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Equity | 12 Months Ended
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Dec. 31, 2014
Equity [Abstract] |
Equity | EQUITY Equity Transactions with Noncontrolling Interests Dominican Republic — On September 2, 2014, the Company executed an agreement with the Estrella and Linda Groups, an investor-based group in the Dominican Republic, to form a strategic partnership. Under the terms of the agreement, the Estrella and Linda Groups acquired an 8% noncontrolling interest in our businesses in the Dominican Republic for $84 million, with options to acquire an additional 2% for $24 million at any time between the closing date and December 31, 2015, and an additional 10% for $125 million at any time between the closing date and December 31, 2016. The transaction closed on December 19, 2014. As a result of this transaction, $29 million was recognized in equity as Additional Paid-In Capital and no gain or loss was recognized in net income as the sale is not considered to be a sale of in-substance real estate. As the Company maintained control after the sale, our businesses in the Dominican Republic continue to be consolidated by the Company within the MCAC SBU reportable segment. Masinloc — On June 25, 2014, the Company executed an agreement to sell approximately 45% of its interest in Masin-AES Pte Ltd., a wholly-owned subsidiary that owns the Company's business interests in the Philippines, for $453 million, subject to certain purchase price adjustments. On July 15, 2014, the Company completed the Masinloc sale transaction and received cumulative net proceeds of $436 million, including $23 million contingent upon the achievement of certain restructuring efficiencies. The transaction was accounted for as a sale of in-substance real estate. Noncontrolling interest of $130 million and a pretax gain on sale of investment of approximately $283 million, net of transaction costs, were recognized during the third quarter of 2014. The portion of the proceeds related to the contingency has been deferred. After completion of the sale, the Company owns a 51% net ownership interest in Masinloc and will continue to manage and operate the plant, with 41% owned by Electricity Generating Public Company Limited and 8% owned by the International Finance Corporation. As the Company maintained control after the sale, Masinloc continues to be accounted for as a consolidated subsidiary within the Asia SBU reportable segment. IPALCO — On December 15, 2014, the Company executed an agreement with La Caisse de depot et placement du Quebec ("CDPQ"). Under the agreement, CDPQ will purchase 15% of AES US Investment, Inc., a wholly-owned subsidiary that owns 100% of IPALCO Enterprises, Inc. ("IPALCO"), for $247 million . This transaction closed on February 11, 2015. Under the agreement, CDPQ will invest an additional $349 million in IPALCO through 2016 in exchange for a 17.65% equity stake, by funding existing growth and environmental projects at Indianapolis Power & Light Company. Upon completion of these transactions, CDPQ's direct and indirect interests in IPALCO will total 30%. As the Company maintained control after the sale, IPALCO continues to be accounted for as a consolidated subsidiary within the US SBU reportable segment. The following table summarizes the net income (loss) attributable to The AES Corporation and all transfers (to) from noncontrolling interests for the periods indicated:
|  | December 31,
|  | 2014 |  | 2013
|  | (in millions)
Net income (loss) attributable to The AES Corporation |  | $ | 769 |  |  | $ | 114 |
Transfers (to) from the noncontrolling interest: |  |  |  |
Net increase in The AES Corporation's paid-in capital for sale of subsidiary shares |  | 29 |  |  | 16 |
Increase (decrease) in The AES Corporation's paid-in capital for purchase of subsidiary shares |  | 7 |  |  | (6 | )
Net transfers (to) from noncontrolling interest |  | 36 |  |  | 10 |
Change from net income attributable to The AES Corporation and transfers (to) from noncontrolling interests |  | $ | 805 |  |  | $ | 124 |
Accumulated Other Comprehensive Loss The changes in AOCL by component, net of tax and noncontrolling interests for the year ended December 31, 2014 were as follows:
|  | Foreign currency translation adjustment, net |  | Unrealized derivative losses, net |  | Unfunded pension obligations, net |  | Total
|  | (in millions)
Balance at the beginning of the period |  | $ | (2,284 | ) |  | $ | (307 | ) |  | $ | (291 | ) |  | $ | (2,882 | )
Other comprehensive loss before reclassifications |  | (366 | ) |  | (180 | ) |  | (14 | ) |  | (560 | )
Amount reclassified to earnings |  | $ | 34 |  |  | $ | 72 |  |  | $ | 10 |  |  | 116 |
Other comprehensive loss |  | (332 | ) |  | (108 | ) |  | (4 | ) |  | (444 | )
Balance sheet reclassification related to an equity method investment (1) |  | $ | 21 |  |  | $ | 19 |  |  | $ | — |  |  | $ | 40 |
Balance at the end of the period |  | (2,595 | ) |  | (396 | ) |  | (295 | ) |  | (3,286 | )
(1) Reclassification resulting from Silver Ridge transaction. See Note 8—Investments In and Advances to Affiliates for further information. Reclassifications out of accumulated other comprehensive loss for the periods indicated were as follows:
Details About |  |  |  | December 31,
AOCL Components |  | Affected Line Item in the Consolidated Statements of Operations |  | 2014 |  | 2013
Foreign currency translation adjustment, net |  | (in millions) (1)
|  | Gain on sale of investments |  | $ | 4 |  |  | $ | (2 | )
|  | Net gain (loss) from disposal and impairments of discontinued operations |  | (38 | ) |  | (35 | )
|  | Net income (loss) attributable to The AES Corporation |  | $ | (34 | ) |  | $ | (37 | )
