<SEC-DOCUMENT>0001137171-16-000252.txt : 20160218
<SEC-HEADER>0001137171-16-000252.hdr.sgml : 20160218
<ACCEPTANCE-DATETIME>20160218123936
ACCESSION NUMBER:		0001137171-16-000252
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20160216
FILED AS OF DATE:		20160218
DATE AS OF CHANGE:		20160218

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			TRANSALTA CORP
		CENTRAL INDEX KEY:			0001144800
		STANDARD INDUSTRIAL CLASSIFICATION:	ELECTRIC SERVICES [4911]
		IRS NUMBER:				000000000
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-15214
		FILM NUMBER:		161436819

	BUSINESS ADDRESS:	
		STREET 1:		110 12TH AVE SW BOX 1900 STATION M
		STREET 2:		CALGARY ALBERTA T2P 2MI
		CITY:			CALGARY
		STATE:			A0
		ZIP:			T2P2M1
		BUSINESS PHONE:		403-267-4724

	MAIL ADDRESS:	
		STREET 1:		110-12TH AVENUE SW
		CITY:			CALGARY ALBERTA CANADA
		STATE:			A0
		ZIP:			T2P2M1
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>transalta6k02182016.htm
<DESCRIPTION>TRANSALTA CORPORATION - 6-K
<TEXT>
<HTML>
<HEAD>
     <TITLE>JA Filed by Filing Services Canada Inc. (403)717-3898</TITLE>
</HEAD>
<BODY STYLE="font: 10pt Times New Roman, Times, Serif">

<P STYLE="margin: 0"></P>

<P STYLE="font: bold 14pt Times New Roman, Times, Serif; margin: 0 0 24pt; text-align: center">UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION<BR>
Washington, D.C. 20549</P>

<P STYLE="font: 14pt Times New Roman, Times, Serif; margin: 0 0 24pt; text-align: center"><B>FORM 6-K</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 24pt; text-align: center"><B>REPORT OF FOREIGN PRIVATE ISSUER PURSUANT
TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 24pt">For the month of February 2016</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>TRANSALTA CORPORATION</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: center">(Translation of registrant&rsquo;s name into
English)</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>110-12<SUP>th</SUP> Avenue S.W., Box 1900,
Station &ldquo;M&rdquo;, Calgary, Alberta, T2P 2M1</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-align: center">(Address of principal executive offices)</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-align: center">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-align: center">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt">Indicate by check mark whether the registrant files or will
file annual reports under cover Form 20-F or Form 40-F.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt">Form 20-F____ &#9;Form 40-F <U>X </U></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt">Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ____</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt">Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____</P>


<!-- Field: Page; Sequence: 1 -->
    <DIV STYLE="margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-align: center"><B>I</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The document listed below as Exhibit 99.1 to
this Form 6-K is a copy of the Registrant&rsquo;s news release dated February 18, 2016 announcing &ldquo;TransAlta Declares Dividends.&rdquo;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: justify">This news release is being furnished, not filed,
and will not be incorporated by reference into any registration statement filed by TransAlta Corporation under the Securities Act
of 1933, as amended.</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt 40.5pt; text-align: justify; text-indent: 0in">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 15%; padding-right: 5.4pt; padding-bottom: 12pt; padding-left: 5.4pt; font: 12pt Times New Roman, Times, Serif; text-indent: 0in">99.1</TD>
    <TD STYLE="width: 85%; padding-right: 5.4pt; padding-left: 5.4pt; font: 12pt Times New Roman, Times, Serif; text-align: justify"><A HREF="newsrelease.htm">Press release dated February 18, 2016 announcing &ldquo;TransAlta Reports Fourth Quarter and Full Year 2015 Results.&rdquo;</A></TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt 40.5pt; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>


<!-- Field: Page; Sequence: 2 -->
    <DIV STYLE="margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 14pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-align: center"><B>Signatures</B></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 24pt">Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 12pt Times New Roman, Times, Serif; border-collapse: collapse">
<tr style="vertical-align: top">
    <TD STYLE="padding-right: 9.9pt; padding-left: 5.4pt; width: 50%">&nbsp;</td>
    <TD STYLE="padding-right: 9.9pt; padding-left: 5.4pt; width: 50%"><b>TransAlta Corporation</b></td></tr>
<tr style="vertical-align: top">
    <TD STYLE="padding-right: 9pt; padding-left: 5.4pt">&nbsp;</td>
    <TD STYLE="padding-right: 9pt; padding-left: 5.4pt">&nbsp;</td></tr>
<tr style="vertical-align: top">
    <TD STYLE="padding-top: 16px; padding-right: 5.4pt; padding-left: 336px"></td>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt"><U>By: &nbsp;&nbsp;/s/Donald Tremblay</U></td></tr>
<tr style="vertical-align: top">
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt"></td>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt">Donald Tremblay</td></tr>
<tr style="vertical-align: top">
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt"></td>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt">Chief Financial Officer </td></tr>
</TABLE>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 9.9pt 0 0"></P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 24pt">Date: February 18, 2016</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0.25in 12pt 0">&nbsp;</P>


<!-- Field: Page; Sequence: 3 -->
    <DIV STYLE="margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-indent: 0in"><B>EXHIBIT INDEX</B></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 15%; padding-right: 5.4pt; padding-bottom: 12pt; padding-left: 5.4pt; font: 12pt Times New Roman, Times, Serif; text-indent: 0in">99.1</TD>
    <TD STYLE="width: 85%; padding-right: 5.4pt; padding-left: 5.4pt; font: 12pt Times New Roman, Times, Serif; text-align: justify"><A HREF="newsrelease.htm">Press release dated February 18, 2016 announcing &ldquo;TransAlta Reports Fourth Quarter and Full Year 2015 Results.&rdquo;</A></TD></TR>
</TABLE>
<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 12pt">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0.25in 12pt 0">&nbsp;</P>



<P STYLE="margin: 0">&nbsp;</P>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>newsrelease.htm
<DESCRIPTION>PRESS RELEASE DATED FEBRUARY 16, 2016 ANNOUNCING "TRANSALTA DECLARES DIVIDENDS."
<TEXT>
<HTML>
<HEAD>
     <TITLE>JA Filed by Filing Services Canada Inc. (403) 717-3898</TITLE>
</HEAD>
<BODY BGCOLOR="#FFFFFF" STYLE="font: 10pt Times New Roman, Times, Serif">

<P STYLE="margin: 0"></P>

<P STYLE="font: 14pt/115% Times New Roman, Times, Serif; margin: 0"><B>&nbsp;</B><IMG SRC="image1.jpg" ALT="" STYLE="width: 354px; height: 102px; left: auto; float: left"></P>

