JACKSON, Miss. and NOVI, Mich., Oct. 5, 2012 /PRNewswire/ -- Entergy Mississippi, Inc., in conjunction with ITC Holdings Corp. (NYSE: ITC) and ITC Midsouth LLC, filed a request today at the Mississippi Public Service Commission to spin off the Mississippi electric transmission business and merge it into a subsidiary of ITC. The Mississippi filing continues the multi-state and federal regulatory process seeking approval for the transaction announced last year by Entergy Corporation (NYSE: ETR) and ITC.
The transaction is a significant step toward meeting the challenges facing the electric industry in Mississippi and across the country – challenges driven by the need to upgrade infrastructure, modernize equipment and meet growing environmental and compliance requirements.
"This proposal builds on years of hard work and aggressive investment to improve service to our customers," said Haley Fisackerly, Entergy Mississippi president and CEO. "It paves the way for new investment, new expertise and an independent company singularly focused on transmission in the region."
Entergy is seeking approval to transfer more than 15,800 miles of interconnected transmission lines at voltages of 69kV and above and the associated substations to ITC. ITC will then be one of the largest electric transmission companies in the U.S., with more than 30,000 miles of transmission lines spanning from the Great Lakes to the Gulf Coast. Meanwhile, Entergy's operating companies will continue to own and operate their respective distribution and generation businesses and will provide customer service, billing, outage reporting and restoration services to homes and businesses in the region."We look forward to serving Mississippi and the entire region to meet future energy demands," said Joseph L. Welch, ITC chairman, president and chief executive officer. "ITC's new regional headquarters will be in Jackson, and we are excited about working with local stakeholders, customers and members of the business community. We will work to deliver the near-term and longer-term benefits to customers that result from our high-performing, reliable transmission system and a regional planning view that promotes the benefits of the competitive electric market, all of which is in the public interest." Rationale and Results The need for more infrastructure investment is among the many challenges confronting the U.S. electric industry. The electric industry, including Entergy Mississippi, faces growing capital investment requirements to maintain and upgrade infrastructure, meet environmental regulations and serve an energy-intensive economy. The transaction addresses these challenges head-on and produces numerous benefits, including:
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