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...Lilco struggles to survive...

Author: /time Magazine | Title: Nuclear Fallout | 3/19/1984 | See Source »

...utilities have suffered more than the Long Island Lighting Co. from the problems plaguing the U.S. nuclear power industry. For nearly 20 years, Lilco has been trying to bring its Shoreham, N.Y., nuclear plant on line. That facility is now hopelessly behind schedule, and the cost of the project, originally budgeted at $261 million, is approaching $4.1 billion, or more than 15 times the initial estimates...

Author: /time Magazine | Title: Nuclear Fallout | 3/19/1984 | See Source »

Last week the struggling firm outlined a survival program that includes layoffs of nearly 1,000 employees, or 20% of its work force, together with pay cuts of up to 25% for those who remain. Lilco Chairman William Catacosinos, 53, who took charge at the end of January after the abrupt resignation of former Chairman Charles Pierce, 61, also said the company will pay no common-stock dividends in 1984. Catacosinos called the actions necessary to save the utility from slipping into bankruptcy by the end of the year. Said he: "What we're trying to do is save...

Author: /time Magazine | Title: Nuclear Fallout | 3/19/1984 | See Source »

Like many troubled nuclear power facilities around the country, Shoreham's fate is controlled at least as much by public authorities as it is by Lilco's beleaguered management. The federal Nuclear Regulatory Commission has yet to license the plant for operation. Locally, officials of Long Island's Suffolk County are convinced that a serious accident at the plant would cause nuclear fallout to envelop nearby residents before they could flee. Said Deputy Suffolk County Executive Frank Jones: "Shoreham should not and cannot go on line. It should be abandoned." Some county officials now argue that Shoreham...

Author: /time Magazine | Title: Nuclear Fallout | 3/19/1984 | See Source »

Meanwhile, Lilco cannot charge its customers for much of its mushrooming costs, currently estimated at $400 million a month in interest and other overhead, until Shoreham begins to provide electricity. Says Paine Webber's corporate vice president Peter Jadrosich: "If they don't bring Shoreham into service, they're going to bleed to death...

Author: /time Magazine | Title: Nuclear Fallout | 3/19/1984 | See Source »

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