1. 2006 ANNUAL REPORT
ENERGY M
environment
affordability reliability
energy policy
experience
risk management customer service
wledge
growth strategy
responsibility global markets diversificat
new nuclear safety
financial strength
wise investments
productiv
innovation
tion earnings growth
supply dependability
efficiency
demand balance custom
value competitive advantage
community involvement

2. FINANCIAL HIGHLIGHTS
ATTERS
2006
In millions, except per share amounts 2005 % Change
dependabil
financial strength COMMON STOCK DATA
cost management safety
$ 5.16
Reported (GAAP) earnings per share $ 3.47
tion
weather $ 1.04
Income from discontinued operations $ 0.53
financial
ity $ -
Cumulative effects of changes in accounting principles $ (0.04)
$ 0.51
Special items* $ 0.09
ized solutions growth
Earnings per share from continuing operations and before
cumulative effects of changes in accounting principles
$ 3.61
and special items (adjusted earnings per share)** $ 2.89 24.9%
$ 1.51
Dividends declared per share $ 1.34 12.7%
181.4
Average shares outstanding– assuming dilution 179.7
$ 68.87
Market price per share –year-end $ 57.60 19.6%
FINANCIAL DATA
$19,285
Total revenues $16,968
$ 936
GAAP net income $ 623
$ 188
Income from discontinued operations $ 94
$ -
Cumulative effects of changes in accounting principles $ (7)
$ 93
Special items (after-tax)* $ 17
Net income from continuing operations before cumulative
$ 655
effects of changes in accounting principles and special items** $ 519
$21,802
Total assets $21,474
$ 5,101
Total debt $ 4,861
$ 4,609
Total common equity $ 4,916
$ 1,149
Capital expenditures $ 1,032
Certain prior year amounts have been reclassified to conform to current year’s presentation.
*Includes gain on sale of gas-fired plants, mark-to-market gains from certain economic, non-qualifying hedges, earnings from our
synthetic fuel processing facilities, workforce reduction costs, and merger-related costs.
**Represents a measure that is not determined in accordance with generally accepted accounting principles (GAAP). However, we believe
the impact of discontinued operations, accounting changes, and special items obscures trends in our results and that it is useful to consider
our results excluding these items.
2004 Earnings: Our GAAP earnings per share were $3.12. Excluding special items of $0.69, our earnings per share were $2.43.

3. ENERGY DOES MATTER
Our goal is to be the premier energy company in North America.
We generate, transmit, and deliver energy, help customers manage energy
costs and usage, buy and manage fuels for other power generators,
and excel at serving customers all along the energy value chain.
dependability
competitive advantage
balance
global markets energy policy efficien
environment customer service
financial strength earnings growth
erience diversification
responsibility
safety reliability
productivity
innovation
risk management dive
affordability
environment
demand
financial strength
value customized solu
wise investments
nity involvement
Our focus is energy. We provide innovative solutions and extensive
industry knowledge to give our customers a competitive advantage.
We execute our business plan with precision to deliver value for our
shareholders, and we implement the right strategies to drive our future
success. We care about what matters to our customers, our share-
holders, our employees, and the communities where we do business.
What matters most to us is what matters most to you.
CONTENTS
Letter to Shareholders 2 Competitive Energy Advantages 4 Delivering Value 6 Our Future Success 8
Caring About What Matters Most 10 Constellation Energy at a Glance 12 Board of Directors 14
Executive Team 16 Understanding Our Form 10-K 18 Glossary 24 Form 10-K
1

4. PERFORMANCE MATTERS
$3.61 $19.3
$17.0
$2.89
$2.43 $12.1
’04 ’05 ’06 ’04 ’05 ’06
ADJUSTED EARNINGS PER SHARE REVENUES
(In billions of dollars)
Our adjusted earnings per share grew to a record Continuing our record performance, total revenues increased
$3.61, up 25 percent from 2005. to $19.3 billion in 2006. Our growing scale, extensive industry
knowledge, and disciplined risk management approach give us
Note: See Financial Highlights, including the GAAP reconciliation,
a strong competitive edge.
on the inside front cover for more details. Also, certain prior year amounts
have been reclassified to conform to current year’s presentation.
$1.74
$170-180
2008E
$1.51 $157-162
TARGET
$1.34
2007E
$1.14
$97
2006
REALIZED
$50
2005
’04 ’05 ’06 ’07
DIVIDEND GROWTH PRODUCTIVITY GAINS
(Annual amount per share) (In millions of dollars)
Our commitment to shareholders has included increasing Since announcing our long-term productivity initiatives
dividends approximately in line with our earnings growth. in 2003, we’ve achieved $97 million in pre-tax savings, and
Since 2004, our annual dividend payments have increased we expect to deliver up to $83 million in additional permanent
by more than 52 percent. productivity gains over the next two years.

5. PERFORMANCE MATTERS
$130
n CONSTELLATION ENERGY
n S&P 500 $123.21
n S&P 500 ELECTRIC UTILITIES INDEX
$122.69
$120
$115.79
$110
$100
$90
12/31/05 Q1 ’06 Q2 ’06 Q3 ’06 Q4 ’06
1-YEAR TOTAL RETURN TO SHAREHOLDERS
An investment of $100 in Constellation Energy common stock on December 31, 2005,
was worth–with dividends reinvested–$122.69 on December 31, 2006. Our 23 percent total
return to shareholders was in line with the total return of the S&P 500 Electric Utilities Index
and was better than the S&P 500.
$299.56
$300
n CONSTELLATION ENERGY
n S&P 500
n S&P 500 ELECTRIC UTILITIES INDEX
$250
$200
$193.06
$150
$135.02
$100
$50
’01 ’02 ’03 ’04 ’05 ’06
5-YEAR TOTAL RETURN TO SHAREHOLDERS
An investment of $100 in Constellation Energy common stock on December 31, 2001,
was worth–with dividends reinvested–$299.56 on December 31, 2006. That’s significantly
better than the S&P 500 Electric Utilities Index and the S&P 500.

