AI interpretation based on checked source excerpts. Issuer assertions and evidence limitations remain explicit.
Policy quality-scores-2: six equally weighted categories. The overall score requires full coverage. Missing inputs are not zero. Qualitative grades are sourced interpretations, not probabilities. 5/6 · 18/10/2026
Moat63
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
structural advantage · 3/4 · Multiple utilities retain distribution service and charges despite supplier switching, demonstrating protection of the delivery business. Franchise duration and infrastructure duplication economics are not supplied.
durability · 2/4 · Continuing distribution relationships and approved recovery mechanisms support persistence, but regulatory discretion and an actual rejected reconciliation prevent a stronger durability assessment.
customer dependency · 3/4 · Changing energy suppliers leaves customers dependent on the same distributor. PECO's gas customer count increased from 554,947 to 556,227, providing additional operating evidence; this is not a measured retention rate.
erosion resilience · 2/4 · Decoupling and realized procurement cost offsets absorb some demand and commodity pressures. Actual adverse regulatory outcomes show that recovery protection is incomplete; extreme-weather exposure remains a prospective risk.
Pricing power50
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
realized pricing · 2/4 · Completed rate cases demonstrate approved increases, frequently below requests. PECO's pricing remained relatively consistent in the first half of 2026. These are mixed realized pricing outcomes under regulation.
retention · 3/4 · Distribution demand remains with the utility when supply customers switch. PECO's slightly higher gas customer count supports continued demand indirectly; no churn or renewal rate is inferred.
margin resilience · 2/4 · Realized procurement expense increases were fully offset in revenue, while decoupling limits some weather exposure. Unfavorable reconciliations demonstrate residual earnings vulnerability. This assesses recovery mechanisms rather than inferring power from margins alone.
contractual freedom · 1/4 · Distribution rate changes require regulatory proceedings, transmission revenue follows an approved cost formula, and ComEd recovers specified procurement costs without markup. Pricing discretion is demonstrably limited.
Predictability55
Five consecutive annual periods. Equal weights: nondeclining revenue frequency; revenue-growth volatility (5–40pp); positive FCF frequency; FCF-margin volatility (3–20pp). Stability indicator, not a growth forecast.
- Nondeclining revenue years (%)
- 75.00
- Revenue growth volatility (pp)
- 24.45
- Positive FCF years (%)
- 0.00
- FCF margin volatility (pp)
- 2.51
Financial strength8
Equal-weight grades: debt/FCF (1–8x), net debt/earnings before interest and tax (0–5x), interest service (1–12x), current ratio (0.75–2x). Earnings use reported operating income, or reported pretax profit plus reported interest expense when operating income is unavailable. Interest service uses earnings/interest expense; if unavailable, it uses reported operating cash flow/cash interest paid, without relabeling cash paid as accrued expense. Nonpositive cash flow/earnings score 0 for their service component; reported zero interest with a positive numerator scores 100. Net cash scores 100 for net leverage. Missing disclosures remain unavailable. General nonfinancial-company rubric, not a credit rating; exceptional and nonoperating gains are not normalized out. IFRS finance-cost and cash-flow classifications retain their reported scope.
- debtFcfGrade
- 0.00
- netDebtEbitGrade
- 0.00
- interestCoverageGrade
- 19.04
- currentRatioGrade
- 13.92
- Net debt / operating income (x)
- 9.53
- Current ratio (x)
- 0.92
- cashInterestPaid
- 2021.00
- cashInterestCoverage
- 3.09
Capital allocation—
Missing required inputs: sbcRevenue. Three-year equal-weight indicators: pretax return on average invested capital (0–25%; equity + debt − cash, each year and its prior year), share-count growth (0–5%, lower better), share-based cost/revenue (2–20%, lower better), consolidated FCF/net income (0–1x). Return uses reported operating income or, if unavailable, EBIT calculated from reported pretax profit plus reported interest expense; exceptional/nonoperating gains are not normalized out. Share-based cost uses the reported cash-flow add-back or, if absent, separately reported recognized compensation expense; the latter never becomes an FCF adjustment. Nonpositive net income scores 0 for cash conversion; absent income/FCF stays unavailable. Nonpositive invested capital has no defined return and remains unavailable. Does not establish acquisition quality or buyback timing.
