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Fair Value of Financial Assets and Liabilities (Tables)
 12 Months Ended
Dec. 31, 2020
Fair Value Disclosures [Abstract]  
Fair Value of Financial Liabilities Recorded at Amortized Cost
The following tables present the carrying amounts and fair values of the Registrants’ short-term liabilities, long-term debt, SNF obligation, and trust preferred securities (long-term debt to financing trusts or junior subordinated debentures) as of December 31, 2020 and 2019. The Registrants have no financial liabilities classified as Level 1.
The carrying amounts of the Registrants’ short-term liabilities as presented on their Consolidated Balance Sheets are representative of their fair value (Level 2) because of the short-term nature of these instruments.

December 31, 2020December 31, 2019
Carrying AmountFair ValueCarrying AmountFair Value
Level 2Level 3TotalLevel 2Level 3Total
Long-Term Debt, including amounts due within one year(a)
Exelon$36,912 $40,688 $3,064 $43,752 $36,039 $37,453 $2,580 $40,033 
Generation6,087 5,648 1,208 6,856 7,974 7,304 1,366 8,670 
ComEd8,983 11,117 — 11,117 8,491 9,848 — 9,848 
PECO3,753 4,553 50 4,603 3,405 3,868 50 3,918 
BGE3,664 4,366 — 4,366 3,270 3,649 — 3,649 
PHI7,006 6,099 1,806 7,905 6,563 5,902 1,164 7,066 
Pepco3,165 3,336 748 4,084 2,864 3,198 388 3,586 
DPL1,677 1,484 455 1,939 1,567 1,408 311 1,719 
ACE1,413 1,018 602 1,620 1,327 1,026 464 1,490 
Long-Term Debt to Financing Trusts(a)
Exelon$390 $— $467 $467 $390 $— $428 $428 
ComEd205 — 246 246 205 — 227 227 
PECO184 — 221 221 184 — 201 201 
SNF Obligation
Exelon$1,208 $909 $— $909 $1,199 $1,055 $— $1,055 
Generation1,208 909 — 909 1,199 1,055 — 1,055 
__________
(a) Includes unamortized debt issuance costs which are not fair valued. Refer to Note 17 — Debt and Credit Agreements for each Registrants’ unamortized debt issuance costs.
Assets and Liabilities Measured and Recorded at Fair Value on Recurring Basis The following tables present assets and liabilities measured and recorded at fair value in the Registrants' Consolidated Balance Sheets on a recurring basis and their level within the fair value hierarchy as of December 31, 2020 and 2019:
Exelon and Generation
ExelonGeneration
As of December 31, 2020Level 1Level 2Level 3Not subject to levelingTotalLevel 1Level 2Level 3Not subject to levelingTotal
Assets
Cash equivalents(a)
$686 $— $— $— $686 $124 $— $— $— $124 
NDT fund investments
Cash equivalents(b)
210 95 — — 305 210 95 — — 305 
Equities3,886 2,077 — 1,562 7,525 3,886 2,077 — 1,562 7,525 
Fixed income
Corporate debt(c)
— 1,485 285 — 1,770 — 1,485 285 — 1,770 
U.S. Treasury and agencies1,871 126 — — 1,997 1,871 126 — — 1,997 
Foreign governments— 56 — — 56 — 56 — — 56 
State and municipal debt — 101 — — 101 — 101 — — 101 
Other— 41 — 961 1,002 — 41 — 961 1,002 
Fixed income subtotal1,871 1,809 285 961 4,926 1,871 1,809 285 961 4,926 
Private credit— — 212 629 841 — — 212 629 841 
Private equity— — — 504 504 — — — 504 504 
Real estate — — — 679 679 — — — 679 679 
NDT fund investments subtotal(d)(e)
5,967 3,981 497 4,335 14,780 5,967 3,981 497 4,335 14,780 
Rabbi trust investments
Cash equivalents60 — — — 60 4 — — — 4 
Mutual funds91 — — — 91 29 — — — 29 
Fixed income— 11 — — 11 — — — — — 
Life insurance contracts— 87 34 — 121 — 28 — — 28 
Rabbi trust investments subtotal151 98 34 — 283 33 28 — — 61 
Investments in equities(f)
195 — — — 195 195 — — — 195 
Commodity derivative assets
Economic hedges745 1,914 1,599 — 4,258 745 1,914 1,599 — 4,258 
Proprietary trading— 17 27 — 44 — 17 27 — 44 