<P STYLE="font: 14pt/115% Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B>&nbsp;</P>

<P STYLE="font: 14pt/115% Times New Roman, Times, Serif; margin: 0; text-align: right"><FONT STYLE="font-size: 24pt"><B>News Release</B></FONT></P>

<P STYLE="font: 14pt/115% Times New Roman, Times, Serif; margin: 0; text-align: right"><FONT STYLE="font-size: 24pt"><B>&nbsp;</B></FONT></P>

<P STYLE="font: 14pt/115% Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 14pt/115% Times New Roman, Times, Serif; margin: 0; text-align: center"><B>TransAlta Reports Fourth Quarter and
Full Year 2015 Results</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>CALGARY, Alberta (February 18, 2016)</B>
&#8211; TransAlta Corporation (&#8220;TransAlta&#8221; or the &#8220;Company&#8221;) (TSX: TA; NYSE: TAC) today reported its fourth
quarter and full year 2015 financial results. Comparable EBITDA<SUP>([1]) </SUP>for the fourth quarter 2015 was $268 million compared
to $301 million during the same period last year. Excluding a non-cash adjustment to provisions relating mostly to prior year events,
comparable EBITDA would have been $327 million in the fourth quarter. Comparable FFO<SUP>(1)</SUP> for the quarter was $243 million,
or $0.86 per share, compared to $225 million, or $0.82 per share, during the same period last year. Comparable EBITDA<SUP> </SUP>for
the full year ending December 31, 2015 totaled $945 million, a decrease of $91 million compared to 2014. Excluding the provision
adjustment relating mostly to prior years, comparable EBITDA would have been $1,004 million and within the expected comparable
EBITDA range<SUP>([2])</SUP> of $980 to $1,010 million for the year. Comparable FFO for the full year ending December 31, 2015
was $740 million compared to $762 million in 2014 and in-line with our target range<SUP>(2)</SUP> for the year of $725 to $755
million.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Continued operational improvements at
Canadian Coal, reduced mining costs and the addition of wind, solar and gas pipeline assets during 2015 were offset by Energy Marketing
losses during the second quarter of 2015, lower availability in Canadian Coal during the first half of the year, and lower prices
in Alberta and the Pacific Northwest. Prices in Alberta averaged $33 per megawatt hour (&#8220;MWh&#8221;) in 2015 compared to
$49 per MWh in 2014. Our high level of contracts and hedges mostly mitigated the impact of low prices with the exception of our
wind and hydro businesses in Alberta.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&#8220;2015 was a busy year with the completion
of many initiatives that have positioned TransAlta for 2016 and beyond,&#8221; said Dawn Farrell, President and Chief Executive
Officer. &#8220;Our solid financial results this year reflect the positive impact of our continued focus on costs, efficiencies
and hedging. Despite low power prices and challenging market conditions in Alberta in 2015, we generated comparable FFO in-line
with our expectations for the year, delivered record safety performance, grew our portfolio of renewable assets, and extended the
life of our contracted cash flows. Looking forward, we are focused on building our financial capacity and flexibility as we transition
to clean power and utilizing our expertise, scale, and diversified fuel mix to capitalize on opportunities in our core markets.&#8221;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"></P>

<P STYLE="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0"><FONT STYLE="font: 8pt Times New Roman, Times, Serif"><I>(<FONT STYLE="vertical-align: baseline; line-height: 115%"><B>[1]</B></FONT>)</I></FONT>
<FONT STYLE="font: 8pt Times New Roman, Times, Serif"><I>These items are not defined under IFRS. Presenting these items from period
to period provides management and investors with the ability to evaluate earnings trends more readily in comparison with prior
periods&#8217; results. Refer to the Comparable Funds from Operations and Comparable Free Cash Flow and Earnings and Other Measures
on a Comparable Basis sections of the Company&#8217;s MD&amp;A for further discussion of these items, including, where applicable,
reconciliations to measures calculated in accordance with IFRS.</I></FONT></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0"><I>(<FONT STYLE="vertical-align: baseline; line-height: 115%"><B>[2]</B></FONT>)
Expected guidance ranges for 2015 comparable EBITDA, comparable FFO, comparable FCF and sustaining capital were revised with the
release of the Company&#8217;s third quarter 2015 financial results in October 2015.</I></P>


<!-- Field: Page; Sequence: 1 -->
    <DIV STYLE="margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">As at December 31, 2015, recourse and
non-recourse long-term debt totaled $4.4 billion compared to $4.0 billion at December 31, 2014. During the year, strengthening
of the US dollar increased our debt balances by approximately $0.4 billion. Almost all of our US-dollar-denominated debt is hedged
either through financial contracts or net investments in our U.S.
operations. Since the end of 2013, excluding the impact of the US dollar appreciation and pro-forma the closing of our transaction
with TransAlta Renewables in January, senior unsecured debt has been reduced by over $1.0 billion, including a reduction of over
$700 million on our credit facility and a $300 million reduction in Canadian and US bonds. Over the next three years we plan to
continue on this path by repaying $1.2 billion of maturing recourse debt with proceeds from non-recourse debt and cash flow from
the business.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Comparable net loss attributable to common
shareholders for the full year ending December 31, 2015 was $48 million ($0.17 net loss per share) compared to comparable net earnings
of $68 million ($0.25 net earnings per share) in 2014. The decrease was primarily due to lower comparable EBITDA and higher earnings
attributable to non-controlling interests. Reported net loss attributable to common shareholders for the full year ending December
31, 2015 was $24 million, or $0.09 net loss per share. Comparable net earnings and reported net earnings for the three months ending
December 31, 2015 were $3 million and ($7) million, respectively as compared to $46 million and $148 million in same period in
2014.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>2016 Outlook</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">As previously indicated in our third quarter
2015 report, TransAlta expects its comparable EBITDA for 2016 to be in the range of $990 million and $1.1 billion based on the
current outlook for power prices in Alberta and the Pacific Northwest. Comparable FFO is anticipated to be in the range of $755
to $835 million. Comparable free cash flow is expected to be in the range of $250 million and $300 million, net of sustaining capital
of approximately $330 million to $350 million. Sustaining capital in 2016 includes three major maintenance turnarounds for TransAlta
operated units in the Canadian Coal fleet. Availability of the Company&#8217;s coal fleet in Canada is expected to be in the range
of 87 to 89 per cent in 2016.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>2016 Key Priorities</B></P>

<P STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: -0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Continue to focus on delivering operational excellence at our Canadian
Coal operations </FONT></P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Secure a coal transition agreement in the
Province of Alberta </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Reposition our capital structure by pursuing
project-level debt, targeting $400 to $600 million of project-level financing in 2016</FONT></TD></TR></TABLE>

