WEC Energy Group

“Our natural gas utilities operate under GCRMs as approved by their respective state regulator. Generally, the GCRMs allow for a dollar-for-dollar recovery of prudently incurred natural gas costs.”

Annual report 2025A · The company itself

“We also cannot predict the effect that development of alternative energy sources or new technology may have on our natural gas operations, including whether subsidies of alternative energy sources by local, state, and federal governments might be expanded, or what impact this might have on the supply of or the demand for natural gas. If these technologies become cost competitive and achieve economies of scale, our market share could be eroded, and the value of our generating facilities and natural gas distribution systems could be reduced.”

Annual report 2025A · The company itself

“Lower wholesale market prices for electricity may adversely affect the financial results for certain of our renewable projects, depending on the structure of the related PPA.”

Annual report 2025A · The company itself

“In addition, lower prices for other energy sources may reduce the demand for wind and solar energy development, which could adversely affect our growth prospects and financial condition. Wind and solar energy demand is affected by the price and availability of other fuels, including nuclear, coal, natural gas and oil, as well as other sources of renewable energy.”

Annual report 2025A · The company itself

“The cost of natural gas may increase because of disruptions in the supply of natural gas due to a curtailment in production or distribution, international market conditions, the demand for natural gas, and the availability of shale gas and potential regulations and/or other government action affecting its accessibility.”

Annual report 2025A · The company itself

“Minnesota Natural gas utilities in the state of Minnesota do not have exclusive franchise service territories and, as a matter of law and policy, natural gas utilities may compete for new customers. However, natural gas utilities have customarily avoided competing for existing customers of other utilities, as there would be duplicative utility facilities and/or increased costs to customers.”

Annual report 2025A · The company itself

“Embedded within our utilities' rates are amounts to recover fuel, natural gas, and purchased power costs. Our utilities have recovery mechanisms in place that generally allow them to recover or refund all or a portion of the changes in prudently incurred fuel, natural gas, and purchased power costs from rate case-approved amounts.”

Annual report 2025A · The company itself

“Additionally, an extreme weather event could also cause the cost of natural gas purchased for our natural gas utility customers and for the use of fuel at our generation facilities to be temporarily driven significantly higher than our normal winter weather expectations.”

Annual report 2025A · The company itself

“Our counterparties may fail to meet their obligations, including obligations under power purchase, natural gas supply, natural gas pipeline capacity, and transportation agreements. We are exposed to the risk that counterparties to various arrangements who owe us money, electricity, natural gas, or other commodities or services will not be able to perform their obligations. Should the counterparties to these arrangements fail to perform or if capacity is inadequate, we may be required to replace the underlying commitment at current market prices or we may be unable to meet all of our customers' electric and natural gas requirements unless or until alternative supply arrangements are put in place.”

Annual report 2025A · The company itself

“Our operating and liquidity requirements are impacted by changes in the forward and current market prices of natural gas, coal, electricity, renewable energy credits, and ancillary services. Our electric utilities burn natural gas in several of their electric generation plants and as a supplemental fuel at several coal-fired plants. In many instances the cost of purchased power is tied to the cost of natural gas.”

Annual report 2025A · The company itself

“Other Significant Cash Requirements Our utility and non-utility operations have purchase obligations under various contracts for the procurement of fuel, power, and gas supply, as well as the related storage and transportation. These costs are a significant component of funding our ongoing operations.”

Annual report 2025A · The company itself

“Commodity Costs In the normal course of providing energy, we are subject to market fluctuations in the costs of coal, natural gas, purchased power, and fuel oil used in the delivery of coal. We manage our fuel and natural gas supply costs through a portfolio of short and long-term procurement contracts with various suppliers for the purchase of coal, natural gas, and fuel oil.”

Annual report 2025A · The company itself

“In February 2025, the ICC issued an order setting expectations for PGL's prospective operations. The ICC directed us to focus on retiring all cast and ductile iron pipe that has a diameter under 36 inches by January 1, 2035.”

Annual report 2025A · The company itself

“REGULATED Electric Facilities The following table summarizes information on our electric generation facilities, including owned and jointly owned facilities, as of December 31, 2025: Name Location Fuel Number of Generating Units Capacity In MW (1) Natural gas-fired plants PWGS Port Washington, WI Natural Gas 2 1,210 (3) Fox Energy Center Wrightstown, WI Natural Gas 3 579 Concord Generating Station Watertown, WI Natural Gas/Oil 4 367 Paris Union Grove, WI Natural Gas/Oil 4 360 VAPP Milwaukee, WI Natural Gas 2 278 Germantown Power Plant Germantown, WI Natural Gas/Oil 5 261 Whitewater Whitewater, WI Natural Gas/Oil 1 234 West Riverside Beloit, WI Natural Gas 1 190 (2) De Pere Energy Center De Pere, WI Natural Gas/Oil 1 170 West Marinette Power Plant Marinette, WI Natural Gas 3 149 Weston Rothschild, WI Natural Gas 7 130 F.D. Kuester Generating Station Negaunee, MI Natural Gas 7 128 Pulliam Green Bay, WI Natural Gas 1 82 A.J.”

Annual report 2025A · The company itself

“Natural Gas Utility Industry We offer natural gas transportation services to our customers that elect to purchase natural gas directly from a third-party supplier. Since these transportation customers continue to use our distribution systems to transport natural gas to their facilities, we earn distribution revenues from them.”

Annual report 2025A · The company itself

“Wisconsin Our Wisconsin utilities offer both natural gas transportation service and interruptible natural gas sales to enable customers to better manage their energy costs.”

Annual report 2025A · The company itself

“Due to the PSCW's previous proceedings on natural gas industry regulation in a competitive environment, the PSCW currently provides all Wisconsin customer classes with competitive markets the option to choose a third-party natural gas supplier. All of our Wisconsin non-residential customer classes have competitive market choices and, therefore, can purchase natural gas directly from either a third-party supplier or their local natural gas utility.”

Annual report 2025A · The company itself

“MERC has provided its commercial and industrial customers with the option to choose a third-party natural gas supplier since 2006.”

Annual report 2025A · The company itself

“Michigan The option to choose a third-party natural gas supplier has been provided to UMERC’s natural gas customers (formerly WPS’s Michigan natural gas customers) since the late 1990s and MGU's customers since 2005.”

Annual report 2025A · The company itself

“WE is incurring significant engineering, design, and equipment costs in advance of receiving approval of the tariffs as well as necessary regulatory and other approvals for the needed generation, distribution, and transmission projects. If any of these projects are canceled for any reason, including due to lower than forecasted demand or for failure to receive necessary regulatory approvals and/or siting or environmental permits, significant cancellation penalties under the equipment purchase orders and construction contracts could occur. In addition, if any construction work or investments have already been recorded as an asset, an impairment loss may need to be recorded. We may not be allowed to recover these penalties, other costs incurred, or impairment losses in customer rates, which could have a material adverse effect on our results of operations.”

