Energy Future (TXU) 8-K Energy Future Holdings Corp. Reports 2007 Results

10-K Investor Call

April 1, 2008

Exhibit 99.2

1

Safe Harbor Statement

This

presentation

contains

forward-looking

statements,

which

are

subject

to

various

risks

and

uncertainties.

Discussion

of

risks

and

uncertainties

that

could

cause

actual

results

to

differ

materially

from

management's

current

projections,

forecasts,

estimates

and

expectations

is

contained

in

EFH's

filings

with

the

Securities

and

Exchange

Commission

(SEC).

In

addition

to

the

risks

and

uncertainties

set

forth

in

EFH's

SEC

filings,

the

forward-

looking

statements

in

this

presentation

regarding

the

company’s

long-term

hedging

program

could

be

affected

by,

among

other

things:

any

change

in

the

ERCOT

electricity

market,

including

a

regulatory

or

legislative

change,

that

results

in

wholesale

electricity

prices

not

being

largely

driven

by

natural

gas

prices,

any

decrease

in

market

heat

rates

as

the

long-term

hedging

program

does

not

mitigate

exposure

to

changes

in

market

heat

rates

and

the

unwillingness

or

failure

of

any

hedge

counterparty

or

the

lender

under

the

collateral

revolving

credit

facility

to

perform

its

obligations

under

a

long-term

hedge

agreement

or

the

facility,

as

applicable,

or

any

other

unforeseen

event

that

results

in

the

inability

to

continue

to

use

a

first

lien

to

secure

a

substantial

portion

of

the

hedges

under

the

long-term

hedging

program.

In

addition,

the

forward-looking

statements

in

this

presentation

regarding

the

on-line

dates

for

the

company’s

new

generation

plants

could

be

affected

by,

among

other

things,

the

company’s

ability

to

timely

manage

the

program

as

well

as

labor

strikes

or

labor

or

materials

shortages.

Regulation G

This

presentation

includes

certain

non-GAAP

financial

measures.

A

reconciliation

of

these

measures

to

the

most

directly

comparable

GAAP

measures

is

included

in

either

this

presentation

or

the

appendix

of

the

version

of

the

slides

included

on

the

company’s

website

at

www.energyfutureholdings.com

under

Investor

Resources/Presentations

or

filed

with

the

SEC.

2

Today’s Agenda

John Young

President & CEO

David Campbell

Executive Vice President & CFO

Strategy and Operational

Highlights

Financial Overview

Q&A

3

EFH Corp. Commitments

Organize

the company into three business units with separate

management teams, headquarters, and boards

Establish

separate headquarters for each business in the DFW area

Hold

majority ownership in EFH Corp. and Oncor

for at least five years

Create

a Sustainable Energy Advisory Board to advise on corporate

issues relating to environmental, customer, economic development,

ERCOT reliability, and technology interests

Institute

corporate policies tied to environmental stewardship

EFH Corp. is implementing transaction-related commitments as part of

its broader strategic objectives.  These include:

4

EFH Adjusted EBITDA Dropped 13% Between 2006 And 2007

EFH Corp. Adjusted EBITDA

1

2006 vs. 2007; $ billions

Drivers include:

Changes at TCEH drove virtually all

the variance

15% price discount for approximately

one million TXU Energy customers in

North Texas

Increased Luminant

lignite and coal

costs, impacted by high rainfall

Lower customer volumes, impacted

by milder 07 weather vs. 06

Higher SG&A costs, primarily

marketing and capability investments

at TXU Energy

Comanche Peak Unit 1’s steam

generator replacement

Impact of lower wholesale market

prices and heat rates

1

EBITDA adjusted to exclude non-cash items, unusual items and other adjustments allowable under the EFH Senior Notes bond indenture.

See definition of Adjusted EBITDA and a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure in the appendix

of this presentation.

