Segment Information

12 Months Ended

Dec. 31, 2012

Segment Information

15. SEGMENT INFORMATION

Operating segments are components of an enterprise for which separate financial information is available and is evaluated regularly by the chief operating decision maker in assessing performance and deciding how to allocate resources. Substantially all of our business consists of the generation, transmission, distribution and sale of electric energy conducted through IPL which is a vertically integrated electric utility. IPALCO's reportable business segments are utility and nonutility. The nonutility category primarily includes the $400 million of 7.25% Senior Secured Notes due April 1, 2016 ("2016 IPALCO Notes") and the 2018 IPALCO Notes; approximately $6.4 million and $6.7 million of nonutility cash and cash equivalents, as of December 31, 2012 and 2011, respectively; short-term and long-term nonutility investments of $4.7 million and $4.6 million at December 31, 2012 and 2011, respectively; and income taxes and interest related to those items. Nonutility assets represented less than 1% of IPALCO's total assets as of December 31, 2012 and 2011. The accounting policies of the identified segments are consistent with those policies and procedures described in the summary of significant accounting policies. Intersegment sales, if any, are generally based on prices that reflect the current market conditions.

The following table provides information about IPALCO's business segments (in millions):

	2012			2011			2010
	Electric	All Other	Total	Electric	All Other	Total	Electric	All Other	Total
Operating revenues	$1,230	-	$1,230	$1,172	-	$1,172	$1,145	-	$1,145
Depreciation and amortization	177	-	177	167	-	167	164	-	164
Income taxes	68	(20)	48	66	(29)	37	76	(25)	51
Net income	104	(32)	72	105	(44)	61	120	(40)	80
Utility plant - net of depreciation	2,426	-	2,426	2,441	-	2,441	2,362	-	2,362
Capital expenditures	130	-	130	210	-	210	164	-	164

Indianapolis Power And Light Company [Member]

Segment Information

15. SEGMENT INFORMATION

Operating segments are components of an enterprise for which separate financial information is available and is evaluated regularly by the chief operating decision maker in assessing performance and deciding how to allocate resources. All of IPL's current business consists of the generation, transmission, distribution and sale of electric energy, and therefore IPL had only one reportable segment.