Great Plains Energy Inc. Q3 208 Earnings Call Transcript

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2008-11-06 12:37:14.0

Tags: Great Plains Energy Inc., Goldman Sachs & Co., Call Transcript, Earnings, Terry Bassham Ballpark, Financial Accounting, Finance, Seeking Alpha, Great Plains Energy Inc., Goldman Sachs & Co., Call Transcript, Earnings, Terry Bassham Ballpark, Financial Accounting, Finance, Seeking Alpha

Question-and-Answer Session

Operator

(Operator Instructions). Our first question comes from the line of Michael Lapides with Goldman Sachs. Please go ahead.

Michael Lapides - Goldman Sachs

Hi, guys. Question looking at page 23 of the presentation, the projected CapEx, I wanted to just make sure I understand, first of all, of the base utility construction expenditures, how much of that is KCP&L versus GMO?

Terry Bassham

On page 23.

Michael Lapides - Goldman Sachs

Ballpark.

Terry Bassham

Ballpark is probably 60, 65 we can get that specific number for you.

Michael Lapides - Goldman Sachs

Got it.

Terry Bassham

Actually that's ongoing operation as opposed to CEP.

Michael Lapides - Goldman Sachs

That's right. I am just looking at the kind of the base level. Why such an uptick in '11?

Terry Bassham

We got some additional expense starting potentially from some wind projects that would happen later in '12-'13 time period, which again would be subject to regulatory approval and ultimate conclusion that we had the ability to get that done.

Michael Lapides - Goldman Sachs

Okay. So it looks like the bulk of it is in the generating facility. So that incremental kind of $120 million uptick from 2010 is tied to the wind that hasn't been approved yet by the regulator.

Terry Bassham

That's right.

Michael Lapides - Goldman Sachs

Okay, cool. Thank you, guys.

Operator

Thank you. Our next comes from the line of Paul Ridzon with KeyBanc. Please go ahead.

Paul Ridzon - KeyBanc

Good morning, guys. How are you?

Mike Chesser

Great, Paul.

Paul Ridzon - KeyBanc

Congratulations on kind a finding a lot of flexibility in demand and preserve the dividend. The second questions, are these AFUDC numbers you give pre-tax or is that net income?

Terry Bassham

That's pretax.

Paul Ridzon - KeyBanc

Okay, and can you review the requirements of what you need to do with regards to lowering alternative energy under your CEP?

Bill Downey

Sure, in terms of our specific CEP requirements, there is several pieces. The first, of course, was wind, which we did the first 100. The second requirement was to evaluate '08, which we did and determine not to be the time to do that.

We then have energy efficiency, which we have a power project in place, and we continue now to expand that into the GMO territory on that same basis. Now, that meets that requirement. We then have obviously more we would like to do. We're working on ability to get that done.

 

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