PPL Corp
For the period ended Dec 31, 2023. Filed Feb 16, 2024.
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FY2023 · Filed Feb 16, 2024
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
. Goodwill and Other Intangible Assets
- Goodwill and Other Intangible Assets
Goodwill
(PPL)
The changes in the carrying amount of goodwill by segment were:
| Kentucky Regulated | Rhode Island Regulated | Corporate and Other | Total | |||||
|---|---|---|---|---|---|---|---|---|
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |
| Balance at beginning of period (a) | $662 | $662 | $725 | $— | $861 | $53 | $2,248 | $715 |
| Goodwill recognized during the period (b) | — | — | — | 725 | (1) | 861 | (1) | 1,586 |
| Sale of Safari Holdings (c) | — | — | — | — | — | (53) | — | (53) |
| Total | $662 | $662 | $725 | $725 | $860 | $861 | $2,247 | $2,248 |
(a)There were no accumulated impairment losses related to goodwill.
(b)Recognized as a result of the acquisition of RIE. See Note 9 for additional information.
(c)See Note 9 for additional information.
Other Intangible Assets
(PPL)
| December 31, 2023 | December 31, 2022 | |||
|---|---|---|---|---|
| GrossCarryingAmount | AccumulatedAmortization | GrossCarryingAmount | AccumulatedAmortization | |
| Subject to amortization: | ||||
| Contracts (a) | $125 | $107 | $125 | $99 |
| Renewable Energy Credits | 15 | — | 14 | — |
| Land rights and easements | 411 | 143 | 407 | 138 |
| Licenses and other | 2 | — | 2 | 1 |
| Total subject to amortization | 553 | 250 | 548 | 238 |
| Not subject to amortization due to indefinite life: | ||||
| Land rights and easements | 18 | — | 17 | — |
| Total not subject to amortization due to indefinite life | 18 | — | 17 | — |
| Total | $571 | $250 | $565 | $238 |
(a)Gross carrying amount in 2023 and 2022 includes the fair value at the acquisition date of the OVEC power purchase contract with terms favorable to market recognized as a result of the 2010 acquisition of LKE by PPL.
Current intangible assets are included in "Other current assets" and long-term intangible assets are included in "Other intangibles" on the Balance Sheets.
| Amortization expense was as follows: | |||
|---|---|---|---|
| 2023 | 2022 | 2021 | |
| Intangible assets with no regulatory offset | $5 | $5 | $9 |
| Intangible assets with regulatory offset | 9 | 9 | 8 |
| Total | $14 | $14 | $17 |
| 2024 | 2025 | 2026 | 2027 | 2028 | |
|---|---|---|---|---|---|
| Intangible assets with no regulatory offset | $5 | $5 | $4 | $4 | $4 |
| Intangible assets with regulatory offset | 8 | 8 | 2 | — | — |
| Total | $13 | $13 | $6 | $4 | $4 |
| December 31, 2023 | December 31, 2022 | |||
|---|---|---|---|---|
| GrossCarryingAmount | AccumulatedAmortization | GrossCarryingAmount | AccumulatedAmortization | |
| Subject to amortization: | ||||
| Land rights and easements | $389 | $138 | $385 | $134 |
| Licenses and other | 2 | 1 | 2 | 1 |
| Total subject to amortization | 391 | 139 | 387 | 135 |
| Not subject to amortization due to indefinite life: | ||||
| Land rights and easements | 17 | — | 17 | — |
| Total | $408 | $139 | $404 | $135 |
Intangible assets are shown as "Intangibles" on the Balance Sheets.
| 2023 | 2022 | 2021 | |
|---|---|---|---|
| Intangible assets with no regulatory offset | $4 | $4 | $4 |
| 2024 | 2025 | 2026 | 2027 | 2028 | |
|---|---|---|---|---|---|
| Intangible assets with no regulatory offset | $4 | $4 | $4 | $4 | $4 |
(LG&E)
| December 31, 2023 | December 31, 2022 | |||
|---|---|---|---|---|
| GrossCarryingAmount | AccumulatedAmortization | GrossCarryingAmount | AccumulatedAmortization | |
| Subject to amortization: | ||||
| Land rights and easements | $7 | $2 | $7 | $1 |
| OVEC power purchase agreement (a) | 86 | 73 | 86 | 68 |
| Total subject to amortization | $93 | $75 | $93 | $69 |
(a) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 7 for additional information.
Long-term intangible assets are presented as "Other intangibles" on the Balance Sheets.
| 2023 | 2022 | 2021 | |
|---|---|---|---|
| Intangible assets with regulatory offset | $6 | $6 | $5 |
| 2024 | 2025 | 2026 | 2027 | 2028 | |
|---|---|---|---|---|---|
| Intangible assets with regulatory offset | $6 | $6 | $1 | $— | $— |
(KU)
| December 31, 2023 | December 31, 2022 | |||
|---|---|---|---|---|
| GrossCarryingAmount | AccumulatedAmortization | GrossCarryingAmount | AccumulatedAmortization | |
| Subject to amortization: | ||||
| Land rights and easements | $17 | $4 | $16 | $3 |
| OVEC power purchase agreement (a) | 39 | 33 | 39 | 31 |
| Total subject to amortization | $56 | $37 | $55 | $34 |
(a) Gross carrying amount represents the fair value at the acquisition date of the OVEC power purchase contract recognized as a result of the 2010 acquisition by PPL. An offsetting regulatory liability was recorded related to this contract, which is being amortized over the same period as the intangible asset, eliminating any income statement impact. See Note 7 for additional information.
Long-term intangible assets are presented as "Other intangibles" on the Balance Sheets.
| 2023 | 2022 | 2021 | |
|---|---|---|---|
| Intangible assets with no regulatory offset | $— | $— | $1 |
| Intangible assets with regulatory offset | 3 | 3 | 3 |
| 2024 | 2025 | 2026 | 2027 | 2028 | |
|---|---|---|---|---|---|
| Intangible assets with regulatory offset | $2 | $2 | $1 | $— | $— |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.