Year-End 2017 Results & Outlook February 14, YEARS OF CONSISTENT PERFORMANCE

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1 Yer-End 2017 Results & Outlook Februry 14, YEARS OF CONSISTENT PERFORMANCE

2 This presenttion is mde s of the dte hereof nd contins forwrd-looking sttements s defined in Rule 3b-6 of the Securities Exchnge Act of 1934, Rule 175 of the Securities Act of 1933, nd relevnt legl decisions. The forwrd-looking sttements re subject to risks nd uncertinties. All forwrd-looking sttements should be considered in the context of the risk nd other fctors detiled from time to time in CMS Energy s nd Consumers Energy s Securities nd Exchnge Commission filings. Forwrd-looking sttements should be red in conjunction with the FORWARD-LOOKING STATEMENTS AND INFORMATION nd RISK FACTORS sections of CMS Energy s nd Consumers Energy s most recent Form 10-K nd s updted in reports CMS Energy nd Consumers Energy file with the Securities nd Exchnge Commission. CMS Energy s nd Consumers Energy s FORWARD-LOOKING STATEMENTS AND INFORMATION nd RISK FACTORS sections re incorported herein by reference nd discuss importnt fctors tht could cuse CMS Energy s nd Consumers Energy s results to differ mterilly from those nticipted in such sttements. CMS Energy nd Consumers Energy undertke no obligtion to updte ny of the informtion presented herein to reflect fcts, events or circumstnces fter the dte hereof. This presenttion lso includes non-gaap mesures when describing CMS Energy s results of opertions nd finncil performnce. A reconcilition of ech of these mesures to the most directly comprble GAAP mesure is included in the ppendix nd posted on our website t CMS Energy provides historicl finncil results on both reported (GAAP) nd djusted (non-gaap) bsis nd provides forwrd-looking guidnce on n djusted bsis. During n orl presenttion, references to ernings re on n djusted bsis. All references to ernings per shre re on diluted bsis. Adjustments could include items such s discontinued opertions, sset sles, impirments, restructuring costs, regultory items from prior yers, or other items. Mngement views djusted ernings s key mesure of the compny s present operting finncil performnce nd uses djusted ernings for externl communictions with nlysts nd investors. Internlly, the compny uses djusted ernings to mesure nd ssess performnce. Becuse the compny is not ble to estimte the impct of specific line items, which hve the potentil to significntly impct, fvorbly or unfvorbly, the compny's reported ernings in future periods, the compny is not providing reported ernings guidnce nor is it providing reconcilition for the comprble future period ernings. The djusted ernings should be considered supplementl informtion to ssist in understnding our business results, rther thn s substitute for the reported ernings. Similrly, mngement views the rtio of Funds From Opertions (FFO)/Averge Debt s key mesure of the compny s operting finncil performnce nd its finncil position, nd uses the rtio for externl communictions with nlysts nd investors. Becuse the compny does not estblish its trget FFO/Averge Debt rtio bsed on specific trget numertor nd trget denomintor, the compny is unble to provide reconcilition to comprble GAAP finncil mesure for future periods. Investors nd others should note tht CMS Energy routinely posts importnt informtion on its website nd considers the Investor Reltions section, chnnel of distribution. 1

3 Agend Business Updte 2017 Results 2018 Outlook & Priorities Ptti Poppe President & CEO PEOPLE PLANET PROFIT Performnce -- The Consumers Energy Wy Finncil Results & Outlook Federl Tx Reform Updte Rejji Hyes Executive VP & CFO 2

4 Finncil Results & Outlook Results Amount Prior Yer EPS $ % Vs. Operting csh flow (OCF, MM) $1,705 Up $ Updtes EPS guidnce rised $2.30 to $ % to +8% Annul dividend $ % Long-Term Outlook EPS & DPS growth +6% to +8% _ Adjusted EPS (non-gaap) th consecutive yer of consistent finncil performnce. 3

5 CMS Performnce Exemplifies... PEOPLE PLANET PROFIT Sfest yer on record #1 Diverse Utility in the Ntion nd #1 Employer for Diversity in Michign by Forbes Mgzine Best plce to work in Michign by Forbes Mgzine Highest customer stisfction ever! #1 Compny in Michign in Newsweek s Green Rnkings Highest U.S. utility score for sustinbility performnce by Sustinlytics Expnded CrossWinds Energy Prk (44 MW) to support the Green Triff 15 yers of +7% EPS growth Rised dividend 7% YOY, 12 yers of growth Credit upgrded; ~20% b FFO/vg. debt t yer-end Attrcted 69 MW of new lod through economic development efforts PERFORMANCE _ Adjusted EPS (non-gaap) CAGR Best Performnce EVER in: Sfety Customer Stisfction SAIDI Speed of Answer On-Time Delivery Meter Reding Billing Energy Efficiency _ b Non-GAAP... world clss performnce delivering hometown service. 4

