Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, June 29, 1994                   TAG: 9406290130
SECTION: BUSINESS                    PAGE: B8   EDITION: METRO 
SOURCE: 
DATELINE:                                 LENGTH: Medium

IN BUSINESS

A proposed experimental program by Virginia Power Co. to build and operate customized cogeneration power plants for some of its large industrial and commercial customers has cleared a major hurdle.

Glenn P. Richardson, a State Corporation Commission hearing examiner, has recommended that the commission approve the experiment, citing a need for the company to prepare for a more competitive environment.

Virginia Power's proposal to build and operate the on-site power plants for its large customers is probably the first of its kind in the nation, said Bill Byrd, a company spokesman.

The experiment would involve up to 10 customers and 200 megawatts of power generation. Byrd declined for competitive reasons to identify any of the companies under consideration for the experiment.

Virginia Power's proposal is designed to discourage its large customers from going off on their own to build and operate power plants. Virginia Power provides electricity directly to portions of Alleghany and Rockbridge counties and to several Western Virginia electric co-ops. The company has about 1.7 million customers in Virginia.

-Staff report

Bedford Federal to convert to stocks

Bedford Federal Savings Bank has received approval from the Office of Thrift Supervision for its plans to convert from a mutual bank to a stock company, under which Bedford Bancshares Inc. is offering up to 1,092,500 shares of stock at $10 a share.

Some account holders and borrowers at the thrift will have a preferred opportunity to buy stock through a subscription offering that will close Aug. 2. Stock also will be offered to the public, with first preference given to residents of Bedford and Bedford County. Listed for second preference are Amherst, Campbell, Franklin and Roanoke counties and the cities of Roanoke and Lynchburg.

Harold K. Neal, chief executive officer, said all commercial banks and an increasing number of savings institutions are structured in the stock form. He said daily operations at the bank will not change.

-Staff report