8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): November 4, 2016

Commission	Registrant; State of Incorporation;	I.R.S. Employer
File Number	Address; and Telephone Number	Identification No.
333-21011	FIRSTENERGY CORP.	34-1843785
	(An Ohio Corporation)
	76 South Main Street
	Akron, OH  44308
	Telephone (800)736-3402

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition

On November 4, 2016, FirstEnergy Corp. (FirstEnergy or Company) issued three public documents regarding, among other things, results for the three and nine months ended September 30, 2016. FirstEnergy’s Press Release, Consolidated Report to the Financial Community and slide presentation, which are attached as Exhibits 99.1, 99.2 and 99.3 hereto and incorporated herein by reference, contain non-GAAP financial measures. Pursuant to the requirements of Regulation G and Item 10(e)(i) of Regulation S-K, FirstEnergy has provided quantitative reconciliations within the Press Release and Consolidated Report to the Financial Community and slide presentation of the non-GAAP financial measures to the most directly comparable financial measures calculated and presented in accordance with accounting principles generally accepted in the United States (GAAP). The information in the Press Release, the Consolidated Report to the Financial Community and slide presentation and the information contained in this Item 2.02 and in Item 9.01 below shall not be deemed filed for purposes of the Securities Exchange Act of 1934, nor shall such information and Exhibits 99.1, 99.2 and 99.3 be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing.

The Press Release, Consolidated Report to the Financial Community and slide presentation contain references to non-GAAP financial measures including, among others, Operating earnings, Adjusted Equity, Adjusted Debt, Adjusted Capitalization and Adjusted EBITDA for the Competitive Energy Services segment (CES Adjusted EBITDA). In addition, Basic EPS and Basic EPS-Operating, each calculated on a segment basis, are also non-GAAP financial measures. Generally, a non-GAAP financial measure is a numerical measure of a company’s historical or future financial performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. Operating earnings are not calculated in accordance with GAAP because they exclude the impact of “special items”. Basic EPS for each segment is calculated by dividing segment net income (loss) on a GAAP basis by the basic weighted average shares outstanding for the period. Basic EPS-Operating for each segment is calculated by dividing segment Operating earnings (losses), which exclude special items as discussed above, by the basic weighted average shares outstanding for the period. Management uses non-GAAP financial measures such as Operating earnings and CES Adjusted EBITDA to evaluate the company’s performance and manage its operations and frequently references these non-GAAP financial measures in its decision-making, using them to facilitate historical and ongoing performance comparisons. Additionally, management uses Basic EPS and Basic-EPS Operating by segment to further evaluate FirstEnergy’s performance by segment and references these non-GAAP financial measures in its decision-making. Management believes that the non-GAAP financial measures of “Operating earnings,” “Basic EPS” and “Basic EPS-Operating” by segment provide consistent and comparable measures of performance of itsbusinesses to help shareholders understand performance trends. Management uses Adjusted Equity, Adjusted Debt, and Adjusted Capitalization to calculate and monitor its compliance with the debt to total capitalization financial covenant under the FirstEnergy credit facility and term loan. These financial measures, as calculated in accordance with the FirstEnergy credit facility and term loan, help shareholders understand FirstEnergy's compliance with, and incremental debt capacity under, the debt to total capitalization financial covenant. The financial covenant requires FirstEnergy to maintain a consolidated debt to total capitalization ratio of no more than 65%, measured at the end of each fiscal quarter. All of these non-GAAP financial measures are intended to complement, and are not considered as alternatives to, the most directly comparable GAAP financial measures. Also, the non-GAAP financial measures may not be comparable to similarly titled measures used by other entities.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits

Exhibit No.	Description
99.1	Press Release issued by FirstEnergy Corp., dated November 4, 2016
99.2	Consolidated Report to the Financial Community, dated November 4, 2016
99.3	Slide Presentation, dated as of November 4, 2016

2

Forward-Looking Statements: This Form 8-K includes forward-looking statements based on information currently available to management. Such statements are subject to certain risks and uncertainties. These statements include declarations regarding management's intents, beliefs and current expectations. These statements typically contain, but are not limited to, the terms “anticipate,” “potential,” “expect,” "forecast," "target," "will," "intend," “believe,” "project," “estimate," "plan" and similar words. Forward-looking statements involve estimates, assumptions, known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, which may include the following: the speed and nature of increased competition in the electric utility industry, in general, and the retail sales market in particular; the ability to experience growth in the Regulated Distribution and Regulated Transmission segments; the accomplishment of our regulatory and operational goals in connection with our transmission investment plan, including, but not limited to, the proposed transmission asset transfer to Mid-Atlantic Interstate Transmission, LLC, and the effectiveness of our strategy to reflect a more regulated business profile; changes in assumptions regarding economic conditions within our territories, assessment of the reliability of our transmission system, or the availability of capital or other resources supporting identified transmission investment opportunities; the impact of the regulatory process and resulting outcomes on the matters at the federal level and in the various states in which we do business including, but not limited to, matters related to rates and the Electric Security Plan IV; the impact of the federal regulatory process on Federal Energy Regulatory Commission (FERC)-regulated entities and transactions, in particular FERC regulation of wholesale energy and capacity markets, including PJM Interconnection, L.L.C. (PJM) markets and FERC-jurisdictional wholesale transactions; FERC regulation of cost-of-service rates, including FERC Opinion No. 531's revised Return on Equity methodology for FERC-jurisdictional wholesale generation and transmission utility service; and FERC’s compliance and enforcement activity, including compliance and enforcement activity related to North American Electric Reliability Corporation’s mandatory reliability standards; the uncertainties of various cost recovery and cost allocation issues resulting from American Transmission Systems, Incorporated's realignment into PJM; economic or weather conditions affecting future sales and margins such as a polar vortex or other significant weather events, and all associated regulatory events or actions; changing energy, capacity and commodity market prices including, but not limited to, coal, natural gas and oil prices, and their availability and impact on margins and asset valuations, including without limitation impairments thereon; the risks and uncertainties at the Competitive Energy Services (CES) segment, including FirstEnergy Solutions Corp. and its subsidiaries and FirstEnergy Nuclear Operating Company, related to continued depressed wholesale energy and capacity markets, and the viability and/or success of strategic business alternatives, such as potential CES generating unit asset sales, the potential conversion of the remaining generation fleet from competitive operations to a regulated or regulated-like construct or the potential need to deactivate additional generating units; the continued ability of our regulated utilities to recover their costs; costs being higher than anticipated and the success of our policies to control costs and to mitigate low energy, capacity and market prices; other legislative and regulatory changes, and revised environmental requirements, including, but not limited to, the effects of the United States Environmental Protection Agency’s Clean Power Plan, Coal Combustion Residuals regulations, Cross-State Air Pollution Rule and Mercury and Air Toxics Standards programs, including our estimated costs of compliance, Clean Water Act (CWA) waste water effluent limitations for power plants, and CWA 316(b) water intake regulation; the uncertainty of the timing and amounts of the capital expenditures that may arise in connection with any litigation, including New Source Review litigation, or potential regulatory initiatives or rulemakings (including that such initiatives or rulemakings could result in our decision to deactivate or idle certain generating units); the uncertainties associated with the deactivation of older regulated and competitive units, including the impact on vendor commitments, such as long-term fuel and transportation agreements, and as it relates to the reliability of the transmission grid, the timing thereof; the impact of other future changes to the operational status or availability of our generating units and any capacity performance charges associated with unit unavailability; adverse regulatory or legal decisions and outcomes with respect to our nuclear operations (including, but not limited to, the revocation or non-renewal of necessary licenses, approvals or operating permits by the Nuclear Regulatory Commission or as a result of the incident at Japan's Fukushima Daiichi Nuclear Plant); issues arising from the indications of cracking in the shield building at Davis-Besse; the risks and uncertainties associated with litigation, arbitration, mediation and like proceedings, including, but not limited to, any such proceedings related to vendor commitments, such as long-term fuel and transportation agreements; the impact of labor disruptions by our unionized workforce; replacement power costs being higher than anticipated or not fully hedged; the ability to comply with applicable state and federal reliability standards and energy efficiency and peak demand reduction mandates; changes in customers' demand for power, including, but not limited to, changes resulting from the implementation of state and federal energy efficiency and peak demand reduction mandates; the ability to accomplish or realize anticipated benefits from strategic and financial goals, including, but not limited to, the ability to continue to reduce costs and to successfully execute our financial plans designed to improve our credit metrics and strengthen our balance sheet through, among other actions, our cash flow improvement plan and other proposed capital raising initiatives; our ability to improve electric commodity margins and the impact of, among other factors, the increased cost of fuel and fuel transportation on such margins; changing market conditions that could affect the measurement of certain liabilities and the value of assets held in our Nuclear Decommissioning Trusts, pension trusts and other trust funds, and cause us and/or our subsidiaries to make additional contributions sooner, or in amounts that are larger than currently anticipated; the impact of changes to significant accounting policies; the ability to access the public securities and other capital and credit markets in accordance with our financial plans, the cost of such capital and overall condition of the capital and credit markets affecting us and our subsidiaries; further actions that may be taken by credit rating agencies that could negatively affect us and/or our subsidiaries' access to financing, increase the costs thereof, increase requirements to post additional collateral to support, or accelerate payments under outstanding commodity positions, letters of credit and other financial guarantees, and the impact of these events on the financial condition and liquidity of FirstEnergy and/or its subsidiaries, specifically the subsidiaries within the CES segment; the risks and uncertainties surrounding FirstEnergy's need to obtain waivers from its bank group under FirstEnergy's credit facilities caused by a debt to total capitalization ratio in excess of 65% resulting from impairment charges or other events at CES; changes in national and regional economic conditions affecting us, our subsidiaries and/or our major industrial and commercial customers, and other counterparties with which we do business, including fuel suppliers; the impact of any changes in tax laws or regulations or adverse tax audit results

3

or rulings; issues concerning the stability of domestic and foreign financial institutions and counterparties with which we do business; the risks associated with cyber-attacks and other disruptions to our information technology system that may compromise our generation, transmission and/or distribution services and data security breaches of sensitive data, intellectual property and proprietary or personally identifiable information regarding our business, employees, shareholders, customers, suppliers, business partners and other individuals in our data centers and on our networks; and the risks and other factors discussed from time to time in our United States Securities and Exchange Commission (SEC) filings, and other similar factors. Dividends declared from time to time on FirstEnergy Corp.'s common stock during any period may in the aggregate vary from prior periods due to circumstances considered by FirstEnergy Corp.'s Board of Directors at the time of the actual declarations. A security rating is not a recommendation to buy or hold securities and is subject to revision or withdrawal at any time by the assigning rating agency. Each rating should be evaluated independently of any other rating. The foregoing factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements and risks that are included in our filings with the SEC, including but not limited to the most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. New factors emerge from time to time, and it is not possible for management to predict all such factors, nor assess the impact of any such factor on our business or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statements. FirstEnergy expressly disclaims any current intention to update, except as required by law, any forward-looking statements contained herein as a result of new information, future events or otherwise.

4

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

November 4, 2016

	FIRSTENERGY CORP.
	Registrant
By:	/s/ K. Jon Taylor
	K. Jon Taylor Vice President, Controller and Chief Accounting Officer

5

Exhibit Index

Exhibit No.	Description
99.1	Press Release issued by FirstEnergy Corp., dated November 4, 2016
99.2	Consolidated Report to the Financial Community, dated November 4, 2016
99.3	Slide Presentation, dated as of November 4, 2016

6

EX-99.1

Exhibit 99.1

FirstEnergy Corp.For Release: November 4, 2016

76 South Main Street

Akron, Ohio 44308

www.firstenergycorp.com

News Media Contact:Investor Contact:

Tricia IngrahamIrene Prezelj

(330) 384-5247(330) 384-3859

FirstEnergy Announces Third Quarter Financial Results

Raises and Narrows 2016 Non-GAAP Operating Earnings Guidance

AKRON, Ohio - FirstEnergy Corp. (NYSE: FE) today reported third quarter 2016 GAAP earnings of $380 million, or $0.89 per basic and diluted share of common stock, on revenue of $3.9 billion. Operating (non-GAAP) earnings* for the third quarter of 2016 were $0.90 per basic share of common stock.

These results compare to third quarter of 2015 GAAP earnings of $395 million, or $0.94 per basic share of common stock ($0.93 diluted), on revenue of $4.1 billion. Operating (non-GAAP) earnings for the third quarter of 2015 were $0.98 per basic share of common stock.

“Our results for the third quarter exceeded our expectations due to the impact of record summer temperatures on our distribution business, as well as solid operations across each of our business segments,” said Charles E. Jones, FirstEnergy president and chief executive officer. “We also continue to make solid progress on our regulated growth strategies that are designed to provide predictable and customer-service oriented growth.”

FirstEnergy reported that it expects a GAAP loss of $(1.30) to $(0.90) per basic share for the full year of 2016, from its previous range of $(0.75) to $(0.55) per basic share. The loss primarily reflects asset impairment and plant exit costs recognized in the second quarter and an estimated charge of $0.45 to $0.75 per basic share associated with the company’s annual pension and OPEB mark-to-market adjustment.

The company also raised and narrowed its operating (non-GAAP) earnings guidance for the full year of 2016 to $2.60 to $2.70 per basic share, from the previous range of $2.40 to $2.60 per basic share. This estimate includes up to $500 million of additional equity anticipated by year end.

In FirstEnergy’s Regulated Distribution business, warmer summer temperatures drove an increase in third quarter 2016 earnings, offsetting higher pension and OPEB expenses and higher general taxes.

The record-high temperatures contributed to a nearly 7 percent increase in total distribution deliveries compared to the third quarter of 2015. Residential deliveries increased nearly 13 percent, while commercial deliveries rose by nearly 5 percent. Sales to industrial customers increased more than 2 percent compared to the third quarter of 2015 as a result of increased demand in several key sectors.

In the company’s Regulated Transmission business, third quarter earnings increased as a result of continued investments in ATSI and TrAIL as part of FirstEnergy’s Energizing the Future transmission program.

1

In the Competitive Energy Services segment, third quarter commodity margin decreased compared to the prior year period due to lower contract sales volume, consistent with the company’s expectations, and lower capacity revenues reflecting lower capacity prices that went into effect in June 2016. Lower capacity expense and purchased power costs, as well as lower fuel costs, transmission costs and higher wholesale sales, benefited commodity margin. Partially offsetting the decline in commodity margin were lower expenses and higher investment income in the third quarter of 2016 as compared to the prior-year period.

The company’s third quarter 2016 earnings were also impacted by a higher consolidated effective income tax rate.

On a GAAP basis, FirstEnergy reported a net loss of $(381) million for the first nine months of 2016, or $(0.90) per basic and diluted share of common stock on revenue of $11.2 billion. This compares to earnings of $804 million for the first nine months of 2015, or $1.91 per basic share of common stock, $1.90 on a diluted basis, on revenue of $11.5 billion. Operating (non-GAAP) earnings were $2.25 per basic share of common stock in the first nine months of 2016, and $2.13 per basic share of common stock for the same period in 2015.

Results for the first nine months of 2016 decreased as a result of the second quarter asset impairment and plant exit costs in the company’s competitive business, as well as higher benefit expenses, depreciation and taxes compared to the same period of 2015. These factors offset stronger year-to-date results in the Regulated Distribution business primarily related to rate cases approved in 2015, the impact of a higher rate base and forward-looking rate structure in the Regulated Transmission business, improved commodity margin in the Competitive Energy Services business and lower operating expenses.

	Consolidated GAAP EPS to Operating (Non-GAAP) EPS* Reconciliation
		Third Quarter		Year-To-Date		Estimate
		2016	2015	2016	2015	Full Year 2016
Basic Earnings (Loss) Per Share (GAAP)		$0.89	$0.94	$(0.90)	$1.91	$(1.30) - $(0.90)
Excluding Special Items*:
	Regulatory charges	0.02	0.01	0.12	0.05	0.13
	Trust securities impairment	—	0.07	0.02	0.11	0.02
	Merger accounting - commodity contracts	0.01	0.02	0.04	0.05	0.05
	Asset impairment/Plant exit costs	—	—	2.99	0.04	2.97
	Mark-to-market adjustments
	Pension/OPEB actuarial assumptions1	—	—	—	—	0.45 - 0.75
	Other	(0.02)	(0.09)	(0.02)	(0.10)	(0.02)
	Impact of non-core asset sales/impairments	—	0.02	—	0.05	—
	Retail repositioning charges	—	0.01	—	0.02	—
	Total Special Items*	0.01	0.04	3.15	0.22	3.60 - 3.90
Basic EPS - Operating (Non-GAAP)		$0.90	$0.98	$2.25	$2.13	$2.60 - $2.70
1Based on current discount rates ranging from 4.00% - 3.75% for Pension plans and 3.75% - 3.50% for OPEB plans and actual gains on plan assets through September 30, 2016 of 11%.
* Per share amounts for the special items above are based on the after-tax effect of each item, divided by the weighted average basic shares outstanding and includes the estimated dilutive impact of additional common stock in the fourth quarter of 2016. The current and deferred income tax effect was calculated by applying the subsidiaries’ statutory tax rate to the pre-tax amount with the exception of Asset impairment/Plant exit costs that included an impairment of goodwill, of which $433 million of the $800 million pre-tax impairment was non-deductible for tax purposes, and valuation allowances against state and local NOL carryforwards of $159 million. With the exception of these items included in Asset impairment/Plant exit costs, the income tax rates range from 35% to 42%.

2

Non-GAAP financial measures

*Operating earnings exclude special items as described herein, and is a non-GAAP financial measure. Management uses operating earnings and operating earnings by segment to evaluate the company’s performance and manage its operations and frequently references these non-GAAP financial measures in its decision making, using them to facilitate historical and ongoing performance comparisons. Management believes that the non-GAAP financial measure of “operating earnings” provides a consistent and comparable measure of performance of its business to help shareholders understand performance trends. Generally, a non-GAAP financial measure is a numerical measure of a company's historical or future financial performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with accounting principles generally accepted in the United States (GAAP). This non-GAAP financial measure is intended to complement, and is not considered as an alternative to, the most directly comparable GAAP financial measure. Also, this non-GAAP financial measure may not be comparable to similarly titled measures used by other entities. Per share amounts for the special items above are based on the after-tax effect of each item divided by the weighted average shares outstanding for the period.

Consolidated Report and Teleconference

FirstEnergy’s Consolidated Report to the Financial Community, which provides highlights on company developments and financial results for the third quarter and first nine months of the year, is posted on the company’s Investor Information website - www.firstenergycorp.com/ir. To access the report, click on Third Quarter 2016 Consolidated Report to the Financial Community. Slides associated with the third quarter earnings call are also posted to the website.

The company invites investors, customers and other interested parties to listen to a live internet webcast of its teleconference for financial analysts at 10:00 a.m. EDT today. FirstEnergy management will present an overview of the company’s financial results and discuss earnings guidance, followed by a question-and-answer session. The teleconference can be accessed on the company’s website by selecting the Q3 2016 Earnings Conference Call link. The webcast will be archived on the website for up to one year.

