Jersey Central Power & Light 10-Q 7 May 09 2009 Q1 Quarterly report Financial data

Statement of Financial Position

Statement of Financial Position, Classified (USD $)
In Millions, except Share data	Mar. 31, 2009 Unaudited	Dec. 31, 2008
Cash and Cash Equivalents, at Carrying Value [Abstract]
Cash and cash equivalents	$399	$545
Accounts Receivable, Net, Current [Abstract]
Customers	1,266	1,304
Other	159	167
Inventory, Net [Abstract]
Materials and supplies, at average cost	657	605
Prepaid Expense, Current [Abstract]
Prepaid taxes	318	283
Other	205	149
Total current assets	3,004	3,053
Property, Plant and Equipment, Gross [Abstract]
In service	26,757	26,482
Less - Accumulated provision for depreciation	10,947	10,821
Total in service, net of accumulated depreciation	15,810	15,661
Construction work in progress	2,397	2,062
Total property, plant and equipment	18,207	17,723
Long-term Investments [Abstract]
Nuclear plant decommissioning trusts	1,649	1,708
Marketable Securities, Noncurrent [Abstract]
Investments in lease obligation bonds	561	598
Other	689	711
Total investments	2,899	3,017
Goodwill	5,575	5,575
Regulatory assets	2,938	3,140
Derivative Instruments and Hedges, Noncurrent [Abstract]
Power purchase contract asset	340	434
Other	594	579
Total deferred charges and other assets	9,447	9,728
Total assets	33,557	33,521
Long-term Debt and Capital Lease Obligations, Current [Abstract]
Currently payable long-term debt	2,144	2,476
Short-term Borrowings [Abstract]
Short-term borrowings	2,397	2,397
Accounts Payable and Accrued Liabilities [Abstract]
Accounts payable	704	794
Taxes Payable [Abstract]
Accrued taxes	281	333
Other	1,169	1,098
Total current liabilities	6,695	7,098
Stockholders' Equity [Abstract]
Common stock	31	31
Additional Paid in Capital [Abstract]
Other paid-in capital	5,459	5,473
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated other comprehensive loss	(1,350)	(1,380)
Retained Earnings (Accumulated Deficit) [Abstract]
Retained earnings	4,110	4,159
Total common stockholders' equity	8,250	8,283
Noncontrolling interest	34	32
Total equity	8,284	8,315
Long-term debt and other long-term obligations	9,697	9,100
Total capitalization	17,981	17,415
Liabilities, Noncurrent [Abstract]
Accumulated deferred income taxes	2,130	2,163
Asset Retirement Obligations, Noncurrent [Abstract]
Asset retirement obligations	1,356	1,335
Deferred gain on sale and leaseback transaction	1,018	1,027
Power purchase contract liability	816	766
Pension and Other Postretirement Defined Benefit Plans, Noncurrent Liabilities [Abstract]
Retirement benefits	1,896	1,884
Lease market valuation liability	296	308
Other	1,369	1,525
Total noncurrent liabilities	8,881	9,008
Total liabilities and capitalization	33,557	33,521
Uncollectible Accounts [Abstract]
Accumulated provision for uncollectible accounts - customers	27	28
Accumulated provision for uncollectible accounts - other	$9	$9
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Common stock - par value	0.1	0.1
Common stock - shares authorized	375,000,000	375,000,000
Common stock - shares outstanding	304,835,407	304,835,407

Statement of Income (Excluding

Statement of Income (Excluding Gross Margin Alternative) (Unaudited, USD $)
In Millions, except Share data, unless otherwise specified	3 Months Ended Mar. 31, 2009		3 Months Ended Mar. 31, 2008
Revenues [Abstract]
Electric utilities	$3,020		$2,913
Unregulated businesses	314		364
Total revenues	3,334	[1]	3,277	[2]
Costs and Expenses [Abstract]
Fuel	312		328
Purchased power	1,143		1,000
Other operating expenses	827		799
Provision for depreciation	177		164
Amortization of regulatory assets	411		258
Deferral of new regulatory assets	(93)		(105)
General taxes	211		215
Total expenses	2,988		2,659
OPERATING INCOME	346		618
Investment income (loss), net	(11)		17
Interest expense	(194)		(179)
Capitalized interest	28		8
Total other expense	(177)		(154)
INCOME BEFORE INCOME TAXES	169		464
Income Tax Expense (Benefit) [Abstract]
INCOME TAXES	54		187
NET INCOME	115		277
Less: Noncontrolling interest income (loss)	(4)		1
EARNINGS AVAILABLE TO PARENT	$119		$276
Earnings Per Share, Basic [Abstract]
BASIC EARNINGS PER SHARE OF COMMON STOCK	0.39		0.91
Earnings Per Share, Basic, Other Disclosures [Abstract]
WEIGHTED AVERAGE NUMBER OF BASIC SHARES OUTSTANDING	304,000,000		304,000,000
Earnings Per Share, Diluted [Abstract]
DILUTED EARNINGS PER SHARE OF COMMON STOCK	0.39		0.9
Earnings Per Share, Diluted, Other Disclosures [Abstract]
WEIGHTED AVERAGE NUMBER OF DILUTED SHARES OUTSTANDING	306,000,000		307,000,000
DIVIDENDS DECLARED PER SHARE OF COMMON STOCK	0.55		0.55
[1]Includes $109 million of excise tax collections.
