Merger (Tables)

6 Months Ended

Jun. 30, 2011

Merger [Abstract]

Purchase price calculation

Shares of Allegheny common stock outstanding on February 24, 2011		170
Exchange ratio		0.667
Number of shares of FirstEnergy common stock issued		113
Closing price of FirstEnergy common stock on February 24, 2011	$	38.16
Fair value of shares issued by FirstEnergy	$	4,327
Fair value of replacement share-based compensation awards relating to pre-merger service		27
Total consideration transferred	$	4,354

The preliminary allocation of the total consideration transferred to the assets acquired and liabilities assumed

(In millions)
Current assets	$	1,494
Property, plant and equipment		9,656
Investments		138
Goodwill		881
Other noncurrent assets		1,347
Current liabilities		(716	)
Noncurrent liabilities		(3,452	)
Long-term debt and other long-term obligations		(4,994	)
	$	4,354

Goodwill recognized by segment

			Competitive		Regulated
	Regulated		Energy		Independent		Other/
(In millions)	Distribution		Services		Transmission		Corporate		Consolidated
Balance as of December 31, 2010	$	5,551	$	24	$	—	$	—	$	5,575
Merger with Allegheny		—		881		—		—		881
Balance as of June 30, 2011	$	5,551	$	905	$	—	$	—	$	6,456

The preliminary valuation of the additional intangible assets and liabilities recorded as result of the merger

	Preliminary		Weighted Average
(In millions)	Valuation		Amortization Period
Above market contracts:
Energy contracts	$	189	10 years
NUG contracts		124	25 years
Coal supply contracts		516	8 years
		829
Below market contracts:
NUG contracts		143	13 years
Coal supply contracts		83	7 years
Transportation contract		35	8 years
		261
Net intangible assets	$	568

Total intangible assets recorded

	Intangible
(In millions)	Assets
Purchase contract assets
NUG	$	198
OVEC		54
		252
Intangible assets
Coal contracts		487
FES customer intangible assets		129
Energy contracts		105
		721
Total intangible assets	$	973

Revenue and earnings of Allegheny

	April 1 –		February 26 –
(In millions, except per share amounts)	June 30, 2011		June 30, 2011
Total revenues	$	1,181	$	1,618
Earnings available to FirstEnergy Corp.(1)		63		17
Basic Earnings Per Share	$	0.15	$	0.04
Diluted Earnings Per Share	$	0.15	$	0.04

⁽¹⁾ Includes Allegheny’s after-tax merger costs of $4 million and $56 million, respectively.

Summary of consolidated results of operations

	Three Months Ended				Six Months Ended
(Pro forma amounts in millions, except	June 30				June 30
per share amounts)	2011		2010		2011		2010
Revenues	$	4,062	$	4,401	$	8,848	$	9,086
Earnings available to FirstEnergy	$	186	$	389	$	323	$	644
Basic Earnings Per Share	$	0.44	$	0.93	$	0.77	$	1.54
Diluted Earnings Per Share	$	0.44	$	0.93	$	0.77	$	1.53