<PAGE> File No. 70-8581
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
AMENDMENT NO. 2
TO
FORM U-1
APPLICATION OR DECLARATION
under the
PUBLIC UTILITY HOLDING COMPANY ACT OF 1935
* * *
KINGSPORT POWER COMPANY
422 Broad Street, Kingsport, Tennessee 37660
WHEELING POWER COMPANY
51-16th Street, Wheeling, West Virginia 26003
(Name of companies filing this statement and
addresses of principal executive offices)
* * *
AMERICAN ELECTRIC POWER COMPANY, INC.
1 Riverside Plaza, Columbus, Ohio 43215
(Name of top registered holding company
parent of each applicant or declarant)
* * *
G. P. Maloney, Executive Vice President
AMERICAN ELECTRIC POWER SERVICE CORPORATION
1 Riverside Plaza, Columbus, Ohio 43215
Jeffrey D. Cross, Assistant General Counsel
AMERICAN ELECTRIC POWER SERVICE CORPORATION
1 Riverside Plaza, Columbus, Ohio 43215
(Names and addresses of agents for service)
Kingsport Power Company ("Kingsport") and Wheeling Power
Company ("Wheeling"), (each a "Borrower"), subsidiary companies
of American Electric Power Company, Inc. ("AEP"), a registered
holding company under the Public Utility Holding Company Act of
1935 (the "Act"), hereby amend their Application or Declaration
on Form U-1 in File No. 70-8581 as follows:
1. By adding the following sentences to the end of the
ninth paragraph of ITEM 1. DESCRIPTION OF PROPOSED TRANSACTION:
"The estimated construction expenditures for 1995 will
be applied approximately as follows: $4,900,000 for
transmission lines and facilities, $4,000,000 for
distribution lines and facilities, and the remaining
$100,000 for general plant and other facilities. The
estimated construction expenditures for 1996 will be applied
approximately as follows: $300,000 for transmission lines
and facilities, $3,800,000 for distribution lines and
facilities, and the remaining $100,000 for general plant and
other facilities."
2. By adding the following sentences to the end of the
tenth paragraph of ITEM 1. DESCRIPTION OF PROPOSED TRANSACTION:
"The estimated construction expenditures for 1995 will
be applied approximately as follows: $1,300,000 for
transmission lines and facilities, $4,000,000 for
distribution lines and facilities, and the remaining
$200,000 for general plant and other facilities. The
estimated construction expenditures for 1996 will be applied
approximately as follows: $400,000 for transmission lines
and facilities, $3,800,000 for distribution lines and
facilities, and the remaining $400,000 for general plant and
other facilities."
3. By adding the following sentence at the end of Item 5.
PROCEDURE:
"Kingsport and Wheeling request that pending
completion of the file the Commission reserve
jurisdiction over the sale of Notes by Kingsport."
4. By filing the following exhibits and financial
statements:
Exhibit F Opinion of Counsel
(b) Financial Statements:
Balance Sheets, per books and pro forma, of Kingsport and
Wheeling as of December 31, 1994 and statements of income and
retained earnings for the twelve months then ended and of AEP and
its subsidiaries consolidated, together with journal entries
reflecting the proposed transactions will be filed by amendment.
SIGNATURE
Pursuant to the requirements of the Public Utility Holding
Company Act of 1935, the undersigned companies have duly caused
this statement to be signed on its behalf by the undersigned
thereunto duly authorized.
KINGSPORT POWER COMPANY
WHEELING POWER COMPANY
By /s/ G. P. Maloney
Vice President
Dated: April 12, 1995
<PAGE> Exhibit F
614/223-1648
Securities and Exchange Commission
Office of Public Utility Regulation
450 Fifth Street, N.W.
Washington, D.C. 20549-1004
April 12, 1995
Gentlemen:
With respect to the Application or Declaration on Form U-1 of
Kingsport Power Company ("Kingsport") and Wheeling Power Company
("Wheeling") relating to the issuance and sale by Kingsport and
Wheeling of certain unsecured long-term promissory notes (the
"Notes") pursuant to a Term Loan Agreement, I wish to advise you
as follows:
I am of the opinion that, in the event that the proposed
transactions are consummated in accordance with said Application
or Declaration, as the same may be amended, and when the steps
referred to in the next following paragraph shall have been
taken:
(a) All state laws applicable to the proposed transactions
will have been complied with;
(b) The Notes will be valid and binding obligations of
Kingsport and Wheeling in accordance with their terms,
except as the same may be limited by applicable
bankruptcy, insolvency, reorganization, moratorium or
other laws affecting the enforceability of creditors'
rights generally and by general principles of equity;
and
(c) Consummation of the proposed transactions will not
violate the legal rights of the holders of any
securities issued by Kingsport and Wheeling or any
associate company thereof.
