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| T | QUARTERLY REPORT PURSUANT TO      SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 |
|---|---------------------------------------------------------------------------------------------------|

| £ | TRANSITION REPORT PURSUANT TO      SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 |
|--------|----------------------------------------------------------------------------------------------------|

| Entity                                        | Commission      File Number | State      of Incorporation | I.R.S.      Employer Identification      No. |
|-----------------------------------------------|-----------------------------|-----------------------------|----------------------------------------------|
| Dynegy      Inc.                              | 001-33443                   | Delaware                    | 20-5653152                                   |
| Dynegy      Holdings Inc.                     | 000-29311                   | Delaware                    | 94-3248415                                   |
|                                          |                        |                        |                                         |
|                                          |                        |                        |                                         |
| 1000      Louisiana, Suite 5800               |                        |                        |                                         |
| Houston,      Texas                           |                        |                        | 77002                                        |
| (Address      of principal executive offices) |                        |                        | (Zip      Code)                              |

| Dynegy      Inc.          | Yes      T No      £ |
|---------------------------|---------------------------|
| Dynegy      Holdings Inc. | Yes      T No      £ |

| Dynegy      Inc.          | Yes      £ No      £ |
|---------------------------|--------------------------------|
| Dynegy      Holdings Inc. | Yes      £ No      £ |

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|                      |   | Large      accelerated filer |   | Accelerated      filer |   | Non-accelerated      filer                         |   | Smaller      reporting company |
|---------------------------|--------|------------------------------|--------|------------------------|--------|----------------------------------------------------|--------|--------------------------------|
|                      |   |                         |   |                   |   | (Do      not check if a smaller reporting company) |   |                           |
|                      |   |                         |   |                   |   |                                               |   |                           |
| Dynegy      Inc.          |   | T                            |   | £                 |   | £                                             |   | £                         |
| Dynegy      Holdings Inc. |   | £                       |   | £                 |   | T                                                  |   | £                         |

| Dynegy      Inc.          | Yes      £ No      T |
|---------------------------|---------------------------|
| Dynegy      Holdings Inc. | Yes      £ No      T |

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DYNEGY INC

|                                                                                              | Page                                                                                                                                           |
|---------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|
| PART      I. FINANCIAL INFORMATION                                                                |                                                                                                                                           |
|                                                                                              |                                                                                                                                           |
| Item      1.                                                                                      | FINANCIAL      STATEMENTS—DYNEGY INC. AND DYNEGY HOLDINGS INC.:                                                                          |   |
|                                                                                              |                                                                                                                                           |   |
| Condensed Consolidated Balance Sheets—Dynegy      Inc.:                                     |                                                                                                                                           |
| September 30, 2009 and December 31, 2008                                                          | 4                                                                                                                                              |
| Condensed Consolidated Statements of Operations—Dynegy      Inc.:                           |                                                                                                                                           |
| For the three and nine months ended September 30, 2009 and      2008                              | 5                                                                                                                                              |
| Condensed Consolidated Statements of Cash Flows—Dynegy      Inc.:                           |                                                                                                                                           |
| For the nine months ended September 30, 2009 and      2008                                        | 6                                                                                                                                              |
| Condensed Consolidated Statements of Comprehensive Income      (Loss)—Dynegy Inc.:          |                                                                                                                                           |
| For the three and nine months ended September 30, 2009 and      2008                              | 7                                                                                                                                              |
| Condensed Consolidated Balance Sheets—Dynegy Holdings      Inc.:                            |                                                                                                                                           |
| September 30, 2009 and December 31, 2008                                                          | 8                                                                                                                                              |
| Condensed Consolidated Statements of Operations—Dynegy Holdings      Inc.:                  |                                                                                                                                           |
| For the three and nine months ended September 30, 2009 and      2008                              | 9                                                                                                                                              |
| Condensed Consolidated Statements of Cash Flows—Dynegy Holdings      Inc.:                  |                                                                                                                                           |
| For the nine months ended September 30, 2009 and      2008                                        | 10                                                                                                                                             |
| Condensed Consolidated Statements of Comprehensive Income      (Loss)—Dynegy Holdings Inc.: |                                                                                                                                           |
| For the three and nine months ended September 30, 2009 and      2008                              | 11                                                                                                                                             |
| Notes to Condensed Consolidated Financial      Statements                                         | 12                                                                                                                                             |
|                                                                                              |                                                                                                                                           |   |
| Item      2.                                                                                      | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND      RESULTS OF OPERATIONS—DYNEGY INC. AND DYNEGY HOLDINGS    INC. | 54 |
| Item      3.                                                                                      | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET      RISK—DYNEGY INC. AND DYNEGY HOLDINGS INC.                                     | 87 |
| Item      4.                                                                                      | CONTROLS AND PROCEDURES—DYNEGY INC. AND DYNEGY HOLDINGS      INC.                                                                        | 89 |
|                                                                                              |                                                                                                                                           |   |
| PART      II. OTHER INFORMATION                                                                   |                                                                                                                                           |
|                                                                                              |                                                                                                                                           |   |
| Item      1.                                                                                      | LEGAL PROCEEDINGS—DYNEGY INC. AND DYNEGY HOLDINGS      INC.                                                                              | 90 |
| Item      1A.                                                                                     | RISK FACTORS—DYNEGY INC. AND DYNEGY HOLDINGS      INC.                                                                                   | 90 |
| Item      2.                                                                                      | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF      PROCEEDS—DYNEGY INC.                                                             | 90 |
| Item      6.                                                                                      | EXHIBITS—DYNEGY INC. AND DYNEGY HOLDINGS    INC.                                                                                         | 90 |

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Table of Contents

|   | ACES | The      American Clean Energy and Security Act of2009 |
|--------|------|--------------------------------------------------------|

|   | APB | Accounting      Principles Board |
|--------|-----|----------------------------------|

|   | BTA | Best      technology available |
|--------|-----|--------------------------------|

|   | Cal      ISO | The      California Independent SystemOperator |
|--------|--------------|------------------------------------------------|

|   | CARB | California      Air Resources Board |
|--------|------|-------------------------------------|

|   | CAA | Clean      Air Act |
|--------|-----|--------------------|

|   | CCA | Coal      combustion ash |
|--------|-----|--------------------------|

|   | CDWR | California      Department of Water Resources |
|--------|------|-----------------------------------------------|

|   | CEC | California      Energy Commission |
|--------|-----|-----------------------------------|

|   | CFTC | Commodity      Futures Trading Commission |
|--------|------|-------------------------------------------|

|   | CO2 | Carbon      Dioxide |
|--------|-----|---------------------|

|   | CRM | Our      former customer risk management businesssegment |
|--------|-----|----------------------------------------------------------|

|   | CUSA | Chevron      U.S.A. Inc., a wholly owned subsidiary of Chevron    Corporation |
|--------|------|-------------------------------------------------------------------------------|

|   | DHI | Dynegy      Holdings Inc., Dynegy’s primary financing  subsidiary |
|--------|-----|-------------------------------------------------------------------------|

|   | DMG | Dynegy      Midwest Generation, Inc. |
|--------|-----|--------------------------------------|

|   | DMSLP | Dynegy      Midstream Services L.P. |
|--------|-------|-------------------------------------|

|   | EPA | Environmental      Protection Agency |
|--------|-----|--------------------------------------|

|   | FASB | Financial      Accounting Standards Board |
|--------|------|-------------------------------------------|

|   | FERC | Federal      Energy Regulatory Commission |
|--------|------|-------------------------------------------|

|   | GAAP | Generally      Accepted Accounting Principles of the United States of    America |
|--------|------|----------------------------------------------------------------------------------|

|   | GEN | Our      power generation business |
|--------|-----|------------------------------------|

|   | GEN-MW | Our      power generation business - Midwestsegment |
|--------|--------|-----------------------------------------------------|

|   | GEN-NE | Our      power generation business - Northeastsegment |
|--------|--------|-------------------------------------------------------|

|   | GEN-WE | Our      power generation business - Westsegment |
|--------|--------|--------------------------------------------------|

|   | GHG | Greenhouse      Gas |
|--------|-----|---------------------|

|   | ICC | Illinois      Commerce Commission |
|--------|-----|-----------------------------------|

|   | IMA | In-market      asset availability |
|--------|-----|-----------------------------------|

|   | ISO | Independent      System Operator |
|--------|-----|----------------------------------|

|   | LNG | Liquefied      natural gas |
|--------|-----|----------------------------|

|   | MISO | Midwest      Independent Transmission Operator,Inc. |
|--------|------|-----------------------------------------------------|

|   | MMBtu | One      million British thermal units |
|--------|-------|----------------------------------------|

|   | MW | Megawatts |
|--------|----|-----------|

|   | MWh | Megawatt      hour |
|--------|-----|--------------------|

|   | NPDES | National      Pollutant Discharge EliminationSystem |
|--------|-------|-----------------------------------------------------|

|   | NRG | NRG      Energy, Inc. |
|--------|-----|-----------------------|

|   | NYSDEC | New      York State Department of Environmental  Conservation |
|--------|--------|---------------------------------------------------------------|

|   | PJM | PJM      Interconnection, LLC |
|--------|-----|-------------------------------|

|   | PPEA | Plum      Point Energy Associates, LLC |
|--------|------|----------------------------------------|

|   | PSD | Prevention      of significant deterioration |
|--------|-----|----------------------------------------------|

|   | PUHCA | Public      Utility Holding Company Act of 1935, asamended |
|--------|-------|------------------------------------------------------------|

|   | RGGI | Regional      Greenhouse Gas Initiative |
|--------|------|-----------------------------------------|

|   | RMR | Reliability      Must Run |
|--------|-----|---------------------------|

|   | RSG | Revenue      Sufficiency Guarantee |
|--------|-----|------------------------------------|

|   | SCEA | Sandy      Creek Energy Associates, LP |
|--------|------|----------------------------------------|

|   | SCH | Sandy      Creek Holdings LLC |
|--------|-----|-------------------------------|

|   | SEC | U.S.      Securities and Exchange Commission |
|--------|-----|----------------------------------------------|

|   | SPDES | State      Pollutant Discharge EliminationSystem |
|--------|-------|--------------------------------------------------|

|   | VaR | Value      at Risk |
|--------|-----|--------------------|

|   | VIE | Variable      Interest Entity |
|--------|-----|-------------------------------|

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Table of Contents

DYNEG

|                                                                                                                                                                                                                                                        |   | September 30,2009 |    |   | December 31,2008 |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
| ASSETS                                                                                                                                                                                                                                                      |   |                   |    |   |                  |   |
| Current      Assets                                                                                                                                                                                                                                         |   |                   |    |   |                  |   |
| Cash      and cash equivalents                                                                                                                                                                                                                              |   | $                      | 703     |   |                  | $      | 693 |   |
| Restricted      cash and investments                                                                                                                                                                                                                        |   |                   | 115     |   |                  |   | 87 |   |
| Short-term      investments                                                                                                                                                                                                                                 |   |                   | 2       |   |                  |   | 25 |   |
| Accounts      receivable, net of allowance for doubtful accounts of $22 and $22,      respectively                                                                                                                                                          |   |                   | 253     |   |                  |   | 340 |   |
| Accounts      receivable, affiliates                                                                                                                                                                                                                        |   |                   | 1       |   |                  |   | 1 |   |
| Inventory                                                                                                                                                                                                                                                   |   |                   | 157     |   |                  |   | 184 |   |
| Assets      from risk-management activities                                                                                                                                                                                                                 |   |                   | 927     |   |                  |   | 1,263 |   |
| Deferred      income taxes                                                                                                                                                                                                                                  |   |                   | 4       |   |                  |   | 6 |   |
| Prepayments      and other current assets                                                                                                                                                                                                                   |   |                   | 339     |   |                  |   | 204 |   |
| Assets      held for sale                                                                                                                                                                                                                                   |   |                   | 1,273   |   |                  |   | — |   |
| Total      Current Assets                                                                                                                                                                                                                                   |   |                   | 3,774   |   |                  |   | 2,803 |   |
| Property,      Plant and Equipment                                                                                                                                                                                                                          |   |                   | 8,895   |   |                  |   | 10,869 |   |
| Accumulated      depreciation                                                                                                                                                                                                                               |   |                   | (1,880  | )      |                  |   | (1,935 | ) |
| Property,      Plant and Equipment, Net                                                                                                                                                                                                                     |   |                   | 7,015   |   |                  |   | 8,934 |   |
| Other      Assets                                                                                                                                                                                                                                           |   |                   |    |   |                  |   |   |   |
| Unconsolidated      investments                                                                                                                                                                                                                             |   |                   | — |   |                  |   | 15 |   |
| Restricted      cash and investments                                                                                                                                                                                                                        |   |                   | 1,164   |   |                  |   | 1,158 |   |
| Assets      from risk-management activities                                                                                                                                                                                                                 |   |                   | 295     |   |                  |   | 114 |   |
| Goodwill                                                                                                                                                                                                                                                    |   |                   | — |   |                  |   | 433 |   |
| Intangible      assets                                                                                                                                                                                                                                      |   |                   | 399     |   |                  |   | 437 |   |
| Accounts      receivable, affiliates                                                                                                                                                                                                                        |   |                   | 8       |   |                  |   | 4 |   |
| Other      long-term assets                                                                                                                                                                                                                                 |   |                   | 369     |   |                  |   | 315 |   |
| Total      Assets                                                                                                                                                                                                                                           |   | $                      | 13,024  |   |                  | $      | 14,213 |   |
|                                                                                                                                                                                                                                                        |   |                   |    |   |                  |   |   |   |
| LIABILITIES      AND STOCKHOLDERS’ EQUITY                                                                                                                                                                                                             |   |                   |    |   |                  |   |   |   |
| Current      Liabilities                                                                                                                                                                                                                                    |   |                   |    |   |                  |   |   |   |
| Accounts      payable                                                                                                                                                                                                                                       |   | $                      | 231     |   |                  | $      | 303 |   |
| Accrued      interest                                                                                                                                                                                                                                       |   |                   | 124     |   |                  |   | 56 |   |
| Accrued      liabilities and other current liabilities                                                                                                                                                                                                      |   |                   | 149     |   |                  |   | 160 |   |
| Liabilities      from risk-management activities                                                                                                                                                                                                            |   |                   | 834     |   |                  |   | 1,119 |   |
| Notes      payable and current portion of long-term debt                                                                                                                                                                                                    |   |                   | 65      |   |                  |   | 64 |   |
| Deferred      income taxes                                                                                                                                                                                                                                  |   |                   | 8       |   |                  |   | — |   |
| Liabilities      associated with assets held for sale                                                                                                                                                                                                       |   |                   | 31      |   |                  |   | — |   |
| Total      Current Liabilities                                                                                                                                                                                                                              |   |                   | 1,442   |   |                  |   | 1,702 |   |
| Long-term      debt                                                                                                                                                                                                                                         |   |                   | 5,928   |   |                  |   | 5,872 |   |
| Long-term      debt, affiliates                                                                                                                                                                                                                             |   |                   | 200     |   |                  |   | 200 |   |
| Long-Term      Debt                                                                                                                                                                                                                                         |   |                   | 6,128   |   |                  |   | 6,072 |   |
| Other      Liabilities                                                                                                                                                                                                                                      |   |                   |    |   |                  |   |   |   |
| Liabilities      from risk-management activities                                                                                                                                                                                                            |   |                   | 313     |   |                  |   | 288 |   |
| Deferred      income taxes                                                                                                                                                                                                                                  |   |                   | 945     |   |                  |   | 1,166 |   |
| Other      long-term liabilities                                                                                                                                                                                                                            |   |                   | 451     |   |                  |   | 500 |   |
| Total      Liabilities                                                                                                                                                                                                                                      |   | $                      | 9,279   |   |                  | $      | 9,728 |   |
| Commitments      and Contingencies (Note 13)                                                                                                                                                                                                                |   |                   |    |   |                  |   |   |   |
| Stockholders’      Equity                                                                                                                                                                                                                             |   |                   |    |   |                  |   |   |   |
| Class      A Common Stock, $0.01 par value, 2,100,000,000 shares authorized at      September 30, 2009 and December 31, 2008; 508,175,228 and 505,821,277      shares issued and outstanding at September 30, 2009 and December 31, 2008,      respectively |   |                   | 5       |   |                  |   | 5 |   |
| Class      B Common Stock, $0.01 par value, 850,000,000 shares authorized at      September 30,      2009 and December 31, 2008; 340,000,000 shares issued and outstanding at      September 30, 2009 and December 31, 2008                            |   |                   | 3       |   |                  |   | 3 |   |
| Additional      paid-in capital                                                                                                                                                                                                                             |   |                   | 6,494   |   |                  |   | 6,485 |   |
| Subscriptions      receivable                                                                                                                                                                                                                               |   |                   | (2      | )      |                  |   | (2 | ) |
| Accumulated      other comprehensive loss, net of tax                                                                                                                                                                                                       |   |                   | (179    | )      |                  |   | (215 | ) |
| Accumulated      deficit                                                                                                                                                                                                                                    |   |                   | (2,582  | )      |                  |   | (1,690 | ) |
| Treasury      stock, at cost,      2,777,376 and 2,568,286 shares at September 30, 2009 and December      31, 2008, respectively                                                                                                                            |   |                   | (71     | )      |                  |   | (71 | ) |
| Total      Dynegy Inc. Stockholders’ Equity                                                                                                                                                                                                           |   |                   | 3,668   |   |                  |   | 4,515 |   |
| Noncontrolling      interests                                                                                                                                                                                                                               |   |                   | 77      |   |                  |   | (30 | ) |
| Total      Stockholders’ Equity                                                                                                                                                                                                                       |   |                   | 3,745   |   |                  |   | 4,485 |   |
| Total      Liabilities and Stockholders’ Equity                                                                                                                                                                                                       |   | $                      | 13,024  |   |                  | $      | 14,213 |   |

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Table of Contents

DYNE

|                                                                                                                                   |   | Three Months Ended      September 30, |    |   | Nine Months Ended      September 30, |   |
|----------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------|---------|--------|-------------------------------------------|--------|
|                                                                                                                                   |   | 2009                                       |    |   | 2008                                      |   |   | 2009 |   |   | 2008 |   |
| Revenues                                                                                                                               |   | $                                          | 673     |   |                                      | $      | 1,759 |   |   | $ | 2,027 |   |   | $ | 2,550 |   |
| Cost      of sales                                                                                                                     |   |                                       | (286    | )      |                                      |   | (498 | ) |   |   | (927 | ) |   |   | (1,326 | ) |
| Operating      and maintenance expense, exclusive of depreciation shown separately      below                                          |   |                                       | (121    | )      |                                      |   | (122 | ) |   |   | (373 | ) |   |   | (344 | ) |
| Depreciation      and amortization expense                                                                                             |   |                                       | (83     | )      |                                      |   | (85 | ) |   |   | (258 | ) |   |   | (258 | ) |
| Gain      on sale of assets                                                                                                            |   |                                       | — |   |                                      |   | 57 |   |   |   | — |   |   |   | 83 |   |
| Goodwill      impairments                                                                                                              |   |                                       | — |   |                                      |   | — |   |   |   | (433 | ) |   |   | — |   |
| Impairment      and other charges, exclusive of goodwill impairments shown separately      above                                       |   |                                       | (148    | )      |                                      |   | — |   |   |   | (535 | ) |   |   | — |   |
| General      and administrative expenses                                                                                               |   |                                       | (42     | )      |                                      |   | (48 | ) |   |   | (125 | ) |   |   | (126 | ) |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                                                                                           |   |                                       | (7      | )      |                                      |   | 1,063 |   |   |   | (624 | ) |   |   | 579 |   |
| Earnings      (losses) from unconsolidated investments                                                                                 |   |                                       | (8      | )      |                                      |   | (5 | ) |   |   | 13 |   |   |   | (17 | ) |
| Interest      expense                                                                                                                  |   |                                       | (115    | )      |                                      |   | (105 | ) |   |   | (311 | ) |   |   | (322 | ) |
| Other      income and expense, net                                                                                                     |   |                                       | 2       |   |                                      |   | 11 |   |   |   | 10 |   |   |   | 46 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Income      (loss) from continuing operations before income taxes                                                                      |   |                                       | (128    | )      |                                      |   | 964 |   |   |   | (912 | ) |   |   | 286 |   |
| Income      tax benefit (expense) (Note 15)                                                                                            |   |                                       | 34      |   |                                      |   | (392 | ) |   |   | 147 |   |   |   | (121 | ) |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Income      (loss) from continuing operations                                                                                          |   |                                       | (94     | )      |                                      |   | 572 |   |   |   | (765 | ) |   |   | 165 |   |
| Income      (loss) from discontinued operations, net of tax (expense) benefit of $84,      $(22), $91 and $(10), respectively (Note 2) |   |                                       | (129    | )      |                                      |   | 32 |   |   |   | (141 | ) |   |   | 13 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss)                                                                                                                 |   |                                       | (223    | )      |                                      |   | 604 |   |   |   | (906 | ) |   |   | 178 |   |
| Less:      Net loss attributable to the noncontrolling interests                                                                       |   |                                       | (11     | )      |                                      |   | (1 | ) |   |   | (14 | ) |   |   | (3 | ) |
| Net      income (loss) attributable to Dynegy Inc.                                                                                     |   | $                                          | (212    | )      |                                      | $      | 605 |   |   | $ | (892 | ) |   | $ | 181 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      (Loss) Per Share (Note 12):                                                                                              |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Basic      earnings (loss) per share attributable to Dynegy Inc. common      stockholders:                                             |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      (loss) from continuing operations                                                                                        |   | $                                          | (0.10   | )      |                                      | $      | 0.68 |   |   | $ | (0.89 | ) |   | $ | 0.20 |   |
| Income      (loss) from discontinued operations                                                                                        |   |                                       | (0.15   | )      |                                      |   | 0.04 |   |   |   | (0.17 | ) |   |   | 0.02 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Basic      earnings (loss) per share attributable to Dynegy Inc. common      stockholders                                              |   | $                                          | (0.25   | )      |                                      | $      | 0.72 |   |   | $ | (1.06 | ) |   | $ | 0.22 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      earnings (loss) per share attributable to Dynegy Inc. common      stockholders:                                           |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      (loss) from continuing operations                                                                                        |   | $                                          | (0.10   | )      |                                      | $      | 0.68 |   |   | $ | (0.89 | ) |   | $ | 0.20 |   |
| Income      (loss) from discontinued operations.                                                                                       |   |                                       | (0.15   | )      |                                      |   | 0.04 |   |   |   | (0.17 | ) |   |   | 0.02 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      earnings (loss) per share attributable to Dynegy Inc. common      stockholders                                            |   | $                                          | (0.25   | )      |                                      | $      | 0.72 |   |   | $ | (1.06 | ) |   | $ | 0.22 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Basic      shares outstanding                                                                                                          |   |                                       | 843     |   |                                      |   | 840 |   |   |   | 842 |   |   |   | 840 |   |
| Diluted      shares outstanding                                                                                                        |   |                                       | 846     |   |                                      |   | 842 |   |   |   | 845 |   |   |   | 842 |   |