6 5 Story of the Yer... Cpitl-Enbled SMART METERS Process-Enbled UA REDUCTIONS 2.4 MM Instlled Trnsltes to > $10 MM in svings Technology-Enbled INVOICE REVERSALS Amount (MM) $ 80 $63 Down 54%; $34 MM in svings Amount (MM) Down 90% 2 40 $ smrt meters nd process improvements deliver cost svings nd customer stisfction.

7 2018 Priorities... Sfety of our employees & the public Support Michign policies & MPSC priorities Continue expnsion of renewbles nd commitment to sustinbility Meet our finncil objectives World clss operting performnce... will enble 16 th yer of strong opertionl nd finncil performnce. 6

8 Simple, Perhps Unique Model... EPS Growth Self Funding: - Cost reductions - Sles growth (continued economic development) - Other (Enterprises, tx plnning, etc.) INVESTMENT SELF-FUNDED Customer Prices t or below infltion Pln 6% - 8% 2-3 pts pts <2% _ Adjusted EPS (non-gaap)... enhnced with tx reform. 7

9 Lrge nd Aging System... Electric distribution system is older thn peers Gs distribution system replcement pln: 25 yers, 27,000 miles 1,670 miles of gs trnsmission pipeline; most built in the WWII er Age of col fleet is more thn 50 yers... requires significnt customer investment. 8

10 Our Entire Cost Structure... Cost Components Above Mrket Costs 100% 90% PPA PPA 80% 70% 60% 50% 40% 30% 20% Fuel nd Power Costs O&M Costs Txes Cpitl Investments Fuel O&M Reductions in Rtes $659 Down $162 MM or 5% nnully ~70% _ Source: FERC Form 1; Internl Down $87 MM or 3% nnully Fuel $572 10% 0% Cost of Cpitl Cse U b Cse U-17990, 2016 Order 2011 Current... provides opportunities to lower costs nd crete hedroom. b 9

11 Economic Development is... Our Service Territory Outperforms Exmples of New Business Grnd Rpids Michign U.S. b Building permits +330% +181% +112% Electric Gs Combintion ~2% Industril Growth in 2017! GDP Popultion Unemployment (December 2017) ½ Duro-Lst Roofing _ Grnd Rpids b Annulized numbers December 2010 December robust nd helps drive our model. 10

12 Long-Term Regultory Plnning... Regultory/Policy /19: Impct of tx reform filing U /15: File long-term genertion pln (IRP) U TBD: Tx Reform Order 2H: Renewble Energy Pln U /6: Guberntoril elections Electric 3/1: File 5-yr electric dist. pln U Gs By 3/30: Finl order U April/My: File next electric cse 1/1: Gs investment trcker $18 MM U By 8/31: Finl order U Fll: File next gs cse... provides significnt customer vlue nd long-term visibility. 11

13 Consistent Growth Through... +7% +6% to 8% 7% CAGR b EPS Dividend Recession Cold winter _ Adjusted EPS (non-gaap) Mild Hot summer summer Wrm winter Commission (D) Mild summer Governor (D) Cold winter Recession Summer- less _ b Non-GAAP Hot summer Commission (D) Hot summer Wrm winter Mild summer Polr vortex Governor (R) Commission (R) Wether Cold Feb. Wrm Dec. Help Hurt Wrm Winter Wrm Winter Commission (I) Cold Feb.... recessions, dverse wether, nd ledership chnges. 12

14 2017 Results... Results By Business Segment EPS -- (GAAP) Voluntry seprtion Legcy settlement Adjusted (non-gaap) $ $2.02 Up 7% $ Federl tx reform $2.17 Consumers Enterprises Interest & other CMS Energy EPS Adjusted $ (0.30) $2.17 Initil Guidnce $2.30 $ (0.25) $2.14 $2.18 Fourth Qurter EPS -- (GAAP) Federl Tx Reform Adjusted (non-gaap) 2017 (1) _ Adjusted EPS (non-gaap)... strong 7% growth.

