FPL Group and Entergy Terminate Merger Agreement

Apr 02, 2001, 01:00 ET from Entergy Corporation and FPL Group, Inc.

    JUNO BEACH, Fla., and NEW ORLEANS, April 2 /PRNewswire/ --
 FPL Group, Inc. (NYSE:   FPL) and Entergy Corporation (NYSE:   ETR) today
 announced the termination, by mutual decision, of the merger agreement they
 signed last July.
     Both companies agreed that no termination fee is payable under the terms
 of the merger agreement as a result of this termination.  A fee will be
 payable if within nine months of the termination one party agrees to a
 substantially comparable transaction with another party.  Each company will
 bear its own merger-related expenses. The companies said that they would
 withdraw merger-related filings currently pending before federal, state, and
 local regulatory agencies.
     FPL Group, with annual revenues of more than $7 billion, is one of the
 nation's largest providers of electricity-related services with a generating
 capacity of more than 23,000 megawatts. Its principal subsidiary, Florida
 Power & Light, serves 3.9 million customer accounts in Florida. FPL Group
 employs 11,350 employees and operates in 17 states. FPL Energy, LLC, FPL
 Group's independent power production subsidiary, is a leader in generating
 electricity from clean and renewable fuels.
     Entergy Corporation, with annual revenues of more than $10 billion, is a
 major global energy company engaged in power production, distribution
 operations, and related diversified services, with more than 13,800 employees.
 Entergy owns, manages or invests in power plants generating more than 30,000
 megawatts of electricity domestically and internationally and delivers
 electricity to about 2.6 million customers in portions of Arkansas, Louisiana,
 Mississippi and Texas.  Through Entergy-Koch, L.P., it is also a leading
 provider of wholesale energy marketing and trading services.
 
     Safe Harbor Statement under the Private Securities Litigation Reform Act
      of 1995
     This press release contains forward looking statements within the meaning
 of the "safe harbor" provisions of the United States Private Securities
 Litigation Reform Act of 1995. Investors are cautioned that such forward-
 looking statements with respect to revenues, earnings, performance,
 strategies, prospects and other aspects of the businesses of FPL Group, Inc.
 and Entergy Corporation are based on current expectations that are subject to
 risk and uncertainties. A number of factors could cause actual results or
 outcomes to differ materially from those indicated by such forward looking
 statements. These factors include, but are not limited to, risks and
 uncertainties relating to: changes in laws or regulations, changing
 governmental policies and regulatory actions with respect to allowed rates of
 return including but not limited to return on equity and equity ratio limits,
 industry and rate structure, operation of nuclear power facilities,
 acquisition, disposal, depreciation and amortization of assets and facilities,
 operation and construction of plant facilities, recovery of fuel and purchased
 power costs, decommissioning costs, present or prospective wholesale and
 retail competition (included but not limited to retail wheeling and
 transmission costs), political and economic risks, changes in and compliance
 with environmental and safety laws and policies, weather conditions (including
 natural disasters such as hurricanes), population growth rates and demographic
 patterns, competition for retail and wholesale customers, availability,
 pricing and transportation of fuel and other energy commodities, market demand
 for energy from plants or facilities, changes in tax rates or policies or in
 rates of inflation or in accounting standards, unanticipated delays or changes
 in costs for capital projects, unanticipated changes in operating expenses and
 capital expenditures, capital market conditions, competition for new energy
 development opportunities and legal and administrative proceedings (whether
 civil, such as environmental, or criminal) and settlements and other factors.
 Readers are referred to FPL Group, Inc.'s and Entergy Corporation's most
 recent reports filed with the Securities and Exchange Commission.
 
 

SOURCE Entergy Corporation and FPL Group, Inc.
    JUNO BEACH, Fla., and NEW ORLEANS, April 2 /PRNewswire/ --
 FPL Group, Inc. (NYSE:   FPL) and Entergy Corporation (NYSE:   ETR) today
 announced the termination, by mutual decision, of the merger agreement they
 signed last July.
     Both companies agreed that no termination fee is payable under the terms
 of the merger agreement as a result of this termination.  A fee will be
 payable if within nine months of the termination one party agrees to a
 substantially comparable transaction with another party.  Each company will
 bear its own merger-related expenses. The companies said that they would
 withdraw merger-related filings currently pending before federal, state, and
 local regulatory agencies.
     FPL Group, with annual revenues of more than $7 billion, is one of the
 nation's largest providers of electricity-related services with a generating
 capacity of more than 23,000 megawatts. Its principal subsidiary, Florida
 Power & Light, serves 3.9 million customer accounts in Florida. FPL Group
 employs 11,350 employees and operates in 17 states. FPL Energy, LLC, FPL
 Group's independent power production subsidiary, is a leader in generating
 electricity from clean and renewable fuels.
     Entergy Corporation, with annual revenues of more than $10 billion, is a
 major global energy company engaged in power production, distribution
 operations, and related diversified services, with more than 13,800 employees.
 Entergy owns, manages or invests in power plants generating more than 30,000
 megawatts of electricity domestically and internationally and delivers
 electricity to about 2.6 million customers in portions of Arkansas, Louisiana,
 Mississippi and Texas.  Through Entergy-Koch, L.P., it is also a leading
 provider of wholesale energy marketing and trading services.
 
     Safe Harbor Statement under the Private Securities Litigation Reform Act
      of 1995
     This press release contains forward looking statements within the meaning
 of the "safe harbor" provisions of the United States Private Securities
 Litigation Reform Act of 1995. Investors are cautioned that such forward-
 looking statements with respect to revenues, earnings, performance,
 strategies, prospects and other aspects of the businesses of FPL Group, Inc.
 and Entergy Corporation are based on current expectations that are subject to
 risk and uncertainties. A number of factors could cause actual results or
 outcomes to differ materially from those indicated by such forward looking
 statements. These factors include, but are not limited to, risks and
 uncertainties relating to: changes in laws or regulations, changing
 governmental policies and regulatory actions with respect to allowed rates of
 return including but not limited to return on equity and equity ratio limits,
 industry and rate structure, operation of nuclear power facilities,
 acquisition, disposal, depreciation and amortization of assets and facilities,
 operation and construction of plant facilities, recovery of fuel and purchased
 power costs, decommissioning costs, present or prospective wholesale and
 retail competition (included but not limited to retail wheeling and
 transmission costs), political and economic risks, changes in and compliance
 with environmental and safety laws and policies, weather conditions (including
 natural disasters such as hurricanes), population growth rates and demographic
 patterns, competition for retail and wholesale customers, availability,
 pricing and transportation of fuel and other energy commodities, market demand
 for energy from plants or facilities, changes in tax rates or policies or in
 rates of inflation or in accounting standards, unanticipated delays or changes
 in costs for capital projects, unanticipated changes in operating expenses and
 capital expenditures, capital market conditions, competition for new energy
 development opportunities and legal and administrative proceedings (whether
 civil, such as environmental, or criminal) and settlements and other factors.
 Readers are referred to FPL Group, Inc.'s and Entergy Corporation's most
 recent reports filed with the Securities and Exchange Commission.
 
 SOURCE  Entergy Corporation and FPL Group, Inc.