CenterPoint Energy (CNP) 10-Q 5 May 10 2010 Q1 Quarterly report Financial data

CONDENSED STATEMENTS OF CONSOLI

CONDENSED STATEMENTS OF CONSOLIDATED INCOME (Unaudited) (USD $)
In Millions, except Per Share data	3 Months Ended Mar. 31, 2010	3 Months Ended Mar. 31, 2009
Income Statement [Abstract]
Revenues	$3,023	$2,766
Expenses:
Natural gas	1,935	1,789
Operation and maintenance	414	413
Depreciation and amortization	200	166
Taxes other than income taxes	117	113
Total	2,666	2,481
Operating Income	357	285
Other Income (Expense):
Gain (loss) on marketable securities	38	(34)
Gain (loss) on indexed debt securities	(27)	22
Interest and other finance charges	(122)	(129)
Interest on transition and system restoration bonds	(36)	(33)
Equity in earnings of unconsolidated affiliates	5	0
Other, net	1	4
Total	(141)	(170)
Income Before Income Taxes	216	115
Income tax expense	(102)	(48)
Net Income	$114	$67
Basic Earnings Per Share	0.29	0.19
Diluted Earnings Per Share	0.29	0.19
Dividends Declared per Share	0.195	0.19
Weighted Average Shares Outstanding, Basic	393	347
Weighted Average Shares Outstanding, Diluted	395	349

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $)
In Millions	3 Months Ended Mar. 31, 2010	Dec. 31, 2009
Current Assets:
Cash and cash equivalents	$329	$740
Investment in marketable securities	338	300
Accounts receivable, net	933	790
Accrued unbilled revenues	296	485
Natural gas inventory	32	189
Materials and supplies	134	138
Non-trading derivative assets	60	39
Prepaid expenses and other current assets	262	223
Total current assets	2,384	2,904
Property, Plant and Equipment:
Property, plant and equipment	15,001	14,770
Less accumulated depreciation and amortization	4,073	3,982
Property, Plant and Equipment, net	10,928	10,788
Other Assets:
Goodwill	1,696	1,696
Regulatory assets	3,619	3,677
Non-trading derivative assets	18	15
Investment in unconsolidated affiliates	478	463
Other	228	230
Total other assets	6,039	6,081
Total Assets	19,351	19,773
Current Liabilities:
Short-term borrowings	2	55
Current portion of transition and system restoration bonds long-term debt	274	241
Current portion of indexed debt	122	121
Current portion of other long-term debt	776	541
Indexed debt securities derivative	228	201
Accounts payable	522	648
Taxes accrued	226	148
Interest accrued	148	181
Non-trading derivative liabilities	53	51
Accumulated deferred income taxes, net	354	406
Other	497	445
Total current liabilities	3,202	3,038
Other Liabilities:
Accumulated deferred income taxes, net	2,799	2,776
Unamortized investment tax credits	15	16
Non-trading derivative liabilities	32	42
Benefit obligations	863	861
Regulatory liabilities	946	921
Other	375	361
Total other liabilities	5,030	4,977
Long-term Debt:
Transition and system restoration bonds	2,665	2,805
Other	5,745	6,314
Total long-term debt	8,410	9,119
Commitments and Contingencies (Note 11)
Shareholders' Equity
Common stock (391,746,779 shares and 394,186,137 shares outstanding at December 31, 2009 and March 31, 2010, respectively)	4	4
Additional paid-in capital	3,701	3,671
Accumulated deficit	(875)	(912)
Accumulated other comprehensive loss	(121)	(124)
Shareholders' Equity	2,709	2,639
Total Liabilities and Shareholders' Equity	$19,351	$19,773

PARENTHETICAL DATA TO THE CONDE

PARENTHETICAL DATA TO THE CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
	Mar. 31, 2010	Dec. 31, 2009
Statement of Financial Position [Abstract]
Common Stock, Shares, Outstanding	394,186,137	391,746,779

