FirstEnergy Corp. · NYSE:FE
FirstEnergy — EEI Financial Conference 2019
76 slides from FirstEnergy's conference presentation, Nov 8, 2019
Slide 1: Investor FactBook
Investor FactBook EEI Financial Conference Published November 8, 2019
Slide 2: Table of Contents
Table of Contents 1. FirstEnergy Overview…………………...3-8 2. Regulated Transmission……………… 9-18 3. Regulated Distribution………………. 19-37 4. Corporate Responsibility……………. 38-46 5. Quarterly Updates…………………… 47-52 6. Guidance and Financials…………….53-70 7. Other Materials………………………. 71-76 Unless otherwise note
Slide 3: FirstEnergy Overview
FirstEnergy Overview 3 Published November 8, 2019
Slide 4: We are a forward-thinking electric utility
We are a forward-thinking electric utility powered by a diverse team of employees committed to making customers’ lives brighter, the environment better and our communities stronger $42 B 6 M 25 K Total Customers in Transmission Total Assets Six States Miles 65 K $22 B 12 K Square Miles of Rate Base
Slide 5: FE's Value Proposition
FE’s Value Proposition Ticker: FE A premier customer-focused, pure-play regulated utility Driving sustainable, long-term regulated Improving balance sheet with investment-grade earnings growth and a competitive dividend credit ratings 10 distribution utilities, Operating EPS CAGR Proven track record
Slide 6: Corporate structure of FirstEnergy subsidiaries
FirstEnergy Metropolitan Monongahela Ohio Edison Co. Transmission, LLC Edison Co. Power Co. (OE) (FET) (ME) (MP) American Pennsylvania Pennsylvania Allegheny Transmission Power Co. Electric Co. Generating Co. Systems Inc. (PP) (PN) (AGC) (ATSI) Trans-Allegheny Cleveland Electric West Penn Potomac In
Slide 7: Political Overview
(P) President Political Overview (C) Chair (VC) Vice Chair Governor Governor Governor Michael DeWine R 2023 Thomas W. Wolf D 2023 Phillip D. Murphy D 2022 PUCO PA PUC NJ BPU Samuel Randazzo (C) I 2024 Gladys Dutrieuille (C) D 2023 Joseph L. Fiordaliso (P) D 2025 M. Beth Trombold (VC) I 2023 David W.
Slide 8: Regulatory Calendar
Regulatory Calendar Jurisdiction Key Dates OHIO • PUCO approval of Grid Mod/Tax Reform Settlement...………………………….……………………………...…… July 17, 2019 • Decoupling Filing…………………………………………………………….………..............................................November 2019 • ESP IV/Base Rate Case freeze ends……………………………………………
Slide 9: Regulated Transmission
Regulated Transmission 9 Published November 8, 2019
Slide 10: A Premier, Fast-Growing Transmission Business
REGULATED TRANSMISSION A PREMIER, FAST-GROWING TRANSMISSION BUSINESS One of the largest transmission systems in PJM with 25K miles of transmission lines. Focused on Energizing the Future and improving the reliability of our nation’s electric grid. FERC-regulated, forward-looking rates at ATSI, TrAIL
Slide 11: Regulated Transmission Capital Deployment Plan
Regulated Transmission Capital Deployment Plan WPP, MP, PE ~$610M | ~13% JCP&L ~$590M | ~12% ATSI ~$1,750M | ~37% $4.8B ~$1,200M CapEx per year 2018-2021 MAIT ~$1,635M | ~34% TrAILCo ~$180M | ~4% $ 20 FUTURE B+ OPPORTUNITIES beyond 2021… 11 Published November 8, 2019
Slide 12: Regulated Transmission Capital Plan (2018-2021)
Regulated Transmission Capital Plan (2018-2021) Energizing the Future Plan – Phase 2 ~$4.8B in capital investments ($M) 2018A 2019F 2020F 2021F ATSI $465 $475 $405 $405 TrAILCo 35 45 60 40 MAIT 409 425 405 395 JCP&L 107 130 175 180 WPP, MP, PE 149 125 155 180 Regulated Regulated Transmission Transmi