Annual report 2025A · The company itself

“We cannot predict the rate at which or the extent to which these emerging technologies will be broadly adopted and successful as business models. Changes in industry practice or advances in these technologies could reduce the demand for electricity to power data centers.”

Annual report 2025A · The company itself

“Significant capital spend to build out required infrastructure or a downturn in business could cause the loss of these customers or may weaken their financial condition, liquidity and/or creditworthiness, including their ability to satisfy their reimbursement obligations to us. Similarly, customers may reduce their investment in these new technologies or abandon them entirely.”

Annual report 2025A · The company itself

“Cybersecurity threats, including those leveraging AI, continue to increase, and the security measures and preventative actions we take to reduce the risk of cybersecurity incidents and protect our systems against unauthorized access to secured data and systems may be insufficient to safeguard against all security breaches.”

Annual report 2025A · The company itself

“Operating income $ 405.3 $ 393.0 $ 12.3 Other income, net 2.8 1.0 1.8 Interest expense 123.1 99.7 (23.4) Income before income taxes 285.0 294.3 (9.3) Income tax benefit (122.9) (82.4) 40.5 Net loss attributed to noncontrolling interests 3.2 4.1 (0.9) Net income attributed to common shareholders $ 411.1 $ 380.8 $ 30.3 Operating Income Operating income at the non-utility energy infrastructure segment increased $12.3 million during 2025, compared with 2024, driven by these items at WECI: •A $26.4 million increase in operating income from new investments in several WECI renewable generation facilities made in late 2024 and early 2025. •A $7.5 million positive impact due to lower transmission congestion that increased energy market prices.”

Annual report 2025A · The company itself

“We face risks related to providing service to our large-scale customers, including potential customers under our proposed VLC and Bespoke Resources Tariffs, which could impact our business, results of operations, and financial condition. We are engaged in discussions with a small number of customers to provide power to large-scale data centers being constructed to support AI and other technology capabilities. Because of the significant demand and energy needs associated with these facilities, extending service to these facilities requires investment in incremental electric infrastructure. Subject to pending regulatory approvals from the PSCW, WE has made and will continue to make significant infrastructure investments in new solar and battery projects, natural gas power plants, and other generation and distribution assets to power and serve these large-scale data centers and other projects.”

Annual report 2025A · The company itself

“For Wisconsin retail electric customers, our utilities bear the risk for the recovery of fuel and purchased power costs within a symmetrical 2% fuel tolerance band compared to the forecast of fuel and purchased power costs established in their respective rate structures.”

Annual report 2025A · The company itself

“Deregulation or other changes in law in the states where we serve our customers could allow third-party suppliers to contract directly with customers for their natural gas and electric supply requirements. Increased competition in these markets could have a material adverse financial impact on us. Certain jurisdictions in which we operate, including Michigan and Illinois, have adopted retail choice. Under Michigan law, our retail electric customers may choose an alternative electric supplier to provide power supply service.”

Annual report 2025A · The company itself

“Michigan Michigan has adopted a limited retail choice program. Under Michigan law, our retail customers may choose an alternative electric supplier to provide power supply service. As a result, some of our small retail customers have switched to an alternative electric supplier.”

Annual report 2025A · The company itself

“Our operating and liquidity requirements are impacted by changes in the forward and current market prices of natural gas, coal, electricity, renewable energy credits, and ancillary services. Our electric utilities burn natural gas in several of their electric generation plants and as a supplemental fuel at several coal-fired plants. In many instances the cost of purchased power is tied to the cost of natural gas.”

Annual report 2025A · The company itself

“NON-UTILITY ENERGY INFRASTRUCTURE SEGMENT The non-utility energy infrastructure segment includes We Power, Bluewater, and WECI. We Power and Bluewater are considered non-utility energy infrastructure operations, however, their facilities are shown in the regulated section. We Power owns and leases its share of the ERGS units and both PWGS units to WE under long-term leases. Bluewater provides natural gas storage and hub services primarily to WE, WPS, and WG.”

Annual report 2025A · The company itself

“In addition, our utilities continue to upgrade their electric and natural gas distribution systems to enhance reliability.”

Annual report 2025A · The company itself

“We face significant costs to comply with existing and future environmental laws and regulations. Our operations are subject to extensive and evolving federal, state, and local environmental laws, regulations, and permit requirements related to, among other things, air emissions (including, but not limited to CO2, methane, mercury, SO2, NOx, ozone and other pollutants), protection of natural resources, water quality, wastewater discharges, management of hazardous and toxic substances and solid wastes and soils, and climate change.”

Annual report 2025A · The company itself

“Any of these matters, as well as any regulatory delay in adjusting rates as a result of fluctuations in energy demand or the adoption of new technologies, could adversely impact our results of operations and financial condition.”

Annual report 2025A · The company itself

“Changes in our corporate strategy to combat climate change, including mitigation and adaptation efforts and technology advancement, may materially adversely impact our results of operations and cash flows.”

Annual report 2025A · The company itself

“We have set a goal for our generation fleet to be net carbon neutral by the end of 2050. We expect to be in a position to eliminate coal as an energy source by the end of 2032.”

Annual report 2025A · The company itself

“WE is incurring significant engineering, design, and equipment costs in advance of receiving approval of the tariffs as well as necessary regulatory and other approvals for the needed generation, distribution, and transmission projects. If any of these projects are canceled for any reason, including due to lower than forecasted demand or for failure to receive necessary regulatory approvals and/or siting or environmental permits, significant cancellation penalties under the equipment purchase orders and construction contracts could occur. In addition, if any construction work or investments have already been recorded as an asset, an impairment loss may need to be recorded. We may not be allowed to recover these penalties, other costs incurred, or impairment losses in customer rates, which could have a material adverse effect on our results of operations.”

Annual report 2025A · The company itself

“Operating income $ 405.3 $ 393.0 $ 12.3 Other income, net 2.8 1.0 1.8 Interest expense 123.1 99.7 (23.4) Income before income taxes 285.0 294.3 (9.3) Income tax benefit (122.9) (82.4) 40.5 Net loss attributed to noncontrolling interests 3.2 4.1 (0.9) Net income attributed to common shareholders $ 411.1 $ 380.8 $ 30.3 Operating Income Operating income at the non-utility energy infrastructure segment increased $12.3 million during 2025, compared with 2024, driven by these items at WECI: •A $26.4 million increase in operating income from new investments in several WECI renewable generation facilities made in late 2024 and early 2025. •A $7.5 million positive impact due to lower transmission congestion that increased energy market prices.”

