Delivering a Bright Future EEI / AGA Conference & Exposition April 17, 2013 May 11, 2011

ABOUT NORTHWESTERN Our Vision: Enriching lives through a safe, sustainable energy future Our Mission: Working together to deliver safe, reliable and innovative energy solutions - environment

Who we are 668,300 customers Total assets: $3.2 billion 400,500 electric 267,800 natural gas Approximately 123,000 square miles of service territory in Montana, South Dakota and Nebraska Total assets: $3.2 billion Total capitalization: $1.77 billion Total Rate Base: $1.875 billion (est.) Total employees: 1,400 Located in states with relatively stable economies with opportunity for system investment and grid expansion Largest taxpayer in Montana ($77 million in 2011, $83 million in 2012, $90+ million in 2013)

Montana Operations Service territory includes western 2/3 of Montana (107,600 square miles) Electric 21,400 miles of distribution 7,000 miles of transmission Peak load -1,766 MW Average load – 1,216 MW Natural Gas 4,100 miles of distribution 2,000 miles of transmission Total delivered – 40 BCF Peak Daily – 335,000 dkt Employees – 1,037 Montana is a deregulated state (kind of)

Organizational Structure Key Account function resides within Customer Care segment of NWE We have approximately 125 key account customers. These customers represent about 10,000 individual accounts. We have assigned a Key Account Manager to each of these customers to enable a 7X24 single point of contact. The primary criteria used to define a key account is load size. Electric - > 1000 kW Natural gas - > 5000 dkt/year The next segment of customers (< 1000 kW) is handled by our Customer Relations Managers.

Key Accounts & Economic Development ‘A Natural Synergy’ Key accounts are typically the ‘movers and shakers’ in the local economies. Our KAM’s have a direct pipeline into our key account customers and can use these relationships to identify retention, expansion and attraction opportunities. The KAM’s work closely with the new construction department within the utility as well as local government officials. The KAM’s are typically ‘at the table’ when prospective large customers visit with local development organizations.

Roles and Responsibilities Our Key Account Managers visit with customers on a regular basis. During the visits, the KAM’s illustrate historical usage patterns via charts and graphs. These visits provide an opportunity to promote the Company’s energy efficiency/DSM programs. Our KAM’s have a dual role; 1) promote energy efficiency and wise energy use, and 2) promote economic development. As such, our emphasis is on energy intensity rather than just energy reduction.

why??? Energy Efficiency Customer satisfaction Avoided Costs - Cheaper Resources Regulatory Treatment

who???? Key Account Managers Community Relations Managers Local Development Organizations BEAR Visits

how??? Face-to-Face Visits Third-Party Outreach Contracts Large Customer Forums Brochures Web presence Bill Inserts

what??? Account information Utility Program Discussions & Incentives Future Considerations Retention / Expansion Opportunities Cluster Development & Targeted Industries

examples??? Manufacturing Wood Products Mining Chemical Products Local Government Value-Added Agriculture

Questions ???? Thank you for your time. Rick Edwards NorthWestern Energy (Work) 406-497-3621 (Cell) 406-490-1499 E-Mail rick.edwards@northwestern.com