<PAGE>
File No. 69-78
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM U-3A-2
Statement by Holding Company Claiming Exemption Under
Rule U-3A-2 from the Provisions of the Public Utility
Holding Company Act of 1935
To Be Filed Annually Prior to March 1
MINNESOTA POWER, INC.
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(Name of company)
hereby files with the Securities Exchange Commission pursuant to Rule 2, its
statement claiming exemption as a holding company from the provisions of the
Public Utility Holding Company Act of 1935, and submits the following
information:
1. Name, State of organization, location and nature of business of
claimant and every subsidiary thereof, other than any exempt wholesale generator
(EWG) or foreign utility company in which claimant directly or indirectly holds
an interest.
<TABLE>
<CAPTION>
State of
Name Organization Location Nature of Business
- ---- ------------ -------- ------------------
<S> <C> <C> <C>
Minnesota Power, Inc. <F1> Minnesota Duluth, MN Electric Utility
Superior Water, Light and Power Wisconsin Superior, WI Electric, Gas and
Company <F2> Water Utility
Energy Land, Incorporated <F2><F3><F4> Wisconsin Duluth, MN Inactive
MP Investments, Inc. <F2><F3> Delaware Duluth, MN Investments
Capital Re Corporation <F5> Delaware New York, NY Financial Guaranty
Reinsurance and
Specialty Insurance
RendField Land Company, Inc. <F2><F3><F4> Minnesota Duluth, MN Land Holding
UtilEquip, Incorporated <F3><F4><F6> Minnesota Duluth, MN Inactive
Lakeview Financial Corporation I Minnesota Duluth, MN Inactive
<F2><F3><F4>
Lakeview Financial Corporation II Minnesota Duluth, MN Inactive
<F2><F3><F4>
MP&L Capital I <F2><F3> Minnesota Duluth, MN Trust
PCUC Acquisition Sub, Inc. <F2><F3><F4> Minnesota Duluth, MN Inactive
Minnesota Power Enterprises, Minnesota Duluth, MN Product and Marketing
Inc. <F2> Coordination
BNI Coal, Ltd. <F7> North Dakota Bismarck, ND Coal Mining
MP Affiliate Resources, Inc. <F3><F4><F7> Minnesota Duluth, MN Administrative
Operations
-1-
<PAGE>
<CAPTION>
State of
Name Organization Location Nature of Business
- ---- ------------ -------- ------------------
<S> <C> <C> <C>
Minnesota Power Telecom, Minnesota Duluth, MN Telecommunications
Inc. <F3><F4><F7>
Rainy River Energy Corporation <F3><F4><F7> Minnesota Duluth, MN Contract Services
Synertec, Incorporated <F3><F4><F7> Minnesota Duluth, MN Contract Services
Upper Minnesota Properties, Minnesota Duluth, MN Affordable Housing
Inc. <F3><F4><F7> Projects and Economic
Development
Upper Minnesota Properties- Minnesota Duluth, MN Affordable Housing
Meadowlands, Inc. <F3><F4><F8><F9> Project
Upper Minnesota Properties- Minnesota Duluth, MN Affordable Housing
Irving, Inc. <F3><F4><F8> Project
Upper Minnesota Properties- Minnesota Duluth, MN Economic Development
Development, Inc. <F3><F4><F8><F10>
Minnesota Power Services Group, Minnesota Duluth, MN Product Development
Inc. <F3><F4><F7>
Electric Outlet, Inc. <F3><F4><F11> Minnesota Duluth, MN Retailer
MP Water Resources Group, Minnesota Orlando, FL Water and Wastewater
Inc. <F2>
Heater Utilities, Inc. <F12><F13> South Carolina Cary, NC Water and Wastewater
Treatment Utility
LaGrange Waterworks Corporation North Carolina Fayetteville, NC Water Utility
<F3><F4><F14>
Brookwood Water Corporation <F3><F4><F14> North Carolina Fayetteville, NC Water Utility
Upstate Heater Utilities, Inc. South Carolina Anderson, SC Water Utility - Sold
<F3><F4><F14><F31>
Florida Water Services Florida Orlando, FL Water and Wastewater
Corporation <F12> Treatment Utility
Florida Gas Services Corporation Florida Orlando, FL Inactive
<F3><F4><F12>
U.S. Maintenance and Management Florida Orlando, FL Full Maintenance