Annual report 2025A · The company itself

“We face risks related to providing service to our large-scale customers, including potential customers under our proposed VLC and Bespoke Resources Tariffs, which could impact our business, results of operations, and financial condition. We are engaged in discussions with a small number of customers to provide power to large-scale data centers being constructed to support AI and other technology capabilities. Because of the significant demand and energy needs associated with these facilities, extending service to these facilities requires investment in incremental electric infrastructure. Subject to pending regulatory approvals from the PSCW, WE has made and will continue to make significant infrastructure investments in new solar and battery projects, natural gas power plants, and other generation and distribution assets to power and serve these large-scale data centers and other projects.”

Annual report 2025A · The company itself

“Supply chain disruptions, including solar panel shortages and delays, increasing material costs, government regulations and tariffs, and other factors, could impact the timing of completion of our renewable projects.”

Annual report 2025A · The company itself

“Advances in technology, and legislation or regulations supporting such technology, could make our electric generating facilities less competitive and may impact the demand for natural gas. Advances in new technologies that produce or store power or reduce power consumption are ongoing and include renewable energy technologies, customer-oriented generation, energy storage devices, and energy efficiency technologies.”

Annual report 2025A · The company itself

“Distributed generation technologies that produce power, including fuel cells, microturbines, wind turbines, solar cells, and related energy storage devices, have technologically improved and have become more cost competitive than they were in the past. Legislation, including the IRA and the Infrastructure Investment and Jobs Act, has promoted the construction and cost-effectiveness of renewable energy generation, including distributed generation technologies for self-supply of electricity by our customers and third parties.”

Annual report 2025A · The company itself

“Increased use of technologies such as private solar and battery storage in our service territories could reduce our recovery of fixed costs, could result in customers leaving the electric distribution system, and could cause an increase in customer net energy metering, which allows customers with private solar to receive bill credits for surplus power at the full retail amount.”

Annual report 2025A · The company itself

“Other legislation or regulations could be adopted supporting the use of these technologies at below cost or that permit third-party sales from such facilities, and allow these facilities to interconnect to our distribution system. There is also a risk that advances in technology will continue to reduce the costs of these alternative methods of producing power to a level that is competitive with that of central station and utility-scale renewable power production.”

Annual report 2025A · The company itself

“The production of energy from wind and solar sites depends heavily on suitable weather conditions, which are variable. Wind conditions or solar irradiance that is unfavorable or below our estimates can cause electricity production, and therefore revenues and PTCs earned from non-utility renewable energy facilities, to be substantially below our expectations.”

Annual report 2025A · The company itself

“Although initial agreements are often ten years or more, in the future we may not be able to replace expiring PPAs related to our non-utility renewable energy facilities with contracts on acceptable terms, including at prices that support profitable operation of the facility. Decreases in the retail prices of electricity supplied by traditional utilities or the pricing of other clean energy sources in the regions where our non-utility renewable energy facilities are located could harm our ability to offer competitive pricing and to sign PPAs with customers.”

Annual report 2025A · The company itself

“Electric distribution 972.2 946.4 973.3 Gas distribution 1,286.8 1,611.0 1,469.1 Total $ 5,018.1 $ 6,949.5 $ 6,965.6 The DOC set duties on solar panels and cells imported from four southeast Asian countries and is investigating additional AD/CVD allegations relating to Chinese-owned manufacturers in Laos and Indonesia, as well as India-headquartered companies. See Factors Affecting Results, Liquidity, and Capital Resources – Regulatory, Legislative, and Legal Matters – United States Department of Commerce Complaints and Factors Affecting Results, Liquidity, and Capital Resources – Regulatory, Legislative, and Legal Matters – Uyghur Forced Labor Prevention Act for information on the duties set by the DOC and its current investigation, as well as CBP actions, respectively.”

Annual report 2025A · The company itself

“Renewable Energy Legislation Infrastructure Investment and Jobs Act In November 2021, the Infrastructure Investment and Jobs Act was signed into law and provides for approximately $1.2 trillion of federal spending through 2026, including approximately $85 billion for investments in power, utilities, and renewables infrastructure across the United States. Funding from this Act supports the work we are doing to reduce GHG emissions and to strengthen and protect the energy grid.”

Annual report 2025A · The company itself

“In January 2025, disbursement of funds was paused until agency heads can determine whether grants, loans, contracts, and other disbursements are consistent with the current administration's energy policy. In some cases, the pause has disrupted, and could continue to disrupt, funding, temporarily or permanently, for infrastructure projects already in progress, may cause project delays and cancellations, and may impact continuing payment obligations for downstream contractors and suppliers.”

Annual report 2025A · The company itself

“One Big Beautiful Bill Act In July 2025, the OBBBA was signed into law, enacting significant modifications to clean-energy tax credits previously provided under the IRA. The OBBBA provides companies the ability to earn solar and wind tax credits at current credit rates if construction of projects begins by July 4, 2026, and the projects are placed in-service within four years after beginning construction.”

Annual report 2025A · The company itself

“However, wind and solar projects that begin construction more than one year after enactment of the OBBBA must be placed in service by December 31, 2027 to qualify for PTCs and ITCs. In addition, wind and solar projects that begin construction after December 31, 2025 must also satisfy prohibited foreign entity material assistance requirements.”

Annual report 2025A · The company itself

“Uyghur Forced Labor Prevention Act In June 2022, the CBP implemented the UFLPA, which establishes a rebuttable presumption that certain silica-based products wholly or partially manufactured in the Xinjiang Uyghur Autonomous Region of China, such as polysilicon included in the manufacturing of solar panels, are prohibited from entering the United States. While our suppliers have been able to provide the CBP sufficient documentation to meet the UFLPA compliance requirements, and we expect the same will be true for subsequent projects, we cannot currently predict what, if any, long-term impact the UFLPA will have on the overall supply of solar panels into the United States and whether we will experience any further impacts to the timing and cost of solar projects included in our long-term capital plan.”

Annual report 2025A · The company itself

“As a result of these duties, the cost and availability of solar panels in the U.S. has been impacted and the U.S. solar industry overall has experienced higher costs of materials as well as delays. Some of these impacts have already been reflected in the estimated cost and in-service dates for certain of our solar projects.”

Annual report 2025A · The company itself

“We also expect to continue constructing and investing in renewable energy and natural gas generating facilities as part of our capital plan and our goal to be net carbon neutral by the end of 2050.”

