Guarantees of Debt

6 Months Ended

Jun. 30, 2013

Each series of Power’s Senior Notes, Pollution Control Notes and its syndicated revolving credit facilities are fully and unconditionally and jointly and severally guaranteed by its subsidiaries, PSEG Fossil LLC, PSEG Nuclear LLC and PSEG Energy Resources & Trade LLC. The following table presents condensed financial information for the guarantor subsidiaries, as well as Power’s non-guarantor subsidiaries.




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Three Months Ended June 30, 2013
Operating Revenues	$	—		$	1,535		$	34		$	(379	)	$	1,190
Operating Expenses	2			1,187			31			(379		)	841
Operating Income (Loss)	(2		)	348			3			—			349
Equity Earnings (Losses) of Subsidiaries	213			(2		)	—			(211		)	—
Other Income	10			35			—			(10		)	35
Other Deductions	(2		)	(9		)	—			1			(10		)
Other-Than-Temporary Impairments	—			(2		)	—			—			(2		)
Interest Expense	(26		)	(6		)	(6		)	9			(29		)
Income Tax Benefit (Expense)	11			(151		)	1			—			(139		)
Net Income (Loss)	$	204		$	213		$	(2	)	$	(211	)	$	204
Comprehensive Income (Loss)	$	197		$	198		$	—		$	(198	)	$	197
Three Months Ended June 30, 2012
Operating Revenues	$	—		$	1,329		$	31		$	(375	)	$	985
Operating Expenses	2			1,135			28			(376		)	789
Operating Income (Loss)	(2		)	194			3			1			196
Equity Earnings (Losses) of Subsidiaries	116			(1		)	—			(115		)	—
Other Income	11			39			—			(13		)	37
Other Deductions	—			(17		)	—			—			(17		)
Other-Than-Temporary Impairments	—			(7		)	—			—			(7		)
Interest Expense	(31		)	(10		)	(4		)	13			(32		)
Income Tax Benefit (Expense)	10			(82		)	—			(1		)	(73		)
Net Income (Loss)	$	104		$	116		$	(1	)	$	(115	)	$	104
Comprehensive Income (Loss)	$	86		$	91		$	(1	)	$	(90	)	$	86




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Six Months Ended June 30, 2013
Operating Revenues	$	—		$	3,338		$	67		$	(768	)	$	2,637
Operating Expenses	4			2,749			61			(767		)	2,047
Operating Income (Loss)	(4		)	589			6			(1		)	590
Equity Earnings (Losses) of Subsidiaries	362			(2		)	—			(360		)	—
Other Income	19			83			—			(20		)	82
Other Deductions	(10		)	(29		)	—			1			(38		)
Other-Than-Temporary Impairments	—			(4		)	—			—			(4		)
Interest Expense	(53		)	(16		)	(10		)	20			(59		)
Income Tax Benefit (Expense)	27			(259		)	2			—			(230		)
Net Income (Loss)	$	341		$	362		$	(2	)	$	(360	)	$	341
Comprehensive Income (Loss)	$	366		$	370		$	—		$	(370	)	$	366
Six Months Ended June 30, 2013
Net Cash Provided By (Used In) Operating Activities	$	386		$	884		$	3		$	(419	)	$	854
Net Cash Provided By (Used In) Investing Activities	$	152		$	(411	)	$	—		$	204		$	(55	)
Net Cash Provided By (Used In) Financing Activities	$	(538	)	$	(476	)	$	(3	)	$	215		$	(802	)
Six Months Ended June 30, 2012
Operating Revenues	$	—		$	3,202		$	57		$	(713	)	$	2,546
Operating Expenses	—			2,568			55			(714		)	1,909
Operating Income (Loss)	—			634			2			1			637
Equity Earnings (Losses) of Subsidiaries	376			(4		)	—			(372		)	—
Other Income	24			70			—			(27		)	67
Other Deductions	(7		)	(25		)	—			—			(32		)
Other-Than-Temporary Impairments	—			(12		)	—			—			(12		)
Interest Expense	(60		)	(20		)	(8		)	26			(62		)
Income Tax Benefit (Expense)	24			(267		)	2			—			(241		)
Net Income (Loss)	$	357		$	376		$	(4	)	$	(372	)	$	357
Comprehensive Income (Loss)	$	383		$	388		$	(4	)	$	(384	)	$	383
Six Months Ended June 30, 2012
Net Cash Provided By (Used In) Operating Activities	$	301		$	902		$	3		$	(354	)	$	852
Net Cash Provided By (Used In) Investing Activities	$	365		$	(601	)	$	(23	)	$	70		$	(189	)
Net Cash Provided By (Used In) Financing Activities	$	(666	)	$	(310	)	$	19		$	284		$	(673	)




