Discontinued Operations (Tables)

3 Months Ended

Mar. 31, 2019

Discontinued Operations and Disposal Groups [Abstract]

Disposal Groups, Including Discontinued Operations

Summarized results of discontinued operations for the three months ended March 31, 2019 and 2018, were as follows:

	For the Three Months Ended March 31,
(In millions)	2019			2018
Revenues	$	54		$	736
Fuel	(35		)	(164		)
Purchased power	—			(58		)
Other operating expenses	(10		)	(369		)
Provision for depreciation	—			(63		)
General taxes	(4		)	(23		)
Other expense, net (1)	(2		)	(62		)
Income (Loss) from discontinued operations, before tax	3			(3		)
Income tax expense	14			48
Loss from discontinued operations, net of tax	(11		)	(51		)
Gain (Loss) on disposal of FES and FENOC, net of tax	(24		)	1,239
Income (Loss) from discontinued operations	$	(35	)	$	1,188

⁽¹⁾ Other expense, net for the three months ended March 31, 2019, reflects FG's economic interests in Pleasants effective January 1, 2019, as further discussed above.

The gain (loss) on disposal of FES and FENOC recognized in the three months ended March 31, 2019 and 2018, consisted of the following:

	For the Three Months Ended March 31,
(In millions)	2019			2018
Removal of investment in FES and FENOC	$	—		$	2,193
Assumption of benefit obligations retained at FE	—			(820		)
Guarantees and credit support provided by FE	—			(139		)
Reserve on receivables and allocated pension/OPEB mark-to-market	—			(914		)
Settlement consideration and services credit	(33		)	—
Gain (Loss) on disposal of FES and FENOC, before tax	(33		)	320
Income tax benefit, including estimated worthless stock deduction	9			919
Gain (Loss) on disposal of FES and FENOC, net of tax	$	(24	)	$	1,239

As of March 31, 2019, and December 31, 2018, material and supplies of $21 million and $25 million, respectively, are included in FirstEnergy's Consolidated Balance Sheets as Current assets - discontinued operations.

FirstEnergy's Consolidated Statement of Cash Flows combines cash flows from discontinued operations with cash flows from continuing operations within each cash flow category. The following table summarizes the major classes of cash flow items as discontinued operations for the three months ended March 31, 2019 and 2018:

	For the Three Months Ended March 31,
(In millions)	2019			2018
CASH FLOWS FROM OPERATING ACTIVITIES:
Income (loss) from discontinued operations	$	(35	)	$	1,188
Depreciation and amortization, including regulatory assets, net, intangible assets and deferred debt-related costs	—			64
Unrealized gain on derivative transactions	—			(10		)
CASH FLOWS FROM INVESTING ACTIVITIES:
Property additions	—			(16		)
Sales of investment securities held in trusts	—			109
Purchases of investment securities held in trusts	—			(122		)