******************************************************** NOTICE ******************************************************** This document was converted from WordPerfect to ASCII Text format. Content from the original version of the document such as headers, footers, footnotes, endnotes, graphics, and page numbers will not show up in this text version. All text attributes such as bold, italic, underlining, etc. from the original document will not show up in this text version. Features of the original document layout such as columns, tables, line and letter spacing, pagination, and margins will not be preserved in the text version. If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** DA 96-1583 Before the FEDERAL COMMUNICATIONS COMMISSION Washington, D.C. 20554 In the Matter of ) ) Application of 280 Security Holdings, Inc. for ) Determination of Exempt Telecommunications ) File No. ETC- 96-14 Company Status under Section 34 of the Public Utility ) Holding Company Act of 1935, as added by ) Section 103 of the Telecommunications Act of 1996 ) ORDER Adopted: September 19, 1996 Released: September 19, 1996 By the General Counsel: 1. On July 26, 1996, 280 Security Holdings, Inc. ("280 Holdings") filed an application with the Commission for a determination of "exempt telecommunications company" ("ETC") status pursuant to section 34(a)(1) of the Public Utility Holding Company Act of 1935 ("PUHCA"), as added by section 103 of the Telecommunications Act of 1996. 280 Holdings' application was placed on public notice for comment on the adequacy and accuracy of the application on July 29, 1996. 280 Security Holdings, Inc., Public Notice, DA No. 96-1204 (OGC released July 29, 1996). No parties filed any comments. As explained below, 280 Holdings satisfies the statutory criteria to merit a positive determination of ETC status and its application is therefore granted. 2. 280 Holdings represents that it is a Delaware corporation which owns 85.87% of the issued and outstanding stock of NSS National Security Services, Inc. ("NSS"). NSS in turn owns 100% of the issued and outstanding stock of Automatic Detection Systems, Inc. ("ADSI"). 280 Holdings is a privately held company whose current shareholders consist of both privately held corporations and individuals. None of the current shareholders of 280 Holdings are themselves registered holding companies under PUHCA. Moreover, no current shareholder of 280 Holdings is "affiliated," as that term is defined in PUHCA, with a registered public utility. However, in a third supplemental filing with the Commission, 280 Holdings informed the Commission that it had entered into a Letter of Intent with Entergy Technology Holding Company, an ETC affiliate of Entergy Corporation, a registered public utility holding company under PUHCA, concerning the acquisition of 280 Holdings by Entergy. 3. 280 Holdings states that it is engaged, indirectly through NSS and ADSI, its "affiliates" (as defined in PUHCA section 2(a)(11)(B)), exclusively in the business of providing telecommunications services, information services, other services or products subject to the jurisdiction of the Commission, and/or products or services that are related or incidental to the provision of such products or services within the meaning of PUHCA section 34(a)(1). Specifically, the application reflects that the core business activity of NSS and its wholly-owned subsidiary ADSI, is the provision of remote alarm monitoring and response services to residential and commercial customers, primarily located in the states of North Carolina and Alabama. In the provision of remote alarm monitoring and response services, NSS and ADSI will utilize telephone landlines or wireless facilities to receive, process and transmit emergency and other information to and from customer premises and public safety entities. Additionally, as part of their business activities, NSS and ADSI will lease, sell, inspect and maintain monitoring equipment used at customer premises to facilitate the provision of alarm monitoring services. 4. Based upon the representations contained in 280 Holdings' application, we determine that 280 Holdings is an exempt telecommunications company as that term is defined in PUHCA section 34(a)(1), as amended. 5. Accordingly, IT IS ORDERED that the application of 280 Holdings IS GRANTED. IT IS FURTHER ORDERED that the Securities and Exchange Commission SHALL BE NOTIFIED of this determination. FEDERAL COMMUNICATIONS COMMISSION William E. Kennard General Counsel