Risk Sleuth
FE · 10-K filed 18 Feb 2026 · year to 31 Dec 2025

FirstEnergy

35 named things its latest annual report says its results depend on, each in the company's own words. 20 of them are also named by other companies we've read.

Customers

Data centers

earns from · up to 16,985 MWs through 2035named as a risk
A need to serve the load obligations of these data centers, which could be up to 16,985 MWs through 2035, has the potential to adversely impact our business, results of operations, financial condition, or cash flows.Risk factors (Item 1A)

Also named by AESI, AGX, BKR, BSM, CBRE, CEG, CMI, CNP and 26 more

Shale gas, automotive, chemical and steel industries

earns fromnamed as a risk
The regional economy in which the Electric Companies operate is influenced by conditions in industries in our business territories, e.g., data centers, shale gas, automotive, chemical, steel and other heavy industries, and as these conditions and resultant demand of those industries for electricity generation changes, our revenues will be impacted.Risk factors (Item 1A)

Partners and platforms

Brookfield

49.9%
Brookfield owns the remaining 49.9% of the issued and outstanding membership interests of FET.Business (Item 1)

Also named by BE, CRC, INTC

Grid Growth

approximately $448 million
On February 12, 2026, in response to the PJM 2025 RTEP Long-Term Proposal Window #1, PJM awarded a project to Grid Growth estimated to be approximately $1 billion, with FET’s share estimated to be approximately $448 million.Business (Item 1)

PJM Interconnection

operates innamed as a risk
All of the Registrants' facilities are located within the PJM Region and operate under the reliability oversight of a regional entity known as RFC.Business (Item 1)

Also named by AEP, CEG, D, DUK, ED, EXC, NRG, PBF and 5 more

Other companies

International Brotherhood of Electrical Workers

approximately 44% of FirstEnergy’s employeesnamed as a risk
As of December 31, 2025, the International Brotherhood of Electrical Workers, the Utility Workers Union of America and the Office and Professional Employees International Union collectively represented approximately 44% of FirstEnergy’s employees.Business (Item 1)

Also named by AEE, EIX, ES, EVRG, MYRG, NEE, PNW, SO and 2 more

JCP&L goodwill

approximately $1.8 billion of goodwillnamed as a risk
JCP&L had approximately $1.8 billion of goodwill on our balance sheet as of December 31, 2025.Risk factors (Item 1A)

Bath County pumped-storage facility

operates in · 16.25% undivided interest
MP owns or contractually controls 3,610 MWs of generation capacity that is supplied to its electric utility business, including 30 MWs of Solar generation and 487 MWs of pumped-storage hydroelectric generation from its 16.25% undivided interest in the Bath County facility in Virginia through its wholly owned subsidiary AGC.Business (Item 1)

In re FirstEnergy Corp. Securities Litigation

named as a risk
We believe that it is probable that FE will incur a loss in connection with the resolution of In re FirstEnergy Corp. Securities Litigation.Risk factors (Item 1A)

Places

Pennsylvania

concentrated in · $6.9 billion
FE PA owns property and does business as an electric public utility in Pennsylvania and New York, providing distribution services to approximately 2.1 million customers in Pennsylvania and approximately 4,000 customers in Waverly, New York, with a rate base of $6.9 billion as of December 31, 2025.Business (Item 1)

Also named by AWK, CNX, DTM, EQT, GMED, NFG, PEG, PPL and 6 more

Ohio

concentrated in · $11.1 billion in rate base
FirstEnergy's Distribution segment, which consists of the Ohio Companies and FE PA, representing $11.1 billion in rate base as of December 31, 2025, distributes electricity through FirstEnergy’s electric operating companies in Ohio and Pennsylvania.Business (Item 1)

Also named by AM, AR, BBSI, CINF, DRVN, ELV, INTC, KEY and 6 more

West Virginia

concentrated in · $4.1 billion
MP owns property and does business as an electric public utility in West Virginia, providing distribution services to approximately 0.4 million customers, as well as generation and transmission services in northern West Virginia, with a combined rate base of $4.1 billion as of December 31, 2025.Business (Item 1)