<P STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: -0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Continue construction of South Hedland with commissioning expected
in mid-2017</FONT></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>2015 Strategic Accomplishments</B></P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Raised over $1.0 billion of capital in 2015,
including the recent transaction that closed on January 6, 2016, through two drop-down transactions with TransAlta Renewables raising
approximately $390 million in equity; the sale of 20.5 million common shares of TransAlta Renewables to the Alberta Investment
Management Corporation (&#8220;AIMCo&#8221;) for net proceeds of $193 million; and $442 million of long-term non-recourse debt
secured by three wind projects.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Extended the contractual profile of Poplar
Creek, Windsor, and the Parkeston gas-fired generating plant. Over the last three years, including these extensions, the weighted
average remaining contractual life of the gas fleet has increased from 6 years to 12 years. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Acquired two wind facilities, representing
65 megawatts (&#8220;MW&#8221;) of capacity in Ontario and Alberta as part of the arrangement to restructure the Poplar Creek contract.</FONT></TD></TR></TABLE>




<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Acquired 71 MW of fully contracted renewable
generation assets for cash consideration of $106 million together with the assumption of $105 million of project financing obligations.
The assets include our first solar facilities, representing 21 MW of capacity in Massachusetts, and a 50 MW wind farm in Minnesota.
The acquisition of the solar facilities closed on September 1, 2015 and the acquisition of the wind farm closed on October 1, 2015.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Company-wide overhead reductions and efficiency
and productivity initiatives in Canadian Coal which is expected to contribute cost savings of approximately $45 to $50 million
annually. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Reached an agreement with the Alberta Market
Surveillance Administrator (the &#8220;MSA&#8221;) to settle all outstanding proceedings before the Alberta Utilities Commission
(the &#8220;AUC&#8221;) for a total amount of $56 million. Of this amount, $31 million was paid in the fourth quarter and $25 million
will be paid in the fourth quarter of 2016. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Received approval from the AUC to construct
Sundance 7, an 865 MW high efficiency natural gas-fired power plant in Alberta. Construction of Sundance 7 will not commence until
we have contracted a significant portion of the plant capacity.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Completed construction of the natural gas
pipeline to our Solomon power station in March. Since then, the pipeline has contributed $10 million to our EBITDA and FFO.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Advanced construction of the South Hedland
power project. Bulk earthworks and civil work were largely completed during the year, and major equipment has been arriving on
schedule. The power station, which is expected to generate approximately $80 million of EBITDA on an annualized basis, is fully
contracted and is expected to be completed on schedule and on budget and be commissioned for operation in mid-2017.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">As at December 31, 2015, our liquidity was
approximately $1.3 billion, compared to $0.9 billion as at September 30, 2015. We are in compliance with the terms of our credit
facility and all undrawn amounts are fully available. On January 6, 2016, we completed a transaction with TransAlta Renewables
to sell economic interests of certain assets located in Canada and received $173 million in cash proceeds. The cash proceeds were
used to reduce amounts borrowed under our credit facilities, further improving our liquidity to approximately $1.4 billion. We
have no material debt maturities until 2017 and anticipate renewing our credit facilities, based on reasonable commercial terms,
prior to their maturities.</FONT></TD></TR></TABLE>

<P STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0.5in"></P>

<!-- Field: Page; Sequence: 2 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0.5in"></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.3pt 0 0; text-align: center"><B>Fourth Quarter and Full Year
Segmented Review</B></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 12pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
</TABLE>

<P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>

<P STYLE="margin-top: 0; margin-bottom: 0"></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; border-collapse: collapse; font-size: 12pt">
<TR STYLE="background-color: #DCE6F1">
    <TD ROWSPAN="2" STYLE="border: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Comparable EBITDA<SUP>([1])</SUP> </B></FONT><BR>
<FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>(in CAD$ millions)</B></FONT></TD>
    <TD NOWRAP COLSPAN="2" STYLE="border-top: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>3 Months Ended</B></FONT></TD>
    <TD COLSPAN="2" STYLE="border-top: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Year Ended</B></FONT></TD></TR>
<TR STYLE="background-color: #DCE6F1">
    <TD NOWRAP STYLE="border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2015</B></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2014</B></FONT></TD>
    <TD STYLE="border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2015</B></FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2014</B></FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; width: 35%; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Canadian Coal</FONT></TD>
    <TD NOWRAP STYLE="width: 16%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">67</FONT></TD>
    <TD NOWRAP STYLE="vertical-align: top; width: 16%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">119</FONT></TD>
    <TD STYLE="width: 16%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">334</FONT></TD>
    <TD STYLE="vertical-align: bottom; width: 17%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">389</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">U.S. Coal</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">23</FONT></TD>
    <TD NOWRAP STYLE="vertical-align: top; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">19</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">67</FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">65</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Gas</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">90</FONT></TD>
    <TD NOWRAP STYLE="vertical-align: top; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">80</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">330</FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">312</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Wind and Solar</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">65</FONT></TD>
    <TD NOWRAP STYLE="vertical-align: top; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">56</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">176</FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">179</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Hydro</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">19</FONT></TD>
    <TD NOWRAP STYLE="vertical-align: top; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">20</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">73</FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">87</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Energy Marketing </FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">26</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">26</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">37</FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">75</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Corporate</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">(22)</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">(19)</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">(72)</FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">(71)</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Total Comparable EBITDA</B></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>268</B></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>301</B></FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>945</B></FONT></TD>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>1,036</B></FONT></TD></TR>
</TABLE>



