XML 25 R11.htm IDEA: XBRL DOCUMENT v2.4.0.6
Note 6 - Regulatory Commitment
3 Months Ended
Mar. 31, 2013
Notes  
Note 6 - Regulatory Commitment

NOTE 6 – REGULATORY COMMITMENT

 

On February 6, 2012, an application for an amendment to our Retail Electric Provider Certification was submitted to PUCT which sought prior approval of a transaction by and between us and Castwell.  The application for amendment was requested to reflect a change in ownership in contemplation of a merger with Castwell.  On February 27, 2012, the application to amend our Retail Electric Provider Certification was approved.

 

We are required to maintain stockholders’ equity, determined in accordance with generally accepted accounting principles in the United States, of not less than one million dollars for the purpose of obtaining certification and we or our guarantor must provide and maintain an irrevocable stand-by letter of credit with a face value of $500,000 for the purpose of maintaining certification.  We will remain subject to these minimum capital standards until February 2014.  We are in compliance with this requirement as of March 31, 2013.