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2008 annual report

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On the Job 2

On Your Side 4

On Strategy 6

Letter to Shareholders 9

Financial Highlights 14

Ofcers and Directors 16

Form 10-K

Investor Information Inside back cover

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on the job

on your side

on strategy

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o the job

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reliable service

ensuring safe,

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o your side

4 5

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(Photo at right)Jeremy Dyer, Director ofOperations C-Store Division, Niemann

Foods, right, discusses energy efciency

with Rusty Tribe, an Ameren Illinois

utilities ActOnEnergy representative.

With a three-year electric and natural gas

budget of $100 million, ActOnEnergy is

an incentive program for Ameren Illinois

utilities electric and natural gas distribu-

tion customers. Niemann Foods received

more than $212,000 for projects that

will make 27 Illinois grocery stores

more energy efcient.

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and protecting the environmentproviding energy savings options

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6 7

FaIrreturn on

InvestMent

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satIsFaCtIon

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fundamental valuebuilding long-term

8/14/2019 2008 a n n u a l r Ep Or

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8 9

my fellow shareholders

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Amerens Executive Leadership Team:(From et)Adam C. Hefin, Senor Vce Presdent and Che Nucear Ofcer,

AmerenUE; Donna K. Martin, Senor Vce Presdent and Che Human Resources Ofcer; Daniel F. Cole, Senor Vce

Presdent, Admnstraton and Technca Servces, Ameren Servces; Scott A. Cisel, Presdent and Che Executve Ofcer,

AmerenCilCO, AmerenCiPS and AmereniP; Gary L. Rainwater, Charman, Presdent and Che Executve Ofcer;

Andrew M. Serri, Presdent, Ameren Energy Marketng; Thomas R. Voss, Executve Vce Presdent and Che Operatng

Ofcer, Presdent and Che Executve Ofcer, AmerenUE; Charles D. Naslund, Presdent and Che Executve Ofcer,

Ameren Energy Resources; Warner L. Baxter, Executve Vce Presdent and Che Fnanca Ofcer, Presdent and

Che Executve Ofcer, Ameren Servces; Richard J. Mark, Senor Vce Presdent, Energy Devery, AmerenUE;

Martin J. Lyons, Jr., Senor Vce Presdent and Che Accountng Ofcer; Steven R. Sullivan, Senor Vce Presdent,

Genera Counse and Secretary; andMichael L. Moehn, Senor Vce Presdent, Corporate Pannng and Rsk Management,

Ameren Servces.

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We are FoCuseD on DelIverIng

saFe, relIaBle anD aFForDaBle

energy, WHIle aCHIevIng solID

returns. groWIng our InvestMent

In our regulateD BusInesses WIll

InCrease CustoMer satIsFaCtIon

tHrougH exCellent servICe.

AmerenUE is installing weather stations on existing AmerenUE poles inkey locations throughout the region to measure temperature and windspeed, among other variables. AmerenUE joined Saint Louis UniversitysDepartment of Earth & Atmospheric Sciences to create QuantumWeather, a highly precise weather monitoring, forecasting and responsesystem that improves efciency and speeds up power restoration.

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A Commitmet To Ivestig I Our Illiois

ad Missouri Regulated Busiesses. W

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For generating stations across Amerens serviceterritory, the Performance Monitoring Centercontinuously monitors plant equipment performancethrough pattern recognition software tools andreal-time support. The center provides early stagenotication of any equipment degradation or pendingequipment failure to avoid extended outages thatcould hurt power plant availability.

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In 2008, Core earnIngs at

our non-rate-regulateD

generatIon operatIons rose

alMost 11 perCent BeCause tHe

plants stayeD On IMprovIngoutput anD MargIns.

A new scrubber (left) is being installed at our Duck Creek PowerPlant in Canton, near Peoria, Ill. (above). Slated for completion in2009, the scrubber operates like a chemical plant and, along withan existing selective catalytic reduction system, will dramaticallyreduce sulfur dioxide and mercury emissions, positioning this non-rate-regulated generating plant to comply with state and federalclean air regulations.

Optimizig Our Existig no-Rate-Regulated

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12 13

Shown here are the cooling tower and a simulated control room used fortraining at AmerenUEs Callaway Nuclear Plant, where in October 2008,employees completed a record run of 520 consecutive days, which beganin May 2007. Callaway is one of only 26 of the nations 104 nuclear plantsto achieve a record run of more than 500 days.

gary l. raInWaterCHaIrMan, presIDent anDCHIeF exeCutIve oFFICeraMeren CorporatIon

Mch 2, 2009

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Financial Highlights

aMeren ConsolIDateD(In millions, except per share amounts and as noted) 2008 2007 2006

results oF operatIons

oi $7,839 $7,562 $6,895

oi $6,477 $6,203 $5,707

oi icm $1,362 $1,359 $1,188

n icm $605 $618 $547

CoMMon stoCk Data

ei bic d did h $2.88 $2.98 $2.66

Diidd cmm h $2.54 $2.54 $2.54

Diidd id (-d) 7.6% 4.7% 4.7%

M ic cmm h (-d ci) $33.26 $54.21 $53.73

sh di (wihd ) 210.1 207.4 205.6

t m f cmm h (-d) $7,062 $11,294 $11,099

B cmm h $32.80 $32.41 $31.87

BalanCe sHeet Data

p d , $16,567 $15,069 $14,286

t $22,657 $20,728 $19,635

l-m db bii, cdi c mii $6,554 $5,689 $5,285Ciizi i

Cmm qi 45.9% 48.2% 50.6%

pfd c, bjc md dmi 1.3% 1.4% 1.5%

Db d fd c bjc md dmi, f ch 52.8% 50.4% 47.9%

operatIng Data

t cic (iwh) 107,754 107,486 101,015

ni (dchm i hd) 119,712 107,871 108,682

t i (iwh) 80,859 81,367 81,485

ecic cm 2.4 2.4 2.4

n cm 1.0 1.0 1.0

Year Ended December 31,

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natIve

natural

gas sales

0806 07

108,682

107,871

119,712

(Decathermsinthous

ands)

CapItal

InvestMents

0806 07

$1,284

$1,381

$1,896

(Inmillions)

total

eleCtrIC

sales

0806 07

107,486

101,015

107,754

(kilowatthoursinmillions)

total

generatIon

output

0806 07

81,367

81,485

80,859

(kilowatthoursinmillions)

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Company andSubsidiary Headquarters

Electric Service Territory

Electric and Natural GasService Territory

megawatts generating

capacity in Illinois

megawatts generating

capacity in Missouri

electric and natural

gas customers

6,500

10,000

3,400,000

14 15

Peoria

Springfeld

Decatur

St. Louis

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Ameren Corporation and Subsidiaries Ofcers and Directors

Michael L. Menne*Vice President,Environmental Safety and Health,

Ameren Services

Donald M. Mosier*Vice President,

Ameren Energy Marketing

Michael G. Mueller*President, Ameren EnergyFuels and Services

Robert K. Neff*Vice President, Coal Supplyand Transportation,

Ameren Energy Fuels andServices

Craig D. Nelson*Vice President, Regulatory Affairsand Financial Services, Ameren-CILCO, AmerenCIPS, AmerenIP