Effect of netting and allocation of collateral(g)(h)
(607)(1,597)(905)— (3,109)(607)(1,597)(905)— (3,109)
Commodity derivative assets subtotal138 334 721 — 1,193 138 334 721 — 1,193 
DPP consideration— 639 — — 639 — 639 — — 639 
Total assets7,137 5,052 1,252 4,335 17,776 6,457 4,982 1,218 4,335 16,992 
Liabilities
Commodity derivative liabilities
Economic hedges(682)(1,928)(1,655)— (4,265)(682)(1,928)(1,354)— (3,964)
Proprietary trading— (21)(4)— (25)— (21)(4)— (25)
Effect of netting and allocation of collateral(g)(h)
540 1,918 1,067 — 3,525 540 1,918 1,067 — 3,525 
Commodity derivative liabilities subtotal(142)(31)(592)— (765)(142)(31)(291)— (464)
Deferred compensation obligation— (145)— — (145)— (42)— — (42)
Total liabilities(142)(176)(592)— (910)(142)(73)(291)— (506)
Total net assets$6,995 $4,876 $660 $4,335 $16,866 $6,315 $4,909 $927 $4,335 $16,486 
ExelonGeneration
As of December 31, 2019Level 1Level 2Level 3Not subject to levelingTotalLevel 1Level 2Level 3Not subject to levelingTotal
Assets
Cash equivalents(a)
$639 $— $— $— $639 $214 $— $— $— $214 
NDT fund investments
Cash equivalents(b)
365 87 — — 452 365 87 — — 452 
Equities 3,353 1,801 — 1,388 6,542 3,353 1,801 — 1,388 6,542 
Fixed income
Corporate debt(c)
— 1,421 257 — 1,678 — 1,421 257 — 1,678 
U.S. Treasury and agencies1,808 131 — — 1,939 1,808 131 — — 1,939 
Foreign governments— 42 — — 42 — 42 — — 42 
State and municipal debt— 90 — — 90 — 90 — — 90 
Other— 33 — 953 986 — 33 — 953 986 
Fixed income subtotal 1,808 1,717 257 953 4,735 1,808 1,717 257 953 4,735 
Private credit— — 254 508 762 — — 254 508 762 
Private equity— — — 402 402 — — — 402 402 
Real estate — — — 607 607 — — — 607 607 
NDT fund investments subtotal(d)(e)
5,526 3,605 511 3,858 13,500 5,526 3,605 511 3,858 13,500 
Rabbi trust investments
Cash equivalents50 — — — 50 4 — — — 4 
Mutual funds81 — — — 81 25 — — — 25 
Fixed income— 12 — — 12 — — — — — 
Life insurance contracts — 78 41 — 119 — 25 — — 25 
Rabbi trust investments subtotal131 90 41 — 262 29 25 — — 54 
Commodity derivative assets
Economic hedges768 2,491 1,485 — 4,744 768 2,491 1,485 — 4,744 
Proprietary trading— 37 60 — 97 — 37 60 — 97 
Effect of netting and allocation of collateral(g)(h)
(908)(2,162)(588)— (3,658)(908)(2,162)(588)— (3,658)
Commodity derivative assets subtotal (140)366 957 — 1,183 (140)366 957 — 1,183 
Total assets6,156 4,061 1,509 3,858 15,584 5,629 3,996 1,468 3,858 14,951 
Liabilities
Commodity derivative liabilities
Economic hedges(1,071)(2,855)(1,228)— (5,154)(1,071)(2,855)(927)— (4,853)
Proprietary trading— (34)(15)— (49)— (34)(15)— (49)
Effect of netting and allocation of collateral(g)(h)
1,071 2,714 802 — 4,587 1,071 2,714 802 — 4,587 
Commodity derivative liabilities subtotal— (175)(441)— (616)— (175)(140)— (315)
Deferred compensation obligation— (147)— — (147)— (41)— — (41)
Total liabilities— (322)(441)— (763)— (216)(140)— (356)
Total net assets$6,156 $3,739 $1,068 $3,858 $14,821 $5,629 $3,780 $1,328 $3,858 $14,595 
__________
(a)Exelon excludes cash of $409 million and $373 million at December 31, 2020 and 2019, respectively, and restricted cash of $59 million and $110 million at December 31, 2020 and 2019, respectively, and includes long-term restricted cash of $53 million and $177 million at December 31, 2020 and 2019, respectively, which is reported in Other deferred debits in
the Consolidated Balance Sheets. Generation excludes cash of $171 million and $177 million at December 31, 2020 and 2019, respectively, and restricted cash of $20 million and $58 million at December 31, 2020 and 2019, respectively. 
