THE COLUMBIA GAS SYSTEM, INC. COLUMBIA ENERGY SERVICES CORPORATION COLUMBIA GAS SYSTEM SERVICE CORPORATION 2581 Washington Road COLUMBIA LNG CORPORATION Upper Saint Clair, PA 15241 COLUMBIA ATLANTIC TRADING CORPORATION TRISTAR VENTURES CORPORATION COLUMBIA GULF TRANSMISSION COMPANY TRISTAR CAPITAL CORPORATION 1700 MacCorkle Avenue, S.E. 20 Montchanin Road Charleston, WV 25314 Wilmington, DE 19807 COLUMBIA GAS DEVELOPMENT CORPORATION COLUMBIA NATURAL RESOURCES, INC. 5847 San Felipe COLUMBIA COAL GASIFICATION CORPORATION Houston, TX 77057 900 Pennsylvania Avenue Charleston, WV 25302 COMMONWEALTH PROPANE, INC. COLUMBIA PROPANE CORPORATION 800 Moorefield Park Drive Richmond, VA 23236
W. H. HARMON, Treasurer D. L. GELBAUGH, Vice President Columbia Natural Resources, Inc. Columbia Gas of Ohio, Inc. Columbia Coal Gasification Corp. Columbia Gas of Kentucky, Inc. 900 Pennsylvania Avenue Commonwealth Gas Services, Inc. Charleston, West Virginia 25302 Columbia Gas of Pennsylvania, Inc. Columbia Gas of Maryland, Inc. D. P. DETAR, Treasurer 200 Civic Center Drive TriStar Ventures Corporation Columbus, Ohio 43215 20 Montchanin Road Wilmington, Delaware 19807 E. R. O'LEARY, Treasurer Columbia Gulf Transmission Company J. W. GROSSMAN, Treasurer 1700 MacCorkle Avenue, S.E. Columbia Atlantic Trading Corp. Charleston, West Virginia 25314 Columbia LNG Corporation 20 Montchanin Road J. R. LISENBY, Treasurer Wilmington, Delaware 19807 Columbia Gas Development Corp. 5847 San Felipe B. F. CRANSTON, President Houston, Texas 77057 TriStar Ventures Corporation 20 Montchanin Road L. J. BAINTER, Vice President Wilmington, Delaware 19807 Columbia Gas System Service Corp. TriStar Capital Corporation H. F. HAYES, Treasurer 20 Montchanin Road Commonwealth Propane, Inc. Wilmington, Delaware 19807 Columbia Propane Corporation 800 Moorefield Park Drive ROBERT GUSTAFSON, Controller Richmond, Virginia 23236 Columbia Energy Services Corp. 2581 Washington Road Upper Saint Clair, PA 15241
Item 1. Description of Proposed Transaction.
Corporation Commission granting authority for Commonwealth Services to issue to
Columbia up to $16,000,000 of Installment Notes and borrow through the
Intrasystem Money Pool up to $30,000,000 of Money Pool Notes and/or Short-term
Notes during 1994, has been filed as Exhibit D to this Application-Declaration.
The filing of Exhibit D completes the record with respect to the 1994
intrasystem financing for Commonwealth Services for the period beginning
September 30, 1993 through December 31, 1994.
Item 5. Procedure.
(a) State the date when Commission action is requested. If the date is less than 40 days from the date of the original filing, set forth the reasons for acceleration.
It is requested that the Division of Investment Management,
pursuant to delegated authority, issue a Supplemental Order under this
Application-Declaration with respect to the 1994 issuance by Commonwealth
Services and acquisition by Columbia of Installment Notes and Short-Term Notes
and the issuance by Commonwealth Services and acquisition by the Intrasystem
Money Pool of Commonwealth Services' Money Pool Notes.
Item 6. Exhibits and Financial Statements.
D Order of Commonwealth of Virginia State Corporation Commission Dated December 20, 1993
Pursuant to the requirements of the Public Utility Holding
Company Act of 1935, the undersigned companies have duly caused this
Declaration to be signed on their behalf by the undersigned thereunto duly
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.
