Commission | Registrant; State of Incorporation; | I.R.S. Employer | ||
File Number | Address; and Telephone Number | Identification No. | ||
333-21011 | FIRSTENERGY CORP. | 34-1843785 | ||
(An Ohio Corporation) | ||||
76 South Main Street | ||||
Akron, OH 44308 | ||||
Telephone (800)736-3402 | ||||
(d) | Exhibits |
Exhibit No. | Description | |
99.1 | Press Release issued by FirstEnergy Corp., dated November 5, 2013, revised to include “WV Asset Transfer Charges” in the GAAP EPS to Operating EPS Reconciliation | |
99.2 | Consolidated Report to the Financial Community, dated November 5, 2013 |
FIRSTENERGY CORP. | |
Registrant | |
By: | /s/ K. Jon Taylor |
K. Jon Taylor Vice President, Controller and Chief Accounting Officer |
Exhibit No. | Description | |
99.1 | Press Release issued by FirstEnergy Corp., dated November 5, 2013, revised to include “WV Asset Transfer Charges” in the GAAP EPS to Operating EPS Reconciliation | |
99.2 | Consolidated Report to the Financial Community, dated November 5, 2013 |
GAAP EPS to Operating EPS* Reconciliation | ||||||||||
Third Quarter | Year-to-Date | Full Year | ||||||||
2013 | 2012 | 2013 | 2012 | 2013 | ||||||
Basic Earnings Per Share (GAAP) | $0.52 | $1.02 | $0.60 | $2.20 | $0.78 - $1.13 | |||||
Excluding Special Items: | ||||||||||
Mark-to-market adjustments - | ||||||||||
Pension/OPEB actuarial assumptions | — | — | — | — | (0.07) - (0.22) | |||||
Other | (0.01) | (0.03) | — | (0.08) | — | |||||
Regulatory Charges | 0.36 | 0.03 | 0.42 | 0.06 | 0.44 | |||||
Trust Securities Impairment | 0.03 | — | 0.09 | 0.01 | 0.09 | |||||
Income Tax Legislative Changes | — | 0.02 | — | 0.06 | — | |||||
Merger Transaction/Integration Costs | — | — | — | 0.02 | — | |||||
Impact of Non-Core Asset Sales/Impairments | — | — | 0.01 | — | (0.21) | |||||
Plant Deactivation Costs | 0.02 | 0.04 | 0.89 | 0.16 | 1.03 | |||||
Restructuring Costs | 0.01 | — | 0.01 | — | 0.01 | |||||
Merger Accounting- Commodity Contracts | 0.02 | 0.03 | 0.07 | 0.10 | 0.09 | |||||
WV Asset Transfer Charges | — | — | — | — | 0.54 | |||||
(Gain) Loss on Debt Redemptions | (0.01) | — | 0.20 | — | 0.20 | |||||
Basic Earnings Per Share (Operating*) | $0.94 | $1.11 | $2.29 | $2.53 | $2.90 - $3.10 |
HIGHLIGHTS | After-Tax EPS Variance Analysis | 3rd Qtr. | |||
3Q 2012 Basic EPS - GAAP | $1.02 | ||||
• Operating earnings*, excluding special items, were $0.94 per basic share for the third quarter of 2013, compared with third quarter 2012 Operating earnings of $1.11 per basic share. GAAP earnings for the third quarter of 2013 were $0.52 per basic share, compared with third quarter 2012 earnings of $1.02 per basic share. Operating earnings were previously referred to as normalized non-GAAP earnings. • For the nine months ended September 2013, Operating earnings*, excluding special items, were $2.29 per basic share, compared with $2.53 per basic share for the same period last year. GAAP earnings for the nine months ended September 2013 were $0.60 per basic share, compared with $2.20 per basic share for the same period last year. | Special Items - 2012 | 0.09 | |||
3Q 2012 Basic EPS - Operating* | $1.11 | ||||
Distribution Deliveries | (0.02) | ||||
CES Commodity Margin | (0.13) | ||||
O&M Expenses | (0.06) | ||||
Depreciation | (0.04) | ||||
General Taxes | 0.02 | ||||
Investment Income | (0.03) | ||||
Interest Expense | (0.01) | ||||
Effective Income Tax Rate | 0.09 | ||||
Other | 0.01 | ||||
3Q 2013 Basic EPS - Operating* | $0.94 | ||||
Special Items - 2013 (See page 5) | (0.42) | ||||
3Q 2013 Basic EPS - GAAP | $0.52 | ||||
• | Distribution Deliveries - Distribution deliveries decreased earnings by $0.02 per share, primarily resulting from milder temperatures. Cooling-degree-days were 18% below the same period last year, and 3% below normal. Total electric distribution deliveries decreased by 817,000 MWH, or 2%. Sales to residential and commercial customers decreased by 1.1 million MWH, or 7%, and 68,000 MWH, or 1%, respectively, while sales to industrial customers increased by 347,000 MWH, or 3%. |
• | Competitive Energy Services (CES) - Commodity margin decreased earnings by $0.13 per share, primarily driven by lower average contract sales prices, higher expenses, partially offset by higher sales volume. |
• | Competitive Energy Services EPS Summary |
Commodity Margin EPS - 3Q13 vs 3Q12 | Rate | Volume | Total | |||||||||||
(a) Contract Sales | ||||||||||||||
- Direct Sales (LCI & MCI) | $ | (0.03 | ) | $ | 0.03 | $ | 0.00 | |||||||
- Governmental Aggregation Sales | (0.02 | ) | 0.06 | 0.04 | ||||||||||
- Mass Market Sales | — | 0.02 | 0.02 | |||||||||||
- POLR Sales | 0.02 | (0.03 | ) | (0.01 | ) | |||||||||
- Structured Sales | (0.03 | ) | 0.06 | 0.03 | ||||||||||
Subtotal - Contract Sales | $ | (0.06 | ) | $ | 0.14 | $ | 0.08 | |||||||
(b) Wholesale Sales | — | 0.02 | 0.02 | |||||||||||
(c) PJM Capacity, FRR Auction Revenues | 0.04 | — | 0.04 | |||||||||||
(d) Fuel Expense | 0.01 | (0.07 | ) | (0.06 | ) | |||||||||
(e) Purchased Power | (0.06 | ) | (0.03 | ) | (0.09 | ) | ||||||||
(f) Capacity Expense | (0.05 | ) | (0.01 | ) | (0.06 | ) | ||||||||
(g) Net Financial Sales and Purchases | (0.01 | ) | — | (0.01 | ) | |||||||||
(h) Net MISO - PJM Transmission Cost | (0.05 | ) | — | (0.05 | ) | |||||||||
Net Increase / (Decrease) | $ | (0.18 | ) | $ | 0.05 | $ | (0.13 | ) | ||||||
(a) | Contract Sales - CES' contract sales increased earnings by $0.08 per share, driven by a 1.9 million MWH, or 7%, increase in sales. The total number of retail customers was 2.7 million as of September 30, 2013, an increase of approximately 219,000 customers, or 9%, since September 30, 2012. |
• | Structured sales increased by 1.1 million MWH, or 81%, due to increased municipal, cooperative, and bilateral sales. |
• | Governmental aggregation sales increased by 584,000 MWH, or 11%, primarily due to continued expansion in Illinois, where 109 new communities have been added since September 30, 2012. |
• | Direct sales to large and medium commercial / industrial customers increased by 413,000 MWH, or 3%, primarily associated with the acquisition of new customers in Central and Southern Ohio. |
• | Mass market sales increased by 235,000 MWH, or 15%, primarily in Pennsylvania, Ohio, and Illinois. |
• | In supporting CES' strategy to realign its sales portfolio, POLR generation sales decreased by 412,000 MWH, or 9%. |
CES Contract Sales - 3Q13 vs 3Q12 | |||||||||||||||
(thousand MWH) | Retail | Non-Retail | |||||||||||||
Direct | Aggr. | Mass Market | POLR | Structured | Total | ||||||||||
Contract Sales Increase / (Decrease) | 413 | 584 | 235 | (412) | 1,052 | 1,872 | |||||||||
Planning Period | RTO | ATSI | MAAC | ||||||
Price Per Megawatt-Day | BR | FRR | BR | ||||||
June 2012 - May 2013 | $16.46 | $20.46 | $133.37 | ||||||
June 2013 - May 2014 | $27.73 | N/A | $226.15 | ||||||
