SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
(Mark One)
[ X ] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED]
For the fiscal year ended December 30, 1993
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
For the transition period from _________ to __________
Commission file number 2-96881
STOCK PURCHASE-SAVINGS PLAN
OF
CAROLINA POWER & LIGHT COMPANY
______________________________
Full title of the plan and the address of the
plan, if different from that of the issuer named below
CAROLINA POWER & LIGHT COMPANY
(a North Carolina corporation)
411 Fayetteville Street, Raleigh, North Carolina 27601-1748
___________________________________________________________
Name of issuer of the securities held pursuant to the
plan and address of its principal executive office
<PAGE>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
FINANCIAL STATEMENTS AND EXHIBITS
TABLE OF CONTENTS
(A) Financial Statements PAGE
-------------------- ----
Independent Auditors' Report . . . . . . . . . . . . . 3
Statement of Net Assets Available for Benefits,
December 30, 1993 . . . . . . . . . . . . . . . . 4
Statement of Changes in Net Assets Available for
Benefits For the Year Ended December 30, 1993 . . 5
Statement of Net Assets Available for Benefits,
December 30, 1992 . . . . . . . . . . . . . . . . 6
Statement of Changes in Net Assets Available for
Benefits For the Year Ended December 30, 1992 . . 7
Notes to Financial Statements. . . . . . . . . . . . 8-13
Item 27a - Schedule of Assets Held for
Investment Purposes as of December 30, 1993 . . . 14
Item 27d - Schedule of Reportable Transactions
For the Year Ended December 30, 1993. . . . . . . 15
(B) Exhibits
--------
Exhibit No. 23 - Consent of Deloitte & Touche
<PAGE>
INDEPENDENT AUDITORS' REPORT
____________________________
Stock Purchase-Savings Plan of
Carolina Power & Light Company
We have audited the accompanying statements of net assets available for
benefits of the Stock Purchase-Savings Plan of Carolina Power & Light Company
as of December 30, 1993 and 1992, and the related statements of changes in
net assets available for benefits for the years then ended. These financial
statements are the responsibility of the Plan's management. Our
responsibility is to express an opinion on these financial statements based
on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are
free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits
provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material
respects, the net assets available for benefits of the Plan at December 30,
1993 and 1992 and the changes in net assets available for benefits for the
years then ended in conformity with genenerally accepted accounting
principles.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental information by fund
is presented for the purpose of additional analysis of the basic financial
statements rather than to present information regarding the net assets
available for benefits and changes in net assets available for benefits of the
individual funds, and is not a required part of the basic financial statements.
The accompanying supplemental schedules of (1) assets held for investment
purposes as of December 30, 1993 and (2) reportable transactions for the
year ended December 30, 1993 are presented for the purpose of additional
analysis and are not a required part of the basic financial statements,
but are supplementary information required by the Department of Labor's Rules
and Regulations for Reporting and Disclosure under the Employee Retirement
Income Security Act of 1974. The supplemental information by fund and
supplemental schedules are the responsibility of the Plan's management.
Such supplemental information and schedules have been subjected to the auditing
procedures applied in our audit of the basic financial statements and,
in our opinion, are fairly stated in all material respects when considered
in relation to the basic financial statements taken as a whole.
