Company: MSEX
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001174947-25-000251
Chunk: 213

Company: MIDDLESEX WATER CO
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1A
Chunk 213
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     67  
     115 
  
    Adjusted Earnings Applicable to Common Stock 
    $44,285  
     17,946  
    $31,471  
     17,847  
    $42,376  
     17,712 
  
    Diluted EPS 
    $2.47  
        
    $1.76  
        
    $2.39  

Fair Value of Financial Instruments

The following methods and assumptions were used
by the Company in estimating its fair value disclosure for financial instruments for which it is practicable to estimate that value. The
carrying amounts reflected in the consolidated balance sheets for cash and cash equivalents, accounts receivable, accounts payable and
notes payable approximate their respective fair values due to the short-term maturities of these instruments. The fair value of FMBs and
SRF Bonds (collectively, the Bonds) issued by Middlesex is based on quoted market prices for similar issues. Under the fair value hierarchy,
the fair value of cash and cash equivalents is classified as a Level 1 measurement and the fair value of notes payable and the Bonds in
the table below are classified as Level 2 measurements. The carrying amount and fair value of the Bonds were as follows:

    (In Thousands)

    At December 31,

    2024 
    2023

    Carrying 
    Fair 
    Carrying 
    Fair

    Amount 
    Value 
    Amount 
    Value
  
    FMBs 
    $129,602  
    $125,067  
    $133,374  
    $131,745 

It was not practicable to estimate the fair value
on our outstanding long-term debt for which there is no quoted market price and there is not an active trading market. For details, including
carrying value, interest rate and due date on these series of long-term debt, please refer to those series of long-term debt titled “Amortizing
Secured Notes” and “State Revolving Trust Notes” on the Consolidated Statements of Capital Stock and Long-Term Debt.
The carrying amount of these instruments was $229.8 million and $231.3 million at December 31, 2024 and 2023, respectively. Advances for
construction have carrying amounts of $22.6 million and $21.3 million at December 31, 2024 and 2023, respectively.