Services Corporation <F3><F4><F12> Services
Vibration Correction Services, Inc. Minnesota Duluth, MN Predictive Maintenance
<F3><F4><F12> Services
Americas' Water Services Florida Chicago, IL Contract Operations
Corporation <F3><F4><F12> Services
Florida Water Consumer Products Florida Orlando, FL Inactive
Corporation <F3><F4><F12>
-2-
<CAPTION>
State of
Name Organization Location Nature of Business
- ---- ------------ -------- ------------------
<S> <C> <C> <C>
Instrumentation Services, Inc. Florida Orlando, FL Predictive Maintenance
<F3><F4><F12> Services
Predictive Maintenance and North Carolina Orlando, FL Inactive
Operational Services, Inc. <F3><F4><F15>
MP Real Estate Holdings, Inc. <F2> Minnesota Lehigh Acres, FL Real Estate
Lehigh Acquisition Corporation <F16> Delaware Lehigh Acres, FL Subdivider, Developer
Interlachen Lakes Estates, Inc. Florida Interlachen, FL Subdivider, Developer
<F3><F4><F17>
Sundowner Properties, Inc. <F3><F4><F17> Pennsylvania Williston, FL Subdivider, Developer
SRC of Florida, Inc. <F3><F4><F17> Florida Lehigh Acres, FL Subdivider, Developer
Lehigh Corporation <F17><F19> Florida Lehigh Acres, FL Subdivider, Developer
Lehigh Land & Investment, Inc. Florida Lehigh Acres, FL Inactive
<F3><F4><F18>
Cliffside Properties, Inc. <F3><F4><F18> California Lehigh Acres, FL Inactive
Palm Coast Holdings, Inc. <F18> Florida Palm Coast, FL Subdivider, Developer
Sugarmill Woods Communities, Inc. Florida Homosassa, FL Subdivider, Developer
<F3><F4><F18>
Enterprise Lehigh, Inc. <F3><F4><F18> Florida Lehigh Acres, FL Subdivider, Developer
MP Automotive Services, Inc. <F2><F20> Minnesota Duluth, MN Automotive Services
ADESA Southern Indiana, Inc. <F3><F4><F21> Indiana Columbus, IN Vehicle Auction
ADESA Corporation <F21><F23> Indiana Indianapolis, IN Vehicle Auction -
Corporate Operation
ADESA Ark-La-Tex, Inc.<F3><F4><F22><F24> Louisiana Shreveport, LA Vehicle Auction
ADESA Birmingham, Inc. <F4><F22> Alabama Moody, AL Vehicle Auction
ADESA Charlotte, Inc. <F3><F4><F22> North Carolina Charlotte, NC Vehicle Auction
ADESA Houston, Inc. <F3><F4><F22> Texas Houston, TX Vehicle Auction
ADESA Lansing, Inc. <F3><F4><F22> Michigan Dimondale, MI Vehicle Auction
ADESA Lexington, Inc. <F4><F22> Kentucky Lexington, KY Vehicle Auction
ADESA New Jersey, Inc. <F3><F22> New Jersey Manville, NJ Vehicle Auction
ADESA Ohio, Inc. <F4><F22> Ohio Northfield, OH Vehicle Auction
Franklin, OH
ADESA Pennsylvania, Inc. Pennsylvania Mercer, PA Vehicle Auction
<F3><F4><F22>
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<PAGE>
<CAPTION>
State of
Name Organization Location Nature of Business
- ---- ------------ -------- ------------------
<S> <C> <C> <C>
ADESA Sacramento, Inc. <F3><F4><F22> California Sacramento, CA Vehicle Auction
ADESA San Antonio, Inc. <F3><F4><F22> Texas San Antonio, TX Vehicle Auction
ADESA St. Louis, Inc. <F3><F4><F22> Missouri Barnhart, MO Vehicle Auction
ADESA Texas, Inc. <F22> Texas Austin, TX Vehicle Auction
Mesquite, TX
ADESA Wisconsin, Inc. <F3><F4><F22> Wisconsin Portage, WI Vehicle Auction
Auto Dealers Exchange of Massachusetts Framingham, MA Vehicle Auction
Concord, Inc. <F4><F22>
Auto Dealers Exchange of Tennessee Memphis, TN Vehicle Auction
Memphis, Inc. <F3><F4><F22>
A.D.E. of Knoxville, Inc. <F3><F4><F22> Tennessee Lenoir City, TN Vehicle Auction
Greater Buffalo Auto Auction, Inc. New York Akron, NY Vehicle Auction
<F4><F22>
ADESA Funding Corporation <F3><F4><F22> Indiana Indianapolis, IN Inactive
Auto Banc Corporation <F3><F4><F22> New Jersey Manville, NJ Wholesale Vehicle
Redistributor
A.D.E. Management Company <F3><F4><F22> Indiana Indianapolis, IN Vehicle Auction