1_CONDENSED STATEMENTS OF CONSO

CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS (Unaudited) (USD $)
In Millions	3 Months Ended Mar. 31, 2010	3 Months Ended Mar. 31, 2009
Cash Flows from Operating Activities:
Net Income	$114	$67
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	200	166
Amortization of deferred financing costs	7	10
Deferred income taxes	(34)	30
Unrealized loss (gain) on marketable securities	(38)	34
Unrealized loss (gain) on indexed debt securities	27	(22)
Write-down of natural gas inventory	0	6
Equity in earnings of unconsolidated affiliates, net of distributions	5	0
Changes in other assets and liabilities:
Accounts receivable and unbilled revenues, net	(2)	308
Inventory	161	416
Accounts payable	(125)	(425)
Fuel cost over (under) recovery	126	(30)
Non-trading derivatives, net	(6)	8
Margin deposits, net	(67)	(62)
Interest and taxes accrued	44	(94)
Net regulatory assets and liabilities	19	21
Other current assets	10	43
Other current liabilities	(16)	(64)
Other assets	(5)	(4)
Other liabilities	13	24
Other, net	2	1
Net cash provided by operating activities	435	433
Cash Flows from Investing Activities:
Capital expenditures	(258)	(260)
Decrease in restricted cash of transition and system restoration bonds companies	1	1
Investment in unconsolidated affiliates	(20)	2
Other, net	(26)	(4)
Net cash used in investing activities	(303)	(261)
Cash Flows from Financing Activities:
Increase (decrease) in short-term borrowings, net	(53)	62
Revolving credit facilities, net	0	(706)
Proceeds from commercial paper, net	0	19
Proceeds from long-term debt	0	500
Payments of long-term debt	(441)	(110)
Debt issuance costs	(2)	(4)
Payment of common stock dividends	(77)	(66)
Proceeds from issuance of common stock, net	29	30
Other, net	1	1
Net cash used in financing activities	(543)	(274)
Net Decrease in Cash and Cash Equivalents	(411)	(102)
Cash and Cash Equivalents at Beginning of Period	740	167
Cash and Cash Equivalents at End of Period	329	65
Cash Payments:
Interest, net of capitalized interest	191	182
Income taxes (refunds), net	(8)	26
Non-cash transactions:
Accounts payable related to capital expenditures	$83	$67

Background and Basis of Present

Background and Basis of Presentation
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Background	(1) Background and Basis of Presentation General. Included in this Quarterly Report on Form 10-Q (Form 10-Q) of CenterPoint Energy, Inc. are the condensed consolidated interim financial statements and notes (Interim Condensed Financial Statements) of CenterPoint Energy, Inc. and its subsidiaries (collectively, CenterPoint Energy). The Interim Condensed Financial Statements are unaudited, omit certain financial statement disclosures and should be read with the Annual Report on Form10-K of CenterPoint Energy for the year ended December31, 2009 (CenterPoint Energy Form 10-K). Background. CenterPoint Energy, Inc. is a public utility holding company. CenterPoint Energy's operating subsidiaries own and operate electric transmission and distribution facilities, natural gas distribution facilities, interstate pipelines and natural gas gathering, processing and treating facilities. As of March 31, 2010, CenterPoint Energy's indirect wholly owned subsidiaries included: . CenterPoint Energy Houston Electric, LLC (CenterPoint Houston), which engages in the electric transmission and distribution business in a 5,000-square mile area of the Texas Gulf Coast that includes the city of Houston; and . CenterPoint Energy Resources Corp. (CERC Corp. and, together with its subsidiaries, CERC), which owns and operates natural gas distribution systems in six states. Subsidiaries of CERC Corp. own interstate natural gas pipelines and gas gathering systems and provide various ancillary services. A wholly owned subsidiary of CERC Corp. offers variable and fixed-price physical natural gas supplies primarily to commercial and industrial customers and electric and gas utilities. Basis of Presentation. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. CenterPoint Energy's Interim Condensed Financial Statements reflect all normal recurring adjustments that are, in the opinion of management, necessary to present fairly the financial position, results of operations and cash flows for the respective periods. Amounts reported in CenterPoint Energy's Condensed Statements of Consolidated Income are not necessarily indicative of amounts expected for a full-year period due to the effects of, among other things, (a)seasonal fluctuations in demand for energy and energy services, (b) changes in energy commodity prices, (c) timing of maintenance and other expenditures and (d) acquisitions and dispositions of businesses, assets and other interests. For a description of CenterPoint Energy's reportable business segments, reference is made to Note 15.

