Fair Value (Tables)

3 Months Ended

Mar. 31, 2016

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]

Marketable Securities [Table Text Block]

The table below presents the gross proceeds from sale of AFS securities for the periods indicated (in millions):



	Three Months Ended March 31,
	2016		2015
Gross proceeds from sale of AFS securities	$	1,619	$	1,086

Fair value hierarchy for recurring measurements table

The following table presents by level within the fair value hierarchy, the Company’s financial assets and liabilities that were measured at fair value on a recurring basis as of the periods indicated (in millions). For the Company’s investments in marketable debt and equity securities, the security classes presented are determined based on the nature and risk of a security and are consistent with how the Company manages, monitors and measures its marketable securities:



	March 31, 2016								December 31, 2015
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets
AVAILABLE FOR SALE:⁽¹⁾
Debt securities:
Unsecured debentures	$	—	$	568	$	—	$	568	$	—	$	327	$	—	$	327
Certificates of deposit	—		37		—		37		—		135		—		135
Government debt securities	—		11		—		11		—		28		—		28
Subtotal	—		616		—		616		—		490		—		490
Equity securities:
Mutual funds	—		15		—		15		—		15		—		15
Subtotal	—		15		—		15		—		15		—		15
Total available for sale	—		631		—		631		—		505		—		505
TRADING:
Equity securities:
Mutual funds	14		—		—		14		15		—		—		15
Total trading	14		—		—		14		15		—		—		15
DERIVATIVES:
Foreign currency derivatives	—		37		304		341		—		35		292		327
Commodity derivatives	—		67		4		71		—		41		7		48
Total derivatives	—		104		308		412		—		76		299		375
TOTAL ASSETS	$	14	$	735	$	308	$	1,057	$	15	$	581	$	299	$	895
Liabilities
DERIVATIVES:
Interest rate derivatives	$	—	$	48	$	416	$	464	$	—	$	54	$	304	$	358
Cross-currency derivatives	—		33		—		33		—		43		—		43
Foreign currency derivatives	—		46		14		60		—		41		15		56
Commodity derivatives	—		46		4		50		—		29		4		33
Total derivatives	—		173		434		607		—		167		323		490
TOTAL LIABILITIES	$	—	$	173	$	434	$	607	$	—	$	167	$	323	$	490

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⁽¹⁾	Amortized cost approximated fair value at March 31, 2016 and December 31, 2015.

Fair Value, Net Derivative Assets (Liabilities) measured on a recurring basis, Unobservable Input Reconciliation Table

The following tables present a reconciliation of net derivative assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended March 31, 2016 and 2015 (presented in millions and net by type of derivative). Transfers between Level 3 and Level 2 are determined as of the end of the reporting period and principally result from changes in the significance of unobservable inputs used to calculate the credit valuation adjustment.



Three Months Ended March 31, 2016	Interest Rate			Foreign Currency			Commodity			Total
Balance at the beginning of the period	$	(304	)	$	277		$	3		$	(24	)
Total gains (losses) (realized and unrealized):
Included in earnings	3			47			—			50
Included in other comprehensive income — derivative activity	(99		)	3			—			(96		)
Included in other comprehensive income — foreign currency translation activity	(3		)	(33		)	—			(36		)
Settlements	18			(1		)	(3		)	14
Transfers of assets (liabilities) into Level 3	(31		)	—			—			(31		)
Transfers of (assets) liabilities out of Level 3	—			(3		)	—			(3		)
Balance at the end of the period	$	(416	)	$	290		$	—		$	(126	)
Total gains (losses) for the period included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities held at the end of the period	$	4		$	45		$	—		$	49



