ML19209B194
| ML19209B194 | |
| Person / Time | |
|---|---|
| Site: | Callaway  |
| Issue date: | 08/14/1979 |
| From: | Hearne T MISSOURI, STATE OF |
| To: | Stello V NRC OFFICE OF INSPECTION & ENFORCEMENT (IE) |
| Shared Package | |
| ML19209B184 | List: |
| References | |
| NUDOCS 7910090309 | |
| Download: ML19209B194 (3) | |
Text
.
p.s'."..o'..%.
Atuocai 9Wlic Pewice %nminion e Oh,c w.
.a. :...
s
- r.A A,eo Code 314
' p. ?r.
s 5{
751 3234
+
6*
- st W.
- n
$.* q v g W'7
- 4-August 14, 1979 P.O. BOX 360
.,,* 'i j JEFFERSON CITY Pg**........**,O MISSOURI 65102 ca am.m:
AtatRTA C. 5LAVIN
!Ir. Victor Stello, Director Office of Inspection and Enforcement o- =
uAH SROCK McCA RTNEY
!! ail E-322D CH^Rtu J. F R AA 5. l R.
U.
S. !!uclear Regulatory Commission Washington, D.C.
20555 ITE?HANIE A BRYANT Re:
UNION ELECTRIC COMPANY, et al., Callaway Plant, Unit 2 LAWSON PH A8Y du=a s-<r**
Dear Mr. Stello:
'^ ^ * 'H "
Enclosed, please find the requisite number of cooics of the Request for Institution of Proceedings to Suspen'd Construction
~
Permit on behalf of the Public Service Commission of the State of !!issouri.
"ery truly yours, k 'nArn gn Treva J.Lilcarne Assistant General Counsel TJ11/da Enclosure cc:
J. Teasdale, Governor T.
Eagleton, Senator J.
Danforth, Senator U.
Clay, Representative E. Coleman, Representative R. Young, Representative G. Taylor, Representative R.
Gephardt, Representative R.
Ichord, Representative I.
Skelton, Representative
!!. Volkner, Representative R. D o l.' ' ^i g, Representative B.
Burlison, Representative J. !Inndrie, US!!RC V.
Gilinsky, US!!RC R.
Rennedy, USt!RC P. Dradford, UStiRC ll3l)
'f a 4
4 J.
Ahearne, USMRC II. Denton, USMRC W.
Dirchs, USMRC
~
7910090)*h}9
/
R.
Fluegge, Mo. PSC
PROSPECTUS J u u 'o. F. e 4,000,000 Shares unun omsci Union Electric Companyu '"c S" ** "
Common Stock (S5 Par Value)
DIVIDEND REINVESTMENT AND STOCK PURCIIASE PLAN "she Dividend Reinvestment and Stock Purchase Plan of Union Electric Company which became effect2ve on August 1,1976 provides holders of shares of the Company's Common Stock and regular full-time officers and employees of the Company and its subsidiaries with a convenient and economical way of tnvesting cash dividends and optional cash payments in shares of the Company's Common Stock without payment of any brokerage commission or service charge.
Participants in the Plan may:
--have cash dividends on their present shares automat cally reinvested, or i
-invest by making optional cash payments of up to $5.000 per month, or
-invest both their cash dividends and optional cash payments of up to SS,000 per month.
The price of shares of Common Stock offered hereby will be the closing market price as reported in The Wall Street Journal ( as compo:ite tape transactions) or other similar financial publication on the date investment is made. The Plan does not represent a change in the Company's dividend policy which will continue to depend upon future earnings, financial requirements and other factors. Shareholders who do not elect to participate in the Plan will receive dividends, as declared, by check as usual.
The initial offering of 2,000,000 shares of the Company's Common Stock to the holders of the Common Stock and to regular full-time officers and employees of the Company and its subsidiaries pursuant to the Plan was made pursuant to Registration Statement No. 2-56417 and as of March 31,1979, 1,954,187 shares of such Commor. Stock have been sold by the Company. The offering of an additional 4,000,000 shares of the Company's Common Stock pursuant to the Plan was approved by the Board of Directors of the Company at its meeting held on February 10,1978, and by the holders of the Common Stock at the annual meeting of stockholders held on April 25,1978.
This Prospectus relates to the 4,000,000 additional authort:ed and unissued shares of Common Stock of the Company setforth above and to the shares initially registeredpursuant to Registration Statement No. 2 36417 efective on June 14,1976forpurchase under the Plan (the "New Common Stock"). It is suggested that this Prospectus be retainedforfuture reference.
