News Release
Sept. 02, 1999

NASA GLENN RESEARCH AWARDS ENERGY PROJECT TO DUKESOLUTIONS

Charlotte, NC -- DukeSolutions Inc., a Duke Energy subsidiary specializing in integrated energy services for large end-use customers, will upgrade energy systems at the 150-building NASA John H. Glenn Research Center in Cleveland, Ohio, under the Department of Energy’s Midwest Super Energy Savings Performance Contract (ESPC). The initial delivery order granted this week is the first of several phases and will generate almost $2 million of savings at the rocket research facility under a seven-year contract that requires no government appropriations.

Under the Super ESPC program initiated by the Federal Energy Management Program, energy service companies pay for and install energy-saving technologies in federal buildings, at no up-front cost to the government. In turn, the companies will receive a share of the savings that are realized when the buildings' energy bills are reduced.

DukeSolutions will finance the project from energy cost-reductions. This arrangement is ideal, according to contracting officer, Erick Lupson, because “it allows NASA to capture significant savings and obtain new energy-efficient equipment with no capital outlay.”

This project brings DukeSolutions' total contracts with the U.S. government to $100 million. DukeSolutions is the nation's largest contractor under the ESPC and is engaged in similar projects including NASA Kennedy Space Center, Oak Ridge National Laboratories and Fort Benning (U.S. Army).

DukeSolutions has been conducting studies in support of NASA engineers at the facility since October 1998 and the team has identified several mechanical and electrical modifications that will reduce NASA’s operating costs in this and future projects.  The scope of work includes electrical and mechanical retrofits that will save energy, improve working conditions and reduce emissions. Construction will begin in September 1999.

The NASA Glenn research center defines and develops advanced technology for high priority national needs. Glenn has been designated as the NASA Lead Center for Aeropropulsion. The center's aeropropulsion program plays a significant role in the agency's goals to promote economic growth and national security through safe, superior and environmentally compatible U.S. civil and military aircraft propulsion systems. The agency's major efforts are in subsonic, supersonic, hypersonic, general aviation and high-performance, aircraft-propulsion systems as
well as in materials, structures, internal fluid mechanics, instrumentation and controls, interdisciplinary technologies and aircraft icing research.

NASA Glenn is located at Lewis Field, a 350-acre site adjacent to Cleveland Hopkins International Airport, upon which the main campus is built. NASA Glenn also includes the 6400-acre Plum Brook Station near Sandusky, Ohio, 50 miles west of Cleveland.

DukeSolutions is one of the fastest growing energy services companies in North America. The company helps customers make the most of their assets and increase cash flow and earnings through integrated energy solutions. Serving more than 2,000 industrial, commercial, institutional and governmental customers, DukeSolutions implements a full range of energy services including industrial generation, 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: Bryant Kinney
Phone: (704) 382-2208
24 Hour Phone: (704) 382-8333
Email: jbkinney@duke-energy.com
Contact: Rick Wirth
Phone: (704) 373-6611
24 Hour Phone: (704) 382-8333
Email: rfwirth@duke-energy.com