15 Mnging Work Every Yer EPS $2.20 $2.00 $1.80 $1.60 $1.40 $1.20 Reinvestment Hot Summer +8% Reinvestment Hot Summer Storms +7% Mild Winter +7% Hot Summer Cost productivity bove pln Reinvestment +7% +7% Cost productivity bove pln RECORD WARM Mild Summer +7% Cost productivity bove pln Storms Offsets 2017 Wether & Storms +7% Cost productivity +7% $1.000 Cost productivity _ Adjusted EPS (non-gaap)... mximizes benefits for customers AND investors. 14

16 2017 Finncil Trgets Achieved... Trget Actul Adjusted EPS (non-gaap) $2.14 to $2.18 $ % to +8% +7% Operting csh flow (MM) Dividend pyout rtio (non-gaap) Customer price (excl. fuel) Electric Gs $1,650 > 62% ~2% ~2% $1,705 62% 1.9% 1.2% FFO/verge debt (non-gaap) Customer investment (Bn) ~18% $1.8 ~19¾% $ th yer of consistent, industry-leding finncil performnce. 15

17 2018 EPS Guidnce Rised... Adjusted EPS (non-gaap) Utility Electric $ $1.67 Gs Totl Utility $ $2.44 Enterprises 0.13 Prent nd other (0.23) Totl EPS $ $ % to +8% _ Adjusted EPS (non-gaap)... building on strong 2017 performnce. 16

18 2018 EPS... $ (8) - (12) $ $2.34 Mnging Work Our Model (customer rtes <2%) Absence of 2017 Cost Svings Rtes & Economy, Wether Investment Enterprises, Tx & Other _ Adjusted EPS (non-gaap)... illustrtes nother yer of 6% to 8% growth. 17

19 Tx Reform Impct... Impcts Utility Lower customer rtes crete cpex hedroom (up to 4%) Tkewy Fcilittes self-funding strtegy Enterprises & EnerBnk Prent interest Corporte expense Lower tx rte improves ernings Lrgely offset by EnerBnk interest income Modest reduction of tx shield vlue t the Prent Offers modest diversifiction Unique tx shield Mngeble risk AMT credits Mitigtes ner-term OCF impct Strong countermesure Impct (5-Yr Pln) Ner-term: Tx plnning prtilly offsets OCF impct Long-term: Utility ernings growth driven by rte hedroom... is ccretive to our long-term pln. 18

20 Needed Customer Investment... Lrge nd Aging System >$50 Bn 10-Yr $10 Bn 5-Yr Pln Rte Bse Growth Electric Gs 7% CAGR $15 Bn 70% $21 Bn 60% >$18 Bn System Need 30% 40% potentilly pulled forwrd by tx reform. 19

21 Operting Csh Flow Genertion... Amount (Bn) $ Gross operting csh flow Interest, working cpitl nd txes Investment Operting csh flow ~$9 billion in ggregte (0.1) (0.6) _ (1.1) Non-GAAP Csh flow before dividend NOLs & credits $0.7 $0.4 $0.3 $0.3 $0.3 $ remins strong nd supports our cpitl pln. 20

22 Credit Metrics Mintined... S&P / Fitch Moody s AA- A3 A+ A1 A A2 A- A3 BBB+ B1 BBB BBB- BB+ BBB+ BBB BBB- BB+ BB BB- B2 B3 B1 B1 B2 B3 B1 B2 B3 B+ B1 B B2 B- B3 S&P (Dec. 16) Moody s (Apr. 17) Fitch (Jul. 17) Outlook Stble Stble Stble Consumers Secured CMS Unsecured Present Prior 2002 FFO / Averge Debt 19% 17% Trget Rnge _ Non-GAAP ~18% < 30% HoldCo Debt 2018 (w/ Tx Reform)... t solid investment-grde levels. 21

23 2018 Finncil Trgets... Adjusted EPS (non-gaap) 2018 $2.30 to $ % to +8% Long-Term Pln +6% to +8% Operting csh flow (MM) $1,650 Up $100/yr Dividend pyout rtio (non-gaap) Customer price Electric Gs ~ 62% ~ 62% (1)% ~ 2% (3)% ~ 2% FFO/verge debt (non-gaap) Customer investment (Bn) ~18% $1.9 ~17% - 19% > $2.0/yr Continuous equity (MM) _ Beginning in 2020 No chnge Incr. ~$30 MM/yr th yer of trnsprent, consistent, strong performnce. 22