THESE S~ECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY TIIE SECURITIES AND EXCHANGE COMMISSION NOR IIAS THE COMMISSION PASSED UPON THE ACCURACY OR ADEQUACY OF THIS PROSPECTUS.
ANY REPRESENTATION TO TIIE CONTRARY IS A CRIMINAL OFFENSE.
Tne date of this Prospectus is May 16,1979.
1 1 ;7
- /E IIIJ J
+
~
Expenditures for the construction program amourted to $323,292,000 for the year 1978 and are estimated to amount to 5415,000,000 for 1979 and $489,000,000 for 1980. In August.1978 the Company raised $55,000,000 from the sale of First Mortgage Bonds,9.35% Senes due 2008:in September 1978 the Company raised $58,000,000 from the sale of 4,000,000 shares ofits Common Stock; and dunng the year 1978 it raised an additional 515,793,000 from the sale of 1,097.465 shares ofits Common Stock pursuant to the Plan and the Company's Tax Reduction Act Stock Ownership Plan. The Company anticipates that its cash requirements for 1979 will be obtained from the sale of equity securities (including $75,000,000 from the sale of 1,500,000 shares of Cumulative Preferred Stock,54.60 Series, in April and June 1979),
bng-term debt securitics, interim short term borrowings, internally generated fonds, and other forms of financing, including sales of Commen Stock pursuant to the Plan and the Company's Tax Reduction Act Stock Ownership Plan. The Company presently anticipates that approximately 30% of its cash requirements for each of the years 1979 and 1980 will be obtained from internally generated funds.
The following table sets forth cenain information with respect to estimated expenditures, including allowance for. funds used dunng construction, for nuclear generating faci'ities now under construction by the Company:
Expenditures Entirmated Expenditures Net Expected Estimated Through Faculty Kilowatt in service Cost Per 1973 Arter Total and tecation Capacity Date Kilo = set
( Actual) 1979 1980 198o Project (Thousa, ids of Dollars)
Canaway Plant Callaway County. Mo.
Unit No. I 1,150.000 1982
$1,046
$417,7%
$235.145
$227,920
$ 321,983 $1.202.804 Unit No. 2 1.150,000 1987
$1,148 35.6 n9 9.486 12.667 1.262.606 1.320.4I8 Total
$453.419
$244.631 5240.587
$ 1.584.589 $2.52J.222( ' )
(*) Does not include any expenditures for cuclear fuel. Expenditures for at least 'the initial fuel loading will be made prior to the in service dates for these units. Expenditures for the initial fuel loadin;;
Sr both units are currently estimated at $268,000,000, of which $35,215,000 has been expended through 1978, and $18,753,000 is expected to be expended in 1979 and $31,151,000 in 1980.
The Company's construction program is undet periodic review and is subject to revision. Actual expenditures will vary from estimates due to a number of factors, including chenges in equipment delivery schedules and availability of materials and fuels, construction delays, regulatory and other legal action, changes in business conditions and changes from scheduled in service dates.
The estimated conttruction expenditures relating to the Callaway Plant set forth in the table above reflect a deferralin 1977 of the expected in-service dates of Callaway Units No. I and 2 by one and four years, respectively. This deferral rest.ited primarily from a change in Missouri public utility law which prohibited the inclusion of construction work in progress in the rate base and also because projected load growth was less than previously anticipated. As a result of the new law and the deferral of the in-service dates of the units, the estimated construction expenditures relating to the Callaway Plant increased approximately $1,000,000,000 and, unless the Company receives adequate rate relief from time to time during the construction of the Units, the amount of cash generated internally will decline, its quality of earnings will be adversely arTected and its ability to issue First Mortgage Bonds under the net earnings test discussed under Financing Restrictions will be impaired.
Total construction expenditures for the five years 1979-1983 are currently estimated at
$2,250,000,000. In addition to the funds required for construction during the period 1979-1983, 366,202,000 will be required to retire debt which becomes due during that period, and, begirming in November 1979, a minimum of $2,000,000 will be expended annually to meet certain preferred stock sinking fund obligations. The types, amounts and timing of future financings will depend upon market conditions, regulatory actions, rate levels, and other factors, including the Company's ability to comply with the various finaneir g restrictions discussed below.
10
.