Slide 13: Regulated Transmission Rate Base Growth (2018-2021)
Regulated Transmission Rate Base Growth (2018-2021) $M ~11% Expected Formula 9,000 Rate Base CAGR 8,265 8,000 7,635 760 6,905 685 7,000 1,050 6,030 625 945 6,000 845 455 1,415 830 1,465 5,000 1,490 4,000 1,450 1,680 1,320 1,020 3,000 660 2,000 3,220 3,360 2,635 2,925 1,000 0 2018F 2019F 2020F 2021F
Slide 14: ATSI Overview
ATSI Overview Jurisdiction FERC Test Year Forward-Looking Term January – December Filing Month October Allowed ROE 10.38% Rate Base $3.2B(1) Cap Structure 40% Debt / 60% Equity(1) Location OE, PP, CEI, and TE 69 kV Ohio Edison True-Up Mechanism Yes 138 kV Penn Power 345 kV The Illuminating Company (
Slide 15: TrAILCo Overview
TrAILCo Overview Jurisdiction FERC Test Year Forward-Looking OH PA Term June – Following May Filing Month May MD 12.7% (TrAIL the Line & Black Oak SVC) Allowed ROE 11.7% (All other projects) VA WV Rate Base $1.5B(1) Cap Structure 40% Debt / 60% Equity(1) WPP, MP, and PE as well as Location some port
Slide 16: MAIT Overview
MAIT Overview Jurisdiction FERC Test Year Forward-Looking Term January – December Filing Month October Allowed ROE 10.3% Rate Base $1.3B(1) Cap Structure 40% Debt / 60% Equity(1) Location ME, PN 46 kV 230 kV Penelec 69 kV 345 kV Met-Ed True-Up Mechanism Yes 115 kV 500 kV (1) Represents projected ave
Slide 17: JCP&L Transmission Overview
JCP&L Transmission Overview ■ JCP&L transmission assets on Stated Rates based on Black Box Settlement effective June 1, 2017 ■ On October 30, 2019, JCP&L filed to implement a forward-looking formula rate, requesting rates to be effective January 1, 2020 As Filed Jurisdiction FERC Test Year Forward-L
Slide 18: WPP, MP, PE Transmission Overview
WPP, MP, PE Transmission Overview 115 kV 138 kV 230 kV Jurisdiction FERC 345 kV 500 kV Rate Base $625M West Penn Power Mon Power Potomac Edison Location WPP, MP, PE ■ Represents the transmission systems of WPP, MP and PE which comprise the Allegheny Power Zone in PJM ■ Stated rate updated effective
Slide 19: Regulated Distribution
Regulated Distribution 19 Published November 8, 2019
Slide 20: Regulated Distribution
REGULATED DISTRIBUTION A DIVERSE COLLECTION OF UTILITIES DELIVERING SUSTAINABLE GROWTH Territory spans 65k sq. mi. across the Midwest & Mid-Atlantic regions - one of the largest contiguous territories in the USA. Focused on investments that customers value and are willing to pay for while providing
Slide 21: Regulated Distribution Capital Plan (2018-2021)
Regulated Distribution Capital Plan (2018-2021) $6.7B in capital investments 2018-2021 ($M) 2018A 2019F 2020F 2021F Ohio Ohio $370 $430 $540 $585 Stated 85 70 70 70 Formula 285 360 470 515 Pennsylvania Pennsylvania $666 $670 $585 $550 Stated 446 450 405 430 Formula 220 220 180 120 New Jersey New Jer
Slide 22: 2018A-2020F Regulated Distribution Capital Expenditures
2018A-2020F Regulated Distribution Capital Expenditures ($M) 2018A 2019F 2020F Ohio Ohio $370 $430 $540 CEI 156 165 220 OE 165 200 235 TE 49 65 85 Pennsylvania Pennsylvania $666 $670 $585 ME 194 205 175 PN 191 175 180 PP 54 55 50 WPP 227 235 180 New New Jersey Jersey (JCP&L) (JCP&L) $268 $285 $260 W
Slide 23: Regulated Distribution Rate Base Growth (2018-2021)
Regulated Distribution Rate Base Growth (2018-2021) $M ~5% Expected 18,000 Rate Base CAGR 16,365 15,560 505 16,000 14,800 14,345 490 440 2,985 14,000 505 2,850 2,765 2,760 12,000 2,725 2,625 10,000 2,505 2,430 8,000 5,885 5,415 5,660 6,000 5,130 4,000 2,000 3,520 3,675 3,935 4,265 0 2018F 2019F 2020