(d) | Fuel Expense - Higher fuel expenses decreased earnings by $0.06 per share. Total ongoing generation output increased by 1.6 million MWH. Ongoing fossil generation output increased by 1.7 million MWH primarily due to the Sammis Plant being temporary idled in 2012. Nuclear generation output decreased by 118,000 MWH, primarily due to a 12-day unplanned outage at Davis-Besse in July 2013. The increase in fuel expenses was partially offset by lower fossil fuel rates resulting from restructured contracts.** |
• | O&M Expenses - Higher O&M expenses decreased earnings by $0.06 per share: |
(a) | Higher Regulated Distribution expenses decreased earnings by $0.05 per share primarily due to adjustments in the third quarter of 2012 associated with the integration of Allegheny's work management systems with FirstEnergy's systems that resulted in more work being allocated to capital that was previously expensed. |
(b) | Higher CES O&M expenses decreased earnings by $0.01 per share, primarily as a result of increased outages at ongoing fossil units.** |
• | Depreciation - Higher depreciation expense reduced earnings by $0.04 per share due to an increased asset base and the absence of an adjustment that lowered depreciation expense at West Penn Power (WP) in the third quarter of 2012. In September 2012, the Pennsylvania Public Utility Commission approved lower depreciation rates for WP, retroactive to January 1, 2012. |
• | General Taxes - Lower general taxes increased earnings by $0.02 per share, primarily due to lower payroll and gross receipts taxes.** |
• | Investment Income - Lower investment income decreased earnings by $0.03 per share, primarily due to lower nuclear decommissioning trust income, partially offset by higher earnings from our investment in Signal Peak. |
• | Interest Expense - Higher interest expense decreased earnings by $0.01 per share, primarily due to increased short-term borrowings at FirstEnergy Corp. |
• | Effective Income Tax Rate - A lower effective income tax rate (34.1% in Q3 2013 vs 40.7% in Q3 2012) increased earnings by $0.09 per share. In 2013, the effective income tax rate was impacted by changes in state income tax allocation factors and the elimination of state tax obligations associated with income that was previously apportioned to certain tax jurisdictions. In 2012, the effective income tax rate was impacted by increases to valuation allowances against net operating loss carryforwards. The effective income tax rate for the nine months ended September 2013 and 2012 was 36.2% and 39.7%, respectively. The estimated annual effective income tax rate for 2013 is approximately 37% as compared to approximately 39% in 2012. |
• | Special Items - The following special items were recognized during the third quarter of 2013: |
Special Items | EPS | ||||||
Regulatory charges | $ | 0.36 | |||||
Trust securities impairment | 0.03 | ||||||
Plant deactivation costs | 0.02 | ||||||
Merger accounting - commodity contracts | 0.02 | ||||||
Restructuring costs | 0.01 | ||||||
Gain on debt redemptions | (0.01 | ) | |||||
Mark-to-market adjustments | (0.01 | ) | |||||
Total | $ | 0.42 | |||||
Irene M. Prezelj | Meghan G. Beringer | Rey Y. Jimenez | ||
Vice President, Investor Relations | Director, Investor Relations | Manager, Investor Relations | ||
(330) 384-3859 | (330) 384-5832 | (330) 761-4239 |
Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||||||||||||||||||||||
2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||||||||||||||||
Revenues | |||||||||||||||||||||||||||||
(1 | ) | Regulated distribution | $ | 2,340 | $ | 2,483 | $ | (143 | ) | $ | 6,593 | $ | 6,976 | $ | (383 | ) | |||||||||||||
(2 | ) | Regulated transmission | 190 | 187 | 3 | 546 | 557 | (11 | ) | ||||||||||||||||||||
(3 | ) | Competitive energy services | 1,769 | 1,671 | 98 | 4,938 | 5,151 | (213 | ) | ||||||||||||||||||||
(4 | ) | Other and reconciling adjustments | (263 | ) | (289 | ) | 26 | (807 | ) | (904 | ) | 97 | |||||||||||||||||
(5 | ) | Total Revenues | 4,036 | 4,052 | (16 | ) | 11,270 | 11,780 | (510 | ) | |||||||||||||||||||
Expenses | |||||||||||||||||||||||||||||
(6 | ) | Fuel | 657 | 636 | 21 | 1,915 | 1,833 | 82 | |||||||||||||||||||||
(7 | ) | Purchased power | 1,120 | 1,063 | 57 | 2,932 | 3,367 | (435 | ) | ||||||||||||||||||||
(8 | ) | Other operating expenses | 877 | 861 | 16 | 2,645 | 2,597 | 48 | |||||||||||||||||||||
(9 | ) | Provision for depreciation | 316 | 272 | 44 | 909 | 834 | 75 | |||||||||||||||||||||
(10 | ) | Amortization of regulatory assets, net | 312 | 61 | 251 | 443 | 198 | 245 | |||||||||||||||||||||
(11 | ) | General taxes | 242 | 257 | (15 | ) | 747 | 760 | (13 | ) | |||||||||||||||||||
(12 | ) | Impairment of long lived assets | — | — | — | 473 | — | 473 | |||||||||||||||||||||
(13 | ) | Total Expenses | 3,524 | 3,150 | 374 | 10,064 | 9,589 | 475 | |||||||||||||||||||||
(14 | ) | Operating Income | 512 | 902 | (390 | ) | 1,206 | 2,191 | (985 | ) | |||||||||||||||||||
Other Income (Expense) | |||||||||||||||||||||||||||||
(15 | ) | Gain (loss) on debt redemptions | 9 | — | 9 | (132 | ) | — | (132 | ) | |||||||||||||||||||
(16 | ) | Investment income | 5 | 39 | (34 | ) | 8 | 63 | (55 | ) | |||||||||||||||||||
(17 | ) | Interest expense | (257 | ) | (230 | ) | (27 | ) | (771 | ) | (750 | ) | (21 | ) | |||||||||||||||
(18 | ) | Capitalized interest | 17 | 18 | (1 | ) | 51 | 54 | (3 | ) | |||||||||||||||||||
(19 | ) | Total Other Expense | (226 | ) | (173 | ) | (53 | ) | (844 | ) | (633 | ) | (211 | ) | |||||||||||||||
(20 | ) | Income From Continuing Operations Before Income Taxes | 286 | 729 | (443 | ) | 362 | 1,558 | (1,196 | ) | |||||||||||||||||||
(21 | ) | Income taxes | 77 | 307 | (230 | ) | 129 | 650 | (521 | ) | |||||||||||||||||||
(22 | ) | Income From Continuing Operations | 209 | 422 | (213 | ) | 233 | 908 | (675 | ) | |||||||||||||||||||
(23 | ) | Discontinued operations (net of income taxes) | 9 | 3 | 6 | 17 | 11 | 6 | |||||||||||||||||||||
(24 | ) | Net Income | 218 | 425 | (207 | ) | 250 | 919 | (669 | ) | |||||||||||||||||||
(25 | ) | Income attributable to noncontrolling interest | — | — | — | — | 1 | (1 | ) | ||||||||||||||||||||
(26 | ) | Earnings Available to FirstEnergy Corp. | $ | 218 | $ | 425 | $ | (207 | ) | $ | 250 | $ | 918 | $ | (668 | ) | |||||||||||||
(27 | ) | Earnings Per Share of Common Stock | |||||||||||||||||||||||||||
(28 | ) | Basic - Continuing Operations | $ | 0.50 | $ | 1.01 | $ | (0.51 | ) | $ | 0.56 | $ | 2.17 | $ | (1.61 | ) | |||||||||||||
(29 | ) | Basic - Discontinued Operations | 0.02 | 0.01 | 0.01 | 0.04 | 0.03 | 0.01 | |||||||||||||||||||||
(30 | ) | Basic - Earnings Available to FirstEnergy Corp. | $ | 0.52 | $ | 1.02 | $ | (0.50 | ) | $ | 0.60 | $ | 2.20 | $ | (1.60 | ) | |||||||||||||
(31 | ) | Diluted - Continuing Operations | $ | 0.50 | $ | 1.00 | $ | (0.50 | ) | $ | 0.56 | $ | 2.16 | $ | (1.60 | ) | |||||||||||||
(32 | ) | Diluted - Discontinued Operations | 0.02 | 0.01 | 0.01 | 0.04 | 0.03 | 0.01 | |||||||||||||||||||||
(33 | ) | Diluted - Earnings Available to FirstEnergy Corp. | $ | 0.52 | $ | 1.01 | $ | (0.49 | ) | $ | 0.60 | $ | 2.19 | $ | (1.59 | ) | |||||||||||||
(34 | ) | Weighted Average Number of | |||||||||||||||||||||||||||
