20210527Bulkley Exhibit 13.pdf

Case No. PAC-E-21-07
ExhibitNo. 13
Witness: Ann E. Bulkley
BEFORE TI{E IDAHO PUBLIC UTILITIES COMMISSION
ROCKY MOI.]NTAIN POWER
Exhibit Accompanying Direct Testimony of Ann B. B',lkley
Projected DCF Model
Mlay 2O2l
CAPITAL ASSET PRICING MODEL - CURRENT RISK.FREE RATE & VL BETA
K=Rf+px(Rm_R0
K = Rf + 0.25 x (Rm) + 0.75 x p x (Rm - R0
tll I2l t3l
Rocky Mountain Power
Exhibit No. 13 Page 1 of 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
t4t t5l t6l
Company Ticker
Cunent 3o-day
average of 3o-year
U.S. Treasury bond
yield
Market RiskMarket Premium CAPM ROE
Beta (9) Relum (Rm) (Rm - R0 (K)
ECAPM
RoE (K)
ALLETE, lnc.
Alliant Energy Corporation
Ameron Corporation
American Electric Power Company, lnc.
Avista Coporation
CMS Energy Corporation
OTE Energy Company
Ouk€ Enargy Corporation
Ent€rgy Corporation
Evergy, lnc.
NextEra Energy, lnc.
Northwestem Corporation
OGE Energy Corporation
Otter Tail Corporation
Pinnade West Capital Corporation
Porfand General Electric Company
Southem Company
Xcel Energy lrE.
ALE
LNT
AEE
AEP
CMS
DTE
DUK
ETR
EVRG
NEE
NWE
OGE
OTTR
PNW
POR
SO
XEL
2.3't%
2.31o/o
2.31%
2.31%
2.31%
2.31%
2.3',toh
2.31o/o
2.31o/o
2.31%
2.31%
2.31%
2.31%
2.31o/o
2.310A
231%
2.31%
2.31o/o
0.90
0.85
0.80
0.75
0.95
0.75
0.95
0.85
0.95
0.95
0.90
0.95
1.05
0.85
0.90
0.85
0.95
0.80
13.71%
13.71%
't3.710/o
13.71%
13.71%
13.71%
13.71%
13.71%
13.71%
13.71%
13.710h
13.71%
13.71%
13.71%
13.71%
13.71%
13.71%
13.71%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%,
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
11.40%
12.570h
12.00%
11.43%
10.86%
13.11%
10.86%
13.14%
12.00%
13.14%
13.11%
't2.57%
r3.14%
14.28%
12.00%
12_5704
12.00ofo
13.14%
'11.43%
12.85%
12.43%
12.00%
11.57%
13.28%
11.57%
13.28%
12.43%
13.29o/o
13.28%
12.85%
13.28%
14.14%
12.43o/o
12.55%
12.43%
13.28%
12.O0%
Mean 12.41% 12.73%
Notes:
[1] Sorce: Bloomberg Professional, as of March 31, 2021
[2] Source: Value Lire
[3] Sorce: Efiibit No. 13, page 4
[al Equals [3] - [11
[5] Equals [1] + [2] x [4]
[6] Equals [1] + 0.25 x ([4]) + 0.75 x ([2] r [al)
CAPITAL ASSET PRICING MODEL _ NEAR.TERM PROJECTED RISK.FREE RATE & VL BETA
K=Rf+gx(Rm_R0
K= Rf + 0.25x (Rm) + 0.75 r px(Rm - R0
Company Tic*er
3o-year U.S. Treasury
bond yield (O3 2021 -
o.32022)
Market RiskMarket Premium CAPM ROE
Beta (B) Retum (Rm) (Rm - Rf) (K)
ECAPM
ROE (K)
ALLETE, lnc.
Alliant Energy Corporation
Ameren Corporation
American Electric Power Company, lnc.
Avista Corporation
CMS Energy Corporation
OTE Energy Company
Duks Energy Corporation
Entergy Corporation
Evergy, lnc.
NextEra Energy, lnc.
Northwestem Corporation
OGE Energy Corporation
Otter Tail Corporation
Pinnacle West Capital Corporation
PortlaM Gen€ral Electric Company
South€m Company
Xcel Energy lnc.
ALE
LNT
AEE
AEP
AVA
CMS
DTE
OUK
ETR
EVRG
NEE
NWE
OGE
OTTR
PNW
POR
so
XEL
2.60%
2.60%
2.60%
2.60%
2.60%
2.600h
2.60%
2.60%
2.60%
2.60%
2_60%
2.60%
2.60%
2.600/0
2.60%
2.60%
2.60%
2.60%
0.90
0.85
0,80
0.75
0.95
0.75
0.95
0.85
0.95
0.95
0.90
0.95
1.05
0.85
0.90
0.85
0.95
0.80
13.7',t%
13.71%
13.71%
11 71
13.71%
13.71%
13.7104
13.71%
13.710h
13.71%
13.71%
13.71o/o
13.71%
13_71%
13.710h
13.71%
13.71%
13.71%
1r.11%
11.11%
11.l1%
11.11%
11.11%
11.11%
11.11o/o
11.11%
11.110h
11.'11%
11.11%
11.110h
11.11%
fi.11%
11.t1%
11.11%
11.11o/o
11.11%
12.60%
12.U%
11.49%
10.93%
13.15%
10.93%
13.15%
12.U%
13.15%
13.15%
12.60%
13.15%
14.26%
12.U%
12.60%
12.O4%
't3.15%
11.49%
't2.88%
12.46%
12.U%
11.63%
't3.29%
11.63%
13.290h
'12.46%
13.29%
13.29%
12.88%
13.29%
14.13%
12.46%
12.88%
12.46%
13.29%
12.Uo/o
Mean
40, No.4, April 1,2021,at2
'12.44% 12_76%
Notes:@
[2] Source: Value Line
[3] Source: bfiibit No. 13, page 4
[4] Equals [3] - [11
[sl Equals [1] + [2] x [41
[6] Equals [1] + 0-25 x ([4]) + 0.75 x ([2] x [4])
CAPITAL ASSET PRICING MODEL - LONG.TERM PROJECTED RISK-FREE RATE & VL BETA
K=Rf+px(Rm_R0
K = Rf + 0.25 x (Rm) + 0.75 x B x (Rm - R0
Rocky Mountain Power
Exhibit No. 13 Page 2 ol 12
Case No. PAC-E-21-07
Wtness: Ann E. Bulkley
t4l t5l l6lt1l l2l t3l
Projected 3o-year
U.S. Treasury bondCompany Ticker yield(2022-20261
Market RiskMarket Premium CAPM ROE
B€ta (P) Retum (Rm) (Rm - R0 (K)
ECAPM
ROE (K)
ALLETE, lnc.
Alliant Energy Corporation
Ameren Corporation
American Electric Power Company, lnc.
Avista Corporation
CMS Energy Corporation
DTE Energy Company
Ouke Energy Corporation
Entergy Corporation
Evergy, lnc.
NextEE Energy, lnc.
Northwestem Corporation
oGE Energy Corporation
Otter Tail Corporation
Pinnacle West Capital Corporation
Portland General Electric Company
Southem Company
Xcel Energy lnc.
0.90 w0.85 13.71o/o 10.91% 12.07% 12.48oh0.80 13.71o/o 10.91% 11.53% 12.07o/o0.75 13.71o/o 10.91% 10.98% 11.66%0.95 13.7104 10.91% 13.16% 13.30%0.75 13.71o/o 10.91% 10.98% 11.66%0.95 13.71% 10.91% 13.16% 13.30%0.85 13.71o/o 10.91% 12.07oh 12.48%0.95 13.71% 10.91% 13.16% 13.30%0.95 13.71% 10.91% 13.16% 13.30%0.90 13.71% 10.91% 12.62% 12.890h0.95 13.71% 10.91% 13.16% 13.30%1.05 13.710h 10.91% 14.25% 14.120/00.85 13.71% 10.91% '12.07o/o 12.48%0.90 13.71o/o 10.9'l% 12.62% 12.89o/o0.85 13.71o/o 10.9106 12.07o/o 12.48oh0-95 13.71o/o 10.91% 13.16% 13.30%0.80 13.71% 10.91% 11.53% 12.070h
ALE
LNT
AEE
AEP
AVA
CMS
DTE
DUK
ETR
EVRG
NEE
NWE
OGE
OTTR
PNW
POR
SO
XEL
2.800h
2.80%
2 800a
2.80%
2.80%
2.80%
2.80%
2.80%
2.80%
2.80%
2.80%
2_80%
2.80%
2.gooh
2.80o/o
2.80%
2.80%
2.80%
Mean 12.47% 12.7804
Notes:
@. 39. No. 12, December 1, zozo. at 14
[2] Source: Value Line
[3] Source: Exhibit No. 13, page 4
[al Equals [3] - [11
[5] Equals [1] + [2] x [41
[6] Equals [1] + 0.25 x ([4]) + 0.75 x ([2] x [4])
CAPITAL ASSET PRICING MODEL - CURRENT RISK-FREE RATE & BLOOMBERG BETA
K=Rf+px(Rm_R0
K = Rf + 0.25 x (Rm) + 0.75 x I x (Rm - Rf)
tll t2l t3l t4l t5l t6l
Company Ticker
Cunent 3Gday
average of 3o-year
U.S. Treasury bond
yield
Market RiskMarket Premium CAPM ROE
Beta (B) Retum (Rm) (Rm - Rf) (K)
ECAPM
ROE (K)
ALLETE, lnc-
Allianl Energy Corporation
Ameren Corporation
American Electric Power Company, lnc.
