Exhibit 99.2
[Exelon Logo]
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TXU Acquisition Highlights
Overview
o TXU and Exelon Generation have reached agreement whereby Exelon will
acquire Mountain Creek and Handley Generation Stations.
o Closing is contingent on the necessary regulatory approvals and is
anticipated in the First Quarter, 2002.
o The agreement also calls for a tolling agreement under which TXU will toll
100% of Mountain Creek's and Handley's capacity during the months of May
through September 2002-2006 at a fixed capacity charge and reimbursement
for variable costs of generation.
o Under the agreement, the TXU employees at these sites will become employees
of Exelon Generation.
About The Plant:
o Approximately 2,300 MW's
o Located within the transmission constrained Dallas/Fort Worth region of
ERCOT
o Gas fired steam turbine generation
Terms of the Sale:
o Acquisition Price:
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* $443 million
* Acquisition costs includes all fuel and consumables inventory as
well as all spare parts.
o Target Closing Date:
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* Target date: February/March 2002
Financial Benefits:
o Five year tolling agreement provides Exelon with revenue assurance.
Commodity risk (gas and electricity) remains with TXU while Exelon assumes
the operational risks of the units. The tolling agreement also keeps Exelon
whole on a revenue basis for reductions in capacity at these stations to
comply with changing environmental regulations.
(more)
o Based on Exelon due diligence, we believe there is an opportunity to
replace some of the smaller and older units at Handley and Mountain Creek
with more efficient combined cycle or peaking plants. While the ERCOT
region is, in general, being oversupplied, the Dallas/Fort Worth metroplex
is the largest importer of power in the U.S. Dallas/Fort Worth is growing
at approximately 500 MW's per year. This is about the same amount of growth
as all of PJM.
o Exelon anticipates that this transaction will increase annual EPS by about
10 cents per year based on a 100% cash funding assumption.
Contact: Linda Byus, CFA
312.394.7696
"This document contains certain forward-looking statements of Exelon Corporation
within the meaning of the Private Securities Litigation Reform Act of 1995.
These statements are based on management's current expectations and are subject
to uncertainty and changes in circumstances. Actual results may vary materially
from the expectations contained herein. The forward-looking statements herein
include statements about future financial and operating results of Exelon.
Economic, business, competitive and/or regulatory factors affecting Exelon's
businesses generally could cause actual results to differ materially from those
described herein. For a discussion of the factors that could cause actual
results to differ materially, please see Exelon's filings with the Securities
and Exchange Commission, particularly those discussed in "Management's
Discussion and Analysis of Financial Condition and Results of Operations--
Outlook" in Exelon's 2000 Annual Report to Shareholders. Readers are cautioned
not to place undue reliance on these forward-looking statements, which speak
only as of the date of this release. Exelon does not undertake any obligation to
publicly release any revisions to these forward-looking statements to reflect
events or circumstances after the date of this release."