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HomeMy WebLinkAbout2007Annual Report.pdfANNUAL REPORT OF SMALL TELEPHONE COMPANIES TO THE IDAHO PUBLIC UTILITIES COMMISSION FOR THE YEAR ENDING 12/31/07 COMPANY INFORMATION Exact name of utilty: Rural Telephone Company Address of principal offce: 892 W. Madison Ave~ Glenns Ferry, 10 83623 Telephone Number Area Code ( 2080366-2614 E-mail address: beverly.arrington~ruraltelphone,.con Cities or towns served: Shoup,Boise River,foipanuk, Three Creek, Atlanta, Prarie Name and title of offcer having custody of the general corporate books of account: James R¡; Martell Address of offce where corporate books are kept and phone number: same as principal office Organized under the laws of the State of: Idaho Date of organization: 7/27/7 9 Form of organization (proprietorship, association, corporation): Corporation If a Subchapter S Corporation, please specify: S Corporation Name and address of controllng company, if any: Martell Enterprises 892 W. Madison Ave. Glenns Ferry, ID 83623 Names of affliated companies. Give address and description of business: /Pend Oreille Telephone Company - sames as above Nehalem Telecommunications Inc. - same as above Martell Construction Inc. Glenns Ferry, ID OFFICERS Report below the title, name and offce address of each general officer of the utilty at the end of the year. If there were any changes during the year, .show the name, title, and address of the previous offcer and the date of change. Title Name Address President James R. Martell Vice-President Michael J. Martell Sec ./Treasurer Carmela M. Martell Rev 3/02 Page 1 -.. DIRECTORS List the name of each person who was a member of the Board of Directors at any given time during the year: (Fees related to meetings only.) Term Expired or Current Term Wil Expire Fees Paid During Year Meetings Attended This yearName and Address James R. Martell Carmela M. Martell !5,500 12,000 J 6',SOo 12,000 12 12 12 12 12 12 12 non..term. non-term. Mj ebae1 .J. Martell Angela Carpenter pop..terrn non-term J 8, 000 12,000 12.000 Andrea Roberts Mark R. Martell Matthew J . Martell pop-term non-term non-term Name of Chairman of the Board: Name of Secretary (or Clerk) of Board: Number of Meetings of the Board during the year: James R. Martell Carmela M. Martell 12 MANAGERS List the name of each person who performed management duties for the Company during the year, and the total wages and bonuses paid to those persons: (Do not include Director fees in these amounts.) Wages and Bonuses Paid 991'448 82,1150 60,000 69,148 Name James R. Martell Title President Mi chae' T . Martell Carmela M. Martell Mark R. Martell 17; ce President Sec/Treas. Administrative Manager Rev 3102 Page 2 NOTES TO THE FINANCIAL STATEMENTS 'Please provide important information such as changes in accounting or depreciation practices, extensions or additions to the system; disposal of any substantial portion of the propert of the utilty; reorganization, mergers, or consolidations with other companies; leases executed; other contracts or agreements entered into; changes made in articles of incorporation or amendments; the occurrence of contingency losses or gains. None Rev 3/02 Page 3 Rural Telephope Company Page 4 Balance Sheet Assets and Other Debits Balance Balance Increase Beginning at End or of Year of Year (Decrease) Current Assets 1120 Cash and Equivalents 366,998 430,915 63,917 1130 Cash and Equivalents 1140 Special Cash Deposits 1150 Workig Cash Deposits 1160 Temporary Investments 1180 Telecommuncations Accounts Receivable 75,993 121,979 45,986 1181 Accts Rec Allow - Telecommuncations 1190 Other Accounts Receivables 518,242 432,624 (85,618) 1191 Accts Rec Allow - Other 1200 Notes Receivable 1201 Notes Receivable Allowance 1210 Interest and Dividends Receivable 1220 Matenals and Supplies 373,027 454,554 81,527 1280 Prepayments 10,461 10,461 1290 Prepaid Rents 1300 Prepaid Taxes 1310 Prepaid Insurance 1320 Prepaid Directory Expenses 1330 Other Prepayments 1350 Other Current Assets 299,104 467,440 168,336 1,633,364 1,917,973 284,609 Noncurrent Assets 1401 Investment in Affiliated Companies 4,077,674 4,219,894 142,220 1402 Investment in Nonaffiiated Companies 1406 Nonreguated Investments 335,798 340,798 5,000 1407 Unamortized Debt Issuance Expense 1408 Sinkig Funds 1410 Other Noncurent Assets 460,178 494,424 34,246 1438 Deferred Maintenance and Retirements 1439 Deferred Charges 1500 Other Junstiction Assets - Net 4,873,650 5,055,116 181,466 Propert, Plant and Equipment 2001 Telecommunications Plant in Service 19,862,578 20,704,516 841,938 2002 Prop. Held for Future Telecom Use 4,000 4,000 2003 Telecom. Plant under Const. - Short Term 48,263 233,048 184,785 2004 Telecom. Plant under Const. - Long-Term 2005 Telecom Plant Adjustment 2006 Nonoperating Plant 2007 Goodwil 19,914,841 20,941,564 1,026,723 Depreciation and Amortization Accounts 3100 Accumulated Depreciated (10,607,521)(11,560,648)(953,127) 3200 Accum. Depr. - Held for Futue Use 3300 Accumulated Depreciation - Nonoperatin~ 3400 Accu. Amort. - Tangible 3410 Accu. Amort. - Capitalized Leases 3420 Accum. Amort. - Leasehold Improvement¡ 3500 Accu. Amort. - Intangible 3600 Accu. Amort. - Other (10,607,521)(11,560,648)(953,127) TOTAL ASSETS 15,814,334 16,354,005 539,671 -' Rural Telephone Company Page 5 Balance Sheet Liabilties & Stockholders' Equity Balance Balance Increase Beginning at End or of Year of Year (Decrease) Current Liabilties 4010 Accounts Payable 206,822 747,538 540,716 4020 Notes Payable 4030 Advance Bilings and Payments 29,316 38,014 8,698 4040 Customer Deposits 26,343 14,558 (11,785) 4050 Current Maturities - Long Term Debt 492,437 479,200 (13,237) 4060 Current Maturities - Capital Leases 4070 Income Taxes - Accrued 4080 Oter Taxes - Accred 37,513 38,124 611 4100 Net Current Defer. Oper. Income Taxes 4110 Net Current Defer. Nonoper. Income Taxi: 4120 Oter Accrued Liabilities 210,452 158,683 (51,769) 4130 Oter Current Liabilties 1,455,044 938,575 (516,469) 2,457,927 2,414,692 (43,235) Long-Term Debt 4210 Funded Debt 6,088,270 6,087,447 (823) 4220 Prellum on Long-Term Debt 4230 Discount on Long-Term Debt 4240 Reaquired Debt 4250 Obligations Under Capital Leases 4260 Advances from Affilated Companies 4270 Other Long-Term Debt 6,088,270 6,087,447 (823) Other Liabilties & Deferred Credits 4310 Other Long-Term Liabilties 4320 Unamort. Oper. Invest. Tax Credits - Net 4330 Unamort. Nonoper. Invest. Tax Credits - l 4340 Net Noncurrent Defer. Oper. Income Taxi: 4350 Net Noncur. Defer. Nonoper. Income Taxi 4360 Othere Deferred Credits 4370 Other Juris. Liab & Def. Credits - net Stockholders' Equity 4510 Capital Stock 56,900 56,900 4520 Additional Paid-In- Capital 10,197 10,197 4530 Treasury Stock 4540 Other Capital 4550 Retained Earnings 7,201,040 7,784,769 583,729 7,268,137 7,851,866 583,729 TOTAL LIAB. & TOTAL CREDITS 15,814,334 16,354,005 539,671 Ru r a l T e l e p h o n e C o m p a n y Pa g e 6 An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v c e To t a l C o m p a n y B a s i s Ba l a n c e Pl a n t Tr a n s f e r s Ba l a n c e Be g i n n i n g o f Ad d i t i o n s Re t i r e d an d En d of Ye a r Du n n g Y e a r or S o l d Ad j u s t m e n t s Ye a r An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e 21 1 1 La n d 19 7 , 0 5 2 - 19 7 , 0 5 2 21 1 2 Mo t o r V e h i c l e s 26 9 , 0 7 9 - 26 9 , 0 7 9 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 21 1 5 Ga r a g e W o k E q u i p m e n t 21 1 6 Ot h e r W o r k E q u i p m e n t 48 0 , 2 0 0 9, 8 5 2 (2 0 , 2 0 3 ) 46 9 , 8 4 9 21 2 1 Bu i l d i g s 88 9 , 7 5 5 57 , 0 5 0 - 94 6 , 8 0 5 21 2 2 Fu r n i t u r e 13 0 , 3 6 9 7, 2 7 0 - 13 7 , 6 3 9 21 2 3 Of f i c e E q u i p m e n t 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 43 3 , 1 5 9 - - 43 3 , 1 5 9 22 1 1 An a l o g E l e c t r o n i c S w i t c h g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h g 2, 7 8 6 , 6 0 0 98 , 7 2 1 - 2, 8 8 5 , 3 2 1 22 1 5 El e c t r o - M e c h a n c a l S w i t c h g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 9, 6 3 2 - - 9, 6 3 2 22 3 2 Ci r c u i t E q i u p m e n t 3, 8 8 2 , 9 1 3 50 1 , 6 6 6 (1 0 7 , 9 6 1 ) 4, 2 7 6 , 6 1 8 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i a l E q u i p m e n t 23 6 2 Ot h e r T e r m i a l E q u i p m e n t 24 1 1 Po l e s 24 2 1 Ae r i a l C a b l e 10 , 2 6 5 - 10 , 2 6 5 24 2 2 Un d e r g r o u n d C a b l e 24 2 3 Bu r i e d C a b l e 9, 6 5 8 , 3 8 8 22 2 , 2 6 1 - 9, 8 8 0 , 6 4 9 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 24 4 1 Co n d u i t S y s t e m s 1, 0 3 1 , 0 4 3 73 , 2 8 2 - 1, 1 0 4 , 3 2 5 26 8 1 Ca p i t a l L e a s e s 26 8 2 Le a s e h o l d I m p r o v e m e n t s 84 , 1 2 3 - 84 , 1 2 3 26 9 0 In t a n g i b l e s TO T A L P L A N T A C C O U N T S 19 , 8 6 2 , 5 7 8 97 0 , 1 0 2 (1 2 8 , 1 6 4 ) - 20 , 7 0 4 , 5 1 6 Ru r a l T e l e p h o n e C o m p a n y Pa g e 7 An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e Id a h o O p e r a t i o n s O n l y Ba l a n c e Pl a n t Tr a n s f e r s Ba l a n c e Be g i n n i n g o f Ad d i t i o n s Re t i r e d an d En d of Ye a r Du n n g Y e a r or S o l d Ad j u s t m e n t s Ye a r An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e 21 1 1 La n d 15 1 , 5 0 5 - - 15 1 , 5 0 5 21 1 2 Mo t o r V e h i c l e s 26 9 , 0 7 9 - 26 9 , 0 7 9 21 1 3 Ai c r a f t 21 1 4 Sp e c i a l P u r o s e V e h i c l e s 21 1 5 Ga r a g e W o k E q u i p m e n t 21 1 6 Ot h e r W o r k E q u i p m e n t 48 0 , 2 0 0 9, 8 5 2 49 0 , 0 5 2 21 2 1 Bu i d i n g s 52 2 , 6 5 3 - 52 2 , 6 5 3 21 2 2 Fu r n i t u r e 13 0 , 3 6 9 7, 2 7 0 13 7 , 6 3 9 21 2 3 Of f i c e E q u i p m e n t 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 43 3 , 1 5 9 - - 43 3 , 1 5 9 22 1 1 An a l o g E l e c t r o n i c S w i t c h g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h g 1, 1 1 5 , 7 1 1 94 , 8 9 6 - 1, 2 1 0 , 6 0 7 22 1 5 El e c t r o - M e c h a n c a l S w i t c h g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 9, 6 3 2 - - 9, 6 3 2 22 3 2 Ci r c u i t E q i u p m e n t 2, 3 4 9 , 9 5 4 44 9 , 1 1 4 (1 0 7 , 9 6 1 ) 2, 6 9 1 , 1 0 7 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e W i r i n g 23 4 1 La r g e P n v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i a l E q u i p m e n t 23 6 2 Ot h e r T e r m i a l E q u i p m e n t 24 1 1 Po l e s 24 2 1 Ae n a l C a b l e 10 , 2 6 5 10 , 2 6 5 24 2 2 Un d e r g r o u n d C a b l e 24 2 3 Bl l e d C a b l e 5, 4 7 0 , 6 8 7 17 0 , 8 6 8 - 5, 6 4 1 , 5 5 5 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 24 4 1 Co n d u i t S y s t e m s 74 5 , 4 8 2 68 , 0 3 3 - 81 3 , 5 1 5 26 8 1 Ca p i t a l L e a s e s 26 8 2 Le a s e h o l d I m p r o v e m e n t s 84 , 1 2 3 - 84 , 1 2 3 26 9 0 In t a n g i b l e s TO T A L P L A N T A C C O U N T S 11 , 7 7 2 , 8 1 9 80 0 , 0 3 3 (1 0 7 , 9 6 1 ) - 12 , 4 6 4 , 8 9 1 Ru r a l T e l e p h o n e C o m p a n y Pa g e 8 An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n To t a l C o m p a n y B a s i s Ba l a n c e Cr e d i t s Re t i r e m e n t s Ba l a n c e Be g i n n i n g o f De p r e c i a t i o p Du r i p g an d En d of Ye a r Ra t e Ye a r Ad j u s t m e n t s Ye a r An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n 21 1 2 Mo t o r V e h i c l e s 26 9 , 7 0 9 33 . 3 3 % (6 3 0 ) - 26 9 , 0 7 9 21 1 3 Ai r c r a f t - 0. 0 0 % 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 0. 0 0 % 21 1 5 Ga r a g e W o k E q u i p m e n t 0. 0 0 % 21 1 6 Ot h e r W o r k E q u i p m e n t 46 7 , 5 3 1 14 . 3 0 % 13 , 9 0 8 (1 1 , 7 0 3 ) 46 9 , 7 3 6 21 2 1 Bu i l d i n g s 23 1 , 9 1 2 l D - 3 . 0 % N Y - 2 . 8 % 26 , 0 2 5 - 25 7 , 9 3 7 21 2 2 Fu r n i t u r e 12 2 , 3 6 4 12 . 5 0 % 13 , 7 8 8 - 13 6 , 1 5 2 21 2 3 Of f i c e E q u i p m e n t 0. 0 0 % 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 43 0 , 9 7 6 20 . 0 0 % 2, 1 8 3 - 43 3 , 1 5 9 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 0. 0 0 % 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 2, 0 9 0 , 2 6 3 l D - 1 2 % N Y - 5 . 2 6 % 10 2 , 4 6 2 - 2, 1 9 2 , 7 2 5 22 1 5 El e c t r o - M e c h a n i c a l S w i t c h i n g 0. 0 0 % 22 2 0 Op e r a t o r S y s t e m s - 0. 0 0 % 22 3 1 Ra d i o S y s t e m s 9, 6 3 2 20 . 0 0 % - 9, 6 3 2 22 3 2 Ci r c u i t E q i u p m e n t 1, 8 9 1 , 6 9 7 l D - 1 0 % N Y - 5 . 2 6 % 31 8 , 2 4 0 (1 0 7 , 9 6 1 ) 2, 1 0 1 , 9 7 6 23 1 1 St a t i o n A p p a r a t u s - 0. 0 0 % 23 2 1 Cu s t o m e r P r e m i s e W i r i n g 0. 0 0 % 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s - 0. 0 0 % 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 0. 0 0 % 23 6 2 Ot h e r T e r m i a l E q u i p m e n t - 0. 0 0 % 24 1 1 Po l e s - 0. 0 0 % 24 2 1 Ae r i a l C a b l e 1, 7 7 5 5. 0 0 % 51 3 - 2, 2 8 8 24 2 2 Un d e r g r o u n d C a b l e - 0. 0 0 % 24 2 3 Bu r i e d C a b l e 4, 6 5 8 , 9 4 0 l D - 6 . 5 % a n d 5 % N Y - 4 % 46 9 , 3 0 7 - 5, 1 2 8 , 2 4 7 24 2 4 Su b m a r i n e C a b l e 0. 0 0 % 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e - 0. 0 0 % 24 3 1 Ae r i a l W i r e - 0. 0 0 % 24 4 1 Co n d u i t S y s t e m s 10 7 , 4 0 9 l D - 7 % N Y - 4 % 63 , 8 1 3 - 17 1 , 2 2 2 26 8 2 Le a s e h o l d I m p r o v e m e n t s 37 , 5 1 9 3. 0 0 % 2, 5 2 4 - 40 , 0 4 3 TO T A L P L A N A C C O U N T S 10 , 3 1 9 , 7 2 7 1 1, 0 1 2 , 1 3 3 (1 1 9 , 6 6 4 ) 11 , 2 1 2 , 1 9 6 Ru r a l T e l e p h o n e C o m p a n y Pa g e 9 An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n Id a h o O p e r a t i o n s O n l y Ba l a n c e Cr e d i t s Re t i r e m e n t s Ba l a n c e Be g i n n i n g o f De p r e c i a t i o n Du r i p g an d En d of Ye a r Ra t e Ye a r Ad j u s t m e n t s Ye a r An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n 21 1 2 Mo t o r V e h i c l e s 26 9 , 7 0 9 33 . 3 3 % (6 3 0 ) 26 9 , 0 7 9 21 1 3 Ai r c r a f t - 0. 0 0 % 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s - 0. 0 0 % 21 1 5 Ga r a g e W o k E q u i p m e n t 0. 0 0 % 21 1 6 Ot h e r W o r k E q u i p m e n t 46 7 , 5 3 1 14 . 3 0 % 57 1 - 46 8 , 1 0 2 21 2 1 Bu i l d i n g s 10 2 , 9 0 6 3. 0 0 % 15 , 6 8 0 11 8 , 5 8 6 21 2 2 Fu r n i t u r e 12 2 , 3 6 4 12 . 5 0 % 13 , 7 8 8 - 13 6 , 1 5 2 21 2 3 Of f i c e E q u i p m e n t - 0. 0 0 % 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 43 0 , 9 7 6 20 . 0 0 % 2, 1 8 3 - 43 3 , 1 5 9 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g - 0. 0 0 % 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 1, 1 0 3 , 1 6 4 12 . 0 0 % 14 , 4 8 7 1, 1 1 7 , 6 5 1 22 1 5 El e c t r o - M e c h a n i c a l S w i t c h i n g - 0. 0 0 % 22 2 0 Op e r a t o r S y s t e m s - 0. 0 0 % 22 3 1 Ra d i o S y s t e m s 9, 6 3 2 20 . 0 0 % - - 9, 6 3 2 22 3 2 Ci r c u i t E q i u p m e n t 1, 3 8 5 , 3 6 1 10 0 0 % 23 7 , 0 2 4 1, 6 2 2 , 3 8 5 23 1 1 St a t i o n A p p a r a t u s - 0. 0 0 % 23 2 1 Cu s t o m e r P r e m i s e W i r i n g - 0. 0 0 % 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s - 0. 0 0 % 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t - 0. 0 0 % 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t - 0. 0 0 % 24 1 1 Po l e s - 0. 0 0 % 24 2 1 Ae r i a l C a b l e 1, 7 7 5 5. 0 0 % 51 3 - 2, 2 8 8 24 2 2 Un d e r g r o u n d C a b l e - 0. 0 0 % 24 2 3 Bu r i e d C a b l e 2, 4 2 5 , 1 6 9 6.5 % an d 5% 30 1 , 8 2 0 - 2, 7 2 6 , 9 8 9 24 2 4 Su b m a r i n e C a b l e - 0. 0 0 % 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e - 0. 0 0 % 24 3 1 Ae r i a l W i r e - 0. 0 0 % 24 4 1 Co n d u i t S y s t e m s 68 , 7 7 9 7. 0 0 % 52 , 3 8 2 - 12 1 , 6 1 26 8 2 Le a s e h o l d I m p r o v e m e n t s 37 , 5 1 9 3. 0 0 % 2, 5 2 4 - 40 , 0 4 3 TO T A L P L A N T A C C O U N T S 6, 2 4 , 8 8 5 1 64 0 , 3 4 2 - 7, 0 6 5 , 2 2 7 INVESTMENTS Report below the investments in Accounts 1401, 1402 and 1406. Identify each investment as to the account in which included. Minor amounts in Account 1406 may be grouped by classes. Description Syringa Partnership Soæix'r,~d,: Book Cost of Investments Disposed of This yearDate Acquired 2001 Telespire ICS Syringa Video Fairfield Internet 2006 2007 2006 1997 2004 pend Ore; 11 e Tel ephone Nebs J em Tel ecomml1p; cat; ons Totals RECEIVABLES Book Cost of Investments Held at End of Year 320,298 10.000 2.500 5.000 3,000 '.528.550 1,691,344 4,560,692 Itemize amounts show in Accounts 1180, 1.190 and 1200. For notes receivable list each note separately and include the maturity date and interest rate. Minor amounts in Account 1210 may be combined. Amount at End of YearNotes Accounts Receivable Receivable 121, 979 291,587 80,241 26,344 Name of Company Customer Receivables NECA CABS Idaho USF Employee Advances CATV Related Parties Misc. Totals Rev 3102 Page 10 2i;?91 17,lJ6 440,170 17,059 1,021,843 NOTES PAYABLE For Notes Payable, list each note separately and include the maturity date and interest rate. Name of Creditor Date of Note Totals Interest Rate ACCOUNTS PAYABLE Report below all Accounts Payable amounting to more than $100.00 Name of Creditor Elmore County Harris Stratex Networks Idaho Optic Transport Little Valley Elk Ranch (eqûip lease) Martell Construction (equip lease) Mid-State NRTC Due Date Neo Nova Western States Equipment To~~eve Hoeft Construction~tter ALp Related Parties Totals Rev 3/02 Page 11 Face Amount Amount 35,436 268,135 16,862 20,853 81,240 16,609 49,534 20,743 22,827 16,886 198,413 938,575 1, 686 ~ 113 LO N G - T E R M D E B T Ac c o u n t s 4 2 1 0 , 4 2 4 0 , 4 2 5 0 , 4 2 6 0 , 4 2 7 0 a n d 4 3 1 0 Li s t t h e r e q u i r e d d a t a f o r e a c h o b l i g a t i o n i n c l u d e d i n t h e s e a c c u n t s , g r o u p i n g t h e m b y a c c o u n t n u m b e r a n d s h o w i n g t o t a l s f o r e a c h a c c o u n t . If a n y o b l i g a t i o n s m a t u r e s e r i a l l y o r o t h e r w i s e a t v a r i o u s d a t e s , g i v e p a r t i c u l a r s i n a n o t e . Cl a s s & S e r i e s of O b l i g a t i o n RU S RU S Le s s C u r r e n t : Re v 3 / 0 2 Da t e Da t e Fa c t of of Am o u n t Ou t s t a n d i n g Is s u e Ma t u r i t y Au t h o r i z e d Ye a r - E n d 19 8 2 20 1 7 1, 0 3 1 , 0 0 0 38 4 , 6 7 4 19 8 4 - 2 0 0 7 20 1 0 - 2 0 2 4 9, 7 0 3 , 6 4 0 6: , 1 8 1 , 9 7 3 ( 4 7 9 , 2 0 0 ) 6, 0 8 7 , 4 4 7 Pa g e 1 2 Pr e m i u m l D i s c o u n t Ye a r To t a l A m o r t i z e d In t e r e s t f o r y e a r Ra t e A m o u n t 2%5% 8, 0 5 0 30 6 , 9 8 9 CAPITAL STOCK Report below the particulars called for concerning common and preferred stock at end of year, designating separate series of any general class. Show totals separately for common and preferred. For each class of preferred stock, show the dividend rate and whether dividends are cumulative or noncumulative. Show details in a footnote of capital stock sold during the year. Include number of shares, consideration received, premium or discount, and expenses incurred. Class & Series of Stock Common Stock Rev 3/02 Number of Shares Authorized 2500 Par Value per Share 100 Page 13 Outstanding per Balance Sheet Shares Amount 569 56,900 Rural Telephone Company Income & Retained Earngs Statement Page 14 Total Idaho Company Only Total Operating Income 4,772,179 2,679,767 Total Operating Expense 3,969,292 2,253,869 7100 Other Operatig Income and Expene 217,220 86,888 * 7210 Operatig Investment Tax Credits - Net 7220 Operatig Federal Income Taxes 7230 Operatig State and Local Income Taxes 7240 Operatig Other Taxes (143,328)(75,025) 7250 Provision for Deferred Operatig Income Taxes - Net 7200 Operatig Taxes (Total)(143,328)(75,025) 7310 Dividend Income 20,918 8,367 * 7320 Interest Income 10,063 4,025 * 7330 Income from Sing and Other Funds 7340 Allowance for Funds Used Durig Constrction 10,039 4,016 * 7350 Gain/Losses from the Disposition of Certain Property 7360 Other Nonoperatig Income 7370 Special Charges (14,91)(5,796) * 7300 Nonoperatig Income and Expense 26,529 10,612 7410 Nonoperatig Investment Tax Credits - Net 7420 Nonoperatig Federal Income Taxes 7430 Nonoperatig State and Local Income Taxes 7440 Nonoperatig Other Taxes 7450 Provision for Deferred Nonoperatig Income Taxes - Net 7400 Nonoperatig Taxes 7510 Interest on Funded Debt (325,078)(130,031) * 7520 Interest Expense - Capital Leases 7530 Amortiation of Debt Issuance Expense 7540 Other Interest Deductions (34,015)(13,606) * 7500 Interest and Related Items (359,093)(143,637) 7610 Extraordinary Income Credits 7620 Extraordinry Income Charges 7630 Current Income Tax Effect of Extraordinary Items - Net 7640 Provision for Deferred Income Tax Effect of Extraordinary Items - Net 7600 Extraordinary Items 7910 Income Effect of Juristictional Ratemakig Differences - Net 7990 Nomeguated Net Income 32,056 (59,916) AMOUNT TRANSFERRED TO RETAINED EARNING~576,271 244,820 *- Allocated based on Company access lies. 892 W. MADISON AVE. D ~ L GLENNS FERRY, IDAHO 83623 IV I' I, (208) 366-2614 . FAX (208) 366-2615 TEL E P H 0 NEe 0 M PAN Y WWRTCI.NET D t8an dU:! l SAfiS' l 9 June 17,2008 Idaho Public Utilities Commission PO Box 83720 Boise,ID 83720-0074 To Whom It May Concern: Rural Telephone Company is submitting an amended page 15 of their 2007 Idaho Anua Report. We found that an error was made in reporting Idaho Operating Revenues. The error has been corrected and the amended page is enclosed. ~' cerely, .. .'