President and CEO Brian X.
Tierney highlights company's progress and strong position in
shareholder address;
Company announces preliminary voting results
AKRON,
Ohio, May 22, 2024 /PRNewswire/ -- Speaking at
the company's 2024 Annual Meeting of Shareholders, FirstEnergy
Corp. (NYSE: FE) President and Chief Executive Officer Brian X. Tierney said FirstEnergy has become a
stronger and more resilient company with a foundation of integrity
and a very bright future.
"We have a strong foundation, clear focus and robust strategy to
deliver long-term value to our shareholders, customers, communities
and employees," he said.
Tierney said FirstEnergy is building on its progress with the
goal of becoming one of the nation's premier electric companies. To
realize that goal, the company is executing on a business model
encompassing four components: investing, operating, recovering
costs and financing.
"This business model creates a Virtuous Cycle that will
help improve reliability, grow rate base, engage employees, improve
returns and maintain a strong balance sheet," he said.
Tierney discussed the interconnection between each component of
the cycle and the company's recent progress in each of these areas,
including its customer-focused, $26
billion grid modernization plan, Energize365. He also
highlighted a new operating structure that better supports
execution at the local level, where it can make a positive
difference for customers, recent regulatory milestones and
significant improvements to the company's balance sheet that
support growth, enabled recent increases in dividend payments for
investors and led to upgrades to investment-grade credit ratings by
the major rating agencies.
"Our goal is to continue impacting each phase of the cycle in a
positive way to build on our momentum and benefit all of our
stakeholders," Tierney said. "Together with our unwavering
commitment to ethics and integrity, performance excellence and
continuous improvement, we are confident that strong execution of
the virtuous business cycle model will help us achieve our
strategic objectives and deliver value."
Tierney said FirstEnergy's commitment to responsible business,
grounded in strong governance, is at the heart of its business
model and woven through each step of the Virtuous Cycle.
"We're committed to supporting our customers and employees and
demonstrating stewardship of the environment and our communities,"
he said. "Responsible business is good business that helps us
refine and execute our strategies, and it's a hallmark of excellent
companies."
Tierney's presentation and remarks are available in the Newsroom
on firstenergycorp.com.
Preliminary Voting Results
FirstEnergy also announced preliminary voting results from its
2024 Annual Meeting. Shareholders reelected 10 directors to new
one-year terms on the company's Board and ratified the appointment
of PricewaterhouseCoopers LLP as the company's independent
registered public accounting firm for 2024. Shareholders approved,
on an advisory basis, named executive officer compensation.
Preliminary results indicate shareholders did not approve three
shareholder proposals, which sought a report integrating climate
metrics to compensation plans, changes to the company's
compensation recoupment policy and a report related to the costs of
the company's climate strategy.
All preliminary voting results are subject to final
certification and will be filed with the Securities and Exchange
Commission on a Form 8-K.
The following directors were elected to one-year terms:
- Heidi L. Boyd, Senior Managing
Director, Blackstone Inc.
- Jana T. Croom, Chief Financial
Officer, Kimball Electronics,
Inc.
- Steven J. Demetriou, Executive
Chair of the Board of Directors of Jacobs Solutions Inc.
- Lisa Winston Hicks, Lead
Independent Director of the Board and retired Board Chair of MV
Transportation, Inc.
- Paul Kaleta, retired Executive
Vice President, General Counsel, Federal Affairs, Chief Compliance
Officer and Corporate Secretary at First Solar, Inc.; Managing
Director of SERC Consulting LLC
- James F. O'Neil III, former
Chief Executive Officer and Vice Chairman of Orbital Infrastructure
Group
- John W. Somerhalder, II,
Non-Executive Board Chair of FirstEnergy; former Interim President
and Chief Executive Officer of Center Point Energy, Inc.
- Brian X. Tierney, President and
Chief Executive Officer of FirstEnergy
- Leslie M. Turner, retired Senior
Vice President, General Counsel and Corporate Secretary of The
Hershey Company
- Melvin Williams, retired
President of Nicor Gas and Senior Vice President of Southern
Company Gas
FirstEnergy is dedicated to integrity, safety, reliability and
operational excellence. Its electric distribution companies form
one of the nation's largest investor-owned electric systems,
serving more than 6 million customers in Ohio, Pennsylvania, New
Jersey, West Virginia,
Maryland and New York. The company's transmission
subsidiaries operate approximately 24,000 miles of transmission
lines that connect the Midwest and Mid-Atlantic regions. Follow
FirstEnergy online at www.firstenergycorp.com and on X,
formerly known as Twitter, @FirstEnergyCorp.
