ComEd 2013 Annual Report Download - page 208

Thefollowingtable providesa rollforwardofthe non-nuclear AROs reflectedon Exelon’s ConsolidatedBalanceSheetsfrom
January1,2012 to December 31,2013:
Non-nuclear AROs at January1,2012 ........................................................................ $209
Net increasedue to changesin,andtimingof, estimatedfuture cash flows (a)........................................ 27
Development projects ...................................................................................... 47
Accretion expense(b) ....................................................................................... 13
Merger withConstellation (c) ................................................................................. 58
Payments ................................................................................................ (11)
Non-nuclear AROs at December 31,2012 ..................................................................... 343
Net increasedue to changesin,andtimingof, estimatedfuture cash flows (a)........................................ 1
Development projects ...................................................................................... 2
Accretion expense(b) ....................................................................................... 18
Payments ................................................................................................ (13)
Non-nuclear AROs at December 31,2013 (d) ................................................................... $351
(a)Duringtheyear endedDecember 31,2013,Generation recordedan increasein operatingandmaintenanceexpenseof$13 million.ComEd and PECO did not record
anyadjustmentsin operatingandmaintenanceexpensefor theyear endedDecember 31,2013.Duringtheyear endedDecember 31,2012,Generation recordeda
reduction in operatingandmaintenanceexpenseof$8million.ComEd, PECO, and BGE did not recordanyreductionsin operatingandmaintenanceexpensefor the
year endedDecember 31,2012.
(b) For ComEd, PECO, and BGE, themajorityoftheaccretion is recordedasan increasetoaregulatoryasset due to theassociatedregulatorytreatment.
(c) Exelon’s AROincludes$8million of BGE costsincurredprior to theclosingofExelon’s merger withConstellation.Refer to Note 4—Merger andAcquisitionsfor
additional information.
(d) Includes$2million,$1million,and$0million asthecurrent portion oftheAROat December 31,2013 for ComEd, PECO, and BGE, respectively, which is includedin
other current liabilitieson Exelon’s andeach oftherespectiveutilities’ ConsolidatedBalanceSheets.
16. Retirement Benefits
AsofDecember 31,2013,Exelon sponsoreddefinedbenefit pension plansandother postretirement benefit plansfor essentiallyall
Generation,ComEd, PECO, BGE and BSC employees. Inconnection withtheacquisition ofConstellation inMarch 2012,Exelon
assumedConstellation’s benefit plansanditsrelatedassets. Exelon’s traditional andcash balance pension plansare intendedto be
tax-qualifieddefinedbenefit plans. Substantiallyall non-union employeesandelectingunion employeeshiredon or after January1,
2001 participate incash balance pension plans. EffectiveJanuary1,2009, substantiallyall newly-hiredunion-represented
employeesparticipate incash balance pension plans. Exelon haselectedthat the trustsunderlyingthese plansbe treatedunder the
IRCasqualifiedtrusts. If certainconditionsare met,Exelon can deductpaymentsmadetothequalifiedtrusts, subjecttocertainIRC
limitations.
Benefit Obligations, Plan Assets and Funded Status
Exelon recognizestheoverfundedor underfundedstatusofdefinedbenefit pension andother postretirement benefit plansasan
asset or liabilityon itsbalancesheet,withoffsettingentriesto AccumulatedOther ComprehensiveIncome(AOCI) andregulatory
assets(liabilities), inaccordancewiththe applicable authoritativeguidance.Themeasurement date for the plansisDecember 31.
Duringthefirstquarter of2013,Exelon receivedan updatedvaluation ofitslegacy pension andother postretirement benefit
obligationsto reflectactual censusdata asofJanuary1,2013. This valuation resultedinanincreasetothe pension obligation of$8
million andadecreasetotheother postretirement benefitobligation of$39million.Additionally, accumulatedother comprehensive
loss decreasedbyapproximately $75 million (after tax) andregulatoryassetsincreasedbyapproximately$93million.Duringthe
secondquarter of2013,Exelon receivedtheupdatedvaluation for thelegacy Constellation pension andother postretirement
obligationsto reflectactual censusdata asofJanuary1,2013. This valuation resultedinanincreasetothe pension obligation of$23
million andadecreasetotheother postretirement benefitobligation of$12 million.Additionally, accumulatedother comprehensive
loss increasedbyapproximately$2million (after tax) andregulatoryassetsincreasedbyapproximately$14million.
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