Gregory L. Nelson*Vice President and Tax Counsel,

Ameren ServicesStan E. Ogden*

Vice President, CustomerService and Public Relations,

AmerenCILCO, AmerenCIPS,AmerenIP

Ronald D. Pate*Vice President, RegionalOperations, AmerenCILCO,

AmerenCIPS, AmerenIP

John R. Fey*Vice President, HumanResources, Business Services,

Ameren Services

Karen C. Foss*Vice President, Public Relations,

AmerenUE

Michael J. Getz*Controller,

AmerenCILCO, AmerenCIPS,AmerenIP

Scott A. Glaeser*Vice President, Gas Supplyand System Control,

Ameren Energy Fuelsand Services

Timothy E. Herrmann*Vice President, Engineering,Callaway Nuclear Plant,

AmerenUE

Christopher A. Iselin*

Vice President, GenerationTechnical Services,Ameren Energy Resources

Stephen M. Kidwell*Vice President,Regulatory Affairs, AmerenUE

Mark C. Lindgren*Vice President, CorporateHuman Resources,

Ameren Services

Joseph M. Power*Vice President, FederalLegislative and Regulatory

Affairs, Ameren Services

William J. Prebil*Vice President,

Regional Operations,AmerenCILCO, AmerenCIPS,AmerenIP

David J. Schepers*Vice President, EnergyDelivery Technical Services,

Ameren Services

Shawn E. Schukar*Vice President, StrategicInitiatives, Ameren Services

Jerry L. Simpson*Vice President, BusinessServices, Ameren EnergyResources

James A. Sobule*

Vice President andDeputy General Counsel,Ameren Services

Bruce A. SteinkeVice President and Controller

Dennis W. Weisenborn*Vice President,Supply Services, AmerenServices

Ronald C. Zdellar*Vice President, EnergyDelivery Distribution Services,

AmerenUE

otHer oFFICers

Lynn M. Barnes*Vice President, Business Planningand Controller, AmerenUE

Jerre E. Birdsong

Vice President and TreasurerMark C. Birk*

Vice President,Power Operations, AmerenUE

Maureen A. Borkowski*Vice President, Transmission,Ameren Services

S. Mark Brawley*Vice President, Internal Audit,Ameren Services

Charles A. Bremer*Vice President, InformationTechnology and AmerenServices Center, Ameren Services

Richard C. Cissell*

Vice President, Operations,Ameren Energy Generating

Kevin DeGraw*Vice President,Corporate Project RiskManagement, Ameren Services

Fadi Diya*Vice President,Nuclear Operations, AmerenUE

Ronald K. Evans*Vice President andDeputy General Counsel,

Ameren Services

Gary L. Rainwater

Chairman, Presidentand Chief Executive Officer,Ameren Corporation

Harvey Saligman3, 4Partner, Cynwyd Investments

Patrick T. Stokes 3, 4, 7Former Chairman,

Anheuser-BuschCompanies, Inc.

Jack D. Woodard 5, 6Retired Executive VicePresident and Chief NuclearOfficer, Southern NuclearOperating Company, Inc.

Dr. Gayle P. W. Jackson5, 6

President, Energy Global, Inc.James C. Johnson3, 4

Vice President andAssistant General Counsel,Commercial Airplanes,

The Boeing Company

Charles W. Mueller1, 5, 6Retired Chairman andChief Executive Officer,

Ameren Corporation

Douglas R. Oberhelman 2, 4Group President, Caterpillar Inc.

1 Member of Finance Committee

2 Member of Audit and Risk Committee3 Member of Human Resources

Committee

4 Member of Nominating and CorporateGovernance Committee

5 Member of Public Policy Committee

6 Member of Nuclear OversightCommittee

7 Lead Director

BoarD oF DIreCtors

Stephen F. Brauer1, 2Chairman and ChiefExecutive Officer, HunterEngineering Company

Susan S. Elliott2, 6Chairman and Chief ExecutiveOfficer, Systems ServiceEnterprises, Inc.

Walter J. Galvin1, 3Senior Executive VicePresident and ChiefFinancial Officer,Emerson Electric Co.

Daniel F. Cole*

Senior Vice President,Administration and TechnicalServices, Ameren Services

Adam C. Heflin*

Senior Vice President and

Chief Nuclear Officer,AmerenUE

Martin J. Lyons, Jr.

Senior Vice Presidentand Chief Accounting Officer

Richard J. Mark*

Senior Vice President,Energy Delivery, AmerenUE

Scott A. Cisel*

President and ChiefExecutive Officer,

AmerenCILCO, AmerenCIPS,AmerenIP

Donna K. Martin

Senior Vice Presidentand Chief HumanResources Officer

Steven R. Sullivan

Senior Vice President,General Counsel andSecretary

Gary L. Rainwater

Chairman, Presidentand Chief Executive Officer

Warner L. Baxter

Executive Vice Presidentand Chief Financial Officer;

President and Chief ExecutiveOfficer, Ameren Services

Thomas R. Voss

Executive Vice Presidentand Chief Operating Officer;President and Chief ExecutiveOfficer, AmerenUE

Michael L. Moehn*

Senior Vice President,Corporate Planning and RiskManagement,

Ameren Services

Charles D. Naslund*

President and Chief ExecutiveOfficer, Ameren Energy Resources;President, Ameren EnergyGenerating Company

Andrew M. Serri*

President,Ameren Energy Marketing

As of March 2, 2009

*Officer of an Ameren Corporation subsidiary only

exeCutIve leaDersHIp teaM

16

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UNITED STATESSECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-K

(X) Annual report pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934for the fiscal year ended December 31, 2008

OR

( ) Transition report pursuant to Section 13 or 15(d)of the Securities Exchange Act of 1934for the transition period from to .

CommissionFile Number

Exact name of registrant as specified in its charter;State of Incorporation;Address and Telephone Number

IRS EmployerIdentification No.

1-14756 Ameren Corporation 43-1723446(Missouri Corporation)

1901 Chouteau AvenueSt. Louis, Missouri 63103(314) 621-3222

1-2967 Union Electric Company 43-0559760(Missouri Corporation)1901 Chouteau AvenueSt. Louis, Missouri 63103(314) 621-3222

1-3672 Central Illinois Public Service Company 37-0211380(Illinois Corporation)607 East Adams StreetSpringfield, Illinois 62739

(888) 789-2477

333-56594 Ameren Energy Generating Company 37-1395586(Illinois Corporation)1901 Chouteau AvenueSt. Louis, Missouri 63103(314) 621-3222

2-95569 CILCORP Inc. 37-1169387(Illinois Corporation)300 Liberty StreetPeoria, Illinois 61602(309) 677-5271

1-2732 Central Illinois Light Company 37-0211050(Illinois Corporation)300 Liberty StreetPeoria, Illinois 61602(309) 677-5271

1-3004 Illinois Power Company 37-0344645(Illinois Corporation)370 South Main StreetDecatur, Illinois 62523(217) 424-6600

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Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein,and will not be contained, to the best of each registrants knowledge, in definitive proxy or information statementsincorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.

Ameren Corporation ( )Union Electric Company (X)Central Illinois Public Service Company (X)

Ameren Energy Generating Company (X)CILCORP Inc. (X)Central Illinois Light Company (X)Illinois Power Company (X)

Indicate by check mark whether each registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or asmaller reporting company. See definitions of large accelerated filer, accelerated filer, and smaller reporting company inRule 12b-2 of the Securities Exchange Act of 1934.

LargeAccelerated

FilerAccelerated

FilerNon-accelerated

Filer

SmallerReportingCompany

Ameren Corporation (X) ( ) ( ) ( )Union Electric Company ( ) ( ) (X) ( )Central Illinois Public Service Company ( ) ( ) (X) ( )Ameren Energy Generating Company ( ) ( ) (X) ( )

CILCORP Inc. ( ) ( ) (X) ( )Central Illinois Light Company ( ) ( ) (X) ( )Illinois Power Company ( ) ( ) (X) ( )

Indicate by check mark whether each registrant is a shell company (as defined in Rule 12b-2 of the Securities ExchangeAct of 1934).

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

As of June 30, 2008, Ameren Corporation had 210,050,075 shares of its $0.01 par value common stock outstanding. The

aggregate market value of these shares of common stock (based upon the closing price of these shares on the New YorkStock Exchange on that date) held by nonaffiliates was $8,870,414,667. The shares of common stock of the other registrantswere held by affiliates as of June 30, 2008.

