Pension, OPEB and Savings Plans (Tables)

12 Months Ended

Dec. 31, 2012

Schedule of Defined Benefit Plans Disclosures




	Pension Benefits						Other Benefits
	2012			2011			2012				2011
	Millions
Change in Benefit Obligation:
Benefit Obligation at Beginning of Year	$	4,572		$	4,353		$	1,338			$	1,162
Service Cost	101			92			17				14
Interest Cost	223			228			65				61
Actuarial (Gain) Loss	586			300			182				179
Gross Benefits Paid	(248		)	(236		)	(69		)		(67		)
Medicare Subsidy Receipts	—			—			5				6
Plan Amendments	—			(165		)	—				(17		)
Special Termination Benefits	1			—			—				—
Benefit Obligation at End of Year	$	5,235		$	4,572		$	1,538			$	1,338
Change in Plan Assets:
Fair Value of Assets at Beginning of Year	$	3,831		$	3,555		$	211			$	195
Actual Return on Plan Assets	541			87			31				5
Employer Contributions	233			425			75				72
Gross Benefits Paid	(248		)	(236		)	(69		)		(67		)
Medicare Subsidy Receipts	—			—			5				6
Fair Value of Assets at End of Year	$	4,357		$	3,831		$	253			$	211
Funded Status:
Funded Status (Plan Assets less Benefit Obligation)	$	(878	)	$	(741	)	$	(1,285	)		$	(1,127	)
Additional Amounts Recognized in the Consolidated Balance Sheets:
Noncurrent Assets	$	6		$	—		$	—		—	$	—
Current Accrued Benefit Cost	(8		)	(7		)	—				—
Noncurrent Accrued Benefit Cost	(876		)	(734		)	(1,285		)		(1,127		)
Amounts Recognized	$	(878	)	$	(741	)	$	(1,285	)		$	(1,127	)
Additional Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Regulated Assets and Deferred Assets (A):
Net Transition Obligation	$	—		$	—		$	—			$	2
Prior Service Cost	(139		)	(158		)	(67		)		(81		)
Net Actuarial Loss	2,174			1,991			527				390
Total	$	2,035		$	1,833		$	460			$	311


(A)	Includes $827 million ($485 million, after-tax) and $745 million ($438 million, after-tax) in Accumulated Other Comprehensive Loss related to Pension and OPEB as of December 31, 2012 and 2011, respectively.

Components Of Net Periodic Benefit Cost

The following table provides the components of net periodic benefit cost for the years ended December 31, 2012, 2011 and 2010.




	Pension Benefits Years Ended December 31,									Other Benefits Years Ended December 31,
	2012			2011			2010			2012			2011			2010
	Millions
Components of Net Periodic Benefit Cost:
Service Cost	$	101		$	92		$	87		$	17		$	14		$	16
Interest Cost	223			228			231			65			61			72
Expected Return on Plan Assets	(306		)	(334		)	(266		)	(17		)	(18		)	(14		)
Amortization of Net
Transition Obligation	—			—			—			2			4			27
Prior Service Cost	(18		)	(11		)	—			(14		)	(13		)	13
Actuarial Loss	167			119			122			31			14			8
Net Periodic Benefit Cost	$	167		$	94		$	174		$	84		$	62		$	122
Special Termination Benefits	1			—			—			—			—			—
Effect of Regulatory Asset	—			—			—			19			19			19
Total Benefit Costs, Including Effect of Regulatory Asset	$	168		$	94		$	174		$	103		$	81		$	141

Schedule Of Pension And OPEB Costs

Pension costs and OPEB costs for PSEG, Power and PSE&G are detailed as follows:




	Pension Benefits Years Ended December 31,						Other Benefits Years Ended December 31,
	2012		2011		2010		2012		2011		2010
	Millions
Power	$	52	$	29	$	54	$	18	$	12	$	17
PSE&G	97		51		97		82		67		120
Other	19		14		23		3		2		4
Total Benefit Costs	$	168	$	94	$	174	$	103	$	81	$	141

Schedule of Amounts Recognized in Other Comprehensive Income (Loss)




	Pension						OPEB
	2012			2011			2012			2011
	Millions
Net Actuarial (Gain) Loss in Current Period	$	350		$	547		$	169		$	192
Amortization of Net Actuarial Gain (Loss)	(167		)	(119		)	(32		)	(14		)
Prior Service Credit in Current Period	—			(165		)	—			(17		)
Amortization of Prior Service Credit	19			11			14			13
Amortization of Transition Asset	—			—			(2		)	(4		)
Total	$	202		$	274		$	149		$	170

Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year




	Pension Benefits			Other Benefits
	2013			2013
	Millions
Actuarial (Gain) Loss	$	188		$	43
Prior Service Cost	$	(19	)	$	(14	)

