ML21131A141
| ML21131A141 | |
| Person / Time | |
|---|---|
| Site: | Kewaunee  |
| Issue date: | 05/10/2021 |
| From: | Robuck K, Stoddard D Dominion Energy Kewaunee, EnergySolutions |
| To: | Document Control Desk, Office of Nuclear Material Safety and Safeguards, Office of Nuclear Reactor Regulation |
| Shared Package | |
| ML21131A140 | List: |
| References | |
| 21-171 | |
| Download: ML21131A141 (157) | |
Text
CONFIDENTIAL COMMERCIAL INFORMATION TOBEWITHHELDFROMPUBLIC DISCLOSURE PURSUANT TO10CFR2.390&10CFR9.17
'n Dominion NERGYOLUTIONS Energy" May10,2021 10CFR50.80 10CFR50.90 10CFR72.50 U.S.Nuclear Regulatory Commission Serial No.:
21-171 Attention:
Document ControlDesk NRA/MLW:
RO Washington, DC20555 Docket Nos.:
50-305 72-64 License No.:
DPR-43 M
KEWAUNEE POWERSTATION APPLICATION FORORDERAPPROVING TRANSFER OFCONTROL OFKPS LICENSE ANDCONFORMING LICENSE AMENDMENTS p
1 Inaccordance withSection 184oftheAtomic Energy
- Act, 10 CFR 50.80, 10CFR 50.90, and10CFR72.50, Dominion Energy
- Kewaunee, Inc.
("DEK"), and Energy Solutions, LLC("EnergySolutions")
(together with DEK,the "Applicants")
hereby submit theenclosed application requesting that theU.S.Nuclear Regulatory Commission
("NRC")
consent tothetransfer ofcontrol ofRenewed Facility Operating License No.DPR-43("License")
forKewaunee PowerStation
("KPS"),
aswell asthe10 CFR72.210 general license fortheon-site independent spent fuel storage installation
("lSFSI"),
fromDEK'sparent
- entity, Dominion Nuclear
- Projects, Inc.
("Dominion"),
to Energy Solutions (the "Application,"
provided asAttachment 1).
TheApplicants request l
that theNRCconsent totheindirect transfer ofcontrol ofthelicense toEnergy Solutions soastoimplement accelerated decommissioning oftheKPS.
3 Theindirect transfer arises fromaMay6,2021Stock Purchase Agreement between Energy Solutions andDominion
("Purchase Agreement")
enclosed with this Application.
Theclosing ofthetransaction described inthePurchase Agreement (the "Closing")
is expected tooccur inthefirst quarter of2022.Following
- Closing, thesamelegal entity will remain theKPSLicensee
- holder, andits namewill change uponclosing to Kewaunee Solutions, Inc.("Kewaunee Solutions").
Kewaunee Solutions will continue to holdtitle toandownership ofanyreal estate encompassing theKPSsite, any improvements tothesite, andtitle toandownership ofspentnuclear fuel
("spent fuel").
Upontransfer oftheLicense, Kewaunee Solutions will haveresponsibility forall licensed activities attheKPSsite, including responsibility undertheLicense tocomplete decommissioning pursuant toNRCregulations.
- However, Kewaunee Solutions will u
NOTE:ATTACHMENT 1,ENCLOSURE 1ATOTHISLETTERCONTAINS"CONFiDENTIAL COMMERCIAL INFORMATION" ANDMUSTBEPROTECTED ACCORDINGLY.
UPON SEPARATION OFATTACHMENT 1,ENCLOSURE 1A,THISLETTERIS"DECONTROLLED."
Serial No.:
21-171 Page2of7 operate undernewmanagement andwill beadirect andwholly ownedsubsidiary of Energy Solutions.
TheApplicants also request NRCapproval ofcertain administrative amendments to conform the License andTechnical Specifications toreflect theproposed transfer.
The marked-up changes areshowninAttachment 2tothis letter.
Attachment 3provides a
retyped versionof the License andTechnical Specifications thatincorporates the proposed administrative amendments.
Information pertainingto the proposed transfer oftheLicense, including theinformation required under10CFR50.80 and 10CFR72.50, isincluded intheApplication.
This information demonstrates:
(1) the proposed transfer ofcontrol oftheLicense to Energy Solutions will acceleratethe timely decommissioning oftheKPSsite inasafe andcompliant manner;(2) post-transfer, Kewaunee Solutions will havetherequisite managerial, technical, andfinancialqualifications tobethelicensee oftheKPSfacility; (3) post-transfer, Kewaunee Solutionswill provide reasonable assurance ofadequate funding tomaintain anddecommission the unit; (4) thematerial termsoftheLicense will notbeaffected; and(5) thetransfer ofcontrol of theLicense toEnergy Solutions will not result inanyimpermissible foreign ownership,control ordomination.
Asdescribed in theApplication, Kewaunee Solutions will haveinplace sufficient financial assurance, including anuclear decommissioning trust fundandan additional performancebond(s),
toensure thesafeperformance ofallNRC-required decommissioning andspent fuel management activities.
TheApplication provided inAttachment 1demonstrates that the proposed indirect transfer ofcontrol oftheLicense will notbeinimical tothecommon defense and security orresult inanyunduerisk topublic health andsafety, andthe transfer will be consistent with therequirements oftheAtomic Energy ActandtheNRC regulations.
Enclosure 1AofAttachment 1contains confidential commercial andfinancial information.
TheApplicants request that this information bewithheld from public disclosure pursuant to10CFR2.390, asdescribed intheAffidavit provided inEnclosure 5ofAttachment 1.Aredacted version ofthedocument, suitable forpublic disclosure, is provided inEnclosure 1BofAttachment 1.
Inaccordance with10CFR50.91(b)(1),
acopyofthis submittal hasbeensenttothe State ofWisconsin.
ThisApplication contains regulatory commitments asnoted inAttachment 4.
Should youhaveanyquestions orrequire additional information, please contact Craig D.Sly,
- Manager, Nuclear FeetLicensing, at(804) 273-2784.
Serial No.:
21-171 Page3of7 Service upon theApplicantsofanynotices,
- comments, hearing
- requests, intervention petitions, or other pleadingsshould bemadeto:
ForKewauneeSolutions:
Kenneth W.Robuck President andChief Executive Officer Energy Solutions, LLC 121WestTrade
- Street, Suite 2700 Charlotte, North Carolina 28202 Phone:
704-631-3774 Fax:801-413-5676 Email:
kwrobuck@energysolutions.com Russell G.Workman General Counsel andSecretary Energy Solutions, LLC 299South MainStreet, Suite 1700 Salt
- LakeCity, UT84111 Phone:
801-303-0195 Fax:801-413-5676 E-mail:
rgworkman@energysolutions.com Daniel F.Stenger HoganLovells USLLP 55513thStNW Washington, D.C.20004 Phone:
202-637-5691 Fax:202-637-5910 E-mail:
daniel.stenger@hoganlovells.com Gerard P.vanNoordennen Senior VicePresident Regulatory Affairs Energy Solutions, LLC 121WestTradeStreet Charlotte, North Carolina 28202 Phone:
860-462-9707 E-mail:
gpyannoordennen@energysolutions.com
Serial No.:
21-171 Page4of7 M
Daniel G.Stoddard President and ChiefNuclear Officer Dominion Energy
- Kewaunee, Inc.
5000Dominion Blvd GlenAllen, VA 23060 Phone:
804-273-4390 Fax:
804-273-3759 Email:
daniel.g.stoddard@dominionenergy.com William S.Blair General Counsel Dominion Energy
- Kewaunee, Inc.
120Tredegar St.
- Richmond, VA 23219 Phone:
804-819-2684 Email:
william.s.blair@dominionenergy.com PaulM.Bessette
- Morgan, Lewis
&Bockius LLP 1111Pennsylvania
- Avenue, NW Washington, DC20004-2541 Phone:
202-739-5796 Fax:202-739-3001 Email:
paul.bessette@morganlewis.com j
Serial No.:
21-171 Page5of7 In addition, please place Mr.Robuck, Mr.Workman, Mr.Stenger, Mr.vanNoordennen, Mr.Stoddard, Mr.Blair, andMr.Bessette ontheNRCcorrespondence distribution forall correspondence related totheApplication.
Sincerely, e
Daniel G.Stoddard Kenneth W.Robuck President andChief Nuclear Officer President andChief Executive Officer Dominion Energy Kewaunee,Inc.
EnergySolutions,LLC Attachments:
1 Application forOrder Approving Transfer ofControl ofKPSLicense and Conforming License Amendments (NRC Renewed Facility Operating License No.
- (Enclosure 1Acontains CONFIDENTIAL COMMERCIAL INFORMATION) 2.10CFR50License andTechnical Specifications (Changes) 3.10CFR50License andTechnical Specifications(Clean Pages) 4.List ofRegulatory Commitments i
cc:w/Enclosures Mr.Karl Sturzebecher NRCProject Manager
- Kewaunee PowerStation t
U.S.Nuclear Regulatory Commission Washington, DC20555-0001 j
U.S.Nuclear Regulatory Commission Region lil 2443Warrenville Road,Suite 210
- Lisle, lilinois 60532-4352 cc:w/oConfidential Financial Enclosure 1A
- Manager, Radiation Protection Section Wisconsin Department ofHealth Services
Serial No.:
21-171 Page6of7 AFFIRMATION 1,Daniel G.Stoddard, state that IamthePresident andChief Nuclear Officer of Dominion Energy
- Kewaunee, Inc.("DEK")
andthat Iamdulyauthorized toexecute and file this application on behalf ofDEK.Tothebestofmyknowledge andbelief, the statements contained inthisdocument withrespect toDEKaretrueandcorrect.
Tothe extent that these statements arenotbasedonmypersonal knowledge, theyarebased uponinformation provided by employees and/or consultants ofthecompany.
Such information hasbeenreviewed inaccordance withcompany
- practice, andIbelieve itto bereliable.
Ideclare underpenalty ofperjury that the foregoing istrueandcorrect:
Executed onMay10,2021.
Serial No.:
21-171 Page7of7 AFFIRMATION I,Kenneth W. Robuck, state that IamthePresident andChief Executive Officer of EnergySolutions, LLC("EnergySolutions")
andthat Iamduly authorized toexecute and file this application onbehalfofEnergySolutions. Tothebest ofmyknowledge and
- belief, the statements contained inthis document with respect toEnergySolutions are true andcorrect.
To the extent that these statements arenotbased onmypersonal knowledge, they arebased upon information provided byemployees and/or consultants ofthecompany.
Such information hasbeenreviewed inaccordance withcompany
- practice, andIbelieve ittobe reliable.
Ideclare under penalty ofperjury that theforegoing istrueandcorrect:
Executed onMay10,2021
/# s I-
CONFIDENTIAL COMMERCIAL INFORMATION TOBEWITHHELDFROMPUBLIC DISCLOSURE PURSUANT TO10CFR2.390&10CFR9.17 Serial No.21-171 ATTACHMENT 1
APPLICATION FOR ORDER APPROVING TRANSFER OF CONTROL OF KPSLICENSE ANDCONFORMING LICENSE AMENDMENTS
?
KewauneePowerStation Dominion Energy
- Kewaunee, Inc.
EnergySolutions, LLC NOTE:ATTACHMENT 1,ENCLOSURE 1ACONTAINS "CONFIDENTIAL COMMERCIAL INFORMATION" ANDMUSTBEPROTECTED ACCORDINGLY.
UPONSEPARATION OF ENCLOSURE 1AOFATTACHMENT 1,THISATTACHMENT IS"DECONTROLLED."
TABLEOFCONTENTS Page I.
Introduction 1
II. Statement of Purpose ofTransfer 2
lil.General Corporate Information 3
IV. Technical Qualifications 5
V.
Financial Qualifications 10 VI. OtherRegulatory Considerations 12 Vll.Conclusion 14 ENCLOSURES Enclosure 1A StockPurchase Agreement (Proprietary)
Enclosure 1B StockPurchase Agreement (Non-Proprietary)
Enclosure 2
Pre-Closing andPost-Closing Organizational Charts Enclosure 3
General Corporate information Regarding Kewaunee Solutions, inc.,
andItsCorporate Parents Enclosure 4
ResumesofKeyManagement Personnel Enclosure 5
10CFR2.390Affidavit
Serial No.:
21-171 Attachment 1,Page1of14 I.
INTRODUCTION inaccordance withSection 184oftheAtomic Energy Act,10CFR50.80, 10CFR50.90 and10CFR 72.50, DominionEnergy
- Kewaunee, Inc.
("DEK")
andEnergy Solutions, LLC("Energy Solutions") (together with DEK,the"Applicants")
hereby submit this application requesting that theU.S.Nuclear Regulatory Commission
("NRC")
consent to thetransfer ofcontrol ofRenewed Facility Operating License No.DPR-43("License")
forKewaunee Power Station ("KPS"),aswell asthe10CFR72.210 general license for theon-site independent spent fuel storage installation
("lSFSl"),
fromDEK'sparent
- entity, Dominion Nuclear Projects, Inc.
("Dominion"),toEnergy Solutions (the "Application").
A. Descrigion.ofthe FaciEy KPSislocated intheTownofCarlton in the southeast corner ofKewaunee
- County, in eastcentral Wisconsin.
Thesite isabout thirty miles east-southeast ofthecity ofGreen Bay,Wisconsin, andabout 90miles north-northeast ofthecity ofMilwaukee, Wisconsin.
KPSemployed atwoloop pressurized waterreactor design,supplied byWestinghouse Electric Corporation, housed inasteel primarycontainment vessel surrounded bya concrete secondary containment building.
Thereactor, atthetimeofpermanent cessation ofoperations, waslicensed tooperate atamaximum power output of1772 megawatts-thermal
("MWt").
Theoperating license fortheKPSwasissued onDecember21, 1973, with commercial operation declared onJune16,1974.OnOctober 22,2012, DEK publicly announced its intention topermanently ceasepoweroperations anddecommission KPS. KPShas
- anISFSI, andtransfer ofall spentnuclear fuel
("spent fuel")
totheISFSI was completed in2017.KPSiscurrently ownedandoperated byDEK.
B.
Thetransaction described inthis Application will becarried outpursuant totheMay 6, 2021Stock Purchase Agreement between Energy Solutions andDominion (the "Purchase Agreement")
whereEnergy Solutions will acquire 100%ownership ofDEK.
ThePurchase Agreement isprovided asEnclosure 1Atothis Application.
Enclosure 1A contains confidential commercial andfinancial information.
A redacted version ofthe Purchase Agreement suitable forpublic release isprovided asEnclosure 1B.Following theclosing ofthetransaction described under thePurchase Agreement (the "Closing"),
thesamelegal entity will remain theKPSlicensee andits namewill change to Kewaunee Solutions, Inc.("Kewaunee Solutions").
Asdescribed inEnclosure 2,
Kewaunee Solutions would operate under newmanagement, andbedirectly andwholly ownedbyEnergy Solutions.
Pre-andpost-Closing ownership charts areprovided in Enclosure 2asFigures 2.1and2.2.
Following theClosing andtransfer oftheLicense, Kewaunee Solutions will continue to holdtitle to,andownership of,anyreal estate encompassing theKPSsite; any improvements atthesite; easements forremaining portions ofthesite; andremaining spent
- fuel, special nuclear
- material, andradioactive waste.Kewaunee Solutions will
Serial No.:
21-171 Attachment 1,Page2of14 have responsibility forall licensed activities attheKPSsite, including responsibility under the License tocomplete decommissioning andmanagespent fuel pursuant to NRCregulations.
Upontransfer ofcontrol oftheKPSlicense, Kewaunee Solutions plans to decommission to anaccelerated
- schedule, different thancurrently reflected inthe current DEKPost-Shutdown Decommissioning Activities Report
("PSDAR").
1The current
- KPSPSDAR, Revision 1describes license termination occurring in2073.
- However, asdescribed intheproposed PSDAR,Revision 2,following thetransfer of
- control, theApplicantsanticipate completing decommissioning oftheKPSandreleasing theKPSsite, except for the
- ISFSI, approximately eight-andone-half years after the transfer ofcontrol.
- ThePSDAR, Revision 2isincorporated byreference into this Application andwill besubmitted separately subsequenttosubmittal ofthis license transfer application.
Post-Closing, control oftheKPStax-qualified nuclear decommissioning trust
("NDT")
will remain withthesamelegal entity asbefore
- Closing, butthelegal entity will be renamed toKewaunee Solutions.
Asdescribed inPartVbelow, thefunds intheNDT will besufficient tocomplete decommissioningof KPS.
NDTfunds supplemented with reimbursements bytheU.S.Department ofEnergy ("DOE") areexpected tobe sufficient tocontinue spent fuel management underthe planned accelerated decommissioning schedule.
Inaddition, Kewaunee Solutions will haveinplace an additional performance bond(s),
valued upto$75 millionduring themostcritical phases oftheproject, tofurther ensure that adequate decommissioning funding ismaintained.
II.STATEMENT OFPURPOSE OFTRANSFER Thepurpose ofthetransfer ofcontrol oftheLicense fromDEKtoEnergySolutions isto facilitate theaccelerated decommissioning oftheKPS.
Kewaunee Solutions will benefit fromEnergy Solutions' andits affiliates' capabilityto safely decommission KPS,andtoreduce therisks associated with thecostand capacity forlowlevel radioactive waste("LLRW")
disposal fromtheKPSsite.
Energy Solutions isaprominent andexperienced nuclear decommissioning vendor and will bethefirst non-utility company tosuccessfully decommission acommercial nuclear power
- plant, thezionNuclear PowerStation
("zion")
site inLakeCounty, Illinois.
Decommissioning ofzionisnearly complete andpartial license termination isexpected inthenearfuture.
Theexpertise andcapabilities ofKewaunee Solutions anditsaffiliates will allow the completion ofKPSdecommissioning years aheadoftheschedule reflected inthe current PSDAR.Theendresult will becompletion ofKPSdecommissioning onan accelerated schedule andinaccordance withapplicable lawsandrequirements.
IThisPSDARwassubmitted onFebruary 26,2013(Accession No.ML13063A248),
andsubsequently updated by letters dated April 25,2014(Accession No.ML14118A382),
October 1,2014(ADAMS Accession No.
andSeptember 21,2017(Accession No.ML17276A327).
Serial No.:
21-171 Attachment 1,Page3of14 lil.GENERAL CORPORATE INFORMATION Thefollowing section providesthegeneral corporate information oftheApplicants.
The Applicants are not
- owned, controlled, ordominated byaforeign entity orperson.
A.
DEKisaWisconsin corporation andthecurrent ownerandoperator ofKPS.DEKisa wholly ownedsubsidiaryof Dominion Nuclear
- Projects, Inc.,
which isawholly owned subsidiary ofDominion Generation, Inc.
("DGl").
- Inturn, DGIisawholly owned subsidiary ofDominion Energy, inc.
Energy Solutions isanexperiencednuclear reactor decommissioning vendor.
Energy Solutions andits affiliates specialize inproviding high-level wastemanagement, spent fuel handling andtransportation, and complex decontamination and decommissioning
- services, including the decommissioning ofbothgovernment facilities andcommercial nuclear power generation facilities.
Among theother services provided byEnergy Solutions andits affiliates arethepackaging, transportation,
- storage, and disposal ofradioactive wasteatitsdisposal facility in Clive, Utah.Through its affiliates, Energy Solutions recently completed thedecommissioning ofthe Southwest Experimental FastOxideReactor inArkansas andiscurrently decommissioning the zionNuclear PowerStation andtheLaCrosse Boiling Water Reactor ("La Crosse").
zionandLaCrosse areexpected toreceive NRCapproval forpartial license termination inthenearterm.Energy Solutions isalso responsiblefor the decommissioning ofThreeMileIsland, Unit 2(TMI-2),
atechnicallycomplex project whichrepresents animportant milestone forthenuclear industry.
Thegeneral corporate information required pursuant to10CFR50.33(d)(3),including identification oftheprincipal officers anddirectors ofKewaunee Solutions andits corporate
- parents, isprovided inEnclosure 3.
B.
Consistent with therequirements of10CFR50.38, Energy Solutions isnotowned, controlled ordominated byanalien, aforeign corporation, oraforeign government.
As indicated inEnclosures 2and3,Energy Solutions isawholly ownedsubsidiary of Energy Solutions Finance
- Holdings, LLC,which inturnisaprivately heldcompany whoseshares aredirectly ownedbyEnergy Solutions, Inc.,
whichinturnisaprivately heldcompany whoseshares aredirectly ownedbyRockwell
- Holdco, Inc.("Rockwell")
Rockwell iscurrently 57%ownedprimarily byanumberofaffiliated passive investment funds controlled byEnergy Capital Partners
- GPII, LP(the "Controlling Partner"):
(i)
Energy Capital Partners II, LP;(ii)
Energy Capital Partners ll-A, LP;(iii)
Energy Capital Partners ll-B, LP;(iv)
Energy Capital Partners ll-C(Direct IP),
LP;and I
(v)
Energy Capital Partners Il-D, LP(collectively, the"ECPIIPartnerships").
Serial No.:
21-171 Attachment 1,Page4of14 The ECP IIPartnerships areeachcontrolled bytheControlling Partner (l.e.,
Energy Capital Partners
- GPII, LP),
alimited partnership organized under thelawsoftheState ofDelaware, asgeneral partner.
TheControlling
alimited liability company organized under thelaws of the State ofDelaware.ECPIIisownedandmanagedbyfive individual U.S.
citizens:
Douglas W.Kimmelman(individually andthrough hisestate planning vehicles);
Thomas K.Lane(individually andthrough hisestate planning vehicles);
AndrewD.Singer; Tyler Reeder; andPeter Labbat.
Additionally, RahmanD'Argenio (a
U.S.
citizen andemployee ofEnergyCapital Partners) hasacquired acontractual right tovoteoncertain matters for ECPII.2 Rockwell isalso 40%owned by passive investmentfunds controlled byTriArtisan ES
- Partners, LLC.TriArtisan ESPartners, LLCisinturncontrolled byTriArtisan
- ESMM, LLC,which isinturn controlled by TriArtisan Capital
- Advisors, LLC(collectively, "TriArtisan Entities").
Allthe TriArtisan Entities arelimited liability companies organized under thelawsoftheState ofDelaware and arecontrolled bytwoU.S.Citizens, Gerald Cromack andRohit
- Manocha, whoarethe co-founders andmanaging directors of TriArtisan Capital
- Advisors, LLC.
Rockwell isalsoownedbytheSpyder Retirement Trust, forwhichMr.David Lockwood isthetrustee (approximately 2.2%),3 andbythe executive management ofRockwell (less than1%).
Mr.Lockwood andtheexecutive management ofRockwellareallU.S.
citizens.
Approximately 37%oftheequity inall theECPIIPartnershipsis held bypassive investors whoareforeign persons orentities
("Foreign Passive Investors").
Approximately 38%oftheequity intheTriArtisan Entities isalso held by Foreign Passive Investors.
4 TheForeign Passive Investors will havenoabilityto exercise control ordomination overtheoperations ofRockwell, Energy Solutions,or any ofthe Energy Solutions subsidiaries, including Kewaunee Solutions.
Accordingly,the Foreign Passive Investors will havenodirect orindirect control overanyNRC-licensedactivity conducted byEnergy Solutions oranyofits subsidiaries.
/
2Murray D.Karp, aU.S.citizen andanemployee ofEnergy Capital
- Partners, isadmitted toECPIIforverylimited purposes.
Mr.Karpisnotamanaging memberof,andhasnovoting orcontrol rights andnoeconomic interests with respect to,ECPII.
3 Mr.Lockwood istheformer Chairman andChief Executive Officer ofEnergySolutions andisamemberoftheU.S.
Secretary ofEnergy's Advisory Board.
t 4TheNRCapproved thetransfer oftheThree Mile
- Island, Unit 2toanEnergySolutions affiliate under similar circumstances concerning indirect ownership byForeign Passive Investors.
SeeSafety Evaluation
- Report, Transfer ofThreeMile
- Island, Unit 2toTMl2Solutions, LLC(Nov.
30,2020)
(Accession No.ML20279A373).
TheNRChaspreviously analyzed andapproved private equity fundarrangements whereforeign passive investors would ownupto55%oftheeconomic interests inacompany that indirectly ownedthelicensee foroperating
- reactors, under circumstances wherethegeneral padneroftheparent company wascontrolled byU.S.private equity entities andU.S.citizens.
See"Safety Evaluation bytheOffice ofNuclear Reactor Regulation Regarding Acquisition ofTXUCorp.
byTexasEnergy Future Holdings Limited Partnership,"
dated Sept.
10,2007,pages10-12(Accession No.ML072220130).
Serial No.:
21-171 Attachment 1,Page5of14
- Finally, EnergySolutions, LLCholds afacility security clearance with theDOE.This security clearance requires DOEfindings regarding foreign ownership, control or influence
("FOCl"). TheDOEimplements U.S.
government policy regarding FOCIin accordance with Chapter2,Section 3ofthe"National industrial Security Program OperatingManual" orNISPOM,DoD5220.22-M (Change 1,dated May18,2016),
and Energy Solutions, LLChasongoing reporting obligations regarding its "Certificate Pertaining toForeign Interests,"
Standard Form328,required inconnection with maintaining its security clearances.
Energy Solutions expects to continue tomaintain its security clearance following the proposed transaction, which requires that DOEmaintain positive findings that Energy Solutions, LLCisnotsubject toFOCIorthat anypotential FOCIisadequately negated.
C. No.Aqency Energy Solutions isnotacting astheagent or representative ofanother person inthe proposed transfer ofcontrol oftheLicense.As the licensed entity with possession and responsibility formanagement anddecommissioning oftheKPSpostClosing, Kewaunee Solutions will actforitself andonbehalf of itscorporate
- parent, Energy Solutions.
IV.TECHNICAL QUALIFICATIONS Kewaunee Solutions will betechnically qualified tocarry outits responsibilities asthe licensee ofKPS,incompliance with therequirements of10CFR50.34(a)(9) and50.80.
AsKewaunee Solutions isnotauthorized tooperate thereactor, this application is focused onKewaunee Solutions' ability topossess radioactive material and decommission theKPSsite.
A. M
- 1. KewauneeSolutions Organization
&Management Whentheproposed transfer ofcontrol ofthelicense becomes effective, Kewaunee Solutions will haveresponsibility forandcontrol overtheKPSsite.
Kewaunee Solutions will only employ personnel orengage with contractors whoarequalified fortheir positions.
Kewaunee Solutions
- will, during atransition
- period, adopt theexisting emergency preparedness,
- security, andsite access procedures, while alsoestablishing KPSspecific procedures using Kewaunee Solutions project procedures,
- programs, personnel andcontractors.
TheKewaunee Solutions organization will provide anexperienced nuclear management teamtoassure compliance with therequirements oftheLicense andNRCregulations.
Kewaunee Solutions will implement amanagement approach toassure efficient and effective decommissioning anddecontamination
("D&D")
- planning, preparation, and execution, which isexpected toinclude programs covering:
safety conscious work
Serial No.:
21-171 Attachment 1,Page6of14 environment; day-to-dayindustrial safety; radiological protection; radioactive waste handling; corrective action; performance reporting, monitoring, andmetrics; personnel performance; andfinancial controls.
inaddition, Energy Solutions andits affiliates anticipate relocating experiencedpersonnel fromEnergy Solutions' other decommissioning projects toKPS.
Anorganization chart illustrating Kewaunee Solutions' planned organization is contained inEnclosure 2,Figure2.3tothis Application.
TheKewaunee Solutions planned organization includes:
1.TheChief Operating Officer ofEnergy Solutions, LLC,Jeff Richardson, whowill provide corporate accountability andoversight oftheKPSProject.
2.TheChief Nuclear Officer of Energy Solutions, LLC,JohnSauger, whowill be responsible fortheexecutionof nuclear programs andpolicies.
3.TheSenior VicePresident ofOperations ofEnergySolutions, LLC,Joezwetolitz, whowill beaccountable for overall management, leadership,performance, nuclear
- safety, quality assurance
("QA"), and employee safety.
4.Asingle Project Director directly responsiblefor KPS decommissioning operations, including implementation ofapproved programs andprocedures to ensure safeandcompliant work(Tom Kaiser).
The Project Directorwill report to theSenior VicePresident ofOperations.
5.Several
- Managers, directly reporting totheProject Director, with responsibilities forradiological
- safety, industrial
- safety, project administration and financial
- services, training, labor relations, oversight offuel
- storage, regulatory affairs, QA, licensing, environmental, decontamination anddecommissioning,engineering andoperations, wasteoperations, project
- controls, security, andISFSI management.
AsshowninEnclosure 2,these management roles will bespecifically vestedin a Radiation Protection
- Manager, Licensing
- Manager, Engineering
- Manager, Safety
- Manager, andQAManager, whowill all report directly totheProject Director.
Thisorganization will provide anuclear management teamwith control overthe decommissioning operations.
Inaddition, theRadiation Protection Manager will besubject tooversight bytheEnergy Solutions, LLCVicePresident ofRadiation Protection, theLicensing Manager will besubject tooversight bythe Energy Solutions, LLCSenior VicePresident ofRegulatory
- Affairs, andtheQA Manager will besubject tooversight bytheEnergy Solutions, LLCCorporate QA Director.
TheKewaunee Solutions organization will implement highindustry standards, best practices, effective programs andprocesses, andmanagement controls.
Inaddition, theorganization will execute effective andintegrated oversight andtechnical support functions.
Serial No.:
21-171 Attachment 1,Page7of14 Resumes demonstrating thequalifications andexperience ofthekeymanagement personnel forKewaunee Solutions areincluded inEnclosure 4.
2.
Energy Solutions Experience
&Expertise Kewaunee Solutions will contractwith Energy Solutions andits affiliates toperform the Decontamination & Decommissioning (D&D) andsite restoration services.
Energy Solutions has more than25years ofexperience inthenuclear decommissioning andwaste management
- industry, including:
complex D&Dprojects ofnuclear reactors andhighly radioactive nuclear facilities (both commercial andgovernment-owned);
management oflow-levelradioactive waste,high-level radioactive waste,andspent fuel (including handling andtranspodation);
andsolving difficult technical challenges such astreatment ofhigh-level waste.
Energy Solutions andits affiliates have demonstrated theability toachieve andsustain performance improvement indecommissioning operations, transportation, anddisposal, andtheability tomanagenuclear facilitiesreliably andsafely.
Toprovide some examples:
- zion:
Energy Solutions, through its subsidiary zion Solutions, LLC
("zion Solutions"),
hasnearly completed the decommissioning ofzionThiswork included creation ofopenings inthecontainmentbuildings ateach2ionunit; dismantlement andsegmentation ofthereactor vessel internals atbothunits; erection ofheavy lift rail systems; demolition ofall remaining buildings and structures; andpackaging anddisposal
- oflead, asbestos, reactor coolantpumps, andreactor coolant systempiping.
Inaddition, Energy Solutions constructed an ISFSI onsite andtransferred all spentfuel fromwetstorage to the.ISFSI.
Energy Solutions iscurrently supporting theNRCintheir reviewof final radiological surveys ofthesite.
Thereviews support unrestricted release ofthe
- site, with theexception oftheISFSI, andthereturn oftheunderlyingreal estate backtoExelon.
a LaCrosse:
Similarly, Energy Solutions, through its subsidiary LaCrosse Solutions, LLC,hasnearly completed thedecommissioning ofLaCrosse.
All plant structures andradioactive wastehavebeenremoved fromthesite.
LaCrosse Solutions iscurrently supporting theNRCintheir review offinal radiological surveys ofthesite.
Thereviews support unrestricted release ofthe
- site, with theexception oftheISFSI, andthereturn ofthesite backtoDairyland PowerCooperative.
SanOnofre:
Energy Solutions formed aJoint
- Venture, SONGSDS,supplying Decontamination
&Decommissioning services toSouthern California Edison
- Company, forthedecontamination, decommissioning, anddemolition oftheSan Onofre Nuclear Generating Station.
Theproject commenced Phase2Field Demolition workinAugust of2020.Workcompleted orinprogress includes radiological source termremoval, de-tensioning andremoval ofContainment structure
- tendons, removal oftheTurbine Generator, creation oflarger equipment hatch openings inthecontainment buildings, preparations forthe
Serial No.:
21-171 Attachment 1,Page8of14 segmentation ofthereactor vessel internals atbothunits, initial demolition of support buildings,andpackaging, shipping anddisposal
- oflead, asbestos and building materials. Additionally, the670TonUnit OneReactor Vessel was transported tothenearby rail spurandshipped byrail androad
- toClive, Utahfor disposal byEnergySolutions.
. Ft.
Calhoun:
Energy Solutionsthrough contract Agreement issupplying Decontamination
& Decommissioning services toOmahaPublic PowerDistrict (OPPD) for the decontamination, decommissioning,anddemolition oftheFort Calhoun NuclearStation.
Theinitial workhasincluded theinstallation ofthree rail spurs andaccess to theUnionPacific
- mainline, construction ofanegative air enclosed waste loading structure, de-tensioning andremoval oftheContainment Building
- tendons, SpentFuel Pool cleanoutandremoval oftheSpent Fuel
- Racks, dismantlement andremoval ofContainment Building structures and components inpreparation forthe segmentation ofthereactor vessel internals andinitial removal ofandpackaging hazardous materials ofleadandasbestos.
Additionally, thetwopreviously removed original SteamGenerators stored inan on-site mausoleum havebeen transported byroadtoClive, Utahfordisposal by Energy Solutions.
- TMl-2:
Energy Solutions, through its subsidiary TMI-2 Solutions, LLC,is responsible forthedecommissioning ofTMI-2.Planning isunderwayto demolish thecooling towers intheFall 2021andbegin core debrisremoval inthe Summer2022.
OtherCivil Reactor Work:Energy Solutions, through its affiliates, was responsible forthemajor component
- removal, waste disposal,and establishment ofdryfuel casksystems fortheBigRockPoint nuclear power plant.
The company provides services atmostcommercial nuclear power
- stations, including wastemanagement andliquid wasteprocessing.
Transportation:
Energy Solutions andits affiliates arequalified toship large volumes ofradioactive waste,withexperience using specially built gondola rail carsandlarge capacity trucks.
Gondola rail carswereinstrumental inimproving thedecommissioning schedule atzion.
WasteManagement:
Energy Solutions ownsandoperates theClive low-level radioactive wastedisposal facility inUtahandistheoperator oftheBarnwell disposal facility intheState ofSouth Carolina.
Thebroadrange ofexperiences andcapabilities, described
- above, demonstrate the ability andqualifications ofKewaunee Solutions toaccomplish themaintenance and decommissioning ofKPS.
Serial No.:
21-171 Attachment 1,Page9of14 3.
Technical Support Technical support for maintenance anddecommissioning workwill beunder the supervision oftheProject Director.
Quality assurance,
- safety, radiological programs anddirectoversight will bemaintained byKewaunee Solutions andoverseen by Energy Solutions, asshowninEnclosure 2,Figure 2.3.Technical support activities will include supportfor waste operations, transportation, demolition, project controls and reporting, operations and workcontrol, andD&Dengineering.
Kewaunee Solutions intends tosubcontract technical support workrelated to maintenance anddecommissioning oftheKPSonly toqualified contractors whohave thepastexperience andperformance toensure thetimely andsafecompletion ofsuch work.Inparticular, KewauneeSolutions anticipates executing support agreements with Dominion post-Closing for consulting and transition services tofacilitate thetransfer of knowledge andtechnical expertise related toKPS.Kewaunee Solutions also anticipates implementing support agreements for supportservices related to management oftheISFSI andprovision of certain on-sitesecurity functions.
Contractors will beexpected tohaveanexcellent safety recordandsufficient quality assurance processes tosupport their scopeofwork.
Contractor support workers forthe project will report totheProject Director.
Regulatorycompliance, safety performance andschedule performance will beemphasized inall contracts.
TheKewaunee Solutions integrated approach andtheimplementation ofcommon
- programs, processes andbestpractices will ensure that thesupport functions for the KPS projectarecarried outefficiently.
Inall
- cases, Kewaunee Solutions retains ultimate responsibility for licensed activities.
B. Onsite.Orga.nizatEn Atclosing, Kewaunee Solutions will maintain theassets related toKPSthatwill be needed inorder tomaintain anddecommission theKPSsite inaccordance with NRC requirements.
Theseassets will
- include, inaddition totheKPSstructures and equipment,
- records, safety andmaintenance
- manuals, andengineering and construction documents.
Asdescribed
- above, Kewaunee Solutions will maintain andestablish acomprehensive onsite organization incompliance withregulatory requirements andtheNRCLicense.
Kewaunee Solutions' operations atKPSwill essentially beself-sufficient, although additional support forcertain operational functions (e.g.,
- training, emergency preparedness andquality assurance) maybeobtained fromEnergy Solutions' corporate organization.
Anumberofexisting DEKemployees will alsocontinue tosupport Kewaunee Solutions ascontractors under thesupport agreements described above.
Serial No.:
21-171 Attachment 1,Page10of14 C.
Technical Qualifications Conclusion TheKewaunee Solutions management teamwill beexperienced andqualified, andthe organization is well-designed andwill besufficiently resourced toaccomplish decommissioning oftheKPSsite incompliance withNRCregulations andtheNRC License.
Appropriate andstringentmanagement processes andcontrols will be
- applied, with clearlines ofauthority andcommunication.
Forthese
- reasons, Kewaunee Solutions andits management teamwill havethenecessary technical qualifications to safely maintain anddecommission theKPS.
V. FINANCIAL QUALIFICATIONS Following theClosing, Kewaunee Solutions will befinancially qualified topossess and decommission KPS.5 Specifically, Kewaunee Solutions will haveaccess tofinancial resources required to:(i) decommission the facility undertheaccelerated schedule described inthePSDAR,Revision 2and;(ii)manage spentfuel located ontheKPSsite until acceptance byDOE,incompliance NRCregulations, including10CFR50.33(f),
50.33(k),
50.54(bb),
50.75, and50.82(a).