Also named by AM, AR, EQT, NRP, NUE, UBSI, UGI

New Jersey

concentrated in · $5.1 billion
JCP&L owns property and does business as an electric public utility in New Jersey, providing distribution services to approximately 1.2 million customers, as well as transmission services in northern, western, and east central New Jersey, with a combined rate base of $5.1 billion as of December 31, 2025.Business (Item 1)

Also named by AWK, AXP, COO, MUSA, NLY, PEG

Hazards

Severe weather

named as a risk
In addition, severe weather, such as tornadoes, hurricanes, ice or snowstorms, droughts, high winds or other natural disasters, may cause outages and property damage that may require us to incur additional costs that are generally not insured and that may not be recoverable from customers.Risk factors (Item 1A)

Also named by BALL, DAL, DTE, EVRG, EXP, NSC, OGE, WPC

Mine subsidence

named as a risk
Our operations, or those of our vendors or suppliers, could be negatively impacted by various events beyond our control, including, but not limited to: natural disasters, such as hurricanes, tornadoes, floods, earthquakes, wildfires, extreme cold weather events and other adverse weather conditions; public health crises, such as pandemics and epidemics; prolonged government or regulator furloughs or shutdowns; trade wars; recessions; political crises, such as terrorist attacks, war, labor unrest, and other political instability; negative global climate patterns, especially in water stressed regions; surface subsidence from underground mining impacting our facilities; or other catastrophic events, such as fires or other disasters occurring at our distribution facilities or our service providers’ facilities, whether occurring in the United States or internationally.Risk factors (Item 1A)

Commodities and inputs

Coal

depends on · approximately 3,160 MWs of coal-fired generationnamed as a risk
As further described in Item 2., "Properties", FirstEnergy controls approximately 3,160 MWs of coal-fired generation, primarily at MP.Risk factors (Item 1A)

Also named by AA, AEE, AEP, AES, ARLP, BKH, BRK/B, CNP and 19 more

Steel and aluminum

exposed to its pricenamed as a risk
Inflation and broader economic conditions have continued to drive up the price of the cost of essential components used in the construction of transmission infrastructure, such as electrical equipment, steel and aluminum, and we may experience supply chain disruptions and long lead times for critical equipment.Risk factors (Item 1A)

Coal

depends on
This contracted coal is produced primarily from mines located in Pennsylvania and West Virginia.Business (Item 1)

Also named by AA, AEE, AEP, AES, ARLP, BKH, BRK/B, CNP and 19 more

Regulators

North American Electric Reliability Corporation (NERC)

subject to · $1.5 million per daynamed as a risk
For example, FERC has the authority under the FPA to impose penalties up to and including $1.5 million per day, subject thereafter to annual adjustments for inflation, for failure to comply with these mandatory reliability standards.Risk factors (Item 1A)

Also named by BKH, DUK, EIX, EVRG, EXC, HASI, MDU, NEE and 5 more

Public Utilities Commission of Ohio (PUCO)

subject to · ROE of 9.63%named as a risk
On November 19, 2025, the PUCO issued an order in the Ohio Companies’ base rate case that authorized an ROE of 9.63%.Business (Item 1)

Also named by AEP, AES, DUK, ENB

West Virginia Public Service Commission (WVPSC)

subject to · approximately $2.5 billion
Additionally, on October 1, 2025, MP and PE filed their integrated resource plan with the WVPSC proposing, among other things, the addition of 70 MWs of solar generation by 2028, and 1,200 MWs of natural gas combined cycle generation by 2031, which are expected to require an estimated capital investment of approximately $2.5 billion, as detailed in the filing.Business (Item 1)

Also named by UGI

Federal Energy Regulatory Commission (FERC)

subject tonamed as a risk
If FERC were to lower the rate of return it has authorized for FirstEnergy's cost-based wholesale power rates or transmission investments and facilities, it could reduce future earnings and cash flows, and adversely impact our financial condition.Risk factors (Item 1A)

Also named by AA, AEE, AEP, AM, AMRC, AR, ARES, ATO and 62 more

U.S. Environmental Protection Agency (EPA)

subject tonamed as a risk
Regulatory requirements and enforcement priorities continue to change, but should the EPA investigate FirstEnergy’s electric generation facilities in the future, it could, if violations were discovered, result in the imposition of fines.Risk factors (Item 1A)

