Andy Levi

Andy Levi questioned if the Washington acquisition enhances the possibility of settling the Holdco case, the reasons for the Holdco settlement discussions extending into the summer, the long-term vision for the Manulife partnership (e.g., similar investments in Oregon), the regulatory treatment of the 2023 RFP solar/battery projects, their impact on postponing a general rate case, the amount of incremental load from hyperscalers, and the acquisition's effect on future CapEx and the long-term EPS forecast. He also asked about alternative financing if the Holdco is not approved.

Answer

Joseph Trpik (SVP of Finance and CFO, Portland General Electric) believes the transaction provides further validation for the Holdco. He explained settlement discussions extend due to the need for constructive dialogue and resolution by end of June, with sticking points often being customer benefits. Joseph Trpik clarified Manulife's focus is on Washington, providing efficient capital for growth. Maria Pope (President and CEO, Portland General Electric) confirmed the 2023 RFP solar/battery projects go into rates via the renewable adjustment mechanism, and the company will evaluate a general rate case post-midsummer stay-out. She stated 430 MW of new data center contracts were inked in Q4 2025/early 2026, with 1.7 GW in the queue, supporting the 5%-7% EPS growth. Maria Pope and Joseph Trpik reiterated the acquisition supports the growth trajectory and that alternative financing (e.g., hybrids) would be considered if the Holdco is not approved.

Andy Levi asked if the Washington acquisition enhances the possibility of settling the Holdco case, why Holdco discussions might extend into the summer, and about the long-term vision for the Manulife/John Hancock partnership, specifically if similar investments in Oregon are envisioned. He also inquired about the 2023 RFP solar/battery projects, their impact on rates and postponing a general rate case, the 430 MW of new hyperscaler load, and the potential for the Washington acquisition to drive CapEx and push EPS growth to the high end of the forecast. Finally, he asked about alternative financing if the Holdco is not approved.

Answer

Joseph Trpik (SVP of Finance and CFO) affirmed that the transaction provides further validation for the Holdco and enhances the view of its benefits. He explained that settlement discussions could extend due to the complexity of ensuring customer benefits. Joseph Trpik clarified that Manulife's focus is on Washington, and the partnership aims to support growth while managing the balance sheet, not necessarily for similar Oregon investments. Maria Pope (President and CEO) confirmed the 2023 RFP projects (Wheatridge and Bigelow solar/battery) would go into rates via the renewable adjustment mechanism and that a general rate case evaluation is ongoing. She stated the 430 MW of new load supports the 5%-7% EPS growth and ensures affordability. Both Maria Pope and Joseph Trpik indicated the Washington acquisition supports the 5%-7% growth trajectory. Joseph Trpik added that if the Holdco is not approved, they would evaluate a combined set of financing instruments to realize the transaction's value.