Capital Power Corporation · TSX:CPX
Capital Power — CIBC Institutional Investor Conference 2019
12 slides from Capital Power's conference presentation, Jan 24, 2019
Slide 1: Delivering a Sustainable Future
Delivering a Sustainable Future Brian Vaasjo, President & CEO CIBC Institutional Investor Conference January 24, 2019 capitalpower.com
Slide 2: Growth-oriented North American power producer
Growth-oriented North American power producer • 5,100 MWs of owned capacity • Highly-contracted portfolio • History of dividend growth with 7% annual growth guidance out to 2021 • Strong pipeline of contracted growth opportunities • Committed to investment grade credit rating capitalpower.com 2
Slide 3: Young fleet with long asset lives
Young fleet with long asset lives Average age 15 years(1) New Frontier Wind 95% 5-year average availability Bloom Wind Beaufort Solar Shepard Energy Centre (2019 target of 95%) Port Dover & Nanticoke Halkirk Quality Wind York Energy Macho Springs of current generation Keephills 3 East Windsor 3% por
Slide 4: EBITDA from new assets has supported dividend growth
EBITDA from new assets has supported dividend growth(1-5) $500 Arlington Valley 2019 toll Arlington Valley Whitla $400 New Frontier Decatur EnPower Waste Heat $300 East Windsor ($M) York Energy Bloom $200 Beaufort Macho K2 $100 Shepard PDN Halkirk $0 2012 2013 2014 2015 2016 2017 2018E 2019T Quality
Slide 5: AFFO growth and conservative payout supports dividend growth
AFFO(1,2) growth and conservative payout supports dividend growth Expect to generate $295M in discretionary cash flow in 2019 ($M) $600 $500 $400 39% Gross common dividends(3) $300 46% 44% Discretionary cash flow 41% $200 49% 51% $100 $- (4) 2014 2015 2016 2017 2018T 2019T Long-term AFFO payout rati
Slide 6: Dividend growth guidance extended to 2021
Dividend growth guidance extended to 2021 Annualized dividend $2.19 per share(1,2) $2.05 $1.92 $1.79 $1.67 $1.56 $1.46 $1.36 $1.26 2013 Y/E 2014 Y/E 2015 Y/E 2016 Y/E 2017 Y/E 2018 Y/E 2019T 2020T 2021T 1) Subject to market conditions, economic outlook, cash flow forecast, and Board approval at the
Slide 7: Stable outlook in Alberta power prices
Stable outlook in Alberta power prices 70 Material improvement in Quarterly Annual 2018 power prices 60 • Coal plant retirements / 50 mothballing • Robust demand growth 40 • Higher carbon tax $/MWh 30 20 10 0 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18 Q4/18 2016 2017 2018 2019 2020 2021 Fwds Fwds Fwd
Slide 8: Current projects under construction/development
Current projects under construction/development Additional 350 MWs of long-term contracted wind facilities to be added by Mar/20 2018 2019 2020 2021 New Frontier Wind Whitla Wind Cardinal Point Wind (North Dakota) (Alberta) (Illinois) 99 MW, 12-year PPA • 201.6 MW (Phase 1) • 150 MW Project comp
Slide 9: Visible pipeline of growth opportunities in targeted markets
Visible pipeline of growth opportunities in targeted markets >2,000 MW Potential wind developments Genesee Expansion Terrace Thermal CBEC Expansion Klo Wind Frederickson 2 Halkirk 2 Whitla 2 >3,500 MW Nolin Hills Whitla 1 KWCG Madoc Solar Potential gas developments Garrison Butte Tisch Mills YEC Exp
Slide 10: Attractive investment opportunity
Attractive investment opportunity • Delivering on or exceeding 2018 targets • Excellent 2019 outlook with strong financial targets, normalized 2019 AFFO up 17% • Stability returned to Alberta power market • Proven track record and guidance for sustainable dividend growth • Dividend yield improvement
Slide 11: Forward-looking information
Forward-looking information Forward-looking information or statements in this presentation and in responses to questions are provided to inform the Company’s shareholders and potential investors about management’s assessment of Capital Power’s future plans and operations. This information may not be
Slide 12: Investor Relations Contact
Investor Relations Contact Randy Mah 10423 101 Street NW Director 11th Floor (780) 392-5305 Edmonton, Alberta rmah@capitalpower.com Canada, T5H 0E9 www.capitalpower.com capitalpower.com 12
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