XML 48 R33.htm IDEA: XBRL DOCUMENT v3.3.1.900
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2015
Entity Information [Line Items]  
Fair Value and Cost of Non-Derivative Instruments
The table below presents the fair value and cost of our non-derivative instruments at December 31, 2015 and 2014. See Note 6 – Derivative Instruments and Hedging Activities for the fair values of our derivative instruments.
 
 
December 31, 2015
 
December 31, 2014
$ in millions
 
Carrying Value
 
Fair Value
 
Carrying Value
 
Fair Value
Assets
 
 
 
 
 
 
 
 
Money market funds
 
$
0.2

 
$
0.2

 
$
0.1

 
$
0.1

Equity securities
 
3.0

 
3.8

 
2.7

 
3.7

Debt securities
 
4.4

 
4.3

 
4.7

 
4.7

Hedge Funds
 
0.4

 
0.4

 
0.8

 
0.8

Real Estate
 
0.3

 
0.3

 
0.4

 
0.4

Total assets
 
$
8.3

 
$
9.0

 
$
8.7

 
$
9.7

Liabilities
 
 
 
 
 
 
 
 
Debt
 
$
2,009.4

 
$
1,975.3

 
$
2,159.7

 
$
2,204.8
Fair Value of Assets and Liabilities Measured on Recurring Basis
The fair value of assets and liabilities at December 31, 2015 and the respective category within the fair value hierarchy for DPL was determined as follows:
Assets and Liabilities at Fair Value
 
 
 
 
Level 1
 
Level 2
 
Level 3
$ in millions
 
Fair Value at December 31, 2015 (a)
 
Based on
Quoted Prices in
Active Markets
 
Other
observable
inputs
 
Unobservable inputs
Assets
 
 
 
 
 
 
 
 
Master trust assets
 
 
 
 
 
 
 
 
Money market funds
 
$
0.2

 
$
0.2

 
$
—

 
$
—

Equity securities
 
3.8

 
—

 
3.8

 
—

Debt securities
 
4.3

 
—

 
4.3

 
—

Hedge Funds
 
0.4

 
—

 
0.4

 
—

Real Estate
 
0.3

 
—

 
0.3

 
—

Total Master trust assets
 
9.0

 
0.2

 
8.8

 
—

Derivative assets
 
 
 
 
 
 
 
 
Forward power contracts
 
30.5

 
—

 
30.5

 
—

FTRs
 
0.2

 
—

 
—

 
0.2

Total Derivative assets
 
$
30.7

 
$
—

 
$
30.5

 
$
0.2

 
 
 
 
 
 
 
 
 
Total assets
 
$
39.7

 
$
0.2

 
$
39.3

 
$
0.2

Liabilities
 
 
 
 
 
 
 
 
FTRs
 
0.5

 
$
—

 
$
—

 
$
0.5

Forward power contracts
 
27.0

 
—

 
23.9

 
3.1

Total derivative liabilities
 
27.5

 
—

 
23.9

 
3.6

 
 
 
 
 
 
 
 
 
Long-term debt
 
1,975.3

 
—

 
1,957.2

 
18.1

 
 
 
 
 
 
 
 
 
Total liabilities
 
$
2,002.8

 
$
—

 
$
1,981.1

 
$
21.7



(a)
Includes credit valuation adjustment.

The fair value of assets and liabilities at December 31, 2014 and the respective category within the fair value hierarchy for DPL was determined as follows:
Assets and Liabilities at Fair Value
 
 
 
 
Level 1
 
Level 2
 
Level 3
$ in millions
 
Fair Value at December 31, 2014 (a)
 
Based on
Quoted Prices in
Active Markets
 
Other
observable
inputs
 
Unobservable inputs
Assets
 
 
 
 
 
 
 
 
Master trust assets
 
 
 
 
 
 
 
 
Money market funds
 
$
0.1

 
$
0.1

 
$
—

 
$
—

Equity securities
 
3.7

 
3.7

 
—

 
—

Debt securities
 
4.7

 
4.7

 
—

 
—

Hedge Funds
 
0.8

 
—

 
0.8

 
—

Real Estate
 
0.4

 
0.4

 
—

 
—

Total Master trust assets
 
9.7

 
8.9

 
0.8

 
—

 
 
 
 
 
 
 
 
 
Derivative assets
 
 
 
 
 
 
 
