MERRILLVILLE, Ind., June 18, 2002 — NiSource Inc. recently announced that it is reassessing its energy marketing and trading alliance with Aquila Inc.’s energy trading and risk management unit following Aquila’s announcement Monday that it intends to reduce its exposure to its wholesale energy services business.
Following discussions with Aquila management, NiSource Chairman, President and Chief Executive Officer Gary L. Neale said the companies agreed to re- evaluate their energy marketing and trading alliance in light of the current dynamic conditions in both the energy services and capital markets.
“Based on our discussions with Aquila, we’re confident that they will continue to maintain and fulfill their obligations to us as we re-evaluate any future business activities with them,” said Neale.
NiSource and Aquila earlier this year announced an alliance to capitalize on market opportunities and deliver energy solutions by using the capabilities and market knowledge of both companies.
NiSource Inc. is a holding company with headquarters in Merrillville, Ind., whose operating companies engage in the exploration and production, transmission, storage and distribution of natural gas, as well as the generation, transmission and distribution of electricity.
Its local distribution companies provide service to 3.7 million customers located within the high-demand energy corridor that stretches from the Gulf of Mexico through the Midwest to New England. Information about NiSource is available via the Internet at www.nisource.com .