Guarantees of Debt

12 Months Ended

Dec. 31, 2014

Subsidiary or Equity Method Investee [Line Items]

Power’s Senior Notes 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 financial information for the guarantor subsidiaries as well as Power’s non-guarantor subsidiaries as of December 31, 2014 and 2013 and for the years ended December 31, 2014, 2013 and 2012.




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Year Ended December 31, 2014
Operating Revenues	$	—		$	5,390		$	153		$	(109	)	$	5,434
Operating Expenses	16			4,175			143			(109		)	4,225
Operating Income (Loss)	(16		)	1,215			10			—			1,209
Equity Earnings (Losses) of Subsidiaries	799			(5		)	14			(794		)	14
Other Income	34			222			—			(34		)	222
Other Deductions	(20		)	(32		)	—			—			(52		)
Other-Than-Temporary Impairments	—			(20		)	—			—			(20		)
Interest Expense	(102		)	(35		)	(19		)	34			(122		)
Income Tax Benefit (Expense)	65			(558		)	2			—			(491		)
Net Income (Loss)	$	760		$	787		$	7		$	(794	)	$	760
Comprehensive Income (Loss)	$	595		$	768		$	7		$	(775	)	$	595
As of December 31, 2014
Current Assets	$	4,263		$	2,037		$	150		$	(4,091	)	$	2,359
Property, Plant and Equipment, net	81			6,265			1,169			—			7,515
Investment in Subsidiaries	4,516			120			—			(4,636		)	—
Noncurrent Assets	278			1,952			137			(195		)	2,172
Total Assets	$	9,138		$	10,374		$	1,456		$	(8,922	)	$	12,046
Current Liabilities	$	883		$	3,606		$	786		$	(4,091	)	$	1,184
Noncurrent Liabilities	454			2,442			360			(195		)	3,061
Long-Term Debt	2,243			—			—			—			2,243
Member’s Equity	5,558			4,326			310			(4,636		)	5,558
Total Liabilities and Member’s Equity	$	9,138		$	10,374		$	1,456		$	(8,922	)	$	12,046
Year Ended December 31, 2014
Net Cash Provided By (Used In) Operating Activities	$	577		$	1,674		$	76		$	(902	)	$	1,425
Net Cash Provided By (Used In) Investing Activities	$	148		$	(856	)	$	(42	)	$	226		$	(524	)
Net Cash Provided By (Used In) Financing Activities	$	(724	)	$	(818	)	$	(32	)	$	676		$	(898	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Year Ended December 31, 2013
Operating Revenues	$	—		$	5,022		$	190		$	(149	)	$	5,063
Operating Expenses	23			3,945			174			(149		)	3,993
Operating Income (Loss)	(23		)	1,077			16			—			1,070
Equity Earnings (Losses) of Subsidiaries	684			(5		)	16			(679		)	16
Other Income	35			157			—			(38		)	154
Other Deductions	(14		)	(35		)	—			—			(49		)
Other-Than-Temporary Impairments	—			(12		)	—			—			(12		)
Interest Expense	(93		)	(42		)	(19		)	38			(116		)
Income Tax Benefit (Expense)	55			(474		)	—			—			(419		)
Net Income (Loss)	$	644		$	666		$	13		$	(679	)	$	644
Comprehensive Income (Loss)	$	909		$	713		$	11		$	(724	)	$	909
As of December 31, 2013
Current Assets	$	4,413		$	2,076		$	102		$	(4,115	)	$	2,476
Property, Plant and Equipment, net	81			6,108			1,178			—			7,367
Investment in Subsidiaries	4,645			124			—			(4,769		)	—
Noncurrent Assets	222			1,847			138			(48		)	2,159
Total Assets	$	9,361		$	10,155		$	1,418		$	(8,932	)	$	12,002
Current Liabilities	$	697		$	3,474		$	745		$	(4,116	)	$	800
Noncurrent Liabilities	309			2,247			338			(47		)	2,847
Long-Term Debt	2,497			—			—			—			2,497
Member’s Equity	5,858			4,434			335			(4,769		)	5,858
Total Liabilities and Member’s Equity	$	9,361		$	10,155		$	1,418		$	(8,932	)	$	12,002
Year Ended December 31, 2013
Net Cash Provided By (Used In) Operating Activities	$	288		$	1,503		$	82		$	(526	)	$	1,347
Net Cash Provided By (Used In) Investing Activities	$	(395	)	$	(1,092	)	$	(71	)	$	697		$	(861	)
Net Cash Provided By (Used In) Financing Activities	$	107		$	(412	)	$	(11	)	$	(171	)	$	(487	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Year Ended December 31, 2012
Operating Revenues	$	—		$	4,850		$	135		$	(112	)	$	4,873
Operating Expenses	7			3,730			125			(112		)	3,750
Operating Income (Loss)	(7		)	1,120			10			—			1,123
Equity Earnings (Losses) of Subsidiaries	707			(10		)	15			(697		)	15
Other Income	45			206			2			(52		)	201
Other Deductions	(31		)	(59		)	—			—			(90		)
Other-Than-Temporary Impairments	—			(18		)	—			—			(18		)
Interest Expense	(118		)	(51		)	(16		)	53			(132		)
Income Tax Benefit (Expense)	70			(501		)	(2		)	—			(433		)
Net Income (Loss)	$	666		$	687		$	9		$	(696	)	$	666
Comprehensive Income (Loss)	$	614		$	681		$	9		$	(690	)	$	614
Year Ended December 31, 2012
Net Cash Provided By (Used In) Operating Activities	$	298		$	1,562		$	67		$	(474	)	$	1,453
Net Cash Provided By (Used In) Investing Activities	$	(14	)	$	(1,206	)	$	(151	)	$	899		$	(472	)
Net Cash Provided By (Used In) Financing Activities	$	(284	)	$	(361	)	$	83		$	(424	)	$	(986	)

