ML20024G856
| ML20024G856 | |
| Person / Time | |
|---|---|
| Site: | Monticello, Prairie Island  |
| Issue date: | 12/31/1974 |
| From: | Engels R NORTHERN STATES POWER CO. |
| To: | Office of Nuclear Reactor Regulation |
| References | |
| NUDOCS 9105010217 | |
| Download: ML20024G856 (26) | |
Text
. _ _ _ _ _ _ _ _ _ _ _ _ _ _ - _ - - --
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NORTHERN STATES POWCR COMPANY die NICOLLET M ALL M I N N E A PO LIS. M IN N E S OT A 5 8401 ctF Ct erStCRrYamy
, 5 kCj v.c. -
March 13, 1975 U. S. Atomic Energy Commission Division of Reactor Licensing Washington, D. C. 20535 '!
Re: Docket Nos G -26 D 50-282, #g
/ y 30-306 + "3 i
'l Gentlemen:
Pursuant to Paragraph 50. 71 (b) of 10 CFR Part 50, we are enclosing ten (10) copies of our 1974 Annual Financial Report, in-cluding the certified financial statements.
Very truly yours,
.. ,. . - \
/*
'ARLA$D D. BRUSVEN -
/.
j' f
i.
Enclosures
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s,
{ E' 9105010217 741231 '
s f, NRC.DlSTRIBUTION. FOR PART 50 DOCKET M ATERI AL
, (TEMPOR ARY FORM)
CONTROL!, I
FILE:_ _ - __
FROM Nort te rn ^ t a t e r Powe r %DATE OF DOC DATE REC'D LTR TWX RPT I OTHEM i "nc .m; ; 1; r , " . ..
. 59.o;
) Arl' nd . ' ..lrrc< -1.1-76 E-1 T-11. M ._ ,
TU i ORIG CC OTHER SENT AEC PDR- _.
! ! :- ! 1 r une.1 SENT LOCAL PDR XX.
CL ASS l UNCL ASS l 'ROPINFO , INPUT NO CYS REC'D DOCKET NO:
J M 1 l 2 /10[
DE SC RIPT!ON. Lt r t rr.u w followinn ENCLOSURES: 1F(h Annual TinAnciL1 Ferort f'or Norhtern Statec Power Co.
(10 cyo enel ree'd)
~
t% Th PL ANT N AME: Menticello Plcr.t & Prairie Tdand Unite 1 & 2 ( q 'W-}4h'y .< . w .fl s . A4' *
. _ _ _ _ _ _ . . _ _ _..____L _ ._ _ ._._ --td -
FOR ACTION /lNFORMATION NI ~4-1" 'l5 __
BUT LE R (L) SCHWE NCE R (L) ZlEMANN (L) REG AN (E)
W' Cee W Come! W/ Copies W/ Copies CLAht(L! STOLZ (L) DICKE R (E) LE AR (L)
W/ Copics W/ Copies W/ Copies W/ Copies PARR (L) V ASSALLO (L) KNIGHTON (E) SPELS W/ Copies W/ Copies W/ Copies W/ Copies KNIEL (L ) PURPLE (L) YOUNGBLOOD (E)
W/ Copies W/ Copies W/ Copies W/ Copies INTERNAL DISTRIBUTION Tbf G Fil fi[tr.2[QhT CE AEVIEW DENTON LIC ASST ~
A/T IND .
Fw Hc ru H (Lu-Si/i-1HROE DE R GRIMES M.~DIGGS lL) BRAlW AN OGC, ROOM P-bOGA MACCARY G AMMILL H. GE ARIN (L) _SA LTZM AN GOSSICK/ST Af F KNIGHT KASTNER E. GOULBOURNE (L) FAELTZ CASE PAWLICKI BALLARD P. KREUTZER (E)
GI AMBUS50 SHAO SP ANG LE R J. LEE (L) PLANS BOYD STELLO M. M AIGRET (L) MCDONALD MOORE (L) HOUSTON .E.NVi_RO_ S. REED (E) CHAPMAN DEYOUNG (L) NOVAK MULLER M. SERVICE (t ) DUBE (Ltr)
M,KOVHOLT (L) ROSS DICK E R S. SHEPPARD (L) E. COUPE GOLLER (L) (Ltr) IPPOLITO KNIGHTON M. SL ATER (E) PET E RSON P. COL LINS TEDESCO YOUNGBLOOD H. SMITH (L) HARTFIE LD (2)
, DE NI5E LONG REGAN S. TE ETS (L) KLECKER REG OPH L AIN AS PROJECT LDR G. WIL LI AMS (E) EISENHUT FILL & REGION (2) BENAROYA . V. WILSON (L) WIGGINTON T.R. WILSON VOLLMER H A R LE 65. R. INGRAM (L)
STEELE
,t-LOC AL PDR._Amopolir, Minn.
d ~ TIC (ABERNAT tr" HY)
(1)(2)(10) NATIONAL LABS 1 - PDH-SAN /L A/NY N NSIC (BUCHANAN) 1 - W. PENNINGTON, Arn E-20i GT 1 - BROOKHAVEN NAT LAB 1 - G. ULRIKSON, ORN L 1 ASLB 1 CONSULTANTS i 1 Newton Anderson NEWM ARK /B LUME/ AG B ABI AN 1 - AGMED (RUTH GUSSMAN)
- ACRS HOLDING /SLN1 Rm B 127 GT ,
1 1 - J. D. RUNK LES. Rm E-201 j GT l
l t
AXXUAL REPORT 1974 l NORTI-IERN STATES POWER COMPANY t
- .. s I3-16 NSP THE ATTACHED FILES ARE OFFICI AL RECOHOS OF THE OFFICE OF REGULATION. THEY HAVE BEEN CHARGED TO YOU FOR A LIMITED TIME PERIOD ANS MUST BE RETURNED TO THE CENTRAL RECORDS STATION 008. ANY PAGE(S)
REMOVED FOR REPRODUCTION MUST DE RETURNED TO ITS/THEIR ORIGINAL ORDER.
DEADLINE RETURN DATE IO d b 3 2, h
o d t
z-Q
- MARY JINKS, CHIEF CENTRAL RECORDS STATION
- n 6
- e I ne rra me 1974 1973 A rnou n t l'er Cent (ennhnne ne d..noro)
> (lgierating regenure
}'h 4 , ~
l'.let tric $156.3 $ 3 Hit.4 $ 67.9 17.$".
Gan 113.6 75.1 H.S 11.3 "i * """ d "' i"'
d "' 'd 5 "'
COM PA11ED Teiai Sn.H 46v, 76.9 i 6. 4 WIT!! oi.naiing ni,<n,n 1:lertrir fuel and eurtluo.c l I gioner 121.5 102.7 I H. fi lH.4
.h -[ . Ca giurchased for resale 13.0 39.5 3.5 H.9 .
Other olieration Hl.6 71.6 7.0 9.4 hiainirnanec 31.1 30.H .3 .7 lic).rcriat on 61.7 49.5 12.2 24.fi l'iog rity anil genrial tate. 61.7 *. 5.7 10.0 1 H.6 Curer..t an<l deferred inreme tase, 36.1 27.4 H.7 32.1 Tt.tal 138.7 37H 2 60.5 16 0 Oi irrating incorne 106.1 Hu.7 16.1 1H.2 Allowantc for fund
- used during con.truction 21.9 Ou.3 (l.4) (15.0)
Oiher income and income deduction.- net (.6) .6 Intere,t c harpen f 2.1 51.0 11.1 21.9 Net income 68.9 67.4 1.5 2.0 l' referred disidend. 13.1 11.9 1.2 9.5 I:arning, auilalIc for ruinnnin to L $ 55.H S 57i.5 9 .3 .7'i
=
r i m, ._
mu t .. .
sha, . ..f <emm..e ,6.a. as,,s. f,., 3 m, iono ,, .
1:arning, tier
- hare $2.40 $2 61 liigidenil* }iai<l }wr *harc $ 1.H 36 $ 1.H36 3 9 I4-19 /d. IlEVENUES AND SALES l(IT I.M I.5
. S %I.I 5 19*6 l'ee i eat l'er 4 eut la14 l'ee ( ant (menu no e I ne re..e O. neuno l'e t.I
.r e n t
< r a..n... i i ni.i .. iets or w m 1 i.i .I.ne
. , itera.e 6.1.l cl it lC lic idential !!71.i 38.2'1 16.7Ci 5.H 31.1". 9'i Small comniert ial and indu+ trial 87.9 19.3( 2.6 13.H (
l.arge commercial and industrial I N'I
- 151.7 33.2% 7.9 42.1%
Stiro lighting and other 11.0 3.1 3.0 .6 3.1 ( 1.rd
'lotal retail 12H.1 91.8 17.1 16.9 9n.1 .2 Salce for re ale 21.7 5.1 22.1 1.H u.4 (13.7) hiiir ellancou. 3 . ". 8 3.0 Total $ 156.3 100.0'; 17. 5' , 18.7 100.0'1 (1.3 r_ ==. i 'l g p- tn mn.n.
.e <r Itc idential with >;.aie heating $ 12.6 51.0'i 10.2'1 30.5 11.1" 5. 4';
Ite,idential williotit i.are licating 2.3 2.8 .H 1.0 1.4 (1.3)
Commercial and indu. trial 3H. I 45.9 13.0 42.6 57.4 ( .8)
Sliu ellaneous .3 .3 37.7 .1 .1 21.5 Total $ H't ,6 100. 1 1. 3"; 71.2 100.0". 1. !".
