News Release
March 20, 2001

DUKE ENERGY NAMES RAY PRESIDENT OF NEW POWER GENERATION SERVICES COMPANY

CHARLOTTE, N.C. – Duke Energy has named Clarence Ray president of Duke Energy Generation Services, a new company established to provide operations and maintenance (O&M) services for Duke Energy’s rapidly growing fleet of wholesale merchant power plants in North America.

"Our wholesale generation portfolio has grown to more than 13,600 megawatts in operation or under construction. We have more than 13,500 megawatts under development, some of which may be sold as part of our portfolio management strategy, but some of which will remain part of our wholesale energy business," said Harvey Padewer, group president of Energy Services. "This business has now reached a size such that we must focus our management expertise and other resources in plant O&M. As our fleet of plants continues to grow we see this as the most cost-effective and efficient business structure to deliver maximum value to our shareholders."

Ray has served as president and chief executive officer of Duke/Fluor Daniel (D/FD) since 1993. The joint venture of Duke Energy and Fluor Corporation was founded in 1989 to provide engineering, procurement and construction (EPC) services for coal-fired generation in North America. Under Ray’s leadership, Duke/Fluor Daniel expanded into international markets and expanded its services to encompass all fossil-fueled power generation. It also provides a range of operating plant services worldwide. By 2000, Duke/Fluor Daniel had grown to the point that it was building about one-third of all natural gas-fired power generation under construction in the United States. Duke/Fluor Daniel is conducting a search for Ray’s successor.

"We are grateful to Clarence for his leadership during the formative years of Duke/Fluor Daniel and thank him for his significant contributions toward its success," said Alan Boeckmann, president and chief operating officer of Fluor Corporation.

Ray began his career at Duke/Fluor Daniel as vice president of engineering. Prior to that he was vice president of engineering for Duke Engineering & Services. He joined Duke Power in 1970 as a junior engineer in the design engineering department. He was named principal engineer in the mechanical/nuclear division in 1982 and became technical program director of the TransAmerica Delaval Diesel Generator Owners Group in 1984.

Ray received a bachelor of science degree in engineering from Old Dominion University (Virginia). He is a member of the American Society of Civil Engineers and the American Society of Mechanical Engineers. He is a registered professional engineer in North Carolina, South Carolina, Tennessee, Pennsylvania, New York and Virginia.

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 www.duke-energy.com.

Contact: Jeremy Dreier
Phone: 704/382-8343
24 Hour Phone: 704/382-8333
Email: jwdreier@duke-energy.com