(b)Includes $116 million and $90 million of cash received from outstanding repurchase agreements at December 31, 2020 and 2019, respectively, and is offset by an obligation to repay upon settlement of the agreement as discussed in (e) below.
(c)Includes investments in equities sold short of $(62) million and $(48) million as of December 31, 2020 and 2019, respectively, held in an investment vehicle primarily to hedge the equity option component of its convertible debt.
(d)Includes derivative assets of $2 million and $2 million, which have total notional amounts of $1,043 million and $724 million at December 31, 2020 and 2019, respectively. The notional principal amounts for these instruments provide one measure of the transaction volume outstanding as of the periods ended and do not represent the amount of Exelon and Generation's exposure to credit or market loss.
(e)Excludes net liabilities of $181 million and $147 million at December 31, 2020 and 2019, respectively, which include certain derivative assets that have notional amounts of $104 million and $99 million at December 31, 2020 and 2019, respectively. These items consist of receivables related to pending securities sales, interest and dividend receivables, repurchase agreement obligations, and payables related to pending securities purchases. The repurchase agreements are generally short-term in nature with durations generally of 30 days or less.
(f)Reflects equity investments held by Generation which were previously designated as equity investments without readily determinable fair values but are now publicly traded and therefore have readily determinable fair values. Generation recorded the fair value of these investments in Other current assets on Exelon's and Generation's Consolidated Balance Sheets based on the quoted market prices of the stocks at December 31, 2020, which resulted in an unrealized gain of $186 million within Other, net in Exelon's and Generation's Consolidated Statement of Operations and Comprehensive Income for the year ended December 31, 2020.
(g)Collateral posted/(received) from counterparties, net of collateral paid to counterparties, totaled $(67) million, $321 million, and $162 million allocated to Level 1, Level 2, and Level 3 mark-to-market derivatives, respectively, as of December 31, 2020. Collateral posted/(received) from counterparties, net of collateral paid to counterparties, totaled $163 million, $551 million, and $214 million allocated to Level 1, Level 2, and Level 3 mark-to-market derivatives, respectively, as of December 31, 2019.
(h)Of the collateral posted/(received), $209 million and $511 million represents variation margin on the exchanges as of December 31, 2020 and 2019, respectively.

As of December 31, 2020, Exelon and Generation have outstanding commitments to invest in private credit, private equity, and real estate investments of approximately $195 million, $254 million, and $369 million, respectively. These commitments will be funded by Generation’s existing NDT funds.
Exelon and Generation held investments without readily determinable fair values with carrying amounts of $73 million and $55 million as of December 31, 2020, respectively. Exelon and Generation held investments without readily determinable fair values with carrying amounts of $69 million as of December 31, 2019. Changes in fair value, cumulative adjustments, and impairments were not material for the years ended December 31, 2020 and December 31, 2019.
