News Release
December 22, 2003

DUKE ENERGY ANNOUNCES SALE OF FRENCH GENERATING FACILITY

CHARLOTTE -- Duke Energy announced the sale of its 100-percent equity stake in Compagnie Thermique du Rouvray (CTR) to Courant CTR Holdings SAS, an affiliate of ArcLight Capital Partners, LLC, for $79.7 million. The sale is not subject to regulatory approvals and was closed last Thursday, Dec. 18, 2003. The company expects to record a gain in the fourth quarter 2003 of less than $2 million.

The CTR facility is a 103 megawatt combined heat and power plant owned by Duke Energy International (DEI) in northwest France, near the city of Rouen. It was acquired by DEI in July 2002.

“This sale is consistent with our strategic decision to exit the European market,” said Fred Fowler, president of Duke Energy. “Combined with our announcement last month to sell our Dutch gas marketing business, we will now concentrate on a full wind-down of our operations in Europe.”   

Duke Energy is a diversified multinational energy company with an integrated network of energy assets and expertise. The company manages a dynamic portfolio of natural gas and electric supply, delivery and trading businesses – meeting the energy needs of customers throughout North America and in key markets around the world. Duke Energy, headquartered in Charlotte, N.C., is a Fortune 500 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

This document includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although Duke Energy believes that its expectations are based on reasonable assumptions, it can give no assurance that its goals will be achieved. Important factors that could cause actual results to differ materially from those in the forward-looking statements herein include legislative and regulatory developments; general economic conditions, including any potential effects arising from terrorist attacks, the situation in Iraq and any consequential hostilities or other hostilities; the level of creditworthiness of counterparties to Duke Energy’s transactions; the  timing and extent of changes in commodity prices for oil, natural gas, coal, electricity and interest rates; the timing and success of efforts to develop domestic and international power, pipeline, gathering, processing and other infrastructure projects; conditions of the capital markets and equity markets during the periods covered by the forward-looking statements; and other factors discussed in Duke Energy's filings with the Securities and Exchange Commission.

Contact: Kate Perez
Phone: 713/627-6527
24-Hour Phone: 704/382-8333
e-mail: kcperez@duke-energy.com