Management Company
A.D.E. of Jacksonville, Inc. <F3><F4><F26> Florida Jacksonville, FL Vehicle Auction
ADESA Indianapolis, Inc. <F3><F4><F22><F27> Indiana Plainfield, IN Vehicle Auction
Great Rigs Incorporated <F3><F4><F23><F27> Indiana Moody, AL Vehicle Transport
Automotive Finance Corporation <F22> Indiana Indianapolis, IN Financial Services
AFC Funding Corporation <F25> Indiana Indianapolis, IN Financial Services
Automotive Floorplan Corporation <F25> Indiana Indianapolis, IN Financial Services
ADESA Properties, Inc. <F3><F4><F22> Delaware Wilmington, DE Financial Services
PAR, Inc. <F3><F4><F22> Indiana Indianapolis, IN Vehicle Remarketing
ADESA Canada, Inc. <F22><F29> Quebec Vars, Ontario, Vehicle Auction
Canada Corporate Operations
ADESA Montreal, Inc. <F4><F28> Quebec St. Eustache, Vehicle Auction
Quebec, Canada
3095-1115 Quebec Inc. <F3><F4><F28> Quebec St. Eustache, Inactive
Quebec, Canada
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<PAGE>
<CAPTION>
State of
Name Organization Location Nature of Business
- ---- ------------ -------- ------------------
<S> <C> <C> <C>
ADESA Halifax, Inc. <F3><F4><F28> Nova Scotia Halifax, Vehicle Auction
Nova Scotia,
Canada
Professional Auto Remarketing Ontario Vars, Ontario, Vehicle Remarketing
Canada, Inc. <F3><F4><F28> Canada
ADESA Moncton, Inc. <F3><F4><F28> New Brunswick Moncton, Vehicle Auction
New Brunswick,
Canada
ADESA Ottawa, Inc. <F3><F4><F28> Ontario Vars, Ontario, Vehicle Auction
Canada
ADESA Remarketing Services, Inc. Ontario Vars, Ontario, Vehicle Remarketing
<F3><F4><F30> Canada
<FN>
Footnotes
<F1> Formerly Minnesota Power & Light Company.
<F2> Subsidiary of Minnesota Power, Inc.
<F3> Contributed less than 1 percent of consolidated net income for the
year ended December 31, 1998.
<F4> Consisted of less than 1 percent of consolidated assets at
December 31, 1998.
<F5> MP Investments, Inc. has a 21 percent ownership interest in Capital
Re Corporation (Capital Re). Capital Re is an investment accounted
for by the equity method.
<F6> Subsidiary of RendField Land Company, Inc.
<F7> Subsidiary of Minnesota Power Enterprises, Inc.
<F8> Subsidiary of Upper Minnesota Properties, Inc.
<F9> Upper Minnesota Properties-Meadowlands, Inc. is a 99.5 percent
partner in Meadowlands Affordable Housing Limited Partnership.
<F10> Upper Minnesota Properties-Development, Inc. is a 50 percent partner
in Blackwater Properties, LLP.
<F11> Subsidiary of Minnesota Power Services Group, Inc.
<F12> Subsidiary of MP Water Resources Group, Inc.
<F13> Heater Utilities, Inc. is, at the request of the North Carolina
Utilities Commission, the emergency operator of Scotsdale Water and
Sewer, Inc. and Mobile Hills Estates. Both are small water utilities
in North Carolina.
<F14> Subsidiary of Heater Utilities, Inc.
<F15> Subsidiary of Instrumentation Services, Inc.
<F16> MP Real Estate Holdings, Inc. owns 80 percent of Lehigh Acquisition
Corporation.
<F17> Subsidiary of Lehigh Acquisition Corporation.
-5-
<PAGE>
<F18> Subsidiary of Lehigh Corporation.
<F19> Lehigh Corporation owns 100 percent of J.W. Ford, Inc., an investment
accounted for under the equity method.
<F20> MP Automotive Services, Inc. owns 80 percent of ADESA Southern
Indiana, Inc.
<F21> Subsidiary of MP Automotive Services, Inc.
<F22> Subsidiary of ADESA Corporation.
<F23> ADESA Corporation owns 51 percent of ADESA South Florida, L.L.C.
which is an automobile auction in Opa-Locka, FL; and 95 percent of
Great Rigs Incorporated.
<F24> ADESA Ark-La-Tex, Inc. owns 100 percent of ADESA Ark-La-Tex, L.L.C.
which is the auction business in Shreveport, LA.
<F25> Subsidiary of Automotive Finance Corporation.
