Condensed Consolidating Financial Information

12 Months Ended

Dec. 31, 2018

Condensed Financial Information Disclosure [Abstract]

Condensed Consolidating Financial Information

As of December 31, 2018, the Company had outstanding $4.4 billion of Senior Notes due 2022 to 2048, as shown in Note 11, Debt and Capital Leases. These Senior Notes are guaranteed by certain of NRG's current and future 100% owned domestic subsidiaries, or guarantor subsidiaries. These guarantees are both joint and several. The non-guarantor subsidiaries include all of NRG's foreign subsidiaries and certain domestic subsidiaries.

Unless otherwise noted below, each of the following guarantor subsidiaries fully and unconditionally guaranteed the Senior Notes as of December 31, 2018:



Ace Energy, Inc.	NRG Advisory Services LLC	NRG Norwalk Harbor Operations Inc.
Allied Home Warranty GP LLC	NRG Affiliate Services Inc.	NRG Operating Services, Inc.
Allied Warranty LLC	NRG Arthur Kill Operations Inc.	NRG Oswego Harbor Power Operations Inc.
Arthur Kill Power LLC	NRG Astoria Gas Turbine Operations Inc.	NRG PacGen Inc.
Astoria Gas Turbine Power LLC	NRG Bayou Cove LLC	NRG Portable Power LLC
Bayou Cove Peaking Power, LLC	NRG Business Services LLC	NRG Power Marketing LLC
BidURenergy, Inc.	NRG Cabrillo Power Operations Inc.	NRG Reliability Solutions LLC
Cabrillo Power I LLC	NRG California Peaker Operations LLC	NRG Renter's Protection LLC
Cabrillo Power II LLC	NRG Cedar Bayou Development Company, LLC	NRG Retail LLC
Carbon Management Solutions LLC	NRG Connected Home LLC	NRG Retail Northeast LLC
Cirro Group, Inc.	NRG Connecticut Affiliate Services Inc.	NRG Rockford Acquisition LLC
Cirro Energy Services, Inc.	NRG Construction LLC	NRG Saguaro Operations Inc.
Connecticut Jet Power LLC	NRG Curtailment Solutions, Inc	NRG Security LLC
Cottonwood Development LLC	NRG Development Company Inc.	NRG Services Corporation
Cottonwood Energy Company LP	NRG Devon Operations Inc.	NRG SimplySmart Solutions LLC
Cottonwood Generating Partners I LLC	NRG Dispatch Services LLC	NRG South Central Affiliate Services Inc.
Cottonwood Generating Partners II LLC	NRG Distributed Energy Resources Holdings	NRG South Central Generating LLC
Cottonwood Generating Partners III LLC	NRG Distributed Generation PR LLC	NRG South Central Operations Inc.
Cottonwood Technology Partners LP	NRG Dunkirk Operations Inc.	NRG South Texas LP
Devon Power LLC	NRG El Segundo Operations Inc.	NRG Texas C&I Supply LLC
Dunkirk Power LLC	NRG Energy Efficiency-L LLC	NRG Texas Gregory LLC
Eastern Sierra Energy Company LLC	NRG Energy Labor Services LLC	NRG Texas Holding Inc.
El Segundo Power, LLC	NRG ECOKAP Holdings LLC	NRG Texas LLC
El Segundo Power II LLC	NRG Energy Services Group LLC	NRG Texas Power LLC
Energy Alternatives Wholesale, LLC	NRG Energy Services International Inc.	NRG Warranty Services LLC
Energy Choice Solutions LLC	NRG Energy Services LLC	NRG West Coast LLC
Energy Plus Holdings LLC	NRG Generation Holdings, Inc.	NRG Western Affiliate Services Inc.
Energy Plus Natural Gas LLC	NRG Greenco LLC	O'Brien Cogeneration, Inc. II
Energy Protection Insurance Company	NRG Home & Business Solutions LLC	ONSITE Energy, Inc.
Everything Energy LLC	NRG Home Services LLC	Oswego Harbor Power LLC
Forward Home Security, LLC	NRG Home Solutions LLC	Reliant Energy Northeast LLC
GCP Funding Company, LLC	NRG Home Solutions Product LLC	Reliant Energy Power Supply, LLC
Green Mountain Energy Company	NRG Homer City Services LLC	Reliant Energy Retail Holdings, LLC
Gregory Partners, LLC	NRG Huntley Operations Inc.	Reliant Energy Retail Services, LLC
Gregory Power Partners LLC	NRG HQ DG LLC	RERH Holdings, LLC
Huntley Power LLC	NRG Identity Protect LLC	Saguaro Power LLC
Independence Energy Alliance LLC	NRG Ilion Limited Partnership	Somerset Operations Inc.
Independence Energy Group LLC	NRG Ilion LP LLC	Somerset Power LLC
Independence Energy Natural Gas LLC	NRG International LLC	Texas Genco GP, LLC
Indian River Operations Inc.	NRG Maintenance Services LLC	Texas Genco Holdings, Inc.
Indian River Power LLC	NRG Mextrans Inc.	Texas Genco LP, LLC
Louisiana Generating LLC	NRG MidAtlantic Affiliate Services Inc.	Texas Genco Services, LP
Meriden Gas Turbines LLC	NRG Middletown Operations Inc.	US Retailers LLC
Middletown Power LLC	NRG Montville Operations Inc.	Vienna Operations Inc.
Montville Power LLC	NRG New Roads Holdings LLC	Vienna Power LLC
NEO Corporation	NRG North Central Operations Inc.	WCP (Generation) Holdings LLC
New Genco GP, LLC	NRG Northeast Affiliate Services Inc.	West Coast Power LLC
Norwalk Power LLC