The number of shares outstanding of each registrants classes of common stock as of January 30, 2009, was as follows:

Ameren Corporation Common stock, $0.01 par value per share: 212,519,772

Union Electric Company Common stock, $5 par value per share, held by AmerenCorporation (parent company of the registrant): 102,123,834

Central Il linois Public Service Company Common stock, no par value, held by AmerenCorporation (parent company of the registrant): 25,452,373

Ameren Energy Generating Company Common stock, no par value, held by Ameren EnergyResources Company, LLC (parent company of the

registrant and subsidiary of AmerenCorporation): 2,000

CILCORP Inc. Common stock, no par value, held by AmerenCorporation (parent company of the registrant): 1,000

Central Illinois Light Company Common stock, no par value, held by CILCORP Inc.(parent company of the registrant and subsidiary ofAmeren Corporation): 13,563,871

Illinois Power Company Common stock, no par value, held by AmerenCorporation (parent company of the registrant): 23,000,000

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DOCUMENTS INCORPORATED BY REFERENCE

Portions of the definitive proxy statement of Ameren Corporation and portions of the definitive information statements ofUnion Electric Company, Central Illinois Public Service Company, and Central Illinois Light Company for the 2009 annualmeetings of shareholders are incorporated by reference into Part III of this Form 10-K.

OMISSION OF CERTAIN INFORMATION

Ameren Energy Generating Company and CILCORP Inc. meet the conditions set forth in General Instruction I(1)(a) and(b) of Form 10-K and are therefore filing this form with the reduced disclosure format allowed under that General Instruction.

This combined Form 10-K is separately filed by Ameren Corporation, Union Electric Company, Central Illinois PublicService Company, Ameren Energy Generating Company, CILCORP Inc., Central Illinois Light Company, and Illinois PowerCompany. Each registrant hereto is filing on its own behalf all of the information contained in this annual report that relates tosuch registrant. Each registrant hereto is not filing any information that does not relate to such registrant, and therefore makesno representation as to any such information.

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TABLE OF CONTENTS

Page

GLOSSARY OF TERMS AND ABBREVIATIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Forward-looking Statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

PART I

Item 1. Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4General . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4Business Segments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5Rates and Regulation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5Supply for Electric Power . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7Natural Gas Supply for Distribution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11Industry Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11Operating Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Available Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Item 1A. Risk Factors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14Item 1B. Unresolved Staff Comments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20Item 2. Properties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21Item 3. Legal Proceedings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23Item 4. Submission of Matters to a Vote of Security Holders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

Executive Officers of the Registrants (Item 401(b) of Regulation S-K) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

PART IIItem 5. Market for Registrants Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity

Securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26Item 6. Selected Financial Data. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations . . . . . . . . . . . 29

Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29Results of Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31Liquidity and Capital Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49Outlook . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65Regulatory Matters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71Accounting Matters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71Effects of Inflation and Changing Prices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73

Item 7A. Quantitative and Qualitative Disclosures About Market Risk . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74Item 8. Financial Statements and Supplementary Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure . . . . . . . . . . 177Item 9A andItem 9A(T). Controls and Procedures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 177Item 9B. Other Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178

PART IIIItem 10. Directors, Executive Officers, and Corporate Governance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178Item 11. Executive Compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder

Matters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 179Item 13. Certain Relationships and Related Transactions and Director Independence . . . . . . . . . . . . . . . . . . . . . 179Item 14. Principal Accountant Fees and Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 179

PART IVItem 15. Exhibits and Financial Statement Schedules . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 180SIGNATURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 184EXHIBIT INDEX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 191

This Form 10-K contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Actof 1934, as amended. Forward-looking statements should be read with the cautionary statements and important factorsincluded on page 3 of this Form 10-K under the heading Forward-looking Statements. Forward-looking statements are allstatements other than statements of historical fact, including those statements that are identified by the use of the wordsanticipates, estimates, expects, intends, plans, predicts, projects, and similar expressions.

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GLOSSARY OF TERMS AND ABBREVIATIONS

We use the words our, we or us with respect to certain information that relates to all Ameren Companies, as definedbelow. When appropriate, subsidiaries of Ameren are named specifically as we discuss their various business activities.

AERG AmerenEnergy Resources Generating Company, aCILCO subsidiary that operates a non-rate-regulated electricgeneration business in Illinois.AFS Ameren Energy Fuels and Services Company, aResources Company subsidiary that procures fuel andnatural gas and manages the related risks for the AmerenCompanies.AITC Ameren Illinois Transmission Company, a whollyowned subsidiary of Ameren Corporation that is engaged inthe construction and operation of transmission assets inIllinois and is regulated by the ICC.Ameren Ameren Corporation and its subsidiaries on aconsolidated basis. In references to financing activities,acquisition activities, or liquidity arrangements, Ameren isdefined as Ameren Corporation, the parent.Ameren Companies The individual registrants within theAmeren consolidated group.Ameren Illinois Utilities CIPS, IP and the rate-regulatedelectric and gas utility operations of CILCO.Ameren Services Ameren Services Company, an AmerenCorporation subsidiary that provides support services toAmeren and its subsidiaries.AMIL The balancing authority area operated by Ameren,which includes the load of the Ameren Illinois Utilities andthe generating assets of AERG and Genco.AMMO The balancing authority area operated by Ameren,which includes the load and generating assets of UE.AMT Alternative minimum tax.ARB Accounting Research Bulletin.ARO Asset retirement obligations.Baseload The minimum amount of electric power

delivered or required over a given period of time at asteady rate.Btu British thermal unit, a standard unit for measuring thequantity of heat energy required to raise the temperature ofone pound of water by one degree Fahrenheit.Capacity factor A percentage measure that indicates howmuch of an electric power generating units capacity wasused during a specific period.CILCO Central Illinois Light Company, a CILCORPsubsidiary that operates a rate-regulated electrictransmission and distribution business, a non-rate-regulated electric generation business through AERG, and arate-regulated natural gas transmission and distributionbusiness, all in Illinois, as AmerenCILCO. CILCO owns all of

the common stock of AERG.CILCORP CILCORP Inc., an Ameren Corporationsubsidiary that operates as a holding company for CILCOand a non-rate-regulated subsidiary.CIPS Central Illinois Public Service Company, an AmerenCorporation subsidiary that operates a rate-regulatedelectric and natural gas transmission and distributionbusiness in Illinois as AmerenCIPS.CIPSCO CIPSCO Inc., the former parent of CIPS.CO2 Carbon dioxide.

COLA Combined construction and operating licenseapplication.Cooling degree-days The summation of positivedifferences between the mean daily temperature and a65-degree Fahrenheit base. This statistic is useful forestimating electricity demand by residential and commercialcustomers for summer cooling.CT Combustion turbine electric generation equipmentused primarily for peaking capacity.Development Company Ameren Energy DevelopmentCompany, which was an Ameren Energy ResourcesCompany subsidiary and parent of Genco, MarketingCompany, AFS, and Medina Valley. It was eliminated in aninternal reorganization in February 2008.DOE Department of Energy, a U.S. government agency.DRPlus Ameren Corporations dividend reinvestment anddirect stock purchase plan.Dth (dekatherm) one million Btus of natural gas.EEI Electric Energy, Inc., an 80%-owned AmerenCorporation subsidiary that operates non-rate-regulatedelectric generation facilities and FERC-regulatedtransmission facilities in Illinois. Prior to February 29, 2008,EEI was 40% owned by UE and 40% owned byDevelopment Company. On February 29, 2008, UEs 40%ownership interest and Development Companys 40%ownership interest were transferred to ResourcesCompany. The remaining 20% is owned by KentuckyUtilities Company.EITF Emerging Issues Task Force, an organizationdesigned to assist the FASB in improving financial reportingthrough the identification, discussion and resolution of

financial issues in keeping with existing authoritativeliterature.ELPC Environmental Law and Policy Center.EPA Environmental Protection Agency, a U.S.government agency.Equivalent availability factor A measure that indicatesthe percentage of time an electric power generating unitwas available for service during a period.ERISA Employee Retirement Income Security Act of1974, as amended.Exchange Act Securities Exchange Act of 1934, asamended.FAC A fuel and purchased power cost recoverymechanism that allows UE to recover through customer

rates 95% of changes in fuel (coal, coal transportation,natural gas for generation and nuclear) and purchasedpower costs, net of off-system revenues, including MISOcosts and revenues, above or below the amount set in baserates.FASB Financial Accounting Standards Board, arulemaking organization that establishes financialaccounting and reporting standards in the United States.FERC The Federal Energy Regulatory Commission, a U.S.government agency.