.. '.i "IJ'£'~~k- Beverly ~ngton Sr. Accounting Specialist Rural Telephone Company Rural Telephone Company l~"\ ~,) Operatig Revenues Page 15 AMENDED 20nß 8= 19 Total Idaho Company Only UT,Ü'!Ic:';; Local Network Services Revenue 5001 Basic Area Revepue 439,775 225,175 5002 Optional Extended Area Revenue 5003 Cellulr Mobile Revenue 500 Oter Mobile Services Revenue 5010 Public Telephone Revenue 504 Local Private Line Revenue 5050 Customer Premises Revenue 5060 Oter Local Exchange Revenue 620 (1,04) 5069 Other Local Exchage Settemepts 44,395 224,129 Netork Access Service Revenues 5081 End User Revepue (SLC)139,605 54,167 5082 Switched Access Revenue (Iterstate)3,153,770 1,829,135 5083 Special Access Revenue 90,883 13,720 5084 State Access Revenue (Itrastate)668,46 34,008 5100 Lopg Distace Message Revenue - Al 619 4 4,053,3 2,239,034 Iptemet Services 5280.1 DSL Modem Revenue Idaho 4,350 4,350 5280.2 DSL Modem Revenue Nevada 12,080 16,430 4,350 Other Nonreguated Revenues 5280.3 Fiber Lease - Idaho 57,732 57,732 5280.31 DMV Circuit Equipment Lease 137,438 137,438 195,170 195,170 Miscellaneous Revenues 5230.1 Directory Revenue Idaho 1,394 1,394 5230.2 Directory Revepue Nevada 1,019 5210.1 IfS B&C Idaho 294 294 5210.2 IfS B&C Nevada 360 522.1 Intrastate B&C Idaho 302 302 522.2 Intrastate B&C Nevada 59,927 5260.1 Mic Revenue Idaho 2,856 2,856 5260.2 Mic Revenue Nevada 1,57 67,609 4,846 Uncollectble Revenues 5301 Upcollectible Revenue - Telecommuncation (767)(85) 5302 Uncollectible Revenue - Other (767)(85) TOTAL OPERATING REVENUE 4,77,179 2,667,44 Please identi the followig revenues: NECAUSF 1,450,789 5081.21 and 5081.22 STATEUSF 316,128 5084.21 ural Telephone Company o eratig Revenues Total Company Page 15 Idaho Only Local Network Services Revenue Basic Area Revenue Optional Extended Area Revenue Cellular Mobile Revenue Other Mobile Services Revenue ublic Telephone Revenue L al Private Line Revenue Cu orner Premises Revenue Othe Local Exchge Revenue Other ocal Exchage Settlements 5081 5082 5083 5084 5100 Network ccess Service Revenues End User venue (SLC) Switched Ac ss Revenue (Interstate) Special Access evenue State Access Rev ue (Intrastate) Long Distance Me age Revenue - All 5280.1 5280.2 Internet Services DSL Modem Revenue Id 0 DSL Modem Revenue Nev a 5280.3 5280.31 Other Nonregulated Revenues Fiber Lease - Idaho DMV Circuit Equipment L se 5230.1 5230.2 5210.1 5210.2 5220.1 5220.2 5260.1 5260.2 Miscellaneous Revenu Directory Revenue Id 0 Directory Revenue vada lIS B&C Idaho liS B&C Nevad Intrastate B&C aho Intrastate B& Nevada Nfsc Reven e Idaho Nfsc Reve ue Nevada 5301 5302 UncoIl etible Revenues Unco ectible Revenue - Telecommuncation Un llectible Revenue - Other 439,775 13 05 ,770 90,883 668,465 619 4,053,342 57,732 137,438 195,170 1,394 1,019 294 360 2 59,9 2,856 1,457 67,609 292 216,466 54,167 1,829,135 33,706 342,008 4 2,259,020 4,350 12,080 16,430 4,350 4,350 57,732 137,438 195,170 1,394 294 302 2,856 4,846 (767)(85) OTAL OPERATING REVENUE (767) 4,772,179 e following revenues: NECAUSF 1,450,789 5084.21STATEUSF316,128 .~ Rural Telephone Company Operating Expenses Page 16 Total Idaho Company Only Plant Specific Operations Expense 6110 Network Support Expenses 18,912 7,565 * 6112 Motor Vehicle Expense 6113 Aircraft Expense 6114 Special Purpose Vehicles Expense 6115 Garage Work Equipment Expenses 6116 Other Work Equipment Expense 6120 General Support Expense 67,672 27,069 * 6121 Land and Building Expense 273,968 265,684 6122 Furniture and Artworks Expense 6123 Office Equipment Expense 6124 General Purpose Computers Expense 6210 Central Office Switchg Expense 121,875 90,387 6211 Analog Electronic Expense 6212 Digital Electronic Expense 6215 Electro - Mechanical Expense 6220 Operations System Expense 6230 Central Office Transmission Expense 396,830 331,750 6231 Radio Systems Expense 6232 Circuit Equipment Expense 6310 Information Origination/Termination Expense 6311 Station Apparatus Expense 6341 Large Private Branch Exchange Expense 6351 Public Telephone Termial Equipment Expense 6362 Other Terminal Equipment Expense 6410 Cable and Wire Facilties Expenses 575,378 229,964 6411 Pole Expense 6421 Aerial Cable Expense 6422 Underground Cable Expense 6423 Buried Cable Expense 6424 Submarine Cable Expense 6425 Deep Sea Cable Expense 6426 Intrabuilding Network Cable Expense 6431 Aerial Wire Expense 6441 Conduit Systems Expense TOTAL PLANT SPECIFIC OPERA nONS EXPENSE 1,454,635 952,419 * Allocated based on Company access lines. Rural Telephone Company Operating Expenses Plant Nonspecific Operations Expense 6510 Other property /plant/ equipment expenses 6511 Property Held for Future Telecomm Use Expense 6512 Provisioning Expense 6530 Network Operations Expense 6531 Power Expense 6532 Network Administration Expense 6533 Testing Expense 6534 Plant Operations Administration Expense 6535 Engineering Expense 6540 Access Expense 6560 Depreciation and Amortization Expense 6561 Depreciation Expense - Telecom. Plant in Service 6562 Depreciation Expense - Property Held for Future Use 6563 Amortization Expense - Tangible 6564 Amortization Expense - Intangible 6565 Amortization Expense - Other Total Plant Nonspecific Operations Expense Customer Operations Expense Marketig Product Management Sales Product Advertising Services Call Completion Servces Number Servces Customer Services Total Customer Operations Expense 6610 6611 6612 6613 6620 6621 6622 6623 6710 6711 6712 6720 6721 6722 6723 6724 6725 6726 6727 6728 6790 Corporate Operations Expense Executive and Planning Executive Planning General and Administrative Accountig and Finance External Relations Human Resources Information Management Legal Procurement Research and Development Other General and Administrative Provision for Uncollectibe Notes Receivable Total Corporate Operations Expense Total plant nonspecific, customer and corporate Total Plant Specific Expense TOTAL OPERATING EXPENSE * - Allocated based on company access lines. Page 17 Total Company Idaho Only 3,834 1,534 * 54,907 29,872 70,014 37,692 90,929 45,852 13,595 5,438 * 1,012,134 640,342 1,245,413 760,730 137,082 54,833 * 125,489 68,876 262,571 123,709 260,365 104,146 * 626,242 250,497 * 111,093 55,389 8,973 6,980 1,006,673 417,012 2,514,657 1,301,450 1,454,635 952,419 3,969,292 2,253,869 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 7 ( u n l e s s o t h e r w i s e i n d i c a t e d ) . Na m e o f C e n t r a l O f f c e : S h o u p Pr e f i x ( e s ) : 2 0 8 - 3 9 4 Ce n t r a l O f f c e S w i t c h Ty p e : R e d c o m M O X Ch e c k a l l t h a t a p p l y : St a n d A 1 o n e . . Ho s t _ Re m o t e _ Ch e c k on e : Di g i t a l . . An a l o g _ Ch e c k on e : El e c t r o n i c . J El e c t r o - M e c h a n i c a l Ot h e r : Ac c e s s L i n e C a p a c i t y De s i g n : 1 2 0 0 Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : ~ (I n c l u d e C e n t r e x , P A L , S e m i - P u b . ) In s t a l l e d / E q u i p p e d : Pu b l i c T e l e p h o n e L i n e s ~ Co m p a n y O f f c i a l L i n e s ~ Co m p a n y T e s t L i n e s ~ Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Mu l t i - li n e 1- P a r Re s i d e n c e Bu s i n e s s Si n g l e l i n e Mu l t i - Si n g l e l i n e To t a l Mu l t i - Su b t o t a l Ce n t r e x Li n e Mu l t i - Su b t o t a l Re s i d e n c e 1- P a r t Pa r t Re s i d e n c e N. A . R . 1- P a r t 1- P a r t Pa r t Bu s i n e s s & B u s i n e s s 44 - 0 44 0 7 1. 0 0 17 '6 1 0 0 :; 0 0 0 2 2 2 - a a 6 6 -- 11 0 11 - 33 0 33 a 7 6 13 46 Be g i n n i n g o f Y e a r Ne w C o n n e c t s Di s c o n n e c t s En d o f Ye a r Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . O . : _ Di a l T o n e f r o m a n o t h e r C . O . : Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : _ Cu s t o m C a l l n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : _ Re v 3 1 0 2 Pa g e 1 8 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f c e : R a ; s e R ; v e r Pr e f i x ( e s ) : 2 0 8 - 6 5 3 Ce n t r a l O f f c e S w i t c h Ty p e : R e d c o m M D X Ch e c k a l l t h a t a p p l y : St a n d A 1 0 n e i Ho s t _ Re m o t e _ Ch e c k o n e : Di g i t a i i An a l o g _ Ch e c k on e : El e c t r o n i c . . El e c t r o - M e c h a n i c a l _ Ot h e r : Ac c e s s L i n e C a p a c i t y De s i g n : 1 2 0 0 Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 3 2 8 (I n c l u d e C e n t r e x , P A L . S e m i - P u b . ) In s t a l l e d / E q u i p p e d : Pu b l i c T e l e p h o n e L i n e s - l Co m p a n y O f f c i a l L i n e S - L Co m p a n y T e s t L i n e s - l Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Re s i d e n c e Mu l t i - Si n g l e L i n e Mu l t i - Li n e Mu l t i - Su b t o t a l Ce n t r e x Li n e 1- P a r t 1- P a r t Pa r t Re s i d e n c e NA R . 1- P a r t y Be g i n n i n g of Y e a r 0 29 7 0 29 7 0 19 Ne w C o n n e c t s 0 0 0 0 0 --- Di s c o n n e c t s 0 7 0 7 0 0- En d o f Ye a r 0 29 0 0 29 0 0 19 Bu s i n e s s Si n g l e L i n e Mu l t i - Pa r t y o Õ o 30 1- P a r t 24o 5 19 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . O . : _ Di a l T o n e f r o m a n o t h e r C . O . : Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : _ Cu s t o m C a l l n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : _ Re v 3 / 0 2 Pa g e 1 8 Su b t o t a l Bu s i n e s s 43 "0 6 38 To t a l Re s i d e n c e & B u s i n e s s 34 0o 12 32 8 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 7 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f c e : A t ' a u t a Pr e f i x ( e s ) : 2 0 8 - R ñ 4 Ce n t r a l O f f c e S w i t c h Ty p e : R e d e o m M D X Ch e c k a l l t h a t a p p l y : St a n d A 1 o n e . . Ho s t _ Re m o t e _ Ch e c k o n e : Di g i t a l ~ An a l o g _ Ch e c k on e : El e c t r o n i c . . El e c t r o - M e c h a n i c a l _ Ot h e r : Ac c e s s L i n e C a p a c i t y De s i g n : 1 2 0 0 In s t a l l e d / E q u i p p e d : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : ~ (I n c l u d e C e n t r e x , P A L , S e m i - P u b . ) Pu b l i c T e l e p h o n e L i n e s ~ Co m p a n y O f f c i a l L i n e s i - Co m p a n y T e s t L i n e s - - Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Re s i d e n c e Bu s i n e s s Mu l t i - Si n g l e L i n e Mu l t i - Si n g l e L i n e To t a l Li n e Mu l t i - Su b t o t a l Ce n t r e x Li n e Mu l t i - Su b t o t a l Re s i d e n c e i- P a r t i- P a r t Pa r t Re s i d e n c e N. A . R . i- P a r t y i- P a r t Pa r t Bu s i n e s s & B u s i n e s s Be g i n n i n g o f Y e a r 0 32 0 32 0 3 6 0 9 41 Ne w C o n n e c t s 0 0 0 0 0 0 0 0 0 -0 0 i 0 i 0 0 :5 () 5 -6 Di s c o n n e c t s - En d o f Ye a r 0 31 0_ 31 0 3 1 0 4 35 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . O . : _ Di a l T o n e f r o m a n o t h e r C . O . : Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : _ Cu s t o m C a l l n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : _ Re v 3/ 0 2 Pa g e 1 8 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 7 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f c e : P r a i r i e Pr e f i x ( e s ) : ZU l ) ; ; l ) l : f 8 Ce n t r a l O f f c e S w i t c h Re d c o m M D X Ty p e : Ch e c k a l l t h a t a p p l y : St a n d A 1 o n e ~ Ho s t _ Re m o t e _ Ch e c k on e : Di g i t a l - l An a l o g _ Ac c e s s L i n e C a p a c i t y De s i g n : 1 2 0 0 In s t a l l e d / E q u i p p e d : Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Re s i d e n c e Mu l t - Si n g l e L i n e Li n e Mu l t - 1- P a r t 1- P a r t Pa r t Be g i n n i n g o f Y e a r 0 57 0 Ne w C o n n e c t s 0 0 0- Di s c o n n e c t s 0 2 0- En d o f Ye a r 0 55 0 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . O . : _ Di a l T o n e f r o m a n o t h e r C . O . : Cu s t o m C a l l n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : _ Re v 3 / 0 2 Ch e c k on e : El e c t r o n i c ~ El e c t r o - M e c h a n i c a l _ Ot h e r : Ac c e s s L i n e s i n U s e Cu s t o m e r l i n e s : 5 9 (I n c l u d e C e n t r e x , P A L , S e m i - P u b . ) Pu b l i c T e l e p h o n e L i n e s ~ Co m p a n y O f f c i a l L i n e s - L Co m p a n y T e s t L i n e s - - Mu l t i - Su b t o t a l Ce n t r e x Li n e Re s i d e n c e N. A R . 1- P a r t y 57 0 0 0 0 0- 2 0 0- 55 0 0 Bu s i n e s s Si n g l e L i n e Mu l t i - Pa r t y o o 1- P a r t 4 o o 4 o o Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : _ Pa g e 1 8 Su b t o t a l Bu s i n e s s 4 Õ o 4 To t a l Re s i d e n c e & B u s i n e s s 61o 2 59 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 7 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f c e : T i p 8 n u k Pr e f i x ( e s ) : 2 0 8 - 7 9 6 Ce n t r a l O f f c e S w i t c h Ty p e : R e d c o m M D X Ch e c k a l l t h a t a p p l y : St a n d A 1 0 n e l Ho s t _ Re m o t e _ Ch e c k o n e : Di g i t a l . . An a l o g _ Ch e c k on e : El e c t r o n i c 2 El e c t r o - M e c h a n i c a l _ Ot h e r : Ac c e s s L i n e C a p a c i t y De s i g n : 1 2 0 0 In s t a l l e d / E q u i p p e d : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 1 3 4 (I n c l u d e C e n t r e x , P A L , S e m i - P u b . ) Pu b l i c T e l e p h o n e L i n e s ~ Co m p a n y O f f c i a l L i n e s - = Co m p a n y T e s t L i n e s - - Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Re s i d e n c e Bu s i n e s s Mu l t i - Si n g l e L i n e Mu l t i - Si n g l e L i n e To t a l Li n e Mu l t i - Su b t o t a l Ce n t r e x Li n e Mu l t i - Su b t o t a l Re s i d e n c e 1- P a r t 1- P a r t Pa r t Re s i d e n c e N. A . R . 1- P a r t y 1- P a r t Pa r t Bu s i n e s s & B u s i n e s s Be g i n n i n g o f Y e a r 0 11 6 0 11 6 0 5 3 0 8 12 4 Ne w C o n n e c t s 0 10 0 10 0 0 0 0 0 --- Di s c o n n e c t s 0 0 0 0 0 0 0 0 0 0- En d o f Ye a r 0 (1 2 6 0 12 6 0 5 3 0 8 13 4 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . O . : . Di a l T o n e f r o m a n o t h e r C . O . : Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : _ Cu s t o m C a l l n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : _ Re v 3 / 0 2 Pa g e 1 8 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 , 2 0 0 7 ( u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f c e : T h r e e C r e e k Pr e f i x ( e s ) : _ _ 2 0 8 - 8 5 7 Ce n t r a l O f f c e S w i t c h Ty p e : R e d c o m M D X Ch e c k a l l t h a t a p p l y : St a n d A 1 o n e ~ Ho s t _ Re m o t e _ Ch e c k o n e : Di g i t a L l L An a l o g _ Ch e c k on e : El e c t r o n i c - . El e c t r o - M e c h a n i c a l _ Ot h e r : Ac c e s s L i n e C a p a c i t y De s i g n : 1 2 0 0 In s t a l l e d / E q u i p p e d : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 4 4 (I n c l u d e C e n t r e x , P A L , S e m i - P u b . ) Pu b l i c T e l e p h o n e L i n e s ~ Co m p a n y O f f c i a l L i n e s ~ Co m p a n y T e s t L i n e s ~ Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Re s i d e n c e Mu l t i - Si n g l e L i n e Mu l t i - Li n e Mu l t i - Su b t o t a l Ce n t r e x Li n e 1- P a r t 1- P a r t Pa r t Re s i d e n c e N. A . R . 1- P a r t y Be g i n n í n g o f Y e a r 0 38 0 38 0 8- Ne w C o n n e c t s a a a 0 0 -- Di s c o n n e c t s 0 6 0 6 0 0- En d o f Ye a r 0 32 0 32 0 8 Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . O . : _ Di a l T o n e f r o m a n o t h e r C . O . : Bu s i n e s s Si n g l e L i n e Mu l t i - Pa r t o Q o o 1- P a r t 3 l o 4 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : _ Cu s t o m C a l l n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : _ Re v 3 / 0 2 Pa g e 1 8 Su b t o t a l Bu s i n e s s 11 Q o 12 CDC)c:Ct.s(.,.)