Discontinued Operations And Dispositions

12 Months Ended

Dec. 31, 2011

Discontinued Operations And Dispositions

Note 4. Discontinued Operations and Dispositions

Discontinued Operations

Power

In March 2011, Power completed the sale of its 1,000 MW gas-fired Guadalupe generating facility for a total sale price of $352 million, resulting in an after-tax gain of $54 million.

In July 2011, Power completed the sale of its 1,000 MW gas-fired Odessa generating facility for a total sale price of $335 million, resulting in an after-tax gain of $25 million.

PSEG Texas' operating results for the years ended December 31, 2011, 2010 and 2009, which were reclassified to Discontinued Operations, are summarized below:

	Years Ended December 31,
	2011		2010		2009
	Millions
Operating Revenues	$	112	$	402	$	371
Income Before Income Taxes	$	26	$	15	$	0
Net Income (Loss)	$	17	$	7	$	(2	)

The carrying amounts of PSEG Texas' assets as of December 31, 2010 are summarized in the following table:

	As of December 31,
	2010
	Millions
Current Assets	$	28
Noncurrent Assets		536
Total Assets of Discontinued Operations	$	564
Current Liabilities	$	28
Noncurrent Liabilities		44
Total Liabilities of Discontinued Operations	$	72

Dispositions

Leveraged Leases

For the year ended December, 31, 2011, Energy Holdings sold its leveraged lease investment in an office building in Denver, Colorado for gross proceeds of $215 million. Proceeds net of sales costs were $175 million.

For the year ended December, 31, 2010, Energy Holdings sold its interest in six leveraged leases, including five international leases.

For the year ended December 31, 2009, Energy Holdings sold its interest in fourteen leveraged leases, including twelve international leases.

	Years Ended December 31,
	2011		2010		2009
	Millions
Net Proceeds from Sales	$	175	$	433	$	830
Gain (Loss) on Sales, after-tax	$	34	$	30	$	70

GWF Energy LLC (GWF Energy)

In May 2009, Energy Holdings entered into a Memorandum of Understanding under which it would sell, in two separate transactions, its ownership interest in GWF Energy, an equity method investment, for a total sale price of $70 million. Energy Holdings completed the first stage of the sale in June 2009 for approximately $7 million. Energy Holdings completed the second stage of the sale in September 2010 for approximately $63 million. The total proceeds from both sales approximated the book value of the investment.

Enterprise Group Development Corporation (EGDC)

In December 2010, Energy Holdings sold its EGDC assets in State Street I, II and III for a total sale price of $46 million. The sale resulted in an after-tax gain of $4 million.

PPN Power Generating Company Limited (PPN)

In May 2009, Energy Holdings sold its ownership interest in PPN, which owned and operated a 330 MW generation facility in India for approximately book value.

Other

In May 2009, Energy Holdings sold its 6.5% interest in Midland Cogeneration Venture LP for an after-tax gain of $2 million.

Power [Member]

Discontinued Operations And Dispositions

Note 4. Discontinued Operations and Dispositions

Discontinued Operations

Power

In March 2011, Power completed the sale of its 1,000 MW gas-fired Guadalupe generating facility for a total sale price of $352 million, resulting in an after-tax gain of $54 million.

In July 2011, Power completed the sale of its 1,000 MW gas-fired Odessa generating facility for a total sale price of $335 million, resulting in an after-tax gain of $25 million.

PSEG Texas' operating results for the years ended December 31, 2011, 2010 and 2009, which were reclassified to Discontinued Operations, are summarized below:

	Years Ended December 31,
	2011		2010		2009
	Millions
Operating Revenues	$	112	$	402	$	371
Income Before Income Taxes	$	26	$	15	$	0
Net Income (Loss)	$	17	$	7	$	(2	)

The carrying amounts of PSEG Texas' assets as of December 31, 2010 are summarized in the following table:

	As of December 31,
	2010
	Millions
Current Assets	$	28
Noncurrent Assets		536
Total Assets of Discontinued Operations	$	564
Current Liabilities	$	28
Noncurrent Liabilities		44
Total Liabilities of Discontinued Operations	$	72

Dispositions

Leveraged Leases

For the year ended December, 31, 2011, Energy Holdings sold its leveraged lease investment in an office building in Denver, Colorado for gross proceeds of $215 million. Proceeds net of sales costs were $175 million.

For the year ended December, 31, 2010, Energy Holdings sold its interest in six leveraged leases, including five international leases.

For the year ended December 31, 2009, Energy Holdings sold its interest in fourteen leveraged leases, including twelve international leases.

	Years Ended December 31,
	2011		2010		2009
	Millions
Net Proceeds from Sales	$	175	$	433	$	830
Gain (Loss) on Sales, after-tax	$	34	$	30	$	70

GWF Energy LLC (GWF Energy)

In May 2009, Energy Holdings entered into a Memorandum of Understanding under which it would sell, in two separate transactions, its ownership interest in GWF Energy, an equity method investment, for a total sale price of $70 million. Energy Holdings completed the first stage of the sale in June 2009 for approximately $7 million. Energy Holdings completed the second stage of the sale in September 2010 for approximately $63 million. The total proceeds from both sales approximated the book value of the investment.

Enterprise Group Development Corporation (EGDC)

In December 2010, Energy Holdings sold its EGDC assets in State Street I, II and III for a total sale price of $46 million. The sale resulted in an after-tax gain of $4 million.

PPN Power Generating Company Limited (PPN)

In May 2009, Energy Holdings sold its ownership interest in PPN, which owned and operated a 330 MW generation facility in India for approximately book value.

Other

In May 2009, Energy Holdings sold its 6.5% interest in Midland Cogeneration Venture LP for an after-tax gain of $2 million.