5.63

4.92

2006

2007

13%

5

Luminant

Maintained Its Strong Execution Track Record

45,579

46,494

2006

2007

Lignite

production

2006 vs. 2007; GWh

85.6

88.4

90.3

91.8

91.6

2003

2004

2005

2006

2007

Capacity factor (nuclear and lignite)

2003-2007; Percent

2007 Operational Highlights

Strong safety record in 2007

Set record lignite annual power

production

Set record annual production at

Comanche Peak Unit 2

Completed the planned nuclear

refueling and steam generator

replacement outage on  Comanche

Peak Unit 1 in record time

Challenging year for lignite mining,

primarily due to rainfall

Began construction for Oak Grove 1 &

2 and Sandow

5 generation units

Evaluated nuclear expansion options

at Comanche Peak site

2%

6

Progress Continued On Luminant’s

New Solid-Fuel Plants

Sandow Unit 5

Rockdale, Texas

Oak Grove Steam Electric Station

Robertson County, Texas

TX Lignite

Primary fuel

Late 2009/Mid 2010

Commercial operation date

1,600 MW

Estimated net capacity

TX Lignite

Primary fuel

2009

Commercial operation date

581 MW

Estimated net capacity

7

Luminant

Commitments

Terminate 8 previously planned coal units

Provide increased investment in alternative energy

Start planning process for commercial demonstration of IGCC

process in Texas

Implement the nation’s largest voluntary emissions reduction

program to reduce total nitrogen oxide, sulfur dioxide, and

mercury emissions levels 20% below 2005 levels while

increasing total baseload

capacity by over 25%

Double wind energy purchases to 1500 MW, and maintain

status as the largest buyer of wind power in Texas

Join the FutureGen

Alliance

Join USCAP

Luminant

is committed to meeting the following goals as part of

its broader strategic objectives

8

TXU Energy Improved Its Overall Proposition for

Customers, Resulting In Growth

2,207

2,145

1,982

1,871

1,875

2003

2004

2005

2006

2007

Residential customer counts

2003-2007; year end, thousands

2007 Operational Highlights

Grew residential customer count for

the first time since 2001

•

34% growth in Houston/South      

Texas customers

•

5% attrition in North Texas

customers vs. 9% average in

2005-2006

Improved customer satisfaction with

calls and agents

Reduced complaints to PUC

Improved retail bad debt expense

Among multiple new product

offerings, introduced TXU Energy

Texas Choice 12SM

–

featuring price

protection, cash back,

and

10%

renewable power

9

TXU Energy Commitments

Deliver 15% residential price cut to legacy PTB¹

customers

Guarantee price protection against changing market conditions

through December 2008 for legacy PTB customers

Provide $150 million low-income customer assistance over five

years ($125 million, 10% discount for qualifying customers and

$25 million in TXU Energy Aid bill payment assistance)

Form a new Low Income Advisory Committee comprised of

leaders in the social service delivery sector

Invest $100 million over five years in new tools for customers

to manage their own electricity usage through innovative

energy efficiency and conservation approaches

TXU Energy is committed to meeting the following goals as

part of its broader strategic objectives

1

Price to Beat

10

Oncor

Commitments

Voluntarily expedite 14.101 filing

Minimum capital spending of $3.6 billion over a five-year period

No rate increase as a result of the Merger

No filing of a system-wide rate case until July 2008

No new debt incurred in connection with the closing of the

Merger

Debt limited so that Oncor’s

regulatory debt-to-equity ratio is at

or below the ratio established by PUC

Agreement to resolve all outstanding 14.101 issues

$72 million one-time retail customer credit

Annual reports to the PUC regarding commitments

Oncor

is committed to meeting the following goals as part of its

broader strategic objectives

11

Today’s Agenda

John Young

President & CEO

David Campbell

Executive Vice President & CFO

Strategy and Operational

Highlights

Financial Overview

Q&A

12

EFH Corp. And Business Segment Reported Net Income

Reported Net Income by segment

2007

1

vs. 2006; $ millions

2006

2007

1

Combined

results

for

the

year

ended

December

31,

2007

represent

the

mathematical

sum

of

the

Predecessor

period

from

January

1,

2007

through

October

10,

2007

and

the

Successor

period

from

October

11,

2007

through

December

31,

2007.

