First Energy Restructuring Update

Thursday, November 8, 2018
Continuing our effort to share restructuring information as we move through this process, we want to bring you up to date on some recent developments.
 
At the most recent FES Board meeting, two important issues were considered:
  • Bruce Mansfield: We decided to accelerate the deactivation schedule for Bruce Mansfield Units 1 & 2 from June 1, 2021, to February 5, 2019. Notice has been provided to PJM of the deactivation and we have purchased enough replacement capacity to cover our obligations with PJM through their originally contemplated deactivation dates in 2021.
  • Mansfield Unit 3 remains on schedule for a June 1, 2021 deactivation. As we announced on August 29, we do not anticipate this will change. Going forward, we will be focused on improving the operating efficiency of a safe and reliable Unit 3 only operation.
  • FES and our creditors are working diligently to continue to look for opportunities to keep our remaining fossil and nuclear units in operation beyond their currently scheduled deactivation dates. We are optimistic that under the right circumstances, there may be an opportunity to keep the units running for an extended period.
  • We are pleased to report that we are making significant progress in our negotiations with a few of our key creditor groups. Our goal is to finalize a Plan of Reorganization in the coming months and emerge from bankruptcy mid-year 2019. We hope to have a clearer view of FES’s future ownership structure by as early as late 2018.
  • We wanted to let the entire team know we are taking positive steps towards a path to emergence from Chapter 11. We are not there yet, and we have many hurdles to conquer to finalize the Plan of Reorganization. One such hurdle is our ongoing request for legislative support for our nuclear plants. Our team is working diligently in Columbus and Harrisburg to obtain the needed support.
  • Keep sending your questions to the Employee Mailbox – our practice has been to hold questions until we have five or six and then we create an FAQ. We have received several inquiries regarding pension issues and have begun working on a Pension FAQ to address as many questions as possible in short order.