(35 | ) | Common Shares Outstanding | |||||||||||||||||||||||||||
(36 | ) | Basic | 418 | 417 | 1 | 418 | 418 | — | |||||||||||||||||||||
(37 | ) | Diluted | 419 | 419 | — | 419 | 419 | — | |||||||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||||||||
Competitive | Other & | ||||||||||||||||||||||
Regulated | Regulated | Energy | Reconciling | FirstEnergy | |||||||||||||||||||
Distribution (a) | Transmission (b) | Services (c) | Adjustments (d) | Consolidated | |||||||||||||||||||
Revenues | |||||||||||||||||||||||
(1 | ) | Electric sales | $ | 2,282 | $ | 190 | $ | 1,508 | $ | (35 | ) | $ | 3,945 | ||||||||||
(2 | ) | Other | 58 | — | 65 | (32 | ) | 91 | |||||||||||||||
(3 | ) | Internal | — | — | 196 | (196 | ) | — | |||||||||||||||
(4 | ) | Total Revenues | 2,340 | 190 | 1,769 | (263 | ) | 4,036 | |||||||||||||||
Expenses | |||||||||||||||||||||||
(5 | ) | Fuel | 88 | — | 569 | — | 657 | ||||||||||||||||
(6 | ) | Purchased power | 910 | — | 406 | (196 | ) | 1,120 | |||||||||||||||
(7 | ) | Other operating expenses | 457 | 35 | 457 | (72 | ) | 877 | |||||||||||||||
(8 | ) | Provision for depreciation | 151 | 28 | 125 | 12 | 316 | ||||||||||||||||
(9 | ) | Amortization of regulatory assets, net | 309 | 3 | — | — | 312 | ||||||||||||||||
(10 | ) | General taxes | 173 | 15 | 49 | 5 | 242 | ||||||||||||||||
(11 | ) | Total Expenses | 2,088 | 81 | 1,606 | (251 | ) | 3,524 | |||||||||||||||
(12 | ) | Operating Income | 252 | 109 | 163 | (12 | ) | 512 | |||||||||||||||
Other Income (Expense) | |||||||||||||||||||||||
(13 | ) | Gain on debt redemptions | — | — | — | 9 | 9 | ||||||||||||||||
(14 | ) | Investment income (loss) | 14 | — | (5 | ) | (4 | ) | 5 | ||||||||||||||
(15 | ) | Interest expense | (134 | ) | (23 | ) | (53 | ) | (47 | ) | (257 | ) | |||||||||||
(16 | ) | Capitalized interest | 3 | — | 10 | 4 | 17 | ||||||||||||||||
(17 | ) | Total Other Expense | (117 | ) | (23 | ) | (48 | ) | (38 | ) | (226 | ) | |||||||||||
(18 | ) | Income From Continuing Operations Before Income Taxes | 135 | 86 | 115 | (50 | ) | 286 | |||||||||||||||
(19 | ) | Income taxes | 50 | 32 | 47 | (52 | ) | 77 | |||||||||||||||
(20 | ) | Income From Continuing Operations | 85 | 54 | 68 | 2 | 209 | ||||||||||||||||
(21 | ) | Discontinued operations (net of income taxes) | — | — | 9 | — | 9 | ||||||||||||||||
(22 | ) | Net Income | $ | 85 | $ | 54 | $ | 77 | $ | 2 | $ | 218 | |||||||||||
(a) | Revenues are primarily derived from the delivery of electricity within FirstEnergy Corp.'s (FirstEnergy) service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs. | ||||||||||||||||||||||
(b) | Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads. | ||||||||||||||||||||||
(c) | Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland. | ||||||||||||||||||||||
(d) | Consists primarily of interest expense related to holding company debt, corporate support services revenues and expenses and elimination of intersegment transactions. | ||||||||||||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||||||||||
Competitive | Other & | |||||||||||||||||||||||
Regulated | Regulated | Energy | Reconciling | FirstEnergy | ||||||||||||||||||||
Distribution (a) | Transmission (b) | Services (c) | Adjustments (d) | Consolidated | ||||||||||||||||||||
Revenues | ||||||||||||||||||||||||
(1 | ) | Electric sales | $ | 2,426 | $ | 187 | $ | 1,428 | $ | (55 | ) | $ | 3,986 | |||||||||||
(2 | ) | Other | 57 | — | 34 | (25 | ) | 66 | ||||||||||||||||
(3 | ) | Internal | — | — | 209 | (209 | ) | — | ||||||||||||||||
(4 | ) | Total Revenues | 2,483 | 187 | 1,671 | (289 | ) | 4,052 | ||||||||||||||||
Expenses | ||||||||||||||||||||||||
(5 | ) | Fuel | 76 | — | 560 | — | 636 | |||||||||||||||||
(6 | ) | Purchased power | 1,010 | — | 263 | (210 | ) | 1,063 | ||||||||||||||||
(7 | ) | Other operating expenses | 451 | 30 | 468 | (88 | ) | 861 | ||||||||||||||||
(8 | ) | Provision for depreciation | 134 | 27 | 102 | 9 | 272 | |||||||||||||||||
(9 | ) | Amortization of regulatory assets, net | 59 | 1 | — | 1 | 61 | |||||||||||||||||
(10 | ) | General taxes | 187 | 12 | 52 | 6 | 257 | |||||||||||||||||
(11 | ) | Total Expenses | 1,917 | 70 | 1,445 | (282 | ) | 3,150 | ||||||||||||||||
(12 | ) | Operating Income | 566 | 117 | 226 | (7 | ) | 902 | ||||||||||||||||
Other Income (Expense) | ||||||||||||||||||||||||
(13 | ) | Investment income | 20 | — | 36 | (17 | ) | 39 | ||||||||||||||||
(14 | ) | Interest expense | (136 | ) | (24 | ) | (73 | ) | 3 | (230 | ) | |||||||||||||
(15 | ) | Capitalized interest | 4 | 1 | 11 | 2 | 18 | |||||||||||||||||
(16 | ) | Total Other Expense | (112 | ) | (23 | ) | (26 | ) | (12 | ) | (173 | ) | ||||||||||||
(17 | ) | Income From Continuing Operations Before Income Taxes | 454 | 94 | 200 | (19 | ) | 729 | ||||||||||||||||
(18 | ) | Income taxes | 168 | 35 | 74 | 30 | 307 | |||||||||||||||||
(19 | ) | Income From Continuing Operations | 286 | 59 | 126 | (49 | ) | 422 | ||||||||||||||||
(20 | ) | Discontinued operations (net of income taxes) | — | — | 3 | — | 3 | |||||||||||||||||
(21 | ) | Net Income | $ | 286 | $ | 59 | $ | 129 | $ | (49 | ) | $ | 425 | |||||||||||
(a) | Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs. | |||||||||||||||||||||||
(b) | Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads. | |||||||||||||||||||||||
(c) | Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland. | |||||||||||||||||||||||
(d) | Consists primarily of interest expense related to holding company debt, corporate support services revenues and expenses and elimination of intersegment transactions. | |||||||||||||||||||||||
Three Months Ended September 30, 2013 vs. Three Months Ended September 30, 2012 | ||||||||||||||||||||||||
Competitive | Other & | |||||||||||||||||||||||
Regulated | Regulated | Energy | Reconciling | FirstEnergy | ||||||||||||||||||||
Distribution (a) | Transmission (b) | Services (c) | Adjustments (d) | Consolidated | ||||||||||||||||||||
Revenues | ||||||||||||||||||||||||
(1 | ) | Electric sales | $ | (144 | ) | $ | 3 | $ | 80 | $ | 20 | $ | (41 | ) | ||||||||||
(2 | ) | Other | 1 | — | 31 | (7 | ) | 25 | ||||||||||||||||
(3 | ) | Internal revenues | — | — | (13 | ) | 13 | — | ||||||||||||||||
(4 | ) | Total Revenues | (143 | ) | 3 | 98 | 26 | (16 | ) | |||||||||||||||
Expenses | ||||||||||||||||||||||||
(5 | ) | Fuel | 12 | — | 9 | — | 21 | |||||||||||||||||
(6 | ) | Purchased power | (100 | ) | — | 143 | 14 | 57 | ||||||||||||||||
(7 | ) | Other operating expenses | 6 | 5 | (11 | ) | 16 | 16 | ||||||||||||||||
(8 | ) | Provision for depreciation | 17 | 1 | 23 | 3 | 44 | |||||||||||||||||
(9 | ) | Amortization of regulatory assets, net | 250 | 2 | — | (1 | ) | 251 | ||||||||||||||||
(10 | ) | General taxes | (14 | ) | 3 | (3 | ) | (1 | ) | (15 | ) | |||||||||||||
(11 | ) | Total Expenses | 171 | 11 | 161 | 31 | 374 | |||||||||||||||||
(12 | ) | Operating Income (Loss) | (314 | ) | (8 | ) | (63 | ) | (5 | ) | (390 | ) | ||||||||||||
Other Income (Expense) | ||||||||||||||||||||||||
(13 | ) | Gain on debt redemptions | — | — | — | 9 | 9 | |||||||||||||||||