<F26> Subsidiary of A.D.E. Management Company.
<F27> ADESA Indianapolis, Inc. owns 5 percent of Great Rigs Incorporated.
<F28> Subsidiary of ADESA Canada, Inc.
<F29> ADESA Canada, Inc. owns 20 percent of Impact Auto Auctions Ltd.
<F30> Subsidiary of ADESA Ottawa, Inc.
<F31> Sold in 1998.
</FN>
</TABLE>
-6-
<PAGE>
2. A brief description of the properties of claimant and each of its
subsidiary public utility companies used for the generation, transmission, and
distribution of electric energy for sale, or for the production, transmission,
and distribution of natural or manufactured gas, indicating the location of
principal generating plants, transmission lines, producing fields, gas
manufacturing plants, and electric and gas distribution facilities, including
all such properties which are outside the State in which claimant and its
subsidiaries are organized and all transmission or pipelines which deliver or
receive electric energy or gas at the borders of such State.
Claimant - Minnesota Power, Inc.
Reference is made to Annual Report Form 10-K (File No. 1-3548), filed
by the claimant with the Commission on March 25, 1998, for the fiscal year ended
December 31, 1997, particularly pages 20 through 22, which is hereby
incorporated by reference in this statement.
Subsidiary - Superior Water, Light and Power Company
Same reference as under claimant.
3. The following information for the last calendar year with respect to
claimant and each of its subsidiary public utility companies:
(a) Number of kWh of electric energy sold (at retail or
wholesale), and Mcf. of natural or manufactured gas distributed at retail.
Electricity Gas
Minnesota Power, Inc. 8,869,800,849 None
Superior Water, Light and Power Company 550,881,933 25,262,019
(b) Number of kWh of electric energy and Mcf. of natural or
manufactured gas distributed at retail outside the State in which each such
company is organized.
None
(c) Number of kWh of electric energy and Mcf. of natural or
manufactured gas sold at wholesale outside the State in which each such company
is organized, or at the State line.
Electricity Gas
Minnesota Power, Inc. 2,218,536,385 None
Superior Water, Light and Power Company None None
(d) Number of kWh of electric energy and Mcf. of natural or
manufactured gas purchased outside the State in which each company is organized
or at the State line.
Electricity Gas
Minnesota Power, Inc. 5,296,714,622 None
Superior Water, Light and Power Company 568,475,385 None
4. The following information for the reporting period with respect to
claimant and each interest it holds directly or indirectly in an EWG or a
foreign utility company, stating monetary amounts in United States dollars:
Not applicable to Minnesota Power, Inc.
-7-
<PAGE>
Exhibits
[This Exhibit A contains confidential information which has been omitted, but
filed separately with the Securities and Exchange Commission.]
Exhibit B is the Financial Data Schedules.
Exhibit C is not applicable to Minnesota Power, Inc.
-8-
<PAGE>
The above-named claimant has caused this statement to be duly executed
on its behalf by its authorized officer on this 9th day of February 1999.
MINNESOTA POWER, INC.
-----------------------------------
(Name of Claimant)
By D.G. Gartzke
-----------------------------------
Senior Vice President -
Finance and Chief Financial Officer
[CORPORATE SEAL]
Attest:
Mark A. Schober
- -----------------------------------
Controller
Name, title and address of officer to whom notices and correspondence concerning
this statement should be addressed:
David G. Gartzke Senior Vice President - Finance and Chief Financial Officer
---------------- -----------------------------------------------------------
(Name) (Title)
Minnesota Power, Inc.
30 West Superior Street
Duluth, Minnesota 55802
-----------------------
(Address)
-9-
<TABLE> <S> <C>
<ARTICLE> OPUR3
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM MINNESOTA
POWER'S CONSOLIDATED BALANCE SHEET AND STATEMENT OF INCOME FOR THE PERIOD ENDED
DECEMBER 31, 1998, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> DEC-31-1998
<BOOK-VALUE> PER-BOOK
<TOTAL-ASSETS> 2,317
<TOTAL-OPERATING-REVENUES> 1,040
<NET-INCOME> 89
</TABLE>
<TABLE> <S> <C>
<ARTICLE> OPUR3
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM MINNESOTA
POWER'S CONSOLIDATED BALANCE SHEET AND STATEMENT OF INCOME FOR THE PERIOD ENDED
DECEMBER 31, 1997, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED>
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> DEC-31-1997
<BOOK-VALUE> PER-BOOK
<TOTAL-ASSETS> 2,189
<TOTAL-OPERATING-REVENUES> 954
<NET-INCOME> 78
</TABLE>