FirstEnergy is dedicated to safety, reliability and operational excellence. Its 10 electric distribution companies form one of the nation's largest investor-owned electric systems, serving customers in Ohio, Pennsylvania, New Jersey, West Virginia, Maryland and New York. Its generation subsidiaries control nearly 17,000 megawatts of capacity from a diversified mix of scrubbed coal, non-emitting nuclear, natural gas, hydro and other renewables. Visit FirstEnergy online at www.firstenergycorp.com. Follow FirstEnergy on Twitter @FirstEnergyCorp.

Forward-Looking Statements: This news release includes forward-looking statements based on information currently available to management. Such statements are subject to certain risks and uncertainties. These statements include declarations regarding management's intents, beliefs and current expectations. These statements typically contain, but are not limited to, the terms “anticipate,” “potential,” “expect,” "forecast," "target," "will," "intend," “believe,” "project," “estimate," "plan" and similar words. Forward-looking statements involve estimates, assumptions, known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be

3

materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, which may include the following: the speed and nature of increased competition in the electric utility industry, in general, and the retail sales market in particular; the ability to experience growth in the Regulated Distribution and Regulated Transmission segments; the accomplishment of our regulatory and operational goals in connection with our transmission investment plan, including, but not limited to, the proposed transmission asset transfer to Mid-Atlantic Interstate Transmission, LLC, and the effectiveness of our strategy to reflect a more regulated business profile; changes in assumptions regarding economic conditions within our territories, assessment of the reliability of our transmission system, or the availability of capital or other resources supporting identified transmission investment opportunities; the impact of the regulatory process and resulting outcomes on the matters at the federal level and in the various states in which we do business including, but not limited to, matters related to rates and the Electric Security Plan IV; the impact of the federal regulatory process on Federal Energy Regulatory Commission (FERC)-regulated entities and transactions, in particular FERC regulation of wholesale energy and capacity markets, including PJM Interconnection, L.L.C. (PJM) markets and FERC-jurisdictional wholesale transactions; FERC regulation of cost-of-service rates, including FERC Opinion No. 531's revised Return on Equity methodology for FERC-jurisdictional wholesale generation and transmission utility service; and FERC’s compliance and enforcement activity, including compliance and enforcement activity related to North American Electric Reliability Corporation’s mandatory reliability standards; the uncertainties of various cost recovery and cost allocation issues resulting from American Transmission Systems, Incorporated's realignment into PJM; economic or weather conditions affecting future sales and margins such as a polar vortex or other significant weather events, and all associated regulatory events or actions; changing energy, capacity and commodity market prices including, but not limited to, coal, natural gas and oil prices, and their availability and impact on margins and asset valuations, including without limitation impairments thereon; the risks and uncertainties at the Competitive Energy Services (CES) segment, including FirstEnergy Solutions Corp. and its subsidiaries and FirstEnergy Nuclear Operating Company, related to continued depressed wholesale energy and capacity markets, and the viability and/or success of strategic business alternatives, such as potential CES generating unit asset sales, the potential conversion of the remaining generation fleet from competitive operations to a regulated or regulated-like construct or the potential need to deactivate additional generating units; the continued ability of our regulated utilities to recover their costs; costs being higher than anticipated and the success of our policies to control costs and to mitigate low energy, capacity and market prices; other legislative and regulatory changes, and revised environmental requirements, including, but not limited to, the effects of the United States Environmental Protection Agency’s Clean Power Plan, Coal Combustion Residuals regulations, Cross-State Air Pollution Rule and Mercury and Air Toxics Standards programs, including our estimated costs of compliance, Clean Water Act (CWA) waste water effluent limitations for power plants, and CWA 316(b) water intake regulation; the uncertainty of the timing and amounts of the capital expenditures that may arise in connection with any litigation, including New Source Review litigation, or potential regulatory initiatives or rulemakings (including that such initiatives or rulemakings could result in our decision to deactivate or idle certain generating units); the uncertainties associated with the deactivation of older regulated and competitive units, including the impact on vendor commitments, such as long-term fuel and transportation agreements, and as it relates to the reliability of the transmission grid, the timing thereof; the impact of other future changes to the operational status or availability of our generating units and any capacity performance charges associated with unit unavailability; adverse regulatory or legal decisions and outcomes with respect to our nuclear operations (including, but not limited to, the revocation or non-renewal of necessary licenses, approvals or operating permits by the Nuclear Regulatory Commission or as a result of the incident at Japan's Fukushima Daiichi Nuclear Plant); issues arising from the indications of cracking in the shield building at Davis-Besse; the risks and uncertainties associated with litigation, arbitration, mediation and like proceedings, including, but not limited to, any such proceedings related to vendor commitments, such as long-term fuel and transportation agreements; the impact of labor disruptions by our unionized workforce; replacement power costs being higher than anticipated or not fully hedged; the ability to comply with applicable state and federal reliability standards and energy efficiency and peak demand reduction mandates; changes in customers' demand for power, including, but not limited to, changes resulting from the implementation of state and federal energy efficiency and peak demand reduction mandates; the ability to accomplish or realize anticipated benefits from strategic and financial goals, including, but not limited to, the ability to continue to reduce costs and to successfully execute our financial plans designed to improve our credit metrics and strengthen our balance sheet through, among other actions, our cash flow improvement plan and other proposed capital raising initiatives; our ability to improve electric commodity margins and the impact of, among other factors, the increased cost of fuel and fuel transportation on such margins; changing market conditions that could affect the measurement of certain liabilities and the value of assets held in our Nuclear Decommissioning Trusts, pension trusts and other trust funds, and cause us and/or our subsidiaries to make additional contributions sooner, or in amounts that are larger than currently anticipated; the impact of changes to significant accounting policies; the ability to access the public securities and other capital and credit markets in accordance with our financial plans, the cost of such capital and overall condition of the capital and credit markets affecting us and our subsidiaries; further actions that may be taken by credit rating agencies that could negatively affect us and/or our subsidiaries' access to financing, increase the costs thereof, increase requirements to post additional collateral to support, or accelerate payments under outstanding commodity positions, letters of credit and other financial guarantees, and the impact of these events on the financial condition and liquidity of FirstEnergy and/or its subsidiaries, specifically the subsidiaries within the CES segment; the risks and uncertainties surrounding FirstEnergy's need to obtain waivers from its bank group under FirstEnergy's credit facilities caused by a debt to total capitalization ratio in excess of 65% resulting from impairment charges or other events at CES; changes in national and regional economic conditions affecting us, our subsidiaries and/or our major industrial and commercial customers, and other counterparties with which we do business, including fuel suppliers; the impact of any changes in tax laws or regulations or adverse tax audit results or rulings; issues concerning the stability of domestic and foreign financial institutions and counterparties with which we do business; the risks associated with cyber-attacks and other disruptions to our information technology system that may compromise our generation, transmission and/or distribution services and data security breaches of sensitive data, intellectual property and proprietary or personally identifiable information regarding our business, employees, shareholders, customers, suppliers, business partners and other individuals in our data centers and on our networks; and the risks and other factors discussed from time to time in our United States Securities and Exchange Commission (SEC) filings, and other similar factors. Dividends declared from time to time on FirstEnergy Corp.'s common stock during any period may in the aggregate vary from prior periods due to circumstances considered by FirstEnergy Corp.'s Board of Directors at the time of the actual declarations. A security rating is not a recommendation to buy or hold securities and is subject to revision or withdrawal at any time by the assigning rating agency. Each rating should be evaluated independently of any other rating. The foregoing factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements and risks that are included in our filings with the SEC, including but not limited to the most recent Annual

4

Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. New factors emerge from time to time, and it is not possible for management to predict all such factors, nor assess the impact of any such factor on our business or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statements. FirstEnergy expressly disclaims any current intention to update, except as required by law, any forward-looking statements contained herein as a result of new information, future events or otherwise.

.

(110416)

5

EX-99.2

Exhibit 99.2

Consolidated Report to the Financial Community                                                                           

Third Quarter 2016

(Released November 4, 2016)          (Unaudited)

HIGHLIGHTS

GAAP earnings for the third quarter of 2016 were $0.89 per basic share, compared with third quarter 2015 earnings of $0.94 per basic share. Operating (non-GAAP) earnings*, excluding special items, were $0.90 per basic share for the third quarter of 2016, compared with third quarter 2015 Operating (non-GAAP) earnings of $0.98 per basic share.

				Competitive		FirstEnergy
	EPS Variance Analysis	Regulated	Regulated	Energy	Corporate /	Corp.
	(in millions, except per share amounts)	Distribution	Transmission	Services**	Other**	Consolidated
	3Q 2015 Net Income - GAAP	$234	$70	$145	$(54)	$395
	3Q 2015 Basic EPS* (avg. shares outstanding 423M)	$0.56	$0.17	$0.34	$(0.13)	$0.94
	Special Items - 2015***
	Regulatory charges	0.01	—	—	—	0.01
	Trust securities impairment	0.01	—	0.06	—	0.07
	Merger accounting - commodity contracts	—	—	0.02	—	0.02
	Impact of non-core asset sales/impairments	0.01	—	—	0.01	0.02
	Retail repositioning charges	—	—	0.01	—	0.01
	Mark-to-market adjustments	—	—	(0.09)	—	(0.09)
	3Q 2015 Basic EPS - Operating (Non-GAAP) Earnings*	$0.59	$0.17	$0.34	$(0.12)	$0.98
	Distribution Deliveries - Weather	0.11	—	—	—	0.11
	Distribution Revenues - DCR	0.01	—	—	—	0.01
	Transmission Revenues	—	0.05	—	—	0.05
	Commodity Margin	—	—	(0.17)	—	(0.17)
	O&M Expenses	—	—	(0.02)	0.02	—
	Depreciation	—	(0.01)	0.03	—	0.02
	Pension/OPEB	(0.02)	—	(0.01)	—	(0.03)
	General Taxes	(0.02)	(0.02)	0.01	—	(0.03)
	Investment Income	—	—	0.01	—	0.01
	Interest Expense	0.01	—	—	(0.01)	—
	Effective Income Tax Rate	—	—	—	(0.05)	(0.05)
	Other	—	(0.01)	—	0.01	—
	3Q 2016 Basic EPS - Operating (Non-GAAP) Earnings*	$0.68	$0.18	$0.19	$(0.15)	$0.90
	Special Items - 2016***
	Regulatory charges	(0.02)	—	—	—	(0.02)
	Merger accounting - commodity contracts	—	—	(0.01)	—	(0.01)
	Mark-to-market adjustments	—	—	0.02	—	0.02
	3Q 2016 Basic EPS* (avg. shares outstanding 425M)	$0.66	$0.18	$0.20	$(0.15)	$0.89
	3Q 2016 Net Income - GAAP	$283	$78	$86	$(67)	$380
Per share amounts for the special items and earnings drivers above and throughout this report are based on the after-tax effect of each item divided by the weighted average basic shares outstanding for the period. The current and deferred income tax effect was calculated by applying the subsidiaries' statutory tax rate to the pre-tax amount. The income tax rates range from 35% to 42%.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    1

*Operating earnings excludes special items as described below, and is a non-GAAP financial measure. Management uses Operating earnings by segment to evaluate the company’s performance and manage its operations and frequently references this non-GAAP financial measure in its decision making, using it to facilitate historical and ongoing performance comparisons. Additionally, management uses Basic EPS and Basic EPS-Operating, each on a segment basis, to further evaluate FE's performance by segment and references these non-GAAP financial measures in its decision making. Basic EPS for each segment is calculated by dividing segment net income (loss) on a GAAP basis by the basic weighted average shares outstanding for the period. Basic EPS-Operating for each segment is calculated by dividing segment Operating earnings (losses), which exclude specials items as discussed below, by the basic weighted average shares outstanding for the period. Management believes that the non-GAAP financial measures of "Operating earnings", "Basic EPS" and "Basic EPS-Operating" by segment provide a consistent and comparable measure of performance of its businesses to help shareholders understand performance trends. Generally, a non-GAAP financial measure is a numerical measure of a company's historical or future financial performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with accounting principles generally accepted in the United States (GAAP). These non-GAAP financial measures are intended to complement, and are not considered as an alternative to, the most directly comparable GAAP financial measure. Also, the non-GAAP financial measures may not be comparable to similarly titled measures used by other entities. The 2016 and 2015 GAAP to non-GAAP earnings reconciliations can be found on pages 33 & 34 of this report and all GAAP to non-GAAP earnings reconciliations are available on FE’s Investor Information website at www.firstenergycorp.com/ir.

**Disclosures for FE's reportable operating segments for 2015 have been adjusted to include the activity of FirstEnergy Ventures Corp.'s (FEV) investment in Global Mining Holding Company (Global Holding) from Competitive Energy Services to Corporate/Other, to conform to the current presentation.

***See pages 23-36 for additional details regarding special items.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    2

2016 Earnings Guidance

GAAP losses for 2016 are forecasted at $(1.30) - $(0.90) per basic share with 2016 Operating (non-GAAP) earnings guidance ranging from $2.60 - $2.70 per basic share, and assumes up to $500 million of additional equity by year end.

		Estimate for Year 2016*
(In millions, except per share amounts)		FirstEnergy Corp. Consolidated
2016F Net Loss - GAAP		$(555) - $(385)
2016F Basic Loss Per Share		$(1.30) - $(0.90)
Excluding Special Items:
	Regulatory charges	0.13
	Trust securities impairment	0.02
	Merger accounting-commodity contracts	0.05
	Asset impairment/Plant exit costs	2.97
	Mark-to-market adjustments
	Pension/OPEB actuarial assumptions(1)	0.45 - 0.75
	Other	(0.02)
	Total Special Items**	$3.60 - $3.90
2016F Basic Earnings Per Share - Operating (Non-GAAP)		$2.60 - $2.70
(1) Based on current discount rates ranging from 4.00% to 3.75% for the pension plans and 3.75% to 3.50% for the OPEB plans and actual gains on plan assets through September 30, 2016 of 11%.
*Per share amounts for the special items above are based on the after-tax effect of each item, divided by the weighted average basic shares outstanding and includes the estimated dilutive impact of additional common stock in the fourth quarter of 2016. The current and deferred income tax effect was calculated by applying the subsidiaries’ statutory tax rate to the pre-tax amount with the exception of Asset impairment/Plant exit costs that included an impairment of goodwill, of which $433 million of the $800 million pre-tax impairment was non-deductible for tax purposes, and valuation allowances against state and local NOL carryforwards of $159 million. With the exception of these items included in Asset impairment/Plant exit costs, the income tax rates range from 35% to 42%.
**See pages 35-36 for additional details regarding special items.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    3

3Q2016 Results vs 3Q2015 - By Segment

Regulated Distribution

Regulated Distribution - GAAP earnings for the third quarter of 2016 were $283 million, or $0.66 per basic share, compared with third quarter 2015 GAAP earnings of $234 million, or $0.56 per basic share. Operating (non-GAAP) earnings, excluding special items, were $0.68 per basic share for the third quarter of 2016 compared with $0.59 per basic share for the third quarter of 2015.
	EPS Variance Analysis
	(In millions, except per share amounts)
	3Q 2015 Net Income - GAAP	$234
	3Q 2015 Basic EPS (avg. shares outstanding 423M)	$0.56
	Special Items - 2015*	0.03
	3Q 2015 Basic EPS - Operating (Non-GAAP) Earnings	$0.59
	Distribution Deliveries - Weather	0.11
	Distribution Revenues - DCR	0.01
	Pension/OPEB	(0.02)
	General Taxes	(0.02)
	Interest Expense	0.01
	3Q 2016 Basic EPS - Operating (Non-GAAP) Earnings	$0.68
	Special Items - 2016*	(0.02)
	3Q 2016 Basic EPS (avg. shares outstanding 425M)	$0.66
	3Q 2016 Net Income - GAAP	$283
	*See pages 23-36 for additional details on special items.

3Q2016 vs 3Q2015 Earnings Drivers

• Distribution Revenues - Total distribution revenues increased earnings $0.12 per share primarily as a result of increased deliveries of 2,675,000 megawatt-hours (MWH), or 6.9% resulting from higher weather-related usage and higher revenues from the Ohio Delivery Capital Recovery rider. Residential sales increased 1,833,000 MWH or 12.8%, and sales to commercial customers increased 542,000 MWH, or 4.7%. Cooling-degree-days were 28% above the same period last year and 46% above normal. Deliveries to industrial customers increased 302,000 MWH, or 2.4%, primarily due to higher usage in the shale gas, coal and steel sectors.

• Pension/OPEB - Higher pension/OPEB expense reduced earnings $0.02 per share.

• General Taxes - Higher general taxes decreased earnings $0.02 per share as a result of higher property taxes and higher revenue-related taxes.

• Interest Expense - Lower interest expense increased earnings $0.01 per share, primarily as a result of lower long-term debt at Jersey Central Power & Light Company (JCP&L) and Monongahela Power Company (MP).

• Special Items - In the third quarter of 2016 and 2015, Regulated Distribution special items included regulatory charges of $0.02 and $0.01 per share, respectively, reflecting the impact of regulatory orders requiring certain commitments and/or disallowing the recoverability of costs. In addition, 2015 special items included trust securities impairment of $0.01 per share and the impact of non-core asset sales/impairments of $0.01 per share. Additional details regarding special items can be found on page 36.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    4

Regulated Transmission

Regulated Transmission - GAAP and Operating (non-GAAP) earnings for the third quarter of 2016 were $78 million, or $0.18 per basic share, compared with third quarter 2015 GAAP and Operating (non-GAAP) earnings of $70 million, or $0.17 per basic share.
	EPS Variance Analysis
	(In millions, except per share amounts)
	3Q 2015 Net Income - GAAP	$70
	3Q 2015 Basic EPS (avg. shares outstanding 423M)	$0.17
	Special Items - 2015*	—
	3Q 2015 Basic EPS - Operating (Non-GAAP) Earnings	$0.17
	Transmission Revenues	0.05
	Depreciation	(0.01)
	General Taxes	(0.02)
	Other	(0.01)
	3Q 2016 Basic EPS - Operating (Non-GAAP) Earnings	$0.18
	Special Items - 2016*	—
	3Q 2016 Basic EPS (avg. shares outstanding 425M)	$0.18
	3Q 2016 Net Income - GAAP	$78
	*See pages 23-36 for additional details on special items.

3Q2016 vs 3Q2015 Earnings Drivers

• Transmission Revenues - Higher transmission revenues increased earnings $0.05 per share, primarily due to recovery of incremental operating expenses and a higher rate base at American Transmission Systems, Incorporated (ATSI) and Trans-Allegheny Interstate Line Company (TrAIL), partially offset by a lower ROE at ATSI, effective January 1, 2016, under a comprehensive settlement approved by the Federal Energy Regulatory Commission (FERC) in October 2015.