Slide 24: Weather-Adjusted Distribution Deliveries
Weather-Adjusted Distribution Deliveries 2018A-2021F 2018A 2019F 2020F 2021F CAGR % Sub-Total 53.4 53.6 53.0 52.8 -0.4% Total Deliveries M MWHs Residential OH 17.0 16.9 16.9 16.8 -0.4% PA 18.5 18.6 18.1 18.0 -0.9% WV 5.4 5.5 5.5 5.5 0.6% NJ 9.3 9.3 9.2 9.2 -0.4% MD 3.2 3.3 3.3 3.3 1.0% 2018A-2021F 2
Slide 25: Regulated Distribution Guidance Sensitivities
Regulated Distribution Guidance Sensitivities Estimated Impact of Annual Retail Sales Volumes + / - 1% Change in Residential Deliveries ~$0.03/share + / - 1% Change in Commercial Deliveries ~$0.01/share + / - 1% Change in Industrial Deliveries ~$0.005/share Weather Impact on Residential/Commercial S
Slide 26: Average Customer Bills
Average Customer Bills Rates Effective January 1, 2019 OHIO PENNSYLVANIA [state avg $92] [state avg $136] AEP AEP ME PN PP WPP DUQ PECO PPL CEI OE TE (CS) (OP) DP&L DUK $99 $156 $146 $137 $141 $95 $95 $130 $127 $113 $91 $91 $88 $88 NEW JERSEY WEST VIRGINIA MARYLAND [state avg $122] [state avg $110]
Slide 27: Capital and O&M Benchmarking
Capital and O&M Benchmarking Distribution Distribution Capital O&M MEASURE QUARTILE / RANK QUARTILE / RANK Per Circuit Mile 3rd 2nd Per Customer 7th 4th Per Substation 2nd 5th Per Pole 5th 2nd Performance Quartile Key 1st 2nd 3rd 4th CAPITAL O&M Capital costs of the Distribution system support O&M c
Slide 28: Ohio Overview (1 of 2)
Ohio Overview (1 of 2) CUSTOMERS: 2.1M INDUSTRIES SERVED: Primary and Fabricated REGULATORY STRATEGY Metals, Chemical, Automotive, Petroleum, Plastics & Rubber ❑ Utilities are required to file applications to establish either an Electric Security Plan (ESP) or a Market Rate Offer to provide customer
Slide 29: Ohio Overview (2 of 2)
Ohio Overview (2 of 2) ROE TRENDS - REGULATORY VIEW RECOVERY MECHANISMS 13.9% 12.2% Rider Overview Reconciled 10.2% 8.8% Recovers return on/of incremental rate base since 7.4% 6.9% 6.3% 6.2% DCR Quarterly 5.8% last rate case; subject to annual revenue caps 4.4% 4.2% 3.4% Provided FE with credit supp
Slide 30: Pennsylvania Overview (1 of 2)
Pennsylvania Overview (1 of 2) CUSTOMERS: 2.1M INDUSTRIES SERVED: Primary and Fabricated REGULATORY STRATEGY Metals, Shale Gas, Chemical, Coal Mining, ❑ Continuously review considerations and timing of future rate cases Electric Equipment Manufacturing ❑ New LTIIPs filed for the 2020-2024 period in
Slide 31: Pennsylvania Overview (2 of 2)
Pennsylvania Overview (2 of 2) ROE TRENDS – REGULATORY VIEW RECOVERY MECHANISMS 9.6% Rider Overview Reconciled 9.3% 8.4% 8.2% 8.1% 7.7% 7.6% 7.4% 7.4% 7.2% 7.1% 6.8% 6.7% 6.6% 6.0% 5.8% Recovers acceleration of the repair, DSIC improvement, and replacement of existing aging Quarterly infrastructure
Slide 32: New Jersey Overview (1 of 2)
New Jersey Overview (1 of 2) CUSTOMERS: 1.1M INDUSTRIES SERVED: REGULATORY STRATEGY Chemical, Primary and Fabricated Metals, Food ❑ Continuously review considerations and timing of future rate cases Manufacturing, Plastic & Rubber ❑ NJ BPU approved IIP settlement on May 8, 2019 for 2 years, $97M ❑ W
Slide 33: New Jersey Overview (2 of 2)
New Jersey Overview (2 of 2) REGULATORY VIEW RECOVERY MECHANISMS ❑ IIP rate filings require an earnings test, which calculates a Rider Overview Reconciled book return based on FERC Form 1 and including limited Recovery of storm costs from 2012 major storms SRC Annually adjustments through 12/31/19 ▪