~ n e:=,0'1 u. .= w.-a ---=- =.=
1
19 4imit negour i
NORTIlEllN STKrES POWEll COM PANY ThMe ofContents Chairman' letier to .harela.ider . 23 l'.lectric optern oi crations. 4 New cle(tric rencrating 1lants. 5 l'm I sul.lily for electric generation 6 Gas utiht) ol.crations and itescarch 7 11 1:mi.lo3 cca Iktnings. 4 13ectric and pas rate increa*es . 10 Con truction and financing 11 linancial itatement. . .12 15 Lies to financial statements . .16 17 Accountant >' ogim.. n and fi ral ,ipents, 1 11
'len scare of } rogre** and di < un$ ion of Statenacrit of illcoine. .19 20 e Olbrers oral directors. . In side barl rot er
( NSP SERVICE AREAS 9rthernstore41 Cornpany,uhich s.'ourr s osenal br 1I0,000 shareholders, c-.. l;ron ides el<vtric ser u ice to 9.57,000 cu stor sers in L2 "N"' , -
t \linnesota, North Ibal. ora, tunoo" South flalota and
%rth Dal.ota > f pas utility scruts
'"I'""**
"*&^ .\liron esota l/ l 237,000 'custorners in Alinnesota, ll'im>nsin
\ and North Ital.ota.
kn.j,
( s.
g / 7
\ J L ' "f " disconsin o
., uu,,r.... ,ggo,m,3,
\ South Dal.t.ta I uSu t E . , s. .u g] 111:C'l ItiG
,,, ,i g n , i . L SI:ltVICI:
o "' "' " " I' [._-%
.W " '" ' "I Alt 1:AS t 1:1l~ClitlC AND G A%
, SI'It \ ICI:
Alt I AS t
1
ings per share. Property taxes and general tasca were up $10 rnillion.
Interest c harges increased more than
$11 million. Depreciation espense rose about !!2 million, and produc.
tion expenses were up more than Sl8 million mainly because of increases in the unit cost of fuel and purchased power. An increase in the average number of shares of cornmon stock outstanding also contributed to the j decline in earnings per share.
As we begin a new year, we are I
,] ,
optimistic that we will be able to reserse the downward trend in our t .
earnings.
Itate increases are absolutelv vital if we are to accomplish this objee.
tive. So, in late 1971 and early 1975, we requested electric rate increases which would raise our revenues about $74 million on an annual basis if approved by the appropriate regu.
latory agencies.
Ilowever, rate increases alone will not be enough. A moderate increase 4p. nonini n.mcii5 in sales willalso be needed. Ahhough 1 cA w mon y a, N ,d i lie our wornm will continue to manage their energy consumption efliciently, we expect that the increase in electric sales which began in late 1974 will con.
ry,0 1 OUT Sare >Orers ,,n u e. We are encouraged by the stable, disersified economy of our service 3/a rch 10,1975 area, which includes a strong agri. business sector in addition, we are already beginning to see evidence of customer conversions from gas and billion dollar mark. Ilesenues in. oil to electricity which is becoming Orn$2.10unsiscs in 1971,rta down snutt werecrea ed S77 million to S515 million, 21 cent- the most economical and readily from 1973. Although our earning- mainly because of rate increates as ailable foria of enerFy in our area. declined, they were still adequate which totaled $48 million, lletail NSP will base ample supplies of to pay conunon stock disidends of Lilowatt. hour sales remained at electricity in the future because St.836 per share, the same as in aheut the same level as in 1973, most of it will be generated from the 1973. In October.1971, we paid our w hile gas sale to heating customers relatisely abundant fuels of coal and 10lth con +ccutise dividend without increased 5.7 per cent, uranium. We bas e adequate supplies a decrease, and we see nothing at Despite our success in holding of both fuels, which will provide present that wouhl alter our pattern down day to day operating costs, about 92 per cent of all the electric. of regular dividend payments. increases in certain uncontrollable ity we generate in 1975. for the first time in history, our expense items aff*et the revenue As we inove into 1975, our three total revenues outpassed the half. pain and led to the decline in earn. largest generating plants-the coab I i
, 6te<,1 Allen S. King Plant, the Monti.
edio Nuclear I'lant, and the Prairic Island Nuclear Plant-are ready to perforrn at full power. With t}ie*e plants in operation, we will not bas e hAIIhlh6N to rely as inuch on our older, less P" d""' h 1"""" ' econoniical [ dant >, and we can cut 3.nn 93, ;
]y down on costly power purchases # 251 ;"" S23'l frorn other rappin. rs, ..
g ,o _ $2.11 rm' 82. t o _
- 48 e Corntruction of new perierating C ; 4H
, .72 ? .56 hh ldants requires a trernendou6 ins erI. I 2 "" ~ ~ ~ ~ ~ 33 ~
rnent. During the pa>t hve years NSP, like inany other utilities, was
) if,n - ,39 - 4,, h 49 an/
.31 -
able to generate only about 35 per p ^5 eenI of it< con =truction funds inter. 2 3gg _ !.54 _ U_ _ 57 _ _
' '"I nally, llowever, over the next hse :
.a0 "o _
3 ears we espect that about 50 to 70 .I" 83 .79 A7 ,gg isi per cent of our con >truction require. ,on enents will be generated internally I"I" I"Il 1972 1973 1973 which rneans we will not hase to relv as inuch on co tly esternal fmancing. Ih er the y ear , our Conipany ha-betorne the leading energy dupidier in the region. We bas e earned thi+ po ition by prosiding good servic" AVEllAGE SilAl(FS OF COMMUN through sound planning and ethrient STOCK OUTSTANI) LNG operatmns. Along the way we base j9 l. 23.2 rnillion sliarca dernon+trated that providing good service is cornpatible with our other 1973- 2I 3 "'illion sharn important responsibilities such as 1972. 19.8 inilhon shares protecting the ensironinent. 1971, 19.0 million shares A webasegrown, webase learned that the challenges like thoe.e we 1970. 17.5 inillion Share-experienced in 197-1 will make us a
>tronger Company in tne long run.
In the 3 cn ahead,(.ur directorr and employ ees are deterrnined to inain. taAn our rt"'ord of good Fei tice and to improve our fmancial performance. in conclusion, w e regret to report O BllluN STOCK linilend pail 16 quaner-that Pierce 11. Mt Dowell, an NSP . 2.no - director for the patt 2-) years, died *i Al ' 1,,,,a, , . '-l a n . .__
! v on February ]1,1975. lie was chair.
2 bilii "II" 7 15" ,u , rnan of McDowell Associates, Inc., = .425 .412 - .459 _ .159 _ Jr4 of Sious Falls. South Dakota, llis E l"" . 0 125 .18" '# ** 3'd distinguished ecrvice on the NSP b
~ '40 ~ .t25 lW
~o hoard included 18 years as chairinan .425 .459 3d of the importarit fmance cominittee d
and 18 years as a rnernher of the 3 'g. .40 .125 .425 .459 .459 hr 1970 1973 jy;g 1973 j9 ; i executive conunirtec. We willdeeply i rniss Mr. McDowell's espertise and his friend hip. . 3
1 TC 3 ( t'5'" "5 c""ti""ed '"
; O .. use energy wiiely in IC1, i and at the sarne tirne the businen i recenion began to hate an effect on m-the eco.mmy of Ihe Upper Alidwcat region. As a result, the slowdown (@C(( C Sy, $[@}))
in electric sales u hich beFan in 1973
, coniinuca in ion. nead eieciric sales increated h H than 1 per cent 07eraLions in 19M oser 1973. This cornpare-with a 1.5 per cent increase in 1973 over 1972.
Ilowever, there was a rnoderate increase in sale, in December,19N,
, arid early 1975 indicating a ponible upswing in the growth rate. Present citiniate* how an increase of about \] \ \ l \j { \] ,\ N N(' \l, j',[,l:t :Tl!!(: 11131 \ Nil i i per cent in 1975. Beyond 1975, ()N Till NSI' ST STI \1 electric sales are forecast to increase 11(n.Il FII 18 WK]uun
, at least 5 to 6 per cent per year un. MlW Yl~l
- i til 1%0. The increase would re ult 4 , i i from a resumption of construction l '""]
, .,no !
activity aoociated with population I < l~ , . . . { growth, from growth in the output ,000 ,__ 4 of goods and services (greu national j product) to which electric scles are lino l on., __ _ _.l i f """ j {
; closely related, anJ from the eco ! l ' "" ' l nomic sigor of agriculture and agri. I"""(
]
?,., g businco in NSI"5 four state service j ""- '
"" ~
area. Sales may w e'l pou at a fa<ter rate during this period if snore cus. 3 nog _ y,, __g,__] J tomers turn to electricity as their y' , l l hatie enerp 'ource rather than oil ..
~ gg l '
l ' ' and natural pa' which inay become L-.~. ' a
- relatively scarce, I " "" 7" ll 7* II II U % II 1 I"I" While retail sale reflected virtu.
ally no growth in 19M, custorner> continued to call for increasing amounts of electricity on the hot- , test and coldest days of the year. Slowdown in annual kilowatt hour cral large generating units have During a heat wage in July,19N. Saleh cu'tomers are still requiring been dela)cd which has deferred for esamlde, customer electric re. more electritity on certain days of expenditures of about $700 million, quirements to*e to almost 1.000 the year which means new generat. The Company is keeping a close megawatts - the highc t such de. ing [ dant 6 haic to be built to serve watch on factors w hich w ould affect mand in Company history. NSP the c brief peaks in demand. energy growth in the future. NSP i met this record deniand with it' While these peals in customer de. planners face the challenge of major jdants and uith electricity mand are not growing an fa61 as in predicting today what the electrie i purchased from other utilities. Dur. the past, the chart an this page demand will be eight to ten years ,y ing the winter of 197 8, cu*tomer re. Shows that some moderate growth from now since it takes that much j quirements climbed to more than is forceast, in view of this modera. time to license, design and con-l 3,200 megawatts, the highest ever tion, the Company has re.anened struct eoabfired und nuclear electric for a winter season. So, Jespite a its building plans. As a result, ser- generating plants. m
i 1 4 -
} 1 g !!45 At DI.D Ahol'T 2,500
. [ fnegawatte of generating l capability in the latt fisc )cato 10 ensure that its cu torner* hate re. ,
liable supplies of electricity. There new plants also inade it pouible to - g7 g gQ}g retire ,everal old, uneconmnical . plant, and icseral that could not D@@'Q JDO' D }}{H [$ O' ineet new envirornnental standard
- lly the end of 1975, the Company will have spent about $150 inillion for ensironmental protection and irnprosernent at its new and pre ent facilities. About %7 million of that amount will have been spent in
}9Ij and 1973.
