RRI Energy Reports Second Quarter 2009 Results

RRI Energy, Inc. today is reporting open EBITDA of ($10) million for the second quarter of 2009, compared to $136 million for the same period of 2008. The decline was primarily due to lower unit margins resulting from lower commodity prices and lower power demand. Adjusted EBITDA was ($78) million for the second quarter of 2009, compared to $202 million for the second quarter of 2008. Out-of-the-money coal hedges in 2009 compared to in-the-money coal hedges in 2008 form the primary difference between open and adjusted EBITDA for both periods. Free cash flow used in continuing operations was $148 million for the first six months of 2009, compared to free cash flow provided by continuing operations of $50 million for the same period in 2008. These results exclude the performance of the Texas retail business, which was sold on May 1, 2009 and is included in discontinued operations.

"We have taken steps to manage the challenges of the difficult economic environment and position us to benefit as market conditions improve,” said Mark Jacobs, president and chief executive officer of RRI Energy. "The sale of the retail business significantly reduced our risk profile and we implemented a modest hedging program to provide a high probability of achieving free cash flow breakeven or better in 2010 and 2011 even if market conditions deteriorate further. These measures, combined with our nearly $1.5 billion cash position, put the Company in a strong position to deliver long-term value to shareholders as the market begins to recover.”

Open EBITDA was ($4) million for the first six months of 2009, compared to $257 million for the same period of 2008. Adjusted EBITDA was ($58) million for the first six months of 2009, compared to $359 million for the second quarter of 2008. The declines were due to the same factors as described above. These results exclude the performance of the Texas retail business, which was sold on May 1, 2009 and is included in discontinued operations.

The loss from continuing operations before income taxes for the second quarter of 2009 was $185 million, compared to income of $144 million for the second quarter of 2008. The reported results include net unrealized gains from energy derivatives of $7 million in 2009 and $68 million in 2008.

The loss from continuing operations before income taxes for the first six months of 2009 was $325 million, compared to income of $168 million for the first six months of 2008. The 2009 reported results include net unrealized losses from energy derivatives of $37 million. The reported numbers for 2008 include net unrealized gains from energy derivatives of $98 million and a $34 million charge for western states litigation and similar settlements. Operating cash flow from continuing operations was ($96) million for the first half of 2009, compared to $88 million for the same period of 2008.

2009 Investor Conference Key Takeaways

The Company hosted an investor conference on July 28. Senior management discussed the steps the Company is taking to deliver long-term value for shareholders.

The key areas of focus included:

• Managing risk in the current market environment
• Operating its assets efficiently and effectively
• Positioning for long-term value creation as market conditions improve and the industry consolidates
• Employing a highly-disciplined approach to deploying capital
• Supporting the business with an appropriate capital structure and liquidity level

Outlook

RRI Energy’s outlook is based on forward commodity prices as of June 26, 2009. The outlook for open EBITDA is $276 million and $499 million for the years ending December 31, 2009 and 2010, respectively. The outlook for adjusted EBITDA, which includes the impact of wholesale hedges and gains on sales of assets and emission and exchange allowances, net is $158 million and $464 million for the same periods. The outlook for free cash flow provided by (used in) continuing operations is ($227) million and $180 million for the years ending December 31, 2009 and 2010, respectively.

Open EBITDA Reconciliation
($ millions)		2008A		2009E		2010E
Income (loss) from continuing operations before income taxes		$26		($282)		($35)
Unrealized (gains) losses on energy derivatives		9		(31)		25
Severance		---		8		---
Western states litigation and similar settlements		37		---		---
Wholesale energy goodwill impairment		305		---		---
Debt extinguishments		2		(1)		---
Depreciation and amortization		313		287		304
Interest expense, net		179		177		170
Adjusted EBITDA		$871		$158		$464
Wholesale hedges		(233)		138		35
Gains on sales of assets and emission and exchange allowances, net		(93)		(20)		---
Open EBITDA		$545		$276		$499
Free Cash Flow from Continuing Operations Reconciliation
($ millions)		2008A		2009E		2010E
Operating cash flow from continuing operations		$703		($139)		$254
Western states litigation and similar settlements payments		34		65		---
Change in margin deposits, net		(199)		45		45
Adjusted cash flow provided by (used in) continuing operations		$538		($29)		$299
Maintenance capital expenditures		(56)		(55)		(55)
Environmental capital expenditures and capitalized interest1		(223)		(131)		(38)
Emission and exchange allowances activity, net		(19)		(12)		(26)
Free cash flow provided by (used in) continuing operations		$240		($227)		$180
1. Estimate represents the low end of the range.

