News Release
Nov. 03, 1997

DUKE ENERGY AND CRESCENT RESOURCES ANNOUNCE SALE OF WILDERNESS PROPERTY TO SOUTH CAROLINA

CHARLOTTE -- Duke Energy Chairman and Chief Executive Officer Richard B. Priory announced today the sale of 32,000 acres of the company’s South Carolina property in the Jocassee Gorges area to the State of South Carolina.

The 32,000-acre tract of land, located between the Sumter National Forest and the Mountain Bridge Wilderness Area, is home to rare plants, black bears, peregrine falcons and some of the highest waterfalls in the Southeast. The property had been purchased by Duke over several years as it acquired land for use in providing electricity.

At a press conference held today, Priory congratulated those who had worked to complete the sale. "The decision to protect Jocassee Gorges was easy," he said, "but the reality came only through the hard work and diligence of many. This project is an excellent example of the power of partnership."

Priory noted the responsibility shown by Duke and its real estate and land management arm, Crescent Resources Inc., in managing this valuable resource over the years. "At Duke Energy, we believe that good business practice and good environmental stewardship are not mutually exclusive," he said. "The recreational value and majestic beauty of this land made maintaining it for the benefit of all a priority for us."

The sale completes a process begun in 1995, when Duke and Crescent Resources entered into an agreement with the State of South Carolina to ensure the long-term preservation of the Jocassee Gorges area. In that initial agreement, the parties agreed to a three-year window to finalize the sale of the property, and in 1996, the State of South Carolina announced the purchase of the first 1,000 acres.

The sale was finalized this year when funding from the State of South Carolina was supplemented from the Richard King Mellon Foundation, assisted by the Conservation Fund, and from a one-time gift of $33.8 million in property value from Crescent Resources. The total value of the 32,000 acres was assessed at $54.8 million.

"The transaction we celebrate today is the result of three entities coming together, sharing a goal and making it happen," said Richard C. Ranson, Chairman of Crescent Resources Inc. "On behalf of Crescent Resources, we are proud to make this gift and be a part of ensuring that the Jocassee Gorges will be enjoyed for generations to come."

Duke Energy Corporation (NYSE: DUK) is a global energy company with more than $20 billion in assets. Duke Energy companies provide electric service to approximately 2 million customers; operate pipelines that deliver 12 percent of the natural gas consumed in the United States; and are leading marketers of electricity, natural gas and natural gas liquids. Globally, the companies develop, own and operate energy facilities and provide engineering, management, operation and environmental services. Contact Duke Energy on the World Wide Web at http://www.duke-energy.com.

Contact: Guynn Savage
Phone: 704-382-8350
24 Hour Phone: 704-594-0681
Email: ghsavage@duke-energy.com