Entergy Corporation · NYSE:ETR
Entergy — Investor Presentation (November 2008)
70 slides from Entergy's investor presentation, Nov 7, 2008
Slide 1: Caution Regarding Forward-Looking Statements and Reg G Compliance
Caution Regarding Forward-Looking Statements and Reg G Compliance In this presentation, and from time to time, Entergy Corporation makes certain “forward-looking statements" ‘within the meaning of the Private Securities Litigation Reform Act of 1995. Except to the extent required by the federal secu
Slide 2: Entergy's Asset Portfolio and POV-Focused Business Model
Entergy’s Asset Portfolio and POV-Focused Business Model Entergy's Legacy Positions Enteray's Businesses Non. tiity Nuclear Entergy's Business Model #30900 MW electric generating capacity + 2 largest US. nuclear generstor + 22 million customers * $11 billion revenues + 14300 employees AS ponvulty un
Slide 3: Entergy's POV Strategy Is Adaptive
Entergy’s POV Strategy Is Adaptive THE WORLD ex CHANGES AGAIN CQUIRE SKILLS, ASSETS CHANGES DIVEST TO REINVEST
Slide 4: POV Strategy Aims to Create Value; Progress Since 1998
POV Strategy Aims to Create Value; Progress Since 1998 Demonstrates What’s Possible Shareholder Value 201998 - 2007; $B Pi 2Q98 98 99 00 o1 02 03 04 05 06 o7 $10.28 «——_____________Invested Gapital______ sig.3 (i Market cap Investment, Net of Asset Sales“ [J] Distributions to Shareholders“ $0.78 * C
Slide 5: Entergy Is More Than a Collection of Assets
Entergy Is More Than a Collection of Assets Storm Restoration Leadership Environmental Leadership oo ow tons Sustainability Indexes ce 2683 Emergency Awards ~ 2000, 2001, 2003, 2004, 2005, 2006, 2007, 2008 (Assistance) ~ 1999, 2002, 2006 (Response) Climate Disclosure Leadership Index (CDLI) Corporat
Slide 6: Entergy Has a POV on Climate Change
Entergy Has a POV on Climate Change = Entergy Guiding Principles The risk is real; we need to act now to stabilize at 450 ppm: 60-80% reductions by 2050 Use an economy-wide, market based approach (preferably cap and trade or tax) to find most efficient solutions We need to build in permanent low-inc
Slide 7: Entergy's POV on Climate Change Continued
Entergy’s POV on Climate Change Continued == Entergy Guiding Principles We need a strong but sustainable — price signal to stimulate investment iam in efficiency and new technology ia eee” Preferably cap and trade, with ahigh “price ceiling,” ora CO, tax Either way, $50/ton by 2020 U.S. policy must
Slide 8: Entergy's Position on Climate Change
Entergy’s Position on Climate Change Reflects Its Commitment to Making a Difference Entergy's CO, Emissions - Actual Emissions Mustrative 1980 -2020E; million tons GO, 120 110 100 90 80 70 60 50 — — Growth Trajectory — Commitments wt 1+ Gommitment Results - 90 92 94 96 98 OO O2 O4 O6 OBE 10E 12E 14E
Slide 9: Proposed Spin-Off of Non-Utility Nuclear Business
Proposed Spin-Off of Non-Utility Nuclear Business Was an Outcome of the Adaptive POV Strategy Transaction Overview On November §, 2007, Entergy announced intentions to separate the non-utility nuclear business into a new entity named Enexus Energy © Tax-free spin-off af 100% of Enexus' common shares
Slide 10: Enexus
ene<us 100% Owner ee Subs The only pure-play || 4 premier nuclear A unique growth Nucleat ance operator business proposition, proposition meeting meeting customer environmental’ ‘needs with cash energy needs; si ton sn: carbon
Slide 11: Why Spin-Off?
