WASHINGTON, D.C. and CHICAGO –More District of Columbia community, business, labor, nonprofit and faith leaders are voicing support for the Pepco Holdings-Exelon merger, which will bring increased reliability, sustainability and economic benefits to the region. In addition, in the past week, more than 600 members of the community have signed letters voicing support for the merger.
Among those speaking out in favor of the merger are community and economic development leaders, and senior officials of several businesses and labor organizations.
"A more reliable electric grid and a strong commitment to affordable rates will help the economy, and that helps workers," said Andre Lee, political chairman of the American Federation of State, County and Municipal Employees. "I'm also encouraged to see Pepco Holdings and Exelon make workforce development and investment in the District economy a key feature of their merger."
Lee and other new supporters join representatives of more than 80 District business, community and faith organizations that already voiced support for the transaction in proceedings before the Public Service Commission of the District of Columbia (PSC).
"The merger presents a unique opportunity to improve quality of life for residents in the District," said Rayseen Woodland, a community leader and current ANC commissioner. "Pepco Holdings and Exelon have made a long-term commitment to enhance customer service and support the organizations and institutions that make our neighborhoods stronger."
Pepco Holdings and Exelon have committed to a more than $78 million package of benefits for the District of Columbia and Pepco customers in the companies' proposed merger.
"These commitments will support District residents who struggle to pay their bills," said Marshall Phillips, minister at the Greater Mount Calvary Holy Church. "None of that would be possible absent the merger, and that's why it is critical that we not miss this opportunity."
Anwar Saleem, executive director of H Street Main Street, said the companies' commitment to provide $19 million to District nonprofits over 10 years demonstrates their long-term commitment to strengthening communities and the local economy.
"The merger ensures that Pepco remains a strong, invested community partner for years to come," he said.
Charles Weaver, president of the Jetu Tenants Association, said he supports the merger because it will increase access to renewable energy and commit the companies to reducing the length and duration of power outages.
"We need a modern, more sustainable electricity grid that also holds the line on rates," he said. "This merger delivers on that promise."
Cautionary Statements Regarding Forward-Looking Information
Except for the historical information contained herein, certain of the matters discussed in this communication constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, both as amended by the Private Securities Litigation Reform Act of 1995. Words such as "may," "might," "will," "should," "could," "anticipate," "estimate," "expect," "predict," "project," "future," "potential," "intend," "seek to," "plan," "assume," "believe," "target," "forecast," "goal," "objective," "continue" or the negative of such terms or other variations thereof and words and terms of similar substance used in connection with any discussion of future plans, actions, or events identify forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding benefits of the proposed merger, integration plans and expected synergies, the expected timing of completion of the transaction, anticipated future financial and operating performance and results, including estimates for growth. These statements are based on the current expectations of management of Exelon Corporation (Exelon) and Pepco Holdings, Inc. (PHI), as applicable. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements included in this communication. For example, (1) the uncertainty surrounding reconsideration of the denial of the Merger application by the DC Public Service Commission may delay the merger or cause the companies to abandon the merger; (2) conditions to the closing of the merger may not be satisfied; (3) problems may arise in successfully integrating the businesses of the companies, which may result in the combined company not operating as effectively and efficiently as expected; (4) the combined company may be unable to achieve cost-cutting synergies or it may take longer than expected to achieve those synergies; (5) the merger may involve unexpected costs, unexpected liabilities or unexpected delays, or the effects of purchase accounting may be different from the companies' expectations; (6) the credit ratings of the combined company or its subsidiaries may be different from what the companies expect; (7) the businesses of the companies may suffer as a result of uncertainty surrounding the merger; (8) the companies may not realize the values expected to be obtained for properties expected or required to be sold; (9) the industry may be subject to future regulatory or legislative actions that could adversely affect the companies; and (10) the companies may be adversely affected by other economic, business, and/or competitive factors. Other unknown or unpredictable factors could also have material adverse effects on future results, performance or achievements of the combined company. Therefore, forward-looking statements are not guarantees or assurances of future performance, and actual results could differ materially from those indicated by the forward-looking statements. Discussions of some of these other important factors and assumptions are contained in Exelon's and PHI's respective filings with the Securities and Exchange Commission (SEC), and available at the SEC's website at www.sec.gov, including: (1) Exelon's 2015 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 Operations and (c) ITEM 8. Financial Statements and Supplementary Data: Note 23; (2) the definitive proxy statement that PHI filed with the SEC on August 12, 2014 and mailed to its stockholders in connection with the proposed merger (as supplemented by PHI's Form 8-K filed with the SEC on September 12, 2014); and (3) PHI's 2015 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 Operations and (c) ITEM 8. Financial Statements and Supplementary Data: Note 16. In light of these risks, uncertainties, assumptions and factors, the forward-looking events discussed in this communication may not occur. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this communication. Neither Exelon nor PHI undertakes any obligation to publicly release any revision to its forward-looking statements to reflect events or circumstances after the date of this communication. New factors emerge from time to time, and it is not possible for Exelon or PHI to predict all such factors. Furthermore, it may not be possible to assess the impact of any such factor on Exelon's or PHI's respective businesses or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement. Any specific factors that may be provided should not be construed as exhaustive.