**UNITED        STATES**

**SECURITIES        AND EXCHANGE COMMISSION**

**FORM        10-Q**

**for        the Quarterly Period Ended June 30, 2007**

|  CommissionFile                  Number | Exact                  name of registrant as specified in its charter;State                  of Incorporation;Address                  and Telephone Number |  IRS                  EmployerIdentification                  No. |
|----------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------|
|                                         |                                                                                                                                                        |                                                                   |
| 1-14756                                      | **Ameren                  Corporation**                                                                                                                     | 43-1723446                                                             |
|                                         | (Missouri                  Corporation)                                                                                                                     |                                                                   |
|                                         | 1901                  Chouteau Avenue                                                                                                                       |                                                                   |
|                                         | St.                  Louis, Missouri 63103                                                                                                                  |                                                                   |
|                                         | (314)                  621-3222                                                                                                                             |                                                                   |
|                                         |                                                                                                                                                        |                                                                   |
| 1-2967                                       | **Union                  Electric Company**                                                                                                                 | 43-0559760                                                             |
|                                         | (Missouri                  Corporation)                                                                                                                     |                                                                   |
|                                         | 1901                  Chouteau Avenue                                                                                                                       |                                                                   |
|                                         | St.                  Louis, Missouri 63103                                                                                                                  |                                                                   |
|                                         | (314)                  621-3222                                                                                                                             |                                                                   |
|                                         |                                                                                                                                                        |                                                                   |
| 1-3672                                       | **Central                  Illinois Public Service Company**                                                                                                | 37-0211380                                                             |
|                                         | (Illinois                  Corporation)                                                                                                                     |                                                                   |
|                                         | 607                  East Adams Street                                                                                                                      |                                                                   |
|                                         | Springfield,                  Illinois 62739                                                                                                                |                                                                   |
|                                         | (888)                  789-2477                                                                                                                             |                                                                   |
|                                         |                                                                                                                                                        |                                                                   |
| 333-56594                                    | **Ameren                  Energy Generating Company**                                                                                                       | 37-1395586                                                             |
|                                         | (Illinois                  Corporation)                                                                                                                     |                                                                   |
|                                         | 1901                  Chouteau Avenue                                                                                                                       |                                                                   |
|                                         | St.                  Louis, Missouri 63103                                                                                                                  |                                                                   |
|                                         | (314)                  621-3222                                                                                                                             |                                                                   |
|                                         |                                                                                                                                                        |                                                                   |
| 2-95569                                      | **CILCORP                  Inc.**                                                                                                                           | 37-1169387                                                             |
|                                         | (Illinois                  Corporation)                                                                                                                     |                                                                   |
|                                         | 300                  Liberty Street                                                                                                                         |                                                                   |
|                                         | Peoria,                  Illinois 61602                                                                                                                     |                                                                   |
|                                         | (309)                  677-5271                                                                                                                             |                                                                   |
|                                         |                                                                                                                                                        |                                                                   |
| 1-2732                                       | **Central                  Illinois Light Company**                                                                                                         | 37-0211050                                                             |
|                                         | (Illinois                  Corporation)                                                                                                                     |                                                                   |
|                                         | 300                  Liberty Street                                                                                                                         |                                                                   |
|                                         | Peoria,                  Illinois 61602                                                                                                                     |                                                                   |
|                                         | (309)                  677-5271                                                                                                                             |                                                                   |
|                                         |                                                                                                                                                        |                                                                   |
| 1-3004                                       | **Illinois                  Power Company**                                                                                                                 | 37-0344645                                                             |
|                                         | (Illinois                  Corporation)                                                                                                                     |                                                                   |
|                                         | 370                  South Main Street                                                                                                                      |                                                                   |
|                                         | Decatur,                  Illinois 62523                                                                                                                    |                                                                   |
|                                         | (217)                  424-6600                                                                                                                             |                                                                   |

----

|                                                     | Large                  Accelerated Filer | Accelerated                  Filer | Non-Accelerated                  Filer |
|----------------------------------------------------------|------------------------------------------|------------------------------------|----------------------------------------|
| Ameren                  Corporation                      | (X)                                      | (                    )   | (                    )       |
| Union                  Electric Company                  | (                    )         | (                    )   | (X)                                    |
| Central                  Illinois Public Service Company | (                    )         | (                    )   | (X)                                    |
| Ameren                  Energy Generating Company        | (                    )         | (                    )   | (X)                                    |
| CILCORP                  Inc.                            | (                    )         | (                    )   | (X)                                    |
| Central                  Illinois Light Company          | (                    )         | (                    )   | (X)                                    |
| Illinois                  Power Company                  | (                    )         | (                    )   | (X)                                    |

| Ameren                  Corporation                      | Yes | (                    ) | No | (X) |
|----------------------------------------------------------|-----|----------------------------------|----|-----|
| Union                  Electric Company                  | Yes | (                    ) | No | (X) |
| Central                  Illinois Public Service Company | Yes | (                    ) | No | (X) |
| Ameren                  Energy Generating Company        | Yes | (                    ) | No | (X) |
| CILCORP                  Inc.                            | Yes | (                    ) | No | (X) |
| Central                  Illinois Light Company          | Yes | (                    ) | No | (X) |
| Illinois                  Power Company                  | Yes | (                    ) | No | (X) |

| Ameren                  Corporation                      | Common                  stock, $.01 par value per share – 207,601,632                                                                                                                                                           |
|----------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                     |                                                                                                                                                                                                                                  |
| Union                  Electric Company                  | Common                  stock, $5 par value per share, held by AmerenCorporation                  (parent company of the registrant) – 102,123,834                                                                              |
|                                                     |                                                                                                                                                                                                                                  |
| Central                  Illinois Public Service Company | Common                  stock, no par value, held by AmerenCorporation                  (parent company of the registrant) – 25,452,373                                                                                         |
|                                                     |                                                                                                                                                                                                                                  |
| Ameren                  Energy Generating Company        | Common                  stock, no par value, held by Ameren EnergyDevelopment                  Company (parent company of theregistrant                  and indirect subsidiary of AmerenCorporation)                  – 2,000 |
|                                                     |                                                                                                                                                                                                                                  |
| CILCORP                  Inc.                            | Common                  stock, no par value, held by AmerenCorporation                  (parent company of the registrant) – 1,000                                                                                              |
|                                                     |                                                                                                                                                                                                                                  |
| Central                  Illinois Light Company          | Common                  stock, no par value, held by CILCORP Inc.(parent                  company of the registrant and subsidiary ofAmeren                  Corporation) – 13,563,871                                          |
|                                                     |                                                                                                                                                                                                                                  |
| Illinois                  Power Company                  | Common                  stock, no par value, held by AmerenCorporation                  (parent company of the registrant) –23,000,000                                                                                          |

----

**OMISSION          OF CERTAIN INFORMATION**

----

----

**TABLE          OF CONTENTS**

|                                                                                                                                                                                                                                                                                                                         | **Page** |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------|
| Glossary                    of Terms and                    Abbreviations ............................................................................................................................................................................................................................................. | 5        |
|                                                                                                                                                                                                                                                                                                                         |     |
| Forward-looking                    Statements...............................................................................................................................................................................................................................................................                 | 6        |
|                                                                                                                                                                                                                                                                                                                         |     |
| **PART                    I      Financial                    Information**                                                                                                                                                                                                                         |     |
|                                                                                                                                                                                                                                                                                                                         |     |
| Item                    1.        Financial Statements                    (Unaudited)                                                                                                                                                                                                |     |
| **Ameren                    Corporation**                                                                                                                                                                                                                                                                                    |     |
| Consolidated                    Statement of                    Income.....................................................................................................................................................................................................................                                  | 8        |
| Consolidated                    Balance                    Sheet................................................................................................................................................................................................................................                             | 9        |
| Consolidated                    Statement of Cash                    Flows.............................................................................................................................................................................................................                                      | 10       |
| **Union                    Electric Company**                                                                                                                                                                                                                                                                                |     |
| Consolidated                    Statement of                    Income.....................................................................................................................................................................................................................                                  | 11       |
| Consolidated                    Balance                    Sheet................................................................................................................................................................................................................................                             | 12       |
| Consolidated                    Statement of Cash                    Flows.............................................................................................................................................................................................................                                      | 13       |
| **Central                    Illinois Public Service Company**                                                                                                                                                                                                                                                               |     |
| Statement                    of                     Income.............................................................................................................................................................................................................................................                 | 14       |
| Balance                    Sheet.........................................................................................................................................................................................................................................................                                    | 15       |
| Statement                    of Cash                    Flows......................................................................................................................................................................................................................................                          | 16       |
| **Ameren                    Energy Generating Company**                                                                                                                                                                                                                                                                      |     |
| Consolidated                    Statement of                    Income.....................................................................................................................................................................................................................                                  | 17       |
| Consolidated                    Balance                    Sheet................................................................................................................................................................................................................................                             | 18       |
| Consolidated                    Statement of Cash                    Flows.............................................................................................................................................................................................................                                      | 19       |
| **CILCORP                    Inc.**                                                                                                                                                                                                                                                                                          |     |
| Consolidated                    Statement of                    Income.....................................................................................................................................................................................................................                                  | 20       |
| Consolidated                    Balance                    Sheet................................................................................................................................................................................................................................                             | 21       |
| Consolidated                    Statement of Cash                    Flows.............................................................................................................................................................................................................                                      | 22       |
| **Central                    Illinois Light Company**                                                                                                                                                                                                                                                                        |     |
| Consolidated                    Statement of                    Income.....................................................................................................................................................................................................................                                  | 23       |
| Consolidated                    Balance                    Sheet................................................................................................................................................................................................................................                             | 24       |
| Consolidated                    Statement of Cash                    Flows.............................................................................................................................................................................................................                                      | 25       |
| **Illinois                    Power Company**                                                                                                                                                                                                                                                                                |     |
| Consolidated                    Statement of                    Income.....................................................................................................................................................................................................................                                  | 26       |
| Consolidated                    Balance                    Sheet................................................................................................................................................................................................................................                             | 27       |
| Consolidated                    Statement of Cash                    Flows.............................................................................................................................................................................................................                                      | 28       |
|                                                                                                                                                                                                                                                                                                                         |     |
| Combined                    Notes to Financial                    Statements..................................................................................................................................................................................................................                               | 29       |

|                                                                                                                                                                                                                                                                                                                                                                            |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| Item                    2.        Management’s Discussion and                    Analysis of Financial Condition and Results of                    Operations.............................................................................................................................                                                  | 57     |
| Item                    3.        Quantitative and Qualitative                    Disclosures About Market                    Risk..................................................................................................................................................................................                         | 79     |
| Item                    4.        Controls and                    Procedures.................................................................................................................................................................................................................................................                | 83     |
|                                                                                                                                                                                                                                                                                                                                                                            |   |
| **PART                    II    Other Information**                                                                                                                                                                                                                                                                                                              |   |
|                                                                                                                                                                                                                                                                                                                                                                            |   |
| Item                    1.        Legal                    Proceedings............................................................................................................................................................................................................................................................           | 84     |
| Item                    1A.     Risk                    Factors.......................................................................................................................................................................................................................................................................                      | 84     |
| Item                    2.        Unregistered Sales of                    Equity Securities and Use of                    Proceeds..................................................................................................................................................................................                   | 86     |
| Item                    4.        Submission of Matters to a                    Vote of Security                    Holders................................................................................................................................................................................................                  | 87     |
| Item                    6.                           Exhibits............................................................................................................................................................................................................................................................................... | 88     |
|                                                                                                                                                                                                                                                                                                                                                                            |   |
| Signatures..............................................................................................................................................................................................................................................................................................                                                                        | 90     |

----

**GLOSSARY          OF TERMS AND ABBREVIATIONS**

***AERG***

***AFS***

***Ameren***

***Ameren          Companies***

***Ameren          Energy***

***Ameren          Illinois Utilities***

***Ameren          Services***
*** ***

***ARO***

***Baseload***
*– *

***Capacity          factor***

***CILCO***

***CILCORP***

***CIPS***

***CIPSCO***
*** ***

***CT***

***CUB***

***Development          Company***

***DOE***

***DRPlus***

***Dynegy***

***EEI***

***ELPC***

***EPA***

***Exchange          Act***

***FASB***

***FERC***

***FIN***

***Fitch***

***Form          10-K***
*** ***

***FSP***

***GAAP***

***Genco***

***Gigawatthour***

***Heating          degree-days***

***ICC***

***Illinois          Customer Choice Law***

***Illinois          EPA***

***Illinois          Regulated***

***IP***
*** ***

----

***IPA***

***IP          LLC***

***IP          SPT***

***JDA***

***Kilowatthour***
*** ***

***Marketing          Company***
*** ***

***Medina          Valley***
*** ***

***Megawatthour***

***MGP***
*** ***

***MISO***
*** ***

***MISO          Day Two Energy Market***
*** ***

***Missouri          Regulated***

***Money          pool***
*** ***

***Moody’s***
*** ***

***MoPSC***

***Non-rate-regulated          Generation***

***NO***
***x***

*** ***
*** ***

***NRC***

***NYMEX***

***OCI***
*** ***

***PGA***

***PUHCA          1935***

***PUHCA          2005***

***Resources          Company***

***S&P***

***SEC***

***SFAS***
*** ***

***SO***
***2***

*** ***

***TFN***

***TVA***

***UE***
*** ***

**FORWARD-LOOKING          STATEMENTS**

----

| ·   | regulatory                    or legislative actions, including changes in regulatory policies                    and                    ratemaking determinations, such as the failure of the Illinois                    governor to                    enact legislation implementing the comprehensive rate relief                    programs and                    agreement, the enactment of alternative legislation rolling back                    and                    freezing electric rates at 2006 levls or similar actions that                    impair the                    full and timely recovery of costs in Illinois, or the enactment                    of                    alternative legislation taxing electric generators in                    Illinois; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    impact of the termination of the                    JDA; |
|--------------------|---------------------------------------------------------------------------------|

| ·   | changes                    in laws and other governmental actions, including monetary and                    fiscal                    policies; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    effects of increased competition in the future due to, among                    other things,                    deregulation of certain aspects of our business at both the state                    and                    federal levels, and the implementation of deregulation, such                    as occurred                    when the electric rate freeze and power supply contracts expired                    in                    Illinois at the end of 2006; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    effects of participation in the                    MISO; |
|--------------------|---------------------------------------------------------------------------------|

| ·   | the                    availability of fuel such as coal, natural gas, and enriched                    uranium used                    to produce electricity; the availability of purchased power and                    natural                    gas for distribution; and the level and volatility of future                    market prices                    for such commodities, including the ability to recover the costs                    for such                    commodities; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    effectiveness of our risk management strategies and the use of                    financial                    and derivative instruments; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | prices                    for power in the Midwest; |
|--------------------|-----------------------------------------------------|

| ·   | business                    and economic conditions, including their impact on interest                    rates; |
|--------------------|-------------------------------------------------------------------------------------------------------------------|

| ·   | disruptions                    of the capital markets or other events that make the Ameren Companies’                    access to necessary capital more difficult or                    costly; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    impact of the adoption of new accounting standards and the application                    of                    appropriate technical accounting rules and                    guidance; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | actions                    of credit rating agencies and the effects of such                    actions; |
|--------------------|----------------------------------------------------------------------------------------------------------|

| ·   | weather                    conditions and other natural                    phenomena; |
|--------------------|---------------------------------------------------------------------------------------|

| ·   | the                    impact of system outages caused by severe weather conditions                    or other                    events; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | generation                    plant construction, installation and performance, including costs                    associated with UE’s Taum Sauk pumped-storage hydroelectric plant incident                    and the plant’s future operation; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | recoverability                    through insurance of costs associated with UE’s Taum Sauk pumped-storage                    hydroelectric plant incident; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | operation                    of UE’s nuclear power facility, including planned and unplanned outages,                    and decommissioning costs; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    effects of strategic initiatives, including acquisitions and                    divestitures; |
|--------------------|----------------------------------------------------------------------------------------------------------------------|

| ·   | the                    impact of current environmental regulations on utilities and                    power                    generating companies and the expectation that more stringent                    requirements,                    including those related to greenhouse gases, will be introduced                    over time,                    which could have a negative financial                    effect; |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | labor                    disputes, future wage and employee benefits costs, including                    changes in                    returns on benefit plan assets; |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    inability of our counterparties and affiliates to meet their                    obligations                    with respect to contracts and financial                    instruments; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                    cost and availability of transmission capacity for the energy                    generated by                    the Ameren Companies’ facilities or required to satisfy energy sales made                    by the Ameren Companies; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | legal                    and administrative proceedings; and |
|--------------------|--------------------------------------------------------------|

| ·   | acts                    of sabotage, war, terrorism or intentionally disruptive                    acts. |
|--------------------|----------------------------------------------------------------------------------------------------------|

----

**PART          I.  FINANCIAL INFORMATION**

**ITEM          1.  FINANCIAL STATEMENTS.**

| **AMEREN                  CORPORATION**                                              |
|--------------------------------------------------------------------------------------------------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF INCOME**                                |
| **(Unaudited)                  (In millions, except per share amounts)**             |
|                                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                             | **Three                  Months Ended****June                  30,** |   |   | **Six                  Months Ended****June                  30,** |   |
|                                                                                                                                             | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues:**                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |
| Electric                                                                                                                                         | **$** | **1,514** |   |   | $ | 1,378 |   |   | **$** | **2,972** |   |   | $ | 2,589 |   |
| Gas                                                                                                                                              | ** ** | **209** |   |   |   | 172 |   |   | ** ** | **770** |   |   |   | 761 |   |
| Total                  operating revenues                                                                                                        | ** ** | **1,723** |   |   |   | 1,550 |   |   | ** ** | **3,742** |   |   |   | 3,350 |   |
| **Operating                  Expenses:**                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fuel                                                                                                                                             | ** ** | **263** |   |   |   | 247 |   |   | ** ** | **526** |   |   |   | 499 |   |
| Purchased                  power                                                                                                                 | ** ** | **314** |   |   |   | 277 |   |   | ** ** | **687** |   |   |   | 550 |   |
| Gas                  purchased for resale                                                                                                        | ** ** | **133** |   |   |   | 104 |   |   | ** ** | **554** |   |   |   | 557 |   |
| Other                  operations and maintenance                                                                                                | ** ** | **426** |   |   |   | 394 |   |   | ** ** | **822** |   |   |   | 746 |   |
| Depreciation                  and amortization                                                                                                   | ** ** | **169** |   |   |   | 162 |   |   | ** ** | **345** |   |   |   | 323 |   |
| Taxes                  other than income taxes                                                                                                   | ** ** | **96** |   |   |   | 90 |   |   | ** ** | **198** |   |   |   | 203 |   |
| Total                  operating expenses                                                                                                        | ** ** | **1,401** |   |   |   | 1,274 |   |   | ** ** | **3,132** |   |   |   | 2,878 |   |
| **Operating                  Income**                                                                                                            | ** ** | **322** |   |   |   | 276 |   |   | ** ** | **610** |   |   |   | 472 |   |
| **Other                  Income and Expenses:**                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                  income                                                                                                            | ** ** | **20** |   |   |   | 11 |   |   | ** ** | **34** |   |   |   | 16 |   |
| Miscellaneous                  expense                                                                                                           | ** ** | **(4** | **)** |   |   | (1 | ) |   | ** ** | **(4** | **)** |   |   | (1 | ) |
| Total                  other income                                                                                                              | ** ** | **16** |   |   |   | 10 |   |   | ** ** | **30** |   |   |   | 15 |   |
| **Interest                  Charges**                                                                                                            | ** ** | **108** |   |   |   | 87 |   |   | ** ** | **206** |   |   |   | 164 |   |
| **Income                  Before Income Taxes, Minority Interest**                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **   and                  Preferred Dividends of Subsidiaries**                                                                   | ** ** | **230** |   |   |   | 199 |   |   | ** ** | **434** |   |   |   | 323 |   |
| **Income                  Taxes**                                                                                                                | ** ** | **78** |   |   |   | 68 |   |   | ** ** | **149** |   |   |   | 112 |   |
| **Income                  Before Minority Interest and Preferred**                                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Dividends                  of Subsidiaries**                                                                                                   | ** ** | **152** |   |   |   | 131 |   |   | ** ** | **285** |   |   |   | 211 |   |
| **Minority                  Interest and Preferred Dividends of Subsidiaries**                                                                   | ** ** | **9** |   |   |   | 8 |   |   | ** ** | **19** |   |   |   | 18 |   |
| **Net                  Income**                                                                                                                  | **$** | **143** |   |   | $ | 123 |   |   | **$** | **266** |   |   | $ | 193 |   |
|                                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Earnings                  per Common Share – Basic and Diluted**                                                                         | **$** | **0.69** |   |   | $ | 0.60 |   |   | **$** | **1.29** |   |   | $ | 0.94 |   |
| **Dividends                  per Common Share**                                                                                                  | **$** | **0.635** |   |   | $ | 0.635 |   |   | **$** | **1.270** |   |   | $ | 1.270 |   |
| **Average                  Common Shares Outstanding**                                                                                           | ** ** | **207.1** |   |   |   | 205.4 |   |   | ** ** | **206.9** |   |   |   | 205.1 |   |

**The        accompanying notes are an integral part of these consolidated financial        statements.**

----

| **AMEREN                  CORPORATION**                                          |
|-----------------------------------------------------------------------------------------------------------|
| **CONSOLIDATED                  BALANCE SHEET**                                  |
| **(Unaudited)                  (In millions, except per share amounts)**         |
|                                                                                                      |   |   |   |   |   |
|                                                                                                      | **June                  30,** |   |   | **December                  31,** |   |
|                                                                                                      | **2007** |   |   | **2006** |   |
| **ASSETS**                                                                                                |   |   |   |   |   |
| **Current                  Assets:**                                                                      |   |   |   |   |   |
| Cash                  and cash equivalents                                                                | **$** | **687** |   |   | $ | 137 |   |
| Accounts                  receivable – trade (less allowance for doubtful                           |   |   |   |   |   |   |   |
| accounts                  of $31 and $11, respectively)                                                   | ** ** | **562** |   |   |   | 418 |   |
| Unbilled                  revenue                                                                         | ** ** | **304** |   |   |   | 309 |   |
| Miscellaneous                  accounts and notes receivable                                              | ** ** | **222** |   |   |   | 160 |   |
| Materials                  and supplies                                                                   | ** ** | **612** |   |   |   | 647 |   |
| Other                  current assets                                                                     | ** ** | **178** |   |   |   | 203 |   |
| Total                  current assets                                                                     | ** ** | **2,565** |   |   |   | 1,874 |   |
| **Property                  and Plant, Net**                                                              | ** ** | **14,538** |   |   |   | 14,286 |   |
| **Investments                  and Other Assets:**                                                        |   |   |   |   |   |   |   |
| Investments                  in leveraged leases                                                          | ** ** | **13** |   |   |   | 13 |   |
| Nuclear                  decommissioning trust fund                                                       | ** ** | **301** |   |   |   | 285 |   |
| Goodwill                                                                                                  | ** ** | **831** |   |   |   | 831 |   |
| Intangible                  assets                                                                        | ** ** | **206** |   |   |   | 217 |   |
| Other                  assets                                                                             | ** ** | **730** |   |   |   | 641 |   |
| Regulatory                  assets                                                                        | ** ** | **1,347** |   |   |   | 1,431 |   |
| Total                  investments and other assets                                                       | ** ** | **3,428** |   |   |   | 3,418 |   |
| **TOTAL                  ASSETS**                                                                         | **$** | **20,531** |   |   | $ | 19,578 |   |
|                                                                                                      |   |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS' EQUITY**                                                 |   |   |   |   |   |   |   |
| **Current                  Liabilities:**                                                                 |   |   |   |   |   |   |   |
| Current                  maturities of long-term debt                                                     | **$** | **203** |   |   | $ | 456 |   |
| Short-term                  debt                                                                          | ** ** | **1,619** |   |   |   | 612 |   |
| Accounts                  and wages payable                                                               | ** ** | **455** |   |   |   | 671 |   |
| Taxes                  accrued                                                                            | ** ** | **120** |   |   |   | 58 |   |
| Other                  current liabilities                                                                | ** ** | **423** |   |   |   | 405 |   |
| Total                  current liabilities                                                                | ** ** | **2,820** |   |   |   | 2,202 |   |
| **Long-term                  Debt, Net**                                                                  | ** ** | **5,511** |   |   |   | 5,285 |   |
| **Preferred                  Stock of Subsidiary Subject to Mandatory                  Redemption**       | ** ** | **18** |   |   |   | 18 |   |
| **Deferred                  Credits and Other Liabilities:**                                              |   |   |   |   |   |   |   |
| Accumulated                  deferred income taxes, net                                                   | ** ** | **2,039** |   |   |   | 2,144 |   |
| Accumulated                  deferred investment tax credits                                              | ** ** | **113** |   |   |   | 118 |   |
| Regulatory                  liabilities                                                                   | ** ** | **1,216** |   |   |   | 1,234 |   |
| Asset                  retirement obligations                                                             | ** ** | **564** |   |   |   | 549 |   |
| Accrued                  pension and other postretirement benefits                                        | ** ** | **1,040** |   |   |   | 1,065 |   |
| Other                  deferred credits and liabilities                                                   | ** ** | **378** |   |   |   | 169 |   |
| Total                  deferred credits and other liabilities                                             | ** ** | **5,350** |   |   |   | 5,279 |   |
| **Preferred                  Stock of Subsidiaries Not Subject to Mandatory                  Redemption** | ** ** | **195** |   |   |   | 195 |   |
| **Minority                  Interest in Consolidated Subsidiaries**                                       | ** ** | **19** |   |   |   | 16 |   |
| **Commitments                  and Contingencies (Notes 2, 8, and 9)**                                    |   |   |   |   |   |   |   |
| **Stockholders'                  Equity:**                                                                |   |   |   |   |   |   |   |
| Common                  stock, $.01 par value, 400.0 shares authorized –                            |   |   |   |   |   |   |   |
| shares                  outstanding of 207.0 and 206.6, respectively                                      | ** ** | **2** |   |   |   | 2 |   |
| Other                  paid-in capital, principally premium on common stock                               | ** ** | **4,551** |   |   |   | 4,495 |   |
| Retained                  earnings                                                                        | ** ** | **2,023** |   |   |   | 2,024 |   |
| Accumulated                  other comprehensive income                                                   | ** ** | **42** |   |   |   | 62 |   |
| Total                  stockholders’ equity                                                         | ** ** | **6,618** |   |   |   | 6,583 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDERS' EQUITY**                                           | **$** | **20,531** |   |   | $ | 19,578 |   |

**The        accompanying notes are an integral part of these consolidated financial        statements.**

----

| **AMEREN                  CORPORATION**                        |
|-----------------------------------------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF CASH FLOWS**      |
| **(Unaudited)                  (In millions)**                 |
|                                                                                    |   |   |   |   |   |
|                                                                                    | **Six                  Months Ended** |   |
|                                                                                    | **June                  30,**    |   |
|                                                                                    | **2007** |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                              |   |   |   |   |   |
| Net                  income                                                             | **$** | **266** |   |   | $ | 193 |   |
| Adjustments                  to reconcile net income to net cash                        |   |   |   |   |   |   |   |
| provided                  by operating activities:                                      |   |   |   |   |   |   |   |
| Gain                  on sales of emission allowances                                   | ** ** | **(2** | **)** |   |   | - |   |
| Depreciation                  and amortization                                          | ** ** | **357** |   |   |   | 340 |   |
| Amortization                  of nuclear fuel                                           | ** ** | **15** |   |   |   | 16 |   |
| Amortization                  of debt issuance costs and premium/discounts              | ** ** | **10** |   |   |   | 7 |   |
| Deferred                  income taxes and investment tax credits, net                  | ** ** | **(8** | **)** |   |   | (19 | ) |
| Loss                  on sale of noncore properties                                     | ** ** | **-** |   |   |   | 4 |   |
| Minority                  interest                                                      | ** ** | **13** |   |   |   | 12 |   |
| Other                                                                                   | ** ** | **7** |   |   |   | 1 |   |
| Changes                  in assets and liabilities:                                     |   |   |   |   |   |   |   |
| Receivables                                                                             | ** ** | **(195** | **)** |   |   | 168 |   |
| Materials                  and supplies                                                 | ** ** | **35** |   |   |   | 25 |   |
| Accounts                  and wages payable                                             | ** ** | **(62** | **)** |   |   | (214 | ) |
| Taxes                  accrued                                                          | ** ** | **59** |   |   |   | (33 | ) |
| Assets,                  other                                                          | ** ** | **(69** | **)** |   |   | 63 |   |
| Liabilities,                  other                                                     | ** ** | **67** |   |   |   | 10 |   |
| Pension                  and other postretirement benefit obligations                   | ** ** | **50** |   |   |   | 46 |   |
| Net                  cash provided by operating activities                              | ** ** | **543** |   |   |   | 619 |   |
| **Cash                  Flows From Investing Activities:**                              |   |   |   |   |   |   |   |
| Capital                  expenditures                                                   | ** ** | **(715** | **)** |   |   | (449 | ) |
| CT                  acquisitions                                                        | ** ** | **-** |   |   |   | (292 | ) |
| Nuclear                  fuel expenditures                                              | ** ** | **(24** | **)** |   |   | (25 | ) |
| Proceeds                  from sale of noncore properties                               | ** ** | **-** |   |   |   | 11 |   |
| Purchases                  of securities – nuclear decommissioning trust fund     | ** ** | **(75** | **)** |   |   | (53 | ) |
| Sales                  of securities – nuclear decommissioning trust fund         | ** ** | **65** |   |   |   | 48 |   |
| Purchases                  of emission allowances                                       | ** ** | **(9** | **)** |   |   | (38 | ) |
| Sales                  of emission allowances                                           | ** ** | **3** |   |   |   | 4 |   |
| Other                                                                                   | ** ** | **1** |   |   |   | (1 | ) |
| Net                  cash used in investing activities                                  | ** ** | **(754** | **)** |   |   | (795 | ) |
| **Cash                  Flows From Financing Activities:**                              |   |   |   |   |   |   |   |
| Dividends                  on common stock                                              | ** ** | **(263** | **)** |   |   | (260 | ) |
| Capital                  issuance costs                                                 | ** ** | **(3** | **)** |   |   | (2 | ) |
| Short-term                  debt, net                                                   | ** ** | **1,007** |   |   |   | 204 |   |
| Dividends                  paid to minority interest                                    | ** ** | **(10** | **)** |   |   | (14 | ) |
| Redemptions,                  repurchases, and maturities of long-term debt             | ** ** | **(443** | **)** |   |   | (86 | ) |
| Issuances:                                                                              |   |   |   |   |   |   |   |
| Common                  stock                                                           | ** ** | **48** |   |   |   | 57 |   |
| Long-term                  debt                                                         | ** ** | **425** |   |   |   | 232 |   |
| Net                  cash provided by financing activities                              | ** ** | **761** |   |   |   | 131 |   |
| Net                  change in cash and cash equivalents                                | ** ** | **550** |   |   |   | (45 | ) |
| Cash                  and cash equivalents at beginning of year                         | ** ** | **137** |   |   |   | 96 |   |
| Cash                  and cash equivalents at end of period                             | **$** | **687** |   |   | $ | 51 |   |

**The        accompanying notes are an integral part of these consolidated financial        statements.**

----

| **UNION                  ELECTRIC COMPANY**                      |                                            |
|-------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF INCOME**            |                                            |
| **(Unaudited)                  (In millions)**                   |                                            |
|                                                                                                                    |                                            |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                    | **Three                  Months Ended**         |   |   | **Six                  Months Ended** |   |
|                                                                                                                    | **June                  30,**    |   |   | **June                  30,**    |   |
|                                                                                                                    | **2007**                                        |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues:**                                                                                |                                            |   |   |   |   |   |   |   |   |   |   |
| Electric                  - excluding off-system                                                                        | **$**                                           | **579** |   |   | $ | 584 |   |   | **$** | **1,030** |   |   | $ | 1,013 |   |
| Electric                  - off-system                                                                                  | ** **                                      | **89** |   |   |   | 103 |   |   | ** ** | **211** |   |   |   | 241 |   |
| Gas                                                                                                                     | ** **                                      | **29** |   |   |   | 22 |   |   | ** ** | **105** |   |   |   | 91 |   |
| Other                                                                                                                   | ** **                                      | **-** |   |   |   | 1 |   |   | ** ** | **1** |   |   |   | 1 |   |
| Total                  operating revenues                                                                               | ** **                                      | **697** |   |   |   | 710 |   |   | ** ** | **1,347** |   |   |   | 1,346 |   |
| **Operating                  Expenses:**                                                                                |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fuel                                                                                                                    | ** **                                      | **143** |   |   |   | 124 |   |   | ** ** | **268** |   |   |   | 249 |   |
| Purchased                  power                                                                                        | ** **                                      | **29** |   |   |   | 68 |   |   | ** ** | **62** |   |   |   | 135 |   |
| Gas                  purchased for resale                                                                               | ** **                                      | **15** |   |   |   | 12 |   |   | ** ** | **64** |   |   |   | 56 |   |
| Other                  operations and maintenance                                                                       | ** **                                      | **222** |   |   |   | 196 |   |   | ** ** | **446** |   |   |   | 367 |   |
| Depreciation                  and amortization                                                                          | ** **                                      | **84** |   |   |   | 81 |   |   | ** ** | **171** |   |   |   | 161 |   |
|     Taxes                  other than income taxes                                                  | ** **                                      | **60** |   |   |   | 59 |   |   | ** ** | **117** |   |   |   | 118 |   |
| Total                  operating expenses                                                                               | ** **                                      | **553** |   |   |   | 540 |   |   | ** ** | **1,128** |   |   |   | 1,086 |   |
| **Operating                  Income**                                                                                   | ** **                                      | **144** |   |   |   | 170 |   |   | ** ** | **219** |   |   |   | 260 |   |
| **Other                  Income and Expenses:**                                                                         |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                  income                                                                                   | ** **                                      | **12** |   |   |   | 8 |   |   | ** ** | **20** |   |   |   | 12 |   |
| Miscellaneous                  expense                                                                                  | ** **                                      | **(6** | **)** |   |   | (2 | ) |   | ** ** | **(8** | **)** |   |   | (4 | ) |
| Total                  other income                                                                                     | ** **                                      | **6** |   |   |   | 6 |   |   | ** ** | **12** |   |   |   | 8 |   |
| **Interest                  Charges**                                                                                   | ** **                                      | **51** |   |   |   | 44 |   |   | ** ** | **97** |   |   |   | 80 |   |
| **Income                  Before Income Taxes and Equity**                                                              |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **   in                  Income of Unconsolidated Investment**                                           | ** **                                      | **99** |   |   |   | 132 |   |   | ** ** | **134** |   |   |   | 188 |   |
| **Income                  Taxes**                                                                                       | ** **                                      | **30** |   |   |   | 50 |   |   | ** ** | **41** |   |   |   | 69 |   |
| **Income                  Before Equity in Income**                                                                     |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **   of                  Unconsolidated Investment**                                                     | ** **                                      | **69** |   |   |   | 82 |   |   | ** ** | **93** |   |   |   | 119 |   |
| **Equity                  in Income of Unconsolidated Investment,**                                                     |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **   Net                  of Taxes**                                                                     | ** **                                      | **12** |   |   |   | 10 |   |   | ** ** | **26** |   |   |   | 24 |   |
| **Net                  Income**                                                                                         | ** **                                      | **81** |   |   |   | 92 |   |   | ** ** | **119** |   |   |   | 143 |   |
| **Preferred                  Stock Dividends**                                                                          | ** **                                      | **2** |   |   |   | 2 |   |   | ** ** | **3** |   |   |   | 3 |   |
| **Net                  Income Available to Common Stockholder**                                                         | **$**                                           | **79** |   |   | $ | 90 |   |   | **$** | **116** |   |   | $ | 140 |   |