- 3-year pre-tax operating return (%)
- 6.33
- 3-year average dilution (%)
- 0.84
- cashConversionGrade
- 0.00
Management63
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
capital discipline · 2/4 · Actual equity issuance, credit availability, capital expenditure changes and financing activity show access to funding alongside dilution and substantial capital needs. Reported earnings improved, but the passages do not establish project-level returns or cash self-funding. The forward capital plan remains prospective.
incentive alignment · 3/4 · Disclosed actual ownership exceeded requirements for four of five named executives as of June 30, 2025; the fifth was below the requirement. Performance shares do not count toward compliance. Existing hedging restrictions and mandatory recoupment reinforce alignment, although full award outcomes are missing.
execution · 3/4 · Reported net income increased from $2.328 billion in 2023 to $2.768 billion in 2025, and utility earned ROE rose from 9.1% in 2024 to 9.7% in 2025. Completed rate approvals provide additional execution evidence. Management-reported reliability rankings are supportive but not independently verified; regulatory setbacks temper the assessment. Management attribution is indirect.
governance · 2/4 · Independent board leadership, committee structures, recoupment and implemented ethics controls are substantive disclosures. The historical DPA and $200 million payment establish a serious prior failure; expiration and dismissal of the deferred charge provide subsequent remediation context, without proving exceptional governance.
Evidence
Customer choice programs do not impact the volume of deliveries as ComEd remains the distribution service provider for all customers and charges a regulated rate for distribution service, which is recorded in Operating revenues.
ComEd results of operations: customer choice and distribution service · Filed 12/02/2026
Customer choice programs do not impact the volume of deliveries as BGE remains the distribution service provider for all customers and charges a regulated rate for distribution service, which is recorded in Operating revenues.
BGE results of operations: customer choice and distribution service · Filed 12/02/2026
Customer choice programs do not impact the volume of deliveries as PECO remains the distribution service provider for all customers and charges a regulated rate for distribution service.
PECO results of operations: customer choice and distribution service · Filed 30/07/2026
Customer choice programs do not impact the volume of deliveries as Pepco remains the distribution service provider for all customers and charges a regulated rate for distribution service.
Pepco results of operations: customer choice and distribution service · Filed 30/07/2026
Customer choice programs do not impact the volume of deliveries as DPL remains the distribution service provider for all customers and charges a regulated rate for distribution service.
DPL results of operations: customer choice and distribution service · Filed 30/07/2026
41 Table of Contents Completed Distribution Base Rate Case Proceedings Registrant/Jurisdiction Filing Date Service Requested Revenue Requirement Increase Approved Revenue Requirement Increase Approved ROE Approval Date Rate Effective Date ComEd - Illinois January 17, 2023 Electric $ 1,487 $ 1,045 8.905% December 19, 2024 January 1, 2024 April 26, 2024 (amended on September 11, 2024) Electric $ 624 $ 623 9.89% October 31, 2024 January 1, 2025 PECO - Pennsylvania March 28, 2024 Electric $ 464 $ 354 N/A December 12, 2024 January 1, 2025 Natural Gas $ 111 $ 78 BGE - Maryland February 17, 2023 Electric $ 313 $ 179 9.50% December 14, 2023 January 1, 2024 Natural Gas $ 289 $ 229 9.45% Pepco - District of Columbia April 13, 2023 (amended February 27, 2024) Electric $ 186 $ 123 9.50% November 26, 2024 January 1, 2025 Pepco - Maryland May 16, 2023 (amended February 23, 2024) Electric $ 111 $ 45 9.50% June 10, 2024 April 1, 2024 DPL - Maryland May 19, 2022 Electric $ 38 $ 29 9.60% December 14, 2022 January 1, 2023 DPL - Delaware December 15, 2022 (amended September 29, 2023) Electric $ 39 $ 28 9.60% April 18, 2024 July 15, 2023 September 20, 2024 (amended September 5, 2025) Natural Gas $ 37 $ 22 9.60% December 17, 2025 January 1, 2026 ACE - New Jersey February 15, 2023 (amended August 21, 2023) Electric $ 92 $ 45 9.60% November 17, 2023 December 1, 2023 November 21, 2024 Electric $ 109 $ 54 9.60% November 21, 2025 December 1, 2025 42 Table of Contents Pending Distribution Base Rate Case Proceedings Registrant/Jurisdiction Filing Date Service Requested Revenue Requirement Increase Requested ROE Expected Approval Timing Pepco - Maryland October 14, 2025 Electric $ 133 10.50% Third quarter of 2026 DPL - Delaware December 9, 2025 Electric $ 45 10.50% Third quarter of 2027 Transmission Formula Rates The following total increases/(decreases) were included in the Utility Registrants' 2025 annual electric transmission formula rate updates.