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Table of Contents

DYN

|                                                                                             |   | Nine Months EndedSeptember 30, |    |
|--------------------------------------------------------------------------------------------------|--------|-------------------------------------|---------|
|                                                                                             |   | 2009                                |    |   | 2008 |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                       |   |                                |    |   |   |   |
| Net      income (loss)                                                                           |   | $                                   | (906    | ) |   | $ | 178 |   |
| Adjustments      to reconcile net loss to net cash flows from operating      activities:         |   |                                |    |   |   |   |   |   |
| Depreciation      and amortization                                                               |   |                                | 279     |   |   |   | 281 |   |
| Goodwill      impairments                                                                        |   |                                | 433     |   |   |   | — |   |
| Impairment      and other charges, exclusive of goodwill impairments shown separately      above |   |                                | 793     |   |   |   | — |   |
| (Earnings)      losses from unconsolidated investments, net of cash      distributions           |   |                                | (13     | ) |   |   | 17 |   |
| Risk-management      activities                                                                  |   |                                | 73      |   |   |   | (127 | ) |
| Gain      on sale of assets                                                                      |   |                                | (10     | ) |   |   | (83 | ) |
| Deferred      income taxes                                                                       |   |                                | (246    | ) |   |   | 116 |   |
| Legal      and settlement charges                                                                |   |                                | — |   |   |   | 7 |   |
| Other                                                                                            |   |                                | 66      |   |   |   | 37 |   |
| Changes      in working capital:                                                                 |   |                                |    |   |   |   |   |   |
| Accounts      receivable                                                                         |   |                                | (4      | ) |   |   | 43 |   |
| Inventory                                                                                        |   |                                | (7      | ) |   |   | 27 |   |
| Prepayments      and other assets                                                                |   |                                | (134    | ) |   |   | (75 | ) |
| Accounts      payable and accrued liabilities                                                    |   |                                | 81      |   |   |   | 75 |   |
| Changes      in non-current assets                                                               |   |                                | (91     | ) |   |   | (84 | ) |
| Changes      in non-current liabilities                                                          |   |                                | (10     | ) |   |   | (15 | ) |
|                                                                                             |   |                                |    |   |   |   |   |   |
| Net      cash provided by operating activities                                                   |   |                                | 304     |   |   |   | 397 |   |
|                                                                                             |   |                                |    |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                       |   |                                |    |   |   |   |   |   |
| Capital      expenditures                                                                        |   |                                | (429    | ) |   |   | (460 | ) |
| Unconsolidated      investments                                                                  |   |                                | 1       |   |   |   | (1 | ) |
| Proceeds      from asset sales, net                                                              |   |                                | 105     |   |   |   | 452 |   |
| Decrease      (increase) in short-term investments                                               |   |                                | 14      |   |   |   | (127 | ) |
| (Increase)      decrease in restricted cash and restricted investments                           |   |                                | (35     | ) |   |   | 17 |   |
| Other      investing                                                                             |   |                                | 3       |   |   |   | 11 |   |
|                                                                                             |   |                                |    |   |   |   |   |   |
| Net      cash used in investing activities                                                       |   |                                | (341    | ) |   |   | (108 | ) |
|                                                                                             |   |                                |    |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                       |   |                                |    |   |   |   |   |   |
| Proceeds      from long-term borrowings, net                                                     |   |                                | 75      |   |   |   | 153 |   |
| Repayments      of long-term borrowings, net                                                     |   |                                | (28     | ) |   |   | (21 | ) |
| Proceeds      from issuance of capital stock                                                     |   |                                | — |   |   |   | 2 |   |
| Other      financing, net                                                                        |   |                                | — |   |   |   | (1 | ) |
|                                                                                             |   |                                |    |   |   |   |   |   |
| Net      cash provided by financing activities                                                   |   |                                | 47      |   |   |   | 133 |   |
|                                                                                             |   |                                |    |   |   |   |   |   |
| Net      increase in cash and cash equivalents                                                   |   |                                | 10      |   |   |   | 422 |   |
| Cash      and cash equivalents, beginning of period                                              |   |                                | 693     |   |   |   | 328 |   |
|                                                                                             |   |                                |    |   |   |   |   |   |
| Cash      and cash equivalents, end of period                                                    |   | $                                   | 703     |   |   | $ | 750 |   |
|                                                                                             |   |                                |    |   |   |   |   |   |
| Other      non-cash investing activity:                                                          |   |                                |    |   |   |   |   |   |
| Non-cash      capital expenditures                                                               |   | $                                   | 19      |   |   | $ | 3 |   |

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DYN

|                                                                                                                |   | Three Months EndedSeptember 30, |   |
|---------------------------------------------------------------------------------------------------------------------|--------|---------------------------------|--------|
|                                                                                                                |   | 2009                            |   |   | 2008 |   |
|                                                                                                                |   |                            |   |   |   |   |
| Net      income (loss)                                                                                              |   | $                               | (223   | ) |   | $ | 604 |   |
| Cash      flow hedging activities, net:                                                                             |   |                            |   |   |   |   |   |   |
| Unrealized      mark-to-market gains (losses) arising during period, net                                            |   |                            | 45     |   |   |   | (21 | ) |
| Reclassification      of mark-to-market losses to earnings, net                                                     |   |                            | 1      |   |   |   | 3 |   |
| Deferred      gains (losses) on cash flow hedges, net                                                               |   |                            | (2     | ) |   |   | 2 |   |
|                                                                                                                |   |                            |   |   |   |   |   |   |
| Changes      in cash flow hedging activities, net (net of tax (expense) benefit of      $(11) and $4, respectively) |   |                            | 44     |   |   |   | (16 | ) |
| Amortization      of unrecognized prior service cost and actuarial loss (net of tax benefit      of $2 and zero)    |   |                            | (1     | ) |   |   | — |   |
| Unconsolidated      investments other comprehensive loss, net (net of tax benefit of $3 and      $3)                |   |                            | (3     | ) |   |   | (4 | ) |
|                                                                                                                |   |                            |   |   |   |   |   |   |
| Other      comprehensive income (loss), net of tax                                                                  |   |                            | 40     |   |   |   | (20 | ) |
|                                                                                                                |   |                            |   |   |   |   |   |   |
| Comprehensive income      (loss)                                                                               |   |                            | (183   | ) |   |   | 584 |   |
| Less:      Comprehensive income (loss) attributable to the noncontrolling      interests                            |   |                            | 25     |   |   |   | (11 | ) |
|                                                                                                                |   |                            |   |   |   |   |   |   |
| Comprehensive income (loss)      attributable to Dynegy Inc.                                                   |   | $                               | (208   | ) |   | $ | 595 |   |

|                                                                                                                         |   | Nine Months EndedSeptember 30, |    |
|------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|---------|
|                                                                                                                         |   | 2009                           |    |   | 2008 |   |
|                                                                                                                         |   |                           |    |   |   |   |
| Net      income (loss)                                                                                                       |   | $                              | (906    | ) |   | $ | 178 |   |
| Cash      flow hedging activities, net:                                                                                      |   |                           |    |   |   |   |   |   |
| Unrealized      mark-to-market gains (losses) arising during period, net                                                     |   |                           | 160     |   |   |   | (27 | ) |
| Reclassification      of mark-to-market losses to earnings, net                                                              |   |                           | 1       |   |   |   | 10 |   |
| Deferred      losses on cash flow hedges, net                                                                                |   |                           | (8      | ) |   |   | — |   |
|                                                                                                                         |   |                           |    |   |   |   |   |   |
| Changes      in cash flow hedging activities, net (net of tax (expense) benefit of      $(26) and 4,      respectively) |   |                           | 153     |   |   |   | (17 | ) |
| Amortization      of unrecognized prior service cost and actuarial gain (net of tax expense      of $3 and zero)             |   |                           | 1       |   |   |   | 1 |   |
| Net      unrealized losses, (net of tax benefit of zero and $8,      respectively)                                           |   |                           | — |   |   |   | (12 | ) |
| Unconsolidated      investments other comprehensive income (loss), net (net of tax (expense)      benefit of $(2) and $7)    |   |                           | 3       |   |   |   | (11 | ) |
|                                                                                                                         |   |                           |    |   |   |   |   |   |
| Other      comprehensive income (loss), net of tax                                                                           |   |                           | 157     |   |   |   | (39 | ) |
|                                                                                                                         |   |                           |    |   |   |   |   |   |
| Comprehensive      income (loss)                                                                                             |   |                           | (749    | ) |   |   | 139 |   |
| Less:      Comprehensive income (loss) attributable to the noncontrolling      interests                                     |   |                           | 107     |   |   |   | (15 | ) |
|                                                                                                                         |   |                           |    |   |   |   |   |   |
| Comprehensive income (loss)      attributable to Dynegy Inc.                                                            |   | $                              | (856    | ) |   | $ | 154 |   |

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DYNE

|                                                                                                       |   | September 30,2009 |    |   | December 31, 2008 |   |
|------------------------------------------------------------------------------------------------------------|--------|------------------------|---------|--------|-----------------------------|--------|
| ASSETS                                                                                                     |   |                   |    |   |                        |   |
| Current      Assets                                                                                        |   |                   |    |   |                        |   |
| Cash      and cash equivalents                                                                             |   | $                      | 519     |   |                        | $      | 670 |   |
| Restricted      cash and investments                                                                       |   |                   | 115     |   |                        |   | 87 |   |
| Short-term      investments                                                                                |   |                   | 2       |   |                        |   | 24 |   |
| Accounts      receivable, net of allowance for doubtful accounts of $20 and $20,      respectively         |   |                   | 255     |   |                        |   | 343 |   |
| Accounts      receivable, affiliates                                                                       |   |                   | 1       |   |                        |   | 1 |   |
| Inventory                                                                                                  |   |                   | 157     |   |                        |   | 184 |   |
| Assets      from risk-management activities                                                                |   |                   | 927     |   |                        |   | 1,263 |   |
| Deferred      income taxes                                                                                 |   |                   | 4       |   |                        |   | 4 |   |
| Prepayments      and other current assets                                                                  |   |                   | 340     |   |                        |   | 204 |   |
| Assets      held for sale                                                                                  |   |                   | 1,273   |   |                        |   | — |   |
| Total      Current Assets                                                                                  |   |                   | 3,593   |   |                        |   | 2,780 |   |
| Property,      Plant and Equipment                                                                         |   |                   | 8,895   |   |                        |   | 10,869 |   |
| Accumulated      depreciation                                                                              |   |                   | (1,880  | )      |                        |   | (1,935 | ) |
| Property,      Plant and Equipment, Net                                                                    |   |                   | 7,015   |   |                        |   | 8,934 |   |
| Other      Assets                                                                                          |   |                   |    |   |                        |   |   |   |
| Restricted      cash and investments                                                                       |   |                   | 1,164   |   |                        |   | 1,158 |   |
| Assets      from risk-management activities                                                                |   |                   | 295     |   |                        |   | 114 |   |
| Goodwill                                                                                                   |   |                   | — |   |                        |   | 433 |   |
| Intangible      assets                                                                                     |   |                   | 399     |   |                        |   | 437 |   |
| Accounts      receivable, affiliates                                                                       |   |                   | 8       |   |                        |   | 4 |   |
| Other      long-term assets                                                                                |   |                   | 368     |   |                        |   | 314 |   |
| Total      Assets                                                                                          |   | $                      | 12,842  |   |                        | $      | 14,174 |   |
|                                                                                                       |   |                   |    |   |                        |   |   |   |
| LIABILITIES      AND STOCKHOLDERS’ EQUITY                                                            |   |                   |    |   |                        |   |   |   |
| Current      Liabilities                                                                                   |   |                   |    |   |                        |   |   |   |
| Accounts      payable                                                                                      |   | $                      | 231     |   |                        | $      | 284 |   |
| Accrued      interest                                                                                      |   |                   | 124     |   |                        |   | 56 |   |
| Accrued      liabilities and other current liabilities                                                     |   |                   | 147     |   |                        |   | 157 |   |
| Liabilities      from risk-management activities                                                           |   |                   | 834     |   |                        |   | 1,119 |   |
| Notes      payable and current portion of long-term debt                                                   |   |                   | 65      |   |                        |   | 64 |   |
| Deferred      income taxes                                                                                 |   |                   | 10      |   |                        |   | 1 |   |
| Liabilities      associated with assets held for sale                                                      |   |                   | 31      |   |                        |   | — |   |
| Total      Current Liabilities                                                                             |   |                   | 1,442   |   |                        |   | 1,681 |   |
| Long-term      debt                                                                                        |   |                   | 5,928   |   |                        |   | 5,872 |   |
| Long-term      debt, affiliates                                                                            |   |                   | 200     |   |                        |   | 200 |   |
| Long-Term      Debt                                                                                        |   |                   | 6,128   |   |                        |   | 6,072 |   |
| Other      Liabilities                                                                                     |   |                   |    |   |                        |   |   |   |
| Liabilities      from risk-management activities                                                           |   |                   | 313     |   |                        |   | 288 |   |
| Deferred      income taxes                                                                                 |   |                   | 808     |   |                        |   | 1,052 |   |
| Other      long-term liabilities                                                                           |   |                   | 451     |   |                        |   | 498 |   |
| Total      Liabilities                                                                                     |   |                   | 9,142   |   |                        |   | 9,591 |   |
| Commitments      and Contingencies (Note 13)                                                               |   |                   |    |   |                        |   |   |   |
| Stockholders’      Equity                                                                            |   |                   |    |   |                        |   |   |   |
| Capital      Stock, $1 par value, 1,000 shares authorized at September 30, 2009 and      December 31, 2008 |   |                   | — |   |                        |   | — |   |
| Additional      paid-in capital                                                                            |   |                   | 5,545   |   |                        |   | 5,684 |   |
| Affiliate      receivable                                                                                  |   |                   | (823    | )      |                        |   | (827 | ) |
| Accumulated      other comprehensive loss, net of tax                                                      |   |                   | (179    | )      |                        |   | (215 | ) |
| Accumulated      deficit                                                                                   |   |                   | (920    | )      |                        |   | (29 | ) |
| Total      Dynegy Holdings Inc. Stockholder’s Equity                                                 |   |                   | 3,623   |   |                        |   | 4,613 |   |
| Noncontrolling      interests                                                                              |   |                   | 77      |   |                        |   | (30 | ) |
| Total      Stockholders’ Equity                                                                      |   |                   | 3,700   |   |                        |   | 4,583 |   |
| Total      Liabilities and Stockholders’ Equity                                                      |   | $                      | 12,842  |   |                        | $      | 14,174 |   |

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DYNEG

|                                                                                                                                   |   | Three Months Ended      September 30, |    |   | Nine Months Ended      September 30, |   |
|----------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------|---------|--------|-------------------------------------------|--------|
|                                                                                                                                   |   | 2009                                       |    |   | 2008                                      |   |   | 2009 |   |   | 2008 |   |
| Revenues                                                                                                                               |   | $                                          | 673     |   |                                      | $      | 1,759 |   |   | $ | 2,027 |   |   | $ | 2,550 |   |
| Cost      of sales                                                                                                                     |   |                                       | (286    | )      |                                      |   | (498 | ) |   |   | (927 | ) |   |   | (1,326 | ) |
| Operating      and maintenance expense, exclusive of depreciation shown separately      below                                          |   |                                       | (121    | )      |                                      |   | (122 | ) |   |   | (375 | ) |   |   | (344 | ) |
| Depreciation      and amortization expense                                                                                             |   |                                       | (83     | )      |                                      |   | (85 | ) |   |   | (258 | ) |   |   | (258 | ) |
| Gain      on sale of assets                                                                                                            |   |                                       | — |   |                                      |   | 57 |   |   |   | — |   |   |   | 83 |   |
| Goodwill      impairments                                                                                                              |   |                                       | — |   |                                      |   | — |   |   |   | (433 | ) |   |   | — |   |
| Impairment      and other charges, exclusive of goodwill impairments shown separately      above                                       |   |                                       | (148    | )      |                                      |   | — |   |   |   | (535 | ) |   |   | — |   |
| General      and administrative expenses                                                                                               |   |                                       | (42     | )      |                                      |   | (48 | ) |   |   | (125 | ) |   |   | (126 | ) |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                                                                                           |   |                                       | (7      | )      |                                      |   | 1,063 |   |   |   | (626 | ) |   |   | 579 |   |
| Earnings      (losses) from unconsolidated investments                                                                                 |   |                                       | (8      | )      |                                      |   | (5 | ) |   |   | 12 |   |   |   | (7 | ) |
| Interest      expense                                                                                                                  |   |                                       | (115    | )      |                                      |   | (105 | ) |   |   | (311 | ) |   |   | (322 | ) |
| Other      income and expense, net                                                                                                     |   |                                       | 2       |   |                                      |   | 11 |   |   |   | 9 |   |   |   | 45 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Income      (loss) from continuing operations before income taxes                                                                      |   |                                       | (128    | )      |                                      |   | 964 |   |   |   | (916 | ) |   |   | 295 |   |
| Income      tax benefit (expense) (Note 15)                                                                                            |   |                                       | 35      |   |                                      |   | (391 | ) |   |   | 152 |   |   |   | (127 | ) |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Income      (loss) from continuing operations                                                                                          |   |                                       | (93     | )      |                                      |   | 573 |   |   |   | (764 | ) |   |   | 168 |   |
| Income      (loss) from discontinued operations, net of tax (expense) benefit of $74,      $(22), $91 and $(10), respectively (Note 2) |   |                                       | (139    | )      |                                      |   | 32 |   |   |   | (141 | ) |   |   | 13 |   |
|                                                                                                                                   |   |                                       |    |   |                                      |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss)                                                                                                                 |   |                                       | (232    | )      |                                      |   | 605 |   |   |   | (905 | ) |   |   | 181 |   |
| Less:      Net loss attributable to the noncontrolling interests                                                                       |   |                                       | (11     | )      |                                      |   | (1 | ) |   |   | (14 | ) |   |   | (3 | ) |
| Net      income (loss) attributable to Dynegy Holdings Inc.                                                                            |   | $                                          | (221    | )      |                                      | $      | 606 |   |   | $ | (891 | ) |   | $ | 184 |   |