The newest aiblition to NSI"> generating >y> tem i the second unit of the l'rairic l land Nuclear Gen. POWER PLANT erating Plant, in He 1 Wing, \linne. sota, w hich went into *eruce in , CONSTRUCTION SCllEDULE I)ccember.1971. The 320 megawatt 3;,, og 13 liumaint Ibir unit ha* operated well, and on Feb. an t nit el,r n' la ruary a, 19 ..a, it reached the 100 l*la"'oon't im < w. , . . .,o , im oi.u." o n senire per cent power level for the hrst " ^ '" ""' C"" " " I *' N' heder. Ennoia C"dI l time. Prairie Islarn),> first unit. (pp
"""""" g w hich went into $crvice in late "
1973, operated Sporadically during N"' I'""'" C"" " O P H"" I"82 C"dl I g.g the 6rst *is nninth* of 1971 becau e %"l'ur ne C"unn l
- im C4 at I 1981 of succhanical problems with the T3rone I;nern l' ark " tm .Nutlrar M1H loM turbine generator in October, re. I 4 ' "
- d' " *"" "'"
puirn were compIeted which hase T"f""A 'Y',"I'"d> C"h *PI "l" "* IIM AIII allowed the unil to operate vino'ethly r0 Allt u til be roniedfor other pou rr ""..f m' i nns , at the 100 per cent jiower lesel. With the Iwo Prairic liland units and the Alonticello Nuclear Plant, which went into service in 1971, nuclear power now account
- for wa*hing 09 per cent of the fly ash und Tyrone generating unit, origin.
about 33 per cent of NSl"5 total and 50 percent of the sulfor dioxide ally planned for 1983, has been generating capability, from the planti flue pa6 postponed because of reduced elec. The accompanying table show s The third and fourth Sherburne tric dernand. the major generating units w hich units were originally planned for a The Company has aho signed a are planned based on current e ti- tite near llenderson, Alinnesota, letter of intent wi the Stanitoba mates of customer demand. The but the Company decided to dela3 ll 3dro{lectrie ! Nard of Winnipeg, four Sherburne Count 3 unit would u ing the llenderson site and to rcek Alanitoba, which could result in be located at a , ingle >ite in Hecker, approsal to build the units at the inajor electrical interconnections Niinnerota. Con truction on the rn3t Sherburne site at a sasing of S50 between the two spiems. The inter-unit is 75 per cent complete and the million.
>econd unit is 30 per cent finished.
connections could provide 600 Site acquisition, environmental megawatts of power to Northern The plant, which will burn low sub and engineering $tudies continue fut coal, will bas e an advanced air States Power Company each sum. for the first unit of the nuclear. rner over a 13 3 car period. A final pollution control eptem capable of fueled Tyrone Energ3 Park. A sec. a { ontract has 3et to be signed, l 1 5 t
7 iacon; increasingly obsinus in 1974 that the nation'* clectric
' ~
l utilities will base to plaec heasier
. O.l, reliance on coal and uraniuni to produce electricity. The shift will UO bO_ ).1 y occur becau o of soaring oil prices 3 , 3 ,
and at tion by the federal gos crittnent
* ,/g v -.
g C -' O n-1 requiring utilities to di continue their use of riatural gas to produce electricity. l'ortunately, coal and uraniuin are already the dorninant fuel u ed by NSI' for elc< tric gen. contracted with two Montana sup. NSI' will ineet the reinaining 10 eration. plien for a total of 168 inillion toni, per cent ofits toal needs for exi ting l11 197 l, 79 pt'r refit of all elec- The*e rotitracts proside [Or up to [.anth betkeen now alld t!le In!ib tri< ity ptoduced h> NSl' eame f rom H.1 million ton per Scar for the 1980s with coal from southern coal and uranium, w hile oil ao ount- nest 20 year which i- sufficient to Illinoi under existing aprecinents. e l f or only a per c ent. ga 13 per meet 90 per cent of the need of This coal i needed to upgrade the rent, and hpiroclectriiity 5 per esi ting c oal. fired plant, and all the lower heating salue of western coal. cent. In 1975, an e timated 92 per need* of the first two units at the NSI' al o has commitments to rent of the Conipany > clectrical new Sherburne County l'lant. In satisfy its anticipated nuclear fuel ( utput will be produced by roal an I addition, NSP has a contractual need for at lea t the nest ninc years uraninin. option for 100 million ton, of low. for the Monticello Plant and for the
\ umine no re-trictiselegi-lation ulfur Montana coal w hich would he two Prairic 1* land units or reculatory action. NSP espert- available for future plants. The Cormorant Corporation, a Ibat by ille carl) 1900 alHint 9(I }ict NSI> c\ivling blatits jii the wiloll).ok fled bubfidiary of ibe cent of all the coalit liurn will base \linneapoli St.Paularea arelocated Company,im orporated in Montana, a sulfur content of le than i per about 800 mile from the Montana i engaged in esploration activities rent. To provide a rtalde, lonc term mine , which permit economical with other entitie, to secure fuel suppl) of low. ulfur cual, h.%I' Ita- ?}iipinent o[ cle.nl ill 70 car tralfik, resources. 9 ENEliGY Sul RCES 1Ull ELECTillC GENEll ATION 1071 bl01.1 lc E-timated l<nto E-limated oli. Oll-I oli.
3"n 2"o \"o g 111111: 0 g Ililiitu [ tiil)lto n ,"," o R }"n 3 3"u ('. \5 1. \ S (e \S 13"4 2"o Mbb MS ',,'.y, ' %ia j';U, 7&SBM h,";),',l W.e Ni Cl.l: \ll Ni Cl.l: \ll - .
\1 Cl 1: \ll
- 3. cq( ng%'
3 c% C . 27"n M _j j ;",, .] 3" o i 6
~ 4 IFFw's from NSP Fa* "'ili'r i t. operations were almost $81 .- . million in 1971, up about 11 per eeni mer 1973. Sales to gas heatmg cus. gg gh]hT tomers increased 5.7 per cent in J 1974 mir 5 3. lhe Lompany had adequate sup. O,erations plies of gas to serve its residential, i small commercial and small indus. trial gas customers in 1974. NSP expects to be able to supply these present customers and to continue it will have a storage capacity equal given day. The matmum daily to add new re idential and other to 2 billion cubic feet of natural gas. demand for the 1973 74 heating sea. mallaolume u crs in the fore ce. Under contracts with it. two pipe. son was 365 million cubic feet. able future. line suppliers-Northern Natural The Company is unable to accept This is po ible becau+e facilities Ga Company and .\lidwestern Gas new customers using large amounts bas e been and are being built to store Transmioion Company-NSP can of gas on a continuous basis. NSl"s cue
- natural gas in the ummer for draw up to 317 million cubic feet of major pipeline natural gas supplier, u6ein winter when heating demand
- gas per day during the winter heating Northern Natural Gas Company, has are greatest. As part of thi efTort, a season. Another 160 million cubic also informed the Company that Sl6 million liquefied natural gas feet per da) is available from NSI"s after 1978 there will no longer be storage facility i< being built near storage facilitie* for a total capability nat ural gas as ailable for largea o!ume St. Paul for operation in late F/l5. of about 477 million cubic feet on a interruptible customers. .
Lota, for the test facilities, which and cool greenhouses. In addition, will begin operation ;n 1979. at NSP's Monticello Nuclear Plant, A second project i aimed at find. the National Water Quality J.abora. 3l@ $ @ [{ [] C ing a pradhsdmonondcal nwns of reem ering > mall, glao.hke heads tory, under the direction of the U.S. Environniental Protection Agency. from coal ash. The beads-called began a rescarch projeci to r tudy the ernospheres-could eventually be efTects of warm di, charge water on used as a partial substitute for resin fis h. in the manufacture of plastic or as in 1974, the \lonticello Plant was r No siuon re catch projects in. an insulation or fire.proofmg mate. equipped with a new system to fur. _. volving coal have been an. rial. A small esperimental machine ther reduce radioactive eminions to nounced in one project, NSP will derigned to recover the ceno pheres the atmosphere The system, w hich join with the U.S. Ollice of Coal He. and other a h ingredients such as wa designed for NSP, is the only search and Foster Wheeler Energy lamphlack and iron, will begin oper. ene of its Limi in the country. Corporation in an effort to produce ation early thit year. NSP coal ash The Company continued its sup. pas from coal for u in generating is also being used as a substitute for port of a national eflort to deselop electricity. The use of thi< gas for cement in concrete. the country's first commercial nu. electric generation offers potential Work continued on a variety of clear fast 'ieeder reactor. NSP's cost benefits, energy savings and other research projects in 1974. Wisconsin Company supported environmental imprm ements. NSP including an effort to determine energy storaFe research and fusion w ill prm ide it s l.a wrence Genera ting w hether warm w ater di< charges from reactor design research at the Uni-Plant, near Sioux Falk, South Da. power plants could be u ed to heat versity of Wisconsin. e 7
I I m ly. The current agreement expires neering, construction, and operation December 31,1975. of all the Company's facilities.