(14 | ) | Investment income (loss) | (6 | ) | — | (41 | ) | 13 | (34 | ) | ||||||||||||||
(15 | ) | Interest expense | 2 | 1 | 20 | (50 | ) | (27 | ) | |||||||||||||||
(16 | ) | Capitalized interest | (1 | ) | (1 | ) | (1 | ) | 2 | (1 | ) | |||||||||||||
(17 | ) | Total Other Expense | (5 | ) | — | (22 | ) | (26 | ) | (53 | ) | |||||||||||||
(18 | ) | Income (Loss) From Continuing Operations Before Income Taxes | (319 | ) | (8 | ) | (85 | ) | (31 | ) | (443 | ) | ||||||||||||
(19 | ) | Income taxes (benefits) | (118 | ) | (3 | ) | (27 | ) | (82 | ) | (230 | ) | ||||||||||||
(20 | ) | Income (Loss) From Continuing Operations | (201 | ) | (5 | ) | (58 | ) | 51 | (213 | ) | |||||||||||||
(21 | ) | Discontinued operations (net of income tax benefits) | — | — | 6 | — | 6 | |||||||||||||||||
(22 | ) | Net Income (Loss) | $ | (201 | ) | $ | (5 | ) | $ | (52 | ) | $ | 51 | $ | (207 | ) | ||||||||
(a) | Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs. | |||||||||||||||||||||||
(b) | Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads. | |||||||||||||||||||||||
(c) | Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland. | |||||||||||||||||||||||
(d) | Consists primarily of interest expense related to holding company debt, corporate support services revenues and expenses and elimination of intersegment transactions. | |||||||||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||||||
Competitive | Other & | ||||||||||||||||||||||
Regulated | Regulated | Energy | Reconciling | FirstEnergy | |||||||||||||||||||
Distribution (a) | Transmission (b) | Services (c) | Adjustments (d) | Consolidated | |||||||||||||||||||
Revenues | |||||||||||||||||||||||
(1 | ) | Electric sales | $ | 6,414 | $ | 546 | $ | 4,204 | $ | (128 | ) | $ | 11,036 | ||||||||||
(2 | ) | Other | 179 | — | 146 | (91 | ) | 234 | |||||||||||||||
(3 | ) | Internal | — | — | 588 | (588 | ) | — | |||||||||||||||
(4 | ) | Total Revenues | 6,593 | 546 | 4,938 | (807 | ) | 11,270 | |||||||||||||||
Expenses | |||||||||||||||||||||||
(5 | ) | Fuel | 250 | — | 1,665 | — | 1,915 | ||||||||||||||||
(6 | ) | Purchased power | 2,547 | — | 973 | (588 | ) | 2,932 | |||||||||||||||
(7 | ) | Other operating expenses | 1,274 | 98 | 1,517 | (244 | ) | 2,645 | |||||||||||||||
(9 | ) | Provision for depreciation | 446 | 84 | 347 | 32 | 909 | ||||||||||||||||
(10 | ) | Amortization of regulatory assets, net | 436 | 7 | — | — | 443 | ||||||||||||||||
(11 | ) | General taxes | 527 | 41 | 158 | 21 | 747 | ||||||||||||||||
(12 | ) | Impairment of long-lived assets | — | — | 473 | — | 473 | ||||||||||||||||
(13 | ) | Total Expenses | 5,480 | 230 | 5,133 | (779 | ) | 10,064 | |||||||||||||||
(14 | ) | Operating Income (Loss) | 1,113 | 316 | (195 | ) | (28 | ) | 1,206 | ||||||||||||||
Other Income (Expense) | |||||||||||||||||||||||
(15 | ) | Gain (loss) on debt redemptions | — | — | (149 | ) | 17 | (132 | ) | ||||||||||||||
(16 | ) | Investment income (loss) | 41 | — | (6 | ) | (27 | ) | 8 | ||||||||||||||
(17 | ) | Interest expense | (404 | ) | (68 | ) | (187 | ) | (112 | ) | (771 | ) | |||||||||||
(18 | ) | Capitalized interest | 8 | 1 | 31 | 11 | 51 | ||||||||||||||||
(19 | ) | Total Other Expense | (355 | ) | (67 | ) | (311 | ) | (111 | ) | (844 | ) | |||||||||||
(20 | ) | Income (Loss) From Continuing Operations Before Income Taxes | 758 | 249 | (506 | ) | (139 | ) | 362 | ||||||||||||||
(21 | ) | Income taxes (benefits) | 284 | 93 | (189 | ) | (59 | ) | 129 | ||||||||||||||
(22 | ) | Income (Loss) From Continuing Operations | 474 | 156 | (317 | ) | (80 | ) | 233 | ||||||||||||||
(23 | ) | Discontinued operations (net of income taxes) | — | — | 17 | — | 17 | ||||||||||||||||
(24 | ) | Net Income (Loss) | $ | 474 | $ | 156 | $ | (300 | ) | $ | (80 | ) | $ | 250 | |||||||||
(a) | Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs. | ||||||||||||||||||||||
(b) | Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads. | ||||||||||||||||||||||
(c) | Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland. | ||||||||||||||||||||||
(d) | Consists primarily of interest expense related to holding company debt, corporate support services revenues and expenses and elimination of intersegment transactions. | ||||||||||||||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||||||||||
Competitive | Other & | |||||||||||||||||||||||
Regulated | Regulated | Energy | Reconciling | FirstEnergy | ||||||||||||||||||||
Distribution (a) | Transmission (b) | Services (c) | Adjustments (d) | Consolidated | ||||||||||||||||||||
Revenues | ||||||||||||||||||||||||
(1 | ) | Electric sales | $ | 6,818 | $ | 557 | $ | 4,355 | $ | (166 | ) | $ | 11,564 | |||||||||||
(2 | ) | Other | 158 | — | 110 | (54 | ) | 214 | ||||||||||||||||
(3 | ) | Internal | — | — | 686 | (684 | ) | 2 | ||||||||||||||||
(4 | ) | Total Revenues | 6,976 | 557 | 5,151 | (904 | ) | 11,780 | ||||||||||||||||
Expenses | ||||||||||||||||||||||||
(5 | ) | Fuel | 173 | — | 1,660 | — | 1,833 | |||||||||||||||||
(6 | ) | Purchased power | 2,987 | — | 1,064 | (684 | ) | 3,367 | ||||||||||||||||
(7 | ) | Other operating expenses | 1,363 | 99 | 1,387 | (252 | ) | 2,597 | ||||||||||||||||
(9 | ) | Provision for depreciation | 421 | 85 | 303 | 25 | 834 | |||||||||||||||||
(10 | ) | Amortization of regulatory assets, net | 197 | 1 | — | — | 198 | |||||||||||||||||
(11 | ) | General taxes | 543 | 33 | 161 | 23 | 760 | |||||||||||||||||
(12 | ) | Total Expenses | 5,684 | 218 | 4,575 | (888 | ) | 9,589 | ||||||||||||||||
(13 | ) | Operating Income | 1,292 | 339 | 576 | (16 | ) | 2,191 | ||||||||||||||||
Other Income (Expense) | ||||||||||||||||||||||||
(14 | ) | Investment income | 62 | 1 | 48 | (48 | ) | 63 | ||||||||||||||||
(15 | ) | Interest expense | (405 | ) | (70 | ) | (209 | ) | (66 | ) | (750 | ) | ||||||||||||
(16 | ) | Capitalized interest | 9 | 2 | 34 | 9 | 54 | |||||||||||||||||
(17 | ) | Total Other Expense | (334 | ) | (67 | ) | (127 | ) | (105 | ) | (633 | ) | ||||||||||||
(18 | ) | Income From Continuing Operations Before Income Taxes | 958 | 272 | 449 | (121 | ) | 1,558 | ||||||||||||||||
(19 | ) | Income taxes | 355 | 101 | 165 | 29 | 650 | |||||||||||||||||
(20 | ) | Income From Continuing Operations | 603 | 171 | 284 | (150 | ) | 908 | ||||||||||||||||
(21 | ) | Discontinued operations (net of income taxes) | — | — | 11 | — | 11 | |||||||||||||||||
(22 | ) | Net Income | 603 | 171 | 295 | (150 | ) | 919 | ||||||||||||||||
(23 | ) | Income attributable to noncontrolling interest | — | — | — | 1 | 1 | |||||||||||||||||
(24 | ) | Earnings Available to FirstEnergy Corp. | $ | 603 | $ | 171 | $ | 295 | $ | (151 | ) | $ | 918 | |||||||||||
(a) | Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs. | |||||||||||||||||||||||
(b) | Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads. | |||||||||||||||||||||||
(c) | Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland. | |||||||||||||||||||||||
(d) | Consists primarily of interest expense related to holding company debt, corporate support services revenues and expenses and elimination of intersegment transactions. | |||||||||||||||||||||||