Why Spin-Off? Rationale Is Unchanged Motivation for Sepi November 2007 vs. Today ion Factor Rationale Then | Today , _, (solate the utilities from commodity risks Risk Reduction ‘nerent in the non-utility nuclear business “ Capital Optimize the capital structures of both y Structure companies and re
Slide 12: Other Potential Value Unchanged As Well
Other Potential Value Unchanged As Well Potential to Capture Other Shareholder Value November 2007 vs. Today Rationale Then | Today Shareholder Ability to appeal more directly to natural =, 2 Base shareholder bases Minimize Fi F v v Equity Gost Minimize corporate cost of equity Provide shareholders
Slide 13: State Regulatory Decisions and Financing Are Now the Critical Path
State Regulatory Decisions and Financing Are Now the Critical Path Regulatory / Financing Status Initiative 3Q08 Earnings Call Status What's Left FERC Spin Approved Done NRC Spin Approved Done IRS Private Letter Ruling Issued Done SEC In Progress © Final Form 10 amendments NewYork | In Progress © AL
Slide 14: Financing Strategy Shifting to Windows
Financing Strategy Shifting to “Windows” High Yield New Issuance Jan 2006 - Oct 2008; $B FY061HO7 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct 07 08 Monthly Average Source: ffomta Gioka! Watch High Yield Default Rates Secondary High Yield Spreads 1998 — 2008E; % Jul 2008 - Oct 200
Slide 15: Monitoring Several Signposts for Market Windows
Monitoring Several Signposts for Market Windows Signs for Market Improvement | Increase in high yield w Substantial reduction in debt backiog| 14
Slide 16: Company Overview Summary
Company Overview Summary Unique opportunities are pursued through actions driven by our dynamic point of view Entergy is defined by leadership across a range of issues * The non-utility nuclear spin-off reflects another example 1"
Slide 17: Reg G Reconciliations
Reg G Reconciliations FIR Cones cated Earires Racandlision f GAAP to Non-GAAP Meseures 198 iS iliersy 88 CorcclitedAs-Fepored Eaminas fa 9 Prefered Giceree ‘a As Repored Ear finclucna preered diiderds) fe1 Be Less Spacit bers Utley, Pare Otter Realsleeyard reserve adustmerts sr Total Uity, Parert &
Slide 18: Reg G Reconciliations
Reg G Reconciliations ETR Consolidated Earinae Reconcilstion of GAAPto Non-GAAP Mescures 2007 207 ($nillions) __{Sishare Consolidated As-Reported Eaminas fl 1.135 cc Less Special ters Uaitty, Parert & Other Nuclear alignment 14 007 Total Utility, Parent @ Other Special tems e) ra (007 Competitive Bu
Slide 19: Entergy Post-Spin: A Position of Advantage
Entergy Post-Spi A Position of Advantage The Entergy Advantage ¥ Operational excellence capabilities, particularly in emargency respense Oiitcry Post- Spin Pica Aspicatien Be © Clean utility generation flect roug! (3-4% Utility) 70-75% div payout Y Veluntary commitment te the y nvirenmant seven year
Slide 20: A Utility of Diversified Load and Generation
A Utility of Diversified Load and Generation 2007 Statistics * Customers: * Electric 2.7M, Gas 0.2M cw © Revenues: $9.3B (incl. $4.3B Fuel} * Billed Sales: 108TWh * Res 31%, Gomm'l/ Gov't 20% * Ind 35%, Wholesale 6% © Sources of Energy: 115TWh Entergy Arkansas Load Requirements vs. Regional Supply;
Slide 21: Utility Retail Regulation Offers Challenges and Opportunities