• Depreciation and General Taxes - Higher depreciation and general tax expense decreased earnings $0.03 per share, due primarily to a higher asset base at ATSI. These expenses are recovered through ATSI's formula rate.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    5

Competitive Energy Services

CES - GAAP earnings for the third quarter of 2016 were $86 million, or $0.20 per basic share, compared with third quarter 2015 GAAP earnings of $145 million, or $0.34 per basic share. Operating (non-GAAP) earnings, excluding special items, for the third quarter of 2016 were $0.19 per basic share, compared with third quarter 2015 Operating (non-GAAP) earnings of $0.34 per basic share.
	EPS Variance Analysis
	(In millions, except per share amounts)
	3Q 2015 Net Income - GAAP	$145
	3Q 2015 Basic EPS (avg. shares outstanding 423M)	$0.34
	Special Items - 2015*	—
	3Q 2015 Basic EPS - Operating (Non-GAAP) Earnings	$0.34
	Commodity Margin	(0.17)
	O&M Expenses	(0.02)
	Depreciation	0.03
	Pension/OPEB	(0.01)
	General Taxes	0.01
	Investment Income	0.01
	3Q 2016 Basic EPS - Operating (Non-GAAP) Earnings	$0.19
	Special Items - 2016*	0.01
	3Q 2016 Basic EPS (avg. shares outstanding 425M)	$0.20
	3Q 2016 Net Income - GAAP	$86
	*See pages 23-36 for additional details on special items.

3Q2016 vs 3Q2015 Earnings Drivers

• Commodity Margin - CES commodity margin decreased earnings $0.17 per share primarily due to lower capacity revenue, partially offset by increased wholesale sales. Lower contract sales of 2.6 million MWH, as CES continues to implement its retail strategy to more effectively hedge its generation, was offset by lower purchased power, fuel and capacity expense.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    6

A summary by key component of commodity margin is as follows:

Commodity Margin EPS - 3Q16 vs 3Q15	Rate			Volume			Total
(a) Contract Sales
- Direct Sales (LCI & MCI)	$	—		$	(0.13	)	$	(0.13	)
- Governmental Aggregation Sales	(0.09		)	—			(0.09		)
- Mass Market Sales	—			(0.02		)	(0.02		)
- POLR Sales	(0.04		)	0.07			0.03
- Structured Sales	(0.02		)	(0.09		)	(0.11		)
Subtotal - Contract Sales	$	(0.15	)	$	(0.17	)	$	(0.32	)
(b) Wholesale Sales	—			0.06			0.06
(c) PJM Capacity, BRA and CP Revenues	(0.25		)	0.03			(0.22		)
(d) Fuel Expense	0.04			0.02			0.06
(e) Purchased Power (net of financials)	0.02			0.02			0.04
(f) Capacity Expense	0.13			0.07			0.20
(g) Net MISO - PJM Transmission Cost	(0.01		)	0.02			0.01
Net Change	$	(0.22	)	$	0.05		$	(0.17	)

(a) Contract Sales - CES' contract sales decreased 2.6 million MWH, or 15%, and reduced earnings $0.32 per share. Direct sales to large and medium commercial / industrial customers decreased 1.6 million MWH, or 29%. Governmental aggregation sales were essentially flat. Mass market sales decreased 233,000 MWH, or 26%, while POLR sales increased 725,000 MWH, or 33%. Structured sales, which includes bilateral and muni/co-op sales, decreased 1.5 million MWH, or 37%. As of September 30, 2016, the total number of retail customers was 1.4 million, a decrease of approximately 230,000 customers since September 30, 2015.

CES Contract Sales - 3Q16 vs 3Q15
(thousand MWH)	Retail			Non-Retail
	Direct	Aggr.	Mass Market	POLR	Structured	Total
Contract Sales Increase / (Decrease)	(1,628)	12	(233)	725	(1,456)	(2,580)

(b) Wholesale Sales - Wholesale sales increased 1.3 million MWH and increased earnings $0.06 per share.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    7

(c) PJM Capacity Revenues (Base Residual (BRA) and Capacity Performance (CP) Auctions) - Lower capacity revenues decreased earnings $0.22 per share, primarily resulting from lower capacity prices on average in the RTO and ATSI zones. Capacity prices by zone for the applicable planning periods are summarized below.

Planning Period	RTO	ATSI	MAAC	RTO/ATSI/MAAC
Price Per Megawatt-Day	BRA	BRA	BRA	CP
June 2015 - May 2016	$136.00	$357.00	$167.46	NA
June 2016 - May 2017	$59.37	$114.23	$119.13	$134.00

(d) Fuel Expense - Lower fuel expenses increased earnings $0.06 per share primarily due to lower rates on fuel contracts and lower generation associated with outages and economic dispatch of fossil units resulting from low wholesale spot market energy prices.

(e) Purchased Power (net of financials) - Lower contract sales volumes resulted in decreased purchased power volumes at lower prices and increased earnings $0.04 per share.

(f) Capacity Expense - Lower capacity expense associated with contract sales increased earnings $0.20 per share primarily due to lower sales volumes and lower average capacity prices in the ATSI and RTO zones.

(g) Net MISO-PJM Transmission Cost - Lower transmission expenses and PJM ancillary charges increased earnings $0.01 per share primarily due to lower contract sales.

• O&M Expenses - Higher O&M expenses decreased earnings $0.02 per share, primarily due to a termination charge on a FES customer contract, partially offset by lower retail-related costs.

• Depreciation Expense - Depreciation expense increased earnings $0.03 per share primarily due to an adjustment to reduce depreciation of a hydroelectric generating station.

• Pension/OPEB - Higher pension/OPEB expense reduced earnings $0.01 per share.

• General Taxes - Lower general taxes increased earnings $0.01 per share as a result of lower retail sales volumes.

• Investment Income - Higher investment income from nuclear decommissioning trust securities increased earnings $0.01 per share.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    8

• Special Items - In the third quarter of 2016, CES special items included impacts from merger accounting - commodity contracts of $0.01 per share and mark-to-market adjustments of $(0.02) per share. In the third quarter of 2015, CES special items included trust securities impairment of $0.06 per share, merger accounting-commodity contracts of $0.02 per share, retail repositioning charges of $0.01 per share, and mark-to-market adjustments of $(0.09) per share. Additional details regarding special items can be found on page 36.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    9

Corporate / Other

Corporate / Other GAAP losses for the third quarter of 2016 were $(67) million, or $(0.15) per basic share, compared with GAAP losses for the third quarter 2015 of $(54) million, or $(0.13) per basic share. Operating (non-GAAP) losses, excluding special items, were $(0.15) per basic share in the third quarter of 2016 and $(0.12) per basic share in the third quarter of 2015.
	EPS Variance Analysis
	(In millions, except per share amounts)
	3Q 2015 Net Loss - GAAP	$(54)
	3Q 2015 Basic EPS (avg. shares outstanding 423M)	$(0.13)
	Special Items - 2015*	0.01
	3Q 2015 Basic EPS - Operating (Non-GAAP) Losses	$(0.12)
	O&M Expenses	0.02
	Interest Expense	(0.01)
	Effective Income Tax Rate	(0.05)
	Other	0.01
	3Q 2016 Basic EPS - Operating (Non-GAAP) Losses	$(0.15)
	Special Items - 2016*	—
	3Q 2016 Basic EPS (avg. shares outstanding 425M)	$(0.15)
	3Q 2016 Net Loss - GAAP	$(67)
	*See pages 23-36 for additional details on special items.

3Q2016 vs 3Q2015 Earnings Drivers

• O&M Expense - Lower O&M expense increased earnings $0.02 per share, due to lower environmental remediation costs at legacy plants.

• Interest Expense - Higher interest expense decreased earnings $0.01 per share, primarily due to increased short-term borrowings.

• Effective Income Tax Rate - A higher consolidated effective income tax rate decreased earnings $0.05 per share. The consolidated effective tax rate for the third quarter of 2016 was 39.6% compared to 36.3% for the same period of 2015.

• Special Items - In the third quarter of 2015, Corporate/Other special items included a charge of $0.01 per share reflecting the impact of non-core asset sales/impairments. Additional details regarding special items can be found on page 36.

For additional information, please contact:

Irene M. Prezelj	Meghan G. Beringer	Gina E. Caskey
Vice President, Investor Relations	Director, Investor Relations	Manager, Investor Relations
(330) 384-3859	(330) 384-5832	(330) 384-3841

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    10

FirstEnergy Corp.

Consolidated Statements of Income (Loss) (GAAP)

(In millions)

				Three Months Ended September 30									Nine Months Ended September 30
				2016			2015			Change			2016			2015			Change
		Revenues
(1	)		Regulated distribution	$	2,702		$	2,624		$	78		$	7,423		$	7,425		$	(2	)
(2	)		Regulated transmission	285			248			37			824			755			69
(3	)		Competitive energy services	1,115			1,468			(353		)	3,535			4,099			(564		)
(4	)		Corporate / Other	(185		)	(217		)	32			(595		)	(794		)	199
(5	)	Total Revenues		3,917			4,123			(206		)	11,187			11,485			(298		)
		Operating Expenses
(6	)		Fuel	450			482			(32		)	1,269			1,378			(109		)
(7	)		Purchased power	979			1,209			(230		)	2,992			3,311			(319		)
(8	)		Other operating expenses	953			842			111			2,835			2,799			36
(9	)		Provision for depreciation	311			328			(17		)	974			969			5
(10	)		Amortization of regulatory assets, net	98			110			(12		)	222			201			21
(11	)		General taxes	265			236			29			786			747			39
(12	)		Impairment of assets	—			8			(8		)	1,447			24			1,423
(13	)	Total Operating Expenses		3,056			3,215			(159		)	10,525			9,429			1,096
(14	)	Operating Income		861			908			(47		)	662			2,056			(1,394		)
		Other Income (Expense)
(15	)		Investment income (loss)	28			(28		)	56			75			(14		)	89
(16	)		Interest expense	(286		)	(285		)	(1		)	(863		)	(846		)	(17		)
(17	)		Capitalized financing costs	28			26			2			79			93			(14		)
(18	)	Total Other Expense		(230		)	(287		)	57			(709		)	(767		)	58
(19	)	Income (Loss) Before Income Taxes		631			621			10			(47		)	1,289			(1,336		)
(20	)		Income taxes	251			226			25			334			485			(151		)
(21	)	Net Income (Loss)		$	380		$	395		$	(15	)	$	(381	)	$	804		$	(1,185	)
		Earnings (Losses) Per Share of Common Stock
(22	)		Basic	$	0.89		$	0.94		$	(0.05	)	$	(0.90	)	$	1.91		$	(2.81	)
(23	)		Diluted	$	0.89		$	0.93		$	(0.04	)	$	(0.90	)	$	1.90		$	(2.80	)
		Weighted Average Number of Common
		Shares Outstanding
(24	)		Basic	425			423			2			425			422			3
(25	)		Diluted	427			424			3			425			423			2

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    11

FirstEnergy Corp.

Statements of Income (Loss) - By Segment (GAAP)

(In millions)

				Three Months Ended September 30, 2016
										Competitive
				Regulated			Regulated			Energy			Corporate /			FirstEnergy
				Distribution (a)			Transmission (b)			Services (c)			Other (d)			Consolidated
		Revenues
(1	)		Electric sales	$	2,649		$	285		$	959		$	(46	)	$	3,847
(2	)		Other	53			—			39			(22		)	70
(3	)		Internal	—			—			117			(117		)	—
(4	)	Total Revenues		2,702			285			1,115			(185		)	3,917
		Operating Expenses
(5	)		Fuel	156			—			294			—			450
(6	)		Purchased power	902			—			194			(117		)	979
(7	)		Other operating expenses	615			46			367			(75		)	953
(8	)		Provision for depreciation	171			45			79			16			311
(9	)		Amortization of regulatory assets, net	98			—			—			—			98
(10	)		General taxes	190			37			30			8			265
(11	)		Impairment of assets	—			—			—			—			—
(12	)	Total Operating Expenses		2,132			128			964			(168		)	3,056
(13	)	Operating Income		570			157			151			(17		)	861
		Other Income (Expense)
(14	)		Investment income	13			—			23			(8		)	28
(15	)		Interest expense	(139		)	(43		)	(48		)	(56		)	(286		)
(16	)		Capitalized financing costs	6			9			9			4			28
(17	)	Total Other Expense		(120		)	(34		)	(16		)	(60		)	(230		)
(18	)	Income Before Income Taxes		450			123			135			(77		)	631
(19	)		Income taxes	167			45			49			(10		)	251
(20	)	Net Income		$	283		$	78		$	86		$	(67	)	$	380
(a)		Revenues are primarily derived from the delivery of electricity within FirstEnergy Corp.'s (FirstEnergy) service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs.
(b)		Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads.
(c)		Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland.
(d)		Contains corporate support and other businesses that are below the quantifiable threshold for separate disclosure as a reportable segment and interest expense on stand-alone holding company debt and corporate income taxes. Additionally, reconciling adjustments for the elimination of inter-segment transactions are included in Corporate/Other.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    12

FirstEnergy Corp.

Statements of Income (Loss) - By Segment (GAAP)

(In millions)

				Three Months Ended September 30, 2015
										Competitive
				Regulated			Regulated			Energy			Corporate /			FirstEnergy
				Distribution (a)			Transmission (b)			Services (c)			Other (d)			Consolidated
		Revenues
(1	)		Electric sales	$	2,571		$	248		$	1,276		$	(41	)	$	4,054
(2	)		Other	53			—			51			(35		)	69
(3	)		Internal	—			—			141			(141		)	—
(4	)	Total Revenues		2,624			248			1,468			(217		)	4,123
		Operating Expenses
(5	)		Fuel	140			—			342			—			482
(6	)		Purchased power	980			—			370			(141		)	1,209
(7	)		Other operating expenses	534			42			336			(70		)	842
(8	)		Provision for depreciation	174			41			98			15			328
(9	)		Amortization of regulatory assets, net	110			—			—			—			110
(10	)		General taxes	172			23			35			6			236
(11	)		Impairment of assets	8			—			—			—			8
(12	)	Total Operating Expenses		2,118			106			1,181			(190		)	3,215
(13	)	Operating Income		506			142			287			(27		)	908
		Other Income (Expense)
(14	)		Investment income (loss)	8			—			(19		)	(17		)	(28		)
(15	)		Interest expense	(149		)	(40		)	(48		)	(48		)	(285		)
(16	)		Capitalized financing costs	6			9			9			2			26
(17	)	Total Other Expense		(135		)	(31		)	(58		)	(63		)	(287		)
(18	)	Income Before Income Taxes		371			111			229			(90		)	621
(19	)		Income taxes	137			41			84			(36		)	226
(20	)	Net Income		$	234		$	70		$	145		$	(54	)	$	395
(a)		Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs.
(b)		Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads.
(c)		Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland.
(d)		Contains corporate support and other businesses that are below the quantifiable threshold for separate disclosure as a reportable segment and interest expense on stand-alone holding company debt and corporate income taxes. Additionally, reconciling adjustments for the elimination of inter-segment transactions are included in Corporate/Other.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    13

FirstEnergy Corp.

Statements of Income (Loss) - By Segment (GAAP)

(In millions)

				Changes Between the Three Months Ended September 30, 2016 and the Three Months Ended September 30, 2015 Increase (Decrease)
										Competitive
				Regulated			Regulated			Energy			Corporate /			FirstEnergy
				Distribution (a)			Transmission (b)			Services (c)			Other (d)			Consolidated
		Revenues
(1	)		Electric sales	$	78		$	37		$	(317	)	$	(5	)	$	(207	)
(2	)		Other	—			—			(12		)	13			1
(3	)		Internal revenues	—			—			(24		)	24			—
(4	)	Total Revenues		78			37			(353		)	32			(206		)
		Operating Expenses
(5	)		Fuel	16			—			(48		)	—			(32		)
(6	)		Purchased power	(78		)	—			(176		)	24			(230		)
(7	)		Other operating expenses	81			4			31			(5		)	111
(8	)		Provision for depreciation	(3		)	4			(19		)	1			(17		)
(9	)		Amortization of regulatory assets, net	(12		)	—			—			—			(12		)
(10	)		General taxes	18			14			(5		)	2			29
(11	)		Impairment of assets	(8		)	—			—			—			(8		)
(12	)	Total Total Expenses		14			22			(217		)	22			(159		)
(13	)	Operating Income		64			15			(136		)	10			(47		)
		Other Income (Expense)
(14	)		Investment income	5			—			42			9			56
(15	)		Interest expense	10			(3		)	—			(8		)	(1		)
(16	)		Capitalized financing costs	—			—			—			2			2
(17	)	Total Other Expense		15			(3		)	42			3			57
(18	)	Income Before Income Taxes		79			12			(94		)	13			10
(19	)		Income taxes	30			4			(35		)	26			25
(20	)	Net Income		$	49		$	8		$	(59	)	$	(13	)	$	(15	)
(a)		Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs.
(b)		Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads.
(c)		Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland.
(d)		Contains corporate support and other businesses that are below the quantifiable threshold for separate disclosure as a reportable segment and interest expense on stand-alone holding company debt and corporate income taxes. Additionally, reconciling adjustments for the elimination of inter-segment transactions are included in Corporate/Other.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    14

FirstEnergy Corp.

Statements of Income (Loss) - By Segment (GAAP)

(In millions)

				Nine Months Ended September 30, 2016
										Competitive
				Regulated			Regulated			Energy			Corporate /			FirstEnergy
				Distribution (a)			Transmission (b)			Services (c)			Other (d)			Consolidated
		Revenues
(1	)		Electric sales	$	7,238		$	824		$	3,023		$	(135	)	$	10,950
(2	)		Other	185			—			135			(83		)	237
(3	)		Internal	—			—			377			(377		)	—
(4	)	Total Revenues		7,423			824			3,535			(595		)	11,187
		Operating Expenses
(5	)		Fuel	436			—			833			—			1,269
(6	)		Purchased power	2,549			—			820			(377		)	2,992
(7	)		Other operating expenses	1,843			118			1,120			(246		)	2,835
(8	)		Provision for depreciation	510			132			284			48			974
(9	)		Amortization of regulatory assets, net	218			4			—			—			222
(10	)		General taxes	545			114			98			29			786
(11	)		Impairment of assets	—			—			1,447			—			1,447
(12	)	Total Operating Expenses		6,101			368			4,602			(546		)	10,525
(13	)	Operating Income (Loss)		1,322			456			(1,067		)	(49		)	662
		Other Income (Expense)
(14	)		Investment income	37			—			56			(18		)	75
(15	)		Interest expense	(431		)	(128		)	(143		)	(161		)	(863		)
(16	)		Capitalized financing costs	15			25			29			10			79
(17	)	Total Other Expense		(379		)	(103		)	(58		)	(169		)	(709		)
(18	)	Income (Loss) Before Income Taxes (Benefits)		943			353			(1,125		)	(218		)	(47		)
(19	)		Income taxes (benefits)	349			130			(96		)	(49		)	334
(20	)	Net Income (Loss)		$	594		$	223		$	(1,029	)	$	(169	)	$	(381	)
(a)		Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs.
(b)		Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads.
(c)		Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland.
(d)		Contains corporate support and other businesses that are below the quantifiable threshold for separate disclosure as a reportable segment and interest expense on stand-alone holding company debt and corporate income taxes. Additionally, reconciling adjustments for the elimination of inter-segment transactions are included in Corporate/Other.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    15

FirstEnergy Corp.

