Question-and-Answer Session
Operator
Yes, sir. (Operator instructions) Your first question comes from the line of Greg Gordon from Citigroup. Your line is open.
Greg Gordon – Citigroup
Good afternoon.
Jim Hatfield
Hey, Greg.
Don Brandt
Hi, Greg.
Greg Gordon – Citigroup
Congratulations on the settlement. I hope the commission approves it. They should. But anyways, on the point of the settlement, a couple of questions or clarification, are there any time limits or sort of a milestones in terms of when you have to meet certain minimum equity infusion requirements between now and 2014?
Jim Hatfield
There are not, Greg. And I think, again, with all the parties together and discussing all the issues they understand that the timing needs to be left to the company to sort of address the marketplace at the appropriate time.
Greg Gordon – Citigroup
So is it still your expectation, assuming the settlements approved that you would not need to issue equity in 2009?
Jim Hatfield
That’s correct.
Greg Gordon – Citigroup
Thank you. Next question is related to Palo Verde. You’re currently looking for a license extension there? Where are you in the process and at what point might we hear the decision from the NRC?
Don Brandt
Greg, I believe it was in December we filed the license extension and we’re looking prior ground to two-year process.
Greg Gordon – Citigroup
So it was December of ’09.
Don Brandt
Eight, eight.
Greg Gordon – Citigroup
I’m sorry, December of ’08. Sorry. So you wouldn’t get a decision until December 2010 most likely?
Jim Hatfield
Eighteen months to two years.
Greg Gordon – Citigroup
Okay. Okay. So under the terms of the settlement, if there were a change in the depreciation expense to the – due to license extension, that wouldn’t be reconciled into rates until the next base rate case?
Jim Hatfield
Correct.
Don Brandt
That’s right.
Greg Gordon – Citigroup
Okay. Thank you, guys.
Don Brandt
Thank you.
Operator
Your next question or comment comes from the line of Paul Patterson from Glenrock Associates. Your line is open
Paul Patterson – Glenrock Associates
Good morning, guys.
Don Brandt
Good morning, Paul.
Paul Patterson – Glenrock Associates
Just to go over in the settlement here. You’ve got the additional $23 million from SEAC going to revenues, correct, on top of the $196 million?
Don Brandt
Correct.
Paul Patterson – Glenrock Associates
Okay. And there’s another $30 million in terms of savings that you guys are going to be able to have – when I’ve read the settlement, it seems that it was not included in the $196 million calculation.
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