As part of the Illinois electric settlement agreement, the Ameren Illinois Utilities entered into financial contracts with Marketing Company.
These financial contracts are derivative instruments being accounted for as cash flow hedges at the Ameren Illinois Utilities and Marketing Company.
Consequently, the Ameren Illinois Utilities and Marketing Company record the fair value of the contracts on their respective balance sheets and the changes to the fair value in regulatory assets or liabilities for the Ameren Illinois Utilities and OCI at Marketing Company.
In Ameren’s consolidated financial statements, all financial statement effects of the swap are eliminated.
See Note 2 – Rate and Regulatory Matters for additional information on these financial contracts.
Other Derivatives The following table represents the net change in market value for the years ended December 31, 2007, 2006 and 2005, of option and swap transactions used to manage our positions in SO2 allowances, coal, heating oil, and power.
Certain of these transactions are treated as nonhedge transactions under SFAS No.133, “Accounting for Derivative Instruments and Hedging Activities,” as amended.
The net change in the market value of power options is recorded in Operating Revenues – Electric, while the net changes in the market value of coal, heating oil, and SO2 options and swaps is recorded as Operating Expenses – Fuel.
## Table 0 ##
(a) Includes amounts for Ameren registrant and nonregistrant subsidiaries and intercompany eliminations.
Through the market allocation process, UE, CIPS, Genco, CILCO and IP have been granted FTRs associated with the MISO Day Two Energy Market.
Marketing Company has acquired FTRs for its participation in the PJM-Northern Illinois portion of the market.
The FTRs are intended to hedge electric transmission congestion charges related to our delivery of electricity.
Depending on the congestion on the electric transmission grid and prices at various points on such grid, FTRs could result in either charges or credits.
We use complex grid modeling tools to determine which FTRs we wish to nominate in the FTR allocation process.
There is a risk that we may incorrectly model the amount of FTRs we need, and there is the potential that some of the FTR hedges could be ineffective.
FTRs are considered derivatives.
As of December 31, 2007, the net value of FTRs held by the Ameren Companies was determined to be immaterial.
NOTE 8 – STOCKHOLDER RIGHTS PLAN AND PREFERRED STOCK Stockholder Rights Plan Ameren’s board of directors has adopted a share purchase rights plan designed to assure stockholders of fair and equal treatment in the event of a proposed takeover.
The rights are exercisable only if a person or group acquires 15% or more of Ameren’s outstanding common stock or announces a tender offer that would result in ownership by a person or group of 15% or more of the Ameren common stock.
Each right will entitle the holder to purchase one onehundredth of a newly issued preferred share at an exercise price of $180.
If a person or group acquires 15% or more of Ameren’s outstanding common stock, each right will entitle its holder (other than such person or members of such group) to purchase, at the right’s then-current exercise price, a number of Ameren’s common shares having a market value of twice such price.
In addition, if Ameren is acquired in a merger or other business combination transaction after a person or group has acquired 15% or more of Ameren’s outstanding common stock, each right will entitle its holder to purchase, at the right’s then-current exercise price, a number of the acquiring company’s common shares having a market value of twice such price.
The acquiring person or group will not be entitled to exercise these rights.
These rights expire in October 2008.
One right will accompany each new share of Ameren common stock prior to such expiration date.
Preferred Stock All classes of UE’s, CIPS’, CILCO’s and IP’s preferred stock are entitled to cumulative dividends and have voting rights.
Ameren has 100 million shares of $0.01 par value preferred stock authorized, with no shares outstanding.
CIPS has 2.6 million shares of no par value preferred stock authorized, with no shares outstanding.
UE has 7.5 million shares authorized of $1 par value preference stock and CILCO has 2 million shares authorized of no par value preference stock, with no such preference stock outstanding.
IP has 5 million shares authorized of no par value serial preferred stock and 5 million shares authorized of no par value preference stock, with no such serial preferred stock and preference stock outstanding.
No shares of preference stock have been issued by any of the Ameren Companies.
