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EDMONTON, Alberta – Capital Power Corporation (TSX: CPX) (Capital Power or the Company) announced today that it intends to redeem all of its 8,000,000 issued and outstanding 6.00% Cumulative Minimum Rate Reset Preference Shares, Series 7 (Series 7 Shares) (TSX: CPX.PR.G) on December 31, 2021 (Redemption Date) at a price of $25.00 per share (Redemption Price) for an aggregate total of $200 million, less any tax required to be deducted and withheld by the Company.

As previously announced, the Company’s Board of Directors has declared a quarterly dividend of $0.375 per Series 7 Share payable on December 31, 2021 (Q4 2021 Quarterly Dividend). This will be the final quarterly dividend on the Series 7 Shares and, as the Redemption Date is also a dividend payment date, the Redemption Price will not include the Q4 2021 Quarterly Dividend. Instead, the Q4 2021 Quarterly Dividend will be paid on the Redemption Date separately to shareholders of record as of December 16, 2021.

The Company has provided notice today of the Redemption Price and the Redemption Date to the sole registered holder of the Series 7 Shares in accordance with their terms. Non-registered holders of Series 7 Shares should contact their broker or other intermediary for information regarding the redemption process for the Series 7 Shares in which they hold a beneficial interest.

Forward-looking Information

Certain information in this press release is forward-looking information within the meaning of Canadian securities laws. Forward-looking information or statements included in this press release are provided to inform the Company’s shareholders and potential investors about management’s assessment of Capital Power’s future plans and operations. This information may not be appropriate for other purposes. The forward-looking information in this press release is generally identified by words such as will, anticipate, believe, plan, intend, target, and expect or similar words that suggest future outcomes. In particular, this press release includes forward-looking information and statements pertaining to the payment of dividends on and the redemption of the Series 7 Shares.

Forward looking statements are based on certain assumptions and analyses made by the Company considering its experience and perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate. Whether actual results, performance or achievements will conform to the Company’s expectations and predictions is subject to a number of known and unknown risks and uncertainties which could cause actual results and experience to differ materially from the Company’s expectations. For additional information on the assumptions made, and the risks and uncertainties which could cause actual results to differ from the anticipated results, refer to “Risks and Risk Management” in Capital Power’s Integrated Annual Report for the year ended December 31, 2020, prepared as of February 18, 2021, under Capital Power’s profile on SEDAR at www.sedar.com.

Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the specified approval date. The Company does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in the Company’s expectations or any change in events, conditions, or circumstances on which any such statement is based, except as required by law.

About Capital Power

Capital Power is a growth-oriented North American wholesale power producer with a strategic focus on sustainable energy headquartered in Edmonton, Alberta. We build, own and operate high-quality, utility-scale generation facilities that include renewables and thermal. We have also made significant investments in carbon capture and utilization to reduce carbon impacts and are committed to be off coal in 2023. Capital Power owns over 6,400 MW of power generation capacity at 26 facilities across North America. Projects in advanced development include 425 MW of owned renewable generation capacity in North Carolina and Alberta and 560 MW of incremental natural gas combined cycle capacity, from the repowering of Genesee 1 and 2 in Alberta.