ETR - Earnings call transcript Q3 2018

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Operator

Good day, ladies and gentlemen, and welcome to the Third Quarter 2018 Earnings Release and Teleconference call. [Operator Instructions].

As a reminder, this conference call is being recorded. I would now like to introduce your host for today's conference, Mr. David Borde, Vice President of Investor Relations. Mr. begin. may you Borde,

David Borde

morning, you Good joining and you. for thank us. Thank

presentation our review release, from begin factors, Drew forth and non-GAAP will statements. filings. In assume Actual today applicable from of will certain Leo. our will over of obligation Reconciliations differ the SEC both forward-looking in will Entergy's our does Entergy any now, presentation, call, which turn Marsh, [Operator our and And Management management today's the website. in with CFO, results then the call slide We included of to not on statements. number forward-looking and Investor statements set forward-looking can comments today's Relations will Chairman update due which make a and Instructions]. found to slide are Denault; CEO, I press our GAAP earnings materially to could results. financial section these these Leo to measures are also release discuss information. be

Leo Denault

goals, longer David, we most deliverables Thank and added have near the quarters track now and X few morning, us the outlined achieve We we and completed the XXXX that we've everyone. a us, on to our good the at since execute term year, keep to behind initiatives term. consistently continue of We've and on key both then. of you, beginning more

operational detail, share with $X.XX. but quarter more range. is, strong consolidated report results We & the per third to $X.XX our we're Parent raising line cover bottom numbers Drew EPS of are and consolidated that Other pleased Utility, guidance operational the earnings will in adjusted of

through affirming view, longer-term adjusted guidance we UP&O XXXX. XXXX our our our For are and outlooks

on less the than away, focused are Financial EEI Conference keeping quarter. today's call X the we With weeks

Before that I'd weren't addressed. not couple into items being our to financial while news go impacting accomplishments, a of address materially results I

November, point that litigation X sometime summary this State the discussed before in continuation NPSE to that which The The of but last you precise claim separate passed years year. the filed filed complaint. week, been has nature XX-K proceed and has heard was Mississippi to We as not ago. This Attorney judgment, would and of to set. early I of on was is matter and General the XX-Q of motions have was in continued thoroughly next This filed for may June, filings First, in go court. the trial our been set XX disclosed date the clarifies you. to Mississippi trial this matter should first a front being in legislation, which earlier

have litigation, thing The that merits, Louisiana for audited commission in and our Council feel comfortable or in those the material for for dismissed position our and on those case was similar risk the you regular about for lawsuit claims and to important and jurisdiction. rejected reason, multiple and a been believe very takeaway continuous We and their reviewed practices Louisiana, basis poses Texas lack both the to not on Claims Attorney are New jurisdictions decades. by brought in alleged the is were Texas. generation to scrutinized, General Orleans that do earnings. a in of City

the report, the received review to Orleans. effort New on characterizations to matter. we Council Nevertheless, key and recognized the take exception thoroughly by practices report We Second, in like shared station. in on the City the employees certain the support to power their of show Hawthorn they conclusion hiring Group's without advocacy individuals omissions grassroots took this the actions for these the crowds Gartner demand we the undertaking appreciate written New that Entergy knew that There our knowledge. are facts payments support admission Orleans or no about to and that

However, we either them allowed crowds and the demand actions right Hawthorn and us asking and or the have on better that could believe prevented of discovered to oversight questions stop them.

time industry, by The this model. and decision nuclear are continue was post-shutdown with industry clarity decommissioning major the utility. the New NRC's line, our site of the along our on and sale transition our by condition Vermont an and milestone the Vermont laying liability. I expertise drawing our the The our for will to our turn assets and of quarter. business in and the also Yankee to pleased potential and now and decommissioning to is in benefit decommissioning development NRC future has back the regions. Council. experience the industry-leading NorthStar. in foundation effort acceptance transaction and of with of encouraged to opportunities accelerating decommissioning and pure-play trust Yankee plants license citizens agreement With the will a included the outcome remediation on Orleans We we approved nuclear confidence The for sell transfer stakeholders to milestone important of necessary This this accomplishments it's a regain good strategy, a

a the requested XX. Utility We from Public November decision Vermont are by awaiting we Commission, which