New Accounting Pronouncements

New Accounting Pronouncements
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
New Accounting Pronouncements	(2) New Accounting Pronouncements In June 2009, the Financial Accounting Standards Board (FASB) issued new accounting guidance on consolidation of variable interest entities (VIEs) that changes how a reporting entity determines a primary beneficiary that would consolidate the VIE from a quantitative risk and rewards approach to a qualitative approach based on which variable interest holder has the power to direct the economic performance related activities of the VIE as well as the obligation to absorb losses or right to receive benefits that could potentially be significant to the VIE. This new guidance requires the primary beneficiary assessment to be performed on an ongoing basis and also requires enhanced disclosures that will provide more transparency about a company's involvement in a VIE. This new guidance is effective for a reporting entity's first annual reporting period that begins after November 15, 2009.CenterPoint Energy's adoption of this new guidance did not have a material impact on its financial position, results of operations or cash flows. In January 2010, the FASB issued new accounting guidance to require additional fair value related disclosures including transfers into and out of Levels 1 and 2 and separate disclosures about purchases, sales, issuances, and settlements relating to Level 3 measurements. It also clarifies existing fair value disclosure guidance about the level of disaggregation and about inputs and valuation techniques. This new guidance is effective for the first reporting period beginning after December 15, 2009 except for the requirement to separately disclose purchases, sales, issuances and settlements relating to Level 3 measurements, which is effective for the first reporting period beginning after December 15, 2010. CenterPoint Energy's adoption of this new guidance did not have a material impact on its financial position, results of operations or cash flows. CenterPoint Energy expects that the adoption of the Level 3 related gross disclosure requirement, which is effective in 2011, will not have a material impact on the financial position, results of operations or cash flows. Management believes the impact of other recently issued standards, which are not yet effective, will not have a material impact on CenterPoint Energy's consolidated financial position, results of operations or cash flows upon adoption.

Employee Benefit Plans

Employee Benefit Plans
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Employee Benefit Plans	(3) Employee Benefit Plans CenterPoint Energy's net periodic cost includes the following components relating to pension and postretirement benefits: Three Months Ended March 31, 2009 2010 Pension Benefits Postretirement Benefits Pension Benefits (1) Postretirement Benefits (in millions) Service cost $ 6 $ - $ 8 $ - Interest cost 28 7 25 6 Expected return on plan assets (24 ) (2 ) (27 ) (2 ) Amortization of prior service credit 1 1 1 1 Amortization of net loss 17 - 15 - Amortization of transition obligation - 2 - 2 Net periodic cost $ 28 $ 8 $ 22 $ 7 (1) Net periodic cost in these tables is before considering amounts subject to overhead allocations for capital expenditure projects or for amounts subject to deferral for regulatory purposes.CenterPoint Houston's actuarially determined pension expense for 2010 in excess of the 2007 base year amount is being deferred for rate making purposes until its next general rate case pursuant to Texas law.CenterPoint Houston deferred as a regulatory asset $4million and $6million, respectively, in pension expense during the three months ended March31, 2009 and 2010. CenterPoint Energy expects to contribute approximately $9million to its pension plans in 2010, of which $2million was contributed during the three months ended March 31, 2010. CenterPoint Energy expects to contribute approximately $19million to its postretirement benefits plan in 2010, of which $6million was contributed during the three months ended March 31, 2010.