Mechanics’ Liens Approximately 20 mechanics’ liens were filed by various subcontractors who provided labor or material for a 2007 planned maintenance outage at the Duck Creek facility of CILCO subsidiary, AERG.
The total lien claim amount was $26 million plus interest at December 31, 2007.
In November 2007, the primary subcontractor on the project filed a complaint for foreclosure of its mechanic’s lien of $19 million plus interest against AERG in the Circuit Court of Fulton County, Illinois.
AERG believes it has paid the general contractor the amount due in full (less a contract-allowed holdback of $4 million), and since this arose out of a contract dispute between the general contractor and the primary subcontractor, AERG is currently considering its potential remedies against the general contractor.
At this time, we are unable to predict the impact of these liens and lawsuit on CILCO’s or AERG’s future results of operations, financial position, or liquidity.
Asbestos-related Litigation Ameren, UE, CIPS, Genco, CILCO and IP have been named, along with numerous other parties, in a number of lawsuits filed by plaintiffs claiming varying degrees of injury from asbestos exposure.
Most have been filed in the Circuit Court of Madison County, Illinois.
The total number of defendants named in each case is significant; as many as 189 parties are named in some pending cases and as few as six in others.
However, in the cases that were pending as of December 31, 2007, the average number of parties was 70.
The claims filed against Ameren, UE, CIPS, Genco, CILCO and IP allege injury from asbestos exposure during the plaintiffs’ activities at our present or former electric generating plants.
Former CIPS plants are now owned by Genco, and former CILCO plants are now owned by AERG.
Most of IP’s plants were transferred to a Dynegy subsidiary prior to Ameren’s acquisition of IP.
As a part of the transfer of ownership of the CIPS and CILCO generating plants, CIPS and CILCO have contractually agreed to indemnify Genco and AERG, respectively, for liabilities associated with asbestos-related claims arising from activities prior to the transfer.
Each lawsuit seeks unspecified damages, which, if awarded at trial, typically would be shared among the various defendants.
From October 1, 2007, through December 31, 2007, six additional asbestos-related lawsuits were filed against UE, CIPS, CILCO and IP, mostly in the circuit court of Madison County, Illinois.
Seven lawsuits were settled.
The following table presents the status as of December 31, 2007, of the asbestos-related lawsuits that have been filed against the Ameren Companies:
## Table 1 ##
(a) Totals do not equal to the sum of the subsidiary unit lawsuits because some of the lawsuits name multiple Ameren entities as defendants.
As of December 31, 2007, nine asbestos-related lawsuits were pending against EEI.
The general liability insurance maintained by EEI provides coverage with respect to liabilities arising from asbestos-related claims.
IP has a tariff rider to recover the costs of asbestosrelated litigation claims, subject to the following terms.
Beginning in 2007, 90% of cash expenditures in excess of the amount included in base electric rates are recoverable by IP from a trust fund established by IP and financed with contributions of $10 million each by Ameren and Dynegy.
At December 31, 2007, the trust fund balance was $22 million, including accumulated interest.
If cash expenditures are less than the amount in base rates, IP will contribute 90% of the difference to the fund.
Once the trust fund is depleted, 90% of allowed cash expenditures in excess of base rates will be recovered through charges assessed to customers under the tariff rider.
The Ameren Companies believe that the final disposition of these proceedings will not have a material adverse effect on their results of operations, financial position, or liquidity.
NOTE 14 – CALLAWAY NUCLEAR PLANT Under the Nuclear Waste Policy Act of 1982, the DOE is responsible for the permanent storage and disposal of spent nuclear fuel.
The DOE currently charges one mill, or 1?10 of one cent, per nuclear-generated kilowatthour sold for future disposal of spent fuel.
Pursuant to this act, UE collects one mill from its electric customers for each kilowatthour of electricity that it generates and sells from its Callaway nuclear plant.
Electric utility rates charged to customers provide for recovery of such costs.