[2]Includes $114 million of excise tax collections.

Statement of Other Comprehensiv

Statement of Other Comprehensive Income (Unaudited, USD $)
In Millions	3 Months Ended Mar. 31, 2009	3 Months Ended Mar. 31, 2008
NET INCOME	$115	$277
Other Comprehensive Income (Loss), Net of Tax, Period Increase (Decrease) [Abstract]
Pension and other postretirement benefits	35	(20)
Unrealized gain (loss) on derivative hedges	15	(13)
Change in unrealized gain on available-for-sale securities	(5)	(58)
Other comprehensive income (loss)	45	(91)
Income tax expense (benefit) related to other comprehensive income	15	(33)
Other comprehensive income (loss), net of tax	30	(58)
COMPREHENSIVE INCOME	145	219
COMPREHENSIVE INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST	(4)	1
COMPREHENSIVE INCOME ATTRIBUTABLE TO PARENT	$149	$218

Statement of Cash Flows

Statement of Cash Flows (USD $)
In Millions	3 Months Ended Mar. 31, 2009 Unaudited	3 Months Ended Mar. 31, 2008 Unaudited
Income (Loss) from Continuing Operations [Abstract]
NET INCOME	$115	$277
Adjustments to Reconcile Income (Loss) to Net Cash Provided by (Used in) Continuing Operations [Abstract]
Provision for depreciation	177	164
Amortization of regulatory assets	411	258
Deferral of new regulatory assets	(93)	(105)
Nuclear fuel and lease amortization	27	26
Deferred purchased power and other costs	(62)	(43)
Deferred income taxes and investment tax credits, net	(28)	89
Investment impairment	36	16
Deferred rents and lease market valuation liability	(14)	4
Stock-based compensation	(13)	(35)
Accrued compensation and retirement benefits	(66)	(142)
Gain on asset sales	(5)	(37)
Electric service prepayment programs	(8)	(19)
Cash collateral received (paid)	(15)	8
(Increase) Decrease in Operating Capital [Abstract]
Receivables	46	(6)
Materials and supplies	(7)	(17)
Prepaid taxes	(34)	(100)
Accounts payable	(90)	(23)
Accrued taxes	(51)	(5)
Accrued interest	118	91
Other	18	(42)
Net cash provided from operating activities	462	359
Long-term debt	700
Short-term borrowings, net		746
Long-term debt	(444)	(368)
Net controlled disbursement activity	(10)	6
Common stock dividend payments	(168)	(168)
Other	(8)	8
Net cash provided from financing activities	70	224
Net Cash Provided by (Used in) Investing Activities [Abstract]
Property additions	(654)	(711)
Proceeds from asset sales	8	50
Sales of investment securities held in trusts	567	361
Purchases of investment securities held in trusts	(584)	(384)
Cash investments	17	58
Other	(32)	(16)
Net cash used for investing activities	(678)	(642)
Cash and Cash Equivalents, Period Increase (Decrease) [Abstract]
Net change in cash and cash equivalents	(146)	(59)
Cash and cash equivalents at beginning of period	545	129
Cash and cash equivalents at end of period	$399	$70

Notes to Financial Statements

Notes to Financial Statements (Unaudited)
	3 Months Ended Mar. 31, 2009
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	1. ORGANIZATION AND BASIS OF PRESENTATION FirstEnergy is a diversified energy company that holds, directly or indirectly, all of the outstanding common stock of its principal subsidiaries: OE, CEI, TE, Penn (a wholly owned subsidiary of OE), ATSI, JCP&L, Met-Ed, Penelec, FENOC, FES and its subsidiaries FGCO and NGC, and FESC. FirstEnergy and its subsidiaries follow GAAP and comply with the regulations, orders, policies and practices prescribed by the SEC, the FERC and, as applicable, the PUCO, the PPUC and the NJBPU. The preparation of financial statements in conformity with GAAP requires management to make periodic estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities. Actual results could differ from these estimates. The reported results of operations are not indicative of results of operations for any future period. These statements should be read in conjunction with the financial statements and notes included in the combined Annual Report on Form 10-K for the year ended December 31, 2008 for FirstEnergy, FES and the Utilities. The consolidated unaudited financial statements of FirstEnergy, FES and each of the Utilities reflect all normal recurring adjustments that, in the opinion of management, are necessary to fairly present results of operations for the interim periods. Certain prior year amounts have been reclassified to conform to the current year presentation. Unless otherwise indicated, defined terms used herein have the meanings set forth in the accompanying Glossary of Terms. FirstEnergy and its subsidiaries consolidate all majority-owned subsidiaries over which they exercise control and, when applicable, entities for which they have a controlling financial interest. Intercompany transactions and balances are eliminated in consolidation. FirstEnergy consolidates a VIE (see Note 6) when it is determined to be the VIE's primary beneficiary. Investments in non-consolidated affiliates over which FirstEnergy and its subsidiaries have the ability to exercise significant influence, but not control (20-50% owned companies, joint ventures and partnerships) follow the equity method of accounting. Under the equity method, the interest in the entity is reported as an