Segment and Related Information

12 Months Ended

Dec. 31, 2013

Segment and Related Information [Abstract]

Segment and Related Information

2. Segment and Related Information

(PPL)

PPL is organized into foursegments: U.K. Regulated, Kentucky Regulated, Pennsylvania Regulated and Supply.PPL's segments are split between its regulated and competitive businesses with its regulated businesses further segmented by geographic location.

The U.K. Regulated segment consists of PPL Global which primarily includes WPD's regulated electricity distribution operations and certain costs, such as U.S. income taxes, administrative costs and allocated financing costs.The U.K. Regulated segmentincludes the operating results and assets of WPD Midlands since the April 1, 2011 acquisition date, recorded on a one-month lag. The U.K. Regulated segment is also allocated certain WPD Midlands acquisition-related costs and financing costs. See Note 10 for additional information regarding the acquisition.

The Kentucky Regulated segment consists of the operations of LKE, which owns and operates regulated public utilities engaged in the generation, transmission, distribution and sale of electricity and distribution and sale of natural gas, representing primarily the activities of LG&E and KU. In addition, certain financing costs are allocated to the Kentucky Regulatedsegment.

The Pennsylvania Regulated segment includes the regulated electricity delivery operations of PPL Electric. In addition, certain financing costs are allocated to the Pennsylvania Regulated segment.

The Supply segment consists primarily of the activities of PPL Energy Supply's subsidiaries, PPL Generation and PPL EnergyPlus. PPL Generation owns and operates competitive domestic power plants to generate electricity and acquires and develops competitive domestic generation projects. PPL EnergyPlus markets and trades electricity, natural gas, and other energy-related products in competitive wholesale and retail markets. In addition, certain financing and other costs are allocated to the Supply segment.

"Corporate and Other" primarily includes financing costs incurred at the corporate level that have not been allocated or assigned to the segments, as well as certain other unallocated costs, which is presented to reconcile segment information to PPL's consolidated results.

In 2013, costs included in the Corporate and Other category increased, as anticipated, primarily due to an increase in financing at PPL Capital Funding not directly attributable to a particular segment. PPL's growth in rate-regulated businesses provides the organization an enhanced corporate-level financing alternative, through PPL Capital Funding, that further enables PPL to cost-effectively support targeted credit profiles across all of PPL's rated companies. As a result, PPL plans to further utilize PPL Capital Funding in addition to continued direct financing by the operating companies. The financing costs associated primarily with PPL Capital Funding's new securities issuances, with certain exceptions including the remarketing of the debt component of the Equity Units, have not been directly assigned or allocated to any segment and generally have been reflected in Corporate and Other in 2013.

Financial data for the segments are:

Income Statement Data					2013		2012		2011
Revenues from external customers by product
		U.K. Regulated
			Utility service (a)		$	2,359	$	2,289	$	1,618
			Energy-related businesses			44		47		35
				Total		2,403		2,336		1,653
		Kentucky Regulated
			Utility service (a)			2,976		2,759		2,793
		Pennsylvania Regulated
			Utility service (a)			1,866		1,760		1,881
		Supply
			Energy (b)			4,075		4,970		5,938
			Energy-related businesses			527		461		472
				Total		4,602		5,431		6,410
		Corporate and Other				13
Total						11,860		12,286		12,737
Intersegment electric revenues
		Pennsylvania Regulated				4		3		11
		Supply (c)				51		79		26
Depreciation
		U.K. Regulated				300		279		218
		Kentucky Regulated				334		346		334
		Pennsylvania Regulated				178		160		146
		Supply				318		289		245
		Corporate and Other				31		26		17
Total						1,161		1,100		960
Amortization (d)
		U.K. Regulated				19		15		83
		Kentucky Regulated				22		27		27
		Pennsylvania Regulated				19		18		7
		Supply				156		126		137
		Corporate and Other				6
Total						222		186		254
Unrealized (gains) losses on derivatives and other hedging activities (b)
		U.K. Regulated				44		52		(8)
		Kentucky Regulated				12		11		9
		Supply				180		(36)		(315)
Total						236		27		(314)
Interest Expense
		U.K. Regulated				425		421		391
		Kentucky Regulated				212		219		217
		Pennsylvania Regulated				108		99		98
		Supply				228		222		192
		Corporate and Other				33
Total						1,006		961		898
Income from Continuing Operations Before Income Taxes
		U.K. Regulated				993		953		358
		Kentucky Regulated				484		263		349
		Pennsylvania Regulated				317		204		257
		Supply (b) (g)				(428)		662		1,237
		Corporate and Other				(57)
Total						1,309		2,082		2,201
Income Taxes (e)
		U.K. Regulated				71		150		33
		Kentucky Regulated				179		80		127
		Pennsylvania Regulated				108		68		68
		Supply				(157)		247		463
		Corporate and Other				(21)
Total						180		545		691
Deferred income taxes and investment tax credits (f)
		U.K. Regulated				(45)		26		(39)
		Kentucky Regulated				254		136		218
		Pennsylvania Regulated				127		114		106
		Supply				(296)		150		299
		Corporate and Other				32
Total						72		426		584
Net Income Attributable to PPL Shareowners
		U.K. Regulated				922		803		325
		Kentucky Regulated				307		177		221
		Pennsylvania Regulated				209		132		173
		Supply (b) (g)				(272)		414		776
		Corporate and Other				(36)
	Total				$	1,130	$	1,526	$	1,495
Cash Flow Data						2013		2012		2011
Expenditures for long-lived assets
		U.K. Regulated			$	1,280	$	1,016	$	862
		Kentucky Regulated				1,434		768		465
		Pennsylvania Regulated				942		633		490
		Supply				568		736		739
		Corporate and Other				59
Total					$	4,283	$	3,153	$	2,556

		As of December 31,
		2013		2012
Balance Sheet Data
Total Assets
	U.K. Regulated	$	15,895	$	14,073
	Kentucky Regulated		12,016		10,670
	Pennsylvania Regulated		6,846		6,023
	Supply		11,408		12,868
	Corporate and Other (h)		94
Total		$	46,259	$	43,634

		2013		2012		2011
Geographic Data
Revenues from external customers
	U.K.	$	2,403	$	2,336	$	1,653
	U.S.		9,457		9,950		11,084
Total		$	11,860	$	12,286	$	12,737

		As of December 31,
		2013		2012
Long-Lived Assets
	U.K.	$	11,145	$	9,951
	U.S.		22,638		20,776
Total		$	33,783	$	30,727

(a)See Note 1for additional information on Utility Revenue.

(b)Includes unrealized gains and losses from economic activity. See Note 19 for additional information.

(c)See "PLR Contracts/Purchase of Accounts Receivable" in Note 16 for a discussion of the basis of accounting between reportable segments.

(d)Represents non-cash expense items that include amortization of nuclear fuel, regulatory assets, debt discounts and premiums,debt issuance costs, emission allowances and RECs.

(e)Represents both current and deferred income taxes, including investment tax credits.

(f)Represents a non-cash expense item that is also included in "Income Taxes."

(g)Includes a chargeof $697million ($413 million after tax) for the termination of the lease of the Colstrip coal-fired electric generating facility. See Note 8 for additional information.

(h)Primarily consists of unallocated items, including cash, PP&E and the elimination of inter-segment transactions.

(All Registrants except PPL)

PPL Energy Supply, PPL Electric, LKE, LG&E and KU each operate within a single reportable segment.