Avista Corporation
CMS Energy Corporation
DTE Energy Company
Ouke Energy Corporation
Entergy Corporataon
Evergy, lnc.
NextEra Energy, lnc.
Northwestern Comoration
OGE Energy Corporation
Otter Tail Corporation
Pinnacle West Capital Corporation
Portland General Electric Company
Southem Company
Xcel Energy lnc.
ALE
LNT
AEE
AEP
AVA
CMS
DTE
DUK
ETR
EVRG
NEE
NWE
OGE
OTTR
PNW
POR
SO
XEL
2.31%
2.31%
2.3'lo/o
2.31%
2.31%
2.31%
2.31%
2.3',t%
2.31%
2.31%
2.31%
2.31%
2.31%
2.31%
2.31%
2.31o/o
2.31%
2.3'lo/o
0.84
0.80
0.75
0.76
0.80
o.75
0.83
0.7'l
0.84
0.79
o.77
0.90
0.94
0.87
0.84
0.81
0.75
0.73
'13.71%
13.71o/o
'13.710h
13.71%
13.71o/o
13.71%
13.71%
13.71%
13.71%
13 71
13.71%
13.71%
13.71o/.
13.71%
13.71%
13.71%
13.71%
13.71%
11.40%
11.41o/o
11.40o/o
11.4oo/o
11.40o/o
11.40%
11.40%
11.40o/o
11.40%
11.400h
11.40%
11.4oo/o
11 400A
11.40%
11.40%
11.40%
11.40%
11.4oo/o
11,88%
11.410h
10.8'l%
10.95%
11.400/0
10.91%
11.42%
10.39%
11.U%
11.270h
't 1 100/n
12.59o/o
12.99%
12.27%
11 Us/"
11.58%
10.87%
10.66%
12.33o/"
11.98%
1'1.540h
11_64%
1'1.98%
11.61%
12.290h
11.22%
'12.310h
11.88%
11.760/0
12-87o/o
13.17%
12.63%
12.310h
't2.1',toa
11.58%
11.42%
Mean 11.48% 't2.O3%
Notes:
@h31,2021
[2] Source: Bloomberg Professional, as of March 3 1 , 2021
[3] Source: Exhibit No. I 3, pag€ 4
[4] Equals [3] - [1]
[sl Equals [1] + [2! x [al
[6] Equals [1] + 0.25 x ([4]) + 0.75 x ([2] x [4])
Rocky Mountain Power
Exhibit No. 13 Page 3 of 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
CAPITAL ASSET PRICING MODEL - NEAR.TERM PROJECTED RISK.FREE RATE & BLOOMBERG BETA
K=Rf+gx(Rm_R0
K = Rf + 0.25 x (Rm) + 0.75 x I x (Rm - R0
t1l 121 t3l t4l l5l 16t
ComPanY
Near-term proiected
3o-year U.S. Treasury
bond yield (O3 2021 -Ticker 0320221
Market RiskMarket Premium CAPM ROE ECAPM
Bera (B) R€tum (Rm) (Rm - R0 (K) ROE (K)
ALLETE, lnc.
Alliant Energy Corporation
Ameren Corporation
American Electric Powor Company, lnc,
Avista Corporation
CMS Enorgy Corporation
DTE En€rgy Company
Duke Energy Corporation
Entergy Corporation
Evergy, lnc.
NextEra Energy, lnc-
Nodhwestem Corporation
OGE Energy Corporation
Otter Tail Corporation
Pinnacle West Capital Corporation
Portland General Electric Company
Southem Company
Xcel Energy lnc.
ALE
LNT
AEE
AEP
AVA
CMS
DTE
DUK
ETR
EVRG
NEE
NWE
OGE
OTTR
PNW
POR
SO
XEL
2.60%
2.60%
2.600h
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
2.60%
0.84
0.80
0.75
0.76
0.80
0.75
0.83
0.71
0.84
0.79
o.77
0.90
0.94
0.87
0.84
0.8r
0.75
0.73
13.71o/o
13.71%
13.71%
13.71o/o
13.710h
13.7'loh
13.710h
13.71o/o
13.71%
13.71%
13.71o/o
13.71o/o
13.71%
13.7',t%
13.71%
13.71%
13.71o/o
13.7|o/n
11.11%
11.11%
11.11%
11.',t10/o
11_'11%
11.11.h
11.110h
't'l .1 10/.
11.110h
11.1104
11.110h
11.11o/o
1 1 .',t 10/o
11.11%
11.110h
11.11%
11.11%
11.110h
11.92%
11.470h
't0.8906
11.02%
11.46%
10_98%
11.87%
10.47%
r 1.89%
1 1.33%
11.170h
12.62%
r3.01%
't2.31%
11 890[
11.64oh
10.94016
'1o.7304
12.37%
12.03%
11.59%
1 1.6906
12.02o/o
'I 1.6606
't2.33%
11.28%
12.v%
11.92%
1r.81%
12.89%
13.18%
12.66%
12.UoA
12.16%
11.63%
11.480h
Mean 11.53% 12.08%
Notes:@ 40, No. 4, April 1, 2021, at 2
[2] Sourc€: Bloomb€rg Professional, as of Marcfi 31, 2021
[3] Source: E$ibit No. 13, page 4
[4] Equls [3] - [1]
[5] Equals [1] + [2] x [41
[6] Equals [1] + 0.25 x ([4]) + 0.75 x ([2] x [4])
CAPITAL ASSET PRICING MODEL - LONG.TERM PROJECTED RISK.FREE RATE & BLOOMBERG BETA
K=Rf+gx(Rm_R0
K = Rf + 0.25 x (Rm) + 0.75 x F x (Rm - R0
tll t2l t3t 14l t51 16t
Company Ticker
Projected 30-year
U.S. Treasury bond
yield (2022 - 20261
Market RiskMarket Premium CAPM ROE
Beta (B) Retum (Rm) (Rm - R0 (K)
ECAPM
ROE (K)
ALLETE, lnc.
Alliant Energy Corporation
Ameren Corporation
American Electric Power Company, lnc.
Avista Corporation
CMS Energy Corporation
OTE Energy Company
Duke Energy Corporation
Entergy Corporation
Evergy, lnc.
NextEra Energy, lnc.
Northwestem Corporation
OGE Energy Corporation
Otter Tail Corporation
Pinnade West Capital Corporation
Portland General Electric Company
Southem Company
Xcel Energy lnc.
ALE
LNT
AEE
AEP
cMs
OTE
OUK
ETR
EVRG
NEE
NWE
OGE
ofiR
PNW
POR
SO
XEL
2.80%
2.SO%
2.80%
2.8Oo/.