**The        accompanying notes as they relate to UE are an integral part of these        consolidated financial statements.**

----

| **UNION                  ELECTRIC COMPANY**                                                        |                          |
|------------------------------------------------------------------------------------------------------------------------|-------------------------------|
| ** CONSOLIDATED                  BALANCE SHEET**                                              |                          |
| **(Unaudited)                  (In millions, except per share amounts)**                           |                          |
|                                                                                                                   |                          |   |   |   |   |
|                                                                                                                   | **June                  30,** |   |   | **December                  31,** |   |
|                                                                                                                   | **2007**                      |   |   | **2006** |   |
| **ASSETS**                                                                                                             |                          |   |   |   |   |
| **Current                  Assets:**                                                                                   |                          |   |   |   |   |
| Cash                  and cash equivalents                                                                             | **$**                         | **209** |   |   | $ | 1 |   |
| Accounts                  receivable – trade (less allowance for doubtful                                        |                          |   |   |   |   |   |   |
| accounts                  of $8 and $6, respectively)                                                                  | ** **                    | **220** |   |   |   | 145 |   |
| Unbilled                  revenue                                                                                      | ** **                    | **157** |   |   |   | 120 |   |
| Miscellaneous                  accounts and notes receivable                                                           | ** **                    | **164** |   |   |   | 128 |   |
| Advances                  to money pool                                                                                | ** **                    | **12** |   |   |   | 18 |   |
| Accounts                  receivable – affiliates                                                                | ** **                    | **59** |   |   |   | 33 |   |
| Materials                  and supplies                                                                                | ** **                    | **267** |   |   |   | 236 |   |
| Other                  current assets                                                                                  | ** **                    | **56** |   |   |   | 45 |   |
| Total                  current assets                                                                                  | ** **                    | **1,144** |   |   |   | 726 |   |
| **Property                  and Plant, Net**                                                                           | ** **                    | **8,000** |   |   |   | 7,882 |   |
| **Investments                  and Other Assets:**                                                                     |                          |   |   |   |   |   |   |
| Nuclear                  decommissioning trust fund                                                                    | ** **                    | **301** |   |   |   | 285 |   |
| Intangible                  assets                                                                                     | ** **                    | **58** |   |   |   | 58 |   |
| Other                  assets                                                                                          | ** **                    | **474** |   |   |   | 526 |   |
| Regulatory                  assets                                                                                     | ** **                    | **790** |   |   |   | 810 |   |
| Total                  investments and other assets                                                                    | ** **                    | **1,623** |   |   |   | 1,679 |   |
| **TOTAL                  ASSETS**                                                                                      | **$**                         | **10,767** |   |   | $ | 10,287 |   |
|                                                                                                                   |                          |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS' EQUITY**                                                              |                          |   |   |   |   |   |   |
| **Current                  Liabilities:**                                                                              |                          |   |   |   |   |   |   |
| Current                  maturities of long-term debt                                                                  | **$**                         | **152** |   |   | $ | 5 |   |
| Short-term                  debt                                                                                       | ** **                    | **426** |   |   |   | 234 |   |
| Intercompany                  note payable – Ameren                                                              | ** **                    | **37** |   |   |   | 77 |   |
| Accounts                  and wages payable                                                                            | ** **                    | **159** |   |   |   | 313 |   |
| Accounts                  payable – affiliates                                                                   | ** **                    | **114** |   |   |   | 185 |   |
| Taxes                  accrued                                                                                         | ** **                    | **142** |   |   |   | 66 |   |
| Other                  current liabilities                                                                             | ** **                    | **229** |   |   |   | 191 |   |
| Total                  current liabilities                                                                             | ** **                    | **1,259** |   |   |   | 1,071 |   |
| **Long-term                  Debt, Net**                                                                               | ** **                    | **3,212** |   |   |   | 2,934 |   |
| **Deferred                  Credits and Other Liabilities:**                                                           |                          |   |   |   |   |   |   |
| Accumulated                  deferred income taxes, net                                                                | ** **                    | **1,273** |   |   |   | 1,293 |   |
| Accumulated                  deferred investment tax credits                                                           | ** **                    | **86** |   |   |   | 89 |   |
| Regulatory                  liabilities                                                                                | ** **                    | **838** |   |   |   | 827 |   |
| Asset                  retirement obligations                                                                          | ** **                    | **504** |   |   |   | 491 |   |
| Accrued                  pension and other postretirement benefits                                                     | ** **                    | **370** |   |   |   | 374 |   |
| Other                  deferred credits and liabilities                                                                | ** **                    | **83** |   |   |   | 55 |   |
| Total                  deferred credits and other liabilities                                                          | ** **                    | **3,154** |   |   |   | 3,129 |   |
| **Commitments                  and Contingencies (Notes 2, 8 and 9)**                                                  |                          |   |   |   |   |   |   |
| **Stockholders'                  Equity:**                                                                             |                          |   |   |   |   |   |   |
| Common                  stock, $5 par value, 150.0 shares authorized – 102.1 shares                  outstanding | ** **                    | **511** |   |   |   | 511 |   |
| Preferred                  stock not subject to mandatory redemption                                                   | ** **                    | **113** |   |   |   | 113 |   |
| Other                  paid-in capital, principally premium on common stock                                            | ** **                    | **739** |   |   |   | 739 |   |
| Retained                  earnings                                                                                     | ** **                    | **1,775** |   |   |   | 1,783 |   |
| Accumulated                  other comprehensive income                                                                | ** **                    | **4** |   |   |   | 7 |   |
| Total                  stockholders' equity                                                                            | ** **                    | **3,142** |   |   |   | 3,153 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDERS' EQUITY**                                                        | **$**                         | **10,767** |   |   | $ | 10,287 |   |

**The        accompanying notes as they relate to UE are an integral part of these        consolidated financial statements**

----

| **UNION                  ELECTRIC COMPANY**                     |                                                    |
|-------------------------------------------------------------------------------------|---------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF CASH FLOWS**       |                                                    |
| **(Unaudited)                  (In millions)**                  |                                                    |
|                                                                                |                                                    |   |   |   |   |
|                                                                                | **Six                  Months Ended**    |   |
|                                                                                | **June                  30,**            |   |
|                                                                                | **2007**                                                |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                          |                                                    |   |   |   |   |
| Net                  income                                                         | **$**                                                   | **119** |   |   | $ | 143 |   |
| Adjustments                  to reconcile net income to net cash                    |                                                    |   |   |   |   |   |   |
| provided                  by operating activities:                                  |                                                    |   |   |   |   |   |   |
| Depreciation                  and amortization                                      | ** **                                              | **171** |   |   |   | 161 |   |
| Amortization                  of nuclear fuel                                       | ** **                                              | **15** |   |   |   | 16 |   |
| Amortization                  of debt issuance costs and premium/discounts          | ** **                                              | **3** |   |   |   | 3 |   |
| Deferred                  income taxes and investment tax credits, net              | ** **                                              | **15** |   |   |   | 11 |   |
| Other                                                                               | ** **                                              | **-** |   |   |   | (5 | ) |
| Changes                  in assets and liabilities:                                 |                                                    |   |   |   |   |   |   |
| Receivables                                                                         | ** **                                              | **(174** | **)** |   |   | (15 | ) |
| Materials                  and supplies                                             | ** **                                              | **(31** | **)** |   |   | (13 | ) |
| Accounts                  and wages payable                                         | ** **                                              | **(136** | **)** |   |   | (180 | ) |
| Taxes                  accrued                                                      | ** **                                              | **76** |   |   |   | 54 |   |
| Assets,                  other                                                      | ** **                                              | **55** |   |   |   | 30 |   |
| Liabilities,                  other                                                 | ** **                                              | **17** |   |   |   | 35 |   |
| Pension                  and other postretirement obligations                       | ** **                                              | **15** |   |   |   | 18 |   |
| Net                  cash provided by operating activities                          | ** **                                              | **145** |   |   |   | 258 |   |
| **Cash                  Flows From Investing Activities:**                          |                                                    |   |   |   |   |   |   |
| Capital                  expenditures                                               | ** **                                              | **(355** | **)** |   |   | (222 | ) |
| CT                  acquisitions                                                    | ** **                                              | **-** |   |   |   | (292 | ) |
| Nuclear                  fuel expenditures                                          | ** **                                              | **(24** | **)** |   |   | (25 | ) |
| Changes                  in money pool advances                                     | ** **                                              | **6** |   |   |   | - |   |
| Proceeds                  from intercompany note receivable – CIPS            | ** **                                              | **-** |   |   |   | 67 |   |
| Purchases                  of securities – nuclear decommissioning trust fund | ** **                                              | **(75** | **)** |   |   | (53 | ) |
| Sales                  of securities – nuclear decommissioning trust fund     | ** **                                              | **65** |   |   |   | 48 |   |
| Sales                  of emission allowances                                       | ** **                                              | **2** |   |   |   | 2 |   |
| Net                  cash used in investing activities                              | ** **                                              | **(381** | **)** |   |   | (475 | ) |
| **Cash                  Flows From Financing Activities:**                          |                                                    |   |   |   |   |   |   |
| Dividends                  on common stock                                          | ** **                                              | **(127** | **)** |   |   | (84 | ) |
| Dividends                  on preferred stock                                       | ** **                                              | **(3** | **)** |   |   | (3 | ) |
| Capital                  issuance costs                                             | ** **                                              | **(3** | **)** |   |   | - |   |
| Short-term                  debt, net                                               | ** **                                              | **192** |   |   |   | 284 |   |
| Intercompany                  note payable – Ameren, net                      | ** **                                              | **(40** | **)** |   |   | - |   |
| Issuances                  of long-term debt                                        | ** **                                              | **425** |   |   |   | - |   |
| Capital                  contribution from parent                                   | ** **                                              | **-** |   |   |   | 1 |   |
| Net                  cash provided by financing activities                          | ** **                                              | **444** |   |   |   | 198 |   |
| Net                  change in cash and cash equivalents                            | ** **                                              | **208** |   |   |   | (19 | ) |
| Cash                  and cash equivalents at beginning of year                     | ** **                                              | **1** |   |   |   | 20 |   |
| Cash                  and cash equivalents at end of period                         | **$**                                                   | **209** |   |   | $ | 1 |   |

**The        accompanying notes as they relate to UE are an integral part of these        consolidated financial statements.**

----

| **CENTRAL                  ILLINOIS PUBLIC SERVICE COMPANY**           |                                            |
|--------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------|
| **STATEMENT                  OF INCOME**                               |                                            |
| **(Unaudited)                  (In millions)**                         |                                            |
|                                                                                                                     |                                            |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                     | **Three                  Months Ended**         |   |   | **Six                  Months Ended** |   |
|                                                                                                                     | **June                  30,**    |   |   | **June                  30,**    |   |
|                                                                                                                     | **2007**                                        |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues:**                                                                                 |                                            |   |   |   |   |   |   |   |   |   |   |
| Electric                                                                                                                 | **$**                                           | **193** |   |   | $ | 181 |   |   | **$** | **404** |   |   | $ | 341 |   |
| Gas                                                                                                                      | ** **                                      | **36** |   |   |   | 30 |   |   | ** ** | **137** |   |   |   | 127 |   |
| Other                                                                                                                    | ** **                                      | **-** |   |   |   | 1 |   |   | ** ** | **2** |   |   |   | 1 |   |
| Total                  operating revenues                                                                                | ** **                                      | **229** |   |   |   | 212 |   |   | ** ** | **543** |   |   |   | 469 |   |
| **Operating                  Expenses:**                                                                                 |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Purchased                  power                                                                                         | ** **                                      | **127** |   |   |   | 113 |   |   | ** ** | **277** |   |   |   | 230 |   |
| Gas                  purchased for resale                                                                                | ** **                                      | **21** |   |   |   | 16 |   |   | ** ** | **95** |   |   |   | 88 |   |
| Other                  operations and maintenance                                                                        | ** **                                      | **41** |   |   |   | 38 |   |   | ** ** | **84** |   |   |   | 76 |   |
| Depreciation                  and amortization                                                                           | ** **                                      | **16** |   |   |   | 15 |   |   | ** ** | **33** |   |   |   | 31 |   |
| Taxes                  other than income taxes                                                                           | ** **                                      | **9** |   |   |   | 9 |   |   | ** ** | **18** |   |   |   | 21 |   |
| Total                  operating expenses                                                                                | ** **                                      | **214** |   |   |   | 191 |   |   | ** ** | **507** |   |   |   | 446 |   |
| **Operating                  Income**                                                                                    | ** **                                      | **15** |   |   |   | 21 |   |   | ** ** | **36** |   |   |   | 23 |   |
| **Other                  Income and Expenses:**                                                                          |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                  income                                                                                    | ** **                                      | **5** |   |   |   | 4 |   |   | ** ** | **8** |   |   |   | 9 |   |
| Miscellaneous                  expense                                                                                   | ** **                                      | **(1** | **)** |   |   | - |   |   | ** ** | **(1** | **)** |   |   | (1 | ) |
| Total                  other income                                                                                      | ** **                                      | **4** |   |   |   | 4 |   |   | ** ** | **7** |   |   |   | 8 |   |
| **Interest                  Charges**                                                                                    | ** **                                      | **10** |   |   |   | 8 |   |   | ** ** | **18** |   |   |   | 15 |   |
| **Income                  Before Income Taxes**                                                                          | ** **                                      | **9** |   |   |   | 17 |   |   | ** ** | **25** |   |   |   | 16 |   |
| **Income                  Taxes**                                                                                        | ** **                                      | **4** |   |   |   | 2 |   |   | ** ** | **9** |   |   |   | 2 |   |
| **Net                  Income**                                                                                          | ** **                                      | **5** |   |   |   | 15 |   |   | ** ** | **16** |   |   |   | 14 |   |
| **Preferred                  Stock Dividends**                                                                           | ** **                                      | **-** |   |   |   | - |   |   | ** ** | **1** |   |   |   | 1 |   |
| **Net                  Income Available to Common Stockholder**                                                          | **$**                                           | **5** |   |   | $ | 15 |   |   | **$** | **15** |   |   | $ | 13 |   |

**The        accompanying notes as they relate to CIPS are an integral part of these        consolidated financial statements.**

----

| **CENTRAL                  ILLINOIS PUBLIC SERVICE COMPANY**                                     |                          |
|----------------------------------------------------------------------------------------------------------------------|-------------------------------|
| ** BALANCE                  SHEET**                                                         |                          |
| **(Unaudited)                  (In millions)**                                                   |                          |
|                                                                                                                 |                          |   |   |   |   |
|                                                                                                                 | **June                  30,** |   |   | **December                  31,** |   |
|                                                                                                                 | **2007**                      |   |   | **2006** |   |
| **ASSETS**                                                                                                           |                          |   |   |   |   |
| **Current                  Assets:**                                                                                 |                          |   |   |   |   |
| Cash                  and cash equivalents                                                                           | **$**                         | **148** |   |   | $ | 6 |   |
| Accounts                  receivable – trade (less allowance for doubtful                                      |                          |   |   |   |   |   |   |
| accounts                  of $8 and $2, respectively)                                                                | ** **                    | **65** |   |   |   | 55 |   |
| Unbilled                  revenue                                                                                    | ** **                    | **32** |   |   |   | 43 |   |
| Accounts                  receivable – affiliates                                                              | ** **                    | **2** |   |   |   | 10 |   |
| Current                  portion of intercompany note receivable – Genco                                       | ** **                    | **39** |   |   |   | 37 |   |
| Current                  portion of intercompany tax receivable – Genco                                        | ** **                    | **9** |   |   |   | 9 |   |
| Advances                  to money pool                                                                              | ** **                    | **-** |   |   |   | 1 |   |
| Materials                  and supplies                                                                              | ** **                    | **51** |   |   |   | 71 |   |
| Other                  current assets                                                                                | ** **                    | **43** |   |   |   | 46 |   |
| Total                  current assets                                                                                | ** **                    | **389** |   |   |   | 278 |   |
| **Property                  and Plant, Net**                                                                         | ** **                    | **1,160** |   |   |   | 1,155 |   |
| **Investments                  and Other Assets:**                                                                   |                          |   |   |   |   |   |   |
| Intercompany                  note receivable – Genco                                                          | ** **                    | **87** |   |   |   | 126 |   |
| Intercompany                  tax receivable – Genco                                                           | ** **                    | **111** |   |   |   | 115 |   |
| Other                  assets                                                                                        | ** **                    | **29** |   |   |   | 27 |   |
| Regulatory                  assets                                                                                   | ** **                    | **134** |   |   |   | 146 |   |
| Total                  investments and other assets                                                                  | ** **                    | **361** |   |   |   | 414 |   |
| **TOTAL                  ASSETS**                                                                                    | **$**                         | **1,910** |   |   | $ | 1,847 |   |
|                                                                                                                 |                          |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS' EQUITY**                                                            |                          |   |   |   |   |   |   |
| **Current                  Liabilities:**                                                                            |                          |   |   |   |   |   |   |
| Short-term                  debt                                                                                     | **$**                         | **135** |   |   | $ | 35 |   |
| Accounts                  and wages payable                                                                          | ** **                    | **44** |   |   |   | 36 |   |
| Accounts                  payable – affiliates                                                                 | ** **                    | **39** |   |   |   | 81 |   |
| Taxes                  accrued                                                                                       | ** **                    | **6** |   |   |   | 10 |   |
| Other                  current liabilities                                                                           | ** **                    | **34** |   |   |   | 36 |   |
| Total                  current liabilities                                                                           | ** **                    | **258** |   |   |   | 198 |   |
| **Long-term                  Debt, Net**                                                                             | ** **                    | **471** |   |   |   | 471 |   |
| **Deferred                  Credits and Other Liabilities:**                                                         |                          |   |   |   |   |   |   |
| Accumulated                  deferred income taxes and investment tax credits, net                                   | ** **                    | **275** |   |   |   | 297 |   |
| Regulatory                  liabilities                                                                              | ** **                    | **221** |   |   |   | 224 |   |
| Accrued                  pension and other postretirement benefits                                                   | ** **                    | **83** |   |   |   | 90 |   |
| Other                  deferred credits and liabilities                                                              | ** **                    | **44** |   |   |   | 24 |   |
| Total                  deferred credits and other liabilities                                                        | ** **                    | **623** |   |   |   | 635 |   |
| **Commitments                  and Contingencies (Notes 2 and 8)**                                                   |                          |   |   |   |   |   |   |
| **Stockholders'                  Equity:**                                                                           |                          |   |   |   |   |   |   |
| Common                  stock, no par value, 45.0 shares authorized – 25.5 shares                  outstanding | ** **                    | **-** |   |   |   | - |   |
| Other                  paid-in capital                                                                               | ** **                    | **190** |   |   |   | 190 |   |
| Preferred                  stock not subject to mandatory redemption                                                 | ** **                    | **50** |   |   |   | 50 |   |
| Retained                  earnings                                                                                   | ** **                    | **317** |   |   |   | 302 |   |
| Accumulated                  other comprehensive income                                                              | ** **                    | **1** |   |   |   | 1 |   |
| Total                  stockholders' equity                                                                          | ** **                    | **558** |   |   |   | 543 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDERS' EQUITY**                                                      | **$**                         | **1,910** |   |   | $ | 1,847 |   |

**The        accompanying notes as they relate to CIPS are an integral part of these        consolidated financial statements.**

----

| **CENTRAL                  ILLINOIS PUBLIC SERVICE COMPANY**     |                                            |
|--------------------------------------------------------------------------------------|-------------------------------------------------|
| **STATEMENT                  OF CASH FLOWS**                     |                                            |
| **(Unaudited)                  (In millions)**                   |                                            |
|                                                                                 |                                            |   |   |   |   |
|                                                                                 | **Six                  Months Ended**           |   |
|                                                                                 | **June                  30,**    |   |
|                                                                                 | **2007**                                        |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                           |                                            |   |   |   |   |
| Net                  income                                                          | **$**                                           | **16** |   |   | $ | 14 |   |
| Adjustments                  to reconcile net income to net cash                     |                                            |   |   |   |   |   |   |
| provided                  by operating activities:                                   |                                            |   |   |   |   |   |   |
| Depreciation                  and amortization                                       | ** **                                      | **33** |   |   |   | 31 |   |
| Amortization                  of debt issuance costs and premium/discounts           | ** **                                      | **1** |   |   |   | - |   |
| Deferred                  income taxes and investment tax credits, net               | ** **                                      | **(10** | **)** |   |   | (16 | ) |
| Other                                                                                | ** **                                      | **-** |   |   |   | (1 | ) |
| Changes                  in assets and liabilities:                                  |                                            |   |   |   |   |   |   |
| Receivables                                                                          | ** **                                      | **13** |   |   |   | 39 |   |
| Materials                  and supplies                                              | ** **                                      | **20** |   |   |   | 21 |   |
| Accounts                  and wages payable                                          | ** **                                      | **(30** | **)** |   |   | (8 | ) |
| Taxes                  accrued                                                       | ** **                                      | **(4** | **)** |   |   | (19 | ) |
| Assets,                  other                                                       | ** **                                      | **6** |   |   |   | 22 |   |
| Liabilities,                  other                                                  | ** **                                      | **(4** | **)** |   |   | (3 | ) |
| Pension                  and other postretirement obligations                        | ** **                                      | **3** |   |   |   | - |   |
| Net                  cash provided by operating activities                           | ** **                                      | **44** |   |   |   | 80 |   |
| **Cash                  Flows From Investing Activities:**                           |                                            |   |   |   |   |   |   |
| Capital                  expenditures                                                | ** **                                      | **(39** | **)** |   |   | (41 | ) |
| Proceeds                  from intercompany note receivable – Genco            | ** **                                      | **37** |   |   |   | 34 |   |
| Changes                  in money pool advances                                      | ** **                                      | **1** |   |   |   | (17 | ) |
| Net                  cash used in investing activities                               | ** **                                      | **(1** | **)** |   |   | (24 | ) |
| **Cash                  Flows From Financing Activities:**                           |                                            |   |   |   |   |   |   |
| Dividends                  on common stock                                           | ** **                                      | **-** |   |   |   | (25 | ) |
| Dividends                  on preferred stock                                        | ** **                                      | **(1** | **)** |   |   | (1 | ) |
| Capital                  issuance costs                                              | ** **                                      | **-** |   |   |   | (1 | ) |
| Short-term                  debt, net                                                | ** **                                      | **100** |   |   |   | - |   |
| Changes                  in money pool borrowings                                    | ** **                                      | **-** |   |   |   | (2 | ) |
| Redemptions,                  repurchases, and maturities:                           |                                            |   |   |   |   |   |   |
| Long-term                  debt                                                      | ** **                                      | **-** |   |   |   | (20 | ) |
| Intercompany                  note payable – UE                                | ** **                                      | **-** |   |   |   | (67 | ) |
| Issuances                  of long-term debt                                         | ** **                                      | **-** |   |   |   | 61 |   |
| Net                  cash provided by (used in) financing activities                 | ** **                                      | **99** |   |   |   | (55 | ) |
| Net                  change in cash and cash equivalents                             | ** **                                      | **142** |   |   |   | 1 |   |
| Cash                  and cash equivalents at beginning of year                      | ** **                                      | **6** |   |   |   | - |   |
| Cash                  and cash equivalents at end of period                          | **$**                                           | **148** |   |   | $ | 1 |   |

**The        accompanying notes as they relate to CIPS are an integral part of these        consolidated financial statements.**

----

| **AMEREN                  ENERGY GENERATING COMPANY**           |                                            |
|-------------------------------------------------------------------------------------------------------------------|-------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF INCOME**           |                                            |
| **(Unaudited)                  (In millions)**                  |                                            |
|                                                                                                              |                                            |   |   |   |   |   |   |   |   |   |   |
|                                                                                                              | **Three                  Months Ended**         |   |   | **Six                  Months Ended** |   |
|                                                                                                              | **June                  30,**    |   |   | **June                  30,**    |   |
|                                                                                                              | **2007**                                        |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues**                                                                           | **$**                                           | **185** |   |   | $ | 238 |   |   | **$** | **428** |   |   | $ | 485 |   |
| **Operating                  Expenses:**                                                                          |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fuel                                                                                                              | ** **                                      | **74** |   |   |   | 61 |   |   | ** ** | **155** |   |   |   | 130 |   |
| Purchased                  power                                                                                  | ** **                                      | **(1** | **)** |   |   | 89 |   |   | ** ** | **20** |   |   |   | 185 |   |
| Other                  operations and maintenance                                                                 | ** **                                      | **49** |   |   |   | 47 |   |   | ** ** | **83** |   |   |   | 79 |   |
| Depreciation                  and amortization                                                                    | ** **                                      | **18** |   |   |   | 17 |   |   | ** ** | **36** |   |   |   | 35 |   |
| Taxes                  other than income taxes                                                                    | ** **                                      | **4** |   |   |   | 5 |   |   | ** ** | **10** |   |   |   | 11 |   |
| Total                  operating expenses                                                                         | ** **                                      | **144** |   |   |   | 219 |   |   | ** ** | **304** |   |   |   | 440 |   |
| **Operating                  Income**                                                                             | ** **                                      | **41** |   |   |   | 19 |   |   | ** ** | **124** |   |   |   | 45 |   |
| **Miscellaneous                  Income**                                                                         | ** **                                      | **1** |   |   |   | - |   |   | ** ** | **1** |   |   |   | - |   |
| **Interest                  Charges**                                                                             | ** **                                      | **14** |   |   |   | 15 |   |   | ** ** | **28** |   |   |   | 30 |   |
| **Income                  Before Income Taxes**                                                                   | ** **                                      | **28** |   |   |   | 4 |   |   | ** ** | **97** |   |   |   | 15 |   |
| **Income                  Taxes**                                                                                 | ** **                                      | **11** |   |   |   | 2 |   |   | ** ** | **37** |   |   |   | 7 |   |
| **Net                  Income**                                                                                   | **$**                                           | **17** |   |   | $ | 2 |   |   | **$** | **60** |   |   | $ | 8 |   |
|                                                                                                              |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

**The        accompanying notes as they relate to Genco are an integral part of these        consolidated financial statements.**

----

| **AMEREN                  ENERGY GENERATING COMPANY**                                               |                          |
|-------------------------------------------------------------------------------------------------------------------------|-------------------------------|
| **CONSOLIDATED                  BALANCE SHEET**                                                     |                          |
| **(Unaudited)                  (In millions, except shares)**                                       |                          |
|                                                                                                                    |                          |   |   |   |   |
|                                                                                                                    | **June                  30,** |   |   | **December                  31,** |   |
|                                                                                                                    | **2007**                      |   |   | **2006** |   |
| **ASSETS**                                                                                                              |                          |   |   |   |   |
| **Current                  Assets:**                                                                                    |                          |   |   |   |   |
| Cash                  and cash equivalents                                                                              | **$**                         | **1** |   |   | $ | 1 |   |
| Accounts                  receivable – affiliates                                                                 | ** **                    | **100** |   |   |   | 96 |   |
| Accounts                  receivable – trade                                                                      | ** **                    | **5** |   |   |   | 19 |   |
| Materials                  and supplies                                                                                 | ** **                    | **97** |   |   |   | 96 |   |
| Other                  current assets                                                                                   | ** **                    | **29** |   |   |   | 5 |   |
| Total                  current assets                                                                                   | ** **                    | **232** |   |   |   | 217 |   |
| **Property                  and Plant, Net**                                                                            | ** **                    | **1,558** |   |   |   | 1,539 |   |
| **Intangible                  Assets**                                                                                  | ** **                    | **64** |   |   |   | 74 |   |
| **Other                  Assets**                                                                                       | ** **                    | **18** |   |   |   | 20 |   |
| **TOTAL                  ASSETS**                                                                                       | **$**                         | **1,872** |   |   | $ | 1,850 |   |
|                                                                                                                    |                          |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDER'S EQUITY**                                                               |                          |   |   |   |   |   |   |
| **Current                  Liabilities:**                                                                               |                          |   |   |   |   |   |   |
| Current                  portion of intercompany note payable – CIPS                                              | **$**                         | **39** |   |   | $ | 37 |   |
| Borrowings                  from money pool                                                                             | ** **                    | **239** |   |   |   | 123 |   |
| Accounts                  and wages payable                                                                             | ** **                    | **36** |   |   |   | 52 |   |
| Accounts                  payable – affiliates                                                                    | ** **                    | **73** |   |   |   | 66 |   |
| Current                  portion of intercompany tax payable – CIPS                                               | ** **                    | **9** |   |   |   | 9 |   |
| Taxes                  accrued                                                                                          | ** **                    | **20** |   |   |   | 22 |   |
| Other                  current liabilities                                                                              | ** **                    | **21** |   |   |   | 22 |   |
| Total                  current liabilities                                                                              | ** **                    | **437** |   |   |   | 331 |   |
| **Long-term                  Debt, Net**                                                                                | ** **                    | **474** |   |   |   | 474 |   |
| **Intercompany                  Note Payable – CIPS**                                                             | ** **                    | **87** |   |   |   | 126 |   |
| **Deferred                  Credits and Other Liabilities:**                                                            |                          |   |   |   |   |   |   |
| Accumulated                  deferred income taxes, net                                                                 | ** **                    | **146** |   |   |   | 165 |   |
| Accumulated                  deferred investment tax credits                                                            | ** **                    | **8** |   |   |   | 9 |   |
| Intercompany                  tax payable – CIPS                                                                  | ** **                    | **111** |   |   |   | 115 |   |
| Asset                  retirement obligations                                                                           | ** **                    | **32** |   |   |   | 31 |   |
| Accrued                  pension and other postretirement benefits                                                      | ** **                    | **40** |   |   |   | 34 |   |
| Other                  deferred credits and liabilities                                                                 | ** **                    | **31** |   |   |   | 2 |   |
| Total                  deferred credits and other liabilities                                                           | ** **                    | **368** |   |   |   | 356 |   |
| **Commitments                  and Contingencies (Notes 2 and 8)**                                                      |                          |   |   |   |   |   |   |
| **Stockholder's                  Equity:**                                                                              |                          |   |   |   |   |   |   |
| Common                  stock, no par value, 10,000 shares authorized – 2,000 shares                  outstanding | ** **                    | **-** |   |   |   | - |   |
| Other                  paid-in capital                                                                                  | ** **                    | **428** |   |   |   | 428 |   |
| Retained                  earnings                                                                                      | ** **                    | **103** |   |   |   | 156 |   |
| Accumulated                  other comprehensive loss                                                                   | ** **                    | **(25** | **)** |   |   | (21 | ) |
| Total                  stockholder's equity                                                                             | ** **                    | **506** |   |   |   | 563 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDER'S EQUITY**                                                         | **$**                         | **1,872** |   |   | $ | 1,850 |   |

**The        accompanying notes as they relate to Genco are an integral part of these        consolidated financial statements.**

----

| **AMEREN                  ENERGY GENERATING COMPANY**         |                                                    |
|-----------------------------------------------------------------------------------|---------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF CASH FLOWS**     |                                                    |
| **(Unaudited)                  (In millions)**           |
|                                                                              |                                                    |   |   |   |   |
|                                                                              | **Six                  Months Ended**    |   |
|                                                                              | **June                  30,**            |   |
|                                                                              | **2007**                                                |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                        |                                                    |   |   |   |   |
| Net                  income                                                       | **$**                                                   | **60** |   |   | $ | 8 |   |
| Adjustments                  to reconcile net income to net cash                  |                                                    |   |   |   |   |   |   |
| provided                  by operating activities:                                |                                                    |   |   |   |   |   |   |
| Gain                  on sales of emission allowances                             | ** **                                              | **(1** | **)** |   |   | - |   |
| Depreciation                  and amortization                                    | ** **                                              | **52** |   |   |   | 51 |   |
| Deferred                  income taxes and investment tax credits, net            | ** **                                              | **8** |   |   |   | (8 | ) |
| Other                                                                             | ** **                                              | **1** |   |   |   | (1 | ) |
| Changes                  in assets and liabilities:                               |                                                    |   |   |   |   |   |   |
| Receivables                                                                       | ** **                                              | **10** |   |   |   | 27 |   |
| Materials                  and supplies                                           | ** **                                              | **(1** | **)** |   |   | (26 | ) |
| Accounts                  and wages payable                                       | ** **                                              | **13** |   |   |   | 36 |   |
| Taxes                  accrued, net                                               | ** **                                              | **(2** | **)** |   |   | (23 | ) |
| Assets,                  other                                                    | ** **                                              | **(26** | **)** |   |   | - |   |
| Liabilities,                  other                                               | ** **                                              | **(2** | **)** |   |   | (4 | ) |
| Pension                  and other postretirement obligations                     | ** **                                              | **3** |   |   |   | 3 |   |
| Net                  cash provided by operating activities                        | ** **                                              | **115** |   |   |   | 63 |   |
| **Cash                  Flows From Investing Activities:**                        |                                                    |   |   |   |   |   |   |
| Capital                  expenditures                                             | ** **                                              | **(77** | **)** |   |   | (39 | ) |
| Purchases                  of emission allowances                                 | ** **                                              | **(5** | **)** |   |   | (26 | ) |
| Sales                  of emission allowances                                     | ** **                                              | **1** |   |   |   | 1 |   |
| Net                  cash used in investing activities                            | ** **                                              | **(81** | **)** |   |   | (64 | ) |
| **Cash                  Flows From Financing Activities:**                        |                                                    |   |   |   |   |   |   |
| Dividends                  on common stock                                        | ** **                                              | **(113** | **)** |   |   | (71 | ) |
| Changes                  in money pool borrowings                                 | ** **                                              | **116** |   |   |   | 57 |   |
| Intercompany                  notes payable – CIPS                          | ** **                                              | **(37** | **)** |   |   | (34 | ) |
| Capital                  contribution from parent                                 | ** **                                              | **-** |   |   |   | 50 |   |
| Net                  cash provided by (used in) financing activities              | ** **                                              | **(34** | **)** |   |   | 2 |   |
| Net                  change in cash and cash equivalents                          | ** **                                              | **-** |   |   |   | 1 |   |
| Cash                  and cash equivalents at beginning of year                   | ** **                                              | **1** |   |   |   | - |   |
| Cash                  and cash equivalents at end of period                       | **$**                                                   | **1** |   |   | $ | 1 |   |
|                                                                              |                                                    |   |   |   |   |   |   |

**The        accompanying notes as they relate to Genco are an integral part of these        consolidated financial statements.**

