Guarantees of Debt

9 Months Ended

Sep. 30, 2015

Each series of Power’s Senior Notes, Pollution Control Notes and its syndicated revolving credit facilities 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 tables present condensed financial information for the guarantor subsidiaries, as well as Power’s non-guarantor subsidiaries.




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Three Months Ended September 30, 2015
Operating Revenues	$	—		$	1,084		$	37		$	(25	)	$	1,096
Operating Expenses	3			692			35			(25		)	705
Operating Income (Loss)	(3		)	392			2			—			391
Equity Earnings (Losses) of Subsidiaries	220			(2		)	3			(218		)	3
Other Income	10			26			—			(11		)	25
Other Deductions	—			(14		)	—			—			(14		)
Other-Than-Temporary Impairments	—			(30		)	—			—			(30		)
Interest Expense	(28		)	(8		)	(5		)	11			(30		)
Income Tax Benefit (Expense)	7			(148		)	2			—			(139		)
Net Income (Loss)	$	206		$	216		$	2		$	(218	)	$	206
Comprehensive Income (Loss)	$	184		$	187		$	2		$	(189	)	$	184
Nine Months Ended September 30, 2015
Operating Revenues	$	—		$	3,811		$	144		$	(109	)	$	3,846
Operating Expenses	7			2,610			135			(109		)	2,643
Operating Income (Loss)	(7		)	1,201			9			—			1,203
Equity Earnings (Losses) of Subsidiaries	755			(4		)	11			(751		)	11
Other Income	33			111			—			(35		)	109
Other Deductions	(1		)	(31		)	—			—			(32		)
Other-Than-Temporary Impairments	—			(45		)	—			—			(45		)
Interest Expense	(90		)	(24		)	(15		)	35			(94		)
Income Tax Benefit (Expense)	17			(463		)	1			—			(445		)
Net Income (Loss)	$	707		$	745		$	6		$	(751	)	$	707
Comprehensive Income (Loss)	$	690		$	707		$	6		$	(713	)	$	690
Nine Months Ended September 30, 2015
Net Cash Provided By (Used In) Operating Activities	$	435		$	1,826		$	66		$	(769	)	$	1,558
Net Cash Provided By (Used In) Investing Activities	$	(656	)	$	(1,382	)	$	(303	)	$	1,191		$	(1,150	)
Net Cash Provided By (Used In) Financing Activities	$	221		$	(446	)	$	245		$	(422	)	$	(402	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Three Months Ended September 30, 2014
Operating Revenues	$	—		$	1,125		$	36		$	(23	)	$	1,138
Operating Expenses	3			772			32			(22		)	785
Operating Income (Loss)	(3		)	353			4			(1		)	353
Equity Earnings (Losses) of Subsidiaries	225			(1		)	4			(224		)	4
Other Income	9			55			—			(8		)	56
Other Deductions	(3		)	(4		)	—			1			(6		)
Other-Than-Temporary Impairments	—			(10		)	—			—			(10		)
Interest Expense	(24		)	(10		)	(4		)	7			(31		)
Income Tax Benefit (Expense)	18			(161		)	(1		)	—			(144		)
Net Income (Loss)	$	222		$	222		$	3		$	(225	)	$	222
Comprehensive Income (Loss)	$	195		$	191		$	3		$	(194	)	$	195
Nine Months Ended September 30, 2014
Operating Revenues	$	—		$	3,781		$	118		$	(75	)	$	3,824
Operating Expenses	12			3,079			106			(75		)	3,122
Operating Income (Loss)	(12		)	702			12			—			702
Equity Earnings (Losses) of Subsidiaries	459			(4		)	11			(455		)	11
Other Income	25			135			—			(25		)	135
Other Deductions	(7		)	(18		)	—			—			(25		)
Other-Than-Temporary Impairments	—			(14		)	—			—			(14		)
Interest Expense	(79		)	(23		)	(14		)	24			(92		)
Income Tax Benefit (Expense)	54			(329		)	(2		)	—			(277		)
Net Income (Loss)	$	440		$	449		$	7		$	(456	)	$	440
Comprehensive Income (Loss)	$	432		$	433		$	7		$	(440	)	$	432
Nine Months Ended September 30, 2014
Net Cash Provided By (Used In) Operating Activities	$	471		$	1,252		$	53		$	(666	)	$	1,110
Net Cash Provided By (Used In) Investing Activities	$	187		$	(559	)	$	(24	)	$	70		$	(326	)
Net Cash Provided By (Used In) Financing Activities	$	(652	)	$	(693	)	$	(29	)	$	596		$	(778	)




	Power		Guarantor Subsidiaries		Other Subsidiaries		Consolidating Adjustments			Consolidated
	Millions
As of September 30, 2015
Current Assets	$	4,678	$	1,786	$	134	$	(4,374	)	$	2,224
Property, Plant and Equipment, net	82		6,390		1,435		—			7,907
Investment in Subsidiaries	4,555		349		—		(4,904		)	—
Noncurrent Assets	264		1,962		133		(176		)	2,183
Total Assets	$	9,579	$	10,487	$	1,702	$	(9,454	)	$	12,314
Current Liabilities	$	1,581	$	3,595	$	772	$	(4,374	)	$	1,574
Noncurrent Liabilities	458		2,563		355		(176		)	3,200
Long-Term Debt	1,691		—		—		—			1,691
Member's Equity	5,849		4,329		575		(4,904		)	5,849
Total Liabilities and Member's Equity	$	9,579	$	10,487	$	1,702	$	(9,454	)	$	12,314
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

