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 NV Energy, Inc. (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)
NV Energy, Inc.
EBITDA
	Six Months ended June 30,						Year Ended December 31,
	2011			2010			2010			2009			2008
Net Income	$	15,218		$	35,225		$	226,984		$	182,936		$	208,887
Interest expense (net of AFUDC(1) - debt)		158,222			160,836			333,010			334,314			300,857
Income tax expense		7,239			18,151			113,764			75,451			95,354
Depreciation and amortization		172,708			165,644			333,059			321,921			260,608
EBITDA	$	353,387		$	379,856		$	1,006,817		$	914,622		$	865,706
EBITDA/Interest expense		2.23	x		2.36	x		3.02	x		2.74	x		2.88	x
Total Debt/EBITDA		14.96	x		13.90	x		5.24	x		5.95	x		6.09	x
NV Energy, Inc.
Interest expense (net of AFUDC(1) - debt)	$	158,222		$	160,836		$	333,010		$	334,314		$	300,857
Long-term debt	$	5,151,590		$	5,242,442		$	4,924,109		$	5,303,357		$	5,266,982
Current maturities of long-term debt		135,991			357,163			355,929			134,474			9,291
Total Debt	$	5,287,581		$	5,599,605		$	5,280,038		$	5,437,831		$	5,276,273
(1)  Allowance for funds used during construction.

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Nevada Power Company
EBITDA
	Six Months ended June 30,						Year Ended December 31,
	2011			2010			2010			2009			2008
Net Income	$	7,043		$	17,458		$	185,943		$	134,284		$	151,431
Interest expense (net of AFUDC(1) - debt)		107,769			107,352			214,367			226,252			186,822
Income tax expense		3,815			8,879			91,757			61,652			71,382
Depreciation and amortization		119,586			112,755			226,252			215,873			171,080
EBITDA	$	238,213		$	246,444		$	718,319		$	638,061		$	580,715
EBITDA/Interest expense		2.21	x		2.30	x		3.35	x		2.82	x		3.11	x
Total Debt/EBITDA		15.12	x		14.52	x		4.98	x		5.73	x		5.84	x
Nevada Power Company
Interest expense (net of AFUDC(1) - debt)	$	107,769		$	107,352		$	214,367		$	226,252		$	186,822
Long-term debt	$	3,465,040		$	3,475,347		$	3,221,833		$	3,535,440		$	3,385,106
Current maturities of long-term debt		135,991			357,163			355,929			119,474			8,691
Total Debt	$	3,601,031		$	3,832,510		$	3,577,762		$	3,654,914		$	3,393,797
(1)  Allowance for funds used during construction.

Sierra Pacific Power Company
EBITDA
	Six Months ended June 30,						Year Ended December 31,
	2011			2010			2010			2009			2008
Net Income	$	20,088		$	28,435		$	72,375		$	73,085		$	90,582
Interest expense (net of AFUDC(1) - debt)		33,720			34,158			68,514			69,413			72,712
Income tax expense		9,945			15,693			40,404			31,225			37,603
Depreciation and amortization		53,122			52,889			106,807			106,048			89,528
EBITDA	$	116,875		$	131,175		$	288,100		$	279,771		$	290,425
EBITDA/Interest expense		3.47	x		3.84	x		4.20	x		4.03	x		3.99	x
Total Debt/EBITDA		10.10	x		9.12	x		4.15	x		4.64	x		4.81	x
Sierra Pacific Power Company
Interest expense (net of AFUDC(1) - debt)	$	33,720		$	34,158		$	68,514		$	69,413		$	72,712
Long-term debt	$	1,180,051		$	1,281,500		$	1,195,775		$	1,282,225		$	1,395,987
Current maturities of long-term debt		-			-			-			15,000			600
Total Debt	$	1,180,051		$	1,281,500		$	1,195,775		$	1,297,225		$	1,396,587
(1)  Allowance for funds used during construction.

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