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FIN FASB Interpretation. A FIN statement is anexplanation intended to clarify accounting pronouncementspreviously issued by the FASB.Fitch Fitch Ratings, a credit rating agency.FSP FASB Staff Position, a publication that providesapplication guidance on FASB literature.FTRs Financial transmission rights, financial instrumentsthat entitle the holder to pay or receive compensation for

certain congestion-related transmission charges betweentwo designated points.Fuelco Fuelco LLC, a limited-liability company thatprovides nuclear fuel management and services to itsmembers. The members are UE, Luminant, and Pacific Gasand Electric Company.GAAP Generally accepted accounting principles in theUnited States of America.Genco Ameren Energy Generating Company, a ResourcesCompany subsidiary that operates a non-rate-regulatedelectric generation business in Illinois and Missouri.Gigawatthour One thousand megawatthours.Heating degree-days The summation of negativedifferences between the mean daily temperature and a 65-

degree Fahrenheit base. This statistic is useful as anindicator of demand for electricity and natural gas for winterspace heating for residential and commercial customers.IBEW International Brotherhood of Electrical Workers, alabor union.ICC Illinois Commerce Commission, a state agency thatregulates Illinois utility businesses, including the rate-regulated operations of CIPS, CILCO and IP.Illinois Customer Choice Law Illinois Electric ServiceCustomer Choice and Rate Relief Law of 1997, whichprovided for electric utility restructuring and was designedto introduce competition into the retail supply of electricenergy in Illinois.Illinois electric settlement agreement A comprehensive

settlement of issues in Illinois arising out of the end of tenyears of frozen electric rates, effective January 2, 2007. TheIllinois electric settlement agreement, which becameeffective on August 28, 2007, was designed to avoid newrate rollback and freeze legislation and legislation that wouldimpose a tax on electric generation in Illinois. Thesettlement addresses the issue of power procurement, andit includes a comprehensive rate relief and customerassistance program.Illinois EPA Illinois Environmental Protection Agency, astate government agency.Illinois Regulated A financial reporting segmentconsisting of the regulated electric and natural gastransmission and distribution businesses of CIPS, CILCO,

IP and AITC.IP Illinois Power Company, an Ameren Corporationsubsidiary. IP operates a rate-regulated electric and naturalgas transmission and distribution business in Illinois asAmerenIP.IP LLC Illinois Power Securitization Limited LiabilityCompany, which was a special-purpose Delaware limited-liability company. It was dissolved in February 2009 becausethe remaining TFNs, with respect to which this entity wascreated, were redeemed by IP in September 2008.

IP SPT Illinois Power Special Purpose Trust, which wascreated as a subsidiary of IP LLC to issue TFNs as allowedunder the Illinois Customer Choice Law. It was dissolved inFebruary 2009 because the remaining TFNs were redeemedby IP in September 2008.IPA Illinois Power Agency, a state government agencythat has broad authority to assist in the procurement ofelectric power for residential and nonresidential customers

beginning in June 2009.ISRS Infrastructure system replacement surcharge. Acost recovery mechanism in Missouri that allows UE torecover gas infrastructure replacement costs from utilitycustomers without a traditional rate case.IUOE International Union of Operating Engineers, a laborunion.JDA The joint dispatch agreement among UE, CIPS, andGenco under which UE and Genco jointly dispatched electricgeneration prior to its termination on December 31, 2006.Kilowatthour A measure of electricity consumptionequivalent to the use of 1,000 watts of power over a periodof one hour.Lehman Lehman Brothers Holdings, Inc.

MACT Maximum Achievable Control Technology.Marketing Company Ameren Energy Marketing Company,a Resources Company subsidiary that markets power forGenco, AERG and EEI.Medina Valley AmerenEnergy Medina Valley CogenL.L.C., a Resources Company subsidiary, which owns a40-megawatt gas-fired electric generation plant.Megawatthour One thousand kilowatthours.MGP Manufactured gas plant.MISO Midwest Independent Transmission SystemOperator, Inc.MISO Day Two Energy Market A market that usesmarket-based pricing, incorporating transmissioncongestion and line losses, to compensate market

participants for power.Missouri Environmental Authority EnvironmentalImprovement and Energy Resources Authority of the stateof Missouri, a governmental body authorized to financeenvironmental projects by issuing tax-exempt bonds andnotes.Missouri Regulated A financial reporting segmentconsisting of UEs rate-regulated businesses.Money pool Borrowing agreements among Ameren andits subsidiaries to coordinate and provide for certain short-term cash and working capital requirements. Separatemoney pools maintained for rate-regulated and non-rate-regulated business are referred to as the utility money pooland the non-state-regulated subsidiary money pool,

respectively.Moodys Moodys Investors Service Inc., a credit ratingagency.MoPSC Missouri Public Service Commission, a stateagency that regulates Missouri utility businesses, includingthe rate-regulated operations of UE.MPS Multi-Pollutant Standard, an agreement reached in2006 among Genco, CILCO (AERG), EEI and the IllinoisEPA, which was codified in Illinois environmentalregulations.

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MW Megawatt.Native load Wholesale customers and end-use retailcustomers, whom we are obligated to serve by statute,franchise, contract, or other regulatory requirement.NCF&O National Congress of Firemen and Oilers, a laborunion.Non-rate-regulated Generation A financial reportingsegment consisting of the operations or activities of Genco,

the CILCORP parent company, AERG, EEI, Medina Valley,and Marketing Company.NOx Nitrogen oxide.Noranda Noranda Aluminum, Inc.NRC Nuclear Regulatory Commission, a U.S. governmentagency.NYMEX New York Mercantile Exchange.NYSE New York Stock Exchange, Inc.OATT Open Access Transmission Tariff.OCI Other comprehensive income (loss) as defined byGAAP.Off-system revenues Revenues from other than nativeload sales.OTC Over-the-counter.

PGA Purchased Gas Adjustment tariffs, which allow thepassing through of the actual cost of natural gas to utilitycustomers.PJM PJM Interconnection LLC.PUHCA 2005 The Public Utility Holding Company Act of2005, enacted as part of the Energy Policy Act of 2005,effective February 8, 2006.Regulatory lag Adjustments to retail electric and naturalgas rates are based on historic cost levels. Rate increaserequests can take up to 11 months to be acted upon by theMoPSC and the ICC. As a result, revenue increasesauthorized by regulators will lag behind changing costs.Resources Company Ameren Energy Resources Company,LLC, an Ameren Corporation subsidiary that consists of

non-rate-regulated operations, including Genco, MarketingCompany, EEI, AFS, and Medina Valley. It is the successor toAmeren Energy Resources Company, which was eliminatedin an internal reorganization in February 2008.RFP Request for proposal.RTO Regional Transmission Organization.S&P Standard & Poors Ratings Services, a credit ratingagency that is a division of The McGraw-Hill Companies,Inc.SEC Securities and Exchange Commission, a U.S.government agency.SERC SERC Reliability Corporation, one of the regionalelectric reliability councils organized for coordinating theplanning and operation of the nations bulk power supply.