6. dependability
competitive advantage
bal markets energy policy efficiency
productivity customer service
ce diversification
responsibility
safety reliability
innovation
earnings growth diversifica
risk management affordability
environment
demand
financial strength
value customized solutions
wise investments
volvement
Mayo A. Shattuck III
Chairman, President & CEO
DEAR FELLOW SHAREHOLDERS:
2006 was an extraordinary year for our company on many fronts, and sheet, and the remainder of the proceeds provides funds for us to invest
we delivered exceptional results. We generated $19.3 billion in revenues in more strategically aligned opportunities.
and grew adjusted earnings by 25 percent to a record $3.61 per share.
The strong execution of our business strategy translated into superior RETURNING TO REGULATORY STABILITY IN MARYLAND
returns for our investors. Including stock price appreciation and divi- Volatile power and gas prices, the end of a six-year freeze on residential
dends, we achieved total shareholder return of nearly 23 percent in 2006, electric rates, and election-year politics made 2006 a challenging and
following a 35 percent return in 2005. difficult year for our regulated transmission and distribution utility,
These results continue our long track record of success. Our current Baltimore Gas and Electric Company (BGE), and its customers.
management team has met or exceeded our earnings targets and the guidance My expectation is that 2007 will see a return to a more stable regula-
we gave Wall Street for more than five years. And since November 2001– tory climate in Maryland. There is widespread support for Maryland’s suc-
the expansion of our competitive strategy–our shares have appreciated cessful market structure, and the Maryland Public Service Commission
208 percent, three times greater than the S&P 500 Electric Utilities Index already has initiated proceedings designed to identify and implement
and six times greater than the S&P 500. improvements in the wholesale energy auction process. The improve-
Our success also has allowed us to grow dividends approximately ments should help reduce the likelihood of sudden and severe price
in line with our earnings growth. In January 2007, we announced a spikes for residential customers.
quarterly dividend increase of 15 percent–from 37.75 cents per share to We remain committed to doing everything we can to help customers
43.5 cents per share–equivalent to a new annual dividend of $1.74. manage rising power prices. An important focus is introducing new
options for our customers to better manage their usage and lower their
bills. The options include new demand response and advanced metering
EXECUTING ON ALL FRONTS
Our continued success is due in large part to our integrated, yet diversi- programs, which BGE will launch to test groups later this year. We
fied, business model. Each business excels in its market and contributes believe these types of energy management and conservation programs
to our overall performance. will become a way of life for BGE and its customers.
Constellation Energy Commodities Group, our competitive energy
wholesale business, is a global leader in energy portfolio management, the DEFINING A STRONG INDEPENDENT COURSE
largest power marketer in the country, and the fifth largest gas marketer. Last year at this time, it was our expectation that our proposed merger
We continue to grow our power business profitably, and we’re making with FPL Group would have closed by now. However, last October, given
significant gains in natural gas and coal markets in the United States the considerable regulatory and political uncertainty in Maryland, we
and abroad. In addition, the successful initial public offering (IPO) of reached a mutual and amicable agreement to terminate it.
Constellation Energy Partners LLC last November was an important The reaction from investors was favorable. Reaffirming our independ-
milestone and will help us realize more value from our expanding port- ent course and promising future, our stock reached a new all-time high
folio of natural gas properties. in 2006. This tells us three things: investors understand fully why we
On the retail side, both Constellation NewEnergy and Constellation entered–and why we exited–the proposed merger; they have full confi-
NewEnergy-Gas performed very well. We’ve steadily grown sales volumes dence in our strengths and capabilities as a stand-alone company; and they
and margins, and our high renewal rates for power and gas provide stabil- believe we’re returning to a period of greater stability in energy markets.
ity in our customer base. More importantly, the future growth picture for The proposed merger would have enabled us to meet an important
these businesses is strong. strategic goal and rapidly grow the scale of our company. However, it fell
Constellation Energy Generation Group also had a busy and victim to events beyond the control of either company.
productive year. We increased generating capacity by 17 percent at our I look back on our outstanding performance during this challenging
R.E. Ginna Nuclear Power Plant, and we completed a refueling outage period with great pride. Despite the distractions, we continued to live up
at our Nine Mile Point Nuclear Station in record time. to the commitment of meeting and exceeding our financial promises
Our generation team also completed the successful sale of six of to investors.
our gas-fired merchant plants for $1.6 billion. Market conditions were
advantageous, and the attractive price we received provided us with a sig- THINKING STRATEGICALLY ABOUT THE FUTURE
nificant return on our investments in the plants. We’ve used a portion of I strongly believe that competitive markets are the future of the energy
the proceeds to pay down debt and strengthen our already strong balance industry. They’re good for customers, for the economy, and for companies
2

