RE: Updated Core/Non-Core Analysis

I re-set the Core to Non Core T&D (in cents) ratio (see the bottom of the
spreedsheet for relative cost and attached the spreadsheet) to 200%. As you
can see the analysis is very sensative to this apportionment. Robert and
Harry, any additional ideas about apportioning this would improve the model's
accuracy.

PGE SCE SDGE

Core Rate T&D 5.721 7.240 7.616
Non Core T&D 2.867 3.620 3.809
Total $ 3,836 $ 5,147 $ 1,285

Core T&D/Non Core T&D 200% 200% 200%

By taking PGE's FYE 2000 10-K, I find the following:

Consumer Rev $3008
All Other $3658
Total $6666

Estimated T&D $3836
Gen portion $2830

Consumer Kwh 28,753
Other 53,170
Total 81,923

If 45.1% of revenue is from consumer, and the T&D is estimated at $3836, you
can apportion T&D if you assume gen is apportioned pro-rata:

Consumer Other Total
Gen 993 1837 2830
T&D 2015 1821 3836
Total 3008 3658 6666

T&D (cents)/kwh 7.01 3.42 4.68

-----Original Message-----
From: Brown, Kortney
Sent: Thursday, May 17, 2001 6:31 PM
To: Dasovich, Jeff; Neustaedter, Robert; Kingerski, Harry
Cc: Tribolet, Michael; Soo, Jeffrey A.
Subject: Updated Core/Non-Core Analysis

Attached is the revised Core/Non-Core Analysis per our discussion. We have
updated to include the new CPUC rate schedules for PGE and SCE and a toggle
switch 20- year bond scenario to cover the past utility debt that is the
burden of Non-Core. Please let me know if you have any questions. Thanks.

Kortney

<< File: CoreNonCoreAnalysiswoDWRNewRates.xls <<