UNITED STATES
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 of Earliest Event Reported): July 3, 2003
Commission Registrant; State of Incorporation; IRS Employer
File Number Address; and Telephone Number Identification Number
----------- ----------------------------------- ---------------------
1-13739 UNISOURCE ENERGY CORPORATION 86-0786732
(An Arizona Corporation)
One South Church, Suite 100
Tucson, AZ 85701
(520) 571-4000
1-5924 TUCSON ELECTRIC POWER COMPANY 86-0062700
(An Arizona Corporation)
One South Church, Suite 100
Tucson, AZ 85701
(520) 571-4000
Item 5. Other Events
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On July 3, 2003, the Arizona Corporation Commission (ACC) approved the planned
acquisition by UniSource Energy of the Arizona gas and electric assets from
Citizens Communications, Inc. (Citizens) and the Settlement Agreement (Citizens
Settlement Agreement), subject to certain terms and requirements.
The acquisition is expected to occur on or about July 28, 2003. The acquisition
has not yet been approved by the Securities and Exchange Commission.
The Citizens Settlement Agreement was described in UniSource Energy's and Tucson
Electric Power Company's (TEP) Form 8-K dated April 1, 2003, and filed as an
exhibit thereto. The order approved the acquisition on the terms of the Citizens
Settlement Agreement, with the following amendments:
1) UniSource Energy shall commence renegotiation of the existing
purchased power agreement with Pinnacle West Capital Corporation, and
90% of any savings associated with the renegotiated contract shall be
allocated to ratepayers and 10% to shareholders (changed from a 60/40
allocation).
2) A general rate case for UniSource Energy's proposed electric and gas
operating company subsidiaries shall not be filed for a period of at
least three years and the resulting rate increase shall not be become
effective prior to August 1, 2007.
3) Within 120 days of the effective date of the decision, UniSource
Energy shall file a plan to open the electric service territories to
retail competition by December 31, 2003.
Item 7. Financial Statements and Exhibits
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Exhibit 99 ACC Order Approving the Settlement Agreement - UniSource Energy
Corporation's Acquisition of Citizens Communication Company's
Gas and Electric Utility Assets.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, each
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized. The signature for each undersigned
company shall be deemed to relate only to matters having reference to such
company or its subsidiary.
UNISOURCE ENERGY CORPORATION
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(Registrant)
Date: July 10, 2003 /s/ Kevin P. Larson
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Kevin P. Larson
Vice President and Principal
Financial Officer
TUCSON ELECTRIC POWER COMPANY
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(Registrant)
Date: July 10, 2003 /s/ Kevin P. Larson
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Kevin P. Larson
Vice President and Principal
Financial Officer
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