Exhibit 99.1

MIC

125 West 55th Street New York, NY10019 United States		Telephone Facsimile Internet:		+1 212 231 1825 +1 212 231 1828 www.macquarie.com/mic

FOR IMMEDIATE RELEASE

MIC REPORTS THIRD QUARTER 2017 FINANCIAL RESULTS,
INCREASES QUARTERLY CASH DIVIDEND

New York, November 1, 2017 — Macquarie Infrastructure Corporation (NYSE: MIC) today reported its financial results for the third quarter of 2017.

“MIC’s performance in the third quarter was consistent with the first half of the year with continued strong performance at Atlantic Aviation tempered by modest headwinds at our Contracted Power business,” said James Hooke, chief executive officer of MIC. “We successfully completed the acquisitions of Epic Midstream and Orion Jet Center, as anticipated, and we continue to find opportunities to put growth capital to work at a rate that should see the Company achieve full year deployments of at least $650.0 million.”

“MIC’s financial results for the quarter supported an increase in our quarterly cash dividend to $1.42 per share — a 10.1% uptick versus the third quarter in 2016,” Hooke added. The Company reaffirmed its guidance with respect to a 10% increase year over year in its cash dividend in 2017. Management’s expectation for growth in cash generation and dividends assumes the continued improvement in operating results of existing businesses, together with anticipated contributions from investments and acquisitions.

MIC reported a 14.8% decrease in net income to $36.2 million for the quarter ended September 30, 2017 compared with $42.5 million in the third quarter of 2016. The decrease reflects primarily unrealized non-cash losses on interest rate hedging contracts compared with unrealized gains on similar contracts in the prior period. The losses were partially offset by improved operating results. Through nine months of the year, MIC’s net income increased 13.3% to $94.8 million.

The Company reported cash generated by operating activities of $148.5 million and $397.7 million in the quarter and nine months ended September 30, 2017, respectively, compared with $159.1 million and $437.0 million reported in the prior comparable periods. The decrease in cash from operations in the quarter reflects primarily the timing of payment of insurance premiums, higher state taxes and changes in working capital related to higher inventory costs. The impact of these was partially offset by improved operating results and contributions from acquired businesses.

MIC’s businesses produced an aggregate $144.4 million and $432.4 million of Adjusted Free Cash Flow in the quarter and year to date periods ended September 30, 2017, respectively, up 9.5% and 10.4% from the amounts generated in the prior corresponding periods. The Company defines Adjusted Free Cash Flow as cash from operating activities (including from its proportionate interest in wind and solar facilities), less maintenance capital expenditures, less changes in working capital, adjusted for certain one-time items. (See Summary Financial Information below)

“With the consistent performance of our existing businesses, we made a decision to spend approximately $5.0 million more on our business development platforms and insourcing of operations of our renewable power business,” Hooke noted. “This decision will make it likely that the Company will now generate growth in Free Cash Flow of approximately 9% in 2017 compared with 2016.”

MIC has committed capital to various development platforms, including those involved in fuel storage, logistics and wind and solar power that are not expected to deliver cash flow generating projects over the near term. MIC also incurred costs in 2017 to insource aspects of the operations and oversight of the Company’s renewable energy power generation projects that had previously been conducted by various third party providers. Management believes that insourcing will lead to improved performance from these projects. The combined cost of the two initiatives is expected to result in a reduction in Free Cash Flow generation of approximately $5.0 million, or $0.06 per share, for the full year.

Consistent with past practices, MIC is expected to provide the market with its views on 2018 performance in the context of its full year results release next February. 2018 guidance is likely to reflect the benefit of growth capital deployed in 2017, the impact of a fully functioning shared services capability and the expected uplift associated with the general rate filing by MIC’s Hawaii Gas business.

“We’re excited about our prospects in 2018, given the pending completion of the buildout of BEC II and the benefits of the gas lateral completed this past year, as well as the full-year contribution from the several acquisitions we have been able to complete,” said Hooke. “We also expect to see some initial economic benefits from our investment in development of renewable power projects.”

The MIC board of directors authorized a cash dividend of $1.42 per share, or $5.68 annualized, for the third quarter of 2017. The dividend will be payable November 16, 2017 to shareholders of record on November 13, 2017. The payment represents a 10.1% increase over the dividend paid for the third quarter of 2016 and is consistent with MIC’s guidance for a 10% increase in its annual dividend in 2017 over 2016.

The ongoing implementation of MIC’s shared services initiative is resulting in reductions in general and administrative expenses consistent with the Company’s guidance for savings of between $7.0 and $8.0 million in 2017. As anticipated, the savings have been offset by expenses including primarily severance payments and consulting fees. Those expenses totaled $1.4 million in the third quarter and $6.8 million in the year to date periods. The Company does not expect to incur implementation costs in 2018 and has excluded those incurred in 2017 from its presentation of both Adjusted EBITDA excluding non-cash items and Adjusted Free Cash Flow in an effort to provide clarity with respect to the recurring cash flows generated by its businesses.

MIC expects to realize annual general and administrative cost savings of between $12.0 million and $15.0 million in 2018, compared with its 2016 baseline, as a result of the shared services initiative. The expected savings will not be spread evenly, or even proportionately, across MIC’s businesses and some businesses may simply benefit from an improvement in service levels. Shared services provides business support functions including Accounting, Human Resources, Tax, Information Technology, Procurement and Risk Management support to each of MIC’s operating entities.

MIC incurred approximately $3.0 million of transaction related expenses during the third quarter as a result of a heightened level of activity associated with the evaluation of various investment and acquisition opportunities. Through nine months, transaction related costs have totaled $7.9 million. These costs have been recorded as an expense in the Corporate and Other segment of MIC’s financial statements and have been excluded from the Company’s presentation of both Adjusted EBITDA excluding non-cash items and Adjusted Free Cash Flow in an effort to provide clarity with respect to the recurring cash flows being generated by its businesses.

Management Changes

On September 11, 2017, James Hooke, MIC’s chief executive officer notified the Company’s board of directors of his intent to resign. Subsequently, Hooke and the board agreed that the effective date of his resignation would be December 31, 2017.

