8-KOther Events

FIRSTENERGY CORP 8-K Report (Nov 30, 2001)

Filed November 30, 2001For Securities:FE

Summary

This 8-K filing from FirstEnergy Corp. (FE), dated November 29, 2001, announces a significant strategic divestiture: an agreement to sell four coal-fired power plants located in Ohio along Lake Erie to NRG Energy, Inc. for $1.5 billion. The plants include the Ashtabula, Bay Shore, Eastlake, and Lake Shore facilities, with a combined generating capacity of 2,535 megawatts. This sale represents a substantial move by FirstEnergy to reshape its asset portfolio, likely in response to evolving market conditions or strategic priorities. The transaction is subject to customary regulatory approvals from key bodies including the SEC, FERC, and the PUCO, with an expected closing in mid-2002. Investors should monitor the progress of these regulatory approvals and consider the impact of this divestiture on FirstEnergy's future generation mix and financial strategy.

Key Highlights

  • 1FirstEnergy Corp. has entered into an agreement to sell four coal-fired power plants in Ohio to NRG Energy, Inc.
  • 2The total sale price for the four plants is $1.5 billion.
  • 3The divested plants are Ashtabula (376 MW), Bay Shore (648 MW), Eastlake (1,262 MW), and Lake Shore (249 MW).
  • 4The combined generating capacity of the sold plants is 2,535 MW.
  • 5The sale is expected to close by mid-2002, subject to regulatory approvals.
  • 6Key regulatory approvals are required from the SEC, FERC, and the Public Utilities Commission of Ohio (PUCO).
  • 7This divestiture marks a significant strategic shift in FirstEnergy's asset base.

Frequently Asked Questions

The main purpose of this 8-K filing is to announce that FirstEnergy Corp. has reached an agreement to sell four of its coal-fired power plants in Ohio to NRG Energy, Inc. for $1.5 billion.

The plants being sold are the Ashtabula Plant (376 MW), Bay Shore Plant (648 MW), Eastlake Plant (1,262 MW), and Lake Shore Plant (249 MW). Their combined generating capacity is 2,535 MW.

The sale is expected to be completed by mid-2002, pending the necessary regulatory approvals.

The sale requires regulatory approval from the Securities and Exchange Commission (SEC), the Federal Energy Regulatory Commission (FERC), and the Public Utilities Commission of Ohio (PUCO).