investment in the Consolidated Balance Sheets and the percentage share of the entity's earnings is reported in the Consolidated Statements of Income. The consolidated financial statements as of March 31, 2009, and for the three-month periods ended March 31, 2009 and 2008, have been reviewed by PricewaterhouseCoopers LLP, an independent registered public accounting firm. Their report (dated May 7, 2009) is included herein. The report of PricewaterhouseCoopers LLP states that they did not audit and they do not express an opinion on that unaudited financial information. Accordingly, the degree of reliance on their report on such information should be restricted in light of the limited nature of the review procedures applied. PricewaterhouseCoopers LLP is not subject to the liability provisions of Section 11 of the Securities Act of 1933 for their report on the unaudited financial i
Schedule of Earnings Per Share, Basic, by Common Class [Text Block]	2. EARNINGS PER SHARE Basic earnings per share of common stock is computed using the weighted average of actual common shares outstanding during the respective period as the denominator. The denominator for diluted earnings per share of common stock reflects the weighted average of common shares outstanding plus the potential additional common shares that could result if dilutive securities and other agreements to issue common stock were exercised. The following table reconciles basic and diluted earnings per share of common stock: THREE MONTHS ENDEDRECONCILIATION OF BASIC AND DILUTED MARCH 31 -------- EARNINGS PER SHARE OF COMMON STOCK 2009 2008 ---- ---- (IN MILLIONS, EXCEPT PER SHARE AMOUNTS) ------------------- Earnings available to parent $ 119 $ 276 Average shares of common stock outstanding - Basic 304 304Assumed exercise of dilutive stock options and awards 2 3Average shares of common stock outstanding - Diluted 306 --- 307 --- Basic earnings per share of common stock $ 0.39 $ 0.91 Diluted earnings per share of common stock $ 0.39 $ 0.90
Fair Value Disclosures [Text Block]	3. FAIR VALUE MEASURES FirstEnergy's valuation techniques, including the three levels of the fair value hierarchy as defined by SFAS 157, are disclosed in Note 5 of the Notes to Consolidated Financial Statements in FirstEnergy's Annual Report. The following table sets forth FirstEnergy's financial assets and financial liabilities that are accounted for at fair value by level within the fair value hierarchy as of March 31, 2009 and December 31, 2008. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. FirstEnergy's assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the fair valuation of assets and liabilities and their placement within the fair value hierarchy levels. RECURRING FAIR VALUE MEASURES AS OF MARCH 31, 2009 LEVEL 1 LEVEL 2 LEVEL 3 TOTAL (IN MILLIONS) -------------Assets: Derivatives $ - $ 43 $ - $ 43 Available-for-sale securities(1) 427 1,533 - 1,960 NUG contracts(2) - - 340 340 Other investments - 80 - 80 Total $ 427 $ 1,656 $ 340 $ - --- - ----- - --- - 2,423 ----- Liabilities: Derivatives $ 30 $ 27 $ - $ 57 NUG contracts(2) - - 816 816 Total $ 30 $ 27 $ 816 $ 873 (1) Primarily consists of investments in nuclear decommissioning trusts, the spent nuclear fuel trusts and the NUG trusts. Balance excludes $3 million of receivables, payables and accrued income.(2) NUG contracts are completely offset by regulatory assets. RECURRING FAIR VALUE MEASURESAS OF DECEMBER 31, 2008 LEVEL 1 LEVEL 2 LEVEL 3 TOTAL (IN MILLIONS) -------------Assets: Derivatives $ - $ 40 $ - $ 40 Available-for-sale securities(1) 537 1,464 - 2,001 NUG contracts(2) - - 434 434 Other investments - 83 - 83 Total $ 537 $ 1,587 $ 434 $ - --- - ----- - --- - 2,558 ----- Liabilities: Derivatives $ 25 $ 31 $ - $ 56 NUG contracts(2) - - 766 766 Total $ 25 $ 31 $ 766 $ 822 (1) Primarily consists of investments in nuclear decommissioning trusts, the spent nuclear fuel trusts and the NUG trusts. Balance excludes $5 million of receivables, payables and accrued income.(2) NUG contracts are completely offset by regulatory assets. The determination of the above fair value measures takes into consideration various factors required under SFAS 157. These factors include nonperformance risk, including counterparty credit risk and the impact of credit enhancements (such as cash deposits, LOCs and priority interests). The impact of nonperformance risk was immaterial in the fair value measurements. The following table sets forth a reconciliation of changes in the fair value of NUG contracts classified as Level 3 in the fair value hierarchy for the three months ended March 31, 2009 and 2008 (in millions): THREE MONTHS ENDED MARCH 31 ======== 2009 2008 ---- Balance as of January 1 $ (332 ) $ (803 ) Settlements(1) 83 64 Unrealized gains (losses)(1) (227 ) 320 Net transfers to (from) Level 3 - -Balance as of March 31, 2009 $ (476 ) $ (419 ) - ---- - ---- Change in unrealized gains (losses) relating to instruments held as of March 31 $ (227 ) $ 320 (1) Changes in the fair value of NUG contracts are completely offset by regulatory assets and d
