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20 years enabling competitive 20 years enabling competitive power markets …power markets …

2008 WSPP Executive Committee Meeting2008 WSPP Executive Committee MeetingTreasure Island Hotel & Casino Treasure Island Hotel & Casino

Las Vegas, NevadaLas Vegas, NevadaNovember 17, 2008November 17, 2008

WSPP MEMBERSHIP 13 New Members in 2008 (to date)

SYNERGY Power Marketing Inc Entergy Texas Inc Royal Bank of Scotland plc Nexen Marketing USA Inc Valley Electric Association Black Hills/Colorado Electric Utility Company Endure Energy LLC Inland Empire Energy Center 3 Phases Renewables LLC North American Energy Credit and Clearing Delivery NaturEner USA, LLC City of Needles (CA) Saguaro Power Company

Note: City of Needles & Saguaro Power Company are memberships

in progress

WSPP MEMBERSHIP

0255075

100125150175200225250275300325350

1987 1995 1998 2001 2004 2007

WSPP Growth...... 14 at original filing in

1987 45 at permanent filing

in 1991 55 end of 1993 (1st

marketer Sept ‘93); 101 by end of ‘95

41 new in ‘96; 42 in ‘97; 28 in ‘98; 7 in ‘99; 18 in ‘00; 237 by end of 2000

18 in ‘01; 11 (net) in ’02; 16 in ’03; 7 (net) in ’04; 10 (net) in ’05; 13 (net) in ’06; 10 in ’07; 10 (net) in ‘08

332 members total

WSPP FINANCIALS 2008 Budget vs. Actuals (Est Actuals through 10/31/08)

2008 Actuals 2008 BudgetVariance

RevenuesNew Members $ 275,000 $ 200,000 $ 75,000 Interest 65,500 130,000 (64,500)Total Revenues $ 340,500 $ 330,000 $ 10,500

ExpensesLegal $ 387,200 $ 300,000 $ 87,200Operating Agent 70,000 81,000 (11,000)Accounting & Tax 3,000 1,000 2,000EC Consultant 6,400 0 6,400

Web Site 5,500 12,000 (6,500)Insurance 4,900 6,000 (1,100) Meetings, etc 14,700 10,000 4,700 Total Expenses $ 491,700 $ 410,000 $ 81,700Net Income $ (151,200) $ (80,000) $ (71,200)

WSPP FINANCIALS

Estimated Statement of Cash Balances Calendar Year 2008 Balance 1/1/08 (estimated) $ 2,907,500 Less Expenses 1/1/08 through 10/31/08 $ 491,700 Plus Revenues 1/1/08 through 10/31/08 $ 275,000 Plus Interest/Appreciation on Balance through 10/31/08 $ 65,500 Estimated Statement of Cash Balances 10/31/08 $ 2,756,300 Less Remaining 2008 Expenses (estimated) $ 68,300 Plus Remaining 2008 Revenues (estimated) $ 25,000 Plus Remaining 2008 Interest/Appreciation (estimated) $ 8,000

Estimated Statement of Cash Balances 12/31/08 $ 2,721,000

WSPP FINANCIALS

1. Legal Services & Reimbursable Expenses $360,000

2. Operating Agent Services $ 84,000

3. Accounting Services & Banking Fees $3,000

4. Operating Committee & Contract Committee Meetings $10,000

5. Internet Home Page and Web Site $8,000

Total 2009 Operating Budget Submitted from Operating Committee $465,000

6. Executive Committee and Administrative Committee Expenses $20,000

7. Directors and Officers Liability Insurance Expense $ 5,000

Total Proposed 2009 Operating Budget $490,000

In accordance with paragraph 7.2 of the WSPP Agreement, the Operating Agent submits the following budget for the Operating Year 2009:

WSPP FINANCIALS

Estimated Statement of Cash Balance Calendar Year 2009

Balance 1/1/09 (estimated) $ 2,721,000 Less Estimated Expenses 1/1/09 through 12/31/09 $ 490,000 Plus Estimated Revenues 1/1/09 through 12/31/09 $ 200,000

(8 New Members @ $25,000/each) Plus Estimated Interest/Appreciation on 2009 Balance $ 60,000 Estimated Statement of Cash Balances 12/31/09 $ 2,491,000