7. reliability
environment
affordability growth strategy
risk management fina
customer service
responsibility global markets
financial strength diversi
new nuclear safety productiv
demand
experience wise investments
innovation
tion earnings growth
dependability
supply efficiency
balance customize
value
competitive advantage energy policy
like ours that value efficiency and being the best at meeting customers’ We’ll achieve this growth by continuing to do what we do best.
needs. Competitive markets provide incentive for companies to continu- We’ll deploy capital wisely and identify and execute on opportunities that
ously work toward better and more efficient ways to meet our nation’s can drive long-term growth. We’ll leverage the scale and capabilities of
energy needs. That incentive drives our success. our competitive platform by further integrating our merchant organiza-
Energy markets that are open to competition are working. tion. And we’ll continue to identify and empower the best and brightest
Competition has done what it is supposed to do–it has improved effi- minds in our industry.
ciency and lowered costs. Power plants are operating more efficiently in In 2007, a major element of our growth story is investment. We’re
competitive markets, and wholesale power price increases are consistently spending more to earn more. In the years ahead, we’ll invest more in
lower than increases in fuel prices–a clear sign there is downward pres- BGE, more in our gas portfolio, and considerably more to upgrade our
sure on costs in the marketplace. Maryland plants to meet the requirements of the state’s healthy air act.
It’s a trend that I believe will only grow. As a leading advocate and Our generation fleet is among the cleanest in the industry, and we’re
the No. 1 provider of electricity in competitive markets, we’ll continue fully committed to maintaining and broadening the scope of our envi-
to speak out in Washington, D.C., and in states that have opened their ronmental efforts. Over the next three years, we’re planning to invest
markets to competition or are dealing with deregulation issues. approximately $1.1 billion to produce cleaner energy. We’ll also continue
Other important energy matters–the cost of energy, the global to invest in the option for new nuclear power through UniStar Nuclear,
events that control supply and demand, the need for more clean energy, our joint enterprise with AREVA.
and the growing strain on the existing energy infrastructure–are becom-
ing the topic of frank discussions in households and statehouses across THE BEST IN THE BUSINESS
North America. More than ever before, people are becoming aware of One of our best stories in 2006 was our people. During our United
the importance of energy to everything around them–and are thinking Way pledge drive, our employees responded by doing even more to help
strategically about energy solutions. the communities we serve. We boosted our pledge total by 20 percent
Most of us can agree on the elements of our nation’s energy future: and raised close to $5 million–making us the No. 1 contributor in
greater conservation and energy management programs; a commitment Central Maryland and a leading contributor in other markets where we
to reducing greenhouse gases and making greater use of renewable do business.
energy; and a more constructive partnership between energy suppliers, This speaks to the type of employees we have at Constellation
customers, regulators, and lawmakers. Energy. We’re committed to delivering value to our shareholders–and
For the second consecutive year, the Dow Jones Sustainability North we’re committed to every community we serve.
America Index has included Constellation Energy on its list of companies I feel very confident about our future. We’re the established leader
that operate in a socially responsible and sustainable way. Customers turn in the competitive energy sector and a respected nuclear fleet operator.
to our energy supply companies for renewable energy options. We’re also BGE continues to be a top-performing utility. Our emerging businesses
an industry leader in providing emission-free nuclear power, and we’ve in the United States and abroad are performing well. We just completed
established effective waste recycling and pollution prevention programs. our fifth consecutive year of record growth. And the forecast for 2007
As a leader in corporate responsibility, we believe a solution must be devel- and beyond is promising.
oped to slow, then stop, and eventually reverse greenhouse gas emissions. Constellation Energy has distinguished itself as a remarkable com-
The pathway to a greener, more cost-effective energy future is com- pany with a very bright future. Thank you for being part of it.
petition and a vibrant energy marketplace. A retreat to the old way of
doing things would be a disastrous setback. As a nation and as an industry,
we need to get this right. We simply cannot afford to move backward.
CONTINUING TO DO WHAT WE DO BEST
Our business model has proven sustainable, and our management team
has demonstrated the ability to execute successfully in a wide range of Mayo A. Shattuck III
market conditions. We believe there is more to come. We expect to deliver Chairman, President, and CEO
compound annual earnings growth of 22 percent to 26 percent from
2005 to 2008. March 26, 2007
3

8. demand
ed solutions natural gas
green energy industry knowledge
cost
power
energy customer service reliability financial strength
management value
expertise
innovation
competitive advantage
scale competition
deregulation
“Our energy programs are integral to our business performance. Every dollar
we spend for energy requires 10 times that in revenue.”
LINDA SHAW–Mission Center Manager, Raytheon Integrated Defense Systems headquarters, with
DAVID CHAMBERLAIN–Raytheon Principal Energy Engineer
In 2006, Raytheon’s CEO issued a challenge to the company’s 80,000 employees–lower energy usage by
10 percent. Linda Shaw and David Chamberlain were part of a team effort that helped the Integrated
Defense Systems business reduce its consumption by more than 12 percent. The company-wide program
saved enough energy to power 8,000 homes for one year and resulted in $9 million in budget savings.
4

