IDACORP

Idaho Power will continue to recover its prudently incurred costs and earn allowed returns because regulators have historically approved settlements and the company applies regulatory accounting, keeping returns predictable. If regulators keep allowing cost recovery and returns, earnings and cash flows remain predictable and fund dividends and capex; if regulators deny recovery or reduce allowed returns, earnings and financing costs would rise and equity returns fall.

Sustained customer and MWh growth will require Idaho Power to deploy the company’s planned capital program, and regulators will include prudently incurred additions in rate base, driving long-term revenue and cash growth. If load/customer growth persists and capex is folded into rate base, revenue and cash flow expand organically; if load growth stalls or distributed generation materially reduces load, the capital program may not translate to higher regulated earnings.

Delivering contracted renewables, battery storage and transmission (B2H, SWIP‑N interests) will reduce Idaho Power’s exposure to volatile wholesale markets and power-cost swings, stabilizing operating cash flow. If resource and transmission projects come online as contracted, power-supply cost volatility falls and operating cash flow becomes more predictable; if projects are delayed or over-budget, the company retains higher market exposure and cash volatility rises.

Selling Oregon distribution and associated transmission assets will materially reshape Idaho Power’s asset base and could improve capital allocation and regulatory alignment if sale approvals proceed and proceeds are deployed prudently. If the Oregon sale closes on favorable terms and regulators approve it, IDACORP can reduce complexity and potentially return proceeds or reallocate capital; if the sale is blocked, delayed, or yields poor economics, stranded costs or regulatory disputes could press earnings or require write-downs.