On October 30, 2017, the MIC board appointed Christopher Frost as chief executive officer of the Company, effective January 1, 2018. Frost, age 48, was appointed president and chief operating officer of the Company effective October 26, 2017.

Quarterly Segment Highlights

Growth in revenue at IMTT reflected a partial quarter contribution from the recently acquired Epic Midstream terminalling business, partially offset by a decline in utilization and a reduced contribution from IMTT subsidiary OMI Environmental Solutions due to reduced spill response activity. Utilization rates at IMTT decreased to 92.7% and 94.3% for the quarter and nine month periods ended September 30, 2017, respectively, versus 96.7% and 96.4% in the prior comparable periods. The sequential decline from 94.0% in the second quarter of 2017 reflected primarily the impact of two large tanks in Louisiana being out of service for portions of the quarter. Both tanks were re-leased by the middle of October.

Comparison of IMTT’s results for the quarter to date period ended September 30, 2017 should be considered in light of the approximately $13.0 million of insurance proceeds related to dock damage recorded

in Other Income, net and $13.9 million of related maintenance capital expenditures in the third quarter in 2016. Excluding these, IMTT’s EBITDA excluding non-cash items would have increased by $4.9 million or 6.6% for the third quarter and by $14.2 million or 6.2% for the nine months ended September 30, 2017. Free Cash Flow generated by IMTT increased by 7.9% in the quarter ended September 30, 2017 and by 10.0% on a year to date basis in part as a result of improvement in operations and a reduction in maintenance capital expenditures.

Strong growth in general aviation flight activity during the third quarter, together with contributions from acquisitions, drove improvement in the financial performance of Atlantic Aviation. Domestic general aviation flight activity increased by approximately 4.0%, based on data reported by the Federal Aviation Administration.

The increase in flight activity, together with contributions from two additional sites added to the Atlantic Aviation network of fixed base operations (FBO) over the past twelve months, drove growth in EBITDA excluding non-cash items and Free Cash Flow of 12.8% and 15.4%, respectively, in the quarter. For the nine months ended September 30, 2017, EBITDA excluding non-cash items and Free Cash Flow generated by Atlantic increased 9.6% and 13.3%, respectively. At the end of the third quarter Atlantic Aviation completed its second FBO acquisition of the year, acquiring the Orion Jet Center at Opa Locka-Miami Executive Airport north of downtown Miami. The south Florida region is one of the fastest growing general aviation markets in the U.S.

MIC’s portfolio of wind and solar power facilities benefitted from contributions from acquisitions completed during the past year, although these were partially offset by a reduction in wind and solar resources versus the prior comparable quarter and year to date periods. MIC has entered into agreements with developers of both wind and solar projects and continues to make a portion of its capital available for the construction of additional renewable power facilities. One of those developers sold a number of solar projects in the third quarter and distributed of a portion of the profits to MIC, per the terms of the development agreement, during the period.

MIC has elected to insource the operations oversight of its renewable power businesses. The insourcing was undertaken as a result of a lack of oversight on the part of third party service providers that led to lost power generation revenue and opportunities to optimize the performance of certain assets. With ten renewable facilities in its portfolio and additional facilities in development, MIC expects the insourced capability to facilitate creation of scale in the sector and to provide control benefits.

MIC’s Bayonne Energy Center (BEC) is a thermal power facility providing peaking power to parts of New York City from a plant located in Bayonne, NJ. 62.5% of the plant’s capacity generates revenue pursuant to a tolling agreement independent of the power needs of the community. 37.5% of the capacity is available on a merchant basis and therefore exposed to demand for peak power. The merchant portion of the facility underperformed expectations in the third quarter as a result of lower than anticipated capacity prices during the summer of 2017 and a reduction in utilization and energy margins relative to prior years driven by milder weather in 2017 versus 2016. The reduced contribution was partially offset by lower natural gas costs as a result of connecting the plant to a second, less expensive source of gas during the summer of 2017 and by additional tariff revenue from the grid operator for new services provided.

In aggregate, the businesses comprising MIC’s Contracted Power segment generated $0.66 million, or 2.0%, less EBITDA excluding non-cash items and $0.75 million, or 2.8%, less Free Cash Flow in the third quarter of 2017 compared with the third quarter in 2016. For the nine months ended September 30, 2017, the segment produced an increase in EBITDA excluding non-cash items of $1.5 million and no change in Free Cash Flow.

The Company’s MIC Hawaii segment reported revenue growth driven by an increase in the volume of gas sold by Hawaii Gas and contributions from acquisitions compared with the third quarter of 2016. A portion of the increase was offset by higher state taxes in the quarter and lower prices achieved on gas sales in certain markets.

For the quarter ended September 30, 2017, EBITDA excluding non-cash items and Free Cash Flow generated by MIC Hawaii decreased by $0.27 million, or 2.0%, and $0.56 million or 6.4%, respectively,

versus the prior comparable period. For the nine months ended September 30, 2017, EBITDA excluding non-cash items was flat and Free Cash Flow increased by $1.9 million or 6.4%.

