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Segment Information
 12 Months Ended
Dec. 31, 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 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
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
 
2014
PNM
 
TNMP
 
Corporate
and Other
 
Consolidated
 
(In thousands)
Electric operating revenues
$
1,147,914

 
$
287,939

 
$
—

 
$
1,435,853

Cost of energy
403,626

 
67,930

 
—

 
471,556

Margin
744,288

 
220,009

 
—

 
964,297

Other operating expenses
422,051

 
84,365

 
(14,450
)
 
491,966

Depreciation and amortization
109,524

 
50,056

 
13,054

 
172,634

Operating income
212,713

 
85,588

 
1,396

 
299,697

Interest income
8,557

 
—

 
(74
)
 
8,483

Other income (deductions)
12,258

 
2,138

 
(2,302
)
 
12,094

Interest charges
(79,442
)
 
(27,396
)
 
(12,789
)
 
(119,627
)
Segment earnings (loss) before income taxes
154,086

 
60,330

 
(13,769
)
 
200,647

Income taxes (benefit)
52,633

 
22,523

 
(5,418
)
 
69,738

Segment earnings (loss)
101,453

 
37,807

 
(8,351
)
 
130,909

Valencia non-controlling interest
(14,127
)
 
—

 
—

 
(14,127
)
Subsidiary preferred stock dividends
(528
)
 
—

 
—

 
(528
)
Segment earnings (loss) attributable to PNMR
$
86,798

 
$
37,807

 
$
(8,351
)
 
$
116,254

 
 
 
 
 
 
 
 
Gross property additions
$
316,800

 
$
127,191

 
$
16,667

 
$
460,658

At December 31, 2014:
 
 
 
 
 
 
 
Total Assets
$
4,473,652

 
$
1,240,241

 
$
115,432

 
$
5,829,325

Goodwill
$
51,632

 
$
226,665

 
$
—

 
$
278,297

2013
PNM
 
TNMP
 
Corporate
and Other
 
Consolidated
 
 
 
 
 
 
 
 
Electric operating revenues
$
1,116,312

 
$
271,611

 
$
—

 
$
1,387,923

Cost of energy
374,710

 
57,606

 
—

 
432,316

Margin
741,602

 
214,005

 
—

 
955,607

Other operating expenses
428,591

 
91,601

 
(18,308
)
 
501,884

Depreciation and amortization
103,826

 
50,219

 
12,836

 
166,881

Operating income
209,185

 
72,185

 
5,472

 
286,842

Interest income
10,182

 
—

 
(139
)
 
10,043

Other income (deductions)
11,288

 
1,919

 
(13,575
)
 
(368
)
Interest charges
(79,175
)
 
(27,393
)
 
(14,880
)
 
(121,448
)
Segment earnings (loss) before income taxes
151,480

 
46,711

 
(23,122
)
 
175,069

Income taxes (benefit)
48,804

 
17,621

 
(6,912
)
 
59,513

Segment earnings (loss)
102,676

 
29,090

 
(16,210
)
 
115,556

Valencia non-controlling interest
(14,521
)
 
—

 
—

 
(14,521
)
Subsidiary preferred stock dividends
(528
)
 
—

 
—

 
(528
)
Segment earnings (loss) attributable to PNMR
$
87,627

 
$
29,090

 
$
(16,210
)
 
$
100,507

 
 
 
 
 
 
 
 
Gross property additions
$
239,906

 
$
89,117

 
$
19,016

 
$
348,039

At December 31, 2013:
 
 
 
 
 
 
 
Total Assets
$
4,227,616

 
$
1,162,431

 
$
110,163

 
$
5,500,210

Goodwill
$
51,632

 
$
226,665

 
$
—

 
$
278,297


2012
PNM
 
TNMP
 
Corporate
and Other
 
Consolidated
 
 
 
 
 
 
 
 
Electric operating revenues
$
1,092,264

 
$
250,140

 
$
(1
)
 
$
1,342,403

Cost of energy
353,649

 
46,201

 
—

 
399,850

Margin
738,615

 
203,939

 
(1
)
 
942,553

Other operating expenses
435,442

 
87,079

 
(17,862
)
 
504,659

Depreciation and amortization
97,291

 
49,340

 
17,542

 
164,173

Operating income
205,882

 
67,520

 
319

 
273,721

Interest income
13,243

 
1

 
(172
)
 
13,072

Gain on sale of First Choice
—

 
—

 
1,012

 
1,012

Other income (deductions)
13,290

 
2,739

 
(7,954
)
 
8,075

Interest charges
(76,101
)
 
(28,161
)
 
(16,583
)
 
(120,845
)
Segment earnings (loss) before income taxes
156,314

 
42,099

 
(23,378
)
 
175,035

Income taxes (benefit)
50,713

 
15,352

 
(11,155
)
 
54,910

Segment earnings (loss)
105,601

 
26,747

 
(12,223
)
 
120,125

Valencia non-controlling interest
(14,050
)
 
—

 
—

 
(14,050
)
Subsidiary preferred stock dividends
(528
)
 
—

 
—

 
(528
)
Segment earnings (loss) attributable to PNMR
$
91,023

 
$
26,747

 
$
(12,223
)
 
$
105,547

 
 
 
 
 
 
 
 
Gross property additions
$
196,800

 
$
92,973

 
$
19,136

 
$
308,909

At December 31, 2012:
 
 
 
 
 
 
 
Total Assets
$
4,163,907

 
$
1,086,229

 
$
122,447

 
$
5,372,583

Goodwill
$
51,632

 
$
226,665

 
$
—

 
$
278,297

Major Customers
No individual customer accounted for more than 10% of the electric operating revenues of PNMR or PNM. The acquiror of First Choice, including the former First Choice operations, accounted for 15% and 17% of TNMP’s electric operating revenues in 2014 and 2013. Two other unaffiliated customers of TNMP accounted for revenues of 15% in 2014, 16% in 2013, and 17% in 2012 and 11% in 2014, 10% in 2013, and 10% in 2012.