The non-guarantor subsidiaries include all of NRG's foreign subsidiaries and certain domestic subsidiaries. NRG conducts much of its business through and derives much of its income from its subsidiaries. Therefore, the Company's ability to make required payments with respect to its indebtedness and other obligations depends on the financial results and condition of its subsidiaries and NRG's ability to receive funds from its subsidiaries. Except for NRG Bayou Cove, LLC, which is subject to certain restrictions under the Company's Peaker financing agreements, there are no restrictions on the ability of any of the guarantor subsidiaries to transfer funds to NRG. In addition, there may be restrictions for certain non-guarantor subsidiaries.

The following condensed consolidating financial information presents the financial information of NRG Energy, Inc., the guarantor subsidiaries and the non-guarantor subsidiaries in accordance with Rule 3-10 under the SEC's Regulation S-X. The financial information may not necessarily be indicative of results of operations or financial position had the guarantor subsidiaries or non-guarantor subsidiaries operated as independent entities.

In this presentation, NRG Energy, Inc. consists of parent company operations. Guarantor subsidiaries and non-guarantor subsidiaries of NRG are reported on an equity basis. For companies acquired, the fair values of the assets and liabilities acquired have been presented on a push-down accounting basis.

In addition, the condensed parent company financial statements are provided in accordance with Rule 12-04, Schedule I of Regulation S-X, as the restricted net assets of NRG Energy, Inc.'s subsidiaries exceed 25 percent of the consolidated net assets of NRG Energy, Inc. These statements should be read in conjunction with the consolidated statements and notes thereto of NRG Energy, Inc. For a discussion of NRG Energy, Inc.'s long-term debt, see Note 11, Debt and Capital Leases, to the consolidated financial statements. For a discussion of NRG Energy, Inc.'s contingencies, see Note 21, Commitments and Contingencies, to the consolidated financial statements. For a discussion of NRG Energy, Inc.'s guarantees, see Note 25, Guarantees, to the consolidated financial statements.

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

For the Year Ended December 31, 2018



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Operating Revenues
Total operating revenues	$	8,119		$	1,385		$	—		$	(26	)	$	9,478
Operating Costs and Expenses
Cost of operations	6,147			959			28			(26		)	7,108
Depreciation and amortization	238			150			33			—			421
Impairment losses	6			93			—			—			99
Selling, general and administrative	462			63			348			(74		)	799
Reorganization costs	4			—			86			—			90
Development costs	—			1			11			(1		)	11
Total operating costs and expenses	6,857			1,266			506			(101		)	8,528
Gain on sale of assets	4			28			—			—			32
Operating Income/(Loss)	1,266			147			(506		)	75			982
Other Income/(Expense)
Equity in earnings of consolidated subsidiaries	23			—			1,291			(1,314		)	—
Equity in earnings/(losses) of unconsolidated affiliates	—			10			(1		)	—			9
Impairment losses on investments	—			(15		)	—			—			(15		)
Other income/(expense), net	32			(13		)	(1		)	—			18
Loss on debt extinguishment, net	—			—			(44		)	—			(44		)
Interest expense	(14		)	(49		)	(420		)	—			(483		)
Total other income/(expense)	41			(67		)	825			(1,314		)	(515		)
Income from Continuing Operations Before Income Taxes	1,307			80			319			(1,239		)	467
Income tax expense/(benefit)	372			19			(384		)	—			7
Income from Continuing Operations	935			61			703			(1,239		)	460
Income/(Loss) from Discontinued Operations, net of income tax	62			75			(329		)	—			(192		)
Net Income	997			136			374			(1,239		)	268
Less: Net (loss)/income attributable to noncontrolling interests and redeemable noncontrolling interests	—			(181		)	106			75			—
Net Income Attributable to NRG Energy, Inc.	$	997		$	317		$	268		$	(1,314	)	$	268