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Table of Contents

DYNEG

|                                                                                             |   | Nine Months EndedSeptember 30, |    |
|--------------------------------------------------------------------------------------------------|--------|--------------------------------|---------|
|                                                                                             |   | 2009                           |    |   | 2008 |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                       |   |                           |    |   |   |   |
| Net      income (loss)                                                                           |   | $                              | (905    | ) |   | $ | 181 |   |
| Adjustments      to reconcile net loss to net cash flows from operating      activities:         |   |                           |    |   |   |   |   |   |
| Depreciation      and amortization                                                               |   |                           | 279     |   |   |   | 281 |   |
| Goodwill      impairments                                                                        |   |                           | 433     |   |   |   | — |   |
| Impairment      and other charges, exclusive of goodwill impairments shown separately      above |   |                           | 793     |   |   |   | — |   |
| (Earnings)      losses from unconsolidated investments, net of cash      distributions           |   |                           | (12     | ) |   |   | 7 |   |
| Risk-management      activities                                                                  |   |                           | 73      |   |   |   | (127 | ) |
| Gain      on sale of assets, net                                                                 |   |                           | (10     | ) |   |   | (83 | ) |
| Deferred      income taxes                                                                       |   |                           | (248    | ) |   |   | 123 |   |
| Legal      and settlement charges                                                                |   |                           | — |   |   |   | 7 |   |
| Other                                                                                            |   |                           | 64      |   |   |   | 33 |   |
| Changes      in working capital:                                                                 |   |                           |    |   |   |   |   |   |
| Accounts      receivable                                                                         |   |                           | (4      | ) |   |   | 43 |   |
| Inventory                                                                                        |   |                           | (7      | ) |   |   | 27 |   |
| Prepayments      and other assets                                                                |   |                           | (134    | ) |   |   | (75 | ) |
| Accounts      payable and accrued liabilities                                                    |   |                           | 100     |   |   |   | 76 |   |
| Changes      in non-current assets                                                               |   |                           | (91     | ) |   |   | (84 | ) |
| Changes      in non-current liabilities                                                          |   |                           | (9      | ) |   |   | (16 | ) |
|                                                                                             |   |                           |    |   |   |   |   |   |
| Net      cash provided by operating activities                                                   |   |                           | 322     |   |   |   | 393 |   |
|                                                                                             |   |                           |    |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                       |   |                           |    |   |   |   |   |   |
| Capital      expenditures                                                                        |   |                           | (429    | ) |   |   | (460 | ) |
| Unconsolidated      investments                                                                  |   |                           | — |   |   |   | 10 |   |
| Proceeds      from asset sales, net                                                              |   |                           | 105     |   |   |   | 452 |   |
| Decrease      (increase) in short-term investments                                               |   |                           | 13      |   |   |   | (120 | ) |
| (Increase)      decrease in restricted cash and restricted investments                           |   |                           | (35     | ) |   |   | 17 |   |
| Affiliate      transactions                                                                      |   |                           | (2      | ) |   |   | 2 |   |
| Other      investing                                                                             |   |                           | 3       |   |   |   | 7 |   |
|                                                                                             |   |                           |    |   |   |   |   |   |
| Net      cash used in investing activities                                                       |   |                           | (345    | ) |   |   | (92 | ) |
|                                                                                             |   |                           |    |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                       |   |                           |    |   |   |   |   |   |
| Proceeds      from long-term borrowings, net                                                     |   |                           | 75      |   |   |   | 153 |   |
| Repayments      to long-term borrowings                                                          |   |                           | (28     | ) |   |   | (21 | ) |
| Dividend      to affiliate                                                                       |   |                           | (175    | ) |   |   | — |   |
| Other      financing, net                                                                        |   |                           | — |   |   |   | (1 | ) |
|                                                                                             |   |                           |    |   |   |   |   |   |
| Net      cash provided by (used in) financing activities                                         |   |                           | (128    | ) |   |   | 131 |   |
|                                                                                             |   |                           |    |   |   |   |   |   |
| Net      increase (decrease) in cash and cash equivalents                                        |   |                           | (151    | ) |   |   | 432 |   |
| Cash      and cash equivalents, beginning of period                                              |   |                           | 670     |   |   |   | 292 |   |
|                                                                                             |   |                           |    |   |   |   |   |   |
| Cash      and cash equivalents, end of period                                                    |   | $                              | 519     |   |   | $ | 724 |   |
|                                                                                             |   |                           |    |   |   |   |   |   |
| Other      non-cash investing activity:                                                          |   |                           |    |   |   |   |   |   |
| Non-cash      capital expenditures                                                               |   | $                              | 19      |   |   | $ | 3 |   |

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Table of Contents

DYNE

|                                                                                                                       |   | Three Months EndedSeptember 30, |   |
|----------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------|--------|
|                                                                                                                       |   | 2009                            |   |   | 2008 |   |
|                                                                                                                       |   |                            |   |   |   |   |
| Net      income (loss)                                                                                                     |   | $                               | (232   | ) |   | $ | 605 |   |
| Cash      flow hedging activities, net:                                                                                    |   |                            |   |   |   |   |   |   |
| Unrealized      mark-to-market gains (losses) arising during period, net                                                   |   |                            | 45     |   |   |   | (21 | ) |
| Reclassification      of mark-to-market losses to earnings, net                                                            |   |                            | 1      |   |   |   | 3 |   |
| Deferred      gains (losses) on cash flow hedges, net                                                                      |   |                            | (2     | ) |   |   | 2 |   |
|                                                                                                                       |   |                            |   |   |   |   |   |   |
| Changes      in cash flow hedging activities, net (net of tax (expense) benefit of      $(11) and $4, respectively)        |   |                            | 44     |   |   |   | (16 | ) |
| Amortization      of unrecognized prior service cost and actuarial loss (net of tax expense      of $2 and      zero) |   |                            | (1     | ) |   |   | — |   |
| Unconsolidated      investments other comprehensive loss, net (net of tax benefit of $3 and      $3)                       |   |                            | (3     | ) |   |   | (4 | ) |
|                                                                                                                       |   |                            |   |   |   |   |   |   |
| Other      comprehensive income (loss), net of tax                                                                         |   |                            | 40     |   |   |   | (20 | ) |
|                                                                                                                       |   |                            |   |   |   |   |   |   |
| Comprehensive      income (loss)                                                                                           |   |                            | (192   | ) |   |   | 585 |   |
| Less:      Comprehensive income (loss) attributable to the noncontrolling      interests                                   |   |                            | 25     |   |   |   | (11 | ) |
|                                                                                                                       |   |                            |   |   |   |   |   |   |
| Comprehensive      income (loss) attributable to Dynegy Holdings Inc.                                                      |   | $                               | (217   | ) |   | $ | 596 |   |

|                                                                                                                       |   | Nine Months EndedSeptember 30, |    |
|----------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|---------|
|                                                                                                                       |   | 2009                           |    |   | 2008 |   |
|                                                                                                                       |   |                           |    |   |   |   |
| Net      income (loss)                                                                                                     |   | $                              | (905    | ) |   | $ | 181 |   |
| Cash      flow hedging activities, net:                                                                                    |   |                           |    |   |   |   |   |   |
| Unrealized      mark-to-market gains (losses) arising during period, net                                                   |   |                           | 160     |   |   |   | (27 | ) |
| Reclassification      of mark-to-market losses to earnings, net                                                            |   |                           | 1       |   |   |   | 10 |   |
| Deferred      losses on cash flow hedges, net                                                                              |   |                           | (8      | ) |   |   | — |   |
|                                                                                                                       |   |                           |    |   |   |   |   |   |
| Changes      in cash flow hedging activities, net (net of tax (expense) benefit of      $(26) and $4, respectively)        |   |                           | 153     |   |   |   | (17 | ) |
| Amortization      of unrecognized prior service cost and actuarial gain (net of tax expense      of $3 and      zero) |   |                           | 1       |   |   |   | 1 |   |
| Net      unrealized loss on securities, net (net of tax benefit of zero and $8,      respectively)                    |   |                           | — |   |   |   | (12 | ) |
| Unconsolidated      investments other comprehensive income (loss), net (net of tax (expense)      benefit of $(2) and $7)  |   |                           | 3       |   |   |   | (11 | ) |
|                                                                                                                       |   |                           |    |   |   |   |   |   |
| Other      comprehensive income (loss), net of tax                                                                         |   |                           | 157     |   |   |   | (39 | ) |
|                                                                                                                       |   |                           |    |   |   |   |   |   |
| Comprehensive      income (loss)                                                                                           |   |                           | (748    | ) |   |   | 142 |   |
| Less:      Comprehensive income (loss) attributable to the noncontrolling      interests                                   |   |                           | 107     |   |   |   | (15 | ) |
|                                                                                                                       |   |                           |    |   |   |   |   |   |
| Comprehensive      income (loss) attributable to Dynegy Holdings Inc.                                                      |   | $                              | (855    | ) |   | $ | 157 |   |

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DYNEGY INC

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| Current      Assets:                             |   |   |   |
|--------------------------------------------------|--------|--------|--------|
| Accounts      receivable                         |   | $      | 39     |   |
| Inventory                                        |   |   | 18     |   |
| Assets      from risk management activities      |   |   | 5      |   |
| Prepayments      and other current assets        |   |   | 11     |   |
|                                             |   |   |   |   |
| Total      Current Assets                        |   | $      | 73     |   |
|                                             |   |   |   |   |
| Long-Term      Assets:                           |   |   |   |   |
| Property,      plant and equipment               |   | $      | 1,163  |   |
| Assets      from risk management activities      |   |   | 4      |   |
| Other                                            |   |   | 33     |   |
|                                             |   |   |   |   |
| Total      Long-Term Assets                      |   | $      | 1,200  |   |
|                                             |   |   |   |   |
| Current      Liabilities:                        |   |   |   |   |
| Accounts      payable                            |   | $      | 17     |   |
| Current      liabilities and accrued liabilities |   |   | 8      |   |
|                                             |   |   |   |   |
| Total      Current Liabilities                   |   | $      | 25     |   |
|                                             |   |   |   |   |
| Long-Term      Liabilities:                      |   |   |   |   |
| Other                                            |   | $      | 6      |   |
|                                             |   |   |   |   |
| Total      Long-Term Liabilities                 |   | $      | 6      |   |

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|                                            |   | GEN-MW |    |   | GEN-WE             |   |    | Total  |   |
|-------------------------------------------------|--------|--------|---------|--------|--------------------|--------|---------|--------|--------|
|                                            |   |   |    |   | (in      millions) |   |    |   |   |
| Three      Months Ended September 30, 2009      |   |   |    |   |               |   |    |   |   |
| Revenues                                        |   | $      | 1       |   |               | $      | 54      |   |   | $ | 55 |   |
| Loss      from operations before taxes          |   |   | — |   |               |   | (213    | )(2)   |   |   | (213 | ) |
| Loss      from operations after taxes           |   |   | — |   |               |   | (129    | )      |   |   | (129 | ) |
|                                            |   |   |    |   |               |   |    |   |   |   |   |   |
| Three      Months Ended September 30, 2008      |   |   |    |   |               |   |    |   |   |   |   |   |
| Revenues                                        |   | $      | 1       |   |               | $      | 126     |   |   | $ | 127 |   |
| Income      from operations before taxes        |   |   | — |   |               |   | 53      |   |   |   | 53 |   |
| Income      from operations after taxes         |   |   | — |   |               |   | 32      |   |   |   | 32 |   |
| Gain      on sale before taxes                  |   |   | — |   |               |   | 1       |   |   |   | 1 |   |
| Gain      on sale after taxes                   |   |   | — |   |               |   | — |   |   |   | — |   |
|                                            |   |   |    |   |               |   |    |   |   |   |   |   |
| Nine      Months Ended September 30, 2009       |   |   |    |   |               |   |    |   |   |   |   |   |
| Revenues                                        |   | $      | 4       |   |               | $      | 96      |   |   | $ | 100 |   |
| Loss      from operations before taxes          |   |   | (23     | )(1)   |               |   | (219    | )(2)   |   |   | (242 | ) |
| Loss      from operations after taxes           |   |   | (14     | )      |               |   | (133    | )      |   |   | (147 | ) |
| Gain      on sale before taxes                  |   |   | — |   |               |   | 10      |   |   |   | 10 |   |
| Gain      on sale after taxes                   |   |   | — |   |               |   | 6       |   |   |   | 6 |   |
|                                            |   |   |    |   |               |   |    |   |   |   |   |   |
| Nine      Months Ended September 30, 2008       |   |   |    |   |               |   |    |   |   |   |   |   |
| Revenues                                        |   | $      | 2       |   |               | $      | 202     |   |   | $ | 204 |   |
| Income      (loss) from operations before taxes |   |   | (1      | )      |               |   | 24      |   |   |   | 23 |   |
| Income      (loss) from operations after taxes  |   |   | (1      | )      |               |   | 14      |   |   |   | 13 |   |

|   | (1) | Includes      $23 million of impairment charges related to our Bluegrass power      generation facility. |
|--------|-----|----------------------------------------------------------------------------------------------------------|

|   | (2) | Includes      $235 million of impairment charges related to our Arizona power generation      facilities. |
|--------|-----|-----------------------------------------------------------------------------------------------------------|

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|                                            |   | GEN-MW |    |   | GEN-WE             |   |    | Total  |   |
|-------------------------------------------------|--------|--------|---------|--------|--------------------|--------|---------|--------|--------|
|                                            |   |   |    |   | (in      millions) |   |    |   |   |
| Three      Months Ended September 30, 2009      |   |   |    |   |               |   |    |   |   |
| Revenues                                        |   | $      | 1       |   |               | $      | 54      |   |   | $ | 55 |   |
| Loss      from operations before taxes          |   |   | — |   |               |   | (213    | )(2)   |   |   | (213 | ) |
| Loss      from operations after taxes           |   |   | — |   |               |   | (139    | )      |   |   | (139 | ) |
|                                            |   |   |    |   |               |   |    |   |   |   |   |   |
| Three      Months Ended September 30, 2008      |   |   |    |   |               |   |    |   |   |   |   |   |
| Revenues                                        |   | $      | 1       |   |               | $      | 126     |   |   | $ | 127 |   |
| Income      from operations before taxes        |   |   | — |   |               |   | 53      |   |   |   | 53 |   |
| Income      from operations after taxes         |   |   | — |   |               |   | 32      |   |   |   | 32 |   |
| Gain      on sale before taxes                  |   |   | — |   |               |   | 1       |   |   |   | 1 |   |
| Gain      on sale after taxes                   |   |   | — |   |               |   | — |   |   |   | — |   |
|                                            |   |   |    |   |               |   |    |   |   |   |   |   |
| Nine      Months Ended September 30, 2009       |   |   |    |   |               |   |    |   |   |   |   |   |
| Revenues                                        |   | $      | 4       |   |               | $      | 96      |   |   | $ | 100 |   |
| Loss      from operations before taxes          |   |   | (23     | )(1)   |               |   | (219    | )(2)   |   |   | (242 | ) |
| Loss      from operations after taxes           |   |   | (14     | )      |               |   | (139    | )      |   |   | (153 | ) |
| Gain      on sale before taxes                  |   |   | — |   |               |   | 10      |   |   |   | 10 |   |
| Gain      on sale after taxes                   |   |   | — |   |               |   | 12      |   |   |   | 12 |   |
|                                            |   |   |    |   |               |   |    |   |   |   |   |   |
| Nine      Months Ended September 30, 2008       |   |   |    |   |               |   |    |   |   |   |   |   |
| Revenues                                        |   | $      | 2       |   |               | $      | 202     |   |   | $ | 204 |   |
| Income      (loss) from operations before taxes |   |   | (1      | )      |               |   | 24      |   |   |   | 23 |   |
| Income      (loss) from operations after taxes  |   |   | (1      | )      |               |   | 14      |   |   |   | 13 |   |

|   | (1) | Includes      $23 million of impairment charges related to our Bluegrass power      generation facility. |
|--------|-----|----------------------------------------------------------------------------------------------------------|

|   | (2) | Includes      $235 million of impairment charges related to our Arizona power generation      facilities. |
|--------|-----|-----------------------------------------------------------------------------------------------------------|

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|                                                                                                                          |   | Dynegy Inc.                     |   |   | Dynegy Holdings Inc.            |   |
|-------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------|--------|--------|---------------------------------|--------|
|                                                                                                                          |   | Three Months EndedSeptember 30, |   |   | Three Months EndedSeptember 30, |   |
|                                                                                                                          |   | 2009                            |   |   | 2008                            |   |   | 2009 |   |   | 2008 |   |
|                                                                                                                          |   | (in      millions)              |   |
| Income      (loss) from continuing operations                                                                                 |   | $                               | (83    | )      |                            | $      | 573 |   |   | $ | (82 | ) |   | $ | 574 |   |
| Income      (loss) from discontinued operations, net of tax benefit (expense) of $84,      ($22), $74 and ($22), respectively |   |                            | (129   | )      |                            |   | 32 |   |   |   | (139 | ) |   |   | 32 |   |
|                                                                                                                          |   |                            |   |   |                            |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss)                                                                                                        |   | $                               | (212   | )      |                            | $      | 605 |   |   | $ | (221 | ) |   | $ | 606 |   |

|                                                                                                                          |   | Dynegy Inc.                    |   |   | Dynegy Holdings Inc.           |   |
|-------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|--------|--------|--------------------------------|--------|
|                                                                                                                          |   | Nine Months EndedSeptember 30, |   |   | Nine Months EndedSeptember 30, |   |
|                                                                                                                          |   | 2009                           |   |   | 2008                           |   |   | 2009 |   |   | 2008 |   |
|                                                                                                                          |   | (in      millions)             |   |
| Income      (loss) from continuing operations                                                                                 |   | $                              | (751   | )      |                           | $      | 168 |   |   | $ | (750 | ) |   | $ | 171 |   |
| Income      (loss) from discontinued operations, net of tax benefit (expense) of $91,      ($10), $91 and ($10), respectively |   |                           | (141   | )      |                           |   | 13 |   |   |   | (141 | ) |   |   | 13 |   |
|                                                                                                                          |   |                           |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Net      income (loss)                                                                                                        |   | $                              | (892   | )      |                           | $      | 181 |   |   | $ | (891 | ) |   | $ | 184 |   |

|                                                                    |   | Controlling Interest |    |   | Noncontrolling Interests |   |    | Total  |   |
|-------------------------------------------------------------------------|--------|----------------------|---------|--------|--------------------------|--------|---------|--------|--------|
|                                                                    |   |                 |    |   | (in      millions)       |   |    |   |   |
| December      31, 2008                                                  |   | $                    | 4,515   |   |                     | $      | (30     | )      |   | $ | 4,485 |   |
| Net      loss                                                           |   |                 | (892    | )      |                     |   | (14     | )      |   |   | (906 | ) |
| Other      comprehensive income (loss), net of tax:                     |   |                 |    |   |                     |   |    |   |   |   |   |   |
| Unrealized      mark-to-market gains arising during period              |   |                 | 33      |   |                     |   | 127     |   |   |   | 160 |   |
| Reclassification      of mark-to-market (gains) losses to earnings      |   |                 | (1      | )      |                     |   | 2       |   |   |   | 1 |   |
| Deferred      losses on cash flow hedges                                |   |                 | — |   |                     |   | (8      | )      |   |   | (8 | ) |
| Amortization      of unrecognized prior service cost and actuarial gain |   |                 | 1       |   |                     |   | — |   |   |   | 1 |   |
| Unconsolidated      investments other comprehensive income              |   |                 | 3       |   |                     |   | — |   |   |   | 3 |   |
| Total      other comprehensive income, net of tax                       |   |                 | 36      |   |                     |   | 121     |   |   |   | 157 |   |
| Other      equity activity:                                             |   |                 |    |   |                     |   |    |   |   |   |   |   |
| Options      exercised                                                  |   |                 | (1      | )      |                     |   | — |   |   |   | (1 | ) |
| Options      and restricted stock granted                               |   |                 | 7       |   |                     |   | — |   |   |   | 7 |   |
| 401(k)      plan and profit sharing stock                               |   |                 | 5       |   |                     |   | — |   |   |   | 5 |   |
| Board      of directors stock compensation                              |   |                 | (2      | )      |                     |   | — |   |   |   | (2 | ) |
|                                                                    |   |                 |    |   |                     |   |    |   |   |   |   |   |
| September      30, 2009                                                 |   | $                    | 3,668   |   |                     | $      | 77      |   |   | $ | 3,745 |   |

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|                                                                    |   | Controlling Interest |   |   | Noncontrolling Interests |   |    | Total  |   |
|-------------------------------------------------------------------------|--------|----------------------|--------|--------|--------------------------|--------|---------|--------|--------|
|                                                                    |   |                 |   |   | (in      millions)       |   |    |   |   |
| December      31, 2007                                                  |   | $                    | 4,506  |   |                     | $      | 23      |   |   | $ | 4,529 |   |
| Net      income (loss)                                                  |   |                 | 181    |   |                     |   | (3      | )      |   |   | 178 |   |
| Other      comprehensive income (loss), net of tax:                     |   |                 |   |   |                     |   |    |   |   |   |   |   |
| Unrealized      mark-to-market losses arising during period             |   |                 | (18    | )      |                     |   | (9      | )      |   |   | (27 | ) |
| Reclassification      of mark-to-market (gains) losses to earnings      |   |                 | 11     |   |                     |   | (1      | )      |   |   | 10 |   |
| Deferred      gains (losses) on cash flow hedges                        |   |                 | 2      |   |                     |   | (2      | )      |   |   | — |   |
| Amortization      of unrecognized prior service cost and actuarial gain |   |                 | 1      |   |                     |   | — |   |   |   | 1 |   |
| Unconsolidated      investments other comprehensive loss                |   |                 | (11    | )      |                     |   | — |   |   |   | (11 | ) |
| Net      unrealized loss on securities                                  |   |                 | (12    | )      |                     |   | — |   |   |   | (12 | ) |
| Total      other comprehensive loss, net of tax                         |   |                 | (27    | )      |                     |   | (12     | )      |   |   | (39 | ) |
| Other      equity activity:                                             |   |                 |   |   |                     |   |    |   |   |   |   |   |
| Subscriptions      receivable                                           |   |                 | 2      |   |                     |   | — |   |   |   | 2 |   |
| Options      exercised                                                  |   |                 | 1      |   |                     |   | — |   |   |   | 1 |   |
| 401(k)      plan and profit sharing stock                               |   |                 | 4      |   |                     |   | — |   |   |   | 4 |   |
| Options      and restricted stock granted                               |   |                 | 12     |   |                     |   | — |   |   |   | 12 |   |
|                                                                    |   |                 |   |   |                     |   |    |   |   |   |   |   |
| September      30, 2008                                                 |   | $                    | 4,679  |   |                     | $      | 8       |   |   | $ | 4,687 |   |

|                                                                    |   | Controlling Interest |    |   | Noncontrolling Interests |   |    | Total  |   |
|-------------------------------------------------------------------------|--------|----------------------|---------|--------|--------------------------|--------|---------|--------|--------|
|                                                                    |   |                 |    |   | (in      millions)       |   |    |   |   |
| December      31, 2008                                                  |   | $                    | 4,613   |   |                     | $      | (30     | )      |   | $ | 4,583 |   |
| Net      loss                                                           |   |                 | (891    | )      |                     |   | (14     | )      |   |   | (905 | ) |
| Other      comprehensive income (loss), net of tax:                     |   |                 |    |   |                     |   |    |   |   |   |   |   |
| Unrealized      mark-to-market gains arising during period              |   |                 | 33      |   |                     |   | 127     |   |   |   | 160 |   |
| Reclassification      of mark-to-market (gains) losses to earnings      |   |                 | (1      | )      |                     |   | 2       |   |   |   | 1 |   |
| Deferred      losses on cash flow hedges                                |   |                 | — |   |                     |   | (8      | )      |   |   | (8 | ) |
| Amortization      of unrecognized prior service cost and actuarial gain |   |                 | 1       |   |                     |   | — |   |   |   | 1 |   |
| Unconsolidated      investments other comprehensive income              |   |                 | 3       |   |                     |   | — |   |   |   | 3 |   |
| Total      other comprehensive income, net of tax                       |   |                 | 36      |   |                     |   | 121     |   |   |   | 157 |   |
| Other      equity activity:                                             |   |                 |    |   |                     |   |    |   |   |   |   |   |
| Dividend      to Dynegy                                                 |   |                 | (175    | )      |                     |   | — |   |   |   | (175 | ) |
| Contribution      from Dynegy                                           |   |                 | 36      |   |                     |   | — |   |   |   | 36 |   |
| Affiliate      activity                                                 |   |                 | 4       |   |                     |   | — |   |   |   | 4 |   |
|                                                                    |   |                 |    |   |                     |   |    |   |   |   |   |   |
| September      30, 2009                                                 |   | $                    | 3,623   |   |                     | $      | 77      |   |   | $ | 3,700 |   |

