Mergers, Acquisitions and Dispositions (Tables)

6 Months Ended

Jun. 30, 2017

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]

Exelon applied push-down accounting to PHI, and accordingly, the PHI assets acquired and liabilities assumed were recorded at their estimated fair values on Exelon’s and PHI's Consolidated Balance Sheets as of March 23, 2016, as follows:

Purchase Price Allocation (a)
Current assets	$	1,441
Property, plant and equipment	11,088
Regulatory assets	5,015
Other assets	248
Goodwill	4,005
Total assets	$	21,797
Current liabilities	$	2,752
Unamortized energy contracts	1,515
Regulatory liabilities	297
Long-term debt, including current maturities	5,636
Deferred income taxes	3,447
Pension and OPEB obligations	821
Other liabilities	187
Total liabilities	$	14,655
Total purchase price	$	7,142

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(a) Amounts shown reflect the final purchase price allocation and the correction of a reporting error identified and corrected in the second quarter of 2016. The error had resulted in a gross up of certain assets and liabilities related to legacy PHI intercompany and income tax receivable and payable balances.

The following table summarizes the acquisition-date fair value of the consideration transferred and the assets and liabilities assumed for the FitzPatrick acquisition by Generation as of June 30, 2017:

Cash paid for purchase price	$	110
Cash paid for net cost reimbursement	129
Nuclear fuel transfer	54
Total consideration transferred	$	293
Identifiable assets acquired and liabilities assumed
Current assets	$	58
Property, plant and equipment	278
Nuclear decommissioning trust funds	807
Other assets(a)	114
Total assets	$	1,257
Current liabilities	$	7
Asset retirement obligations	417
Pension and OPEB obligations	49
Deferred income taxes	144
Spent nuclear fuel obligation	110
Other liabilities	11
Total liabilities	$	738
Total net identifiable assets, at fair value	$	519
Bargain purchase gain (after-tax)	$	226

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(a) Includes a $110 million asset associated with a contractual right to reimbursement from the New York Power Authority (NYPA), a prior owner of FitzPatrick, associated with the DOE one-time fee obligation. See Note 24-Commitments and Contingencies of the Exelon 2016 Form 10-K for additional background regarding SNF obligations to the DOE.

Business Combination, Separately Recognized Transactions [Table Text Block]

	Three Months Ended June 30,					Six Months Ended June 30,
Acquisition, Integration and Financing Costs(a)	2017		2016			2017			2016
Exelon(b)	$	8	$	1		$	17		$	103
Generation	4		4			13			20
ComEd(c)	—		1			1			(7		)
PECO	1		1			2			2
BGE(d)	1		(5		)	2			(4		)
Pepco(e)	1		(4		)	2			23
DPL(f)	—		—			(7		)	16
ACE	1		2			2			15

	Successor										Predecessor
Acquisition, Integration and Financing Costs(a)	Three Months Ended June 30, 2017		Three Months Ended June 30, 2016			Six Months Ended June 30, 2017			March 24, 2016 to June 30, 2016		January 1, 2016 to March 23, 2016
PHI(g)	$	2	$	(1	)	$	(2	)	$	55	$	29

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(a) The costs incurred are classified primarily within Operating and maintenance expense in the Registrants’ respective Consolidated Statements of Operations and Comprehensive Income, with the exception of the financing costs, which are included within Interest expense. Costs do not include merger commitments discussed above.

(b) Reflects costs (benefits) recorded at Exelon related to financing, including mark-to-market activity on forward-starting interest rate swaps.

(c) For the six months ended June 30, 2016, includes the reversal of previously incurred acquisition, integration and financing costs of $8 million, incurred at ComEd that have been deferred and recorded as a regulatory asset for anticipated recovery. See Note 5—Regulatory Matters for more information.

(d) For the three and six months ended June 30, 2016, includes the reversal of previously incurred acquisition, integration and financing costs of $6 million incurred at BGE that have been deferred and recorded as a regulatory asset for anticipated recovery. See Note 5—Regulatory Matters for more information.