9. competition
customized solutions industry knowledge reliability
cost
innovation power
deregulation
natural gas
energy
competitive advantage financial str
customer service risk management
green energy
demand expertise scale
value
ENERGY MATTERS
PROVIDING CUSTOMERS WITH
COMPETITIVE
ENERGY ADVANTAGES
Customers seek the competitive advantage that results from effectively managing energy and
energy-related risk. Our superior capabilities–broad scale, extensive industry knowledge, exceptional
customer service, and disciplined risk management–help customers gain that advantage.
PROVIDING INNOVATIVE ENERGY SOLUTIONS SERVING THE WORLD’S LEADING COMPANIES
Managing energy costs and usage, and the associated risks, is chal- Our customers include more than two-thirds of the FORTUNE 100,
lenging. Done well, it can provide a company with a significant as well as many of the world’s most respected brands, including
competitive advantage. Our innovative solutions and superior risk Harley-Davidson, Kimberly-Clark, Lowe’s, Raytheon, and others.
management help customers effectively manage their unique energy Since 2001, we’ve provided Raytheon with energy and energy-
needs so they can focus on what matters most to them–running their related services at its facilities in Maryland and Massachusetts. Energy
businesses successfully. is central to its core business–developing some of the most advanced
We serve as an intermediary between suppliers and consumers defense technologies in the world. Using those technologies is the
of energy. We help producers manage the risk associated with selling DDG 1000 (pictured left), the country’s newest naval destroyer.
their output, and we help businesses manage the price risk associ- Raytheon’s Integrated Defense Systems business is designing the
ated with buying it. Our pricing is competitive, and our specialized electronic and combat systems for this revolutionary warship, which
energy-management products, services, and resources help customers is scheduled to be delivered to the U.S. Navy in 2012.
achieve cost-effective solutions. By going beyond excellent customer care, we become a true
We’ve built North America’s leading retail and wholesale com- extension of our customers’ energy procurement functions. According
petitive energy businesses by being the best at what we do. Our to a recent independent study, 94 percent of our commercial and
broad scale, extensive industry knowledge, superior customer service, industrial customers said they were happy they chose us and would
and disciplined risk management make us the provider of choice for choose us again, and 93 percent said they would recommend us to
intensive energy users. others. That tells us we’re doing it right.
5

10. discipline
bottom line
market share
reliability worth
results
dividends
“We’ve successfully executed on our plan for five
straight years. This is what good management
teams do. They deliver what they say they will.”
E. FOLLIN SMITH–Executive Vice President, Chief Financial Officer,
and Chief Administrative Officer

11. ENERGY MATTERS
financial strength
earnings growth discipline revenues
wise investments
results
value creation productivi
market share
revenues
earnings
shareholder return strategy
dividends
KEVIN HADLOCK
Vice President, Investor Relations
DELIVERING
VALUE
FOR OUR SHAREHOLDERS
We’ve achieved a five-year record of success by executing our growth plan and making smart
business decisions. Our total return to shareholders has outpaced other comparable investments,
and we continue to take the right steps to support our future growth.
EXECUTING OUR PLAN AS PROMISED MANAGING OUR BUSINESS WITH DISCIPLINE
We’re proud of the value we create for our shareholders. In 2006, our We’re taking the right steps to support our future growth. The profit-
adjusted earnings per share were a record $3.61–a 25 percent increase able sale of our gas-fired generation plants has enabled us to further
over 2005. Including stock price appreciation and dividends, our strengthen our already strong balance sheet. We used a portion of the
total shareholder return for 2006 was nearly 23 percent. proceeds to repay approximately $700 million of debt that matured
A $100 investment made in our company on December 31, 2001, in early 2007. The remaining proceeds give us available capital to
with dividends reinvested, was worth $299.56 on December 31, 2006. redeploy in smart investments in competitive supply, power genera-
Over the same time, a $100 investment in the S&P 500 was worth tion, and transmission and distribution.
$135.02, and a $100 investment in the S&P 500 Electric Utilities We also continue to focus on implementing productivity initiatives
Index was worth $193.06. that result in permanent savings. Since we began our productivity push
We’ve achieved this success by remaining sharply focused on in 2003, we’ve achieved pre-tax cost savings that add $97 million
delivering results and consistently executing our business plan. We’ve annually to our bottom line. The productivity gains resulted from
gained market share, increased productivity, made wise investments, streamlining our processes and increasing the output of our generat-
and improved return on invested capital. ing plants. During 2006, we optimized our nuclear workforce and
Our successful track record makes us optimistic about our increased our generating capacity by 17 percent at our R.E. Ginna
future–we believe our compound annual earnings growth will range Nuclear Power Plant, laying the groundwork to achieve our 2007
from 22 percent to 26 percent from 2005 to 2008. productivity target.
7