(Q)w Q) B H,.U el Q)0 ::~"M..i:Q)i:H C'::el Q)el ..Q0H..el.i "M .i ~H C" Cf E-E--:ri ;:0 ..C'C"~LO CO ..eo CD..C'(\~LO CO ..eo Q)..................0: . .. ANNUAL REPORT FOR SMALL TELEPHONE COMPANIES YEAR ENDED DECEMBER 31, 2007 . CUSTOMER RELATIONS RULES COMPLIANCE Rule IDAPA 31.21.01.603 Rule IDAPA 31.41.01.105 Please provide copies of: Summary of Customer Relations Rules for Telephone Corporations Idaho Telephone Solicitation Act Notification Method of Notification: Mailed separately to customers Yes2L No__ Included in directory Yes.1 No__ Date of notification September, March Alternate method of notification newspapers Rule IDAPA 31.41.01.403.02 Record of Complaints: Number received by Company 4 Category of complaints (if known): Deposit Disputes Charges on Bil 1 OeniallTermination Quality or Availabilty of Service 1 Carrier Selection/Assignment Miscellaneous 3 Rev 3/02 Page 20 CERTIFICATE. State of Idaho ss County of ellYore" WE, the undersigned Michael J. Màrtell and Mark R. Martell of theRural Telephone Company utility, on our oath do severally say that the foregoing return has been prepared under our direction, from the original books, papers, and records of said utilty; that we have carefully examined same, and declare the same to be a correct statement of the business affairs of said utility for the period covered by the return in respect to each and every matter and thin our knowledge, information and belief. I daYOf~¥(Year) cJo t . My Commission expires 3 b-K ,,(Year) :Jo,). . ~,\\\\\"l1W'II,1. ~'~\,. ~ A. AR¡:/Jfiii~~~\(Q'..........:vG'.. ~~g;.. ..~Q~,;~.. . ~~~ .. ~OTARy'" ~= . ~. ==*: ... :*=S .~. ::~ '. PUBLIC : ~~ e.. . . ..-.~ ~. ... . ..- §~ ó);:...~.~ #';+111 ""'ca=\\:~,,'" "'''''''"1\''\\~ Rev 3/02 gdklexcellnelson/anulrptstelannualrpt Page 21 ..-.r""", Affidavit of Publication STATE OF IDAHO ) COUNTY OF TWIN FALLS) SSe being first duly sworn upon oath, depose and say that I am Legal Clerk of the hed daily at, Twins Falls, Idaho, and do solemny swear.that a copy of the notice er clipping attahed, was published in the regular and entire issue of said newspaper, ent thereof, for one 88RBi,.Ytiir~k~rnencing with the f March, 2007 and ending with thl issue dated 8th day of March, 2007 tht said newspaper is a consolidation, effective February 16, 1942, of the Idaho Evenig Times, except Sunday, and the Twin Falls News, published theretofore daily except Monday, both of which . tion had been published under said names in said city and county contiuously and uniterrptely n twelve consecutive months, and said TIMES-NEWS, since such consolidation, has ben published Sanirday, unti July 31, 1978, at which tie said newspaper began daily publication under said contiuously and uniterrpted. t pursuant to Section 60-108 Idaho Code, Thursday of each week has been designated as the day or by order of any court of competent jurisdiction within the state of Idaho to be issued thereof e day on which said legal wil be published. e subscri to the within intrment, and being by me first duly and acknowledged to me that he execute the same.~~~á~No~rIdaho Residing at Twin Falls, Idaho. My cornision expires: 5.,-vt- 0'1 .-' 0... Øt &.. LINDA CAPPS-McGUIRE NOTARY PUBLIC STATE OF IDAHO .."" ." AFFIDAVI OF PUBLICATION CoNT OF ELOR 1SSe STATE OF IDAHO I, CO w. Swe, DO SOY SW THT I AM THE PUBLSHER OF THE: . MoNTAI HOME Nes A wey NESPAP OF 6E CI..TION, PUBLSH ON A WE, IN MOUAI Ho, IDAH, THT THE NOTICE ATTAC HEO WHI IS A PART OF PUBLTION THiF; WAS PU8I IN SANESPAP FO CO we~TH.A/" FI PUBlTIJ' HAVI BE MADe ON Tl .. DAY OF ~ , 2oo7t-W LA PUBLTION :rJae MADE ON THE DAY OF2007; EVY WEDNESDAY ISS OF TH PAPER DUR THE PEROD ANI TIE OF PUBLTION AN THT TH NOTI WAS PUBLSH IN TH PAP PR AN NO IN A SU TH. AN I FUTH SWE THAT TH SA MOUAI HO Nes HA BE COSLY AN UNY . PUBLSHED IN SA ELoRE CoNT DUR TH PEOD OF 78 COVE wæic PROR TO TH FI PUBLTION OF THE ATT AOlED NOTI. Pu .ReIN IN MOUAI HOME, EL Co, lÐ. My COMMSSON EXS 11-17-2011. '. ~~,........",".,i~' S W Eiv """ , ""C~........eSO,,_ '....I ~\... e. 'V -: I?~I +Ó~AkY"\. \\ ..- : :C :i.. . PV-Bi.\ i : \-. ..0/~)o .... ...' 't:~ ~¡r#;#~.. 1"£"0'; \\) ;1'" ,i'""......," AFFIDAVI OF PUBLICATION CoNTY OF ELMORE L.iSS. STATE OF IDAHO I, Co w. SWE"DO SOY SW THT I AM THE PUBLER OF THE: MoNTAI HoME Nes A WEY NESPAP OF 6E CITION, PUBl ON A WE, IN MOUNTAI Ho. IDA. THT TH NOCE ATTAO HEO WH IS A PART OF PUBLTION THERC WAS PU8I IN SA NESPAP FO CO WE. TH FI~ HAYI BE MA ON _ ~ DAY OF , 2007, AN TH LAST PUBLTION ~e: MAll ON TI ~ DAY Of. 2007; EVY WEDNESDAY IS OF TH PAP DUR THE PEROD AN TI OF PUBLTION AN THAT THE NOTICE WAS PUBLSHED IN TH PAP PR ANI NOT IN A SU THERF. ANI I FUTHER SWER THT THE SA MOUAI Ho Nes HAS BE CONUOUSLY ANI lJY -PUBL IN SAD ELOR Co I) TH PEOD OF 78 COVE WEKS PROR TO TH FI PUBLCATION OF THE ATTACH NOTICE ~inS2t\k - ReIN IN MOUAI HoME. Eu Co. ID. My COMMSSON EXS 11-17-2011. AFFDAVI OF PUBLICATION CoNT OF ELORE LSSe STATE OF IDAHO I, Co W. SWE, DO SOY SW THT I AM TH PuBLER OF THE:. MoNTAI HoME Nes A weICY NESPAP OF GE CITION, PUBLSH ON A weK, IN MOUNTAI HOME, IDAH, THT TH NOTI ATTACHED HERO WH IS A PART OF PUBLTION THF; WAS PUBI IN SA NESPAP FO -- CO WE, TH FI "t'; HAVI ii MA ON TI .: DAY OF, 2007, AN TH LAST PUTION HAVI BE MADE ON THE ~AY OF ~7; EVY WEDNEAY IS OF TH PAP DUR THE PEOD AN TI OF PUBLTION AN THT TH NO WAS PUBI IN TH PAP PR AN NO IN A St TH. AN I RJTHER SWE TH:T TH SA MoAI Ho Nes HAS BE COOUSLY AND UNY PUBLSH IN SAD ELOR Co DU TH PEOD OF 78 CO welC PROR TO TH FIT PUBLCATION OF THE ATTACHED NOTICE. .1,.......,"..... .'..!/." ~~ENSOA. ~##., -- ;,.. .... ~lV,-. ! !.'fi 01.. ~Rr \:: : T ... Cl .:~ .s 01$ PU.V~.\ '! ,,-.,:" ....... ci ~ll,#"~rB O~ .'4'''.............ReIN IN MOUAI HOME, EL Co, ID. My COMMSSON EXS 11-17-2011. . . if;i '"" AFFIDAVI OF PUBLICATION COUNTY OF ELMORE STATE OF IDAHO lss. I, COL W. SWENS, DO SOLEMNLY SWEAR THAT I AM THE PUBliSHER OF THE: MOUNTAIN HOME News A WEEKLY NEWSPAPER OF GENERAL CIRCULATION, PUBliSHED ONCE A WEEK, IN MOUNTAIN HOME, IDAHO, THAT THE NOTICE ATTACHED HERETO WHICH is A PART OF,.... ,~"--".~"----~,',"---"-- PUBliCATION THEREr; WAS PUBLISHED IN SAID NEWSPAPER FOR CONSECUTIVE WEEKS, zefA/ì FIRST PUB~C~np~HAVING BEEN MADE ON THE I~-r' / DAY OF ~ , 2007,\~D~ LAST PUBLCATION tA~_~eN MADE ON THE ~AY OF~, 2007; EVERY WEDNESDAY ISSUE OF THE PAPER DURING THE PERIOD AND TIME OF PUBLCATION AND THAT THE NOTICE WAS PUBLSHED IN THE PAPER PROPER AND NOT IN A SUPPLEMENT THEREOF. AND I FURTHER SWEAR THAT THE SAID MOUNTAIN HOME NEWS HAS BEEN CONTINUOUSLY AND UNINTERRUPTEDLY PUBliSHED IN SAID ELMORE COUNTY DURING THE PEROD OF 78 CONSECUTIVE WEEKS PRIOR TO THE FIRST PUBLICATION OF THE ATTACHED NOTICE. (Q~L1.~Pu HER 11.~DAY OF "........" ~",; S w Blv;""~...... C ......... OA.~~$~~ ...)'1" "... .... .. i ~ L ~01'All)- . \. . ~ .: . ..... =: i ;i I-.. \""\ e.. PUB\' ..0~ "".. ..... ..~ V"').. ....:' ","¡l#. "". .. C"~' ",'" ~'f. 'J 1'8 O. f \V ~,,,~" "................ RESIDING IN MOUNTAIN HOME, ELMORE COUNTY, IDAHO. My COMMISSION EXPIRES 11-17-2011. AFFIDAVI OF PUBLICATION COUNTY OF ELMORE 1SSe STATE OF IDAHO I, COLEN W. SWENSN, DO SOLEMNLY SWEAR THAT I AM THE PUBLISHER OF THE: MOUNTAI HOME News A WEEKLY NEWSPAPER OF GENERAL CIRCULATION, PUBLISHED ONCE A WEEK, IN MOUNTAIN HOME, IDAHO, THAT THE NOTICE ATTACHED HERETO WHICH IS A PART OF PUBLICATION THEREOF; WAS PUBLISHED IN SAID NEWSPAPER FOR -1 CONSECUTIVE WEEKS, THE FIRST PU CA ON HAVING BEEN MADE ON THE I i:. DAY OF . ,2007, AND THE LAST PUBLCATION ~NG BEE MADE ON THE J. DAY OF , 2007; EVERY WEDNESDAY ISSUE OF THE PAPE DURING THE PERIOD AND TIME OF PUBLCATION AND THAT THE NOTICE WAS PUBLISHED IN THE PAPER PROPER AND NOT IN A SUPPLEMENT THEREOF. AND I FURTHER SWEAR THAT THE SAID MOUNTAIN HOME NEWS HAS BEEN CONTINUOUSLY AND UNINTERUPTEDLY PUBLISHED IN SAID ELMORE COUNTY DURING THE PERIOD OF 78 CONSECUTIVE WEEKS PRIOR TO THE FIRST PUBLICATION OF THE ATTACHED NOTICE. ~~"'''''''''' ,.",~~~ s WENS ""'l!., ...~:........ OA.""~ -""r ....", ~ ~~..-.. -\ ~¡~l ~O'tARt \æ i _.- J ;: .. e" · '\ '\ PU.\.~ .. 01~ .n...._ ..- ~ ~~ vi- ....... ~~ .." ""'" lf l"E Of \ ",......~,.......,"" ~ÚJ. 5ìi&: Pu HER IBED AND SWORN TO ME THIS /2-l DAY OF ,2 67. RESIDING IN MOUNTAIN HOME, ELMORE COUNTY, IDAHO. My COMMISSION EXPIRES 11-17-2011. "- () ~~ ~ ~1:: àie ~~ t-~~t; ~ ~io~ ~~(~. . ,Idaho Statesman P.O. Box 40, Boise, Idaho 83707-0040 LEGAL ADVERTISING PROOF OF PUBLICATION Acnl#OTI#ldenllcaon Amunt" 112511 268213 LEGAL NOTICE $31.88~~~ KELLEY RODGERS SEPTEMBER 15, 2007 RURAL TELEPHONE COMPANY Numb of lines 892 W. MADISON 32 GLENNS FERRY, 10 83623 Afav lg 1 JANICE HILDRETH, being duly swrn, depOses and says: That she is the Pnncipal Clerk of The Idaho Statesman, a daily newspaper pnnted and published at Boise, Ada County,State of Idaho, and having a general circlation therein, and which said newspaper has ben continuously and uninterrptedly publishe in said County dunng a peno of twelve consecutive months poor to the first publication of the notice, a coy of which is attched hereto: that said notice was published in The Idaho Statesman, in conformity with Section 60-108, Idaho Code, as amended, for: ONE lconsective weekly lconseutive daily insertion(s) beginning isslje of: SEPTEMBER 15, 2006 ending issue of: SEPTEMBER 15, 2006e¡~~ STATE OF IDAHO ) .ss COUNTY OF ADA ) On this 15 day of SEPTEMBER n the year of 2006 before m"ã Notary Public, personally appered before me Janice Hildreth known or identied to me to be the person whose name subscnbed to the within instrment, and being by me first duly swm, declared that the statements therein are tre, and acknowedged to me that she executed the same. .~""II""," ~ '- ~~......,.., y,RIGJ¡~"",~ .;~ ¿~" v. ..... -e A.. #, ~ ----,i' ~ ..... ...~':"1 ""Nota~ubllC i r Idaho ( : t$'" :\ p.R Y ...~ \eslding ~t: i:ise, i~aho ~ i.. /: Z: ~ 0 i '!y Commission expires: 2:~: 0 : ,.' 1".: :. .,.. "'v.. . .,. · .. ... · 0 .-; .. P\.\)V ....:~ e. ..a '"~.:~ e. ._~.' ...... J' 'I ........ ..of ........ '''ii A TE o\? ........ "",,11..1\"'" x I single I odd skip , Idaho Statesman P.o. Box 40, Boise, Idaho 83707-0040 LEGAL ADVERTISING PROOF OF PUBLICATION Acnt # DTI Idefition A! 112511 270351 LEGAL NOTICE $71.00Attntion:~Run Dat KELLEY RODGERS SEPTEMBER 15, 2007RURAL TELEPHONE COMPANY Number of Lines 892 W. MADISON 2X33GLENNS FERRY, 10 83623 Af .b 1 lconsecutive weekly lconsecutive dailyinsertion( s) beginning issue of: SEPTEMBER 15, 2006 ending issue of: SEPTEMBER 15, 2006Cf.!i¿STATE OF IDAHO ) .SS COUNTY OF ADA ) On this 15 day of SEPTEMBER n the year of 2006 before me: Notary Public, personally appeared before me Janice Hildreth known or identified to me to be the person whose name subscnbed to the within instrment, and being by me first duly swom, decared that the statements therein ............ .. bu, an~:" me Ih .hs;~ecuted the same. ,. ....,' GH'1 "" ~~ .¡...... .o~\ '1i~ "'" Notat;ûb ~~ v....... "'lÀ.. # 0i. 'y..... ....~y ~esi ng at: Boise, Idaho ~ ,/'2-' : -:.. ,,~v. y ... ~ Commission expires: _ :~: 0 ,. i :~ Cl. ~ .' û · 0 --.,.-. A .. . _ -... , v'" 0::=:0.. ~::~ if.o pU .. L"-: :~ eo. ... ~ $-; ........:'..' """,87' A Tß 0,..,...... ""'fi""'" JANICE HILDRETH, being duly sworn, deposes and says: That she is the Pnncipal Clerk of The Idaho Statesman, a daily newspaper pnnted and published at Boise, Ada County, State of Idaho, and having a general circlation therein, and which said newspaper has been continuously and uninterrptedly published in said Conty dunng a penod of twelve consecutive months pnor to the first publication of the notice, a copy of which is attched hereto: that said notice was published in The Idaho Statesman, in conformity with Section 60-108, Idaho Coe, as amended. for: ONE I single I odd skip x Idaho Statesman P.O. Box 40, Boise, Idaho 83707-0040 LEGAL ADVERTISING PROOF OF PUBLICATION Acunt # QI Identification Amunt: 112511 270351 LEGAL NOTICE $71.00 Attntion:P.O. # ~ KELLEY RODGERS SEPTEMBER 15, 2007 RURAL TELEPHONE COMPANY Number of lines 892 W. MADISON 2X33 GLENNS FERRY, ID 83623 Affdavi Legal # 1 JANICE HILDRETH, being duly sworn, deposes and says: That she is the Principal Clerk of The Idaho Statesman, a daily newspaper printed and published at Boise, Ada County, State of Idaho. and having a general circulation therein. and which said newspaper has been continuously and uninterruptedly published in said County during a period of twelve consecutive months prior to the first publication of the notice, a copy of which is attched hereto: that said notice was published in The Idaho Statesman, in conformity with Section 60-108, Idaho Code, as amended, for: ONE lconsecutive weekly lconsecutive dailyinsertion( s) beginning issue of: SEPTEMBER 15, 2006 ending issue of: SEPTEMBER 15 i 2006~L!J¿ STATE OF IDAHO ) .ss COUNTY OF ADA ) On this 15 day of SEPTEMBER n the year of 2006 before m"e Notary Public, personally appeared before me Janice Hildreth known or identified to me to be the person whose name subscribed to the within instrument, and being by me first duly sworn, declared that the statements therein are tre, and acknowled~ed to me that she executed the same. x I single I odd skip ,,'1.......,, ....,' \0 H"" iiii...... -0 R . iI "ii Nota~ v....... -1....... ...... "y' ... ....Y '5esi ng at: Boise, Idaho... y."- : ~ L ~ ¡.R ... ~ Cõmmission expires::~: 0 , ~ :::O.~. ú.O.. ... ""'' .. . .. "' . ~ ....: O. ~v:..:': if ... pU .. r-~ ~"ø", -.. ... ~..~"', ........ ~ ......1111, $1' A Tt. 0"...... '11....1111,1" 2?~2-- 20 0 6 F O R M I IN P U T M A S T E R I I I -- - ~ ~ I -- CO M P A N Y N A M E : R u r a l T e l e p h o n e C o m p a n y Fo r T h e Y e a r E n d e d : D e c e m b e r 3 1 , 2 0 0 6 Se p e r a t e d R e s u l t o f I d a h o O p e r a t i o n s I I To t a l Id a h o In t e r s t a t e O p e r a t i o n In t r a s t a t e O p e r a t i o n -- Op e r a t i o n s MT S & W A T S TO L L P L S MT S & W A T S TO L L P L S FC C A c c o u n t a n d No t e Li n e Su b j e c t To Sw i t c h e d Sp e c i a l Sw i t c h e d Sp e c i a l Lo c a l De s c r i p t i o n No . No . Se p a r a t i o n s Ac c e s s Ac c e s s To t l Ac c e s s Ac c e s s EA S (o t h e r ) To t a l SU M M A R Y Op e r a t i n g R e v e n u e s 21 4 , 9 2 1 50 X X L o c a l - B i l e d (1 ) 1. 21 4 , 9 2 1 - 21 4 , 9 2 1 . 0 0 -E A S B i l e d (1 ) 2. 0 - 0 -E A S S e t t l e m e n t (1 ) 3. 0 - 0 50 8 X A c c s s - S L C ( E n d U s e r ) (2 ) 4. 52 , 8 9 1 52 , 8 9 0 . 6 3 52 , 8 9 0 . 6 3 '0 -S w i t c h e d ( T S + N T S ) (2 ) 5. 1, 6 9 4 , 6 2 0 1, 3 4 5 , 7 6 1 . 0 0 1, 3 4 5 , 7 6 1 . 0 0 34 8 , 8 5 9 . 0 0 34 8 , 8 5 9 -S p e c i a l (2 ) 6. 37 , 9 7 9 29 , 2 7 1 . 6 6 29 , 2 7 1 . 6 6 8, 7 0 7 . 3 7 8, 7 0 7 51 X X T o l l - M e s s a g e (3 a ) 7. 0 - 0 -P r i v a t e L i n e (3 b ) 8. 0 - .~ -S e t t l e m e n t (3 c ) 9. 0 - 0 52 X X M i s c . - B i l l n g & C o l l e c t i o n (4 ) 10 . 7 - 7. 0 0 7 r- _ _ . - D i r e c t o r y A d v e r t s i n g 11 . 0 - ~- - -O p e r a t i n g R e n t s 12 . 0 - 0 f- - - O t h e r M i s c . 13 . 20 1 , 0 7 0 - 20 1 , 0 7 0 . 0 0 20 1 , 0 7 0 53 0 X L e s s : U n c o l l e c t i b l e R e v . ( - ) 14 . -8 5 - (8 5 . 0 ) -8 5 To t a l R e v e n u e s 15 . 2, 2 0 1 , 4 0 3 1, 3 9 8 , 6 5 2 29 , 2 7 2 1,4 2 7 , 9 2 3 34 8 , 8 6 6 8, 7 0 7 0 41 5 , 9 0 6 77 3 , 4 7 9 ~r a t i n g E x p e n s e s ~- = 6 4 X X P l a n t S c e i f i c O o e r . 5a 16 . 69 3 , 2 7 27 8 , 2 3 4 40 , 3 7 4 31 8 , 6 0 8 13 9 , 3 2 9 3,7 5 1 36 , 8 2 8 19 4 , 9 1 1 37 4 , 8 1 9 65 X X P l a n t N o n s o e c i f i c O p e r a t i o n s 5a 17 . 10 7 , 7 5 9 41 , 0 4 3 3, 9 6 1 45 , 0 0 4 22 , 6 7 3 77 9 4, 9 5 0 34 , 3 5 3 62 , 7 5 5 65 6 X D e o r e c i a t i o n & A m o r t i z a t i o n 5a 18 . 48 8 , 3 2 7 14 2 , 5 6 5 33 , 2 7 0 17 5 , 8 3 5 11 8 , 7 5 5 1, 2 6 0 27 , 9 0 9 16 4 , 5 6 8 31 2 , 4 9 2 66 X X C u s t o m e r O p e r a t i o n s 5a 19 . 93 , 5 6 8 17 , 9 4 0 17 , 9 4 4 26 , 6 4 4 0 0 48 , 9 8 0 75 , 6 2 4 67 X X C o r p r a t e O p e r a t i o n s 5a 20 . 41 7 , 1 0 6 16 9 , 7 7 4 20 , 3 9 2 19 0 , 1 6 6 83 , 6 3 4 1, 8 8 2 18 , 5 5 9 12 2 , 8 6 5 22 6 , 9 4 0 -- O t h e r O p e r a t i n g (5 a ) 21 . 0 0 0 0 0 0 0 0 0 To t a l E x p e n s e s (5 a ) 22 . 1, 8 0 0 , 1 8 7 64 9 , 5 6 0 97 , 9 9 7 74 7 , 5 5 7 39 1 , 0 3 5 7, 6 7 2 88 , 2 4 56 5 , 6 7 7 1, 0 5 2 , 6 3 0 ~_ . Op e r a t i n g T a x e s : (6 ) 72 4 0 G e n e r a l T a x e s 23 . 0 - 0 72 3 0 S t a t e l L o c a l l n c . T a x ( C u r r e n t ) 24 . 0 - 0 72 2 0 F e d e r a l In c o m e T a x ( C u r r n t ) 25 . 12 0 , 2 1 9 42 , 9 1 1 . 0 0 6, 2 8 6 . 0 0 49 , 1 9 7 . 0 0 26 , 3 3 0 . 0 0 56 8 . 0 0 5, 8 8 1 . 0 0 38 , 2 4 3 . 0 0 71 , 0 2 2 72 5 0 N e t D e f e r r I n c o m e T a x e s 26 . -3 8 , 3 3 5 (1 3 , 6 8 3 . 3 0 ) (2 , 0 0 4 . 4 8 ) (1 5 , 6 8 7 . 7 6 ) (8 , 3 9 6 . 2 ) (1 8 1 . 1 2 ) (1 , 8 7 5 . 3 1 ) (1 2 , 1 9 4 . 7 9 ) -2 2 , 6 4 7 72 1 0 N e t I n v e s t m e n t T a x C r e d i t s 27 . 0 0 0 To t a l Ta x e s 28 . 81 , 8 8 4 29 , 2 2 8 4, 2 8 2 33 , 5 0 9 17 , 9 3 4 38 7 4, 0 0 6 26 , 0 4 8 48 , 3 7 5 Ne t O p e r a t i n g I n c o m e 29 . 31 9 , 3 3 2 71 9 , 8 6 4 .7 3 , 0 0 7 64 6 , 8 5 7 -6 0 , 1 0 3 64 .9 2 , 2 5 2 .1 7 5 , 8 1 9 .3 2 7 , 5 2 5 Pa g e 1 o f 8 SU M M A R Y ( c o n t i n u e d ) Av e r a g e R a t e B a s e 20 0 1 T e l e c o m . P l a n t i n S e r v i c e (5 b l 1. 9, 0 5 7 , 4 0 7 3, 1 7 1 , 4 8 2 34 9 , 4 5 1 3, 5 2 0 , 9 3 3 2,0 0 0 , 2 5 0 68 , 7 5 7 43 6 , 7 7 7 3, 0 3 0 , 6 9 0 5, 5 3 6 , 4 7 4 20 0 5 P l a n t A c q u i s i t i o n A d j u s t m e n t 2. 0 0 31 0 0 L e s s : A c c u m u l a t e d D e o r . ( - I (5 c ) 3. -5 , 0 7 4 , 6 9 3 -2 , 0 2 9 , 1 1 6 -2 5 2 , 2 0 3 -2 , 2 8 1 , 3 1 9 -9 9 5 , 2 9 9 -2 4 , 7 9 5 -2 4 3 , 8 7 1 -1 , 5 2 9 , 4 0 9 -2 , 7 9 3 , 3 7 4 34 x x - 3 6 x x A c c u m u l a t e d A m o r t . ( - ) (5 ) 4. -1 2 , 9 8 4 -4 , 5 4 =5 1 -5 , 0 4 7 -2 8 6 8 .9 9 -6 2 6 -4 -7 , 9 3 7 41 0 0 - 4 3 4 0 A c c u m . D e f e r r d T a x ( - ) 5. -4 1 3 , 3 3 0 (1 4 4 , 7 2 9 ) (1 5 , 9 4 7 ) (1 6 0 , 6 7 6 ) (9 1 , 2 8 0 ) (3 , 1 3 8 ) (1 9 , 9 3 2 ) (1 3 8 , 3 0 4 ) -2 5 2 , 6 5 4 12 2 0 M a t e n a l s a n d S u p p l i e s 6 18 6 , 5 2 2 49 , 4 8 1 1, 1 1 1 50 , 5 9 2 47 , 3 6 1 2, 0 9 2 7, 4 8 1 78 , 9 9 6 13 5 , 9 3 0 40 4 0 C u s t o m e r D e p o s i t s 7 (6 , 9 8 3 ) (2 , 4 4 5 ) (2 6 9 ) (2 , 7 1 4 ) (1 , 5 4 2 ) (5 3 ) (3 3 7 ) (2 , 3 3 7 ) -4 , 2 6 9 43 1 0 O t h e r L o n g T e r m L i a b i l i t i e s 8 0 0 0 0 0 0 0 0 0 -- E q u a l A c c s s E q u i p m e n t (7 ) 9 0 0 0 - O t h e r R a t e B a s e 10 62 0 , 3 9 0 22 1 , 3 8 4 25 , 3 3 5 24 6 , 7 1 9 13 5 , 5 7 3 4, 3 6 1 29 , 6 3 6 20 4 , 1 0 1 37 3 , 6 7 1 To t l A v e r a g e R a t e B a s e 11 4, 3 5 6 , 3 2 9 1, 2 6 1 , 5 1 1 10 6 , 9 7 7 1, 3 6 8 , 4 8 8 1,0 9 2 , 1 9 5 47 , 1 2 5 20 9 , 1 2 8 1, 6 3 9 , 3 9 3 2, 9 8 7 , 8 4 1 Pa g e 2 o f 8 PL A N T I N S E R V I C E D E T A I L 21 X X G e n e r a l S u p p o r t F a c i l i t i e s 1. 