Immaterial Correction of Prior Financial Information

The financial information included in the tables above has been corrected from the disclosure provided in Power's Form 10-K filed on February 26, 2014 (2013 10-K) to conform to the requirements of Section 210.3-10 of SEC Regulation S-X.

In the prior disclosure, Operating Revenues and Operating Expenses among the Guarantor Subsidiaries were eliminated in the Consolidating Adjustments column. The revised presentation eliminates this activity in the Guarantor Subsidiaries column and removes such activity from the Consolidating Adjustments column. This revised presentation decreased both Operating Revenues and Operating Expenses in both the Guarantor Subsidiaries and Consolidating Adjustments columns. This correction had no impact on Power’s consolidated Operating Revenues and Operating Expenses.

In the prior disclosure, loans payable by Power parent company to one of its guarantor subsidiaries were netted against loans receivable in net cash flows used in investing activities. The revised presentation reclassifies the increase in loans payable by the parent company to the guarantor subsidiary from net cash flows used in investing activities to net cash flows provided by financing activities. This revised presentation decreased net cash flows used in investing activities and increased net cash flows provided by financing activities in the Power column with corresponding offsets to the amounts in the Consolidating Adjustments Column.

In addition, the revised information was corrected to present the intercompany balances on a net basis when the right of offset exists in either Current Assets or Current Liabilities. This revised presentation resulted in increases/(decreases) to certain categories of the Consolidated Balance Sheet.

The following table summarizes the adjustments for all prior periods that have been revised in this Note.




