XML 96 R31.htm IDEA: XBRL DOCUMENT v2.4.1.9
Financial Information By Business Segments
 12 Months Ended
Dec. 31, 2014
Segment Reporting Information [Line Items]  
Financial Information By Business Segments
Financial Information by Business Segment
Basis of Organization
PSEG’s operating segments are PSE&G and Power. The operating segments were determined by management in accordance with GAAP. These segments were determined based on how management measures performance based on segment Net Income, as illustrated in the following table, and how it allocates resources to each business.
PSE&G
PSE&G earns revenues from its tariffs, under which it provides electric transmission and electric and gas distribution services to residential, commercial and industrial customers in New Jersey. The rates charged for electric transmission are regulated by the FERC while the rates charged for electric and gas distribution are regulated by the BPU. Revenues are also earned from several other activities such as solar investments, sundry sales, the appliance service business, wholesale transmission services and other miscellaneous services.
Power
Power earns revenues by selling energy, capacity and ancillary services on a wholesale basis under contract to power marketers and to load serving entities and by bidding energy, capacity and ancillary services into the markets for these products. Power also enters into contracts for energy, capacity, FTRs, gas, emission allowances and other energy-related contracts to optimize the value of its portfolio of generating assets and its electric and gas supply obligations.
Other
This category includes amounts applicable to Energy Holdings and PSEG LI, which are below the quantitative threshold for separate disclosure as reportable segments. Other also includes amounts applicable to PSEG (parent corporation) and Services.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,766

 
$
5,434

 
$
455

 
$
(1,769
)
 
$
10,886

 
 
Depreciation and Amortization
 
906

 
292

 
29

 
—

 
1,227

 
 
Operating Income (Loss)
 
1,393

 
1,209

 
21

 
—

 
2,623

 
 
Income from Equity Method Investments
 
—

 
14

 
(1
)
 
—

 
13

 
 
Interest Income
 
26

 
1

 
25

 
(22
)
 
30

 
 
Interest Expense
 
277

 
122

 
12

 
(22
)
 
389

 
 
Income (Loss) before Income Taxes
 
1,174

 
1,251

 
31

 
—

 
2,456

 
 
Income Tax Expense (Benefit)
 
449

 
491

 
(2
)
 
—

 
938

 
 
Net Income (Loss)
 
725

 
760

 
33

 
—

 
1,518

 
 
Gross Additions to Long-Lived Assets
 
$
2,164

 
$
626

 
$
30

 
$
—

 
$
2,820

 
 
As of December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
22,223

 
$
12,046

 
$
2,799

 
$
(1,735
)
 
$
35,333

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
121

 
$
2

 
$
—

 
$
123

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,655

 
$
5,063

 
$
52

 
$
(1,802
)
 
$
9,968

 
 
Depreciation and Amortization
 
872

 
273

 
33

 
—

 
1,178

 
 
Operating Income (Loss)
 
1,235

 
1,070

 
(6
)
 
—

 
2,299

 
 
Income from Equity Method Investments
 
—

 
16

 
(5
)
 
—

 
11

 
 
Interest Income
 
25

 
1

 
25

 
(22
)
 
29

 
 
Interest Expense
 
293

 
116

 
15

 
(22
)
 
402

 
 
Income (Loss) before Income Taxes
 
993

 
1,063

 
(1
)
 
—

 
2,055

 
 
Income Tax Expense (Benefit)
 
381

 
419

 
12

 
—

 
812

 
 
Net Income (Loss)
 
612

 
644

 
(13
)
 
—

 
1,243

 
 
Gross Additions to Long-Lived Assets
 
$
2,175

 
$
609

 
$
27

 
$
—

 
$
2,811

 
 
As of December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
19,720

 
$
12,002

 
$
4,025

 
$
(3,225
)
 
$
32,522

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
123

 
$
3

 
$
—

 
$
126

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,626

 
$
4,873

 
$
103

 
$
(1,821
)
 
$
9,781

 
 
Depreciation and Amortization
 
778

 
242

 
34

 
—

 
1,054

 
 
Operating Income (Loss)
 
