COC DADCO-August-21-2009.pdf

Please refer to pages 9-10 of this report for detailed disclosure and certification information.
Institutional Equity Research

IDACORP, INC.
August 21, 2009 IDA – NYSE

Rating:
NEUTRAL

Price: (8/21/09) $29.05

Price Targets:
12-18 month: $29 ↑
5-year: $36 ↑

Industry:
Utilities

James L. Bellessa, Jr., CFA
406.791.7230
[e-mail]

Company Description:
Boise, ID -- IDACORP, Inc. is the holding
company for the Idaho Power Company, an
electric public utility that serves an
approximate 24,000 square mile area in
Southern Idaho and Eastern Oregon. Non-
regulated subsidiaries include an affordable
housing project finance company and an
operator of small hydroelectric generation
projects.

FY (Dec) 2008A 2009E Y-O-Y
Growth 2010E Y-O-Y
Growth
Revenue ($M) $960.4 $1,008.3 5% $1,098.3 9%
Previous - $1,033.9 $1,074.5
Price/Revenue ratio 1.4x 1.4x 1.3x
EPS Revised $2.13 $2.34 10% $2.39 2%
Previous - $2.20 NC
Price/EPS ratio 13.7x 12.4x 12.2x
EBITDA ($M) $315.0 $341.7 8% $372.6 9%
EV/EBITDA ratio 8.9x 8.2x 7.5x

Quarterly Data: EPS EPS Revenue Revenue EBITDA
Previous ($M) Previous ($M)
3/31/09A $0.40 - $228.6 - $73.7
6/30/09A $0.58 $0.45 $243.6 $254.1 $77.8
9/30/09E $1.06 $1.09 $303.8 $313.5 $118.3
12/31/09E $0.30 $0.26 $232.3 $237.7 $71.9
Valuation Data Trading Data
Long-term growth rate (E) 5% Shares outstanding (M) 47.3
Total Debt/Cap (6/30/09) 52.2% Market Capitalization ($M) $1,373
Cash per share (6/30/09) $0.34 52-week range $20.91 - $33.89
Book value per share (6/30/09) $28.06 Average daily volume (3 mos.) (K) 172
Dividend (yield) $1.20 (4.1%) Float 97%
Return on Equity (T-T-M) 8% Index Membership S&P 400 MidCap

Raising 2009 Estimate on Positive 2Q’09 Earnings Variance.
Raising Target Price and Maintaining NEUTRAL Rating.
• IDACORP reported 2Q'09 EPS of $0.58 on August 6th, up 50% from $0.39 in
2Q'08. Our forecast matched the $0.45 consensus estimate of five analysts.
• Positive regulatory outcomes. Quarterly results were helped by a number of
regulatory decisions over the past year, but held back by both the weather (mild
temperatures and above-average moisture) and the recession, which combined to
push down retail volumes by 8%.
• Our 2009 EPS forecast is being raised from $2.20 to $2.34, largely to reflect
the 2Q’09 positive earnings variance and to factor in lower customer growth and
reduced sales due to the recession.
• We are maintaining our 2010 EPS estimate of $2.39. We expect results will
be helped by an improving economy, as well as a boost from new Oregon and
(possibly) Idaho general rate cases that should be filed later this year. A likely
higher tax rate and absence of 2009’s one-time Oregon PCA deferral benefit will
create a headwind to next year’s earnings advance.
• We are raising our 12-18 month target price from $24 to $29, or ~12x
(previously ~10x) our 2010 EPS estimate, to reflect the rally in power stocks.
Given the current share price, we are maintaining a NEUTRAL rating for total
return investors, including a 4.1% current yield.
• Pending item. Before the end of August, we would expect Idaho Power will file
a Notice of Intent for a new rate case in Idaho. A 12-month realized utility ROE
of 8.3% is still well below the allowed 10.5% due to lingering regulatory lags.
D.A. Davidson & Co.
2
Price Chart
Source: Thomson One
D.A. Davidson & Co.
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On August 6th, IDACORP reported 2Q'09 EPS of $0.58. EPS was up 50% from $0.39 in
2Q'08, which included a $0.04 per share gain from the sale of Southwest Intertie Project
rights-of-way.