Date: April 15, 1994 By: /s/ L. J. BAINTER ------------------------------- L. J. Bainter Treasurer
Dated: April 15, 1994 By: /s/ L. J. BAINTER ----------------------------- L. J. Bainter Vice President
D Order of Commonwealth of Virginia State Corporation Commission Dated December 20, 1993.
COMMONWEALTH GAS SERVICES, INC. CASE NO. PUF930062
THE COLUMBIA GAS SYSTEM, INC.
For approval of intercompany
financing for 1994
On November 30, 1993, Commonwealth Gas Services, Inc. ("Applicant" or
"Commonwealth") and The Columbia Gas System, Inc. ("System") filed an
application under Chapters 3 and 4 of Title 56 of the Code of Virginia
requesting authority to enter into intercompany financing arrangements during
1994. Applicant has paid the requisite fee of $250.
Commonwealth requests authority to enter into the following financing
arrangements with System, its parent company, during the calendar year of 1994:
1) to issue to System up to an aggregate amount of $16,000,000 in Installment
Promissory Notes ("Notes"); 2) to borrow up to an aggregate amount of
$30,000,000 at any one time in short-term loans from the System and/or other
affiliated companies through the Intrasystem Money Pool ("Money Pool"); and 3)
to invest temporary excess funds, from time to time, in the Money Pool. The
$30,000,000 of short-term debt is in excess of five percent of capitalization
as defined in section 56-65.1.
construction and to retire currently outstanding long-term debt, which matures
during 1994. Money Pool borrowings will be used to fund peak short-term
requirements such as gas purchases and storage.
In offering financing to Commonwealth, System proposes to allocate a
proportionate share of the fees associated with System's amended $100,000,000
Secured Revolving Credit Agreement approved by the Bankruptcy Court on May 11,
1993. The fees associated with System's credit agreement are estimated to be
about $1,000,000 for 1994. Commonwealth's prorata share of these fees is
currently 10.32%, or about $100,000.
THE COMMISSION, upon consideration of the application and having been
advised by its Staff, is of the opinion and finds that approval of the above
proposed financing should be granted. However, while the proposed intercompany
financing appears to be in the public interest, approval of the financing in no
way reflects approval of the proposed costs for ratemaking purposes.
1) That Applicant is hereby authorized to:
(a) issue to System up to an aggregate amount of
$16,000,000 of Notes;
(b) borrow through the Money Pool from System and/or
other affiliates in excess of five percent of
capitalization up to an aggregate amount of
from January 1, 1994 through December 31, 1994, all in the manner, under the
terms and conditions, and for the purposes set forth in the application;
2) That Applicant shall account for all allocated fees
associated with System's Revolving Credit Agreement such that administrative,
commitment, structuring, and facility fees may be separately and individually
3) That approval of the application shall have no implications
for ratemaking purposes;
4) That approval of the application shall not preclude the
Commission from applying the provisions of Sections 56-78 and 56-80 of the Code
of Virginia hereafter;
5) That the Commission reserves the right to examine the books
and records of any affiliate, whether or not such affiliate is regulated by
this Commission, in connection with the authority granted herein;
6) That Applicant shall file quarterly reports within 60 days
of the end of each calendar quarter following the date of this Order, to
(a) monthly schedules of Money Pool borrowings,
segmented according to System notes and notes
issued to other affiliates;
(b) monthly schedules that separately reflect interest
expenses and each type of allocated fee;
(c) monthly schedules of System's borrowings under
to include the principal amount, date of issuance,
interest rate, date of maturity, issuance
expenses, net proceeds to Applicant, and use of
7) That Applicant shall file a final report of action on or
before February 28, 1995, to include data for the fourth quarter of 1994 as
prescribed in ordering paragraph 6 herein; and
8) That this matter shall be continued, subject to the
continuing review, audit, and appropriate directive of the Commission.
AN ATTESTED COPY hereof shall be send to the Applicant, attention of
Rodney W. Anderson, Attorney, Post Office Box 177, Columbus, Ohio
43216-0117; and to the Division of Economics and Finance of the Commission.
/s/ William J. Bridge -------------------------------- Clerk of the State Corporation Commission