Rulemaking Comment of MidAmerican Energy Company under RM02-4, et al. in response to Notice Soliciting Comment issued March 3, 2005.

Jnofflclal FERC-Generated PDF of 20050509-0378 Received by FERC OSEC 04/29/2005 in D o c k e t # : R P 0 5 - 3 1 7 - 0 0 0 TEXAS GAS TRANSMISSION, L I e Docket No. RP0~ Notic~ of Rate Changes to be Eff~tive June 1,200S Statements A through J, L through M, and 0 VOLUME I O'rinmry) q h ~ ~ oF Jnofflclal FERC-Generated PDF of 20050509-0378 Received by FERC OSEC 04/29/2005 in D o c k e t # : R P 0 5 - 3 1 7 - 0 0 0 Docket No. R P 0 ~ . ~ Exhlb4t No. _ _ Statement F-1 Texas Gas Transmission, LLC Rate of Retum Claimed Line No. 1 Texas Gas Transmission, LLC (Texas Gas) claims, and includes in its cost of 2 service, a rate of ratum of 10.92% on its net investment in rate base resulting from 3 a ratum of 13.81% on common equity, based on its projected capitalization as of 4 October 31, 2005. 5 6 The data submitted herewith and in Statement P, as to the fair rate of retum, fully 7 demonstmtas that the requested overall rate of retum is commensurate with retums 8 being earned on investments in other enterprises having corresponding dsks, is 9 dictated by the present cost of capitel, and is the minimum retum requked consistent 10 with the financial and economic conditions prevailing today. 11 12 Moreover, such return is required to ensure confidence in Texas Gas' financial integrity, 13 to maintain its credit, and to enable it to obtain the capital necessary for the proper 14 discharge of its obligations as an interstate natural gas transmission company. 15 16 In the accompanying statements and in the testimony and exhibits in Statement P, 17 Texas Gas further demonstmtas its need for the requested rate of retum. 0 ( fl M I Docket No. R P O S - fO F.xhll:d/No. ___ Statenlent F-2 fO Texas Gas Transmission, LLC Capitalization, Capital Structure, Cost of Capital, and Claimed Return on Stockholder's Equity 0 As of January 31, 2005 t~ And as Adjusted for the Test Period Q Q Q Capital Colt Dollars Cost Q Unll Per Books Capital Changes for As of of Capital of I No. Net ~e ~dod Adjusted Capital Return Ra~os Capital Q Cr. Dr. Cr. Cr. $ $ $ $ S $ $ S (A] (e] IC] (O] IE] IF] [O! [H] fO fl 1 Long-Term Debt: fO 2 fO 3 4.60% Notes Due 2015 250,000,000 0 0 250,000,000 5.067% 12,667,500 4 8 7.25% Debentun~ Due 2027 100,000,000 0 0 100,000,000 8.063% 8,063,000 6 M 7 Total Long-Term Debt 350)000)000 0 0 350~000)000 5.920% 20.730)500 36.59% 2.17% 8 g 0 M 10 Equity Capital 11 Q 12 Paid-In Capital 254.877,395 0 0 254,877,395 t~ 13 14 Retained Earnings 322,408,286 0 29,210,000 351.618,286 t~ 15 Q Q 18 Total Equity Capital 5771285r681 0 291210,000 6061495.681 13.81% 83,7571054 63.41% 8.75% 17 18 19 Total Cap~al 9271285.681 0 29r2101000 956r495f681 10414871554 100.00% 10.92% 0 fl fO 0 ( ( ( (3 M I fO Docket No. RP0~____ Exhibit No. _ _ r~ fO Statement ...