1, 1 1 2 , 7 2 9 38 9 , 6 2 6 42 , 9 3 1 43 2 , 5 5 7 24 5 , 7 3 7 8, 4 4 7 53 , 6 5 9 37 2 , 3 2 9 68 0 , 1 7 2 22 X X C e n t r a l O f f c e E q u i p m e n t : CA T 1 - 0 p e r a t o r S y s t e m s 2. 0 0 0 CA T 2 - T a n d e m S w i t c h i n g ( A l l o c . ) 3. 0 - - CA T 2 - T a n d e m S w i t c h i n g ( A s s i g n . ) 4. 0 - - CA T 3 - L o c a l S w i t c h i n g 5. 1, 0 3 2 , 9 6 6 87 8 , 0 2 1 87 8 , 0 2 1 15 4 , 9 4 15 4 , 9 4 5 CA T 4 . 1 2 - E x c h . T r u n k ( J o i n t U s e ) 6. 17 9 , 9 5 8 - 17 9 , 9 5 8 17 9 , 9 5 8 CA T 4 . 1 2 - E x c h . T r u n k ( O e d . U s e ) 7. 27 3 , 8 0 4 27 1 , 8 8 5 27 1 , 8 8 5 1,9 1 9 1, 9 1 9 CA T 4 . 1 3 - S u b s c r . L i n e ( J o i n t U s e ) 8. 72 6 , 5 4 9 18 1 , 6 3 7 . 18 1 , 6 3 7 18 1 , 6 3 7 . 36 3 , 2 7 5 54 , 9 1 2 CA T 4 . 1 3 - S u b s c r . L i n e ( O e d . U s e ) 9. 0 - - CA T 4 . 2 3 - I X T r u n k ( J o i n t U s e ) 10 . 66 6 , 6 2 6 37 7 , 4 4 . 37 7 , 4 4 4 28 9 , 1 8 2 - - 28 9 , 1 8 2 CA T 4 . 2 3 - I X T r u n k C k t . ( O e d . U s e ) 11 . 5, 2 9 2 3, 5 2 8 3, 5 2 8 1, 7 6 4 1, 7 6 4 ... CA T 4 . 3 - H o s t / R e m o t e T r u n k C k t . 12 . 0 . - - . - Ot h e r C O E 13 . 0 . - To t a l C O E 14 . 2, 8 8 5 , 1 9 5 1, 4 3 7 , 1 0 2 27 5 , 4 1 3 1, 7 1 2 , 5 1 5 47 0 , 8 1 9 3, 6 8 3 17 9 , 9 5 8 51 8 , 2 2 0 1, 1 7 2 , 6 8 0 23 X X I n f o r m a t i o n O r l g . / T e r m . E q u i p m e n t : CA T 1 - R e g u l a t e d C P E 15 . 0 0 0 Oth e r lO T 16 . 0 0 0 To t a l lO T 17 . 0 0 0 0 0 0 0 0 0 24 X X C a b l e & W i r e F a c i l t i e s : CA T 1 . 3 - S u b s c r i b e r L i n e ( C o m m o n ) 18 . 4, 2 6 0 , 1 8 7 1, 0 6 5 , 0 4 7 1, 0 6 5 , 0 4 7 1, 0 6 5 , 0 4 7 2, 1 3 0 , 0 9 3 3, 1 9 5 , 1 4 0 CA T 1 . 1 , 2 - S u b s c r i b e r L i n e ( O e d . ) 19 . 0 - - . 0 CA T 2 - E x c h . T r u n k ( J o i n t U s e ) 20 . 20 1 , 7 1 1 - 20 1 , 7 1 1 20 1 , 7 1 1 CA T 2 - E x c h . T r u n k ( O e d . U s e ) 21 . 33 , 6 2 6 22 , 4 1 7 22 , 4 1 7 11 , 2 0 9 11 , 2 0 9 CA T 3 - I X T r u n k ( J o i n t U s e ) 22 . 48 1 , 2 0 7 26 9 , 1 9 2 - 26 9 , 1 9 2 21 2 , 0 1 5 . 21 2 , 0 1 5 CA T 3 - 1 X T r u n k ( O e d . U s e ) 23 . 52 , 7 2 1 7, 5 3 1 7, 5 3 1 45 , 1 9 0 45 , 1 9 0 CA T 4 - H o s t / R e m o t e T r u n k 24 . 0 . - . . 0 Ot h e r C & W F 25 . 0 - 0 To t a I C & W F 26 . 5, 0 2 9 , 4 5 2 1, 3 3 4 , 2 3 9 29 , 9 4 8 1,3 6 4 , 1 8 7 1, 2 7 7 , 0 6 2 56 , 3 9 9 20 1 , 7 1 1 2, 1 3 0 , 0 9 3 3, 6 6 5 , 2 6 5 26 X X O t h e r A s s e t s : Ca p i t a l L e a s e s 27 . 30 , 0 3 1 10 , 5 1 5 1, 1 5 9 11 , 6 7 4 6, 6 3 2 22 8 1, 4 4 10 , 0 4 18 , 3 5 7 Le a s e h o l d I m p r o v e m e n t s 28 . 0 0 0 In t a n g i b l e s 29 . 0 0 0 To t a l O t e r A s s e t s 30 . 30 , 0 3 1 10 , 5 1 5 1,1 5 9 11 , 6 7 4 6, 6 3 2 22 8 1, 4 4 9 10 , 0 4 8 18 , 3 5 7 To t a l T e l e c o m . P l a n t i n S e r v i c (5 b ) 31 . 9, 0 5 7 , 4 0 7 3, 1 7 1 , 4 8 2 34 9 , 4 5 1 3, 5 2 0 , 9 3 3 2,0 0 0 , 2 5 0 68 , 7 5 7 43 6 , 7 7 7 3, 0 3 0 , 6 9 0 5, 5 3 6 , 4 7 4 Pa g e 3 o f 8 De p r e c i a t i o n & A m o r t i z a t i o n -- Ac c u m u l a t D e p r e c i a t i o n D e t i l 31 1 X G e n e r a l S u p p o r t F a c i l i t i e s 1. -5 7 3 , 3 7 (2 0 0 , 9 3 1 ) (2 2 , 1 4 0 ) (2 2 3 , 0 7 1 ) (1 2 6 , 7 2 7 ) (4 , 3 5 6 ) (2 7 , 6 7 2 ) (1 9 2 , 0 1 1 ) -3 5 0 , 7 6 6 31 2 X C e n t r a l O f f c e S w i t c h i n g 2. -1 , 0 3 2 , 9 6 7 (8 7 8 , 0 2 2 ) (8 7 8 , 0 2 2 ) (1 5 4 , 9 4 5 ) -1 5 4 , 9 4 5 31 2 X O p e r a t o r S y s t e m s 3. 0 - 0 31 2 X C e n t r a l O f f c e T r a n s m i s s i o n 4. -1 , 2 5 9 , 7 9 7 (3 7 2 , 0 9 5 ) (2 0 9 , 3 8 ) (5 8 1 , 1 3 3 ) (3 1 3 , 6 9 6 ) (2 , 4 0 9 ) (1 1 7 , 8 5 7 ) (2 4 4 , 7 0 2 ) -6 7 8 , 6 6 4 31 3 X I n f o r m a t i o n O r i g . / T e r m . E q u i p . 5. 0 - 0 31 4 X C a b l e & W i r e F a c i l i t i e s 6. -2 , 2 0 8 , 0 9 2 (5 7 8 , 6 8 ) (2 1 , 0 2 5 ) (5 9 9 , 0 9 3 ) (5 5 4 , 8 7 6 ) (1 8 , 0 3 0 ) (9 8 , 3 4 2 ) (9 3 7 , 7 5 1 ) -1 , 6 0 8 , 9 9 9 To t l A c c u m u l a t e d D e p r e c i a t i o n (5 c ) 7. =5 , 0 7 4 , 6 9 3 .2 , 0 2 9 , 1 1 6 .2 5 2 , 2 0 3 -2 , 2 8 1 , 3 1 9 .9 9 5 , 2 9 9 .2 4 , 7 9 5 .2 4 3 , 8 7 1 .1 , 5 2 9 , 4 0 9 .2 , 7 9 3 , 3 7 4 Ac c u m u l a t d A m o r t i z a t i o n D e t a i l 34 1 0 C a p i t a l L e a s e s 8. (1 2 , 9 8 4 ) (4 , 5 4 ) (5 0 1 ) (5 , 0 4 7 ) (2 , 8 6 8 ) (9 9 ) (6 2 6 ) (4 , 3 4 ) -7 , 9 3 7 34 2 0 L e a s e h o l d I m p r o v e m e n t s 9. 0 0 0 35 0 0 I n t a n g i b l e s 10 . 0 0 0 36 0 0 A c q u i s i t i o n A d j u s t m e n t 11 . 0 0 0 To t l A c c u m u l a t e d A m o r t i z a t i o n (5 c ) 12 . .1 2 , 9 8 4 -4 , 5 4 =5 1 =5 , 0 4 7 .2 , 8 6 8 =9 9 =6 2 6 -4 , 3 4 4 .7 , 9 3 7 Pa g e 4 o f 8 OP E R A T I N G E X P E N S E D E T A I L 61 X X = 6 4 X X P l a n t S p e c i f i c O p e r a t i o n s 61 1 0 = 2 0 G e n e r a l S u p p o r t F a c i l i t i e s 1. 10 7 , 0 1 3 37 , 4 7 1 4, 1 2 9 41 , 6 0 0 23 , 6 3 2 81 2 5, 1 6 1 35 , 8 0 8 65 , 4 1 3 62 1 X Ce n t r a l O f f c e S w i t c h i n g 2. 99 , 3 8 6 49 , 5 0 4 9, 4 8 7 58 , 9 9 1 16 , 2 1 8 12 7 6, 1 9 9 17 , 8 5 1 40 , 3 9 5 62 2 0 Op e r a t o r S y s t e m s 3. 0 - 0 62 3 X Ce n t r a l O f f c e T r a n s m i s s i o n 4. 26 6 , 5 5 7 13 2 , 7 7 1 25 , 4 4 15 8 , 2 1 6 43 , 4 9 8 34 16 , 6 2 6 47 , 8 7 7 10 8 , 3 4 1 63 X X In f o r m a t i o n O r i . r r e r m . E q u i p . 5. 0 - 0 64 X X Ca b l e & W i r e F a c i l i t i e s 6. 22 0 , 4 7 1 58 , 4 8 8 1,3 1 3 59 , 8 0 1 55 , 9 8 1 2, 4 7 2 8, 8 4 2 93 , 3 7 5 16 0 , 6 7 0 To t l P l a n t S p e c i f i c (5 a ) 7. 69 3 , 4 2 7 27 8 , 2 3 4 40 , 3 7 4 31 8 , 6 0 8 13 9 , 3 2 9 3, 7 5 1 36 , 8 2 8 19 4 , 9 1 1 37 4 , 8 1 9 65 X X P l a n t N o n s p e c i f i c O p e r a t i o n s (8 ) 65 1 2 Pr o v i s i o n i n g 8. 1,7 7 0 62 0 68 68 8 39 1 13 85 59 3 1, 0 8 2 65 3 X Ne t w r k O p e r a t i o n s 9. 10 0 , 8 9 4 35 , 3 2 8 3, 8 9 3 39 , 2 2 1 22 , 2 8 2 76 6 4, 8 6 5 33 , 7 6 0 61 , 6 7 3 65 4 0 Ac c s s P a i d t o L E C s (9 ) 10 . 5, 0 9 5 5, 0 9 5 5, 0 9 5 0 To t a l P l a n t N o n s p e c i f i c (5 a ) 11 . 10 7 , 7 5 9 41 , 0 4 3 3, 9 6 1 45 , 0 0 4 22 , 6 7 3 77 9 4,9 5 0 34 , 3 5 3 62 , 7 5 5 65 6 X D e p r e c i a t i o n & A m o r t i z a t i o n (8 ) 65 6 1 Ge n e r a l S u p p o r t F a c i l t i e s 12 . 19 , 2 5 3 6, 7 4 2 74 3 7, 4 8 5 4,2 5 2 14 6 92 8 6,4 4 2 11 , 7 6 8 65 6 1 Ce n t r a l O f f c e S w i t c h i n g 13 . 12 , 3 8 0 10 , 5 2 3 10 , 5 2 3 1, 8 5 7 1, 8 5 7 65 6 1 Op e r a t o r S y s t e m s 14 . 0 - 0 65 6 1 Ce n t r a l O f f c e T r a n s m i s s i o n 15 . 16 7 , 8 6 0 48 , 6 2 8 30 , 3 8 4 79 , 0 1 2 41 , 0 3 6 31 0 15 , 1 7 4 32 , 3 2 8 88 , 8 4 8 65 6 1 In f o r m a t i o n O r i g . r r e r m . E q u i p . 16 . 0 - 0 65 6 1 Ca b l e & W i r e F a c i l i t i e s 17 . 28 7 , 9 2 5 76 , 3 5 4 2, 1 0 8 78 , 4 6 2 73 , 2 6 6 79 7 11 , 7 6 3 12 3 , 3 7 20 9 , 4 6 3 65 6 3 Ca p i t a l L e a s e s 18 . 90 9 31 8 35 35 3 20 1 7 44 30 4 55 6 65 6 3 Le a s e h o l d I m p r o v e m e n t s 19 . 0 - 0 65 6 4 In t a n a i b l e s 20 . 0 - 0 Pa g e 5 0 f 8 65 6 5 Ac q u i s i t i o n A d j u s t m e n t 21 . 0 - 0 To t l D e p r e c i a t i o n & A m o r t i z a t i o n (5 a ) 22 . 48 8 , 3 2 7 14 2 , 5 6 5 33 , 2 7 0 17 5 , 8 3 5 11 8 , 7 5 5 1, 2 6 0 27 , 9 0 9 16 4 , 5 6 8 31 2 , 4 9 2 OP E R A T I N G E X P E N S E ( c o n t i n u e d ) 66 X X C u s t o m e r O p e r a t i o n s 66 1 X Ma r k e t i n g 1. 43 , 8 1 0 - 43 , 8 1 0 43 , 8 1 0 66 2 X Op e r a t o r S e r v i c e s 2. 2, 7 9 7 - 2, 7 9 7 2, 7 9 7 66 2 X Dir e c t o r y P u b l i s h i n g - A l p h a . 3. 0 - - 66 2 X Dir e c t o r y P u b l i s h i n g - C l a s s i f i e d 4. 0 - - 66 2 X Dir e c t o r y P u b l i s h i n g - F o r e i g n 5. 0 - - 66 2 3 Se r v i c e O r d e r P r o c . - E n d U s e r 6. 12 , 3 5 5 5,0 2 6 5, 0 2 6 7,3 2 9 . 7, 3 2 9 66 2 3 Pa y m e n t & C o l l e c t i o n - E n d U s e r 7. 9, 2 6 6 2, 8 5 8 2, 8 5 8 6,4 0 8 - 6, 4 0 8 66 2 3 Bi l i n g I n q u i r y - E n d U s e r 8. 9, 2 6 6 2, 8 5 8 2, 8 5 8 6,4 0 8 - 6, 4 0 8 66 2 3 Se r v i c e O r d e r P r o c . - C X R 9. 0 - - 66 2 3 Pa y m e n t & C o l l e c i o n - C X R 10 . 0 - 66 2 3 Bi l i n g I n q u i r y - C X R 11 . 0 -- - - - 66 2 3 Co i n A d m i n i s t r a t i o n 12 . 0 - - 66 2 3 Re v . A c c t g . - T o l l T i c k e t P r o . 13 . 0 - - - 66 2 3 Re v . A c c t g . - L o c a l M e s s . P r o c . 14 . -5 (1 ) (1 ) (4 ) (4 ) 66 2 3 Re v . A c c . - O t h e r B i l l & C o l i . 15 . 6, 7 6 3 2, 0 1 7 2,0 1 7 2, 3 7 3 2, 3 7 3 4, 7 4 6 66 2 3 Re v . A c c t . - S L C B i l i n g 16 . 35 6 35 6 35 6 - 66 2 3 Re v . A c c t g . - C X R B & C (9 ) 17 . 8, 2 6 1 4, 1 3 1 4, 1 3 1 4, 1 3 0 4, 1 3 0 66 2 3 B & C A m t s P a i d t o L E C s (9 ) 18 . 0 - - 66 2 3 Ot h e r C u s t o m e r S e r v i c e 19 . 69 9 69 9 69 9 - To t a l C u s t o m e r O p e r a t i o n s (5 a ) 20 . 93 , 5 6 8 17 , 9 4 4 0 17 , 9 4 26 , 6 4 4 0 0 48 , 9 8 0 75 , 6 2 4 67 X X C o r p o r a t e O p e r a t i o n s : 67 1 X Ex e c u t i v e & P l a n n i n g 21 . 11 1 , 3 7 1 41 , 9 3 6 5, 7 2 5 47 , 6 6 1 23 , 4 7 9 52 8 5, 2 1 0 34 , 4 9 3 63 , 7 1 0 67 2 X Ge n e r a l & A d m i n i s t r a t i v e 22 . 30 5 , 7 3 5 12 7 , 8 3 8 14 , 6 6 7 14 2 , 5 0 5 60 , 1 5 5 1,3 5 4 13 , 3 4 9 88 , 3 7 2 16 3 , 2 3 0 67 2 8 EA S S e t t l e m e n t E x p e n s e 23 . 0 0 0 To t a l C o r p o r a t e O p e r a t i o n s (5 a ) 24 . 41 7 , 1 0 6 16 9 , 7 7 4 20 , 3 9 2 19 0 , 1 6 6 83 , 6 3 4 1,8 8 2 18 , 5 5 9 12 2 , 8 6 5 22 6 , 9 4 0 .. . . O t e r O p e r a t i n g E x p e n s e s : - Eq u a l A c c s s P r o v i s i o n (1 0 ) 25 . 0 0 0 - Un i v e r s a l S e r v i c e F u n d (1 1 ) 26 . 0 0 0 -- Li f e l i n e C o n n e c t i o n A s s i s t a n c e (1 2 ) 27 . 0 0 0 To t a l Ote r (5 a ) 28 . 0 0 0 0 0 0 0 0 0 Pa g e 6 o f 8 To t a l O p e r a t i n g E x p e n s e s (5 a ) 29 . 1, 8 0 0 , 1 8 7 64 9 , 5 6 0 97 , 9 9 7 74 7 , 5 5 7 39 1 , 0 3 5 7,6 7 2 88 , 2 4 6 56 5 , 6 7 7 1, 0 5 2 , 6 3 0 OP E R A T I N G T A X E S D E T A I L 72 4 0 G e n e r a l T a x e s 72 4 0 Pr o p e r t 1. 75 , 0 2 5 26 , 2 7 0 2, 8 9 5 29 , 1 6 5 16 , 5 6 8 57 0 3, 6 1 8 25 , 1 0 4 45 , 8 6 0 72 4 0 Gr o s s R e c e i p t s 2. 0 0 0 72 4 0 PU C F e e 3. 0 0 0 72 4 0 Fr a n c h i s e F e e s 4. 0 0 0 72 4 0 Ot h e r 5. 0 0 0 To t a l G e n e r a l T a x e s 6. 75 , 0 2 5 26 , 2 7 0 2, 8 9 5 29 , 1 6 5 16 , 5 6 8 57 0 3, 6 1 8 25 , 1 0 4 45 , 8 6 0 72 X X In c o m e T a x e s ( C a l c u l a t d ) Ne t I n c o m e B e f o r e S I T & F I T (1 3 ) 7. 32 6 , 1 9 1 72 2 , 8 2 2 -7 1 , 6 2 0 65 1 , 2 0 1 -5 8 , 7 3 7 46 5 -9 1 , 8 6 4 -1 7 4 , 8 7 5 -3 2 5 , 0 1 1 Le s s F i x e d C h a r g e s ( - ) 8. 98 , 4 5 2 28 , 2 0 0 2, 3 3 6 30 , 5 3 6 24 , 8 2 1 1, 0 8 5 4, 7 3 2 37 , 2 7 8 67 , 9 1 6 Su b t o t a l ( l i n e s 7 - 8 ) (1 4 ) 9. 22 7 , 7 3 9 69 4 , 6 2 2 -7 3 , 9 5 6 62 0 , 6 6 5 -8 3 , 5 5 8 -6 2 0 -9 6 , 5 9 6 -2 1 2 , 1 5 3 -3 9 2 , 9 2 7 Ot h e r S I T B a s e A d d l D e d . ( + - ) (1 5 ) 10 . 0 0 0 SI T T a x a b l e I n c . ( l i n e s 9 + - 1 0 ) 11 . 22 7 , 7 3 9 69 4 , 6 2 2 -7 3 , 9 5 6 62 0 , 6 6 5 -8 3 , 5 5 8 -6 2 0 .2 1 2 , 1 5 3 =3 9 2 , 9 2 7 72 3 0 S I T - C u r r e n t ( a t 4 % ) (1 6 ) 12 . 15 , 7 8 2 27 , 7 8 5 -5 , 1 2 5 43 , 0 1 2 -5 , 7 9 1 -4 3 0 -1 4 , 7 0 2 -2 7 , 2 3 0 Ot h e r F I T B a s e A d d / O e d . ( + - ) (1 7 ) 13 . 0 0 0 FI T T a x a b l e I n c . ( l i n e s 9 - 1 2 + . 1 3 ) 14 . 21 1 , 9 5 6 66 6 , 8 3 7 -6 8 , 8 3 1 57 7 , 6 5 3 -7 7 , 7 6 7 -5 7 7 .1 9 7 , 4 5 1 -2 7 5 , 7 9 5 Gr o s s F I T a t 2 5 . 6 2 % 15 . 77 , 3 3 6 17 0 , 8 4 4 -1 7 , 6 3 5 14 7 , 9 9 5 -1 9 , 9 2 4 -1 4 8 0 -5 0 , 5 8 7 -7 0 , 6 5 9 72 1 0 P C l a i m e d I T C ( - ) 16 . 0 0 0 Su r t x E l i m i n a t i o n ( - ) 17 . 0 0 0 72 2 0 F I T . c u r r e n t ( l i n e s 1 5 . 1 6 - 1 7 ) (1 8 ) 18 . 77 , 3 3 6 17 0 , 8 4 4 .1 7 , 6 3 5 14 7 , 9 9 5 .1 9 , 9 2 4 .1 4 8 0 -5 0 , 5 8 7 -7 0 , 6 5 9 Pa g e 7 o f 8 20 0 6 F O R M I IN P U T M A S T E R ' I I Fo r T h e Y e a r E n d e d : D e c e m b e r 3 1 , 2 0 0 6 CO M P A N Y N A M E : R u r a l T e l e p h o n e C o m p a n y Se p e r a t e d R e s u l t s o f I d a h o O p e r a t i o n s To t l Id a h o In t r a s t a Op e r a t i o n Op e r a t i o n s De s c r i p t i o n No t e Li n e Su b j e c t To In t e r s t a t e In t r a s t a t e No . No . Se p a r a t i o n s To l l To l l EA S Lo c a l ( O t h e r ) Se p a r a t i o n P a r a m e t e r s (1 9 ) Pl a n t ( 2 0 0 0 F r o z e n F a c t o r s ) SL U M i n u t e s o f U s e ( M O U ) 1. 5, 5 8 6 , 6 8 6 1, 8 5 1 , 4 0 7 1, 2 4 1 , 4 5 7 1, 4 8 3 , 7 1 2 1,0 1 0 , 1 1 0 SL U F a c t o r 2. 1. 2 2 6 0 6 0 0. 4 5 8 6 5 0. 3 4 9 8 5 0.2 2 6 0 6 0. 1 9 1 5 Ba s e S P F - J a n u a r y 1 3. 1. 0 0 0 0 0 0 0. 2 5 0. 2 5 0. 5 Ba s e S P F - D e c e m b e r 3 1 4. 1. 0 0 0 0 0 0 0. 2 5 0. 2 5 0. 5 Cu r r e n t C o m p o s i t e S P F (2 0 ) 5. 1.0 0 0 0 0 0 0. 2 5 0. 2 5 0. 5 19 9 6 W e i g h t e d D E M 6. 1.0 0 0 0 0 0 0. 8 5 0. 1 5 19 9 6 U n w e i g h t e d D E M 7. 1. 0 0 0 0 0 0 0.3 3 1 3 9 6 0. 2 2 2 2 1 7 0. 2 6 5 5 8 0. 1 8 0 8 0 7 Cu r r e n t C A T 3 D i a l E q u i p m e n t M i n u t e s (2 1 ) 8. 5, 5 8 6 , 6 8 6 1, 8 5 1 , 4 0 7 12 4 1 4 5 7 14 8 3 7 1 2 10 1 0 1 1 0 Cu r r n t C o m p o s i t e D E M F a c t o r 9. 1. 0 0 0 0 0 0 0. 8 5 0. 1 5 Ex c h a n g e T r u n k - J o i n t U s e M O U (2 2 ) 10 . 0 Ho s V R e m o t e M O U K i l o m e t e r s (2 3 ) 11 . 0 Eq u a l A c c e s s M O U (2 4 ) 12 . 0 Op e r a t o r S t a n d a r d W o r k S e c o n d s (2 5 ) 13 . 0 Ta n d e m S w i t c h i n g M O U (2 6 ) 14 . 0 IX C o n v e r s a t i o n M O U 15 . 2, 7 1 6 , 4 2 6 1, 6 2 6 , 0 7 0 1, 0 9 0 , 3 5 6 IX C o n v e r s a t i o n M i n u t e K i l o m e t e r s 16 . 0 0 0 Ot e r P a r a m e t r s Ac c s s L i n e s 17 . 78 8 Un s e p a r a t e d L o o p C o s t ~ 1 1 . 1 R O R (2 7 ) 18 . 58 2 , 5 0 7 -- Gr o s s B i l e d R e v e n u e s -M a r k e t i n g A l l o c a t i o n B a s i s (2 8 a ) 19 . 0 -P a y m e n t & C o l l e c t i o n - E n d U s e r (2 8 b ) 20 . 32 7 , 6 7 9 10 1 , 0 6 8 11 2 , 9 1 1 11 3 , 7 0 0 -P a y m e n t & C o l l e c t i o n - C X R (2 8 c ) 21 . 30 0 10 0 20 0 Se r v i c e O r d e r C o n t a c t s -S e r v i c e O r d e r P r o c . - E n d U s e r (2 9 a ) 22 . 8, 1 9 9 1, 7 1 4 35 1 6, 1 3 4 .S e r v i c e O r d e r P r o c . - C X R (2 9 b ) 23 . 0 . . Bi l i n g I n q u i r y C o n t c t -B i l i n g I n q u i r y - E n d U s e r (3 0 a ) 24 . 32 7 , 6 7 9 10 1 , 0 6 8 11 2 , 9 1 1 11 3 , 7 0 0 -B i l i n g I n q u i r y - C X R (3 0 b ) 25 . 30 0 10 0 20 0 SP + R C T o l l M e s s a g e s (3 1 ) 26 . 16 6 , 5 5 2 29 , 9 4 7 13 6 , 6 0 5 EA S / L o c a l M e s s a g e s ( M s g . P r o c . ) 27 . 0 'B I G 3 ' E x p n s e F a c t o r - M e s s a g e (3 2 ) 28 . 0. 9 4 0. 3 7 6 5 4 0. 2 1 0 8 1 9 0. 0 4 7 8 4 0.3 0 9 7 0 8 -P L S & S p e c i a l A c c s s 29 . 0. 0 6 0. 0 5 1 4 0 1 0. 0 0 4 7 4 5 Op e r a t o r S e r v i c e s E x p e n s e Fa c t o r 30 . 0 Ac c s s M i n u t e s o f U s e ( E n d O f f c e ) 31 . 2, 1 9 2 , 3 6 7 1, 4 0 7 , 9 1 0 78 4 , 4 5 7 Pa g e 8 o f 8 41 2 8 1 2 0 0 8 . Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 RE V E N U E R E Q U I R E M E N T S U M M A R Y S- 1 Stu d y Y e a r : 2 0 0 6 -- CO M P A N Y MS G PL MS G PL MS G PL MS G PL LI N E DE S C R I P T I O N SO U R C E (a ) (b ) (e ) (d ) (e ) (D (g ) h) m 1 N e t T e l e c o m P l a n t ,L n 4 6 4,3 5 6 , 3 2 9 1,2 6 1 , 5 1 1 10 6 , 9 7 6 97 , 8 2 2 99 4 , 3 7 4 47 , 1 2 5 20 9 , 1 2 8 1,6 3 9 , 3 9 3 2 R a t e B a s e A d j u s t m e n t # 1 Re c o r d s 3 R A T E BA S E Ln 1 - 2 4,3 5 6 , 3 2 9 1,2 6 1 , 5 1 1 10 6 , 9 7 6 97 , 8 2 2 99 4 , 3 7 4 47 , 1 2 5 20 9 , 1 2 8 1,6 3 9 , 3 9 3 4 R a t e o f R e t u r n Re c o r d s 11 . 1 4 7 1 % 11 . 2 5 0 0 % 11 . 2 5 0 0 % 11 . 2 5 0 0 % 11 . 2 5 0 0 % 11 . 1 0 0 0 % 11 . 1 0 0 0 % 11 . 1 0 0 0 % 11 . 1 0 0 0 % 11 . 1 0 0 0 % 11 . 1 0 0 0 % 11 . 1 0 0 0 % 5 R E T U R N O N R A T E B A S E Ln 3 " ' 4 48 5 , 6 0 5 14 1 , 9 2 0 12 , 0 3 5 10 , 8 5 8 11 0 , 3 7 6 5,2 3 1 23 , 2 1 3 18 1 , 9 7 3 6 R e t u r n A d j u s t m e n t # 1 Re c o r d s 7 N E T RE T U R N Ln 5 - 6 48 5 , 6 0 5 14 1 , 9 2 0 12 ' 0 3 5 1 :1 10 , 8 5 8 :1 11 0 , 3 7 6 5'2 3 1 1 23 ' 2 1 3 1 :1 18 1 , 9 7 3 8 F i x e d C h a r g e s ,L n 2 4 98 , 4 2 26 , 2 0 0 2, 3 3 6 2,2 2 4 22 , 5 9 7 1,0 8 5 4,7 3 2 37 , 2 7 8 9 A m o r t i z a t i o n o f E x c e s s o e f T a x e s ,L n 4 7 10 C a p i t a l i z e d P a y r o l l T a x e s ,L o S O 11 D e p r e c i a t i o n A d j u s t m e n t ,L n 5 3 12 F I T A l l o w a n c e s / D i s a l l o w a n c e s ,L n 2 2 13 In c A d j A l i c e o n 2 0 0 1 ,L n 5 9 + 6 0 14 In c A d j A l I c e o n B i g 3 E x p ,L n 6 1 + 6 2 15 T o t a l M i s e I n c A d j u s t m e n t ,L n 6 3 16 A F T E R T A X I N C O M E No t e 1 38 7 , 1 5 3 11 3 , 7 2 0 9,6 9 9 8,6 3 4 87 , 7 7 8 4, 1 4 6 18 , 4 8 1 14 4 , 6 9 5 17 S t a t e I n c o m e T a x Ln 5 2 21 , 6 8 6,3 7 0 54 3 48 4 4,9 1 7 23 2 1, 0 3 5 8,1 0 6 18 S t a t e i r e A m o r t i z a t i o n ,L n 4 5 19 N e t F e d e r a l In c o m e T a x Ln 4 3 13 3 , 3 5 4 39 , 1 7 1 3,3 4 1 2,9 7 4 30 , 2 3 5 1, 4 2 8 6,3 6 6 49 , 8 4 0 20 F e d e r a l I T C A m o r t i z a t i o n ,L n 4 4 21 O p e r a t i n g E x p e n s e s & T a x e s ,L n 1 7 1,8 8 4 , 1 9 5 67 9 , 4 8 5 10 1 , 3 2 9 36 , 1 1 6 37 3 , 2 9 0 8, 2 8 4 92 , 2 6 5 59 3 , 4 2 6 22 N o n o p e r a t i n g E x p e n s e s S- 1 0 , L n 1 7 + 1 8 23 U n c o l l e c t i b l e s ,L n 5 7 24 O t h e r A d j u s t m e n t s ( N e t R R ) Re c o r d s 25 N E T R E V E N U E R E Q U I R E M E N T Ln 7 + 1 7 . . 2 3 - 2 4 2,5 2 4 , 8 4 2 66 6 , 9 4 6 11 7 , 2 4 8 50 , 4 3 2 51 8 , 8 1 7 15 , 1 7 5 12 2 , 8 8 0 83 3 , 3 4 4 26 G r o s s R e c e i p t s T a x No t e 2 27 7 3 4 0 A l w F d s U s e d O u r C o n s t r ,L n 1 5 6,3 9 5 2, 9 4 0 32 4 16 6 1,6 8 8 64 40 5 2, 8 0 9 28 R E V E N U E R E Q U I R E M E N T Ln 2 5 + 2 6 - 2 7 2,5 1 6 , 4 4 7 86 4 , 0 0 6 11 6 , 9 2 4 50 , 2 6 6 51 7 , 1 2 9 15 , 1 1 1 12 2 , 4 7 5 83 0 , 5 3 5 29 D i s t r i b u t i o n o f L i n e 3 ( Ln 2 8 / 2 8 a 10 0 . 0 0 0 0 % 34 . 3 3 4 % 4.6 4 6 4 % 1.9 9 7 5 % 20 . 5 5 0 0 % 0. 6 0 0 5 % 4.8 6 7 0 % 33 . 0 0 4 3 % 1 IN C O M E T A X E S I 30 N e t R e t u r n Ln 7 48 5 , 6 0 5 14 1 , 9 2 0 12 ' 0 3 5 1 :1 10 , 8 5 8 :1 11 0 , 3 7 6 5, 2 3 1 1 23 ' 2 1 3 1 :1 18 1 , 9 7 3 31 F i x e d C h a r g e s Ln 8 98 , 4 5 2 28 , 2 0 0 2,3 3 6 2,2 2 4 22 , 5 9 7 1, 0 8 5 4,7 3 2 37 , 2 7 8 32 A m o r t i z a t i o n o f E x c e s s D e f e r r e d T a x e s Ln 9 33 C a p i t a l i z e d P a y r o l l T a x e s Ln 1 0 34 D e p r e c i a t i o n A d j u s t m e n t Ln 1 1 35 F I T A l l o w a n c e s / D i s a l l o w a n c e s Ln 1 2 36 In c A d j A l l o c o n 2 0 0 1 Ln 1 3 37 In c A d j A l l o e o n B i g 3 E x p Ln 1 4 38 F e d e r a l I T C A m o r t i z a t i o n ,L n 4 4 39 To t a l I n c o m e A d j u s t m e n t s Ln 3 1 + 3 5 . . 