The steps to be taken which are referred to in the next preceding
paragraph consist of the following:
1. Appropriate action by the Board of Directors of
Kingsport and Wheeling with respect to the transactions
described in said Application or Declaration;
2. Appropriate action by the Securities and Exchange
Commission, and in the case of Kingsport, the Tennessee
Public Service Commission, with respect to the
transactions described in said Application or Decla-
ration;
3. Compliance with Federal, state and other securities
laws;
4. Execution and delivery of the proposed Term Loan
Agreement pursuant to which the Notes will be issued;
and
5. Issuance and sale of the Notes in accordance with the
governmental and corporate authorizations aforesaid.
I hereby consent to the filing of this opinion as an exhibit to
the above-mentioned Application or Declaration.
Very truly yours,
/s/ Thomas G. Berkemeyr
Thomas G. Berkemeyer
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 1
KINGSPORT POWER COMPANY
BALANCE SHEET
December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
ASSETS
Electric Utility Plant:
Transmission. . . . . . . . . . . . . . . . . $10,543 $10,543
Distribution. . . . . . . . . . . . . . . . . 54,634 54,634
General . . . . . . . . . . . . . . . . . . . 3,499 3,499
Construction Work In Progress . . . . . . . . 330 330
Total Electric Utility Plant. . . . . 69,006 69,006
Accumulated Depreciation. . . . . . . . . . . 24,221 24,221
Net Electric Utility Plant. . . . . . 44,785 44,785
Other Property and Investments. . . . . . . . . 162 162
Current Assets:
Cash and Cash Equivalents . . . . . . . . . . 564 $3,725 4,289
Accounts Receivable:
Customers . . . . . . . . . . . . . . . . . 4,973 4,973
Affiliated Companies. . . . . . . . . . . . 192 192<PAGE>
Miscellaneous . . . . . . . . . . . . . . . 355 355
Allowance for Uncollectible Accounts. . . . (31) (31)
Materials and Supplies. . . . . . . . . . . . 568 568
Accrued Utility Revenues. . . . . . . . . . . 3,486 3,486
Prepayments . . . . . . . . . . . . . . . . . 1,137 1,137
Total Current Assets. . . . . . . . . 11,244 3,725 14,969
Regulatory Assets . . . . . . . . . . . . . . . 4,513 4,513
Deferred Charges. . . . . . . . . . . . . . . . 12 12
Total . . . . . . . . . . . . . . . $60,716 $3,725 $64,441
The Pro Forma Adjustments are shown on Page 3 of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 2
KINGSPORT POWER COMPANY
BALANCE SHEET
December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
Capitalization:
Common Stock. . . . . . . . . . . . . . . . . $4,100 $4,100
Paid-in Capital . . . . . . . . . . . . . . . 5,800 5,800
Retained Earnings . . . . . . . . . . . . . . 6,882 6,882
Total Common Shareowner's Equity. . . 16,782 16,782
Long-term Debt - Notes Payable to Banks . . . 20,000 $9,000 29,000
Total Capitalization. . . . . . . . . 36,782 9,000 45,782
Other Noncurrent Liabilities. . . . . . . . . . 966 966
Current Liabilities:
Long-term Debt Due Within One Year. . . . . . 2,000 (2,000) 0
Short-term Debt - Notes Payable . . . . . . . 3,275 (3,275) 0
Accounts Payable - General. . . . . . . . . . 329 329
Accounts Payable - Affiliated Companies . . . 5,941 5,941
Customer Deposits . . . . . . . . . . . . . . 871 871
Taxes Accrued . . . . . . . . . . . . . . . . 679 679
Other . . . . . . . . . . . . . . . . . . . . 1,523 1,523
Total Current Liabilities . . . . . . 14,618 (5,275) 9,343
Deferred Federal Income Taxes . . . . . . . . . 6,895 6,895<PAGE>
Deferred Investment Tax Credits . . . . . . . . 1,247 1,247
Deferred Credits. . . . . . . . . . . . . . . . 208 208
Total . . . . . . . . . . . . . . . $60,716 $3,725 $64,441
The Pro Forma Adjustments are shown on Page 3 of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 3
KINGSPORT POWER COMPANY
BALANCE SHEET
December 31, 1994
PRO FORMA ADJUSTMENTS
<CAPTION>
Debit Credit
(in thousands)
<S> <C> <C>
1) Cash $19,000
Long-term Debt - Notes Payable $19,000
To record the issuance of notes payable.
2) Long-term Debt - Notes Payable to Banks $10,000
Long-term Debt Due Within One Year 2,000
Short-term Debt 3,275
Cash $15,275
To record the redemption of long-term notes
payable as follows:
9.72% Note due 11/1/1995 $ 2,000,000
10.78% Note due 1/22/1996 10,000,000
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 3A
KINGSPORT POWER COMPANY
STATEMENT OF INCOME
Year Ended December 31, 1994
PRO FORMA ADJUSTMENTS
<CAPTION>
Increase
(Decrease)
(in thousands)
<S> <C>
Interest on new notes payable @ 9%* $1,710
Interest on $2,000,000 notes payable @ 9.72% (194)
Interest on $10,000,000 notes payable @ 10.78% (1,078)
Interest on Short-term Debt (148)
Federal Income Taxes @ 35% (102)
To reflect the pro forma changes in interest charges
associated with the proposed transactions and the
related federal income tax effect.
