Duke Energy 2012 Annual Report Download - page 147

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PART II
Combined Notes to Consolidated Financial Statements – (Continued)
DUKE ENERGY CORPORATION • DUKE ENERGY CAROLINAS, LLC • PROGRESS ENERGY, INC. • CAROLINA POWER & LIGHT COMPANY d/b/a PROGRESS ENERGY
CAROLINAS, INC. • FLORIDA POWER CORPORATION d/b/a PROGRESS ENERY FLORIDA, INC. • DUKE ENERGY OHIO, INC. • DUKE ENERGY INDIANA, INC.
Year Ended December 31, 2010
(in millions)
Franchised
Electric
Total Reportable
Segment Other Eliminations Total
Unaffi liated revenues $10,207 $10,207 $ 16 $ — $10,223
Affi liated revenues 2 2 — (2) —
Total revenues $10,209 $10,209 $ 16 $ (2) $10,223
Interest expense $ 444 $ 444 $ 332 $(29) $ 747
Depreciation and amortization 905 905 15 — 920
Income tax expense (benefi t) 627 627 (88) — 539
Segment income 1,045 1,045 (185) — 860
Add back noncontrolling interest component 7
Income from discontinued operations, net of tax (4)
Net income 863
Capital investment expenditures and acquisitions 2,437 2,437 32 (24) 2,445
Segment assets 32,475 32,475 450 (39) 32,886
Duke Energy Ohio
Duke Energy Ohio has two reportable operating segments, Franchised
Electric and Gas and Commercial Power.
Franchised Electric and Gas transmits and distributes electricity in
southwestern Ohio and generates, transmits, distributes and sells electricity
in northern Kentucky. Franchised Electric and Gas also transports and sells
natural gas in southwestern Ohio and northern Kentucky. It conducts operations
primarily through Duke Energy Ohio and its wholly owned subsidiary, Duke
Energy Kentucky.
Commercial Power owns, operates and manages power plants and
engages in the wholesale marketing and procurement of electric power, fuel
and emission allowances related to these plants, as well as other contractual
positions. Duke Energy Ohio’s Commercial Power reportable operating segment
does not include the operations of DEGS or Duke Energy Retail, which are
included in the Commercial Power reportable operating segment at Duke Energy.
The remainder of Duke Energy Ohio’s operations is presented as Other.
While it is not considered an operating segment, Other primarily includes
certain governance costs allocated by its parent, Duke Energy. See Note 14
for additional information. All of Duke Energy Ohio’s revenues are generated
domestically and its long-lived assets are all in the U.S.
Business Segment Data
Year Ended December 31, 2012
(in millions)
Franchised
Electric
and Gas
Commercial
Power
Total Reportable
Segments Other Eliminations
Consolidated
Total
Unaffi liated revenues(a) $1,745 $1,407 $ 3,152 $ —$ — $ 3,152
Intersegment revenues 1 51 52 — (52) —
Total revenues $1,746 $1,458 $ 3,204 $ — $ (52) $ 3,152
Interest expense $ 61 $ 28 $ 89 $ — $ — $ 89
Depreciation and amortization 179 159 338 — — 338
Income tax expense (benefi t) 91 25 116 (18) — 98
Segment income 159 50 209 (34) — 175
Net income 175
Capital expenditures 427 87 514 — — 514
Segment assets 6,434 4,175 10,609 117 (166) 10,560
(a) Duke Energy Ohio earned approximately 36% of its consolidated operating revenues from PJM Settlements, Inc. in 2012, all of which is included in the Commercial Power segment. These revenues relate to the sale of capacity
and electricity from Commercial Power’s non regulated generation assets.