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  5. 555 S.W.2d 395 (1977)
 

PUBLIC SERV. COM'N v. GENERAL TEL. CO. ETC.

555 S.W.2d 395 (1977)

PUBLIC SERVICE COMMISSION of the State of Tennessee, Z.D. Atkins, Cayce L. Pentecost and Robert N. Clement, Appellants, v. GENERAL TELEPHONE CO. OF the SOUTHEAST, Appellee.

Supreme Court of Tennessee.

May 23, 1977.

Attorney(s) appearing for the Case

Eugene W. Ward, Gen. Counsel, T.E. Midyett, Jr., Asst. Gen. Counsel, Nashville, for appellants.

Lon P. MacFarland, MacFarland, Colley, Blank & Jack, Columbia, W.C. Fleming, Associate Gen. Counsel, Ward W. Wueste, Jr., Gen. Counsel, Durham, N.C., for appellee.

OPINION

FONES, Justice.

Tennessee Public Service Commission (PSC) appeals from a decree of the Chancery Court of Davidson County directing the Commission to fix rates that would allow General Telephone Company of the Southeast (GT) to earn a minimum of twelve (12%) percent on its common equity, based upon a finding that any rate below that figure would be confiscatory.

I.

The threshold issue asserted by appellant is that the Uniform Administrative...

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