/s/ DELOITTE & TOUCHE
June 17, 1994
<PAGE>
<TABLE>
<CAPTION>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Statement of Net Assets Available for Benefits
December 30, 1993
------------------------------------------------------------
PARTICIPANTS' EQUITY
------------------------------------------------------------
EQUITY CAROLINA POWER U.S. FIXED FIDELITY
UNALLOCATED & LIGHT COMPANY SAVINGS INCOME EQUITY-
TOTAL PLAN TO PARTICIPANTS COMMON STOCK BONDS FUND INCOME FUND
---------- --------------- ------------ ------- ------ -----------
ASSETS (Note 1) (Note 3)
<S> <C> <C> <C> <C> <C> <C>
Investments:
Carolina Power & Light Company
Common Stock $723,774,103 $304,752,466 $419,021,637 $ - $ - $ -
U. S. Savings Bonds 10,563,163 - - 10,563,163 - -
Fidelity Equity - Income Fund 18,677,450 - - - - 18,677,450
Fixed Income Fund 10,474,317 - - - 10,474,317 -
Participants' Loans Receivable 22,781,351 22,781,351 - - -
----------- ----------- ----------- ----------- ----------- -----------
Total Investments 786,270,384 327,533,817 419,021,637 10,563,163 10,474,317 18,677,450
Dividends and Interest Receivable 10,181,262 4,264,026 5,862,854 - 54,382 -
Incentive Contribution Receivable 6,100,059 - 6,100,059 - - -
Cash 554,179 536,191 22 17,966 - -
----------- ----------- ----------- ----------- ----------- -----------
Total Assets 803,105,884 332,334,034 430,984,572 10,581,129 10,528,699 18,677,450
----------- ----------- ----------- ----------- ----------- -----------
LIABILITIES
ESOP Loan Payable 216,223,139 216,223,139 - - - -
Participants' Loans Payable 23,317,518 23,317,518 - - - -
Interest Payable - ESOP Loan 2,185,870 2,185,870 - - - -
----------- ----------- ----------- ----------- ----------- -----------
Total Liabilities 241,726,527 241,726,527 - - - -
----------- ----------- ----------- ----------- ----------- -----------
NET ASSETS AVAILABLE FOR BENEFITS $561,379,357 $90,607,507 $430,984,572 $10,581,129 $10,528,699 $18,677,450
=========== =========== =========== =========== =========== ===========
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STOCK PURCHSE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Statement of Changes in Net Assets Available for Benefits
For the Year Ended December 30, 1993
----------------------------------------------------------------
PARTICIPANTS' EQUITY
----------------------------------------------------------------
EQUITY CAROLINA POWER U.S. FIXED FIDELITY
UNALLOCATED & LIGHT COMPANY SAVINGS INCOME EQUITY-
TOTAL PLAN TO PARTICIPANTS COMMON STOCK BONDS FUND INCOME FUND
----------- --------------- ------------ ------- ------ -----------
INCREASES IN NET ASSETS (Note 1) (Note 3)
<S> <C> <C> <C> <C> <C> <C>
Investment Income:
Dividends $40,046,004 $16,996,641 $22,421,472 $ - $ - $627,891
Net Appreciation in Fair Value 60,901,324 27,190,260 31,417,894 - - 2,293,170
Interest 4,861,708 1,311,251 - 2,984,496 565,961 -
Contributions:
Employer 32,813,879 17,930,009 14,883,870 - - -
Participants 21,977,033 - 16,582,448 739,674 1,538,931 3,115,980
----------- ----------- ----------- ----------- ----------- -----------
Total Increase in Net Assets 160,599,948 63,428,161 85,305,684 3,724,170 2,104,892 6,037,041
----------- ----------- ----------- ----------- ----------- -----------
DECREASES IN NET ASSETS
Interest Expense 14,883,746 14,883,746 - - - -
Allocation of Shares 29,209,543 29,209,543 - - - -
Distribution of Benefits 25,675,603 153,764 24,503,416 134,899 319,688 563,836
Company Contributions Forfeited 135,408 - 135,408 - - -
Participant Loan Trustee Expense 84,410 84,410 - - - -
----------- ----------- ----------- ----------- ----------- -----------
Total Decrease in Net Assets 69,988,710 44,331,463 24,638,824 134,899 319,688 563,836
----------- ----------- ----------- ----------- ----------- -----------
INCREASE IN NET ASSETS 90,611,238 19,096,698 60,666,860 3,589,271 1,785,204 5,473,205
NET TRANSFERS AMONG INVESTMENT
OPTIONS - - (782,408) 55,568 (214,187) 941,027
NET ASSETS - DECEMBER 30, 1992 470,768,119 71,510,809 371,100,120 6,936,290 8,957,682 12,263,218
----------- ----------- ----------- ----------- ----------- -----------
NET ASSETS - DECEMBER 30, 1993 $561,379,357 $90,607,507 $430,984,572 $10,581,129 $10,528,699 $18,677,450