Annual report 2025A · The company itself

“WEC's portion of the investment in MISO Tranche 1 and Tranche 2.1 is estimated to be approximately $700 million and $400 million, respectively, between 2026 and 2030, a portion of which will be funded by ATC's cash from operations. Tranche 1 is part of MISO's Long Range Transmission Planning initiative to upgrade the grid so that it can reliably accommodate for the shift in generation to lower-carbon resources.”

Annual report 2025A · The company itself

“REGULATED Electric Facilities The following table summarizes information on our electric generation facilities, including owned and jointly owned facilities, as of December 31, 2025: Name Location Fuel Number of Generating Units Capacity In MW (1) Natural gas-fired plants PWGS Port Washington, WI Natural Gas 2 1,210 (3) Fox Energy Center Wrightstown, WI Natural Gas 3 579 Concord Generating Station Watertown, WI Natural Gas/Oil 4 367 Paris Union Grove, WI Natural Gas/Oil 4 360 VAPP Milwaukee, WI Natural Gas 2 278 Germantown Power Plant Germantown, WI Natural Gas/Oil 5 261 Whitewater Whitewater, WI Natural Gas/Oil 1 234 West Riverside Beloit, WI Natural Gas 1 190 (2) De Pere Energy Center De Pere, WI Natural Gas/Oil 1 170 West Marinette Power Plant Marinette, WI Natural Gas 3 149 Weston Rothschild, WI Natural Gas 7 130 F.D.”

Annual report 2025A · The company itself

“WE and WPS are subject to Act 141 in Wisconsin, and UMERC is subject to Public Acts 295 and 342 in Michigan, which contain certain minimum requirements for renewable energy generation.”

Annual report 2025A · The company itself

“Efforts to pause approvals related to wind development could threaten our ability to execute our capital plan.”

Annual report 2025A · The company itself

“The production of energy from wind and solar sites depends heavily on suitable weather conditions, which are variable. Wind conditions or solar irradiance that is unfavorable or below our estimates can cause electricity production, and therefore revenues and PTCs earned from non-utility renewable energy facilities, to be substantially below our expectations.”

Annual report 2025A · The company itself

“Although initial agreements are often ten years or more, in the future we may not be able to replace expiring PPAs related to our non-utility renewable energy facilities with contracts on acceptable terms, including at prices that support profitable operation of the facility. Decreases in the retail prices of electricity supplied by traditional utilities or the pricing of other clean energy sources in the regions where our non-utility renewable energy facilities are located could harm our ability to offer competitive pricing and to sign PPAs with customers.”

Annual report 2025A · The company itself

“Renewable Energy Legislation Infrastructure Investment and Jobs Act In November 2021, the Infrastructure Investment and Jobs Act was signed into law and provides for approximately $1.2 trillion of federal spending through 2026, including approximately $85 billion for investments in power, utilities, and renewables infrastructure across the United States. Funding from this Act supports the work we are doing to reduce GHG emissions and to strengthen and protect the energy grid.”

Annual report 2025A · The company itself

“In January 2025, disbursement of funds was paused until agency heads can determine whether grants, loans, contracts, and other disbursements are consistent with the current administration's energy policy. In some cases, the pause has disrupted, and could continue to disrupt, funding, temporarily or permanently, for infrastructure projects already in progress, may cause project delays and cancellations, and may impact continuing payment obligations for downstream contractors and suppliers.”

Annual report 2025A · The company itself

“One Big Beautiful Bill Act In July 2025, the OBBBA was signed into law, enacting significant modifications to clean-energy tax credits previously provided under the IRA. The OBBBA provides companies the ability to earn solar and wind tax credits at current credit rates if construction of projects begins by July 4, 2026, and the projects are placed in-service within four years after beginning construction.”

Annual report 2025A · The company itself

“However, wind and solar projects that begin construction more than one year after enactment of the OBBBA must be placed in service by December 31, 2027 to qualify for PTCs and ITCs. In addition, wind and solar projects that begin construction after December 31, 2025 must also satisfy prohibited foreign entity material assistance requirements.”

Annual report 2025A · The company itself

“We also expect to continue constructing and investing in renewable energy and natural gas generating facilities as part of our capital plan and our goal to be net carbon neutral by the end of 2050.”

Annual report 2025A · The company itself

“WEC's portion of the investment in MISO Tranche 1 and Tranche 2.1 is estimated to be approximately $700 million and $400 million, respectively, between 2026 and 2030, a portion of which will be funded by ATC's cash from operations. Tranche 1 is part of MISO's Long Range Transmission Planning initiative to upgrade the grid so that it can reliably accommodate for the shift in generation to lower-carbon resources.”

Annual report 2025A · The company itself

“REGULATED Electric Facilities The following table summarizes information on our electric generation facilities, including owned and jointly owned facilities, as of December 31, 2025: Name Location Fuel Number of Generating Units Capacity In MW (1) Natural gas-fired plants PWGS Port Washington, WI Natural Gas 2 1,210 (3) Fox Energy Center Wrightstown, WI Natural Gas 3 579 Concord Generating Station Watertown, WI Natural Gas/Oil 4 367 Paris Union Grove, WI Natural Gas/Oil 4 360 VAPP Milwaukee, WI Natural Gas 2 278 Germantown Power Plant Germantown, WI Natural Gas/Oil 5 261 Whitewater Whitewater, WI Natural Gas/Oil 1 234 West Riverside Beloit, WI Natural Gas 1 190 (2) De Pere Energy Center De Pere, WI Natural Gas/Oil 1 170 West Marinette Power Plant Marinette, WI Natural Gas 3 149 Weston Rothschild, WI Natural Gas 7 130 F.D.”

Annual report 2025A · The company itself

“Advances in technology, and legislation or regulations supporting such technology, could make our electric generating facilities less competitive and may impact the demand for natural gas. Advances in new technologies that produce or store power or reduce power consumption are ongoing and include renewable energy technologies, customer-oriented generation, energy storage devices, and energy efficiency technologies.”

Annual report 2025A · The company itself

“Increased use of technologies such as private solar and battery storage in our service territories could reduce our recovery of fixed costs, could result in customers leaving the electric distribution system, and could cause an increase in customer net energy metering, which allows customers with private solar to receive bill credits for surplus power at the full retail amount.”

Annual report 2025A · The company itself

“Battery Energy Storage Systems We also own 99 MWs of BESS at Paris located in Kenosha County, WI which was completed in June 2025.”

Annual report 2025A · The company itself

“Coal deliveries may occasionally be restricted because of rail congestion and maintenance, derailments, weather, public health crises, and supplier financial hardship as a result of decreased demand for coal. If we are unable to obtain our coal requirements under our coal supply and transportation contracts, we may be required to purchase coal at higher prices or we may be forced to reduce generation at our coal-fired units, which could lead to increased fuel costs.”