* Price assumed solely for the purpose of these
Pro Forma Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 4
KINGSPORT POWER COMPANY
STATEMENT OF INCOME
Year Ended December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
Operating Revenues. . . . . . . . . . . . . . . $81,804 $81,804
Operating Expenses:
Purchased Power - Affiliated Company. . . . . 61,130 61,130
Other Operation . . . . . . . . . . . . . . . 6,765 6,765
Maintenance . . . . . . . . . . . . . . . . . 2,506 2,506
Depreciation. . . . . . . . . . . . . . . . . 2,124 2,124
Taxes Other Than Federal Income Taxes . . . . 3,786 3,786
Federal Income Taxes. . . . . . . . . . . . . 558 ($102) 456
Total Operating Expenses. . . . . . . . . 76,869 (102) 76,767
Operating Income . . . . . . . . . . . . . . . 4,935 102 5,037
Nonoperating Income . . . . . . . . . . . . . . 158 158<PAGE>
Income Before Interest Charges. . . . . . . . . 5,093 102 5,195
Interest Charges. . . . . . . . . . . . . . . . 1,946 290 2,236
Net Income. . . . . . . . . . . . . . . . . . . $3,147 ($188) $2,959
The Pro Forma Adjustments are shown on Page 3A of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 5
KINGSPORT POWER COMPANY
STATEMENT OF RETAINED EARNINGS
YEAR ENDED DECEMBER 31, 1994
(in thousands)
<S> <C>
Retained Earnings January 1 . . . . . . . . . $5,419
Net Income. . . . . . . . . . . . . . . . . . 3,147
Cash Dividends Declared . . . . . . . . . . . 1,684
Retained Earnings December 31 . . . . . . . . $6,882
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 6
WHEELING POWER COMPANY
BALANCE SHEET
December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
ASSETS
Electric Utility Plant:
Transmission. . . . . . . . . . . . . . . . . $20,816 $20,816
Distribution. . . . . . . . . . . . . . . . . 57,462 57,462
General . . . . . . . . . . . . . . . . . . . 6,442 6,442
Construction Work In Progress . . . . . . . . 1,507 1,507<PAGE>
Total Electric Utility Plant. . . . . 86,227 86,227
Accumulated Depreciation. . . . . . . . . . . 33,572 33,572
Net Electric Utility Plant. . . . . . 52,655 52,655
Other Property and Investments. . . . . . . . . 2,636 2,636
Current Assets:
Cash and Cash Equivalents . . . . . . . . . . 452 $- 452
Accounts Receivable:
Customers . . . . . . . . . . . . . . . . . 7,084 7,084
Affiliated Companies. . . . . . . . . . . . 413 413
Miscellaneous . . . . . . . . . . . . . . . 94 94
Allowance for Uncollectible Accounts. . . . (26) (26)
Materials and Supplies. . . . . . . . . . . . 401 401
Accrued Utility Revenues. . . . . . . . . . . 2,235 2,235
Other . . . . . . . . . . . . . . . . . . . . 175 175
Total Current Assets. . . . . . . . . 10,828 - 10,828
Regulatory Assets . . . . . . . . . . . . . . . 17,127 17,127
Deferred Charges. . . . . . . . . . . . . . . . 1,476 1,476
Total . . . . . . . . . . . . . . . $84,722 $- $84,722
The Pro Forma Adjustments are shown on Page 8 of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 7
WHEELING POWER COMPANY
BALANCE SHEET
December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
Capitalization:
Common Stock. . . . . . . . . . . . . . . . . $2,428 $2,428
Paid-in Capital . . . . . . . . . . . . . . . 12,596 12,596
Retained Earnings . . . . . . . . . . . . . . 6,016 6,016
Total Common Shareowner's Equity. . . 21,040 21,040
Long-term Debt - Notes Payable to Banks . . . 15,000 $18,000 33,000
Total Capitalization. . . . . . . . . 36,040 18,000 54,040
Other Noncurrent Liabilities. . . . . . . . . . 3,681 3,681<PAGE>
Current Liabilities:
Long-term Debt Due Within One Year. . . . . . 11,000 (11,000) 0
Short-term Debt - Notes Payable . . . . . . . 8,700 (7,000) 1,700
Accounts Payable - General. . . . . . . . . . 460 460
Accounts Payable - Affiliated Companies . . . 5,233 5,233
Taxes Accrued . . . . . . . . . . . . . . . . 1,490 1,490
Customer Deposits . . . . . . . . . . . . . . 399 399
Interest Accrued. . . . . . . . . . . . . . . 660 660
Other . . . . . . . . . . . . . . . . . . . . 2,046 2,046
Total Current Liabilities . . . . . . 29,988 (18,000) 11,988
Deferred Federal Income Taxes . . . . . . . . . 13,771 13,771
Deferred Investment Tax Credits . . . . . . . . 704 704
Deferred Credits. . . . . . . . . . . . . . . . 538 538
Total . . . . . . . . . . . . . . . $84,722 $- $84,722
The Pro Forma Adjustments are shown on Page 8 of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 8
WHEELING POWER COMPANY
BALANCE SHEET
December 31, 1994
PRO FORMA ADJUSTMENTS
<CAPTION>
Debit Credit
(in thousands)
<S> <C> <C>
1) Cash $28,000
Long-term Debt - Notes Payable $28,000
To record the issuance of notes payable.