Also named by AAON, AAP, ALSN, AMRC, APA, APD, APG, AROC and 78 more

New Jersey Board of Public Utilities (NJBPU)

subject tonamed as a risk
JCP&L’s default service, or BGS supply, is secured through a statewide competitive procurement process approved by the NJBPU.Business (Item 1)

Also named by ED, EXC, PEG

U.S. Attorney's Office for the S.D. Ohio Deferred Prosecution Agreement

subject tonamed as a risk
If we are found to have breached the terms of the DPA, the U.S. Attorney’s Office may elect to prosecute, or bring a civil action against, us for conduct alleged in the DPA or known to the government, which could result in fines or penalties and could have a material adverse impact on our reputation or relationships with regulatory and legislative authorities, customers and other stakeholders, as well as our consolidated financial statements.Risk factors (Item 1A)

Maryland Public Service Commission (MDPSC)

subject to
Default service for the Ohio Companies, FE PA and PE's Maryland jurisdiction are provided through a competitive procurement process approved by the PUCO (under the current ESP), PPUC (under the Default Service Plan) and MDPSC (under the SOS), respectively.Business (Item 1)

Also named by EXC, NI, PEG, UGI

Laws and programs

Ohio House Bill 6 (HB 6)

$230 millionnamed as a risk
Under the DPA, we paid a $230 million monetary penalty in 2021 and agreed to the filing of a criminal information charging FirstEnergy with one count of conspiracy to commit honest services wire fraud.Risk factors (Item 1A)

Energize365

approximately $36 billion from 2026 through 2030named as a risk
FirstEnergy’s Energize365 business plan calls for extensive capital investments totaling approximately $36 billion from 2026 through 2030.Risk factors (Item 1A)

FERC transmission ROE incentive (RTO adder)

subject to · 0.5% reduction to the 10.38% approved ROEnamed as a risk
(1) Reflects a 0.5% reduction to the 10.38% approved ROE due to the January 2025 Sixth Circuit ruling eliminating the 50 basis point adder associated with RTO membership (see "Outlook - FERC Regulatory Matters - Transmission ROE Incentive" in Item 7., "Management's Discussion and Analysis of Financial Condition and Results of Operations" for additional information and discussion.Business (Item 1)

PJM Regional Transmission Expansion Plan (RTEP)

earns from · approximately $1 billion
On February 26, 2025, in response to the PJM 2024 RTEP Long-Term Proposal Window #1, PJM awarded two electric transmission projects to Valley Link estimated to be approximately $3 billion, with FET’s share estimated to be approximately $1 billion.Business (Item 1)

U.S. tariffs

exposed to its pricenamed as a risk
Any widespread imposition of new or increased tariffs could have an adverse effect on our results of operations, cash flow and financial condition.Risk factors (Item 1A)

Also named by A, AAPL, ACHR, ADI, AEHR, AEP, AIOT, AKAM and 170 more

FERC Order No. 1000

competes withnamed as a risk
Additionally, pursuant to FERC’s Order No. 1000 and subject to state and local siting and permitting approvals, non-incumbent developers can compete for certain PJM transmission projects in the service territories of certain of FirstEnergy’s Electric Companies' providing transmission services, including JCP&L, and the Transmission Companies.Business (Item 1)

Also named by XEL

PJM capacity auctions

exposed to its pricenamed as a risk
These all-time high capacity prices ultimately are passed through in retail rates and can result in material increases in retail customers’ monthly electric utility bills.Risk factors (Item 1A)

Ohio Senate Bill 2 of 2025

subject tonamed as a risk
Evolving legislation and executive actions related to our rates enacted by individual states, such as Ohio Senate Bill 2 of 2025 and Executive Order No. 2 of 2026 issued by the New Jersey governor on January 20, 2026, may also affect outcomes in distribution rate cases or could create uncertainty around our rate strategy.Risk factors (Item 1A)

Inflation Reduction Act of 2022 corporate AMT

subject tonamed as a risk
Any adverse development in the IRA of 2022, including guidance from the U.S. Treasury and/or the IRS or unfavorable regulatory treatment, could negatively impact FirstEnergy’s cash flows, results of operations and financial condition.Risk factors (Item 1A)