Annual report 2025A · The company itself

“Commodity Costs In the normal course of providing energy, we are subject to market fluctuations in the costs of coal, natural gas, purchased power, and fuel oil used in the delivery of coal. We manage our fuel and natural gas supply costs through a portfolio of short and long-term procurement contracts with various suppliers for the purchase of coal, natural gas, and fuel oil.”

Annual report 2025A · The company itself

“REGULATED Electric Facilities The following table summarizes information on our electric generation facilities, including owned and jointly owned facilities, as of December 31, 2025: Name Location Fuel Number of Generating Units Capacity In MW (1) Natural gas-fired plants PWGS Port Washington, WI Natural Gas 2 1,210 (3) Fox Energy Center Wrightstown, WI Natural Gas 3 579 Concord Generating Station Watertown, WI Natural Gas/Oil 4 367 Paris Union Grove, WI Natural Gas/Oil 4 360 VAPP Milwaukee, WI Natural Gas 2 278 Germantown Power Plant Germantown, WI Natural Gas/Oil 5 261 Whitewater Whitewater, WI Natural Gas/Oil 1 234 West Riverside Beloit, WI Natural Gas 1 190 (2) De Pere Energy Center De Pere, WI Natural Gas/Oil 1 170 West Marinette Power Plant Marinette, WI Natural Gas 3 149 Weston Rothschild, WI Natural Gas 7 130 F.D.”

Annual report 2025A · The company itself

“Our iron ore mine customer, Tilden, is exempt from this 10% cap based on current law, but Tilden is required under a long-term agreement to purchase electric power from UMERC through March 2039. In addition, certain load increases by facilities already using an alternative electric supplier can still be serviced by their alternative electric supplier, when various conditions exist, even if the cap has already been met.”

Annual report 2025A · The company itself

“Natural Gas Utility Industry We offer natural gas transportation services to our customers that elect to purchase natural gas directly from a third-party supplier. Since these transportation customers continue to use our distribution systems to transport natural gas to their facilities, we earn distribution revenues from them.”

Annual report 2025A · The company itself

“Inherent in electric generation and distribution and natural gas transportation, distribution, and storage activities are a variety of hazards and operational risks, including accidents, operator error, and the breakdown or failure of equipment or processes including leaks, accidental explosions, mechanical problems, fires, discharges or releases of toxic or hazardous substances or gases, and other environmental risks. Potential breakdown or failure may occur due to severe weather (i.e., storms, tornadoes, floods, droughts, etc.); catastrophic events (i.e., fires, earthquakes, and explosions); public health crises; significant changes in water levels in waterways; fuel supply or transportation disruptions; accidents; employee labor disputes; construction delays or cost overruns; delays in the replacement of aging infrastructure; shortages of or delays in obtaining equipment, material, and/or labor; performance below expected levels; operating limitations that may be imposed by environmental or other regulatory requirements; terrorist or other physical attacks; or cybersecurity intrusions.”

Annual report 2025A · The company itself

“Demand for electricity is greater in the summer and winter months when cooling and heating is necessary. Demand for natural gas peaks in the winter heating season. As a result, our overall results may fluctuate on a seasonal basis and could be negatively impacted by milder temperatures during the summer cooling season and winter heating season. •Our customers' continued focus on energy conservation.”

Annual report 2025A · The company itself

“Our operations are subject to the effects of global climate change. A changing climate creates uncertainty and could result in broad changes, both physical and financial in nature, to our service territories. If climate changes occur that result in extreme temperatures in our service territories, our financial results could be adversely impacted by lower electric and natural gas usage and higher natural gas costs.”

Annual report 2025A · The company itself

“Our operations could be adversely affected and our facilities placed at greater risk of damage should changes in global climate produce, among other possible conditions, unusual variations in temperature and weather patterns, which could result in more intense, frequent and extreme weather events, such as storms, including derecho events, with high winds, lightning, and hail, floods, drought, wild fires, tornadoes, snow and ice storms, or abnormal levels of precipitation. An extreme weather event could result in damage to distribution and transmission infrastructure, wind and solar generation facilities, or other operating equipment. This could result in us incurring significant restoration costs at our utilities and/or at WECI, and foregoing sales of energy and lost revenues.”

Annual report 2025A · The company itself

“Extreme weather may also result in unexpected increases in customer load, requiring us to procure additional power at wholesale prices for our retail operations, unpredictable curtailment of customer load by MISO to maintain grid reliability, or other grid reliability issues. Any of these events could lead to substantial financial losses including increased maintenance costs, unanticipated capital expenditures, or a reduction of revenues related to our non-utility renewable energy facilities.”

Annual report 2025A · The company itself

“In addition, an increase in frequency and severity of weather conditions could cause disruptions to our sites to become more frequent and severe. Wind and solar equipment can be damaged by natural events such as lightning strikes that damage blades or in-ground systems used to collect electricity from turbines or panels. Sites also may experience production shutdowns or delayed restoration of production during extreme weather conditions resulting in, among other things, damage to solar panels, icing on wind turbine blades, or restricted access to sites.”

Annual report 2025A · The company itself

“These increases in operating income were partially offset by: •A $15.9 million impairment loss recorded at Samson I, Delilah I, and Thunderhead related to storm damage.”

Annual report 2025A · The company itself

“Weather Our utilities' rates are based upon estimated normal temperatures. Our electric utility margins are unfavorably sensitive to below normal temperatures during the summer cooling season and, to some extent, to above normal temperatures during the winter heating season.”

Annual report 2025A · The company itself

“Our natural gas utility margins are unfavorably sensitive to above normal temperatures during the winter heating season.”

Annual report 2025A · The company itself

“Changes in the demand for commodities and their respective prices could result in: •Higher working capital requirements, particularly related to natural gas inventory, accounts receivable, and cash collateral postings; •Reduced profitability to the extent that lower revenues, higher fuel costs, increased bad debt, and higher interest expense are not recovered through rates; •Higher rates charged to our customers, which could impact our competitive position; •Reduced demand for energy, which could impact revenues and operating expenses; •Reduced growth prospects from renewable energy projects related to lower cost alternative energy sources and a limited number of purchasers of electricity; and •Shutting down of generation facilities if the cost of generation exceeds the market price for electricity.”

Annual report 2025A · The company itself

“Higher commodity costs can increase our working capital requirements, result in higher gross receipts taxes, and lead to increased energy efficiency investments by our customers to reduce utility usage and/or fuel substitution.”

