From:	Corporate Communications Exelon Corporation	FOR IMMEDIATE RELEASE
	P.O. Box 805379
	Chicago, IL 60680-5379
Contact:
	Investor Relations: Michael Metzner, 312.394.7696 Media Relations: Kellie Szabo, 312.394.3071

Exelon Announces Strong Second Quarter Earnings;
Reaffirms 2005 Earnings Guidance

Chicago (July 21, 2005) – Exelon Corporation’s (Exelon) second quarter 2005 consolidated earnings prepared in accordance with GAAP were $514 million, or $0.76 per diluted share, compared with $521 million, or $0.78 per diluted share, in the second quarter of 2004.

Exelon’s adjusted (non-GAAP) operating earnings for the second quarter of 2005 were $506 million, or $0.75 per diluted share, compared with $467 million, or $0.70 per diluted share, for the same period in 2004. The 7 percent increase in adjusted (non-GAAP) operating earnings per share was primarily due to higher margins at Exelon Generation Company, LLC (Generation) and warmer June weather, partially offset by a reserve recorded for estimated potential asbestos-related claims and one additional planned nuclear refueling outage.

A non-GAAP financial measure, adjusted (non-GAAP) operating earnings for the second quarter of 2005 do not include the following items that are included in reported GAAP earnings (all after-tax):

• Earnings of $19 million, or $0.03 per diluted share, from investments in synthetic fuel-producing facilities.

• Unrealized mark-to-market losses of $4 million, or $0.01 per diluted share, from non-trading activities at Exelon (primarily Generation).

• Costs of $5 million, or $0.01 per diluted share, related to certain integration costs associated with the proposed merger with Public Service Enterprise Group Incorporated (PSEG).

Adjusted (non-GAAP) operating earnings for the second quarter of 2004 did not include the following items that were included in reported GAAP earnings (all after-tax):

• Earnings of $42 million, or $0.06 per diluted share, from the transfer of ownership of Boston Generating, LLC (Boston Generating) to its lenders, net of losses on operations prior to the transfer.

1

• Earnings of $15 million, or $0.03 per diluted share, from investments in synthetic fuel-producing facilities.

• Unrealized mark-to-market gains of $9 million, or $0.01 per diluted share, from non-trading activities at Generation.

• Severance and severance-related costs of $13 million, or $0.02 per diluted share.

“Our continued strong results and year-over-year earnings growth are being driven primarily by higher margins in our Generation business. We continue to realize the benefits of owning a large fleet of well-run, low-cost nuclear plants in a market environment of high gas and oil prices, increasing environmental pressures on burning fossil fuels, especially coal, and the beginning of a downward trend in generation reserve margins,” said John W. Rowe, Exelon’s chairman, president and CEO. “With the Federal Energy Regulatory Commission’s recent approval of our proposed merger with PSEG, we are focused on securing the remaining regulatory approvals and accelerating our integration planning in anticipation of a first quarter or early second quarter 2006 close. As we prepare for the merger with PSEG, we continue to contain costs across all our businesses while maintaining safe and reliable operations.”

2005 Earnings Outlook

Rowe added, “We are confirming our 2005 adjusted (non-GAAP) operating earnings guidance range of $2.90 to $3.10 per share, which reflects a strong first half and our confidence in continued earnings growth in the second half of the year.”

Exelon’s outlook for adjusted (non-GAAP) operating earnings excludes unrealized mark-to-market adjustments from non-trading activities, income resulting from investments in synthetic fuel-producing facilities, the financial impact of the company’s investment in Sithe and certain severance costs. Giving consideration to these factors, Exelon estimates 2005 GAAP earnings will fall in the range of $2.95 to $3.15 per share. This estimate does not include any impact of future changes to GAAP. Third quarter adjusted (non-GAAP) operating earnings are expected to be between $0.85 and $1.00 per share. Earnings guidance is based on the assumption of normal weather.

Second Quarter Highlights

•

Proposed Merger with PSEG: On December 20, 2004, Exelon entered into a merger agreement with PSEG. The closing of the merger is dependent upon the receipt of all required approvals, including approval of the shareholders of both companies. On June 30, 2005, the Federal Energy Regulatory Commission (FERC) approved the merger. FERC determined that the merger satisfies the public interest standard of the Federal Power Act.

The merger now requires the approval of the New Jersey Board of Public Utilities (NJBPU) and Pennsylvania Public Utility Commission (PAPUC), as well as reviews by the U.S. Department of Justice, Nuclear Regulatory Commission, Securities and Exchange Commission, New Jersey Department of Environmental Protection, New York Public Service Commission, and the Connecticut Department of Environmental Protection. ComEd filed a notice of the merger with the Illinois Commerce Commission (ICC) in February, and the ICC’s General Counsel confirmed that its formal approval of the merger is not required. Shareholders of PSEG voted to approve the merger on July 19, 2005, and Exelon’s shareholders are expected to vote on July 22, 2005.

2

	Exelon and PSEG believe that the closing of the merger transaction in the first quarter of 2006 is achievable, assuming they are able to reach settlements with interested parties that are approved by the PAPUC and NJBPU. If settlements are not reached, the companies expect that, assuming all other conditions to completion of the merger are satisfied, the closing of the merger should occur early in the second quarter of 2006.
•	Senior Notes Offering: On June 9, 2005, Exelon sold $1.7 billion of senior notes, comprised of $400 million in five-year maturities with a coupon of 4.45 percent, $800 million in 10-year maturities with a coupon of 4.90 percent and $500 million in 30-year maturities with a coupon of 5.625 percent. The bonds are redeemable at the option of Exelon at any time at “make-whole” redemption prices.
	The proceeds of the notes were used to repay approximately $1.5 billion in remaining principal on borrowings made under Exelon’s $2 billion term loan agreement dated March 7, 2005. The remainder of the proceeds from the sale of the notes was used to pay a portion of the $500 million of outstanding principal on borrowings made under Exelon’s $500 million term loan agreement dated April 1, 2005. The original term loan borrowings were used to fund discretionary contributions of $2 billion to Exelon’s pension plans in the first quarter of 2005.
•	Nuclear Operations: Generation’s nuclear fleet produced 34,685 GWhs in the second quarter of 2005, compared with 34,254 GWhs output in the second quarter of 2004. The fleet achieved a capacity factor of 95.4 percent for the second quarter of 2005, compared with 96.1 percent for the second quarter of 2004. Exelon Nuclear completed two scheduled refuelings with 36 outage days occurring in the second quarter of 2005 versus completing one scheduled refueling with 8 outage days occurring in the second quarter of 2004. Operating expenses associated with the planned refueling outages were approximately $29 million higher in the second quarter of 2005 compared with the prior year. Total unplanned outage days in the second quarter of 2005 were 26 versus 34 in the second quarter of 2004.

BUSINESS UNIT RESULTS

Exelon Energy Delivery consists of the retail electricity transmission and distribution operations of ComEd and PECO Energy Company (PECO) and the natural gas distribution business of PECO. Energy Delivery’s net income in the second quarter of 2005 was $218 million compared with net income of $303 million in the second quarter of 2004. Second quarter 2005 net income included after-tax costs of $4 million related to the proposed merger with PSEG and severance and severance-related credits of $2 million after-tax. Second quarter 2004 net income included severance and severance-related costs of $12 million after-tax. Excluding the impact of these items, Energy Delivery’s net income decreased $95 million compared with the same quarter last year, primarily due to higher purchased power expense attributable to a contractual increase in prices associated with ComEd’s power purchase agreement with Generation, partially offset by increased retail kWh deliveries at ComEd, due to warmer weather in June, and lower interest and pension costs.

Cooling degree-days for the second quarter of 2005 in the ComEd service territory were up 69 percent relative to the same period in 2004 and were 45 percent above normal. In the PECO service territory, cooling degree-days were down 21 percent compared with 2004 but were 3 percent above normal. Retail kWh deliveries increased 5 percent in 2005 as compared with 2004 for ComEd, with an 8 percent increase in deliveries to the residential customer class. PECO’s retail kWh deliveries decreased 2 percent, with residential deliveries relatively unchanged. Energy Delivery’s second quarter 2005 revenues were $2,532 million, up 4 percent from $2,435 million in 2004. Weather had a favorable impact of $0.04 on second quarter 2005 earnings per diluted share relative to 2004 and had a $0.02 favorable impact relative to the normal weather that was incorporated in earnings guidance.

3

Exelon Generation consists of Exelon’s electric generation operations, competitive retail sales and power marketing and trading functions. Second quarter 2005 net income was $296 million compared with $178 million in the second quarter of 2004. Second quarter 2005 net income included after-tax unrealized mark-to-market losses of $14 million from non-trading activities, an after-tax cost of $1 million related to the proposed merger with PSEG and severance and severance-related costs of $1 million after-tax. Second quarter 2004 net income included unrealized mark-to-market gains of $9 million from non-trading activities and earnings of $42 million from the transfer of ownership of Boston Generating to its lenders, net of losses on operations prior to the transfer. Excluding the impact of the items listed above, Generation’s net income increased $185 million compared with the same quarter last year, primarily due to a contractual increase in prices associated with its power sales agreement with ComEd and higher margins on wholesale sales, partially offset by a reserve recorded for estimated potential future asbestos-related claims.

