Commission File Number | Registrants, State of Incorporation, Address, and Telephone Number | I.R.S. Employer Identification No. | ||
001-09120 | PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED (A New Jersey Corporation) 80 Park Plaza, P.O. Box 1171 Newark, New Jersey 07101-1171 973 430-7000 http://www.pseg.com | 22-2625848 | ||
001-34232 | PSEG POWER LLC (A Delaware Limited Liability Company) 80 Park Plaza—T25 Newark, New Jersey 07102-4194 973 430-7000 http://www.pseg.com | 22-3663480 | ||
001-00973 | PUBLIC SERVICE ELECTRIC AND GAS COMPANY (A New Jersey Corporation) 80 Park Plaza, P.O. Box 570 Newark, New Jersey 07101-0570 973 430-7000 http://www.pseg.com | 22-1212800 |
Public Service Enterprise Group Incorporated | Large accelerated filer x | Accelerated filer o | Non-accelerated filer o | Smaller reporting company o |
PSEG Power LLC | Large accelerated filer o | Accelerated filer o | Non-accelerated filer x | Smaller reporting company o |
Public Service Electric and Gas Company | Large accelerated filer o | Accelerated filer o | Non-accelerated filer x | Smaller reporting company o |
Page | ||
PART I. FINANCIAL INFORMATION | ||
Item 1. | Financial Statements | |
Notes to Condensed Consolidated Financial Statements | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
PART II. OTHER INFORMATION | ||
Item 1. | ||
Item 1A. | ||
Item 2. | ||
Item 5. | ||
Item 6. | ||
• | adverse changes in the demand for or the price of the capacity and energy that we sell into wholesale electricity markets, |
• | adverse changes in energy industry law, policies and regulation, including market structures and a potential shift away from competitive markets toward subsidized market mechanisms, transmission planning and cost allocation rules, including rules regarding how transmission is planned and who is permitted to build transmission in the future, and reliability standards, |
• | any inability of our transmission and distribution businesses to obtain adequate and timely rate relief and regulatory approvals from federal and state regulators, |
• | changes in federal and state environmental regulations that could increase our costs or limit our operations, |
• | changes in nuclear regulation and/or general developments in the nuclear power industry, including various impacts from any accidents or incidents experienced at our facilities or by others in the industry, that could limit operations of our nuclear generating units, |
• | actions or activities at one of our nuclear units located on a multi-unit site that might adversely affect our ability to continue to operate that unit or other units located at the same site, |
• | any inability to balance our energy obligations, available supply and risks, |
• | any deterioration in our credit quality or the credit quality of our counterparties, including in our leveraged leases, |
• | availability of capital and credit at commercially reasonable terms and conditions and our ability to meet cash needs, |
• | changes in the cost of, or interruption in the supply of, fuel and other commodities necessary to the operation of our generating units, |
• | delays in receipt of necessary permits and approvals for our construction and development activities, |
• | delays or unforeseen cost escalations in our construction and development activities, |
• | any inability to achieve, or continue to sustain, our expected levels of operating performance, |