SFAS Statement of Financial Accounting Standards, theaccounting and financial reporting rules issued by theFASB.SO2 Sulfur dioxide.TFN Transitional Funding Trust Notes issued by IP SPT asallowed under the Illinois Customer Choice Law. IPdesignated a portion of cash received from customerbillings to pay the TFNs. The designated funds received by

IP were remitted to IP SPT. The designated funds wererestricted for the sole purpose of making payments ofprincipal and interest on, and paying other fees andexpenses related to, the TFNs. Since the application of FIN46R, IP did not consolidate IP SPT. Therefore, theobligation to IP SPT appears on IPs balance sheet as ofDecember 31, 2007. In September 2008, IP redeemed theremaining TFNs.

TVA Tennessee Valley Authority, a public powerauthority.UE Union Electric Company, an Ameren Corporationsubsidiary that operates a rate-regulated electric generation,transmission and distribution business, and a rate-regulatednatural gas transmission and distribution business inMissouri as AmerenUE.

FORWARD-LOOKING STATEMENTS

Statements in this report not based on historical factsare considered forward-looking and, accordingly, involverisks and uncertainties that could cause actual results todiffer materially from those discussed. Although such

forward-looking statements have been made in good faithand are based on reasonable assumptions, there is noassurance that the expected results will be achieved. Thesestatements include (without limitation) statements as tofuture expectations, beliefs, plans, strategies, objectives,events, conditions, and financial performance. Inconnection with the safe harbor provisions of the PrivateSecurities Litigation Reform Act of 1995, we are providingthis cautionary statement to identify important factors thatcould cause actual results to differ materially from thoseanticipated. The following factors, in addition to thosediscussed under Risk Factors and elsewhere in this reportand in our other filings with the SEC, could cause actualresults to differ materially from management expectationssuggested in such forward-looking statements:

regulatory or legislative actions, including changes inregulatory policies and ratemaking determinations andfuture rate proceedings or future legislative actions thatseek to limit or reverse rate increases;

uncertainty as to the continued effectiveness of theIllinois power procurement process;

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

changes in laws or regulations that adversely affect theability of electric distribution companies and otherpurchasers of wholesale electricity to pay theirsuppliers, including UE and Marketing Company;

enactment of legislation taxing electric generators, inIllinois or elsewhere;

the effects of increased competition in the future dueto, among other things, deregulation of certain aspectsof our business at both the state and federal levels, andthe implementation of deregulation, such as occurredwhen the electric rate freeze and power supplycontracts expired in Illinois at the end of 2006;

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increasing capital expenditure and operating expenserequirements and our ability to recover these costs in atimely fashion in light of regulatory lag;

the effects of participation in the MISO; the cost and availability of fuel such as coal, natural

gas, and enriched uranium used to produce electricity;the cost and availability of purchased power and naturalgas for distribution; and the level and volatility of future

market prices for such commodities, including theability to recover the costs for such commodities; the effectiveness of our risk management strategies

and the use of financial and derivative instruments; prices for power in the Midwest, including forward

prices; business and economic conditions, including their

impact on interest rates, bad debt expense, anddemand for our products;

disruptions of the capital markets or other events thatmake the Ameren Companies access to necessarycapital, including short-term credit, impossible, moredifficult or costly;

our assessment of our liquidity;

the impact of the adoption of new accounting standardsand the application of appropriate technical accountingrules and guidance;

actions of credit rating agencies and the effects of suchactions;

weather conditions and other natural phenomena,including impacts to our customers;

the impact of system outages caused by severeweather conditions or other events;

generation plant construction, installation andperformance, including costs associated with UEsTaum Sauk pumped-storage hydroelectric plantincident and the plants future operation;

recoverability through insurance of costs associatedwith UEs Taum Sauk pumped-storage hydroelectricplant incident;

operation of UEs nuclear power facility, including

planned and unplanned outages, and decommissioningcosts; the effects of strategic initiatives, including acquisitions

and divestitures; the impact of current environmental regulations on

utilities and power generating companies and theexpectation that more stringent requirements, includingthose related to greenhouse gases, will be introducedover time, which could have a negative financial effect;

labor disputes, future wage and employee benefitscosts, including changes in discount rates and returnson benefit plan assets;

the inability of our counterparties and affiliates to meettheir obligations with respect to contracts, credit

facilities and financial instruments; the cost and availability of transmission capacity for the

energy generated by the Ameren Companies facilitiesor required to satisfy energy sales made by the AmerenCompanies;

legal and administrative proceedings; and acts of sabotage, war, terrorism or intentionally

disruptive acts.

Given these uncertainties, undue reliance should not be placed on these forward-looking statements. Except to the extentrequired by the federal securities laws, we undertake no obligation to update or revise publicly any forward-looking statementsto reflect new information or future events.

PART I

ITEM 1. BUSINESS.

GENERAL

Ameren, headquartered in St. Louis, Missouri, is apublic utility holding company under PUHCA 2005administered by FERC. Ameren was formed in 1997 by themerger of UE and CIPSCO. Ameren acquired CILCORP in2003 and IP in 2004. Amerens primary assets are thecommon stock of its subsidiaries, including UE, CIPS,Genco, CILCORP and IP.

Amerens subsidiaries are separate, independent legalentities with separate businesses, assets and liabilities.These subsidiaries operate rate-regulated electricgeneration, transmission and distribution businesses, rate-regulated natural gas transmission and distributionbusinesses, and non-rate-regulated electric generationbusinesses in Missouri and Illinois. Dividends on Amerenscommon stock are dependent on distributions made to it byits subsidiaries.

The following table presents our total employees atDecember 31, 2008:

Ameren(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,524UE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,146CIPS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 679Genco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 577CILCORP/CILCO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 626IP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,173

(a) Total for Ameren includes Ameren registrant and nonregistrantsubsidiaries.

As of January 1, 2009, the IBEW, the IUOE, the NCF&Oand the Laborers and Gas Fitters labor unions collectivelyrepresent about 58% of Amerens total employees. Theyrepresent 63% of the employees at UE, 82% at CIPS, 70%at Genco, 38% at CILCORP, 38% at CILCO, and 90% at IP.All collective bargaining agreements that expired in 2008have been renegotiated and ratified. Most of the collective

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bargaining agreements have four- or five-year terms, andexpire in 2011 and 2012. The collective bargainingagreement between UE and IUOE Local 148, coveringapproximately 1,100 employees, expires on June 30, 2009.

For additional information about the development ofour businesses, our business operations, and factorsaffecting our operations and financial position, seeManagements Discussion and Analysis of FinancialCondition and Results of Operations under Part II, Item 7,of this report and Note 1 Summary of SignificantAccounting Policies to our financial statements under PartII, Item 8, of this report.

BUSINESS SEGMENTS

Ameren has three reportable segments: MissouriRegulated, Illinois Regulated, and Non-rate-regulatedGeneration. CILCORP and CILCO have two reportablesegments: Illinois Regulated and Non-rate-regulatedGeneration. See Note 17 Segment Information to ourfinancial statements under Part II, Item 8, of this report for

additional information on reporting segments.

RATES AND REGULATION

Rates

Rates that UE, CIPS, CILCO and IP are allowed tocharge for their utility services are an important influenceupon their and Amerens consolidated results of operations,financial position, and liquidity. The utility rates charged toUE, CIPS, CILCO and IP customers are determined bygovernmental entities. Decisions by these entities areinfluenced by many factors, including the cost of providingservice, the quality of service, regulatory staff knowledgeand experience, economic conditions, public policy, andsocial and political views. Decisions made by thesegovernmental entities regarding rates, as well as theregulatory lag involved in filing and getting new ratesapproved, could have a material impact on the results ofoperations, financial position, or liquidity of UE, CIPS,CILCORP, CILCO, IP and Ameren.