Summary Financial Information

		Quarter Ended September 30,								Change Favorable/(Unfavorable)								Nine Months Ended September 30,								Change Favorable/(Unfavorable)
		2017				2016				$				%				2017				2016				$				%
		($ In Thousands, Except Share and Per Share Data) (Unaudited)
GAAP Metrics
Net income		$	36,173			$	42,481				(6,308	)			(14.8	)		$	94,836			$	83,738				11,098				13.3
Weighted average number of shares outstanding: basic			83,644,806				81,220,841				2,423,965				3.0				82,743,285				80,570,192				2,173,093				2.7
Net income per share attributable to MIC		$	0.48			$	0.52				(0.04	)			(7.7	)		$	1.23			$	1.04				0.19				18.3
Cash provided by operating activities			148,465				159,070				(10,605	)			(6.7	)			397,669				436,988				(39,319	)			(9.0	)
MIC Non-GAAP Metrics
EBITDA excluding non-cash items(1)(2)		$	182,684			$	186,823				(4,139	)			(2.2	)		$	533,923			$	529,582				4,341				0.8
Shared service implementation costs			1,402				—				1,402				NM				6,847				—				6,847				NM
Investment and acquisition costs			3,023				—				3,023				NM				7,873				—				7,873				NM
Adjusted EBITDA excluding non-cash items(2)		$	187,109			$	186,823				286				0.2			$	548,643			$	529,582				19,061				3.6
Cash interest(3)		$	(27,151	)		$	(27,389	)			238				0.9			$	(79,435	)		$	(82,008	)			2,573				3.1
Cash taxes			(2,154	)			(1,115	)			(1,039	)			(93.2	)			(8,493	)			(5,283	)			(3,210	)			(60.8	)
Maintenance capital expenditures(4)			(12,106	)			(24,472	)			12,366				50.5				(23,062	)			(44,725	)			21,663				48.4
Noncontrolling interest(5)			(1,308	)			(1,947	)			639				32.8				(5,223	)			(5,954	)			731				12.3
Adjusted Free Cash Flow		$	144,390			$	131,900				12,490				9.5			$	432,430			$	391,612				40,818				10.4

NM — Not meaningful

Adjusted EBITDA excluding non-cash items, on a proportionately combined basis, would have increased by 8.2% to $185.0 million in the quarter ended September 30, 2017 excluding the impact of the insurance recovery by IMTT in 2016 discussed above. Through the nine months ended September 30, 2017, the increase would have been 7.0% to $541.0 million.

Conference Call and Webcast

When:  MIC has scheduled a conference call for 8:00 a.m. Eastern Time on Thursday, November 2, 2017 during which management will review and comment on the third quarter 2017 results.

How:  To listen to the conference call dial +1(650) 521-5252 or +1(877) 852-2928 at least 10 minutes prior to the scheduled start time. A webcast of the call will be accessible via the Company’s website at www.macquarie.com/mic. Allow extra time prior to the call to visit the site and download the software needed to listen to the webcast.

Slides:  MIC will prepare materials in support of its conference call. The materials will be available for downloading from the Company’s website prior to the call.

Replay:  For interested individuals unable to participate in the live conference call, a replay will be available after 2:00 p.m. on November 2, 2017 through midnight on November 8, 2017, at +1(404) 537-3406 or +1(855) 859-2056, Passcode: 98492892. An online archive of the webcast will be available on the Company’s website for one year following the call.

About MIC

MIC owns and operates a diversified group of businesses providing basic services to customers primarily in the United States. Its businesses consist of a bulk liquid terminals business, International-Matex Tank Terminals; an airport services business, Atlantic Aviation; entities comprising an energy services, production and distribution segment, MIC Hawaii; and entities comprising a Contracted Power segment. For additional information, please visit the MIC website at www.macquarie.com/mic. MIC-G

Use of Non-GAAP Measures

Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) excluding non-cash items, Free Cash Flow and Proportionately Combined Metrics

In addition to MIC’s results under U.S. GAAP, the Company uses certain non-GAAP measures to assess the performance and prospects of its businesses. In particular, MIC uses EBITDA excluding non-cash items, Free Cash Flow and certain proportionately combined financial metrics. Proportionately combined financial metrics, including Free Cash Flow, reflect the Company’s proportionate interest in its wind and solar facilities.

MIC measures EBITDA excluding non-cash items as a reflection of its businesses’ ability to effectively manage the volume of products sold or services provided, the operating margin earned on those transactions and the management of operating expenses independent of the capitalization and tax attributes of those businesses. The Company believes investors use EBITDA excluding non-cash items primarily as a measure to assess the operating performance of its businesses and to make comparisons with the operating performance of other businesses whose depreciation and amortization expense may vary widely from MIC’s, particularly where acquisitions and other non-operating factors are involved. MIC defines EBITDA excluding non-cash items as net income (loss) or earnings — the most comparable GAAP measure — before interest, taxes, depreciation and amortization and non-cash items including impairments, unrealized derivative gains and losses, adjustments for other non-cash items and pension expenses reflected in the statements of operations. EBITDA excluding non-cash items also excludes base management fees and performance fees, if any, whether paid in cash or stock.

Given MIC’s varied ownership levels in its CP and MIC Hawaii segments, together with obligations to report the results of these businesses on a consolidated basis, GAAP measures such as net income (loss) do not fully reflect all of the items management considers in assessing the amount of cash generated based on its proportionate interest in its wind and solar facilities. The Company notes that the proportionately combined metrics used may be calculated in a different manner by other companies and may limit their usefulness as a comparative measure. Therefore, proportionately combined metrics should be used as a supplemental measure and not in lieu of its financial results reported under GAAP.

The Company’s businesses are characteristically owners of high-value, long-lived assets capable of generating substantial Free Cash Flow. MIC defines Free Cash Flow as cash from operating activities — the most comparable GAAP measure — which includes cash paid for interest, taxes and pension contributions, less maintenance capital expenditures, which includes principal repayments on capital lease obligations used to fund maintenance capital expenditures, and excludes changes in working capital.

Management uses Free Cash Flow as a measure of its ability to provide investors with an attractive risk-adjusted return by sustaining and potentially increasing MIC’s quarterly cash dividend and funding a portion

of the Company’s growth. GAAP metrics such as net income (loss) do not provide MIC management with the same level of visibility into the performance and prospects of the business as a result of: (i) the capital intensive nature of MIC’s businesses and the generation of non-cash depreciation and amortization; (ii) shares issued to the Company’s external manager under the Management Services Agreement; (iii) the Company’s ability to defer all or a portion of current federal income taxes; (iv) non-cash unrealized gains or losses on derivative instruments; (v) amortization of tolling liabilities; (vi) gains (losses) on disposal of assets; and (vii) pension expenses. Pension expenses primarily consist of interest expense, expected return on plan assets and amortization of actuarial and performance gains and losses. Any cash contributions to pension plans are reflected as a reduction to Free Cash Flow. Management believes that external consumers of its financial statements, including investors and research analysts, use Free Cash Flow both to assess the Company’s performance and as an indicator of its success in generating an attractive risk-adjusted return.

