content_image/265826.jpg content_image/265827.jpg
The Company’s estimated 2013 capital expenditures in the following table only include expenditures for previously identified growth projects and exclude the cost of potential new development projects: 

<img src='content_image/265826.jpg'>

(1) Capital Power entered into a partnership agreement to develop K2 which is expected to be in operation by 2015. The 2013 capital expenditures estimated for the K2 project consist primarily of the Company’s estimated contribution towards the partnership’s equity. 

<img src='content_image/265827.jpg'>

(1) Capital expenditures for Genesee mine maintenance represent only those capital expenditures funded by the Company for the Genesee mine operation. 

See also Liquidity and Capital Resources for discussion of future cash requirements and expected sources of funding. 

## Non-GAAP Financial Measures 

The Company uses (i) earnings before finance expense, income tax expense, depreciation and amortization, impairments, foreign exchange losses, and gains on disposals (adjusted EBITDA), (ii) funds from operations, (iii) funds from operations excluding non-controlling interests in CPILP, (iv) cash flow per share, (v) discretionary cash flow, (vi) normalized earnings attributable to common shareholders, and (vii) normalized earnings per share as financial performance measures. 

These terms are not defined financial measures according to GAAP and do not have standardized meanings prescribed by GAAP, and are therefore unlikely to be comparable to similar measures used by other enterprises. These measures should not be considered alternatives to gross income, operating income, net income, net income attributable to Shareholders of the Company, net cash flows from operating activities or other measures of financial performance calculated in accordance with GAAP. Rather, these measures are provided to complement GAAP measures in the analysis of the Company’s results of operations from management’s perspective. 