Utility Retail Regulation Offers Challenges and Opportunities Arkansas - APSC * 3 Commissioners Appointed by Governor, een including Chair Mississippi - MPSC © Gyearterms, staggered © 3Commissioners * Elected, Chair rotates every 2 years © 4yearterms, concurrent Entergy Arkansas Louisiana -LPSC © 5
Slide 22: Utility Financial Profile Reflects the Solid Look of Regulated Investments
ty Financial Profile Reflects he Solid Look of Regulated Investments Returns Investing Operational ROE; % As-Rapertad. Capital Spending; $B 12 18 Depreci« ela | 12 os ll I a | 0 oo 98 99 00 01 02 03 04 05 06 O7 98 99 00 01 02 03 04 OS O6 O7 i Maintenance [J other Leverage Funding Debt to Gapital Rat
Slide 23: Operational, Growth, and Rate Structure Indicators Are All Favorable
Operational, Growth, and Rate Structure Indicators Are All Favorable Productive Rate Base Growth Acquisitions; $/kW Service Outage Statistics 1998 vs. 2007; % change Frequency Duration Regulatory Perryville Attala SAIFI SAIDI Complaints s2sskw S231 (6705) (1706) = oS Galcasieu Ouachita S205 so25w (3
Slide 24: Progress Against 2008 Utility Initiatives Has Been Notable
Progress Against 2008 Utility Initiatives Has Been Notable Arkansas Louisiana Rates [jj StormiOther [i Portfolio Transformation Start Complete UU Resolve EAl rate case appeal during 2HO8 v Oral arguments scheduled for 11/19/08 Complete Ouachita acquisition by end of 08 Complete securitization proces
Slide 25: Utility 2008 Initiatives - More Progress
Utility 2008 Initiatives - More Progress Rates [jj StormiOther [i Portfolio Transformation Start Complete [elias] Fle COL for new nuciear plant at Grand Gul in 208 v New baseload legislation enacted in MS in 5/08 0 Fite Emirate case in 2108 Mississippi Y Deferred fram 08 Resolve ETI rate case ¥ ALJs
Slide 26: Record-Setting Hurricanes Gustav and Ike Created Disruptions
Record-Setting Hurricanes Gustav and Ike Created Disruptions Peak Counts May Sterm Drill Inclu Back-te-Back Striker with Texas Landfall Transmission Lines Out Transmission Substations Out Transformers ua a 4349 3,478 241 os 2,900 230, 263 2,301 Katrina Rita Gustav tke Katrina Rita Gustav tke Katrina
Slide 27: Entergy's Storm Restoration Response Was Once Again Record-Setting
Entergy’s Storm Restoration Response Was Once Again Record-Setting Hurricanes Katrina, Rita, Gustav and Ike Restorations () ina [Gustav Customers Outages by Day off Peak Count; thousands Bi Rita [J tke Down 56% Peak 1 2 3 4 5 6 7 8 E:} 10 TBicimdansded ralinckin-eedbonncs:tthi Bbidactin mp) aleve ii
Slide 28: Preliminary Recovery Strategies Are Shaping Up
Preliminary Recovery Strategies Are Shaping Up Timeline to Finalize Mustrative Storm Recovery Arkansas: $24-35M (Gustav/Ike} 4/09- fionsy Lee ee gre 12/08 remporary 12/09 Louisiana: $515-610M 0 Accent DO", peal Deferral Dems 109 n gos eh Ea ea ol "SOB Ficng _Secmieton gy, Reserves Cost Order oder te
Slide 29: Current Economy Call for a Pause in Long-Term Resource Planning
Current Econo! Call for a Pause in Lon erm Resource Planning New Build Cost Uncertainty? Economy Ripple Effects? ) Demand and Energy Requirements? Financial Market Conditions? While the Utility business continues to have long-term resource needs, the majority can be managed through shorter-term proc
Slide 30: Market Indicators Have Fallen Sharply