 
Forward power contracts
 
14.9

 
—

 
13.7

 
1.2

Total derivative assets
 
14.9

 
—

 
13.7

 
1.2

Total assets
 
$
24.6

 
$
8.9

 
$
14.5

 
$
1.2

Liabilities
 
 
 
 
 
 
 
 
FTRs
 
$
0.6

 
$
—

 
$
—

 
$
0.6

Heating oil futures
 
0.4

 
0.4

 
—

 
—

Natural gas futures
 
0.1

 
0.1

 
—

 
—

Forward power contracts
 
11.1

 
—

 
11.1

 
—

Total derivative liabilities
 
12.2

 
0.5

 
11.1

 
0.6

 
 
 
 
 
 
 
 
 
Long-term debt
 
2,204.8

 
—

 
2,186.6

 
18.2

 
 
 
 
 
 
 
 
 
Total liabilities
 
$
2,217.0

 
$
0.5

 
$
2,197.7

 
$
18.8



(a)
Includes credit valuation adjustment.
Fair Value Measurements, Nonrecurring
$ in millions
 
Year ended December 31, 2015
 
 
Carrying
 
Fair Value
 
Gross
 
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Loss
Goodwill (b)
 
 
 
 
 
 
 
 
 
 
DP&L reporting unit
 
$
317.0

 
$
—

 
$
—

 
$
—

 
$
317.0



$ in millions
 
Year ended December 31, 2014
 
 
Carrying
 
Fair Value
 
Gross
 
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Loss
Assets
 
 
 
 
 
 
 
 
 
 
Long-lived assets held and used (a)
 
 
 
 
 
 
 
 
 
 
DP&L (East Bend)
 
$
14.2

 
$
—

 
$
—

 
$
2.7

 
$
11.5

Goodwill (b)
 
 
 
 
 
 
 
 
 
 
DPLER Reporting unit
 
$
135.8

 
$
—

 
$
—

 
$
—

 
$
135.8



$ in millions
 
Year ended December 31, 2013
 
 
Carrying
 
Fair Value
 
Gross
 
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Loss
Assets
 
 
 
 
 
 
 
 
 
 
Long-lived assets held and used (a)
 
 
 
 
 
 
 
 
 
 
DP&L (Conesville)
 
$
26.2

 
$
—

 
$
—

 
$
—

 
$
26.2

Goodwill (b)
 
 
 
 
 
 
 
 
 
 
DP&L Reporting unit
 
$
623.3

 
$
—

 
$
—

 
$
317.0

 
$
306.3


(a)
See Note 15 – Fixed-asset Impairment for further information
(b)
See Note 7 – Goodwill and Other Intangible Assets for further information
THE DAYTON POWER AND LIGHT COMPANY [Member]  
Entity Information [Line Items]  
Fair Value and Cost of Non-Derivative Instruments
The table below presents the fair value and cost of our non-derivative instruments at December 31, 2015 and 2014. See also Note 6 – Derivative Instruments and Hedging Activities for the fair values of our derivative instruments.
 
 
December 31, 2015
 
December 31, 2014
$ in millions
 
Carrying Value
 
Fair Value
 
Carrying Value
 
Fair Value
Assets
 
 
 
 
 
 
 
 
Money market funds
 
$
0.2

 
$
0.2

 
$
0.1

 
$
0.1

Equity securities
 
3.0

 
3.8

 
2.7

 
3.7

Debt securities
 
4.4

 
4.3

 
4.7

 
4.7

Hedge Funds
 
0.4

 
0.4

 
0.8

 
0.8

Real Estate
 
0.3

 
0.3

 
0.4

 
0.4

Total assets
 
$
8.3

 
$
9.0

 
$
8.7

 
$
9.7

 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
Debt
 
$
762.9

 
$
764.2

 
$
877.1

 
$
882.5
Fair Value of Assets and Liabilities Measured on Recurring Basis
The fair value of assets and liabilities at December 31, 2015 and the respective category within the fair value hierarchy for DP&L was determined as follows:
Assets and Liabilities at Fair Value
 
 
 
 
Level 1
 
Level 2
 
Level 3
$ in millions
 
Fair Value at December 31, 2015 (a)
 
Based on
Quoted Prices
in
Active Markets
 
Other
observable
inputs
 
Unobservable inputs
Assets
 
 
 
 
 
 
 
 
Master trust assets
 
 
 
 
 
 
 