=========== =========== =========== =========== =========== ===========
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Statement of Net Assets Available for Benefits
December 30, 1992
------------------------------------------------------------
PARTICIPANTS' EQUITY
------------------------------------------------------------
EQUITY CAROLINA POWER U.S. FIXED FIDELITY
UNALLOCATED & LIGHT COMPANY SAVINGS INVESTMENT EQUITY-
TOTAL PLAN TO PARTICIPANTS COMMON STOCK BONDS CONTRACT INCOME FUND
---------- --------------- ------------ ------- -------- -----------
ASSETS
<S> <C> <C> <C> <C> <C> <C>
Investments:
Carolina Power & Light Company
Common Stock $667,414,862 $306,771,742 $360,643,120 $ - $ - $ -
U. S. Savings Bonds 6,916,087 - - 6,916,087 - -
Fidelity Equity - Income Fund 12,263,218 - - - - 12,263,218
Fixed Investment Contracts 8,919,680 - - - 8,919,680 -
Participants' Loans Receivable 18,080,254 18,080,254 - - - -
----------- ----------- ----------- ----------- ----------- -----------
Total Investments 713,594,101 324,851,996 360,643,120 6,916,087 8,919,680 12,263,218
Dividends and Interest Receivable 9,832,733 4,502,072 5,292,659 - 38,002 -
Incentive Contribution Receivable 5,164,297 - 5,164,297 - - -
Cash 20,271 24 44 20,203 - -
----------- ----------- ----------- ----------- ----------- -----------
Total Assets 728,611,402 329,354,092 371,100,120 6,936,290 8,957,682 12,263,218
----------- ----------- ----------- ----------- ----------- -----------
LIABILITIES
ESOP Loan Payable 237,355,832 237,355,832 - - - -
Participants' Loans Payable 18,080,254 18,080,254 - - - -
Interest Payable - ESOP Loan 2,407,197 2,407,197 - - - -
----------- ----------- ----------- ----------- ----------- -----------
Total Liabilities 257,843,283 257,843,283 - - - -
----------- ----------- ----------- ----------- ----------- -----------
NET ASSETS AVAILABLE FOR BENEFITS $470,768,119 $71,510,809 $371,100,120 $6,936,290 $8,957,682 $12,263,218
=========== =========== =========== =========== =========== ===========
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Statement of Changes in Net Assets Available for Benefits
For the Year Ended December 30, 1992
----------------------------------------------------------------
PARTICIPANTS' EQUITY
----------------------------------------------------------------
EQUITY CAROLINA POWER U.S. FIXED FIDELITY
UNALLOCATED & LIGHT COMPANY SAVINGS INVESTMENT EQUITY-
TOTAL PLAN TO PARTICIPANTS COMMON STOCK BONDS CONTRACTS INCOME FUND
---------- --------------- ------------ ------- --------- -----------
INCREASES IN NET ASSETS
<S> <C> <C> <C> <C> <C> <C>
Investment Income:
Dividends $38,289,132 $17,947,958 $19,937,298 $ - $ - $403,876
Net Appreciation in Fair Value 31,210,081 12,673,334 17,461,012 - - 1,075,735
Interest 423,445 - - - 423,445 -
Contributions:
Employer 40,656,708 27,289,187 13,367,521 - - -
Participants 19,581,061 - 14,254,116 855,057 1,912,501 2,559,387
----------- ----------- ----------- ----------- ----------- -----------
Total Increase in Net Assets 130,160,427 57,910,479 65,019,947 855,057 2,335,946 4,038,998
----------- ----------- ----------- ----------- ----------- -----------
DECREASES IN NET ASSETS
Interest Expense 15,321,732 15,321,732 - - - -
Allocation of Shares 27,884,360 27,884,360 - - - -
Distribution of Benefits 20,708,901 - 19,233,108 227,398 892,731 355,664
Company Contributions Forfeited 76,752 - 76,752 - - -
----------- ----------- ----------- ----------- ----------- -----------
Total Decrease in Net Assets 63,991,745 43,206,092 19,309,860 227,398 892,731 355,664
----------- ----------- ----------- ----------- ----------- -----------
INCREASE IN NET ASSETS 66,168,682 14,704,387 45,710,087 627,659 1,443,215 3,683,334
NET TRANSFERS AMONG INVESTMENT
OPTIONS - - (828,556) 63,969 221,816 542,771
NET ASSETS - DECEMBER 30, 1991 404,599,437 56,806,422 326,218,589 6,244,662 7,292,651 8,037,113
----------- ----------- ----------- ----------- ----------- -----------
NET ASSETS - DECEMBER 30, 1992 $470,768,119 $71,510,809 $371,100,120 $6,936,290 $8,957,682 $12,263,218
=========== =========== =========== =========== =========== ===========
See Notes to Financial Statements.