Annual report 2025A · The company itself

“Inflation and Supply Chain Disruptions We continue to monitor the impact of inflation and supply chain disruptions. We monitor the costs of medical plans, fuel, transmission access, construction costs, regulatory and environmental compliance costs, and other costs in order to minimize inflationary effects in future years, to the extent possible, through pricing strategies, productivity improvements, and cost reductions.”

Annual report 2025A · The company itself

“In order to attract and retain talent, we provide competitive wages and benefits to our employees based on their performance, role, location, and market data.”

Annual report 2025A · The company itself

“Prices of equipment, materials, and other resources have increased and may continue to increase in the future, as a result of supply chain disruptions, inflation, and tariffs. Further governmental actions related to trade policy could exacerbate global supply chain disruptions and/or inflation. Increased costs for labor, materials, and services, as a result of supply chain disruptions, inflation, or tariffs, and failure to secure these resources on economically acceptable terms, as well as any regulatory delay in adjusting rates to account for increased costs, may adversely impact our business operations, financial condition, and/or capital plan.”

Annual report 2025A · The company itself

“Additional risks include, but are not limited to, the ability to adhere to established budgets and time frames; the availability of labor or materials at estimated costs; the ability of contractors to perform under their contracts; strikes; adverse weather conditions; potential legal challenges; changes in applicable laws or regulations; rising interest rates; inflation; tariffs; the impact of public health crises; other governmental actions; continued public and policymaker support for such projects; and events in the global economy.”

Annual report 2025A · The company itself

“Supply chain disruptions, including solar panel shortages and delays, increasing material costs, government regulations and tariffs, and other factors, could impact the timing of completion of our renewable projects.”

Annual report 2025A · The company itself

“Deregulation or other changes in law in the states where we serve our customers could allow third-party suppliers to contract directly with customers for their natural gas and electric supply requirements. Increased competition in these markets could have a material adverse financial impact on us. Certain jurisdictions in which we operate, including Michigan and Illinois, have adopted retail choice. Under Michigan law, our retail electric customers may choose an alternative electric supplier to provide power supply service.”

Annual report 2025A · The company itself

“Electric distribution 972.2 946.4 973.3 Gas distribution 1,286.8 1,611.0 1,469.1 Total $ 5,018.1 $ 6,949.5 $ 6,965.6 The DOC set duties on solar panels and cells imported from four southeast Asian countries and is investigating additional AD/CVD allegations relating to Chinese-owned manufacturers in Laos and Indonesia, as well as India-headquartered companies. See Factors Affecting Results, Liquidity, and Capital Resources – Regulatory, Legislative, and Legal Matters – United States Department of Commerce Complaints and Factors Affecting Results, Liquidity, and Capital Resources – Regulatory, Legislative, and Legal Matters – Uyghur Forced Labor Prevention Act for information on the duties set by the DOC and its current investigation, as well as CBP actions, respectively.”

Annual report 2025A · The company itself

“Our operations and corporate strategy may be adversely affected by supply chain disruptions, inflation, and tariffs. Our business is dependent on the global supply chain to ensure that equipment, materials, and other resources are available to both expand and maintain services in a safe and reliable manner. Increased tensions between the United States and other countries, as well as new, protracted, or escalating regional or international conflicts could result in domestic and global supply chain disruptions that delay the delivery, or result in shortages of, materials, equipment, and other resources that are critical to our business operations.”

Annual report 2025A · The company itself

“Prices of equipment, materials, and other resources have increased and may continue to increase in the future, as a result of supply chain disruptions, inflation, and tariffs. Further governmental actions related to trade policy could exacerbate global supply chain disruptions and/or inflation. Increased costs for labor, materials, and services, as a result of supply chain disruptions, inflation, or tariffs, and failure to secure these resources on economically acceptable terms, as well as any regulatory delay in adjusting rates to account for increased costs, may adversely impact our business operations, financial condition, and/or capital plan.”

Annual report 2025A · The company itself

“Historically, retail rates approved by the state commissions have been designed to provide utilities the opportunity to generate revenues to recover all prudently-incurred costs, along with a return on investment sufficient to pay interest on debt and provide a reasonable ROE.”

Annual report 2025A · The company itself

“An increase in interest rates may adversely affect our results of operations and the ability of our regulated subsidiaries to earn their approved rates of return. High interest rates may also impair our ability to cost-effectively finance capital expenditures and to refinance maturing debt.”

Annual report 2025A · The company itself

“Our access to the credit and capital markets could be limited, or our cost of capital significantly increased, due to any of the following risks and uncertainties: •A rating downgrade; •Failure to comply with debt covenants; •An economic downturn or uncertainty; •Prevailing market conditions and rules; •Political tensions, including civil unrest and election volatility; •Concerns over foreign economic conditions; •Changes in tax policy; •Changes in investment criteria of institutional investors or banks; •War or the threat of war; •Growth in AFUDC during periods of significant construction; and •The overall health and view of the utility and financial institution industries.”

Annual report 2025A · The company itself

“Interest Rates We are exposed to interest rate risk resulting from our short-term and long-term borrowings and projected near-term debt financing needs. We manage exposure to interest rate risk by limiting the amount of our variable rate obligations and continually monitoring the effects of market changes on interest rates.”

Annual report 2025A · The company itself

“Rates Our utilities' rates are subject to the regulations and oversight of various state regulatory commissions and the FERC, as applicable. Decisions by these regulators can significantly impact our liquidity, financial condition, and results of operations.”

Annual report 2025A · The company itself

“Risks Related to Legislation and Regulation Our business is significantly impacted by governmental legislation, regulation, and oversight. We are subject to significant state, local, and federal governmental legislation and regulations, including regulations by the various utility commissions in the states where we serve customers. Legislation and regulation significantly influence our operating environment, may affect our ability to recover costs from utility customers, affect our ability to implement our corporate strategy, and cause us to incur substantial compliance and other costs.”

Annual report 2025A · The company itself

“For example, the ICC's 2023 final rate order disallowed certain previously incurred capital costs, which resulted in PGL and NSG recording impairment losses in the fourth quarter of 2023, and caused PGL to pause spending on its PRP. PGL will include the costs of necessary infrastructure improvements related to the PRP in future rate cases, thereby subjecting the recovery of these costs to regulatory lag.”

Annual report 2025A · The company itself

“Our access to the credit and capital markets could be limited, or our cost of capital significantly increased, due to any of the following risks and uncertainties: •A rating downgrade; •Failure to comply with debt covenants; •An economic downturn or uncertainty; •Prevailing market conditions and rules; •Political tensions, including civil unrest and election volatility; •Concerns over foreign economic conditions; •Changes in tax policy; •Changes in investment criteria of institutional investors or banks; •War or the threat of war; •Growth in AFUDC during periods of significant construction; and •The overall health and view of the utility and financial institution industries.”