	Power		Guarantor Subsidiaries		Other Subsidiaries		Consolidating Adjustments			Consolidated
	Millions
As of June 30, 2013
Current Assets	$	3,981	$	8,288	$	844	$	(11,367	)	$	1,746
Property, Plant and Equipment, net	80		5,944		930		—			6,954
Investment in Subsidiaries	4,188		731		—		(4,919		)	—
Noncurrent Assets	189		1,750		56		(125		)	1,870
Total Assets	$	8,438	$	16,713	$	1,830	$	(16,411	)	$	10,570
Current Liabilities	$	583	$	10,443	$	891	$	(11,366	)	$	551
Noncurrent Liabilities	509		2,081		207		(124		)	2,673
Long-Term Debt	2,041		—		—		—			2,041
Member’s Equity	5,305		4,189		732		(4,921		)	5,305
Total Liabilities and Member’s Equity	$	8,438	$	16,713	$	1,830	$	(16,411	)	$	10,570
As of December 31, 2012
Current Assets	$	3,922	$	8,084	$	940	$	(10,712	)	$	2,234
Property, Plant and Equipment, net	80		5,988		950		—			7,018
Investment in Subsidiaries	4,317		733		—		(5,050		)	—
Noncurrent Assets	201		1,660		60		(141		)	1,780
Total Assets	$	8,520	$	16,465	$	1,950	$	(15,903	)	$	11,032
Current Liabilities	$	482	$	10,187	$	1,010	$	(10,712	)	$	967
Noncurrent Liabilities	559		1,960		207		(140		)	2,586
Long-Term Debt	2,040		—		—		—			2,040
Member’s Equity	5,439		4,318		733		(5,051		)	5,439
Total Liabilities and Member’s Equity	$	8,520	$	16,465	$	1,950	$	(15,903	)	$	11,032

Power [Member]

Guarantees of Debt




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Three Months Ended June 30, 2013
Operating Revenues	$	—		$	1,535		$	34		$	(379	)	$	1,190
Operating Expenses	2			1,187			31			(379		)	841
Operating Income (Loss)	(2		)	348			3			—			349
Equity Earnings (Losses) of Subsidiaries	213			(2		)	—			(211		)	—
Other Income	10			35			—			(10		)	35
Other Deductions	(2		)	(9		)	—			1			(10		)
Other-Than-Temporary Impairments	—			(2		)	—			—			(2		)
Interest Expense	(26		)	(6		)	(6		)	9			(29		)
Income Tax Benefit (Expense)	11			(151		)	1			—			(139		)
Net Income (Loss)	$	204		$	213		$	(2	)	$	(211	)	$	204
Comprehensive Income (Loss)	$	197		$	198		$	—		$	(198	)	$	197
Three Months Ended June 30, 2012
Operating Revenues	$	—		$	1,329		$	31		$	(375	)	$	985
Operating Expenses	2			1,135			28			(376		)	789
Operating Income (Loss)	(2		)	194			3			1			196
Equity Earnings (Losses) of Subsidiaries	116			(1		)	—			(115		)	—
Other Income	11			39			—			(13		)	37
Other Deductions	—			(17		)	—			—			(17		)
Other-Than-Temporary Impairments	—			(7		)	—			—			(7		)
Interest Expense	(31		)	(10		)	(4		)	13			(32		)
Income Tax Benefit (Expense)	10			(82		)	—			(1		)	(73		)
Net Income (Loss)	$	104		$	116		$	(1	)	$	(115	)	$	104
Comprehensive Income (Loss)	$	86		$	91		$	(1	)	$	(90	)	$	86




