Summary
This 8-K filing from Exelon Corporation (EXC) on September 16, 2008, primarily announces the Illinois Commerce Commission's (ICC) decision regarding Commonwealth Edison Company's (ComEd) 2007 rate case. The ICC approved a $273.6 million increase in ComEd's delivery service revenue, effective September 16, 2008. This decision is based on a rate base of $6,694 million, an authorized return on equity of 10.30%, and an overall rate of return of 8.36%. The order also includes implications for ComEd's financial statements in the third quarter of 2008, with approximately $37 million (pre-tax) in fixed asset disallowances and a $13 million (pre-tax) regulatory asset establishment.
Key Highlights
- 1Commonwealth Edison Company (ComEd) received ICC approval for a $273.6 million delivery service revenue increase.
- 2The rate increase is effective September 16, 2008.
- 3The ICC authorized a rate base of $6,694 million.
- 4An authorized return on equity of 10.30% was set by the ICC.
- 5The overall rate of return authorized is 8.36%.
- 6ComEd will recognize approximately $37 million (pre-tax) in fixed asset disallowances in Q3 2008.
- 7Approximately $13 million (pre-tax) will be established as a regulatory asset for future recovery.