 
Money market funds
 
$
0.2

 
$
0.2

 
$
—

 
$
—

Equity securities
 
3.8

 
—

 
3.8

 
—

Debt securities
 
4.3

 
—

 
4.3

 
—

Hedge Funds
 
0.4

 
—

 
0.4

 
—

Real Estate
 
0.3

 
—

 
0.3

 
—

Total Master trust assets
 
9.0

 
0.2

 
8.8

 
—

 
 
 
 
 
 
 
 
 
Derivative assets
 
 
 
 
 
 
 
 
FTRs
 
0.2

 
—

 
—

 
0.2

Forward power contracts
 
30.6

 
—

 
30.6

 
—

Total derivative assets
 
30.8

 
—

 
30.6

 
0.2

 
 
 
 
 
 
 
 
 
Total assets
 
$
39.8

 
$
0.2

 
$
39.4

 
$
0.2

Liabilities
 
 
 
 
 
 
 
 
FTRs
 
$
0.5

 
$
—

 
$
—

 
$
0.5

Forward power contracts
 
27.0

 
—

 
23.9

 
3.1

Total derivative liabilities
 
27.5

 
—

 
23.9

 
3.6

 
 
 
 
 
 
 
 
 
Long-term debt
 
764.2

 
—

 
746.1

 
18.1

 
 
 
 
 
 
 
 
 
Total liabilities
 
$
791.7

 
$
—

 
$
770.0

 
$
21.7



(a)
Includes credit valuation adjustment.
The fair value of assets and liabilities at December 31, 2014 and the respective category within the fair value hierarchy for DP&L was determined as follows:
Assets and Liabilities at Fair Value
 
 
 
 
Level 1
 
Level 2
 
Level 3
$ in millions
 
Fair Value at December 31, 2014 (a)
 
Based on
Quoted Prices
in
Active Markets
 
Other
observable
inputs
 
Unobservable inputs
Assets
 
 
 
 
 
 
 
 
Master trust assets
 
 
 
 
 
 
 
 
Money market funds
 
$
0.1

 
$
0.1

 
$
—

 
$
—

Equity securities
 
3.7

 
3.7

 
—

 
—

Debt securities
 
4.7

 
4.7

 
—

 
—

Hedge Funds
 
0.8

 
—

 
0.8

 
—

Real Estate
 
0.4

 
0.4

 
—

 
—

Total Master trust assets
 
9.7

 
8.9

 
0.8

 
—

 
 
 
 
 
 
 
 
 
Derivative assets
 
 
 
 
 
 
 
 
Forward power contracts
 
15.1

 
—

 
13.9

 
1.2

Total derivative assets
 
15.1

 
—

 
13.9

 
1.2

 
 
 
 
 
 
 
 
 
Total assets
 
$
24.8

 
$
8.9

 
$
14.7

 
$
1.2

Liabilities
 
 
 
 
 
 
 
 
Forward power contracts
 
$
11.2

 
$
—

 
$
11.2

 
$
—

FTRS
 
0.6

 
—

 
—

 
0.6

Heating Oil Futures
 
0.4

 
0.4

 
—

 
—

Natural Gas Futures
 
0.1

 
0.1

 
—

 
—

Total derivative liabilities
 
12.3

 
0.5

 
11.2

 
0.6

 
 
 
 
 
 
 
 
 
Long-term debt
 
882.5

 
—

 
864.3

 
18.2

 
 
 
 
 
 
 
 
 
Total liabilities
 
$
894.8

 
$
0.5

 
$
875.5

 
$
18.8



(a)
Includes credit valuation adjustment.
Fair Value Measurements, Nonrecurring
$ in millions
 
Year ended December 31, 2013
 
 
Carrying
 
Fair Value
 
Gross
 
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Loss
Assets
 
 
 
 
 
 
 
 
 
 
Long-lived assets held and used (a)
 
 
 
 
 
 
 
 
 
 
Conesville
 
$
30.0

 
$
—

 
$
—

 
$
20.0

 
$
10.0

East Bend
 
$
76.0

 
$
—

 
$
—

 
$
—

 
$
76.0



(a)
See Note 13 – Fixed-asset Impairment for further information.
Fair Value Measurements of Plan Assets Using Significant Unobservable Inputs
The following table summarizes the significant unobservable inputs used in the Level 3 measurement of long-lived assets during the year ended December 31, 2013:
$ in millions
 
Fair Value
 
Valuation Technique
 
Unobservable input
 
Range (Weighted Average)
Long-lived assets held and used:
 
 
 
 
 
 
 
 
DP&L (Conesville)
 
$
—

 
Discounted cash flows
 
Annual revenue growth
 
-31% to 18% (0)