The ICC regulates rates and other matters for CIPS,CILCO and IP. The MoPSC regulates rates and othermatters for UE. The FERC regulates UE, CIPS, Genco,CILCO, and IP as to their ability to charge market-basedrates for the sale and transmission of energy in interstatecommerce and various other matters discussed below

under General Regulatory Matters.

About 35% of Amerens electric and 14% of its gasoperating revenues were subject to regulation by theMoPSC in the year ended December 31, 2008. About 41%of Amerens electric and 86% of its gas operating revenueswere subject to regulation by the ICC in the year endedDecember 31, 2008. Wholesale revenues for UE, Genco andAERG are subject to FERC regulation, but not subject todirect MoPSC or ICC regulation.

Missouri Regulated

Electric

About 81% of UEs electric operating revenues weresubject to regulation by the MoPSC in the year endedDecember 31, 2008.

Following the expiration of a multiyear electric rate

change moratorium, UE filed a request with the MoPSC inJuly 2006 for approval of an increase in its annual revenuesfor electric service. In May 2007, the MoPSC issued anorder, that, as clarified, granted UE a $43 million increase inbase rates for electric service, effective June 4, 2007.

On January 27, 2009, the MoPSC issued an orderresponding to UEs April 2008 rate increase request,approving an increase for UE in annual revenues for electricservice of approximately $162 million. The MoPSC alsoapproved UEs implementation of a FAC and a vegetationmanagement and infrastructure inspection cost trackingmechanism. Rate changes consistent with the MoPSCorder, as well as the FAC and the vegetation managementand infrastructure inspection cost tracking mechanism,

were effective as of March 1, 2009. These cost recovery andtracking mechanisms help to mitigate the negative effect ofregulatory lag.

The MoPSC initiated a proceeding in December 2008to develop revised rules for an environmental cost recoverymechanism, which has been authorized under Missouri law.Rules for the environmental cost recovery mechanism areexpected to be approved by the MoPSC during the secondquarter of 2009 and will be effective once published in theMissouri Register. UE will not be able to implement anenvironmental cost recovery mechanism until authorized bythe MoPSC as part of a rate case proceeding. UE has notrequested approval of an environmental cost recovery

mechanism.

Gas

All of UEs gas operating revenues were subject toregulation by the MoPSC in the year ended December 31,2008.

If certain criteria are met, UEs gas rates may beadjusted without a traditional rate proceeding. PGA clausespermit prudently incurred natural gas costs to be passeddirectly to the consumer. The ISRS also permits prudentlyincurred gas infrastructure replacement costs to be passeddirectly to the consumer.

As part of a 2007 stipulation and agreement approvedby the MoPSC authorizing an increase in annual natural gasdelivery revenues of $6 million effective April 1, 2007, UEagreed not to file a natural gas delivery rate case beforeMarch 15, 2010. This agreement did not prevent UE fromfiling to recover gas infrastructure replacement coststhrough an ISRS during this three-year rate moratorium.During 2008, the MoPSC approved two UE requests toestablish an ISRS to recover annual revenues of $2 millionin the aggregate, effective in March and November 2008.

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authorization from the applicable state public utilityregulatory agency to issue stock and long-term debtsecurities (with maturities of more than 12 months) and toconduct mergers, affiliate transactions, and various otheractivities. Genco, AERG and EEI are subject to FERCsjurisdiction when they issue any securities.

Under PUHCA 2005, FERC and any state public utilityregulatory agencies may access books and records ofAmeren and its subsidiaries that are determined to berelevant to costs incurred by Amerens rate-regulatedsubsidiaries with respect to jurisdictional rates. PUHCA2005 also permits Ameren, the ICC, or the MoPSC torequest that FERC review cost allocations by AmerenServices to other Ameren companies.

Operation of UEs Callaway nuclear plant is subject toregulation by the NRC. Its facility operating license expireson June 11, 2024. UE intends to submit a license extensionapplication with the NRC to extend its Callaway nuclearplants operating license to 2044. UEs Osage hydroelectricplant and UEs Taum Sauk pumped-storage hydroelectricplant, as licensed projects under the Federal Power Act, are

subject to FERC regulations affecting, among other things,the general operation and maintenance of the projects. Thelicense for UEs Osage hydroelectric plant expires onMarch 30, 2047, and the license for UEs Taum Sauk plantexpires on June 30, 2010. In June 2008, UE filed anapplication with FERC to relicense its Taum Sauk plant foranother 40 years. The Taum Sauk plant is currently out ofservice. It is being rebuilt due to a major breach of theupper reservoir in December 2005. UEs Keokuk plant andits dam, in the Mississippi River between Hamilton, Illinois,and Keokuk, Iowa, are operated under authority granted byan Act of Congress in 1905.

For additional information on regulatory matters, see

Note 2 Rate and Regulatory Matters and Note 15 Commitments and Contingencies to our financialstatements under Part II, Item 8, of this report, whichinclude a discussion about the December 2005 breach ofthe upper reservoir at UEs Taum Sauk pumped-storagehydroelectric plant.

Environmental Matters

Certain of our operations are subject to federal, state,and local environmental statutes or regulations relating tothe safety and health of personnel, the public, and theenvironment. These matters include identification,generation, storage, handling, transportation, disposal,

recordkeeping, labeling, reporting, and emergency responsein connection with hazardous and toxic materials, safetyand health standards, and environmental protectionrequirements, including standards and limitations relatingto the discharge of air and water pollutants. Failure tocomply with those statutes or regulations could havematerial adverse effects on us. We could be subject tocriminal or civil penalties by regulatory agencies. We couldbe ordered to make payment to private parties by thecourts. Except as indicated in this report, we believe that we

are in material compliance with existing statutes andregulations.

For additional discussion of environmental matters,including NOx, SO2, and mercury emission reductionrequirements and the December 2005 breach of the upperreservoir at UEs Taum Sauk pumped-storage hydroelectricplant, see Liquidity and Capital Resources inManagements Discussion and Analysis of Financial

Condition and Results of Operations under Part II, Item 7,and Note 15 Commitments and Contingencies to ourfinancial statements under Part II, Item 8, of this report.

SUPPLY FOR ELECTRIC POWER

Ameren operates an integrated transmission systemthat comprises the transmission assets of UE, CIPS, CILCO,IP and AITC. AITC placed its first transmission assets,jointly owned with IP, in service during the fourth quarter of2008. Any transmission assets of AITC would be eligible forrate recovery upon making the necessary filings with andacceptance by FERC. Ameren also operates two balancingauthority areas, AMMO (which includes UE) and AMIL

(which includes CIPS, CILCO, IP, AITC, Genco and AERG).During 2008, the peak demand in AMMO was 8,644 MWand in AMIL was 8,794 MW. The Ameren transmissionsystem directly connects with 17 other balancing authorityareas for the exchange of electric energy.

UE, CIPS, CILCO and IP are transmission-owningmembers of MISO, and they have transferred functionalcontrol of their systems to MISO. Transmission service onthe UE, CIPS, CILCO and IP transmission systems isprovided pursuant to the terms of the MISO OATT on filewith FERC. EEI operates its own balancing authority areaand its own transmission facilities in southern Illinois. TheEEI transmission system is directly connected to MISO and

TVA. EEIs generating units are dispatched separately fromthose of UE, Genco and AERG.

The Ameren Companies and EEI are members ofSERC. SERC is responsible for the bulk electric powersupply system in much of the southeastern United States,including all or portions of Missouri, Illinois, Arkansas,Kentucky, Tennessee, North Carolina, South Carolina,Georgia, Mississippi, Alabama, Louisiana, Virginia, Florida,Oklahoma, Iowa, and Texas. The Ameren membershipcovers UE, CIPS, CILCO and IP.