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

For the Year Ended December 31, 2018



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Net Income	$	997		$	136		$	374		$	(1,239	)	$	268
Other Comprehensive Income, net of tax
Unrealized gain on derivatives, net	—			29			9			(15		)	23
Foreign currency translation adjustments, net	(10		)	(10		)	(13		)	22			(11		)
Available-for-sale securities, net	—			—			1			—			1
Defined benefit plan, net	(9		)	—			(35		)	9			(35		)
Other comprehensive (loss)/income	(19		)	19			(38		)	16			(22		)
Comprehensive Income	978			155			336			(1,223		)	246
Less: Comprehensive (loss)/income attributable to noncontrolling interests and redeemable noncontrolling interests	—			(166		)	104			76			14
Comprehensive Income Attributable to NRG Energy, Inc.	$	978		$	321		$	232		$	(1,299	)	$	232


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING BALANCE SHEETS

December 31, 2018



	Guarantor Subsidiaries		Non-Guarantor Subsidiaries			NRG Energy, Inc.			Eliminations^(a)			Consolidated Balance
	(In millions)
ASSETS
Current Assets
Cash and cash equivalents	$	55	$	28		$	480		$	—		$	563
Funds deposited by counterparties	33		—			—			—			33
Restricted cash	7		10			—			—			17
Accounts receivable - trade	894		82			43			—			1,019
Inventory	278		134			—			—			412
Derivative instruments	779		50			16			(81		)	764
Cash collateral posted in support of energy risk management activities	275		12			—			—			287
Accounts receivable - affiliate	460		33			266			(754		)	5
Prepayments and other current assets	180		32			90			—			302
Current assets - held-for-sale	—		1			—			—			1
Current assets - discontinued operations	177		20			—			—			197
Total current assets	3,138		402			895			(835		)	3,600
Property, plant and equipment, net	1,938		957			153			—			3,048
Other Assets
Investment in subsidiaries	446		—			4,707			(5,153		)	—
Equity investments in affiliates	—		412			—			—			412
Goodwill	359		214			—			—			573
Intangible assets, net	422		169			—			—			591
Nuclear decommissioning trust fund	663		—			—			—			663
Derivative instruments	296		4			22			(5		)	317
Deferred income taxes	6		(143		)	183			—			46
Other non-current assets	133		71			97			(12		)	289
Non-current assets - held-for-sale	—		77			—			—			77
Non-current assets - discontinued operations	405		607			—			—			1,012
Total other assets	2,730		1,411			5,009			(5,170		)	3,980
Total Assets	$	7,806	$	2,770		$	6,057		$	(6,005	)	$	10,628
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Current portion of long-term debt and capital leases	$	—	$	55		$	17		$	—		$	72
Accounts payable	693		64			105			—			862
Accounts payable - affiliate	675		(249		)	329			(754		)	1
Derivative instruments	713		41			—			(81		)	673
Cash collateral received in support of energy risk management activities	33		—			—			—			33
Accrued expenses and other current liabilities	291		36			353			—			680
Current liabilities - held-for-sale	—		5			—			—			5
Current liabilities - discontinued operations	24		48			—			—			72
Total current liabilities	2,429		—			804			(835		)	2,398
Other Liabilities
Long-term debt and capital leases	244		192			6,025			(12		)	6,449
Nuclear decommissioning reserve	282		—			—			—			282
Nuclear decommissioning trust liability	371		—			—			—			371
Postretirement and other benefit obligations	114		1			320			—			435
Derivative instruments	306		3			—			(5		)	304
Deferred income taxes	112		61			(108		)	—			65
Out-of-market contracts, net	—		121			—			—			121
Other non-current liabilities	288		198			232			—			718
Non-current liabilities - held-for-sale	—		65			—			—			65
Non-current liabilities - discontinued operations	58		577			—			—			635
Total non-current liabilities	1,775		1,218			6,469			(17		)	9,445
Total Liabilities	4,204		1,218			7,273			(852		)	11,843
Redeemable noncontrolling interest in subsidiaries	—		19			—			—			19
Stockholders' Equity	3,602		1,533			(1,216		)	(5,153		)	(1,234		)
Total Liabilities and Stockholders' Equity	$	7,806	$	2,770		$	6,057		$	(6,005	)	$	10,628