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|                                                                    |   | Controlling Interest |   |   | Noncontrolling Interests |   |    | Total  |   |
|-------------------------------------------------------------------------|--------|----------------------|--------|--------|--------------------------|--------|---------|--------|--------|
|                                                                    |   |                 |   |   | (in      millions)       |   |    |   |   |
| December      31, 2007                                                  |   | $                    | 4,597  |   |                     | $      | 23      |   |   | $ | 4,620 |   |
| Net      income (loss)                                                  |   |                 | 184    |   |                     |   | (3      | )      |   |   | 181 |   |
| Other      comprehensive income (loss), net of tax:                     |   |                 |   |   |                     |   |    |   |   |   |   |   |
| Unrealized      mark-to-market losses arising during period             |   |                 | (18    | )      |                     |   | (9      | )      |   |   | (27 | ) |
| Reclassification      of mark-to-market (gains) losses to earnings      |   |                 | 11     |   |                     |   | (1      | )      |   |   | 10 |   |
| Deferred      gains (losses) on cash flow hedges                        |   |                 | 2      |   |                     |   | (2      | )      |   |   | — |   |
| Amortization      of unrecognized prior service cost and actuarial gain |   |                 | 1      |   |                     |   | — |   |   |   | 1 |   |
| Unconsolidated      investments other comprehensive loss                |   |                 | (11    | )      |                     |   | — |   |   |   | (11 | ) |
| Net      unrealized loss on securities                                  |   |                 | (12    | )      |                     |   | — |   |   |   | (12 | ) |
| Total      other comprehensive loss, net of tax                         |   |                 | (27    | )      |                     |   | (12     | )      |   |   | (39 | ) |
| Other      equity activity:                                             |   |                 |   |   |                     |   |    |   |   |   |   |   |
| Affiliate      activity                                                 |   |                 | 14     |   |                     |   | — |   |   |   | 14 |   |
|                                                                    |   |                 |   |   |                     |   |    |   |   |   |   |   |
| September      30, 2008                                                 |   | $                    | 4,768  |   |                     | $      | 8       |   |   | $ | 4,776 |   |

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| Contract Type                                   |   | Hedge Designation     |   | Quantity           |   | Unit of Measure |     | Net Fair Value     |   |
|-------------------------------------------------|--------|-----------------------|--------|--------------------|--------|-----------------|----------|--------------------|--------|
|                                            |   |                  |   | (in      millions) |   |            |     | (in      millions) |   |
| Commodity      derivative contracts:            |   |                  |   |               |   |            |     |               |   |
| Electric      energy (1)(3)                     |   | Not      designated   |   |               | (93    | )               | MW       |               | $      | 135 |   |
| Natural      gas (1)                            |   | Not      designated   |   |               | 99     |            | MMBtu    |               | $      | (22 | ) |
| Electricity/natural      gas spread options (3) |   | Not      designated   |   |               | (9)/46 |            | MW/MMBtu |               | $      | 28 |   |
| Other      (2)                                  |   | Not      designated   |   |               | 2      |            | Misc.    |               | $      | 2 |   |
|                                            |   |                  |   |               |   |            |     |               |   |   |   |
| Interest      rate contracts:                   |   |                  |   |               |   |            |     |               |   |   |   |
| Interest      rate swaps                        |   | Fair      value hedge |   |               | (25    | )               | Dollars  |               | $      | 2 |   |
| Interest      rate swaps                        |   | Not      designated   |   |               | 532    |            | Dollars  |               | $      | (59 | ) |
| Interest      rate swaps                        |   | Not      designated   |   |               | 231    |            | Dollars  |               | $      | (20 | ) |
| Interest      rate swaps                        |   | Not      designated   |   |               | (206   | )               | Dollars  |               | $      | 18 |   |

|   | (1) | Mainly      comprised of swaps, options and physical  forwards. |
|--------|-----|-----------------------------------------------------------------|

|   | (2) | Comprised      of emissions, coal, crude oil, fuel oil options, swaps and physical      forwards. |
|--------|-----|---------------------------------------------------------------------------------------------------|

|   | (3) | Includes      $9 million of net commodity derivative contracts classified as held for      sale as of September 30, 2009, comprised of electric energy of (0.22) MW      and electricity/natural gas spread options of (1.0) MW/11 MMBtu,      respectively, with a net fair value of $2 million and $7 million,      respectively. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Contract Type                                                     |   | Balance Sheet Location                           |   | September 30,2009 |    |   | December 31,2008 |   |
|-------------------------------------------------------------------|--------|--------------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
|                                                              |   |                                             |   | (in      millions)     |    |
| Derivatives      designated as hedging instruments:               |   |                                             |   |                   |    |   |
| Derivative      Assets:                                           |   |                                             |   |                   |    |   |                  |   |
| Interest      rate contracts                                      |   | Assets      from risk management activities      |   | $                      | 2       |   |                  | $      | 3 |   |
| Derivative      Liabilities:                                      |   |                                             |   |                   |    |   |                  |   |   |   |
| Interest      rate contracts                                      |   | Liabilities      from risk management activities |   |                   | — |   |                  |   | (238 | ) |
|                                                              |   |                                             |   |                   |    |   |                  |   |   |   |
| Total      derivatives designated as hedging instruments, net     |   |                                             | 2      |                   |    |   | (235                  | )      |
|                                                              |   |                                             |   |                   |    |   |                  |   |   |   |
| Derivatives      not designated as hedging instruments:           |   |                                             |   |                   |    |   |                  |   |
| Derivative      Assets:                                           |   |                                             |   |                   |    |   |                  |   |   |   |
| Commodity      contracts (1)                                      |   | Assets      from risk management activities      |   |                   | 1,211   |   |                  |   | 1,355 |   |
| Interest      rate contracts                                      |   | Assets      from risk management activities      |   |                   | 18      |   |                  |   | 19 |   |
| Derivative      Liabilities:                                      |   |                                             |   |                   |    |   |                  |   |   |   |
| Commodity      contracts                                          |   | Liabilities      from risk management activities |   |                   | (1,068  | )      |                  |   | (1,147 | ) |
| Interest      rate contracts                                      |   | Liabilities      from risk management activities |   |                   | (79     | )      |                  |   | (22 | ) |
|                                                              |   |                                             |   |                   |    |   |                  |   |   |   |
| Total      derivatives not designated as hedging instruments, net |   |                                             | 82     |                   |    |   | 205                   |   |
|                                                              |   |                                             |   |                   |    |   |                  |   |   |   |
| Total      derivatives, net                                       |   | $                                                | 84     |                   |    | $      | (30                   | )      |

| (1) | Includes      $9 million of risk management assets classified as held for sale as of      September 30, 2009. |
|-----|---------------------------------------------------------------------------------------------------------------|

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| Derivatives      in Cash Flow Hedging |   | Amount of Gain (Loss) Recognized in OCI on      Derivatives (Effective Portion) For the Three Months      EndedSeptember 30, |    | Location      of Loss Reclassified from Accumulated OCI into Income |   | Amount of Loss Reclassified from Accumulated OCI      into Income (Effective Portion) For the Three Months      EndedSeptember 30, |                |
|---------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------|---------|---------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------|---------------------|
| Relationships                         |   | 2009                                                                                                                         |    |                                                                | 2008   |                                                                                                                               | (Effective Portion) |   | 2009 |   |   | 2008 |   |
|                                  |   | (in      millions)                                                                                                           |    |                                                                |   | (in      millions)                                                                                                                 |                |
| Interest      rate contracts          |   | $                                                                                                                            | 45      |                                                                |   | $                                                                                                                                  | (21                 | ) | Interest      expense |   | $ | (1 | ) |   | $ | — |   |
| Commodity      contracts (1)          |   |                                                                                                                         | — |                                                                |   |                                                                                                                               | —             |   | Revenues |   |   | — |   |   |   | (10 | ) |
|                                  |   |                                                                                                                         |    |                                                                |   |                                                                                                                               |                |   |   |   |   |   |   |   |   |   |   |
| Total                                 |   | $                                                                                                                            | 45      |                                                                |   | $                                                                                                                                  | (21                 | ) |   |   | $ | (1 | ) |   | $ | (10 | ) |

|   | (1) | Beginning      April 2, 2007, we chose to cease designating derivatives related to our      power generation business as hedges.  These amounts represent      reclassifications into earnings of amounts that were previously frozen in      Accumulated other comprehensive loss upon de-designation in April      2007. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Derivatives      in Cash Flow Hedging |   | Amount of Gain (Loss) Recognized in OCI on      Derivatives (Effective Portion) For the Nine Months      EndedSeptember 30, |    | Location      of Loss Reclassified from Accumulated OCI into Income |   | Amount of Loss Reclassified from Accumulated OCI      into Income (Effective Portion) For the Nine Months      EndedSeptember 30, |                |
|---------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------|---------|---------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------|---------------------|
| Relationships                         |   | 2009                                                                                                                        |    |                                                                | 2008   |                                                                                                                              | (Effective Portion) |   | 2009 |   |   | 2008 |   |
|                                  |   | (in      millions)                                                                                                          |    |                                                                |   | (in      millions)                                                                                                                |                |
| Interest      rate contracts          |   | $                                                                                                                           | 160     |                                                                |   | $                                                                                                                                 | (27                 | ) | Interest      expense |   | $ | — |   |   | $ | — |   |
| Commodity      contracts (1)          |   |                                                                                                                        | — |                                                                |   |                                                                                                                              | —             |   | Revenues |   |   | — |   |   |   | (22 | ) |
|                                  |   |                                                                                                                        |    |                                                                |   |                                                                                                                              |                |   |   |   |   |   |   |   |   |   |   |
| Total                                 |   | $                                                                                                                           | 160     |                                                                |   | $                                                                                                                                 | (27                 | ) |   |   | $ | — |   |   | $ | (22 | ) |

|   | (1) | Beginning      April 2, 2007, we chose to cease designating derivatives related to our      power generation business as hedges.  These amounts represent      reclassifications into earnings of amounts that were previously frozen in      Accumulated other comprehensive loss upon de-designation in April      2007. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Derivatives      Not Designated as Hedging |   | Location      of Gain (Loss) Recognized in Income on |   | Amount of All Gain (Loss) Recognized in Income on      Derivatives for theThree Months Ended      September 30, |   |
|--------------------------------------------|--------|------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------|--------|
| Instruments                                |   | Derivatives                                          |   | 2009                                                                                                                 |   |   | 2008 |   |
|                                       |   |                                                 |   | (in      millions)                                                                                                   |   |
| Commodity      contracts                   |   | Revenues                                             |   | $                                                                                                                    | 59     |   |   | $ | 811 |   |
| Interest      rate contracts               |   | Interest      expense                                |   |                                                                                                                 | (14    | ) |   |   | (1 | ) |

| Derivatives      Not Designated as Hedging |   | Location      of Gain (Loss) Recognized in Income on |   | Amount of All Gain (Loss) Recognized in Income on      Derivatives for theNine Months Ended      September 30, |   |
|--------------------------------------------|--------|------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------|--------|
| Instruments                                |   | Derivatives                                          |   | 2009                                                                                                                |   |   | 2008 |   |
|                                       |   |                                                 |   | (in      millions)                                                                                                  |   |
| Commodity      contracts                   |   | Revenues                                             |   | $                                                                                                                   | 345    |   |   | $ | 49 |   |
| Interest      rate contracts               |   | Interest      expense                                |   |                                                                                                                | (14    | ) |   |   | (1 | ) |

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|                                                       |   | Fair Value as of September 30,      2009 |    |
|------------------------------------------------------------|--------|------------------------------------------|---------|
|                                                       |   | Level 1                                  |    |   | Level 2 |   |   | Level 3 |   |   | Total |   |
|                                                       |   | (in      millions)                       |    |
| Assets:                                                    |   |                                     |    |   |   |   |   |   |   |   |   |   |
| Assets      from commodity risk management activities (1)  |   | $                                        | — |   |   | $ | 1,126 |   |   | $ | 85 |   |   | $ | 1,211 |   |
| Assets      from interest rate swaps                       |   |                                     | — |   |   |   | 20 |   |   |   | — |   |   |   | 20 |   |
| Other  (2)                                       |   |                                     | — |   |   |   | 11 |   |   |   | — |   |   |   | 11 |   |
|                                                       |   |                                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                      |   | $                                        | — |   |   | $ | 1,157 |   |   | $ | 85 |   |   | $ | 1,242 |   |
|                                                       |   |                                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Liabilities:                                               |   |                                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Liabilities      from commodity risk management activities |   | $                                        | — |   |   | $ | (1,012 | ) |   | $ | (56 | ) |   | $ | (1,068 | ) |
| Liabilities      from interest rate swaps                  |   |                                     | — |   |   |   | (20 | ) |   |   | (59 | ) |   |   | (79 | ) |
|                                                       |   |                                     |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                      |   | $                                        | — |   |   | $ | (1,032 | ) |   | $ | (115 | ) |   | $ | (1,147 | ) |

|   | (1) | Includes      $2 million and $7 million in Levels 2 and 3, respectively, that is      classified as Assets held for sale on our unaudited condensed consolidated      balance sheet as of September 30,2009. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Other      represents short-term investments and long-term    investments. |
|--------|-----|----------------------------------------------------------------------------|

|                                                                                   |   | Three Months Ended September 30,      2009 |   |
|----------------------------------------------------------------------------------------|--------|-------------------------------------------------|--------|
|                                                                                   |   | (in      millions)                              |   |
| Balance      at June 30, 2009                                                          |   | $                                               | 43     |   |
| Realized      and unrealized gains, net                                                |   |                                            | 3      |   |
| Purchases,      issuances and settlements                                              |   |                                            | (26    | ) |
| Transfer      to Level 3                                                               |   |                                            | (50    | ) |
|                                                                                   |   |                                            |   |   |
| Balance      at September 30, 2009                                                     |   | $                                               | (30    | ) |
|                                                                                   |   |                                            |   |   |
| Unrealized      gains relating to instruments still held as of September 30,      2009 |   | $                                               | (4     | ) |

|                                                                                   |   | Nine Months EndedSeptember 30, 2009 |   |
|----------------------------------------------------------------------------------------|--------|------------------------------------------|--------|
|                                                                                   |   | (in      millions)                       |   |
| Balance      at December 31, 2008                                                      |   | $                                        | 59     |   |
| Realized      and unrealized gains, net                                                |   |                                     | 26     |   |
| Purchases,      issuances and settlements                                              |   |                                     | (65    | ) |
| Transfer      to Level 3                                                               |   |                                     | (50    | ) |
|                                                                                   |   |                                     |   |   |
| Balance      at September 30, 2009                                                     |   | $                                        | (30    | ) |
|                                                                                   |   |                                     |   |   |
| Unrealized      gains relating to instruments still held as of September 30,      2009 |   | $                                        | (9     | ) |

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|                                                                                |   | Fair Value Measurements as of September 30,      2009 |    |   |    |   |
|-------------------------------------------------------------------------------------|--------|------------------------------------------------------------|---------|--------|---------|--------|
|                                                                                |   | Level 1                                                    |    |   | Level 2 |   |   | Level 3 |   |   | Total |   |   | Total Losses |   |
|                                                                                |   | (in      millions)                                         |    |
| Assets/Liabilities:                                                                 |   |                                                       |    |   |    |   |   |   |   |   |   |   |   |   |   |
| Goodwill                                                                            |   | $                                                          | — |   |    | $      | — |   |   | $ | — |   |   | $ | — |   |   | $ | (433 | ) |
| Assets      held for sale and liabilities associated with assets held for      sale |   |                                                       | — |   |    |   | — |   |   |   | 1,258 |   |   |   | 1,258 |   |   |   | (584 | ) |
| Assets      held and used                                                           |   |                                                       | — |   |    |   | — |   |   |   | — |   |   |   | — |   |   |   | (209 | ) |
|                                                                                |   |                                                       |    |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                                               |   | $                                                          | — |   |    | $      | — |   |   | $ | 1,258 |   |   | $ | 1,258 |   |   | $ | (1,226 | ) |

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|                                                                                      |   | September 30, 2009 |    |   | December 31, 2008 |   |
|-------------------------------------------------------------------------------------------|--------|-------------------------|---------|--------|------------------------|--------|
|                                                                                      |   | Carrying Amount         |    |   | FairValue              |   |   | Carrying Amount |   |   | FairValue |   |
|                                                                                      |   | (in      millions)      |    |
| Interest      rate derivatives designated as cash flow accounting hedges    (1)           |   | $                       | — |   |                   | $      | — |   |   | $ | (238 | ) |   | $ | (238 | ) |
| Interest      rate derivatives designated as fair value accounting hedges      (1)        |   |                    | 2       |   |                   |   | 2 |   |   |   | 3 |   |   |   | 3 |   |
| Interest      rate derivatives not designated as accounting hedges (1)                    |   |                    | (61     | )      |                   |   | (61 | ) |   |   | (2 | ) |   |   | (2 | ) |
| Commodity-based      derivative contracts not designated as accounting hedges      (1)(3) |   |                    | 143     |   |                   |   | 143 |   |   |   | 207 |   |   |   | 207 |   |
| Other      (2)                                                                            |   |                    | 11      |   |                   |   | 11 |   |   |   | 25 |   |   |   | 25 |   |
|                                                                                      |   |                    |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                                                     |   | $                       | 95      |   |                   | $      | 95 |   |   | $ | (5 | ) |   | $ | (5 | ) |

|   | (1) | Included      in both current and non-current assets and liabilities on the unaudited      condensed consolidated balancesheets. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Other      represents short-term and long-terminvestments. |
|--------|-----|------------------------------------------------------------|

|   | (3) | Includes      $9 million of net commodity derivative contracts not designated as      accounting hedges classified as held for sale as of September 30,      2009. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                 |   | GEN-MW             |    |   | GEN-WE |   |    | GEN-NE |   |   | Total   |   |
|----------------------------------------------------------------------|--------|--------------------|---------|--------|--------|--------|---------|--------|--------|--------|---------|--------|
|                                                                 |   | (in      millions) |    |
| Three      months ended June 30, 2009:                               |   |               |    |   |   |   |    |   |   |   |    |   |
| Assets      included in proposed sale to LS Power                    |   | $                  | — |   |   | $      | — |   |   | $      | (179    | )      |   | $ | (179 | ) |
| Roseton      and Danskammer                                          |   |               | — |   |   |   | — |   |   |   | (208    | )      |   |   | (208 | ) |
| Total      2nd Quarter Impairment Charges                            |   |               | — |   |   |   | — |   |   |   | (387    | )      |   |   | (387 | ) |
|                                                                 |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Three      months ended September 30, 2009:                          |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Assets      included in proposed sale to LS Power (1)                |   |               | (147    | )      |   |   | — |   |   |   | — |   |   |   | (147 | ) |
| Roseton      and Danskammer                                          |   |               | — |   |   |   | — |   |   |   | (1      | )      |   |   | (1 | ) |
| Total      3rd Quarter Impairment Charges                            |   |               | (147    | )      |   |   | — |   |   |   | (1      | )      |   |   | (148 | ) |
|                                                                 |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Impairment      Charges for the Nine Months Ended September 30, 2009 |   | $                  | (147    | )      |   | $      | — |   |   | $      | (388    | )      |   | $ | (535 | ) |

|   | (1) | Upon      classification of these assets as held for sale at August 9, 2009, we      recognized impairment charges of $196 million and $19 million in our      GEN-MW and GEN-NE segments, respectively.  At September 30,      2009, based on an increase in the fair value of the consideration to be      received, we recovered $49 million and $19 million of the impairment      charges in our GEN-MW and GEN-NE segments,  respectively. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                 |   | GEN-MW             |    |   | GEN-WE |   |    | GEN-NE |   |   | Total   |   |
|----------------------------------------------------------------------|--------|--------------------|---------|--------|--------|--------|---------|--------|--------|--------|---------|--------|
|                                                                 |   | (in      millions) |    |
| Three      months ended March 31, 2009:                              |   |               |    |   |   |   |    |   |   |   |    |   |
| Bluegrass      (included in the proposed sale to LS Power)           |   | $                  | (5      | )      |   | $      | — |   |   | $      | — |   |   | $ | (5 | ) |
| Total      1st Quarter Impairment Charges                            |   |               | (5      | )      |   |   | — |   |   |   | — |   |   |   | (5 | ) |
|                                                                 |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Three      months ended June 30, 2009:                               |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Assets      included in proposed sale to LS Power                    |   |               | (18     | )      |   |   | — |   |   |   | — |   |   |   | (18 | ) |
| Total      2nd Quarter Impairment Charges                            |   |               | (18     | )      |   |   | — |   |   |   | — |   |   |   | (18 | ) |
|                                                                 |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Three      months ended September 30, 2009:                          |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Assets      included in proposed sale to LS Power (1)                |   |               | — |   |   |   | (235    | )      |   |   | — |   |   |   | (235 | ) |
| Total      3rd Quarter Impairment Charges                            |   |               | — |   |   |   | (235    | )      |   |   | — |   |   |   | (235 | ) |
|                                                                 |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Impairment      Charges for the Nine Months Ended September 30, 2009 |   | $                  | (23     | )      |   | $      | (235    | )      |   | $      | — |   |   | $ | (258 | ) |

|   | (1) | Upon      classification of these assets as held for sale at August 9, 2009, we      recognized an impairment charge of $292 million and $4 million in our      GEN-WE and GEN-MW segments, respectively.  At September 30,      2009, based on an increase in the fair value of the consideration to be      received, we recovered $57 million and $4 million of the impairment      charges in our GEN-WE and GEN-MW segments,  respectively. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                       |   | September 30,2009 |   |   | December 31,2008 |   |
|----------------------------------------------------------------------------|--------|------------------------|--------|--------|-----------------------|--------|
|                                                                       |   | (in      millions)     |   |
| Cash      flow hedging activities, net                                     |   | $                      | (93    | )      |                  | $      | (125 | ) |
| Unrecognized      prior service cost and actuarial loss                    |   |                   | (65    | )      |                  |   | (66 | ) |
| Accumulated      other comprehensive loss—unconsolidated investments |   |                   | (21    | )      |                  |   | (24 | ) |
|                                                                       |   |                   |   |   |                  |   |   |   |
| Accumulated      other comprehensive loss, net of tax                      |   | $                      | (179   | )      |                  | $      | (215 | ) |