2.800/6
2.80%
2.800h
2.80%
2.80%
2.80%
2.AO%
2.80%
2.SO%
2.80%
2.80%
2.80%
2.80%
2.80%
0.84
0.80
0.75
0.76
0.80
0.75
0.83
0.71
0.84
0.79
0.77
0.90
0.94
0.87
0.84
0.81
0.75
0.73
't3.710/o
13.710h
13.71o/o
13.7'lo/o
13.71%
13.71o/o
13.71o/o
13.710h
13.7't%
13.71%
13.7104
13.71%
13.71%
13.71%
't3.710/o
13.71%
13.71o/o
'13.7104
10.91%
10.91%
10.91%
'10.91%
'10.910,6
10.91%
10.910,6
't0.91%
10.91%
10.91%
10.91%
10.91%
10.91%
't0.91%
10.9t%
10.91%
10.91%
10.91%
11.96%
11.51%
10.94%
11.07o/o
11.50%
11.03%
11.90%
10.53%
11.92%
11.370h
11.22%
12.U%
13.02%
1233%
11.92%
11.68%
10.99%
'10.79%
12.39%
12.06%
11.63%
11.73%
12.05o/o
11.700h
12.35%
11.320h
12.37%
11.96%
1r.84%
12.91%
13.19%
12.68%
12.37o/o
'12.1804
'|.1.670h
11.52%
Notes:
@. 39, No. 12, December 1, 2020, at 14
[2] Sourca: Bloomb€rg Professional, as of March 31, 202'l
[3] Source: Exhibit No. I3, page 4
[4] Equals [3] - l1l
[5] Equals [1] + [2] x [41
[6] Equals [1] + 0-25 x ([4]) + 0.75 x ([2] x [4])
Rocky Mountain Power
Exhibit No. 13 Page 4 ol 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
MARKET RISK PREMIUM OERIVED FROM S&P 5OO INDEX
[1] Estimate of the S&P 500 Oividend Yield
[2] Esltmate of the S&P 500 Gowth Rate
[3] S&P 5(x) Estimated Reguired Martet Retum
Notes:
12.11%
'13.t1%
[1] Sum of [61
[2] Sum of [81
[3] Equals (r! x (1 + 0.s x [2])) + [21
STANDARD AND POOR'S 5OO INOEX
t4l t6lt5l VI tE
Nam€Ticker
Value Line Capweighted
Weight in Cunent Cap-Woighted LorE-Torm Long-Termlndex Dividend Yield Dividend Yield GroMh Est. Grcwth Est-
LyondellBasell lndustries NV
Am€ric€n Express Co
Verizon Communications lnc
Broadcom lnc
Boeing Co/The
Caterpillar lnc
JPMorgan Chase & Co
Chevron Corp
Coca€ola Co/Th€
Abbvie lnc
Walt Oisney Ccr'The
Fle€tcor Tedrnologies lnc
Extra Space Storage lnc
E,o(on Mobil Corp
Phillips 66
General Electric Co
HP lnc
Home Depot lndThe
Monolithic Power Systems lnc
lntemational Business Machines Corp
Johnson & Johnson
McDonald's CoIp
Merck & Co lnc
3M Co
American Water Works Co lnc
Bank of Am€rica Corp
Baker Hughes co
Pfizer lnc
Procter & Gamble Co/The
AT&T lnc
Travelers Cos lncy'The
Rayth€on Tecfi nologies Corp
Amlog Oevices lnc
Walmart lnc
Cisco Systems lncy'Delaware
lntel Corp
General Motors Co
Microson Corp
Dollar General Corp
Cigna Corp
Kinder Morgan lnc
Citigroup lrc
American lntemational Grcup lnc
Honeywell lntemational lnc
Altria Group lnc
HCA Healthcare lnc
Under Amour lnc
lnt€mational Paper Co
H€wlett Packard Enterprise Co
Abbott Laboratori€s
Allac lnc
Air Products and Chemicals lnc
Royal Caribbean Cruisos Ltd
Hess Corp
Arch€r-Oani€ls-Midland Co
Automatic Data Processing lnc
Vorisk Analytics lnc
Autozone lnc
Av€ry Deflnison Corp
Enphas€ Energy lnc
LYB
AXP
vz
AVGO
BA
CAT
JPM
cvx
KO
ABBV
ots
FLT
EXR
xoM
PSX
GE
HPQ
HO
MPWR
IBM
JNJ
MCD
MRK
MMM
AWK
BAC
BKR
PFE
PG
T
TRV
RTX
ADI
WMT
csco
INTC
GM
MSFT
DG
ct
KMIc
AIG
HON
MO
HCA
UAA
IP
HPE
ABT
AFL
APD
RCL
HES
ADM
ADP
VRSK
MO
ENPH
0.11%
0.34%
0.73%
0.57%
0.00%
0.38%
1.41%
0.61%
0.69%
0.58%
1.02%
0.07%
0.05%
0.72%
0.11%
0.35%
0.12%
1.00%
0.05%
0.36%
1.31%
0.5r%
0.59%
0.34%
0.08%
1.O10h
0.00%
0.61%
1.010h
0.65%
0j2%
0.36%
017%
1.16%
0.66%
0.79%
o.2504
5.39%
0.15%
0.25%
0.11%
0.46%
o.12%
0.46%
o.29%
0.19%
0.01%
0.06%
0.06%
0.64%
0.11%
0.1906
0.07%
0.00%
0.10%
0.24%
0.09%
0.09%
0.05%
0.O7o/o
4.04%
't.22%
4.32%
3.11%
nla
1.78%
2.36%
4.9?%
3.'t9%
4.81%
nla
Na
3.02%
6.23%
4.42%
0.30%
2.44%
2.16%
0.68%
4.89%
2.46%
2.30%
3.37%
3.07%
1.47%
1.86%
3.33%
4.31%
2.34%
6.87%
2.26%
2.46%
1.78%
1.62%
2.8604
2.17%
nla
0.95%
0.83%
1.65%
6.31%
2.80%
2.77%
1.71%
6.72%
1.02%
Na
3.79%
3.05%
1.50%
2.*%
2.13%ila
1{',t%
2.60%
1.97%
0.66%
Na
1.35%
n/a
0.00%
0.000,6
0.03%
0.02%
nla
0.01%
0.03%
0.03%
o.o2%
0.03%
nla
nla
0.00%
0.04%
0.00%
0.00%
0.00%
o.02%
0_00%
0.02%
0.03%
0.01%
o.02%
0.0r%
0.00%
0.02%
0.00%
0.03%
0.02%
0.04%
0.00%
0.01%
0.00%
0.02%
o.02%
0.02%
ry'a
0.05%
0.00%
0.00%
0.01%
0.01%
0.00%
0.01%
o.o2%
0.00%
nla
0.00%
0.00%
0.01%
0.00%
0.00%
ry'a
0.00%
0.00%
0.00%
0.00%
nla
0.00%
rva
0.00%
6.00%
3.50%
27.00%
nla
7.00%
5.50%
9.50%
6.50%
6.50%
17.000h
12.50%
3.50%
2.50%
3.00%
4.00%
't4.00%
8.00%
't7.50%
1.50%
10.00%
8.00%
8.00%
4.50%
8.50%
4.00%
nla
9.50%
7.00%
2.50%
9.00%
1.50%
8.50%
8.0006
6.00%
7.O0%
7.O0%
14 50%
13.00%
't 1.50%
16.50%
10.00%
28.50%
8.00%
6.50%
10.50%
11.00%
6.50%
6.50%
12.00%
7.00%
12.50%
-0.50%
nla
9.00%
9.00%
11.50%
12.O00h
9.50%
40.00%
0.0006
0.020h
0 03%
0.15%
ry'a
0.03%
0.08%
0.06%
0.04%
0.04o/o
0.17%
0.01%
0.00%
0.02%
0.00%
0 01%
0.02%
0,08%
0.01%
0.01%
0.13%
0.Uo/o
0.05%
0.02%
0.01%
0.04%
nla
0.06%
0.07.h
0.02%
0.0106
0.01%
0.01%
0.0906
0.04o/o
0.06%
0.02o/o
0.78%
0.02%
0.03%
0.02%
0.05%
0.03%
0.04%
o.02%
0.02%
0.00%
0.00%
0.00%
0.08%
0.01%
o.o2%
0.00%
nla
0.01%
o.o2%
0.01%
0.01%
0.00%
0.03%
Rocky Mountain Power
Exhibit No. 13 Page 5 of 12
Case No. PAC-E-21-07
Wtness: Ann E. Bulkley
MARKET RISK PREMIUM DERIVED FROM S&P 5OO INDEX
[1] Estimate of the S&P 500 Dividend Veld
[2] Estimate of the S&P 500 Growth Rate
[3] S&P 500 Estimated R€quired Market Retum
Notes:
l -5u
12.11
[1] Sum of [61
[2] Sum of [81
[3] Equals ([1] x (1 i 0.5 x [2])) + [21
STANDARD AND POOR'S 5OO INDEX
Name Ticker
Weight in
lndex
Curent Cap-WeightedLong-Term Long-Term
DividendYield Dividend Yial.l Growth Fst Gmwth Fst
MSCI lnc
Ball Corp
Carrier Global Corp
Bank of New York Mellon Corp/The
Otis Worldwide Corp
Baxter lntemational lnc
Becton Dickinson and Co
Berkshire Hathaway lnc
Best Buy Co lnc
Boston Scientific Corp
Bristol-lilyers Squibb Co
Fortune Brands Home & Security lnc
Brown-Forman Corp
Cabot Oil & Gas Corp
Campb€ll Soup Co
Kansas City Southem
Hilton Worldwido HoldirEs lnc
Camival Corp
Qorvo lnc
Lumen Technologies lnc
UDR lnc
Clorox Co/Th€
Paycom Soft\flare lnc
CMS Energy Corp
Newell B6nds lnc
Colgat€-Palmolive Co
Comerica lnc
IPG Photonics Corp
Conagra Brands lnc
Consolidated Edison hc
Coming lnc
Cummins lnc
Cassars Ent€rtainment lnc
Danaher Corp
Target Corp
Doere & Co
Dominion Energy lnc
Dover Corp
Alliant Energy Corp
Duke Enorgy Corp
Regoncy Centsrs Corp
Eaton Corp PLC
Ecolab lnc
PertinElm€r lnc
Em€rson Electric Co
EOG Resources lnc
Aon PLC
Entergy Corp
Equiiax lnc
IOVIA HoldirEs hc
Garh€r lnc
FedEx Corp
FMC Corp
Ford Motor Co
NextEra Energy lnc
Franklin Resources lnc
Freeport-McMoRan lnc
Gap lncr'The
Dsx@m lnc
General Oynamics Corp
MSCt
BLL
CARR
BK
OTIS
BAX
BDX
BRK/B
BBY
BSX
BMY
FBHS
BF/B
coG
CPB
KSU