3 7 98 , 5 2 28 , 2 0 0 2,3 3 6 2,2 2 4 22 , 5 9 7 1, 0 8 5 4,7 3 2 37 , 2 7 8 40 F e d e r a l T a x a b l e I n c o m e Ln 3 0 - 3 9 G r o s s U p 52 0 , 5 0 7 15 2 , 8 9 1 13 , 0 4 0 11 , 6 0 8 11 8 , 0 1 3 5, 5 7 5 24 , 8 4 7 19 4 , 5 3 4 41 Fe d e r a l In c o m e T a x 25 . 6 2 0 0 % 13 3 , 3 5 4 39 , 1 7 1 3,3 4 1 2,9 7 4 30 , 2 3 5 1, 4 2 8 6,3 6 6 49 , 8 4 0 42 F e d e r a l S u r - T a x Al l o c a t i o n Re c o r d s 43 N e t F e d e r a l I n c o m e T a x Ln 4 1 - 4 2 - 3 8 13 3 , 3 5 4 39 , 1 7 1 3,3 4 1 2,9 7 4 30 , 2 3 5 1, 4 2 8 6,3 6 6 49 , 8 4 0 44 N e t Re t u m Ln 3 0 48 5 , 6 0 5 14 1 , 9 2 0 12 , 0 3 5 10 , 8 5 8 11 0 , 3 7 6 5,2 3 1 23 , 2 1 3 18 1 , 9 7 3 45 F i x e d C h a r g e s Ln 3 1 98 , 4 2 28 , 2 0 0 2,3 3 6 2,2 2 4 22 , 5 9 7 1,0 8 5 4,7 3 2 37 , 2 7 8 46 O t h e r S I T A d j u s t m e n t s Re c o r d s 47 F e d e r a l I n c o m e T a x Ln 4 1 13 3 , 3 5 4 39 , 1 7 1 3,3 4 1 2,9 7 4 30 , 2 3 5 1, 4 2 8 6,3 6 6 49 , 8 4 0 48 S t a t e T a x b l e I n c o m e Ln 4 4 - 4 7 G r o s s U p 54 2 , 1 9 5 15 9 , 2 6 1 13 , 5 8 3 12 , 0 9 1 12 2 , 9 3 0 5, 8 0 7 25 , 6 8 2 20 2 , 6 4 0 49 S t a t e I n c o m e T a x 4.0 0 0 0 % 21 , 6 8 8 6,3 7 0 54 3 48 4 4,9 1 7 23 2 1, 0 3 5 8,1 0 6 50 S t a t e S u r - T a x A l l o c a t i o n Re c o r d s 51 S t a t e I T C A m o r t i z a t i o n ,L n 4 5 52 N e t S t a t e I n c o m e T a x Ln 4 9 - 5 0 - 5 1 I 21 , 6 8 8 1 6,3 7 0 54 3 1 -I 46 4 -I 4,9 1 7 23 2 1 1, 0 3 5 1 -I 8,1 0 6 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 10 f 2 3 4/ 2 8 / 2 0 0 8 . Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 SE P A R A T E D T E L E C O M M U N I C A T I O N S P L A N T S U M M A R Y S-2 Stu d y Y e a r : 2 0 0 6 IN T E R S T A T E T O L L // . TO T A L In t e r L T A ln t r a L A T A CO M P A N Y MS G PL PL MS G PL LI N E DE S C R I P T I O N SO U R C E a) (b (0 ) (o j h 12 1 1 0 L a n d & S u p p o r t As s e t s ,L n 1 3 1,1 1 2 , 7 2 9 38 9 , 6 2 6 42 , 9 3 1 21 , 9 9 8 22 3 , 7 3 9 8,4 4 7 53 , 6 5 9 37 2 , 3 2 9 22 2 1 0 C O E - S w i t c h i n g ,L n 3 6 1,0 3 2 , 9 6 6 87 8 , 0 2 1 15 4 , 9 4 5 3 2 2 2 0 C O E - O p e r a t o r ,L n 2 3 42 2 3 0 C O E - T r a n s m i s s i o n ,L n 7 6 1,8 5 2 , 2 2 9 55 9 , 0 8 1 27 5 , 4 1 2 41 , 8 7 0 42 8 , 9 5 0 3,8 8 3 17 9 , 9 5 8 36 3 , 2 7 5 52 3 1 0 I n f o O r i g l T e r m E q u i p ,L n 1 1 62 4 1 0 C & W F ,L n 4 2 5, 0 2 9 , 4 5 1 1,3 3 4 , 2 3 9 29 , 9 4 8 11 4 , 5 9 7 1,1 6 2 , 4 6 5 56 , 3 9 8 20 1 , 7 1 1 2,1 3 0 , 0 9 3 7 To t a l C O E , l O T , C & W F Ln 2 . . 6 7, 9 1 4 , 6 4 7 2,7 7 1 , 3 4 1 30 5 , 3 6 0 15 6 , 4 6 7 1,5 9 1 , 4 1 5 60 , 0 8 1 38 1 , 6 6 9 2,6 4 8 , 3 1 3 8 Dis t r i b u t i o n o f L i n e 7 Ln 7 1 7 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 9 E q u a l A c c s s - I n v e s t m e n t ,L n 2 2 10 2 6 8 0 T a n g i b l e A s s e t s ,L n 3 1 30 , 0 3 0 10 , 5 1 5 1,1 5 9 59 4 6,0 3 8 22 8 1, 4 8 10 , 0 4 8 11 T E L E C O M P L T I N S V C - E X C L 2 6 9 0 Ln 1 + 7 + 9 + 1 0 9,0 5 7 , 4 0 5 3,1 7 1 , 4 8 2 34 9 , 4 5 0 17 9 , 0 5 8 1,8 2 1 , 1 9 2 68 , 7 5 6 43 6 , 7 7 7 3,0 3 0 , 6 9 0 12 D i s t r i b u t i o n o f L i n e 1 1 Ln 1 1 1 1 1 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 13 2 6 9 0 I n t a n g i b l e A s s e t s ,L n 3 5 14 2 0 0 1 T E L E C O M P L A N T I N S V C Ln 1 1 + 1 3 9,0 5 7 , 4 0 5 3,1 7 1 , 4 8 2 34 9 , 4 5 0 17 9 , 0 5 8 1,8 2 1 , 1 9 2 68 , 7 5 6 43 6 , 7 7 7 3,0 3 0 , 6 9 0 15 Dis t r i b u t i o n o f L i n e 1 4 Ln 1 4 / 1 4 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 16 2 1 1 0 L a n d A s s e t s ,L n 1 2 17 2 0 0 1 T P I S x l L a n d Ln 1 4 - 1 6 9,0 5 7 , 4 0 5 3, 1 7 , 4 8 2 34 9 , 4 5 0 17 9 , 0 8 1,8 2 1 , 1 9 2 68 , 7 5 6 43 6 , 7 7 7 3,0 3 0 , 6 9 0 18 Di s t r i b u t i o n o f L i n e 1 7 Ln 1 7 / 1 7 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 19 2 0 0 2 P r o p H i d F u t T e l e c o m U s e ,L n 6 39 1 , 4 5 3 13 7 , 0 6 9 15 , 1 0 3 7, 7 3 9 78 , 7 1 0 2, 9 7 2 18 , 8 7 7 13 0 , 9 8 4 20 2 0 0 3 P l a n t U n d e r C o n s t r u c t i o n ,L n 1 0 71 , 9 2 8 25 , 1 8 6 2, 7 7 5 1, 4 2 2 14 , 4 3 54 6 3, 4 6 9 24 , 0 6 8 21 2 0 0 5 T e l e c o m P l a n t A d j u s t m e n t ,L n 1 4 22 T O T A L T E L E C O M P L A N T Ln 1 4 + 1 9 . . 2 1 9,5 2 0 , 7 8 6 3,3 3 3 , 7 3 7 36 7 , 3 2 8 18 8 , 2 1 9 1,9 1 4 , 3 6 5 72 , 2 7 4 45 9 , 1 2 2 3, 1 8 5 , 7 4 2 23 1 2 2 0 M a t e r i a l s a n d S u p p l i e s ,L n 2 0 18 6 , 5 2 1 49 , 4 8 1 1, 1 1 1 4,2 5 0 43 , 1 1 1 2, 0 9 2 7,4 8 1 78 , 9 9 6 24 1 5 0 0 O t h e r J u r i s A s s e t s - N e t ,L n 1 4 25 3 1 0 0 A c c u m u l a t e d D e p r e c i a t i o n ,L n 2 8 5,0 7 4 , 6 9 1 2, 0 2 9 , 1 1 6 25 2 , 2 0 3 89 , 0 0 3 90 6 , 2 9 5 24 , 7 9 4 24 3 , 8 7 1 1, 5 2 9 , 4 0 9 26 E q u a l A c c e s s - A c c u m D e p r e c i a t i o n ,L n 2 4 27 3 2 0 0 A c c D e p - H l d f o r F u t U s e ,L n 3 0 28 3 4 0 0 A c c u m A m o r t - T a n g i b l e ,L n 3 1 . . 3 2 I 12 , 9 8 4 1 4, 5 4 6 50 1 I -I 25 7 -I 2, 6 1 1 99 1 62 6 4, 3 4 4 29 3 5 0 0 A c c u m A m o r t - I n t a n g i b l e ,L n 3 3 30 3 6 0 0 A c c u m A m o r t - O t h e r ,L n 3 4 31 4 1 0 0 N e t Cu r De f O p I n c Ta x e s ,L n 4 6 32 4 3 4 0 N o n c u r D e O p e r I n c T a x ,L n 6 6 I 41 3 , 3 3 1 I 14 4 , 7 2 9 15 , 9 4 7 1 -I 8,1 7 1 -I 83 , 1 0 9 3, 1 3 8 1 19 , 9 3 2 13 8 , 3 0 4 33 E q u a l A c c e s s - D e f e r r e d O p e r I n c T a x e s ,L n 2 5 34 4 3 6 0 O t h e r D e f e r r e d C r e d i t s - N e t ,L n 6 7 35 4 3 7 0 O t h e r J u r L i a b & D e f C r e d i t s - N e t ,L n 6 9 36 N E T T E L E C O M P L A N T A Ln 2 2 + 2 3 - 2 4 . . 3 5 I 4'2 0 6 ' 3 0 2 1 1,2 0 4 , 8 2 7 99 ' 7 8 8 1 ~ I 95 , 0 3 8 :1 96 5 , 4 6 1 46 , 3 3 5 1 20 2 , 1 7 4 1, 5 9 2 , 6 8 0 37 D i s t r i b u t i o n o f L i n e 3 6 Ln 3 6 / 3 6 a 10 0 . 0 0 0 0 0 / : 28 . 6 4 3 4 % 2. 3 7 2 3 ~ 2.2 5 9 4 % 22 . 9 5 2 7 % 1. 1 0 1 6 % 4.8 0 6 5 % 37 . 8 6 4 1 % 38 1 4 0 2 R u r a l T e l B a n k S t o c k B ,L n 1 6 39 C a s h W o r k i n g C a p i t a l C ,L n 2 1 15 7 , 0 1 0 59 , 1 3 0 7,4 5 7 2,9 2 2 -I 30 , 3 1 8 84 4 1 7,2 9 1 49 , 0 5 0 40 E q u a l A c c e s s - U n a m o r t i z e d E x e n s e s D ,L n 2 6 41 I n v e s t m e n t A l l o w / D i s a l l o w E ,L n 3 1 42 A c c u m D e p r / A m o r t A l l o w / D i s a l l o w F ,L n 7 2 43 4 0 4 0 C u s t o m e r D e p o s i t s G ,L n 3 7 I 6, 9 8 3 1 2,4 4 5 26 9 1 -I 13 8 -I 1,4 0 4 53 1 33 7 2, 3 3 7 44 4 3 1 0 O t h e r Lo n g - T e r m L i a b . H ,L n 5 7 45 O t h e r T e l e c o m P I A d j u s t I Re c o r d s 46 N E T T E L E C O M P L T & O T H R A T E B A S E I T E M S A+ B . . F + I . ( G + H ) i 4,3 5 6 , 3 2 9 1 1,2 6 1 , 5 1 1 10 6 , 9 7 6 1 :1 97 , 8 2 2 :1 99 4 , 3 7 4 47 , 1 2 5 1 20 9 , 1 2 8 1,6 3 9 , 3 9 3 47 D i s t r i b u t i o n o f L i n e 4 6 Ln 4 6 / 4 6 a 10 0 . 0 0 0 0 % 28 . 9 5 8 1 % 2.4 5 5 6 % 2.2 4 5 5 % 22 . 8 2 6 0 % 1. 0 8 1 8 % 4.8 0 0 5 % 37 . 6 3 2 4 % Pro p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3. 2 20 f 2 3 4/ 2 8 / 2 0 0 8 - Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 SE P A R A T E D E X P E N S E S U M M A R Y S-3 St u d y Y e a r : 2 0 0 6 TO T A L CO M P A N Y LI N E DE S C R I P T I O N SO U R C E a) 1 P i t S p e c E x p A e c t s 6 2 1 0 , 6 2 2 0 2 62 3 0 , 6 3 1 0 , 6 4 1 0 ,L n 3 0 58 6 , 4 1 7 24 0 , 7 6 3 36 , 2 4 5 10 , 3 3 4 10 5 , 3 6 4 2,9 3 9 31 , 6 6 7 15 9 , 1 0 4 3 P I N o n s p e A c c u n t 6 5 3 0 ,L n 1 9 10 0 , 8 9 3 35 , 3 2 8 3,8 3 1,9 9 5 20 , 2 8 7 76 6 4,8 6 5 33 , 7 6 0 4 C u s t O p e r A c e t s 6 6 1 0 , 6 6 2 0 ,L n 5 7 93 , 5 6 7 17 , 9 4 3 2,0 6 5 24 , 5 7 9 48 , 9 8 0 5 T O T A L B I G T H R E E E X P E N S E S Ln 2 . . 4 78 0 , 8 7 7 29 4 , 0 3 4 40 , 1 3 7 14 , 3 9 4 15 0 , 2 3 0 3,7 0 5 36 , 5 3 3 24 1 , 8 4 4 6 D i s t r i b u t i o n o f L i n e 5 Ln 5 / 5 a 10 0 . 0 0 0 0 % 37 . 6 5 4 4 % 5.1 4 0 1 % 1.8 4 3 3 % 19 . 2 3 8 6 % 0.4 7 4 5 % 4.6 7 8 4 % 30 . 9 7 0 8 % 7 P l a n t S p e c i f i c E x p e n s e s ,L n 3 1 69 3 , 4 3 1 27 8 , 2 3 5 40 , 3 7 4 12 , 4 5 0 12 6 , 8 8 2 3,7 5 2 36 , 8 2 8 19 4 , 9 1 2 8 P l a n t N o n s p e c i f i c E x p e n s e s ,L n 4 4 59 6 , 0 8 6 18 3 , 6 0 8 37 , 2 3 1 12 , 6 4 8 12 8 , 7 7 9 2,0 3 9 32 , 8 6 0 19 8 , 9 2 1 9 C u s t o m e r O p e r a t i o n s E x p e n s e s ,L n 5 7 93 , 5 6 7 17 , 9 4 3 2,0 6 5 24 , 5 7 9 48 , 9 8 0 10 C o r p o r a t e O p e r a t i o n s E x e n s e s ,L n 1 6 41 7 , 1 0 7 16 9 , 7 7 4 20 , 3 9 1 7,3 1 3 76 , 3 2 2 1,8 8 2 18 , 5 6 0 12 2 , 8 6 5 11 7 3 0 0 C o n t r i b u t i o n s ,L n 1 6 8,9 7 9 3, 6 5 5 43 9 15 7 1, 6 4 3 41 40 0 2,6 4 5 12 T O T A L O P E R A T I N G E X P E N S E S Ln 7 . . 1 1 1,8 0 9 , 1 7 0 65 3 , 2 1 5 98 , 4 3 5 34 , 6 3 3 35 8 , 2 0 4 7,7 1 4 88 , 6 4 7 56 8 , 3 2 2 13 O p e r a t i n g T a x e s ,L n 2 6 75 , 0 2 5 26 , 2 7 0 2,8 9 5 1,4 8 3 15 , 0 8 5 57 0 3,6 1 8 25 , 1 0 4 14 E q u a l A c c e s s E x p e n s e s ,L n 3 5 15 E x p e n s e A l l o w a n c e s / D i s a l l o w a n c e s ,L n 4 0 16 5 2 4 0 R e n t R e v e n u e s ,L n 4 3 17 T O T A L O P E R A T I N G E X P & T A X E S Ln 1 2 + 1 3 . . 1 5 - 1 6 1,8 8 4 , 1 9 5 67 9 , 4 8 5 10 1 , 3 2 9 36 , 1 1 6 37 3 , 2 9 0 8,2 8 4 92 , 2 6 5 59 3 , 4 2 6 18 D i s t r i b u t i o n o f L i n e 1 7 Ln 1 7 1 1 7 a 10 0 . 0 0 0 0 % 36 . 0 6 2 4 % 5.3 7 7 9 % 1.9 1 6 8 % 19 . 8 1 1 6 % 0.4 3 9 6 % 4. 8 9 6 8 % 31 . 4 9 4 9 % 19 T o t a l D e p r & A m o r t ,L n 4 3 48 8 , 3 2 6 14 2 , 5 6 4 33 , 2 7 0 10 , 6 1 9 10 8 , 1 3 6 1,2 6 0 27 , 9 0 9 16 4 , 5 6 8 20 F i x e d C h a r g e s ,L n 2 4 98 , 4 5 2 28 , 2 0 0 2,3 3 6 2, 2 2 4 22 , 5 9 7 1,0 8 5 4, 7 3 2 37 , 2 7 8 21 T o t a l O p e r a t i n g R e v e n u e ,L n 3 3 22 T o t a l O p e r a t i n g E x p e n s e & T a x e s Ln 1 7 1, 8 8 4 , 1 9 5 67 9 , 4 8 5 10 1 , 3 2 9 36 , 1 1 6 37 3 , 2 9 0 8,2 8 4 92 , 2 6 5 59 3 , 4 2 6 23 U n c o U e c t i b l e s ,L n 5 7 24 F i x e d C h a r g e s Ln 2 0 98 , 4 5 2 28 , 2 0 0 2,3 3 6 2, 2 2 4 22 , 5 9 7 1,0 8 5 4,7 3 2 37 , 2 7 8 25 I n c o m e A d j u s t m e n t s ,L n 6 3 26 N e t I n c o m e Ln 2 1 . . 2 5 (1 , 9 8 2 , 6 4 7 ) (7 0 7 , 6 8 5 ) (1 0 3 , 6 6 5 ) (3 8 , 3 4 1 ) (3 9 5 , 8 8 7 ) (9 , 3 6 8 ) (9 6 , 9 9 7 ) (6 3 0 , 7 0 4 ) ; 27 D i s t r i b u t i o n o f L i n e 2 6 Ln 2 6 / 2 6 a 10 0 . 0 0 0 0 % 35 . 6 9 3 9 % 5.2 2 8 6 % 1.9 3 3 8 % 19 . 9 6 7 6 % 0.4 7 2 5 % 4.8 9 2 3 % 31 . 8 1 1 2 % 28 T O T A L C A S H O P E R E X P E N S E S Ln 1 7 + 1 6 - 1 9 + 2 0 1, 4 9 4 , 3 2 1 56 5 , 1 2 1 70 , 3 9 5 27 , 7 2 2 28 7 , 7 5 1 8,1 0 8 69 , 0 8 8 46 6 , 1 3 6 29 D i s t r i b u t i o n o f L i n e 2 8 Ln 2 8 / 2 8 a 10 0 . 0 0 0 0 % 37 . 8 1 7 9 % 4. 7 1 0 8 % 1.8 5 5 2 % 19 . 2 5 6 3 % 0.5 4 2 6 % 4.6 2 3 4 % 31 . 1 9 3 8 % 1 IN C O M E T A X C A L C U L A T I O N 1 31 O t h e r O p e r a t i n g I n c o m e ,L n 3 2 32 A F U D C ,L n 1 5 1 8,3 9 5 1 2,9 4 0 32 4 1 -I 16 6 -I 1,6 8 8 64 1 40 5 2,8 0 9 33 O p e r a t i n g R e v e n u e ,L n 3 3 ~ L n 3 1 34 U n c o l l e c t i b l e R e v e n u e ,L n 5 7 34 I n c o m e E f f e c t J u r i s d i c t i o n a l D i f f e r e n c e ,L n 6 0 34 I R S I n c o m e A d j u s t m e n t ,L n 6 2 35 T O T A L R E V E N U E & O T H E R I N C O M E Ln 3 1 . . 3 4 8,3 9 5 2,9 4 0 32 4 16 6 1,6 8 8 64 40 5 2,8 0 9 36 C o n t r i b u t i o n s ,L n 1 6 8,9 7 9 3, 6 5 5 43 9 15 7 1,6 4 3 41 40 0 2,6 4 5 37 O p e r a t i n g E x e n s e s Ln 1 2 - L n 1 1 1, 8 0 0 , 1 9 1 64 9 , 5 6 0 97 , 9 9 6 34 , 4 7 6 35 6 , 5 6 1 7,6 7 4 88 , 2 4 8 56 5 , 6 7 7 38 O p e r a t i n g T a x e s ,L n 2 6 75 , 0 2 5 26 , 2 7 0 2,8 9 5 1,4 8 3 15 , 0 8 5 57 0 3,6 1 8 25 , 1 0 4 39 F i x e d C h a r g e s ,L n 2 4 98 , 4 5 2 28 , 2 0 0 2,3 3 6 2, 2 2 4 22 , 5 9 7 1,0 8 5 4, 7 3 2 37 , 2 7 8 40 T O T A L O P E R A T I N G E X P E N S E S Ln 3 6 . . 3 9 1, 9 8 2 , 6 4 7 70 7 , 6 8 5 10 3 , 6 6 5 38 , 3 4 1 39 5 , 8 8 7 9,3 6 8 96 , 9 9 7 63 0 , 7 0 4 41 S t a t e T a x b l e I n c o m e Ln 3 5 - L n 4 0 (1 , 9 7 4 , 2 5 2 ) (7 0 4 , 7 4 5 ) (1 0 3 , 3 4 1 ) (3 8 , 1 7 5 ) (3 9 4 , 1 9 9 ) (9 , 3 0 4 ) (9 6 , 5 9 2 ) (6 2 7 , 8 9 5 ) 42 S t a t e I n c o m e T a x 4.0 0 0 0 % (7 8 , 9 7 0 ) (2 8 , 1 9 0 ) (4 , 1 3 4 ) (1 , 5 2 7 ) (1 5 , 7 6 8 ) (3 7 2 ) (3 , 8 6 4 ) (2 5 , 1 1 6 ) 43 F e d e r a l T a x b l e I n c o m e Ln 3 5 - L n 4 0 (1 , 9 7 4 , 2 5 2 ) (7 0 4 , 7 4 5 ) (1 0 3 , 3 4 1 ) (3 8 , 1 7 5 ) (3 9 4 , 1 9 9 ) (9 , 3 0 4 ) (9 6 , 5 9 2 ) (6 2 7 , 8 9 5 ) 44 S t a t e I n c o m e T a x Ln 4 2 (7 8 , 9 7 0 ) (2 8 , 1 9 0 ) (4 , 1 3 4 ) (1 , 5 2 7 ) (1 5 , 7 6 8 ) (3 7 2 ) (3 , 8 6 4 ) (2 5 , 1 1 6 ) 45 N e t F e d e r a l T a x b l e I n c o m e Ln 4 3 ~ L n 4 4 (1 , 8 9 5 , 2 8 2 ) (6 7 6 , 5 5 6 ) (9 9 , 2 0 7 ) (3 6 , 6 4 8 ) (3 7 8 , 3 1 ) (8 , 9 3 2 ) (9 2 , 7 2 9 ) (6 0 2 , 7 7 9 ) 46 F e d e r a l In c o m e T a x 25 . 6 2 0 0 % (4 8 5 , 5 7 1 ) (1 7 3 , 3 3 4 ) (2 5 , 4 1 7 ) (9 , 3 8 9 ) (9 6 , 9 5 4 ) (2 , 2 8 8 ) (2 3 , 7 5 7 ) (1 5 4 , 4 3 2 ) 47 A m o r t i z a t i o n o f I n v e s t m e n t T a x C r e d i t ,L n 4 4 48 F e d e r a l I n c o m e T a x Ln 4 6 - L n 4 7 (4 8 5 , 5 7 1 ) (1 7 3 , 3 3 4 ) (2 5 , 4 1 7 ) (9 , 3 8 9 ) (9 6 , 9 5 4 ) (2 , 2 8 8 ) (2 3 , 7 5 7 ) (1 5 4 , 4 3 2 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 30 f 2 3 Ru r a l T e l e p h o n e C o m p a n y ~ I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 LI N E D E S C R I P T I O N SE P A R A T I O N S F A C T O R S 1 C a r r i e r C l a s s i f i c a t i o n 2 B i g T h r e e E x p e n s e s D i s t r 3 T o t a l C O E , l O T , C & W F D i s l r LA N D & S U P P O R T A S S E T S S E P A R A T I O N 4 2 1 1 0 L a n d & S u p p o r t A s s e t s 5 S u p p o r t A s s e t s . J o i n t x l G S F . B & C 6 G e n e r a l S u p p o r t F a c i l i t e s . B & C 7 D i r e c t A s s i g n m e n t 8 T o t a l S u p p o r t A s s e t s 9 D i s t r i b u t i o n o f U n e 8 10 L a n d 11 D i r e c t A s s i g n m e n t 12 T o t a l L a n d 13 T O T A L L A N D & S U P P O R T A S S E T S 14 D i s t r i b u t i o n o f U n e 1 3 No t e 1: If C a r r i e r C l a s s i f i c a t o n = A , t h e n If C a r r i e r C l a s s i f i c a t o n = B , t h e n Pr o p r i e t a r y I n f o r m a t i o n 4/ 2 8 1 2 0 0 8 . . GE N E R A L S U P P O R T F A C I L I T I E S S-4 De f i n e d (k ) (I) 19 . 2 3 8 6 % 0.4 7 4 5 % 4. 6 7 8 4 % 30 . 9 7 0 8 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 22 3 , 7 3 9 8,4 4 7 53 , 6 5 9 37 2 , 3 2 9 22 3 , 7 3 9 8,4 4 7 53 , 6 5 9 37 2 , 3 2 9 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 22 3 , 7 3 9 8, 4 7 53 , 6 5 9 37 2 , 3 2 9 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % TO T A L In t e r L A T A In t r a L A T A CO M P A N Y MS G PL MS G SO U R C E fa ) Ib ) Ie ) Id ) Re c o r d s B I ,L n G 10 0 . 0 0 0 0 % 37 . 6 5 4 4 % 5.1 4 0 1 % ,L n 8 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % No t e 1 1,1 1 2 , 7 2 9 38 9 , 6 2 6 42 , 9 3 1 No t e 1 Di r e c t Ln 5 . . 7 1 1,1 1 2 , 7 2 9 1 38 9 , 6 2 6 42 , 9 3 1 Ln 8 / 8 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % No t e 1 Di r e c t Ln 1 0 . . 1 1 Ln 8 + 1 2 38 9 , 6 2 6 42 , 9 3 1 Ln 1 3 / 1 3 a 35 . 0 1 5 4 % 3. 8 5 8 2 % Ln 5 a . 2 , L n 6 a " ' 2 , L n 1 0 a " ' 2 Ln 5 a . 3 , L n 6 a . 3 , L n 1 0 a . 3 Mo s s A d a m s , L L P Ve r s i o n 3.2 1.8 4 3 3 % 1.9 7 6 9 % 21 , 9 9 8 21 , 9 9 8 1.9 7 6 9 % 21 , 9 9 8 1. 9 7 6 9 % 40 f 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 LI N E D E S C R I P T I O N SE P A R A T I O N S F A C T O R S 1 W S W S P e t - S w i t c h b o a r d s 2 W S W S P e t - D i r e c t o r y A s s i s t a n c e 3 S u b U n e M O U P c t 4 S O B T o l l M O U P c t 5 W S W S P c t - T S P S O p e r P o s i t i o n 6 R e a l P r o c e s s o r T i m e P c t - R T A 7 R e a l P r o c e s s o r T i m e P c t - T S P S 8 R E L M O U ' s - T a n d e m S w i t c h i n g 9 T r a n s M e a s u r e d O E M P e t CO E C A T E G O R I E S 1 - 3 S E P A R A T I O N 10 2 2 2 0 O p e r a t o r S y s t e m s 11 C a t 1 - 0 p e r a t o r S y s t e m s 12 L o c , T o l I , D S A , D S B , a n d 13 T r a f f i c S w i t c h b o a r d s 14 A u x - D i r e c t A s s i s t 15 A u x - I n t e r c e p t 16 J t E x c h & T o l l S O B 17 T S P S - O p e r P o s i t i o n 18 T S P S - R T A 19 T S P S - O t h e r 20 D i r e c t A s s i g n m e n t 21 T o t a l C a t 1 22 D i s t r i b u t i o n o f U n e 2 1 23 T O T A L C O E - O P E R A T O R 24 D i s t r i b u t i o n o f L i n e 2 3 25 2 2 1 0 C e n t r a l O f f i c e S w i t c h i n g 26 C a t 2 - T a n d e m S w i t c h i n g 27 D i r e c t A s s i g n m e n t 28 T o t a l C a t 2 29 D i s t r i b u t i o n o f L i n e 2 8 30 31 C a t 3 - L o c a l S w i t c h i n g - T S 32 C a t 3 - L o c a l S w i t c h i n g - N T S 33 D i r e c t A s s i g n m e n t 34 T o t a l C a t 3 35 D i s t r i b u t i o n o f L i n e 3 4 36 T O T A L C O E - S W I T C H I N G 37 D i s t r i b u t i o n o f L i n e 3 6 Pr o p r i e t a r y I n f o r m a t i o n SO U R C E Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c r d s Re c o r d s Ln 1 3 a * 1 Ln 1 4 a * 2 Ln 1 5 a * 3 Ln 1 6 a * 4 Ln 1 7 a * 5 Ln 1 8 a * 6 Ln 1 9 a * 7 Dir e c t Ln 1 3 . . 2 0 Ln 2 1 / 2 1 a Ln 2 1 Ln 2 3 1 2 3 a Ln 2 6 a * 8 Di r e e t Ln 2 6 . . 2 7 Ln 2 8 / 2 8 a Ln 3 1 a * 9 Ln 3 2 a * 9 Di r e c t Ln 3 L 3 3 Ln 3 4 / 3 4 a Ln 2 8 + 3 4 Ln 3 6 / 3 6 a 4/2 8 / 2 0 0 8 CE N T R A L O F F I C E E Q U I P M E N T S- 5 1o f 3 TO T A L CO M P A N Y (a ) 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 1,0 3 2 , 9 6 6 ., , ~ i i i 15 4 , 9 4 5 - - 1,0 3 2 , 9 6 6 87 8 , 0 2 1 - - - - - 15 4 , 9 4 5 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % - - - - - 15 . 0 0 0 0 % 1,0 3 2 , 9 6 6 87 8 , 0 2 1 - - - - - 15 4 , 9 4 5 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % - - - - - 15 . 0 0 0 0 % Mo s s A d a m s , L L P Ve f S i o n 3 . 2 50 f 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 St u d y Y e a r : 2 0 0 6 SE P A I T I O l ' S F A C T O R S 38 W B L i n e 39 E x Tr k W B 40 R E L M O U ' s ~ E x c h a n g e T r u n k 41 G r o s s A l l o c a t o r ( T r a n s S P F ) 42 C O E C a t 4 . 2 1 - F u m t o O t h e r s P c t 43 I n t e r e x c h a n g e T r k W B CO E C A T E G O R Y 4 S E P A R A T I O N 44 2 2 3 0 C e n t r a l O f f c e - T r a n s m i s s i o n 45 C a t 4 . 1 - E x c h a n g e C i r c u i t 46 4 . 1 1 W i d e b a n d - U n e 47 D i r e c t A s s i g n m e n t 48 4 . 