All independence standards have been met and
sound practices are employed to ensure strong,
independent financial governance.
How to Vote
If you held shares of Xcel Energy common stock as of the record date (March 20, 2018), you are entitled to vote at the annual meeting.
By Internet — Go to the website at www.proxypush.com/xel, 24 hours a day, seven days a week. You will need the control number that appears on your proxy card or on your Notice of Internet Availability of Proxy Materials.
By Telephone — Call 1-866-883-3382, 24 hours a day, seven days a week. You will need the control number that appears on your proxy card.
By Mail — If you received a full paper set of materials, date and sign your proxy card exactly as your name appears on your proxy card and mail it in the enclosed, postage-paid envelope. If you received a Notice of Internet Availability of Proxy Materials, you may request a proxy card by following the instructions in your Notice. You do not need to mail the proxy card if you are voting by Internet or telephone.
In Person — At the annual meeting.
Corporate Governance
Our proven track record of delivering strong financial and operational results is rooted in a foundation of excellent corporate governance and a culture of compliance.
Strong Governance Practices
Regular executive sessions
Tenure and overboarding policies
Annual Board and committee evaluations
Annual strategy and risk review
Good mix of diverse directors
with varied experience and
tenure
Board governance process for
cybersecurity
Direct Board interaction with
employee groups
Independent Oversight
11 independent directors
Lead Independent Director elected annually
Committees composed entirely of independent directors
New director elected
Committee assignments
refreshed
Commitment to robust
succession planning
Shareholder Rights
Directors elected by
majority vote
Annual advisory vote on
executive compensation
No supermajority approval
provisions
Proxy access right
Good mix of diverse directors
with varied experience and
tenure
Board governance process for
cybersecurity
Direct Board interaction with
employee groups
New director elected
Committee assignments
refreshed
Commitment to robust
succession planning
Direct governance outreach
to shareholders representing
more than 40% of outstanding
shares
Direct investor relations
outreach to active institutional
investors representing nearly
70% of shares
Governance Highlights
Our Board is composed of the right skill mix and has a healthy succession cadence.
9
Years Average Tenure
92%
Are Independent
33%
Are Female and/or Minority
92%
Have C-suite Experience
67%
Have Environmental Experience
Recognized for two consecutive years as one of Corporate Responsibility Magazine’s 100 Best Corporate
Citizens for performance related to the environment, employee relations, corporate governance, financial results and community support
Financial Results
Retaining the trust and confidence of our shareholders, customers and policymakers remains a top priority. Our 2017 results demonstrate our continued ability to deliver on that commitment.
Met or exceeded ongoing EPS
guidance for 13 consecutive years
Dividend
Growth
5.9%
4.4%
Increased dividend for 14
consecutive years
Stock Price
18.2%
8.3%
CAGR reflects YE 2005 to YE 2017
Honored on the Forbes Global 2000 list of Top Regarded Companies
(1) EEI index is market capitalization-weighted and was comprised of 43 companies as of December 31, 2017.
(2) Ongoing EPS is a non-GAAP number and is defined in Exhibit A, which reconciles this amount to GAAP EPS for each period.
Our Strategy
We strive to be the preferred and trusted provider of the energy our customers need. Given the changing energy
landscape, we will continually adapt our business to meet the evolving needs of our customers, investors and
policymakers. With oversight by our Board of Directors, we are working to do so through our three strategic
priorities—lead the clean energy transition, keep bills low and enhance the customer experience.