Slide 34: West Virginia Overview (1 of 2)
West Virginia Overview (1 of 2) CUSTOMERS: 540K INDUSTRIES SERVED: Chemical, Coal Mining, Non-Metallic Minerals, REGULATORY STRATEGY Primary and Fabricated Metals, Oil & Gas Extractions ❑ Continuously review considerations and timing of future rate cases LAST APPROVED RATE CASE ❑ Integrated Resource
Slide 35: West Virginia Overview (2 of 2)
West Virginia Overview (2 of 2) ROE TRENDS – REGULATORY VIEW RECOVERY MECHANISMS 10.7% 10.6% 10.6% Rider Overview Reconciled 10.5% 9.8% 9.7% 9.7% Recovers generation-related fuel, purchased 9.6% 9.3% 9.3% ENEC Annually 9.1% 9.1% power, and PJM costs, net of revenue credits Recovers vegetation contro
Slide 36: Maryland Overview (1 of 2)
Maryland Overview (1 of 2) CUSTOMERS: 270K INDUSTRIES SERVED: Chemical, Coal Mining, Non- REGULATORY STRATEGY Metallic Minerals, Plastics and Rubber Products ❑ Current base rates approved March 2019; must file base rate case by early 2023 LAST APPROVED RATE CASE STATISTICS (Mar. 2019) ❑ New distribu
Slide 37: Maryland Overview (2 of 2)
Maryland Overview (2 of 2) ROE TRENDS – REGULATORY VIEW RECOVERY MECHANISMS 6.4% 5.8% 5.7% 5.3% Rider Overview Reconciled Recovery for incremental investments of reliability programs for distribution automation, accelerated EDIS Annually underground cable replacement, and substation reclosers PE-MD
Slide 38: Corporate Responsibility
Corporate Responsibility 38 Published November 8, 2019
Slide 39: Corporate Responsibility
CORPORATE RESPONSIBILITY A FORWARD-THINKING ELECTRIC UTILITY Committed to making our customers’ lives brighter, the environment better and our communities stronger. Seek to inform and engage our stakeholders, while at the same time setting and achieving goals. Led by a dedicated team, along with Exe
Slide 40: Corporate Responsibility – Facts at a Glance
Corporate Responsibility – Facts at a Glance Environmental Focusing on making the environment better by minimizing the impact of our operations and finding opportunities to enhance our ecosystem As of Dec. 31, 2018, achieved 62% Implemented a corporate waste Installed four osprey nesting reduction i
Slide 41: Corporate Responsibility Accountability Spans Entire Organization
Corporate Responsibility Accountability Spans Entire Organization “A company’s ability to manage ■ Corporate Governance and Corporate environmental, social, and governance Responsibility Board Committee has matters demonstrates the leadership oversight of FirstEnergy’s Corporate and good governance
Slide 42: 2019 Corporate Responsibility Internal Initiatives
2019 Corporate Responsibility Internal Initiatives COMMUNITY WHAT: A program that provides employees with paid time off to volunteer in the community EMPLOYEE WHY: Aligning to our employees’ passions while having the ability to track the number of hours our VOLUNTEER employees volunteer and better u
Slide 43: Creating Value Through Increased Transparency
Creating Value Through Increased Transparency Initial Disclosures Added in 2019 Potential Future Disclosures 43 Published November 8, 2019
Slide 44: FirstEnergy's Climate Report
FirstEnergy’s Climate Report Two-Degree ■ Two-Degree Scenario (2DS) Analysis – Based on the International Energy Agency’s 2DS Scenario Analysis – Developed state-level detail for the five states where FE primarily operates to study potential impacts to and Implications company – Results show signifi
