INTRODUCTION (Tables)
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6 Months Ended |
Jun. 30, 2020 |
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] |
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| Schedule of Goodwill |
Goodwill at June 30, 2020 and December 31, 2019 was as follows: | | | | | | Goodwill | | (in millions) | Southern Company | $ | 5,280 |
| Southern Company Gas: | | Gas distribution operations | $ | 4,034 |
| Gas marketing services | 981 |
| Southern Company Gas total | $ | 5,015 |
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| Schedule of Other Intangible Assets, Indefinite-Lived |
Other intangible assets were as follows: | | | | | | | | | | | | | | | | | | | | | | At June 30, 2020 | | At December 31, 2019 | | Gross Carrying Amount | Accumulated Amortization | Other Intangible Assets, Net | | Gross Carrying Amount | Accumulated Amortization | Other
Intangible Assets, Net | | (in millions) | | (in millions) | Southern Company | | | | | | | | Other intangible assets subject to amortization: | | | | | | | | Customer relationships | $ | 212 |
| $ | (126 | ) | $ | 86 |
| | $ | 212 |
| $ | (116 | ) | $ | 96 |
| Trade names | 64 |
| (28 | ) | 36 |
| | 64 |
| (25 | ) | 39 |
| Storage and transportation contracts | 64 |
| (63 | ) | 1 |
| | 64 |
| (62 | ) | 2 |
| PPA fair value adjustments | 390 |
| (79 | ) | 311 |
| | 390 |
| (69 | ) | 321 |
| Other | 10 |
| (8 | ) | 2 |
| | 11 |
| (8 | ) | 3 |
| Total other intangible assets subject to amortization | $ | 740 |
| $ | (304 | ) | $ | 436 |
|
| $ | 741 |
| $ | (280 | ) | $ | 461 |
| Other intangible assets not subject to amortization: | | | | | | | | Federal Communications Commission licenses | 75 |
| — |
| 75 |
| | 75 |
| — |
| 75 |
| Total other intangible assets | $ | 815 |
| $ | (304 | ) | $ | 511 |
| | $ | 816 |
| $ | (280 | ) | $ | 536 |
| | | | | | | | | Southern Power | | | | | | | | Other intangible assets subject to amortization: | | | | | | | | PPA fair value adjustments | $ | 390 |
| $ | (79 | ) | $ | 311 |
| | $ | 390 |
| $ | (69 | ) | $ | 321 |
| | | | | | | | | Southern Company Gas | | | | | | | | Other intangible assets subject to amortization: | | | | | | | | Gas marketing services | | | | | | | | Customer relationships | $ | 156 |
| $ | (112 | ) | $ | 44 |
| | $ | 156 |
| $ | (104 | ) | $ | 52 |
| Trade names | 26 |
| (11 | ) | 15 |
| | 26 |
| (10 | ) | 16 |
| Wholesale gas services | | | | | | | | Storage and transportation contracts | 64 |
| (63 | ) | 1 |
| | 64 |
| (62 | ) | 2 |
| Total other intangible assets subject to amortization | $ | 246 |
| $ | (186 | ) | $ | 60 |
| | $ | 246 |
| $ | (176 | ) | $ | 70 |
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| Schedule of Other Intangible Assets, Finite-Lived |
Other intangible assets were as follows: | | | | | | | | | | | | | | | | | | | | | | At June 30, 2020 | | At December 31, 2019 | | Gross Carrying Amount | Accumulated Amortization | Other Intangible Assets, Net | | Gross Carrying Amount | Accumulated Amortization | Other
Intangible Assets, Net | | (in millions) | | (in millions) | Southern Company | | | | | | | | Other intangible assets subject to amortization: | | | | | | | | Customer relationships | $ | 212 |
| $ | (126 | ) | $ | 86 |
| | $ | 212 |
| $ | (116 | ) | $ | 96 |
| Trade names | 64 |
| (28 | ) | 36 |
| | 64 |
| (25 | ) | 39 |
| Storage and transportation contracts | 64 |
| (63 | ) | 1 |
| | 64 |
| (62 | ) | 2 |
| PPA fair value adjustments | 390 |
| (79 | ) | 311 |
| | 390 |
| (69 | ) | 321 |
| Other | 10 |
| (8 | ) | 2 |
| | 11 |
| (8 | ) | 3 |
| Total other intangible assets subject to amortization | $ | 740 |
| $ | (304 | ) | $ | 436 |
|
| $ | 741 |
| $ | (280 | ) | $ | 461 |
| Other intangible assets not subject to amortization: | | | | | | | | Federal Communications Commission licenses | 75 |
| — |
| 75 |
| | 75 |
| — |
| 75 |
| Total other intangible assets | $ | 815 |
| $ | (304 | ) | $ | 511 |
| | $ | 816 |
| $ | (280 | ) | $ | 536 |
| | | | | | | | | Southern Power | | | | | | | | Other intangible assets subject to amortization: | | | | | | | | PPA fair value adjustments | $ | 390 |
| $ | (79 | ) | $ | 311 |
| | $ | 390 |
| $ | (69 | ) | $ | 321 |
| | | | | | | | | Southern Company Gas | | | | | | | | Other intangible assets subject to amortization: | | | | | | | | Gas marketing services | | | | | | | | Customer relationships | $ | 156 |
| $ | (112 | ) | $ | 44 |
| | $ | 156 |
| $ | (104 | ) | $ | 52 |
