SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
In the matter of )
)
)
EUA ENERGY INVESTMENT CORPORATION ) Certificate of
Lowell, Massachusetts ) Notification
) Pursuant to
) Rule 24
(70-8837) )
)
(Public Utility Holding Company Act of 1935) )
Enclosed herewith for filing by EUA Energy Investment Corporation, a
wholly-owned subsidiary of Eastern Utilities Associates in
accordance with the Order of the Securities and Exchange Commission
entered in the above matter on June 26, 1996 (Release No. 35-26529)
and pursuant to Rule 24, are the balance sheet, the income statement,
and statement of cash flows for the period ended September 30, 1997 of
Separation Technologies, Inc., reflecting the investments to date therein by
EUA Energy Investment Corporation.
EUA Energy Investment Corporation
By: /s/ Clifford J. Hebert, Jr.
Clifford J. Hebert, Jr.
Treasurer
Dated: November 26, 1997
EUA ENERGY INVESTMENT CORPORATION
INVESTMENT IN SEPARATION TECHNOLOGIES, INC.
THIRD QUARTER 1997
(1) STI announced in April 1997 a joint venture formed with Roanoke Cement
Company to install equipment to separate unburned carbon from fly-ash at
Carolina Power & Light's Roxboro, N.C. generating station. The joint
venture will market the processed ash to concrete producers in the
Virginia's and the Carolina's. The equipment has been delivered and
installed and commercial operation began in September 1997.
In August of 1997, STI was awarded the contract for the benefication of
the ash from the Jacksonville Electric Authority's Saint John's River
Power Park.
(2) Separation Technologies' Financial Statements through September 30,
1997.
SEPARATION TECHNOLOGIES, INC.
CONDENSED BALANCE SHEET
September 30, 1997
(Unaudited)
(In Thousands of Dollars)
ASSETS
Fixed Assets:
Property and equipment, net $3,444
Less: Accumulated depreciation 1,699
Total fixed Assets 1,745
Current Assets:
Cash and cash equivalents 843
Accounts Receivable, net 1,337
Inventories 7
Prepaid Expenses and Other 20
Total Current Assets 2,207
Other Assets:
Deposits 32
Acquired Intangibles 693
Patents and acquired Technology 195
Total Other Assets 920
TOTAL ASSETS $4,872
LIABILITIES
Stockholders' Equity
Series A Convertible Preferred $16
Common Stock 37
Deferred Compensation (125)
Additional Paid-in-Capital 13,902
Deficit accumulated during development (12,205)
Total Stockholders' Equity 1,625
Long Term Liabilities:
Notes Payable to EUA Energy 2,425
Total Long Term Liabilities 2,425
Total Capitalization 4,050
Current Liabilities:
Accounts Payable 326
Notes and Leases Payable 144
Accrued Expenses 352
Total Current Liabilities 822
TOTAL LIABILITIES AND EQUITY $4,872
SEPARATION TECHNOLOGIES, INC.
CONDENSED INCOME STATEMENT
For the Period Ended September 30, 1997
(Unaudited)
(In Thousands of Dollars)
QUARTER ENDED YTD
Revenues $1,421 $2,566
Cost of Revenues 928 1,609
Gross Profit 493 957
Operating Expenses:
Engineering, Research and Development 227 756
Sales and Marketing Expenses 18 110
General and Administrative Expenses 397 1,232
Total Operating Expenses 642 2,098
Operating Income (Loss) (149) (1,141)
Interest Charges 78 156
Other Income/(Expense) 23 148
Pre-tax Net Income (Loss) ($204) ($1,149)
SEPARATION TECHNOLOGIES, INC.
STATEMENT OF CASH FLOWS
For the Year to Date Period Ended September 30, 1997
(Unaudited)
(In Thousands of Dollars)
Operating Activities:
Pre-tax Net Income (Loss) ($1,149)
Depreciation & Amortization 677
Change in Current Assets and Liabilities:
Accounts Receivable (916)
Accounts Payable (255)
Other Current Assets and Liabilities 151
Net Operating Activities (1,492)
Investing Activities:
Capital Expenditures (360)
Net Investing Activities (360)
Financing Activities:
Increase in Notes and Leases 1,459
Net Financing Activities 1,459
Net increase in cash and cash equivalents (393)
Cash and cash equivalents at December 31, 1996 1,236
Cash and cash equivalents at September 30, 1997 843
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