Derivative Instruments and Hedging Activities Disclosure [Text Block]	4. DERIVATIVE INSTRUMENTS FirstEnergy is exposed to financial risks resulting from fluctuating interest rates and commodity prices, including prices for electricity, natural gas, coal and energy transmission. To manage the volatility relating to these exposures, FirstEnergy uses a variety of derivative instruments, including forward contracts, options, futures contracts and swaps. The derivatives are used for risk management purposes. In addition to derivatives, FirstEnergy also enters into master netting agreements with certain third parties. FirstEnergy's Risk Policy Committee, comprised of members of senior management, provides general management oversight for risk management activities throughout FirstEnergy. They are responsible for promoting the effective design and implementation of sound risk management programs. They also oversee compliance with corporate risk management policies and established risk management practices. FirstEnergy accounts for derivative instruments on its Consolidated Balance Sheet at their fair value unless they meet the normal purchase and normal sales criteria. Derivatives that meet those criteria are accounted for at cost. The changes in the fair value of derivative instruments that do not meet the normal purchase and normal sales criteria are recorded as other expense, as AOCL, or as part of the value of the hedged item as described below. Interest Rate Derivatives Under the revolving credit facility, FirstEnergy incurs variable interest charges based on LIBOR. In 2008, FirstEnergy entered into swaps with a notional value of $200 million to hedge against changes in associated interest rates. Hedges with a notional value of $100 million expire in November 2009 and the remainder expire in November 2010. The swaps are accounted for as cash flow hedges under SFAS 133. As of March 31, 2009, the fair value of outstanding swaps was $(4) million. FirstEnergy uses forward starting swap agreements to hedge a portion of the consolidated interest rate risk associated with issuances of fixed-rate, long-term debt securities of its subsidiaries. These derivatives are treated as cash flow hedges, protecting against the risk of changes in future interest payments resulting from changes in benchmark U.S. Treasury rates between the date of hedge inception and the date of the debt issuance. During the first quarter of 2009, FirstEnergy terminated forward swaps with a notional value of $100 million when a subsidiary issued long term debt. The gain associated with the termination was $1.3 million, of which $0.3 million was ineffective and recognized as an adjustment to interest expense. The remaining effective portion will be amortized to interest expense over the life of the hedged debt. FirstEnergy currently has no outstanding forward swaps. As of March 31, 2009 and 2008, the total fair value of outstanding interest rate derivatives was $(4) million and $(3) million, respectively. Interest rate derivatives are located in "Other Noncurrent Liabilities" in FirstEnergy's consolidated balance sheets. The effect of interest rate derivatives on the statements of income and comprehensive income during the periods ended March 31, 2009
Pension and Other Postretirement Benefits Disclosure [Text Block]	5. PENSION AND OTHER POSTRETIREMENT BENEFITS FirstEnergy provides noncontributory qualified defined benefit pension plans that cover substantially all of its employees and non-qualified pension plans that cover certain employees. The plans provide defined benefits based on years of service and compensation levels. FirstEnergy's funding policy is based on actuarial computations using the projected unit credit method. FirstEnergy uses a December 31 measurement date for its pension and other postretirement benefit plans. The fair value of the plan assets represents the actual market value as of December 31. FirstEnergy also provides a minimum amount of noncontributory life insurance to retired employees in addition to optional contributory insurance. Health care benefits, which include certain employee contributions, deductibles and co-payments, are available upon retirement to employees hired prior to January 1, 2005, their dependents and, under certain circumstances, their survivors. FirstEnergy recognizes the expected cost of providing pension benefits and other postretirement benefits from the time employees are hired until they become eligible to receive those benefits. In addition, FirstEnergy has obligations to former or inactive employees after employment, but before retirement, for disability-related benefits. For the three months ended March 31, 2009 and 2008, FirstEnergy's net pension and OPEB expense (benefit) was $43 million and $(15) million, respectively. The components of FirstEnergy's net pension and other postretirement benefit cost (including amounts capitalized) for the three months ended March 31, 2009 and 2008, consisted of the following: PENSION BENEFITS OTHER POSTRETIREMENT BENEFITS ---------------- ----------------------------- 2009 2008 2009 2008 ---- ---- ---- (IN MILLIONS) -------------Service