| Trade names | 26 |
| (11 | ) | 15 |
| | 26 |
| (10 | ) | 16 |
| Wholesale gas services | | | | | | | | Storage and transportation contracts | 64 |
| (63 | ) | 1 |
| | 64 |
| (62 | ) | 2 |
| Total other intangible assets subject to amortization | $ | 246 |
| $ | (186 | ) | $ | 60 |
| | $ | 246 |
| $ | (176 | ) | $ | 70 |
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| Finite-lived Intangible Assets Amortization Expense |
Amortization associated with other intangible assets was as follows: | | | | | | | | | Three Months Ended | Six Months Ended | | June 30, 2020 | | (in millions) | Southern Company(a) | $ | 13 |
| $ | 25 |
| Southern Power(b) | $ | 5 |
| $ | 10 |
| Southern Company Gas |
|
| | Gas marketing services | $ | 5 |
| $ | 9 |
| Wholesale gas services(b) | — |
| 1 |
| Southern Company Gas total | $ | 5 |
| $ | 10 |
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| | (a) | Includes $5 million and $11 million for the three and six months ended June 30, 2020, respectively, recorded as a reduction to operating revenues. |
(b) Recorded as a reduction to operating revenues.
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| Restrictions on Cash and Cash Equivalents |
The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed balance sheets that total to the amounts shown in the condensed statements of cash flows for the Registrants that had restricted cash at June 30, 2020 and/or December 31, 2019: | | | | | | | | | | | | | | | | | | | | Southern Company | | Southern Power | | Southern Company Gas | | At June 30, 2020 | At December 31, 2019 | | At June 30, 2020 | | At June
30, 2020 | At December 31, 2019 | | (in millions) | | (in millions) | | (in millions) | Cash and cash equivalents | $ | 1,879 |
| $ | 1,975 |
| | $ | 154 |
| | $ | 120 |
| $ | 46 |
| Restricted cash(*): | | | | | | | | Other accounts and notes receivable | — |
| 3 |
| | — |
| | — |
| 3 |
| Other current assets | 4 |
| — |
| | — |
| | 4 |
| — |
| Other deferred charges and assets | 2 |
| — |
| | 2 |
| | — |
| — |
| Total cash, cash equivalents, and restricted cash | $ | 1,885 |
| $ | 1,978 |
| | $ | 156 |
| | $ | 124 |
| $ | 49 |
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(*) For Southern Company Gas, reflects restricted cash held as collateral for workers' compensation, life insurance, and long-term disability insurance. For Southern Power, reflects restricted cash held for construction payables.
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| Schedule of Cash and Cash Equivalents |
The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed balance sheets that total to the amounts shown in the condensed statements of cash flows for the Registrants that had restricted cash at June 30, 2020 and/or December 31, 2019: | | | | | | | | | | | | | | | | | | | | Southern Company | | Southern Power | | Southern Company Gas | | At June 30, 2020 | At December 31, 2019 | | At June 30, 2020 | | At June
30, 2020 | At December 31, 2019 | | (in millions) | | (in millions) | | (in millions) | Cash and cash equivalents | $ | 1,879 |
| $ | 1,975 |
| | $ | 154 |
| | $ | 120 |
| $ | 46 |
| Restricted cash(*): | | | | | | | | Other accounts and notes receivable | — |
| 3 |
| | — |
| | — |
| 3 |
| Other current assets | 4 |
| — |
| | — |
| | 4 |
| — |
| Other deferred charges and assets | 2 |
| — |
| | 2 |
| | — |
| — |
| Total cash, cash equivalents, and restricted cash | $ | 1,885 |
| $ | 1,978 |
| | $ | 156 |
| | $ | 124 |
| $ | 49 |
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(*) For Southern Company Gas, reflects restricted cash held as collateral for workers' compensation, life insurance, and long-term disability insurance. For Southern Power, reflects restricted cash held for construction payables.
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| Schedule of Changes in Asset Retirement Obligations |
Details of changes in AROs for Southern Company and Alabama Power during the first six months of 2020 are shown in the following table. There were no material changes in AROs for the other Registrants during the first six months of 2020. | | | | | | | | | Southern Company | Alabama Power | | (in millions) | Balance at December 31, 2019 | $ | 9,786 |
| $ | 3,540 |
| Liabilities incurred | 15 |
| — |
| Liabilities settled | (193 | ) | (100 | ) | Accretion | 204 |
| 74 |
| Cash flow revisions | 462 |
| 462 |
| Balance at June 30, 2020 | $ | 10,274 |
| $ | 3,976 |
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