Exhibit 99.1
News Release
| Contact: | Paul Adams Corporate Communications 410-245-8717 Emily Duncan Investor Relations 312-394-2345 | |||||||
EXELON REPORTS THIRD QUARTER 2020 RESULTS
Earnings Release Highlights
•GAAP Net Income of $0.51 per share and Adjusted (non-GAAP) Operating Earnings of $1.04 per share for the third quarter of 2020
•Raising our guidance range for full year 2020 Adjusted (non-GAAP) Operating Earnings from $2.80 - $3.10 per share to $3.00 - $3.20 per share
•Strong utility reliability and customer operations performance - every utility achieved top quartile in outage frequency & duration, customer satisfaction, abandon rate, and gas odor response
•Generation’s nuclear fleet ran with a capacity factor of 96.0%
•Pepco filed the second multi-year plan in Maryland; filing proposes flat distribution rates for the first two years
•Conducting a strategic review of our corporate structure to determine how best to create value and position our businesses for success
CHICAGO (Nov. 3, 2020) — Exelon Corporation (Nasdaq: EXC) today reported its financial results for the third quarter of 2020.
“Our financial results exceeded expectations, and our utility and generation operational performance remained strong despite the challenges of the pandemic, record heat and extreme storms, including tropical storm Isaias on the East Coast and a hurricane-scale derecho that spawned 13 tornadoes across our ComEd territory in the Midwest,” said Christopher M. Crane, president and CEO of Exelon. “We also confronted difficult strategic decisions on specific generation assets during the quarter, including our plans to prematurely retire our Byron and Dresden nuclear stations in Illinois in 2021 due to broken energy policies that don’t fairly value clean energy resources. In addition, our gas-fired Mystic plant in Boston will retire in 2024 when its cost of service agreement expires. We expect to finish the year strong as we maintain our focus on safe, reliable operations, reducing costs, supporting clean energy policies and positioning the company for the future.”
“Excellent operational performance and our success in managing costs during the pandemic continues to drive strong financial performance, resulting in adjusted (non-GAAP) third-quarter earnings of $1.04 per share, which exceeded our guidance of $0.80 to $0.90 per share,” said Joseph Nigro, senior executive vice president and CFO of Exelon. “So far this year, we have invested $4.5 billion at our utilities to improve
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infrastructure and further increase grid reliability for customers, with more on the way as we move forward with new proposed capital projects across our service territories over the next several years. We are raising our year-end earnings guidance to $3.00 to $3.20 per share from $2.80 to $3.10 per share.”
Third Quarter 2020
Exelon's GAAP Net Income for the third quarter of 2020 decreased to $0.51 per share from $0.79 per share in the third quarter of 2019. Adjusted (non-GAAP) Operating Earnings for the third quarter of 2020 increased to $1.04 per share from $0.92 per share in the third quarter of 2019. For the reconciliations of GAAP Net Income to Adjusted (non-GAAP) Operating Earnings, refer to the tables beginning on page 5.
Adjusted (non-GAAP) Operating Earnings in the third quarter of 2020 primarily reflect:
•Higher utility earnings primarily due to regulatory rate increases at BGE and PHI and favorable weather conditions at PECO, partially offset by storm costs related to the August 2020 storm at PECO, net of tax repairs, and at PHI; and
•Higher Generation earnings primarily due to higher capacity revenues and lower operating and maintenance expense, partially offset by a reduction in load due to COVID-19.
Operating Company Results1
ComEd
ComEd's third quarter of 2020 GAAP Net Income and Adjusted (non-GAAP) Operating Earnings remained relatively consistent with the third quarter of 2019. Due to revenue decoupling, ComEd's distribution earnings are not affected by actual weather or customer usage patterns.
PECO
PECO’s third quarter of 2020 GAAP Net Income and Adjusted (non-GAAP) Operating Earnings remained relatively consistent with the third quarter of 2019, primarily due to favorable weather conditions, offset by higher storm costs due to the August 2020 storm net of tax repairs.
BGE
BGE’s third quarter of 2020 GAAP Net Income and Adjusted (non-GAAP) Operating Earnings remained relatively consistent with the third quarter of 2019, primarily due to regulatory rate increases, offset by an increase in various expenses. Due to revenue decoupling, BGE's distribution earnings are not affected by actual weather or customer usage patterns.
PHI
PHI’s third quarter of 2020 GAAP Net Income increased to $216 million from $189 million in the third quarter of 2019. PHI’s Adjusted (non-GAAP) Operating Earnings for the third quarter of 2020 increased to $220 million from $209 million in the third quarter of 2019, primarily due to regulatory rate increases, partially offset by storm costs related to the August 2020 storm. Due to revenue decoupling, PHI's distribution earnings related to Pepco Maryland, DPL Maryland and Pepco District of Columbia are not affected by actual weather or customer usage patterns.
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1Exelon’s five business units include ComEd, which consists of electricity transmission and distribution operations in northern Illinois; PECO, which consists of electricity transmission and distribution operations and retail natural gas distribution operations in southeastern Pennsylvania; BGE, which consists of electricity transmission and distribution operations and retail natural gas distribution operations in central Maryland; PHI, which consists of electricity transmission and distribution operations in the District of Columbia and portions of Maryland, Delaware, and New Jersey and retail natural gas distribution operations in northern Delaware; and Generation, which consists of owned and contracted electric generating facilities and wholesale and retail customer supply of electric and natural gas products and services, including renewable energy products and risk management services.
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Generation
Generation's third quarter of 2020 GAAP Net Income decreased to $49 million from $257 million in the third quarter of 2019. Generation’s Adjusted (non-GAAP) Operating Earnings for the third quarter of 2020 increased to $456 million from $352 million in the third quarter of 2019, primarily due to higher capacity revenues and lower operating and maintenance expense, partially offset by a reduction in load due to COVID-19.
As of Sept. 30, 2020, the percentage of expected generation hedged is 97%-100% and 87%-90% for 2020 and 2021, respectively.
Recent Developments and Third Quarter Highlights
•COVID-19: Exelon continues to monitor developments related to the global outbreak (pandemic) of the 2019 novel coronavirus (COVID-19) pandemic and has taken proactive measures to protect the health and safety of employees, contractors, and customers. As a provider of critical resources, Exelon has robust plans and contingencies in place to ensure business and operational continuity across a wide range of potentially disruptive events, including extensive preparedness for major public health crises. Exelon and its operating companies are working in close coordination with designated state and local emergency preparedness and health officials, and at the federal level through the Electric Subsector Coordinating Council. All Exelon employees have access to up-to-date information and resources and are following Centers for Disease Control guidelines to ensure safety. In addition, Exelon utilities have established incident command centers to address emergent customer and employee needs in real time.
The estimated impact to Generation’s Net income as a result of COVID-19 is approximately $45 million and $140 million for the three and nine months ended Sept. 30, 2020, respectively, and primarily reflects the impact of reduction in load, incremental credit loss expense and direct costs related to COVID-19.
The estimated impact to the Utility Registrants’ Net income as a result of COVID-19 is approximately $65 million for the nine months ended Sept. 30, 2020, and primarily reflects the impact of reduction in load for the Utility Registrants and direct costs related to COVID-19 primarily for PECO. The estimated net impact to the Utility Registrants’ Net income for the three months ended Sept. 30, 2020, is approximately $15 million and primarily reflects the impact of reduction in load offset by the reversal of incremental credit loss expense and direct costs related to COVID-19 recorded in the second quarter of 2020, which were recorded as regulatory assets in the third quarter of 2020.
At Generation and PECO, direct costs related to COVID-19 are excluded from Adjusted (non-GAAP) Operating Earnings.
Generation also expects a reduction in operating revenues in the fourth quarter of 2020 primarily due to expected reduction in electric load.
Exelon identified and is pursuing approximately $250 million in cost savings across its operating companies to offset the expected unfavorable impacts on operating revenues. The cost savings for the year are expected to be higher than originally anticipated.
•Early Retirement of Generation Facilities: In August 2020, Exelon Generation announced that it intends to retire the Byron Generating Station (Byron) in September 2021, Dresden Generating Station (Dresden) in November 2021, and Mystic Units 8 & 9 (Mystic) at the expiration of the cost
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of service commitment in May 2024. As a result, in the third quarter of 2020, Exelon and Generation recognized a $500 million impairment of the New England asset group and one-time non-cash charges for Byron, Dresden, and Mystic of $260 million related to materials and supplies inventory reserve adjustments, employee-related costs, and construction work-in-progress impairments, among other items. In addition, there will be ongoing annual financial impacts stemming from shortening the expected economic useful lives of these facilities, primarily related to accelerated depreciation of plant assets (including any Asset Retirement Costs (ARC)) and accelerated amortization of nuclear fuel. Exelon’s and Generation’s third quarter 2020 results include an incremental $180 million of pre-tax expense for these items. These charges are excluded from Adjusted (non-GAAP) Operating Earnings.
•PECO Pennsylvania Natural Gas Distribution Rate Case: On Sept. 30, 2020, PECO filed an application with the Pennsylvania Public Utility Commission (PAPUC) to increase its annual natural gas distribution rates by $69 million, reflecting an ROE of 10.95%. PECO currently expects a decision in the second quarter of 2021 but cannot predict if the PAPUC will approve the application as filed.
•Pepco Maryland Electric Rate Case: On Oct. 26, 2020, Pepco filed an application for a three-year cumulative multi-year plan for April 1, 2021, through March 31, 2024, with the Maryland Public Service Commission (MDPSC) to increase its electric distribution rates by $56 million effective April 1, 2023, and $54 million effective April 1, 2024, to recover capital investments made in 2019 and planned capital investments from 2020 to March 31, 2024, reflecting an ROE of 10.2%. Pepco currently expects a decision in the second quarter of 2021 but cannot predict if the MDPSC will approve the application as filed.
•Nuclear Operations: Generation’s nuclear fleet, including its owned output from the Salem Generating Station and 100% of the CENG units, produced 44,884 gigawatt-hours (GWhs) in the third quarter of 2020, compared with 46,215 GWhs in the third quarter of 2019. Excluding Salem, the Exelon-operated nuclear plants at ownership achieved a 96.0% capacity factor for the third quarter of 2020, compared with 95.5% for the third quarter of 2019. The number of planned refueling outage days in the third quarter of 2020 totaled 17, compared with 15 in the third quarter of 2019. There were 4 non-refueling outage days in the third quarter of 2020 and 15 in the third quarter of 2019.
•Fossil and Renewables Operations: The Dispatch Match rate for Generation’s fossil and hydro fleet was 98.9% in the third quarter of 2020, compared with 97.5% in the third quarter of 2019. Energy Capture for the wind and solar fleet was 91.9% in the third quarter of 2020, compared with 96.5% in the third quarter of 2019. The lower performance in the quarter was attributed to turbines in outage awaiting parts to perform repairs.
•Financing Activities: On Sept. 23, 2020, Pepco issued $150 million of its First Mortgage Bonds, 3.28% Series due Sept. 23, 2050. Pepco used the proceeds to repay existing indebtedness and for general corporate purposes.
•Review of Corporate Structure: Exelon is currently conducting a strategic review of its corporate structure to determine how to best create value and position its businesses for success. As part of the review, Exelon is considering separating Exelon Generation from Exelon Utilities. As Exelon continues this review, it is focused on creating value and taking into account the interests of all stakeholders – investors, employees, customers and the communities it serves. There can be no assurance that the strategic review will result in any particular action, nor can there be any assurance regarding the timing of any action. Exelon will provide an update on its progress on its next earnings call. Exelon has retained advisors to assist with the review process.
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GAAP/Adjusted (non-GAAP) Operating Earnings Reconciliation
Adjusted (non-GAAP) Operating Earnings for the third quarter of 2020 do not include the following items (after tax) that were included in reported GAAP Net Income:
| (in millions) | Exelon Earnings per Diluted Share | Exelon | ComEd | PECO | BGE | PHI | Generation | ||||||||||||||||
| 2020 GAAP Net Income (Loss) | $ | 0.51 | $ | 501 | $ | 196 | $ | 138 | $ | 53 | $ | 216 | $ | 49 | |||||||||
| Mark-to-Market Impact of Economic Hedging Activities (net of taxes of $62 and $64, respectively) | (0.19) | (183) | — | — | — | — | (192) | ||||||||||||||||
| Unrealized Gains Related to Nuclear Decommissioning Trust (NDT) Fund Investments (net of taxes of $161) | (0.18) | (172) | — | — | — | — | (172) | ||||||||||||||||
| Asset Impairments (net of taxes of $126) | 0.38 | 375 | — | — | — | — | 375 | ||||||||||||||||
| Plant Retirements and Divestitures (net of taxes of $111) | 0.34 | 329 | — | — | — | — | 329 | ||||||||||||||||
| Cost Management Program (net of taxes of $5, $0, $0, $1 and $4, respectively) | 0.02 | 15 | — | 1 | 1 | 1 | 12 | ||||||||||||||||
| Change in Environmental Liabilities (net of taxes of $6) | 0.02 | 17 | — | — | — | — | 17 | ||||||||||||||||
| COVID-19 Direct Costs (net of taxes of $3, $1, $0, and $2, respectively) | 0.01 | 10 | — | 2 | — | 1 | 7 | ||||||||||||||||
| Asset Retirement Obligation (net of taxes of $1) | — | 3 | — | — | — | 3 | — | ||||||||||||||||
| Acquisition Related Costs (net of taxes of $1) | — | 2 | — | — | — | — | 2 | ||||||||||||||||
| Income Tax-Related Adjustments (entire amount represents tax expense) | 0.06 | 62 | — | — | — | (1) | (28) | ||||||||||||||||
| Noncontrolling Interests (net of taxes of $12) | 0.06 | 57 | — | — | — | — | 57 | ||||||||||||||||
| 2020 Adjusted (non-GAAP) Operating Earnings | $ | 1.04 | $ | 1,017 | $ | 197 | $ | 141 | $ | 54 | $ | 220 | $ | 456 | |||||||||
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Adjusted (non-GAAP) Operating Earnings for the third quarter of 2019 do not include the following items (after tax) that were included in reported GAAP Net Income:
| (in millions) | Exelon Earnings per Diluted Share | Exelon | ComEd | PECO | BGE | PHI | Generation | ||||||||||||||||
| 2019 GAAP Net Income | $ | 0.79 | $ | 772 | $ | 200 | $ | 140 | $ | 55 | $ | 189 | $ | 257 | |||||||||
| Mark-to-Market Impact of Economic Hedging Activities (net of taxes of $2 and $4, respectively) | — | (2) | — | — | — | — | (10) | ||||||||||||||||
| Unrealized Gains Related to NDT Fund Investments (net of taxes of $34) | (0.04) | (39) | — | — | — | — | (39) | ||||||||||||||||
| Asset Impairments (net of taxes of $53) | 0.12 | 113 | — | — | — | — | 113 | ||||||||||||||||
| Plant Retirements and Divestitures (net of taxes of $40) | 0.12 | 119 | — | — | — | — | 119 | ||||||||||||||||
| Cost Management Program (net of taxes of $3, $0, $0, $0 and $3, respectively) | 0.01 | 14 | — | 1 | 1 | 2 | 10 | ||||||||||||||||
| Asset Retirement Obligation (net of taxes of $9) | (0.09) | (84) | — | — | — | — | (84) | ||||||||||||||||
| Change in Environmental Liabilities (net of taxes of $5, $5 and $0, respectively) | 0.02 | 18 | — | — | — | 17 | 1 | ||||||||||||||||
| Income Tax-Related Adjustments (entire amount represents tax expense) | 0.01 | 13 | — | — | — | 1 | 9 | ||||||||||||||||
| Noncontrolling Interests (net of taxes of $3) | (0.02) | (24) | — | — | — | — | (24) | ||||||||||||||||
| 2019 Adjusted (non-GAAP) Operating Earnings | $ | 0.92 | $ | 900 | $ | 200 | $ | 141 | $ | 56 | $ | 209 | $ | 352 | |||||||||
Note:
Amounts may not sum due to rounding.
