DPL Inc. Q3 2008 Earnings Conference Call Transcript

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2008-10-30 18:25:16.0

Tags: Call Transcript, Earnings, General Motors Corp., Senior Vice President, DPL Inc., Seeking Alpha, Call Transcript, Earnings, General Motors Corp., Senior Vice President, DPL Inc., Seeking Alpha

Question-and-Answer Session

[Operator Instructions]. And your first question comes from the line of Paul Ridzon with Keybanc. Please proceed.

Paul Ridzon - Keybanc Capital Markets

Good morning. I had a question about expectations for the fourth quarter, just looking at 2009; it looks like it's going to have to be up around $0.20 besides fuel optimization, what you see as the drivers of getting there?

John J. Gillen - Senior Vice President, Chief Financial Officer and Treasurer

It is primarily fuel optimization Paul, we've got approximately $20 million into the fourth quarter it appears that Beckjord has worked out their either [ph] issues and we should see the fleet performance improve as well for the fourth quarter.

Paul Ridzon - Keybanc Capital Markets

Is it safe to say that the lower end of the range is type of the safer place to be?

John J. Gillen - Senior Vice President, Chief Financial Officer and Treasurer

No, not at all.

Paul Ridzon - Keybanc Capital Markets

And just can you put a size of the magnitude on the impacts of recovery of your ESP filing? And just what you're seeing as far as the date and economy as with the exposure to automotive?

John J. Gillen - Senior Vice President, Chief Financial Officer and Treasurer

While we've certainly reflected the impact of the economy in our 2009 guidance. And actually we've factored in what's happening with the GM plant, actually the GM plant margin we attribute to the business there. We'll actually have a higher margin with the ability to sell that power elsewhere in the wholesale market. I think that the long-term question is what happened to the folks that work there. You know the residential load obviously is very important to us. So we don't see an immediate impact if anything slightly positive in 2009, Paul, and the guesstimate will be little bit what happens over the ensuing two years.

Paul Ridzon - Keybanc Capital Markets

Is the prices of that GM contract public?

John J. Gillen - Senior Vice President, Chief Financial Officer and Treasurer

I don't believe so. I'm not sure.

Paul Ridzon - Keybanc Capital Markets

Okay. I circle that thank you.

Operator

And your next question comes from the line of Paul Patterson with Glenrock Associates. Please proceed.

Paul Patterson - Glenrock Associates

Hi, guys. What was the recovery of the ESP for 2009? What was the impact on that I'm sorry, Paul Ridzon asked that question I guess I missed the answer?

 

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