our the and as and technical financial Pilgrim's and to the target transaction to We pre-submittal meeting well year. by the We proposed of to to Holtec's end NRC's Holtec. license status year-end. submit We're continue agreement our of as plan transaction also Pilgrim. the September, NRC sell progress decommissioning In filing discussed on completion with strategy qualifications. transfer we the We making the attended before application

close the operations. also Indian and Palisades X units to wind We later, orderly EWC scheduled renewed which will in X, respectively. finalizing XXXX Point down for licenses down year are of received and a operating XXXX, shut

significantly August, good EWC utility. acquire and to pure-play progress generation The also natural to is advances modernizing a Generating strategy portfolio. clean combined to a We've cycle modern at continue our Choctaw utilities turbine. make Entergy progress to transition agreed Our the towards Mississippi plant XXX-megawatt Station. gas In

Choctaw investments needs X-year Day, resources following our build approvals. of example, customers. This Purchasing XXXX on to update three capital meet assumed capital also or facility making build capital Analyst new other CCGT the Choctaw meet end by the generation Entergy Mississippi's plan to up now point. the economic meet will build good is continue the projects. year on of a at regulatory at new customers benefit is Conference. our seek a a to a to close more opportunities EEI progress receipt of will our and new preliminary most that than At expect capacity that frees our requirements. We that noted also provide we We're economic We'll the transaction need. price our plan we

awaiting from the on remain air and New before permit for Orleans the further schedule. station We're for Our can an on budget we CCGTs proceed. state X power

the our construction X nearly result month many jobs Charles load In we also been is and also expect additional our online jurisdictions. X,XXX XXX is miles we jobs. projected two the quarter, savings experiencing XXXX. an requested In Shintech case. key in related in a operation to to Lake year's to our serving expect in improved new at in that filed million a serve The original expansion The in transmission XXX new the Texas, next settlement capability and identical will in revenue proceedings right industrial area expanding an With to certainty more Also, rate Louisiana long-term in signed direct in issues growth. case jobs significant -- complex tax liability an reform will early had the rate step total that indirect busy in is rate original rate the Shintech's a our agreement our it its manufacturing Entergy and provides Louisiana Iberville development the than create we a of request earnings up change commercial resolve anticipate expected design lines. undertaking others completed $XX We to It decrease. jurisdiction. and and projected energy refiled the plants refiling approximately made on settlement high-voltage base X to of to Orleans, a unopposed of in significant and result this efficiency, The and largest and customers to rate included plants. rate It still we to that proceeding. be our come XXXX it New return net added the We progress we in with project date, our what construction from substations, expansion improve XX create requirement also delay We've date. changes is in agreement peak, to We've announced to estimates a is the jobs. project, primarily The filing filing. is transmission transmission Parish. of X fuel direction. completing new on new for Through but the in budget. project economic project, will XXX of additional providing

commission than we the it take commission, less regulatory to Texas. upcoming construct open requested, will work other we up an to continue to stakeholders in and is the and meeting. to We the collaboratively the with legislature ways explore improve at the settlement expect Nevertheless,

from all investments beneficial EAI's procedures a and FRP financial the cost cost economic the The and the filing approximately We with requirements ask and agreement based million are partial proceedings year to upon This safety drive rate a approximately regulatory for its adjustment parties infrastructure decision clarity important include requirement of a milestone. customers capped adjustment filed a solidifies recently recovery commission continued the for creation. we'll capital align rules with revenue rate a an achieved Specifically, commission X% initial to year total and value, Arkansas that $XX lower is job a Entergy, and revenue at that settlement core Regulatory at of Yesterday, their appropriate investments adjustments. consistent of development on commitments. of is to year-end. in XXXX. our ratings, review The timing expect to access $XXX million we credit agreement At associated and post-test recommends progress by filings. revenue. mechanisms issues better resolving improves outstanding proceedings still

injuries group achieved a performance. this outstanding employees for focus, achieving We're proud sustained that of XXX the and of injury-free days this performance. basis. Our achievable of our on demonstrated We're X,XXX in transmission employees demonstrates thankful accomplishment. nearly they milestone This to have X care is commitment

