REI should shut up about making money off California ratepayers. The California utilities and the California Public Utilities Commission are liably to do some unfriendly, financially painfull, things to REI.
True, FERC sets interstate commerce rates, but the Cal Power Exchange and the Cal ISO are (according to FERC) free to set boundaries on what they will buy and at what price. With the PX and ISO regulating prices down from a cap of $750 to $500 to $250 per MWh, we'll see less peak profits. But at the same time we're seeing average prices increasing to make up for it. As long as the west is short power, I'm confident REI will capture value somehow. I just bought in at $45.
You can short this puppy if you wish, but I'm taking the ride to 65!! Click on the link in post 1319. Once REI spins off it's generation company, the stock will be similar to companies like DYN and CPN. Take a look at their performance in the last year.