Nine Months Ended September 30, 2013 vs. Nine Months Ended September 30, 2012 | ||||||||||||||||||||||||
Competitive | Other & | |||||||||||||||||||||||
Regulated | Regulated | Energy | Reconciling | FirstEnergy | ||||||||||||||||||||
Distribution (a) | Transmission (b) | Services (c) | Adjustments (d) | Consolidated | ||||||||||||||||||||
Revenues | ||||||||||||||||||||||||
(1 | ) | Electric sales | $ | (404 | ) | $ | (11 | ) | $ | (151 | ) | $ | 38 | $ | (528 | ) | ||||||||
(2 | ) | Other | 21 | — | 36 | (37 | ) | 20 | ||||||||||||||||
(3 | ) | Internal revenues | — | — | (98 | ) | 96 | (2 | ) | |||||||||||||||
(4 | ) | Total Revenues | (383 | ) | (11 | ) | (213 | ) | 97 | (510 | ) | |||||||||||||
Expenses | ||||||||||||||||||||||||
(5 | ) | Fuel | 77 | — | 5 | — | 82 | |||||||||||||||||
(6 | ) | Purchased power | (440 | ) | — | (91 | ) | 96 | (435 | ) | ||||||||||||||
(7 | ) | Other operating expenses | (89 | ) | (1 | ) | 130 | 8 | 48 | |||||||||||||||
(9 | ) | Provision for depreciation | 25 | (1 | ) | 44 | 7 | 75 | ||||||||||||||||
(10 | ) | Amortization of regulatory assets, net | 239 | 6 | — | — | 245 | |||||||||||||||||
(11 | ) | General taxes | (16 | ) | 8 | (3 | ) | (2 | ) | (13 | ) | |||||||||||||
(12 | ) | Impairment of long-lived assets | — | — | 473 | — | 473 | |||||||||||||||||
(13 | ) | Total Expenses | (204 | ) | 12 | 558 | 109 | 475 | ||||||||||||||||
(14 | ) | Operating Income (Loss) | (179 | ) | (23 | ) | (771 | ) | (12 | ) | (985 | ) | ||||||||||||
Other Income (Expense) | ||||||||||||||||||||||||
(15 | ) | Gain (loss) on debt redemptions | — | — | (149 | ) | 17 | (132 | ) | |||||||||||||||
(16 | ) | Investment income (loss) | (21 | ) | (1 | ) | (54 | ) | 21 | (55 | ) | |||||||||||||
(17 | ) | Interest expense | 1 | 2 | 22 | (46 | ) | (21 | ) | |||||||||||||||
(18 | ) | Capitalized interest | (1 | ) | (1 | ) | (3 | ) | 2 | (3 | ) | |||||||||||||
(19 | ) | Total Other Income (Expense) | (21 | ) | — | (184 | ) | (6 | ) | (211 | ) | |||||||||||||
(20 | ) | Income (Loss) From Continuing Operations Before Income Taxes | (200 | ) | (23 | ) | (955 | ) | (18 | ) | (1,196 | ) | ||||||||||||
(21 | ) | Income taxes (benefits) | (71 | ) | (8 | ) | (354 | ) | (88 | ) | (521 | ) | ||||||||||||
(22 | ) | Income (Loss) From Continuing Operations | (129 | ) | (15 | ) | (601 | ) | 70 | (675 | ) | |||||||||||||
(23 | ) | Discontinued operations (net of income tax benefits) | — | — | 6 | — | 6 | |||||||||||||||||
(24 | ) | Net Income (Loss) | (129 | ) | (15 | ) | (595 | ) | 70 | (669 | ) | |||||||||||||
(25 | ) | Income (loss) attributable to noncontrolling interest | — | — | — | (1 | ) | (1 | ) | |||||||||||||||
(26 | ) | Earnings (Loss) Available to FirstEnergy Corp. | $ | (129 | ) | $ | (15 | ) | $ | (595 | ) | $ | 71 | $ | (668 | ) | ||||||||
(a) | Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs. | |||||||||||||||||||||||
(b) | Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads. | |||||||||||||||||||||||
(c) | Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland. | |||||||||||||||||||||||
(d) | Consists primarily of interest expense related to holding company debt, corporate support services revenues and expenses and elimination of intersegment transactions. | |||||||||||||||||||||||
Condensed Consolidated Balance Sheets | |||||||||||
As of | As of | ||||||||||
Assets | Sept. 30, 2013 | Dec. 31, 2012 | |||||||||
Current Assets: | |||||||||||
Cash and cash equivalents | $ | 222 | $ | 172 | |||||||
Receivables | 1,810 | 1,929 | |||||||||
Other | 1,527 | 1,667 | |||||||||
Total Current Assets | 3,559 | 3,768 | |||||||||
Property, Plant and Equipment | 33,223 | 32,903 | |||||||||
Investments | 3,105 | 3,194 | |||||||||
Assets Held for Sale | 234 | — | |||||||||
Deferred Charges and Other Assets | 10,262 | 10,541 | |||||||||
Total Assets | $ | 50,383 | $ | 50,406 | |||||||
Liabilities and Capitalization | |||||||||||
Current Liabilities: | |||||||||||
Currently payable long-term debt | $ | 1,889 | $ | 1,999 | |||||||
Short-term borrowings | 3,404 | 1,969 | |||||||||
Accounts payable | 995 | 1,599 | |||||||||
Other | 1,667 | 2,038 | |||||||||
Total Current Liabilities | 7,955 | 7,605 | |||||||||
Capitalization: | |||||||||||
Total equity | 12,547 | 13,093 | |||||||||
Long-term debt and other long-term obligations | 15,291 | 15,179 | |||||||||
Total Capitalization | 27,838 | 28,272 | |||||||||
Noncurrent Liabilities | 14,590 | 14,529 | |||||||||
Total Liabilities and Capitalization | $ | 50,383 | $ | 50,406 | |||||||
General Information | ||||||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
Debt redemptions | $ | (694 | ) | $ | (124 | ) | $ | (2,662 | ) | $ | (870 | ) | ||||||
New long-term debt issues | $ | 500 | $ | 478 | $ | 2,745 | $ | 660 | ||||||||||
Short-term borrowings increase (decrease) | $ | 150 | $ | (286 | ) | $ | 1,435 | $ | 1,604 | |||||||||
Property additions | $ | 548 | $ | 775 | $ | 1,960 | $ | 1,686 | ||||||||||
Debt to Total Capitalization Ratio as Defined Under our Credit Facilities | ||||||||||||||||
As of September 30 | As of December 31 | |||||||||||||||
2013 | % Total | 2012 | % Total | |||||||||||||
Total Equity (GAAP) | $ | 12,547 | 37 | % | $ | 13,093 | 41 | % | ||||||||
Non-cash Charges / Non-cash Write Downs* | 1,412 | 4 | % | — | — | % | ||||||||||
Accumulated Other Comprehensive Income | (299 | ) | (1 | )% | (385 | ) | (1 | )% | ||||||||
Adjusted Equity | 13,660 | 40 | % | 12,708 | 40 | % | ||||||||||
Long-term Debt and Other Long-term Obligations (GAAP) | 15,291 | 45 | % | 15,179 | 47 | % | ||||||||||
Currently Payable Long-term Debt (GAAP) | 1,889 | 6 | % | 1,999 | 6 | % | ||||||||||
Short-term Borrowings (GAAP) | 3,404 | 10 | % | 1,969 | 6 | % | ||||||||||
Reimbursement Obligations | 7 | — | % | 31 | — | % | ||||||||||
Guarantees of Indebtedness | 846 | 2 | % | 816 | 3 | % | ||||||||||
Less Securitization Debt | (1,135 | ) | (3 | )% | (736 | ) | (2 | )% | ||||||||
Adjusted Debt | 20,302 | 60 | % | 19,258 | 60 | % | ||||||||||
Adjusted Capitalization | $ | 33,962 | 100 | % | $ | 31,966 | 100 | % | ||||||||
*Includes after-tax non-cash charges and non-cash write downs as permitted by the amendment to the FirstEnergy Credit Agreement dated October 31, 2013. | ||||||||||||||||
Condensed Consolidated Statements of Cash Flows | ||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||
September 30 | September 30 | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
Cash flows from operating activities | ||||||||||||||||||
Net income | $ | 218 | $ | 425 | $ | 250 | $ | 919 | ||||||||||
Adjustments to reconcile net income to net cash from operating activities: | ||||||||||||||||||
Depreciation and deferral / amortization of regulatory assets, net | 628 | 333 | 1,352 | 1,032 | ||||||||||||||
Nuclear fuel amortization | 58 | 50 | 156 | 156 | ||||||||||||||
Deferred purchased power and other costs | (22 | ) | (65 | ) | (61 | ) | (214 | ) | ||||||||||