• | any equipment failures, accidents, severe weather events or other incidents that impact our ability to provide safe and reliable service to our customers, and any inability to obtain sufficient coverage or recover proceeds of insurance on such matters, |
• | increases in competition in energy supply markets as well as competition for certain rate-based transmission projects, |
• | any inability to realize anticipated tax benefits or retain tax credits, |
• | challenges associated with recruitment and/or retention of a qualified workforce, |
• | adverse performance of our decommissioning and defined benefit plan trust fund investments and changes in funding requirements, and |
• | changes in technology, such as distributed generation and microgrids, and resultant changes in customer usage patterns, including energy efficiency and demand response. |
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
OPERATING REVENUES | $ | 2,554 | $ | 2,402 | $ | 7,650 | $ | 7,375 | |||||||||
OPERATING EXPENSES | |||||||||||||||||
Energy Costs | 801 | 879 | 2,711 | 2,819 | |||||||||||||
Operation and Maintenance | 713 | 619 | 2,069 | 1,876 | |||||||||||||
Depreciation and Amortization | 313 | 286 | 886 | 797 | |||||||||||||
Taxes Other Than Income Taxes | 15 | 24 | 50 | 73 | |||||||||||||
Total Operating Expenses | 1,842 | 1,808 | 5,716 | 5,565 | |||||||||||||
OPERATING INCOME | 712 | 594 | 1,934 | 1,810 | |||||||||||||
Income from Equity Method Investments | 4 | 7 | 9 | 9 | |||||||||||||
Other Income | 59 | 121 | 172 | 216 | |||||||||||||
Other Deductions | (12 | ) | (26 | ) | (54 | ) | (61 | ) | |||||||||
Other-Than-Temporary Impairments | (3 | ) | (2 | ) | (7 | ) | (14 | ) | |||||||||
Interest Expense | (100 | ) | (106 | ) | (303 | ) | (310 | ) | |||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 660 | 588 | 1,751 | 1,650 | |||||||||||||
Income Tax Expense | (270 | ) | (241 | ) | (708 | ) | (599 | ) | |||||||||
NET INCOME | $ | 390 | $ | 347 | $ | 1,043 | $ | 1,051 | |||||||||
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING (THOUSANDS): | |||||||||||||||||
BASIC | 505,858 | 505,914 | 505,900 | 505,942 | |||||||||||||
DILUTED | 507,694 | 507,111 | 507,433 | 507,037 | |||||||||||||
EARNINGS PER SHARE: | |||||||||||||||||
BASIC | |||||||||||||||||
INCOME FROM CONTINUING OPERATIONS | $ | 0.77 | $ | 0.69 | $ | 2.06 | $ | 2.08 | |||||||||
NET INCOME | $ | 0.77 | $ | 0.69 | $ | 2.06 | $ | 2.08 | |||||||||
DILUTED | |||||||||||||||||
INCOME FROM CONTINUING OPERATIONS | $ | 0.77 | $ | 0.68 | $ | 2.06 | $ | 2.07 | |||||||||
NET INCOME | $ | 0.77 | $ | 0.68 | $ | 2.06 | $ | 2.07 | |||||||||
DIVIDENDS PAID PER SHARE OF COMMON STOCK | $ | 0.3600 | $ | 0.3550 | $ | 1.0800 | $ | 1.0650 | |||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
NET INCOME | $ | 390 | $ | 347 | $ | 1,043 | $ | 1,051 | |||||||||
Other Comprehensive Income (Loss), net of tax | |||||||||||||||||
Unrealized Gains (Losses) on Available-for-Sale Securities, net of tax (expense) benefit of $(16), $5, $(27) and $(16) for the three and nine months ended 2013 and 2012, respectively | 16 | (10 | ) | 27 | 12 | ||||||||||||
Unrealized Gains (Losses) on Cash Flow Hedges, net of tax (expense) benefit of $1, $8, $4 and $14 for the three and nine months ended 2013 and 2012, respectively | (1 | ) | (10 | ) | (5 | ) | (20 | ) | |||||||||