The company’s principal subsidiary, the Idaho Power Company (IPC), reported 2Q’09 EPS of
$0.56, compared to our forecast of $0.44 and the year ago amount of $0.39. Non-regulated
activities produced a 2Q’09 profit of $0.02 per share, versus near breakeven results a year ago
and our forecast of $0.01.

Quarterly results were helped by a number of regulatory decisions over the past year,
improved generation conditions, and a lift in coal operations. However, results were held
back by both the weather (mild temperatures and above-average moisture) and the recession,
which combined to push down retail volumes by 8%, as well as by reduced transmission
revenues due to lowered FERC tariffs effective in January 2009.

A reduction in IDACORP’s quarterly tax rate to 15.8% from 30.7% a year ago also came into
play during 2Q’09. The tax rate reduction occurred due to the adoption of the 2009 federal
bonus deprecation provisions by the state of Idaho and the settlement of the 2006 Internal
Revenue Service examination. Had the tax rate been at our forecasted 26.0% estimate, EPS
would have been $0.07 lower. We believe that headwinds for EPS improvements could be
created as the company returns to a more normal range for the effective tax rate next year.

The various components of year-over-year changes in 2Q’09 pre-tax income and after-tax
income on an absolute and per share basis from a year ago are reconciled in Table 1.

Table 1: Reconciliations of 2Q’09 Earnings Changes
($ in millions; shares in 000) Avg. Shares
$17.5 45,096
Improved Generating Conditions And Regulatory Changes 11.9
Reduced Sales Volumes, Net Of Cost Adjustment Mechanism -10.2
Change In Distribution Of Base Net Power Supply Costs 6.5
Oregon 2007 Excess Power Cost Deferral Order 6.4
Reduced Transmission Revenues -1.7
Improved Results At Bridger Coal Company 0.4
Gain On The Sale Of The Southwest Intertie Project -3.0
Other Items and Adjustments for Income Tax: -1.7
$8.6
1.4
$27.5 46,977
(Per share figures are in $ )
$0.39 $0.39
Pre-tax After-tax*
Improved Generating Conditions And Regulatory Changes $0.25 $0.20
Reduced Sales Volumes, Net Of Cost Adjustment Mechanism ($0.22) ($0.17)
Change In Distribution Of Base Net Power Supply Costs $0.14 $0.11
Oregon 2007 Excess Power Cost Deferral Order $0.14 $0.11
Reduced Transmission Revenues ($0.04) ($0.03)
Improved Results At Bridger Coal Company $0.01 $0.01
Gain On The Sale Of The Southwest Intertie Project ($0.06) ($0.05)
Other Items and Adjustments for Income Tax Per Share: ($0.04)
$0.18 $0.17
$0.02 $0.02
$0.58 $0.58
Source: Company reports; D.A. Davidson per share calculations
Figures may not total or exactly coincide with the text in the report due to rounding.
* IPC results tax effected at overall 2Q'09 utility tax rate of 22.6%; non-regulated shown net of segment tax.
2Q'08 Net Income
Change In Idaho Power (IPC) Pre-Tax Income:
Total After-tax Increase To IPC Net Income
Other Non-Regulated Net Increases (Shown Net Of Tax)
Other Non-Regulated Net Increases (Shown Net Of Tax)
2Q'09 Net Income
2Q'09 Net Income
2Q'08 Net Income Per Share
Change In Idaho Power (IPC) Pre-Tax Income Per Share:
Total After-tax Increase To IPC EPS Contribution

EPS Jumps 50%
D.A. Davidson & Co.
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Positive changes in the power cost adjustment (PCA) regulatory mechanisms in Idaho and
Oregon bolstered 2Q’09 results. A May 2008 Idaho Public Utility Commission order that
changed the PCA distribution methodology used to report net base power supply costs pushed
up the pretax income comparison $6.5 million ($0.08 per share using the utility’s normalized
tax rate, or $0.11 using the actual 2Q’09 reported utility tax rate of 22.6%). Comparability of
quarterly earnings due to last year’s PCA mechanism change in Idaho should be easier in the
future.

A May 2009 Oregon Public Utility Commission stipulation allowed the deferral of
$6.4 million in excess power supply costs, which increased pre-tax earnings in the quarter by
$6.4 million, or $0.08 per share (using the utility’s normalized tax rate and by $0.11 using the
actual quarterly reported utility tax rate of 22.6%). The Oregon boost was a one-time event
which will not repeat again in 2010.

