ML20084U588

Submits Telecopy Press Release Re Util & C-E Litigation Settlement on 771209 Concerning Work Done at Facility

ML20084U588
Person / Time
Site:	Palisades
Issue date:	12/09/1977
From:	Koschik M CONSUMERS ENERGY CO. (FORMERLY CONSUMERS POWER CO.)
To:	Strasma J NRC
Shared Package
ML20084U589	List: ML20084U588 ML20084U601 ML20084U619 ML20084U664 ML20084U683 ML20084U705 ML20084U713 ML20084U728
References
NUDOCS 8306290127
Download: ML20084U588 (2)

Text

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() II 52?.s 6 f US NUCLEAR kEGULATORY COMMISSION (FORMERLY AEC)

C> ATit JAN STRASMA O 799 ROUSEVELT RD GLEN ELLYN, IL 60137 C) II

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-() THE FOLLOW!NG HAS BEEN HELEASED TO MEDIA AND IS FOR YOUR INFORMATION.

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() NEn YORK, NY, DECEMBER 9, -- CONSUMERS POWER COMPANY AND COMBUSTION ENGINEERING, INC., JOINTLY ANNOUNCED TODAY THAT THEY HAVE REACHED A ll SETTLEMENT OF LITIGATION BETeEEN THE FIRMS REGARDING WORK AT

() CONSUMERS P0aER COMPANY'S PALISADES NUCLEAR POWER PLANT. CONSUMERS $$

POWEk ORIGINALLY SUED FIVE FIRMS IN CONNECTION WITH WORK DONE AT PALISADES AND PREVIOUSLY SETTLED WITH THE OTHER FOUR COMPANIES.

THE OUT-OF-COURT AGREEMENT WAS SIGNED TODAY BY REPRESENTATIVES OF THE UTILITY AND COM6USTION WHICH SUPPLIED THE NUCLEAR STEAM SUPPLY SYSTEM

() FOR THE PLANT. THE SETTLEMENT RESOLVES ALL CLAIMS AND CHARGES CUR. $b RENTLY IN DISPUTE BETAEEN THE Two PARTIES.

() THE SETTLEMENT CALLS FOR CONSUMERS PonER TO RECEIVE CASH, PAST AND FUTURE GOODS AND SERVICES, AND TWO REPLACEMENT STEAM GENERATORS ON lDi A COST-SbARED BASIS.

() II COM8USTION ENGINEERING SAID THAT THE SETTLEMENT IS NOT EXPECTED TO HAVE AN ADVERSE EFFECT ON THE COMPANY'S CURRENT OR FUTURE EARNINGS, RUSSELL C. YOUNGDAHL, CONSUMERS P0aER EXECUTIVE VICE PRESIDENT FOR

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ENERGY SUPPLY, SAID, "UNDER THIS SETTLEMENT, IN ADDITION TO CASH AND

() SERVICES, aE HAVE RESOLVED WHAT COULD HAVE BEEN A LENGTHY AND EXPEN- ($

SIVE COURT CASE, AND WE *ILL RECEIVE VALUABLE ASSISTANCE IN RESTORING THE PLANTIS MAJOR COMPONENTS TO THEIR DESIGN CAPABILITIES."

() CONSUMERS P0aER FILED SUIT IN AUGUST, 1974 IN FEDERAL DISTRICT COURT II IN GRAND RAPIDS. DEFENDANTS, ALONG aITH COMBUSTION ENGINEERING,

() aERE 6ECHTEL CORPORATION, bECHTEL COMPANY, INGERSOLL-RAND COMPANY AND lI THE n0LVERINE TUBE DIVISION OF UDP, INC,

() IN OCTOHER, 1976 CONSUMERS POWER REACHED AN OUT-OF-COURT SETTLEMENT ID WITN INGERSOLL-RAND AND WOLVERINE, AND LAST MAY SETTLED WITH THE TWO BELHTEL FIRMS FOR CASH AND FUTURE SERVICES.

C) GD THE PALISADES PLANT. LOCATED ON LAKE MICW.IGAN 35 MILES WEST OF KALANALOG, H .A 5 A MAXIMUM DEMONSTRATE 0 GENERATING CAPABILITY OF

, () 730,000 KTLoaATTS. CURING 1977 IT HAD BEEN IN OPERATION 90 PERCENT GD S306290127 771209 f !' I 1. C E57

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=*e O e O OF THE TIME, MAKING IT ONE OF THE MOST DEPENDABLE NUCLEAR PLANTS IN O THE COUNTRY. SINCE IT BEGAN OPERATION IN DECEMBER, 1971, THE PALISADES PLANT HA5 PRODUCEO MORE THAN 1u,617,000,000 KILOWATTHOURS j Ok 0F ELECTRICITY, ei M G nOSCHIA O CONSUMERS POWER COMPANY e CBn O 10:32 tST S MGMCGBT HSA

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