<PAGE> File No. 70-8337
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
AMENDMENT NO. 2
TO
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
INDIANA-KENTUCKY ELECTRIC CORPORATION
P.O. Box 468, Piketon, Ohio 45661
(Name of companies 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)<PAGE>
The undersigned Ohio Valley Electric Corporation ("OVEC") and
Indiana-Kentucky Electric Corporation ("IKEC") hereby amend their
joint Application or Declaration on Form U-1 in File No. 70-8337 by
restating ITEM 1 to read as follows:
ITEM 1. DESCRIPTION OF PROPOSED TRANSACTIONS.
"Indiana-Kentucky Electric Corporation ('IKEC'), a
subsidiary of Ohio Valley Electric Corporation ('OVEC') requests
authorization to enter into a reimbursement obligation in
connection with the issuance of a letter of credit to satisfy the
requirements of the Indiana financial responsibility law relating
to the fly ash landfill located at the Clifty Creek Plant of IKEC.
OVEC also requests authorization to enter into an agreement or
agreements of indemnity or act as surety or guarantor for IKEC in
connection with such reimbursement obligation.
Indiana law requires that permittees of a solid waste
landfill in the state satisfy certain financial responsibility
standards. Such standards can be satisfied by its net worth or a
trust fund, surety bond, letter of credit or insurance. IKEC owns
a fly ash landfill at its Clifty Creek Plant for which it must show
financial responsibility of $7,410,600 for its estimated closure
and post-closure costs. IKEC may have to show increased financial
responsibility in the future if the estimated costs increase.
Neither IKEC nor OVEC satisfies the net worth requirement. As a
result, IKEC may have to satisfy the requirement by means of a
letter of credit.
The letter of credit would be in an aggregate amount
equal to the amount required under Indiana law, but not to exceed
$10,000,000 and would be for a one year term then renewable
annually. Drawings under the letter of credit would bear interest
at not more than 2% above the bank's prime rate as in effect from
time to time. IKEC also may be required to pay an annual fee which
will not exceed 1% of the face amount of the letter of credit.
In order to lower the cost of such letter of credit, OVEC
requests authorization to indemnify the bank issuing such letter of
credit for any payments or to guarantee the obligation of IKEC to
reimburse such bank for such payments. OVEC's obligation to the
bank would be on the same terms as IKEC's obligation to the bank.
OVEC will charge no fee to IKEC for such indemnity or guaranty."
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
INDIANA-KENTUCKY ELECTRIC CORPORATION
By__/s/ D. L. Hart_______________
Vice President
Dated: February 10, 1994
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