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

For the Year Ended December 31, 2018



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Cash Flows from Operating Activities
Net income	$	997		$	136		$	374		$	(1,239	)	$	268
Income/(loss) from discontinued operations	62			75			(329		)	—			(192		)
Net income from continuing operations	935			61			703			(1,239		)	460
Adjustments to reconcile net income to net cash provided by operating activities:
Distributions and equity in earnings of unconsolidated affiliates	—			47			(1		)	—			46
Depreciation, amortization and accretion	266			160			33			—			459
Provision for bad debts	79			6			—			—			85
Amortization of nuclear fuel	48			—			—			—			48
Amortization of financing costs and debt discount/premiums	—			6			23			—			29
Adjustment for debt extinguishment	—			—			44			—			44
Amortization of intangibles and out-of-market contracts	36			9			—			—			45
Amortization of unearned equity compensation	—			—			25			—			25
Net (gain)/loss on sale of assets and equity/cost method investments	(30		)	(20		)	1			—			(49		)
Impairment losses	5			109			—			—			114
Changes in derivative instruments	25			15			11			(14		)	37
Changes in deferred income taxes and liability for uncertain tax benefits	372			5			(372		)	—			5
Changes in collateral deposits in support of energy risk management activities	(94		)	(11		)	—			—			(105		)
Changes in nuclear decommissioning trust liability	60			—			—			—			60
GenOn settlement, net of insurance proceeds	—			—			(63		)	—			(63		)
Net loss on deconsolidation of Agua Caliente and Ivanpah projects	—			13			—			—			13
Changes in other working capital	311			(193		)	(1,621		)	1,253			(250		)
Cash provided/(used) by continuing operations	2,013			207			(1,217		)	—			1,003
Cash provided by discontinued operations	89			285			—			—			374
Net Cash Provided/(Used) by Operating Activities	2,102			492			(1,217		)	—			1,377
Cash Flows from Investing Activities
Acquisition of businesses, net of cash acquired	(40		)	(203		)	—			—			(243		)
Capital expenditures	(192		)	(151		)	(45		)	—			(388		)
Net proceeds from sale of emission allowances	19			—			—			—			19
Investments in nuclear decommissioning trust fund securities	(572		)	—			—			—			(572		)
Proceeds from sales of nuclear decommissioning trust fund securities	513			—			—			—			513
Proceeds from sale of assets, net of cash disposed and sale of discontinued operations, net of fees	14			8			1,542			—			1,564
Deconsolidation of Agua Caliente and Ivanpah projects	—			(268		)	—			—			(268		)
Changes in investments in unconsolidated affiliates	—			(39		)	—			—			(39		)
Net (contributions to)/distributions from discontinued operations	—			(60		)	—			—			(60		)
Other	—			—			(6		)	—			(6		)
Cash (used)/provided by continuing operations	(258		)	(713		)	1,491			—			520
Cash used by discontinued operations	—			(725		)	—			—			(725		)
Net Cash (Used)/Provided by Investing Activities	(258		)	(1,438		)	1,491			—			(205		)
Cash Flows from Financing Activities
Payments (for)/from intercompany loans	(1,701		)	113			1,588			—			—
Payments of dividends to preferred and common stockholders	—			—			(37		)	—			(37		)
Payments for treasury stock	—			—			(1,250		)	—			(1,250		)
Payments for debt extinguishment costs	—			—			(32		)	—			(32		)
Net distributions to noncontrolling interests from subsidiaries	—			(16		)	—			—			(16		)
Proceeds from issuance of common stock	—			—			21			—			21
Proceeds from issuance of long-term debt	—			163			937			—			1,100
Payments of debt issuance costs	—			—			(19		)	—			(19		)
Payments for short and long-term debt	—			(138		)	(1,596		)	—			(1,734		)
Receivable from affiliate	—			—			(26		)	—			(26		)
Other	—			(4		)	—			—			(4		)
Cash (used)/provided by continuing operations	(1,701		)	118			(414		)	—			(1,997		)
Cash provided by discontinued operations	—			471			—			—			471
Net Cash (Used)/Provided by Financing Activities	(1,701		)	589			(414		)	—			(1,526		)
Effect of exchange rate changes on cash and cash equivalents	—			1			—			—			1
Change in cash from discontinued operations	89			31			—			—			120
Net Increase/(Decrease) in Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties	54			(387		)	(140		)	—			(473		)
Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties at Beginning of Period	41			425			620			—			1,086
Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties at End of Period	$	95		$	38		$	480		$	—		$	613


