Slide 1: Leading the Way to a Sustainable Energy Future
Leading the Way to a Sustainable Energy Future First Quarter 2021 Earnings May 11, 2021
Slide 2: Cautionary Statements
Cautionary Statements Forward-looking Statements Statements in this presentation not based on historical facts are considered "forward-looking" and, accordingly, involve risks and uncertainties that could cause actual results to differ materially from those discussed. Although such forward-looking s
Slide 3: Business Update
Business Update Warner Baxter Chairman, President and Chief Executive Officer, Ameren Corp. Ameren Missouri’s 400 MW High Prairie Renewable Energy Center placed in-service Dec. 2020
Slide 4: Earnings and Guidance Summary
Earnings and Guidance Summary • Remain focused on safety and executing strategic plan Diluted EPS • Key Q1 earnings variance drivers Q1 2020 vs. Q1 2021 ↑ Earnings on increased infrastructure investments across all business segments $0.91 ↑ Higher Ameren Missouri electric service rates effective Apr
Slide 5: Executing Our Strategy
Executing Our Strategy Our Strategic Plan • Investing in and operating our utilities in a manner consistent with existing Capital Expenditures regulatory frameworks YTD Mar. 31, 2021 • Enhancing regulatory frameworks and advocating for responsible energy and ($ millions) economic policies $880 • Cre
Slide 6: Illinois Legislative Initiatives
Illinois Legislative Initiatives Enhancing regulatory frameworks and advocating for responsible energy and economic policies Ameren Illinois Electric and Natural Gas Distribution • Downstate Clean Energy Affordability Act1 (HB 1734 / SB 311) introduced in Feb. 2021 – Allows utility-owned solar and b
Slide 7: Ameren Transmission Regulatory Matters
Ameren Transmission Regulatory Matters Enhancing regulatory frameworks and advocating for responsible energy and economic policies • In Apr. 2021, FERC issued supplemental Notice of Proposed Rulemaking that would remove incentive adder for utilities that have been members of an RTO for three years o
Slide 8: MISO Long-Range Transmission Planning Roadmap
MISO Long-Range Transmission Planning Roadmap Creating and capitalizing on opportunities for investment for the benefit of our customers, shareholders and the environment • In Apr. 2021, MISO issued report outlining preliminary long-range transmission planning roadmap through 2039 – Generation resou
Slide 9: Missouri Renewable Energy Investments
Missouri Renewable Energy Investments Creating and capitalizing on opportunities for investment for the benefit of our customers, shareholders and the environment 400 MW High Prairie Renewable Energy 300 MW Atchison Renewable Energy Center located in northeast Missouri Center located in northwest Mi
Slide 10: Callaway Energy Center
Callaway Energy Center • During facility’s return to power in late Dec. 2020, a non-nuclear operating issue occurred related to its generator • Team is executing plan to safely and sustainably return energy center to service – Work continues on generator stator and rotor – Continue to expect ~$65 mi
Slide 11: Our Sustainability Value Proposition
Our Sustainability Value Proposition ENVIRONMENTAL SOCIAL IMPACT GOVERNANCE • Accelerating transition to a cleaner and • Delivering value to our customers in 2020 • Diverse BOD focused on strong oversight more diverse portfolio while focused on safety-first work culture – 62% women or racially/ethni
Slide 12: Progress Made on Sustainability Initiatives in 2021
Progress Made on Sustainability Initiatives in 2021 • Environmental – Acquired 300 MW Atchison Renewable Energy Center – Issued 2021 Climate Risk Report with risk and scenario analysis; preferred plan consistent with the Paris Agreement and limiting global temperature rise to 1.5 degrees Celsius; al
Slide 13: Robust Investment Opportunities Across All Businesses Over Next Decade
Robust Investment Opportunities Across All Businesses Over Next Decade Modernizing the grid and investing in cleaner generation for the long-term benefit of customers, shareholders and the environment Additional Investment Investment Plan 2021-20251 Opportunities 2021-20301 $40B+ ($ billions) $23+ S
Slide 14: Long-term Total Return Outlook
Long-term Total Return Outlook • Remain on track to deliver strong long-term earnings growth – Expect 6% to 8% EPS CAGR from 2021-20251 • Using 2021 EPS guidance midpoint of $3.75 as the base 2020-2025E Regulated Five-Year Rate – Expect ~8% rate base CAGR from 2020-20251,2 Infrastructure Rate Base1,
Slide 15: Financial Update
Financial Update Michael Moehn Executive Vice President and Chief Financial Officer, Ameren Corp.
