Item 2. PROPERTIES

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Item 2. PROPERTIES

The first mortgage indentures for the Ohio Companies, Penn, MP, PE and WP constitute direct first liens on substantially all of the respective physical property, subject only to excepted encumbrances, as defined in the first mortgage indentures. See Note 13, "Capitalization," of the Notes to Consolidated Financial Statements for information concerning financing encumbrances affecting certain of the Utilities’ properties.

FirstEnergy controls the following generation sources as of December 31, 2018, shown in the table below. Except for the OVEC participation referenced in the footnotes to the table, the competitive generating units are owned by AE Supply and the regulated generating units are owned by JCP&L and MP.



Plant (Location)	Unit	Total		Competitive	Regulated
		Net Demonstrated Capacity (MW)
Super-critical Coal-fired:
Harrison (Haywood, WV)	1-3	1,984		—	1,984
Pleasants (Willow Island, WV)	1-2	1,300	(1)	1,300	—
Fort Martin (Maidsville, WV)	1-2	1,098		—	1,098
		4,382		1,300	3,082
Sub-critical and Other Coal-fired:
OVEC (Cheshire, OH) (Madison, IN)	1-11	78	(2)	67	11
		78		67	11
Pumped-storage Hydro:
Bath County (Warm Springs, VA)	1-6	487	(3)	—	487
Yard’s Creek (Blairstown Twp., NJ)	1-3	210	(4)	—	210
		697		—	697
Total		5,157		1,367	3,790


(1)	On August 26, 2018, FirstEnergy, the FES Key Creditor Groups, the FES Debtors and the UCC entered into a FES Bankruptcy settlement agreement which included the transfer of the Pleasants Power Station and related assets to FES or its designee for the benefit of FES' creditors. Prior to transfer and beginning no later than January 1, 2019, FES acquired the economic interests in Pleasants and AE Supply will operate Pleasants until the transfer.

(1)

On August 26, 2018, FirstEnergy, the FES Key Creditor Groups, the FES Debtors and the UCC entered into a FES Bankruptcy settlement agreement which included the transfer of the Pleasants Power Station and related assets to FES or its designee for the benefit of FES' creditors. Prior to transfer and beginning no later than January 1, 2019, FES acquired the economic interests in Pleasants and AE Supply will operate Pleasants until the transfer.


(2)	Represents AE Supply's 3.01% and MP's 0.49% entitlement based on their participation in OVEC.


(3)	Represents AGC's 16.25% undivided interest in Bath County. The station is operated by VEPCO.


(4)	Represents JCP&L’s 50% ownership interest.

The above generating plants and load centers are connected by a transmission system with various voltage ratings ranging from 23 kV to 500 kV. FirstEnergy's overhead and underground transmission lines aggregate 24,506 circuit miles.

The Utilities’ electric distribution systems include 277,284 miles of overhead pole line and underground conduit carrying primary, secondary and street lighting circuits. They own substations with a total installed transformer capacity of approximately 164,611,989 kV-amperes.

All of FirstEnergy's transmission, distribution and generation assets operate in PJM.

FirstEnergy’s distribution and transmission systems as of December 31, 2018, consist of the following:



	Distribution Lines(1)	Transmission Lines(1)	Substation Transformer Capacity(2)
			kV Amperes
OE	67,323	379	7,831,823
Penn	13,628	—	1,064,907
CEI	33,528	—	10,100,363
TE	19,088	73	2,892,703
JCP&L	23,666	2,598	23,616,166
ME	19,000	—	5,190,675
PN	27,698	—	9,044,989
ATSI(3)	—	7,841	38,651,682
WP	25,014	4,341	15,957,666
MP	22,430	2,650	12,326,155
PE	25,909	2,122	11,256,024
TrAIL	—	262	12,689,600
MAIT	—	4,240	13,989,236
Total	277,284	24,506	164,611,989


(1)	Circuit Miles


(2)	Top rating of in-service power transformers only. Excludes grounding banks, station power transformers, and generator and customer-owned transformers.


(3)	Represents transmission line assets of 69 kV and greater located in the service territories of OE, Penn, CEI and TE.

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