**Exhibit 99.01**

 

**Public Service Company of Colorado Cautionary Factors**

 

The Private SecuritiesLitigation Reform Act provides a “safe harbor” for forward-looking statementsto encourage such disclosures without the threat of litigation, providing thosestatements are identified as forward-looking and are accompanied by meaningful,cautionary statements identifying important factors that could cause the actualresults to differ materially from those projected in the statement.Forward-looking statements are made in written documents and oral presentationsof PSCo, Xcel Energy or any of its other subsidiaries These statements arebased on management’s beliefs as well as assumptions and information currentlyavailable to management. When used in PSCo’s documents or oral presentations,the words “anticipate,” “estimate,” “expect,” “projected,” objective,” “outlook,”“forecast,” “possible,” “potential” and similar expressions are intended toidentify forward-looking statements. In addition to any assumptions and otherfactors referred to specifically in connection with such forward-lookingstatements, factors that could cause PSCo’s actual results to differ materiallyfrom those contemplated in any forward-looking statements include, amongothers, the following:

 

·          Economic conditions, including their impact oninflation rates, monetary fluctuations and their impact on capitalexpenditures;

·          The risk of a significantslowdown in growth or decline in the U.S. economy, the risk of delay in growthrecovery in the U.S. economy or the risk of increased cost for insurancepremiums, security and other items as a consequence of past or future terroristattacks;

·          Trade, monetary, fiscal, taxation and environmentalpolicies of governments, agencies and similar organizations in geographic areaswhere PSCo has a financial interest;

·          Customer business conditions, including demand fortheir products or services and supply of labor and materials used in creatingtheir products and services;

·          Financial or regulatory accounting principles orpolicies imposed by the Financial Accounting Standards Board, the Securitiesand Exchange Commission, the Federal Energy Regulatory Commission and similarentities with regulatory oversight;

·          Availability or cost of capital such as changes in: interestrates; market perceptions of the utility industry, PSCo, Xcel Energy or any ofits other subsidiaries; or security ratings;

·          Factors affecting utility operations such as unusualweather conditions; catastrophic weather-related damage; unscheduled generationoutages, maintenance or repairs; unanticipated changes to fossil fuel ornatural gas supply costs or availability due to higher demand, shortages,transportation problems or other developments; environmental incidents; orelectric transmission or gas pipeline constraints;

·          Employee workforce factors, including loss orretirement of key executives, collective bargaining agreements with unionemployees, or work stoppages;

·          Increased competition in the utility industry;

·          State and federal legislative and regulatory initiativesthat affect cost and investment recovery, have an impact on rate structures andaffect the speed and degree to which competition enters the electric andnatural gas markets; industry restructuring initiatives; transmission systemoperation and/or administration initiatives; recovery of investments made undertraditional regulation; nature of competitors entering the industry; retailwheeling; a new pricing structure; and former customers entering the generationmarket;

·          Environmental laws and regulations;

·          Rate-setting policies or procedures of regulatoryentities, including environmental externalities, which are values establishedby regulators assigning environmental costs to each method of electricitygeneration when evaluating generation resource options;

·          Social attitudes regarding the utility and powerindustries;

·          Risks associated with the California power market;

·          Cost and other effects of legal and administrativeproceedings, settlements, investigations and claims;

·          Technological developments that result in competitivedisadvantages and create the potential for impairment of existing assets;

 

·          Risks associated with implementation of newtechnologies; and

·          Other business or investment considerations that maybe disclosed in PSCo’s SEC filings or in other publicly disseminated writtendocuments.

 

PSCo undertakes noobligation to publicly update or revise any forward-looking statements, whetheras a result of new information, future events or otherwise. The foregoingreview of factors should not be construed as exhaustive.

 

----