1 2 E x c h T r u n k - E A S 49 E x T r k x l B - B a s i c 50 E x T r k x l B - B a s i c D A 51 E x T r k W B 52 E x c h T r k w e - D i r e c t A s s i g n m e n t 53 4 . 1 3 Ex Li n e x l B 54 J o i n t M S G 55 P L & L o c a l 56 D i r e c t A s s i g n m e n t - B a s i c J S p e c i a l 57 C a t 4 . 2 - l n t e r e c h a n g e 58 4 . 2 1 F u m t o O t h e r s 59 4 . 2 2 W i d e b a n d 60 J o i n t M S G 61 P L 62 D i r e c t A s s i g n m e n t LI N E D E S C R I P T I O N AS S I G N M E N T O F C a E C A T 4 - . 1 3 63 c a E C a t 4 . 1 3 W o r k i n g L o o p s 64 C a E C a t 4 . 1 3 A s s i i : n e d I n v e s t No t e 1: Co s t p e r l o o p = Pr o p r i e t a r y I n f o r m a t i o n Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Ln 4 6 a * 3 8 Dir e c t Dir e c t Ln 4 9 a * 4 0 Dir e c t Ln 5 1 a * 3 9 Dir e c t Ln 6 4 b * 4 1 Ln 6 4 c . . i Dir e c t Ln 5 8 a * 4 2 Ln 6 0 a * 4 3 Dir e c t Di r e c t Re c o r d s No t e 1 4/ 2 8 / 2 0 0 8 CE N T R A O F F I C E E Q U I P M E N T TO T A L CO M P A N Y Ji 10 0 . 0 0 0 0 % 27 3 , 8 0 4 17 9 , 9 5 8 72 6 , 5 5 0 18 1 , 6 3 7 16 , 1 5 1 36 3 , 2 7 5 SO U R C E 75 7 72 6 , 5 5 0 75 7 72 6 , 5 5 0 96 0 . 4 0 9 3 Mo s s A d a m s , L L P Ve r s o n 3.2 60 1 2 3 4/2 8 / 2 0 0 8 Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 St u d y Y e a r : 2 0 0 6 SE P A R A T I O N S F A C T O R S 65 C o n v e r s a t i o n M i n u t e s P e t Re c o r d s 66 H o s t / R e m o t e M O U M i l e s P e t Re c o r d s CO E C A T E G O R Y 4 S E P A R T I O N ( C o n t ) 1 67 4.2 3 A l l O t h e r 68 Jo i n l M S G Ln 8 2 " S 4 i 66 6 , 6 2 6 1 37 7 , 4 4 4 25 , 7 1 8 26 3 , 4 6 4 69 PL , T W & L o c a l Ln 8 2 c . . i 70 Dir e c t A s s i g n m e n t - N o n a c c s s Dir e c t 71 Ca t 4 . 3 - H o s t l R e m o t e M S G 72 Jo i n t ( x l A T S ) Ln 7 2 a " 6 6 73 WA T S Dir e c t 74 Di r e c t A s s i g n m e n t Dir e c t 75 To t a l C a t 4 Ln 4 6 . . 6 2 + 6 7 . . 7 4 1, 8 5 2 , 2 2 9 55 9 , 0 8 1 27 5 , 4 1 2 41 , 8 7 0 42 8 , 9 5 0 3, 6 8 3 17 9 , 9 5 8 36 3 , 2 7 5 76 T O T A L C O E - T R A N S M I S S I O N Ln 7 5 1,8 5 2 , 2 2 9 55 9 , 0 8 1 27 5 , 4 1 2 41 , 8 7 0 42 8 , 9 5 0 3, 6 8 3 17 9 , 9 5 8 36 3 , 2 7 5 77 D i s t r i b u t i o n o f L i n e 7 6 Ln 7 6 / 7 6 a 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2.2 6 0 5 % 23 . 1 5 8 6 % 0. 1 9 8 9 % 9.7 1 5 8 % 19 . 6 1 2 8 % 78 T O T A L C E N T R A O F F I C E E Q U I P Ln 2 3 + 3 6 + 7 6 2,8 8 5 , 1 9 6 1,4 3 7 , 1 0 2 27 5 , 4 1 2 41 , 8 7 0 42 8 , 9 5 0 3, 6 8 3 17 9 , 9 5 8 51 8 , 2 2 0 79 D i s t r i b u t i o n o f L i n e 7 8 Ln 7 8 1 7 8 a 10 0 . 0 0 0 0 % 49 . 8 0 9 5 % 9.5 4 5 7 % 1.4 5 1 2 % 14 . 8 6 7 3 % 0.1 2 7 7 % 6.2 3 7 3 % 17 . 9 6 1 3 % CE N T R A L O F F I C E E Q U I P M E N T Re c o r d s 10 8 10 8 66 6 , 6 2 6 66 6 , 6 2 6 LI N E D E S C R I P T I O N AS S I G N M E N T O F C O E C A T 4 . 2 3 80 C O E C a t 4 . 2 3 T e r m s - -J o i n t M e s s a g e T o t a l T e r m i n a t i o n s 81 C O E C a t 4 . 2 3 . T e r m s 82 . J o i n t M e s s a Q e T o t a l A l l o c a t e d I n v e s t m e n t SO U R C E No t e 1 No t e 1 No t e 1: Co s t p e r t e r m i n a t i o n = 6,1 7 2 . 4 6 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s t o n 3 . 2 70 f 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 LI N E D E S C R I P T I O N SE P A R A T I O N S F A C T O R S 1 G r o s s A l l o c a t o r ( T r a n s S P F ) 2 R E L M O U ' s - C o i n le s s P u b T e l lO T E Q U I P M E N T S E P A R A T I O N 32 3 1 0 I n f o O r i g l e r m E q u i p 4 C a t 1 . 0 t h e r l O T 5 C o i n l s P u b T e l E q 6 D i r e c t A s s i g n m e n t 7 T o t a l C a t e g o r y 1 8 D i s t r i b u t i o n o f L i n e 7 9 C a t 2 - C u s t P r e m E q u i p 10 D i s t r i b u t i o n o f L i n e 9 11 T O T A L I N F O O R I G I T E R M E Q U I P 12 D i s t r i b u t i o n o f L i n e 1 1 Pr o p r i e t a r y I n f o r m a t i o n Re c o r d s Re c o r d s Ln 4 a " 1 Ln 5 a " 2 Di r e Ln 4 . . 6 Ln 7 1 7 a Di r e c t Ln 9 / 9 a Ln 7 + 9 Ln 1 1 1 1 1 a IN F O R M A T I O N O R I G I N I T E R M E Q U I P M E N T SO U R C E TO T A L CO M P A N Y a) 10 0 . 0 0 0 0 % Mo s s A d a m s , L L P Ve r s i o n 3. 2 4/ 2 8 / 2 0 0 8 S- 6 80 f 2 3 Ru r a l T e l e p h o n e C o m p a n y ~ I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 SE P A R A T I O N S F A C T O R S 1 G r o s s A l l o c a t o r P c t ( T r a n s S P F ) 2 R E L M O U ' s ~ E x c h a n g e T r u n k 3 W B U n e 4 M O U P c t ~ E x T r k W B C& W F C A T 1 - 2 S E P A R T I O N 52 4 1 0 C a b l e & W i r e F a c i l i t i e s 6 C a t 1 ~ E x c h L i n e x l B 7 1 . 1 In t r a P L & W A T S 8 1 . 2 In t e r PL & WA T S 9 1 . 3 J o i n t l y U s e d 10 D i r e c t A s s i g n m e n t 11 T o t a l C a t e g o r y 1 Re c o r d s Re c o r d s Re c o r d s Re c r d s Ln 2 2 e . . l Ln 2 2 c . . d Ln 2 2 b * 1 Di r e c t Ln 7 . . 1 0 12 C a t 2 - W B & E x c h T r u n k 13 E x T r k . j o i n t m e s s a g e 14 E x T r k . E A S 15 E x Li n e WB 16 W B U n e 17 W B T r u n k 18 W B T r u n k D A 19 T o t a l C a t e g o r y 2 Ln 1 3 a * 2 Dir e c Ln 1 5 a * 3 Dir e c t Ln 1 7 a * 4 Dir e c t LI N E D E S C R I P T I O N AS S I G N M E N T O F C & W F C A T 1 20 C & W F C a t 1 W o r k i n g L o o p s 21 D i s t r i b u t i o n o f U n e 2 1 22 C a t 1 - E x U n e x f B Re c o r d s Ln 2 0 / 2 0 a Ln 2 2 a * 2 1 No t e 1: Co s t p e r l o o p = Pr o p r i e t a r y I n f o r m a t i o n CA B L E A N D W I R E F A C I L I T I E S SO U R C E 41 2 8 / 2 0 0 8 . EA S ü) De f i n e d (k (I) 50 . 0 0 0 0 % 2,1 3 0 , 0 9 3 2,1 3 0 , 0 9 3 20 1 , 7 1 1 11 , 2 0 9 20 1 , 7 1 1 EA S SO U R C E (9 ) Us e r De f i n e d (h ) 75 7 10 0 . 0 0 0 0 % 4, 2 6 0 , 1 8 7 5,6 3 1 . 4 4 2 8 Mo s s A d a m s , L L P Ve r s i o n 3.2 Ot h e r (i) 90 f 2 3 41 2 8 1 2 0 0 8 . . Ru r a l T e l e p h o n e C o m p a n y . I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 SE P A R A T I O N S F A C T O R S 23 I n t e r e x c h a n g e T r k w e Re c o r d s 24 C M M P c t . I X x l B Re c o r d s I 10 0 . 0 0 0 0 % 25 C & W F T W C o n n e c t M i n M i l e s P c t - I T Re c o r d s 10 0 . 0 0 0 0 % 26 C & W F T W C o n n e c t M i n M i l e s P c t - R m t Re c o r d s 10 0 . 0 0 0 0 % 27 H o s t / R e m o t e M O U M i l e s P c t Re c o r d s C& W F C A T 3 - 4 S E P A R A T I O N 28 Ca t 3 - l n t e r e x c h a n g e C & W F 29 we P L . D i r e c t A s s i g n m e n t Dir e c t I 52 , 7 2 1 30 we . J o i n t M e s s a g e Ln 3 0 a * 2 3 31 Jo i n t M S G x l B Ln 4 8 b * 2 4 48 1 , 2 0 8 32 PL , T W & L o c a l x J B Ln 4 9 c . . i 33 Jo i n t T W - I T Ln 4 9 j * 2 5 34 Jo i n t T W - R m t Ln 4 9 k * 2 6 35 Di r e c t A s s i g n m e n t - N o n a c c e s s Dir e c t 36 To t a l C a t e g o r y 3 Ln 2 8 . . 3 5 1 53 3 , 9 2 8 1 26 9 , 1 9 2 7,5 3 1 1 -I 19 , 8 9 3 -I 19 2 , 1 2 2 45 , 1 9 0 37 Ca t 4 - H o s t / R e m o t e C & W F 38 Jo i n t ( x l A T S ) Ln 3 8 a * 2 7 39 WA T S Dir e c t 40 Di r e c t A s s i g n m e n t Di r e c t 41 To t a l C a t e g o r y 4 Ln 3 8 . . 4 0 42 T O T A L C A B L E & W I R E F A C I L I T I E S Ln 1 1 + 1 9 + 3 6 + 4 1 1 5,0 2 9 , 4 5 1 1 1, 3 3 4 , 2 3 9 29 , 9 4 8 1 :1 11 4 , 5 9 7 :1 1,1 6 2 , 4 6 5 56 , 3 9 8 1 20 1 , 7 1 1 2,1 3 0 , 0 9 3 43 D i s t r i b u t i o n o f L i n e 4 2 Ln 4 2 1 4 2 a 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0.5 9 5 5 % 2.2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4.0 1 0 6 % 42 . 3 5 2 4 % CA B L E A N D W I R E F A C I L I T I E S IN T E R S T A T E T O L L IN T E R S T A T E T O L L IN T R A S T A T E T O L L TO T A L Jo i n t M S G In t e r In t r a In t e r In t r EA S Us e r Oth e r Jt MS G TW CO M P A N Y Ex c l T W X LA T A LA T A LA T A LA T A De f i n e d In t e r t o l l Re m o t e LI N E DE S C R I P T I O N SO U R C E la l Ib l le l Id l la l 1ft lo l Ih l (j (j Ik l AS S I G N M E N T O F C & W F C A T 3 44 E q u l v I X C i r e M i l e s - M S G Re c o r d s 1,2 8 5 1, 2 8 5 45 -P L , T W & L o c a l Re c o r d s 46 D i s t r i b u t i o n o f L i n e 4 4 Ln 4 4 1 4 4 a 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 47 D i s t r i b u t i o n o f L i n e 4 5 Ln 4 5 1 4 4 a 48 C a t 3 - A I I O t h e r x J B - M S G Ln 4 8 a * 4 6 48 1 , 2 0 8 48 1 , 2 0 8 49 -P L , T W X & L o c a l Ln 4 8 a * 4 7 No t e 1: Co s t p e r c i r c u i t m i l e = 37 4 . 3 7 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 10 o f 23 4/2 8 1 2 0 0 8 I S Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 AM O R T I Z A B L E A S S E T S S-8 St u d y Y e a r : 2 0 0 6 -- CO M P A N Y ~~ ; ' PL MS G PL MS G PL I MS G PL LI N E DE S C R I P T I O N SO U R C E fa ) Ie ) fd ) Ie ) (f (g ) SE P A R A T I O N S F A C T O R S 1 L a n d & S u p p o r t A s s e t s D i s t r ,L n 1 4 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 2 2 2 1 0 C O E - S w i t c h D i s t r ,L n 3 7 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % 15 . 0 0 0 0 % 3 2 2 2 0 C O E - O p e r a t o r S y s t e m s D i s t r ,L n 2 4 4 2 2 3 0 C a E - T r a n s m i s s i o n D i s t r ,L n 7 7 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2.2 6 0 5 % 23 . 1 5 8 6 % 0.1 9 8 9 % 9.7 1 5 8 % 19 . 6 1 2 8 % 52 3 1 0 l O T D i s t r ,L n 1 2 62 4 1 0 C & W F D i s t r ,L n 4 3 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0.5 9 5 5 % 2.2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4. 0 1 0 6 % 42 . 3 5 2 4 % 72 0 0 1 T P I S ,L n 8 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 6 0 9 % 8 2 0 0 1 T P I S i n c l 2 6 8 0 S- 2 , L n 1 1 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % TA N G I B L E A S S E T S - C A P I T A L L E A S E S S E P I 9 2 6 8 0 T a n g i b l e A s s e t s - C a p i t a l L e a s e s 10 21 1 0 L a n d & S u p t A s s e t s Ln 1 0 a " 1 11 22 1 0 C O E - S w i t c h i n g Ln 1 1 a " 2 12 22 2 0 C a E - O p e r a t o r Ln 1 2 a " 3 13 22 3 0 C a E - T r a n s m i s s i o n Ln 1 3 a " 4 14 23 1 0 l O T Ln 1 4 a " 5 15 24 1 0 C & W F Ln 1 5 a " 6 16 No t c l a s s i f i e d b y ac c o u n t Ln 1 6 a * 7 I 30 , 0 3 0 I 10 , 5 1 5 1'1 5 9 1 ~ I 59 4 ~ I 6, 0 8 22 8 1 1, 4 8 10 , 0 4 8 17 Di r e c t A s s i g n m e n t Dir e c t 18 T O T A L C A P I T A L L E A S E S Ln 1 0 . . 1 7 30 , 0 3 0 10 , 5 1 5 1, 1 5 9 59 4 6, 0 3 8 22 8 1, 4 8 10 , 0 4 8 19 D i s t r i b u t i o n o f L i n e 1 8 Ln 1 8 / 1 8 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % I TA N G I B L E A S S E T S - L E A S E H L D I M P R O V E S E P I 20 2 6 8 0 T a n g i b l e A s s e t s - L e a s e h l d I m p r o v e 21 21 1 0 L a n d & S u p t A s s e t s Ln 2 1 a * 1 22 22 1 0 C a E - S w i t c h i n g Ln 2 2 a * 2 23 22 2 0 C a E - O p e r a t o r Ln 2 3 a " 3 24 22 3 0 C O E - T r a n s m i s s i o n Ln 2 4 a " 4 25 23 1 0 l O T Ln 2 5 a " 5 26 24 1 0 C & W F Ln 2 6 a * 6 27 No t c l a s s i f i e d b y ac c u n t Ln 2 7 a * 7 28 Di r e c t A s s i g n m e n t Di r e c t 29 T O T A L L E A S E H O L D I M P R O V E M E N T S Ln 2 1 . . 2 8 30 D i s t r i b u t i o n o f L i n e 2 9 Ln 2 9 / 2 9 a 31 T O T A L T A N G I B L E A S S E T S Ln 1 8 + 2 9 I 30 , 0 3 0 1 10 , 5 1 5 1,1 5 9 1 :1 59 4 :1 6,0 3 8 22 8 1 1,4 4 8 10 , 0 4 8 32 D i s t r i b u t i o n o f L i n e ' 3 1 Ln 3 1 / 3 1 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % I IN T A N G I B L E A S S E T S S E P A R A T I O N I 33 2 6 9 0 I n t a n g i b l e A s s e t s Ln 3 3 a " 8 34 Di r e c t A s s i g n m e n t Di r e c t 35 T O T A L I N T A N G I B L E A S S E T S Ln 3 3 . . 3 4 36 D i s t r i b u t i o n o f L i n e 3 5 Ln 3 5 / 3 5 a Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 11 0 f 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 LI N E D E S C R I P T I O N SE P A R A T I O N S F A C T O R S 1 2 0 0 1 T P I S D i s t r 22 4 1 0 C & W F D i s l r 3 E q u a l A c c s s M O U P c t _ _ _ OT H E R AC C O U N T S S E P A R T I O N 4 2 0 0 2 P r o p H I d F u t T e l e c o m U s e 5 D i r e c t A s s i g n m e n t 6 T O T A L P R O P H L D F U T T E L E C O M U S E 7 D i s t r i b u t i o n o f L i n e 6 8 2 0 0 3 P i t U n d e r C o n s t r 9 D i r e c t A s s i g n m e n t 10 T O T A L P L T U N D E R C O N S T R 11 D i s t r i b u t i o n o f L i n e 1 0 4/2 8 / 2 0 0 8 . . . S-9 De f i n e d k 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4. 0 1 0 6 % 42 . 3 5 2 4 % 78 , 7 1 0 2,9 7 2 18 , 8 7 7 13 0 , 9 8 4 78 , 7 1 0 2, 9 7 2 18 , 8 7 7 13 0 , 9 8 4 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 14 , 4 3 54 6 3,4 6 9 24 , 0 6 8 14 , 4 6 3 54 6 3,4 6 9 24 , 0 6 8 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % TE L E C O M M U N I C A T I O N S P L A N T - O T H E R A C C O U N T S TO T A L CO M P A N Y SO U R C E (a ,L n 1 5 10 0 . 0 0 0 0 % I 35 . 0 1 5 4 % 3.8 5 8 2 % ,L n 4 3 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0.5 9 5 5 % Re c o r d s Ln 4 a * 1 39 1 , 4 5 3 13 7 , 0 6 9 15 , 1 0 3 Dir e c t Ln 4 . . 5 39 1 , 4 5 3 13 7 , 0 6 9 15 , 1 0 3 Ln 6 / 6 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % Ln 8 a " 1 71 , 9 2 8 25 , 1 8 6 2,7 7 5 Dir e c t Ln 8 . . 9 71 , 9 2 8 25 , 1 8 6 2,7 7 5 Ln 1 0 / 1 0 a 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 12 2 0 0 5 T e l e c o m P l a n t Ad j u s t L n 1 2 a * 1 13 D i r e c t A s s i g n m e n t D i r e c t 14 T O T A L T E L E C O M P L A N T A D J U S T L n 1 2 . . 1 3 15 D i s t r i b u t i o n o f L i n e 1 4 L n 1 4 / 1 4 a I M I S C A C C O U N T S S E P A R A T I O N I 16 1 4 0 2 C l a s s B R T B S t o c k L n 1 6 a " 1 17 1 4 3 8 D e f e r r e d C h a r g e s 18 1 2 2 0 M a t e r i a l & S u p l x l C P E 19 D i r e c t A s s i g n m e n t 20 T O T A L M A T E R I A L S A N D S U P P L I E S 21 C a s h W o r k i n g C a p i t a l EQ U A L A C C E S S I N V E S T M E N T S E P A R A T I O N 22 E q u a l A c c e s s G r o s s I n v e s t m e n t 23 E q u a l A c s s G r o s s I n v e s t m e n t . D A 24 A c c u m D e p r e c i a t i o n 25 D e f e r r e d O p e r I n c T a x e s 26 U n a m o r t i z e d E x p e n s e s 27 T O T A L N E T E Q U A L A C C E S S I N V E S T M E N T ~ D i s t r i b u t i o n o f L i n e 2 7 es SE P A R T I O N Pr o p r i e t a r y I n f o r m a t i o n Ln 1 7 a " 1 Ln 1 8 a * 2 Di r e c t Ln 1 8 . . 1 9 CW C Ln 2 2 a * 3 Dir e c t Ln 2 4 a * 3 Ln 2 5 a * 3 Ln 2 6 a * 3 Ln 2 2 - 2 4 - 2 5 + 2 6 Ln 2 7 / 2 7 a Ln 2 9 a * 1 Dir e c t Ln 2 9 . . 3 0 PL I MS G.l 1.9 7 6 9 % 2. 2 7 8 5 % - 7, 7 3 9 7, 7 3 9 1. 9 7 6 9 % 1, 4 2 2 1,4 2 2 1. 9 7 6 9 % 18 6 , 5 2 1 49 , 4 8 1 1,1 1 1 18 6 , 5 2 1 49 , 4 8 1 1,1 1 1 15 7 , 0 1 0 59 , 1 3 0 7,4 5 7 4, 2 5 0 4, 2 5 0 2, 9 2 2 43 , 1 1 1 2,0 9 2 2,0 9 2 7,4 8 1 78 , 9 9 6 43 , 1 1 1 7,4 8 1 78 , 9 9 6 30 , 3 1 8 84 4 7, 2 9 1 49 , 0 5 0 Mo s s A d a m s , L L P Ve r s i o n 3.2 12 0 f 2 3 4/2 8 / 2 0 0 8 . Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 CE R T A I N I N C O M E A C C O U N T S A N D A D J U S T M E N T S S-1 0 ~Å  t i . IN T E R S T A T E T O L L ~ LO C A L . i . ; f : * ' B d ì' . . . . . TO T A L In t e r L T A In t , a L A - In t e r L A T A EA S Us e r Ot h e r CO ~ : \ A N Y ~; ~ ~~ ~~ ~ ~~ MS G PL MS G PL De f i n e d -" ' - __ S C R I P T I O N SO U R C E (D (a ) (h ) (i (i (k ) (I SE P A R A T I O N S F A C T O R S 1 2 0 0 1 T P I S D i s l r ,L n 1 5 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 2 2 0 0 3 P U C . P e t ,L n 1 1 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 3 C o r p O p e r E x p e n s e s D i a l r ,L n 1 7 10 0 . 0 0 0 0 % 40 . 7 0 2 8 % 4. 8 8 8 7 % 1.7 5 3 2 % 18 . 2 9 7 9 % 0.4 5 1 3 % 4. 4 4 9 7 % 29 , 4 5 6 4 % 4 2 6 8 0 C a p i t a l L e a s e s D i s t r ,L n 1 9 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 5 N e t T e l e c o m P l a n t D i s t r e x c l 4 0 4 0 , 4 3 1 0 ,L n 3 7 10 0 . 0 0 0 0 % 28 . 6 4 3 4 % 2. 3 7 2 3 % 2. 2 5 9 4 % 22 . 9 5 2 7 % 1.1 0 1 6 % 4. 8 0 6 5 % 37 . 8 6 4 1 % 6 2 1 1 0 S u p p o r t A s s e t s D i a l r ,L n g 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 7 2 2 1 0 C a E - S w i t c h i n g O i s t r ,L n 3 7 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % 15 . 0 0 0 0 % 8 2 2 2 0 C a E - O p e r a t o r O i s t r ,L n 2 4 9 2 2 3 0 C a E - T r a n s m i s s i o n O i s t r ,L n 7 7 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2. 2 6 0 5 % 23 . 1 5 8 6 % 0.1 9 8 9 % 9. 7 1 5 8 % 19 . 6 1 2 8 % 10 2 3 1 0 l O T O i s t r ,L n 1 2 11 2 4 1 0 C & W F O i s t r ,L n 4 3 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0. 5 9 5 5 % 2. 2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4. 0 1 0 6 % 42 . 3 5 2 4 % 12 C O E . I O T . C & W F ,L n 8 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 13 B i T h r e e E x p e n s e s D i s t r ,L n S 10 0 . 0 0 0 0 % 37 . S 5 4 4 % 5. 1 4 0 1 % 1.8 4 3 3 % 19 . 2 3 8 S % 0.4 7 4 5 % 4. 6 7 8 4 % 30 . 9 7 0 8 % OT H E R I N C O M E S E P A R A T I O N 14 7 3 0 0 N o n o p e r I n c & E x p e n s e s 15 Alw F d s U s e d D u r C o n s t r Ln 1 5 a " 2 8, 3 9 5 2.9 4 0 32 4 16 6 1.6 8 8 64 40 5 2.8 0 9 16 Co n t r i b u t i o n s Ln 1 6 a " 3 8, 9 7 9 3.6 5 5 43 9 15 7 1.5 4 3 41 40 0 2.5 4 5 17 Ab a n d o n e d C o n s t r u c t i o n Ln 1 7 a * 1 18 Oth e r N o n o p e r a t i n g E x p e n s e Dir e c t 19 F i x e d C h a r g e s 20 In t e r e s t o n C a p i t a l L e a s e s Ln 2 0 a * 4 21 Fi x e d C h a r g e s E x c l C a p i t a l L e a s e s Ln 2 1 a * 5 96 . 5 2 28 , 2 0 0 2.3 3 6 2.2 2 4 22 . 5 9 7 1.0 8 5 4,7 3 2 37 . 2 7 8 22 Am o r t i z a t i o n o f D e b t D i s c o u n t Ln 2 2 a " 5 23 Oth e r I n t e r e s t Ln 2 3 a " 5 24 T O T A L F I X E D C H A R G E S Ln 2 0 . . 2 1 96 . 5 2 28 . 2 0 0 2.3 3 6 2,2 2 4 22 . 5 9 7 1,0 8 5 4.7 3 2 37 , 2 7 8 25 5 2 4 0 R e n t R e v e n u e s 26 Su p p o r t A s s e t s Ln 2 6 a " S 27 Ca E - S w i t c h i n g Ln 2 7 a " 7 28 Ca E - O p e r a t o r Ln 2 8 a " 8 29 CO E - T r a n s m i s s i o n Ln 2 9 a " 9 30 In f o O r i g l T e r m E q u i p Ln 3 0 a * 1 0 31 C& W F Ln 3 1 a * 1 1 32 No t C l a s s i f i e d b y A c c t Ln 3 2 a " 1 , D i r e c t 33 U N B U N D L E D N E T W O R K E L E M E N T S 34 C& W F - U n b u n d l e d L o o p ,L n 4 1 " L n 3 4 35 Op e r a t o r S y s t e m s ,L n 2 4 " L n 3 5 36 Ta n d e m S w i t c h i n g ,L n 2 9 " L n 3 6 37 Lo c a l S w i t c h i n g ,L n 3 4 * L n 3 7 38 Tr a n s p o r t T e r m i n a t i o n ,L n S 5 " L n 3 8 39 Tr a n s p o r t F a c i l i t y ,L n 6 5 " L n 3 9 40 SS 7 ,L n 7 5 " L n 4 0 41 OS S Ln 4 1 a " 1 42 Di r e c t A s s i g n m e n t Dir e c t 43 T O T A L R E N T R E V E N U E S Ln 2 S . . 2 I IN C O M E T A X A D J U S T M E N T S S E P A R T I O N S I 44 I T C A m o r t i z a t i o n - F e d e r a l Ln 4 4 a " 1 45 I T C A m o r t i z a t i o n - S t a t e Ln 4 5 a " 1 46 T O T A L I T C A M O R T I Z A T I O N Ln 4 4 . . 