SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 23, 1996
Registrant; State of Incorporation; IRS Employer
COMMISSION FILE NUMBER ADDRESS; AND TELEPHONE NUMBER IDENTIFICATION NO.
1-5532 PORTLAND GENERAL CORPORATION 93-0909442
(an Oregon Corporation)
121 SW Salmon Street
Portland, Oregon 97204
(503) 464-8820
121 S.W. SALMON STREET, PORTLAND, OREGON 97204
(Address of principal executive offices) (zip code)
Registrant's telephone number, including area code 503-464-8820
1
<PAGE>
ITEM 5. OTHER EVENTS
LITIGATION SETTLEMENT - On August 23, 1996 Portland General Corporation and
its wholly owned subsidiary Portland General Holdings Inc. (collectively
referred to as Portland General) entered into a settlement with the Bonneville
Pacific Corporation's (Bonneville) bankruptcy trustee (Trustee) pursuant to
which the Trustee releases all claims asserted in a 1992 legal action against
Portland General and certain of its past and present officers and directors.
For further information regarding the Trustee's claim against Portland General
see Portland General's report on Form 10-Q for the period ended June 30,1996.
Pursuant to the settlement, Bonneville and its estate will release all claims
and causes of action, including those asserted in the Trustee's civil action
against Portland General and its current and former officers and directors.
In exchange, Portland General will release any and all claims against
Bonneville, its estate and related entities and individuals relating to its
equity investment in and loans to Bonneville except that Portland General will
retain ownership of 2 million shares of common stock of Bonneville. Portland
General will surrender ownership of approximately 7.8 million shares of the
common stock of Bonneville and will withdraw with prejudice its filed claim
against Bonneville. In late 1991, Portland General fully provided for losses
related to its equity investment in and loans to Bonneville. The settlement
will not result in any impact on Portland General's results of operations.
The settlement is conditioned upon approval by the United States District
Court and by the United States Bankruptcy Court.
Portland General will pursue recovery of certain litigation and settlement
costs from its Director and Officer liability carrier. Any such recovery
would be recognized in income during the periods received. Portland General
will continue to prosecute its case against Deloitte & Touche and certain
other parties associated with Bonneville Pacific. Portland General's
complaint seeking approximately $228 million in damages in the Third Judicial
District Court for Salt Lake County (Utah) alleges that it relied on
fraudulent and negligent statements and omissions by Deliotte & Touche and the
other defendants when it acquired a 46% interest in and made loans to
Bonneville Pacific starting in September 1990.
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrants have duly caused this report to be signed on their behalf by the
undersigned hereunto duly authorized.
Portland General Corporation
August 28, 1996 By /S/ JOSEPH E. FELTZ
Joseph E. Feltz
Assistant Controller
Assistant Treasurer
2
<PAGE>