General business electric revenues of $198 million in the recent quarter increased 5% from
$189 million a year ago. The $9 million improvement in general business revenues was
driven primarily by rate relief put into place over the past year and improved hydro
conditions, but were partially offset by the aforementioned 8% reduction in sales volumes.
Retail base rates are up in the past year due to a 4.0% general rate increase for Idaho
customers effective January 1, 2009, an 11.5% rate increase for Oregon customers due to the
annual power cost update, and a 10.2% increase for Idaho customers due to the annual power
cost adjustment in that state.

The utility pointed primarily to weather conditions to explain the 8% decline in retail power
demand, as mild temperatures brought 22% fewer heating degree days and relatively heavy
precipitation levels brought a 19% decrease in demand from irrigation customers. When
compared to these factors, the slow economy played just a minor role in slackening demand.

The company’s non-regulated businesses and holding company activity produced earnings of
$0.02 per share in 2Q’09, compared to results just below break-even in 2Q’08. The Holding
Company posted a loss of $0.01, versus a loss of $0.04 a year ago. Last year’s loss from this
segment was inflated by a jump in intra-period tax allocations, which were reversed in 2H’08.

Our 2009 EPS forecast is being raised from $2.20 to $2.34 to largely reflect the 2Q’09
positive earnings variance and to factor in lower customer growth and reduced sales due to the
recession. Our 3Q’09 estimate has been taken down moderately and our 4Q’09 forecast has
moved up moderately to reflect the February 1, 2009 IPUC ordered change in the monthly
allocation of base net power supply costs to a method using monthly general business sales
volumes.

We are maintaining our 2010 EPS estimate of $2.39. We expect results will be helped by an
improving economy, as well as a boost from new Oregon and (possibly) Idaho general rate
cases that should be filed later this year. A likely higher tax rate and absence of the one-time
Oregon PCA deferral benefit will create a headwind to next year’s earnings advance.

We are raising our 12-18 month target price from $24 to $29, or ~12x (previously ~10x) our
2010 EPS estimate. While the target multiple is below IDACORP’s median multiple of 14.8x
price-to-year-forward EPS estimates over the past decade, it is generally in line with the
current average 2010 valuation in our coverage list stemming from a stock market rally.
Given the current share price, we are maintaining a NEUTRAL rating for total return
investors, including a 4.1% current yield.

Rate relief boosts revenues
Raising 2009 EPS Estimate;
Maintaining 2010

Raising Target Price
Maintaining Rating
D.A. Davidson & Co.
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IDACORP 2009-2011 CAPITAL SPENDING BUDGET

($ in millions) 2009E 2010-2011E
Capital Requirements for Regulated Operations
Ongoing Capital Expenditures $150-155 $360-$375
Advanced Metering Infrastructure 20-22 40-50
Major Projects 50-53 85-95
Minimum Transmission for Baseload Resource - 15-20
Total Capital Expenditures $220-230 $500-540
* Boardman-Hemingway Line: New 500 kV transmission line between Boardman, Oregon and Hemingway,
Idaho. The project is expected to relieve existing congestion by increasing transmission capacity and improving
reliability, with the initial project phase estimate of $50 million being funded by Idaho Power. Cost estimates for
the project (including initial phase project estimate and construction costs of the line) are approximately $600
million. Idaho Power is seeking partners for up to 50% of the project when construction commences. The
estimated in-service date has been delayed from 2013 to 2015 subject to siting, permitting and regulatory
approvals. Siting and permitting costs associated with this project are included in the 2009-2011 CapEx budget.
* Gateway West Project: Joint venture with PacifiCorp to build transmission lines between Douglas, Wyoming
and Hemingway, Idaho. Initial phases of the project could be completed by 2014 depending on the timing of
rights-of-way acquisition, siting and permitting, and construction sequencing. Although siting and permitting
costs associated with the project are included in the utility's 2009-2011 forecast, the full construction cost
estimate of $500-600 million is not included.
* Langley Gulch Power Plant (2012 Baseload Resource): 300 MW natural gas-fired facility which the utility
now hopes to be operational by June 2012 at an estimated cost of $427 million. Construction of the facility is
subject to approval from the Idaho Public Utilities Commission (IPUC). A decision from the IPUC is expected in
the third quarter of 2009, and if the CPCN is issued and the utility is able to secure financing on acceptable
terms, they expect to begin construction in mid-2010, with $50-$55 million being spent during 2009 on the
project.
* Hemingway Station: New 500 kV station needed to meet growth, capacity and operating constraints at an
estimated total cost of $52 million. The station was originally part of the Gateway West Project but was
accelerated to 2010 to meet forecast deficits and improve reliability.
* Hemingway-Bowmont Transmission Line: Part of the Hemingway Station Project, expected to provide
power to the Treasure Valley in southwest Idaho by 2010 at an estimated total cost of $15 million.
Notes to Capital Expenditures Plan
Major projects included in IDACORP's capital expenditure forecast include:
Major projects not included in IDACORP's capital expenditure forecast include:
Source: Company reports

