LRS Progress Report and Action Plan Update to the Profiling Working Group July 24, 2006

2 Progress Report Continuing activities:  Import and validate interval data cuts  Investigate data gap filling and reporting processes  Project initiated to replace the NAESB transaction server (FTP Replacement protocol to S-FTP protocol). New documentation, training and scripts will be provided As yet no time frame.

3 Percent Recorders w/ GE 90% Data

4 ERCOT is preparing more detailed gap reports by TDSP to distribute monthly ERCOT is working with each TDSP to improve completeness of data TDSP’s are filling back gaps and providing an increasingly higher percentage of data each month.

5 Milestone Timeline Model Building Profile Evaluation tool complete. Initial discussion of profile transition issue Ratio Analysis and comparison with existing profiles using new Profile ID assignments complete. MetrixND training complete. ERCOT completes analysis of transition alternatives and presents recommendation to PWG First round of profile model building complete. Evaluation combining models across weather zones complete. Present new models to PWG. PWG achieves consensus on profile transition and action plan. Round 2 Sampling Precision Analysis tool complete. Establish accuracy requirements. Present Round 2 sample design to PWG. Date 05/24/06 06/28/06 07/24/06 08/30/06 Mid-Sept 09/27/06

6 Milestone Timeline continued Model Building Stakeholder process complete. 150 day notification completed and new models implemented. Round 2 Sampling Select Round 2 samples and send to TDSP’s. Date Early Oct 12/20/06 05/31/07