2) Long-term Debt - Notes Payable to Banks $10,000
Long-term Debt Due Within One Year 11,000
Short-term Debt 7,000
Cash $28,000
To record the redemption of long-term notes
payable as follows:
9.72% Note due 11/1/1995 $11,000,000
10.78% Note due 1/22/1996 10,000,000
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 8A
WHEELING POWER COMPANY
STATEMENT OF INCOME
Year Ended December 31, 1994
PRO FORMA ADJUSTMENTS
<CAPTION>
Increase
(Decrease)
(in thousands)
<S> <C>
Interest on new notes payable @ 9%* $2,520
Interest on $11,000,000 notes payable @ 9.72% (1,069)
Interest on $10,000,000 notes payable @ 10.78% (1,078)
Interest on Short-term Debt (45)
Federal Income Taxes @ 35% (115)
To reflect the pro forma changes in interest charges
associated with the proposed transactions and the
related federal income tax effect.
* Price assumed solely for the purpose of these
Pro Forma Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 9
WHEELING POWER COMPANY
STATEMENT OF INCOME
Year Ended December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
Operating Revenues. . . . . . . . . . . . . . . $79,917 $79,917
Operating Expenses:
Purchased Power - Affiliated Company. . . . . 57,393 57,393
Other Operation . . . . . . . . . . . . . . . 8,203 8,203
Maintenance . . . . . . . . . . . . . . . . . 3,748 3,748
Depreciation. . . . . . . . . . . . . . . . . 2,501 2,501
Taxes Other Than Federal Income Taxes . . . . 4,851 4,851
Federal Income Tax Credit . . . . . . . . . . (509) ($115) (624)
Total Operating Expenses. . . . . . . . . 76,187 (115) 76,072
Operating Income . . . . . . . . . . . . . . . 3,730 115 3,845
Nonoperating Loss . . . . . . . . . . . . . . . (10) (10)
Income Before Interest Charges. . . . . . . . . 3,720 115 3,835
Interest Charges. . . . . . . . . . . . . . . . 2,657 328 2,985
Net Income. . . . . . . . . . . . . . . . . . . $1,063 ($213) $850
The Pro Forma Adjustments are shown on Page 8A of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 10
WHEELING POWER COMPANY
STATEMENT OF RETAINED EARNINGS
YEAR ENDED DECEMBER 31, 1994
(in thousands)
<S> <C>
Retained Earnings January 1 . . . . . . . . . $7,421
Net Income. . . . . . . . . . . . . . . . . . 1,063
Cash Dividends Declared . . . . . . . . . . . 2,468
Retained Earnings December 31 . . . . . . . . $6,016
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 11
AMERICAN ELECTRIC POWER COMPANY,INC. & SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEET
December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
ASSETS
Electric Utility Plant:
Production. . . . . . . . . . . . . . . . . $9,172,766 $9,172,766
Transmission. . . . . . . . . . . . . . . . 3,247,280 3,247,280
Distribution. . . . . . . . . . . . . . . . 3,966,442 3,966,442
General (including mining assets and
nuclear fuel) . . . . . . . . . . . . . . 1,529,436 1,529,436
Construction Work In Progress . . . . . . . 258,700 258,700
Total Electric Utility Plant. . . . 18,174,624 18,174,624
Accumulated Depreciation
and Amortization. . . . . . . . . . . . . 6,826,514 6,826,514
Net Electric Utility Plant. . . . . 11,348,110 11,348,110
Other Property and Investments. . . . . . . . 735,042 735,042
Current Assets:
Cash and Cash Equivalents . . . . . . . . . 62,866 $3,725 66,591
Accounts Receivable:
Customers . . . . . . . . . . . . . . . . 350,518 350,518
Miscellaneous . . . . . . . . . . . . . . 86,397 86,397
Allowance for Uncollectible Accounts. . . (4,056) (4,056)
Fuel. . . . . . . . . . . . . . . . . . . . 306,700 306,700
Materials and Supplies. . . . . . . . . . . 216,741 216,741
Accrued Utility Revenues. . . . . . . . . . 167,486 167,486