Annual report 2025A · The company itself

“The cost of natural gas may increase because of disruptions in the supply of natural gas due to a curtailment in production or distribution, international market conditions, the demand for natural gas, and the availability of shale gas and potential regulations and/or other government action affecting its accessibility.”

Annual report 2025A · The company itself

“Our operations and corporate strategy may be adversely affected by supply chain disruptions, inflation, and tariffs. Our business is dependent on the global supply chain to ensure that equipment, materials, and other resources are available to both expand and maintain services in a safe and reliable manner. Increased tensions between the United States and other countries, as well as new, protracted, or escalating regional or international conflicts could result in domestic and global supply chain disruptions that delay the delivery, or result in shortages of, materials, equipment, and other resources that are critical to our business operations.”

Annual report 2025A · The company itself

“Our results of operations and cash flows are affected by the demand for electricity and natural gas, which can vary greatly based upon: •Fluctuations in customer growth and general economic conditions in our service areas. Customer growth and energy use can be negatively impacted by population declines as well as economic factors in our service territories, including workforce reductions, stagnant wage growth, changing levels of support from state and local government for economic development, business closings, and reductions in the level of business investment.”

Annual report 2025A · The company itself

“As part of our planning process, we estimate the impacts of changes in customer growth and general economic conditions, weather, and customer energy conservation efforts, but risks still remain.”

Annual report 2025A · The company itself

“Successful cybersecurity intrusions, including those targeting the electronic control systems used at our generating facilities and electric and natural gas transmission, distribution, and storage systems, could disrupt our operations and result in loss of service to customers. Attacks may come through ransomware, software updates or patches, or firmware that hackers can manipulate. These intrusions may cause unplanned outages at our power plants, which may reduce our revenues or cause us to incur significant costs if we are required to operate our higher cost electric generators or purchase replacement power to satisfy our obligations, and could result in additional maintenance expenses.”

Annual report 2025A · The company itself

“Cybersecurity threats, including those leveraging AI, continue to increase, and the security measures and preventative actions we take to reduce the risk of cybersecurity incidents and protect our systems against unauthorized access to secured data and systems may be insufficient to safeguard against all security breaches.”

Annual report 2025A · The company itself

“Risks Related to Economic and Market Volatility Our business is dependent on our ability to successfully access credit and capital markets on competitive terms and rates. We rely on access to credit and capital markets to support our capital requirements, including expenditures for our utility infrastructure and to comply with future regulatory requirements, to the extent not satisfied by the cash flow generated by our operations. We have historically secured funds from a variety of sources, including the issuance of short-term and long-term debt securities.”

Annual report 2025A · The company itself

“Our access to the credit and capital markets could be limited, or our cost of capital significantly increased, due to any of the following risks and uncertainties: •A rating downgrade; •Failure to comply with debt covenants; •An economic downturn or uncertainty; •Prevailing market conditions and rules; •Political tensions, including civil unrest and election volatility; •Concerns over foreign economic conditions; •Changes in tax policy; •Changes in investment criteria of institutional investors or banks; •War or the threat of war; •Growth in AFUDC during periods of significant construction; and •The overall health and view of the utility and financial institution industries.”

Annual report 2025A · The company itself

“Changes in the local and national political, regulatory, and economic environment, including significant attention on energy affordability concerns, have had, and may in the future have, an adverse effect on regulatory decisions, which could impair the ability of our utility subsidiaries to recover costs historically collected from customers.”

Annual report 2025A · The company itself

“Customers could also voluntarily reduce their consumption of energy in response to decreases in their disposable income and increases in energy prices.”

Annual report 2025A · The company itself

“As part of our planning process, we estimate the impacts of changes in customer growth and general economic conditions, weather, and customer energy conservation efforts, but risks still remain.”

Annual report 2025A · The company itself

“In addition, elimination or reduced financial support of programs that provide energy assistance to our customers, including the Low Income Home Energy Assistance Program, could impact the demand for energy and/or adversely impact our liquidity.”

Annual report 2025A · The company itself

“Changes in the demand for commodities and their respective prices could result in: •Higher working capital requirements, particularly related to natural gas inventory, accounts receivable, and cash collateral postings; •Reduced profitability to the extent that lower revenues, higher fuel costs, increased bad debt, and higher interest expense are not recovered through rates; •Higher rates charged to our customers, which could impact our competitive position; •Reduced demand for energy, which could impact revenues and operating expenses; •Reduced growth prospects from renewable energy projects related to lower cost alternative energy sources and a limited number of purchasers of electricity; and •Shutting down of generation facilities if the cost of generation exceeds the market price for electricity.”

Annual report 2025A · The company itself

“Embedded within our electric utilities' rates is an amount to recover fuel and purchased power costs. The Wisconsin retail fuel rules require a utility to defer, for subsequent rate recovery or refund, any under-collection or over-collection of fuel and purchased power costs that are outside of the utility's symmetrical fuel cost tolerance, which the PSCW typically sets at plus or minus 2% of the utility's approved fuel and purchased power cost plan.”

Annual report 2025A · The company itself

“Wholesale Rates The FERC regulates our wholesale sales of electric energy, capacity, and ancillary services. Our electric utilities have received market-based rate authority from the FERC. Market-based rate authority allows wholesale electric sales to be made in the MISO market and directly to third parties based on the negotiated market value of the transaction.”

Annual report 2025A · The company itself

“Embedded within our utilities' rates are amounts to recover fuel, natural gas, and purchased power costs. Our utilities have recovery mechanisms in place that generally allow them to recover or refund all or a portion of the changes in prudently incurred fuel, natural gas, and purchased power costs from rate case-approved amounts.”

Annual report 2025A · The company itself

“Our counterparties may fail to meet their obligations, including obligations under power purchase, natural gas supply, natural gas pipeline capacity, and transportation agreements. We are exposed to the risk that counterparties to various arrangements who owe us money, electricity, natural gas, or other commodities or services will not be able to perform their obligations. Should the counterparties to these arrangements fail to perform or if capacity is inadequate, we may be required to replace the underlying commitment at current market prices or we may be unable to meet all of our customers' electric and natural gas requirements unless or until alternative supply arrangements are put in place.”

Annual report 2025A · The company itself

“Our customers' use of electricity and natural gas has decreased as a result of continued individual conservation efforts, including the use of more energy efficient technologies, and could be further reduced by new building codes, DERs, energy storage technology, and private solar.”

Annual report 2025A · The company itself

“Advances in technology, and legislation or regulations supporting such technology, could make our electric generating facilities less competitive and may impact the demand for natural gas. Advances in new technologies that produce or store power or reduce power consumption are ongoing and include renewable energy technologies, customer-oriented generation, energy storage devices, and energy efficiency technologies.”