24 2018 Sensitivities... Sles Electric (37,477 GWh) Gs (303 Bcf) Full Yer Impct Sensitivity EPS OCF + 1% $ Gs prices (NYMEX) ROE (plnned) Electric (10.1%) Gs (10.1%) + 10 bps ½ + ½ Interest rtes +100 bps < (MM) _ Reflect 2018 sles forecst; wether normlized... reflect strong risk mitigtion. 23

25 Compelling Investment Thesis Strong Csh Flow & Helthy Blnce Sheet Aging Infrstructure Diversified Service Territory Cost Controls Cse U b Cse U-17990, 2016 Order Constructive Regultion 24

26 Q & A Thnk You! 25

27 Appendix

28 2017 EPS... $ $2.17 (15) Mnging Work Our Model (customer rtes < 2%) 2016 Wether & Cost Svings Rtes & Economy, 2017 Storms Investment Enterprises, & Other _ Adjusted EPS (non-gaap)... delivered strong 7%. 27

29 DIG (750 MW) & Pekers (200 MW)... Pre-Tx Income (MM) $ $12 Outge pull-hed Contrcts (lyering in over time) $30 Better Performnce $45 Better Performnce $20 Opportunities Future +$40 Cpcity ($/kw-mth) $1.00 $2.00 $3.00 $3.00 $4.50 $7.50 Avilble: Energy 0% 0% 0% 0% 25% Cpcity <30 50% - 90% $35 $55 $75... offers risk mitigtion to Pln. 28

30 2017 Csh Flow (non-gaap) CMS Energy Prent Amount (MM) Csh t yer end 2016 $ 43 Sources Consumers Energy dividend nd tx shring $ 523 Enterprises & other 85 Sources $ 608 Uses Interest nd preferred dividend $ (133) Overhed, tx pyments, & other (57) Equity infusion (450) Pension contribution 0 Uses $ (640) Csh flow $ (32) Finncing nd Dividend New issues $ 575 Retirements (200) DRP, continuous equity 83 Net short-term finncing & other (19) Common dividend (375) Finncing $ 64 Csh t yer end 2017 $ 75 Consumers Energy b Amount (MM) Csh t yer end 2016 $ 152 Sources Operting (deprecition & mortiztion $872) $ 2,122 Other working cpitl (198) Sources $ 1,924 Uses Interest nd preferred dividend $ (254) Cpitl expenditures (1,750) Dividend nd tx shring CMS Energy Prent (523) Pension contribution 0 Uses $ (2,527) Csh flow $ (603) Finncing Equity $ 450 New issues 835 Retirements (530) Net short-term finncing & other (239) Finncing $ 516 b Csh t yer end 2017 $ 65 Bnk fcilities ($900) vilble $ 703 Bnk fcility ($550) vilble $ 544 Includes cost of removl nd cpitl leses b Includes restricted csh 29

31 2018 Csh Flow Forecst (non-gaap) CMS Energy Prent Amount (MM) Csh t yer end 2017 $ 75 Sources Consumers Energy dividend nd tx shring $ 821 Enterprises 76 Sources $ 897 Uses Interest nd preferred dividend $ (124) Overhed, tx pyments, & other (118) Equity infusion (300) Pension contribution 0 Uses $ (542) Csh flow $ 355 Finncing nd Dividend New issues $ - Retirements (180) DRP, continuous equity 108 Net short-term finncing & other 98 Common dividend (404) Finncing $ (378) Csh t yer end 2018 $ 52 Bnk fcility ($550) vilble $ 549 Consumers Energy b Csh t yer end 2017 $ 65 Sources Operting (deprecition & mortiztion $922) $ 1,982 Other working cpitl (140) Sources $ 1,842 Uses Interest nd preferred dividend $ (277) Amount (MM) Cpitl expenditures (1,884) Dividend nd tx shring from CMS (821) Pension contribution 0 Uses $ (2,982) Csh flow $ (1,140) Finncing Equity $ 300 New issues 1,100 Retirements (318) Net short-term finncing & other 39 Finncing $ 1,121 b Csh t yer end 2018 $ 46 Fcilities ($900) vilble $ 648 _ Includes cost of removl nd cpitl leses b Includes restricted csh 30