Market Indicators Have Fallen Sharply Power Natural Gas Stock Indices 10 Yr Credit Rates DAM; $/MWh Henry Hub; $iMbtu Indexed (1/1/08 = 100) % 110 4 ‘0 cash Gas s so 10 8 s — sap 500 6 50 uy 4 —er » 2 go Sous: Atte 9 Soue:Pate pp Sous: Soonbe 9 Sou: Boowpe 8 8 5 8 3 3 5 5 don Apr dul Oct 02 0304 050
Slide 31: Recessionary Effects Typically Cause Retail Usage to Slow or Decline
Recessionary Effects Typically Cause Ret: to Slow or Decline for Short Periods Retail Electricity Usage 1973 - 2007; GWh Usage U.S. Retail Electricity Usage Growth 1974 -2007; YoY% change 4500 no BK 4.p00 5 6% ETR 3.500 0 4% 3,900 = 2% 2500 0 0% us. 2,900 S 2k 1500 wo 4h 4 79 84 89 94 «99 OF 4 30 36
Slide 32: Industrial Utility Sales May Experience Slow Growth
ESTP ura Utility Sales May Experlence Slow Growth, Usage by Industry Segment Segment % of Sales Key Drivers or Trends Chemicals 31 [Bolstered by falling natural gas feedstock prices, lbut recent strengthening of dollar and global lsoftening will drive down exports Petroleum 18 (Fundamentals and marg
Slide 33: May Alter Technology Choice
May Alter Technology Choice Technology Choice Mustrative \ New Nuclear XN Preferred Technology Preference Rigen Line 1 - -7 Pulverized Coal / o Preferred ft <, 7 Z Fag 50% Probability Line —— Increasing Gas Prices <—___—__ Increasing Capital Costs Increasing GO, Prices
Slide 34: The Utility Will Re-engage the Market in the Future
The Utility Will Re-engage the Market in the Future When There Is More Clarity ‘Supply Plan Portfolio Decisions 2008E Supply Requirements*; GW, % of Peak GW % of Peak 25 «120 200 «(96 CT; Small scale gas turbine 15 72 ore Load Following cr; ecoT | 10 48 GGT; Cai oO 0 20 40 60 80 100 Requirements % o
Slide 35: Long-Term Financial Aspirations Remain Unchanged
g-Term Financial Aspirations Remain Unchanged. Including Meeting Wayne’s Value Challenge Entergy's Goal Value Potential itustrative % of Total 28% Repurchases ETR utility ETR Pre-Spin Pre-Spin Aspiration Post-Spin eee Utility Capital Plan 1998 - 2008E; $B ERCOT/SPP EquaGen Intercennact? Growth? Tap
Slide 36: Risk Management Will Be the Key to Success
isk Management Will Be the Key to Success inancial Aspirations <=> (through 2012) Measure and Obligation Manage Risks |; to Serve IS ° Safety first ° Operationat ~ * Acquire ° Construction ~ ‘ — generation to A D > meet needs nv. Grade Credit, ° Regulatory k Profi * Commodity ° Best-in-Class *Financ
Slide 37: Entergy Utilities Summary
Entergy Utilities Summary
Slide 38: Reg G Reconciliations
Reg G Reconciliations ”
Slide 39: Enexus Targets Balanced Aspirations for a One of a Kind Company
Enexus Targets Balanced As for a One of a Kind Company Teday's Energy — Temerrew's Selution ene><us Financial Aspirations Through 2012 Owners’ distribution; Credit quality; Strong cash flow; Substantial liquidity (relative Growth Performance \\ te ethers) Near-term: Top-Quartile safety Optimizing cu
Slide 40: Enexus Nuclear Fleet
Enexus Nuclear Fleet Palisades — 798 AW Acquired April 2007 FitzPatrick — 838 mW Acquired November 2000 a ® [inaian Point Una 27028 ‘Acquired September 2001 Indian Point, Unit 3— 1,047 Nw Acquired November 2000 tetrad Independent System Operator "ISO-NE" corre ae New York TF indeperient System Qpera
Slide 41: Enexus Business Highlights
Enexus Business Highlights Operational Financial v Record of safe, secure and efficient lv Simple business model operations fl v Low fuel cost and no CO, cost iw Low leverage exposure } Saeed ou Een Ms arerasrerarnanamaeresreonenanavnaramerasi f ¥ Attractive power markets | ¥ Substantial free cash f