Non-GAAP Financial Measures

This press release and the attached financial tables include the following non-GAAP financial measures:

• Open energy gross margin
• Open wholesale gross margin
• Open wholesale contribution margin
• EBITDA
• Adjusted EBITDA
• Open EBITDA
• Adjusted cash flow provided by (used in) continuing operations
• Free cash flow provided by (used in) continuing operations
• Gross debt

A reconciliation of these financial measures and the most directly comparable GAAP measures is included above or in the attached financial tables. Additional information regarding these measures, including a discussion of their usefulness and purpose, is included in the Form 8-K furnished along with this press release. Certain factors that could affect GAAP financial measures are not accessible on a forward-looking basis, but could be material to future reported earnings and cash flows.

Webcast Of Earnings Conference Call

RRI Energy will host its second quarter 2009 earnings conference call beginning at 9:00 a.m. Central Time on Monday, August 3, 2009. The conference call will be webcast live with audio and slides at www.rrienergy.com in the investors section. A replay of the call can be accessed approximately two hours after the call’s completion.

About RRI Energy, Inc.

RRI Energy, Inc. (NYSE:RRI) based in Houston, provides electricity to wholesale customers in the United States. The company is one of the largest independent power producers in the nation with more than 14,000 megawatts of power generation capacity across the United States. These strategically located generating assets use natural gas, fuel oil and coal. RRI will routinely post all important information on its Web site at www.rrienergy.com.

This news release contains "forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are statements that contain projections, estimates or assumptions about our revenues, margins, capital structure and other financial items, our plans and objectives for future operations or about our future economic performance, economic or market conditions, possible transactions and dispositions, financings or offerings. In many cases you can identify forward-looking statements by terminology such as "anticipate," "estimate," "believe," "continue," "could," "intend," "may," "plan," "potential," "predict," "should," "will," "expect," "objective," "projection," "forecast," "goal," "guidance," "outlook," "effort," "target" and other similar words. However, the absence of these words does not mean that the statements are not forward-looking.

Actual results may differ materially from those expressed or implied by forward-looking statements as a result of many factors or events, including, but not limited to, legislative, regulatory and/or market developments, the outcome of pending lawsuits, governmental proceedings and investigations, the effects of competition, financial and economic market conditions, access to capital, the timing and extent of changes in commodity prices and interest rates, weather conditions and other factors we discuss or refer to in the "Risk Factors” section of our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission. Our filings and other important information are also available on the Investor Relations page of our website at www.rrienergy.com.

Each forward-looking statement speaks only as of the date of the particular statement and we undertake no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