ComEd, PECO, and BGE
ComEdPECOBGE
As of December 31, 2020Level 1Level 2Level 3TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets
Cash equivalents(a)
$285 $— $— $285 $8 $— $— $8 $120 $— $— $120 
Rabbi trust investments
Mutual funds— — — — 9 — — 9 10 — — 10 
Life insurance contracts— — — — — 13 — 13 — — — — 
Rabbi trust investments subtotal— — — — 9 13 — 22 10 — — 10 
Total assets285 — — 285 17 13 — 30 130 — — 130 
Liabilities
Mark-to-market derivative liabilities(b)
— — (301)(301)— — — — — — — — 
Deferred compensation obligation— (8)— (8)— (9)— (9)— (5)— (5)
Total liabilities— (8)(301)(309)— (9)— (9)— (5)— (5)
Total net assets (liabilities)$285 $(8)$(301)$(24)$17 $4 $— $21 $130 $(5)$— $125 
ComEdPECOBGE
As of December 31, 2019Level 1Level 2Level 3TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets
Cash equivalents(a)
$280 $— $— $280 $15 $— $— $15 $— $— $— $— 
Rabbi trust investments
Mutual funds— — — — 8 — — 8 8 — — 8 
Life insurance contracts— — — — — 11 — 11 — — — — 
Rabbi trust investments subtotal— — — — 8 11 — 19 8 — — 8 
Total assets280 — — 280 23 11 — 34 8 — — 8 
Liabilities
Mark-to-market derivative liabilities(b)
— — (301)(301)— — — — — — — — 
Deferred compensation obligation— (8)— (8)— (9)— (9)— (5)— (5)
Total liabilities— (8)(301)(309)— (9)— (9)— (5)— (5)
Total net assets (liabilities)$280 $(8)$(301)$(29)$23 $2 $— $25 $8 $(5)$— $3 
__________
(a)ComEd excludes cash of $83 million and $90 million at December 31, 2020 and 2019, respectively, and restricted cash of $37 million and $33 million at December 31, 2020 and 2019, respectively, and includes long-term restricted cash of $43 million and $163 million at December 31, 2020 and 2019, respectively, which is reported in Other deferred debits in the Consolidated Balance Sheets. PECO excludes cash of $18 million and $12 million at December 31, 2020 and 2019, respectively. BGE excludes cash of $24 million at both December 31, 2020 and 2019, respectively, and restricted cash of $1 million at both December 31, 2020 and 2019, respectively.
(b)The Level 3 balance consists of the current and noncurrent liability of $33 million and $268 million, respectively, at December 31, 2020 and $32 million and $269 million, respectively, at December 31, 2019 related to floating-to-fixed energy swap contracts with unaffiliated suppliers.
PHI, Pepco, DPL, and ACE
As of December 31, 2020As of December 31, 2019
PHILevel 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets
Cash equivalents(a)
$86 $— $— $86 $124 $— $— $124 
Rabbi trust investments
Cash equivalents55 — — 55 44 — — 44 
Mutual funds14 — — 14 14 — — 14 
Fixed income— 11 — 11 — 12 — 12 
Life insurance contracts— 26 34 60 — 24 41 65 
Rabbi trust investments subtotal69 37 34 140 58 36 41 135 
Total assets155 37 34 226 182 36 41 259 
Liabilities
Deferred compensation obligation— (17)— (17)— (19)— (19)
Total liabilities— (17)— (17)— (19)— (19)
Total net assets$155 $20 $34 $209 $182 $17 $41 $240 
PepcoDPLACE
As of December 31, 2020Level 1Level 2Level 3TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets
Cash equivalents(a)
$35 $— $— $35 $— $— $— $— $13 $— $— $13 
Rabbi trust investments
Cash equivalents53 — — 53 — — — — — — — — 
Fixed income— 2 — 2 — — — — — — — — 
Life insurance contracts— 26 34 60 — — — — — — — — 
Rabbi trust investments subtotal53 28 34 115 — — — — — — — — 
Total assets88 28 34 150 — — — — 13 — — 13 
Liabilities
Deferred compensation obligation— (2)— (2)— — — — — — — — 
Total liabilities— (2)— (2)— — — — — — — — 
Total net assets$88 $26 $34 $148 $— $— $— $— $13 $— $— $13 
PepcoDPLACE
As of December 31, 2019Level 1Level 2Level 3TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets
Cash equivalents(a)
$34 $— $— $34 $— $— $— $— $16 $— $— $16 
Rabbi trust investments
