View source for PNO-III-85-053, on 850625,utils Announced Signing of Agreement to Combine Under New Holding Company,Scheduled by End of 1985.Utils Will Retain Local Identity & Considerable Autonomy.Affiliation Will Increase Efficiency & Lower Costs

{{Adams
| number = ML20127P578
| issue date = 06/26/1985
| title = PNO-III-85-053:on 850625,utils Announced Signing of Agreement to Combine Under New Holding Company,Scheduled by End of 1985.Utils Will Retain Local Identity & Considerable Autonomy.Affiliation Will Increase Efficiency & Lower Costs
| author name = Marabito R
| author affiliation = NRC OFFICE OF INSPECTION &amp; ENFORCEMENT (IE REGION III)
| addressee name = 
| addressee affiliation = 
| docket = 05000000, 05000346, 05000440, 05000441
| license number = 
| contact person = 
| document report number = PNO-III-85-053, PNO-III-85-53, NUDOCS 8507020459
| document type = PRELIMINARY NOTIFICATION OF EVENT OR OCCURRENCE (PNO,, TEXT-INSPECTION &amp; AUDIT &amp; I&amp;E CIRCULARS
| page count = 1
}}
{{#Wiki_filter:PRELIMINARY NOTIFICATION OF EVENT OR UNUSUAL OCCURRENCE--PNO-III-85-53       date June 26, 1985 This praliminary notification constitutes EARLY notice of events of POSSIBLE safety or public interest significance. The information is as initially received without veri-fication or evaluation, and is basically all that is known by the staff on this date.
Facility: Cleveland Electric Illuminating                 Licensee Emergency Classification:
Cleveland, OH                                     Notification of an Unusual Event Alert Toledo Edison Co.                                 Site Area Emergency Toledo, OH                                        General Emergency XX   Not Applicable Dockets: 50-440, 50-441 - Perry Power Plant 50-346 - Davis Besse Power Plant

==Subject:==
CEI, TOLED0 EDISON ANN 0UNCE NEW HOLDING COMPANY The Cleveland Electric Illuminating Company and the Toledo Edison Company jointly announced on June 25, 1985, that they have signed an agreement to combine under a newly formed holding company. The new company will provide overall management, planning and policy making for the two electric utilities.
The announcement was made simultaneously in Cleveland by CEI Chairman Robert M. Ginn and President Richard A. Miller, and in Toledo by Toledo Edison Chairman John P. Williamson.
Under the affiliation, which the companies hope to effect by the end of 1985, each utility will retain its local identity and considerabie autonomy. Through the coordination of generating facilities and transmission links, the affiliation will " increase efficiency and help hold down costs." In the press release, Mr. Ginn said the " larger corporation will have better access to the capital markets, reducing future financing costs and helping to further hold down electric rates."
Together, the two companies own all of the Davis-Besse nuclear plant, slightly more than 50 per cent of the Perry plant, currently under construction, and about 44 per cent of Beaver Valley Unit 2, being built by Duquesne Light Company.
Directors of the new company will be Williamson, Ginn, Miller and nine "outside" directors, three from Toledo Edison's current board and six from CEI's. Both Cleveland Electric and Toledo Edison will continue as local companies under their existing Boards of Directors and management. The new company will have its home base in the Cleveland area, but will be separate from CEI headquarters.
The State of Ohio will be notified.
This information is current as of 11:30 a.m. (CDT), June 26, 1985.
CONTACT:        R     M rabito FTS 388-5667 DISTRIBUTIO :
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Chairman      lladino        E00            NRR                IE              NMSS Conn. Roberts                PA                                OIA             RES Comm. Asselstine             MPA                               AE00 Comm. Bernthal               ELD            AirRights3*07                      MAIL:            /
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ACRS CA                           Applicable Resident Site Py 3*o                                        /
PDR         Regions   1834.113:17, Iv33f, V 3@b An.w NLicensee(CorporateOffice)3 8507020459 850626                                              Rev. 07/06/84 h-I       B5-053 PDR}}

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