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File No.: 70-8783
CERTIFICATE OF NOTIFICATION
(Rule 24)
SECURITIES AND EXCHANGE COMMISSION
BY
NEW ENGLAND ELECTRIC RESOURCES, INC. (NEERI)
In accordance with the order of the Securities and Exchange
Commission dated April 15, 1996, the following is a report for
the third quarter of 1996:
1. In July, 1996 NEERI International, a wholly-owned
subsidiary of NEERI, was formed under the laws of the
Cayman Islands. NEERI owns two shares of NEERI
International, which will serve as a Project Parent for
prospective EWG/FUCO investments under File No.
70-8783. NEERI International has no employees, and has
had no activity as of September 30, 1996.
2. Attached in Exhibits A through C are a balance sheet,
twelve months ending income statement, and a statement
of cash flow for NEERI.
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SIGNATURE
Pursuant to the requirements of the Public Utility Holding
Company Act of 1935, the undersigned company has duly caused this
certificate of notification (Commission's File No. 70-8783) to be
signed on its behalf by the undersigned officer thereunto duly
authorized.
NEW ENGLAND ELECTRIC RESOURCES, INC.
s/John G. Cochrane
By: _________________________________
John G. Cochrane
Treasurer
Date: November 13, 1996
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EXHIBIT INDEX
Exhibit No. Description Page
- ----------- ----------- ----
A Balance Sheet at September 30, 1996 Filed
(Unaudited, subject to adjustment) herewith
B Statement of Income and Accumulated Filed
Deficit for twelve months ended herewith
September 30, 1996 (Unaudited,
subject to adjustment)
C Statement of Cash Flows for twelve Filed
months ended September 30, 1996 herewith
(Unaudited, subject to adjustment)
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Exhibit A
NEW ENGLAND ELECTRIC RESOURCES, INC.
Balance Sheet
September 30, 1996
(Unaudited, Subject to Adjustment)
ASSETS
- ------
Current assets:
Cash $ 487,810
Accounts receivable 336,868
Accounts receivable from associated companies 3,021
Tax benefit receivable 454,042
-----------
Total current assets 1,281,741
-----------
Investment in Separation Technologies, Inc.,
at cost 999,999
Investment in Monitoring Technologies, Inc.,
at cost 475,001
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Total other assets 1,475,001
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Total assets $ 2,756,741
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LIABILITIES AND PARENT COMPANY'S INVESTMENT
- -------------------------------------------
Current liabilities:
Accounts payable to associated companies $ 79,650
Accounts payable 19,844
Accrued taxes 137,898
-----------
Total current liabilities 237,392
Accumulated deferred income taxes 81,900
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Total liabilities 319,292
Parent company's investment:
Common stock, par value $1 per share 1,000
Subordinated notes payable to parent 6,748,999
Paid-in capital 0
Accumulated deficit (4,312,550)
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Total parent company's investment 2,437,449
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Total liabilities and parent company's
investment $ 2,756,741
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Exhibit B
NEW ENGLAND ELECTRIC RESOURCES, INC.
Statement of Income and Accumulated Deficit
For the Twelve Months Ended September 30, 1996
(Unaudited, Subject to Adjustment)
INCOME
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Services rendered to nonassociated companies $ 472,524
Miscellaneous income or loss 0
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Total Income $ 472,524
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EXPENSE
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Administrative and General Expenses $ 5,203,308
Income taxes (1,689,010)
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Total Expenses 3,514,298
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Net Income/(Loss) $(3,041,774)
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Accumulated deficit at beginning of period (1,270,776)
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Accumulated deficit at end of period $(4,312,550)
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Exhibit C
NEW ENGLAND ELECTRIC RESOURCES, INC.
Statement of Cash Flows
For the Twelve Months Ended September 30, 1996
(Unaudited, Subject to Adjustment)
Operating Activities:
Net loss $(3,041,774)
Adjustments to reconcile net loss to
net cash provided by operating
activities:
Deferred income taxes (217,500)
(Increase)/decrease in tax benefit receivable (95,590)
(Increase)/decrease in accounts receivable (40,368)
Increase/(decrease) in accounts payable 48,900
Increase/(decrease) in accrued taxes 137,898
(Increase)/decrease in deferred charges and
other assets 225,630
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Net cash provided by operating activities $(2,982,804)
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Investing Activities:
Investment in Monitoring Technologies, Inc.,
at cost $ (475,001)
-----------
Net cash used in investing activities $ (475,001)
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Financing Activities:
Subordinated notes payable to parent-issues $ 3,775,000
Proceeds from common stock issued 0
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Net cash used in financing activities $ 3,775,000
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Net increase/(decrease) in cash and cash
equivalents $ 317,195
Cash and cash equivalents at beginning of period 170,615
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Cash and cash equivalents at end of period $ 487,810
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