Slide 45: FirstEnergy's Corporate Responsibility Report
FirstEnergy’s Corporate Responsibility Report ■ Corporate Responsibility Website Energy for A – Provide external stakeholders with comprehensive information about our company in a single, easy to Brighter Future navigate location ■ Executive Summary – Provides an overview of our commitment to Corpor
Slide 46: FirstEnergy's Strategic Plan
FirstEnergy’s Strategic Plan Energized by ■ Clearly articulates our vision for the next five years, with our core values serving as the Possibility foundation – Provides transparency for our customers, employees, investors and other stakeholders about our path forward in an evolving electric utility
Slide 47: Quarterly Updates
Quarterly Updates 47 Published November 8, 2019
Slide 48: Sales by Class
Sales by Class Percent change vs. prior year 4Q18 1Q19 2Q19 3Q19 TTM 1.8% 1.1% 1.2% 0.5% 0.7% -0.1% -0.2% -1.0% -0.7% -1.6% -1.7% -2.2% -2.2% -2.0% -2.4% -3.4% -3.4% -3.8% -5.5% -9.7% Residential Commercial Industrial Total (MWh in thousands) 4Q17 4Q18 1Q18 1Q19 2Q18 2Q19 3Q18 3Q19 TTM 3Q18 TTM 3Q19
Slide 49: Weather Adjusted GWh Sales by Class
Weather Adjusted GWh Sales by Class Percent change vs. prior year RESIDENTIAL COMMERCIAL* 2.6% 1.3% 0.1% 0.2% -0.2% -0.9% -0.8% -0.9% -2.4% -2.9% 4Q18 1Q19 2Q19 3Q19 TTM 4Q18 1Q19 2Q19 3Q19 TTM INDUSTRIAL* TOTAL 1.8% 0.9% 0.7% -0.1% -0.7% -0.4% -1.0% -1.1% -2.4% -3.4% 4Q18 1Q19 2Q19 3Q19 TTM 4Q18 1Q
Slide 50: Weather Impacts
Weather Impacts 400 300 200 100 0 250 500 750 1,000 1,250 HDD CDD HDD Norm CDD Norm Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 OH PA NJ WV MD Total Days % Days % Days % Days % Days % Days % HDD vs Normal -90 -97% -64
Slide 51: Ohio Rider DMR
Ohio Rider DMR ■ Rider DMR was approved for a three-year period ending December 31, 2019, with a potential two-year extension for the Ohio Companies (OE, CEI, TE) – Funds to be used, directly or indirectly, in support of grid modernization ■ Several intervenors filed notices of appeal in 2017 with t
Slide 52: Pennsylvania DSIC Rider
Pennsylvania DSIC Rider ■ Rider set to zero when new rates implemented on January 27, 2017 – Restarts when gross plant balances exceed the amount recovered in base rates and if reported ROE does not exceed the PA PUC published benchmark of 9.55% (subject to change) PP / WPP April 1, 2018 DSIC Rider
Slide 53: Guidance and Financials
10 Operating Companies 6 States Guidance and Financials 6M Customers 53 Published November 8, 2019
Slide 54: 2018-2023 Operating EPS CAGR
2018-2023 Operating EPS CAGR Excludes DMR and impact of weather 6% - 8% Operating EPS(1) CAGR 2018-2021; 5% - 7% CAGR through 2023 Plan to provide detailed financial support for 2022-2023 with 4Q 2019 Results $3.00 7% $2.75 2020F 8% 5% $2.50 [Range: $2.40-2.60] 6% $2.50 2019F $2.38 2018A $2.20 $2.25
Slide 55: 2019 Operating EPS Guidance
2019 Operating EPS(1) Guidance Narrowing range from $2.45 - $2.75 to $2.50 - $2.60; despite only a half year’s benefit from Ohio DMR Original 2019 Guidance Range Revised 2019 Operating EPS Guidance Revised 2019 Guidance Range $2.45 - $2.75 Regulated Distribution $2.20 – $2.26 $2.50 - $2.60 Regulated
Slide 56: 2020 Operating EPS Guidance
2020 Operating EPS(1) Guidance Remain on track to achieving 6% - 8% Operating EPS CAGR Original 2019 Guidance Range $2.45 - $2.75 ($2.35 Midpt, excl. DMR) Revised 2019 Guidance Range 2020 Operating EPS Guidance Range 2020 Guidance Range $2.50 - $2.60 Regulated Distribution $2.13 – $2.27 $2.40 - $2.6