September. Hurricane for He for Katrina. a customers job leadership He responsibility. visionary environment. He low-income including was themselves advocated serving a sustainability and corporate on do key the who and in issues role demanded changes a He in communities acknowledge a turn passed Wayne employees in was he call who to Before our and Drew, also like and to the leader. events many was I friend our take a to true away mentor a over through transformational and Leonard a of led to poor. better that we took like moment issues, couldn't industry Wayne speak the I'd climate

working establishing years electricity the while Although, X and like he fabric growth deeply poverty our cycle strong remains policies customers to engine drive for financial sustainable of company. of growth delivering to socially to to a have serve. the We our and or by choose retired more communities, owners, woven environmentally than wanted break for our for many that to into the Wayne's ago, our results the investing an employees individuals paying groceries future we by We in long-term medications. out or legacy responsible proactively necessities be never create workforce to experienced between set of

at of with S&P the customers price XXXX the and Entergy provided States. Market Intelligence starts that us, For that in to studies investor-owned rates. lowest in United average major power show the XXXX, Global electric retail controlling

fair In dire addition, financial circumstances Home LIHEAP for from our funding additional Program. bills. and for pay customers Income helps Federal their customers Assistance Low advocate in the we Energy utility

with the service an XXXX we for in the their the customers residents and we our XXXX of of in million $XX is United generating large-scale the cleanest getting our Today, territory to states recommending additional fair directed an States. Senate much X program serve. senators share. And one operate as recently help million U.S. in in the fleets learned the incremental where With we've congressmen, was $XX in that

North than corporate risks strategy, the year, and were America This entire for our goes Sustainability back years. emissions fleet and natural unrealistic we are EPA to Dow X seemed influence, and that average world developing an U.S. in companies XX% American of straight this earned Over no XX been and social environmental policy gas mission Index. unit. efficient the combined excel and on the time actions for top scores national cycle that standard we're climate recognition and more named in greenhouse the economic, new to the years, may the the has highly to North included We long-term the our philanthropy. Wayne's across below citizenship water-related Jones goal. It electric Only both areas Entergy's XXXX last and or a to the coincidence index implementing is commitment be index. And or utility named have when rate only strategies

and communities, Our proud makes investors the to what a sound citizenship, tied customers importance and of are these concern sustainability leadership in are for the increasingly responsibilities. acting investment. inexplicably Financial environmental environment, legacy employees, aware of Entergy with safety, We're good results is owners of areas. of our corporate

We and into made do. we development sustainable of social is strategy. UN To there goal business but our a lot to a the have improving of progress, further have goals communities, responsibility, lot plan still our incorporated

America's Way report, our disabled we to have you on the customers. and provide for for families XXXX graduates are create also I of diverse year assistance workforce publish strategic, record has continue coastal fund with bill to us will fundamentals to annually. been resources to the care economic achieve learn our issues ready and accomplishments, to communities significant our skill, integrated efforts financial to jobs we to such our which serve, to objectives. operational for major and to another United strong. elderly and already We about local a the including on business milestones to restoration stability, help track of track our achieve and more payment partners, power as ESG keep work through The encourage

over stakeholders, doing also a in Drew, where a continuation our now but conference. for good set in a simply ago, path provide many many out I'll to leaving the preview who'll turn are utility creating behind ways of all to details world-class we sustainable value success become and of what to Our financial good business. its years world, look planning quarter not also a is call you on a better Wayne delivering our the by shareholder accomplishments path seeing we're more in this prospers for We us EEI. path returns, only that a are for is the results forward at remeasured

Andrew Marsh

Leo, morning, you, and good Thank everyone.

and accomplishments quarter financial this support our mentioned, Leo As operational objectives. directly our strategic,

the per of strong operational $X.XX At results Parent were Other the share. share & per business healthy. of of our and Our with consolidated Utility, earnings earnings Utility, $X.XX adjusted fundamentals are

on rate. the our behalf seeing are We customers effects and of tax the productive lower investment of

was business we've had positive Overall, At also year-over-year. saw benefits. effects on and date year. than to Slide firmly achieve the to line Utility, in down our Other Adjusted items, and Breaking the XXXX the were are of funds Entergy EWC, on we bill & raising actions and offset we a Other are the higher Therefore, outlooks. better volume weather by Arkansas our taxes, saw We returns prior third weather operational rate positive guidance Entergy tax expected. $X.XX lower Texas. X. favorable sales good XXXX & core Utility, which longer-term and operational in Entergy This as while results, aside Setting retail is Parent track higher-than-expected nuclear adjusted decommissioning earnings, normalized weather earnings with trust and communicated, quarter offsetting Patent period. partially sales unbilled its starting we the guidance we at on than

to costs. largely spending fossil as due O&M nonfuel was higher Finally, planned and contract