Pension/Other Postretirement Benefit Costs (OPEB) adjustment, net of tax (expense) benefit of $(6), $(5), $(20) and $(16) for the three and nine months ended 2013 and 2012, respectively | 9 | 8 | 28 | 23 | |||||||||||||
Other Comprehensive Income (Loss), net of tax | 24 | (12 | ) | 50 | 15 | ||||||||||||
COMPREHENSIVE INCOME | $ | 414 | $ | 335 | $ | 1,093 | $ | 1,066 | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
ASSETS | |||||||||
CURRENT ASSETS | |||||||||
Cash and Cash Equivalents | $ | 448 | $ | 379 | |||||
Accounts Receivable, net of allowances of $57 and $56 in 2013 and 2012, respectively | 1,069 | 1,069 | |||||||
Tax Receivable | 225 | 227 | |||||||
Unbilled Revenues | 211 | 314 | |||||||
Fuel | 599 | 583 | |||||||
Materials and Supplies, net | 450 | 422 | |||||||
Prepayments | 210 | 283 | |||||||
Derivative Contracts | 107 | 138 | |||||||
Deferred Income Taxes | 31 | 49 | |||||||
Regulatory Assets | 348 | 349 | |||||||
Other | 43 | 56 | |||||||
Total Current Assets | 3,741 | 3,869 | |||||||
PROPERTY, PLANT AND EQUIPMENT | 29,206 | 27,402 | |||||||
Less: Accumulated Depreciation and Amortization | (8,127 | ) | (7,666 | ) | |||||
Net Property, Plant and Equipment | 21,079 | 19,736 | |||||||
NONCURRENT ASSETS | |||||||||
Regulatory Assets | 3,519 | 3,830 | |||||||
Regulatory Assets of Variable Interest Entities (VIEs) | 532 | 713 | |||||||
Long-Term Investments | 1,320 | 1,324 | |||||||
Nuclear Decommissioning Trust (NDT) Fund | 1,635 | 1,540 | |||||||
Other Special Funds | 181 | 191 | |||||||
Goodwill | 16 | 16 | |||||||
Other Intangibles | 52 | 34 | |||||||
Derivative Contracts | 184 | 153 | |||||||
Restricted Cash of VIEs | 23 | 23 | |||||||
Other | 328 | 296 | |||||||
Total Noncurrent Assets | 7,790 | 8,120 | |||||||
TOTAL ASSETS | $ | 32,610 | $ | 31,725 | |||||
September 30, 2013 | December 31, 2012 | ||||||||
LIABILITIES AND CAPITALIZATION | |||||||||
CURRENT LIABILITIES | |||||||||
Long-Term Debt Due Within One Year | $ | 775 | $ | 1,026 | |||||
Securitization Debt of VIEs Due Within One Year | 235 | 226 | |||||||
Commercial Paper and Loans | — | 263 | |||||||
Accounts Payable | 1,024 | 1,304 | |||||||
Derivative Contracts | 36 | 46 | |||||||
Accrued Interest | 114 | 91 | |||||||
Accrued Taxes | 83 | 17 | |||||||
Deferred Income Taxes | 48 | 72 | |||||||
Clean Energy Program | 185 | 153 | |||||||
Obligation to Return Cash Collateral | 118 | 122 | |||||||
Regulatory Liabilities | 171 | 67 | |||||||
Other | 446 | 390 | |||||||
Total Current Liabilities | 3,235 | 3,777 | |||||||
NONCURRENT LIABILITIES | |||||||||
Deferred Income Taxes and Investment Tax Credits (ITC) | 6,807 | 6,542 | |||||||
Regulatory Liabilities | 213 | 209 | |||||||
Regulatory Liabilities of VIEs | 11 | 10 | |||||||
Asset Retirement Obligations | 653 | 627 | |||||||
Other Postretirement Benefit (OPEB) Costs | 1,274 | 1,285 | |||||||
Accrued Pension Costs | 710 | 876 | |||||||
Environmental Costs | 431 | 537 | |||||||
Derivative Contracts | 163 | 122 | |||||||
Long-Term Accrued Taxes | 183 | 164 | |||||||
Other | 115 | 108 | |||||||
Total Noncurrent Liabilities | 10,560 | 10,480 | |||||||
COMMITMENTS AND CONTINGENT LIABILITIES (See Note 9) | |||||||||
CAPITALIZATION | |||||||||
LONG-TERM DEBT | |||||||||
Long-Term Debt | 7,134 | 6,148 | |||||||
Securitization Debt of VIEs | 326 | 496 | |||||||
Project Level, Non-Recourse Debt | 16 | 43 | |||||||
Total Long-Term Debt | 7,476 | 6,687 | |||||||
STOCKHOLDERS’ EQUITY | |||||||||
