Condensed Consolidating Statements

6 Months Ended

Jun. 30, 2012

Condensed Consolidating Statements Disclosure [Abstract]

Condensed consolidating financials

15.CONDENSED CONSOLIDATING STATEMENTS

As discussed in Note 23 in the 2011 Form 10-K, we have guaranteed certain payments of two 100 percent owned indirect subsidiaries, FPC Capital I (the Trust) and Florida Progress Funding Corporation (Funding Corp.). Our guarantees are joint and several, full and unconditional and are in addition to the joint and several, full and unconditional guarantees issued to the Trust and Funding Corp. by Florida Progress. Our subsidiaries have provisions restricting the payment of dividends to the Parent in certain limited circumstances, and as disclosed in Note 12B in the 2011 Form 10-K, there were no restrictions on PEC's or PEF's retained earnings.

The Trust is a VIE of which we are not the primary beneficiary. Separate financial statements and other disclosures concerning the Trust have not been presented because we believe that such information is not material to investors.

Presented below are the condensed consolidating Statements of Comprehensive Income, Balance Sheets and Statements of Cash Flows as required by Rule 3-10 of Regulation S-X. In these condensed consolidating statements, the Parent column includes the financial results of the parent holding company only. The Subsidiary Guarantor column includes the consolidated financial results of Florida Progress only, which is primarily comprised of its wholly owned subsidiary PEF. The Non-guarantor Subsidiaries column includes the consolidated financial results of all non-guarantor subsidiaries, which is primarily comprised of our wholly owned subsidiary PEC. The Other column includes elimination entries for all intercompany transactions and other consolidation adjustments. Financial statements for PEC and PEF are separately presented elsewhere in this Form 10-Q. All applicable corporate expenses have been allocated appropriately among the guarantor and non-guarantor subsidiaries. The financial information may not necessarily be indicative of results of operations or financial position had the Subsidiary Guarantor or other non-guarantor subsidiaries operated as independent entities.

Condensed Consolidating Statement of Comprehensive Income
Three months ended June 30, 2012
(in millions)			Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
Operating revenues
	Operating revenues		$	0	$	1,191	$	1,082	$	0	$	2,273
	Affiliate revenues			0		0		72		(72)		0
		Total operating revenues		0		1,191		1,154		(72)		2,273
Operating expenses
	Fuel used in electric generation			0		390		346		0		736
	Purchased power			0		177		80		0		257
	Operation and maintenance			3		246		448		(70)		627
	Depreciation, amortization and accretion			0		92		139		0		231
	Taxes other than on income			0		90		54		(2)		142
	Other			0		4		2		(1)		5
		Total operating expenses		3		999		1,069		(73)		1,998
Operating (loss) income				(3)		192		85		1		275
Other income
	Interest income			0		1		0		0		1
	Allowance for equity funds used during construction			0		8		17		0		25
	Other, net			0		1		1		(1)		1
		Total other income, net		0		10		18		(1)		27
Interest charges
	Interest charges			64		79		60		0		203
	Allowance for borrowed funds used during construction			0		(5)		(6)		0		(11)
		Total interest charges, net		64		74		54		0		192
(Loss) income from continuing operations before income tax and equity in earnings of consolidated subsidiaries				(67)		128		49		0		110
Income tax (benefit) expense				(30)		49		18		5		42
Equity in earnings of consolidated subsidiaries				100		0		0		(100)		0
Income from continuing operations				63		79		31		(105)		68
Discontinued operations, net of tax				0		(3)		(1)		0		(4)
Net income				63		76		30		(105)		64
Net income attributable to noncontrolling interests, net of tax				0		(1)		0		0		(1)
Net income attributable to controlling interests			$	63	$	75	$	30	$	(105)	$	63
Comprehensive income
	Comprehensive income		$	59	$	76	$	25	$	(100)	$	60
	Comprehensive income attributable to noncontrolling interests, net of tax			0		(1)		0		0		(1)
		Comprehensive income attributable to controlling interests	$	59	$	75	$	25	$	(100)	$	59

