Public Service Enterprise Group Incorporated · NYSE:PEG
Public Service Enterprise — Investor Presentation (June 2014)
14 slides from Public Service Enterprise's investor presentation, Jun 19, 2014
Slide 1: Forward-Looking Statement
EXHIBIT 99 Forward-Looking Statement Certain of the matters discussed in this report about our and our subsidiaries' future performance, including, without limitation, future revenues, earnings, strategies, prospects, consequences and all other statements that are not purely historical constitute “f
Slide 2: GAAP Disclaimer
GAAP Disclaimer PSEG presents Operating Earnings in addition to its Income from Continuing Operations/Net Income reported in accordance with accounting principles generally accepted in the United States (GAAP). Operating Earnings is a non- GAAP financial measure that differs from Income from Continu
Slide 3: Two complementary businesses
Two complementary businesses Strong asset platform, performing well and positioned for the future Electric & Gas Delivery Regional Competitive Generation and Transmission Strategy: Positioned to meet customers’ Strategy: Fuel diverse fleet is geographically needs as we respond to state and federal a
Slide 4: Delivering on commitments and pursuing opportunities for growth
Delivering on commitments and pursuing opportunities for growth Operational • Power: Record 2013 output at Linden CCGTth and Salem 2; Excellence 9 straight year nuclear capacity factor greater than 90% for th • PSE&G: Mid-Atlantic Reliability Award(12 consecutiveyear) • PSEG Long Island: Went “live”
Slide 5: Maintaining PSEG 2014 Operating Earnings Guidance
Maintaining PSEG 2014 Operating Earnings Guidance Reflects increased level of utility investment, pension savings and assumes normal weather and unit operations for the rest of year $2.55 - $2.75E $2.58 $2.44 2012 2013 2014 Guidance SEE SLIDE A FOR ITEMS EXCLUDED FROM INCOME FROM CONTINUING OPERATIO
Slide 6: Operating Earnings Mix
Operating Earnings Mix Long term investment program has driven increased earnings contribution from stable, regulated business Power’sdiverse fuel mix Operating Earnings* Contribution by Subsidiary (%) and dispatch flexibility $2.55 - continues to generate $3.09 $3.12 $2.74 $2.44 $2.58 $2.75E earnin
Slide 7: Energy Strong Agreement
Energy Strong Agreement recognizes benefits of system investments Energy Strong Agreement reached with all parties Agreement recognizes the benefits of system investments that prevent or shorten outages Supports $1.22 billion capital program over several years on reasonable terms: $1 billion recover
Slide 8: PSEG Q1 2014 Financial Highlights
PSEG Q1 2014 Financial Highlights Strong Q1 Earnings Operating earnings of $1.01 vs. $0.85 per share in Q1 2013 Power benefited from higher market pricing, market volatility and increased output Increased contribution to earnings from PSE&G’s investment in transmission Maintaining 2014 operating ear
Slide 9: Energy Strong Agreement supports customers' needs in the aftermath of Superstorm Sandy
Energy Strong Agreement supports customers’ needs in the aftermath of Superstorm Sandy • Settled with NJBPU Staff and all other parties in May 2014 for $1.22 billion; approved by the NJBPU in May 2014 • Program addresses system resiliency and hardening by: $620 million to raise, relocate or protect
Slide 10: PSE&G's 2014 operating earnings to benefit from increased investment in transmission
PSE&G’s 2014 operating earnings to benefit from increased investment in transmission and on-going cost control PSE&G Operating Earnings* ($ Millions) *SEE SLIDEA FORITEMSEXCLUDED FROMINCOMEFROMCONTINUING E=ESTIMATE 43 OPERATIONS/NET INCOME TO RECONCILE TO OPERATING EARNINGS.
Slide 11: PSEG Solar Source owns 92 MW of operating solar facilities
PSEG Solar Source owns 92 MW of operating solar facilities Hackettstown (Mars) Queen Creek New Jersey (2 MW) Arizona (25 MW) COD September 2009 COD October 2012 Thin film panels – fixed tilt Polycrystalline - single axis Investment $13 million tracker 15 year PPA with Mars, Inc. Investment $79 milli
Slide 12: Improving Operating Earnings
Improving Operating Earnings and increased contribution from PSE&G PSEG Operating Earnings $ Millions (except EPS) 2012 2013 2014E PSE&G $528 $612 $705 - $745 PSEG Power $663 $710 $550 - $610 Other $45 ($13) $35 - $40 Operating Earnings* $1,236 $1,309 $1,290 - $1,395 Operating EPS* $2.44 $2.58 $2.55
Slide 13: Items Excluded from Income from Continuing Operations/Net Income to Reconcile to Operating Earnings
Items Excluded from Income from Continuing Operations/Net Income to Reconcile to Operating Earnings PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED For the Year Ended Reconciling Items, net of tax December 31, 2013 2012 2011 2010 2009 2008 Earnings Impact ($ Millions) (Unaudited) Operating Earnings $ 1
Slide 14: Items Excluded from Net Income to Reconcile to Operating Earnings
Items Excluded from Net Income to Reconcile to Operating Earnings Attachment 10 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED Three Months Ended Year Ended Reconciling Items, net of tax March 31, December 31, 2014 2013 2013 2012 (Unaudited) Earnings Impact ($ Millions) Operating Earnings $ 515 $ 433
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