Statements of Income (Loss) - By Segment (GAAP)

(In millions)

				Nine Months Ended September 30, 2015
										Competitive
				Regulated			Regulated			Energy			Corporate /			FirstEnergy
				Distribution (a)			Transmission (b)			Services (c)			Other (d)			Consolidated
		Revenues
(1	)		Electric sales	$	7,277		$	755		$	3,381		$	(129	)	$	11,284
(2	)		Other	148			—			155			(102		)	201
(3	)		Internal	—			—			563			(563		)	—
(4	)	Total Revenues		7,425			755			4,099			(794		)	11,485
		Operating Expenses
(5	)		Fuel	406			—			972			—			1,378
(6	)		Purchased power	2,761			—			1,113			(563		)	3,311
(7	)		Other operating expenses	1,669			112			1,266			(248		)	2,799
(8	)		Provision for depreciation	516			116			293			44			969
(9	)		Amortization of regulatory assets, net	196			5			—			—			201
(10	)		General taxes	536			73			112			26			747
(11	)		Impairment of assets	8			—			16			—			24
(12	)	Total Operating Expenses		6,092			306			3,772			(741		)	9,429
(13	)	Operating Income		1,333			449			327			(53		)	2,056
		Other Income (Expense)
(14	)		Investment income (loss)	33			—			(7		)	(40		)	(14		)
(15	)		Interest expense	(439		)	(119		)	(144		)	(144		)	(846		)
(16	)		Capitalized financing costs	21			36			29			7			93
(17	)	Total Other Expense		(385		)	(83		)	(122		)	(177		)	(767		)
(18	)	Income Before Income Taxes		948			366			205			(230		)	1,289
(19	)		Income taxes	350			135			76			(76		)	485
(20	)	Net Income		$	598		$	231		$	129		$	(154	)	$	804
(a)		Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs.
(b)		Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads.
(c)		Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland.
(d)		Contains corporate support and other businesses that are below the quantifiable threshold for separate disclosure as a reportable segment and interest expense on stand-alone holding company debt and corporate income taxes. Additionally, reconciling adjustments for the elimination of inter-segment transactions are included in Corporate/Other.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    16

FirstEnergy Corp.

Statements of Income (Loss) - By Segment (GAAP)

(In millions)

				Changes Between the First Nine Months of 2016 and the First Nine Months of 2015 Increase (Decrease)
										Competitive
				Regulated			Regulated			Energy			Corporate /			FirstEnergy
				Distribution (a)			Transmission (b)			Services (c)			Other (d)			Consolidated
		Revenues
(1	)		Electric sales	$	(39	)	$	69		$	(358	)	$	(6	)	$	(334	)
(2	)		Other	37			—			(20		)	19			36
(3	)		Internal revenues	—			—			(186		)	186			—
(4	)	Total Revenues		(2		)	69			(564		)	199			(298		)
		Operating Expenses
(5	)		Fuel	30			—			(139		)	—			(109		)
(6	)		Purchased power	(212		)	—			(293		)	186			(319		)
(7	)		Other operating expenses	174			6			(146		)	2			36
(8	)		Provision for depreciation	(6		)	16			(9		)	4			5
(9	)		Amortization of regulatory assets, net	22			(1		)	—			—			21
(10	)		General taxes	9			41			(14		)	3			39
(11	)		Impairment of assets	(8		)	—			1,431			—			1,423
(12	)	Total Operating Expenses		9			62			830			195			1,096
(13	)	Operating Income (Loss)		(11		)	7			(1,394		)	4			(1,394		)
		Other Income (Expense)
(14	)		Investment income	4			—			63			22			89
(15	)		Interest expense	8			(9		)	1			(17		)	(17		)
(16	)		Capitalized financing costs	(6		)	(11		)	—			3			(14		)
(17	)	Total Other Expense		6			(20		)	64			8			58
(18	)	Income (Loss) From Before Income Taxes (Benefits)		(5		)	(13		)	(1,330		)	12			(1,336		)
(19	)		Income taxes (benefits)	(1		)	(5		)	(172		)	27			(151		)
(20	)	Net Income (Loss)		$	(4	)	$	(8	)	$	(1,158	)	$	(15	)	$	(1,185	)
(a)		Revenues are primarily derived from the delivery of electricity within FirstEnergy's service areas, cost recovery of regulatory assets and the sale of electric generation service to retail customers who have not selected an alternative supplier (POLR or default service). Its results reflect the commodity costs of securing electric generation from affiliated and non-affiliated power suppliers and the deferral and amortization of certain fuel costs.
(b)		Revenues are derived from rates charged to load serving entities and other transmission users that recover costs and provide a return on transmission capital investment owned and operated by certain of FirstEnergy's utilities and transmission companies. Its results reflect the net transmission expenses related to the delivery of the respective generation loads.
(c)		Revenues are primarily derived from supplying electric power to end-use customers through retail and wholesale arrangements, including competitive retail sales to customers primarily in Ohio, Pennsylvania, Illinois, Maryland, Michigan and New Jersey, and the provision of partial POLR and default service for affiliated and non-affiliated utilities in Ohio, Pennsylvania and Maryland.
(d)		Contains corporate support and other businesses that are below the quantifiable threshold for separate disclosure as a reportable segment and interest expense on stand-alone holding company debt and corporate income taxes. Additionally, reconciling adjustments for the elimination of inter-segment transactions are included in Corporate/Other.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    17

FirstEnergy Corp.

Financial Information

(In millions)

Condensed Consolidated Balance Sheets (GAAP)
		As of		As of
Assets		Sep. 30, 2016		Dec. 31, 2015
Current Assets:
	Cash and cash equivalents	$	551	$	131
	Receivables	1,629		1,595
	Other	1,300		1,314
Total Current Assets		3,480		3,040
Property, Plant and Equipment		37,833		37,214
Investments		3,035		2,788
Deferred Charges and Other Assets		7,613		9,052
Total Assets		$	51,961	$	52,094
Liabilities and Capitalization
Current Liabilities:
	Currently payable long-term debt	$	1,216	$	1,166
	Short-term borrowings	2,975		1,708
	Accounts payable	944		1,075
	Other	1,908		1,653
Total Current Liabilities		7,043		5,602
Capitalization:
	Total equity	11,503		12,422
	Long-term debt and other long-term obligations	18,532		19,099
Total Capitalization		30,035		31,521
Noncurrent Liabilities		14,883		14,971
Total Liabilities and Capitalization		$	51,961	$	52,094

General Information
	Three Months Ended September 30						Nine Months Ended September 30
	2016			2015			2016			2015
Debt redemptions	$	(436	)	$	(489	)	$	(1,017	)	$	(781	)
New long-term debt issues	$	521		$	884		$	521		$	1,084
Short-term borrowings increase (decrease)	$	50		$	(975	)	$	1,275		$	134
Property additions	$	664		$	539		$	2,156		$	2,025

Debt to Total Capitalization Ratio as Defined Under the FE Credit Facilities
	As of September 30					As of December 31
	2016			% Total		2015			% Total
Total Equity (GAAP)	$	11,503		32	%	$	12,422		35	%
Non-cash Charges / Non-cash Write Downs*	2,764			8	%	2,077			6	%
Accumulated Other Comprehensive Income	(184		)	(1	)%	(171		)	(1	)%
Adjusted Equity (Non-GAAP)**	14,083			39	%	14,328			40	%
Long-term Debt and Other Long-term Obligations (GAAP)	18,532			51	%	19,099			54	%
Currently Payable Long-term Debt (GAAP)	1,216			3	%	1,166			3	%
Short-term Borrowings (GAAP)	2,975			8	%	1,708			5	%
Reimbursement Obligations	9			—	%	54			—	%
Guarantees of Indebtedness	325			1	%	328			1	%
Less Securitization Debt	(837		)	(2	)%	(913		)	(3	)%
Adjusted Debt (Non-GAAP)**	22,220			61	%	21,442			60	%
Adjusted Capitalization (Non-GAAP)**	$	36,303		100	%	$	35,770		100	%
*Includes after-tax non-cash charges and non-cash write downs, primarily associated with pensions and OPEB mark-to-market adjustments, impairment of assets, and regulatory asset charges through September 30, 2016, as required by the FE Credit Facilities, as amended.
**Management uses Adjusted Equity, Adjusted Debt, and Adjusted Capitalization, each of which is a non-GAAP financial measure, to calculate and monitor its compliance with the debt to total capitalization financial covenant under the FE Credit Facilities. These financial measures, as calculated in accordance with the FE Credit Facilities, help shareholders understand FirstEnergy's compliance with, and provide a basis for understanding FirstEnergy's incremental debt capacity under the debt to total capitalization financial covenant. The financial covenant under the FE Credit Facilities require FirstEnergy to maintain a consolidated debt to total capitalization ratio of no more than 65%, measured at the end of each fiscal quarter.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    18

FirstEnergy Corp.

Statements of Cash Flows and Liquidity

(In millions)

Condensed Consolidated Statements of Cash Flows (GAAP)
	Three Months Ended						Nine Months Ended
	September 30						September 30
	2016			2015			2016			2015
Cash flows from operating activities
Net income (loss)	$	380		$	395		$	(381	)	$	804
Adjustments to reconcile net income (loss) to net cash from operating activities:
Depreciation and amortization (1)	518			514			1,440			1,383
Deferred purchased power and other costs	(1		)	(28		)	(34		)	(73		)
Deferred income taxes and investment tax credits, net	246			209			318			428
Impairment of assets	—			8			1,447			24
Investment impairments	3			46			13			70
Deferred costs on sale leaseback transaction, net	12			13			36			37
Retirement benefits, net of payments	14			(2		)	45			(18		)
Pension trust contributions	(137		)	—			(297		)	(143		)
Commodity derivative transactions, net	(15		)	(57		)	(10		)	(64		)
Lease payments on sale and leaseback transaction	—			—			(94		)	(102		)
Changes in working capital and other	100			229			97			(29		)
Cash flows provided from operating activities	1,120			1,327			2,580			2,317
Cash flows provided from/(used for) financing activities	(59		)	(741		)	316			(29		)
Cash flows used for investing activities	(709		)	(594		)	(2,476		)	(2,287		)
Net change in cash and cash equivalents	$	352		$	(8	)	$	420		$	1
(1) Includes Non-cash expenses/Amortization of Regulatory Assets, nuclear fuel, customer intangible assets, debt related costs, deferred advertising costs and other assets.

Liquidity position as of November 1, 2016
Company	Type	Maturity	Amount	Available
FirstEnergy(1)	Revolving	March 2019	$3,500	$1,241
FirstEnergy Solutions Corp. (FES) / Allegheny Energy Supply Company, LLC (AE Supply)	Revolving	March 2019	1,500	1,500
FirstEnergy Transmission, LLC(2)	Revolving	March 2019	1,000	750
(1) FirstEnergy Corp. and FEU subsidiary borrowers		Subtotal:	$6,000	$3,491
(2) Includes FET, ATSI, and TrAILCo		Cash:	—	211
		Total:	$6,000	$3,702

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    19

FirstEnergy Corp.

Statistical Summary

Electric Distribution Deliveries		Three Months Ended September 30				Nine Months Ended September 30
(MWH in thousand)		2016	2015	Change		2016	2015	Change
Ohio	- Residential	5,321	4,567	16.5	%	13,592	13,404	1.4	%
	- Commercial	4,304	4,021	7.0	%	11,721	11,626	0.8	%
	- Industrial	5,360	5,246	2.2	%	15,346	15,614	-1.7	%
	- Other	82	83	-1.2	%	250	251	-0.4	%
	Total Ohio	15,067	13,917	8.3	%	40,909	40,895	0.0	%
Pennsylvania	- Residential	5,183	4,600	12.7	%	14,253	14,662	-2.8	%
	- Commercial	3,534	3,397	4.0	%	9,880	9,895	-0.2	%
	- Industrial	5,181	5,024	3.1	%	15,202	15,222	-0.1	%
	- Other	29	30	-3.3	%	89	90	-1.1	%
	Total Pennsylvania	13,927	13,051	6.7	%	39,424	39,869	-1.1	%
New Jersey	- Residential	3,332	3,111	7.1	%	7,593	7,743	-1.9	%
	- Commercial	2,566	2,530	1.4	%	6,888	7,036	-2.1	%
	- Industrial	548	570	-3.9	%	1,631	1,683	-3.1	%
	- Other	22	22	0.0	%	65	64	1.6	%
	Total New Jersey	6,468	6,233	3.8	%	16,177	16,526	-2.1	%
Maryland	- Residential	868	766	13.3	%	2,483	2,597	-4.4	%
	- Commercial	582	545	6.8	%	1,599	1,615	-1.0	%
	- Industrial	421	421	0.0	%	1,201	1,220	-1.6	%
	- Other	4	4	0.0	%	12	12	0.0	%
	Total Maryland	1,875	1,736	8.0	%	5,295	5,444	-2.7	%
West Virginia	- Residential	1,434	1,261	13.7	%	4,209	4,300	-2.1	%
	- Commercial	1,019	970	5.1	%	2,825	2,834	-0.3	%
	- Industrial	1,513	1,460	3.6	%	4,366	4,410	-1.0	%
	- Other	7	7	0.0	%	21	21	0.0	%
	Total West Virginia	3,973	3,698	7.4	%	11,421	11,565	-1.2	%
Total Residential		16,138	14,305	12.8	%	42,130	42,706	-1.3	%
Total Commercial		12,005	11,463	4.7	%	32,913	33,006	-0.3	%
Total Industrial		13,023	12,721	2.4	%	37,746	38,149	-1.1	%
Total Other		144	146	-1.4	%	437	438	-0.2	%
Total Distribution Deliveries		41,310	38,635	6.9	%	113,226	114,299	-0.9	%

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    20

FirstEnergy Corp.

Statistical Summary

Weather	Three Months Ended September 30			Nine Months Ended September 30
	2016	2015	Normal	2016	2015	Normal
Composite Heating-Degree-Days	22	28	74	3,202	3,878	3,510
Composite Cooling-Degree-Days	955	745	656	1,251	1,083	923

Shopping Statistics (Based on MWH)	Three Months Ended September 30		Nine Months Ended September 30
	2016	2015	2016	2015
OE	82%	80%	80%	79%
Penn	63%	62%	63%	60%
CEI	87%	84%	85%	83%
TE	88%	76%	82%	75%
JCP&L	48%	47%	51%	49%
Met-Ed	67%	67%	67%	66%
Penelec	69%	71%	70%	70%
PE(1)	49%	50%	49%	48%
WP	64%	62%	65%	61%
(1) Represents Maryland only.

Competitive Operating Statistics		Three Months Ended September 30		Nine Months Ended September 30
		2016	2015	2016	2015
Generation Capacity Factors:
	Nuclear	91%	97%	89%	89%
	Fossil - Baseload	69%	72%	54%	63%
	Fossil - Load Following	37%	51%	39%	46%
Generation Fuel Rate:
	Nuclear	$7	$7	$7	$7
	Fossil	$23	$25	$24	$26
	Total Fleet	$16	$17	$15	$17
Generation Output Mix:
	Nuclear	45%	45%	49%	46%
	Fossil - Baseload	42%	41%	36%	40%
	Fossil - Load Following	5%	6%	6%	7%
	Peaking/CT/Hydro	8%	8%	9%	7%

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    21

FirstEnergy Corp.

Competitive Energy Services - Sources & Uses

Statistical Summary

Competitive Energy Services - Sources and Uses (MWH in thousands)
		Three Months Ended September 30				Nine Months Ended September 30
Contract Sales		2016	2015	Change		2016	2015	Change
	POLR	2,893	2,168	725		7,526	9,910	(2,384	)
Structured Sales		2,437	3,893	(1,456	)	9,175	9,790	(615	)
	Direct	3,913	5,541	(1,628	)	11,391	18,860	(7,469	)
	Aggregation	4,238	4,226	12		10,798	12,278	(1,480	)
	Mass Market	673	906	(233	)	1,912	3,246	(1,334	)
Total Contract Sales		14,154	16,734	(2,580	)	40,802	54,084	(13,282	)
Wholesale Spot Sales		4,447	3,156	1,291		9,938	4,023	5,915
Purchased Power
- Bilaterals		532	362	170		1,612	1,452	160
- Spot		728	1,153	(425	)	2,769	7,474	(4,705	)
Total Purchased Power		1,260	1,515	(255	)	4,381	8,926	(4,545	)
Generation Output
- Fossil		10,139	10,697	(558	)	24,844	27,437	(2,593	)
- Nuclear		8,137	8,661	(524	)	23,683	23,632	51
- RMR / Deactivated Units (1)		—	—	—		—	758	(758	)
	Total Generation Output	18,276	19,358	(1,082	)	48,527	51,827	(3,300	)
(1) Includes Reliability Must Run (RMR) and units deactivated in April 2015

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    22

FirstEnergy Corp.

Consolidated GAAP and Special Items (In millions)

				Three Months Ended September 30, 2016							Three Months Ended September 30, 2015
				GAAP			Special Items				GAAP			Special Items
(1	)	Revenues		$	3,917		$	—			$	4,123		$	(1	)	(a,d)
		Operating Expenses
(2	)		Fuel	450			(8		)	(b)	482			(11		)	(b)
(3	)		Purchased power	979			—				1,209			—
(4	)		Other operating expenses	953			8			(a,c)	842			39			(a,c,d,g)
(5	)		Provision for depreciation	311			—				328			—
(6	)		Amortization of regulatory assets, net	98			—				110			—
(7	)		General taxes	265			—				236			—
(8	)		Impairment of assets	—			—				8			(8		)	(e)
(9	)	Total Operating Expenses		3,056			—				3,215			20
(10	)	Operating Income		861			—				908			(21		)
		Other Income (Expense)
(11	)		Investment income (loss)	28			2			(f)	(28		)	52			(e,f)
(12	)		Interest expense	(286		)	2			(h)	(285		)	—
(13	)		Capitalized financing costs	28			—				26			—
(14	)	Total Other Expense		(230		)	4				(287		)	52
(15	)	Income Before Income Taxes		631			4				621			31
(16	)		Income taxes	251			1				226			11
(17	)	Net Income		$	380		$	3			$	395		$	20
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 33 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Regulatory charges: 2016 ($0.02 per share), ($8) million included in "Other operating expenses". 2015 ($0.01 per share), $1 million included in "Revenues"; and ($10) million included in "Other operating expenses".
(b)			Merger accounting - commodity contracts: 2016 ($0.01 per share), ($8) million included in "Fuel". 2015 ($0.02 per share), ($11) million included in "Fuel".
(c)			Mark-to-market adjustments: 2016 (($0.02) per share), $16 million included in "Other operating expenses". 2015 (($0.09) per share), $57 million included in "Other operating expenses".
(d)			Asset impairment/Plant exit costs: 2015, ($2) included in "Revenues"; and ($4) million included in "Other operating expenses".
(e)			Impact of non-core asset sales/impairments:2015 ($0.02 per share), ($8) million included in "Impairment of assets"; and $5 million included in "Investment income (loss)".
(f)			Trust securities impairment: 2016,$2 million included in "Investment income (loss)". 2015 ($0.07 per share), $47 million included in "Investment income (loss)".
(g)			Retail repositioning charges:2015 ($0.01 per share), ($4) million included in "Other operating expenses".
(h)			Loss on debt redemptions:2016, $2 million included in "Interest expense".
			See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the third quarter of 2016 and 423 million shares in the third quarter of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    23

FirstEnergy Corp.