<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0"></P>



<P STYLE="margin-top: 0; margin-bottom: 0"></P>

<P STYLE="margin-top: 0; margin-bottom: 0"></P>

<P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>

<P STYLE="margin-top: 0; margin-bottom: 0"></P>

<!-- Field: Page; Sequence: 3 -->

    <!-- Field: /Page -->

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt/115% Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><U>Canadian Coal:</U> Comparable EBITDA
decreased by $55 million to $334 million in 2015, compared to $389 million in 2014, primarily as 2015 comparable EBITDA includes
a $59 million adjustment to provisions relating mostly to force majeure events arising between 2013 and 2015. Excluding this adjustment,
2015 comparable EBITDA would have been $393 million, in line with 2014.</FONT> <FONT STYLE="font-family: Times New Roman, Times, Serif">R<FONT STYLE="font-size: 12pt; line-height: 115%">eductions
in operating expenses at our coal facilities and Highvale mine, as well as productivity gains at our mine, offset the negative
impact of lower availability on our comparable EBITDA. Our high level of contracts and hedges in Canadian Coal continues to mostly
offset the impact of lower prices in Alberta.</FONT></FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt/115% Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><U>U.S. Coal:</U> Comparable EBITDA
was $67 million in 2015, in-line with the same period last year,</FONT> <FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">as
the stronger US dollar offset the impacts of lower pricing in the Pacific Northwest. Results for 2015 also include a provision
for liquidated damages relating to low volume of coal transported by rail in 2015.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><U>Gas:</U> Comparable EBITDA increased
by $18 million to $330 million in 2015 compared to $312 million in 2014. The increase is largely due to additional revenues from
the Australian natural gas pipeline, commissioned in March 2015, and the positive impact of the strengthening US dollar on a US-denominated
contract in Western Australia. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><U>Wind and Solar:</U> Comparable EBITDA
was $176 million compared to $179 million last year. The reduction in EBITDA is attributable to lower power prices in Alberta and
lower wind volumes at our Wyoming wind facility, partially offset by the acquisition of additional assets in the fourth quarter
and the strengthening of the US dollar.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><U>Hydro:</U> Comparable EBITDA decreased
by $14 million to $73 million in 2015 compared to $87 million in 2014, primarily as a result of lower prices and a decrease in
price volatility which limited our ability to take advantage of our flexibility to produce electricity in higher priced hours.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><U>Energy Marketing:</U> Energy Marketing
generated comparable EBITDA of $37 million in 2015, down $38 million from 2014. The decrease is attributable to extraordinary market
conditions in the first quarter of 2014 and volatile market conditions in the Alberta and Pacific Northwest regions in the second
quarter of 2015. Energy Marketing generated $49 million of gross margin in 2015, which falls within the expected range of $40 to
$60 million as performance over the last six months was in line with our expectations.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font: 12pt Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><U>Corporate:</U> Corporate costs were $72
million in 2015, in-line with 2014. </FONT></TD></TR></TABLE>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 0 0.0in; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 0 0in; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 0 0in; text-align: justify"></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0"><I>(<FONT STYLE="line-height: 115%"><B><SUP>[1]</SUP></B></FONT>)
2014 results restated to reflect the reassignment to the Corporate Segment of $12 million and to the Energy Marketing Segment
of $1 million of costs associated with certain functions that were determined to benefit the broader organization, or the Energy
Marketing segment, respectively.</I></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0"></P>

<!-- Field: Page; Sequence: 4 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0"></P>

<P STYLE="font: 12pt



<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>Consolidated Financial Review </B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Comparable EBITDA decreased by $91 million
to $945 million compared to 2014 including a non-cash adjustment of $59 million to provisions. Excluding this non-cash adjustment
relating mostly to a prior year, EBITDA would have been $1,004 million. A significant part of the year over year reduction in EBITDA
is due to Energy Marketing results during the second quarter of 2015, lower availability in Canadian Coal during the first half
of the year, and lower prices in Alberta and the Pacific Northwest. Our high level of contracts and hedges mostly mitigated the
impact of low prices, but our wind and hydro businesses in Alberta were adversely impacted. Reduction of our overhead in Canadian
Coal and continued improvement in our mining operations to reduce fuel costs further reduced the impacts on Canadian Coal.</P>

<P STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin: 0">&nbsp;</P>


<!-- Field: Page; Sequence: 5 -->

    <!-- Field: /Page -->

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Comparable FFO decreased by $22 million
to $740 million. As mentioned above, comparable EBITDA includes adjustments to certain provisions that are non-cash. Lower interest
expense and lower cash taxes partly mitigated the shortfall in EBITDA in 2015.</P>

<P STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Comparable net loss attributable to common
shareholders was $48 million ($0.17 net loss per share), down from comparable net earnings of $68 million ($0.25 net earnings per
share) in 2014. The decrease was primarily due to lower comparable EBITDA and higher earnings attributable to non-controlling interest
associated with the sale of additional non-controlling interests in TransAlta Renewables.</P>

<P STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Reported net loss attributable to common
shareholders was $24 million ($0.09 net loss per share) compared to net earnings of $141 million ($0.52 net earnings per share)
in 2014. Reported net earnings in 2015 includes the gain on the Poplar Creek contract restructuring ($192 million, net of tax),
and the cost of the settlement with the MSA ($55 million, net of tax). Changes in the fair value of de-designated and economic
hedges at U.S. Coal also had a negative impact our net earnings ($38 million <SUP>([4])</SUP>, net of tax) (2014 &#8211; $35 million
<SUP>(1)</SUP> positive, net of tax). Deferred income tax expense was also impacted by the increase in the Alberta corporate tax
rate in June 2015 and by the sale of an economic interest in our Australian business to TransAlta Renewables, offsetting a reversal
of a write-down of deferred tax assets associated with movements in financial instrument values.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify"></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0"><I>(<FONT STYLE="line-height: 115%"><B><SUP>[1]</SUP></B></FONT>)
Hedge accounting could not be applied to certain contracts, and accordingly, the mark-to-market on these contracts impacted reporting
earnings. The impacts of these mark-to-market fluctuations have been removed from revenues to arrive at comparable results, which
reflect the economic nature of these contracts.</I></P>



<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify"></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify"><B>Operating Review </B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">Availability for 2015, after
adjusting for economic dispatching at U.S. Coal, was 89.0 per cent compared to 90.5 per cent in 2014 and in-line with our 2015
target of 89 to 91 per cent. Lower availability for the year ended December 31, 2015 was due to higher unplanned outages and derates
at Canadian Coal.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">Total sustaining capital expenditures
(including flood recovery capital) were $280 million, below the guidance range for 2015 of $305 million to $320 million and lower
than $352 million in 2014. We continuously drive for cost effective operation of our facilities. In 2015, we announced the elimination
of positions to reduce our costs. This company-wide initiative and others at Canadian Coal are expected to result in annual cost
savings of $45 to $50 million annually. In addition to the impact of the reduction in the number of positions, we have driven reductions
in coal costs through improved mine design sequence, reduced equipment requirements, and optimized contractor usage that have resulted
in a 15 per cent reduction in coal costs from approximately $27 to $23 per tonne since 2013.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>Recent Events</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>Alberta Climate Leadership Plan</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 22, 2015, the Government
of Alberta announced the Alberta Climate Leadership Plan (the &#8220;Plan&#8221;). In respect of the power generation sector,
the Plan targets the retirement of coal generation in the Province of Alberta by 2030, replacement of two-thirds of the retiring
coal-fired generation with renewable generation (to achieve a 30 per cent share of generation by 2030) and one-third gas generation,
and establishment of a new system of greenhouse gas (&#8220;GHG&#8221;) obligations and allowances benchmarked against highly
efficient gas-fired generation beginning in 2018, at the increased price of $30 per tonne. The Government of Alberta has further
stated intentions of providing compensation to coal-fired generators as part of its commitment to treat them fairly and not unnecessarily
strand capital.</P>