Annual report 2025A · The company itself

“Other legislation or regulations could be adopted supporting the use of these technologies at below cost or that permit third-party sales from such facilities, and allow these facilities to interconnect to our distribution system. There is also a risk that advances in technology will continue to reduce the costs of these alternative methods of producing power to a level that is competitive with that of central station and utility-scale renewable power production.”

Annual report 2025A · The company itself

“Workforce As of December 31, 2025, we had the following number of employees, including those represented under union agreements: Total Employees Union Employees WE 2,565 1,963 WPS 1,220 876 WG 398 279 PGL 1,199 819 NSG 156 119 MERC 200 37 MGU 144 97 WBS 1,269 — Total employees 7,151 4,190 We have a local union presence that spans Wisconsin, Illinois, Minnesota, and Michigan.”

Annual report 2025A · The company itself

“In order to attract and retain talent, we provide competitive wages and benefits to our employees based on their performance, role, location, and market data.”

Annual report 2025A · The company itself

“Additional risks include, but are not limited to, the ability to adhere to established budgets and time frames; the availability of labor or materials at estimated costs; the ability of contractors to perform under their contracts; strikes; adverse weather conditions; potential legal challenges; changes in applicable laws or regulations; rising interest rates; inflation; tariffs; the impact of public health crises; other governmental actions; continued public and policymaker support for such projects; and events in the global economy.”

Annual report 2025A · The company itself

“The adoption of electrification initiatives and/or mandates could also result in an increase in electrical demand and increased investment costs for existing or new electrical systems.”

Annual report 2025A · The company itself

“Renewable Energy Legislation Infrastructure Investment and Jobs Act In November 2021, the Infrastructure Investment and Jobs Act was signed into law and provides for approximately $1.2 trillion of federal spending through 2026, including approximately $85 billion for investments in power, utilities, and renewables infrastructure across the United States. Funding from this Act supports the work we are doing to reduce GHG emissions and to strengthen and protect the energy grid.”

Annual report 2025A · The company itself

“The cost of natural gas may increase because of disruptions in the supply of natural gas due to a curtailment in production or distribution, international market conditions, the demand for natural gas, and the availability of shale gas and potential regulations and/or other government action affecting its accessibility.”

Annual report 2025A · The company itself

“We monitor the global supply chain, and related disruptions, in order to ensure we are able to procure the materials and other resources necessary to both maintain our energy services in a safe and reliable manner and to grow our infrastructure in accordance with our capital plan.”

Annual report 2025A · The company itself

“Lower wholesale market prices for electricity may adversely affect the financial results for certain of our renewable projects, depending on the structure of the related PPA.”

Annual report 2025A · The company itself

“Commodity Costs In the normal course of providing energy, we are subject to market fluctuations in the costs of coal, natural gas, purchased power, and fuel oil used in the delivery of coal. We manage our fuel and natural gas supply costs through a portfolio of short and long-term procurement contracts with various suppliers for the purchase of coal, natural gas, and fuel oil.”

Annual report 2025A · The company itself

“Those expectations are based in part on the core fundamentals of affordability and reliability but are also increasingly focused on our ability to meet rapidly changing demands for new and varied products, services, and offerings.”

Annual report 2025A · The company itself

“Our electric utilities could be subject to higher costs and penalties as a result of mandatory reliability standards. Our electric utilities are subject to mandatory reliability and critical infrastructure protection standards established by the North American Electric Reliability Corporation and enforced by the FERC.”

Annual report 2025A · The company itself

“In addition, at the end of 2025, the President issued executive orders directing the DOE to issue orders keeping certain coal plants running for grid reliability despite utilities' plans to retire them. Future orders impacting our planned retirements of coal plants could impact our ability to execute on our capital plan and to meet our environmental goal.”

Annual report 2025A · The company itself

“Changes in the demand for commodities and their respective prices could result in: •Higher working capital requirements, particularly related to natural gas inventory, accounts receivable, and cash collateral postings; •Reduced profitability to the extent that lower revenues, higher fuel costs, increased bad debt, and higher interest expense are not recovered through rates; •Higher rates charged to our customers, which could impact our competitive position; •Reduced demand for energy, which could impact revenues and operating expenses; •Reduced growth prospects from renewable energy projects related to lower cost alternative energy sources and a limited number of purchasers of electricity; and •Shutting down of generation facilities if the cost of generation exceeds the market price for electricity.”

Annual report 2025A · The company itself

“Risks Related to the Operation of Our Business Public health crises, including epidemics and pandemics, could adversely affect our business functions, financial condition, liquidity, and results of operations. Public health crises, including epidemics and pandemics, and any related government responses may adversely impact the economy and financial markets and could have a variety of adverse impacts on us, including a decrease in revenues; increased bad debt expense; increases in past due accounts receivable balances; and access to the capital markets at unreasonable terms or rates.”

Annual report 2025A · The company itself

“For some of our PPAs, the net amount paid by our PPA counterparties is impacted by wholesale prices at a market hub location different from the location of our renewable site. Systemic shortfalls and disruptions in transmission capacity can cause congestion between the two locations, which along with other factors, can cause price disparity between the market hub and site. This price disparity, known as basis risk, can be significant at times.”

Annual report 2025A · The company itself

“(6) WE has a biomass power plant that uses wood waste and wood shavings to produce electric power as well as steam to support the paper mill's operations. Fuel for the power plant is supplied by both the paper mill and through contracts with biomass suppliers.”

Annual report 2025A · The company itself

“Wisconsin Electric utility revenues in Wisconsin are regulated by the PSCW. The PSCW continues to maintain the position that the question of whether to implement electric retail competition in Wisconsin should ultimately be decided by the Wisconsin legislature.”

Annual report 2025A · The company itself

“Battery Energy Storage Systems We also own 99 MWs of BESS at Paris located in Kenosha County, WI which was completed in June 2025.”

Annual report 2025A · The company itself

“Economic Conditions We have electric and natural gas utility operations that serve customers in Wisconsin, Illinois, Minnesota, and Michigan.”

Annual report 2025A · The company itself

“We are required to provide natural gas service and grant credit (with applicable deposit requirements) to customers within our service territories. We are generally not allowed to discontinue natural gas service during winter moratorium months to residential heating customers who do not pay their bills.”

Annual report 2025A · The company itself

“Economic Conditions We have electric and natural gas utility operations that serve customers in Wisconsin, Illinois, Minnesota, and Michigan.”

Annual report 2025A · The company itself

“Economic Conditions We have electric and natural gas utility operations that serve customers in Wisconsin, Illinois, Minnesota, and Michigan.”

Annual report 2025A · The company itself