Unless otherwise noted, the income tax impact of each reconciling item between GAAP Net Income and Adjusted (non-GAAP) Operating Earnings is based on the marginal statutory federal and state income tax rates for each Registrant, taking into account whether the income or expense item is taxable or deductible, respectively, in whole or in part. For all items except the unrealized gains and losses related to NDT fund investments, the marginal statutory income tax rates for 2020 and 2019 ranged from 26.0% to 29.0%. Under IRS regulations, NDT fund investment returns are taxed at different rates for investments if they are in qualified or non-qualified funds. The effective tax rates for the unrealized gains and losses related to NDT fund investments were 48.3% and 47.1% for the three months ended Sept. 30, 2020 and 2019, respectively.
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Webcast Information
Exelon will discuss third quarter 2020 earnings in a conference call scheduled for today at 9 a.m. Central Time (10 a.m. Eastern Time). The webcast and associated materials can be accessed at www.exeloncorp.com/investor-relations.
About Exelon
Exelon Corporation (Nasdaq: EXC) is a Fortune 100 energy company with the largest number of electricity and natural gas customers in the U.S. Exelon does business in 48 states, the District of Columbia, and Canada and had 2019 revenue of $34 billion. Exelon serves approximately 10 million customers in Delaware, the District of Columbia, Illinois, Maryland, New Jersey, and Pennsylvania through its Atlantic City Electric, BGE, ComEd, Delmarva Power, PECO, and Pepco subsidiaries. Exelon is one of the largest competitive U.S. power generators, with more than 31,000 megawatts of nuclear, gas, wind, solar and hydroelectric generating capacity comprising one of the nation’s cleanest and lowest-cost power generation fleets. The company’s Constellation business unit provides energy products and services to approximately 2 million residential, public sector, and business customers, including three fourths of the Fortune 100. Follow Exelon on Twitter @Exelon.
Non-GAAP Financial Measures
In addition to net income as determined under generally accepted accounting principles in the United States (GAAP), Exelon evaluates its operating performance using the measure of Adjusted (non-GAAP) Operating Earnings because management believes it represents earnings directly related to the ongoing operations of the business. Adjusted (non-GAAP) Operating Earnings exclude certain costs, expenses, gains and losses, and other specified items. This measure is intended to enhance an investor’s overall understanding of period over period operating results and provide an indication of Exelon’s baseline operating performance excluding items that are considered by management to be not directly related to the ongoing operations of the business. In addition, this measure is among the primary indicators management uses as a basis for evaluating performance, allocating resources, setting incentive compensation targets, and planning and forecasting of future periods. Adjusted (non-GAAP) Operating Earnings is not a presentation defined under GAAP and may not be comparable to other companies’ presentation. The Company has provided the non-GAAP financial measure as supplemental information and in addition to the financial measures that are calculated and presented in accordance with GAAP. Adjusted (non-GAAP) Operating Earnings should not be deemed more useful than, a substitute for, or an alternative to the most comparable GAAP Net Income measures provided in this earnings release and attachments. This press release and earnings release attachments provide reconciliations of Adjusted (non-GAAP) Operating Earnings to the most directly comparable financial measures calculated and presented in accordance with GAAP, are posted on Exelon’s website: www.exeloncorp.com, and have been furnished to the Securities and Exchange Commission on Form 8-K on Nov. 3, 2020.
Cautionary Statements Regarding Forward-Looking Information
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties including among others those related to the expected or potential impact of the novel coronavirus (COVID-19) pandemic, and the related responses of various governments and regulatory bodies, our customers, and the company, on our business, financial condition, and results of operations; any such forward-looking statements, whether concerning the COVID-19 pandemic or otherwise, involve risks, assumptions, and uncertainties. Words such as “could,” “may,” “expects,” “anticipates,” “will,” “targets,” “goals,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “predicts,” and variations on such words, and similar expressions that
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reflect our current views with respect to future events and operational, economic, and financial performance, are intended to identify such forward-looking statements.
The factors that could cause actual results to differ materially from the forward-looking statements made by Exelon Corporation, Exelon Generation Company, LLC, Commonwealth Edison Company, PECO Energy Company, Baltimore Gas and Electric Company, Pepco Holdings LLC, Potomac Electric Power Company, Delmarva Power & Light Company, and Atlantic City Electric Company (Registrants) include those factors discussed herein, as well as the items discussed in (1) the Registrants' 2019 Annual Report on Form 10-K in (a) Part I, ITEM 1A. Risk Factors, (b) Part II, ITEM 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations, and (c) Part II, ITEM 8. Financial Statements and Supplementary Data: Note 18, Commitments and Contingencies; (2) the Registrants' Third Quarter 2020 Quarterly Report on Form 10-Q (to be filed on Nov. 3, 2020) in (a) Part II, ITEM 1A. Risk Factors, (b) Part I, ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations, and (c) Part I, ITEM 1. Financial Statements: Note 14, Commitments and Contingencies; and (3) other factors discussed in filings with the SEC by the Registrants.
Investors are cautioned not to place undue reliance on these forward-looking statements, whether written or oral, which apply only as of the date of this press 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 press release.
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Earnings Release Attachments
Table of Contents
Consolidating Statements of Operations
(unaudited)
(in millions)
| ComEd | PECO | BGE | PHI | Generation | Other (a) | Exelon Consolidated | |||||||||||||||||||||||||||||||||||
| Three Months Ended September 30, 2020 | |||||||||||||||||||||||||||||||||||||||||
| Operating revenues | $ | 1,643 | $ | 813 | $ | 731 | $ | 1,368 | $ | 4,659 | $ | (361) | $ | 8,853 | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||||||||
| Purchased power and fuel | 606 | 269 | 250 | 506 | 2,314 | (331) | 3,614 | ||||||||||||||||||||||||||||||||||
| Operating and maintenance | 321 | 251 | 191 | 275 | 1,737 | (43) | 2,732 | ||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 294 | 85 | 133 | 200 | 558 | 19 | 1,289 | ||||||||||||||||||||||||||||||||||
| Taxes other than income taxes | 81 | 53 | 68 | 121 | 118 | 11 | 452 | ||||||||||||||||||||||||||||||||||
| Total operating expenses | 1,302 | 658 | 642 | 1,102 | 4,727 | (344) | 8,087 | ||||||||||||||||||||||||||||||||||
| Gain on sales of assets and businesses | — | — | — | — | — | 3 | 3 | ||||||||||||||||||||||||||||||||||
| Operating income (loss) | 341 | 155 | 89 | 266 | (68) | (14) | 769 | ||||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||||||||
| Interest expense, net | (95) | (39) | (34) | (67) | (80) | (89) | (404) | ||||||||||||||||||||||||||||||||||
| Other, net | 10 | 6 | 6 | 16 | 367 | 16 | 421 | ||||||||||||||||||||||||||||||||||
| Total other income and (deductions) | (85) | (33) | (28) | (51) | 287 | (73) | 17 | ||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 256 | 122 | 61 | 215 | 219 | (87) | 786 | ||||||||||||||||||||||||||||||||||
| Income taxes | 60 | (16) | 8 | (1) | 100 | 65 | 216 | ||||||||||||||||||||||||||||||||||
| Equity in (losses) earnings of unconsolidated affiliates | — | — | — | — | (2) | 1 | (1) | ||||||||||||||||||||||||||||||||||
| Net income (loss) | 196 | 138 | 53 | 216 | 117 | (151) | 569 | ||||||||||||||||||||||||||||||||||
| Net income attributable to noncontrolling interests | — | — | — | — | 68 | — | 68 | ||||||||||||||||||||||||||||||||||
| Net income (loss) attributable to common shareholders | $ | 196 | $ | 138 | $ | 53 | $ | 216 | $ | 49 | $ | (151) | $ | 501 | |||||||||||||||||||||||||||
| Three Months Ended September 30, 2019 | |||||||||||||||||||||||||||||||||||||||||
| Operating revenues | $ | 1,583 | $ | 778 | $ | 703 | $ | 1,380 | $ | 4,774 | $ | (289) | $ | 8,929 | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||||||||
| Purchased power and fuel | 577 | 246 | 235 | 519 | 2,651 | (276) | 3,952 | ||||||||||||||||||||||||||||||||||
| Operating and maintenance | 340 | 219 | 196 | 290 | 1,087 | (60) | 2,072 | ||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 259 | 83 | 116 | 193 | 407 | 25 | 1,083 | ||||||||||||||||||||||||||||||||||
| Taxes other than income taxes | 80 | 47 | 65 | 122 | 129 | 9 | 452 | ||||||||||||||||||||||||||||||||||
| Total operating expenses | 1,256 | 595 | 612 | 1,124 | 4,274 | (302) | 7,559 | ||||||||||||||||||||||||||||||||||
| Gain (loss) on sales of assets and businesses | 1 | — | — | — | (18) | — | (17) | ||||||||||||||||||||||||||||||||||
| Operating income | 328 | 183 | 91 | 256 | 482 | 13 | 1,353 | ||||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||||||||
| Interest expense, net | (91) | (33) | (31) | (66) | (109) | (79) | (409) | ||||||||||||||||||||||||||||||||||
| Other, net | 8 | 4 | 7 | 13 | 128 | (2) | 158 | ||||||||||||||||||||||||||||||||||
| Total other income and (deductions) | (83) | (29) | (24) | (53) | 19 | (81) | (251) | ||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 245 | 154 | 67 | 203 | 501 | (68) | 1,102 | ||||||||||||||||||||||||||||||||||
| Income taxes | 45 | 14 | 12 | 14 | 87 | — | 172 | ||||||||||||||||||||||||||||||||||
| Equity in losses of unconsolidated affiliates | — | — | — | — | (170) | — | (170) | ||||||||||||||||||||||||||||||||||
| Net income (loss) | 200 | 140 | 55 | 189 | 244 | (68) | 760 | ||||||||||||||||||||||||||||||||||
| Net (loss) income attributable to noncontrolling interests | — | — | — | — | (13) | 1 | (12) | ||||||||||||||||||||||||||||||||||
| Net income (loss) attributable to common shareholders | $ | 200 | $ | 140 | $ | 55 | $ | 189 | $ | 257 | $ | (69) | $ | 772 | |||||||||||||||||||||||||||
| Change in Net income from 2019 to 2020 | $ | (4) | $ | (2) | $ | (2) | $ | 27 | $ | (208) | $ | (82) | $ | (271) | |||||||||||||||||||||||||||
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(a)Other primarily includes eliminating and consolidating adjustments, Exelon’s corporate operations, shared service entities, and other financing and investment activities.
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Consolidating Statements of Operations
(unaudited)
(in millions)
| ComEd | PECO | BGE | PHI | Generation | Other (a) | Exelon Consolidated | |||||||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | |||||||||||||||||||||||||||||||||||||||||
| Operating revenues | $ | 4,499 | $ | 2,306 | $ | 2,284 | $ | 3,554 | $ | 13,272 | $ | (990) | $ | 24,925 | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||||||||
| Purchased power and fuel | 1,557 | 768 | 731 | 1,316 | 6,961 | (927) | 10,406 | ||||||||||||||||||||||||||||||||||
| Operating and maintenance | 1,173 | 742 | 567 | 813 | 4,188 | (113) | 7,370 | ||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 841 | 259 | 405 | 585 | 1,161 | 61 | 3,312 | ||||||||||||||||||||||||||||||||||
| Taxes other than income taxes | 227 | 131 | 200 | 343 | 364 | 34 | 1,299 | ||||||||||||||||||||||||||||||||||
| Total operating expenses | 3,798 | 1,900 | 1,903 | 3,057 | 12,674 | (945) | 22,387 | ||||||||||||||||||||||||||||||||||
| Gain (loss) on sales of assets and businesses | — | — | — | 2 | 12 | 2 | 16 | ||||||||||||||||||||||||||||||||||
| Operating income | 701 | 406 | 381 | 499 | 610 | (43) | 2,554 | ||||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||||||||
| Interest expense, net | (287) | (108) | (99) | (201) | (277) | (269) | (1,241) | ||||||||||||||||||||||||||||||||||
| Other, net | 32 | 12 | 17 | 42 | 199 | 50 | 352 | ||||||||||||||||||||||||||||||||||
| Total other income and (deductions) | (255) | (96) | (82) | (159) | (78) | (219) | (889) | ||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 446 | 310 | 299 | 340 | 532 | (262) | 1,665 | ||||||||||||||||||||||||||||||||||
| Income taxes | 142 | (7) | 26 | (77) | 41 | 16 | 141 | ||||||||||||||||||||||||||||||||||
| Equity in earnings (losses) of unconsolidated affiliates | — | — | — | 1 | (6) | — | (5) | ||||||||||||||||||||||||||||||||||
| Net income (loss) | 304 | 317 | 273 | 418 | 485 | (278) | 1,519 | ||||||||||||||||||||||||||||||||||
| Net loss attributable to noncontrolling interests | — | — | — | — | (85) | — | (85) | ||||||||||||||||||||||||||||||||||
| Net income (loss) attributable to common shareholders | $ | 304 | $ | 317 | $ | 273 | $ | 418 | $ | 570 | $ | (278) | $ | 1,604 | |||||||||||||||||||||||||||
| Nine Months Ended September 30, 2019 | |||||||||||||||||||||||||||||||||||||||||
| Operating revenues | $ | 4,342 | $ | 2,333 | $ | 2,327 | $ | 3,700 | $ | 14,280 | $ | (886) | $ | 26,096 | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||||||||
| Purchased power and fuel | 1,469 | 767 | 804 | 1,391 | 8,148 | (848) | 11,731 | ||||||||||||||||||||||||||||||||||
| Operating and maintenance | 967 | 643 | 569 | 811 | 3,570 | (141) | 6,419 | ||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 767 | 247 | 368 | 562 | 1,221 | 72 | 3,237 | ||||||||||||||||||||||||||||||||||
| Taxes other than income taxes | 228 | 126 | 195 | 342 | 394 | 31 | 1,316 | ||||||||||||||||||||||||||||||||||
| Total operating expenses | 3,431 | 1,783 | 1,936 | 3,106 | 13,333 | (886) | 22,703 | ||||||||||||||||||||||||||||||||||
| Gain on sales of assets and businesses | 4 | — | — | — | 15 | — | 19 | ||||||||||||||||||||||||||||||||||
| Operating income | 915 | 550 | 391 | 594 | 962 | — | 3,412 | ||||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||||||||
| Interest expense, net | (268) | (100) | (89) | (197) | (336) | (231) | (1,221) | ||||||||||||||||||||||||||||||||||
| Other, net | 27 | 11 | 18 | 39 | 729 | 13 | 837 | ||||||||||||||||||||||||||||||||||
| Total other income and (deductions) | (241) | (89) | (71) | (158) | 393 | (218) | (384) | ||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 674 | 461 | 320 | 436 | 1,355 | (218) | 3,028 | ||||||||||||||||||||||||||||||||||
| Income taxes | 130 | 51 | 59 | 25 | 388 | (27) | 626 | ||||||||||||||||||||||||||||||||||
| Equity in earnings (losses) of unconsolidated affiliates | — | — | — | 1 | (183) | — | (182) | ||||||||||||||||||||||||||||||||||
| Net income (loss) | 544 | 410 | 261 | 412 | 784 | (191) | 2,220 | ||||||||||||||||||||||||||||||||||
| Net income attributable to noncontrolling interests | — | — | — | — | 56 | — | 56 | ||||||||||||||||||||||||||||||||||
| Net income (loss) attributable to common shareholders | $ | 544 | $ | 410 | $ | 261 | $ | 412 | $ | 728 | $ | (191) | $ | 2,164 | |||||||||||||||||||||||||||
| Change in Net income from 2019 to 2020 | $ | (240) | $ | (93) | $ | 12 | $ | 6 | $ | (158) | $ | (87) | $ | (560) | |||||||||||||||||||||||||||
__________
(a)Other primarily includes eliminating and consolidating adjustments, Exelon’s corporate operations, shared service entities, and other financing and investment activities.