Power [Member]

Debt Instrument [Line Items]

Guarantees of Debt




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Three Months Ended September 30, 2015
Operating Revenues	$	—		$	1,084		$	37		$	(25	)	$	1,096
Operating Expenses	3			692			35			(25		)	705
Operating Income (Loss)	(3		)	392			2			—			391
Equity Earnings (Losses) of Subsidiaries	220			(2		)	3			(218		)	3
Other Income	10			26			—			(11		)	25
Other Deductions	—			(14		)	—			—			(14		)
Other-Than-Temporary Impairments	—			(30		)	—			—			(30		)
Interest Expense	(28		)	(8		)	(5		)	11			(30		)
Income Tax Benefit (Expense)	7			(148		)	2			—			(139		)
Net Income (Loss)	$	206		$	216		$	2		$	(218	)	$	206
Comprehensive Income (Loss)	$	184		$	187		$	2		$	(189	)	$	184
Nine Months Ended September 30, 2015
Operating Revenues	$	—		$	3,811		$	144		$	(109	)	$	3,846
Operating Expenses	7			2,610			135			(109		)	2,643
Operating Income (Loss)	(7		)	1,201			9			—			1,203
Equity Earnings (Losses) of Subsidiaries	755			(4		)	11			(751		)	11
Other Income	33			111			—			(35		)	109
Other Deductions	(1		)	(31		)	—			—			(32		)
Other-Than-Temporary Impairments	—			(45		)	—			—			(45		)
Interest Expense	(90		)	(24		)	(15		)	35			(94		)
Income Tax Benefit (Expense)	17			(463		)	1			—			(445		)
Net Income (Loss)	$	707		$	745		$	6		$	(751	)	$	707
Comprehensive Income (Loss)	$	690		$	707		$	6		$	(713	)	$	690
Nine Months Ended September 30, 2015
Net Cash Provided By (Used In) Operating Activities	$	435		$	1,826		$	66		$	(769	)	$	1,558
Net Cash Provided By (Used In) Investing Activities	$	(656	)	$	(1,382	)	$	(303	)	$	1,191		$	(1,150	)
Net Cash Provided By (Used In) Financing Activities	$	221		$	(446	)	$	245		$	(422	)	$	(402	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Consolidated
	Millions
Three Months Ended September 30, 2014
Operating Revenues	$	—		$	1,125		$	36		$	(23	)	$	1,138
Operating Expenses	3			772			32			(22		)	785
Operating Income (Loss)	(3		)	353			4			(1		)	353
Equity Earnings (Losses) of Subsidiaries	225			(1		)	4			(224		)	4
Other Income	9			55			—			(8		)	56
Other Deductions	(3		)	(4		)	—			1			(6		)
Other-Than-Temporary Impairments	—			(10		)	—			—			(10		)
Interest Expense	(24		)	(10		)	(4		)	7			(31		)
Income Tax Benefit (Expense)	18			(161		)	(1		)	—			(144		)
Net Income (Loss)	$	222		$	222		$	3		$	(225	)	$	222
Comprehensive Income (Loss)	$	195		$	191		$	3		$	(194	)	$	195
Nine Months Ended September 30, 2014
Operating Revenues	$	—		$	3,781		$	118		$	(75	)	$	3,824
Operating Expenses	12			3,079			106			(75		)	3,122
Operating Income (Loss)	(12		)	702			12			—			702
Equity Earnings (Losses) of Subsidiaries	459			(4		)	11			(455		)	11
Other Income	25			135			—			(25		)	135
Other Deductions	(7		)	(18		)	—			—			(25		)
Other-Than-Temporary Impairments	—			(14		)	—			—			(14		)
Interest Expense	(79		)	(23		)	(14		)	24			(92		)
Income Tax Benefit (Expense)	54			(329		)	(2		)	—			(277		)
Net Income (Loss)	$	440		$	449		$	7		$	(456	)	$	440
Comprehensive Income (Loss)	$	432		$	433		$	7		$	(440	)	$	432
Nine Months Ended September 30, 2014
Net Cash Provided By (Used In) Operating Activities	$	471		$	1,252		$	53		$	(666	)	$	1,110
Net Cash Provided By (Used In) Investing Activities	$	187		$	(559	)	$	(24	)	$	70		$	(326	)
Net Cash Provided By (Used In) Financing Activities	$	(652	)	$	(693	)	$	(29	)	$	596		$	(778	)




	Power		Guarantor Subsidiaries		Other Subsidiaries		Consolidating Adjustments			Consolidated
	Millions
As of September 30, 2015
Current Assets	$	4,678	$	1,786	$	134	$	(4,374	)	$	2,224
Property, Plant and Equipment, net	82		6,390		1,435		—			7,907
Investment in Subsidiaries	4,555		349		—		(4,904		)	—
Noncurrent Assets	264		1,962		133		(176		)	2,183
Total Assets	$	9,579	$	10,487	$	1,702	$	(9,454	)	$	12,314
Current Liabilities	$	1,581	$	3,595	$	772	$	(4,374	)	$	1,574
Noncurrent Liabilities	458		2,563		355		(176		)	3,200
Long-Term Debt	1,691		—		—		—			1,691
Member's Equity	5,849		4,329		575		(4,904		)	5,849
Total Liabilities and Member's Equity	$	9,579	$	10,487	$	1,702	$	(9,454	)	$	12,314
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