Common Stock, no par, authorized 1,000,000,000 shares; issued, 2013 and 2012—533,556,660 shares | 4,852 | 4,833 | |||||||
Treasury Stock, at cost, 2013— 27,695,398 shares; 2012— 27,664,188 shares | (615 | ) | (607 | ) | |||||
Retained Earnings | 7,439 | 6,942 | |||||||
Accumulated Other Comprehensive Loss | (338 | ) | (388 | ) | |||||
Total Common Stockholders’ Equity | 11,338 | 10,780 | |||||||
Noncontrolling Interest | 1 | 1 | |||||||
Total Stockholders’ Equity | 11,339 | 10,781 | |||||||
Total Capitalization | 18,815 | 17,468 | |||||||
TOTAL LIABILITIES AND CAPITALIZATION | $ | 32,610 | $ | 31,725 | |||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||
Net Income | $ | 1,043 | $ | 1,051 | |||||
Adjustments to Reconcile Net Income to Net Cash Flows from Operating Activities: | |||||||||
Depreciation and Amortization | 886 | 797 | |||||||
Amortization of Nuclear Fuel | 145 | 129 | |||||||
Provision for Deferred Income Taxes (Other than Leases) and ITC | 242 | 221 | |||||||
Non-Cash Employee Benefit Plan Costs | 182 | 203 | |||||||
Leveraged Lease Income, Adjusted for Rents Received and Deferred Taxes | (7 | ) | (81 | ) | |||||
Net Realized and Unrealized (Gains) Losses on Energy Contracts and Other Derivatives | 3 | 116 | |||||||
Change in Accrued Storm Costs | (87 | ) | 5 | ||||||
Net Change in Other Regulatory Assets and Liabilities | 134 | (82 | ) | ||||||
Cost of Removal | (66 | ) | (71 | ) | |||||
Net Realized (Gains) Losses and (Income) Expense from NDT Fund | (76 | ) | (107 | ) | |||||
Net Change in Tax Receivable | 2 | 16 | |||||||
Net Change in Certain Current Assets and Liabilities | 173 | 305 | |||||||
Employee Benefit Plan Funding and Related Payments | (210 | ) | (193 | ) | |||||
Other | 71 | 2 | |||||||
Net Cash Provided By (Used In) Operating Activities | 2,435 | 2,311 | |||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||
Additions to Property, Plant and Equipment | (2,102 | ) | (1,969 | ) | |||||
Proceeds from Sale of Capital Leases and Investments | 42 | — | |||||||
Proceeds from Sales of Available-for-Sale Securities | 914 | 1,473 | |||||||
Investments in Available-for-Sale Securities | (922 | ) | (1,497 | ) | |||||
Other | (20 | ) | (58 | ) | |||||
Net Cash Provided By (Used In) Investing Activities | (2,088 | ) | (2,051 | ) | |||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||
Net Change in Commercial Paper and Loans | (263 | ) | — | ||||||
Issuance of Long-Term Debt | 1,500 | 850 | |||||||
Redemption of Long-Term Debt | (750 | ) | (439 | ) | |||||
Redemption of Securitization Debt | (162 | ) | (154 | ) | |||||
Repayment of Non-Recourse Debt | — | (1 | ) | ||||||
Cash Dividends Paid on Common Stock | (546 | ) | (538 | ) | |||||
Other | (57 | ) | (32 | ) | |||||
Net Cash Provided By (Used In) Financing Activities | (278 | ) | (314 | ) | |||||
Net Increase (Decrease) in Cash and Cash Equivalents | 69 | (54 | ) | ||||||
Cash and Cash Equivalents at Beginning of Period | 379 | 834 | |||||||
Cash and Cash Equivalents at End of Period | $ | 448 | $ | 780 | |||||
Supplemental Disclosure of Cash Flow Information: | |||||||||
Income Taxes Paid (Received) | $ | 222 | $ | 109 | |||||
Interest Paid, Net of Amounts Capitalized | $ | 274 | $ | 280 | |||||
Accrued Property, Plant and Equipment Expenditures | $ | 258 | $ | 259 | |||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
OPERATING REVENUES | $ | 1,169 | $ | 1,038 | $ | 3,806 | $ | 3,584 | |||||||||
OPERATING EXPENSES | |||||||||||||||||