Priority
Notable Accomplishments
Lead the Clean Energy Transition
Notable Accomplishments
Announced the largest multi-state investment plan for wind
capacity in the country; plans for 12 new wind farms
Reduced carbon emissions by 35% since 2005, with plans to
reduce by 50% by 2022 and by approximately 60% by 2030,
assuming we are able to execute on our plans(3)
Named the No. 1 U.S. utility wind energy provider by the American
Wind Energy Association since 2005
Priority
Keep Bills Low
Notable Accomplishments
Average residential electricity bill has decreased by 3% since 2013
Held operating and maintenance expenses relatively flat for the past three years
Renegotiated biomass contracts that are estimated to save
customers in excess of $600 million over the next decade
Recognized by the Department of Energy for energy efficiency cooling programs that help customers save energy and money
Priority
Enhance the Customer Experience
Notable Accomplishments
Launched a program in Minnesota for customers to purchase up
to 100% renewable energy at a fixed price, with Colorado to follow in 2018
Helped customers save more than 1,000 gigawatt hours through
our energy efficiency programs
Honored by our customers with three awards for exceptional customer
service through the Edison Electric Institute
(3) Emissions reduction pecentage is calculated for electricity used to serve Xcel Energy customers.
Responsible by Nature
We see our success today and in the future not simply as a measure of profit but equally as our broader impact on the public good. The safe, clean, reliable and affordable energy we provide enables our local economies and individuals to thrive and communities across our territory to grow, develop and achieve their goals.
Priority
Plans and Progress
Environmental Responsibility
We are working to provide
cleaner energy in a way
that is affordable for our
customers.
Plans and Progress
Plan to grow renewables from 27% of our generation portfolio
today to more than 45% in 2022
Plan to retire over 40% of owned coal-fueled capacity by the end
of 2026, as compared to 2005 levels
Offer more than 150 energy efficiency and conservation programs
Reduced water consumption by more than 40%, sulfur dioxide
emissions by 72%, and nitrogen oxide emissions by 76%
since 2005
Priority
Community
Responsibility
We are committed to help
strengthen the communities
in which we live and work.
Plans and Progress
Employees and our Foundation donated more than $8 million
in 2017 in support of STEM education, economic stability,
environmental stewardship, and access to the arts and culture
Provided 71% of our normal goods and services spend—more
than $2.5 billion—to local businesses in 2017
Contributed funds back into our communities as a significant property taxpayer in the states where we live and work
Provided nearly $60 million in energy assistance for low-income,
elderly and other at-risk customers in 2017
Priority
Long-Term
View
Our investors look to us to
help them create a secure
future for their clients, and
we effectively manage risk
to retain that trust. We are
preparing for the long term:
our business will look different
in an increasingly digitized
world, requiring different
skills and investments.
Plans and Progress
Transitioning our generation portfolio to more renewable
sources, adding 3,680 megawatts of wind by the end of 2021
Operating our nuclear fleet to provide reliable, affordable, carbon-free energy for customers through license life
Investing over $1 billion in grid intelligence and security
in the next decade to enable more renewable and
distributed generation
Piloting and planning for more batteries and electric vehicles
as generation, storage and vehicle advancements occur
Investing in our workforce by offering competitive wages
and benefits, and nurturing our talent pipeline through
interns, diverse and veteran hiring, and supporting youth
STEM education
Learn more about Xcel Energy’s environmental, social and economic contributions in our annual
Corporate Responsibility Report, published in June at xcelenergy.com/CorporateResponsibility
Results-Driven Compensation
Our compensation programs are performance based and market competitive, aligning incentive opportunities
with the performance expected of us by our shareholders and customers.
Performance
Based
Majority of executive compensation
is at risk, and pay is aligned with
performance
Motivates achievement of
financial, operational and stock price performance goals
Market
Competitive
Enables us to attract and retain
talented leaders
Compares us to a 21-member
industry peer group
Equity-based
Incentive
Focuses on long-term
shareholder value
Aligns executive interests with
those of shareholders and
rewards for strategic success
Achieved best-ever performance in employee safety, public safety and electric system reliability
Held operating and maintenance expenses relatively flat for the past three years
Ensured solid nuclear operations with a 91% capacity factor and both stations in NRC Column 1 status
Reduced carbon emissions by 35% since 2005
Recognized among Fortune magazine’s Most Admired Utilities, based on quality of products/services, quality of
management and long-term investment value