Cash equivalents43 — — 43 — — — — — — — — 
Fixed income— 2 — 2 — — — — — — — — 
Life insurance contracts— 24 41 65 — — — — — — — — 
Rabbi trust investments subtotal43 26 41 110 — — — — — — — — 
Total assets77 26 41 144 — — — — 16 — — 16 
Liabilities
Deferred compensation obligation— (2)— (2)— — — — — — — — 
Total liabilities— (2)— (2)— — — — — — — — 
Total net assets$77 $24 $41 $142 $— $— $— $— $16 $— $— $16 
__________
(a)PHI excludes cash of $74 million and $57 million at December 31, 2020 and 2019, respectively, and includes long-term restricted cash of $10 million and $14 million at December 31, 2020 and 2019, respectively, which is reported in Other deferred debits in the Consolidated Balance Sheets. Pepco excludes cash of $30 million and $29 million at December 31, 2020 and 2019, respectively. DPL excludes cash of $15 million and $13 million at December 31, 2020 and 2019, respectively. ACE excludes cash of $17 million and $12 million at December 31, 2020 and 2019, respectively, and includes long-term restricted cash of $10 million and $14 million at December 31, 2020 and 2019, respectively, which is reported in Other deferred debits in the Consolidated Balance Sheets.
Fair Value Reconciliation of Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following tables present the fair value reconciliation of Level 3 assets and liabilities measured at fair value on a recurring basis during the years ended December 31, 2020 and 2019:
ExelonGenerationComEdPHI and Pepco
For the year ended December 31, 2020Total NDT Fund InvestmentsMark-to-Market
Derivatives		Total GenerationMark-to-Market
Derivatives		Life Insurance ContractsEliminated in Consolidation
Balance as of January 1, 2020$1,068 $511 $817 $1,328 $(301)$41 $— 
Total realized / unrealized gains (losses)
Included in net income(409)2 (414)
(a)
(412)— 3 — 
Included in noncurrent payables to affiliates— 21 — 21 — — (21)
Included in regulatory assets/liabilities21 — — — — 
(b)
— 21 
Change in collateral(53)— (53)(53)— — — 
Purchases, sales, issuances and settlements
Purchases151 8 143 151 — — — 
Sales(27)— (27)(27)— — — 
Settlements(55)(45)— 

(45)— (10)— 
Transfers into Level 3(12)— (12)
(c)
(12)— — — 
Transfers out of Level 3(24)— (24)
(c)
(24)— — — 
Balance as of December 31, 2020$660 $497 $430 $927 $(301)$34 $— 
The amount of total gains included in net income attributed to the change in unrealized gains (losses) related to assets and liabilities held as of December 31, 2020$11 $2 $6 $8 $— $3 $— 
ExelonGenerationComEdPHI and Pepco
For the year ended December 31, 2019Total NDT Fund InvestmentsMark-to-Market
Derivatives		Total GenerationMark-to-Market
Derivatives		Life Insurance ContractsEliminated in Consolidation
Balance as of January 1, 2019$907 $543 $575 $1,118 $(249)$38 $— 
Total realized / unrealized gains (losses)
Included in net income(23)5 (31)
(a)
(26)— 3 — 
Included in noncurrent payables to affiliates— 34 — 34 — — (34)
Included in regulatory assets/liabilities(18)— — — (52)
(b)
— 34 
Change in collateral138 — 138 138 — — — 
Purchases, sales, issuances and settlements
Purchases176 44 132 176 — — — 
Sales(23)(21)(2)(23)— — — 
Settlements(89)(94)5 


(89)— — — 
Transfers into Level 35 — 5 
(c)
5 — — — 
Transfers out of Level 3(5)— (5)
(c)
(5)— — — 
Balance as of December 31, 2019$1,068 $511 $817 $1,328 $(301)$41 $— 
The amount of total gains included in net income attributed to the change in unrealized gains (losses) related to assets and liabilities held as of December 31, 2019$359 $5 $351 $356 $— $3 $— 
__________
(a)Includes a reduction for the reclassification of $420 million and $377 million of realized gains due to the settlement of derivative contracts for the years ended December 31, 2020 and 2019, respectively.