Condensed Consolidating Statement of Comprehensive Income
Three months ended June 30, 2011
(in millions)			Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
Operating revenues
	Operating revenues		$	0	$	1,196	$	1,060	$	0	$	2,256
	Affiliate revenues			0		0		61		(61)		0
		Total operating revenues		0		1,196		1,121		(61)		2,256
Operating expenses
	Fuel used in electric generation			0		348		326		0		674
	Purchased power			0		256		73		0		329
	Operation and maintenance			1		223		343		(57)		510
	Depreciation, amortization and accretion			0		48		131		0		179
	Taxes other than on income			0		83		51		0		134
	Other			0		2		0		0		2
		Total operating expenses		1		960		924		(57)		1,828
Operating (loss) income				(1)		236		197		(4)		428
Other income
	Allowance for equity funds used during construction			0		8		18		0		26
	Other, net			4		1		0		2		7
		Total other income, net		4		9		18		2		33
Interest charges
	Interest charges			63		73		53		0		189
	Allowance for borrowed funds used during construction			0		(3)		(6)		0		(9)
		Total interest charges, net		63		70		47		0		180
(Loss) income from continuing operations before income tax and equity in earnings of consolidated subsidiaries				(60)		175		168		(2)		281
Income tax (benefit) expense				(24)		64		60		1		101
Equity in earnings of consolidated subsidiaries				212		0		0		(212)		0
Income from continuing operations				176		111		108		(215)		180
Discontinued operations, net of tax				0		(2)		0		0		(2)
Net income				176		109		108		(215)		178
Net income attributable to noncontrolling interests, net of tax				0		(1)		0		(1)		(2)
Net income attributable to controlling interests			$	176	$	108	$	108	$	(216)	$	176
Comprehensive income
	Comprehensive income		$	155	$	103	$	96	$	(197)	$	157
	Comprehensive income attributable to noncontrolling interests, net of tax			0		(1)		0		(1)		(2)
		Comprehensive income attributable to controlling interests	$	155	$	102	$	96	$	(198)	$	155

Condensed Consolidating Statement of Comprehensive Income
Six months ended June 30, 2012
(in millions)			Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
Operating revenues
	Operating revenues		$	0	$	2,198	$	2,167	$	0	$	4,365
	Affiliate revenues			0		0		131		(131)		0
		Total operating revenues		0		2,198		2,298		(131)		4,365
Operating expenses
	Fuel used in electric generation			0		726		695		0		1,421
	Purchased power			0		322		145		0		467
	Operation and maintenance			4		406		870		(124)		1,156
	Depreciation, amortization and accretion			0		119		278		0		397
	Taxes other than on income			0		172		112		(4)		280
	Other			0		4		2		(1)		5
		Total operating expenses		4		1,749		2,102		(129)		3,726
Operating (loss) income				(4)		449		196		(2)		639
Other income
	Interest income			1		1		0		0		2
	Allowance for equity funds used during construction			0		17		32		0		49
	Other, net			8		2		3		1		14
		Total other income, net		9		20		35		1		65
Interest charges
	Interest charges			130		152		115		0		397
	Allowance for borrowed funds used during construction			0		(9)		(11)		0		(20)
		Total interest charges, net		130		143		104		0		377
(Loss) income from continuing operations before income tax and equity in earnings of consolidated subsidiaries				(125)		326		127		(1)		327
Income tax (benefit) expense				(52)		122		45		3		118
Equity in earnings of consolidated subsidiaries				286		0		0		(286)		0
Income from continuing operations				213		204		82		(290)		209
Discontinued operations, net of tax				0		8		(1)		0		7
Net income				213		212		81		(290)		216
Net income attributable to noncontrolling interests, net of tax				0		(2)		0		(1)		(3)
Net income attributable to controlling interests			$	213	$	210	$	81	$	(291)	$	213
Comprehensive income
	Comprehensive income		$	214	$	213	$	80	$	(290)	$	217
	Comprehensive income attributable to noncontrolling interests, net of tax			0		(2)		0		(1)		(3)
		Comprehensive income attributable to controlling interests	$	214	$	211	$	80	$	(291)	$	214

Condensed Consolidating Statement of Comprehensive Income
Six months ended June 30, 2011
(in millions)			Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
Operating revenues
	Operating revenues		$	0	$	2,230	$	2,193	$	0	$	4,423
	Affiliate revenues			0		0		135		(135)		0
		Total operating revenues		0		2,230		2,328		(135)		4,423
Operating expenses
	Fuel used in electric generation			0		703		689		0		1,392
	Purchased power			0		409		140		0		549
	Operation and maintenance			4		434		694		(128)		1,004
	Depreciation, amortization and accretion			0		73		260		0		333
	Taxes other than on income			0		168		110		(4)		274
	Other			0		(8)		0		0		(8)
		Total operating expenses		4		1,779		1,893		(132)		3,544
Operating (loss) income				(4)		451		435		(3)		879
Other income (expense)
	Interest income			0		1		0		0		1
	Allowance for equity funds used during construction			0		17		38		0		55
	Other, net			4		6		(2)		2		10
		Total other income, net		4		24		36		2		66
Interest charges
	Interest charges			136		148		104		0		388
	Allowance for borrowed funds used during construction			0		(7)		(11)		0		(18)
		Total interest charges, net		136		141		93		0		370
(Loss) income from continuing operations before income tax and equity in earnings of consolidated subsidiaries				(136)		334		378		(1)		575
Income tax (benefit) expense				(55)		124		140		(1)		208
Equity in earnings of consolidated subsidiaries				441		0		0		(441)		0
Income from continuing operations				360		210		238		(441)		367
Discontinued operations, net of tax				0		(3)		(1)		0		(4)
Net income				360		207		237		(441)		363
Net income attributable to noncontrolling interests, net of tax				0		(2)		0		(1)		(3)
Net income attributable to controlling interests			$	360	$	205	$	237	$	(442)	$	360
Comprehensive income
	Comprehensive income		$	343	$	202	$	228	$	(427)	$	346
	Comprehensive income attributable to noncontrolling interests, net of tax			0		(2)		0		(1)		(3)
		Comprehensive income attributable to controlling interests	$	343	$	200	$	228	$	(428)	$	343

