SUBSCRIBER NOTE: Updates to Platts spark and dark spread indicators

Effective April 1, 2014, Platts is proposing the following changes to its clean spark spread calculations: - Revising the emissions intensity factor to 0.053942 tCO2e/MMBtu in line with the most recent UK government conversion factors - Applying an energy conversion multiplier of 3.412141 MMBtu to MWh as per industry standard - The full revised formula will be: Platts spark spread (EUA emissions price * carbon intensity factor 0.053942 * energy conversion 3.412141/plant efficiency) Alongside these proposed changes, Platts will now include the heating value for spark and clean spark spreads as standard in its European Electricity Methodology and Specifications Guide. The applicable heating value for all existing and new spark and clean spark spreads is High Heating Value (HHV). Platts currently publishes 50% and 60% efficient spark and clean spark spreads at HHV. We invite feedback on the calculation changes by March 15 to power@platts.com with copy to pricegroup@platts.com. Platts will also be increasing its generation spread indicators with the following additions, effective April 1, 2014: - New spark and clean spark spreads that capture the lower band of gas plant fuel efficiency. To this end, Platts is seeking feedback from market participants on the most appropriate efficiency at HHV within a range of 40%-45%. - New UK clean spark and clean dark spreads that incorporate the cost of the government's Carbon Price Support (CPS) levy at the confirmed rates of GBP9.55/mt from April 1, 2014 to March 31, 2015 and GBP18.08/mt from April 1 2015 to March 31 2016. Plant efficiency rates will be 44% HHV and 50% at HHV for the UK CPS spark spreads and 35% for the UK CPS clean dark spreads. - The proposed formula for the UK CPS clean spark spread is: Platts UK spark spread in GBP/MWh - (EUA emissions price in euro/mt converted to GBP + CPS levy in GBP/mt * emissions intensity factor 0.053942 * energy conversion 3.412141 / fuel efficiency). Eur/MWh conversions will be available. - The proposed formula for the UK CPS dark spread is: Platts UK dark spread in GBP/MWh at 35% fuel efficiency - (EUA emissions price in euro/mt converted to GBP + CPS levy in GBP/mt * emissions intensity factor 0.973). Eur/MWh conversions will be available. Platts invites feedback on the UK CPS clean spark and clean dark spread formulae by March 15. As previously announced in Platts Coal Trader International, we are also proposing formula changes to our dark and clean dark spreads, revising the energy conversion factor to 6.978 and the emissions intensity factor to 0.973 based on an industry standard carbon dioxide conversion factor of 0.34056 divided by 0.35 for a coal-fired plant operating at 35% efficiency.