Energy sales, exclusive of trading volumes, totaled 46,992 GWhs for the second quarter of 2005 compared with 51,109 GWhs in 2004. The GWh variance was primarily due to the sale of Boston Generating in May 2004 and the expiration of the purchase power agreement with Midwest Generation at the end of 2004.

Generation’s revenue, net of purchased power and fuel expense, increased by $300 million in the second quarter of 2005 compared with the second quarter of 2004 excluding the mark-to-market impact in both years and the impact of Boston Generating in the second quarter of 2004. The increase in revenue, net of purchased power and fuel expense quarter over quarter, was primarily due to the contractual increase in prices associated with Generation’s power sales agreement with ComEd along with higher realized margins on wholesale sales. The increased margins on wholesale sales compared with last year were due to having previously re-priced forward hedges at higher market prices combined with higher off-peak spot market prices in the Midwest. Generation’s average realized margin on all electric sales, including sales to affiliates and excluding trading activity, was $23.06 per MWh in the second quarter of 2005 compared with $15.63 per MWh in the second quarter of 2004.

Adjusted (non-GAAP) Operating Earnings

Adjusted (non-GAAP) operating earnings, which generally exclude significant one-time charges or credits that are not normally associated with ongoing operations and unrealized mark-to-market adjustments from non-trading activities, are provided as a supplement to results reported in accordance with GAAP. Management uses such adjusted (non-GAAP) operating earnings measures internally to evaluate the company’s performance and manage its operations. Reconciliations of GAAP to adjusted (non-GAAP) operating earnings for historical periods are attached. Additional earnings release attachments, which include these reconciliations on pages 7 and 8, are posted on Exelon’s web site: www.exeloncorp.com and have been filed with the Securities and Exchange Commission on Form 8-K on July 21, 2005.

Conference call information: Exelon has scheduled a conference call for 8 AM ET (7 AM CT) on July 22, 2005. The call-in number in the U.S. is 888-802-8581, and the international call-in number is 973-935-8515. No password is required. Media representatives are invited to participate on a listen-only basis. The call will be web-cast and archived on Exelon’s web site: www.exeloncorp.com. (Please select the Investor Relations page.)

Telephone replays will be available until August 12. The U.S. call-in number for replays is 877-519-4471, and the international call-in number is 973-341-3080. The confirmation code is 6252947.

4

Certain of the matters discussed in this news release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, that are subject to risks and uncertainties. The factors that could cause actual results to differ materially from the forward-looking statements made by a registrant include those discussed herein as well as those discussed in (1) Exelon Corporation’s 2004 Annual Report on Form 10-K in (a) ITEM 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Business Outlook and the Challenges in Managing the Business for each of Exelon, ComEd, PECO and Generation and (b) ITEM 8. Financial Statements and Supplementary Data: Exelon—Note 20, ComEd—Note 15, PECO—Note 14 and Generation—Note 16 and (2) Exelon’s Current Report on Form 8-K filed on May 13, 2005 in (a) Exhibit 99.2 Management’s Discussion and Analysis of Financial Condition and Results of Operations – Exelon – Business Outlook and the Challenges in Managing the Business and (b) Exhibit 99.3 Financial Statements and Supplementary Data – Exelon Corporation and (3) other factors discussed in filings with the Securities and Exchange Commission (SEC) by Exelon Corporation, Commonwealth Edison Company, PECO Energy Company and Exelon Generation Company, LLC (Registrants). A discussion of risks associated with the proposed merger of Exelon and Public Service Enterprise Group, Incorporated (PSEG) is included in the joint proxy statement/prospectus that Exelon filed with the Securities and Exchange Commission pursuant to SEC Rule 424(b)(3) on June 3, 2005 (Registration No. 333-122704). Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. None of the Registrants undertakes any obligation to publicly release any revision to its forward-looking statements to reflect events or circumstances after the date of this news release.

This communication is not a solicitation of a proxy from any security holder of Exelon. WE URGE INVESTORS AND SECURITY HOLDERS TO READ THE ABOVE-REFERENCED JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE PROPOSED TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS, BECAUSE THEY CONTAIN IMPORTANT INFORMATION ABOUT EXELON, PSEG AND THE PROPOSED MERGER. Investors and security holders can obtain these materials and other documents filed with the SEC free of charge at the SEC’s website, http://www.sec.gov. In addition, a copy of the joint proxy statement/prospectus may be obtained free of charge from Exelon Corporation, Shareholder Services, 10 South Dearborn Street, P.O. Box 805398, Chicago, Illinois 60680-5398.

The directors and executive officers of Exelon and other persons may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction. Information regarding Exelon’s directors and executive officers and other participants in the solicitation and a description of their direct and indirect interests, by security holdings or otherwise, is available in the above-referenced joint proxy statement/prospectus.

###

Exelon Corporation is one of the nation’s largest electric utilities with approximately 5.2 million customers and more than $14 billion in annual revenues. The company has one of the industry’s largest portfolios of electricity generation capacity, with a nationwide reach and strong positions in the Midwest and Mid-Atlantic. Exelon distributes electricity to approximately 5.2 million customers in Illinois and Pennsylvania and gas to approximately 460,000 customers in the Philadelphia area. Exelon is headquartered in Chicago and trades on the NYSE under the ticker EXC. 5

5

EXELON CORPORATION
Earnings Release Attachments
Table of Contents

Consolidating Statements of Income - Three Months Ended June 30, 2005 and 2004 (a)	1
Consolidating Statements of Income - Six Months Ended June 30, 2005 and 2004 (a)	2
Business Segment Comparative Income Statements - Energy Delivery and Generation - Three and Six Months Ended June 30, 2005 and 2004 (a)	3
Business Segment Comparative Income Statements - Other - Three and Six Months Ended June 30, 2005 and 2004 (a)	4
Consolidated Balance Sheets - June 30, 2005 and December 31, 2004	5
Consolidated Statements of Cash Flows - Six Months Ended June 30, 2005 and 2004	6
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income - Three Months Ended June 30, 2005 and 2004 (a)	7
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income - Six Months Ended June 30, 2005 and 2004 (a)	8
Reconciliation of Adjusted (non-GAAP) Operating Earnings Per Diluted Share to GAAP Earnings Per Diluted Share - Three Months Ended June 30, 2005 and 2004	9
Reconciliation of Adjusted (non-GAAP) Operating Earnings Per Diluted Share to GAAP Earnings Per Diluted Share - Six Months Ended June 30, 2005 and 2004	10
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income - Energy Delivery - Three and Six Months Ended June 30, 2005 and 2004	11
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income - Generation - Three and Six Months Ended June 30, 2005 and 2004 (a)	12
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income - Other - Three and Six Months Ended June 30, 2005 and 2004 (a)	13
Electric Sales Statistics - Three and Six Months Ended June 30, 2005 and 2004	14
Energy Delivery Sales Statistics - Three Months Ended June 30, 2005 and 2004	15
Energy Delivery Sales Statistics - Six Months Ended June 30, 2005 and 2004	16
Exelon Generation Power Marketing Statistics - Three Months Ended June 30, 2005, March 31, 2005, December 31, 2004, September 30, 2004 and June 30, 2004	17
Exelon Generation Power Marketing Statistics - Six Months Ended June 30, 2005 and 2004	18

(a) Certain reclassifications have been made in Exelon’s and Generation’s 2004 Statements of Income related to the presentation of decommissioning accounting and discontinued operations in order to conform to the current year’s presentation. In addition, certain reclassifications have been made in Exelon’s 2004 segment presentation in order to conform to the current year’s presentation. These reclassifications had no effect on 2004 net income as previously reported.