A. M
- 1. Decommissioning CostEstimate
& NDTFundAdequacy Theprojected costtoperform radiological decommissioning andsite restoration ofKPS by2030isanticipated tobeapproximately
$723.8 million (in 2021dollars). More I
information about theestimated costtodecommission KPScanbefound in Section IV ofthePSDAR,Revision 2.Atclosing, theKPSNDTwill havesufficient funds toprovide decommissioning funding assurance forKPS.ThisNDTsatisfies the "prepayment" method ofDecommissioning funding assurance pursuant to10CFR50.75(e)(1)(i),
Asdemonstrated inEnclosure 1AofthePSDAR,Revision 2,atthetimeofthe transfer theNDTisanticipated tocontain sufficient funds topermit thedecommissioning ofKPS whenaccounting forfundgrowth overthedecommissioning term.Moreover, the Purchase Agreement doesnotforeclose Kewaunee Solutions fromamending the decommissioning
- plan, ifnecessary, toaccount foranyunexpected occurrences.6 6 Ingeneral, theNRC's analysis offinancial qualifications for anon-operating reactor concerns "whether the Applicants haveprovided reasonable assurance ofobtaining thefunds necessary tocover estimated costs for radiological decommissioning,"
andanystorage ordisposal ofrelated nuclear waste.SeeSafety Evaluation
- Report, Transfer oftheOyster Creek Nuclear Generating Station fromExelon Generation, LLCtoOyster Creek Environmental Protection, LLCandHoltec Decommissioning International, LLC(June 20,2019)
(Accession No.
6ThePSDAR,Revision 2also discusses Kewaunee Solutions' plans fordisposal ofLLRW.
Serial No.:
21-171 Attachment 1,Page11of14
- 2. Additional Financial
&Performance Assurance Beyond the fundsintheKewaunee Solutions NDT,pursuant toSection 5.14ofthe Purchase Agreement, Energy Solutions will alsoobtain aperformance bond(s) by Closing tosupport the decommissioning oftheKPSandmanagement ofspent fuel.
Thebonds will be heldbyDominion.Theproceeds ofthese
- bonds, totaling upto$75 million andphasing upanddownaccording tothenature oftheworkperformed inthe phases will bedeposited inaBack-UpNuclear Decommissioning Trust ifcalled
- upon, andcanonlybeused to facilitate thedecommissioning oftheKPSormanagement of spentfuel.
KewauneeSolutions will notify theNRCprior toreducing thevalue ofthe performance bond(s).
B. M Allspentfuel currently maintained atthe KPS islocated intheKPSISFSl.
Consistent with theDEKApril 25,2014Irradiated Fuel Management Plan(IFMP)
(Accession No.
this spentfuel will continue to bemaintained attheKPSISFSI until acceptance byDOE.Section IIofthe
- PSDAR, Revision 2updates thespentfuel management strategy described intheDEKIFMP as to:(i) theanticipated dateofDOE acceptance; (ii) thefunds required tomaintain theISFSI overthis extended period and decommission itthereafter, and;(iii) thesource offunds forspentfuel management.
Asdemonstrated inthefunding analysis inEnclosure 1Aof the
- PSDAR, Revision 2,one source offunds forspentfuel management istheNDT.After accounting for decommissioning requirements, sufficient funds exist intheNDT to support maintenance oftheISFSI anddecommissioning activities throughpartial site release andupthrough January 1,2031,aswell asdecommissioning oftheISFSI afterDOE acceptance ofthespentfuel.
Reliance ontheKPSNDTtosupport spent fuel management activities through this period isconsistent with theexemption issued to DEKonMay21,2014(Accession No.ML13337A287).
Fortheperiod between partial site release anddecommissioning oftheISFSI, itis currently anticipated that additional funds will berequired beyond theassets oftheNDT tomaintain theKPSspent fuel through DOEacceptance.
Specifically, approximately
$106,620,166 isestimated toberequired in2021dollars beyond theassets oftheNDT tomaintain thespent fuel fromJanuary 1,2031until DOEacceptance.
Asshowninthe funding analysis inEnclosure 1AofthePSDAR,Revision 2,DOEreimbursements will comprise thesource ofadditional funding tomeetNRCrequirements.
Pursuant toDOEContract DE-CR01-83NE44429
("KPS Standard Contract"),
DOEhas ultimate responsibility forcollection andpermanent disposal ofthespentnuclear fuel at theKPS.Related toDOE'sbreach ofthe-KPSStandard
- Contract, DOEisresponsible forthecostsrelated tothecurrent storage ofthespent nuclear fuel attheKPSISFSI.
DOEhasconsistently reimbursed DEKovertheyears forthese costs through settlement agreements.
Future reimbursements through litigation areexpected.
Given thelong andconsistent history ofStandard Contract spentfuel litigation, theNRCstaff hasfound multiple times "that theassumption ofDOEreimbursement isareasonable source ofadditional funding.
Inrecent
- years, theDOEreimbursements havebecome
Serial No.:
21-171 Attachment 1,Page12of14 more consistent andpredictable despite thelongevity ofthelitigation process and complexity oftheDOEstandard settlement agreements."7 Before thepoint DOE reimbursements areanticipated toberequired forspent fuel management funding sufficiency per thePSDAR,Revision 2analysis,e Kewaunee Solutions will seekan update tothe current DEKMay21,2014exemption toaccount forreliance onDOE reimbursements fortheperiod between partial site release anddecommissioning ofthe ISFSl.
Beyond theassets ofthe NDT andanticipatedreimbursements fromDOE,the performance bond(s) described aboveprovides additional assurance that funds will be available tosupport management oftheKPSspent fuel through DOEacceptance and decommissioning oftheISFSI thereafter.
Theperformance bond(s) will alsoprovide additional assurance tosupplement any recoveries fromDOE.
C. Financial Qualifications Conclusion Inconclusion, Kewaunee Solutions isfinancially qualified topossess anddecommission theKPS.Thisisdemonstrated through the assets oftheKewauneeSolutions
- NDT, anticipated tobeavailable atClosing andwhichare sufficient tocover thecosts associated with decommissioning theKPSinaccordance withthePSDAR,Revision 2.
KewauneeSolutions isalso financially qualified tomanage KPS'spent fuel until acceptance bytheDOEandthereafter decommission the KPS ISFSI.Kewaunee Solutions' financial qualifications astoboth decommissioning and management ofspent fuel arefurther enhanced bytheperformance bond(s) described inSection V.A.2.
VI.OTHERREGULATORY CONSIDERATIONS A. Restricted Data ThisApplication doesnotcontain Restricted Dataorother classified National Security Information, anditisnotexpected that anysuchinformation will berequired toconduct Kewaunee Solution's licensed activities.
- However, intheeventthat such information doesbecomeinvolved, andinaccordance with10CFR50.37, "Agreement Limiting Access toClassified Information,"
Kewaunee Solutions agrees that itwill appropriately safeguard suchinformation andwill notpermit anyindividual tohaveaccess tosuch information until theindividual hasbeenappropriately approved forsuchaccess under theprovisions of10CFRPart 25,"Access Authorization forLicensee Personnel,"
and/or Part 95,"Facility Security Clearance andSafeguarding ofNational Security Information andRestricted Data."
7safety Evaluation Report fortheTransfer ofBeaver
- Valley, Davis-Besse, andPerry Nuclear PowerPlants (Dec.
2, 2019),
at15(ADAMS Accession No.ML19326A759).
Currently there isnosettlement with DOEfor spent fuel management funding forKPS,andreimbursements arecurrently being pursued through litigation.
8 Inaccordance with theabove discussion, this point iscurrently estimated tobereached January 1,2031,andthis datewill beupdated pursuant toperiodic NRC-required decommissioning funding status reports.
Serial No.:
21-171 Attachment 1,Page13of14 B.
Nuclear Insurance Kewaunee Solutions will maintain atClosing third party nuclear liability protection under the American Nuclear Insurers Facility Formpolicy forKPS.Thispolicy covers the entire KPS site, anditiscurrently maintained byDEK.Kewaunee Solutions will paythe premium forthis policy.
TheApplicants request that theNRCapprove assignment and transfer oftheNRC's PriceAndersonActindemnity agreement forKPSasneededby amending Indemnity Agreement No.B-64todelete references to"Dominion Energy
- Kewaunee, Inc.,"
and instead insert "Kewaunee Solutions" uponcompletion ofthe proposed license transfer.
Participation inthesecondary insurance poolbyKPSisnot required pursuant toanexemption issuedbytheNRConMarch24,2015(80 Fed.Reg.
15638).
Kewaunee Solutions will also maintain atClosing $50million ofon-site nuclear property damageinsurance fromanappropriate
- insurer, consistentwith its requirements under 10C.F.R. 50.54(w) andtheNRCexemption reducing on-site nuclear insurance forKPS issued onApril 13,2015(80 Fed.Reg.19697).
Totheextent that Kewaunee Solutions isunable to continue thecurrent policies currently inplace forKPSpost-Closing, Kewaunee Solutions will acquire replacement policies.
Prior totheclosing ofthelicense transfer,Kewaunee Solutionswill provide the Director oftheNRC'sOffice ofNuclear Material Safetyand Safeguards satisfactory documentary evidence that ithasobtained theappropriate amount ofinsurance required ofalicensee under 10C.F.R. 140.11(a)(4) and10C.F.R.
50.54(w),
consistent withtheexemptions previously issued forKPS.
C. QAProgram Uponconsummation ofthetransfer ofcontrol, Kewaunee Solutions will have authority andresponsibility forthefunctions necessary tofulfill theQuality Assurance("QA")
requirements.
Kewaunee Solutions will develop aKewaunee Solutions QAprogram for theKPSwhich will beimplemented atthetimeofthetransfer ofcontrol.
TheKewaunee Solutions QAprogram will comply with10CFR50.54(a).
D. Conforming Amendments Theconforming changes proposed fortheKPSLicense andtechnical specifications are showninAttachment 2tothetransmittal
- letter, andclean pagesareprovided as Attachment 3tothetransmittal letter.
Thechanges conform theLicense andtechnical specifications toreflect theproposed change innameofthelicensee toKewaunee Solutions.
Theproposed license amendment doesnotinvolve anychange inthedesign orlicensing
- basis, plant configuration, thestatus ofKPS,ortherequirements ofthe License.
Consistent with thegeneric determination in10CFR2.1315(a),
theproposed conforming license amendment involves nosignificant hazards consideration, because itdoesnomorethanconform the10CFRPart 50License andtechnical specifications toreflect thetransfer action.
Theproposed license transfer doesnot:(1) involve an
Serial No.:21-171 Attachment 1,Page14of14 increase intheprobability orconsequences ofanaccident previously analyzed; (2)create thepossibilityofanewordifferent kindofaccident fromtheaccidents previously evaluated; or(3) involve asignificant reduction inamargin ofsafety.
E.
Environmental Considerations This Applicationand accompanying conforming amendments areexemptfrom environmental review because theyfall within thecategorical exclusion appearing at 10CFR51.22(c)(21),"Environmental Protection Regulations forDomestic Licensing andRelated RegulatoryFunctions,"
forwhichneither anEnvironmental Assessment nor anEnvironmental Impact Statement isrequired.inaddition, theproposed transfer will notresult inanychange inthe types, oranyincrease intheamounts, ofanyeffluents that maybereleased off-site, and will notcauseanyincrease inindividual orcumulative occupational radiation exposure.
F. W Inaddition toNRCapproval, approval isrequired from thePublic Service Commission ofWisconsin forthetransfer ofcontrol ofthe KPS.
Inaddition, acondition toClosing is favorable receipt ofaprivate letter ruling fromtheinternal Revenue Service confirming that transfer oftheNDTfunds associated with this transfer ofcontrolisanon-taxable event.Ifsatisfactory approvals/rulings arenotobtained, the parties will update theNRC onsuchdevelopments.
G. R.eguested EJectjvdate i
TheApplicants respectfully request that theNRCreview andcomplete action as expeditiously asreasonably possible onthis Application tothetransferof the License forKPS.TheApplicants request issuance ofanOrder byDecember 15,2021= The Applicants request that theNRCissue anOrder authorizing thetransfer totake place at anytimeuptooneyearafter thedateofissuance oftheOrder, orsuchlater date as maybepermitted bytheNRC.TheApplicants also request that theLicense changes bemadeeffective asoftheClosing date.
TheApplicants will inform theNRCif there areanysignificant changes that could haveanimpact ontheClosing date.
I Vil.CONCLUSION aI Insummary, theproposed transfer ofcontrol oftheKPSLicense toEnergy Solutions will beconsistent with therequirements oftheAtomic Energy Act,NRCregulations, and j
applicable regulatory guidance.
Uponcompletion ofthelicense
- transfer, Kewaunee Solutions, with support fromits affiliate Energy Solutions, will proceed tocomplete the Decommissioning ofKPS,sothere will benoadverse impact onpublic health and safety ortheenvironment.
Thetransfer ofcontrol oftheLicense will notbeinimical to thecommondefense andsecurity anddoesnotinvolve foreign ownership,
- control, or domination.
TheApplicants therefore request that theNRCconsent tothetransfer in j
accordance with 10CFR50.80 and10CFR72.50, andapprove theconforming I
administrative amendment pursuant to10CFR50.92.
g
?
Serial No.:
21-171 ENCLOSURE 1B STOCKPURCHASE AGREEMENT
[N.ONSONf[DENTIAL.1 KewauneePowerStation Dominion EnergyKewaunee, Inc.
EnergySolutions, LLC
NON-PROPRIETARY Execution Version STOCK PURCHASEAGREEMENT dated asofMay6,2021 byand between EnergySolutions,
- LLC, asBuyer l
and DOMINIONNUCLEARPROJECTS, INC.,
asSeller
NON-PROPRIETARY TABLEOFCONTENTS Page ARTICLE ICERTAIN DEFINITIONS................................-...............................-..1 Section 1.1 Definitions....,-.........................................
1 Section 1.2 Terms Generally.............,................-.......
14 ARTICLEII PURCHASE ANDSALEOFSTOCK.........-..........-.....-..........-.....
15 Section 2.1 Purchase andSale ofthe Stock....,,............-..
15 ARTICLEHIREPRESENTATIONS ANDWARRANTIESOFSELLER.......-.
16 Section 3.1 Organization andCorporate Power.....-.........,,..-.
16 Section 3.2 Authorization; Validity...........,..................
16 Section 3.3 Qualificationand Corporate PoweroftheCompany...,.
17 Section 3.4 NoConflict.......-....--...-.....-...-.......-...-
17 Section 3.5 Capital Stock..........-=.............=.......
......=.=.
17 Section 3.6 Indebtedness.........,..........-,....=..=.,...=.......
18 Section 3.7 Compliance with Law;Proceedings.
18 Section 3.8 TaxMatters.,.....-.........-......-............,.....
19 Section 3.9 Material Contracts........,....-...,.........,........,.,..,.....
20 Section 3.10 Consents andApprovals 20 Section 3.11 Brokers............-..........,..............-...
20 Section 3.12 Employees; ERISA.......................................
20 Section 3.13 Title toRealProperty; Ownership ofSite.................
22 Section 3.14 Insurance.........--............-.......,....... 22 Section 3.15 Compliance with Environmental Laws........
23 Section 3.16 NRCLicenses..,.......,......,..................-...
24 Section 3.17 Qualified Decommissioning Fund...........,..-,...........
24 Section 3.18 DOEClaims.......-..,-.....-...-..,....26 ARTICLEIVREPRESENTATIONS ANDWARRANTIESOFBUYER......-......
26 Section 4.1 Organization andCorporate PowerofBuyer..-........-...
26 Section 4.2 Authorization; Validity....,-....,.........-,...
26 Section 4.3 NoConflict........,..........,...............
26 Section 4.4 Consents andApprovals.
27 Section 4.5 Brokers..........,..........,.................-......
27
.1
!!DC
- 049510/000008
- 15937566 v33
NON-PROPRIETARY TABLEOFCONTENTS (continued)
Page Section 4.6 Availability ofFunds.
27 Section 4.7 Investment..................................................
27 Section4.8 Litigation.........................................................
27 Section 4.9 Foreign Ownership orControl..............................
28 Section 4.10 Qualified Buyer..,.................................,....................
28 ARTICLEV COVENANTS; ADDITIONAL AGREEMENTS.-.....-.....-.....-.....
28 Section 5.1 Access to Information; Continuing Disclosure.....................
28 Section 5.2 Consentsand Approvals.
29 Section 5.3 Further Assurances................................................................
33 Section 5.4 Certain TaxMatters.
33 Section 5.5 Conduct ofBusinessof the Company...................................
38 Section 5.6 Notice ofChanges.....................................................
41 Section 5.7 Employee Matters..................................................
42 Section 5.8 Excluded Assets; Retained Liabilities.
42 Section 5.9 Affiliate Transactions......................................,.,....
44 Section 5.10 Related Agreements...,..................................................
45 Section 5.11 NameofCompany; Marked Materials.
45 Section 5.12 Files andRecords..............................................................
46 Section 5.13 Restoration...........................................................................
46 Section 5.14 Financial Security.
46 Section 5.15 Termination ofCertain Arrangements...................................
47 Section 5.16 Cooperation Relating toInsurance andPrice-Anderson Act..............................................................................
47 Section 5.17 Nuclear Insurance Policies...............................................
47 Section 5.18 NRCCommitments....................................,
47 Section 5.19 DrawsonQualified Decommissioning Fund...................
47 Section 5.20 IRSPrivate Letter Ruling..........................,.......
48 Section 5.21 Post-Closing Decommissioning andMaintenance ofthe Qualified Decommissioning Fund.................................
49 Section 5.22 Exclusivity.
51 ARTICLEVICONDITIONS PRECEDENT TOBUYER'SOBLIGATIONS....-.
51 ii
NON-PROPRIETARY TABLEOFCONTENTS (continued)
Page Section 6.1 NoInjunction.......................................................................
51 Section 6.2 Representations andWarranties................................
51 Section6.3 Performance........................................-....................
52 Section 6.4 Closing Deliveries.,................................................
52 Section 6.5 Approvals andFilings..........................................................
52 Section 6.6 No Legislation..................................................................
52 Section 6.7 QNDT Minimum Balance.................................................
52 Section 6.8 MaterialAdverse Effect.....................<..........
52 Section 6.9 IRSPrivate Letter Ruling........................................
52 Section 6.10 TheIRSPrivate Letter Ruling shall have beenobtained......
52 Section 7.1 NoInjunction.......................................................................
53 Section 7.2 Representations andWarranties..........................................
53 Section 7.3 Performance.....................................................................
53 Section 7.4 Closing Deliveries.............................................
53 Section 7.5 Approvals and Filings.,.,.......................,..............
53 Section 7.6 NoLegislation................................................................
53 Section 7.7 Replacement Assurances.
53 Section 7.8 Buyer Security.
54 Section 7.9 QNDT Minimum Balance............................................
54 Section 7.10 DrawsonQualified Decommissioning Fund...................54 Section 7.11 IRSPrivate Letter Ruling........................................,54 ARTICLEVHI CLOSING....-..-....-.-.........................-...-..-.............-.....-.....
54 Section 8.1 TimeandPlace...................................................................
54 Section 8.2 Deliveries...........................................................................
54 ARTICLEIXTERMINATIONANDABANDONMENT
..-................................56 Section 9.1 Methods ofTermination.
...................=.....
56 Section 9.2 Procedure UponTermination andConsequences..............
57 ARTICLEXINDEMNIFICATION 58 Section 10.1 Indemnification....-.....................................................
58 Section 10.2 Procedure for Indemnification..................................
59 iii
NON-PROPRIETARY TABLEOFCONTENTS (continued)
Page Section 10.3 Survival..............................................................
60 Section 10.4 Exclusive Remedy.
60 Section10.5 Mitigation andLimitation ofClaims.
61 Section 10.6 TaxTreatmentofIndemnity Payments.............................
61 Section 10.7 Tax Benefit....................................................<............<..
61 ARTICLEXIMISCELLANEOUS........-....-.-....-.......-........-...........................-.
62 Section 11.1 Amendment and Modification............................................
62 Section 11.2 Waiver ofCompliance.........................................................
62 Section 11.3 Notices.
62 Section 11.4 Binding Nature; Assignment...............................................
63 Section 11.5 Entire Agreement............................................................
64 Section 11.6 Expenses.
64 Section 11.7 Press Releases and Announcements; Disclosure.
64 Section 11.8 Acknowledgment; Disclaimer.
64 Section 11.9 Governing Law.
.....................=.......................
66 Section 11.10 WAIVEROFJURYTRIAL...................................
66 Section 11.11 Specific Performance.....................................................
66 Section 11.12 NoJoint Venture..............................................................
67 Section 11.13 Severability.
67 Section 11.14 Counterparts........................................................................67 Section 11.15 Interpretation.......................................................................
67 iv
NON-PROPRIETARY SCHEDULES Schedule 1.1(a)
Knowledge Schedule 3.4 Seller Conflicts Schedule 3.7 Compliance with Law;Proceedings Schedule 3.8 TaxMatters Schedule 3.9 Material Contracts Schedule 3.10 Seller Consents andApprovals Schedule 3.12(a)
Employee Plans Schedule 3.13(a)
Permitted Liens Schedule 3.14 Insurance Schedule 3.15(a)
Environmental Permits Schedule 3.15(b)
Compliance with EnvironmentalLaws Schedule 3.16(a)
Non-Compliances with NRCLicenses Schedule 3.17(a)
Qualified Decommissioning FundExceptions Schedule 3.17(d)
QualifiedDecommissioning FundDeficiencies Schedule 4.4 Buyer Consents and Approvals Schedule 4.8 Buyer Litigation Schedule 5.2(e)
Third Party Consents Schedule 5.5(a)
Conduct ofBusiness Schedule 5.8(a)(iv)
Excluded Contracts Schedule 5.8(a)(vii)
Excluded Insurance Policies Schedule 5.9(b)
Affiliate Agreements that Survive the Closing Schedule 5.9(c)
Company Guarantees EXHIBITS Exhibit A
FormofD&DSite Consulting andSupport Agreement Exhibit B
FormISFSI Management Agreement Exhibit C
Planning Services Agreement Exhibit D
FormofTransition Services Agreement 1
V
NON-PROPRIETARY STOCKPURCHASE AGREEMENT This Stock Purchase Agreement, dated asofMay6,2021(this "Agreement")
is madeby and between EnergySolutions, LLC,aDelaware limited liability company
("Buyer"),
and Dominion Nuclear
- Projects, Inc.,
aVirginia corporation
("Seller").
RECITALS A.
Seller owns alloftheissued andoutstanding shares ofcapital stock of Dominion Energy
- Kewaunee, Inc.,
aWisconsin corporation
("Company").
B.
Buyer desires to purchase fromSeller, andSeller desires tosell
- toBuyer, subject tothetermsandconditions ofthis Agreement, all oftheissued andoutstanding shares ofcapital stock ofthe Company owned bySeller
("Stock").
NOWTHEREFORE, inconsideration oftheforegoing
- Recitals, which are incorporated
- herein, andforother good and valuable consideration, thereceipt and sufficiency ofwhich arehereby acknowledged, intending tobelegally
- bound, theParties hereby agree asfollows:
ARTICLEI CERTAINDEFINITIONS Section 1.1 Definitions.
Forthepurposes ofthis Agreement, thefollowing words andphrases shall have thefollowing meanings:
"h" meansall amountsarising from
- actions, suits, proceedings,
- hearings, investigations,
- charges, complaints,
- claims, demands, injunctions, judgments,
- orders, decrees,
- rulings, awards, assessments,
- losses, damages,
- dues, penalties,
- fines, sanctions, costs (including court costs andinvestigative and remedial costs),
amounts paid insettlement, liabilities, obligations,
- Taxes, Liens, fees and expenses (including reasonable
- costs, fees andexpenses ofattorneys, accountants, experts andother agents orrepresentatives).
"Advisors" hasthemeaning setforth inSection 11.8(b).
"Affiliate" meansanyPerson incontrol orunder control of,orunder common control
- with, another Person.
Forpurposes oftheforegoing, "control,"
with respect to anyPerson, means(i) thepossession, directly orindirectly, ofthepower todirect or cause thedirection ofthemanagement andpolicies ofsuch
- Person, whether through ownership ofvoting securities orbycontract orotherwise, or(ii) direct orindirect ownership ofmorethan 50%oftheoutstanding securities.
"Af.filiated Group" meansanyaffiliated group within themeaning ofCode section 1504(a) filing aconsolidated federal Income TaxReturn oranysimilar group filing aconsolidated,
- combined, unitary orsimilar TaxReturn under acomparable provision
- ofstate, local orforeign law.
1
NON-PROPRIETARY "Agreemeg" hasthemeaning setforth inthefirst paragraph ofthis Agreement.
"Allocation" hasthemeaning setforth inSection 5.4(i)(iii).
"Allocation Statement" hasthemeaning setforth inSection 5.4(i)(iii).
"ANI"means American Nuclear Insurers.
"Atomic Enerrgy Act" meanstheAtomic Energy Actof1954.
"M" has the meaning setforth inSection 5.14(b).
"h" hasthemeaning setforth inSection 5.14(b).
"Basket Amount" hasthe meaning setforth inSection 10.5(c).
"Bonds" hasthemeaning setforth in Section 5.14(a).
"Businejis Daay" meansanydayotherthan aSaturday, aSunday oradayonwhich commercial banking institutions inNewYork, New York areauthorizedorrequired by Laworexecutive order tobeclosed.
"Buyer" hasthemeaning setforth inthefirst paragraph ofthis Agreement.
"M" hasthemeaning setforthin Section 10.1(a).
"Bu rMaterial Adverse Effect" "M"
means,collectively, the declarations, filings andregistrations
- with, notices to,andauthorizations, consents andapprovals of all Governmental Entities necessary forBuyer toexecute anddeliver this Agreement and the Related Agreements, asapplicable, andforBuyer toconsummate theContemplated Transactions andlisted onSchedule 4.4.
"Burdensome Condition" "Bap.roduct.MEerial" meansanyradioactive material (except Special Nuclear Material) yielded in, ormaderadioactive by,exposure totheradiation incident tothe 2
NON-PROPRIETARY process ofproducingorutilizing Special Nuclear
- Material, aswell asthose radioactive materials otherwise included inSection 11e.(2) oftheAtomic Energy Act(42 U.S.C.
@2014(e)(2)).
"Cap" hasthemeaning setforth inSection 10.5(c).
"Closing" hasthemeaning setforth inSection 8.1.
"Cl.osing Date" hasthemeaningsetforth inSection 8.1.
"M" means11:59 p.m.local timeinRichmond, Virginia on theClosing Date.
"Code" meansthe Internal Revenue Codeof1986, asamended.
"CommonStock" meansthe shares ofcommon stock oftheCompany, nopar value.
"C.
om.ggy" hasthemeaning setforthin the Recitals.
"CompanyG.uaranies" hasthemeaning setforth inSection5.9(c).
"Confidentiality.Agreement" hasthemeaning setforth inSection 5.1(a).
"W" meansthetransactions contemplated bythis Agreement andtheRelated Agreements.
"Contract" meansawritten
- contract, agreement,
- note, bond,
- mortgage, indenture, instrument orother legally enforceable written arrangement with anyPerson.
"m" meanstheD&DSite Consulting Support Agreement tobeexecuted atClosing, insubstantially theformofExhibitA hereto.
"Decommission" and"Deco.mmissi.oning" meanstheretirement, dismantlement andremoval oftheFacility (including theISFSI) incompliance with all applicable Nuclear Laws(including theapplicable requirements oftheAtomic Energy Actandthe NRC'srules, regulations, orders andpronouncements thereunder),
andthereduction or removal ofradioactivity attheSite oraround theSite toalevel that permits therelease of alloftheSite forunrestricted
- use, asdefined in10CFR20.1402.
"Decommi.ssioning.Studies" meansthelatest decommissioning study relating to theFacility andsubmitted totheNRC.
"m" meanstheAmended andRestated Qualified Nuclear Decommissioning Trust Agreement, dated January 1,2013, byand between theCompany, asgrantor, andTheNorthern Trust
- Company, astrustee.
3
NON-PROPRIETARY "DECON" isanNRCtermused todistinguish thestatus ofanuclear powerplant from SAFSTOR oroperating status; itisdefined asthemethod ofDecommissioning in which structures,
- systems, andcomponents that contain radioactive contamination are removed from asite andsafely disposed atacommercially operated low-level waste disposalfacility, ordecontaminated toalevel that permits thesite tobereleased for unrestricteduse shortly after itceases operation.
"M" or"DOE"meanstheUnited States Department of Energy.
"D.
epartment of.Justice" or"DOJ"meanstheUnited States Department ofJustice.
"DOEClaims" meansany action (and anyright tobring anaction) fordamages incurred
- bySeller, theCompany,or a Seller Affiliateprior totheClosing Dateagainst theUnited States (including butnotlimited totheactions pending orresolved intheU.S.
Court ofFederal Claims (Docket No.18-808))related toDOE'sfailure tocommence
- removal, transportation, acceptance oranydelay inaccepting Facility Spent Nuclear Fuel pursuant totheStandard Spent Fuel DisposalContract andtheNuclear WastePolicy Act.
"Dominion Marks" hasthemeaning setforth in Section 5.11.
"EmJloyee.Plans" hasthemeaning setforth inSection 3.12(a).
"M" meanstheEnergy Reorganization Actof1974, as amended.
"Environment" meansallsoil, real
- property, air, water (including surface waters,
- streams, ponds, drainage basins andwetlands),
groundwater, waterbodysediments, drinking watersupply, stream sediments, ambient air(including indoor air)or land, including land surface orsubsurface
- strata, including all
- fish, plant,
- wildlife, and other biota andanyother environmental medium ornatural resource.
"Environmental Claim" meansanyandall claims forAdverse Consequences against theCompany relating totheRelease orthreatened Release into theEnvironment ofHazardous Substances orpursuant toorrelating toanyapplicable Environmental
- Law, byanyPerson based
- upon, alleging, asserting, orclaiming anyactual (a)
Adverse Consequence under anyEnvironmental Law,(b) violation ofanyEnvironmental
- Permit, or(c)
Adverse Consequences forinvestigatory
- costs, cleanup
- costs, removal
- costs, remedial
- costs, response
- costs, natural resource
- damages, property
- damage, personal
- injury, fines, orpenalties arising outof,based on,resulting
- from, orrelated tothe
- presence, Release, orthreatened Release into theEnvironment ofanyHazardous Substances.
"W meansanylocation which islisted orformally proposed forlisting ontheNational Priorities
- List, theComprehensive Environmental
- Response, Compensation andLiability ActInformation
- System, theSuperfund Enterprise Management
- System, oronanysimilar state list ofsites requiring investigation or
- cleanup, orwhich isthesubject ofanyaction,
- suit, proceeding orinvestigation forany 4
NON-PROPRIETARY alleged violationofanyEnvironmental Law,oratwhich there hasbeen
- aRelease, or,to Seller's Knowledge, athreatened
- Release, ofaHazardous Substance.
"Environmental Laws" meansallapplicable Lawsregarding pollution, regulation orprotection ofthe Environment, theconservation andmanagement
- ofland, natural resources and wildlife orhumanhealth ortheOccupational Safety andHealth Act(only asitrelates toHazardous Substances), including Lawsregarding Releases orthreatened Releases ofHazardous Substances orotherwise relating tothegeneration,
- labeling, recycling, manufacture, processing, distribution,
- use, treatment,
- storage, Release, transport, disposal orhandling ofHazardous Substances.
"Environmental Laws"include theComprehensive Environmental
- Response, Compensation, andLiability Act(42 U.S.C.
9601etseq.),
the Hazardous Materials Transportation Act(49 U.S.C.
5101 etseq.),
theResource Conservation and Recovery Act(42 U.S.C.
6901etseq.),
the Federal Water Pollution Control Act (33 U.S.C. ig1251etseq.),
theClean AirAct(42 U.S.C.
7401etseq.),
theToxic Substances ControlAct(15 U.S.C.
Ag2601etseq.),
theOilPollution Act(33 U.S.C.
if2701et seq.),theEmergencyPlanning and Community Right-to-Know Act(42 U.S.C.@g 11001 etseq.)
and(as itrelates to Hazardous Substances) theOccupational Safety and Health Act(29 U.S.C.
651et seq.).
Notwithstanding theforegoing, "Environmental Laws" donotinclude Nuclear Laws.
"Environmental Permit" meansanyfederal, stateor local permits, licenses, approvals,
- consents, registrations, exemptions, orauthorizations required orissued byany Governmental Entity under orinconnection with anyEnvironmental Law, includingany andall
- orders, consent orders orbinding agreements issued orentered into bya Governmental Entity under anyapplicable Environmental Law.
"M" meanstheUnited States Environmental Protection Agency oranysuccessor agency thereto.
"ERISA" meanstheEmployee Retirement Income Security Actof1974, as amended.
"Excluded Assets" hasthemeaning setforth inSection 5.8(a).
"Excluded Contracts" hasthemeaning setforth inSection 5.8(a)(iv).
"Excluded Liabilities" hasthemeaning setforth inSection 5.8(c).
"Excluded Records" means(i) all corporate, financial, Tax,human resources and legal data andrecords that relate tothebusiness(es) generally ofSeller orits Affiliates (whether ornotrelating totheCompany, other thanthose records pertaining exclusively totheCompany, including, fortheavoidance
- ofdoubt, allrecords with respect to employee exposures filed with theNRC);(ii)
- anydata, software andrecords totheextent disclosure ortransfer isprohibited orsubjected topayment ofafeeorother consideration byanylicense agreement orother Contract with aPerson other than Affiliates
- ofSeller, orbyapplicable Law,andforwhich noconsent totransfer hasbeenreceived orforwhich Buyer hasnotagreed inwriting topaythefeeorother consideration, asapplicable; (iii) 5
NON-PROPRIETARY data andrecords relating toanysale bySeller orits Affiliate oftheCompany, (iv) any data orrecords that aresubject totheattorney-client privilege, other than(A) anysuch data or records pertainingexclusively totheCompany and(B) anysuch data orrecords pertaining primarily totheCompany andrelated totheDOEClaims (provided that each ofSellerand Buyer shall undertake commercially reasonable
- efforts, including execution ofacommon interest agreement aspermitted under Law,inorder topreserve the attorney-clientprivilege forbothSeller andBuyer oversuchshared data orrecords);
and (v) anydata and records relating primarily totheother Excluded Assets.
"Facility" means the nuclear powergenerating facility known astheKewaunee PowerStation, located inthe Town ofCarlton, County ofKewaunee, Wisconsin, andthe facilities, equipment,
- supplies, improvements andrecords related thereto including the ISFSI.
"FCC"meanstheFederal Communications Commission.
"Final Determination" meansthe last to occur of(i) adecision byacourt of competent jurisdiction that isnotsubject tofurther judicial
- review, (ii) theexpiration of thestatute oflimitations onboth the assessmentand refund ofTaxes, or(iii) anyother event that isafinal andirrevocable determination of liability forTaxes.
"W" meanthe representations andwarrantiesmadeby Seller
- orBuyer, asapplicable, inSection 3.1(Organizationand Corporate Power),
Section 3.2(Authorization; Validity),
Section 3.3 (Qualification and Corporate Powerof theCompany),
Section 3.5(Capital Stock),
Section 3.11 (Brokers), Section 4.1 (Organization andCorporate PowerofBuyer),
Section 4.2 (Authorization; Validity) and Section 4.5(Brokers).
"Goye.rnmental Entity" meansanyfederal,
- state, local,
- county, municipal, provincial, foreign orother governmental orquasi-governmental authority orregulatory
- body, court,
- tribunal, arbitrating
- body, governmental department, commission,
- board, body, self-regulating authority, bureau
- oragency, aswell asanyother instrumentalityor entity designated toactfororonbehalf ofanyoftheforegoing.
"Governmental Order" meansanyjudgment,
- decision, consent
- decree, injunction,
- ruling, writ, ororder ofanyGovernmental
- Entity, including thePSCWOrder.
"Greater ThanClass CWaste" meansLowLevel Wastethat under 10C.F.R. 61.55 isnotgenerally acceptable fornearsurface disposal.
"Hazardous Substance" meansanysubstance,
- material, product, derivative,
- compound, mixture,
- mineral, chemical, asbestos orasbestos-containing
- material, waste, medical wasteorgas(excluding natural gas),
- listed, regulated ordefined under any applicable Environmental Laworincluded within thedefinition ofa"hazardous substance,"
"hazardous waste,"
"hazardous material,"
"toxic chemical,"
"chemical substance,"
"hazardous chemical,"
"extremely hazardous substance,"
"pollutant,"
"contaminant" oranyother wordsofsimilar meaning within thecontext usedunder any applicable Environmental Law;excluding,
- however, anyNuclear Material.
6
NON-PROPRIETARY "High Level.aste" means(a) irradiated nuclear reactor
- fuel, (b) liquid wastes resulting fromtheoperation ofthefirst cycle solvent extraction
- system, orits equivalent, andthe concentrated wastes fromsubsequent extraction
- cycles, ortheir equivalent, ina facility for reprocessing irradiated reactor
- fuel, (c) solids into which suchliquid wastes have been converted, or(d) anyother material containing radioactive nuclides in concentrations or quantities that exceed NRCrequirements forclassification asLow Level Waste.
"M" meansafacility which isdesigned, constructed andoperated byoronbehalf ofthe Department ofEnergy forthestorage anddisposal of Spent Nuclear Fuel and High Level Wasteinaccordance with therequirements setforth intheNuclear Waste PolicyAct orsubsequent legislation.
"ISFSI" meansthe Independent Spent FuelStorage Installation designed and constructed fortheinterim storage ofSpent Nuclear Fuelincasks located ortobelocated attheSite, including all the componentsand systems associatedwith thecontainers in which theSpent Nuclear Fuel isstored.
"M" meansthe ISFSI Management Agreement tobe executed atClosing, substantially intheformofExhibit B hereto.
"Income Tax"meansanyfederal,
- state, local orforeign Taxmeasuredbyor imposed onnetincome, including anyinterest, penalty oraddition thereto, whether disputed ornot.
