ML19305D594
| ML19305D594 | |
| Person / Time | |
|---|---|
| Site: | Peach Bottom  |
| Issue date: | 04/08/1980 |
| From: | Bradley E PECO ENERGY CO., (FORMERLY PHILADELPHIA ELECTRIC |
| To: | Harold Denton Office of Nuclear Reactor Regulation |
| References | |
| NUDOCS 8004150267 | |
| Download: ML19305D594 (1) | |
Text
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-a PHILADELPHIA ELECTRIC COMPANY 23of MARKET STREET P.O. BOX 8699 EDWARD G. BAUER. JR.
Auo'eSNSAL CouwstL (21m e41-4ooo EUCENE J. BR ADLEY ASSOCI ATE GENERAL COUNSEL CONALD BLANKEN
""! KIR"^ WALL April 8, 1980 T. H. M AHER CORNELL seis ANT GEN RAL COUNSEL.
EDWARD J. CULLEN. JR.
JOHN F. KENNEDY. JR.
ASSISTANT COUNSEL Dr. Harold R. Denton Director Office of Nuclear Reactor Regulation United States Nuclear Regulatory Commission Washington, D. C. 20555 l
1 Re:
Philadelphia Electric Company Peach Bottom Atomic Power Station Unit No. 1 - Docket No. 50-171 (Provisional Operating License No. DPR-12')
Dear Dr. Denton; Pursuant to Section 50.71(b) of the Commission's Regu-lations, I am forwarding herewith for filing with the Com-mission seven copies of the 1979 Annual Report of Philadelphia l
Electric Company.
Very truly yours,
^
~.
/j 4 a m e.
-5, EUGENE J. BRADLEY EJB/as Encls.
1 8004150967
To Our Shareholders:
1979 was another year with both e The completion of a PUC-the cornerstone of the Company's
" Good News" and " Bad News" for mandated management audit by system of " Management by Objec-the Company. Common stock earn-Cresap, McCormick & Paget, an tives," which is a key element in a ings were $1.86 per share, primar-independent firm of management management tool we use to ana-ily because most of the " Bad experts, that gave the Company lyze our problems, plan for News" adversely affected our abil-high marks in all key areas and improvement, and measure our ity to earn a reasonable return.
made valuable suggestions for results each year. Our five "Corpo-Specifically, the " Bad News" improving some of our operations.
rate Objectives" serve to focus all we've been wrestling with this year We're diligently following up their of our activities in the right has been:
recommendations.
direction.
O Double-digit inflation, that e A continuation of our construc-We have also included informa-increased most of our costs.
tion activities to replace old oil tion, beginning on page 24, which o Record high interest rates, which buming plants and to prepare estimates what inflation is doing to had a significant impact on forincreases in future energy use.
the Company's financial state-earnings.
- A vigorous pursuit of much.
ments. It highlights in a quantita-o Nearly doubled prices for o.l that needed rate increases before the tive way what we already knew, i
substantially raised electr,c and PUC, to offset the impact of infla.
that we must receive more timely i
steam rates to our customers and tion on operating costs and to earn rate increases if we are to offset a fair return for our shareholders.
inflation, improve our earnings, added costs to the Company.
We were granted a $2.9 million and attract the new capital we o Low sales growth, because of the annual increase in steam rates need to continue to serve our weakness in both our naSonal and October 1,1979, and a $10.7 customers' needs.
regional economies and appro-million annual increase in gas While 1979 won't go down in our priate reductions in energy use rates January 5,1980; and we are
" memory banks" as a good year, it by our customers.
pursuing an electric rate increase was a year of progress. We are in a o The Three Mile Island accident that should be decided bythe PUC stronger position today to improve that was a severe setback for the this spring.
future results than we were at the nation's nLclear power program.
While we are not satisfied with beginning of the year.
We've covered this subject in our earnings perforrnance, we feel We are grateful for the loyalty some detail in a special section we made the best of a difficult and support of our shareholders, on page 14.
year, primarily because of the and pledge to you our continued But, there was " Good News" too, excellent response of our rine dedication.
highlighted by:
organization to the ad,erse circum-o The resumption of gas sales at a stances we had te contend with in February 25,1980 record-breaking rate. This was 1979. Yom Company has a strong brought about by greatly in.
capital base, it has a group of creased supplies of natural gas dedicated employees, and it is
' to the Company'because of the looking forward to the new decade deregulation of natural gas prices, with confidence.
Chairmanof the Board which are still substantially below This year's report is organized the equivalent price of heating oil around the Company's " Corporate to home heating customers.
Objectives." These objectives form o The continued excellent perfor-mance of our Peach Bottom President and Chief Executive Officer nuclear units, that saved our cus-tomers $210 million in fuel charges. The total plant saved the nation 27 million barrels of oil.
DUPLICATE DOCUMENT Entire document previously entered into system unde ANO_
f No. of pages:
(
Financial Highlights 1979 1978 Percent Change Operating Revenues.
. $1,578,505,000 $1,456,758,000 8%
Operating Expenses..
$1,332,706.000 $1,215.110,000 10%
Taxes Charged to Operations..
$ 185,731,000 $ 194,728.000 (5%)
Operating income.
$ 245,799,000 $ 241,648,000 2%
Earnings Applicable to Common Stock...
$ 149,698,000 $ 141,349.000 6%
Earnings per Average Common Share..
$1.86
$1.87 (1%)
Cash Dividends Paid per Common Share.
$1.80
$1.80 Average Shares of Common Stock Outstanding.
80,529,000 75,391,000 7%
Construction Expenditures.
$ 429,336,000 $ 411,716,000 4%
Total Assets
..... $5,241,260,000 $4.50,625,000 8%
Where the income Dollar Came From s
. &a w, 13 4
1 edg4J,, Other income 5$
. O k #$
Steam 3$
., m -9
'?
s
.{ r ]W k%_ f i
M
-'in 4 kg;p.- ;
Where the income Dollar Went
, gM ',
Compensation to investors j[
- i i ' ;for Use of Their Funds 20$
Interest 8C
^
3 Preferred Stock Dividends 34 d7.
Common Dividends 9$
' g.-
+
hf
. 4
./
g "I Depreciation 74 Taxes 114
V [
~ My 2
Materials, etc.10$
Wages & Benefits 12$
The Company The Company's predecessors provided electric service starting in 1881. The current Company, incorporated in Pennsylvania in 1929, is an operating utility providing electric, gas and steam service in southeastern Pennsylvania and providing, through its subsidiaries, electric service in two counties in northeastern Maryland. General Office: 2301 Ma ket Street, P.O. Box 8699, Philadelphia, Pennsylvania 19101.
The total area served by the Company and subsidiaries covers 2,475 square miles, with a population of 3,700,000. The City of Philadelphia represents only 5 percent of this total area.
Annual Meeting The annual meeting of the shareholders of the Company will be held on April 9,1980, at eleven a.m. in the Crystal Ballroom, Benjamin Franklin Hotel, Ninth and Chestnut Streets, Philadelphia, Pennsylvania.
Shareholders of record at the close of business February 22,1980 are entitled to vote at this meeting.
Notice of the meeting, proxy statement and proxy will be mailed under separate cover. Prompt return of the proxies will be appreciated.
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