Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2017

At December 31, 2017 and 2016, the capitalized cost of the Companies’ utility plant, net of accumulated depreciation, was as follows:



	Con Edison		CECONY
(Millions of Dollars)	2017	2016	2017	2016
Electric
Generation	$544	$479	$544	$479
Transmission	3,210	3,184	2,990	2,963
Distribution	18,959	18,150	17,996	17,234
Gas (a)	6,976	6,285	6,403	5,749
Steam	1,798	1,882	1,798	1,882
General	2,105	1,816	1,905	1,639
Held for future use	76	74	67	65
Construction work in progress	1,605	1,175	1,502	1,104
Net Utility Plant	$35,273	$33,045	$33,205	$31,115

(a) Primarily distribution.

Schedule of Total Excise Taxes Recorded in Operating Revenues

Total excise taxes (inclusive of gross receipts taxes) recorded in operating revenues were as follows:



	For the Years Ended December 31,
(Millions of Dollars)	2017	2016	2015
Con Edison	$302	$336	$354
CECONY	292	316	331

Schedule of Investment Assets

The following investment assets are included in the Companies' consolidated balance sheets at December 31, 2017 and 2016:



	Con Edison		CECONY
(Millions of Dollars)	2017	2016	2017		2016
CET Gas investment in Stagecoach Gas Services, LLC (a)	$971	$992		$—		$—
Con Edison Development equity method investments (b)	467	488	—		—
Supplemental retirement income plan assets (c)	330	273	301		246
CET Gas investment in Mountain Valley Pipeline, LLC (a)	98	48	—		—
Deferred income plan assets	73	60	73		60
CET Electric investment in New York Transco, LLC (a)	53	51	—		—
Other	9	9	9		9
Total investments	$2,001	$1,921	$383		$315


(a)	See Note U.


(b)	See Note Q.


(c)	See Note E.

Research and Development Costs

Research and development costs were as follows:



	For the Years Ended December 31,
(Millions of Dollars)	2017	2016	2015
Con Edison	$24	$24	$23
CECONY	23	22	22

Basic and Diluted EPS

Basic and diluted EPS for Con Edison are calculated as follows:



	For the Years Ended December 31,
(Millions of Dollars, except per share amounts/Shares in Millions)	2017	2016	2015
Net income	$1,525	$1,245	$1,193
Weighted average common shares outstanding – basic	307.1	300.4	293.0
Add: Incremental shares attributable to effect of potentially dilutive securities	1.7	1.5	1.4
Adjusted weighted average common shares outstanding – diluted	308.8	301.9	294.4
Net Income per common share – basic	$4.97	$4.15	$4.07
Net Income per common share – diluted	$4.94	$4.12	$4.05

Changes in Accumulated Other Comprehensive Income/(Loss)

Changes to accumulated other comprehensive income/(loss) (OCI) for Con Edison and CECONY are as follows:



(Millions of Dollars)	Con Edison	CECONY
Accumulated OCI, net of taxes, at December 31, 2014 (a)	$(45)	$(11)
OCI before reclassifications, net of tax of $(3) for Con Edison	5	1
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $(4) and $(1) for Con Edison and CECONY, respectively(a)(b)	6	1
Total OCI, net of taxes, at December 31, 2015	11	2
Accumulated OCI, net of taxes, at December 31, 2015 (a)	$(34)	$(9)
OCI before reclassifications, net of tax of $(1) for Con Edison and CECONY	2	1
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $(3) and $(1) for Con Edison and CECONY, respectively(a)(b)	5	1
Total OCI, net of taxes, at December 31, 2016	7	2
Accumulated OCI, net of taxes, at December 31, 2016 (a)	$(27)	$(7)
OCI before reclassifications, net of tax of $3 and $1 for Con Edison and CECONY, respectively	(4)	—
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $(3) and $(1) for Con Edison and CECONY, respectively(a)(b)	5	1
Total OCI, net of taxes, at December 31, 2017	1	1
Accumulated OCI, net of taxes, at December 31, 2017 (a)	$(26)	$(6)

(a) Tax reclassified from accumulated OCI is reported in the income tax expense line item of the consolidated income statement.

(b) For the portion of unrecognized pension and other postretirement benefit costs relating to the Utilities, costs are recorded into, and amortized out of, regulatory assets instead of OCI. The net actuarial losses and prior service costs recognized during the period are included in the computation of total periodic pension and other postretirement benefit cost. See Notes E and F.