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): August 29, 1995
JERSEY CENTRAL POWER & LIGHT COMPANY
(Exact name of registrant as specified in charter)
New Jersey 1-3141 21-0485010
(State or other (Commission (IRS employer
jurisdiction of file number) identification no.)
incorporation)
300 Madison Avenue, Morristown, New Jersey 07960-1911
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (201) 455-
8200<PAGE>
ITEM 5. OTHER EVENTS
(a) Three Mile Island Unit 2
As previously reported, on September 20, 1995, the
Pennsylvania Supreme Court reversed a lower court decision and
restored a March 1993 order of the Pennsylvania Public Utility
Commission ("PaPUC") permitting Metropolitan Edison Company
("Met-Ed") to recover estimated Three Mile Island Unit 2 ("TMI-
2") decommissioning costs from customers. TMI-2 is jointly owned
by the Company and its affiliates as follows: Met-Ed, 50%; Penn-
sylvania Electric Company ("Penelec"), 25%; and the Company, 25%,
all subsidiaries of General Public Utilities Corporation ("GPU").
Following the lower court's decision in July 1994, GPU
had written off, after tax, $104.9 million (Met-Ed - $72.8
million and Penelec - $32.1 million), or $0.91 per share in the
second quarter of 1994. The Supreme Court decision effectively
reverses this write off, and GPU therefore will report the entire
$104.9 million as income in the third quarter of 1995.
This amount includes $8.4 million of certain TMI-2
monitored storage costs which Met-Ed and Penelec had sought to
collect from Pennsylvania customers. Because, notwithstanding
the Supreme Court decision, those subsidiaries do not now believe
the collection of these costs to be probable, GPU is charging to
income $8.4 million in the third quarter of 1995.
The Company was not affected by these Pennsylvania
decisions as it has been permitted by the New Jersey Board of
Public Utilities ("NJBPU") to recover estimated TMI-2 retirement
costs from its customers.
1<PAGE>
(b) Non-Utility Generation Contracts
Also as previously reported, the Company has recently
entered into an agreement to buy out two of its uneconomic, long-
term power purchase agreements ("PPAs") with developers of
proposed non-utility generation facilities.
The Company has bought out and has terminated the two
100 MW PPAs for the proposed Crown/Vista Project, a 362 MW coal-
fired generating facility planned for construction in Glouster
County, New Jersey. The Company purchased the PPAs for $17
million. The Company estimates that the excess cost of these
PPAs over other available sources is more than $700 million (1995
dollars). The Company intends to seek authorization from the
NJBPU to recover the $17 million buy-out cost from customers.
A copy of the Company's related news release is annexed
as an exhibit.
ITEM 6. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION
AND EXHIBITS
(c) Exhibits
1. JCP&L News Release, dated August 29, 1995
2<PAGE>
SIGNATURE
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.
JERSEY CENTRAL POWER & LIGHT COMPANY
By:______________________________
T. G. Howson, Vice President
and Treasurer
Date: October 4, 1995<PAGE>
EXHIBIT TO BE FILED BY EDGAR
Exhibit:
1. JCP&L News Release, dated August 29, 1995<PAGE>
Exhibit 1
NEWS RELEASE LETTERHEAD OF JCP&L
Further Information: Donna Revins 201.455.8408
Ron Morano 201.644.4297
Release Date: 09/29/95
JCP&L, CROWN/VISTA CANCEL POWER PROJECT
Morristown, NJ -- Jersey Central Power & Light Company
(JCP&L) announced today that it had reached an agreement for the
cancellation of two power projects planned for Gloucester County,
N.J.
The two power projects were being developed by Crown Energy
L.P. and Vista Energy L.P. (Crown/Vista), affiliates of Mission
Energy Company.
Under the agreement, JCP&L will buy out and terminate its
1990 power purchase agreements from Crown/Vista for $17 million.
Crown/Vista, which won JCP&L's competitive bid in 1989, had
entered into long-term power purchase agreements in 1990 to sell
JCP&L 200 megawatts from the proposed 362-megawatt coal-fired
projects in Gloucester County.
"Because legal and regulatory uncertainties continue to
revolve around the projects, we believe this agreement is in the
best interests of our customers," said Michael P. Morrell, JCP&L
vice president for regulatory and public affairs. "This is
particularly true because the excess future cost to our customers
over other available sources would be expected to exceed $700
million."
The power purchase agreements have been the subject of
ongoing regulatory and legal proceedings for more than two years.
Crown/Vista had encountered a series of project delays which
could have prevented it from meeting the 1997 in-service
contractual deadlines with JCP&L. The developers initially won
an in-service extension from the New Jersey Board of Public
Utilities. That decision was overturned by the Appellate<PAGE>
Division of the Superior Court earlier this year, but was being
appealed by Crown/Vista.
In June, the New Jersey Assembly voted to extend
retroactively in-service deadlines of certain purchase power
agreements between nonutility generators and public electric
utilities. The legislation would have granted Crown/Vista more
time to develop the project. The State Senate was expected to
vote on the bill in the fourth quarter of this year.
The agreement, which is subject to certain third-party
consents, provides that JCP&L and Crown/Vista will terminate all
pending litigation and administrative proceedings between them
relating to the project, as well as any support for the pending
legislation.
The GPU companies have been committed to renegotiating or
buying out nonutility generating contracts which are more costly
than power available from other sources.
JCP&L is an operating utility subsidiary of General Public
Utilities Corporation (NYSE:GPU), a registered utility holding
company headquartered in Parsippany, N.J. GPU's three operating
utility subsidiaries -- JCP&L, Metropolitan Edison and
Pennsylvania Electric -- provide electric service to more than
1.9 million customers in New Jersey and Pennsylvania.<PAGE>
