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Segment Information
 9 Months Ended
Sep. 30, 2012
Segment Reporting [Abstract]  
Segment Information
Segment Information

The following segment presentation is based on the methodology that management uses for making operating decisions and assessing performance of its various business activities. A reconciliation of the segment presentation to the GAAP financial statements is provided.

PNM Electric
PNM Electric includes the retail electric utility operations of PNM that are subject to traditional rate regulation by the NMPRC. PNM Electric provides integrated electricity services that include the generation, transmission, and distribution of electricity for retail electric customers in New Mexico. PNM Electric also includes the generation and sale of electricity into the wholesale market as well as providing transmission services to third parties. The sale of electricity includes the asset optimization of PNM's jurisdictional assets as well as the capacity excluded from retail rates. FERC has jurisdiction over wholesale and transmission rates.

TNMP Electric
TNMP Electric is an electric utility providing regulated transmission and distribution services in Texas under the TECA. TNMP's operations are subject to traditional rate regulation by the PUCT.

First Choice
First Choice, which was sold by PNMR on November 1, 2011 (Note 14), operated as a certified retail electric provider in Texas. First Choice provided electricity to residential, small commercial, and governmental customers. Although First Choice was regulated in certain respects by the PUCT, it was not subject to traditional rate regulation.

Corporate and Other

The Corporate and Other segment includes PNMR holding company activities, primarily related to corporate level debt and PNMR Services Company.

The following tables present summarized financial information for PNMR by segment. PNM and TNMP each operate in only one segment. Therefore, tabular segment information is not presented for PNM and TNMP.

PNMR SEGMENT INFORMATION
 
PNM
Electric
 
TNMP
Electric
 
Corporate
and Other
 
Consolidated
Three Months Ended September 30, 2012
(In thousands)
Electric operating revenues
$
321,731

 
$
68,680

 
$
—

 
$
390,411

Cost of energy
99,217

 
11,560

 
—

 
110,777

Margin
222,514

 
57,120

 
—

 
279,634

Other operating expenses
101,104

 
22,331

 
(4,771
)
 
118,664

Depreciation and amortization
24,437

 
13,819

 
4,564

 
42,820

Operating income
96,973

 
20,970

 
207

 
118,150

Interest income
3,173

 
—

 
(43
)
 
3,130

Other income (deductions)
5,210

 
366

 
(827
)
 
4,749

Net interest charges
(19,230
)
 
(7,047
)
 
(4,238
)
 
(30,515
)
Segment earnings (loss) before income taxes
86,126

 
14,289

 
(4,901
)
 
95,514

Income taxes (benefit)
31,235

 
5,205

 
(2,902
)
 
33,538

Segment earnings (loss)
54,891

 
9,084

 
(1,999
)
 
61,976

Valencia non-controlling interest
(3,980
)
 
—

 
—

 
(3,980
)
Subsidiary preferred stock dividends
(132
)
 
—

 
—

 
(132
)
Segment earnings (loss) attributable to PNMR
$
50,779

 
$
9,084

 
$
(1,999
)
 
$
57,864

 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2012
 
 
 
 
 
 
 
Electric operating revenues
$
832,242

 
$
187,404

 
$
—

 
$
1,019,646

Cost of energy
263,009

 
34,333

 
—

 
297,342

Margin
569,233

 
153,071

 
—

 
722,304

Other operating expenses
311,468

 
64,239

 
(12,676
)
 
363,031

Depreciation and amortization
72,017

 
37,173

 
13,099

 
122,289

Operating income (loss)
185,748

 
51,659

 
(423
)
 
236,984

Interest income
9,938

 
1

 
(131
)
 
9,808

Other income (deductions)
9,201

 
1,244

 
(4,797
)
 
5,648

Net interest charges
(56,652
)
 
(21,214
)
 
(12,414
)
 
(90,280
)
Segment earnings (loss) before income taxes
148,235

 
31,690

 
(17,765
)
 
162,160

Income taxes (benefit)
51,929

 
11,577

 
(8,897
)
 
54,609

Segment earnings (loss)
96,306

 
20,113

 
(8,868
)
 
107,551

Valencia non-controlling interest
(10,699
)
 
—

 
—

 
(10,699
)
Subsidiary preferred stock dividends
(396
)
 
—

 
—

 
(396
)
Segment earnings (loss) attributable to PNMR
$
85,211

 
$
20,113

 
$
(8,868
)
 
$
96,456

 
 
 
 
 
 
 
 
At September 30, 2012:
 
 
 
 
 
 
 