In its Quarterly Report on Form 10-Q, the Company has disclosed Free Cash Flow on a consolidated basis and for each of its operating segments and MIC Corporate. Management believes that both EBITDA excluding non-cash items and Free Cash Flow support a more complete and accurate understanding of the financial and operating performance of its businesses than would otherwise be achieved using GAAP results alone.

Free Cash Flow does not take into consideration required payments on indebtedness and other fixed obligations or other cash items that are excluded from MIC’s definition of Free Cash Flow. Management notes that Free Cash Flow may be calculated differently by other companies thereby limiting its usefulness as a comparative measure. Free Cash Flow should be used as a supplemental measure and not in lieu of its financial results reported under GAAP.

See also “Reconciliation of Consolidated Net Income (Loss) to EBITDA Excluding Non-Cash Items and a Reconciliation from Cash Provided by Operating Activities to Free Cash Flow” below.

Classification of Maintenance Capital Expenditures and Growth Capital Expenditures

MIC categorizes capital expenditures as either maintenance capital expenditures or growth capital expenditures. As neither maintenance capital expenditure nor growth capital expenditure is a GAAP term, the Company has adopted a framework to categorize specific capital expenditures. In broad terms, maintenance capital expenditures primarily maintain MIC’s businesses at current levels of operations, capability, profitability or cash flow, while growth capital expenditures primarily provide new or enhanced levels of operations, capability, profitability or cash flow. Management considers a number of factors in determining whether a specific capital expenditure will be classified as maintenance or growth.

In some cases, specific capital expenditures contain characteristics of both maintenance and growth capital expenditures. MIC does not bifurcate specific capital expenditures into maintenance and growth components. Each discrete capital expenditure is considered within the above framework and the entire capital expenditure is classified as either maintenance or growth.

Forward-Looking Statements

This press release contains forward-looking statements. MIC may, in some cases, use words such as “project”, “believe”, “anticipate”, “plan”, “expect”, “estimate”, “intend”, “should”, “would”, “could”, “potentially”, or “may” or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Forward-looking statements in this release are subject to a number of risks and uncertainties, some of which are beyond MIC’s control including, among other things: changes in general economic or business conditions; its ability to service, comply with the terms of and refinance debt, successfully integrate and manage acquired businesses, retain or replace qualified employees, manage growth, make and finance future acquisitions, and implement its strategy; risks associated with development, investment and expansion in the power industry; its regulatory environment establishing rate structures and monitoring quality of service; demographic trends, the political environment, the economy, tourism, construction and transportation costs, air travel, environmental costs and risks; fuel and gas and other commodity costs; its ability to recover increases in costs from customers, cybersecurity risks, work interruptions or other labor stoppages; risks related to its shared services initiative; reliance on sole or limited source suppliers, risks or conflicts of interests involving its relationship with the Macquarie Group and changes in U.S. federal tax law.

MIC’s actual results, performance, prospects or opportunities could differ materially from those expressed in or implied by the forward-looking statements. Additional risks of which MIC is not currently aware could also cause its actual results to differ. In light of these risks, uncertainties and assumptions, you should not place undue reliance on any forward-looking statements. The forward-looking events discussed in this release may not occur. These forward-looking statements are made as of the date of this release. MIC undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

“Macquarie Group” refers to the Macquarie Group of companies, which comprises Macquarie Group Limited and its worldwide subsidiaries and affiliates. Macquarie Infrastructure Corporation is not an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia) and its obligations do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of Macquarie Infrastructure Corporation.

For further information, please contact:

Investors: Jay Davis Investor Relations MIC 212-231-1825		Media: Melissa McNamara Corporate Communications MIC 212-231-1667

MACQUARIE INFRASTRUCTURE CORPORATION
 
CONSOLIDATED CONDENSED BALANCE SHEETS
($ in Thousands, Except Share Data)

		September 30, 2017				December 31, 2016
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	35,737			$	44,767
Restricted cash			22,809				16,420
Accounts receivable, less allowance for doubtful accounts of $1,037 and $1,434, respectively			145,506				124,846
Inventories			35,960				31,461
Prepaid expenses			13,799				14,561
Fair value of derivative instruments			8,675				5,514
Other current assets			16,742				7,099
Total current assets			279,228				244,668
Property, equipment, land and leasehold improvements, net			4,611,633				4,346,536
Investment in unconsolidated business			9,526				8,835
Goodwill			2,075,965				2,024,409
Intangible assets, net			931,433				888,971
Fair value of derivative instruments			18,743				30,781
Other noncurrent assets			28,835				15,053
Total assets		$	7,955,363			$	7,559,253
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Due to Manager-related party		$	6,098			$	6,594
Accounts payable			59,078				69,566
Accrued expenses			101,766				83,734
Current portion of long-term debt			48,335				40,016
Fair value of derivative instruments			3,992				9,297
Other current liabilities			40,932				41,802
Total current liabilities			260,201				251,009
Long-term debt, net of current portion			3,424,776				3,039,966
Deferred income taxes			955,542				896,116
Fair value of derivative instruments			5,807				5,966
Tolling agreements – noncurrent			54,540				60,373
Other noncurrent liabilities			158,308				158,289
Total liabilities			4,859,174				4,411,719
Commitments and contingencies			—				—
Stockholders’ equity(1):
Common stock ($0.001 par value; 500,000,000 authorized; 84,481,865 shares issued and outstanding at September 30, 2017 and 82,047,526 shares issued and outstanding at December 31, 2016)		$	84			$	82
Additional paid in capital			1,942,417				2,089,407
Accumulated other comprehensive loss			(26,222	)			(28,960	)
Retained earnings			994,495				892,365
Total stockholders’ equity			2,910,774				2,952,894
Noncontrolling interests			185,415				194,640
Total equity			3,096,189				3,147,534
Total liabilities and equity		$	7,955,363			$	7,559,253

