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Segment Information
 9 Months Ended
Sep. 30, 2014
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
PNM includes the retail electric utility operations of PNM that are subject to traditional rate regulation by the NMPRC. PNM provides integrated electricity services that include the generation, transmission, and distribution of electricity for retail electric customers in New Mexico. PNM also provides generation service to firm-requirements wholesale customers and sells electricity into the wholesale market, as well as providing transmission services to third parties. The sale of electricity into the wholesale market includes the optimization of PNM’s jurisdictional capacity, as well as the capacity from PVNGS Unit 3, which currently is not included in retail rates. FERC has jurisdiction over wholesale and transmission rates.

TNMP
TNMP 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.

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
 
TNMP
 
Corporate
and Other
 
Consolidated
 
(In thousands)
Three Months Ended September 30, 2014
 
Electric operating revenues
$
334,993

 
$
78,958

 
$
—

 
$
413,951

Cost of energy
115,097

 
17,402

 
—

 
132,499

Margin
219,896

 
61,556

 
—

 
281,452

Other operating expenses
101,757

 
22,251

 
(3,650
)
 
120,358

Depreciation and amortization
27,524

 
13,432

 
3,339

 
44,295

Operating income
90,615

 
25,873

 
311

 
116,799

Interest income
2,102

 
—

 
(18
)
 
2,084

Other income (deductions)
1,569

 
793

 
(589
)
 
1,773

Net interest charges
(20,092
)
 
(6,870
)
 
(3,153
)
 
(30,115
)
Segment earnings (loss) before income taxes
74,194

 
19,796

 
(3,449
)
 
90,541

Income taxes (benefit)
25,142

 
7,441

 
(1,528
)
 
31,055

Segment earnings (loss)
49,052

 
12,355

 
(1,921
)
 
59,486

Valencia non-controlling interest
(3,701
)
 
—

 
—

 
(3,701
)
Subsidiary preferred stock dividends
(132
)
 
—

 
—

 
(132
)
Segment earnings (loss) attributable to PNMR
$
45,219

 
$
12,355

 
$
(1,921
)
 
$
55,653

 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2014
 
 
 
 
 
 
 
Electric operating revenues
$
873,434

 
$
215,574

 
$
—

 
$
1,089,008

Cost of energy
304,365

 
50,167

 
—

 
354,532

Margin
569,069

 
165,407

 
—

 
734,476

Other operating expenses
315,714

 
63,732

 
(10,243
)
 
369,203

Depreciation and amortization
81,629

 
37,276

 
9,519

 
128,424

Operating income
171,726

 
64,399

 
724

 
236,849

Interest income
6,295

 
—

 
(54
)
 
6,241

Other income (deductions)
8,749

 
1,495

 
(1,547
)
 
8,697

Net interest charges
(59,927
)
 
(20,122
)
 
(9,572
)
 
(89,621
)
Segment earnings (loss) before income taxes
126,843

 
45,772

 
(10,449
)
 
162,166

Income taxes (benefit)
42,331

 
17,081

 
(6,044
)
 
53,368

Segment earnings (loss)
84,512

 
28,691

 
(4,405
)
 
108,798

Valencia non-controlling interest
(11,140
)
 
—

 
—

 
(11,140
)
Subsidiary preferred stock dividends
(396
)
 
—

 
—

 
(396
)
Segment earnings (loss) attributable to PNMR
$
72,976

 
$
28,691

 
$
(4,405
)
 
$
97,262

 
 
 
 
 
 
 
 
At September 30, 2014:
 
 
 
 
 
 
 
Total Assets
$
4,358,474

 
$
1,216,545

 
$
134,190

 
$
5,709,209

Goodwill
$
51,632

 
$
226,665

 
$
—

 
$
278,297

 
PNM
 
TNMP
 
Corporate
and Other
 
Consolidated
 
(In thousands)
Three Months Ended September 30, 2013
 
 
 
 
 
 
 
Electric operating revenues
$
326,026

 
$
73,704

 
$
—

 
$
399,730

Cost of energy
100,200

 
14,474

 
—

 
114,674

Margin
225,826

 
59,230

 
—

 
285,056

Other operating expenses
104,730

 
23,126

 
(3,282
)
 
124,574

Depreciation and amortization
25,879

 
13,850

 
3,014

 
42,743

Operating income (loss)
95,217

 
22,254

 
268

 
117,739

Interest income
2,298

 
—

 
(34
)
 
2,264

Other income (deductions)
2,211

 
716

 
(3,455
)
 
(528
)
Net interest charges
(20,124
)
 
(6,655
)
 
(3,586
)
 
(30,365
)
Segment earnings (loss) before income taxes
79,602

 
16,315

 
(6,807
)
 
89,110

Income taxes (benefit)
27,652

 
6,209

 
(3,565
)
 
30,296

Segment earnings (loss)
51,950

 
10,106

 
(3,242
)
 
58,814

Valencia non-controlling interest
(4,127
)
 
—

 
—

 
(4,127
)
Subsidiary preferred stock dividends
(132
)
 
—

 
—

 
(132
)
Segment earnings (loss) attributable to PNMR
$
47,691

 
$
10,106

 
$
(3,242
)
 
$
54,555

 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2013
 
 
 
 
 
 
 
Electric operating revenues
$
863,609

 
$
201,384

 
$
—

 
$
1,064,993

Cost of energy
283,715

 
41,324

 
—

 
325,039

Margin
579,894

 
160,060

 
—

 
739,954

Other operating expenses
311,372

 
67,274

 
(10,192
)
 
368,454

Depreciation and amortization
77,763

 
37,810

 
9,616

 
125,189

Operating income
190,759

 
54,976

 
576

 
246,311

Interest income
7,839

 
—

 
(108
)
 
7,731

Other income (deductions)
6,977

 
1,409

 
(7,390
)
 
996

Net interest charges
(59,971
)
 
(20,661
)
 
(11,647
)
 
(92,279
)
Segment earnings (loss) before income taxes
145,604

 
35,724

 
(18,569
)
 
162,759

Income taxes (benefit)
49,184

 
13,554

 
(4,138
)
 
58,600

Segment earnings (loss)
96,420

 
22,170

 
(14,431
)
 
104,159

Valencia non-controlling interest
(10,904
)
 
—

 
—

 
(10,904
)
Subsidiary preferred stock dividends
(396
)
 
—

 
—

 
(396
)
Segment earnings (loss) attributable to PNMR
$
85,120

 
$
22,170

 
$
(14,431
)
 
$
92,859

 
 
 
 
 
 
 
 
At September 30, 2013:
 
 
 
 
 
 
 
Total Assets
$
4,192,470

 
$
1,162,587

 
$
73,757

 
$
5,428,814

Goodwill
$
51,632

 
$
226,665

 
$
—

 
$
278,297