RRI Energy, Inc. and Subsidiaries
Consolidated Statements of Operations
(Unaudited)
		Three Months Ended June 30,								Six Months Ended June 30,
			2009				2008				2009				2008
		(thousands of dollars, except per share amounts)
Revenues:
Revenues (including $(21,842), $5,465, $(26,130) and $(6,737) unrealized gains (losses))
(including $0, $145,592, $0 and $253,001 from affiliates)		$	389,777			$	1,013,564			$	855,961			$	1,893,362
Expenses:
Cost of sales (including $28,486, $62,051, $(10,969) and $105,053 unrealized gains
(losses)) (including $0, $34,593, $0 and $70,306 from affiliates)			280,067				568,876				604,741				1,077,715
Operation and maintenance			156,964				165,733				314,110				321,178
General and administrative			27,645				32,627				56,659				61,841
Western states litigation and similar settlements			-				-				-				34,000
Gains on sales of assets and emission and exchange allowances, net			(1,241	)			(22,312	)			(20,171	)			(22,923	)
Depreciation and amortization			67,646				82,909				135,504				165,706
Total operating expense			531,081				827,833				1,090,843				1,637,517
Operating Income (Loss)			(141,304	)			185,731				(234,882	)			255,845
Other Income (Expense):
Income (loss) of equity investment, net			(690	)			988				(149	)			1,195
Debt extinguishments gains (losses)			844				-				844				(1,353	)
Other, net			160				90				211				26
Interest expense			(45,067	)			(51,094	)			(91,986	)			(102,510	)
Interest income			721				8,226				969				14,651
Total other expense			(44,032	)			(41,790	)			(90,111	)			(87,991	)
Income (Loss) from Continuing Operations Before Income Taxes			(185,336	)			143,941				(324,993	)			167,854
Income tax expense (benefit)			(81,644	)			61,963				(115,520	)			72,940
Income (Loss) from Continuing Operations			(103,692	)			81,978				(209,473	)			94,914
Income from discontinued operations			907,258				276,710				861,626				640,986
Net Income		$	803,566			$	358,688			$	652,153			$	735,900
Basic Earnings (Loss) Per Share:
Income (loss) from continuing operations		$	(0.30	)		$	0.24			$	(0.60	)		$	0.27
Income from discontinued operations			2.59				0.79				2.46				1.86
Net income		$	2.29			$	1.03			$	1.86			$	2.13
Diluted Earnings (Loss) Per Share:
Income (loss) from continuing operations		$	(0.30	)		$	0.23			$	(0.60	)		$	0.27
Income from discontinued operations			2.59				0.78				2.46				1.81
Net income		$	2.29			$	1.01			$	1.86			$	2.08
Weighted Average Common Shares Outstanding (in thousands):
- Basic			350,665				346,616				350,577				346,017
- Diluted			350,665				354,054				350,577				354,078
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
Results of Operations by Segment - Adjusted and Open
(Unaudited)
		Three Months Ended June 30,													Six Months Ended June 30,
			2009				2008				Change					2009					2008				Change
		(millions of dollars)
Wholesale Energy:
Revenues		$	389			$	1,014				$	(625	)		$	854				$	1,893				$	(1,039	)
Cost of sales			281				569					(288	)			605					1,078					(473	)
Wholesale hedges			70				(44	)				114				74					(79	)				153
Unrealized (gains) losses on energy derivatives			(7	)			(68	)				61				37					(98	)				135
Open wholesale gross margin			171				333					(162	)			360					638					(278	)
Operation and maintenance, excluding severance			153				166					(13	)			308					318					(10	)
Other			-				-					-				-					1					(1	)
Open wholesale contribution margin			18				167					(149	)			52					319					(267	)
Wholesale hedges			(70	)			44					(114	)			(74	)				79					(153	)
Unrealized gains (losses) on energy derivatives			7				68					(61	)			(37	)				98					(135	)
Operation and maintenance - severance			(3	)			-					(3	)			(4	)				-					(4	)
Contribution margin, including wholesale hedges and unrealized gains/losses on energy derivatives (1)			(48	)			279					(327	)			(63	)				496					(559	)
Other Operations:
Revenues		$	1			$	1				$	-			$	3				$	3				$	-
Cost of sales			-				-					-				-					-					-
Operation and maintenance			1				-					1				1					1					-
Other operations contribution margin (1)			-				1					(1	)			2					2					-
Eliminations:
Revenues		$	-			$	(1	)			$	1			$	(1	)			$	(2	)			$	1
Cost of sales			-				-					-				-					-					-
Operation and maintenance			-				-					-				-					-					-
Total			-				(1	)				1				(1	)				(2	)				1
Consolidated:
Open wholesale contribution margin		$	18			$	167				$	(149	)		$	52				$	319				$	(267	)
Other operations contribution margin			-				1					(1	)			2					2					-
Eliminations			-				(1	)				1				(1	)				(2	)				1
Total			18				167					(149	)			53					319					(266	)
Operation and maintenance			-				1		(2	)		(1	)			(1	)	(2	)		(2	)	(2	)		1
General and administrative, excluding severance			(27	)			(33	)				6				(56	)				(61	)				5
Income (loss) of equity investment, net			(1	)			1					(2	)			-					1					(1	)
Other, net			-				-					-				-					-					-
Open EBITDA			(10	)			136					(146	)			(4	)				257					(261	)
Wholesale hedges			(70	)			44					(114	)			(74	)				79					(153	)
Gains on sales of assets and emission and exchange allowances, net			2				22					(20	)			20					23					(3	)
Adjusted EBITDA			(78	)			202					(280	)			(58	)				359					(417	)
Operation and maintenance - severance			(3	)			-					(3	)			(4	)				-					(4	)
General and administrative - severance			(1	)			-					(1	)			(1	)				-					(1	)
Unrealized gains (losses) on energy derivatives			7				68					(61	)			(37	)				98					(135	)
Western states litigation and similar settlements			-				-					-				-					(34	)				34
Debt extinguishments gains (losses)			1				-					1				1					(1	)				2
EBITDA			(74	)			270					(344	)			(99	)				422					(521	)
Depreciation and amortization			(67	)			(83	)				16				(135	)				(166	)				31
Interest expense			(45	)			(51	)				6				(92	)				(102	)				10
Interest income			1				8					(7	)			1					14					(13	)
Income (loss) from continuing operations before income taxes		$	(185	)		$	144				$	(329	)		$	(325	)			$	168				$	(493	)
(1) Segment profit and loss measure.
(2) Relates primarily to general costs, which historically were allocated to our discontinued retail energy segment.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
Consolidated Balance Sheets
(Unaudited)
		June 30, 2009				December 31, 2008
ASSETS		(thousands of dollars)
Current Assets:
Cash and cash equivalents		$	1,486,965			$	1,004,367
Restricted cash			2,778				2,721
Accounts and notes receivable, principally customer			127,479				249,871
Inventory			303,984				314,999
Derivative assets			157,023				161,340
Margin deposits			18,078				32,676
Investment in and receivables from Channelview, net			24,569				58,703
Prepayments and other current assets			105,146				124,449
Current assets of discontinued operations ($152,000 and $295,477 of margin deposits)			271,538				2,506,340
Total current assets			2,497,560				4,455,466
Property, plant and equipment, gross			6,510,780				6,417,268
Accumulated depreciation			(1,722,634	)			(1,597,479	)
Property, Plant and Equipment, net			4,788,146				4,819,789
Other Assets:
Other intangibles, net			373,773				380,554
Derivative assets			84,004				78,879
Prepaid lease			264,893				273,374
Other ($31,888 and $29,012 accounted for at fair value)			238,142				219,552
Long-term assets of discontinued operations			25,717				494,781
Total other assets			986,529				1,447,140
Total Assets		$	8,272,235			$	10,722,395
LIABILITIES AND EQUITY
Current Liabilities:
Current portion of long-term debt and short-term borrowings		$	410,799			$	12,517
Accounts payable, principally trade			137,239				156,604
Derivative liabilities			234,906				202,206
Margin deposits			28,000				93,000
Other			206,698				199,026
Current liabilities of discontinued operations ($42,250 and $0 of margin deposits)			187,391				2,375,895
Total current liabilities			1,205,033				3,039,248
Other Liabilities:
Derivative liabilities			115,596				140,493
Other			305,407				272,079
Long-term liabilities of discontinued operations			29,872				873,190
Total other liabilities			450,875				1,285,762
Long-term Debt			2,160,501				2,610,737
Commitments and Contingencies
Temporary Equity Stock-based Compensation			4,934				9,004
Stockholders' Equity:
Preferred stock; par value $0.001 per share (125,000,000 shares authorized; none
outstanding)			-				-
Common stock; par value $0.001 per share (2,000,000,000 shares authorized; 350,711,802
and 349,812,537 issued)			112				111
Additional paid-in capital			6,248,060				6,238,639
Accumulated deficit			(1,723,048	)			(2,375,201	)
Accumulated other comprehensive loss			(74,232	)			(85,905	)
Total stockholders' equity			4,450,892				3,777,644
Total Liabilities and Equity		$	8,272,235			$	10,722,395
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
