Guarantees of Debt

6 Months Ended

Jun. 30, 2017

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 tables present condensed financial information for the guarantor subsidiaries, as well as Power’s non-guarantor subsidiaries, as of June 30, 2017 and December 31, 2016 and for the three months and six months ended June 30, 2017 and 2016.




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Three Months Ended June 30, 2017
Operating Revenues	$	—		$	910		$	47		$	(28	)	$	929
Operating Expenses	(2		)	1,103			43			(28		)	1,116
Operating Income (Loss)	2			(193		)	4			—			(187		)
Equity Earnings (Losses) of Subsidiaries	(93		)	(4		)	5			97			5
Other Income	22			56			2			(34		)	46
Other Deductions	—			(7		)	—			—			(7		)
Other-Than-Temporary Impairments	—			(3		)	—			—			(3		)
Interest Expense	(34		)	(9		)	(4		)	34			(13		)
Income Tax Benefit (Expense)	6			60			(4		)	—			62
Net Income (Loss)	$	(97	)	$	(100	)	$	3		$	97		$	(97	)
Comprehensive Income (Loss)	$	(82	)	$	(91	)	$	3		$	88		$	(82	)
Six Months Ended June 30, 2017
Operating Revenues	$	—		$	2,180		$	99		$	(66	)	$	2,213
Operating Expenses	2			2,672			95			(66		)	2,703
Operating Income (Loss)	(2		)	(492		)	4			—			(490		)
Equity Earnings (Losses) of Subsidiaries	(254		)	(5		)	8			259			8
Other Income	47			97			2			(62		)	84
Other Deductions	(1		)	(13		)	—			—			(14		)
Other-Than-Temporary Impairments	—			(4		)	—			—			(4		)
Interest Expense	(64		)	(18		)	(9		)	62			(29		)
Income Tax Benefit (Expense)	7			171			—			—			178
Net Income (Loss)	$	(267	)	$	(264	)	$	5		$	259		$	(267	)
Comprehensive Income (Loss)	$	(228	)	$	(234	)	$	5		$	229		$	(228	)
Six Months Ended June 30, 2017
Net Cash Provided By (Used In) Operating Activities	$	(32	)	$	802		$	111		$	51		$	932
Net Cash Provided By (Used In) Investing Activities	$	683		$	178		$	(241	)	$	(1,355	)	$	(735	)
Net Cash Provided By (Used In) Financing Activities	$	(651	)	$	(978	)	$	146		$	1,304		$	(179	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Three Months Ended June 30, 2016
Operating Revenues	$	—		$	700		$	46		$	(32	)	$	714
Operating Expenses	2			716			40			(32		)	726
Operating Income (Loss)	(2		)	(16		)	6			—			(12		)
Equity Earnings (Losses) of Subsidiaries	(1		)	1			4			—			4
Other Income	17			30			—			(22		)	25
Other Deductions	—			(9		)	—			—			(9		)
Other-Than-Temporary Impairments	—			(10		)	—			—			(10		)
Interest Expense	(31		)	(7		)	(4		)	22			(20		)
Income Tax Benefit (Expense)	6			3			2			—			11
Net Income (Loss)	$	(11	)	$	(8	)	$	8		$	—		$	(11	)
Comprehensive Income (Loss)	$	5		$	1		$	8		$	(9	)	$	5
Six Months Ended June 30, 2016
Operating Revenues	$	—		$	2,002		$	88		$	(63	)	$	2,027
Operating Expenses	12			1,668			79			(63		)	1,696
Operating Income (Loss)	(12		)	334			9			—			331
Equity Earnings (Losses) of Subsidiaries	204			—			6			(204		)	6
Other Income	34			62			—			(45		)	51
Other Deductions	—			(27		)	—			—			(27		)
Other-Than-Temporary Impairments	—			(20		)	—			—			(20		)
Interest Expense	(61		)	(17		)	(9		)	45			(42		)
Income Tax Benefit (Expense)	16			(137		)	3			—			(118		)
Net Income (Loss)	$	181		$	195		$	9		$	(204	)	$	181
Comprehensive Income (Loss)	$	220		$	220		$	9		$	(229	)	$	220
Six Months Ended June 30, 2016
Net Cash Provided By (Used In) Operating Activities	$	337		$	777		$	159		$	(356	)	$	917
Net Cash Provided By (Used In) Investing Activities	$	(1,287	)	$	(504	)	$	(395	)	$	579		$	(1,607	)
Net Cash Provided By (Used In) Financing Activities	$	951		$	(273	)	$	239		$	(223	)	$	694