' ~
Four new directors merc elected M}T M TCCS AITiltil ATIVI: M: TION Under its policy of equal employ-to the NSP board in 1974 which means that more than half of the ment opportunity and affirmative present board members have been action, NSP recruits, develops and elected in the last five years. The Pitolit U rlVI T Y promotes employees on an equal new directors are W. John Driscoll, Corporate efliciency and emi dosce basis, regardlen of race, color, president of the Green Valley llohb productisity are always of concern
'"licion *cx, national origin, or age ing Company, a private investment to manacement in 1974, an extra and asserts leadership in the com. company in St. Paul; llobert E.
effort was made to get the job done numity to promote full employment llaupan, president of The Webb as economically a* powible without and utilitation of capabilities of all Company, a St. Paubbased printing jeopardizing service. Departmental it' eitirens. This policy is fundamen- and publishing firm; llichard 11. budgets were trimmed throughout tal to the operation of the Company. Slagnuson, vice president and gen. During 1971, the Con @any con- eral counsel for Land O' Lakes, Inc. the Company at the beginning of 197I hv SH million. Economiting tinued an intense program of recruit. of .\linneapolis; and Dorothy J. efTorts which continued during the ing minorities and preparing them SLwiera, a .\linneapolis homemaker year held expen es S3.2 million be. for long term employment. The af. and a member of the Alinnesota low the already tight budget. firmative action program was also Corrections Authority in St. Paul. In the put ten years, NSP has directed at recruiting women and in Alay,1975, Earl Ewald, former added about 173,0UO new electric improving their role at NSP. president, chief executive officer and cu+tomers, but during that time the chairman of the board of the Com. TI AN AGE \lr.NT Cil ANGOs pany, will retire from the board of number of emphiyees has dropped hv more than 100. At the chart be. NSP President Dasid F. .ilcElroy directors. Under his leadership, NSP b$w show , electric output has took on the responsibilities of chief mm ed into the era ofinterconnected nearly doubled during that period, executive officer in 197 L in thelatter regional pow er y stems and the new part of 1973, Donald W. .\ lcCarthy technologies of large, more eflicient 1.\llOlt itEIATIONS became an executisc vice president generating units, llis efforts also NSI"* good relations with the sari. with re>ponsibility for all external stimulated a greater social con. oue labor unions which represent Company activities. A second exce. seiousnen at NSP. The Company more than half of its employces utise vice president was named in extends its deep appreciation to .\lr. continued in 1974. The Company 1974. lie is D. W. Llack) Angland Ewald for his 45 years of dedicated negotiates a union agreement annual. who has responsibility for the engi. service, e a, ENIl'1DT 1:.E/AND KilD\\XIT-ilut:lt ! Luli OLTI'lT 1(i billion 12 inllion 9 billion 611to g 6260 Ut60 em plm er- emplos ec a emplos ecs t ,A t t 1901 1969 1971
- te.:rly cu e vn e ravnler qf I wf t employees.
8
1, L I i Financial Report l Tfor 1974 were $2.40, down 21IE COMPANY'$ EAh$tSCS per share cents from the $2.61 earned in 1973. , . Earnings available for common stock, how ever, were 555.8 milhon, --{ gyp ppg up slightly from the $55.5 million D
, earned in 1973.
The decline in earnings per share
~
was due mainly to large increases in expenses, caused by inflation, high interest rates, high production costs increases in property and generai oi's "h%' 4'"" llETAll ELECTRIC SALES taxes, as well as to a slowdown :n the g'owth rate of retail electrie H.1% M 1961 ** H.3 sales. Earnings per share were al*o 7.7% M 1965 e . ,. 9.0 ! 10.3% - 19(>(i r"' . 9.9 IN l111110 % reduced by increases in the average 7.4 % M 1967 .. . E , 10.6 Of Kil.OMTT number of shares of common stock 11.2% m 1968 r A 11.8 HOUIS outstanding as a result ofissues in 10.3% M 1969 i' 1 . 13.0 October,1973, and November,1974. 8I6 M 1970 II ~
#2~ lI 2 Hetail electric sales increased 0.2 l 1.8 per cent in 1974. The slowdown was H.6G m 1972 L _.j4.6% 2TA.- .
M 1971 L.y~ 16.1 mainly related to the wise use of .l.5%,34;3971 M 1973 C C Z DJ'scn thH energy by customers and to the Q 16.9 business recc.ssion. Sales to natural gas heating customers increased 5.7 per cent. While customers used gas wisely, this was offset by weather business included a $60.5 million the sale of new bends at various which was about 10 per cent colder increase in operating expenses over than in 1973, times during 1973 and 1974, and the 1973. This increase was due to infla. sale of preferred stock in July,1974, llevenues were S515 million in tion and other factors, including 1974, up abnost $77 million over A decrease of $1.4 million in allow. increases in production costs, and to ance for funds used during construe. 1973. At the same time, however, increa es in depreciation expenses, tion resulted mainly from the startup increases in the cost of doing busi. propes ty taxes, and other operation of the first Prairie Island unit. ness and a decrease in allowance for expenses related to the first unit of NSP willpay no federal income funds used during construction to- the Prairie Island Nuclear Generat. taled about $77 million, which vir. tax for 1974 primarily because of ing Plant, which went into service in the operating results discussed tually ofTset the revenue gain. December,1973. The large increase above, the use of liberalized depre. Most of the revenue increase re. in production costs was due to in. ciation, and investment creditt, sulted from rate increases, revenue creases in the unit costs of fossil fuel related mainly to the second unit of collected to pay for mercased fuel and purchased energy, the Prairie Island Plant. See Note 8 costs, a'id from the growth in elec. Interest charges and preferred to Financial Statements on page 17 tric and gas sales. stock dividends also increased $12.3 for a comparison of 1974 and 1973 lucreases in the cost of doing million due to higher interest rates, income taxes. a 9
. 1974 ItATE INCitEASE l'llOGilAM 7:ntn at uit ni.ruw in cain. .
d ings per share during the past (Drimated s.ncrease m md. lions of Jollars) two years and because of cost in.
/fect on ifcci on crea5cs espected in 1975, the Com. turrnic Annual Rn enues 19N Rncnues pan) found it necessary to implement %nnesota and South Dakota. $l7.6 $38.3 rate iarrease programs in 1974 and krth Dakotr . 2.5 1.0 1975. Wi. con.in-(eficctise 1/74). 3.7 3.5 l{ ate ;tirreases rai*ed electric and Wisconsin-Emergenc.s Interim ga6 revenues in 1974 about $4tl (clicctise 9/74). 7.6 2.0 million. The estimated atinual cRect Whal"*le- Enn""ta and of the e increase
- is approximately -
Total Electiic . 62.5 45.9
%, tmilion in late 1974 and early 1975. NSI' re<;ue*ted electric rate ,,
%nnnota 43 ...
increa cv of $74.2 rmllion on an an- . Lrth Dakota .. .3 n ual ha+., Seasonal pricing (higher l.otal (,.as. 5.0 T. .a tummer rates) was part of this pro.
. Total l'.lectric and Gas . $67.5 $ 1R 4 gram. l.he accompanying tables show the status of the 1974 and '
1975 rate increa'e progratus. In a relate l matter, the regulatory jurisdiction of Ihe Minnesota l'uhlic Service Commission was espanded on .lanuary 1.1975. to include regu. ~ lation of electric and pa* utilities. b CC.t[ C bl hob L' [OtO The Corninis ion is authorized to set utility rate , deterinine qualits of ervice. ar ignate service terriiory 1[lCl,CObOb and regulate aCCOt nting and i'sua ance of securities. m I9751l\TC 1NCltE ASE V1toGItAM l Annualincrease requested (millions ofdollars) 1:1.trl HIC STATt's
%nnnota . $'a l IAcetisc 2 '3 ~75 on an interim bud $. A public hearing will be held by the Wr.nnota Public Senice Comminion if fmal rate, vary from interim ratn. any execn is refundable.
Lrth Dakota. 3.2 Eficctisc 12 '? '74. A public hearing will be held by the Lrth Dakota Pubbe Sonice Commi.* ion. South Dakota 2.1 Action for rate increa ci i= in progress. Wisconsin . 64 A $5.1 million increa e we. panted by the Wisconsin Public Senire Commi% ion in be eficctisc 1/17/75. An emergency interim increase of Wholesale - %nnnota. Sou th Dalota and Wisconsin. 3.1
~
Filinp were made 12/74 ani are subject to Federal Power Commission appros nl. Total Elertric . $74.2 10
CONSTitCCTION COSTS AN1)Il0W TilEY Wil.i IIE l'All) is m sit stw m.os e usocisc S320 ; S295 Mituos j MittlON f
~,
3223 S205 S230 p 1.a uituos M ulos r~ ~ 35%7' L t' ion ' l20$ , - 20$ i f
!35fo '
Asticohn $270 million on construction in 1971.wasThespent 1975 1976 1977 1978 1979 expenditure > were allocated as fol. lows: f,, 'g",'" ' Internal rencration of funds would aserare about 70 per cent annually t.rtween 1975 and 1979. With le s resenue or larger espensen than F. lect ri: Unlit y . $252 are ni projected, the escrage could drop to about 50 per cent. Gas Utility 13 lleating. Telephone and other 5 Total . .$270 - To he!p finance these expenditures and to refund $50 million of long. terrn debt which matured during the q , year, a total of $167 million in new nnancing was compieiea. ne rmane. l von 5v 1)1C .10n anC .. inginvolved a $75 million bond inue n , rold in January at a cost of 8.4 per cent, a $2a, imlhon preferred stock gggg inue sold in July at a record.high cost of 10.36 per cent, a $38 million common stock sale in November, and about $29 million in proceeds on October 1,1975. An estimated construction expenditures for the from sales of pollution control bonds $150 million in financing will be 1975 1979 period are estimated at by several municipalities to fmance needed to help meet these require. $1.3 billion. To help fmance these pollution control facilities at NSP ments. Tentative plans call for sales constructio i expenditures and to generating plants. of first mortgage bonds and pollu. refmance abo, t $120 million in first Construction expendituresin 1975 tion control bonds totaling $105 mortgage bonde which mature over are estimated at $225 million, in million and a common stock inue the next five yors, an estimated addition, a $75 million 284 per cent of about 2.5 million shares. $510 million in steurities will be first mortgage bond issue matures The chart above shows that NSP's sold, a 11
l l l l
. , x0imlDIN STATFS POWER COMPANY huNNESOTA AND SUBSIDIAluES :
I STKl'EM ENT OF lNCOM E V,a, roaca nece,oi.e,3i 1974 1973 OPEHATING HEVENL:13 1]ectric. . $456 278 $388 409 Cas . . . 83 583 75 106 Telephone and heating. 4 976 4 446 Total operating revenues. . 548 837 467 961 OPf RATING EXPENSF3 fuel for electrie generation , . 79 001 65 982 Purcha,.ed and interchange power. ,. ... 42 511 36 684 Gas purchased for re sale. . . .. . 43 Ol6 39 519 Other operation. . . . . . 81 625 74 619 hiaintenanec . , , . , 31 053 30 845 Depreciation (Note 1) . . 61 680 49542 Property and general taxes. . , . 63 690 53 679 income tases (Note.1 and 31 . . 36 133 27 358 Tot 61 operating espenses . ,, 438 739 378 228 OPEH ATING INCO%lE 106 098 89 733 OTilER INCONIE Allowanee for funds used during construction. 21 923 29 320 Miscellaneous . . 2 339 1 _191
- Total other income. . 27 262 30 511 TOTAE INCOhlE. 133 360 120 244 INCO%IE DElll?CTIONS AND NON.0PERATING TANES. . . . 2 316 1 851 INC0%1E IIEE0HE INTEHl3T CilhHGES. , .. 131 044 118 393 i IN1EHEST Cil A HGES t Interci.t on long.terin debt. . 53 538 47 008 Other interest and arnortization. . . . 8 597 3 975 Total interest charp.. . . ... .. 62 135 50 983 t NET INC0\lE. . .. , . . ... . .. . .. . 68 909 67 410 "RITEHRED STOCK DIVIDENDS. . . . . ., 13 082 11946 i
EARNINGS AVAllAllEE IOR COhl% ION STOCK. . . $ 55 827 8 55 464
* 'fYhI.I$aermenn on ges to and 17.