(Unaudited)
		Six Months Ended June 30,
			2009				2008
		(thousands of dollars)
Cash Flows from Operating Activities:
Net income		$	652,153			$	735,900
Income from discontinued operations			(861,626	)			(640,986	)
Net income (loss) from continuing operations			(209,473	)			94,914
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Depreciation and amortization			135,504				165,706
Deferred income taxes			(115,850	)			71,419
Net changes in energy derivatives			37,099				(98,316	)
Amortization of deferred financing costs			4,292				4,206
Gains on sales of assets and emission and exchange allowances, net			(20,171	)			(22,923	)
Western states litigation and similar settlements			-				34,000
Other, net			7,450				(1,268	)
Changes in other assets and liabilities:
Accounts and notes receivable, net			126,059				(158,758	)
Change in notes, receivables and payables with affiliates, net			(1,230	)			(5,440	)
Inventory			12,610				(42,445	)
Margin deposits, net			(50,402	)			(54,644	)
Net derivative assets and liabilities			(21,965	)			(9,519	)
Accounts payable			(7,453	)			88,399
Other current assets			3,759				(6,819	)
Other assets			9,073				19,190
Taxes payable/receivable			(4,936	)			19,971
Other current liabilities			(4,207	)			(8,100	)
Other liabilities			3,322				(1,242	)
Net cash provided by (used in) continuing operations from operating activities			(96,519	)			88,331
Net cash provided by discontinued operations from operating activities			508,602				102,531
Net cash provided by operating activities			412,083				190,862
Cash Flows from Investing Activities:
Capital expenditures			(114,964	)			(102,930	)
Proceeds from sales of assets, net			35,931				-
Proceeds from sales of emission and exchange allowances			19,175				28,420
Purchases of emission allowances			(5,662	)			(17,644	)
Restricted cash			(57	)			(3,835	)
Other, net			1,500				1,435
Net cash used in continuing operations from investing activities			(64,077	)			(94,554	)
Net cash provided by (used in) discontinued operations from investing activities			299,004				(14,200	)
Net cash provided by (used in) investing activities			234,927				(108,754	)
Cash Flows from Financing Activities:
Payments of long-term debt			(44,780	)			(45,193	)
Payments of debt extinguishments			-				(423	)
Proceeds from issuances of stock			2,309				5,769
Net cash used in continuing operations from financing activities			(42,471	)			(39,847	)
Net cash used in discontinued operations from financing activities			(225,300	)			-
Net cash used in financing activities			(267,771	)			(39,847	)
Net Change in Cash and Cash Equivalents, Total Operations			379,239				42,261
Less: Net Change in Cash and Cash Equivalents, Discontinued Operations			(103,359	)			(325	)
Cash and Cash Equivalents at Beginning of Period, Continuing Operations			1,004,367				524,070
Cash and Cash Equivalents at End of Period, Continuing Operations		$	1,486,965			$	566,656
Free Cash Flow Reconciliation
(Unaudited)
		Six Months Ended June 30,
			2009				2008
		(millions of dollars)
Operating cash flow from continuing operations		$	(96	)		$	88
Change in margin deposits, net			50				55
Adjusted cash flow provided by (used in) continuing operations			(46	)			143
Capital expenditures			(115	)			(103	)
Proceeds from sales of emission and exchange allowances			19				28
Purchases of emission allowances			(6	)			(18	)
Free cash flow provided by (used in) continuing operations		$	(148	)		$	50
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
Wholesale Energy Data
(Unaudited)
		Three Months Ended June 30,															Six Months Ended June 30,
		2009								2008							2009								2008
		GWh				% Economic (1)				GWh				% Economic (1)			GWh				% Economic (1)				GWh				% Economic (1)
Economic Generation (2) (3):
PJM Coal			4,890.4				68	%			5,316.6			73	%			9,950.3				69	%			11,280.8			77	%
MISO Coal			1,263.5				46	%			1,359.3			49	%			2,411.5				44	%			3,407.7			62	%
PJM/MISO Gas			509.0				6	%			352.0			5	%			673.1				4	%			412.7			3	%
West			139.4				2	%			308.6			4	%			288.2				3	%			547.0			4	%
Other			63.1				3	%			7.0			1	%			63.1				2	%			7.0			1	%
Total			6,865.4				26	%			7,343.5			29	%			13,386.2				26	%			15,655.2			31	%
Commercial Capacity Factor (4):
PJM Coal			73.5	%							83.7	%						77.6	%							84.3	%
MISO Coal			85.9	%							90.8	%						85.0	%							81.5	%