"Indebtedness" means(i) anyobligation orliability for borrowed
- money, including
- anyloans, advances,
- orswap, currency, interest rate derivative or hedging transactions (including lines ofcredit orsimilar facilities totheextent
- drawn, term
- loans, mortgage
- loans, bonds, debentures andnotes),
and(ii) all accrued but unpaidinterest relating toanyoftheforegoing obligations.
"I.ndemnified Pa.rty" hasthemeaning setforth inSection 10.2(a).
"Ih" hasthemeaning setforth inSection 10.2(a).
"Insurance Policies" hasthemeaning setforth inSection 3.14.
"IRS" meanstheUnited States Internal Revenue Service.
"IRS.Private Leger Ruhn.g" hasthemeaning setforth inSection 5.21(a).
"IRSSubmissions" hasthemeaning setforth inSection 5.21(a).
7
NON-PROPRIETARY "LE"meansanyapplicable constitutional provision,
- statute, ordinance orother law, rule, commonlawruling, regulation, orinterpretation ofanyGovernmental Entity and any decree, injunction,stay,
- judgment, order,
- ruling, decision, assessment
- orwrit, including allEnvironmental LawsandNuclear LawsandallGovernmental Orders.
"Liens" means liens,
- charges, security interests,
- options, pledges, claims or encumbrancesof asimilar nature.
"LowLevelWaste" meansradioactive material that(a) isneither Spent Nuclear
- Fuel, norByproduct Material and(b) theNRC,consistent withexisting Lawandin accordance with clause (a), classifies aslow-level radioactive waste "Marked Materials" has the meaning setforth inSection 5.11.
"Material Adverse Effect" 8
NON-PROPRIETARY "Material Contracts" means(i) eachContract towhich theCompany isaparty or bywhich itoranyof its property maybebound(other thanExcluded Contracts which obligate theCompanto make a e atefuture payments ofmorethan andare notterminable upon orless notice without payment ofanyfeeorother
- penalty, (ii) theStandard Spent Fuel Disposal Contract, and(iii) theDecommissioning Trust Agreement.
"Multiemplloyer Plan" meansa multiemployer
- plan, asdefined inSections 3(37) and4001(a)(3) ofERISA.
"NEIL" meansNuclear Electric Insurance Limited.
"NRC"meanstheUnited States Nuclear Regulatory Commission.
"NRCApyrovv.al" meanstheconsent ofNRCunder Section 184oftheAtomic Energy Actand10C.F.R.
650.80 forthetransfer ofthe NRC
- License, asapplicable, to
- Buyer, andapproval ofanyconforming license amendmentsor other relatedapprovals.
"NRCCommitments" meansallwritten regulatory commitments identified as suchbytheCompany totheNRC.
"NRCLicenses" meansanyandall
- licenses, orders,
- permits, approvals orother official actsbytheNRConthebasis ofwhich theCompany orits Affiliates are authorized toown,possess andoperate theFacility andNuclear Materials priorto the
- Closing, including theRenewed Facility Operating License No.DPR-43granted tothe Company.
"Nuclear Insurance Policies" meansall nuclear insurance policies carried byor forthebenefit oftheCompany with respect totheownership, operation ormaintenance oftheFacility, including allnuclear liability, property damage andaccident decontamination policies inrespect thereof.
Without limiting thegenerality ofthe foregoing, theterm"Nuclear Insurance Policies" includes policies issued oradministered byANIorNEILfortheFacility.
"Nuclear Laws" meansall Lawsrelating totheregulation ofnuclear powerplants; Nuclear Materials; thetransportation andstorage ofNuclear Materials; theregulation of Safeguards Information; theregulation ofnuclear fuel; theenrichment ofuranium; the disposal andstorage ofSpent Nuclear Fuel; contracts forandpayments into theNuclear WasteFund; andasapplicable, theantitrust lawsandtheFederal Trade Commission Act tospecified activities orproposed activities ofcertain licensees ofcommercial nuclear
- reactors, butshall notinclude Environmental Laws.
"Nuclear Laws"include theAtomic 9
NON-PROPRIETARY Energy Act, thePrice-Anderson Act; theEnergy Reorganization Act;Convention onthe Physical Protection ofNuclear Material Implementation Actof1982(Public Law97-351; 96 Stat.1663);
theForeign Assistance Actof1961(22 U.S.C.
@2429etseq.);
the Nuclear Non-Proliferation Actof1978(22 U.S.C.
@3201);
theLow-Level Radioactive Waste Policy Act(42 U.S.C.
2021b etseq.);
theNuclear WastePolicy Act;theLow-Level Radioactive WastePolicy Amendments Actof1985(42 U.S.C.
- ig2021d, 471);
theEnergy Policy Actof1992(4U.S.C.
13201 etseq.);
theEnergy Policy Actof 2005; the provisions of10CFR@73.21, andanystate orlocal Lawanalogous tothe foregoing.
"Nuclear Materials" means SourceMaterial, Special Nuclear
- Material, LowLevel
- Waste, Greater Than ClassC Waste, HighLevel
- Waste, Byproduct Material andSpent Nuclear Fuel.
"Nuclear WasteFund" meansthe fund established bySection 302(c) ofthe Nuclear WastePolicy Actinwhich thefees forthedesign, construction andoperation of aHighLevel Waste Repository andotheractivities relatedtothestorage anddisposal of Spent Nuclear Fuel isdeposited.
"NM" meansthe Nuclear Waste Policy Actof1982.
"M" hasthe meaningset forth inSection5.5(a).
"Outside Date" hasthemeaning setforth inSection 9.1(b).
"Parties" meansBuyerandSeller and"Party" meansBuyeror Seller, as applicable.
"PBGC"meansthePension Benefit Guaranty Corporation.
"PerClaim Threshold" hasthemeaning setforth inSection 10.5(c).
"Permits" hasthemeaning setforth inSection 3.7(a).
I "Permitted Liens" hasthemeaning setforth inSection 3.13.
"Permitted Restrictions" means(a) obligations imposed under this Agreement, (b) transfer restrictions ofgeneral applicability asmaybeprovided under theSecurities Act orother applicable Laws,(c) transfer restrictions contained inthearticles of incorporation orbylaws oftheCompany, and(d) theRight ofFirst Refusal.
"Person" meansandincludes anindividual, apartnership, ajoint
- venture, a
corporation,
- aunion, alimited liability
- company, atrust, anunincorporated organization oraGovernmental Entity oranyother separate legal entity recognized pursuant toLaw.
"W" meansthePlanning Services Agreement, dated thedate hereof byandbetween Buyer andtheCompany, which isattached asExhibit C
hereto.
10
NON-PROPRIETARY "W"
hasthemeaning setforth inSection 5.10(b).
"Pre-Closing TaxP.eriod" meansanytaxable yearorperiod that ends onorbefore the Closing Dateand, with respect toanyStraddle
- Period, theportion ofsuchStraddle Periodending asoftheClosing Date.
"Price-Anderson Act"meansSection 170oftheAtomic Energy Actandrelated provisions ofSection 11oftheAtomic Energy Act.
"Proffered Conditions" meanstheproffered conditions setforth inthePSCW Order.
"P.
roperties" hasthe meaning setforth inSection 3.13.
"PSCW"meansthePublicService Commission ofWisconsin.
"PSCWOrder" meansthe FinalDecision ofthePSCWdated April 21,2005 (Docket No.05-E1-136).
"Purchase Price" hasthemeaning set forth in Section 2.1(b).
"M" has themeaning setforth inSection 6.7.
"QND.T.Trustee" meanstheNorthern Trust
- Company, or anysuccessor, inits capacity astrustee oftheQualified Decommissioning Fund pursuant tothe Decommissioning Trust Agreement.
"M" or"QJi.DT"
- means, with respect tothe
- Company, theCompany's external trust fund forpurposes ofRestorationthat meets the requirements ofCodeSection 468AandSection 1,468A-5oftheTreasury Regulations andismaintained bytheCompany with respect totheFacility prior toClosingpursuant totheDecommissioning Trust Agreement.
"Reasonable Efforts" meanscommercially reasonable efforts.
"Records" meansthedata, books andrecords oftheCompany asoftheClosing
- Date, totheextent relating primarily totheCompany, excluding,
- however, theExcluded Records.
"R.
elated.A.geemen.t.s" hasthemeaning setforth inSection 5.10(b).
"Release" meansanyspilling,
- leaking, pumping,
- pouring, emitting,
- emptying, discharging, injecting,
- escaping, leaching, dumping ordisposing ofaHazardous Substance into theEnvironment (including theabandonment ordiscarding ofbarrels, containers orother closed receptacles containing anyHazardous Substances).
"M" means,collectively, theBuyer's Required Regulatory Approvals andtheSeller's Required Regulatory Approvals.
11
NON-PROPRIETARY "Restoration" means(i)
Decommissioning, (ii) anyother process required to restore theSite inaccordance with allapplicable Decommissioning
- Studies, Lawsand Governmental
- Orders, including thePSCWOrder (including asitpertains to Decommissioning) andall applicable requirements ofWisconsin
- Laws, totheextent applicable to retirement ofanuclear power plant(as well asanyplanning, obtaining required approvals from Governmental Entities, andadministrative activities incidental thereto);
and(iii) management ofSpent Nuclear Fueluntil acceptance byDOE.
"RestorationP.rojeg" meanstheRestoration oftheSite.
"Right.of.Fjrst.Refu.sal" means theRight ofFirst Refusal granted toWisconsin Public Service Corporationand Wisconsin PowerandLight Company bytheCompany onJune2,2005.
"Ruling Reguest" hasthe meaning setforth inSection 5.21(a).
"S&.P" meansS&PGlobal Inc.
"Safegugds.Infonnat on" means information thatisrequired tobeprotected under thetermsof10C.F.R.
@73.21-73.23.
"SAFSTOR" meansthemethod ofDecommissioning inwhichanuclear facility isplaced andmaintained inacondition that allows the facility tobesafelystored and subsequently decontaminated (deferred decontamination) tolevels thatpermitrelease for unrestricted use.
"Segion 338(h).(10)
Elecion" meansanelection described inSection 338(h)(10) oftheCodewith respect toSeller's sale oftheStock toBuyer pursuant tothis Agreement, andanycorresponding election under theTaxLawsofanyrelevant state.
"Section 338Forms" meansanInternal Revenue Service
- Form8023, together with anyschedules orattachments thereto that arerequired pursuant toSection 1.338(h)(10)
- 1(c) oftheTreasury Regulations, andanycorresponding
- forms, schedules, orattachments required tobefiled under theTaxLawsoftherelevant states.
"Securities Act"meanstheSecurities Actof1933, asamended.
"Seller" hasthemeaning setforth inthefirst paragraph ofthis Agreement.
"m" hasthemeaning setforth inSection 5.4(d).
"Seller Indemnified Parties" hasthemeaning setforth inSection 10.1(b).
"M" means,collectively, thedeclarations, filings andregistrations
- with, notices to,andauthorizations, consents andapprovals ofall Governmental Entities necessary forSeller toexecute anddeliver this Agreement andthe Related Agreements, asapplicable, andforSeller toconsummate theContemplated Transactions andlisted onSchedule 3.10.
12
NON-PROPRIETARY "S.ite" meanstheparcels ofreal property
- owned, used orleased bytheCompany for the Facility andsubject totheNRCLicenses, including thesurface andsubsurface elements, andthesoils andgroundwater present thereon.
"Source Material" means:(1) uranium orthorium, oranycombination
- thereof, in anyphysical or chemical form, or(2) oreswhichcontain byweight one-twentieth ofone percent (0.05%) or more of(i)
- uranium, (ii)
- thorium, or(iii) anycombination thereof.
"Source Material" does notincludeSpecial Nuclear Material.
"M" meansplutonium, uranium-233, uranium enriched in theisotope-233 orintheisotope-235, andanyother material that theNRCdetermines to be"Special Nuclear Material" but doesnotinclude Source Material.
"Special Nuclear Material" also refers toanymaterial artificially enriched byanyoftheabove-listed materials orisotopes butdoes notinclude SourceMaterial.
"S.pentliuclear Fuel."
means fuel that hasbeen permanentlywithdrawn froma nuclear reactor following irradiation and has not beenchemicallyseparated into its constituent elements byreprocessing.
Spent Nuclear Fuel includes Special Nuclear
- Material, Byproduct
- Material, Source Material,Greater ThanClass
- CWaste, andother radioactive materials associated with nuclear fuel assemblies.
t "m"
hasthe meaning setforth inSection 5.4(d)(ii).
"M" meansthe contract forDisposal ofSpent Nuclear Fueland/or HighLevel Radioactive
- Waste, No.DE-CR01-83 NE444 29,dated asofJune21,1983, asmodified onMarch24,1989, between the Department ofEnergy andWisconsin Public Service Corporation asassigned totheCompany onJuly 5,2005.
"Stock" hasthemeaning setforth intheRecitals.
"Straddle Period" meansanytaxable yearorperiod which begins onorbefore the Closing Dateandends after theClosing Date.
"Subsidiary" ofaPerson means(i) anycorporation, association orother business entity ofwhich 50%ormoreofthetotal voting powerofshares orother voting securities outstanding thereof isatthetimeowned orcontrolled, directly orindirectly, bythat Person oroneormoreoftheother Subsidiaries ofthat Person(or acombination thereof) and(ii) anypartnership orlimited liability company ofwhich such Person oroneormore oftheother Subsidiaries ofsuch Person(or anycombination thereof) isageneral
- partner, manager ormanaging member.
hasthemeaning setforth inSection 5.6.
"Tax.Authori.ty" meansanyGovernmental Entity responsible forthe administration ortheimposition ofanyTax.
13
NON-PROPRIETARY "Taxes"meanall
- federal, state,
- local, foreign andother netincome, gross
- income, gross receipts, sales, use,advalorem,
- transfer, franchise,
- profits, license,
- lease, service, service use, withholding,
- payroll, employment,
- excise, severance,
- transfer, registration, stamp, occupation,
- premium, property, windfall
- profits, fuel, value
- added, alternative or addonminimum, estimated, orother taxesofanykindwhatsoever imposed byany Governmental Entity, togetherwith anyinterest,
- penalty, oraddition
- thereto, andtheterm "Tax" meansany one oftheforegoing Taxes.
"TaxLaws"means theCode,
- federal, state,
- county, local orforeign laws relating toTaxesandanyregulations orofficialadministrativepronouncements released thereunder.
"TaxProceediing" hasthe meaning setforth inSection 5.4(f).
"TaxReturn" meansanyreturn, declaration,
- report, statement, claim forrefund, orother
- document, together withall amendments andsupplementsthereto (including all related andsupporting information) required tobefiled with aTaxAuthority.
"Title IVPlan" hasthemeaning setforth in Section 3.12(d).
"Transaction TaxDeduction" hasthe meaning set forth inSection 5.4(f).
"Transfer Tax"meansanysales,
- use, transfer, realproperty transfer,recording, stock transfer andother similar Taxandfees, including anyinterest, penalty oraddition
- thereto, whether disputed ornot;provided,
- however, that the term "Transfer Tax"shall notinclude anyIncome Tax.
"W" meanstheTransition ServicesAgreement tobe executed atClosing, insubstantially theformofExhibit Dhereto.
"Treasgy Regullations" meanstheregulations, including temporary regulations, issued bytheUnited States Treasury Department under theCode.
"U.S.
GAAP"meansaccounting principles generally accepted intheUnited States ofAmerica.
Section L2 Terms Generally.
Unless otherwise required bythecontext in which anytermappears:
(a)
Thesingular shall include theplural, theplural shall include the
- singular, andthemasculine shall include thefeminine andneuter andvice versa.
(b)References to"Articles",
"Sections",
"Schedules" or"Exhibits" shall betoarticles,
- sections, schedules orexhibits ofortothis Agreement, and references to"paragraphs" or"clauses" shall betoseparate paragraphs orclauses ofthesection orsubsection inwhich thereference occurs.
Thetitles ofsuch shall notcontrol oraffect themeaning orconstruction ofanytermsorprovisions 14
NON-PROPRIETARY thereof.TheSchedules andExhibits areincorporated andintended tobepartof thisAgreement.
(c)Thewords "herein,"
"hereof" and"hereunder" shall refer tothis Agreement asawhole andnottoanyparticular section orsubsection ofthis Agreement; andthewords "include,"
"includes" or"including" shall mean "including, without limitation."
(d) The term"day" shall meanacalendar
- day, commencing at12:00 a.m.(local timein Richmond, Virginia)
Theterm"month" shall meanacalendar month;
- provided, that when aperiod measured inmonths commences onadate other than thefirst day of amonth, theperiod shall runfromthedate onwhich it starts tothe corresponding date inthenextmonth
- and, asappropriate, to succeeding months thereafter.
Whenever aneventistobeperformed orapayment istobemadebyaparticular date and thedate inquestion falls onadaywhich is notaBusiness Day,theevent shall be performed, orthepayment shall
- bemade, onthenextsucceeding Business Day; provided, however,that all calculations shall bemaderegardless ofwhether anygiven dayisaBusiness Dayandwhether ornotanygiven period ends onaBusiness Day. Timeisoftheessence inthis g
Agreement.
(e)Allreferences toaparticular entityshall include such entity's h
successors andpermitted assigns unless otherwise specifically provided herein.
(f)Allreferences herein toanyLawortoanyContract shallbeto suchLaworContract asamended, supplemented ormodifiedfrom timetotime unless otherwise specifically provided herein.
(g)Allmonetary amountscontained inthis Agreement refer to the currency oftheUnited States.
(h)References to"or" shall bedeemed tobedisjunctive butnot necessarily exclusive (i.e.,
unless thecontext dictates otherwise, "or" shall be interpreted tomean"and/or" rather than"either/or").
(i)This Agreement wasnegotiated andprepared bytheParties with advice ofcounsel totheextent deemed necessary byeach Party; andnoneofthe provisions hereof shall beconstrued against anyParty ontheground suchParty is theauthor ofthis Agreement oranypart hereof.
ARTICLEU PURCHASE ANDSALEOFSTOCK Section 2.1 Purchase andSale oftheStock.
Subject tothetermsand conditions setforth inthis Agreement:
15
NON-PROPRIETARY (a)Transfer oftheStock.
AttheClosing, Seller shall
- sell, convey, transfer, assign, anddeliver
- toBuyer, andBuyer shall purchase fromSeller, all of the Stock, free andclear ofall Liens.
(b)
Purchase Price.
Theconsideration tobepaid fortheStock (the "Purchase Price@
ThePurchase Price shall bepaid bywire transferof immediately available funds toanaccount designated bySeller.
Seller shall provide wire instructions toBuyer atleast two(2)
Business Daysprior tothe Closing.
ARTICLE HI REPRESENTATIONS ANDWARRANTIES OFSELLER Except asotherwise disclosed inthis Agreement or totheextent relating to Excluded
- Assets, Seller hereby represents andwarrants toBuyer, asofthedate hereof andasoftheClosing Date(except where such representationor warranty isexpressly madeasofanother specific date),
asfollows:
Section 3.1 Organization andCorporate Power.
(a)Seller isacorporation duly organized, validly existing and ingood standing under thelawsoftheCommonwealth ofVirginia andhasfull corporate powerandauthority toexecute, deliver andperform this Agreement.
(b)TheCompany isacorporation duly organized andvalidly existing under thelaws oftheState ofWisconsin.
(c)Seller hasdelivered
- toBuyer, copies oftheCompany's articles of incorporation andbylaws, andthesamearetrue, correct andcomplete asamended through thedate hereof.
Suchorganizational documents areinfull force and
- effect, andtheCompany isnotinmaterial violation ofanyoftheprovisions of such organizational documents.
Section 3.2 Authorization; Validity.
(a)Theexecution, delivery andperformance bySeller ofthis Agreement, andtheRelated Agreements totheextent aparty
- thereto, andthe consummation bySeller oftheContemplated Transactions, arewithin its corporate powers andhavebeenduly authorized byall requisite corporate action onthepart ofSeller.
16
NON-PROPRIETARY (b)This Agreement, andattheClosing theRelated Agreements tothe extent aparty
- thereto, havebeenduly executed anddelivered bySeller
- and, assuming that this Agreement andtheRelated Agreements, asapplicable, constitute valid andbinding agreements ofBuyerandanyother party thereto and subject tothereceipt ofSeller's Required Regulatory Approvals andBuyer's Required Regulatory Approvals, this Agreement andtheRelated Agreements, as applicable, constitute thevalid andbinding obligation
- ofSeller, enforceable against Seller in accordance withtheir
- terms, except asenforceability maybe limited bybankruptcy, insolvency, reorganization, moratorium orother similar laws noworhereafter ineffectrelating tocreditors' rights generally, andgeneral equitable principles(whether considered inaproceeding inequity oratlaw).
Section 3.3 Qualification and Corporate PoweroftheCompany.
The Company isduly licensed orqualified to transact business asaforeign corporation in each jurisdiction inwhich thenature ofthe business transactedbyitorthecharacter of theProperties owned orleased byit requires such licensing orqualification.
The Company hasfull corporate powerand authority toown,lease orotherwise holdits interests intheProperties andassets andtocarry on itsbusiness asnowconducted.
Section 3.4 NoConflict.
Except assetforth on Schedule 3.4andSchedule 3.10, theexecution, delivery andperformance bySellerof this Agreement all other documents andinstruments delivered pursuant tothis Agreement towhichSeller isa party andtheconsummation bySeller ofthe Contemplated Transactions does notand will not(a)
- violate, conflict with orresult inabreach ofanyprovisions ofthearticles of incorporation orbylaws ofSeller ortheCompany, (b) violate any Law applicable to Seller ortheCompany, oranyorder ofanyGovernmental Entity having jurisdiction over Seller ortheCompany, except suchviolations which would nothaveaMaterial Adverse
- Effect, (c) violate orconflict
- with, orconstitute (with orwithout duenoticeor lapse of time orboth) adefault under anyMaterial
- Contract, except such violations, conflicts or defaults which would nothave aMaterial Adverse
- Effect, or(d) result inthe creation ofa LienuponanyoftheStock ormaterial assets orProperties oftheCompany other than Permitted
- Liens, Permitted Restrictions andanyLiens that maybecreated byoron behalf ofBuyer.
Section 3.5 Capital Stock.
(a)Seller ownsall oftheauthorized, issued andoutstanding capital stock oftheCompany, consisting of100shares ofCommonStock.
TheCompany isauthorized toissue upto1,000 shares ofCommonStock.
TheCompany does nothave anyauthorized class ofcapital stock other than theCommonStock.
The Company hasnotissued anyshares ofcapital stock other than shares ofCommon Stock.
There are(i) noauthorized oroutstanding subscriptions,
- warrants, options, convertible securities orother rights (contingent orotherwise) topurchase or otherwise acquire fromtheCompany anyequity interests oforintheCompany, (ii) nocommitments onthepart oftheCompany toissue
- shares, subscriptions,
- warrants, options, convertible securities, partnership interests orother similar
- rights, and(iii) noequity securities oftheCompany reserved forissuance forany 17
NON-PROPRIETARY such purpose.
TheCompany hasnoobligation (contingent orother) topurchase, redeem orotherwise acquire anyoftheir respective equity securities.
Except for this Agreement andtheRight ofFirst
- Refusal, there isnovoting trust or agreement, stockholders agreement, pledge agreement, buy-sell agreement, right offirst
- refusal, preemptiveright orproxy relating toanyequity securities ofthe Company.
Therearenooutstanding
- bonds, debentures, notesorother Indebtedness having theright tovoteonanymatters which holders ofCommon Stock mayvote upon. TheCompany does notownanyequity interests inany other Person.
(b)Allof the Stock isrepresentedbyacertificate andhasbeenduly authorized, validly issued, fully paid andnonassessable, andattheClosing shall befree andclear ofall Liens and restrictions ontransfer other thanPermitted Restrictions.
(c)AlloftheStock was issued inmaterial compliance withapplicable Lawsandpursuant toavalid exemption from registration under theSecurities Act.
Section 3.6 Indebtedness.
Except foranyIndebtedness owedtoAffiliates, which will beextinguished onorbefore
- Closing, the Company does nothaveany Indebtedness andisnotguaranteeing therepayment ofany Indebtedness ofanythird party.
Section 3.7 Compliance with Law;Proceedings.
(a)Except assetforth onSchedule 32,toSeller's Knowledge, (i) the Company is, andsince January 1,2020hasbeen, incompliance with all Laws and Permits applicable toits
- business, except forsuch noncompliance aswould not have aMaterial Adverse
- Effect, and(ii) since January 1,2020, the Company has notbeencharged with orunder investigation with respect toaviolation ofany applicable Law,except such violations aswould nothave aMaterial Adverse Effect.
Except assetforth onSc.hedule 32,theCompany hasall
- permits, licenses andother governmental authorizations necessary toown,lease orotherwise hold its interests intheProperties andassets andtoconduct its business ascurrently conducted
("Permits"),
except where thefailure toobtain thesamewould not have aMaterial Adverse Effect.
Except assetforth onS.chedu.1e 3.2, andexcept aswould nothaveaMaterial Adverse
- Effect, (i) each Permit isinfull force and effect inaccordance with its terms,(ii) there isnooutstanding written notice from anyGovernmental Entity regarding anyactual oralleged violation of,orfailure to comply inanymaterial respect
- with, anyapplicable Laws,(iii) there isno outstanding written notice oranyother notice ofrevocation, cancellation or termination ofanyPermit, and(iv) there arenoproceedings pending or,to Seller's Knowledge, threatened that seek therevocation, cancellation or termination ofanyPermit.
18
NON-PROPRIETARY (b)Except assetforth onSch there areno(i)
- actions, suits, claims, investigationsorproceedings (including anyadministrative proceedings, arbitration orother alternative dispute resolution proceedings) pending or,to Seller's Knowledge, threatened, against theCompany, atlaworinequity, civil or criminal innature,orbefore orbyanyGovernmental
- Entity, ineach casewhich would have aMaterial Adverse Effect or(ii) judgments, decrees ororders ofany such Governmental Entity outstanding against theCompany, ineach casewhich would have a Material Adverse Effect.
TheCompany isnotindefault with respect toanyorder, writ,injunctionordecree knowntoorserved uponthe Company byanyGovernmental
- Entity, except fordefaults which would nothave aMaterial AdverseEffect.
Section 3.8 TaxMatters.
(a)Except asset forth on Schedule 3.8:
(i)there have been properly completedandfiled onatimely basis all TaxReturns requiredto be filed bytheCompany onorprior to thedate
- hereof, except forsuch Tax Returns aswould nothaveaMaterial Adverse
- Effect, andasofthetime offiling, allsuchTaxReturns weretrue andcomplete inallmaterial respects; (ii)with respect toTaxperiods orportion thereofending onor prior totheClosing Date,(i)
Seller andthe Company have compliedwith allapplicable TaxLawsexcept forsuch non-compliance aswouldnot have aMaterial Adverse
- Effect, and(ii) all material Tax amounts required tobepaid toaGovernmental Entity orother Person withrespect tothe Company onorbefore thedate hereof have
- beenpaid, except such Taxes,
- ifany, assetforth onSchedule 3.8that arebeing contested ingood faith; (iii) nomaterial adjustments totheTaxliability ofthe Company hasbeenproposed inwriting (and arecurrently pending) byanyTax Authority inconnection with anyTaxReturn oftheCompany; and (iv)alldeficiencies asserted orassessments madeagainst the Company asaresult ofanyexaminations byanyTaxAuthority havebeen fully
- paid, orarefully reflected asaliability inthefinancial statements of theCompany previously provided
- toBuyer, orarebeing contested ingood faith andaredescribed onSchedule 3.8.
(b)Seller's representations andwarranties regarding theQualified Decommissioning Fundareaddressed inSection 3.17andnothing contained in this Section 3.8shall bedeemed tobearepresentation orwarranty with respect thereto.
Thegenerality ofanyother representations andwarranties inthis Agreement notwithstanding, Sections 3.8, 3.12 and3.17 contain thesole and exclusive representations andwarranties with respect toanyTaxmatters ofthe
- Company, including compliance with TaxLaws,thefiling ofTaxReturns, the 19
NON-PROPRIETARY paymentofTaxes, andaccruals forTaxesonanyfinancial statement orbooks and records.
Notwithstanding anything tothecontrary inthis Agreement, the representations andwarranties ofSeller inrespect ofTaxesshall belimited to Taxes attributable toTaxperiods (or portions thereof) ending onorbefore the Closing Dateandshall innoevent(i) provide support forclaims relating toTax periods (orportions thereof) beginning onorafter theClosing Dateor(ii) include the existence, amount orusability ofanyTaxattributes oftheCompany forTax periods (orportions thereof)beginning onorafter theClosing Date(such asnet operating
- losses, capital loss carry
- forwards, foreign taxcredit carry
- forwards, asset
- bases, research anddevelopment credits anddepreciation periods).
Section 3.9 Material Contracts.
Schedule 3.9lists all Material Contracts.
Except asotherwise setforth onSchedule 3.9:(i) each Material Contract
- isvalid, binding andinfull force andeffect, andisenforceable bytheCompany inaccordance with its
- terms, except asenforceability maybe limited bybankruptcy, insolvency, reorganization, moratorium orother similar laws noworhereafter ineffect relating tocreditors' rights generally, andgeneral equitable principles(whether considered inaproceeding inequity oratlaw),
(ii) theCompany isnotindefault under any Material Contract andhas performed theobligations required tobeperformed by ittodate under eachMaterial
- Contract, except forsuchnonperformance ordefaults as would nothave aMaterial Adverse
- Effect, and(iii) toSeller's Knowledge, there has not occurred amaterial breach ordefault byanyother party under anyMaterial Contract.
Section 3.10Consents andApprovals.
Except asset forth onSchedule.3.1.0, no registration orfiling
- with, orconsent orapproval oforother action by, any Governmental Entity oranyother Person is, orwill be,necessary forthevalid execution, delivery and performance bySeller ofthis Agreement andtheconsummation ofthe Contemplated Transactions, except where thefailure tomakeorobtain such registrations, filings,
- consents, orapprovals would nothaveindividually, orintheaggregate, aMaterial Adverse Effect (other thansuch registrations,
- filings, consents, approvals orother actions which become applicable toSeller asaresult ofthespecific regulatory status ofBuyer (or anyofitsAffiliates) ortheresult ofanyother facts that specifically relate tothe business oractivities inwhich Buyer(or anyofitsAffiliates) isorproposes tobe engaged).
Section 3.11Brokers.
Neither Seller noranyofits Affiliates (including the Company) hasengaged anybroker, finder oragent inconnection with theContemplated Transactions which mayresult inobligations ofBuyer oranyofits Affiliates (including theCompany, fromandafter Closing) topayanybrokerage orfinder's commission, fee orsimilar compensation asaresult oftheexecution anddelivery ofthis Agreement orthe consummation oftheContemplated Transactions.
Section 3.12Employees; ERISA.
(a)Schedule 3,12.(al lists all oftheemployee benefit plans and
- programs, including (i) all retirement, savings andother pension plans; (ii) all
- health, severance, insurance, disability andother employee welfare plans; and(iii) 20
NON-PROPRIETARY all employment, incentive, vacation andother similar
- plans, whether ornot subject toERISAandwhether covering oneperson ormorethan oneperson, that are maintained bySeller oranyAffiliate with respect toanyemployees ofthe Company ortowhich Seller oranyAffiliate contributes onbehalf ofanysuch employees (the "Emp.loyeePlans").
(b)
AllEmployeePlans comply with
- ERISA, theCodeandother applicablelaws, except such non-complianceaswould not,individually orinthe aggregate, have aMaterial Adverse Effect.
(c)
AllEmployee Plans intended tobequalified under Section 401of theCodehave filed for or received favorable determination letters with respect to suchqualified status from the Internal Revenue Service.
Thedetermination letter foreachsuch Employee Plan remains ineffect,
- and, toSeller's Knowledge, any amendment
- made, orevent relating tosuch anEmployee Plansubsequent tothe date ofsuch determination letter,has not materially andadversely affected the qualified status oftheEmployee Plan.
(d)NoEmployee Plan that issubject toTitle IVofERISA(a "Title IV Plan")
orSection 430oftheCodeisconsidered "at-risk",
within themeaning of Section 430(i)(4) oftheCode,andtoSeller's Knowledge, nocondition exists which would bereasonably expected toresult inany such plan becoming"at-risk" asofthelast dayofthecurrent plan year.
ThePBGC has notinstituted proceedings toterminate anyTitle
- IVPlan, and, toSeller's Knowledge, noother event orcondition hasoccurred which would reasonably be expected toconstitute grounds under Section 4042ofERISAforthe termination of,or the appointment ofatrustee toadminister, anysuchTitle IVPlan.
(e)NoEmployee PlanisaMultiemployer PlanandneitherSeller nor anyAffiliate hasincurred orreasonably expects toincur anyliability for withdrawal fromaMultiemployer Plan.
(f)TheCompany isandhasbeenincompliance with all applicable Lawsrespecting employment andemployment practices, including hiring and termination ofemployees, andincluding lawful classification ofindependent contractors, except suchnon-compliance aswould nothaveaMaterial Adverse Effect.
TheCompany hasnooutstanding liability inconnection with the termination ofemployment ofits employees, except anysuchliability aswould nothave aMaterial Adverse Effect.
TheCompany hascomplied with anddoes nothaveanyoutstanding liability under theWorker Adjustment andRetraining Notification Act,oranysimilar applicable
- foreign, state orlocal Lawwith respect toemployee layoffs (collectively, the"WARNAct"),
except suchnon-compliance orliabilities that would nothave aMaterial Adverse
- Effect, andhas noplans totake anyaction prior toClosing that would reasonably beexpected to trigger theWARNAct.
21
NON-PROPRIETARY (g) Except assetforth onSchedule.3.J2 andaswould nothave a
Material Adverse
- Effect, there arenotnow,norwithin thepastthree (3) years have there
- been, anyactions,
- suits, claims, orproceedings relating toanylabor, employment, orsafety matters involving anycurrent orformer
- employee, applicant, ornon-employee worker (such asanindependent contractor) ofthe Company.
Nosuch
- actions, suits,
- claims, orproceedings arecurrently pending beforeaGovernmental Entity
- and, toSeller's Knowledge, nosuch
- actions, suits orclaimshave been threatened since January 1,2018.
TheCompany isnota party to,orotherwise boundby,anyconsent decree
- with, orcitation by,any Governmental Entity relating toemployees oremployment practices.
(h)TheCompany isnotunder aduty tobargain orunder anyother obligations with respect to any laborunion, workscouncil, employee representative, labor boardor similar association.
Section 3.13Title toReal Property; Ownership ofSite.
TheCompany hasgood andvalid
- fee, easement, leasehold, licenseor other similartitle inthereal property included intheSite(the "Propertiies"),
free and clear ofanyLiens, except for:(a)
Liens andencumbrances setforth onSc.ladule 3J3.(a),(b) Liens forcurrent Taxes orother governmental charges orassessments notyetdueand payable orbeing contested ingood
- faith, (c)
Liens
- ofrecord, (d)
- zoning, entitlement, conservation restriction andother land useandenvironmental regulations imposed byanyGovernmental Entity,(e)
Liens to lenders incurred ondeposits madeintheordinary course ofbusiness inconnection with maintaining bankaccounts, (f)
Liens intheordinary course ofbusiness inconnection withworkers' compensation, unemployment insurance andother types ofsocialsecurity, ortosecure theperformance oftenders, statutory obligations, surety and appeal bonds,
- bids, leases, government contracts, governmental
- permits, licenses andapprovals, performance andreturn-of-money bonds andother similar obligations, (g) materialmen's, warehousemen's andmechanics' Liens andother Liens arising byoperation of law inthe ordinary course ofbusiness forsumsnotyetdue,(h) therights oftheparties pursuant to this Agreement andanyother instruments tobedelivered hereunder, (i) rights underany Material
- Contract, Permit, Environmental
- Permit, orNRCLicense orNRCCommitment, oftheCompany and(j) suchother
- Liens, imperfections inorfailures
- oftitle, easements,
- leases, licenses, restrictions, activity anduselimitations, asdonothave aMaterial Adverse Effect (the Liens described insubsections (a)-(j) shall bereferred toherein as a
,,y Section 3.14Insurance.
Schedule 3.14setsforth alist ofthematerial insurance
- policies, including Nuclear Insurance
- Policies, maintained bytheCompany orbySeller onbehalf oftheCompany(the "Insurance Policies").
TheInsurance Policies areinfull force andeffect, all premiums with respect thereto that aredueandpayable havebeen paid(other than retroactive premiums which maybepayable inthefuture with respect to theANIorNEILpolicies),
andtheCompany hasreceived nowritten notice ofany pending orthreatened cancellation, non-renewal ortermination ofsuchpolicies.
There arenopending material claims against Insurance Policies astowhich insurers have denied liability,
- and, toSeller's Knowledge, there arenoclaims that have notbeentimely submitted bytheCompany orSeller (on behalf oftheCompany) totherelated insurers.
22
NON-PROPRIETARY Section 3.15Compliance with Environmental Laws.
(a)TheCompany hasobtained andholds theEnvironmental Permits listed onSchedule.3.25(a),
which areall material Environmental Permits used in ornecessary fortheownership andpossession oftheFacility asconducted asof the date hereof, exceptaswould nothaveaMaterial Adverse Effect.
(b)
Except assetforth onScheMe.315(bl, (i) theCompany isin compliance with applicable Environmental LawsandEnvironmental
- Permits, except forsuch non-compliance aswould nothave aMaterial Adverse
- Effect, (ii) there arenoEnvironmental Claims pending or,toSeller's Knowledge, threatened against theCompany, orwith respect totheFacility, except forclaims which would nothave aMaterialAdverse Effect,(iii)
Hazardous Substances have not beenReleased bythe Company at any Properties that arecurrently notin compliance with applicable Environmental Lawsthat would result inaMaterial Adverse Effect andnoHazardous Substances arepresent at,on,orunder orare migrating fromtheSite, that are reasonably likely togive rise toamaterial Environmental Claim against the Company which wouldhaveaMaterial Adverse
- Effect, (iv) except assetforth onSc.lledule 325.(bl, totheSeller's Knowledge, no consent orapproval oforother action byanyGovernmental Entity isnecessary under anyEnvironmental Lawsorwith respect toany Environmental Permit listed onSec11efl.ule.11.5(al fortheconsummation ofthe Contemplated Transactions, except where thefailure toobtain such consents orapprovals would nothave aMaterial Adverse
- Effect, and(v) neither theSitenor any portion thereof isanEnvironmental Clean-up Site andtheCompany has not generated, transported orarranged, bycontract, agreement orotherwise, fortreatment,
- storage, handling, disposal ortransportation ofanyHazardous Substances from theSite toanylocation which isanEnvironmental Clean-up
- Site, except as would nothaveaMaterial Adverse Effect.