Slide 42: Nuclear Performance Marked by a Strong Track Record
Nuclear Performance Marked by a Strong Track Record Capability Factor % 92 is a Refueling Outage Duration = INPO* Index _— 55 Production Cost smwn 27.00 20.09 o7 o7 97 07 ote: Data indlutes the Palisades plant fut exalstes the anger lent: 1997 data fore-Enteryy owmerchin of the assets) is Aased upon
Slide 43: Low Fuel Cost Provides Nuclear with Strong Baseload Profile
Low Fuel Cost Provides Nuclear with Strong Baseload Profile U.S. Fuel Costs 2007; Cents/KWh Marginal Fuel 2007; NYISO & ISO-NE Regions 6.78 Other Fuels -5% Gas Goal Nuclear Fuel Costs [Operations and Maintenance Gost Source: Ventyx: city Suite Note: 2007 valume weighted average Henry Hib gas price:
Slide 44: Nuclear Has No CO2 Cost Exposure
Nuclear Has No CO, Cost Exposure Incremental Cost of Generation smwn e2 Subcritical Coal wio f CO, captur 40 30 Gas Combined Cycle wio 20 CO, captur 10 Nuclear oO 10 20 30 40 50 Cost of CO, {Siton} Source: "Cast ami Perfomance Baseline for Fossl Energy Rants", DCE Ntional Energy Tectiatogy Labortory
Slide 45: Regions Served Reflect Supply Constraints
Regions Served Reflect S| Projected Demand Growth 2008E — 2016E; GW OBE O9E 10E 116 12E 13E 14E 15E 16E MNYISO DISO-NE Shrinking Reserve Margins hrinking Reserve Margins Supply Growth Constraints = State and local political / regulatory considerations "Uncertainty around carbon legislation impact on
Slide 46: Enexus Energy Markets Are Attractive
Enexus Energy Markets Are Attractive Markets and Nearest Hub 2008; % of Total MW wese 00 Contract Price, saan NEPOOL MASS Hub 08 ATG Price s73mwnh Energy Sold Forward 2012; % of Total MW 100 Unhedged Jats NEPCOL MASS Hub NYISO Zone G MYISG Zone A 00 ATS Price aYISO Zone A* ssamwn YISG Zone G* 08 ATG
Slide 47: Enexus Capacity Markets Continue to Develop
Enexus Capacity Markets Continue to Develop % of Total MW Capacity Market Opportunities ka | Palisades — = 15-year bundled capacity and energy contract expiring in 2022 = MISO began operations in 2005 as an energy-only market * Bilateral contracts capture energy and PERL. capacity in many instances
Slide 48: Market Prices Have Retreated From Summer While Heat Rates Have Increased
Market Prices Have Retreated From Summer While Heat Rates Have Increased NYISO Zone A ATG Forward Prices ($MIWh} EE 2007 Analyst Conference 90 eo 70 60 so BRR PRERERSER ERR SR ERE HE EF NYISO Zone A Implied Delivered Heat Rate (Btu/KWh} 7,100 EEL 2007 Analyst Conference 6,700 6300 5200 5500 a
Slide 49: Market Prices and Heat Rates Are Roughly In Line With EEI 07 Levels
Market Prices and Heat Rates Are Roughly In Line With EEI 2007 Levels NYISO Zone G ATG Forward Prices ($n) EEt 2007 132 Analyst Conference 4 96 78 BREERSESBERSSE SEB eg e8 gsssesegsegeggsegsssgseesegeges SRS PHESR SHS ER SH 56 Ss = NYISO Zone G Implied Delivered Heat Rate (Btu/KWh) 9,100 EE! 2007 __
Slide 50: Market Prices and Heat Rates Are Roughly In Line With EEI 07 Levels
Market Prices and Heat Rates Are Roughly In Line With EEI 2007 Levels NEPOOL MASS Hub ATG Forward Prices ($#IWh) EEt 2007 Analyst Conference 122 104 LT 68 = — 2005 | 2010 —201 BESESSSSSSSEEZE2Z22222228 ee_eezeeeexeeeenezeneee2e2 28828 282 228 FPRSPESRSSESPRERSPESR SESE NEPOOL MASS Hub Implied Delive
