Progress Energy Inc

Progress Energy — Merger or Acquisition (February 2011)

8 slides from Progress Energy's merger presentation, Feb 23, 2011

1. Slide 1: Safe Harbor Statement

   SAFE HARBOR SAFE HARBOR STATEMENT This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1996. Forward-looking statements are typicaly identified by words or phrases such as “may,” ‘wil,” “anticipate,” “estimate,” “expect.” project.” “

2. Slide 2: Safe Harbor (Cont'd)

   | SAFE HARBOR (CONT'D) PoBscrey ADDITIONAL INFORMATION ON THE MERGER AND WHERE TO FIND IT This document does not constitute an offer to sell or the solicitation of an offer to buy any securities, ora solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction

3. Slide 3: Reverse Stock Split Rationale

   REVERSE STOCK SPLIT RATIONALE Pekneray. Entergy Exelon NextEra PGRE Progress Energy ‘Southern Xcel DUK DUK ‘DUKIPGN Share DUK/PGN Share | Current —————> 1:3 Split Count (1:3 Spi) <————— Count (No Spi | $17.84 $53.62") 694 2,083 ‘AEP AEP F Ameren ‘Ameren F ConEdleon Con Edison ' i Dominion Dominion i

4. Slide 4: Illustrative share price before 1:3 reverse stock split

   a 1:3 REVERSE STOCK SPLIT EXAMPLE Pee stiy. : ) $1 3h $31 SF $31 $F 3h $F $3) Before 1:3 Reverse Share Share Share = Share. = Share. = Share. = Share. = Share. = Share Stock Split a | Total Market Capitalization = $27 5 =m

5. Slide 5: Illustrative reverse stock split effect on share price

   eee 1:3 REVERSE STOCK SPLIT EXAMPLE PR, a Se Sa Oe, SS hier’ Reverse l Total Market Capitalization = $27° $9/ Share $9/ Share $91 Share { } Stock Split | * Assumes market capitalization does not change

6. Slide 6: Illustrative dividend before 1:3 reverse stock split

   | 1:3 REVERSE STOCK SPLIT EXAMPLE PeRteray. ———— Hf 1 tf 1 in Before 1:3 Reverse ! share Ste Shae Shae Stock Split : mena

7. Slide 7: Illustrative dividend after 1:3 reverse stock split

   ——EE————EEEEE ESE 1:3 REVERSE STOCK SPLIT EXAMPLE PE Nery. ithe hee the othe othe othe he oh After 1:3 Reverse || Total Dividend = $9 coum $41 Share $31 Share $31 Share Note: Hlustrative ony, dividends are subject to Board approval.

8. Slide 8: Illustrative dividend after 1:3 reverse stock split

   1:3 REVERSE STOCK SPLIT EXAMPLE PBikty, After 1:3 Reverse $9/ Share Stock Split Total Market Capitalization = $27* “Assumes market capitalization does not change Hier 13 Revere Total Dividend = $9 Stock Split $3/ Share $3/ Share $3/ Share Note: Illustrative only, dividends are subject to Board appro

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