(c)ToSeller's Knowledge, theCompany hasmadeavailable toBuyer copies ofall(i) currently active material Environmental Permits and(ii) material
- reports, assessments, audits andother material documents relating tothe environmental condition ofanyreal property currently orformerly
- owned, operated orleased bytheCompany ortheCompany's compliance with Environmental Laws,ineach casewith respect totheitems described inthis clause (ii),
solely totheextent (A) inthepossession orunder thecontrol ofthe Company oranyofits Affiliates, (B) prepared byathird party and(C) dated onor after March31,2015.
(d)Therepresentations andwarranties madebySeller inthis Section 3.15 aretheexclusive representations andwarranties madetoBuyer relating to environmental matters.
23
NON-PROPRIETARY Section3.16NRCLicenses.
(a)TheCompany hastheNRCLicenses that arenecessary forthe ownership andpossession oftheFacility aspresently conducted, pursuant tothe requirements ofall Nuclear Lawsandallsuchlicenses areinfull force andeffect.
TheCompany isincomplianceinallmaterial respects withall Nuclear Lawsand all
- orders, rules, regulations, ordecisions oftheNRCapplicable toitwith respect tothe
- Facility, except asidentified onSchedule 3316(al orsuchnon-compliance aswould nothave aMaterial Adverse Effect.
TheCompany hasnotreceived any written notification which remainsunresolved that itisinmaterial violation ofthe NRCLicenses, orany order, rule, regulation, ordecision oftheNRCandthere are noproceedings pending before orbyanyGovernmental Entity with respect tothe NRCLicenses, ineach case which wouldhave aMaterial Adverse Effect.
Schedule.3.16(al sets forthall NRC Licenses applicable totheFacility and currently ineffect.
(b)ToSeller's Knowledge, all material records required tobekept m
accordance with Nuclear LawsandtheNRC Licenses that arerelevant tothe Restoration oftheFacility have been keptin material conformance withNuclear LawsandtheNRCLicenses, andsuch records do notcontainanyfraudulent or intentionally false ormisleading statements, omissions, orinformation.
Section 3.17Qualified Decommissioning Fund.
i (a)Except asdescribed onSchedule.3.12(al:
(i) the Qualified Decommissioning Fundisatrust, validly existing under the Laws of theStateof
- Illinois, with all requisite authority toconduct its affairs asitnowdoes; (ii)the Qualified Decommissioning Fundsatisfies therequirements necessaryfor such fund tobetreated asa"Nuclear Decommissioning Reserve Fund" withinthe meaning ofSection 468AoftheCodeanda"nuclear decommissioning fund" and a"qualified nuclear decommissioning fund" within themeaning ofSections 1.468A-1(b)(4) and1.468A-5 oftheTreasury Regulations; (iii) theQualified Decommissioning Fundisincompliance inallmaterial respects withall applicable LawsoftheNRC,theIRS,PSCWandanyother Governmental Entity; (iv) theQualified Decommissioning Fundhasnotengaged inanyactsof"self-dealing" asdefined inSection 1.468A-5(b)(2) oftheTreasury Regulations; and (v) no"excess contribution,"
asdefined inSection 1.468A-5(c)(2)(ii) ofthe Treasury Regulations (or anyamounttreated asan"excess contribution" pursuant toanyprovision ofSections 1.468A-1 through 1.468A-9 oftheTreasury Regulations),
hasbeenmadetotheQualified Decommissioning Fundwhich has notbeenwithdrawn within theperiod provided under Section 1.468A-5(c)(2)(i) of theTreasury Regulations.
(b)Seller hasmadeavailable toBuyeratrue, correct andcomplete copyoftheDecommissioning Trust Agreement asineffect onthedate ofthis Agreement, andtoSeller's Knowledge there arenoother restrictions or 24
NON-PROPRIETARY encumbrances ontheuseoftheQualified Decommissioning FundforRestoration purposes apart fromthose setforth intheDecommissioning Trust Agreement and under theNuclear LawsandTreasury Regulations.
(c) ToSeller's Knowledge, theCompany orthetrustee ofthe Qualified Decommissioning Fundhasfiled orcaused tobefiled with
- theNRC, PSCWand any other Governmental Entity all material
- forms, statements,
- reports, documents (including all
- exhibits, amendments andsupplements thereto) required tobefiled bysuch entities.
There arenointerim rateorders that maybe retroactively adjusted orretroactive adjustments tointerim rateorders that may materially affect amounts thattheCompany maycontribute totheQualified Decommissioning Fund or may requiredistributions tobemadefromthe Qualified Decommissioning Fund. There arenocurrent pending (or toSeller's Knowledge, threatened) requests forarevisedschedule ofruling ordeduction amounts with respect tothe Qualified Decommissioning Fund.
(d)ToSeller's Knowledge, (i)theQNDTTrustee oftheQualified Decommissioning Fundhasfiled orasof the Closing Datewill havefiled all material TaxReturns andother required filings tobefiled onorprior tothe Closing Datewith respect toall taxable periods ending onorprior totheClosing
- Date, including forms forestimated Income
- Taxes, and whenfiled suchTax Returns andother filings
- weretrue, correct and complete inall material
- respects, (ii) all Taxes shown tobedueonsuch TaxReturns have been paid
- infull, and(iii) except asshown onSchedule 3J2(d).,
nonotice ofdeficiency orassessment has beenreceived fromanyTaxAuthority with respect toanyAdverse Consequence forTaxesoftheQualified Decommissioning Fundwhich havenot been fully paid orfinally settled orisbeing contested ingoodfaith through appropriate proceedings.
Except assetforth onSche.dule 322@,there arenooutstanding agreements orwaivers extending theapplicable statutory periods oflimitations for anyTaxesassociated with theQualified Decommissioning Fundforanyperiod.
ToSeller's Knowledge, noclaim hasbeenmadeinwriting byaGovernmental Entity inajurisdiction where theQualified Decommissioning Funddoes notfile TaxReturns that theQualified Decommissioning Fundisormaybesubject to taxation inthat jurisdiction.
TheQualified Decommissioning Fundhasnot participated inatransaction that isdescribed asa"reportable transaction" within themeaning ofTreasury Regulation
@1.6011-4(b)(1).
(e)Subject tothereceipt ofRequired Regulatory Approvals, Seller andtheQNDT Trustee oftheQualified Decommissioning
- Fundhave, orasof Closing will
- have, allrequisite authority tocause thetransfer ofcontrol ofthe Qualified Decommissioning Fundinaccordance with this Agreement.
(f)Therepresentations andwarranties madebySeller inthis Section 3.17 aretheexclusive representations andwarranties madetoBuyer relating to theQualified Decommissioning Fund.
25
NON-PROPRIETARY Section3.18DOEClaims.
AllDOEClaims that havebeenfiled have been made bytheCompany(and notbyits parent oraCompanyAffiliate) asclaimant, andall damages represented within suchDOEClaims havebeenincurred bytheCompany(and notbyits parent oraCompany Affiliate).
ARTICLEIV REPRESENTATIONS ANDWARRANTIESOFBUYER Except asotherwise disclosed inthis Agreement, Buyer hereby represents and warrants
- toSeller, asof the datehereofandasoftheClosing Date(except wheresuch representation orwarranty is expressly madeasofanother specific date),
asfollows:
Section 4.1 Organization andCorporate Power ofBuyer.
Buyerisalimited liability company duly organized,validly existing andingoodstanding under thelawsof Delaware andhasfull limited liability company powerandauthority toexecute, deliver andperform this Agreement andthe Related Agreements totheextent aparty thereto.
Section 4.2 Authorization; Validity.
(a)Theexecution, delivery andperformance byBuyer ofthis Agreement, andtheRelated Agreements tothe extent aparty
- thereto, andthe consummation byBuyeroftheContemplated Transactions, arewithin its limited liability company powers andhavebeenduly authorized byall requisitelimited liability company action onthepartofBuyer.
(b)This Agreement, andattheClosing the Related Agreements tothe extent aparty
- thereto, havebeendulyexecuted anddelivered by Buyer, assuming that this Agreement andtheRelated Agreements, asapplicable, constitute valid andbinding agreements ofSeller andanyother party thereto and subject tothe receipt ofSeller's Required Regulatory Approvals andBuyer's Required Regulatory Approvals, this Agreement andtheRelated Agreements, asapplicable, constitute thevalid andbinding obligations
- ofBuyer, enforceable against Buyer inaccordance with their
- terms, except asenforceability maybelimited by bankruptcy, insolvency, reorganization, moratorium orother similar laws nowor hereafter ineffect relating tocreditors' rights generally, andgeneral equitable principles (whether considered inaproceeding inequity oratlaw).
Section 4.3 NoConflict.
Except fortherequired consents andapprovals identified onSchedule 4.4, theexecution, delivery andperformance byBuyerofthis Agreement andall other documents andinstruments delivered pursuant tothis Agreement towhich Buyer isaparty andtheconsummation byBuyer oftheContemplated Transactions does notandwill not(a)
- violate, conflict with orresult inabreach ofany provisions ofthecertificate offormation orlimited liability company operating agreement
- ofBuyer, (b) violate anyLawapplicable
- toBuyer, oranyorder ofany Governmental Entity having jurisdiction overBuyer, except such violations which would nothave aBuyer Material Adverse
- Effect, or(c) violate orconflict
- with, orconstitute (with orwithout duenotice orlapse oftime orboth) adefault
- under, inanymaterial 26
NON-PROPRIETARY
- respect, anymaterial
- note, bond,
- mortgage, indenture,
- license, lease,
- contract, agreement or other instrument orobligation bywhich Buyer oranyoftheir assets
- arebound, except such violations, conflicts ordefaults which would nothave aBuyer Material Adverse Effect.
Section 4.4 ConsentsandApprovals.
Except assetforth onSchjedule 4A,no registration orfiling with, orconsent orapproval oforother action by,anyGovernmental Entity oranyother Person is, orwill be,necessary forthevalid execution, delivery and performance byBuyer of thisAgreement andtheconsummation oftheContemplated Transactions, except where the failuretomakeorobtain suchregistrations,
- filings, consents, orapprovals would not haveindividually, orintheaggregate, aBuyerMaterial Adverse Effect.
Section 4.5 Brokers.
Neither Buyer noranyofits Affiliates hasengaged any
- broker, finder oragent inconnection with the Contemplated Transactions which may result inobligations ofSeller oranyofits Affiliates (includingtheCompany, prior to Closing) topayanybrokerage orfinder's commission, feeorsimilar compensation asa result oftheexecution anddelivery ofthis Agreement orthe consummation ofthe Contemplated Transactions.
Section 4.6 Availability ofFunds.
Buyer currently hassufficientfunds available toitthrough corporate
- funds, credit facilities and access tocapital markets to paythePurchase Price ontheClosing Dateandtoenable Buyer totimely perform allof itsobligations under this Agreement.
Section 4.7 Investment.
Buyerisacquiring theStock for its own
- account, for thepurpose ofinvestment andnotwith aview to,orforsale inconnection with, any distribution thereof assuch termisusedinconnection with the registrationprovisions of theSecurities Act.Buyeracknowledges that theStock isnotregistered underthe Securities
- Act, anyapplicable state securities Lawsoranyapplicable foreign securities i
Laws,andthat theStock maynotbetransferred orsold except pursuant tothe registration provisions oftheSecurities Actorapplicable foreign securities Lawsorpursuant toan applicable exemption therefrom andpursuant toapplicable state securities LawsBuyer (either alone ortogether with itsAdvisors) hassufficient knowledge andexperience in financial andbusiness matters soastobecapable ofevaluating themerits andrisks ofits investment intheStock andiscapable ofbearing theeconomic risk ofsuchinvestment.
Section 4.8 Litigation.
Except assetforth onScheduleA8, there areno
- actions, suits,
- claims, investigations orproceedings (including anyadministrative proceedings, arbitration orother alternative dispute resolution proceedings) pending or,to theknowledge
- ofBuyer, threatened against
- Buyer, whether atlaworinequity and whether civil orcriminal
- innature, before orbyanyGovernmental
- Entity, norarethere anyjudgments, decrees ororders ofanysuch Governmental Entity outstanding against
- Buyer, inanycasewhich have
- orif, adversely determined, could
- have, aBuyer Material Adverse Effect.
l 27
NON-PROPRIETARY Section4.9 Foreign Ownership orControl.
Buyerwill conform tothe restrictions onforeign ownership, control ordomination contained inSections 103dand 104d of theAtomicEnergy Actof1954, asamended, 42U.S.C.
2133(d) and2134(d),
asapplicable, andtheNRC'sregulations in10C.F.R.
@50.38.
Buyerisnotcurrently
- owned, controlled ordominatedbyaforeign entity andwill notbecome
- owned, controlledordominated byaforeign entity before theClosing Date.
Section 4.10 Qualified Buyer.
AsoftheClosing, theBuyer will bequalified to obtain orholdany
- Permit, Environmental
- Permit, NRCLicense orNRCCommitment necessary forBuyer toown andoperatetheFacility andwill meettheNRCfinancial qualifications for purposesof satisfying its obligations ofRestoration pursuant toSection 5.13 hereof.
ARTICLE V
COVENANTS; ADDITIONAL AGREEMENTS Section 5.1 Access toInformation; Continuing Disclosure.
(a)Uponreasonable notice and subject tocompliancewith all applicable NRCrules andregulations, and other applicable Lawsorregulatory requirements, Seller shall provide (i) reasonable access, atreasonabletimes and uponreasonable notice during normal business hours, totheFacility,Properties, andRecords,
- provided, however, that Seller shall have the rightto(A) havea Seller representative(s) present with such Buyer representative(s) atalltimes that such Buyerrepresentative(s) isonanyoftheCompany'sor its Affiliates' Properties, and(B) impose reasonable restrictions and requirements onsuch access asnecessary forsafety andsecurity purposes; (ii) the furnishing of financial andoperating data andother information reasonably requested byBuyer regarding theCompany, theSite ortheFacility; and(iii) the furnishing of copies ofeachmaterial draft orfinal
- report, schedule orother document filed orreceived byitsince thedate hereof with respect totheFacility with thePSCW,NRCor anyother Governmental Entity having jurisdiction overtheFacility.
Buyer will useReasonable Efforts tominimize anydisruption tothebusiness ofSeller and theCompany that mayresult fromtherequests foraccess, data andinformation hereunder.
Promptly uponcompletion ofanysuch access bysuch Buyer representative(s),
Buyershall indemnify Seller andits Affiliates foranyAdverse Consequences incurred bySeller andcaused bysuchBuyer representative(s) during such
- access, including foranyproperty damage orpersonal injury.
Seller andtheCompany shall notberequired totake anyaction that would constitute a
waiver oftheattorney-client privilege.
Seller andtheCompany need notsupply toBuyer anyinformation that Seller ortheCompany isprohibited under applicable Laworanyother legal obligation fromsupplying.
Allinformation furnished byoronbehalf ofSeller ortheCompany hereunder shall besubject to thetermsoftheMutual Confidentiality andNon-Disclosure Agreement dated as ofJune10,2019between Seller andBuyer(the "Confidentia.hi.ty.
Agreement").
TheConfidentiality Agreement shall continue toapply inaccordance with its 28
NON-PROPRIETARY termsuntil theClosing (without regard toits term),
butshall terminate asof Closing.
(b) UponBuyer's orSeller's (as thecasemaybe) prior consent (which consent shall notbeunreasonably withheld ordelayed),
Seller orBuyer (as the case maybe) mayprovide proprietary information oftheother Party tothe PSCW,NRC oranyother Governmental Entity having jurisdiction overthe
- Facility, asmay benecessary toobtain Seller's Required Regulatory Approvals or Buyer's Required Regulatory Approvals, asthecasemaybe.Thedisclosing Party shall seek confidential treatment foranyproprietary information provided toany such Governmental Entity andthedisclosing Party shall notify theother Party as farinadvance aspractical ofits intentiontorelease toanyGovernmental Entity anysuchinformation.
To ensure that theexchange ofinformation andmaterials between theParties andtheir Affiliates, asapplicable, inconnection with obtaining theSeller's RequiredRegulatory ApprovalsandtheBuyer's Required Regulatory Approvals, does notdiminish the confidentiality ofanysuchmaterials anddoes notconstitute anexpress orimplied waiverofanyright orprivilege, including theattorney-client privilege,the Parties agree toexecute common interest agreement(s),
with customary terms and conditions, asneeded.
Section 5.2 Consents andApprovals.
(a)R.ight.of First Refusal.
TheParties agree tosendjoint notice and other required documentation tothegrantees ofthe Right of First Refusalassoon asreasonably practicable, butinnoeventlater than five (5)Business Daysafter thedate ofthis Agreement andtake suchother actions necessary to comply with 1
theprovisions oftheRight ofFirst
- Refusal, including actions necessary tostart thesixty (60) dayoption exercise period setforth intheRight ofFirst Refusal.
J (b)NRC.Aspromptly aspracticable, butinnoevent later than fourteen (14) daysafter thedate ofthis Agreement, Buyer andSeller shall file with NRCajoint application fortheNRCApproval (it being understood and agreed that itistheintention oftheParties that such joint application befiled m
coordination with thefilings re ired tobemadewiththePSCWinaccordance i
with Section 5.2 1
Thereafter, Buyer andSeller shall cooperate with oneanother tofacilitate NRCreview ofthe application, including byproviding theNRCstaff withsuchdocuments or information that theNRCstaff mayrequest orrequire anyoftheParties to provide orgenerate.
(c)Wisconsin.
Aspromptly aspracticable following thecommunity outreach efforts referenced
- below, butinnoeventlater thanthirty (30) days after j
thedate ofthis Agreement, Buyer andSeller shall each makethefilings with the j
PSCWrequired bythePSCWOrder andtheProffered Conditions, without j
seeking anymodification totheProffered Conditions, setforth inSchedule 3.10 andSchedule 4.4(it being understood andagreed that itistheintention ofthe 29
NON-PROPRIETARY Partiesthat such filings required tobemadewith thePSCWbefiled in coordination with thefiling ofthejoint application with theNRCinaccordance with Section5.2(b) above).
Aspromptly aspractical prior tosubmitting any application contemplated bythis Section 5.2(c),
thesubmitting Party shall provide adraft ofsuchapplicationtotheother Party forreview andcommentandthe submitting Partyshall in faith considerrevisions reasonabl r
ested the review' P
i (d) General Provisions.
(i)Subject totheterms and conditions ofthis Agreement,
- Seller, ontheonehand,
- andBuyer, onthe other hand,shall each usetheir respective reasonable best efforts to(i) cause the Contemplated Transactions tobeconsummated assoonaspracticable, (ii) make promptly anyrequired submissions andfilings toGovernmental Entities with respect toContemplated Transactions, (iii) promptly furnish information required inconnection with such submissions and filingsto suchGovernmental
- Entities, (iv) keep theother Parties reasonably informed (on atimely basis) with respect tothestatus ofanysuch submissions andfilings tosuch Governmental
- Entities, including with respect to:(A) thereceipt ofanynon-action,
- action, clearance,
- consent, approval
- orwaiver, (B) thecommencement orproposed orthreatened commencement ofanyinvestigation, litigation oradministrative or judicial action orproceeding under applicable Laws,and(C) thenature andstatus ofanyobjections raised orproposed orthreatened toberaised with respect totheContemplated Transactions and(v) obtain allactions or non-actions, approvals,
- consents, waivers, registrations,
- permits, j
authorizations andother confirmations fromanyGovernmental Entities necessary toconsummate theContemplated Transactions assoonas l
possible.
(ii)
Infurtherance andnotinlimitation oftheforegoing:
(i) eachParty agrees to(A) maketheappropriate filings with theNRCand j
PSCWwith respect totheContemplated Transactions aspromptly as j
reasonably practicable following thedate ofthis Agreement andasset forth
- above, (B) supply assoonaspracticable anyadditional information anddocumentary material that mayberequested, and(C) useits reasonable best efforts
- totake, orcause tobetaken, all other actions 1
30
NON-PROPRIETARY consistent with this Section 5.2necessary toobtain theSeller Required RegulatoryApprovals andBuyer Required Regulatory Approvals.
(iii)
Seller andBuyer
- shall, subject toapplicable Lawrelating to the exchange ofinformation:
(i) promptly notify theother Parties of(and ifinwriting, furnish theother Parties withcopies of) anycommunication to such PartyfromaGovernmental Entity regarding thefilings and submissions described inthis Section 5.2andpermit theother Parties to review and discuss inadvance (and toconsider ingoodfaith any comments made bytheother Parties inrelation to) anyproposed written response toany communication fromaGovernmental Entity regarding the filings and submissions described inthis Section 5.2,(ii) keeptheother Parties reasonably informed (on atimely basis) ofanydevelopments, meetings ordiscussions with anyGovernmental Entity inrespect ofany
- filings, investigation, orinquiry concerning theContemplated Transactions and(iii) notindependently participate inanymeeting or discussion with aGovernmental Entity inrespect toanyfilings, investigation orinquiry concerning the Contemplated Transactions without giving theother Parties reasonable priornotice (to theextent practicable under thecircumstances)of such meeting ordiscussion
- and, unless prohibited bysuch GovernmentalEntity, the opportunity toattend orparticipate; proyvided, that the Parties shall be permitted toredact any correspondence,
- filing, submission orcommunication totheextent such correspondence,
- filing, submission orcommunication contains competitively orcommercially sensitive information, including information relating tothevaluation ofthe Contemplated Transactions.
(iv)Infurtherance andnotinlimitation ofthe foregoing, but subject totheother termsandconditions ofthis Section 5.2, Buyer agrees (a) that itshall agree toremain subject to,except totheextent thePSCW issues anorder approving theContemplated Transaction inform and substance acceptable toSeller that does notrequire such performance, all oftheProffered Conditions, and(b)
- totake, orcauseits Affiliates
- totake, promptly anyandall steps
- toavoid, eliminate orresolve eachandevery impediment andobtain all clearances,
- consents, approvals andwaivers under applicable Lawsthat mayberequired byanyGovernmental
- Entity, soastoenable theParties toclose theContemplated Transactions assoon aspracticable;
- provided, however, innoeventshall Buyerberequired to j
take anyaction inconnection withobtaining theRequired Regulatory y
Approvals that would constitute aBurdensome Condition.
j l
31
NON-PROPRIETARY (vi)Infurtherance andnotinlimitation oftheforegoing, but subject totheother terms and conditions ofthis Section 5.2, intheevent that anylitigation orotheradministrative orjudicial action orproceeding iscommenced, threatened oris reasonably foreseeablechallenging anyof theContemplated Transactionsand such litigation, action orproceeding
- seeks, orwould reasonably beexpected toseek,toprevent, materially impede ormaterially delay the consummation ofthe Contemplated Transactions, Buyer andSeller shall usereasonable best efforts totake any andall action toavoid orresolve anysuchlitigation, actionorproceeding aspromptly aspracticable (understanding thatBuyer shallserve asthe lead applicant inresponding toadministrative requests orlitigation before theNRCandPSCW,with reasonable cooperation from Seller).In
- addition, subject totheother termsandconditions ofthis Section 5.2, each Party shall cooperate with theother Party anduseits respective reasonable best efforts tocontest, defend andresist anysuch litigation, action or proceeding andtohavevacated,
- lifted, reversed oroverturned any ruling,
- decree, judgment, injunction orother
- order, whether temporary, preliminary orpermanent, that isineffect andthat prohibits,
- prevents, delays, interferes with orrestricts consummation oftheContemplated J
Transactions aspromptly aspracticable.
(vii)
Buyer shall havetheprimary responsibility forsecuring the
- transfer, reissuance orprocurement (as applicable) ofthePermits and Environmental Permits effective asoftheClosing Date.Seller shall cooperate with Buyer's efforts inthis regard andassist inanytransfer or reissuance ofaPermit orEnvironmental Permit required inconnection with theContemplated Transactions ortheprocurement ofanyother Permit orEnvironmental Permit whensorequested byBuyer.
(e)Third Party Consents.
j (i)Aspromptly aspracticable, butinnoeventlater than thirty (30) daysafter thedate
- hereof, theParties, asapplicable, shall
- make, 32
NON-PROPRIETARY deliver orfile all other
- notices, requests,
- filings, applications, registrations, consents andauthorizations listed onSc.hedule Sl(el (ii)
Infulfilling their obligations pursuant tothis Section 5.2(e),
thePartiesshall cooperate ingoodfaith with eachother anduse Reasonable Efforts toobtain allnecessary
- consents, approvals and authorizations ofall third Persons necessary toconsummate the Contemplated Transactions.
Section 5.3 Further Assurances.
(a)
Without inanywaylimiting theobligations oftheParties pursuant toSection 5.2, from time to time fromthedate
- hereof, asandwhenrequested by anyParty
- hereto, the requested Party shall useReasonable Efforts totake orto cause tobetaken, all action and to do,orcause
- tobedone, ortoexecute and
- deliver, orcause tobeexecutedand delivered, all suchdocuments and instruments andshall
- take, orcauseto betaken, all suchfurther orother actions as such other Party mayreasonably deem necessary, proper oradvisable to consummate theContemplated Transactions, aspromptly aspracticable orsooner asrequired bythis Agreement.
(b)Without inanywaylimiting the obligations oftheParties pursuant toSection 5.2, Seller andBuyer shall useReasonable Efforts toimplementthe provisions ofthis Agreement,
- and, forsuch
- purpose, atthe request oftheother
- Party, shall, atorafter theClosing, promptly execute anddeliver, orcause tobe soexecuted anddelivered, such documents totheother Partyand take such further action astheother Party maydeemreasonably necessaryor desirable to facilitate orbetter evidence theconsummation ofthe Contemplated Transactions.
Section 5.4 Certain TaxMatters.
Buyershall
- file, totheextent required by applicable
- Taxlaws, all necessary TaxReturns andother documentation with respect toall such Transfer Taxes.
Totheextent required byapplicable
- Taxlaws, Seller oranyofits Affiliates will join intheexecution ofanysuch TaxReturns or other documentation.
(b)Fortheavoidance
- ofdoubt, Seller oranother memberofSeller's Affiliated Group(s) shall prepare
- andfile, orcause tobeprepared
- andfiled, all consolidated,
- combined, unitary orsimilar TaxReturns fortheSeller Affiliated Group(s) that include theoperations oftheCompany andtheSubsidiaries fora taxable
- period, oranyportion
- thereof, ending onorprior totheClosing Date
("m").
Innoeventshall anyTaxReturn described inthis Section 5.4(b) berequired tobeshared with Buyer.
33
NON-PROPRIETARY (c)Forpurposes ofTreasury regulation section 1.1502-76(b)(1)(ii and(B)
(and forpurposes ofsimilar provisions under
- state, local andforeign Tax Law), theParties agree that thestatus oftheCompany asamember ofSeller's Affiliated Groupshall cease asoftheendoftheClosing
- Date, andtheCompany shall become amember ofBuyer's Affiliated Group asofthebeginning oftheday immediately following theClosing Date.
TheParties agree that theBuyer andits Affiliates and theCompany shall notmakeanelection under Treasury Regulation Section 1.1502-76(b)(2)(ii)(D) toratably allocate items(or makeanysimilar election orratably allocate items under anycorresponding provision
- ofstate, local orforeign Law), and shall notapply the"next day" rule ofTreasury Regulation Section 1.1502-76(b)(1)(ii)(B)with respect toanyitem ofexpense ordeduction incurred bythe Company inconnection with thetransactions contemplated hereby.
TheParties shall file, andshall causeeachoftheir Affiliates andthe Company
- tofile, all federalIncome TaxReturns (and totheextent permitted, all
- state, local andforeign IncomeTax Returns)inamannerconsistent with this Section 5.4(c) unless otherwise required byachange inapplicable Law.
(d)AnyTaxReturn prepared pursuant tothis Section 5.4(d) shall be prepared inamannerconsistent with practices followed inprior years with respect tosimilar TaxReturns, except for changes required bychanges in applicable Taxlaws orchanges
- infacts, andforthe avoidance ofdoubt all Tax Returns shall beprepared inamannerconsistent with the IRSPrivate Letter Ruling.
Thefollowing provisions shall govern the allocation ofresponsibility as between theParties forcertain Taxmatters following the Closing Date:
(i)Seller shall prepare orcause tobeprepared and file or cause tobefiled allSeller Affiliated Group TaxReturnsfor the Company forall Taxperiods ending onorprior totheClosing Date regardless of whenthey aretobefiled.
Except asotherwise provided inthisSection 5.4, Seller shall
- pay, orcause tobepaid ontheCompany's behalf,the Taxes attributable totheCompany with respect tosuch Taxperiods,other than Taxes becoming dueasaresult ofactions taken byBuyer orits Affiliates (including, forthis
- purpose, actions taken bytheCompany on theClosing Date) andTransfer
- Taxes, which shall bethe responsibility of Buyer.
(ii)Buyer shall prepare orcause tobeprepared andfile or cause tobefiled anyTaxReturns oftheCompany (other thananySeller Affiliated TaxReturns) foranyPre-Closing TaxPeriod orStraddle Period that arerequired tobefiled after theClosing Date(each, a"Stand-Alone Company.
TaxRetturn"),
provided that Buyershall submit adraft ofany such Stand-Alone Company Return together with copies ofall schedules andsupporting workpapers toSeller forits commentandapproval atleast fifteen (15)
Business Daysprior tofiling.
Except asotherwise provided in this Section 5.4(including Section 5.4(a)),
Seller shall pay,orcause tobe
- paid, toBuyerwithin fifteen (15) days after thelater of(i) thedate such TaxReturns andsupporting documents areprovided toSeller or(ii) the 34
NON-PROPRIETARY date onwhich TaxesoftheCompany arepaid bytheBuyer orthe Company with respect tosuch Stand-Alone Company TaxReturn, an amountequal totheportion ofsuch Taxesthat relates tothePre-Closing TaxPeriod.
Forpurposes ofthis subsection, inthecaseofanyTaxesof theCompany that areimposed andarepayable foraStraddle
- Period, the portion ofsuchTaxes which relates tothePre-Closing TaxPeriod portion of such Straddle Period
- shall, inthe caseofanyreal property
- Taxes, be deemed tobetheamountofsuchTaxfortheentire TaxStraddle Period multiplied byafraction,thenumerator ofwhich isthenumber ofdaysin the portion of theStraddlePeriod ending ontheClosing Dateandthe denominator of which isthenumber ofdays intheentire Straddle Period.
Inthecaseofall other non-real property Taxes oftheCompany that are imposed onorpayable foraStraddlePeriod (e.g.,
such asTaxes that are (w) based uponorrelated toincomeorreceipts, (x) imposed inconnection with anycapital ordebtrestructuring, (y) imposed inconnection with any
- sale, distribution, orothertransfer orassignment ofproperty (real or
- personal, tangible orintangible),
or(z) payrollandsimilar Taxes),
the portion ofsuch Taxes which relate tothePre-Closing TaxPeriod portion oftheStraddle Period shall bedetermined basedonaclosing ofthebooks oftheCompany asoftheClosing Date.
(iii)
Buyershall prepare orcauseto beprepared andfile or cause tobefiled (including viadirection ofthe QNDT Trustee)anyTax Returns oftheQualified Decommissioning Fundfor any Taxperiod or portion thereof ending onorprior to,orthat includes, the Closing Date that arerequired tobefiled after theClosing
- Date, provided thatBuyer shall submit anysuchfiling together withcopies ofall schedules and supporting workpapers toSeller forits commentandapproval at least fifteen (15)
Business Daysprior tofiling.
(iv)Notwithstanding theforegoing, Buyer shall besolely responsible forthepayment ofTaxes attributable to(x)
Taxperiods or portions thereof beginning after theClosing
- Date, and(y)
Taxperiods ending onorprior totheClosing Datetotheextent suchTaxresults from orareattributable toactions taken byBuyer orits Affiliates (including, for this
- purpose, actions taken orincome earned byorwith respect tothe Company ontheClosing Dateafter theClosing Effective Time),
and Seller shall have noobligation with respect toanysuch Taxes.
Inthe eventSeller orits Affiliates payanysuch Taxesafter theClosing
- Date, Buyershall reimburse Seller therefore within fifteen (15) days after the date onwhich theTaxes arepaid.
(v)Totheextent that anyCompany's liability forTaxes for anytaxable period ending onorbefore theClosing Dateisless than the amountofestimated Taxes paid byoronbehalf oftheCompany with respect toall oraportion ofsuch taxable
- period, Buyershall paytheSeller 35
NON-PROPRIETARY thedifference within five(5) days offiling therelevant TaxReturn that reflects such Tax.
(e)EachParty shall provide theother Party with suchassistance as may reasonably berequested bytheother Party atnocostinconnection with the preparation andfiling ofanyTaxReturn, anyaudit orother examination byany TaxAuthority, oranyjudicial oradministrative proceedings relating toliability for Taxes,and each will retain andprovide therequesting Party with anyrecords orinformation which mayberelevant tosuch
- return, audit orexamination, proceedings ordetermination.
Anyinformation obtained pursuant tothis Section 5.4orpursuant toany other Sectionhereof providing forthesharing of information relatingto or review ofanyTaxReturn orother schedule relating to Taxes shall besubject tothe terms oftheConfidentialityAgreement.
(f)Inthecaseofany audit, examination, orother proceeding
("TE hoceeding")
with respect to(i)any Tax periodending onorbefore theClosing Dateand(ii) with respect toanyother Tax period ending after theClosing Date forwhich Seller isormaybeliable forany Taxes pursuanttothis Agreement, Buyer shall inform Seller inwriting ofsuch Tax Proceeding within five (5) days after thereceipt byBuyer ofwritten notice thereof.
IntheeventBuyer fails to timely provide Seller with written notice ofsuch Tax Proceeding, Seller's obligation toindemnify Buyer orits Affiliates hereunder shallbereduced tothe extent ofanyAdverse Consequences arising asaresult of such failure tonotify.
Buyer shall afford
- Seller, atSeller's
- expense, the opportunity tocontrolthe conduct ofsuch TaxProceeding;
- provided, however, that Buyer shallhavethe
- right, atBuyer's
- expense, toattend andparticipate insuch TaxProceeding, but only ifsuch TaxProceeding does notinvolve orpertain toanAffiliated Group(s) ofSeller oranyofits Affiliates.
Notwithstanding anyprovision ofthis Agreement tothecontrary, totheextent that anyprovision ofthis Section 5.4(f) conflicts with aprovision ofArticle X,this Section 5.4(f) shall govern.
(g)Anyrefund, credit orreduction ofTaxes paid orpayable byorwith respect totheCompany shall whenactually realized (whether
- byrefund, credit, overpayment oroffset against other Taxes dueandpayable) bepromptly paid to Seller ifattributable tothePre-Closing TaxPeriod.
(h)Anyandalldeductions related to(x) anybonuses orother compensatory amounts paid bytheCompany inconnection with thetransactions contemplated
- hereby, (y) expenses with respect toIndebtedness being paid byor onbehalf oftheCompany inconnection with theClosing, and(z) all transaction expenses andpayments that arepaid byoronbehalf oftheCompany orSeller prior toorinconnection with theClosing anddeductible bytheCompany forTax purposes (such deduction described inclauses (x),
(y) and(z),
the"Transaction TaxDeductions")
shall betreated forIncome Taxpurposes ashaving been incurred bytheCompany in,andreflected asadeduction ontheIncome Tax Returns oftheCompany
- for, thetaxable period orportion thereof ending onthe Closing Date.
36
NON-PROPRIETARY (i)Withrespect toSeller's sale oftheStock, Seller andBuyershall jointly makeaSection 338(h)(10)
Election inaccordance withapplicable Tax Laws assetforth herein:
(i)Buyer andSeller agree toreport thetransfers under this Agreement consistent with theSection 338(h)(10)
- Election, andshall take no position contrarythereto unless required todosobyapplicable Tax Laws or pursuant toaFinal Determination.
(ii)
Sellershall beresponsible forthepreparation andfiling of all Section338
- Forms, includingForm8023, inaccordance with applicable Tax Laws andthetermsofthis Agreement.
Buyershall execute theSection 338Forms promptly after preparation andpresentation by Seller andonorprior to theClosing Dateinanyevent.
Seller shall execute such 338Formand deliver copies ofsuchexecuted Section 338 Forms toBuyer atleast ten (10) daysprior tothedate suchSection 338 Formsarerequired tobefiled.
(iii)
Aspromptly aspractical, butinnoeventlater than sixty (60) days prior totheClosing, Sellershall deliver toBuyer astatement (the "Allocation Statement")
reflectingthe allocation ofthePurchase
- Price, asadjusted toreflect assumed liabilities and otheramountsdeemed paid byBuyer forfederal income tax purposes, among the separate classes ofassets oftheCompany inaccordance with theTreasury Regulations promulgated under Section 338(h)(10) ofthe Code,Section 1060ofthe Code,andSection 468AoftheCode, asinterpreted inboth cases and applicable IRSrulings (including private letter rulings) for transactions analogous tothetransaction contemplated bythe Agreementit being understood that such Allocation Statement will also beprepared or revised bySeller asnecessary toconform totheIRSPrivate Letter Ruling(the "Allocation").
(iv)AllTaxReturns filed
- byBuyer, theCompany andSeller shall beprepared inamannerconsistent with theAllocation, andnoParty shall take orpermit anyofits Affiliates totakeanyposition which is inconsistent with suchAllocation except totheextent required tocomply with anaudit determination ofaTaxAuthority.
