Exelon Corporation · NASDAQ:EXC
Exelon — Non-Deal Roadshow (2022)
47 slides from Exelon's roadshow presentation, 2022
Slide 1: Fall 2022 Investor Meetings
©) exelon’ Fall 2022 Investor Meetings
Slide 2: Cautionary Statements Regarding Forward-Looking Information
Cautionary Statements Regarding Forward-Looking Information This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties. Words such as “could,” “may,” “expects,” “anticipates,” “w
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures Exelon reports its financial results in accordance with accounting principles generally accepted in the United States (GAAP). Historical results were revised from amounts previously reported to reflect only Exelon continuing operations. Exelon supplements the reporting of
Slide 4: Who is Exelon? T&D-only utilities
Who is Exelon? 6 T&D-only utilities Operate across seven regulatory jurisdictions 4 major metro areas served Including Chicago, Philadelphia, Baltimore, D.C. 18,700 Employees across our operating companies 10.5 million Electric and gas customers served across our service territories 25,600 Square mi
Slide 5: Premier Utility by Scope and Scale
Premier Utility by Scope and Scale 10.5 Largest Utility by Customers Exelon PEG Among the Largest Regulated Utilities and the Largest Transmission and Distribution Utility by Rate Base $52 i $26 $92 $68 L DUK so AEP Exelon Note: reflects most recent available data as of February 25, 2022 $52 $50 6 a
Slide 6: Delivering Sustainable Value as the Premier T&D Utility
Delivering Sustainable Value as the Premier T&D Utility SUSTAINABLE VALUE INDUSTRY-LEADING PLATFORM Vv 4 Ti hi 1 V Strong Growth Outlook: ~$298 of T&D capital from 2022-2025 to meet Size and Scale: Largest T&D utility in the country serving 10+ million customers customer needs, resulting in expected
Slide 7: Diverse, Fully Regulated T&D Utility
Diverse, Fully Regulated T&D Utility Servicing Large Urban Areas Across Fully Regulated, Transmission and Distribution Seven Regulatory Jurisdictions FERC Transmission Electric Distribution \ Gas Delivery 2% Other?) DE Electric Transmission Exelon is a fully regulated, majority-electric operator ser
Slide 8: Best-in-Class Operations
Best-in-Class Operations Industry-Leading T&D Operator 0.59 Exelon Peer E Peer F Peer G Peer H Peer A HM 25 Beta SAIFI) Hl 25 Beta CAIDI) ca] o a Top Quartile” [ Top Quartile” Better Delivering a World-Class Customer Experience Top Quartile + = kg feed Better = = Fa 3 & a Better Top Quartile) Tt [ll
Slide 9: Constructive Regulatory Mechanisms
Constructive Regulatory Mechanisms 2017-2020E Rate Base Growth of $9B 2022-2025E Rate Base Growth of $17B”) 5 years ago, ~75% of growth was recovered via alternative recovery mechanisms; Exelon now projects an $8B of growth over a comparable period with almost 100% expected to be recovered through t
Slide 10: Exelon is an Industry Leader in ESG
Exelon is an Industry Leader in ESG Environmental NET-ZERO CLIMATE COMMITMENT * No owned generation supply * Targeting a reduction of our operations- driven Scope 1 and Scope 2 emissions by 50% by 2030 and net-zero by 2050 through our Path to Clean initiative ADVANCING CLEAN AND AFFORDABLE ENERGY CH
Slide 11: Path to Clean: Reaching a Net-Zero Footprint
Path to Clean: Reaching a Net-Zero Footprint The Path to Meeting Exelon’s Scope 1 and 2, Operations-Driven Driving Scope 3 Customer Emissions Reductions by Supporting Emissions Reduction Goals Clean Energy Goals in Our Communities Efficient grid Leak detection & g00 790 management and grid technolog