Slide 51: Some Minimum Hedge Levels Are Good Business
Some Minimum Hedge Levels Are Good Business Minimum Hedge Level The "Qppartunity" Serving Palisades through 2022 (17% of production) On-going relationships with large load-serving entities (+ 30-95% of production) Credi ati Gredit ratings = Debt service coverage = Liquidity adequacy * Optimal cost o
Slide 52: License Renewal Update
License Renewal Update License Renewal Status Expected NRC unit Filed Expiration "Expected NRC Issued Palisades Approved 3/24/31 tee Issued FitzPatrick Approved 10/17/34 ieued Pilgrim Yes = giai2 Est. 10 08 Vermont vermont Yes Batt Est. 10 08 Indian Chee Yes 972813 Est.111 Indian. Yes = 12/155 Est.1
Slide 53: Long-Term Opportunities
Long-Term Opportunities Focus on Transactions and Asset Additions @ Nuclear Plant Acquisitions @ Acquire!Develop Complementary Assets Hydre ae Combined Cycle Gas Turbine ‘pal Reet Opertors ard Proposed New Nasear Pts Renewal 5
Slide 54: Near-Term Growth Opportunities
Near-Term Growth Opportunities @ Hedge Strategy @ Infuencing Market Oe Current Energy Sold Forward i % 92 83 = a i Completed and Possible Uprates mw 245 Completed Possible
Slide 55: Liquidity Needs Call for An Array of Liquidity Sources
Liquidity Needs Call for An Array of Liquidity Sources Options for Sources of Liquidity Cash on hand Includes more than $1B. Senior secured revolving in commitment letters for credit facility the senior secured Synthetic letter of credit facility | "evolving credit facility coll Commodity credit fac
Slide 56: Enexus Cares About Creating and Preserving Financial Flexibility
Enexus Cares About Creating and Preserving Financial Flexibility © Liquidity sources sized to accommodate market and operational stress scenarios © Gan supporta significant power price stress scenario © Managing the business / liquidity for both upside and downside scenarios * Pramate financial flex
Slide 57: Events of 2008 Demonstrate What's Possible for EBITDA
Events of 2008 Demonstrate What’s Possible for EBIT! EBITDA* as of June 2008 EBITDA‘ as of October 2008 illustrative Hedge Profile; $M Hedge Profile; $M 2000 2012 Ami © $95/MWh June 2008 Drivers: 1,750 @ssimwn 1,750 Heat Rate Expansion, CO, Pri 1,500 1,500 Capacity Pric 4,250 EEL 2008 ah 4,250 EE! 2
Slide 58: EquaGen's Experience Spans Multiple Dimensions
EquaGen’s Experience Spans Multiple Dimensions Types of Service Offerings Case Study: Cooper Impact © Full plant operations Before | After * Management services Measure 03 o7 hange Capability Factor, 18 months, % Forced Loss Rate, ex 18 months, % 1st | 18 ae Last RFO Outage Engineering Length, Days
Slide 59: Proven Operations Track Record
Proven Operations Track Record Will Continue to Benefit Our Nuclear Plants Formal Agreements Cadify Exchange of Services and Payment ene<us ie ~160 employees 50% 50% Ent al —— ad ~4,100 employees Roles and Responsibilities Enexus Entergy Plant Operation & Maintenance Plant Employees Senior Managemen
Slide 60: Enexus / EquaGen Summary
Enexus / EquaGen Summary
Slide 61: Overarching Financial Aspiration Remains to Achieve Top-Quartile Total Shareholder Return
Overarching Financial Aspiration Remains to Cont Achieve Top-Quartile Total Shareholder Return Total Shareholder Return 10/30/1998" — 10/31/2008; % 300 250 200 150 100 60 “100 Souroe: Bloomberg *'1013/1998— Now CEOnamed: Boar! tumeconpany hack © managewent nuously