Energy Costs | 430 | 456 | 1,786 | 1,725 | |||||||||||||
Operation and Maintenance | 304 | 255 | 866 | 780 | |||||||||||||
Depreciation and Amortization | 66 | 60 | 195 | 175 | |||||||||||||
Total Operating Expenses | 800 | 771 | 2,847 | 2,680 | |||||||||||||
OPERATING INCOME | 369 | 267 | 959 | 904 | |||||||||||||
Other Income | 45 | 104 | 127 | 171 | |||||||||||||
Other Deductions | (11 | ) | (20 | ) | (49 | ) | (52 | ) | |||||||||
Other-Than-Temporary Impairments | (3 | ) | (2 | ) | (7 | ) | (14 | ) | |||||||||
Interest Expense | (26 | ) | (35 | ) | (85 | ) | (97 | ) | |||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 374 | 314 | 945 | 912 | |||||||||||||
Income Tax Expense | (153 | ) | (133 | ) | (383 | ) | (374 | ) | |||||||||
EARNINGS AVAILABLE TO PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED | $ | 221 | $ | 181 | $ | 562 | $ | 538 | |||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
NET INCOME | $ | 221 | $ | 181 | $ | 562 | $ | 538 | |||||||||
Other Comprehensive Income (Loss), net of tax | |||||||||||||||||
Unrealized Gains (Losses) on Available-for-Sale Securities, net of tax (expense) benefit of $(18), $6, $(29) and $(16) for the three and nine months ended 2013 and 2012, respectively | 17 | (11 | ) | 30 | 11 | ||||||||||||
Unrealized Gains (Losses) on Cash Flow Hedges, net of tax (expense) benefit of $1, $8, $4 and $14 for the three and nine months ended 2013 and 2012, respectively | (1 | ) | (11 | ) | (6 | ) | (21 | ) | |||||||||
Pension/OPEB adjustment, net of tax (expense) benefit of $(6), $(4), $(17) and $(14) for the three and nine months ended 2013 and 2012, respectively | 8 | 7 | 25 | 21 | |||||||||||||
Other Comprehensive Income (Loss), net of tax | 24 | (15 | ) | 49 | 11 | ||||||||||||
COMPREHENSIVE INCOME | $ | 245 | $ | 166 | $ | 611 | $ | 549 | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
ASSETS | |||||||||
CURRENT ASSETS | |||||||||
Cash and Cash Equivalents | $ | 9 | $ | 7 | |||||
Accounts Receivable | 211 | 269 | |||||||
Accounts Receivable—Affiliated Companies, net | 34 | 340 | |||||||
Short-Term Loan to Affiliate | 417 | 574 | |||||||
Fuel | 599 | 583 | |||||||
Materials and Supplies, net | 329 | 307 | |||||||
Derivative Contracts | 72 | 118 | |||||||
Prepayments | 16 | 17 | |||||||
Deferred Income Taxes | 3 | — | |||||||
Other | — | 19 | |||||||
Total Current Assets | 1,690 | 2,234 | |||||||
PROPERTY, PLANT AND EQUIPMENT | 10,035 | 9,697 | |||||||
Less: Accumulated Depreciation and Amortization | (2,973 | ) | (2,679 | ) | |||||
Net Property, Plant and Equipment | 7,062 | 7,018 | |||||||
NONCURRENT ASSETS | |||||||||
Nuclear Decommissioning Trust (NDT) Fund | 1,635 | 1,540 | |||||||
Goodwill | 16 | 16 | |||||||
Other Intangibles | 52 | 34 | |||||||
Other Special Funds | 38 | 36 | |||||||
Derivative Contracts | 89 | 49 | |||||||
Other | 139 | 105 | |||||||
Total Noncurrent Assets | 1,969 | 1,780 | |||||||
TOTAL ASSETS | $ | 10,721 | $ | 11,032 | |||||
September 30, 2013 | December 31, 2012 | ||||||||
LIABILITIES AND MEMBER’S EQUITY | |||||||||
CURRENT LIABILITIES | |||||||||
Long-Term Debt Due Within One Year | $ | — | $ | 300 | |||||
Accounts Payable | 404 | 498 | |||||||
Derivative Contracts | 36 | 46 | |||||||
Deferred Income Taxes | — | 16 | |||||||
Accrued Interest | 37 | 26 | |||||||
Other | 109 | 81 | |||||||
Total Current Liabilities | 586 | 967 | |||||||
NONCURRENT LIABILITIES | |||||||||