12. ENERGY MATTERS
DRIVING OUR
FUTURE SUCCESS
WITH THE RIGHT STRATEGIES
Success takes careful planning, precise execution, and a thorough
understanding of energy markets. We’re implementing the right strategies
today to ensure our continued success tomorrow.
customer relationsh
commodity markets
nergy usage
conservation fuel diversificati
efficiency
stream gas renewable ener
Pictured left to right: Nine Mile Point Nuclear Station, Pinedale Anticline gas producing property,
and Soda Lake Geothermal Power Plant
LEVERAGING WHAT WE’VE BUILT POWERING THE FUTURE
Over the last five years, we’ve built one of the industry’s top-performing Through UniStar Nuclear–our joint enterprise with AREVA–we’re
wholesale and retail energy supply, risk management, and generation at the forefront of next-generation nuclear power. UniStar provides a
businesses. We did it by honing our core capabilities, focusing on strong business framework for the development and deployment of advanced,
customer relationships, and improving productivity. standardized nuclear power plants. With the cost benefits and proven
Now we’re realigning these successful businesses to further inte- safe performance that come from having a standardized design, this
grate our merchant organization, enabling us to better leverage our approach can help meet our nation’s growing demand for electricity
scale, expertise, and technology. This realignment provides us with with emission-free power.
opportunities to improve our operating efficiency and drive long- We’re also exploring innovative ways to expand our use of green
term growth, and we’re going after both. energy options to meet our customers’ growing demands for clean
We’re also applying our experience and industry knowledge to power. More than 60 percent of our generating output is comprised
grow our natural gas business. In 2006, we completed a successful of sources that produce zero emissions, including hydro, geothermal,
IPO of Constellation Energy Partners LLC, a company focused on nuclear, and solar. Over the next few years, we’ll be looking at adding
the acquisition, development, and exploitation of oil and natural gas wind and other renewable sources to our portfolio.
properties. The proceeds from the IPO provide us with capital to At BGE, we’re implementing demand response and advanced
invest in natural gas production when we see attractive opportunities metering technology pilot programs that could eventually provide our
that fit with our strategy. 1.2 million electric and 640,000 natural gas customers with information
Leveraging our scale to invest in high-quality generation assets to better manage when and how they use energy. This is an important
and managing them to achieve optimal returns are things we’ve done step in encouraging energy conservation, helping customers deal with
well and will continue to do. rising power costs, and improving our service to customers.
8

13. “As we invest in new strategies, our decision-making process is guided
by the same highly developed risk management techniques that have
become a core competency of our business. An intense focus on risk
management runs through our company. We think it sets us apart.”
TOM BROOKS–Executive Vice President
ips wholesale
risk management new nuclear
productivity
scale
on competitive energy markets
expertise retail
new technologies
gy energy usage
growth

14. energy assistance
clean water preservation
giving back
conservation emission control
recycling
renewable energy
n prevention
safety reliable servic
volunteering
staying warm
At the 2006 Constellation Energy Classic, children of
our employees sold snowballs to raise more than $1,200
for Special Olympics Maryland.
ENERGY MATTERS
WE CARE
ABOUT WHAT MATTERS MOST
We succeed in business by first having a goal and then a strategy and plan to get us there.
We’ve received recognition as a leader in corporate responsibility by bringing the same focus and
discipline to our charitable giving and community support.
ENABLING CHANGE FOR THE BETTER IMPROVING THE QUALITY OF LIFE FOR ALL
In 2006, we donated nearly $12 million to organizations working to Our efforts center on enhancing the quality of life for all. Our sup-
improve the quality of life in our communities. But our goal is to do port for the environment includes substantial investment in the lat-
more than contribute financially. Our strategy is to drive meaningful, est environmental equipment at our plants and ongoing support for
long-term change for the better. leading ecological preservation and restoration organizations.
We make it a priority to give of ourselves. Our leaders serve on We support economic-development related organizations, and
charitable and educational boards and foundations. Our employees we’re the title sponsor for the Constellation Energy Classic. In addi-
volunteer through our company-wide Power of Caring program, and tion to raising $2.2 million for Maryland-based non-profits, this
also serve as coaches, mentors, and leaders for more than 300 non- PGA TOUR Champions Tour golf tournament has generated a sig-
profit organizations. We constantly measure the progress and effec- nificant economic impact for Maryland.
tiveness of our community programs and support. As a community While our community involvement touches the lives of people
leader–and as a leader in business–we must constantly innovate and from many walks of life, a significant focus is helping disadvantaged
drive for results. youth realize their potential and achieve their dreams. We accomplish
To achieve maximum results, we concentrate on four key seg- this through our support of the Living Classrooms Foundation, Big
ments related to the energy business and the needs of the communi- Brothers Big Sisters, and other well respected organizations.
ties we serve. These include education, the environment, economic We know that the rising cost of energy creates a serious strain for
development, and energy assistance for those less fortunate. many families we serve and have committed $26 million to provide
Each month, through our sponsorship of the b4students Foundation, the neediest with financial support and energy conservation pro-
a group of high school students from the Baltimore City Public grams. The BGE Crisis Assistance Fund makes grants available to the
School system visits our headquarters as part of a long-term mentor- Fuel Fund of Maryland, the Salvation Army, and other non-profit
ing program with our employees. We’re very proud of our ongoing organizations. Our goal is to help meet immediate energy assistance
sponsorship of this effort because it illustrates the philosophy behind needs and promote self-reliance.
our support of innovative education programs, which also includes Our company has a 190-year tradition of substantial community
the CollegeBound Foundation, Fund for Educational Excellence, support, and it’s a responsibility we take very seriously. We’re proud
Junior Achievement, Maryland Mentoring Partnership, and Teach of the generosity shown by our nearly 9,700 employees. As a com-
for America. Our efforts encourage students to graduate from high pany and as individuals, we’re determined to do what’s right and to
school and college to prepare for their future. keep our collective focus on what matters most.
10

15. contributions giving bac
learning and development
keeping the lights on
healthy environment
clean air preserva
quality of life
reliable services
staying warm
accountability
conservation
es community outreach
pollution prevention
renewable energy
“We provide employees with a safe and rewarding work
environment that offers a healthy work-life balance along
with opportunities to learn and grow. Employees are our
most valued asset–in our business and in our communities.”
JOANNE ASHTON–Human Resources Director, at home with her family–daughter Octavia,
son Otis, and husband Otis
11

