Subsequent Events (Exelon and Generation)

3 Months Ended

Mar. 31, 2020

Subsequent Event [Line Items]

Subsequent Events [Text Block]

Subsequent Events (Exelon and Generation)

Sales of Customer Accounts Receivable

On April 8, 2020, NER, a bankruptcy remote, special purpose entity, which is wholly-owned by Generation, entered into a revolving accounts receivable financing arrangement with a number of financial institutions and a commercial paper conduit (the Purchasers) to sell certain customer accounts receivable (the Facility). The Facility, whose maximum capacity is $750 million, is scheduled to expire on April 7, 2021, unless renewed by the mutual consent of the parties in accordance with its terms. Under the Facility, NER may sell eligible short-term customer accounts receivable to the Purchasers in exchange for cash and subordinated interest. The transfers are reported as sales of receivables in Exelon’s and Generation’s consolidated financial statements. The subordinated interest in collections upon the receivables sold to the Purchasers is referred to as the deferred purchase price (DPP). Generation continues to service the receivables sold in exchange for a servicing fee.

On April 8, 2020, NER received approximately $500 million in cash purchase price in accordance with the initial sale of approximately $1.2 billion receivables to the Purchasers under the Facility.