The components of other income for the three and nine months ended September 30, 2012 and 2011 were as follows:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2012		2011		2012		2011

	(in millions)
Tax credit settlement	$	-	$	31	$	-	$	31
Tax dispute settlement		-		14		-		14
Gain on sale of assets		2		9		5		25
Insurance proceeds		-		-		10		-
Other		5		3		25		37
Total other income	$	7	$	57	$	40	$	107

Other income generally includes gains on asset sales and extinguishments of liabilities, favorable judgments on contingencies and income from miscellaneous transactions.

Other income of $57 million for the three months ended September 30, 2011 was primarily due to an additional tax credit settlement from a favorable court decision in 2011 concerning reimbursement of excess non-income taxes paid from 1989 to 1992 at Eletropaulo and the reimbursement of income tax expense recognized during the quarter related to an indemnity agreement between Los Mina and the Dominican Republic government. Other income for the three months ended September 30, 2011 also includes the gain on the sale of assets at Eletropaulo.

Other income of $40 million for the nine months ended September 30, 2012 was primarily related to the receipt of insurance proceeds related to a claim in Panama for damage associated with the Esti tunnel, the release of a reserve recorded against inventory at Ballylumford and the receipt of dividends from a cost method investment at Gener. Other income of $107 million for the nine months ended September 30, 2011 was primarily related to the items described above, in addition to the gain on sale of mineral rights and land in Indiana at IPL recognized during the second quarter of 2011.

The components of other expense for the three and nine months ended September 30, 2012 and 2011 were as follows:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2012		2011		2012		2011

	(in millions)
Loss on sale and disposal of assets	$	13	$	31	$	48	$	57
Loss on extinguishment of debt		-		37		-		52
Other		2		8		11		17
Total other expense	$	15	$	76	$	59	$	126

Other expense generally includes losses on asset sales, losses on the extinguishment of debt, contingencies and losses from miscellaneous transactions.

Other expense for the three months ended September 30, 2012 of $15 million was primarily comprised of losses on the disposal of assets at Eletropaulo. Other expense for the three months ended September 30, 2011 of $76 million was primarily due to the premium paid on the early retirement of debt at Gener and losses on the disposal of assets at TermoAndes and Eletropaulo.

Other expense of $59 million for the nine months ended September 30, 2012 was primarily due to the losses on disposal of assets at Eletropaulo. Other expense of $126 million for the nine months ended September 30, 2011 was primarily due to the premium paid on early retirement of debt at Gener, a loss related to the early retirement of senior notes due in 2011 at IPL, and loss on disposal of assets at Eletropaulo and TermoAndes.