Question-and-Answer Session
Operator
Thank you, sir. (Operator instructions) We’ll go first to Steve Gambuzza with Longbow
Capital.
Steve Gambuzza – Longbow Capital
Good afternoon.
Darrel Anderson
Hi Steve.
Steve Gambuzza – Longbow Capital
For the rate case in Idaho, do you exclude short-term debt from the capital structure?
Darrel Anderson
We’ll have Steve Keen kind of talk about the capital structure related to the Idaho Power rate case.
Steve Keen
Short-term debt isn’t looked at in that capital structure; it’s left out.
Steve Gambuzza – Longbow Capital
It is not, it’s left out.
Steve Keen
That’s correct.
Steve Gambuzza – Longbow Capital
Okay. But your target is for like – that’s for a 50/50 kind of all-in capital structure?
Steve Keen
It is, and it’s not an exact science, it does move. We’ve been both sides of 50/50, but that’s – we try to bring it back in line, if we get 1% or 2% one direction or the other, we do what we can to bring it back in line.
Steve Gambuzza – Longbow Capital
Okay. And what equity ratio did you file for in the case?
Steve Keen
I don’t have that exact number.
Steve Gambuzza – Longbow Capital
Roughly 50%?
Steve Keen
It is roughly 50%. I believe it’s off like a percentage point, like 1% higher on debt.
Steve Gambuzza – Longbow Capital
Okay.
Darrel Anderson
It’s just – Steve, this is Darrel. It’s actually in the 8-K that we filed, it’s 49.27%.
Steve Gambuzza – Longbow Capital
Okay. I’m just looking at the balance sheet at the end of the quarter, and it looks like it was – total debt to total capital was about 54%? I’m just wondering do you have to adjust that during the time period of the rate case or was 49% the rate – was that the regulatory capital structure based on the test year that you filed?
Steve Keen
It was and it’s a forecast. So, we were looking ahead and it encompasses getting though the entire year. So, wherever you are at right now, you are missing two quarters of earnings and whatever we do on the equity side going [ph] forward.
Steve Gambuzza – Longbow Capital
Okay, so it includes –
Steve Keen
So that was looking at the entire year of 2008.
Steve Gambuzza – Longbow Capital
And so it includes the assumption of financing in 2008?
Steve Keen
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