INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2016

INCOME TAXES

Provision (benefit) for federal, state and local income taxes

For the years ended December 31,	United States Federal			State and Local			Total
	(in millions)
2016
Current	$	—		$	—		$	—
Deferred	(66		)	(12		)	(78		)
	$	(66	)	$	(12	)	$	(78	)
2015
Current	$	255		$	81		$	336
Deferred	(1,961		)	(297		)	(2,258		)
	$	(1,706	)	$	(216	)	$	(1,922	)
2014
Current	$	66		$	99		$	165
Deferred	(840		)	(312		)	(1,152		)
	$	(774	)	$	(213	)	$	(987	)

Reconciliation of the United States federal statutory income tax rate to our effective tax rate stated as a percentage of pre-tax income or loss

	For the years ended December 31,
	2016		2015		2014
United States federal statutory tax rate	35	%	35	%	35	%
State income taxes, net of federal	6		5		6
Valuation allowance	199		(7	)	—
Cancellation of debt income	(288	)	—		—
Stock-based compensation	3		—		—
Federal effect of state taxes on the above items	5		2		—
Other	1		—		—
Effective tax rate	(39	)%	35	%	41	%

Tax effects of temporary differences resulting in deferred income taxes

	2016						2015
	Deferred Tax Assets			Deferred Tax Liabilities			Deferred Tax Assets			Deferred Tax Liabilities
	(in millions)
Debt	$	693		$	—		$	608		$	—
Property, plant and equipment differences	60			(335		)	132			(427		)
Postretirement benefit accruals	45			—			41			—
Deferred compensation and benefits	74			—			75			—
Asset retirement obligations	183			—			156			—
Federal effect of state income taxes	—			—			28			(24		)
Net operating loss carryforward	61			—			7			—
All other	39			(40		)	47			(3		)
Subtotal	1,155			(375		)	1,094			(454		)
Valuation allowance	(780		)	—			(382		)	—
Total net deferred taxes	$	375		$	(375	)	$	712		$	(454	)