D.A. Davidson & Co.
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REGULATORY RATE CASE SUMMARY

Revenue
Increase
Average Rate
Base
Return on
Equity
Return on
Rate Base Equity Ratio
Application, July 2009 $7.3 (+22.6%) $111 11.25% 8.68% 49.80%
2009-2010 Idaho Power Cost Adjustment 2
Application, April 2009 $93.8 (+11.4%)
Revised & Approved, May 2009 $84.3 (+10.2%)
Oregon Annual Power Cost Update 3
Requested & Approved, May 2009 $3.9 (+11.46%)
Application, June 2008 $66.6 (+9.9%) $2,093 11.25% 8.55% 49.27%
Approved, January 2009 $20.9 (+3.1%) $2,094 10.5% 8.18% 49.27%
Revised, March 2009 $27.0 (+4.0%) $2,094 10.5% 8.18% 49.27%
FERC Open Access Transmission Tariff Case 5
Application, March 2006 $11.0 11.25%
Approved, January 2009 (appealed) $6.8 10.7%
Application, June 2007 $64 (+10.35%) 11.5% 8.10%
Approved, February 2008 $32.1 (+5.2%)
6 The 2007 Idaho general rate case was decided under a "black box" settlement agreement. Therefore, no data is given for line items including allowed ROE, rate
base, etc.
Notes to Regulatory Summary
4 As part of the 2008 general rate case, ongoing finance costs of ~$10 million (allowance for funds used during construction (AFDUC)) for the relicensing of the
Hells Canyon Project were allowed in rate base for the first time since the company’s relicensing efforts started ten years earlier in order to support cash flows for
the utility’s credit rating purposes (but not profits), even though the company’s relicensing efforts are still ongoing. Also included in the rate case were a
lowering of the load growth adjustment rate (LGAR) from $28.14/MWh to $26.63/MWh, and a new residential tiering rate schedule was enacted.
($ in millions)
2008 Idaho General Rate Case 4
2007 Idaho General Rate Case 6
5 The new OATT calculation allowed the utility to move from a fixed rate to a formula rate which would be updated annually. The Administrative Law Judge's
(ALJ) initial decision required refunds of $5.4 million. On appeal, the ALJ’s initial decision was upheld in most respects and Idaho Power was required to
reduce its rates to FERC jurisdictional customers and refund $13.3 million to these customers for the period since the new rates went into effect in June 2006.
The utility has filed a request for rehearing with the FERC.
2 The PCA mechanism is a pass-through mechanism and does not contain a profit component. It provides annual adjustments to rates by tracking differences
between actual net power supply costs and power supply costs recovered in retail rates. Although Idaho Power's original 2009 PCA request was for a rate
increase of $93.8 million (+11.4%), the utility subsequently revised its request based upon its updated operating plan, to approximately $84.3 million (+10.2%)
and the revised request was approved. The 2009-2010 PCA reflects a new methodology that utilizes Idaho Power's most recent operating plan to forecast power
supply expenses rather than the previous method (based on a forecast of Brownlee Reservoir inflow and a regression formula). The PCA mechanism provides
that 95% of deviations in power supply costs are reflected in Idaho Power’s rates for both the forecast and the true-up components. The significant size of this
PCA filing includes a true-up for higher than projected power costs last year as well as higher expected costs in the coming year.
3 In addition to granting Idaho Power's APCU, the OPUC issued an order on May 28, 2009 adopting a stipulation in the utility's net power supply deferral. The
deferral was granted in anticipation of higher than normal power supply expenses (Idaho Power's forecast of excess power supply costs in its Oregon jurisdiction
equaled $5.7 million) due to below-normal hydrogeneration. Under current rules, the $5.7 million deferral will not be collected until after power supply cost
deferrals from older periods have been recovered.
2009 Oregon General Rate Case 1
1 Approximately $3.7 million the requested increase is attributable to capital additions made since the utility's last Oregon rate case (2003), $2.1 million due to
higher expenses, and $1.5 million explained by the company's request for a higher ROE (an ROE of 10.0% was approved in the last rate case in IPC's Oregon
jurisdiction. The OPUC is expected to issue a decision in this case by May 31, 2010.
Source: Company reports and regulatory filings