The

presentation

of

combined

results

does

not

comply

with

GAAP

(generally

accepted

accounting

principles)

but

is

provided

because

Management

believes

it

is

the

most

meaningful

comparison

of

the

results.

Such

presentation

is

not

an

indication

of

future

results.

2,552

(637)

EFH Corp. Consolidated

2,367

(523)

Competitive Electric Segment

344

328

Regulated Delivery Segment

2006

2007

2006

2007

13

Factors Impacting EFH Corp.’s 2007 Results Include

Hedge Ineffectiveness Losses And Other Timing Impacts

Reconciliation of Operational Net Income (Loss) (non-GAAP) to Reported Net Income (Loss)

2006 to 2007; $ millions (after tax)

1,537

(9)

237

492

1,479

(25)

(637)

2007

Combined¹

(79)

34

237

1

1,010

(1)

(1,360)

2007

Successor

1,616

(43)

-

491

469

(24)

723

2007

Predecessor

277

Other

-

Purchase accounting effects

-

Charges related to cancelled development of                   

generation facilities

(177)

Unrealized mark-to-market net losses (gains)

2,552

Reported Net Income (Loss)

Special items:

2,565

(87)

2006

Income from discontinued operations

Operational Net Income (Loss)   

Factor

1

Combined

results

for

the

year

ended

December

31,

2007

represent

the

mathematical

sum

of

the

Predecessor

period

from

January

1,

2007

through

October

10,

2007

and

the

Successor

period

from

October

11,

2007

through

December

31,

2007.

The

presentation

of

combined

results

does

not

comply

with

GAAP

(generally

accepted

accounting

principles)

but

is

provided

because

Management

believes

it

is

the

most

meaningful

comparison

of

the

results.

Such

presentation

is

not

an

indication

of

future

results.

14

TCEH Has Significantly Hedged Luminant’s

Natural Gas

Position

Natural gas forward hedges and impact of hedging program

2009 to 2013; Mixed measures

Percent

$/MMBtu

mm MMBtu

Measure

~80%

$7.36

492

2012

~90%

$7.80

509

2010

~85%

$8.10

365

2009

~93%

$7.56

548

2011

~65%

$7.25

400

2013

Overall estimated percent of

total TCEH/Luminant

NG

position hedged²

Natural gas hedging program

Average price¹

Factor

1

Weighted

average

prices

are

based

on

actual

sales

prices

of

short

positions

in

the

corporate

natural

gas

hedge

program

based

on

NYMEX

Henry

Hub.

2

Assumes

natural

gas

conversion

factor

of

~85-95%

of

the

estimated

forward

market-clearing

heat

rate

given

that

coal

is

on

the

margin

for

select

periods;

during

those

periods,

no

natural

gas

position

is

generated.

Overall

hedge

ratio

based

on

TCEH/Luminant

position

estimate

as

of

3/14/08

and

includes

estimate

of

fixed

price

sold

forward

positions,

including

retail

and

non-hedge

program

wholesale

effects.

TCEH has hedged more than 80% of Luminant’s

estimated natural gas exposure from 2009-2013. 

More than 95% of the hedge positions are supported directly by a first lien or by the TCEH

Collateral Revolving Credit Facility

15

Today’s Agenda

John Young

President & CEO

David Campbell

Executive Vice President & CFO

Strategy and Operational

Highlights

Financial Overview

Q&A

16

Questions & Answers

Appendix –

Regulation G Reconciliations

18

Financial Definitions

EBITDA

adjusted

to

exclude

non-cash

items,

unusual

items

and

other

adjustments

allowable

under

the

EFH

Senior

Notes

bond

indenture.

