The Financial Highlights below include the results from MAXIM's continuing operations and Maxim Power (USA), Inc. ("MUSA") which is recorded as discontinued operations in MAXIM's financial statements. COMAX France S.A.S. ("COMAX") has been excluded for comparative purposes as the segment was sold in December 2016. Refer to MAXIM's unaudited condensed consolidated interim financial statements and MD&A for further details.
Three Months Ended March 31 ($ in thousands except per share amounts) 2017 2016 ---------------------------------------------------------------------------- Revenue $ 16,225 $ 15,052 Adjusted EBITDA (1) (2,041) (3,543) Net loss attributable to shareholders (3,585) (9,973) Per share - basic and diluted $ (0.07) $ (0.18) FFO (1) (622) (3,794) Per share - basic and diluted $ (0.01) $ (0.07) Net Generation Capacity (MW) (2) 603 603 Average Alberta market power price ($ per MWh) $ 22.40 $ 18.12 Average Milner realized power price ($ per MWh) $ 29.01 $ 20.95 Average Northeast US realized power price (US$ per MWh) $ 68.96 $ 37.25 (1) Select financial information was derived from the unaudited condensed consolidated interim financial statements and is prepared in accordance with GAAP, except adjusted earnings before interest, taxes, depreciation and amortization ("EBITDA") and adjusted net loss. Adjusted EBITDA is provided to assist management and investors in determining the Corporation's approximate operating cash flows before interest, income taxes, and depreciation and amortization and certain other income and expenses. Funds from operating activities before changes in working capital ("FFO") is provided to assist management and investors in determining the Corporation's cash flows generated from operations before the cash impact of working capital fluctuations. Adjusted EBITDA and FFO do not have any standardized meaning prescribed by GAAP and may not be comparable to similar measures presented by other companies. (2) Generation capacity is manufacturer's nameplate capacity net of minority ownership interests of third parties and uncontacted capacity on contracted generating facilities. Includes 447 MW of net generation capacity from MUSA.
During the first quarter of 2017, revenue, adjusted EBITDA and FFO increased, and net loss attributable to shareholders decreased compared to the same period in 2016. Revenue, adjusted EBITDA and FFO increased as a result of higher realized Northeast U.S. power prices. In addition, adjusted EBITDA and FFO increased as a result of lower fuel and maintenance costs in conjunction with realized gains on commodity risk management activities in Canada, partially offset by an increase in foreign exchange risk management costs realized in relation to the MUSA sale's process. In addition to the discussion noted above, net loss attributable to shareholders decreased in 2017 as a result of inventories write-downs in 2016.
AGREEMENT TO SELL MUSA
As previously reported on April 3, 2017, MAXIM announced that it has closed the sale of 100% of its ownership interest in its wholly-owned subsidiary MUSA to an affiliate of Hull Street Energy, LLC. The implied enterprise value was approximately $106 million USD inclusive of working capital. Net proceeds to MAXIM after accounting for debt and transaction costs are approximately $84 million USD.
MAXIM will utilize $8 million CAD of the net sales proceeds as collateral for letters of credit that are securing potential obligations of the Corporation and $5 million USD to fulfill obligations under the FERC Settlement agreement previously disclosed on September 26, 2016. The remainder of the proceeds will be held by MAXIM for strategic corporate purposes. Refer to page 12 of the MD&A for details on the Corporation's pro-forma financial position after collecting the proceeds on sale.