PPL Corporation (PPL) is an energy and utility holding company, which through its subsidiaries, generates electricity from power plants in the northeastern and western United States; markets wholesale or retail energy primarily in the northeastern and western portions of the United States; delivers electricity to nearly 5.1 million customers in Pennsylvania, the United Kingdom and Latin America, and provides energy services for businesses in the mid-Atlantic and northeastern United States.
PPL's significant subsidiaries are PPL Energy Supply, LLC (PPL Energy Supply), PPL Electric Utilities Corporation (PPL Electric) and PPL Gas Utilities Corporation (PPL Gas Utilities). PPL EnergyPlus, LLC (PPL EnergyPlus), PPL Global, LLC (PPL Global) and PPL Generation, LLC (PPL Generation) are owned by the Company through PPL Energy Supply. PPL is organized into three segments: Supply, Pennsylvania Delivery and International Delivery.
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The company's business strategy is to achieve stable growth in the regulated deliverybusiness. It plans to earn long-term growth in delivery through efficient and low-cost operationswhile working to enhance strong customer and regulatory relations. In the unregulated supply business,PPL intends to reduce the volatility in both its cash flows and earnings and to ensure disciplined growth. The company's strategy for its electricity generation and marketing business is to build an effective risk
management framework to handle energy price risk and counterparty risk. It will work to reduce risk by entering into supply contracts of varying duration, which should reflect fluctuations in demand.
The company's electrical transmission facilities are operated as a partof the Pennsylvania, New Jersey, and Maryland (PJM)regional transmission organization (RTO), an independent entity that operates the transmission system for the purpose of providing a competitive power market. PPL EnergyPlus, which markets the electricity produced by its PPL Generation subsidiaries, is licensed to provide electric supply to customers in Delaware, Maine, Maryland, Massachusetts, Montana,New Jersey and Pennsylvania. It also buys and sells electric power, natural gas and oil in competitivewholesale and deregulated retail markets, and actively manages its portfolios to limit exposure to price
fluctuations. PPL Generation has plans to add an additional 349 mw of generating capacity at it facilities in Pennsylvania and Montana by 2011.
PPL had capital expenditures of $1.39 billion in 2006, up from $811 million in 2005. The company has projected expenditures of approximately $6.8 billion for the five-year period from 2007 through 2011, with $1.73 billion targeted for 2007; $1.40 billion for 2008; $1.21 billion for 2009; $1.17 billion for 2010; and 1.27 billion for 2011. PPL believes it will be in a position to repurchase a portion of its common stock beginning in 2009.
Chrmn, Pres & CEO
Outstanding Share: 385.9 Million
Current market Cap: 19.0 Billion
P/E Ratio: 22.0x
Quarterly Dividend: 0.305
2 N 9th St
Allentown, PA 18101-1170
T.J. Paukovits (610-774-4124)