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SEGMENT AND RELATED INFORMATION | 12 Months Ended
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Dec. 31, 2021
Segment Reporting [Abstract] |
SEGMENT AND RELATED INFORMATION | SEGMENT AND RELATED INFORMATION Southern Company Southern Company's reportable business segments are the sale of electricity by the traditional electric operating companies, the sale of electricity in the competitive wholesale market by Southern Power, and the sale of natural gas and other complementary products and services by Southern Company Gas. Revenues from sales by Southern Power to the traditional electric operating companies were $515 million, $364 million, and $398 million in 2021, 2020, and 2019, respectively. Revenues from sales of natural gas from Southern Company Gas to the traditional electric operating companies and Southern Power were immaterial and $18 million, respectively, in 2021 (which represented sales from Sequent through June 30, 2021), immaterial and $26 million, respectively, in 2020, and $14 million and $64 million, respectively, in 2019. The "All Other" column includes the Southern Company parent entity, which does not allocate operating expenses to business segments. Also, this category includes segments below the quantitative threshold for separate disclosure. These segments include providing distributed energy and resilience solutions and deploying microgrids for commercial, industrial, governmental, and utility customers, as well as investments in telecommunications and leveraged lease projects. All other inter-segment revenues are not material. Financial data for business segments and products and services for the years ended December 31, 2021, 2020, and 2019 was as follows:
| Electric Utilities |  |  |  |
| Traditional Electric Operating Companies | Southern Power | Eliminations | Total | Southern Company Gas | All Other | Eliminations | Consolidated
| (in millions)
2021 |  |  |  |  |  |  |  |
Operating revenues | $ | 16,614 |  | $ | 2,216 |  | $ | (530) |  | $ | 18,300 |  | $ | 4,380 |  | $ | 582 |  | $ | (149) |  | $ | 23,113 |
Depreciation and amortization | 2,436 |  | 517 |  | — |  | 2,953 |  | 536 |  | 76 |  | — |  | 3,565 |
Interest income | 20 |  | 1 |  | — |  | 21 |  | — |  | 4 |  | (3) |  | 22 |
Earnings from equity method investments | 1 |  | — |  | — |  | 1 |  | 50 |  | 24 |  | 1 |  | 76 |
Interest expense | 821 |  | 147 |  | — |  | 968 |  | 238 |  | 631 |  | — |  | 1,837 |
Income taxes (benefit) | 232 |  | (13) |  | — |  | 219 |  | 275 |  | (227) |  | — |  | 267 |
Segment net income (loss)(a)(b)(c)(d)(e)(f) | 1,981 |  | 266 |  | — |  | 2,247 |  | 539 |  | (384) |  | (9) |  | 2,393 |
Goodwill | — |  | 2 |  | — |  | 2 |  | 5,015 |  | 263 |  | — |  | 5,280 |
Assets held for sale | 39 |  | — |  | — |  | 39 |  | — |  | 3 |  | — |  | 42 |
Total assets | 89,051 |  | 13,390 |  | (667) |  | 101,774 |  | 23,560 |  | 2,975 |  | (775) |  | 127,534 |
2020 |  |  |  |  |  |  |  |
Operating revenues | $ | 15,135 |  | $ | 1,733 |  | $ | (371) |  | $ | 16,497 |  | $ | 3,434 |  | $ | 596 |  | $ | (152) |  | $ | 20,375 |
Depreciation and amortization | 2,447 |  | 494 |  | — |  | 2,941 |  | 500 |  | 77 |  | — |  | 3,518 |
Interest income | 26 |  | 4 |  | — |  | 30 |  | 5 |  | 6 |  | (4) |  | 37 |
Earnings from equity method investments | — |  | — |  | — |  | — |  | 141 |  | 12 |  | — |  | 153 |
Interest expense | 825 |  | 151 |  | — |  | 976 |  | 231 |  | 614 |  | — |  | 1,821 |
Income taxes (benefit) | 514 |  | 3 |  | — |  | 517 |  | 173 |  | (297) |  | — |  | 393 |
Segment net income (loss)(a)(b)(f)(g)(h) | 2,877 |  | 238 |  | — |  | 3,115 |  | 590 |  | (592) |  | 6 |  | 3,119 |
