Kentucky Public Service Commission

Order Entered: 1. KU's motion for rehearing is granted. 2. Ordering paragraph 4 of the Commission's April 7, 2016 Order is amended to read as follows: Within 30 days of the day of issuance, KU shall file with the Commission a statement setting forth the date or dates of issuance of the securities authorized herein, the price paid, the interest rate or rates, and all fees and expenses, including underwriting discounts or commissions, or other compensation, involved in the issuance and distribution thereof, and a net present value analysis of the savings, if any, from the refinancing. KU shall include a detailed explanation as to how the interest rate alternative chosen represents the most reasonable interest rate available at the time of issuance. 3. All other provisions of the Commission's April 7, 2016 Order that are not in conflict with the terms of this Order shall remain in full force and effect.

KUs Motion to Reconsider and Amend Ordering Paragraph 4

Kendrick R. Riggs of Stoll Keenon Ogden PLLC Kentucky Utilities Company

Final Order Entered: 1 . KU is authorized to issue its First Mortgage Bonds in one or more series and at one or more times and to execute, deliver, and perform its obligations under the loan agreements with Carroll County, Kentucky, and under any other agreements and documents, and to perform the transactions contemplated by all such agreements, including, but not limited to, borrowings or advances, and the related repayment or reimbursement obligations, all as set out in its application, in principal amounts not to exceed $96,000,000. 2. The proceeds from the transactions authorized herein shall be used only for the lawful purposes set out in the application. 3. KU shall agree only to such terms and prices as are consistent with the parameters set out in its application. 4. Within 30 days of the day of issuance, KU shall file with the Commission a statement setting forth the date or dates of issuance of the securities authorized herein, the price paid, the interest rate or rates, and all fees and expenses, including underwriting discounts or commissions, or other compensation, involved in the issuance and distribution thereof, and a net present value analysis of the savings, if any, from the refinancing. KU shall also file documentation showing the quotes upon which it relied to determine the lowest interest rate.

KUs responses to the Commission Staffs First Request for Information

Rick E. Lovekamp Kentucky Utilities Company

Data Request

20160304_PSC No Deficiency Letter.pdf

Corrected Exhibit 4 to Kentucky Utilities Company Application for an Order Authorizing the Issuance of Securities and dthe Assumption of Obligations

J. Wade Hendricks Kentucky Utilities Company

Verified Application

J. Wade Hendricks Kentucky Utilities Company

20160218_PSC Acknowledgement Letter.pdf

Kentucky Utilities Company Notice of Intent to File Application for Authorization to Issue Securities and Assume Obligations Using Electronic Filing Procedures