----

| **CILCORP                  INC.**                               |                                                                 |
|-------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF INCOME**           |                                                                 |
| **(Unaudited)                  (In millions)**                  |                                                                 |
|                                                                                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |
|                                                                                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |
|                                                                                                              | **Three                  Months Ended****June                  30,** |   |   | **Six                  Months Ended****June                  30,** |   |
|                                                                                                              | **2007**                                                             |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues:**                                                                          |                                                                 |   |   |   |   |   |   |   |   |   |   |
| Electric                                                                                                          | **$**                                                                | **162** |   |   | $ | 98 |   |   | **$** | **337** |   |   | $ | 190 |   |
| Gas                                                                                                               | ** **                                                           | **60** |   |   |   | 48 |   |   | ** ** | **195** |   |   |   | 198 |   |
| Other                                                                                                             | ** **                                                           | **1** |   |   |   | - |   |   | ** ** | **1** |   |   |   | - |   |
| Total                  operating revenues                                                                         | ** **                                                           | **223** |   |   |   | 146 |   |   | ** ** | **533** |   |   |   | 388 |   |
| **Operating                  Expenses:**                                                                          |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fuel                                                                                                              | ** **                                                           | **14** |   |   |   | 29 |   |   | ** ** | **37** |   |   |   | 53 |   |
| Purchased                  power                                                                                  | ** **                                                           | **61** |   |   |   | 6 |   |   | ** ** | **133** |   |   |   | 8 |   |
| Gas                  purchased for resale                                                                         | ** **                                                           | **42** |   |   |   | 32 |   |   | ** ** | **145** |   |   |   | 151 |   |
| Other                  operations and maintenance                                                                 | ** **                                                           | **45** |   |   |   | 48 |   |   | ** ** | **87** |   |   |   | 93 |   |
| Depreciation                  and amortization                                                                    | ** **                                                           | **19** |   |   |   | 19 |   |   | ** ** | **38** |   |   |   | 37 |   |
| Taxes                  other than income taxes                                                                    | ** **                                                           | **6** |   |   |   | 4 |   |   | ** ** | **14** |   |   |   | 13 |   |
| Total                  operating expenses                                                                         | ** **                                                           | **187** |   |   |   | 138 |   |   | ** ** | **454** |   |   |   | 355 |   |
| **    Operating                  Income**                                                     | ** **                                                           | **36** |   |   |   | 8 |   |   | ** ** | **79** |   |   |   | 33 |   |
| **Other                  Income and Expenses:**                                                                   |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                  income                                                                             | ** **                                                           | **-** |   |   |   | 1 |   |   | ** ** | **2** |   |   |   | 1 |   |
| Miscellaneous                  expense                                                                            | ** **                                                           | **(2** | **)** |   |   | (1 | ) |   | ** ** | **(3** | **)** |   |   | (2 | ) |
| Total                  other expenses                                                                             | ** **                                                           | **(2** | **)** |   |   | - |   |   | ** ** | **(1** | **)** |   |   | (1 | ) |
| **Interest                  Charges**                                                                             | ** **                                                           | **15** |   |   |   | 13 |   |   | ** ** | **29** |   |   |   | 25 |   |
| **Income                  (Loss) Before Income Taxes and Preferred**                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Dividends                  of Subsidiaries**                                                                    | ** **                                                           | **19** |   |   |   | (5 | ) |   | ** ** | **49** |   |   |   | 7 |   |
| **Income                  Taxes (Benefit)**                                                                       | ** **                                                           | **6** |   |   |   | (6 | ) |   | ** ** | **16** |   |   |   | (3 | ) |
| **Income                  Before Preferred Dividends of Subsidiaries**                                            | ** **                                                           | **13** |   |   |   | 1 |   |   | ** ** | **33** |   |   |   | 10 |   |
| **Preferred                  Dividends of Subsidiaries**                                                          | ** **                                                           | **1** |   |   |   | - |   |   | ** ** | **1** |   |   |   | 1 |   |
| **Net                  Income**                                                                                   | **$**                                                                | **12** |   |   | $ | 1 |   |   | **$** | **32** |   |   | $ | 9 |   |
|                                                                                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

**The        accompanying notes as they relate to CILCORP are an integral part of these        consolidated financial statements.**

----

| **CILCORP                  INC.**                                                                   |                          |
|-------------------------------------------------------------------------------------------------------------------------|-------------------------------|
| **CONSOLIDATED                  BALANCE SHEET**                                                     |                          |
| **(Unaudited)                  (In millions, except shares)**                                       |                          |
|                                                                                                                    |                          |   |   |   |   |
|                                                                                                                    | **June                  30,** |   |   | **December                  31,** |   |
|                                                                                                                    | **2007**                      |   |   | **2006** |   |
|                                                                                                                    |                          |   |   |   |   |
| **ASSETS**                                                                                                              |                          |   |   |   |   |
| **Current                  Assets:**                                                                                    |                          |   |   |   |   |
| Cash                  and cash equivalents                                                                              | **$**                         | **108** |   |   | $ | 4 |   |
| Accounts                  receivable – trade (less allowance for doubtful                                         |                          |   |   |   |   |   |   |
| accounts                  of $5 and $1, respectively)                                                                   | ** **                    | **49** |   |   |   | 47 |   |
| Unbilled                  revenue                                                                                       | ** **                    | **35** |   |   |   | 45 |   |
| Accounts                  receivable – affiliates                                                                 | ** **                    | **30** |   |   |   | 10 |   |
| Advances                  to money pool                                                                                 | ** **                    | **-** |   |   |   | 42 |   |
| Materials                  and supplies                                                                                 | ** **                    | **79** |   |   |   | 93 |   |
| Other                  current assets                                                                                   | ** **                    | **40** |   |   |   | 42 |   |
| Total                  current assets                                                                                   | ** **                    | **341** |   |   |   | 283 |   |
| **Property                  and Plant, Net**                                                                            | ** **                    | **1,357** |   |   |   | 1,277 |   |
| **Investments                  and Other Assets:**                                                                      |                          |   |   |   |   |   |   |
| Goodwill                                                                                                                | ** **                    | **542** |   |   |   | 542 |   |
| Intangible                  assets                                                                                      | ** **                    | **45** |   |   |   | 48 |   |
| Other                  assets                                                                                           | ** **                    | **19** |   |   |   | 16 |   |
| Regulatory                  assets                                                                                      | ** **                    | **56** |   |   |   | 75 |   |
| Total                  investments and other assets                                                                     | ** **                    | **662** |   |   |   | 681 |   |
| **TOTAL                  ASSETS**                                                                                       | **$**                         | **2,360** |   |   | $ | 2,241 |   |
|                                                                                                                    |                          |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDER'S EQUITY**                                                               |                          |   |   |   |   |   |   |
| **Current                  Liabilities:**                                                                               |                          |   |   |   |   |   |   |
| Current                  maturities of long-term debt                                                                   | **$**                         | **-** |   |   | $ | 50 |   |
| Short-term                  debt                                                                                        | ** **                    | **465** |   |   |   | 215 |   |
| Intercompany                  note payable – Ameren                                                               | ** **                    | **-** |   |   |   | 73 |   |
| Accounts                  and wages payable                                                                             | ** **                    | **40** |   |   |   | 54 |   |
| Accounts                  payable – affiliates                                                                    | ** **                    | **63** |   |   |   | 60 |   |
| Taxes                  accrued                                                                                          | ** **                    | **3** |   |   |   | 3 |   |
| Other                  current liabilities                                                                              | ** **                    | **48** |   |   |   | 58 |   |
| Total                  current liabilities                                                                              | ** **                    | **619** |   |   |   | 513 |   |
| **Long-term                  Debt, Net**                                                                                | ** **                    | **539** |   |   |   | 542 |   |
| **Preferred                  Stock of Subsidiary Subject to Mandatory                  Redemption**                     | ** **                    | **18** |   |   |   | 18 |   |
| **Deferred                  Credits and Other Liabilities:**                                                            |                          |   |   |   |   |   |   |
| Accumulated                  deferred income taxes, net                                                                 | ** **                    | **183** |   |   |   | 201 |   |
| Accumulated                  deferred investment tax credits                                                            | ** **                    | **7** |   |   |   | 7 |   |
| Regulatory                  liabilities                                                                                 | ** **                    | **67** |   |   |   | 73 |   |
| Accrued                  pension and other postretirement benefits                                                      | ** **                    | **151** |   |   |   | 171 |   |
| Other                  deferred credits and liabilities                                                                 | ** **                    | **55** |   |   |   | 26 |   |
| Total                  deferred credits and other liabilities                                                           | ** **                    | **463** |   |   |   | 478 |   |
| **Preferred                  Stock of Subsidiary Not Subject to Mandatory                  Redemption**                 | ** **                    | **19** |   |   |   | 19 |   |
| **Commitments                  and Contingencies (Notes 2 and 8)**                                                      |                          |   |   |   |   |   |   |
| **Stockholder's                  Equity:**                                                                              |                          |   |   |   |   |   |   |
| Common                  stock, no par value, 10,000 shares authorized – 1,000 shares                  outstanding | ** **                    | **-** |   |   |   | - |   |
| Other                  paid-in capital                                                                                  | ** **                    | **627** |   |   |   | 627 |   |
| Retained                  earnings                                                                                      | ** **                    | **43** |   |   |   | 11 |   |
| Accumulated                  other comprehensive income                                                                 | ** **                    | **32** |   |   |   | 33 |   |
| Total                  stockholder's equity                                                                             | ** **                    | **702** |   |   |   | 671 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDER'S EQUITY**                                                         | **$**                         | **2,360** |   |   | $ | 2,241 |   |
|                                                                                                                    |                          |   |   |   |   |   |   |

**The        accompanying notes as they relate to CILCORP are an integral part of these        consolidated financial statements.**

----

| **CILCORP                  INC.**                             |                                            |
|-----------------------------------------------------------------------------------|-------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF CASH FLOWS**     |                                            |
| **(Unaudited)                  (In millions)**                |                                            |
|                                                                              |                                            |   |   |   |   |
|                                                                              |                                            |   |   |   |   |
|                                                                              | **Six                  Months Ended**           |   |
|                                                                              | **June                  30,**    |   |
|                                                                              | **2007**                                        |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                        |                                            |   |   |   |   |
| Net                  income                                                       | **$**                                           | **32** |   |   | $ | 9 |   |
| Adjustments                  to reconcile net income to net cash                  |                                            |   |   |   |   |   |   |
| provided                  by operating activities:                                |                                            |   |   |   |   |   |   |
| Depreciation                  and amortization                                    | ** **                                      | **38** |   |   |   | 50 |   |
| Amortization                  of debt issuance costs and premium/discounts        | ** **                                      | **1** |   |   |   | - |   |
| Deferred                  income taxes and investment tax credits                 | ** **                                      | **(3** | **)** |   |   | (4 | ) |
| Loss                  on sale of noncore properties                               | ** **                                      | **-** |   |   |   | 4 |   |
| Other                                                                             | ** **                                      | **-** |   |   |   | (1 | ) |
| Changes                  in assets and liabilities:                               |                                            |   |   |   |   |   |   |
| Receivables                                                                       | ** **                                      | **(12** | **)** |   |   | 55 |   |
| Materials                  and supplies                                           | ** **                                      | **14** |   |   |   | 20 |   |
| Accounts                  and wages payable                                       | ** **                                      | **3** |   |   |   | (20 | ) |
| Taxes                  accrued                                                    | ** **                                      | **(3** | **)** |   |   | (13 | ) |
| Assets,                  other                                                    | ** **                                      | **(2** | **)** |   |   | 20 |   |
| Liabilities,                  other                                               | ** **                                      | **(7** | **)** |   |   | (9 | ) |
| Pension                  and postretirement benefit obligations                   | ** **                                      | **1** |   |   |   | 1 |   |
| Net                  cash provided by operating activities                        | ** **                                      | **62** |   |   |   | 112 |   |
| **Cash                  Flows From Investing Activities:**                        |                                            |   |   |   |   |   |   |
| Capital                  expenditures                                             | ** **                                      | **(127** | **)** |   |   | (48 | ) |
| Proceeds                  from note receivable – Resources Company          | ** **                                      | **-** |   |   |   | 42 |   |
| Proceeds                  from sale of noncore properties                         | ** **                                      | **-** |   |   |   | 11 |   |
| Changes                  in money pool advances                                   | ** **                                      | **42** |   |   |   | - |   |
| Purchases                  of emission allowances                                 | ** **                                      | **-** |   |   |   | (12 | ) |
| Sales                  of emission allowances                                     | ** **                                      | **-** |   |   |   | 1 |   |
| Net                  cash used in investing activities                            | ** **                                      | **(85** | **)** |   |   | (6 | ) |
| **Cash                  Flows From Financing Activities:**                        |                                            |   |   |   |   |   |   |
| Dividends                  on common stock                                        | ** **                                      | **-** |   |   |   | (50 | ) |
| Capital                  issuance costs                                           | ** **                                      | **-** |   |   |   | (1 | ) |
| Short-term                  debt, net                                             | ** **                                      | **250** |   |   |   | - |   |
| Changes                  in money pool borrowings                                 | ** **                                      | **-** |   |   |   | (89 | ) |
| Intercompany                  note payable – Ameren, net                    | ** **                                      | **(73** | **)** |   |   | (30 | ) |
| Redemptions,                  repurchases, and maturities of long-term debt       | ** **                                      | **(50** | **)** |   |   | (12 | ) |
| Issuances                  of long-term debt                                      | ** **                                      | **-** |   |   |   | 96 |   |
| Net                  cash provided by (used in) financing activities              | ** **                                      | **127** |   |   |   | (86 | ) |
|                                                                              |                                            |   |   |   |   |   |   |
| Net                  change in cash and cash equivalents                          | ** **                                      | **104** |   |   |   | 20 |   |
| Cash                  and cash equivalents at beginning of year                   | ** **                                      | **4** |   |   |   | 3 |   |
| Cash                  and cash equivalents at end of period                       | **$**                                           | **108** |   |   | $ | 23 |   |
|                                                                              |                                            |   |   |   |   |   |   |

**The        accompanying notes as they relate to CILCORP are an integral part of these        consolidated financial statements.**

----

| **CENTRAL                  ILLINOIS LIGHT COMPANY**             |                                                                 |
|-------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF INCOME**           |                                                                 |
| **(Unaudited)                  (In millions)**                  |                                                                 |
|                                                                                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |
|                                                                                                              | **Three                  Months Ended****June                  30,** |   |   | **Six                  Months Ended****June                  30,** |   |
|                                                                                                              | **2007**                                                             |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues:**                                                                          |                                                                 |   |   |   |   |   |   |   |   |   |   |
| Electric                                                                                                          | **$**                                                                | **162** |   |   | $ | 98 |   |   | **$** | **337** |   |   | $ | 190 |   |
| Gas                                                                                                               | ** **                                                           | **60** |   |   |   | 48 |   |   | ** ** | **195** |   |   |   | 198 |   |
| Other                                                                                                             | ** **                                                           | **1** |   |   |   | - |   |   | ** ** | **1** |   |   |   | - |   |
| Total                  operating revenues                                                                         | ** **                                                           | **223** |   |   |   | 146 |   |   | ** ** | **533** |   |   |   | 388 |   |
|                                                                                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Operating                  Expenses:**                                                                          |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fuel                                                                                                              | ** **                                                           | **12** |   |   |   | 25 |   |   | ** ** | **34** |   |   |   | 48 |   |
| Purchased                  power                                                                                  | ** **                                                           | **61** |   |   |   | 6 |   |   | ** ** | **133** |   |   |   | 8 |   |
| Gas                  purchased for resale                                                                         | ** **                                                           | **42** |   |   |   | 32 |   |   | ** ** | **145** |   |   |   | 151 |   |
| Other                  operations and maintenance                                                                 | ** **                                                           | **46** |   |   |   | 52 |   |   | ** ** | **87** |   |   |   | 93 |   |
| Depreciation                  and amortization                                                                    | ** **                                                           | **18** |   |   |   | 17 |   |   | ** ** | **36** |   |   |   | 34 |   |
| Taxes                  other than income taxes                                                                    | ** **                                                           | **5** |   |   |   | 4 |   |   | ** ** | **13** |   |   |   | 13 |   |
| Total                  operating expenses                                                                         | ** **                                                           | **184** |   |   |   | 136 |   |   | ** ** | **448** |   |   |   | 347 |   |
| **    Operating                  Income**                                                     | ** **                                                           | **39** |   |   |   | 10 |   |   | ** ** | **85** |   |   |   | 41 |   |
| **Other                  Income and Expenses:**                                                                   |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                  income                                                                             | ** **                                                           | **1** |   |   |   | - |   |   | ** ** | **2** |   |   |   | - |   |
| Miscellaneous                  expense                                                                            | ** **                                                           | **(2** | **)** |   |   | (1 | ) |   | ** ** | **(3** | **)** |   |   | (2 | ) |
| Total                  other expenses                                                                             | ** **                                                           | **(1** | **)** |   |   | (1 | ) |   | ** ** | **(1** | **)** |   |   | (2 | ) |
| **Interest                  Charges**                                                                             | ** **                                                           | **5** |   |   |   | 4 |   |   | ** ** | **11** |   |   |   | 8 |   |
| **    Income                  Before Income Taxes**                                           | ** **                                                           | **33** |   |   |   | 5 |   |   | ** ** | **73** |   |   |   | 31 |   |
| **Income                  Taxes (Benefit)**                                                                       | ** **                                                           | **12** |   |   |   | (3 | ) |   | ** ** | **26** |   |   |   | 6 |   |
| **    Net                  Income**                                                           | ** **                                                           | **21** |   |   |   | 8 |   |   | ** ** | **47** |   |   |   | 25 |   |
| **Preferred                  Stock Dividends**                                                                    | ** **                                                           | **1** |   |   |   | 1 |   |   | ** ** | **1** |   |   |   | 1 |   |
| **    Net                  Income Available to Common Stockholder**                           | **$**                                                                | **20** |   |   | $ | 7 |   |   | **$** | **46** |   |   | $ | 24 |   |
|                                                                                                              |                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

**The      accompanying notes as they relate to CILCO are an integral part of these      consolidated financial statements.**

----

| **CENTRAL                  ILLINOIS LIGHT COMPANY**                                                   |                          |
|----------------------------------------------------------------------------------------------------------------------|-------------------------------|
| **CONSOLIDATED                  BALANCE SHEET**                                                       |                          |
| **(Unaudited)                  (In millions)**                                                        |                          |
|                                                                                                                 |                          |   |   |   |   |
|                                                                                                                 |                          |   |   |   |   |
|                                                                                                                 | **June                  30,** |   |   | **December                  31** |   |
|                                                                                                                 | **2007**                      |   |   | **2006** |   |
| **ASSETS**                                                                                                           |                          |   |   |   |   |
| **Current                  Assets:**                                                                                 |                          |   |   |   |   |
| Cash                  and cash equivalents                                                                           | **$**                         | **95** |   |   | $ | 3 |   |
| Accounts                  receivable – trade (less allowance for doubtful                                      |                          |   |   |   |   |   |   |
| accounts                  of $5 and $1, respectively)                                                                | ** **                    | **49** |   |   |   | 47 |   |
| Unbilled                  revenue                                                                                    | ** **                    | **35** |   |   |   | 45 |   |
| Accounts                  receivable – affiliates                                                              | ** **                    | **27** |   |   |   | 9 |   |
| Advances                  to money pool                                                                              | ** **                    | **-** |   |   |   | 42 |   |
| Materials                  and supplies                                                                              | ** **                    | **79** |   |   |   | 93 |   |
| Other                  current assets                                                                                | ** **                    | **32** |   |   |   | 32 |   |
| Total                  current assets                                                                                | ** **                    | **317** |   |   |   | 271 |   |
| **Property                  and Plant, Net**                                                                         | ** **                    | **1,356** |   |   |   | 1,275 |   |
| **Intangible                  Assets**                                                                               | ** **                    | **2** |   |   |   | 2 |   |
| **Other                  Assets**                                                                                    | ** **                    | **22** |   |   |   | 18 |   |
| **Regulatory                  Assets**                                                                               | ** **                    | **56** |   |   |   | 75 |   |
| **TOTAL                  ASSETS**                                                                                    | **$**                         | **1,753** |   |   | $ | 1,641 |   |
|                                                                                                                 |                          |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS' EQUITY**                                                            |                          |   |   |   |   |   |   |
| **Current                  Liabilities:**                                                                            |                          |   |   |   |   |   |   |
| Current                  maturities of long-term debt                                                                | **$**                         | **-** |   |   | $ | 50 |   |
| Short-term                  debt                                                                                     | ** **                    | **290** |   |   |   | 165 |   |
| Accounts                  and wages payable                                                                          | ** **                    | **40** |   |   |   | 54 |   |
| Accounts                  payable – affiliates                                                                 | ** **                    | **63** |   |   |   | 47 |   |
| Taxes                  accrued                                                                                       | ** **                    | **3** |   |   |   | 3 |   |
| Other                  current liabilities                                                                           | ** **                    | **39** |   |   |   | 47 |   |
| Total                  current liabilities                                                                           | ** **                    | **435** |   |   |   | 366 |   |
| **Long-term                  Debt, Net**                                                                             | ** **                    | **148** |   |   |   | 148 |   |
| **Preferred                  Stock Subject to Mandatory Redemption**                                                 | ** **                    | **18** |   |   |   | 18 |   |
| **Deferred                  Credits and Other Liabilities:**                                                         |                          |   |   |   |   |   |   |
| Accumulated                  deferred income taxes, net                                                              | ** **                    | **148** |   |   |   | 166 |   |
| Accumulated                  deferred investment tax credits                                                         | ** **                    | **7** |   |   |   | 7 |   |
| Regulatory                  liabilities                                                                              | ** **                    | **198** |   |   |   | 206 |   |
| Accrued                  pension and other postretirement benefits                                                   | ** **                    | **151** |   |   |   | 171 |   |
| Other                  deferred credits and liabilities                                                              | ** **                    | **55** |   |   |   | 24 |   |
| Total                  deferred credits and other liabilities                                                        | ** **                    | **559** |   |   |   | 574 |   |
| **Commitments                  and Contingencies (Notes 2 and 8)**                                                   |                          |   |   |   |   |   |   |
| **Stockholders'                  Equity:**                                                                           |                          |   |   |   |   |   |   |
| Common                  stock, no par value, 20.0 shares authorized – 13.6 shares                  outstanding | ** **                    | **-** |   |   |   | - |   |
| Preferred                  stock not subject to mandatory redemption                                                 | ** **                    | **19** |   |   |   | 19 |   |
| Other                  paid-in capital                                                                               | ** **                    | **429** |   |   |   | 415 |   |
| Retained                  earnings                                                                                   | ** **                    | **145** |   |   |   | 99 |   |
| Accumulated                  other comprehensive income                                                              | ** **                    | **-** |   |   |   | 2 |   |
| Total                  stockholders' equity                                                                          | ** **                    | **593** |   |   |   | 535 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDERS' EQUITY**                                                      | **$**                         | **1,753** |   |   | $ | 1,641 |   |
|                                                                                                                 |                          |   |   |   |   |   |   |

**The        accompanying notes as they relate to CILCO are an integral part of these        consolidated financial statements.**

----

| **CENTRAL                  ILLINOIS LIGHT COMPANY**          |                                      |
|-----------------------------------------------------------------------------|-------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF CASH FLOWS**    |                                      |
| **(Unaudited)                  (In millions)**               |                                      |
|                                                                        |                                      |   |   |   |   |
|                                                                        | **Six                  Months Ended**     |   |
|                                                                        | **June                  30,**   |   |
|                                                                        | **2007**                                  |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                  |                                      |   |   |   |   |
| Net                  income                                                 | **$**                                     | **47** |   |   | $ | 25 |   |
| Adjustments                  to reconcile net income to net cash            |                                      |   |   |   |   |   |   |
| provided                  by operating activities:                          |                                      |   |   |   |   |   |   |
| Depreciation                  and amortization                              | ** **                                | **37** |   |   |   | 40 |   |
| Amortization                  of debt issuance costs and premium/discounts  | ** **                                | **1** |   |   |   | - |   |
| Deferred                  income taxes and investment tax credits           | ** **                                | **(3** | **)** |   |   | (3 | ) |
| Loss                  on sale of noncore properties                         | ** **                                | **-** |   |   |   | 6 |   |
| Other                                                                       | ** **                                | **-** |   |   |   | (1 | ) |
| Changes                  in assets and liabilities:                         |                                      |   |   |   |   |   |   |
| Receivables                                                                 | ** **                                | **(10** | **)** |   |   | 53 |   |
| Materials                  and supplies                                     | ** **                                | **14** |   |   |   | 22 |   |
| Accounts                  and wages payable                                 | ** **                                | **16** |   |   |   | (20 | ) |
| Taxes                  accrued                                              | ** **                                | **(3** | **)** |   |   | (17 | ) |
| Assets,                  other                                              | ** **                                | **(7** | **)** |   |   | 15 |   |
| Liabilities,                  other                                         | ** **                                | **(4** | **)** |   |   | (5 | ) |
| Pension                  and postretirement benefit obligations             | ** **                                | **1** |   |   |   | 4 |   |
| Net                  cash provided by operating activities                  | ** **                                | **89** |   |   |   | 119 |   |
| **Cash                  Flows From Investing Activities:**                  |                                      |   |   |   |   |   |   |
| Capital                  expenditures                                       | ** **                                | **(127** | **)** |   |   | (48 | ) |
| Proceeds                  from sale of noncore properties                   | ** **                                | **-** |   |   |   | 11 |   |
| Changes                  in money pool advances                             | ** **                                | **42** |   |   |   | - |   |
| Purchases                  of emission allowances                           | ** **                                | **-** |   |   |   | (12 | ) |
| Sales                  of emission allowances                               | ** **                                | **-** |   |   |   | 1 |   |
| Net                  cash used in investing activities                      | ** **                                | **(85** | **)** |   |   | (48 | ) |
| **Cash                  Flows From Financing Activities:**                  |                                      |   |   |   |   |   |   |
| Dividends                  on common stock                                  | ** **                                | **-** |   |   |   | (50 | ) |
| Dividends                  on preferred stock                               | ** **                                | **(1** | **)** |   |   | (1 | ) |
| Capital                  issuance costs                                     | ** **                                | **-** |   |   |   | (1 | ) |
| Short-term                  debt, net                                       | ** **                                | **125** |   |   |   | - |   |
| Changes                  in money pool borrowings                           | ** **                                | **-** |   |   |   | (95 | ) |
| Redemptions,                  repurchases, and maturities of long-term debt | ** **                                | **(50** | **)** |   |   | - |   |
| Issuances                  of long-term debt                                | ** **                                | **-** |   |   |   | 96 |   |
| Capital                  contribution from parent                           | ** **                                | **14** |   |   |   | - |   |
| Net                  cash provided by (used in) financing activities        | ** **                                | **88** |   |   |   | (51 | ) |
| Net                  change in cash and cash equivalents                    | ** **                                | **92** |   |   |   | 20 |   |
| Cash                  and cash equivalents at beginning of year             | ** **                                | **3** |   |   |   | 2 |   |
| Cash                  and cash equivalents at end of period                 | **$**                                     | **95** |   |   | $ | 22 |   |
|                                                                        |                                      |   |   |   |   |   |   |

**The        accompanying notes as they relate to CILCO are an integral part of these        consolidated financial statements.**

----

| **ILLINOIS                  POWER COMPANY**                     |                                            |
|-------------------------------------------------------------------------------------------------------------------|-------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF INCOME**           |                                            |
| **(Unaudited)                  (In millions)**                  |                                            |
|                                                                                                              |                                            |   |   |   |   |   |   |   |   |   |   |
|                                                                                                              | **Three                  Months Ended**         |   |   | **Six                  Months Ended** |   |
|                                                                                                              | **June                  30,**    |   |   | **June                  30,**    |   |
|                                                                                                              | **2007**                                        |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| **Operating                  Revenues:**                                                                          |                                            |   |   |   |   |   |   |   |   |   |   |
|   Electric                                                                                              | **$**                                           | **280** |   |   | $ | 271 |   |   | **$** | **552** |   |   | $ | 513 |   |
|   Gas                                                                                                   | ** **                                      | **85** |   |   |   | 67 |   |   | ** ** | **326** |   |   |   | 322 |   |
|   Other                                                                                                 | ** **                                      | **-** |   |   |   | 1 |   |   | ** ** | **2** |   |   |   | 1 |   |
| Total                  operating revenues                                                                         | ** **                                      | **365** |   |   |   | 339 |   |   | ** ** | **880** |   |   |   | 836 |   |
|                                                                                                              |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Operating                  Expenses:**                                                                          |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Purchased                  power                                                                      | ** **                                      | **178** |   |   |   | 171 |   |   | ** ** | **367** |   |   |   | 348 |   |
|   Gas                  purchased for resale                                                             | ** **                                      | **56** |   |   |   | 36 |   |   | ** ** | **241** |   |   |   | 237 |   |
|   Other                  operations and maintenance                                                     | ** **                                      | **63** |   |   |   | 61 |   |   | ** ** | **122** |   |   |   | 120 |   |
|   Depreciation                  and amortization                                                        | ** **                                      | **19** |   |   |   | 18 |   |   | ** ** | **40** |   |   |   | 37 |   |
|   Amortization                  of regulatory assets                                                    | ** **                                      | **4** |   |   |   | - |   |   | ** ** | **8** |   |   |   | - |   |
|   Taxes                  other than income taxes                                                        | ** **                                      | **16** |   |   |   | 16 |   |   | ** ** | **37** |   |   |   | 38 |   |
|   Total                  operating expenses                                                             | ** **                                      | **336** |   |   |   | 302 |   |   | ** ** | **815** |   |   |   | 780 |   |
| **Operating                  Income**                                                                             | ** **                                      | **29** |   |   |   | 37 |   |   | ** ** | **65** |   |   |   | 56 |   |
| **Other                  Income and Expenses:**                                                                   |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                  income                                                                             | ** **                                      | **3** |   |   |   | 1 |   |   | ** ** | **5** |   |   |   | 2 |   |
| Miscellaneous                  expense                                                                            | ** **                                      | **-** |   |   |   | (1 | ) |   | ** ** | **(1** | **)** |   |   | (2 | ) |
| Total                  other income                                                                               | ** **                                      | **3** |   |   |   | - |   |   | ** ** | **4** |   |   |   | - |   |
| **Interest                  Charges**                                                                             | ** **                                      | **20** |   |   |   | 12 |   |   | ** ** | **36** |   |   |   | 24 |   |
| **Income                  Before Income Taxes**                                                                   | ** **                                      | **12** |   |   |   | 25 |   |   | ** ** | **33** |   |   |   | 32 |   |
| **Income                  Taxes**                                                                                 | ** **                                      | **5** |   |   |   | 9 |   |   | ** ** | **13** |   |   |   | 12 |   |
| **Net                  Income**                                                                                   | ** **                                      | **7** |   |   |   | 16 |   |   | ** ** | **20** |   |   |   | 20 |   |
| **Preferred                  Stock Dividends**                                                                    | ** **                                      | **-** |   |   |   | - |   |   | ** ** | **1** |   |   |   | 1 |   |
| **Net                  Income Available to Common Stockholder**                                                   | **$**                                           | **7** |   |   | $ | 16 |   |   | **$** | **19** |   |   | $ | 19 |   |
|                                                                                                              |                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

**The        accompanying notes as they relate to IP are an integral part of these        consolidated financial statements.**

----

| **ILLINOIS                  POWER COMPANY**                                                       |                          |
|-----------------------------------------------------------------------------------------------------------------------|-------------------------------|
| **CONSOLIDATED                  BALANCE SHEET**                                                   |                          |
| **(Unaudited)                  (In millions)**                                                    |                          |
|                                                                                                                  |                          |   |   |   |   |
|                                                                                                                  | **June                  30,** |   |   | **December                  31,** |   |
|                                                                                                                  | **2007**                      |   |   | **2006** |   |
| **ASSETS**                                                                                                            |                          |   |   |   |   |
| **Current                  Assets:**                                                                                  |                          |   |   |   |   |
| Cash                  and cash equivalents                                                                            | **$**                         | **143** |   |   | $ | - |   |
| Accounts                  receivable - trade (less allowance for doubtful                                             |                          |   |   |   |   |   |   |
| accounts                  of $11 and $3, respectively)                                                                | ** **                    | **124** |   |   |   | 105 |   |
| Unbilled                  revenue                                                                                     | ** **                    | **78** |   |   |   | 101 |   |
| Accounts                  receivable – affiliates                                                               | ** **                    | **-** |   |   |   | 1 |   |
| Materials                  and supplies                                                                               | ** **                    | **93** |   |   |   | 122 |   |
| Other                  current assets                                                                                 | ** **                    | **38** |   |   |   | 27 |   |
| Total                  current assets                                                                                 | ** **                    | **476** |   |   |   | 356 |   |
| **Property                  and Plant, Net**                                                                          | ** **                    | **2,169** |   |   |   | 2,134 |   |
| **Investments                  and Other Assets:**                                                                    |                          |   |   |   |   |   |   |
| Investment                  in IP SPT                                                                                 | ** **                    | **9** |   |   |   | 8 |   |
| Goodwill                                                                                                              | ** **                    | **214** |   |   |   | 214 |   |
| Other                  assets                                                                                         | ** **                    | **51** |   |   |   | 62 |   |
| Regulatory                  assets                                                                                    | ** **                    | **368** |   |   |   | 401 |   |
| Total                  investments and other assets                                                                   | ** **                    | **642** |   |   |   | 685 |   |
| **TOTAL                  ASSETS**                                                                                     | **$**                         | **3,287** |   |   | $ | 3,175 |   |
|                                                                                                                  |                          |   |   |   |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS’ EQUITY**                                                       |                          |   |   |   |   |   |   |
| **Current                  Liabilities**:                                                                             |                          |   |   |   |   |   |   |
| Current                  maturities of long-term debt to IP SPT                                                       | **$**                         | **51** |   |   | $ | 51 |   |
| Short-term                  debt                                                                                      | ** **                    | **325** |   |   |   | 75 |   |
| Borrowings                  from money pool                                                                           | ** **                    | **-** |   |   |   | 43 |   |
| Accounts                  and wages payable                                                                           | ** **                    | **76** |   |   |   | 119 |   |
| Accounts                  payable – affiliates                                                                  | ** **                    | **51** |   |   |   | 67 |   |
| Taxes                  accrued                                                                                        | ** **                    | **5** |   |   |   | 7 |   |
| Other                  current liabilities                                                                            | ** **                    | **65** |   |   |   | 72 |   |
| Total                  current liabilities                                                                            | ** **                    | **573** |   |   |   | 434 |   |
| **Long-term                  Debt, Net**                                                                              | ** **                    | **768** |   |   |   | 772 |   |
| **Long-term                  Debt to IP SPT**                                                                         | ** **                    | **47** |   |   |   | 92 |   |
| **Deferred                  Credits and Other Liabilities:**                                                          |                          |   |   |   |   |   |   |
| Regulatory                  liabilities                                                                               | ** **                    | **90** |   |   |   | 110 |   |
| Accrued                  pension and other postretirement benefits                                                    | ** **                    | **214** |   |   |   | 230 |   |
| Accumulated                  deferred income taxes                                                                    | ** **                    | **132** |   |   |   | 138 |   |
| Other                  deferred credits and other noncurrent liabilities                                              | ** **                    | **98** |   |   |   | 53 |   |
| Total                  deferred credits and other liabilities                                                         | ** **                    | **534** |   |   |   | 531 |   |
| **Commitments                  and Contingencies (Notes 2 and 8)**                                                    |                          |   |   |   |   |   |   |
| **Stockholders’                  Equity:**                                                                      |                          |   |   |   |   |   |   |
| Common                  stock, no par value, 100.0 shares authorized – 23.0 shares                  outstanding | ** **                    | **-** |   |   |   | - |   |
| Other                  paid-in-capital                                                                                | ** **                    | **1,194** |   |   |   | 1,194 |   |
| Preferred                  stock not subject to mandatory redemption                                                  | ** **                    | **46** |   |   |   | 46 |   |
| Retained                  earnings                                                                                    | ** **                    | **120** |   |   |   | 101 |   |
| Accumulated                  other comprehensive income                                                               | ** **                    | **5** |   |   |   | 5 |   |
| Total                  stockholders’ equity                                                                     | ** **                    | **1,365** |   |   |   | 1,346 |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDERS’ EQUITY**                                                 | **$**                         | **3,287** |   |   | $ | 3,175 |   |
|                                                                                                                  |                          |   |   |   |   |   |   |

