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ScottishPower- Pacificorp Merger Wins Fourth State Approval

15 October 1999

ScottishPower and PacifiCorp today announce they have received approval for their merger from the Washington Utilities and Transportation Commission (WUTC), effectively the fourth of six approvals needed for completion of the acquisition.

The order closely follows approval from the Oregon Public Utility Commission and the Wyoming Public Service Commission, which said it too would approve the transaction upon issuance of a written order. The WUTC order incorporates all stipulations entered into by the companies, the commission staff, the Office of Public Counsel and other intervenors. California approved the merger in June.

ScottishPower Chief Executive Ian Robinson said: "We are pleased to receive the approval from Washington and, with more than half of the required state approvals now obtained, the transaction is well on track for completion this year."

Alan Richardson, CEO designate of PacifiCorp, said: "We are now looking forward to the completion of the merger and to delivering real benefits to customers and communities in Washington."

The companies are still awaiting approvals from state regulators in Utah and Idaho as well as the final written order from Wyoming.


Further Information:
Sue Clark,                        Director of Corporate Affairs        0141 636 -4561
Colin McSeveny,          Group Media Relations Manager       0141 636 4515
Iain Paterson,                      Investor Relations Manager        0141-636 4527

Editor's Notes:
 1 As part of the merger approval, the WUTC accepted the conditions and all stipulations agreed to earlier by the companies, the Commission staff, the Public Counsel Section, Office of the Attorney General ("Public Counsel") and other parties. These conditions include a comprehensive set of customer service standards, 50 MW of additional renewable resource, and funding for low-income programs.

The merged company will also implement a merger credit to customers in Washington of $3 million per year for four years, beginning in January 2001.

Many of these improvements were part of the companies' original merger filing further enhancements were made after discussions with the WUTC staff, the Public Counsel and other interested parties.

2 The merger has already been approved by shareholders of both companies and by the U.S. Federal Energy Regulatory Commission. It has been cleared in the U.S. under the Hart-Scott-Rodino Antitrust Improvements Act, and has received regulatory approval in the United Kingdom and Australia.

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