1,083

 
1,123

 
72

 
—

 
2,278

 
 
Income from Equity Method Investments
 
—

 
15

 
(3
)
 
—

 
12

 
 
Interest Income
 
20

 
3

 
25

 
(21
)
 
27

 
 
Interest Expense
 
295

 
132

 
17

 
(21
)
 
423

 
 
Income (Loss) before Income Taxes
 
835

 
1,099

 
77

 
—

 
2,011

 
 
Income Tax Expense (Benefit)
 
307

 
433

 
(4
)
 
—

 
736

 
 
Net Income (Loss)
 
528

 
666

 
81

 
—

 
1,275

 
 
Gross Additions to Long-Lived Assets
 
$
1,770

 
$
770

 
$
34

 
$
—

 
$
2,574

 
 
As of December 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
19,223

 
$
11,323

 
$
4,161

 
$
(2,982
)
 
$
31,725

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
125

 
$
9

 
$
—

 
$
134

 
 
 
 
 
 
 
 
 
 
 
 
 
 


(A)
Intercompany eliminations, primarily relate to intercompany transactions between PSE&G and Power. No gains or losses are recorded on any intercompany transactions; rather, all intercompany transactions are at cost or, in the case of the BGS and BGSS contracts between PSE&G and Power, at rates prescribed by the BPU. For a further discussion of the intercompany transactions between PSE&G and Power, see Note 23. Related-Party Transactions.
PSE&G [Member]  
Segment Reporting Information [Line Items]  
Financial Information By Business Segments
Financial Information by Business Segment
Basis of Organization
PSEG’s operating segments are PSE&G and Power. The operating segments were determined by management in accordance with GAAP. These segments were determined based on how management measures performance based on segment Net Income, as illustrated in the following table, and how it allocates resources to each business.
PSE&G
PSE&G earns revenues from its tariffs, under which it provides electric transmission and electric and gas distribution services to residential, commercial and industrial customers in New Jersey. The rates charged for electric transmission are regulated by the FERC while the rates charged for electric and gas distribution are regulated by the BPU. Revenues are also earned from several other activities such as solar investments, sundry sales, the appliance service business, wholesale transmission services and other miscellaneous services.
Power
Power earns revenues by selling energy, capacity and ancillary services on a wholesale basis under contract to power marketers and to load serving entities and by bidding energy, capacity and ancillary services into the markets for these products. Power also enters into contracts for energy, capacity, FTRs, gas, emission allowances and other energy-related contracts to optimize the value of its portfolio of generating assets and its electric and gas supply obligations.
Other
This category includes amounts applicable to Energy Holdings and PSEG LI, which are below the quantitative threshold for separate disclosure as reportable segments. Other also includes amounts applicable to PSEG (parent corporation) and Services.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,766

 
$
5,434

 
$
455

 
$
(1,769
)
 
$
10,886

 
 
Depreciation and Amortization
 
906

 
292

 
29

 
—

 
1,227

 
 
Operating Income (Loss)
 
1,393

 
1,209

 
21

 
—

 
2,623

 
 
Income from Equity Method Investments
 
—

 
14

 
(1
)
 
—

 
13

 
 
Interest Income
 
26

 
1

 
25

 
(22
)
 
30

 
 
Interest Expense
 
277

 
122

 
12

 
(22
)
 
389

 
 
Income (Loss) before Income Taxes
 
1,174

 
1,251

 
31

 
—

 
2,456

 
 
Income Tax Expense (Benefit)
 
449

 
491

 
(2
)
 
—

 
938

 
 
Net Income (Loss)
 
725

 
760

 
33

 
—

 
1,518

 
 
Gross Additions to Long-Lived Assets
 
$
2,164

 
$
626

 
$
30

 
$
—

 
$
2,820

 
 
As of December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
22,223

 
$
12,046

 
$
2,799

 
$
(1,735
)
 
$
35,333

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
121

 
$
2

 
$
—

 
$
123

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,655

 
$
5,063

 
$
52

 
$
(1,802
)
 
$
9,968

 
 
Depreciation and Amortization
 
872

 
273

 
33

 
—

 
1,178

 
 