cost $ 22 $ 22 $ 5 $ - - - 5 Interest cost 80 75 20 18Expected return on plan assets (81 ) (116 ) - -(9 ) (13 ) - -Amortization of prior service cost 3 3(38 ) (37 ) - - Recognized net actuarial loss 42 2 16 12 Net periodic cost (credit) $ 66 $ (14 ) $ -------------------------- - -- - --- - -(6 ) $ (15 )-- - - --- - Pension and postretirement benefit obligations are allocated to FirstEnergy's subsidiaries employing the plan participants. The Companies capitalize employee benefits related to construction projects. The net pension and other postretirement benefit costs (including amounts capitalized) recognized by each of the Companies for the three months ended March 31, 2009 and 2008 were as follows: OTHER POSTRETIREMENT PENSION BENEFIT COST (CREDIT) BENEFIT COST (CREDIT) ============================= 2009 2008 2009 2008 ---- ---- ---- (IN MILLIONS) -------------FES $ 18 $ 5 $ (1 ) $ (2)OE 7 (6 ) (2 ) (2 ) CEI 5 (1 ) 1 1 TE 2 (1 ) 1 1JCP&L 9 (3 ) (1 ) (4 )Met-Ed 6 (2 ) (1 ) (3)Penelec 4 (3 ) - (3 ) Other FirstEnergy subsidiaries 15 (3 )(3 ) (3 ) $ 66 $ (14 ) $ (6 ) $ (15) - -- - --- - -- - ---
Schedule of Variable Interest Entities [Text Block]	6. VARIABLE INTEREST ENTITIES FirstEnergy and its subsidiaries consolidate VIEs when they are determined to be the VIE's primary beneficiary as defined by FIN 46R. Effective January 1, 2009, FirstEnergy adopted SFAS 160. As a result, FirstEnergy and its subsidiaries reflect the portion of VIEs not owned by them in the caption noncontrolling interest within the consolidated financial statements. The change in noncontrolling interest within the Consolidated Balance Sheets is the result of earnings and losses of the noncontrolling interests and distributions to owners. MINING OPERATIONS On July 16, 2008, FEV entered into a joint venture with the Boich Companies, a Columbus, Ohio-based coal company, to acquire a majority stake in the Signal Peak mining and coal transportation operations near Roundup, Montana. FEV made a $125 million equity investment in the joint venture, which acquired 80% of the mining operations (Signal Peak Energy, LLC) and 100% of the transportation operations, with FEV owning a 45% economic interest and an affiliate of the Boich Companies owning a 55% economic interest in the joint venture. Both parties have a 50% voting interest in the joint venture. In March 2009, FEV agreed to pay a total of $8.5 million (of which $1.7 million was paid in March 2009) to affiliates of the Boich Companies to purchase an additional 5% economic interest in the Signal Peak mining and coal transportation operations. Voting interests will remain unchanged after the sale is completed in July 2009. Effective January 16, 2010, the joint venture will have 18 months to exercise an option to acquire the remaining 20% stake in the mining operations. In accordance with FIN 46R, FEV consolidates the mining and transportation operations of this joint venture in its financial statements. TRUSTS FirstEnergy's consolidated financial statements include PNBV and Shippingport, VIEs created in 1996 and 1997, respectively, to refinance debt originally issued in connection with sale and leaseback transactions. PNBV and Shippingport financial data are included in the consolidated financial statements of OE and CEI, respectively. PNBV was established to purchase a portion of the lease obligation bonds issued in connection with OE's 1987 sale and leaseback of its interests in the Perry Plant and Beaver Valley Unit 2. OE used debt and available funds to purchase the notes issued by PNBV for the purchase of lease obligation bonds. Ownership of PNBV includes a 3% equity interest by an unaffiliated third party and a 3% equity interest held by OES Ventures, a wholly owned subsidiary of OE. Shippingport was established to purchase all of the lease obligation bonds issued in connection with CEI's and TE's Bruce Mansfield Plant sale and leaseback transaction in 1987. CEI and TE used debt and available funds to purchase the notes issued by Shippingport. LOSS CONTINGENCIES FES and the Ohio Companies are exposed to losses under their applicable sale-leaseback agreements upon the occurrence of certain contingent events that each company considers unlikely to occur. The maximum exposure under these provisions represents the net amount of casualty value payments due upon the occu
Income Tax Disclosure [Text Block]	7. INCOME TAXES FirstEnergy accounts for uncertainty in income taxes recognized in a company's financial statements in accordance with FIN 48. This interpretation prescribes a recognition threshold and measurement attribute for financial statement recognition and measurement of tax positions taken or expected to be taken on a company's tax return. Upon completion of the federal tax examination for the 2007 tax year in the first quarter of 2009, FirstEnergy recognized $13 million in tax benefits, which favorably affected FirstEnergy's effective tax rate. During the first three months of 2008, there were no material changes to FirstEnergy's unrecognized tax benefits. As of March 31, 2009, FirstEnergy expects that it is reasonably possible