Completed and pending distribution base rate case proceedings · Filed 12/02/2026
The increase of $50 million and $160 million for the three and six months ended June 30, 2026, compared to the same period in 2025, in Purchased power and fuel expense is fully offset in Operating revenues as part of regulatory required programs.
PECO results of operations: realized procurement cost offsets · Filed 30/07/2026
Transmission Revenue. Under a FERC-approved formula, transmission revenue varies from year to year based upon fluctuations in the underlying costs and capital investments being recovered.
PECO results of operations: FERC-approved transmission revenue formula · Filed 30/07/2026
Due to revenue decoupling, operating revenues from electric distribution at ComEd, BGE, Pepco, DPL Maryland, and ACE and gas distribution at BGE are not intended to be affected by abnormal weather.
Weather risk: revenue decoupling coverage · Filed 12/02/2026
Distribution Base Rate Case Proceedings The Utility Registrants file base rate cases with their regulatory commissions seeking increases or decreases to their electric transmission and distribution, and gas distribution rates to recover their costs and earn a fair return on their investments.
Distribution base rate case proceedings: regulatory approval framework · Filed 12/02/2026
While both Staff and the Administrative Law Judge's proposed order supported ComEd’s proposed reconciliation adjustment, on September 4, 2025, the ICC issued its final order rejecting the proposed reconciliation adjustment.
Note 2, regulatory matters: ICC rejection of ComEd reconciliation adjustment · Filed 30/07/2026
The changes in Operating and maintenance expense consisted of the following: Three Months Ended June 30, 2026 Six Months Ended June 30, 2026 (Decrease) Increase Increase (Decrease) Maryland multi-year plan reconciliation(a) $ — $ 26 Labor, other benefits, contracting, and materials(b) 14 25 BSC and PHISCO costs 9 13 Credit loss expense (3) (3) Pension and non-pension postretirement benefits expense — (1) Storm-related costs (3) (1) Other 4 2 21 61 Regulatory required programs(c) 14 35 Total increase $ 35 $ 96 _________ 129 Table of Contents Pepco (a)Reflects unfavorable impacts of the Pepco Maryland multi-year plan reconciliation.
Pepco operating and maintenance expense: unfavorable Maryland reconciliation · Filed 30/07/2026
Extreme weather conditions or damage resulting from storms could stress the Utility Registrants' transmission and distribution systems, communication systems, and technology, resulting in increased maintenance and capital costs and limiting each Utility Registrant's ability to meet peak customer demand.
