Montana Power Announces Delay in Filing Form 10-K

Apr 03, 2001, 01:00 ET from Montana Power Company

    BUTTE, Mont., April 3 /PRNewswire/ -- The Montana Power Company
 (NYSE:   MTP) announced today it has filed a notification of late filing for its
 2000 Form 10-K report, pending resolution of an accounting treatment of a
 previously recorded loss provision.  If the loss provision were reversed, the
 result would add four cents a share to year-end earnings.
     "The extension is to resolve an issue with the Securities and Exchange
 Commission that arose as a result of its review of our Preliminary Proxy
 Statement/Prospectus relating to our planned restructuring.  We want to
 resolve the issue now so that we do not have to restate our annual
 financials," said Jerry Pederson, MPC's vice chairman and chief financial
 officer.  "This should occur within the next few days; we expect to file the
 10-K within the week."
     In the third quarter of 2000, Montana Power recorded a loss provision of
 $10 million relating primarily to a long-term power supply agreement with an
 industrial customer.  At issue is whether the accounting treatment for the
 provision was appropriate.  If the loss were reversed, basic earnings per
 share for 2000 would increase by $0.04, from $1.82 per share to $1.86 per
 share.
 
 

SOURCE Montana Power Company
    BUTTE, Mont., April 3 /PRNewswire/ -- The Montana Power Company
 (NYSE:   MTP) announced today it has filed a notification of late filing for its
 2000 Form 10-K report, pending resolution of an accounting treatment of a
 previously recorded loss provision.  If the loss provision were reversed, the
 result would add four cents a share to year-end earnings.
     "The extension is to resolve an issue with the Securities and Exchange
 Commission that arose as a result of its review of our Preliminary Proxy
 Statement/Prospectus relating to our planned restructuring.  We want to
 resolve the issue now so that we do not have to restate our annual
 financials," said Jerry Pederson, MPC's vice chairman and chief financial
 officer.  "This should occur within the next few days; we expect to file the
 10-K within the week."
     In the third quarter of 2000, Montana Power recorded a loss provision of
 $10 million relating primarily to a long-term power supply agreement with an
 industrial customer.  At issue is whether the accounting treatment for the
 provision was appropriate.  If the loss were reversed, basic earnings per
 share for 2000 would increase by $0.04, from $1.82 per share to $1.86 per
 share.
 
 SOURCE  Montana Power Company