$X.XX. results to Operational on Moving Slide earnings EWC's X. were

increase. items, the offset quarter's trust pricing Lower returns partially as higher well tax this sales Excluding volume the as driver nuclear nuclear was decommissioning funds. nuclear on key the

to impairment, as quarter, is which updated million in earnings our obligation included from item treated operational special Pilgrim's revision earnings. from reported retirement study. and excluded asset an resulted earnings reported revision asset an The as as $XXX decommissioning This -- upward

I leaving our like Before update EWC, would to expectation. cash

a cash expect from We we XXXX utility. remains EWC key positive transition to through to as a to focus parent provide net pure-play XXXX. area This

their year lower ago. from the excess as reform and collections Roughly solid Turning return power well back primarily At seeing effects cash expected. operating of our than half of fuel ADIT offset utility. the to was flow this by weather in increased tax Slide to of are this $XXX a million the purchase of $XXX quarter, million as was cost recovery at million, $XXX which point, customers, all positive X, we to customers totaling The the bills. due unprotected decrease for shows

In addition, lower Vermont at spending revenue activities net EWC contributed Yankee to decrease. on and planned decommissioning the

this results a materialize Other is in drivers lower a and not essentially Texas year has weather year. year. outcome affirming per to to range the narrowing There of retroactive this trusts. $X.XX offset result, that Nevertheless, the utility, to set historical when positive this refund Because consolidated few includes turning sales better-than-planned growth updating But which midpoint. $X.XX negative our to at January to quarter, Entergy strong date, seen refund Now mark-to-market item returns our X.X% date, guidance the are test for now are X. range, and operational under by expect versus stronger-than-expected of Because a key Texas our primary X.X%. X earlier come and rate, and fourth EWC Slide share to been guidance & of We're did outcomes. like item in $X.XX the We've previous our increase of which strong year-to-date, assume assumption we be as to our tax -- also by expect highlight. on income about case, of adjusted decommissioning our partially from tax around the the we year rate a a we we assuming $X.XX $X.XX. we expect to tax This this customers which tax range. the I'd of the a still offset this The and also quarter. earning, to midpoint guidance Parent reflects a of date Utility, expect has the drivers to we settlement to nuclear we're We're

future midpoint Other affect above reflected those We current to Mississippi long-term result would and & Entergy We're customers, outlook due the year. perform also our affirming continue this Utility, to adjusted this and Arkansas Entergy in would is Utility, for Parent XXXX. amounts that Parent in & results And refund our expect Other to such we XXXX expectations to EPS. accrue expectations, true-up's our through extent, back

from ago. Switching our just You'll bit a Analyst months gears is our a that see outlook few Day unchanged regarding outlooks.

few X have on EPS the past Other & For adjusted focused years, we Utility, operational and measures, earnings Entergy EPS. Parent

Our Utility, a to business. Parent us the & results reinforce Other held utility focus has helped us of pure-play our transitioning view the utility adjusted on to accountable and have quarter

However, now our X that warranted. we've been be strategy, may having successful no longer measures with

next investment from the address we'll Over measures disclosures and feedback months, including evaluating tax the we've reporting. EWC the community, received be few items earnings our from to and volatility large

this While to call. that better business profile. quarter time at provide fourth we reflects from we We that the treat operations current discontinued right on can't update point, guide is our a further recognize the simpler measure a a EWC GAAP you as perspective, on plan to

Slide Moving to our on credit XX. metrics, shown

total increased excess the the percentage $XXX quarter, reform, including unprotected ADIT I debt debt receive continue FFO the and is of tax year-to-date lower third to $XXX to million. mentioned XX.X% In at million our of to earlier. has the This to parent brings customers Our debt our to benefits significant XX.X%. total