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|                                      |   | September 30,2009 |    |   | December 31,2008 |   |
|-------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
|                                      |   | (in      millions)     |    |
| As      of:                               |   |                   |    |   |                  |   |
| Current      assets                       |   | $                      | 2       |   |                  | $      | 1 |   |
| Property,      plant and equipment, net   |   |                   | 573     |   |                  |   | 507 |   |
| Intangible      asset                     |   |                   | 193     |   |                  |   | 193 |   |
| Other      non-current asset              |   |                   | 31      |   |                  |   | 29 |   |
| Total      assets                         |   |                   | 799     |   |                  |   | 730 |   |
| Current      liabilities                  |   |                   | 80      |   |                  |   | 19 |   |
| Long-term      debt                       |   |                   | 705     |   |                  |   | 615 |   |
| Non-current      liabilities              |   |                   | 6       |   |                  |   | 244 |   |
| Noncontrolling      interest              |   |                   | 77      |   |                  |   | (30 | ) |
| Accumulated      other comprehensive loss |   |                   | (157    | )      |                  |   | (215 | ) |
| For      the period ending:               |   |                   |    |   |                  |   |   |   |
| Operating      loss                       |   |                   | — |   |                  |   | (1 | ) |
| Net      loss                             |   |                   | (7      | )      |                  |   | (3 | ) |

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|   | · | The      first quarter 2009 was characterized by a steep decline in forward      commodity prices.  Forward market prices for natural gas      decreased by 27 percent and 17 percent, respectively, for the calendar      years 2009 and 2010, significantly impacting the current market and      corresponding forward market prices forpower; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | During      the first quarter 2009, acquisition activity related to power generation      facilities was very low, indicating a lack of demand for such      transactions; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Dynegy’s      market capitalization continued to decline through the first quarter 2009,      with Dynegy’s stock price falling from an average of $2.51 per share in      the fourth quarter 2008 to an average of $1.73 per share in the first      quarter 2009 and a closing price of $1.41 at March 31, 2009;      and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | General      economic indicators, such as economic growth forecasts and unemployment      forecasts, deteriorated further during the first quarter    2009. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                           |   | GEN-MW             |    |   | GEN-WE |   |    | GEN-NE |   |   | Total   |   |
|------------------------------------------------|--------|--------------------|---------|--------|--------|--------|---------|--------|--------|--------|---------|--------|
|                                           |   | (in      millions) |    |
| Goodwill      at December 31, 2008             |   | $                  | 76      |   |   | $      | 260     |   |   | $      | 97      |   |   | $ | 433 |   |
| Impairment      of Goodwill                    |   |               | (76     | )      |   |   | (260    | )      |   |   | (97     | )      |   |   | (433 | ) |
|                                           |   |               |    |   |   |   |    |   |   |   |    |   |   |   |   |   |
| Goodwill      at  September 30, 2009 |   | $                  | — |   |   | $      | — |   |   | $      | — |   |   | $ | — |   |

|                                                                                              |   | September 30, 2009 |   |   | December 31,      2008 |   |
|---------------------------------------------------------------------------------------------------|--------|-------------------------|--------|--------|-----------------------------|--------|
|                                                                                              |   | CarryingAmount          |   |   | FairValue                   |   |   | CarryingAmount |   |   | FairValue |   |
|                                                                                              |   | (in      millions)      |   |
| Term      Loan B, due 2013                                                                        |   | $                       | 69     |   |                        | $      | 66 |   |   | $ | 69 |   |   | $ | 52 |   |
| Term      Facility, floating rate due 2013                                                        |   |                    | 850    |   |                        |   | 814 |   |   |   | 850 |   |   |   | 639 |   |
| Senior      Notes and Debentures:                                                                 |   |                    |   |   |                        |   |   |   |   |   |   |   |   |   |   |   |
| 6.875      percent due 2011                                                                       |   |                    | 502    |   |                        |   | 506 |   |   |   | 502 |   |   |   | 427 |   |
| 8.75      percent due 2012                                                                        |   |                    | 501    |   |                        |   | 509 |   |   |   | 501 |   |   |   | 426 |   |
| 7.5      percent due 2015                                                                         |   |                    | 550    |   |                        |   | 505 |   |   |   | 550 |   |   |   | 388 |   |
| 8.375      percent due 2016                                                                       |   |                    | 1,047  |   |                        |   | 964 |   |   |   | 1,047 |   |   |   | 742 |   |
| 7.125      percent due 2018                                                                       |   |                    | 172    |   |                        |   | 132 |   |   |   | 173 |   |   |   | 110 |   |
| 7.75      percent due 2019                                                                        |   |                    | 1,100  |   |                        |   | 936 |   |   |   | 1,100 |   |   |   | 762 |   |
| 7.625      percent due 2026                                                                       |   |                    | 171    |   |                        |   | 116 |   |   |   | 172 |   |   |   | 93 |   |
| Subordinated      Debentures payable to affiliates, 8.316 percent, due 2027                       |   |                    | 200    |   |                        |   | 110 |   |   |   | 200 |   |   |   | 83 |   |
| Sithe      Senior Notes, 9.0 percent due 2013                                                     |   |                    | 316    |   |                        |   | 318 |   |   |   | 344 |   |   |   | 328 |   |
| Plum      Point Credit Agreement Facility, floating rate due 2010(1)                              |   |                    | 605    |   |                        |   | 277 |   |   |   | 515 |   |   |   | 365 |   |
| Plum      Point Tax Exempt Bonds, floating rate due 2036                                          |   |                    | 100    |   |                        |   | 100 |   |   |   | 100 |   |   |   | 100 |   |
|                                                                                              |   |                    | 6,183  |   |                        |   |   |   |   |   | 6,123 |   |   |   |   |   |
| Unamortized      premium on debt, net                                                             |   |                    | 10     |   |                        |   |   |   |   |   | 13 |   |   |   |   |   |
|                                                                                              |   |                    | 6,193  |   |                        |   |   |   |   |   | 6,136 |   |   |   |   |   |
| Less:      Amounts due within one year, including non-cash amortization of basis      adjustments |   |                    | 65     |   |                        |   |   |   |   |   | 64 |   |   |   |   |   |
| Total      Long-Term Debt                                                                         |   | $                       | 6,128  |   |                        |   |   |   |   | $ | 6,072 |   |   |   |   |   |

|   | (1) | Upon      completion of the construction of the Plum Point Project, the $700 million      construction loan will terminate and the debt will be replaced by a $700      million term loan commitment.  The term loan commitment matures      on the thirtieth anniversary of the later of the date on which substantial      completion of the facility has occurred or the first date of commercial      operation under any of the power purchase agreements then in      effect.  The expected commercial operations date is August      2010.  Please read Note 15—Debt—Plum Point Credit Agreement      Facility in our Form 10-K for further  discussion. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                                         |   | Three Months EndedSeptember 30,              |   |   | Nine months EndedSeptember 30, |   |
|------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------|--------|--------|--------------------------------|--------|
|                                                                                                                         |   | 2009                                         |   |   | 2008                           |   |   | 2009 |   |   | 2008 |   |
|                                                                                                                         |   | (in      millions, except per share amounts) |   |
| Income      (loss) from continuing operations                                                                                |   | $                                            | (94    | )      |                           | $      | 572 |   |   | $ | (765 | ) |   | $ | 165 |   |
| Less:  Net      loss attributable to the noncontrolling interests                                                  |   |                                         | (11    | )      |                           |   | (1 | ) |   |   | (14 | ) |   |   | (3 | ) |
| Income      (loss) from continuing operations attributable to Dynegy Inc. for basic      and diluted income (loss) per share |   | $                                            | (83    | )      |                           | $      | 573 |   |   | $ | (751 | ) |   | $ | 168 |   |
|                                                                                                                         |   |                                         |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Basic      weighted-average shares                                                                                           |   |                                         | 843    |   |                           |   | 840 |   |   |   | 842 |   |   |   | 840 |   |
| Effect      of dilutive securities:                                                                                          |   |                                         |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Stock      options and restricted stock                                                                                      |   |                                         | 3      |   |                           |   | 2 |   |   |   | 3 |   |   |   | 2 |   |
| Diluted      weighted-average shares                                                                                         |   |                                         | 846    |   |                           |   | 842 |   |   |   | 845 |   |   |   | 842 |   |
|                                                                                                                         |   |                                         |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      (loss) per share from continuing operations attributable to Dynegy      Inc.:                                  |   |                                         |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                         |   |                                         |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                                                                        |   | $                                            | (0.10  | )      |                           | $      | 0.68 |   |   | $ | (0.89 | ) |   | $ | 0.20 |   |
|                                                                                                                         |   |                                         |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      (1)                                                                                                             |   | $                                            | (0.10  | )      |                           | $      | 0.68 |   |   | $ | (0.89 | ) |   | $ | 0.20 |   |

|   | (1) | Entities      with a net loss from continuing operations are prohibited from including      potential common shares in the computation of diluted per-share      amounts.  Accordingly, Dynegy Inc. has utilized the basic shares      outstanding amount to calculate both basic and diluted loss per share for      the three and nine months ended September 30,  2009. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Danskammer      SPDES Permit — In January 2005, the New York State Department of      Environmental Conservation (“NYSDEC”) issued a Draft SPDES Permit renewal      for the Danskammer power generation facility.  Three      environmental groups sought to impose a permit requirement that the      Danskammer facility install a closed cycle cooling      system.  Following a formal evidentiary hearing, the revised      Danskammer SPDES Permit was issued on June 1, 2006 without requiring      installation of a closed cycle cooling system.  The permit was      upheld on appeal by the Appellate Division and petitions for leave to      appeal to the New York Court of Appeals were  denied. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Roseton      SPDES Permit — In April 2005, the NYSDEC issued a Draft SPDES Permit      renewal for the Roseton power generation facility.  The Draft      Roseton SPDES Permit would require the facility to actively manage its      water intake to substantially reduce mortality of aquatic      organisms.  In July 2005, a public hearing was held to receive      comments on the Draft Roseton SPDES Permit.  Three environmental      organizations filed petitions for party status in the permit renewal      proceeding.  The petitioners are seeking to impose a permit      requirement that the Roseton facility install a closed cycle cooling      system.  In September 2006, the administrative law judge issued      a ruling admitting the petitioners to party status and setting forth the      issues to be adjudicated in the permit renewal hearing.  Various      holdings in the ruling have been appealed to the Commissioner of NYSDEC by      the petitioners, NYSDEC staff and us.  The adjudicatory hearing      on the Draft Roseton SPDES Permit will be scheduled after the Commissioner      decides the appeal.  We believe that the petitioners’ claims      lack merit and we plan to oppose those claims  vigorously. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Moss      Landing NPDES Permit — The California Regional Water Quality Control Board      (“Water Board”) issued an NPDES permit for the Moss Landing power      generation facility in 2000 in connection with modernization of the      facility.  A local environmental group sought review of the      permit contending that the once through seawater-cooling system at the      Moss Landing power generation facility should be replaced with a closed      cycle cooling system to meet the BTA requirements.  Following an      initial remand from the courts, the Water Board affirmed its BTA      finding.  The Water Board’s decision was affirmed by the      Superior Court in 2004 and by the Court of Appeals in 2007.  The      petitioners filed a petition for review by the California Supreme Court,      which was granted in March 2008.  The California Supreme Court      deferred further action pending final disposition of the U.S. Supreme      Court challenge regarding the Cooling Water Intake Structures Phase II      regulations (“Phase II Rules”).  As further described below, the      U.S. Supreme Court issued its decision on April 1, 2009.  On      September 9, 2009, the California Supreme Court directed the parties to      brief all issues raised by the pleadings.  The petitioner’s      brief is due on December 8, 2009 and our response is due on January 7,      2010.  We believe that petitioner’s claims lack merit and we      plan to continue opposing those claims  vigorously. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | In      February 2007, the Tennessee state court dismissed a putative class action      on defendants’ motion.  Plaintiffs appealed and in October 2008,      the appellate court reversed the dismissal and remanded the case for      further proceedings.  In December 2008, the defendants appealed      the decision to the Tennessee Supreme Court.  Oral argument is      scheduled in November 2009. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | In      February 2008, the U.S. District Court in Las Vegas, Nevada granted      defendants’ motion for summary judgment in a putative class action in      Colorado, which was transferred to Nevada through the multi-district      litigation management process, thereby dismissing the case and all of      plaintiffs’ claims against certain defendants (including      Dynegy).  Plaintiffs moved for reconsideration and the court      ordered additional briefing on plaintiffs’ declaratory judgment claims      against certain defendants (including Dynegy).  In January 2009,      the court dismissed plaintiffs’ remaining declaratory judgment      claims.  The decision is subject to appeal, but only upon final      resolution of all pending claims against all other    defendants. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | In      June 2009, we and the plaintiff in an action pending in Nevada federal      court entered into a confidential settlement agreement to resolve the      litigation.  The settlement was without admission of wrongdoing      and we continue to deny plaintiff’sallegations. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      remaining five cases, three of which seek class certification, are also      pending in Nevada federal court.  All of the cases were      transferred through the multi-district litigation management process from      other states, including Kansas, Wisconsin, Missouri and      Illinois.  The cases allege that individually and in conjunction      with other energy companies, we engaged in an illegal scheme to inflate      natural gas prices by providing false information to natural gas index      publications.  The complaints rely heavily on prior FERC and      CFTC investigations into and reports concerning index manipulation in the      energy industry.  The lawsuits seek actual and punitive damages,      restitution and/or expenses, and are currently in the discovery      phase.  In December 2008, plaintiffs in the class actions filed      motions for class certification.  The motion is expected to be      fully briefed in the fourth quarter2009. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                               |   | Pension Benefits                      |   |   | Other Benefits |   |
|----------------------------------------------------|--------|---------------------------------------|--------|--------|----------------|--------|
|                                               |   | Three Months Ended September      30, |   |
|                                               |   | 2009                                  |   |   | 2008           |   |   | 2009 |   |   | 2008 |   |
|                                               |   | (in      millions)                    |   |
| Service      cost benefits earned during period    |   | $                                     | 3      |   |           | $      | 3 |   |   | $ | 1 |   |   | $ | 1 |   |
| Interest      cost on projected benefit obligation |   |                                  | 3      |   |           |   | 3 |   |   |   | 1 |   |   |   | 1 |   |
| Expected      return on plan assets                |   |                                  | (3     | )      |           |   | (3 | ) |   |   | — |   |   |   | — |   |
| Recognized      net actuarial loss                 |   |                                  | 1      |   |           |   | — |   |   |   | — |   |   |   | — |   |
|                                               |   |                                  |   |   |           |   |   |   |   |   |   |   |   |   |   |   |
| Net      periodic benefit cost                     |   | $                                     | 4      |   |           | $      | 3 |   |   | $ | 2 |   |   | $ | 2 |   |

|                                               |   | Pension Benefits                   |   |   | Other Benefits |   |
|----------------------------------------------------|--------|------------------------------------|--------|--------|----------------|--------|
|                                               |   | Nine Months Ended September    30, |   |
|                                               |   | 2009                               |   |   | 2008           |   |   | 2009 |   |   | 2008 |   |
|                                               |   | (in      millions)                 |   |
| Service      cost benefits earned during period    |   | $                                  | 9      |   |           | $      | 8 |   |   | $ | 2 |   |   | $ | 2 |   |
| Interest      cost on projected benefit obligation |   |                               | 9      |   |           |   | 9 |   |   |   | 3 |   |   |   | 3 |   |
| Expected      return on plan assets                |   |                               | (10    | )      |           |   | (10 | ) |   |   | — |   |   |   | — |   |
| Recognized      net actuarial loss                 |   |                               | 3      |   |           |   | 1 |   |   |   | — |   |   |   | — |   |
|                                               |   |                               |   |   |           |   |   |   |   |   |   |   |   |   |   |   |
| Net      periodic benefit cost                     |   | $                                  | 11     |   |           | $      | 8 |   |   | $ | 5 |   |   | $ | 5 |   |

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|                              |   | Three Months EndedSeptember 30,  |   |   | Nine Months EndedSeptember 30, |   |
|-----------------------------------|--------|----------------------------------|--------|--------|--------------------------------|--------|
|                              |   | 2009                             |   |   | 2008                           |   |   | 2009 |   |   | 2008 |   |
|                              |   | (in      millions, except rates) |   |
| Income      tax benefit (expense) |   | $                                | 34     |   |                           | $      | (392 | ) |   | $ | 147 |   |   | $ | (121 | ) |
|                              |   |                             |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Effective      tax rate           |   |                             | 27     | %      |                           |   | 41 | % |   |   | 16 | % |   |   | 42 | % |

|                              |   | Three Months Ended September 30, |   |   | Nine Months EndedSeptember 30, |   |
|-----------------------------------|--------|---------------------------------------|--------|--------|--------------------------------|--------|
|                              |   | 2009                                  |   |   | 2008                           |   |   | 2009 |   |   | 2008 |   |
|                              |   | (in      millions, except rates)      |   |
| Income      tax benefit (expense) |   | $                                     | 35     |   |                           | $      | (391 | ) |   | $ | 152 |   |   | $ | (127 | ) |
|                              |   |                                  |   |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| Effective      tax rate           |   |                                  | 27     | %      |                           |   | 41 | % |   |   | 17 | % |   |   | 43 | % |

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|                                                             |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                             |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                      |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 391     |   |   | $      | 110     |   |   | $ | 174 |   |   | $ | (2 | ) |   | $ | 673 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                              |   | $                | 391     |   |   | $      | 110     |   |   | $ | 174 |   |   | $ | (2 | ) |   | $ | 673 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                               |   | $                | (57     | )      |   | $      | (15     | )      |   | $ | (8 | ) |   | $ | (3 | ) |   | $ | (83 | ) |
| Impairment      and other charges                                |   |             | (147    | )      |   |   | — |   |   |   | (1 | ) |   |   | — |   |   |   | (148 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                     |   | $                | 5       |   |   | $      | 34      |   |   | $ | 1 |   |   | $ | (47 | ) |   | $ | (7 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Losses      from unconsolidated investments                      |   |             | — |   |   |   | (8      | )      |   |   | — |   |   |   | — |   |   |   | (8 | ) |
| Other      items, net                                            |   |             | — |   |   |   | 1       |   |   |   | — |   |   |   | 1 |   |   |   | 2 |   |
| Interest      expense                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (115 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes         |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (128 | ) |
| Income      tax benefit                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 34 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (94 | ) |
| Loss      from discontinued operations, net of taxes             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (129 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                                                    |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (223 | ) |
| Less:      Net loss attributable to the noncontrolling interests |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (11 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Inc.                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (212 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,663 |   |   | $ | 13,029 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (5 | ) |   |   | (5 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                            |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,658 |   |   | $ | 13,024 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures                                        |   | $                | (120    | )      |   | $      | (2      | )      |   | $ | (2 | ) |   | $ | (2 | ) |   | $ | (126 | ) |