HLT
ccL
QRVO
LUMN
UOR
cLx
PAYC
cMs
NWL
CL
CMA
IPGP
CAG
EO
GLW
cMl
czR
DHR
TGT
DE
D
DOV
LNT
DUK
REG
ETN
ECL
PKI
EMR
EOG
AON
ETR
EFX
tav
IT
FDX
FMC
F
NEE
BEN
FCX
GPS
DXCM
GD
0.11%
0.08%
0.00%
0.13%
0.00%
0.13%
o.21%
'1.03%
0.09%
0.17%
0.43%
0.04%
0.06%
0.02%
0.05%
0.07%
0.10%
0.07%
0.06%
0.04%
0.04%
0.07%
0.07%
0.05%
0.00%
0.20%
0.03%
0.03%
0.06%
0.08%
0.10%
o.12
0.00%
0.49%
0.300;
0.36%
0.19%
0.06%
0.()ll%
0.23%
0.03%
0.17%
0.19%
0.04%
0.16%
0.13%
0.r6%
0.06%
0.07%
0.11%
0.05%
0.23%
0.u%
0.15%
0.45%
0.05%
0.r5%
0.03%
0.00%
0.16%
0.74%
0.71%
1.14%
2.62%
1.17%
1.16%
1.37%
nla
2.U%
ila
3.10%
1.09%
1.U%
2.13%
2.94%
0.82%
ry'a
ry'a
rva
7.49%
3.31%
230%
rva
2.U%
3.U%
2.28%
3.79%
nla
2.93%
4.14%
2.21%
2.08%
rva
0.37%
1.37%
0.96%
3.32%
1.44%
2.97%
4.00%
4.20%
?.20%
0.90%
0.22%
2.21%
2.27%
0.80%
3.82%
0.86%
ila
nla
0.92%
1.74%
nla
2.U%
3.78%
0.91%
3.26%
nla
2.62%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
0.00%
nla
0.01%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
nla
nla
0.00%
0.00%
0.00%
nla
0.00%
0.00%
0.00%
0.00%
Na
0.00%
0.00%
0.00%
0.00%
nla
0.00%
0.00%
0.00%
0.01%
0.00%
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
ila
n/a
0.00%
0.00%
ry'a
0.01%
0.00%
0.00%
0.00%
nla
0.00%
18.00%
20.00%
rVa
3.00%
nla
8.50%
9.00%
6.00%
9.00%
12.50%
12.50%
10.00%
't2.00%
13.50%
4.00%
13.00%
11.00%
-r0.00%
'18.00%
2.fi%
6,00%
6.50%
23_00%
7.50%
nla
5.00%
2.50%
't8.50%
5.50%
2.50%
20.00%
4.00%
nla
17.00%
13.00%
5.00%
7.00%
6_50%
5.50%
5.00%
10.00%
5.50%
6.00%
17.50%
9.00%
6.50%
7.50%
3.00%
6.50%
13.50%
't0.50%
8.50%
8.50%
9.50%
'10.50%
11 50%
32.50%
250%
nla
5.00%
0.02%
0.02%
rva
0.00%
nla
0.01%
0.02%
0.06%
0.0'l%
0.02%
0.05%
0.00%
0.01%
0.00%
0.00%
0.01%
0.01%
-0.01%
0.01%
0.00%
0.00%
0.00%
o.02%
0.00%
nla
0.01%
0.00%
0.01%
0.00%
0.00%
0.02%
0.00%
nla
0.08%
0.04%
0.02%
0.0106
0.00%
0.00%
0.01%
0.00%
0.01%
0.01%
0.01%
0.01%
0.01%
0.01%
0.00%
0.00%
o.o2%
0.01%
o.02%
0.00%
0.01%
0.05%
0.01%
0.05%
0.00%
nla
0.01%
[1] Estimate ofthe S&P 500 Dividend Yield
[2] Eslimate of the S&P 500 GroMh Rate
[3] S&P 500 Estimated Required Market Retum
Notes:
1.5004
12.11%
'13.t1,h
Rocky Mountain Power
Exhibit No. 13 Page 6 of 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
VI t8l
MARKET RISK PREMIUM DERIVED FROM S&P 5OO INDEX
[1] Sum of [61
[2] Sum of [81
[3] Equals ([1] x (1 + 0.5 x [2])) + [2]
STANOARD AND POOR'S 5OO INDEX
t4l t6tt5t
Value Line
Cunent Cap-Weighted Long-Term
CatrWeighted
Long-Term
Growth FstNameTicker
Weight in
lndex Dividend Yield Dividend Yield Gro\ilth Fst
General Mills lnc
Genuine Parts Co
Atrnos Energy Corp
WW Grainger lnc
Halliburton Co
L3Hads Technologies lnc
Healthpeak Properties lnc
Catalent lnc
Forlive Corp
Hershey Co/The
Synchrony Financial
Hormel Foods Corp
ArthurJ Gallagh€r& Co
Mondelez lntemational lnc
CenterPoint Energy lnc
Humam lnc
Willis Torers Watson PLC
lllinois Tool Works lnc
CDW CoA/DE
Trane Technologies PLC
lnterpublic Group of Cos lndTh€
lntemational Flavors & Fragrances lnc
Jacobs Engineering Group lnc
Generac Holdings lnc
NXP Semiconductors NV
Hanesbrands lnc
Kellogg Co
Eroadridge Financial Solutions lnc
Penigo Co PLC
Kimberly-Clark Corp
Kimco Realty Corp
Orade Corp
Kroger Co/The
Leggett & Platt hc
Lennar Corp
Eli Lilly and Co
L Brands lnc
Charter Communications lnc
Lincoln National Corp
Loews Corp
Lowe's Cos lnc
IDEX Corp
Marsh & McLennan Cos lnc
Masco Corp
S&P Global lnc
Medbonic PLC
Viatris lnc
CVS Health Corp
DuPont de Nemours lnc
Micron Technology lnc
Motorola Solutions lnc
Cbo€ Global Markets lnc
Laboratory Corp of America Holdings
Newmont Corp
NIKE lnc
NiSource lnc
Norfolk South€m Corp
Principal Financial Group lnc
Evesource Energy
Northrop Grumman CoQ
Gls
GPC
ATO
GWW
HAL
tHx
PEAK
CTLT
FTV
HSY
SYF
HRL
AJG
MDLZ
CNP
HUM
WLTW
ITW
CDW
TT
IPG
IFF
J
GNRC
NXPI
HBI
K
BR
PRGO
KMB
KIM
ORCL
KR
LEG
LEN
LLY
LB
CHTR
LNC
L
LOW
tEx
MMC
MAS
SPGI
MDT
VTRS
cvs
DD
MU
MSI
CBOE
LH
NEM
NKE
NI
NSC
PFG
ES
NOC
0.r1%
0.05%
0.04o/o
0.06%
0.06%
0.00%
0.05%
0.05%
0.o70h
0.0706
0.o70h
0.0806
0.o7%
0.25o/o
0.04%
0 160;
0.09%
021%
o.07%
0.00%
0.03%
0.11%
0.05%
0.060,6
o.17%
0.02%
o o70a
0.05%
o.o2%
0.14%
o.o2%
0.61%
0.08%
0.02%
0.080,6
o.54%
0.05%
0.36%
0.0406
0.04%
O.41o/o
0.05%
0.19%
0.05%
0.26%
0.48%
0.00%
0.30%
0.00%
0.3006
0.10%
0.03%
0.08%
0.15%
0.51%
0.03%
0_20%
0.05%
0_09%
0 16%
3.33%
2.82%
2.53%
1.53%
0.84%
2.01%
3.78%
I],la
0.40%
2.030h
2.16%
2.050
1.54%
2.15%
2.83%
0.67%
124
2.06%
0.97%
1.43%
3.70%
2.21%
0.65%
nla
1.12%
3.05%
3.60%
1,50%
2.37%
3.28%
3.63%
1.82%
2.000h
3.50%
0_99%
1.8?%
nla
nla
2.70%
0.49%
1.26%
0.96%
r.53%
0.93%
0.87%
1.96%
nla
2.66%
1.55%
ry'a
't.51%
1.70%
n/a
3.65%
0.83%
3.65%
1.4704
3.74%
2.78%
1.79%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
0.0006
0.00%
0.00%
0.00%
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
rva
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.o0%
0.01%
0.00%
0.00%
0.00%
0.01%
nla
nla
0.000,6
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.01%
nla
0.01%
0.00%
nla
0.00%
0.00%
nla
0.0106
0.00%
0.00%
0.00%
0.00%
0.00%
0_00%
4.00%
7.00%
7.00%
7.50%
1.50%
nla
-13.00%
21.00%
8.50%
5.00%
4.50%
10.00%
13.00%
8.00%
8.00%
11.00%
11.50%
9.00%
11.00%
nla
10.00%
6 00%
'12.50%
21.00%
11.00%
3.50%
2.50%
10.50%
-2.00%
5.50%
-2.00%
10.50%
7.5Oo/"
10.00%
7.00%
9.00%
16.00%
26.50%
9,00%
13.00%
15 50%
7.50%
9.00%
7 5096
10.00%
6.50%
ry'a
6.00%
ry'a
12.50%
7.00%
12.50%
9.50%
14.50%
27 0004
10.00%
9_50%
5.50%
6.50%
7.00%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
{_01%
0.01%
0.01%
0.00%
0.00%
0.01%
0.010,6
0.02%
0.00%
0.02%
0.01%
0.02%
0.01%
Na
0.00%
0.01%
0.01%
0.010,6
0.02%
0.00%
0.00%
0.01%
0.00%
0.0r%
0.00%
0.06%
0.01%
0.00%
0.01%
0.05%
0.01%
0.10%
0.000,6
0.01%
0.06%
0.00%
0.02%
0.00%
0.03%
0.03%
nla
0.02%
nla
0.04%
0.01%
0.0006
0.01%
0.o2%
0.14%
0.00%
o.020h
0.00%
0.01%
0.01%
[1] Estimate of the S&P 500 Dividend Yield
[2] Eslimate of th€ S&P 500 Growth Rate
[3] S&P 500 Estimated Required Market Retum
Notes:
t -5u,r6
12.'t1%
Rocky Mountain Power
Exhibit No. 13 Page 7 ol 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
m t8l
MARKET RISK PREMIUM DERIVED FROM S&P 5OO INDEX
[1] Sum of [61
[2] Sum of [8]
[3] Equals ([1] x (1 + 0.5 x [2])) + [21
STANDARD AND POOR'S 5OO INDEX
t4t tst t6l
1
Name Ticker
Value Line CatrWeighted
Weight in Cunent Cap-Weighted Long-Term Long-Term
lndex Dividend Yield Dividend Yield Growth Est. Growth Est.
