PLA-7698, Submittal of Annual Financial Information Required by 10 CFR 50.71

Submittal of Annual Financial Information Required by 10 CFR 50.71

ML18155A553
Person / Time
Site:	Susquehanna
Issue date:	06/04/2018
From:	Berryman B Susquehanna, Talen Energy
To:	Document Control Desk, Office of Nuclear Reactor Regulation
Shared Package
ML18155A549	List: PLA-7698, Submittal of Annual Financial Information Required by 10 CFR 50.71
References
PLA-7698
Download: ML18155A553 (8)

Text

Enclosure 1 to this letter contain Confidential Financial Infmmation Withhold Under 10 CFR 2.390 TALEN~.

Brad Berryman Susquehanna Nuclear, LLC Site Vice President 769 Salem Boulevard JUN 0 4 2018 Berwick, PA 18603 Tel. 570.542.2904 Fax 570.542.1504 Brad.Berryman@TalenEnergy.com ENERGY U.S. Nuclear Regulatory Commission 10 CFR 50.71(b)

Attn: Document Control Desk Washington, DC 20555-0001 SUSQUEHANNA STEAM ELECTRIC STATION ANNUAL FINANCIAL INFORMATION REQUIRED BY 10 CFR 50.71 Docket Nos. 50-387 PLA-7698 and 50-388 As required by 10 CFR 50.71(b), Enclosure 1 to this letter provides annual financial information for Susquehanna Nuclear, LLC (Susquehanna). The information in is considered to be confidential financial information, and, as such, Susquehanna requests that Enclosure 1 be withheld from public disclosure in accordance with 10 CFR 2.3 90. Enclosure 2 includes an affidavit requesting withholding. Enclosure 3 includes a redacted version of the financial information that can be made publicly available.

This letter contains no new regulatory commitments.

If you have any questions or require additional information, please contact Mr. Jason Jennings, Manager of Nuclear Regulatory Affairs, at (570) 542-3155.

B. Berryman : Annual Financial Information : Affidavit Requesting Withholding : Redacted Annual Financial Infonnation Copy: NRC Region I (without Enclosures)

Ms. T. E. Hood, NRC Project Manager (without Enclosures)

Ms. L. H. Micewski, NRC Sr. Resident Inspector (without Enclosures)

Mr. M. Shields, PA DEP/BRP (without Enclosures)

Enclosure 1 to this letter contain Confidential Financial Infmmation Withhold Under 10 CFR 2.390

Enclosure 1 to PLA-7698 Annual Financial Information

Enclosure 2 to PLA-7698 Affidavit Requesting Withholding

Affidavit of William H. Fleenor I, William H. Fleenor, Chief Accounting Officer of Susquehanna Nuclear, LLC (Susquehanna), do hereby affirm and state:

1. I am authorized to execute this affidavit on behalf of Susquehanna.

2. Susquehanna Nuclear, LLC is providing information pursuant to 10 CFR 50.71(b), which constitutes proprietary information that should be held in confidence by the NRC pursuant to the policy reflected in 10 CFR 2.390(a)(4).

3. Susquehanna requests that Enclosure 1, which is being submitted under separate cover and labeled "CONFIDENTIAL INFORMATION SUBMITIED UNDER 10 C.F.R. § 2.390", be withheld from public disclosure under the provisions of 10 C.F.R. § 2.390(a)(4). A redacted version suitable for public disclosure is included in this submission as Enclosure 3.

4. The proprietary financial information contained In Enclosure 1 should be withheld from public disclosure because:

a. This information has been held In confidence by Susquehanna, a subsidiary of a private company Talen Energy Supply, LLC (Talen). Susquehanna and Talen keep such information in confidence, an<;! there Is a rational basis for holding such Information in confidence because it includes sensitive financial information concerning Susquehanna's results from operations, balance sheet, and similar information.

b. The information is not available from public sources and could not be gathered readily from other publicly available information.

c. This information is being transmitted to the NRC in confidence.

d. Public disclosure of this information would cause substantial harm to the competitive position of Susquehanna and Talen because such information has significant commercial value to Susquehanna and Talen and could be used by other parties whose commercial interests may be adverse to those of Susquehanna and Talen.

Susquehanna Nuclear, LLC William H. Fleenor Chief Accounting Officer Subscribed and sworn before me, a Notary Public in and for the State of 'Pt V'\I'\S.1;1ua. tdc._,

this ,hl. day of May, 2018.

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Enclosure 3 to PLA-7698 Redacted Annual Financial Information

CONFIDENTIAL Susquehanna Nuclear, LLC FINANCIAL STATEMENTS For the Year Ended December 31, 2017

CONFIDENTIAL CONSOLIDATED STATEMENT OF OPERATIONS Susquehanna Nuclear, LLC (Unaudited)

For the Year Ended (millions of dollars) December 31, 2017 Operating Revenues Operating Expenses Nuclear fuel amortization Other fuel and generation expense I

Plant operation and maintenance Depreciation, amortization and accretion Operating Income (Loss)

Other (Income) Expense- net Interest Expense to Affiliate I

Income (Loss) Before Income Taxes Income Tax (Benefit) Expense (b) I Net Income (Loss) $

(a) Corporate overhead costs from its indirect parent have not been allocated to Susquehanna Nuclear, LLC.

(b) Susquehanna Nuclear, LLC is considered a disregarded entity for tax purposes and effective January 1, 2017, except for a 20% trust tax associated with nuclear decommissioning trust investment earnings, income tax expense is not recorded at Susquehanna Nuclear, LLC.

CONFIDENTIAL CONSOLIDATED BALANCE SHEET Susquehanna Nuclear, LLC (Unaudited)

(millions of dollars) December 31, 2017 Assets Cash and cash equivalents (a) $ I Accounts receivable, net Inventory Other current assets Nuclear plant decommissioning trust funds Intangibles Other noncurrent assets Total Assets $

Liabilities and Equity Accounts payable and accrued liabilities $

Other current liabilities I

Total current liabilities Long-term debito affiliate Asset retirement obligations and accrued environmental costs Other noncurrent liabilities Total Liabilities Commitments and Contingencies Member's Equity (a) Cash Is maintained at Susquehanna Nuclear, LLC's indirect parent, Talen Energy Supply, LLC. The settlement of cash transactions are reflected as a from/to affiliates or as a change to member's equity.