EXELON CORPORATION
Consolidating Statements of Income
(unaudited)
(in millions)

	Three Months Ended June 30, 2005
	Energy									Exelon
	Delivery			Generation			Other			Consolidated
Operating revenues	$	2,532		$	2,105		$	(1,153	)	$	3,484
Operating expenses
Purchased power		1,295			517			(1,149	)		663
Fuel		66			428			(17	)		477
Operating and maintenance		321			602			22			945
Depreciation and amortization		238			63			24			325
Taxes other than income		133			39			5			177
Total operating expenses		2,053			1,649			(1,115	)		2,587
Operating income (loss)		479			456			(38	)		897
Other income and deductions
Interest expense		(147	)		(29	)		(34	)		(210	)
Distributions on preferred securities of subsidiaries		(1	)		—			—			(1	)
Equity in earnings (losses) of unconsolidated affiliates		(8	)		4			(28	)		(32	)
Other, net		13			51			5			69
Total other income and deductions		(143	)		26			(57	)		(174	)
Income (loss) from continuing operations before income taxes		336			482			(95	)		723
Income taxes		118			185			(96	)		207
Income from continuing operations		218			297			1			516
Losses from discontinued operations		—			(1	)		(1	)		(2	)
Net income	$	218		$	296		$	—		$	514

	Three Months Ended June 30, 2004
	Energy									Exelon
	Delivery			Generation			Other			Consolidated
Operating revenues	$	2,435		$	1,881		$	(878	)	$	3,438
Operating expenses
Purchased power		976			576			(866	)		686
Fuel		83			390			(6	)		467
Operating and maintenance		355			573			11			939
Depreciation and amortization		228			65			18			311
Taxes other than income		132			46			4			182
Total operating expenses		1,774			1,650			(839	)		2,585
Operating income (loss)		661			231			(39	)		853
Other income and deductions
Interest expense		(172	)		(27	)		(13	)		(212	)
Distributions on preferred securities of subsidiaries		(1	)		—			—			(1	)
Equity in losses of unconsolidated affiliates		(13	)		—			(18	)		(31	)
Other, net		10			96			10			116
Total other income and deductions		(176	)		69			(21	)		(128	)
Income (loss) from continuing operations before income taxes and minority interest		485			300			(60	)		725
Income taxes		182			114			(73	)		223
Income from continuing operations before minority interest		303			186			13			502
Minority interest		—			1			—			1
Income from continuing operations		303			187			13			503
Income (loss) from discontinued operations		—			(9	)		27			18
Net income	$	303		$	178		$	40		$	521

1

EXELON CORPORATION
Consolidating Statements of Income
(unaudited)
(in millions)

	Six Months Ended June 30, 2005
	Energy									Exelon
	Delivery			Generation			Other			Consolidated
Operating revenues	$	5,214		$	4,125		$	(2,294	)	$	7,045
Operating expenses
Purchased power		2,548			967			(2,283	)		1,232
Fuel		331			786			(18	)		1,099
Operating and maintenance		657			1,211			25			1,893
Depreciation and amortization		471			125			48			644
Taxes other than income		266			74			9			349
Total operating expenses		4,273			3,163			(2,219	)		5,217
Operating income (loss)		941			962			(75	)		1,828
Other income and deductions
Interest expense		(293	)		(58	)		(48	)		(399	)
Distributions on preferred securities of subsidiaries		(2	)		—			—			(2	)
Equity in earnings (losses) of unconsolidated affiliates		(16	)		4			(56	)		(68	)
Other, net		22			69			8			99
Total other income and deductions		(289	)		15			(96	)		(370	)
Income (loss) from continuing operations before income taxes		652			977			(171	)		1,458
Income taxes		236			376			(177	)		435
Income from continuing operations		416			601			6			1,023
Income (loss) from discontinued operations		—			15			(3	)		12
Net income	$	416		$	616		$	3		$	1,035

	Six Months Ended June 30, 2004
	Energy									Exelon
	Delivery			Generation			Other			Consolidated
Operating revenues	$	5,010		$	3,826		$	(1,763	)	$	7,073
Operating expenses
Purchased power		1,907			1,105			(1,753	)		1,259
Fuel		332			958			(1	)		1,289
Operating and maintenance		704			1,192			22			1,918
Depreciation and amortization		455			120			37			612
Taxes other than income		269			93			9			371
Total operating expenses		3,667			3,468			(1,686	)		5,449
Operating income (loss)		1,343			358			(77	)		1,624
Other income and deductions
Interest expense		(355	)		(53	)		(25	)		(433	)
Distributions on preferred securities of subsidiaries		(2	)		—			—			(2	)
Equity in losses of unconsolidated affiliates		(22	)		(2	)		(31	)		(55	)
Other, net		22			115			11			148
Total other income and deductions		(357	)		60			(45	)		(342	)
Income (loss) from continuing operations before income taxes		986			418			(122	)		1,282
Income taxes		367			160			(145	)		382
Income from continuing operations		619			258			23			900
Income (loss) from discontinued operations		—			(10	)		11			1
Income from before cumulative effect of a change in accounting principle		619			248			34			901
Cumulative effect of a change in accounting principle, net of income taxes		—			32			—			32
Net income	$	619		$	280		$	34		$	933

2

EXELON CORPORATION
Business Segment Comparative Income Statements
(unaudited)
(in millions)

	Energy Delivery
	Three Months Ended June 30,									Six Months Ended June 30,
	2005			2004			Variance			2005			2004			Variance
Operating revenues	$	2,532		$	2,435		$	97		$	5,214		$	5,010		$	204
Operating expenses
Purchased power		1,295			976			319			2,548			1,907			641
Fuel		66			83			(17	)		331			332			(1	)
Operating and maintenance		321			355			(34	)		657			704			(47	)
Depreciation and amortization		238			228			10			471			455			16
Taxes other than income		133			132			1			266			269			(3	)
Total operating expenses		2,053			1,774			279			4,273			3,667			606
Operating income		479			661			(182	)		941			1,343			(402	)
Other income and deductions
Interest expense		(147	)		(172	)		25			(293	)		(355	)		62
Distributions on preferred securities of subsidiaries		(1	)		(1	)		—			(2	)		(2	)		—
Equity in losses of unconsolidated affiliates		(8	)		(13	)		5			(16	)		(22	)		6
Other, net		13			10			3			22			22			—
Total other income and deductions		(143	)		(176	)		33			(289	)		(357	)		68
Income before income taxes		336			485			(149	)		652			986			(334	)
Income taxes		118			182			(64	)		236			367			(131	)
Net income	$	218		$	303		$	(85	)	$	416		$	619		$	(203	)

	Generation
	Three Months Ended June 30,									Six Months Ended June 30,
	2005			2004			Variance			2005			2004			Variance
Operating revenues	$	2,105		$	1,881		$	224		$	4,125		$	3,826		$	299
Operating expenses
Purchased power		517			576			(59	)		967			1,105			(138	)
Fuel		428			390			38			786			958			(172	)
Operating and maintenance		602			573			29			1,211			1,192			19
Depreciation and amortization		63			65			(2	)		125			120			5
Taxes other than income		39			46			(7	)		74			93			(19	)
Total operating expenses		1,649			1,650			(1	)		3,163			3,468			(305	)
Operating income		456			231			225			962			358			604
Other income and deductions
Interest expense		(29	)		(27	)		(2	)		(58	)		(53	)		(5	)
Equity in earnings (losses) of unconsolidated affiliates		4			—			4			4			(2	)		6
Other, net		51			96			(45	)		69			115			(46	)
Total other income and deductions		26			69			(43	)		15			60			(45	)
Income from continuing operations before income taxes and minority interest		482			300			182			977			418			559
Income taxes		185			114			71			376			160			216
Income from continuing operations before minority interest		297			186			111			601			258			343
Minority interest		—			1			(1	)		—			—			—
Income from continuing operations		297			187			110			601			258			343
Income (loss) from discontinued operations		(1	)		(9	)		8			15			(10	)		25
Income before cumulative effect of a change in accounting principle		296			178			118			616			248			368
Cumulative effect of a change in accounting principle, net of income taxes		—			—			—			—			32			(32	)
Net income	$	296		$	178		$	118		$	616		$	280		$	336

3

EXELON CORPORATION
Business Segment Comparative Income Statements
(unaudited)
(in millions)

	Other (a)
	Three Months Ended June 30,									Six Months Ended June 30,
	2005			2004			Variance			2005			2004			Variance
Operating revenues	$	(1,153	)	$	(878	)	$	(275	)	$	(2,294	)	$	(1,763	)	$	(531	)
Operating expenses
Purchased power		(1,149	)		(866	)		(283	)		(2,283	)		(1,753	)		(530	)
Fuel		(17	)		(6	)		(11	)		(18	)		(1	)		(17	)
Operating and maintenance		22			11			11			25			22			3
Depreciation and amortization		24			18			6			48			37			11
Taxes other than income		5			4			1			9			9			—
Total operating expenses		(1,115	)		(839	)		(276	)		(2,219	)		(1,686	)		(533	)
Operating loss		(38	)		(39	)		1			(75	)		(77	)		2
Other income and deductions
Interest expense		(34	)		(13	)		(21	)		(48	)		(25	)		(23	)
Equity in losses of unconsolidated affiliates		(28	)		(18	)		(10	)		(56	)		(31	)		(25	)
Other, net		5			10			(5	)		8			11			(3	)
Total other income and deductions		(57	)		(21	)		(36	)		(96	)		(45	)		(51	)
Loss from continuing operations before income taxes		(95	)		(60	)		(35	)		(171	)		(122	)		(49	)
Income taxes		(96	)		(73	)		(23	)		(177	)		(145	)		(32	)
Income from continuing operations		1			13			(12	)		6			23			(17	)
Income (loss) from discontinued operations		(1	)		27			(28	)		(3	)		11			(14	)
Net income	$	—		$	40		$	(40	)	$	3		$	34		$	(31	)

(a) Other includes eliminating and consolidating adjustments, Exelon’s corporate operations, shared service entities, Enterprises and other financing and investment activities, including investments in synthetic fuel-producing facilities.

