News Release
March 02, 2001


CHARLOTTE, N.C. -- Duke Energy today announced plans to conduct concurrent public offerings of 25 million shares of common stock and $500 million of Equity Units.

Each Equity Unit will initially consist of a purchase contract for Duke Energy common stock and $25 in principal amount of senior notes of Duke Energy’s wholly owned subsidiary, Duke Capital Corp. The offerings will be made under Duke Energy’s and Duke Capital’s effective shelf registration statements filed with the Securities and Exchange Commission. Each shelf registration statement covers the issuance of up to $2 billion of various securities of each company.

The net proceeds of the offerings will be used for general corporate purposes, including the repayment of short-term debt and investment in the company’s competitive businesses. The company expects to issue the new securities in mid-March.

The joint book-running managers for the offering are Morgan Stanley Dean Witter and Merrill Lynch & Co.

Duke Energy, a diversified multinational energy company, creates value for customers and shareholders through an integrated network of energy assets and expertise. Duke Energy manages a dynamic portfolio of natural gas and electric supply, delivery and trading businesses -- generating revenues of more than $49 billion in 2000. Duke Energy, headquartered in Charlotte, N.C., is a Fortune 100 company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available on the Internet at:

This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities law of any such jurisdiction. Each of the offerings may be made only by means of a prospectus and related prospectus supplement, copies of which may be obtained from Morgan Stanley Dean Witter or Merrill Lynch & Co.

Contact: Randy Wheeless
Phone: 704/382-8379
24 Hour Phone: 704/382-8333