NJR's liquidation posture as of March 31, 2026 is deeply negative, consistent with the MFFAIS CLV/LLV/OLV of approximately -$823M. Total assets of $7.94B are dominated by long-lived, capital-intensive items with compressed liquidation recovery. PP&E (utility plant in service $4.58B less accumulated depreciation $900M, net $3.68B plus construction-in-progress $278M and other PP&E $1.99B) represents the largest asset class; under a 50-70% haircut, recovery would be $3.0-3.9B against face-value liabilities that include $3.28B long-term debt and capital leases (noncurrent), $165M current portion LTD, $150M short-term bank borrowings, $491M deferred tax liabilities, $166M environmental accrual, $110M pension obligation, and $168M noncurrent regulatory liabilities. Regulatory assets ($620M noncurrent, $32M current) carry zero liquidation value as they are creature-of-regulation intangibles with no standalone recovery. The $62M deferred revenue liability from Energy Services AMAs ($61.3M balance per MD&A as of March 31, 2026, up from $36.8M at September 30, 2025) stays at face value on windup. Operating lease right-of-use assets ($188M) receive nominal recovery while the corresponding liabilities ($163M noncurrent + $5M current) remain at face. CEV financing obligations from solar sale-leaseback transactions are embedded in the long-term debt figure; $49.3M of proceeds received in the six months ended March 31, 2026 added to financing obligations, incrementally pressuring the liability stack. NJNG long-term debt alone approximates $1.8B in fixed-rate FMBs secured by the Mortgage Indenture plus $44M meter leasebacks; NJR parent carries an additional ~$1.1B unsecured. The two debt stacks are legally separate per the filing. Equity book value of $2.65B is heavily supported by retained earnings of $1.70B and APIC of $693M, but this is a going-concern construct. Net income for the six months ended March 31, 2026 was $341M (GAAP), driven primarily by the Energy Services segment ($90M) and NJNG; however, income-statement performance is irrelevant to the liquidation calculus. Interest expense has risen materially: six-month net interest expense of $16.5M at the CEV/Clean Energy segment and $70.7M total nonoperating interest, reflecting higher outstanding LTD. Future MGP remediation spend of $166M and ES purchase commitments of $316M (next twelve months) are obligations that do not extinguish on windup. The filing does not separately XBRL-tag the deferred revenue from AMA pipeline capacity releases ($61.3M) as a distinct line item beyond ContractWithCustomerLiability; this amount is discussed in MD&A but the XBRL tag captures only $22.9M, suggesting partial tagging of the total deferred revenue pool.
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