See Note 2 Rate and Regulatory Matters to ourfinancial statements under Part II, Item 8, of this report forfurther information.

Missouri Regulated

UEs electric supply is obtained primarily from its owngeneration. Factors that could cause UE to purchase powerinclude, among other things, absence of sufficient ownedgeneration, plant outages, the failure of suppliers to meettheir power supply obligations, extreme weather conditions,and the availability of power at a cost lower than the cost ofgenerating it.

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In March 2006, UE completed the purchase of three CTfacilities, totaling 1,490 megawatts of capacity, at a price of$292 million. These purchases were designed to help meetUEs increased generating capacity needs and to provide UEwith additional flexibility in determining when to add futurebaseload generating capacity. UE expects these CT facilitiesto satisfy demand growth until 2018 or 2020. However, dueto the significant time required to plan, acquire permits for,

and build a baseload power plant, UE is actively studyingfuture plant alternatives, including those that would use coalor nuclear fuel. In 2008, UE filed an integrated resourceplan with the MoPSC. The plan included proposals topursue energy efficiency programs, expand the role ofrenewable energy sources in UEs overall generation mix,increase operational efficiency at existing power plants, andpossibly retire some generating units that are older and lessefficient.

In July 2008, UE filed a COLA with the NRC for apotential new nuclear unit at UEs existing Callaway County,Missouri, nuclear plant site. In addition, in 2008, UE filed anapplication with the DOE for loan guarantees associated

with the potential construction of a new nuclear unit. UEhas also signed contracts for certain long lead-time nuclearplant related equipment. The filing of the COLA and the DOEloan guarantee application and entering into these contractsdoes not mean a decision has been made to build anothernuclear unit. These are only the first steps in the regulatorylicensing and procurement process and are necessaryactions to preserve the option to develop a new nuclearunit.

See also Outlook in Managements Discussion andAnalysis of Financial Condition and Results of Operationsunder Part II, Item 7 and Note 2 Rate and RegulatoryMatters and Note 15 Commitments and Contingencies to

our financial statements under Part II, Item 8, of this report.

Illinois Regulated

As of January 1, 2007, CIPS, CILCO and IP wererequired to obtain all electric supply requirements forcustomers who did not purchase electric supply from third-party suppliers. The power procurement costs incurred byCIPS, CILCO and IP are passed directly to their customersthrough a cost recovery mechanism.

In September 2006, a reverse power procurementauction was held, as a result of which CIPS, CILCO and IPentered into power supply contracts with the winning

bidders, including Marketing Company. Under thesecontracts, the electric suppliers are responsible forproviding to CIPS, CILCO and IP energy, capacity, certaintransmission, volumetric risk management, and otherservices necessary for the Ameren Illinois Utilities to servethe electric load needs of fixed price residential and smallcommercial customers (with less than one MW of demand)at an all-inclusive fixed price. These contracts commencedon January 1, 2007, with one-third of the supply contractsexpiring in each of May 2008, 2009 and 2010.

As part of the Illinois electric settlement agreementreached in 2007, the reverse power procurement auctionprocess in Illinois was discontinued. It was replaced with anew power procurement process led by the IPA beginningin 2009. Under the new plan, the IPA will procure separatewholesale products (capacity, energy swaps and renewableenergy credits) on behalf of the Ameren Illinois Utilities forthe period of June 1, 2009, through May 30, 2014. The

products will be procured through a RFP process, which isexpected to begin during the first half of 2009. In 2008,utilities contracted for necessary power and energyrequirements not already supplied through the September2006 auction contracts, primarily through a RFP processthat was subject to ICC review and approval.

A portion of the electric power supply required for theAmeren Illinois Utilities to satisfy their distributioncustomers requirements is purchased from MarketingCompany on behalf of Genco, AERG and EEI. Also as part ofthe Illinois electric settlement agreement, the AmerenIllinois Utilities entered into financial contracts withMarketing Company (for the benefit of Genco and AERG), tolock in energy prices for 400 to 1,000 megawatts annually

of their round-the-clock power requirements during theperiod June 1, 2008, to December 31, 2012, at relevantmarket prices at that time. These financial contracts do notinclude capacity, are not load-following products, and donot involve the physical delivery of energy.

See Note 2 Rate and Regulatory Matters and Note 14 Related Party Transactions to our financial statementsunder Part II, Item 8, of this report for additionalinformation on power procurement in Illinois.

Non-rate-regulated Generation

In December 2006, Genco and Marketing Company,and AERG and Marketing Company, entered into power

supply agreements whereby Genco and AERG sell andMarketing Company purchases all the capacity availablefrom Gencos and AERGs generation fleets and theassociated energy commencing on January 1, 2007. Thesepower supply agreements continue through December 31,2022, and from year to year thereafter unless either partyelects to terminate the agreement by providing the otherparty with no less than six months advance written notice.In December 2005, EEI and Marketing Company enteredinto a power supply agreement whereby EEI sells all of itscapacity and energy to Marketing Company commencingJanuary 1, 2006. This agreement expires on December 31,2015. All of Gencos, AERGs and EEIs generating capacitycompetes for the sale of energy and capacity in the

competitive energy markets through Marketing Company.See Note 14 Related Party Transactions to our financialstatements under Part II, Item 8, of this report for additionalinformation.

Factors that could cause Marketing Company topurchase power for the Non-rate-regulated Generationbusiness segment include, among other things, absence ofsufficient owned generation, plant outages, the failure ofsuppliers to meet their power supply obligations, andextreme weather conditions.

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FUEL FOR POWER GENERATION

The following table presents the source of electric generation by fuel type, excluding purchased power, for the yearsended December 31, 2008, 2007 and 2006:

Coal Nuclear Natural Gas Hydroelectric Oil

Ameren:(a)

2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85% 12% 1% 2% (b)%2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84 12 2 2 (b)

2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 13 1 1 (b)

Missouri Regulated:UE:

2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77% 19% 1% 3% (b)%2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76 19 2 3 (b)2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77 20 1 2 (b)

Non-rate-regulated Generation:Genco:

2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99% -% 1% -% (b)%2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96 - 4 - (b)2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97 - 2 - 1

CILCO (AERG):2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99% -% 1% -% -%2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99 - 1 - (b)

2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99 - 1 - (b)EEI:

2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100% -% -% -% -%2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 - - - -2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 - (b) - -

Total Non-rate-regulated Generation:2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99% -% 1% -% (b)%2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98 - 2 - (b)2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99 - 1 - (b)

(a) Includes amounts for Ameren registrant and nonregistrant subsidiaries and intercompany eliminations.(b) Less than 1% of total fuel supply.

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The following table presents the cost of fuels for electric generation for the years ended December 31, 2008, 2007 and2006:

Cost of Fuels (Dollars per million Btus) 2008 2007 2006

Ameren:Coal(a)(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.572 $ 1.399 $ 1.271Nuclear . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.493 0.490 0.434Natural gas(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.503 7.939 8.718

Weighted average all fuels(c)(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.573 $ 1.462 $ 1.281

Missouri Regulated:UE:Coal(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.426 $ 1.284 $ 1.084Nuclear . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.493 0.490 0.434Natural gas(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.264 7.580 8.625

Weighted average all fuels(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.340 $ 1.271 $ 1.035

Non-rate-regulated Generation:Genco:Coal(a)(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.958 $ 1.717 $ 1.691Natural gas(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15.857 8.440 9.391

Weighted average all fuels(c)(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2.121 $ 1.939 $ 1.865

CILCO (AERG):Coal(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.598 $ 1.309 $ 1.419

Weighted average all fuels(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.721 $ 1.450 $ 1.466

EEI:Coal(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.438 $ 1.329 $ 1.266

Total Non-rate-regulated Generation:Coal(a)(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.746 $ 1.545 $ 1.513Natural gas(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.764 8.390 8.793

Weighted average all fuels(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1.919 $ 1.759 $ 1.677

(a) The fuel cost for coal represents the cost of coal, costs for transportation, which includes diesel fuel adders, and cost of emission allowances.(b) The fuel cost for natural gas represents the actual cost of natural gas and variable costs for transportation, storage, balancing, and fuel losses

for delivery to the plant. In addition, the fixed costs for firm transportation and firm storage capacity are included in the calculation of fuel costfor the generating facilities.

