Earnings Per Share (EPS) and Dividends

9 Months Ended

Sep. 30, 2012

Earnings Per Share (EPS) and Dividends

Earnings Per Share (EPS) and Dividends

Diluted EPS is calculated by dividing Net Income by the weighted average number of shares of common stock outstanding, including shares issuable upon exercise of stock options outstanding or vesting of restricted stock awards granted under PSEG's stock compensation plans and upon payment of performance units or restricted stock units. The following table shows the effect of these stock options, performance units and restricted stock units on the weighted average number of shares outstanding used in calculating diluted EPS:

	Three Months Ended September 30,								Nine Months Ended September 30,
	2012				2011				2012				2011
	Basic		Diluted		Basic		Diluted		Basic		Diluted		Basic		Diluted
EPS Numerator (Millions)
Continuing Operations	$	347	$	347	$	265	$	265	$	1,051	$	1,051	$	1,047	$	1,047
Discontinued Operations	—		—		29		29		—		—		96		96
Net Income	$	347	$	347	$	294	$	294	$	1,051	$	1,051	$	1,143	$	1,143
EPS Denominator (Thousands)
Weighted Average Common Shares Outstanding	505,914		505,914		505,909		505,909		505,942		505,942		505,959		505,959
Effect of Stock Based Compensation Awards	—		1,197		—		1,090		—		1,095		—		1,004
Total Shares	505,914		507,111		505,909		506,999		505,942		507,037		505,959		506,963
EPS
Continuing Operations	$	0.69	$	0.68	$	0.52	$	0.52	$	2.08	$	2.07	$	2.07	$	2.06
Discontinued Operations	—		—		0.06		0.06		—		—		0.19		0.19
Net Income	$	0.69	$	0.68	$	0.58	$	0.58	$	2.08	$	2.07	$	2.26	$	2.25

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
Dividend Payments on Common Stock	2012		2011		2012		2011
Per Share	$	0.3550	$	0.3425	$	1.0650	$	1.0275
in Millions	$	180	$	173	$	538	$	520