MACQUARIE INFRASTRUCTURE CORPORATION
 
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
($ in Thousands, Except Share and Per Share Data)

		Quarter Ended September 30,								Nine Months Ended September 30,
		2017				2016				2017				2016
Revenue
Service revenue		$	358,220			$	323,975			$	1,067,069			$	942,437
Product revenue			94,841				96,549				276,439				272,053
Total revenue			453,061				420,524				1,343,508				1,214,490
Costs and expenses
Cost of services			153,218				134,512				455,038				371,832
Cost of product sales			35,669				39,845				123,143				107,923
Selling, general and administrative			84,898				77,468				244,817				222,182
Fees to Manager – related party			17,954				18,382				54,610				49,570
Depreciation			58,009				59,242				172,753				172,125
Amortization of intangibles			17,329				15,417				50,920				49,917
Total operating expenses			367,077				344,866				1,101,281				973,549
Operating income			85,984				75,658				242,227				240,941
Other income (expense)
Interest income			54				27				129				85
Interest expense(1)			(29,291	)			(20,871	)			(90,129	)			(117,268	)
Other income, net			4,973				16,689				7,893				20,389
Net income before income taxes			61,720				71,503				160,120				144,147
Provision for income taxes			(25,547	)			(29,022	)			(65,284	)			(60,409	)
Net income		$	36,173			$	42,481			$	94,836			$	83,738
Less: net (loss) income attributable to noncontrolling interests			(3,922	)			455				(7,294	)			165
Net income attributable to MIC		$	40,095			$	42,026			$	102,130			$	83,573
Basic income per share attributable to MIC		$	0.48			$	0.52			$	1.23			$	1.04
Weighted average number of shares outstanding: basic			83,644,806				81,220,841				82,743,285				80,570,192
Diluted income per share attributable to MIC		$	0.48			$	0.51			$	1.23			$	1.03
Weighted average number of shares outstanding: diluted			87,916,538				85,750,096				82,752,800				81,313,767
Cash dividends declared per share		$	1.42			$	1.29			$	4.12			$	3.74

MACQUARIE INFRASTRUCTURE CORPORATION
 
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
($ in Thousands)

		Nine Months Ended September 30,
		2017				2016
Operating activities
Net income		$	94,836			$	83,738
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization of property and equipment			172,753				172,125
Amortization of intangible assets			50,920				49,917
Amortization of debt financing costs			6,464				7,536
Amortization of debt discount			2,377				—
Adjustments to derivative instruments			3,414				20,022
Fees to Manager- related party			54,610				49,570
Deferred taxes			56,791				55,126
Pension expense			6,481				6,512
Other non-cash income, net			(2,651	)			(2,255	)
Changes in other assets and liabilities, net of acquisitions:
Restricted cash			(691	)			727
Accounts receivable			(18,938	)			(10,094	)
Inventories			(4,563	)			(1,047	)
Prepaid expenses and other current assets			(7,040	)			5,967
Due to Manager-related party			(178	)			21
Accounts payable and accrued expenses			(4,444	)			(3,365	)
Income taxes payable			(1,223	)			3,848
Other, net			(11,249	)			(1,360	)
Net cash provided by operating activities			397,669				436,988
Investing activities
Acquisitions of businesses and investments, net of cash acquired			(208,377	)			(38,989	)
Purchases of property and equipment			(234,833	)			(198,151	)
Proceeds from insurance claim			—				10,002
Loan to project developer			(18,675	)			—
Loan repayment from project developer			6,604				—
Change in restricted cash			(6,154	)			—
Other, net			178				861
Net cash used in investing activities			(461,257	)			(226,277	)

MACQUARIE INFRASTRUCTURE CORPORATION
 
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS – (continued)
(Unaudited)
($ in Thousands)

		Nine Months Ended September 30,
		2017				2016
Financing activities
Proceeds from long-term debt		$	585,500			$	370,000
Payment of long-term debt			(200,722	)			(295,950	)
Proceeds from the issuance of shares			5,699				7,651
Dividends paid to common stockholders			(332,867	)			(290,527	)
Contributions received from noncontrolling interests			102				15,431
Purchase of noncontrolling interest			—				(9,909	)
Distributions paid to noncontrolling interests			(2,962	)			(3,682	)
Offering and equity raise costs paid			(355	)			(678	)
Debt financing costs paid			(447	)			(1,784	)
Change in restricted cash			527				5,379
Payment of capital lease obligations			(366	)			(1,151	)
Net cash provided by (used in) financing activities			54,109				(205,220	)
Effect of exchange rate changes on cash and cash equivalents			449				494
Net change in cash and cash equivalents			(9,030	)			5,985
Cash and cash equivalents, beginning of period			44,767				22,394
Cash and cash equivalents, end of period		$	35,737			$	28,379
Supplemental disclosures of cash flow information
Non-cash investing and financing activities:
Accrued equity offering costs		$	97			$	90
Accrued financing costs		$	21			$	548
Accrued purchases of property and equipment		$	33,184			$	31,728
Issuance of shares to Manager		$	54,927			$	116,373
Issuance of shares to independent directors		$	681			$	750
Issuance of shares for acquisition of business		$	125,000			$	—
Conversion of convertible senior notes to shares		$	17			$	4
Distributions payable to noncontrolling interests		$	32			$	10
Taxes paid, net		$	9,810			$	1,426
Interest paid		$	82,108			$	81,998

MACQUARIE INFRASTRUCTURE CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS – MD&A