Slide 12: Financial Outlook
Financial Out
Slide 13: Customer Needs and Industry Trends Continue to Support Investment Growth
Customer Needs and Industry Trends Continue to Support Investment Growth and translates to higher rate base) growth 8.1% $618 00 $52B $48B 4-year capital investment” profile drives benefits for our customers. $29B $26B $27B $218 $23B 2018-2021E —-2019-2022E += 2020-2023E = 2021-2024E + 2022- 2025E 2
Slide 14: Long-Term Earnings Growth Supports a Sustainable Dividend
Long-Term Earnings Growth Supports a Sustainable Dividend Targeting 6-8%') Operatin . . Earnings” Growth ng orth Projected Dividend Payout”) 6-8% Expect 6-8%(6) Project 6-8% dividend ot operating EPS* growth in-line with $2.18-§2,324) growth through 2025 operating EPS* through 202! a $1.83?) eS oe o
Slide 15: Exelon's Trailing Twelve Month Earned ROEs
Exelon’s Trailing Twelve Month Earned ROEs* 2017 2018 2019 2020 2021 TTM ROEs* within our 9-10% targeted range 1021 for Exelon’s utilities (excludes Corp), Earned ROE nted average across all lines of 85 (Electric Distribution, Gas Distribution, and Electric Transmission), Gray 15
Slide 16: Focused on Managing Costs and Customer Affordability
Focused on Managing Costs and Customer Affordability Managing Costs Below the Rate of Inflation $ in millions 1.4% ad $3725 $3725 $3900 §3go0 $3950 $3,950 $4,050 2016 2017 2018 2019 2020 2021 2022E Hl Adjusted 0&m* (Sy Exelon’s Customers’ Electricity Bills as a % of Median Income is Below the U.S. A
Slide 17: 2022-2025 Financing Plan
2022-2025 Financing Plan $ in billions PS) ZN * In Q3 2022, completed a one- time common equity offering for gross proceeds of $575M2) * Anticipate completing the remaining equity needs over the 2023-2025 period using the ATM program"), a onetime offering, or a combination of methods Adjusted Cash D
Slide 18: Maintaining a Strong Balance Sheet is a Top Financial Priority
Maintaining a Strong Balance Sheet is a Top Financial Priority S&P FFO / Debt %* Moody's CFO (Pre-WC) / Debt %* 15% 15% the 13414% the 1344% 13% 13% 12% —— 1H 12% —— — — - 12% 0% ieee 0% ieee 2022-2024E Average!) Exelon 2022-2024E Average") Exelon Downgrade Downgrade Threshold?) Threshold?) Credit R
Slide 19: 2022 Adjusted Operating Earnings Guidance
2022 Adjusted Operating Earnings* Guidance Adjusted Operating Earnings* Guidance! Key Year-over-Year Drivers $2.18 - $2.32) PF Discontinued Ops Adjustment is not indicative of future economics $1.8323) F Incremental investments in utility infrastructure BGE $2.08 F P£CO electric and gas distribution
Slide 20: Appendix
Appendix
Slide 21: Utility Capex and Rate Base vs. Previous Disclosures
Utility Capex and Rate Base vs. Previous Disclosures Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 6,725 6,725 6,625 6,900 7,100 7,450 7,500 is} 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E Q4 2020 Rate Base ($B) Analyst Day 2022 Rate Base ($B) +7.6% 65.0 51.6 2021E
Slide 22: ComEd Capital Expenditure Forecast
ComEd Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 2,550 2,575 2850 2,500 2,475 2,350 2,375 2,400 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E Hl Electric Transmission jf Electric Distribution $1 Note: Numbers rounded to nearest $2
Slide 23: PECO Capital Expenditure Forecast
PECO Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) en 1575 158 1,325 1375 4275 1,300 1,275 1,300 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E Il Gas Delivery I Electric Transmission [ll Electric Distribution $5.8B of capital being i