Slide 16: 2021 First Quarter Earnings Analysis – Key Drivers
2021 First Quarter Earnings Analysis – Key Drivers1 ↑ Ameren Missouri earnings — New electric service rates effective Apr.1, 2020: ~+$0.10 — Lower other operations and maintenance expenses: +$0.07 • Cash surrender value of COLI: +$0.03 Diluted EPS — Higher electric retail sales: ~+$0.04 Q1 2020 vs.
Slide 17: 2021 EPS Guidance and Select Balance of the Year Considerations
2021 EPS Guidance and Select Balance of the Year Considerations • Affirm 2021 diluted EPS guidance range of $3.65 to $3.85 2021E • Select considerations for Q2-Q4 2021 EPS compared to Q2-Q4 Diluted EPS 2020 EPS $3.85 – Ameren Missouri seasonal rate design effective in 2021 as a result of March 2020
Slide 18: Select Regulatory Items – Ameren Missouri
Select Regulatory Items – Ameren Missouri Electric Rate Review Update • $299 million annual revenue increase request filed Mar. 31 with MoPSC – ROE: 9.9% and equity ratio: 51.9% – Rate base: $10.0 billion (Sep. 30, 2021 estimate) – Test year ended Dec. 31, 2020, with certain pro-forma adjustments th
Slide 19: Select Regulatory Items – Ameren Missouri, Cont'd
Select Regulatory Items – Ameren Missouri, Cont’d Natural Gas Rate Review • $9 million annual revenue increase request filed Mar. 31 with MoPSC – ROE: 9.8% and equity ratio: 51.9% – Rate base: $310 million (Sep. 30, 2021 estimate) – Test year ended Dec. 31, 2020, with certain pro-forma adjustments t
Slide 20: Select Regulatory Matters – Ameren Illinois
Select Regulatory Matters – Ameren Illinois Electric Distribution • In Apr. 2021, requested $64 million base rate increase from ICC in annual performance-based rate update – Expect ICC decision by Dec. 2021, with new rates effective in Jan. 2022 – Major investments included in the request • Installa
Slide 21: Financing and Liquidity Update
Ameren Credit Ratings Financing and Liquidity Update and External Debt Balances1 Debt Financing • On Mar. 5, Ameren Corporation issued $450 million of 1.75% senior unsecured notes due 2028 As of Mar. 31, 2021 $ in millions Moody's S&P – Proceeds used for general corporate purposes and repay short-te
Slide 22: Summary
Summary Expect to deliver strong earnings growth in 2021 with guidance in a range of $3.65 to $3.85 per diluted share Successfully executing our strategy; well-positioned for future growth Strong long-term growth outlook • Expect 6% to 8% compound annual EPS growth 2021-20251,2 • Expect ~8% compound
Slide 23: Appendix
APPENDIX
Slide 24: Four Constructive Regulatory Frameworks
Four Constructive Regulatory Frameworks FERC-regulated: Formula ratemaking Ameren • Allowed ROE is 10.52%, includes MISO participation adder of 50 basis points; ~54% average equity ratio Transmission • Rates reset each Jan. 1 based on forward-looking calculation with annual reconciliation ICC-regula
Slide 25: Our Focus on Delivering a Cleaner Energy Future Responsibly
Our Focus on Delivering a Cleaner Energy Future Responsibly While providing safe, reliable and affordable energy to customers • Climate risk management and mitigation – Targeting significant reductions in greenhouse gases – Implementing robust customer energy efficiency programs – Investing to moder
Slide 26: Ameren Missouri Generation Transformation
Ameren Missouri Generation Transformation Transition to a cleaner and more diverse portfolio in a responsible fashion 1 50% CARBON EMISSIONS 85% CARBON EMISSIONS NET-ZERO CARBON REDUCTION2 REDUCTION2 EMISSIONS2 • Ameren Missouri filed its preferred Integrated Resource Plan with the MoPSC in Sep. 202
