Mirant Affirms Q1 Earnings Guidance and Discloses Provisions Related To Amounts Owed in California

Apr 11, 2001, 01:00 ET from Mirant Corporation

    ATLANTA, April 11 /PRNewswire/ -- Marce Fuller, president and chief
 executive officer of Mirant Corporation (NYSE:   MIR) today reaffirmed Mirant's
 first quarter 2001 earnings guidance and announced that the company will take
 additional provisions in relation to past due amounts from the California
 Independent System Operator (CAISO) and the California Power Exchange (PX).
     As of March 31, 2001, total amounts owed to Mirant from the CAISO and the
 PX were $392 million.  Cumulative provisions to be taken by Mirant against
 these amounts will be $295 million.  The CAISO and the PX are owed past due
 payments from California utilities, including Pacific Gas and Electric, which
 last week filed for bankruptcy protection.
     As previously stated in its March 14 news release, Mirant's first quarter
 2001 guidance of 46 to 48 cents per share included the assumption that the
 company would take significant provisions related to the uncertainties in the
 Western United States energy markets.
     "Mirant still expects to meet or exceed its previous guidance for first
 quarter 2001 and throughout the year," Fuller said.  "The provisions to be
 taken by the company through the first quarter of 2001, combined with the
 provisions taken last year, reflect our current assessment of the risks
 associated with the California market situation."
     Mirant will announce first quarter 2001 earnings on April 25 after the
 close of market and host an analyst call at 2 p.m., April 26.  Investors,
 media and the public may listen to a live Internet broadcast of the call at
 www.mirant.com by clicking on the appropriate audio link.
     During the call, the company will discuss developments throughout its
 worldwide operations, general expectations and general business updates and
 may address issues relating to the California and European energy markets.
     Mirant is a global competitive energy company with a leading position in
 both power generation and energy risk management and marketing.  With an
 integrated business model, Mirant develops, constructs, owns and operates
 power plants and sells wholesale electricity, natural gas and other energy
 commodities.  Headquartered in Atlanta, with 7,000 employees worldwide, Mirant
 has extensive operations in North America, Europe and Asia.  Mirant owns or
 controls more than 20,000 megawatts of electric generating capacity around the
 world, with another 9,000 megawatts under development.  In North America,
 Mirant controls an extensive natural gas asset base, including transportation,
 storage and access to approximately 3.7 billion cubic feet per day of natural
 gas production.
 
     Special note regarding forward-looking statements:
     The information presented above includes forward-looking statements, in
 addition to historical information.  These statements involve known and
 unknown risks and relate to future events, Mirant's future financial
 performance or projected business results.  In some cases, forward-looking
 statements by terminology may be identified by statements such as "may,"
 "will," "should," "expects," "plans," "anticipates," "believes," "estimates,"
 "predicts," "targets," "potential" or "continue" or the negative of these
 terms or other comparable terminology.
     Forward-looking statements are only predictions.  Actual events or results
 may differ materially from any forward-looking statement as a result of
 various factors, which include: (i) legislative and regulatory initiatives
 regarding deregulation and restructuring of the electric utility industry;
 (ii) the extent and timing of the entry of additional competition in the
 markets of Mirant's subsidiaries and affiliates; (iii) Mirant's pursuit of
 potential business strategies, including acquisitions or dispositions of
 assets or internal restructuring; (iv) state, federal and other rate
 regulations in the United States and in foreign countries in which Mirant's
 subsidiaries and affiliates operate; (v) changes in or application of
 environmental and other laws and regulations to which Mirant and its
 subsidiaries and affiliates are subject; (vi) political, legal and economic
 conditions and developments in the United States and in foreign countries in
 which Mirant's subsidiaries and affiliates operate; (vii) financial market
 conditions and the results of Mirant's financing efforts; changes in commodity
 prices and interest rates; weather and other natural phenomena; (viii)
 performance of Mirant's projects undertaken and the success of efforts to
 invest in and develop new opportunities; (ix) unanticipated developments in
 the California power markets, including, but not limited to, unanticipated
 governmental intervention, deterioration in the financial condition of
 counterparties, default on receivables due, adverse results in current or
 future litigation and adverse changes in the tariffs of the California Power
 Exchange Corporation or California Independent System Operator Corporation,
 and (x) other factors, including the risks outlined under "Risk Factors" in
 filings with the SEC.
     Although Mirant believes that the expectations reflected in the forward-
 looking statements are reasonable, Mirant cannot guarantee future results,
 events, levels of activity, performance or achievements.  Mirant does not
 undertake a duty to update any of the forward-looking statements.
 
