Utilicorp United, Inc. & Subsidiaries, F.K.A. Missouri Public Service Co. - Page 9

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          experienced in the appraisal of all kinds of utility properties,            
          including hydroelectric plants.  Mr. Moody has opinions as to the           
          market values of (1) the bill of sale assets and (2) an undivided           
          50-percent interest therein.  He is of the opinion that, as of              
          December 17, 1987, the market values of the bill of sale assets             
          and of an undivided 50-percent interest therein were $65,000,000            
          and $32,500,000, respectively.                                              
               Mr. Moody arrived at his opinions by determining the                   
          reproduction cost of the bill of sale assets to be $64,879,102.             
          He also applied an earnings analysis to the income stream that              
          the bill of sale assets (in conjunction with certain other assets           
          of THP) could have been expected to produce.  He determined that            
          the present value of such income stream was $73,261,609.                    
               Mr. Moody determined the reproduction cost of the bill of              
          sale assets as follows:                                                     





                    Cost of AWP stock             $10,500,000                         
                    New construction              28,566,497                          
                         Subtotal                 39,066,497                          
                    Turnkey fee (15%)             5,860,000                           
                    Other costs1                  9,142,605                           
                         Total construction costs  54,069,102                         
                    Developer's profit (20%)       10,810,000                         
          Total cost indicator     $64,879,102                                        
          1Construction interest, financing, and legal costs,                         
          administrative and general costs, and contingency costs.                    




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