AVLH AGE Sil ARFS Of C0%l%10N STOCK OUTSTANDING (000's). 2b3 21 289 FARNINGS PER Sil ARE ON AVERAGE SilAR13. . $ 2.40 $ 2.61 l l l . 9s
3;
\
l STN1'EM ENT OF RETAINED EAIlNINGS " 'l' """@,'/ ' _i , (Thousands of dollers) Il41.ANCl; AT ltI41NNING or YrAH. $180 914 $165 361 Net income for the year. . ... . . . 68 909 67 410 Cap'.tal stock cupense. . . . . ... . (2 565) (570) Other . . . 31 Net additions. . 66 384 66 871 Dividends declared Cumulatise preferred stock . 13 082 11946 ' Common storL ($1.ft% per share). 43 311 39 372 Total dividende declared 56 393 51 318 j li AIANCI: AT 1:ND or Yr. Alt (Note 5) . $190 865 $lito 91j i STN1'EM ENT OF Cll ANGES IN FINANCIAL POSITION ( Year 1:nded December 31 Sol'ilCI: Of Il'NDS I9II I9I3 Fundsfroen ryseration, (Thousands of dollars) Net income.
$ 68 909 $ 67 410 Depreciation ar+.I amortization.
69 425 53 516 Deferred income taxes . 30 5411 22 764 investment tax credit adju.tments-net. 6 654 9 526 i 3.llowance f or fund u>cd during construction . (24 923) (29 320) l Total 151 113 123 896 l'roceedsfrorn sale of notes and securities Note
- payable .
26 695 long. term debt. 109 395 118 144 Preferred etocL . 25 000 Common stock. 38 157 51 265 Total. 199 247 169 409 10TA1. 50l'H00 Or ITNDS. $350 360 $293 305 APPL.lC\il0N Or ITNDS ~' Utility plant additions'
$247 603 $216 564 l(etirement of longerrn debt.
Transfer of long term debt to current liabilities. I688 826 75 000 50 000 llepayment of notes payable . 10 986 Preferred and common disidenh . 56 393 51 318 Decica+c in working capital (escluding notes payabic). Other-net. (28 449) (38 197) (1 875) 1808 101 AL APPIICAllON Or ITNDS. $350 360 $293 305
~
INCiti:ASI: (Dr.CREASD IN WORKING CAPITAL. Cash and ternporary cash inseittnents. . . $ 1 030 $ 539 l'ollution control financing-funds held by tru,tec. 5 814 Account, receivable-net. 1631 8 684 (3 469) l'ederal income tax refund receivable. .. (3 300) 8 000 long. term debt due within one year. . .. Accounts payable. (25 000) (50 000) (10 568) (5 250) Income and other taxen accrued. ..
, g.,,y ,
(7 959) 7 223 Other current sorts and liabilities-net . 2 820 3 129 Anannal starrmena TOTAL.
"" " $(28 449) $(38197)
*Escludce allowance for funds used dunng construction. "
13
L i.1 . BA1ANC I SEE IT nece,,a,cr.u !
~
1974 1973 , tillLITY Pl. ANT (Note 1) (Thousands of dollars) ! 1]ectric (induding construction work in progren, j 1974-3262,505.000 and 1973-82M,507,000) . $2 081317 $1861771 Can . 150 810 ASSETS .. . . . .. .. ..... 139 680 oiber., .
. . 56 125 55 556 i Total . 2 288 252 2 057 007 Accurnulated provision for depreciation. (435 486) (395 157)
Nuclear fuel. 52 806 44 144 Accurnulated provision for ainortir.ation. (4 407) (97) Net utility plant. ] 901 165 1 705 897 Ollll:H PHOPLi(1Y AND INVl;S1MI.NTS at cost or less (Ic5. accurnulated prosision for depreciation, 1971.-8758.0N) and 1973-81,536,0N) . . 7 378 8 691 Ct'R RI.NT Avi'18 Cash (Note 3). 5850 5 319 Ternporary emih insc>tinents. 499 Pollution control financing-funds held by trustec. 7 475 1 63) Account. iccessal,le-net . 46 479 37 795 l'ederal incorne tax refund receivable (Note H) . 4 700 8000
%laterials and supphes tat userage co,t) . 44 570 36 131 Prepapnente and other 1 789 2 867 Total current a>>ct.. I11 362 91 743 DI.Il.itill:D l>l:lilTN 12 554 11 889
'l OT AI. [2 032 459 $ 1818 223 C Al'11ALIZA1:0N (Page 15)
Cornrnon stock equity. $ 552 960 $ 502 765 Li AlilLITIES P'eferred *tock. 230 784 205 509 la.ng.terin debt 824 640 790 833 Total capitahration . I 608 390 1 499 107 Cl'Hhl.NT LI Altilllll3 Notes payable (Note 3) . 79 044 52 349 1,ong.terrn debt due within one , sear (Note 41 75 000 50 000 Accounts papble. 43 006 32 438 l'ederal incorne tax, accrued. 7 549 5 607 Other taxes acirued 53 911 47 834 Interest accrued 16 023 12 818 Disidenda declared on preferred and cornrnon stocks. 15 255 13 547 Other. . I273 1645 Total current lialnlitie. . 216 298 _ 291 061 liiTLititLD CRI:0113. 2 589 953
~
ACCl31t'LATLD DITERRED INCOME TANIS (Note 1) . . 108 398 77 1150 ACCl3ll'lATLD DITLHitLD INVESTMENT TAX CREDITS (Note 1). 22 021 15 367
- f/.,'
3 jf[dSece sa CONTHillUTIONS IN AlD OF CONSTRt'Cr10N (Note 1). 8 648 n=anc al ssas< menu TOTAL.. 82 032 459 on y, ogen is and 17. . . . e- .
$1818 223 e .
14
somniais sunnowai cosuisy Dusstson Aso sunsmanms a SCH EDULE OF CAPITALIZNfl0N necember m 1974 1973 Sil AllEllol.DI:lts' 1:QUITY , Cornrnon sir 1 (Thousands of dallers) Autiairised 30 niillion sharce of $$ par ialue each. Outstanding 1974-2%,316,960 sharee; 1973-23,316,%0 starte 6nduding 9,927 shares sub cribed) 8126 585 $115 085 235 516 206 766 i Premium on ninanon eau k (So re 2) 180 914 190 865 f(etained earnings (ble $1
$ 552 966 1502 765 lotal uninion atm L equity - m2..=.r.=> .u_. e Curnulathe preferred euu h Authorised 3.5 nulhon shares of $100 par tatue earh
$3 60.erice,27*, no ebare, t 27 500 $ 7.00 arries,200 WiO shares . 20 000 i
4 04 *rric., l'iO n'ia shares 15000 fl 80 series,2'io Ofl0 share , 25 000 i 410 serire,175 ud share. 17 500 7.84 wries,350 000 shares. . 35 000 4.11 c r n-., 200 o' o h e r t . 20 000 Total 205 000 $205 000 ) l t o .rrir., 103 000 .I or. 10 000 10.3b ocrie., 2',0 000 share. . 25 000
- 4. ',6 .cr ie.,150 m .t.o r - l'. 000 .I Od i230 000 $230 000 1= ==
b is0 art se.,2m Wn .hsres 20 000 } 784 bU9 Premiuru on preferred on.L (%ie 2) Total .referre I sir.rL 3230 784 ,820_5
- 509 I m_.m a .
l.ONG.'l I.ltM lil'.llT I it.i wrican lo,nd. stin.,r.m. n.n. pan 3
$ cries duc 197\ T.', f 75 000 Series due 1997,6%". . 30 000 Serici dur 1971l, T , 10 000 $rries duc 190H,64 51 45 000
- 5e r ic a d u r 197 >, .l' . C; 15 000 Scrice duc 1991,8". . 45 000 sene.dur 19c 3',9 21 500 Series due 2001, H7 . 50 000 Scric. d uc 198 4 F " 20 000 Serice duc 2001, et%"i. 50 000 besie dur 1946. t %#; . 15 000 $ cries duc 2002,7hr;. 50 000 Series dur 1988, ri 30 000 Series due 2003,7%'i. 50 000 Serie, due prso, $'l . 35 0'10 Total . Ob6 500 8666 500 Senre due 1991, 4'i'" . 20 000 deries due 2'04, BN"i . 75 000 Serire duc 1992,4% i 15 000 series duc 2004,7.%'i 35 000' Series due Pnt. P.'i . 15 000 less due mahin one year . . (75 000)
Scrica due l'esi,644 30 000 Total . $ 701 500 1701 500 berire due 1 % 'J s'i . 4i 009 u==== l'irst Wrigare lionds M iscon.m Cornpan) (le,6 current
- inking f und requirrrnent of $ 3 43.000 and $bl0,000 and additiorial reacquired bonds of $300,0m and i176 Om at !>n ernbcr 31,1974 and 197?, re.pectnelv) 1974 1973 5erici duc 1977,2' 'i . $ 13 657 8 13 751 Ser en due 1979,3". . 7 302 7 338 berie, due 1987,4%'; 8 214 8 285 krice due 1994,4%'i . 13 466 13 568 Series due 1999,9%"i . 9 491 9 600 Setice due 2003,74r1, 29 650 30 000 Total $ B1780 9 82 544 81 780 82 544 w===-, x- = =
Guaranty agreement Minneouta Company' 5eries due 2M13,5.39'i .8 7 600 {
, Series due 2003, 5 65'i 28 750 Toin1 8 36 350 36 350 36 350 Mi cellaneoue long. term det : . 3 256 3 885 l'nanmrtised dinrount and peemium on long. term del.a. , , 1754 1554 Total long term del t.. , , . , ,, .., ,
8824 6,40 8790 833 J. w. . o k All utility property,he the Company and t hconsin Compcny relating 10 their first mortgage bonds,except for ininor exdus
'l%llution control fmancing at aserage interest rates and due in inttallments at tarious , e,,e ,%ses so I'mancial dates liepinning in lW. Seasenienn um pqcs 16 and 17.