</TABLE>
<PAGE>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Notes to Financial Statements
Years Ended December 30, 1993 and 1992
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Stock Purchase-Savings Plan's (the "Plan") investment in the
common stock of Carolina Power & Light Company (the "Company") and
in the Fidelity Equity-Income Fund are carried at fair value
determined by quoted prices in an active market. The investment in
the Fixed Income Fund, formerly the Fixed Investment Contract fund
(see Note 3), is carried at cost plus accrued interest, which
approximates fair value. In 1993, the Plan began recording U.S.
Savings Bonds at cost plus accrued interest, which approximates
fair value. Prior to 1993, the investment in U.S. Savings Bonds was
carried at cost. This change increased the Plan's net assets by
approximately $3.0 million and is reflected in 1993 interest income
on the Statement of Changes in Net Assets Available for Benefits.
Dividends, interest and other income are accrued as earned, and
expenses are accrued as incurred.
Certain amounts for 1992 have been reclassified to conform to the
1993 presentation.
The Company pays the expenses incurred by the Trustee (Wachovia
Bank of North Carolina, N.A.) and William M. Mercer, Inc., a
third-party administrator, in the administration of the Plan, with
the exception of expenses related to loans to participants, and
provides personnel and facilities for the Plan's accounting and
other activities at no cost to the Plan (see Note 4).
2. DESCRIPTION OF THE PLAN
General Information Regarding the Plan
- - --------------------------------------
The purpose of the Plan, which became effective July 1, 1961, and
was last amended effective December 31, 1992, is to encourage
systematic savings by employees and to provide employees with a
convenient method of acquiring an equity interest in the Company
and other diverse investments.
Participation in the Plan
- - --------------------------
Generally, all full-time employees of the Company who are at least
18 years of age are eligible to participate in the Plan on their
first day of employment. Certain part-time employees are also
eligible. If employees wish to participate in the Plan, they must
elect to do so and must specify their level of savings and how
their savings should be allocated among the Plan's investment
alternatives. Retired participants may retain investments in the
Plan but may not continue to make contributions to the Plan.
Employee Contributions Under the Plan
- - -------------------------------------
Each participating employee may authorize the Company to contribute
to the Plan 2%, 4% or 6% of the employee's before-tax eligible
earnings (the "Deferred Contribution"). The contribution reduces,
in like amount, the employee's earnings subject to income tax for
that year. Employees who have eligible earnings of less than a
specified amount ($64,245 for 1993 and $62,345 for 1992) and who
contribute 6% of eligible earnings, may elect to make additional
contributions to the Plan on a before-tax basis of 2%, 4% or
6%. An employee's total before-tax contributions could not be
greater than $8,994 for 1993 and $8,728 for 1992. An employee can
also elect to contribute 2%, 4%, 6%, 8%, 10% or 12% of the
employee's after-tax eligible earnings to the Plan (the "Additional
Savings").
Company Contributions Under the Plan
- - ------------------------------------
At the time employee contributions are made, the Company
contributes to the Plan an amount equal to 50% of each employee's
Deferred Contribution. All Company contributions and any earnings
on securities purchased with these contributions are invested in
common stock of the Company.
The Plan has an incentive feature which provides for discretionary
Company contributions to be made to the Plan on behalf of each
eligible employee for any Plan year in an amount to be determined
by the Board of Directors. Such Company contributions, if any, are
made in an amount up to a maximum of 50% of the Deferred
Contribution for each employee if certain corporate goals
established annually by the Board of Directors are met. All
employees eligible to participate in the Plan are eligible for the
discretionary Company contributions. Those eligible employees who
do not contribute to the Plan are, for the purpose of determining
the discretionary contributions, assumed to be contributing 2% of
eligible earnings. The Company made discretionary contributions of
approximately $6.1 million and approximately $5.2 million for
the Plan years ended December 30, 1993 and 1992, respectively.
For participants other than those leaving the Company, Company
contributions are not considered matured, and cannot be
distributed, until the end of the second year after the Plan year
for which such Company contributions were made.
