Great Plains Energy reported to the IRS on separate Forms 1099-B the fair market value of the Stock Portion, the Cash Portion and the cash paid in lieu of fractional shares (if any) you were entitled to receive as of July 14, 2008, the effective date of the transaction. As a result, you received copies of two Forms 1099-B in February 2009: one for the Cash Portion which includes the cash-in-lieu fractional shares and one for the Stock Portion.

In general, for U.S. federal income tax purposes, a U.S. holder of Aquila common stock recognized a long- or short-term gain or loss equal to the difference between:

· The amount of cash and the fair market value of the Great Plains Energy stock consideration received in exchange for Aquila common stock; and

· The U.S. holder’s adjusted tax basis in such Aquila common stock.

The value that we reported to the IRS for the Great Plains Energy shares you were entitled to receive was $26.10 per share.  This was the closing price of our stock on July 14, 2008 (the day the transaction was completed).  You did not receive any fractional share of our stock; instead, you received cash in lieu of any fractional share.  As provided in the transaction agreement, you received cash equal to the fractional share multiplied by $25.49, which is the average closing price of our stock for the five trading days ending on July 11, 2008 (the last trading day before the transaction was completed)

 

EXAMPLE:

Assume you owned 100 shares of Aquila stock that has an adjusted tax basis of $5.00.

Valuation at closing:

a) $1.80 cash per share ($1.80 x 100 shares)	$180.00
b) 8 whole shares of GXP stock (.0856 x 100 shares)       x $26.10 (value of GXP stock)	208.80
c) .56 fractional shares x 25.49	14.27
Total Value	$403.07
Assumed Tax basis ($5 x 100 shares)	500.00
Example Gain (Loss)	$(96.93)

Each holder is encouraged to consult their tax advisor to determine the effect of the transaction on their taxes.

Note: The actual New York Stock Exchange closing price of Great Plains Energy on July 14, 2008 was $26.10 per share, the cost basis to be used for the Great Plains Energy common stock received in the transaction.

Any gain or loss would be long-term capital gain or loss if the holding period for the Aquila common stock exceeds one year at the effective time of the transaction. Long-term capital gains of non-corporate U.S. holders (including individuals) generally are eligible for preferential rates of U.S. federal income tax. There are limitations on the deductibility of capital losses under the Internal Revenue Code. The holding period of the Great Plains Energy common stock received in the transaction will begin on the day after the transaction. Please be aware that the tax consequences of the merger described above may not apply to some holders of Aquila common stock, including some types of holders specifically referred to on page 143 of the joint proxy statement/prospectus. Also, you may be subject to state, local or non-U.S. tax laws that are not discussed here. Accordingly, please consult your tax advisor for a full understanding of the particular tax consequences of the merger to you. To ensure compliance with requirements imposed by the Internal Revenue Service ("IRS"), we inform you that any U.S. federal tax advice contained in this communication is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.

 

Each share of Aquila common stock converted into the right to receive $1.80 in cash and .0856 shares of Great Plains Energy common stock.

Please contact Bank of New York-Mellon Investor Services at 1-877-279-4310 (toll free) so we can verify your address and send you the necessary paperwork to complete.

 

 You may contact Computershare at 1-800-884-4225 or register online at www.computershare.com/investor under Shareholder Services.

Yes.  Aquila common stock split history is listed below:

1/1/52        - MPS merged with MG&E - All stock recalled; new certificates issued
- 5 shares of MPS for each MG&E;
- 3 shares of MPS for each MPS share recalled

4/12/55         3-for-2 split

6/25/87         3-for-2 split

2/22/99         3-for-2 split

You can contact Computershare at (800) 884-4225 or www.computershare.com to request historical information.  Depending on how far back you need information researched, there could be a research fee charged.  Research takes approximately 15 business days.

Please submit your question using the Investor Relations email address.