2
Exelon
Consolidated Balance Sheets
(unaudited)
(in millions)
| September 30, 2020 | December 31, 2019 | |||||||||||||
| Assets | ||||||||||||||
| Current assets | ||||||||||||||
| Cash and cash equivalents | $ | 1,858 | $ | 587 | ||||||||||
| Restricted cash and cash equivalents | 485 | 358 | ||||||||||||
| Accounts receivable | ||||||||||||||
| Customer accounts receivable | 3,150 | 4,835 | ||||||||||||
| Customer allowance for credit losses | (358) | (243) | ||||||||||||
| Customer accounts receivable, net | 2,792 | 4,592 | ||||||||||||
| Other accounts receivable | 1,576 | 1,631 | ||||||||||||
| Other allowance for credit losses | (75) | (48) | ||||||||||||
| Other accounts receivable, net | 1,501 | 1,583 | ||||||||||||
| Mark-to-market derivative assets | 472 | 679 | ||||||||||||
| Unamortized energy contract assets | 41 | 47 | ||||||||||||
| Inventories, net | ||||||||||||||
| Fossil fuel and emission allowances | 311 | 312 | ||||||||||||
| Materials and supplies | 1,405 | 1,456 | ||||||||||||
| Regulatory assets | 1,170 | 1,170 | ||||||||||||
| Other | 2,277 | 1,253 | ||||||||||||
| Total current assets | 12,312 | 12,037 | ||||||||||||
| Property, plant, and equipment, net | 82,561 | 80,233 | ||||||||||||
| Deferred debits and other assets | ||||||||||||||
| Regulatory assets | 8,485 | 8,335 | ||||||||||||
| Nuclear decommissioning trust funds | 13,432 | 13,190 | ||||||||||||
| Investments | 444 | 464 | ||||||||||||
| Goodwill | 6,677 | 6,677 | ||||||||||||
| Mark-to-market derivative assets | 383 | 508 | ||||||||||||
| Unamortized energy contract assets | 308 | 336 | ||||||||||||
| Other | 3,165 | 3,197 | ||||||||||||
| Total deferred debits and other assets | 32,894 | 32,707 | ||||||||||||
| Total assets | $ | 127,767 | $ | 124,977 | ||||||||||
3
| September 30, 2020 | December 31, 2019 | |||||||||||||
| Liabilities and shareholders’ equity | ||||||||||||||
| Current liabilities | ||||||||||||||
| Short-term borrowings | $ | 1,181 | $ | 1,370 | ||||||||||
| Long-term debt due within one year | 2,077 | 4,710 | ||||||||||||
| Accounts payable | 3,182 | 3,560 | ||||||||||||
| Accrued expenses | 1,879 | 1,981 | ||||||||||||
| Payables to affiliates | 5 | 5 | ||||||||||||
| Regulatory liabilities | 575 | 406 | ||||||||||||
| Mark-to-market derivative liabilities | 177 | 247 | ||||||||||||
| Unamortized energy contract liabilities | 107 | 132 | ||||||||||||
| Renewable energy credit obligation | 604 | 443 | ||||||||||||
| Other | 1,475 | 1,331 | ||||||||||||
| Total current liabilities | 11,262 | 14,185 | ||||||||||||
| Long-term debt | 35,512 | 31,329 | ||||||||||||
| Long-term debt to financing trusts | 390 | 390 | ||||||||||||
| Deferred credits and other liabilities | ||||||||||||||
| Deferred income taxes and unamortized investment tax credits | 13,058 | 12,351 | ||||||||||||
| Asset retirement obligations | 11,989 | 10,846 | ||||||||||||
| Pension obligations | 3,648 | 4,247 | ||||||||||||
| Non-pension postretirement benefit obligations | 2,128 | 2,076 | ||||||||||||
| Spent nuclear fuel obligation | 1,207 | 1,199 | ||||||||||||
| Regulatory liabilities | 9,495 | 9,986 | ||||||||||||
| Mark-to-market derivative liabilities | 396 | 393 | ||||||||||||
| Unamortized energy contract liabilities | 266 | 338 | ||||||||||||
| Other | 3,313 | 3,064 | ||||||||||||
| Total deferred credits and other liabilities | 45,500 | 44,500 | ||||||||||||
| Total liabilities | 92,664 | 90,404 | ||||||||||||
| Commitments and contingencies | ||||||||||||||
| Shareholders’ equity | ||||||||||||||
| Common stock | 19,362 | 19,274 | ||||||||||||
| Treasury stock, at cost | (123) | (123) | ||||||||||||
| Retained earnings | 16,749 | 16,267 | ||||||||||||
| Accumulated other comprehensive loss, net | (3,104) | (3,194) | ||||||||||||
| Total shareholders’ equity | 32,884 | 32,224 | ||||||||||||
| Noncontrolling interests | 2,219 | 2,349 | ||||||||||||
| Total equity | 35,103 | 34,573 | ||||||||||||
| Total liabilities and shareholders’ equity | $ | 127,767 | $ | 124,977 | ||||||||||
4
Exelon
Consolidated Statements of Cash Flows
(unaudited)
(in millions)
| Nine Months Ended September 30, | ||||||||||||||
| 2020 | 2019 | |||||||||||||
| Cash flows from operating activities | ||||||||||||||
| Net income | $ | 1,519 | $ | 2,220 | ||||||||||
| Adjustments to reconcile net income to net cash flows provided by operating activities: | ||||||||||||||
| Depreciation, amortization and accretion, including nuclear fuel and energy contract amortization | 4,419 | 4,393 | ||||||||||||
| Asset impairments | 567 | 174 | ||||||||||||
| Gain on sales of assets and businesses | (16) | (15) | ||||||||||||
| Deferred income taxes and amortization of investment tax credits | 164 | 412 | ||||||||||||
| Net fair value changes related to derivatives | (448) | 96 | ||||||||||||
| Net realized and unrealized gains on NDT funds | (59) | (467) | ||||||||||||
| Other non-cash operating activities | 988 | 460 | ||||||||||||
| Changes in assets and liabilities: | ||||||||||||||
| Accounts receivable | 1,195 | 445 | ||||||||||||
| Inventories | (67) | (94) | ||||||||||||
| Accounts payable and accrued expenses | (519) | (671) | ||||||||||||
| Option premiums (paid) received, net | (131) | 13 | ||||||||||||
| Collateral received (posted), net | 644 | (254) | ||||||||||||
| Income taxes | (31) | 143 | ||||||||||||
| Pension and non-pension postretirement benefit contributions | (580) | (377) | ||||||||||||
| Other assets and liabilities | (3,423) | (1,079) | ||||||||||||
| Net cash flows provided by operating activities | 4,222 | 5,399 | ||||||||||||
| Cash flows from investing activities | ||||||||||||||
| Capital expenditures | (5,606) | (5,259) | ||||||||||||
| Proceeds from NDT fund sales | 3,370 | 8,443 | ||||||||||||
| Investment in NDT funds | (3,438) | (8,437) | ||||||||||||
| Collection of DPP | 2,518 | — | ||||||||||||
| Proceeds from sales of assets and businesses | 46 | 17 | ||||||||||||
| Other investing activities | (2) | 21 | ||||||||||||
| Net cash flows used in investing activities | (3,112) | (5,215) | ||||||||||||
| Cash flows from financing activities | ||||||||||||||
| Changes in short-term borrowings | (689) | 430 | ||||||||||||
| Proceeds from short-term borrowings with maturities greater than 90 days | 500 | — | ||||||||||||
| Repayments on short-term borrowings with maturities greater than 90 days | — | (125) | ||||||||||||
| Issuance of long-term debt | 6,756 | 1,576 | ||||||||||||
| Retirement of long-term debt | (5,158) | (644) | ||||||||||||
| Dividends paid on common stock | (1,119) | (1,055) | ||||||||||||
| Proceeds from employee stock plans | 62 | 94 | ||||||||||||
| Other financing activities | (104) | (63) | ||||||||||||
| Net cash flows provided by financing activities | 248 | 213 | ||||||||||||
| Increase in cash, cash equivalents, and restricted cash | 1,358 | 397 | ||||||||||||
| Cash, cash equivalents, and restricted cash at beginning of period | 1,122 | 1,781 | ||||||||||||
| Cash, cash equivalents, and restricted cash at end of period | $ | 2,480 | $ | 2,178 | ||||||||||
5
Exelon
Reconciliation of GAAP Net Income to Adjusted (non-GAAP) Operating Earnings and Analysis of Earnings
Three Months Ended September 30, 2020 and 2019
(unaudited)
(in millions, except per share data)
| Exelon Earnings per Diluted Share | ComEd | PECO | BGE | PHI | Generation | Other (a) | Exelon | ||||||||||||||||||||||||||||||||||||||||
| 2019 GAAP Net Income (Loss) | $ | 0.79 | $ | 200 | $ | 140 | $ | 55 | $ | 189 | $ | 257 | $ | (69) | $ | 772 | |||||||||||||||||||||||||||||||
| Mark-to-Market Impact of Economic Hedging Activities (net of taxes of $4, $2, and $2, respectively) | — | — | — | — | — | (10) | 8 | (2) | |||||||||||||||||||||||||||||||||||||||
| Unrealized Gains Related to NDT Fund Investments (net of taxes of $34) (1) | (0.04) | — | — | — | — | (39) | — | (39) | |||||||||||||||||||||||||||||||||||||||
| Asset Impairments (net of taxes of $53) (2) | 0.12 | — | — | — | — | 113 | — | 113 | |||||||||||||||||||||||||||||||||||||||
| Plant Retirements and Divestitures (net of taxes of $40) (3) | 0.12 | — | — | — | — | 119 | — | 119 | |||||||||||||||||||||||||||||||||||||||
| Cost Management Program (net of taxes of $0, $0, $0, $3, and $3, respectively) (4) | 0.01 | — | 1 | 1 | 2 | 10 | — | 14 | |||||||||||||||||||||||||||||||||||||||
| Asset Retirement Obligation (net of taxes of $9) (5) | (0.09) | — | — | — | — | (84) | — | (84) | |||||||||||||||||||||||||||||||||||||||
| Change in Environmental Liabilities (net of taxes of $5, $0, and $5, respectively) | 0.02 | — | — | — | 17 | 1 | — | 18 | |||||||||||||||||||||||||||||||||||||||
| Income Tax-Related Adjustments (entire amount represents tax expense) (6) | 0.01 | — | — | — | 1 | 9 | 3 | 13 | |||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interest (net of taxes of $3) (7) | (0.02) | — | — | — | — | (24) | — | (24) | |||||||||||||||||||||||||||||||||||||||
| 2019 Adjusted (non-GAAP) Operating Earnings (Loss) | 0.92 | 200 | 141 | 56 | 209 | 352 | (58) | 900 | |||||||||||||||||||||||||||||||||||||||
| Year Over Year Effects on Adjusted (non-GAAP) Operating Earnings: | |||||||||||||||||||||||||||||||||||||||||||||||
| ComEd, PECO, BGE and PHI: | |||||||||||||||||||||||||||||||||||||||||||||||
| Weather | 0.01 | — | (b) | 7 | — | (b) | (1) | (b) | — | — | 6 | ||||||||||||||||||||||||||||||||||||
| Load | 0.01 | — | (b) | 5 | — | (b) | 1 | (b) | — | — | 6 | ||||||||||||||||||||||||||||||||||||
| Other Energy Delivery (10) | 0.03 | 22 | (c) | (4) | (c) | 9 | (c) | — | (c) | — | — | 27 | |||||||||||||||||||||||||||||||||||
| Generation, Excluding Mark-to-Market: | |||||||||||||||||||||||||||||||||||||||||||||||
| Nuclear Volume (11) | (0.03) | — | — | — | — | (26) | — | (26) | |||||||||||||||||||||||||||||||||||||||
| Nuclear Fuel Cost (12) | 0.01 | — | — | — | — | 13 | — | 13 | |||||||||||||||||||||||||||||||||||||||
| Capacity Revenue (13) | 0.03 | — | — | — | — | 28 | — | 28 | |||||||||||||||||||||||||||||||||||||||
| Market and Portfolio Conditions (14) | (0.01) | — | — | — | — | (11) | — | (11) | |||||||||||||||||||||||||||||||||||||||
| Operating and Maintenance Expense: | |||||||||||||||||||||||||||||||||||||||||||||||
| Labor, Contracting and Materials (15) | 0.02 | (1) | (9) | 4 | (1) | 28 | — | 21 | |||||||||||||||||||||||||||||||||||||||
| Planned Nuclear Refueling Outages | — | — | — | — | — | 4 | — | 4 | |||||||||||||||||||||||||||||||||||||||
| Pension and Non-Pension Postretirement Benefits | 0.01 | (1) | 1 | — | 4 | 4 | (1) | 7 | |||||||||||||||||||||||||||||||||||||||
| Other Operating and Maintenance (16) | 0.02 | 16 | (12) | — | (5) | 29 | (5) | 23 | |||||||||||||||||||||||||||||||||||||||
| Depreciation and Amortization Expense (17) | (0.03) | (25) | (1) | (12) | (5) | 11 | 5 | (27) | |||||||||||||||||||||||||||||||||||||||
| Interest Expense, Net | (0.01) | (4) | (5) | (3) | (1) | 10 | (5) | (8) | |||||||||||||||||||||||||||||||||||||||
| Income Taxes (18) | 0.05 | (11) | 20 | 3 | 15 | 12 | 12 | 51 | |||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interests (19) | (0.01) | — | — | — | — | (6) | — | (6) | |||||||||||||||||||||||||||||||||||||||
| Other | 0.01 | 1 | (2) | (3) | 4 | 8 | 1 | 9 | |||||||||||||||||||||||||||||||||||||||
| Total Year Over Year Effects on Adjusted (non-GAAP) Operating Earnings | 0.12 | (3) | — | (2) | 11 | 104 | 7 | 117 | |||||||||||||||||||||||||||||||||||||||
| 2020 GAAP Net Income (Loss) | 0.51 | 196 | 138 | 53 | 216 | 49 | (151) | 501 | |||||||||||||||||||||||||||||||||||||||
| Mark-to-Market Impact of Economic Hedging Activities (net of taxes of $64, $2, and $62, respectively) | (0.19) | — | — | — | — | (192) | 9 | (183) | |||||||||||||||||||||||||||||||||||||||
| Unrealized Gains Related to NDT Fund Investments (net of taxes of $161) (1) | (0.18) | — | — | — | — | (172) | — | (172) | |||||||||||||||||||||||||||||||||||||||
| Asset Impairments (net of taxes of $126) (2) | 0.38 | — | — | — | — | 375 | — | 375 | |||||||||||||||||||||||||||||||||||||||
| Plant Retirements and Divestitures (net of taxes of $111) (3) | 0.34 | — | — | — | — | 329 | — | 329 | |||||||||||||||||||||||||||||||||||||||
| Cost Management Program (net of taxes of $0, $0, $1, $4, and $5, respectively) (4) | 0.02 | — | 1 | 1 | 1 | 12 | — | 15 | |||||||||||||||||||||||||||||||||||||||
| Change in Environmental Liabilities (net of taxes of $6) | 0.02 | — | — | — | — | 17 | — | 17 | |||||||||||||||||||||||||||||||||||||||
| COVID-19 Direct Costs (net of taxes of $1, $0, $2, and $3, respectively) (8) | 0.01 | — | 2 | — | 1 | 7 | — | 10 | |||||||||||||||||||||||||||||||||||||||
| Asset Retirement Obligation (net of taxes of $1) | — | — | — | — | 3 | — | — | 3 | |||||||||||||||||||||||||||||||||||||||
| Acquisition Related Costs (net of taxes of $1) (9) | — | — | — | — | — | 2 | — | 2 | |||||||||||||||||||||||||||||||||||||||
| Income Tax-Related Adjustments (entire amount represents tax expense) (6) | 0.06 | — | — | — | (1) | (28) | 91 | 62 | |||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interest (net of taxes of $12) (7) | 0.06 | — | — | — | — | 57 | — | 57 | |||||||||||||||||||||||||||||||||||||||
| 2020 Adjusted (non-GAAP) Operating Earnings (Loss) | $ | 1.04 | $ | 197 | $ | 141 | $ | 54 | $ | 220 | $ | 456 | $ | (51) | $ | 1,017 | |||||||||||||||||||||||||||||||
6
Note:
Amounts may not sum due to rounding.
Unless otherwise noted, the income tax impact of each reconciling item between GAAP Net Income and Adjusted (non-GAAP) Operating Earnings is based on the marginal statutory federal and state income tax rates for each Registrant, taking into account whether the income or expense item is taxable or deductible, respectively, in whole or in part. For all items except the unrealized gains and losses related to NDT fund investments, the marginal statutory income tax rates for 2020 and 2019 ranged from 26.0% to 29.0%. Under IRS regulations, NDT fund investment returns are taxed at different rates for investments if they are in qualified or non-qualified funds. The effective tax rates for the unrealized gains and losses related to NDT fund investments were 48.3% and 47.1% for the three months ended September 30, 2020 and 2019, respectively.