**The        accompanying notes as they relate to IP are an integral part of these        consolidated financial statements.**

----

| **ILLINOIS                  POWER COMPANY**                   |                                                    |
|-----------------------------------------------------------------------------------|---------------------------------------------------------|
| **CONSOLIDATED                  STATEMENT OF CASH FLOWS**     |                                                    |
| **(Unaudited)                  (In millions)**                |                                                    |
|                                                                              |                                                    |   |   |   |   |
|                                                                              | **Six                  Months Ended**    |   |
|                                                                              | **June                  30,**            |   |
|                                                                              | **2007**                                                |   |   | **2006** |   |
| **Cash                  Flows From Operating Activities:**                        |                                                    |   |   |   |   |
| Net                  income                                                       | **$**                                                   | **20** |   |   | $ | 20 |   |
| Adjustments                  to reconcile net income to net cash                  |                                                    |   |   |   |   |   |   |
| provided                  by operating activities:                                |                                                    |   |   |   |   |   |   |
| Depreciation                  and amortization                                    | ** **                                              | **42** |   |   |   | 15 |   |
| Amortization                  of debt issuance costs and premium/discounts        | ** **                                              | **4** |   |   |   | 2 |   |
| Deferred                  income taxes                                            | ** **                                              | **6** |   |   |   | 20 |   |
| Changes                  in assets and liabilities:                               |                                                    |   |   |   |   |   |   |
| Receivables                                                                       | ** **                                              | **5** |   |   |   | 66 |   |
| Materials                  and supplies                                           | ** **                                              | **29** |   |   |   | 31 |   |
| Accounts                  and wages payable                                       | ** **                                              | **(40** | **)** |   |   | (62 | ) |
| Assets,                  other                                                    | ** **                                              | **(7** | **)** |   |   | 12 |   |
| Liabilities,                  other                                               | ** **                                              | **2** |   |   |   | (24 | ) |
| Pension                  and other postretirement benefit obligations             | ** **                                              | **12** |   |   |   | 5 |   |
| Net                  cash provided by operating activities                        | ** **                                              | **73** |   |   |   | 85 |   |
|                                                                              |                                                    |   |   |   |   |   |   |
| **Cash                  Flows From Investing Activities:**                        |                                                    |   |   |   |   |   |   |
| Capital                  expenditures                                             | ** **                                              | **(92** | **)** |   |   | (82 | ) |
| Other                                                                             | ** **                                              | **(1** | **)** |   |   | - |   |
| Net                  cash used in investing activities                            | ** **                                              | **(93** | **)** |   |   | (82 | ) |
|                                                                              |                                                    |   |   |   |   |   |   |
| **Cash                  Flows From Financing Activities:**                        |                                                    |   |   |   |   |   |   |
| Dividends                  on preferred stock                                     | ** **                                              | **(1** | **)** |   |   | (1 | ) |
| Capital                  issuance costs                                           | ** **                                              | **-** |   |   |   | (1 | ) |
| Short-term                  debt, net                                             | ** **                                              | **250** |   |   |   | - |   |
| Changes                  in money pool borrowings, net                            | ** **                                              | **(43** | **)** |   |   | (21 | ) |
| Redemptions,                  repurchases and maturities of long-term debt        | ** **                                              | **(43** | **)** |   |   | (46 | ) |
| Issuance                  of long-term debt                                       | ** **                                              | **-** |   |   |   | 75 |   |
| Overfunding                  of TFNs                                              | ** **                                              | **-** |   |   |   | (8 | ) |
| Net                  cash provided by (used in) financing activities              | ** **                                              | **163** |   |   |   | (2 | ) |
| Net                  change in cash and cash equivalents                          | ** **                                              | **143** |   |   |   | 1 |   |
| Cash                  and cash equivalents at beginning of year                   | ** **                                              | **-** |   |   |   | - |   |
| Cash                  and cash equivalents at end of period                       | **$**                                                   | **143** |   |   | $ | 1 |   |
|                                                                              |                                                    |   |   |   |   |   |   |

**The      accompanying notes as they relate to IP are an integral part of these      consolidated financial statements.**

----

**AMEREN        CORPORATION(Consolidated)**

**UNION        ELECTRIC COMPANY(Consolidated)**

**CENTRAL        ILLINOIS PUBLIC SERVICE COMPANY**

**AMEREN        ENERGY GENERATING COMPANY(Consolidated)**

**CILCORP        INC. (Consolidated)**

**CENTRAL        ILLINOIS LIGHT COMPANY (Consolidated)**

**ILLINOIS        POWER COMPANY (Consolidated)**

**COMBINED        NOTES TO FINANCIAL STATEMENTS**

**(Unaudited)**

**June        30, 2007**

**NOTE        1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

**General**

| ·   | UE,                  or Union Electric Company, also known as AmerenUE, operates a                  rate-regulated electric generation, transmission and distribution                  business, and a rate-regulated natural gas transmission and distribution                  business in Missouri. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | CIPS,                  or Central Illinois Public Service Company, also known as AmerenCIPS,                  operates a rate-regulated electric and natural gas transmission                  and                  distribution business in Illinois. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Genco,                  or Ameren Energy Generating Company, operates a non-rate-regulated                  electric generation business in Illinois and                  Missouri. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | CILCO,                  or Central Illinois Light Company, also known as AmerenCILCO, is                  a                  subsidiary of CILCORP (a holding company). It operates a rate-regulated                  electric and natural gas transmission and distribution business                  and a                  non-rate-regulated electric generation business (through its subsidiary                  AERG), all in Illinois. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | IP,                  or Illinois Power Company, also known as AmerenIP, operates a                  rate-regulated electric and natural gas transmission and distribution                  business in Illinois. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                | **Three                  Months** |    |   | **Six                  Months** |   |
|-------------------------------------|-----------------------------------|---------|--------|---------------------------------|--------|
|                                | **2007**                          |    |   | **2006**                        |   |   | **2007** |   |   | **2006** |   |
| Operating                  revenues | **$**                             | **109** |   |                            | $      | 88 |   |   | **$** | **206** |   |   | $ | 184 |   |
| Operating                  income   | ** **                        | **51**  |   |                            |   | 42 |   |   | ** ** | **105** |   |   |   | 98 |   |
| Net                  income         | ** **                        | **32**  |   |                            |   | 26 |   |   | ** ** | **66** |   |   |   | 60 |   |

**Earnings        Per Share**

----

**Long-term        Incentive Plan of 1998 and 2006 Omnibus Incentive Compensation        Plan**

----

|                                                                                                                                                                                                                                                                                                                                                                                         | **Performance                  Share Units** |    | **Restricted                  Shares**                        |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------|---------|---------------------------------------------------------------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                         | **Shares**                                   |    |  **Weighted-average                Fair Value Per Unit** |   | **Shares** |   |  **Weighted-average                  Fair Value Per Share**  |
| Nonvested                  at January 1,                  2007                                                      |                                         | 338,516 |                                                          |   | $ | 56.07 |   |   | 377,776 |   |   | $ | 45.79 |   |
| Granted(a)                                                                                                          |                                         | 357,573 |                                                          |   |   | 59.60 |   |   | - |   |   |   | - |   |
| Dividends                                                                                                                                                                                                                                                                                                                                                                                    |                                         | -       |                                                          |   |   | - |   |   | 7,849 |   |   |   | 49.56 |   |
| Forfeitures                                                                                                         |                                         | (9,667  | )                                                             |   |   | 56.31 |   |   | (5,841 | ) |   |   | 46.47 |   |
| Vested(b)                                                                                                           |                                         | (11,566 | )                                                             |   |   | 59.30 |   |   | (70,391 | ) |   |   | 43.84 |   |
| Nonvested                  at June 30,                  2007                                                        |                                         | 674,856 |                                                          |   | $ | 57.88 |   |   | 309,393 |   |   | $ | 46.23 |   |

| (a)   | Includes                  performance share units (share units) granted to certain executive                  and                  non-executive officers and other eligible employees in February                  2007 under                  the 2006 Plan. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Share                  units vested due to attainment of retirement eligibility by certain                  employees. Actual shares issued for retirement-eligible employees                  will                  vary depending on actual performance over the three-year measurement                  period. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Accounting        Changes and Other Matters**

**FASB        Interpretation No. 48, *Accounting for Uncertainty in Income Taxes – an        Interpretation of SFAS No. 109* (FIN 48)**

----

**SFAS        No. 157, *Fair Value Measurements***

**SFAS        No. 159, *The Fair Value Option for Financial Assets and Financial        Liabilities, Including an Amendment of SFAS No. 115***

**FSP        FIN 39-1,*Amendment of FASB Interpretation No. 39***

**Goodwill        and Intangible Assets**

*Goodwill.        *

*Intangible        Assets.*
*** ***

----

|       | **Three                  Months** |   |   | **Six                  Months** |   |
|------------|-----------------------------------|--------|--------|---------------------------------|--------|
|       | **2007**                          |   |   | **2006**                        |   |   | **2007** |   |   | **2006** |   |
| Ameren(a)  | $                                 | 13     |   |                            | $      | 14 |   |   | $ | 20 |   |   | $ | 25 |   |
| UE         |                              | -      |   |                            |   | - |   |   |   | (3 | ) |   |   | (2 | ) |
| Genco      |                              | 8      |   |                            |   | 7 |   |   |   | 15 |   |   |   | 15 |   |
| CILCORP(b) |                              | 1      |   |                            |   | 6 |   |   |   | 3 |   |   |   | 11 |   |
| CILCO      |                              | (1     | )      |                            |   | 3 |   |   |   | - |   |   |   | 6 |   |

| (a)   | Includes                  amounts for Ameren registrant and nonregistrant subsidiaries and                  intercompany eliminations. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Includes                  allowances consumed that were recorded through purchase                  accounting. |
|-----------------|----------------------------------------------------------------------------------------------------------------|

----

**Excise        Taxes**

----

|    | **Three                  Months** |   |   | **Six                  Months** |   |
|---------|-----------------------------------|--------|--------|---------------------------------|--------|
|    | **2007**                          |   |   | **2006**                        |   |   | **2007** |   |   | **2006** |   |
| Ameren  | **$**                             | **40** |   |                            | $      | 39 |   |   | **$** | **82** |   |   | $ | 85 |   |
| UE      | ** **                        | **28** |   |                            |   | 27 |   |   | ** ** | **50** |   |   |   | 52 |   |
| CIPS    | ** **                        | **3**  |   |                            |   | 3 |   |   | ** ** | **8** |   |   |   | 9 |   |
| CILCORP | ** **                        | **3**  |   |                            |   | 2 |   |   | ** ** | **7** |   |   |   | 6 |   |
| CILCO   | ** **                        | **3**  |   |                            |   | 2 |   |   | ** ** | **7** |   |   |   | 6 |   |
| IP      | ** **                        | **6**  |   |                            |   | 7 |   |   | ** ** | **17** |   |   |   | 18 |   |

**Asset        Retirement Obligations**

**NOTE        2 – RATE AND REGULATORY MATTERS**

**Missouri**

*Electric*

| ·   | Acceptance                  without rate adjustment of the expiration of UE’s cost-based power supply                  contract with EEI, which expired in December                  2005. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Allowance                  of the full cost of certain CTs purchased or built in the past                  few years                  to be included in UE’s rate base. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Establishment                  of a regulatory tracking mechanism, through the use of a regulatory                  liability account, for gains on sales of SO2                  emission                  allowances , net of SO2                  premiums                  incurred under the terms of coal procurement contracts, plus any                  SO2                  discounts received under such contracts. These deferred amounts                  will                  be addressed as part of the fuel expense calculation in UE’s next rate                  case. The MoPSC allowed an annual base level of SO2                  emission                  allowance sales of up to $5 million, which UE can recognize in                  its                  statement of income. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Approval                  of a regulatory tracking mechanism for pension and postretirement                  benefit                  costs. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Change                  of income tax method associated with cost of property removal,                  net of                  salvage, to the normalization method of accounting, which reduced                  income                  tax expense in the calculation of UE’s electric rates and for financial                  reporting purposes. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Establishment                  of off-system sales base level of $230 million used in determining                  UE’s revenue requirement.  |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Extension                  of UE’s Callaway nuclear plant and fossil generation plant lives used                  in                  calculating depreciation expense for electric rates and financial                  reporting purposes. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | MoPSC                  staff directed to review a possible loss in capacity sales as a                  result of                  the breach of the upper reservoir of the Taum Sauk pumped-storage                  hydroelectric facility. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Establishment                  of a requirement to fund low-income energy assistance and energy                  conservation programs; half of such funding will be recoverable                  through                  rates to customers. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Denial                  of UE’s request to implement a fuel and purchased power cost recovery                  mechanism. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------|

*Gas*

----

| ·   | UE                  agreed not to file a natural gas delivery rate case before March                  15, 2010.                  This agreement does not prevent UE from filing to recover infrastructure                  costs through a statutory infrastructure system replacement surcharge                  (ISRS) during this three-year rate moratorium. The return on equity                  to be                  used by UE for purposes of any future ISRS tariff filing is                  10.0%. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Authorization                  for UE to transition from four PGA rates to a single PGA rate for                  all its                  gas customers. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

*Taum        Sauk*

**Illinois**

*Electric*

----

|   | **Total                  Relief/Assistance to Ameren****Illinois**** Customers** |        |   | **Ameren                  Subsidiaries’ Funding(a)** |   |        | **Estimated****Ameren                  Earnings Per Share****Impact(b)** |   |
|--------|---------------------------------------------------------------------------------------|-------------|--------|------------------------------------------------------------|--------|-------------|--------------------------------------------------------------------------|--------|
| 2007   | $                                                                                     | 253,000,000 |   |                                                       | $      | 86,000,000  |                                                                     |   | $ | 0.26 |   |
| 2008   |                                                                                  | 132,000,000 |   |                                                       |   | 37,000,000  |                                                                     |   |   | 0.11 |   |
| 2009   |                                                                                  | 97,000,000  |   |                                                       |   | 25,000,000  |                                                                     |   |   | 0.07 |   |
| 2010   |                                                                                  | 6,000,000   |   |                                                       |   | 2,000,000   |                                                                     |   |   | 0.01 |   |
| Total  | $                                                                                     | 488,000,000 |   |                                                       | $      | 150,000,000 |                                                                     |   | $ | 0.45 |   |

| (a)   | Includes                  a $4.5 million contribution in 2007 towards funding of a newly-created                  IPA. |
|-----------------|------------------------------------------------------------------------------------------------------------------------|

| (b)   | Includes                  estimated cost of proposed forgiveness of outstanding customer                  late                  payment fees. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

----

|  **Period**                                           |  **Volume**          |
|------------------------------------------------------------|---------------------------|
| June                  1, 2008 – December 31, 2008    | 400                  MW   |
| January                  1, 2009 – May 31, 2009      | 400                  MW   |
| June                  1, 2009 – December 31, 2009    | 800                  MW   |
| January                  1, 2010 – May 31, 2010      | 800                  MW   |
| June                  1, 2010 – December 31, 2010    | 1,000                  MW |
| January                  1, 2011 – December 31, 2011 | 1,000                  MW |
| January                  1, 2012 – December 31, 2012 | 1,000                  MW |

----

----

**Federal**

**NOTE          3 – CREDIT FACILITIES AND LIQUIDITY**

----

| **$1.15                    Billion Credit Facility(a)**             | **Ameren                    (Parent)** |   |   | **UE** |   |   | **Genco** |   |   | **Ameren                    Total** |   |
|---------------------------------------------------------------------|----------------------------------------|--------|--------|--------|--------|--------|-----------|--------|--------|-------------------------------------|--------|
| **June                    30, 2007:**                               |                                   |   |   |   |   |   |      |   |   |                                |   |
| Average                    daily borrowings outstanding during 2007 | $                                      | 180    |   |   | $      | 496    |      |   | $      | -                                   |   |   | $ | 676 |   |
| Outstanding                    short-term debt at period end        |                                   | 350    |   |   |   | 426    |      |   |   | -                                   |   |   |   | 776 |   |
| Weighted-average                    interest rate during 2007       |                                   | 5.82   | %      |   |   | 5.72   | %         |   |   | -                                   |   |   |   | 5.75 | % |
| Peak                    short-term borrowings during 2007           | $                                      | 350    |   |   | $      | 506    |      |   |   | -                                   |   |   | $ | 856 |   |
| Peak                    interest rate during 2007                   |                                   | 8.25   | %      |   |   | 5.92   | %         |   |   | -                                   |   |   |   | 8.25 | % |

| (a)                          | Includes                    commercial paper programs at Ameren and UE supported by this                    credit                    facility. |
|-------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| **2007                    $500 Million Credit Facility**            | **CIPS** |   |   | **CILCORP                    (Parent)** |   |   | **CILCO****(Parent)** |   |   | **IP** |   |   | **AERG** |   |   | **Total** |   |
|---------------------------------------------------------------------|----------|--------|--------|-----------------------------------------|--------|--------|-----------------------|--------|--------|--------|--------|--------|----------|--------|--------|-----------|--------|
| **June                    30, 2007:**                               |     |   |   |                                    |   |   |                  |   |   |   |   |   |     |   |   |      |   |
| Average                    daily borrowings outstanding during 2007 | $        | -      |   |                                    | $      | 125    |                  |   | $      | -      |   |   | $        | 149    |   |      | $      | 90 |   |   | $ | 364 |   |
| Outstanding                    short-term debt at period end        |     | -      |   |                                    |   | 125    |                  |   |   | -      |   |   |     | 200    |   |      |   | 100 |   |   |   | 425 |   |
| Weighted-average                    interest rate during 2007       |     | -      |   |                                    |   | 6.91   | %                     |   |   | -      |   |   |     | 6.54   | %      |      |   | 6.85 | % |   |   | 6.74 | % |
| Peak                    short-term borrowings during 2007           | $        | -      |   |                                    | $      | 125    |                  |   | $      | -      |   |   | $        | 200    |   |      | $      | 100 |   |   | $ | 425 |   |
| Peak                    interest rate during 2007                   |     | -      |   |                                    |   | 7.04   | %                     |   |   | -      |   |   |     | 6.64   | %      |      |   | 7.02 | % |   |   | 7.04 | % |
| **2006                    $500 Million Credit Facility**            | **CIPS** |   |   | **CILCORP                    (Parent)** |   |   | **CILCO****(Parent)** |   |   | **IP** |   |   | **AERG** |   |   | **Total** |   |
| **June                    30, 2007:**                               |     |   |   |                                    |   |   |                  |   |   |   |   |   |     |   |   |      |   |   |   |   |   |   |   |
| Average                    daily borrowings outstanding during 2007 | $        | 78     |   |                                    | $      | 44     |                  |   | $      | 45     |   |   | $        | 50     |   |      | $      | 78 |   |   | $ | 295 |   |
| Outstanding                    short-term debt at period end        |     | 135    |   |                                    |   | 50     |                  |   |   | 75     |   |   |     | 125    |   |      |   | 115 |   |   |   | 500 |   |
| Weighted-average                    interest rate during 2007       |     | 6.48   | %      |                                    |   | 6.79   | %                     |   |   | 6.11   | %      |   |     | 6.55   | %      |      |   | 6.85 | % |   |   | 6.58 | % |
| Peak                    short-term borrowings during 2007           | $        | 135    |   |                                    | $      | 50     |                  |   | $      | 75     |   |   | $        | 125    |   |      | $      | 115 |   |   | $ | 500 |   |
| Peak                    interest rate during 2007                   |     | 6.64   | %      |                                    |   | 7.04   | %                     |   |   | 6.47   | %      |   |     | 6.64   | %      |      |   | 8.25 | % |   |   | 8.25 | % |

**Money          Pools**

*Utility*

*Non-state-regulated          Subsidiaries*

----

**Indebtedness          Provisions and Other Covenants**

----

*.*

**NOTE          4 – LONG-TERM DEBT AND EQUITY FINANCINGS**

**Ameren**

**UE**

**CIPS**

**CILCORP**

----

**CILCO**

**IP**

**Indenture          Provisions and Other Covenants**

----

|   |  **Required                    Interest****Coverage                    Ratio(a)(b)** | **Actual                    Interest****Coverage                    Ratio** |                           | **Bonds****Issuable(c)(d)** |   |  **Required                    Dividend****Coverage                    Ratio(e)** |   | **Actual****Dividend****Coverage                    Ratio** |   | **Preferred****Stock****Issuable** |                          |
|--------|-------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------|--------------------------------|-----------------------------|--------|----------------------------------------------------------------------------------------|--------|-------------------------------------------------------------|--------|------------------------------------|-------------------------------|
| UE     | ≥2.0                                                                                |                                                                        | 3.9                            |                        | $      | 1.982                                                                                  |   | ≥2.5                                                  |   |                               | 43.9                          |   | $ | 1,405 |   |
| CIPS   | ≥2.0                                                                                |                                                                        | 3.8                            |                        |   |                       178                                                    |   | ≥1.5                                                  |   |                               |                      2.1 |   |   |  211 |   |
| CILCO  | ≥2.0(f)                                                                             |                                                                        |                      11.3 |                        |   |  84                                                                               |   | ≥2.5                                                  |   |                               | 36.5                          |   |   |  370(g) |   |
| IP     | ≥2.0                                                                                |                                                                        | 3.3                            |                        |   |    258                                                                  |   | ≥1.5                                                  |   |                               |                      1.8 |   |   |  205 |   |

| (a)                       | Coverage                    required on the annual interest charges on mortgage bonds outstanding                    and                    to be issued. |
|-------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b)   | Coverage                    is not required in certain cases when additional mortgage bonds                    are issued                    on the basis of retired bonds. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (c)                         | Amount                      of bonds issuable based on either meeting required coverage                      ratios or                      unfunded property additions, whichever is more restrictive.                      In addition to                      these tests, UE, CIPS, CILCO and IP have the ability to issue                      bonds based                      upon retired bond capacity of $17 million, $3 million, $175                      million,                      and $914 million, respectively, for which no earnings coverage                      test                      is required. |
|---------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)                         | Amounts                      are net of future bonding capacity restrictions agreed to by                      CIPS, CILCO                      and IP under the 2007 $500 million credit facility and the                      2006 $500                      million credit facility entered into by these companies. See                      Note 3 –                      Credit Facilities and Liquidity for further                      discussion. |
|---------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | Coverage                      required on the annual interest charges on all long-term debt                      (CIPS-only)                      and the annual dividend on preferred stock outstanding and                      to be issued,                      as required in the respective company’s articles of incorporation. For                      CILCO, this ratio must be met for a period of 12 consecutive                      calendar                      months within the 15 months immediately preceding the                      issuance. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)   | In                      lieu of meeting the interest coverage ratio requirement, CILCO                      may attempt                      to meet an earnings requirement of at least 12% of the principal                      amount of                      all mortgage bonds outstanding and to be issued. For the three                      months and                      six months ended June 30, 2007, CILCO had earnings equivalent                      to at least                      43% of the principal amount of all mortgage bonds                      outstanding. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | See                      Note 3 – Credit Facilities and Liquidity for a discussion regarding                      a                      restriction on the issuance of preferred stock by CILCO under                      the                      2007 500 million credit facility and the 2006 $500 million credit                      facility. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                                                                                                         | **Required****Interest****Coverage****Ratio** | **Actual****Interest****Coverage****Ratio** | **Required****Debt–to-****Capital****Ratio** | **Actual****Debt–to-****Capital****Ratio** |
|------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------|---------------------------------------------|----------------------------------------------------|--------------------------------------------------|
| Genco                    (a)                 | ≥1.75(b)                                | 5.9                                         | ≤60%                                         | 52%                                              |
| CILCORP(c)                                                                                                                   | ≥2.2                                    | 3.3                                         | ≤67%                                         | 29%                                              |

| (a)   | Interest                    coverage ratio relates to covenants regarding certain dividend,                    principal                    and interest payments on certain subordinated intercompany borrowings.                    The                    debt-to-capital ratio relates to a debt incurrence covenant,                    which                    requires an interest coverage ratio of 2.5 for the most recently                    ended                    four fiscal quarters. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Ratio                    excludes amounts payable under Genco’s intercompany note to CIPS and must                    be met for both the prior four fiscal quarters and for the four                    succeeding                    six-month periods. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | CILCORP                    must maintain the required interest coverage ratio and debt-to-capital                    ratio in order to make any payment of dividends or intercompany                    loans to                    affiliates other than to its direct or indirect                    subsidiaries. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Off-Balance-Sheet          Arrangements**

**NOTE          5 – OTHER INCOME AND EXPENSES**

----

|                                                                                            | **Three                    Months** |   |   | **Six                    Months** |   |
|-------------------------------------------------------------------------------------------------|-------------------------------------|--------|--------|-----------------------------------|--------|
|                                                                                            | **2007**                            |   |   | **2006**                          |   |   | **2007** |   |   | **2006** |   |
| **Ameren:(a)**                                                                                  |                                |   |   |                              |   |   |   |   |   |   |   |
| Miscellaneous                    income:                                                        |                                |   |   |                              |   |   |   |   |   |   |   |
| Interest                    and dividend                    income                              | **$**                               | **14** |   |                              | $      | 8 |   |   | **$** | **25** |   |   | $ | 11 |   |
| Allowance                    for equity funds used                    during construction       | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **-** |   |   |   | 1 |   |
| Other                                                                                      | ** **                          | **6**  |   |                              |   | 3 |   |   | ** ** | **9** |   |   |   | 4 |   |
| Total                    miscellaneous                    income                                | **$**                               | **20** |   |                              | $      | 11 |   |   | **$** | **34** |   |   | $ | 16 |   |
| Miscellaneous                    expense:                                                       |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                                           | **$**                               | **(4** | **)**  |                              | $      | (1 | ) |   | **$** | **(4** | **)** |   | $ | (1 | ) |
| Total                    miscellaneous                    expense                               | **$**                               | **(4** | **)**  |                              | $      | (1 | ) |   | **$** | **(4** | **)** |   | $ | (1 | ) |
| **UE:**                                                                                         |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                    income:                                                        |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Interest                    and dividend                    income                              | **$**                               | **8**  |   |                              | $      | 8 |   |   | **$** | **15** |   |   | $ | 10 |   |
| Allowance                    for equity funds used                    during construction  | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **-** |   |   |   | 1 |   |
| Other                                                                                           | ** **                          | **4**  |   |                              |   | - |   |   | ** ** | **5** |   |   |   | 1 |   |
| Total                    miscellaneous                    income                                | **$**                               | **12** |   |                              | $      | 8 |   |   | **$** | **20** |   |   | $ | 12 |   |
| Miscellaneous                    expense:                                                       |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                                           | **$**                               | **(6** | **)**  |                              | $      | (2 | ) |   | **$** | **(8** | **)** |   | $ | (4 | ) |
| Total                    miscellaneous                    expense                               | **$**                               | **(6** | **)**  |                              | $      | (2 | ) |   | **$** | **(8** | **)** |   | $ | (4 | ) |
| **CIPS:**                                                                                       |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                    income:                                                        |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Interest                    and dividend                    income                              | **$**                               | **4**  |   |                              | $      | 4 |   |   | **$** | **8** |   |   | $ | 8 |   |
| Other                                                                                           | ** **                          | **1**  |   |                              |   | - |   |   | ** ** | **-** |   |   |   | 1 |   |
| Total                    miscellaneous                    income                                | **$**                               | **5**  |   |                              | $      | 4 |   |   | **$** | **8** |   |   | $ | 9 |   |
| Miscellaneous                    expense:                                                       |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                                           | **$**                               | **(1** | **)**  |                              | $      | - |   |   | **$** | **(1** | **)** |   | $ | (1 | ) |
| Total                    miscellaneous                    expense                               | **$**                               | **(1** | **)**  |                              | $      | - |   |   | **$** | **(1** | **)** |   | $ | (1 | ) |

----

----

|                                                                          | **Three                    Months** |   |   | **Six                    Months** |   |
|-------------------------------------------------------------------------------|-------------------------------------|--------|--------|-----------------------------------|--------|
|                                                                          | **2007**                            |   |   | **2006**                          |   |   | **2007** |   |   | **2006** |   |
| **Genco:**                                                                    |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                    expense:                                     |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                         | **$**                               | **1**  |   |                              | $      | - |   |   | **$** | **1** |   |   | $ | - |   |
| Total                    miscellaneous                    expense             | **$**                               | **1**  |   |                              | $      | - |   |   | **$** | **1** |   |   | $ | - |   |
| **CILCORP:**                                                                  |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                    income:                                      |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Interest                    and dividend                    income            | **$**                               | **-**  |   |                              | $      | 1 |   |   | **$** | **2** |   |   | $ | 1 |   |
| Total                    miscellaneous                    income              | **$**                               | **-**  |   |                              | $      | 1 |   |   | **$** | **2** |   |   | $ | 1 |   |
| Miscellaneous                    expense:                                     |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                         | **$**                               | **(2** | **)**  |                              | $      | (1 | ) |   | **$** | **(3** | **)** |   | $ | (2 | ) |
| Total                    miscellaneous                    expense             | **$**                               | **(2** | **)**  |                              | $      | (1 | ) |   | **$** | **(3** | **)** |   | $ | (2 | ) |
| **CILCO:**                                                                    |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                    income:                                      |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Interest  and                    dividend                    income | **$**                               | **1**  |   |                              | $      | - |   |   | **$** | **2** |   |   | $ | - |   |
| Total                    miscellaneous                    income              | **$**                               | **1**  |   |                              | $      | - |   |   | **$** | **2** |   |   | $ | - |   |
| Miscellaneous                    expense:                                     |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                         | **$**                               | **(2** | **)**  |                              | $      | (1 | ) |   | **$** | **(3** | **)** |   | $ | (2 | ) |
| Total                    miscellaneous                    expense             | **$**                               | **(2** | **)**  |                              | $      | (1 | ) |   | **$** | **(3** | **)** |   | $ | (2 | ) |
| **IP:**                                                                       |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Miscellaneous                    income:                                      |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Interest                    and dividend                    income            | **$**                               | **2**  |   |                              | $      | 1 |   |   | **$** | **3** |   |   | $ | 1 |   |
| Other                                                                         | ** **                          | **1**  |   |                              |   | - |   |   | ** ** | **2** |   |   |   | 1 |   |
| Total                    miscellaneous                    income              | **$**                               | **3**  |   |                              | $      | 1 |   |   | **$** | **5** |   |   | $ | 2 |   |
| Miscellaneous                    expense:                                     |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Other                                                                         | **$**                               | **-**  |   |                              | $      | (1 | ) |   | **$** | **(1** | **)** |   | $ | (2 | ) |
| Total                    miscellaneous                    expense             | **$**                               | **-**  |   |                              | $      | (1 | ) |   | **$** | **(1** | **)** |   | $ | (2 | ) |

| (a)   | Includes                    amounts for Ameren registrant and nonregistrant subsidiaries                    and                    intercompany eliminations. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

**NOTE          6 – DERIVATIVE FINANCIAL INSTRUMENTS**

----

|                                                                                                               | **Three                    Months** |   |   | **Six                    Months** |   |
|--------------------------------------------------------------------------------------------------------------------|-------------------------------------|--------|--------|-----------------------------------|--------|
| **Gains                    ( Losses)**                                                                             | **2007**                            |   |   | **2006**                          |   |   | **2007** |   |   | **2006** |   |
| Ameren                   | **$**                               | **8**  |   |                              | $      | 1 |   |   | **$** | **13** |   |   | $ | (1 | ) |
| UE                       | ** **                          | **(4** | **)**  |                              |   | - |   |   | ** ** | **(2** | **)** |   |   | 2 |   |
| Genco                    | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **-** |   |   |   | 1 |   |
| IP                       | ** **                          | **-**  |   |                              |   | (1 | ) |   | ** ** | **-** |   |   |   | (5 | ) |

----

|                                                                         | **Ameren**(a) |   |   | **UE** |   |   | **CIPS** |   |   | **Genco** |   |   | **CILCORP/****CILCO** |   |   | **IP** |   |
|------------------------------------------------------------------------------|---------------|--------|--------|--------|--------|--------|----------|--------|--------|-----------|--------|--------|-----------------------|--------|--------|--------|--------|
| Derivative                    instruments carrying value:                    |          |   |   |   |   |   |     |   |   |      |   |   |                  |   |   |   |   |
| Other                    assets                                              | $             | 83     |   |   | $      | 9      |     |   | $      | 1         |   |   | $                     | -      |   |   | $      | 5 |   |   | $ | - |   |
| Other                    deferred credits and                    liabilities |          | 14     |   |   |   | 4      |     |   |   | -         |   |   |                  | 2      |   |   |   | 1 |   |   |   | - |   |
| Gains                    (losses) deferred in Accumulated OCI:               |          |   |   |   |   |   |     |   |   |      |   |   |                  |   |   |   |   |   |   |   |   |   |   |
| Power                    forwards(b)                                         |          | 55     |   |   |   | 7      |     |   |   | -         |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Interest                    rate swaps(c)                               |          | 3      |   |   |   | -      |     |   |   | -         |   |   |                  | 3      |   |   |   | - |   |   |   | - |   |
| Gas                    swaps and futures                    contracts(d)     |          | 3      |   |   |   | -      |     |   |   | 1         |   |   |                  | -      |   |   |   | 4 |   |   |   | - |   |
| SO2                    futures                    contracts                  |          | (1     | )      |   |   | -      |     |   |   | -         |   |   |                  | (1     | )      |   |   | - |   |   |   | - |   |

| (a)   | Includes                    amounts for Ameren registrant and nonregistrant subsidiaries                    and                    intercompany eliminations. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Represents                    the mark-to-market value for the hedged portion of electricity                    price                    exposure for periods of up to four years, including $38 million                    over the                    next year. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Represents                    a gain associated with interest rate swaps at Genco that were                    a partial                    hedge of the interest rate on debt issued in June 2002. The swaps                    cover                    the first 10 years of debt that has a 30-year maturity and the                    gain in OCI                    is amortized over a 10-year period that began in June                    2002. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | Represents                    gains associated with natural gas swaps and futures contracts.                    The swaps                    are a partial hedge of our natural gas requirements through March                    2011. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**Other          Derivatives**