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|                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                               |   | $                | 997     |   |   | $      | 323     |   |   | $ | 426 |   |   | $ | (4 | ) |   | $ | 1,742 |   |
| Other                                                                  |   |             | — |   |   |   | — |   |   |   | 17 |   |   |   | — |   |   |   | 17 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                                    |   | $                | 997     |   |   | $      | 323     |   |   | $ | 443 |   |   | $ | (4 | ) |   | $ | 1,759 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                                     |   | $                | (49     | )      |   | $      | (20     | )      |   | $ | (14 | ) |   | $ | (2 | ) |   | $ | (85 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                           |   | $                | 757     |   |   | $      | 153     |   |   | $ | 204 |   |   | $ | (51 | ) |   | $ | 1,063 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Losses      from unconsolidated investments                            |   |             | — |   |   |   | (5      | )      |   |   | — |   |   |   | — |   |   |   | (5 | ) |
| Other      items, net                                                  |   |             | — |   |   |   | 1       |   |   |   | (1 | ) |   |   | 11 |   |   |   | 11 |   |
| Interest      expense                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (105 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 964 |   |
| Income      tax expense                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (392 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 572 |   |
| Income      from discontinued operations, net of taxes                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 32 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 604 |   |
| Less:      Net loss attributable to the noncontrolling interests       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (1 | ) |
| Net      income attributable to Dynegy Inc.                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 605 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                              |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                               |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,458 |   |   | $ | 1,677 |   |   | $ | 14,178 |   |
| Other                                                                  |   |             | — |   |   |   | — |   |   |   | 16 |   |   |   | 8 |   |   |   | 24 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                                  |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,474 |   |   | $ | 1,685 |   |   | $ | 14,202 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Unconsolidated      investments                                        |   | $                | — |   |   | $      | — |   |   | $ | — |   |   | $ | 62 |   |   | $ | 62 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures and investments in unconsolidated affiliates |   | $                | (145    | )      |   | $      | (5      | )      |   | $ | (7 | ) |   | $ | (4 | ) |   | $ | (161 | ) |

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|                                                             |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                             |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                      |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 1,085   |   |   | $      | 293     |   |   | $ | 652 |   |   | $ | (3 | ) |   | $ | 2,027 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                              |   | $                | 1,085   |   |   | $      | 293     |   |   | $ | 652 |   |   | $ | (3 | ) |   | $ | 2,027 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                               |   | $                | (165    | )      |   | $      | (45     | )      |   | $ | (39 | ) |   | $ | (9 | ) |   | $ | (258 | ) |
| Goodwill      impairments                                        |   |             | (76     | )      |   |   | (260    | )      |   |   | (97 | ) |   |   | — |   |   |   | (433 | ) |
| Impairment      and other charges                                |   |             | (147    | )      |   |   | — |   |   |   | (388 | ) |   |   | — |   |   |   | (535 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                     |   | $                | 143     |   |   | $      | (209    | )      |   | $ | (424 | ) |   | $ | (134 | ) |   | $ | (624 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      from unconsolidated investments                    |   |             | — |   |   |   | 12      |   |   |   | — |   |   |   | 1 |   |   |   | 13 |   |
| Other      items, net                                            |   |             | 2       |   |   |   | 3       |   |   |   | — |   |   |   | 5 |   |   |   | 10 |   |
| Interest      expense                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (311 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes         |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (912 | ) |
| Income      tax benefit                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 147 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (765 | ) |
| Loss      from discontinued operations, net of taxes             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (141 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                                                    |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (906 | ) |
| Less:      Net loss attributable to the noncontrolling interests |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (14 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Inc.                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (892 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,663 |   |   | $ | 13,029 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (5 | ) |   |   | (5 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                            |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,658 |   |   | $ | 13,024 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures                                        |   | $                | (394    | )      |   | $      | (10     | )      |   | $ | (20 | ) |   | $ | (5 | ) |   | $ | (429 | ) |

----

Table of Contents

|                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                               |   | $                | 1,226   |   |   | $      | 556     |   |   | $ | 661 |   |   | $ | (4 | ) |   | $ | 2,439 |   |
| Other                                                                  |   |             | — |   |   |   | — |   |   |   | 111 |   |   |   | — |   |   |   | 111 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                                    |   | $                | 1,226   |   |   | $      | 556     |   |   | $ | 772 |   |   | $ | (4 | ) |   | $ | 2,550 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                                     |   | $                | (153    | )      |   | $      | (57     | )      |   | $ | (41 | ) |   | $ | (7 | ) |   | $ | (258 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                           |   | $                | 529     |   |   | $      | 104     |   |   | $ | 41 |   |   | $ | (95 | ) |   | $ | 579 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Losses      from unconsolidated investments                            |   |             | — |   |   |   | (7      | )      |   |   | — |   |   |   | (10 | ) |   |   | (17 | ) |
| Other      items, net                                                  |   |             | — |   |   |   | 5       |   |   |   | 5 |   |   |   | 36 |   |   |   | 46 |   |
| Interest      expense                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (322 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 286 |   |
| Income      tax expense                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (121 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 165 |   |
| Income      from discontinued operations, net of taxes                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 13 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 178 |   |
| Less:      Net loss attributable to the noncontrolling interests       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (3 | ) |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Inc.                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 181 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                              |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                               |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,458 |   |   | $ | 1,677 |   |   | $ | 14,178 |   |
| Other                                                                  |   |             | — |   |   |   | — |   |   |   | 16 |   |   |   | 8 |   |   |   | 24 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                                  |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,474 |   |   | $ | 1,685 |   |   | $ | 14,202 |   |
|                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Unconsolidated      investments                                        |   | $                | — |   |   | $      | — |   |   | $ | — |   |   | $ | 62 |   |   | $ | 62 |   |
| Capital      expenditures and investments in unconsolidated affiliates |   | $                | (394    | )      |   | $      | (26     | )      |   | $ | (29 | ) |   | $ | (22 | ) |   | $ | (471 | ) |

----

Table of Contents

|                                                             |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                             |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                      |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 391     |   |   | $      | 110     |   |   | $ | 174 |   |   | $ | (2 | ) |   | $ | 673 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                              |   | $                | 391     |   |   | $      | 110     |   |   | $ | 174 |   |   | $ | (2 | ) |   | $ | 673 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                               |   | $                | (57     | )      |   | $      | (15     | )      |   | $ | (8 | ) |   | $ | (3 | ) |   | $ | (83 | ) |
| Impairment      and other charges                                |   |             | (147    | )      |   |   | — |   |   |   | (1 | ) |   |   | — |   |   |   | (148 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                     |   | $                | 5       |   |   | $      | 34      |   |   | $ | 1 |   |   | $ | (47 | ) |   | $ | (7 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Losses      from unconsolidated investments                      |   |             | — |   |   |   | (8      | )      |   |   | — |   |   |   | — |   |   |   | (8 | ) |
| Other      items, net                                            |   |             | — |   |   |   | 1       |   |   |   | — |   |   |   | 1 |   |   |   | 2 |   |
| Interest      expense                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (115 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes         |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (128 | ) |
| Income      tax benefit                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 35 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (93 | ) |
| Loss      from discontinued operations, net of taxes             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (139 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                                                    |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (232 | ) |
| Less:      Net loss attributable to the noncontrolling interests |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (11 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Holdings Inc.               |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (221 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,481 |   |   | $ | 12,847 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (5 | ) |   |   | (5 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                            |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,476 |   |   | $ | 12,842 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures                                        |   | $                | (120    | )      |   | $      | (2      | )      |   | $ | (2 | ) |   | $ | (2 | ) |   | $ | (126 | ) |

----

Table of Contents

|                                                             |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                             |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                      |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 997     |   |   | $      | 323     |   |   | $ | 426 |   |   | $ | (4 | ) |   | $ | 1,742 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | 17 |   |   |   | — |   |   |   | 17 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                              |   | $                | 997     |   |   | $      | 323     |   |   | $ | 443 |   |   | $ | (4 | ) |   | $ | 1,759 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                               |   | $                | (49     | )      |   | $      | (20     | )      |   | $ | (14 | ) |   | $ | (2 | ) |   | $ | (85 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                     |   | $                | 757     |   |   | $      | 153     |   |   | $ | 204 |   |   | $ | (51 | ) |   | $ | 1,063 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Losses      from unconsolidated investments                      |   |             | — |   |   |   | (5      | )      |   |   | — |   |   |   | — |   |   |   | (5 | ) |
| Other      items, net                                            |   |             | — |   |   |   | 1       |   |   |   | (1 | ) |   |   | 11 |   |   |   | 11 |   |
| Interest      expense                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (105 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 964 |   |
| Income      tax expense                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (391 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                           |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 573 |   |
| Income      from discontinued operations, net of taxes           |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 32 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 605 |   |
| Less:      Net loss attributable to the noncontrolling interests |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (1 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Holdings Inc.             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 606 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,458 |   |   | $ | 1,575 |   |   | $ | 14,076 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | 16 |   |   |   | 8 |   |   |   | 24 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                            |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,474 |   |   | $ | 1,583 |   |   | $ | 14,100 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures                                        |   | $                | (145    | )      |   | $      | (5      | )      |   | $ | (7 | ) |   | $ | (4 | ) |   | $ | (161 | ) |

----

Table of Contents

|                                                             |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                             |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                      |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 1,085   |   |   | $      | 293     |   |   | $ | 652 |   |   | $ | (3 | ) |   | $ | 2,027 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                              |   | $                | 1,085   |   |   | $      | 293     |   |   | $ | 652 |   |   | $ | (3 | ) |   | $ | 2,027 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                               |   | $                | (165    | )      |   | $      | (45     | )      |   | $ | (39 | ) |   | $ | (9 | ) |   | $ | (258 | ) |
| Goodwill      impairments                                        |   |             | (76     | )      |   |   | (260    | )      |   |   | (97 | ) |   |   | — |   |   |   | (433 | ) |
| Impairment      and other charges                                |   |             | (147    | )      |   |   | — |   |   |   | (388 | ) |   |   | — |   |   |   | (535 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                     |   | $                | 143     |   |   | $      | (209    | )      |   | $ | (424 | ) |   | $ | (136 | ) |   | $ | (626 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Earnings      from unconsolidated investments                    |   |             | — |   |   |   | 12      |   |   |   | — |   |   |   | — |   |   |   | 12 |   |
| Other      items, net                                            |   |             | 2       |   |   |   | 3       |   |   |   | — |   |   |   | 4 |   |   |   | 9 |   |
| Interest      expense                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (311 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes         |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (916 | ) |
| Income      tax benefit                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 152 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (764 | ) |
| Loss      from discontinued operations, net of taxes             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (141 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                                                    |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (905 | ) |
| Less:      Net loss attributable to the noncontrolling interests |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (14 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Holdings Inc.               |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (891 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,481 |   |   | $ | 12,847 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (5 | ) |   |   | (5 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                            |   | $                | 6,703   |   |   | $      | 2,636   |   |   | $ | 2,027 |   |   | $ | 1,476 |   |   | $ | 12,842 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures                                        |   | $                | (394    | )      |   | $      | (10     | )      |   | $ | (20 | ) |   | $ | (5 | ) |   | $ | (429 | ) |

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|                                                             |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                             |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
| Unaffiliated      revenues:                                      |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 1,226   |   |   | $      | 556     |   |   | $ | 661 |   |   | $ | (4 | ) |   | $ | 2,439 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | 111 |   |   |   | — |   |   |   | 111 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                              |   | $                | 1,226   |   |   | $      | 556     |   |   | $ | 772 |   |   | $ | (4 | ) |   | $ | 2,550 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      and amortization                               |   | $                | (153    | )      |   | $      | (57     | )      |   | $ | (41 | ) |   | $ | (7 | ) |   | $ | (258 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income (loss)                                     |   | $                | 529     |   |   | $      | 104     |   |   | $ | 41 |   |   | $ | (95 | ) |   | $ | 579 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Losses      from unconsolidated investments                      |   |             | — |   |   |   | (7      | )      |   |   | — |   |   |   | — |   |   |   | (7 | ) |
| Other      items, net                                            |   |             | — |   |   |   | 5       |   |   |   | 5 |   |   |   | 35 |   |   |   | 45 |   |
| Interest      expense                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (322 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 295 |   |
| Income      tax expense                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (127 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                           |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 168 |   |
| Income      from discontinued operations, net of taxes           |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 13 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 181 |   |
| Less:      Net loss attributable to the noncontrolling interests |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (3 | ) |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Holdings Inc.             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 184 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Identifiable      assets:                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Domestic                                                         |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,458 |   |   | $ | 1,575 |   |   | $ | 14,076 |   |
| Other                                                            |   |             | — |   |   |   | — |   |   |   | 16 |   |   |   | 8 |   |   |   | 24 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                            |   | $                | 6,637   |   |   | $      | 3,406   |   |   | $ | 2,474 |   |   | $ | 1,583 |   |   | $ | 14,100 |   |
|                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      expenditures                                        |   | $                | (394    | )      |   | $      | (26     | )      |   | $ | (29 | ) |   | $ | (11 | ) |   | $ | (460 | ) |

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Item 2—

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|                                                          |   | October 29,2009 |    |   | September 30,2009 |   |    | December 31,2008 |   |
|---------------------------------------------------------------|--------|----------------------|---------|--------|------------------------|--------|---------|-----------------------|--------|
|                                                          |   | (in      millions)   |    |
| Revolver      capacity (1) (2)                                |   | $                    | 1,080   |   |                   | $      | 903     |                  |   | $ | 1,080 |   |
| Borrowings      against revolver capacity                     |   |                 | — |   |                   |   | — |                  |   |   | — |   |
| Term      letter of credit capacity, net of required reserves |   |                 | 825     |   |                   |   | 825     |                  |   |   | 825 |   |
| Plum      Point and Sandy Creek letter of credit capacity (3) |   |                 | 377     |   |                   |   | 377     |                  |   |   | 377 |   |
| Outstanding      letters of credit                            |   |                 | (894    | )      |                   |   | (886    | )                     |   |   | (1,135 | ) |
|                                                          |   |                 |    |   |                   |   |    |                  |   |   |   |   |
| Unused      capacity                                          |   |                 | 1,388   |   |                   |   | 1,219   |                  |   |   | 1,147 |   |
|                                                          |   |                 |    |   |                   |   |    |                  |   |   |   |   |
| Cash—DHI                                                |   |                 | 486     |   |                   |   | 519     |                  |   |   | 670 |   |
|                                                          |   |                 |    |   |                   |   |    |                  |   |   |   |   |
| Total      available liquidity—DHI                      |   |                 | 1,874   |   |                   |   | 1,738   |                  |   |   | 1,817 |   |
| Cash—Dynegy                                             |   |                 | 183     |   |                   |   | 184     |                  |   |   | 23 |   |
|                                                          |   |                 |    |   |                   |   |    |                  |   |   |   |   |
| Total      available liquidity—Dynegy                   |   | $                    | 2,057   |   |                   | $      | 1,922   |                  |   | $ | 1,840 |   |

|   | (1) | We      currently have a syndicate of lenders participating in the revolving      portion of our Credit Facility with commitments ranging from $10 million      to $165 million.  We have not experienced, nor do we currently      anticipate, any difficulties in obtaining funding from any of the current      lenders at this time.  However, we continue to monitor the      environment, and any lack of or delay in funding by a significant member      or multiple members of our banking group would negatively affect our      liquidity position. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | From      July 1, 2009 to September 30, 2009, DHI’s ability to draw on its available      liquidity under the Credit Facility was reduced temporarily as a result of      borrowing limitations under the covenant regarding the ratio of secured      debt to EBITDA.  As of October 1, 2009, the capacity was      restored. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | Includes      $275 million of capacity related to our investment in Sandy      Creek.  Under the terms of our purchase and sale agreement with      LS Power, this capacity will be eliminated, and $175 million of the $275      million of restricted cash supporting this letter of credit facility will      be released to us upon completion of the sale of Sandy Creek to LS      Power.  See Note 2—Dispositions and Discontinued      Operations—Dispositions—LS Power Transaction for further      discussion. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                   |   | October 29, 2009 |   |   | September 30, 2009 |   |   | December 31, 2008 |   |
|------------------------|--------|-----------------------|--------|--------|-------------------------|--------|--------|------------------------|--------|
|                   |   | (in      millions)    |   |
| By    Business:        |   |                  |   |   |                    |   |   |                   |   |
| Generation             |   | $                     | 1,003  |   |                    | $      | 975    |                   |   | $ | 1,064 |   |
| Other                  |   |                  | 188    |   |                    |   | 189    |                   |   |   | 189 |   |
|                   |   |                  |   |   |                    |   |   |                   |   |   |   |   |
| Total                  |   | $                     | 1,191  |   |                    | $      | 1,164  |                   |   | $ | 1,253 |   |
| By      Type:          |   |                  |   |   |                    |   |   |                   |   |   |   |   |
| Cash      (1)          |   | $                     | 297    |   |                    | $      | 278    |                   |   | $ | 118 |   |
| Letters      of Credit |   |                  | 894    |   |                    |   | 886    |                   |   |   | 1,135 |   |
|                   |   |                  |   |   |                    |   |   |                   |   |   |   |   |
| Total                  |   | $                     | 1,191  |   |                    | $      | 1,164  |                   |   | $ | 1,253 |   |

|   | (1) | Cash      collateral, including initial margin postings exclude the effect of cash      inflows and outflows arising from the daily settlements of our      exchange-traded or brokered commodity futures positions held with our      futures clearing manager. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   |   | For the Nine Months Ended      September 30, |   |
|--------|--------|---------------------------------------------------|--------|
|   |   | 2009                                              |   |   | 2008 |   |
|   |   | (in      millions)                                |   |
|   |   |                                              |   |   |   |   |
| GEN-MW |   | $                                                 | 394    |   |   | $ | 394 |   |
| GEN-WE |   |                                              | 10     |   |   |   | 26 |   |
| GEN-NE |   |                                              | 20     |   |   |   | 29 |   |
| Other  |   |                                              | 5      |   |   |   | 11 |   |
|   |   |                                              |   |   |   |   |   |   |
| Total  |   | $                                                 | 429    |   |   | $ | 460 |   |

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|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 391     |   |   | $      | 110     |   |   | $ | 174 |   |   | $ | (2 | ) |   | $ | 673 |   |
| Cost      of sales                                                                                                     |   |             | (129    | )      |   |   | (36     | )      |   |   | (121 | ) |   |   | — |   |   |   | (286 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (53     | )      |   |   | (25     | )      |   |   | (43 | ) |   |   | — |   |   |   | (121 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (57     | )      |   |   | (15     | )      |   |   | (8 | ) |   |   | (3 | ) |   |   | (83 | ) |
| Impairment      and other charges                                                                                      |   |             | (147    | )      |   |   | — |   |   |   | (1 | ) |   |   | — |   |   |   | (148 | ) |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (42 | ) |   |   | (42 | ) |
| Operating      income (loss)                                                                                           |   | $                | 5       |   |   | $      | 34      |   |   | $ | 1 |   |   | $ | (47 | ) |   | $ | (7 | ) |
| Losses      from unconsolidated investments                                                                            |   |             | — |   |   |   | (8      | )      |   |   | — |   |   |   | — |   |   |   | (8 | ) |
| Other      items, net                                                                                                  |   |             | — |   |   |   | 1       |   |   |   | — |   |   |   | 1 |   |   |   | 2 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (115 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes                                                               |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (128 | ) |
| Income      tax benefit                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 34 |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (94 | ) |
| Loss      from discontinued operations, net of taxes                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (129 | ) |
| Net      loss                                                                                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (223 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (11 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Inc.                                                                              |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (212 | ) |

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|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 997     |   |   | $      | 323     |   |   | $ | 443 |   |   | $ | (4 | ) |   | $ | 1,759 |   |
| Cost      of sales                                                                                                     |   |             | (194    | )      |   |   | (127    | )      |   |   | (179 | ) |   |   | 2 |   |   |   | (498 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (54     | )      |   |   | (23     | )      |   |   | (46 | ) |   |   | 1 |   |   |   | (122 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (49     | )      |   |   | (20     | )      |   |   | (14 | ) |   |   | (2 | ) |   |   | (85 | ) |
| Gain      on sale of assets, net                                                                                       |   |             | 57      |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | 57 |   |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (48 | ) |   |   | (48 | ) |
| Operating      income (loss)                                                                                           |   | $                | 757     |   |   | $      | 153     |   |   | $ | 204 |   |   | $ | (51 | ) |   | $ | 1,063 |   |
| Losses      from unconsolidated investments                                                                            |   |             | — |   |   |   | (5      | )      |   |   | — |   |   |   | — |   |   |   | (5 | ) |
| Other      items, net                                                                                                  |   |             | — |   |   |   | 1       |   |   |   | (1 | ) |   |   | 11 |   |   |   | 11 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (105 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 964 |   |
| Income      tax expense                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (392 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                                                                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 572 |   |
| Income      from discontinued operations, net of taxes.                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 32 |   |
| Net      income                                                                                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 604 |   |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (1 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Inc.                                                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 605 |   |

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|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 391     |   |   | $      | 110     |   |   | $ | 174 |   |   | $ | (2 | ) |   | $ | 673 |   |
| Cost      of sales                                                                                                     |   |             | (129    | )      |   |   | (36     | )      |   |   | (121 | ) |   |   | — |   |   |   | (286 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (53     | )      |   |   | (25     | )      |   |   | (43 | ) |   |   | — |   |   |   | (121 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (57     | )      |   |   | (15     | )      |   |   | (8 | ) |   |   | (3 | ) |   |   | (83 | ) |
| Impairment      and other charges                                                                                      |   |             | (147    | )      |   |   | — |   |   |   | (1 | ) |   |   | — |   |   |   | (148 | ) |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (42 | ) |   |   | (42 | ) |
| Operating      income (loss)                                                                                           |   | $                | 5       |   |   | $      | 34      |   |   | $ | 1 |   |   | $ | (47 | ) |   | $ | (7 | ) |
| Losses      from unconsolidated investments                                                                            |   |             | — |   |   |   | (8      | )      |   |   | — |   |   |   | — |   |   |   | (8 | ) |
| Other      items, net                                                                                                  |   |             | — |   |   |   | 1       |   |   |   | — |   |   |   | 1 |   |   |   | 2 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (115 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes                                                               |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (128 | ) |
| Income      tax benefit                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 35 |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (93 | ) |
| Loss      from discontinued operations, net of taxes                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (139 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                                                                                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (232 | ) |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (11 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Holdings Inc.                                                                     |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (221 | ) |

