Securities and Exchange Commission
                              Washington, DC 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) - September 25, 1996




                         Minnesota Power & Light Company

                             A Minnesota Corporation
                           Commission File No. 1-3548
                   IRS Employer Identification No. 41-0418150
                             30 West Superior Street
                             Duluth, Minnesota 55802
                           Telephone - (218) 722-2641





Item 5.    Other Events.


A.       Minnesota Power and USX Sign New Electric Agreement

         On September 25, 1996 Minnesota Power & Light Company  (Minnesota Power
or Company) and USX Corporation  (USX) entered into a Restated  Electric Service
Agreement  (Agreement)  which  provides  for electric  service to USX's  Minntac
taconite plant through at least 2007.  Minntac is the Company's largest electric
customer and  annually  produces  about 14 million tons of taconite  pellets for
steel  production.  The Agreement is subject to approval by the Minnesota Public
Utilities  Commission,  which was also requested on September 25, 1996. Existing
contract  obligations will remain in effect through the present contract term of
May 1999.

         Under  this  Agreement,  USX may elect to  increase  its  future  power
requirements  on a semi-annual  basis and is provided with an incentive of lower
costs if  advance  notice  is  provided  to  Minnesota  Power  of  those  future
requirements.  In addition,  under the Company's Large Power Incentive  Program,
USX will receive funding for $5.8 million of conservation projects when approved
by the Minnesota Department of Public Service. Demand charges in the service
schedule will not be increased.



B.       Southern States Utilities Implements New Rates

         Southern States Utilities, Inc. (SSU), a wholly owned subsidiary of the
Company,  implemented new water and wastewater  rates on September 20, 1996 that
will result in an annualized increase of approximately $11.1 million in revenue.
SSU  requested an $18.1  million rate  increase in June 1995.  Approved  interim
rates of $7.9 million on an  annualized  basis have been in effect since January
23,  1996.  Though a final order has not yet been  issued by the Florida  Public
Service  Commission  (FPSC), SSU anticipates that it will appeal certain aspects
of the FPSC decision.



C.       ADESA Adds Two New Auto Auction Locations

         On September  30, 1996  Minnesota  Power  exchanged  473,006  shares of
common stock of Minnesota Power (Common Stock) for all the outstanding shares of
common stock of Alamo Auto Auction,  Inc. and Alamo Auto Auction  Houston,  Inc.
The Common  Stock was issued by the  Company and  delivered  to the sellers in a
private  placement  transaction  that has been  accounted  for as a  pooling  of
interests.  ADESA Corporation (ADESA), a wholly owned subsidiary of the Company,
will have oversight of these auto auction businesses in San Antonio and Houston,
Texas.  The San Antonio  auction site is on 48 acres and has five auction lanes.
The Houston site is on 9 acres and has recently commenced operations.

         These purchases,  combined with ADESA's auto auction in Austin,  Texas,
strengthen  ADESA's  presence in the Texas market which is the third largest car
and second largest truck market in the United States. ADESA owns and operates 23
automobile  auctions in the United States and Canada through which used cars and
other vehicles are sold to franchised  automobile  dealers and licensed used car
dealers.


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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.



                                             Minnesota Power & Light Company
                                         --------------------------------------
                                                      (Registrant)





October 3, 1996                                      D. G. Gartzke
                                        --------------------------------------
                                                     D. G. Gartzke
                                             Senior Vice President - Finance
                                              and Chief Financial Officer


                                    










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