Regulatory Matters

Regulatory Matters
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Regulatory Matters	(4) Regulatory Matters (a) Recovery of True-Up Balance In March 2004, CenterPoint Houston filed its true-up application with the Public Utility Commission of Texas (Texas Utility Commission), requesting recovery of $3.7billion, excluding interest, as allowed under the Texas Electric Choice Plan (Texas electric restructuring law). In December 2004, the Texas Utility Commission issued its final order (True-Up Order) allowing CenterPoint Houston to recover a true-up balance of approximately $2.3billion, which included interest through August31, 2004, and provided for adjustment of the amount to be recovered to include interest on the balance until recovery, along with the principal portion of additional excess mitigation credits (EMCs) returned to customers after August31, 2004 and certain other adjustments. CenterPoint Houston and other parties filed appeals of the True-Up Order to a district court in Travis County, Texas. In August 2005, that court issued its judgment on the various appeals. In its judgment, the district court: . reversed the Texas Utility Commission's ruling that had denied recovery of a portion of the capacity auction true-up amounts; . reversed the Texas Utility Commission's ruling that precluded CenterPoint Houston from recovering the interest component of the EMCs paid to retail electric providers (REPs); and . affirmed the True-Up Order in all other respects. The district court's decision would have had the effect of restoring approximately $650million, plus interest, of the $1.7billion the Texas Utility Commission had disallowed from CenterPoint Houston's initial request. CenterPoint Houston and other parties appealed the district court's judgment to the Texas ThirdCourt of Appeals, which issued its decision in December 2007. In its decision, the court of appeals: . reversed the district court's judgment to the extent it restored the capacity auction true-up amounts; . reversed the district court's judgment to the extent it upheld the Texas Utility Commission's decision to allow CenterPoint Houston to recover EMCs paid to RRI Energy, Inc. (RRI) (formerly known as Reliant Energy, Inc. and Reliant Resources, Inc.); . ordered that the tax normalization issue described below be remanded to the Texas Utility Commission as requested by the Texas Utility Commission; and . affirmed the district court's judgment in all other respects. In April 2008, the court of appeals denied all motions for rehearing and reissued substantially the same opinion as it had rendered in December 2007. In June 2008, CenterPoint Houston petitioned the Texas Supreme Court for review of the court of appeals decision. In its petition, CenterPoint Houston seeks reversal of the parts of the court of appeals decision that (i) denied recovery of EMCs paid to RRI, (ii) denied recovery of the capacity auction true-up amounts allowed by the district court, (iii) affirmed the Texas Utility Commission's rulings that denied recovery of approximately $378million related to depreciation and (iv) affirmed the Texas Utility Commission's refusal to permit CenterPoint Houston to utilize the partial stock valuation m

Derivative Instruments

Derivative Instruments
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Derivative Instruments	(5) Derivative Instruments CenterPoint Energy is exposed to various market risks. These risks arise from transactions entered into in the normal course of business.CenterPoint Energy utilizes derivative instruments such as physical forward contracts, swaps and options to mitigate the impact of changes in commodity prices and weather on its operating results and cash flows. Such derivatives are recognized in CenterPoint Energy's Condensed Consolidated Balance Sheets at their fair value unless CenterPoint Energy elects the normal purchase and sales exemption for qualified physical transactions. A derivative may be designated as a normal purchase or sale if the intent is to physically receive or deliver the product for use or sale in the normal course of business. CenterPoint Energy has a Risk Oversight Committee composed of corporate and business segment officers that oversees all commodity price, weather and credit risk activities, including CenterPoint Energy's marketing, risk management services and hedging activities. The committee's duties are to establish CenterPoint Energy's commodity risk policies, allocate board-approved commercial risk limits, approve use of new products and commodities, monitor positions and ensure compliance with CenterPoint Energy's risk management policies and procedures and limits established by CenterPoint Energy's board of directors. CenterPoint Energy's policies prohibit the use of leveraged financial instruments. A leveraged financial instrument, for this purpose, is a transaction involving a derivative whose financial impact will be based on an amount other than the notional amount or volume of the instrument. (a) Non-Trading Activities Derivative Instruments. CenterPoint Energy enters into certain derivative instruments to manage physical commodity price risks but does not engage in proprietary or speculative commodity trading.CenterPoint Energy has not elected to designate these instruments as cash flow or fair value hedges. During the three months ended March 31, 2009, CenterPoint Energy recorded increased natural gas revenues from unrealized net gains of $3million and increased natural gas expense from unrealized net losses of $22million, resulting in a net unrealized loss of $19million.During the three months ended March 31, 2010, CenterPoint Energy recorded increased natural gas revenues from unrealized net gains of $30million and increased natural gas expense from unrealized net losses of $27million, resulting in a net unrealized gain of $3million. Weather Hedges. CenterPoint Energy has weather normalization or other rate mechanisms that mitigate the impact of weather on its gas operations in Arkansas, Louisiana, Oklahoma and a portion of Texas. The remaining Gas Operations jurisdictions do not have such mechanisms. As a result, fluctuations from normal weather may have a significant positive or negative effect on the results of the gas operations in the remaining jurisdictions and in CenterPoint Houston's service territory. In 2008 and 2009, CenterPoint Energy entered into heating-degree day swaps to mitigate the effect of fluctuations from normal weather on its financia