32 GAAP Reconcilition

33 CMS ENERGY CORPORATION Ernings Per Shre By Yer GAAP Reconcilition (Unudited) Reported ernings (loss) per shre - GAAP ($0.30) $0.64 ($0.44) ($0.41) ($1.02) $1.20 $0.91 $1.28 $1.58 $1.42 $1.66 $1.74 $1.89 $1.98 $1.64 Pretx items: Electric nd gs utility 0.32 (0.60) - - (0.06) Tx impct (0.11) (0.01) (0.03) (0.22) (0.02) - (0.10) (0.01) 0.12 Enterprises (0.12) 1.67 (0.02) 0.14 (0.05) * (0.01) * 0.05 * * * Tx impct (0.19) (0.35) (0.02) 0.10 (0.42) * (0.05) 0.02 (0.11) * (*) (0.02) (*) (*) 0.20 Corporte interest nd other 0.25 (0.06) * - * * * * Tx impct (0.09) 0.03 (0.02) (0.18) (0.49) (0.03) (*) (*) (0.01) (*) (*) (*) (*) (0.01) 0.20 Discontinued opertions (income) loss, net (0.16) 0.02 (0.07) (0.03) 0.40 (*) (0.08) 0.08 (0.01) (0.03) * (*) (*) * * Asset impirment chrges Tx impct - - (0.98) (0.31) (0.33) Cumultive ccounting chnges Tx impct (0.09) (0.01) Adjusted ernings per shre, including MTM - non-gaap $0.81 $0.87 $1.39 $0.57 $0.84 $1.21 () $1.26 $1.36 $1.45 $1.55 $1.66 $1.77 $1.89 $2.02 $2.17 Mrk-to-mrket 0.04 (0.65) 0.80 Tx impct (0.01) 0.22 (0.29) Adjusted ernings per shre, excluding MTM - non-gaap NA $0.90 $0.96 $1.08 NA NA NA NA NA NA NA NA NA NA NA * Less thn $0.01 per shre. () $1.25 excluding discontinued Exeter opertions nd ccounting chnges relted to convertible debt nd restricted stock. 32

34 CMS ENERGY CORPORATION Reconcilition of GAAP Net Income to Non-GAAP Adjusted Net Income by Qurter (Unudited) In Millions, Except Per Shre Amounts Q 2Q 3Q 4Q YTD Dec (1) Net Income Avilble to Common Stockholders $ 199 $ 92 $ 172 $ (3) $ 460 Reconciling items: Electric utility nd gs utility Tx impct Enterprises * * Tx impct (*) (*) (*) Corporte interest nd other 1 1 * - 2 Tx impct (*) (1) (*) Discontinued opertions (income) loss * * * * * Adjusted Net Income Non-GAAP $ 200 $ 92 $ 173 $ 145 $ 610 Averge Common Shres Outstnding Diluted Diluted Ernings Per Averge Common Shre $ 0.71 $ 0.33 $ 0.61 $ (0.01) $ 1.64 Reconciling items: Electric utility nd gs utility Tx impct Enterprises * * * * * Tx impct (*) (*) (*) Corporte interest nd other * * 0.01 * 0.01 Tx impct (*) (*) (*) Discontinued opertions (income) loss * * * * * Adjusted Diluted Ernings Per Averge Common Shre Non-GAAP $ 0.71 $ 0.33 $ 0.62 $ 0.51 $ 2.17 In Millions, Except Per Shre Amounts Q 2Q 3Q 4Q YTD Dec (1) Net Income Avilble to Common Stockholders $ 164 $ 124 $ 186 $ 77 $ 551 Reconciling items: Electric utility nd gs utility * 11 Tx impct - - (4) (*) (4) Enterprises * * * 1 1 Tx impct (*) (*) (*) (*) (*) Corporte interest nd other * * Tx impct (*) (*) (1) (2) (3) Discontinued opertions (income) loss * * (*) (*) * Adjusted Net Income Non-GAAP $ 164 $ 124 $ 194 $ 81 $ 563 Averge Common Shres Outstnding Diluted Diluted Ernings Per Averge Common Shre $ 0.59 $ 0.45 $ 0.67 $ 0.28 $ 1.98 Reconciling items: Electric utility nd gs utility * 0.04 Tx impct - - (0.01) (*) (0.01) Enterprises * * * * * Tx impct (*) (*) (*) (*) (*) Corporte interest nd other * * * Tx impct (*) (*) (*) (0.01) (0.01) Discontinued opertions (income) loss * * (*) (*) * Adjusted Diluted Ernings Per Averge Common Shre Non-GAAP $ 0.59 $ 0.45 $ 0.70 $ 0.29 $ 2.02 * Less thn $0.5 million or $0.01 per shre. (1) Yer-to-dte (YTD) EPS my not equl the sum of the qurters due to chnges in the number of shres outstnding. 33