(a)Other primarily includes eliminating and consolidating adjustments, Exelon’s corporate operations, shared service entities, and other financing and investment activities.
(b)For ComEd, BGE, Pepco, and DPL Maryland, customer rates are adjusted to eliminate the impacts of weather and customer usage on distribution volumes.
(c)For regulatory recovery mechanisms, including ComEd’s distribution formula rate, ComEd, PECO, BGE, and PHI utilities transmission formula rates, and riders across all utilities, revenues increase and decrease i) as fully recoverable costs fluctuate (with no impact on net earnings), and ii) pursuant to changes in rate base, capital structure and ROE (which impact net earnings).
(1)Reflects the impact of net unrealized gains on Generation’s NDT fund investments for Non-Regulatory and Regulatory Agreement Units. The impacts of the Regulatory Agreement Units, including the associated income taxes, are contractually eliminated, resulting in no earnings impact.
(2)In 2019, primarily reflects the impairment of equity method investments in certain distributed energy companies. The impact of such impairment net of noncontrolling interest is $0.02. In 2020, primarily reflects an impairment in the New England asset group.
(3)In 2019, primarily reflects accelerated depreciation and amortization expenses associated with the early retirement of the TMI nuclear facility and certain fossil sites, a charge associated with a remeasurement of the TMI ARO, and the loss on sale of Oyster Creek to Holtec. In 2020, primarily reflects one-time charges and accelerated depreciation and amortization associated with Generation's decisions in the third quarter of 2020 to early retire Byron and Dresden nuclear facilities in 2021 and Mystic Units 8 and 9 in 2024.
(4)Primarily represents reorganization and severance costs related to cost management programs.
(5)In 2019, reflects a benefit related to Generation's annual nuclear ARO update for non-regulatory units.
(6)Primarily reflects the adjustment to deferred income taxes due to changes in forecasted apportionment.
(7)Represents elimination from Generation’s results of the noncontrolling interests related to certain exclusion items. In 2019, primarily related to the impact of the impairment of equity investments in distributed energy companies, partially offset by the impact of Generation's annual nuclear ARO update and unrealized gains on NDT fund investments for CENG units. In 2020, primarily related to unrealized gains and losses on NDT fund investments for CENG units.
(8)Represents direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
(9)Reflects costs related to the acquisition of Electricite de France SA's (EDF) interest in CENG.
(10)For ComEd, reflects increased electric distribution, transmission, and energy efficiency revenues (due to higher rate base and fully recoverable costs partially offset by lower electric distribution ROE due to decreased treasury rates). For BGE and PHI primarily reflects increased revenue as a result of rate increases. For PHI, the rate increases were offset by decreased revenue primarily due to the settlement agreement of ongoing transmission related income tax regulatory liabilities in the second quarter of 2020.
(11)Primarily reflects the permanent cease of generation operations at TMI in September 2019.
(12)Primarily reflects a decrease in fuel prices and decreased nuclear output as a result of the permanent cease of generation operations at TMI.
(13)Reflects increased capacity revenues in the Mid-Atlantic, Midwest, and New York, partially offset by decreased revenues in Other Power Regions.
(14)Primarily reflects reduction in load due to COVID-19, partially offset by higher portfolio optimization.
(15)For Generation, primarily reflects decreased costs related to the permanent cease of generation operations at TMI and decreased contracting costs.
(16)For ComEd, primarily reflects decreased storm costs as a result of the August 2020 storm costs being reclassified to a regulatory asset. For PECO and PHI, primarily reflects increased storm costs related to the August 2020 storm. For Generation, primarily reflects decreased travel costs as a result of COVID-19.
(17)Reflects ongoing capital expenditures across all utilities. For ComEd, also reflects increased amortization related to the August 2020 storm regulatory asset. For Generation, reflects a decrease primarily due to the extension of the Peach Bottom license.
(18)For PHI, primarily reflects the settlement agreement of ongoing transmission related income tax regulatory liabilities in the second quarter of 2020. For PECO, primarily reflects increased tax repairs primarily attributable to storms. For Generation, primarily reflects an increase in tax credits.
(19)Reflects elimination from Generation’s results of activity attributable to noncontrolling interests, primarily for CENG.
7
Exelon
Reconciliation of GAAP Net Income to Adjusted (non-GAAP) Operating Earnings and Analysis of Earnings
Nine Months Ended September 30, 2020 and 2019
(unaudited)
(in millions, except per share data)
| Exelon Earnings per Diluted Share | ComEd | PECO | BGE | PHI | Generation | Other (a) | Exelon | ||||||||||||||||||||||||||||||||||||||||
| 2019 GAAP Net Income (Loss) | $ | 2.22 | $ | 544 | $ | 410 | $ | 261 | $ | 412 | $ | 728 | $ | (191) | $ | 2,164 | |||||||||||||||||||||||||||||||
| Mark-to-Market Impact of Economic Hedging Activities (net of taxes of $26, $5, and $31, respectively) | 0.10 | — | — | — | — | 80 | 17 | 97 | |||||||||||||||||||||||||||||||||||||||
| Unrealized Gains Related to NDT Fund Investments (net of taxes of $167) (1) | (0.19) | — | — | — | — | (181) | — | (181) | |||||||||||||||||||||||||||||||||||||||
| Asset Impairments (net of taxes of $54) (2) | 0.12 | — | — | — | — | 119 | — | 119 | |||||||||||||||||||||||||||||||||||||||
| Plant Retirements and Divestitures (net of taxes of $8, $1, and $9, respectively) (3) | 0.12 | — | — | — | — | 115 | (1) | 114 | |||||||||||||||||||||||||||||||||||||||
| Cost Management Program (net of taxes of $1, $1, $1, $7, and $10, respectively) (4) | 0.03 | — | 2 | 2 | 4 | 23 | — | 31 | |||||||||||||||||||||||||||||||||||||||
| Litigation Settlement Gain (net of taxes of $7) | (0.02) | — | — | — | — | (19) | — | (19) | |||||||||||||||||||||||||||||||||||||||
| Asset Retirement Obligation (net of taxes of $9) (5) | (0.09) | — | — | — | — | (84) | — | (84) | |||||||||||||||||||||||||||||||||||||||
| Change in Environmental Liabilities (net of taxes of $5, $0, and $5, respectively) | 0.02 | — | — | — | 17 | 1 | — | 18 | |||||||||||||||||||||||||||||||||||||||
| Income Tax-Related Adjustments (entire amount represents tax expense) (6) | 0.01 | — | — | — | 1 | 9 | 3 | 13 | |||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interests (net of taxes of $18) (7) | 0.06 | — | — | — | — | 58 | — | 58 | |||||||||||||||||||||||||||||||||||||||
| 2019 Adjusted (non-GAAP) Operating Earnings (Loss) | 2.39 | 544 | 412 | 263 | 434 | 849 | (173) | 2,329 | |||||||||||||||||||||||||||||||||||||||
Year Over Year Effects on Adjusted (non-GAAP) Operating Earnings: | |||||||||||||||||||||||||||||||||||||||||||||||
| ComEd, PECO, BGE and PHI: | |||||||||||||||||||||||||||||||||||||||||||||||
| Weather | (0.03) | — | (b) | (19) | — | (b) | (7) | (b) | — | — | (26) | ||||||||||||||||||||||||||||||||||||
| Load | (0.01) | — | (b) | (4) | — | (b) | (5) | (b) | — | — | (9) | ||||||||||||||||||||||||||||||||||||
| Other Energy Delivery (11) | 0.04 | 49 | (c) | 3 | (c) | 22 | (c) | (39) | (c) | — | — | 35 | |||||||||||||||||||||||||||||||||||
| Generation, Excluding Mark-to-Market: | |||||||||||||||||||||||||||||||||||||||||||||||
| Nuclear Volume (12) | (0.12) | — | — | — | — | (117) | — | (117) | |||||||||||||||||||||||||||||||||||||||
| Nuclear Fuel Cost (13) | 0.05 | — | — | — | — | 44 | — | 44 | |||||||||||||||||||||||||||||||||||||||
| Capacity Revenue (14) | (0.15) | — | — | — | — | (142) | — | (142) | |||||||||||||||||||||||||||||||||||||||
| Zero Emission Credit Revenue (15) | 0.01 | — | — | — | — | 11 | — | 11 | |||||||||||||||||||||||||||||||||||||||
| Market and Portfolio Conditions (16) | (0.07) | — | — | — | — | (70) | — | (70) | |||||||||||||||||||||||||||||||||||||||
| Operating and Maintenance Expense: | |||||||||||||||||||||||||||||||||||||||||||||||
| Labor, Contracting and Materials (17) | 0.14 | 5 | (6) | 2 | (12) | 146 | — | 135 | |||||||||||||||||||||||||||||||||||||||
| Planned Nuclear Refueling Outages (18) | (0.05) | — | — | — | — | (47) | — | (47) | |||||||||||||||||||||||||||||||||||||||
| Pension and Non-Pension Postretirement Benefits | 0.02 | (4) | 1 | 1 | 6 | 11 | — | 15 | |||||||||||||||||||||||||||||||||||||||
| Other Operating and Maintenance (19) | 0.01 | 5 | (58) | 2 | (4) | 74 | (11) | 8 | |||||||||||||||||||||||||||||||||||||||
| Depreciation and Amortization Expense (20) | (0.07) | (53) | (9) | (27) | (17) | 31 | 8 | (67) | |||||||||||||||||||||||||||||||||||||||
| Interest Expense, Net (21) | (0.01) | (16) | (6) | (8) | (4) | 28 | (6) | (12) | |||||||||||||||||||||||||||||||||||||||
| Income Taxes (22) | 0.22 | (19) | 14 | 27 | 73 | 98 | 22 | 215 | |||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interests (23) | 0.07 | — | — | — | — | 66 | — | 66 | |||||||||||||||||||||||||||||||||||||||
| Other (24) | 0.04 | 3 | (2) | (3) | 4 | 38 | (5) | 35 | |||||||||||||||||||||||||||||||||||||||
| Total Year Over Year Effects on Adjusted (non-GAAP) Operating Earnings | 0.07 | (30) | (86) | 16 | (5) | 171 | 8 | 74 | |||||||||||||||||||||||||||||||||||||||
| 2020 GAAP Net Income (Loss) | 1.64 | 304 | 317 | 273 | 418 | 570 | (278) | 1,604 | |||||||||||||||||||||||||||||||||||||||
| Mark-to-Market Impact of Economic Hedging Activities (net of taxes of $117, $5, and $112, respectively) | (0.34) | — | — | — | — | (349) | 20 | (329) | |||||||||||||||||||||||||||||||||||||||
| Unrealized Losses Related to NDT Fund Investments (net of taxes of $31) (1) | 0.01 | — | — | — | — | 8 | — | 8 | |||||||||||||||||||||||||||||||||||||||
| Asset Impairments (net of taxes of $4, $130, and $134, respectively) (2) | 0.40 | 11 | — | — | — | 385 | — | 396 | |||||||||||||||||||||||||||||||||||||||
| Plant Retirements and Divestitures (net of taxes of $117) (3) | 0.36 | — | — | — | — | 348 | — | 348 | |||||||||||||||||||||||||||||||||||||||
| Cost Management Program (net of taxes of $1, $1, $2, $8, $1, and $11, respectively) (4) | 0.03 | — | 2 | 2 | 6 | 26 | (2) | 34 | |||||||||||||||||||||||||||||||||||||||
| Change in Environmental Liabilities (net of taxes of $6) | 0.02 | — | — | — | — | 18 | — | 18 | |||||||||||||||||||||||||||||||||||||||
| COVID-19 Direct Costs (net of taxes of $3, $1, $1, $8, and $13, respectively) (8) | 0.04 | — | 7 | 4 | 3 | 23 | — | 37 | |||||||||||||||||||||||||||||||||||||||
| Deferred Prosecution Agreement Payments (net of taxes of $0) (9) | 0.20 | 200 | — | — | — | — | — | 200 | |||||||||||||||||||||||||||||||||||||||
| Asset Retirement Obligation (net of taxes of $1) | — | — | — | — | 3 | — | — | 3 | |||||||||||||||||||||||||||||||||||||||
| Acquisition Related Costs (net of tax of $1) (10) | — | — | — | — | — | 2 | — | 2 | |||||||||||||||||||||||||||||||||||||||
| Income Tax-Related Adjustments (entire amount represents tax expense) (6) | 0.07 | — | — | — | (1) | (28) | 95 | 66 | |||||||||||||||||||||||||||||||||||||||
| Noncontrolling Interests (net of taxes of $2) (7) | 0.02 | — | — | — | — | 17 | — | 17 | |||||||||||||||||||||||||||||||||||||||
| 2020 Adjusted (non-GAAP) Operating Earnings (Loss) | $ | 2.46 | $ | 514 | $ | 326 | $ | 279 | $ | 429 | $ | 1,020 | $ | (165) | $ | 2,403 | |||||||||||||||||||||||||||||||
8
Note:
Amounts may not sum due to rounding.
Unless otherwise noted, the income tax impact of each reconciling item between GAAP Net Income and Adjusted (non-GAAP) Operating Earnings is based on the marginal statutory federal and state income tax rates for each Registrant, taking into account whether the income or expense item is taxable or deductible, respectively, in whole or in part. For all items except the unrealized gains and losses related to NDT fund investments, the marginal statutory income tax rates for 2020 and 2019 ranged from 26.0% to 29.0%. Under IRS regulations, NDT fund investment returns are taxed at different rates for investments if they are in qualified or non-qualified funds. The effective tax rates for the unrealized gains and losses related to NDT fund investments were 134.1% and 48.1% for the nine months ended September 30, 2020 and 2019, respectively.
(a)Other primarily includes eliminating and consolidating adjustments, Exelon’s corporate operations, shared service entities, and other financing and investment activities.
(b)For ComEd, BGE, Pepco, and DPL Maryland, customer rates are adjusted to eliminate the impacts of weather and customer usage on distribution volumes.
(c)For regulatory recovery mechanisms, including ComEd’s distribution formula rate, ComEd, PECO, BGE, and PHI utilities transmission formula rates, and riders across all utilities, revenues increase and decrease i) as fully recoverable costs fluctuate (with no impact on net earnings), and ii) pursuant to changes in rate base, capital structure and ROE (which impact net earnings).
(1)Reflects the impact of net unrealized gains and losses on Generation’s NDT fund investments for Non-Regulatory and Regulatory Agreement Units. The impacts of the Regulatory Agreement Units, including the associated income taxes, are contractually eliminated, resulting in no earnings impact.
(2)In 2019, primarily reflects the impairment of equity method investments in certain distributed energy companies. The impact of such impairment net of noncontrolling interest is $0.02. In 2020, reflects an impairment at ComEd in the second quarter of 2020 related to the acquisition of transmission assets and an impairment in the New England asset group in the third quarter of 2020.
(3)In 2019, primarily reflects accelerated depreciation and amortization expenses associated with the early retirement of the TMI nuclear facility and certain fossil sites and the loss on the sale of Oyster Creek to Holtec, partially offset by net realized gains related to Oyster Creek's NDT fund investments, a net benefit associated with remeasurements of the TMI ARO, and a gain on the sale of certain wind assets. In 2020, primarily reflects one-time charges and accelerated depreciation and amortization associated with Generation's decisions in the third quarter of 2020 to early retire Byron and Dresden nuclear facilities in 2021 and Mystic Units 8 and 9 in 2024.
(4)Primarily represents reorganization and severance costs related to cost management programs.
(5)In 2019, reflects a benefit related to Generation's annual nuclear ARO update for non-regulatory units.
(6)Primarily reflects the adjustment to deferred income taxes due to changes in forecasted apportionment.
(7)Represents elimination from Generation’s results of the noncontrolling interests related to certain exclusion items. In 2019, primarily related to the impact of unrealized gains on NDT fund investments and the impact of the Generation's annual nuclear ARO update for CENG units, partially offset by the impairment of certain equity investments in distributed energy companies. In 2020, primarily related to unrealized gains and losses on NDT fund investments for CENG units.