Employee Stock Ownership Plan
- - -----------------------------
In 1989, the Plan was restated as an employee stock ownership plan.
This permits the Committee which administers the Plan to direct the
Trustee to enter into acquisition loans ("ESOP Loans") for the
purpose of acquiring Company common stock for the benefit of Plan
participants. Common stock acquired with the proceeds of an ESOP
Loan is held by the Trustee in a suspense account ("ESOP Stock
Suspense Account"). Such common stock is released from the ESOP
Stock Suspense Account and made available for allocation to the
accounts of participants as the ESOP Loan is repaid as
specified by provisions of the Internal Revenue Code. Such
allocations are used to meet Company share needs related to
participant contributions, Company 50% matching contributions,
incentive contributions and/or reinvested dividends.
ESOP Loan repayments are made from (i) cash dividends on common
stock held in the ESOP Stock Suspense Account or cash dividends on
common stock allocated to the accounts of employee participants,
(ii) the proceeds from the sale of common stock held in the ESOP
Stock Suspense Account, if any, and (iii) Company contributions, if
any. These contributions will be made to the Plan in an amount
which, when added to the value of common stock released from the
ESOP Stock Suspense Account and allocated to participants'
accounts, will equal the sum of (i) cash dividends used to repay an
ESOP Loan, (ii) amounts allocated to participants' accounts and
attributable to Deferred Contributions and Additional Savings and
(iii) amounts, if any, necessary to satisfy restoration of
forfeitures upon reemployment.
In October 1989, the Trustee purchased 13,636,362 shares of common
stock (as restated for the two-for-one stock split in February
1993) from the Company for an aggregate purchase price of
approximately $300 million. All but $1,000 of the purchase price
was financed by a short-term ESOP Loan from the Company. In January
1990, the short-term ESOP Loan was refinanced with a long-term ESOP
Loan, bearing a 6% interest rate, from the Company in the amount of
$300,512,482. Prepayment without penalty is allowed. Excluding
the effects of any future prepayments, required payments, including
interest, are $19,865,293 for each of the years 1994 through 1998
and $253,888,077 from 1999 through 2011. The ESOP Loan is secured
by the ESOP Stock Suspense Account shares in the Plan, which
totaled 10,033,003 shares at December 30, 1993. During the 1993
Plan year, 911,964 ESOP shares were released from the ESOP Stock
Suspense Account and allocated to participants. Also during each
quarter of 1993, the Company made a qualified ESOP Loan of
approximately $4.5 million to the Plan. Each loan was repaid
within the quarter.
Investment of Funds
- - -------------------
At the election of the participating employee, contributions
authorized by the employee and any earnings on the securities
purchased with these contributions are invested in the investment
alternatives described in Note 3. Employee contributions to the
Plan can be allocated to one or more of the investment options in
increments of 5%; however, a minimum of 25% of Deferred
Contributions must be invested in Company common stock. This
election is made at the time the employee begins to participate in
the Plan and may be changed once per month. A participant may move
among the options for investments accumulated after 1988, subject
to certain limitations. Investments in U. S. Savings Bonds,
however, cannot be moved. All Company contributions and any
dividends on stock purchased with Company contributions will be
invested in common stock of the Company.
For employees age 55 and older who have participated in the Plan
for at least 10 years, the Company offers diversification of a
portion of a participant's accumulated investment in Company common
stock acquired after 1986. Qualified participants can elect
annually, for a maximum of six years, to transfer to one or more of
the remaining investment alternatives up to 25% (50% in the final
year of election) of 1) Company common stock acquired by the
participant, 2) Company matching contributions and 3) dividends on
Company common stock accrued after 1986. At retirement, all
contributions made by the participant in Company common stock may
be diversified.
Retirement, Death, or Termination of Employment
- - -----------------------------------------------
Participants with five or more years of service are vested with
respect to all Company contributions. Participants leaving the
employ of the Company with less than five years of service forfeit
unmatured Company contributions. In the case of an employee's
death, retirement or termination of employment with at least five
years of service, all employee and Company contributions, including
those otherwise unmatured, become payable upon request by the
employee, the employee's estate or other appropriate recipients.