Goodwill | — |  | 2 |  | — |  | 2 |  | 5,015 |  | 263 |  | — |  | 5,280 |
Assets held for sale | 5 |  | — |  | — |  | 5 |  | — |  | 55 |  | — |  | 60 |
Total assets | 85,486 |  | 13,235 |  | (680) |  | 98,041 |  | 22,630 |  | 3,168 |  | (904) |  | 122,935 |
2019 |  |  |  |  |  |  |  |
Operating revenues | $ | 15,569 |  | $ | 1,938 |  | $ | (412) |  | $ | 17,095 |  | $ | 3,792 |  | $ | 690 |  | $ | (158) |  | $ | 21,419 |
Depreciation and amortization | 1,993 |  | 479 |  | — |  | 2,472 |  | 487 |  | 79 |  | — |  | 3,038 |
Interest income | 38 |  | 9 |  | — |  | 47 |  | 3 |  | 16 |  | (6) |  | 60 |
Earnings from equity method investments | 2 |  | 3 |  | — |  | 5 |  | 157 |  | — |  | — |  | 162 |
Interest expense | 818 |  | 169 |  | — |  | 987 |  | 232 |  | 517 |  | — |  | 1,736 |
Income taxes (benefit) | 764 |  | (56) |  | — |  | 708 |  | 130 |  | 960 |  | — |  | 1,798 |
Segment net income (loss)(a)(f)(i)(j)(k) | 2,929 |  | 339 |  | — |  | 3,268 |  | 585 |  | 908 |  | (22) |  | 4,739 |
Goodwill | — |  | 2 |  | — |  | 2 |  | 5,015 |  | 263 |  | — |  | 5,280 |
Assets held for sale | — |  | 618 |  | — |  | 618 |  | 171 |  | — |  | — |  | 789 |
Total assets | 81,063 |  | 14,300 |  | (713) |  | 94,650 |  | 21,687 |  | 3,511 |  | (1,148) |  | 118,700 |
(a)Attributable to Southern Company. (b)For the traditional electric operating companies, includes pre-tax charges at Georgia Power for estimated losses associated with the construction of Plant Vogtle Units 3 and 4 of $1.7 billion ($1.3 billion after tax) in 2021 and $325 million ($242 million after tax) in 2020. See Note 2 under "Georgia Power – Nuclear Construction" for additional information. (c)For Southern Power, includes gains on wind turbine equipment contributed to various equity method investments totaling approximately $37 million pre-tax ($28 million after tax). See Notes 7 and 15 under "Southern Power" for additional information. (d)For Southern Company Gas, includes a pre-tax gain of $121 million ($92 million after tax) related to its sale of Sequent, as well as the resulting $85 million of additional tax expense due to changes in state apportionment rates, and pre-tax impairment charges totaling $84 million ($67 million after tax) related to its equity method investment in the PennEast Pipeline project. See Notes 7 and 15 under "Southern Company Gas" for additional information. (e)For the "All Other" column, includes a pre-tax gain of $93 million ($99 million gain after tax) associated with the termination of two leveraged leases projects. See Note 15 under "Southern Company" for additional information. (f)For the "All Other" column, includes pre-tax impairment charges totaling $7 million ($6 million after tax) in 2021, $206 million ($105 million after tax) in 2020, and $17 million ($13 million after tax) in 2019 related to leveraged lease investments. See Notes 9 and 15 under "Southern Company Leveraged Lease" and "Southern Company," respectively, for additional information. (g)For Southern Power, includes a $39 million pre-tax gain ($23 million gain after tax) on the sale of Plant Mankato. See Note 15 under "Southern Power" for additional information. (h)For Southern Company Gas, includes a $22 million pre-tax gain ($16 million gain after tax) on the sale of Jefferson Island. See Note 15 under "Southern Company Gas" for additional information. (i)For Southern Power, includes a $23 million pre-tax gain ($88 million gain after tax) on the sale of Plant Nacogdoches. See Note 15 under "Southern Power" for additional information. (j)For Southern Company Gas, includes pre-tax impairment charges totaling $115 million ($86 million after tax). See Note 15 under "Southern Company Gas" for additional information. (k)For the "All Other" column, includes the pre-tax gain associated with the sale of Gulf Power of $2.6 billion ($1.4 billion after tax) and the pre-tax loss, including related impairment charges, on the sales of certain PowerSecure business units totaling $58 million ($52 million after tax). See Note 15 under "Southern Company" for additional information. Products and Services