(8)Represents direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
(9)Reflects the payments that ComEd will make under the Deferred Prosecution Agreement, which ComEd entered into on July 17, 2020 with the U.S. Attorney’s Office for the Northern District of Illinois.
(10)Reflects costs related to the acquisition of Electricite de France SA's (EDF) interest in CENG.
(11)For ComEd, reflects increased electric distribution and energy efficiency revenues (due to higher rate base and higher fully recoverable costs, partially offset by lower electric distribution ROE due to decreased treasury rates). For BGE, reflects rate increases partially offset by decreased revenue primarily due to the settlement agreement of ongoing transmission related income tax regulatory liabilities in the second quarter of 2020. For PHI, reflects decreased revenue primarily due to the settlement agreement of ongoing transmission related income tax regulatory liabilities in the second quarter of 2020 partially offset by rate increases.
(12)Primarily reflects the permanent cease of generation operations at TMI in September 2019 and an increase in nuclear outage days.
(13)Primarily reflects a decrease in fuel prices and decreased nuclear output as a result of the permanent cease of generation operations at TMI.
(14)Reflects decreased capacity revenues in the Mid-Atlantic, Midwest, and Other Power Regions, partially offset by increased revenues in New York.
(15)Primarily reflects the approval of the New Jersey ZEC Program in the second quarter of 2019.
(16)Primarily reflects reduction in load due to mild weather in the first quarter of 2020 and COVID-19, partially offset by higher portfolio optimization.
(17)For Generation, primarily reflects decreased costs related to the permanent cease of generation operations at TMI, lower labor costs resulting from previous cost management programs, and lower contracting costs.
(18)Primarily reflects an increase in the number of nuclear outage days in 2020, excluding Salem.
(19)For ComEd, primarily reflects decreased storm costs as a result of the August 2020 storm costs being reclassified to a regulatory asset. For PECO, primarily reflects increased storm costs primarily related to the June and August 2020 storms and an increase in credit loss expense. For PHI, primarily reflects increased storm costs primarily related to the August 2020 storms and an increase in credit loss expense, partially offset by decreases in various expenses. For Generation, primarily reflects decreased travel costs as a result of COVID-19 and a decrease in planned nuclear outage days at Salem in 2020 partially offset by increase in credit loss expense that includes the impacts of COVID-19.
(20)Reflects ongoing capital expenditures across all utilities. For ComEd, also reflects increased amortization of deferred energy efficiency costs pursuant to FEJA and increased amortization related to the August 2020 storm regulatory asset. For Generation, reflects a decrease primarily due to the extension of the Peach Bottom license.
(21)For Generation, includes an interest benefit related to a one-time income tax settlement.
(22)For PECO, primarily reflects increased tax repairs primarily attributable to storms. For BGE and PHI, reflects the settlement agreement of ongoing transmission related income tax regulatory liabilities in the second quarter of 2020. For Generation, primarily reflects one-time income tax settlements and an increase in tax credits.
(23)Reflects elimination from Generation’s results of activity attributable to noncontrolling interests, primarily for CENG.
(24)For Generation, primarily reflects higher realized NDT fund gains.
9
Exelon
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions, except per share data)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 8,853 | $ | (37) | (b) | $ | 8,929 | $ | (77) | (b) | |||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
| Purchased power and fuel | 3,614 | 194 | (b),(c) | 3,952 | (63) | (b),(c) | |||||||||||||||||||||||||||||
| Operating and maintenance | 2,732 | (718) | (c),(d),(e),(f),(g),(h),(i) | 2,072 | 18 | (c),(d),(e),(f),(i) | |||||||||||||||||||||||||||||
| Depreciation and amortization | 1,289 | (262) | (c) | 1,083 | (96) | (c) | |||||||||||||||||||||||||||||
| Taxes other than income taxes | 452 | — | 452 | — | |||||||||||||||||||||||||||||||
| Total operating expenses | 8,087 | 7,559 | |||||||||||||||||||||||||||||||||
| Gain (loss) on sales of assets and businesses | 3 | — | (17) | 18 | (c) | ||||||||||||||||||||||||||||||
| Operating income | 769 | 1,353 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
| Interest expense, net | (404) | 8 | (b) | (409) | 14 | (b) | |||||||||||||||||||||||||||||
| Other, net | 421 | (333) | (j) | 158 | (75) | (c),(j) | |||||||||||||||||||||||||||||
| Total other income and (deductions) | 17 | (251) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 786 | 1,102 | |||||||||||||||||||||||||||||||||
| Income taxes | 216 | (34) | (b),(c),(d),(e),(f),(g),(h),(i),(j),(k) | 172 | 33 | (b),(c),(d),(e),(f),(i),(j),(k) | |||||||||||||||||||||||||||||
| Equity in losses of unconsolidated affiliates | (1) | — | (170) | 164 | (f) | ||||||||||||||||||||||||||||||
| Net income | 569 | 760 | |||||||||||||||||||||||||||||||||
| Net income (loss) attributable to noncontrolling interests | 68 | (57) | (l) | (12) | 24 | (l) | |||||||||||||||||||||||||||||
| Net income attributable to common shareholders | $ | 501 | $ | 772 | |||||||||||||||||||||||||||||||
Effective tax rate(m) | 27.5 | % | 15.6 | % | |||||||||||||||||||||||||||||||
| Earnings per average common share | |||||||||||||||||||||||||||||||||||
| Basic | $ | 0.51 | $ | 0.79 | |||||||||||||||||||||||||||||||
| Diluted | $ | 0.51 | $ | 0.79 | |||||||||||||||||||||||||||||||
| Average common shares outstanding | |||||||||||||||||||||||||||||||||||
| Basic | 976 | 973 | |||||||||||||||||||||||||||||||||
| Diluted | 977 | 974 | |||||||||||||||||||||||||||||||||
__________
(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 economic hedging activities, net of intercompany eliminations.
(c)In 2020, adjustment to exclude primarily one-time charges and accelerated depreciation and amortization associated with Generation's decisions in the third quarter of 2020 to early retire Byron and Dresden nuclear facilities in 2021 and Mystic Units 8 and 9 in 2024. In 2019, adjustment to exclude primarily accelerated depreciation and amortization expenses associated with the early retirement of TMI nuclear facility and certain fossil sites, a charge associated with a remeasurement of TMI ARO, and the loss on sale of Oyster Creek to Holtec.
(d)Adjustment to exclude reorganization and severance costs related to cost management programs.
(e)Adjustment to exclude changes in environmental liabilities.
(f)In 2020, adjustment to exclude primarily an impairment in the New England asset group. In 2019, adjustment to exclude primarily the impairment of equity method investments in certain distributed energy companies.
(g)Adjustment to exclude direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
(h)Adjustment to exclude costs related to the acquisition of Electricite de France SA's (EDF) interest in CENG.
(i)In 2020, adjustment to exclude ARO updates. In 2019, reflects a benefit related to Generation's annual nuclear ARO update for non-regulatory units.
(j)Adjustment to exclude the impact of net unrealized gains on Generation’s NDT fund investments for Non-Regulatory and Regulatory Agreement Units. The impacts of the Regulatory Agreement Units, including the associated income taxes, are contractually eliminated, resulting in no earnings impact.
(k)Adjustment to exclude primarily adjustments to deferred income taxes due to changes in forecasted apportionment.
(l)Adjustment to exclude elimination from Generation’s results of the noncontrolling interests related to certain exclusion items. In 2020, primarily related to unrealized gains and losses on NDT fund investments for CENG units. In 2019, primarily related to the impact of the impairment of equity investments in distributed energy companies, partially offset by the impact of Generation's annual nuclear ARO update and unrealized gains on NDT fund investments for CENG units.
(m)The effective tax rate related to Adjusted (non-GAAP) Operating Earnings is 15.0% and 18.3% for the three months ended September 30, 2020 and 2019, respectively.
10
Exelon
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions, except per share data)
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 24,925 | $ | (238) | (b) | $ | 26,096 | $ | (64) | (b) | |||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 10,406 | 210 | (b),(c) | 11,731 | (160) | (b),(c) | |||||||||||||||||||||||||||||
Operating and maintenance | 7,370 | (1,023) | (c),(d),(e),(f),(g),(h),(i),(j) | 6,419 | 70 | (c),(d),(e),(f),(j),(n) | |||||||||||||||||||||||||||||
Depreciation and amortization | 3,312 | (275) | (c) | 3,237 | (294) | (c) | |||||||||||||||||||||||||||||
Taxes other than income taxes | 1,299 | — | 1,316 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 22,387 | 22,703 | |||||||||||||||||||||||||||||||||
| Gain on sales of assets and businesses | 16 | (4) | (b),(c) | 19 | (15) | (c) | |||||||||||||||||||||||||||||
| Operating income | 2,554 | 3,412 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (1,241) | 48 | (b) | (1,221) | 42 | (b) | |||||||||||||||||||||||||||||
Other, net | 352 | (22) | (k) | 837 | (501) | (b),(c),(k) | |||||||||||||||||||||||||||||
| Total other income and (deductions) | (889) | (384) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 1,665 | 3,028 | |||||||||||||||||||||||||||||||||
| Income taxes | 141 | 87 | (b),(c),(d),(e),(f),(g),(i),(k),(l) | 626 | (98) | (b),(c),(d),(e),(f),(j),(k),(l),(n) | |||||||||||||||||||||||||||||
| Equity in losses of unconsolidated affiliates | (5) | — | (182) | 164 | (f) | ||||||||||||||||||||||||||||||
| Net income | 1,519 | 2,220 | |||||||||||||||||||||||||||||||||
| Net (loss) income attributable to noncontrolling interests | (85) | (15) | (m) | 56 | (58) | (m) | |||||||||||||||||||||||||||||
| Net income attributable to common shareholders | $ | 1,604 | $ | 2,164 | |||||||||||||||||||||||||||||||
Effective tax rate(o) | 8.5 | % | 20.7 | % | |||||||||||||||||||||||||||||||
| Earnings per average common share | |||||||||||||||||||||||||||||||||||
| Basic | $ | 1.64 | $ | 2.23 | |||||||||||||||||||||||||||||||
| Diluted | $ | 1.64 | $ | 2.22 | |||||||||||||||||||||||||||||||
| Average common shares outstanding | |||||||||||||||||||||||||||||||||||
| Basic | 976 | 972 | |||||||||||||||||||||||||||||||||
| Diluted | 976 | 973 | |||||||||||||||||||||||||||||||||
__________
(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 economic hedging activities, net of intercompany eliminations.
(c)In 2020, adjustment to exclude primarily one-time charges and accelerated depreciation and amortization associated with Generation's decisions in the third quarter of 2020 to early retire Byron and Dresden nuclear facilities in 2021 and Mystic Units 8 and 9 in 2024. In 2019, adjustment to exclude primarily accelerated depreciation and amortization expenses associated with the early retirement of TMI nuclear facility and certain fossil sites and the loss on the sale of Oyster Creek to Holtec, partially offset by net realized gains related to Oyster Creek's NDT fund investments, a net benefit associated with remeasurements of TMI ARO, and a gain on the sale of certain wind assets.
(d)Adjustment to exclude reorganization and severance costs related to cost management programs.
(e)Adjustment to exclude changes in environmental liabilities.
(f)In 2020, adjustment to exclude an impairment at ComEd in the second quarter of 2020 related to the acquisition of transmission assets and an impairment in the New England asset group in the third quarter of 2020. In 2019, adjustment to exclude the impairment of equity method investments in certain distributed energy companies.
(g)Adjustment to exclude direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
(h)Adjustment to exclude the payments that ComEd will make under the Deferred Prosecution Agreement, which ComEd entered into on July 17, 2020 with the U.S. Attorney’s Office for the Northern District of Illinois.
(i)Adjustment to exclude costs related to the acquisition of Electricite de France SA's (EDF) interest in CENG.
(j)In 2020, adjustment to exclude various ARO updates. In 2019, reflects a benefit related to Generation's annual nuclear ARO update for non-regulatory units.
(k)Adjustment to exclude the impact of net unrealized gains on Generation’s NDT fund investments for Non-Regulatory and Regulatory Agreement Units. The impacts of the Regulatory Agreement Units, including the associated income taxes, are contractually eliminated, resulting in no earnings impact.
(l)Adjustment to exclude primarily adjustments to deferred income taxes due to changes in forecasted apportionment.
(m)Adjustment to exclude elimination from Generation’s results of the noncontrolling interests related to certain exclusion items. In 2020, primarily related to unrealized gains and losses on NDT fund investments for CENG units. In 2019, primarily related to the impact of unrealized gains on NDT
11
fund investments and the impact of the Generation's annual nuclear ARO update for CENG units, partially offset by the impairment of certain equity investments in distributed energy companies.
(n)Adjustment to exclude litigation settlement gain.
(o)The effective tax rate related to Adjusted (non-GAAP) Operating Earnings is 9.0% and 18.4% for the nine months ended September 30, 2020 and 2019, respectively.
12
ComEd
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 1,643 | $ | — | $ | 1,583 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 606 | — | 577 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 321 | — | 340 | — | |||||||||||||||||||||||||||||||
Depreciation and amortization | 294 | — | 259 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 81 | — | 80 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 1,302 | 1,256 | |||||||||||||||||||||||||||||||||
| Gain of sale of assets | — | — | 1 | — | |||||||||||||||||||||||||||||||
| Operating income | 341 | 328 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (95) | — | (91) | — | |||||||||||||||||||||||||||||||
Other, net | 10 | — | 8 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (85) | (83) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 256 | 245 | |||||||||||||||||||||||||||||||||
| Income taxes | 60 | — | 45 | — | |||||||||||||||||||||||||||||||
| Net income | $ | 196 | $ | 200 | |||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 4,499 | $ | — | $ | 4,342 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 1,557 | — | 1,469 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 1,173 | (215) | (b),(c) | 967 | — | ||||||||||||||||||||||||||||||
Depreciation and amortization | 841 | — | 767 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 227 | — | 228 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 3,798 | 3,431 | |||||||||||||||||||||||||||||||||
| Gain on sales of assets | — | — | 4 | — | |||||||||||||||||||||||||||||||
| Operating income | 701 | 915 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (287) | — | (268) | — | |||||||||||||||||||||||||||||||
Other, net | 32 | — | 27 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (255) | (241) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 446 | 674 | |||||||||||||||||||||||||||||||||
| Income taxes | 142 | 4 | (b) | 130 | — | ||||||||||||||||||||||||||||||
| Net income | $ | 304 | $ | 544 | |||||||||||||||||||||||||||||||
__________
(a)Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)Adjustment to exclude an impairment related to the acquisition of transmission assets.
(c)Adjustment to exclude the payments that ComEd will make under the Deferred Prosecution Agreement, which ComEd entered into on July 17, 2020 with the U.S. Attorney’s Office for the Northern District of Illinois.
