2.2.0.25falsefalse00219 - Disclosure - Impairment of Long-Lived Assetstruefalsefalse1falsefalseUSDfalsefalse1/1/2010 - 12/31/2010 USD ($) USD ($) / shares $Jan-01-2010_Dec-31-2010http://www.sec.gov/CIK0001031296duration2010-01-01T00:00:002010-12-31T00:00:00USDStandardhttp://www.xbrl.org/2003/iso4217USDiso42170PureStandardhttp://www.xbrl.org/2003/instancepurexbrli0SharesStandardhttp://www.xbrl.org/2003/instancesharesxbrli0USDEPSDividehttp://www.xbrl.org/2003/iso4217USDiso4217http://www.xbrl.org/2003/instancesharesxbrli0USDUSD$2true0us-gaap_AssetImpairmentChargesAbstractus-gaaptruenadurationNo definition available.falsefalsefalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsefalsefalseOtherxbrli:stringItemTypestringNo definition available.falsefalseIMPAIRMENT OF LONG-LIVED ASSETS [Abstract]3false0fe_AssetImpairmentChargesTextBlockfefalsenadurationAsset Impairment Charges.falsefalsefalsefalsefalsefalsefalsefalsefalsefalseverboselabel1falsefalsefalse00  <div style="font-family: Helvetica,Arial,sans-serif; margin-left: 0in; "> <div align="justify" style="font-size: 10pt; margin-top: 10pt"><b>19. IMPAIRMENT OF LONG-LIVED ASSETS</b> </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt">FirstEnergy reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of such assets may not be recoverable. The recoverability of a long-lived asset is measured by comparing its carrying value to the sum of undiscounted future cash flows expected to result from the use and eventual disposition of the asset. If the carrying value is greater than the undiscounted cash flows, impairment exists and a loss is recognized for the amount by which the carrying value of the long-lived asset exceeds its estimated fair value. </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%"><i>Coal-Fired FGCO Units</i> </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt">On August 12, 2010, FirstEnergy announced its intention to make operational changes at certain coal-fired FGCO units. The announcement of the operational change indicated a need to evaluate the future recoverability of the carrying value of the assets associated with the affected FGCO units. As a result of the recoverability evaluation, FirstEnergy recorded an impairment of $303 million to continuing operations of its competitive energy services segment during the year ended December 31, 2010. This impairment represents a $296 million write down of the carrying value of the assets associated with the affected FGCO units to their estimated fair value and a charge of $7 million for excessive or obsolete inventory identified as a result of the operational changes. </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt">FirstEnergy used various assumptions in evaluating whether the FGCO units’ carrying value was recoverable. The estimated undiscounted cash flows were based on assumptions about budgeted net operating income; the impact of current market conditions on future revenues including a long-term view of future market prices; the impact of reduced customer demand; and the estimated cost of remedial retro-fitting of the FGCO units to comply with proposed changes in federal environmental laws. The result of this evaluation indicated that the carrying costs of the FGCO units were not fully recoverable. </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt">FirstEnergy further evaluated the extent to which the carrying value of the FGCO units exceeded their estimated fair value. FirstEnergy applied the income approach to estimating fair value under a discounted cash flow valuation technique to convert future cash flows expected over the remaining life of the asset group to a single present value. The assumptions used to estimate the non-recurring fair value measurement of the FGCO units applied significant unobservable inputs considered Level 3 under the fair value hierarchy. The estimated cash flows used during the recoverability test were discounted using the weighted average cost of capital for a market participant. </div>   </div>  <div style="font-family: Helvetica,Arial,sans-serif; margin-left: 0in; "> <div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%"><i>Mad River</i> </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt">On November 10, 2010, a planned demolition of a 275-foot stack at FGCO’s Mad River Plant resulted in the demolished stack falling in the wrong direction and destroying two generating units at the Mad River plant. The accident resulted in a $5 million write-off of the total carrying value of the assets associated with the destroyed units and a charge of $1 million for fuel oil inventory deemed to be excessive or obsolete as a result of the accident. FirstEnergy recorded an impairment of $6 million to continuing operations of its competitive energy services segment for the year ended December 31, 2010. </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%"><i>R.E. Burger Biomass Units</i> </div> <div align="justify" style="font-size: 10pt; margin-top: 10pt">In 2010 FirstEnergy announced that it was canceling its plan to repower Units 4 and 5 at its R. E. Burger Plant to generate electricity principally with biomass, and instead permanently shut down the units as of December 31, 2010. Since the Burger biomass repowering project was announced, market prices for electricity have fallen significantly and no longer supported a repowered Burger Plant. FirstEnergy’s announcement indicated a need to evaluate the future recoverability of the carrying value of the assets associated with the affected Burger units. As a result of the recoverability evaluation, FirstEnergy recorded an impairment of $72 million to continuing operations of its competitive energy services segment for the year ended December 31, 2010. This impairment represents a $69 million write down of the carrying value of the assets associated with the affected Burger units to their estimated fair value and a charge of $3 million for excessive or obsolete inventory identified as a result of the permanent shut down of the Burger units. </div> </div>  <!-- Begin Block Tagged NotefalsefalsefalsefalsefalseOtherus-types:textBlockItemTypestringAsset Impairment Charges.No authoritative reference available.falsefalseIMPAIRMENT OF LONG-LIVED ASSETS12Impairment of Long-Lived AssetsUnKnownUnKnownUnKnownUnKnownfalsetrue