As part of the Company’s transition away from its historical reliance on SunEdison, as of January 1, 2017, substantially all employees at both the corporate and project levels who were previously employed by SunEdison were hired directly by the Company. As such, the Company no longer materially relies upon SunEdison for personnel to manage and operate our business or our power plants. The Company continues to execute on the other aspects of its plan to implement a stand-alone organization. We expect to incur higher costs associated with performing these services ourselves or hiring substitute providers than the fees we paid under the MSA.
Acquisition, Formation and Related Costs
Acquisition, formation and related costs are zero for the three months ended June 30, 2017, compared to $0.1 million for the same period in 2016, as there were no acquisitions during the three months ended June 30, 2017.
Depreciation, Accretion and Amortization
Depreciation, accretion and amortization expense increased from $13.0 million for the three months ended June 30, 2016 to $21.2 million for the three months ended June 30, 2017. The increase was primarily due to the impact of foreign currency on depreciation expense for wind power plants denominated in foreign currencies.
Loss (Gain) on Extinguishment of Debt, net
There was no gain or loss on the extinguishment of debt recognized for the three months ended June 30, 2017, compared to a loss of $0.5 million recognized for the same period in 2016. This decrease is due to the extinguishment of Indian term debt during the three months ended June 30, 2016, which resulted in a loss of $0.5 million.
Interest Expense, net
Interest expense, net for the three months ended June 30, 2017 and 2016 was as follows:
Three Months Ended June 30,
Total interest expense, net
Interest expense, net decreased by an immaterial amount during the three months ended June 30, 2017 compared to the same period in 2016.
As a result of the SunEdison Bankruptcy, we do not expect SunEdison to perform under the Interest Payment Agreement going forward, in which case we expect to continue servicing out debt obligations with current liquidity and cash flows from operations. See Item 1. Note 16 - Related Parties - Interest Payment Agreement for additional information on the Interest Payment Agreement.
Gain on Foreign Currency Exchange, net
Net gain on foreign currency exchange was $1.3 million for the three months ended June 30, 2017 versus a net gain of $13.9 million for the three months ended June 30, 2016, resulting in a decrease of $12.6 million. This change is primarily due to a loss of $27.2 million related to the impact of revaluation to the U.S. dollar of plant assets and liabilities denominated in foreign currencies and foreign currency exchange rates on intercompany loans, offset by $12.4 million on foreign currency forward contracts that matured during the three months ended June 30, 2017 versus the same period in 2016.
Other Income, net
Other income, net was $3.2 million for the three months ended June 30, 2017 compared to $6.1 million for the same period in 2016. The decrease was due to receipt of damages payments from contractors in South Africa during the second quarter of 2016, offset by an increase from the sale of PPAs in Thailand during the first and second quarters of 2017.