Algonquin Power & Utilities Corp. – Management’s Discussion & Analysis 2012 at a total capital cost of U.S. $18.3 million (net of one-time non-recurring items: State of  Connecticut grant for U.S. $6.5 million; and a U.S. Federal Government heat and power investment tax  credit (“ITC”) for U.S. $2.4 million) and is now fully operational. As part of the repowering project APCo  also entered into an extension of the energy services agreement with Ahlstrom for delivery of 100% of  its steam capacity and a portion of its electrical generating capacity. The agreement now continues until  2027. With the new turbine operational the existing Frame 6 is now available as a peaking turbine to  generate additional revenues.  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 million. The operating results from these facilities are therefore disclosed as  discontinued operations on the consolidated statements of operations and prior periods have been  reclassified to conform to this presentation.  During the year, APUC positioned both its regulated and non-regulated utility businesses for significant growth  in 2013 and beyond. Growth expected in the first quarter of 2013 will reflect the acquisition of 3 U.S. wind  generation facilities near the end of the year. The acquisition of natural gas and electric utilities in the third  quarter of 2012 will also contribute to significant growth expected in 2013 as cash flow and earnings from these  utilities are heavily weighted to the first and second quarters of each year.  1 APUC uses adjusted EBITDA, adjusted net earnings and adjusted funds from operations to enhance assessment and understanding of the operating  performance of APUC without the effects of certain accounting adjustments which are derived from a number of non-operating factors, accounting methods and  assumptions.  2 APUC uses per share adjusted net earnings, cash provided by operating activities and adjusted funds from operations to enhance assessment and  understanding of the performance of APUC.  $^{3}$ Non-GAAP measure - see applicable section later in this MD&A and the caution regarding non-GAAP measures on page 1.  $^{4}$Long term debt includes current and long term portion of debt and convertible debentures. For the year ended December 31, 2012, APUC experienced an average U.S. exchange rate of approximately  $0.999 as compared to $0.989 in the same period in 2011. As such, any year over year variance in revenue or  expenses, in local currency, at any of APUC’s U.S. entities are affected by a change in the average exchange  rate, upon conversion to APUC’s Canadian dollar reporting currency. For the year ended December 31, 2012, APUC reported total revenue of $369.9 million as compared to $270.7  million during the same period in 2011, an increase of $99.2 million or 37%. The major factors resulting in the  increase in APUC revenue for the year ended December 31, 2012 as compared to the corresponding period in  2011 are set out as follows:  2012 Annual Report 20 Year ended December 31  (millions of dollars except per share information)  2012 2011 2010  Revenue  $ 369.9  $ 270.7  $ 175.1 Adjusted EBITDA 1, 3 106.2  103.7  74.1 Cash provided by operating activities  63.0 69.7 41.4 Adjusted funds from operations 1, 3 76.9 72.7 41.5 Net earnings attributable to Shareholders from continuing operations  15.7 24.1 18.3 Net earnings attributable to Shareholders  14.5 23.4 18.0 Adjusted net earnings  1, 3 21.1 38.3 22.8 Dividends declared to Common Shareholders  50.2 32.4 22.8 Weighted Average number of common shares outstanding  158,304,340  116,712,934 94,338,193 Per share  Basic net earnings from continuing operations  $ 0.10 $ 0.21 $ 0.19 Basic net earnings  $ 0.09 $ 0.20 $ 0.19 Adjusted net earnings  1, 2, 3 $ 0.14 $ 0.33 $ 0.24 Diluted net earnings  $ 0.09 $ 0.20 $ 0.19 Cash provided by operating activities  1, 2, ,3 $ 0.40 $ 0.60 $ 0.44 Adjusted funds from operations 1, 2, 3 $ 0.52 $ 0.62 $ 0.44 Dividends declared to Common Shareholders  $ 0.30 $ 0.27 $ 0.24 Total assets  2,778.2  1,282.3 1,016.9 Long term liabilities 4 771.8  455.0 441.7 Key Selected Annual Financial Information 2012 Annual Results from Operations  Sale of Small U.S. Hydro Facilities