The DOE is not expected to have its permanent storage facility for spent fuel available until at least 2017.
UE has sufficient installed storage capacity at its Callaway nuclear plant until 2020.
It has the capability for additional storage capacity through the licensed life of the plant.
The delayed availability of the DOE’s disposal facility is not expected to adversely affect the continued operation of the Callaway nuclear plant through its currently licensed life.
Electric utility rates charged to customers provide for the recovery of the Callaway nuclear plant’s decommissioning costs, which include decontamination, dismantling, and site restoration costs, over an assumed 40-year life of the plant, ending with the expiration of the plant’s operating license in 2024.
UE intends to submit a
## Table 2 ##
NOTE 16 – SEGMENT INFORMATION Ameren has three reportable segments: Missouri Regulated, Illinois Regulated, and Non-rate-regulated Generation.
The Missouri Regulated segment for Ameren includes all the operations of UE’s business as described in Note 1 – Summary of Significant Accounting Policies, except for UE’s 40% interest in EEI (which in February 2008 was transferred to Resources Company through an internal reorganization) and other non-rate-regulated activities, which are in Other.
The Illinois Regulated segment for Ameren consists of the regulated electric and gas transmission and distribution businesses of CIPS, CILCO, and IP, as described in Note 1 – Summary of Significant Accounting Policies.
The Non-rate-regulated Generation segment for Ameren consists primarily of the operations or activities of Genco, the CILCORP parent company, AERG, EEI, and Marketing Company.
The category called Other primarily includes Ameren parent company activities and the leasing activities of CILCORP, AERG, Resources Company, and CIPSCO Investment Company.
UE has one reportable segment: Missouri Regulated.
The Missouri Regulated segment for UE includes all the operations of UE’s business as described in Note 1 – Summary of Significant Accounting Policies, except for UE’s 40% interest in EEI and other non-rate-regulated activities, which are included in Other.
CILCORP and CILCO have two reportable segments: Illinois Regulated and Non-rate-regulated Generation.
The Illinois Regulated segment for CILCORP and CILCO consists of the regulated electric and gas transmission and distribution businesses of CILCO.
The Non-rate-regulated Generation segment for CILCORP and CILCO consists of the generation business of AERG.
For CILCORP and CILCO, Other comprises leveraged lease investments, parent company activity, and minor activities not reported in the Illinois Regulated or Non-rate-regulated Generation segments for CILCORP.
The following tables present information about the reported revenues and specified items included in net income of Ameren for the years ended December 31, 2007, 2006 and 2005, and total assets as of December 31, 2007, 2006 and 2005.
## Table 3 ##
AMERICAN TOWER CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) A description of the Company’s reporting units and the results of the related transitional impairment testing are as follows: Verestar—Verestar was a single segment and reporting unit until December 2002, when the Company committed to a plan to dispose of Verestar.
The Company recorded an impairment charge of $189.3 million relating to the impairment of goodwill in this reporting unit.
The fair value of this reporting unit was determined based on an independent third party appraisal.
Network Development Services—As of January 1, 2002, the reporting units in the Company’s network development services segment included Kline, Specialty Constructors, Galaxy, MTS Components and Flash Technologies.
The Company estimated the fair value of these reporting units utilizing future discounted cash flows and market information as to the value of each reporting unit on January 1, 2002.
The Company recorded an impairment charge of $387.8 million for the year ended December 31, 2002 related to the impairment of goodwill within these reporting units.
Such charge included full impairment for all of the goodwill within the reporting units except Kline, for which only a partial impairment was recorded.
As discussed in note 2, the assets of all of these reporting units were sold as of December 31, 2003, except for those of Kline and our tower construction services unit, which were sold in March and November 2004, respectively.
Rental and Management—The Company obtained an independent third party appraisal of the rental and management reporting unit that contains goodwill and determined that goodwill was not impaired.
The Company’s other intangible assets subject to amortization consist of the following as of December 31, (in thousands):
## Table 4 ##
The Company amortizes its intangible assets over periods ranging from three to fifteen years.