Deferred income taxes and investment tax credits, net | (5 | ) | 289 | 114 | 712 | |||||||||||||
Impairments of long-lived assets | — | — | 473 | — | ||||||||||||||
Investment impairments | 21 | 3 | 74 | 10 | ||||||||||||||
Deferred rents and lease market valuation liability | 37 | 44 | (22 | ) | (62 | ) | ||||||||||||
Retirement benefits | (29 | ) | (33 | ) | (133 | ) | (97 | ) | ||||||||||
Gain on asset sales | (18 | ) | — | (21 | ) | (17 | ) | |||||||||||
Commodity derivative transactions, net | 3 | 6 | 24 | (80 | ) | |||||||||||||
Pension trust contribution | — | — | — | (600 | ) | |||||||||||||
Cash collateral, net | (25 | ) | (25 | ) | (67 | ) | (3 | ) | ||||||||||
Loss (gain) on debt redemptions | (9 | ) | — | 132 | — | |||||||||||||
Make-whole premiums paid on debt redemptions | (120 | ) | — | (181 | ) | — | ||||||||||||
Income from discontinued operations | (9 | ) | (3 | ) | (17 | ) | (11 | ) | ||||||||||
Change in working capital and other | 450 | 190 | (402 | ) | (469 | ) | ||||||||||||
Cash flows provided from operating activities | 1,178 | 1,214 | 1,671 | 1,276 | ||||||||||||||
Cash flows provided from (used for) financing activities | (322 | ) | (169 | ) | 654 | 662 | ||||||||||||
Cash flows used for investing activities | (705 | ) | (989 | ) | (2,275 | ) | (1,990 | ) | ||||||||||
Net change in cash and cash equivalents | $ | 151 | $ | 56 | $ | 50 | $ | (52 | ) | |||||||||
Liquidity position as of October 31, 2013 | ||||||||||
Company | Type | Maturity | Amount | Available | ||||||
FirstEnergy(1) | Revolving | May 2018 | $2,500 | $294 | ||||||
FES / AE Supply | Revolving | May 2018 | 2,500 | 2,499 | ||||||
FirstEnergy Transmission, LLC (FET)(2) | Revolving | May 2018 | 1,000 | — | ||||||
Allegheny Generating Company (AGC) | Revolving | Dec. 2013 | 50 | 45 | ||||||
(1) FirstEnergy Corp. and subsidiary borrowers | Subtotal: | $6,050 | $2,838 | |||||||
(2) Includes FET, American Transmission Systems, Incorporated (ATSI), and Trans-Allegheny Interstate Line Company, (TrAIL) | Cash: | — | 119 | |||||||
Total: | $6,050 | $2,957 | ||||||||
Electric Distribution Deliveries | Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||||||
(MWH in thousand) | 2013 | 2012 | Change | 2013 | 2012 | Change | |||||||||||||||
Ohio | - Residential | 4,440 | 4,954 | -10.4 | % | 12,894 | 13,353 | -3.4 | % | ||||||||||||
- Commercial | 4,041 | 4,148 | -2.6 | % | 11,457 | 11,723 | -2.3 | % | |||||||||||||
- Industrial | 5,328 | 5,177 | 2.9 | % | 15,642 | 15,605 | 0.2 | % | |||||||||||||
- Other | 84 | 85 | -1.2 | % | 247 | 251 | -1.6 | % | |||||||||||||
Total Ohio | 13,893 | 14,364 | -3.3 | % | 40,240 | 40,932 | -1.7 | % | |||||||||||||
Pennsylvania | - Residential | 4,529 | 4,865 | -6.9 | % | 14,226 | 13,949 | 2.0 | % | ||||||||||||
- Commercial | 3,339 | 3,300 | 1.2 | % | 9,512 | 9,530 | -0.2 | % | |||||||||||||
- Industrial | 5,112 | 5,001 | 2.2 | % | 15,327 | 15,359 | -0.2 | % | |||||||||||||
- Other | 30 | 26 | 15.4 | % | 91 | 92 | -1.1 | % | |||||||||||||
Total Pennsylvania | 13,010 | 13,192 | -1.4 | % | 39,156 | 38,930 | 0.6 | % | |||||||||||||
New Jersey | - Residential | 2,993 | 3,126 | -4.3 | % | 7,386 | 7,414 | -0.4 | % | ||||||||||||
- Commercial | 2,491 | 2,482 | 0.4 | % | 6,833 | 6,865 | -0.5 | % | |||||||||||||
- Industrial | 594 | 563 | 5.5 | % | 1,753 | 1,819 | -3.6 | % | |||||||||||||
- Other | 22 | 22 | 0.0 | % | 65 | 66 | -1.5 | % | |||||||||||||
Total New Jersey | 6,100 | 6,193 | -1.5 | % | 16,037 | 16,164 | -0.8 | % | |||||||||||||
Maryland | - Residential | 754 | 771 | -2.2 | % | 2,456 | 2,322 | 5.8 | % | ||||||||||||
- Commercial | 545 | 563 | -3.2 | % | 1,565 | 1,561 | 0.3 | % | |||||||||||||
- Industrial | 400 | 428 | -6.5 | % | 1,206 | 1,231 | -2.0 | % | |||||||||||||
- Other | 4 | 5 | -20.0 | % | 12 | 13 | -7.7 | % | |||||||||||||
Total Maryland | 1,703 | 1,767 | -3.6 | % | 5,239 | 5,127 | 2.2 | % | |||||||||||||
West Virginia | - Residential | 1,195 | 1,292 | -7.5 | % | 4,034 | 3,896 | 3.5 | % | ||||||||||||
- Commercial | 952 | 943 | 1.0 | % | 2,691 | 2,705 | -0.5 | % | |||||||||||||
- Industrial | 1,298 | 1,216 | 6.7 | % | 3,923 | 3,726 | 5.3 | % | |||||||||||||
- Other | 7 | 8 | -12.5 | % | 21 | 22 | -4.5 | % | |||||||||||||
Total West Virginia | 3,452 | 3,459 | -0.2 | % | 10,669 | 10,349 | 3.1 | % | |||||||||||||
Total Residential | 13,911 | 15,008 | -7.3 | % | 40,996 | 40,934 | 0.2 | % | |||||||||||||
Total Commercial | 11,368 | 11,436 | -0.6 | % | 32,058 | 32,384 | -1.0 | % | |||||||||||||
Total Industrial | 12,732 | 12,385 | 2.8 | % | 37,851 | 37,740 | 0.3 | % | |||||||||||||
Total Other | 147 | 146 | 0.7 | % | 436 | 444 | -1.8 | % | |||||||||||||
Total Distribution Deliveries | 38,158 | 38,975 | -2.1 | % | 111,341 | 111,502 | -0.1 | % | |||||||||||||
Weather | Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||||||
2013 | 2012 | Normal | 2013 | 2012 | Normal | ||||||||||||||||
Composite Heating-Degree-Days | 97 | 98 | 79 | 3,517 | 2,793 | 3,465 | |||||||||||||||
Composite Cooling-Degree-Days | 643 | 786 | 664 | 932 | 1,130 | 925 | |||||||||||||||
Shopping Statistics (Based Upon MWH) | Three Months Ended September 30 | Nine Months Ended September 30 | ||||||||
2013 | 2012 | 2013 | 2012 | |||||||
OE | 80% | 77% | 79% | 76% | ||||||
Penn | 66% | 63% | 66% | 64% | ||||||
CEI | 86% | 85% | 86% | 85% | ||||||
TE | 78% | 75% | 77% | 75% | ||||||
JCP&L | 50% | 47% | 52% | 49% | ||||||
Met-Ed | 68% | 62% | 66% | 60% | ||||||
Penelec | 71% | 67% | 70% | 66% | ||||||
MP | N/A | N/A | N/A | N/A | ||||||
PE(1) | 49% | 47% | 47% | 46% | ||||||
WP | 64% | 59% | 62% | 58% | ||||||
(1) Represents Maryland only. | ||||||||||
Competitive Operating Statistics | Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||
2013 | 2012 | 2013 | 2012 | ||||||||
Ongoing Generation Capacity Factors: | |||||||||||
Nuclear | 93% | 96% | 87% | 91% | |||||||
Fossil - Baseload | 76% | 67% | 75% | 68% | |||||||
Fossil - Load Following | 53% | 43% | 56% | 39% | |||||||
Ongoing Generation Fuel Rate: | |||||||||||
Nuclear | $7.76 | $7.45 | $7.79 | $7.53 | |||||||
Fossil | $27 | $28 | $27 | $28 | |||||||
Total Fleet | $21 | $20 | $21 | $21 | |||||||
Ongoing Generation Output Mix: | |||||||||||
Nuclear | 33% | 36% | 32% | 35% | |||||||
Fossil - Baseload | 54% | 51% | 55% | 53% | |||||||
Fossil - Load Following | 7% | 6% | 8% | 7% | |||||||
Peaking/CT/Hydro | 6% | 7% | 5% | 5% | |||||||
Competitive Energy Services - Sources and Uses (MWH in thousands) | ||||||||||||||||||||||
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||||||||
Contract Sales | 2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||||||||
POLR | ||||||||||||||||||||||
- OH | 1,229 | 1,354 | (125 | ) | 3,527 | 4,749 | (1,222 | ) | ||||||||||||||
- PA | 2,217 | 2,308 | (91 | ) | 6,312 | 7,174 | (862 | ) | ||||||||||||||
- MD | 556 | 752 | (196 | ) | 2,099 | 2,233 | (134 | ) | ||||||||||||||
Total POLR | 4,002 | 4,414 | (412 | ) | 11,938 | 14,156 | (2,218 | ) | ||||||||||||||
Structured Sales | ||||||||||||||||||||||
- Bilaterals | 1,634 | 821 | 813 | 4,352 | 2,223 | 2,129 | ||||||||||||||||
