If accepted, Illinois utilities' proposal would provide summer bill assistance for all residential customers SPRINGFIELD, Ill., May 30 /PRNewswire/ -- ComEd today announced it would join in a statewide, three-year $500 million rate relief and consumer assistance proposal. If accepted, the comprehensive proposal would provide $300 million for ComEd customers and $200 million for Ameren customers through 2009. Both ComEd and Ameren have indicated publicly that they would participate in such a proposal as long as rate freeze, generation tax or other adverse legislation are not passed. "This landmark proposal represents half a billion dollars in relief for Illinois electric consumers over three years and would resolve the ongoing 'rate debate' in Springfield," said Frank M. Clark, ComEd chairman and CEO. "We are continuing ComEd's ongoing commitment to helping our customers transition to the new rates, building on our CARE program, our previously announced rate relief initiative targeted at those who need it most, and providing automatic bill credits to reduce customers' increases in the summer months." ComEd's portion of the new, statewide proposal has two key parts: a summer bill credit program for all residential customers and an enhanced rate relief and consumer assistance initiative for those who need it most. While the proposal elements have been outlined as follows, ComEd remains open to working with the General Assembly to further enhance or modify these programs to best serve customers. Summer Bill Credits for All Residential Customers ComEd's proposal includes $200 million for a summer bill credit program for all residential customers, which would cover three months of summer bills in both 2007 and 2008. For this year, ComEd would distribute $100 million to consumers in the form of a one-time $30 bill credit on July bills to cover the summer period of June, July and August. This credit would essentially reduce the electric rate increase for the three summer months to 5 percent on average, and would eliminate the entire summer increase for many customers. Individual customers' summer increases may be higher or lower than the 5 percent average. The summer bill credit program would continue in 2008 at the same funding level. ComEd plans to file this proposal with the Illinois Commerce Commission. "We recognize that most consumers' electric bills tend to be higher in the summer months because of increased usage, and that's why we are focusing additional dollars on providing summer relief for all residential customers," Clark said. "A $30 bill credit pays for the cost of running a medium-sized window air conditioner for about 600 hours during the three summer months, which is a very meaningful benefit for our customers, especially now as the weather starts to get warmer." Enhanced Rate Relief and Assistance Initiative for Customers Most in Need The proposal also increases to $100 million ComEd's previously announced rate relief and consumer assistance initiative targeted to customers who need it most -- $36 million above and beyond the $64 million ComEd had already committed, as part of a $152 million package supported by utilities and generators. In 2007, $50 million will be available to customers. Last week, ComEd began enrolling customers in its previously announced rate relief and assistance initiative. In the first week of enrollment, more than 500 customers have applied. Eligible customers include low-income customers, working families, all-electric households, and certain apartment and condominium building owners' common areas. In addition, non-residential customers including religious institutions, community centers, schools, charitable organizations and some small businesses may be eligible for non-residential special hardship fund grants of up to $5,000. For most of the programs, customers must apply for the assistance dollars through the Illinois Community Action Association and 15 of its member Community Action Agencies, which are administering the programs. Additional information on eligibility guidelines, the application process, and the location of administering agencies is available in the ComEd Rate Relief and Assistance Initiative brochure, available at http://www.comedcare.com/ or by calling 888-806-CARE (2273). Under the new proposal, the ComEd programs would remain largely the same as previously announced, with a few enhancements to expand assistance to more customers. The enhancements include a resolution of outstanding issues on apartment and condominium building common area customer accounts, increased funding for special hardship funds, and increased 2008-2009 funding for programs to assist customers most in need. This new proposal would be funded jointly by utilities and electric generators. Exelon Generation and other generators would contribute about $300 million. Ameren and ComEd would each contribute $100 million. The proposal would be possible as long as rate freeze, generation tax or other adverse legislation is not passed by both the House and the Senate. "The $500 million statewide proposal is a superior alternative to rate freeze legislation because it provides immediate relief for all customers while ensuring that ComEd can continue to provide reliable service," said Clark. "A rate freeze or generation tax law would be challenged in court and therefore are not likely to provide any immediate help for our customers and would likely cost customers more in the long run. This would leave our customers who are in need without a penny of relief now or possibly ever." This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, that are subject to risks and uncertainties. The factors that could cause actual results to differ materially from these forward-looking statements include those discussed herein as well as those discussed in (1) Exelon's and ComEd's 2006 Annual Report on Form 10-K in (a) ITEM 1A. Risk Factors, (b) ITEM 7. Management's Discussion and Analysis of Financial Condition and Results of Operation and (c) ITEM 8, Financial Statements and Supplementary Data: Note 18; (2) Exelon's First Quarter 2007 Quarterly Report on Form 10-Q in (a) Part II, Other Information, ITEM 1A. Risk Factors and (b) Part I, Financial Information, ITEM 1. Financial Statements: Note 13; and (3) other factors discussed in filings with the SEC by Exelon and ComEd. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this press release. Exelon and ComEd do not undertake any obligation to publicly release any revision to its forward-looking statements to reflect events or circumstances after the date of this press release. Commonwealth Edison Company (ComEd) is a unit of Chicago-based Exelon Corporation (NYSE:EXC), one of the nation's largest electric utilities with approximately 5.4 million customers and more than $15 billion in annual revenues. ComEd provides service to approximately 3.8 million customers across Northern Illinois, or 70 percent of the state's population. DATASOURCE: ComEd CONTACT: Judy Rader of ComEd Media Relations, +1-312-394-3500 Web site: http://www.comedcare.com/

Copyright