Slide 24: BGE Capital Expenditure Forecast
BGE Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 1375 Wao) 1325 1,225 1,225 b 1,200 1,200 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E Il Gas Delivery [ll Electric Transmission [jf Electric Distribution 2-202 Project ~$5.3B of capi
Slide 25: PHI Consolidated Capital Expenditure Forecast
PHI Consolidated Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E I Gas Delivery I Electric Transmission Ill Electric Distribution m 2022-2025 Project ~$7.5B of capital being invested Note:
Slide 26: ACE Capital Expenditure Forecast
ACE Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 475 475 425 450 450 350 350 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E WM Electric Transmission | Electric Distribution $1.9B of capital being invested Note: Numbers rounded to nea
Slide 27: DPL Capital Expenditure Forecast
DPL Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 475 425 400 425 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E I Gas Delivery I Electric Transmission Ill Electric Distribution Project ~$2.0B of capital being invested 2-2025 Note: Nu
Slide 28: Pepco Capital Expenditure Forecast
Pepco Capital Expenditure Forecast Q4 2020 Capital Expenditures ($M) Analyst Day 2022 Capital Expenditures ($M) 1,000 1,000 950 925 900 900 900 2021E 2022E 2023E 2024E 2021 2022E 2023E 2024E 2025E WM Electric Transmission | Electric Distribution 2022-2025 Project ~$3.7B of capital being invested Not
Slide 29: Safely Powering Reliability and Resilience
Safely Powering Reliability and Resilience Undergrounding Cable Initiative Grid Modernization Drives + DC Power Line Undergrounding is a multi-year program to + spe. y underground more than 20 of the most vulnerable overhead Consistent Reliability Performance distribution lines, spanning over 6-8 ye
Slide 30: Advancing Clean and Affordable Energy Choices
Advancing Clean and Affordable Energy Choices OQ a aR (1) Reflects the measurements of perceptions of reliability, customer service, price and management reputation by residential and small business customers reported to Escalent by Exelon and 18 comparable peer utilities Energy Efficiency + Offer n
Slide 31: • • • • • • • • • • • • • •
• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 31
Slide 32: Utility Highlights
Utility Highlights lon - > - t - © delmarva O atlantic cit Oem ORC OBIE OPER oer shee Commercial & Industrial (C&l) 52% Residential 33% 39% 44% 35% 45% 48% Public Authorities/Other W% W% 0% W% Commercial & Industrial (C&l) 25% 27% Residential - 46% 37% - 39% - Public Authorities/Other 29% B% SE Trad
Slide 33: Tracker Recovery Mechanisms for Specified Investments/Programs
Tracker Recovery Mechanisms for Specified Investments/Programs * Distribution System Improvement Charge (DSIC) tracker provides a mechanism to begin recovering gas and electric infrastructure investments for reliability every six months + District of Columbia Power Line Undergrounding (DC PLUG) prov
Slide 34: Revenue Decoupling Mitigates Impacts of Load Fluctuations
Revenue Decoupling Mitigates Impacts of Load Fluctuations Revenue Decoupling Mitigates Load Fluctuations Non-Decoupled Load Volumes (GWh)@®) HI Non-Decoupled 36,421 Mca Hl Decoupled EB Residential ~77% of Exelon's distribution |_ revenues are decoupled from volumetric risk"2) PECO (1) Reflects 2021
Slide 35: Approved Distribution Rate Case Financials