(e) For the three and six months ended June 30, 2016, includes the reversal of previously incurred acquisition, integration and financing costs of $9 million incurred at Pepco that have been deferred and recorded as a regulatory asset for anticipated recovery. See Note 5—Regulatory Matters for more information.

(f) For the six months ended June 30, 2017, includes the reversal of previously incurred acquisition, integration and financing costs of $8 million incurred at DPL that have been deferred and recorded as a regulatory asset for anticipated recovery. For the three and six months ended June 30, 2016, includes the reversal of previously incurred acquisition, integration and financing costs of $3 million incurred at DPL that have been deferred and recorded as a regulatory asset for anticipated recovery. See Note 5—Regulatory Matters for more information.

(g) For the six months ended June 30, 2017, includes the reversal of previously incurred acquisition, integration and financing costs of $8 million incurred at PHI that have been deferred and recorded as a regulatory asset for anticipated recovery. For the three months ended June 30, 2016 and the Successor period March 24, 2016 to June 30, 2016, includes the reversal of previously incurred acquisition, integration and financing costs of $12 million incurred at PHI that have been deferred and recorded as a regulatory asset for anticipated recovery. See Note 5—Regulatory Matters for more information.

	Expected Payment Period							Successor
Description		Pepco		DPL		ACE		PHI		Exelon
Rate credits	2016 - 2017	$	91	$	67	$	101	$	259	$	259
Energy efficiency	2016 - 2021	—		—		—		—		122
Charitable contributions	2016 - 2026	28		12		10		50		50
Delivery system modernization	Q2 2017	—		—		—		—		22
Green sustainability fund	Q2 2017	—		—		—		—		14
Workforce development	2016 - 2020	—		—		—		—		17
Other		1		5		—		6		29
Total		$	120	$	84	$	111	$	315	$	513

The total purchase price consideration of approximately $7.1 billion for the PHI Merger consisted of cash paid to PHI shareholders, cash paid for PHI preferred securities and cash paid for PHI stock-based compensation equity awards as follows:

(In millions of dollars, except per share data)	Total Consideration
Cash paid to PHI shareholders at $27.25 per share (254 million shares outstanding at March 23, 2016)	$	6,933
Cash paid for PHI preferred stock	180
Cash paid for PHI stock-based compensation equity awards(a)	29
Total purchase price	$	7,142

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(a) PHI’s unvested time-based restricted stock units and performance-based restricted stock units issued prior to April 29, 2014 were immediately vested and paid in cash upon the close of the merger.  PHI’s remaining unvested time-based restricted stock units as of the close of the merger were cancelled.  There were no remaining unvested performance-based restricted stock units as of the close of the merger. 

The current impact of PHI, including its unregulated businesses, on Exelon's Consolidated Statements of Operations and Comprehensive Income includes:

	Three Months Ended June 30,				Six Months Ended June 30,
	2017		2016		2017		2016
Operating revenues	$	1,113	$	1,112	$	2,332	$	1,219
Net income (loss)	61		52		202		(262		)

Business Acquisition, Pro Forma Information, Nonrecurring Adjustments [Table Text Block]

The unaudited pro forma financial information has been presented for illustrative purposes only and is not necessarily indicative of results of operations that would have been achieved had the merger events taken place on the dates indicated, or the future consolidated results of operations of the combined company.

	Three Months Ended    June 30,		Six Months Ended   June 30,		Year Ended December 31,
	2016(a)		2016(a)		2016(b)
Total operating revenues	$	6,910	$	15,466	$	32,342
Net income attributable to common shareholders	268		845		1,562
Basic earnings per share	$	0.29	$	0.92	$	1.69
Diluted earnings per share	0.29		0.91		1.69

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(a) The amounts above include adjustments for non-recurring costs directly related to the merger of $1 million and $641 million for the three and six months ended June 30, 2016, respectively, and intercompany revenue of $170 million for the six months ended June 30, 2016.

(b) The amounts above include adjustments for non-recurring costs directly related to the merger of $680 million and intercompany revenue of $171 million for the year ended December 31, 2016.