(j)Except with respect totheSection 338(h)(10)
Election contemplated hereby orotherwise asspecifically provided inthis Agreement, on orwith respect totheClosing
- Date, neither Buyer noranyofits Affiliates shall permit orotherwise allow theCompany
- totake, anyaction notintheordinary course oftheCompany's
- business, including themaking orrevocation ofanyTax
- election, thecancellation ormodification ofanydebt, theincurrence ofany "extraordinary item"(as defmed inTreasury Regulation section 1.1502-76(b)(2)(ii)(C)),
themerger orliquidation ofanyoftheCompany orthe distribution ofanyproperty inrespect ofanyofthestock oftheCompany, 37
NON-PROPRIETARY withouttheprior written consent
- ofSeller, which consent maybewithheld in Seller's sole discretion.
Buyer andits Affiliates shall not,andBuyer andits Affiliates shall notpermit theCompany to,take anyofthefollowing actions:
(i) other thananyTaxReturn(or amendment thereof) that isfiled pursuant toSection 5.4(b),
fileoramendorotherwise modify anyTaxReturn oftheCompany relating toaPre-Closing TaxPeriod, (ii) after thedate anyTaxReturn(or amendment thereof) isfiled pursuant toSection 5.4(d),
amend orotherwise modify any such TaxReturn oftheCompany relating toaStraddle
- Period, (iii) extend
- orwaive, orcause tobeextended
- orwaived, anystatute oflimitations or other period forthe assessment ofanyTaxordeficiency oftheCompany related toaPre-Closing Tax Period, (iv) makeorchange anyTaxelection oraccounting method orpractice ofthe Company with respect toanyPre-Closing TaxPeriod, or(v) makeorinitiate any voluntary contact with aGovernmental Entity regarding Taxes ofthe Company withrespecttoanyPre-Closing TaxPeriod, in each
- case, without theprior written consent ofSeller (which consent shall notbe unreasonably
- withheld, conditioned or delayed); provided,
- however, that Seller maywithhold such consent inits sole and absolute discretion ifanysuchaction relates toaTaxReturn that isacombined, consolidated,
- unitary, affiliated
- group, orsimilar TaxReturn.
(k)AllTaxsharing agreements orarrangements that provide forthe allocation, apportionment,
- sharing, orassignmentof Tax liability between the Company andSeller orSeller's Affiliates shall beterminated asoftheClosing
- Dateand, following such
- date, neither Seller noranyofSeller's Affiliates and shall haveanyfurther liabilities thereunder.
Section 5.5 Conduct ofBusiness oftheCompany.
(a)Fromthedate hereof until theClosing, Seller shall cause the Company toconduct its business intheordinary course ofmaintaining the Facility (including theISFSI),
- theSite, theQualified Decommissioning Fund and theNRCLicenses inamannergenerally consistent with post-shutdown SAFSTOR practices (the "M").
Except as contemplated bythis Agreement, asmayberequired byapplicable Laworany Governmental
- Entity, orassetforth onSchedulei5Ja),
fromthedate hereof until theClosing without thewritten consent ofBuyer(such consent nottobe unreasonably withheld ordelayed),
Seller shall notpermit theCompany to:
(i)sell, acquire ordispose ofanymaterial assets orproperties, other than
- sales, acquisitions ordispositions intheOrdinary Course of Business;
- sales, acquisitions ordispositions consistent with the Restoration Project;
- orsales, acquisitions ordispositions inaccordance with anyMaterial Contract; provided that theCompany shall notsell or enterinto alease oftheSite oranyportion thereof; 38
NON-PROPRIETARY (ii) create anymaterial Lien onanyofits
- assets, except (A)
Permitted
- Liens, or(B) ifsuchmaterial Lienshall bereleased asof Closing; (iii) amendinanymaterial
- respect, terminate orassign any Material Contractother than inaccordance with thetermsthereof or otherwise intheOrdinary Course ofBusiness; (iv) incur anyIndebtedness, other than(A)
Indebtedness incurredin the Ordinary Course ofBusiness which will beextinguished prior totheClosing, and(B)
Indebtedness toAffiliates which will be extinguishedprior totheClosing; (v) merge with, orbeacquired by,oracquire anyorall ofthe capital stock orassetsof any otherPerson; (vi)
- assume, guarantee, endorse orotherwise become responsible forthe obligationsof any otherPerson, ormakeloans or advances toanyother Person; (vii) enter into anyContractother than those (A) executed inthe Ordinary Course ofBusiness (provided that Seller shall provide written notice toBuyer promptly following the execution ofanyMaterialContract intheOrdinary Course ofBusiness),
or(B) otherwise provided foror required inimplementing another provision inthisSection 5.5; (viii) alter inanymaterial waythemannerinwhich ithas regularly andcustomarily maintained its books ofaccountand records, except asmayberequired byapplicable Laworprofessional standards; (ix)except asrequired byLaworU.S.
GAAP,change,in any material
- respect, its Taxpractice orpolicy (including making newTax elections orchanging Taxelections andsettling Taxcontroversies notin theordinary course ofbusiness) totheextent suchchange orsettlement would bebinding ontheCompany after theClosing; (x)split, combine orotherwise change its capital
- stock, or redeem anyofits capital stock; (xi)issue orsell anyshares ofits capital stock oranysecurities orobligations convertible into orexchangeable
- for, orgive anyPerson any right toacquire, anyshares ofits capital stock; (xii) amendits articles ofincorporation orbylaws; (xiii) alter inanymaterial way,ormakeanynewmaterial commitments regarding theRestoration
- Project, oruseoftheQualified 39
NON-PROPRIETARY Decommissioning
- Fund, except foranysuch alterations orcommitments intheOrdinary Course ofBusiness; (xiv) drawfunds fromtheQualified Decommissioning Fund except asprovided inSection 5.19.
(xv)enter
- into, adopt, amendorterminate anyContract with any labor union, works
- council, employee representative, labor
- board, or similar organization, including acollective bargaining agreement; and (xvi) enter into anagreement todoanyofthethings described in clauses (i) through (xvi) above.
(b) Notwithstanding anything herein tothecontrary, Seller andthe Company shall have the right, as they deemappropriateintheir sole discretion, to:
(i)except with respect tomatters setforth inSection 5.2, and anyDOEClaims which are addressed inSection 5.5(c)
- below, conduct, prosecute andsettle anyandall ordinary course hearings,appeals, orother proceedings, before anyGovernmentalEntity orTaxAuthority,including thePSCW,andtosettle non-material claims (in whole orinpart) with any Governmental Entity (provided that anysettlement withPSCW,NRCor anyother Government Entity that would reasonably beexpected tohave a
material impact ontheRestoration Project costs orrisks shallbedeemed material);
(ii)except with respect tomatters setforth inSection 5.2,take reasonable
- actions, astheownerorlicensed nuclear operator of the Facility tomaintain safe andreliable execution oftheRestoration Project andcompliance with theNRCLicenses andother applicable
- Laws, including those relating totheFacility (including theISFSI) orthe Qualified Decommissioning Fund; (iii) take theactions setforth inSections 5.7(a) and(b);
(iv)take theactions setforth inSection 5.19; (v)cause theCompany tomakeanynumber andsize of distributions ofcash prior totheClosing; (vi)take allactions
- tosell, transfer orotherwise exclude from theContemplated Transactions, thecommunications towerandFCC license associated with ASRRegistration 1034118; and 40
NON-PROPRIETARY (c)
Notwithstanding anything herein tothecontrary, Seller andthe Company shallhavetheright, asthey deemappropriate intheir sole discretion, to conduct, prosecute andsettle anyandall pending DOEClaims fortherecovery of spent nuclear fuel storage costsincurred prior to2019;
- provided, however, that if Seller orits Affiliates (otherthanCompany) mayreceive settlement proceeds after Closing from asettlement entered into with theUnited States government in respect ofanyDOE Claims prior toClosing, anysuchsettlement shall be conditioned onthe DOE acknowledging theexpected sale oftheCompany and confirming that neither the DOE northeDOJwill assert thesettlement (and sale oftheCompany) asapartial assignment (or similar) defense toclaims bythe Company toenforce the Standard Spent Fuel Disposal Contract;
- provided, further,
- however, that Seller andCompany will notsettle, waive oragree toareduction in claimed amounts inconnection withany DOE Claimsfordamages incurred onor after January 1,2019.
(d)Notwithstanding anything herein tothecontrary, Seller andthe Company shall havetheright totake all actionsnecessary tocomply with the Right ofFirst Refusal.
Seller andCompany shall promptly provide notice to Buyer ofanysuchaction(s) taken tocomply with theRight ofFirst Refusal.
Section 5.6 Notice ofChanges.
Prior totheClosing, each Party shall promptly advise theother inwriting with respect toanymatter arising after execution ofthis Agreement ofwhich that Party obtains knowledge
- andwhich, ifexistingor occurring at thedate ofthis Agreement andnotsetforth inthis Agreement, including any of the Schedules, would haveconstituted abreach ofarepresentation orwarranty ofsuch Party contained herein (a"W").
IfsuchSubsequent Event Disclosure does notconstitute aMaterial Adverse Effect ontheCompany, then the Subsequent Event Disclosure shall bedeemed tohave(a) amended this Agreement, including anyappropriate
- Schedule, (b) qualified therepresentations andwarranties contained inArticle
- III, and(c) cured anymisrepresentation orbreach ofwarranty that otherwise might have existed hereunder byreason ofthedevelopment.
Ifsuch Subsequent Event Disclosure doesconstitute aMaterial Adverse
- Effect, then Buyer shall havetheright toterminate this Agreement pursuant to,butsubject tothetermsand conditions of,Section 9.1(c);
provided that ifBuyer does notelect toterminate this Agreement asprovided herein andClosing
- occurs, then theSubsequent Event Disclosure shall bedeemed tohave(a) amended this Agreement, including anyappropriate
- Schedule, (b) qualified therepresentations andwarranties contained inArticle
- III, and(c) cured anymisrepresentation orbreach ofwarranty that otherwise might haveexisted hereunder byreason ofthedevelopment.
Anyactions oftheCompany permitted by Section 5.5orconsented tobyBuyerunder Section 5.5shall automatically bedeemed to amendanyappropriate Schedule andsuchamendment shall notbesubject to,orincluded in,anydetermination ofwhether theprovisions ofSections 6.2or9.1(c) aresatisfied or applicable.
41
NON-PROPRIETARY Section5.7 Employee Matters.
(a)Seller shall causeanyindividuals whoarecurrently employed by the Company orwhobecome employed bytheCompany after thedate hereof until the Closing Datetobetransferred toSeller oroneofits Affiliates (other than the Company) prior totheClosing Datesuch
- that, asoftheClosing
- Date, the Company shall nothave anyemployees oranyliabilities inrespect ofanycurrent orformeremployees.
(b)As of theClosingDate,(i)
Seller shall retain orcause oneofits Affiliates (other than the Company) toretain sponsorship ofall Employee Plans andall assets and liabilities thereof sponsored bytheSeller oranyofits Affiliates (other thanthe Company) and shallassumeorcause oneofits Affiliates (other than theCompany) toassume any Employee Plan andall assets andliabilities thereof sponsored bythe Company; and(ii) theCompany shall cease tobea participating employer inanysuch plans. Sellerandits Affiliates (other than the Company) shall besolely responsible for anyemployment-related liabilities and obligations arising fromemployment of any individuals bytheCompany prior to theClosing, whether arising prior to,on,or after theClosing,including severance, pension andother
- benefits, andcollective bargaining agreements, asapplicable.
(c)Nothing inthis Agreement is intended to, norshall it, confer on anyemployee orformer employee oftheCompany,
- Seller, Buyer oranyoftheir respective Affiliates anythird-party beneficiary
- rights, affect any employee's status asan"at-will"
- employee, amendanyEmployee Planor affect Seller'sorits Affiliates' rights toamend orterminate anyEmployee Plan pursuant tothe terms ofsuch plan oranyapplicable collective bargaining agreement.
Section 5.8 Excluded Assets; Retained Liabilities.
(a)Notwithstanding anyprovision herein tothecontrary, the following assets shall beexcluded fromthetransaction (the "Excluded Assets"),
andSeller shall have theright atanytimeprior toorattheClosing todividend,
- assign, transfer, dispose of,extinguish, orotherwise exclude (including viaan assignment ofinterest endorsement with respect to(vi) below) fromtheCompany such assets:
(i)all trademarks, service marks andtradenames containing "Dominion",
including allDominion MarksandMarked Materials, shall remain thesole property ofSeller orits Affiliates, asapplicable; 42
NON-PROPRIETARY (iii) all assets with respect totheemployees andEmployee Plans assetforth inSection 5.7; (iv)theContracts listed onSchedule 5.8(a)(iv)
(the "Excluded Contracts");
(v)theExcluded Records; (vii) theinsurance policiesset forth onSchedule5J(a).(vii1(the "Excluded Insurance Policies")
andallrights under such
- policies, including with respect tooccurrences taking place priortotheClosing Effective Timeandall proceeds with respectthereto; provided, however that Buyer canrequest certain assistance relating to reporting, processing andhandling ofinsurance claims foraperiod ofone (1) year following the Closing under suchpolicies andforinsurance purposes only forperiods ending prior totheClosing Effective Timesolong asSeller isreimbursed andheld harmless foranydeductibles,
- costs, fees, expensesand Adverse Consequences arising under suchpolicies; andprovided further, however, that notwithstanding theforegoing, nothing contained inthis Section 5.8(a)(vii) shall alter Buyer's indemnification obligations pursuant to Section 10.1(b).
(b)Totheextent that anyproceeds relating totheExcluded Assets are received byBuyer oranyofits Affiliates (including theCompany) after the
- Closing, Buyer shall remit such proceeds toSeller within fourteen (14) daysof receipt.
(c)Notwithstanding anyprovision herein tothecontrary, the following liabilities shall beretained bySeller (collectively, the"Excluded Liabilities"):
(i)allliabilities oftheCompany with respect toanycurrent or former employee oftheCompany totheextent anysuchliability relates toanaction oreventoccurring prior toClosing (but regardless ofwhether suchliability arises
- before, onorafter the Closing),
including (A) anyclaims madebyorwith respect toany 43
NON-PROPRIETARY current orformer employees, (B) anycompensation orbenefits mandated byapplicable Law,(C) thetermination ofanycurrent or former employee's employment orother relationship with the
- Company, Seller oranyoftheir respective Affiliates onorprior to theClosing Date,including anyrequired notice periods and severance benefits, (D) accrued
- vacation, holiday, floating holidays, flex days andother paid time off,(E) anyTaxesofthe Company foranyPre-Closing TaxPeriod inrespect ofanycurrent or former employeeoftheCompany, and(F) anypayment obligations orliabilitiesincurred asaresult oftaking theactions contemplated bySection 5.7(including anypayment ofaccrued salary,bonus,
- vacation, severance, andchange incontrol payments);
(ii)all liabilities (A)with respect toEmployee Plans in existence asoforprior tothe Closing,whenever such liability
- arises, including liabilities arising under orinrespect ofanyclaims madeunder anyEmployee Plan or(B) expressly retained bySeller pursuant toSection 5.7(b);
(iii) all liabilities (A) expressly retained bySeller pursuant to Section 5.4or(B) with respect toTaxes ofthe CompanyforPre-Closing TaxPeriods; (iv)all liabilities ofSeller orthe Company under the Standard Spent FuelDisposal Contract with respect tothe one-time feefor fuel burned prior toApril 7,1983, including interest and latefees thereon; and (v)allliabilities with respect toExcluded
- Assets, whether arising
- before, onorafter theClosing.
Section 5.9 Affiliate Transactions.
(a)Allintercompany Indebtedness between Company andanyof Seller orits Affiliates shall besettled onorprior totheClosing.
(b)Except assetforth onSchedule.5S.(b.)
orasmaybehereafter identified andmutually agreed tobytheParties acting ingoodfaith, allContracts between
- Company, ontheonehand, andSeller oranyofits Affiliates, onthe other
- hand, shall beterminated asofimmediately prior totheClosing without any further liability orobligation onthepart ofanyparty thereto andwithout needof anyfurther documentation following theClosing.
(c)S.chedule19[cl setsforth acomplete list ofall guarantees,
- bonds, letters ofcredit orfinancial assurances related totheCompany(the "Cs Guarantees").
AsoftheClosing, Buyer
- shall, orshall
- cause, theCompany Guarantees, assupplemented tothedate oftheClosing, tobereplaced (including 44
NON-PROPRIETARY providing anyreplacement documentation) orprovided
- for, asapplicable, by Buyer orits Affiliates, andBuyer shall orshall causeanyCompany Guarantees, assupplemented tothedate oftheClosing, provided forbySeller orits Affiliates to be terminated (and returned toSeller) andforSeller orits Affiliates tobe released fromanyAdverse Consequences related thereto.
Ifthebeneficiary of anyCompany Guarantee refuses torelease orterminate
- thesame, Buyer shall provideto Seller aback-to-back guarantee reasonably satisfactory
- toSeller, ora
- bond, letter of credit orother financial assurance issued byanentity andonterms reasonably satisfactory toSeller andBuyer.
Section 5.10Related Agreements.
(a)
Simultaneously withtheexecution ofthis Agreement, Company andBuyer haveexecuted the Planning ServicesAgreement.
(b)Atthe
- Closing, the Parties shall,orshall causetheir Affiliates to, enter into each ofthe following agreements (collectively, the"Post-Closing R.
elated Agreemeen.ts"
- and, together with the Planning Services Agreement, the a
,,y (i)D&DSite Consulting and Support Agreement; (ii)ISFSI Management Agreement; and (iii)
Transition Services Agreement.
Section 5.11NameofCompany; Marked Materials.
(a)Seller shall bepermitted toremoveall signage containing Dominion Marks prior totheClosing.
Buyer covenants andagrees totake all steps necessary immediately after theClosing toeffectuate achange ofthename fortheCompany todelete theDominion Marksanduseofthe"Dominion" name.
Buyer shall besolely responsible foranydirect orindirect costs orexpenses resulting fromsuchchange inuseofname,andanyresulting notification or approval requirements.
(b)Totheextent that theCompany usesanytrademarks, service
- marks, brand namesortrade, corporate orbusiness nameswhich areownedby Seller (or anyofits Affiliates other than theCompany),
orwhich incorporate the word"Dominion" (collectively, the"Dominion Marks")
onanygoods, stationery,
- signage, invoices,
- receipts, forms, packaging, advertising andpromotional materials,
- product, training andservice literature andmaterials, computer programs orlike materials
("Marked Materials"),
after theClosing, Buyer
- shall, andshall causetheCompany to,usecommercially reasonable efforts tolimit and minimize its ortheir usage ofsuch Marked Materials, provided that inanyevent, (i) with respect toMarked Materials that maybeshared outside oftheCompany, Buyer andtheir respective Affiliates, theCompany maynotusesuchMarked 45
NON-PROPRIETARY Materials after sixty (60) daysfollowing theClosing
- Date, and(ii) with respect to Marked Materials that areexclusively used internally attheCompany, Buyerand their respective Affiliates, theCompany maynotusesuchMarked Materials after six (6)months following theClosing Date.
Section 5.12 Files andRecords.
Buyer shall retain possession oftheRecords foraperiod ofsix (6)yearsafter theClosing Dateorsuch other longer timeperiod required byLaw.Without limitingtheforegoing, Seller shall beentitled toretain copies ofanyRecords.
After the Closing Date, Buyer shall cause theCompany to(a) provide to Seller foranyreasonable purpose relatingtoSeller's ownership oftheCompany reasonable access tothe Records uponreasonableprior notice during regular business hours and(b) permit
- Seller, at Seller's owncostandexpense, tomakesuch extracts and copies thereof asSeller maydeem necessary; proy.ided that nothing herein shall require Buyer (including theCompany) tofurnish toSeller orprovide access toRecords that(x) aresubject toanattorney/client oranattorney work-product privilege or(y) legal counsel forBuyer reasonably concludes maygive rise toantitrust orcompetition lawissues or violate aprotective order orotherwise maynot bedisclosed pursuant toapplicable Law.
Section 5.13Restoration.
Buyer hereby agrees that theCompany isresponsible
- for, attheCompany's
- expense, theRestoration
- Project, and that theCompany will complete theRestoration Project inaccordance with any applicable termsofthePSCW
- Order, andall applicable Lawsandrequirements, including those oftheNRC,the Environmental Protection Agency andtheState ofWisconsin as may beineffect from time
- totime, except
- that, whether ornotpermitted byanyLaw,entombment shall notbe anacceptable formofRestoration.
Section 5.14Financial Security.
(a)Intheeventthat theNRCrequires Buyer toprovide Restoration funding assurance, Buyer(or such other entity asshall beacceptable tothe NRC) shall postaguaranty ortakesuch other action asissufficient tocover any Restoration funding assurance insuch formandamountasrequired bythe NRC.
Without limiting theforegoing, Buyershall affirmatively commit
- toobtain, and shall obtain atorprior toClosingrformance bonds orother similar financial assurance instruments "Bonds" (b)AtClosing, theBondsshall beinfavor ofabackup nuclear decommissioning trust(the "B.
ackup Trust")
andtheagreement fortheBackup Trust(the "B.
acjku.g.Trust Agreement")
shall beontermsandconditions reasonably acceptable toSeller andasotherwise required bytheNRC. Buyer shall ensure that theBackup Trust isestablished atorprior toClosing andthat the proceeds oftheBonds ifcalled uponwould bedeposited into theBackup Trust.
46
NON-PROPRIETARY Section5.15Termination ofCertain Arrangements.
Seller
- shall, orshall cause the Company orits applicable Affiliates to,atorprior toClosing, take suchactions asare reasonably necessary toterminate theCompany's participation inanyfuel procurement orother Contracts applicabletoanoperational nuclear facility that havebeenentered into with athird party byboththeCompany andoneormoreother Affiliates ofSeller.
Section 5.16 Cooperation Relating toInsurance andPrice-Anderson Act.Until theClosing, Seller shall causetheCompany tomaintain ineffect insurance (a) in amountsandagainst such risksandlosses asiscustomary inthecommercial nuclear powerindustry and(b) of alevelnotless than thelevel ofproperty damage andliability insurance forthe Facilityas ineffect onthedate hereof.
Section 5.17NuclearInsurance Policies.Onandafter theClosing
- Date, the Company shall haveandmaintainin effect policiesofliability andproperty insurance with respect totheownership, operation and maintenance oftheFacility which shall afford protection against theinsurable hazards andrisks with respect towhich nuclear facilities ofsimilar size andtypetothe Facility customarily maintain insurance, and which meetstherequirements of10C.F.R.
@50.54(w) and10C.F.R.
Part 140.Such coverage shall include nuclear liability insurance from ANIinsuchformandinsuch amountaswill meetthefinancial protection requirements oftheAtomic Energy Act,and anagreement ofindemnification ascontemplated bySection 170oftheAtomic Energy Act.Inthe eventthat thenuclear liability protection system contemplated bySection 170 oftheAtomic Energy Actisrepealed orchanged, the Company shall haveandmaintain
- ineffect, totheextent commercially available onreasonable
- terms, alternate protection against nuclear liability.
Inaddition, theCompany shall provide the financial assurance that itwill beable topaytheretrospective premiums fortheFacilityas prescribed by Section 170oftheAtomic Energy Act.Seller shall cooperate with Buyer's efforts to obtain suchinsurance, andSeller agrees tousecommercially reasonable efforts toassist Buyer inmaking anyreasonable claims against pre-Closing insurance policies that l
provide coverage related totheCompany ortheFacility.
Buyer shall reimburseSeller for its reasonable out-of-pocket costs andexpenses incurred inproviding such assistance and cooperation.
Section 5.18NRCCommitments.
Buyer shall maintain andoperate the Facility inaccordance with theNRCCommitments, theNRCLicenses, applicable NRC regulations andpolicies andapplicable Nuclear Laws.
Section 5.19DrawsonQualified Decommissioning Fund.Subject only tothe QNDT Minimum Balance Condition andanylimitations orother restrictions setforth in theQualified Decommissioning Fundpursuant toSection 468AoftheCodeandthe Treasury Regulations promulgated thereunder, applicable Nuclear Laws,andthe Decommissioning Trust Agreement, andprovided such amountshave notpreviously beenreimbursed bytheQualified Decommissioning FundorviatheDOEClaims the Parties a eeandacknow that fromthedate hereof until theClosi 47
NON-PROPRIETARY Section 5.20IRS Private Letter Ruling.
(a)
Buyer,Seller andtheCompany shall usecommercially reasonable efforts andcooperate ingood faith to,aspromptly asreasonably practicable after thedate ofthis Agreement and submission ofall requests fortheRequired Regulatory Approvals, jointlyprepare andfile with theIRSwritten requests (collectively, the"Ruling Request,"
and together with allrelated materials and supplements thereto filed ortobefiled with theIRS,the"IRSSubmissions")
that theIRSissue aprivate letter ruling orrulings (the"M")
to theeffect that(i) theQualified Decommissioning Fundwill notbedisqualified as aresult ofthetransactions contemplated bythis Agreement; (ii) noneofBuyer,
- Seller, ortheQualified Decommissioning Fundwill recognize gain orloss orbe required totake anyincome ordeduction into account as aresultofthedeemed transfer oftheQualified Decommissioning Fund pursuant tothe Section 338(h)(10)
Election; and(iii) theQualified Decommissioning Fund will betreated assatisfying therequirements ofSection 468AoftheCodeand Treas. Reg.
Section 1.468A-5 immediately after thetransfer oftheStock toBuyer atthe Closing.
(b)EachParty shall provide theother Party andits taxcounsel with copies of,andareasonable opportunity toreview andcommenton,draftsof all proposed IRSSubmissions prepared bythefirst Party andwill incorporate any comments orsuggested revisions asarereasonably requested bytheother Partyor its taxcounsel with respect thereto;
- provided, however, that therights toreview andcommentgranted hereunder shall notresult inunreasonable delays in submitting theIRSSubmissions totheIRS.
Totheextent that
- aParty, inits good faith
- judgment, considers anyinformation included insuchIRSSubmissions (or drafts thereof) tobeconfidential, such Party mayrequire that anysuchdocuments provided totheother Party beredacted toexclude such information.
Subject tothe foregoing, aParty filing anIRSSubmission shall provide theother Party with copies ofsuch IRSSubmission promptly following thefiling thereof.
(c)Arepresentative ofeachoftheSeller andBuyer shall begiven the opportunity toparticipate inallsubstantive scheduled communications with the IRSconcerning theIRSSubmissions, including allsubstantive scheduled conference calls andin-person meetings.
Inaddition, eachParty (i) shall keep the other Party reasonably informed (on atimely basis) andshall consult ingoodfaith with theother Party andits taxcounsel with respect toanyissue relating tothe 48
NON-PROPRIETARY IRSSubmissionsand(ii) shall promptly provide theother Party withcopies ofall correspondence,
- notices, andother written materials received fromtheIRSand shall otherwise keeptheother Party andits taxcounsel advised (on atimely basis) of significant developments, andofanysubstantive communications, ineach
- case, regarding theIRSSubmissions andtheRuling Request.
EachParty agrees to cooperate anduseits commerciallyreasonable efforts toassist inobtaining the IRSPrivate Letter Ruling requested intheRuling Request.
EachParty agrees to usecommercially reasonable efforts toprovide anyappropriate information and additional representations asrequested bytheIRSinorder toissue theIRS Private Letter Ruling. Noadditional rulings with respect totheCompany will be requested unless mutually agreed bytheParties.
(d)Neither Party shall (i) withdrawtheRuling Request without the consent oftheother Party or(ii) take anyaction that would causetheQualified Decommissioning Fundtofailto be treated assatisfying therequirements of Section 468AoftheCodeandTreas.
Reg. Section1.468A-5 immediately after thetransfer oftheStock toBuyer atthe Closing.
(e)Totheextent that the procedures described inthis Section 5.20 differ fromtheprocedures applicable toanyother regulatory filings described in this Agreement, theprocedures described inthis Section 5.20 shall govern.
(f)Buyer andSeller shall each bear one-half ofthefiling fees incurred bytheCompany orSeller inconnection with the RulingRequest, theIRS Submissions andtheIRSPrivate Letter
- Ruling, andtothe extent Buyer orSeller bears morethan its share ofsuch
- costs, suchother Party shallpromptly reimburse thefirst Party forsuch amountinexcess ofits share.
(g)Totheextent theParties areunable toobtain theIRSPrivate Letter Ruling inaformreasonably consistent with thepurposes ofthe underlying
- request, theParties
- will, acting ingoodfaith, negotiate foraperiod ofsixty(60) days torestructure thetransaction insuch ataxefficient manner asmutually agreed tobytheParties, subject totherights oftheParties toterminate this Agreement inaccordance with Article IXatanytime following theexpiration of suchsixty (60) dayperiod iftheParties arenotable torestructure thetransaction inataxefficient manneracceptable tobothParties.
Section 5.21Post-Closing Decommissioning andMaintenance oftheQualified Decommissioning Fund.
(a)DE. Following theClosing, Buyer agrees to(and, asapplicable, agrees tocausetheCompany, anyrelevant BuyerAffiliate, ortheQNDT Trustee to) maintain theQualified Decommissioning Trust inaccordance with all applicable Nuclear Laws,theDecommissioni
' Trust eeme orsuchother licable trus ement 49
NON-PROPRIETARY (b)Environmental RiskMitigation.
(ii)M.
Atall times during the first five(5) years after theClosing DatetheBuyer shall(x) beacompany whose business isprimarily involved inthemanagement oflow-level radioactive wasteanddeconstruction anddecommissioning ofnuclear-powered electric generation facilities or(y) contract with oneormore Persons reasonably acceptable toSeller toperform suchfunctions in connection with theRestoration Project.
50
NON-PROPRIETARY (iii)
W.
Buyer agrees tocausethe Company todispose ofall Class A LowLevel Radioactive Waste(as definedbytheNRC) related totheDecommissioning inappropriately licensed disposal facilities.
Section 5.22 Exclusivity.
Fromthedatehereof totheearlier ofClosing orthe termination ofthis Agreement pursuant toArticle IX,Seller shall not(and shall cause its Affiliates (including the Company) tonot(x) solicit thesubmission ofoffers or proposals, (y) initiateor participate inanynegotiations toenter into or(z) enter
- into, any definitive agreement toacquire orpurchase(i) all orsubstantially all oftheCompany's assets andProperties, including theFacility, or(ii)
- theStock, ineach casewhether by stock
- purchase, merger, consolidation, combination, reorganization, recapitalization, purchase
- ofassets, tender offer,lease, license orotherwise.
ThisSection shall notlimit therights ofSeller andCompany under Section 5.5(d);
provided that inanyeventSeller andCompany shall notnegotiate, execute orconsummate anyproposed transaction pursuant totheRight ofFirst Refusal thatdoes notincludeasale of100%oftheStock or that isfundamentally different than the terms and conditions agreed tobyBuyer under this Agreement, including theobligations ofBuyer toenterinto thePost-Closing Related Agreements andtocomply withSections 5.13, 5.14(a)and5.21.
ARTICLEVI CONDITIONS PRECEDENTTOBUYER'SOBLIGATIONS Theobligations ofBuyer topurchase theStock andtotake other actions required pursuant tothis Agreement attheClosing shall besubject tothe satisfaction (or waiver byBuyer),
atorbefore theClosing, ofeachofthefollowing conditions, and Seller shall useReasonable Efforts tocauseeachofsuchconditions tobesatisfied aspromptly as practicable.
Section 6.1 NoInjunction.
NoGovernmental Entity shall have issued any injunction orother order (whether temporary, preliminary orpermanent) which prohibits orrestrains (or seeks toprohibit orrestrain) theconsummation oftheContemplated Transactions andremains ineffect.
Section 6.2 Representations andWarranties.
Therepresentations and warranties ofSeller setforth inArticle III(and with respect tothose qualified by materiality without consideration ofsuchqualifier) shall betrueandcorrect asofthedate ofthis Agreement andasoftheClosing asthough madeatandasoftheClosing (except that those representations andwarranties that address matters only asofaparticular date needonly betrueandcorrect asofsuchdate),
except totheextent that failure would not constitute aMaterial Adverse Effect;
- provided, however, that theFundamental Representations ofSeller contained inthis Agreement shall betrueandcorrect inall respects atandasofthedate ofthis Agreement andasoftheClosing Dateasthough madeatandasoftheClosing (except that those representations andwarranties that address matters only asofaparticular date needonly betrueandcorrect asofsuchdate).
51
NON-PROPRIETARY Section6.3 Performance.
Seller shall haveperformed andcomplied inall material respects with all agreements andcovenants required bythis Agreement tobe performed orcompliedwith byitatorprior totheClosing.
Section 6.4 Closing Deliveries.
Seller shall havedelivered, orcaused tobe delivered, to Buyer, all oftheitems required tobedelivered bySeller pursuant toSection 8.2.
Section 6.5 Approvals andFilings.
AllofSeller's Required Regulatory Approvals and Buyer'sRequired Regulatory Approvals shall havebeenobtained ator prior toClosing.
Section 6.6 NoLegislation.
Nostatute, rule orregulation shall have been enacted which prohibits orrestricts the consummation oftheContemplated Transactions.
Section 6.7 Minimum Balance.
Section 6.8 Material Adverse Effect.
Since thedate ofthis Agreement, there hasnotbeenaMaterial Adverse Effect that iscontinuing.
Section 6.9 IRSPrivate Letter Ruling.
TheIRSPrivate Letter Ruling shall havebeenobtained.
52
NON-PROPRIETARY ARTICLEVII CONDITIONS PRECEDENT TOSELLER'S OBLIGATIONS The obligations ofSeller tosell theStock andtotake other actions required pursuantto this Agreement attheClosing shall besubject tothesatisfaction (or waiver bySeller),at or before theClosing, ofeachofthefollowing conditions, andBuyer shall useReasonable Efforts tocauseeach ofsuch conditions tobesatisfied aspromptly as practicable.
Section 7.1 No Injunction.
NoGovernmental Entity shall haveissued any injunction orother order(whether temporary, preliminary orpermanent) which prohibits orrestrains (or seeks toprohibit or restrain)theconsummationoftheContemplated Transactions andremains ineffect.
Section 7.2 Representations and Warranties.
Therepresentations and warranties ofBuyer setforth inArticle IV (andwithrespect tothose that arequalified by materiality without consideration ofsuch qualifier) shallbetrueandcorrect asofthedate ofthis Agreement andasoftheClosing asthough made atandasoftheClosing (except that those representations andwarranties that address matters only asofaparticular date needonly betrueandcorrect asofsuch date),
except to theextentthat failure would not constitute aBuyer Material Adverse Effect; provided,however, that the Fundamental Representations ofBuyercontained inthis Agreement shall be trueandcorrect inall respects atandasofthedate ofthis Agreement andasoftheClosing Dateasthough madeatandasoftheClosing (except that those representationsand warranties that address matters only asofaparticular date needonly betrueand correct asofsuchdate).
Section 7.3 Performance.
Buyershall haveperformed and complied inall material respects with all agreements andcovenants required bythis Agreement tobe performed orcomplied with byeachofthematorprior totheClosing.
Section 7.4 Closing Deliveries.
Buyer shall havedelivered, orcaused tobe delivered,
- toSeller, all oftheitems required tobedelivered byBuyer pursuant toSection 8.2.
Section 7.5 Approvals andFilings.
AllofBuyer's Required Regulatory Approvals andSeller's Required Regulatory Approvals shall havebeen obtained ator prior toClosing, free ofanymaterial term,condition, restriction, imposed liability or other material provisions applicable toSeller orits Affiliates (other than theCompany).
Section 7.6 NoLegislation.
Nostatute, rule orregulation shall havebeen enacted which prohibits orrestricts theconsummation oftheContemplated Transactions.
Section 7.7 Replacement Assurances.
Buyershall
- have, orshall have
- caused, theCompany Guarantees tobereplaced (including providing anyreplacement documents) orprovided
- for, asapplicable, byBuyer orits Affiliates, andallsuch guarantees orfmancial assurances provided forbySeller oritsAffiliates shall be terminated (and returned toSeller) andSeller orits Affiliates shall bereleased fromany 53
NON-PROPRIETARY Adverse Consequences related thereto orback-to-back guarantees shall havebeen provided assetforth inSec.tion.5R(c).
Section 7.8 Buyer Security.
TheBondsshall have beenobtained infavor of the Backup Trust.
Section 7.9 QNDTMinimum Balance.
TheQNDT Minimum Balance Condition shall have been satisfied.
Section 7.10Draws on lified DecommissioninFund.
Section 7.11IRSPrivate Letter Ruling.
TheIRSPrivateLetter Ruling shall have beenobtained.
ARTICLEVIII CLOSING Section 8.1 TimeandPlace.
Subject toArticle IX,theclosing ofthe sale by Seller andthepurchase byBuyer oftheStock (the "Gosing")
shall take place atthe offices ofSeller's counsel onthefifth (5th)
Business Dayafter thedate onwhich all of theconditions contained inArticles VIandVIIaresatisfied orwaived(other than those conditions that bytheir nature aretobesatisfied attheClosing, butsubject tothe fulfillment orwaiver ofthose conditions);
provided
- that, notwithstanding theforegoing, theClosing maytake place atsuch other
- place, atsuch other
- time, oronsuch other date astheParties hereto maymutually agree(the date onwhich theClosing occurs being herein referred toasthe"h").
TheClosing shall beeffective asoftheClosing Effective Time.
Section 8.2 Deliveries.
AttheClosing:
(a)
. Seller shall deliver toBuyer(i) theRecords; and(ii) certificate(s) evidencing all oftheshares oftheStock ownedbySeller, duly endorsed inblank fortransfer oraccompanied bystock power(s) duly executed inblank.
54
NON-PROPRIETARY (b)B.uyg.C.gt.iHeates.
Buyer shall deliver toSeller (i) anofficer's certificate dated asoftheClosing
- Date, certifying that theconditions setforth in Sections 7.2and7.3havebeensatisfied; and(ii) acopyofthecertificate ofgood standing ofBuyer, issued asofthemostrecent practicable date available prior to the Closing DatebytheSecretary ofState oftheState ofDelaware.
