WEC

Wisconsin Energy Corporation

Wisconsin Energy Corporation was incorporated in the State of Wisconsin in 1981 and became a diversified holding company in 1986. We maintain our principal executive offices in Milwaukee, Wisconsin. Unless qualified by their context when used in this document, the terms Wisconsin Energy, the Company, our, us or we refer to the holding company and all of its subsidiaries.

We conduct our operations primarily in two operating segments: a utility energy segment and a non-utility energy segment. Our primary subsidiaries are Wisconsin Electric, Wisconsin Gas and We Power.

Utility Energy Segment: Our utility energy segment consists of Wisconsin Electric and Wisconsin Gas, operating together under the trade name of We Energies, and Edison Sault. We Energies serves approximately 1,117,400 electric customers in Wisconsin and the Upper Peninsula of Michigan. We Energies serves approximately 1,060,200 gas customers in Wisconsin and approximately 465 steam customers in metropolitan Milwaukee, Wisconsin. Edison Sault serves approximately 23,000 electric customers in the Upper Peninsula of Michigan.

In October 2009, we announced that we reached an agreement to sell Edison Sault to Cloverland Electric Cooperative for approximately $61.5 million. See Utility Energy Segment -- Electric Utility Operations - Electric Sales below for additional information on the planned sale of Edison Sault.

Non-Utility Energy Segment: Our non-utility energy segment consists primarily of We Power. We Power was formed in 2001 to design, construct, own and lease the new generating capacity included in our PTF strategy. See below and in Item 7 for more information on PTF.

PTF Strategy: In September 2000, we announced our PTF strategy to improve the supply and reliability of electricity in Wisconsin. As part of our PTF strategy, we are: (1) investing in new natural gas-fired and coal-fired electric generating facilities, (2) upgrading Wisconsin Electric's existing electric generating facilities and (3) investing in upgrades of our existing energy distribution system. Also, as part of this strategy, we announced and began implementing plans to divest non-core assets and operations in our non-utility energy segment and to reduce our real estate operations.

Our annual and periodical filings with the SEC are available, free of charge, through our Internet website www.wisconsinenergy.com. These documents are available as soon as reasonably practicable after such materials are filed (or furnished) with the SEC.

OTHER UTILITY OPERATIONS

Steam Utility Operations: Wisconsin Electric's steam utility generates, distributes and sells steam supplied by its Valley and Milwaukee County Power Plants. Wisconsin Electric operates a district steam system in downtown Milwaukee and the near south side of Milwaukee. Steam is supplied to this system from Wisconsin Electric's Valley Power Plant, a coal-fired cogeneration facility. Wisconsin Electric also operates the steam production and distribution facilities of the Milwaukee County Power Plant located on the Milwaukee County Grounds in Wauwatosa, Wisconsin.

NON-UTILITY ENERGY SEGMENT

Our non-utility energy segment is involved primarily in the design and construction of new generating capacity under our PTF strategy.

OTHER NON-UTILITY OPERATIONS

Wispark LLC

Wispark develops and invests in real estate, and as of December 31, 2009, had $46.2 million in real estate holdings. Wispark has developed several business parks and other commercial real estate projects, primarily in southeastern Wisconsin.

Wisconsin Energy Capital Corporation

This entity engages in investing and financing activities, including advances to affiliated companies.