Summary
Exelon Corporation and its subsidiary Commonwealth Edison Company have reached a settlement with the Securities and Exchange Commission (SEC), bringing to a close an investigation that began in July 2020. This settlement resolves all outstanding matters related to conduct previously disclosed in a deferred prosecution agreement that Commonwealth Edison successfully exited in July 2023. Under the terms of the settlement, the companies have agreed to pay a civil penalty of $46.2 million. Exelon had already accrued this amount in the second quarter of 2023, meaning it has no unexpected financial impact on current or future reported earnings. The SEC's order acknowledges the companies' full cooperation and the significant enhancements made to their compliance programs.
Key Highlights
- 1SEC investigation resolved: Exelon and Commonwealth Edison have settled with the SEC, concluding a significant regulatory matter.
- 2Civil penalty of $46.2 million agreed upon.
- 3No new financial impact: The settlement amount was already accrued and reflected in Q2 2023 results, meaning no surprise charges.
- 4Cooperation acknowledged: The SEC order recognized the companies' full cooperation throughout the investigation.
- 5Compliance enhancements noted: The SEC acknowledged the significant improvements made to Exelon's compliance program.
- 6Deferred prosecution agreement successfully exited: Commonwealth Edison completed its deferred prosecution agreement in July 2023.