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Increase (Decrease)
	Millions
Year Ended December 31, 2013
Operating Revenues	$	—		$	(1,468	)	$	—		$	1,468		$	—
Operating Expenses	$	—		$	(1,468	)	$	—		$	1,468		$	—
Net Cash Provided By (Used In) Investing Activities	$	(588	)	$	—		$	—		$	588		$	—
Net Cash Provided By (Used In) Financing Activities	$	588		$	—		$	—		$	(588	)	$	—
As of December 31, 2013
Current Assets	$	253		$	(6,840	)	$	(842	)	$	7,429		$	—
Investment in Subsidiaries	—			(605		)	—			605			—
Total Assets	$	253		$	(7,445	)	$	(842	)	$	8,034		$	—
Current Liabilities	$	253		$	(7,445	)	$	(237	)	$	7,429		$	—
Member's Equity	—			—			(605		)	605			—
Total Liabilities and Member's Equity	$	253		$	(7,445	)	$	(842	)	$	8,034		$	—
Year Ended December 31, 2012
Operating Revenues	$	—		$	(1,388	)	$	—		$	1,388		$	—
Operating Expenses	$	—		$	(1,388	)	$	—		$	1,388		$	—
Net Cash Provided By (Used In) Investing Activities	$	(729	)	$	—		$	—		$	729		$	—
Net Cash Provided By (Used In) Financing Activities	$	679		$	—		$	—		$	(679	)	$	—

Power [Member]

Subsidiary or Equity Method Investee [Line Items]

Guarantees of Debt




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Year Ended December 31, 2014
Operating Revenues	$	—		$	5,390		$	153		$	(109	)	$	5,434
Operating Expenses	16			4,175			143			(109		)	4,225
Operating Income (Loss)	(16		)	1,215			10			—			1,209
Equity Earnings (Losses) of Subsidiaries	799			(5		)	14			(794		)	14
Other Income	34			222			—			(34		)	222
Other Deductions	(20		)	(32		)	—			—			(52		)
Other-Than-Temporary Impairments	—			(20		)	—			—			(20		)
Interest Expense	(102		)	(35		)	(19		)	34			(122		)
Income Tax Benefit (Expense)	65			(558		)	2			—			(491		)
Net Income (Loss)	$	760		$	787		$	7		$	(794	)	$	760
Comprehensive Income (Loss)	$	595		$	768		$	7		$	(775	)	$	595
As of December 31, 2014
Current Assets	$	4,263		$	2,037		$	150		$	(4,091	)	$	2,359
Property, Plant and Equipment, net	81			6,265			1,169			—			7,515
Investment in Subsidiaries	4,516			120			—			(4,636		)	—
Noncurrent Assets	278			1,952			137			(195		)	2,172
Total Assets	$	9,138		$	10,374		$	1,456		$	(8,922	)	$	12,046
Current Liabilities	$	883		$	3,606		$	786		$	(4,091	)	$	1,184
Noncurrent Liabilities	454			2,442			360			(195		)	3,061
Long-Term Debt	2,243			—			—			—			2,243
Member’s Equity	5,558			4,326			310			(4,636		)	5,558
Total Liabilities and Member’s Equity	$	9,138		$	10,374		$	1,456		$	(8,922	)	$	12,046
Year Ended December 31, 2014
Net Cash Provided By (Used In) Operating Activities	$	577		$	1,674		$	76		$	(902	)	$	1,425
Net Cash Provided By (Used In) Investing Activities	$	148		$	(856	)	$	(42	)	$	226		$	(524	)
Net Cash Provided By (Used In) Financing Activities	$	(724	)	$	(818	)	$	(32	)	$	676		$	(898	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Year Ended December 31, 2013
Operating Revenues	$	—		$	5,022		$	190		$	(149	)	$	5,063
Operating Expenses	23			3,945			174			(149		)	3,993
Operating Income (Loss)	(23		)	1,077			16			—			1,070
Equity Earnings (Losses) of Subsidiaries	684			(5		)	16			(679		)	16
Other Income	35			157			—			(38		)	154
Other Deductions	(14		)	(35		)	—			—			(49		)
Other-Than-Temporary Impairments	—			(12		)	—			—			(12		)
Interest Expense	(93		)	(42		)	(19		)	38			(116		)
Income Tax Benefit (Expense)	55			(474		)	—			—			(419		)
Net Income (Loss)	$	644		$	666		$	13		$	(679	)	$	644
Comprehensive Income (Loss)	$	909		$	713		$	11		$	(724	)	$	909
As of December 31, 2013
Current Assets	$	4,413		$	2,076		$	102		$	(4,115	)	$	2,476
Property, Plant and Equipment, net	81			6,108			1,178			—			7,367
Investment in Subsidiaries	4,645			124			—			(4,769		)	—
Noncurrent Assets	222			1,847			138			(48		)	2,159
Total Assets	$	9,361		$	10,155		$	1,418		$	(8,932	)	$	12,002
Current Liabilities	$	697		$	3,474		$	745		$	(4,116	)	$	800
Noncurrent Liabilities	309			2,247			338			(47		)	2,847
Long-Term Debt	2,497			—			—			—			2,497
Member’s Equity	5,858			4,434			335			(4,769		)	5,858
Total Liabilities and Member’s Equity	$	9,361		$	10,155		$	1,418		$	(8,932	)	$	12,002
Year Ended December 31, 2013
Net Cash Provided By (Used In) Operating Activities	$	288		$	1,503		$	82		$	(526	)	$	1,347
Net Cash Provided By (Used In) Investing Activities	$	(395	)	$	(1,092	)	$	(71	)	$	697		$	(861	)
Net Cash Provided By (Used In) Financing Activities	$	107		$	(412	)	$	(11	)	$	(171	)	$	(487	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Year Ended December 31, 2012
Operating Revenues	$	—		$	4,850		$	135		$	(112	)	$	4,873
Operating Expenses	7			3,730			125			(112		)	3,750
Operating Income (Loss)	(7		)	1,120			10			—			1,123
Equity Earnings (Losses) of Subsidiaries	707			(10		)	15			(697		)	15
Other Income	45			206			2			(52		)	201
Other Deductions	(31		)	(59		)	—			—			(90		)
Other-Than-Temporary Impairments	—			(18		)	—			—			(18		)
Interest Expense	(118		)	(51		)	(16		)	53			(132		)
Income Tax Benefit (Expense)	70			(501		)	(2		)	—			(433		)
Net Income (Loss)	$	666		$	687		$	9		$	(696	)	$	666
Comprehensive Income (Loss)	$	614		$	681		$	9		$	(690	)	$	614
Year Ended December 31, 2012
Net Cash Provided By (Used In) Operating Activities	$	298		$	1,562		$	67		$	(474	)	$	1,453
Net Cash Provided By (Used In) Investing Activities	$	(14	)	$	(1,206	)	$	(151	)	$	899		$	(472	)
Net Cash Provided By (Used In) Financing Activities	$	(284	)	$	(361	)	$	83		$	(424	)	$	(986	)