----

|                                                             | **Three                    Months** |   |   | **Six                    Months** |   |
|------------------------------------------------------------------|-------------------------------------|--------|--------|-----------------------------------|--------|
| **Gains                    (Losses)**                            | **2007**                            |   |   | **2006**                          |   |   | **2007** |   |   | **2006** |   |
| **SO2                    options and                    swaps:** |                                |   |   |                              |   |   |   |   |   |   |   |
| Ameren                                                           | **$**                               | **2**  |   |                              | $      | (2 | ) |   | **$** | **6** |   |   | $ | (3 | ) |
| UE                                                               | ** **                          | **1**  |   |                              |   | (1 | ) |   | ** ** | **5** |   |   |   | (2 | ) |
| Genco                                                            | ** **                          | **1**  |   |                              |   | (1 | ) |   | ** ** | **1** |   |   |   | (5 | ) |
| **Coal                    options:**                             |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Ameren                                                           | ** **                          | **1**  |   |                              |   | (1 | ) |   | ** ** | **2** |   |   |   | (1 | ) |
| UE                                                               | ** **                          | **1**  |   |                              |   | (1 | ) |   | ** ** | **2** |   |   |   | (1 | ) |
| **Heating                    oil options:**                      |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Ameren                                                           | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **3** |   |   |   | - |   |
| **Nonhedge                    power swaps and forwards:**        |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Ameren                                                           | ** **                          | **(5** | **)**  |                              |   | - |   |   | ** ** | **(4** | **)** |   |   | - |   |
| UE                                                               | ** **                          | **(4** | **)**  |                              |   | - |   |   | ** ** | **(4** | **)** |   |   | - |   |
| **Nonhedge                    gas futures:**                     |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Ameren                                                           | ** **                          | **2**  |   |                              |   | - |   |   | ** ** | **2** |   |   |   | - |   |
| UE                                                               | ** **                          | **2**  |   |                              |   | - |   |   | ** ** | **2** |   |   |   | - |   |

**NOTE          7 – RELATED PARTY TRANSACTIONS**

**Electric          Power Supply Agreements**

----

|                                                                                       |  **Three                    Months**  |                    **Six                    Months**  |
|--------------------------------------------------------------------------------------------|-------------------------------------------------|-----------------------------------------------------------------|
|                                                                                       | **2007**                                        | **2006**                                                        | **2007** | **2006** |
| Genco                    sales to   Marketing                    Company(a) | **-**                                           |  5,296                                                     |  **-** | 10,887 |
| Marketing                    Company   sales                    to CIPS(a)  | **-**                                           |  2,997                                                     |  **-** | 6,076 |
| Genco                    sales to   Marketing                    Company(b) | **3,838**                                       |  -                                                         |  **7,957** | - |
| AERG                    sales to   Marketing                    Company(b)  | **1,154**                                       |  -                                                         |  **2,642** | - |
| Marketing                    Company   sales                    to CIPS(c)  | **562**                                         |  -                                                         |  **1,181** | - |
| Marketing                    Company   sales                    to CILCO(c) | **285**                                         |  -                                                         |  **573** |  - |
| Marketing                    Company   sales                    to IP(c)    | **874**                                         |  -                                                         |  **1,700** | - |

| (a)   | These                    agreements expired or terminated on December 31,                    2006. |
|-----------------|----------------------------------------------------------------------------------------------------|

| (b)   | In                    December 2006, Genco and Marketing Company, and AERG and Marketing                    Company, entered into new power supply agreements whereby Genco                    and AERG                    sell and Marketing Company purchases all the capacity available                    from                    Genco’s and AERG’s generation fleets and such amount of associated energy                    commencing on January 1, 2007. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | In                    accordance with the January 2006 ICC order, discussed in Note                    2 – Rate and                    Regulatory Matters, an auction was held in September 2006 to                    procure power                    for CIPS, CILCO and IP after their previous power supply contracts                    expired                    on December 31, 2006. Through the auction, Marketing Company                    contracted                    with CIPS, CILCO and IP to provide power for their customers.                    See also                    Note 3 – Rate and Regulatory Matters under Part II, Item 8 of the Form                    10-K for further details of the power procurement auction in                    Illinois. See                    Note 2 – Rate and Regulatory Matters for a discussion of potential future                    changes in the Illinois power procurement process as a result                    of the                    electric settlement agreement reached among key stakeholders                    in July                    2007. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Joint          Dispatch Agreement**

----

|                                 |  **Three                    Months** |  **Six                    Months** |
|--------------------------------------|-------------------------------------------|-----------------------------------------|
| UE                    sales to Genco | 2,639                                     | 5,434                                   |
| Genco                    sales to UE | 1,111                                     | 1,717                                   |

----

----

|   | **Three                    Months** |                      **Six                    Months** |
|--------|-------------------------------------|-------------------------------------------------------------|
| UE     | $25                                 | $58                                                         |
| Genco  | 5                                   |                      17                                |
| Total  | $30                                 | $75                                                         |

**Money          Pools**

**Intercompany          Promissory Notes**

----

|          |   | **Three                      Months**  | **Six                      Months**  |
|---------------|--------|---------------------------------------------|-------------------------------------------|
| **Agreement** |   | **UE**                                      | **CIPS**                                  | **Genco** | **CILCORP(a)** | **IP** | **UE** | **CIPS** | **Genco** | **CILCORP(a)** | **IP** |

| **Operating                            Revenues:**                                             |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |
|------------------------------------------------------------------------------------------------|----------------|--------|------------------------------------------------------------------------------------------------------|---------|-------------|---------------|------------|-------------|---------------|-------------|-------------|------------|---------------|--------------------------------------------------------------|-------------|---------------|-------------------------------------------------------------------------------------------|-------------|----------------------------------------------------------------------------|-------------|-------------|---------------|-------------|---------|--------------------------------------------------------------------------------------------------|-------------|-------------|---------------|---------------|-------------|-------------------------------------------------------------------------------------------------------------------------------------------|
| Genco                            and AERG power supply agreements                              | **2007**       |   | **$**                                                                                                | **(b)** |        |  **$**   |       | **(b)**     |          |        | **$**       | **182**    |          |  **$**                                                  |        | **62**        |                                                                                      |  **$** |                                                                       | **(b)**     |        |          | **$**       | **(b)** |                                                                                             |  **$** |        | **(b)**       |          |        | **$**                                                                                                                                     | **393** |   |  **$** |   | **134** |   |  **$** |   | **(b)** |   |
| with                            Marketing Company                                              |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| Ancillary                            service agreement with CIPS, CILCO and IP                 | **2007**       |   | ** **                                                                                           | **4**   |        |          | **(b)**    |        |          | **(b)**     |        |       | **(b)**       |                                                         |        | **(b)**       |                                                                                      |        | ** **                                                                 | **8**       |        |          | **(b)**     |    |                                                                                             | **(b)**     |        |          | **(b)**       |        |                                                                                                                                      | **(b)** |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| Power                            supply agreement with Marketing Company -                     |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| expired                            December 31, 2006                                           | 2006           |   | (b)                                                                                                  |    |        | (b)           |       |        |          | 194         |        |       |          | 1                                                            |        |          | (b)                                                                                       |        |                                                                       | (b)         |        |          | (b)         |    |                                                                                             |        | 389         |          |          |        | 5                                                                                                                                         |   |   | (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| UE                            and Genco gas                                                    | **2007**       |   | **(c)**                                                                                              |    |        | **(b)**       |       |        | **(b)**       |        |        | **(b)**    |          |                                                         | **(b)**     |          |                                                                                      | **(c)**     |                                                                       |        | **(b)**     |          |        | **(b)** |                                                                                             |        | **(b)**     |          |          | **(b)**     |                                                                                                                                      |
| transportation                            agreement                                            | 2006           |   | (c)                                                                                                  |    |        | (b)           |       |        | (b)           |        |        | (b)        |          |                                                         | (b)         |          |                                                                                      | (c)         |                                                                       |        | (b)         |          |        | (b)     |                                                                                             |        | (b)         |          |          | (b)         |                                                                                                                                      |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |
| JDA                            – terminated December                            31, 2006 | 2006           |   |                                                                                                 | 49      |        |          | (b)        |        |          |        | 27          |       |          | (b)                                                          |        |          | (b)                                                                                       |        |                                                                       |        | 121         |          |        | (b)     |                                                                                             |        |        | 46            |          |        | (b)                                                                                                                                       |   |   | (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |
| **Total                            Operating Revenues**                                   |  **2007** |   |  **$**                                                                                          | **4**   |        |  **$**   | **(b)**    |        |          |  **$** | **182**     |       |  **$**   |          **62** |        |  $       |       **                               (b)** |        |                                                                       |  **$** | **8**       | ** **    | ** $** | **(b)** |                                                                                             |        |  **$** |  **393** |          |  **$** | **                                             134** |   |  **$** | **                                                (b)** |   |
|                                                                                           | 2006           |   |                                                                                                 | 49      |        |          | (b)        |        |          |        | 221         |       |          |                                                         | 1           |          |                                                                                      | (b)         |                                                                       |        |        | 121           |        |    | (b)                                                                                              |        |        |          | 435           |        |                                                                                                                                      |   | 5 |   |   | (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| **Fuel                            and Purchased Power:**                                       |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| CIPS,                            CILCO and IP agreements with Marketing                        | **2007**       |   | **$**                                                                                                | **(b)** |        |  **$**   |       | **36**      |          |        | **$**       | **(b)**    |          |  **$**                                                  |        | **19**        |                                                                                      |  **$** |                                                                       | **57**      |        |          | **$**       | **(b)** |                                                                                             |  **$** |        | **78**        |          |        | **$**                                                                                                                                     | **(b)** |   |  **$** |   | **38** |   |  **$** |   | **112** |   |
| Company                            (auction)                                                   |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |
| Ancillary                            service agreement with UE                                 | **2007**       |   | **(b)**                                                                                              |    |        | ** **    | **2**      |        |          | **(b)**     |        |       | **(c)**       |                                                         |        | ** **    | **2**                                                                                     |        |                                                                       | **(b)**     |        |          | ** **  | **3**   |                                                                                             |        | **(b)**     |          |          | ** **  | **1**                                                                                                                                     |   |   | ** ** | **4** |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |
| Ancillary                            service agreement with Marketing Company                  | **2007**       |   | **(b)**                                                                                              |    |        | ** **    | **1**      |        |          | **(b)**     |        |       | **(c)**       |                                                         |        | ** **    | **1**                                                                                     |        |                                                                       | **(b)**     |        |          | ** **  | **2**   |                                                                                             |        | **(b)**     |          |          | ** **  | **1**                                                                                                                                     |   |   | ** ** | **2** |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| JDA                            – terminated December                            31, 2006 | 2006           |   |                                                                                                 | 27      |        |          | (b)        |        |          |        | 49          |       |          | (b)                                                          |        |          | (b)                                                                                       |        |                                                                       |        | 46          |          |        | (b)     |                                                                                             |        |        | 121           |          |        | (b)                                                                                                                                       |   |   | (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| Power                            supply agreement with Marketing Company -                     |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| expired                            December 31, 2006                                           | 2006           |   | (b)                                                                                                  |    |        |          | 111        |        |          | (b)         |        |       | (c)           |                                                         |        | (b)           |                                                                                      |        | (b)                                                                        |        |        |          | 219         |    |                                                                                             | (b)         |        |          | (c)           |        |                                                                                                                                      | (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |
| Executory                            tolling agreement                               | **2007**       |   | **(b)**                                                                                              |    |        | **(b)**       |       |        | **(b)**       |        |        | ** ** | **8**         |                                                         |        | **(b)**       |                                                                                      |        | **(b)**                                                                    |        |        | **(b)**       |        |    | **(b)**                                                                                          |        |        | ** **    | **20**        |        |                                                                                                                                      | **(b)** |   |
| with                            Medina Valley                                                  | 2006           |   | (b)                                                                                                  |    |        | (b)           |       |        | (b)           |        |        |       | 7             |                                                         |        | (b)           |                                                                                      |        | (b)                                                                        |        |        | (b)           |        |    | (b)                                                                                              |        |        |          | 20            |        |                                                                                                                                      | (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |
| UE                          and Genco gas                                                 |  **2007** |   |           **(b)**                                  |    |        |  **(b)** |       |        |  **(c)** |        |        |       | **(b)**  |                                                         |        |  **(b)** |                                                                                      |        |  **(b)**                                                              |        |        |  **(b)** |        |    |  **(c)**                                                                                    |        |        |          | **(b)**  |        |                                                                                                                                      |  **(b**) |   |
| transportation                            agreement                                       |  2006     |   |  (b)                                                                                            |    |        |  (b)     |       |        |  (c)     |        |        |       | (b)      |                                                         |        |  (b)     |                                                                                      |        |  (b)                                                                  |        |        |  (b)     |        |    |  (c)                                                                                        |        |        |          | (b)      |        |                                                                                                                                      |  (b) |   |
|                                                                                           |           |   |                                                                                                 |    |        |          |       |        |          |        |        |       |          |                                                         |        |          |                                                                                      |        |                                                                       |        |        |          |        |    |                                                                                             |        |        |          |          |        |                                                                                                                                      |   |   |
| **Total                            Fuel and****Purchased**                                     |  **2007** |   | **$ **                                     **(b)** |    |  **$** |  **39**  | ** ** | ** **$ |  **(c)** |        |  **$** |       | **27**   |                                                         |  **$** |  **60**  |                                                                                      |        | **$           (b)** |        |  **$** | ** 83**  | ** **  |    | **$                                      (c)** |        |  **$** |          | **60 **  |        |  **$**                                                                                                                               |  **118** |   |
| **Power**                                                                                      |  2006     |   |  27                                                                                             |    |        |  111     |       |        |  49      |        |        |       | 7        |                                                         |        |  (b)     |                                                                                      |        |  46                                                                   |        |        |  219     |        |    |  121                                                                                        |        |        |          | 20       |        |                                                                                                                                      |  (b) |   |

----

----

|  |   | **Three                            Months**  | **Six                            Months**  |
|--|--------|---------------------------------------------------|-------------------------------------------------|

|                                                                            |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |
|---------------------------------------------------------------------------------|----------|--------|------------|--------|--------|----------|------------|---------|-----------|------------|----------------------------|--------|---------|-------------|--------|---------|------------|---------|------------|---------|------------|-----------|---------|----------------------------|------------|---------|--------|------------|------------|--------|--------|
| **Agreement**                                                                   |     |   | **UE**     |   |   | **CIPS** |       |    | **Genco** |       |  **CILCORP(a)**  |   | **IP**  |        |   | **UE**  |       |    | **CIPS**   |    |       | **Genco** |    |  **CILCORP(a)**  |       | **IP**  |   |
| **Other                            Operating Expense:**                         |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Ameren                            Services support                              | **2007** |   | **$**      | **32** |   |     | **$**      | **11**  |      |       | **$**                      | **6**  |    |  **$** |   | **12**  |       |    | **$**      | **17**  |       |      | **$**   | **68**                     |       |    | **$**  | **23**     |       |   | **$**  | **12** |   |   | **$** | **25** |   |   | **$** | **36** |   |
| services                            agreement                                   | 2006     |   |       | 36     |   |     |       | 13      |      |       |                       | 6      |    |        |   | 13      |       |    |       | 19      |       |      |    | 69                         |       |    |   | 24         |       |   |   | 11 |   |   |   | 25 |   |   |   | 36 |   |
|                                                                            |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |   |   |
| Ameren                            Energy support                                | **2007** |   | ** ** | **2**  |   |     | **(b)**    |    |      | **(c)**    |                       |   | **(b)** |        |   | **(b)** |       |    | ** ** | **5**   |       |      | **(b)** |                       |       | **(c)** |   |       | **(b)**    |   |   | **(b)** |   |
| services                            agreement                                   | 2006     |   |       | 2      |   |     | (b)        |    |      | (c)        |                       |   | (b)     |        |   | (b)     |       |    |       | 4       |       |      | (b)     |                       |       |    | 1      |       |       | (b)    |   |   | (b) |   |
|                                                                            |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |   |   |   |   |   |   |   |   |
| AFS                            support services                                 | **2007** |   | ** ** | **1**  |   |     | ** ** | **1**   |      |       | **(c)**                    |   |    | **(c)**     |   |    | ** ** | **1**   |       |    | ** ** | **3**     |    |                       | ** ** | **1**   |   |       | ** ** | **1**  |   |   | ** ** | **1** |   |   | ** ** | **1** |   |
| agreement                                                                  | 2006     |   |       | 1      |   |     |       | 1       |      |       | (c)                        |   |    |        | 1      |    |       | (c)     |       |    |       | 2         |    |                       |       | 1       |   |       |       | 1      |   |   |   | 1 |   |   |   | 1 |   |
|                                                                            |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |   |   |   |   |   |   |
| Insurance                            premiums                                   | **2007** |   | ** ** | **5**  |   |     | **(b)**    |    |      | ** ** | **1**                      |   |    | ** **  | **1**  |    |       | **(b)** |       |    | ** ** | **9**     |    |                       | **(b)**    |    |   | ** ** | **2**      |   |   | ** ** | **1** |   |   | **(b)** |   |
|                                                                            |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |   |   |   |   |   |   |
| **Total                            Other Operating**                            | **2007** |   | **$**      | **40** |   |     | **$**      | **12**  |      |       | **$**                      | **7**  |    |  **$** |   | **13**  |       |    | **$**      | **18**  |       |      | **$**   | **85**                     |       |    | **$**  | **24**     |       |   | **$**  | **15** |   |   | **$** | **27** |   |   | **$** | **37** |   |
| **Expenses**                                                               | 2006     |   |       | 39     |   |     |       | 14      |      |       |                       | 6      |    |        |   | 14      |       |    |       | 19      |       |      |    | 75                         |       |    |   | 25         |       |   |   | 13 |   |   |   | 26 |   |   |   | 37 |   |
|                                                                            |     |   |       |   |   |     |       |    |      |       |                       |   |    |        |   |    |       |    |       |    |       |      |    |                       |       |    |   |       |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                            expense (income) from money pool borrowings | **2007** |   | **$**      | **-**  |   |     | **$**      | **(c)** |      |       | **$**                      | **2**  |    |  **$** |   | **(c)** |       |    | **$**      | **(c)** |       |      | **$**   | **-**                      |       |    | **$**  | **(c)**    |       |   | **$**  | **4** |   |   | **$** | **(c)** |   |   | **$** | **(c)** |   |
| (advances)                                                                      | 2006     |   | (c)        |   |   |     | (1)        |    |      |       | 3                          |   |    |        | 1      |    |       | (c)     |       |    | (c)        |      |    |                       | (1)        |    |   |       | 5          |   |   |   | 3 |   |   |   | 1 |   |

| (a)   | Amounts                    represent CILCORP and CILCO                    activity. |
|-----------------|-------------------------------------------------------------------------------------|

| (b)   | Not                    applicable. |
|-----------------|------------------------------------|
| (c)                     | Amount                  less than $1 million.  |
|-----------------------------------|-----------------------------------------------------|

**NOTE          8 – COMMITMENTS AND CONTINGENCIES**

**Callaway          Nuclear Plant**

----

| **Type                    and Source of Coverage**                    | **Maximum                    Coverages** |   |   | **Maximum                    Assessments for Single Incidents** |   |
|-----------------------------------------------------------------------|------------------------------------------|--------|--------|-----------------------------------------------------------------|--------|
| Public                    liability:                                  |                                     |   |   |                                                            |   |
| American                    Nuclear                    Insurers       |                                     | 300    |   |                                                            |   | - |   |
| Pool                    participation                                 |                                     | 10,461 | (a)    |                                                            |   | 101 | (b) |
|                                                                  | $                                        | 10,761 | (c)    |                                                            | $      | 101 |   |
| Nuclear                    worker liability:                          |                                     |   |   |                                                            |   |   |   |
| American                    Nuclear                    Insurers       | $                                        | 300    | (d)    |                                                            | $      | 4 |   |
| Property                    damage:                                   |                                     |   |   |                                                            |   |   |   |
| Nuclear                    Electric Insurance                    Ltd. | $                                        | 2,750  | (e)    |                                                            | $      | 24 |   |
| Replacement                    power:                                 |                                     |   |   |                                                            |   |   |   |
| Nuclear                    Electric Insurance                    Ltd. | $                                        | 490    | (f)    |                                                            | $      | 9 |   |

| (a)                       | Provided                    through mandatory participation in an industry-wide retrospective                    premium                    assessment program. |
|-------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)                         | Retrospective                    premium under the Price-Anderson liability provisions of the                    Atomic Energy                    Act of 1954, as amended. This is subject to retrospective assessment                    with respect to a covered loss in excess of $300 million from                    an incident                    at any licensed U.S. commercial reactor, payable at $15 million                    per year. |
|--------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)                       | Limit                    of liability for each incident under Price-Anderson. This limit                    is subject                    to change to account for the effects of inflation and changes                    in the                    number of licensed reactors. |
|-------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)                       | Industry                    limit for potential liability for worker tort claims filed for                    bodily                    injury caused by a nuclear energy accident. Effective January                    1, 1998,                    this program was modified to provide coverage to all workers                    whose                    nuclear-related employment began on or after the commencement                    date of                    reactor operations. |
|-------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)                       | Provides                    for $500 million in property damage and decontamination, excess                    property                    insurance, and premature decommissioning coverage up to $2.25 billion                    for losses in excess of the $500 million primary                    coverage. |
|-------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)                       | Provides                    the replacement power cost insurance in the event of a prolonged                    accidental outage at a nuclear plant. Weekly indemnity of $4.5                    million for                    52 weeks, which commences after the first eight weeks of an outage,                    plus                    $3.6 million per week for 71.1 weeks                    thereafter. |
|-------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**Other          Obligations**

----

|          | **2007**   |    |   | **2008** |   |   | **2009** |   |   | **2010** |   |   | **2011** |   |   | **Thereafter(a)** |   |
|---------------|------------|---------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|-------------------|--------|
| Ameren(b)     | **$**      | **351** |   |     | $      | 495    |     |   | $      | 343      |   |   | $        | 227    |   |              | $      | 200 |   |   | $ | 1,961 |   |
| UE            | ** ** | **41**  |   |     |   | 71     |     |   |   | 51       |   |   |     | 32     |   |              |   | 26 |   |   |   | 56 |   |
| CIPS          | ** ** | **64**  |   |     |   | 110    |     |   |   | 78       |   |   |     | 55     |   |              |   | 39 |   |   |   | 69 |   |
| Genco         | ** ** | **15**  |   |     |   | 19     |     |   |   | 8        |   |   |     | 8      |   |              |   | 8 |   |   |   | 13 |   |
| CILCORP/CILCO | ** ** | **88**  |   |     |   | 127    |     |   |   | 84       |   |   |     | 47     |   |              |   | 56 |   |   |   | 839 | (c) |
| IP            | ** ** | **137** |   |     |   | 161    |     |   |   | 119      |   |   |     | 84     |   |              |   | 70 |   |   |   | 983 | (c) |

| (a)                          | Commitments                    for natural gas are until 2017. |
|-------------------------------------------------------|----------------------------------------------------------------|

| (b)                          | Includes                    amounts for Ameren registrant and nonregistrant subsidiaries                    and                    intercompany eliminations. |
|-------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)                          | Commitments                    for natural gas purchases for CILCO and IP include projected                    synthetic                    natural gas purchases pursuant to a 20-year supply contract beginning                    in                    April 2011. |
|-------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|      | **2007** |   |   | **2008** |   |   | **2009** |   |   | **2010** |   |   | **2011** |   |   | **Thereafter(a)** |   |
|-----------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|-------------------|--------|
| Ameren/UE | $        | 51     |   |     | $      | 81     |     |   | $      | 37       |   |   | $        | 113    |   |              | $      | 33 |   |   | $ | 139 |   |

| (a)                          | Commitments                    for nuclear fuel are until 2020. |
|-------------------------------------------------------|-----------------------------------------------------------------|

----

**Environmental          Matters**

*Clean          Air Act*

----

|                            | **2007**                            | **2008                    – 2011**                | **2012                    - 2016**                                                           | **Total**                                         |
|---------------------------------|-------------------------------------|---------------------------------------------------------|----------------------------------------------------------------------------------------------|---------------------------------------------------|
| UE(a)                           | $                    110            |  $     630-830            | $     910-1,180                                                     | $  1,650-2,120                          |
| Genco                           |                       110 |      820-1,060                 |        180-                      260            |                        1,110-1,430 |
| CILCO                    (AERG) |                       100 |         185-240 |          95-                      140 |       380-480       |
| EEI                             |  10                            |         185-240 |        165-                      220            |       360-470       |
| Ameren                          | $                    330            |    $ 1,820-2,370                    | $  1,350-1,800                                                                     | $  3,500-4,500                          |

| (a)   | UE’s                    expenditures are expected to be recoverable in rates over                    time. |
|-----------------|------------------------------------------------------------------------------------------------------------------|

----

*Emission          Allowances*

----

|                                                                                                                                                                                  | **SO2(a)**  | **NOx(b)**                      | **Book                    Value** |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|---------------------------------|-----------------------------------|
| UE                                                       |  1.633 | 21,994                          | $    58       |
| Genco                                                    |  0.637 | 14,746                          | 64                                |
| CILCO                    (AERG)                          |  0.304 |                      3,419 | 2                                 |
| EEI                                                      |  0.300 |   4,690               | 9                                 |
| Ameren                                                   |  2.874 | 44,849                          | 206(c)                            |

| (a)                       | Vintages                    are from 2007 to 2016. Each company possesses additional allowances                    for                    use in periods beyond 2016. Units are in millions of SO2                    allowances (currently one allowance equals one ton                    emitted). |
|-------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Vintages                    are from 2007 to 2008. Units are in NOx allowances (one                    allowance equals one ton emitted). |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------|

| (c)                       | Includes                    value assigned to AERG and EEI allowances as a result of purchase                    accounting of $73 million. |
|-------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------|

*Renewable          Energy*

| ·   | at                    least 2% by June 1, 2008; |
|--------------------|-------------------------------------------------|

| ·   | at                    least 4% by June 1, 2009, increasing by at least 1% each year                    thereafter                    through June 1, 2015; and |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | increasing                    by at least 1.5% each year after June 1, 2015 to at least 25%                    by June 1,                    2025. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------|

*Global          Climate*

----

*** ***

*New          Source Review*

*Environmental Defense v. Duke Energy Corp.,*

*Remediation*

----

*Polychlorinated          Biphernals Information Request*

*Pumped-storage          Hydroelectric Facility Breach*

----

**Asbestos-related          Litigation**

----

|      |                         | **Specifically                    Named as Defendant** |
|-----------|------------------------------|--------------------------------------------------------|
|      | **Total**(a)                 | **Ameren**                                             | **UE** | **CIPS** | **Genco** | **CILCO** | **IP** |
| Filed     | 334                          | 31                                                     | 185 | 141 | 2 | 45 |  159 |
| Settled   | 112                          |                      -                            |                      57 |                      47 | - | 17 |                       57 |
| Dismissed | 151                          | 27                                                     |                      98 |                      51 | 2 |                      9 |                       69 |
| Pending   |                      71 |  4                                                |                      30 |                      43 | - | 19 |                       33 |

| (a)                           | Addition                    of the numbers in the individual columns does not equal the total                    column                    because some of the lawsuits name multiple Ameren entities as                    defendants. |
|-------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**NOTE          9 – CALLAWAY NUCLEAR PLANT**

**NOTE          10 – OTHER COMPREHENSIVE INCOME**

----

|                                                                                                                                                                    | **Three                    Months** |    |   | **Six                    Months** |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------|---------|--------|-----------------------------------|--------|
|                                                                                                                                                                    | **2007**                            |    |   | **2006**                          |   |   | **2007** |   |   | **2006** |   |
| **Ameren:(a)**                                                                                                                                                          |                                |    |   |                              |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                           | **$**                               | **143** |   |                              | $      | 123 |   |   | **$** | **266** |   |   | $ | 193 |   |
| Unrealized                    gain (loss) on derivative hedging instruments, net of taxes (benefit)                    of $12, $5, $(3) and $(5), respectively          | ** **                          | **23**  |   |                              |   | 9 |   |   | ** ** | **(5** | **)** |   |   | (8 | ) |
| Reclassification                    adjustments for (gain) included in net income, net of taxes                    of $2, $-, $9 and $2, respectively                   | ** **                          | **(2**  | **)**  |                              |   | (1 | ) |   | ** ** | **(15** | **)** |   |   | (4 | ) |
| Adjustment                    to pension and benefit obligation, net of taxes (benefit) of$(1),                    $-, $(2) and $-, respectively                        | ** **                          | **(2**  | **)**  |                              |   | - |   |   | ** ** | **-** |   |   |   | - |   |
| Total                    comprehensive income, net                    of taxes                                                                                          | **$**                               | **162** |   |                              | $      | 131 |   |   | **$** | **246** |   |   | $ | 181 |   |
| **UE:**                                                                                                                                                                 |                                |    |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                           | **$**                               | **81**  |   |                              | $      | 92 |   |   | **$** | **119** |   |   | $ | 143 |   |
| Unrealized                    gain (loss) on derivative hedging instruments, net of taxes(benefit)                    of $2, $(1), $(1) and $(3), respectively          | ** **                          | **4**   |   |                              |   | (1 | ) |   | ** ** | **(1** | **)** |   |   | (5 | ) |
| Reclassification                    adjustments for (gain) loss included in net income, net of taxes                    (benefit) of $(1) , $-, $1 and $-, respectively | ** **                          | **1**   |   |                              |   | 1 |   |   | ** ** | **(2** | **)** |   |   | 1 |   |
| Total                    comprehensive income, net of taxes                                                                                                             | **$**                               | **86**  |   |                              | $      | 92 |   |   | **$** | **116** |   |   | $ | 139 |   |

----

----

|                                                                                                                                                                        | **Three                    Months** |   |   | **Six                    Months** |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------|--------|--------|-----------------------------------|--------|
|                                                                                                                                                                        | **2007**                            |   |   | **2006**                          |   |   | **2007** |   |   | **2006** |   |
| **CIPS:**                                                                                                                                                                   |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                               | **$**                               | **5**  |   |                              | $      | 15 |   |   | **$** | **16** |   |   | $ | 14 |   |
| Unrealized                    (loss) on derivative hedging instruments, net of taxes (benefit)                    of                    $-, $(1), $- and $(3), respectively | ** **                          | **(1** | **)**  |                              |   | (1 | ) |   | ** ** | **-** |   |   |   | (4 | ) |
| Reclassification                    adjustments for (gain) included in net income, net of taxes                    of $-, $-, $- and $1, respectively                       | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **-** |   |   |   | (1 | ) |
| Total                    comprehensive income, net                    of taxes                                                                                              | **$**                               | **4**  |   |                              | $      | 14 |   |   | **$** | **16** |   |   | $ | 9 |   |
| **Genco:**                                                                                                                                                                  |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                               | **$**                               | **17** |   |                              | $      | 2 |   |   | **$** | **60** |   |   | $ | 8 |   |
| Unrealized                    (loss) on derivative hedging instruments, net of taxes (benefit)                    of                    $-, $-, $(1) and $-, respectively   | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **(2** | **)** |   |   | (1 | ) |
| Reclassification                    adjustments for loss included in net income, net of taxes of                    $-, $-, $- and $-, respectively                         | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **-** |   |   |   | 1 |   |
| Adjustment                    to pension and benefit obligation, net of taxes (benefit) of$(2),                    $-, $(2) and $-, respectively                            | ** **                          | **(3** | **)**  |                              |   | - |   |   | ** ** | **(2** | **)** |   |   | - |   |
| Total                    comprehensive income, net of taxes                                                                                                                 | **$**                               | **14** |   |                              | $      | 2 |   |   | **$** | **56** |   |   | $ | 8 |   |
| **CILCORP:**                                                                                                                                                                |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                               | **$**                               | **12** |   |                              | $      | 1 |   |   | **$** | **32** |   |   | $ | 9 |   |
| Unrealized                    gain (loss) on derivative hedging instruments, net of taxes(benefit)                    of $(2), $(2), $- and $(10), respectively             | ** **                          | **(2** | **)**  |                              |   | (3 | ) |   | ** ** | **1** |   |   |   | (15 | ) |
| Reclassification                    adjustments for (gain) loss included in net income, net of taxes                    (benefit) of $(1), $-, $1 and $-, respectively      | ** **                          | **1**  |   |                              |   | - |   |   | ** ** | **(2** | **)** |   |   | - |   |
| Adjustment                    to pension and benefit obligation, net of taxes of $(1), $-,                    $-and                    $-, respectively                     | ** **                          | **(1** | **)**  |                              |   | - |   |   | ** ** | **-** |   |   |   | - |   |
| Total                    comprehensive income                    (loss), net of taxes                                                                                       | **$**                               | **10** |   |                              | $      | (2 | ) |   | **$** | **31** |   |   | $ | (6 | ) |
| **CILCO:**                                                                                                                                                                  |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                               | **$**                               | **21** |   |                              | $      | 8 |   |   | **$** | **47** |   |   | $ | 25 |   |
| Unrealized                    gain (loss) on derivative hedging instruments, net of taxes (benefit)                    of $(2), $(2), $- and $(10), respectively            | ** **                          | **(2** | **)**  |                              |   | (3 | ) |   | ** ** | **1** |   |   |   | (15 | ) |
| Reclassification                    adjustments for (gain) included in net income, net of taxes                    of $-, $-, $1 and $-, respectively                       | ** **                          | **-**  |   |                              |   | - |   |   | ** ** | **(3** | **)** |   |   | - |   |
| Total                    comprehensive income, net of taxes                                                                                                                 | **$**                               | **19** |   |                              | $      | 5 |   |   | **$** | **45** |   |   | $ | 10 |   |
| **IP:**                                                                                                                                                                     |                                |   |   |                              |   |   |   |   |   |   |   |   |   |   |   |
| Net                    income                                                                                                                                               | **$**                               | **7**  |   |                              | $      | 16 |   |   | **$** | **20** |   |   | $ | 20 |   |
| Unrealized                    gain on derivative hedging instruments, net of taxes of $-, $1,                    $-                    and $3, respectively                 | ** **                          | **-**  |   |                              |   | 1 |   |   | ** ** | **-** |   |   |   | 4 |   |
| Reclassification                    adjustments for (gain) included in net income, net of taxes                    of $-, $1, $- and $3, respectively                       | ** **                          | **-**  |   |                              |   | (1 | ) |   | ** ** | **-** |   |   |   | (4 | ) |
| Total                    comprehensive income, net of taxes                                                                                                                 | **$**                               | **7**  |   |                              | $      | 16 |   |   | **$** | **20** |   |   | $ | 20 |   |

| (a)                          | Includes                    amounts for Ameren registrant and nonregistrant subsidiaries                    and                    intercompany eliminations. |
|-------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