D.A. Davidson & Co.
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IDACORP, Inc.
Consolidated Balance Sheet
($ in thousands) -- Fiscal year ends 12/31 2004 2005 2006 2007 2008 6/30/2009
ASSETS:
Electric Plant:
In Service (At Original Cost) $3,324,816 $3,477,067 $3,583,694 $3,796,339 $4,030,134 $4,107,992
Accumulated Provision For Depreciation (1,316,125) (1,364,640) (1,406,210) (1,468,832) (1,505,120) (1,540,469)
In Service - Net $2,008,691 $2,112,427 $2,177,484 $2,327,507 $2,525,014 $2,567,523
Construction Work In Progress 152,427 149,814 210,094 257,590 207,662 201,155
Held For Future Use 2,636 2,906 2,810 3,366 6,318 6,653
Other Property, Net Of Accum. Depreciation 45,708 29,294 28,692 28,089 19,171 19,157
Property, Plant And Equipment - Net $2,209,462 $2,294,441 $2,419,080 $2,616,552 $2,758,165 $2,794,488
Investments And Other Property $223,061 $191,593 $202,825 $201,085 $198,552 $193,548
Current Assets:
Cash And Cash Equivalents $23,403 $52,356 $9,892 $7,966 $8,828 $16,002
Receivables:
Customer 92,258 94,469 62,131 69,160 64,733 70,777
Allowance For Uncollectible Accounts (43,108) (33,078) (7,168) (7,505) (1,724) (1,247)
Employee Notes Receivable 3,523 2,951 2,569 2,128 179
Other 8,806 21,377 11,855 10,957 10,260 14,226
Energy Marketing Assets 9,203 23,859 12,069
Taxes Receivable 18,111 99
Accrued Unbilled Revenues 33,832 38,905 31,365 36,314 43,934 48,265
Materials And Supplies (At Avg. Cost) 28,008 30,451 39,079 43,270 50,121 51,251
Fuel Stock (At Average Cost) 6,539 11,739 15,174 17,268 16,852 23,331
Prepayments 30,035 17,876 9,308 9,371 10,059 9,493
Deferred Income Taxes 23,407 23,922 28,035 25,672 37,550 14,731
Regulatory Assets -- Derivatives 5,510 3,064
Refundable Income Tax Deposit 44,903 46,083
Other Current Assets 2,956 3,993 6,023 7,381 8,602
Assets Held For Sale 6,673 3,326
Total Current Assets $221,416 $297,520 $266,531 $266,707 $266,284 $255,530
Other Assets:
American Falls And Milner Water Rights $31,585 $31,585 $30,543 $29,501 $26,332 $24,747
Company-Owned Life Insurance 35,765 35,401 34,055 30,842 29,482 28,812
Energy Marketing Assets -- Long-Term 16,635 22,189
Regulatory Assets Associated With Taxes 433,271 415,177 423,548 449,668 696,332 693,366
Long-Term Receivables 2,895 4,015 3,802 3,583 4,012 5,204
Other 60,082 46,239 43,670 55,370 43,686 46,981
Assets Held For Sale 25,966 21,076
Total Other Assets $580,233 $580,572 $556,694 $568,964 $799,844 $799,110
Total Assets $3,234,172 $3,364,126 $3,445,130 $3,653,308 $4,022,845 $4,042,676
CAPITALIZATION AND LIABILITIES:
Capitalization:
Shareholders' Equity:
Common Stock $589,440 $598,706 $638,799 $675,774 $729,576 $734,880
Retained Earnings 424,312 437,284 493,363 537,699 581,605 599,735
Other Comprehensive Income (888) (3,425) (5,737) (6,156) (8,707) (8,179)
Treasury Stock (4,578) (998) (2,242) (2) (37) (21)
Unearned Compensation (6,316)
Total Common Stock Equity $1,008,286 $1,025,251 $1,124,183 $1,207,315 $1,302,437 $1,326,415
Noncontrolling Interest 4,478 4,434 4,082
Preferred Stock
Long-Term Debt 979,549 1,023,545 928,648 1,156,880 1,183,451 1,283,570
Total Capitalization $1,987,835 $2,048,796 $2,052,831 $2,368,673 $2,490,322 $2,614,067
Current Liabilities:
Long-Term Debt Due Within One Year $78,603 $16,307 $95,125 $11,456 $86,528 $83,502
Notes Payable 36,270 60,100 129,000 186,445 151,250 79,099
Accounts Payable 79,156 80,324 86,440 85,116 96,785 66,038
Energy Marketing Liabilities 9,420 24,093 13,532
Taxes Accured 46,318 72,652 47,402 8,492
