Exhibit 99.1
[Exelon Logo]
Exelon Corporation -
A Measure of Our Strength
Oliver D. Kingsley, Jr.
Senior Executive Vice President
Lehman Brothers Conference
New York City
September 4, 2002
[Exelon Logo]
Forward-Looking Statements
This presentation contains certain forward-looking statements 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 2001 Annual Report and those discussed in "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and Results of
Operations" in Exelon Generation Company, LLC's Registration Statement on Form
S-4, Reg. No. 333-85496. Readers are cautioned not to place undue reliance on
these forward-looking statements, which speak only as of the date of this
presentation. 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 presentation.
[Exelon Logo]
One Company, One Vision
Exelon strives to build exceptional value - by becoming the best and most
consistently profitable electricity and gas company in the United States.
To succeed, we must....
- LIVE UP TO OUR COMMITMENTS
- PERFORM AT WORLD-CLASS LEVELS
- INVEST IN OUR CONSOLIDATING INDUSTRY
[Exelon Logo]
What Is Exelon?
----------------------------------- -------------------------- ----------------------- ---------------------
US Electric US
Companies Companies
----------------------------------- -------------------------- ----------------------- ---------------------
Retail Electric Customers 5.1 Million 1st -
Nuclear Capacity 15K MWs* 1st -
US Generating Capacity 41K MWs** 1st -
2001 Revenue $15.1 Billion 9th 135th
2001 Net Income $1.4 Billion 2nd 53rd
Market Cap $16.6 Billion (8/27/02) 4th (8/27/02) 106th (8/27/02)
----------------------------------- -------------------------- ----------------------- ---------------------
* Includes AmerGen investment
** Includes AmerGen and Sithe investments
[Exelon Logo]
YTD Relative Stock Performance
[This slide includes a line chart depicting Exelon's stock performance relative
to the PHL Utility Average, S&P 500 Index and S&P Utility Index from December
31, 2001 to August 29, 2002. Exelon's stock followed the same trends but
outperformed the indices for the comparison period. See data points below
expressed as percentages as compared to December 31, 2001 values:
PHL S&P S&P
Utility 500 Elec Util
EXC Avg. Index Index
- -------------------------------------------------------------
12/31/2001 100 100 100 100
1/2/2002 101.25 101.21 100.57 101.19
1/3/2002 101.09 100.58 101.5 100.46
1/4/2002 100.02 99.91 102.13 99.8
1/7/2002 100.36 100.66 101.46 100.51
1/8/2002 98.79 99.28 101.1 99.09
1/9/2002 97.22 99.41 100.61 98.99
1/10/2002 98.93 99.92 100.74 99.49
1/11/2002 98.71 99.14 99.78 98.53
1/14/2002 100.77 100.27 99.16 99.36
1/15/2002 100.56 100.76 99.84 99.68
1/16/2002 100.46 100.53 98.21 99.74
1/17/2002 98.16 98.77 99.2 98.02
1/18/2002 97.77 98.99 98.21 98.04
1/22/2002 96.14 97.89 97.49 96.69
1/23/2002 96.68 97.99 98.27 96.94
1/24/2002 97.87 98.41 98.61 97.08
1/25/2002 97.93 98.41 98.71 97.05
1/28/2002 97.99 98.16 98.69 96.68
1/29/2002 97.7 96.46 95.87 94.78
1/30/2002 100.27 96.43 96.99 94.66
1/31/2002 102.84 97.94 98.44 96.13
2/1/2002 104.7 98.17 97.75 96.64
2/4/2002 105.45 97.58 95.33 95.72
2/5/2002 105.05 96.41 94.94 94.43
2/6/2002 104.43 94.95 94.38 92.74
2/7/2002 105.68 95.38 94.08 93.41
2/8/2002 105.7 95.37 95.48 93.52
2/11/2002 106.22 96.13 96.85 94.4
2/12/2002 108.1 96.59 96.47 94.99
2/13/2002 105.24 97.09 97.42 95.35
2/14/2002 104.37 96.64 97.25 94.93
2/15/2002 105.05 95.14 96.18 93.43
2/19/2002 103.2 93.79 94.36 93.43
2/20/2002 103.34 93.8 95.64 91.8
2/21/2002 101.36 93.21 94.15 91.22
2/22/2002 103.28 94.03 94.93 92.01
2/25/2002 103.74 94.04 96.63 91.91
2/26/2002 103.82 94.64 96.63 92.67
2/27/2002 103.97 95.43 96.67 93.44
2/28/2002 102.92 95.59 96.4 93.5
3/1/2002 105.51 97.11 98.58 94.97
3/4/2002 105.99 98.46 100.5 96.64