35 CMS ENERGY CORPORATION Reconcilition of GAAP EPS to Non-GAAP Adjusted EPS by Segment (Unudited) Electric Utility Reported net income per shre $ 0.22 $ 0.23 $ 1.62 $ 1.64 Reconciling items: Tx reform Voluntry seprtion progrm - * Tx impct - (*) - (0.01) Adjusted net income per shre non-gaap $ 0.31 $ 0.23 $ 1.71 $ 1.66 Gs Utility Reported net income per shre $ 0.26 $ 0.19 $ 0.62 $ 0.55 Reconciling items: Tx reform Voluntry seprtion progrm - * Tx impct - (*) - (*) Adjusted net income per shre non-gaap $ 0.29 $ 0.19 $ 0.65 $ 0.56 Enterprises Reported net income per shre $ (0.19) $ - $ (0.09) $ 0.07 Reconciling items: Restructuring costs nd other * * * * Tx impct (*) (*) (*) (*) Tx reform Voluntry seprtion progrm * Tx impct (*) Adjusted net income per shre non-gaap $ 0.01 $ - $ 0.11 $ 0.07 Corporte Interest nd Other Reported net income per shre $ (0.30) $ (0.14) $ (0.51) $ (0.28) Reconciling items: Restructuring costs nd other * Tx impct (*) (0.01) (*) (0.01) Tx reform Adjusted net income per shre non-gaap $ (0.10) $ (0.13) $ (0.30) $ (0.27) Discontinued Opertions Reported net income per shre $ (*) $ * $ (*) $ (*) Reconciling items: Discontinued opertions (income) loss * (*) * * Adjusted net income per shre non-gaap $ - $ - $ - $ - Consolidted Reported net income per shre $ (0.01) $ 0.28 $ 1.64 $ 1.98 Reconciling items: Discontinued opertions (income) loss * (*) * * Restructuring costs nd other * Tx impct (*) (0.01) (*) (0.01) Tx reform Voluntry seprtion progrm - * Tx impct - (*) - (0.01) Adjusted net income per shre non-gaap $ 0.51 $ 0.29 $ 2.17 $ 2.02 Averge Common Shres Outstnding Diluted * Less thn $0.01 per shre. In Millions, Except Per Shre Amounts Three Months Ended Twelve Months Ended 12/31/17 12/31/16 12/31/17 12/31/16 34

36 Consolidted CMS Energy Corportion Reconcilition of Gross Operting Csh Flow to GAAP Operting Activities (unudited) (mils) Net csh provided by operting ctivities $ 1,705 $ 1,650 $ 1,650 $ 1,750 $ 1,850 $ 1,950 Other operting ctivities including txes, interest pyments nd working cpitl Gross Operting Csh Flow $ 2,192 $ 2,043 $ 2,288 $ 2,470 $ 2,623 $ 2,727 Consumers Operting Income + Deprecition & Amortiztion $ 2,123 $ 1,982 $ 2,218 $ 2,396 $ 2,546 $ 2,699 Enterprises Project Csh Flows Gross Operting Csh Flow $ 2,192 $ 2,043 $ 2,288 $ 2,470 $ 2,623 $ 2,727 35

37 Consumers Energy Compny 2017 Csh Flow GAAP Reconcilition (in millions) (unudited) Reclssifictions From Sources nd Uses to Sttement of Csh Flows to Sources nd Uses Interest/ Cpitl Consolidted Sttements of Csh Flows Tx Other Finncing Lese Pymts Securitiztion Common Presenttion Sources nd Uses GAAP Shring Pyments Other Investing nd Other Debt Pymts Dividends non-gaap Description Amount Operting from Operting s Finncing from Finncing from Finncing from Finncing Amount Description Csh t yer end 2016 $ 152 $ - $ - $ - $ - $ - $ - $ 152 Csh t yer end 2016 Sources $ 2,122 Operting (dep & mort $872) Net csh provided by (198) Other working cpitl operting ctivities $ 1,715 $ 1 $ 254 $ (21) $ (25) $ - $ 1,924 Sources Uses $ (254) Interest nd preferred dividends (1,750) Cpitl expenditures (523) Dividends/tx shring to CMS Net csh used in - Pension Contribution & Other investing ctivities $ (1,751) $ (1) $ (254) $ 1 $ - $ - $ (522) $ (2,527) Uses Csh flow used in operting nd $ (36) $ - $ - $ 1 $ (21) $ (25) $ (522) $ (603) Csh flow investing ctivities Finncing $ 450 Equity 835 New Issues (530) Retirements Net csh used in (239) Net short-term finncing & other finncing ctivities $ (51) $ - $ - $ (1) $ 21 $ 25 $ 522 $ 516 Finncing Net chnge in csh $ (87) $ - $ - $ - $ - $ - $ - $ (87) Net chnge in csh Csh t yer end 2017 $ 65 $ - $ - $ - $ - $ - $ - $ 65 Csh t yer end 2017 b Includes cost of removl nd cpitl leses b Includes restricted csh 36

