Exelon Generation 8-K Cost Associated with Exit or Disposal Activities

Retirement of Cromby Station and Eddystone 1&2

Investor Conference Call

December 2, 2009

EXHIBIT 99.2

2

Forward-Looking Statements

and Other Important Information

This presentation includes forward-looking statements within the meaning of the Private

Securities Litigation Reform Act of 1995, that are subject to risks and uncertainties. The

factors that could cause actual results to differ materially from these forward-looking

statements include those discussed herein as well as those discussed in (1) Exelon’s 2008

Annual Report on Form 10-K in (a) ITEM 1A. Risk Factors, (b) ITEM 7. Management’s

Discussion and Analysis of Financial Condition and Results of Operations and (c) ITEM 8.

Financial Statements and Supplementary Data: Note 18; (2) Exelon’s Third Quarter 2009

Quarterly Report on Form 10-Q in (a) Part II, Other Information, ITEM 1A. Risk Factors

and (b) Part I, Financial Information, ITEM 1. Financial Statements: Note 14 and (3) other

factors discussed in filings with the Securities and Exchange Commission (SEC) by Exelon

Corporation and Exelon Generation Company, LLC (Companies). Readers are cautioned

not to place undue reliance on these forward-looking statements, which apply only as of

the date of this presentation. None of the Companies undertakes any obligation to publicly

release any revision to its forward-looking statements to reflect events or circumstances

after the date of this presentation.

3

Retiring Cromby Station and Eddystone 1&2

•

Cromby Station will be permanently

retired on May 31, 2011

–

Placed in service in 1954-55

–

144 MW coal and 201 MW oil/gas

•

Eddystone Station Units 1&2 will be

permanently retired on May 31, 2011

–

Placed in service in 1960

–

588 MW of coal capacity at units

1&2

–

Units 3&4 (760 MW oil/gas) and 4

peaking units (60 MW) will continue

to operate

Cromby Station

Phoenixville, PA

Eddystone Station

Eddystone, PA

4

Economic Analysis and Accounting

Considerations

•

Units

incurred

a

net

cash

outflow in excess of $60 million from 2007 to

2008 and a modest net loss

•

Economics were evaluated under multiple market price scenarios

•

Retirements yield ~$165-200 million incremental NPV

–

Avoids ongoing operating and capital costs on aging units

–

Market conditions in near term are challenged

–

Supply

response

to

market

signals

-

these

units

have

not

cleared

in

recent

RPM

capacity auctions

–

Anticipates likely environmental regulations and avoids related capital investment

•

Accounting Considerations:

–

Pre-tax charges related to severance, write down of material and supply

inventories, incremental accelerated depreciation and other plant closure costs will

be

excluded

from

adjusted

(non-GAAP)

operating

earnings

(1)

•

4

th

Quarter

2009:

$56

million

•

2010:  $138 million

•

2011:  $64 million

Retirement decision is positive NPV under a number of market scenarios

(1)

Amounts

and

timing

are

estimated.

The

final

amount

and

timing

of

charges

will

ultimately

depend

upon

the

specific

employees

severed and execution of the related plant closure activities.

5

Projected O&M Savings and Capital

Expenditure Reductions

•

2010

impacts

reflected

in

earnings,

operating

O&M

and

cap

ex

guidance

(1)

•

Operating O&M savings primarily relate to headcount reductions and ongoing

maintenance costs

–

Approximately 280 positions eliminated as a result of unit retirements

–

Results in longer-term operating O&M savings of approximately $75 million per year

•

Impact on Operating Earnings and Capital Expenditures

Retirements increase ongoing operating earnings and improve future free cash flow

(1)

2010 guidance as of November 2, 2009 EEI Presentation.

(2)

Does

not

reflect

impacts

of

accelerated

depreciation

in

2010

and

2011

of

$130

million

and

$56

million,

respectively.

$80

$85

$40

Capital Expenditure Reduction

$40

$18

$24

Incremental Pre-Tax Operating

Income

45

22

0

Depreciation Savings

(2)

75

46

24

Operating O&M Savings

$(80)

$(50)

$0

Revenue Net Fuel

2012

2011

2010

($ in millions)

6

Portfolio Implications

•

Cromby and Eddystone have not cleared in the past two RPM capacity auctions

(2011/12 and 2012/13)

•

May 31, 2011 is the end of RPM capacity obligation for Cromby station and

Eddystone coal units

•

Units will not be bid into RPM auction for 2013/2014 in May 2010

•

Impact on Hedging Disclosures (as of 9/30/09):

–

No impact on 2010 due to May 2011 retirement date

–

Mid-Atlantic Expected Generation (GWh)

(1)

–

Open Gross Margin ($ millions)

(2)

59,800

With

Cromby/Eddystone

59,100

With

Cromby/Eddystone

56,700

57,200

Without

Cromby/Eddystone

Without

Cromby/Eddystone

2012

2011

Retirements do not impact our ability to meet current obligations or our continued

participation in future load-following opportunities

Without

Cromby/Eddystone

$5,850

With

Cromby/Eddystone

$5,950

With

Cromby/Eddystone

$5,750

$5,900

Without

Cromby/Eddystone

2012

2011

(1)

Expected generation represents the amount of energy estimated to be generated or purchased through owned or contracted for capacity.  Expected generation is based upon a simulated dispatch model that makes assumptions

regarding future market conditions, which are calibrated to market quotes for power, fuel, load following products, and options.  Expected generation assumes 10 refueling outages in 2010 and 11 refueling outages in 2011 and

2012 at Exelon-operated nuclear plants and Salem.  Expected generation assumes capacity factors of 93.5%, 92.8% and 92.8% in 2010, 2011 and 2012 at Exelon-operated nuclear plants. These estimates of expected generation

in 2011 and 2012 do not represent guidance or a forecast of future results as Exelon has not completed its planning or optimization processes for those years.

(2)

Gross margin is defined as operating revenues less fuel expense and purchased power expense, excluding the impact of decommissioning and other incidental revenues. Open gross margin is estimated based upon an internal

model that is developed by dispatching our expected generation to current market power and fossil fuel prices.  Open gross margin assumes there is no hedging in place other than fixed assumptions for capacity cleared in the RPM

auctions and uranium costs for nuclear power plants.  Open gross margin contains assumptions for other gross margin line items such as various ISO bill and ancillary revenues and costs and PPA capacity payments.  The

estimation of open gross margin incorporates management discretion and modeling assumptions that are subject to change.

7

Next Steps

•

PJM Notification filed December 2, 2009

•

PJM expected to issue Notice of Reliability Impact by

January 4, 2010

•

Permanently retire units on May 31, 2011