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Six Months Ended June 30, 2013
Operating Revenues	$	—		$	3,338		$	67		$	(768	)	$	2,637
Operating Expenses	4			2,749			61			(767		)	2,047
Operating Income (Loss)	(4		)	589			6			(1		)	590
Equity Earnings (Losses) of Subsidiaries	362			(2		)	—			(360		)	—
Other Income	19			83			—			(20		)	82
Other Deductions	(10		)	(29		)	—			1			(38		)
Other-Than-Temporary Impairments	—			(4		)	—			—			(4		)
Interest Expense	(53		)	(16		)	(10		)	20			(59		)
Income Tax Benefit (Expense)	27			(259		)	2			—			(230		)
Net Income (Loss)	$	341		$	362		$	(2	)	$	(360	)	$	341
Comprehensive Income (Loss)	$	366		$	370		$	—		$	(370	)	$	366
Six Months Ended June 30, 2013
Net Cash Provided By (Used In) Operating Activities	$	386		$	884		$	3		$	(419	)	$	854
Net Cash Provided By (Used In) Investing Activities	$	152		$	(411	)	$	—		$	204		$	(55	)
Net Cash Provided By (Used In) Financing Activities	$	(538	)	$	(476	)	$	(3	)	$	215		$	(802	)
Six Months Ended June 30, 2012
Operating Revenues	$	—		$	3,202		$	57		$	(713	)	$	2,546
Operating Expenses	—			2,568			55			(714		)	1,909
Operating Income (Loss)	—			634			2			1			637
Equity Earnings (Losses) of Subsidiaries	376			(4		)	—			(372		)	—
Other Income	24			70			—			(27		)	67
Other Deductions	(7		)	(25		)	—			—			(32		)
Other-Than-Temporary Impairments	—			(12		)	—			—			(12		)
Interest Expense	(60		)	(20		)	(8		)	26			(62		)
Income Tax Benefit (Expense)	24			(267		)	2			—			(241		)
Net Income (Loss)	$	357		$	376		$	(4	)	$	(372	)	$	357
Comprehensive Income (Loss)	$	383		$	388		$	(4	)	$	(384	)	$	383
Six Months Ended June 30, 2012
Net Cash Provided By (Used In) Operating Activities	$	301		$	902		$	3		$	(354	)	$	852
Net Cash Provided By (Used In) Investing Activities	$	365		$	(601	)	$	(23	)	$	70		$	(189	)
Net Cash Provided By (Used In) Financing Activities	$	(666	)	$	(310	)	$	19		$	284		$	(673	)




	Power		Guarantor Subsidiaries		Other Subsidiaries		Consolidating Adjustments			Consolidated
	Millions
As of June 30, 2013
Current Assets	$	3,981	$	8,288	$	844	$	(11,367	)	$	1,746
Property, Plant and Equipment, net	80		5,944		930		—			6,954
Investment in Subsidiaries	4,188		731		—		(4,919		)	—
Noncurrent Assets	189		1,750		56		(125		)	1,870
Total Assets	$	8,438	$	16,713	$	1,830	$	(16,411	)	$	10,570
Current Liabilities	$	583	$	10,443	$	891	$	(11,366	)	$	551
Noncurrent Liabilities	509		2,081		207		(124		)	2,673
Long-Term Debt	2,041		—		—		—			2,041
Member’s Equity	5,305		4,189		732		(4,921		)	5,305
Total Liabilities and Member’s Equity	$	8,438	$	16,713	$	1,830	$	(16,411	)	$	10,570
As of December 31, 2012
Current Assets	$	3,922	$	8,084	$	940	$	(10,712	)	$	2,234
Property, Plant and Equipment, net	80		5,988		950		—			7,018
Investment in Subsidiaries	4,317		733		—		(5,050		)	—
Noncurrent Assets	201		1,660		60		(141		)	1,780
Total Assets	$	8,520	$	16,465	$	1,950	$	(15,903	)	$	11,032
Current Liabilities	$	482	$	10,187	$	1,010	$	(10,712	)	$	967
Noncurrent Liabilities	559		1,960		207		(140		)	2,586
Long-Term Debt	2,040		—		—		—			2,040
Member’s Equity	5,439		4,318		733		(5,051		)	5,439
Total Liabilities and Member’s Equity	$	8,520	$	16,465	$	1,950	$	(15,903	)	$	11,032