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016				$				%				2017				2016				$				%
		($ In Thousands, Except Share and Per Share Data) (Unaudited)
Revenue
Service revenue		$	358,220			$	323,975				34,245				10.6			$	1,067,069			$	942,437				124,632				13.2
Product revenue			94,841				96,549				(1,708	)			(1.8	)			276,439				272,053				4,386				1.6
Total revenue			453,061				420,524				32,537				7.7				1,343,508				1,214,490				129,018				10.6
Costs and expenses
Cost of services			153,218				134,512				(18,706	)			(13.9	)			455,038				371,832				(83,206	)			(22.4	)
Cost of product sales			35,669				39,845				4,176				10.5				123,143				107,923				(15,220	)			(14.1	)
Selling, general and administrative			84,898				77,468				(7,430	)			(9.6	)			244,817				222,182				(22,635	)			(10.2	)
Fees to Manager – related party			17,954				18,382				428				2.3				54,610				49,570				(5,040	)			(10.2	)
Depreciation			58,009				59,242				1,233				2.1				172,753				172,125				(628	)			(0.4	)
Amortization of intangibles			17,329				15,417				(1,912	)			(12.4	)			50,920				49,917				(1,003	)			(2.0	)
Total operating expenses			367,077				344,866				(22,211	)			(6.4	)			1,101,281				973,549				(127,732	)			(13.1	)
Operating income			85,984				75,658				10,326				13.6				242,227				240,941				1,286				0.5
Other income (expense)
Interest income			54				27				27				100.0				129				85				44				51.8
Interest expense(1)			(29,291	)			(20,871	)			(8,420	)			(40.3	)			(90,129	)			(117,268	)			27,139				23.1
Other income, net			4,973				16,689				(11,716	)			(70.2	)			7,893				20,389				(12,496	)			(61.3	)
Net income before income taxes			61,720				71,503				(9,783	)			(13.7	)			160,120				144,147				15,973				11.1
Provision for income taxes			(25,547	)			(29,022	)			3,475				12.0				(65,284	)			(60,409	)			(4,875	)			(8.1	)
Net income		$	36,173			$	42,481				(6,308	)			(14.8	)		$	94,836			$	83,738				11,098				13.3
Less: net (loss) income attributable to noncontrolling interests			(3,922	)			455				4,377				NM				(7,294	)			165				7,459				NM
Net income attributable to MIC		$	40,095			$	42,026				(1,931	)			(4.6	)		$	102,130			$	83,573				18,557				22.2
Basic income per share attributable to MIC		$	0.48			$	0.52				(0.04	)			(7.7	)		$	1.23			$	1.04				0.19				18.3
Weighted average number of shares outstanding: basic			83,644,806				81,220,841				2,423,965				3.0				82,743,285				80,570,192				2,173,093				2.7

NM — Not meaningful

MACQUARIE INFRASTRUCTURE CORPORATION
RECONCILIATION OF CONSOLIDATED NET INCOME TO EBITDA EXCLUDING NON-CASH ITEMS AND A RECONCILIATION FROM CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016				$				%				2017				2016				$				%
		($ In Thousands) (Unaudited)
Net income		$	36,173			$	42,481											$	94,836			$	83,738
Interest expense, net(1)			29,237				20,844												90,000				117,183
Provision for income taxes			25,547				29,022												65,284				60,409
Depreciation			58,009				59,242												172,753				172,125
Amortization of intangibles			17,329				15,417												50,920				49,917
Fees to Manager-related party			17,954				18,382												54,610				49,570
Pension expense(2)			2,160				2,117												6,481				6,512
Other non-cash income, net(3)			(3,725	)			(682	)											(961	)			(9,872	)
EBITDA excluding non-cash items(4)		$	182,684			$	186,823				(4,139	)			(2.2	)		$	533,923			$	529,582				4,341				0.8
EBITDA excluding non-cash items(4)		$	182,684			$	186,823											$	533,923			$	529,582
Interest expense, net(1)			(29,237	)			(20,844	)											(90,000	)			(117,183	)
Adjustments to derivative instruments recorded in interest expense(1)			(959	)			(8,832	)											1,724				27,639
Amortization of debt financing costs(1)			2,163				2,287												6,464				7,536
Amortization of debt discount(1)			882				—												2,377				—
Provision for income taxes, net of changes in deferred taxes			(2,154	)			(1,115	)											(8,493	)			(5,283	)
Changes in working capital			(4,914	)			751												(48,326	)			(5,303	)
Cash provided by operating activities			148,465				159,070												397,669				436,988
Changes in working capital			4,914				(751	)											48,326				5,303
Maintenance capital expenditures(5)			(12,106	)			(24,472	)											(23,062	)			(44,725	)
Free cash flow		$	141,273			$	133,847				7,426				5.5			$	422,933			$	397,566				25,367				6.4

MACQUARIE INFRASTRUCTURE CORPORATION
RECONCILIATION FROM CONSOLIDATED FREE CASH FLOW TO PROPORTIONATELY COMBINED FREE CASH FLOW

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016				$				%				2017				2016				$				%
		($ In Thousands) (Unaudited)
Free Cash Flow – Consolidated basis		$	141,273			$	133,847				7,426				5.5			$	422,933			$	397,566				25,367				6.4
100% of CP Free Cash Flow included in consolidated Free Cash Flow			(25,970	)			(26,718	)											(56,513	)			(56,532	)
MIC’s share of CP Free Cash Flow			24,667				24,773												51,300				50,580
100% of MIC Hawaii Free Cash Flow included in consolidated Free Cash Flow			(8,137	)			(8,696	)											(32,368	)			(30,432	)
MIC’s share of MIC Hawaii Free Cash Flow			8,132				8,694												32,358				30,430
Free Cash Flow – Proportionately Combined basis		$	139,965			$	131,900				8,065				6.1			$	417,710			$	391,612				26,098				6.7

MACQUARIE INFRASTRUCTURE CORPORATION
RECONCILIATION OF SEGMENT NET INCOME (LOSS) TO EBITDA EXCLUDING NON-CASH ITEMS AND A RECONCILIATION FROM CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES TO FREE CASH FLOW