Amortization of intangible assets for the years ended December 31, 2004 and 2003 aggregated approximately $97.8 million and $94.6 million, respectively (excluding amortization of deferred financing costs, which is included in interest expense).
The Company expects to record amortization expense of approximately $97.8 million, $95.9 million, $92.0 million, $90.5 million and $88.8 million, respectively, for the years ended December 31, 2005, 2006, 2007, 2008 and 2009, respectively.5.
NOTES RECEIVABLE In 2000, the Company loaned TV Azteca, S. A.  de C. V.  (TV Azteca), the owner of a major national television network in Mexico, $119.8 million.
The loan, which initially bore interest at 12.87%, payable quarterly, was discounted by the Company, as the fair value interest rate at the date of the loan was determined to be 14.25%.
The loan was amended effective January 1, 2003 to increase the original interest rate to 13.11%.
As of December 31, 2004, and 2003, approximately $119.8 million undiscounted ($108.2 million discounted) under the loan was outstanding and included in notes receivable and other long-term assets in the accompanying consolidated balance sheets.
The term of the loan is seventy years; however, the loan may be prepaid by TV

<table><tr><td> Gains (Losses)</td><td> 2007</td><td> 2006</td><td> 2005</td></tr><tr><td> SO<sub>2</sub>options and swaps:</td><td></td><td></td><td></td></tr><tr><td>Ameren<sup>(a)</sup></td><td>$8</td><td>$-2</td><td>$2</td></tr><tr><td>UE</td><td>6</td><td>4</td><td>4</td></tr><tr><td>Genco</td><td>1</td><td>-4</td><td>-2</td></tr><tr><td> Coal options:</td><td></td><td></td><td></td></tr><tr><td>Ameren<sup>(a)</sup></td><td>2</td><td>-2</td><td>-1</td></tr><tr><td>UE</td><td>2</td><td>-2</td><td>-1</td></tr><tr><td> Heating oil options:</td><td></td><td></td><td></td></tr><tr><td>Ameren<sup>(a)</sup></td><td>6</td><td>-2</td><td>-</td></tr><tr><td>UE</td><td>1</td><td>-</td><td>-</td></tr><tr><td>Genco</td><td>1</td><td>-</td><td>-</td></tr><tr><td> Nonhedge power swaps and forwards:</td><td></td><td></td><td></td></tr><tr><td>Ameren<sup>(a)</sup></td><td>-2</td><td>-</td><td>-</td></tr></table>
<table><tr><td></td><td></td><td colspan="6"> Specifically Named as Defendant</td></tr><tr><td></td><td> Total<sup>(a)</sup></td><td> Ameren</td><td> UE</td><td> CIPS</td><td> Genco</td><td> CILCO</td><td> IP</td></tr><tr><td>Filed</td><td>349</td><td>31</td><td>194</td><td>147</td><td>2</td><td>49</td><td>165</td></tr><tr><td>Settled</td><td>123</td><td>-</td><td>64</td><td>56</td><td>-</td><td>19</td><td>63</td></tr><tr><td>Dismissed</td><td>151</td><td>27</td><td>100</td><td>52</td><td>2</td><td>12</td><td>72</td></tr><tr><td>Pending</td><td>75</td><td>4</td><td>30</td><td>39</td><td>-</td><td>18</td><td>30</td></tr></table>
<table><tr><td></td><td colspan="2"> Less than 12 Months</td><td colspan="2"> 12 Months or Greater</td><td colspan="2"> Total</td></tr><tr><td></td><td> Fair Value</td><td> Gross   Unrealized   Losses</td><td> Fair Value</td><td> Gross   Unrealized   Losses</td><td> Fair Value</td><td> Gross   Unrealized   Losses</td></tr><tr><td>Debt securities</td><td>$13</td><td>$1</td><td>$12</td><td>$-</td><td>$25</td><td>$1</td></tr><tr><td>Equity securities</td><td>11</td><td>2</td><td>6</td><td>5</td><td>17</td><td>7</td></tr><tr><td>Total</td><td>$24</td><td>$3</td><td>$18</td><td>$5</td><td>$42</td><td>$8</td></tr></table>