Prepayments and Other . . . . . . . . . . . 94,786 94,786
Total Current Assets. . . . . . . . 1,281,438 3,725 1,285,163
Regulatory Assets . . . . . . . . . . . . . . 1,949,852 1,949,852
Deferred Charges. . . . . . . . . . . . . . . 398,257 398,257
Total . . . . . . . . . . . . . . $15,712,699 $3,725 $15,716,424
The Pro Forma Adjustments are shown on Page 13 of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 12
AMERICAN ELECTRIC POWER COMPANY,INC. & SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEET
December 31, 1994
(in thousands)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
CAPITALIZATION AND LIABILITIES
Capitalization:
Common Stock. . . . . . . . . . . . . . . . $1,262,527 $1,262,527
Paid-in Capital . . . . . . . . . . . . . . 1,641,522 1,641,522
Retained Earnings . . . . . . . . . . . . . 1,325,581 1,325,581
Total Common Shareholders' Equity . 4,229,630 4,229,630
Cumulative Preferred Stock:
Not Subject to Mandatory Redemption . . . 233,240 233,240
Subject to Mandatory Redemption . . . . . 590,300 590,300
Long-term Debt. . . . . . . . . . . . . . . 4,686,648 $27,000 4,713,648
Total Capitalization. . . . . . . . 9,739,818 27,000 9,766,818
Other Noncurrent Liabilities. . . . . . . . . 667,722 667,722
Current Liabilities:
Long-term Debt Due Within One Year. . . . . 293,671 (13,000) 280,671
Short-term Debt . . . . . . . . . . . . . . 316,985 (10,275) 306,710
Accounts Payable. . . . . . . . . . . . . . 251,186 251,186
Taxes Accrued . . . . . . . . . . . . . . . 382,677 382,677
Interest Accrued. . . . . . . . . . . . . . 88,916 88,916
Obligations Under Capital Leases. . . . . . 93,252 93,252
Other . . . . . . . . . . . . . . . . . . . 407,965 407,965
Total Current Liabilities . . . . . 1,834,652 (23,275) 1,811,377
Deferred Federal Income Taxes . . . . . . . . 2,473,539 2,473,539
Deferred Investment Tax Credits . . . . . . . 456,043 456,043
Deferred Gain on Sale and Leaseback -
Rockport Plant Unit 2 . . . . . . . . . . . 415,226 415,226
Deferred Credits. . . . . . . . . . . . . . . 125,699 125,699
Total . . . . . . . . . . . . . . $15,712,699 $3,725 $15,716,424
The Pro Forma Adjustments are shown on Page 13 of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 13
AMERICAN ELECTRIC POWER COMPANY,INC. & SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEET
December 31, 1994
PRO FORMA ADJUSTMENTS
<CAPTION>
Debit Credit
(in thousands)
<S> <C> <C>
1) Cash $47,000
Long-term Debt $47,000
To record the issuance of notes payable.
2) Long-term Debt $20,000
Long-term Debt Due Within One Year 13,000
Short-term Debt 10,275
Cash $43,275
To record the redemption of long-term
notes payable as follows:
Kingsport Power Company
9.72% Note due 11/1/1995 $ 2,000,000
10.78% Note due 1/22/1996 10,000,000
Wheeling Power Company
9.72% Note due 11/1/1995 $11,000,000
10.78% Note due 1/22/1996 10,000,000
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 13A
AMERICAN ELECTRIC POWER COMPANY,INC. & SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENT OF INCOME
Year Ended December 31, 1994
PRO FORMA ADJUSTMENTS
Increase
(Decrease)
(in thousands)
<S> <C>
Interest on new notes payable @ 9%* $4,230
Interest on $2,000,000 notes payable @ 9.72% (194)
Interest on $10,000,000 notes payable @ 10.78% (1,078)
Interest on $11,000,000 notes payable @ 9.72% (1,069)
Interest on $10,000,000 notes payable @ 10.78% (1,078)
Interest on Short-term Debt (193)<PAGE>
Federal Income Taxes @ 35% (217)
To reflect the pro forma changes in interest charges
associated with the proposed transactions and the
related federal income tax effect.
