8-KEarnings & ResultsRegulation FDExhibits & Filings

FIRSTENERGY CORP 8-K Report, Financial Results (May 6, 2014)

Filed May 6, 2014For Securities:FE

Summary

FirstEnergy Corp. (FE) announced on May 6, 2014, its first quarter 2014 results and a narrowing of its 2014 operating earnings guidance. The company's filings included a press release and a consolidated report to the financial community, which detail financial performance and operational updates. A key focus of the report is the use of non-GAAP financial measures, such as "Operating earnings," to provide management and investors with a clearer view of ongoing business performance by excluding "special items." Investors should note that while FirstEnergy utilizes these non-GAAP measures for performance evaluation and comparability, they are not a substitute for GAAP measures and may not be comparable to similar metrics used by other companies. The company also highlighted the posting of an updated investor FactBook to its website, providing further details as of the quarter ended March 31, 2014, and reiterated its commitment to improving credit metrics and strengthening its balance sheet through strategic and financial plans.

Key Highlights

  • 1FirstEnergy Corp. reported its first quarter 2014 financial results on May 6, 2014.
  • 2The company narrowed its 2014 operating earnings guidance.
  • 3FirstEnergy utilizes non-GAAP financial measures like "Operating earnings" to assess performance, excluding "special items" for comparability.
  • 4These non-GAAP measures are intended to complement, not replace, GAAP financial measures.
  • 5An updated investor FactBook for the quarter ended March 31, 2014, was posted on the company's website.
  • 6The company reiterated its focus on strategic and financial plans to improve credit metrics and strengthen its balance sheet.
  • 7The filing includes a comprehensive list of risks and uncertainties that could materially affect future results.

Frequently Asked Questions

This 8-K filing primarily serves to announce FirstEnergy Corp.'s first quarter 2014 financial results and to update its 2014 operating earnings guidance. It also provides context for the non-GAAP financial measures the company uses and directs investors to additional resources like the investor FactBook.

Operating earnings are a non-GAAP financial measure that excludes the impact of "special items" from net earnings. FirstEnergy uses this measure, along with others like "Adjusted Equity" and "Adjusted Debt," to provide a more consistent and comparable view of its ongoing business performance and to help shareholders understand performance trends. Management also uses them for operational decision-making and to monitor compliance with financial covenants.

Investors can find more detailed information in the "Press Release" (Exhibit 99.1) and the "Consolidated Report to the Financial Community" (Exhibit 99.2) attached to this 8-K filing. Additionally, an updated investor FactBook, with information as of the quarter ended March 31, 2014, was posted on FirstEnergy's investor relations website (www.firstenergycorp.com/ir).

The filing outlines numerous risks and uncertainties, including increased competition in the electric utility industry, regulatory outcomes, economic and weather conditions, changing energy market prices, evolving environmental regulations, potential litigation, and challenges associated with aging generating units and nuclear operations. These factors could materially impact the company's future results.