Wells Fargo & Co
Nucor Corp
PVH CoA
Occidental Petroloum Corp
Omnicom Group lnc
ONEOK lnc
Raymond James Financial lnc
Parker-Hannifin Corp
Rollins lnc
PPL Corp
ConocoPhillips
Pultecroup lnc
Pinnacle West Capital Corp
PNC Financial Services Group lnc/The
PPG lrdusbies lnc
Progressive Corp/The
Public Servics Enterprise Group lnc
Robert Hatf lntematimal lnc
Edi$n lntemational
Schlumberg€r NV
Charles Schwab Corp/The
Sherwin-Williams Co/The
West Pharmacoutical Services lnc
J M Smucker Co,/The
Snap-on lnc
AMETEK lnc
Southem Co/The
Truist Financial Corp
Southwest Airlines Co
W R Berkley Corp
Stanley Black & Decker lnc
Publie Storage
Arista Networks lnc
Sysco Corp
Corteva lnc
Iexas lnslruments lnc
Textron lnc
Thermo Fisher Scientific lnc
TJX Cos lncr'The
Globe Life lnc
Johnson Controls lntomational plc
Ulta Beauty lnc
Union Pacific Corp
Keysight Technologies lnc
UnitedHealth Group lnc
Unum Group
Marathon Oil Corp
Varian Medical Systems lnc
BiGRad LaboEtories lnc
Ventas lnc
VF Corp
Vomado Realty Trust
Vulcan Materials Co
Weyerhaeuser Co
Whirlpool Corp
Williams Cos lnc,/The
WEC Energy Group lnc
Adobe lnc
AES Corp/Th€
Amgen lnc
WFC
NUE
PVH
oxY
oMc
OKE
RJF
PH
ROL
PPL
coP
PHM
PNW
PNC
PPG
PGR
PEG
RHI
Erx
SLB
SCHW
SHW
WST
SJM
SNA
AME
SO
TFC
LUV
WRB
SWK
PSA
ANET
SYY
CTVA
TXN
TXT
TMO
TJX
GL
JCt
ULTA
UNP
KEYS
UNH
UNM
MRO
VAR
Bto
WR
VFC
VNO
VMC
WHR
WMB
wEc
AOBE
AES
AMGN
0.49%
0_07%
0.02%
0.08%
0.05%
0.07%
0.05%
o_12%
0_05%
0.07%
0.22%
0.04%
0.03%
o.x%
0.11%
0.17%
0.09%
0.03%
0.07%
0.12%
0.36%
0.20%
0.06%
0.04%
0.04%
0.09%
0.20%
024%
0,11%
0.04%
0.10%
0 13%
0,07%
o.12%
0,00%
0.53%
0.04%
0.54%
o.240h
0.03%
0.13%
0.05%
0.45%
0.08%
1.O7%
o.o20a
0.03%
0.05%
0.04%
0_06%
0.09%
0 03%
0.o70h
0 08%
0.04%
0_09%
0.09%
0.69%
0.06%
o.44%
1.O2%
2.02%
nla
0.15%
3.78%
7.38%
1.27%
1.',tz%
0.93%
5.76%
3.25%
1.07%
4.08%
2.62%
1.U%
0.42%
3.39%
1.95%
4.52%
1.84%
1.10%
0.89%
0.240h
2.850h
?.13%
0.63%
112%
3.09%
nla
0.64%
1.40%
3.24%
nla
2.?9%
112%
2.16%
0.140h
0.230h
1.57%
0.82%
1.81%
rva
1.760h
ry'a
1.U%
4.10%
1.12%
nla
rva
3.37%
2.45o/n
4.67%
0.88%
1.91%
2.27%
6.92%
2.90%
nla
2.25%
2.83%
0.01%
0.00%
n/a
0.00%
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.01%
0.00%
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.01%
0.01%
nla
0.00%
0.00%
0.00%
ry'a
0.00%
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.00%
ry'a
0.01%
nla
0.01%
0.00%
0.00%
rva
nla
0.00%
0.00%
0.00%
0.00%
0_00%
0 00%
0_0r%
0.00%
rva
0.00%
0.01%
5.00%
3.00%
3.50%
12.00%
5.50%
9.50%
6.00%
11.50%
11.50%
2.50%
10.50%
7_00%
4.50%
3.00%
3.00%
9.00%
5.00%
7.500h
t2_00%
0.00%
7.50%
r0.00%
15.5006
2.50%
5.00%
12.50o/o
3.50%
7.00%
1.50%
13.50%
7.50%
250%
5.50%
1'1.50%
nla
5.50%
8.50%
17.500/0
12.00o/o
8.00%
8.00%
7.00%
10.00%
17.00%
12.00%
3.50%
13.00%
14.50%
11.50%
4.50%
6.0006
-18.5006
10.00%
20.50%
5.00%
1200%
6.50%
14.00%
24.00%
6.00%
0.02o/o
0.00%
0.00%
0.0r%
0.00%
0.0r%
0.00%
0.01%
0.01%
0.00%
o.0204
0.00%
0.00%
0.01%
0.00%
0.02%
0.00%
0.00%
0.01%
0.00%
0.03%
O.02o/o
0.01%
0.00%
0.00%
0.01%
0.01%
0.02%
0.00%
0.01%
0.01%
0.00%
0.00%
0.01%
nla
0.03%
0.00%
0.10%
0.03%
0.00%
0.01%
0.00%
0.04%
0.01%
0.r3%
0.00%
0.00%
0.01%
0.0006
0.00%
0.01%
0.00%
0.01%
o.02%
0.00%
0.01%
0.0r%
0.10%
0.01%
0.03%
Rocky Mountain Power
Exhibit No. '13 Page 8 of 12
Case No. PAC-E-21-O7
Witness: Ann E. Bulkley
MARKET RISK PREMIUM DERIVED FROM S&P 5OO INDEX
[1] Estimate of the s&P 500 Dividend Yield
[2] Estimate of the s&P 500 Gro\l/th Rate
[3] S&P 500 Estimated Required Market Retum
Notes:
12.11%
lrl sum oI [61
[2] Sum of [81
[3] Equals ([1] x (1 + 0.5 x [2])) + [2]
STANDARD AND POOR'S 5OO INDEX
t4l t5l 16l r/l t8l
Name Ticker
Value Line Capweighted
Weight in Currenl Cap-Weighted Long-Term Long-Term
lndex Dividend Yield Dividend Yield Growth Est. Growth Est.
