Reportable Business Segments

3 Months Ended

Mar. 31, 2012

Reportable Business Segments [Abstract]

Reportable Business Segments

Reportable Business Segments

Because CERC is an indirect wholly owned subsidiary of CenterPoint Energy, CERC’s determination of reportable business segments considers the strategic operating units under which CenterPoint Energy manages sales, allocates resources and assesses performance of various products and services to wholesale or retail customers in differing regulatory environments. CERC uses operating income as the measure of profit or loss for its business segments.

CERC’s reportable business segments include the following: Natural Gas Distribution, Competitive Natural Gas Sales and Services, Interstate Pipelines, Field Services and Other Operations.  Natural Gas Distribution consists of intrastate natural gas sales to, and natural gas transportation and distribution for, residential, commercial, industrial and institutional customers. Competitive Natural Gas Sales and Services represents CERC’s non-rate regulated gas sales and services operations. The Interstate Pipelines business segment includes the interstate natural gas pipeline operations. The Field Services business segment includes the non-rate regulated natural gas gathering, processing and treating operations. The Other Operations business segment includes unallocated corporate costs and inter-segment eliminations.

Financial data for business segments and products and services are as follows (in millions):

	For the Three Months Ended March 31, 2011
	Revenues from External Customers		Inter-segment Revenues			Operating Income (Loss)			Total Assets  as of December 31, 2011
Natural Gas Distribution	$	1,207	$	5		$	142		$	4,636
Competitive Natural Gas Sales and Services	697		9			10			1,089
Interstate Pipelines	113		34			76			3,867
Field Services	78		12			36			1,894
Other	—		—			(4		)	660
Reconciling Eliminations	—		(60		)	—			(1,459		)
Consolidated	$	2,095	$	—		$	260		$	10,687
	For the Three Months Ended March 31, 2012
	Revenues from External Customers		Inter-segment Revenues			Operating Income			Total Assets as of  March 31, 2012
Natural Gas Distribution	$	849	$	5		$	121		$	4,518
Competitive Natural Gas Sales and Services	520		5			1			1,031
Interstate Pipelines	82		45			60			3,884
Field Services	99		6			47			1,902
Other	—		—			—			500
Reconciling Eliminations	—		(61		)	—			(1,422		)
Consolidated	$	1,550	$	—		$	229		$	10,413