FirstEnergy Sells 6.65 Percent Interest in Ohio Valley Electric Corporation
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AKRON, Ohio, Dec. 28, 2010 - FirstEnergy Corp. (NYSE: FE) today announced that its FirstEnergy Generation Corp. subsidiary sold a 6.65 percent participation interest in the output of the Ohio Valley Electric Corporation (OVEC) to Peninsula Generation Cooperative, a subsidiary of Wolverine Power Supply Cooperative, Inc., for an undisclosed amount. The sale, which closed today and is effective December 31, 2010, involves approximately 150 megawatts (MW) of capacity from OVEC's generating facilities in southern Ohio and southern Indiana. FirstEnergy's remaining interest in OVEC is 4.85 percent.
"We are pleased to reach this agreement with Wolverine, which purchased our Sumpter plant in Michigan last year," said Gary R. Leidich, executive vice president and president of FirstEnergy Generation. "This transaction is consistent with our strategy to continue building our competitive generation business around the plants we own, operate or control."
OVEC owns and operates five 217-MW units at Kyger Creek in Gallia County, Ohio, and six 217-MW units at Clifty Creek near Madison, Indiana. OVEC, which was formed by a group of utilities, built the plants in the mid-1950s to serve the Atomic Energy Commission's uranium-enrichment facilities in Portsmouth, Ohio. When those facilities were decommissioned, the OVEC-sponsoring companies began receiving the full output from the plants.
The transaction was reviewed and approved by the Federal Energy Regulatory Commission on December 15, 2010.
Wolverine Power Supply Cooperative, Inc., headquartered in Cadillac, Michigan, is a generation and transmission cooperative that provides wholesale electricity to six members in that state.
FirstEnergy is a diversified energy company headquartered in Akron, Ohio. Its subsidiaries and affiliates are involved in the generation, transmission and distribution of electricity, as well as energy management and other energy-related services. Its seven electric utility operating companies comprise the nation's fifth largest investor-owned electric system, based on 4.5 million customers served, within a 36,100-square-mile area of Ohio, Pennsylvania and New Jersey; and its generation subsidiaries control approximately 14,000 megawatts of capacity.
SOURCE FirstEnergy Corp.
CONTACT: News Media Contact: Ellen Raines, +1-330-384-5808;
Investor Contact: Ron Seeholzer, +1-330-384-5415
Web Site: www.firstenergycorp.com
