Exhibit 10.1.2

 

 

TEXAS-NEW MEXICO POWER COMPANY
TWELVE MONTHS ENDED SEPTEMBER 30, 2004
WEIGHTED AVERAGE COST OF CAPITAL
 

Line

(a)

Balance

(b)
Percent of
Total

(c)

Cost

(d)
Weighted
Cost

1 Common Equity*

2 Preferred Stock

3 Preferred Trust Securities

4 Long-Term Debt

5 Short-Term Debt

6

7 Total

$270,884,617

                       0

                       0

406,326,926

                      0

______________

$677,211,543

          40.00%

            0.00%

            0.00%

          60.00%

            0.00%

_________

         100.00%

       10.25%

         0.00%

         0.00%

         7.07%

         0.00%

       4.10%

       0.00%

       0.00%

       4.24%

       0.00%

_______

       8.34%

* Assumed common equity in order to achieve 40% equity ratio