PJM/MISO Gas			93.9	%							91.6	%						94.2	%							92.0	%
West			69.6	%							94.1	%						78.1	%							86.3	%
Other			98.7	%							81.4	%						98.7	%							81.4	%
Total			77.5	%							85.9	%						79.9	%							84.0	%
Generation (3):		GWh								GWh							GWh								GWh
PJM Coal			3,596.5								4,452.3							7,719.4								9,515.1
MISO Coal			1,085.8								1,233.9							2,048.6								2,776.1
PJM/MISO Gas			477.8								322.6							634.1								379.5
West			97.0								290.4							225.1								472.2
Other			62.3								5.7							62.3								5.7
Total			5,319.4								6,304.9							10,689.5								13,148.6
Open Energy Unit Margin ($/MWh) (5):
PJM Coal		$	8.90							$	40.88						$	14.64							$	38.04
MISO Coal			10.13								23.50							10.74								27.02
PJM/MISO Gas			10.46								46.50							9.46								52.70
West			82.47								NM		(6)					39.98								NM		(6)
Other			-								-							-								-
Weighted average total		$	10.53							$	35.37						$	14.03							$	34.15
		Three Months Ended June 30,															Six Months Ended June 30,
			2009				2008			Change								2009				2008			Change
Open energy gross margin (7):		(in millions)															(in millions)
PJM Coal		$	32			$	182			$	(150	)					$	113			$	362			$	(249	)
MISO Coal			11				29				(18	)						22				75				(53	)
PJM/MISO Gas			5				15				(10	)						6				20				(14	)
West			8				(3	)			11							9				(8	)			17
Other			-				-				-							-				-				-
Total			56				223				(167	)						150				449				(299	)
Other margin (8):
PJM Coal			38				26				12							72				44				28
MISO Coal			3				3				-							5				5				-
PJM/MISO Gas			44				33				11							82				60				22
West			17				34				(17	)						24				56				(32	)
Other			13				14				(1	)						27				24				3
Total			115				110				5							210				189				21
Open wholesale gross margin			171				333				(162	)						360				638				(278	)
Operation and maintenance, excluding severance			(153	)			(166	)			13							(308	)			(318	)			10
Other			-				-				-							-				(1	)			1
Open wholesale contribution margin			18				167				(149	)						52				319				(267	)
Wholesale hedges
Power			(10	)			(17	)			7							(20	)			(35	)			15
Fuel			(47	)			66				(113	)						(76	)			102				(178	)
Tolling/Other			(13	)			(5	)			(8	)						22				12				10
Total wholesale hedges			(70	)			44				(114	)						(74	)			79				(153	)
Unrealized gains (losses) on energy derivatives			7				68				(61	)						(37	)			98				(135	)
Operation and maintenance - severance			(3	)			-				(3	)						(4	)			-				(4	)
Total wholesale energy contribution margin, including wholesale hedges and unrealized gains/losses on energy derivatives (9)		$	(48	)		$	279			$	(327	)					$	(63	)		$	496			$	(559	)
(1) Represents economic generation (hours) divided by maximum generation hours (maximum plant capacity multiplied by 8,760 hours).
(2) Estimated generation at 100% plant availability based on an hourly analysis of when it is economical to generate based on the price of power, fuel, emission allowances and variable operating costs.
(3) Excludes generation related to power purchase agreements, including tolling agreements.
(4) Generation divided by economic generation.
(5) Represents open energy gross margin divided by generation.
(6) NM is not meaningful.
(7) Open energy gross margin is calculated using the power sales prices received by the plants less delivered spot fuel prices. This figure excludes the effects of other margin, our wholesale hedges and unrealized gains/losses on energy derivatives.
(8) Other margin represents power purchase agreements, capacity payments, ancillary services revenues and selective commercial hedge strategies.
(9) Wholesale energy segment profit and loss measure.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
PJM Coal and MISO Coal
(Unaudited)
		Capacity		Heat Rate		Q2 economic generation (GWh)				Q2 commercial capacity factor						Q2 generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Cheswick		560		10.0		898.6		599.5		53.3	%		97.1	%		478.6		582.3
Conemaugh (2)		280		9.4		509.9		576.2		93.6	%		83.5	%		477.2		481.1
Elrama		460		11.3		191.0		368.2		88.2	%		82.9	%		168.5		305.3
Keystone (2)		282		9.5		584.5		595.0		72.6	%		99.9	%		424.3		594.4
Portland		401		9.8		694.5		686.4		86.2	%		52.5	%		598.6		360.2
Seward		525		9.6		1,011.6		1,078.8		77.6	%		89.8	%		785.5		968.6