IMTT

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016												2017				2016
		$				$				$				%				$				$				$				%
		($ In Thousands) (Unaudited)
Revenue			134,167				133,143				1,024				0.8				410,128				396,786				13,342				3.4
Cost of services			48,982				53,085				4,103				7.7				148,052				149,845				1,793				1.2
Selling, general and administrative expenses			9,104				8,358				(746	)			(8.9	)			25,627				24,322				(1,305	)			(5.4	)
Depreciation and amortization			31,511				35,709				4,198				11.8				93,826				103,612				9,786				9.4
Operating income			44,570				35,991				8,579				23.8				142,623				119,007				23,616				19.8
Interest expense, net(1)			(10,187	)			(7,827	)			(2,360	)			(30.2	)			(30,707	)			(41,462	)			10,755				25.9
Other income, net			794				13,495				(12,701	)			(94.1	)			1,954				16,947				(14,993	)			(88.5	)
Provision for income taxes			(14,422	)			(17,079	)			2,657				15.6				(46,686	)			(38,717	)			(7,969	)			(20.6	)
Net income			20,755				24,580				(3,825	)			(15.6	)			67,184				55,775				11,409				20.5
Less: net income attributable to noncontrolling interests			—				—				—				—				—				59				59				100.0
Net income attributable to MIC			20,755				24,580				(3,825	)			(15.6	)			67,184				55,716				11,468				20.6
Reconciliation of net income to EBITDA excluding non-cash items and a reconciliation of cash provided by operating activities to Free Cash Flow:
Net income			20,755				24,580												67,184				55,775
Interest expense, net(1)			10,187				7,827												30,707				41,462
Provision for income taxes			14,422				17,079												46,686				38,717
Depreciation and amortization			31,511				35,709												93,826				103,612
Pension expense(2)			1,883				1,752												5,649				5,414
Other non-cash expense, net			178				73												315				631
EBITDA excluding non-cash items(3)			78,936				87,020				(8,084	)			(9.3	)			244,367				245,611				(1,244	)			(0.5	)
EBITDA excluding non-cash items(3)			78,936				87,020												244,367				245,611
Interest expense, net(1)			(10,187	)			(7,827	)											(30,707	)			(41,462	)
Adjustments to derivative instruments recorded in interest expense(1)			(524	)			(2,433	)											(257	)			10,723
Amortization of debt financing costs(1)			413				411												1,236				1,242
Provision for income taxes, net of changes in deferred taxes			344				(904	)											(3,069	)			(3,071	)
Changes in working capital			3,732				(1,243	)											(12,413	)			(11,726	)
Cash provided by operating activities			72,714				75,024												199,157				201,317
Changes in working capital			(3,732	)			1,243												12,413				11,726
Maintenance capital expenditures(4)			(8,116	)			(19,860	)											(13,563	)			(33,099	)
Free cash flow			60,866				56,407				4,459				7.9				198,007				179,944				18,063				10.0

Atlantic Aviation

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016												2017				2016
		$				$				$				%				$				$				$				%
		($ In Thousands) (Unaudited)
Revenue			211,457				186,823				24,634				13.2				621,149				544,029				77,120				14.2
Cost of services (exclusive of depreciation and amortization shown separately below)			92,106				77,524				(14,582	)			(18.8	)			272,985				218,126				(54,859	)			(25.2	)
Gross margin			119,351				109,299				10,052				9.2				348,164				325,903				22,261				6.8
Selling, general and administrative expenses			57,026				53,027				(3,999	)			(7.5	)			163,512				157,019				(6,493	)			(4.1	)
Depreciation and amortization			25,286				22,148				(3,138	)			(14.2	)			73,894				69,041				(4,853	)			(7.0	)
Operating income			37,039				34,124				2,915				8.5				110,758				99,843				10,915				10.9
Interest expense, net(1)			(4,295	)			(5,199	)			904				17.4				(13,648	)			(27,437	)			13,789				50.3
Other (expense) income, net			(14	)			(150	)			136				90.7				(119	)			191				(310	)			(162.3	)
Provision for income taxes			(11,139	)			(11,543	)			404				3.5				(36,766	)			(29,258	)			(7,508	)			(25.7	)
Net income			21,591				17,232				4,359				25.3				60,225				43,339				16,886				39.0
Reconciliation of net income to EBITDA excluding non-cash items and a reconciliation of cash provided by operating activities to Free Cash Flow:
Net income			21,591				17,232												60,225				43,339
Interest expense, net(1)			4,295				5,199												13,648				27,437
Provision for income taxes			11,139				11,543												36,766				29,258
Depreciation and amortization			25,286				22,148												73,894				69,041
Pension expense(2)			5				16												15				50
Other non-cash expense, net			1,212				200												1,252				448
EBITDA excluding non-cash items			63,528				56,338				7,190				12.8				185,800				169,573				16,227				9.6
EBITDA excluding non-cash items			63,528				56,338												185,800				169,573
Interest expense, net(1)			(4,295	)			(5,199	)											(13,648	)			(27,437	)
Convertible senior notes interest(3)			(2,012	)			—												(5,769	)			—
Adjustments to derivative instruments recorded in interest expense(1)			464				(2,371	)											3,150				4,416
Amortization of debt financing costs(1)			284				791												819				2,496
Provision for income taxes, net of changes in deferred taxes			(1,208	)			(159	)											(5,810	)			(2,521	)
Changes in working capital			(1,335	)			5,142												(6,667	)			11,412
Cash provided by operating activities			55,426				54,542												157,875				157,939
Changes in working capital			1,335				(5,142	)											6,667				(11,412	)
Maintenance capital expenditures			(2,165	)			(2,075	)											(5,071	)			(5,816	)
Free cash flow			54,596				47,325				7,271				15.4				159,471				140,711				18,760				13.3