Deferred Income Taxes and Investment Tax Credits (ITC) | 1,732 | 1,575 | |||||||
Asset Retirement Obligations | 385 | 369 | |||||||
Other Postretirement Benefit (OPEB) Costs | 230 | 221 | |||||||
Derivative Contracts | 23 | 15 | |||||||
Accrued Pension Costs | 225 | 272 | |||||||
Long-Term Accrued Taxes | 50 | 50 | |||||||
Other | 90 | 84 | |||||||
Total Noncurrent Liabilities | 2,735 | 2,586 | |||||||
COMMITMENTS AND CONTINGENT LIABILITIES (See Note 9) | |||||||||
LONG-TERM DEBT | |||||||||
Total Long-Term Debt | 2,041 | 2,040 | |||||||
MEMBER’S EQUITY | |||||||||
Contributed Capital | 2,028 | 2,028 | |||||||
Basis Adjustment | (986 | ) | (986 | ) | |||||
Retained Earnings | 4,596 | 4,725 | |||||||
Accumulated Other Comprehensive Loss | (279 | ) | (328 | ) | |||||
Total Member’s Equity | 5,359 | 5,439 | |||||||
TOTAL LIABILITIES AND MEMBER’S EQUITY | $ | 10,721 | $ | 11,032 | |||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||
Net Income | $ | 562 | $ | 538 | |||||
Adjustments to Reconcile Net Income to Net Cash Flows from Operating Activities: | |||||||||
Depreciation and Amortization | 195 | 175 | |||||||
Amortization of Nuclear Fuel | 145 | 129 | |||||||
Provision for Deferred Income Taxes and ITC | 96 | 189 | |||||||
Net Realized and Unrealized (Gains) Losses on Energy Contracts and Other Derivatives | 3 | 116 | |||||||
Non-Cash Employee Benefit Plan Costs | 50 | 53 | |||||||
Net Realized (Gains) Losses and (Income) Expense from NDT Fund | (76 | ) | (107 | ) | |||||
Net Change in Certain Current Assets and Liabilities: | |||||||||
Fuel, Materials and Supplies | (38 | ) | (10 | ) | |||||
Margin Deposit | 17 | (107 | ) | ||||||
Accounts Receivable | 69 | 50 | |||||||
Accounts Payable | (63 | ) | (31 | ) | |||||
Accounts Receivable/Payable-Affiliated Companies, net | 306 | 193 | |||||||
Accrued Interest Payable | 11 | 17 | |||||||
Other Current Assets and Liabilities | 20 | 2 | |||||||
Employee Benefit Plan Funding and Related Payments | (45 | ) | (40 | ) | |||||
Other | 32 | 5 | |||||||
Net Cash Provided By (Used In) Operating Activities | 1,284 | 1,172 | |||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||
Additions to Property, Plant and Equipment | (419 | ) | (493 | ) | |||||
Proceeds from Sales of Available-for-Sale Securities | 849 | 1,295 | |||||||
Investments in Available-for-Sale Securities | (864 | ) | (1,315 | ) | |||||
Short-Term Loan—Affiliated Company, net | 157 | 17 | |||||||
Other | (13 | ) | (10 | ) | |||||
Net Cash Provided By (Used In) Investing Activities | (290 | ) | (506 | ) | |||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||
Cash Dividend Paid | (690 | ) | (600 | ) | |||||
Redemption of Long-Term Debt | (300 | ) | (66 | ) | |||||
Other | (2 | ) | (7 | ) | |||||
Net Cash Provided By (Used In) Financing Activities | (992 | ) | (673 | ) | |||||
Net Increase (Decrease) in Cash and Cash Equivalents | 2 | (7 | ) | ||||||
Cash and Cash Equivalents at Beginning of Period | 7 | 12 | |||||||
Cash and Cash Equivalents at End of Period | $ | 9 | $ | 5 | |||||
Supplemental Disclosure of Cash Flow Information: | |||||||||
Income Taxes Paid (Received) | $ | 107 | $ | 130 | |||||
Interest Paid, Net of Amounts Capitalized | $ | 72 | $ | 73 | |||||
Accrued Property, Plant and Equipment Expenditures | $ | 58 | $ | 84 | |||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
OPERATING REVENUES | $ | 1,666 | $ | 1,683 | $ | 5,084 | $ | 5,029 | |||||||||