Shawville (2)		597		10.3		690.6		1,039.1		61.1	%		84.7	%		422.3		880.2
Titus		243		10.8		309.7		373.4		78.0	%		75.0	%		241.5		280.2
PJM Coal Total		3,348				4,890.4		5,316.6		73.5	%		83.7	%		3,596.5		4,452.3
		Capacity		Heat Rate		Q2 economic generation (GWh)				Q2 commercial capacity factor						Q2 generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Avon Lake		721		9.3		910.1		781.6		96.8	%		98.6	%		881.0		770.6
New Castle		328		10.6		232.7		307.9		75.3	%		81.3	%		175.3		250.3
Niles		216		10.5		120.7		269.8		24.4	%		78.9	%		29.5		213.0
MISO Coal Total		1,265				1,263.5		1,359.3		85.9	%		90.8	%		1,085.8		1,233.9
		Capacity		Heat Rate		Q2 YTD economic generation (GWh)				Q2 YTD commercial capacity factor						Q2 YTD generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Cheswick		560		10.0		1,745.7		1,440.5		71.0	%		93.4	%		1,240.2		1,345.0
Conemaugh (2)		280		9.4		1,076.9		1,176.0		95.2	%		88.8	%		1,025.6		1,043.9
Elrama		460		11.3		283.6		1,066.3		86.9	%		82.5	%		246.4		880.1
Keystone (2)		282		9.5		1,175.9		1,204.2		78.5	%		98.4	%		923.5		1,184.9
Portland		401		9.8		1,448.1		1,403.7		82.3	%		70.6	%		1,192.5		991.2
Seward		525		9.6		2,058.3		2,163.6		66.4	%		78.5	%		1,366.7		1,697.4
Shawville (2)		597		10.3		1,490.8		2,092.4		77.2	%		83.9	%		1,151.4		1,756.5
Titus		243		10.8		671.0		734.1		85.4	%		83.9	%		573.1		616.1
PJM Coal Total		3,348				9,950.3		11,280.8		77.6	%		84.3	%		7,719.4		9,515.1
		Capacity		Heat Rate		Q2 YTD economic generation (GWh)				Q2 YTD commercial capacity factor						Q2 YTD generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Avon Lake		721		9.3		1,767.7		1,944.3		91.8	%		79.5	%		1,623.1		1,546.0
New Castle		328		10.6		380.9		803.4		79.6	%		86.4	%		303.3		694.0
Niles		216		10.5		262.9		660.0		46.5	%		81.2	%		122.2		536.1
MISO Coal Total		1,265				2,411.5		3,407.7		85.0	%		81.5	%		2,048.6		2,776.1
(1) Unless otherwise indicated, the Company owns a 100% interest in each facility listed.
(2) The Company leases a 100% interest in the Shawville facility, a 16.67% interest in the Keystone facility and a 16.45% interest in the Conemaugh facility under facility interest lease agreements, which expire in 2026, 2034 and 2034, respectively.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
PJM/MISO Gas
(Unaudited)
		Capacity		Heat Rate		Q2 economic generation (GWh)				Q2 commercial capacity factor						Q2 generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Aurora (2)		878		10.5		9.8		7.3		100.0	%		100.0	%		9.8		7.3
Blossburg		19		14.6		-		0.7		0.0	%		100.0	%		-		0.7
Brunot Island		289		10.4		3.4		1.3		100.0	%		100.0	%		3.4		1.3
Gilbert		536		11.0		0.5		14.5		100.0	%		100.0	%		0.5		14.5
Glen Gardner		160		14.6		-		2.2		0.0	%		86.4	%		-		1.9
Hamilton		20		14.8		0.4		0.1		100.0	%		100.0	%		0.4		0.1
Hunterstown		60		14.8		1.1		1.0		100.0	%		100.0	%		1.1		1.0
Hunterstown CCGT		810		7.0		492.4		299.5		93.9	%		93.3	%		462.2		279.4
Mountain		40		14.3		0.2		1.5		100.0	%		100.0	%		0.2		1.5
Orrtanna		20		14.4		0.4		-		0.0	%		0.0	%		-		-
Portland		169		11.2		-		3.9		0.0	%		100.0	%		-		3.9
Sayreville		224		13.8		-		13.2		0.0	%		41.7	%		-		5.5
Shawnee		20		14.0		-		0.1		0.0	%		100.0	%		-		0.1
Shawville 5-7 (3)		6		10.2		-		-		0.0	%		0.0	%		-		-
Titus		31		17.4		-		-		0.0	%		0.0	%		-		-
Tolna		39		14.2		-		0.7		0.0	%		100.0	%		-		0.7
Warren		68		12.8		-		-		0.0	%		0.0	%		-		-
Werner		212		13.8		0.8		4.1		25.0	%		70.7	%		0.2		2.9
Shelby		356		9.8		-		1.9		0.0	%		94.7	%		-		1.8
PJM/MISO Gas Total		3,957				509.0		352.0		93.9	%		91.6	%		477.8		322.6
		Capacity		Heat Rate		Q2 YTD economic generation (GWh)				Q2 YTD commercial capacity factor						Q2 YTD generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Aurora (2)		878		10.5		11.2		11.3		99.1	%		100.0	%		11.1		11.3
Blossburg		19		14.6		0.1		7.2		100.0	%		91.7	%		0.1		6.6
Brunot Island		289		10.4		3.4		1.3		100.0	%		100.0	%		3.4		1.3
Gilbert		536		11.0		8.3		18.7		100.0	%		100.0	%		8.3		18.7
Glen Gardner		160		14.6		-		2.5		0.0	%		84.0	%		-		2.1
Hamilton		20		14.8		0.5		0.3		100.0	%		100.0	%		0.5		0.3
Hunterstown		60		14.8		1.4		1.5		100.0	%		100.0	%		1.4		1.5
Hunterstown CCGT		810		7.0		640.5		307.2		94.2	%		93.5	%		603.6		287.1
Mountain		40		14.3		1.7		3.7		100.0	%		100.0	%		1.7		3.7
Orrtanna		20		14.4		0.5		0.3		0.0	%		100.0	%		-		0.3
Portland		169		11.2		1.9		9.3		100.0	%		100.0	%		1.9		9.3
Sayreville		224		13.8		1.4		38.8		85.7	%		72.4	%		1.2		28.1