Forfeited contributions are used by the Plan to reduce
contributions otherwise required from the Company.
Withdrawals
- - -----------
Participants may withdraw, at times and in minimum amounts
specified by the Plan, any or all securities from the Plan
purchased with matured Company contributions as well as uninvested
cash attributable to such contributions. A participant who has
reached age 59 1/2 may withdraw any or all contributions made by
the participant and any or all matured Company contributions. At
times and in amounts specified by the Plan, a participant may
withdraw any or all securities and cash related to Additional
Savings. The Plan also provides for withdrawal of employee
contributions prior to age 59 1/2 upon furnishing proof of
financial hardship satisfactory to the Committee which administers
the Plan.
Federal Income Taxes
- - --------------------
The Internal Revenue Service has issued to the Company a favorable
determination letter stating that the Plan, as amended effective
December 31, 1992, meets the requirements of Sections 401(a),
401(k) and 4975(e)(7) of the Internal Revenue Code (Code). In
addition, the Company believes that the Plan is currently being
operated in compliance with the applicable requirements of
the Code. Therefore, the Trust established under the Plan
continues to be exempt from federal income taxes under Section
501(a) of the Code. As such, Company contributions paid to the
Trust under the Plan will be allowable federal income tax
deductions by the Company subject to the conditions and
limitations of Section 404 of the Code.
Termination of the Plan
- - -----------------------
The Company has reserved the right to amend, modify, suspend or
terminate the Plan at any time, except that no such action will
have a retroactive effect and none of the assets of the Plan will
revert to the Company or be used for any purpose other than the
exclusive benefit of the participating employees, provided that, in
the event of Plan termination, shares of Company common stock not
allocated to participants' accounts may be sold to repay the ESOP
Loans. In the event of termination of the Plan, all contributions
of the participants and of the Company through the date of
termination will be vested.
3. INVESTMENTS
Company Common Stock
- - --------------------
The price at which original issue common stock is deemed to have
been acquired under the Plan is the closing price per share quoted
on the composite tape as reported in The Wall Street Journal on the
last trading day preceding the applicable payroll or dividend
payment date. Shares may be purchased on the open market. The
price at which open market common stock is deemed to have been
acquired under the Plan is the weighted average price of all shares
so purchased during the Investment Period as defined in the Plan.
Shares may also be released from the ESOP Stock Suspense Account
(see Note 2). The price at which such released shares are allocated
to Plan participants is determined in the same manner as described
above for original issue common stock.
U.S. Government Securities
- - --------------------------
Funds invested in U. S. Government Securities are currently being
invested in Series EE Savings Bonds. Series EE Savings Bonds held
for at least five years earn a variable rate of interest,
established at six-month intervals, equal to 85% of the average
market rate of five-year U.S. Treasury marketable securities, but
in no event less than 4% per annum. Series EE Savings Bonds
held for less than five years earn interest on a fixed graduated
scale, based upon the length of time held. If Series EE Savings
Bonds become unavailable or if, in the opinion of the Trustee, such
bonds become inappropriate as investments, the funds will be
invested in other U.S. Government Securities.
Fixed Income Fund
- - -----------------
Beginning in 1993, the Company changed the Fixed Investment
Contract investment option to a Fixed Income Fund (FIF) option, and
accumulated balances were transferred to the FIF. Contributions to
the FIF are invested in the IDS (Investment Diversified Services)
Trust Income Fund, which includes a mix of investment contracts,
primarily with high quality insurance companies, along with other
short-term investments. The FIF's objectives are to preserve
principal and income while maximizing current income by investing
in credit-worthy investment products and by maintaining a
well-diversified portfolio.
Fidelity Equity-Income Fund
- - ---------------------------
Funds invested in the Fidelity Equity-Income mutual fund
("Equity-Income Fund") are pooled and used primarily to purchase a
variety of income-producing common or preferred stocks, as well as
bonds or securities which may be convertible into common stock, and
other similar types of investments. Normally, at least 80% of the
Equity-Income Fund's assets will be invested in such securities.
The objective of the Equity-Income Fund is to produce current
income while taking into account the potential for long-term growth
through capital appreciation. Income earned on the Equity-Income
Fund is reinvested in additional fund shares.