(b)Includes $33 million of decreases in fair value and an increase for realized losses due to settlements of $33 million recorded in purchased power expense associated with floating-to-fixed energy swap contracts with unaffiliated suppliers for the year ended December 31, 2020. Includes $78 million of decreases in fair value and an increase for realized losses due to settlements of $26 million recorded in purchased power expense associated with floating-to-fixed energy swap contracts with unaffiliated suppliers for the year ended December 31, 2019.
(c)Transfers into and out of Level 3 generally occur when the contract tenor becomes less and more observable, respectively, primarily due to changes in market liquidity or assumptions for certain commodity contracts.
Total Realized and Unrealized Gains (Losses) Included in Income for Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following tables present the income statement classification of the total realized and unrealized gains (losses) included in income for Level 3 assets and liabilities measured at fair value on a recurring basis during the years ended December 31, 2020 and 2019:
ExelonGenerationPHI and Pepco
Operating
Revenues		Purchased
Power and
Fuel		Operating and MaintenanceOther, netOperating
Revenues		Purchased
Power and
Fuel		Other, netOperating and
Maintenance
Total (losses) gains included in net income for the year ended December 31, 2020$(404)$(10)$3 $2 $(404)$(10)$2 $3 
Change in unrealized (losses) gains relating to assets and liabilities held for the year ended December 31, 2020(31)37 3 2 (31)37 2 3 
ExelonGenerationPHI and Pepco
Operating
Revenues		Purchased
Power and
Fuel		Operating and MaintenanceOther, netOperating
Revenues		Purchased
Power and
Fuel		Other, netOperating and
Maintenance
Total gains (losses) included in net income for the year ended December 31, 2019$219 $(245)$3 $5 $219 $(245)$5 $3 
Change in unrealized gains (losses) relating to assets and liabilities held for the year ended December 31, 2019546 (195)3 5 546 (195)5 3 
Fair Value Reconciliation of Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis, Valuation Technique
The following table presents the significant inputs to the forward curve used to value these positions:
Type of tradeFair Value at December 31, 2020Fair Value at December 31, 2019Valuation
Technique		Unobservable
Input		2020 Range & Arithmetic Average2019 Range & Arithmetic Average
Mark-to-market derivatives—Economic hedges (Exelon and Generation)(a)(b)
$245 $558 Discounted Cash FlowForward power
price		$2.25-$163$30$9-$180$29
Forward gas
price		$1.57-$7.88$2.59$0.83-$10.72$2.55
Option 
Model		Volatility
percentage		11%-237%32%8%-236%70%
Mark-to-market derivatives—Proprietary trading (Exelon and Generation)(a)(b)
$23 $45 Discounted Cash FlowForward power
price		$10-$106$27$25-$180$33
Mark-to-market derivatives (Exelon and ComEd)$(301)$(301)Discounted Cash Flow
Forward heat rate(c)
8x-9x8.85x9x-10x9.68x
Marketability
reserve		3%-8%4.93%3%-7%4.95%
Renewable
factor		91%-123%99%91%-123%99%
__________
(a)The valuation techniques, unobservable inputs, ranges, and arithmetic averages are the same for the asset and liability positions.
(b)The fair values do not include cash collateral posted on level three positions of $162 million and $214 million as of December 31, 2020 and December 31, 2019, respectively.
(c)Quoted forward natural gas rates are utilized to project the forward power curve for the delivery of energy at specified future dates. The natural gas curve is extrapolated beyond its observable period to the end of the contract’s delivery.