* Price assumed solely for the purpose of these
Pro Forma Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 14
AMERICAN ELECTRIC POWER COMPANY,INC. & SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENT OF INCOME
Year Ended December 31, 1994
(in thousands, except per share amounts)
<CAPTION>
Pro Forma
Per Books Adjustments Pro Forma
--------- ----------- ---------
<S> <C> <C> <C>
Operating Revenues. . . . . . . . . . . . . . . $5,504,670 $5,504,670
Operating Expenses:
Fuel and Purchased Power. . . . . . . . . . . 1,745,245 1,745,245
Other Operation . . . . . . . . . . . . . . . 997,235 997,235
Maintenance . . . . . . . . . . . . . . . . . 544,312 544,312
Depreciation and Amortization . . . . . . . . 572,189 572,189
Taxes Other Than Federal Income Taxes . . . . 496,260 496,260
Federal Income Taxes. . . . . . . . . . . . . 217,209 ($217) 216,992
Total Operating Expenses. . . . . . . . . 4,572,450 (217) 4,572,233
Operating Income . . . . . . . . . . . . . . . 932,220 217 932,437
Nonoperating Income:
Deferred Zimmer Plant Carrying
Charges (net of tax). . . . . . . . . . . . 5,604 5,604
Other . . . . . . . . . . . . . . . . . . . . 5,881 5,881
Total Nonoperating Income . . . . . . . . 11,485 0 11,485
Income Before Interest Charges and
Preferred Dividends . . . . . . . . . . . . . 943,705 217 943,922
Interest Charges. . . . . . . . . . . . . . . . 388,998 618 389,616
Preferred Stock Dividend
Requirements of Subsidiaries. . . . . . . . . 54,695 54,695<PAGE>
Net Income. . . . . . . . . . . . . . . . . . . $500,012 ($401) $499,611
Average Number of Shares Outstanding. . . . . . 184,666 184,666
Earnings Per Share . . . . . . . . . . . . . . $2.71 $2.71
Cash Dividends Paid Per Share . . . . . . . . . $2.40 $2.40
The Pro Forma Adjustments are shown on Page 13A of these Financial Statements.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL STATEMENTS PAGE 15
AMERICAN ELECTRIC POWER COMPANY,INC. & SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENT OF RETAINED EARNINGS
YEAR ENDED DECEMBER 31, 1994
(in thousands)
<S> <C>
Retained Earnings January 1 . . . . . . . . . $1,269,283
Net Income. . . . . . . . . . . . . . . . . . 500,012
Deductions:
Cash Dividends Declared . . . . . . . . . . 443,101
Other . . . . . . . . . . . . . . . . . . . 613
Retained Earnings December 31 . . . . . . . . $1,325,581
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> OPUR1
<CIK> 0000055986
<NAME> KINGSPORT POWER COMPANY
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> 44,785
<OTHER-PROPERTY-AND-INVEST> 162
<TOTAL-CURRENT-ASSETS> 11,244
<TOTAL-DEFERRED-CHARGES> 12
<OTHER-ASSETS> 4,513
<TOTAL-ASSETS> 60,716
<COMMON> 4,100
<CAPITAL-SURPLUS-PAID-IN> 5,800
<RETAINED-EARNINGS> 6,882
<TOTAL-COMMON-STOCKHOLDERS-EQ> 16,782
0
0
<LONG-TERM-DEBT-NET> 20,000
<SHORT-TERM-NOTES> 3,275
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 2,000
0
<CAPITAL-LEASE-OBLIGATIONS> 646
<LEASES-CURRENT> 158
<OTHER-ITEMS-CAPITAL-AND-LIAB> 17,855
<TOT-CAPITALIZATION-AND-LIAB> 60,716
<GROSS-OPERATING-REVENUE> 81,804
<INCOME-TAX-EXPENSE> 558
<OTHER-OPERATING-EXPENSES> 76,311
<TOTAL-OPERATING-EXPENSES> 76,869
<OPERATING-INCOME-LOSS> 4,935
<OTHER-INCOME-NET> 158
<INCOME-BEFORE-INTEREST-EXPEN> 5,093
<TOTAL-INTEREST-EXPENSE> 1,946
<NET-INCOME> 3,147
0
<EARNINGS-AVAILABLE-FOR-COMM> 3,147
<COMMON-STOCK-DIVIDENDS> 1,684
<TOTAL-INTEREST-ON-BONDS> 0
<CASH-FLOW-OPERATIONS> 4,603
<EPS-PRIMARY> 0 <F1>
<EPS-DILUTED> 0 <F1>
<FN>
<F1> All common stock owned by parent company; no EPS required.
