Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2018

The following table presents, for the three months ended March 31, 2018, revenue from contracts with customers as defined in Topic 606, as well as additional revenue from sources other than contracts with customers, disaggregated by major source.



	For the Three Months Ended March 31, 2018
(Millions of Dollars)	Revenues from contracts with customers		Other revenues (a)	Total operating revenues
CECONY
Electric	$1,771		$(42)	$1,729
Gas	835		6	841
Steam	315		(1)	314
Total CECONY	$2,921		$(37)	$2,884
O&R
Electric	152		(3)	149
Gas	110		(13)	97
Total O&R	$262		$(16)	$246
Clean Energy Businesses
Renewables	132	(b)	—	132
Energy services	17		—	17
Other	—		84	84
Total Clean Energy Businesses	$149		$84	$233
Con Edison Transmission	1		—	1
Total Con Edison	$3,333		$31	$3,364

(a) For the Utilities, this includes revenue from alternative revenue programs, such as the revenue decoupling mechanisms under their New York electric and gas rate plans and the weather-normalization clause applicable to their gas businesses.For the Clean Energy Businesses, this includes revenue from wholesale services. For the Utilities, this also reflects the reduction in revenues resulting from the deferral as regulatory liabilities of the net benefits of the federal Tax Cuts and Job Act of 2017 (TCJA). See "Other Regulatory Matters" in Note B.

(b) Included within the total for Renewables revenue at the Clean Energy Businesses is $89 million of revenue related to engineering, procurement and construction services.

Basic and Diluted Earnings Per Share

For the three months ended March 31, 2018 and 2017, basic and diluted EPS for Con Edison are calculated as follows:



	For the Three Months Ended March 31,
(Millions of Dollars, except per share amounts/Shares in Millions)	2018	2017
Net income	$428	$388
Weighted average common shares outstanding – basic	310.4	305.1
Add: Incremental shares attributable to effect of potentially dilutive securities	1.2	1.2
Adjusted weighted average common shares outstanding – diluted	311.6	306.3
Net Income per common share – basic	$1.38	$1.27
Net Income per common share – diluted	$1.37	$1.27

Changes in Accumulated Other Comprehensive Income/(Loss)

For the three months ended March 31, 2018 and 2017, changes to accumulated other comprehensive income/(loss) (OCI) for Con Edison and CECONY are as follows:



	For the Three Months Ended March 31,
	Con Edison		CECONY
(Millions of Dollars)	2018	2017	2018	2017
Beginning balance, accumulated OCI, net of taxes (a)	$(26)	$(27)	$(6)	$(7)
OCI before reclassifications, net of tax of $(1) and $1 for Con Edison in 2018 and 2017, respectively	3	(2)	—	—
Amounts reclassified from accumulated OCI related to pension plan liabilities, net of tax of $(1) for Con Edison in 2018 and 2017 (a)(b)	1	1	—	—
Current period OCI, net of taxes	4	(1)	—	—
Ending balance, accumulated OCI, net of taxes	$(22)	$(28)	$(6)	$(7)


(a)	Tax reclassified from accumulated OCI is reported in the income tax expense line item of the consolidated income statement.


(b)	For the portion of unrecognized pension and other postretirement benefit costs relating to the Utilities, costs are recorded into, and amortized out of, regulatory assets instead of OCI. The net actuarial losses and prior service costs recognized during the period are included in the computation of total periodic pension and other postretirement benefit cost. See Notes E and F.

Restrictions on Cash and Cash Equivalents

At March 31, 2018 and 2017, cash, temporary cash investments and restricted cash for Con Edison and CECONY are as follows:



	At March 31,
	Con Edison		CECONY
(Millions of Dollars)	2018	2017	2018	2017
Cash and temporary cash investments	$651	$67	$574	$17
Restricted cash (a)	32	35	—	2
Total cash, temporary cash investments and restricted cash	$683	$102	$574	$19

(a)

Restricted cash is comprised of funding reserved for CECONY construction expenditures ($2 million at March 31, 2017), RECO transition bond charge collections, net of principal, interest, trustee and service fees ($1 million and $2 million at March 31, 2018 and 2017, respectively) that are restricted until the bond matures in 2019, and the CEBs' cash collateral held for project finance agreements ($31 million at March 31, 2018 and 2017) that are restricted until varying maturity dates. For these projects, such funds are restricted to being used for normal operating expenses and capital expenditures, debt service, and required reserves.

Schedule of Cash and Cash Equivalents

At March 31, 2018 and 2017, cash, temporary cash investments and restricted cash for Con Edison and CECONY are as follows:



	At March 31,
	Con Edison		CECONY
(Millions of Dollars)	2018	2017	2018	2017
Cash and temporary cash investments	$651	$67	$574	$17
Restricted cash (a)	32	35	—	2
Total cash, temporary cash investments and restricted cash	$683	$102	$574	$19

(a)