i 15
i l
.e , municipalities which have issued $40,bjJ,000 in 1973 in connection f pollution control revenue bonds to with the sale of 2,092,451 shares of l' fmance these facilities. The cost of common stock. I'remium on preferred the facilities and the related debt have etock increased $275,000 in 1974 i been recorded in utility plant and in connection with the sale of 250,000 g long term (ebt, respectively. shares of preferred stock. f l)cpreciatiori, Amortisation, andlntome g, gggggy,gygsq DONitOWlNGS ANI) !
yg Taxes-lor fmancial reportin poses, de reciation is computn!g on the pur. CONH'ENSATING R41.ANCES k straight. me method based on esti. The Company and subsidiaries had , pg s insted useful lives of the various bank lines of credit aggregating (l
$66,375,000 and 858,900,000 at h STATEMENTS N's"EnIn'ilg%7Sc5"v'e'rVg%i$ ,, i, of depreciable property in service were 3.51 per cent in 1974 and 3.43 per cent gng d[" lance arrang l such linn of credit and substantially m 1973. The cost of nuclear fuel, ad.
justed for ntimated net salvage, is all cash shown on the balance sheet
, is ninsidered compensating balances. .
amortirni to fuci npense bent on the linn make shott. term Irlt s of energy espended. Nuclear Thne.
- 1. M sisluty on Attot visso fuel amonisatioh was $1,301,000 and 6nannngcredit.ld>Ie avai 1iy providing l'OLICib loans and bacbu suppon k coni.
$21.0 min 1974 and 1973, respectively. "'
Sprem of.irmunts-The accounting for income tax iurpms, the Com. ""C@ P"P"' U" """"'a*n"g ' at ban rerords Lf the Company and the Wis. pany usn liberafired depreciation the iirune rate of the len th , ne if c an consin Company are m metliods and the clan life system accordance with the form um,aintained system in , ,,F . tive interest rates (including ADH). Deferred accounting of accounts prescribed by the Fednal for the reductions was used and there. on the acy crate sgmrMenn gmnow
" '" n net income was not affected.
*hu iri ( lmi)is k Inmtnuwt Du Credit- 'Ihe Compan I"[?
, 5 k(00 and e nt ea
$60,021,000 and 831,331,000) were pa r Wisconsin and North Dakota, which systems are the same in all material uen the 6ve year aynage How thniup i about 10.2 and 9.8 per cent at inIect,'
method and the M isconsm Company December 31,1974 and 1973, respec. unce the direct flow.theough metho'd tively. During 1974 and 1973 the high. ! l'rinciples o/ Consolidation--All signi6 of accounting for the investment tas est aggregate shon. term borrowings ; cant cub *ilary compames have been crnlitsunder the Herence Art of1962, were $112,600,000 and $88,600,000, , included in tfie accompanying con- Ior the insntment tax credits under ropectivelv. As crape aggregate r.hort. Solidated (mancial statements, the Herenue Act of1971 the Company term borro' wings, outstandmg during Utility /Yant and Retirernents-l'tility and the Wisconsin Company flow 1974 and 1973, were $62,700,000 plant'is stated at original ent. The ihn uph the nedits to income ratably and $12,909,000, respectively, with a ,
; cost of additions to utility plant in. ovn tne ntimated life of the property. w eighted s verage effective in tnest cost cludn contracted wnk, direct labor Ret enues-Customers' meters are read ("'mputed on a daily basis) of about
- and materials, allocable overheads, and bills rendered on a cycle ba6is, 11.1 and 8.2 per cent, rn j and allowance for funds used during Resenunare recordal for thenceount.
e m ensanng balann pectively ananganents ! construction. For the Company, the ing pniod during which the meters wou d mucase the above effective i rate for allowance for funds used are read. internt costs by about I percentage during cotyttuction was 7% per cent " eff,ectn e hovember 1,1969 and 8 per Contri,butions in. Aid of Construction I cent eficctive July 1,1973. For the (C/E.)-Effectne January 1,1974, 4. imc.Trits DI:HT Ht:rtNANCING i Wisconsin Company, the rate was the Company reclam6cd its CI AC to The Company prnently plans to 7 per cent. lant and to accumulated pro. rennance the first mortgage bonds, i lhe cost (actual or ntimated) of
".'III'F nymn [n gprenati n m accordance series due October 1, .1975, 284% of
' ' with a revmon of the Federal Power units of propertv retired, sold, or 375,000,000 with other securitin. ! otherwiec dmme'd of, plus removal b""' minion Uniform System of Ac.
' I cmts len salsage, is charged to the "'unts. luture CIAC will be credited 5. HMTHICTIONS ON HLTAINED accumulated provision for deprecia. to utility plant when received. EgHN NcS j, '
tion and amortization. Alaintenance The Company's Articles of Incorpo. .' and repair emis and replacement and 2. l'HWilat ON CO3titON AND ration prende for certain restrictions 'j renewal ofitems determined to be less l'HERHHG SM on the payrnent of cash dividends on 4 than units of property are charged to During 1974 premium on common common stock. Hetained earnings at I t operating npenses. stock mercased $28,750,000 in con. December 31,1974 and 1973, were Cntain pollution control facilitin nection with the sale of 2,300,000 - not restricted as to payment of cash - are leawd or purchased from varioun shares of common stock and increased dividends on common stock, l u-16 T _ . _ . _ _ . _ - ~ _ . _ . - , _ _ _ , _ _ _ . . . _ . , . . . _ . . . - _ _ _ . _ -
- 6. ro)i st inti.s h December 31,1974 under all non. assets amortired on a straight line At Decernher 31,1971, the Company cancelable leases (principally lea c of batis and interest cost accrued on the
- and subsidiaries ha l rnajor corntnit. nuelcar fuel) are approximately as banis of the outtlandiriglease liability, i
ments aggregating approsimately follows: 1975, 89,900,000 1976, is leis than three per cent of the aver. l
$421,000,000 under contracts in con. $10,500,000: 1977, $99 0.000; 1978, are net income for the rnost recent ;
nection with construction programs. $9,400,000; 1979, 89,700,000; 19&L three years.
'ihe Companv has contracts for the 1981, $16,600,000; and after 1931, l
purchase of' coa'l, natural ga*, and oil, $2,500,000.The minimum leue com. L IWi" 3N and also has a contract for delivery of minnents fr r nuclear fuel are based on The non contributory fundal pension
!!TU's of energy for the operatiori of the catimainl usape and thc escalation plans cover substantially all employ.
Its Monticello nuclear power plant. of ISc contrart price usine the latest ces. Pension costs are determined . The nuclear fuel lease payments are s,holesale commrditi(* price index. under the aggregate co$t method n.ing charged to fuel espen.c ha+cd on the lhe present value of minimumlea c rnarket value of assets of the uust lill:'* of energy espended. romrnitments at Decen.her 31,1971, fund. Contributions, equal to the pen. I{eritaln (including nurlear fuel with re>pect to alonrapitalized fmane. Sion costs accrued, made to thr trust burn.up expen c.i of $5,29190 and ing lease * (a$ defined by the Securitica fund were $7,817po for 1974 and j $5,560,000 < harged to fuel espensei and Eubange Commirion), is leo $7,213,000 for 1973 The actuarially w cre a ppro sitna t ely $ H.300,000 than hse per cerit of the lotal Capitab coniputed salue of vchted heriefits at am! $8,100.000 f or 1971 and 1973, iration of the Company. The impact Decernber 31,1974, s xceeded the total l es pectis cly. on net inconie if noneapitalien) farianc- of the pension furid by approsimately $ Miriirnurn leave tonirnitment* an of ing leases wetc capitali7ed, related $21,300,000. 8.1%C.mti; 'I 4% ENI'IMI: The totalincorne tas espen*e was leu than the amount computed by applying gy7 3973 the } cdcral mr ome las statutory rate of 18 per cerit to not inrottic hefore income tas espen c The reasons for the dillerence are a$ follow >: @*"#3*h "I dollars) Tas congiuted at statutory rate $51790 $46 514 lucreases (decrea-ca) its las froni: State intorne tasm, net of l'ederal income tas benefit. 3 978 2 794 Allowance for funl* used during construction. (11 963) (14 07il (herhea j co*te capitahred-deducted currently (4 407) (4 878) Investment tas tredit on plant al htions (7 931) (10 724) Insco0nent tas crnht adjustinents-net . 6 654 9 526 Other- net . 876 337 , Total income in expenac $39 000 $29 495 Income in expense i, compriwej lbleral State Total of the followmg: 1978 1973 1971 1973 1974 1973 Charged to o[mratmne Current in expense $ (2 069)' $ (5158)* $ 1000 $ 226 $(1069) $(4 932) lieferred in espense. 214H2 18 058 6 066 4 706 30 548 22 761 Inse tment to credit adju tment*-net 6 651 4526 6 658 9526 Total 29 067 22 126 7 066 4 932 36 133 27 358 Deferred tas espen e indude Iin depn ciation espense 1 708 1192 389 308 0 127 1500 Charged to income deduction- 551 503 195 134 716 637 Total income in espense $31 356=
$24121 $ 7 650 $ 5 374 $39 006 $29 495 Deferred incorne in espense i< compri cd of the following:
Escer of in mer hool depreciation-net - $31777 $23179 llemoval expense . ,, 898 1 085 Total . .