38 CMS Energy - Prent Compny 2017 Csh Flow GAAP Reconcilition (in millions) (unudited) Reclssifictions From Sttement of Csh Flows to Sources nd Uses Consolidted Sttements of Csh Flows Non Equity Presenttion Sources nd Uses GAAP Uses non-gaap Description Amount s Operting Other Amount Description Csh t yer end 2016 $ - $ - $ 43 $ 43 Csh t yer end 2016 Sources $ 523 Consumers Energy dividends/tx shring Net csh provided by 85 Enterprises & Other operting ctivities $ 433 $ 190 $ (15) $ 608 Sources Uses $ (133) Interest nd preferred dividends (57) Overhed, Tx pyments, & Other (450) Equity infusions Net csh used in - Pension Contribution investing ctivities $ (447) $ (190) $ (3) $ (640) Uses Csh flow used in operting nd $ (14) $ - $ (18) $ (32) Csh flow investing ctivities Finncing nd dividends $ 575 New Issues (200) Retirements 83 Equity progrms (DRP, continuous equity) - - (19) Net short-term finncing & other Net csh provided by (375) Common dividend finncing ctivities $ 14 $ - $ 50 $ 64 Finncing Net chnge in csh $ - $ - $ 32 $ 32 Net chnge in csh Csh t yer end 2017 $ - $ - $ 75 $ 75 Csh t yer end

39 Consolidted CMS Energy 2017 Consolidtion of Consumers Energy nd CMS Energy Prent Sttements of Csh Flow (in millions) (unudited) Elimintions/Reclssifictions/Consolidtion to Arrive t the Consolidted Sttement of Csh Flows Sttements of Csh Flows Other Consumers Equity Consumers CMS Prent Consolidted Common Dividend Infusions to Consolidted Sttements of Csh Flows Description Amount Amount Entities s Finncing Consumers Amount Description Csh t yer end 2016 $ 152 $ - $ 105 $ - $ - $ 257 Csh t yer end 2016 Net csh provided by $ 1,715 $ 432 $ 80 $ (522) $ - $ 1,705 Net csh provided by operting ctivities operting ctivities Net csh used in (1,751) (447) (117) (1,868) Net csh used in investing ctivities investing ctivities Csh flow used in $ (36) $ (15) $ (37) $ (522) $ 447 $ (163) Csh flow used in operting nd operting nd investing ctivities investing ctivities Net csh used in $ (51) $ 15 $ 71 $ 522 $ (447) $ 110 Net csh provided by finncing ctivities finncing ctivities Net chnge in csh $ (87) $ - $ 34 $ - $ - $ (53) Net chnge in csh Csh t yer end 2017 $ 65 $ - $ 139 $ - $ - $ 204 Csh t yer end 2017 Includes restricted csh 38

40 Consumers Energy Compny 2018 Csh Flow Forecst GAAP Reconcilition (in millions) (unudited) Reclssifictions From Sources nd Uses to Sttement of Csh Flows to Sources nd Uses Interest/ Cpitl Consolidted Sttements of Csh Flows Tx Other Finncing Lese Pymts Securitiztion Common Presenttion Sources nd Uses GAAP Shring Pyments Other Investing nd Other Debt Pymts Dividends non-gaap Description Amount Operting from Operting s Finncing from Finncing from Finncing from Finncing Amount Description Csh t yer end 2017 $ 65 $ - $ - $ - $ - $ - $ - $ 65 Csh t yer end 2017 Sources $ 1,982 Operting (dep & mort $922) Net csh provided by (140) Other working cpitl operting ctivities $ 1,278 $ 277 $ 277 $ 56 $ (21) $ (25) $ - $ 1,842 Sources Uses $ (277) Interest nd preferred dividends (1,884) Cpitl expenditures (821) Dividends/tx shring to CMS Net csh used in - Pension Contribution & Other investing ctivities $ (1,890) $ (277) $ (277) $ 6 $ - $ - $ (544) $ (2,982) Uses Csh flow used in operting nd $ (612) $ - $ - $ 62 $ (21) $ (25) $ (544) $ (1,140) Csh flow investing ctivities Finncing $ 300 Equity 1,100 New Issues (318) Retirements Net csh provided by (62) 39 Net short-term finncing & other finncing ctivities $ 593 $ - $ - $ (62) $ 21 $ 25 $ 544 $ 1,121 Finncing Net chnge in csh $ (19) $ - $ - $ - $ - $ - $ - $ (19) Net chnge in csh Csh t yer end 2018 $ 46 $ - $ - $ - $ - $ - $ - $ 46 Csh t yer end 2018 b Includes cost of removl nd cpitl leses b Includes restricted csh 39

