Investments

12 Months Ended

Dec. 31, 2011

Investments Disclosure [Line Items]

Investments

13.       INVESTMENTS

A.       INVESTMENTS

At December 31, 2011 and 2010, we had investments in various debt and equity securities, cost investments, company-owned life insurance and investments held in trust funds as follows:

		Progress Energy				PEC				PEF
(in millions)			2011		2010		2011		2010		2011		2010
Nuclear decommissioning trust (See Notes 5C and 14)		$	1,647	$	1,571	$	1,088	$	1,017	$	559	$	554
Equity method investments(a)			14		16		1		3		2		2
Cost investments(b)			2		5		2		4		-		-
Company-owned life insurance(c)			47		46		39		37		-		-
Benefit investment trusts(d)			176		175		105		97		37		37
	Total	$	1,886	$	1,813	$	1,235	$	1,158	$	598	$	593
(a)	Investments in unconsolidated companies are accounted for using the equity method of accounting (See Note 1) and are included in miscellaneous other property and investments on the Consolidated Balance Sheets. These investments are primarily in limited liability corporations and limited partnerships, and the earnings from these investments are recorded on a pre-tax basis.
(b)	Investments stated principally at cost are included in miscellaneous other property and investments on the Consolidated Balance Sheets.
(c)	Investments in company-owned life insurance approximate fair value due to the nature of the investments and are included in miscellaneous other property and investments on the Consolidated Balance Sheets.
(d)	Benefit investment trusts are included in miscellaneous other property and investments on the Consolidated Balance Sheets. At December 31, 2011 and 2010, $173 million and $166 million, respectively, of investments in company-owned life insurance were held in Progress Energy’s trusts. Substantially all of PEC’s and PEF’s benefit investment trusts are invested in company-owned life insurance.

B.       IMPAIRMENT OF INVESTMENTS

Declines in fair value of available-for-sale securities to below the cost basis that are judged to be other than temporary are included in long-term regulatory assets or liabilities on the Consolidated Balance Sheets for securities held in our nuclear decommissioning trust funds and in operation and maintenance expense and other, net on the Consolidated Statements of Income for securities in our benefit investment trusts, other available-for-sale securities and equity and cost method investments. See Note 14 for additional information. There were no material other-than-temporary impairments recognized in earnings in 2011, 2010 or 2009.

PEC

Investments Disclosure [Line Items]

Investments

13.       INVESTMENTS

A.       INVESTMENTS

At December 31, 2011 and 2010, we had investments in various debt and equity securities, cost investments, company-owned life insurance and investments held in trust funds as follows:

		Progress Energy				PEC				PEF
(in millions)			2011		2010		2011		2010		2011		2010
Nuclear decommissioning trust (See Notes 5C and 14)		$	1,647	$	1,571	$	1,088	$	1,017	$	559	$	554
Equity method investments(a)			14		16		1		3		2		2
Cost investments(b)			2		5		2		4		-		-
Company-owned life insurance(c)			47		46		39		37		-		-
Benefit investment trusts(d)			176		175		105		97		37		37
	Total	$	1,886	$	1,813	$	1,235	$	1,158	$	598	$	593
(a)	Investments in unconsolidated companies are accounted for using the equity method of accounting (See Note 1) and are included in miscellaneous other property and investments on the Consolidated Balance Sheets. These investments are primarily in limited liability corporations and limited partnerships, and the earnings from these investments are recorded on a pre-tax basis.
(b)	Investments stated principally at cost are included in miscellaneous other property and investments on the Consolidated Balance Sheets.
(c)	Investments in company-owned life insurance approximate fair value due to the nature of the investments and are included in miscellaneous other property and investments on the Consolidated Balance Sheets.
(d)	Benefit investment trusts are included in miscellaneous other property and investments on the Consolidated Balance Sheets. At December 31, 2011 and 2010, $173 million and $166 million, respectively, of investments in company-owned life insurance were held in Progress Energy’s trusts. Substantially all of PEC’s and PEF’s benefit investment trusts are invested in company-owned life insurance.

B.       IMPAIRMENT OF INVESTMENTS

Declines in fair value of available-for-sale securities to below the cost basis that are judged to be other than temporary are included in long-term regulatory assets or liabilities on the Consolidated Balance Sheets for securities held in our nuclear decommissioning trust funds and in operation and maintenance expense and other, net on the Consolidated Statements of Income for securities in our benefit investment trusts, other available-for-sale securities and equity and cost method investments. See Note 14 for additional information. There were no material other-than-temporary impairments recognized in earnings in 2011, 2010 or 2009.

PEF

Investments Disclosure [Line Items]

Investments

13.       INVESTMENTS

A.       INVESTMENTS

At December 31, 2011 and 2010, we had investments in various debt and equity securities, cost investments, company-owned life insurance and investments held in trust funds as follows:

		Progress Energy				PEC				PEF
(in millions)			2011		2010		2011		2010		2011		2010
Nuclear decommissioning trust (See Notes 5C and 14)		$	1,647	$	1,571	$	1,088	$	1,017	$	559	$	554
Equity method investments(a)			14		16		1		3		2		2
Cost investments(b)			2		5		2		4		-		-
Company-owned life insurance(c)			47		46		39		37		-		-
Benefit investment trusts(d)			176		175		105		97		37		37
	Total	$	1,886	$	1,813	$	1,235	$	1,158	$	598	$	593
(a)	Investments in unconsolidated companies are accounted for using the equity method of accounting (See Note 1) and are included in miscellaneous other property and investments on the Consolidated Balance Sheets. These investments are primarily in limited liability corporations and limited partnerships, and the earnings from these investments are recorded on a pre-tax basis.
(b)	Investments stated principally at cost are included in miscellaneous other property and investments on the Consolidated Balance Sheets.
(c)	Investments in company-owned life insurance approximate fair value due to the nature of the investments and are included in miscellaneous other property and investments on the Consolidated Balance Sheets.
(d)	Benefit investment trusts are included in miscellaneous other property and investments on the Consolidated Balance Sheets. At December 31, 2011 and 2010, $173 million and $166 million, respectively, of investments in company-owned life insurance were held in Progress Energy’s trusts. Substantially all of PEC’s and PEF’s benefit investment trusts are invested in company-owned life insurance.

B.       IMPAIRMENT OF INVESTMENTS

Declines in fair value of available-for-sale securities to below the cost basis that are judged to be other than temporary are included in long-term regulatory assets or liabilities on the Consolidated Balance Sheets for securities held in our nuclear decommissioning trust funds and in operation and maintenance expense and other, net on the Consolidated Statements of Income for securities in our benefit investment trusts, other available-for-sale securities and equity and cost method investments. See Note 14 for additional information. There were no material other-than-temporary impairments recognized in earnings in 2011, 2010 or 2009.