4 5 47 A m o r t i z a t i o n o f E x c e s s D e f T a x e s Ln 4 7 a " 1 48 C a p i t a l i z e d P a y r o l l T a x e s Ln 4 8 a * 1 49 Di r e c t A s s i g n m e n t Di r e c t 50 T O T A L C A P I T A L I Z E D P A Y R O L L T A X E S Ln 4 8 . . 4 9 51 D e p r e c i a t i o n A d j u s t m e n t s Ln 5 1 a * 1 52 Di r e c t A s s i g n m e n t Di r e c t 53 T O T A L D E P R E C I A T I O N A D J U S T M E N T S Ln 5 1 . . 5 2 54 U n c o l l e c t i b l e s - J o i n t M e s s a g e Di r e c t 55 U n c o l l e c t i b l e s - E n d U s e r C C L Di r e c t 56 U n c o l l e c t i b l e s - I n t e r e x c h a n g e C a r r i e r Di r e c t 57 T O T A L U N C O L L E C T I B L E S Ln 5 4 . . 5 6 58 M i s c I n c A d j u s t m e n t s 59 In c A d j A l l o c o n 2 0 0 1 Ln 5 9 a " 1 60 In c A d j A l I o c o n 2 0 0 1 - D i r e c t A s s i g n m e n t Di r e c t 61 In c A d j A l l o c o n B i g 3 E x p Ln 6 1 a " 1 3 62 In c A d j A l l o c o n B i g 3 E x p - D i r e c t A s s i g n m e n t Di r e c t 63 T O T A L M I S C I N C A D J U S T M E N T S Ln 5 9 . . 6 1 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 13 0 f 2 3 41 2 8 / 2 0 0 8 . Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 PL A N T S P E C I F I C E X P E N S E S S-1 1 Jj i .i Ü . IN T E R S T A T E T O L ~ . . . . . 3 _ - .~ - ! f i ~i ' :- . LO C A L ... . , . . . . . TO T A L In t e r l T A In t r a L A T A In t e r L A T A In t r a L A T A EA S Us e r Oth e r CO ~ : \ A N Y ~~ ~ ~~ ~~ ; ~~ M( ~ G PL MS G PL De f i n e d Li. . . . : . ~~ S C R I P T I O N SO U R C E (g ) (h ) (i ) (j (k ) (I ) SE P A R A T I O N S F A C T O R S 1 2 1 1 0 L a n d & S u p t A s s t s D i s t r ,L n 1 4 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 2 T o t a l C a E D i s t r + E A D i s t r ,L n 7 9 i n c l E A 10 0 . 0 0 0 0 % 49 . 8 0 9 5 % 9. 5 4 5 7 % 1- 4 5 1 2 % 14 . 8 6 7 3 % 0.1 2 7 7 % 6. 2 3 7 3 % 17 . 9 6 1 3 % 32 3 1 0 l O T C a t 1 ~ O t h e r O i s t r ,L n 1 10 0 . 0 0 0 0 % 25 . 0 0 0 0 % 2. 2 2 3 0 % 22 . 7 7 7 0 % 50 . 0 0 0 0 % 4 2 3 1 0 l O T C a t 2 - C P E O i s l r ,L n 1 0 52 4 1 0 C & W F D i s t r ,L n 4 3 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0. 5 9 5 5 % 2. 2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4. 0 1 0 6 % 42 . 3 5 2 4 % I PL A N T S P E C I F I C E X P E N S E S S E P A R A T I O N 66 1 1 0 N e t w o r k Su p p o r t Ex p e n s e s Ln 6 a " 1 8, 3 1 1 2,9 1 0 32 1 16 4 1,6 7 1 63 40 1 2,7 8 1 7 Dir e c t A s s i g n m e n t Dir e c t 8 T O T A L N E T W O R K S U P P O R T E X P E N S E S Ln 6 . . 7 8, 3 1 1 2,9 1 0 32 1 16 4 1,6 7 1 63 40 1 2,7 8 1 9 6 1 2 0 G e n e r a l S u p p o r t E x p e n s e s Ln 9 a " 1 98 , 7 0 3 34 , 5 6 1 3, 8 0 8 1, 9 5 1 19 , 8 4 6 74 9 4, 7 8 0 33 , 0 2 7 10 Di r e c t A s s i g n m e n t Dir e c t 11 T O T A L G E N E R A L S U P P O R T E X P E N S E S Ln 9 . . 1 0 98 , 7 0 3 34 , 5 6 1 3, 8 0 8 1, 9 5 1 19 , 8 4 6 74 9 4, 7 6 0 33 , 0 2 7 12 6 2 1 0 C O E S w i t c h i n g E x p e n s e s Ln 1 2 a " 2 99 , 3 8 7 49 , 5 0 4 9, 4 8 7 1, 4 2 14 , 7 7 6 12 7 6,1 9 9 17 , 8 5 1 13 Di r e c t A s s i g n m e n t Dir e c t 14 T O T A L C O E S W I T C H I N G E X P E N S E S Ln 1 2 . . 1 3 99 , 3 8 7 49 , 5 0 4 9,4 8 7 1, 4 4 2 14 , 7 7 6 12 7 6,1 9 9 17 , 8 5 1 15 6 2 2 0 C O E O p e r a t o r S y s t e m s E x p e n s e s Ln 1 5 a " 2 16 Di r e c t A s s i g n m e n t Dir e c t 17 T O T A L C O E O P E R A T O R S Y S E X P E N S E S Ln 1 5 . . 1 6 18 6 2 3 0 C O E T r a n s m i s s i o n E x e n s e s Ln 1 8 a " 2 26 6 , 5 5 8 13 2 , 7 7 1 25 , 4 4 5 3,8 6 8 39 , 6 3 0 34 0 16 , 6 2 6 47 , 8 7 7 19 Di r e c t A s s i g n m e n t Dir e c t 20 T O T A L C O E T R A N S M I S S I O N E X P E N S E S Ln 1 8 . . 1 9 26 6 , 5 5 8 13 2 , 7 7 1 25 , 4 4 5 3,8 6 8 39 , 6 3 0 34 0 16 , 6 2 6 47 , 8 7 7 21 T O T A L C O E E X P E N S E S Ln 1 4 + 1 7 + 2 0 36 5 , 9 4 5 18 2 , 2 7 5 34 , 9 3 2 5,3 1 1 54 , 4 0 6 46 7 22 , 8 2 5 65 , 7 2 9 22 6 3 1 0 l O T E q u i p E x e n s e s 23 Ca t 1 - 0 t h e r l O T E q E x p e n s e s Ln 2 3 a " 3 24 Ca t 2 - C u s t P r e m E q u i p E x p Ln 2 4 a " 4 25 Di r e c t A s s i g n m e n t Dir e c t 26 T O T A L l O T E X P E N S E S Ln 2 3 . . 2 5 27 6 4 1 0 C & W F E x p e n s e s Ln 2 7 a " 5 22 0 , 4 7 2 58 , 4 8 8 1,3 1 3 5,0 2 3 50 , 9 5 8 2, 4 7 2 8,8 4 2 93 , 3 7 5 28 Di r e c t A s s i g n m e n t Dir e c t 29 T O T A L C & W F E X P E N S E S Ln 2 7 . . 2 8 22 0 , 4 7 2 58 , 4 8 8 1, 3 1 3 5,0 2 3 50 , 9 5 8 2, 4 7 2 8,8 4 2 93 , 3 7 5 30 P i t S p e c E x p x / 6 1 1 0 , 6 1 2 0 Ln 2 1 + 2 6 + 2 9 58 6 , 4 1 7 24 0 , 7 6 3 36 , 2 4 5 10 , 3 3 4 10 5 , 3 8 4 2, 9 3 9 31 , 6 6 7 15 9 , 1 0 4 31 T O T A L P L A T S P E C O P E R E X P Ln 8 + 1 1 + 3 0 69 3 , 4 3 1 27 8 , 2 3 5 40 , 3 7 4 12 , 4 5 0 12 8 , 8 8 2 3, 7 5 2 36 , 8 2 8 19 4 , 9 1 2 32 D i s t r i b u t i o n o f L i n e 3 1 Ln 3 1 1 3 1 a 10 0 . 0 0 0 0 % 40 . 1 2 4 4 % 5.8 2 2 3 % 1. 7 9 5 4 % 18 . 2 9 7 7 % 0. 5 4 1 0 % 5.3 1 1 0 % 28 . 1 0 8 3 % Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3,2 14 of 23 4/2 8 / 2 0 0 8 . . . Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 PL A N T N O N S P E C I F I C E X P E N S E S S- 1 2 St u d y Y e a r : 2 0 0 6 i' A L CO M P A N Y MS G PL MS G PL MS G PL MS G PL LI N E DE S C R I P T I O N SO U R C E la ) Ib ) Ie ) (d ) Ie ) (D (g ) Ih ) (i) ül SE P A R A T I O N S F A C T O R S 1 2 0 0 1 T P I S D i s t r ,L n 1 5 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 2 T o t a l C O E , l O T , C & W F D i s t r ,L n 7 + 9 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 32 1 1 0 S u p p o r t As s e t s O i s t r ,L n 9 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 42 2 1 0 C O E - S w i t c h i n g O i s t r ,L n 4 9 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % 15 . 0 0 0 0 % 5 2 2 2 0 C O E - O p e r a t o r D i s t r ,L n 2 4 62 2 3 0 C O E . T r a n s m i s s i o n D i s t r ,L n 7 7 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2.2 6 0 5 % 23 . 1 5 8 6 % 0.1 9 8 9 % 9.7 1 5 8 % 19 . 6 1 2 8 % 72 3 1 0 l O T D i s t r ,L n 1 2 82 4 1 0 C & W F D i s t r ,L n 4 3 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0.5 9 5 5 % 2.2 7 8 5 % 23 . 1 1 3 2 % 1. 1 2 1 4 % 4.0 1 0 6 % 42 . 3 5 2 4 % 9 2 0 0 2 P r o p H i d F t T e l U s e D i s t r ,L n 7 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 10 2 6 8 0 C a p i t a l L e a s e s D i s t r ,L n 1 9 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 11 2 6 8 0 L e a s e h o l d I m p r o v e m e n t s D i s t r ,L n 3 0 12 2 6 9 0 I n t a n g i b l e A s s e t s D i s t r ,L n 3 6 13 2 0 0 5 T e l e c o m P i t Ad u s t m e n t ,L n 1 5 PL A N T N O N S P E C I F I C E X P S E P A R A T I O N 14 6 5 1 0 O t h P r o p P l a n t & E q E x p Ln 1 4 a * 1 1,7 7 2 62 0 68 35 35 6 13 85 59 3 15 Di r e c t A s s i g n m e n t Di r e c t 16 T O T A L O T H P R O P P L A N T & E O E X P Ln 1 4 . . 1 5 1,7 7 2 62 0 68 35 35 6 13 85 59 3 17 6 5 3 0 N e t w o r k O p e r a t i o n s E x p Ln 1 7 a * 2 10 0 , 8 9 3 35 , 3 2 8 3,8 9 3 1,9 9 5 20 , 2 8 7 76 6 4, 8 6 5 33 , 7 6 0 18 Di r e c t A s s i g n m e n t Di r e c t 19 T O T A L N E T W O R K O P E R A T I O N S E X P Ln 1 7 . . 1 8 10 0 , 8 9 3 35 , 3 2 8 3,8 9 3 1,9 9 5 20 , 2 8 7 76 6 4, 8 6 5 33 , 7 6 0 20 6 5 4 0 A c c e s s E x p e n s e s 21 Ac c e s s E x p e n s e x l F e d e r a l S u p p o r t Di r e c t 22 Fe d e r a l S u p p o r t Di r e c t I 5,0 9 5 1 5,0 9 5 23 T O T A L A C C E S S E X P E N S E S Ln 2 1 . 2 2 5,0 9 5 5,0 9 5 24 6 5 6 0 D e p r a n d A m o r t E x p e n s e s 25 De p r - S u p p o r t A s s e t s Ln 2 5 a * 3 19 , 2 5 3 1 6,7 4 2 74 3 1 -I 38 1 -I 3,8 7 1 14 6 1 92 8 6,4 4 2 26 De p r - S u p p o r t A s s e t s - D i r e c t A s s i g n m e n t Di r e c t 27 De p r - C O E - S w i t c h i n g Ln 2 7 a * 4 28 De p r - C O E - S w i t c h i n g - D i r e c t A s s i g n m e n t Di r e c t i 12 , 3 8 0 1 10 , 5 2 3 -I -I -I -I 1,8 5 7 29 De p r - C O E - O p e r a t o r Ln 2 9 a * 5 30 De p r - C O E - O p e r a t o r - D i r e c t A s s i g n m e n t Di r e c t 31 De p r - C O E - T r a n s m i s s i o n Ln 3 1 a ' " 6 32 De p r - C O E - T r a n s m i s s i o n - D i r e c t A s s i g n m e n t Di r e c t 1 16 7 , 8 6 0 I 48 , 6 2 8 30 , 3 8 4 1 -I 3, 6 4 9 -I 37 , 3 8 7 31 0 1 15 , 1 7 4 32 , 3 2 8 33 De p r - I n f o O r i g l T e r m E q u i p Ln 3 3 a * 7 34 Oe p r - I n f o O r i g I e r m E q u i p - D i r e c t A s s i g n m e n t Di r e c t 35 De p r . C a b l e & W i r e F a c i l i t i e s Ln 3 5 a * 8 36 De p r - C a b l e & W i r e F a c i l i t i e s - D i r e c t A s s i g n m e n t Di r e c t 1 28 7 , 9 2 ~ I 76 , 3 5 4 2,1 0 ~ 1 :1 6,5 7 1 :1 66 , 6 9 5 79 ~ 1 11 , 7 6 3 12 3 , 6 3 7 37 Oe p r - P r o p H i d F t T e l U s e Ln 3 7 a * 9 38 Am o r t - C a p i t a l L e a s e s Ln 3 8 a * 1 0 90 8 31 8 35 18 18 3 44 30 4 39 Am o r t - L e a s e h o l d I m p r o v e m e n t s Ln 3 9 a * 1 1 40 Am o r t - I n t a n g i b l e A s s e t s Ln 4 0 a * 1 2 41 Am o r t - O t h e r Ln 4 1 a * 1 3 42 Am o r t - D i r e c t A s s i g n m e n t Di r e c t 43 T O T A L D E P R & A M O R T E X P E N S E S Ln 2 5 . . 4 1 1 48 8 ' 3 2 6 1 14 2 , 5 5 4 33 , 2 7 0 I ;1 10 , 6 1 9 ;1 10 8 , 1 3 6 1'2 6 0 1 27 , 9 0 9 16 4 , 5 6 8 44 T O T A L P L A N T N O N S P E C O P E R E X P Ln 1 6 + 1 9 + 2 3 + 4 3 59 6 , 0 8 6 18 3 , 6 0 8 37 , 2 3 1 12 , 6 4 8 12 8 , 7 7 9 2,0 3 9 32 , 8 6 0 19 8 , 9 2 1 45 D i s t r i b u t i o n o f U n e 3 9 Ln 4 4 / 4 4 a 10 0 . 0 0 0 0 % 30 . 8 0 2 3 % 6.2 4 5 9 % 2. 1 2 1 9 % 21 . 6 0 4 1 % 0.3 4 2 1 % 5. 5 1 2 6 % 33 . 3 7 1 1 % Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 15 0 1 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 St u d y Y e a r : 2 0 0 6 CU S T O M E R O P E R A T I O N S E X P E N S E S Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c o r d s Re c r d s Re c o r d s Re c o r d s Re c o r d s 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % 45 . 8 6 5 0 % 20 . 9 0 5 0 % 30 . 8 4 3 6 % 30 . 8 4 3 6 % 33 . 3 3 3 3 % 33 . 3 3 3 3 % 33 . 3 3 3 3 % TO T A L CO M P A N Y PL (g ) DE S C R I P T I O N SE P A R A T I O N S F A C T O R S -r - M a r k e t i n g e x p e n s e f a c t o r 2 W S W S - T e l O p e r S v c s 3 S u b s c r i b e r U n e M O U 4 E U S e r v i c e O r d e r C o n t a c t s 5 E U B i l l e d R e v e n u e i n c l C C L 6 E U B i l l e d I n q u i r y C o n t a c t s 7 I X S v c O r d P r o c C o n t a c t s 8 I X B i l l e d R e v e n u e 9 i X B i l l I n q C o n t a c t s 10 P u b l i c I n t e r e s t P a y s t a t i o n R e v e n u e _ _ _ _ _ MA R K E T I N G E X P E N S E S S E P A R A T I O N 11 6 6 1 0 M a r k e t i n g E x p e n s e s L n 1 1 a * 1 12 D i r e c t A s s i g n m e n t D i r e c t 13 T O T A L M A R K E T I N G E X P E N S E S L n 1 1 . . 1 2 I S E R V I C E S E X P E N S E S S E P A R A T I O N I 14 6 6 2 0 S e r v i c e s E x p e n s e s 15 T e l e p h o n e O p e r a t o r S e r v i c e : 16 T e l O p e r a t o r S v c 17 D i r e c t A s s i g n m e n t 18 T o t a l T e l O p e r S v c E x p LI N E SO U R C E 43 , 8 1 0 43 , 8 1 0 Ln 1 6 a * 2 Di r e c t Ln 1 6 . . 1 7 2, 7 9 7 2, 7 9 7 19 Pu b l i s h e d D i r e c t L i s t i n g s : 20 Cla s s i f i e d Di r e c t 21 nN Di r e c t 22 Alp h a Ln 2 2 a * 3 23 Fo r e i g n Di r e c t 24 To t a l P u b l D i r e c t L i s t Ln 2 0 . . 2 3 25 All Ot h e r : 26 Ca t 1 - L B O E E U S v c O r d P r o c 27 Pr e s u b s c r i p t i o n Di r e c t 1 3, 0 8 9 1 3,0 8 9 28 Oth e r Ln 2 8 a * 4 9, 2 6 6 1,9 3 7 -I 7,3 2 9 29 Ca t 1 - L B O E E U P m t & C o l 30 -C I I Di r e c t 31 -O t h e r Ln 2 9 a * 5 1 9, 2 6 6 1 2,8 5 8 :1 -I 6,4 0 8 32 Ca t 1 - L B O E E U B i l l l n q 33 -C I I Di r e c t 34 -O t h e r Ln 3 2 a * 6 1 9, 2 6 6 1 2,8 5 8 -I 6,0 8 35 Ca t 1 - L B O E I X S v c O r d P r o c Ln 3 5 a * 7 36 Ca t 1 - L B O E I X P m t & C o l Ln 3 6 a * 8 37 Ca t 1 - L B O E I X B i I l n q Ln 3 7 a * 9 38 Ca t 1 - L B O E C n C o l & A d m i n Ln 3 8 a * 1 0 39 To t a l C a t 1 - L B O E Ln 2 6 . . 3 8 30 , 8 8 6 I 10 , 7 4 1 -I -I -I 20 , 1 4 5 4/2 8 1 2 0 0 8 . S- 1 3 Sh e e t 1 o f 2 LO C A L Oth e r Us e r De f i n e d (k ) 19 . 1 4 9 0 % 43 , 8 1 0 43 , 8 1 0 2,7 9 7 2,7 9 7 31 . 8 7 5 0 % 79 . 0 9 5 0 % 69 . 1 5 6 4 % 69 . 1 5 6 4 % 66 . 6 6 6 7 % 66 . 6 6 6 7 % 66 . 6 6 6 7 % Pro p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 16 0 f 2 3 4/ 2 8 1 2 0 0 8 . . Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 CU S T O M E R O P E R A T I O N S E X P E N S E S LI N E DE S C R I P T I O N SO U R C E SE P A R A T I O N S F A C T O R S I 40 R e l a t i v e T o l l & L o c a l M s g s P c t Re c o r d s 41 C A B S P c t Re c o r d s SE R V I C E S E X P S E P A R A T I O N ( C O N T ' D ) I 42 Ca t 2 - C S E M s g P r o c 43 Jo i n t M e s s a g e Ln 4 2 a * 4 0 I (5 ) 1 (1 ) 44 Di r e c t A s s i g n m e n t Di r e c t 45 Ca t 2 - C S E O t h e r B & C 45 Di r e c t A s s i g n m e n t Di r e c t 6, 7 6 3 2,0 1 7 47 En d U s e r C o m m o n L i n e Di r e c t 35 6 35 6 48 Ca t 2 - C S E C A B S Ln 4 8 ä * 4 1 8, 2 6 1 4,1 3 1 49 To t a l C a t 2 - C S E Ln 4 2 . . 8 15 , 3 7 5 6,5 0 3 50 To t a l A l l O t h e r C a t 1 & 2 Ln 3 9 + 4 9 46 , 2 6 1 17 , 2 4 4 51 Dis t r i b u t i o n o f L i n e 5 0 Ln 5 0 / 5 0 a 10 0 . 0 0 0 0 % 37 . 2 7 5 5 % 52 Ca t 3 - A H O t h e r C S E Ln 5 2 a * 5 1 53 Ca t 3 - D i r e c t A s s i g n m e n t Di r e c t 69 9 69 9 54 To t a l A U O t h e r C a t 3 Ln 5 2 . . 5 3 69 9 69 9 55 To t a l A l l O t h e r - C a t 1 , 2 , 3 Ln 5 0 + 5 4 46 , 9 6 0 17 , 9 4 3 56 T O T A L S E R V I C E S E X P E N S E S Ln 1 8 + 2 4 + 5 5 49 , 7 5 7 17 , 9 4 3 57 T O T A L C U S T O M E R O P E R E X P E N S E S Ln 1 3 + 5 6 93 , 5 6 7 17 , 9 4 3 58 Dis t r i b u t i o n o f L i n e 5 7 Ln 5 7 / 5 7 a 10 0 . 0 0 0 0 % 19 . 1 7 6 7 % (4 ) 2,3 7 3 :1 2,3 7 3 2, 0 6 5 2,0 6 5 2, 0 6 5 4,4 3 4 ~ I 2,3 7 3 2, 0 6 5 24 , 5 7 9 2,3 7 3 4. 4 6 4 2 % 53 . 1 3 0 7 % 5.1 2 9 6 % 2, 0 6 5 24 , 5 7 9 2,3 7 3 2, 0 6 5 24 , 5 7 9 5,1 7 0 2, 0 6 5 2. 2 0 7 2 % 24 , 5 7 9 26 . 2 6 8 6 % 48 , 9 8 0 52 . 3 4 7 5 % Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3. 2 17 o f 23 Ru r a l T e l e p h o n e C o m p a n y - I d a h o Stu d y A r e a : 4 7 2 2 3 3 Stu d y Y e a r : 2 0 0 6 CO R P O R A T E O P E R A T I O N S . T A X E S . & E Q U A L A C C E S S E X P E N S E S S- 1 4 ,; : / \T E T O \ ~ . , ;; ... . . . . .~ - ~ , , ~ ~ , . . . . . . IC A L C-T 'T ; ' TO T A L In l e r l T A In t r a L A T A In t e r L A T A In l r a L A T A E A S Us e r Ot h e r CO M P A N Y MS G PL MS G PL M( ~ G PL MS G PL De f i n e d LI I ' i i : ~~ S C R I P T I O N SO U R C E (a ) Ib ) Ie ) Id l (e ) (9 ) Ih l (j Ül (k l II SE P A R A T I O N S F A C T O R S 1 B i g T h r e e E x p e n s e s D i s t r ,L n 6 10 0 . 0 0 0 0 % 37 . 6 5 4 4 % 5.1 4 0 1 % 1.8 4 3 3 % 19 . 2 3 8 6 % 0.4 7 4 5 % 4. 6 7 8 4 % 30 . 9 7 0 8 % 2 2 0 0 1 T P I S D i s t r ,L n 1 5 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 3 E q u a l A c c e s s I n v e s t D i s t r ,L n 2 8 4 N e t T e l e c o m P l a n t D i s t r e x c l 1 2 2 0 , E A ,L n 3 7 10 0 . 0 0 0 0 % 28 . 7 4 1 5 % 2.4 5 4 8 % 2. 2 5 8 5 % 22 . 9 4 5 3 % 1.1 0 0 6 % 4. 8 4 3 4 % 37 . 6 5 5 9 % 5 I n c o m e T a x D i s t r i b u t i o n 8- 3 , L n 2 7 10 0 . 0 0 0 0 % 35 . 6 9 3 9 % 5.2 2 8 6 % 1.9 3 3 8 % 19 . 9 6 7 6 % 0.4 7 2 5 % 4. 8 9 2 3 % 31 . 8 1 1 2 % I CO R P O R A T E O P E R E X P S E P A R A T I O N S 6 6 7 1 0 E x e c & P l a n n i n g E x p e n s e s 7 EA S Di r e c t 8 Al l Oth e r Ln 8 a " 1 11 1 . 3 7 2 41 . 9 3 6 5,7 2 5 2. 0 5 3 21 , 4 2 6 52 8 5.2 1 0 34 , 4 9 3 9 Dir e c t A s s i g n m e n t Di r e c t 10 T O T A L E X E C & P L A N N I N G E X P E N S E S Ln 7 . . 9 11 1 . 3 7 2 41 . 9 3 6 5.7 2 5 2. 0 5 3 21 , 4 2 6 52 8 5. 2 1 0 34 , 4 9 3 11 6 7 2 0 G e n ' l a n d A d m i n E x p e n s e s 12 EA S Di r e c t 13 All O t h e r Ln 1 3 a " 1 28 5 . 3 4 0 10 7 , 4 4 3 14 . 6 6 7 5. 2 6 0 54 . 8 9 5 1.3 5 4 13 . 3 4 9 88 . 3 7 2 14 Dir e c t A s s i g n m e n t Di r e c t 20 . 3 9 5 20 . 3 9 5 15 T O T A L G E N ' L & A D M I N E X P E N S E S Ln 1 2 . . 1 4 30 5 . 7 3 5 12 7 . 8 3 8 14 . 6 6 7 5. 2 6 0 54 . 8 9 5 1.3 5 4 13 . 3 4 9 88 . 3 7 2 16 T O T A L C O R P O R A T E O P E R E X P E N S E S Ln 1 0 + 1 5 41 7 . 1 0 7 16 9 . 7 7 4 20 . 3 9 1 7. 3 1 3 76 . 3 2 2 1.8 8 2 18 . 5 6 0 12 2 . 8 6 5 17 D i s t r i b u t i o n o f L i n e 1 6 Ln 1 6 / 1 6 a 10 0 . 0 0 0 0 % 40 . 7 0 2 8 % 4. 8 8 8 7 % 1.7 5 3 2 % 18 . 2 9 7 9 % 0.4 5 1 3 % 4. 4 4 9 7 % 29 . 4 5 6 4 % I OP E R A T I N G T A X E S S E P A R A T I O N S I 18 7 2 0 0 O p e r a t i n g T a x e s ( A c t u a l ) 19 Fe d e r a l In c o m e T a x e s Ln 1 9 a " 5 12 0 . 2 1 9 42 . 9 1 1 6.2 8 6 2. 3 2 5 24 . 0 0 5 56 8 5. 8 8 1 38 . 2 4 3 20 St a t e & L o c a l In c o m e T a x e s Ln 2 0 a " 5 21 OP F E D . S T A T E . L O C A L T A X E S - C W C 12 0 . 2 1 9 42 . 9 1 1 6. 2 8 6 2. 3 2 5 24 . 0 0 5 56 8 5. 8 8 1 38 . 2 4 3 22 F I T A l l o w a n c e s / D i s a l l o w a n c e s Ln 2 2 a " 2 23 Op e r a t i n g T a x e s - P r o p e r t y Ln 2 3 a " 2 75 . 0 2 5 26 . 2 7 0 2. 8 9 5 1, 4 8 3 15 , 0 8 5 57 0 3. 6 1 8 25 . 1 0 4 24 Op e r a t i n g T a x e s - O t h e r Ln 2 4 a " 2 25 Op e r a t i n g T a x e s - D i r e c t A s s i g n m e n t Di r e t 26 T O T A L O P E R T A X E S i c F I T . S I T Ln 2 3 . . 2 5 75 . 0 2 5 26 . 2 7 0 2. 8 9 5 1, 4 8 3 15 , 0 8 5 57 0 3. 6 1 8 25 . 1 0 4 I OP E R A T I N G R E V E N U E S E P A R A T I O N S I 27 5 0 0 0 B a s i c L o c a l R e v e n u e Di r e c t 28 5 0 8 0 I n t e r s t a t e A c c s s / E n d U s e r R e v e n u e Di r e c t 29 5 0 8 4 S t a t e A c c s s / E n d U s e r R e v e n u e Di r e c t 30 5 1 0 0 L o n g D i s t a n c e M e s s a g e R e v e n u e Di r e c t 31 5 2 0 0 M i s c e l l a n e o u s O p e r a t i n g R e v e n u e Di r e c t 32 7 1 0 0 O t h e r O p e r a t i n g I n c o m e Di r e c t 33 T O T A L O P E R A T I N G R E V E N U E Ln 2 7 . . 3 2 I EQ U A L A C C E S S E X P E N S E S S E P A R A T I O N I 34 E q u a l A c c e s s E x p e n s e s Ln 3 4 a " 3 35 T O T A L E Q U A L A C C E S S E X P E N S E S Ln 3 4 . . 3 4 I AL L O W A N C E S A N D D I S A L L O W A N C E S I 36 E x p e n s e A l l o w a n c e s / D i s a l l o w a n c e s 37 In t e r e s t o n C u s t o m e r D e p o s i t s Ln 3 7 a " 4 38 Ot h e r I n t e r e s t D e d u c t i o n Ln 3 7 a " 4 39 Di r e c t A s s i g n m e n t Di r e t 40 T O T A L E X P E N S E A L L O W / D I S A L L O W A N C E S Ln 3 7 . . 