Three Months Ended March 31, 2015	Interest Rate			Foreign Currency			Commodity			Cross Currency			Total
Balance at the beginning of the period	$	(210	)	$	209		$	6		$	—		$	5
Total gains (losses) (realized and unrealized):
Included in earnings	—			22			3			—			25
Included in other comprehensive income — derivative activity	(35		)	—			—			—			(35		)
Included in other comprehensive income — foreign currency translation activity	11			(6		)	—			—			5
Settlements	6			(2		)	(5		)	—			(1		)
Transfers of assets (liabilities) into Level 3	(74		)	—			—			(33		)	(107		)
Balance at the end of the period	$	(302	)	$	223		$	4		$	(33	)	$	(108	)
Total gains (losses) for the period included in earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities held at the end of the period	$	—		$	21		$	3		$	—		$	24

Derivative Assets, Significant unobservable inputs

The following table summarizes the significant unobservable inputs used in the Level 3 measurement on a nonrecurring basis during the three months ended March 31, 2016 ($ in millions):



	Fair Value		Valuation Technique	Unobservable Input	Range (Weighted Average)
Long-lived assets held and used:
Buffalo Gap II	$	92	Discounted cash flow	Annual revenue growth	-17% to 21% (20%)
				Annual pretax operating margin	-166% to 48% (18%)
				Weighted-average cost of capital	9	%

The table below summarizes the significant unobservable inputs used for Level 3 derivative assets (liabilities) as of March 31, 2016 ($ in millions):



Type of Derivative	Fair Value			Unobservable Input	Amount or Range (Weighted Avg)
Interest rate	$	(416	)	Subsidiaries’ credit spreads	2.88% — 9.7% (5.65%)
Foreign currency:
Argentine Peso	304			Argentine Peso to USD currency exchange rate after one year	18.91 — 37.07 (27.78)
Other	(14		)
Total	$	(126	)

Fair value hierarchy for nonrecurring measurements table

The following table summarizes major categories of assets and liabilities measured at fair value on a nonrecurring basis and their level within the fair value hierarchy (in millions):



Three Months Ended March 31, 2016	Measurement Date	Carrying Amount ⁽¹⁾		Fair Value						Pretax Loss
Assets	Measurement Date	Carrying Amount ⁽¹⁾		Level 1		Level 2		Level 3		Pretax Loss
Long-lived assets held and used: ⁽²⁾
Buffalo Gap II	03/31/2016	$	251	$	—	$	—	$	92	$	159



Three Months Ended March 31, 2015	Measurement Date	Carrying Amount ⁽¹⁾		Fair Value						Pretax Loss
Assets	Measurement Date	Carrying Amount ⁽¹⁾		Level 1		Level 2		Level 3		Pretax Loss
Long-lived assets held and used:
Other	Various	$	29	$	—	$	21	$	—	$	8
Equity method investments:
Solar Spain	02/09/2015	29		—		—		29		—

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⁽¹⁾	Represents the carrying values at the dates of measurement, before fair value adjustment.


⁽²⁾	See Note 13—Asset Impairment Expense for further information.

Financial instruments not measured at fair value in the condensed consolidated balance sheets

The next table presents (in millions) the carrying amount, fair value and fair value hierarchy of the Company’s financial assets and liabilities that are not measured at fair value in the Condensed Consolidated Balance Sheets as of March 31, 2016 and December 31, 2015, but for which fair value is disclosed:



		March 31, 2016										December 31, 2015
		Carrying Amount		Fair Value								Carrying Amount		Fair Value
		Carrying Amount		Total		Level 1		Level 2		Level 3		Carrying Amount		Total		Level 1		Level 2		Level 3
Assets:	Accounts receivable — noncurrent⁽¹⁾	$	258	$	337	$	—	$	—	$	337	$	270	$	342	$	—	$	20	$	322
Liabilities:	Non-recourse debt	15,633		16,064		—		13,654		2,410		15,461		15,939		—		13,672		2,267
	Recourse debt	4,924		4,998		—		4,998		—		4,966		4,696		—		4,696		—

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⁽¹⁾	These amounts principally relate to amounts due from CAMMESA, and are included in Noncurrent assets—Other in the accompanying Condensed Consolidated Balance Sheets. The fair value and carrying amount of these receivables exclude VAT of $24 million and $27 million as of March 31, 2016 and December 31, 2015, respectively.