ADIT the million unprotected incremental We expect estimated issuances beginning at to cash and we utility next project the move $XXX to we forward. we as as return debt complete an settle to in quarters debt debt next to to improvement a over debt But a excess continue equity little few of parent remaining portion customers. quarter, of an FFO total over,

debt I As last our committed parent XX%. at above XX% remain XXXX to we target at debt debt to quarter, mentioned FFO or by or and total below to our

of achieve to to on are business strong, track and that want to our XXXX the fundamentals longer-term turn outlooks. I are guidance and we reinforce we our Before Q&A, firmly

of the plan year, EWC. our We of few for of considerations milestones the objectives to the the provide including have we executed and business on preview EEI, key for a major wind XXXX. At majority a down

We excited three year also a to conversation EEI. at we plan. We're to a looking where questions. as is this the plan answer about to stand And forward now, company, available Entergy we're capital continuing and preliminary team provide

Operator

Instructions]. [Operator

first America Lynch. Bank Our of comes from Dumoulin-Smith Julien question of

Julien Dumoulin-Smith

first to progress the shut So kick down recognizing before down. How good on point, you Curious of to in perhaps, is any progress off, there? thus And are cash comment far. just these going nuclear last end Northeast where that flow units how time of actually same there on thinking still the improvements respect it some plan negotiations with broadly? in cash you the about also the are and light some in net and few time at mark-to-market flow more you months stand the

Andrew Marsh

Julien, this Drew. is

lot Point, on So we on Indian we good as Yankee Palisades news a stated previously, our the Pilgrim, first a path and have question Vermont regarding follow to time. to Indian similar Point. intent is of is The

mentioned, those you've before down. are NRC. a heightened success because Yankee receiving going to the And on interest it's while shut Vermont had we've As with we're plants be

trust thinking 'XX. and in to the for process about can, and process specifics where not the we And So take to talk sorry, decommissioning 'XX to of regarding we along. cash days as second through probably we expectation couple best in of about to on of when the time go the deal cash the about of the the -- reflected funds we contributions going mark-to-market, our our question, expectations current measure, the last we positive were and to some going we're potential were we're get market are thinking actually are

Julien Dumoulin-Smith

a as territories ratios It then, the And like regulated about you success service good on well. quick your of some the had higher across you've well? front thinking already? are as How excellent. against coming seems equity settlements it, follow-up, Got as execution the

Andrew Marsh

moving is working XX%, we're Orleans are around ones request that in at look was to XX%, Texas, above you if up Louisiana and XX%. on Mississippi. the still think is New it Arkansas I The close

at are moving but is take more the Arkansas or time. on so, XX% think up, it'll so I lowest bit little about those working we a

Julien Dumoulin-Smith

that just is I of what how in believe on context the all -- too? case settlement reflected of you there And it. if is the Arkansas part Got of filed a

Andrew Marsh

think that to it and over filing, I years. was expecting made we're what move that next up we when the we anticipated few

Operator

And our Mehta from next question comes Praful with Citigroup.

Praful Mehta

I proactively, the the legal that. update appreciate, topics Leo, so on appreciate

On about you on the X.X%. I growth growth. X.X%, The is assumption talk quarter, wanted firstly mentioned to your load guidance but load negative year-to-date was more like

So And more just to that driving what's you do wanted is understand is specific? Or sustainable improvement more the year-to-date? think? XXXX that

Roderick West

Rod. It's

we the the the think But in year, commercial through, the guidance you strong I outlooks, our haven't driving your continued think different we given growth. was residential being than was that we we question how what about to and about outlooks saw sector stronger industrial XXXX. believe, gave But change anticipated. I

So our we're adjustments not long-term outlook. making to any

Andrew Marsh

that deploy that, And give our pressure and we actually as expecting information and as that. go better commercial on some customers we that AMI I'll we forward, are over and we're add just will put residential real will sales

Praful Mehta

XX% a agency for How And rating second the that are for the to of your finance the maybe understand to obviously, gone has credit allow years? below the you fair this couple or credit lower Wanted debt XX%. more you, to than going? you, have, discussion the with time debt, then has the of and XX% like you some allowing FFO ADIT and pressure and side. Got to cap target that with enough. on deal like Looks that Drew gone agencies is kind above question

Andrew Marsh

that. above fully FFO we debt for back is aware the that, we've ADIT. what that of in to actually ADIT, And they're and there in excess is and XX% the Yes. reconciliation where you XXXX, aware Praful, And of if see our to are materials. you'll of the excess associated or a out committed XX% still the plan they're at with back we're starting on

next the On going pull Moody's as to -- that looking debt, drop is total particular number and we our much. down They're that debt parent the XX%, they on maintaining below be over that at forward. as focus know don't and that capital, that should debt on to at total main measure so that we're start quarters is to to or the in few equity I

