Question-and-Answer Session
Operator
(Operating instructions) And we have Paul Ridzon from KeyBanc on line. Please go ahead.
Paul Ridzon – KeyBanc
Good morning. How are you?
Mike Madison
Good morning, Paul.
Russell Davis
Good morning, Paul.
Paul Ridzon – KeyBanc
Congratulations on the Acadia monkey off your back.
Mike Madison
Thank you.
Russell Davis
Thank you.
Paul Ridzon – KeyBanc
With between the Acadia and the transmission spend, how is the balance sheet look – are you going to have to tap the external equity markets?
Russell Davis
No. We do not plan on having to tap the external equity markets, but the amount of debt that was issued in last half of 2008, we have some room for – we continue to go without having to exit the equity markets. Depending on the structure of the Acadia transaction we may have to access the debt market in late 2009 or early 2010 to bring that transaction to fruition. We do not just any additional equity issuance.
Paul Ridzon – KeyBanc
You will be getting 150 of proceeds at Midstream, I would guess dividend to the parent and connect to use to fund the equity portion of the acquisition?
Russell Davis
Right now, the structure is still being negotiated and finalized and it’ll (inaudible) for me to go ahead indicate what that proposal would be until we at least give our primary rate at the LTSE, the opportunity to review that.
Paul Ridzon – KeyBanc
And do have on absolute basis what Evangeline and Acadia earned in ’08?
Russell Davis
Yes. You have it there. The losses, this is inclusive of the inter-company interest expense. The losses coming out of Midstream as a whole, which includes the administrative cost was $0.17 a share and negative. And that includes $0.06 to $0.07 of interest expense – in a company interest expense pushed down into the numbers.
Paul Ridzon – KeyBanc
Can this be split between Acadia and Evangeline?
Russell Davis
Split between Acadia and Evangeline. Well, we take the $0.20 as back up, you get – that’s 0.13. And we outside of the administrative expenses we had $0.05 share net income coming off of Evangeline, which reflects the average expenses that we talked about in prior calls.
Paul Ridzon – KeyBanc
(inaudible) a nickel this year?
Russell Davis
This year, yes.
Mike Madison
And that was down of what we have had in prior years due to the expenses.
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