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

For the Year Ended December 31, 2017



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Operating Revenues
Total operating revenues	$	7,818		$	1,304		$	—		$	(48	)	$	9,074
Operating Costs and Expenses
Cost of operations	5,998			862			72			(46		)	6,886
Depreciation and amortization	343			221			32			—			596
Impairment losses	1,346			188			—			—			1,534
Selling, general and administrative	410			64			364			(2		)	836
Reorganization costs	6			—			38			—			44
Development costs	—			4			18			—			22
Total operating costs and expenses	8,103			1,339			524			(48		)	9,918
Other income - affiliate	—			—			87			—			87
Gain on sale of assets	4			12			—			—			16
Operating Loss	(281		)	(23		)	(437		)	—			(741		)
Other Income/(Expense)
Equity in earnings of consolidated subsidiaries	18			—			28			(46		)	—
Equity in losses of unconsolidated affiliates	—			(10		)	(4		)	—			(14		)
Impairment losses on investments	—			(75		)	(4		)	—			(79		)
Other income, net	9			14			28			—			51
Loss on debt extinguishment, net	—			—			(49		)	—			(49		)
Interest expense	(14		)	(91		)	(452		)	—			(557		)
Total other income/(expense)	13			(162		)	(453		)	(46		)	(648		)
Loss from Continuing Operations Before Income Taxes	(268		)	(185		)	(890		)	(46		)	(1,389		)
Income tax (benefit)/expense	(598		)	(62		)	616			—			(44		)
Income/(Loss) from Continuing Operations	330			(123		)	(1,506		)	(46		)	(1,345		)
Income/(Loss) from Discontinued Operations, net of income tax	91			(420		)	(663		)	—			(992		)
Net Income/(Loss)	421			(543		)	(2,169		)	(46		)	(2,337		)
Less: Net loss attributable to noncontrolling interests and redeemable noncontrolling interests	—			(168		)	(16		)	—			(184		)
Net Income/(Loss) Attributable to NRG Energy, Inc.	$	421		$	(375	)	$	(2,153	)	$	(46	)	$	(2,153	)


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME/(LOSS)

For the Year Ended December 31, 2017



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Net Income/(Loss)	$	421		$	(543	)	$	(2,169	)	$	(46	)	$	(2,337	)
Other Comprehensive Income/(Loss), net of tax
Unrealized gain on derivatives, net	1			13			25			(26		)	13
Foreign currency translation adjustments, net	6			7			—			(1		)	12
Available-for-sale securities, net	—			—			(8		)	—			(8		)
Defined benefit plan, net	(13		)	30			41			(12		)	46
Other comprehensive (loss)/income	(6		)	50			58			(39		)	63
Comprehensive Income/(Loss)	415			(493		)	(2,111		)	(85		)	(2,274		)
Less: Comprehensive loss attributable to noncontrolling interests and redeemable noncontrolling interests	—			(103		)	(16		)	(60		)	(179		)
Comprehensive Income/(Loss) Attributable to NRG Energy, Inc.	$	415		$	(390	)	$	(2,095	)	$	(25	)	$	(2,095	)


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING BALANCE SHEETS

December 31, 2017



	Guarantor Subsidiaries		Non-Guarantor Subsidiaries			NRG Energy, Inc.			Eliminations^(a)			Consolidated Balance
	(In millions)
ASSETS
Current Assets
Cash and cash equivalents	$	—	$	150		$	620		$	—		$	770
Funds deposited by counterparties	37		—			—			—			37
Restricted cash	4		275			—			—			279
Accounts receivable - trade	852		44			4			—			900
Inventory	307		146			—			—			453
Derivative instruments	647		24			10			(57		)	624
Cash collateral posted in support of energy risk management activities	170		1			—			—			171
Accounts receivable - affiliate	685		183			(154		)	(534		)	180
Prepayments and other current assets	106		30			27			—			163
Current assets - held-for-sale	8		108			—			—			116
Current assets - discontinued operations	89		655			—			—			744
Total current assets	2,905		1,616			507			(591		)	4,437
Property, plant and equipment, net	2,052		3,689			237			(4		)	5,974
Other Assets
Investment in subsidiaries	266		—			8,234			(8,500		)	—
Equity investments in affiliates	—		181			1			—			182
Goodwill	359		180			—			—			539
Intangible assets, net	455		55			—			(3		)	507
Nuclear decommissioning trust fund	692		—			—			—			692
Derivative instruments	126		2			31			—			159
Deferred income taxes	377		(135		)	(236		)	—			6
Other non-current assets	64		126			120			—			310
Non-current assets - held for sale	—		43			—			—			43
Non-current assets - discontinued operations	456		10,072			—			(22		)	10,506
Total other assets	2,795		10,524			8,150			(8,525		)	12,944
Total Assets	$	7,752	$	15,829		$	8,894		$	(9,120	)	$	23,355
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Current portion of long-term debt and capital leases	$	—	$	183		$	21		$	—		$	204
Accounts payable	582		47			55			—			684
Accounts payable - affiliate	725		(310		)	176			(534		)	57
Derivative instruments	556		38			—			(57		)	537
Cash collateral received in support of energy risk management activities	37		—			—			—			37
Accrued expenses and other current liabilities	313		67			376			—			756
Accrued expenses and other current liabilities - affiliate	—		—			161			—			161
Current liabilities - held-for-sale	—		72			—			—			72
Current liabilities - discontinued operations	34		807			5			—			846
Total current liabilities	2,247		904			794			(591		)	3,354
Other Liabilities
Long-term debt and capital leases	244		2,197			6,739			—			9,180
Nuclear decommissioning reserve	269		—			—			—			269
Nuclear decommissioning trust liability	415		—			—			—			415
Postretirement and other benefit obligations	118		1			339			—			458
Derivative instruments	136		7			—			—			143
Deferred income taxes	112		64			(155		)	—			21
Out-of-market contracts, net	—		129			—			—			129
Other non-current liabilities	284		198			52			—			534
Non-current liabilities - held-for-sale	—		8			—			—			8
Non-current liabilities - discontinued operations	73		6,725			—			—			6,798
Total non-current liabilities	1,651		9,329			6,975			—			17,955
Total Liabilities	3,898		10,233			7,769			(591		)	21,309
Redeemable noncontrolling interest in subsidiaries	—		78			—			—			78
Stockholders' Equity	3,854		5,518			1,125			(8,529		)	1,968
Total Liabilities and Stockholders' Equity	$	7,752	$	15,829		$	8,894		$	(9,120	)	$	23,355


