Electricity $_{pp}$ 13% Fossil Fuel $_{pp}$ 59% Bio and Waste Fuel FUEL MIX BREAKDOWN  BY COST (SEK) 2012