News Release
Aug. 18, 1999

MITSUBISHI MOTORS SIGNS ENERGY SERVICES AGREEMENT WITH DUKESOLUTIONS

Charlotte, N.C. -- Mitsubishi Motors Manufacturing of America (MMMA) has entered into a multi-year agreement with DukeSolutions Inc., a Duke Energy subsidiary, to manage energy service for Mitsubishi's two-million-square-foot manufacturing plant in Normal, Ill. Over the contract term, DukeSolutions will support up to $30 million of energy expenditures for MMMA. DukeSolutions will deliver savings through strategies such as rate negotiations, special contracts, supply management and comprehensive plant improvements.

In a companion agreement, DukeSolutions is supplying gas valued at almost $7 million to the Normal site over a multi-year term.

The $10-billion electric utility industry in Illinois will begin deregulation in October. MMMA is poised, with DukeSolutions on board, to strike the best supply deal available. Currently one of

Illinois Power's top 20 customers, MMMA is prepared to change suppliers if the economics warrant. Larry Greene, executive vice president of procurement and supply for MMMA, said, "Competitive, quality supply that meets our requirements is the essence of our purchasing charter, so we naturally welcome the opportunities that deregulation affords."

Greene said that after an extensive review of a number of organizations and contract options, MMMA has concluded that DukeSolutions is the best fit for a partnership to mutually seek out and maximize the potential benefits of deregulation. "They bring tremendous market knowledge and an independent view of our power supply options," said Greene. "We anticipate productivity and cost improvements from our partnership."

MMMA and DukeSolutions are also looking at major infrastructure projects to improve productivity and efficiency within the plant. "Our real contribution is our ability to leverage all parts of the energy value chain," says Jack Menninger, vice president of DukeSolutions Midwest region. "Customers see the greatest boost in financial performance when we integrate supply, efficiency, risk management and financial products in one unified package."

Mitsubishi Motors Manufacturing of America Inc., which manufactured its first vehicle in 1988, currently produces five models: Mitsubishi Eclipse, Mitsubishi Eclipse Spyder convertible, Mitsubishi Galant, Chrysler Sebring and Dodge Avenger. Since 1989, vehicles produced at MMMA have been exported to 14 countries. Annually, MMMA spends nearly $1.7 billion on production parts from approximately 250 North American suppliers.

DukeSolutions is one of the fastest growing energy services companies in North America, with offices in 25 cities. The company helps customers make the most of their assets and increase cash flow and earnings through integrated energy solutions. Serving industrial, commercial, institutional and governmental customers, DukeSolutions implements a full range of energy services including energy supply and logistics, reliability and risk management, on-site utility, information management and efficiency and productivity services. DukeSolutions is a wholly owned subsidiary of Duke Energy. For more information visit http://www.dukesolutions.com.

Duke Energy (NYSE:DUK) is a global energy company with more than $29 billion in assets. Headquartered in Charlotte, N.C., the company reaches into more than 50 countries, producing energy, transporting energy, marketing energy and providing energy services. In the United States, Duke Energy companies provide electric service to approximately two million customers in North Carolina and South Carolina; operate interstate pipelines that deliver natural gas to various regions of the country; and are leading marketers of electricity, natural gas and natural gas liquids. Additional information about the company is available on the Internet at: www.duke-energy.com

Contact: Danny Gibbs
Phone: (704) 373-6680
24 Hour Phone: (704) 382-8333
Email: dpgibbs@duke-energy.com
Contact: Rick Wirth
Phone: (704) 373-6611
24 Hour Phone: (704) 382-8333
Email: rfwirth@duke-energy.com