1993, "show an increase marginally higher than had been budgeted for'', according to the company's president, Mr. Alf Oughton.

"However, it is anticipated that this will fall closer in line during the remainder of 1993,'' he said in a letter to shareholders.

Mr. Oughton said sales to both the Canadian and US bases continued to decline during August and were down by approximately 13 percent and 8.14 percent, respectively, compared with 1992.

The utility had also been able to reduce its debt load over the past seven months.

It had carried out a review of its outstanding long-term debt, specifically the 11.75 percent First Mortgage Bond Issue with Teachers Insurance and Annuity Association.

In 1992, the company paid off a "substantial amount of the outstanding balance of this issue''.

"A similar situation has arisen this year and, as a result, the company will be paying on November 1, 1993, in addition to the annual payment of US$1,333,333, the remaining outstanding balance of $2.9 million of this high interest bond issue.

"The only remaining outstanding long-term debt will then be the $12 million seven percent First Mortgage Bonds 1998.'' Mr. Alf Oughton.