Here are some reasons to learn more about PPL:

Commitment:

PPL has grown from a company with customers and facilities in one region of Pennsylvania to a diverse, super-regional energy company with more than 10 million customers in the United States and the United Kingdom, as well as about 19,000 megawatts of generating capacity from the East Coast to the Pacific Northwest.

The family of PPL companies — from Pennsylvania, to Kentucky, to Montana, to England and Wales — has built an enduring reputation for safety, the highest quality customer service, environmental stewardship and exemplary corporate citizenship.

Our solid mix of high-performing businesses creates an attractive investment for shareowners. And it has produced results for investors: consistently solid earnings and payment of dividends for more than 260 consecutive quarters. 

Performance:

• PPL Corporation reported first-quarter 2012 reported earnings of $541 million, or $0.93 per share, up from $401 million, or $0.82 per share, a year ago. Excluding special items, PPL’s earnings from ongoing operations for the quarter were $409 million, or $0.70 per share, compared with $407 million, or $0.84 per share, a year ago.

• PPL’s first-quarter earnings from ongoing operations reflect dilution of $0.14 per share as a result of the April 2011 common stock issuance to fund the acquisition that substantially expanded PPL’s regulated utility operations in the United Kingdom.

• PPL’s reported earnings for the first quarter of 2012 included net special item credits of $0.23 per share, reflecting a credit of $0.26 per share in adjusted energy-related economic activity. Included in this energy-related economic activity is a credit of $0.17 per share, representing the change in fair value during the first quarter of 2012 for transactions that were previously recorded as cash flow hedges at Dec. 31, 2011. These transactions will be recognized in PPL’s earnings from ongoing operations in 2012 and 2013 as the transactions settle.

• PPL’s first-quarter results were in line with management’s expectations, despite lower electricity sales due to extraordinarily mild winter weather in the eastern U.S.

• The successful execution of PPL’s Midlands integration plan in the U.K. is driving cost savings and operational improvements, demonstrating again the value of PPL’s expansion into diverse markets and the attainment of a more predictable earnings profile. At the same time, PPL’s competitive supply segment is successfully navigating through challenging commodity markets.
  

Reported earnings are calculated in accordance with generally accepted accounting principles (GAAP) in the U.S. Earnings from ongoing operations is a non-GAAP financial measure that is adjusted for special items. Special items include acquisition-related costs and the impact of energy-related economic activity (principally changes in fair value of economic hedges and the ineffective portion of qualifying cash flow hedges), as well as other impacts. 

“Earnings from ongoing operations” should not be considered as an alternative to reported earnings, or net income attributable to PPL, which is an indicator of operating performance determined in accordance with generally accepted accounting principles (GAAP). PPL believes that “earnings from ongoing operations,” although a non-GAAP financial measure, is also useful and meaningful to investors because it provides management’s view of PPL’s fundamental earnings performance as another criterion in making investment decisions. PPL’s management also uses “earnings from ongoing operations” in measuring certain corporate performance goals. Other companies may use different measures to present financial performance.

“Earnings from ongoing operations” is adjusted for the impact of special items. Special items include: 

• Adjusted energy-related economic activity.
• Foreign currency-related economic hedges.
• Gains and losses on sales of assets not in the ordinary course of business.
• Impairment charges (including impairments of securities in the company’s nuclear decommissioning trust funds).
• Workforce reduction and other restructuring impacts.
• Acquisition-related adjustments.
• Other charges or credits that are, in management’s view, not reflective of the company’s ongoing operations. 

For more information, contact PPL Investor Services at 1-800-345-3085.