Prices are going down with natural gas, wind, and solar adding so much capacity in the last few years and this trend will continue. That's why Exelon is slowly shrinking it's generation business and focusing more on it's utility business. The key for Exelon is maintaining low costs. That's what's driving the Pepco acquisition as well. If Exelon can get the revenues of Pepco and cut costs it'll be able to grow earnings and maintain its dividend. Once rates go up, Exelon is going to have to raise its dividend and cost cutting will be key.
That is true, but from what I hear there is a lot of redundant, but highly compensated, positions in IT, Finance, and Accounting supporting each of Exelons utilities (ComEd, Peco, and BGE). After they add Pepco, they'll be adding 3 more utilities. Makes sense to have one accounting, finance, and IT department to support all the utilities as opposed to having one for each. The synergies potential is a huge cash saver. I could easily see EXC supporting a 5% dividend.