As of

November 30,

November 30,

(in thousands)

2016

2015

Minimum lease payment receivable, net (1)

$

100,161

$

106,432

Unguaranteed residual value

12,926

12,969

Less: unearned income

(30,557

)

(33,655

)

Net financing receivables

$

82,530

$

85,746

Short-term financing receivables, net (2)

$

2,516

$

2,370

Long-term financing receivables, net

$

80,014

$

83,376

(1)

Allowance for losses on financing receivables was $0.7 million and $0.3 million as of November 30, 2016 and November 30, 2015, respectively.

(2)

Accounts receivable and short-term financing receivables, net on the consolidated balance sheets includes other trade accounts receivable of $2.9 million and $1.9 million as of November 30, 2016 and November 30, 2015, respectively.

Balance at

Balance at

Beginning of

End of

Year

Additions

Deductions

Year

Year ended November 30, 2016

$

(328

)

$

(370

)

$

—

$

(698

)

Eleven Months ended November 30, 2015

$

—

$

(328

)

$

—

$

(328

)

Year ended December 28, 2014

$

—

$

—

$

—

$

—

As of

November 30,

November 30,

(in thousands)

2016

2015

Prepaid expense and other current assets

Reimbursable network upgrade costs (1)

$

13,870

$

6,535

Other current assets (2)

1,875

1,498

Total

$

15,745

$

8,033

Property and equipment, net

Utility solar power systems

$

578,817

$

361,241

Leased solar power systems

137,475

137,703

Land

1,020

—

Construction-in-progress (3)

36,981

—

$

754,293

$

498,944

Less: accumulated depreciation

(34,161

)

(12,002

)

Total

$

720,132

$

486,942

Other long-term assets

Reimbursable network upgrade costs (1)

$

21,781

$

26,142

Intangible assets (4)

1,754

—

Derivative financial instruments

897

—

$

24,432

$

26,142

(1)

For the Kingbird Project and the Quinto Project, the construction costs related to the network upgrade of a transmission grid belonging to a utility company are reimbursable by that utility company over five years from the date the project reached commercial operation. On December 8, 2016, the associated utility company of the Quinto Project reimbursed $6.0 million.

(2)

Other current assets included $0.5 million due from SunPower related to system output performance warranties and system repairs in connection with $0.2 million of system output performance warranty accrual and $0.3 million of system repairs accrual recorded in the “Accounts payable and other current liabilities” line item on the consolidated balance sheet as of November 30, 2016. Similarly, other current assets included $0.9 million due from SunPower related to system output performance warranties and system repairs in connection with $0.2 million of system output performance warranty accrual and $0.7 million of system repairs accrual recorded in the “Accounts payable and other current liabilities” line item on the consolidated balance sheet as of November 30, 2015.

(3)

Construction-in-progress is comprised of project assets related to the Kern Phase 1(a) Assets, the Kern Phase 2(a) Assets and the Macy’s Maryland Project.

(4)

Intangible assets represent customer contract intangible from the Macy’s Maryland Acquisition and is amortized on a straight-line basis beginning on COD through the contract term end date of December 31, 2020, of which $0.1 million reduced operating revenues in the year ended November 30, 2016. As of November 30, 2016, the estimated future amortization expense related to the customer contract intangible is $0.3 million for fiscal years 2017, 2018, 2019 and 2020, respectively, and less than $0.1 million for fiscal year 2021.

As of

November 30,

November 30,

(in thousands)

2016

2015

Accounts payable and other current liabilities

Trade and accrued accounts payable

$

1,089

$

713

Related party payable (1)

20,653

171

System output performance warranty

196

237

Residential lease system repairs accrual

331

728

Derivative financial instruments

—

611

Other short-term liabilities

1,502

152

$

23,771

$

2,612

(1)

Related party payable on the consolidated balance sheets consists of (i) $19.5 million related to the purchase price payable to SunPower, which will be funded by tax equity investors for the Kern Phase 1(a) Acquisition, the Kern Phase 1(b) Acquisition, the Kern Phase 2(a) Acquisition and the Macy’s Maryland Acquisition as of November 30, 2016, of which $6.7 million and $4.8 million was paid on December 14, 2016 and December 28, 2016, respectively; (ii) $1.0 million and zero related to accrued distribution to tax equity investors as of November 30, 2016 and November 30, 2015, respectively, and (iii) $0.1 million and $0.2 million as of November 30, 2016 and November 30, 2015, respectively, for accounts payable to related parties associated with O&M, AMA and MSA fees owed to the Sponsors.