Consolidated GAAP and Special Items (In millions)

				Nine Months Ended September 30, 2016							Nine Months Ended September 30, 2015
				GAAP			Special Items				GAAP			Special Items
(1	)	Revenues		$	11,187		$	—			$	11,485		$	(3	)	(a,d,e)
		Operating Expenses
(2	)		Fuel	1,269			(82		)	(b,d)	1,378			(47		)	(b,d)
(3	)		Purchased power	2,992			—				3,311			—
(4	)		Other operating expenses	2,835			(69		)	(a,c)	2,799			3			(a,c,d,g)
(5	)		Provision for depreciation	974			—				969			—
(6	)		Amortization of regulatory assets, net	222			—				201			(2		)	(a)
(7	)		General taxes	786			—				747			(1		)	(d)
(8	)		Impairment of assets	1,447			(1,447		)	(d)	24			(24		)	(e)
(9	)	Total Operating Expenses		10,525			(1,598		)		9,429			(71		)
(10	)	Operating Income		662			1,598				2,056			68
		Other Income (Expense)
(11	)		Investment income (loss)	75			11			(e,f)	(14		)	82			(e,f)
(12	)		Interest expense	(863		)	4			(h)	(846		)	—
(13	)		Capitalized financing costs	79			—				93			—
(14	)	Total Other Expense		(709		)	15				(767		)	82
(15	)	Income (Loss) Before Income Taxes		(47		)	1,613				1,289			150
(16	)		Income taxes	334			275			(d)	485			54
(17	)	Net Income		$	(381	)	$	1,338			$	804		$	96
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 34 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Regulatory charges:2016 ($0.12 per share), ($79) million included in "Other operating expenses". 2015 ($0.05 per share), $2 million included in "Revenues"; ($35) million included in "Other operating expenses"; and ($2) million included in "Amortization of regulatory assets, net".
(b)			Merger accounting - commodity contracts: 2016 ($0.04 per share), ($24) million included in "Fuel". 2015 ($0.05 per share), ($35) million included in "Fuel".
(c)			Mark-to-market adjustments: 2016 (($0.02) per share), $10 million included in "Other operating expenses". 2015 (($0.10) per share), $64 million included in "Other operating expenses".
(d)			Asset impairment/Plant exit costs: 2016 ($2.99 per share), ($58) million included in "Fuel"; ($1,447) million included in "Impairment of assets"; and $159 million in "Income taxes". 2015 ($0.04 per share), ($2) million included in "Revenues"; ($12) million included in "Fuel"; ($10) million included in "Other operating expenses"; and ($1) million included in "General taxes".
(e)			Impact of non-core asset sales/impairments: 2016,($2) million included in "Investment income (loss)". 2015 ($0.05 per share), ($3) million in "Revenues"; ($24) million included in "Impairment of assets"; and $11 million included in "Investment income (loss)".
(f)			Trust securities impairment: 2016 ($0.02 per share), $13 million included in "Investment income (loss)". 2015 ($0.11 per share), $71 million included in "Investment income (loss)".
(g)			Retail repositioning charges: 2015 ($0.02 per share), ($16) million included in "Other operating expenses".
(h)			Loss on debt redemptions: 2016, $4 million included in "Interest expense".
			See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the first nine months of 2016 and 422 million shares in the first nine months of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    24

FirstEnergy Corp.

Regulated Distribution

GAAP and Special Items (In millions)

				Three Months Ended September 30, 2016							Three Months Ended September 30, 2015
				GAAP			Special Items				GAAP			Special Items
(1	)	Revenues		$	2,702		$	—			$	2,624		$	1		(a)
		Operating Expenses
(2	)		Fuel	156			—				140			—
(3	)		Purchased power	902			—				980			—
(4	)		Other operating expenses	615			(8		)	(a)	534			(10		)	(a)
(5	)		Provision for depreciation	171			—				174			—
(6	)		Amortization of regulatory assets, net	98			—				110			—
(7	)		General taxes	190			—				172			—
(8	)		Impairment of assets	—			—				8			(8		)	(c)
(9	)	Total Operating Expenses		2,132			(8		)		2,118			(18		)
(10	)	Operating Income		570			8				506			19
		Other Income (Expense)
(11	)		Investment income	13			—				8			6			(b)
(12	)		Interest expense	(139		)	—				(149		)	—
(13	)		Capitalized financing costs	6			—				6			—
(14	)	Total Other Expense		(120		)	—				(135		)	6
(15	)	Income Before Income Taxes		450			8				371			25
(16	)		Income taxes	167			3				137			9
(17	)	Net Income		$	283		$	5			$	234		$	16
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 33 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Regulatory charges: 2016 ($0.02 per share), ($8) million included in "Other operating expenses". 2015 ($0.01 per share), $1 million included in "Revenues"; and ($10) million included in "Other operating expenses".
(b)			Trust securities impairment: 2015 ($0.01 per share), $6 million included in "Investment income".
(c)			Impact of non-core asset sales/impairments: 2015 ($0.01 per share), ($8) million included in "Impairment of assets".
See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the third quarter of 2016 and 423 million shares in the third quarter of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    25

FirstEnergy Corp.

Regulated Distribution

GAAP and Special Items (In millions)

				Nine Months Ended September 30, 2016							Nine Months Ended September 30, 2015
				GAAP			Special Items				GAAP			Special Items
(1	)	Revenues		$	7,423		$	—			$	7,425		$	2		(a)
		Operating Expenses
(2	)		Fuel	436			—				406			—
(3	)		Purchased power	2,549			—				2,761			—
(4	)		Other operating expenses	1,843			(79		)	(a)	1,669			(34		)	(a)
(5	)		Provision for depreciation	510			—				516			—
(6	)		Amortization of regulatory assets, net	218			—				196			(2		)	(a)
(7	)		General taxes	545			—				536			—
(8	)		Impairment of assets	—			—				8			(8		)	(c)
(9	)	Total Operating Expenses		6,101			(79		)		6,092			(44		)
(10	)	Operating Income		1,322			79				1,333			46
		Other Income (Expense)
(11	)		Investment income	37			1			(b)	33			8			(b)
(12	)		Interest expense	(431		)	—				(439		)	—
(13	)		Capitalized financing costs	15			—				21			—
(14	)	Total Other Expense		(379		)	1				(385		)	8
(15	)	Income Before Income Taxes		943			80				948			54
(16	)		Income taxes	349			29				350			20
(17	)	Net Income		$	594		$	51			$	598		$	34
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 34 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Regulatory charges: 2016 ($0.12 per share), ($79) million included in "Other operating expenses". 2015 ($0.05 per share), $2 million included in "Revenues"; ($34) million included in "Other operating expenses"; and ($2) million included in "Amortization of regulatory assets, net".
(b)			Trust securities impairment: 2016,$1 million included in "Investment income". 2015 ($0.01 per share),$8 million included in "Investment income".
(c)			Impact of non-core asset sales/impairments: 2015 ($0.01 per share), ($8) million included in "Impairment of assets".
See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the first nine months of 2016 and 422 million shares in the first nine months of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    26

FirstEnergy Corp.

Regulated Transmission

GAAP and Special Items (In millions)

				Three Months Ended September 30, 2016					Three Months Ended September 30, 2015
				GAAP			Special Items		GAAP			Special Items
(1	)	Revenues		$	285		$	—	$	248		$	—
		Operating Expenses
(2	)		Fuel	—			—		—			—
(3	)		Purchased power	—			—		—			—
(4	)		Other operating expenses	46			—		42			—
(5	)		Provision for depreciation	45			—		41			—
(6	)		Amortization of regulatory assets, net	—			—		—			—
(7	)		General taxes	37			—		23			—
(8	)		Impairment of assets	—			—		—			—
(9	)	Total Operating Expenses		128			—		106			—
(10	)	Operating Income		157			—		142			—
		Other Income (Expense)
(11	)		Investment income	—			—		—			—
(12	)		Interest expense	(43		)	—		(40		)	—
(13	)		Capitalized financing costs	9			—		9			—
(14	)	Total Other Expense		(34		)	—		(31		)	—
(15	)	Income Before Income Taxes		123			—		111			—
(16	)		Income taxes	45			—		41			—
(17	)	Net Income		$	78		$	—	$	70		$	—
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 33 for GAAP to Operating (non-GAAP) EPS Reconciliation.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    27

FirstEnergy Corp.

Regulated Transmission

GAAP and Special Items (In millions)

				Nine Months Ended September 30, 2016					Nine Months Ended September 30, 2015
				GAAP			Special Items		GAAP			Special Items
(1	)	Revenues		$	824		$	—	$	755		$	—
		Operating Expenses
(2	)		Fuel	—			—		—			—
(3	)		Purchased power	—			—		—			—
(4	)		Other operating expenses	118			—		112			—
(5	)		Provision for depreciation	132			—		116			—
(6	)		Amortization of regulatory assets, net	4			—		5			—
(7	)		General taxes	114			—		73			—
(8	)		Impairment of assets	—			—		—			—
(9	)	Total Operating Expenses		368			—		306			—
(10	)	Operating Income		456			—		449			—
		Other Income (Expense)
(11	)		Investment income	—			—		—			—
(12	)		Interest expense	(128		)	—		(119		)	—
(13	)		Capitalized financing costs	25			—		36			—
(14	)	Total Other Expense		(103		)	—		(83		)	—
(15	)	Income Before Income Taxes		353			—		366			—
(16	)		Income taxes	130			—		135			—
(17	)	Net Income		$	223		$	—	$	231		$	—
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 34 for GAAP to Operating (non-GAAP) EPS Reconciliation.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    28

FirstEnergy Corp.

Competitive Energy Services

GAAP and Special Items (In millions)

				Three Months Ended September 30, 2016							Three Months Ended September 30, 2015
				GAAP			Special Items				GAAP			Special Items
(1	)	Revenues		$	1,115		$	—			$	1,468		$	(2	)	(c)
		Operating Expenses
(2	)		Fuel	294			(8		)	(a)	342			(11		)	(a)
(3	)		Purchased power	194			—				370			—
(4	)		Other operating expenses	367			16			(b)	336			49			(b,c,e)
(5	)		Provision for depreciation	79			—				98			—
(6	)		Amortization of regulatory assets, net	—			—				—			—
(7	)		General taxes	30			—				35			—
(8	)		Impairment of assets	—			—				—			—
(9	)	Total Operating Expenses		964			8				1,181			38
(10	)	Operating Income		151			(8		)		287			(40		)
		Other Income (Expense)
(11	)		Investment income (loss)	23			2			(d)	(19		)	41			(d)
(12	)		Interest expense	(48		)	2			(f)	(48		)	—
(13	)		Capitalized financing costs	9			—				9			—
(14	)	Total Other Expense		(16		)	4				(58		)	41
(15	)	Income Before Income Taxes		135			(4		)		229			1
(16	)		Income taxes	49			(2		)		84			—
(17	)	Net Income		$	86		$	(2	)		$	145		$	1
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 33 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Merger accounting - commodity contracts: 2016 ($0.01 per share), ($8) million included in "Fuel". 2015 ($0.02 per share), ($11) million included in "Fuel".
(b)			Mark-to-market adjustments: 2016 (($0.02) per share), $16 million included in "Other operating expenses". 2015 (($0.09) per share), $57 million included in "Other operating expenses".
(c)			Asset impairment/Plant exit costs: 2015, ($2) million included in "Revenues";and($4) million included in "Other operating expenses".
(d)			Trust securities impairment: 2016, $2 million included in "Investment income (loss)". 2015 ($0.06 per share), $41 million included in "Investment income (loss)".
(e)			Retail repositioning charges:2015 ($0.01 per share), ($4) million included in "Other operating expenses".
(f)			Loss on debt redemptions: 2016, $2 million included in "Interest expense".
See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the third quarter of 2016 and 423 million shares in the third quarter of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    29

FirstEnergy Corp.

Competitive Energy Services

GAAP and Special Items (In millions)

				Nine Months Ended September 30, 2016							Nine Months Ended September 30, 2015
				GAAP			Special Items				GAAP			Special Items
(1	)	Revenues		$	3,535		$	—			$	4,099		$	(5	)	(d,e)
		Operating Expenses
(2	)		Fuel	833			(82		)	(b,d)	972			(47		)	(b,d)
(3	)		Purchased power	820			—				1,113			—
(4	)		Other operating expenses	1,120			10			(c)	1,266			37			(a,c,d,g)
(5	)		Provision for depreciation	284			—				293			—
(6	)		Amortization of regulatory assets, net	—			—				—			—
(7	)		General taxes	98			—				112			(1		)	(d)
(8	)		Impairment of assets	1,447			(1,447		)	(d)	16			(16		)	(e)
(9	)	Total Operating Expenses		4,602			(1,519		)		3,772			(27		)
(10	)	Operating Income (Loss)		(1,067		)	1,519				327			22
		Other Income (Expense)
(11	)		Investment income (loss)	56			10			(e,f)	(7		)	63			(f)
(12	)		Interest expense	(143		)	4			(h)	(144		)	—
(13	)		Capitalized financing costs	29			—				29			—
(14	)	Total Other Expense		(58		)	14				(122		)	63
(15	)	Income (Loss) Before Income Taxes (Benefits)		(1,125		)	1,533				205			85
(16	)		Income taxes (benefits)	(96		)	246			(d)	76			30
(17	)	Net Income (Loss)		$	(1,029	)	$	1,287			$	129		$	55
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 34 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Regulatory charges: 2015, ($1) million included in "Other operating expenses".
(b)			Merger accounting - commodity contracts: 2016 ($0.04 per share), ($24) million included in "Fuel". 2015 ($0.05 per share), ($35) million included in "Fuel".
(c)			Mark-to-market adjustments: 2016 (($0.02) per share), $10 million included in "Other operating expenses". 2015(($0.10) per share),$64 million included in "Other operating expenses".
(d)			Asset impairment/Plant exit costs: 2016 ($2.99 per share), ($58) million included in "Fuel"; ($1,447) million included in "Impairment of assets"; and $159 million included in "Income taxes (benefits)". 2015 ($0.04 per share),($2) million included in "Revenues"; ($12) million included in "Fuel"; ($10) million included in "Other operating expenses"; and ($1) million included in "General taxes".
(e)			Impact of non-core asset sales/impairments: 2016, ($2) million included in "Investment income (loss)". 2015 ($0.02 per share), ($3) million included in "Revenues"; and ($16) million included in "Impairment of assets".
(f)			Trust securities impairment: 2016 ($0.02 per share), $12 million included in "Investment income (loss)". 2015 ($0.10 per share), $63 million included in "Investment income (loss)".
(g)			Retail repositioning charges:2015 ($0.02 per share), ($16) million included in "Other operating expenses".
(h)			Loss on debt redemptions: 2016, $4 million included in "Interest expense".
See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the first nine months of 2016 and 422 million shares in the first nine months of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    30

FirstEnergy Corp.

Corporate / Other

GAAP and Special Items (In millions)

				Three Months Ended September 30, 2016					Three Months Ended September 30, 2015
				GAAP			Special Items		GAAP			Special Items
(1	)	Revenues		$	(185	)	$	—	$	(217	)	$	—
		Operating Expenses
(2	)		Fuel	—			—		—			—
(3	)		Purchased power	(117		)	—		(141		)	—
(4	)		Other operating expenses	(75		)	—		(70		)	—
(5	)		Provision for depreciation	16			—		15			—
(6	)		Amortization of regulatory assets, net	—			—		—			—
(7	)		General taxes	8			—		6			—
(8	)		Impairment of assets	—			—		—			—
(9	)	Total Operating Expenses		(168		)	—		(190		)	—
(10	)	Operating Loss		(17		)	—		(27		)	—
		Other Income (Expense)
(11	)		Investment loss	(8		)	—		(17		)	5		(a)
(12	)		Interest expense	(56		)	—		(48		)	—
(13	)		Capitalized financing costs	4			—		2			—
(14	)	Total Other Expense		(60		)	—		(63		)	5
(15	)	Loss Before Income Tax Benefits		(77		)	—		(90		)	5
(16	)		Income tax benefits	(10		)	—		(36		)	2
(17	)	Net Loss		$	(67	)	$	—	$	(54	)	$	3
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 33 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Impact of non-core asset sales/impairments: 2015, $5 million included in "Investment loss".
See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the third quarter of 2016 and 423 million shares in the third quarter of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    31

FirstEnergy Corp.

Corporate / Other

GAAP and Special Items (In millions)

				Nine Months Ended September 30, 2016					Nine Months Ended September 30, 2015
				GAAP			Special Items		GAAP			Special Items
(1	)	Revenues		$	(595	)	$	—	$	(794	)	$	—
		Operating Expenses
(2	)		Fuel	—			—		—			—
(3	)		Purchased power	(377		)	—		(563		)	—
(4	)		Other operating expenses	(246		)	—		(248		)	—
(5	)		Provision for depreciation	48			—		44			—
(6	)		Amortization of regulatory assets, net	—			—		—			—
(7	)		General taxes	29			—		26			—
(8	)		Impairment of assets	—			—		—			—
(9	)	Total Operating Expenses		(546		)	—		(741		)	—
(10	)	Operating Loss		(49		)	—		(53		)	—
		Other Income (Expense)
(11	)		Investment loss	(18		)	—		(40		)	11		(a)
(12	)		Interest expense	(161		)	—		(144		)	—
(13	)		Capitalized financing costs	10			—		7			—
(14	)	Total Other Expense		(169		)	—		(177		)	11
(15	)	Loss Before Income Tax Benefits		(218		)	—		(230		)	11
(16	)		Income tax benefits	(49		)	—		(76		)	4
(17	)	Net Loss		$	(169	)	$	—	$	(154	)	$	7
The above special items, if any, provides additional transparency to our disclosures by providing specific line items to which the special items are recorded. Management consistently utilizes these reconciliations to assist in its analysis of historical and ongoing performance. Additionally, the table above summarizes the pre-tax impact of each special item and the cumulative impact to income taxes (benefits) based on the current and deferred income tax expense associated with each special item. See page 34 for GAAP to Operating (non-GAAP) EPS Reconciliation.
(a)			Impact of non-core asset sales/impairments: 2015 ($0.02 per share), $11 million included in "Investment loss".
See page 36 for additional descriptions related to special items.
Per share amounts included above are based on the after-tax effect of the above special items as discussed on page 1 divided by the weighted average shares outstanding of 425 million shares in the first nine months of 2016 and 422 million shares in the first nine months of 2015.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    32

FirstEnergy Corp.

