8-KOther Events

XCEL ENERGY INC 8-K Report, Corporate Update (Jun 21, 2011)

Filed June 21, 2011For Securities:XELXELLL

Summary

This 8-K filing reports on Northern States Power Company (NSP-Wisconsin), a subsidiary of Xcel Energy Inc. (XEL), and its rate increase application filed with the Public Service Commission of Wisconsin (PSCW). Initially, on June 1, 2011, NSP-Wisconsin applied for an overall annual revenue increase of approximately 3.8% for electric and 6.6% for natural gas services. This filing, based on a 2012 forecast test year, included a requested rate of return on equity of 10.75% and projected net investment rate bases of $718 million for electric and $84 million for natural gas utilities. Subsequently, on June 17, 2011, NSP-Wisconsin revised its application, increasing the requested annual electric revenue increase to 5.1% ($29.2 million) while keeping the natural gas revenue increase request at 6.6% ($8.0 million). Investors should note that a decision from the PSCW is anticipated in the fourth quarter of 2011. This filing also includes forward-looking statements regarding the potential impact of these rate cases, subject to various risks and uncertainties inherent in the energy industry.

Key Highlights

  • 1NSP-Wisconsin, a subsidiary of Xcel Energy, filed a rate increase application with the Public Service Commission of Wisconsin (PSCW).
  • 2The initial application on June 1, 2011, sought a 3.8% electric and 6.6% natural gas revenue increase.
  • 3The application was based on a 2012 forecast test year.
  • 4NSP-Wisconsin requested a 10.75% rate of return on equity.
  • 5On June 17, 2011, the requested electric revenue increase was revised to 5.1% ($29.2 million), while the natural gas increase remained at 6.6% ($8.0 million).
  • 6A PSCW decision on the rate application is expected in the fourth quarter of 2011.

Frequently Asked Questions

The primary purpose of this 8-K filing is to report that Northern States Power Company (NSP-Wisconsin), a subsidiary of Xcel Energy Inc., has filed applications with the Public Service Commission of Wisconsin (PSCW) to increase electric and natural gas rates, and to provide updates to those applications.

Initially, on June 1, 2011, NSP-Wisconsin requested an overall increase of 3.8% for electric revenues and 6.6% for natural gas revenues. On June 17, 2011, these requests were revised to 5.1% for electric revenues and 6.6% for natural gas revenues.

A decision from the Public Service Commission of Wisconsin (PSCW) is anticipated in the fourth quarter of 2011.

The revised application requests annual increases of approximately $29.2 million for electric revenues and $8.0 million for natural gas revenues. These increases are based on projected 2012 investment base and requested rates of return, and are subject to regulatory approval.