Note: The next session of Analyst Training in the Power and Gas Sector is scheduled for December 2009. The material below is from the most recent (December 2008) session.

To receive information on the December 2009 session as it becomes available, click here.

Day One - Tuesday, December 2nd

Registration opens at 7:30 a.m. Session begins at 8:30 a.m.

Morning

Overview of the Power and Natural Gas Industries: Structure and Performance
This introductory workshop looks at the energy value chain, including the generation, transmission and distribution of power, as well as the transportation, storage and distribution of natural gas. The session also offers a framwork for understanding and measuring industry performance at the macro level.

Rate Cases and Their Impact
In addition to dissecting and examining the intricacies of the rate case process, this session explores the reasons for filing a case and the financial implications of decisions on the concerned parties. Topics covered include revenue requirement calculation, rate base and rate of return, and return on equity methodologies.

The Evolution and Politics of the Regulatory Environment
In this review of the energy sector's regulatory bodies, participants examine the evolution of the regulatory environment, paying particular attention to the regulatory changes that have and will affect the economic performance of power and gas companies.

Afternoon

Financial Statement Analysis
Through a dissection of the typical line items found in the financial statements of power and gas companies, participants will explore the sources of financial data critical to evaluating the economic health of companies in the sector.

Earnings Quality
This session walks participants through the sources of data critical to analyzing the reported earnings of a power or gas company and judging its underlying economic health. Participants will explore techniques for normalizing earnings among companies, identifying cash versus non-cash earnings, and understanding key earnings metrics. In addition, the session also addresses the earnings impact of corporate structures, regulation and project financing.

Capital Raising
This session highlights the advantages and drawbacks of various capital raising strategies and alternatives, illustrating their effects on the company financials and valuation. Time is devoted to addressing current trends in the primary capital markets and providing case studies on the execution and impact of various capital raising efforts.

Session ends at approximately 5:30 p.m. Networking reception follows.

Day Two - Wednesday, December 3rd

Program begins at 8:30 a.m.

Morning

Credit Analysis and Ratings
This session looks at energy companies from the perspective of credit rating agencies and the fixed income investor. Gaining insight into the methods used by rating agency analysts to assess financial strength, participants learn what it takes to be a well-rated company. The session also illustrates the relative merits of various balance sheet management strategies, and the warning signs for ratings downgrades.

Asset and Enterprise Valuation Methodologies
Participants will learn the principles of asset- and enterprise-level valuation techniques and how they are applied from both a stand-alone and an acquisition perspective. Additional material covers distinguishing "art" from "science" in valuation approaches.

Afternoon

Luncheon Address: State of the Industry
Mr. Edward Tirello, Jr., Managing Director and Senior Power Strategist, Berenson & Company

Blending his 31 years of experience with his current perspective as Director of Berenson & Company’s Power and Utilities Group, Mr. Tirello will explore what today's changing economic and regulatory environments hold in store for the power sector. Looking at current industry trends, Mr. Tirello will discuss the impact of these issues and expand upon the challenges to come.

Investing in the Power and Gas Sector: A Case Study
In a hands-on team exercise, participants will have the opportunity to apply the valuation tools and analytical skills developed over the course of the seminar by utilizing multiple approaches to the analysis and valuation of a publicly-traded power or gas company.

Program concludes at approximately 4:30 p.m.