Fair Value Measurements

Fair Value Measurements
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Fair Value Measurements	(6) Fair Value Measurements Assets and liabilities are recorded at fair value in the Condensed Consolidated Balance Sheets and are categorized based upon the level of judgment associated with the inputs used to measure their value. Hierarchical levels, as defined in this guidance and directly related to the amount of subjectivity associated with the inputs to fair valuations of these assets and liabilities, are as follows: Level 1: Inputs are unadjusted quoted prices in active markets for identical assets or liabilities at the measurement date.The types of assets carried at Level 1 fair value generally are financial derivatives, investments and equity securities listed in active markets. Level 2: Inputs, other than quoted prices included in Level 1, are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability.Fair value assets and liabilities that are generally included in this category are derivatives with fair values based on inputs from actively quoted markets. A market approach is utilized to value CenterPoint Energy's Level 2 assets or liabilities. Level 3: Inputs are unobservable for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. Unobservable inputs reflect CenterPoint Energy's judgments about the assumptions market participants would use in pricing the asset or liability since limited market data exists. CenterPoint Energy develops these inputs based on the best information available, including CenterPoint Energy's own data. A market approach is utilized to value CenterPoint Energy's Level 3 assets or liabilities.CenterPoint Energy's Level 3 derivative instruments primarily consist of options that are not traded on recognized exchanges and are valued using option pricing models. CenterPoint Energy determines the appropriate level for each financial asset and liability on a quarterly basis and recognizes any transfers at the end of the reporting period.For the quarter ended March 31, 2010, there were no significant transfers between levels. The following tables present information about CenterPoint Energy's assets and liabilities (including derivatives that are presented net) measured at fair value on a recurring basis as of December 31, 2009 and March 31, 2010, and indicate the fair value hierarchy of the valuation techniques utilized by CenterPoint Energy to determine such fair value. Quoted Prices in Active Markets forIdentical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Netting Adjustments (1) Balance as of December31,

Goodwill

Goodwill
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Goodwill	(7) Goodwill Goodwill by reportable business segment as of both December31, 2009 and March 31, 2010 is as follows (in millions): Natural Gas Distribution $ 746 Interstate Pipelines 579 Competitive Natural Gas Sales and Services 335 Field Services 25 Other Operations 11 Total $ 1,696

Comprehensive Income

Comprehensive Income
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Comprehensive Income	(8) Comprehensive Income The following table summarizes the components of total comprehensive income (net of tax): For the Three Months Ended March 31, 2009 2010 (in millions) Net income $ 67 $ 114 Other comprehensive income: Adjustment related to pension and other postretirement plans (net of tax of $1 and $1) 2 3 Total 2 3 Comprehensive income $ 69 $ 117 The following table summarizes the components of accumulated other comprehensive loss: December31, 2009 March 31, 2010 (in millions) Adjustment related to pension and postretirement plans $ (120 ) $ (117 ) Net deferred loss from cash flow hedges (4 ) (4 ) Total accumulated other comprehensive loss $ (124 ) $ (121 )

Capital Stock

Capital Stock
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Capital Stock	(9) Capital Stock CenterPoint Energy has 1,020,000,000 authorized shares of capital stock, comprised of 1,000,000,000shares of $0.01 par value common stock and 20,000,000shares of $0.01 par value preferred stock. At December31, 2009, 391,746,945shares of CenterPoint Energy common stock were issued and 391,746,779shares were outstanding. At March 31, 2010, 394,186,303shares of CenterPoint Energy common stock were issued and 394,186,137 shares were outstanding. Outstanding common shares exclude 166 treasury shares at both December31, 2009 and March 31, 2010.