41 CMS Energy - Prent Compny 2018 Csh Flow Forecst GAAP Reconcilition (in millions) (unudited) Reclssifictions From Sttement of Csh Flows to Sources nd Uses Consolidted Sttements of Csh Flows Non Equity Presenttion Sources nd Uses GAAP Uses non-gaap Description Amount s Operting Other Amount Description Csh t yer end 2017 $ - $ - $ 75 $ 75 Csh t yer end 2017 Sources $ 821 Consumers Energy dividends/tx shring Net csh provided by 76 Enterprises & Other operting ctivities $ 655 $ 242 $ - $ 897 Sources Uses $ (124) Interest nd preferred dividends (118) Overhed, Tx pyments, & Other (300) Equity infusions Net csh used in - Pension Contribution investing ctivities $ (300) $ (242) $ - $ (542) Uses Csh flow from operting nd $ 355 $ - $ - $ 355 Csh flow investing ctivities Finncing nd dividends $ - New Issues (180) Retirements 108 Equity progrms (DRP, continuous equity) Net short-term finncing & other Net csh used in (404) Common dividend finncing ctivities $ (355) $ - $ (23) $ (378) Finncing Net chnge in csh $ - $ - $ (23) $ (23) Net chnge in csh Csh t yer end 2018 $ - $ - $ 52 $ 52 Csh t yer end

42 Consolidted CMS Energy 2018 Forecsted Consolidtion of Consumers Energy nd CMS Energy Prent Sttements of Csh Flow (in millions) (unudited) Elimintions/Reclssifictions/Consolidtion to Arrive t the Consolidted Sttement of Csh Flows Sttements of Csh Flows Other Consumers Equity Consumers CMS Prent Consolidted Common Dividend Infusions to Consolidted Sttements of Csh Flows Description Amount Amount Entities s Finncing Consumers Amount Description Csh t yer end 2017 $ 65 $ - $ 139 $ - $ - $ 204 Csh t yer end 2017 Net csh provided by $ 1,278 $ 655 $ 261 $ (544) $ - $ 1,650 Net csh provided by operting ctivities operting ctivities Net csh used in (1,890) (300) (243) (2,133) Net csh used in investing ctivities investing ctivities Csh flow from $ (612) $ 355 $ 18 $ (544) $ 300 $ (483) Csh flow used in operting nd operting nd investing ctivities investing ctivities Net csh provided by (used in) $ 593 $ (355) $ (44) $ 544 $ (300) $ 438 Net csh provided by finncing ctivities finncing ctivities Net chnge in csh $ (19) $ - $ (26) $ - $ - $ (45) Net chnge in csh Csh t yer end 2018 $ 46 $ - $ 113 $ - $ - $ 159 Csh t yer end 2018 Includes Restricted Csh 41

43 CMS ENERGY CORPORATION Reconcilition of Non-GAAP FFO to Averge Debt Rtio (Unudited) FUNDS FROM OPERATIONS 12/31/17 Yer Ended In Millions Net Csh Provided by Operting Activities $ 1,705 Reconciling item: Securitiztion mortiztion nd other 10 Funds From Opertions (FFO) Non-GAAP $ 1,715 AVERAGE DEBT In Millions As of 12/31/17 12/31/16 Indebtedness Long-term debt (1) $ 10,204 $ 9,504 Cpitl leses nd finncing obligtion (1) Notes pyble (1) Totl Indebtedness 10,487 10,034 Reconciling items: Securitiztion debt (1) (302) (328) EnerBnk debt (1) (1,245) (1,198) Adjusted Debt Non-GAAP $ 8,940 $ 8,508 Averge Debt Non-GAAP $ 8,724 (1) Includes current nd non-current portions. FFO TO AVERAGE DEBT RATIO In Millions, Except Rtio Yer Ended 12/31/17 Funds from opertions (FFO) non-gaap $ 1,715 Averge debt non-gaap $ 8,724 FFO to Averge Debt Rtio Non-GAAP 19.7% 42