Risk factors: extreme weather and infrastructure costs · Filed 12/02/2026
Accordingly, any such statements are qualified in their entirety by reference to, and are accompanied by, the following important factors that may cause our actual results or outcomes to differ materially from those contained in our forward-looking statements, including, but not limited to: unfavorable legislative and/or regulatory actions; uncertainty as to outcomes and timing of regulatory approval proceedings and/or negotiated settlements thereof; environmental liabilities and remediation costs; state and federal legislation requiring use of low-emission, renewable, and/or alternate fuel sources and/or mandating implementation of energy conservation programs requiring implementation of new technologies; challenges to tax positions taken, tax law changes, and difficulty in quantifying potential tax effects of business decisions; negative outcomes in legal proceedings; physical security and cybersecurity risks; extreme weather events, natural disasters, operational accidents such as wildfires or natural gas explosions, war, acts and threats of terrorism, public health crises, epidemics, pandemics, or other significant events; disruptions or cost increases in the supply chain, including shortages in labor, materials or parts, or significant increases in relevant tariffs; lack of sufficient capacity to meet actual or forecasted demand or disruptions at power generation facilities owned by third parties; emerging technologies that could affect or transform the energy industry; instability in capital and credit markets; a downgrade of Exelon’s or any of its subsidiaries’ credit ratings or other failure to satisfy the credit standards in Exelon’s or any of its subsidiaries’ agreements or regulatory financial requirements; significant economic downturns or increases in customer rates; impacts of climate change and weather on energy usage and maintenance and capital costs; and impairment of long-lived assets, goodwill, and other assets.
Forward-looking statement qualifications: regulatory, technology and financing risks · Filed 18/03/2026
121 Table of Contents PECO Natural Gas Deliveries to Customers (in mmcf) Three Months Ended June 30, % Change Weather - Normal % Change(b) Six Months Ended June 30, % Change Weather - Normal % Change(b) 2026 2025 2026 2025 Residential 4,525 4,571 (1.0) % 1.9 % 26,961 26,405 2.1 % (-0.4)% Small commercial & industrial 3,072 3,398 (9.6) % (9.0) % 14,423 13,803 4.5 % 2.3 % Large commercial & industrial 1 2 (50.0) % 2.3 % (9) 14 (164.3) % (10.5) % Transportation 6,578 5,436 21.0 % 25.6 % 13,720 12,678 8.2 % 9.2 % Total natural gas deliveries(a) 14,176 13,407 5.7 % 8.1 % 55,095 52,900 4.1 % 2.5 % At June 30, Number of Natural Gas Customers 2026 2025 Residential 511,121 509,671 Small commercial & industrial 44,494 44,646 Large commercial & industrial 7 7 Transportation 605 623 Total 556,227 554,947 __________ (a)Reflects delivery volumes 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.
PECO natural gas deliveries and customer counts · Filed 30/07/2026
Pricing for the three and six months ended June 30, 2026, compared to the same period in 2025, remained relatively consistent.
PECO results of operations: observed pricing consistency · Filed 30/07/2026
For customers that choose to purchase electric generation from ComEd, ComEd is permitted to recover the electricity, ZEC, CMC, and REC procurement costs without mark-up and therefore records equal and offsetting amounts in Operating revenues and Purchased power expense related to the electricity, ZECs, CMCs, and RECs.
ComEd electricity procurement: recovery without markup · Filed 12/02/2026
Exelon issued the following shares of Common stock in the years ended December 31, 2025, 2024, and 2023: Effective Period Shares Issued (in millions) Weighted-Average Price (a) Net Proceeds (b) (in millions) 2025 (c) 16.0 $ 43.24 $ 691 2024 4.0 $ 37.60 $ 148 2023 3.6 $ 39.58 $ 140 _________ (a)The 2025 weighted-average price is a net weighted-average price.
Note 17, shareholders' equity: actual common stock issuances · Filed 12/02/2026
The credit facilities include $4 billion in aggregate total commitments of which $3.3 billion was available to support additional commercial paper as of December 31, 2025, and of which no financial institution has more than 6.2% of the aggregate commitments for the Registrants.
