News Release
Sept. 07, 1999

DUKE ENERGY TO CONDUCT Y2K DRILLS

CHARLOTTE, N.C. – On Sept. 8 and 9, Duke Energy business units and corporate departments will rehearse under simulated conditions key portions of their Year 2000 (Y2K) response plans.

As part of the exercise, Duke Power, the company’s electric utility business unit, will participate in the North American Electric Reliability Council's second industrywide electric utility Y2K readiness drill. The drill scenarios are simulations, and day-to-day operations and service to customers will not be affected by the exercise.

"We already have response plans in place to help us manage events that can affect our operations," said Sally Whitney, Duke Energy’s Year 2000 program manager. "We have expanded those plans to include Y2K issues, and these drills will help us identify areas where we can strengthen the response plans."

Whitney noted that Duke Energy conducted several Y2K drills during the first six months of this year, with more than 350 employees across the corporation participating in Y2K drills in April.

She said that a similar level of participation is anticipated in the September drills.

According to Whitney, the Y2K scenarios that will be exercised on Sept. 8 and 9 vary for each business and will include such simulations as a loss of voice and data communications, equipment failure or loss of one or more generating units. Preliminary results will be made available when the drills are completed.

"Duke Energy has a strong, comprehensive program in place to address the Y2K issue," Whitney said. "Because of the extensive efforts we have undertaken, we do not anticipate unusual disruptions in service to our customers on Jan. 1 due to Y2K. However, if unanticipated Y2K events occur, we will be prepared to respond."

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: Joe Maher
Phone: (704) 382-8323
24 Hour Phone: (704) 382-8333
Email: jmaher@duke-energy.com