OPERATING EXPENSES | |||||||||||||||||
Energy Costs | 661 | 756 | 2,208 | 2,380 | |||||||||||||
Operation and Maintenance | 408 | 366 | 1,204 | 1,092 | |||||||||||||
Depreciation and Amortization | 236 | 216 | 658 | 594 | |||||||||||||
Taxes Other Than Income Taxes | 15 | 24 | 50 | 73 | |||||||||||||
Total Operating Expenses | 1,320 | 1,362 | 4,120 | 4,139 | |||||||||||||
OPERATING INCOME | 346 | 321 | 964 | 890 | |||||||||||||
Other Income | 13 | 16 | 41 | 39 | |||||||||||||
Other Deductions | (1 | ) | (6 | ) | (3 | ) | (8 | ) | |||||||||
Interest Expense | (75 | ) | (73 | ) | (223 | ) | (220 | ) | |||||||||
INCOME BEFORE INCOME TAXES | 283 | 258 | 779 | 701 | |||||||||||||
Income Tax Expense | (115 | ) | (103 | ) | (311 | ) | (248 | ) | |||||||||
EARNINGS AVAILABLE TO PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED | $ | 168 | $ | 155 | $ | 468 | $ | 453 | |||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
NET INCOME | $ | 168 | $ | 155 | $ | 468 | $ | 453 | |||||||||
Unrealized Gains (Losses) on Available-for-Sale Securities, net of tax (expense) benefit of $0, $(1), $1 and $0 for the three and nine months ended 2013 and 2012, respectively | — | 1 | (1 | ) | — | ||||||||||||
COMPREHENSIVE INCOME | $ | 168 | $ | 156 | $ | 467 | $ | 453 | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
ASSETS | |||||||||
CURRENT ASSETS | |||||||||
Cash and Cash Equivalents | $ | 253 | $ | 116 | |||||
Accounts Receivable, net of allowances of $57 and $56 in 2013 and 2012, respectively | 839 | 783 | |||||||
Accounts Receivable-Affiliated Companies, net | 94 | — | |||||||
Unbilled Revenues | 211 | 314 | |||||||
Materials and Supplies | 118 | 114 | |||||||
Prepayments | 138 | 29 | |||||||
Regulatory Assets | 348 | 349 | |||||||
Derivative Contracts | 19 | 5 | |||||||
Deferred Income Taxes | 31 | 49 | |||||||
Other | 24 | 24 | |||||||
Total Current Assets | 2,075 | 1,783 | |||||||
PROPERTY, PLANT AND EQUIPMENT | 18,503 | 17,006 | |||||||
Less: Accumulated Depreciation and Amortization | (4,916 | ) | (4,726 | ) | |||||
Net Property, Plant and Equipment | 13,587 | 12,280 | |||||||
NONCURRENT ASSETS | |||||||||
Regulatory Assets | 3,519 | 3,830 | |||||||
Regulatory Assets of VIEs | 532 | 713 | |||||||
Long-Term Investments | 356 | 348 | |||||||
Other Special Funds | 41 | 61 | |||||||
Derivative Contracts | 69 | 62 | |||||||
Restricted Cash of VIEs | 23 | 23 | |||||||
Other | 128 | 123 | |||||||
Total Noncurrent Assets | 4,668 | 5,160 | |||||||
TOTAL ASSETS | $ | 20,330 | $ | 19,223 | |||||
September 30, 2013 | December 31, 2012 | ||||||||
LIABILITIES AND CAPITALIZATION | |||||||||
CURRENT LIABILITIES | |||||||||
Long-Term Debt Due Within One Year | $ | 775 | $ | 725 | |||||
Securitization Debt of VIEs Due Within One Year | 235 | 226 | |||||||
Commercial Paper and Loans | — | 263 | |||||||
Accounts Payable | 473 | 630 | |||||||
Accounts Payable—Affiliated Companies, net | — | 73 | |||||||
Accrued Interest | 77 | 65 | |||||||
Clean Energy Program | 185 | 153 | |||||||
Deferred Income Taxes | 55 | 60 | |||||||
Obligation to Return Cash Collateral | 118 | 122 | |||||||
Regulatory Liabilities | 171 | 67 | |||||||
Other | 306 | 269 | |||||||
Total Current Liabilities | 2,395 | 2,653 | |||||||
NONCURRENT LIABILITIES | |||||||||
Deferred Income Taxes and ITC | 4,354 | 4,223 | |||||||
Other Postretirement Benefit (OPEB) Costs | 989 | 1,011 | |||||||
Accrued Pension Costs | 360 | 463 | |||||||