Credit matters and cash requirements: available credit facilities · Filed 12/02/2026
Cash Flows from Investing Activities The following table provides a summary of the change in cash flows from investing activities for the six months ended June 30, 2026 and 2025 by Registrant: (Decrease) increase in cash flows from investing activities Exelon ComEd PECO BGE PHI Pepco DPL ACE Capital expenditures $ (599) $ (482) $ (132) $ (18) $ 46 $ (48) $ (23) $ (44) Proceeds from sales of assets (2) — — — (2) (2) — — Changes in intercompany money pool — — — — — (95) — — Other investing activities 3 2 (11) — 1 — 1 1 (Decrease) increase in cash flows from investing activities $ (598) $ (480) $ (143) $ (18) $ 45 $ (145) $ (22) $ (43) Significant changes in cash flows from investing activities were primarily due to the following: •Changes in capital expenditures are primarily due to the timing of cash expenditures for capital projects.
Cash flows from investing activities: capital expenditure changes · Filed 30/07/2026
Cash Flows from Financing Activities The following table provides a summary of the change in cash flows from financing activities for the six months ended June 30, 2026 and 2025 by Registrant: 140 Table of Contents Increase (decrease) in cash flows from financing activities Exelon ComEd PECO BGE PHI Pepco DPL ACE Changes in short-term borrowings, net $ 1,381 $ 36 $ 70 $ 175 $ (280) $ (252) $ 13 $ (41) Long-term debt, net (993) 200 — (75) 50 100 (50) — Changes in intercompany money pool — — — — 15 — 47 48 Issuance of common stock 209 — — — — — — — Dividends paid on common stock (52) (30) — (31) — 37 4 4 Distributions to member — — — — 45 — — — Contributions from parent/member — 169 4 474 (116) 113 (54) (3) Other financing activities 12 (7) — (1) — (2) — (1) Increase (decrease) in cash flows from financing activities $ 557 $ 368 $ 74 $ 542 $ (286) $ (4) $ (40) $ 7 Significant changes in cash flows from financing activities were primarily due to the following: •Changes in short-term borrowings, net, is driven by repayments on and issuances of notes due in less than 365 days.
Cash flows from financing activities: borrowing, equity and dividend changes · Filed 30/07/2026
Value of initial fixed $100 investment based on: Year (a) Summary Compensation Table Total for PEO ($) Compensation Actually Paid to PEO ($) Average Summary Compensation Table Total for Non-PEO NEOs ($) (d) Average Compensation Actually Paid to Non-PEO NEOs ($) (e) Exelon Total Shareholder Return ($) (f) Peer Group Total Shareholder Return ($) (g) Net Income (millions) ($) (h) Utility Earned ROE* (i) Butler (b1) Crane (b2) Butler (c1) Crane (c2) 2025 15,601,905 — 24,610,264 — 3,860,785 5,392,102 173 153 2,768 9.7 % 2024 14,662,924 — 14,638,992 — 3,542,149 3,467,808 144 131 2,460 9.1 % 2023 12,266,720 — 9,261,591 — 3,247,012 2,557,696 132 108 2,328 9.3 % 2022 6,286,091 30,084,980 5,509,746 10,875,275 3,223,949 2,895,438 153 119 2,054 9.4 % 2021 — 15,667,002 — 29,721,525 5,459,913 7,403,484 141 118 1,616 9.2 % (1)The dollar amounts reported in column (b1) are the amounts of total compensation reported for Mr.
Pay for performance: reported net income, utility earned ROE and shareholder returns · Filed 18/03/2026
As of June 30, 2025 NEO Required Ownership Actual Ownership Butler 6x 11.4x Jones 3x 4.7x Innocenzo 3x 7.0x Honorable1 3x 1.6x Glockner 3x 5.3x (1)Ms.
Executive compensation: actual ownership relative to requirements as of June 30, 2025 · Filed 18/03/2026
Shares underlying performance share awards do not count toward the stock ownership requirement.