Electric Utilities' Revenues
Year | Retail |  | Wholesale |  | Other |  | Total
| (in millions)
2021 | $ | 14,852 |  |  | $ | 2,455 |  |  | $ | 993 |  |  | $ | 18,300 |
2020 | 13,643 |  |  | 1,945 |  |  | 909 |  |  | 16,497 |
2019 | 14,084 |  |  | 2,152 |  |  | 859 |  |  | 17,095 |
Southern Company Gas' Revenues
Year | Gas Distribution Operations |  | Gas Marketing Services |  |  |  | All Other |  |  | Total
| (in millions)
2021 | $ | 3,656 |  |  | $ | 475 |  |  |  |  | $ | 249 |  |  |  | $ | 4,380 |
2020 | 2,902 |  |  | 408 |  |  |  |  | 124 |  |  |  | 3,434 |
2019 | 3,001 |  |  | 456 |  |  |  |  | 335 |  |  |  | 3,792 |
Southern Company Gas Southern Company Gas manages its business through three reportable segments - gas distribution operations, gas pipeline investments, and gas marketing services. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' reportable segments also included wholesale gas services. The non-reportable segments are combined and presented as all other. See Note 15 under "Southern Company Gas" for additional information on the disposition activities described herein. Gas distribution operations is the largest component of Southern Company Gas' business and includes natural gas local distribution utilities that construct, manage, and maintain intrastate natural gas pipelines and gas distribution facilities in four states. Gas pipeline investments consists of joint ventures in natural gas pipeline investments including a 50% interest in SNG and a 50% joint ownership interest in the Dalton Pipeline. These natural gas pipelines enable the provision of diverse sources of natural gas supplies to the customers of Southern Company Gas. Gas pipeline investments also includes a 20% ownership interest in the PennEast Pipeline project, which was cancelled in September 2021, and through its March 24, 2020 sale, included a 5% ownership interest in the Atlantic Coast Pipeline construction project. See Notes 5 and 7 for additional information. Through July 1, 2021, wholesale gas services provided natural gas asset management and/or related logistics services for each of Southern Company Gas' utilities except Nicor Gas as well as for non-affiliated companies. Additionally, wholesale gas services engaged in natural gas storage and gas pipeline arbitrage and related activities. Gas marketing services provides natural gas marketing to end-use customers primarily in Georgia and Illinois through SouthStar. The all other column includes segments and subsidiaries that fall below the quantitative threshold for separate disclosure, including storage and fuels operations. The all other column included Jefferson Island through its sale on December 1, 2020, Pivotal LNG through its sale on March 24, 2020, and the investment in Triton through its sale on May 29, 2019. Financial data for business segments for the years ended December 31, 2021, 2020, and 2019 was as follows:
| Gas Distribution Operations | Gas Pipeline Investments | Wholesale Gas Services(a) | Gas Marketing Services | Total | All Other | Eliminations | Consolidated
| (in millions)
2021 |  |  |  |  |
Operating revenues | $ | 3,679 |  | $ | 32 |  | $ | 188 |  | $ | 475 |  | $ | 4,374 |  | $ | 38 |  | $ | (32) |  | $ | 4,380 |