Contracted Power

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016												2017				2016
		$				$				$				%				$				$				$				%
		($ In Thousands) (Unaudited)
Product revenue			42,445				45,538				(3,093	)			(6.8	)			110,681				114,017				(3,336	)			(2.9	)
Cost of product sales			5,171				7,344				2,173				29.6				15,528				17,495				1,967				11.2
Selling, general and administrative expenses			6,909				6,824				(85	)			(1.2	)			18,318				19,331				1,013				5.2
Depreciation and amortization			14,830				14,000				(830	)			(5.9	)			45,031				41,693				(3,338	)			(8.0	)
Operating income			15,535				17,370				(1,835	)			(10.6	)			31,804				35,498				(3,694	)			(10.4	)
Interest expense, net(1)			(6,281	)			(2,764	)			(3,517	)			(127.2	)			(20,431	)			(31,614	)			11,183				35.4
Other income, net			4,334				3,531				803				22.7				6,440				3,839				2,601				67.8
Provision for income taxes			(6,337	)			(8,013	)			1,676				20.9				(8,209	)			(7,626	)			(583	)			(7.6	)
Net income			7,251				10,124				(2,873	)			(28.4	)			9,604				97				9,507				NM
Less: net (loss) income attributable to noncontrolling interest			(3,890	)			566				4,456				NM				(7,223	)			217				7,440				NM
Net income (loss) attributable to MIC			11,141				9,558				1,583				16.6				16,827				(120	)			16,947				NM
Reconciliation of net income to EBITDA excluding non-cash items and a reconciliation of cash provided by operating activities to Free Cash Flow:
Net income			7,251				10,124												9,604				97
Interest expense, net(1)			6,281				2,764												20,431				31,614
Provision for income taxes			6,337				8,013												8,209				7,626
Depreciation and amortization			14,830				14,000												45,031				41,693
Other non-cash income, net(2)			(1,914	)			(1,459	)											(6,170	)			(5,424	)
EBITDA excluding non-cash items			32,785				33,442				(657	)			(2.0	)			77,105				75,606				1,499				2.0
EBITDA excluding non-cash items			32,785				33,442												77,105				75,606
Interest expense, net(1)			(6,281	)			(2,764	)											(20,431	)			(31,614	)
Adjustments to derivative instruments recorded in interest expense(1)			(922	)			(3,778	)											(1,282	)			11,994
Amortization of debt financing costs(1)			379				376												1,137				1,113
Provision for income taxes, net of changes in deferred taxes			9				1												6				(8	)
Changes in working capital			(1,842	)			949												(9,703	)			(1,909	)
Cash provided by operating activities			24,128				28,226												46,832				55,182
Changes in working capital			1,842				(949	)											9,703				1,909
Maintenance capital expenditures			—				(559	)											(22	)			(559	)
Free cash flow			25,970				26,718				(748	)			(2.8	)			56,513				56,532				(19	)			(0.0	)

NM — Not meaningful

MIC Hawaii

		Quarter Ended September 30,								Change Favorable/ (Unfavorable)								Nine Months Ended September 30,								Change Favorable/ (Unfavorable)
		2017				2016												2017				2016
		$				$				$				%				$				$				$				%
		($ In Thousands) (Unaudited)
Product revenue			52,396				51,011				1,385				2.7				165,758				158,036				7,722				4.9
Service revenue			13,826				5,258				8,568				163.0				39,476				5,258				34,218				NM
Total revenue			66,222				56,269				9,953				17.7				205,234				163,294				41,940				25.7
Cost of product sales (exclusive of depreciation and amortization shown separately below)			30,498				32,501				2,003				6.2				107,615				90,428				(17,187	)			(19.0	)
Cost of services (exclusive of depreciation and amortization shown separately below)			12,131				3,946				(8,185	)			NM				34,015				3,946				(30,069	)			NM
Cost of revenue – total			42,629				36,447				(6,182	)			(17.0	)			141,630				94,374				(47,256	)			(50.1	)
Gross margin			23,593				19,822				3,771				19.0				63,604				68,920				(5,316	)			(7.7	)
Selling, general and administrative expenses			6,874				6,540				(334	)			(5.1	)			19,729				16,230				(3,499	)			(21.6	)
Depreciation and amortization			3,711				2,802				(909	)			(32.4	)			10,922				7,696				(3,226	)			(41.9	)
Operating income			13,008				10,480				2,528				24.1				32,953				44,994				(12,041	)			(26.8	)
Interest expense, net(1)			(1,877	)			(1,571	)			(306	)			(19.5	)			(5,795	)			(6,224	)			429				6.9
Other expense, net			(141	)			(187	)			46				24.6				(382	)			(588	)			206				35.0
Provision for income taxes			(4,830	)			(3,246	)			(1,584	)			(48.8	)			(10,772	)			(14,863	)			4,091				27.5
Net income			6,160				5,476				684				12.5				16,004				23,319				(7,315	)			(31.4	)
Less: net loss attributable to noncontrolling interests			(32	)			(111	)			(79	)			(71.2	)			(71	)			(111	)			(40	)			(36.0	)
Net income attributable to MIC			6,192				5,587				605				10.8				16,075				23,430				(7,355	)			(31.4	)
Reconciliation of net income to EBITDA excluding non-cash items and a reconciliation of cash provided by operating activities to Free Cash Flow:
Net income			6,160				5,476												16,004				23,319
Interest expense, net(1)			1,877				1,571												5,795				6,224
Provision for income taxes			4,830				3,246												10,772				14,863
Depreciation and amortization			3,711				2,802												10,922				7,696
Pension expense(2)			272				349												817				1,048
Other non-cash (income) expense, net(3)			(3,360	)			316												3,108				(6,090	)
EBITDA excluding non-cash items			13,490				13,760				(270	)			(2.0	)			47,418				47,060				358				0.8
EBITDA excluding non-cash items			13,490				13,760												47,418				47,060
Interest expense, net(1)			(1,877	)			(1,571	)											(5,795	)			(6,224	)
Adjustments to derivative instruments recorded in interest expense(1)			23				(250	)											113				506
Amortization of debt financing costs(1)			99				96												303				848
Provision for income taxes, net of changes in deferred taxes			(1,773	)			(1,361	)											(5,265	)			(6,507	)
Changes in working capital			(2,535	)			(1,394	)											(12,852	)			5,554
Cash provided by operating activities			7,427				9,280												23,922				41,237
Changes in working capital			2,535				1,394												12,852				(5,554	)
Maintenance capital expenditures			(1,825	)			(1,978	)											(4,406	)			(5,251	)
Free cash flow			8,137				8,696				(559	)			(6.4	)			32,368				30,432				1,936				6.4