Accounts Receivable

3 Months Ended

Mar. 31, 2021

Accounts Receivable [Abstract]

Accounts Receivable

(5) Accounts Receivable:

The components of accounts receivable, net are as follows:

($ in millions)	March 31, 2021		December 31, 2020
Retail and wholesale	$	592	$	608
Other		75		75
Less: Allowance for doubtful accounts		(148)		(130)
Accounts receivable, net	$	519	$	553

We maintain an allowance for doubtful accounts based on the estimated ability to collect accounts receivable. The allowance for doubtful accounts is increased for retail customers by recording bad debt expense and for wholesale customers through decreases to revenue at the time of billing. The allowance is decreased when customer accounts are written off, or when customers are given credits.

The ending balances in the allowance account as of March 31, 2021 and December 31, 2020 were elevated as a result of ongoing billing disputes with some of our wholesale customers. As of March 31, 2021, our accounts receivable balance included $128 million of disputed amounts that are expected to be settled in the short term. We have established $96 million in reserves related to these balances as well as other amounts that were previously paid, which reflects the current expected outcome from settlement negotiations.

Bad debt expense (credits), which is recorded as a reduction to revenue, is as follows:

	For the three months ended March 31,
($ in millions)	2021		2020
Bad debt expense	$	10	$	14