Condensed Consolidating Balance Sheet
June 30, 2012
(in millions)			Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
ASSETS
Utility plant, net			$	0	$	10,710	$	12,398	$	84	$	23,192
Current assets
	Cash and cash equivalents			6		33		34		0		73
	Receivables, net			0		375		474		0		849
	Notes receivable from affiliated companies			62		0		388		(450)		0
	Regulatory assets			0		266		36		0		302
	Derivative collateral posted			0		103		21		0		124
	Prepayments and other current assets			137		934		1,099		(131)		2,039
		Total current assets		205		1,711		2,052		(581)		3,387
Deferred debits and other assets
	Investment in consolidated subsidiaries			13,871		0		0		(13,871)		0
	Regulatory assets			0		1,481		1,473		0		2,954
	Goodwill			0		0		0		3,655		3,655
	Nuclear decommissioning trust funds			0		593		1,164		0		1,757
	Other assets and deferred debits			115		235		875		(446)		779
		Total deferred debits and other assets		13,986		2,309		3,512		(10,662)		9,145
		Total assets	$	14,191	$	14,730	$	17,962	$	(11,159)	$	35,724
CAPITALIZATION AND LIABILITIES
Equity
	Common stock equity		$	9,897	$	4,770	$	5,432	$	(10,202)	$	9,897
	Noncontrolling interests			0		3		0		0		3
		Total equity		9,897		4,773		5,432		(10,202)		9,900
	Preferred stock of subsidiaries			0		34		59		0		93
	Long-term debt, affiliate			0		309		0		(36)		273
	Long-term debt, net			3,992		4,057		4,690		0		12,739
		Total capitalization		13,889		9,173		10,181		(10,238)		23,005
Current liabilities
	Current portion of long-term debt			0		425		500		0		925
	Short-term debt			201		144		0		0		345
	Notes payable to affiliated companies			0		447		3		(450)		0
	Derivative liabilities			0		237		89		0		326
	Other current liabilities			78		912		1,117		(133)		1,974
		Total current liabilities		279		2,165		1,709		(583)		3,570
Deferred credits and other liabilities
	Noncurrent income tax liabilities			0		1,006		2,084		(420)		2,670
	Regulatory liabilities			0		905		1,622		85		2,612
	Other liabilities and deferred credits			23		1,481		2,366		(3)		3,867
		Total deferred credits and other liabilities		23		3,392		6,072		(338)		9,149
		Total capitalization and liabilities	$	14,191	$	14,730	$	17,962	$	(11,159)	$	35,724

Condensed Consolidating Balance Sheet
December 31, 2011
(in millions)			Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
ASSETS
Utility plant, net			$	0	$	10,523	$	11,887	$	87	$	22,497
Current assets
	Cash and cash equivalents			117		92		21		0		230
	Receivables, net			0		372		517		0		889
	Notes receivable from affiliated companies			53		0		219		(272)		0
	Regulatory assets			0		244		31		0		275
	Derivative collateral posted			0		123		24		0		147
	Prepayments and other current assets			128		852		1,049		(87)		1,942
		Total current assets		298		1,683		1,861		(359)		3,483
Deferred debits and other assets
	Investment in consolidated subsidiaries			14,043		0		0		(14,043)		0
	Regulatory assets			0		1,602		1,423		0		3,025
	Goodwill			0		0		0		3,655		3,655
	Nuclear decommissioning trust funds			0		559		1,088		0		1,647
	Other assets and deferred debits			140		242		856		(486)		752
		Total deferred debits and other assets		14,183		2,403		3,367		(10,874)		9,079
		Total assets	$	14,481	$	14,609	$	17,115	$	(11,146)	$	35,059
CAPITALIZATION AND LIABILITIES
Equity
	Common stock equity		$	10,021	$	4,728	$	5,646	$	(10,374)	$	10,021
	Noncontrolling interests			0		4		0		0		4
		Total equity		10,021		4,732		5,646		(10,374)		10,025
	Preferred stock of subsidiaries			0		34		59		0		93
	Long-term debt, affiliate			0		309		0		(36)		273
	Long-term debt, net			3,543		4,482		3,693		0		11,718
		Total capitalization		13,564		9,557		9,398		(10,410)		22,109
Current liabilities
	Current portion of long-term debt			450		0		500		0		950
	Short-term debt			250		233		188		0		671
	Notes payable to affiliated companies			0		238		34		(272)		0
	Derivative liabilities			38		268		130		0		436
	Other current liabilities			161		839		1,112		(84)		2,028
		Total current liabilities		899		1,578		1,964		(356)		4,085
Deferred credits and other liabilities
	Noncurrent income tax liabilities			0		837		1,976		(458)		2,355
	Regulatory liabilities			0		1,071		1,543		86		2,700
	Other liabilities and deferred credits			18		1,566		2,234		(8)		3,810
		Total deferred credits and other liabilities		18		3,474		5,753		(380)		8,865
		Total capitalization and liabilities	$	14,481	$	14,609	$	17,115	$	(11,146)	$	35,059