Adjusted

EBITDA

is

provided

solely

because

of

the

important

role

that

it

plays

in

respect

of

certain

covenants

contained

in

the

EFH

Senior

Notes bond indenture.  Adjusted EBITDA is not intended to be an alternative to net income as a

measure

of

operating

performance

or

an

alternative

to

cash

flows

from

operating

activities

as

a

measure

of

liquidity

or

an

alternative

to

any

other

measure

of

financial

performance

presented

in

accordance

with

GAAP,

nor

is

it

intended

to

be

used

as

a

measure

of

free

cash

flow

available

for

Management’s

discretionary

use,

as

the

measure

excludes

certain

cash

requirements

such

as

interest

payments,

tax

payments

and

other

debt

service

requirements.

Because

not

all

companies

use

identical

calculations,

EFH’s

presentation

of

Adjusted

EBITDA

may

not

be

comparable to similarly titled measures of other companies. 

Adjusted EBITDA

(non-GAAP)

Generally accepted accounting principles

GAAP

Income

(loss)

from

continuing

operations

before

interest

income,

interest

expense

and

related

charges,

and

income

tax

expense

(benefit)

plus

depreciation

and

amortization

and

special

items.

EBITDA

is

a

measure

used

by

EFH

to

assess

performance

consistent

with

industry

and

peer group analytical measurements.

EBITDA

(non-GAAP)

Definition

Measure

19

Financial Definitions –

cont.

Net

Income

(loss)

adjusted

for

special

items

and

income

or

losses

that

are

not

reflective

of

continuing

operations

(such

as

discontinued

operations,

extraordinary

items

and

cumulative

effect

of

changes

in

accounting

principles).

EFH

has

adjusted

Operational

Net

Income

for

all

periods

to

exclude

all

effects

of

recording

unrealized

mark-to-market

gains

and

losses

on

hedging

and

trading

positions

because

management

believes

such

presentation

will

more

appropriately

reflect

the

ongoing

earnings

of

the

business.

EFH

relies

on

Operational

Net

Income

for

evaluation

of

performance

and

believes

that

analysis

of

the

business

by

external

users

is

enhanced

by

visibility

to

both

Reported

Net

Income

(GAAP) and Operational Net Income. 

Operational Net

Income

(non-GAAP)

The

purchase

method

of

accounting

for

a

business

combination

as

prescribed

by

Statement

of

Financial

Accounting

Standards

No.

141,

“Business

Combinations,”

whereby

the

cost

or

“purchase

price”

of

a

business

combination,

representing

the

amount

paid

for

the

equity

and

direct

transaction

costs,

are

allocated

to

identifiable

assets

and

liabilities

(including

intangible

assets)

based

upon

their

fair

values.

The

excess

of

the

purchase

price

over

the

fair

values

of

assets

and

liabilities

is

recorded

as

goodwill.

Purchase Accounting

(GAAP)

The

effects

of

recording

unrealized

mark-to-market

gains

and

losses

from

cash

flow

hedge

ineffectiveness

and

other

mark-to-market

valuations

of

positions

in

the

long-term

hedging

program

and

on

hedging

and

trading

positions,

the

effects

of

purchase

accounting

and

other

charges,

credits

or

gains

that

are

unusual

or

nonrecurring.

Special

items

are

included

in

Reported

Net

Income

(GAAP),

but

are

excluded

from

Operational

Net

Income.

Special Items

(non-GAAP)

Definition

Measure

20

100

917

1,282

2,199

Total

(10)

-

-

-

Litigation settlement benefit

131

-

-

-

Gas plants impairment

4

107

-

-

-

Customer appreciation one-time bonus

-

(31)

-

(31)

Combustion turbine lease liability adjustment

44

(70)

-

(70)

Deferred tax effects of Texas margin tax expense (benefit)

-

3

-

3

Re-branding expenses

-

3

-

3

PUC settlement related to SMB customers

5

27

-

27

Projects expenses³

-

25

34

59

Merger-related costs

-

-

133

133

Amortization of fair value adjustments (primarily intangible assets)²

-

-

104

104

Depreciation of step-up of property, plant and equipment values²

-

491

1

492

Charges related to cancelled development of generation facilities

(177)

469

1,010

1,479

Unrealized mark-to-market net losses (gains)¹

2006

2007

Predecessor

2007

Successor

2007

Combined

Factor

1

2007 and 2006 include all unrealized mark-to-market gains and losses.  Prior 2006 disclosure included only those amounts related to

the company’s long-term hedging program. 

