Lawsuit may force WPPSS bond payments
SEATTLE (AP) — For electricity rate
payers in the Northwest, its the $7 billion
question
They may learn the answer this week in
a court case that will determine whether
they have to pick up that huge tab for two
defunct nuclear power plants
The case involves a suit filed by
Chemical Bank of New York against the
Washington Public Power Supply Sys
tem and the 88 utilities the supply system
was building the plants for
Chemical Bank, a trustee for bond
holders on the two terminated projects,
wants to make sure WPPSS and the
utilities pay the debt
King County Superior Court Judge
Joseph Coleman has scheduled a hear
ing Monday in Seattle to hear arguments
on a motion for a summary judgment in
the case The bank wants the judge to
rule without a trial
Some of the utilities have filed their
own motions for a summary judgment If
those are granted, it could mean they
won't have to pay for the uncompleted
plants
WPPSS says that if the utilities don't
pay. it will have to default on the bonds
That could make it difficult, if not impos
sible. for the supply system to borrow
money to continue construction on its
three remaining nuclear plants
It could also affect other public entities
in the Northwest when they try to borrow
money for everything from sewers to
schools, according to Wall Street an
alysts
The two plants. No 4 at Hanford and
No 5 at Satsop east of Olympia, were
terminated last January after the supply
system had trouble borrowing money to
continue construction and questions
were raised about whether the power
from the plants would ever be needed
Since then, some utilities have in
dicated they may not want to pay their
share of the $2 25 billion that was bor
rowed The $7 billion figure includes the
interest on the bonds that have to be paid
off over the next 36 years
A series of suits have been filed by the
utilities and ratepayer groups
Most participants concede, however,
that the Chemical Bank suit is the most
important one filed to date
Specifically, the bank seeks a ruling
declaring that the participants are ob
ligated to make payments to WPPSS
sufficient to insure timely payment of
principal and interest on the bonds "
On Wall Street, the bonds are referred
to as ' hell or high water'' bonds because
insists that means the utilities have to pay
whether the plants are built or not
The utilities say they should be allowed
out of the agreement because they
didn't hand WPPSS a blank check "
The utilities say they are not bound by
their agreements because of the supply
system's failure to complete the projects
on time and within budget
Some also claim they were coerced
into signing the participants agreements
because of warnings from the Bonneville
Power Administration
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10-12
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227 MF
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II you TSWF scores indicate that you
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Oct 12. Fey ONI
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JBL BASS CABINET and custom bass
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484 0214 625 10 15
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Treat yourself (or a friend) to a full body
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Call for appt Loren Swift. M T
485 6742 429 HFM
Strandlien Typing
Service
Quality typing Short notice considered
Pick up and delivery 2 70 pm Call l ucy
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GRADUATE SCHOOL APPROVED
TYPING Word Processing Linda
688 7507 MW 11-1
EXPERIENCED TYPIST using IBM
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11 pm at 726-9824 ‘60 MW
TYPING
DONNA 344-1818
Graduate School Approved
2 74 MW
TYPING UNLIMITED
747-9286
Grad School Approved:Guaranteed
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749 tin
TYPINGiEDITING
Call Judy or Sara
686-0739
278 Hf M
PROFESSIONAL TYPIST Statistical
specialist IBM Correcting Selectnc
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344-0759. 744 ttn
PRO TYPINGiEDITING
2 blocks from UO No y>b too small
Specializing in theses and dissertations
Jennifer 485-3883
745 ttn
HAWK WORD PROCESSING: Com
puter system makes typing obsolete
Theses, reports resumes tree pickup
delivery 345-6166
CAROL'S PROFESSIONAL TYPING
SERVICE 745 2289 12 70
FAST. PROFESSIONAL TYPING
IBM Correcting Selectnc
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Call Paula Oemong 484 9405
_ 7 78 tin
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Call Barbara 345-0747
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TYPING; 15 years experience papers
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Sl/dspo $ 05 'Mr line
Call Syn 344-4739
__ _____ 586 im
TYPIST f npenenced Anyproiact large
or email Editing available Brandy
484 6044 741 10-10
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Word Processing
Your best choice for all typing needs
Call: Diane Donobedian
726-2401
Jim’s Electronics
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All selling 25% to 50% oft list prices
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10 12
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_______?329n
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Monday, October 11,1M2