Forward-Looking Statements: This news release
includes forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995 based on
information currently available to management. Such statements are
subject to certain risks and uncertainties and readers are
cautioned not to place undue reliance on these forward-looking
statements. These statements include declarations regarding
management's intents, beliefs and current expectations. These
statements typically contain, but are not limited to, the terms
"anticipate," "potential," "expect," "forecast," "target," "will,"
"intend," "believe," "project," "estimate," "plan" and similar
words. Forward-looking statements involve estimates, assumptions,
known and unknown risks, uncertainties and other factors that may
cause actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by such forward-looking statements, which may
include the following: the potential liabilities, increased costs
and unanticipated developments resulting from government
investigations and agreements, including those associated with
compliance with or failure to comply with the Deferred Prosecution
Agreement entered into July 21, 2021
with the U.S. Attorney's Office for the Southern District of
Ohio; the risks and uncertainties
associated with government investigations and audits regarding Ohio
House Bill 6, as passed by Ohio's
133rd General Assembly ("HB 6") and related matters, including
potential adverse impacts on federal or state regulatory matters,
including, but not limited to, matters relating to rates; the risks
and uncertainties associated with litigation, arbitration,
mediation, and similar proceedings, particularly regarding HB 6
related matters, including risks associated with obtaining
dismissal of the derivative shareholder lawsuits; changes in
national and regional economic conditions, including recession,
volatile interest rates, inflationary pressure, supply chain
disruptions, higher fuel costs, and workforce impacts, affecting us
and/or our customers and those vendors with which we do business;
variations in weather, such as mild seasonal weather variations and
severe weather conditions (including events caused, or exacerbated
by climate changes, such as wildfires, hurricanes, flooding,
droughts, high wind events and extreme heat events) and other
natural disasters affecting future operating results and associated
regulatory actions or outcomes in response to such conditions;
legislative and regulatory developments, including, but not limited
to, matters related to rates, compliance and enforcement activity,
cyber security, and climate change; the risks associated with
physical attacks, such as acts of war, terrorism, sabotage or other
acts of violence, and cyber-attacks and other disruptions to our,
or our vendors', information technology system, which may
compromise our operations, and data security breaches of sensitive
data, intellectual property and proprietary or personally
identifiable information; the ability to meet our goals relating to
employee, environmental, social and corporate governance
opportunities, improvements, and efficiencies, including our
greenhouse gas ("GHG") reduction goals; the ability to accomplish
or realize anticipated benefits through establishing a culture of
continuous improvement and our other strategic and financial goals,
including, but not limited to, overcoming current uncertainties and
challenges associated with the ongoing government investigations,
executing Energize365, our transmission and distribution investment
plan, executing on our rate filing strategy, controlling costs,
improving credit metrics, maintaining investment grade ratings, and
growing earnings, changing market conditions affecting the
measurement of certain liabilities and the value of assets held in
our pension trusts may negatively impact our forecasted growth
rate, results of operations, and may also cause us to make
contributions to our pension sooner or in amounts that are larger
than currently anticipated; mitigating exposure for remedial
activities associated with retired and formerly owned electric
generation assets; changes to environmental laws and regulations,
including but not limited to those related to climate change;
changes in customers' demand for power, including but not limited
to, economic conditions, the impact of climate change, emerging
technology, particularly with respect to electrification, energy
storage and distributed sources of generation; the ability to
access the public securities and other capital and credit markets
in accordance with our financial plans, the cost of such capital
and overall condition of the capital and credit markets affecting
us, including the increasing number of financial institutions
evaluating the impact of climate change on their investment
decisions; future actions taken by credit rating agencies that
could negatively affect either our access to or terms of financing
or our financial condition and liquidity; changes in assumptions
regarding factors such as economic conditions within our
territories, the reliability of our transmission and distribution
system, or the availability of capital or other resources
supporting identified transmission and distribution investment
opportunities; the potential of non-compliance with debt covenants
in our credit facilities; the ability to comply with applicable
reliability standards and energy efficiency and peak demand
reduction mandates; human capital management challenges, including
among other things, attracting and retaining appropriately trained
and qualified employees and labor disruptions by our unionized
workforce; changes to significant accounting policies; any changes
in tax laws or regulations, including, but not limited to, the
Inflation Reduction Act of 2022, or adverse tax audit results or
rulings; and the risks and other factors discussed from time to
time in our Securities and Exchange Commission ("SEC") filings.
Dividends declared from time to time on FirstEnergy Corp.'s common
stock during any period may in the aggregate vary from prior
periods due to circumstances considered by FirstEnergy Corp.'s
Board of Directors at the time of the actual declarations. A
security rating is not a recommendation to buy or hold securities
and is subject to revision or withdrawal at any time by the
assigning rating agency. Each rating should be evaluated
independently of any other rating. These forward-looking
statements are also qualified by, and should be read together with,
the risk factors included in FirstEnergy Corp.'s (a) Item 1A. Risk
Factors, (b) Item 7. Management's Discussion and Analysis of
Financial Condition and Results of Operations, and (c) other
factors discussed herein and in FirstEnergy's other filings with
the SEC. The foregoing review of factors also should not be
construed as exhaustive. New factors emerge from time to time, and
it is not possible for management to predict all such factors, nor
assess the impact of any such factor on FirstEnergy Corp.'s
business or the extent to which any factor, or combination of
factors, may cause results to differ materially from those
contained in any forward-looking statements. FirstEnergy Corp.
expressly disclaims any obligation to update or revise, except as
required by law, any forward-looking statements contained herein or
in the information incorporated by reference as a result of new
information, future events or otherwise.
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SOURCE FirstEnergy Corp.