4

EXELON CORPORATION
Consolidated Balance Sheets
(unaudited)
(in millions)

	June 30,			December 31,
	2005			2004
Current assets
Cash and cash equivalents	$	545		$	499
Restricted cash and investments		47			60
Accounts receivable, net
Customers		1,613			1,649
Other		308			409
Mark-to-market derivative assets		508			403
Inventories — fossil fuel		192			230
Inventories — materials and supplies		324			312
Deferred income taxes		108			68
Other		393			296
Total current assets		4,038			3,926
Property, plant and equipment, net		21,390			21,482
Deferred debits and other assets
Regulatory assets		4,587			4,790
Nuclear decommissioning trust funds		5,306			5,262
Investments		813			804
Goodwill		4,696			4,705
Mark-to-market derivative assets		356			383
Other		896			1,418
Total deferred debits and other assets		16,654			17,362
Total assets	$	42,082		$	42,770
Liabilities and shareholders’ equity
Current liabilities
Notes payable	$	629		$	490
Long-term debt due within one year		386			427
Long-term debt to ComEd Transitional Funding Trust and PECO Energy Transition Trust due within one year		511			486
Accounts payable		1,237			1,255
Mark-to-market derivative liabilities		756			598
Accrued expenses		809			1,143
Other		534			483
Total current liabilities		4,862			4,882
Long-term debt		8,113			7,292
Long-term debt to ComEd Transitional Funding Trust and PECO Energy Transition Trust		3,888			4,311
Long-term debt to other financing trusts		545			545
Deferred credits and other liabilities
Deferred income taxes		4,859			4,488
Unamortized investment tax credits		268			275
Asset retirement obligations		3,817			3,981
Pension obligations		23			1,993
Non-pension postretirement benefits obligations		1,108			1,065
Spent nuclear fuel obligation		890			878
Regulatory liabilities		2,240			2,204
Mark-to-market derivative liabilities		456			323
Other		886			915
Total deferred credits and other liabilities		14,547			16,122
Total liabilities		31,955			33,152
Minority interest of consolidated subsidiaries		1			42
Preferred securities of subsidiaries		87			87
Shareholders’ equity
Common stock		7,877			7,664
Treasury stock, at cost		(90	)		(82	)
Retained earnings		3,853			3,353
Accumulated other comprehensive loss		(1,601	)		(1,446	)
Total shareholders’ equity		10,039			9,489
Total liabilities and shareholders’ equity	$	42,082		$	42,770

5

EXELON CORPORATION
Consolidated Statements of Cash Flows
(unaudited)
(in millions)

	Six Months Ended
	June 30,
	2005			2004
Cash flows from operating activities
Net income	$	1,035		$	933
Adjustments to reconcile net income to net cash flows provided by operating activities:
Depreciation, amortization and accretion, including nuclear fuel		961			923
Other decommissioning-related activities		13			25
Cumulative effect of a change in accounting principle (net of income taxes)		—			(32	)
Deferred income taxes and amortization of investment tax credits		528			154
Provision for uncollectible accounts		22			39
Equity in losses of unconsolidated affiliates		68			55
Gains on sales of investments and wholly owned subsidiaries		(17	)		(155	)
Net realized (gains) losses on nuclear decommissioning trust funds		(55	)		1
Other non-cash operating activities		27			(30	)
Changes in assets and liabilities:
Accounts receivable		53			25
Inventories		26			14
Other current assets		(125	)		(55	)
Accounts payable, accrued expenses and other current liabilities		(235	)		(58	)
Income taxes		24			168
Net realized and unrealized mark-to-market and hedging transactions		(74	)		54
Pension and non-pension postretirement benefit obligations		(1,927	)		(175	)
Other noncurrent assets and liabilities		(38	)		21
Net cash flows provided by operating activities		286			1,907
Cash flows from investing activities
Capital expenditures		(1,007	)		(844	)
Proceeds from sale of nuclear decommissioning trust fund assets		2,149			1,042
Investment in nuclear decommissioning trust funds		(2,256	)		(1,178	)
Proceeds from sales of investments and wholly owned subsidiaries, net of $32 million of cash sold during the six months ended June 30, 2005		103			227
Proceeds from sales of long-lived assets		2			49
Acquisitions of businesses		(97	)		—
Investment in synthetic fuel-producing facilities		(56	)		(16	)
Change in restricted cash		23			(30	)
Net cash increase from consolidation of Sithe Energies, Inc.		—			19
Other investing activities		(4	)		34
Net cash flows used in investing activities		(1,143	)		(697	)
Cash flows from financing activities
Issuance of long-term debt		1,788			75
Retirement of long-term debt		(185	)		(312	)
Retirement of long-term debt to financing affiliates		(397	)		(345	)
Issuance of short-term debt		2,500			—
Retirement of short-term debt		(2,200	)		—
Change in short-term debt		(161	)		(65	)
Payment on acquisition note payable to Sithe Energies, Inc.		—			(27	)
Dividends paid on common stock		(535	)		(364	)
Proceeds from employee stock plans		156			140
Purchase of treasury stock		(8	)		(75	)
Other financing activities		(55	)		36
Net cash flows provided by (used in) financing activities		903			(937	)
Increase in cash and cash equivalents		46			273
Cash and cash equivalents at beginning of period		499			493
Cash and cash equivalents at end of period	$	545		$	766

6

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income
(unaudited)
(in millions, except per share data)

	Three Months Ended June 30, 2005									Three Months Ended June 30, 2004
							Adjusted									Adjusted
	GAAP (a)			Adjustments			Non-GAAP			GAAP (a)			Adjustments			Non-GAAP
Operating revenues	$	3,484		$	—		$	3,484		$	3,438		$	(89	)(g)	$	3,349
Operating expenses
Purchased power		663			15	(b)		678			686			15	(b),(g)		701
Fuel		477			(21	)(b)		456			467			(71	)(b),(g)		396
Operating and maintenance		945			(32	)(c),(d),(e)		913			939			(76	)(c),(d),(g)		863
Depreciation and amortization		325			(19	)(c),(e)		306			311			(11	)(c)		300
Taxes other than income		177			—			177			182			(3	)(g)		179
Total operating expenses		2,587			(57	)		2,530			2,585			(146	)		2,439
Operating income		897			57			954			853			57			910
Other income and deductions
Interest expense		(210	)		4	(c)		(206	)		(212	)		4	(c)		(208	)
Distributions on preferred securities of subsidiaries		(1	)		—			(1	)		(1	)		—			(1	)
Equity in losses of unconsolidated affiliates		(32	)		28	(c)		(4	)		(31	)		14	(c)		(17	)
Other, net		69			—			69			116			(85	)(g)		31
Total other income and deductions		(174	)		32			(142	)		(128	)		(67	)		(195	)
Income from continuing operations before income taxes and minority interest		723			89			812			725			(10	)		715
Income taxes		207			98	(b),(c),(d),(e)		305			223			44	(b),(c),(d),(g)		267
Income from continuing operations before minority interest		516			(9	)		507			502			(54	)		448
Minority interest		—			—			—			1			—			1
Income from continuing operations		516			(9	)		507			503			(54	)		449
Income (loss) from discontinued operations		(2	)		1	(f)		(1	)		18			—			18
Net income	$	514		$	(8	)	$	506		$	521		$	(54	)	$	467
Earnings per average common share Basic:
Income from continuing operations	$	0.77		$	(0.01	)	$	0.76		$	0.76		$	(0.08	)	$	0.68
Income (loss) from discontinued operations		—			—			—			0.03			—			0.03
Net income	$	0.77		$	(0.01	)	$	0.76		$	0.79		$	(0.08	)	$	0.71
Diluted:
Income from continuing operations	$	0.76		$	(0.01	)	$	0.75		$	0.75		$	(0.08	)	$	0.67
Income (loss) from discontinued operations		—			—			—			0.03			—			0.03
Net income	$	0.76		$	(0.01	)	$	0.75		$	0.78		$	(0.08	)	$	0.70
Average common shares outstanding
Basic		670						670			661						661
Diluted		677						677			667						667
Effect of adjustments on earnings per average diluted common share recorded in accordance with GAAP:
Mark-to-market (b)				$	(0.01	)							$	0.01
Investments in synthetic fuel-producing facilities (c)					0.03									0.03
Severance charges (d)					—									(0.02	)
PSEG merger costs (e)					(0.01	)								—
2004 financial impact of Boston Generating, LLC (g)					—									0.06
Total adjustments				$	0.01								$	0.08

(a)	Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)	Adjustment to exclude the mark-to-market impact of Exelon’s non-trading activities (primarily at Generation).
(c)	Adjustment to exclude the financial impact of Exelon’s investments in synthetic fuel-producing facilities.
(d)	Adjustment to exclude severance charges.
(e)	Adjustment to exclude certain costs associated with Exelon’s anticipated merger with Public Service Enterprise Group Inc.
(f)	Adjustment to exclude the 2005 financial impact of Generation’s investment in Sithe Energies, Inc.
(g)	Adjustment to exclude the 2004 financial impact of Boston Generating, LLC.