<table><tr><td></td><td> Missouri   Regulated</td><td> Illinois   Regulated</td><td> Non-rate-   regulated   Generation</td><td> Other</td><td> Intersegment   Eliminations</td><td> Consolidated</td></tr><tr><td> 2007</td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>External revenues</td><td>$2,915</td><td>$3,304</td><td>$1,313</td><td>$14</td><td>$-</td><td>$7,546</td></tr><tr><td>Intersegment revenues</td><td>46</td><td>62</td><td>485</td><td>40</td><td>-633</td><td>-</td></tr><tr><td>Depreciation and amortization</td><td>333</td><td>217</td><td>105</td><td>26</td><td>-</td><td>681</td></tr><tr><td>Interest and dividend income</td><td>34</td><td>26</td><td>2</td><td>52</td><td>-59</td><td>55</td></tr><tr><td>Interest expense</td><td>194</td><td>132</td><td>107</td><td>29</td><td>-39</td><td>423</td></tr><tr><td>Income taxes (benefit)</td><td>143</td><td>25</td><td>182</td><td>-20</td><td>-</td><td>330</td></tr><tr><td>Net income<sup>(a)</sup></td><td>281</td><td>47</td><td>281</td><td>9</td><td>-</td><td>618</td></tr><tr><td>Capital expenditures</td><td>625</td><td>321</td><td>395</td><td>40</td><td>-</td><td>1,381</td></tr><tr><td>Total assets<sup>(b)</sup></td><td>10,852</td><td>6,385</td><td>4,027</td><td>965</td><td>-1,501</td><td>20,728</td></tr><tr><td> 2006</td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>External revenues</td><td>$2,584</td><td>$3,324</td><td>$926</td><td>$46</td><td>$-</td><td>$6,880</td></tr><tr><td>Intersegment revenues</td><td>227</td><td>15</td><td>788</td><td>27</td><td>-1,057</td><td>-</td></tr><tr><td>Depreciation and amortization</td><td>335</td><td>192</td><td>106</td><td>28</td><td>-</td><td>661</td></tr><tr><td>Interest and dividend income</td><td>33</td><td>20</td><td>1</td><td>34</td><td>-50</td><td>38</td></tr><tr><td>Interest expense</td><td>171</td><td>95</td><td>103</td><td>29</td><td>-48</td><td>350</td></tr><tr><td>Income taxes (benefit)</td><td>184</td><td>65</td><td>78</td><td>-43</td><td>-</td><td>284</td></tr><tr><td>Net income<sup>(a)</sup></td><td>267</td><td>115</td><td>138</td><td>27</td><td>-</td><td>547</td></tr><tr><td>Capital expenditures</td><td>782</td><td>314</td><td>160</td><td>28</td><td>-</td><td>1,284</td></tr><tr><td>Total assets<sup>(b)</sup></td><td>10,254</td><td>6,280</td><td>3,612</td><td>1,161</td><td>-1,672</td><td>19,635</td></tr></table>
<table><tr><td></td><td>2004</td><td>2003</td></tr><tr><td>Acquired customer base and network location intangibles</td><td>$1,369,607</td><td>$1,299,521</td></tr><tr><td>Deferred financing costs</td><td>89,736</td><td>111,484</td></tr><tr><td>Acquired licenses and other intangibles</td><td>43,404</td><td>43,125</td></tr><tr><td>Total</td><td>1,502,747</td><td>1,454,130</td></tr><tr><td>Less accumulated amortization</td><td>-517,444</td><td>-434,381</td></tr><tr><td>Other intangible assets, net</td><td>$985,303</td><td>$1,019,749</td></tr></table>

Question: what is the percentage change in amortization expense from from 2007 to 2008?
Answer: 0.04239