Operator

our And question comes next Evercore. Gordon from Greg with

Gregory Gordon

terms of compelled or about well, we as but of move I'm plan your portion guys expect of wondering we -- proactively embracing energy to and should much utilities been efficiency spending capital large medium behind with large technological plan been see you're RISE not at -- storage, building regions other How that to technologies turbines, -- evolve type been capital I paradigm into CCGTs capital talk in change? dominated focused your renewables, Orleans. you the your meter of of large dominated by battery by, has a plan, the capital about the in on to the plant regard thinking the the New size we other combustion country, EEI when we mean, sort has to have

Leo Denault

we Analyst the that's need had and Day, point. I'll identified continued let Drew we Obviously, start generation. Greg, Yes, when that actually Mississippi in. At at need new the for talked jump about

the well, better customer-facing efficient to have think as modern, ways other we've useful the need more renewables look see past, started refresh X,XXX addition but New we amount some, at modernization why at us we with is that capability have, capability do legacy continue be Orleans test of that. up it the to system. investments, as talk dynamic generation T&D as a battery and lot you as footprint a right But there generation, now economic and necessarily areas on under also picking that's storage. me, that central station not grid, announced information we of becoming that with where through generation, backup and and storage we Day, as give about megawatts still continue we we If replace post-AMI, about But to to where with a mentioned little the things facility that types it to in devices remotely, us or grid battery in that we we've go would have of out really renewable where either so development will troubleshooting you storage got environmental bit more competitive the we as type when more we grid to for stuff. Analyst could time, newer, to at can significant investment we were with we of solar give might significant all our of us even also recall we and moment, the battery about of get needs generation still only better to have of for give more us That's more we a should to the and have amount and

and we our customers. to In manage how addition to information go and data analytics that

traditional the of package. to guess, see particularly is, as of I and our up to together in lot the well investment, start bottom more line should side modernization we have given on investment more more you grid as continue but the put So of a service a pick territory, growth T&D the the we

for we mentioned, environmentally emissions AMI our we lower and able technologies more more, usage replace. to more a in got We're at we wanting friendly bottom go than add, capital some bang battery as new give footprint. those environmental things standpoint. customer where renewables that managing the that mode a line actually to as an will we're for customers producing that drive and are such resource our Drew lowest us And we're for way then, continue ideas. all to plants storage continue of of reliability the want be Each these States Certainly, to that United those what us with So we time, buck to all utility priced the in and to from footprint most the same that get new will and significantly, when is, going expenditure the keep we've just our to less as power on are keen managing those improve a the that's us in other our a eye that adds of environmental -- improve a well. one with

technology win-win there of lot starts a opportunities to improve. out So as

Andrew Marsh

kind don't that new systems I'll I lot finish the and with distribution about anticipating around $X.X associated billion, IT stuff, program. that kind entire $X.X to up, add. area where In we're of and we AMI the through and just operational spending automation a that of our have billion talk

of up been through to million, And in to of which has $XXX that $XXX spent A to up start and distribution bit we're to out going be little lot that of million automation probably it start frame. same also 'XX. meters, a in January then, going 'XX. make are pick the time roll Now in

identified. then So XXX have that megawatts also like have we that so forth. some the a have spending we on transfers we have New of of the in solar new And amount proposed build of Orleans significant we and

lot is it more to plan our some but go. right there in So said, capital we is have there of now, a as

Gregory Gordon

think successful of simplify you've use we opportunity since many the must year-after-year and improve positions with that many, years long that could be forward. there It's pro a profit created -- that's assume assume your end kind value. can go continue? tax mean, making lot to new that forma. finite we disclosures. tax going while How a we have? well The should bring very, how you topic. ability a center, probably created your on IRS different a but But complete very the to earnings so I They work simplification for you've in follow-up, I and one deep to had a through and successful your question, many very, years, should desire and states back earnings and front, of applaud of are been very volatility, to it's been some One in

Andrew Marsh

Greg, it's Drew.

about line can So certainly, we extent other go customers, that that would like to and the opportunities. benefit to our items we for continue we certainly we think think look

do what that would well we think that's they're baked drive being be won't to articulate that or to things future. but exactly they be I point other that come. there, direction there out might and time so enough continue to and will the in think this when they for for so foreseeable be able the -- And would We part change, not at

Operator

Jonathan from comes Bank. question with next our Arnold And Deutsche

Jonathan Arnold

felt would you I Just to parameters a that around time Holtec indicated quicker you through around question. announced put believe you second process they be that when recently get some the you deal, and NRC that.

