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Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
Assets and Liabilities Measured on Recurring Basis
The following tables set forth the recurring assets and liabilities that are accounted for at fair value by level within the fair value hierarchy:
 
March 31, 2020
 
December 31, 2019
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Assets
(In millions)
Corporate debt securities
$
—

 
$
124

 
$
—

 
$
124

 
$
—

 
$
135

 
$
—

 
$
135

Derivative assets FTRs(1)
—

 
—

 
—

 
—

 
—

 
—

 
4

 
4

Equity securities(2)
2

 
—

 
—

 
2

 
2

 
—

 
—

 
2

U.S. state debt securities
—

 
274

 
—

 
274

 
—

 
271

 
—

 
271

Other(3)
166

 
802

 
—

 
968

 
627

 
789

 
—

 
1,416

Total assets
$
168

 
$
1,200

 
$
—

 
$
1,368

 
$
629

 
$
1,195

 
$
4

 
$
1,828

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative liabilities FTRs(1)
$
—

 
$
—

 
$
(1
)
 
$
(1
)
 
$
—

 
$
—

 
$
(1
)
 
$
(1
)
Derivative liabilities NUG contracts(1)
—

 
—

 
(6
)
 
(6
)
 
—

 
—

 
(16
)
 
(16
)
Total liabilities
$
—

 
$
—

 
$
(7
)
 
$
(7
)
 
$
—

 
$
—

 
$
(17
)
 
$
(17
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net assets (liabilities)(4)
$
168

 
$
1,200

 
$
(7
)
 
$
1,361

 
$
629

 
$
1,195

 
$
(13
)
 
$
1,811


(1) 
Contracts are subject to regulatory accounting treatment and changes in market values do not impact earnings.
(2) 
NDT funds hold equity portfolios whose performance is benchmarked against the S&P 500 Low Volatility High Dividend Index, S&P 500 Index and MSCI AC World IMI Index.
(3) 
Primarily consists of short-term cash investments.
(4) 
Excludes $(18) million and $(16) million as of March 31, 2020 and December 31, 2019, respectively, of receivables, payables, taxes and accrued income associated with financial instruments reflected within the fair value table.
Reconciliation of Changes in the Fair Value Roll Forward of Level 3 Measurements of NUG Contracts
The following table provides a reconciliation of changes in the fair value of NUG contracts and FTRs that are classified as Level 3 in the fair value hierarchy for the periods ended March 31, 2020, and December 31, 2019:
 
NUG Contracts(1)
 
FTRs(1)
 
Derivative Assets
 
Derivative Liabilities
 
Net
 
Derivative Assets
 
Derivative Liabilities
 
Net
 
(In millions)
January 1, 2019 Balance
$
—

 
$
(44
)
 
$
(44
)
 
$
10

 
$
(1
)
 
$
9

Unrealized gain
—

 
(11
)
 
(11
)
 
(1
)
 
—

 
(1
)
Purchases
—

 
—

 
—

 
6

 
(4
)
 
2

Settlements
—

 
39

 
39

 
(11
)
 
4

 
(7
)
December 31, 2019 Balance
$
—

 
$
(16
)
 
$
(16
)
 
$
4

 
$
(1
)
 
$
3

Unrealized loss
—

 
(3
)
 
(3
)
 
—

 
—

 
—

Purchases
—

 
—

 
—

 
—

 
—

 
—

Settlements
—

 
13

 
13

 
(4
)
 
—

 
(4
)
March 31, 2020 Balance
$
—

 
$
(6
)
 
$
(6
)
 
$
—

 
$
(1
)
 
$
(1
)

(1) 
Contracts are subject to regulatory accounting treatment and changes in market values do not impact earnings.
Quantitative Information for Level 3 Valuation
The following table provides quantitative information for FTRs and NUG contracts that are classified as Level 3 in the fair value hierarchy for the period ended March 31, 2020:
 
 
Fair Value, Net (In millions)
 
Valuation
Technique
 
Significant Input
 
Range
 
Weighted Average
 
Units
FTRs
 
$
(1
)
 
Model
 
RTO auction clearing prices
 
$(0.10) to $2.10
 
$0.50
 
Dollars/MWH
 
 
 
 
 
 
 
 
 
 
 
 
 
NUG Contracts
 
$
(6
)
 
Model
 
Generation
 
400 to 109,000
 
27,000

 
MWH
 
 
 
Regional electricity prices
 
$20.50 to $34.70
 
$21.60
 
Dollars/MWH
Amortized Cost Basis, Unrealized Gains and Losses and Fair Values of Investments in Available-for-sale Securities
The following table summarizes the amortized cost basis, unrealized gains, unrealized losses and fair values of investments held in NDT and nuclear fuel disposal trusts as of March 31, 2020, and December 31, 2019:
 
 
March 31, 2020(1)
 
December 31, 2019(2)
 
 
Cost Basis
 
Unrealized Gains
 
Unrealized Losses
 
Fair Value (3)
 
Cost Basis
 
Unrealized Gains
 
Unrealized Losses
 
Fair Value (3)
 
 
(In millions)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt securities
 
$
405

 
$
8

 
$
(16
)
 
$
397

 
$
403

 
$
9


$
(11
)
 
$
401



(1) Excludes short-term cash investments of $753 million, of which $751 million is classified as held for sale.
(2) Excludes short-term cash investments of $751 million, of which $747 million is classified as held for sale.
(3) Includes $124 million and $135 million classified as held for sale as of March 31, 2020 and December 31, 2019, respectively.
Proceeds from the Sale of Investments in Available-for-sale Securities, Realized Gains and Losses on Those Sales, and Interest and Dividend Income
Proceeds from the sale of investments in equity and AFS debt securities, realized gains and losses on those sales and interest and dividend income for the three months ended March 31, 2020 and 2019, were as follows:
 
 
For the Three Months Ended March 31,
 
 
 
2020
 
2019
 
 
 
(In millions)
 
Sale proceeds
 
$
13

 
$
153

 
Realized gains
 
4

 
7

 
Realized losses
 
(5
)
 
(6
)
 
Interest and dividend income
 
5

 
9

 
Fair Value and Related Carrying Amounts of Long-term Debt and Other Long-term Obligations The following table provides the approximate fair value and related carrying amounts of long-term debt, which excludes finance lease obligations and net unamortized debt issuance costs, premiums and discounts as of March 31, 2020 and December 31, 2019:
 
March 31, 2020
 
December 31, 2019
 
(In millions)
Carrying value (1)
$
21,297

 
$
20,074

Fair value
$
23,576

 
$
22,928



(1) The carrying value as of March 31, 2020, includes $2 billion of debt issuances and $778 million of redemptions that occurred in 2020.