13
PECO
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 813 | $ | — | $ | 778 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 269 | — | 246 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 251 | (4) | (b) | 219 | (1) | (b) | |||||||||||||||||||||||||||||
Depreciation and amortization | 85 | — | 83 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 53 | — | 47 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 658 | 595 | |||||||||||||||||||||||||||||||||
| Operating income | 155 | 183 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (39) | — | (33) | — | |||||||||||||||||||||||||||||||
Other, net | 6 | — | 4 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (33) | (29) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 122 | 154 | |||||||||||||||||||||||||||||||||
| Income taxes | (16) | 1 | (b) | 14 | — | ||||||||||||||||||||||||||||||
| Net income | $ | 138 | $ | 140 | |||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 2,306 | $ | — | $ | 2,333 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 768 | — | 767 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 742 | (13) | (b) | 643 | (3) | (b) | |||||||||||||||||||||||||||||
Depreciation and amortization | 259 | — | 247 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 131 | — | 126 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 1,900 | 1,783 | |||||||||||||||||||||||||||||||||
| Operating income | 406 | 550 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (108) | — | (100) | — | |||||||||||||||||||||||||||||||
Other, net | 12 | — | 11 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (96) | (89) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 310 | 461 | |||||||||||||||||||||||||||||||||
| Income taxes | (7) | 4 | (b) | 51 | 1 | (b) | |||||||||||||||||||||||||||||
| Net income | $ | 317 | $ | 410 | |||||||||||||||||||||||||||||||
__________
(a)Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)Adjustment to exclude reorganization costs related to cost management programs and direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
14
BGE
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 731 | $ | — | $ | 703 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 250 | — | 235 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 191 | (1) | (b),(c) | 196 | (1) | (b) | |||||||||||||||||||||||||||||
Depreciation and amortization | 133 | — | 116 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 68 | — | 65 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 642 | 612 | |||||||||||||||||||||||||||||||||
| Operating income | 89 | 91 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (34) | — | (31) | — | |||||||||||||||||||||||||||||||
Other, net | 6 | — | 7 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (28) | (24) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 61 | 67 | |||||||||||||||||||||||||||||||||
| Income taxes | 8 | — | 12 | — | |||||||||||||||||||||||||||||||
| Net income | $ | 53 | $ | 55 | |||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 2,284 | $ | — | $ | 2,327 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 731 | — | 804 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 567 | (8) | (b),(c) | 569 | (3) | (b) | |||||||||||||||||||||||||||||
Depreciation and amortization | 405 | — | 368 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 200 | — | 195 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 1,903 | 1,936 | |||||||||||||||||||||||||||||||||
| Operating income | 381 | 391 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (99) | — | (89) | — | |||||||||||||||||||||||||||||||
Other, net | 17 | — | 18 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (82) | (71) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 299 | 320 | |||||||||||||||||||||||||||||||||
| Income taxes | 26 | 2 | (b),(c) | 59 | 1 | (b) | |||||||||||||||||||||||||||||
| Net income | $ | 273 | $ | 261 | |||||||||||||||||||||||||||||||
__________
(a)Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)Adjustment to exclude reorganization costs related to cost management programs.
(c)Adjustment to exclude direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
15
PHI
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 1,368 | $ | — | $ | 1,380 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 506 | — | 519 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 275 | (7) | (b),(c),(d) | 290 | (25) | (e) | |||||||||||||||||||||||||||||
Depreciation and amortization | 200 | — | 193 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 121 | — | 122 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 1,102 | 1,124 | |||||||||||||||||||||||||||||||||
| Operating income | 266 | 256 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (67) | — | (66) | — | |||||||||||||||||||||||||||||||
Other, net | 16 | — | 13 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (51) | (53) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 215 | 203 | |||||||||||||||||||||||||||||||||
| Income taxes | (1) | 3 | (b),(c),(d),(f) | 14 | 5 | (e),(f) | |||||||||||||||||||||||||||||
| Net income | $ | 216 | $ | 189 | |||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 3,554 | $ | — | $ | 3,700 | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 1,316 | — | 1,391 | — | |||||||||||||||||||||||||||||||
Operating and maintenance | 813 | (17) | (b),(c),(d) | 811 | (28) | (e) | |||||||||||||||||||||||||||||
Depreciation and amortization | 585 | — | 562 | — | |||||||||||||||||||||||||||||||
Taxes other than income taxes | 343 | — | 342 | — | |||||||||||||||||||||||||||||||
Total operating expenses | 3,057 | 3,106 | |||||||||||||||||||||||||||||||||
| Gain on sales of assets | 2 | — | — | — | |||||||||||||||||||||||||||||||
| Operating income | 499 | 594 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (201) | — | (197) | — | |||||||||||||||||||||||||||||||
Other, net | 42 | — | 39 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (159) | (158) | |||||||||||||||||||||||||||||||||
| Income before income taxes | 340 | 436 | |||||||||||||||||||||||||||||||||
| Income taxes | (77) | 6 | (b),(c),(d),(f) | 25 | 6 | (e),(f) | |||||||||||||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | 1 | 1 | |||||||||||||||||||||||||||||||||
| Net income | $ | 418 | $ | 412 | |||||||||||||||||||||||||||||||
__________
(a)Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(b)Adjustment to exclude reorganization and severance costs related to cost management programs.
(c)Adjustment to exclude direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
(d)Adjustment to exclude an ARO update.
(e)Adjustment to exclude an increase at Pepco related primarily to an increase in environmental liabilities.
(f)Adjustment to exclude deferred income taxes due to changes in forecasted apportionment.
16
Generation
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 4,659 | $ | (37) | (b) | $ | 4,774 | $ | (77) | (b) | |||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
Purchased power and fuel | 2,314 | 194 | (b),(c) | 2,651 | (63) | (b),(c) | |||||||||||||||||||||||||||||
Operating and maintenance | 1,737 | (706) | (c),(d),(e),(f),(g),(h),(i) | 1,087 | 33 | (c),(d),(f),(g),(h) | |||||||||||||||||||||||||||||
Depreciation and amortization | 558 | (262) | (c) | 407 | (96) | (c) | |||||||||||||||||||||||||||||
Taxes other than income | 118 | — | 129 | — | |||||||||||||||||||||||||||||||
| Total operating expenses | 4,727 | 4,274 | |||||||||||||||||||||||||||||||||
| Loss on sales of assets and businesses | — | — | (18) | 18 | (c) | ||||||||||||||||||||||||||||||
| Operating income | (68) | 482 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
Interest expense, net | (80) | (2) | (b) | (109) | 4 | (b) | |||||||||||||||||||||||||||||
Other, net | 367 | (333) | (j) | 128 | (75) | (c),(j) | |||||||||||||||||||||||||||||
| Total other income and (deductions) | 287 | 19 | |||||||||||||||||||||||||||||||||
| Income before income taxes | 219 | 501 | |||||||||||||||||||||||||||||||||
| Income taxes | 100 | 52 | (b),(c),(d),(e),(f),(h),(i),(j),(k) | 87 | 41 | (b),(c),(d),(f),(g),(k),(j) | |||||||||||||||||||||||||||||
| Equity in losses of unconsolidated affiliates | (2) | — | (170) | 164 | (f) | ||||||||||||||||||||||||||||||
| Net income | 117 | 244 | |||||||||||||||||||||||||||||||||
| Net income (loss) attributable to noncontrolling interests | 68 | (57) | (l) | (13) | 24 | (l) | |||||||||||||||||||||||||||||
| Net income attributable to membership interest | $ | 49 | $ | 257 | |||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (a) | Non-GAAP Adjustments | GAAP (a) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | 13,272 | $ | (238) | (b) | $ | 14,280 | $ | (64) | (b) | |||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
| Purchased power and fuel | 6,961 | 210 | (b),(c) | 8,148 | (160) | (b),(c) | |||||||||||||||||||||||||||||
| Operating and maintenance | 4,188 | (773) | (c),(d),(e),(f),(g),(h),(i) | 3,570 | 92 | (c),(d),(f),(g),(h),(m) | |||||||||||||||||||||||||||||
| Depreciation and amortization | 1,161 | (275) | (c) | 1,221 | (294) | (c) | |||||||||||||||||||||||||||||
| Taxes other than income taxes | 364 | — | 394 | — | |||||||||||||||||||||||||||||||
| Total operating expenses | 12,674 | 13,333 | |||||||||||||||||||||||||||||||||
| Gain on sales of assets and businesses | 12 | (4) | (b),(c) | 15 | (15) | (c) | |||||||||||||||||||||||||||||
| Operating income | 610 | 962 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
| Interest expense, net | (277) | 10 | (b) | (336) | 20 | (b) | |||||||||||||||||||||||||||||
| Other, net | 199 | (22) | (j) | 729 | (501) | (b),(c) | |||||||||||||||||||||||||||||
| Total other income and (deductions) | (78) | 393 | |||||||||||||||||||||||||||||||||
| Income before income taxes | 532 | 1,355 | |||||||||||||||||||||||||||||||||
| Income taxes | 41 | 149 | (b),(c),(d),(e),(f),(h),(i),(j),(k) | 388 | (97) | (b),(c),(d),(f),(g),(j),(k),(m) | |||||||||||||||||||||||||||||
| Equity in losses of unconsolidated affiliates | (6) | — | (183) | 164 | (f) | ||||||||||||||||||||||||||||||
| Net income | 485 | 784 | |||||||||||||||||||||||||||||||||
| Net (loss) income attributable to noncontrolling interests | (85) | (15) | (l) | 56 | (58) | (l) | |||||||||||||||||||||||||||||
| Net income attributable to membership interest | $ | 570 | $ | 728 | |||||||||||||||||||||||||||||||
__________
(a)Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
17
(b)Adjustment to exclude the mark-to-market impact of Exelon’s economic hedging activities, net of intercompany eliminations.
(c)In 2020, adjustment to exclude primarily one-time charges and accelerated depreciation and amortization associated with Generation's decisions in the third quarter of 2020 to early retire Byron and Dresden nuclear facilities in 2021 and Mystic Units 8 and 9 in 2024. In 2019, adjustment to exclude primarily accelerated depreciation and amortization expenses associated with the early retirement of TMI, a charge associated with a remeasurement of the TMI ARO, and the loss on sale of Oyster Creek to Holtec. For the nine months ended September 30, 2019, adjustment to also exclude net realized gains related to Oyster Creek's NDT fund investments.
(d)Adjustment to exclude reorganization and severance costs related to cost management programs.
(e)Adjustment to exclude costs related to the acquisition of Electricite de France SA's (EDF) interest in CENG.
(f)In 2020, adjustment to exclude primarily an impairment in the New England asset group. In 2019, adjustment to exclude primarily the impairment of equity method investments in certain distributed energy companies.
(g)In 2019, reflects a benefit related to Generation's annual nuclear ARO update for non-regulatory units.
(h)Adjustment to exclude changes in environmental liabilities.
(i)Adjustment to exclude direct costs related to COVID-19 consisting primarily of costs to acquire personal protective equipment, costs for cleaning supplies and services, and costs to hire healthcare professionals to monitor the health of employees.
(j)Adjustment to exclude the impact of net unrealized gains on Generation’s NDT fund investments for Non-Regulatory and Regulatory Agreement Units. The impacts of the Regulatory Agreement Units, including the associated income taxes, are contractually eliminated, resulting in no earnings impact.
(k)Adjustment to exclude primarily adjustments to deferred income taxes due to changes in forecasted apportionment.
(l)Adjustment to exclude elimination from Generation’s results of the noncontrolling interests related to certain exclusion items. In 2020, primarily related to unrealized gains and losses on NDT fund investments for CENG units. In 2019, primarily related to the impact of the impairment of equity investments in distributed energy companies, partially offset by the impact of Generation's annual nuclear ARO update and unrealized gains on NDT fund investments for CENG units.
(m)Adjustment to exclude litigation settlement gain.
18
Other (a)
GAAP Consolidated Statements of Operations and
Adjusted (non-GAAP) Operating Earnings Reconciling Adjustments
(unaudited)
(in millions)
| Three Months Ended September 30, 2020 | Three Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (b) | Non-GAAP Adjustments | GAAP (b) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | (361) | $ | — | $ | (289) | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
| Purchased power and fuel | (331) | — | (276) | — | |||||||||||||||||||||||||||||||
| Operating and maintenance | (43) | — | (60) | 12 | (e) | ||||||||||||||||||||||||||||||
| Depreciation and amortization | 19 | — | 25 | — | |||||||||||||||||||||||||||||||
| Taxes other than income taxes | 11 | — | 9 | — | |||||||||||||||||||||||||||||||
| Total operating expenses | (344) | (302) | |||||||||||||||||||||||||||||||||
| Gain on sales of assets and businesses | 3 | — | — | — | |||||||||||||||||||||||||||||||
| Operating (loss) income | (14) | 13 | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
| Interest expense, net | (89) | 10 | (d) | (79) | 10 | (d) | |||||||||||||||||||||||||||||
| Other, net | 16 | — | (2) | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (73) | (81) | |||||||||||||||||||||||||||||||||
| Loss before income taxes | (87) | (68) | |||||||||||||||||||||||||||||||||
| Income taxes | 65 | (90) | (d),(e) | — | (13) | (d),(e) | |||||||||||||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | 1 | — | — | — | |||||||||||||||||||||||||||||||
| Net loss | (151) | (68) | |||||||||||||||||||||||||||||||||
| Net income attributable to noncontrolling interests | — | 1 | |||||||||||||||||||||||||||||||||
| Net loss attributable to common shareholders | $ | (151) | $ | (69) | |||||||||||||||||||||||||||||||
| Nine Months Ended September 30, 2020 | Nine Months Ended September 30, 2019 | ||||||||||||||||||||||||||||||||||
| GAAP (b) | Non-GAAP Adjustments | GAAP (b) | Non-GAAP Adjustments | ||||||||||||||||||||||||||||||||
| Operating revenues | $ | (990) | $ | — | $ | (886) | $ | — | |||||||||||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||||||||||||||
| Purchased power and fuel | (927) | — | (848) | — | |||||||||||||||||||||||||||||||
| Operating and maintenance | (113) | 3 | (c) | (141) | 12 | (e) | |||||||||||||||||||||||||||||
| Depreciation and amortization | 61 | — | 72 | — | |||||||||||||||||||||||||||||||
| Taxes other than income taxes | 34 | — | 31 | — | |||||||||||||||||||||||||||||||
| Total operating expenses | (945) | (886) | |||||||||||||||||||||||||||||||||
| Loss on sales of assets | 2 | — | — | — | |||||||||||||||||||||||||||||||
| Operating loss | (43) | — | |||||||||||||||||||||||||||||||||
| Other income and (deductions) | |||||||||||||||||||||||||||||||||||
| Interest expense, net | (269) | 38 | (d),(e) | (231) | 22 | (d) | |||||||||||||||||||||||||||||
| Other, net | 50 | — | 13 | — | |||||||||||||||||||||||||||||||
| Total other income and (deductions) | (219) | (218) | |||||||||||||||||||||||||||||||||
| Loss before income taxes | (262) | (218) | |||||||||||||||||||||||||||||||||
| Income taxes | 16 | (78) | (c),(d),(e) | (27) | (9) | (d),(e) | |||||||||||||||||||||||||||||
| Net loss | (278) | (191) | |||||||||||||||||||||||||||||||||
| Net loss attributable to common shareholders | $ | (278) | $ | (191) | |||||||||||||||||||||||||||||||
__________
(a)Other primarily includes eliminating and consolidating adjustments, Exelon’s corporate operations, shared service entities, and other financing and investment activities.
(b)Results reported in accordance with accounting principles generally accepted in the United States (GAAP).
(c)Adjustment to exclude reorganization costs related to cost management programs.
(d)Adjustment to exclude the mark-to-market impact of Exelon’s economic hedging activities, net of intercompany eliminations.
(e)Adjustment to exclude primarily deferred income taxes due to changes in forecasted apportionment.
19
ComEd Statistics
Three Months Ended September 30, 2020 and 2019
| Electric Deliveries (in GWhs) | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather - Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
Rate-Regulated Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 9,022 | 8,453 | 6.7 | % | (2.8) | % | $ | 920 | $ | 865 | 6.4 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 7,809 | 8,453 | (7.6) | % | (9.5) | % | 379 | 393 | (3.6) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 6,949 | 7,437 | (6.6) | % | (8.0) | % | 135 | 141 | (4.3) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 235 | 279 | (15.8) | % | (15.9) | % | 10 | 12 | (16.7) | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 234 | 222 | 5.4 | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 24,015 | 24,622 | (2.5) | % | (6.9) | % | 1,678 | 1,633 | 2.8 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (35) | (50) | (30.0) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | $ | 1,643 | $ | 1,583 | 3.8 | % | |||||||||||||||||||||||||||||||||||
| Purchased Power | $ | 606 | $ | 577 | 5.0 | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 58 | 11 | 97 | 427.3 | % | (40.2) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 923 | 785 | 641 | 17.6 | % | 44.0 | % | ||||||||||||||||||||||
Nine Months Ended September 30, 2020 and 2019
| Electric Deliveries (in GWhs) | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather - Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
Rate-Regulated Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 21,928 | 20,737 | 5.7 | % | (0.3) | % | $ | 2,389 | $ | 2,221 | 7.6 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 21,803 | 23,518 | (7.3) | % | (7.6) | % | 1,067 | 1,103 | (3.3) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 19,619 | 20,859 | (5.9) | % | (6.2) | % | 388 | 399 | (2.8) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 744 | 906 | (17.9) | % | (17.6) | % | 33 | 35 | (5.7) | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 663 | 660 | 0.5 | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 64,094 | 66,020 | (2.9) | % | (5.0) | % | 4,540 | 4,418 | 2.8 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (41) | (76) | (46.1) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | $ | 4,499 | $ | 4,342 | 3.6 | % | |||||||||||||||||||||||||||||||||||
| Purchased Power | $ | 1,557 | $ | 1,469 | 6.0 | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 3,541 | 4,132 | 3,972 | (14.3) | % | (10.9) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,286 | 948 | 882 | 35.7 | % | 45.8 | % | ||||||||||||||||||||||
| Number of Electric Customers | 2020 | 2019 | |||||||||
| Residential | 3,685,192 | 3,658,796 | |||||||||
| Small Commercial & Industrial | 386,428 | 383,838 | |||||||||
| Large Commercial & Industrial | 1,977 | 1,973 | |||||||||
| Public Authorities & Electric Railroads | 4,870 | 4,842 | |||||||||
| Total | 4,078,467 | 4,049,449 | |||||||||
__________
(a)Reflects revenues from customers purchasing electricity directly from ComEd and customers purchasing electricity from a competitive electric generation supplier, as all customers are assessed delivery charges. For customers purchasing electricity from ComEd, revenues also reflect the cost of energy and transmission.
