SAN FRANCISCO (Standard&Poor's) March 29, 2006--Standard&Poor's Ratings Services said today that it assigned its 'BB' rating to the proposed $250 million general and refunding mortgage bond issue at Nevada Power Co. (NPC). The outlook is positive. The proceeds will be used to refinance existing higher-cost debt. "The positive outlook reflects the substantial improvements in the regulatory environment and liquidity, NPC's much-reduced short position, a steady strengthening of financial ratios, and the potential for further improvement with debt refinancing," said Standard&Poor's credit analyst Swami Venkataraman. Given that financial ratios are expected to be weak for the 'BB' rating category, prospects for an upgrade would be enhanced if parent Sierra Pacific Resources (SRP) were to issue