$_32_675 .$_2 4 26_4
'The 1974 current Federal incorne in cyrro.c as shown abc.te is after giving efTect to $7,931,000 of investment tax credits, including $ 1,700,000 carried bac k to prior years. An a<tditional $1.700,000 of 1974 insestment tas credit will be carried forward to sub equent year
- and has not been recorded. The corrent tu espenee for 1973 is after gising effect to $10,724,000 l of inscottnent in tredits including $8,000,000 carried hoek to prior year $.
( l 1m/ l
a , , , I ACCOUNTANTS' OPINION HASKINS & SELLS cantiano cuaue accouasaata une soa towna y MINNEAPOlt$ Slett i To the shareholders ofNorthern States Potar Cornpany: I i We hate esamined the 141ance sheet of Northern in our opinion, the above. mentioned financial state. State Power Cornpany (Minnesota) and its consoli. enente present fairly the financial position of the l dated subaidiaries an of Decemler 31,1974 and 1973, companies at Decemler 31,1974 and 1973, and the and the related ,tatementi of income. retained earn. results of their operations and the changes in their i inge, and change in fmancial position for the yrats then fmaarial ; sition for the > cars then ended, in con. ended. Dur esammation was made in accordance with formity wn., yncrally ae epted sceounting principles renerally accepted auditing etandard., and accordmgly applied on a coniittent b.sia, meluded such tests of the accounting record. and out h other auditing procedure, s. we considered necen ary in the circum.tances. p Tebruary 1J.1975 Fiscal Agents N01(Tile!!N STAT 13 POWEll COMPANY l MINNESOTA ILEGISTit AltS Coh!SION SHXK Northwestern Nationalllank of Minneapolis Mornn Guaranty Trust Conipany of New York Continental Illinoi. National Itank and Trust Company of Chicago PREliRRED SH3CK
. The Chase Manhattan Dank, N.A., New York first Nationalllant of Minneapolin The , at Nationalllank of Chicago TitANSFElt AGENTS COSISION .4ND PREFERRED STOCKS j Morgan Guaranty Trust Co. of New Yoit,30 West Broadway, New York, N.Y.10015 llatrii Trust and Savings Itank,111 West Monroe Street, Chicago,111. 6090 Northern States Power Company,414 Nicollet Mall, Minneapolis, Minn. 55601
\
Common sixL lated for tradine on the Neu )orL SaxL Enchange
,} ar.d the tiiduest SaxL Euhange. The ticler nmielis NSP.
; Preferrol sixL listedfor trading on the Neu l'ork Stock Euhange.
*j Till STEE e llONDS llatris Trust and Sasinp Ilanl, Chicago Cot'PON PAYING AGI:NTS e llONDS Ilarri. Trust and Saving llank, Chicago Irving Trust Company, New Yort NOI(TilEftN STATES POWEll COMPANY l WISCONSIN Titt'STEE AND col'PON PAYING AGENT. IlONDS first Wisconsin Trust Co., Milm aukee, Wis.
18
i
, ,, , NORT11ERN STATES POWER COMPANY l MINNESOTA AND SUBSIDIARIES i
10 YEARS OF PROGRESS Statement o Income i 1974 1973 1972 1971 1970 1969 1964__ l Operating Ilmnues (thousands) Doctrie . 8456 278 8388 409 8361 366 8317 871 8291 569 $267 352 8184 364 Cas . 83 583 75 106 73 241 64 509 56 960 52 516 37 208
- l Telephone and heating . 4 976 4 446 4 460 4209 3 824 3691 2 724 Total . 544 837 467 961 439 067 386 589 352 353 323 559 224 296 Opcenting I
- pensee f uel for electric generation. 79 001 65 982 58 249 46 785 44 164 36 972 26 701 Purchased and interchange power. 42 511 36 684 23 450 26 374 21 336 12 612 2 353 Gas purchued for renale 43 046 39 519 36 006 33 083 28 674 26 959 21 299 Other :.peration. 81625 74 619 69 969 65 329 61 249 61 900 47 353 Maintenance 31 053 30 845 26 894 24 193 21 718 19 920 13 300 Depreciation 61 680 49 542 45 809 38 793 34 240 30 847 20 319 Property and general taie,. 63 690 53 679 53 208 46 746 45 610 42 798 26 942 incometase . (1 068) (4 932) 23 535 16 622 21 546 24 354 21 484 Deferred income tane -net. 30 548 22 764 13 514 9 035 5 812 5 512 1157 Inie.tment tai credit adjuument.--net. 6 M3 9 526 1 015 1564 (642) (156) 1967 Total . 438 739 378 228 351 649 308 524 283 716 261 718 182 875 Operating income. . 106 098 89 733 87 418 78 065 6H 637 61 841 41 421 Other Income Allowanic for funde used during con.truction . 24 923 29 320 22 101 17 619 12 183 7 729 2 036 Miecellaneous. 2 339 1191 518 766 1190 481 2 212 Total . 27 262 30511 22 619 18 385 13 373 8 210 4 248 Tot al income. 133 360 120 244 110 037 96 450 82010 70 051 45 669 income Deductions Non operating Taare 2 316 708 755 1098 232 535 1 851 ~
Income liefore Intere t Charges. 131 044 118 393 104 329 95 695 ~ 80 912 69 819 45 134 Intnest Charges intacit on lingaerm debt. 53 538 47 008 41 001 35 402 28 219 22 180 11 462 Other interest and amortization 8 597 3 975 1975 2 011 2 702 2 316 512 Total . _62 135 50 983 42 976 37 493 30 921 24 496 11 974 Net income 68 909 67 410 66 353 58 202 49 991 45 323 33 160 l' referred f t<d 1%idends. 13 082 11946 11 946 9 842 7 723 6 943 3 844 1:arninge on Common Stoci . $ 55 827 3 55 464 8 54 407 5 48 360 $ 12 268 8 38 380 3 29 316 I:arnings per Share on Aserage Shares . $2.40 $ 2.61 12.75 82.54 82.41 82.24 31.90 L)lSCUSSION OF STATEMENT OF INCOME 197) Compared trith 1973-See Page 9 1973 Compared trith 1972: Farnings available for common stod for customers and other factori unrelated to Allow anee for funda used during construe. the 3 car 1973 wetc $55.5 rnillion compared wcather, while the decrea e in gai Mef sales tion increased by $7.2 million mainlylecause with 551.4 milhon for the year 1972. For wa. related mainly to warm =cather during of construction expenditure r :sted to the the year 1973 carninn per share were $2.61 the heating season. Fuel costs and run hased Prairie Island and Sherburne .hunty Cen. compared with $2.75 for the year 1972. and interchange power costs showed un. crating Plants. The carning performance in 1973 was naually large inerea esicause nf an inerrase Interest charges showed substantial a<hcrsely affected by a large increase in in the unit cost of fouil fuel and purchased increases because of mortgage bond and expenses caused by infbtion, high interest energy; also, two of the Company's most pollution control fmancing during 1972 and rates, and high production costs with a efheient generating plants =cre out of serv. 1973 and lecause of higher rates of interest. coincidental slowdown in the growth rate of ice for abnormally long periods for :elueling income tarea varied due to a change in electric Kwh sales and a decrease in gas Mef and scheduled maintenance =hi(h caused pre-tax income, allowance fo+ funde used sales. The conicquence was a relatively more use of less efficient plants and the during construction, oi erhead asts capital. small increa c in carnings of $1.1 million purchase of energy at a higher cost. Mainte. bed, and investment taa credits 'see Note 8 over 1972. The slowdown in electric Kwh nance expense reflected the cost of repairing to Financial Statementi). sales was related to consenation efforts by the aime two plants.