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|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 997     |   |   | $      | 323     |   |   | $ | 443 |   |   | $ | (4 | ) |   | $ | 1,759 |   |
| Cost      of sales                                                                                                     |   |             | (194    | )      |   |   | (127    | )      |   |   | (179 | ) |   |   | 2 |   |   |   | (498 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (54     | )      |   |   | (23     | )      |   |   | (46 | ) |   |   | 1 |   |   |   | (122 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (49     | )      |   |   | (20     | )      |   |   | (14 | ) |   |   | (2 | ) |   |   | (85 | ) |
| Gain      on sale of assets, net                                                                                       |   |             | 57      |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | 57 |   |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (48 | ) |   |   | (48 | ) |
| Operating      income (loss)                                                                                           |   | $                | 757     |   |   | $      | 153     |   |   | $ | 204 |   |   | $ | (51 | ) |   | $ | 1,063 |   |
| Losses      from unconsolidated investments                                                                            |   |             | — |   |   |   | (5      | )      |   |   | — |   |   |   | — |   |   |   | (5 | ) |
| Other      items, net                                                                                                  |   |             | — |   |   |   | 1       |   |   |   | (1 | ) |   |   | 11 |   |   |   | 11 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (105 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 964 |   |
| Income      tax expense                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (391 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                                                                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 573 |   |
| Income      from discontinued operations, net of taxes.                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 32 |   |
| Net      income                                                                                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 605 |   |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (1 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Holdings Inc.                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 606 |   |

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Table of Contents

|                                                           |   | Three Months EndedSeptember 30, |   |
|----------------------------------------------------------------|--------|---------------------------------|--------|
|                                                           |   | 2009                            |   |   | 2008 |   |
| GEN-MW                                                         |   |                            |   |   |   |   |
| Million      Megawatt Hours Generated (1)                      |   |                            | 6.6    |   |   |   | 7.1 |   |
| In      Market Availability for Coal Fired Facilities (2)      |   |                            | 92     | % |   |   | 95 | % |
| Average      Capacity Factor for Combined Cycle Facilities (3) |   |                            | 38     | % |   |   | 28 | % |
| Average      Quoted On-Peak Market Power Prices ($/MWh) (4):   |   |                            |   |   |   |   |   |   |
| Cinergy      (Cin Hub)                                         |   | $                               | 31     |   |   | $ | 74 |   |
| Commonwealth      Edison (NI Hub)                              |   | $                               | 31     |   |   | $ | 73 |   |
| PJM      West                                                  |   | $                               | 40     |   |   | $ | 95 |   |
| Average      Market Spark Spreads ($/MWh) (5):                 |   |                            |   |   |   |   |   |   |
| PJM      West                                                  |   | $                               | 16     |   |   | $ | 27 |   |
|                                                           |   |                            |   |   |   |   |   |   |
| GEN-WE                                                         |   |                            |   |   |   |   |   |   |
| Million      Megawatt Hours Generated (6) (7)                  |   |                            | 2.4    |   |   |   | 2.6 |   |
| Average      Capacity Factor for Combined Cycle Facilities (3) |   |                            | 56     | % |   |   | 72 | % |
| Average      Quoted On-Peak Market Power Prices ($/MWh) (4):   |   |                            |   |   |   |   |   |   |
| North      Path 15 (NP 15)                                     |   | $                               | 38     |   |   | $ | 86 |   |
| Average      Market Spark Spreads ($/MWh) (5):                 |   |                            |   |   |   |   |   |   |
| North      Path 15 (NP 15)                                     |   | $                               | 12     |   |   | $ | 25 |   |
|                                                           |   |                            |   |   |   |   |   |   |
| GEN-NE                                                         |   |                            |   |   |   |   |   |   |
| Million      Megawatt Hours Generated                          |   |                            | 2.6    |   |   |   | 2.2 |   |
| In      Market Availability for Coal Fired Facilities (2)      |   |                            | 95     | % |   |   | 93 | % |
| Average      Capacity Factor for Combined Cycle Facilities (3) |   |                            | 44     | % |   |   | 29 | % |
| Average      Quoted On-Peak Market Power Prices ($/MWh) (4):   |   |                            |   |   |   |   |   |   |
| New      York—Zone G                                     |   | $                               | 44     |   |   | $ | 113 |   |
| New      York—Zone A                                     |   | $                               | 29     |   |   | $ | 76 |   |
| Mass      Hub                                                  |   | $                               | 37     |   |   | $ | 95 |   |
| Average      Market Spark Spreads ($/MWh) (5):                 |   |                            |   |   |   |   |   |   |
| New      York—Zone A                                     |   | $                               | 4      |   |   | $ | 10 |   |
| Mass      Hub                                                  |   | $                               | 13     |   |   | $ | 28 |   |
| Fuel      Oil                                                  |   | $                               | (72    | ) |   | $ | (60 | ) |
|                                                           |   |                            |   |   |   |   |   |   |
| Average      natural gas price—Henry Hub ($/MMBtu) (8)   |   | $                               | 3.15   |   |   | $ | 9.10 |   |

|   | (1) | Excludes      less than 0.1 million MWh generated by our Bluegrass power generation      facility, which is classified in discontinued operations, for each of the      periods. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Reflects      the percentage of generation available during periods when market prices      are such that these units could be profitably  dispatched. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | Reflects      actual production as a percentage of available      capacity.  Excludes the Arlington Valley and Griffith power      generation facilities which are reported as discontinued operations with      respect to the GEN-WE segment. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (4) | Reflects      the average of day-ahead quoted prices for the periods presented and does      not necessarily reflect prices realized byus. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | (5) | Reflects      the simple average of the spark spread available to a 7.0 MMBtu/MWh heat      rate generator selling power at day-ahead prices and buying delivered      natural gas or fuel oil at a daily cash market price and does not reflect      spark spreads available to us. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (6) | Includes      our ownership percentage in the MWh generated by our GEN-WE investment in      the Black Mountain power generation facility for the three months ended      September 30, 2009 and 2008,respectively. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (7) | Excludes      approximately 0.1 MWh generated by the Heard County power generation      facility, which we sold in April 2009, for the three months ended      September 30, 2008.  Excludes 0.5 MWh and 0.5 MWh generated by      our Arlington Valley power generation facility and 1.1 MWh and 1.0 MWh      generated by our Griffith power generation facility, which are      collectively classified in discontinued operations, for the three months      ended September 30, 2009 and 2008respectively. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (8) | Reflects      the average of daily quoted prices for the periods presented and does not      reflect costs incurred by us. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------|

|                 |   | Three Months Ended September 30,      2009 |   |
|----------------------|--------|--------------------------------------------|--------|
|                 |   | Power Generation                           |   |   |   |   |   |   |   |
|                 |   | GEN-MW                                     |   |   | GEN-WE |   |   | GEN-NE |   |   | Other |   |   | Total |   |
|                 |   | (in      millions)                         |   |
|                 |   |                                       |   |
| Impairments      (1) |   | $                                          | (147   | ) |   | $ | (235 | ) |   | $ | (1 | ) |   | $ | — |   |   | $ | (383 | ) |
|                 |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                |   | $                                          | (147   | ) |   | $ | (235 | ) |   | $ | (1 | ) |   | $ | — |   |   | $ | (383 | ) |

|   | (1) | Includes      $235 million of impairment charges related to our Arizona power generation      facilities which are included in discontinued  operations. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|                               |   | Three Months Ended September 30,      2008 |   |
|------------------------------------|--------|--------------------------------------------|--------|
|                               |   | Power Generation                           |   |   |   |   |   |   |   |
|                               |   | GEN-MW                                     |   |   | GEN-WE |   |   | GEN-NE |   |   | Other |   |   | Total |   |
|                               |   | (in      millions)                         |   |
| Gain      on sale of Rolling Hills |   | $                                          | 57     |   |   | $ | — |   |   | $ | — |   |   | $ | — |   |   | $ | 57 |   |
|                               |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                              |   | $                                          | 57     |   |   | $ | — |   |   | $ | — |   |   | $ | — |   |   | $ | 57 |   |

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Table of Contents

|   | · | Mark-to-market      losses – GEN-MW’s results for the three months ended September 30, 2009      included mark-to-market losses of $44 million related to forward sales,      compared to $568 million of mark-to-market gains for the three months      ended September 30, 2008.  Of the $44 million in 2009      mark-to-market losses, $92 million of losses related to positions that      settled or will settle in 2009, partly offset by $48 million of gains      related to positions that will settle in 2010 and  beyond; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreased      volumes —Generated volumes decreased by 7 percent, from 7.1 million MWh      for the three months ended September 30, 2008, to 6.6 million MWh for the      three months ended September 30, 2009;and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Results      were favorably impacted in 2008 by $7 million from the sale of emission      credits. |
|--------|--------|----------------------------------------------------------------------------------------------------|

|   | · | A      $50 million payment received to assign our rights to a third party      pursuant to a power sales agreement.  This agreement would have      been in effect through 2011; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Benefit      of economic hedging activity – The average actual on-peak prices in the      Cin Hub pricing region decreased from $74 per MWh for the three months      ended September 30, 2008 to $31 per MWh for the three months ended      September 30, 2009.  However, the impact of lower market prices      was mitigated by economic hedging, resulting in realized prices that were      higher in the three months ended September 30, 2009 than in the three      months ended September 30, 2008. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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Table of Contents

|   | · | Mark-to-market      losses – GEN-WE’s results for the three months ended September 30, 2009      included mark-to-market losses of $33 million, compared to $122 million of      mark-to-market gains for the three months ended September 30,      2008.  Of the $33 million in 2009 mark-to-market losses, $3      million related to positions that settled or will settle in 2009, and the      remaining $30 million related to positions that will settle in 2010 and      beyond; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreased      volumes - Generated volumes were 2.4 million MWh for the three months      ended September 30, 2009, down from 2.6 million MWh for the three months      ended September 30, 2008.  The volume decrease was driven in      large part by decreased market spark spreads and reduced dispatch      opportunities. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Mark-to-market      losses – GEN-NE’s results for the three months ended September 30, 2009      included mark-to-market losses of $45 million related to forward sales,      compared to gains of $175 million for the three months ended September 30,      2008.  Of the $45 million in 2009 mark-to-market losses, $31      million related to positions that settled or will settle in 2009, and the      remaining $14 million related to positions that will settle in 2010 and      beyond; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreased      prices – On-peak market prices in New York Zone G, New York Zone A and      Mass Hub decreased by 61 percent, 62 percent and 61 percent, respectively,      resulting in compressed spreads.  The decrease in New York Zone      G prices led to a decrease in generated volumes at our Danskammer power      generation facility. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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Table of Contents

|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 1,085   |   |   | $      | 293     |   |   | $ | 652 |   |   | $ | (3 | ) |   | $ | 2,027 |   |
| Cost      of sales                                                                                                     |   |             | (389    | )      |   |   | (121    | )      |   |   | (417 | ) |   |   | — |   |   |   | (927 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (165    | )      |   |   | (76     | )      |   |   | (135 | ) |   |   | 3 |   |   |   | (373 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (165    | )      |   |   | (45     | )      |   |   | (39 | ) |   |   | (9 | ) |   |   | (258 | ) |
| Goodwill      impairments                                                                                              |   |             | (76     | )      |   |   | (260    | )      |   |   | (97 | ) |   |   | — |   |   |   | (433 | ) |
| Impairment      and other charges, exclusive of goodwill impairments shown separately      above                       |   |             | (147    | )      |   |   | — |   |   |   | (388 | ) |   |   | — |   |   |   | (535 | ) |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (125 | ) |   |   | (125 | ) |
| Operating      income (loss)                                                                                           |   | $                | 143     |   |   | $      | (209    | )      |   | $ | (424 | ) |   | $ | (134 | ) |   | $ | (624 | ) |
| Earnings      from unconsolidated investments                                                                          |   |             | — |   |   |   | 12      |   |   |   | — |   |   |   | 1 |   |   |   | 13 |   |
| Other      items, net                                                                                                  |   |             | 2       |   |   |   | 3       |   |   |   | — |   |   |   | 5 |   |   |   | 10 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (311 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes                                                               |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (912 | ) |
| Income      tax benefit                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 147 |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (765 | ) |
| Loss      from discontinued operations, net of taxes                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (141 | ) |
| Net      loss                                                                                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (906 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (14 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Inc.                                                                              |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (892 | ) |

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Table of Contents

|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 1,226   |   |   | $      | 556     |   |   | $ | 772 |   |   | $ | (4 | ) |   | $ | 2,550 |   |
| Cost      of sales                                                                                                     |   |             | (455    | )      |   |   | (334    | )      |   |   | (547 | ) |   |   | 10 |   |   |   | (1,326 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (146    | )      |   |   | (72     | )      |   |   | (143 | ) |   |   | 17 |   |   |   | (344 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (153    | )      |   |   | (57     | )      |   |   | (41 | ) |   |   | (7 | ) |   |   | (258 | ) |
| Gain      on sale of assets, net                                                                                       |   |             | 57      |   |   |   | 11      |   |   |   | — |   |   |   | 15 |   |   |   | 83 |   |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (126 | ) |   |   | (126 | ) |
| Operating      income (loss)                                                                                           |   | $                | 529     |   |   | $      | 104     |   |   | $ | 41 |   |   | $ | (95 | ) |   | $ | 579 |   |
| Losses      from unconsolidated investments                                                                            |   |             | — |   |   |   | (7      | )      |   |   | — |   |   |   | (10 | ) |   |   | (17 | ) |
| Other      items, net                                                                                                  |   |             | — |   |   |   | 5       |   |   |   | 5 |   |   |   | 36 |   |   |   | 46 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (322 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 286 |   |
| Income      tax expense                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (121 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                                                                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 165 |   |
| Income      from discontinued operations, net of tax                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 13 |   |
| Net      income                                                                                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 178 |   |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (3 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Inc.                                                                            |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 181 |   |

----

Table of Contents

|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 1,085   |   |   | $      | 293     |   |   | $ | 652 |   |   | $ | (3 | ) |   | $ | 2,027 |   |
| Cost      of sales                                                                                                     |   |             | (389    | )      |   |   | (121    | )      |   |   | (417 | ) |   |   | — |   |   |   | (927 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (165    | )      |   |   | (76     | )      |   |   | (135 | ) |   |   | 1 |   |   |   | (375 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (165    | )      |   |   | (45     | )      |   |   | (39 | ) |   |   | (9 | ) |   |   | (258 | ) |
| Goodwill      impairments                                                                                              |   |             | (76     | )      |   |   | (260    | )      |   |   | (97 | ) |   |   | — |   |   |   | (433 | ) |
| Impairment      and other charges, exclusive of goodwill impairments shown separately      above                       |   |             | (147    | )      |   |   | — |   |   |   | (388 | ) |   |   | — |   |   |   | (535 | ) |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (125 | ) |   |   | (125 | ) |
| Operating      income (loss)                                                                                           |   | $                | 143     |   |   | $      | (209    | )      |   | $ | (424 | ) |   | $ | (136 | ) |   | $ | (626 | ) |
| Earnings      from unconsolidated investments                                                                          |   |             | — |   |   |   | 12      |   |   |   | — |   |   |   | — |   |   |   | 12 |   |
| Other      items, net                                                                                                  |   |             | 2       |   |   |   | 3       |   |   |   | — |   |   |   | 4 |   |   |   | 9 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (311 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations before income taxes                                                               |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (916 | ) |
| Income      tax benefit                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 152 |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loss      from continuing operations                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (764 | ) |
| Loss      from discontinued operations, net of taxes                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (141 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss                                                                                                          |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (905 | ) |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (14 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss attributable to Dynegy Holdings Inc.                                                                     |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | (891 | ) |

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|                                                                                                                   |   | Power Generation |    |   |   |   |    |   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                                   |   | GEN-MW           |    |   | GEN-WE |   |    | GEN-NE |   |   | Other |   |   | Total |   |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |
| Revenues                                                                                                               |   | $                | 1,226   |   |   | $      | 556     |   |   | $ | 772 |   |   | $ | (4 | ) |   | $ | 2,550 |   |
| Cost      of sales                                                                                                     |   |             | (455    | )      |   |   | (334    | )      |   |   | (547 | ) |   |   | 10 |   |   |   | (1,326 | ) |
| Operating      and maintenance expense, exclusive of depreciation and amortization      expense shown separately below |   |             | (146    | )      |   |   | (72     | )      |   |   | (143 | ) |   |   | 17 |   |   |   | (344 | ) |
| Depreciation      and amortization expense                                                                             |   |             | (153    | )      |   |   | (57     | )      |   |   | (41 | ) |   |   | (7 | ) |   |   | (258 | ) |
| Gain      on sale of assets                                                                                            |   |             | 57      |   |   |   | 11      |   |   |   | — |   |   |   | 15 |   |   |   | 83 |   |
| General      and administrative expense                                                                                |   |             | — |   |   |   | — |   |   |   | — |   |   |   | (126 | ) |   |   | (126 | ) |
| Operating      income (loss)                                                                                           |   | $                | 529     |   |   | $      | 104     |   |   | $ | 41 |   |   | $ | (95 | ) |   | $ | 579 |   |
| Losses      from unconsolidated investments                                                                            |   |             | — |   |   |   | (7      | )      |   |   | — |   |   |   | — |   |   |   | (7 | ) |
| Other      items, net                                                                                                  |   |             | — |   |   |   | 5       |   |   |   | 5 |   |   |   | 35 |   |   |   | 45 |   |
| Interest      expense                                                                                                  |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (322 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations before income taxes                                                             |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 295 |   |
| Income      tax expense                                                                                                |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (127 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      from continuing operations                                                                                 |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 168 |   |
| Income      from discontinued operations, net of tax                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 13 |   |
| Net      income                                                                                                        |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | 181 |   |
| Less:      Net loss attributable to the noncontrolling interests                                                       |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   | (3 | ) |
|                                                                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income attributable to Dynegy Holdings Inc.                                                                   |   |             |    |   |   |   |    |   |   |   |   |   |   |   |   |   |   | $ | 184 |   |

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|                                                           |   | Nine Months EndedSeptember 30, |   |
|----------------------------------------------------------------|--------|--------------------------------|--------|
|                                                           |   | 2009                           |   |   | 2008 |   |
| GEN-MW                                                         |   |                           |   |   |   |   |
| Million      Megawatt Hours Generated (1)                      |   |                           | 19.1   |   |   |   | 18.5 |   |
| In      Market Availability for Coal Fired Facilities (2)      |   |                           | 89     | % |   |   | 89 | % |
| Average      Capacity Factor for Combined Cycle Facilities (3) |   |                           | 32     | % |   |   | 17 | % |
| Average      Quoted On-Peak Market Power Prices ($/MWh) (4):   |   |                           |   |   |   |   |   |   |
| Cinergy      (Cin Hub)                                         |   | $                              | 35     |   |   | $ | 73 |   |
| Commonwealth      Edison (NI Hub)                              |   | $                              | 34     |   |   | $ | 72 |   |
| PJM      West                                                  |   | $                              | 45     |   |   | $ | 91 |   |
| Average      Market Spark Spreads ($/MWh) (5):                 |   |                           |   |   |   |   |   |   |
| PJM      West                                                  |   | $                              | 13     |   |   | $ | 17 |   |
|                                                           |   |                           |   |   |   |   |   |   |
| GEN-WE                                                         |   |                           |   |   |   |   |   |   |
| Million      Megawatt Hours Generated (6) (7)                  |   |                           | 4.7    |   |   |   | 6.5 |   |
| Average      Capacity Factor for Combined Cycle Facilities (3) |   |                           | 44     | % |   |   | 65 | % |
| Average      Quoted On-Peak Market Power Prices ($/MWh) (4):   |   |                           |   |   |   |   |   |   |
| North      Path 15 (NP 15)                                     |   | $                              | 36     |   |   | $ | 88 |   |
| Average      Market Spark Spreads ($/MWh) (5):                 |   |                           |   |   |   |   |   |   |
| North      Path 15 (NP 15)                                     |   | $                              | 8      |   |   | $ | 20 |   |
|                                                           |   |                           |   |   |   |   |   |   |
| GEN-NE                                                         |   |                           |   |   |   |   |   |   |
| Million      Megawatt Hours Generated                          |   |                           | 7.8    |   |   |   | 5.7 |   |
| In      Market Availability for Coal Fired Facilities (2)      |   |                           | 94     | % |   |   | 92 | % |
| Average      Capacity Factor for Combined Cycle Facilities (3) |   |                           | 44     | % |   |   | 25 | % |
| Average      Quoted On-Peak Market Power Prices ($/MWh) (4):   |   |                           |   |   |   |   |   |   |
| New      York—Zone G                                     |   | $                              | 50     |   |   | $ | 111 |   |
| New      York—Zone A                                     |   | $                              | 36     |   |   | $ | 73 |   |
| Mass      Hub                                                  |   | $                              | 45     |   |   | $ | 100 |   |
| Average      Market Spark Spreads ($/MWh) (5):                 |   |                           |   |   |   |   |   |   |
| New      York—Zone A                                     |   | $                              | 5      |   |   | $ | 2 |   |
| Mass      Hub                                                  |   | $                              | 11     |   |   | $ | 25 |   |
| Fuel      Oil                                                  |   | $                              | (45    | ) |   | $ | (45 | ) |
|                                                           |   |                           |   |   |   |   |   |   |
| Average      natural gas price—Henry Hub ($/MMBtu) (8)   |   | $                              | 3.80   |   |   | $ | 9.67 |   |

