**Exhibit99.01**

 

**Public Service Company of Colorado CautionaryFactors**

 

The PrivateSecurities Litigation Reform Act provides a “safe harbor” for forward-lookingstatements to encourage such disclosures without the threat of litigation,providing those statements are identified as forward-looking and areaccompanied by meaningful, cautionary statements identifying important factorsthat could cause the actual results to differ materially from those projectedin the statement. Forward-looking statements are made in written documents andoral presentations of PSCo. These statements are based on management’s beliefsas well as assumptions and information currently available to management. Whenused in PSCo’s documents or oral presentations, the words “anticipate,” “estimate,”“expect,” “projected,” objective,” “outlook,” “forecast,” “possible,” “potential”and similar expressions are intended to identify forward-looking statements. Inaddition to any assumptions and other factors referred to specifically inconnection with such forward-looking statements, factors that could cause PSCo’sactual results to differ materially from those contemplated in anyforward-looking statements include, among others, the following:

 

•             Economic conditions,including inflation rates, monetary fluctuations and their impact on capitalexpenditures;

•             The risk of asignificant slowdown in growth or decline in the U.S. economy, the risk ofdelay in growth recovery in the U.S. economy or the risk of increased cost forinsurance premiums, security and other items;

•             Trade, monetary,fiscal, taxation and environmental policies of governments, agencies andsimilar organizations in geographic areas where PSCo has a financial interest;

•             Customer businessconditions, including demand for their products or services and supply of laborand materials used in creating their products and services;

•             Financial orregulatory accounting principles or policies imposed by the FinancialAccounting Standards Board, the Securities and Exchange Commission, the FederalEnergy Regulatory Commission and similar entities with regulatory oversight;

•             Availability or costof capital such as changes in: interest rates; market perceptions of theutility industry, PSCo, Xcel Energy or any of its other subsidiaries; or securityratings;

•             Factors affectingutility operations such as unusual weather conditions; catastrophicweather-related damage; unscheduled generation outages, maintenance or repairs;unanticipated changes to fossil fuel or natural gas supply costs or availabilitydue to higher demand, shortages, transportation problems or other developments;environmental incidents; or electric transmission or gas pipeline constraints;

•             Employee workforcefactors, including loss or retirement of key executives, collective bargainingagreements with union employees, or work stoppages;

•             Increased competitionin the utility industry;

•             State and federallegislative and regulatory initiatives that affect cost and investmentrecovery, have an impact on rate structures and affect the speed and degree towhich competition enters the electric and natural gas markets; industryrestructuring initiatives; transmission system operation and/or administrationinitiatives; recovery of investments made under traditional regulation; natureof competitors entering the industry; retail wheeling; a new pricing structure;and former customers entering the generation market;

•             Rate-setting policiesor procedures of regulatory entities, including environmental externalities,which are values established by regulators assigning environmental costs toeach method of electricity generation when evaluating generation resourceoptions;

•             Social attitudesregarding the utility and power industries;

•             Risks associated withthe California power market;

•             Cost and othereffects of legal and administrative proceedings, settlements, investigationsand claims;

•             Technologicaldevelopments that result in competitive disadvantages and create the potentialfor impairment of existing assets;

•             Risksassociated with implementation of new technologies; and

•             Other business orinvestment considerations that may be disclosed from time to time in PSCo’s SECfilings or in other publicly disseminated written documents.

 

PSCoundertakes no obligation to publicly update or revise any forward-lookingstatements, whether as a result of new information, future events or otherwise.The foregoing review of factors should not be construed as exhaustive.

 

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