Apple lnc
Autodesk lnc
Cintas Corp
Comcast Corp
Molson Coors Beverage Co
KLA Corp
Maniott lntemational lnc/MD
McCormick & Co lnc/MD
PACCAR lnc
Costco Wholesale Corp
First Republic BanUCA
Stryker Corp
Tyson Foods lnc
Lamb Weslon Holdings lnc
Applied Malerials lnc
American Airlines Group lnc
Cardinal Heallh lnc
Cemer Corp
Cincinnati Financial Corp
ViacomCBS lnc
DR Horton lnc
Electronic Arts lnc
Expeditors lntemational of Washington lnc
Fastenal Co
M&T Bank Corp
Xcel Energy lnc
Fiserv lnc
Fifth Third Bancorp
Gilead Sciences lnc
Hasbro lnc
Huntington Bancshares lncy'OH
Wdltower lnc
Biogen lnc
Northem Trust Corp
Packaging Corp of America
Paychex lnc
People's Uniled Financial lnc
QUALCOMM lnc
Roper Technologies lnc
Ross Stores lnc
IOEXX Laboratories lnc
Starbucks Corp
Keycorp
Fox Corp
Fox Corp
State Street Corp
NoMegian Cruise Lin€ Holdings Lld
US Bancorp
A O Smith Corp
Nortonlifelck lnc
T Rowe Pric€ Group lnc
Waste Management lnc
Constellation Brands lnc
Xlinx lnc
DENTSPLY SIRONA lnc
Zons Bancorp NA
Alaska Air Group lnc
lnvesco Ltd
Linde PLC
lntuit lnc
AAPL
ADSK
CTAS
CMCSA
TAP
KLAC
MAR
MKC
PCAR
COST
FRC
SYK
TSN
LW
AMAT
AAL
CAH
CERN
CINF
vtAc
DHI
EA
EXPD
FAST
MTB
XEL
FISV
FITB
GILO
HAS
HBAN
WELL
BIIB
NTRS
PKG
PAYX
PBCT
QCOM
ROP
ROST
IDXX
SBUX
KEY
FOXA
FOX
STT
NCLH
USB
AOS
NLOK
TROW
WM
sTz
XLNX
XRAY
ztoN
ALK
lvz
LIN
INTU
6.22%
0.00%
0.r1%
0.75%
0.03%
0.15%
0.15%
0.O7o/o
0.10%
0.470h
0.09%
0.28%
0.07%
0_03%
0_37%
0.05%
0_05%
0.07%
0.05%
0.08%
0. t0%
012%
0.0606
0.09%
0.06%
0.1't%
0.24%
0.08%
0.25%
0.04%
0.05%
0.09%
0.13%
0.O7o/o
0.04%
0.11%
0.02o/o
0.46%
0.1306
0_13%
0.13%
0.39%
0.06%
0.00%
0.00%
0.09%
0.03%
o.25%
0.03%
0.04%
012%
0.170h
o12%
0 09%
0.04%
0.03%
0.03%
0.04%
0.00%
o_32%
0.67%
nla
0.88%
1.85%
nla
1.09%
nla
1.53%
1.38%
0.79%
0.48%
1.03%
2.40o/o
1.?10/o
o.72%
nla
3.20%
1.22o/o
2.44%
2.13o/o
0.90%
0.50%
0.97o/o
2.23%
2.90%
2.75%
nla
2.88%
4.39%
2.83%
3.82%
3.41%
nla
2.66%
2.97%
2.53%
4.02o/o
1.96%
0.56%
0.24%
nla
1.65%
3.70%
1.27%
1.32%
2.48%
ila
3 O4o/o
1.54%
235%
25204
1.78%
1.32%
nla
0.63%
2.47%
nla
2.46%
't.51%
0.62%
0.04%
nla
0.00%
0.01%
da
0.00%
nla
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
0.00%
0.01%
0.00%
0.00%
0.00%
nla
0.0006
0.00%
0.000,6
0.00%
0.01%
0.00%
0.00%
nla
0.0't%
0.00%
0.00%
0.00%
0.00%
fila
0.01%
0.00%
0.00%
0.00%
0.00%
0.00%
nla
0.00%
0.00%
da
0.00%
0.00%
0_00%
14.50%
nla
13.5006
11.50%
5.50%
15.50%
4.00%
6.50%
3.50%
11.00%
10.50%
11.00%
6_50%
4.00%
9.00%
€.50%
11.00%
8.00%
10.50%
8.00%
10.50%
9.50%
5.50%
8.00%
4.00%
6.00%
14.00%
4.00%
3_50%
9.00%
4.50%
3 50%
7.00%
5.50%
5 00%
6.50%
2.500h
16_50%
10.00%
7.50o/o
14-00o/o
16.00%
4.50%
nla
da
5.00%
-4.50%
3.00%
5.00%
6.50%
8.00%
7.500h
7.50%
7.50%
5 50%
6.50%
0.50%
2.50%
nla
15.50%
0.90%
n/a
0.01%
0.09%
0.00%
o.02%
0.01%
0.00%
0.00%
0.0506
0.01%
0.03%
0.00%
0.00%
0.03%
0.00%
0.01%
0.01%
0.01%
0.01%
0.01%
0.01%
0.00%
0.01%
0.00%
0.01%
0.03%
0.00%
0.01%
0.00%
0.00%
0.00%
0.01%
0.00%
0.00%
0.01%
0.00%
0.08%
0.01%
0.0 t 06
0.02%
0.06%
0.00%
ry'a
nla
0.00%
0.00%
0.01%
0.00%
0.00%
0.0t%
0.01%
0.01%
0.0t%
0.00%
0.00%
0.00%
0.00%
Na
0.05%
[1] Eslamate of the S&P 500 Dividend Yield
la Estimate otlhe S&P 500 Growlh Rate
[3] S&P 500 Estimatsd Rsquired Market Retum
Notes:
1-5U,'6
12.11%
Rocky Mountain Power
Exhibit No. '13 Page 9 of 12
Case No. PAC-E-21-OT
Witness: Ann E. Bulkley
m t8l
MARKET RISK PREMIUM DERIVEO FROM S&P 5OO INDEX
[1] Sum of [6]
[2] Sum of [8]
[3] Equals ([1] x (1 + 0.5 x [2])) + [4
STANDARD ANO POOR'S 5OO INDEX
t4t tsl
Name Ticker
Value Line CatrWeighted
Weight in Cunenl Cap-Weighted Long-Term Long-Termlnder Dividend Yield Dividend Yield GroMh Est. Growth Est.
Morgan Stanley
Microchip Te€ft nology lnc
Chubb Ltd
Hologic lnc
Citizens Fanancial Group lnc
O'Reilly Automotive lnc
Allstate Corpffhe
FLIR Systems lnc
Equity Residential
Borgwarner lnc
Host Hotels & Rosorts lnc
lncyte Corp
Simon Property Group lnc
Eastman Chemical Co
Twitter lnc
AvalonBay Communities lnc
Prudential Financial lnc
United Parcel Service lnc
Walgreens Boots Alliance lnc
STERIS PLC
McKesson Corp
Lockheed Martin Corp
AmerisourceBergen Corp
Capital One Financial Corp
Waters Corp
Dollar Tree lnc
Darden Restaurants lnc
Domino's Piza lnc
NVR lnc
NetApp lnc
Citrix Systems lnc
DXC Technology Co
Old Oominion Fraight Line lnc
Oavita lnc
Hartford Financial Servicos Group Inc/The
lron Mountain lnc
Estee Lauder Cos Inc/Th€
Cadenco Design Systems lnc
Tyler Technologi6s lnc
Universal Health Ssrvices lnc
Skyworks Solutions lnc
NOV lnc
Ouest Diagnosti6 lnc
Activision Blizard lnc
Rockwell Automation lnc
Kraft Heinz Co/The
American Tower Corp
HollyFrontier Corp
Regeneron Pharmac€uticals lnc
Amazon.com lnc
Jack Henry & Associates lnc
Ralph Lauron Corp
Boston Properties lnc
Amphenol Corp
Howmet Aerospace lnc
Pioneer Natural Resourc€s Co
Valero Enorgy Corp
Synopsys lnc
Westem Union Co/The
Etsy hc
MS
MCHP
CB
HOLX
CFG
ORLY
ALL
FLIR
EQR
BWA
HST
INCY
SPG
EMN
TWTR
AVB
PRU
UPS
WBA
STE
MCK
LMT
ABC
coF
WAT
OLTR
DRI
oPz
NVR
NTAP
CTXS
DXC
OOFL
DVA
HIG
IRM
EL
CDNS
TYL
UHS
SWKS
NOV
DGX
ATVI
ROK
KHC
AMT
HFC
REGN
AMZN
JKHY
RL
BXP
APH
HWM
PXD
vLo
SNPS
WU
ETSY
0.44%
0 t3%
0.22%
0.06%
0.06%
0.11%
0.11%
0.02%
0.08%
0.03%
0.04%
0.00%
o.11%
0.05%
0.15%
0.08%
0.11%
o37
o1404
0.05%
0.09%
0.31%
0.0704
0.18%
0.05%
0.08%
0.06%
0_04%
0_05%
o 05%
0_05%
0.02%
0.09%
0.04%
0.07%
0.03%
0_20%
0j2%
0.05%
0.03%
0.09%
0.00%
0.05%
0.22%
0.09%
0.15%
o.320h
0.00%
0.15%
4.72%
O.Uo/o
o.02%
0.05%
o.12%
0.04%
0.10%
0.09%
o r1%
0.03%
0_08%
1.80%
1.0r%
1.98%
nla
3.53%
ila
2.82%
1.20%
3.36%
1.47%
nla
nla
4.57%
2.51%
n/a
3.45%
5.05%
2.40%
3.41%
0.84%
0.86%
2.81%
1.49%
1.26%
nla
r/a
2.48%
1.02%
nla
2.U%
1.05%
nla
0.33%
nla
2.10%
6.68%
0.73%
rva
n/a
0.60%
1.09%
n/a
1.93%
0.51%
1.61%
4.00%
2.07%
3.91%
rVa
nla
1.21o/o
nla
3.87%
0.88%
nla
1.41%
5.47%
nla
3.81%
nla
0.01%
0.00%
0.00%
nla
0.00%
nla
0.00%
0.00%
0.00%
0.00%
rva
da
0.01%
0.00%
nla
0.00%
0.01%
0.01%
0.00%
0.00%
0.00%
0.01%
0.00%
0.00%
nla
nla
0.00%
0.00%
nla
0.00%
0.00%
nla
0.00%
nla
0.00%
0.00%
0.00%
nla
nla
0.00%
0.00%
nla
0.00%
0.00%
0.00%
0.01%
0.01%
0.00%
rla
nla
0.00%
Na
0.00%
0.00%
da
0.00%
0.00%
nla
0.00%
nla
7.50%
9.00%
9.50%
25.50%
12.00%
14.00%
8.50%
8.00%
2.OO%
5.500,6
8.00%
nla
-0.50%
5.00%
29.00%
1.00%
4.50%
8 00%
6.00%
10.00%
9.00%
7.50%
7.OO%
5.5006
6_00%
8.50%
7.50%
15.00%
8.00%
6.00%
9.00%
2.50%
9.00%
15.00%
8.50%
8.50%
r 1.00%
13.00%
10.50%
r0.00%
11_50%ila
11_00%
14.50%
6,50%
-0.50%
10.00%
nla
12.50%
35.500,6
10.5006
6.50%
1.50%
11.00%
12.OO%
10.50%
2.50%
13.50%
6.00%
32.00%
0.03%
0.01%
0.02o/o
0.01%
0.01%
o.02%
0.01%
0.00%
0.00%
0.00%
0.00%
nla
0.00%
0.00%
0.04%
0.00%
0.00%
0.03%
o.0't%
0.00%
0.01%
0.02%
0.01%
0.01%
0.00%
0.01%
0.00%
0.01%
0.00%
0.00%
0.00%
0.00%
0.01%
0.01%
0.01%
0.00%
0.02%
0.020h
0.01%
0.00%
0.01%
ry'a
0.01%
0.03%
0.01%
0.00%
0.03%
rVa
0.02%
1.68%
0.000,6
0.00%
0.00%
0.01%
0.01%
0.01%
0.00%
0.02%
0.00%
0.02%
Rocky Mountain Power
Exhibit No. 13 Page 10 ol '12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
MARKET RISK PREMIUM DERIVED FROM S&P 5OO INDEX
fil Estimate of the S&P 500 Dividend Yield
[2] Estimate of the S&P 500 Growth Rate
[3] S&P 500 Estimated Required Markel Return
1.50%
13.71%
Notes:
[1] Sum of [61
[2] Sum of [81
[3] Equals ([1] x (1 + 0.5 x [2])) + [2]
STANDARD AND POOR'S 5OO INDEX
t4I 7t t81
Value Line Cap-Weighted
Weight in Cunent Cap-Weighted Long-Term Long-TermName Ticker lndex Dividend Yield Dividend Yield Growth Est. Growth Est.