Unrealized derivative losses, net |  |
|  | Non-regulated revenue |  | $ | 30 |  |  | $ | (3 | )
|  | Non-regulated cost of sales |  | (4 | ) |  | (7 | )
|  | Interest expense |  | (139 | ) |  | (137 | )
|  | Gain on disposal and sale of investments |  | — |  |  | (21 | )
|  | Foreign currency transaction gains (losses) |  | (9 | ) |  | (6 | )
|  | Income from continuing operations before taxes and equity in earnings of affiliates |  | (122 | ) |  | (174 | )
|  | Income tax expense |  | 26 |  |  | 41 |
|  | Net equity in earnings of affiliates |  | (3 | ) |  | (6 | )
|  | Income (loss) from continuing operations |  | (99 | ) |  | (139 | )
|  | Less: (Income) from continuing operations attributable to noncontrolling interests |  | 27 |  |  | 11 |
|  | Net income (loss) attributable to The AES Corporation |  | $ | (72 | ) |  | $ | (128 | )
Amortization of defined benefit pension actuarial loss, net |  |
|  | Regulated cost of sales |  | $ | (33 | ) |  | $ | (73 | )
|  | Non-regulated cost of sales |  | (5 | ) |  | (4 | )
|  | General and administrative expenses |  | — |  |  | (1 | )
|  | Income from continuing operations before taxes and equity in earnings of affiliates |  | (38 | ) |  | (78 | )
|  | Income tax expense |  | 7 |  |  | 26 |
|  | Income (loss) from continuing operations |  | (31 | ) |  | (52 | )
|  | Net gain (loss) from disposal and impairments of discontinued operations |  | 2 |  |  | — |
|  | Net Income (Loss) |  | (29 | ) |  | (52 | )
|  | Less: (Income) from continuing operations attributable to noncontrolling interests |  | 19 |  |  | 39 |
|  | Net income (loss) attributable to The AES Corporation |  | $ | (10 | ) |  | $ | (13 | )
Total reclassifications for the period, net of income tax and noncontrolling interests |  | $ | (116 | ) |  | $ | (178 | )
_____________________________
(1) | Amounts in parentheses indicate debits to the consolidated statements of operations.
Common Stock Dividends The Company paid dividends of $0.05 per outstanding share to its common stockholders during the first, second, third and fourth quarters of 2014. On December 12, 2014, the Board of Directors declared a quarterly common stock dividend of $0.10 per share payable on February 17, 2015 to shareholders of record at the close of business on February 3, 2015. Stock Repurchase Program In July 2014, the Company's Board of Directors authorized an increase to the Company's common stock repurchase program (the "Program") for up to an additional $140 million of repurchases of the Company's common stock, bringing the cumulative total of authorized repurchases under the Program to $1.3 billion. During the year ended December 31, 2014, the Company repurchased 21,900,246 shares of its common stock under the Program at a total cost of $308 million. At December 31, 2014, the cumulative repurchases under the Program totaled 105,912,477 shares for a total cost of $1.3 billion, at an average price per share of $12.37 (including a nominal amount of commissions). As of December 31, 2014, $24 million remained available for repurchase under the Program. The common stock repurchased has been classified as treasury stock and accounted for using the cost method. A total of 110,687,849 and 90,808,168 shares were held as treasury stock at December 31, 2014 and 2013, respectively. Restricted stock units under the Company’s employee benefit plans are issued from treasury stock. The Company has not retired any common stock repurchased since it began the Program in July 2010. Subsequent to December 31, 2014, the Company repurchased an additional 1,892,432 shares at a cost of $24 million, bringing the cumulative repurchases total through February 25, 2015 to 107,804,909 shares at a total cost of $1.3 billion, at an average price per share of $12.37 (including a nominal amount of commissions). In addition, the Company’s Board of Directors recently authorized the repurchase of up to $400 million of the Company’s common stock in one or more transactions, including through open market repurchases, Rule 10b5-1 plans and privately negotiated transactions. There can be no assurances as to the amount, timing or prices of repurchases, which may vary based on market conditions and other factors. The Program does not have an expiration date and it can be modified or terminated by the Company’s Board at any time. As of February 25, 2015, $400 million remains available under the Program.

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- Definition The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(d),(e)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 4 -Subparagraph (SAB TOPIC 4.C) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.29-31) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB TOPIC 4.E) -URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74512-122707 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 4 -Section C Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 4 -Section E Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Article 4 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Glossary Preferred Stock -URI http://asc.fasb.org/extlink&oid=6521494 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 29, 30, 31 -Article 5 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 04 -Article 3 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644 Reference 16: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644 Reference 17: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644 Reference 18: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph d -Article 4 Reference 19: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656 + Details
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