Operating Income (Loss)
 
1,235

 
1,070

 
(6
)
 
—

 
2,299

 
 
Income from Equity Method Investments
 
—

 
16

 
(5
)
 
—

 
11

 
 
Interest Income
 
25

 
1

 
25

 
(22
)
 
29

 
 
Interest Expense
 
293

 
116

 
15

 
(22
)
 
402

 
 
Income (Loss) before Income Taxes
 
993

 
1,063

 
(1
)
 
—

 
2,055

 
 
Income Tax Expense (Benefit)
 
381

 
419

 
12

 
—

 
812

 
 
Net Income (Loss)
 
612

 
644

 
(13
)
 
—

 
1,243

 
 
Gross Additions to Long-Lived Assets
 
$
2,175

 
$
609

 
$
27

 
$
—

 
$
2,811

 
 
As of December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
19,720

 
$
12,002

 
$
4,025

 
$
(3,225
)
 
$
32,522

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
123

 
$
3

 
$
—

 
$
126

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,626

 
$
4,873

 
$
103

 
$
(1,821
)
 
$
9,781

 
 
Depreciation and Amortization
 
778

 
242

 
34

 
—

 
1,054

 
 
Operating Income (Loss)
 
1,083

 
1,123

 
72

 
—

 
2,278

 
 
Income from Equity Method Investments
 
—

 
15

 
(3
)
 
—

 
12

 
 
Interest Income
 
20

 
3

 
25

 
(21
)
 
27

 
 
Interest Expense
 
295

 
132

 
17

 
(21
)
 
423

 
 
Income (Loss) before Income Taxes
 
835

 
1,099

 
77

 
—

 
2,011

 
 
Income Tax Expense (Benefit)
 
307

 
433

 
(4
)
 
—

 
736

 
 
Net Income (Loss)
 
528

 
666

 
81

 
—

 
1,275

 
 
Gross Additions to Long-Lived Assets
 
$
1,770

 
$
770

 
$
34

 
$
—

 
$
2,574

 
 
As of December 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
19,223

 
$
11,323

 
$
4,161

 
$
(2,982
)
 
$
31,725

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
125

 
$
9

 
$
—

 
$
134

 
 
 
 
 
 
 
 
 
 
 
 
 
 


(A)
Intercompany eliminations, primarily relate to intercompany transactions between PSE&G and Power. No gains or losses are recorded on any intercompany transactions; rather, all intercompany transactions are at cost or, in the case of the BGS and BGSS contracts between PSE&G and Power, at rates prescribed by the BPU. For a further discussion of the intercompany transactions between PSE&G and Power, see Note 23. Related-Party Transactions.
Power [Member]  
Segment Reporting Information [Line Items]  
Financial Information By Business Segments
Financial Information by Business Segment
Basis of Organization
PSEG’s operating segments are PSE&G and Power. The operating segments were determined by management in accordance with GAAP. These segments were determined based on how management measures performance based on segment Net Income, as illustrated in the following table, and how it allocates resources to each business.
PSE&G
PSE&G earns revenues from its tariffs, under which it provides electric transmission and electric and gas distribution services to residential, commercial and industrial customers in New Jersey. The rates charged for electric transmission are regulated by the FERC while the rates charged for electric and gas distribution are regulated by the BPU. Revenues are also earned from several other activities such as solar investments, sundry sales, the appliance service business, wholesale transmission services and other miscellaneous services.
Power
Power earns revenues by selling energy, capacity and ancillary services on a wholesale basis under contract to power marketers and to load serving entities and by bidding energy, capacity and ancillary services into the markets for these products. Power also enters into contracts for energy, capacity, FTRs, gas, emission allowances and other energy-related contracts to optimize the value of its portfolio of generating assets and its electric and gas supply obligations.
Other
This category includes amounts applicable to Energy Holdings and PSEG LI, which are below the quantitative threshold for separate disclosure as reportable segments. Other also includes amounts applicable to PSEG (parent corporation) and Services.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,766

 
$
5,434

 
$
455

 
$
(1,769
)
 
$
10,886

 
 