Short-term Borrowings and Long-

Short-term Borrowings and Long-term Debt
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Short-term Borrowings and Long-term Debt	(10) Short-term Borrowings and Long-term Debt (a) Short-term Borrowings Receivables Facility.On October 9, 2009, CERC amended its receivables facility to extend the termination date to October 8, 2010.Availability under CERC's 364-day receivables facility now ranges from $150million to $375million, reflecting seasonal changes in receivables balances.As of December31, 2009 and March 31, 2010, the facility size was $150million and $375million, respectively. As of both December31, 2009 and March 31, 2010, there were no advances under the receivables facility. Inventory Financing.In October 2009, Gas Operations entered into asset management agreements associated with its utility distribution service in Arkansas, north Louisiana and Oklahoma. Pursuant to the provisions of the agreements, Gas Operations sold $104million of its natural gas in storage and agreed to repurchase an equivalent amount of natural gas during the 2009-2010 winter heating season at the same cost, plus a financing charge. This transaction was accounted for as a financing and a principal obligation of $55million and $2million remained as of December 31, 2009 and March 31, 2010, respectively. Also in October 2009, Gas Operations entered into asset management agreements associated with its utility distribution service in south Louisiana, Mississippi and Texas. In connection with these asset management agreements, Gas Operations exchanged natural gas in storage for the right to receive an equivalent amount of natural gas during the 2009-2010 winter heating season. Although title to the natural gas in storage was transferred to the third party, the natural gas continues to be accounted for as inventory due to the right to receive an equivalent amount of natural gas during the current winter heating season. As of December 31, 2009 and March 31, 2010, CenterPoint Energy's Consolidated Balance Sheets reflect $10million and $-0-, respectively, in inventory related to these agreements. (b) Long-term Debt Pollution Control Bonds. In January 2010, CenterPoint Energy purchased $290million principal amount of pollution control bonds issued on its behalf at 101% of their principal amount plus accrued interest pursuant to the mandatory tender provisions of the bonds.Prior to the purchase, the pollution control bonds had a fixed rate of interest of 5.125%. Convertible Subordinated Debentures. In January 2010, CERC Corp. redeemed $45million of its outstanding 6% convertible subordinated debentures due 2012 at 100% of the principal amount plus accrued and unpaid interest to the redemption date. Revolving Credit Facilities. As of both December31, 2009 and March 31, 2010, there were no outstanding borrowings under CenterPoint Energy's, CenterPoint Houston's or CERC Corp.'s long-term revolving credit facilities. In addition, as of December31, 2009 and March 31, 2010, CenterPoint Energy had approximately $25million and $20million, respectively, of outstanding letters of credit under its $1.2billion credit facility. As of both December 31, 2009 and March 31, 2010 CenterPoint Houston had approximately $4million of outstanding letters of credit under its $289million credit

Commitments and Contingencies

Commitments and Contingencies
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Commitments and Contingencies	(11) Commitments and Contingencies (a) Natural Gas Supply Commitments Natural gas supply commitments include natural gas contracts related to CenterPoint Energy's Natural Gas Distribution and Competitive Natural Gas Sales and Services business segments, which have various quantity requirements and durations, that are not classified as non-trading derivative assets and liabilities in CenterPoint Energy's Consolidated Balance Sheets as of December31, 2009 and March 31, 2010 as these contracts meet the exception to be classified as "normal purchases contracts" or do not meet the definition of a derivative. Natural gas supply commitments also include natural gas transportation contracts that do not meet the definition of a derivative. As of March31, 2010, minimum payment obligations for natural gas supply commitments are approximately $308million for the remaining nine months in 2010, $484million in 2011, $405million in 2012, $346million in 2013, $254million in 2014 and $527million after 2014. (b) Capital Commitments Long-Term Gas Gathering and Treating Agreements. In September 2009, CenterPoint Energy Field Services, Inc. (CEFS) entered into long-term agreements with an indirect wholly-owned subsidiary of Encana Corporation (Encana) and an indirect wholly-owned subsidiary of Royal Dutch Shell plc (Shell) to provide gathering and treating services for their natural gas production from certain Haynesville Shale and Bossier Shale formations in Louisiana. CEFS also acquired jointly-owned gathering facilities from Encana and Shell in De Soto and Red River parishes in northwest Louisiana.Each of the agreements includes acreage dedication and volume commitments for which CEFS has rights to gather Shell's and Encana's natural gas production from the dedicated areas.The gathering facilities are known as the "Magnolia Gathering System." In connection with the agreements, CEFS commenced gathering and treating services utilizing the acquired facilities. CEFS is expanding the acquired facilities in order to gather and treat up to 700million cubic feet (MMcf) per day of natural gas and expects to place those facilities in service by the end of 2010.CEFS estimates that the purchase of existing facilities and construction to gather 700 MMcf per day will cost up to $325million. As of March 31, 2010, approximately $260million has been spent on this project, including the purchase of existing facilities. Under the agreements, Encana or Shell can elect to require CEFS to further expand the facilities in order to gather and treat an additional volume of up to 1billion cubic feet (Bcf) per day, and in March 2010, Encana and Shell exercised initial expansion elections to increase gathering capacity by 200 MMcf per day to 900 MMcf. Total capital expenditures for this expansion are estimated to be $50million to $70million, and the increased capacity is expected to be in service by the first quarter of 2011.In connection with the expansion, Encana and Shell each made incremental volume commitments for the capacity expansion. If Encana and Shell elect expansion of the project to gather and process additional future volumes of up to 1Bcf per day (i