(c) Represents all costs for fuels used in our electric generating facilities, to the extent applicable, including coal, nuclear, natural gas, oil, propane,tire chips, paint products, and handling. Oil, paint, propane, and tire chips are not individually listed in this table because their use is minimal.

(d) Excludes impact of the Genco coal supply contract settlement under which Genco received a lump-sum payment of $60 million in July 2008from a coal mine owner. See Note 1 Summary of Significant Accounting Policies under Part II, Item 8, of this report.

Coal

UE, Genco, AERG and EEI have agreements in place topurchase a portion of their coal needs and to transport it toelectric generating facilities through 2012. UE, Genco, AERGand EEI expect to enter into additional contracts to purchasecoal. Coal supply agreements typically have an initial term offive years, with about 20% of the contracts expiringannually. Ameren burned 40.3 million (UE 22.0 million,Genco 9.6 million, AERG 3.7 million, EEI 5.0 million)tons of coal in 2008. See Part II, Item 7A Quantitative andQualitative Disclosures About Market Risk of this report foradditional information about coal supply contracts.

About 96% of Amerens coal (UE 97%,Genco 98%, AERG 77%, EEI 100%) is purchasedfrom the Powder River Basin in Wyoming. The remainingcoal is typically purchased from the Illinois Basin. UE,Genco, AERG and EEI have a policy to maintain coalinventory consistent with their projected usage. Inventorymay be adjusted because of uncertainties of supply due topotential work stoppages, delays in coal deliveries,

equipment breakdowns, and other factors. In the past,deliveries from the Powder River Basin have been restrictedbecause of rail maintenance, weather and derailments. As ofDecember 31, 2008, coal inventories for UE, Genco, AERGand EEI were adequate and at targeted levels. Disruptions incoal deliveries could cause UE, Genco, AERG and EEI topursue a strategy that could include reducing sales ofpower during low-margin periods, buying higher-cost fuelsto generate required electricity, and purchasing power fromother sources.

Nuclear

Developing nuclear generating fuel generally involvesthe mining and milling of uranium ore to produce uraniumconcentrates, the conversion of uranium concentrates touranium hexafluoride gas, enrichment of that gas, and thenthe fabrication of the enriched uranium hexafluoride gasinto usable fuel assemblies. UE has entered into uranium,uranium conversion, enrichment, and fabrication contractsto procure the fuel supply for its Callaway nuclear plant.

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Fuel assemblies for the 2010 spring refueling at UEsCallaway nuclear plant will begin manufacture during thefourth quarter of 2009. Enriched uranium for suchassemblies is in inventory. UE also has agreements orinventories to price-hedge approximately 95% of Callaways2010 and 55% of Callaways 2011 refueling requirements.UE has uranium (concentrate and hexafluoride) inventoriesand supply contracts sufficient to meet all of its uranium

and conversion requirements through at least 2014. UE hasenriched uranium inventories and enrichment supplycontracts sufficient to satisfy enrichment requirementsthrough 2012. Fuel fabrication services are under contractthrough 2010. UE expects to enter into additional contractsto purchase nuclear fuel. As a member of Fuelco, UE canjoin with other member companies to increase itspurchasing power and opportunities for volume discounts.The Callaway nuclear plant normally requires refueling at18-month intervals. The last refueling was completed inNovember 2008. There is no refueling scheduled in 2009 or2012. The nuclear fuel markets are competitive, and pricescan be volatile; however, we do not anticipate anysignificant problems in meeting our future supply

requirements.

Natural Gas Supply

To maintain gas deliveries to gas-fired generating unitsthroughout the year, especially during the summer peakdemand, Amerens portfolio of natural gas supply resourcesincludes firm transportation capacity and firm no-noticestorage capacity leased from interstate pipelines. UE, Gencoand EEI primarily use the interstate pipeline systems ofPanhandle Eastern Pipe Line Company, Trunkline GasCompany, Natural Gas Pipeline Company of America, andMississippi River Transmission Corporation to transportnatural gas to generating units. In addition to physicaltransactions, Ameren uses financial instruments, including

some in the NYMEX futures market and some in the OTCfinancial markets, to hedge the price paid for natural gas.

UE, Genco and EEIs natural gas procurement strategyis designed to ensure reliable and immediate delivery ofnatural gas to their generating units. UE, Genco and EEI dothis in two ways. They optimize transportation and storageoptions and minimize cost and price risk through varioussupply and price hedging agreements that allow them tomaintain access to multiple gas pools, supply basins, andstorage. As of December 31, 2008, UE had price-hedgedabout 22% and Genco had price-hedged about 30% of theirrequired gas supply for generation in 2009. As ofDecember 31, 2008, EEI did not have any of its required gas

supply for generation hedged for price risk.

NATURAL GAS SUPPLY FOR DISTRIBUTION

UE, CIPS, CILCO and IP are responsible for thepurchase and delivery of natural gas to their gas utilitycustomers. UE, CIPS, CILCO and IP develop and manage aportfolio of gas supply resources. These include firm gassupply under term agreements with producers, interstateand intrastate firm transportation capacity, firm storagecapacity leased from interstate pipelines, and on-system

storage facilities to maintain gas deliveries to customersthroughout the year and especially during peak demand.UE, CIPS, CILCO and IP primarily use the PanhandleEastern Pipe Line Company, the Trunkline Gas Company,the Natural Gas Pipeline Company of America, theMississippi River Transmission Corporation, and the TexasEastern Transmission Corporation interstate pipelinesystems to transport natural gas to their systems. In

addition to physical transactions, financial instruments,including those entered into in the NYMEX futures marketand in the OTC financial markets, are used to hedge theprice paid for natural gas. See Part II, Item 7A Quantitative and Qualitative Disclosures About Market Riskof this report for additional information about natural gassupply contracts. Prudently incurred natural gas purchasecosts are passed on to customers of UE, CIPS, CILCO andIP in Illinois and Missouri under PGA clauses, subject toprudency review by the ICC and the MoPSC.

For additional information on our fuel and purchasedpower supply, see Results of Operations, Liquidity andCapital Resources and Effects of Inflation and Changing

Prices in Managements Discussion and Analysis ofFinancial Condition and Results of Operations under Part II,Item 7, of this report. Also see Quantitative and QualitativeDisclosures About Market Risk under Part II, Item 7A, ofthis report, Note 1 Summary of Significant AccountingPolicies, Note 7 Derivative Financial Instruments, Note 14 Related Party Transactions, Note 15 Commitments andContingencies, and Note 16 Callaway Nuclear Plant to ourfinancial statements under Part II, Item 8.

INDUSTRY ISSUES

We are facing issues common to the electric and gasutility industry and the non-rate-regulated electric

generation industry. These issues include:

political and regulatory resistance to higher rates,especially in a recessionary economic environment;

the potential for changes in laws, regulation, andpolicies at the state and federal level, including thoseresulting from election cycles;

access to and uncertainty in the capital and creditmarkets;

the potential for more intense competition in generationand supply;

pressure on customer growth and usage in light ofcurrent economic conditions;

the potential for reregulation in some states, including

Illinois, which could cause electric distributioncompanies to build or acquire generation facilities andto purchase less power from electric generatingcompanies like Genco, AERG and EEI;

changes in the structure of the industry as a result ofchanges in federal and state laws, including theformatio