<!-- Field: Page; Sequence: 6 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>Key Actions to Support Transition to
Clean Power</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">On January 14, 2016, we announced key
actions to support our transition from coal to gas-fired and renewable generation in the Province of Alberta and maximize our financial
flexibility:</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">We have revised our dividend to $0.16
per common share on an annualized basis from $0.72 previously. The reduction will reduce cash required for the dividend to approximately
$45 million from approximately $205 million annually. The revised dividend represents a 15 to 18 per cent payout of our estimated
2016 comparable FCF. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol; color: windowtext">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; line-height: 115%">We have suspended our
dividend reinvestment plan in order to stop shareholder dilution. We do not currently expect to raise additional equity in 2016
as the incremental cash from the dividend reduction will be used to strengthen our balance sheet. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">We will focus on raising non-recourse
debt to fund upcoming corporate debt maturities. We expect to raise $400 to $600 million of project-level debt in 2016 to fund
the next material debt maturity of US$400 million in 2017, and plan to execute a similar strategy for the 2018 maturities of $177
million and US$520 million. </FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">We will negotiate with the Government
of Alberta, using a principles-based approach, to ensure the Company has the certainty and capacity needed to invest in clean power.
</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">Over the next 15 years, we will focus
on replacing coal generating assets with gas-fired and renewable generation assets. </FONT></TD></TR></TABLE>

<P STYLE="font: 8pt/115% Arial, Helvetica, Sans-Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">These actions, combined with initiatives
completed in 2015, will allow us to build the financial capacity and flexibility required to ensure that we are well positioned
for the next 15 years to efficiently address upcoming debt maturities and capitalize on opportunities in gas-fired and renewable
generation that will arise as Alberta transitions from coal to clean power.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>Transactions involving TransAlta Renewables</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">In November 2015, we sold 20.5 million
common shares of TransAlta Renewables in a private placement to AIMCo for net cash consideration of $193 million. During 2015,
we initiated two transactions with TransAlta Renewables with concurrent public equity offerings by TransAlta Renewables:</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">On May 7, 2015, we completed the sale
of an economic interest based on the cash flows of our Australian assets to TransAlta Renewables. The Australian assets consist
of six operating assets with an installed capacity of 425 MW, the 150 MW South Hedland project currently under construction, as
well as the recently commissioned 270 kilometre gas pipeline. At the closing of this transaction, TransAlta Renewables paid the
Company $217 million in cash and approximately $1,067 million through a combination of common shares and Class B shares in TransAlta
Renewables. TransAlta Renewables has also committed to funding the costs to construct the South Hedland project incurred after
January 1, 2015, representing an estimated $491 million. TransAlta Renewables funded the cash proceeds through the public issuance
of 17,858,423 common shares at a price of $12.65 per share.</FONT></TD></TR></TABLE>

<P STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin: 0 0 0 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 12pt/115% Arial, Helvetica, Sans-Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">On January 6, 2016, we completed the sale
of an economic interest based on the cash flows of the 506 MW Sarnia cogeneration facility and of two renewable energy facilities
with total capacity of 105 MW for $540 million. Consideration received from TransAlta Renewables consisted of gross proceeds of
approximately $173 million, 15.6 million common shares of TransAlta Renewables with a value of $152 million and a $215 million
unsecured subordinated debenture convertible into common shares of TransAlta Renewables at a price of $13.16 per common share upon
maturity on December 31, 2020. TransAlta Renewables issued 17,692,750 common shares at $9.75 per share as part of this transaction.
After completing this transaction, we own approximately 64 per cent of TransAlta Renewables.</FONT></TD></TR></TABLE>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">We remain committed to maintaining our
position as the majority shareholder and sponsor of TransAlta Renewables with a stated goal of maintaining our interest between
60 to 80 per cent.</P>

<!-- Field: Page; Sequence: 7 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>TransAlta Renewables Project Financing</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 1, 2015, TransAlta Renewables
closed a $442 million non-recourse bond offering for its indirect wholly-owned subsidiary, Melancthon Wolfe Wind LP. The bonds
are amortizing and bear interest at a rate of 3.834 per cent, payable semi-annually, and mature on December 31, 2028. Net proceeds
of the financing were used to reduce our balance on the credit facility.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>Poplar Creek Restructuring and Acquisition
of Two Wind Farms</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 1, 2015, we completed the
restructuring of our contractual arrangement for power generation services with Suncor Energy (&#8220;Suncor&#8221;) at Suncor&#8217;s
oil sands base site near Fort McMurray and the acquisition of Suncor&#8217;s interest in two wind projects located in Alberta and
Ontario, representing 65 MW of net capacity. The contract restructuring increased the duration of the contract by seven years to
2030, reduced our exposure to Alberta&#8217;s merchant power market, added high quality renewables assets and supplemented the
pipeline of assets that we could drop-down to TransAlta Renewables in the future.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">As a result of the transaction, we recognized
a finance lease of $372 million, increased our long-term assets to reflect the acquisition of two wind farms for $138 million,
and recognized a gain of $262 million. The carrying amount of net assets we transferred to Suncor was $250 million.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>U.S. Wind and Solar Acquisition</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">We successfully completed the acquisition
of 71 MW of fully contracted renewable generation assets for cash consideration of US$76 million together with the assumption of
certain tax equity obligations and US$42 million of non-recourse debt. The assets include TransAlta&#8217;s first solar facilities,
representing 21 MW of solar facilities in Massachusetts, and a 50 MW Lakeswind wind facility in Minnesota, and increase the pipeline
of assets which may be dropped-down into TransAlta Renewables. The purchase of the solar projects in Massachusetts closed on September
1, 2015 and the purchase of the Lakeswind wind project in Minnesota was completed on October 1, 2015.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>Efficiency and Productivity Initiatives</U></P>


