“Consistent with our earnings profile, our credit metrics are expected to strengthen over time as we step into new multiyear plans and finalize the reconciliation processes.”

In context

“epartment works towards implementing the Inflation Reduction Act legislation, our plan fully incorporates the impact of the corporate alternative minimum tax, including reflecting the results in deferred tax assets in each of the utilities rate bases, consistent with the recent rate case filings at ComEd and Delmarva Power. We have talked previously about how regulations and the inclusion of certain deductions would substantially mitigate the corporate alternative minimum tax impact. Without the ability to include certain deductions, we expect the cushion in our average credit metrics to be on the lower end of the 100 basis points to 200 basis points range. Our metrics would average closer to the higher end of the range over the guidance period if we were able to include those deductions. Consistent with our earnings profile, our credit metrics are expected to strengthen over time as we step into new multiyear plans and finalize the reconciliation processes. As we await clarity on the corporate alternative minimum tax, we continue to maintain the discipline approach to cost and cash management across all areas of the business, ensuring we maintain appropriate cushion above our downgrade threshold of 12%. I will close by reaffirming our financing plans with the holding company. We continue to affirm the remaining $425 million of our $1 billion equity commitment. We expect to issue this equity sometime between 2023 and 2025. As we work with our jurisdictions and find opportunities for further investment at the utilities, we’ll continue to ensure that our capital structure reflects a balanced funding strategy and a strong balance sheet consistent with the expectations of a premium, transmission and distribution company. Thank you. I’ll now turn”