UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITES EXCHANGE ACT OF 1934
Date of Report (Date of earliest events reported) July 20, 2000
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July 13, 2000
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PUBLIC SERVICE COMPANY OF NEW MEXICO
(Exact name of registrant as specified in its charter)
New Mexico 85-0019030
--------------------------- Commission ----------------------
(State or Other Jurisdiction File Number 1-6986 (I.R.S. Employer
of Incorporation) ------ Identification) Number)
Alvarado Square, Albuquerque, New Mexico 87158
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(Address of principal executive offices) (Zip Code)
(505) 241-2700
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(Registrant's telephone number, including area code)
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(Former name, former address and former fiscal year,
if changed since last report)
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Item 5. Other Event
The following is the Company's press release and is being filed herewith as a
current event.
New Power Plant Added to PNM System
ALBUQUERQUE, N.M., July 13, 2000 - PNM, Public Service Company of New Mexico
(NYSE:PNM), now has an additional 132 megawatts of electricity available to help
meet peak summer demand.
A new gas-fired generating plant, Delta-Person Station, is now fully operational
in Albuquerque, PNM announced this week. The plant is owned by New Jersey-based
Delta Power and John Hancock Life Insurance Company. PNM has a 20-year agreement
to buy power from the plant.
Power from Delta-Person will supplement PNM's primary generating resources, the
coal-fired San Juan and Four Corners power plants, both located near Farmington,
New Mexico, and the Palo Verde nuclear plant in Arizona. PNM owns about 46
percent of the San Juan plant and 13 percent of the Four Corners plant, and owns
or leases 10.2 percent of the Palo Verde plant. Besides the Delta-Person
contract, PNM owns or leases net generation capacity of 1,521 MW.
Delta-Person capacity will assist in meeting peak demand during the hot summer
months, according to PNM President and Chief Executive Officer Jeff Sterba.
"This will help make sure the lights are kept on in the Albuquerque and Santa Fe
metro areas," Sterba said.
New Mexico, like most of the rest of the Western U.S., is experiencing an
exceptionally hot and dry summer. In Albuquerque, cooling degree days (a
measurement of temperature variation from an ideal 68 degree norm) are running
60 percent above normal so far this year
When not needed to serve PNM's local customers, Delta-Person's power will be
available for sale into the wholesale market, Sterba added. PNM wholesale power
revenues have been growing at a rate of about 30 percent annually over the last
five years. "It is our goal to continue to build on that success, tripling our
wholesale power business over the next five to seven years," Sterba said. "To do
that, we will have to add substantially to our portfolio of generation
resources. Our commitment to the Delta-Person plant is the latest step in that
direction."
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PNM operates a combined electric and gas utility serving approximately 1.3
million people in New Mexico and sells power on the wholesale market. Avistar, a
wholly-owned subsidiary of PNM, operates an advanced meter servicing business in
California and Nevada, offers energy and water management solutions for
government and institutional clients in the Southwest, and is assisting
e-commerce provider AMDAX.com in launching an Internet-based energy auction
system. PNM stock is traded primarily on the NYSE under the symbol PNM.
Statements made in this news release that relate to future events are made
pursuant to the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are based upon current expectations and the company
assumes no obligation to update this information. Because actual results may
differ materially from expectations, the company cautions readers not to place
undue reliance on these statements. Continued growth of the company's sales and
revenues in the wholesale power market is dependent upon a number of factors,
all of which the company is unable to predict at this time and which may have an
impact on PNM's future profitability. For a more detailed discussion of these
and other important factors affecting PNM, please see "Management's Discussion
and Analysis of Financial Condition and Results of Operations" in the Company's
Form 10-K for the year ended December 31, 1999, and Form 10-Q for the quarter
ended March 31, 2000 and 8-K filings with the Securities and Exchange
Commission.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
PUBLIC SERVICE COMPANY OF NEW MEXICO
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(Registrant)
Date: July 20, 2000 /s/ John R. Loyack
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John R. Loyack
Vice President, Corporate Controller
and Chief Accounting Officer
(Officer duly authorized to
sign this report)
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