(c)
SellerCertificates. Seller shall deliver toBuyer(i) anofficer's certificatedated asoftheClosing
- Date, certifying that theconditions setforth in Sections 6.2 and 6.3 havebeensatisfied
- and, that totheactual knowledge ofsuch
- officer, the condition inSection 6.8hasbeensatisfied; and(ii) copies ofthe certificates ofgoodstanding ofSeller andtheCompany, issued asofthemost recent practicable dateavailable prior totheClosing DatebytheClerk ofthe State Corporation Commission ofthe Commonwealth ofVirginia andthe Department ofFinancial Institutions oftheState ofWisconsin.
(d)R.esignati ns.Seller shall deliver, orcause tobedelivered, written resignations ofalldirectors andofficers ofthe Company, effective asofthe Closing.
i (e)Additional Documents.
(i)AttheClosing, Seller will
- deliver, orcause tobedelivered, thefollowing toBuyer:
(A)totheextent notpreviouslyobtained, evidence of compliance
- with, orawaiver of,theRight ofFirst Refusal; (B)copies ofSeller's Required Regulatory Approvals andanyandallthird party
- notices, consents, waivers orapprovals setforth onSchedules 3.4and3E (C)acertificate pursuant toTreasury Regulations Section 1.445-2(b) that Seller isnotaforeign person within the meaning ofSection 1445oftheCode; (D)counterpart signature pages toeachPost-Closing Related Agreement, duly executed bySeller orits Affiliate, as applicable; (E)written evidence ofthetermination ofthe authorization ofeachPerson whoisanauthorized signatory toor otherwise authorized todeal inthefunds ofanybank account of theCompany; and (F)all suchother documents, agreements, or instruments
- asshall, inthereasonable opinion ofBuyer andits
- counsel, bereasonably necessary ordesirable inconnection with theContemplated Transactions, orrequired tobedelivered by 55
NON-PROPRIETARY Seller atorprior totheClosing Datepursuant tothis Agreement or theRelated Agreements.
(ii)AttheClosing, Buyer will
- deliver, orcause tobedelivered, thefollowing toSeller:
(A)thePurchase Price; (B)copies ofBuyer's Required Regulatory Approvals and any andallthird party
- notices, consents, waivers orapprovals setforth onSchedule 4.4; (C) articles ofamendment totheCompany's articles of incorporation to befiledwith theDepartment ofFinancial Institutions ofthe State ofWisconsinincompliance withBuyer's obligations pursuant tothesecondsentence ofSection 5.11(a);
(D) copies of all required pre-Closingnotifications to theNRCandthe trustee of the Decommissioning Trust Agreement; (E)theBackup Trust Agreement, duly executed byeach party thereto; (F)counterpart signature pagesto each Post-Closing Related Agreement, dulyexecuted byBuyeror its Affiliate, as applicable; (G)theinitial payments duetoSeller oritsapplicable Affiliates pursuant toeachofthePost-Closing Related Agreements; and (H)all suchother documents, agreements, or instruments
- asshall, inthereasonable opinion ofSeller andits
- counsel, bereasonably necessary ordesirable inconnection with theContemplated Transactions orasarerequired tobedelivered byBuyer atorprior totheClosing Datepursuant tothis Agreement ortheRelated Agreements.
ARTICLEIX TERMINATIONANDABANDONMENT Section 9.1 Methods ofTermination.
ThisAgreement maybeterminated and thetransactions herein contemplated maybeabandoned asfollows:
(a)bymutual consent ofSeller andBuyer; 56
NON-PROPRIETARY (b)byanyParty iftheClosing hasnotoccurred onorbefore December 1,2022(the "Outside Date");
- provided, however, that theright to terminate this Agreement under this Section 9.1(b) shall notbeavailable toa Party ifsuch Party hasfailed inanymaterial respect tofulfill anyobligation under this Agreement; (c) byBuyer,ifthere hasbeenabreach orviolation bySeller ofany representation,
- warranty, covenant oragreement madebySeller contained inthis Agreement such that the conditionssetforth inSection 6.2or6.3would notbe satisfied asofthe Closing, andsuchbreach orviolation (i) isnotcured bythe earliest ofthe Closing Date, sixty(60) daysafter written notice toSeller specifying particularlysuch breach orviolation andfive(5)
Business Daysbefore theOutside Date (provided that intheeventSeller isattempting tocurethe violation orbreach ingoodfaith, thenBuyer maynotterminate pursuant tothis provision unless theviolationor breach isnotcured bytheearlier ofthirty (30) days after all other conditions precedent toClosingsetforth inArticle VIhave beeneither satisfied orwaived and five (5) Business Daysbefore theOutside Date);
or(ii) hasnotbeenwaived byBuyer; (d)bySeller, ifthere hasbeen abreach orviolation byBuyerofany representation,
- warranty, covenant oragreementmade byBuyercontained inthis Agreement such that theconditions setforth inSection 7.2or7.3would notbe satisfied asoftheClosing, andsuchbreach orviolation (i) isnotcured bythe earliest oftheClosing
- Date, sixty (60) daysafter writtennotice toBuyer specifying particularly such breach orviolation andfive (5)Business Daysbefore theOutside Date(provided that intheeventBuyer isattempting to cure the violation orbreach ingoodfaith, thenSeller maynotterminate pursuant tothis provision unless theviolation orbreach isnotcured bytheearlier ofthirty (30) days after allother conditions precedent toClosing setforth inArticleVII have beeneither satisfied orwaived andfive(5)
Business Daysbefore the Outside Date);
or(ii) hasnotbeenwaived bySeller; (e)bySeller, iftheRight ofFirst Refusal hasbeenproperly andtimely exercised, inorder toconsummate thepurchase andsale oftheCompany pursuant tothetermsandconditions oftheRight ofFirst Refusal; provided that all required regulatory approvals forsuch purchase andsale havebeenobtained; or (f)byBuyer orSeller upon(i) theexistence
- ofafinal, nonappealable injunction,
- order, judgment ordecree or(ii) theenactment orissuance ofanyLaw prohibiting theconsummation oftheContemplated Transactions.
Section 9.2 Procedure UponTermination andConsequences.
Buyer orSeller mayterminate this Agreement whenpermitted pursuant toSection 9.1bydelivering written notice ofsuchtermination, andsuchtermination shall beeffective upondelivery ofsuchnotice inaccordance with Section 11.3.
Ifthis Agreement isterminated as provided
- herein, (a)
Buyer(and its agents andrepresentatives) shall return toSeller all documents, workpapers andother material relating totheCompany ortheContemplated 57
NON-PROPRIETARY Transactions whether obtained before orafter theexecution hereoand ARTICLEX INDEMNIFICATION Section 10.1Indemnification.
(a)M.
Effective asoftheClosing, Sellershall indemnify, defend andhold harmless Buyer fromandagainst anyand all Adverse Consequences incurred
- byBuyer, theCompany, oranyoftheir respective Affiliates,
- officers, directors, employees, consultants andagents (the "Buyer Indemnified Parties"),
asaresult oforwith respect toanyofthe following (without duplication):
(i) anybreach orinaccuracy ofanyrepresentation or warranty ofSeller setforth inthis Agreement; (ii) anybreach ofanycovenantor agreement ofSeller contained inthis Agreement; (iii) anyTaxesofthe Company foranyPre-Closing TaxPeriod; and(iv) anyExcluded Liabilities.
(b)Indemn.ification 12y Buyer.
Effective asoftheClosing, Buyershall indemnify, defend andholdharmless Seller fromandagainst anyandall Adverse Consequences incurred bySeller andits Affiliates,
- officers, directors, employees, consultants andagents (the "Seller Indemnified Parties"),
asaresult oforwith respect toanyofthefollowing (without duplication):
(i) anybreach ofany representation orwarranty ofBuyer setforth inthis Agreement, (ii) anybreach of anycovenant oragreement ofBuyer contained inthis Agreement; and(iii) after theClosing, anyliability with respect totheCompany, including those that may beincurred
- bySeller, whether arising
- before, onorafter theClosing, and including all liabilities relating totheRestoration
- Project, except asotherwise specifically provided forinSection 5.8(c).
58
NON-PROPRIETARY Section10.2Procedure forIndemnification.
(a)Eachclaim forindemnification, including those claims resulting from theassertionofliability bypersons orentities notparties tothis Agreement, including claimsbyanyGovernmental Entity forpenalties, fines andassessments, mustbe made bydelivery bytheParty tobeindemnified (the "In@mnified Party")to the Partyresponsiblefortheindemnification obligation (the "Indemnihing.Party")
ofwritten notice containing details reasonably sufficient to disclose tothe Indemnifying Party thenature andscope oftheclaim within thirty (30) days after the Indemnified Party's knowledge ofsuch claim.
Anyfailure in thedelivery ofsuch notice shallnotaffect theobligations oftheIndemnifying
- Party, except if, andonly totheextent
- that, therights andremedies ofthe Indemnifying Party are adversely affectedorprejudiced asaresult ofthefailure
- togive, ordelay ingiving,such notice.
(b)TheIndemnifyingParty shallhavetheright toparticipate inor,by giving written notice tothe Indemnified Party, toelect toassume thedefense of anyclaim brought against anIndemnified Party forwhich theIndemnifying Party isrequired toindemnify theIndemnifiedParty, atsuch Indemnifying Party's own expense andbysuch Indemnifying Party's own counsel, solong as(i) the Indemnifying Party notifies the Indemnified Party in writing within thirty (30) days after receiving notice oftheclaim that the Indemnifying Party will indemnify, defend andhold harmless theIndemnifiedParty fromandagainst the entirety ofanylosses theIndemnified Party maysuffer resulting from,arising out of,relating to,inthenature of,orcaused bytheclaim, (ii) the claim involves only moneydamages anddoes notseek aninjunction orother equitable relief against theIndemnified
- Party, (iii) theclaim does notallege aviolation of criminal
- law, (iv) settlement of,oranymaterial adverse judgment with respect to,the claim, is notlikely toestablish aprecedential custom orpractice materially adverse tothe continuing business interests oftheIndemnified
- Party, and(v) the Indemnified Party hasnotbeenadvised inwriting bycounsel that areasonable likelihood exists ofaconflict ofinterest between theIndemnified Party andthe Indemnifying Party.
TheIndemnified Party shall cooperate ingoodfaith insuch defense atsuch Indemnified Party's ownexpense.
(c)Intheeventthat theIndemnifying Party haselected toassumethe defense ofaclaim asprovided inSection 10.2(b)
- hereof, theIndemnifying Party shall notbeliable foranylegal expenses subsequently incurred bythe Indemnified Party inconnection with thedefense thereof;
- provided, however, that iftheIndemnifying Party fails totake reasonable steps necessary todefend diligently such claim within thirty (30) daysafter receiving notice fromthe Indemnified
- Party, theIndemnified Party mayassumeits owndefense, andthe Indemnifying Party shall surrender control totheIndemnified Party andbeliable forall Adverse Consequences thereof.
(d)Ifafirm offer ismadetosettle aclaim (and suchoffer contains an unconditional andcomplete release oftheIndemnified Party inconnection with 59
NON-PROPRIETARY suchclaim) andtheIndemnifying Party desires toaccept andagree tosuchoffer, the Indemnifying Party shall give written notice totheIndemnified Party tothat effect. Ifthe Indemnified Party fails toconsent tosuch firm offer within ten(10) days afterits receipt ofsuch
- notice, theIndemnified Party maycontinue tocontest ordefend suchclaim and,insuch
- event, themaximum Adverse Consequences of the Indemnifying Party astosuch claim shall betheamountofsuchsettlement
- offer, plus Adverse Consequences paid orincurred bytheIndemnified Party upto thedate ofsuch notice.
TheIndemnified Party shal,1 fully cooperate atits expense inconnectionwith anysuchclaims including reasonable access tothe Indemnified Party's records andpersonnel relating tosuchclaim.
Section 10.3Survival.
Except for(i) theFundamental Representations (which, together with therights ofthe Parties toindemnification under this A reement inrespect
- thereof, shall terminate onthe and(ii) the representations andwarranties contained in Section 3.8(which, together with therights of theParties toindemnification under thisA eement inresectthereof shall terminate
,the representations andwarranties ofthe Parties contained inthis Agreement(and therights oftheParties toindemnification under this A
eement inrespect thereof) shall terminate Thecovenants andagreementsofthe Parties contained inthis Agreement (and therights ofthe Parties toindemnification under this A eementinresectthereo shall survive NoIndemnifying Party shall have any liability forany claim forindemnification madepursuant toSection 10.1(a) or10.1(b)by anIndemnified Party hereunder unless theIndemnified Party notifies such Indemnifying Party ofsuch claim inwriting, setting forth inreasonable detail thenature oftheclaimon or before the expiration ofthetime periods mentioned inthefirst sentence ofthis Section10.3.
Notwithstanding anything herein tothecontrary, ifnotice ofaclaim for indemnification then suchclaim forindemnification shall bewaived.
Section 10.4Exclusive Remed 60
NON-PROPRIETARY Section 10.5Mitigation andLimitation ofClaims.
Notwithstanding anything to thecontrary contained herein:
(a)AnIndemnified Partyshall takecommercially reasonable steps to mitigate Adverse Consequences relating toanindemnifiable claim; (b)Incalculating anIndemnifying Party's indemnification obligations under this Article X,theamount thereof shallbereduced totheextent that the subject matter oftheclaim iscovered by and actuallypaid totheIndemnified Party pursuant to(i) awarranty orindemnification fromathird
- party, or(ii) insurance (net ofanydeductible amounts,copayments orother costsharing and out-of-pocket costs andexpenses related tothe recovery ofsuchamounts);
and Section 10.6TaxTreatment ofIndemnity Payments.
Seller andBuyeragree to treat anyindemnity payment madepursuant tothis Article X asanadjustment tothe Purchase Price forallTaxpurposes.
Section 10.7TaxBenefit.
Anypayment madebyanyIndemnifying Party hereunder shall bereduced (but notbelowzero) totake into account thenetpresent value ofanyTaxbenefit that mayberealized bytheIndemnified Party arising fromthe incurrence ofanAdverse Consequence.
Theamountofanysuch Taxbenefit shall be determined atthemaximum statutory ratethen ineffect forapplicable
- federal, state and 61
NON-PROPRIETARY local Taxes, which will beTaxeffected atsuch maximum
- rate, andcomputed without regard toanyTaxcredits,
- losses, deductions orother Taxattributes fromanysource that
- maylimit, reduce ornegate theTaxbenefit otherwise available tobederived bythe Indemnified Party fromtheincurrence oftheAdverse Consequence.
ARTICLEXI MISCELLANEOUS Section 11.1 Amendment andModification.
This Agreement (other than amending Schedulespursuant toSection5.6) maybeamended, modified and supplemented onlybywritten agreement ofBuyer andSeller.
Section 11.2Waiverof Compliance.
Anyfailure ofBuyer orSeller tocomply with anyobligation,
- covenant, agreement orconditioncontained herein maybeexpressly waived inwriting
- bySeller, inthe event ofanysuchfailure
- byBuyer, orbyBuyer, inthe eventofanysuchfailure
- bySeller, butsuch waiver orfailure toinsist uponstrict compliance shall notoperate asawaiver of, or estoppel with respect to,anysubsequent orother failure.
Section 11.3Notices.
Allnotices, requests, demands, waivers andother communications required orpermitted tobegiven under this Agreement shall bein writing andmaybegiven byanyofthefollowing methods: (a)personal delivery, (b) registered orcertified
- mail, postage
- prepaid, return receipt requested, (c) nextdayair courier service or(d) electronic mail.
Notices shall besenttothe appropriate party atits address given below(or atsuchother address forsuch party asshall be specified by notice given hereunder).
IftoSeller, to:
Dominion Nuclear
- Projects, Inc.
120Tredegar Street
- Richmond, VA23219 Attn:
EmilG.Avram Email:
emil.avram@dominionenergy.com with copies (which shall notconstitute notice) to:
Dominion Energy
- Services, Inc.
120Tredegar Street
- Richmond, VA23219 Attn:
Russell J.Singer Email:
russell.j.singer@dominionenergy.com and:
McGuireWoods LLP 800East Canal Street 62
NON-PROPRIETARY
- Richmond, VA23219 Attn:
Joanne Katsantonis, Esq.
Email:
jkatsantonis@mcguirewoods.com ortosuchother Person oraddress asSeller shall designate inwriting.
IftoBuyer to:
Energy Solutions 299South Main, Suite1700 Salt Lake
- City, Utah 84111 Attention:
KenRobuck, CEO;RussWorkman, General Counsel Email:
kwrobuck@energysolutions.com; rgworkman@energysolutions.com with acopy(which shall notconstitute notice) to:
HoganLovells USLLP Columbia Square 555Thirteenth
- Street, NW Washington, DC20004 Attention:
Daniel F.Stenger; Stacey McEvoy Email:
daniel.stenger@hoganlovells.com; stacey.mcevoy@hoganlovells.com ortosuch other Person oraddress asBuyershall designate inwriting.
Allsuch
- notices, requests,
- demands, waivers andcommunications shall be deemed effective upontheearlier of:(i) actual receipt thereof bythe addressee,(ii) actual delivery thereof totheappropriate address or(iii) inthecaseofnextdayair courier
- service, thefollowing day.Ifanynotice,
- request, demand, waiver orcommunicationis received outside ofnormal business
- hours, thedate ofsuchreception shall bedeemed to bethefollowing Business Day.
Section 11.4Binding Nature; Assignment.
This Agreement shall bebinding uponandinure tothebenefit oftheParties hereto andtheir respective successors and permitted
- assigns, butneither this Agreement noranyoftherights, interests or obligations hereunder shall beassigned, byoperation oflaworotherwise, byanyofthe Parties hereto without prior written consent oftheother Party;
- provided, however, that no suchassignment shall relieve ordischarge anyParty fromanyofitsobligations hereunder.
Nothing contained
- herein, express orimplied, isintended toconfer onany Person other than theParties hereto ortheir successors andassigns, anyrights,
- remedies, obligations orliabilities under orbyreason ofthis Agreement.
Anyassignment in contravention oftheforegoing sentence shall benull andvoidandwithout legal effect on therights andobligations oftheParties hereunder.
63
NON-PROPRIETARY Section11.5Entire Agreement.
ThisAgreement, including theSchedules, Related Agreements andtheConfidentiality Agreement, embodies theentire agreement andunderstanding oftheParties hereto inrespect ofthesubject matter contained herein.
This Agreement, includingtheSchedules, Related Agreements andtheConfidentiality Agreement, supersedes allprior agreements andunderstandings amongtheParties with respect tosuch subject matterandsupersede anyletters, memoranda orother documents orcommunications, whether oral, written orelectronic, submitted ormadeby(i)
Buyer or its agents orrepresentatives
- toSeller, theCompany, oranyoftheir respective agents or representatives, or(ii) Seller, the Companyortheir respective agents orrepresentatives to Buyer oranyofits agents or representatives, inconnection with thebidding process which occurred prior totheexecution ofthis Agreement orotherwise inconnection with thenegotiation andexecutionof this Agreement.
Nocommunications byoronbehalf of
- Seller, including responses toanyquestions orinquiries, whether
- orally, inwriting or electronically, andnoinformation provided inanydata roomoranycopies ofany information fromanydata roomprovided toBuyer oranyother information shall be deemed toconstitute arepresentation, warranty oranagreementofSeller orbepartof this Agreement.
Section 11.6Expenses.
EachParty tothis Agreement shall payits own expenses inconnection with thenegotiation ofthis Agreement, the performance ofits obligations hereunder, andtheconsummation ofthe Contemplated Transactions, including, except asotherwise provided
- herein, thecostoflegal, technical andfinancial consultants andthecostoffiling forandprosecuting applications for B r's Re ired ulato royalsandSeller's Re ired R
lato royals.
Section 11.7Press Releases andAnnouncements; Disclosure.
Without the consent ofanon-disclosing
- Party, nopress release orother public announcement or disclosure related tothis Agreement ortheContemplated Transactions (including the termsandconditions ofthis Agreement) shall beissued ormadebyaParty.
The foregoing shall notprohibit anydisclosure required byapplicable Laworsecurities exchange requirements, provided such disclosure ismadepursuant totheConfidentiality Agreement
- and, totheextent legally andreasonably permissible, thedisclosing Party consults with theother Parties inadvance ofsuch disclosure.
Section 11.8Acknowledgment; Disclaimer.
(a)
BUYERACKNOWLEDGES THATNEITHERSELLER,THE COMPANY NORANYOTHERPERSON HASMADE,ANDSELLER 64
NON-PROPRIETARY HEREBY DISCLAIMS, ANYREPRESENTATION ORWARRANTY, EXPRESSED ORIMPLIED, ASTOTHEACCURACY ORCOMPLETENESS OFANYINFORMATION REGARDING SELLERORTHECOMPANYOR THE CONDITION OFTHEASSETS OFTHECOMPANY,VALUEOR QUALITY OFTHEASSETS OROPERATIONS OFTHECOMPANYORTHE PROSPECTS, (F1NANCIAL OROTHERWISE),
- RISKS, ANDOTHER INCIDENTS OFTHECOMPANYNOTINCLUDEDINARTICLEIIIOFTHIS AGREEMENT AND THERELATEDSCHEDULES.
EXCEPTFORTHE REPRESENTATIONS ANDWARRANTIES EXPRESSLY SETFORTH HEREINORINTHE SCHEDULES, SELLERSPECIFICALLY DISCLAIMS ANYREPRESENTATION ORWARRANTY OFMERCHANTABILITY, USAGE,SUITABILITY OR FITNESS FORANYPARTICULAR PURPOSE WITHRESPECT TOSUCH
- ASSETS, ORANYPARTTHEREOF,ORASTO THEWORKMANSHIP
- THEREOF, ORTHEABSENCE OFANYDEFECTS
- THEREIN, WHETHER LATENT OR PATENT, ORCOMPLIANCE WITH ENVIRONMENTAL REQUIREMENTS, ORASTOTHECONDITION OF, ORTHERIGHTSOFTHECOMPANY IN,ORITSTITLETO,ANYOFITS ASSETS,ORANYPARTTHEREOF.WITHOUT LIMITINGTHE GENERALITY OFTHEFOREGOING, EXCEPT ASEXPRESSLY SET FORTHHEREINORINTHESCHEDULES, NO REPRESENTATION OR WARRANTY ISMADEWITHRESPECT TOANY INFORMATION INANY PRESENTATION MATERIALS PROVIDED
- TOBUYER, ANYDATAROOM ORANYSUPPLEMENT ORAMENDMENT THERETO ORANY INFORMATION CONTAINED THERElNOROTHERWISE PROVIDED IN CONNECTION WITHTHESOLICITATION OFPROPOSALS TOENTER INTOTHECONTEMPLATED TRANSACTIONS, SUCHINFORMATION HAVINGBEENPROVIDEDFORTHECONVENIENCE OFBUYER IN ORDERTOASSIST BUYERINFRAMINGITSDUEDILIGENCE EFFORTS.
EXCEPTTOTHEEXTENTTHATSUCHDAMAGES AREPAIDOR PAYABLETOA PERSON NOTA PARTYORANAFFILATE OFA PARTY BYREASONOFATHIRDPARTYCLAIM,UNDERNOCIRCUMSTANCES SHALLANYPARTY,ORTHEIRSHAREHOLDERS,
- TRUSTEES, DIRECTORS, EMPLOYEES, AGENTS,OFFICERS ORAFFILIATES, BE RESPONSIBLE FORANYINDIRECT, INCIDENTAL,
- PUNITIVE, SPECIAL ORCONSEQUENTIAL DAMAGES(INCLUDING DAMAGES RELATEDTO DIMINUTION INVALUE,LOSTBUSINESS, LOSTPROFITS, LOSSOF USE,ANDLOSSOFDATA,ORFAILURETOREALIzESAVINGS OR BENEFITS)
ARISINGUNDERTHISAGREEMENT ORANYRELATED AGREEMENTS, EVENIFADVISEDOFTHEPOSSIBILITY OFSUCH LOSS.
(b)Buyerfurther acknowledges that(i)
- Buyer, either alone ortogether withanyPersons retained toadvise itwith respect totheContemplated Transactions
("Advisors"),
hasknowledge andexperience intransactions ofthis typeandinthebusiness oftheCompany, andistherefore capable ofevaluating therisks andmerits ofacquiring
- theStock, (ii) ithasrelied onits own independent investigation, andhasnotrelied onanyinformation furnished by 65
NON-PROPRIETARY Seller,theCompany oranyrepresentative oragentthereof oranyother
- Person, otherthan therepresentations andwarranties setforth inthis Agreement, in determining toenter into this Agreement, (iii) neither
- Seller, theCompany nor any representative oragent thereof oranyother Person hasgiven anyinvestment, legal or otheradvice orrendered anyopinion astowhether thepurchase ofthe Stock is prudent, andBuyer isnotrelying onanyrepresentation orwarranty by Seller orthe Company oranyrepresentative oragentthereof except assetforth in Article III,and (iv)Buyerandits
- Advisors, ifany,havehadtheopportunity toask questions andreceive answers concerning theCompany andthetermsand conditions ofthis Agreement.
Section 11.9Governing Law. This Agreement shall beconstrued andenforced inaccordance with thelaws ofthe State ofDelawarewithout giving effect tothechoice oflawprinciples thereof.
Each Party consents topersonal jurisdiction inanyaction brought intheChancery Court oftheState ofDelaware, andanystate appellate court therefrom within theState ofDelaware (or, iftheChancery Court oftheState of Delaware declines toaccept jurisdiction over a particular
- matter, anyfederal court within theState ofDelaware) having subject matter jurisdiction arisingunder this Agreement, andeachoftheParties hereto agrees that anyaction instituted byeither ofthemagainst theother with respect tothis Agreement will beinstituted exclusively intheChancery Court oftheState ofDelaware, oranystate appellate court therefrom within theState of Delaware (or, iftheChancery Court oftheState ofDelaware declines toaccept jurisdiction overaparticular
- matter, anyfederal court withinthe State ofDelaware).
Section 11.10 WAIVEROFJURYTRIAL.EACHPARTY ACKNOWLEDGES ANDAGREESTHATANYCONTROVERSYWHICH MAY ARISEUNDERTHISAGREEMENT ISLIKELYTOINVOLVE COMPLICATED ANDDIFFICULT
- ISSUES, ANDTHEREFORE EACHPARTYHEREBY IRREVOCABLY ANDUNCONDITIONALLY WAIVESANYRIGHTA PARTY MAYHAVETOA TRIALBYJURYINRESPECT OFANYLITIGATION RESULT1NG FROM,ARISING OUTOFORRELATINGTOTHISAGREEMENT ORTHECONTEMPLATED TRANSACTIONS.
EACHPARTYCERTIFIES AND ACKNOWLEDGES THAT(i)
NOREPRESENTATIVE, AGENTORATTORNEYOF ANYOTHERPARTYHASREPRESENTED, EXPRESSLY OROTHERWISE,THAT SUCHOTHERPARTYWOULDNOT,INTHEEVENTOFLITIGATION, BE BOUNDBYTHEFOREGOING WAIVER,(ii)
EACHPARTYUNDERSTANDS AND HASCONS1DERED THEIMPLICATIONS OFTHISWAIVER,(iii)
EACHPARTY MAKESTHISWAIVERVOLUNTARILY AND(iv)
EACHPARTYHASBEEN INDUCEDTOENTERINTOTHISAGREEMENT BY,AMONGOTHERTHINGS, THEMUTUALWAIVERSANDCERTIFICATIONS INTHISSECTION11.10.
Section 11.11Specific Performance.
TheParties acknowledge andagree that the other Parties would bedamaged irreparably intheevent anyoftheprovisions ofthis Agreement arenotperformed inaccordance with their specific termsorareotherwise
- breached, andthat monetary
- damages, evenifavailable, would notbeanadequate remedy therefor.
Accordingly, theParties agree that theother Parties shall beentitled to 66
NON-PROPRIETARY an injunction orinjunctions toprevent breaches oftheprovisions ofthis Agreement and to enforce specifically this Agreement andthetermsandprovisions hereof inaddition to anyother remedy towhich itmaybeentitled, atlaworinequity.
EachoftheParties agreesthat itwillnotoppose thegranting ofaninjunction, specific performance and other equitable relief onthebasis that anyother Party hasanadequate remedy atLawor that anyaward of specific performance isnotanappropriate remedy foranyreason at Laworinequity, Any Partyseeking aninjunction orinjunctions toprevent breaches of this Agreement and to enforce specifically thetermsandprovisions ofthis Agreement shall notberequiredto provide anybondorother security inconnection with anysuch order orinjunction.
Innoevent shalltheexercise ofanyParty's right toseekspecific performance pursuant tothis Section 11.11
- reduce, restrict orotherwise limit theright of aParty toterminate this Agreement pursuant toArticle IX.
Section 11.12 NoJoint Venture.
Nothing inthis Agreement creates oris intended tocreate anassociation, trust,partnership, joint venture orother entity orsimilar legal relationship amongtheParties, orimpose atrust,partnership orfiduciary
- duty, obligation, orliability onorwith respect tothe Parties.
Exceptasexpressly provided
- herein, noParty isorshall actasorbethe agentor representative oftheother Party.
Section 11.13 Severability.
Ifanytermorother provision ofthis Agreement is
- invalid, illegal orincapable ofbeing enforced byanyLawor public policy,all other conditions andprovisions ofthis Agreement shall nevertheless remain infull force and effect solong astheeconomic orlegal substance ofthe Contemplated Transactions isnot affected inanymanneradverse toanyParty.
Uponsuch determination thatanytermor other provision isinvalid, illegal orincapable ofbeing
- enforced, the Parties shall negotiate ingoodfaith tomodify this Agreement soastoeffect the original intent ofthe Parties asclosely aspossible inorder that theContemplated Transactions be consummated asoriginally contemplated tothegreatest extent possible.
Section 11.14 Counterparts.
ThisAgreement maybeexecuted intwoormore counterparts, eachofwhich shall bedeemed anoriginal, butall ofwhich together shall constitute oneandthesameinstrument.
Delivery ofanexecuted counterpart ofa signature pageofthis Agreement byfacsimile orelectronic mail transmission shall be effective asdelivery ofamanually executed counterpart ofthis Agreement.
Section 11.15 Interpretation.
Thearticle andsection headings contained inthis Agreement areinserted forconvenience only andshall notconstitute aparthereof.
[SIGNATURE PAGEFOLLOWS) 67
NON-PROPRIETARY INWITNESS WHEREOF,theparties hereto havecaused this Agreement tobeduly executed onthedayandyearfirst above written.
DOMINIONNUCLEARPROJECTS, INC.
Name:EmilG.Avram
Title:
VicePresident
- Business Development ENERGYSOLUTIONS, LLC By:
Name:KennethW. Robuck
Title:
NON-PROPRIETARY INWITNESS
- WHEREOF, theparties hereto havecaused this Agreement tobeduly executed onthedayandyearfirst above written.
DOMINION NUCLEARPROJECTS, INC.
By:
Name:EmilG.Avram
Title:
VicePresident
- Business Development ENERGYSOLUTIONS, LLC By:
Name:Kenneth W. Robuck
Title:
CEO i
Serial No.:21-171 ENCLOSURE 2
PRE-CLOSING AND POSTCLOSING ORGANIzATIONAL CHARTS i
KewauneePowerStation Dominion Energy
- Kewaunee, Inc.
EnergySolutions, LLC
Serial No.:
21-171 Attachment 1,Enclosure 2
Page1of3 Figure 2.1 Pre-TransferOwnership Chart Dominion
- Energy, Inc.
Dominion Generation, Inc.
Dominion Nuclear
- Projects, Inc.
t I
Dominion Energy
- Kewaunee, Inc.
I
Serial No.:
21-171 Attachment 1,Enclosure 2
Page2of3 Figure 2.2 Post-Transfer Ownership Chart
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- Holdco, Inc.
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- Heddings, LLC
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- Pannen, isadmitted toECPHfor rety Limited pmposetMrKarp isnotamanaging membaof,andhas mvoting cecented rights andmecommic interests with respect toECPH.
Serial No.:21-171 Attachment 1,Enclosure 2
Page3of3 Figure 2.3 KewauneeSolutions, Inc.Organization Chief Executive Officer AEnergyholutions'
E(Ken Robuck)A (off-site)
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Serial No:21-171 ENCLOSURE 3 GENERALCORPORATEINFORMATION REGARDINGKEWAUNEE 1
KewauneePowerStation Dominion Energy
- Kewaunee, Inc.
EnergySolutions, LLC
Serial No.:
21-171 Attachment 1,Enclosure 3
Page1of9 NAME Kewaunee Solutions, Inc.
STATEOF Delaware INCORPORATION BUSINESSADDRESS 299 SouthMainStreet, Suite 1700 Salt Lake City, UT84111 MANAGERS Kenneth W. Robuck John Sauger Gregory S.Wood EXECUTIVE PERSONNEL JohnSauger
- ChiefNuclear Officer Gregory S.Wood Chief Financial Officer Russell G.Workman General Counsel andSecretary
Serial No.:21-171 Attachment 1,Enclosure 3
Page2of9 NAME Energy Solutions, LLC STATEOF Utah INCORPORATION BUSINESSADDRESS 299 South MainStreet, Suite 1700 Salt Lake City,Utah84111 MANAGERS KennethW. Robuck, Manager,Chairman Gregory S.Wood, Manager EXECUTIVE PERSONNELKenneth W.Robuck,Chief Executive Officer Gregory S.Wood,Chief Financial Officer Joseph
- Heckman, President, Waste Management RussG.Workman, GeneralCounsel andSecretary Brent
- Shimada, SVP,HumanResources David
- Nilsson, Treasurer
Serial No.:
21-171 Attachment 1,Enclosure 3
Page3of9 NAME Energy Solutions Finance
- Holdings, LLC STATEOF Delaware INCORPORATION BUSINESSADDRESS 299 SouthMainStreet, Suite 1700 Salt LakeCity, Utah84111 MANAGERS Kenneth W. Robuck, Chairman GregoryS. Wood, Director EXECUTIVE PERSONNEL Kenneth W.Robuck, Chief Executive Officer Gregory S.Wood,Chief Financial Officer RussG.Workman, Secretary andGeneral Counsel David
- Nilsson, Treasurer
Serial No.:
21-171 Attachment 1,Enclosure 3
Page4of9 NAME EnergySolutions,Inc.
STATEOF Delaware INCORPORATION BUSINESS ADDRESS 299 South MainStreet, Suite 1700 Salt Lake City,Utah84111 DIRECTORS Kenneth W. Robuck, Chairman Gregory S.Wood, Director Russell G.Workman, Director EXECUTIVE PERSONNELKenneth W.Robuck, Chief Executive Officer Gregory S.Wood,Chief Financial Officer RussG.Workman, General Counsel andSecretary David
- Nilsson, Treasurer
Serial No.:21-171 Attachment 1,Enclosure 3
Page5of9 NAME Rockwell
- Holdco, Inc.
STATEOF Delaware INCORPORATION BUSINESSADDRESS 299 South MainStreet, Suite 1700 Salt Lake City, UT84111 DIRECTORS Tyler
- Reeder, Director DrewBrown, Director Kenneth
- Robuck, Director Christopher Leininger, Director David J.Lockwood, Director Gerald
- Cromack, Director EXECUTIVE PERSONNELKenneth W.Robuck, President and Chief ExecutiveOfficer Gregory S.Wood,Chief Financial Officer RussG.Workman, General Counsel and Secretary David
- Nilsson, Treasurer
Serial No.:
21-171 Attachment 1,Enclosure 3
Page6of9 NAME Energy Capital Partners II, LP STATEOF Delaware INCORPORATION BUSINESS ADDRESS 51 John F.Kennedy
- Parkway, Suite 200 Short Hills, NewJersey, 07078 GENERAL Energy Capital Partners
- GPII, LP PARTNER NAME Energy Capital Partners ll-A, LP STATEOF Delaware INCORPORATION BUSINESS ADDRESS 51JohnF.Kennedy
- Parkway, Suite 200 Short
- Hills, NewJersey, 07078 GENERAL Energy Capital Partners
- GPII, LP PARTNER NAME Energy Capital Partners ll-B, LP STATEOF Delaware INCORPORATION BUSINESS ADDRESS 51JohnF.Kennedy
- Parkway, Suite 200 Short
- Hills, NewJersey, 07078 GENERAL Energy Capital Partners
- GPII, LP PARTNER
Serial No.:
21-171 Attachment 1,Enclosure 3
Page7of9 NAME Energy Capital Partners II-C(Direct IP),
LP STATEOF Delaware INCORPORATION BUSINESS ADDRESS 51 John F.Kennedy
- Parkway, Suite 200 Short Hills,NewJersey, 07078 GENERAL EnergyCapital Partners
- GPII, LP PARTNER NAME Energy Capital Partners ll-D, LP STATEOF Delaware INCORPORATION BUSINESS ADDRESS 51JohnF.Kennedy
- Parkway, Suite 200 Short
- Hills, NewJersey, 07078 GENERAL Energy Capital Partners
- GPII, LP PARTNER NAME Energy Capital Partners
- Parkway, Suite 200 Short
- Hills, NewJersey, 07078 GENERAL Energy Capital Partners II, LLC PARTNER
Serial No.:
21-171 Attachment 1,Enclosure 3
Page8of9 NAME Energy Capital Partners II, LLC STATEOF Delaware INCORPORATION BUSINESSADDRESS 51 John F.Kennedy
- Parkway, Suite 200 Short Hills, NewJersey, 07078 MANAGING DouglasKimmelman MEMBERS Peter Labbat ThomasLane Tyler Reeder Andrew Singer EXECUTIVE PERSONNEL Rahul
- Advani, Principal Schuyler
- Coppedge, Principal RahmanD'Argenio, Principal Andrew Makk,Principal NazarMassouh, Principal Murray
- Karp, Chief Financial Officer andChief Operating Officer PaulParshley, Managing Director
- Investor Relations NAME TriArtisan ESPartners, LLC STATEOF Delaware INCORPORATION BUSINESS ADDRESS 8303rdAve,Floor 4
- NewYork, NY10022 MANAGERS Gerald Gromack Rohit Manocha EXECUTIVE PERSONNELDillon Montag
Serial No.:
21-171 Attachment 1,Enclosure 3
Page9of9 NAME TriArtisan ESMMLLC STATEOF Delaware INCORPORATION BUSINESS ADDRESS 830 3rdAve,Floor 4
New
- York, NY10022 MANAGERS Gerald Gromack Rohit Manocha EXECUTIVE PERSONNELDillon Montag NAME TriArtisan Capital Investors LLC STATEOF Delaware INCORPORATION BUSINESS ADDRESS 8303rdAve,Floor 4
NewYork,NY10022 MANAGERS Gerald Gromack Rohit Manocha EXECUTIVE PERSONNELDillon Montag
Serial No:21-171 ENCLOSURE 4 RESUMESOFKEYMANAGEMENTPERSONNEL KewauneePowerStation Dominion Energy
- Kewaunee, Inc.
