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SEGMENT INFORMATION
 3 Months Ended
Mar. 31, 2024
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
On January 1, 2024, FirstEnergy changed its reportable segments to include the following and continues to evaluate segment performance based on earnings attributable to FE:

•Distribution Segment, which consists of the Ohio Companies and FE PA;
•Integrated Segment, which consists of MP, PE and JCP&L; and
•Stand-Alone Transmission Segment, which consists of FE's ownership in FET and KATCo.

FE and its subsidiaries are principally involved in the transmission, distribution and generation of electricity through its reportable segments: Distribution, Integrated and Stand-Alone Transmission.

The segment reporting structure was modified to increase transparency for leadership and investors, simplify the presentation to corresponding legal entities, and align FirstEnergy’s earnings, cash flows and balance sheets at the business unit level. In accordance with GAAP, the modification to the segments in the first quarter of 2024 resulted in a transfer of goodwill between the segments based on the relative fair value of the reporting units, and as such, the segment goodwill balances do not necessarily represent the goodwill balances of the specific legal entities within the segments. The external segment reporting is consistent with the internal financial reports used by FirstEnergy's Chief Executive Officer (its chief operating decision maker) to regularly assess performance of the business and allocate resources. Disclosures for FirstEnergy's reportable operating segments for 2023 have been reclassified to conform to the current presentation reflecting the new reportable segments.

The Distribution segment, which consists of the Ohio Companies and FE PA, representing $10.9 billion in 2023 rate base, distributes electricity through FirstEnergy’s utility operating companies in Ohio and Pennsylvania. The Distribution segment serves approximately 4.2 million customers in Ohio and Pennsylvania across its distribution footprint and purchases power for its provider of last resort, SOS, standard service offer and default service requirements. The segment’s results reflect the costs of securing and delivering electric generation from transmission facilities to customers, including the deferral and amortization of certain costs.

The Integrated segment includes the distribution and transmission operations under JCP&L, MP and PE, as well as MP’s regulated generation operations, representing $8.7 billion in 2023 rate base. The Integrated segment distributes electricity to approximately 2 million customers in New Jersey, West Virginia and Maryland across its distribution footprint; provides transmission infrastructure in New Jersey, West Virginia, Maryland and Virginia to transmit electricity and operates 3,599 MWs of regulated net maximum capacity located primarily in West Virginia and Virginia. The segment will also include MP and PE’s 50 MWs of solar generation at five sites in West Virginia once complete. The first solar generation site, located in Maidsville, West Virginia, was completed and placed in-service on January 8, 2024, representing 19 MWs of net maximum capacity. Construction of the remaining four sites is expected to be completed no later than the end of 2025. The remaining four sites are expected to provide 31 MWs of net maximum capacity.

The Stand-Alone Transmission segment, which consists of FE's ownership in FET and KATCo, representing $7.7 billion in 2023 rate base, includes transmission infrastructure owned and operated by the Transmission Companies and used to transmit electricity. The segment’s revenues are primarily derived from forward-looking formula rates, pursuant to which the revenue
requirement is updated annually based on a projected rate base and projected costs, which is subject to an annual true-up based on actual rate base and costs. The segment’s results also reflect the net transmission expenses related to the delivery of electricity on FirstEnergy’s transmission facilities. KATCo, which was a subsidiary of FET, became a wholly owned subsidiary of FE prior to the closing of the FET P&SA I and remains in the Stand-Alone Transmission segment. On January 1, 2024, WP transferred certain of its Pennsylvania-based transmission assets to KATCo and for comparability, prior year results in the Stand-Alone Transmission segment reflects the earnings and results of those WP transmission assets.
Corporate/Other reflects corporate support and other costs not charged or attributable to the Utilities or Transmission Companies, including FE’s retained pension and OPEB assets and liabilities of former subsidiaries, interest expense on FE’s holding company debt and other investments or businesses that do not constitute an operating segment, including FEV’s investment of 33-1/3% equity ownership in Global Holding. Reconciling adjustments for the elimination of inter-segment transactions are shown separately in the following table of Segment Financial Information. Also included in Corporate/Other for segment reporting is 67 MWs of net maximum capacity, representing AE Supply’s OVEC capacity entitlement. As of March 31, 2024, Corporate/Other had approximately $6.5 billion of FE’s holding company debt.
Financial information for FirstEnergy’s reportable segments and reconciliations to consolidated amounts is presented below:
(In millions)
For the Three Months Ended
DistributionIntegratedStand-Alone TransmissionTotal Reportable
Segments		Corporate/ OtherReconciling AdjustmentsFirstEnergy Consolidated
March 31, 2024
External revenues$1,756 $1,094 $434 $3,284 $3 $— $3,287 
Internal revenues11 1 4 16 — (16)— 
Total revenues$1,767 $1,095 $438 $3,300 $3 $(16)$3,287 
Depreciation161 122 81 364 17 — 381 
Amortization (deferral) of regulatory assets, net(88)(78)2 (164)— — (164)
Equity method investment earnings— — — — 21 — 21 
Interest expense116 71 65 252 117 (64)305 
Income taxes (benefits)41 35 60 136 (1)— 135 
Earnings (losses) attributable to FE$165 $82 $84 $331 $(78)$— $253 
Cash Flows from Investing Activities:
Capital investments$215 $313 $258 $786 $4 $— $790 
March 31, 2023
External revenues$1,807 $1,026 $396 $3,229 $2 $— $3,231 
Internal revenues10 2 4 16 — (16)— 
Total revenues$1,817 $1,028 $400 $3,245 $2 $(16)$3,231 
Depreciation153 113 75 341 20 — 361 
Amortization (deferral) of regulatory assets, net(41)(40)1 (80)— — (80)
Equity method investment earnings— — — — 56 — 56 
Interest expense94 59 58 211 77 (25)263 
Income taxes (benefits)44 20 33 97 (7)— 90 
Earnings (losses) attributable to FE $186 $70 $96 $352 $(60)$— $292 
Cash Flows from Investing Activities:
Capital investments$193 $237 $212 $642 $7 $— $649 
As of March 31, 2024
Total assets$20,144 $17,627 $12,389 $50,160 $4,398 $(3,259)$51,299 
Total goodwill(1)
$3,222 $1,953 $443 $5,618 $— $— $5,618 
As of December 31, 2023
Total assets$19,235 $17,466 $12,142 $48,843 $2,372 $(2,448)$48,767 
Total goodwill(1)
$3,222 $1,953 $443 $5,618 $— $— $5,618 
(1) In accordance with GAAP, the modification to the segments in the first quarter of 2024, as discussed above, resulted in a transfer of goodwill between the segments based on the relative fair value of the reporting units, and as such, the segment goodwill balances do not necessarily represent the goodwill balances of the specific legal entities within the segments.