Approved Distribution Rate Case Financials Revenue Requirement Common Rate Approved Electric Distribution Rate Case Financials Increase/(Decrease) Allowed ROE Equity Ratio Effective Date ComEd (Electric) $45,8M 736% 48.70% Jan 1, 2022 PECO (Electric)” $132.0M N/A N/A Jan 1, 2022 BGE (Electric)” $139
Slide 36: Approved Electric Transmission Formula Rate Financials
Approved Electric Transmission Formula Rate Financials Revenue Requirement (2) Common Rate ormula Rate Financials Increase/(Decrease) Allowed ROE Equity Ratio Effective Date?) Approved Electric Transm ComEd 11.50% 55.00% Jun 1, 2022 PECO $39M 10.35% 53.29% Jun 1, 2022 BGE SI6M 10.50% 52.92% Jun 1, 2
Slide 37: Exelon Long-Term Debt Maturity Profile
Exelon Long-Term Debt Maturity Profile") LT Debt Balances (as of 6/30/2: BGE As of 6/30/2022 S45B (SM) ComEd $1078 PECO $448 PHI $8.08 Corp $918 ‘xelon $36.7B 2022 2023 2024 ©2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 ©2036 ©2037 2038 «2039 ©2040 2041 2042 2043 2044 2045 2046 2047 2048 2
Slide 38: Adjusted Operating Earnings Sensitivities
Adjusted Operating Earnings* Sensitivities Interest Rate Sensitivity to +50bp 2022E 2023E ComEd Distribution ROE” $0.04 $0.04 Cost of Debt” $(0.01) $(0.01) Exelon Consolidated Effective Tax Rate 13.6% 15.1% Exelon Consolidated Cash Tax Rate 0.3% 41% Note: reflects sensitivities and tax rates as pres
Slide 39: Exelon Distribution Rate Case Updates
Exelon Distribution Rate Case Updates a Requested ROE / | Expected Order $13.0M"? oor! Q4 2022 $s4M" Nia Q4 2022 si9g9m"* Tees Dec 2022 i Rate case filed GB Rebuttal testimony 8 Initial briefs FY Final commission order | \ UD) intervenor direct testimony EH) Evidentiary hearings Reply briefs Settlem
Slide 40: Reconciliation of Non-GAAP Measures
Reconciliatio on-GAAP Measures
Slide 41: Projected GAAP to Operating Adjustments
Projected GAAP to Operating Adjustments + Exelon’s projected 2022 adjusted (non-GAAP) operating earnings excludes the earnings effects of the following: - Costs related to the separation; - Adjustment to deferred income taxes in connection with the separation, including an income tax expense primari
Slide 42: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations” S&P FFO/Debt” = FFO (a) Moody's CFO (Pre-WC)/Debt” = CFO (Pre-WO) (c) Adjusted Debt (b) Adjusted Debt (d) S&P FFO Calculation? Moody's CFO (Pre-WC) Calculation) GAAP Operating Income Cash Flow From Operations + Depreciation & Amortization +/- Working Capital Adjustm
Slide 43: Q4 YTD GAAP EPS Reconciliation
Q4 YTD GAAP EPS Reconciliation Twelve Months Ended December 31, 2021 ComEd PECO BGE PHI Other Exelon 2021 GAAP Earnings (Loss) Per Share $0.76 $0.51 $0.42 $0.57 ($0.61) $1.65 Cost Management Program - - - - - 0.01 COVID-19 direct costs - - - - - 0.01 Acquisition Related Costs - - - - 0.02 0.02 ERP S
Slide 44: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Exelon Operating TTM ROE Reconciliation ($M 2016 2017 18 20 0 1 Net Income (GAAP) $1,103 $1,704 $1,836 $2,065 $1,737 $2,225 Operating Exclusions $461 ($24) $32 $30 $246 $82 Adjusted Operating Earnings $1,564 $1680 $1,869 $2,095 $1,984 $2,307 Average Equity $16,523 $1
Slide 45: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Exelon Adjusted O&M Reconciliation ($M) 2016 2017 8 2019 2020 2021 22 GAAP O&M $4,300 $4,025 $4,150 $4,000 $4,375 $4,200 $4,350 Regulatory Required O&M (S175) ($300) ($200) (S175) (S175) (S175) ($225) Operating Exclusions ($400) : ($50) ($50) ($275) ($75) ($50) $3,72
Slide 46: Thank you
©) exelon’ Thank you Please direct all questions to the Exelon Investor Relations team: DX] InvestorRelations@ExelonCorp.com 2 312-394-2345
Slide 47: C\ exelon’
C\ exelon’