(a)	All significant intercompany transactions have been eliminated in consolidation

NERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

For the Year Ended December 31, 2017



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Cash Flows from Operating Activities
Net income/(loss)	$	421		$	(543	)	$	(2,169	)	$	(46	)	$	(2,337	)
Income/(loss) from discontinued operations	91			(420		)	(663		)	—			(992		)
Net income/(loss) from continuing operations	330			(123		)	(1,506		)	(46		)	(1,345		)
Adjustments to reconcile net income/(loss) to net cash provided by operating activities:
Distributions and equity in earnings of unconsolidated affiliates	—			12			90			—			102
Depreciation, amortization and accretion	343			221			32			—			596
Provision for bad debts	56			—			12			—			68
Amortization of nuclear fuel	51			—			—			—			51
Amortization of financing costs and debt discount/premiums	—			13			16			—			29
Adjustment for debt extinguishment	—			—			49			—			49
Amortization of intangibles and out-of-market contracts	42			12			—			—			54
Amortization of unearned equity compensation	—			—			35			—			35
Net loss/(gain) on sale of assets and equity/cost method investments	2			(11		)	—			—			(9		)
Impairment losses	1,346			264			4			—			1,614
Changes in derivative instruments	(214		)	50			(4		)	(2		)	(170		)
Changes in deferred income taxes and liability for uncertain tax benefits	(300		)	(9		)	322			—			13
Changes in collateral deposits in support of energy risk management activities	(98		)	18			—			—			(80		)
Changes in nuclear decommissioning trust liability	11			—			—			—			11
Changes in other working capital	82			(354		)	62			48			(162		)
Cash provided/(used) by continuing operations	1,651			93			(888		)	—			856
Cash provided by discontinued operations	116			638			—			—			754
Net Cash Provided/(Used) by Operating Activities	1,767			731			(888		)	—			1,610
Cash Flows from Investing Activities
Acquisition of businesses, net of cash acquired	(14		)	—			—			—			(14		)
Capital expenditures	(180		)	(43		)	(31		)	—			(254		)
Proceeds from renewable energy grants	—			8			—			—			8
Net proceeds from sale of emission allowances	66			—			—			—			66
Investments in nuclear decommissioning trust fund securities	(512		)	—			—			—			(512		)
Proceeds from sales of nuclear decommissioning trust fund securities	501			—			—			—			501
Proceeds from sale of assets, net of cash disposed and sale of discontinued operations, net of fees	33			54			343			—			430
Changes in investments in unconsolidated affiliates	—			(57		)	—			—			(57		)
Net distributions from discontinued operations	—			—			150			—			150
Other	18			4			—			—			22
Cash (used)/provided by continuing operations	(88		)	(34		)	462			—			340
Cash used by discontinued operations	(13		)	(966		)	—			—			(979		)
Net Cash (Used)/Provided by Investing Activities	(101		)	(1,000		)	462			—			(639		)
Cash Flows from Financing Activities
Payments (for)/from intercompany loans	(1,525		)	(39		)	1,564			—			—
Payment of dividends to preferred and common stockholders	—			—			(38		)	—			(38		)
Payments for debt extinguishment costs	—			—			(42		)	—			(42		)
Net distributions to noncontrolling interests from subsidiaries	—			(30		)	—			—			(30		)
Payments for issuance of common stock	—			—			(2		)	—			(2		)
Proceeds from issuance of long-term debt	—			94			1,084			—			1,178
Payment of debt issuance costs	—			(2		)	(16		)	—			(18		)
Payments for short and long-term debt	—			(183		)	(1,701		)	—			(1,884		)
Receivable from affiliate	—			—			(125		)	—			(125		)
Other	—			(8		)	—			—			(8		)
Cash (used)/provided by continuing operations	(1,525		)	(168		)	724			—			(969		)
Cash used by discontinued operations	(109		)	(60		)	—			—			(169		)
Net Cash (Used)/Provided by Financing Activities	(1,634		)	(228		)	724			—			(1,138		)
Effect of exchange rate changes on cash and cash equivalents	—			(1		)	—			—			(1		)
Change in cash from discontinued operations	(6		)	(388		)	—			—			(394		)
Net Increase/(Decrease) in Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties	38			(110		)	298			—			226
Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties at Beginning of Period	3			535			322			—			860
Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties at End of Period	$	41		$	425		$	620		$	—		$	1,086

