Alliant Energy Corporation (NYSE:LNT) Q4 2017 Earnings Conference Call - Final Transcript

Feb 23, 2018 • 10:00 am ET

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Alliant Energy Corporation (NYSE:LNT) Q4 2017 Earnings Conference Call - Final Transcript

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Q & A
Operator
operator

Thank you, Mr. Durian. At this time the company will open up the call to questions from members of the investment community. Alliant Energy's management will take as many questions as they can within the one hour timeframe for this morning's call. (Operator Instructions) Nick Campanella, Bank of America Merrill Lynch.

Analyst
Nicholas Campanella

I was just curious on your comments for additional equity. Could there be any changes to your consolidated cap structure, I think there was a targeted 40% to 45% ratio discussed on the 3Q call. So is there any changes to that?

Executive
Robert Durian

No, we're going to stay with that plan.

Analyst
Nicholas Campanella

Got it. And I understand the dockets are ongoing, but is there kind of a base case number that we should be thinking about for '18 or '19 as things change there?

Executive
Patricia Kampling

You're talking about sort of rate review, I'm sorry, we don't understand your question.

Analyst
Nicholas Campanella

I'm sorry. The tax reform dockets that are ongoing in your jurisdictions, and I know that the cash flow impacts will be dependent on how those cases play out, but is there kind of a base case on how to think about the equity number?

Executive
Robert Durian

Yeah, from an equity prospective, we're obviously sharing with you what we're doing in 2018 with no plan changes at this point. We were going to continue to evaluate what the regulatory decisions are. At this point, we're expecting a decision from both of the two major jurisdictions probably sometime in the second quarter following that, as well as any additional information we learn about our capital expenditure plan through the decision we're waiting for the wind plan. We'll probably have some information I would guess in a month or two to give you some more clarity as to what our equity needs look like beyond that at that frame.

Operator
operator

(Operator Instructions) Andy Levy, Avon Capital.

Analyst
Andrew Levy

The equity, when you will update us on that? I missed that.

Executive
Robert Durian

Probably sometime later this year, Andy. We obviously need some additional information regarding what the regulators are going to decide on the Tax Reform benefits from the timing and method which they are going to go back to the customers. And then also, we want to have more clarity on the capital expenditure plan which we're hoping to get here in the next few weeks regarding the second 500 megawatts of the wind in Iowa.

Executive
Patricia Kampling

But, Andy, we don't expect any changes for 2018 financing plan. This will be post 2018.

Analyst
Andrew Levy

Right. And obviously we're in effective growth rate longer term as well?

Executive
Robert Durian

That is correct. Yeah, right now as we disclosed on slide six of the supplemental slides, we see some I would say modestly accretive impact of Tax Reform on our earnings, but not enough for us to change the 5% to 7% through 2021. And that's largely centered around, we do like most utilities we're going to see some additional rate base growth, but we also see some additional equity needs and therefore they offset each other.