- Muni/Co-op | 722 | 483 | 239 | 2,426 | 1,361 | 1,065 | ||||||||||||||||
Total Structured Sales | 2,356 | 1,304 | 1,052 | 6,778 | 3,584 | 3,194 | ||||||||||||||||
Direct - LCI | ||||||||||||||||||||||
- OH | 7,886 | 7,398 | 488 | 22,456 | 20,899 | 1,557 | ||||||||||||||||
- PA | 3,680 | 3,976 | (296 | ) | 11,187 | 11,946 | (759 | ) | ||||||||||||||
- NJ | 353 | 285 | 68 | 809 | 942 | (133 | ) | |||||||||||||||
- MI | 774 | 627 | 147 | 2,224 | 1,757 | 467 | ||||||||||||||||
- IL | 683 | 891 | (208 | ) | 1,845 | 2,385 | (540 | ) | ||||||||||||||
- MD | 226 | 274 | (48 | ) | 625 | 590 | 35 | |||||||||||||||
Total Direct - LCI | 13,602 | 13,451 | 151 | 39,146 | 38,519 | 627 | ||||||||||||||||
Direct - MCI | ||||||||||||||||||||||
- OH | 656 | 564 | 92 | 1,899 | 1,718 | 181 | ||||||||||||||||
- PA | 396 | 284 | 112 | 1,112 | 778 | 334 | ||||||||||||||||
- IL | 69 | 12 | 57 | 175 | 13 | 162 | ||||||||||||||||
- MD | 1 | 1 | — | 2 | 1 | 1 | ||||||||||||||||
- NJ | 1 | — | 1 | 13 | — | 13 | ||||||||||||||||
Total Direct - MCI | 1,123 | 861 | 262 | 3,201 | 2,510 | 691 | ||||||||||||||||
Aggregation | ||||||||||||||||||||||
- OH | 4,046 | 4,851 | (805 | ) | 11,848 | 12,400 | (552 | ) | ||||||||||||||
- IL | 1,767 | 378 | 1,389 | 4,127 | 433 | 3,694 | ||||||||||||||||
Total Aggregation | 5,813 | 5,229 | 584 | 15,975 | 12,833 | 3,142 | ||||||||||||||||
Mass Market | ||||||||||||||||||||||
- OH | 508 | 448 | 60 | 1,451 | 1,095 | 356 | ||||||||||||||||
- PA | 1,176 | 1,056 | 120 | 3,377 | 2,715 | 662 | ||||||||||||||||
- IL | 58 | 15 | 43 | 110 | 24 | 86 | ||||||||||||||||
- MD | 32 | 20 | 12 | 107 | 31 | 76 | ||||||||||||||||
Total Mass Market | 1,774 | 1,539 | 235 | 5,045 | 3,865 | 1,180 | ||||||||||||||||
Total Contract Sales | 28,670 | 26,798 | 1,872 | 82,083 | 75,467 | 6,616 | ||||||||||||||||
Wholesale Sales* | ||||||||||||||||||||||
- Spot | 541 | 728 | (187 | ) | 1,373 | 3,494 | (2,121 | ) | ||||||||||||||
Total Wholesale Sales | 541 | 728 | (187 | ) | 1,373 | 3,494 | (2,121 | ) | ||||||||||||||
Purchased Power* | ||||||||||||||||||||||
- Bilaterals | 376 | 317 | 59 | 1,479 | 1,245 | 234 | ||||||||||||||||
- Spot | 4,701 | 3,303 | 1,398 | 12,619 | 7,626 | 4,993 | ||||||||||||||||
Total Purchased Power | 5,077 | 3,620 | 1,457 | 14,098 | 8,871 | 5,227 | ||||||||||||||||
Generation Output | ||||||||||||||||||||||
- Ongoing Fossil | 16,912 | 15,237 | 1,675 | 49,527 | 44,409 | 5,118 | ||||||||||||||||
- Nuclear | 8,300 | 8,418 | (118 | ) | 22,896 | 23,785 | (889 | ) | ||||||||||||||
Total Ongoing Generation Output | 25,212 | 23,655 | 1,557 | 72,423 | 68,194 | 4,229 | ||||||||||||||||
- Deactivated / RMR Fossil | 246 | 1,693 | (1,447 | ) | 950 | 5,441 | (4,491 | ) | ||||||||||||||
Total Generation Output | 25,458 | 25,348 | 110 | 73,373 | 73,635 | (262 | ) | |||||||||||||||
*Actual MWH - includes deactivated and RMR coal plants | ||||||||||||||||||||||
Competitive | |||||||||||||||||||||||
Regulated | Regulated | Energy | |||||||||||||||||||||
Special Items - Three Months Ended September 30, 2013 | Distribution | Transmission | Services | Other | Consolidated | ||||||||||||||||||
GAAP Earnings Available to FirstEnergy Corp. | $ | 85 | $ | 54 | $ | 77 | $ | 2 | $ | 218 | |||||||||||||
Pre-Tax Items: | |||||||||||||||||||||||
Regulatory charges (a) | 264 | — | (11 | ) | — | 253 | |||||||||||||||||
Trust securities impairment (b) | 1 | — | 21 | — | 22 | ||||||||||||||||||
Impact of non-core asset sales/impairments (b) | — | — | 3 | — | 3 | ||||||||||||||||||
Mark-to-market adjustments (c) | — | — | (5 | ) | — | (5 | ) | ||||||||||||||||
Merger accounting - commodity contracts (d) | — | — | 11 | — | 11 | ||||||||||||||||||
Restructuring | 1 | — | 1 | — | 2 | ||||||||||||||||||
Plant deactivation costs (e) | 1 | — | 14 | — | 15 | ||||||||||||||||||
Gain on debt redemptions (f) | — | — | — | (9 | ) | (9 | ) | ||||||||||||||||
Subtotal | 267 | — | 34 | (9 | ) | 292 | |||||||||||||||||
Income taxes | (100 | ) | — | (13 | ) | (7 | ) | (120 | ) | ||||||||||||||
After-Tax Effect | 167 | — | 21 | (16 | ) | 172 | |||||||||||||||||
Operating Earnings Available to FirstEnergy Corp. | $ | 252 | $ | 54 | $ | 98 | $ | (14 | ) | $ | 390 | ||||||||||||
(a) | ($3) million included in "Other operating expenses"; $1 million included in Revenues; $254 million included in "Amortization of regulatory assets, net"; $1 million included in "Purchased power". | ||||||||||||||||||||||
(b) | Included in "Investment income". | ||||||||||||||||||||||
(c) | Included in "Other operating expenses". | ||||||||||||||||||||||
(d) | $1 million included in "Revenues", $11 million included in "Fuel", ($1) million included in "Other operating expenses". | ||||||||||||||||||||||
(e) | ($17) million included in "Revenues", $25 million included in "Fuel", ($5) million included in "Other operating expenses"; $1 million included in "General Taxes", $11 million included in "Depreciation". | ||||||||||||||||||||||
(f) | Included in "Gain (Loss) on debt redemptions". | ||||||||||||||||||||||
* | Included in GAAP but excluded from Operating earnings. |
Competitive | |||||||||||||||||||||||
Regulated | Regulated | Energy | |||||||||||||||||||||
Special Items - Three Months Ended September 30, 2012 | Distribution | Transmission | Services | Other | Consolidated | ||||||||||||||||||
GAAP Earnings Available to FirstEnergy Corp. | $ | 286 | $ | 59 | $ | 129 | $ | (49 | ) | $ | 425 | ||||||||||||
Pre-Tax Items: | |||||||||||||||||||||||
Regulatory charges (a) | 21 | — | — | — | 21 | ||||||||||||||||||
Trust securities impairment (b) | — | — | 2 | — | 2 | ||||||||||||||||||
Merger transaction/integration costs (c) | 1 | — | — | — | 1 | ||||||||||||||||||
Impact of non-core asset sales/impairments (d) | — | — | 2 | — | 2 | ||||||||||||||||||
Mark-to-market adjustments (e) | — | — | (4 | ) | (20 | ) | (24 | ) | |||||||||||||||
Merger accounting - commodity contracts (f) | 2 | — | 17 | — | 19 | ||||||||||||||||||
Debt redemption costs (c) | — | — | 1 | — | 1 | ||||||||||||||||||
Restructuring (g) | — | — | 1 | — | 1 | ||||||||||||||||||
Plant deactivation costs (h) | 5 | — | 19 | — | 24 | ||||||||||||||||||
Subtotal | 29 | — | 38 | (20 | ) | 47 | |||||||||||||||||
Income tax legislative changes | — | — | — | 9 | 9 | ||||||||||||||||||
Income taxes | (11 | ) | — | (14 | ) | 7 | (18 | ) | |||||||||||||||
After-Tax Effect | 18 | — | 24 | (4 | ) | 38 | |||||||||||||||||
Operating Earnings Available to FirstEnergy Corp. | $ | 304 | $ | 59 | $ | 153 | $ | (53 | ) | $ | 463 | ||||||||||||
(a) | $19 million included in "Other operating expenses"; $2 million included in "Revenues". | ||||||||||||||||||||||
(b) | Included in "Investment income". | ||||||||||||||||||||||
(c) | Included in "Other operating expenses". | ||||||||||||||||||||||
(d) | $2 million included in "Investment income". | ||||||||||||||||||||||
(e) | ($20) million included in "Interest Expense"; ($4) million in "Other operating expenses". | ||||||||||||||||||||||
(f) | $8 million included in "Revenues", $11 million included in "Fuel", $2 million included in Purchased Power; ($2) million included in "Other operating expenses". | ||||||||||||||||||||||