Slide 62: While Not Providing Guidance for 2009, Entergy Can Provide Preliminary Drivers
While Not Providing Guidance for 2009, Entergy Can Provide Preliminary 2009 Financial Drivers Preliminary 2009 Financial Drivers $ per share (after-tax) Business As Usual View ttustrative 7.40 midpoint 7.10 -7.70 range 1.15 —— o.15 7.25 7.40 —— 6.70 (0.55) “t0.15) (0.05) Up ta (0.22) 2008 Wily Incom
Slide 63: Preliminary 2009 Financial Drivers: Business As Usual View
While Not Providing Guidance for 2009, Preliminary 2009 Financ jal Drivers: Business As Usual View 2008 Operational! As-Reported* Earnings Midpoint 670 Utility ¢ Nuclear Net Revenue * Uulilty ~60%, reflecting weather-adjusted retail sales growth around 4%, considering effects of 08 hurricanes and in
Slide 64: Preliminary 2009 Financial Driver Sensitivities
While Not Providing Guidance for 2009, Preliminary 2009 Financial Driver Sensitivities Estimated Variables ‘Annual (S per share) Description of Change Impact* Utility Parent Sales Growth Residential 1% change in Residential Mn sold 140.05 Commer 4% change in Comm! {Govt ARWh sold | -1+ 0.04 Industri
Slide 65: Three-Year Capital Plan Reflects Continued Investment in the Business
Three-Year Capital Plan Reflects Continued Investment in the Business Projected Capital Expenditures 2009E - 2011E; $B Investing Capital - Preliminary ‘2009E - 2011E; % of Total Maintenance Investing Capital Capital 32 utility Potential Portfolio Transformation ee Generation {Existing Fleet) bad Env
Slide 66: Entergy Actively Plans to Ensure Adequate Liquidity Under a Variety of Scenarios
Entergy Actively Plans to Ensure Adequate Liquidity Under a Variety of Scenarios Entergy Liquidity Strategy Immediate cash needs for: ~ Storm restoration costs Gash Requirements - Temporary effect of outages - Deferred fuel balances Credit Liquidity a Third party needs related to: Liquidity needs fo
Slide 67: While Entergy Has Adequate Liquidity, Each Utility Company Is Responsible for Storm Costs
While Entergy Has Adequate Liquidity, Each Utility Company Is Responsible for Storm Costs / Recovery Current Liquidity Financing Authorization As of 9/30/2008; $M AS of 9/30/2008; $M (subject to debt covenants) Short -Term Long-Term Avail. | FERC - a ible at | (State) 6,029 Total | 9730008 | authori
Slide 68: Sources and Uses Analysis Supports Solid Near-Term Liquidity
Sources and Uses Analysis Supports Solid Near-Term Liquidity Sources and Uses of Cash 3q2008 - 4Q2008; $B 39 Financing’? Refinancing [J ocr s Funded Storm Reserves Available Revolver Gapacity Capital Expenditures Dividends? Repurchases Other Assumes Financing’? Refinancing 24 9730/08 Gash & Gash Equ
Slide 69: Near-Term Debt Maturities Are Manageable As Well
Near-Term Debt Maturities Are Manageable As Well Debt Maturities 4Q2008 - 2013+; $M Excludes lease and DOE obligations 47ot" & ee 2é OParentiOther ge i Non-Ltility Nuclear ap GUS. Utility ii es ee 762 = Fa 4qo8 4qa9 2010 2011-2012 2013+ * Erthasuntl Dec 2010%e repay dest acwumed under the debt aswru
Slide 70: Financial Overview Summary
Financial Overview Summary Near-term earnings reflect competitive growth Investment in business is focused on productive capital ‘Overall liquidity is very solid at a time when liquidity