Exelon Details the Value Creation Opportunities in an Exelon-NRG Combination

Exelon Corporation today filed with the Securities and Exchange Commission and posted to its Web site a presentation for investors with additional details on the value that would be created by its offer to acquire all of the outstanding common stock of NRG Energy, Inc. in an all-stock transaction.

“The combination creates clear and compelling value for both Exelon and NRG shareholders,” said Chris Crane, president and COO, Exelon. “It provides earnings and cash accretion, an exceptional growth platform, operations in the most attractive markets, and a strong balance sheet.”

In its presentation, Exelon shared the following benefits:

* Based on analyst consensus estimates, the deal will be accretive in the first full year following closing.
* The transaction provides potential value creation through synergies of $1.5 to $3 billion, reflecting an annual reduction in operating expenses of the combined company of 3%-5%.
* The combined company brings together NRG’s high-quality fossil fleet with Exelon’s world-class nuclear fleet, which will have requisite scope, scale and financial strength to succeed in an increasingly volatile energy market.
* The combined company will continue to rely on low-cost and less volatile fuel sources, including uranium, as well as Powder River Basin and lignite coals, which account for roughly 90% of the generation of the combined companies.
* Geographically complementary assets will give the combined company nationwide reach and access to attractive markets in the U.S.
* The combination provides a clear path for improving the combined company’s credit metrics and balance sheet strength over the next three years.
* NRG shareholders will participate in the value to be created through the immediate premium, synergies to be created, and the upside potential in the combined company’s stock.
* Regulatory hurdles can be reasonably addressed without sacrificing the substantial value that makes the transactional powerful.

An Exelon-NRG combination also provides Exelon with an opportunity to take the next step in advancing the company’s commitment to address climate change. In July, the company launched Exelon 2020: A Low-Carbon Roadmap, a comprehensive plan to reduce, offset or displace 15 million metric tons of greenhouse gas emissions per year by 2020. Exelon not only will continue with this commitment, but also will apply its industry leadership to NRG’s fleet, particularly its coal plants.

“This is the right deal at the right time, for both companies and both sets of shareholders, based on compelling strategic, operational, and financial value drivers,” said John W. Rowe, chairman and CEO, Exelon. “We will continue to move diligently but expeditiously toward completing the proposed transaction.”

The presentation can be accessed at www.exeloncorp.com/investor.

Exelon Corporation is one of the nation’s largest electric utilities with nearly $19 billion in annual revenues. The company has one of the industry’s largest portfolios of electricity generation capacity, with a nationwide reach and strong positions in the Midwest and Mid-Atlantic. Exelon distributes electricity to approximately 5.4 million customers in northern Illinois and Pennsylvania and natural gas to 480,000 customers in the Philadelphia area. Exelon is headquartered in Chicago and trades on the NYSE under the ticker EXC.