-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, W2Bu1IAfzkWr6krlbUa/KkQtuQK/dgbXDgfIplq0W/TD66nlG5lTN+TXQDSS8Pvf gjbexBgWmzztug9v+HoT9Q== 0000893220-02-000732.txt : 20020530 0000893220-02-000732.hdr.sgml : 20020530 20020530100400 ACCESSION NUMBER: 0000893220-02-000732 CONFORMED SUBMISSION TYPE: 35-CERT PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20020530 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CONECTIV CENTRAL INDEX KEY: 0001029590 STANDARD INDUSTRIAL CLASSIFICATION: ELECTRIC & OTHER SERVICES COMBINED [4931] IRS NUMBER: 510377417 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 35-CERT SEC ACT: 1935 Act SEC FILE NUMBER: 070-09095 FILM NUMBER: 02665585 BUSINESS ADDRESS: STREET 1: 800 KING ST STREET 2: P O BOX 231 CITY: WILMINGTON STATE: DE ZIP: 19899 BUSINESS PHONE: 3024293114 MAIL ADDRESS: STREET 1: 800 KING ST STREET 2: P O BOX 231 CITY: WILMINGTON STATE: DE ZIP: 19899 35-CERT 1 w61126ae35vcert.txt 35-CERT CONECTIV AND SUBSIDIARIES As Filed with the Securities and Exchange Commission on May 30, 2002 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 - ------------------------------- In the Matter of INTERIM CERTIFICATE Conectiv and Subsidiaries OF File No. 70-9095 NOTIFICATION (Public Utility Holding Company Act of 1935) PURSUANT TO RULE 24 - ------------------------------- This Certificate of Notification is filed by Conectiv, a Delaware corporation, pursuant to Rule 24 (17 C.F.R. Section 250.24). Such filing is made in connection with Conectiv's Form U-1 Application-Declaration, as amended (the "Application-Declaration"), and authorized by the orders of the Securities and Exchange Commission (the "Commission") dated February 26, 1998, August 21, 1998, September 28, 1998, October 21, 1998, November 13, 1998, December 14, 1999, August 17, 2000, June 7, 2001 and March 22, 2002 (the "Orders") in the above- referenced file. The Orders directed that Conectiv file with the Commission quarterly certificates pursuant to Rule 24 within 60 days after each of the first three calendar quarters and within 90 days after the last calendar quarter. This certificate reports transactions from the period January 1, 2002 through March 31, 2002. Pursuant to the Orders, the formation of Conectiv Pennsylvania Generation, Inc. as a New Utility Company (as defined in the Application-Declaration) on January 18, 2002 caused Conectiv Energy Holding Company and ACE REIT, Inc. to be deemed to be registered holding companies under the Act. The reporting requirements of Conectiv Energy Holding Company and ACE REIT, Inc. are deemed to be included in this Interim Certificate of Notification. Capitalized terms not otherwise defined herein have the meaning ascribed in the Application-Declaration. 1. Conectiv Common Stock issued during period (new issue shares only):
- ---------------------------------------------------------------------------------------------- # Of Shares Issued Average Cumulative Issuance During Period Price per Share Issuance Amount Amount - ---------------------------------------------------------------------------------------------- 0 N/A 0 0 - ----------------------------------------------------------------------------------------------
Note: Pursuant to the Orders, Conectiv can issue up to $750 million of long-term financing. Of this amount, a maximum of $250 million of long-term financing can be issued in the form of common stock. To the degree any common stock is issued, the amount of long-term debt that can be issued is reduced dollar for dollar. 2. Conectiv Common Stock issued pursuant to dividend reinvestment plans and Common Stock and options issued pursuant to benefit plans:
- ----------------------------------------------------------------------------------------------- #Of Shares Issued During Common Stock Period Cumulative # Of Shares Issued - ----------------------------------------------------------------------------------------------- Dividend Reinvestment 0 0 - ----------------------------------------------------------------------------------------------- Employee Benefit Plans 0 14,900 - -----------------------------------------------------------------------------------------------
During the period, 494,200 stock options and 53,700 shares of restricted stock were issued under the Conectiv Incentive Compensation Plan. There were no stock options exercised under the Delmarva Long-Term Incentive Plan during the quarter and no shares of Common Stock were issued. To date, awards under the employee benefit plans include 3,403,700 common stock options and 806,200 shares of restricted stock. Note: Cumulative shares issued for dividend reinvestment plans cannot exceed 5 million shares; cumulative shares issued for employee benefit plans cannot exceed 5 million shares. 3. Conectiv Common Stock issued for acquisitions:
- ----------------------------------------------------------------------------------------------- # Of Shares Issued During Period Value per Share Restricted (Y/N) - ----------------------------------------------------------------------------------------------- 0 N/A N/A - -----------------------------------------------------------------------------------------------
4. Conectiv Long-Term Debt issued during period: None Note: Aggregate long-term financing by Conectiv cannot exceed $750 million pursuant to the Orders (see Item 1 above). Conectiv can issue all of this authorization in the form of long-term debt. However, the proceeds from the issuance of long-term debt must be used to reduce outstanding short-term debt. 5. Short-Term Debt issued by Conectiv and Delmarva Power & Light Company ("Delmarva") during period:
- ---------------------------------------------------------------------------------------------- Company Balance at Period-End Weighted Average Cost Highest Daily Balance - ---------------------------------------------------------------------------------------------- Conectiv $1,021,224,745 2.71% $1,163,646,000 - ---------------------------------------------------------------------------------------------- Delmarva 0 N/A 0 - ----------------------------------------------------------------------------------------------
Note: Conectiv's daily balance cannot exceed $2 billion pursuant to the Orders; Delmarva's daily balance cannot exceed $275 million pursuant to the Orders and the order of the Virginia State Corporation Commission. 6. Interest rate risk management transactions during period by Conectiv and/or Utility Subsidiaries: No activity. 7. Utility Subsidiary financings during period:
- ---------------------------------------------------------------------------------------------- Equity Financing Company Debt Financing ($) ($) Total ($) - ---------------------------------------------------------------------------------------------- Conectiv Atlantic Generation, L.L.C. 0 4,582 4,582 - ---------------------------------------------------------------------------------------------- Conectiv Delmarva Generation, Inc. 16,004,935 743,595 16,748,530 - ---------------------------------------------------------------------------------------------- Conectiv Pennsylvania Generation, Inc. 84,206,262 1,000 84,207,262 - ----------------------------------------------------------------------------------------------
Note: Short-term and long-term financings by Atlantic City Electric Company are exempt pursuant to Rule 52; long-term financings by Delmarva are exempt pursuant to Rule 52. Aggregate financing by Conectiv Atlantic Generation, L.L.C., Conectiv Delmarva Generation, Inc. and any New Utility Subsidiary cannot exceed $1 billion. Conectiv Pennsylvania Generation, Inc. was established as a New Utility Subsidiary on January 18, 2002. As of the end of the period, aggregate financing by Conectiv Atlantic Generation, L.L.C , Conectiv Delmarva Generation, Inc. and Conectiv Pennsylvania, Inc. was $100,960,374. 8. Non-utility financing during the period not exempt pursuant to Rule 52:
- ---------------------------------------------------------------------------------------------- Interest Rate Company Type of Borrowing Amount ($) (%) - ---------------------------------------------------------------------------------------------- Atlantic Generation, Inc. Money Pool Advance * * - ---------------------------------------------------------------------------------------------- Conectiv Energy Supply, Inc. Money Pool Advance * * - ---------------------------------------------------------------------------------------------- Conectiv Thermal Systems, Inc. Money Pool Advance * * - ---------------------------------------------------------------------------------------------- Conectiv Energy Holding Company Money Pool Advance 302,597,092 2.71 - ---------------------------------------------------------------------------------------------- Conectiv Operating Services Company Money Pool Advance * * - ---------------------------------------------------------------------------------------------- Conectiv Mid-Merit, Inc. Parent Company Advance 227,123,578 2.71 - ---------------------------------------------------------------------------------------------- Conectiv Bethlehem, Inc. Parent Company Advance 75,276,763 2.71 - ---------------------------------------------------------------------------------------------- Various Surety Bonds 62,342,562 N/A - ----------------------------------------------------------------------------------------------
* Reported on Form U-9C-3 9. Guarantees issued by Conectiv and Nonutility Subsidiaries as of end of period: - ------------------------------------------------------------------------------------------------ Conectiv $624.1 million - ------------------------------------------------------------------------------------------------ Nonutility Subsidiaries None - ------------------------------------------------------------------------------------------------
Note: Guarantees by Conectiv cannot exceed $1.5 billion; guarantees by Non-Utility Subsidiaries cannot exceed $100 million. 10. Borrowings from System Money Pool during period: Pursuant to the Orders, the limit on borrowings by individual Non-Utility Subsidiaries was eliminated and the applicable borrowings are reported on Form U-6B-2 filed contemporaneously herewith. 11. Forms U-6B-2 filed with Commission during period:
- ------------------------------------------------------------------------------------------------ Filing Entity Date of Filing - ------------------------------------------------------------------------------------------------ ATE Investment, Inc. May 30, 2002 - ------------------------------------------------------------------------------------------------ Atlantic City Electric Company May 30, 2002 - ------------------------------------------------------------------------------------------------ Atlantic Southern Properties, Inc. May 30, 2002 - ------------------------------------------------------------------------------------------------ Conectiv Plumbing LLC May 30, 2002 - ------------------------------------------------------------------------------------------------ Conectiv Properties and Investments, Inc May 30, 2002 - ------------------------------------------------------------------------------------------------ Conectiv Resource Partners, Inc. May 30, 2002 - ------------------------------------------------------------------------------------------------ Conectiv Services, Inc May 30, 2002 - ------------------------------------------------------------------------------------------------ Conectiv Solutions, LLC May 30, 2002 - ------------------------------------------------------------------------------------------------ DCI I, Inc May 30, 2002 - ------------------------------------------------------------------------------------------------ DCI II, Inc. May 30, 2002 - ------------------------------------------------------------------------------------------------ Delmarva Power & Light Company (long-term debt only) May 30, 2002 - ------------------------------------------------------------------------------------------------ King Street Assurance Ltd. May 30, 2002 - ------------------------------------------------------------------------------------------------