EPS Reconciliations

	Earnings Per Share (EPS)
	(Reconciliation of GAAP to Operating (Non-GAAP) Earnings)
	(In millions, except per share amounts)
Three Months Ended September 30, 2016							Competitive						FirstEnergy
			Regulated		Regulated		Energy			Corporate /			Corp.
			Distribution		Transmission		Services			Other			Consolidated
	3Q 2016 Net Income - GAAP		$	283	$	78	$	86		$	(67	)	$	380
	3Q 2016 Basic Earnings per share (avg. shares outstanding 425M)		$	0.66	$	0.18	$	0.20		$	(0.15	)	$	0.89
	Excluding Special Items:
		Regulatory charges	0.02		—		—			—			0.02
		Merger accounting - commodity contracts	—		—		0.01			—			0.01
		Mark-to-market adjustments	—		—		(0.02		)	—			(0.02		)
		Total Special Items	$	0.02	$	—	$	(0.01	)	$	—		$	0.01
	Basic EPS - Operating (Non-GAAP)		$	0.68	$	0.18	$	0.19		$	(0.15	)	$	0.90
Three Months Ended September 30, 2015							Competitive						FirstEnergy
			Regulated		Regulated		Energy			Corporate /			Corp.
			Distribution		Transmission		Services			Other			Consolidated
	3Q 2015 Net Income - GAAP		$	234	$	70	$	145		$	(54	)	$	395
	3Q 2015 Basic Earnings per share (avg. shares outstanding 423M)		$	0.56	$	0.17	$	0.34		$	(0.13	)	$	0.94
	Excluding Special Items:
		Regulatory charges	0.01		—		—			—			0.01
		Trust securities impairment	0.01		—		0.06			—			0.07
		Merger accounting - commodity contracts	—		—		0.02			—			0.02
		Impact of non-core asset sales/impairments	0.01		—		—			0.01			0.02
		Retail repositioning charges	—		—		0.01			—			0.01
		Mark-to-market adjustments	—		—		(0.09		)	—			(0.09		)
		Total Special Items	$	0.03	$	—	$	—		$	0.01		$	0.04
	Basic EPS - Operating (Non-GAAP)		$	0.59	$	0.17	$	0.34		$	(0.12	)	$	0.98
	Per share amounts for the special items and earnings drivers above and throughout this report are based on the after-tax effect of each item divided by the weighted average basic shares outstanding for the period. The current and deferred income tax effect was calculated by applying the subsidiaries' statutory tax rate to the pre-tax amount. The income tax rates range from 35% to 42%.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    33

FirstEnergy Corp.

EPS Reconciliations

	Earnings Per Share (EPS)
	(Reconciliation of GAAP to Operating (Non-GAAP) Earnings)
	(In millions, except per share amounts)
Nine Months Ended September 30, 2016							Competitive						FirstEnergy
			Regulated		Regulated		Energy			Corporate /			Corp.
			Distribution		Transmission		Services			Other			Consolidated
	2016 Net Income (Loss) - GAAP		$	594	$	223	$	(1,029	)	$	(169	)	$	(381	)
	2016 Basic Earnings (Losses) per share (avg. shares outstanding 425M)		$	1.40	$	0.52	$	(2.43	)	$	(0.39	)	$	(0.90	)
	Excluding Special Items:
		Regulatory charges	0.12		—		—			—			0.12
		Trust securities impairment	—		—		0.02			—			0.02
		Merger accounting - commodity contracts	—		—		0.04			—			0.04
		Asset impairment/Plant exit costs	—		—		2.99			—			2.99
		Mark-to-market adjustments	—		—		(0.02		)	—			(0.02		)
		Total Special Items	$	0.12	$	—	$	3.03		$	—		$	3.15
	Basic EPS - Operating (Non-GAAP)		$	1.52	$	0.52	$	0.60		$	(0.39	)	$	2.25
Nine Months Ended September 30, 2015							Competitive						FirstEnergy
			Regulated		Regulated		Energy			Corporate /			Corp.
			Distribution		Transmission		Services			Other			Consolidated
	2015 Net Income - GAAP		$	598	$	231	$	129		$	(154	)	$	804
	2015 Basic Earnings per share (avg. shares outstanding 422M)		$	1.42	$	0.55	$	0.31		$	(0.37	)	$	1.91
	Excluding Special Items:
		Regulatory charges	0.05		—		—			—			0.05
		Trust securities impairment	0.01		—		0.10			—			0.11
		Merger accounting - commodity contracts	—		—		0.05			—			0.05
		Asset impairment/Plant exit costs	—		—		0.04			—			0.04
		Impact of non-core asset sales/impairments	0.01		—		0.02			0.02			0.05
		Retail repositioning charges	—		—		0.02			—			0.02
		Mark-to-market adjustments	—		—		(0.10		)	—			(0.10		)
		Total Special Items	$	0.07	$	—	$	0.13		$	0.02		$	0.22
	Basic EPS - Operating (Non-GAAP)		$	1.49	$	0.55	$	0.44		$	(0.35	)	$	2.13
	Per share amounts for the special items and earnings drivers above and throughout this report are based on the after-tax effect of each item divided by the weighted average basic shares outstanding for the period. The current and deferred income tax effect was calculated by applying the subsidiaries' statutory tax rate to the pre-tax amount with the exception of Asset impairment/Plant exit costs that included an impairment of goodwill, of which $433 million of the $800 million pre-tax impairment was non-deductible for tax purposes, and valuation allowances against state and local NOL carryforwards of $159 million. With the exception of these items included in Asset impairment/Plant exit costs, the income tax rates ranges from 35% to 42%.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    34

FirstEnergy Corp.

Special Items

(In millions, except per share amount)
Estimate for Year 2016			Pre-tax			After-tax			EPS*
	Special Items:
		Regulatory charges	$	89		$	56		$	0.13
		Trust securities impairment	13			8			0.02
		Merger accounting - commodity contracts	32			21			0.05
		Asset impairment/Plant exit costs	1,505			1,269			2.97
		Impact of non-core asset sales/impairment	(2		)	(1		)	—
		Mark-to-market adjustments
		Pension and OPEB actuarial assumptions (1)	300 - 525			186 - 316			0.45 - 0.75
		Other	(10		)	(6		)	(0.02		)
		Loss on debt redemptions	4			2			—
		Total Special Items	$1,931 - $2,156			$1,535 - $1,665			$3.60 - $3.90
	*Per share amounts for the special items above are based on the after-tax effect of each item, divided by the weighted average basic shares outstanding and includes the estimated dilutive impact of additional common stock in the fourth quarter of 2016. The current and deferred income tax effect was calculated by applying the subsidiaries’ statutory tax rate to the pre-tax amount with the exception of Asset impairment/Plant exit costs that included an impairment of goodwill, of which $433 million of the $800 million pre-tax impairment was non-deductible for tax purposes, and valuation allowances against state and local NOL carryforwards of $159 million. With the exception of these items included in Asset impairment/Plant exit costs, the income tax rates range from 35% to 42%.
	(1) Based on current discount rates ranging from 4.00% to 3.75% for the pension plans and 3.75% to 3.50% for the OPEB plans and actual gains on plan assets through September 30, 2016 of 11%.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    35

2015/2016 Special Item Descriptions

• Regulatory charges - Primarily reflects the impact of regulatory orders requiring certain commitments and/or disallowing the recoverability of costs.

• Trust securities impairment - Primarily reflects non-cash other than temporary impairment charges on nuclear decommissioning trust assets.

• Merger accounting - commodity contracts - Primarily reflects the non-cash amortization of acquired commodity contracts from the Allegheny Energy Merger.

• Asset impairment/Plant exit costs- Primarily reflects the impairments of CES' goodwill, the Bay Shore Unit 1 generating station and Units 1-4 of the W. H. Sammis generating station, valuation allowances on net operating loss carryforwards and other costs associated with the deactivation of certain power plants.

• Impact of non-core asset sales/impairment - Primarily reflects the non-cash amortization/impairment of certain non-core investments and the impact of non-core asset sales.

• Retail repositioning charges - Primarily reflects termination and restructuring costs associated with CES' revised sales strategy.

• Mark-to-market adjustments - Primarily reflects non-cash mark-to-market gains and losses on commodity contract positions and the change in fair value of plan assets and net actuarial gains and losses associated with the company's pension and other post employment benefits.

• Loss on debt redemptions - Primarily reflects costs associated with the redemption and early retirement of debt.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    36

Recent Developments

Financial Matters

Dividend

On September 20, 2016, the Board of Directors of FE declared an unchanged quarterly dividend of $0.36 cents per share of outstanding common stock. The dividend is payable December 1, 2016, to shareholders of record at the close of business on November 7, 2016.

Financing Activities

On August 15, 2016, West Penn Power Company (WP) retired $145 million of 5.875% first mortgage bonds (FMBs) at maturity. On September 23, 2016, WP priced $100 million of 3.84% FMBs due 2046, $100 million of 4.09% FMBs due 2047 and $275 million of 4.14% FMBs due 2047 which are expected to fund and close in December 2016, September 2017 and December 2017, respectively. Proceeds will be used to repay short-term borrowings, fund capital expenditures and for other general corporate purposes.

On August 15, 2016 and September 15, 2016, FirstEnergy Generation, LLC (FG) and FirstEnergy Nuclear Generation, LLC (NG) remarketed in total $470.9 million (FG: $186.3 million; NG: $284.6 million) of pollution control revenue bonds (PCRBs) which were secured by FMBs issued by FG and NG respectively, at a weighted average interest rate of 4.35% in a mandatory put mode with put dates between 2021 to 2022.

On September 15, 2016, FG optionally retired $6.45 million of PCRBs on their mandatory put date. On September 30, 2016, FG optionally retired an additional $5.79 million of PCRBs that had been in a variable-rate letter of credit enhanced mode.

On October 17, 2016, The Potomac Edison Company issued $155 million of 3.89% FMBs due 2046. Proceeds were used to repay $100 million of maturing 5.8% FMBs, to repay short-term borrowings and for other general corporate purposes.

Moody's Investors Service Actions

On July 29, 2016, Moody’s downgraded the senior unsecured rating for FES to Ba2 from Baa3 and for AE Supply to Ba1 from Baa3 and affirmed the senior unsecured rating for Allegheny Generating Company (AGC) at Baa3. Moody’s also affirmed the senior secured rating for FES at Baa2. The rating outlooks for FES and AE Supply remain negative while AGC’s was changed to stable from positive.

FirstEnergy Corp.'s Baa3 issuer rating and negative rating outlook remain unchanged.

S&P Global Rating Actions

On August 1, 2016, S&P Global Ratings lowered the corporate credit ratings of FES, AE Supply, and AGC to BB- from BBB- with a stable outlook. S&P also lowered the senior secured debt ratings on FG, NG, and AE Supply to BB+ from BBB- and lowered the senior unsecured debt at all affiliates to BB-.

S&P affirmed the issuer credit rating of FirstEnergy Corp. and its regulated utility subsidiaries at BBB- with a negative outlook.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    37

Operational Matters

Beaver Valley Unit 1 Refueling Outage

On October 25, 2016, the 939-MW Beaver Valley Unit 1 returned to service following a scheduled month-long refueling and maintenance outage. During the outage, one-third of its 157 fuel assemblies were replaced. Numerous inspections and preventative maintenance and improvement projects were completed to ensure continued safe and reliable operations.

Regulatory Matters

Pennsylvania Rate Case Settlements Update

On October 14, 2016, the Pennsylvania Utilities (Metropolitan Edison Company (ME), Pennsylvania Electric Company (PN), Penn Power Company (PP), and WP made settlement filings with the Pennsylvania Public Utility Commission (PPUC) for their distribution rate cases. The settlement agreements, which have broad support, include an annual rate increase totaling approximately $291 million across the four companies and reflect the inclusion of charges for smart meters as well as the Distribution System Improvement Charge which would otherwise be recovered under previously approved riders. The following table summarizes the resulting estimated annual pre-tax earnings impact:

($ Millions)	ME	PN	PP	WP
Estimate Pre-Tax Earnings Impact	$67	$74	$22	$40

The settlements include a provision whereby the Pennsylvania Utilities agree not to file to further increase base distribution rates prior to January 27, 2019. In addition, the settlements are “black box settlements” with no specified return on equity identified for each utility.

The settlements are subject to a Recommended Decision by the Administrative Law Judge and approval by the PPUC, with rates expected to be effective January 27, 2017.

Ohio ESP IV Update

On October 12, 2016, the Public Utilities Commission of Ohio (PUCO) issued an order in the ESP IV filed by Ohio Edison Company (OE), The Cleveland Electric Illuminating Company (CEI) and The Toledo Edison Company (TE) approving a Distribution Modernization Rider (DMR) providing for the collection of approximately $133 million annually for three years, with the possibility for a two-year extension. The DMR will be grossed up for income taxes, resulting in an approved amount of approximately $204 million annually.

Revenues from the DMR will be excluded from the significantly excessive earnings test for the initial three-year term. Recovery under the DMR is subject to three conditions: (1) retention of the corporate headquarters and nexus of operations in Akron, Ohio; (2) no change in control of the Ohio companies; and (3) a demonstration of sufficient progress in the implementation of grid modernization programs approved by the PUCO.

New Jersey Rate Case Update

On April 28, 2016, JCP&L filed tariffs with the New Jersey Board of Public Utilities (NJBPU) proposing a general rate increase associated with its distribution operations. The filing requested approval to increase annual operating revenues by approximately $142.1 million based upon a hybrid test year for the twelve months ending June 30, 2016.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    38

On July 13, 2016, this matter was sent to the Office of Administrative Law for hearing and the issuance of an initial decision.

On September 30, 2016, JCP&L filed an update to its filing, which includes actual data for the twelve months ending June 30, 2016, requesting an increase to annual operating revenues by approximately $146.6 million.

On November 2, 2016, achieved settlement-in-principle, which provides for an annual $80 million distribution revenue increase effective on January 1, 2017, subject to finalization, execution and NJBPU approval of a Stipulation of Settlement.

Mid-Atlantic Interstate Transmission (MAIT) Update

On February 18, 2016, FERC issued an order approving the MAIT transaction. The PPUC approved the transaction, with minor modifications on July 21, 2016, and entered a final order on August 24, 2016.

On September 8, 2016, JCP&L and MAIT submitted a letter of withdrawal of the transfer petition to the NJBPU in order to allow MAIT, which will operate exclusively in Pennsylvania, to file its formula transmission rate with an effective date of January 1, 2017. The NJBPU administratively closed the matter on September 30, 2016.

On October 14 and 28, 2016, MAIT submitted applications to FERC requesting authorization to issue equity, short-term debt and long-term debt.

On October 28, 2016, MAIT submitted an application to FERC requesting authorization to implement a formula transmission rate to recover transmission costs effective January 1, 2017, and on October 28, 2016, MAIT and PJM submitted a joint application to FERC requesting authorization for ME and PN to withdraw from the PJM Consolidated Transmission Owners Agreement as Transmission Owners (TOs) and for MAIT to become a participating PJM TO. MAIT and PJM also requested FERC accept various transmission service agreements that permit MAIT to operate its transmission assets in concert with PJM and other TOs.

JCP&L Formula Transmission Rate Filing Update

Given that JCP&L will not be transferring its transmission assets to MAIT, there is a need for JCP&L to update its transmission rate. On October 28, 2016, JCP&L submitted an application to FERC requesting authorization to implement a formula transmission rate to recover and earn a return on transmission costs effective January 1, 2017.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    39

Forward-Looking Statements: This Consolidated Report to the Financial Community includes forward-looking statements based on information currently available to management. Such statements are subject to certain risks and uncertainties. These statements include declarations regarding management's intents, beliefs and current expectations. These statements typically contain, but are not limited to, the terms “anticipate,” “potential,” “expect,” "forecast," "target," "will," "intend," “believe,” "project," “estimate," "plan" and similar words. Forward-looking statements involve estimates, assumptions, known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, which may include the following: the speed and nature of increased competition in the electric utility industry, in general, and the retail sales market in particular; the ability to experience growth in the Regulated Distribution and Regulated Transmission segments; the accomplishment of our regulatory and operational goals in connection with our transmission investment plan, including, but not limited to, the proposed transmission asset transfer to Mid-Atlantic Interstate Transmission, LLC, and the effectiveness of our strategy to reflect a more regulated business profile; changes in assumptions regarding economic conditions within our territories, assessment of the reliability of our transmission system, or the availability of capital or other resources supporting identified transmission investment opportunities; the impact of the regulatory process and resulting outcomes on the matters at the federal level and in the various states in which we do business including, but not limited to, matters related to rates and the Electric Security Plan IV; the impact of the federal regulatory process on Federal Energy Regulatory Commission (FERC)-regulated entities and transactions, in particular FERC regulation of wholesale energy and capacity markets, including PJM Interconnection, L.L.C. (PJM) markets and FERC-jurisdictional wholesale transactions; FERC regulation of cost-of-service rates, including FERC Opinion No. 531's revised Return on Equity methodology for FERC-jurisdictional wholesale generation and transmission utility service; and FERC’s compliance and enforcement activity, including compliance and enforcement activity related to North American Electric Reliability Corporation’s mandatory reliability standards; the uncertainties of various cost recovery and cost allocation issues resulting from American Transmission Systems, Incorporated's realignment into PJM; economic or weather conditions affecting future sales and margins such as a polar vortex or other significant weather events, and all associated regulatory events or actions; changing energy, capacity and commodity market prices including, but not limited to, coal, natural gas and oil prices, and their availability and impact on margins and asset valuations, including without limitation impairments thereon; the risks and uncertainties at the Competitive Energy Services (CES) segment, including FirstEnergy Solutions Corp. and its subsidiaries and FirstEnergy Nuclear Operating Company, related to continued depressed wholesale energy and capacity markets, and the viability and/or success of strategic business alternatives, such as potential CES generating unit asset sales, the potential conversion of the remaining generation fleet from competitive operations to a regulated or regulated-like construct or the potential need to deactivate additional generating units; the continued ability of our regulated utilities to recover their costs; costs being higher than anticipated and the success of our policies to control costs and to mitigate low energy, capacity and market prices; other legislative and regulatory changes, and revised environmental requirements, including, but not limited to, the effects of the United States Environmental Protection Agency’s Clean Power Plan, Coal Combustion Residuals regulations, Cross-State Air Pollution Rule and Mercury and Air Toxics Standards programs, including our estimated costs of compliance, Clean Water Act (CWA) waste water effluent limitations for power plants, and CWA 316(b) water intake regulation; the uncertainty of the timing and amounts of the capital expenditures that may arise in connection with any litigation, including New Source Review litigation, or potential regulatory initiatives or rulemakings (including that such initiatives or rulemakings could result in our decision to deactivate or idle certain generating units); the uncertainties associated with the deactivation of older regulated and competitive units, including the impact on vendor commitments, such as long-term fuel and transportation agreements, and as it relates to the reliability of the transmission grid, the timing thereof; the impact of other future changes to the operational status or availability of our generating units and any capacity performance charges associated with unit unavailability; adverse regulatory or legal decisions and outcomes with respect to our nuclear operations (including, but not limited to, the revocation or non-renewal of necessary licenses, approvals or operating permits by the Nuclear Regulatory Commission or as a result of the incident at Japan's Fukushima Daiichi Nuclear Plant); issues arising from the indications of cracking in the shield building at Davis-Besse; the risks and uncertainties associated with litigation, arbitration, mediation and like proceedings, including, but not limited to, any such proceedings related to vendor commitments, such as long-term fuel and transportation agreements; the impact of labor disruptions by our unionized workforce; replacement power costs being higher than anticipated or not fully hedged; the ability to comply with applicable state and federal reliability standards and energy efficiency and peak demand reduction mandates; changes in customers' demand for power, including, but not limited to, changes resulting from the implementation of state and federal energy efficiency and peak demand reduction mandates; the ability to accomplish or realize anticipated benefits from strategic and financial goals, including, but not limited to, the ability to continue to reduce costs and to successfully execute our financial plans designed to improve our credit metrics and strengthen our balance sheet through, among other actions, our cash flow improvement plan and other proposed capital raising initiatives; our ability to improve electric commodity margins and the impact of, among other factors, the increased cost of fuel and fuel transportation on such margins; changing market conditions that could affect the measurement of certain liabilities and the value of assets held in our Nuclear Decommissioning Trusts, pension trusts and other trust funds, and cause us and/or our subsidiaries to make additional contributions sooner, or in amounts that are larger than currently anticipated; the impact of changes to significant accounting policies; the ability to access the public securities and other capital and credit markets in accordance with our financial plans, the cost of such capital and overall condition of the capital and credit markets affecting us and our subsidiaries; further actions that may be taken by credit rating agencies that could negatively affect us and/or our subsidiaries' access to financing, increase the costs thereof, increase requirements to post additional collateral to support, or accelerate payments under outstanding commodity positions, letters of credit and other financial guarantees, and the impact of these events on the financial condition and liquidity of FirstEnergy and/or its subsidiaries, specifically the subsidiaries within the CES segment; the risks and uncertainties surrounding FirstEnergy's need to obtain waivers from its bank group under FirstEnergy's credit facilities caused by a debt to total capitalization ratio in excess of 65% resulting from impairment charges or other events at CES; changes in national and regional economic conditions affecting us, our subsidiaries and/or our major industrial and commercial customers, and other counterparties with which we do business, including fuel suppliers; the impact of any changes in tax laws or regulations or adverse tax audit results or rulings; issues concerning the stability of domestic and foreign financial institutions and counterparties with which we do business; the risks associated with cyber-attacks and other disruptions to our information technology system that may compromise our generation, transmission and/or distribution services and data security breaches of sensitive data, intellectual property and proprietary or personally identifiable information regarding our business, employees, shareholders, customers, suppliers, business partners and other individuals in our data centers and on our networks; and the risks and other factors discussed from time to time in our United States Securities and Exchange Commission (SEC) filings, and other similar factors. Dividends declared from time to time on FirstEnergy Corp.'s common stock during any period may in the aggregate vary from prior periods due to circumstances considered by FirstEnergy Corp.'s Board of Directors at the time of the actual declarations. A security rating is not a recommendation to buy or hold securities and is subject to revision or withdrawal at any time by the assigning rating agency. Each rating should be evaluated independently of any other rating. The foregoing factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements and risks that are included in our filings with the SEC, including but not limited to the most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. New factors emerge from time to time, and it is not possible for management to predict all such factors, nor assess the impact of any such factor on our business or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statements. FirstEnergy expressly disclaims any current intention to update, except as required by law, any forward-looking statements contained herein as a result of new information, future events or otherwise.