i
' ' '10 YEARS OF PROGRESS continued . El.ECTitIC 1974 1973 1972 1971 1970 1969 1964 (
lleeenues (thousands) Residentia! . . . . . . $174 509 8149 525 8145 296 8128 902 8120 606 8113 720 8 80 085 4 Small comn.ercial and industrial. 87 954 75834 71 875 63 054 57 386 53 268 36 833 f Larre commercial and industrial. 151 691 126 525 115 764 100 475 89 659 81 773 52 941 g Street lighting and other. 13 966 12 934 12 022 10 813 10 097 9 348 6 691 l
; Total retail. 428 120 j64 818 344 957 303 244 277 748 257 109 176 550 Sales for resale. 24 655 20 189 13 102 11 473 10 466 7 148 6 218 Miscellaneous . 3 503 3 402 3 307 3 154 3 355 3 095 1 596 Total. . $456 278 $388 409 8291 569 8267 352 $184 364
* " " 8361
366 "~8317 871 ~~
Customer Awounts (at Dec. 31) Hesidential. . . 859 342 843 010 821 607 804 729 790 184 772 690 696 088 5 mall comrnercial and industrial 86 980 86335 85 351 84 303 83 033 82 166 79 500 large commerrial and indu trial 4 105 4 133 3 986 3 888 3 921 3 808 3 554 Street hphtmg and r.ther . 6 479 6 212 5 995 5 764 5 567 5 372 4 582 lotal retad. 956 906 939 690 916 939 898 686 882 705 864 236 783 724 Other 71 71 68 65 61 59 137 T ot al . 950 977 939 761 917 007 898 749 882 766 864 295 783 861
~ ~~~' - ~ " ~ ~ ' ~ ~ ~ '
, He idential Service Annual Lwh per customer. 6 844 6 939 7 049 6 651 6559 6 179 4 608 Annual retenue per runtomer $ 205.08 $ 179.80 8178.77 8161.85 8154.16 $ 147.63 8116.46 Kilowatt. hour Output (mdimns) Thermal 15 572 15 174 14 953 12 16? 12 139 11348 8 747 ll>dro.. 768 936 944 819 734 783 702 l'urchased and mterchange 3 640 4 063 2888 4 215 3 526 2 705 300 Total 19 980 20 173 18 7P5 17 226 lb 399 14 P.36 9 749
' " ~ ~~ ~~
Capubihty at time of maalenum demand (megawatte) Company owned. 4 272 3 908 3 693 3 436 2 903 2 833 2 053 Purcha.c. and sales-net . 280 529 367 378 593 4?) (32) Total. 4 552 4 437 4 060 3 814 3 496 3 241 2 021 w , . x- c.-.=w. :.= = hiesimum liemand (megawatie) . 3 954 3 836 3 674 3 278 3 109 2 873 1828 Date of Masimum Demand. July 8 Aug 27 Aug.17 $cpt. 3 July 28 Aug.29 Dec.17 GA5 Rev enues (thousands) Hemidential Oth space heatmg . 842 599 838 665 140 059 834 967 831 183 828 968 $20 036 Othout space heatir: 2306 2 287 2 299 2 256 2 115 2 173 2 617 Commercial and mau trial 38 386 % 962 30 677 27 077 23 479 21 242 14 505 Marellaneous . ~ 292 212 206 209 183 183 50 Total - $83 583 875 106 873 241 $64 500 856 000 $ 52516 $37 208 Customer Accounts (at Dec. 31) Residential With space heating. 176 649 169 698 164 708 159 192 154 291 148 783 112 383 Without space heating. 39 662 41 370 42 491 43 574 44612 46 393 58 769 Commercial and industrial. 20 502 19 796 19 222 18 629 18 160 17 558 13 955 Total . 236 813 230 864 226 421 221 395 217 063 212 734 185 107
' COMMON STOCK Share, of Comenon Stock Aserare for scar. 23 233 042 21 289 221 19 750 621 19 019 829 17 544 039 17 158 238 15 437 168 At end af year. 25 316 960 23 007 033 20 915 461 19 022 281 19 016 076 17 292 983 16 203 602 Dis idende Declared per share. 11.836 $ 1.836 81.768 31.70 $1.675 81.60 81.40 Per cent of earnings 77.6 71.0 64.9 66.9 70.3 72.1 73.7 M arket Price-Ch.ae (NY Stock Es.) . 816.00 $ 25.25 830.50 827.25 $ 26.75 $ 22.875 840.375 Iligh and low Market Prices-New York Sto.L Eachange (Quarter )
let 2nd 3rd 4th let 2nd 3rd 4th thth. 326.375 824.375 $ 21.250 $ 18.750 gg3(ILgh 831.375 $ 30.125 128.500 827.500 gg7g(llow 24.250 17.875 15.625 15.250 i low . 27.500 26.875 24.500 22.500 20
s . i
* NORTilEltN STATES POWElt COMPANY Minnesotu 0 icers Directors f 1(0111 HT ll I;NGLt.s H0HI HT 11. ENGl.LS D.C.MINARDt Chairman of the lloard Cha troan of the lioard e.f the Company Hetued Chauman of the Ilsard Minneapohs, Minnesota lhe irane Company DAVID I; M< li H0Y lacro.ne, % neonun Preudent and Chief Fact utiie OHuer IimDEMcQH0Y 1,rendent and Chief I scrutne Orhte' llLNHY T. HlTl.1 DCL DON \1li W. McCAH111Y Chairrnan and Chief Liecutive Ofhter of the Contan Northwest Bancorporatina Iinutne Vice Prendent Minneapohs h innesota Minneapohn, Minnesota D. W. (J (CK) ANGl.nD %llIIOfM.HiKLH' AlIDIID K blMP50Ni Liciutise \ ace Prnident N'Ln i oundatu>n PreWent pe Mud. ante Nadonal Hank I"d"ke, M m neapo Minnesota and 1ruit Contany of I arrn jollN W. lloll M WN largo, North Dakota senior Vhe President g g.gggggg, PEWent. Green van ll . Mot DOHolliY J. SK4 ILH \"t Cl WTON K. IAH AON Contan), N. Paul, Minne.ota [3\',nne[,jenndon Authosy n
Senior \ are Pre ident -l.uisin e I AHL f WAlli 11%lhJ.(HtlN Hetired Chairman nf the Itoard of M R M E HTHHRM'i p;,n tor, Center for Adianced Study
\ne Pre.olent the Compant in liehas soral Scienten Nan Cahfornia Ahlill H \. Dil. Nil \HT
\ n e Pre.ide nt - Pl.nt 1.ncmecrior Holli.H1 IL 11 Al'G AN't JOll>I.%IM4Ni aml Con.truiinin Preulent.lbe Wrht Compant '
Chairman of the Liecuthe Cornmittec N. Paul, Minne ota 5uper \ alu Stores Inc., llopkins, Minn.
\INCLNI C. IOHHis f A. H. J (CK50N "'
\ n e Prc,ident-1rin on ion ana HICll(HD IL M AGNt%0N" Dntribution \"*P iormn Prendent and Chairrnan og 9,e hoard land O'.eddent and General I aLea, Inc., Mmneapilis, Mmn.Launael TM N. Paul Contanics, Inc.,
AlI AN I.11 &lNGl H
\ y e Picy eni-- Com m u n n .it om. an"
- h Paul, Mmncu u Cha[rman oi the it.,ard H0HIR18.M(C)ARIANL*"
Lnt hner (ciathn. g g, g ggg
% \lif.1\HLl\ Nous f alb, Nuth Dakota llurlmpton M rther% !nc..st. Paul, Minin
\ nr Preu lent and %ntant to ./ kn d e #Ae it.ard e&ne b ewa'.cr J. J w?4 the l're.olent "Iluod m #4e Bed eferru e lt kries ? 1.1974
.** hen cJh m h h4 Mn 8. J 974 @s,Aer o/the Asd.s Cawwee of the Swd M. l . (Ill'Dp 01 SON tired a lebm 14. lV75
\ ne Pecula nt -Commeriial (Iperalmn*
j W I.s L. 0% LN 5, J h.
\ ne I reudent WWl'ilEILN SUI'ES POWCli COMPAM rivonsin AR1111 H H. HIAQt 14T A whoH3 .ownd sub idiar3 of Northern state. Power Company (Minnesota)
\ ne Prendent-I am
()/[icen HlCll(HD L HOLilHIClf IIH1'Cl: A. HlCil ARD g'ggpgg 3,yggy Vue Prendent--Personnel
\ o e Premient and Rep.nal Manarer Chantm,an
( '"ef .inuine i f the ONILiard
" and Trea*urer i D% AHD C. 5PIlilM ON
\ ne Prer.oirot and Hegwnal %nacer DON Al.D P. J01'; TAD JOllN L C \HHOl.l. Controller and Assistant Secretary c* ent .cnnal Manapn and JAMIsI *TODit\HT PLIIH W. HECK' VitePreMent '"" T' I "" C' 'r" Yue Prendent-Consumer Affaire 1.JiHRY KHIPP5 Cl.H \lD J. lH ANK" i D% IN M.1111 l>l.N I scrutise bcc Prendent-Operation. Secretary Vic e PreWJent.-Ga. I tihD gg oggg g, pt3 goggg g .g,,y,j , 3 ,4 ,3,,,,7, I LO J. WACllTl H \ ice Preudent- Dn nion Operations " hemed n 4f4, 31. ;974 Vice Prendent-Power Produ< tion and
- 53. tem Operation g-.g HICll 4HD L HOLilH!Cll j: p' gjgy, r'gy \ ite Preddent-Personnel, N,orthern l''"'" u lllit H N. M ARN staici Power Contant (Woconuni Chauman of the lloard and Chief Lau Claire, Wisconsin' AHlAND D. HHl3\ l N lan utne Ofbrer, brthern 5tatea P" * " CLAYlON K. LAH50N 5ee eter3 and Imantial Counsel C"'",wI." 1 ( E i" "" "" ) Senior ) ice President --Iinance, GIH\1115.Pl,.lTiH5t.N Lau Claire neonun brthern States Power Cororaany controHer JOllN L CAHHol1, < Mmne nota), Minneapohi, Minneinta Prc,ide Gennal Manarer and 11. L. M %50N Prmiipal l'inance Ofbret. brthern Hetired, Chippew a Falls Woeonsin state. Pown Contany (Wisconun) D.11. H LINil 4HT lau Clanc, Wi. con in p,cgaeng, G,te.sy l'ondo inc.
HoltLHT ll LNGELS lacrosw. Wi conen Chairnian of the floard, Northern Staten W. G. SLGl'IN Power Company (Mmnnota) I ar mer, lleva, Wisconnn Minneagmbs Mmnesota PETLH W. HECK
- F.jlHRY KHIPPS Vice Pre $ident-Consumer Affairs Lsecuene bec Pre ident- Operation. Lythern Statn Power Company
%rthern State. Power Company @ 8Scondn), Lau Cisire, Wisconnin (Wivonunh I.au Cl ure, Wnconnn hedfo.m she 6edor:Ar 31,2974
o i o %, , i I } f NoltTill:ltN STATI:S l'oWI:lt CON 11'AN Y a 114 nicol.l.I'T M A1.1.,51INNI: Al'OI.lS, %IINNI:SOTA a 55401 Y I 19 4 o.. ..n. J w. .. . V - .. 1975 ANNUAL MEETING .bareholders who haie Ol' 81141ti:llOLI)Elts inquiries about N5P operations The annual meeting of Northern th'i' 'tock should contact States Power Company share. Ms. Micata (%cki) C CanteHano, hohlers will le held at 10 a.m., M anagn, Shareholder Relations, Wednesday, May 7,1975, at the II 4 I'i'"U M*U iloliday In'n Miimcapoli. Minnes ta 55101.' E""f*I , 11nwnt' o wn.1313 Nicollet Asenue, A staustical supplement to this Minnea; .h.. Ennesota. '8 *ill.br avaifable
P"5, 197 as will a I,ormm101,,
A pril,
} Olt MoltE INI'OltM ATION and 1.xchange Commission.
l'or information relating to the To receive copies of this material, contents of this report, plea 4 write to the Secretary, contact A. E. lla *inger, Northern States Power Company, Vice President. Communications 414 Nicollet Mall, Minneswlis, and Ernpimee Relations, Minnesota 55101. Northern $ tate Power Company, 414 Nicoll : Mall, Minneapons, Minnesota 5560), or phone (612) 330W)l0. - This report u as prepared to protide information to the Company's shareholders and to satisfy the requirements of the Securities and Eachange Commission and the Nenc York StocL Etchange.
.4 total of i10,000 copies u ere printed at an estimated cm! of 284 per copy,
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