7

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings to GAAP Consolidated Statements of Income
(unaudited)
(in millions, except per share data)

	Six Months Ended June 30, 2005									Six Months Ended June 30, 2004
							Adjusted									Adjusted
	GAAP (a)			Adjustments			Non-GAAP			GAAP (a)			Adjustments			Non-GAAP
Operating revenues	$	7,045		$	—		$	7,045		$	7,073		$	(248	)(g)	$	6,825
Operating expenses
Purchased power		1,232			(4	)(b)		1,228			1,259			(37	)(b),(g)		1,222
Fuel		1,099			61	(b)		1,160			1,289			(207	)(b),(g)		1,082
Operating and maintenance		1,893			(49	)(c),(d),(e)		1,844			1,918			(127	)(c),(d),(g)		1,791
Depreciation and amortization		644			(37	)(c),(e)		607			612			(27	)(c),(g)		585
Taxes other than income		349			—			349			371			(9	)(g)		362
Total operating expenses		5,217			(29	)		5,188			5,449			(407	)		5,042
Operating income		1,828			29			1,857			1,624			159			1,783
Other income and deductions
Interest expense		(399	)		8	(c)		(391	)		(433	)		14	(c),(g)		(419	)
Distributions on preferred securities of subsidiaries		(2	)		—			(2	)		(2	)		—			(2	)
Equity in losses of unconsolidated affiliates		(68	)		56	(c)		(12	)		(55	)		23	(c)		(32	)
Other, net		99			—			99			148			(90	)(g)		58
Total other income and deductions		(370	)		64			(306	)		(342	)		(53	)		(395	)
Income from continuing operations before income taxes		1,458			93			1,551			1,282			106			1,388
Income taxes		435			156	(b),(c),(d),(e)		591			382			133	(b),(c),(d),(e),(g)		515
Income from continuing operations		1,023			(63	)		960			900			(27	)		873
Income (loss) from discontinued operations		12			(15	)(f)		(3	)		1			—			1
Income before cumulative effect of a change in accounting principle		1,035			(78	)		957			901			(27	)		874
Cumulative effect of a change in accounting principle, net of income taxes		—			—			—			32			(32	)(h)		—
Net income	$	1,035		$	(78	)	$	957		$	933		$	(59	)	$	874
Earnings per average common share Basic:
Income from continuing operations	$	1.53		$	(0.09	)	$	1.44		$	1.36		$	(0.04	)	$	1.32
Income (loss) from discontinued operations		0.02			(0.02	)		—			—			—			—
Income before cumulative effect of a change in accounting principle		1.55			(0.11	)		1.44			1.36			(0.04	)		1.32
Cumulative effect of a change in accounting principle, net of income taxes		—			—			—			0.05			(0.05	)		—
Net income	$	1.55		$	(0.11	)	$	1.44		$	1.41		$	(0.09	)	$	1.32
Diluted:
Income from continuing operations	$	1.51		$	(0.09	)	$	1.42		$	1.35		$	(0.04	)	$	1.31
Income (loss) from discontinued operations		0.02			(0.02	)		—			—			—			—
Income before cumulative effect of a change in accounting principle		1.53			(0.11	)		1.42			1.35			(0.04	)		1.31
Cumulative effect of a change in accounting principle, net of income taxes		—			—			—			0.05			(0.05	)		—
Net income	$	1.53		$	(0.11	)	$	1.42		$	1.40		$	(0.09	)	$	1.31
Average common shares outstanding
Basic		669						669			660						660
Diluted		676						676			666						666
Effect of adjustments on earnings per average diluted common share recorded in accordance with GAAP:
Mark-to-market (b)				$	0.05								$	(0.02	)
Investments in synthetic fuel-producing facilities (c)					0.05									0.04
Severance charges (d)					—									(0.02	)
PSEG merger costs (e)					(0.01	)								—
2005 financial impact of Generation’s investment in Sithe Energies, Inc. (f)					0.02									—
2004 financial impact of Boston Generating, LLC (g)					—									0.04
Cumulative effect pursuant to FIN 46-R (h)					—									0.05
Total adjustments				$	0.11								$	0.09

(a)	Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)	Adjustment to exclude the mark-to-market impact of Exelon’s non-trading activities (primarily at Generation).
(c)	Adjustment to exclude the financial impact of Exelon’s investments in synthetic fuel-producing facilities.
(d)	Adjustment to exclude severance charges.
(e)	Adjustment to exclude certain costs associated with Exelon’s anticipated merger with Public Service Enterprise Group Inc.
(f)	Adjustment to exclude the 2005 financial impact of Generation’s investment in Sithe Energies, Inc.
(g)	Adjustment to exclude the 2004 financial impact of Boston Generating, LLC.
(h)	Adjustment for the cumulative effect of adopting FIN 46-R.

8

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings
Per Diluted Share to GAAP Earnings Per Diluted Share
Three Months Ended June 30, 2005 and 2004

2004 GAAP Earnings per Diluted Share	$	0.78
2004 Adjusted (non-GAAP) Operating Earnings Adjustments:
Mark-to-Market (1)		(0.01	)
Investments in Synthetic Fuel-Producing Facilities (2)		(0.03	)
Boston Generating, LLC 2004 Impact (3)		(0.06	)
Severance Charges (4)		0.02
2004 Adjusted (non-GAAP) Operating Earnings		0.70
Year Over Year Effects on Earnings:
Energy Margins:
Weather (5)		0.04
Transmission Revenue (SECA) (6)		(0.01	)
Other Energy Delivery (7)		(0.02	)
Ancillary PJM Costs (8)		(0.02	)
Generation, Excluding Mark-to-Market (9)		0.09
Asbestos Reserve (10)		(0.04	)
Planned Nuclear Refueling Outages (11)		(0.03	)
Decommissioning Trust Fund Rebalancing — AmerGen (12)		0.03
Interest Expense (13)		0.01
Pension Expense (14)		0.01
Share Differential (15)		(0.01	)
2005 Adjusted (non-GAAP) Operating Earnings		0.75
2005 Adjusted (non-GAAP) Operating Earnings Adjustments:
Mark-to-Market (1)		(0.01	)
Investments in Synthetic Fuel-Producing Facilities (2)		0.03
Charges Associated with Exelon’s Anticipated Merger with Public Service Enterprise Group Inc. (16)		(0.01	)
2005 GAAP Earnings per Diluted Share	$	0.76

(1)	Reflects the mark-to-market impact of Exelon’s non-trading activities (primarily at Generation).
(2)	Reflects the financial impact of Exelon’s investments in synthetic fuel-producing facilities.
(3)	Reflects the financial impact of Boston Generating.
(4)	Reflects severance charges recorded during 2004.
(5)	Reflects favorable weather conditions in the Energy Delivery service territories.
(6)	Reflects a decrease in net collections of through and out rates (prior to December 2004) and SECA rates.
(7)	Reflects decreased margins at Energy Delivery due to customer mix. Excludes the impact of ComEd’s purchase power agreement with Generation.
(8)	Reflects ancillary service costs ComEd paid to PJM, which prior to January 1, 2005 were included in the purchase power agreement with Generation.
(9)	Reflects increased energy margins at Generation, excluding the effects of Sithe, Sithe International, Boston Generating, mark-to-market, decommissioning collections and the purchase power agreement with ComEd.
(10)	Reflects the impact on net income of a reserve recorded by Generation in 2005 for estimated future asbestos-related bodily injury claims.
(11)	Reflects the impact on net income of increased planned refueling outage days.
(12)	Reflects the impact on net income of gains realized on AmerGen’s decommissioning trust fund investments.
(13)	Reflects lower interest expense at Energy Delivery due to debt retirements in 2004. Excludes the effects of Boston Generating, Sithe and investments in synthetic fuel-producing facilities.
(14)	Reflects lower pension expense as a result of discretionary pension contributions of $2 billion made during the first quarter of 2005.
(15)	Reflects dilution in earnings per share due to increased diluted common shares outstanding.
(16)	Reflects costs incurred in connection with Exelon’s proposed merger with Public Service Enterprise Group Inc.