Depreciation and Amortization
 
906

 
292

 
29

 
—

 
1,227

 
 
Operating Income (Loss)
 
1,393

 
1,209

 
21

 
—

 
2,623

 
 
Income from Equity Method Investments
 
—

 
14

 
(1
)
 
—

 
13

 
 
Interest Income
 
26

 
1

 
25

 
(22
)
 
30

 
 
Interest Expense
 
277

 
122

 
12

 
(22
)
 
389

 
 
Income (Loss) before Income Taxes
 
1,174

 
1,251

 
31

 
—

 
2,456

 
 
Income Tax Expense (Benefit)
 
449

 
491

 
(2
)
 
—

 
938

 
 
Net Income (Loss)
 
725

 
760

 
33

 
—

 
1,518

 
 
Gross Additions to Long-Lived Assets
 
$
2,164

 
$
626

 
$
30

 
$
—

 
$
2,820

 
 
As of December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
22,223

 
$
12,046

 
$
2,799

 
$
(1,735
)
 
$
35,333

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
121

 
$
2

 
$
—

 
$
123

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,655

 
$
5,063

 
$
52

 
$
(1,802
)
 
$
9,968

 
 
Depreciation and Amortization
 
872

 
273

 
33

 
—

 
1,178

 
 
Operating Income (Loss)
 
1,235

 
1,070

 
(6
)
 
—

 
2,299

 
 
Income from Equity Method Investments
 
—

 
16

 
(5
)
 
—

 
11

 
 
Interest Income
 
25

 
1

 
25

 
(22
)
 
29

 
 
Interest Expense
 
293

 
116

 
15

 
(22
)
 
402

 
 
Income (Loss) before Income Taxes
 
993

 
1,063

 
(1
)
 
—

 
2,055

 
 
Income Tax Expense (Benefit)
 
381

 
419

 
12

 
—

 
812

 
 
Net Income (Loss)
 
612

 
644

 
(13
)
 
—

 
1,243

 
 
Gross Additions to Long-Lived Assets
 
$
2,175

 
$
609

 
$
27

 
$
—

 
$
2,811

 
 
As of December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
19,720

 
$
12,002

 
$
4,025

 
$
(3,225
)
 
$
32,522

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
123

 
$
3

 
$
—

 
$
126

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSE&G
 
Power
 
Other
 
Eliminations (A)
 
Consolidated
Total
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Operating Revenues
 
$
6,626

 
$
4,873

 
$
103

 
$
(1,821
)
 
$
9,781

 
 
Depreciation and Amortization
 
778

 
242

 
34

 
—

 
1,054

 
 
Operating Income (Loss)
 
1,083

 
1,123

 
72

 
—

 
2,278

 
 
Income from Equity Method Investments
 
—

 
15

 
(3
)
 
—

 
12

 
 
Interest Income
 
20

 
3

 
25

 
(21
)
 
27

 
 
Interest Expense
 
295

 
132

 
17

 
(21
)
 
423

 
 
Income (Loss) before Income Taxes
 
835

 
1,099

 
77

 
—

 
2,011

 
 
Income Tax Expense (Benefit)
 
307

 
433

 
(4
)
 
—

 
736

 
 
Net Income (Loss)
 
528

 
666

 
81

 
—

 
1,275

 
 
Gross Additions to Long-Lived Assets
 
$
1,770

 
$
770

 
$
34

 
$
—

 
$
2,574

 
 
As of December 31, 2012
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
19,223

 
$
11,323

 
$
4,161

 
$
(2,982
)
 
$
31,725

 
 
Investments in Equity Method Subsidiaries
 
$
—

 
$
125

 
$
9

 
$
—

 
$
134

 
 
 
 
 
 
 
 
 
 
 
 
 
 


(A)
Intercompany eliminations, primarily relate to intercompany transactions between PSE&G and Power. No gains or losses are recorded on any intercompany transactions; rather, all intercompany transactions are at cost or, in the case of the BGS and BGSS contracts between PSE&G and Power, at rates prescribed by the BPU. For a further discussion of the intercompany transactions between PSE&G and Power, see Note 23. Related-Party Transactions.