Forward looking statements

2. Forward looking statements This presentation may contain forward looking statements, including statements regarding the business and anticipated financial performance of TransAlta Corporation. All forward looking statements are based on our beliefs and assumptions based on information available at the time the assumption was made. These statements are not guarantees of our future performance and are subject to a number of risks and uncertainties that may cause actual results to differ materially from those contemplated by the forward looking statements. Some of the factors that could cause such differences include expectations related to the demand for electricity in both the short-term and long term, timing and completion of projects under development including uprates and upgrades, ability to acquire assets which are accretive, ability to source materials and parts in a timely manner, cost of fuels to produce electricity, legislative or regulatory developments, competition, global capital markets activity, changes in currency exchange and interest rates, inflation levels, unanticipated accounting issues with respect to our financial statements, plant availability, and general economic conditions in geographic areas where TransAlta Corporation operates. Given these uncertainties, the reader should not place undue reliance on this forward looking information, which is given as of this date. The material assumptions in making these forward looking statements are disclosed in our 2010 Annual Report to shareholders and other disclosure documents filed with securities regulators. Unless otherwise specified, all dollar amounts are expressed in Canadian dollars.

3. TransAlta at a glance TransAlta today • Coal: 4,386 MW • Canada’s largest publicly traded wholesale power generator & marketer with over 100 years of operating experience • Over 8,000 MW strategically positioned in Canada, Western U.S. and Australia • 2,100 MW of renewable energy • 1,600 MW added since 2005 • Revenues of ~$3 billion generated from an asset base of over $9 billion • Enterprise value of ~ $10 billion with a market cap of ~$5 billion • Investment grade credit ratings • Listed on Toronto and New York stock exchanges • Gas: 1,788 MW • Hydro:912 MW • Wind:1,129 MW • Geothermal:164 MW 3

4. Why TransAlta Why TransAlta Diversified generation portfolio located in growing markets • Over 75 facilities spanning multiple fuels and geographies • Well positioned in markets with strong fundamentals Attractive yield supported by significant cash flow • 5.5% dividend yield • $400 million per year in free cash starting in 2013 • Highly contracted with upside potential to rising power prices • Significant incremental EBITDA post 2020 Proven track record for growth with significant upside potential • 1,600 MW added since 2005 • Significant growth pipeline Financial strength to deliver • Investment grade ratings • $2 billion of committed credit facilities • Significant cash flow and favourable access to capital Delivering shareholder value through yield and growth 4

5. Well positioned for future growth Excellent development opportunities Over 75 facilities in multiple fuels and multiple regions MW CANADA UNITED STATES AUSTRALIA Coal-fired plants Wind-powered plants Geothermal Gas-fired plants Hydro plants