**NOTE          11 – RETIREMENT BENEFITS**

----

----

|                                                                     | **Pension                    Benefits(a)** |    |   | **Postretirement                    Benefits(a)** |   |
|--------------------------------------------------------------------------|--------------------------------------------|---------|--------|---------------------------------------------------|--------|
|                                                                     | **Three                    Months**        |    |   | **Six                    Months**                 |   |   | **Three                    Months** |   |   | **Six                    Months** |   |
|                                                                     | **2007**                                   |    |   | **2006**                                          |   |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| Service                    cost                                     | **$**                                      | **15**  |   |                                              | $      | 15 |   |   | **$** | **31** |   |   | $ | 31 |   |   | **$** | **4** |   |   | $ | 5 |   |   | **$** | **10** |   |   | $ | 11 |   |
| Interest                    cost                                    | ** **                                 | **45**  |   |                                              |   | 43 |   |   | ** ** | **90** |   |   |   | 86 |   |   | ** ** | **17** |   |   |   | 15 |   |   | ** ** | **36** |   |   |   | 33 |   |
| Expected                    return on plan assets                        | ** **                                 | **(51** | **)**  |                                              |   | (49 | ) |   | ** ** | **(103** | **)** |   |   | (98 | ) |   | ** ** | **(13** | **)** |   |   | (11 | ) |   | ** ** | **(26** | **)** |   |   | (23 | ) |
| Amortization                    of:                                      |                                       |    |   |                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Transition                    obligation                                 | ** **                                 | **-**   |   |                                              |   | - |   |   | ** ** | **-** |   |   |   | - |   |   | ** ** | **1** |   |   |   | 1 |   |   | ** ** | **1** |   |   |   | 1 |   |
| Prior                    service cost                    (benefit)  | ** **                                 | **3**   |   |                                              |   | 3 |   |   | ** ** | **6** |   |   |   | 5 |   |   | ** ** | **(2** | **)** |   |   | (2 | ) |   | ** ** | **(4** | **)** |   |   | (3 | ) |
| Actuarial                    loss                                   | ** **                                 | **5**   |   |                                              |   | 10 |   |   | ** ** | **11** |   |   |   | 21 |   |   | ** ** | **5** |   |   |   | 7 |   |   | ** ** | **12** |   |   |   | 17 |   |
| Net                    periodic benefit cost                             | **$**                                      | **17**  |   |                                              | $      | 22 |   |   | **$** | **35** |   |   | $ | 45 |   |   | **$** | **12** |   |   | $ | 15 |   |   | **$** | **29** |   |   | $ | 36 |   |

| (a)   | Includes                    amounts for Ameren registrant and nonregistrant                    subsidiaries. |
|-----------------|--------------------------------------------------------------------------------------------------------------|

----

|    | **Pension                    Costs** |   |   | **Postretirement                    Costs** |   |
|---------|--------------------------------------|--------|--------|---------------------------------------------|--------|
|    | **Three                    Months**  |   |   | **Six                    Months**           |   |   | **Three                    Months** |   |   | **Six                    Months** |   |
|    | **2007**                             |   |   | **2006**                                    |   |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| Ameren  | **$**                                | **17** |   |                                        | $      | 22 |   |   | **$** | **35** |   |   | $ | 45 |   |   | **$** | **12** |   |   | $ | 15 |   |   | **$** | **29** |   |   | $ | 36 |   |
| UE      | ** **                           | **10** |   |                                        |   | 13 |   |   | ** ** | **20** |   |   |   | 26 |   |   | ** ** | **6** |   |   |   | 8 |   |   | ** ** | **15** |   |   |   | 19 |   |
| CIPS    | ** **                           | **2**  |   |                                        |   | 3 |   |   | ** ** | **4** |   |   |   | 6 |   |   | ** ** | **1** |   |   |   | 2 |   |   | ** ** | **3** |   |   |   | 4 |   |
| Genco   | ** **                           | **1**  |   |                                        |   | 1 |   |   | ** ** | **2** |   |   |   | 3 |   |   | ** ** | **1** |   |   |   | 1 |   |   | ** ** | **2** |   |   |   | 2 |   |
| CILCORP | ** **                           | **2**  |   |                                        |   | 3 |   |   | ** ** | **5** |   |   |   | 6 |   |   | ** ** | **1** |   |   |   | 1 |   |   | ** ** | **3** |   |   |   | 4 |   |
| IP      | ** **                           | **1**  |   |                                        |   | 2 |   |   | ** ** | **3** |   |   |   | 4 |   |   | ** ** | **3** |   |   |   | 3 |   |   | ** ** | **6** |   |   |   | 7 |   |
| EEI     | ** **                           | **1**  |   |                                        |   | - |   |   | ** ** | **1** |   |   |   | - |   |   | ** ** | **-** |   |   |   | - |   |   | ** ** | **-** |   |   |   | - |   |

| (a)                          | Includes                    amounts for Ameren registrant and nonregistrant                    subsidiaries. |
|-------------------------------------------------------|--------------------------------------------------------------------------------------------------------------|

**NOTE          12 – SEGMENT INFORMATION**

----

----

|   **Three                    Months**                                                                                                                                                                                                                                                      | **Missouri                    Regulated** |      |   | **Illinois****Regulated** |       |      | **Non-rate-regulated                    Generation** |   |       | **Other** |   |   | **Intersegment                    Eliminations** |   |   | **Consolidated** |       |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|-----------|--------|---------------------------|------------|-----------|------------------------------------------------------|--------|------------|-----------|--------|--------|--------------------------------------------------|--------|--------|------------------|------------|
| **2007:**                                                                                                                                                                                                                                                                                            |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |
| External                    revenues                                               | **$**                                     | **686**   |   |                      | **$**      | **747**   |                                                 |   | **$**      | **290**   |   |   | **$**                                            | **-**  |   |             | **$**      | **-** |   |   | **$** | **1,723** |   |
| Intersegment                    revenues                                           | ** **                                | **11**    |   |                      | ** ** | **6**     |                                                 |   | ** ** | **124**   |   |   | ** **                                       | **10** |   |             | ** ** | **(151** | **)** |   | ** ** | **-** |   |
| Net                    income(a)                                                   | ** **                                | **66**    |   |                      | ** ** | **19**    |                                                 |   | ** ** | **56**    |   |   | ** **                                       | **2**  |   |             | ** ** | **-** |   |   | ** ** | **143** |   |
| **2006:**                                                                                                                                                                                                                                                                                            |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |   |   |   |   |   |   |
| External                    revenues                                               | $                                         | 652       |   |                      | $          | 681       |                                                 |   | $          | 208       |   |   | $                                                | 9      |   |             | $          | - |   |   | $ | 1,550 |   |
| Intersegment                    revenues                                           |                                      | 58        |   |                      |       | 6         |                                                 |   |       | 191       |   |   |                                             | 6      |   |             |       | (261 | ) |   |   | - |   |
| Net                    income(a)                                                   |                                      | 78        |   |                      |       | 33        |                                                 |   |       | 13        |   |   |                                             | (1     | )      |             |       | - |   |   |   | 123 |   |
| **Six                    Months**                                                                                                                                                                                                                                                                    |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |   |   |   |   |   |   |
| **2007:**                                                                                                                                                                                                                                                                                            |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |   |   |   |   |   |   |
| External                    revenues                                               | **$**                                     | **1,324** |   |                      | **$**      | **1,801** |                                                 |   | **$**      | **608**   |   |   | **$**                                            | **9**  |   |             | **$**      | **-** |   |   | **$** | **3,742** |   |
| Intersegment                    revenues                                           | ** **                                | **23**    |   |                      | ** ** | **13**    |                                                 |   | ** ** | **257**   |   |   | ** **                                       | **20** |   |             | ** ** | **(313** | **)** |   | ** ** | **-** |   |
| Net                    income(a)                                                   | ** **                                | **89**    |   |                      | ** ** | **48**    |                                                 |   | ** ** | **126**   |   |   | ** **                                       | **3**  |   |             | ** ** | **-** |   |   | ** ** | **266** |   |
| **2006:**                                                                                                                                                                                                                                                                                            |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |   |   |   |   |   |   |
| External                    revenues                                               | $                                         | 1,210     |   |                      | $          | 1,665     |                                                 |   | $          | 447       |   |   | $                                                | 28     |   |             | $          | - |   |   | $ | 3,350 |   |
| Intersegment                    revenues                                           |                                      | 136       |   |                      |       | 8         |                                                 |   |       | 382       |   |   |                                             | 18     |   |             |       | (544 | ) |   |   | - |   |
| Net                    income (loss)(a)                                            |                                      | 113       |   |                      |       | 42        |                                                 |   |       | 40        |   |   |                                             | (2     | )      |             |       | - |   |   |   | 193 |   |
| **As                    of June 30, 2007:**                                                                                                                                                                                                                                                          |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |   |   |   |   |   |   |
| Total                    assets                                                                                                                                                                                                                                                                      | $                                         | 10,738    |   |                      | $          | 6,370     |                                                 |   | $          | 3,838     |   |   | $                                                | 1,064  |   |             | $          | (1,479 | ) |   | $ | 20,531 |   |
| **As                    of December 31, 2006:**                                                                                                                                                                                                                                                      |                                      |      |   |                      |       |      |                                                 |   |       |      |   |   |                                             |   |   |             |       |   |   |   |   |   |   |
| Total                    assets                                                                                                                                                                                                                                                                      |                                      | 10,251    |   |                      |       | 6,226     |                                                 |   |       | 3,612     |   |   |                                             | 1,161  |   |             |       | (1,672 | ) |   |   | 19,578 |   |

| (a)                       | Represents                    net income available to common shareholders; 100% of CILCO’s preferred                    stock dividends are included in the Illinois Regulated                    segment. |
|-------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  **Three                    Months**                                                                                                                                                                                                                                                                                                                                                                                        | **Missouri                    Regulated** |      |   | **Other                    (a)** |       |   | **Consolidated****UE** |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------|-----------|--------|----------------------------------|------------|--------|------------------------|--------|
| **2007:**                                                                                                                                                                                                                                                                                                                                                                                                                        |                                      |      |   |                             |       |   |                   |   |
| Revenues                                                                                         | **$**                                     | **697**   |   |                             | **$**      | **-**  |                   |   | **$** | **697** |   |
| Net                    income(b)                                                                 | ** **                                | **66**    |   |                             | ** ** | **13** |                   |   | ** ** | **79** |   |
| **2006:**                                                                                                                                                                                                                                                                                                                                                                                                                        |                                      |      |   |                             |       |   |                   |   |   |   |   |
| Revenues                                                                                         | $                                         | 710       |   |                             | $          | -      |                   |   | $ | 710 |   |
| Net                    income(b)                                                                 |                                      | 78        |   |                             |       | 12     |                   |   |   | 90 |   |
| **Six                    Months**                                                                                                                                                                                                                                                                                                                                                                                                |                                      |      |   |                             |       |   |                   |   |   |   |   |
| **2007:**                                                                                                                                                                                                                                                                                                                                                                                                                        |                                      |      |   |                             |       |   |                   |   |   |   |   |
| Revenues                                                                                         | **$**                                     | **1,347** |   |                             | **$**      | **-**  |                   |   | **$** | **1,347** |   |
| Net                    income(b)                                                                 | ** **                                | **89**    |   |                             | ** ** | **27** |                   |   | ** ** | **116** |   |
| **2006:**                                                                                                                                                                                                                                                                                                                                                                                                                        |                                      |      |   |                             |       |   |                   |   |   |   |   |
| Revenues                                                                                         | $                                         | 1,346     |   |                             | $          | -      |                   |   | $ | 1,346 |   |
| Net                    income(b)                                                                 |                                      | 113       |   |                             |       | 27     |                   |   |   | 140 |   |
| **As                    of June 30, 2007:**                                                                                                                                                                                                                                                                                                                                                                                      |                                      |      |   |                             |       |   |                   |   |   |   |   |
| Total                    assets                                                                            | $                                         | 10,738    |   |                             | $          | 29     |                   |   | $ | 10,767 |   |
| **As                    of December 31, 2006:**                                                                                                                                                                                                                                                                                                                                                                                  |                                      |      |   |                             |       |   |                   |   |   |   |   |
| Total                    assets                                                                  |                                      | 10,251    |   |                             |       | 36     |                   |   |   | 10,287 |   |

| (a)   | Includes                    40% interest in EEI and other non-rate-regulated                    activities. |
|-----------------|-------------------------------------------------------------------------------------------------------------|

| (b)   | Represents                    net income available to the common shareholder                    (Ameren). |
|-----------------|-----------------------------------------------------------------------------------------------------------|

----

----

|   **Three                    Months**                                                                                                                                                                                                                                                                        | **Illinois****Regulated** |    |   | **Non-rate-regulated                    Generation** |       |    | **CILCORP****Other** |   |       | **Intersegment****Eliminations** |   |   | **Consolidated****CILCORP** |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------|---------|--------|------------------------------------------------------|------------|---------|----------------------|--------|------------|----------------------------------|--------|--------|-----------------------------|--------|
| **2007:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |
| External                    revenues                                                  | **$**                     | **161** |   |                                                 | **$**      | **62**  |                 |   | **$**      | **-**                            |   |   | **$**                       | **-**  |   |   | **$** | **223** |   |
| Intersegment                    revenues                                              | ** **                | **-**   |   |                                                 | ** ** | **1**   |                 |   | ** ** | **-**                            |   |   | ** **                  | **(1** | **)** |   | ** ** | **-** |   |
| Net                    income(a)                                                      | ** **                | **7**   |   |                                                 | ** ** | **5**   |                 |   | ** ** | **-**                            |   |   | ** **                  | **-**  |   |   | ** ** | **12** |   |
| **2006:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |   |   |   |   |   |
| External                    revenues                                                  | $                         | 137     |   |                                                 | $          | 9       |                 |   | $          | -                                |   |   | $                           | -      |   |   | $ | 146 |   |
| Intersegment                    revenues                                              |                      | -       |   |                                                 |       | 44      |                 |   |       | -                                |   |   |                        | (44    | ) |   |   | - |   |
| Net                    income(a)                                                      |                      | 3       |   |                                                 |       | 1       |                 |   |       | (3                               | )      |   |                        | -      |   |   |   | 1 |   |
| **Six                    Months**                                                                                                                                                                                                                                                                                      |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |   |   |   |   |   |
| **2007:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |   |   |   |   |   |
| External                    revenues                                                  | **$**                     | **395** |   |                                                 | **$**      | **138** |                 |   | **$**      | **-**                            |   |   | **$**                       | **-**  |   |   | **$** | **533** |   |
| Intersegment                    revenues                                              | ** **                | **-**   |   |                                                 | ** ** | **2**   |                 |   | ** ** | **-**                            |   |   | ** **                  | **(2** | **)** |   | ** ** | **-** |   |
| Net                    income(a)                                                      | ** **                | **14**  |   |                                                 | ** ** | **18**  |                 |   | ** ** | **-**                            |   |   | ** **                  | **-**  |   |   | ** ** | **32** |   |
| **2006:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |   |   |   |   |   |
| External                    revenues                                                  | $                         | 370     |   |                                                 | $          | 18      |                 |   | $          | -                                |   |   | $                           | -      |   |   | $ | 388 |   |
| Intersegment                    revenues                                              |                      | -       |   |                                                 |       | 85      |                 |   |       | -                                |   |   |                        | (85    | ) |   |   | - |   |
| Net                    income(a)                                                      |                      | 11      |   |                                                 |       | 1       |                 |   |       | (3                               | )      |   |                        | -      |   |   |   | 9 |   |
| **As                    of June 30, 2007:**                                                                                                                                                                                                                                                                            |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |   |   |   |   |   |
| Total                    assets(b)                                                                                                                                                                                                                                                                                     | $                         | 1,174   |   |                                                 | $          | 1,376   |                 |   | $          | 4                                |   |   | $                           | (194   | ) |   | $ | 2,360 |   |
| **As                    of December 31, 2006:**                                                                                                                                                                                                                                                                        |                      |    |   |                                                 |       |    |                 |   |       |                             |   |   |                        |   |   |   |   |   |   |
| Total                    assets(b)                                                                                                                                                                                                                                                                                     |                      | 1,208   |   |                                                 |       | 1,246   |                 |   |       | 4                                |   |   |                        | (217   | ) |   |   | 2,241 |   |

| (a)   | Represents                    net income available to the common shareholder (Ameren); 100%                    of CILCO’s                    preferred stock dividends are included in the Illinois Regulated                    segment. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Total                    assets for Illinois Regulated include an allocation of goodwill                    and other                    purchase accounting amounts related to CILCO that are recorded                    at CILCORP                    (parent company). |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   **Three                    Months**                                                                                                                                                                                                                                                                        | **Illinois****Regulated** |    |   | **Non-rate-regulated                    Generation** |       |    | **CILCO****Other** |   |       | **Intersegment****Eliminations** |   |   | **Consolidated****CILCO** |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------|---------|--------|------------------------------------------------------|------------|---------|--------------------|--------|------------|----------------------------------|--------|--------|---------------------------|--------|
| **2007:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |
| External                    revenues                                                  | **$**                     | **161** |   |                                                 | **$**      | **62**  |               |   | **$**      | **-**                            |   |   | **$**                     | **-**  |   |   | **$** | **223** |   |
| Intersegment                    revenues                                              | ** **                | **-**   |   |                                                 | ** ** | **1**   |               |   | ** ** | **-**                            |   |   | ** **                | **(1** | **)** |   | ** ** | **-** |   |
| Net                    income(a)                                                      | ** **                | **7**   |   |                                                 | ** ** | **13**  |               |   | ** ** | **-**                            |   |   | ** **                | **-**  |   |   | ** ** | **20** |   |
| **2006:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |   |   |   |   |   |
| External                    revenues                                                  | $                         | 137     |   |                                                 | $          | 9       |               |   | $          | -                                |   |   | $                         | -      |   |   | $ | 146 |   |
| Intersegment                    revenues                                              |                      | -       |   |                                                 |       | 44      |               |   |       | -                                |   |   |                      | (44    | ) |   |   | - |   |
| Net                    income(a)                                                      |                      | 3       |   |                                                 |       | 7       |               |   |       | (3                               | )      |   |                      | -      |   |   |   | 7 |   |
| **Six                    Months**                                                                                                                                                                                                                                                                                      |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |   |   |   |   |   |
| **2007:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |   |   |   |   |   |
| External                    revenues                                                  | **$**                     | **395** |   |                                                 | **$**      | **138** |               |   | **$**      | **-**                            |   |   | **$**                     | **-**  |   |   | **$** | **533** |   |
| Intersegment                    revenues                                              | ** **                | **-**   |   |                                                 | ** ** | **2**   |               |   | ** ** | **-**                            |   |   | ** **                | **(2** | **)** |   | ** ** | **-** |   |
| Net                    income(a)                                                      | ** **                | **14**  |   |                                                 | ** ** | **32**  |               |   | ** ** | **-**                            |   |   | ** **                | **-**  |   |   | ** ** | **46** |   |
| **2006:**                                                                                                                                                                                                                                                                                                              |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |   |   |   |   |   |
| External                    revenues                                                  | $                         | 370     |   |                                                 | $          | 18      |               |   | $          | -                                |   |   | $                         | -      |   |   | $ | 388 |   |
| Intersegment                    revenues                                              |                      | -       |   |                                                 |       | 85      |               |   |       | -                                |   |   |                      | (85    | ) |   |   | - |   |
| Net                    income(a)                                                      |                      | 11      |   |                                                 |       | 16      |               |   |       | (3                               | )      |   |                      | -      |   |   |   | 24 |   |
| **As                    of June 30, 2007:**                                                                                                                                                                                                                                                                            |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |   |   |   |   |   |
| Total                    assets                                                       | $                         | 985     |   |                                                 | $          | 768     |               |   | $          | 1                                |   |   | $                         | (1     | ) |   | $ | 1,753 |   |
| **As                    of December 31, 2006:**                                                                                                                                                                                                                                                                        |                      |    |   |                                                 |       |    |               |   |       |                             |   |   |                      |   |   |   |   |   |   |
| Total                    assets                                                       |                      | 1,020   |   |                                                 |       | 642     |               |   |       | 1                                |   |   |                      | (22    | ) |   |   | 1,641 |   |

| (a)   | Represents                    net income available to the common shareholder (CILCORP); 100%                    of CILCO’s                    preferred stock dividends are included in the Illinois Regulated                    segment. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**ITEM            2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF            OPERATIONS.**

**OVERVIEW**

**Ameren            Executive Summary**

----

**General**

| ·   | UE                      operates a rate-regulated electric generation, transmission                      and                      distribution business, and a rate-regulated natural gas transmission                      and                      distribution business in Missouri. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | CIPS                      operates a rate-regulated electric and natural gas transmission                      and                      distribution business in Illinois. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Genco                      operates a non-rate-regulated electric generation                      business. |
|--------------------|-------------------------------------------------------------------------------------------------------------|

| ·   | CILCO,                      a subsidiary of CILCORP (a holding company), operates a rate-regulated                      electric and natural gas transmission and distribution business                      and a                      non-rate-regulated electric generation business (through its                      subsidiary,                      AERG) in Illinois. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | IP                      operates a rate-regulated electric and natural gas transmission                      and                      distribution business in Illinois. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**RESULTS            OF OPERATIONS**

**Earnings            Summary**

| ·   | higher                      margins in the Non-rate-regulated Generation segment due to                      the                      replacement of below-market |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | power                        sales contracts, which expired in 2006, with higher-priced                        contracts; |
|--------|---------------------------------------------------------------------------------------------------------------------------|

| ·   | favorable                      weather conditions; |
|--------------------|----------------------------------------------------|

| ·   | the                      absence of costs in the current year periods that were incurred                      in the                      second quarter of the prior year related to the reservoir breach                      at UE’s                      Taum Sauk plant (5 cents per                      share); |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | higher                      delivery service rates on Illinois Regulated                      sales; |
|--------------------|------------------------------------------------------------------------------------------------------|

| ·   | the                      lack of FERC fees related to UE’s Osage hydroelectric plant in the current                      year period that were incurred in the prior year period and                      the                      capitalization of fees, pursuant to a MoPSC order, in the current                      year                      period; and |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | lower                      emission allowance costs and other                      factors. |
|--------------------|---------------------------------------------------------------------------------------------|

| ·   | the                      cost of UE’s Callaway nuclear plant refueling and maintenance outage in                      the second quarter of 2007 exceeding the cost of the unplanned                      outage at                      the Callaway plant in the second quarter of 2006 (9 cents per                      share); |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | increased                          fuel and transportation prices (5 cents per share and 8                          cents per share,                          respectively); |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | higher                          labor and employee benefit costs (2 cents per share and                          8 cents per share,                          respectively); |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | increased                          bad debt reserves (3 cents per share and   5 cents per                          share, respectively); |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | increased                          depreciation expense (2 cents per share and 7 cents per                          share,                          respectively); and |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | higher                          financing costs (4 cents per share and 8 cents per share,                          respectively). |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------|

|                                    |                                  |    |   |                                |   |
|-----------------------------------------|---------------------------------------|---------|--------|-------------------------------------|--------|
|                                    | **Three                      Months** |    |   | **Six                      Months** |   |
|                                    | **2007**                              |    |   | **2006**                            |   |   | **2007** |   |   | **2006** |   |
| Net                      income (loss): |                                  |    |   |                                |   |   |   |   |   |   |   |
|    UE(a)                 | **$**                                 | **79**  |   |                                | $      | 90 |   |   | **$** | **116** |   |   | $ | 140 |   |
|    CIPS                  | ** **                            | **5**   |   |                                |   | 15 |   |   | ** ** | **15** |   |   |   | 13 |   |
|    Genco                 | ** **                            | **17**  |   |                                |   | 2 |   |   | ** ** | **60** |   |   |   | 8 |   |
|    CILCORP               | ** **                            | **12**  |   |                                |   | 1 |   |   | ** ** | **32** |   |   |   | 9 |   |
|    IP                    | ** **                            | **7**   |   |                                |   | 16 |   |   | ** ** | **19** |   |   |   | 19 |   |
|    Other(b)         | ** **                            | **23**  |   |                                |   | (1 | ) |   | ** ** | **24** |   |   |   | 4 |   |
| Ameren                      net income  | **$**                                 | **143** |   |                                | $      | 123 |   |   | **$** | **266** |   |   | $ | 193 |   |

| (a)   | Includes                      earnings from a non-rate-regulated 40% interest in                      EEI. |
|-----------------|------------------------------------------------------------------------------------------------------------|

| (b)   | Includes                      earnings from non-rate-regulated operations and a 40% interest                      in EEI held                      by Development Company, corporate general and administrative                      expenses, and                      intercompany eliminations. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                                                                                                                                                                                                                                                                                                                                                 |                                        |     |   |                      |       |     |                                                   |   |       |                                                          |   |   |       |    |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------|----------|--------|---------------------------|------------|----------|--------------------------------------------------------|--------|------------|---------------------------------------------------------------|--------|--------|------------|---------|
|                                                                                                                                                                                                                                                                                                                                                                 | **Missouri                      Regulated** |     |   | **Illinois****Regulated** |       |     | **Non-rate-regulated                      Generation** |   |       | **Other                      / Intersegment****Eliminations** |   |   | **Total**  |    |
| **Three                      Months 2007:**                                                                                                                                                                                                                                                                                                                          |                                        |     |   |                      |       |     |                                                   |   |       |                                                          |   |   |       |    |
| Electric                      margin                                                                                      | **$**                                       | **494**  |   |                      | **$**      | **207**  |                                                   |   | **$**      | **251**                                                       |   |   | **$**      | **(15** | **)** |   | **$** | **937** |   |
| Gas                      margin                                                                                           | ** **                                  | **14**   |   |                      | ** ** | **64**   |                                                   |   | ** ** | **-**                                                         |   |   | ** ** | **(2**  | **)** |   | ** ** | **76** |   |
| Other                      revenues                                                                                       | ** **                                  | **(1**   | **)**  |                      | ** ** | **(1**   | **)**                                                  |   | ** ** | **-**                                                         |   |   | ** ** | **2**   |   |   | ** ** | **-** |   |
| Other                      operations and                      maintenance                                                | ** **                                  | **(223** | **)**  |                      | ** ** | **(130** | **)**                                                  |   | ** ** | **(92**                                                       | **)**  |   | ** ** | **19**  |   |   | ** ** | **(426** | **)** |
| Depreciation                      and                      amortization                                                   | ** **                                  | **(84**  | **)**  |                      | ** ** | **(53**  | **)**                                                  |   | ** ** | **(27**                                                       | **)**  |   | ** ** | **(5**  | **)** |   | ** ** | **(169** | **)** |
| Taxes                      other than income                      taxes                                                   | ** **                                  | **(60**  | **)**  |                      | ** ** | **(30**  | **)**                                                  |   | ** ** | **(6**                                                        | **)**  |   | ** ** | **-**   |   |   | ** ** | **(96** | **)** |
| Other                      income and                      (expenses)                                                     | ** **                                  | **9**    |   |                      | ** ** | **6**    |                                                   |   | ** ** | **1**                                                         |   |   | ** ** | **-**   |   |   | ** ** | **16** |   |
| Interest                      expense                                                                                     | ** **                                  | **(51**  | **)**  |                      | ** ** | **(32**  | **)**                                                  |   | ** ** | **(28**                                                       | **)**  |   | ** ** | **3**   |   |   | ** ** | **(108** | **)** |
| Income                      taxes                                                                                         | ** **                                  | **(30**  | **)**  |                      | ** ** | **(11**  | **)**                                                  |   | ** ** | **(37**                                                       | **)**  |   | ** ** | **-**   |   |   | ** ** | **(78** | **)** |
| Minority                      interest and preferred dividends                                                                                                                                                                                                                                                                                                       | ** **                                  | **(2**   | **)**  |                      | ** ** | **(1**   | **)**                                                  |   | ** ** | **(6**                                                        | **)**  |   | ** ** | **-**   |   |   | ** ** | **(9** | **)** |
| Net                      income                                                                                           | **$**                                       | **66**   |   |                      | **$**      | **19**   |                                                   |   | **$**      | **56**                                                        |   |   | **$**      | **2**   |   |   | **$** | **143** |   |
| **Three                      Months 2006:**                                                                                                                                                                                                                                                                                                                          |                                        |     |   |                      |       |     |                                                   |   |       |                                                          |   |   |       |    |   |   |   |   |   |
| Electric                      margin                                                                                      | $                                           | 496      |   |                      | $          | 209      |                                                   |   | $          | 165                                                           |   |   | $          | (16     | ) |   |   | 854 |   |
| Gas                      margin                                                                                           |                                        | 10       |   |                      |       | 60       |                                                   |   |       | -                                                             |   |   |       | (2      | ) |   |   | 68 |   |
| Other                      revenues                                                                                       |                                        | -        |   |                      |       | (1       | )                                                      |   |       | -                                                             |   |   |       | 1       |   |   |   | - |   |
| Other                      operations and                      maintenance                                                |                                        | (196     | )      |                      |       | (124     | )                                                      |   |       | (82                                                           | )      |   |       | 8       |   |   |   | (394 | ) |
| Depreciation                      and                      amortization                                                   |                                        | (81      | )      |                      |       | (48      | )                                                      |   |       | (27                                                           | )      |   |       | (6      | ) |   |   | (162 | ) |
| Taxes                      other than income                      taxes                                                   |                                        | (59      | )      |                      |       | (27      | )                                                      |   |       | (6                                                            | )      |   |       | 2       |   |   |   | (90 | ) |
| Other                      income and                      (expenses)                                                     |                                        | 7        |   |                      |       | 4        |                                                   |   |       | 1                                                             |   |   |       | (2      | ) |   |   | 10 |   |
| Interest                      expense                                                                                     |                                        | (44      | )      |                      |       | (22      | )                                                      |   |       | (26                                                           | )      |   |       | 5       |   |   |   | (87 | ) |
| Income                      taxes                                                                                         |                                        | (52      | )      |                      |       | (17      | )                                                      |   |       | (7                                                            | )      |   |       | 8       |   |   |   | (68 | ) |
| Minority                      interest and preferred dividends                                                                                                                                                                                                                                                                                                       |                                        | (3       | )      |                      |       | (1       | )                                                      |   |       | (5                                                            | )      |   |       | 1       |   |   |   | (8 | ) |
| Net                      income                                                                                           | $                                           | 78       |   |                      | $          | 33       |                                                   |   | $          | 13                                                            |   |   | $          | (1      | ) |   | $ | 123 |   |
| **Six                      Months 2007:**                                                                                                                                                                                                                                                                                                                            |                                        |     |   |                      |       |     |                                                   |   |       |                                                          |   |   |       |    |   |   |   |   |   |
| Electric                      margin                                                                                      | **$**                                       | **909**  |   |                      | **$**      | **379**  |                                                   |   | **$**      | **501**                                                       |   |   | **$**      | **(30** | **)** |   | **$** | **1,759** |   |
| Gas                      margin                                                                                           | ** **                                  | **41**   |   |                      | ** ** | **179**  |                                                   |   | ** ** | **-**                                                         |   |   | ** ** | **(4**  | **)** |   | ** ** | **216** |   |
| Other                      revenues                                                                                       | ** **                                  | **-**    |   |                      | ** ** | **1**    |                                                   |   | ** ** | **-**                                                         |   |   | ** ** | **(1**  | **)** |   | ** ** | **-** |   |
| Other                      operations and                      maintenance                                                | ** **                                  | **(446** | **)**  |                      | ** ** | **(256** | **)**                                                  |   | ** ** | **(160**                                                      | **)**  |   | ** ** | **40**  |   |   | ** ** | **(822** | **)** |
| Depreciation                      and                      amortization                                                   | ** **                                  | **(171** | **)**  |                      | ** ** | **(108** | **)**                                                  |   | ** ** | **(54**                                                       | **)**  |   | ** ** | **(12** | **)** |   | ** ** | **(345** | **)** |
| Taxes                      other than income                      taxes                                                   | ** **                                  | **(117** | **)**  |                      | ** ** | **(66**  | **)**                                                  |   | ** ** | **(14**                                                       | **)**  |   | ** ** | **(1**  | **)** |   | ** ** | **(198** | **)** |
| Other                      income and                      (expenses)                                                     | ** **                                  | **16**   |   |                      | ** ** | **10**   |                                                   |   | ** ** | **2**                                                         |   |   | ** ** | **2**   |   |   | ** ** | **30** |   |
| Interest                      expense                                                                                     | ** **                                  | **(97**  | **)**  |                      | ** ** | **(61**  | **)**                                                  |   | ** ** | **(53**                                                       | **)**  |   | ** ** | **5**   |   |   | ** ** | **(206** | **)** |
| Income                      taxes                                                                                         | ** **                                  | **(43**  | **)**  |                      | ** ** | **(27**  | **)**                                                  |   | ** ** | **(83**                                                       | **)**  |   | ** ** | **4**   |   |   | ** ** | **(149** | **)** |
| Minority                      interest and preferred dividends                                                                                                                                                                                                                                                                                                       | ** **                                  | **(3**   | **)**  |                      | ** ** | **(3**   | **)**                                                  |   | ** ** | **(13**                                                       | **)**  |   | ** ** | **-**   |   |   | ** ** | **(19** | **)** |
| Net                      income                                                                                           | **$**                                       | **89**   |   |                      | **$**      | **48**   |                                                   |   | **$**      | **126**                                                       |   |   | **$**      | **3**   |   |   | **$** | **266** |   |
| **Six                      Months 2006:**                                                                                                                                                                                                                                                                                                                            |                                        |     |   |                      |       |     |                                                   |   |       |                                                          |   |   |       |    |   |   |   |   |   |
| Electric                      margin                                                                                      | $                                           | 870      |   |                      | $          | 349      |                                                   |   | $          | 349                                                           |   |   | $          | (28     | ) |   |   | 1,540 |   |
| Gas                      margin                                                                                           |                                        | 35       |   |                      |       | 170      |                                                   |   |       | -                                                             |   |   |       | (1      | ) |   |   | 204 |   |
| Other                      revenues                                                                                       |                                        | 1        |   |                      |       | (1       | )                                                      |   |       | -                                                             |   |   |       | -       |   |   |   | - |   |
| Other                      operations and                      maintenance                                                |                                        | (367     | )      |                      |       | (248     | )                                                      |   |       | (151                                                          | )      |   |       | 20      |   |   |   | (746 | ) |
| Depreciation                      and                      amortization                                                   |                                        | (161     | )      |                      |       | (95      | )                                                      |   |       | (53                                                           | )      |   |       | (14     | ) |   |   | (323 | ) |
| Taxes                      other than income                      taxes                                                   |                                        | (118     | )      |                      |       | (70      | )                                                      |   |       | (14                                                           | )      |   |       | (1      | ) |   |   | (203 | ) |
| Other                      income and                      (expenses)                                                     |                                        | 9        |   |                      |       | 6        |                                                   |   |       | 1                                                             |   |   |       | (1      | ) |   |   | 15 |   |
| Interest                      expense                                                                                     |                                        | (80      | )      |                      |       | (45      | )                                                      |   |       | (51                                                           | )      |   |       | 12      |   |   |   | (164 | ) |
| Income                      taxes                                                                                         |                                        | (72      | )      |                      |       | (21      | )                                                      |   |       | (29                                                           | )      |   |       | 10      |   |   |   | (112 | ) |
| Minority                      interest and preferred dividends                                                                                                                                                                                                                                                                                                       |                                        | (4       | )      |                      |       | (3       | )                                                      |   |       | (12                                                           | )      |   |       | 1       |   |   |   | (18 | ) |
| Net                      income                                                                                           | $                                           | 113      |   |                      | $          | 42       |                                                   |   | $          | 40                                                            |   |   | $          | (2      | ) |   | $ | 193 |   |