_____________________________________________________________________________________________________

Consolidated Report to the Financial Community - 3rd Quarter 2016                    40

EX-99.3

3Q 2016 Earnings Call Charles E. Jones, President and CEO James F. Pearson, EVP and CFO November 4, 2016

Forward-Looking Statements 2 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call Forward-Looking Statements: This presentation includes forward-looking statements based on information currently available to management. Such statements are subject to certain risks and uncertainties. These statements include declarations regarding management's intents, beliefs and current expectations. These statements typically contain, but are not limited to, the terms “anticipate,” “potential,” “expect,” "forecast," "target," "will," "intend," “believe,” "project," “estimate," "plan" and similar words. Forward-looking statements involve estimates, assumptions, known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, which may include the following: the speed and nature of increased competition in the electric utility industry, in general, and the retail sales market in particular; the ability to experience growth in the Regulated Distribution and Regulated Transmission segments; the accomplishment of our regulatory and operational goals in connection with our transmission investment plan, including, but not limited to, the proposed transmission asset transfer to Mid-Atlantic Interstate Transmission, LLC, and the effectiveness of our strategy to reflect a more regulated business profile; changes in assumptions regarding economic conditions within our territories, assessment of the reliability of our transmission system, or the availability of capital or other resources supporting identified transmission investment opportunities; the impact of the regulatory process and resulting outcomes on the matters at the federal level and in the various states in which we do business including, but not limited to, matters related to rates and the Electric Security Plan IV; the impact of the federal regulatory process on Federal Energy Regulatory Commission (FERC)-regulated entities and transactions, in particular FERC regulation of wholesale energy and capacity markets, including PJM Interconnection, L.L.C. (PJM) markets and FERC-jurisdictional wholesale transactions; FERC regulation of cost-of-service rates, including FERC Opinion No. 531's revised Return on Equity methodology for FERC- jurisdictional wholesale generation and transmission utility service; and FERC’s compliance and enforcement activity, including compliance and enforcement activity related to North American Electric Reliability Corporation’s mandatory reliability standards; the uncertainties of various cost recovery and cost allocation issues resulting from American Transmission Systems, Incorporated's realignment into PJM; economic or weather conditions affecting future sales and margins such as a polar vortex or other significant weather events, and all associated regulatory events or actions; changing energy, capacity and commodity market prices including, but not limited to, coal, natural gas and oil prices, and their availability and impact on margins and asset valuations, including without limitation impairments thereon; the risks and uncertainties at the Competitive Energy Services (CES) segment, including FirstEnergy Solutions Corp. and its subsidiaries and FirstEnergy Nuclear Operating Company, related to continued depressed wholesale energy and capacity markets, and the viability and/or success of strategic business alternatives, such as potential CES generating unit asset sales, the potential conversion of the remaining generation fleet from competitive operations to a regulated or regulated-like construct or the potential need to deactivate additional generating units; the continued ability of our regulated utilities to recover their costs; costs being higher than anticipated and the success of our policies to control costs and to mitigate low energy, capacity and market prices; other legislative and regulatory changes, and revised environmental requirements, including, but not limited to, the effects of the United States Environmental Protection Agency’s Clean Power Plan, Coal Combustion Residuals regulations, Cross-State Air Pollution Rule and Mercury and Air Toxics Standards programs, including our estimated costs of compliance, Clean Water Act (CWA) waste water effluent limitations for power plants, and CWA 316(b) water intake regulation; the uncertainty of the timing and amounts of the capital expenditures that may arise in connection with any litigation, including New Source Review litigation, or potential regulatory initiatives or rulemakings (including that such initiatives or rulemakings could result in our decision to deactivate or idle certain generating units); the uncertainties associated with the deactivation of older regulated and competitive units, including the impact on vendor commitments, such as long-term fuel and transportation agreements, and as it relates to the reliability of the transmission grid, the timing thereof; the impact of other future changes to the operational status or availability of our generating units and any capacity performance charges associated with unit unavailability; adverse regulatory or legal decisions and outcomes with respect to our nuclear operations (including, but not limited to, the revocation or non-renewal of necessary licenses, approvals or operating permits by the Nuclear Regulatory Commission or as a result of the incident at Japan's Fukushima Daiichi Nuclear Plant); issues arising from the indications of cracking in the shield building at Davis- Besse; the risks and uncertainties associated with litigation, arbitration, mediation and like proceedings, including, but not limited to, any such proceedings related to vendor commitments, such as long-term fuel and transportation agreements; the impact of labor disruptions by our unionized workforce; replacement power costs being higher than anticipated or not fully hedged; the ability to comply with applicable state and federal reliability standards and energy efficiency and peak demand reduction mandates; changes in customers' demand for power, including, but not limited to, changes resulting from the implementation of state and federal energy efficiency and peak demand reduction mandates; the ability to accomplish or realize anticipated benefits from strategic and financial goals, including, but not limited to, the ability to continue to reduce costs and to successfully execute our financial plans designed to improve our credit metrics and strengthen our balance sheet through, among other actions, our cash flow improvement plan and other proposed capital raising initiatives; our ability to improve electric commodity margins and the impact of, among other factors, the increased cost of fuel and fuel transportation on such margins; changing market conditions that could affect the measurement of certain liabilities and the value of assets held in our Nuclear Decommissioning Trusts, pension trusts and other trust funds, and cause us and/or our subsidiaries to make additional contributions sooner, or in amounts that are larger than currently anticipated; the impact of changes to significant accounting policies; the ability to access the public securities and other capital and credit markets in accordance with our financial plans, the cost of such capital and overall condition of the capital and credit markets affecting us and our subsidiaries; further actions that may be taken by credit rating agencies that could negatively affect us and/or our subsidiaries' access to financing, increase the costs thereof, increase requirements to post additional collateral to support, or accelerate payments under outstanding commodity positions, letters of credit and other financial guarantees, and the impact of these events on the financial condition and liquidity of FirstEnergy and/or its subsidiaries, specifically the subsidiaries within the CES segment; the risks and uncertainties surrounding FirstEnergy's need to obtain waivers from its bank group under FirstEnergy's credit facilities caused by a debt to total capitalization ratio in excess of 65% resulting from impairment charges or other events at CES; changes in national and regional economic conditions affecting us, our subsidiaries and/or our major industrial and commercial customers, and other counterparties with which we do business, including fuel suppliers; the impact of any changes in tax laws or regulations or adverse tax audit results or rulings; issues concerning the stability of domestic and foreign financial institutions and counterparties with which we do business; the risks associated with cyber-attacks and other disruptions to our information technology system that may compromise our generation, transmission and/or distribution services and data security breaches of sensitive data, intellectual property and proprietary or personally identifiable information regarding our business, employees, shareholders, customers, suppliers, business partners and other individuals in our data centers and on our networks; and the risks and other factors discussed from time to time in our United States Securities and Exchange Commission (SEC) filings, and other similar factors. Dividends declared from time to time on FirstEnergy Corp.'s common stock during any period may in the aggregate vary from prior periods due to circumstances considered by FirstEnergy Corp.'s Board of Directors at the time of the actual declarations. A security rating is not a recommendation to buy or hold securities and is subject to revision or withdrawal at any time by the assigning rating agency. Each rating should be evaluated independently of any other rating. The foregoing factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements and risks that are included in our filings with the SEC, including but not limited to the most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. New factors emerge from time to time, and it is not possible for management to predict all such factors, nor assess the impact of any such factor on our business or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statements. FirstEnergy expressly disclaims any current intention to update, except as required by law, any forward- looking statements contained herein as a result of new information, future events or otherwise.

Non-GAAP Financial Matters This presentation contains references to non-GAAP financial measures including, among others, Operating earnings and CES Adjusted EBITDA. In addition, Basic EPS and Basic EPS-Operating, each calculated on a segment basis, are also non-GAAP financial measures. Generally, a non-GAAP financial measure is a numerical measure of a company’s historical or future financial performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with accounting principles generally accepted in the United States (GAAP). Operating earnings are not calculated in accordance with GAAP because they exclude the impact of “special items”. Basic EPS for each segment is calculated by dividing segment net income (loss) on a GAAP basis by the basic weighted average shares outstanding for the period. Basic EPS-Operating for each segment is calculated by dividing segment Operating earnings, which exclude special items as discussed above, by the basic weighted average shares outstanding for the period. Management uses non- GAAP financial measures such as Operating earnings and CES Adjusted EBITDA to evaluate the company’s performance and manage its operations and frequently references these non-GAAP financial measures in its decision-making, using them to facilitate historical and ongoing performance comparisons. Additionally, management uses Basic EPS and Basic EPS-Operating by segment to further evaluate FirstEnergy’s performance by segment and references these non-GAAP financial measures in its decision-making. Management believes that the non-GAAP financial measures of “Operating earnings,” “Basic EPS” by segment and “Basic EPS- Operating” by segment provide consistent and comparable measures of performance of its businesses to help shareholders understand performance trends. All of these non-GAAP financial measures are intended to complement, and are not considered as alternatives to, the most directly comparable GAAP financial measures. Also, the non-GAAP financial measures may not be comparable to similarly titled measures used by other entities. Pursuant to the requirements of Regulation G, FirstEnergy has provided quantitative reconciliations within this presentation of the non- GAAP financial measures to the most directly comparable GAAP financial measures. Refer to appendix pages 10-14 and 19-21. 3 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Financial Highlights ■ Reported 3Q16 GAAP earnings of $0.89 per basic share ■ Reported 3Q16 Operating (non-GAAP) earnings* of $0.90 per basic share 3Q16 Earnings Results * Refer to the appendix (pg.10-14) for reconciliations between GAAP and Operating (non-GAAP) earnings 2016 Earnings Guidance ■ 2016 GAAP losses forecasted to be ($1.30) – ($0.90) per basic share – Includes asset impairment/plant exit costs of $2.97 per share and estimate of Pension/OPEB mark-to-market adjustment of $0.45 - $0.75 per share ■ Increasing our 2016 Operating (non-GAAP) earnings guidance* range to $2.60 - $2.70 per basic share ■ Assumes up to $500M of additional equity by year-end 2016 4 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Quarterly Highlights Regulatory Updates ■ Pennsylvania Rate Case: Filed settlements with PA PUC, which allows for incremental revenue of ~$291M across our four PA utilities; rates are expected to be effective January 27, 2017 ■ New Jersey Rate Case: Reached settlement-in-principle with Rate Counsel and NJBPU, which would provide an annual revenue increase of ~$80M effective January 1, 2017 ■ Ohio Distribution Modernization Rider (DMR): PUCO authorized our Ohio utilities to collect $204M per year through 2019 with a possible two-year extension ■ Transmission Updates: MAIT and JCP&L filed for forward-looking formula rates with FERC; expect rates to become effective January 1, 2017 ■ Believe that a vertically integrated or regulated-like construct is the best way to provide reliable and affordable electric service to customers, both now and in the future ■ A strategic review of our competitive business is underway and we are pursuing options to thoughtfully and expeditiously move away from competitive markets ■ Plan to determine viability of several alternatives over near term and goal is to implement these strategic options over the next 12 to 18 months ■ Plan to begin legislative and regulatory efforts designed to preserve our generation assets, including: – Converting competitive generation units to a regulated or regulated-like construct in Ohio, while seeking a solution for nuclear units in Ohio and PA that recognizes their environmental benefits – Mon Power plans to conduct an RFP process by the end of the year for its generation shortfall in WV. We would expect that AE Supply would likely offer the Pleasants plant into that process. – Exploring the sale of any or all competitive assets, particularly AE Supply’s gas and hydro units Competitive Updates 5 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Quarterly Highlights ■ An accelerated timeframe is necessary so that we can remove lingering uncertainty and ensure that our company is fully focused on the transition to becoming a fully regulated company ■ CES segment to remain cash flow positive each year in 2017 and 2018 Competitive Updates Financial Updates We remain firmly focused on continuing to position our company for success through our customer-focused regulated strategy 6 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call ■ Met with rating agencies last week and expect rating decisions to be announced shortly ■ Continued viability of FES is pressured by certain risks, which could cause FES to take additional actions, including restructuring its debt and other financial obligations, or seeking bankruptcy protection – 2018 debt maturities – Potential adverse outcomes in rail transportation contract disputes – Lack of viable alternative strategies ■ One single qualified pension plan covers all FE employees; $921M pension obligation to employees of competitive business would remain a FE obligation ■ FE Corp. formal guarantee in place related to CES’ energy contracts, deferred compensation benefits and certain generation-related matters of $168M ■ Planning to move forward with bringing on independent board members at FES

3Q 2016 Earnings Summary ■ Reported 3Q16 GAAP earnings of $0.89 per share compared to GAAP earnings of $0.94 per share in 3Q15 – 3Q16 GAAP results include special items totaling $0.01 per share, which includes mark-to-market adjustments, merger accounting for commodity contracts and regulatory charges – 3Q15 GAAP results include special items totaling $0.04 per share, which includes trust securities impairments, mark-to-market adjustments, merger accounting for commodity contracts, regulatory charges, impact of non-core asset sales/impairments and retail repositioning charges ■ Reported 3Q16 operating (non-GAAP) earnings* of $0.90 per share, a decrease of $0.08 from 3Q15 operating (non-GAAP) earnings* of $0.98 per share – Results exceeded our expectations due to the impact of extreme summer temperatures on our Regulated Distribution segment and strong operating performance across the company November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call 7 * Refer to the appendix (pg. 10) for reconciliations between GAAP and Operating (non-GAAP) earnings

3Q 2016 Earnings Drivers Quarter-over-Quarter (Basic EPS / Operating*) 3Q16 vs. 3Q15 Earnings Per Share Variance Basic EPS Operating* Regulated Distribution +$0.10 +$0.09 Regulated Transmission +$0.01 +$0.01 Competitive Energy Services ($0.14) ($0.15) Corp/Other ($0.02) ($0.03) FE Consolidated ($0.05) ($0.08) ■ Regulated Distribution +$0.10 / +$0.09: – Results impacted primarily by higher weather-related wires revenues, partially offset by higher pension/OPEB expense and general taxes – Total distribution deliveries increased by 6.9% in 3Q16; Cooling-degree-days were 28% above 3Q15 and 46% above normal – Industrial deliveries increased 2.4%, primarily due to higher usage in the shale gas, coal and steel sectors – Special Items – Include charges reflecting the impact of regulatory orders requiring certain commitments and/or disallowing the recoverability of costs ■ Regulated Transmission +$0.01 / +$0.01: – Results impacted by higher revenues from the recovery of incremental operating expenses and a higher rate base at ATSI and TrAIL, partially offset by a lower ROE at ATSI as well as higher depreciation expense and general taxes ■ Competitive Energy Services ($0.14) / ($0.15): – Results impacted by lower commodity margin due primarily to lower capacity revenues, partially offset by increased wholesale sales. Lower contract sales, which decreased in line with CES’ hedging strategy, were partially offset by lower expenses. – Special Items – Impact of mark-to-market adjustments and merger accounting for commodity contracts ■ Corporate ($0.02) / ($0.03): – Results impacted by a higher Consolidated effective income tax rate and higher interest expense, partially offset by lower O&M 8 Per share amounts for the special items and earnings drivers above and throughout this report are based on the after-tax effect of each item divided by the weighted average basic shares outstanding for the period. The current and deferred income tax effect was calculated by applying the subsidiaries' statutory tax rate to the pre-tax amount. The income tax rates range from 35% to 42%. * Refer to the appendix (pg. 10) for reconciliation between GAAP and Operating (non-GAAP) earnings November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Appendix 9 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Earnings Per Share (EPS) – 3Q 2016 and 3Q 2015 Reconciliation of GAAP to Operating (Non-GAAP) Earnings (In millions, except per share amounts) 10 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call Per share amounts for the special items and earnings drivers above and throughout this report are based on the after-tax effect of each item divided by the weighted average basic shares outstanding for the period. The current and deferred income tax effect was calculated by applying the subsidiaries' statutory tax rate to the pre-tax amount. The income tax rates range from 35% to 42%.

