<PAGE> File No. 70-
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM U-1
APPLICATION OR DECLARATION
under the
PUBLIC UTILITY HOLDING COMPANY ACT OF 1935
* * *
OHIO VALLEY ELECTRIC CORPORATION
P.O. Box 468, Piketon, Ohio 45661
(Name of company 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
A. Joseph Dowd, General Counsel
AMERICAN ELECTRIC POWER SERVICE CORPORATION
1 Riverside Plaza, Columbus, Ohio 43215
(Names and addresses of agents for service)
ITEM 1. DESCRIPTION OF PROPOSED TRANSACTIONS.
Ohio Valley Electric Corporation ("OVEC") requests
authorization to incur short-term indebtedness through the issuance
and sale of notes to banks in an aggregate amount not to exceed
$25,000,000 outstanding at any one time. It is proposed that such
notes will be issued from time to time prior to January 1, 1997, as
funds may be required, provided that no such notes shall mature
later than June 30, 1997.
OVEC requests authorization for an increase in the exemption
provided from the provisions of Section 6(a) by the first sentence
of Section 6(b) of the Public Utility Holding Company Act of 1935
(the "Act"), to the extent necessary to cover such issuance and
sale of notes under the conditions described herein.
Notes will mature not more than 270 days after the date of
issuance or renewal thereof; provided that no note will mature
later than June 30, 1997. Notes will bear interest at an annual
rate not greater than the bank's prime commercial rate in effect
from time to time. Such credit arrangements may require the
payment of a fee that is not greater than 1/5 of 1% per annum of
the size of the line of credit made available by the bank and the
maintenance of additional balances of not greater than 20% of the
line of credit.
The maximum effective annual interest cost under any of the
above arrangements, assuming full use of the line of credit, will
not exceed 125% of the prime commercial rate in effect from time to
time, or not more than 10.625% on the basis of a prime commercial
rate of 8.5%.
The proceeds of the short-term debt incurred by OVEC will be
added to its general funds and used to pay its general obligations
and for other corporate purposes.
Unless the Commission orders to the contrary, the notes
payable to banks for which authorization is requested herein will
not necessarily be retired with the proceeds of any permanent
financing which may be authorized by the Commission. Unless
otherwise authorized by the Commission, any short-term debt
outstanding after December 31, 1996 will be retired at or prior to
June 30, 1997 from internal cash resources or with the proceeds of
such debt or equity financing as the Commission shall authorize.
It is proposed that Certificates of Notification under Rule 24
be filed quarterly.
ITEM 2. FEES, COMMISSIONS AND EXPENSES
No fees, commissions or other expenses are to be paid or
incurred, directly or indirectly, by OVEC or any associated company
in connection with the proposed transactions, other than this
Commission's filing fee of $2,000 and fees and expenses to be
billed at cost by the American Electric Power Service Corporation
and estimated not to exceed $2,000 in the aggregate.
ITEM 3. APPLICABLE STATUTORY PROVISIONS
OVEC considers Sections 6(a) and 6(b) of the Act as applicable
to the issuance and sale of notes to banks.
ITEM 4. REGULATORY APPROVALS
No commission other than the Securities and Exchange Commis-
sion has jurisdiction over the transactions described herein.
ITEM 5. PROCEDURE
It is requested, pursuant to Rule 23(c) of the Rules and
Regulations of the Commission, that the Commission's Order granting
this Application or Declaration on Form U-1 be issued on or before
February 1, 1995. OVEC waives any recommended decision by a
hearing officer or by any other responsible officer of the
Commission and waives the 30-day waiting period between the
issuance of the Commission's Order and the date it is to become
effective, since it is desired that the Commission's Order, when
issued, become effective forthwith. OVEC consents to the Office of
Public Utility Regulation assisting in the preparation of the
Commission's decision and/or Order in this matter, unless the
Office of Public Utility Regulation opposes the matters covered by
this Application or Declaration on Form U-1.
ITEM 6. EXHIBITS AND FINANCIAL STATEMENTS
The following exhibits, financial statements and Source of
Funds Statement are filed as part of this statement:
(a) Exhibits:
Exhibit A None
Exhibit B None
Exhibit D None
Exhibit E None
Exhibit F Opinion of Counsel
Exhibit G Form of Notice
(b) Financial Statements:
Balance Sheets as of September 30, 1994 and Statements of
Income and Retained Earnings for the 12 months ended September 30,
1994 of OVEC (to be filed by amendment).
ITEM 7. INFORMATION AS TO ENVIRONMENTAL EFFECTS.
