Hurricane Isaac contributed to an increase in repairs and maintenance expenses, generally, in the form of replacement of wind-damaged pipe and tank insulation at facilities on the Lower Mississippi River. Excluding the expenses incurred in connection with the storm damage, free cash flow would have increased by approximately 12.5% in the third quarter of 2012 compared with the third quarter of 2011.The smaller contribution to IMTT’s financial results from its environmental services business in 2012 reflects a reduced level of spill response activity this year compared with last. Through nine months the environmental services business operated at a small net loss.
- Non-utility contribution margin increased 19.1% and 29.3% in the quarter and nine months ended September 30, 2012, respectively - the impact of margin management and lower input costs was partially offset by a modest 1.4% decrease in the volume of gas sold during the quarter however the volume of gas sold has increased 5.1% year to date; and
- Utility contribution margin decreased 2.2% in the quarter and increased 0.2% for the nine months ended September 30, 2012 – higher transportation costs offset a 1.4% increase in the volume of gas sold in the third quarter and a 1.9% increase in the volume of gas sold year to date.