</FN>
</TABLE>
<TABLE> <S> <C>
<ARTICLE> OPUR1
<CIK> 0000055986
<NAME> KINGSPORT POWER COMPANY
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PRO-FORMA
<TOTAL-NET-UTILITY-PLANT> 44,785
<OTHER-PROPERTY-AND-INVEST> 162
<TOTAL-CURRENT-ASSETS> 14,969
<TOTAL-DEFERRED-CHARGES> 12
<OTHER-ASSETS> 4,513
<TOTAL-ASSETS> 64,441
<COMMON> 4,100
<CAPITAL-SURPLUS-PAID-IN> 5,800
<RETAINED-EARNINGS> 6,882
<TOTAL-COMMON-STOCKHOLDERS-EQ> 16,782
0
0
<LONG-TERM-DEBT-NET> 29,000
<SHORT-TERM-NOTES> 0
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 0
0
<CAPITAL-LEASE-OBLIGATIONS> 646
<LEASES-CURRENT> 158
<OTHER-ITEMS-CAPITAL-AND-LIAB> 17,855
<TOT-CAPITALIZATION-AND-LIAB> 64,441
<GROSS-OPERATING-REVENUE> 81,804
<INCOME-TAX-EXPENSE> 456
<OTHER-OPERATING-EXPENSES> 76,311
<TOTAL-OPERATING-EXPENSES> 76,767
<OPERATING-INCOME-LOSS> 5,037
<OTHER-INCOME-NET> 158
<INCOME-BEFORE-INTEREST-EXPEN> 5,195
<TOTAL-INTEREST-EXPENSE> 2,236
<NET-INCOME> 2,959
0
<EARNINGS-AVAILABLE-FOR-COMM> 2,959
<COMMON-STOCK-DIVIDENDS> 1,684
<TOTAL-INTEREST-ON-BONDS> 0
<CASH-FLOW-OPERATIONS> 4,603
<EPS-PRIMARY> 0 <F1>
<EPS-DILUTED> 0 <F1>
<FN>
<F1> All common stock owned by parent company; no EPS required.
</FN>
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> OPUR1
<CIK> 0000106617
<NAME> WHEELING POWER COMPANY
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> 52,655
<OTHER-PROPERTY-AND-INVEST> 2,636
<TOTAL-CURRENT-ASSETS> 10,828
<TOTAL-DEFERRED-CHARGES> 1,476
<OTHER-ASSETS> 17,127
<TOTAL-ASSETS> 84,722
<COMMON> 2,428
<CAPITAL-SURPLUS-PAID-IN> 12,596
<RETAINED-EARNINGS> 6,016
<TOTAL-COMMON-STOCKHOLDERS-EQ> 21,040
0
0
<LONG-TERM-DEBT-NET> 15,000
<SHORT-TERM-NOTES> 8,700
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 11,000
0
<CAPITAL-LEASE-OBLIGATIONS> 3,179
<LEASES-CURRENT> 498
<OTHER-ITEMS-CAPITAL-AND-LIAB> 25,305
<TOT-CAPITALIZATION-AND-LIAB> 84,722
<GROSS-OPERATING-REVENUE> 79,917
<INCOME-TAX-EXPENSE> (476)
<OTHER-OPERATING-EXPENSES> 76,663
<TOTAL-OPERATING-EXPENSES> 76,187
<OPERATING-INCOME-LOSS> 3,730
<OTHER-INCOME-NET> (10)
<INCOME-BEFORE-INTEREST-EXPEN> 3,720
<TOTAL-INTEREST-EXPENSE> 2,657
<NET-INCOME> 1,063
0
<EARNINGS-AVAILABLE-FOR-COMM> 1,063
<COMMON-STOCK-DIVIDENDS> 2,468
<TOTAL-INTEREST-ON-BONDS> 0
<CASH-FLOW-OPERATIONS> (5,994)
<EPS-PRIMARY> 0 <F1>
<EPS-DILUTED> 0 <F1>
<FN>
<F1> All common stock owned by parent company; no EPS required.
</FN>
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> OPUR1
<CIK> 0000106617
<NAME> WHEELING POWER COMPANY
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PRO-FORMA
<TOTAL-NET-UTILITY-PLANT> 52,655
<OTHER-PROPERTY-AND-INVEST> 2,636
<TOTAL-CURRENT-ASSETS> 10,828
<TOTAL-DEFERRED-CHARGES> 1,476
<OTHER-ASSETS> 17,127
<TOTAL-ASSETS> 84,722
<COMMON> 2,428
<CAPITAL-SURPLUS-PAID-IN> 12,596
<RETAINED-EARNINGS> 6,016
<TOTAL-COMMON-STOCKHOLDERS-EQ> 21,040
0
0
<LONG-TERM-DEBT-NET> 33,000
<SHORT-TERM-NOTES> 1,700
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 0
<LONG-TERM-DEBT-CURRENT-PORT> 0
0
<CAPITAL-LEASE-OBLIGATIONS> 3,179
<LEASES-CURRENT> 498
<OTHER-ITEMS-CAPITAL-AND-LIAB> 25,305
<TOT-CAPITALIZATION-AND-LIAB> 84,722
<GROSS-OPERATING-REVENUE> 79,917
<INCOME-TAX-EXPENSE> (591)
<OTHER-OPERATING-EXPENSES> 76,663
<TOTAL-OPERATING-EXPENSES> 76,072
<OPERATING-INCOME-LOSS> 3,845
<OTHER-INCOME-NET> (10)
<INCOME-BEFORE-INTEREST-EXPEN> 3,835
<TOTAL-INTEREST-EXPENSE> 2,985
<NET-INCOME> 850
0
<EARNINGS-AVAILABLE-FOR-COMM> 850
<COMMON-STOCK-DIVIDENDS> 2,468
<TOTAL-INTEREST-ON-BONDS> 0
<CASH-FLOW-OPERATIONS> (5,994)
<EPS-PRIMARY> 0 <F1>
<EPS-DILUTED> 0 <F1>
<FN>
<F1> All common stock owned by parent company; no EPS required.
