April 22, 1999
Securities and Exchange Commission
Operations Center
6432 General Green Way
Alexandria, VA 22312-2413
Gentlemen:
We are transmitting herewith Indiana Gas Company, Inc.'s
Current Report on Form 8-K.
Very truly yours,
/s/ Douglas S. Schmidt
Douglas S. Schmidt
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 22, 1999
INDIANA GAS COMPANY, INC.
(Exact name of registrant as specified in its charter)
INDIANA 1-6494 35-0793669
(State or other jurisdiction (Commission File No.) (IRS Employer
of incorporation) Identification
Number)
1630 North Meridian Street, Indianapolis, Indiana 46202
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (317) 926-3351
Item 5. Other Events
See the following press release dated April 22, 1999, announcing the
decision by the Supreme Court of Indiana to grant transfer of and
reconsider the ProLiance appeal.
SUPREME COURT OF INDIANA GRANTS INDIANA GAS' TRANSFER AND WILL
RECONSIDER PROLIANCE APPEAL
INDIANAPOLIS-Today, the Supreme Court of Indiana decided it would
grant transfer of an appeal as requested by Indiana Gas, (an Indiana
Energy, Inc. affiliate) Citizens Gas & Coke Utility and ProLiance
Energy. By accepting transfer, the Supreme Court has vacated an
Indiana Court of Appeals decision regarding ProLiance Energy. That
adverse appellate decision reversed the September 12, 1997, Indiana
Utility Regulatory Commission (IURC) order finding the gas supply
agreements between Indiana Gas and Citizens Gas and ProLiance Energy
were in the public interest.
On October 8, 1998, the Indiana Court of Appeals issued a decision
which reversed the IURC's order and remanded the case to the IURC
with instructions that the gas supply agreements be disapproved. The
court found that these agreements could only be approved if the
utilities had applied to the IURC for approval of alternative
regulation under a new Indiana statute. According to the appellate
court, absent this type of application, the IURC exceeded its
authority in approving the agreements.
The Supreme Court's decision to accept transfer means the Supreme
Court will now review the challenge to the merits of the IURC's
order. The decision to take the case is not only important to
ProLiance, Indiana Gas and Citizens Gas, it also has statewide
ramifications for the regulation of energy utilities under the
statutes being reviewed. This impact was evident as several utilities
from across the state filed a brief with the court in support of the
petitions filed by Indiana Gas, ProLiance and Citizens Gas.
"We are very pleased with the decision of the Supreme Court to hear
this case," said L.A. Ferger, chairman and chief executive officer of
Indiana Energy. "ProLiance has saved the residential customers of the
utilities in excess of $50 million in gas costs. We believe this
decision is a step in the right direction--one which has the
potential to benefit the customer if the IURC is affirmed. We also
hope it reflects the court's view that the IURC's expertise in
reviewing utility proposals should be deferred to as much as
possible."
ProLiance Energy is a jointly owned affiliate of Indiana Energy,
Inc., the holding company for Indiana Gas, and Citizens Gas & Coke
Utility. ProLiance Energy is an energy-marketing firm which provides
nearly 1,000 utility, municipal, industrial, commercial and Ohio
residential customers with competitive prices and energy management
services. Indiana Gas serves nearly 500,000 customers in 290 Indiana
communities. Citizens Gas serves 250,000 industrial, commercial and
residential customers in Indianapolis (Marion County).
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized.
INDIANA GAS COMPANY, INC.
Registrant
Dated April 22, 1999 /s/Niel C. Ellerbrook
Niel C. Ellerbrook
President
Dated April 22, 1999 /s/Jerome A. Benkert
Jerome A. Benkert
Vice President and Controller