 

SOURCE Mirant Corporation
    ATLANTA, April 11 /PRNewswire/ -- Marce Fuller, president and chief
 executive officer of Mirant Corporation (NYSE:   MIR) today reaffirmed Mirant's
 first quarter 2001 earnings guidance and announced that the company will take
 additional provisions in relation to past due amounts from the California
 Independent System Operator (CAISO) and the California Power Exchange (PX).
     As of March 31, 2001, total amounts owed to Mirant from the CAISO and the
 PX were $392 million.  Cumulative provisions to be taken by Mirant against
 these amounts will be $295 million.  The CAISO and the PX are owed past due
 payments from California utilities, including Pacific Gas and Electric, which
 last week filed for bankruptcy protection.
     As previously stated in its March 14 news release, Mirant's first quarter
 2001 guidance of 46 to 48 cents per share included the assumption that the
 company would take significant provisions related to the uncertainties in the
 Western United States energy markets.
     "Mirant still expects to meet or exceed its previous guidance for first
 quarter 2001 and throughout the year," Fuller said.  "The provisions to be
 taken by the company through the first quarter of 2001, combined with the
 provisions taken last year, reflect our current assessment of the risks
 associated with the California market situation."
     Mirant will announce first quarter 2001 earnings on April 25 after the
 close of market and host an analyst call at 2 p.m., April 26.  Investors,
 media and the public may listen to a live Internet broadcast of the call at
 www.mirant.com by clicking on the appropriate audio link.
     During the call, the company will discuss developments throughout its
 worldwide operations, general expectations and general business updates and
 may address issues relating to the California and European energy markets.
     Mirant is a global competitive energy company with a leading position in
 both power generation and energy risk management and marketing.  With an
 integrated business model, Mirant develops, constructs, owns and operates
 power plants and sells wholesale electricity, natural gas and other energy
 commodities.  Headquartered in Atlanta, with 7,000 employees worldwide, Mirant
 has extensive operations in North America, Europe and Asia.  Mirant owns or
 controls more than 20,000 megawatts of electric generating capacity around the
 world, with another 9,000 megawatts under development.  In North America,
 Mirant controls an extensive natural gas asset base, including transportation,
 storage and access to approximately 3.7 billion cubic feet per day of natural
 gas production.
 
     Special note regarding forward-looking statements:
     The information presented above includes forward-looking statements, in
 addition to historical information.  These statements involve known and
 unknown risks and relate to future events, Mirant's future financial
 performance or projected business results.  In some cases, forward-looking
 statements by terminology may be identified by statements such as "may,"
 "will," "should," "expects," "plans," "anticipates," "believes," "estimates,"
 "predicts," "targets," "potential" or "continue" or the negative of these
 terms or other comparable terminology.
     Forward-looking statements are only predictions.  Actual events or results
 may differ materially from any forward-looking statement as a result of
 various factors, which include: (i) legislative and regulatory initiatives
 regarding deregulation and restructuring of the electric utility industry;
 (ii) the extent and timing of the entry of additional competition in the
 markets of Mirant's subsidiaries and affiliates; (iii) Mirant's pursuit of
 potential business strategies, including acquisitions or dispositions of
 assets or internal restructuring; (iv) state, federal and other rate
 regulations in the United States and in foreign countries in which Mirant's
 subsidiaries and affiliates operate; (v) changes in or application of
 environmental and other laws and regulations to which Mirant and its
 subsidiaries and affiliates are subject; (vi) political, legal and economic
 conditions and developments in the United States and in foreign countries in
 which Mirant's subsidiaries and affiliates operate; (vii) financial market
 conditions and the results of Mirant's financing efforts; changes in commodity
 prices and interest rates; weather and other natural phenomena; (viii)
 performance of Mirant's projects undertaken and the success of efforts to
 invest in and develop new opportunities; (ix) unanticipated developments in
 the California power markets, including, but not limited to, unanticipated
 governmental intervention, deterioration in the financial condition of
 counterparties, default on receivables due, adverse results in current or
 future litigation and adverse changes in the tariffs of the California Power
 Exchange Corporation or California Independent System Operator Corporation,
 and (x) other factors, including the risks outlined under "Risk Factors" in
 filings with the SEC.
     Although Mirant believes that the expectations reflected in the forward-
 looking statements are reasonable, Mirant cannot guarantee future results,
 events, levels of activity, performance or achievements.  Mirant does not
 undertake a duty to update any of the forward-looking statements.
 
 SOURCE  Mirant Corporation