DUKE ENERGY ANNOUNCES LEADERSHIP CHANGES

CHARLOTTE -- Duke Energy President and Chief Operating Officer Fred Fowler today announced key organizational and management changes in the company’s merchant energy businesses.

"As previously announced, Duke Energy is reducing its presence in the merchant energy business,” said Fred Fowler, president and COO. “These businesses will more narrowly focus on key markets in North America and South America. We are aligning our management and organizational structure to reflect this change.”

Duke Energy North America (DENA) and Duke Energy International (DEI) will be brought together in one organization under the leadership of Bobby Evans, president, Duke Energy Americas, reporting to Fowler. Evans has been transition executive, leading the restructuring of the company’s merchant business, including the wind-down of the Duke Energy Trading and Marketing joint venture with ExxonMobil. Richard McGee will continue as president, Duke Energy International and report to Evans. 

Also reporting to Evans will be:

• Curtis Davis, group vice president -- energy generation
• Lindsay Hall, group vice president and chief financial officer
• Greg Harper, group vice president -- energy marketing and management
• Lon Mitchell, group vice president and chief restructuring officer
• Stan Land, vice president -- information technology
• Bruce Shafer, vice president -- human resources

The reorganization eliminates the role of DENA president occupied by Robert T. Ladd.  Ladd has elected to leave the company and will transition through the end of January.

In addition to Evans, the following will continue to report to Fowler:

• Ruth Shaw, president, Duke Power
• Tom O’Connor, president, Duke Energy Gas Transmission
• Bill Easter, chairman, president and chief executive officer, Duke Energy Field Services
• A.R. Mullinax, executive vice president, Duke Energy Business Services

Duke Energy is a diversified energy company with a portfolio of natural gas and electric businesses, both regulated and unregulated, which supply, deliver and process energy for customers in North America and selected international markets. In 2004, Duke Energy celebrates a century of service with the 100th anniversary of its electric utility Duke Power. Headquartered in Charlotte, N.C., Duke Energy 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.

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