----

**Margins**

|                                                               |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |
|--------------------------------------------------------------------|---------------|----------|--------|--------|--------|---------|----------|--------|--------|-----------|--------|--------|-------------|---------|--------|-----------|--------|----------|--------|--------|
| **Three                      Months**                              | **Ameren(a)** |     |   | **UE** |   |    | **CIPS** |   |   | **Genco** |   |   | **CILCORP** |    |   | **CILCO** |   |     | **IP** |   |
| Electric                      revenue change:                      |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |
| Effect                      of weather (estimate)                  | $             | 28       |   |   | $      | 14      |     |   | $      | 6         |   |   | $           | -       |   |      | $      | 2        |   |   | $ | 2 |   |   | $ | 6 |   |
| Interchange                      revenues- affiliated(b)           |          | -        |   |   |   | (49     | )        |   |   | -         |   |   |        | (28     | )      |      |   | -        |   |   |   | - |   |   |   | - |   |
| Interchange                      revenues- other                   |          | 31       |   |   |   | 31      |     |   |   | -         |   |   |        | -       |   |      |   | -        |   |   |   | - |   |   |   | - |   |
| Other                      (estimate)                              |          | 77       |   |   |   | (15     | )        |   |   | 6         |   |   |        | (25     | )      |      |   | 62       |   |   |   | 62 |   |   |   | 3 |   |
| Total                                                              | **$**         | **136**  |   |   | **$**  | **(19** | **)**    |   | **$**  | **12**    |   |   | **$**       | **(53** | **)**  |      | **$**  | **64**   |   |   | **$** | **64** |   |   | **$** | **9** |   |
| Fuel                      and purchased power change:              |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |   |   |   |   |   |   |   |
| Fuel:                                                              |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |   |   |   |   |   |   |   |
| Generation                      and                      other     | $             | 2        |   |   | $      | 3       |     |   | $      | -         |   |   | $           | (14     | )      |      | $      | 11       |   |   | $ | 12 |   |   | $ | - |   |
| Emission                      allowance                      costs |          | 6        |   |   |   | 2       |     |   |   | -         |   |   |        | 1       |   |      |   | 5        |   |   |   | 2 |   |   |   | - |   |
| Price                                                              |          | (24      | )      |   |   | (24     | )        |   |   | -         |   |   |        | -       |   |      |   | (1       | )      |   |   | (1 | ) |   |   | - |   |
| Purchased                      power                               |          | (37      | )      |   |   | 39      |     |   |   | (14       | )      |   |        | 90      |   |      |   | (55      | )      |   |   | (55 | ) |   |   | (7 | ) |
| Total                      fuel and purchased power change         | $             | (53      | )      |   | $      | 20      |     |   | $      | (14       | )      |   | $           | 77      |   |      | $      | (40      | )      |   | $ | (42 | ) |   | $ | (7 | ) |
| **Net                      change in electric margins**            | **$**         | **83**   |   |   | **$**  | **1**   |     |   | **$**  | **(2**    | **)**  |   | **$**       | **24**  |   |      | **$**  | **24**   |   |   | **$** | **22** |   |   | **$** | **2** |   |
| **Net                      change in gas margins**                 | **$**         | **8**    |   |   | **$**  | **4**   |     |   | **$**  | **1**     |   |   | **$**       | **-**   |   |      | **$**  | **2**    |   |   | **$** | **2** |   |   | **$** | **(2** | **)** |
| **Six                      Months**                                |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |   |   |   |   |   |   |   |
| Electric                      revenue change:                      |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |   |   |   |   |   |   |   |
| Effect                      of weather (estimate)                  | $             | 46       |   |   | $      | 21      |     |   | $      | 11        |   |   | $           | -       |   |      | $      | 6        |   |   | $ | 6 |   |   | $ | 8 |   |
| Interchange                      revenues- affiliated(b)           |          | -        |   |   |   | (121    | )        |   |   | -         |   |   |        | (46     | )      |      |   | -        |   |   |   | - |   |   |   | - |   |
| Interchange                      revenues- other                   |          | 92       |   |   |   | 92      |     |   |   | -         |   |   |        | -       |   |      |   | -        |   |   |   | - |   |   |   | - |   |
| Other                      (estimate)                              |          | 245      |   |   |   | (5      | )        |   |   | 52        |   |   |        | (11     | )      |      |   | 141      |   |   |   | 141 |   |   |   | 31 |   |
| Total                                                              | **$**         | **383**  |   |   | **$**  | **(13** | **)**    |   | **$**  | **63**    |   |   | **$**       | **(57** | **)**  |      | **$**  | **147**  |   |   | **$** | **147** |   |   | **$** | **39** |   |
| Fuel                      and purchased power change:              |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |   |   |   |   |   |   |   |
| Fuel:                                                              |          |     |   |   |   |    |     |   |   |      |   |   |        |    |   |      |   |     |   |   |   |   |   |   |   |   |   |
| Generation                      and                      other     | $             | (7       | )      |   | $      | 11      |     |   | $      | -         |   |   | $           | (29     | )      |      | $      | 13       |   |   | $ | 14 |   |   | $ | - |   |
| Emission                      allowance                      costs |          | 22       |   |   |   | 5       |     |   |   | -         |   |   |        | 6       |   |      |   | 9        |   |   |   | 6 |   |   |   | - |   |
| Price                                                              |          | (42      | )      |   |   | (35     | )        |   |   | -         |   |   |        | (2      | )      |      |   | (6       | )      |   |   | (6 | ) |   |   | - |   |
| Purchased                      power                               |          | (137     | )      |   |   | 73      |     |   |   | (47       | )      |   |        | 165     |   |      |   | (125     | )      |   |   | (125 | ) |   |   | (19 | ) |
| Total                      fuel and purchased power change         | **$**         | **(164** | **)**  |   | **$**  | **54**  |     |   | **$**  | **(47**   | **)**  |   | **$**       | **140** |   |      | **$**  | **(109** | **)**  |   | **$** | **(111** | **)** |   | **$** | **(19** | **)** |
| **Net                      change in electric margins**            | **$**         | **219**  |   |   | **$**  | **41**  |     |   | **$**  | **16**    |   |   | **$**       | **83**  |   |      | **$**  | **38**   |   |   | **$** | **36** |   |   | **$** | **20** |   |
| **Net                      change in gas margins**                 | **$**         | **12**   |   |   | **$**  | **6**   |     |   | **$**  | **3**     |   |   | **$**       | **-**   |   |      | **$**  | **3**    |   |   | **$** | **3** |   |   | **$** | **-** |   |

| (a)   | Includes                      amounts for Ameren registrant and nonregistrant subsidiaries                      and                      intercompany eliminations. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Includes                      revenues from sales transferred between UE and Genco under                      the former JDA,                      which terminated on December 31,                      2006. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Non-rate-regulated                      Generation selling more power at market-based prices in the                      second quarter                      and first six months of 2007 compared with sales under below                      market-based                      power supply agreements, which expired on December 31,                      2006; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Illinois                      electric delivery service rate increases which commenced January                      2,                      2007; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | emission                      allowance costs were $6 million and $22 million lower, for                      the three                      months and six months ended June 30, 2007,                      respectively; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | favorable                      weather conditions increased electric margins by $13 million                      and $22                      million for the three months and six months ended June 30,                      2007; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | MISO                      costs were $8 million lower for the quarter compared with the                      same period                      in 2006; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | return                      to normal rainfall levels, which increased hydroelectric                      generation; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------|

| ·   | the                      lack of $6 million in fees levied by FERC in the first quarter                      of 2006                      upon completion of its cost study for generation benefits provided                      to UE’s                      Osage hydroelectric plant and the subsequent May 2007 MoPSC                      rate order                      that directed AmerenUE to transfer $4 million of the total                      fees to an                      asset account, which will be amortized over 25                      years; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | UE’s                      electric rate increase that went into effect June 4, 2007;                      and |
|--------------------|---------------------------------------------------------------------------------------------------------------------|

| ·   | storm-related                      outages in the second quarter of 2006 that decreased interchange                      margin by                      $3 million. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | an                      11% increase in coal and related transportation prices for                      both the second                      quarter and the first six months of                      2007; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | MISO                      costs were $13 million higher for the six months ended June                      30, 2007,                      compared with the same period in 2006. Costs related to participation                      in                      the MISO Day Two Energy Market were higher for the year because                      of a March                      2007 FERC order that reallocated costs related to participation                      in the                      MISO Day Two Energy Market among market participants retroactive                      to                      2005; |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | elimination                      of bundled power and delivery service tariffs in Illinois Regulated                      operations; and |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | reduced                      power plant availability, primarily at UE’s and AERG’s                      plants. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------|

*Missouri            Regulated*

| ·   | an                      increase in margins on interchange sales primarily because                      of the                      termination of the JDA on December 31, 2006. This termination                      of the JDA                      provided UE with the ability to sell its excess power, originally                      obligated under the JDA at cost, in the spot market at higher                      market                      prices; |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                      lack of $6 million in fees levied by FERC in the first quarter                      of 2006                      upon completion of its cost study for generation benefits provided                      to UE’s                      Osage hydroelectric plant and the subsequent June 2007 MoPSC                      rate order,                      which directed UE to transfer $4 million of the total fees                      to an asset                      account, which will be amortized over 25                      years; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | return                      to normal rainfall levels, which increased hydroelectric                      generation; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------|

| ·   | increased                      electric rates as approved by the MoPSC effective June 4,                      2007; |
|--------------------|---------------------------------------------------------------------------------------------------------------------|

| ·   | favorable                      weather conditions which increased electric margin by $10 million                      and $13                      million for the three months and six months ended June 30,                      2007,                      respectively; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | MISO                      costs, excluding the March 2007 FERC order, discussed below,                      were $4                      million lower for the second quarter and $17 million lower                      for the six                      months ended June 30, 2007, compared to the same periods in                      2006;                      and |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | spring                      storm-related outages in the second quarter of 2006, which                      reduced 2006                      electric margins by $3 million. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | reduced                      power plant availability because of planned maintenance                      activities; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------|

| ·   | the                      38-day planned refueling and maintenance outage at the Callaway                      nuclear                      plant in the second quarter of 2007, which was offset by the                      unplanned                      outage that occurred at the Callaway nuclear plant during the                      second                      quarter of 2006; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                      14% increase in coal and related transportation prices;                      and |
|--------------------|---------------------------------------------------------------------------------------------------------|

| ·   | MISO                      costs were $11 million higher for the six months ended June                      30, 2007,                      compared to the same period in 2006, due to the March 2007                      FERC                      order. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Illinois            Regulated*

----

|                                                 |                                  |   |   |                                |       |
|------------------------------------------------------|---------------------------------------|--------|--------|-------------------------------------|------------|
|                                                 | **Three                      Months** |   |   | **Six                      Months** |       |
| CILCO                      (Illinois Regulated)      | **$**                                 | **(1** | **)**  |                                | **$**      | **(5** | **)** |
| CILCO                      (AERG)                    | ** **                            | **23** |   |                                | ** ** | **41** |   |
| Total                      change in electric margin | **$**                                 | **22** |   |                                | **$**      | **36** |   |

*Non-rate-regulated            Generation*

| ·   | selling                      power at market-based prices in the second quarter of 2007                      compared with                      selling power at below-market prices pursuant to cost-based                      power supply                      agreements, which expired on December 31,                      2006; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | increased                      power plant availability due to reduced planned outages this                      year; |
|--------------------|------------------------------------------------------------------------------------------------------------------------|

| ·   | reduced                      emission allowance costs; and |
|--------------------|------------------------------------------------------------|

| ·   | lower                      MISO costs totaling $9 million for the six months ended June                      30, 2007,                      compared to the first half of 2006, as a result of the March                      2007 FERC                      order. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                      loss of margins on sales supplied with power acquired through                      the JDA;                      and |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                      2% increase in coal and related transportation prices for the                      six months                      ended June 30, 2007 compared to the first half of                      2006. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | selling                      power at market-based prices in the second quarter of 2007                      compared with                      sales under cost-based power supply agreements, which expired                      on December                      31, 2006; and |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | reduced                      emission costs for both the second quarter and six months ended                      June 30,                      2007, compared to the same prior year                      periods. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                      16% increase in coal and related transportation prices for                      the six months                      ended June 30, 2007, compared to the first half of 2006;                      and |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | reduced                      plant availability because of planned extensive maintenance                      activities,                      which commenced in February 2007. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Operating            Expenses and Other Statement of Income Items**

***Other            Operations and Maintenance***

* Ameren*

*Missouri            Regulated*

----

*Illinois            Regulated*

*Non-rate-regulated            Generation*

***Depreciation            and Amortization***

*Ameren*

----

*Missouri            Regulated*

*Illinois            Regulated*

*Non-rate-regulated            Generation*

***Taxes            Other Than Income Taxes***

*Ameren*

*Missouri            Regulated*

*Illinois            Regulated*

*Non-rate-regulated            Generation*

----

***Other            Income and Expenses***

*Ameren*

*Missouri            Regulated*

*Illinois            Regulated*

*Non-rate-regulated            Generation*

***Interest***

*Ameren*

*Missouri            Regulated*

----

*Illinois            Regulated*

*Non-rate-regulated            Generation*

***Income            Taxes***

*Ameren*

*Missouri            Regulated*

*Illinois            Regulated*

*Non-rate-regulated            Generation*

----

**LIQUIDITY            AND CAPITAL RESOURCES**

|                                                                                                                  |                                                                                       |    |   |                                                                                   |   |   |                                                                                                 |   |
|-----------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|---------|--------|----------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                  | **Net                      Cash Provided By****Operating                      Activities** |    |   | **Net                      Cash Used In****Investing                      Activities** |   |   | **Net                      Cash Provided By****(Used                      In) Financing Activities** |   |
|                                                                                                                  | **2007**                                                                                   |    |   | **2006**                                                                               |   |   | **Variance**                                                                                         |   |   | **2007** |   |   | **2006** |   |   | **Variance** |   |   | **2007** |   |   | **2006** |   |   | **Variance** |   |
| Ameren(a)                   | **$**                                                                                      | **543** |   |                                                                                   | $      | 619    |                                                                                                 |   | $ | (76 | ) |   | **$** | **(754** | **)** |   | $ | (795 | ) |   | $ | 41 |   |   | **$** | **761** |   |   | $ | 131 |   |   | $ | 630 |   |
| UE                          | ** **                                                                                 | **145** |   |                                                                                   |   | 258    |                                                                                                 |   |   | (113 | ) |   | ** ** | **(381** | **)** |   |   | (475 | ) |   |   | 94 |   |   | ** ** | **444** |   |   |   | 198 |   |   |   | 246 |   |
| CIPS                        | ** **                                                                                 | **44**  |   |                                                                                   |   | 80     |                                                                                                 |   |   | (36 | ) |   | ** ** | **(1** | **)** |   |   | (24 | ) |   |   | 23 |   |   | ** ** | **99** |   |   |   | (55 | ) |   |   | 154 |   |
| Genco                       | ** **                                                                                 | **115** |   |                                                                                   |   | 63     |                                                                                                 |   |   | 52 |   |   | ** ** | **(81** | **)** |   |   | (64 | ) |   |   | (17 | ) |   | ** ** | **(34** | **)** |   |   | 2 |   |   |   | (36 | ) |
| CILCORP                     | ** **                                                                                 | **62**  |   |                                                                                   |   | 112    |                                                                                                 |   |   | (50 | ) |   | ** ** | **(85** | **)** |   |   | (6 | ) |   |   | (79 | ) |   | ** ** | **127** |   |   |   | (86 | ) |   |   | 213 |   |
| CILCO                       | ** **                                                                                 | **89**  |   |                                                                                   |   | 119    |                                                                                                 |   |   | (30 | ) |   | ** ** | **(85** | **)** |   |   | (48 | ) |   |   | (37 | ) |   | ** ** | **88** |   |   |   | (51 | ) |   |   | 139 |   |
| IP                          | ** **                                                                                 | **73**  |   |                                                                                   |   | 85     |                                                                                                 |   |   | (12 | ) |   | ** ** | **(93** | **)** |   |   | (82 | ) |   |   | (11 | ) |   | ** ** | **163** |   |   |   | (2 | ) |   |   | 165 |   |

| **(a)  ** | Includes                      amounts for Ameren registrant and nonregistrant subsidiaries                      and                      intercompany eliminations. |
|---------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**Cash            Flows from Operating Activities**

**Cash            Flows from Investing Activities**

----

**Cash            Flows from Financing Activities**

----

*Short-term            Borrowings and Liquidity*

|                                                        |                              |                    |   |   |                                      |   |
|-------------------------------------------------------------|-----------------------------------|-------------------------|--------|--------|-------------------------------------------|--------|
| **Credit                      Facility**                    | **Expiration**                    | **Amount****Committed** |   |   | **Amount                      Available** |   |
| **Ameren,                      UE and Genco:**              |                              |                    |   |   |                                      |   |
| Multiyear                      revolving(a)                 | July                      2010    | $                       | 1,150  |   |                                      | $      | 369 |   |
| **CIPS,                      CILCORP, CILCO, IP and AERG:** |                              |                    |   |   |                                      |   |   |   |
| 2007                      Multiyear revolving(b)            | January                      2010 |                    | 500    |   |                                      |   | 75 |   |
| 2006                      Multiyear revolving(c)            | January                      2010 |                    | 500    |   |                                      |   | - |   |

| (a)   | Ameren                      Companies may access this credit facility through intercompany                      borrowing                      arrangements. The maximum amount available to Ameren, UE and                      Genco is                      $1.15 billion, $500                      million and $150 million,                      respectively. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | The                      maximum amount available to each borrower at June 30, 2007,                      including for                      the issuance of letters of credit, was limited as follows:                      CILCORP                      - $125 million, IP - $200 million and AERG - $100 million. CIPS                      and                      CILCO have the option of permanently reducing their ability                      to borrow                      under the 2006 $500 million credit facility and shifting such                      capacity, up                      to the same limits, to the 2007 $500 million credit facility.                      In July                      2007, CILCO shifted $75 million of its sublimit under the 2006                      $500                      million credit facility to this                      facility. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | The                      maximum amount available to each borrower at June 30, 2007,                      including for                      issuance of letters of credit, was limited as follows: CIPS                      - $135                      million, CILCORP - $50 million, CILCO - $150 million, IP -                      $150 million                      and AERG - $200 million. In July 2007, CILCO shifted $75 million                      of its                      capacity under this facility to the 2007 $500 million credit                      facility.                      Accordingly, as of July 31, 2007, CILCO had a sublimit of $75                      million                      under this facility and a $75 million sublimit under the 2007                      credit                      facility. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Long-term            Debt and Equity*

|                                                                          |                                                                                            |                                |    |
|-------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------|-------------------------------------|---------|
|                                                                          |                                                                                            | **Six                      Months** |    |
|                                                                          | **Month                      Issued, Redeemed,****Repurchased                      or Matured** | **2007**                            |    |   | **2006** |   |
| **Issuances**                                                                 |                                                                                            |                                |    |   |   |   |
| *Long-term                      debt*                                         |                                                                                            |                                |    |   |   |   |
| **UE:**                                                                       |                                                                                            |                                |    |   |   |   |
| 6.40%                      Senior secured notes due                      2017 | June                                                                                            | **$**                               | **425** |   |   | **$** | **-** |   |
| **CIPS:**                                                                     |                                                                                            |                                |    |   |   |   |   |   |
| 6.70%                      Senior secured notes due                      2036 | June                                                                                            | ** **                          | **-**   |   |   |   | 61 |   |

----

|                                                                                                          |                                                                                            |                                |    |
|---------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------|-------------------------------------|---------|
|                                                                                                          |                                                                                            | **Six                      Months** |    |
|                                                                                                          | **Month                      Issued, Redeemed,****Repurchased                      or Matured** | **2007**                            |    |   | **2006** |   |
| **CILCO:**                                                                                                    |                                                                                            |                                |    |   |   |   |   |   |
| 6.20%                      Senior secured notes due                      2016                                 | June                                                                                            | ** **                          | **-**   |   |   |   | 54 |   |
| 6.70%                      Senior secured notes due                      2036                                 | June                                                                                            | ** **                          | **-**   |   |   |   | 42 |   |
| **IP:**                                                                                                       |                                                                                            |                                |    |   |   |   |   |   |
| 6.25%                      Senior secured notes due                      2016                                 | June                                                                                            | ** **                          | **-**   |   |   |   | 75 |   |
| Total                      Ameren long-term debt issuances                                                    |                                                                                            | **$**                               | **425** |   |   | $ | 232 |   |
| *Common                      stock*                                                                           |                                                                                            |                                |    |   |   |   |   |   |
| **Ameren:**                                                                                                   |                                                                                            |                                |    |   |   |   |   |   |
| DRPlus                      and                      401(k)                                                   | Various                                                                                         | **$**                               | **48**  |   |   | $ | 57 |   |
| Total                      common stock issuances                                                             |                                                                                            | **$**                               | **48**  |   |   | $ | 57 |   |
| Total                      Ameren long-term debt and common stock issuances                                   |                                                                                            | **$**                               | **473** |   |   | $ | 289 |   |
| **Redemptions,                      Repurchases and Maturities**                                              |                                                                                            |                                |    |   |   |   |   |   |
| *Long-term                      debt*                                                                         |                                                                                            |                                |    |   |   |   |   |   |
| **Ameren:**                                                                                                   |                                                                                            |                                |    |   |   |   |   |   |
| 2002                      5.70% notes due                      2007                                      | February                                                                                        | **$**                               | **100** |   |   | $ | - |   |
| Senior                      notes due                      2007                                               | May                                                                                             | ** **                          | **250** |   |   |   | - |   |
| **CIPS:**                                                                                                     |                                                                                            |                                |    |   |   |   |   |   |
| 7.05%                      First mortgage bonds due                      2006                                 | June                                                                                            | ** **                          | **-**   |   |   |   | 20 |   |
| **CILCORP:**                                                                                                  |                                                                                            |                                |    |   |   |   |   |   |
| 9.375%                      Senior notes due                      2029                                   | March/April                                                                                     | ** **                          | **-**   |   |   |   | 12 |   |
| **CILCO:**                                                                                                    |                                                                                            |                                |    |   |   |   |   |   |
| 7.50%                      First mortgage bonds due                      2007                            | January                                                                                         | ** **                          | **50**  |   |   |   | - |   |
| **IP:**                                                                                                       |                                                                                            |                                |    |   |   |   |   |   |
| Note                      payable to IP                      SPT:                                             |                                                                                            |                                |    |   |   |   |   |   |
| 5.65%                      Series due                      2008                                               | Various                                                                                         | ** **                          | **43**  |   |   |   | - |   |
| 5.54%                      Series due                      2007                                               | Various                                                                                         | ** **                          | **-**   |   |   |   | 54 |   |
| Total                      Ameren long-term debt redemptions, repurchases and                      maturities |                                                                                            | **$**                               | **443** |   |   | $ | 86 |   |

|         |                              |                     |   |   |       |   |   |          |   |
|--------------|-----------------------------------|--------------------------|--------|--------|------------|--------|--------|---------------|--------|
|         | **Effective****Date**             | **Authorized****Amount** |   |   | **Issued** |   |   | **Available** |   |
| Ameren  | June                      2004    | $                        | 2,000  |   |       | $      | 459    |          |   | $ | 1,541 |   |
| UE           | October                      2005 |                     | 1,000  |   |       |   | 685    |          |   |   | 315 |   |
| CIPS         | May                      2001     |                     | 250    |   |       |   | 211    |          |   |   | 39 |   |

**Indebtedness            Provisions and Other Covenants**

----

**Dividends**

|                                          |                                |    |
|-----------------------------------------------|-------------------------------------|---------|
|                                          | **Six                      Months** |    |
|                                          | **2007**                            |    |   | **2006** |   |
| UE                                            | **$**                               | **127** |   |   | $ | 84 |   |
| CIPS                                          | ** **                          | **-**   |   |   |   | 25 |   |
| Genco                                         | ** **                          | **113** |   |   |   | 71 |   |
| CILCORP(a)                                    | ** **                          | **-**   |   |   |   | 50 |   |
| Nonregistrants                                | ** **                          | **23**  |   |   |   | 30 |   |
| Dividends                      paid by Ameren | **$**                               | **263** |   |   | $ | 260 |   |

| (a)   | CILCO                      paid to CILCORP dividends of $50 million for the six months ended                      June 30, 2006. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------|

**Contractual            Obligations**

----

**Credit Ratings**

|                                                | **Moody’s** | **S&P** | **Fitch** |
|-----------------------------------------------------|-------------------|-------------|-----------|
| **Ameren:**                                         |              |        |      |
| Issuer/corporate                      credit rating | Baa2              | BBB-        | BBB+      |
| Unsecured                      debt                 | Baa2              | BB+         | BBB+      |
| Commercial                      paper               | P-2               | A-3         | F2        |
| **UE:**                                             |              |        |      |
| Issuer/corporate                      credit rating | Baa1              | BBB-        | A-        |
| Secured                      debt                   | A3                | BBB-        | A+        |
| Commercial                      paper               | P-2               | A-3         | F2        |
| **CIPS:**                                           |              |        |      |
| Issuer/corporate                      credit rating | Ba1               | BB          | BB+       |
| Secured                      debt                   | Baa3              | BBB-        | BBB       |
| **Genco:**                                          |              |        |      |
| Issuer/corporate                      credit rating | -                 | BBB-        | BBB+      |
| Unsecured                      debt                 | Baa2              | BBB-        | BBB+      |
| **CILCORP:**                                        |              |        |      |
| Issuer/corporate                      credit rating | -                 | BB          | BB+       |
| Unsecured                      debt                 | Ba2               | B+          | BB+       |
| **CILCO:**                                          |              |        |      |
| Issuer/corporate                      credit rating | Ba1               | BB          | BB+       |
| Secured                      debt                   | Baa2              | BBB-        | BBB       |
| **IP:**                                             |              |        |      |
| Issuer/corporate                      credit rating | Ba1               | BB          | BB+       |
| Secured                      debt                   | Baa3              | BBB-        | BBB       |

----

**OUTLOOK**

**Revenues**

| ·   | In                      2006, electric rate freezes or adjustment moratoriums and power                      supply                      contracts expired in Ameren’s regulatory jurisdictions. At the end of                      2006, electric rates for Ameren’s operating subsidiaries had been fixed or                      declining for periods ranging from 15 years to 25                      years. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Average                      residential electric rates for CIPS, CILCO and IP increased                      significantly                      following the expiration of a rate freeze at the end of 2006.                      Electric                      rates rose because of the increased cost of power purchased                      on behalf of                      the Ameren Illinois Utilities’ customers and an increase in electric                      delivery service rates. Illinois average residential rates                      were expected                      to increase in 2007 by approximately 40% to 55% over 2006 rates                      with the                      overall increase for electric heat customers expected to be                      even higher.                      Due to the magnitude of these increases, a comprehensive customer                      rate                      relief and customer assistance program and agreement was reached                      with key                      stakeholders in Illinois that would provide approximately $1                      billion of                      funding for rate relief for certain electric customers in Illinois,                      including approximately $488 million to customers of the Ameren                      Illinois                      Utilities. This agreement was reached in order to avoid rate                      rollback and                      freeze legislation, or a tax on power generation enabling legislation                      necessary for the agreement to become effective was passed                      by the Illinois                      General Assembly in late July 2007 but must be signed by the                      governor of                      Illinois to become law. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Pursuant                      to the rate relief program, the Ameren Illinois Utilities,                      Genco and AERG                      agreed to make aggregate contributions of $150 million over                      a four-year                      period, with $60                      million coming from the Ameren Illinois Utilities (CIPS - $21                      million;                      CILCO - $11 million; IP - $28 million), $62 million from Genco                      and $28                      million from AERG. To fund these contributions, the Ameren                      Illinois                      Utilities, Genco and AERG would need to increase their respective                      short-term or long-term borrowings. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Under                      the rate relief program, the Ameren Illinois Utilities would                      continue to                      have the right to file new electric delivery service rate cases                      with the                      ICC at the utilities’ discretion. As a result of low returns on equity                      expected in 2007, the Ameren Illinois Utilities plan to file                      additional                      delivery service rate cases by the end of                      2007. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The                      redesign of all-electric customers’ rates is the subject of an ongoing                      case with the ICC designed to reduce seasonal fluctuations                      for residential                      customers who use large amounts of electricity while allowing                      utilities to                      fully recover costs. However, the redesign is expected to result                      in                      revenue changes between quarterly reporting                      periods. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The                      agreement provides that if legislation is enacted in Illinois                      before                      August 1, 2011, freezing or reducing retail electric rates                      or imposing or                      authorizing a new tax, special assessment or fee on the generation                      of                      electricity, then the remaining commitments would expire and                      any funds set                      aside in support of the funding commitments would be refunded                      to the                      contributing utilities and electric                      generators. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | As                      part of the agreement, the current reverse auction used for                      power                      procurement in Illinois would be discontinued immediately and                      replaced                      with a new power procurement process. In 2008, utilities would                      contract                      for necessary baseload, intermediate and peaking power requirements                      through a request-for-proposal process, subject to ICC review                      and                      approval. Existing supply contracts from the September 2006                      reverse                      auction would remain in place. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | As                      part of the rate relief program, the Ameren Illinois Utilities                      entered                      into financial contracts with Marketing Company (for the benefit                      of Genco                      and AERG), to lock-in prices for 400 to 1,000 megawatts annually                      of their                      baseload power requirements from 2008 through 2012 at |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |
|--------|--------|

----

|   | relevant                        market prices. These contracts are not effectiveuntil enactment                        of                        enabling legislation by the Illinois governor. If the legislation                        is                        enacted into law after August 10, 2007, then new market prices                        will be set                        when the legislation is enacted. These financial swap contracts                        expose                        Genco and AERG to changes in market prices, which could materially                        impact                        Genco’s, CILCORP’s, and CILCO’s results of operations, financial position,                        or liquidity if the market prices of power exceed the locked-in                        prices. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | See                      Note 2 – Rate and Regulatory Matters to our financial statements under                      Part I, Item 1, of this report for a further discussion of                      Illinois rate                      matters. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The                      MoPSC issued an order granting UE a $43 million increase in                      base rates for                      electric service with new electric rates effective June 4,                      2007. The MoPSC                      also approved a stipulation and agreement authorizing an increase                      in UE’s                      annual natural gas delivery revenues of $6 million, effective                      April 1,                      2007. UE agreed not to file a natural gas delivery rate case                      before March                      15, 2010. With increasing fuel and purchased power costs, and                      lacking a                      fuel and purchased power cost recovery mechanism, coupled with                      increased                      capital and operations and maintenance expenditures targeted                      at enhanced                      distribution system reliability, UE expects to be entering                      a period where                      more frequent rate cases will be                      necessary. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Very                      volatile power prices in the Midwest affect the amount of revenues                      Ameren,                      UE, Genco and CILCO (through AERG) can generate by marketing                      power into                      the wholesale and spot markets and influence the cost of power                      purchased                      in the spot markets. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In                      2006, the Non-rate-regulated Generation segment generated 30                      million                      megawatthours of power (Genco - 15 million, AERG - 7 million,                      EEI - 8                      million). Power previously supplied by Genco to CIPS (through                      Marketing                      Company) and by AERG to CILCO was subject to below-market-priced contracts                      that expired on December 31, 2006. All but 5 million megawatthours                      of                      Genco’s pre-2006 wholesale and retail electric power supply agreements                      also expired during 2006. In 2007, an additional 1 million                      megawatthours                      of these contracts will expire and another 2 million contracted                      megawatthours will expire in 2008. These agreements had an                      average                      embedded selling price of $36 per megawatthour, which is below                      current                      market prices. In 2006, Genco also sold 2.1 million net megawatthours                      of                      power in the spot market at an average market price of $38                      per                      megawatthour. In 2006, AERG’s power was sold principally to CILCO, at an                      average price of $32 per megawatthour. In addition, AERG sold                      1.5 million                      net megawatthours of power in the spot market at an average                      price of $37                      per megawatthour in 2006. The Non-rate-regulated Generation                      segment                      expects to generate 32 million megawatthours of power in 2007                      (Genco – 17                      million, AERG                      – 7 million, EEI – 8 million). |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The                      marketing strategy for Non-rate-regulated Generation is to                      optimize                      generation output in a low risk manner to minimize earnings                      and cash flow                      volatility, while capitalizing on its low-cost generation fleet                      to provide                      for solid, sustainable returns. Through a mix of physical and                      financial                      sales contracts and the Illinois 2006 power procurement auction                      and                      including expected contracts associated with the Illinois settlement                      agreement referenced above, the Non-rate-regulated Generation                      segment has                      sold approximately 90% of its expected 2007 generation output                      for the                      remainder of 2007 (fiscal year 2008 - 70%, or 23 million megawatthours;                      fiscal year 2009 - 50%, or 17 million megawatthours) at an                      average price                      of $51 per megawatthour. Expected sales in 2007 include an                      estimated 7.6                      million megawatthours of power sold through the Illinois power                      procurement                      auction at about $65 per megawatthour (2008 – 6.8 million, 2009 – 4.3                      million). |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | We                      expect continued economic growth in our service territory to                      benefit                      energy demand in 2007 and beyond, but higher energy prices                      could result in                      reduced demand from customers, especially in                      Illinois. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | UE,                      Genco and CILCO are seeking to raise the equivalent availability                      and                      capacity factors of their power plants through greater investments                      and a                      process improvement program and                      investment. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Fuel            and Purchased Power**

| ·   | In                        2006, 85% of Ameren's electric generation (UE - 77%, Genco                        - 97%,                        CILCO - 99%) was supplied by its coal-fired power plants.  About                        93% of the coal used by these plants (UE - 97%, Genco - 87%,                        CILCO - 69%)                        was delivered by railroads from the Powder River Basin in                        Wyoming.                         In the past, deliveries from the Powder River Basin have                        been restricted                        because of rail maintenance, weather and derailments.  As of June 30,                        2007, coal inventories for UE, Genco, AERG and EEI were adequate,                        and                        consistent with historical levels.  Disruptions in coal deliveries                        could cause UE, Genco, AERG and EEI to pursue a strategy                        that could                        include reducing sales of power during low-margin periods,                        buying                        higher-cost fuels to generate required electricity, and purchasing                        power                        from other sources. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Ameren’s                      coal and related transportation costs are expected to increase                      15% to 20%                      in 2007 over 2006 and 5% to 10% in 2008. Ameren’s nuclear fuel costs are                      also expected to rise over the next few years. In addition,                      power                      generation from higher-cost, gas-fired plants is expected to                      increase in                      the next few years. See Item 3 - Quantitative and Qualitative                      Disclosures                      about Market Risk in Part I of this report for information                      about the                      percentage of fuel and transportation requirements that are                      price-hedged                      for 2007 through 2011. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·   | In                      Illinois, Ameren and IP will also experience higher year-over-year                      purchased power expenses as the amortization of certain favorable                      purchase                      accounting adjustments associated with the IP acquisition was                      completed in                      2006. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In                      July 2005, a new law was enacted that enables the MoPSC to put in                      place fuel, purchased power, and environmental cost recovery                      mechanisms                      for Missouri’s utilities. In UE’s electric rate order issued by the MoPSC                      in May 2007, the MoPSC denied UE’s request to implement a fuel and                      purchased power cost recovery mechanism and an environmental                      cost recovery                      mechanism. UE may request the use of these mechanisms in future                      rate                      cases. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In                      2007, Ameren expects to reduce levels of emission allowance                      sales in order                      to retain remaining allowances for future environmental compliance                      needs. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Other            Costs**

