Earnings Per Share

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Earnings Per Share

4. Earnings Per Share

(PPL)

Basic EPS is computed by dividing income available to PPL common shareowners by the weighted-average number of common shares outstanding during the applicable period. Diluted EPS is computed by dividing income available to PPL common shareowners by the weighted-average number of common shares outstanding, increased by incremental shares that would be outstanding if potentially dilutive non-participating securities were converted to common shares as calculated using the Treasury Stock Method or If-Converted Method, as applicable. Incremental non-participating securities that have a dilutive impact are detailed in the table below.

Reconciliations of the amounts of income and shares of PPL common stock (in thousands) for the periods ended December31 used in the EPS calculation are:

			2014		2013		2012
Income (Numerator)
Income from continuing operations after income taxes attributable to PPL shareowners			$	1,583	$	1,096	$	1,486
Less amounts allocated to participating securities				8		6		8
Less issuance costs on subsidiary's preferred securities redeemed								6
Income from continuing operations after income taxes available to PPL common
	shareowners - Basic			1,575		1,090		1,472
Plus interest charges (net of tax) related to Equity Units (a)				9		44
Income from continuing operations after income taxes available to PPL common
	shareowners - Diluted		$	1,584	$	1,134	$	1,472
Income (loss) from discontinued operations (net of income taxes) available to PPL
	common shareowners - Basic and Diluted		$	154	$	34	$	40
Net income attributable to PPL shareowners			$	1,737	$	1,130	$	1,526
Less amounts allocated to participating securities				9		6		8
Less issuance costs on subsidiary's preferred securities redeemed								6
Net income available to PPL common shareowners - Basic				1,728		1,124		1,512
Plus interest charges (net of tax) related to Equity Units				9		44
Net income available to PPL common shareowners - Diluted			$	1,737	$	1,168	$	1,512
Shares of Common Stock (Denominator)
Weighted-average shares - Basic EPS				653,504		608,983		580,276
Add incremental non-participating securities:
		Share-based payment awards (b)		1,910		1,062		563
		Equity Units (a)		10,559		52,568
		Forward sale agreements and purchase contracts (b)				460		787
Weighted-average shares - Diluted EPS				665,973		663,073		581,626
Basic EPS
Available to PPL common shareowners:
		Income from continuing operations after income taxes	$	2.41	$	1.79	$	2.55
		Income (loss) from discontinued operations (net of income taxes)		0.23		0.06		0.06
		Net Income	$	2.64	$	1.85	$	2.61
Diluted EPS
Available to PPL common shareowners:
		Income from continuing operations after income taxes	$	2.38	$	1.71	$	2.54
		Income (loss) from discontinued operations (net of income taxes)		0.23		0.05		0.06
		Net Income	$	2.61	$	1.76	$	2.60

(a)In 2014 and 2013, the If-Converted Method was applied to the Equity Units prior to settlement. See Note 7 for additional information on the Equity Units, including the issuance of PPL common stock to settle the Purchase contracts.

(b)The Treasury Stock Method was applied to non-participating share-based payment awards, forward sale agreements and the 2010 Purchase Contracts for 2012.

For the year ended December 31, PPL issued common stock related to stock-based compensation plans and DRIP as follows (in thousands):

	2014
Stock-based compensation plans (a)		2,985
DRIP		868

(a)Includes stock options exercised, vesting of performance units, vesting of restricted stock and restricted stock units and conversion of stock units granted to directors.

For the years ended December 31, the following shares (in thousands) were excluded from the computations of diluted EPS because the effect would have been antidilutive.

	2014		2013		2012
Stock options		1,816		4,446		5,293
Performance units		5		55		58
Restricted stock units		31		29