SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date earliest event reported) December 9,1994
Commission Registrant, State of Incorporation, I.R.S. Employer
File Number Address and Telephone Number Identification No.
1-11299 ENTERGY CORPORATION 13-5550175
(a Delaware corporation)
225 Baronne Street
New Orleans, Louisiana 70112
Telephone (504) 529-5262
1-2703 GULF STATES UTILITIES COMPANY 74-0662730
(a Texas corporation)
350 Pine Street
Beaumont, Texas 77701
Telephone (409) 838-6631
1-8474 LOUISIANA POWER & LIGHT COMPANY 72-0245590
(a Louisiana corporation)
639 Loyola Avenue
New Orleans, Louisiana 70112
Telephone (504) 569-4000
0-5807 NEW ORLEANS PUBLIC SERVICE INC. 72-0273040
(a Louisiana corporation)
639 Loyola Avenue
New Orleans, Louisiana 70112
Telephone (504) 569-4000
Form 8-K Page 1
December 9, 1994
Item 5. Other Materially Important Events
Entergy Corporation, GSU, LP&L and NOPSI
As previously reported in the Form 10-Q for the
Quarterly Period Ended September 30, 1994, a recent Louisiana
Supreme Court decision held, among other things, that the
Louisiana legislature's suspension of certain state sales and use
tax exemptions had the additional effect of suspending exemptions
from local sales and use taxes. The Louisiana Supreme Court has
granted an application for rehearing of this issue, and its
decision is therefore not yet final. Neither Entergy nor any of
its subsidiaries operating in Louisiana (principally Louisiana
Power & Light Company ("LP&L), New Orleans Public Service Inc.
("NOPSI") and Gulf States Utilities Company ("GSU")) is a party
to the case. However, Entergy has filed an amicus curiae brief
in the case asking the Louisiana Supreme Court to reverse its
decision. Oral argument in the case has been set for January 20,
1995.
If the Louisiana Supreme Court does not reverse its
decision in the case, the effect could be that certain sales of
electricity and gas, fuels and other items used to generate
electricity in Louisiana by LP&L, NOPSI and GSU could be subject
to local sales and use taxes. Retroactive application of the
obligation to collect these taxes could result in an aggregate
liability for back taxes on the part of the Entergy system
companies estimated to be approximately $110 million per year,
for up to four years. The annual liability of LP&L, NOPSI and
GSU, respectively, is estimated to be approximately $60 million,
$20 million and $30 million.
Each of the affected Entergy companies believes that
such taxes (if any) assessed against it, including
uncollected taxes for prior years, will be recoverable from
customers. While a full recovery of all such taxes cannot be
assured, the affected Entergy companies will seek to collect any
such taxes from their respective customers.
Entergy Corporation and GSU
As previously reported in the Form 10-Q for the
Quarterly Period Ended September 30, 1994, various cities in
GSU's Texas retail service territory adopted ordinances directing
GSU to reduce its Texas retail base rates by $45.9 million and
GSU appealed the cities' ordinances to the Texas Public Utilities
Commission ("PUCT"). On November 14, 1994, those cities that
intervened in the PUCT appeal filed testimony with the PUCT
supporting a $105.4 million base rate reduction in lieu of the
previously proposed $45.9 million reduction. On November 21,
1994, the PUCT staff filed testimony that supported a $38.2
million base rate reduction. GSU has filed information with the
PUCT that it believes supports the current level of rates.
Hearings are currently ongoing.
Form 8-K Page 2
December 9, 1994
SIGNATURE
Pursuant to the requirements of the Securities Exchange
Act 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned hereunto duly authorized.
Entergy Corporation
By: /s/ Lee W. Randall
Lee W. Randall
Vice President and
Chief Accounting Officer
Gulf States Utilities Company
Louisiana Power & Light Company
New Orleans Public Service Inc.
By: /s/ Lee W. Randall
Lee W. Randall
Vice President, Chief Accounting
Officer and Assistant Secretary
Dated: December 9, 1994