Slide 57: Dividend Update
Dividend Update Continuing Annual Dividend Growth Enhancing Shareholder Returns $1.56/sh Approved by the Board of Directors on November 8, 2019 and effective beginning $1.52/sh with the March 1, 2020 dividend: ▪ A $0.01 per share increase; quarterly dividend will be $0.39 per share or $1.56 annualiz
Slide 58: Financing Plan (2019-2021)
Financing Plan (2019-2021) Committed to maintaining investment-grade credit ratings FE CORP REGULATED DISTRIBUTION Year Entity Amount Purpose Year Entity Amount Purpose 2019F FE Corp Up to $628M New notes to FES creditors ✓ ME $500M $300M at 7.70% matured 1/15/19 ✓ JCP&L $400M $300M at 7.35% matured
Slide 59: Pension/OPEB Overview
Pension/OPEB Overview Key assumptions for expense 2018 2019 Overview Expected Return on Assets 7.50% 7.50% ■ FE is the sponsor of the benefit plans for employees at all of FE’s subsidiaries Pension Discount Rate 3.75% 4.44% ■ Pension Status is Open OPEB Discount Rate 3.50% 4.30% – Plan design change
Slide 60: 2018 Pension/OPEB Summary
2018 Pension/OPEB Summary Pension/OPEB Funded Status: Year-End 2018A ($M) Corp FEU FES/FENOC Total Notes Qualified Pension ($893) ($403) ($797) ($2,093) 77% funded at 12/31/18; excludes 2/1/19 $500M Contribution Non-Qualified Pension (160) (156) (69) (385) No minimum funding requirements OPEB 48 (33
Slide 61: 2018-2021 Qualified Pension Funding
2018-2021 Qualified Pension Funding Qualified Pension Plan Projected Funding Status – Qualified Pension Plan ■ Pension Contributions ($M) PBO Plan Assets – January 2018: $1,250M $12,000 – February 2019: $500M $11,000 $10,550 $10,465 $10,400 ■ No required contributions through 2021 $9,747 $10,000 $9,
Slide 62: Capital Expenditures Forecast Summary
Capital Expenditures Forecast Summary $12B in capital investments 2018-2021 ~55% based on formula rates Annually 2018A 2019F – 2021F FE Consolidated Total $3.0B $3.0B ($M) 2018A 2019F 2020F 2021F Regulated Distribution (~40% formula rates) $1,635 $1,700 $1,700 $1,700 Stated Rate $1,085 $1,035 $940 $
Slide 63: 2019 FFO and FCF Forecast
2019 FFO and FCF Forecast FE Consolidated ($M) 2019F 2020F Cashfrom Cash from Operations Operations (GAAP) (GAAP) $2,150 - $2,250 $2,840 - $3,040 Working Capital (1) 30 - 0 (75) - (105) Pension Contributions (2) 500 – Fundsfrom Funds from Operations Operations(FFO) (Non-GAAP) (FFO) (Non-GAAP) $2,680
Slide 64: 2019 Cash Forecast
2019 Cash Forecast ■ Stated capital expenditures and dividends are fully funded by FFO ■ Formula capital expenditures are funded by a mix of FFO and operating company debt issuances ■ $500M voluntary pension contribution was funded by favorable cash position 5,000 4,000 Pension Incremental LTD(1); $
Slide 65: Credit Ratings
Credit Ratings As of November 8, 2019 Corporate Credit Rating Senior Secured Senior Unsecured Outlook S&P Moody's Fitch S&P Moody's Fitch S&P Moody's Fitch S&P Moody's Fitch FirstEnergy Corp.(*) BBB Baa3 BBB BBB- Baa3 BBB S S S Allegheny Generating Co. BBB- Baa2 BBB S S S American Transmission Syste
Slide 66: Financial Updates
Financial Updates Since July 23, 2019 (2Q 2019 Earnings Release) ■ Dividend: – On September 17, 2019, Board declared a quarterly dividend of $0.38 per share of outstanding common stock – On November 8, 2019, Board declared a quarterly dividend of $0.39 per share of outstanding common stock Declarati