EnergySolutions, LLC
36 Serial No.:21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page1of25 CHARLES "JEFF" RICHARDSON Experience Summary:
Over30years'experience developing, leading,
& managing
- complex, multidiscipline
- projects, teams,& initiatives ranging fromconstruction megaprojects, corporate reorganizations, new business development, major engineering& construction initiatives, supplychain management/alliances,& large-scale organizational transformations Education
& Certifications:
a Bachelor ofScience degree inElectrical Engineering fromUniversity ofArkansas at Fayetteville; August 1985
- December 1990.
a July2007:Boiling Water Reactor (GE-VI) Nuclear Operator Training Generic Fundamentals Training; Plant Systems Training.
a May2000:Entergy/Wharton School of Business ExecutiveEducation Certification.
a February 1998:Obtained Professional Engineering Registration fromArkansas Boardof Professional Engineers
=
February 1997
- April 1997:PressurizedWater Reactor (ABB-CE NSSS)
Nuclear Operator Training
- Auxiliary andWaste Control Operator Training.Completed first in class.
Employment History:
September 2020
- Present EnergySolutions ChieLOpefratLnAOff.ice.r Responsibility forcompanywide strategic initiatives andexecution, providing direction and leadership overthese andother companywide endeavors togrowthebusiness. Responsible for alloperating functions including wastemanagement operations, health
& safety, quality assurance, regulatory
- affairs, decommissioning
- business, project management
& controls, and business development.
April 2019
- September 2020 Nuclear Projects Senior VicePresident Expanded responsibility as Executive Leadership Team(C-suite) memberwithoverall responsibility fortheDarlington Refurbishment Program
- the$12.8B, 10-year nuclear mega-project.
January 2018
- March2019 Nuclear Refurbishment Senior VicePresident Responsible fortheoversight
&management oftheplanning
&execution ofthesubsequent unit refurbishments oftheDarlington Nuclear Station.
Keyaccountabilities include providing vision andleadership forthedepartment, oversight anddirection forthe organization's project management, construction contract management, engineering, work
- control, andoperations andmaintenance functions toensure eachproject delivers therequired scopeofworktoestablished
- quality, cost,schedule, andsafety targets while building
oF Serial No.:
21-171 ENERGYSowTIONS Attachment 1,Enclosure 4
Page2of25 managing relationships withinternal andexternal stakeholders tounderstand andaddress the needsof the organization.
September 2013 December 2017 MajorFleet Projects for Entergy
- Nuclear, Jackson, MS Director Responsible for overall business casedevelopment(for bothregulated andmerchant assets modeling),
technical
- studies, major (EPC,etc.)
contract negotiations,
- staffing, funding justification (approval byEntergy Board ofDirectors withquarterly reporting),
andproject execution ofallprojects greater than $15million.
Totalprogram capital estimated at approximately 2 billion dollarswhen completed.
Responsible forNuclear Regulatory Commission processes, Public Service Commission testimony andapprovals, program
- process, schedule, andbudget management.
Management ofinternal andseconded staff forexecution ofmajor projects.
January 2009
- August2013 PowerUprates forEntergy,
- Jackson, MS Director Responsible foroverall business casedevelopment (forboth regulated andmerchant assets modeling),
technical
- studies, major (EPC,etc.)
contract negotiations,
- staffing, funding justification (approval byEntergy BoardofDirectors withquarterly reporting), andproject execution ofmajor licensing andplant modifications toincreasenuclear fleet powergeneration.
Total program capital estimated atapproximately 2billion dollars when completed.
Responsible forNuclear Regulatory Commission processes, Public Service Commission testimonyand approvals, program
- process, schedule, andbudget management.
December 2007
- December 2008 Corporate Spin-off Project forEntergy, NewOrleans, LA PJojecLDLrector Responsible foroverall project management andcoordination ofallareasoftheprocess of successfully spinning off five (5) nuclear plant assetsvalued atmultiple billions ofdollars, along withthereorganization of 7,000employees intothree(3) distinct companies.
Responsible forproject documentation,
- tracking, progress reporting, resource management, presentation tosenior executives (internal andexternal) regarding thespin-off.
September 2007
- November 2007 NewPlant Construction Services forEntergy
- Nuclear, Inc Director Responsible forbusiness andproject management ofthemulti-billion dollar newnuclear plant
- planning, development anddeployment.
Responsible foroversight andmanagement of corporate input intothedevelopment ofpotential new nuclear generation including the management ofcorporate support andfinancial
- systems, coordination withtransmission, systemplanning, fuelmanagement, forecasting, regulatory affairs.
Responsible forthe development ofDepartment ofEnergyLoanGuarantee application
- process, corporate investment strategy documentation andfunding
- requests, presentations tosenior executives andexternal entities.
oW Serial No.:
21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page3of25 February 2006
- August2007 Corporate Reorganization forEntergy
- Nuclear, Inc P!32gram.D[rector Responsible for project management, reporting, datamanagement, benchmarking/analysis organizationdesign, documentation, process managementofthereorganization of7,000 employee company from two,regional operating entities into a single, unified management structure with aligned management andstandard staffing models basedonfacility type.
January 2004
- April 2007 Strategic Alliances for Entergy
- Nuclear, inc Director Responsible forevaluation, development, creation,management, andperformance monitoring ofEntergy Nuclear's strategic alliances withpartner companies suchasGeneral
- Electric, Westinghouse
- Electric, Shaw/Stone&
- Webster, Siemens-Westinghouse andothers.
Total annual spendwith Alliance partners exceeds
$100M annually.Responsible forCorporate Board briefings andfinance discussions.
Ledmulti-site, multi-discipline teamstoevaluate,
- develop, implement, andmanagealliances andrelated initiatives across thefleet ofplants inan expedited manner.
Created keyvendor Alliances for fleetwideBWRrefueling outages(25 outages atanestimated value atover$50MM),
radioactive wasteservices (estimated value at over$20MM).
MemberofEntergy Corporation SupplyChain Strategy Council.
January 2002
- December 2003 Fleet Capacity improvement forEntergy
- Nuclear, Inc Mallagef Developed andexecuted nine(9) full scopepoweruprate feasibility studies fortheEntergy nuclear fleet onaccelerated schedule.
Managed initiative budget ofapproximately
$7million.
Targeted successful, highpotential uprate projects identified by feasibility
- studies, developed investment package andobtained necessary approvals through business unit and corporate executive management toexecuteuprate projects.
Thiseffort resulted infour(4) approved uprate projects (Waterford 3,Vermont
- Yankee, Indian Point 2 andIndian Point3) targeting 253MWeinincreased output andtotal project budget ofapproximately$240 million.
Developed briefing materials andgavepresentations tositeexecutives, business unit executives, corporate risk management
- councils, corporate strategic planning
- groups, corporate senior executives, andtheBoardofEntergy Corporation.
identified keypractices andshared across
- thefleet, coordinated fleet activities, advised project managers andstatused and updated senior Entergy executives onproject developments, challenges, andopportunities.
March2001
- December 2001 License Renewal Services Program forEntergy
- Nuclear, inc Managef Developed newventure business forNuclear Plant Operating License Renewal services to extend operating license fromforty (40) years tosixty (60) years.
Interviewed andhired key engineering staff forteam.Managed theLicense Renewal efforts atnuclear stations intheUS-Northeast andintheUS-South.
Developed marketing materials including website development, seminar presentations, etc.Developed License Renewalprogram guidelines, ITtools and processes including original design ofLicense Renewal Information System(LRIS) usedfor multi-site, web-based managementoflicense renewal dataandinformation whichwas recognized byNElinMay2004withtheawardofa"Topindustry Practice" (TIP)
Award.
o' Serial No.:
21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page4of25 July 2000
- March2001 Entergy Operations, inc.
M Evaluated technical andfinancial potential ofnuclear plant acquisitions aspartofmulti-discipline team.
Participated induediligenceefforts andbidpreparation forthepurchase ofseveral power plants with assets valued at$300M(US) to$600M(US).
Prepared presentations totheOffice of theChief Executive and Entergy BoardNuclear andFinance Committees.
Experience with assetvaluation, financial
- modeling, proformaanalysis, duediligence, andM&Atransition efforts.
Performed financial
& technical
- research, analysis andmanagement presentations fora joint venture nuclear services
- company, theleveraged buyout ofaEuropean electric
- utility, and thedevelopment ofa US-based uranium enrichmentfacility witha multi-partner, international consortium.
November 1997February 2000 Entergy Operations, inc Developed complete program toaddresscomputer system(applications andembedded devices) vulnerability todate-related errors that was used atfive (5) nuclear plant sites.
Program reviewed andaudited inaccordance with Nuclear Regulatory Commission's 10CFR50.54(f) requirements.
Wrotetechnical procedures, programmatic requirements, developed tracking database andprogram philosophy thatwas adopted throughout thecorporation.
Made presentations onprogram initiation andprogress tosenior corporate management, performed training fortechnical organizations onthedevelopment ofinventory strategies, testplansand remediation requirements.
Conducted mediainterviews andpresentations.
Coordinatedwith corporate Information Technology toassure information infrastructure integrity throughoutplant systems.
Managed on-site Entergy andContract personnel for inventory, assessment, testand remediation efforts.
Managed personnel,
- budget, andschedule forsiteY2K program.
Managed thesuccessful completion ofallsafety-related, business critical andimportant systems Y2K certification.
Monthly andweekly presentations tosenior management regarding Year 2000and other engineering issues.
Ledmulti-discipline teamoftechnical experts incoordinating and resolving issues andplanning andexecuting contingency planning efforts forthe transition to 2000.
June1998
- June2000 Entergy Operations, Inc(Arkansas Nuclear Onefacility inRussellville, AR)
Wr Managedeight (8) full-time electrical engineers andnumerous contract engineers invarious
- tasks, analyses andprojects related toelectrical, instrumentation, control andcomputer systems.
Included radiation monitoring systemdesign, instrumentation uncertainty
- analysis, electromagnetic interference
- testing, design basis evaluation, regulatory compliance
- issues, risk assessment fornuclear safety-related systems.
Performed workload management, personnel performance
- review, careerdevelopment assistance, interdepartmental coordination, managementpresentations andinterpersonal issue management.
Performed technical and managerial reviews ofsetpoint calculations, design modification packages andtheelectrical/I&C sections oftheANO-1NRCOperating License Renewal application aswellastheelectrical/I&C portions oftheANO-1Revised Standard Technical Specifications.
xW Serial No.:
21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page5of25 January 1991 November1997 Entergy Operations, Inc.(Arkansas Nuclear One)
Design Enginee.r Managed installation ofANO Unit1 MainTurbine Supervisory Instrumentation System.
Completed installation inrecord-setting outageschedule andunderbudget.
Thesoftware developed for the project wasselected asoneoftwenty finalists froma field ofovertwo hundred entrantsin the 1997WindowsWorld OpenCustomApplication Development Competition sponsored by Microsoft.
Project Software featured atCOMDEXSpring 1997.
Several industry articles(ORBIT Magazine, Nuclear Professional) published regarding project success.
Project recognized in NRC Systematic Assessment ofLicensee Performance Report (1997).
Project Manager forthe
$1,200,000 replacement oftheUnit1 Turbine Supervisory Instrumentation Systemusing digital signal processing equipment interfacing toa VAX-based Plant Monitoring Systemusing Windows NT,WonderWare InTouch software TCP/IPEthernet.
Configured andinstalled TCP/IP Ethernet network usedforthefirst touchscreen-based control application intheArkansas Nuclear One Unit 2 MainControl Room.Usedthis network forthe control andmonitoring oftheAlternate AC/Station Blackout Diesel Generator
- a900RPM,4.4 MWCaterpillar diesel engine usedtosupport Nuclear Class 1Eelectrical loads during power loss events atArkansas Nuclear One.Used Allen-Bradley PLC5/40E processors networked via Ethernet toPC-based control applications utilizing WonderWare's lnTouch process control software.
Ledinthedevelopment ofhuman-machineinterface guidelines foruseonWindows-basedinterfaces atANO.Installed andconfigured Windows NTworkstations running Visual C++fortraining during thedevelopment oftheinadequate Core Cooling Monitoring
& Display System(ICCMDS).
Responsible forthereview ofSoftwareRequirements Specificationsand Software DesignDocuments fortheICCMDSproject inaccordance withIEEESoftware Engineering standards.
Responsible fornetwork design andadministration forplant networks.
As Project
- Manager, designed andinstalled newMainControl Room Console forUnit 2 at Arkansas Nuclear One.Project wascompleted ontimeandon budget.
Received a Peak Performer Awardforworkonthis project andnominated for corporate-wide Chairman's Award.
Thisproject included theinstallation ofnewtelephone andradio equipment and twolarge screendisplays usedtogaingreater accuracy inmonitoring plant powerlevels allowing additional powergeneration capability while maintaining licensing requirements.
As Project
- Manager, designed datanetwork communication configuration fortheadditionof remote Secondary Chemical Sampling Systeminputs tothePlantProcess Computer.
As Lead Electrical
- Engineer, performed thedesign andfield engineering support ofelectrical, network andtelecommunications capabilities fortheUnit1andUnit 2 Control RoomExtension project including thespecification, installation andtesting ofpowertransformers, cabling specification, andlighting analysis.
Servedasnetworking/data communications representative on B&W Owner's GroupInstrumentation andControl Systems Integration Working Grouptodevelop a
specification forplant l&Csystemnetworking technology atB&Wnuclear plants.
Responsible fortherecommendation ofnetwork architectures, protocols, andtechnologies totheB&W Owners' Group.
Worked asassistant engineer fortheintegration, installation andtesting oftwo VAX-based plant process computers using SAIPMSandtheir associated Ethernet/DECNet networks andCPIRealTimeProducts I/Ogear.
ThreeRotations inEICDesign Engineering (15
- months, total).
Various engineering tasks related toinstrumentation
&Control.
o2 Serial No.:
21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page6of25 John T.Sauger Experience Summary:
Currently President andChief Nuclear Office (CNO),
Reactor D&D,withEnergy Solutions, LLC (ES) responsiblefor all10CFR50 licensed facilities going through decommissioning with ESandits subsidiary companies.
Develop strategy andapproach forfunctional areas that include regulatory, final status
- survey, license classification, D&Dandsite restoration.
Previously responsible for completing the decommissioning ofzionasGeneral Manager forzion Solutions.
Education:
a B.S.,
Naval Architectureand Marine Engineering, MaineMaritime Academy1977-1981 Employment History:
2015
- Present Energy Solutions, LLC,Charlotte, NC Responsible forall10CFR50 licensed facilities being decommissioning byEnergy Solutions andits subsidiary companies.
Thisincludes
- zion, LaCrosse,SONGS, andFort Calhoun nuclear power stations.
Develop strategy andapproach for functional areas that includeregulatory, Final Status Survey (FSS),
license classification anddisposal, D&Dandsite restoration.
2013
- Present Energy Solutions, LLC,Greater Chicago Area Executive VicePresident Responsible forcompleting thedecommissioning ofzionNuclear Station north ofChicago.
General Manager forzion Solutions, LLC,anEScompany.
Additional responsibilities included leadership forall D&Dproject operations forES.
2008
- 2013 BrucePower, Canada Executive VicePresident Implement sustaining andstrategic capital programs.
Direct non-nuclear site operations including infrastructure andradiological waste.
Direct andimplement conventional andradiological safety programs.
2004
- 2007 ShawEnvironmental
&Infrastructure Senior VicePresident Directly responsible formanaging theFederal design andconstruction business.
Thisincluded profit/loss, business development andstrategic planning.
Significant accomplishments include:
a Grewbusiness from$100M to$400M annually
=
Awarded theMixed Oxide FuelFabrication construction contract
($3B) a Increased backlog from$500M toover$1B
=
Created
'Center ofExcellence' forclean vertical MILCONconstruction a
Developed andchampioned thecorporate standard forproject risk management
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Page7of25 19992004 Ontario Power Generation, Canada M
Developedschedule andcostestimate fortherefurbishment ofPickering Unit 4.Ledoutage management and work controlfunction for3years before being askedtotake overthe construction phase of theproject.Project delivered for$1.2 billion.
19961999 Decommissioning, Maine
- Yankee, Maine W
Originally brought inasthe Maintenance Managerforstartup following along outage whenthe owners decided todecommissionthe plant.
Developed theacquisition strategy fora Decommissioning Operations Contractor (DOC) aimedattransferring risk fromMaineYankee to contractors.
Implemented aunique site characterization process with participation fromall short listed contractors.
Developed risk andproject management processes.
Working with engineering, ledthetransition fromanuclear operations mentality toafocused construction and contract management organization.
Innovations developed atMaine Yankee:
a
- Cold, Dark&DryApproach a
SpentFuelisland a
Explosive Demolition ofContainment a
Decommissioning Operations Contractor (DOC)
Model a
Commercial D&DWorkBreakdown Structure (WBS)
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Page8of25 JOSEPH A.("JOE")
WETOLITz Experience Summary:
Experienced Executive witha proven, 30+yearhistory working inenergyandindustrial technology companies.
Strong P&Landhands-on operational leader skilled inService,
- Projects, Engineering, Product,Manufacturing andConstruction businesses.
Extensive background asa teambuilder, adaptingto new challenges andlearning quickly.
Enthusiastic, energetic and results oriented.
Education
& Certifications:
Bachelor ofScience Mechanical Engineering PENNSTATEUNIVERSITY, 1985 Master ofBusiness Administration LYNCHBURG COLLEGE,1993 Employment History:
June2018
- October 2019 Day&zimmerman NPS,Charlotte, NC M
Supplier ofnuclear plant maintenance,
- project, construction, labor andsupport services P&Lresponsibility formaintenance andproject services (Sales $150M)
Manageoperations teams,andensure
- safety, quality, schedule andcostgoals are achieved Maintain customer relationships, support bid/award
- process, accountable forcontract execution August2015
- May2018 Enexio Group(Formerly GEA),Germany
/Enexio US,LLC,Clearwater, FL Chief Executive Officer Private Equity owned,global supplier ofpowerplant cooling solutions andservices(Sales
$300M)
P&Lresponsibility forGroupincluding
- Service, NewEquipment andWater Technology businesses Implemented value creation strategy inhighly competitive markets Launched ENEXIOasanewbrand andstand-alone company Integrated US/Europe/China team,strengthened sales
- approach, improved processes Reduced costinSupply
- Chain, Manufacturing, andthrough Design toValue
/R&D/
digitization Increased Service sales andestablished technology leadership inNewEquipment market 2013
- 2015 Babcock
&Wilcox
- Company, Charlotte, NC W
Engineering, outage
- services, component manufacturing, plant maintenance business (Sales
$200M)
P&Lresponsibility forUSandCanadacommercial nuclear services group Restructured business tomatchmarket conditions andimprove margins.
Achieved successful organic growth planwhile pursuing M&Agrowth strategy.
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Page9of25 Responsible fordevelopment ofmPowerplant nuclear
- fuel, NSSSdesign and manufacturing 2011
- 2013 WestinghouseElectric
- Company, Cranberry
- Township, PA M
Nuclear plant OEM andService provider
- Maintenance,
- Fuel, andl&C(Sales
$750M)
P&Lresponsibility for NorthandSouth America activities.
Focusonorder
- intake, strategy, customer relationships, andproject implementation.
Developed strategyto grow NewPlant andService business inCanada with Ontario Hydro a Achieved on-plan budget performance inchallengingmarket 2001-2010 ArevaNP,Inc.,
Lynchburg, VA Various Assignments/Executive Roles:
Responsible forUSRegion Business Units (Sales
$600M): Installed BaseServices, NewBuilds, HeavyComponent Fabrication, Technology Development and Nuclear Measurements.
Develop andimplement
- strategy, andoversee project implementation, quality andsafety culture.
=
Foster andmaintain relationships with customers, suppliers, and government and community leaders.
USRegion leader of1,000person teamproviding plant maintenance andengineering services.
=
Outage
- Services, PumpandMotor, Chemistry, Component Repair and Parts Center.
=
Delivered on-budget financial performance.
=
Focus onperformance improvement
- developed andlaunched aField Leader training program LedtheUS Region Teamof1,000+responsible
- forsales, project management, design andmanufacture ofnuclear fuel andrelated components.
a Achieved aggressive 01improvement target infirst yearwith frequent updates toExec team.
a Negotiated TVABellefonte fuel contract settlement; Developed Strategy aspartof worldwide team.
Responsible forProject Management Standards, Regulatory
- Affairs, andLeanSixSigma Initiative.
Launched LSSorganization inUS;Implemented Project Management standards Responsible
- forSales, Project Management, Engineering andField Services groups.
a Grewmarket share andextended current contracts.
(>$1B Orders)
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Page10of25 Worked aspart ofaglobal, multi-cultural leadership Team.Improved performance standards.
LedSteamGenerator Servicesteamoftechnicians, engineers andPMs(450+)
Managed operations, R&D,CAPEX,Operating
- budgets,
+50%sales growth
($60
$90M+)
SoldFPLAlliance Agreement andwasFPLAlliance Executive Sponsor.
1998
- 2001 TycoElectronics (Formerly
- Ericsson, Inc.),
Lynchburg, VA Soldwireless mobile data systems to Public Safety,Federal Government, andUtility markets.
1985
- 1998 Framatome ANP,Inc(Formerly Babcock& Wilcox Co.),
Lynchburg, VA Various Roles:
Managed SteamGenerator Repair Services teamofengineers, project engineers, field technicians Part ofteamthat launched ourSGReplacement
- business, Project Manager forStLucie project Designed robotic
- tooling, supervised engineers andconducted field operations.
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21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page11of25 THOMASA.KAISER Experience Summary:
39 years' experience inPower plant management, decommissioning, maintenance and modifications, systemengineering design andfinance management.
Executive leadership and personnel managementof D&D Nuclear Plant Decommissioning, Refuel Outageperiods and powerplant extended power rate upgrade projects.
Maintained andoperated NavyNuclear PowerPlants aboard USsubmarines fortenyears.
Project management, project
- controls, cost reporting, engineering
- design, financial
- analysis, andplanning forcommercial utility industry.
Received aBachelor ofScience degree inCivilandEnvironmentalEngineering, andaMaster of Business Administration.
Education
&Certifications.
=
Bachelor ofScience Civil andEnvironmental Engineering
- UNIVERSITYof WISCONSON-MADISON a
Master ofBusiness Administration
- Finance and Operations BENEDICTINE UNIVERSITY
=
Nuclear PowerSchool andPrototype
- Training, U.S.
NAVY
=
Professional Engineer License
- Wisconsin a
Project Management Institute
=
U.S.NavyActive (10years) andReserve (18years)
RetiredNavy Captain Employment History:
July2017
- May2018 APTIM Responsible forthesafety,
- quality, andworkperformance ofover4000seasonal union craft personnel, field nonmanuals andmanagement personnel on40sites across theUnited States and expanded workinto theOntario Province ofCanada.
Workperformance includes nuclear andfossil maintenance andmodification taskassignments during twonuclear refueling plant shutdowns, three Fossil plant outages andonline workperiods.
Responsible forspecialty welding services and assigned valve scopes.
July2013
- June2017 CB&I(Chicago Bridge
&Iron)
Responsible forthesafety,
- quality, andworkperformance ofover2000seasonal unioncraft personnel, field nonmanuals andmanagement personnel on40sites across theUnited States.
Workperformance includes Nuclear andfossil maintenance andmodification taskassignments during refueling plant shutdowns andonline workperiods.
Responsible forspecialty welding services andassigned valve scopes.
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Page12of25 CB&l (Chicago Bridge
&Iron)
Responsible for Entergy Nuclear Utility 9site maintenance andmodifications foronline workand refuel outage performance including 20refuel outages andoneUnit Plant poweruprate lasting 75 days.Duringthis period institutedcostreduction methods andpractices reducing CB&Ioutage costsfrom$73/
hour to $65/hourover three years.
November1998 July 2013 ShawStone
&WebsterConstruction Responsible foracentral officestaff of20managersandover1800full timeandseasonal union craft personnel.
Implemented a new MMC modelfornine Entergy Fleet Nuclear Sites bringing site tosite standardization, commonwork
- package, safety andoutage assessments, in-depth work planpreparation andconsistent workperformance standards.Instituted improved safety plans leading toarecordable rate reduction from1.08 to0.44during 2011,2012and2013.
Shaw-Stone
&Webster Construction Responsible fordeveloping atransition andexecution plan forworkperformance atallNuclear sites aswell asdevelopment ofISFSI design andbuildplans. Ledateamof5engineers andfield superintendents conducting outage assessments, work package review andoversight feedback.
Shaw-Stone
&Webster Construction Responsible fora staff 8 managers, superintendents andover2500 fulltimeandseasonal professional andcraft personnel performing safeanderror free online and outage maintenance services andmodification implementation.
I ShawStone
&Webster Construction l
Responsible forthedevelopment of80maintenance operation procedures
=
Coordinated thetransition offour Nuclear contractor maintenance service contracts
=
Provided technical and commercial maintenance
& modification contractor(MMC) assistance to10site maintenance teams
=
Standardized maintenance business operations across sixnuclear plant sites a
Controlled project costs andmaximized performance tomeetproject schedules.
I Shaw-Stone
&Webster Construction I
=
Responsible forDepartments Budget andproject controls Coordinated projects invoicing, billing
&review.
j
=
Provided technical andcommercial assistance toproject planning group.
I Controlled project costsandmaximized performance tomeetproject schedules.
j Recruited,
- trained, andmaintained field staff andsupervision.
I Ensured that a"Safety First" attitude andprinciples werealways practiced.
Provide input tolong-range corporate andstrategic business plans I
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Page13of25 November 1996
- November 1998 DukeEngineering
&Services ProvidedTrust fund,system shutdown andsafe storage technical support andleadership to core staff personnel andprovided field observation andoversight.
DukeEngineering& Services Developed andimplemented Decommission Trust FundReimbursement tracking andrecovery process utilizing 10CFR50.82 and.92guidelines Developed andmaintained three-year SAFSTOR Operations andDormancy Plan
=
Developed andmaintained
- weekly, monthly, quarterly, andannual financial reports for engineering andfield activities, Dormancy preparation
- projects, SAFSTOR maintenance items andDryCaskStorage activities.
Provided oversight review andcomments for seven PWRandBWRbasedDecommissioning CostStudies.
ibi January 1996
- November 1996 DukeEngineering
&Services
/Vectra Technologies
=
Responsible fordeveloping, monitoring, andtrackingbudget, scopeandschedule forD&D related activities andprojects.
Developed project control toolsandreports including performance
- tracking, costreporting andschedule adherence.
Prepared business caseanalysis andproject plans forbulk removal ofplant
- asbestos, tank demolition andsystem
/component layup I
September 1992
- December 1995 Vectra Technologies I
=
Responsible forPlant design
- changes, Budget accounting andProject cashflowforecasting for l
several major Site projects.
=
Planned andmanaged DryCaskStorage activities including Budget preparation andapproval, ISFSI site review andevaluation.
a Managed15contract Engineers performing walkdowns, analysis andevaluation ofsystems l
andstructures including Structural Integrity Inspections, Fuel Poolinspection, andsystem drain down,isolation andcondition determination.
Vectra Technologies Responsible forallaspects ofmajor capital investment projects including
- schedule, budget, cashforecasting, budget
- approval, manpower resourcing andworkscope.
II November 1990
- September 1992 j
Nutech Engineers W
Responsible forengineering design andmodification package development forseveral Plant design changes atQuadCities Nuclear PowerStation.
F Serial No.:21-171 ENERGYSQLUTIONS Attachment 1,Enclosure 4
Page14of25 ROBERT
("CHRIS") KEENE ExperienceSummary:
Over20yearsof experience providing professional level radiation protection/chemistry expertise, primarily for operational anddecommissioning projects.
Thisincluded workat numerous
- plants, including thelargest nuclear station inthenation (Palo Verde) andmany Exelon facilities.
Decommissioning expertise gained throughout 9years atthezionproject and expanded beyond RPtoprovide significant leadership andguidance forthesaferadiological andenvironmental execution of largescale building demolition atzion.
Education:
M.S.,Health
- Physics, lilinoisinstitute ofTechnology
=
B.S.,
Applied Science andTechnology with anemphasis inNuclear Engineering Technology, ThomasEdison State College a
U.S.Navy
- Machinist's MateNuclear Field "A"School, NavalNuclear PowerSchool, andtheNaval Nuclear Propulsion Training Unit Training/Certifications:
a American Academy ofHealth Physics Certification
=
NRRPTCertification Licensed Reactor Operator atPaloVerdeNuclear Station a
- MSOffice, Various Health Physics programs (HIS-20, MICROSHIELD, MICROSKYSHINE andVARSKIN)
=
MemberoftheHealth Physics Society andNational Environmental Health Association Employment History:
April 2018
- Present Energy Solutions, Charlotte, NC Provide technical support forRadiological Controls within theD&Dorganization toinclude procedure development, radiological wastecharacterization, neutron activation
- analysis, internal/external doseassessment, onsite/offsite radiological dosemodeling, shielding
- analyses, Emergency Planning technical support andjobplanning, scheduling andlogistics; Provide onsite technical support forFt.Calhoun Nuclear Generating Station Decommissioning toinclude RPProgram review andindepth demolition planning andsequencing.
July2016
- April 2018 zion Solutions, LLC,zionNuclear PowerStation,
- zion, IL Overall management oftheRadiation Protection, Site Characterization/License Termination, Environmental, WorkControl, WasteOperations,
- Training, Emergency Planning Departments September 2010
- July2016 zionSolutions, LLC,zionNuclear PowerStation,
- zion, IL Manager oftheRadiation Protection Program atthesite toinclude supervision ofpersonnel and management ofthefollowing programs:
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Page15of25 a
Radiological Engineering Department
- Built initial programs atthesite and maintained/improved programs toinclude:
RWPdevelopment andALARAreviews, TEDE/ALARA evaluations, airmonitoring, shielding calculations, internal/external dose assessments, contamination control andother miscellaneous Radiological Engineering initiatives.
a Radiological Protection Technical Department
- Maintained/improved programs toinclude: RP instrumentation, RGPP/REMP/RETS/ODCM, liquid andgaseous
- releases, dosimetry, corrective action
- program, self-assessment
- program, radioactive waste packaging andcharacterizationandsealed source control.
Radiological Protection Operations Department
- Built initial programs atthesite andmaintained/improved programs toinclude:
Support andmonitoring ofall workin thefield andenforcement ofRPprocedures/policies, respiratory protection
- program, hotspotprogram, radioactive material control
- program, andradiological postings/Iabeling.
August 2007
- September 2010 Arizona Public Service (APS)
Company Palo Verde NuclearStation,
- Tonopah, Az a
Supervised anddirected Auxiliary Operatoractions intheplant
=
Supervised thedevelopment andperformance of technical documentsrequired forplant system maintenance Supervised theestablishment,
- change, andremoval of permit boundaries forsystem maintenance
=
Operated nuclear reactor andancillary systems from thecontrol roomwhile diagnosing andresponding tosystem orunit abnormalities a
Performed daily operations androutine testing ofall plant systems Operations Department
- Nuclear Auxiliary Operator e
Operated andperformed routine monitoring ofplant equipment a
Established equipment conditions formaintenance activities a
Performed periodic testing onplant equipment/systems during operating and shutdown conditions August2005
- August 2007 Exelon
- ThreeMileisland Nuclear
- Station, Middletown, PA a
Supervised theInternal andExternal DoseAssessment Program andinstrumentation Supervised theHotSpotMonitoring Program
=
Performed daily Radiological Engineering duties including:
ALARAandMicro-ALARA
- planning, TEDEALARAevaluations, anddaily doseprojections andevaluations
=
Performed shielding analysis anddesign andsupervised theimplementation ofshielding packages Performed Radiological Controls Coordinator duties fortheEmergency Plan Radiochemistry Analysis
=
Supervised theperformance oftheINPOMid-Cycle Self-Assessment forthestation Supervised theOperating Experience Program forthestation Performed daily Corrective Action Program reviews andRegulatory Affairs oversight
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21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page16of25 Supervised daily activities ofChemistry Technicians Supervised thedaily operation ofall Chemistry Labequipment andRadiological Count Room equipment a
Supervised the maintenance andcalibration ofChemistry equipment andsystems Supervised theperformance ofplant systems byreviewing andtrending daily chemistry analyses Performed Chemistry GroupLeadduties fortheEmergency Plan August 2003
- August 2005 Exelon
- ByronNuclear
- Station, Byron, IL Supervised theInternal and External DoseAssessmentProgram andinstrumentation Supervised theRPInstrumentation Program including the calibration/maintenance ofall portable andnon-portable radiological survey instrumentsandnon-radiological atmospheric monitoring equipment a
Supervised thenon-radiological atmospheric monitoring program Supervised theinstallation andmaintenance ofall remoteradiological monitoring equipment including underwater operations a
Performed routine analysis andpermits for all radiological liquid andgaseous releases Performed Radiological Controls Coordinator duties for theEmergency Plan April 2000
- August 2003 University
- oflowa, IowaCity, IA a
Supervised theLaser Safety Program andconducted routine compliance audits Supervised theSealed Source Tracking andMonitoring Program a
Supervised theshipment/receipt/inspection ofradioactive material forthe University of lowa(UI) andUniversity oflowaHospitals andClinics (UIHC)
Supervised thecompliance ofselect UIHCradiation programs anddepartments with UI policies andstate regulations, e.g.,
Positron Emission Tomography
- Center, Nuclear
- Medicine, andRadiation Oncology departments Supervised theradiation protection measures necessary forbrachytherapy and radiopharmaceutical treated patients inaccordance with University policies andstate regulations, including post-surgical roomsurveys, stay time determinations, patient monitoring, anddecontamination ofrooms/equipment Performed audits ofover300research labs andUlHCspaces, ensuring compliance with University policies andstate regulations Established radiological protection requirements fornewresearch protocols involving the treatment ofpatients with radiopharmaceuticals andbrachytherapy a
Performed routine state compliance testing onvarious types ofx-ray producing machines a
Performed calibration anddaily response checks ofvarious radiation monitoring equipment fortheUlandtheUIHC
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Page17of25 Gerard P.vanNoordennen Experience Summary:
Mr.VanNoordennen isaRegulatoryAffairs Manager with 30years' experience inlicensing, NRCinterfacing, regulatory compliance, independent safety
- reviews, andenvironmental and emergency planning gained frommultiple U.S.commercial nuclear decommissioning projects.
Hisdecommissioning experience includes support atthezion,
- LaCrosse, Vermont
- Yankee, Connecticut
- Yankee, and Yankee Rowestations, ensuring expertise inmanaging NRCand environmental agency requirements.
Education:
J.D.,
Law,JohnMarshall Law
- School, Chicago,IL,1982 M.S.,
Nuclear Engineering, Northwestern University,Evanston, IL,1979 B.S.,
Nuclear Engineering, University ofMichigan,
- AnnArbor, MI,1974 Training/Certifications:
=
Various nuclear powertraining courses Employment History:
2016
- Present EnergySolutions, LLC M
Responsible andaccountable forall
- Federal, State andLocal regulatory requirements atES10 CFR50licensed facilities (zion, LaCrosse) proceeding through D&Das well asfortheSONGS Decommissioning General Contractor (DGC) workandguidance for theFort Calhoun decommissioning project.
Provide guidance andinput forEScorporate level decommissioning strategic planning andthebestmethods formeeting regulatory requirements,including compliance with newfederal (e.g.
NRC) regulatory requirements andguidelines, anddevelopment of appropriate license amendments andexemptions.
Participate indevelopment ofall regulatory deliverables, including keydecommissioning documents suchasLicense Transfer Amendments, PostShutdown Decommissioning Activities Reports (PSDARs),
License Termination Plans (LTPs) andFinal Status Survey (FSS) reports.
Chairman oftheD&DProject Operating Review Committee.
Provide updates topublic Citizens Advisory Panels andrepresent ESonthe Nuclear Energy Institute (NEI)
Decommissioning Steering Committee.
- Also, Secretary oftheAmerican Nuclear Society (ANS)
Decommissioning andEnvironmental Sciences Division.
2014to2016 zionSolutions, LLC,zionNuclear
- Station, zion, IL M
Providing regulatory services andmanagement during thedecommissioning ofthetwoPWRunits atzionNuclear Station.
Responsible forthefollowing department functions:
a Nuclear Licensing
=
Environmental Licensing
=
Independent Safety Reviews
=
Emergency Planning a
Regulatory Compliance
- Also, Chairman oftheStation Review Committee, reviewing critical plant activities andcorrective actions.
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Page18of25 Hasalso provides licensing support fortheLaCrosse Boiling WaterReactor (LACBWR) asthis stationaccelerates its decommissioning operations.
2007 2014 Dutchman Consulting Various Locations M
Between 2007and2014, Mr. vanNoordennen provided licensing andregulatory consultation forvarious nuclear power facilities andcompanies:
Licensing Consultant, Entergy, Vermont YankeeStation, Decommissioning Activities, November 2013
- February 2014. Mr.vanNoordennen drafted the Defueled License Amendment andTechnical Specification
- Request, provided comments ontheDefueled Emergency Plan and Exemptions, andprovided comments onarevised FuelHandling Accident Analysis.
Licensing Consultant, Dairyland Power
- Company, LaCrosseBoiling Water Reactor (BWR),
Decommissioning Activities, April 2013
- July2013.
Hedrafted the Post-Fuel Emergency Plan andcorresponded with theNRC forvariousregulatory submittals.