16. CONSTELLATION ENERGY GLANCE
AT A
We’re North America’s largest competitive provider of power to wholesale, commercial, industrial,
and governmental customers, one of the top five gas marketers, and a leading supplier of coal to
customers around the world. Our customers include more than two-thirds of the FORTUNE 100
companies, as well as some of the world’s largest producers and consumers of power, natural gas,
oil, and coal. We own a diverse fleet of power plants, and we deliver electricity and natural gas to
customers in Central Maryland through our regulated utility, Baltimore Gas and Electric.
OUR VISION OUR FOUNDATIONAL VALUES OUR PERFORMANCE VALUES
To be the first-choice provider for customers seeking These values guide our actions: These values measure our results:
energy solutions in the complex and changing Integrity Speed
energy marketplace. Teamwork Accountability
Social & Environmental Responsibility Passion for Excellence
Customer Focus Creation of Value
Corporate Social Responsibility
OUR YEAR’S ACCOMPLISHMENTS
• Named one of America’s Most Admired Energy Companies by • Received the American Red Cross LifeBoard Recruitment Committee
FORTUNE magazine of the Year Award for the most successful blood drive program in
• Ranked No. 37 on the BusinessWeek 50 Top Performers list Central Maryland
• Moved up to No. 125 on the FORTUNE 500 list • Received a 2006 EPA C2P2 Environmental Achievement Award for reducing
• Advanced to No. 370 on the FORTUNE Global 500 list greenhouse gas emissions through the beneficial use of coal ash from our
• Ranked as a Platts Top 250 Global Energy Company, earning a Baltimore plants
position as the No. 2 independent power producer worldwide • Earned a 2006 Tree Line USA designation from the National Arbor Day
• Named to the Dow Jones Sustainability North America Index Foundation for BGE’s efforts to protect and enhance America’s urban forests
for the second consecutive year • Received a 2006 People Loving and Nurturing Trees (PLANT) Award from
• Ranked the largest corporate philanthropist in Baltimore by the Maryland Department of Natural Resources for BGE’s tree planting and
Baltimore Business Journal tree care efforts
• Inducted into the EPA WasteWi$e Program Hall of Fame for • Named to Training Magazine’s Top 125 list for our outstanding Learning &
our waste prevention and recycling efforts Organizational Development program
Coal, Gas & Oil - 35%
Renewable & Alternative - 4%
Nuclear - 61%
OPERATING A STRATEGIC GENERATION FLEET
(Excludes gas-fired plants sold in 2006)
Our generating facilities are strategically located and use a variety of fuels.
More than 60 percent of our generating output is from sources that
produce zero emissions.
12

17. OUR BROAD SCALE
n
COMMERCIAL & INDUSTRIAL SERVICE AREAS
n Served with Electricity
H
n Served with Natural Gas
w QQ
s n
s
n Served with Electricity & Natural Gas
t
w u
t
u tH
ll
s
J
GENERATION ASSETS
u
l Q
u
l
l w Geothermal
J Baltimore Plants (Coal & Others)
u
u
Y H Hydro
s Biomass
Q Nuclear
l Coal
nn
Y Solar
u Fuel Processing
n
t Waste Coal
Gas
n n
UPSTREAM GAS
n
v n
n Portfolio Properties
v Constellation Energy Partners LLC
OUR BUSINESSES OUR FOCUS OUR CUSTOMERS
CONSTELLATION ENERGY Serving as an intermediary managing price and supply risk Energy producers and intensive energy users worldwide
COMMODITIES GROUP between producers and consumers of electricity, coal, natural
A wholesale marketing, risk management, and portfolio gas, and oil...helping producers manage the risk associated
management and trading operation with selling their output and helping consumers manage the
price risk associated with buying it...managing the output
and fuels for our generation fleet and selling that power
CONSTELLATION NEWENERGY Meeting our customers’ energy and risk management needs More than 14,000 commercial, industrial, and public
A retail electricity supply business providing energy through innovative products and outstanding service... sector organizations, including over two-thirds of the
products and services becoming an extension of our customers’ energy procure- FORTUNE 100 companies
ment functions...helping customers effectively manage
energy costs and usage
CONSTELLATION NEWENERGY–GAS DIVISION Offering customers unparalleled service and expertise by More than 6,000 commercial, industrial, municipal, and
A natural gas supply and transportation-related providing reliable and economical supplies of natural gas local gas distribution and power generation facilities in
services operation competitive markets throughout North America
CONSTELLATION ENERGY GENERATION GROUP Owning and operating–safely, efficiently, and reliably– Wholesale customers in competitive energy markets across
A power generation operation a diversified fleet of fossil, nuclear, and renewable energy North America
generating facilities...pursuing new nuclear energy through
UniStar Nuclear, our joint enterprise with AREVA
BALTIMORE GAS AND ELECTRIC Safely and reliably delivering electricity and natural gas to More than 1.2 million electric and 640,000 natural
A regulated utility delivering power and natural gas our customers...becoming a recognized industry leader... gas residential, commercial, and industrial customers
improving the reliability of our distribution system, reduc- in Baltimore and in all, or part of, 10 counties in
ing interruptions, and improving our response to outages Central Maryland
FELLON-MCCORD & ASSOCIATES Offering clients energy consulting and management Serving large commercial, industrial, municipal, and
A leading provider of energy consulting and expertise in the physical, financial, regulatory, and legislative institutional energy users, as well as producers, generators,
management services aspects of energy markets aggregators, third party marketers, utilities, storage owners,
and operators
CONSTELLATION ENERGY PROJECTS Providing customized solutions–including central energy Commercial, industrial, and governmental facilities through-
& SERVICES GROUP plants, on-site power generation, mechanical-electrical out North America, including Heinz Field in Pittsburgh
A full-service energy company upgrades, and renewable energy products–to increase energy and municipal and commercial facilities in downtown
efficiency, reliability, and cost effectiveness Nashville, Tennessee
BGE HOME Providing customer-centric, energy-focused solutions for Residential and small commercial customers in Maryland
A competitive provider of energy-related products heating, air conditioning, plumbing, electrical, and indoor
and services air quality needs, as well as window replacements and the
sale of natural gas to the residential market
13