that $193 million of the unrecognized benefits may be resolved within the next twelve months, of which approximately $148 million, if recognized, would affect FirstEnergy's effective tax rate. The potential decrease in the amount of unrecognized tax benefits is primarily associated with issues related to the capitalization of certain costs, gains and losses recognized on the disposition of assets and various other tax items. FIN 48 also requires companies to recognize interest expense or income related to uncertain tax positions. That amount is computed by applying the applicable statutory interest rate to the difference between the tax position recognized in accordance with FIN 48 and the amount previously taken or expected to be taken on the tax return. FirstEnergy includes net interest and penalties in the provision for income taxes. The net amount of accumulated interest accrued as of March 31, 2009 was $61 million, as compared to $59 million as of December 31, 2008. During the first three months of 2009 and 2008, there were no material changes to the amount of interest accrued. FirstEnergy has tax returns that are under review at the audit or appeals level by the IRS and state tax authorities. All state jurisdictions are open from 2001-2008. The IRS began reviewing returns for the years 2001-2003 in July 2004 and several items are under appeal. The federal audits for the years 2004-2006 were completed in 2008 and several items are under appeal. The IRS began auditing the year 2007 in February 2007 under its Compliance Assurance Process program and was completed in the first quarter of 2009 with two items under appeal. The IRS began auditing the year 2008 in February 2008 and the year 2009 in February 2009 under its Compliance Assurance Process program. Neither audit is expected to close before December 2009. Management believes that adequate reserves have been recognized and final settlement of these audits is not expected to have a material adverse effect on FirstEnergy's financial condition or results of operations.
Commitments and Contingencies Disclosure [Text Block]	8. COMMITMENTS, GUARANTEES AND CONTINGENCIES (A) GUARANTEES AND OTHER ASSURANCES As part of normal business activities, FirstEnergy enters into variousagreements on behalf of its subsidiaries to provide financial or performanceassurances to third parties. These agreements include contract guarantees,surety bonds and LOCs. As of March 31, 2009, outstanding guarantees and otherassurances aggregated approximately $4.5 billion, consisting of parentalguarantees - $1.2 billion, subsidiaries' guarantees - $2.6 billion, surety bonds- $0.1 billion and LOCs - $0.6 billion. FirstEnergy guarantees energy and energy-related payments of its subsidiariesinvolved in energy commodity activities principally to facilitate or hedgenormal physical transactions involving electricity, gas, emission allowances andcoal. FirstEnergy also provides guarantees to various providers of creditsupport for the financing or refinancing by subsidiaries of costs related to theacquisition of property, plant and equipment. These agreements obligateFirstEnergy to fulfill the obligations of those subsidiaries directly involvedin energy and energy-related transactions or financing where the law mightotherwise limit the counterparties' claims. If demands of a counterparty were toexceed the ability of a subsidiary to satisfy existing obligations, FirstEnergy's guarantee enables the counterparty's legal claim to be satisfiedby other FirstEnergy assets. The likelihood is remote that such parentalguarantees of $0.4 billion (included in the $1.2 billion discussed above) as ofMarch 31, 2009 would increase amounts otherwise payable by FirstEnergy to meetits obligations incurred in connection with financings and ongoing energy andenergy-related activities. While these types of guarantees are normally parental commitments for the futurepayment of subsidiary obligations, subsequent to the occurrence of a creditrating downgrade or "material adverse event," the immediate posting of cashcollateral, provision of an LOC or accelerated payments may be required of thesubsidiary. As of March 31, 2009, FirstEnergy's maximum exposure under thesecollateral provisions was $761 million, consisting of $55 million due to"material adverse event" contractual clauses and $706 million due to a belowinvestment grade credit rating. Additionally, stress case conditions of a creditrating downgrade or "material adverse event" and hypothetical adverse pricemovements in the underlying commodity markets would increase this amount to $830million, consisting of $54 million due to "material adverse event" contractualclauses and $776 million due to a below investment grade credit rating. Most of FirstEnergy's surety bonds are backed by various indemnities commonwithin the insurance industry. Surety bonds and related guarantees of $111million provide additional assurance to outside parties that contractual andstatutory obligations will be met in a number of areas including constructioncontracts, environmental commitments and various retail transactions. In addition to guarantees and surety bonds, FES' contracts, including powercontracts with affiliates awarded through competitive bidding processes,typically contain margining