Earnings Per Share (EPS) – YTD 2016 and YTD 2015 Reconciliation of GAAP to Operating (Non-GAAP) Earnings (In millions, except per share amounts) 11 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call Per share amounts for the special items and earnings drivers above and throughout this report are based on the after-tax effect of each item divided by the weighted average basic shares outstanding for the period. The current and deferred income tax effect was calculated by applying the subsidiaries‘ statutory tax rate to the pre-tax amount with the exception of Asset impairment/Plant exit costs that included an impairment of goodwill, of which $433 million of the $800 million pre-tax impairment was non-deductible for tax purposes, and valuation allowances against state and local NOL carryforwards of $159 million. With the exception of these items included in Asset impairment/Plant exit costs, the income tax rates range from 35% to 42%.

12 Earnings Per Share (EPS) – Forecast for 2016 Reconciliation of GAAP to Operating (Non-GAAP) Earnings (In millions, except per share amounts) 1 Based on current discount rates ranging from 4.00% to 3.75% for the pension plans and 3.75% to 3.50% for the OPEB plans and actual gains on plan assets through September 30, 2016 of 11%. November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call 2 Per share amounts for the special items above are based on the after-tax effect of each item, divided by the weighted average basic shares outstanding and includes the estimated dilutive impact of additional common stock in the fourth quarter of 2016. The current and deferred income tax effect was calculated by applying the subsidiaries’ statutory tax rate to the pre-tax amount with the exception of Asset impairment/Plant exit costs that included an impairment of goodwill, of which $433 million of the $800 million pre-tax impairment was non-deductible for tax purposes, and valuation allowances against state and local NOL carryforwards of $159 million. With the exception of these items included in Asset impairment/Plant exit costs, the income tax rates range from 35% to 42%.

November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call 13 FE Corp. Income Statements – 3Q 2016 and 3Q 2015 Consolidated GAAP and Special Items (In millions, except per share amounts)

November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call 14 FE Corp. Income Statements – YTD 2016 and YTD 2015 Consolidated GAAP and Special Items (In millions, except per share amounts)

Ohio – Regulatory Update ESP IV – Powering Ohio’s Progress ■ Implemented ESP IV on June 1, 2016 ■ ESP IV term is June 1, 2016, through May 31, 2024 – Contemplates base distribution rate freeze for the term of ESP IV – Continues Delivery Capital Recovery Rider, with increases in annual revenue caps to earn a return on and of incremental distribution plant in service since last rate case – $30M June 1, 2016 to May 31, 2019 – $20M June 1, 2019 to May 31, 2022 – $15M June 1, 2022 to May 31, 2024 – Commitment to robust energy efficiency offerings, including continued recovery of lost distribution revenue and shared savings – 2017-2019 Energy Efficiency Portfolio Plan filed April 15, based on a goal to achieve 800,000 MWH of savings annually. – Business plan filed on February 29, 2016, with options to invest in grid modernization initiatives in Ohio; awaiting PUCO direction – Provisions related to federal advocacy and resource diversification – Support for economic development, job retention and low income customers – Provision to decouple distribution rates for residential customers starting January 1, 2019 15 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Ohio – Regulatory Update ESP IV – Powering Ohio’s Progress ■ PUCO issued its Entry on Rehearing on October 12, 2016 – Denies the Ohio Utilities’ modified Rider RRS proposal – Adopts the PUCO Staff’s recommendation of Rider DMR with modifications – Rider DMR should be grossed up for taxes to the prevailing federal corporate income tax rate, which raises Rider DMR to approximately $204 million annually – Three-year term, with possibility for a two-year extension – Excluded from significantly excessive earnings test – Recovery of Rider DMR is subject to three conditions: (1) retention of the corporate headquarters and nexus of operations in Akron, Ohio; (2) no change in control of FE’s Ohio Utilities; and (3) a demonstration of sufficient progress in the implementation of grid modernization programs approved by the PUCO 16 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Base Rate Case Filings – Regulatory Update ■ Pennsylvania – On April 28, 2016, each of the PA Utilities filed tariffs with the PPUC proposing general rate increases associated with their distribution operations based upon a fully projected future test year for the 12 months ending December 31, 2017 – On October 14, 2016, each of the PA Utilities filed Joint Petitions for Settlement on all but one issue, proposing increases in operating revenues by approximately $291M – $96M at Met-Ed, $100M at Penelec, $29M at Penn Power, and $66M at West Penn Power – Briefs were filed on September 30, 2016 on one issue that the ADIT should be a deduction when calculating DSIC rates. Reply Briefs were filed on October 14, 2016. – Rates are expected to be effective January 27, 2017, subject to PPUC approval ■ New Jersey – On April 28, 2016, JCP&L filed tariffs with the NJBPU proposing a general rate increase associated with its distribution operations, which requested approval to increase operating revenues by approximately $142M with a hybrid test year for 12 months ending June 30, 2016 – On September 30, 2016, JCP&L filed an updated revenue requirement of $146.6M, which included actual results for 12 months ending June 30, 2016 – On November 2, 2016, reached settlement-in-principle, which provides for an annual $80M distribution revenue increase effective on January 1, 2017, subject to finalization, execution and NJBPU approval of Stipulation of Settlement Met-Ed Penelec Penn Power West Penn Power Rate Increase (as settled) $96M $100M $29M $66M Estimated Pre-Tax Earnings Increase (as settled) $67M $74M $22M $40M Residential Rate Impact (as settled) 10.7% 12.8% 10.4% 7.2% Debt/Equity Ratio (as filed) 48.8% / 51.2% 47.4% / 52.6% 49.9% / 50.1% 49.7% / 50.3% Return on Equity N/A N/A N/A N/A Rate Base (as filed) $1.405B $1.631B $0.414B $1.364B 17 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

MAIT Transmission – Regulatory Update ■ On June 19, 2015, Met-Ed, Penelec, JCP&L, FET and MAIT made filings with FERC, the NJBPU and the PPUC requesting authorization for Met-Ed, Penelec and JCP&L to contribute their transmission assets to MAIT, a subsidiary of FET – FERC – FERC order issued February 18, 2016, approving the transaction – Pennsylvania – In July 2016, received PPUC approval, with minor modifications – New Jersey – MAIT withdrew its New Jersey application in September 2016 – Therefore, only the FERC-jurisdictional transmission assets from Pennsylvania (Penelec and Met-Ed) will be transferred to MAIT ■ Next step is for MAIT and JCP&L to update their respective transmission rates – Expected to establish separate transmission rates for MAIT and for JCP&L – On October 28, 2016, MAIT and JCP&L filed under Federal Power Act section 205 of a “forward- looking” formula rate for recovery of MAIT’s and JCP&L’s transmission costs; requested that rates become effective January 1, 2017, subject to regulatory approval 18 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

2016F Adjusted EBITDA Competitive Energy Services November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call Closed Q1-Q3 Contract Sales: 41m MWh $825 $90 - $100 $815 $920 - $950 CES 2016F Adjusted EBITDA(2) Closed Q1-Q3 Wholesale: 10m MWh(1) $175 Committed Q4 Contract Sales: 12m MWh $210 - $230 Q4 Open: 3m MWh (Excludes ~3m MWh of annual distribution losses/pumping) $(1,365) 2016F ($M) Capacity Revenue Other Revenue Average $/MWh $54 Contract Rate less $(18) Supply Cost less $(16) Delivery Cost $20 avg. net margin $28 Wholesale Price plus $7 Financial Gain less $(18) Supply Cost $17 avg. net margin $27-$29 Wholesale Price plus $4 - $3 Financial Gain less $(18) Supply Cost $13-14 avg. net margin $51 Contract Rate less $(18) Supply Cost less $(14) – (15) Delivery Cost $18-19 avg. net margin Other Operating Expenses $170 Q4 Financially-Hedged: 4m MWh Total Q4 Wholesale: 7m MWh See slide 20 for additional notes describing the line items. 1 9m MWh notional amount of Q1-Q3 wholesale sales were hedged financially. 2 Total CES 2016F Adjusted EBITDA, a non-GAAP financial measure, is reconciled to 2016F CES Net Income on slide 21, and is based on market prices as of September 30, 2016. 19

Notes on 2016F Adjusted EBITDA Competitive Energy Services 20 Closed Q1- Q3 Contract Sales:  Includes actual physical volume of contract sales through 09/30/2016.  Contract Rate represents average realized rate based on actual committed contract prices and customer usage.  Supply Cost rate represents the overall realized cost of all supply sources to serve contract sales obligations, including Fuel (coal, natural gas and nuclear generation) and Purchased Power (firm and spot purchased power). Average Fossil fuel rate = $24/MWh and Average Nuclear fuel rate = $7/MWh.  Delivery Cost rate represents the average realized capacity and transmission expenses, including delivery expenses associated with serving loads and net of transmission revenues (including Financial Transmission Rights and ancillary services). Committed Q4 Contract Sales:  Expected physical volume and average realized rate of contract sales based on expected power flow for the remainder of 2016.  Volume is subject to fluctuations due to weather and customer behavior. Closed Q1-Q3 Wholesale:  Includes actual volume of physical wholesale spot sales at the average realized price and Financial Gains through 9/30/2016.  Financial Gains represent the impact of realized gains on settlement of forward financially-settled transactions. Total Q4 Wholesale:  Includes expected volume of physical wholesale spot sales for the remainder of 2016 at a range of expected realized prices at CES’ generation resources and based on 9/30/2016 market forwards. Includes volumes that may be sold through incremental Contract Sales.  A portion of the total expected volume of physical spot sales into PJM is price-hedged through forward financial transactions that will settle at Q4 market prices. Financial gain range is based on expected settlement value of the notional amount of firm forward financial wholesale sales transactions at a forward AD Hub price range of $27-$29/MWh.  Volume is subject to energy market prices and generating unit performance. Capacity Revenue:  Capacity revenue includes revenues from legacy BRA, incremental/transitional capacity auctions, bilateral transactions and capacity transmission rights. Other Revenue:  Projected annual non-commodity revenue primarily comprised of lease revenue on sale and leaseback transactions and other affiliated transactions, that is included in “Revenues – Unregulated Businesses” on the Consolidated Statements of Income.  Excludes Investment Income that is excluded from Adjusted EBITDA (see slide 21). Other Operating Expenses:  Projected annual expenses related primarily to generation, retail, corporate support and general taxes, that are included in “Other Operating Expenses” on the Consolidated Statements of Income.  Excludes Income Taxes, Depreciation, Amortization and Interest Expense, net, that is excluded from Adjusted EBITDA (see slide 21). November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Net Income (Loss) to Adjusted EBITDA1 Reconciliation Competitive Energy Services 21 ($ Millions) 2016F Net Income (Loss) – GAAP $(1,200) - $(1,125) Special Items (after tax)1 1,425 – 1,375 Operating Earnings (Loss) $225 - $250 Income Taxes2 130 – 145 Interest Expense, Net 150 – 145 Depreciation 390 - 385 Amortization3 95 Investment Income (70) Adjusted EBITDA1 $920 – $950 1 Adjusted EBITDA is a non-GAAP measure and represents GAAP net income adjusted for special items listed on slides 10-14 and the addition of Income Taxes; Interest Expense, net; Depreciation, Amortization and Investment Income. 2 Income taxes excluding the tax effect of special items are summarized on slides 10-14. 3 Amortization expense included in Other Operating Expenses on the Consolidated Statements of Income. Primarily relates to amortization of customer contract intangible assets, as disclosed in Form 10-K Note 7 - Intangible Assets, including a $32M non-cash charge in 2016 associated with the termination of an FES customer contract, and deferred costs on sale leaseback transaction, net, as disclosed in the Consolidated Statements of Cash Flows. Does not include nuclear fuel amortization of approximately $225M, $210M and $215M, in 2016, 2017 and 2018, respectively. November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Available Liquidity ($M) Financial – Liquidity CES FET FEU FE Corp. FE Consolidated Revolving Credit Facility $ 1,500 $ 1,000 $ 3,500 $ 6,000 Short-Term borrowings – (250) – (2,250) (2,500) Letters of Credit (LOC) – – – (9) (9) Total Utilization – $ (250) $ (2,259) $ (2,509) Available External Credit Capacity $ 1,500 $ 750 $ 1,241 $ 3,491 Cash & Investments – 69 – 142 211 Available Liquidity $ 1,500 $ 819 $ 1,383 $ 3,702 As of November 1, 2016 22 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call

Financial – Parental Guarantees FirstEnergy Corp. Parent Competitive Regulated Corp/Other $M Expiration $M Expiration $M Expiration Energy-Related & Retail Contracts $28 2017-2030 – – – – Deferred Compensation Arrangements $136 – $179 – $229 – Other $4 2016-2017 $4 2030 $4 – Total FE Corp. Guarantees on behalf of subsidiaries $168 $183 $233 Unfunded Pension/OPEB Obligations* As of December 31, 2015 $841 $1,725 $1,468 23 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call As of September 30, 2016 * FE Corp. is committed to fund all unfunded pension/OPEB obligations.

Financial – Potential Collateral Requirements November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call 24 ($M) Note: Surety Bonds are not tied to a credit rating. Surety Bonds impact assumes maximum contractual obligations (typical obligations require 30 days to cure). As of September 30, 2016 Competitive Utilities Total At Current Credit Rating $68 $0 $68 Upon Further Downgrade $13 $48 $61 Upon Material Adverse Change $10 $0 $10 Surety Bonds $264 $96 $360 Maximum Potential $355 $144 $499

Financial – Consolidated Long-Term Debt Maturities FEGEN / FENUGEN FE Corp. FEU FES / AE Supply FET Excludes securitization bonds As of September 30, 2016 ($M) 25 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call 0 400 800 1,200 1,600 2,000 2,400 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 2050 2052 2054 2056 Weighted Avg. Rate of Maturing Debt 6.44 5.93 7.25 6.79 7.38 5.92 5.90 4.53 4.37 4.16 5.09 4.85 4.05 4.70 4.08 4.23 5.40 5.07 4.62 4.24

Financial – Outstanding Debt by Legal Entity ($M) Totals may not foot due to rounding 26 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call Short-term Debt 2,725 Long-term Debt 4,200 Debt Subtotal 6,925 Premiums 4 Unamortized Issuance Costs (9) Total Balance Sheet Debt 6,920 Short-term Debt - 2 - - - - 82 139 24 111 Long-term Debt 650 1,330 350 153 850 1,125 1,950 1,224 445 525 Securitization Bonds 135 164 40 - - - 97 293 98 - Debt Subtotal 785 1,496 390 153 850 1,125 2,129 1,655 567 636 Discounts (8) (2) (0) - (1) (1) (6) (1) - - Unamortized Issuance Costs (2) (4) (2) (1) (4) (4) (7) (12) (4) (1) Purchase Accounting - - - - - - - 13 4 5 Capital Leases 19 15 9 4 15 22 - 4 4 7 Total Balance Sheet Debt 793 1,506 396 156 860 1,142 2,115 1,660 571 647 Short-term Debt 250 - - Long-term Debt 1,000 950 625 Debt Subtotal 1,250 950 625 Discounts (2) (4) (0) Unamortized Issuance Costs (8) (6) (4) Total Balance Sheet Debt 1,241 940 621 Short-term Debt 101 - - 52 30 Long-term Debt 696 1,163 1,135 521 100 Debt Subtotal 797 1,163 1,135 573 130 Discounts (1) - - - - Unamortized Issuance Costs (4) (5) (6) - (0) Purchase Accounting - - - (28) - Capital Leases - 9 - 0 - Total Balance Sheet Debt 792 1,167 1,129 545 129 Hold Co. At 9/30/2016 Utilities At 9/30/2016 Competitive Energy Services At 9/30/2016 West Penn Power FES Hold Co. FE Generation FE Nuclear Generation Allegheny Energy Supply Allegheny Generating Metropolitan Edison Pennsylvania Electric Jersey Central Mon Power Potomac Edison Penn Power Transmission At 9/30/2016 TrAIL FE Hold Co. Ohio Edison Cleveland Electric Toledo Edison FET Hold Co. ATSI

Financial – Credit Ratings 27 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call Corporate Credit Rating (S&P) / Issuer Rating (Moody's) (1) / Issuer Default (Fitch) 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 BB+ - - - BB+ Baa3 BB+ negative negative positive FirstEnergy Solutions BB- Ba2 - BB+ Baa2 - BB- Ba2 - stable negative - Allegheny Energy Supply BB- Ba1 - BB+ - - BB- Ba1 - stable negative - Allegheny Generating Co. BB- Baa3 - - - - BB- Baa3 - stable stable - American Transmission Systems Inc. BBB- Baa2 - - - - BBB- Baa2 - negative stable - Cleveland Electric Illuminating BBB- Baa3 - BBB+ Baa1 - BBB- Baa3 - negative stable - FirstEnergy Transmission BBB- Baa3 - - - - BB+ Baa3 - negative stable - Jersey Central Power & Light BBB- Baa2 - - - - BBB- Baa2 - negative stable - Metropolitan Edison BBB- Baa1 - - - - BBB- Baa1 - negative stable - Monongahela Power BBB- Baa2 - BBB+ A3 - - - - negative stable - Ohio Edison Co. BBB- Baa1 - BBB+ A2 - BBB- Baa1 - negative stable - Pennsylvania Electric Co. BBB- Baa2 - - - - BBB- Baa2 - negative stable - Pennsylvania Power Co. BBB- Baa1 - - A2 - - - - negative stable - Potomac Edison Co. BBB- Baa2 - BBB+ A3 - - - - negative stable - Toledo Edison Co. BBB- Baa3 - BBB+ Baa1 - - - - negative stable - Trans-Allegheny Interstate Line Co. BBB- A3 - - - - BBB- A3 - negative stable - West Penn Power Co. BBB- Baa1 - BBB+ A2 - - - - negative stable - (1) Ratings shown for FES and AES reflect Moody's "Corporate Family Rating" which are employed for speculative grade issuers As of 9/30/2016

Financial – Credit Providers $6,000 Revolving Credit Facilities Term Loans $7,449 TOTAL 158 Vehicle Leases 87 Letters of Credit (LOC) $7,200 SUB-TOTAL 1,200 Sale Leaseback LOC 4 ($M) Bank of America Bank of New York Mellon Bank of Nova Scotia Barclays Bank BBVA BNP Paribas CIBC Citibank Citizens Bank CoBank Credit Agricole Credit Suisse Fifth Third Bank FirstMerit First National Bank Goldman Sachs Huntington National Bank Industrial & Commercial Bank of China JP Morgan Chase Keybank Mizuho Morgan Stanley National Cooperative Services PNC Regions Bank Royal Bank of Canada Santander Sumitomo Mitsui TD Bank Union Bank/Bank of Tokyo Mitsubishi US Bank Wells Fargo 32 financial institutions provide ~$7.4B aggregate credit commitment As of September 30, 2016 28 November 4, 2016 Quarterly HighLIGHTS – FE 3Q 2016 Earnings Call