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News Analysis

Fortnightly Magazine - January 15 1998

in NYNEX's Performance Regulatory Plan if certain conditions are not met. It said that the merged company must keep its commitment to: (1) maintain headquarters in New York City; (2) invest $1 billion in service-related infrastructure over the next five years; and (3) hire between 750 and 1,000 employees to address service quality problems. %n8%n F

Phillip S. Cross is a contributing legal editor with Public Utilities Fortnightly.

1 See, e.g., Policy Statement Establishing Factors in Evaluating Whether a Proposed Merger is Consistent with the Public Interest, Docket No. rm96-6-000, Order No. 592, Dec. 18, 1996, 77 FERC ¶ 61,263, 61 Fed.Reg. 68,595, Dec. 30, 1996. For additional analysis on the FERC's electric utility merger guidelines, see, "What's New About the FERC's New Utility Merger Policy?" By Marvin T. Griff, Public Utilities Fortnightly, Feb. 1, 1997, p. 16; "Why Applicants Should Use Computer Simulation Models to Comply with the FERC's New Merger Policy," by Mark W. Frankena and John R. Morris, Public Utilities Fortnightly, Feb. 1, 1997, p. 22.

2 See, Re Puget Sound P&L Co. et al., 176 PUR4th 239 (Wash.U.T.C.1997); Re East Ohio Gas Co., Case No. 96-991-ga-unc, Dec. 19, 1996 (Ohio P.U.C.); Re SW Pub. Serv. Co., Case No. 2678, Jan. 28, 1997 (N.M.P.U.C.); Re Interstate Power Co., 177 PUR4th 409 (Minn.P.S.C.1997).

3 See, Re Louisville Gas & Elec. Co., Case No. 97-300, Sept. 12, 1997 (Ky.P.S.C.) (approves merger of Louisville Gas and Electric Co., and Kentucky Utilities Co., but finds no need to examine the effects the merger might have on the state's electric market at this time due to "the total absence of direct competition in Kentucky's existing retail market"). But see, Re Delmarva P& L Co., PSC Docket No. 97-58, Sept. 23, 1997 (Del.P.S.C.) (approves merger of Delmarva Power and Light Co. and Atlantic City Electric Co., but PSC will review market-power concerns associated with the planned merger as part of ongoing investigation of electric restructuring).

4 Re Baltimore Gas & Elec. Co., Formal Case No. 951, Order No. 11075, Oct 20, 1997 (D.C.P.S.C.); See also Re Baltimore Gas & E. Co., 176 PUR4th 531 (Md.P.S.C.1997). (Maryland officials approve merger proposal with conditions.)

5 Re Union Electric Co., 176 PUR4th 201 (Mo.P.S.C.1997).

6 Re Enron Corp., 177 PUR4th 587 (Ore.P.U.C.1997).

7 Re New England Teleph. & Teleg. Co., and NYNEX Corp., 175 PUR4th 490 (Me.P.U.C.1997); Re New England Teleph. & Teleg. Co., dba NYNEX Corp., 175 PUR4th 504 (Vt.P.S.B.1997).

8 Re New York Telephone Co. dba NYNEX Corp., Case Nos. 96c0603 & 96c0599, Mar. 20, 1997 (N.Y.P.S.C.).


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