ML19344D272
| ML19344D272 | |
| Person / Time | |
|---|---|
| Site: | Callaway  |
| Issue date: | 02/22/1980 |
| From: | Bryan J UNION ELECTRIC CO. |
| To: | Harold Denton Office of Nuclear Reactor Regulation |
| References | |
| ULNRC-338, NUDOCS 8003110623 | |
| Download: ML19344D272 (3) | |
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UNION EL ECTRIC COMf"ANY teos o urnor sTamer sr. Louis. Miseovni JONN K.SetYAN P
303 de February 22, 1980 Mr. Harold R. Denton Director of Nuclear Reactor Regulation U. S. Nuclear Regulatory Commission Washington, D.C.
20555 ULNRC-338
Dear Mr. Denton:
DOCKET NUMBERS 50-483 50-486 UNION ELECTRIC COMPANY CALLAWAY PLANT, UNITS 1 & 2 Union Electric Company announced on February 8, 1980 that current projections of customer demands indicate that Callaway Unit 1 will provide adequate generating capacity through 1987.
Therefore, the fuel load date for Unit 2 has been deferred one year to October, 1987.
A copy of the announcement is attached for your information.
Ve truly yours,
)
Ek WI Bryan (@t(
L' Jo n K.
ACP/jds cc:
G. Charnoff Shaw, Pittman, Potts & Trowbridge J. E.
Birk D.
F.
Schnell N. A.
Petrick
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800s39 { 4
From: Union Electric Company For further information call: ~ Public Relations (314) 621-3222 1901 Gratiot Street Herman Leibovich Ext. 2172 S t. Loui s, MO 63103 Eugene Cerulo Ext. 2402 FOR IMMEDI ATE RELEASE February 8,1980 Union Electric President Charles J. Dougherty reported today that the company's common stock earnings for 1979 were $91.1 million, or $1.73 per share based on an average of 52.6 million shares outstanding. These results compare with 1978 earnings of $96.9 million, or $2.01 per share on 48.3 million average shares, i Mr. Dougherty said the principal cause of the reduction in earnings was the Missouri Supreme Court's decision which outlawed the company's fuel adjustment clause. That decision resulted in a write-off of 21 cents per share. Total kilowatt-hour sales increased by about 1 percent in 1979. Residential sales decreased 2 percent, with industrial and commercial sales registering 2 percent gains. i Construction expenditures for the year were $395 million, of which $266 million was spent en the Callaway nuclear plant. Mr. Dougherty explained that to help finance the continuing construction program, the company negotiated sales to Institutional investors of $75 million of preferred stock and $100 million of first mortgage bonds at an annual cost of 9.2% and 9.95%, respectively. A public sale of 5,500,000 shares of new common stock provided the company with proceeds of .approximately $61 million at year end 1979 l
Also, late in the year, the company received approximately $40 million from the sale of its nuclear fuel inventory through a lease arrangement. The lease provides for the financing of up to $100 million of nuclear fuel by a corporation that will purchase this fuel for the Callaway Plant and lease it to the ecmpany. Mr. Dougherty announced that the company plans to spend $433 million on new facilities in 1980 and $2.2 billion during the next five years. Included in the 1980 expenditures is $242 million for the first 1,150,000 kilowatt unit of the Callaway nuclear plant. This unit is scheduled for service in October of 1982 at a total cost of $1,317 cillion, of which $675 million was expended by the end of 1979. Design and other technical changes, together with higher interest rates, have increased the cost of this unit 9 percent, or $114 million. Current projections of customer demands indicate that with the addition of the first unit of Callaway Plant the company will have adequate generating capacity through 1987. Accordingly, the second unit at the Callaway site has been deferred from 1987 until 1988. The change in schedule will ado approximately $200 million to the cost of that unit. That increase, together with revisions in cost estimates of $150 million to reflect technical improvement:, changed regulatory requirements and higher interer,t rates have increased the total estimated cost of the second unit to $1,669 million. Mr. Dougherty said that the company's review of the cost of equivalent coal-fired capacity reveals that nuclear generation is still the most economical method of supplying the area's need for additional electrical supply. r- -w w-}}