Income Taxes

Income Taxes
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Income Taxes	(12) Income Taxes During the three months ended March 31, 2009 and 2010, the effective tax rate was 42% and 47%, respectively. The most significant item affecting the comparability of the effective tax rate is a non-cash, $21million increase in the 2010 income tax expense as a result of a change in tax law upon the enactment in March 2010 of the Patient Protection and Affordable Care Act and the related Health Care and Education Reconciliation Act of 2010. Additionally, the comparability of the effective tax rate is affected by a $4million increase in the 2009 income tax expense related to a state tax examination. The change in tax law, which becomes effective for tax years beginning after December 31, 2012, eliminates the tax deductibility of the portion of retiree health care costs which are reimbursed by Medicare Part D subsidies. Based upon the actuarially determined net present value of lost future retiree health care deductions related to the subsidies, CenterPoint Energy reduced its deferred tax asset related to future retiree health care deductions by approximately $32million as of March 31, 2010.The portion of the reduction that CenterPoint Energy believes will be recovered through the regulatory process, or approximately $11million, has been recorded as a regulatory asset.The remaining $21million of the reduction in CenterPoint Energy's deferred tax asset has been reflected as a charge to income tax expense. The following table summarizes CenterPoint Energy's unrecognized tax benefits at December31, 2009 and March 31, 2010: December31, 2009 March 31, 2010 (in millions) Unrecognized tax benefits $ 187 $ 199 Portion of unrecognized tax benefits that, if recognized, would reduce the effective income tax rate 10 11 Interest accrued on unrecognized tax benefits 3 6 During the three months ended March 31, 2010, the IRS notified CenterPoint Energy that it would perform an examination of CenterPoint Energy's 2008 consolidated federal income tax return.

Estimated Fair Value of Financi

Estimated Fair Value of Financial Instruments
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Estimated Fair Value of Financial Instruments	(13) Estimated Fair Value of Financial Instruments The fair values of cash and cash equivalents, investments in debt and equity securities classified as "available-for-sale" and "trading" and short-term borrowings are estimated to be approximately equivalent to carrying amounts and have been excluded from the table below. The fair values of non-trading derivative assets and liabilities and the ZENS indexed debt securities derivative are stated at fair value and are excluded from the table below.The fair value of each debt instrument is determined by multiplying the principal amount of each debt instrument by the market price. December 31, 2009 March 31, 2010 Carrying Amount Fair Value Carrying Amount Fair Value (in millions) Financial liabilities: Long-term debt $ 9,900 $ 10,413 $ 9,459 $ 10,087

Earnings Per Share

Earnings Per Share
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Earnings Per Share	(14) Earnings Per Share The following table reconciles numerators and denominators of CenterPoint Energy's basic and diluted earnings per share calculations: Three Months Ended March 31, 2009 2010 (in millions, except share and per share amounts) Basic earnings per share calculation: Net income $ 67 $ 114 Weighted average shares outstanding 347,496,000 392,855,000 Basic earnings per share: Net income $ 0.19 $ 0.29 Diluted earnings per share calculation: Net income $ 67 $ 114 Weighted average shares outstanding 347,496,000 392,855,000 Plus: Incremental shares from assumed conversions: Stock options (1) 511,000 582,000 Restricted stock 1,150,000 1,641,000 Weighted average shares assuming dilution 349,157,000 395,078,000 Diluted earnings per share: Net income $ 0.19 $ 0.29 _________ (1) Options to purchase 2,662,903 and 1,753,239 shares were outstanding for the three months ended March 31, 2009 and 2010, respectively, but were not included in the computation of diluted earnings per share because the options' exercise price was greater than the average market price of the common shares for the respective periods.