Licensing Consultant, Constellation Energy
- Nuclear
- Group, Nine Mile Point Station Units 1and2,Fukushima Project Modifications, April 2012 March2013.
Hedrafted theSpent FuelPoolInstrumentation Integrated
- Plan, corresponded with NRCforvarious regulatory submittals, drafted anExemption for GDC56 for NineMile Point Unit 2,drafted andobtained approval forvarious License Amendment Requests (LARs),
corresponded with theNRCforthetransfer ofspent fuel totheISFSI, and provided licensing guidance totheproject.
Licensing Compliance
- Engineer, AREVA,Eagle RockEnrichment
- Facility, February 2009
- February 2012.
Herevised alicense application todouble facility capacity; drafted licensing andengineering procedures tomaintain configuration management, design
- control, andsafety basis documents; anddeveloped anddrafted theLimited WorkAuthorization document.
Principal
- Drafter, UniStar Nuclear
- Energy, Calvert Cliffs Station Unit 3andBell BendStation (Susquehanna Unit 3),
Combined Operating License Applications (COLA),
January 2007
- January 2009.
Licensing LeadforBell BendCOLA preparation, LeadProject Manager forEnvironmental Permits andRegulatory Reviews forCalvert Cliffs Unit 3andNineMilePoint Unit 3.
Regulatory Affairs Consultant, Connecticut Yankee Atomic PowerCompanyandYankee AtomicElectric
- Company, Decommissioning Activities, April 2007
- April 2012.Heprovided regulatory consulting support forindependent Spent Fuel Storage Installation (ISFSI) operations, design basis reconstitution, environmental site
- closure, andgroundwater monitoring.
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Page19of25 1996 2007 Connecticut Yankee Atomic PowerCompany, Haddam,CT;YankeeAtomic Electric
- Company, Rowe, MA Managed the regulatory activitiesofthecompany forall negotiations, communications and interactions with
- Federal, StateandLocal agencies.
Responsible forall permits andapprovals needed tosupport decommissioning activities.
Responsible forthefollowing department functions:
Nuclear Licensing Environmental Licensing a
Quality Assurance Independent Safety Reviews a
Security Training a
Emergency Planning ISFSI Operations Regulatory Compliance Mr.vanNoordennen wasalso anAlternate Chairman of thePlantSafety Review Committee, Director ofSite Emergency Operations, andamemberof the Yankee Atomic Offsite Review Board.
1985
- 1996 Northeast Utilities, Berlin
&Waterford, CT;Millstone Units 1,2 & 3;Connecticut Yankee Atomic PowerStation W
Supervised thelicensing activities fortheMillstone andConnecticut Yankee nuclear reactors.
Established on-site licensing support groups forthenuclear reactors inCT.Key plant activities performed and/or supported included:
a M:
Increased powerby5%byreplacement of Low Pressure Turbine andrevising safety analysis forMainSteamLineBreak (MSLB).
- W Successfully completed startup testing andresolved any technical specification andlicensing basis issues forfull power operation.
a m:
Successfully supported theMillstone 2and3and Connecticut Yankeelicensing activities for 5fuel cycles andrefueling outages ateach facility.
m:
Supervised agroup ofengineers andtechnicians toreconstitute thedesign andlicensing basis fortheplant.
a A
Replaced aging analog equipment withFoxboro digital systems forthereactor protection andengineered safeguards systems.
Developed methodology withNElforperforming 50.59reviews for these upgrades.
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Page20of25 1982 1985 Southern California
- Edison, Rosemead, CA;andSanOnofreNuclear Generating Station (Units 1,2 & 3),SanOnofre, CA hResponsible forvarious licensing activities fortheSanOnofre Nuclear Generating Station.
Startup licensing engineer forSanOnofre Unit 3.
1974
- 1982 Commonwealth Edison
- Company, Chicago,IL;Dresden, QuadCities, zionandLaSalle Nuclear Stations M
Responsible forinteracting with newsmedia andlocal government officials toprovide information andcompany positions dealing with thenuclear plantoperationsandconstruction.
Provided engineering support fortheDresden and Quad Citiesstations.
Responsible forstartup
- physics, corefollow, integrated leak rate
- testing, and process computer programs.
OtherInformation:
MemberofAmerican Nuclear Society (ANS)
MemberoftheANSExecutive Committee for Decommissioning andEnvironmental Science During Connecticut Yankee Decommissioning
- project, alsoheld roles as:
o Chairman oftheEngineering andLicensing Committee forNACDryCask Storage Users o MemberoftheNuclear Energy Institute (NEI)
DryCaskStorage Working Group o MemberoftheNElDecommissioning Working Group
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Page21of25 ROBERT G.("ROBBlE") OTIS Experience Summary:
Thirty-eight years of extensive Quality Management andEngineering, Procurement and Construction projectexecution expertisespanning Nuclear newbuilds, start-up, commissioning, maintenance, modifications, refueling
- outages, decommissioning, demolition andspentfuel
- storage, aswellasindustrial construction forethylene production andother energy process facilities.
Education
& Certifications:
- Associates
- Degree, AppliedScience (Major-Electrical PowerTechnology)
EASTERNMAINETECHNICAL COLLEGE,
- Bangor, Maine, 1981 SDSLevel 111 QCInspector (Receipt, Electrical andI&C) andCertifying Authority)
Various ASMENQA-1/ANSI N45.2 Level lil andII Certifications (Historical)
QALeadAuditor RootCauseAnalysis/Evaluator Employment History:
May2016
- February 2017 PENHALLCOMPANY,Charlotte, NC Responsible forProject Management function ofnewly formed SPDS Business Unit focused onstrategic projects insupport ofcompany growth initiatives indelivery oflarge-scale projects Participated indevelopment ofproposals andcostestimates for decommissioning projects Provided transition andrecovery support forstrategic NorthDakota'DOT bridge refurbishment project inWashburn, ND Responsible forProject Management oversight andleadership fortheLaCrosse BWR Decommissioning Project
- inGenoa, WI,Including:
Primary interface with Licensee regarding performance, compliance, schedule andcost Re-baselining ofproject schedule andmodification ofexecution strategy andsequencing Development ofpercent completions andproject invoicing Subcontract management ofdemolition, abatement anddecontamination subcontractors Procurement ofservices andmaterials Project Reporting M
Continuous employment withthefollowing company succession resulting fromthree separate acquisitions WECTECGlobal Project
- Services, Inc(Jan 2016
- April 2016)
CB&IStone
&Webster Inc(Feb 2014
- Dec2015)
Stone
&Webster Construction, Inc.,
AShawGroupCompany(Jun 2000-Feb 2014)
Stone&Webster Construction Company(Oct 1998-May 2000)
Stone&Webster Engineering Corporation (Jun 1981-Sep 1998)
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Page22of25 Corporate Power Headquarters, Charlotte, NC,Dec2006
- Apr2016 Servedas Deputy totheDirector, Nuclear
- Quality, andresponsible forProject QA Management, Quality Engineering, Quality
- Control, andQuality Programs andTraining functional areas Responsible formaintaining 10CFR50,Appendix B/ASMENQA-1Quality Assurance
- Program, andimplementing procedures forfunctional areasofresponsibility andassuring compliance toRegulatory (NRC), QAPDandcontractual requirements Developed departmentalobjectives, principlesandmeasurestomanageandachieve performance goals Provided Quality andstrategicleadership andmentoring toorganization tostrengthen and develop staff proficiencies Responsible forproject andHomeBusiness UnitQuality
- budgets, andQuality support activities forbusiness development andproposal support, including project estimates Managed anddirected staff toensure timely and effective support ofinternal andexternal customers, project schedules, deliverables, and budgetary considerations a
ServedastheSenior Quality representative tothe Nuclear Division's Corrective Action Review BoardandNuclear Safety Culture Monitoring Panel a Leveraged Subject Matter Expertise andleadership skills to provide solutions tothemost significant, unique andcomplex quality/program challenges, including coordinationand collaboration withcross-functional management a Served astheprimary interface andmanagecritical external Quality AuditsandNRC Inspection activities
- Lateral responsibilities asQuality Control Manager andQuality Engineering Manager included:
Maintenance andimplementation ofCertification Program for approximately five hundred NDEandQCInspection personnel Development andmaintenance ofadministrative andtechnical procedures for the conduct ofinspection andNDEexaminations, andthecontrol ofnonconforming materials Maintenance ofCalibration Manual andMetrology Standards forboth self-performance andprocurement ofthird-party calibration services Quality inspection result dataanalysis andtrend reporting Ledinitiative forthedevelopment ofanelectronic Inspection Reporting (elR) system incorporating mobile computing technology, paperless reporting andworkflows, data collection, andreal timeautomated quality
- metrics, analysis andtrending anticipated to equate to$25M inlabor savings overafive year period atbothAP1000projects Reviewandapproval ofEngineering technical specifications toensure inclusion of appropriate quality requirements andinstallation, test andacceptance criteria Review andapproval ofprocurement andsubcontract documents toensureinclusion of appropriate quality requirements andsupplier qualification Review andapproval ofCommercial GradeDedication Plans Development ofSource andQCInspection Plans thatprovide inspection direction and associated qualitative andquantitative acceptance criteria
fF Serial No.:
21-171 ENERGYSowTIONS Attachment 1,Enclosure 4
Page23of25 Development andmaintenance ofadministrative andtechnical procedures forthe conduct ofQuality Engineering activities, including implementation ofNEl08-02 methodologies r
Established and developed Nuclear QAProgram presence andimplementation inthenewly formed Power Headquarters Developed staffing,indoctrinated andtrained personnel andmentored Quality professionals fortheDomestic AP1000 Projects Developed strategic approach forprojectquality execution andProject Quality Assurance
- Plans, andledproject procedure development efforts tointegrate Westinghouse Quality Program requirements into Stone & Webster Quality processes Developed all input forproject costing for thetotal Quality estimate ofprime contracts forthe Engineering, Procurement andConstruction (EPC)scopes ofwork Developed Consortium Quality Programinterface strategies usedindevelopment oftheQA requirements ofEPCAgreements Served astheprime Quality Assurance interface with AP1000 Customers Managedallaspects ofProject QAManagement, Quality Engineering andQuality Control activities insupport ofproject execution Provided Subject Matter Expertise toFederal Servicesand Plant Servicesbusiness lines in application ofQAPrequirements toDOEfacilities governed by 10CFR830, Subpart A,and powerplant maintenance andmodifications Championed quality execution oftheCorrective Action Program andpromoted strong Nuclear Safety Culture traits andbehaviors andestablished asfocal point andleader for project quality affecting culture Participated inNElQuality Assurance TaskForce, with concentration onnew build initiatives including thedevelopment andissuance ofNEl08-02"Corrective Action Processes forNew Nuclear PowerPlants During Construction" Westinghouse AP1000Construction Assessment, Monroeville, PA,Apr2006-Nov 2006 M Participated astheQuality Assurance Representative on an extensive multi-discipline Assessment teamto evaluate thebasesfortheWestinghouse Domestic AP1000 Construction schedule andcostestimate Responsible fortheQuality Program evaluation asitrelates tothepassive design and reduction ofthesafety related commodity andcomponent quantities; Westinghouse Quality Programcommitments andadaptation oftheAP1000safety classification schemeto conventional program requirements; evaluation ofITAACrequirements andintegration strategies intostandard inspection andturnover processes; andmodular construction techniques Assisted inthedevelopment ofthecostestimate andproject organizational structure with focus onQuality Assurance andQuality Control resources usedasthecostcomparison basesagainst thetargeted
$/kw construction estimate
gF Serial No.:
21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page24of25 Browns Ferry Unit1Restart
- Project, Athens, AL,Jun2004-Apr 2006 M
Developed andadministered implementation ofanIndependent Oversight Program forthe execution of therequired modifications andmaintenance activities insupport oftherestart effort Established methods tomonitor,evaluate, andimprove quality related performance indicators through direct observation, assessments, trendanalysis, detailed reporting, enhanced training,and implementation ofQuality Accountability processes Achieved significantquality improvements resulting inimproved schedule andcost performance, restoring Client confidences MaineYankee DecommissioningProject, Wiscasset, ME,Sep1998May2004 SitfLQualitL agagg Developed anextensive Project Quality Assurance Program thatestablished measures to assure compliance with10CFR50 Appendix B,10CFRPart 71,10CFRPart 72,10CFRPart 20, ISO9000,Stateand Localregulations forthedecommissioning, spentfuel characterization, wastemanagement, ISFSI construction, demolition andFinal Status Survey leading tothetermination ofthe Operating License Developed andimplemented appropriate interfaces with theClient's QAProgram forplant modifications andFuel Transfer activities ManagedtheQuality Assurance, Quality Engineeringand Quality Control Departments, whichwereresponsible forverifying quality through
- audit, surveillance, assessment and inspection, including allaspects oftheDecommissioning,Demolition, DryStorage and Transport Components fabrication, construction,
- handling, loading, testing andplacement, andFinal Status Survey activities toensure compliance with the applicable design,licensing andregulatory requirements Performed detailed trend analysis ofproject datatomeasure qualityperformance andto establish effective corrective actions that promote
- safety, quality andcost effectiveness Administered a Worker Concerns Program thatallowed anindependent and confidential meansforproject personnel toaddress andobtain resolution tosafety,quality and environmental issues Developed certifications foreachofthe64Final Documentation Packages that provide the objective basis thattheTransportable Storage Canisters arebeing Stored inaccordance withtheUSNRCCertificate ofCompliance pursuant to10CFRPart 72,andareacceptable fortransfer ofcustody totheDOEforTransport pursuant to10CFRPart 71 Process
&Technologies international Headquarters,
- Houston, TX,Jan1996Sep1998 M Functioned astheheadquarters Quality liaison between Project Engineering, Sellers and Clients forall electrical, andinstrumentation andcontrols equipment designed andprocured forbothdomestic andinternational projects Developed andimplemented aQuality Verification Program fortheinspection andfunctional testing oftheinstrumentation andcontrols systemofamulti-milliondollar Ethylene Furnace Expansion Project constructed forPhillips 66
cF Serial No.:21-171 ENERGYSOLUTIONS Attachment 1,Enclosure 4
Page25of25 Browns Ferry Unit 3Restart
- Project, Athens, AL,Sep1991-Dec 1995 W
Assisted inthedevelopment andmaintenance ofafull-service QA/QCprogram toinclude quality engineering,
- audits, surveillance, andfirst line inspection activities AstheCorporate Electrical/I&C
- LevelIII, developed andimplemented thetraining and certification program for discipline inspection personnel Supervised theElectrical/I&C disciplines ofapproximately 60 personnel, toinclude scheduling, coordination, andtechnicalinspection direction insupport ofmaintenance and major modifications associated with theUnit 3Restart Project QuadCities Nuclear Power
- Station, Cordova, IL,Dec1990Sep1991 inspjigtioni.up.egisor Supervised theElectrical/I&C discipline, toincludescheduling, coordination, development of inspection parameters, personnel training andcertification Developed Project's Quality Trend Analysis/Monthly Reports River BendStation, St.Francisville, LA,Jun1981-Nov 1990 M
Developed SparePartsProcurement Specifications, including technical andquality requirements forelectrical, instrumentation andmechanical component parts Developed commercial GradeDedication PlansandSafety Classification Evaluations, defined associated dedication activities andcritical characteristics Established a siteprogram toidentify quality related components, piping lines and structures, andverified Q-List DataBaseentries ofsystem components andpiping Electrical/I&C Planner Evaluated andreviewed Maintenance WorkOrders forcompleteness,
- adequacy, and inclusion ofapplicable procedures, vendor
- manuals, equipment qualification requirements, specifications,
- drawings, applicable inspection requirements andnotification points for associated trouble
- shooting, rework andfunctional testing ofplant systems andcomponents Lej!sLQCjnspector a Supervised and coordinated dailyactivities performedby the Electrical Equipment/Instrumentation, Cable/Termination, Project Quality Testing and Raceway Groups Interfaced withConstruction, Engineering, andTesting organizations forinspection of electrical
- items, trained personnel inelectrical inspection activities andelectrical
- theory, prepared andreviewed Inspection Plans toprovide inspection parameters
Serial No.:
21-171 ENCLOSURE 5
10CFR 2.390 AFFIDAVIT KewauneePowerStation Dominion Energy
- Kewaunee, Inc.
EnergySolutions, LLC
Serial No.:
21-171 10CFR2.390 AFFIDAVIT OFRUSSELLG.WORKMAN I,
Russell G.Workman, General Counsel andSecretary ofEnergySolutions, LLC.
("EnergySolutions"),
statethat:
- 1. Iamauthorized to execute this affidavit onbehalf ofEnergySolutions,
- 2. EnergySolutions isproviding information insupport oftheabove-described "Application forOrderApproving License Transfer andConforming License Amendments." A ofthe Application contains trade secrets andfmancial information, including proprietary aspects tothedecommissioningofKewaunee Power Station
("KPS"),
which constitute proprietary commercialandfinancial information that should beheld inconfidenceby the NRCpursuanttothepolicy reflected in10 CFR2.390(a)(4) and10CFR9.17(a)(4),
because:
a.Thisinformation isandhasbeenheldin confidence byEnergySolutions andits affiliates.
b.Thisinformation isofatypethat isheld inconfidence byEnergySolutions andits affiliates, andthere isarational basis fordoing sobecause the information contains sensitive trade secret orfinancial information concerning thedecommissioning approach offered byEnergySolutions forKPS,aswell asthe terms ofthepurchase ofDominion Energy
- Kewaunee, Inc.
byEnergySolutions.
c.Thisinformation isbeing transmitted totheNRCinconfidence.
d.Thisinformation isnotavailable inpublic sources andcould notbegathered readily fromother publicly available information.
e.Public disclosure ofthis information would create substantial harmtothe competitive position ofEnergySolutions andits affiliates bydisclosing thetermsof aunique transaction toother parties whosecommercial interests maybeaverse to those ofEnergySolutions i
i b
j
Serial No.:
21-171 Attachment 1,Enclosure 5
Page1of2 3,
Accordingly, EnergySolutions requests that Enclosure 1Atothe"Application forOrder Approving License Transfer andConforming License Amendments" bewithheld from publicdisclosure pursuantto10CFR2.390(a)(4) and9.17(a)(4).
EnergySolutions, LLC mm L-
- ,,v Russel G.Workman GeneralCounsel andSecretary STATEOFUTAH COUNTYOFSALTLAKE Subscribed andsworntome,aNotary
- Public, inandforthe County andState above
- named, this(o dayof
, 2021,
' w-MyCommission Expires: f
,---------n 1
Notery Public Stateof Utah I
ALWADSWORTH 3
l Commission
- 69679B I I
MyW W
l sepambers,em a
L-----=====
i i
b a
Serial No.:
21-171 ATTACHMENT 2
10CFR50LICENSEAND TECHNICAL SPECIFICATIONS LCtfAN[i@
ll I
I
/
l KewauneePowerStation l
Dominion Energy
- Kewaunee, Inc.
l EnergySolutions, LLC I
l t
UNITEDSTATES NUCLEARREGULATORY COMMISSION WASHINGTON, DC20555-0001 l
DOCKETNO.50-305 KEWAUNEE POWERSTATION RENEWED FACILITY OPERATING LICENSE Renewed License No.DPR-43 1
TheU.S.Nuclear Regulatory Commission (the Commission) having found that:
A.
Theapplication forthetransfer ofcontrol oft&renewed Facility Operating License No.DPR-43, f#edbyfron3 Dominion Energy
- Kewaunee, Inc.
(the4icenese)to M
complies with thestandards and requirements oftheAtomic Energy Actof1954, asamended (the Act),
andthe Commission's rules andregulations setforthin 10 CFRChapter1,andall required notifications toother agencies orbodies have been duly made; B.
Construction oftheKewaunee PowerStation (facility) has been substantially completed inconformity with Provisional Construction Permit No.CPPR-50, as
- amended, andtheapplication, asamended, theprovisions of the Actandtherules andregulations oftheCommission; C.
Thefacility will operate inconformity with theapplication, asamended, the provisions oftheAct,andtherules andregulations ofthe Commission; D.
There isreasonable assurance:
(i) that theactivities authorized bythis renewed operating license canbeconducted without endangering thehealth andsafety of thepublic, and(ii) thatsuchactivities will beconducted incompliance with the rules andregulations oftheCommission; I
E. WW istechnically qualified andfinancially qualified toengage intheactivities authorized bythis renewed operating license inaccordance with therules andregulations oftheCommission; F.
Thelicensee hassatisfied theapplicable provisions of10CFRPart 140,"Financial Protection Requirements andIndemnity Agreements,"
oftheCommission's regulations; G.
Theissuance ofthis renewed operating license will notbeinimical tothecommon defense andsecurity ortothehealth andsafety ofthepublic; Renewed Operating License DPR-43 Amendment No.221
- 2 H.
After weighing theenvironmental,
- economic, technical, andother benefits ofthe facilityagainst environmental costsandconsidering available alternatives, the issuance ofRenewedFacility Operating License No.DPR-43isinaccordance with 10CFRPart 51(formerly Appendix Dof10CFRPart50) oftheCommission's regulations andall applicable requirements havebeensatisfied; L
The receipt, possession, anduseofbyproduct,
- source, andspecial nuclear material as authorized bythis renewed operating license will beinaccordance with the Commission's regulations in10CFRParts 30and70,including 10CFR Sections 30.33, 70.23, and70.31, and J.
Actions have been identified andhavebeenorwill betaken with respect to (1) managing the effects ofagingduring theperiod ofextended operation onthe functionality ofstructures and components that havebeenidentified torequire review under 10CFR54.21(a)(1),
and(2) time-limited aging analyses that have beenidentified torequire review under 10CFR54.21(c),
suchthat there is reasonable assurance that the activities authorized bythis renewed operating license will continue tobeconducted inaccordance with thecurrent licensing
- basis, asdefined in10CFR54.3, for the facility, andthat anychanges madetothe facility's current licensing basis inorder to comply with 10CFR54.29(a) arein accordance with theActandthe Commission's regulations.
2.
Renewed Facility Operating License No.DPR-43 ishereby issuedtoDemunen-E-nergy Kewauneer4ne-W, toreadasfollows:
A.
Thislicense applies totheKewaunee Power Station,a pressurized waternuclear reactor andassociated equipment (the facility),
owned by Denunion4nergy Kewauneer49eW.
Thefacility is located inKewaunee
- County, Wisconsin, andisdescribed inthe"Final Safety Analysis Report" as supplemented andamended, andintheEnvironmental Reportas supplemented andamended.
B.
Subject totheconditions andrequirements incorporated
- herein, the Commission hereby licenses Den#nionEnergy4ewauneer4neW.:
(1) Pursuant toSection 104boftheActand10CFRPart50,"Licensing of Production andUtilization Facilities,"
topossess andusethefacility atthe designated location inKewaunee
- County, Wisconsin inaccordance with the procedures andlimitations setforth inthis renewed license; (2)Pursuant totheActand10CFRPart 70,topossess atanytimespecial nuclear material that wasusedasreactor fuel inaccordance withthe limitations forstorage, asdescribed intheFinal Safety Analysis
- Report, as supplemented andamended; (3)Pursuant totheActand10CFRParts 30,40,and70,toreceive, possess anduseatanytimeanybyproduct, source andspecial nuclear material as sealed sources forreactor instrumentation andradiation monitoring equipment calibration andasfission detectors inamountsasrequired; and possess anybyproduct, source andspecial nuclear material assealed neutron sources that wasusedforreactor startup; Renewed Operating License DPR-43 Amendment No.2-45221
- 3 (4)Pursuant totheActand10CFRParts 30,40,and70,toreceive, possess anduseinamountsasrequired anybyproduct,
- source, orspecial nuclear material without restriction tochemical orphysical formforsample analysis orinstrumentcalibration orassociated with radioactive apparatus or components; (5)
Pursuant totheActand10CFRParts 30and70,topossess, butnot
- separate, suchbyproduct andspecial nuclear materials asmaybe produced bytheoperation ofthefacility.
C.
This renewedoperating licenseshall bedeemed tocontain andissubject tothe conditions specified inthefollowingCommission regulations in10CFRChapter 1:
(1)
Part 20,Section30.34 ofPart 30,Section 40.41 ofPart 40,Sections 50.54and 50.59 ofPart50,andSection 70.32ofPart 70;and(2) issubject toallapplicable provisions oftheActandto the rules,regulations,andorders oftheCommission noworhereafter ineffect; and (3) issubjecttotheadditional conditions specified or incorporated below:
(1) Deleted (2)M TheTechnical Specifications contained in Appendix A,asrevised through I
Amendment No.2402.21, arehereby incorporated intherenewed license.
Thelicensee shall operate thefacility inaccordance with theTechnical Specifications.
(3)Deleted (4) PhysicalPrsgection Thelicensee shall fully implement andmaintain ineffect all provisions of theCommissionapproved physical
- security, training andqualification, and safeguards contingency plans including amendments madepursuant to10 CFR72.212(b)(9) andtotheauthority of10CFR50.90and 10CFR50.54(p).
Thecombined setofplans, which contains Safeguards Information protected under10CFR73.21isentitled:
"Kewaunee Power Station Security
- Plan, Training andQualification
- Plan, andSafeguards Contingency Plan,(Revision 0)",
approved onMay9,2017.
(5)Deleted (6)Deleted (7)Deleted (8)Deleted (9)Deleted (10)Deleted (11)Deleted Renewed Operating License DPR-43 j
Amendment No.320221
- 4 (12)Deleted (13) Deleted (14)
Deleted (15)
Deleted (16)
Deleted D.
Thelicenseeshall comply with applicable effluent limitations andother limitations andmonitoring requirements,
- ifany, specified pursuant toSection 401(d) ofthe Federal Water Pollution Control ActAmendments of1972.
E.
Deleted 3.
OnFebruary 25,2013,Dominion Energy Kewaunee (DEK) certified that operations at Kewaunee PowerStation would permanently cease inaccordance with10CFR 50.82(a)(1)(i).
OnMay14,2013,DEKcertified thatthefuel hadbeenpermanently removed fromthereactor vessel inaccordance with 10CFR50.82(a)(1)(ii).Asa
- result, the10CFR50license nolonger authorizes operation ofthereactor, orthe emplacement orretention offuel inthereactor vessel.
Thislicense iseffective asofthedate ofissuance andauthorizes ownershipand possession ofKewaunee PowerStation until the Commission notifies thelicensee in writing that thelicense isterminated.
Thelicensee shall:
A.Takeactions necessary todecommission theplant andcontinue tomaintain the
- facility, including, whereapplicable, thestorage, control andmaintenance ofthe spent
- fuel, inasafecondition; and B.Conduct activities inaccordance with all other restrictions applicable tothe facility inaccordance with theNRCregulations andtheapplicable provisions ofthe 10 CFR50facility license asdefined inSection 2ofthis license.
FORTHENUCLEAR REGULATORY COMMISSION
/RA/
Eric J.Leeds, Director Office ofNuclear Reactor Regulation
Attachment:
Appendices AandB
- Technical Specifications l
Dateofissuance:
February-24-2044 Renewed Operating License DPR-43 Amendment No.220221
Design Features 4.0 4.0 DESIGN FEATURES 4.1 Site Location TheKewaunee PowerStation isIocated onproperty ownedbyDominienEnergy Kewaunee4raKewaunee Solutions atasite onthewestshore ofLakeMichigan, approximately30 miles east-southeast ofthecity ofGreenBay,Wisconsin.
4.2 Deleted 4.3 FuelStorage Spent fuel shall notbestoredin the spent fuel pool.
i l
Kewaunee PowerStation 4.0-1 Amendment No.224221
Serial No.:
21-171 ATTACHMENT 3
10CFR50LICENSE AND TECHNICAL SPECIFICATIONS
.(G=EAILPAGES)
KewauneePowerStation Dominion Energy
- Kewaunee, Inc.
EnergySolutions, LLC
UNITEDSTATES NUCLEARREGULATORY COMMISSION WASHINGTON, DC20555-0001 M
DOCKETNO.50-305 KEWAUNEE POWERSTATION RENEWED FACILITY OPERATING LICENSE Renewed License No.DPR-43 1,
TheU.S.Nuclear Regulatory Commission (the Commission) having found that:
A.
Theapplication forthetransfer ofcontrol ofrenewed Facility Operating License No.
DPR-43, fromDominion Energy
- Kewaunee, Inc.
toKewauneeSolutions, Inc.
(the licensee) complies withthestandards and requirements oftheAtomic Energy Act of1954,asamended(the Act),
andthe Commission's rules andregulations set forth in10CFRChapter 1,andall required notifications toother agencies orbodies havebeendulymade; B.
Construction oftheKewaunee PowerStation (facility) has been substantially completed inconformity withProvisional Construction Permit No.CPPR-50, as
- amended, andtheapplication, asamended, theprovisions of the Actandtherules andregulations oftheCommission; C.
Thefacility will operate inconformity with theapplication, asamended, the provisions oftheAct,andtherules andregulations ofthe Commission; D.
There isreasonable assurance:
(i) that theactivities authorized bythis renewed operating license canbeconducted without endangering thehealth andsafety of thepublic, and(ii) that suchactivities will beconducted incompliance with the rules andregulations oftheCommission; E.
Kewaunee Solutions, Inc.
istechnically qualified andfinancially qualified toengage intheactivities authorized bythis renewed operating license inaccordance with therules andregulations oftheCommission; F.
Thelicensee hassatisfied theapplicable provisions of10CFRPart 140,"Financial Protection Requirements andIndemnity Agreements,"
oftheCommission's regulations; G.
Theissuance ofthis renewed operating license will notbeinimical tothecommon defense andsecurity ortothehealth andsafety ofthepublic; Renewed Operating License DPR-43 Amendment No.221
- 2 H.
After weighing theenvironmental,
- economic, technical, andother benefits ofthe facilityagainst environmental costsandconsidering available alternatives, the issuance ofRenewed Facility Operating License No.DPR43isinaccordance with 10CFRPart 51(formerly Appendix Dof10CFRPart50) oftheCommission's regulations andall applicable requirements havebeensatisfied; I.
Thereceipt, possession, anduseofbyproduct,
- source, andspecial nuclear material as authorized bythis renewed operating license will beinaccordance with the Commission's regulations in10CFRParts 30and70,including 10CFR Sections 30.33, 70.23, and70.31; and J.
Actions havebeen identified andhavebeenorwill betaken with respect to (1) managing the effects ofagingduring theperiod ofextended operation onthe functionality ofstructures and components that havebeenidentified torequire review under 10CFR54.21(a)(1),
and(2) time-limited aging analyses that have beenidentified torequire review under 10CFR54.21(c),
suchthat there is reasonable assurance that the activities authorized bythis renewed operating license will continue tobeconducted inaccordance withthecurrent licensing
- basis, asdefined in10CFR54.3, for the facility, andthat anychanges madetothe facility's current licensing basis inorder to comply with10CFR54.29(a) arein accordance with theActandthe Commission's regulations.
2.
Renewed Facility Operating License No.DPR-43 ishereby issuedtoKewaunee Solutions, inc.,
toreadasfollows:
A.
Thislicense applies totheKewaunee Power Station,a pressurized waternuclear reactor andassociated equipment (the facility),
owned by Kewaunee Solutions, Inc..
Thefacility islocated inKewaunee
- County, Wisconsin, and isdescribed in the"Final Safety Analysis Report" assupplemented andamended, andinthe Environmental Report assupplemented andamended.
B.
Subject totheconditions andrequirements incorporated
- herein, the Commission hereby licenses Kewaunee Solutions, Inc.:
(1) Pursuant toSection 104boftheActand10CFRPart 50,"Licensing of Production andUtilization Facilities,"
topossess andusethefacility atthe designated location inKewaunee
- County, Wisconsin inaccordance with the procedures andlimitations setforth inthis renewed license; (2)Pursuant totheActand10CFRPart 70,topossess atanytimespecial nuclear material that wasusedasreactor fuel inaccordance withthe limitations forstorage, asdescribed intheFinal Safety Analysis
- Report, as supplemented andamended; (3)Pursuant totheActand10CFRParts 30,40,and70,toreceive, possess anduseatanytimeanybyproduct, source andspecial nuclear material as sealed sources forreactor instrumentation andradiation monitoring equipment calibration andasfission detectors inamounts asrequired; and possess anybyproduct, source andspecial nuclear material assealed neutron sources that wasusedforreactor startup; Renewed Operating License DPR-43 Amendment No.221
- 3 (4) Pursuant totheActand10CFRParts 30,40,and70,toreceive, possess anduseinamountsasrequired anybyproduct,
- source, orspecial nuclear material without restriction tochemical orphysical formforsample analysis orinstrument calibration orassociated withradioactive apparatus or components; (5)
Pursuant totheActand10CFRParts 30and70,topossess, butnot
- separate, suchbyproduct andspecial nuclear materials asmaybe produced bytheoperation ofthefacility.
C.
This renewedoperating licenseshall bedeemedtocontain andissubject tothe conditions specified inthefollowingCommission regulations in10CFRChapter 1:
(1)
Part 20,Section 30.34 ofPart 30,Section 40.41ofPart 40,Sections 50.54 and 50.59ofPart 50,andSection 70.32ofPart 70;and(2) issubject toall applicable provisions oftheActand to the rules,regulations,andorders oftheCommission noworhereafter ineffect; and (3)issubjecttotheadditional conditions specified or incorporated below:
(1) Deleted (2)M TheTechnical Specifications contained in Appendix A,asrevised through Amendment No.221,arehereby incorporated intherenewed license.
The licensee shall operate thefacility inaccordance withtheTechnical Specifications.
(3) Deleted (4) Physjcal Protec.tion Thelicensee shall fully implement andmaintain ineffect all provisions of theCommission-approved physical
- security, training andqualification, and safeguards contingency plans including amendments madepursuant to10 CFR72.212(b)(9) andtotheauthority of10CFR50.90 and 10CFR50.54(p).
Thecombined setofplans, which contains Safeguards information protected under10CFR73.21isentitled:
"Kewaunee Power Station Security
- Plan, Training andQualification
- Plan, andSafeguards Contingency Plan,(Revision 0)",
approved onMay9,2017.
(5) Deleted (6)Deleted (7) Deleted (8)Deleted (9)Deleted (10)Deleted (11)Deleted Renewed Operating License DPR-43 Amendment No.221
- 4 (12)Deleted (13) Deleted (14)
Deleted (15)
Deleted (16)
Deleted D.
Thelicenseeshall comply with applicable effluent limitations andother limitations andmonitoring requirements,
- ifany, specified pursuant toSection 401(d) ofthe Federal Water Pollution Control ActAmendmentsof1972.
E.
Deleted 3.
OnFebruary 25,2013,Dominion Energy Kewaunee (DEK) certified that operations at Kewaunee PowerStation would permanently cease inaccordance with10CFR 50.82(a)(1)(i).
OnMay14,2013,DEKcertified thatthefuel hadbeenpermanently removed fromthereactor vessel inaccordance with 10CFR50.82(a)(1)(ii).Asa
- result, the10CFR50license nolonger authorizes operation ofthereactor, orthe emplacement orretention offuel inthereactor vessel.
Thislicense iseffective asofthedateofissuance andauthorizes ownershipand possession ofKewaunee PowerStation until the Commission notifies thelicensee in writing that thelicense isterminated.
Thelicensee shall:
A.Takeactions necessary todecommission theplant andcontinue tomaintain the
- facility, including, whereapplicable, thestorage, control andmaintenance ofthe spent
- fuel, inasafe condition; and B.Conduct activities inaccordance with allother restrictions applicable tothe facility inaccordance with theNRCregulations andtheapplicable provisions ofthe 10 CFR50facility license asdefined inSection 2ofthis license.
FORTHENUCLEARREGULATORY COMMISSION
/RA/
Eric J.Leeds, Director Office ofNuclear Reactor Regulation
Attachment:
Appendices AandB-Technical Specifications DateofIssuance:
Renewed Operating License DPR-43 Amendment No.221
Design Features 4.0 4.0 DESIGN FEATURES 4.1Site Location TheKewaunee PowerStation islocated onproperty ownedbyKewaunee Solutions ata site onthewest shore ofLakeMichigan, approximately 30miles east-southeast ofthecity ofGreen Bay, Wisconsin.
4.2 Deleted 4.3FuelStorage Spent fuel shall notbestoredin the spent fuel pool.
Kewaunee PowerStation 4.0-1 Amendment No.221
Serial No.:
21-171 ATTACHMENT 4
LISTOFREGULATORY COMMITMENTS Kewaunee PowerStation Dominion Energy
- Kewaunee, inc.
EnergySolutions, LLC
Serial No.:21-171 Attachment 4,Page1of2 Thefollowing list identifies regulatory commitments bytheApplicants inAttachment 1tothis letter
("Application forOrderApproving License Transfer andConforming License Amendments"). Anyother actions discussed inthesubmittal represent intended orplanned actions bythe Applicants.
Theyaredescribed onlyasinformation andarenotRegulatory Commitments.
TYPE SCHEDULED ONETIME REGULATORY COMMITMENT CONTINUING COMPLETION ACTION COMPLIANCE DATE
. TheApplicants will keepthe NRC X
informed ofanysignificant changes in thestatus ofother required approvals ordevelopments that could impact the anticipated Closing date.
. Prior totheclosing ofthelicense X
Prior toClosing
- transfer, Kewaunee Solutions will provide theDirector oftheNRC's Office ofNuclear Material Safety and Safeguards satisfactory documentary evidence that ithasobtained the appropriate amountofinsurance required ofalicensee under10C.F.R.
140.11(a)(4) and10C.F.R.
50.54(w),
consistent with theexemptions previously issued forKPS.
TheApplicants will notify theNRC X
Atleast five (5) staff atleast five(5) business days businessdays prior prior totheexpected Closing date for tothe expected thetransfer.
Closing date of the transfer
. Kewaunee Solutions will submit a
X September 2021 Quality Assurance Program document.
Serial No.:
21-171 Attachment 4,Page2of2 Before thepoint DOE X
2031 reimbursements areanticipated tobe required for spent fuel management funding sufficiency perthePSDAR, Revision 2analysis, Kewaunee Solutions will seek an update tothe current