ML20084C090

Forwards Toledo Edison Co,1983 Annual Rept

ML20084C090
Person / Time
Site:	Davis Besse
Issue date:	04/18/1984
From:	Crouse R, Ertle R TOLEDO EDISON CO.
To:	Saltzman J Office of Nuclear Reactor Regulation
Shared Package
ML20084C094	List: ML20084C090 ML20084C095
References
NUDOCS 8404270073
Download: ML20084C090 (6)

Text

s Docket No. 50-346 TDLEDO License No. NPF-3 l((]lCg[)pJ Serial No. 1045 April 18, 1984 g

Vce Pres. dent Nxwe

'd ' *' ess2, Mr. Jerome Saltzman, Chief Antitrust and Ind.emnity Group Nuclear Reactor Regulation United States Nuclear Regulatory Commission Washington, D.C.

20555 RE:

Davis-Besse Unit No. 1 Retrospect Premium Guarantee Centlemen:

The Toledo Edison Company hereby provides the documents described below and enclosed herewith as evidence of its guarantee of its share ($4,862,000) of the retrospective premium which may be levied against the Davis-Besse Unit No. I reactor licensees during the period April 23, 1984 through April 22, 1985.

1) The Toledo Edison Company 1983 Annual Report to shareowners which includes certified financial statements for the calendar year 1983.

2) The Toledo Edison Company 1983 Fourth Quarter Quarterly Report, which includes financial statements for the quarter ending December 31, 1983 (the 1984 First Quarter Quarterly Report is not yet available).

3) A schedule of 1983 Actual Internal Cash Flow and 1984 Internal Cash Flow Projection.

Based on the data set forth above, The Toledo Edison Company believes that a cash flow can be generated which would be adequate should it be required to pay any retrospective premium in the amount of $4,862,000.

Also enclosed is The Cleveland Electric Illuminating Company's Estimate of Cash Position and Source of Funds Actual 1983 and Projected 1984.

This statement shoss that The Cleveland Electric Illuminating Company believes that a cash flow can be generated which would be adequate should it be required to pay any retrospective premium in the amount of $5,138,000.

Thus, the Cash Flow Statements of The Toledo Edison Company and The Cleveland Electric Illuminating Company enclosed herein demonstrate the ability to pay a combined retrospective premium of $10,000,000 for Davis-Besse Nuclear Power Station Unit No. 1.

ban bhy -

Richard P. Crouse g"

Robert F. Ertle Vice President, NucleaV Assistant Treasurer cc: DB-1 NRC Resident Inspector Enclosures THE TOLEDO EDISON COMPANY EDISON PLAZA 300 MADISON AVENUE TOLEDO, OHIO 43652 8404270073 840419 h

PDR ADOCK 05000346 L

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THE TOLEDO EDISON COMPANY 1984 INTERNAL CASH FLOW PROJECTION f0R DAVIS-BESSE NUCLEAR POWER STATION (Dollars in Thousands)

Actual Projected 1983 1984 Net. Income after Taxes (I)

$128,344 LessDividendsDecp) red 101,340 Retained Earnings

$ 27,004 Adjustments:

Depreciation and Anortization

$ 51,138

$ 49,000 Deferred Income Taxes and Investment Tax Credits 27,724 25,200

- Allowance for Funds used During Construction (96,028)

(110,200)

Total Adjustments

$(17,166)

$ (36,000)

Internal Cash Flow

$ 9,838 7,000 Average Quarterly Cash Flow

$_ 2,459 1,750 Bank Lines-of -Credit reserved -

for commitment 3,112 Average Quarterly Cash Available 4,862 Percentage Ownership in:

Davis-Besse Nuclear Power Station Unit No. 1 48.62%

Maximum Total Contingent Liability 4,862 (1)The Company does not publish its projections of net income af ter.

~

taxes and dividends paid., -Thus, the Company has. elected to'show no. estimate of Retained Earnings for 1984 since_it can demonstrate that it-is able to generate sufficient cash flow from net non-cash expenses.and other sources to cover its maximum total-contingent

-liability.

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' CERTIFICATION I,_ Donald H. Saunders, Treasurer of The Toledo Edison Company, hereby certify that the foregoing Estimate of Cash Position and-Source of ~

. Funds-for' calendar year 1984-is derived from accurate data and reasonable assumptions-'and is:a reasonable ~ estimate.-

" April'18, 1984

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Date Donald H. Saunders Treasurer i

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