	Power		Guarantor Subsidiaries		Other Subsidiaries		Consolidating Adjustments			Total
	Millions
As of June 30, 2017
Current Assets	$	4,156	$	1,257	$	182	$	(4,213	)	$	1,382
Property, Plant and Equipment, net	56		5,244		2,526		—			7,826
Investment in Subsidiaries	4,015		340		—		(4,355		)	—
Noncurrent Assets	184		2,225		119		(117		)	2,411
Total Assets	$	8,411	$	9,066	$	2,827	$	(8,685	)	$	11,619
Current Liabilities	$	88	$	3,156	$	1,648	$	(4,213	)	$	679
Noncurrent Liabilities	543		2,195		539		(117		)	3,160
Long-Term Debt	2,384		—		—		—			2,384
Member’s Equity	5,396		3,715		640		(4,355		)	5,396
Total Liabilities and Member’s Equity	$	8,411	$	9,066	$	2,827	$	(8,685	)	$	11,619
As of December 31, 2016
Current Assets	$	4,412	$	1,593	$	152	$	(4,697	)	$	1,460
Property, Plant and Equipment, net	55		6,145		2,320		—			8,520
Investment in Subsidiaries	4,249		344		—		(4,593		)	—
Noncurrent Assets	168		2,016		129		(100		)	2,213
Total Assets	$	8,884	$	10,098	$	2,601	$	(9,390	)	$	12,193
Current Liabilities	$	171	$	3,752	$	1,454	$	(4,697	)	$	680
Noncurrent Liabilities	532		2,398		502		(100		)	3,332
Long-Term Debt	2,382		—		—		—			2,382
Member’s Equity	5,799		3,948		645		(4,593		)	5,799
Total Liabilities and Member’s Equity	$	8,884	$	10,098	$	2,601	$	(9,390	)	$	12,193

Power [Member]

Debt Instrument [Line Items]

Guarantees of Debt




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Three Months Ended June 30, 2017
Operating Revenues	$	—		$	910		$	47		$	(28	)	$	929
Operating Expenses	(2		)	1,103			43			(28		)	1,116
Operating Income (Loss)	2			(193		)	4			—			(187		)
Equity Earnings (Losses) of Subsidiaries	(93		)	(4		)	5			97			5
Other Income	22			56			2			(34		)	46
Other Deductions	—			(7		)	—			—			(7		)
Other-Than-Temporary Impairments	—			(3		)	—			—			(3		)
Interest Expense	(34		)	(9		)	(4		)	34			(13		)
Income Tax Benefit (Expense)	6			60			(4		)	—			62
Net Income (Loss)	$	(97	)	$	(100	)	$	3		$	97		$	(97	)
Comprehensive Income (Loss)	$	(82	)	$	(91	)	$	3		$	88		$	(82	)
Six Months Ended June 30, 2017
Operating Revenues	$	—		$	2,180		$	99		$	(66	)	$	2,213
Operating Expenses	2			2,672			95			(66		)	2,703
Operating Income (Loss)	(2		)	(492		)	4			—			(490		)
Equity Earnings (Losses) of Subsidiaries	(254		)	(5		)	8			259			8
Other Income	47			97			2			(62		)	84
Other Deductions	(1		)	(13		)	—			—			(14		)
Other-Than-Temporary Impairments	—			(4		)	—			—			(4		)
Interest Expense	(64		)	(18		)	(9		)	62			(29		)
Income Tax Benefit (Expense)	7			171			—			—			178
Net Income (Loss)	$	(267	)	$	(264	)	$	5		$	259		$	(267	)
Comprehensive Income (Loss)	$	(228	)	$	(234	)	$	5		$	229		$	(228	)
Six Months Ended June 30, 2017
Net Cash Provided By (Used In) Operating Activities	$	(32	)	$	802		$	111		$	51		$	932
Net Cash Provided By (Used In) Investing Activities	$	683		$	178		$	(241	)	$	(1,355	)	$	(735	)
Net Cash Provided By (Used In) Financing Activities	$	(651	)	$	(978	)	$	146		$	1,304		$	(179	)