(b)Includes transmission revenue from PJM, wholesale electric revenue, and mutual assistance revenue.
(c)Includes operating revenues from affiliates totaling $15 million and $4 million for the three months ended September 30, 2020 and 2019, respectively, and $31 million and $13 million for the nine months ended September 30, 2020 and 2019, respectively.
(d)Includes alternative revenue programs and late payment charges.
20
PECO Statistics
Three Months Ended September 30, 2020 and 2019
| Electric and Natural Gas Deliveries | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather- Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
| Electric (in GWhs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Electric Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 4,477 | 4,106 | 9.0 | % | 6.4 | % | $ | 518 | $ | 479 | 8.1 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 2,017 | 2,203 | (8.4) | % | (9.4) | % | 104 | 109 | (4.6) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 3,791 | 4,109 | (7.7) | % | (8.3) | % | 66 | 63 | 4.8 | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 145 | 183 | (20.8) | % | (20.8) | % | 7 | 9 | (22.2) | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 58 | 63 | (7.9) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 10,430 | 10,601 | (1.6) | % | (3.2) | % | 753 | 723 | 4.1 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 6 | (7) | (185.7) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | 759 | 716 | 6.0 | % | |||||||||||||||||||||||||||||||||||||
| Natural Gas (in mmcfs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Gas Deliveries and Revenues(e) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 2,121 | 2,109 | 0.6 | % | (4.3) | % | 32 | 38 | (15.8) | % | |||||||||||||||||||||||||||||||
| Small commercial & industrial | 2,157 | 1,901 | 13.5 | % | 12.7 | % | 16 | 17 | (5.9) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 9 | 10 | (10.0) | % | (13.4) | % | — | — | n/a | ||||||||||||||||||||||||||||||||
| Transportation | 5,269 | 5,395 | (2.3) | % | (4.2) | % | 6 | 5 | 20.0 | % | |||||||||||||||||||||||||||||||
Other(f) | — | — | n/a | n/a | 1 | 2 | (50.0) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated natural gas revenues(g) | 9,556 | 9,415 | 1.5 | % | (1.1) | % | 55 | 62 | (11.3) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (1) | — | n/a | ||||||||||||||||||||||||||||||||||||||
| Total Natural Gas Revenues | 54 | 62 | (12.9) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric and Natural Gas Revenues | $ | 813 | $ | 778 | 4.5 | % | |||||||||||||||||||||||||||||||||||
| Purchased Power and Fuel | $ | 269 | $ | 246 | 9.3 | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 37 | 2 | 26 | 1,750.0 | % | 42.3 | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,128 | 1,143 | 1,004 | (1.3) | % | 12.4 | % | ||||||||||||||||||||||
21
Nine Months Ended September 30, 2020 and 2019
| Electric and Natural Gas Deliveries | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather- Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
| Electric (in GWhs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Electric Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 10,874 | 10,568 | 2.9 | % | 4.5 | % | $ | 1,277 | $ | 1,231 | 3.7 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 5,493 | 6,093 | (9.8) | % | (8.4) | % | 291 | 304 | (4.3) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 10,393 | 11,449 | (9.2) | % | (8.9) | % | 174 | 163 | 6.7 | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 407 | 560 | (27.3) | % | (27.2) | % | 21 | 23 | (8.7) | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 171 | 186 | (8.1) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 27,167 | 28,670 | (5.2) | % | (4.2) | % | 1,934 | 1,907 | 1.4 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 14 | (6) | (333.3) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | 1,948 | 1,901 | 2.5 | % | |||||||||||||||||||||||||||||||||||||
| Natural Gas (in mmcfs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Gas Deliveries and Revenues(e) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 25,867 | 26,678 | (3.0) | % | 0.7 | % | 252 | 285 | (11.6) | % | |||||||||||||||||||||||||||||||
| Small commercial & industrial | 13,020 | 16,585 | (21.5) | % | (8.0) | % | 86 | 122 | (29.5) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 20 | 46 | (56.5) | % | (16.5) | % | — | 1 | (100.0) | % | |||||||||||||||||||||||||||||||
| Transportation | 17,553 | 19,087 | (8.0) | % | (6.9) | % | 18 | 18 | — | % | |||||||||||||||||||||||||||||||
Other(f) | — | — | n/a | n/a | 3 | 5 | (40.0) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated natural gas revenues(g) | 56,460 | 62,396 | (9.5) | % | (3.8) | % | 359 | 431 | (16.7) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (1) | 1 | 100.0 | % | |||||||||||||||||||||||||||||||||||||
| Total Natural Gas Revenues | 358 | 432 | (17.1) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric and Natural Gas Revenues | $ | 2,306 | $ | 2,333 | (1.2) | % | |||||||||||||||||||||||||||||||||||
| Purchased Power and Fuel | $ | 768 | $ | 767 | 0.1 | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 2,594 | 2,704 | 2,876 | (4.1) | % | (9.8) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,504 | 1,570 | 1,391 | (4.2) | % | 8.1 | % | ||||||||||||||||||||||
| Number of Electric Customers | 2020 | 2019 | Number of Natural Gas Customers | 2020 | 2019 | |||||||||||||||||||||
| Residential | 1,505,080 | 1,489,046 | Residential | 490,158 | 484,676 | |||||||||||||||||||||
| Small Commercial & Industrial | 154,183 | 153,400 | Small Commercial & Industrial | 44,138 | 43,869 | |||||||||||||||||||||
| Large Commercial & Industrial | 3,105 | 3,104 | Large Commercial & Industrial | 5 | 2 | |||||||||||||||||||||
| Public Authorities & Electric Railroads | 10,149 | 9,775 | Transportation | 715 | 735 | |||||||||||||||||||||
| Total | 1,672,517 | 1,655,325 | Total | 535,016 | 529,282 | |||||||||||||||||||||
__________
(a)Reflects delivery volumes and revenues from customers purchasing electricity directly from PECO and customers purchasing electricity from a competitive electric generation supplier as all customers are assessed distribution charges. For customers purchasing electricity from PECO, revenues also reflect the cost of energy and transmission.
(b)Includes transmission revenue from PJM, wholesale electric revenue, and mutual assistance revenue.
(c)Includes operating revenues from affiliates totaling $3 million and $1 million for the three months ended September 30, 2020 and 2019, respectively, and $6 million and $4 million for the nine months ended September 30, 2020 and 2019, respectively.
(d)Includes alternative revenue programs and late payment charges.
(e)Reflects delivery volumes and revenues from customers purchasing natural gas directly from PECO and customers purchasing natural gas from a competitive natural gas supplier as all customers are assessed distribution charges. For customers purchasing natural gas from PECO, revenue also reflects the cost of natural gas.
(f)Includes revenues primarily from off-system sales.
(g)Includes operating revenues from affiliates totaling less than $1 million for both the three months ended September 30, 2020 and 2019, and $1 million and less than $1 million for the nine months ended September 30, 2020 and 2019, respectively.
22
BGE Statistics
Three Months Ended September 30, 2020 and 2019
| Electric and Natural Gas Deliveries | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather- Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
| Electric (in GWhs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Electric Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 3,919 | 3,697 | 6.0 | % | 6.4 % | $ | 389 | $ | 352 | 10.5 | % | ||||||||||||||||||||||||||||||
| Small commercial & industrial | 756 | 800 | (5.5) | % | (6.4) | % | 65 | 64 | 1.6 | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 3,580 | 3,876 | (7.6) | % | (6.7) | % | 113 | 116 | (2.6) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 51 | 66 | (22.7) | % | (24.2) | % | 7 | 7 | — | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 78 | 82 | (4.9) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 8,306 | 8,439 | (1.6) | % | (1.3) | % | 652 | 621 | 5.0 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (6) | (2) | 200.0 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | 646 | 619 | 4.4 | % | |||||||||||||||||||||||||||||||||||||
| Natural Gas (in mmcfs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Gas Deliveries and Revenues(e) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 2,520 | 2,289 | 10.1 | % | 6.4 | % | 55 | 49 | 12.2 | % | |||||||||||||||||||||||||||||||
| Small commercial & industrial | 862 | 836 | 3.1 | % | 1.8 | % | 9 | 9 | — | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 7,971 | 8,960 | (11.0) | % | (11.6) | % | 21 | 20 | 5.0 | % | |||||||||||||||||||||||||||||||
Other(f) | 1,417 | 1,160 | 22.2 | % | — | 3 | 5 | (40.0) | % | ||||||||||||||||||||||||||||||||
Total rate-regulated natural gas revenues(g) | 12,770 | 13,245 | (3.6) | % | (7.2) | % | 88 | 83 | 6.0 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (3) | 1 | (400.0) | % | |||||||||||||||||||||||||||||||||||||
| Total Natural Gas Revenues | 85 | 84 | 1.2 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric and Natural Gas Revenues | $ | 731 | $ | 703 | 4.0 | % | |||||||||||||||||||||||||||||||||||
| Purchased Power and Fuel | $ | 250 | $ | 235 | 6.4 | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 69 | 26 | 74 | 165.4 | % | (6.8) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 751 | 753 | 601 | (0.3) | % | 25.0 | % | ||||||||||||||||||||||
23
Nine Months Ended September 30, 2020 and 2019
| Electric and Natural Gas Deliveries | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather- Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
| Electric (in GWhs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Electric Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 9,807 | 9,805 | — | % | 6.4 % | $ | 1,034 | $ | 1,019 | 1.5 | % | ||||||||||||||||||||||||||||||
| Small commercial & industrial | 2,035 | 2,238 | (9.1) | % | (5.1) | % | 183 | 193 | (5.2) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 9,657 | 10,567 | (8.6) | % | (7.2) | % | 311 | 335 | (7.2) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 157 | 192 | (18.2) | % | (20.0) | % | 20 | 20 | — | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 233 | 242 | (3.7) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 21,656 | 22,802 | (5.0) | % | (1.4) | % | 1,781 | 1,809 | (1.5) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (18) | 8 | (325.0) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | 1,763 | 1,817 | (3.0) | % | |||||||||||||||||||||||||||||||||||||
| Natural Gas (in mmcfs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Gas Deliveries and Revenues(e) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 26,394 | 28,170 | (6.3) | % | 8.8 % | 342 | 327 | 4.6 | % | ||||||||||||||||||||||||||||||||
| Small commercial & industrial | 6,241 | 6,417 | (2.7) | % | 10.3 % | 55 | 55 | — | % | ||||||||||||||||||||||||||||||||
| Large commercial & industrial | 28,236 | 33,247 | (15.1) | % | (10.6) | % | 96 | 93 | 3.2 | % | |||||||||||||||||||||||||||||||
Other(f) | 5,095 | 4,060 | 25.5 | % | n/a | 16 | 19 | (15.8) | % | ||||||||||||||||||||||||||||||||
Total rate-regulated natural gas revenues(g) | 65,966 | 71,894 | (8.2) | % | (0.5) | % | 509 | 494 | 3.0 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 12 | 16 | (25.0) | % | |||||||||||||||||||||||||||||||||||||
| Total Natural Gas Revenues | 521 | 510 | 2.2 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric and Natural Gas Revenues | $ | 2,284 | $ | 2,327 | (1.8) | % | |||||||||||||||||||||||||||||||||||
| Purchased Power and Fuel | $ | 731 | $ | 804 | (9.1) | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 2,499 | 2,750 | 2,961 | (9.1) | % | (15.6) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 998 | 1,073 | 861 | (7.0) | % | 15.9 | % | ||||||||||||||||||||||
| Number of Electric Customers | 2020 | 2019 | Number of Natural Gas Customers | 2020 | 2019 | |||||||||||||||||||||
| Residential | 1,187,498 | 1,174,188 | Residential | 644,872 | 636,030 | |||||||||||||||||||||
| Small Commercial & Industrial | 114,038 | 114,301 | Small Commercial & Industrial | 38,173 | 38,129 | |||||||||||||||||||||
| Large Commercial & Industrial | 12,428 | 12,296 | Large Commercial & Industrial | 6,083 | 6,005 | |||||||||||||||||||||
| Public Authorities & Electric Railroads | 267 | 264 | Total | 689,128 | 680,164 | |||||||||||||||||||||
| Total | 1,314,231 | 1,301,049 | ||||||||||||||||||||||||
__________
(a)Reflects revenues from customers purchasing electricity directly from BGE and customers purchasing electricity from a competitive electric generation supplier as all customers are assessed distribution charges. For customers purchasing electricity from BGE, revenues also reflect the cost of energy and transmission.
(b)Includes revenues from transmission revenue from PJM, wholesale electric revenue, and mutual assistance revenue.
(c)Includes operating revenues from affiliates totaling $3 million and $2 million for the three months ended September 30, 2020 and 2019, respectively, and $9 million and $5 million for the nine months ended September 30, 2020 and 2019, respectively.
(d)Includes alternative revenue programs and late payment charges.
(e)Reflects delivery volumes and revenues from customers purchasing natural gas directly from BGE and customers purchasing natural gas from a competitive natural gas supplier as all customers are assessed distribution charges. For customers purchasing natural gas from BGE, revenue also reflects the cost of natural gas.
(f)Includes revenues primarily from off-system sales.
(g)Includes operating revenues from affiliates totaling $3 million and $4 million for the three months ended September 30, 2020 and 2019, respectively, and $7 million and $13 million for the nine months ended September 30, 2020 and 2019, respectively.
24
Pepco Statistics
Three Months Ended September 30, 2020 and 2019
| Electric Deliveries (in GWhs) | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather- Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
Rate-Regulated Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 2,532 | 2,451 | 3.3 | % | 7.9 | % | $ | 307 | $ | 311 | (1.3) | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 308 | 356 | (13.5) | % | (11.7) | % | 36 | 41 | (12.2) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 3,615 | 4,121 | (12.3) | % | (10.6) | % | 195 | 222 | (12.2) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 148 | 263 | (43.7) | % | (43.7) | % | 8 | 11 | (27.3) | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 47 | 58 | (19.0) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 6,603 | 7,191 | (8.2) | % | (5.8) | % | 593 | 643 | (7.8) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 18 | (1) | (1,900.0) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | $ | 611 | $ | 642 | (4.8) | % | |||||||||||||||||||||||||||||||||||
| Purchased Power | $ | 163 | $ | 181 | (9.9) | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 30 | — | 11 | n/a | 172.7 | % | |||||||||||||||||||||||
| Cooling Degree-Days | 1,211 | 1,334 | 1,148 | (9.2) | % | 5.5 | % | ||||||||||||||||||||||
Nine Months Ended September 30, 2020 and 2019
| Electric Deliveries (in GWhs) | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather- Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
Rate-Regulated Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 6,270 | 6,424 | (2.4) | % | 1.9 | % | $ | 779 | $ | 792 | (1.6) | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 870 | 1,014 | (14.2) | % | (12.4) | % | 101 | 114 | (11.4) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 9,918 | 11,226 | (11.7) | % | (10.2) | % | 558 | 633 | (11.8) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 501 | 629 | (20.3) | % | (20.0) | % | 25 | 27 | (7.4) | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 166 | 166 | — | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 17,559 | 19,293 | (9.0) | % | (6.6) | % | 1,629 | 1,732 | (5.9) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 21 | 16 | 31.3 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | $ | 1,650 | $ | 1,748 | (5.6) | % | |||||||||||||||||||||||||||||||||||
| Purchased Power | $ | 467 | $ | 513 | (9.0) | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 2,140 | 2,236 | 2,453 | (4.3) | % | (12.8) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,665 | 1,933 | 1,654 | (13.9) | % | 0.7 | % | ||||||||||||||||||||||
| Number of Electric Customers | 2020 | 2019 | |||||||||
| Residential | 828,578 | 814,412 | |||||||||
| Small Commercial & Industrial | 53,813 | 54,130 | |||||||||
| Large Commercial & Industrial | 22,485 | 22,240 | |||||||||
| Public Authorities & Electric Railroads | 167 | 158 | |||||||||
| Total | 905,043 | 890,940 | |||||||||
__________
(a)Reflects revenues from customers purchasing electricity directly from Pepco and customers purchasing electricity from a competitive electric generation supplier as all customers are assessed distribution charges. For customers purchasing electricity from Pepco, revenues also reflect the cost of energy and transmission.