Regulatory Liabilities | 213 | 209 | |||||||
Regulatory Liabilities of VIEs | 11 | 10 | |||||||
Environmental Costs | 380 | 486 | |||||||
Asset Retirement Obligations | 260 | 250 | |||||||
Derivative Contracts | 140 | 107 | |||||||
Long-Term Accrued Taxes | 48 | 32 | |||||||
Other | 46 | 38 | |||||||
Total Noncurrent Liabilities | 6,801 | 6,829 | |||||||
COMMITMENTS AND CONTINGENT LIABILITIES (See Note 9) | |||||||||
CAPITALIZATION | |||||||||
LONG-TERM DEBT | |||||||||
Long-Term Debt | 5,066 | 4,070 | |||||||
Securitization Debt of VIEs | 326 | 496 | |||||||
Total Long-Term Debt | 5,392 | 4,566 | |||||||
STOCKHOLDER’S EQUITY | |||||||||
Common Stock; 150,000,000 shares authorized; issued and outstanding, 2013 and 2012—132,450,344 shares | 892 | 892 | |||||||
Contributed Capital | 520 | 420 | |||||||
Basis Adjustment | 986 | 986 | |||||||
Retained Earnings | 3,343 | 2,875 | |||||||
Accumulated Other Comprehensive Income | 1 | 2 | |||||||
Total Stockholder’s Equity | 5,742 | 5,175 | |||||||
Total Capitalization | 11,134 | 9,741 | |||||||
TOTAL LIABILITIES AND CAPITALIZATION | $ | 20,330 | $ | 19,223 | |||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||
Net Income | $ | 468 | $ | 453 | |||||
Adjustments to Reconcile Net Income to Net Cash Flows from Operating Activities: | |||||||||
Depreciation and Amortization | 658 | 594 | |||||||
Provision for Deferred Income Taxes and ITC | 153 | 131 | |||||||
Non-Cash Employee Benefit Plan Costs | 117 | 134 | |||||||
Cost of Removal | (66 | ) | (71 | ) | |||||
Change in Accrued Storm Costs | (87 | ) | 5 | ||||||
Net Change in Other Regulatory Assets and Liabilities | 134 | (82 | ) | ||||||
Net Change in Certain Current Assets and Liabilities: | |||||||||
Accounts Receivable and Unbilled Revenues | 48 | 97 | |||||||
Materials and Supplies | (4 | ) | (11 | ) | |||||
Prepayments | (109 | ) | (28 | ) | |||||
Net Change in Tax Receivable | — | 16 | |||||||
Accounts Payable | 3 | (20 | ) | ||||||
Accounts Receivable/Payable-Affiliated Companies, net | (171 | ) | (41 | ) | |||||
Other Current Assets and Liabilities | 29 | 22 | |||||||
Employee Benefit Plan Funding and Related Payments | (147 | ) | (137 | ) | |||||
Other | 23 | (21 | ) | ||||||
Net Cash Provided By (Used In) Operating Activities | 1,049 | 1,041 | |||||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||||
Additions to Property, Plant and Equipment | (1,628 | ) | (1,369 | ) | |||||
Proceeds from Sales of Available-for-Sale Securities | 35 | 73 | |||||||
Investments in Available-for-Sale Securities | (16 | ) | (73 | ) | |||||
Solar Loan Investments | (11 | ) | (56 | ) | |||||
Restricted Funds | — | 1 | |||||||
Net Cash Provided By (Used In) Investing Activities | (1,620 | ) | (1,424 | ) | |||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||
Net Change in Short-Term Debt | (263 | ) | — | ||||||
Issuance of Long-Term Debt | 1,500 | 850 | |||||||
Redemption of Long-Term Debt | (450 | ) | (373 | ) | |||||
Redemption of Securitization Debt | (162 | ) | (154 | ) | |||||
Contributed Capital | 100 | — | |||||||
Other | (17 | ) | (12 | ) | |||||
Net Cash Provided By (Used In) Financing Activities | 708 | 311 | |||||||
Net Increase (Decrease) In Cash and Cash Equivalents | 137 | (72 | ) | ||||||
Cash and Cash Equivalents at Beginning of Period | 116 | 143 | |||||||
Cash and Cash Equivalents at End of Period | $ | 253 | $ | 71 | |||||
Supplemental Disclosure of Cash Flow Information: | |||||||||