3/5/2002 106.2 99.6 99.83 98.06
3/6/2002 109.38 101.1 101.28 99.9
3/7/2002 109.42 101.14 100.82 100.13
3/8/2002 108.6 100.65 101.41 99.79
3/11/2002 109.13 101.05 101.76 100.21
3/12/2002 108.58 100.07 101.52 99.15
3/13/2002 107.98 99.34 100.52 98.33
3/14/2002 109.44 99.52 100.43 98.49
3/15/2002 109.48 99.81 101.57 98.77
3/18/2002 110.19 100.66 101.52 99.98
3/19/2002 110.55 100.85 101.93 100.39
3/20/2002 108.19 100.59 100.33 100.04
3/21/2002 110.09 103.17 100.48 102.84
3/22/2002 111.11 103.07 100.05 102.67
3/25/2002 110.9 102.75 98.59 102.42
3/26/2002 108.81 102.12 99.16 101.49
3/27/2002 110.36 103.32 99.7 102.93
3/28/2002 110.63 103.52 99.94 103.19
4/1/2002 110.13 103 99.87 102.65
4/2/2002 109.65 103.35 99.01 102.98
4/3/2002 109.65 103.17 98.02 102.68
4/4/2002 109.02 103.85 98.11 103.04
4/5/2002 108.06 103.4 97.79 102.58
4/8/2002 108.83 103.78 98.01 102.78
4/9/2002 107.66 103.15 97.36 102.05
4/10/2002 109.96 104.55 98.47 103.59
4/11/2002 108.77 103.07 96.13 102.2
4/12/2002 108.92 103.45 96.77 102.67
4/15/2002 108.31 101.7 96.03 101.42
4/16/2002 109.5 102.85 98.28 102.74
4/17/2002 109.69 104.02 98.08 103.43
4/18/2002 110.11 104.52 97.94 104.32
4/19/2002 111.63 105.01 98 104.93
4/22/2002 112.78 105.15 96.49 104.99
4/23/2002 112.78 105.93 95.9 105.67
4/24/2002 113.62 105.91 95.21 105.66
4/25/2002 112.55 104.55 95.07 104.26
4/26/2002 113.58 103.73 93.75 103.67
4/29/2002 111.51 104.25 92.8 103.71
4/30/2002 113.41 105.31 93.8 104.73
5/1/2002 114.04 104.99 94.63 104.49
5/2/2002 114.35 105.29 94.47 104.96
5/3/2002 114.83 105.45 93.5 105.03
5/6/2002 115.71 105.3 91.69 104.99
5/7/2002 117.52 104.5 91.41 104.39
5/8/2002 118.88 104.96 94.84 104.87
5/9/2002 116.96 104.16 93.46 104.05
5/10/2002 116.88 102.53 91.89 102.38
5/13/2002 114.97 102.3 93.6 101.79
5/14/2002 114.66 102.55 95.58 101.73
5/15/2002 114.58 101.11 95.03 100.56
5/16/2002 110.78 98.48 95.66 98.16
5/17/2002 108.58 97.27 96.39 97.42
5/20/2002 108.4 99.06 95.1 99.13
5/21/2002 108.92 99.65 94.06 99.91
5/22/2002 112.8 102 94.59 102.21
5/23/2002 114.72 102.81 95.56 103.05
5/24/2002 114.04 102.39 94.4 102.89
5/28/2002 113.39 102.02 93.6 102.54
5/29/2002 112.16 100.34 93 101.05
5/30/2002 113.83 99.29 92.73 100.55
5/31/2002 111.72 98.89 92.95 99.97
6/3/2002 109.34 96.53 90.65 97.8
6/4/2002 110.25 97.34 90.65 98.4
6/5/2002 110.42 96.25 91.45 97.36
6/6/2002 107.52 93.78 89.64 94.96
6/7/2002 108.29 93.58 89.5 95.22
6/10/2002 109.65 94.15 89.78 96.18
6/11/2002 109.98 94.04 88.29 96.05
6/12/2002 111.05 95.13 88.87 96.59
6/13/2002 112.03 96.04 87.93 97.05
6/14/2002 110.07 95.41 87.74 96.15
6/17/2002 110.69 96.63 90.25 97.21
6/18/2002 112.99 97.8 90.34 98.06
6/19/2002 113.28 97.11 88.84 97.24
6/20/2002 110.76 95.32 87.65 96.09
6/21/2002 111.32 95.87 86.16 96.42
6/24/2002 108.81 94.18 86.47 94.71
6/25/2002 108.23 93.85 85.02 94.35
6/26/2002 107.87 93.22 84.8 93.6
6/27/2002 107.98 93.55 86.29 93.97
6/28/2002 109.23 95.09 86.22 95.46
7/1/2002 107.44 93.29 84.37 94.05
7/2/2002 105.89 91.58 82.58 92.29
7/3/2002 105.26 90.82 83.09 91.59
7/5/2002 105.05 91.59 86.15 92.24
7/8/2002 103.63 90.88 85.1 91.31
7/9/2002 100.77 88.15 82.99 88.57
7/10/2002 96.83 82.94 80.17 83.8
7/11/2002 98.98 85.94 80.78 86.58
7/12/2002 94.8 82.59 80.25 84.21
7/15/2002 94.51 83.84 79.95 86.2
7/16/2002 95.24 81.27 78.47 83.88
7/17/2002 93.57 80.79 78.92 83.16
7/18/2002 92.38 78.2 76.79 81.05
7/19/2002 88.99 74.53 73.84 76.96
7/22/2002 88.64 73.69 71.41 76.34
7/23/2002 84.27 68.05 69.48 70.27
7/24/2002 91.9 74.37 73.46 76.19
7/25/2002 95.13 77.43 73.05 79.55
7/26/2002 93.9 75.87 74.28 77.98
7/29/2002 92.42 76.46 78.3 78.63
7/30/2002 100.38 81.84 78.63 83.82
7/31/2002 102.44 82.8 79.4 84.97
8/1/2002 100.25 80.61 77.06 82.44
8/2/2002 97.68 79.07 75.28 81.03
8/5/2002 98.08 78.8 72.7 80.8
8/6/2002 100.5 81.6 74.87 83.63
8/7/2002 100.65 82.13 76.37 84.15