<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">We continuously drive for cost effective
operation of our facilities. In 2015, we announced the elimination of positions to reduce our costs. This company-wide initiative
and others in Canadian Coal are expected to result in annual cost savings in excess of $47 million annually.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">In addition to the impact of the reduction
in the number of positions, we have driven reductions in coal costs through improved mine design sequence, reduced equipment requirements,
and optimized contractor usage. Since insourcing the activity in 2013, coal costs per tonne have decreased by 15 per cent, from
approximately $27 to $23 per tonne.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>South Hedland Power Station</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">We continued construction of the AUD$570
million, 150 MW combined cycle gas power station in South Hedland, Australia, which we will own and operate. As of December 31,
2015, major equipment was received on site in-line with the project schedule including all three gas turbines and generators, the
new step-up transformer and the air-cooled condenser. Electrical installation and mechanical erection work continues to proceed
as planned.&nbsp;The power station is fully contracted and is expected to be commissioned in mid- 2017.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">The remaining project costs associated
with South Hedland were estimated at approximately $316 million (AUD$326 million) as of December 31, 2015 and will be funded by
TransAlta Renewables through a combination of cash flow from operations and borrowings under a credit facility.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><U>Sundance 7</U></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">During 2015, we received approval from
the AUC to construct and operate an 856 MW combined-cycle natural gas-fired power plant in Alberta. The Sundance 7 project has
received all regulatory approvals after receiving the <I>Environmental Protection and Enhancement Act</I> approval from Alberta
Environment and Parks on Oct. 1, 2015.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">Construction of Sundance 7 will not commence
until we have contracted a significant portion of the plant capacity. Following changes to market conditions in Alberta during
the past year, we do not anticipate that this condition will be met by 2020. In December 2015, we repurchased our partner&#8217;s
50 per cent share in TAMA Power, the jointly controlled entity developing this project, for consideration of $10 million payable
in five years, along with an option to buy back in to this project or into other projects of TAMA Power during this period.</P>


<!-- Field: Page; Sequence: 8 -->
    <DIV STYLE="margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<p STYLE="font-style: normal; font-variant: normal; font-weight: normal; line-height: 115%; font-size: 11pt; font-family: Calibri, Helvetica, Sans-Serif; text-align: center; margin-left: 0; margin-right: 0; margin-top: 0; margin-bottom: 10pt"><B>Fourth Quarter and Year Ended
2015 Highlights</B></p>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 12pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="background-color: #DCE6F1">
    <TD ROWSPAN="2" STYLE="border: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>In $CAD millions, unless otherwise stated </B></FONT></TD>
    <TD NOWRAP COLSPAN="2" STYLE="border-top: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>3 Months Ended</B></FONT></TD>
    <TD COLSPAN="2" STYLE="border-top: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Year Ended</B></FONT></TD></TR>
<TR STYLE="background-color: #DCE6F1">
    <TD NOWRAP STYLE="border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2015</B></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2014</B></FONT></TD>
    <TD STYLE="border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2015</B></FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif"><B>Dec. 31, 2014</B></FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: top; width: 44%; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Adjusted availability (%)<SUP> ([5]),([6])</SUP></FONT></TD>
    <TD NOWRAP STYLE="width: 14%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">88.4%</FONT></TD>
    <TD NOWRAP STYLE="width: 14%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">93.2%</FONT></TD>
    <TD STYLE="width: 14%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">89.0%</FONT></TD>
    <TD STYLE="width: 14%; border-bottom: Black 1pt solid; border-right: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">90.5%</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Production (GWh) <SUP>(1),([7])</SUP></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">11,107</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">12,207</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">40,673</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">45,002</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Revenue</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$595</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$718</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$2,267</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$2,623</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable EBITDA<SUP>([8])</SUP></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$268</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$301</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$945</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$1,036</FONT></TD></TR>
<TR>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Reported Net Earnings (loss) attributable to common shareholders</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">($7)</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$148</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">($24)</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">141</FONT></TD></TR>
<TR>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable Net Earnings (loss) attributable&nbsp;&nbsp;to common shareholders</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$3</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$46</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">($48)</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$68</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable Funds from Operations</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$243</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$225</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$740</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$762</FONT></TD></TR>
<TR>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Cash Flow from Operating Activities</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$118</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$250</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$432</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$796</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable Free Cash Flow<SUP> (4)</SUP></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$174</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$97</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$315</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$280</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt">&nbsp;</TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center">&nbsp;</TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center">&nbsp;</TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center">&nbsp;</TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center">&nbsp;</TD></TR>
<TR>
    <TD STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Net Earnings (loss) per common share</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">($0.02)</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.54</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">($0.09)</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.52</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable Net Earnings (loss) per share</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.01</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.17</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">($0.17)</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.25</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable Funds from Operations&nbsp;&nbsp;&nbsp;&nbsp;per share</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.86</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.82</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$2.64</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$2.79</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Comparable Free Cash Flow per share<SUP>(4)</SUP></FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.61</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.35</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$1.13</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$1.03</FONT></TD></TR>
<TR>
    <TD NOWRAP STYLE="vertical-align: bottom; border-right: Black 1pt solid; border-bottom: Black 1pt solid; border-left: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">Dividends declared per common share</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.18</FONT></TD>
    <TD NOWRAP STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.18</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.72</FONT></TD>
    <TD STYLE="border-right: Black 1pt solid; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">$0.72</FONT></TD></TR>
</TABLE>
<P STYLE="font: 8pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 7.5pt 0 0; text-align: justify; text-indent: 0.0in"></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>(<FONT STYLE="line-height: 115%"><B>[1]</B></FONT>)
Availability and production includes all generating assets (generation operations and finance leases that we operate). 2014 availability
also includes equity investments, which were sold in May 2014.</I></P>

<P STYLE="font: 8pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>(<B><SUP>[1]</SUP></B>) Adjusted for
economic dispatching at U.S. Coal.</I></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>(<FONT STYLE="line-height: 115%"><B><SUP>[1]</SUP></B></FONT>)
2014 production includes 314 GWh from CE Generation LLC and Wailuku Holding Company, LLC, both of which were sold in May 2014.</I></P>

<P STYLE="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>(<FONT STYLE="line-height: 115%"><B><SUP>[1]</SUP></B></FONT>)
2014 restated to deduct hydro life extension capital expenditures from comparable FCF.</I></P>



<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 7.5pt 0 0; text-align: justify; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 7.5pt 0 0; text-align: justify; text-indent: 0in"></P>

<!-- Field: Page; Sequence: 9 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 7.5pt 0 0; text-align: justify; text-indent: 0in"></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">TransAlta is in the process of filing
its Annual Information Form, Audited Consolidated Financial Statements and accompanying notes, as well as the associated Management
Discussion &amp;Analysis. These documents will be available today on the Investors section of TransAlta&#8217;s website at www.transalta.com
or through SEDAR at www.sedar.com.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">TransAlta is also in the process of filing
its 40-F with the U.S. Securities and Exchange Commission. The form will be available through their website at www.sec.gov. Paper
copies of all documents are available to shareholders free of charge upon request.</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>Conference call</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">We will hold a conference call
and webcast at 9:00 a.m. MT (11:00 a.m. ET) today to discuss our fourth quarter and 2015 results. The call will begin with a short
address by Dawn Farrell, President and CEO, and Donald Tremblay, Chief Financial Officer,<B><I> </I></B>followed by a question
and answer period for investment analysts and investors. A question
and answer period for the media will immediately follow. Please contact the conference operator five minutes prior to the call,
noting &quot;TransAlta Corporation&quot; as the company and &quot;Jaeson Jaman&quot; as moderator.</P>


