1. YTD Results and Full Year Forecast

2. Executive Summary
The January 18 forecast takes into account the actual performance of the business over the past nine months.
This forecast suggests that we will deliver operating profit in line with our budgeted position by the end of the financial year (before the exceptional costs of the Optional Leavers Scheme (“OLS”). This is an improvement on the previous October 17 forecast by c£700k.
However, once the exceptional costs of OLS are included then the P&L shows a loss of £3.7m. This is purely an ‘accounting’ loss since the OLS is fully funded.
It should be noted that we have produced a revised view of charges in light of the new forecast.
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3. YTD results and latest full year forecast
January forecast operating profit of £2.8m is in line with budget
After OLS costs have been accounted for the loss for the year is £3.7m
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4. January forecast back in line with budget
Slide 4

5. Full Year – Charges and Totex
DECEMBER 2017
Full Year 2017/18 £k
Jan FC
Oct FC
July FC
Budget
Var Oct FC
Var Bud
CHARGES
OPEX related
61,643
62,085
66,986
66,068
(442)
(4,425)
CAPEX related
6,538
7,034
5,204
6,775
(496)
(237)
Total CHARGES
68,181
69,119
72,190
72,843
(938)
(4,662)
TOTEX (Total Expenditure)
OPEX
(58,828)
(60,005)
(67,147)
(63,493)
1,177
4,665
CAPEX
(6,291)
(6,549)
(5,004)
(6,539)
258
248
Total Expenditure
(65,119)
(66,554)
(72,151)
(70,032)
1,435
4,913
CHARGES less TOTEX
3,063
2,566 39
2,811
497
252
Broken down by
Operating Profit
2,816
2,080
(161)
2,575
735
241
Capex Margin
247
485
200
236
(238) 11
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6. Rebates and deferred charges based on January forecast
Budgeted Charges
Shippers
Transmission DN
iGT
Subtotal
Other
Deferred
Total
General
10,770
8,080
13,891
291
33,032 -
Infrastructure
5,505
2,362
7,297
127
15,291
1,061
16,352
Change
530
3,753
1,584
5,867
UK Link
1,488
12,036
13,524
General Subtotal
16,805
15,683
34,808
418
67,714
68,775
Specific Services
3,768
100
3,868
200
All Charges
20,574
34,908
71,582
1,261
72,843
January Forecast Adjustments (Negative = Charges rebate)
(395)
(63)
(519)
(11)
(988)
1,171
(821)
897
1,236
(943)
(2,170)
(1,877)
(206)
(2,211)
(1,392) 8
(3,801)
194
1,569
1,763
571
(2,902)
555
(14)
(1,790)
(4,902)
240
(2,662)
(1,550)
(4,662)
January Forecast Charges
10,375
8,017
13,372
280
32,044
6,676
1,541
8,194
116
16,527
118
14,475
324
1,542
192
2,066
1,682
13,605
15,287
17,376
12,781
35,363
404
65,924
63,873
440
21,144
13,021
35,463
70,033
318
68,181
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