1. Profile Working Group & TX SET Conference Call Thursday, October 11, 2007

2. LPGRR027 & PRR736 - TX SET’s request from PWG On September 25, 2007, Profile Working Group (PWG ) met and discussed 8 options concerning Demand Response (DR) ESI IDs. The first five options are documented and located in key documents on the ERCOT website at http://www.ercot.com/calendar/2007/09/2007 0925-PWG.html. http://www.ercot.com/calendar/2007/09/2007 0925-PWG.html The other three are listed as items 6, 7 and 8 in the next slide.

3. Options Discussed by PWG Option 1: Profile ID Segment change Option 2: TOU Code change Option 3: Weather Sensitive Code change Option 4: Profile Type change Option 5: Alternative Weather Sensitive Code change Option 6: Texas Set change for dynamic Profile Type change during a switch from a Demand Response (DR) Program in conjunction with Option 1 Option 7: Do nothing. CRs currently have the option to install 15 minute interval meters on Demand Response (DR) program participants Option 8: Convert the Settlement Recorder 64 characters to use a lookup table for settlement characteristics

4. Action Item from PWG to Texas SET Option 6: “Long Term Solution” is to solve the issue of CR receiving foreign (DR) Profile ID assignments as the result of a Switch (Move-In/Move-Out?) by dynamically changing the profile found in the Texas SET transaction for an 814_04 and 814_05 because the Profile ID assignment should default back to the original Profile ID. The receiving CR would not be required to make any system changes to receive foreign (DR) Profile ID codes. Per PWG, “Long Term” in this case means perhaps a few extra months would be added to the implementation timeline of Demand Response (DR) programs which could place the target of Summer of 2008 at risk.

5. Market Transaction Flow Processes Switch: http://www.ercot.com/mktrules/guides/txset/sw/Visio- Switch%2C%20No%20Customer%20Objection.pdf http://www.ercot.com/mktrules/guides/txset/sw/Visio- Switch%2C%20No%20Customer%20Objection.pdf Move-In: http://www.ercot.com/mktrules/guides/txset/sw/index.ht ml http://www.ercot.com/mktrules/guides/txset/sw/index.ht ml Move-Out: http://www.ercot.com/mktrules/guides/txset/sw/Visio- Move%20Out%2C%20Customer%20Initiated%20MVO.pdf http://www.ercot.com/mktrules/guides/txset/sw/Visio- Move%20Out%2C%20Customer%20Initiated%20MVO.pdf

6. Next Steps Texas Set leadership at the request of Profile Working Group (PWG) has scheduled a joint meeting/conference call with PWG and TX SET to discuss Option 6 (Long Term Solution). Conference Call: Day/Date:Thursday, October 11, 2007 Time: 1:30 PM – 4:00 PM Conference Bridge numbers  Houston Local (713)207-5105  Long Distance Toll Free (888)265-9390  Password 870912 Continue this discussion and bring back any action items to TX SET’s October 24 and 25, 2007 meeting in order that TX SET will provide PWG with our assessment by November 2, 2007.

7. 7 Questions?