(b)Includes transmission revenue from PJM, wholesale electric revenue, and mutual assistance revenue.
(c)Includes operating revenues from affiliates totaling $3 million and $2 million for the three months ended September 30, 2020 and 2019, respectively, and $6 million and $5 million for the nine months ended September 30, 2020 and 2019, respectively.
(d)Includes alternative revenue programs and late payment charge revenues.
25
DPL Statistics
Three Months Ended September 30, 2020 and 2019
| Electric and Natural Gas Deliveries | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather - Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
| Electric (in GWhs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Electric Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 1,635 | 1,540 | 6.2 | % | 7.9 | % | $ | 193 | $ | 178 | 8.4 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 621 | 659 | (5.8) | % | (4.9) | % | 45 | 48 | (6.3) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 1,064 | 1,229 | (13.4) | % | (12.9) | % | 21 | 26 | (19.2) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 10 | 11 | (9.1) | % | (13.1) | % | 3 | 3 | — | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 44 | 50 | (12.0) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 3,330 | 3,439 | (3.2) | % | (2.2) | % | 306 | 305 | 0.3 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 8 | (6) | (233.3) | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | 314 | 299 | 5.0 | % | |||||||||||||||||||||||||||||||||||||
| Natural Gas (in mmcfs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Gas Deliveries and Revenues(e) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 441 | 403 | 9.4 | % | (11.1) | % | 11 | 9 | 22.2 | % | |||||||||||||||||||||||||||||||
| Small commercial & industrial | 339 | 386 | (12.2) | % | (20.8) | % | 6 | 4 | 50.0 | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 402 | 407 | (1.2) | % | (1.2) | % | 1 | 1 | — | % | |||||||||||||||||||||||||||||||
| Transportation | 1,231 | 1,212 | 1.6 | % | — | % | 3 | 4 | (25.0) | % | |||||||||||||||||||||||||||||||
Other(g) | — | — | n/a | n/a | 2 | 2 | — | % | |||||||||||||||||||||||||||||||||
| Total rate-regulated natural gas revenues | 2,413 | 2,408 | 0.2 | % | (5.7) | % | 23 | 20 | 15.0 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(f) | — | — | n/a | ||||||||||||||||||||||||||||||||||||||
| Total Natural Gas Revenues | 23 | 20 | 15.0 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric and Natural Gas Revenues | $ | 337 | $ | 319 | 5.6 | % | |||||||||||||||||||||||||||||||||||
| Purchased Power and Fuel | $ | 131 | $ | 127 | 3.1 | % | |||||||||||||||||||||||||||||||||||
| Electric Service Territory | % Change | ||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 47 | 8 | 30 | 487.5 | % | 56.7 | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,012 | 1,050 | 876 | (3.6) | % | 15.5 | % | ||||||||||||||||||||||
| Natural Gas Service Territory | % Change | ||||||||||||||||||||||||||||
| Heating Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 55 | 6 | 39 | 816.7 | % | 41.0 | % | ||||||||||||||||||||||
26
Nine Months Ended September 30, 2020 and 2019
| Electric and Natural Gas Deliveries | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather - Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
| Electric (in GWhs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Electric Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 4,088 | 4,110 | (0.5) | % | 3.2 | % | $ | 501 | $ | 499 | 0.4 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 1,581 | 1,735 | (8.9) | % | (7.3) | % | 127 | 141 | (9.9) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 3,185 | 3,407 | (6.5) | % | (5.4) | % | 66 | 75 | (12.0) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 32 | 34 | (5.9) | % | (6.5) | % | 10 | 10 | — | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 148 | 151 | (2.0) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 8,886 | 9,286 | (4.3) | % | (2.0) | % | 852 | 876 | (2.7) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (14) | (5) | 180.0 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | 838 | 871 | (3.8) | % | |||||||||||||||||||||||||||||||||||||
| Natural Gas (in mmcfs) | |||||||||||||||||||||||||||||||||||||||||
Rate-Regulated Gas Deliveries and Revenues(e) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 5,256 | 5,751 | (8.6) | % | (3.5) | % | 68 | 64 | 6.3 | % | |||||||||||||||||||||||||||||||
| Small commercial & industrial | 2,567 | 2,972 | (13.6) | % | (9.1) | % | 30 | 30 | — | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 1,265 | 1,372 | (7.8) | % | (7.8) | % | 3 | 4 | (25.0) | % | |||||||||||||||||||||||||||||||
| Transportation | 4,811 | 4,905 | (1.9) | % | (0.7) | % | 10 | 11 | (9.1) | % | |||||||||||||||||||||||||||||||
Other(g) | — | — | n/a | n/a | 5 | 6 | (16.7) | % | |||||||||||||||||||||||||||||||||
| Total rate-regulated natural gas revenues | 13,899 | 15,000 | (7.3) | % | (4.1) | % | 116 | 115 | 0.9 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(f) | — | 1 | (100.0) | % | |||||||||||||||||||||||||||||||||||||
| Total Natural Gas Revenues | 116 | 116 | — | % | |||||||||||||||||||||||||||||||||||||
| Total Electric and Natural Gas Revenues | $ | 954 | $ | 987 | (3.3) | % | |||||||||||||||||||||||||||||||||||
| Purchased Power and Fuel | $ | 379 | $ | 399 | (5.0) | % | |||||||||||||||||||||||||||||||||||
| Electric Service Territory | % Change | ||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 2,551 | 2,715 | 2,922 | (6.0) | % | (12.7) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,332 | 1,464 | 1,222 | (9.0) | % | 9.0 | % | ||||||||||||||||||||||
| Natural Gas Service Territory | % Change | ||||||||||||||||||||||||||||
| Heating Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 2,664 | 2,828 | 3,023 | (5.8) | % | (11.9) | % | ||||||||||||||||||||||
| Number of Electric Customers | 2020 | 2019 | Number of Natural Gas Customers | 2020 | 2019 | |||||||||||||||||||||
| Residential | 471,875 | 466,972 | Residential | 126,659 | 124,944 | |||||||||||||||||||||
| Small Commercial & Industrial | 62,291 | 61,657 | Small Commercial & Industrial | 9,885 | 9,885 | |||||||||||||||||||||
| Large Commercial & Industrial | 1,234 | 1,418 | Large Commercial & Industrial | 17 | 18 | |||||||||||||||||||||
| Public Authorities & Electric Railroads | 610 | 616 | Transportation | 160 | 158 | |||||||||||||||||||||
| Total | 536,010 | 530,663 | Total | 136,721 | 135,005 | |||||||||||||||||||||
__________
(a)Reflects delivery volumes and revenues from customers purchasing electricity directly from DPL and customers purchasing electricity from a competitive electric generation supplier as all customers are assessed distribution charges. For customers purchasing electricity from DPL, revenues also reflect the cost of energy and transmission.
(b)Includes transmission revenue from PJM, wholesale electric revenue, and mutual assistance revenue.
(c)Includes operating revenues from affiliates totaling $3 million and $1 million for the three months ended September 30, 2020 and 2019, respectively, and $7 million and $5 million for the nine months ended September 30, 2020 and 2019, respectively.
(d)Includes alternative revenue programs and late payment charges.
(e)Reflects delivery volumes and revenues from customers purchasing natural gas directly from DPL and customers purchasing natural gas from a competitive natural gas supplier as all customers are assessed distribution charges. For customers purchasing natural gas from DPL, revenue also reflects the cost of natural gas.
(f)Includes revenues primarily from off-system sales.
27
ACE Statistics
Three Months Ended September 30, 2020 and 2019
| Electric Deliveries (in GWhs) | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather - Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
Rate-Regulated Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 1,533 | 1,470 | 4.3 | % | 5.4 | % | $ | 263 | $ | 252 | 4.4 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 397 | 431 | (7.9) | % | (9.1) | % | 53 | 58 | (8.6) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 851 | 938 | (9.3) | % | (9.6) | % | 46 | 49 | (6.1) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 9 | 10 | (10.0) | % | (5.8) | % | 3 | 3 | — | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 50 | 56 | (10.7) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 2,790 | 2,849 | (2.1) | % | (1.9) | % | 415 | 418 | (0.7) | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | 5 | 1 | 400.0 | % | |||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | $ | 420 | $ | 419 | 0.2 | % | |||||||||||||||||||||||||||||||||||
| Purchased Power | $ | 211 | $ | 210 | 0.5 | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 58 | 13 | 36 | 346.2 | % | 61.1 | % | ||||||||||||||||||||||
| Cooling Degree-Days | 989 | 980 | 839 | 0.9 | % | 17.9 | % | ||||||||||||||||||||||
Nine Months Ended September 30, 2020 and 2019
| Electric Deliveries (in GWhs) | Revenue (in millions) | ||||||||||||||||||||||||||||||||||||||||
| 2020 | 2019 | % Change | Weather - Normal % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||
Rate-Regulated Deliveries and Revenues(a) | |||||||||||||||||||||||||||||||||||||||||
| Residential | 3,193 | 3,182 | 0.3 | % | 3.1 | % | $ | 545 | $ | 525 | 3.8 | % | |||||||||||||||||||||||||||||
| Small commercial & industrial | 967 | 1,055 | (8.3) | % | (7.5) | % | 127 | 132 | (3.8) | % | |||||||||||||||||||||||||||||||
| Large commercial & industrial | 2,287 | 2,600 | (12.0) | % | (11.6) | % | 131 | 135 | (3.0) | % | |||||||||||||||||||||||||||||||
| Public authorities & electric railroads | 33 | 34 | (2.9) | % | (2.3) | % | 10 | 10 | — | % | |||||||||||||||||||||||||||||||
Other(b) | — | — | n/a | n/a | 159 | 164 | (3.0) | % | |||||||||||||||||||||||||||||||||
Total rate-regulated electric revenues(c) | 6,480 | 6,871 | (5.7) | % | (4.2) | % | 972 | 966 | 0.6 | % | |||||||||||||||||||||||||||||||
Other Rate-Regulated Revenues(d) | (20) | — | n/a | ||||||||||||||||||||||||||||||||||||||
| Total Electric Revenues | $ | 952 | $ | 966 | (1.4) | % | |||||||||||||||||||||||||||||||||||
| Purchased Power | $ | 469 | $ | 479 | (2.1) | % | |||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||
| Heating and Cooling Degree-Days | 2020 | 2019 | Normal | From 2019 | From Normal | ||||||||||||||||||||||||
| Heating Degree-Days | 2,618 | 2,899 | 3,069 | (9.7) | % | (14.7) | % | ||||||||||||||||||||||
| Cooling Degree-Days | 1,300 | 1,330 | 1,143 | (2.3) | % | 13.7 | % | ||||||||||||||||||||||
| Number of Electric Customers | 2020 | 2019 | ||||||||||||
| Residential | 497,222 | 493,720 | ||||||||||||
| Small Commercial & Industrial | 61,521 | 61,376 | ||||||||||||
| Large Commercial & Industrial | 3,305 | 3,418 | ||||||||||||
| Public Authorities & Electric Railroads | 694 | 676 | ||||||||||||
| Total | 562,742 | 559,190 | ||||||||||||
__________
(a)Reflects delivery volumes and revenues from customers purchasing electricity directly from ACE and customers purchasing electricity from a competitive electric generation supplier as all customers are assessed distribution charges. For customers purchasing electricity from ACE, revenues also reflect the cost of energy and transmission.
(b)Includes transmission revenue from PJM, wholesale electric revenue, and mutual assistance revenue.
(c)Includes operating revenues from affiliates totaling $1 million for both the three months ended September 30, 2020 and 2019, and $3 million and $2 million for the nine months ended September 30, 2020 and 2019, respectively.
(d)Includes alternative revenue programs and late payment charge revenues.
28
Generation Statistics
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
| September 30, 2020 | September 30, 2019 | September 30, 2020 | September 30, 2019 | |||||||||||||||||||||||
| Supply (in GWhs) | ||||||||||||||||||||||||||
Nuclear Generation(a) | ||||||||||||||||||||||||||
| Mid-Atlantic | 13,679 | 15,281 | 39,630 | 44,436 | ||||||||||||||||||||||
| Midwest | 24,471 | 23,730 | 71,929 | 71,459 | ||||||||||||||||||||||
| New York | 6,734 | 7,204 | 19,296 | 20,783 | ||||||||||||||||||||||
Total Nuclear Generation | 44,884 | 46,215 | 130,855 | 136,678 | ||||||||||||||||||||||
| Fossil and Renewables | ||||||||||||||||||||||||||
| Mid-Atlantic | 304 | 485 | 1,864 | 2,351 | ||||||||||||||||||||||
| Midwest | 196 | 262 | 852 | 981 | ||||||||||||||||||||||
| New York | 1 | 3 | 3 | 4 | ||||||||||||||||||||||
| ERCOT | 4,394 | 4,500 | 10,658 | 10,644 | ||||||||||||||||||||||
Other Power Regions(b) | 2,794 | 3,135 | 8,905 | 8,789 | ||||||||||||||||||||||
Total Fossil and Renewables | 7,689 | 8,385 | 22,282 | 22,769 | ||||||||||||||||||||||
| Purchased Power | ||||||||||||||||||||||||||
| Mid-Atlantic | 8,252 | 5,235 | 17,924 | 10,359 | ||||||||||||||||||||||
| Midwest | 71 | 124 | 595 | 662 | ||||||||||||||||||||||
| ERCOT | 1,104 | 1,329 | 3,351 | 3,585 | ||||||||||||||||||||||
Other Power Regions(b) | 14,512 | 13,006 | 37,981 | 36,693 | ||||||||||||||||||||||
Total Purchased Power | 23,939 | 19,694 | 59,851 | 51,299 | ||||||||||||||||||||||
Total Supply/Sales by Region(d) | ||||||||||||||||||||||||||
Mid-Atlantic(c) | 22,235 | 21,001 | 59,418 | 57,146 | ||||||||||||||||||||||
Midwest(c) | 24,738 | 24,116 | 73,376 | 73,102 | ||||||||||||||||||||||
| New York | 6,735 | 7,207 | 19,299 | 20,787 | ||||||||||||||||||||||
| ERCOT | 5,498 | 5,829 | 14,009 | 14,229 | ||||||||||||||||||||||
Other Power Regions(b) | 17,306 | 16,141 | 46,886 | 45,482 | ||||||||||||||||||||||
| Total Supply/Sales by Region | 76,512 | 74,294 | 212,988 | 210,746 | ||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
| September 30, 2020 | September 30, 2019 | September 30, 2020 | September 30, 2019 | |||||||||||||||||||||||
Outage Days(e) | ||||||||||||||||||||||||||
| Refueling | 17 | 15 | 203 | 145 | ||||||||||||||||||||||
| Non-refueling | 4 | 15 | 15 | 43 | ||||||||||||||||||||||
| Total Outage Days | 21 | 30 | 218 | 188 | ||||||||||||||||||||||
__________
(a)Includes the proportionate share of output where Generation has an undivided ownership interest in jointly-owned generating plants and includes the total output of plants that are fully consolidated (e.g. CENG).
(b)Other Power Regions includes New England, South, West, and Canada.
(c)Includes affiliate sales to PECO, BGE, Pepco, DPL, and ACE in the Mid-Atlantic region and affiliate sales to ComEd in the Midwest region.
(d)Reflects a decrease in load due to COVID-19.
(e)Outage days exclude Salem.
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