(a) All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

For the Year Ended December 31, 2016



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc.			Eliminations^(a)			Consolidated Balance
	(In millions)
Operating Revenues
Total operating revenues	$	7,539		$	1,450		$	—		$	(74	)	$	8,915
Operating Costs and Expenses
Cost of operations	5,581			1,116			59			(80		)	6,676
Depreciation and amortization	500			230			26			—			756
Impairment losses	370			113			—			—			483
Selling, general and administrative	430			144			458			—			1,032
Development costs	—			18			30			—			48
Total operating costs and expenses	6,881			1,621			573			(80		)	8,995
Other income - affiliate	—			—			193			—			193
Loss on sale of assets	(1		)	—			(79		)	—			(80		)
Operating Income/(Loss)	657			(171		)	(459		)	6			33
Other (Expense)/Income
Equity in (losses)/earnings of consolidated subsidiaries	(50		)	—			374			(324		)	—
Equity in earnings/(losses) of unconsolidated affiliates	5			(9		)	(4		)	(10		)	(18		)
Impairment losses on investments	—			(252		)	(16		)	—			(268		)
Other income, net	5			15			27			—			47
Net loss on debt extinguishment	—			(4		)	(138		)	—			(142		)
Interest expense	(15		)	(85		)	(483		)	—			(583		)
Total other expense	(55		)	(335		)	(240		)	(334		)	(964		)
Income/(Loss) from Continuing Operations Before Income Taxes	602			(506		)	(699		)	(328		)	(931		)
Income tax (benefit)/expense	(1		)	28			(2		)	—			25
Income/(Loss) from Continuing Operations	603			(534		)	(697		)	(328		)	(956		)
Income/(Loss) from Discontinued Operations, net of income tax	86			—			(21		)	—			65
Net Income/(Loss)	689			(534		)	(718		)	(328		)	(891		)
Less: Net (loss)/income attributable to noncontrolling interests and redeemable noncontrolling interests	—			(169		)	56			(4		)	(117		)
Net Income/(Loss) Attributable to NRG Energy, Inc.	$	689		$	(365	)	$	(774	)	$	(324	)	$	(774	)


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME/(LOSS)

For the Year Ended December 31, 2016



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Net Income/(Loss)	$	689		$	(534	)	$	(718	)	$	(328	)	$	(891	)
Other Comprehensive Income/(Loss), net of tax
Unrealized gain on derivatives, net	—			32			89			(86		)	35
Foreign currency translation adjustments, net	(1		)	(1		)	(1		)	2			(1		)
Available-for-sale securities, net	—			—			1			—			1
Defined benefit plan, net	44			(13		)	(51		)	23			3
Other comprehensive income	43			18			38			(61		)	38
Comprehensive Income/(Loss)	732			(516		)	(680		)	(389		)	(853		)
Less: Comprehensive (loss)/income attributable to noncontrolling interest	—			(103		)	56			(70		)	(117		)
Comprehensive Income/(Loss) Attributable to NRG Energy, Inc.	732			(413		)	(736		)	(319		)	(736		)
Dividends for preferred shares	—			—			5			—			5
Gain on redemption of preferred shares	—			—			(78		)	—			(78		)
Comprehensive Income/(Loss) Available for Common Stockholders	$	732		$	(413	)	$	(663	)	$	(319	)	$	(663	)


