<PAGE>
File No. 33-61131
Rule 424(b)(2)
PRICING SUPPLEMENT NO. 1 Dated January 17, 1996
(To Prospectus Dated August 18, 1995)
THE NARRAGANSETT ELECTRIC COMPANY
(A SUBSIDIARY OF NEW ENGLAND ELECTRIC SYSTEM)
SECURED MEDIUM-TERM NOTES
(First Mortgage Bonds, Series W)
Issue 96-1
Interest Rate: 7.24%
Maturity Date: January 19, 2026
Principal Amount: $2,000,000
Acceptance Date: January 16, 1996
Original Issue Date: January 19, 1996
Form of Delivery: Book-entry only
Depositary: The Depository Trust Company
55 Water Street
New York, New York
Issue: 96-1
Original Issue
Discount New Bond: No
Price of New Bonds:
Initial
Price to Underwriting Proceeds to
Public Discounts Company
----------- ------------ -----------
Per New Bond 100.00% 0.750% 99.250%
Total $2,000,000 $15,000 $1,985,000
REDEMPTION PROVISIONS
The New Bonds will not be redeemable prior to January 19, 2006.
Thereafter the New Bonds will be redeemable at the option of the Company, as a
whole or in part, at any time prior to maturity, whether or not on an interest
payment date, on at least 30 days' notice, given as provided in the Indenture,
at the following general redemption prices expressed as percentages of the
principal amount. The New Bonds will also be redeemable, on like notice,
through the application of improvement fund, insurance, eminent domain, or
other moneys held by the Trustee, at the following special redemption prices
similarly expressed, together in each case with accrued and unpaid interest to
the redemption date.
<PAGE>
REDEMPTION PRICES
If redeemed at any time in the respective twelve months' period beginning
January 19 in each of the following years:
GENERAL SPECIAL
REDEMPTION REDEMPTION
YEAR PRICES PRICES
---- ---------- ----------
2006 103.62% 100.00%
2007 103.26% 100.00%
2008 102.90% 100.00%
2009 102.53% 100.00%
2010 102.17% 100.00%
2011 101.81% 100.00%
2012 101.45% 100.00%
2013 101.09% 100.00%
2014 100.72% 100.00%
2015 100.36% 100.00%
2016 100.00% 100.00%
2017 100.00% 100.00%
2018 100.00% 100.00%
2019 100.00% 100.00%
2020 100.00% 100.00%
2021 100.00% 100.00%
2022 100.00% 100.00%
2023 100.00% 100.00%
2024 100.00% 100.00%
2025 100.00% 100.00%
If this New Bond is called in whole or in part, and if provision has been duly
made for notice of such call and for payment as required in the Indenture,
thereafter this New Bond, or such called part of the principal amount hereof,
shall cease to be secured by the lien of the Indenture, no interest shall
accrue on this New Bond or such called part hereof on and after the date fixed
for redemption, and the Company after said date fixed for redemption shall be
under no further liability in respect of the principal of or premium, if any,
or interest on this New Bond or such called part hereof (except as expressly
provided in the Indenture); and if less than the whole principal amount hereof
shall be so called, the registered owner hereof shall be entitled, in addition
to the sums payable on account of the part called, to receive, without expense
to such owner, on surrender of this New Bond duly endorsed or accompanied by a
duly executed instrument of transfer, one or more Secured Medium-Term Notes
(First Mortgage Bonds - Series W, Issue 96-1) for an aggregate principal
amount equal to that part of the principal amount hereof not then called and
paid.
DISTRIBUTION OF THE NEW BONDS
The New Bonds were sold to CS First Boston Corporation as Principal in
connection with the offering of the New Bonds described in this Pricing
Supplement.
