ELECTRIC RATE HIKE APPROVED

A RATE INCREASE ON MID AMERICAN ENERGY CUSTOMER'S ELECTRIC BILLS HAS BEEN APPROVED BY THE IOWA UTILITIES BOARD.

THE BOARD APPROVED A SETTLEMENT AGREEMENT FOR 2012 AND 2013 ON THE RATE HIKE REQUESTED BY MID AMERICAN BECAUSE OF RISING COSTS OF ENVIROMENTAL COMPLIANCE AND COAL TRANSPORTATION.

THAT ALLOWS MID AMERICAN TO KEEP THE TEMPORARY AVERAGE RESIDENTIAL RATE INCREASE OF $2.33 PER MONTH THAT WAS IMPLEMENTED IN MARCH OF 2012.

THE BOARD ALSO APPROVED AN ADDITIONAL $1.30 PER MONTH AVERAGE INCREASE FOR 2013, MAKING THE TOTAL AVERAGE INCREASE
$3.63 PER MONTH PER CUSTOMER.

BOARD MEMBERS CALLED THE REQUESTED INCREASE IN RATES REASONABLE AND LESS THAN WHAT MID AMERICAN WOULD HAVE RECEIVED IN A TRADITIONAL RATE CASE.