Early Plant Retirements Early Plant Retirements (Tables)

9 Months Ended

Sep. 30, 2018

Property, Plant and Equipment [Abstract]

Schedule of Other Operating Cost and Expense, by Component [Table Text Block]

During the three and nine months ended September 30, 2018, both Exelon's and Generation's results include a net incremental $174 million and $525 million, respectively, of total pre-tax expense associated with the early retirement decisions for TMI and Oyster Creek, as summarized in the table below.

Income statement expense (pre-tax)	Q3 2018		YTD 2018
Depreciation and amortization(a)
Accelerated depreciation(b)	$	152	$	441
Accelerated nuclear fuel amortization	18		52
Operating and maintenance(c)	4		32
Total	$	174	$	525

_________

(a) Reflects incremental accelerated depreciation and amortization for TMI and Oyster Creek for the three and nine months ended September 30, 2018. The Oyster Creek year-to-date amounts are from February 2, 2018 through September 17, 2018.

(b) Reflects incremental accelerated depreciation of plant assets, including any ARC.

(c) Primarily includes materials and supplies inventory reserve adjustments, employee related costs and CWIP impairments. It does not include remeasurement of the Oyster Creek ARO. Refer to Note 13 - Asset Retirement Obligations for additional detail.

Exelon's and Generation's 2017 results included a net incremental $339 million of total pre-tax expense associated with the early retirement decision for TMI, as summarized in the table below.

Income statement expense (pre-tax)	Q2 2017		Q3 2017		Q4 2017		YTD 2017
Depreciation and amortization(a)
Accelerated depreciation(b)	$	35	$	106	$	109	$	250
Accelerated nuclear fuel amortization	2		6		4		12
Operating and maintenance(c)	71		5		1		77
Total	$	108	$	117	$	114	$	339

_________

(a) Reflects incremental charges for TMI including incremental accelerated depreciation and amortization from May 30, 2017 through December 31, 2017.

(b) Reflects incremental accelerated depreciation of plant assets, including any ARC.

(c) Primarily includes materials and supplies inventory reserve adjustments, employee related costs and CWIP impairments.

Implications of Potential Early Plant Retirement [Table Text Block]

The following table provides the balance sheet amounts as of September 30, 2018 for Generation’s ownership share of the significant assets and liabilities associated with Salem that would potentially be impacted by a decision to permanently cease generation operations.

	September 30, 2018
Asset Balances
Materials and supplies inventory	$	45
Nuclear fuel inventory, net	114
Completed plant, net	605
Construction work in progress	34
Liability Balances
Asset retirement obligation	(455		)
NRC License Renewal Term	2036 (unit 1)
	2040 (unit 2)

The following table provides the balance sheet amounts as of September 30, 2018 for Generation’s significant assets and liabilities associated with the Mystic Generating Station assets that would potentially be impacted by a decision to permanently cease generation operations.

	September 30, 2018
Asset Balances
Materials and supplies inventory	$	21
Fuel inventory	18
Completed plant, net	877
Construction work in progress	5
Prepaid expenses(a)	15
Liability Balances
Asset retirement obligation	(5		)
Accrued expenses(a)	(2		)

_________

(a) Reflects ending balances only as they relate to Mystic's Long-term Service Agreement.