Introducing ITC Midwest Great River Energy s Southern Minnesota Member Cooperatives March 17, 2009 Keith Eyler, Account Rep.
Who is ITC? ITC Midwest LLC, a subsidiary of ITC Holdings Corp. (NYSE: ITC), on December 20, 2007, acquired the transmission assets of Interstate Power and Light Company (IP&L), a subsidiary of Alliant Energy. Nearly 7,000 miles of lines were transferred 2,270 miles of 34.5 kv lines 2,563 miles of 69 kv lines 371 miles of 115 kv lines 1,401 miles of 161 kv lines 195 miles of 345 kv lines 170 substations Transaction valued at approximately $783 million Required approvals from FERC, Iowa, Minnesota, Illinois and Missouri commissions, and anti-trust review. 2
Who is ITC? ITC focuses on ownership, operation, maintenance, and construction of transmission facilities as a single line of business. Customers benefit from transmission investment by: Improved reliability Reduced congestion Increased access to generation, including renewable resources Lower cost of delivered energy Other benefits Development of renewable energy production Jobs and economic development 3
Where is ITC? Service Territory Map March 2003: ITC was established (DTE Energy sale of transmission subsidiary ITC Transmission.) October 2006: ITC closed on acquisition of Michigan Electric Transmission Company, LLC (METC). December 2007: ITC Midwest LLC acquired the transmission assets of Interstate Power & Light Company (IPL). Also actively seeking opportunities to build, own, operate and maintain transmission in Kansas, Oklahoma and Texas. 4
ITC Facilities and Staffing St. Paul Lakefield Perry Des Office locations Moines Albert Lea Dubuque Cedar Rapids Iowa City Warehouse locations (including Dubuque) Opened St. Paul, Des Moines, Cedar Rapids and Dubuque offices; sited field/warehouse facilities throughout the service territory Staffing ITC Midwest many transferred non-rep. employees from IPL Utility Line Construction (ULC) staffing field roles ITC, ULC employees average approx. 20 yrs. utility experience 5
ITC Midwest Operating Regions 6
Area ITC/ULC leadership Bruce Broden- General Foreman, North Region Jon Lichman- General Foreman, Central Region 7
Area ITC/ULC leadership Paul Dilling- Field Supervisor, Albert Lea Kirk Smith- Field Supervisor, Lakefield 8
ITC Equipment, Resources Albert Lea facility 9
ITC Equipment, Resources 100 Bucket 10
Digger/Derrick 11
Small Bucket 12
Transformer Oil Processing Trailer 13
9,000-gal. Transformer Oil Trailer 14
Circuit Breaker Oil Trailers 15
Crew Foreman Truck 16
ITC Equipment, Resources F-450 Hog Materials Truck 17
Patrol ATVs 18
Job Trailers 19
Looking Ahead- 2009 and beyond Rebuild 27 miles of 161kv: Barton Sw. Stn.-to-Adams 345/161/69kv Sub Rebuild 22 miles of 161kv: Worth Co. Sw. Stn.-to-Hayward 161/69kv Sub Rebuilding 17 miles of 161kv: Heron Lake-Lakefield Junction Continuing transition of key activities from Alliant Energy-IPL to ITC Midwest: line and sub maintenance agreements vegetation management plans implementing ITC Midwest s vegetation management plan Completing the scope of 09 and 10 projects, increasing Planning horizon and staffing levels Interconnections: 31 projects in MN under study or in construction 2500 MW of new generation in MN *********************************************************************************************************** Replacing Salem and Hazelton Sub transformers (12/10) for increased capacity Completing Salem-Hazelton 345kv line (12/10) for increased capacity In Iowa, approx. 800 miles of 34.5kv line will be rebuilt to 69kv, with 126 miles scheduled for 2009 20
Green Power Express Green Power Express Conceptual Extension Existing Station Site (unless otherwise noted) Approximately 3,000 miles of EHV (extra high voltage) 765kV transmission lines Traverses portions of North Dakota, South Dakota, Minnesota, Iowa, Wisconsin, Illinois and Indiana Expected cost of approximately $10 - $12 billion 21
Green Power Express Benefits Increases electric reliability Facilitates the movement of approximately 12,000 MW of power from the high efficiency wind abundant areas Reduced line losses More efficient use of land Avoidance of system congestion According to a study done by CRA International, reduces carbon emissions by approximately up to 34 million metric tons Equivalent to the annual emissions of about seven to nine 600 MW coal plants, or nine to eleven million automobiles. Largely resolves Midwest ISO generation interconnection queue issues for region The Green Power Express would effectively be the energy superhighway for wind 22
Best-in-Class ITC aims to be a best-inclass transmission provider as measured by operations, maintenance, customer service and safety. 23
Thank you for your time today! Register for additional communications at: www.itctransco.com. Click on Partners in Business and sign up -Keith Eyler, Account Rep., Stakeholder Relations 507-676-2125 24