EXELON CORP (EXC)

Exelon is a utility services holding company engaged in the energy transmission and distribution businesses through six regulated utility subsidiaries: ComEd, PECO, BGE, Pepco, DPL, and ACE. It does not generate the electricity it delivers. Its strategy is to improve reliability and operations, enhance the customer experience, and advance clean and affordable energy choices while ensuring that ratemaking mechanisms provide fair financial returns. The utilities expect to invest about $41 billion over the next four years in electric and gas infrastructure, including smart grid technology, storm hardening, transmission projects, and new business such as data centers.

The utilities purchase and sell electricity at regulated rates and, at PECO, BGE and DPL, natural gas as well. ComEd serves northern Illinois, including Chicago. PECO serves southeastern Pennsylvania, including Philadelphia, with natural gas in the surrounding counties. BGE serves central Maryland, including Baltimore, with electricity and natural gas. Pepco Holdings LLC is a subsidiary holding company for Pepco, DPL and ACE. Pepco serves the District of Columbia and parts of Montgomery and Prince George's Counties in Maryland. DPL serves portions of Delaware and Maryland with electricity and parts of New Castle County, Delaware with natural gas. ACE serves southern New Jersey. The utilities also provide regulated transmission service at FERC-approved, formula-based rates under the PJM tariff, and run energy efficiency and demand response programs. The service company subsidiaries BSC and PHISCO provide support services at cost, such as legal, finance, information technology and supply management.

Customers are retail electric and gas users in each service territory. As of December 31, 2025, ComEd had about 4.2 million electric customers, PECO 1.7 million electric and 0.6 million gas, BGE 1.4 million electric and 0.7 million gas, Pepco 1.0 million electric, DPL 0.6 million electric and 0.1 million gas, and ACE 0.6 million electric. Customers can generally choose competitive electricity or gas suppliers, but the utilities remain the delivery providers and keep default service obligations for customers who do not choose one. Delivery volumes are seasonal, with higher electric demand in summer and winter and higher gas demand in winter. Decoupling mechanisms at ComEd, BGE, Pepco, DPL Maryland and ACE largely insulate their revenues from weather and usage.

The utilities operate under franchises, permits and certificates from local governments and state commissions. Their rates and service are regulated by state commissions (ICC, PAPUC, MDPSC, DCPSC, DEPSC, NJBPU), and FERC regulates transmission and NERC sets reliability standards. ComEd's franchise agreement with the City of Chicago continues indefinitely, subject to a one-year termination notice. Electricity is procured under state-directed contracts and PJM markets. Natural gas is bought from multiple suppliers and supplemented with firm pipeline transportation, LNG, propane-air and underground storage. Exelon had 20,571 employees at December 31, 2025, and about 42% participate in collective bargaining agreements.