DOWNERS GROVE, Ill., Oct. 11, 2000 (PRNewswire)à‚–The Nuclear Regulatory Commission (NRC) gave its final approval Friday on the proposed merger of PECO Energy Company and Unicom Corporation, parent company of Commonwealth Edison Company (ComEd), when it approved the request for the indirect transfer of licenses for both company’s nuclear plants to Exelon Corporation, the holding company to be formed in connection with the proposed merger.
The NRC also approved a similar request from AmerGen for the indirect transfer of PECO’s interests in the licenses for its nuclear plants.
This approval is different from the approval granted by the NRC in August in that it allows both PECO and ComEd to become direct, wholly owned subsidiaries of Exelon Corporation upon the closing of the merger.
In August, the NRC approved the direct transfer of facility operating licenses for all PECO and ComEd nuclear plants to Exelon Generation Company, the generating company that will own the nuclear plants after the completion of the restructuring of the merged company.
Completion of the restructuring process is expected a few months after the closing of the merger.
“I am very pleased that the NRC approved the transfer of the PECO, AmerGen, and ComEd facility operating licenses. We are now in the home stretch of the merger process, and one step closer to achieving our vision to be the best operator of nuclear plants worldwide,” said Oliver D. Kingsley Jr., President and Chief Nuclear Officer of ComEd’s Nuclear Generation Group and the future Exelon Nuclear. Both organizations have put a lot of effort into the integration and planning activities which resulted in the rapid approval process for the completion of the merger.
When the merger closes, the Exelon Nuclear organization will have its senior management team in place to lead the nuclear headquarters and regional operating group (ROG) organizations. PECO and ComEd submitted the indirect license transfer requests to the NRC on July 7, 2000.
PECO Energy Company is an electric and gas utility with 6,500 employees serving 1.5 million electric customers in the five-county Philadelphia region and more than 400,000 natural gas customers.
PECO Energy owns and operates nuclear, coal, natural gas, oil, landfill gas and hydro generating plants. Its bulk power-marketing unit, Power Team, sells and trades wholesale electric power in the United States and Canada, and the company operates a series of unregulated ventures, primarily under the Exelon brand. PECO Energy’s revenues in 1999 were $5.4 billion.
Based in Chicago, Unicom Corporation (NYSE: UCM) is the parent of Commonwealth Edison Company, which provides electric service across northern Illinois, serving approximately 3.4 million customers or 70 percent of the state’s population.
ComEd has a nuclear fleet with a total capacity of 9,400 megawatts from 10 generating units at five sites. It sold its fossil operations in 1999. Unicom, with nearly $7 billion in revenues in 1998 and nearly 15,000 employees, is also the parent of Unicom Enterprises, Inc., the holding company for its unregulated subsidiaries.
SOURCE: Commonwealth Edison Nuclear Generation