It is believed that the granting and permitting to become
effective of this Application or Declaration will not constitute a
major Federal action significantly affecting the quality of the
human environment. No other Federal agency has prepared or is
preparing an environmental impact statement with respect to the
proposed transactions.
SIGNATURE
Pursuant to the requirements of the Public Utility
Holding Company Act of 1935, the undersigned company has duly
caused this statement to be signed on its behalf by the undersigned
thereunto duly authorized.
OHIO VALLEY ELECTRIC CORPORATION
By__/s/ G. P. Maloney___________
Vice President
November 18, 1994
<PAGE> Exhibit F
614/223-1632
Securities and Exchange Commission
Office of Public Utility Regulation
450 Fifth Street, N.W.
Washington, D.C. 20549
November 18, 1994
Gentlemen:
With respect to the Application or Declaration on Form U-1 of Ohio
Valley Electric Corporation ("OVEC") relating to certain promissory
notes (the "Notes") pursuant to the short-term financing program of
OVEC, I wish to advise you as follows:
I am of the opinion that OVEC is a corporation validly organized
and duly existing under the laws of the state of Ohio.
I am further 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 OVEC
in accordance with their terms, except as the same may be
limited by bankruptcy laws or other laws or equitable
principles affecting the enforcement of creditors'
rights; and
(c) consummation of the proposed transactions will not
violate the legal rights of the holders of any securities
issued by OVEC 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 OVEC with
respect to the transactions described in said Application
or Declaration;
2. appropriate action by the Securities and Exchange
Commission in connection with the transactions described
in said Application or Declaration; and
3. 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/ John M. Adams, Jr.
John M. Adams, Jr.
Counsel for
Ohio Valley Electric Corporation
JMA/mms
<PAGE> Exhibit G
UNITED STATES OF AMERICA
before the
SECURITIES AND EXCHANGE COMMISSION
PUBLIC UTILITY HOLDING COMPANY ACT OF 1935
Release No. /January , 1995
________________________________________
:
In the Matter of :
:
:
OHIO VALLEY ELECTRIC CORPORATION :
P.O. Box 468 :
Piketon, OH 45661 :
:
(70- ) :
________________________________________:
NOTICE OF PROPOSED ISSUANCE AND SALE OF SHORT-TERM NOTES
NOTICE IS HEREBY GIVEN that Ohio Valley Electric Corporation
("OVEC"), an electric utility subsidiary of American Electric Power
Company, Inc., a registered holding company, has filed with this
Commission an Application or Declaration pursuant to Sections 6(a)
and 6(b) of the Public Utility Holding Company Act of 1935 (the
"Act").
OVEC proposes, subject to receipt of appropriate authorization, to
issue and sell short-term notes to banks in aggregate principal
amounts not to exceed $25,000,000 outstanding at any one time. It
is proposed that such notes will be issued from time to time prior
to January 1, 1997, as funds may be required, provided that no such
notes shall mature later than June 30, 1997. Notes will mature not
more than 270 days after the date of issuance or renewal thereof;
provided that no note will mature later than June 30, 1997. Notes
will bear interest at an annual rate not greater than the bank's
prime commercial rate in effect from time to time. Such credit
arrangements may require the payment of a fee that is not greater
than 1/5 of 1% per annum of the size of the line of credit made
available by the bank and the maintenance of additional balances of
not greater than 20% of such line of credit. The maximum effective
annual interest cost under any of the above arrangements, assuming
full use of the line of credit, will not exceed 125% of the prime
commercial rate in effect from time to time, or not more than
10.625% on the basis of a prime commercial rate of 8.5%. The
proceeds of the short-term debt incurred by OVEC will be added to
its general funds and used to pay its general obligations and for
other corporate purposes.
The Application or Declaration and any amendments thereto are
available for public inspection through the Commission's Office of
Public Reference. Interested persons wishing to comment or request
a hearing should submit their views in writing by January 17, 1995
to the Secretary, Securities and Exchange Commission, Washington,
D.C. 20549, and serve a copy on the applicant at the address
specified above. Proof of service (by affidavit or, in case of any
attorney at law, by certificate) should be filed with the request.
Any request for a hearing shall identify specifically the issues of
fact or law that are disputed. A person who so requests will be
notified of any hearing, if ordered, and will receive a copy of any
notice or order issued in this matter. After said date, the
Application or Declaration, as filed or as it may be amended, may
be permitted to become effective.
For the Commission, by the Office of Public Utility Regulation,
pursuant to delegated authority.
Jonathan G. Katz
Secretary