18. BOARD DIRECTORS
OF
MAYO A. SHATTUCK III YVES C. DE BALMANN DOUGLAS L. BECKER
Chairman, President, and CEO Co-Chairman Chairman and CEO
Constellation Energy Bregal Investments LP Laureate Education, Inc.
Director since 1999 Director since 2003 Director since 1998
Age 52 Age 60 Age 41
JAMES T. BRADY EDWARD A. CROOKE JAMES R. CURTISS, ESQ.
Managing Director, Mid-Atlantic Retired Vice Chairman Partner
Ballantrae International, Ltd. Constellation Energy Winston & Strawn LLP
Director since 1999 Director since 1988 Director since 1994
Age 66 Age 68 Age 53
CORPORATE GOVERNANCE
We are an industry leader in corporate governance. We conduct our business honestly, with respect for our professional
obligations, and with regard for legal and regulatory requirements. The independence of our Board of Directors is important
to us –10 of our 11 directors are independent according to New York Stock Exchange listing standards. Michael D. Sullivan,
one of our independent directors, serves as lead director.
Copies of the charters of each of the committees of the Board of Directors, as well as copies of our Corporate Governance
Guidelines, Principles of Business Integrity, Corporate Compliance Program, Insider Trading Policy, and Policy and Procedures
with Respect to Related Person Transactions are available on our Web site at www.constellation.com.
INTERESTS ALIGNED WITH SHAREHOLDERS
We maintain share ownership guidelines to further align the interests of our directors with the interests of our shareholders.
The guidelines require directors to acquire and maintain holdings of Constellation Energy stock equal to at least
five times the annual cash retainer.
14

19. BOARD DIRECTORS
OF
DR. FREEMAN A. HRABOWSKI III NANCY LAMPTON ROBERT J. LAWLESS
President Chairman and CEO Chairman and CEO
University of Maryland, Baltimore County American Life and Accident Insurance McCormick & Company, Inc.
Director since 1994 Company of Kentucky and Hardscuffle, Inc. Director since 2002
Age 56 Director since 1994 Age 60
Age 64
LYNN M. MARTIN MICHAEL D. SULLIVAN
President Chairman
The Martin Hall Group LLC Life Source, Inc. and
Director since 2003 ADVANCARE HealthCare, LLC
Age 67 Director since 1992
Age 67
COMMITTEES OF THE BOARD
Executive Committee Compensation Committee Nominating and Corporate Governance Committee
Mayo A. Shattuck III, Chairman Robert J. Lawless, Chairman Michael D. Sullivan, Chairman
Edward A. Crooke Douglas L. Becker Douglas L. Becker
Robert J. Lawless Dr. Freeman A. Hrabowski III Dr. Freeman A. Hrabowski III
Lynn M. Martin Robert J. Lawless
Audit Committee Michael D. Sullivan Lynn M. Martin
James T. Brady, Chairman
Committee on Nuclear Power
Yves C. de Balmann
Edward A. Crooke James R. Curtiss, Chairman
Edward A. Crooke
All committee members are audit committee
financial experts as defined by SEC rules. Nancy Lampton
Lynn M. Martin
15

20. EXECUTIVE TEAM
MAYO A. SHATTUCK III THOMAS F. BRADY THOMAS V. BROOKS
Chairman, President, and CEO Executive Vice President Executive Vice President
Mayo, 52, is the Chairman, President, and Chief Executive Officer Tom, 57, is responsible for Constellation NewEnergy and the retail Tom, 44, heads the merchant organization. He is responsible
of Constellation Energy. Prior to joining Constellation Energy, he businesses, as well as corporate strategy, mergers and acquisitions, for our retail and wholesale competitive energy companies and
was Chairman of the Board at Deutsche Banc Alex. Brown. He also corporate communications, branding, and government affairs. He non-nuclear power generation, as well as for the strategy and
served as Global Head of Investment Banking and Global Head of is also Chairman of Baltimore Gas and Electric. Tom has served execution of merchant acquisitions and divestitures and the devel-
Private Banking at Deutsche Bank, Vice Chairman at Bankers Trust, as Chief Accounting Officer at Baltimore Gas and Electric, as well as opment of non-nuclear assets. Previously, Tom was President and
and President at Alex. Brown & Sons. in a variety of executive and management positions. CEO of Constellation Energy Commodities Group. Prior to joining
Constellation Energy, he worked in the Fixed Income and Com-
modities Division at Goldman, Sachs & Co.
E. FOLLIN SMITH MICHAEL J. WALLACE IRVING B. YOSKOWITZ
Executive Vice President, Chief Financial Officer, Executive Vice President Executive Vice President and General Counsel
and Chief Administrative Officer President and CEO, Constellation Energy Generation Group Irv, 61, is responsible for corporate governance and compliance,
Follin, 47, is responsible for finance, information technology, human Mike, 59, is responsible for our nuclear power generation business. mergers and acquisitions, litigation, and business unit legal services.
resources, legal, audit, risk management, investor relations, and Prior to joining Constellation Energy, he was Co-Founder and Prior to joining Constellation Energy, he served as Senior Partner
business performance improvement. Prior to joining Constellation Managing Director of Barrington Energy Partners, LLC. Mike also of Global Technology Partners, LLC, Senior Counsel at Crowell &
Energy, Follin was Senior Vice President and Chief Financial Officer was Chief Nuclear Officer and served in various executive positions Moring, LLC, and Senior Consultant at Charles River Associates.
of Armstrong Holdings, Inc. She also has served in various financial at Unicom/ComEd. Irv also was Executive Vice President and General Counsel at United
executive positions at General Motors Corp. Technologies Corp. and held a variety of positions at IBM.
PROVEN LEADERSHIP
Our mission is to be the nation’s leading energy manager and competitive supplier, generating and delivering power
and natural gas safely and reliably to our customers, while acting in the interests of our communities, employees,
shareholders, and the environment.
Our executive team provides the proven leadership, strategic vision, skilled market analysis,
and agile decision-making that help us achieve that mission.
INTERESTS ALIGNED WITH SHAREHOLDERS
We maintain ownership guidelines to further align the interests of our executives with the interests of our shareholders.
The guidelines require our executives to acquire and maintain holdings of Constellation Energy stock ranging from three times
base salary for senior vice presidents to seven times base salary for our CEO.
16

