Pricing Supplement No. 012 Filing under Rule 424(b)(2)
Dated August 21, 1997 Registration No. 333-26847
(To Prospectus dated May 28, 1997)
$217,692,000
Northern Indiana Public Service Company
Medium-Term Notes, Series E
Due 1 to 30 Years From Date of Issue
____________________
Principal Amount: $10,000,000
Trade Date: August 21, 1997
Original Issue Date: August 26, 1997
Interest Rate: 7.40%
Stated Maturity Date: August 30, 2022
Form : XX Book Entry ___ Certified
Interest Payment Date(s): March 15, and September 15
Specified Currency: U.S. Dollars
Selling Agents Commission: $75,000.00
Net Proceeds to the Company: $9,925,000
The Medium-Term Note described in this Pricing Supplement is being sold
through Citicorp Securities, Inc., as Agent.
Prior to the date of this Pricing Supplement, $129,000,000 Medium-Term Notes,
Series E, have been sold.
Goldman, Sachs & Co.
Merrill Lynch & Co.
Morgan Stanley & Co. Incorporated
