Xcel’s Reputation at Risk

• Xcel Purchases Only 4% of its EnergyFrom Manitoba Hydro, yet the international criticism over the devastating ecological and social impacts of Manitoba Hydro projects has tainted Xcel’s reputation. Xcel has repeatedly been accused of contributing to human rights abuses and environmental destruction.
• Public Agency Concern: In 1998, the Minnesota Public Utilities required that "NSP [Xcel] shall continue monitoring issues surrounding the environmental effects of the dams supplying power to Manitoba Hydro Electric Board and the effects of the dams on the Cross Lake Band of Cree. "
• Religious Community Condemnation: A 1999 Canadian Interfaith Church Inquiry into northern hydro development concluded that the situation faced by the Pimicikamak Cree Nation and other indigenous peoples is a "ecological and moral catastrophe."
• Political Warnings: A 2001 letter to the US Securities and Exchange Commission from Senator Paul Wellstone (D-MN) states that the "impacts of Xcel’s power purchases are being raised at Minnesota’s Public Utilities Com-mission, and in legislation filed in the Minnesota legislature."
• Consumer Backlash: Consumer concernand public protest over this issue continues to grow with weekly demonstrations being held in front of Xcel’s headquarters.
• Xcel Leadership has Failed to Meet with Pimicikamak Cree Nation Leaders, yet is negotiating new Manitoba Hydro contracts that will multiply ecological and social destruction.

Alternatives to Manitoba Hydro Exist

• "The Saudi Arabia for Wind Energy," is how a Union of Concerned Scientists report labeled the Midwest. Xcel’s home state of Minnesota is rated as Class 5 wind country - the best on the continent. The Minnesota Department of Commerce identified 35,000 megawatts of high-grade wind. The UCS report also identified abundant biomass resources.
• Electric Industry Restructuring has led several states to establish mandatory standards for renewable energy content. Less than 2% of Xcel’s energy will qualify as renewables under definitions proposed in Minnesota and adopted in other states. Imports from Manitoba Hydro will not qualify as renewable.
• State and National Polls repeatedly showthat given a choice, American consumers want renewable energy and are willing to pay a premium to protect the environment
• Why Should Xcel Shareholders Take the Risk for Manitoba Hydro? Tell Xcel management you don’t want a short-term investment strategy based on long-term loss.

• Increase Renewable Energy Sources
• Improve Response to a Changing Market
• Improve Regulatory Preparedness
• Protect Long-Term Shareholder Value