Public Utilities Disclosure [Text Block]	9. REGULATORY MATTERS (A) RELIABILITY INITIATIVES In 2005, Congress amended the Federal Power Act to provide forfederally-enforceable mandatory reliability standards. The mandatory reliabilitystandards apply to the bulk power system and impose certain operating, record-keeping and reporting requirements on the Utilities and ATSI. The NERC ischarged with establishing and enforcing these reliability standards, although ithas delegated day-to-day implementation and enforcement of its responsibilitiesto eight regional entities, including ReliabilityFirst Corporation. All ofFirstEnergy's facilities are located within the ReliabilityFirst region.FirstEnergy actively participates in the NERC and ReliabilityFirst stakeholderprocesses, and otherwise monitors and manages its companies in response to theongoing development, implementation and enforcement of the reliability standards. FirstEnergy believes that it is in compliance with all currently-effective andenforceable reliability standards. Nevertheless, it is clear that the NERC,ReliabilityFirst and the FERC will continue to refine existing reliabilitystandards as well as to develop and adopt new reliability standards. Thefinancial impact of complying with new or amended standards cannot be determinedat this time. However, the 2005 amendments to the Federal Power Act provide thatall prudent costs incurred to comply with the new reliability standards berecovered in rates. Still, any future inability on FirstEnergy's part to complywith the reliability standards for its bulk power system could result in theimposition of financial penalties and thus have a material adverse effect on itsfinancial condition, results of operations and cash flows. In April 2007, ReliabilityFirst performed a routine compliance audit ofFirstEnergy's bulk-power system within the MISO region and found it to be infull compliance with all audited reliability standards. Similarly, in October2008, ReliabilityFirst performed a routine compliance audit of FirstEnergy'sbulk-power system within the PJM region and found it to be in full compliancewith all audited reliability standards. On December 9, 2008, a transformer at JCP&L's Oceanview substation failed,resulting in an outage on certain bulk electric system (transmission voltage)lines out of the Oceanview and Atlantic substations, with customers in theaffected area losing power. Power was restored to most customers within a fewhours and to all customers within eleven hours. On December 16, 2008, JCP&Lprovided preliminary information about the event to certain regulatory agencies,including the NERC. On March 31, 2009, the NERC initiated a Compliance ViolationInvestigation in order to determine JCP&L's contribution to the electrical eventand to review any potential violation of NERC Reliability Standards associatedwith the event. The initial phase of the investigation requires JCP&L to respondto NERC's request for factual data about the outage. JCP&L submitted its writtenresponse on May 1, 2009. JCP&L is not able at this time to predict what actions,if any, that NERC will take upon receipt of JCP&L's response to NERC's datarequest. (B ) OHIO On June 7, 2007, the Ohio Companies filed
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	10. NEW ACCOUNTING STANDARDS AND INTERPRETATIONS FSP FAS 157-4 - "Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That Are Not Orderly" In April 2009, the FASB issued Staff Position FAS 157-4, which provides additional guidance to consider in estimating fair value when there has been a significant decrease in market activity for a financial asset. The FSP establishes a two-step process requiring a reporting entity to first determine if a market is not active in relation to normal market activity for the asset. If evidence indicates the market is not active, an entity would then need to determine whether a quoted price in the market is associated with a distressed transaction. An entity will need to further analyze the transactions or quoted prices, and an adjustment to the transactions or quoted prices may be necessary to estimate fair value. Additional disclosures related to the inputs and valuation techniques used in the fair value measurements are also required. The FSP is effective for interim and annual periods ending after June 15, 2009, with early adoption permitted for periods ending after March 15, 2009. FirstEnergy will adopt the FSP for its interim period ending June 30, 2009. While the FSP will expand disclosure requirements, FirstEnergy does not expect the FSP to have a material effect upon its financial statements. FSP FAS 115-2 and FAS 124-2 - "Recognition and Presentation of Other-Than-Temporary Impairments" In April 2009, the FASB issued Staff Position FAS 115-2 and FAS 124-2, which changes the method to determine whether an other-than-temporary impairment exists for debt securities and the amount of impairment to be recorded in