t61t5l
CH Robinson Worldwide lnc
Accenture PLC
TransDigm Group lnc
Yum! Brands lnc
Prologis lnc
FirstEnergy Corp
Verisign lnc
Ouanla Services Inc
Henry Schein lnc
Ameren Corp
ANSYS lnc
NVIDIA Corp
Sealed Air Corp
Cognizant Technology Solutions Corp
SVB Financial Group
lntuitive Surgical lnc
Tak+.Two lnteractive Sofiware lnc
Republic Servaces lnc
eBay lnc
Goldman Sachs Group lnc/The
SBA Communicataons corp
Sempra Energy
Moody's Corp
Booking Holdings Inc
F5 Networks lnc
Akamai Technologies lnc
MarketAxess Holdings lnc
Devon Energy Corp
Alphabet lnc
Teleflex lnc
Nemix lnc
Allegion plc
Agilent Technologies lnc
Anthem lnc
Trimble lnc
CME Group lnc
Juniper Networks lnc
BlackRock lnc
DTE Energy Co
Nasdaq lnc
Celanese Corp
Philip Morris lnternational lnc
salesforce.com lnc
lngersoll Rand lnc
Huntington lngalls lndustries lnc
MetLife lnc
under Amour lnc
Tapestry lnc
CSX Corp
Edwards Lifesciences Corp
Ameriprise Financial lnc
Zebra Technologies Corp
Zimmer Biomet Holdings lnc
CBRE Group lnc
Mastercard lnc
CarMax lnc
lntercontanental Exchange lnc
Fidelity National lnfomation Services lnc
Chipote Mexican Grill lnc
Wynn Resorts Ltd
CHRW
ACN
TDG
YUM
PLD
FE
VRSN
PWR
HSrC
AEE
ANSS
NVDA
SEE
CTSH
SIVB
ISRG
TTWO
RSG
EBAY
GS
SBAC
SRE
MCO
BKNG
FFIV
AI(AM
MKTX
DVN
GOOGL
TFX
NFLX
ALLE
A
ANTM
TRMB
CME
JNPR
BLK
DTE
NDAQ
CE
PM
CRM
IR
HI
MET
UA
TPR
csx
EW
AMP
ZBRA
ZBH
CBRE
MA
KMX
rcE
Fts
CMG
WYNN
0.O4o/o
0.53%
0.1006
0.10%
0.24o/o
0.06%
0.07o/"
0.Mo/o
0.03%
0.0606
0.090,6
1.0006
0.02o/o
0_13%
0_08%
0.270h
0.06%
0.10%
0.'t3%
0.34%
0.0906
012%
0.17o/o
0.29%
0.040,6
0.0506
0.06%
0_04%
0.0006
0_06%
0.70%
0_03%
o:12%
o27
0.06%
o.22%
0.0306
0.3506
0.0806
0.07%
0.050/6
o.420h
0.5906
0.0006
0.03%
0.16%
0.00%
0.03%
0.22%
0.1606
0.08%
0.08%
0.10%
0.080/6
1.06oi6
0.07o/o
0.19%
0.260/0
0.12o/o
0.04o/o
2.14o/o
1.27%
n/a
1.85oi6
2.38%
4.500h
nla
o.270a
nla
2.70o/o
nla
0.12o/o
1.40%
1.230h
nla
n/a
nla
1.710h
1.180h
1.53%
0.84%
3.32%
0.83%
n/a
nla
nla
0.53%
2.01o/o
nla
0.33%
nla
1.',150/o
0.61%
'1.760h
n/a
1.760h
3.1606
?.'190h
3.26%
1.33%
1.820h
5.410/o
ila
nla
?.22%
3.03%
r/a
r/a
1.16%
nla
1.79%
nla
0.60%
nla
0.49o/o
nla
1.180/6
1.11%
nla
r]'la
0.00%
0.0106
nla
0.0006
0.0106
0.00%
nla
0.00%
nla
0.00%
nla
0.00%
0.0006
0.00%
nla
Na
nla
0.0006
0.00%
0.010,6
0.000,6
0.00%
0.00%
rva
nla
nla
0.000,6
0.00%
nla
0.0006
nla
0.00%
0.00%
0.00%
n/a
0.00%
0.000/6
0.01%
0.00%
0.0006
0.00o/5
o.o2%
nla
tla
0.00%
0.00%
n/a
nla
0.00%
nla
0.000,6
nla
0.0006
nla
0.01%
nla
0.00%
0.00%
nla
nla
7.O0%
8.00%
9.50%
9.50%
8.500/6
8.50%
9 5006
12 5O9o
4.50%
6.00%
10.00%
14.50o/o
13_50%
5.00%
19.50%
13.00%
16.500,6
8.50%
18.5006
6.50%
30.50%
11.00%
9.00%
7.00%
7.000h
15.00%
17.00%
5.5006
r/a
15.000i
24.00%
9.00%
10.50%
12.500h
14.5004
2.50%
5.5006
9.5006
6.00%
7.0006
5.50%
5.0006
46.50%
nle
7.00o/o
6.50%
nla
4.00%
8.50%
13.00%
12.00%
10.00%
6.00%
6.50%
'12.00%
8.50%
9.50%
28.00o/o
'18.000,6
27.O0%
0.00%
0.04%
0.0106
0.01%
0.02o/o
0,0006
0,0106
0.000,6
0,00%
0.0006
0.010/6
0.15%
0.00%
0.01%
0.02%
0.03%
0.01%
0.0106
o o20a
0.020h
0.03%
0.01%
0.020h
0.02o/o
0.00%
0.01%
0.0'l 06
0.00%
nla
0.01%
0.17o/o
0.000
0.01%
0.03%
0.01%
0.01%
0.00%
0.03%
0.00%
0.01%
0.00%
o.o20h
o.28%
nla
0.00%
0.010/6
nla
0.00%
0.02%
0.02o/o
0.01%
0.01%
0.01%
0.01%
0_13%
0.01%
0.02./"
0.070h
0.02%
0.010/6
1,
[1] Estimate ot the S&P 500 Dividerd Yield
[2] Estimate of the S&P 500 Growth Rate
[3] S&P 500 Estimated Required Market Retum
Notes:
1.50%
13.71%
Rocky Mountain Power
Exhibit No. 13 Page 11 of 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
r/l t8l
MARKET RISK PREMIUM DERIVED FROM S&P 5OO INDEX
[1] Sum of [61
[2] Sum of [81
[3] Equals (tll x (1 + 0.5 x [2])) + [2]
STANDARD AND POOR'S 5OO INOEX
t4l t6ltsl
Name Ticker
Value Line Cap-Weighted
Weight in Cunent Cap-Weighted Long-Term Long-Term
lndex Oividend Yield Dividend Yield Growth Est. Growth Est.