21. EXECUTIVE TEAM
PAUL J. ALLEN JOHN R. COLLINS FELIX J. DAWSON
Senior Vice President, Corporate Affairs Senior Vice President and Chief Risk Officer Senior Vice President
Paul, 55, is responsible for external affairs, government and John, 49, is responsible for assessing and managing risk. He also serves Co-President and Co-Chief Executive Officer,
regulatory relations, and environmental policy. Prior to joining on the Board of Managers of Constellation Energy Partners LLC. Constellation Energy Commodities Group
Constellation Energy, Paul was Senior Vice President and Group Previously, he was Managing Director of Finance and Treasurer of Felix, 39, is responsible for wholesale energy, commodity services,
Head at Ogilvy Public Relations. He also was a senior staff mem- Constellation Power Source Holdings and Constellation Energy and risk management for electricity, coal, natural gas, and related
ber at the Natural Resources Defense Council, Press Secretary for Commodities Group. He also has served in various leadership posi- commodities. He also serves as President and CEO of Constellation
Senator Christopher Dodd (D-Conn.), and Foreign News Editor tions at Constellation Energy Commodities Group and Baltimore Energy Partners LLC. Previously, he was Co-Chief Commercial
and Editor of Morning Edition at National Public Radio. Gas and Electric. Prior to joining Baltimore Gas and Electric, Officer, Constellation Energy Commodities Group and served in
he held various financial management positions at Bell Atlantic various leadership positions in origination and portfolio management.
Corporation and Perdue Farms, Inc. He also has held a variety of positions at Goldman, Sachs & Co.
KENNETH W. DEFONTES, JR. BETH S. PERLMAN GEORGE E. PERSKY
Senior Vice President Senior Vice President and Chief Information Officer Senior Vice President
President and CEO, Baltimore Gas and Electric Beth, 46, is responsible for information technology initiatives that Co-President and Co-Chief Executive Officer,
Ken, 56, is responsible for our regulated electric and natural gas support business transformation and enable growth. Prior to joining Constellation Energy Commodities Group
distribution utility in Central Maryland. Previously, Ken was Vice Constellation Energy, she was Vice President of Wholesale Trading George, 37, is responsible for wholesale energy, commodity services,
President, Electric Transmission and Distribution, and also has Technology and served in various other technology and operations and risk management for electricity, coal, natural gas, and related
served in various executive and management positions at Baltimore management positions at Enron. She also held various financial commodities. Previously, he was Co-Chief Commercial Officer,
Gas and Electric. and technology management positions at Lehman Brothers, Inc., Constellation Energy Commodities Group and served in various
Kidder, Peabody & Co., and JPMorgan. leadership positions in origination and portfolio management. He
also has held a variety of positions at Goldman, Sachs & Co.
MARC L. UGOL
Senior Vice President, Human Resources
Marc, 48, is responsible for staffing, organization effectiveness, labor
relations, compensation, and benefits. Prior to joining Constellation
Energy, he was Senior Vice President of Human Resources at
Tellabs, Inc. He also served in human resources management posi-
tions at Platinum Technology, Inc., System Software Associates, Inc.,
and Amoco Corporation.
17

22. UNDERSTANDING OUR FORM 10-K
One of our priorities at Constellation Energy is to provide you with clear, easy-to-read,
and easy-to-understand information about our company. We want you to know what
we do, how we do it, and how we’re doing.
This special section is intended to be a guide, describing and summarizing some
of the information contained in our Form 10-K and providing page numbers where
more details can be found. Our complete Form 10-K follows this special section.
BREAKING DOWN OUR FORM 10-K
Our Form 10-K has four parts:
PART I
In-depth descriptions of our businesses
PART II
Our financial performance, the information in which investors are usually most interested
PART III
Directs readers to other filings made with the Securities and Exchange Commission for
details about our Board of Directors, executive compensation, auditor fees,
stock ownership information, and other matters
PART IV
A listing of financial statement schedules and exhibits
Over the next several pages, we provide descriptions and summaries
of some of the major topics included in Parts I and II.
18