(a)	All significant intercompany transactions have been eliminated in consolidation

NRG ENERGY, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

For the Year Ended December 31, 2016



	Guarantor Subsidiaries			Non-Guarantor Subsidiaries			NRG Energy, Inc. (Note Issuer)			Eliminations^(a)			Consolidated Balance
	(In millions)
Cash Flows from Operating Activities
Net income/(loss)	$	689		$	(534	)	$	(718	)	$	(328	)	$	(891	)
Income/(loss) from discontinued operations	86			—			(21		)	—			65
Net income/(loss) from continuing operations	603			(534		)	(697		)	(328		)	(956		)
Adjustments to reconcile net income/(loss) to net cash provided/(used) by operating activities:
Distributions and equity in earnings of unconsolidated affiliates	(5		)	(14		)	86			—			67
Depreciation, amortization and accretion	508			238			26			—			772
Provision for bad debts	42			3			—			—			45
Amortization of nuclear fuel	49			—			—			—			49
Amortization of financing costs and debt discount/premiums	—			13			20			—			33
Adjustment for debt extinguishment	—			4			138			—			142
Amortization of intangibles and out-of-market contracts	56			12			—			—			68
Amortization of unearned equity compensation	—			—			10			—			10
Net loss on sale of assets and equity/cost method investments	70			—			69			—			139
Impairment losses	370			365			16			—			751
Changes in derivative instruments	28			21			(36		)	3			16
Changes in deferred income taxes and liability for uncertain tax benefits	(1		)	49			(60		)	—			(12		)
Changes in collateral deposits in support of energy risk management activities	384			12			—			—			396
Changes in nuclear decommissioning trust liability	41			—			—			—			41
Changes in other working capital	(139		)	(54		)	(256		)	325			(124		)
Cash provided/(used) by continuing operations	2,006			115			(684		)	—			1,437
Cash provided by discontinued operations	174			297			—			—			471
Net Cash Provided/(Used) by Operating Activities	2,180			412			(684		)	—			1,908
Cash Flows from Investing Activities
Acquisition of business, net of cash acquired	—			—			—			—			—
Capital expenditures	(172		)	(326		)	(46		)	—			(544		)
Proceeds from renewable energy grants	—			36			—			—			36
Net purchases of emission allowances	(1		)	—			—			—			(1		)
Investments in nuclear decommissioning trust fund securities	(551		)	—			—			—			(551		)
Proceeds from sales of nuclear decommissioning trust fund securities	510			—			—			—			510
Proceeds from sale of assets, net of cash disposed and sale of discontinued operations, net of fees	—			56			185			—			241
Changes in investments in unconsolidated affiliates	—			(33		)	—			—			(33		)
Net distributions to discontinued operations	—			—			(58		)	—			(58		)
Other	27			4			—			—			31
Cash (used)/provided by continuing operations	(187		)	(263		)	81			—			(369		)
Cash used by discontinued operations	(9		)	(379		)	—			—			(388		)
Net Cash (Used)/Provided by Investing Activities	(196		)	(642		)	81			—			(757		)
Cash Flows from Financing Activities
Payments (for)/from intercompany loans	(1,856		)	375			1,481			—			—
Payment of dividends to preferred and common stockholders	—			—			(76		)	—			(76		)
Payment for preferred shares	—			—			(226		)	—			(226		)
Payments for debt extinguishment costs	—			—			(121		)	—			(121		)
Net distributions to noncontrolling interest from subsidiaries	—			(27		)	—			—			(27		)
Proceeds from issuance of common stock	—			—			1			—			1
Proceeds from issuance of long-term debt	—			271			4,141			—			4,412
Payments of debt issuance costs	—			—			(61		)	—			(61		)
Payments for short and long-term debt	(2		)	(221		)	(4,923		)	—			(5,146		)
Other	(3		)	(4		)	—			—			(7		)
Cash (used)/provided by continuing operations	(1,861		)	394			216			—			(1,251		)
Cash (used)/provided by discontinued operations	(163		)	646			—			—			483
Net Cash (Used)/Provided by Financing Activities	(2,024		)	1,040			216			—			(768		)
Effect of exchange rate changes on cash and cash equivalents	—			1			—			—			1
Change in cash from discontinued operations	2			564			—			—			566
Net (Decrease)/Increase in Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties	(42		)	247			(387		)	—			(182		)
Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties at Beginning of Period	45			288			709			—			1,042
Cash and Cash Equivalents, Restricted Cash, and Funds Deposited by Counterparties at End of Period	$	3		$	535		$	322		$	—		$	860

(a) All significant intercompany transactions have been eliminated in consolidation