Immaterial Correction of Prior Financial Information

The following table summarizes the adjustments for all prior periods that have been revised in this Note.




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Increase (Decrease)
	Millions
Year Ended December 31, 2013
Operating Revenues	$	—		$	(1,468	)	$	—		$	1,468		$	—
Operating Expenses	$	—		$	(1,468	)	$	—		$	1,468		$	—
Net Cash Provided By (Used In) Investing Activities	$	(588	)	$	—		$	—		$	588		$	—
Net Cash Provided By (Used In) Financing Activities	$	588		$	—		$	—		$	(588	)	$	—
As of December 31, 2013
Current Assets	$	253		$	(6,840	)	$	(842	)	$	7,429		$	—
Investment in Subsidiaries	—			(605		)	—			605			—
Total Assets	$	253		$	(7,445	)	$	(842	)	$	8,034		$	—
Current Liabilities	$	253		$	(7,445	)	$	(237	)	$	7,429		$	—
Member's Equity	—			—			(605		)	605			—
Total Liabilities and Member's Equity	$	253		$	(7,445	)	$	(842	)	$	8,034		$	—
Year Ended December 31, 2012
Operating Revenues	$	—		$	(1,388	)	$	—		$	1,388		$	—
Operating Expenses	$	—		$	(1,388	)	$	—		$	1,388		$	—
Net Cash Provided By (Used In) Investing Activities	$	(729	)	$	—		$	—		$	729		$	—
Net Cash Provided By (Used In) Financing Activities	$	679		$	—		$	—		$	(679	)	$	—