1. Overview: Hurricane Sandy 1 st Quartile Insights Conference August 21 st, 2013

2. 2 Exelon at a Glance Generation Companies Nuclear, Fossil, Wind, Solar Utility Companies PECO, ComEd & BGE 7.9M customers - 6.7M elect.&1.2M gas ( 2 nd largest in U.S.) Shared services including HR, IT and Finance A founding member of the PJM Interconnection PJM Interconnection is a regional transmission organization (RTO) that manages the high-voltage electric grid and the wholesale electricity market that serves 13 states and the District of Colombia Exelon Corporation is one of the largest electric companies in North America with more than $23 billion in annual revenues. Exelon's family of companies includes energy generation, power marketing, transmission and energy delivery

3. 3 3 PECO PROFILE Subsidiary of Exelon Corporation Serving the greater Philadelphia Pennsylvania area for over 100 years 2,100 square miles (5,400 km 2 ) service territory Population Density 3.8 Million in retail service territory (2.3 Million In Philadelphia) Electric and Gas Utility 1.6 M Electric Customers (677,000 in Philadelphia) 8,984 megawatt peak load 500K Gas Customers

4. 4 4 PECO PROFILE Primary Distr. Circuit Miles - 21,800 Total (13,000 O/H & 8,800 U/G) Voltages (Distribution) 34kV, 13kV, 4kV, 2.4kV Transmission Miles - 1,063 (including 69 kV) Voltages (Transmission) 500kV, 230kV, 138 kV, 69kV Substations 450 (18,468 MVA Installed Capacity) Circuits (Distribution) 2,200 Distribution Transformers 177,000 Poles 400,000 Reclosers 1,600 Manholes 28,500

5. The Forecast 5

6. 6 Overview of Hurricane Sandy Hurricane Sandy caused widespread damage along the East Coast Overall, more than 9 million customers lost power during the event While the New Jersey and New York coast lines were the hardest hit, there was significant impact to southeastern Pennsylvania The Pennsylvania Department of Transportation reported that more than 200 bridges and roads were closed because of downed trees, power lines and flooding,

7. 7 Overview of Hurricane Sandy In excess of 1.2M PECO customers lost power. Over 840,000 customers experienced a sustained outage and 465,000 were out of service concurrently at the storm peak. Sandy was the most damaging storm in company history. Sandy caused approximately 3,500 primary events, 90% more events than Hurricane Irene

8. 8 Overview of Hurricane Sandy Over 4,700 employees and contractors worked around-the-clock to repair damage and restore service Workers from as far away as Louisiana, Mississippi, Florida, Tennessee and Kentucky, as well as ComEd and BGE crews, helped with the PECO effort Safety, as always, is PECO’s highest priority. We worked closely with our local emergency responders and communicated with our customers regarding safety through multiple communications channels Coordination between PECO and governmental entities was essential to our emergency response strategy

9. Preparation During the week of 10/22, PECO recognized the potential of the storm and began developing a specific storm response strategy Modeled on previous Hurricane responses, including Irene of 2011 Work schedules and accommodations for essential staff were put in place Foreign crew resources were identified and secured Operations sub-centers were opened and staffed Materials and supplies were staged The distribution system configuration was normalized All IT system work was suspended and systems stabilized On October 26 Governor Tom Corbett declared a state of emergency on October 26 to speed overall preparations All travel limited to essential personnel only 9

10. 10 Preparation Initiated Pre-Event Planning and Preparations Five Days Prior to Storm Held Pre-Event Conference Calls to Discuss Preparations and Planning Around the Clock Staffing Strategy was Organized Mobilized 1,670 PECO Operations and Support Personnel Secured More Than 3,030 Additional Personnel for Assistance with Restoration and Tree Trimming Conducted Interviews and Briefings with Media to Discuss Storm Preparations, Planning and Customer Outage Expectations Conducted Outreach with Elected Officials and Local Governments State Regulatory and Elected Officials County 911 Centers Outreach and Staffing Municipal and County Governments

11. 11 Using Lessons Learned from Irene Utilization of Established Hurricane Plan Utilized a 200 point plan produced as a result of Lessons Learned from Hurricane Irene Advanced Planning Keys Activated EOC (Emergency Operation Center) on Thursday morning (10/25) and remained open through 11/16 for system restoration and recovery work Early identification and requests for external support.

12. 12 Using Lessons Learned from Irene Staging of Crews Followed Sub Center model: Staffed centers, mobilized storm kits and material, accommodation arrangements, etc. 240 Crews were on the ground and ready to mobilize before the storm hit Communications to Employees Media and communications positions were double-staffed and followed protocol established during Irene.