Interest Accrued 14,426 14,616 12,657 18,913 16,727 17,919
Uncertain Tax Positions 26,764 4,119
Other 21,265 19,577 23,572 38,129 40,259 44,069
Liabilities Held For Sale 5,916 2,606
Total Current Liabilities $285,458 $293,585 $410,334 $375,315 $395,668 $290,627
Other Liabilities:
Energy Marketing Liabilities -- Long-Term $16,635 $22,189
Derivative Liabilities -- Long-Term
Deferred Income Taxes 555,774 519,563 498,512 466,182 515,719 512,978
Regulatory Liabilities Associated With Income Taxes
Regulatory Liabilities - Pca
Regulatory Liabilities - Other 275,854 345,109 294,844 274,204 276,266 292,378
Other 112,616 124,833 179,836 168,934 344,870 332,626
Liabilities Held For Sale 10,051 8,773
Total Other Liabilities $960,879 $1,021,745 $981,965 $909,320 $1,136,855 $1,137,982
Total Capitalization And Liabilities $3,234,172 $3,364,126 $3,445,130 $3,653,308 $4,022,845 $4,042,676
Shares Outstanding (000's)42,217 42,632 43,834 45,063 46,920 47,264
Book Value per Share $23.88 $24.05 $25.65 $26.79 $27.76 $28.06
% of Total Capitalization
Long-Term Debt 49.3% 50.0% 45.2% 48.8% 47.5% 49.1%
Noncontrolling Interest/Preferred 0.0% 0.0% 0.0% 0.2% 0.2% 0.2%
Common 50.7% 50.0% 54.8% 51.0% 52.3% 50.7%
D.A. Davidson & Co.
8
IDACORP, Inc.
Consolidated Statements of Income
($ in thousands) -- Fiscal year ends 12/31 1Q08 2Q08 3Q08 4Q08 2008 1Q09 2Q09 3Q'09E 4Q'09E 2009E 2010E
REVENUES:
Electric Utility:
General Business $167,313 $188,748 $246,639 $181,611 $784,311 $187,927 $198,215 $260,846 $192,398 $839,387 $889,124
Off System Sales 33,363 25,641 34,637 27,789 121,430 28,530 26,667 26,430 29,423 111,050 155,723
Other Revenues 12,120 14,556 16,831 6,828 50,335 11,572 17,636 16,000 10,000 55,208 50,000
Total Electric Utility Revenues 212,796 228,945 298,107 216,228 956,076 228,029 242,518 303,276 231,821 1,005,644 1,094,848
Diversified Operations:
Other 644 1,281 1,609 804 4,338 545 1,116 500 500 2,661 3,500
Total Revenues $213,440 $230,226 $299,716 $217,032 $960,414 $228,574 $243,634 $303,776 $232,321 $1,008,305 $1,098,348
EXPENSES:
Electric Utility:
Purchased Power $45,299 $50,089 $79,513 $56,237 $231,138 $32,795 $25,091 $52,866 $39,517 $150,269 $230,629
Fuel Expense 37,237 28,681 46,467 37,018 149,403 39,133 24,475 42,459 38,250 144,317 164,227
Third Party Transmission Expense 497 1,903 906 1,776 2,000 1,000 5,682 6,000
Power Cost Adjustment (17,744) (829) (20,105) (8,735)(47,413)15,859 26,762 10,000 5,000 57,621 11,000
Total Power Supply $65,289 $79,844 $105,875 $84,520 $333,128 $88,693 $78,104 $107,325 $83,767 $357,889 $411,856
Other Operations And Maintenance 68,430 75,617 74,778 74,708 293,533 68,769 74,653 73,090 72,328 288,840 301,083
Energy Efficiency Programs 3,364 3,928 5,956 5,631 18,879 4,058 8,673 7,000 6,000 25,731 27,000
Gain On Sale Of Emission Allowances (346) (158)(504)(229) (60)(289) 0
Depreciation 25,750 26,617 25,717 24,001 102,085 25,963 26,832 27,500 28,000 108,295 112,000
Taxes Other Than Income Taxes 4,803 4,800 4,827 4,653 19,083 5,062 5,088 5,156 5,100 20,406 20,802
Total Electric Utility Expenses $167,636 $190,460 $216,995 $193,513 $766,204 $192,316 $193,290 $220,070 $195,195 $800,871 $872,741
Other Expenses 1,048 1,140 1,144 (286)3,046 623 872 900 1,200 3,595 5,000
Total Operating Expenses $168,684 $191,600 $218,139 $193,227 $771,650 $192,939 $194,162 $220,970 $196,395 $804,466 $877,741
OPERATING INCOME:
Electric Utility $45,160 $38,485 $81,112 $22,715 $187,472 $35,713 $49,228 $83,206 $36,626 $204,773 $222,106
