Pennsylvania Power & Light Co. said Thursday (7/27) that it is considering the redemption of two series of its first mortgage bonds under the maintenance and replacement fund provisions of these bonds.

The two series of first mortgage bonds, which have a total principal amount of $115 million, originally were issued in 1969 and 1972 to provide financing for the company's capital requirements.

John R. Biggar, PP&L's vice president-Finance, said the two series of bonds the company is considering redeeming through the maintenance and replacement fund provisions are the 8 1/8 percent series due June 1, 1999, with a total principal amount of $40 million and the 7 5/8 percent series due Feb. 1, 2002, having a total principal amount of $75 million.

Under the terms of these bonds, the redemption price would be 100.43 percent of the principal amount for the 8 1/8 percent series bonds. The redemption price for the 7 5/8 percent series bonds would be 100.36 percent of the principal amount, Biggar said.

"We are considering the redemption of these series of bonds through the maintenance and replacement fund provisions as part of the company's plan to reduce its overall cost of financing," Biggar said.

"If completed, these redemptions are expected to occur during the first quarter of 1996," Biggar said. "The exact timing will depend on the company issuing additional long-term debt securities to provide the funds necessary for the redemptions."