12. Financial Statements: - - Conectiv Balance Sheet (Incorporated by reference to the filing of Conectiv on Form 10-Q for the period ended March 31, 2002) - - Delmarva Balance Sheet (Incorporated by reference to the filing of Delmarva on Form 10-Q for the period ended March 31, 2002) 13. Registration Statements filed pursuant to the Securities Act of 1933: None. 14. Computation under Rule 53(a):
----------------------------------------------------------------------------------- ($ thousands) 1 2 3 4 5 6 7 - -------------------------------------------------------------------------------------------------- Average Average 10% Test 2% of Capital Maximum Aggregate Remaining Retained Retained Invested in EWG EWG Capacity Earnings Earnings Utility Plant Investments Investments for EWG (Last Four (Previous (Use only if per Orders Investments Quarters) Four 1 is 10% less Quarters) than 2) - -------------------------------------------------------------------------------------------------- 3/31/02 204,532 166,649 23% N/A 350,000 304,982 45,018 - --------------------------------------------------------------------------------------------------
15. Conectiv Investment in EWG Projects: Conectiv's investments in EWGs as of March 31, 2001 were $305.0 million. 16. Conectiv's Consolidated Capitalization Ratios as of March 31, 2002:
($ thousands) - ----------------------------------------------------------------------------------------------- Debt 2,938,678 65.87% - ----------------------------------------------------------------------------------------------- Preferred Stock 213,263 4.78% - ----------------------------------------------------------------------------------------------- Common Equity 1,309,421 29.35% - ----------------------------------------------------------------------------------------------- Total Capitalization 4,461,362 100.00% - -----------------------------------------------------------------------------------------------
17. Market/Book Ratio of Conectiv Common Stock:
- ---------------------------------------------------------------------------------------------- Closing Price @ 3/31/02 Book Value @ 3/31/02 Ratio - ---------------------------------------------------------------------------------------------- Conectiv Common Stock $24.89 $14.75 1.69 - ---------------------------------------------------------------------------------------------- Conectiv Class A Common Stock $21.65 $14.75 1.47 - ----------------------------------------------------------------------------------------------
18. New EWG Projects during Preceding Quarter: There were no new EWG Projects initiated during the period. 19. Consolidated and EWG Earnings Growth: Energy Systems North East, LLC ("ESNE"), an indirect subsidiary of Conectiv, has a 50% interest in an EWG Project located in North East, Pennsylvania. The effect of ESNE's earnings are insignificant in relation to Conectiv's earnings. ESNE is the only operating EWG Project in the Conectiv System. 20. EWG Revenue and Net Income: ESNE's revenues and net income are de minimis. 21. New Utility Subsidiaries established during period: Conectiv Pennsylvania Generation, Inc. was established as a New Utility Subsidiary on January 18, 2002. 22. Utility property acquired during period by utility subsidiaries of Conectiv Energy Holding Company: Conectiv Pennsylvania Generation, Inc.: $81,596,500 Note: Aggregate acquisition of utility property by Conectiv Atlantic Generation, L.L.C., Conectiv Delmarva Generation, Inc. and any New Utility Subsidiary (which, as noted above, includes Conectiv Pennsylvania Generation, Inc.) cannot exceed $1 billion. As of the end of the period, the aggregate acquisition of utility property by Conectiv Atlantic Generation, L.L.C., Conectiv Delmarva Generation, Inc. and Conectiv Pennsylvania generation, Inc. was $81,596,500. SIGNATURE Pursuant to the requirements of the Public Utility Holding Company Act of 1935, the undersigned companies have duly caused this Certificate of Notification to be signed on their behalf by the undersigned thereunto duly authorized. The signatures of the applicants and of the persons signing on their behalf are restricted to the information contained in this application which is pertinent to the application of the respective companies. Conectiv Delmarva Power & Light Company Conectiv Resource Partners, Inc. Conectiv Energy Supply, Inc. Conectiv Properties and Investments, Inc. Conectiv Services, Inc. DCI I, Inc. DCI II, Inc. DCTC-Burney, Inc. Conectiv Operating Services Company Conectiv Solutions, LLC Conectiv Plumbing, LLC Atlantic City Electric Company Atlantic Generation, Inc. Atlantic Southern Properties, Inc. ATE Investment, Inc. Conectiv Thermal Systems, Inc. Binghamton General, Inc. Binghamton Limited, Inc. Pedrick General, Inc. Vineland Limited, Inc. Vineland General, Inc. ATS Operating Services, Inc. King Street Assurance, Ltd. Atlantic Jersey Thermal Systems, Inc Conectiv Atlantic Generation, L.L.C. ACE REIT, Inc. Conectiv Communications, Inc. Conectiv Delmarva Generation, Inc. Conectiv Energy Holding Company Conectiv Mid-Merit, Inc. May 30, 2002 /s/ Philip S. Reese ------------------- Philip S. Reese Vice President and Treasurer -----END PRIVACY-ENHANCED MESSAGE-----