Nevada Power (NVP) 8-K Results of Operations and Financial Condition

EXHIBIT 99.1

EBITDA represents net income before interest, taxes, depreciation and amortization.  EBITDA is presented here because Sierra Pacific Resources (the “Company”) considers it a supplemental measure of its performance and believes debt-holders frequently use EBITDA to analyze operating performance and debt service capacity.  EBITDA has limitations as an analytical tool, and you should not consider it in isolation, or as a substitute for analysis of our operating results as reported under GAAP.  Some of these limitations are:

• EBITDA does not reflect cash expenditures, or future requirements for capital expenditures, or contractual commitments;

• EBITDA does not reflect changes in, or cash requirements for, working capital needs;

• EBITDA does not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on debts;

• Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA does not reflect any cash requirements for such replacements; and

• Other companies in this industry may calculate EBITDA differently than we do, which will limit its usefulness as a comparative measure.

Because of these limitations, the Company’s management relies primarily on our GAAP results as a measure of the Company’s performance and uses EBITDA on a supplemental basis.

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Dollars in thousands)
Sierra Pacific Resources
EBITDA
	Six Months ended June 30,						Year ended December 31,									LTM June 30,
	2008			2007			2007			2006			2005			2008
Net Income Applicable to Common Stock	$	60,192		$	41,361		$	197,295		$	277,451		$	82,237		$	216,126
Interest charges		135,804			140,286			279,788			311,088			284,927			275,306
Income taxes		33,735			22,547			87,555			145,605			43,118			98,743
Depreciation and amortization		126,411			115,911			235,532			228,875			214,662			246,032
EBITDA	$	356,142		$	320,105		$	800,170		$	963,019		$	624,944		$	836,207
EBITDA/Interest Expense		2.62	x		2.28	x		2.86	x		3.10	x		2.19	x		3.04	x
Debt/EBITDA		12.53	x		13.75	x		5.31	x		4.16	x		6.20	x		5.34	x
Sierra Pacific Resources
Net interest expense	$	135,804		$	140,286		$	279,788		$	311,088		$	284,927		$	275,306
Long-Term debt	$	4,451,781		$	4,291,833		$	4,137,864		$	4,001,542		$	3,817,122		$	4,451,781
Current maturities of long term debt		10,298			109,092			110,285			8,348			58,909			10,298
Total Debt	$	4,462,079		$	4,400,925		$	4,248,149		$	4,009,890		$	3,876,031		$	4,462,079
Nevada Power Company
EBITDA
	Six Months ended June 30,						Year ended December 31,									LTM June 30,
	2008			2007			2007			2006			2005			2008
Net Income	$	41,146		$	28,186		$	165,694		$	224,540		$	132,734		$	178,654
Interest charges		82,461			88,260			174,667			176,612			134,657			168,868
Income taxes		22,519			14,573			78,352			117,510			63,995			86,298
Depreciation and amortization		82,953			74,594			152,139			141,585			124,098			160,498
EBITDA	$	229,079		$	205,613		$	570,852		$	660,247		$	455,484		$	594,318
EBITDA/Interest Expense		2.78	x		2.33	x		3.27	x		3.74	x		3.38	x		3.52	x
Debt/EBITDA		11.67	x		12.95	x		4.44	x		3.61	x		4.88	x		4.50	x
Nevada Power Company
Net interest expense	$	82,461		$	88,260		$	174,667		$	176,612		$	134,657		$	168,868
Long-Term debt	$	2,664,929		$	2,655,630		$	2,528,141		$	2,380,139		$	2,214,063		$	2,664,929
Current maturities of long term debt		8,636			7,449			8,642			5,948			6,509			8,636
Total Debt	$	2,673,565		$	2,663,079		$	2,536,783		$	2,386,087		$	2,220,572		$	2,673,565
Sierra Pacific Power Company
EBITDA
	Six Months ended June 30,						Year ended December 31,									LTM June 30,
	2008			2007			2007			2006			2005			2008
Net Income	$	35,133		$	31,976		$	65,667		$	57,709		$	52,074		$	68,824
Interest charges		32,466			30,237			60,735			71,506			69,067			62,964
Income taxes		18,138			13,539			26,009			27,829			28,379			30,608
Depreciation and amortization		43,458			41,317			83,393			87,279			90,569			85,534
EBITDA	$	129,195		$	117,069		$	235,804		$	244,323		$	240,089		$	247,930
EBITDA/Interest Expense		3.98	x		3.87	x		3.88	x		3.42	x		3.48	x		3.94	x
Debt/EBITDA		9.78	x		10.14	x		5.03	x		4.39	x		4.14	x		5.10	x
Sierra Pacific Power Company
Net interest expense	$	32,466		$	30,237		$	60,735		$	71,506		$	69,067		$	62,964
Long-Term debt	$	1,261,788		$	1,085,764		$	1,084,550		$	1,070,858		$	941,804		$	1,261,788
Current maturities of long term debt		1,662			101,643			101,643			2,400			52,400			1,662
Total Debt	$	1,263,450		$	1,187,407		$	1,186,193		$	1,073,258		$	994,204		$	1,263,450