Depreciation and amortization | 482 |  | 5 |  | — |  | 18 |  | 505 |  | 31 |  | — |  | 536 |
Operating income (loss) | 708 |  | 21 |  | 241 |  | 125 |  | 1,095 |  | (40) |  | — |  | 1,055 |
Earnings from equity method investments | — |  | 50 |  | — |  | — |  | 50 |  | — |  | — |  | 50 |
Interest expense | 207 |  | 25 |  | 2 |  | 3 |  | 237 |  | 1 |  | — |  | 238 |
Income taxes (benefit) | 120 |  | 27 |  | 32 |  | 34 |  | 213 |  | 62 |  | — |  | 275 |
Segment net income (loss)(b)(c)(d) | 412 |  | 19 |  | 107 |  | 88 |  | 626 |  | (87) |  | — |  | 539 |
Total assets | 20,917 |  | 1,467 |  | 31 |  | 1,556 |  | 23,971 |  | 12,114 |  | (12,525) |  | 23,560 |
2020 |  |  |  |  |
Operating revenues | $ | 2,952 |  | $ | 32 |  | $ | 74 |  | $ | 408 |  | $ | 3,466 |  | $ | 36 |  | $ | (68) |  | $ | 3,434 |
Depreciation and amortization | 442 |  | 5 |  | 1 |  | 22 |  | 470 |  | 30 |  | — |  | 500 |
Operating income (loss) | 655 |  | 20 |  | 20 |  | 119 |  | 814 |  | (7) |  | 5 |  | 812 |
Earnings from equity method investments | — |  | 141 |  | — |  | — |  | 141 |  | — |  | — |  | 141 |
Interest expense | 192 |  | 29 |  | 4 |  | 3 |  | 228 |  | 3 |  | — |  | 231 |
Income taxes (benefit) | 114 |  | 33 |  | 3 |  | 28 |  | 178 |  | (5) |  | — |  | 173 |
Segment net income (loss)(e) | 390 |  | 99 |  | 14 |  | 89 |  | 592 |  | (2) |  | — |  | 590 |
Total assets | 19,090 |  | 1,597 |  | 850 |  | 1,503 |  | 23,040 |  | 11,336 |  | (11,746) |  | 22,630 |
2019 |  |  |  |  |
Operating revenues | $ | 3,028 |  | $ | 32 |  | $ | 294 |  | $ | 456 |  | $ | 3,810 |  | $ | 44 |  | $ | (62) |  | $ | 3,792 |
Depreciation and amortization | 422 |  | 5 |  | 1 |  | 26 |  | 454 |  | 33 |  | — |  | 487 |
Operating income (loss) | 573 |  | 20 |  | 219 |  | 112 |  | 924 |  | (154) |  | — |  | 770 |
Earnings from equity method investments | — |  | 162 |  | — |  | — |  | 162 |  | (5) |  | — |  | 157 |
Interest expense | 187 |  | 30 |  | 5 |  | 3 |  | 225 |  | 7 |  | — |  | 232 |
Income taxes (benefit) | 63 |  | 58 |  | 52 |  | 27 |  | 200 |  | (70) |  | — |  | 130 |
Segment net income (loss)(f) | 337 |  | 94 |  | 163 |  | 83 |  | 677 |  | (92) |  | — |  | 585 |
Total assets | 18,204 |  | 1,678 |  | 850 |  | 1,496 |  | 22,228 |  | 10,759 |  | (11,300) |  | 21,687 |
(a)The revenues for wholesale gas services are netted with costs associated with its energy and risk management activities. A reconciliation of operating revenues and intercompany revenues is shown in the following table.
| Third Party Gross Revenues | Intercompany Revenues | Total Gross Revenues | Less Gross Gas Costs | Operating Revenues
| (in millions)
2021 | $ | 3,881 |  | $ | 90 |  | $ | 3,971 |  | $ | 3,783 |  | $ | 188 |
2020 | 4,544 |  | 115 |  | 4,659 |  | 4,585 |  | 74 |
2019 | 5,703 |  | 275 |  | 5,978 |  | 5,684 |  | 294 |
(b)For gas pipeline investments, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to the equity method investment in the PennEast Pipeline project. See Note 7 under "Southern Company Gas" for additional information. (c)For wholesale gas services, includes a pre-tax gain of $121 million ($92 million after tax) related to the sale of Sequent. (d)For the "All Other" column, includes $85 million of additional tax expense due to changes in state apportionment rates as a result of the sale of Sequent. (e)For the "All Other" column include s a $22 million pre-tax gain ($16 million g ain after tax) on the sale of Jefferson Island. (f)For the "All Other" column, includes pre-tax impairment charges totaling $115 million ($86 million after tax). See Note 15 under "Southern Company Gas" for additional information.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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