2

Represents the effects (non-cash) arising from the application of purchase accounting

3

Includes previously deferred costs associated with certain strategic transactions that are no longer expected to be consummated as

a result of the Merger.

4

2006 includes approximately $2 million related to the write-off of natural gas-fueled generation plant inventories.

Table 1: EFH Corp. –

Description of Special Items

Twelve Months Ended December 31, 2007 and 2006

$ millions; after tax

21

Table 2: EFH Corp. Adjusted  EBITDA Reconciliation

Twelve Months Ended December 31, 2007 and 2006

$ millions

15

(15)

-

Shareholder litigation charges (credits)

(17)

17

-

Severance

expenses

6

24

-

24

Transition

and

business

optimization

costs

5

(26)

(7)

(33)

Restructuring

and

other

4

122

28

150

Transaction and merger expenses³

138

-

138

Purchase accounting adjustments²

(165)

165

-

One-time customer appreciation bonus

553

204

757

Impairment of assets and inventory write-down¹

2,550

(272)

2,278

Unrealized

mark-to-market

net

losses

(gains)

–

hedging

program

62

(87)

(25)

Income from discontinued operations, net of tax

4

65

69

Amortization of nuclear fuel

(34)

(46)

(80)

Interest income

(14)

340

326

Oncor

dividends

(15)

(1,276)

(1,291)

Oncor

EBITDA

Adjustments to EBITDA (pre-tax):

(3,917)

5,475

1,558

EBITDA

219

830

1,049

Depreciation and amortization

680

830

1,510

Interest expense and related charges

(1,627)

1,263

(364)

Provision for income tax expense (benefit)

(3,189)

2,552

(637)

Net income (loss)

Change

2006

2007

Factor

Note: Table and footnotes to this table continue on following page  

22

Table 2: EFH Corp. Adjusted  EBITDA Reconciliation (continued from previous page)

Twelve Months Ended December 31, 2007 and 2006

$ millions

(711)

5,627

4,916

Adjusted EBITDA per Restricted Payments Covenants

22

956

978

Add

back

Oncor

adjustments

(733)

4,671

3,938

Adjusted EBITDA per Incurrence Covenant

(1)

1

-

Loss on early extinguishment of debt and energy services contract

(1)

23

22

Non-cash

compensation

expenses

(FAS

123R)

8

1

38

39

Loss on sales of receivables

1

4

5

Expenses

incurred

to

upgrade

or

expand

a

generation

station

7

(13)

14

1

Equity losses of unconsolidated affiliate engaged in BPL

Change

2006

2007

Factor

1

Impairment

of

assets

includes

charges

in

2007

related

to

the

canceled

development

of

coal-fueled

generation

facilities

and

the

2006

impairment of natural gas fueled generation units.

2

Purchase

accounting

adjustments

include

amortization

of

the

intangible

net

asset

value

of

retail

and

wholesale

power

sales

agreements,

emission

credits,

coal

purchase

contracts

and

power

purchase

agreements

and

the

stepped

up

value

of

nuclear

fuel.

Also includes certain credits not recognized in Net Income due to purchase accounting.

3

Transaction and merger expenses include costs related to the Merger, abandoned strategic transactions, a terminated joint-venture, the

canceled development of coal-fueled generation facilities, the Sponsor management fee and growth initiatives (primarily in 2006).

4

Restructuring and other includes credits related to impaired combustion turbine leases and other restructuring initiatives and non-

recurring activities.

5

Transition and business optimization costs include professional fees primarily for retail billing and customer care systems

enhancements and incentive compensation.

6

Severance expense includes amounts incurred related to outsourcing, restructuring and other amounts deemed to be in excess of

normal recurring amounts.

7

Expenses incurred to upgrade or expand a generation station reflect non-capital outage costs.

8

Non-cash compensation expenses exclude capitalized amounts.