Segment Information

3 Months Ended

Mar. 31, 2015

Segment Reporting [Abstract]

Segment Information

Segment Information

We assess our business on a regional basis due to the impact on our financial performance of the differing characteristics of these regions, particularly with respect to competition, regulation and other factors impacting supply and demand. During the third quarter of 2014, we altered the composition of our geographic segments to combine our former North and Southeast segments into one segment which was renamed the East segment. This change reflects the manner in which our geographic information is presented internally to our chief operating decision maker following the sale of six power plants in July 2014 from what was formerly our Southeast segment. Thus, beginning in the third quarter of 2014, our reportable segments were West (including geothermal), Texas and East (including Canada). We continue to evaluate the manner in which we assess our performance, including our segments, which may result in future changes to the composition of our geographic segments.

Commodity Margin is a key operational measure reviewed by our chief operating decision maker to assess the performance of our segments. The tables below show our financial data for our segments for the periods indicated (in millions).

	Three Months Ended March 31, 2015
	West		Texas		East			Consolidation and Elimination			Total
Revenues from external customers	$	515	$	581	$	550		$	—		$	1,646
Intersegment revenues	2		3		2			(7		)	—
Total operating revenues	$	517	$	584	$	552		$	(7	)	$	1,646
Commodity Margin	$	218	$	149	$	168		$	—		$	535
Add: Mark-to-market commodity activity, net and other(1)	119		41		(52		)	(7		)	101
Less:
Plant operating expense	106		89		72			(7		)	260
Depreciation and amortization expense	67		49		42			—			158
Sales, general and other administrative expense	10		17		10			—			37
Other operating expenses	10		2		8			—			20
(Income) from unconsolidated investments in power plants	—		—		(5		)	—			(5		)
Income (loss) from operations	144		33		(11		)	—			166
Interest expense, net of interest income											153
Debt extinguishment costs and other (income) expense, net											21
Loss before income taxes											$	(8	)

	Three Months Ended March 31, 2014
	West		Texas			East			Consolidation and Elimination			Total
Revenues from external customers	$	491	$	647		$	827		$	—		$	1,965
Intersegment revenues	2		12			17			(31		)	—
Total operating revenues	$	493	$	659		$	844		$	(31	)	$	1,965
Commodity Margin(2)	$	202	$	121		$	322		$	—		$	645
Add: Mark-to-market commodity activity, net and other(1)	29		(46		)	(11		)	(9		)	(37		)
Less:
Plant operating expense	105		90			79			(9		)	265
Depreciation and amortization expense	60		42			51			—			153
Sales, general and other administrative expense	10		12			12			(1		)	33
Other operating expenses	12		2			7			1			22
(Income) from unconsolidated investments in power plants	—		—			(9		)	—			(9		)
Income (loss) from operations	44		(71		)	171			—			144
Interest expense, net of interest income												165
Debt extinguishment costs and other (income) expense, net												11
Loss before income taxes												$	(32	)

_________

(1) Includes $(24) million and $(29) million of lease levelization and $4 million and $4 million of amortization expense for the three months ended March 31, 2015 and 2014, respectively.

(2) Commodity Margin related to the six power plants sold in our East segment on July 3, 2014, was $39 million for the three months ended March 31, 2014.