11. PREFERRED STOCK OF SUBSIDIARIES

All of our preferred stock was issued by the Utilities. The preferred stock is considered temporary equity due to certain provisions that could require us to redeem the preferred stock for cash. In the event dividends payable on PEC or PEF preferred stock are in default for an amount equivalent to or exceeding four quarterly dividend payments, the holders of the preferred stock are entitled to elect a majority of PEC's or PEF's respective board of directors until all accrued and unpaid dividends are paid. All classes of preferred stock are entitled to cumulative dividends with preference to the common stock dividends, are redeemable by vote of the Utilities' respective board of directors at any time, and do not have any preemptive rights. All classes of preferred stock have a liquidation preference equal to $100 per share plus any accumulated unpaid dividends except for PEF's 4.75%, $100 par value class, which does not have a liquidation preference. Each holder of PEC's preferred stock is entitled to one vote. The holders of PEF's preferred stock have no right to vote except for certain circumstances involving dividends payable on preferred stock that are in default or certain matters affecting the rights and preferences of the preferred stock.

At December 31, 2011 and 2010, preferred stock outstanding consisted of the following:

		Shares
(dollars in millions, except share and per share data)		Authorized	Outstanding	Redemption Price			Total

PEC
Cumulative, no par value $5 Preferred Stock		300,000	236,997	$	110.00	$	24
Cumulative, no par value Serial Preferred Stock		20,000,000
	$4.20 Serial Preferred		100,000		102.00		10
	$5.44 Serial Preferred		249,850		101.00		25
Cumulative, no par value Preferred Stock A		5,000,000	-		-		-
No par value Preference Stock		10,000,000	-		-		-
	Total PEC						59

PEF
Cumulative, $100 par value Preferred Stock		4,000,000
	4.00% $100 par value Preferred		39,980		104.25		4
	4.40% $100 par value Preferred		75,000		102.00		8
	4.58% $100 par value Preferred		99,990		101.00		10
	4.60% $100 par value Preferred		39,997		103.25		4
	4.75% $100 par value Preferred		80,000		102.00		8
Cumulative, no par value Preferred Stock		5,000,000	-		-		-
$100 par value Preference Stock		1,000,000	-		-		-
	Total PEF						34
	Total preferred stock of subsidiaries					$	93

Preferred Stock Of Subsidiaries Disclosure [Line Items]

Preferred Stock

11. PREFERRED STOCK OF SUBSIDIARIES

All of our preferred stock was issued by the Utilities. The preferred stock is considered temporary equity due to certain provisions that could require us to redeem the preferred stock for cash. In the event dividends payable on PEC or PEF preferred stock are in default for an amount equivalent to or exceeding four quarterly dividend payments, the holders of the preferred stock are entitled to elect a majority of PEC's or PEF's respective board of directors until all accrued and unpaid dividends are paid. All classes of preferred stock are entitled to cumulative dividends with preference to the common stock dividends, are redeemable by vote of the Utilities' respective board of directors at any time, and do not have any preemptive rights. All classes of preferred stock have a liquidation preference equal to $100 per share plus any accumulated unpaid dividends except for PEF's 4.75%, $100 par value class, which does not have a liquidation preference. Each holder of PEC's preferred stock is entitled to one vote. The holders of PEF's preferred stock have no right to vote except for certain circumstances involving dividends payable on preferred stock that are in default or certain matters affecting the rights and preferences of the preferred stock.

At December 31, 2011 and 2010, preferred stock outstanding consisted of the following:

		Shares
(dollars in millions, except share and per share data)		Authorized	Outstanding	Redemption Price			Total

PEC
Cumulative, no par value $5 Preferred Stock		300,000	236,997	$	110.00	$	24
Cumulative, no par value Serial Preferred Stock		20,000,000
	$4.20 Serial Preferred		100,000		102.00		10
	$5.44 Serial Preferred		249,850		101.00		25
Cumulative, no par value Preferred Stock A		5,000,000	-		-		-
No par value Preference Stock		10,000,000	-		-		-
	Total PEC						59

PEF
Cumulative, $100 par value Preferred Stock		4,000,000
	4.00% $100 par value Preferred		39,980		104.25		4
	4.40% $100 par value Preferred		75,000		102.00		8
	4.58% $100 par value Preferred		99,990		101.00		10
	4.60% $100 par value Preferred		39,997		103.25		4
	4.75% $100 par value Preferred		80,000		102.00		8
Cumulative, no par value Preferred Stock		5,000,000	-		-		-
$100 par value Preference Stock		1,000,000	-		-		-
	Total PEF						34
	Total preferred stock of subsidiaries					$	93