9

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings
Per Diluted Share to GAAP Earnings Per Diluted Share
Six Months Ended June 30, 2005 and 2004

2004 GAAP Earnings per Diluted Share	$	1.40
2004 Adjusted (non-GAAP) Operating Earnings Adjustments:
Mark-to-Market (1)		0.02
Investments in Synthetic Fuel-Producing Facilities (2)		(0.04	)
Boston Generating, LLC 2004 Impact (3)		(0.04	)
Severance Charges (4)		0.02
Cumulative Effect Pursuant to FIN 46-R		(0.05	)
2004 Adjusted (non-GAAP) Operating Earnings		1.31
Year Over Year Effects on Earnings:
Energy Margins:
Weather (5)		0.03
Transmission Revenue (SECA) (6)		(0.02	)
Ancillary PJM Costs (7)		(0.04	)
Generation, Excluding Mark-to-Market (8)		0.13
Asbestos Reserve (9)		(0.04	)
Planned Nuclear Refueling Outages (10)		(0.02	)
Decommissioning Trust Fund Rebalancing — AmerGen (11)		0.03
Interest Expense (12)		0.04
Pension Expense (13)		0.02
Share Differential (14)		(0.02	)
2005 Adjusted (non-GAAP) Operating Earnings		1.42
2005 Adjusted (non-GAAP) Operating Earnings Adjustments:
Mark-to-Market (1)		0.05
Investments in Synthetic Fuel-Producing Facilities (2)		0.05
Charges Associated with Exelon’s Anticipated Merger with Public Service Enterprise Group Inc. (15)		(0.01	)
2005 financial impact of Generation’s investment in Sithe Energies, Inc. (16)		0.02
2005 GAAP Earnings per Diluted Share	$	1.53

(1)	Reflects the mark-to-market impact of Exelon’s non-trading activities (primarily at Generation).
(2)	Reflects the financial impact of Exelon’s investments in synthetic fuel-producing facilities.
(3)	Reflects the 2004 financial impact of Boston Generating.
(4)	Reflects severance charges recorded during 2004.
(5)	Reflects favorable weather conditions in the Energy Delivery service territories.
(6)	Reflects a decrease in net collections of through and out rates (prior to December 2004) and SECA rates.
(7)	Reflects ancillary service costs ComEd paid to PJM, which prior to January 1, 2005 were included in the purchase power agreement with Generation.
(8)	Reflects increased energy margins at Generation, excluding the effects of Sithe, Sithe International, Boston Generating, mark-to-market, decommissioning collections and the purchase power agreement with ComEd.
(9)	Reflects the impact on net income of a reserve recorded by Generation in 2005 for estimated future asbestos-related bodily injury claims.
(10)	Reflects the impact on net income of increased planned refueling outage days.
(11)	Reflects the impact on net income of the gains realized on AmerGen’s decommissioning trust fund investments.
(12)	Reflects lower interest expense at Energy Delivery due to debt retirements in 2004. Excludes the effects of Boston Generating, Sithe and investments in synthetic fuel-producing facilities.
(13)	Reflects lower pension expense as a result of discretionary pension contributions of $2 billion made during the first quarter of 2005.
(14)	Reflects dilution in earnings per share due to increased diluted common shares outstanding.
(15)	Reflects costs incurred in connection with Exelon’s proposed merger with Public Service Enterprise Group Inc.
(16)	Reflects the 2005 financial impact of Generation’s investment in Sithe Energies, Inc.

10

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings to
GAAP Consolidated Statements of Income
(unaudited)
(in millions)

	Energy Delivery
	Three Months Ended June 30, 2005										Three Months Ended June 30, 2004
								Adjusted Non-										Adjusted Non-
	GAAP (a)			Adjustments				GAAP			GAAP (a)			Adjustments				GAAP
Operating revenues	$	2,532		$	—			$	2,532		$	2,435		$	—			$	2,435
Operating expenses
Purchased power		1,295			—				1,295			976			—				976
Fuel		66			—				66			83			—				83
Operating and maintenance		321			—		(b),(c)		321			355			(20	)	(b)		335
Depreciation and amortization		238			(3	)	(c)		235			228			—				228
Taxes other than income		133			—				133			132			—				132
Total operating expenses		2,053			(3	)			2,050			1,774			(20	)			1,754
Operating income		479			3				482			661			20				681
Other income and deductions
Interest expense		(147	)		—				(147	)		(172	)		—				(172	)
Distributions on preferred securities of subsidiaries		(1	)		—				(1	)		(1	)		—				(1	)
Equity in losses of unconsolidated affiliates		(8	)		—				(8	)		(13	)		—				(13	)
Other, net		13			—				13			10			—				10
Total other income and deductions		(143	)		—				(143	)		(176	)		—				(176	)
Income before income taxes		336			3				339			485			20				505
Income taxes		118			1		(b),(c)		119			182			8		(b)		190
Net income	$	218		$	2			$	220		$	303		$	12			$	315

	Six Months Ended June 30, 2005										Six Months Ended June 30, 2004
								Adjusted Non-										Adjusted Non-
	GAAP (a)			Adjustments				GAAP			GAAP (a)			Adjustments				GAAP
Operating revenues	$	5,214		$	—			$	5,214		$	5,010		$	—			$	5,010
Operating expenses
Purchased power		2,548			—				2,548			1,907			—				1,907
Fuel		331			—				331			332			—				332
Operating and maintenance		657			—		(b),(c)		657			704			(20	)	(b)		684
Depreciation and amortization		471			(6	)	(c)		465			455			—				455
Taxes other than income		266			—				266			269			—				269
Total operating expenses		4,273			(6	)			4,267			3,667			(20	)			3,647
Operating income		941			6				947			1,343			20				1,363
Other income and deductions
Interest expense		(293	)		—				(293	)		(355	)		—				(355	)
Distributions on preferred securities of subsidiaries		(2	)		—				(2	)		(2	)		—				(2	)
Equity in losses of unconsolidated affiliates		(16	)		—				(16	)		(22	)		—				(22	)
Other, net		22			—				22			22			—				22
Total other income and deductions		(289	)		—				(289	)		(357	)		—				(357	)
Income before income taxes		652			6				658			986			20				1,006
Income taxes		236			2		(b),(c)		238			367			8		(b)		375
Net income	$	416		$	4			$	420		$	619		$	12			$	631

(a)	Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)	Adjustment to exclude severance charges.
(c)	Adjustment to exclude certain costs associated with Exelon’s anticipated merger with Public Service Enterprise Group Inc.

11

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings to
GAAP Consolidated Statements of Income
(unaudited)
(in millions)

	Generation
	Three Months Ended June 30, 2005										Three Months Ended June 30, 2004
								Adjusted Non-										Adjusted Non-
	GAAP (a)			Adjustments				GAAP			GAAP (a)			Adjustments				GAAP
Operating revenues	$	2,105		$	—			$	2,105		$	1,881		$	(89	)	(f)	$	1,792
Operating expenses
Purchased power		517			15		(b)		532			576			15		(b),(f)		591
Fuel		428			(37	)	(b)		391			390			(71	)	(b),(f)		319
Operating and maintenance		602			(3	)	(c),(d)		599			573			(32	)	(c),(f)		541
Depreciation and amortization		63			—				63			65			—				65
Taxes other than income		39			—				39			46			(3	)	(f)		43
Total operating expenses		1,649			(25	)			1,624			1,650			(91	)			1,559
Operating income		456			25				481			231			2				233
Other income and deductions
Interest expense		(29	)		—				(29	)		(27	)		—				(27	)
Equity in earnings of unconsolidated affiliates		4			—				4			—			—				—
Other, net		51			—				51			96			(85	)	(f)		11
Total other income and deductions		26			—				26			69			(85	)			(16	)
Income from continuing operations before income taxes and minority interest		482			25				507			300			(83	)			217
Income taxes		185			9		(b),(c),(d)		194			114			(33	)	(b),(c),(f)		81
Income from continuing operations before minority interest		297			16				313			186			(50	)			136
Minority interest		—			—				—			1			—				1
Income from continuing operations		297			16				313			187			(50	)			137
Losses from discontinued operations		(1	)		1		(e)		—			(9	)		—				(9	)
Net income	$	296		$	17			$	313		$	178		$	(50	)		$	128
	Six Months Ended June 30, 2005										Six Months Ended June 30, 2004
								Adjusted Non-										Adjusted Non-
	GAAP (a)			Adjustments				GAAP			GAAP (a)			Adjustments				GAAP
Operating revenues	$	4,125		$	—			$	4,125		$	3,826		$	(248	)	(f)	$	3,578
Operating expenses
Purchased power		967			(4	)	(b)		963			1,105			(37	)	(b),(f)		1,068
Fuel		786			45		(b)		831			958			(207	)	(b),(f)		751
Operating and maintenance		1,211			(3	)	(c),(d)		1,208			1,192			(59	)	(c),(f)		1,133
Depreciation and amortization		125			—				125			120			(4	)	(f)		116
Taxes other than income		74			—				74			93			(9	)	(f)		84
Total operating expenses		3,163			38				3,201			3,468			(316	)			3,152
Operating income		962			(38	)			924			358			68				426
Other income and deductions
Interest expense		(58	)		—				(58	)		(53	)		5		(f)		(48	)
Equity in earnings (losses) of unconsolidated affiliates		4			—				4			(2	)		—				(2	)
Other, net		69			—				69			115			(90	)	(f)		25
Total other income and deductions		15			—				15			60			(85	)			(25	)
Income from continuing operations before income taxes		977			(38	)			939			418			(17	)			401
Income taxes		376			(14	)	(b),(c),(d)		362			160			(7	)	(b),(c),(f)		153
Income from continuing operations		601			(24	)			577			258			(10	)			248
Income (loss) from discontinued operations		15			(15	)	(e)		—			(10	)		—				(10	)
Income before cumulative effect of a change in accounting principle		616			(39	)			577			248			(10	)			238
Cumulative effect of a change in accounting principle, net of income taxes		—			—				—			32			(32	)	(g)		—
Net income	$	616		$	(39	)		$	577		$	280		$	(42	)		$	238

 

(a)	Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)	Adjustment to exclude the mark-to-market impact of Generation’s non-trading activities.
(c)	Adjustment to exclude severance charges.
(d)	Adjustment to exclude certain costs associated with Exelon’s anticipated merger with Public Service Enterprise Group Inc.
(e)	Adjustment to exclude the 2005 financial impact of Generation’s investment in Sithe Energies, Inc.
(f)	Adjustment to exclude the 2004 financial impact of Boston Generating, LLC.
(g)	Adjustment for the cumulative effect of adopting FIN 46-R.

