Segment and Related Information

12 Months Ended

Dec. 31, 2012

Segment and Related Information [Abstract]

Segment and Related Information

2. Segment and Related Information

(PPL)

Since the acquisition of LKE on November 1, 2010, PPL is organized into four segments: Kentucky Regulated, U.K. Regulated (name change in 2012 from International Regulated to more specifically reflect the focus of the segment), Pennsylvania Regulated and Supply. Other than the name change for the U.K. Regulated segment, there were no other changes to this segment. PPL's segments are split between its regulated and competitive businesses with its regulated businesses further segmented by geographic location.

The Kentucky Regulated segment consists primarily of LKE's regulated electric generation, transmission and distribution operations, primarily in Kentucky. This segment also includes LKE's regulated distribution and sale of natural gas in Kentucky. In addition, the Kentucky Regulated segment is allocated certain financing costs. See Note 10 for additional information regarding the acquisition.

The U.K. Regulated segment primarily consists of the regulated electric distribution operations in the U.K.This includes 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 Pennsylvania Regulated segment includes the regulated electric transmission and distribution operations of PPL Electric.

The Supply segment primarily consists of the domestic energy marketing and trading activities, as well as the competitive generation operations of PPL Energy Supply.

The results of operations of several facilities and businesses have been classified as Discontinued Operations on the Statements of Income. See Note 9 for additional information on these discontinued operations. Therefore, with the exception of “Net Income Attributable to PPL Shareowners” the operating results from these facilities and businesses have been excluded from the income statement data tables below.

"Corporate and Other" represents costs incurred at the corporate level that have not been allocated or assigned to the segments, which is presented to reconcile segment information to PPL's consolidated results. For 2012 and 2011, there were no significant costs in this category. For 2010, these costs represent LKE acquisition-related costs including advisory, accounting and legal fees, certain internal costs and 2010 Bridge Facility costs.

Beginning in 2013, PPL anticipates more costs to be included in the Corporate and Other category primarily due to an anticipated increase in the use of financing issued by PPL Capital Funding not directly attributable to a particular segment. PPL's recent growth in rate-regulated businesses provides the organization with an enhanced corporate level financing alternative, through PPL Capital Funding, that further enablesPPL to support targeted credit profiles cost effectively 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, as appropriate. The financing costs associated primarily with PPL Capital Funding's future securities issuances are not expected to be directly assignable or allocable to any segment and generally will be reflected in Corporate and Other beginning in 2013.

Financial data for the segments are:

Income Statement Data					2012		2011		2010
Revenues from external customers by product
		Kentucky Regulated
			Utility service (a)		$	2,759	$	2,793	$	493
		U.K. Regulated
			Utility service (a)			2,289		1,618		727
			Energy-related businesses			47		35		34
				Total		2,336		1,653		761
		Pennsylvania Regulated
			Utility service (a)			1,760		1,881		2,448
		Supply
			Energy (b)			4,970		5,938		4,444
			Energy-related businesses			461		472		375
				Total		5,431		6,410		4,819
Total						12,286		12,737		8,521
Intersegment electric revenues
		Pennsylvania Regulated				3		11		7
		Supply (c)				79		26		320
Depreciation
		Kentucky Regulated				346		334		49
		U.K. Regulated				279		218		117
		Pennsylvania Regulated				160		146		136
		Supply				315		262		254
Total						1,100		960		556
Amortization (d)
		Kentucky Regulated				27		27
		U.K. Regulated				15		83		13
		Pennsylvania Regulated				18		7		(22)
		Supply				126		137		148
		Corporate and Other								74
Total						186		254		213
Unrealized (gains) losses on derivatives and other hedging activities (b)
		Kentucky Regulated						(2)		1
		Supply				27		(312)		541
Total						27		(314)		542
Interest income
		U.K. Regulated				3		4		2
		Pennsylvania Regulated				1		1		4
		Supply				1		2		2
Total						5		7		8
Interest Expense
		Kentucky Regulated				219		217		55
		U.K. Regulated				421		391		135
		Pennsylvania Regulated				99		98		99
		Supply				222		192		224
		Corporate and Other								80
Total						961		898		593
Income from Continuing Operations Before Income Taxes
		Kentucky Regulated				263		349		40
		U.K. Regulated				953		358		261
		Pennsylvania Regulated				204		257		192
		Supply (b)				662		1,237		860
		Corporate and Other								(114)
Total						2,082		2,201		1,239
Income Taxes (e)
		Kentucky Regulated				80		127		16
		U.K. Regulated				150		33
		Pennsylvania Regulated				68		68		57
		Supply				247		463		228
		Corporate and Other								(38)
Total						545		691		263
Deferred income taxes and investment tax credits (f)
		Kentucky Regulated				136		218		51
		U.K. Regulated				26		(39)		17
		Pennsylvania Regulated				114		106		198
		Supply				150		299		(15)
Total						426		584		251
Net Income Attributable to PPL Shareowners
		Kentucky Regulated				177		221		26
		U.K. Regulated				803		325		261
		Pennsylvania Regulated				132		173		115
		Supply (b)				414		776		612
		Corporate and Other								(76)
	Total				$	1,526	$	1,495	$	938
Cash Flow Data						2012		2011		2010
Expenditures for long-lived assets
		Kentucky Regulated			$	768	$	465	$	152
		U.K. Regulated				1,016		862		281
		Pennsylvania Regulated				633		490		411
		Supply				736		739		795
Total					$	3,153	$	2,556	$	1,639

		As of December 31,
		2012		2011
Balance Sheet Data
Total Assets
	Kentucky Regulated	$	10,670	$	10,229
	U.K. Regulated		14,073		13,364
	Pennsylvania Regulated		6,023		5,610
	Supply		12,868		13,445
Total		$	43,634	$	42,648

		2012		2011		2010
Geographic Data
Revenues from external customers
	U.S.	$	9,950	$	11,084	$	7,760
	U.K.		2,336		1,653		761
Total		$	12,286	$	12,737	$	8,521

		As of December 31,
		2012		2011
Long-Lived Assets
	U.S.	$	20,776	$	19,129
	U.K.		9,951		8,996
Total		$	30,727	$	28,125

(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" and "NUG Purchases" 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.”

(PPL Energy Supply, PPL Electric, LKE, LG&E and KU)

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