13. 13 Using Lessons Learned from Irene Road Closures  Dedicated External and Operations Coordinators, and up to 8 field teams. PECO cleared 305 roads (~200% over Irene)  Used new system event codes to accelerate ID and dispatch Customer Communications Regarding Restorations  Proactive outbound calls to most impacted customers  Four On-Site Command Centers to provide face-to-face communications opportunities and information sheets for customers in most impacted areas  Launched website to provide customers with outage information on mobile devices Permitting for Foreign Crews  PECO coordinated with PEMA, PENNDOT, the Governor’s Office and the Turnpike Authorities, as well as officials in other states, to expedite the ability of crews to reach the PECO service territory and support restoration efforts

14. 14 Hurricane Sandy Statistics Start Time – Monday 10/29/12 @ 05:59 End Time – Tuesday 11/6/12 @ 23:13 Storm Size – Extreme (>1000 Primary Events) Opcon Level 6 - All Hands Major Event Days (MED) – 7 days Primary Events - 3,535 2.5 beta CAIDI – 177 (2.95 hours) All-in CAIDI -1,638 (27.3 hours)

15. 15 Hurricane Sandy Statistics Sustained Customer Outage - 843,007 Secondary Non-Outage events (WTR, WDN,WSA) – 3,150 Customers restored prior to ETR - 48.2% ETR Reach - 68.9% Service Level - 92.6% PECO Field and Gas Mechanics/Foreman - 868 Foreign Crews/Contractors – 2,055 Tree Trimmers – 849 Office - 928

16. 16 Sandy Outages and Restoration Specific Issues Impacting Restoration High winds resulting in down trees Road closures 40+ MPH winds that required crews to stand down for 5 hours Some localized flooding Damage to Distribution System (as compared to Irene) Cross Arms – 2,875 (+37%) Fuses – 16,522 (+31%) Poles – 750 (+141%) Transformers – 390 (+57%) Wire and Cable – 141 miles (+60%) Responded to almost 2,600 police, fire and wire down jobs Polling locations Due to pending election on Teas. 11/6, approximately 2,100 polling locations had to be verified to determine outage status, and expedite response as required.

17. 17 Number and Percentage of Customers Restored Restored within 24 hours of outage524,00062.4% Restored within 48 hours of outage678,46880.6% Restored within 72 hours of outage764,80190.8% Restored within 7 days of outage849,83099.98% Sandy Outages and Restoration Customer Restoration Timeline Restoration Strategy Restore service to any affected substations/unit substations Perform switching to re-route power to customers when possible Restore power to critical care customers Restore customers with attention given to circuits based on number of affected customers – cut and run initially Restore power to smaller neighborhoods and individual services

18. 18 Lessons Learned from Sandy A full review of our Hurricane Sandy preparations and response was conducted within departments and as an organization Successes to be Replicated: Pre-Planning and early activation set us up for success Utility Mutual Assistance again played an essential role in ensuring our ability to respond to the event - PECO joined S.E.E. after Irene AMR meter pinging prevented approximately 6,100 truck rolls, accelerating our restoration efforts by 2 to 3 days Effective communications focused on safety Our sourcing strategy fully met our needs - No significant material issues Having ALM’s, Supervisors, and Asplundh at Sub-Centers was very effective

19. 19 Lessons Learned from Sandy New Opportunities (Sandy Lessons learned, in conjunction with Emergency Preparedness Standardization Initiatives, through Exelon Utilities): ETR determination and communication strategy review Sub-Center/Sub-Station process review Sub-Center communications and dispatch capabilities review Damage Assessment best practice review More “seamless” sharing of Exelon resources Lock Out / Tag Out consistency between the 3 utilities Ability to view circuit maps between companies Electronic Work Packages Enhanced utilization of GPS Further enhancements to Road Closure process Expand use of social media Further enhancing our Storm Center website

20. 20 Lessons Learned from Sandy Additional opportunities:  Electronic work packages oGPS prints on CD or flash drive  Clarify and communicate the “sub-center” process oEnhance sub-centers to be self-sufficient  Improve process for PECO material clean-up after work is complete  Establish air card process  Lock Out / Tag Out for Annuitants  Create PECO service territory information booklet for contractors and foreign crews

21. 21 Appendices

22. 22 Appendices

23. https://www.peco.com/CustomerService/OutageCenter/Pages/default.aspx 23

24. 24 Questions?