Question-and-Answer Session
[Operator Instructions].Your first question comes from Dave Parker.
David Parker - Robert Baird
Just a couple of quick questions. Again thanks, for a little bit of the additional information particularly on the non-utility operation as always; we talk about contracts and as you set up new contracts in 2009 and maybe beyond. Some of these cost pressures, is it possible to be able to work into some of the contract terms ways to adjust that without waiting for a contract to expire or reopen?
Jerome A. Benkert, Jr. - Executive Vice President and Chief Financial Officer
Yes, Dave. How are you doing?
David Parker - Robert Baird
Good.
Carl L. Chapman - President and Chief Operating Officer
This is Carl. Just quickly, I think the answer is yes. We constantly look at what pass-throughs are available and is really just what will the marketplace allow, we have various pass-throughs as an example, pass-throughs in our contracts on some of these costs related to MSHA on the safety issues related workfalls as an example.
So it's a debate with the customer as to exactly what is available for pass-throughs. So, we protect ourselves on government regulation and concepts. We also look hard at passing through fuel cost although, as we moved towards all underground mining that becomes less of an issue. Because we're generally selling at the mine, we certainly have some diesel fuel at the mine but that's a much lesser issue once the Cyprus Creek Mine is no longer with us.
And I should comment that we've actually hedged now our diesel fuel for the rest of this year at the levels we have in our projection. So we protected that projection in that way and we will continue to look out what other pass-throughs are available. I think this is an evolving area in the market and we've obviously going to match the market but we're going to work hard to get pass-throughs that we need.
David Parker - Robert Baird
Okay good. And the second question switching over to ProLiance and obviously you talked several weeks ago when you modified guidance about just in more difficult market conditions there, and that's probably occurred for last couple of quarters; is there anything that we can look at externally to try to be able to identify some of those opportunities? As you pointed out gas prices at least the commodity natural gas price commodity volatility I always thought created opportunities for ProLiance, that hasn't happened today. So is there anything we can look at externally?
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