Other Diversified Operations (404) 141 465 1,090 1,292 (78) 244 (400) (700)(934) (1,500)
Equity In Earnings Of Partnerships
Combined Operating Income $44,756 $38,626 $81,577 $23,805 $188,764 $35,635 $49,472 $82,806 $35,926 $203,839 $220,606
Total Other Income: 3,741 4,302 2,038 (6,250)3,831 6,921 4,058 2,950 2,950 16,879 17,000
Earnings Of Uncons. Eq-Method Inv. (4,036) (3,278) 2,642 675 (3,997)402 (2,620) (1,000) (1,000)(4,218) (4,000)
Total Other Expenses:
INTEREST EXPENSE AND OTHER:
Interest On Long-Term Debt $16,876 $15,744 $17,226 $17,404 $67,250 $16,640 $18,282 $18,500 $18,750 $72,172 $76,000
Other Interest 596 1,313 1,310 2,587 5,806 836 (117) 500 750 1,969 2,500
Total Interest Expense And Other $17,472 $17,057 $18,536 $19,991 $73,056 $17,476 $18,165 $19,000 $19,500 $74,141 $78,500
Income Before Income Taxes: 26,989 22,593 67,721 (1,761)115,542 25,482 32,745 65,756 18,376 142,359 155,106
Income Taxes: 5,584 6,941 15,809 (9,134)19,200 6,795 5,175 15,782 4,410 32,162 40,328
Tax Rate 21% 31% 23% 519%17%27% 16% 24% 24%23% 26%
Income From Continuing Operations $21,405 $15,652 $51,912 $7,373 $96,342 $18,687 $27,570 $49,975 $13,965 $110,197 $114,779
Losses From Disc. Ops. (Net Of Tax) 0 0 0 0 0 0 0 0 0 0
Net Income $21,405 $15,652 $51,912 $7,373 $96,342 $18,687 $27,570 $49,975 $13,965 $110,197 $114,779
Adjustment For Noncontrolling Interest 311 (40) (173) 71 169 197 (95) 50 50 202 400
Net Income Available For Common $21,716 $15,612 $51,739 $7,444 $96,511 $18,884 $27,475 $50,025 $14,015 $110,399 $115,179
Avg. Common Shares Outstanding (000) 45,004 45,096 45,194 46,027 45,330 46,876 46,977 47,177 47,477 47,127 48,277
Earnings Per Share (Diluted)$0.48 $0.35 $1.14 $0.16 $2.13 $0.40 $0.58 $1.06 $0.30 $2.34 $2.39
Dividends Per Common Share $0.30 $0.30 $0.30 $0.30 $1.20 $0.30 $0.30 $0.30 $0.30 $1.20 $1.20
Dividend Payout Ratio 62% 87% 26% 185%56%74% 51% 28% 102%51% 50%
EPS By Segment
Idaho Power Company $0.47 $0.39 $1.05 $0.17 $2.08 $0.41 $0.56 $1.04 $0.31 $2.32 $2.35
Idacorp Energy (0.00) (0.00) (0.00) (0.00)(0.00)(0.00) (0.00)
Ida-West Energy 0.00 0.02 0.03 0.00 0.05 0.00 0.03
Idacorp Financial 0.02 0.02 0.02 0.03 0.08 0.00 0.00
Holding Company (0.01) (0.04) 0.05 (0.03)(0.03)(0.02) (0.01)
Reported Eps, Diluted $0.48 $0.35 $1.14 $0.16 $2.13 $0.40 $0.58 $1.06 $0.30 $2.34 $2.39
D.A. Davidson & Co.
Two Centerpointe Drive, Suite 400 • Lake Oswego, Oregon 97035 • [phone] • [phone] • www.dadavidson.com
Copyright D.A. Davidson & Co., 2009. All rights reserved.
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Required Disclosures
D.A. Davidson & Co. expects to receive, or intends to seek, compensation for investment banking services from this company in the
next three months.
D.A. Davidson & Co. is a full service investment firm that provides both brokerage and investment banking services. James L.
Bellessa, Jr., CFA, the research analyst principally responsible for the preparation of this report, will receive compensation that is
based upon (among other factors) D.A. Davidson & Co.’s investment banking revenue. However, D.A. Davidson & Co.’s analysts are
not directly compensated for involvement in specific investment banking transactions.
I, James L. Bellessa, Jr., CFA, attest that (i) all the views expressed in this research report accurately reflect my personal views about
the common stock of the subject company, and (ii) no part of my compensation was, is, or will be, directly or indirectly, related to the
specific recommendations or views expressed in this report.