8/8/2002 101.96 83.25 78.87 85.26
8/9/2002 102.76 83.59 79.14 85.51
8/12/2002 103.84 84.95 78.72 87.08
8/13/2002 100.21 83.02 77.02 84.66
8/14/2002 104.34 85.66 80.1 87.17
8/15/2002 103.03 85.29 81.03 86.76
8/16/2002 101.48 83.98 80.9 85.74
8/19/2002 103.28 84.97 82.81 86.64
8/20/2002 104.16 85.12 81.65 86.7
8/21/2002 108.4 87.42 82.69 88.92
8/22/2002 108.17 88.59 83.85 90.33
8/23/2002 106.75 87.13 81.95 88.97
8/26/2002 107.39 88.96 82.57 90.64
8/27/2002 107.29 87.497 81.42 89.54
8/28/2002 106.12 87.15 79.95 88.87
8/29/2002 104.45 86.02 79.94 87.53]
[Exelon Logo]
Strategic Initiatives Update
- Cost Management Initiative
- Sithe Energies Investment
- Midwest Generation contract
- Provider of Last Resort (POLR) filing
- Enterprises Path to Value
[Exelon Logo]
Cost Management Initiative Success
- CMI is ongoing initiative, not a one-shot austerity program
- Results to date - better than plan
o Target for 2002: $200 million
o Actual through July: $133 million
- Commitment for 2003
o Savings targets included in 2003 planning; 2002 base built in
o Continued focus on sustainable savings
o CMI teams are still active
[Exelon Logo]
Sithe Portfolio
- - Sithe New England assets
- Operating, merchant plants - 1,644 MWs
- Under construction - 2,421 MWs
- - Other Sithe assets
- Operating, merchant plants - 344 MWs
- Operating, qualifying facilities - 977 MWs
- Under construction - 230 MWs
- Under advanced development - 1,600 MWs
[Exelon Logo]
Midwest Gen Contract Provides Flexibility
- - Exelon/Midwest Generation contract runs through 2004
- Includes options for supply choices
- - July 1 - decision on option coal generation
- Turned back 2,684 MWs
- Retained 1,265 MWs
-Assured adequate supply, reliability of T&D system
- - October - decision on options for Collins (2,698 MWs) and peakers (994 MWs)
- - Midwestern area has seen active development of new peaker capacity
- - Opportunity for Exelon to restructure its portfolio
[Exelon Logo]
Illinois Provider of Last Resort Proposal
- - Offer fixed-price service for mass-market customers
- - Petitioned ICC to declare large commercial and industrial class (usage at or
above 3 MW) competitive
- Implementation would begin June 2003, be fully implemented June 2006
- Covers about 370 customers representing a 2,500-MW load
- Free up capacity in Midwest for competitors
[Exelon Logo]
Enterprises Paths to Value
|--------------------------------------| |---------------------------------|
| | | |
| Current Focus | | Paths to Value |
|--------------------------------------| |---------------------------------|
| A | | | Immediate exit/close |
| l | | | - Losses/Low return |
| l | | | - No business unit fit |
| | Achieving Profitable | |---------------------------------|
| B | Operations | | |
| u | | | Exit upon market recovery |
| s | | \ | - Timing of sale |
| i | | ---------------- \ | - No strategic fit |
| n |-------------------------------| \ |---------------------------------|
| e | | / | |
| s | | ---------------- / | Fix then exit |
| s | Releasing Maximum | / | - Improve Value |
| e | Value to the | | |
| s | Corporation | |---------------------------------|
| | | | |
| | | | Fix and Hold |
| | | | - Exceed cost of capital |
| | | | - Increase value short term| |
| | | | - Strategic fit |
| | | |---------------------------------|
| | | | |
| | | | Divest profitable businesses |
| | | | for cash |
|------|-------------------------------| |---------------------------------
[Exelon Logo]
Upcoming Events in 2002
- - Midwest Generation options
- - Illinois Commerce Commission decisions on ComEd audit and
POLR filing
- - Additional Sithe-related transactions
- - Q3 earnings results
[Exelon Logo]
Our Vision = Value Creation
- - Committed to Growth
- - Capitalize on Strengths
- - Focus on Fundamentals and Discipline
- - Committed to Performance