15. Severance

2011 Severance Plan. In conjunction with the proposed merger with Progress Energy, in August 2011, Duke Energy announced plans to offer a voluntary severance plan to approximately 4,850 eligible employees. As this is a voluntary plan, all severance benefits offered under this plan are considered special termination benefits under GAAP. Special termination benefits are measured upon employee acceptance and recorded immediately absent a significant retention period. If a significant retention period exists, the cost of the special termination benefits are recorded ratably over the remaining service periods of the affected employees. Approximately 500 employees accepted the termination benefits during the voluntary window period, which closed on November 30, 2011. The estimated amount of severance payments associated with this voluntary plan, contingent upon a successful close of the proposed merger with Progress Energy, are expected to be approximately $80 million.

Other Severance Plans. Amounts included in the table below represent the severance liability for Duke Energy's past and on-going severance plans.


	Balance at December 31, 2011		Provision/ Adjustments			Cash Reductions			Balance at March 31, 2012
	(in millions)
Duke Energy	$	32	$	(1	)	$	(3	)	$	28

Severance

15. Severance

2011 Severance Plan. In conjunction with the proposed merger with Progress Energy, in August 2011, Duke Energy announced plans to offer a voluntary severance plan to approximately 4,850 eligible employees. As this is a voluntary plan, all severance benefits offered under this plan are considered special termination benefits under GAAP. Special termination benefits are measured upon employee acceptance and recorded immediately absent a significant retention period. If a significant retention period exists, the cost of the special termination benefits are recorded ratably over the remaining service periods of the affected employees. Approximately 500 employees accepted the termination benefits during the voluntary window period, which closed on November 30, 2011. The estimated amount of severance payments associated with this voluntary plan, contingent upon a successful close of the proposed merger with Progress Energy, are expected to be approximately $80 million.

Other Severance Plans. Amounts included in the table below represent the severance liability for Duke Energy's past and on-going severance plans.


	Balance at December 31, 2011		Provision/ Adjustments			Cash Reductions			Balance at March 31, 2012
	(in millions)
Duke Energy	$	32	$	(1	)	$	(3	)	$	28

Severance

15. Severance

2011 Severance Plan. In conjunction with the proposed merger with Progress Energy, in August 2011, Duke Energy announced plans to offer a voluntary severance plan to approximately 4,850 eligible employees. As this is a voluntary plan, all severance benefits offered under this plan are considered special termination benefits under GAAP. Special termination benefits are measured upon employee acceptance and recorded immediately absent a significant retention period. If a significant retention period exists, the cost of the special termination benefits are recorded ratably over the remaining service periods of the affected employees. Approximately 500 employees accepted the termination benefits during the voluntary window period, which closed on November 30, 2011. The estimated amount of severance payments associated with this voluntary plan, contingent upon a successful close of the proposed merger with Progress Energy, are expected to be approximately $80 million.

Other Severance Plans. Amounts included in the table below represent the severance liability for Duke Energy's past and on-going severance plans.


	Balance at December 31, 2011		Provision/ Adjustments			Cash Reductions			Balance at March 31, 2012
	(in millions)
Duke Energy	$	32	$	(1	)	$	(3	)	$	28

Severance

15. Severance

2011 Severance Plan. In conjunction with the proposed merger with Progress Energy, in August 2011, Duke Energy announced plans to offer a voluntary severance plan to approximately 4,850 eligible employees. As this is a voluntary plan, all severance benefits offered under this plan are considered special termination benefits under GAAP. Special termination benefits are measured upon employee acceptance and recorded immediately absent a significant retention period. If a significant retention period exists, the cost of the special termination benefits are recorded ratably over the remaining service periods of the affected employees. Approximately 500 employees accepted the termination benefits during the voluntary window period, which closed on November 30, 2011. The estimated amount of severance payments associated with this voluntary plan, contingent upon a successful close of the proposed merger with Progress Energy, are expected to be approximately $80 million.

Other Severance Plans. Amounts included in the table below represent the severance liability for Duke Energy's past and on-going severance plans.


	Balance at December 31, 2011		Provision/ Adjustments			Cash Reductions			Balance at March 31, 2012
	(in millions)
Duke Energy	$	32	$	(1	)	$	(3	)	$	28

Severance

15. Severance

2011 Severance Plan. In conjunction with the proposed merger with Progress Energy, in August 2011, Duke Energy announced plans to offer a voluntary severance plan to approximately 4,850 eligible employees. As this is a voluntary plan, all severance benefits offered under this plan are considered special termination benefits under GAAP. Special termination benefits are measured upon employee acceptance and recorded immediately absent a significant retention period. If a significant retention period exists, the cost of the special termination benefits are recorded ratably over the remaining service periods of the affected employees. Approximately 500 employees accepted the termination benefits during the voluntary window period, which closed on November 30, 2011. The estimated amount of severance payments associated with this voluntary plan, contingent upon a successful close of the proposed merger with Progress Energy, are expected to be approximately $80 million.

Other Severance Plans. Amounts included in the table below represent the severance liability for Duke Energy's past and on-going severance plans.


	Balance at December 31, 2011		Provision/ Adjustments			Cash Reductions			Balance at March 31, 2012
	(in millions)
Duke Energy	$	32	$	(1	)	$	(3	)	$	28