Condensed Consolidating Statement of Cash Flows
Six months ended June 30, 2012
(in millions)	Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
Net cash provided by operating activities	$	406	$	368	$	458	$	(481)	$	751
Investing activities
Gross property additions		0		(380)		(700)		0		(1,080)
Nuclear fuel additions		0		(15)		(50)		0		(65)
Purchases of available-for-sale securities and other investments		0		(354)		(271)		0		(625)
Proceeds from available-for-sale securities and other investments		0		354		256		0		610
Changes in advances to affiliated companies		(9)		0		(169)		178		0
Other investing activities		(13)		25		70		(1)		81
Net cash used by investing activities		(22)		(370)		(864)		177		(1,079)
Financing activities
Issuance of common stock, net		6		0		0		0		6
Dividends paid on common stock		(446)		0		0		0		(446)
Dividends paid to parent		0		(173)		(310)		483		0
Payments of short-term debt with original maturities greater than 90 days		0		(65)		0		0		(65)
Proceeds from issuance of short-term debt with original maturities greater than 90 days		0		65		0		0		65
Net decrease in short-term debt		(49)		(89)		(188)		0		(326)
Proceeds from issuance of long-term debt, net		444		0		988		0		1,432
Retirement of long-term debt		(450)		0		0		0		(450)
Changes in advances from affiliated companies		0		209		(31)		(178)		0
Other financing activities		0		(4)		(40)		(1)		(45)
Net cash (used) provided by financing activities		(495)		(57)		419		304		171
Net (decrease) increase in cash and cash equivalents		(111)		(59)		13		0		(157)
Cash and cash equivalents at beginning of period		117		92		21		0		230
Cash and cash equivalents at end of period	$	6	$	33	$	34	$	0	$	73

Condensed Consolidating Statement of Cash Flows
Six months ended June 30, 2011
(in millions)	Parent		Subsidiary Guarantor		Non-Guarantor Subsidiaries		Other		Progress Energy, Inc.
Net cash provided by operating activities	$	477	$	413	$	567	$	(677)	$	780
Investing activities
Gross property additions		0		(419)		(585)		0		(1,004)
Nuclear fuel additions		0		(13)		(80)		0		(93)
Purchases of available-for-sale securities and other investments		0		(3,093)		(294)		0		(3,387)
Proceeds from available-for-sale securities and other investments		0		3,095		269		0		3,364
Changes in advances to affiliated companies		(80)		22		40		18		0
Contributions to consolidated subsidiaries		(10)		0		0		10		0
Other investing activities		0		74		8		0		82
Net cash used by investing activities		(90)		(334)		(642)		28		(1,038)
Financing activities
Issuance of common stock, net		26		0		0		0		26
Dividends paid on common stock		(366)		0		0		0		(366)
Dividends paid to parent		0		(403)		(275)		678		0
Net increase in short-term debt		49		67		198		0		314
Proceeds from issuance of long-term debt, net		494		0		0		0		494
Retirement of long-term debt		(700)		0		0		0		(700)
Changes in advances from affiliated companies		0		16		3		(19)		0
Contributions from parent		0		10		0		(10)		0
Other financing activities		0		(6)		(63)		0		(69)
Net cash used by financing activities		(497)		(316)		(137)		649		(301)
Net decrease in cash and cash equivalents		(110)		(237)		(212)		0		(559)
Cash and cash equivalents at beginning of period		110		270		231		0		611
Cash and cash equivalents at end of period	$	0	$	33	$	19	$	0	$	52