Total Assets
$
4,073,331

 
$
1,060,062

 
$
126,814

 
$
5,260,207

Goodwill
$
51,632

 
$
226,665

 
$
—

 
$
278,297

Additions to utility and non-utility plant included in accounts payable
$
6,056

 
$
886

 
$
1,063

 
$
8,005

 
PNM
Electric
 
TNMP
Electric
 
First
Choice
 
Corporate
and Other
 
Consolidated
Three Months Ended September 30, 2011
(In thousands)
Electric revenues from non-affiliates
$
323,760

 
$
54,787

 
$
170,999

 
$
(48
)
 
$
549,498

Intersegment revenues
—

 
12,196

 
—

 
(12,196
)
 
—

Total electric operating revenues
323,760

 
66,983

 
170,999

 
(12,244
)
 
549,498

Cost of energy
108,708

 
10,307

 
144,035

 
(12,196
)
 
250,854

Margin
215,052

 
56,676

 
26,964

 
(48
)
 
298,644

Other operating expenses
102,080

 
22,451

 
25,076

 
(1,617
)
 
147,990

Depreciation and amortization
25,058

 
12,674

 
346

 
4,292

 
42,370

Operating income (loss)
87,914

 
21,551

 
1,542

 
(2,723
)
 
108,284

Interest income
3,770

 
1

 
29

 
(52
)
 
3,748

Other income (deductions)
(5,573
)
 
313

 
(115
)
 
(1,664
)
 
(7,039
)
Net interest charges
(18,487
)
 
(7,276
)
 
(249
)
 
(5,112
)
 
(31,124
)
Segment earnings (loss) before income taxes
67,624

 
14,589

 
1,207

 
(9,551
)
 
73,869

Income taxes (benefit)
25,052

 
5,721

 
594

 
(5,403
)
 
25,964

Segment earnings (loss)
42,572

 
8,868

 
613

 
(4,148
)
 
47,905

Valencia non-controlling interest
(4,111
)
 
—

 
—

 
—

 
(4,111
)
Subsidiary preferred stock dividends
(132
)
 
—

 
—

 
—

 
(132
)
Segment earnings (loss) attributable to PNMR
$
38,329

 
$
8,868

 
$
613

 
$
(4,148
)
 
$
43,662

 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2011
 
 
 
 
 
 
 
 
 
Electric revenues from non-affiliates
$
797,232

 
$
150,175

 
$
405,485

 
$
(145
)
 
$
1,352,747

Intersegment revenues
—

 
30,608

 
—

 
(30,608
)
 
—

Total electric operating revenues
797,232

 
180,783

 
405,485

 
(30,753
)
 
1,352,747

Cost of energy
279,419

 
30,719

 
303,285

 
(30,609
)
 
582,814

Margin
517,813

 
150,064

 
102,200

 
(144
)
 
769,933

Other operating expenses
329,502

 
67,431

 
67,693

 
(7,172
)
 
457,454

Depreciation and amortization
71,691

 
33,662

 
987

 
12,775

 
119,115

Operating income (loss)
116,620

 
48,971

 
33,520

 
(5,747
)
 
193,364

Interest income
12,052

 
1

 
63

 
(106
)
 
12,010

Other income (deductions)
4,129

 
887

 
(494
)
 
(4,913
)
 
(391
)
Net interest charges
(54,593
)
 
(21,880
)
 
(535
)
 
(15,243
)
 
(92,251
)
Segment earnings (loss) before income taxes
78,208

 
27,979

 
32,554

 
(26,009
)
 
112,732

Income taxes (benefit)
26,574

 
10,845

 
11,833

 
(12,046
)
 
37,206

Segment earnings (loss)
51,634

 
17,134

 
20,721

 
(13,963
)
 
75,526

Valencia non-controlling interest
(10,764
)
 
—

 
—

 
—

 
(10,764
)
Subsidiary preferred stock dividends
(396
)
 
—

 
—

 
—

 
(396
)
Segment earnings (loss) attributable to PNMR
$
40,474

 
$
17,134

 
$
20,721

 
$
(13,963
)
 
$
64,366

 
 
 
 
 
 
 
 
 
 
At September 30, 2011:
 
 
 
 
 
 
 
 
 
Total Assets
$
3,936,468

 
$
1,041,613

 
$
274,741

 
$
119,818

 
$
5,372,640

Goodwill
$
51,632

 
$
226,665

 
$
43,013

 
$
—

 
$
321,310

Additions to utility and non-utility plant included in accounts payable
$
6,811

 
$
4,672

 
$
106

 
$
253

 
$
11,842