</FN>
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> OPUR1
<CIK> 0000004904
<NAME> AMERICAN ELECTRIC POWER COMPANY, INC.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> 11,348,110
<OTHER-PROPERTY-AND-INVEST> 735,042
<TOTAL-CURRENT-ASSETS> 1,281,438
<TOTAL-DEFERRED-CHARGES> 398,257
<OTHER-ASSETS> 1,949,852
<TOTAL-ASSETS> 15,712,699
<COMMON> 1,262,527
<CAPITAL-SURPLUS-PAID-IN> 1,641,522
<RETAINED-EARNINGS> 1,325,581
<TOTAL-COMMON-STOCKHOLDERS-EQ> 4,229,630
590,300
233,240
<LONG-TERM-DEBT-NET> 4,686,648
<SHORT-TERM-NOTES> 42,535
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 274,450
<LONG-TERM-DEBT-CURRENT-PORT> 293,671
85
<CAPITAL-LEASE-OBLIGATIONS> 306,947
<LEASES-CURRENT> 93,252
<OTHER-ITEMS-CAPITAL-AND-LIAB> 4,961,941
<TOT-CAPITALIZATION-AND-LIAB> 15,712,699
<GROSS-OPERATING-REVENUE> 5,504,670
<INCOME-TAX-EXPENSE> 235,043
<OTHER-OPERATING-EXPENSES> 4,337,407
<TOTAL-OPERATING-EXPENSES> 4,572,450
<OPERATING-INCOME-LOSS> 932,220
<OTHER-INCOME-NET> 11,485
<INCOME-BEFORE-INTEREST-EXPEN> 943,705
<TOTAL-INTEREST-EXPENSE> 388,998
<NET-INCOME> 500,012
54,695 <F1>
<EARNINGS-AVAILABLE-FOR-COMM> 500,012
<COMMON-STOCK-DIVIDENDS> 443,101
<TOTAL-INTEREST-ON-BONDS> 270,745
<CASH-FLOW-OPERATIONS> 977,725
<EPS-PRIMARY> $2.71
<EPS-DILUTED> $2.71
<FN>
<F1>Represents perferred stock dividend requirements of
subsidiaries; deducted before computation of net income.
</FN>
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> OPUR1
<CIK> 0000004904
<NAME> AMERICAN ELECTRIC POWER COMPANY, INC.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-END> DEC-31-1994
<BOOK-VALUE> PRO-FORMA
<TOTAL-NET-UTILITY-PLANT> 11,348,110
<OTHER-PROPERTY-AND-INVEST> 735,042
<TOTAL-CURRENT-ASSETS> 1,285,163
<TOTAL-DEFERRED-CHARGES> 398,257
<OTHER-ASSETS> 1,949,852
<TOTAL-ASSETS> 15,716,424
<COMMON> 1,262,527
<CAPITAL-SURPLUS-PAID-IN> 1,641,522
<RETAINED-EARNINGS> 1,325,581
<TOTAL-COMMON-STOCKHOLDERS-EQ> 4,229,630
590,300
233,240
<LONG-TERM-DEBT-NET> 4,713,648
<SHORT-TERM-NOTES> 32,260
<LONG-TERM-NOTES-PAYABLE> 0
<COMMERCIAL-PAPER-OBLIGATIONS> 274,450
<LONG-TERM-DEBT-CURRENT-PORT> 280,671
85
<CAPITAL-LEASE-OBLIGATIONS> 306,947
<LEASES-CURRENT> 93,252
<OTHER-ITEMS-CAPITAL-AND-LIAB> 4,961,941
<TOT-CAPITALIZATION-AND-LIAB> 15,716,424
<GROSS-OPERATING-REVENUE> 5,504,670
<INCOME-TAX-EXPENSE> 234,826
<OTHER-OPERATING-EXPENSES> 4,337,407
<TOTAL-OPERATING-EXPENSES> 4,572,233
<OPERATING-INCOME-LOSS> 932,437
<OTHER-INCOME-NET> 11,485
<INCOME-BEFORE-INTEREST-EXPEN> 943,922
<TOTAL-INTEREST-EXPENSE> 389,616
<NET-INCOME> 499,611
54,695 <F1>
<EARNINGS-AVAILABLE-FOR-COMM> 499,611
<COMMON-STOCK-DIVIDENDS> 443,101
<TOTAL-INTEREST-ON-BONDS> 270,745
<CASH-FLOW-OPERATIONS> 977,725
<EPS-PRIMARY> $2.71
<EPS-DILUTED> $2.71
<FN>
<F1>Represents perferred stock dividend requirements of
subsidiaries; deducted before computation of net income.
</FN>
</TABLE>