Reportable Business Segments

Reportable Business Segments
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Reportable Business Segments	(15) Reportable Business Segments CenterPoint Energy's determination of reportable business segments considers the strategic operating units under which CenterPoint Energy manages sales, allocates resources and assesses performance of various products and services to wholesale or retail customers in differing regulatory environments. The accounting policies of the business segments are the same as those described in the summary of significant accounting policies except that some executive benefit costs have not been allocated to business segments. CenterPoint Energy uses operating income as the measure of profit or loss for its business segments. CenterPoint Energy's reportable business segments include the following: Electric Transmission Distribution, Natural Gas Distribution, Competitive Natural Gas Sales and Services, Interstate Pipelines, Field Services and Other Operations. The electric transmission and distribution function (CenterPoint Houston) is reported in the Electric Transmission Distribution business segment. Natural Gas Distribution consists of intrastate natural gas sales to, and natural gas transportation and distribution for, residential, commercial, industrial and institutional customers. Competitive Natural Gas Sales and Services represents CenterPoint Energy's non-rate regulated gas sales and services operations, which consist of three operational functions: wholesale, retail and intrastate pipelines. The Interstate Pipelines business segment includes the interstate natural gas pipeline operations. The Field Services business segment includes the natural gas gathering, processing and treating operations. Other Operations consists primarily of other corporate operations which support all of CenterPoint Energy's business operations. Financial data for business segments are as follows (in millions): For the Three Months Ended March 31, 2009 Revenues from External Customers Net Intersegment Revenues Operating Income Total Assets as of December31, 2009 Electric Transmission Distribution $ 412 (1) $ - $ 70 $ 9,755 Natural Gas Distribution 1,418 3 118 4,535 Competitive Natural Gas Sales and Services 760 5 2 1,176 Interstate Pipelines 117 36 69 3,484 Field Services 56 1 26 1,045 Other Operations 3 - - 2,261 (2) Eliminations - (45 ) - (2,483 ) Consolidated $ 2,766 $ - $ 285 $ 19,773 For the Three Months Ended March 31, 2010 Revenues from External Customers Net Intersegment Revenues Operating Income Total Assets as of March 31, 2010 Electric Transmission Distribution $ 482 (1) $ - $ 107 $ 9,597 Natural Gas Distribution 1,533 4 139 4,597 Competitive Natural Gas Sales and Services 844 8 15 1,215 Interstate Pipelines 103 35 72 3,526 Field Services 58 10 23 1,199 Other Operations 3 - 1 2,378 (2) Eliminations - (57 ) - (3,161 ) Consolidated $ 3,023 $ - $ 357 $ 19,351 _________ (1) Sales to subsid

Subsequent Events

Subsequent Events
	3 Months Ended Mar. 31, 2010
Notes to Financial Statements [Abstract]
Subsequent Events	(16) Subsequent Events On April22, 2010, CenterPoint Energy's board of directors declared a regular quarterly cash dividend of $0.195 per share of common stock payable on June10, 2010, to shareholders of record as of the close of business on May14, 2010.

Document Information

Document Information
	3 Months Ended Mar. 31, 2010
Document Information [Text Block]
Document Type	10-Q
Document Period End Date	2010-03-31
Amendment Flag	false

Entity Information

Entity Information (USD $)
	3 Months Ended Mar. 31, 2010	Jun. 30, 2009
Entity [Text Block]
Entity Registrant Name	CENTERPOINT ENERGY INC
Entity Central Index Key	0001130310
Current Fiscal Year End Date	--12-31
Entity Well Known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	No
Entity Filer Category	Large Accelerated Filer
Entity Public Float		$4,008,560,260
Entity Common Stock Shares Outstanding	394,186,137
Document Fiscal Year Focus	2,010
Document Fiscal Period Focus	Q1