|   | (1) | Excludes      approximately 0.1 million MWh and less than 0.1 million MWh generated by      our Bluegrass power generation facility, which is classified in      discontinued operations, for the nine months ended September 30, 2009 and      2008, respectively. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Reflects      the percentage of generation available during periods when market prices      are such that these units could be profitably  dispatched. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | Reflects      actual production as a percentage of available      capacity.  Excludes Arlington Valley and Griffith power      generation facilities which are reported as discontinued operations with      respect to the GEN-WE segment. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (4) | Reflects      the average of day-ahead quoted prices for the periods presented and does      not necessarily reflect prices realized byus. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | (5) | Reflects      the simple average of the spark spread available to a 7.0 MMBtu/MWh heat      rate generator selling power at day-ahead prices and buying delivered      natural gas or fuel oil at a daily cash market price and does not reflect      spark spreads available to us. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (6) | Includes      our ownership percentage in the MWh generated by our GEN-WE investment in      the Black Mountain power generation facility for the nine months ended      September 30, 2009 and 2008,respectively. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (7) | Excludes      less than 0.1 MWh generated by the Heard County power generation facility,      which we sold in April 2009, for the nine months ended September, 30, 2009      and 2008, respectively.  Excludes  approximately 0.7      MWh and 0.8 MWh generated by our Arlington Valley power generation      facility and 1.4 MWh and 1.6 MWh generated by our Griffith power      generation facility, which are collectively classified in discontinued      operations, for the nine months ended September 30, 2009 and 2008      respectively. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | (8) | Reflects      the average of daily quoted prices for the periods presented and does not      reflect costs incurred by us. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------|

|                                      |   | Nine Months Ended September 30,      2009 |    |
|-------------------------------------------|--------|-------------------------------------------|---------|
|                                      |   | Power Generation                          |    |   |   |   |   |   |   |
|                                      |   | GEN-MW                                    |    |   | GEN-WE |   |   | GEN-NE |   |   | Other |   |   | Total |   |
|                                      |   | (in      millions)                        |    |
| Impairments      (1)                      |   | $                                         | (246    | ) |   | $ | (495 | ) |   | $ | (485 | ) |   | $ | — |   |   | $ | (1,226 | ) |
| Sandy      Creek mark-to-market gains (2) |   |                                      | — |   |   |   | 20 |   |   |   | — |   |   |   | — |   |   |   | 20 |   |
| Gain      on sale of Heard County (3)     |   |                                      | — |   |   |   | 10 |   |   |   | — |   |   |   | — |   |   |   | 10 |   |
| Taxes      (4)                            |   |                                      | — |   |   |   | — |   |   |   | — |   |   |   | (22 | ) |   |   | (22 | ) |
|                                      |   |                                      |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total—DHI                           |   |                                      | (246    | ) |   |   | (465 | ) |   |   | (485 | ) |   |   | (22 | ) |   |   | (1,218 | ) |
| Taxes                                     |   |                                      | — |   |   |   | — |   |   |   | — |   |   |   | (9 | ) |   |   | (9 | ) |
|                                      |   |                                      |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total—Dynegy                        |   | $                                         | (246    | ) |   | $ | (465 | ) |   | $ | (485 | ) |   | $ | (31 | ) |   | $ | (1,227 | ) |

|   | (1) | Includes      $258 million of impairment charges related to our Arizona and Bluegrass      power generation facilities which are included in discontinued      operations. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | These      mark-to-market gains represent our 50 percent  share. |
|--------|-----|------------------------------------------------------------------|

|   | (3) | Presented      in discontinued operations. |
|--------|-----|--------------------------------------------|

|   | (4) | Includes      charges of $21 million for Dynegy and $15 million for DHI related to a      change in a California state tax law.  Also includes $10 million      for Dynegy and $7 million for DHI due to revised assumptions around the      ability to utilize certain state deferred tax  assets. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                      |   | Nine Months Ended September 30,      2008 |    |
|-----------------------------------------------------------|--------|-------------------------------------------|---------|
|                                                      |   | Power Generation                          |    |   |   |   |   |   |   |
|                                                      |   | GEN-MW                                    |    |   | GEN-WE |   |   | GEN-NE |   |   | Other |   |   | Total |   |
|                                                      |   | (in      millions)                        |    |
| Gain      on sale of Rolling Hills                        |   | $                                         | 57      |   |   | $ | — |   |   | $ | — |   |   | $ | — |   |   | $ | 57 |   |
| Release      of state sales and franchise tax liabilities |   |                                      | — |   |   |   | — |   |   |   | — |   |   |   | 16 |   |   |   | 16 |   |
| Gain      on sale of NYMEX shares                         |   |                                      | — |   |   |   | — |   |   |   | — |   |   |   | 15 |   |   |   | 15 |   |
| Gain      on sale of Oyster Creek ownership interest      |   |                                      | — |   |   |   | 11 |   |   |   | — |   |   |   | — |   |   |   | 11 |   |
| Gain      on sale of Sandy Creek ownership interest       |   |                                      | — |   |   |   | 13 |   |   |   | — |   |   |   | — |   |   |   | 13 |   |
|                                                      |   |                                      |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                     |   | $                                         | 57      |   |   | $ | 24 |   |   | $ | — |   |   | $ | 31 |   |   | $ | 112 |   |

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|   | · | Mark-to-market      losses – GEN-MW’s results for the nine months ended September 30, 2009      included mark-to-market losses of $4 million related to forward sales,      compared to $89 million of mark-to-market gains for the nine months ended      September 30, 2008.  Of the $4 million in 2009 mark-to-market      losses, $53 million of losses related to positions that settled or will      settle in 2009, partly offset by $49 million of gains related to positions      that will settle in 2010 andbeyond; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | · | Decreased toll revenues -      Tolling and capacity revenues decreased by $12 million as a result of      expiring contracts at our Kendall and Rocky Road power generation      facilities; |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increased      operating expense – operating expense increased from $146 million for      the nine months ended September 30, 2008 to $165 million for the nine      months ended September 30, 2009, primarily as a result of planned outages      at our coal-fired power generating facilities;  and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Lower      revenues of $13 million from sales of emissions  credits. |
|--------|--------|----------------------------------------------------------------------|

|   | · | A      $50 million payment received to assign our rights to a third party      pursuant to a power sales agreement.  This contract would have      been in effect through 2011; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increased      volumes – Generated volumes increased by 3 percent, from 18.5 million MWh      for the nine months ended September 30, 2008, to 19.1 million MWh for the      nine months ended September 30, 2009.  The increase in volumes      was primarily driven by lower natural gas prices and higher market heat      rates at our Kendall and Ontelaunee facilities partially offset by outages      at our coal fired facilities; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Additional      capacity sales of approximately $37 million, as a result of improved      capacity prices for 2009 compared with 2008;and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Benefit      of hedging activity – The average actual on-peak prices in the Cin Hub      pricing region decreased from $73 per MWh for the nine months ended      September 30, 2008 to $35 per MWh for the nine months ended September 30,      2009.  However, the impact of lower market prices was mitigated      by economic hedging, resulting in higher realized prices that were higher      in the nine months ended September 30, 2009 than in the nine months ended      September 30, 2008; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Mark-to-market      losses – GEN-WE’s results for the nine months ended September 30, 2009      included mark to-market losses of $52 million, compared to $42 million of      mark-to-market gains for the nine months ended September 30,      2008.  Of the $52 million in 2009 mark-to-market losses, $18      million related to positions that settled or will settle in 2009, and the      remaining $34 million related to positions that will settle in 2010 and      beyond; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreased      volumes – Generated volumes were 4.7 million MWh for the nine months ended      September 30, 2009, down from 6.5 million MWh for the nine months ended      September 30, 2008.  The volume decrease was driven in large      part by decreased market spark spreads and reduced dispatch      opportunities. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Additional      capacity sales of $9 million; |
|--------|--------|-----------------------------------------------|

|   | · | Increased      sales of emission credits of $8million; |
|--------|--------|--------------------------------------------------------|

|   | · | Increased      volumes – Volumes produced by our natural gas-fired combined cycle fleet      increased as a result of reduced congestion and improved dispatch      opportunities at our Independence facility, as well as a reduction in      transmission outages at our Casco Bayfacility; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Reduced      mark-to-market losses – GEN-NE’s results for the nine months ended      September 30, 2009 included mark-to-market losses of $8 million related to      forward sales, compared to losses of $9 million for the nine months ended      September 30, 2008.  Of the $8 million in 2009 mark-to-market      losses, $7 million in gains related to positions that settled or will      settle in 2009, offset by $15 million of losses related to positions that      will settle in 2010 and beyond; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Reduced      operating expense of $8 million, largely as a result of a reduction in      property taxes. |
|--------|--------|----------------------------------------------------------------------------------------------------------|

|   | · | A      coal inventory write-down of approximately $11 million recorded during the      nine months ended September 30, 2009;and |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------|

|   | · | Lower      market prices – on-peak market prices in New York Zone G and Mass Hub      decreased by 55 percent in each of these  regions. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                       |   | As of and for theNine Months Ended September 30,      2009 |    |
|--------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------|---------|
|                                                                                       |   | (in      millions)                                              |    |
| Balance      Sheet Risk-Management Accounts                                                |   |                                                            |    |
| Fair      value of portfolio at January 1, 2009                                            |   | $                                                               | (30     | ) |
| Risk-management      gains recognized through the income statement in the period,      net |   |                                                            | 297     |   |
| Cash      received related to risk-management contracts settled in the period,      net    |   |                                                            | (359    | ) |
| Changes      in fair value as a result of a change in valuation technique      (1)         |   |                                                            | — |   |
| Non-cash      adjustments and other (2)                                                    |   |                                                            | 176     |   |
|                                                                                       |   |                                                            |    |   |
| Fair      value of portfolio at September 30, 2009 (3)                                     |   | $                                                               | 84      |   |

|   | (1) | Our      modeling methodology has been consistently  applied. |
|--------|-----|---------------------------------------------------------------|

|   | (2) | This      amount consists of changes in value associated with fair value and cash      flow hedges on debt. |
|--------|-----|-------------------------------------------------------------------------------------------------------------|

|   | (3) | Includes      $9 million of risk management assets classified as held for sale as of      September 30, 2009. |
|--------|-----|---------------------------------------------------------------------------------------------------------------|

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|                        |   | Total              |   |   | 2009   |   |   | 2010   |   |   | 2011   |   |   | 2012   |   |   | 2013   |   |    | Thereafter |   |
|-----------------------------|--------|--------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|---------|------------|--------|
|                        |   | (in      millions) |   |
| Market      quotations (1)  |   | $                  | 114    |   |   | $      | 80     |   |   | $      | 55     |   |   | $      | (21    | )      |   | $      | — |       |   | $ | — |   |   | $ | — |   |
| Prices      based on models |   |               | (30    | )      |   |   | 12     |   |   |   | 19     |   |   |   | (30    | )      |   |   | (4      | )          |   |   | (3 | ) |   |   | (24 | ) |
|                        |   |               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |    |       |   |   |   |   |   |   |   |   |
| Total      (2)              |   | $                  | 84     |   |   | $      | 92     |   |   | $      | 74     |   |   | $      | (51    | )      |   | $      | (4      | )          |   | $ | (3 | ) |   | $ | (24 | ) |

|   | (1) | Prices      obtained from actively traded, liquid markets for    commodities. |
|--------|-----|-------------------------------------------------------------------------------|

|   | (2) | The      market quotations and prices based on models categorization differs from      the fair value accounting standards’ categories of Level 1, Level 2 and      Level 3 due to the application of the different      methodologies.  Please see Note 5—Fair Value Measurements for      further discussion. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | beliefs      and expectations regarding the benefits to be derived from the transaction      with LS Power, expected use of any proceeds from the transaction and any      impairments and charges related to such  transaction; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | · | beliefs      and expectations regarding the closing of the LS power transaction and the      timing, terms and success thereof; |
|--|--------|---------------------------------------------------------------------------------------------------------------------------------|

|   | · | the      timing and anticipated benefits to be achieved through our 2010-2013      company-wide cost savings program; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | beliefs      about commodity pricing and generationvolumes; |
|--------|--------|-------------------------------------------------------------|

|   | · | beliefs      and assumptions relating to liquidity, available borrowing capacity and      capital resources generally; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

|   | · | expectations      regarding environmental matters, including costs of compliance,      availability and adequacy of emission credits, and the impact of ongoing      proceedings and potential regulations or changes to current regulations,      including those relating to climatechange; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | sufficiency      of, access to and costs associated with coal, fuel oil and natural gas      inventories and transportationthereof; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|   | · | beliefs      and assumptions about market competition, generation capacity and regional      supply and demand characteristics of the wholesale power generation      market; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the      effectiveness of our strategies to capture opportunities presented by      changes in commodity prices and to manage our exposure to energy price      volatility; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | beliefs      and assumptions about weather and general economic    conditions; |
|--------|--------|--------------------------------------------------------------------------------|

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|   | · | beliefs      regarding the current economic downturn, its trajectory and its      impacts; |
|--------|--------|--------------------------------------------------------------------------------------------|

|   | · | beliefs      and expectations associated with minimum generation events and the impact      of wind generation in the Midwest; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | · | projected      operating or financial results, including anticipated cash flows from      operations, revenues andprofitability; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------|

|   | · | beliefs      associated with Dynegy’s marketcapitalization; |
|--------|--------|-------------------------------------------------------------------|

|   | · | beliefs      and expectations regarding financing and associated credit ratings,      development and timing of the Plum Point  Project; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | expectations      regarding our revolver capacity, collateral demands, capital expenditures,      interest expense and otherpayments; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------|

|   | · | our      focus on safety and our ability to efficiently operate our assets so as to      maximize our revenue generating opportunities and operating      margins; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | beliefs      about the outcome of legal, regulatory, administrative and legislative      matters; |
|--------|--------|---------------------------------------------------------------------------------------------------|

|   | · | expectations      and estimates regarding capital and maintenance expenditures, including      the Midwest Consent Decree and its associated costs;  and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the      impact of executing, or failing to execute, any acquisition, disposition      or combination transactions. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------|

3—

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|                                                                          |   | September 30, 2009 |   |   | December 31,2008 |   |
|-------------------------------------------------------------------------------|--------|-------------------------|--------|--------|-----------------------|--------|
|                                                                          |   | (in      millions)      |   |
| One      day VaR—95 percent confidence level                            |   | $                       | 41     |   |                  | $      | 21 |   |
| One      day VaR—99 percent confidence level                            |   | $                       | 58     |   |                  | $      | 29 |   |
| Average      VaR for the year-to-date period—95 percent confidencelevel |   | $                       | 32     |   |                  | $      | 42 |   |

|                                      |   | InvestmentGrade Quality |    |   | Non-Investment GradeQuality |   |    | Total  |   |
|-------------------------------------------|--------|-------------------------|---------|--------|-----------------------------|--------|---------|--------|--------|
|                                      |   |                    |    |   |                        |   |    |   |   |
|                                      |   |                    |    |   | (in      millions)          |   |    |   |   |
| Type      of Business:                    |   |                    |    |   |                        |   |    |   |   |
| Financial      institutions               |   | $                       | 76      |   |                        | $      | — |   |   | $ | 76 |   |
| Utility      and power generators         |   |                    | 14      |   |                        |   | 5       |   |   |   | 19 |   |
| Commercial,      industrial and end users |   |                    | — |   |                        |   | 5       |   |   |   | 5 |   |
| Other                                     |   |                    | 1       |   |                        |   | 2       |   |   |   | 3 |   |
|                                      |   |                    |    |   |                        |   |    |   |   |   |   |   |
| Total                                     |   | $                       | 91      |   |                        | $      | 12      |   |   | $ | 103 |   |

|                                                                       |   | September 30,2009 |    |   | December 31,2008 |   |
|----------------------------------------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
| Cash      flow hedge interest rate swaps (in millions of U.S.    dollars)  |   | $                      | — |   |                  | $      | 471 |   |
| Fixed      interest rate paid on swaps (percent)                           |   |                   | — |   |                  |   | 5.32 |   |
| Fair      value hedge interest rate swaps (in millions of U.S.    dollars) |   | $                      | 25      |   |                  | $      | 25 |   |
| Fixed      interest rate received on swaps (percent)                       |   |                   | 5.70    |   |                  |   | 5.70 |   |
| Interest      rate risk-management contract (in millions of U.S.dollars)   |   | $                      | 763     |   |                  | $      | 231 |   |
| Fixed      interest rate paid on swaps (percent)                           |   |                   | 5.33    |   |                  |   | 5.35 |   |
| Interest      rate risk-management contract (in millions of U.S.dollars)   |   | $                      | 206     |   |                  | $      | 206 |   |
| Fixed      interest rate received on swaps (percent)                       |   |                   | 5.28    |   |                  |   | 5.28 |   |

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 4—CONTROLS 

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Table of Contents

 1—

1A—

2—

| Period              |   | (a)Total      Number of Shares Purchased |    |   | (b)AveragePrice      Paidper Share |   |    | (c)Total      Number of Shares Purchased as Part of Publicly Announced Plans or Programs |   |   | (d)Maximum      Number of Shares that May Yet Be Purchased Under the Plans or Programs |   |
|---------------------|--------|------------------------------------------|---------|--------|------------------------------------|--------|---------|------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------|--------|
| July      1-31      |   |                                     | — |   |                               | $      | — |                                                                                     |   |   | —                                                                                |   |   |   | N/A |   |
| August      1-31    |   |                                     | 77      |   |                               | $      | 1.83    |                                                                                     |   |   | —                                                                                |   |   |   | N/A |   |
| September      1-30 |   |                                     | — |   |                               | $      | — |                                                                                     |   |   | —                                                                                |   |   |   | N/A |   |
|                |   |                                     |    |   |                               |   |    |                                                                                     |   |   |                                                                                   |   |   |   |   |   |
| Total               |   |                                     | 77      |   |                               | $      | 1.83    |                                                                                     |   |   | —                                                                                |   |   |   | N/A |   |

6—

| Exhibit Number |   | Description                                                                                                                                                                                                                                                    |
|----------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.1            |   | Purchase      and Sale Agreement, dated August 9, 2009 (incorporated by reference to      Exhibit 2.1 to the Current Report on Form 8-K of Dynegy Inc. filed on      August 13, 2009, File No. 001-33443).                                                     |
| 10.1           |   | Amendment      No. 4 to the Fifth Amended and Restated Credit Agreement dated as of April      2, 2007 (incorporated by reference to Exhibit 10.1 to the Current Report      on Form 8-K of Dynegy Inc. filed on August 10, 2009, File No.      001-33443).    |
| 10.2           |   | Shareholder      Agreement between Dynegy Inc. and LS Power and its affiliates, dated      August 9, 2009 (incorporated by reference to Exhibit 10.1 to the Current      Report on Form 8-K of Dynegy Inc. filed on August 13, 2009, File No.      001-33443). |

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| Exhibit Number |   | Description                                                                                                                                                                                                                                                                                                                    |
|----------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.3           |   | Amendment      No. 1 to the Registration Rights Agreement dated September 14, 2006 by and      between Dynegy Inc. and LS Power and affiliates, dated August 9, 2009      (incorporated by reference to Exhibit 10.2 to the Current Report on Form      8-K of Dynegy Inc. filed on August 13, 2009, File No.      001-33443). |
| 10.4           |   | Note      Purchase Agreement by and between Dynegy Holdings Inc. and Adio Bond, LLC,      dated August 9, 2009 (incorporated by reference to Exhibit 10.3 to the      Current Report on Form 8-K of Dynegy Inc. filed on August 13, 2009, File      No. 001-33443).                                                            |
| **31.1         |   | Chief      Executive Officer Certification Pursuant to Rule 13a-14(a) and 15d-14(a),      As Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                           |
| **31.1(a)      |   | Chief      Executive Officer Certification Pursuant to Rule 13a-14(a) and 15d-14(a),      As Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                           |
| **31.2         |   | Chief      Financial Officer Certification Pursuant to Rule 13a-14(a) and 15d-14(a),      As Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                           |
| **31.2(a)      |   | Chief      Financial Officer Certification Pursuant to Rule 13a-14(a) and 15d-14(a),      As Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                           |
| †32.1    |   | Chief      Executive Officer Certification Pursuant to 18 United States Code Section      1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                     |
| †32.1(a) |   | Chief      Executive Officer Certification Pursuant to 18 United States Code Section      1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                     |
| †32.2    |   | Chief      Financial Officer Certification Pursuant to 18 United States Code Section      1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                     |
| †32.2(a) |   | Chief      Financial Officer Certification Pursuant to 18 United States Code Section      1350, As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002.                                                                                                                                                     |

|   | ** | Filed      herewith. |
|--------|----|----------------------|

|   | † | Pursuant      to Securities and Exchange Commission Release No. 33-8238, this      certification will be treated as “accompanying” this report and not      “filed” as part of such report for purposes of Section 18 of the      Securities Exchange Act of 1934, as amended, or the Exchange Act, or      otherwise subject to the liability of Section 18 of the Exchange Act, and      this certification will not be deemed to be incorporated by reference into      any filing under the Securities Act of 1933, as amended, or the Exchange      Act. |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                        |   | DYNEGY      INC.                                                                                                                              |
|-----------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------|
|                        |   |                                                                                                                                          |
| Date:      November 5, 2009 | By:    | /s/    HOLLI C. NICHOLS                                                                                                   |
|                        |   | Holli      C. NicholsExecutive      Vice President and Chief Financial Officer(Duly      Authorized Officer and Principal Financial  Officer) |

|                        |   | DYNEGY      HOLDINGS INC.                                                                                                                     |
|-----------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------|
|                        |   |                                                                                                                                          |
| Date:      November 5, 2009 | By:    | /s/    HOLLI C. NICHOLS                                                                                                   |
|                        |   | Holli      C. NicholsExecutive      Vice President and Chief Financial Officer(Duly      Authorized Officer and Principal Financial  Officer) |

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