<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Dial-in numbers:<BR>
Toll-free North American participants call: 1-800-319-4610<FONT STYLE="font: 12pt/115% Times New Roman, Times, Serif">&nbsp;</FONT></B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Outside of Canada &amp; USA call: 1-604-638-5340</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify">A link to the live webcast will be available
on the Investor Centre section of TransAlta&#8217;s website at http://www.transalta.com/powering-investors/events-and-presentations.
If you are unable to participate in the call, the instant replay is accessible at 1-855-669-9658 (Canada and USA toll free) or
1-604-674-8052 (Outside of Canada) with TransAlta pass code 00227 followed by the # sign. A transcript of the broadcast will be
posted on TransAlta&#8217;s website once it becomes available.</P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0"></P>

<!-- Field: Page; Sequence: 10 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0"><B><I>About TransAlta</I></B></P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>TransAlta is a power generation and
wholesale marketing company focused on creating long-term shareholder value. TransAlta maintains a low-to-moderate risk profile
by operating a highly contracted portfolio of assets in Canada, the United States and Australia. TransAlta&#8217;s focus is to
efficiently operate wind, hydro, solar, natural gas and coal facilities in order to provide customers with a reliable, low-cost
source of power. For over 100 years, TransAlta has been a responsible operator and a proud contributor to the communities in which
it works and lives. TransAlta has been selected by Sustainalytics as one of Canada&#8217;s Top 50 Socially Responsible Companies
since 2009; and is recognized globally for its leadership on sustainability and corporate responsibility standards by FTSE4Good.
</I></P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>&nbsp;</I></P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><I>For more information about TransAlta,
visit our web site at www.transalta.com or follow us on Twitter @TransAlta.</I></P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><I>&nbsp;</I></B></P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0; text-align: justify"><B><I>Cautionary Statement Regarding Forward
Looking Information</I></B></P>

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify"><FONT STYLE="font-weight: normal"><I>This
news release contains forward looking statements including, without limitation, statements pertaining to TransAlta&#8217;s business
and anticipated future financial performance; our expected strategies and opportunities; expected comparable EBITDA, comparable
FFO and comparable free cash flow ranges for 2016; expected sustaining capital expenditures for 2016; expected availability for
2016; the development and construction of Sundance Unit 7 and the timing thereof; the commissioning of South Hedland and the costs;
the expected EBITDA to be generated from South Hedland; expected cost savings from overhead reductions and efficiency and productivity
initiatives; expected governmental regulatory regimes and legislation (including the Plan) and the expected impact of such regimes
and regulations; our expectations of securing a coal transition agreement with the Province of Alberta; use of the incremental
cash from the dividend reduction; maintaining our position as the majority shareholder or sponsor of TransAlta Renewables; the
cost of complying with resulting regulations and laws; as well as the repositioning of our capital structure through project-level
debt in 2016 and 2017 and the potential drop-down of additional assets to TransAlta Renewables. These statements are based on TransAlta&#8217;s
belief and assumptions based on information available at the time the assumptions were made, including assumptions regarding Alberta
power prices, and the regulatory regimes and economic conditions relevant to the markets in which we operate. These statements
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: operational risks involving our
facilities; changes in market prices where we operate; unplanned outages at generating facilities and the capital investments required;
equipment failure and our ability to carry out repairs in a cost effective and timely manner; the effects of weather; disruptions
in the source of fuels, water or wind required to operate our facilities; energy trading risks; failure to obtain necessary regulatory
approvals in a timely fashion; </I></FONT><FONT STYLE="font-weight: normal; font-variant: normal"><I>legislative
or regulatory developments and their impacts; increasingly stringent environmental requirements and their impacts; increased competition;
global capital markets activity (including our ability to access financing at a reasonable cost); changes in prevailing interest
rates; currency exchange rates; inflation levels and commodity prices; general economic conditions in the geographic areas where
TransAlta operates; impediments to the construction of South Hedland or Sundance Unit 7; disputes or claims involving TransAlta,
including the Keephills 1 force majeure arbitration; and inability to secure non-recourse financing on terms favourable to the
Company or at all. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect TransAlta&#8217;s
expectations only as of the date of this news release. The financial outlook that is contained in this news release was approved
February 17, 2016 and is being provided for the purpose of giving the reader information about management&#8217;s current expectations
and plans. TransAlta disclaims any intention or obligation to update or revise these forward-looking statements, whether as a result
of new information, future events or otherwise, except as required by law.</I></FONT></P>


<!-- Field: Page; Sequence: 11 -->
    <DIV STYLE="margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="page-break-before: always; margin-top: 6pt; border-top: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%"><TR><TD STYLE="text-align: center; width: 100%">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 11pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt 0 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt"><FONT STYLE="font-weight: normal; letter-spacing: -0.2pt">&nbsp;</FONT></P>

<P STYLE="font: bold 12pt/115% Times New Roman, Times, Serif; margin: 0 4.5pt; text-align: center"><FONT STYLE="letter-spacing: -0.2pt">&#8211;
30 &#8211;</FONT></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0"><B>&nbsp;</B></P>

<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0"><B></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; background-color: white; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 50%; border: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 12pt/normal Times New Roman, Times, Serif; margin: 0; background-color: white"><B>For more information:</B></P>
        <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; background-color: white">&nbsp;</P></TD>
    <TD STYLE="width: 50%; border-top: white 1pt solid; border-right: white 1pt solid; border-bottom: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; border-left: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><B><I>Investor Inquiries:</I></B></FONT></TD>
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><B><I>Media Inquiries:</I></B></FONT></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; border-left: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Jaeson Jaman</FONT></TD>
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Stacey Hatcher</FONT></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; border-left: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Manager, Investor Relations</FONT></TD>
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Manager, Communications</FONT></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; border-left: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Phone: 1-800-387-3598 in Canada and U.S.</FONT></TD>
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 12pt/normal Times New Roman, Times, Serif; margin: 0; background-color: white">Phone: Toll-free media number: 1-855-255-9184</P>
        <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; background-color: white">&nbsp;</P></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; border-left: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Email: <FONT STYLE="color: #0070C0">investor_relations@transalta.com</FONT></FONT></TD>
    <TD STYLE="border-right: white 1pt solid; border-bottom: white 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt"><FONT STYLE="font: 12pt Times New Roman, Times, Serif">Email: <FONT STYLE="color: #0070C0">ta_media_relations@transalta.com</FONT></FONT></TD></TR>
</TABLE>


