Tennessee Valley Authority · NYSE:TVC

Tennessee Valley Authority — FY2016 Earnings Presentation

8 slides from Tennessee Valley Authority's earnings presentation, Nov 10, 2016

  1. Slide 1: Financial Performance Update

    Financial Performance Update JOHN THOMAS Executive Vice President and Chief Financial Officer EXHIBIT 99.1

  2. Slide 2: Fiscal Year 2016 Highlights

    Fiscal Year 2016 Net Income: $1,233M $641M more than budget and $122M above last year Operating Revenues: Effective rate of 6.7¢ v. 6.9¢ last year Favorable fuel cost results in lower customer rates Operating & Maintenance Expenses: $77M favorable to budget Reduced O&M over $800M Interest Expense: $

  3. Slide 3: Warm Winter – Long, Hot Summer

    | 3 Warm Winter – Long, Hot Summer BOARD MEETING Fiscal years 1962 through 2016 (ranked low to high). FY16 heating degree days adjusted for leap year for comparison purposes

  4. Slide 4: Summary Income Statement

    Summary Income Statement $641M favorable due to lower expenses, despite unfavorable winter weather FY 2016 FY 2015 $ million Actual Budget Variance Actual '16 v '15 Fav/(Unfav) Fav/(Unfav) Operating Revenue $ 10,616 $ 10,754 $ (138) $ 11,003 $ (387) Fuel & Purchased Power 3,090 3,406 316 3,394 304 T

  5. Slide 5: Summary Cash Flow Statement

    Summary Cash Flow Statement FY 2016 FY 2015 $ million Actual Budget Variance Actual '16 v '15 Cash Flow from Operating Activities $ 3,042 $ 2,632 $ 410 $ 3,315 $ (273) Cash Flow used in Investing Activities (3,113) (3,176) 63 (3,585) 472 Cash Flow from Financing Activities 71 544 (473) 70 1 Net Chan

  6. Slide 6: FY 2016 Summary (Results v. Plan)

    FY 2016 Summary (Results v. Plan) Lower Rates for our Customers Lower Expenses Lower Debt Balance Higher Net Income BOARD MEETING | 6

  7. Slide 7: Financial Track Record

    Financial Track Record BOARD MEETING | 7

  8. Slide 8: Appendix: Regulation G Reconciliation

    APPENDIX Regulation G Reconciliation Total Debt and Other Financing Obligations, gross Energy prepayment aa Leaseback obligation Debt. Cline interest entities Bonds exchenge | ieesit gan) pre smium: Debt of variable interest entities Total outstanding debt September 30, 2016 September 30, 2015

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