12

EXELON CORPORATION
Reconciliation of Adjusted (non-GAAP) Operating Earnings to
GAAP Consolidated Statements of Income
(unaudited)
(in millions)

	Other
	Three Months Ended June 30, 2005										Three Months Ended June 30, 2004
								Adjusted Non-										Adjusted Non-
	GAAP (a)			Adjustments				GAAP			GAAP (a)			Adjustments				GAAP
Operating revenues	$	(1,153	)	$	—			$	(1,153	)	$	(878	)	$	—			$	(878	)
Operating expenses
Purchased power		(1,149	)		—				(1,149	)		(866	)		—				(866	)
Fuel		(17	)		16		(b)		(1	)		(6	)		—				(6	)
Operating and maintenance		22			(29	)	(c),(d)		(7	)		11			(24	)	(c)		(13	)
Depreciation and amortization		24			(16	)	(c)		8			18			(11	)	(c)		7
Taxes other than income		5			—				5			4			—				4
Total operating expenses		(1,115	)		(29	)			(1,144	)		(839	)		(35	)			(874	)
Operating loss		(38	)		29				(9	)		(39	)		35				(4	)
Other income and deductions
Interest expense		(34	)		4		(c)		(30	)		(13	)		4		(c)		(9	)
Equity in losses of unconsolidated affiliates		(28	)		28		(c)		—			(18	)		14		(c)		(4	)
Other, net		5			—				5			10			—				10
Total other income and deductions		(57	)		32				(25	)		(21	)		18				(3	)
Loss from continuing operations before income taxes		(95	)		61				(34	)		(60	)		53				(7	)
Income taxes		(96	)		88		(b),(c),(d)		(8	)		(73	)		69		(c)		(4	)
Income (loss) from continuing operations		1			(27	)			(26	)		13			(16	)			(3	)
Income (loss) from discontinued operations		(1	)		—				(1	)		27			—				27
Net income (loss)	$	—		$	(27	)		$	(27	)	$	40		$	(16	)		$	24

	Six Months Ended June 30, 2005										Six Months Ended June 30, 2004
								Adjusted Non-										Adjusted Non-
	GAAP (a)			Adjustments				GAAP			GAAP (a)			Adjustments				GAAP
Operating revenues	$	(2,294	)	$	—			$	(2,294	)	$	(1,763	)	$	—			$	(1,763	)
Operating expenses
Purchased power		(2,283	)		—				(2,283	)		(1,753	)		—				(1,753	)
Fuel		(18	)		16		(b)		(2	)		(1	)		—				(1	)
Operating and maintenance		25			(46	)	(c),(d)		(21	)		22			(48	)	(c)		(26	)
Depreciation and amortization		48			(31	)	(c)		17			37			(23	)	(c)		14
Taxes other than income		9			—				9			9			—				9
Total operating expenses		(2,219	)		(61	)			(2,280	)		(1,686	)		(71	)			(1,757	)
Operating loss		(75	)		61				(14	)		(77	)		71				(6	)
Other income and deductions
Interest expense		(48	)		8		(c)		(40	)		(25	)		9		(c)		(16	)
Equity in losses of unconsolidated affiliates		(56	)		56		(c)		—			(31	)		23		(c)		(8	)
Other, net		8			—				8			11			—				11
Total other income and deductions		(96	)		64				(32	)		(45	)		32				(13	)
Loss from continuing operations before income taxes		(171	)		125				(46	)		(122	)		103				(19	)
Income taxes		(177	)		168		(b),(c),(d)		(9	)		(145	)		132		(c)		(13	)
Income (loss) from continuing operations		6			(43	)			(37	)		23			(29	)			(6	)
Income (loss) from discontinued operations		(3	)		—				(3	)		11			—				11
Net income (loss)	$	3		$	(43	)		$	(40	)	$	34		$	(29	)		$	5

(a)	Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)	Adjustment to exclude the mark-to-market impact of Exelon’s non-trading activities.
(c)	Adjustment to exclude the financial impact of Exelon’s investments in synthetic fuel-producing facilities.
(d)	Adjustment to exclude severance charges.

13

EXELON CORPORATION
Electric Sales Statistics

	Three Months Ended June 30,
	2005			2004			% Change
(in GWhs)
Supply
Nuclear		34,685			34,254			1.3	%
Purchased Power — Generation (a)		9,061			11,904			(23.9	%)
Fossil and Hydro		3,246			4,951			(34.4	%)
Power Team Supply		46,992			51,109			(8.1	%)
Purchased Power — Other		225			212			6.1	%
Total Electric Supply Available for Sale		47,217			51,321			(8.0	%)
Less: Line Loss and Company Use		(2,721	)		(2,347	)		15.9	%
Total Supply		44,496			48,974			(9.1	%)
Energy Sales
Retail Sales		32,255			31,281			3.1	%
Power Team Market Sales (a)		16,912			23,482			(28.0	%)
Interchange Sales and Sales to Other Utilities		689			579			19.0	%
		49,856			55,342			(9.9	%)
Less: Distribution Only Sales		(5,360	)		(6,368	)		(15.8	%)
Total Energy Sales		44,496			48,974			(9.1	%)

	Six Months Ended June 30,
	2005			2004			% Change
(in GWhs)
Supply
Nuclear		67,465			67,665			(0.3	%)
Purchased Power — Generation (a)		18,607			23,595			(21.1	%)
Fossil and Hydro		6,383			11,296			(43.5	%)
Power Team Supply		92,455			102,556			(9.8	%)
Purchased Power — Other		411			309			33.0	%
Total Electric Supply Available for Sale		92,866			102,865			(9.7	%)
Less: Line Loss and Company Use		(4,466	)		(4,418	)		1.1	%
Total Supply		88,400			98,447			(10.2	%)
Energy Sales
Retail Sales		65,448			64,027			2.2	%
Power Team Market Sales (a)		32,557			45,991			(29.2	%)
Interchange Sales and Sales to Other Utilities		1,268			1,153			10.0	%
		99,273			111,171			(10.7	%)
Less: Distribution Only Sales		(10,873	)		(12,724	)		(14.5	%)
Total Energy Sales		88,400			98,447			(10.2	%)

(a) Purchased power and market sales do not include trading volume of 5,660 GWhs and 5,285 GWhs for the three months ended June 30, 2005 and 2004, respectively, and 11,411 GWhs and 10,437 GWhs for the six months ended June 30, 2005 and 2004, respectively.

14

EXELON CORPORATION
Energy Delivery Sales Statistics
Three Months Ended June 30, 2005 and 2004

	ComEd									PECO
Electric Deliveries (in GWhs)	2005			2004			% Change			2005		2004		% Change
Full Service (a)
Residential		6,235			5,793			7.6	%		2,686		2,272		18.2	%
Small Commercial & Industrial		5,103			5,018			1.7	%		1,730		1,686		2.6	%
Large Commercial & Industrial		2,103			1,730			21.6	%		3,705		3,703		0.1	%
Public Authorities & Electric Railroads		521			669			(22.1	%)		205		224		(8.5	%)
Total Full Service		13,962			13,210			5.7	%		8,326		7,885		5.6	%
PPO (ComEd Only)
Small Commercial & Industrial		1,433			1,128			27.0	%
Large Commercial & Industrial		1,635			1,196			36.7	%
		3,068			2,324			32.0	%
Delivery Only (b)
Residential		(d	)		(d	)					74		488		(84.8	%)
Small Commercial & Industrial		1,495			1,549			(3.5	%)		315		433		(27.3	%)
Large Commercial & Industrial		3,330			3,708			(10.2	%)		146		190		(23.2	%)
		4,825			5,257			(8.2	%)		535		1,111		(51.8	%)
Total PPO and Delivery Only		7,893			7,581			4.1	%		535		1,111		(51.8	%)
Total Retail Deliveries		21,855			20,791			5.1	%		8,861		8,996		(1.5	%)
Gas Deliveries (mmcf) (PECO only)											13,417		14,572		(7.9	%)
Revenue (in millions)
Full Service (a)
Residential	$	559		$	521			7.3	%	$	359	$	298		20.5	%
Small Commercial & Industrial		413			400			3.3	%		203		197		3.0	%
Large Commercial & Industrial		105			97			8.2	%		283		281		0.7	%
Public Authorities & Electric Railroads		32			44			(27.3	%)		19		20		(5.0	%)
Total Full Service		1,109			1,062			4.4	%		864		796		8.5	%
PPO (ComEd Only) (c)
Small Commercial & Industrial		99			73			35.6	%
Large Commercial & Industrial		93			69			34.8	%
		192			142			35.2	%
Delivery Only (b)
Residential		(d	)		(d	)					6		38		(84.2	%)
Small Commercial & Industrial		27			33			(18.2	%)		17		23		(26.1	%)
Large Commercial & Industrial		41			54			(24.1	%)		4		5		(20.0	%)
		68			87			(21.8	%)		27		66		(59.1	%)
Total PPO and Delivery Only		260			229			13.5	%		27		66		(59.1	%)
Total Retail Electric Revenue		1,369			1,291			6.0	%		891		862		3.4	%
Wholesale and Miscellaneous Revenue (e)		119			112			6.3	%		53		51		3.9	%
Gas Revenue (PECO only)		n/a			n/a						100		119		(16.0	%)
Total Revenues	$	1,488		$	1,403			6.1	%	$	1,044	$	1,032		1.2	%