Fidelity Balanced Fund
- - ----------------------
Beginning in January 1994, the Plan is offering an additional
investment option to participants. The Fidelity Balanced Fund
(Balanced Fund) consists of high-yielding securities, including
foreign and domestic stocks and bonds. Also, the Balanced Fund
diversifies across a variety of industries. At least 25% of the
Balanced Fund's total holdings will always consist of fixed-income
securities. The objective of the Balanced Fund is to provide as
much income as possible while preserving capital. Income earned on
the Balanced Fund is reinvested in additional fund shares.
4. LOANS TO PARTICIPANTS
The Plan allows participants to borrow an amount not to exceed the
lesser of $50,000 or 50% of their vested account balances. The
Company has obtained permission to act as, and is acting as, the
guarantor of a bank line of credit used to make these loans to
participants. Each loan is collateralized by the individual
participant's equity. At December 30, 1993 and 1992, the Trustee
had recorded approximately $22.8 million and $18.1 million,
respectively, of receivables for loans to participants.
The net interest income to the Plan from loans to participants is
used to pay Trustee expenses related to participants' loans. Any
remaining proceeds are added to the previously described
discretionary Company contribution and allocated to all
participants' accounts. Such allocations for the years ended
December 30, 1993 and 1992 were approximately $154,000 and
$115,000, respectively.
<TABLE>
<CAPTION>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Item 27a - Schedule of Assets Held for Investment Purposes
As of December 30, 1993
<S> <C> <C> <C>
Identity of Issue Description of Investment Cost Value Current Value
- - ------------------------------ -------------------------- --------------- -------------
Carolina Power & Light Company Common Stock, no par or $ 504,319,329 $ 723,774,103*
stated value,
23,827,954 shares
United States Savings Bonds Series EE, various interest 7,582,413 10,563,163
rates and maturities
Fidelity Equity-Income Fund Mutual Fund, 551,282 shares 15,255,718 18,677,450
IDS Trust Income Fund Fixed Income Fund 10,474,317 10,474,317
Participants' Loans Receivable Loans to plan participants 22,781,351 22,781,351*
--------------- -------------
Total $ 560,413,128 $ 786,270,384
=============== =============
* Party-in-Interest
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STOCK PURCHASE-SAVINGS PLAN
OF CAROLINA POWER & LIGHT COMPANY
Item 27d - Schedule of Reportable Transactions
For the Year Ended December 30, 1993
<S> <C> <C> <C> <C> <C> <C>
Expenses Current Value on
Identity of Party/Description of Asset Purchase Price Selling Price Incurred Cost Value Transaction Date Gain/Loss
- - -------------------------------------- ------------- ------------- -------- ---------- ---------------- ---------
Carolina Power & Light Company
common stock:
74 Purchases $24,596,762 $24,596,762 $24,596,762
71 Sales $26,730,661 $131 $16,691,325 $26,730,661 $10,039,204
----------
145 Transactions $51,327,423
==========
Participants' Loans Receivable:
27 Purchases $14,709,600 $14,709,600 $14,709,600
11 Sales $9,703,671 $9,703,671 $9,703,671
----------
38 Transactions $24,413,271
==========
</TABLE>
<PAGE>
SIGNATURES
The Plan. Pursuant to the requirements of the Securities Exchange
Act of 1934, the Stock Purchase-Savings Plan Committee has duly
caused this Annual Report to be signed on its behalf by the
undersigned hereunto duly authorized.
STOCK PURCHASE-SAVINGS PLAN OF
CAROLINA POWER & LIGHT COMPANY
By: Charles D. Barham, Jr., Chairman
Stock Purchase-Savings Plan Committee
Date: June 24, 1994
_____________
<PAGE>
EXHIBITS INDEX
Exhibit Number
______________
Exhibit No. 23 Consent of Deloitte & Touche
Exhibit No. 23
INDEPENDENT AUDITORS' CONSENT
_____________________________
We consent to the incorporation by reference in Registration Statement
No. 33-33520 on Form S-8 of Carolina Power & Light Company, of our report
dated June 17, 1994, appearing in this Annual Report on Form 11-K of the
Stock Purchase-Savings Plan of Carolina Power & Light Company for the
year ended December 30, 1993.
\s\ DELOITTE & TOUCHE
Raleigh, North Carolina
June 24, 1994