Schedule of Assumptions Used




	Pension Benefits						Other Benefits
	2012		2011		2010		2012			2011			2010
Weighted-Average Assumptions Used to Determine Benefit Obligations as of December 31:
Discount Rate	4.20	%	5.00	%	5.51	%	4.20		%	5.00		%	5.50		%
Rate of Compensation Increase	4.61	%	4.61	%	4.61	%	4.61		%	4.61		%	4.61		%
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost for Years Ended December 31:
Discount Rate	5.00	%	5.40	%	5.91	%	5.00		%	5.38		%	5.90		%
Expected Return on Plan Assets	8.00	%	8.50	%	8.50	%	8.00		%	8.50		%	8.50		%
Rate of Compensation Increase	4.61	%	4.61	%	4.61	%	4.61		%	4.61		%	4.61		%
Assumed Health Care Cost Trend Rates as of December 31:
Administrative Expense							3.00		%	5.00		%	5.00		%
Dental Costs							6.00		%	6.00		%	6.00		%
Pre-65 Medical Costs
Immediate Rate							8.88		%	8.00		%	7.75		%
Ultimate Rate							5.00		%	5.00		%	5.00		%
Year Ultimate Rate Reached							2023			2016			2015
Post-65 Medical Costs
Immediate Rate							7.98		%	8.25		%	8.75		%
Ultimate Rate							5.00		%	5.00		%	5.00		%
Year Ultimate Rate Reached							2019			2017			2016
Effect of a 1% Increase in the Assumed Rate of Increase in Health Care Benefit Costs:
							Millions
Total of Service Cost and Interest Cost							$	12		$	11		$	10
Postretirement Benefit Obligation							$	180		$	155		$	122
Effect of a 1% Decrease in the Assumed Rate of Increase in Health Care Benefit Costs:
Total of Service Cost and Interest Cost							$	(9	)	$	(9	)	$	(8	)
Postretirement Benefit Obligation							$	(149	)	$	(128	)	$	(102	)

Schedule of Allocation of Plan Assets




	Recurring Fair Value Measurements as of December 31, 2012
			Quoted Market Prices for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
Description	Total		(Level 1)		(Level 2)		(Level 3)
	Millions
Temporary Investment Funds (A)	$	67	$	—	$	67	$	—
Common Stocks (B)
Commingled—United States	1,928		1,928		—		—
Commingled—International	839		839		—		—
Other	431		431		—		—
Bonds (C)
Government (United States & Foreign)	623		—		623		—
Other	691		—		691		—
Private Equity (E)	31		—		—		31
Total	$	4,610	$	3,198	$	1,381	$	31




	Recurring Fair Value Measurements as of December 31, 2011
			Quoted Market Prices for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
Description	Total		(Level 1)		(Level 2)		(Level 3)
	Millions
Temporary Investment Funds (A)	$	32	$	—	$	32	$	—
Common Stocks (B)
Commingled—United States	1,653		1,653		—		—
Commingled—International	603		603		—		—
Other	356		356		—		—
Bonds (C)
Government (United States & Foreign)	662		—		662		—
Other	663		—		663		—
Pooled Real Estate (D)	36		—		—		36
Private Equity (E)	37		—		—		37
Total	$	4,042	$	2,612	$	1,357	$	73


(A)	Certain temporary investment funds are valued using inputs such as time-to-maturity, coupon rate, quality rating and current yield (primarily Level 2).


(B)	Wherever possible, fair values of equity investments in stocks and in commingled funds are derived from quoted market prices as substantially all of these instruments have active markets (primarily Level 1). Most investments in stocks are priced utilizing the principal market close price or in some cases midpoint, bid or ask price.


(C)	Investments in fixed income securities including bond funds are priced using an evaluated pricing approach or the most recent exchange or quoted bid (primarily Level 2).


(D)	The fair value of real estate investments is based on annual independent appraisals. The investments are also valued internally every quarter by the investment managers based on significant changes in property operations and market conditions (primarily Level 3).

(E)

Limited partnership interests in private equity funds are valued using significant unobservable inputs as there is little, if any, market activity. In addition, there may be transfer restrictions on private equity securities. The process for determining the fair value of such securities relied on commonly accepted valuation techniques, including the use of earnings multiples based on comparable public securities, industry-specific non-earnings-based multiples and discounted cash flow models. These inputs require significant management judgment or estimation (primarily Level 3).

Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets




	Balance as of January 1, 2012		Purchases/ (Sales)			Transfer In/ (Out)		Actual Return on Asset Sales		Actual Return on Assets Still Held			Balance as of December 31, 2012
	Millions
Pooled Real Estate	$	36	$	(38	)	$	—	$	2	$	—		$	—
Private Equity	$	37	$	(6	)	$	—	$	5	$	(5	)	$	31




	Balance as of January 1, 2011		Purchases/ (Sales)			Transfer In/ (Out) (A)			Actual Return on Asset Sales		Actual Return on Assets Still Held			Balance as of December 31, 2011
	Millions
Temporary Investment Funds	$	23	$	—		$	(23	)	$	—	$	—		$	—
Commingled Bonds—United States	$	8	$	(8	)	$	—		$	—	$	—		$	—
Pooled Real Estate	$	48	$	(18	)	$	—		$	1	$	5		$	36
Private Equity	$	38	$	(5	)	$	—		$	7	$	(3	)	$	37


(A)	During the year ended December 31, 2011, $23 million of the temporary investment funds in the Pension and OPEB Fund were transferred from Level 3 to Level 2, due to more observable pricing for the underlying securities. As per PSEG’s policy, this transfer was recognized as of the beginning of the first quarter (i.e. the quarter in which the transfer occurred).

Schedule Of Percentage Of Fair Value Of Total Plan Assets




	As of December 31,
Investments	2012		2011
Equity Securities	69	%	64	%
Fixed Income Securities	29		33
Real Estate Assets	—		1
Other Investments	2		2
Total Percentage	100	%	100	%

Schedule of Expected Benefit Payments





Year	Pension Benefits		Other Benefits
	Millions
2013	$	254	$	79
2014	260		80
2015	267		82
2016	274		84
2017	284		85
2018-2022	1,592		459
Total	$	2,931	$	869

Schedule Of Amount Paid For Employer Matching Contributions




	Thrift Plan and Savings Plan
	Years Ended December 31,
	2012		2011		2010
	Millions
Power	$	10	$	8	$	5
PSE&G	18		14		9
Other	4		2		3
Total Employer Matching Contributions	$	32	$	24	$	17