AMERICAN HOME ASSUR. CO. v. BALTIMORE GAS & ELEC. CO.

No. 541, Docket 87-7812.

845 F.2d 48 (1988)

AMERICAN HOME ASSURANCE COMPANY, General Electric Credit Corporation, GMAC Commercial Corporation, Grange Mutual Casualty Company, McDonnell Douglas Finance Corporation, MIC Property & Casualty Insurance Corporation, Motors Insurance Corporation, Nationwide Life Insurance Company, Progressive American Insurance Company, Progressive Casualty Insurance Company, Progressive Specialty Insurance Company, Transatlantic Reinsurance Company, Westinghouse Credit Corporation, Plaintiffs-Appellees. v. BALTIMORE GAS & ELECTRIC COMPANY, Defendant-Appellant.

United States Court of Appeals, Second Circuit.

Decided April 21, 1988.


Attorney(s) appearing for the Case

Loretta A. Preska, New York City (Craig J. Albert, Anthony L. Paccione, Hertzog, Calamari & Gleason, New York City, of counsel), for defendant-appellant.

James W.B. Benkard, New York City (James L. Kerr, Denis J. McInerney, Davis, Polk & Wardwell, New York City, of counsel), for plaintiffs-appellees.

Louis H. Willenken, Peter C. Williams, Philip R. Brown, Reid & Priest, New York City, for amicus curiae Pennsylvania Power & Light Co.

Before MESKILL, KEARSE and MAHONEY, Circuit Judges.


MESKILL, Circuit Judge:

The issue on this appeal is the proper interpretation of Section 6.2 of the Preference Stock Purchase Agreement (the Agreement) that defendant-appellant Baltimore Gas & Electric Company ("BG & E" or "the Company") entered into with a number of sophisticated institutional investors, including the plaintiffs-appellants in this action, American Home Assurance Company, et al. (the Holders...

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