earnings. Under the FSP, management will be required to assert it does not have the intent to sell the debt security, and it is more likely than not it will not have to sell the debt security before recovery of its cost basis. If management is unable to make these assertions, the debt security will be deemed other-than-temporarily impaired and the security will be written down to fair value with the full charge recorded through earnings. If management is able to make the assertions, but there are credit losses associated with the debt security, the portion of impairment related to credit losses will be recognized in earnings while the remaining impairment will be recognized through other comprehensive income. The FSP is effective for interim and annual reporting periods ending after June 15, 2009, with early adoption permitted for periods ending after March 15, 2009. FirstEnergy will adopt the FSP for its interim period ending June 30, 2009 and does not expect the FSP to have a material effect upon its financial statements. FSP FAS 107-1 and APB 28-1 - "Interim Disclosures about Fair Value of Financial Instruments" In April 2009, the FASB issued Staff Position FAS 107-1 and APB 28-1, which requires disclosures of the fair value of financial instruments in interim financial statements, as well as in annual financial statements. The FSP also requires entities to disclose the methods and significant assumpti
Segment Reporting Disclosure [Text Block]	11. SEGMENT INFORMATION FirstEnergy has three reportable operating segments: energy delivery services, competitive energy services and Ohio transitional generation services. The assets and revenues for all other business operations are below the quantifiable threshold for operating segments for separate disclosure as "reportable operating segments." The energy delivery services segment designs, constructs, operates and maintains FirstEnergy's regulated transmission and distribution systems and is responsible for the regulated generation commodity operations of FirstEnergy's Pennsylvania and New Jersey electric utility subsidiaries. Its revenues are primarily derived from the delivery of electricity, cost recovery of regulatory assets, and default service electric generation sales to non-shopping customers in its Pennsylvania and New Jersey franchise areas. Its results reflect the commodity costs of securing electric generation from FES under partial requirements purchased power agreements and from non-affiliated power suppliers as well as the net PJM transmission expenses related to the delivery of that generation load. The competitive energy services segment supplies electric power to its electric utility affiliates, provides competitive electricity sales primarily in Ohio, Pennsylvania, Maryland and Michigan, owns or leases and operates FirstEnergy's generating facilities and purchases electricity to meet its sales obligations. The segment's net income is primarily derived from the affiliated company PSA sales and the non-affiliated electric generation sales revenues less the related costs of electricity generation, including purchased power and net transmission (including congestion) and ancillary costs charged by PJM and MISO to deliver electricity to the segment's customers. The segment's internal revenues represent the affiliated company PSA sales. The Ohio transitional generation services segment represents the regulated generation commodity operations of FirstEnergy's Ohio electric utility subsidiaries. Its revenues are primarily derived from electric generation sales to non-shopping customers under the PLR obligations of the Ohio Companies. Its results reflect the purchase of electricity from third parties and the competitive energy services segment through a CBP, the deferral and amortization of certain fuel costs authorized for recovery by the energy delivery services segment and the net MISO transmission revenues and expenses related to the delivery of generation load. This segment's total assets consist of accounts receivable for generation revenues from retail customers. Segment Financial InformationOhioEnergyCompetitiveTransitionalDeliveryEnergyGenerationReconcilingThree Months EndedServicesServicesServicesOtherAdjustmentsConsolidated(In millions)March 31, 2009External revenues $2,109 $335 $912 $7 $(29) $3,334 Internal revenues - 893 - - (893) - Total revenues 2,109 1,228 912 7 (922) 3,334 Depreciation and amortization 472 64 (45) 1 3 495 Investment income (loss), net 29 (29) 1 - (12) (11)Net interest charges 110 18 - 1 37 166 Income taxes (28) 103 16 (17) (20) 54 Net income (loss) (42) 155 24 17 (39) 115 Total assets 22,669 9,

Document Information

Document Information (Unaudited)
	3 Months Ended Mar. 31, 2009
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	2009-03-31

Entity Information

Entity Information (Unaudited, USD $)
	3 Months Ended Mar. 31, 2009
Entity Information [Line Items]
Entity Registrant Name	FirstEnergy Corp.
Entity Central Index Key	0001031296
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float	$11,677,514,098
Entity Common Stock, Shares Outstanding	304,835,407