XML 122 R23.htm IDEA: XBRL DOCUMENT v2.4.1.9
Intangible Assets
 12 Months Ended
Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Abstract]  
INTANGIBLE ASSETS
INTANGIBLE ASSETS

As of December 31, 2014, intangible assets classified in Other Deferred Charges on FirstEnergy’s Consolidated Balance Sheet, include the following:
 
 
Intangible Assets
 
Amortization Expense
 
 
 
 
 
 
 
 
Actual
 
Estimated
(In millions)
 
Gross
 
Accumulated Amortization
 
Net
 
2014
 
2015
 
2016
 
2017
 
2018
 
2019
 
Thereafter
NUG contracts(1)
 
$
124

 
$
20

 
$
104

 
$
5

 
$
5

 
$
5

 
$
5

 
$
5

 
$
5

 
$
79

OVEC
 
54

 
7

 
47

 
2

 
2

 
2

 
2

 
2

 
2

 
37

Coal contracts(2)(3)
 
556

 
289

 
267

 
55

 
51

 
51

 
45

 
30

 
30

 
19

FES customer contracts
 
148

 
70

 
78

 
18

 
17

 
17

 
16

 
14

 
13

 
1

 
 
$
882

 
$
386

 
$
496

 
$
80

 
$
75

 
$
75

 
$
68

 
$
51

 
$
50

 
$
136


(1)
NUG contracts are subject to regulatory accounting and their amortization does not impact earnings.
(2)
A gross amount of $40 million ($29 million, net) of the coal contracts is related to FES. The 2014 and estimated 2015 to 2019 amortization expense for FES is $5.7 million annually.
(3)
A gross amount of $102 million ($41 million, net) of the coal contracts was recorded with a regulatory offset and the amortization does not impact earnings. Accordingly, the amortization expense for these coal contracts is excluded from table above.

FES acquired certain customer contract rights which were capitalized as intangible assets. These rights allow FES to supply electric generation to customers, and the recorded value is being amortized ratably over the term of the related contracts.