Subject: sun devil
in preparation to present offers to aps , duke , and panda , the following tasks need to be completed -
james , teb , blair to calculate rates for $ 911 mm facilities according to the following guidelines -
- rate matrix based on contract terms of 15 / 20 / 25 / 30 years
- project depreciation consistent with contract term
- segmented rates ( max rate )
- levelized
- volume allocations : sj - 780 k / d ; cal border - 330 k / d ; phoenix ; 500 k / d
- incremental o o fuel costs re - allocated based on expected outcome following next rate case .
- determine rate sensitivity ( for 15 / 20 / 25 / 30 year terms ) assuming + / - $ 25 mm change in cost of new facilities
- determine rate sensitivity ( for 15 / 20 / 25 / 30 year terms ) assuming + / - $ 2 mm change in o + m re - allocated based on expected outcome following next rate case .
kevin to provide capital structure and cost of debt , cost of equity ( in light of recent circumstances ) in support of new rate analyses .
eric , kevin , lorraine and michelle to outline commercial transaction structures for aps , duke , and panda . eric to schedule meeting to discuss rate indexation .
eric to schedule next team meeting asap ( target = nov 1 ) .