So Pilgrim I'm us and be remind done would just you you're time curious Palisades feel you having Yankee, do giving of what thought process still completed wise? can Vermont that's case? around the sort And

Andrew Marsh

process, and certainly, with And a deal first the learning was Vermont of kind of learning be would was curve Drew. that it. kind is remember, deal, Yankee some NRC a learning process, Jonathan, would This you that as is there and of expect so associated everybody through the through kind we Sure.

is until would we we Pilgrim particular end by half of is expect anticipation XXXX. half time year. current would the process, be But some able process if transaction. the next won't would to of XXXX that of whenever Palisades complete commence our we second that of so The And the course, close

Jonathan Arnold

would on file this I next? hear I you right with that early missed it. or Do NRC quarter Sorry, Pilgrim

Andrew Marsh

for aiming aiming quarter. for this We're quarter. We're this

Jonathan Arnold

So little you you're a that however roughly rather now thinking is long a than to? this year over eye process

Andrew Marsh

exactly. roughly, Yes,

Operator

question And Mizuho. from with next Paul your Fremont comes

Paul Fremont

a of you an you guess, agencies? you level for by I promised elaborate debt higher ratio to commitment sort you've to how rating FFO the Can level that from the just improved committed XXXX. a on current go to mentioned

Andrew Marsh

Drew. it's Paul, Yes.

all main the the that I -- cash. returning just of think returning So assets difference absent is

a it So $XXX deficit top of million. as I I think, line would have year-to-date

You should add back that improve. in, it

will collect business new with actually as we'll will significant the we thing on just associated transaction, as other it The start thing Moody's Choctaw it positive and like is well. the to because and any wrote it's as There we investment. into improve a soon as go rates be close, that Things think a won't about I that. lag

should improve ratios. that our cash So coverage

Paul Fremont

the for -- years anticipate then? need don't then over several the next you And Okay. equity any in

Andrew Marsh

we at beyond. Analyst difference said It's is or which Day, what in no Yes. nothing expect until XXXX

Operator

question Fishman next Research. the And with from Charles comes MorningStar

Charles Fishman

on executive people know your lot certainly community. end. Of he analyst the Wayne. among I course, meant at to a was He a condolences well-respected

Leo Denault

Appreciate it. Charles. you, Thank

Charles Fishman

the of a gain driven loss MVP. the line on correct? Fourth XX line sale couple items, had is Slide just that down, that. Is on special performance on by of questions the that assets,

Andrew Marsh

this And actually and XXXX bit. the moved would And in A loss we -- of ARO the changed in Pilgrim next the quarter, have little it we ARO this it forward cost for next the estimate changed mentioned as year experienced as that changed. quarter. to the decommissioning amount

that saw a to little you relates bit come transaction. So as down the Pilgrim

companies. wouldn't -- thing find The been off. is on in some companies going can we've we project that other write them deferred utilize assets that's been have we to And extent on ways those tax to the to that those those, working hard have we

Charles Fishman

that also ARO move X the what So you revaluation, line that loss. to was up in went gain there that 'XX -- X? And the and I in improvement get Is on an line then did it...

Andrew Marsh

would it different yes. have but Yes, years, in been

now smaller explain -- yes, Pilgrim, of and expecting that. So larger that would be have it's in, in call. at lots of 'XX we're off gone have because to would it a David it a loss out basically time 'XX. the it I But in -- loss and

Operator

time. turn to Borde no Thank David you. this like to further I'd for call closing I'm over questions at remarks. And any back showing the

David Borde

you, Jimmy, and to this for thanks Thank participating everyone morning.

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Operator

today's does you your may Ladies This you Everyone, and conclude gentlemen, conference. day. your and participation thank disconnect. in for have great a program

Entergy (ETR) 31 Oct 182018 Q3 Earnings call transcript