Executive compensation: exclusion of performance shares from ownership requirements · Filed 18/03/2026
Independence •All Director nominees are independent, except for our CEO •The Board is led by an independent Chairman •All Board Committees are composed wholly of independent Directors •Independent Directors meet regularly in executive session without management present Accountability Engagement •All Directors are elected annually •Directors are elected by majority vote in uncontested elections •Annual performance evaluations of Board members and each Committee are overseen by the Chairman and the CGC •Eligible shareholders may nominate Directors through Exelon’s “proxy access” bylaws •Shareholders can call special meetings •Transparent disclosures of political contributions are regularly published •Lobbying activities and interactions with public officials are subject to robust diligence and oversight •Directors who are not public company CEOs are limited to three additional public company boards in addition to Exelon (four total) •Directors who are public company CEOs are limited to one additional public company board in addition to Exelon (two total) •Active, year-round shareholder engagement program with independent Director participation, as appropriate •Directors are encouraged to attend continuing education programs provided by the Company or third-party providers •Exelon Directors are invited to attend utility Board meetings to gain greater insight into operations and performance at the utility level 2026 ׀ Exelon Proxy Statement 7 Proxy Summary and Roadmap Executive Compensation Highlights WHAT WE DO: WHAT WE DO NOT DO: Pay for performance Significant stock ownership requirements for Directors and executive officers Cap incentive awards and conduct an annual risk assessment of the compensation programs Double-trigger for change-in-control benefits Independent compensation consultant advises the TMCC Limited perquisites Clawback policy for incentive compensation awards Compensation practices aligned with our philosophy for consistent outcomes Engage in year-round shareholder outreach Prohibit hedging or pledging of Company stock Annually assess our programs against peer companies and best practices Set appropriate levels of “stretch” in incentive targets No guaranteed minimum payout of AIP or LTIP programs No employment agreements No excise tax gross-ups for change-in-control agreements The value of LTIP awards is not included in pension or cash severance calculations No more than two years of additional credited service under supplemental pension plans No option repricing or buyouts1 (1)The Company has not issued options since 2012, and there are no options outstanding.
Proxy summary: board structure and existing compensation practices · Filed 18/03/2026
Mandatory Financial Restatement Compensation Recoupment Policy The Board’s Financial Restatement Compensation Recoupment Policy, which complies with Nasdaq listing standards and SEC rules, provides for the mandatory recoupment of certain incentive-based compensation awarded to current and former executive officers, in the event of an accounting restatement resulting from material noncompliance with financial reporting requirements under federal securities laws.
Executive compensation: mandatory financial restatement recoupment policy · Filed 18/03/2026
On July 17, 2020, ComEd entered into a DPA with the USAO to resolve the USAO investigation into its historical state legislative lobbying and related practices in Illinois.
Commitments and contingencies: ComEd deferred prosecution agreement · Filed 12/02/2026
Treasury of $200 million, which was paid in November 2020.
Commitments and contingencies: historical Treasury payment · Filed 12/02/2026
The three-year term of the DPA ended on July 17, 2023, and on that same date the court granted the USAO’s motion to dismiss the pending charge against ComEd that had been deferred by the DPA.
Commitments and contingencies: expiration of DPA and dismissal of deferred charge · Filed 12/02/2026
Oversight of Interactions with Public Officials In 2020, Exelon implemented four company-wide ethics policies that substantially increased oversight of our interactions with public officials, instituted a series of new controls, and enhanced guidance and training.
Corporate governance: implemented oversight policies for interactions with public officials · Filed 18/03/2026
Our operating companies rank among the top performers nationally for electric reliability as benchmarked against our peers – first, second, fourth, and seventh – reflecting years of sustained investment in grid resilience and modernization.
Shareholder letter: issuer-reported reliability rankings · Filed 18/03/2026
With a $41.3 billion four-year capital plan and 7.9% expected rate base growth, we are well-positioned to deliver annualized earnings growth near the top end of 5% to 7% through 2029.
Shareholder letter: prospective capital plan and growth expectations · Filed 18/03/2026