<P STYLE="font: 12pt/115% Times New Roman, Times, Serif; margin: 0"></P>

<P STYLE="font: 10pt/115% Times New Roman, Times, Serif; margin: 0">&nbsp;</P>






<P STYLE="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0"></P>



<P STYLE="margin: 0">&nbsp;</P>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>3
<FILENAME>image1.jpg
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 image1.jpg
M_]C_X  02D9)1@ ! 0$ W #<  #_VP!#  (! 0(! 0(" @(" @(" P4# P,#
M P8$! ,%!P8'!P<&!P<("0L)" @*" <'"@T*"@L,# P,!PD.#PT,#@L,# S_
MVP!# 0(" @,# P8# P8," <(# P,# P,# P,# P,# P,# P,# P,# P,# P,
M# P,# P,# P,# P,# P,# P,# P,# S_P  1" "W DT# 2(  A$! Q$!_\0
M'P   04! 0$! 0$           $" P0%!@<("0H+_\0 M1   @$# P($ P4%
M! 0   %] 0(#  01!1(A,4$&$U%A!R)Q%#*!D:$((T*QP152T? D,V)R@@D*
M%A<8&1HE)B<H*2HT-38W.#DZ0T1%1D=(24I35%565UA96F-D969G:&EJ<W1U
M=G=X>7J#A(6&AXB)BI*3E)66EYB9FJ*CI*6FIZBIJK*SM+6VM[BYNL+#Q,7&
MQ\C)RM+3U-76U]C9VN'BX^3EYN?HZ>KQ\O/T]?;W^/GZ_\0 'P$  P$! 0$!
M 0$! 0        $" P0%!@<("0H+_\0 M1$  @$"! 0#! <%! 0  0)W  $"
M Q$$!2$Q!A)!40=A<1,B,H$(%$*1H;'!"2,S4O 58G+1"A8D-.$E\1<8&1HF
M)R@I*C4V-S@Y.D-$149'2$E*4U155E=865IC9&5F9VAI:G-T=79W>'EZ@H.$
MA8:'B(F*DI.4E9:7F)F:HJ.DI::GJ*FJLK.TM;:WN+FZPL/$Q<;'R,G*TM/4
MU=;7V-G:XN/DY>;GZ.GJ\O/T]?;W^/GZ_]H # ,!  (1 Q$ /P#]_**** "B
MBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH ***
M* "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH
M **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@
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M **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@
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M)]=JL6^JBOG^,<I_M+)Z^%2O*UX_XHZK[[6^9]?X;\1?V)Q'A<?)VAS<L_\
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MB3I?P?\  &J>)M;DEATG1X?M%R\<9D=4R!PHY/45O5XS_P %"_\ DROXB?\
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M ]%?NV#\+^'J,>6=)S?>4I7^Y-+\#^4LP\=>,,34<J>(5)=H0C9?.2E+\3]
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M6-7TJXT+5;JQNHVANK.5X)HVZHZDJP/T((JO7K1::NCY^47%\LMS]KO^"?\
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MOS#HK]XP'A'DM%)XASJ/S?*ONC9_BS^3\V^D1Q+B9-8.-.C'I:/-+YN3:?\
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M[I6O?R/A'X3_ /!#OP]IMO'-XU\7:IJEQP7MM)B6UA4^F]P[,/<!#7MGAO\
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MP@T#Q!XV74/$6K:]8PZ@T"7CVUK:K*@=47RRK,0K %BV">@ K\S*^QOV)/\
M@J]JGP"\/V'A/QG8W'B#PO8J(;.ZMR/MVG1CHF&(66->@!*E1P"0 H];CS!Y
MU7P*_L6;C).\DG:35NC\NUU?\'\[X39APSA,UD^)J:E"4;0<ES0C*^\HZ[K1
M-II==[KZXUC_ ()(_ [5(BL/AO4-/8_QV^KW)(_[[=A^E1_ [_@EKX)_9X^.
M>C^-_#FM>(FETD3@65\\4T;^;"\7#*BL,;\\YZ5[)\$_VC/!?[1&@_VAX/\
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MZG_Z5RUP-?V]E?\ N=+_  Q_)'^6^=_\C'$?XY_^E,]L_P""<O\ R>W\/?\
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M_P"1#C/^O-3_ -(9^*-%%%?VH?YC'ZY?\$?%Q^Q3IG'75+TGW_>5]15\N_\
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M^A%>5?MV_P#)G/Q(_P"P%<?^@U_(^2:9EAT_YX?^E(_T/XF:>38MK_GU4_\
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M\1/@]?R6_B/P;X@T[RSCSC:-);O_ +LR9C;\&-<GI/@[6-?O!;V.E:E>W#'
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MP$V^6<'!M;V<>5OM?4_%/_AWA\:O^B=Z]^4?_P 51_P[P^-1_P":=Z]^4?\
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MT8X\WOYCIY4K/_TX_P C\=O@G_P2X^+OQBO(6N/#[^$],D(+WFMYMF4>T/\
MK2<=,J![BOT>_8]_87\)?L?:#)_9H;5O$5]&$OM8N4"RRC@^7&O(CCR,[022
M0,DX&/;**^"XD\0,TSB#H5&H4_Y8W5_5N[?IMY'ZUP7X0Y#PW56*H1=6NMIS
MLVN_*DDH^MG+I>QX;_P45T_QAXD_9;UK0?!.BWVM:QXBDCT^1+7&Z&W8[I6.
M2!@JFS_MI7YBC_@GA\:L_P#).]>_*/\ ^*K]K**TX9X_Q>1X5X7#4H23;DV[
MW;LET:T21CQQX1Y?Q3CXX_'8BI%QBHJ,>6R2;?6+=VWKKV/Q3/\ P3P^-7_1
M.]>_*/\ ^*KZ^_X)M^+/ _[&'PTU_2_'^OZ?X;\<:GJ9:_T^YW--:11H%B1]
MH(S\TC]>D@[U]M>.?%]G\/\ P7JVNZ@WEV.CV<M[.?\ 8C0L?QP*_$+QYXQO
M/B'XVU?7M0;??:S>2WDYS_'(Y8@>PS@>U?$^+'CIFD<#3R^-*G>H[OXMH_\
M;W5V?R/T+P(^B[D<,UJYNZ]5^RCRQOR?%/=KW.D4U_V\?KC_ ,-^_!S_ *'[
M1_RE_P#B*/\ AOWX.?\ 0_:/_P!\R_\ Q%?CSUH(K^?_ /B*^9?\^H?^3?\
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MU^@/[#O_  2AT_X%ZU9^+/'=Q::]XFM2);.R@!:RTV0<AR6 ,L@[' 53R 2
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M0 4444 %%%% !1110 4444 %%%% !1110 4444 %%%% !1110 4444 %%%%
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M@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH ****
M"BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH *
M*** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HHHH **** "BBB@ HH
AHH **** "BBB@ HHHH **** "BBB@ HHHH **** /__9

end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