(g) | Included in "Interest expense". | ||||||||||||||||||||||
(h) | ($8) million included in "Revenues", $63 million included in "Fuel", ($56) million included in Purchased Power, $24 million included in "Other operating expenses"; and $1 million included in General Taxes. | ||||||||||||||||||||||
* | Included in GAAP but excluded from Operating earnings. |
Competitive | |||||||||||||||||||||||
Regulated | Regulated | Energy | |||||||||||||||||||||
Special Items - Nine Months Ended September 30, 2013 | Distribution | Transmission | Services | Other | Consolidated | ||||||||||||||||||
GAAP Earnings (Loss) Available to FirstEnergy Corp. | $ | 474 | $ | 156 | $ | (300 | ) | $ | (80 | ) | $ | 250 | |||||||||||
Pre-Tax Items: | |||||||||||||||||||||||
Regulatory charges (a) | 287 | — | 10 | — | 297 | ||||||||||||||||||
Trust securities impairment (b) | 8 | — | 51 | — | 59 | ||||||||||||||||||
Merger transaction/integration costs (c) | — | — | 1 | — | 1 | ||||||||||||||||||
Impact of non-core asset sales/impairments (b) | — | — | 7 | — | 7 | ||||||||||||||||||
Mark-to-market adjustments (d) | (2 | ) | — | (1 | ) | — | (3 | ) | |||||||||||||||
Merger accounting - commodity contracts (e) | — | — | 45 | — | 45 | ||||||||||||||||||
Restructuring | 2 | — | 1 | — | 3 | ||||||||||||||||||
Plant deactivation costs (f) | 4 | — | 558 | — | 562 | ||||||||||||||||||
(Gain) loss on debt redemptions (g) | — | — | 152 | (17 | ) | 135 | |||||||||||||||||
Subtotal | 299 | — | 824 | (17 | ) | 1,106 | |||||||||||||||||
Income taxes (h) | (112 | ) | — | (309 | ) | 19 | (402 | ) | |||||||||||||||
After-Tax Effect | 187 | — | 515 | 2 | 704 | ||||||||||||||||||
Operating Earnings Available to FirstEnergy Corp. | $ | 661 | $ | 156 | $ | 215 | $ | (78 | ) | $ | 954 | ||||||||||||
(a) | $35 million included in "Other operating expenses"; $3 million included in Revenues; $255 million included in "Amortization of regulatory assets, net"; $4 million included in "Purchased power". | ||||||||||||||||||||||
(b) | Included in "Investment income". | ||||||||||||||||||||||
(c) | Included in "Fuel". | ||||||||||||||||||||||
(d) | Included in "Other operating expenses". | ||||||||||||||||||||||
(e) | $14 million included in "Revenues", $35 million included in "Fuel", ($4) million included in "Other operating expenses". | ||||||||||||||||||||||
(f) | ($17) million included in "Revenue", $78 million included in "Fuel", $12 million included in "Other operating expenses"; $5 million included in "General Taxes", $11 million included in "Depreciation", $473 million included in "Impairment of long-lived assets". | ||||||||||||||||||||||
(g) | $132 million included in "Gain (Loss) on debt redemptions", $3 million included in "Interest expense". | ||||||||||||||||||||||
(h) | Includes $20 million associated with valuation reserves against net operating loss carryforwards as a result of plant deactivations. | ||||||||||||||||||||||
* | Included in GAAP but excluded from Operating earnings. |
Competitive | |||||||||||||||||||||||
Regulated | Regulated | Energy | |||||||||||||||||||||
Special Items - Nine Months Ended September 30, 2012 | Distribution | Transmission | Services | Other | Consolidated | ||||||||||||||||||
GAAP Earnings Available to FirstEnergy Corp. | $ | 603 | $ | 171 | $ | 295 | $ | (151 | ) | $ | 918 | ||||||||||||
Pre-Tax Items: | |||||||||||||||||||||||
Regulatory charges (a) | 38 | — | — | — | 38 | ||||||||||||||||||
Trust securities impairment (b) | 1 | — | 8 | — | 9 | ||||||||||||||||||
Merger transaction/integration costs (c) | 3 | — | 3 | — | 6 | ||||||||||||||||||
Impact of non-core asset sales/impairments (d) | — | — | (5 | ) | 1 | (4 | ) | ||||||||||||||||
Mark-to-market adjustments (c) | — | — | (52 | ) | — | (52 | ) | ||||||||||||||||
Merger accounting - commodity contracts (e) | 6 | — | 64 | — | 70 | ||||||||||||||||||
Debt redemption costs (f) | — | — | 2 | — | 2 | ||||||||||||||||||
Restructuring (c) | — | — | 1 | — | 1 | ||||||||||||||||||
Plant deactivation costs (g) | 16 | — | 91 | — | 107 | ||||||||||||||||||
Subtotal | 64 | — | 112 | 1 | 177 | ||||||||||||||||||
Income tax legislative changes | — | — | — | 25 | 25 | ||||||||||||||||||
Income taxes | (24 | ) | — | (41 | ) | 1 | (64 | ) | |||||||||||||||
After-Tax Effect | 40 | — | 71 | 27 | 138 | ||||||||||||||||||
Operating Earnings Available to FirstEnergy Corp. | $ | 643 | $ | 171 | $ | 366 | $ | (124 | ) | $ | 1,056 | ||||||||||||
(a) | $34 million included in "Other operating expenses"; $2 million included in Revenues; $2 million included in "Amortization of regulatory assets, net". | ||||||||||||||||||||||
(b) | Included in "Investment income". | ||||||||||||||||||||||
(c) | Included in "Other operating expenses". | ||||||||||||||||||||||
(d) | ($17) million included in "Revenues", $13 million included in "Investment income". | ||||||||||||||||||||||
(e) | $35 million included in "Revenues", $31 million included in "Fuel", $6 million included in Purchased Power; $(2) million included in "Other operating expenses". | ||||||||||||||||||||||
(f) | Included in "Interest expense". | ||||||||||||||||||||||
(g) | ($9) million included in "Revenues", $199 million included in "Fuel", ($154) million included in Purchased Power, $64 million included in "Other operating expenses"; and $8 million included in General Taxes. | ||||||||||||||||||||||
* | Included in GAAP but excluded from Operating earnings. |
Earnings Per Share (EPS) | |||||||||||||||||||||
(Reconciliation of GAAP to Operating Earnings) | |||||||||||||||||||||
Three Months Ended | Nine Months Ended | Estimate | |||||||||||||||||||
September 30 | September 30 | for Year | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | |||||||||||||||||
Basic EPS - GAAP | $ | 0.52 | $ | 1.02 | $ | 0.60 | $ | 2.20 | $0.78 - $1.13 | ||||||||||||
Excluding Special Items: | |||||||||||||||||||||
Mark-to-market adjustments - | |||||||||||||||||||||
Pension/OPEB actuarial assumptions | — | — | — | — | (0.07) - (0.22) | ||||||||||||||||
Other | (0.01 | ) | (0.03 | ) | — | (0.08 | ) | — | |||||||||||||
Regulatory charges | 0.36 | 0.03 | 0.42 | 0.06 | 0.44 | ||||||||||||||||
Trust securities impairment | 0.03 | — | 0.09 | 0.01 | 0.09 | ||||||||||||||||
Income tax legislative changes | — | 0.02 | — | 0.06 | — | ||||||||||||||||
Merger transaction/integration costs | — | — | — | 0.02 | — | ||||||||||||||||
Impact of non-core asset sales/impairments | — | — | 0.01 | — | (0.21) | ||||||||||||||||
Plant deactivation costs | 0.02 | 0.04 | 0.89 | 0.16 | 1.03 | ||||||||||||||||
Restructuring costs | 0.01 | — | 0.01 | — | 0.01 | ||||||||||||||||
Merger accounting - commodity contracts | 0.02 | 0.03 | 0.07 | 0.10 | 0.09 | ||||||||||||||||
WV asset transfer charges | — | — | — | — | 0.54 | ||||||||||||||||
(Gain) loss on debt redemptions | (0.01 | ) | — | 0.20 | — | 0.20 | |||||||||||||||
Basic EPS - Operating | $ | 0.94 | $ | 1.11 | $ | 2.29 | $ | 2.53 | $2.90 - $3.10 | ||||||||||||