PART III PUBLIC UTILITY HOLDING COMPANY ACT OF 1935 ACQUISITION OF SECURITIES Acquisition by newly created public utility subsidiary of registered holding company, pursuant to Section 10 of Public Utility Holding Company Act of 1935, of gas utility assets held by associate company, approved, despite absence of approval by a State commission in State in which the acquiring company operates, the Commission finding that compliance with State laws would be detrimental to carrying out of provisions of Section 11 * * * Page 129 Application pursuant to Section 10 of the Public Utility Holding Company Act of 1935 by registered holding company to acquire the securities of its newly organized non-utility subsidiary, approved, the Commission finding that the proposed operations of such subsidiary are reasonably incidental, or economically necessary or appropriate to the operations of the integrated publicutility system of the registered holding company and that no adverse findings are required *** Page 149 Where a registered holding company proposes to purchase its non-redeemable preferred stock from time to time at such prices as may be determined by its management to be reasonable in relation to current market quotations and other factors, held, the proposed method of reducing its outstanding preferred stock would aggravate the unfair and inequitable distribution of voting power and, in the absence of a definite price and fixed purchase period, cannot be found to be fair; and the declaration, filed pursuant to Section 12(c) of the Public Utility Holding Company Act of 1935 and Rule 42 promulgated thereunder, will not be permitted to become effective * * * Page 276 Application by registered holding company pursuant to Section 10 of the Public Utility Holding Company Act of 1935 requesting approval of its acquisition of equity securities of non-affiliated natural gas pipeline company transporting gas from production area to distribution area of holding company system, granted, the Commission finding that such acquisition is not detrimental to the carrying out of the provisions of Section 11 and that no adverse findings are required under the applicable standards under the circumstances, including the intention of the holding company to acquire pipeline company's properties, its undertaking to sell the securities to the public if such properties are not acquired, and its undertaking not to vote any of the common stock to be acquired without Commission approval * * * Page 479 Application filed pursuant to Section 10 of the Public Utility Holding Company Act of 1935 for acquisition of securities of newly created electric utility company, granted, where acquisition will serve public interest by tending towards economical and efficient development of integrated public utility system and other applicable standards of Section 10 of the Act appear to be satisfied * * * Page 658 Application filed pursuant to Section 10 of Public Utility Holding Company Act of 1935 for acquisition of securities of newly created electric utility company, granted, the acquisition not being found to unduly complicate the capital structure of the holding-company system of the applicant despite fact that new company will have a capital structure of 3% of common stock equity and 97% of debt where funds for payment of interest and amortization requirements of 89% of such debt are assured by power contract with the Government of the United States *** Page 658 Acquisition by newly created subsidiary of registered holding company of facilities of natural gas transportation company, held, not be detrimental to the carrying out of the provisions of Section 11 (b) (1) of the Public Utility Holding Company Act of 1935 where the facilities of the transportation company being acquired are employed to transport the natural gas, produced or purchased by the holding company system, from its source of supply to the system's retail distribution properties, thereby bridging the gap between the source and the ultimate consumer *** Page 761 Acquisition by newly created subsidiary of registered holding company of facilities of natural gas transportation company in exchange for common stock of registered holding company, approved, the Commission not finding, under the provisions of Section 10 of the Public Utility Holding Company Act of 1935, that the consideration being paid is unreasonable *** Page 761 Acquisition by newly created subsidiary of registered holding company of facilities of natural gas transportation company and its assumption of the first mortgage bonds thereof, approved, the Commission finding that the complication in system capital structure resulting from the assumption of such debt does not require adverse findings under Sections 10(b) (3) or 10 (c) (1) of the Public Utility Holding Company Act of 1935 where the registered holding company commits itself to proceed diligently to take appropriate steps to eliminate the complexity within 1 year of the date of a Commission order approving the acquisition and, under the provisions of Section 11(b) (2) of such act, the Commission is empowered to institute a proceeding to determine whether any undue or unnecessary complexity exists in the corporate structure of the registered holding company system, and, if so, to require its elimination * * * Page 761 DECLARATION OF STATUS Termination of Registered Holding Company Status Application by registered holding company pursuant to Section 5(d) of the Public Utility Holding Company Act of 1935 for an order declaring that it has ceased to be a holding company and that its registration as such shall cease to be in effect, granted, where the applicant no longer holds 10% or more of the voting securities of any public-utility or holding company and where there is no evidence to indicate that applicant exercises control or a controlling influence over any public-utility or holding company *** Page 586 Definition of Holding Company Subsidiary of registered holding company which is itself a registered holding company and no longer holds 10% or more of the voting securities of any publicutility or holding company nor exercises control or a controlling influence over any such company, held, not to be a holding company for the purpose of determining whether parent company is entitled to an order under Section 5(d) of the Public Utility Holding Company Act of 1935 declaring it not to be a holding company ✶ ✶ Page 586 A registered holding company, as, defined, under Section 2(a) (12) of the Public Utility Holding Company Act of 1935, is a company whose registration is in effect 5116366062 under Section 5 of that Act even though it has ceased to be a holding com- Exception From Competitive Bidding Exception from competitive bidding requirement of Rule 50 promulgated under Declaration by registered holding company under Section 12(d) of the Public Where Puerto Rican public-utility company, a subsidiary of a registered hold- Declaration of registered holding company which is also a public-utility com- Assets Appropriate as Security for Bonds Where registered holding company proposes to issue 25-year bonds secured by Issue and sale by registered holding company of its own common stock in Exemption of issue and sale by natural gas transportation company of its par natural gas transportation company, granted, pursuant to the last clause of the EXTENSION OF CREDIT BY REGISTERED HOLDING COMPANY Deposit of cash by registered holding company with a trust company for the INTEGRATION OF HOLDING COMPANY SYSTEM Where electric utility assets operated by a registered holding company system Application of registered holding company which is also a public-utility com- Application of registered holding company which is also a public-utility Where holding company, system which does not itself own full length of ISSUE AND SALE OF SECURITIES Application for exemption, pursuant to Section 6(b) of the Public Utility Issuance of Securities to Effect a Reorganization Where registered holding company proposes to issue 25-year bonds and Contention by registered holding company proposing to issue 25-year bonds Issuance of Short Term Notes Declaration of gas utility subsidiary of registered holding company under Necessity and Appropriateness of Bonds to Economical and Efficient Operation Where registered holding company proposes to issue 25-year bonds to permit |