	Power			Guarantor Subsidiaries			Other Subsidiaries			Consolidating Adjustments			Total
	Millions
Three Months Ended June 30, 2016
Operating Revenues	$	—		$	700		$	46		$	(32	)	$	714
Operating Expenses	2			716			40			(32		)	726
Operating Income (Loss)	(2		)	(16		)	6			—			(12		)
Equity Earnings (Losses) of Subsidiaries	(1		)	1			4			—			4
Other Income	17			30			—			(22		)	25
Other Deductions	—			(9		)	—			—			(9		)
Other-Than-Temporary Impairments	—			(10		)	—			—			(10		)
Interest Expense	(31		)	(7		)	(4		)	22			(20		)
Income Tax Benefit (Expense)	6			3			2			—			11
Net Income (Loss)	$	(11	)	$	(8	)	$	8		$	—		$	(11	)
Comprehensive Income (Loss)	$	5		$	1		$	8		$	(9	)	$	5
Six Months Ended June 30, 2016
Operating Revenues	$	—		$	2,002		$	88		$	(63	)	$	2,027
Operating Expenses	12			1,668			79			(63		)	1,696
Operating Income (Loss)	(12		)	334			9			—			331
Equity Earnings (Losses) of Subsidiaries	204			—			6			(204		)	6
Other Income	34			62			—			(45		)	51
Other Deductions	—			(27		)	—			—			(27		)
Other-Than-Temporary Impairments	—			(20		)	—			—			(20		)
Interest Expense	(61		)	(17		)	(9		)	45			(42		)
Income Tax Benefit (Expense)	16			(137		)	3			—			(118		)
Net Income (Loss)	$	181		$	195		$	9		$	(204	)	$	181
Comprehensive Income (Loss)	$	220		$	220		$	9		$	(229	)	$	220
Six Months Ended June 30, 2016
Net Cash Provided By (Used In) Operating Activities	$	337		$	777		$	159		$	(356	)	$	917
Net Cash Provided By (Used In) Investing Activities	$	(1,287	)	$	(504	)	$	(395	)	$	579		$	(1,607	)
Net Cash Provided By (Used In) Financing Activities	$	951		$	(273	)	$	239		$	(223	)	$	694




	Power		Guarantor Subsidiaries		Other Subsidiaries		Consolidating Adjustments			Total
	Millions
As of June 30, 2017
Current Assets	$	4,156	$	1,257	$	182	$	(4,213	)	$	1,382
Property, Plant and Equipment, net	56		5,244		2,526		—			7,826
Investment in Subsidiaries	4,015		340		—		(4,355		)	—
Noncurrent Assets	184		2,225		119		(117		)	2,411
Total Assets	$	8,411	$	9,066	$	2,827	$	(8,685	)	$	11,619
Current Liabilities	$	88	$	3,156	$	1,648	$	(4,213	)	$	679
Noncurrent Liabilities	543		2,195		539		(117		)	3,160
Long-Term Debt	2,384		—		—		—			2,384
Member’s Equity	5,396		3,715		640		(4,355		)	5,396
Total Liabilities and Member’s Equity	$	8,411	$	9,066	$	2,827	$	(8,685	)	$	11,619
As of December 31, 2016
Current Assets	$	4,412	$	1,593	$	152	$	(4,697	)	$	1,460
Property, Plant and Equipment, net	55		6,145		2,320		—			8,520
Investment in Subsidiaries	4,249		344		—		(4,593		)	—
Noncurrent Assets	168		2,016		129		(100		)	2,213
Total Assets	$	8,884	$	10,098	$	2,601	$	(9,390	)	$	12,193
Current Liabilities	$	171	$	3,752	$	1,454	$	(4,697	)	$	680
Noncurrent Liabilities	532		2,398		502		(100		)	3,332
Long-Term Debt	2,382		—		—		—			2,382
Member’s Equity	5,799		3,948		645		(4,593		)	5,799
Total Liabilities and Member’s Equity	$	8,884	$	10,098	$	2,601	$	(9,390	)	$	12,193