Slide 67: Credit Profile
Credit Profile $3.5B $1.75B $5.5B Credit Commitment $4.2B Revolving Credit Term Loan Credit Available Liquidity Facilities (RCF) Agreements from 24 Financial Institutions (as of 10/31/2019) 9% 11% Investment-grade credit ratings at FirstEnergy Corp and all subsidiaries. FFO/Debt CFO pre-WC/Debt thre
Slide 68: Bank Covenant View of Debt-to-Cap Ratio
Bank Covenant View of Debt-to-Cap Ratio Compliant with RCF covenant; $8.5B of additional debt capacity or $4.6B of equity decrease capacity Debt to Total Capitalization Ratio as 9/30/2019 12/31/2018 defined under the FE Credit Facility: $M % $M % Total Stockholders’ Equity (GAAP) $ 7,272 20% $ 6,814
Slide 69: Consolidated Long-Term Debt Maturities
Consolidated Long-Term Debt Maturities AVG RATES AVG LENGTH FEU 4.80% 4.52% 4.74% FET CORP $19.2 FACE B VALUE FEU 14yrs FET 14yrs CORP 10yrs $M 1,800 1,600 1,400 1,200 1,000 800 75 450 500 600 1,225 1,000 100 75 400 850 1,500 1,500 400 800 200 250 2021 74 750 1,200 50 50 525 300 200 300 450 650 250
Slide 70: Investor Relations Contact Info
Investor Relations Contact Info Irene M. Prezelj, Vice President Gina E. Caskey, Senior Advisor Jake M. Mackin, Consultant prezelji@firstenergycorp.com caskeyg@firstenergycorp.com mackinj@firstenergycorp.com 330.384.3859 330.761.4185 330.384.4829 For our e-mail distribution list, please contact: Sha
Slide 71: Commonly Used Terms & Acronyms
Commonly Used Terms & Acronyms ADIT Accumulated Deferred Income Taxes NMB Non-Market Based AFUDC Allowance for Funds Used During Construction NOL Net Operating Loss AMI Advanced Metering Infrastructure OSHA Occupational Safety and Health Administration BGS Basic Generation Service OPEB Other Post-Em
Slide 72: 2018 GAAP to Operating (Non-GAAP) Earnings Reconciliation
2018 GAAP to Operating (Non-GAAP) Earnings(1) Reconciliation 2018 Actual Regulated Regulated Corporate/ FirstEnergy (In $M, except per share amounts) Distribution Transmission Other Consolidated 2018A Net Income (Loss) attributable to Common Stockholders (GAAP) $1,242 $397 ($658) $981 2018A Basic Ea
Slide 73: 2019F GAAP to Operating (Non-GAAP) Earnings Reconciliation
2019F GAAP to Operating (Non-GAAP) Earnings(1) Reconciliation 2019 Forecast Regulated Regulated Corporate/ FirstEnergy (In $M, except per share amounts) Distribution Transmission Other Consolidated 2019F Net Income (Loss) attributable to Common Stockholders (GAAP) $720 - $1,085 $455 - $460 ($770) –
Slide 74: 2018A and 2019F Special Items
2018A and 2019F Special Items(1) ■ Regulatory charges – Primarily reflects the impact of regulatory agreements or orders requiring certain commitments and/or disallowing the recoverability of costs, net of related credits. ■ Mark-to-market adjustments: Pension/OPEB actuarial assumptions – Reflects t
Slide 75: Forward-Looking Statements
Forward-Looking Statements Forward-Looking Statements: This FactBook includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 based on information currently available to management. Unless the context requires otherwise, as used herein, reference
Slide 76: Non-GAAP Financial Matters
Non-GAAP Financial Matters This presentation contains references to non-GAAP financial measures including, among others, Operating earnings (loss), Operating earnings (loss) per share, Operating earnings (loss) per share by segment, Adjusted Equity, Adjusted Debt, Adjusted Capitalization, Funds from