Shawnee		20		14.0		-		0.1		0.0	%		100.0	%		-		0.1
Shawville 5-7 (3)		6		10.2		-		-		0.0	%		0.0	%		-		-
Titus		31		17.4		-		-		0.0	%		0.0	%		-		-
Tolna		39		14.2		0.3		1.0		100.0	%		100.0	%		0.3		1.0
Warren		68		12.8		-		-		0.0	%		0.0	%		-		-
Werner		212		13.8		1.9		7.6		31.6	%		82.9	%		0.6		6.3
Shelby		356		9.8		-		1.9		0.0	%		94.7	%		-		1.8
PJM/MISO Gas Total		3,957				673.1		412.7		94.2	%		92.0	%		634.1		379.5
(1) Unless otherwise indicated, the Company owns a 100% interest in each facility listed.
(2) Excludes generation during periods the unit operated under power purchase agreements.
(3) The Company leases a 100% interest in the Shawville facility under a facility interest lease agreement, which expires in 2026.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
West and Other
(Unaudited)
		Capacity		Heat Rate		Q2 economic generation (GWh)				Q2 commercial capacity factor						Q2 generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Bighorn (2)		598		7.2		-		0.5		0.0	%		100.0	%		-		0.5
Coolwater		622		10.1		56.1		80.2		27.5	%		89.7	%		15.4		71.9
Ellwood (3)		54		13.3		-		-		0.0	%		0.0	%		-		-
Etiwanda (3)		640		10.0		-		-		0.0	%		0.0	%		-		-
Mandalay (3)		560		10.9		49.3		101.1		96.6	%		90.8	%		47.6		91.8
Ormond Beach		1,516		9.6		34.0		126.8		100.0	%		99.5	%		34.0		126.2
West Total		3,990				139.4		308.6		69.6	%		94.1	%		97.0		290.4
		Capacity		Heat Rate		Q2 economic generation (GWh)				Q2 commercial capacity factor						Q2 generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Choctaw		800		7.0		61.6		4.1		98.7	%		68.3	%		60.8		2.8
Indian River (3)		587		10.5		-		-		0.0	%		0.0	%		-		-
Osceola (3)		470		11.0		1.5		2.9		100.0	%		100.0	%		1.5		2.9
Other Total		1,857				63.1		7.0		98.7	%		81.4	%		62.3		5.7
		Capacity		Heat Rate		Q2 YTD economic generation (GWh)				Q2 YTD commercial capacity factor						Q2 YTD generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Bighorn (2)		598		7.2		-		0.5		0.0	%		100.0	%		-		0.5
Coolwater		622		10.1		77.5		174.3		20.8	%		84.6	%		16.1		147.4
Ellwood (3)		54		13.3		-		-		0.0	%		0.0	%		-		-
Etiwanda (3)		640		10.0		-		-		0.0	%		0.0	%		-		-
Mandalay (3)		560		10.9		116.5		161.7		98.5	%		94.2	%		114.8		152.4
Ormond Beach		1,516		9.6		94.2		210.5		100.0	%		81.7	%		94.2		171.9
West Total		3,990				288.2		547.0		78.1	%		86.3	%		225.1		472.2
		Capacity		Heat Rate		Q2 YTD economic generation (GWh)				Q2 YTD commercial capacity factor						Q2 YTD generation (GWh)
Unit Name (1)		(MW)		(MMBtu/MWh)		2009		2008		2009			2008			2009		2008
Choctaw		800		7.0		61.6		4.1		98.7	%		68.3	%		60.8		2.8
Indian River (3)		587		10.5		-		-		0.0	%		0.0	%		-		-
Osceola (3)		470		11.0		1.5		2.9		100.0	%		100.0	%		1.5		2.9
Other Total		1,857				63.1		7.0		98.7	%		81.4	%		62.3		5.7
(1) Unless otherwise indicated, the Company owns a 100% interest in each facility listed.
(2) The Bighorn facility was sold October 20, 2008.
(3) Excludes generation during periods the unit operated under power purchase agreements.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
Capital Expenditures Forecast
(Unaudited)
		2009E			2010E
		(in millions)
Maintenance capital expenditures:
Wholesale energy		$	48		$	46
Other operations			7			9
			55			55
Environmental (1)			101			28
Capitalized interest			30			10
Total capital expenditures		$	186		$	93
(1) Estimate represents the low end of the range.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.

RRI Energy, Inc. and Subsidiaries
Gross Debt
(Unaudited)
		June 30, 2009
		(in millions)
Debt:
Senior secured revolver		$	-
Senior secured notes			453		(1)
Senior unsecured notes			1,300
Orion Power 12% notes (2)			411
PEDFA fixed-rate bonds for Seward plant			408		(3)
Total GAAP debt			2,572
Debt classified as discontinued operations			36
Orion Power 12% notes purchase accounting adjustment			(11	)
REMA operating leases (off-balance sheet)			443
Gross Debt (4)		$	3,040
Gross Debt, excluding discontinued operations (4)		$	3,004
(1) Excludes $22 million classified in discontinued operations.
(2) Orion Power 12% notes include purchase accounting adjustment of $11 million.
(3) Excludes $14 million classified in discontinued operations.
(4) Gross debt includes off-balance sheet REMA leases of $443 million.
Reference is made to RRI Energy, Inc.'s Annual Report
on Form 10-K for the year ended December 31, 2008.