Live Nation Entertainment lnc
Assurant lnc
NRG Energy hc
Regions Financial Corp
Monster Beverage Corp
Mosaic Coffhe
Expedia Group lnc
Evergy lnc
Discovery lnc
CF lndustries Holdings lnc
Leidos Holdings lnc
APA Corp
Alphabet lnc
Cooper Cos lnc/The
TE Connectivity Ltd
Discover Financial Services
Visa lnc
Mid-America Apartment Communities lnc
Xylem lncr'NY
Marathon Petroleum Corp
Tractor Supply Co
Advanced Micro Oevices lnc
ResMed lnc
Mettler-Toledo lntemational lnc
Copart lnc
Albemarle Corp
Fortinet lnc
Essex Property Trust lnc
Realty lncome Corp
Seagate Technology PLC
Westrock Co
IHS Markit Ltd
Westinghouse Air Brake Technologies Corp
Pool Corp
Westem Digital Corp
PepslCo lnc
Diamondback Energy lnc
Maxim lntegrated Products lnc
Serui@Now lnc
Church & Dwight Co lm
Duke Realty Corp
Federal Realty lnvestnent Trust
MGM Resorts lntemalional
American Electric Power Co lnc
JB Hunt Transport Seruices lnc
Lam Research Corp
Mohawk lnduslies lnc
Pentair PLC
Vertex Pharmaceuticals lnc
Amcor PLC
Facebook lnc
T-Mobile US lnc
United Rentals lnc
ABIOMED lnc
Alexandria Real Estate Equities lnc
Delta Air Lines lnc
United Airlines Holdings lnc
News Corp
Centene Corp
Martin Marietta Materials lnc
Atz
NRG
RF
MNST
MOS
EXPE
EVRG
DISCA
CF
LOOS
APA
GOOG
coo
TEL
oFs
MAA
XYL
MPC
TSCO
AMD
RMO
MTD
CPRT
ALB
FTNT
ESS
o
STX
WRK
INFO
WAB
POOL
woc
PEP
FANG
MXIM
NOW
CHD
DRE
FRT
MGM
AEP
JBHT
LRCX
MHK
PNR
VRTX
AMCR
FB
TMUS
URI
ABMD
ARE
DAL
UAL
NWS
cNc
MLM
0.00%
0.02'/o
0.03%
0.0606
0.15%
o o40/"
0.o7%
Q.040h
0.020h
0.0306
0.040/6
0.020h
2.05%
0.0606
0.13%
0.09%
1.0906
0.0506
0.06%
0.11%
0.06%
0.29o/o
0.09%
0.08%
0.0806
0.05%
0.0906
0.050/6
0.07%
0.05%
0.04o/o
0120h
0.0506
o.04%
0.06%
0.5906
0_04%
0.07%
0.30%
0.06oi6
0.050/6
0.02%
0.06oi6
0.13%
0.05%
0.260/0
0,04%
0.030/6
O.17o/o
0.00%
2-15o/o
0.47o/o
o.o70lo
0.O4o/o
0.070h
0.09%
0.0606
0.00%
o.11%
0.0606
nla
1.86%
3.45o/o
3.00%
nla
0.63%
da
3.59%
nla
2.U%
1.41o/o
0.56%
nla
0.02%
1.550/6
1.85o/o
0.60%
2.U%
1.06%
4.U%
1.17%
nla
0.80%
ala
nla
1.0704
nla
3.08%
4.440h
3.49%
1.Uoh
0.8306
0.6106
0.67%
nla
2.89o/o
2.18%
nla
nla
1.16%
?.43%
4.18o/o
0.0306
3.49%
0.670h
0.87o/o
nla
1.280h
ila
4.020h
nla
nla
nla
nla
2.650h
nla
nla
0.85%
nla
0.68%
nla
0.00%
0.0006
0.0006
nla
0.00%
nla
0-000/6
nla
0.000/6
0.00%
0.0006
nla
0.00%
0.00%
0.0006
0.01%
0.00%
0_00%
0.000,6
0.00%
nla
0.000/6
nla
nla
0.00%
nla
0.00%
0.00%
0.00%
0.000/6
0.000/6
0.00%
0.00%
nla
0.o20h
0.00%
n/a
nla
0.0006
0.00%
0.00%
0.000,6
0.00%
0.000,6
0.00%
Na
0.00%
n/a
0_00%
nla
ila
ila
nla
0.00%
nla
n/a
0.0006
rva
0.0006
nla
11.50%
-1.50%
8.50%
12.50o/o
30.00%
12.00%
8.00%
15.50%
14.50o/.
10.50%
8.5006
14.50%
14 50%
8.00%
5.50%
15.5006
0.50%
8 5006
3.50%
9.50%
24.00%
8.50%
11.00%
12.00%
4.00%
21.00%
1.0006
6.00%
4.00%
6.50%
12.OO%
10.50%
17.50o/o
't.000,6
6.000,6
0.50%
8.00%
46.0006
8.00%
-2.500h
-2.OOoh
25.00%
6.50%
6.50%
12.50o/o
6.50%
5 500/6
28.50%
nla
15.50%
8,50%
7.00%
10.000/6
13.00%
5.00%
2.00o/o
nla
9.50.,6
6.000/6
nla
0.00%
0-000/6
0.01%
0.02%
0.0106
0.01%
0.000,6
0.0006
0.00%
0.00%
0.0006
0.30%
0.01%
0_01%
0.00%
0.170h
0.00%
0_00%
0.00%
0.0106
0.0704
0.01%
0.01%
0.01oi6
0_00%
0.02o/o
0.00%
0.00%
0.00%
0 00%
0.010/6
0.00%
0,0106
0.00%
0.040h
0.00%
0.01%
0.140h
0,0t%
0.00%
0.000/6
0 01%
0.01%
0.00%
0.03%
0.00%
0.00%
0.05%
n!a
0.33%
0.04%
0.01%
0.00%
0.01%
0.00%
0.00%
nla
0_01%
0.00%
l'll Estmat6 of the S&P 5{)0 Dividend Yeld
[2] Estimate of th€ S&P 5{D Gro\ ,th Rate
Bl s&P 5fi) Estimated Requircd Market Ret/m
Notes:
1Z-r t h
Rocky Mountain Power
Exhibit No. 13 Page 12ol 12
Case No. PAC-E-21-07
Witness: Ann E. Bulkley
m t8l
MARKET RISK PREMIUM OERIVED FROM S&P 5OO INDEX
[1] Sum of [6]
I2l Sum of l8l
Bl Equals (t1l x (l + 0.5 x [2])) + [21
STANOARO ANO POOR'S 5OO INDEX
t4t 16II5I
Name lick€r
Value Line Calw€ighted
Weaght in Cunent CaPweighted Long-Term Long-Term
lnd€x DMdend Yield Dividend Yeld Growth Est Groufi Est.
Teradyne lnc
PayPal Holdings lnc
Tesla lnc
DISH Network Corp
Oo\/, lnc
Alexion Pharmaceuticals lrr
Penn Natioml Gaming lnc
Everest R€ Group Ltd
Teledyn€ Te.hmlogies lnc
News Corp
Exelon Corp
Global Payments lnc
Croliln Caste lntemalional Corp
Apliv PLC
Align Tecfinology lnc
Illunina lnc
LKO coo
Nielson Holdings PLC
Garmin Ltd
Zo€tis lnc
Equinix lnc
Digital Realty Tn6t lnc
Las VegEs Sands corp
Discovory lnc
TER
PYPL
TSLA
DISH
oow
ALXN
PENN
RE
TDY
NWSA
EXC
GPN
cct
APTV
AAP
ALGN
ILMN
LKO
NLSN
GRMN
zTs
EQIX
DLR
LVS
DISCK
0.06%
0.86%
0.00%
0.m%
0.(xrr
0.10%
0.05%
0.03%
0.05%
0.m96
0.'t396
0.18%
0.23%
0.11%
0.04%
0.13%
0.17%
0.04%
0.m%
0.08%
0.23%
0.18%
o.129t
0.14%
0.00%
0.33%
nle
nla
nla
4.38%
r/a
rva
2.50%
nla
0.79%
3.50%
0.39%
3.09%
nla
0.54%
ila
ry'a
n/a
0.95%
2.03%
0.04%
r.69%
3.29%
ry'a
da
0.00%
ila
nla
Na
0.00%
Ir/a
ry'a
0.00%
nla
0.00%
0.00%
0.00%
0.01%
nla
0.00%
nla
nla
nla
0.00%
0.00%
0.00%
0.00%
0.00%
nla
nla
10.50%
19.00%
nla
0.0096
nla
19.50%
't5.00%
10.50%
9.00%
nla
4.00%
11.50%
11.50%
15.50%
11.00%
't7.00%
t4_m
10.50%
nla
10.50%
10.00%
14.50%
7.00%
5.50%
Na
0.01%
0.16%
nla
0.00%
ry'a
o.o2%
0.01%
0.00%
0.00%
n/a
0.01%
0.02%
0.03%
0.02%
0.00%
0.02%
0.02%
0.00%
nla
0.01%
0.02%
0.03%
0.01%
0.01%
rya