Ratings Information

D.A. Davidson & Co. Ratings Buy Neutral Underperform
Risk adjusted return potential Over 15% total return
expected on a risk adjusted
basis over next 12-18 months
>0-15% return potential
on a risk adjusted basis
over next 12-18 months
Likely to remain flat or lose
value on a risk adjusted basis
over next 12-18 months
Distribution of Ratings (as of 6/30/09) Buy Hold Sell
Corresponding Institutional Research Ratings Buy Neutral Underperform
and Distribution 46% 46% 8%
Corresponding Private Client Research Ratings Outperform Market Perform Underperform
and Distribution 91% 4% 4%
Distribution of Combined Ratings 51% 41% 8%
Distribution of companies from whom D.A. Davidson & Co. has received compensation for investment banking services in last 12 mos.
Institutional Coverage 2% 5% 6%
Private Client Coverage 0% 0% 0%
Distribution of Combined Investment Banking 2% 5% 6%

D.A. Davidson & Co.’s Institutional Research Rating Scale (maintained since 7/9/02): Buy, Neutral, Underperform
D.A. Davidson & Co.
Two Centerpointe Drive, Suite 400 • Lake Oswego, Oregon 97035 • [phone] • [phone] • www.dadavidson.com
Copyright D.A. Davidson & Co., 2009. All rights reserved.
10
Target prices are our Institutional Research Department’s evaluation of price potential over the next 12-18 months and 5 years, based
upon our assessment of future earnings and cash flow, comparable company valuations, growth prospects and other financial criteria.
Certain risks may impede achievement of these price targets including, but not limited to, broader market and macroeconomic
fluctuations and unforeseen changes in the subject company’s fundamentals or business trends.

Other Disclosures

Information contained herein has been obtained by sources we consider reliable, but is not guaranteed and we are not soliciting any
action based upon it. Any opinions expressed are based on our interpretation of data available to us at the time of the original
publication of the report. These opinions are subject to change at any time without notice. Investors must bear in mind that inherent
in investments are the risks of fluctuating prices and the uncertainties of dividends, rates of return and yield. Investors should also
remember that past performance is not necessarily an indicator of future performance and D.A. Davidson & Co. makes no guarantee,
express or implied, as to future performance. Investors should note this report was prepared by D.A. Davidson & Co.’s Institutional
Research Department for distribution to D.A. Davidson & Co.’s institutional investor clients and assumes a certain level of investment
sophistication on the part of the recipient. Readers, who are not institutional investors or other market professionals, should seek the
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before making any investment decisions. Further information and elaboration will be furnished upon request.