Slide 27: Building a Brighter and Cleaner Energy Future
Building a Brighter and Cleaner Energy Future Innovative Programs to Meet Customer Needs and Rising Expectations Utility-owned solar Subscription program generation facilities for MO available to MO residential non-residential customer Neighborhood Community and small business parking lots, open lan
Slide 28: Investing in the Energy Grid
Investing in the Energy Grid • Investing to modernize energy grid, making it safer, more reliable, resilient and secure – Enable two-way energy flows to accommodate more renewable generation, distributed energy resources and innovative products and services 2020-2025E Regulated – Provide customers w
Slide 29: Working to Keep Missouri Customer Rates Low
Working to Keep Missouri Customer Rates Low • Ameren Missouri has kept rates stable and affordable for Ameren Missouri customers, with residential rates more than 20% below national Electric Rates3 and Midwest averages1 – Expect to remain well below the Midwest average after the completion ¢/KWh of
Slide 30: Key Customer Benefits Reflected in Missouri Rate Requests
Key Customer Benefits Reflected in Missouri Rate Requests • Strengthening the grid through Ameren Missouri’s Smart Energy Plan, including infrastructure upgrades bolstering reliability and resiliency, more renewable generation, installation of smart meters, and addition of programs to stimulate econ
Slide 31: Key Customer Benefits Reflected in Missouri Rate Requests, cont'd
Key Customer Benefits Reflected in Missouri Rate Requests, cont’d • Expanding rate options to offer choices as customers can save by using information from their smart meter to help shift the timing of their energy usage, quicker restoration after outages and faster connection when moving or startin
Slide 32: Working to Keep Illinois Customer Rates Low
Working to Keep Illinois Customer Rates Low • Ameren Illinois has kept rates stable and affordable for Ameren Illinois Electric Distribution customers, with residential rates more than 20% below Midwest Rates2 and national averages1 • Apr. 2021 rate update filing is only the second requested ¢/KWh i
Slide 33: Ameren's Estimated Coal-Related Revenues in 2020
Ameren’s Estimated Coal-Related Revenues in 2020 Return on Investment Revenues Cost Recovery3 Revenues $2.1B1 x $2.1B1 x ($103M $423M + 52% x 48% x x 25%) / $161M x $147M + 9.53%2 = 4.5% = (1 - 25%) 26%1 = $154M = $103M $45M $34M $42M $724M $5,794M 16% Return on Interest Tax Expense Property Fuel, o
Slide 34: Investor Relations Calendar
Investor Relations Calendar MAY 2021 JUNE 2021 SUN. MON. TUES. WED. THUR. FRI. SAT. SUN. MON. TUES. WED. THUR. FRI. SAT. 1 1 2 3 4 5 Q1 Quiet Period Cont’d 2 3 4 5 6 7 8 6 7 8 9 10 11 12 MS ESG Virtual Conf. 9 10 11 12 13 14 15 13 14 15 16 17 18 19 Q1 BAML Earnings Virtual Conf. Investor Call Meetin
Slide 35: Select Regulatory Matters
Select Regulatory Matters Missouri Public Service Commission • Pending electric rate review filling: Docket No. ER-2021-0240 • Pending natural gas rate review filing: Docket No. GR-2021-0241 • Smart Energy Plan filing: Docket No. EO-2019-0044 • 2020 Integrated Resource Plan: Docket No. ER-2021-0021;
Slide 36: Glossary of Terms and Abbreviations
Glossary of Terms and Abbreviations AFUDC – Allowance for funds used during construction M – Million ATXI – Ameren Transmission Company of Illinois MEEIA – Missouri Energy Efficiency Investment Act B – Billion MISO – Midcontinent Independent System Operator, Inc. bps – Basis points MoPSC – Missouri