ML20125C384

Returns Util 790409 Financial Schedules & Forecasts & 10CFR2.790 Request Re Util Share in Facilities.W/O Encl.Nrc Will Investigate Potential Harm from Third Parties in Determining Proprietary Status

ML20125C384
Person / Time
Site:	Palo Verde
Issue date:	12/21/1979
From:	Parr O Office of Nuclear Reactor Regulation
To:	Johnson W EL PASO ELECTRIC CO.
References
NUDOCS 8001080685
Download: ML20125C384 (3)

Text

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fs fg UNITED STATES /C T y ( p, NUCLEAR REGULATORY COMMISSION g- * /,a l wasmanm o.c. mss w....O.

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f MC 31 197 ' ** * - "

Docket Nos. STN 50-592  ;

and STN 50-593 Mr. W. J. Johnson Controller El Paso Electric Company Post Office Box 982 El Paso, Texas 79999

SUBJECT:

REQUEST FR UlTHHOLDIflG FINANCIAL U;forW!'m FPR! PUBL'IC DISCLOPFr By your letter, dated April 9,1979, you submitted finarcial schedules and forecasts relating to the El Paso Electric Cemrany's share of the Palo Verde Nuclear Generating Statinn, Units 4 and 5, and rewW ed the they be with! +!

from public discicsore pursuant to 10 CFR 2.790.

Your reasons for requesting our withholding of this information were that (1) the information was prepared from data available for internal use only, (2) such data have been and will continue to be held in confidence by your company, and (3) substantial harm may be caused to the company if the submitted infernation is made publicly available.  ;

Subsequently, by letter, dated September 7,1979, f rom E. E. Van Brunt, Jr., I we were requested that concurrent with the withdraual of the application for Palo Verde, 4 and 5, we return the above financial information to you. In h compliance with this request, we are returning the subject information since it is no longer necessary for us to make a finding regarding your finaricial qualifications for the withdrawn application.

Prior to the withdrawal of the application, a reeting was held with your representatives on May 23, 1979, to discuss your reasons for requesting our withholding of the financial information. Since your representatives stated that the concern about releasing the infomation was the potential harm fron a l.

third party action (rat the SEC), we agreed to look into this concern before acting on your request. We subsequently met with the Division of Corporation Finance of the SEC to discuss the above concern and would like to provide for your information what we learned from the SEC.

1 90009230

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Mr. W. J. Johnson '. nn

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At the meeting held vith the SEC, the SEC inforced us of the following:

(1) It is the opinion of the SEC's Division of Ccrporation of Finance that disclosure of the projections to a regul] tory agency such as the NRC are distinguishable from the type cf projections presented in a prospectus for the marketing of securities.

(2 ) Notwithstanding the above, the SEC is encouraging the disclosure of projections and forward looking information both in SEC filings and, in general, through its safe harbor rule ef fective July 30, 1979.

(3 ) The SEC stated that it felt that disclosure of finwei,1 projections and prediction of dividends would be " deemed not to be f alse or misleading under the federal securities laws unles", +. hey were prepared without a reasonanle basis or disclosed other *. ban ir c^od f aith".

(4 ) Consequently, the SEC felt that there would be no tiable liability to an NRC applicant in its projections beinq nade public by the NRC.

Please advise us if you have any questions regarding this letter.

Sincerely, b . he, O an 0. Parr, C,iief Light Water Reactors, Branch No. 3 Division of Project Management

Enclosure:

As Stated cc: w/o

Enclosure:

See Next Page 90009231 t

. O .

Mr. E. E. Van Brunt , Jr . 3 , , . , 3 g79 Vice President Grloar Project Ma na gement Arizona Public .'.ers iw Corrany D 0 0, D') en p~ '  :

P. O. Box 21666 "U j '- $

Phoenix, Arizona 4E036 UUf '- '

a Janice E. Kerr, Esq.

cc: Arthur C. r ehr, Esq. . Calvin Simpson, Esq.

Snell & Wilner 'li ncent acKenzie , Esq.

3100 Valley Center c alifornia Public Utilities Phoenix, Arizona 85073 Cocmis s ion 3066 State Building Charl es S . Pi e'vn , Assistant San Francisco, CA 94102 Attorney General 200 State rapitol '4ithryn Burkett Di ckson , Es a.

1700 West Washington t'a rk J. Urtian , Esq. l Phoenix, Arizona 85007 counsels for the California w e gy i Nsources Conservation ar's Donald G. Gilbert, Executive Director N eelvent Ccemission Arizona Atonic Energ) Commission '!11 nowe Avenue 2929 Indian School Road nacr eento, CA 95825 1 Phoeni x , /.r i zou 85017 '

George Ca'nrLell, chairman .

Maricopa County Board of Supervisors 111 South lhird Avenue Phoenix, Arizona 85003 Mr. Larry Bard P. O. Box 793 Tempe, Arirona 35281 Dr. Stanley L. Dolins Assistant Di rector Energy Programs (OEPAD )

Office of the r,0vernor 1700 West Washington Executive lower - 41 507 Phoenix, Arizeo.3 85007 Tom Di amond , Esa.

1208 First City flational Bank Buiding OAAAO929

/UUU7LJL El Paso, Texas 79901

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