3 8 No t e 1: FIT a n d S I T C a l c u l a t e d o n t h e 8 - 1 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 4/2 8 / 2 0 0 8 . . , 18 0 f 2 3 4/ 2 8 / 2 0 0 8 Ru r a l T e l e p h o n e C o m p a n y - I d a h o . Stu d y A r e a : 4 7 2 2 3 3 RE S E R V E S & D E F E R R A L S St u d y Y e a r : 2 0 0 6 :: n e e t 1 a l L : .- IN T E R S T A T E T O L L \1 '., , 7 1 f : TO T A L In t e r L A T A CO M P A N Y MS G PL MS G PL 1 MS G PL 1 MS G PL LIN E DE S C R I P T I O N SO U R C E a SE P A R A T I O N S F A C T O R S 12 1 1 0 S u p p o r t As s e t s D i s t r ,L n g 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % 22 2 1 0 C O E - S w i t c h i n g , i n c ! . E A D i s t r S- 5 , L n 3 7 + S - 9 , L n 2 6 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % 15 . 0 0 0 0 % 3 2 2 2 0 C O E - O p e r a t o r D i s t r ,L n 2 4 4 2 2 3 0 C O E ~ T r a n s m ¡ s s i o n D i s t r ,L n 7 7 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2.2 6 0 5 % 23 . 1 5 8 6 % 0.1 9 8 9 % 9. 7 1 5 8 % 19 . 6 1 2 8 % 5 2 3 1 0 l O T D i s t r ,L n 1 2 62 4 1 0 C & W F D i s t r ,L n 4 3 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0.5 9 5 5 % 2.2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4. 0 1 0 6 % 42 . 3 5 2 4 % 7 2 0 0 1 T P I S x l L a n d ,L n 1 8 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 8 G e n e r a l S u p p o r t , C O E , l O T , C & W F ,L n 1 + 8 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 9 2 0 0 2 P r o p H i d F t r T e l U s e D i s t r ,L n 7 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 10 2 6 8 0 C a p t i a l L e a s e s D i s t r ,L n 1 9 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % 11 2 6 8 0 L e a s e h o l d I m p r o v e m e n t s ,L n 3 0 12 2 6 9 0 I n t a n g i b l e A s s e t s D i s t r ,L n 3 6 13 2 0 0 5 T e l e c o m P i t Ad u s t m e n t ,L n 1 5 RE S E R V E S & D E F E R R A L S S E P A R A T I O N 14 1 5 0 0 O t h e r J u r i s A s s e t s - N e t Dir e c t 15 3 1 0 0 A c c u m O e p r - T e l P i t i n S v c 16 Su p p o r t A s s e t s Ln 1 6 a * 1 I 57 3 , 8 3 ~ 1 20 0 , 9 3 1 22 , 1 4 ~ I ~ 1 11 , 3 4 4 ~ I 11 5 , 3 8 3 4'3 5 ~ I 27 , 6 7 2 19 2 , 0 1 1 17 Su p p o r t A s s e t s - D i r e c t A s s i g n m e n t Dir e c t 18 CO E - S w i t c h i n g Ln 1 8 a " 2 51 5 , 0 7 7 43 7 , 8 1 5 77 , 2 6 1 19 CO E - S w i t c h i n g - D i r e c t A s i g n m e n t Dir e c t 51 7 , 8 9 0 44 0 , 2 0 7 77 , 6 8 4 20 CO E - O p e r a t o r Ln 2 0 a " 3 21 CO E - O p e r a t o r - D i r e c t A s s i g n m e n t Dir e c t 22 CO E . T r a n s m i s s i o n Ln 2 2 a " 4 1 58 7 , 7 7 8 1 17 7 , 4 1 6 87 , 3 9 8 1 :1 13 , 2 8 7 :1 13 6 , 1 2 1 1, 1 6 9 1 57 , 1 0 7 11 5 , 2 8 0 23 CO E . T r a n s m i s s i o n - D i r e c t A s s i g n m e n t Dir e c t 67 2 , 0 1 8 19 4 , 8 7 9 12 1 , 6 4 0 14 , 6 1 0 14 9 , 6 7 8 1, 2 4 0 60 , 7 5 0 12 9 , 4 2 2 24 In f o O r i g r r e r m E q u i p Ln 2 4 a " 5 25 In f o O r i g r r e r m E q u i p - D i r e c t A s s i g n m e n t Dir e c t 28 C& W F Ln 2 6 a " 6 27 C& W F - D i r e c t A s i g n m e n t Dir e c t I 2,2 0 8 , 0 9 1 I 57 8 , 0 8 8 21 , 0 2 5 1 :1 49 , 7 6 2 :1 50 5 , 1 1 4 18 , 0 3 0 I 98 , 3 4 2 93 7 , 7 5 1 28 T O T A L A C C U M U L A T E D D E P R E C I A T I O N Ln 1 6 . . 2 7 5,0 7 4 , 6 9 1 2, 0 2 9 , 1 1 6 25 2 , 2 0 3 89 , 0 0 3 90 8 , 2 9 5 24 , 7 9 4 24 3 , 8 7 1 1, 5 2 9 , 4 0 9 29 3 2 0 0 A c c u m D e p r P r o p e r t y H e l d 30 Fo r F u t u r e T e l e c o m U s e Ln 3 0 a " 9 31 3 4 0 0 A c c u m A m o r t . C a p i t a l L e a s e s Ln 3 1 a " 1 0 1 12 , 9 8 4 1 4, 5 4 6 50 1 1 -I 25 7 -I 2,6 1 1 99 1 62 6 4,3 4 4 32 3 4 0 0 A c c u m A m o r t . e a s e h o l d I m p r o v e m e n t s Ln 3 2 a " 1 1 33 3 5 0 0 A c c u m A m o r t - I n t a n g i b l e Ln 3 3 a " 1 2 34 3 6 0 0 A c c u m A m o r t - O t h e r Ln 3 4 a " 1 3 35 4 0 4 0 C u s t o m e r D e p o s i t s Ln 3 5 a " 7 I 6, 9 8 ~ I 2, 4 4 5 26 ~ 1 :1 13 8 :1 1, 4 0 4 53 1 33 7 2,3 3 7 36 Di r e c t A s s i g n m e n t Dir e c t 37 T O T A L C U S T O M E R D E P O S I T S Ln 3 5 . . 3 6 6,9 8 3 2, 4 4 5 26 9 13 8 1, 4 0 4 53 33 7 2,3 3 7 38 4 1 0 0 N e t C u r D e f O p I n c T a x e s 39 Su p p o r t A s s e t s Ln 3 9 a " 1 40 CO E - S w i t c h i n g Ln 4 0 a " 2 41 CO E - O p e r a t o r Ln 4 1 a " 3 42 CO E . T r a n s m i s s i o n Ln 4 2 a " 4 43 In f o O r i g r r e r m E q u i p Ln 4 3 a " 5 44 C& W F Ln 4 4 a " 6 45 No t C l a s s i f i e d b y A c c t Ln 4 5 a " 8 46 T O T A L N E T C U R D E F O P I N C T A X E S Ln 3 9 . . 5 Pr o p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3.2 19 0 f 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 St u d y Y e a r : 2 0 0 6 LI N E D E S C R I P T I O N SE P A R A T I O N S F A C T O R S 47 B i g T h r e e E x p e n s e s D i s t r 48 2 1 1 0 S u p p o r t A s s e t s D i s t r 49 2 2 1 0 C O E - S w i t c h i n g D i s t r 50 2 2 2 0 C O E - o p e r a t o r D i s t r 51 2 2 3 0 C O E - T r a n s m i s s i o n D i s t r 52 2 3 1 0 l O T D i s t r 53 2 4 1 0 C & W F D i s t r 54 2 0 0 1 T P I S x l L a n d 55 2 0 0 1 T P I S D i s t r 56 2 0 0 1 T P I S D i s t r RE S E R V E S & D E F E R R A L S S E P A R A t i O N 57 4 3 1 0 O t h e r l o n g - T e r m L i a b i l i t i e s 58 4 3 4 0 N e t N o n c u r r e n t D e f T a x e s 59 S u p p o r t A s s e t s 60 C O E - S w i t c h i n g 61 C O E ~ O p e r a t o r 62 C O E - T r a n s m i s s i o n 63 I n f o O r i g / e r m E q u i p 64 C & W F 65 N o t C l a s s i f i e d b y A c c t 66 T O T A L N E T N O N C U R R E N T D E F T A X E S 67 4 3 6 0 O t h e r D e f e r r e d C r e d i t s - N e t SO U R C E ,L n 6 ,L n 9 ,L n 2 ,L n 2 4 ,L n 7 7 ,L n 1 2 ,L n 4 3 ,L n 1 8 ,L n 1 5 ,L n 1 + 8 Ln 5 7 a * 4 7 Ln 5 9 a * 4 8 Ln 6 0 a * 4 9 ln 6 1 a * 5 0 Ln 6 2 a * 5 1 Ln 6 3 a * 5 2 Ln 6 4 a * 5 3 Ln 6 5 a * 5 4 Ln 5 9 . . 6 5 Ln 6 7 a * 5 5 68 4 3 7 0 O t h e r J u r i s L i a b i l i i e s 69 & D e f e r r e d C r e d i t s - N e t D i r e c t I A C C U M D E P R & A M O R T A L L O W / D I S A L L O W I 70 A c c u m D e p r & A m o r t A l o w / D i s a l l o w L n 7 0 a * 5 4 71 D i r e c t A s s i g n m e n t D i r e c t 72 T O T A L A C C D E P R / A M O R T A L W / D I S A L L O W L n 7 0 . . 7 1 Pr o p r i e t a r y I n f o r m a t i o n 4/2 8 / 2 0 0 8 . RE S E R V E S & D E F E R R A L S TO T A L fii - t e i L A T A In t r a L A T A In t e r L A T A CO M P A N Y MS G PL MS G PL MS G PL a b d) I) ü) 10 0 . 0 0 0 0 % 37 . 6 5 4 4 % 5.1 4 0 1 % 1.8 4 3 3 % 19 . 2 3 8 6 % 0. 4 7 4 5 % 4.6 7 8 4 % 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2.2 6 0 5 % 23 . 1 5 8 6 % 0.1 9 8 9 % 9.7 1 5 8 % 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0.5 9 5 5 % 2.2 7 8 5 % 23 . 1 1 3 2 % 1. 1 2 1 4 % 4.0 1 0 6 % 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % S- 1 5 - 30 . 9 7 0 8 % 33 . 4 6 0 9 % 15 . 0 0 0 0 % 19 . 6 1 2 8 % 42 . 3 5 2 4 % 33 . 4 6 0 9 % 33 . 4 6 0 9 % 33 . 4 6 0 9 % 41 3 , 3 3 1 41 3 , 3 3 1 14 4 , 7 2 9 14 4 , 7 2 9 83 , 1 0 9 83 , 1 0 9 13 8 , 3 0 4 13 8 , 3 0 4 3,1 3 8 3,1 3 8 19 , 9 3 2 19 , 9 3 2 15 , 9 4 7 15 , 9 4 7 8, 1 7 1 8, 1 7 1 Mo s s A d a m s , L L P Ve r s i o n 3.2 20 o f 2 3 4/ 2 8 / 2 0 0 8 Ru r a l T e l e p h o n e C o m p a n y - I d a h o . Stu d y A r e a : 4 7 2 2 3 3 CA S H W O R K I N G C A P I T A L S- 1 6 Stu d y Y e a r : 2 0 0 6 . TO T A L In t r a L A T A Us e r Oth e r CO M P A N Y PL PL MS G PL LI N E DE S C R I P T I O N SO U R C E a) (e ) h i) ul CA S H W O R K I N G C A P I T A L 1 P l a n t S p e c i f i c E x p e n s e s ,L n 3 1 69 3 , 4 3 1 27 8 , 2 3 5 40 , 3 7 4 12 , 4 5 0 12 6 , 8 8 2 3,7 5 2 36 , 8 2 8 19 4 , 9 1 2 2 P l a n t N o n s p e c i f i c e x p a x e l d e p r e c i a t i o n & a m o r t z a t i o n 8- 1 2 , L n 1 6 a " 2 3 10 7 , 7 6 0 41 , 0 4 4 3,9 6 1 2,0 3 0 20 , 6 4 3 77 9 4,9 5 1 34 , 3 5 3 3 C u s t o m e r O p e r a t i o n s E x p e n s e - M a r k e t i n g 8- 1 3 , L n 1 3 43 , 8 1 0 43 , 8 1 0 4 C u s t o m e r O p e r a t i o n s E x p e n s e - S e r v i c e s 8- 1 3 , L n 5 6 49 , 7 5 7 17 , 9 4 3 2,0 6 5 24 , 5 7 9 5, 1 7 0 5 C o r p o r a t e O p e r a t i o n s E x p e n s e 8- 1 4 , L n 1 6 41 7 , 1 0 7 16 9 , 7 7 4 20 , 3 9 1 7,3 1 3 76 , 3 2 2 1,8 8 2 18 , 5 6 0 12 2 , 8 6 5 6 E q u a l A c c e s s E x p e n s e S~ 1 4 , L n 3 4 7 O t h e r N o n o p e r a t i n g E x p e n s e - C o n t r i b u t i o n s 8. 1 0 , L n 1 6 8,9 7 9 3, 6 5 5 43 9 15 7 1, 6 4 3 41 40 0 2,6 4 5 8 I n t e r e s t o n C a p i t a l L e a s e s 5- 1 0 , L n 2 0 9 F i x e d C h a r g e s a x e l C a p i t a l L e a s e s &- 1 0 , L n 2 1 98 , 4 5 2 28 , 2 0 0 2,3 3 6 2,2 2 4 22 , 5 9 7 1,0 8 5 4, 7 3 2 37 , 2 7 8 10 I n t e r e s t o n C u s t o m e r D e p o s i t s 8. 1 0 , L n 1 7 11 o t h e r O p e r a t i n g T a x - P r o p e r t y 8. 1 0 , L n 2 3 75 , 0 2 5 26 , 2 7 0 2,8 9 5 1,4 8 3 15 , 0 8 5 57 0 3,6 1 8 25 , 1 0 4 12 O t h e r O p e r a t i n g T a x - O t h e r 5- 1 0 , L n 2 4 13 O t h e r O p e r a t i n g T a x - D i r e c t A s s i g n m e n t S- 1 0 , L n 2 5 14 F e d e r a l I n c o m e T a x ( A c t u a l ) S- 1 0 , L n 1 9 12 0 , 2 1 9 42 , 9 1 1 6,2 8 6 2,3 2 5 24 , 0 0 5 56 8 5,8 8 1 38 , 2 4 3 15 S t a t e I n c o m e T a x ( A c t u a l ) S- 1 0 , L n 2 0 16 To t a l C a s h W o r k i n g C a p i t a l E x p e n s e s Ln 1 . . 1 5 1,6 1 4 , 5 4 0 60 8 , 0 3 1 76 , 6 8 1 30 , 0 4 7 31 1 , 7 5 6 8,6 7 6 74 , 9 7 0 50 4 , 3 7 9 17 C a s h W o r k i n g C a p i t a l F a c t o r Re c o r d s 7. 7 1 2 3 % 7.7 1 2 3 % 7. 7 1 2 3 % 7.7 1 2 3 % 7.7 1 2 3 % 7. 7 1 2 3 % 7.7 1 2 3 % 7.7 1 2 3 % 7.7 1 2 3 % 7. 7 1 2 3 % 7.7 1 2 3 % 18 C a s h W o r k i n g C a p i t a l Ln 1 5 . L n 1 7 12 4 , 5 1 9 46 , 8 9 3 5,9 1 4 2,3 1 7 24 , 0 4 4 66 9 5,7 8 2 38 , 8 9 9 19 M i n i m u m B a n k B a l a n c e Re c o r d s 32 , 4 9 2 12 , 2 3 6 1,5 4 3 60 5 6,2 7 4 17 5 1,5 0 9 10 , 1 5 0 20 W o r k i n g C a s h A d v a n c e s Re c o r d s 21 To t a l C a s h W o r k i n g C a p i t a l 15 7 , 0 1 0 59 , 1 3 0 7,4 5 7 2, 9 2 2 30 , 3 1 8 84 4 7,2 9 1 49 , 0 5 0 22 D i s t r i b u t i o n o f L i n e 2 0 Ln 2 1 / 2 1 a 10 0 . 0 0 0 0 % 37 . 6 5 9 7 % 4. 7 4 9 4 % 1.8 6 1 0 % 19 . 3 0 9 3 % 0.5 3 7 4 % 4. 6 4 3 4 % 31 . 2 3 9 8 % Pro p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s i o n 3. 2 21 0 1 2 3 Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 St u d y Y e a r : 2 0 0 6 LN DE S C R I P T I O N SO U R C E 1 A V E R A G E N E T I N V E S T M E N T 2 A S S U M E D R A T E O F R E T U R N F O R E S T I M A T I N G T A X R A T E 3 R E T U R N O N I N V E S T M E N T 4 F I T I N C O M E A D J U S T M E N T ( F R O M C O S T S T U D Y ) 5 I N V E S T M E N T T A X C R E D I T A M O R T I Z A T I O N 6 A F T E R T A X I N C O M E B E F O R E T A X C R E D I T S 7 F I T B E F O R E T A X C R E D I T S ( M U S T E Q U A L L N 1 7 ) 8 T A X B L E I N C O M E 9 F I T O N $ 0 t o $ 5 0 , 0 0 0 ~ 1 5 % 10 F I T O N $ 5 0 , 0 0 0 t o $ 7 5 , 0 0 0 4 l 2 5 % 11 F I T O N $ 7 5 , 0 0 0 t o $ 1 0 0 , 0 0 0 1 i 3 4 % 12 F I T O N $ 1 0 0 , 0 0 0 t o $ 3 3 5 , 0 0 0 1 i 3 9 % 13 F I T O N $ 3 3 5 , 0 0 0 t o $ 1 0 , 0 0 0 , 0 0 0 4 l 3 4 % 14 F I T O N $ 1 0 , 0 0 0 , 0 0 0 t o $ 1 5 , 0 0 0 , 0 0 0 4 l 3 5 % 15 F I T O N $ 1 5 , 0 0 0 , 0 0 0 t o $ 1 8 , 3 3 3 , 3 3 3 4 l 3 8 % 16 F I T O N O V E R $ 1 8 , 3 3 3 , 3 3 3 Ii 35 % 17 T O T A L T A X B L E I N C O M E / F I T B E F O R E T A X C R E D I T S 18 E F F E C T I V E F I T T A X R A T E ,L n 1 ,L n 4 Ln 1 a " 2 15 % 25 % 34 % 39 % 34 % 35 % 38 % 35 % LN s 9 . . 1 6 Pr o p r i e t a r y In f o r m a t i o n Ta x a b l e TO T A L 4, 3 5 6 , 3 2 9 11 . 1 4 7 1 % 48 5 , 6 0 5 98 , 4 5 2 38 7 , 1 5 3 13 3 , 3 5 4 52 0 , 5 0 7 50 , 0 0 0 25 , 0 0 0 25 , 0 0 0 23 5 , 0 0 0 18 5 , 5 0 7 52 0 , 5 0 7 TA X FO R M IN C O M E TA X TO T A L I S u r T a x 7,5 0 0 6,2 5 0 8,5 0 0 91 , 6 5 0 63 , 0 7 2 17 6 , 9 7 2 34 . 0 0 0 0 % S- 1 7 5,0 0 0 11 , 7 5 0 16 , 7 5 0 10 0 , 0 0 0 55 0 , 0 0 0 Mo s s A d a m s , L L P Ve r s l o n 3 . 2 .. 4/2 8 / 2 0 0 8 ' . . 22 o f 23 . 4/2 8 / 2 0 0 8 , Ru r a l T e l e p h o n e C o m p a n y - I d a h o St u d y A r e a : 4 7 2 2 3 3 DIS T R I B U T I O N R A T I O S F O R R A T E B A S E A N D E X P E N S E S S- 1 8 St u d y Y e a r : 2 0 0 6 PL AL L O C A T I O N R A T I O S (e ) I rh ) (I) ül (k ) (I ) Ca p i t a l In v e s t m e n t S u m m a r ' Ge n e r a l S u p p o r t F a c i l i t i e s 21 1 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % CO E S w i t c h i n g E q u i p m e n t 22 1 0 10 0 . 0 0 0 0 % 85 . 0 0 0 0 % 15 . 0 0 0 0 % Op e r a t o r S y s t e m s E q u i p m e n t 22 2 0 CO E T r a n s m i s s i o n E q u i p m e n t 22 3 0 10 0 . 0 0 0 0 % 30 . 1 8 4 2 % 14 . 8 6 9 2 % 2. 2 6 0 5 % 23 . 1 5 8 6 % 0.1 9 8 9 % 9. 7 1 5 8 % 19 . 6 1 2 8 % In f o r m a t i o n O r i g l e r m E q u i p m e n t 23 1 0 Ca b l e & W i r e F a c i l i t i e s 24 1 0 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0. 5 9 5 5 % 2. 2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4.0 1 0 6 % 42 . 3 5 2 4 % Ta n g i b l e A s s e t s 28 8 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % In t a n g i b l e A s s e t s 28 9 0 To t a l P l a n t i n S e r v i c e A l e 2 0 0 1 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Pr o p e r t y H e l d f o r F u t u r e U s e 20 0 2 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Pl a n t U n d e r C o n s t r u c t i o n 20 0 3 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Te l e p h o n e P l a n t A d j u s t m e n t 20 0 5 To t a l P r o p e r t y , P l a n t a n d E q u i p m e n t 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Ac c u m u l a t e d D e p r e c i a t i o n ~ P l a n t i n S e r v i c e 31 0 0 10 0 . 0 0 0 0 % 39 . 9 8 5 0 % 4. 9 6 9 8 % 1.7 5 3 9 % 17 . 8 5 9 1 % 0.4 8 8 6 % 4. 8 0 5 6 % 30 . 1 3 8 0 % Ac c u m u l a t e d D e p r e c i a t i o n ~ P r o p e r t y h e l d f o r F u t u r e U s e ) 32 0 0 Ac c u m u l a t e d A m o r t i z a t i o n ~ T a n g i b l e P r o p e r t y 34 0 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Ac c u m u l a t e d A m o r t i z a t i o n ~ I n t a n g i b l e P r o p e r t y 35 0 0 Ac c u m u l a t e d A m o r t i z a t i o n ~ T e l e p h o n e P l a n t A d j u s t m e n t ~~ ~ I 10 0 . 0 0 0 0 % I 3.8 5 8 2 % I -I -I 0.7 5 9 1 % I De f e r r e d O p e r a t i n g T a x e s 35 . 0 1 5 4 % 1.9 7 6 9 % 20 . 1 0 7 2 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Ot h e r L o n g T e r m L i a b i l t i e s 43 1 0 Oth e r D e f e r r e d C r e i t s 43 7 0 1 :1 Cu s t o m e r D e p o s i t s 10 0 . 0 0 0 0 % I 35 . 0 1 5 4 % 3. 8 5 8 2 % 1 1.9 7 6 9 % :1 20 . 1 0 7 2 % 0.7 5 9 1 % I 4. 8 2 2 3 % 33 . 4 6 0 9 % Ne t T e l e p h o n e P l a n t 10 0 . 0 0 0 0 % 28 . 8 4 3 4 % 2.3 7 2 3 % 2.2 5 9 4 % 22 . 9 5 2 7 % 1.1 0 1 6 % 4.8 0 6 5 % 37 . 8 6 4 1 % In v e s t m e n t A l l o w / D i s a l l o w Ac c u m D e p r / A m o r t A l l o w / D i s a l l o w Ma t e r i a l s a n d S u p p l i e s 12 2 0 1 10 0 . 0 0 0 0 % I 26 . 5 2 8 5 % 0. 5 9 5 5 % I -I 2.2 7 8 5 % -I 23 . 1 1 3 2 % 1. 1 2 1 4 % I 4.0 1 0 6 % 42 . 3 5 2 4 % In v e s t m e n t i n N o n a f f i l i a t e d C o m p a n i e s 14 0 2 Eq u a l A c c s s E q u i p m e n t 14 3 9 Oth e r J u r i s d i c t i o n a l A s s e t s =1 Ca s h W o r k i n g C a p i t a l 10 0 . 0 0 0 0 % I 37 . 6 5 9 7 % 4. 7 4 9 4 % 1 :1 1.8 6 1 0 % :1 19 . 3 0 9 3 % 0. 5 3 7 4 % I 4.6 4 3 4 % 31 . 2 3 9 8 % Ne t T e l e p h o n e P l a n t , M & S a n d C W C 10 0 . 0 0 0 0 % 28 . 9 5 8 1 % 2.4 5 5 6 % 22 4 5 5 % 22 . 8 2 6 0 % 1. 0 8 1 8 % 4.8 0 0 5 % 37 . 6 3 2 4 % Op e r a t i n g E x p e n s e s a n d T a x e s S u m m a r ) Ne t w o r k S u p p o r t 81 1 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % Ge n e r a l S u p p o r t 81 2 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1. 9 7 6 9 % 20 . 1 0 7 2 % 0. 7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % Ce n t r a l O f f i c e 82 1 0 10 0 . 0 0 0 0 % 49 . 8 0 9 5 % 9. 5 4 5 7 % 1. 4 5 1 2 % 14 . 8 6 7 3 % 0. 1 2 7 7 % 6.2 3 7 3 % 17 . 9 6 1 3 % In f o r m a t i o n O r i g l T e r m 83 1 0 Ca b l e a n d W i r e F a c i l i t i e s 84 1 0 10 0 . 0 0 0 0 % 26 . 5 2 8 5 % 0. 5 9 5 5 % 2. 2 7 8 5 % 23 . 1 1 3 2 % 1.1 2 1 4 % 4.0 1 0 8 % 42 . 3 5 2 4 % Oth e r Pl a n t 85 1 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3. 8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 6 0 9 % Ne t w o r k O p e r a t i o n s 65 3 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4.8 2 2 3 % 33 . 4 8 0 9 % Ac c s s C h a r g e 65 4 0 Fe d e r a l S u p p o r t 85 4 0 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % Ma r k e t i n g 88 1 0 10 0 . 0 0 0 0 % 10 0 . 0 0 0 0 % Cu s t o m e r S e r v i c e 88 2 0 10 0 . 0 0 0 0 % 19 . 1 7 6 7 % 2.2 0 7 2 % 26 . 2 6 8 6 % 52 . 3 4 7 5 % Co r p o r a t e O p e r a t i o n s ~ E x e c u t i v e a n d P l a n n i n g 87 1 0 10 0 . 0 0 0 0 % 37 . 6 5 4 % 5.1 4 0 1 % 1.8 4 3 3 % 19 . 2 3 8 6 % 0.4 7 4 5 % 4. 6 7 8 4 % 30 . 9 7 0 8 % Co r p o r a t e O p e r a t i o n s - G e n e r a l a n d A d m i n i s t r a t i v e 87 2 0 10 0 . 0 0 0 0 % 41 . 8 1 3 3 % 4.7 9 7 2 % 1.7 2 0 3 % 17 . 9 5 5 2 % 0.4 4 2 9 % 4. 3 6 6 3 % 28 . 9 0 4 8 % Su b t o t a l O p e r a t i o n s E x p e n s e 10 0 . 0 0 0 0 % 36 . 1 0 5 8 % 5.4 4 0 9 % 1.9 1 4 3 % 19 . 7 9 9 4 % 0.4 2 6 4 % 4. 8 9 9 9 % 31 . 4 1 3 4 % De p r e c i a t i o n a n d A m o r t i z a t i o n 85 8 0 10 0 . 0 0 0 0 % 29 . 1 9 4 5 % 6.8 1 3 0 % 2.1 7 4 5 % 22 . 1 4 4 2 % 0.2 5 8 0 % 5.7 1 5 3 % 33 . 7 0 0 4 % Oth e r O p e r a t i n g 72 4 0 10 0 . 0 0 0 0 % 35 . 0 1 5 4 % 3.8 5 8 2 % 1.9 7 6 9 % 20 . 1 0 7 2 % 0.7 5 9 1 % 4. 8 2 2 3 % 33 . 4 6 0 9 % Eq u a l A c c e s s Fix e d C h a r g e s 75 0 0 10 0 . 0 0 0 0 % 28 . 8 4 3 4 % 2.3 7 2 3 % 2.2 5 9 4 % 22 . 9 5 2 7 % 1.1 0 1 6 % 4. 8 0 6 5 % 37 . 8 6 4 1 % Re n t R e v e n u e 52 4 0 To t a l O p e r a t i n g E x p e n s e a n d T a x 10 0 . 0 0 0 0 % 36 . 0 6 2 4 % 5.3 7 7 9 % 1.9 1 6 8 % 19 . 8 1 1 6 % 0.4 3 9 6 % 4.8 9 6 8 % 31 . 4 9 4 9 % No n o p e r a t i n g E x p e n s e 73 7 0 Ab a n d o n e d C o n s t r u c t i o n 7J ~ I Co n t r i b u t i o n s 10 0 . 0 0 0 0 % i 40 . 7 0 2 8 % 4.8 8 8 7 0 / : I 1. 7 5 3 2 % -I 18 . 2 9 7 9 % 0. 4 5 1 3 % I 4.4 4 9 7 % 29 . 4 5 6 4 % Oth e r N o n o p e r a t i n g 10 0 . 0 0 0 0 0 / : All o w a n c e f o r F u n d s U s e d D u r i n g C o n s t r u c t i o n 35 . 0 1 5 4 % 3. 8 5 8 2 % 1. 9 7 6 9 % -I 20 . 1 0 7 2 % 0.7 5 9 1 % I 4.8 2 2 3 % 33 . 4 6 0 9 % Oth e r I n c o m e A d j u s t m e n t s )( Pro p r i e t a r y I n f o r m a t i o n Mo s s A d a m s , L L P Ve r s o n 3 . 2 23 o f 2 3