Heating and Cooling Degree-Days	2005		2004		Normal		2005		2004		Normal
Heating Degree-Days		664		692		794		484		399		488
Cooling Degree-Days		314		186		216		327		416		316

(a)		Full service reflects deliveries to customers taking electric service under tariffed rates, which include the cost of energy and the delivery cost of the transmission and distribution of the energy. PECO’s tariffed rates also include a competitive transition charge (CTC).
(b)		Delivery only service reflects customers electing to receive electric generation service from an alternative energy supplier. Revenue from customers choosing an alternative energy supplier includes a distribution charge and a CTC.
(c)		Revenue from customers choosing ComEd’s PPO includes an energy charge at market rates, transmission and distribution charges and a CTC.
(d)		All ComEd residential customers are eligible to choose their supplier of electricity; however, as of June 30, 2005, no alternative electric supplier has approval from the Illinois Commerce Commission and no electric utilities have chosen to enter the ComEd residential market for the supply of electricity.
(e)		Wholesale and miscellaneous revenue includes transmission revenue from PJM and, prior to ComEd’s full integration into PJM on May 1, 2004, ComEd’s transmission charges received from alternative energy suppliers.
n/a	—	not applicable

15

EXELON CORPORATION
Energy Delivery Sales Statistics
Six Months Ended June 30, 2005 and 2004

	ComEd									PECO
Electric Deliveries (in GWhs)	2005			2004			% Change			2005		2004		% Change
Full Service (a)
Residential		13,346			12,805			4.2	%		5,955		5,016		18.7	%
Small Commercial & Industrial		10,211			10,710			(4.7	%)		3,462		3,370		2.7	%
Large Commercial & Industrial		3,883			3,200			21.3	%		7,214		7,320		(1.4	%)
Public Authorities & Electric Railroads		1,052			1,225			(14.1	%)		431		453		(4.9	%)
Total Full Service		28,492			27,940			2.0	%		17,062		16,159		5.6	%
PPO (ComEd Only)
Small Commercial & Industrial		2,458			1,897			29.6	%
Large Commercial & Industrial		3,119			2,339			33.3	%
		5,577			4,236			31.7	%
Delivery Only (b)
Residential		(d	)		(d	)					178		1,070		(83.4	%)
Small Commercial & Industrial		3,163			3,078			2.8	%		712		857		(16.9	%)
Large Commercial & Industrial		6,488			7,379			(12.1	%)		332		340		(2.4	%)
		9,651			10,457			(7.7	%)		1,222		2,267		(46.1	%)
Total PPO and Delivery Only		15,228			14,693			3.6	%		1,222		2,267		(46.1	%)
Total Retail Deliveries		43,720			42,633			2.5	%		18,284		18,426		(0.8	%)
Gas Deliveries (mmcf) (PECO only)											51,096		51,507		(0.8	%)
Revenue (in millions)
Full Service (a)
Residential	$	1,124		$	1,080			4.1	%	$	744	$	611		21.8	%
Small Commercial & Industrial		784			787			(0.4	%)		386		374		3.2	%
Large Commercial & Industrial		193			179			7.8	%		546		551		(0.9	%)
Public Authorities & Electric Railroads		65			82			(20.7	%)		40		40		0.0	%
Total Full Service		2,166			2,128			1.8	%		1,716		1,576		8.9	%
PPO (ComEd Only) (c)
Small Commercial & Industrial		165			124			33.1	%
Large Commercial & Industrial		171			129			32.6	%
		336			253			32.8	%
Delivery Only (b)
Residential		(d	)		(d	)					13		80		(83.8	%)
Small Commercial & Industrial		58			67			(13.4	%)		35		43		(18.6	%)
Large Commercial & Industrial		80			102			(21.6	%)		9		9		0.0	%
		138			169			(18.3	%)		57		132		(56.8	%)
Total PPO and Delivery Only		474			422			12.3	%		57		132		(56.8	%)
Total Retail Electric Revenue		2,640			2,550			3.5	%		1,773		1,708		3.8	%
Wholesale and Miscellaneous Revenue (e)		235			189			24.3	%		105		99		6.1	%
Gas Revenue (PECO only)		n/a			n/a						461		464		(0.6	%)
Total Revenues	$	2,875			2,739			5.0	%	$	2,339	$	2,271		3.0	%

Heating and Cooling Degree-Days	2005		2004		Normal		2005		2004		Normal
Heating Degree-Days		3,744		3,887		4,060		3,108		3,047		3,047
Cooling Degree-Days		315		186		216		327		416		316

(a)		Full service reflects deliveries to customers taking electric service under tariffed rates, which include the cost of energy and the delivery cost of the transmission and distribution of the energy. PECO’s tariffed rates also include a competitive transition charge (CTC).
(b)		Delivery only service reflects customers electing to receive electric generation service from an alternative energy supplier. Revenue from customers choosing an alternative energy supplier includes a distribution charge and a CTC.
(c)		Revenue from customers choosing ComEd’s PPO includes an energy charge at market rates, transmission and distribution charges and a CTC.
(d)		All ComEd residential customers are eligible to choose their supplier of electricity; however, as of June 30, 2005, no alternative electric supplier has approval from the Illinois Commerce Commission and no electric utilities have chosen to enter the ComEd residential market for the supply of electricity.
(e)		Wholesale and miscellaneous revenue includes transmission revenue from PJM and, prior to ComEd’s full integration into PJM on May 1, 2004, ComEd’s transmission charges received from alternative energy suppliers.
n/a	—	not applicable

16

EXELON CORPORATION
Exelon Generation Power Marketing Statistics

	Three Months Ended
	June 30, 2005		March 31, 2005		December 31, 2004		September 30, 2004		June 30, 2004
GWh Sales
Energy Delivery		28,582		28,453		26,828		30,040		26,133
Market and Retail Sales		18,410		17,010		21,281		21,894		24,976
Total Sales (a)		46,992		45,463		48,109		51,934		51,109
Average Margin ($/MWh)
Average Realized Revenue
Energy Delivery	$	39.64	$	39.29	$	30.75	$	40.55	$	32.37
Market and Retail Sales (b)		42.53		38.80		34.11		34.67		34.35
Total Sales — without trading		40.77		39.11		32.24		38.07		33.34
Average Purchased Power and Fuel Cost — without trading (c)	$	17.71	$	15.22	$	14.33	$	20.66	$	17.71
Average Margin — without trading (c)	$	23.06	$	23.89	$	17.91	$	17.41	$	15.63
Around-the-clock Market Prices ($/MWh)
PJM	$	47.30	$	47.18	$	38.84	$	41.38	$	42.96
MAIN		38.35		39.68		29.99		28.41		31.76

(a)	Total sales do not include trading volume of 5,660 GWhs, 5,751 GWhs, 6,432 GWhs, 7,132 GWhs and 5,285 GWhs for the three months ended June 30, 2005, March 31, 2005, December 31, 2004, September 30, 2004 and June 30, 2004, respectively.
(b)	Market and retail sales exclude revenues related to tolling agreements of $34 million, $58 million and $39 million for the three months ended June 30, 2005, September 30, 2004 and June 30, 2004, respectively.
(c)	Adjustments have been made to historical periods for consistency with current year presentation, including the exclusion of mark-to-market adjustments from operating earnings and the classification of Sithe’s results as discontinued operations.

17

EXELON CORPORATION
Exelon Generation Power Marketing Statistics

	Six Months Ended June 30,
	2005		2004
GWh Sales
Energy Delivery		57,035		53,597
Market and Retail Sales		35,420		48,959
Total Sales (a)		92,455		102,556
Average Margin ($/MWh)
Average Realized Revenue
Energy Delivery	$	39.47	$	31.83
Market and Retail Sales (b)		40.74		35.58
Total Sales — without trading		39.95		33.62
Average Purchased Power and Fuel Cost — without trading	$	16.48	$	17.56
Average Margin — without trading	$	23.47	$	16.06
Around-the-clock Market Prices ($/MWh)
PJM	$	47.24	$	44.57
MAIN		39.01		33.08
2005 Forward market prices — July through December
Around-the-clock Market Prices ($/MWh)
PJM	$	50.31
MAIN		40.44
Gas Prices ($/Mmbtu)
Henry Hub	$	7.35

(a)	Total sales do not include trading volume of 11,411 GWhs and 10,437 GWhs for the six months ended June 30, 2005 and 2004, respectively.
(b)	Market and retail sales exclude revenues related to tolling agreements of $34 million and $39 million for the six months ended June 30, 2005 and 2004, respectively.

18