| ·   | In                      December 2005, there was a breach of the upper reservoir at                      UE’s Taum Sauk                      pumped-storage hydroelectric facility. This resulted in significant                      flooding in the local area, which damaged a state park. In                      February 2007,                      UE submitted plans and an environmental report to FERC to rebuild                      the                      upper reservoir at its Taum Sauk plant, assuming successful                      resolution of                      outstanding issues with authorities of the state of Missouri.                      Should the                      decision be made to rebuild the Taum Sauk plant, UE would expect                      it to be                      out of service through at least the middle of 2009, if not                      longer. UE has                      accepted responsibility for the effects of the incident. At                      this time, UE                      believes that substantially all of the damage and liabilities                      (but not                      penalties or lost electric margins) caused by the breach, including                      rebuilding the plant, will be covered by insurance. Under UE’s insurance                      policies, all claims by or against UE are subject to review                      by its                      insurance carriers. As a result of this breach, UE is engaged                      in                      litigation initiated by certain private parties and by state                      authorities.                      The Taum Sauk incident is also under investigation at the MoPSC.                      We are                      unable to determine the impact the breach may have on Ameren’s and UE’s                      results of operations, financial position, or liquidity beyond                      those                      amounts already recognized. See Note 2 – Rate and Regulatory Matters and                      Note 8 - Commitments and Contingencies to our financial statements                      under                      Part I, Item 1, of this report for a further discussion of                      Taum Sauk                      matters. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | UE’s                      Callaway nuclear plant’s next scheduled refueling and maintenance outage                      is in the fall of 2008. During an outage, which occurs every                      18 months,                      maintenance and purchased power costs increase, and the amount                      of excess                      power available for sale decreases, versus non-outage                      years. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Over                      the next few years, we expect rising employee benefit costs                      as well as                      higher insurance and security costs associated with additional                      measures we                      have taken, or may need to take, at UE’s Callaway nuclear plant and at our                      other facilities. Insurance premiums may also increase as a                      result of the                      Taum Sauk incident, among other                      things. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Bad                      debts may increase due to rising electric                      rates. |
|--------------------|------------------------------------------------------------------------------------------------|

| ·   | We                      are currently undertaking cost reduction and control initiatives                      associated with the strategic sourcing of purchases and streamlining                      of                      all aspects of our business. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Capital            Expenditures**

| ·   | The                      EPA has issued more stringent emission limits on all coal-fired                      power                      plants. Between 2007 and 2016, Ameren expects that certain                      Ameren                      Companies will be required to invest between $3.5 billion and                      $4.5 billion                      to retrofit their power plants with pollution control equipment.                      These                      investments will also result in decreased plant availability                      during                      construction and significantly higher ongoing operating expenses.                      Approximately 50% of this investment will be in Ameren’s regulated UE                      operations, and it is therefore expected to be recoverable                      from                      ratepayers. The recoverability of amounts expended in non-rate-regulated                      operations will depend on whether market prices for power adjust                      as a                      result of this increased                      investment. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Ameren                      will provide a report on how it is responding to rising regulatory,                      competitive, and public pressure to significantly reduce carbon                      dioxide                      and other emissions from current and proposed power plant operations.                      The                      report will include Ameren’s climate change strategy and activities,                      current greenhouse gas emissions, and analysis with respect                      to plausible                      future greenhouse gas scenarios. Ameren will publish this report                      on its                      Web site by December 15, 2007. Investments to control carbon                      emissions at                      Ameren’s coal-fired plants would significantly increase future capital                      expenditures. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | UE                      continues to evaluate its longer-term needs for new baseload                      and peaking                      electric generation capacity. At this time, UE does not expect                      to require                      new baseload generation capacity until at least 2018. However,                      due to the                      significant time required to plan, acquire permits for and                      build a                      baseload power plant, UE is actively studying future plant                      alternatives,                      including those that would use coal or nuclear fuel. In 2007,                      UE signed an                      agreement with UniStar Nuclear to assist UE in the preparation                      of a                      combined construction and operating license application (COLA)                      for filing                      with the NRC. A COLA describes how a nuclear plant would be                      designed,                      constructed and operated. In addition, UE has also signed contracts                      for                      certain long lead-time equipment. Preparing a COLA and entering                      into these                      contracts does not mean a decision has been made to build a                      nuclear plant.                      They are only the first steps in the regulatory licensing and                      procurement                      process. UE and UniStar Nuclear must submit the                      COLA |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | to                          the NRC in 2008 to be eligible for incentives available                          under provisions                          of the 2005 Energy Policy                          Act. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Over                      the next few years, we expect to make significant investments                      in our                      electric and gas infrastructure to improve overall system reliability                      in                      addition to addressing environmental compliance requirements.                      We are                      projecting higher labor and material costs for these capital                      expenditures. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Other**

| ·   | Severe                      storms in 2006 and early 2007 resulted in electric outages                      for more than                      1.5 million customers and an increased focus on alternatives                      for improving                      reliability during severe storms. UE, CIPS, CILCO and IP are                      studying                      alternatives to improve system reliability, which could result                      in                      increased investment in system infrastructure or higher maintenance                      expenses. UE announced in July 2007 plans to spend $300 million                      over three                      years for underground cabling and reliability improvement,                      $135 million                      ($45 million per year) for tree-trimming, and $84 million over                      three years                      (approximately $28 million per year) for circuit and device                      inspection and                      repair. We would expect any additional costs or investments                      to be                      recovered in rates. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The                      MoPSC has initiated a rulemaking process to develop reliability                      rules                      applicable to Missouri investor-owned utilities that address                      three focus                      areas: vegetation management, infrastructure inspection, and                      reliability.                      The MoPSC’s proposed vegetation management and infrastructure inspection                      rules were published in the Missouri Register in July 2007,                      and a public                      hearing on these rules is scheduled for August 15, 2007. The                      MoPSC’s                      proposed reliability rules have not yet been published in the                      Missouri                      Register. The ultimate cost of the rules is subject to their                      final terms,                      but could be material. UE anticipates that most of such costs                      would                      ultimately be recoverable in rates. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In                      2006, Ameren realized gains on sales of noncore properties,                      including                      leveraged leases. The net benefit of these sales to Ameren                      in 2006 was 16                      cents per share. Ameren continues to pursue the sale of its                      interests in                      its remaining three leveraged lease assets. Ameren does not                      expect to                      achieve similar sales levels of noncore properties in                      2007. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Affiliate            Transactions**

| ·   | As                      a result of the termination of the JDA on December 31, 2006,                      UE and Genco                      no longer have the obligation to provide power to each other.                      UE is able                      to sell any excess power it has at market prices, which we                      believe will                      most likely be higher than the prices paid to it by Genco.                      Genco will no                      longer receive the margins on sales that it made, which were                      fulfilled                      with power from UE. The electric rate order issued in May 2007                      by the                      MoPSC incorporated the net decrease in UE’s revenue requirement from                      increased margins expected to result from the termination of                      the JDA. See                      Note 7 – Related Party Transactions to our financial statements under                      Part                      I, Item 1, of this report for a discussion of the effects of                      terminating                      the JDA. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**REGULATORY            MATTERS**

**ITEM            3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET            RISK.**

----

**Interest            Rate Risk**

|    |                                      |                          |   |                                   |   |
|---------|-------------------------------------------|-------------------------------|--------|----------------------------------------|--------|
|    | **Interest                      Expense** |                          |   | **Net                      Income(a)** |   |
| Ameren  | $                                         | 24                            |   |                                   | $      | (15) |   |
| UE      |                                      |                        9 |   |                                   |   |                        (6) |   |
| CIPS    |                                      |                        2 |   |                                   |   |                        (1) |   |
| Genco   |                                      |                        2 |   |                                   |   |                        (1) |   |
| CILCORP |                                      |                        5 |   |                                   |   |                        (3) |   |
| CILCO   |                                      |                        3 |   |                                   |   |                        (2) |   |
| IP      |                                      |                        7 |   |                                   |   |                        (4) |   |

| (a)   | Calculations                      are based on an effective tax rate of                      38%. |
|-----------------|---------------------------------------------------------------------------------------------------|

**Credit            Risk**

**Equity            Price Risk**

**Commodity            Price Risk**

----

|                                                                                                                                                                                                                                                                        |                                |                            |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------|---------------------------------|
|                                                                                                                                                                                                                                                                        | **Net                      Income** |                            |
| Ameren                                                                   | $                                   | (25)                            |   |
| UE                                                                       |                                | (10)                            |   |
| Genco                                                                    |                                | (10)                            |   |
| CILCO                      (AERG)                                        |                                |                        (3) |   |
| EEI                                                                      |                                |                        (2) |   |

| a)   | Calculations                      are based on an effective tax rate of                      38% |
|----------------|--------------------------------------------------------------------------------------------------|

|                                                           |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |
|----------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------|--------|----------|----------------------------|--------------------------------------|------------|-------------------------|---------------|
|                                                           | **2007**                                                                                                                      |                                                                                            |   | **2008** |                       |                                 | ** ** | **2009**–**2011** |          |
| **Ameren:**                                                    |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |
| Coal                                                           | ** **                                                                                                                    | **100%**                                                                                        |   |     |                       | 95%                                  |       |                    |          | 40% |   |
| Coal                      transportation                       | ** **                                                                                                                    | **100     **                                                           |   |     |                       | 95                    |       |                    |          | 46    |   |
| Nuclear                      fuel                              | ** **                                                                                                                    | **100     **                                                           |   |     |                       | 91                    |       |                    |          | 52    |   |
| Natural                      gas for generation                | ** **                                                                                                                    | **55   **                                                                        |   |     |                       | 12                    |       |                    |          | -    |   |
| Natural                      gas for distribution(a)           | **(a)           **                                                     |                                                                                            |   |     | 31          |                                 |       |                    | 9   |   |
| Purchased                      power for Illinois Regulated(b) | ** **                                                                                                                    | **100    **                                                                 |   |     |                       | 81                    |       |                    |          | 21   |   |
| **UE:**                                                        |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |   |   |
| Coal                                                      | ** **                                                                                                                    | ** 100%**                                                                                  |   |     |                       | 94%                                  |       |                    |          | 41% |   |
| Coal                      transportation                       | ** **                                                                                                                    | ** 100     **                                                     |   |     |                       | 97                    |       |                    |          | 61    |   |
| Nuclear                      fuel                              | ** **                                                                                                                    | **100   **                                                                       |   |     |                       | 91                    |       |                    |          | 52    |   |
| Natural                      gas for generation                | ** **                                                                                                                    | **36 **                                                                                    |   |     |                       | 8                          |       |                    |          | -    |   |
| Natural                      gas for distribution(a)           | ** (a)**                                                                                                                 |                                                                                            |   |     | 32          |                                 |       |                    | 5   |   |
| **CIPS:**                                                      |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |   |   |
| Natural                      gas for distribution(a)           | **                              (a)        ** |                                                                                            |   |     | 32%                        |                                 |       |                    | 13%           |   |
| Purchased                      power(b)                        | ** **                                                                                                                    | **100%**                                                                                        |   |     |                       | 81                    |       |                    |          | 21    |   |
| **Genco:**                                                     |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |   |   |
| Coal                                                      | ** **                                                                                                                    | ** 100%**                                                                                  |   |     |                       | 95%                                  |       |                    |          | 38% |   |
| Coal                      transportation                       | ** **                                                                                                                    | **100            **                 |   |     |                       | 97                    |       |                    |          | 45    |   |
| Natural                      gas for generation                | ** **                                                                                                                    | **100                                 ** |   |     |                       | 15                    |       |                    |          | -  |   |
| **CILCORP/CILCO:**                                             |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |   |   |
| Coal                      (AERG)                          | ** **                                                                                                                    | **                         99%**                                                      |   |     |                       | 96%                                  |       |                    |          | 41% |   |
| Coal                      transportation (AERG)                | ** **                                                                                                                    | **100            **                 |   |     |                       | 71                         |       |                    |          | 23    |   |
| Natural                      gas for distribution(a)           | **(a)        **                                                                       |                                                                                            |   |     | 24     |                                 |       |                    | 7        |   |
| Purchased                      power(b)                        | ** **                                                                                                                    | **100   **                                                                       |   |     |                       | 81                    |       |                    |          | 21   |   |
| **IP:**                                                        |                                                                                                                          |                                                                                            |   |     |                       |                                 |       |                    |          |   |   |
| Natural                      gas for distribution(a)           | **                        (a)**                                                                                     |                                                                                            |   |     |  35%                  |                                 |       |                    |  9%      |   |
| Purchased                      power(b)                        | ** **                                                                                                                    | ** 100%**                                                                                  |   |     |                       | 81                         |       |                    |          | 21    |   |

----

|                                     |       |                            |   |     |   |                            |       |                    |   |
|------------------------------------------|------------|---------------------------------|--------|----------|--------|---------------------------------|------------|-------------------------|--------|
|                                     | **2007**   |                            |   | **2008** |   |                            | ** ** | **2009**–**2011** |   |
| **EEI:**                                 |       |                            |   |     |   |                            |       |                    |   |   |   |
| Coal                                     | ** ** | **100%**                        |   |     |   |                        97% |       |                    |   | 42% |   |
| Coal                      transportation | ** ** | **100    ** |   |     |   | 100              |       |                    |   | - |   |

| (a)   | The                      year 2007 is non-applicable for this table. The year 2008 represents                      November 2007 through March 2008. This continues each successive                      year                      through March 2011. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Represents                      the percentage of purchased power price-hedged for fixed-price                      residential                      and small commercial customers with less than 1 megawatt of                      demand as part                      of the Illinois power procurement auction held in early September                      2006. Excluded from the percent hedged amount is purchased power                      for                      fixed-price large commercial and industrial customers with                      1 megawatt of                      demand or higher. Nearly all of these customers chose a third-party                      supplier. However, regardless of whether customers choose a                      third-party                      supplier, the purchased power needed to serve this load is                      100%                      price-hedged through May 31, 2008, due to the Illinois auction. Also                      excluded from the percent hedged amount is purchased power                      to serve large                      service real-time pricing customers. See Note 2 – Rate and Regulatory                      Matters and Note 8 – Commitments and Contingencies to our financial                      statements under Part I, Item 1, of this report for a discussion                      of this                      matter. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                              |                |   |   |                 |   |
|-----------------------------------|---------------------|--------|--------|----------------------|--------|
|                              | **Coal**            |   |   | **Transportation**   |   |
|                              | **Fuel****Expense** |   |   | **Net****Income**(a) |   |   | **Fuel****Expense** |   |   | **Net****Income**(a) |   |
| Ameren(b)                         | $                   | 12     |   |                 | $      | (8 | ) |   | $ | 14 |   |   | $ | (9 | ) |
| UE                                |                | 6      |   |                 |   | (4 | ) |   |   | 5 |   |   |   | (3 | ) |
| Genco                             |                | 4      |   |                 |   | (2 | ) |   |   | 4 |   |   |   | (2 | ) |
| CILCORP                           |                | 2      |   |                 |   | (1 | ) |   |   | 2 |   |   |   | (1 | ) |
| CILCO                      (AERG) |                | 2      |   |                 |   | (1 | ) |   |   | 2 |   |   |   | (1 | ) |
| EEI                               |                | 1      |   |                 |   | (1 | ) |   |   | 4 |   |   |   | (2 | ) |

| (a)   | Calculations                      are based on an effective tax rate of                      38%. |
|-----------------|---------------------------------------------------------------------------------------------------|

| (b)   | Includes                      amounts for Ameren registrant and nonregistrant                      subsidiaries. |
|-----------------|------------------------------------------------------------------------------------------------------------------|

**Fair            Value of Contracts**

|                                                                                                                                                       |   |          |   |   |   |   |   |     |   |   |         |   |   |                  |   |   |   |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------|--------|--------|--------|--------|--------|----------|--------|--------|--------------|--------|--------|-----------------------|--------|--------|--------|--------|
|                                                                                                                                                       |   | **Ameren(a)** |   |   | **UE** |   |   | **CIPS** |   |   | **Genco(b)** |   |   | **CILCORP/****CILCO** |   |   | **IP** |   |
| **Three                      Months**                                                                                                                      |   |          |   |   |   |   |   |     |   |   |         |   |   |                  |   |   |   |   |
| Fair                      value of contracts at beginning of period, net                                                                                   |   | $             | 31     |   |   | $      | -      |     |   | $      | 3            |   |   | $                     | (1     | )      |   | $      | 6 |   |   | $ | - |   |
| Contracts                      realized or otherwise settled during the period                                                                             |   |          | (5     | )      |   |   | (2     | )        |   |   | (1           | )      |   |                  | -      |   |   |   | (2 | ) |   |   | - |   |
| Changes                      in fair values attributable to changes in valuation technique                      and                      assumptions  |   |          | -      |   |   |   | -      |     |   |   | -            |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Fair                      value of new contracts entered into during the period                                                                            |   |          | 22     |   |   |   | (2     | )        |   |   | -            |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Other                      changes in fair value                                                                                                           |   |          | 21     |   |   |   | 9      |     |   |   | (1           | )      |   |                  | (1     | )      |   |   | - |   |   |   | - |   |
| Fair                      value of contracts outstanding at end of period, net                                                                             |   | $             | 69     |   |   | $      | 5      |     |   | $      | 1            |   |   | $                     | (2     | )      |   | $      | 4 |   |   | $ | - |   |
| **Six                      Months**                                                                                                                        |   |          |   |   |   |   |   |     |   |   |         |   |   |                  |   |   |   |   |   |   |   |   |   |   |
| Fair                      value of contracts at beginning of period, net                                                                                   |   | $             | 98     |   |   | $      | 12     |     |   | $      | 2            |   |   | $                     | (1     | )      |   | $      | 6 |   |   | $ | 2 |   |
| Contracts                      realized or otherwise settled during the period                                                                             |   |          | (22    | )      |   |   | (6     | )        |   |   | (1           | )      |   |                  | -      |   |   |   | (4 | ) |   |   | - |   |
| Changes                      in fair values attributable to changes in valuation technique                      and                      assumptions  |   |          | -      |   |   |   | -      |     |   |   | -            |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Fair                      value of new contracts entered into during the period                                                                            |   |          | 20     |   |   |   | (3     | )        |   |   | -            |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Other                      changes in fair value                                                                                                           |   |          | (27    | )      |   |   | 2      |     |   |   | -            |   |   |                  | (1     | )      |   |   | 2 |   |   |   | (2 | ) |
| Fair                      value of contracts outstanding at end of period, net                                                                             |   | $             | 69     |   |   | $      | 5      |     |   | $      | 1            |   |   | $                     | (2     | )      |   | $      | 4 |   |   | $ | - |   |

| (a)   | Includes                      amounts for Ameren registrant and nonregistrant subsidiaries                      and                      intercompany eliminations. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | In                      conjunction with the new power supply agreement between Marketing                      Company                      and Genco that went into effect January 1, 2007, the mark-to-market                      value                      of hedges entered into during 2006 for Genco was transferred                      from Genco to                      Marketing Company. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                                                                                                                                                                                                                                                                                                                                                                           |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------|--------|--------|------------------------------------------------|--------|--------|------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------|--------|
|   **Sources                      of Fair Value**                                                                                                                                                                                                                                                                                                                                     | **Maturity****Less                      than****1                      Year** |   |   | **Maturity****1-3                      Years** |   |   | **Maturity****4-5                      Years** |   |   | **Maturity                      in****Excess                      of****5                      Years** |   |   | **Total****Fair                      Value** |   |
| **Ameren:**                                                                                                                                                                                                                                                                                                                                                                                    |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |
| Prices                      actively                      quoted                                                      | $                                                                             | 8      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 8 |   |
| Prices                      provided by other external sources(a)                                                                                                                                                                                                                                                                                                                              |                                                                          | 1      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | 1 |   |
| Prices                      based on models and other valuation methods(b)                                                                                                                                                                                                                                                                                                                     |                                                                          | 41     |   |                                           |   | 19     |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | 60 |   |
| Total                                                                                                                 | $                                                                             | 50     |   |                                           | $      | 19     |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 69 |   |
| **UE:**                                                                                                                                                                                                                                                                                                                                                                                        |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |   |   |   |   |   |
| Prices                      actively                      quoted                                                      | $                                                                             | 2      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 2 |   |
| Prices                      provided by other external sources(a)                                                                                                                                                                                                                                                                                                                              |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Prices                      based on models and other valuation methods(b)                                                                                                                                                                                                                                                                                                                     |                                                                          | 2      |   |                                           |   | 1      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | 3 |   |
| Total                                                                                                                 | $                                                                             | 4      |   |                                           | $      | 1      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 5 |   |
| **CIPS:**                                                                                                                                                                                                                                                                                                                                                                                      |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |   |   |   |   |   |
| Prices                      actively                      quoted                                                      | $                                                                             | -      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | - |   |
| Prices                      provided by other external sources(a)                                                                                                                                                                                                                                                                                                                              |                                                                          | 1      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | 1 |   |
| Prices                      based on models and other valuation methods(b)                                                                                                                                                                                                                                                                                                                     |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Total                                                                                                                 | $                                                                             | 1      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 1 |   |
| **Genco:**                                                                                                                                                                                                                                                                                                                                                                                     |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |   |   |   |   |   |
| Prices                      actively                      quoted                                                      | $                                                                             | (1     | )      |                                           | $      | (1     | )                                              |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | (2 | ) |
| Prices                      provided by other external sources(a)                                                                                                                                                                                                                                                                                                                              |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Prices                      based on models and other valuation methods(b)                                                                                                                                                                                                                                                                                                                     |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Total                                                                                                                 | $                                                                             | (1     | )      |                                           | $      | (1     | )                                              |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | (2 | ) |
| **CILCORP/CILCO:**                                                                                                                                                                                                                                                                                                                                                                             |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |   |   |   |   |   |
| Prices                      actively                      quoted                                                      | $                                                                             | 1      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 1 |   |
| Prices                      provided by other external sources(a)                                                                                                                                                                                                                                                                                                                              |                                                                          | 3      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | 3 |   |
| Prices                      based on models and other valuation methods(b)                                                                                                                                                                                                                                                                                                                     |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Total                                                                                                                 | $                                                                             | 4      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | 4 |   |
| **IP:**                                                                                                                                                                                                                                                                                                                                                                                        |                                                                          |   |   |                                           |   |   |                                           |   |   |                                                                                                   |   |   |                                         |   |   |   |   |   |   |
| Prices                      actively                      quoted                                                      | $                                                                             | -      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | - |   |
| Prices                      provided by other external sources(a)                                                                                                                                                                                                                                                                                                                              |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Prices                      based on models and other valuation methods(b)                                                                                                                                                                                                                                                                                                                     |                                                                          | -      |   |                                           |   | -      |                                           |   |   | -                                                                                                      |   |   |                                         | -      |   |   |   | - |   |
| Total                                                                                                                 | $                                                                             | -      |   |                                           | $      | -      |                                           |   | $      | -                                                                                                      |   |   | $                                            | -      |   |   | $ | - |   |

| (a)   | Principally                      fixed price for floating over-the-counter power swaps, power                      forwards and                      fixed price for floating over-the-counter natural gas                      swaps. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Principally                      coal and SO2                      option values                      based on a Black-Scholes model that includes information from                      external                      sources and our estimates. Also includes interruptible power                      forward and                      option contract values based on our                      estimates. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**ITEM            4. CONTROLS AND PROCEDURES.**

| (a)   | Evaluation                      of Disclosure Controls and                      Procedures |
|-----------------|--------------------------------------------------------------------------------------------|

| (b)   | Change                      in Internal Controls |
|-----------------|--------------------------------------------------|

----

**PART            II. OTHER INFORMATION**

**ITEM            1. LEGAL PROCEEDINGS.**

**ITEM            1A. RISK FACTORS.**

**The            electric and gas rates that UE, CIPS, CILCO and IP are allowed to charge            are            determined through regulatory proceedings and are subject to legislative            actions            which are largely outside of our control. Where these events result in            the            inability of UE, CIPS, CILCO or IP to recover their respective costs            and earn an            appropriate return on investment, it could have a material adverse effect            on our            future results of operations, financial position or            liquidity.**

**Illinois**

*Electric            Delivery Service Rate Cases*

*Electric Agreement*

----

| ·   | uncertainty                      as to the implementation of the new power procurement process                      in Illinois                      for 2008 and 2009, including ICC review and approval requirements,                      the                      role of the IPA, and the ability of the Ameren Illinois Utilities                      to                      lease, or invest in, generation                      facilities; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                      increase in short-term or long-term borrowings by the Ameren                      Illinois                      Utilities, Genco and AERG to fund contributions under the program                      and                      agreement; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                      failure by the electric generators that are party to the agreement                      to                      perform in a timely manner under their respective funding agreements,                      which permits the Ameren Illinois Utilities to seek reimbursement                      for a                      portion of the rate relief that will be provided to certain                      of their                      electric customers; |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                      exposure of Genco and AERG to changes in market prices as a                      result of the                      financial swap contracts that Marketing Company (on behalf                      of Genco and                      AERG) entered into with the Ameren Illinois Utilities;                      and |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                        extent to which Genco and AERG will be successful in making                        future sales                        to supply a portion of Illinois' total electric demand through                        the revised                        power procurement mechanism. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**Missouri**

**ITEM            2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF            PROCEEDS.**

|                                                                                                                                                                                                                                                                                             |   |                                                                                                                           |    |   |                                                                                                                |   |                                            |                                                                                                                                                                                             |   |   |                                                                                                                                                                                                                                                 |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------|---------|--------|---------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|  **Period**                                                                                                                                                                                                                                                                                 |   | **(a)                      Total Number****of                      Shares****(or                      Units)****Purchased(a)** |    |   | **(b)                      Average Price****Paid                      per Share****(or                      Unit)** |   |                                            | **(c)                      Total Number of Shares****(or                      Units) Purchased as Part****of                      Publicly Announced Plans****or                      Programs** |   |   | **(d)                      Maximum Number (or****Approximate                      Dollar Value) of****Shares                      (or Units) that May Yet****Be                      Purchased Under the Plans****or                      Programs** |   |
| April                      1 – April 30,                      2007                                     |   |                                                                                                                           | 600     |   |                                                                                                                | $      | 50.88                                           |                                                                                                                                                                                             |   |   | -                                                                                                                                                                                                                                                    |   |   |   | - |   |
| May                      1 – May 31,                      2007                                         |   |                                                                                                                           | -  |   |                                                                                                                |   | -                           |                                                                                                                                                                                             |   |   | -                                                                                                                                                                                                                                                    |   |   |   | - |   |
| June                      1 – June 30,                      2007                                       |   |                                                                                                                           | -  |   |                                                                                                                |   | -                      |                                                                                                                                                                                             |   |   | -                                                                                                                                                                                                                                                    |   |   |   | - |   |
| Total                                                                                                        |   |                                                                                                                           | 600     |   |                                                                                                                | $      | 50.88                                           |                                                                                                                                                                                             |   |   | -                                                                                                                                                                                                                                                    |   |   |   | - |   |

| (a)   | These                      shares of Ameren common stock were purchased by Ameren in open-market                      transactions in satisfaction of Ameren’s obligation upon the exercise by                      employees of options issued under Ameren’s Long-term Incentive Plan of                      1998, as amended. Ameren does not have any publicly announced                      equity                      securities repurchase plans or                      programs. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**ITEM              4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY              HOLDERS.**

**Ameren**

|  | Item                      (1) | Election                      of 12 directors (comprising Ameren’s full Board of Directors) to serve                      until the next annual meeting of shareholders in                      2008. |
|--|-------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **Name**                                   | **For**     | **Withheld** | **Broker                      Non-Votes(a)** |
|--------------------------------------------|-------------|--------------|----------------------------------------------|
| Stephen                      F. Brauer     | 172,744,706 | 3,380,682    | -                                            |
| Susan                      S. Elliott      | 172,623,835 | 3,501,553    | -                                            |
| Gayle                      P. W. Jackson   | 172,735,245 | 3,390,143    | -                                            |
| James                      C. Johnson      | 172,735,312 | 3,390,076    | -                                            |
| Richard                      A. Liddy      | 172,062,753 | 4,062,635    | -                                            |
| Gordon                      R. Lohman      | 172,404,949 | 3,720,439    | -                                            |
| Charles                      W. Mueller    | 172,537,140 | 3,588,248    | -                                            |
| Douglas                      R. Oberhelman | 171,969,174 | 4,156,214    | -                                            |
| Gary                      L. Rainwater     | 172,095,957 | 4,029,431    | -                                            |
| Harvey                      Saligman       | 172,438,721 | 3,686,667    | -                                            |
| Patrick                      T. Stokes     | 172,621,903 | 3,503,485    | -                                            |
| Jack                      D. Woodard       | 172,727,233 | 3,398,155    | -                                            |

| (a)   | Broker                      shares included in the quorum but not voting on the                      item. |
|-----------------|------------------------------------------------------------------------------------------------------------|

| Item                      (2) | Ameren                      proposal regarding ratification of the appointment of                      PricewaterhouseCoopers LLP as Ameren’s independent registered public                      accountants for the fiscal year ending December 31,                      2007. |
|-------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **For**     | **Against** | **Abstain** | **Broker                      Non-Votes(a)** |
|-------------|-------------|-------------|----------------------------------------------|
| 173,027,701 | 1,298,461   | 1,799,226   | -                                            |

| (a)   | Broker                      shares included in the quorum but not voting on the                      item. |
|-----------------|------------------------------------------------------------------------------------------------------------|

| Item                      (3) | Shareholder                      proposal requesting a report on releases from UE’s Callaway nuclear                      plant. |
|-------------------------------|----------------------------------------------------------------------------------------------------------------------------------------|

| **For**    | **Against** | **Abstain** | **Broker                      Non-Votes(a)** |
|------------|-------------|-------------|----------------------------------------------|
| 10,401,287 | 106,900,549 | 12,280,634  | 46,542,918                                   |

| (a)   | Broker                      shares included in the quorum but not voting on the                      item. |
|-----------------|------------------------------------------------------------------------------------------------------------|

**UE**

**CIPS**

**CILCO**

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**IP**

**GENCO            and CILCORP**

**ITEM            6. EXHIBITS.**

| **Exhibit                      Designation**                                                                          | **Registrant(s)** | **Nature                      of Exhibit**                                                                                                                                                                                                                                                                                                                                                                                                   | **Previously                      Filed as Exhibit to:**                                               |
|-----------------------------------------------------------------------------------------------------------------------|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|
| **Instruments                      Defining Rights of Securities Holders, Including                      Indentures** |
| 4.1                                                                                                                   | AmerenUE          | UE                      Company Order dated June 15, 2007,establishing                      the 6.40% Senior Secured Notesdue                      2017 (including the global note)                                                                                                                                                                                                                                                          | June                      15, 2007 Form 8-K, Exhibits4.2                      and 4.3, File No. 1-2967 |
| 4.2                                                                                                                   | AmerenUE          | Supplemental                      Indenture dated June 1, 2007by                      and between UE and The Bank of New York,                      as Trustee under the Indenture ofMortgage                      and Deed of Trust dated June 15,1937,                      as amended, relating to the FirstMortgage                      Bonds, Senior Notes Series KKsecuring                      the 6.40% Senior Notes due 2017 | June                      15, 2007 Form 8-K, Exhibit4.5,                      File No. 1-2967          |
| **Statement                      re: Computation of Ratios**                                                          |
| 12.1                                                                                                                  | Ameren            | Ameren’s                      Statement of Computation of Ratioof                      Earnings to Fixed Charges                                                                                                                                                                                                                                                                                                                       |                                                                                                   |
| 12.2                                                                                                                  | UE                | UE’s                      Statement of Computation of Ratio ofEarnings                      to Fixed Charges and CombinedFixed                      Charges and Preferred Stock DividendRequirements                                                                                                                                                                                                                                   |                                                                                                   |
| 12.3                                                                                                                  | CIPS              | CIPS’                      Statement of Computation of Ratio ofEarnings                      to Fixed Charges and CombinedFixed                      Charges and Preferred Stock DividendRequirements                                                                                                                                                                                                                                  |                                                                                                   |
| 12.4                                                                                                                  | Genco             | Genco’s                      Statement of Computation of Ratioof                      Earnings to Fixed Charges                                                                                                                                                                                                                                                                                                                        |                                                                                                   |
| 12.5                                                                                                                  | CILCORP           | CILCORP’s                      Statement of Computation ofRatio                      of Earnings to Fixed Charges                                                                                                                                                                                                                                                                                                                      |                                                                                                   |
| 12.6                                                                                                                  | CILCO             | CILCO’s                      Statement of Computation of Ratioof                      Earnings to Fixed Charges and CombinedFixed                      Charges and Preferred Stock DividendRequirements                                                                                                                                                                                                                                |                                                                                                   |
| 12.7                                                                                                                  | IP                | IP’s                      Statement of Computation of Ratio ofEarnings                      to Fixed Charges and CombinedFixed                      Charges and Preferred Stock DividendRequirements                                                                                                                                                                                                                                   |                                                                                                   |

----

|   |
|--------|

| **Exhibit                      Designation**                                       | **Registrant(s)**                                                  | **Nature                      of Exhibit**                                                                                                                                          | **Previously                      Filed as Exhibit to:** |
|------------------------------------------------------------------------------------|--------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------|
| **Rule                    13a-14(a) / 15d-14(a) Certifications**    |
| 31.1                                                                          | Ameren           | Rule                      13a-14(a)/15d-14(a) Certification ofPrincipal Executive                      Officer of                      Ameren                                       |                                                     |
| 31.2                                                                               | Ameren                                                             | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of Ameren                                                           |                                                     |
| 31.3                                                                               | UE                                                                 | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Executive Officer of UE                                                               |                                                     |
| 31.4                                                                               | UE                                                                 | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of UE                                                               |                                                     |
| 31.5                                                                               | CIPS                                                               | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Executive Officer of CIPS                                                             |                                                     |
| 31.6                                                                               | CIPS                                                               | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of CIPS                                                             |                                                     |
| 31.7                                                                               | Genco                                                              | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Executive Officer of Genco                                                            |                                                     |
| 31.8                                                                               | Genco                                                              | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of Genco                                                            |                                                     |
| 31.9                                                                               | CILCORP                                                            | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Executive Officer of CILCORP                                                          |                                                     |
| 31.10                                                                              | CILCORP                                                            | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of CILCORP                                                          |                                                     |
| 31.11                                                                              | CILCO                                                              | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Executive Officer of CILCO                                                            |                                                     |
| 31.12                                                                              | CILCO                                                              | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of CILCO                                                            |                                                     |
| 31.13                                                                              | IP                                                                 | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Executive Officer of IP                                                               |                                                     |
| 31.14                                                                              | IP                                                                 | Rule                      13a-14(a)/15d-14(a) Certification of Principal                      Financial Officer of IP                                                               |                                                     |
| **Section                      1350 Certifications**                               |
| 32.1                                                                               | Ameren                                                             | Section                      1350 Certification of Principal Executive                      Officer and Principal Financial Officer                      of Ameren                  |                                                     |
| 32.2                                                                               | UE                                                                 | Section                      1350 Certification of Principal Executive                      Officer                      and Principal Financial Officer                      of UE |                                                     |
| 32.3                                                                               | CIPS                                                               | Section                      1350 Certification of Principal Executive                      Officer and Principal Financial Officer                      of CIPS                    |                                                     |
| 32.4                                                                               | Genco                                                              | Section                      1350 Certification of Principal Executive                      Officer and Principal Financial Officer                      of Genco                   |                                                     |
| 32.5                                                                               | CILCORP                                                            | Section                      1350 Certification of Principal Executive                      Officer and Principal Financial Officer                      of CILCORP                 |                                                     |
| 32.6                                                                               | CILCO                                                              | Section                      1350 Certification of Principal Executive                      Officer and Principal Financial Officer                      of CILCO                   |                                                     |
| 32.7                                                                               | IP                                                                 | Section                      1350 Certification of Principal Executive                      Officer and Principal Financial Officer                      of IP                      |                                                     |

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**SIGNATURES**

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