Pension Benefits

6 Months Ended

Jun. 30, 2012

Pension Benefits

Note E — Pension Benefits

Net Periodic Benefit Cost

The components of the Companies’ net periodic benefit costs for the three and six months ended June 30, 2012 and 2011 were as follows:

	For the Three Months Ended June 30,
	Con Edison						CECONY
(Millions of Dollars)	2012			2011			2012			2011
Service cost – including administrative expenses		$   59			$   47			$   55			$   44
Interest cost on projected benefit obligation		137			140			128			131
Expected return on plan assets		(177	)		(183	)		(168	)		(175	)
Amortization of net actuarial loss		177			132			168			125
Amortization of prior service costs		2			2			2			2
NET PERIODIC BENEFIT COST		$ 198			$ 138			$ 185			$ 127
Amortization of regulatory asset		1			1			1			1
TOTAL PERIODIC BENEFIT COST		$ 199			$ 139			$ 186			$ 128
Cost capitalized		(68	)		(48	)		(63	)		(45	)
Reconciliation to rate level		3			(6	)		2			(7	)
Cost charged to operating expenses		$ 134			$   85			$ 125			$   76

	For the Six Months Ended June 30,
	Con Edison						CECONY
(Millions of Dollars)	2012			2011			2012			2011
Service cost – including administrative expenses		$ 118			$   94			$ 110			$   88
Interest cost on projected benefit obligation		274			280			257			262
Expected return on plan assets		(352	)		(366	)		(335	)		(350	)
Amortization of net actuarial loss		354			264			335			250
Amortization of prior service costs		4			4			3			4
NET PERIODIC BENEFIT COST		$ 398			$ 276			$ 370			$ 254
Amortization of regulatory asset		1			1			1			1
TOTAL PERIODIC BENEFIT COST		$ 399			$ 277			$ 371			$ 255
Cost capitalized		(135	)		(96	)		(126	)		(89	)
Reconciliation to rate level		(32	)		(57	)		(36	)		(59	)
Cost charged to operating expenses		$ 232			$ 124			$ 209			$ 107

Expected Contributions

The Companies expect to make contributions to the pension plan during 2012 of $775 million (of which $721 million is to be contributed by CECONY). During the first six months of 2012, CECONY contributed $438 million to the pension plan and also funded $12 million for the non-qualified supplemental plan. The Companies’ policy is to fund their accounting cost to the extent tax deductible.

CECONY

Pension Benefits

Note E — Pension Benefits

Net Periodic Benefit Cost

The components of the Companies’ net periodic benefit costs for the three and six months ended June 30, 2012 and 2011 were as follows:

	For the Three Months Ended June 30,
	Con Edison						CECONY
(Millions of Dollars)	2012			2011			2012			2011
Service cost – including administrative expenses		$   59			$   47			$   55			$   44
Interest cost on projected benefit obligation		137			140			128			131
Expected return on plan assets		(177	)		(183	)		(168	)		(175	)
Amortization of net actuarial loss		177			132			168			125
Amortization of prior service costs		2			2			2			2
NET PERIODIC BENEFIT COST		$ 198			$ 138			$ 185			$ 127
Amortization of regulatory asset		1			1			1			1
TOTAL PERIODIC BENEFIT COST		$ 199			$ 139			$ 186			$ 128
Cost capitalized		(68	)		(48	)		(63	)		(45	)
Reconciliation to rate level		3			(6	)		2			(7	)
Cost charged to operating expenses		$ 134			$   85			$ 125			$   76

	For the Six Months Ended June 30,
	Con Edison						CECONY
(Millions of Dollars)	2012			2011			2012			2011
Service cost – including administrative expenses		$ 118			$   94			$ 110			$   88
Interest cost on projected benefit obligation		274			280			257			262
Expected return on plan assets		(352	)		(366	)		(335	)		(350	)
Amortization of net actuarial loss		354			264			335			250
Amortization of prior service costs		4			4			3			4
NET PERIODIC BENEFIT COST		$ 398			$ 276			$ 370			$ 254
Amortization of regulatory asset		1			1			1			1
TOTAL PERIODIC BENEFIT COST		$ 399			$ 277			$ 371			$ 255
Cost capitalized		(135	)		(96	)		(126	)		(89	)
Reconciliation to rate level		(32	)		(57	)		(36	)		(59	)
Cost charged to operating expenses		$ 232			$ 124			$ 209			$ 107

Expected Contributions

The Companies expect to make contributions to the pension plan during 2012 of $775 million (of which $721 million is to be contributed by CECONY). During the first six months of 2012, CECONY contributed $438 million to the pension plan and also funded $12 million for the non-qualified supplemental plan. The Companies’ policy is to fund their accounting cost to the extent tax deductible.