Penn Virginia Disposes of Entire Norfolk Southern Share Holdings

Apr 30, 2001, 01:00 ET from Penn Virginia Corporation

    RADNOR, Pa., April 30 /PRNewswire/ --
 Penn Virginia Corporation (NYSE:   PVA) today announced that it has completed
 the sale of its 3.3 million common share position in Norfolk Southern
 Corporation (NYSE:   NSC).  The shares were sold in open market transactions on
 the New York Stock Exchange beginning April 17, 2001 at an average price of
 $17.39 per share.  Proceeds from the sale, net of commissions, totaled
 $57.4 million.  Penn Virginia will record a pre-tax gain on the Norfolk
 Southern transaction of $54.6 million in the second quarter of 2001.
     Penn Virginia acquired its position in Norfolk Southern Corporation in
 1963.  In the late 1990s, the Company's corporate objectives and strategies
 changed significantly and these shares no longer represented a strategic
 asset.  The sale of the shares, representing Penn Virginia's entire holdings
 in the railroad, fulfilled a management commitment to dispose of the holdings.
 Net proceeds were used to reduce long-term debt, which totaled $31.5 million
 as of March 31, 2001.
     Mr. A. James Dearlove, President and Chief Executive Officer of Penn
 Virginia, stated, "The monetization of our Norfolk Southern holdings is
 another important step towards our corporate goal of being a focused,
 multifaceted supplier of domestic energy, particularly to the electric power
 industry.  Penn Virginia is uniquely positioned with a growing portfolio of
 natural gas development opportunities and exploration projects, as well as an
 expanding coal royalty and land management business.  This combination,
 enhanced by our strong cash flow and balance sheet, positions the Company for
 continued growth for years to come."
 
     Penn Virginia Corporation is an energy company engaged primarily in the
 exploration, development and production of oil and gas, leasing of mineral
 rights and collection of royalties.  Penn Virginia is headquartered in Radnor,
 PA.
     This release includes forward-looking statements within the meaning of the
 federal securities laws with respect to development activities, capital
 expenditures, acquisitions and dispositions, drilling and exploration
 programs, expected commencement dates of coal mining or oil and gas
 production, projected quantities of future oil and gas production by Penn
 Virginia, projected quantities of future coal production by the Company's
 lessees producing coal from reserves leased from Penn Virginia, costs and
 expenditures, as well as projected demand or supply for coal and oil and gas,
 which will affect sales levels, prices and royalties realized by Penn
 Virginia.  Certain factors discussed herein and in the Company's filings with
 the Securities and Exchange Commission could cause actual results to differ
 from those in these forward-looking statements, and reference is made to such
 filings.
 
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SOURCE Penn Virginia Corporation
    RADNOR, Pa., April 30 /PRNewswire/ --
 Penn Virginia Corporation (NYSE:   PVA) today announced that it has completed
 the sale of its 3.3 million common share position in Norfolk Southern
 Corporation (NYSE:   NSC).  The shares were sold in open market transactions on
 the New York Stock Exchange beginning April 17, 2001 at an average price of
 $17.39 per share.  Proceeds from the sale, net of commissions, totaled
 $57.4 million.  Penn Virginia will record a pre-tax gain on the Norfolk
 Southern transaction of $54.6 million in the second quarter of 2001.
     Penn Virginia acquired its position in Norfolk Southern Corporation in
 1963.  In the late 1990s, the Company's corporate objectives and strategies
 changed significantly and these shares no longer represented a strategic
 asset.  The sale of the shares, representing Penn Virginia's entire holdings
 in the railroad, fulfilled a management commitment to dispose of the holdings.
 Net proceeds were used to reduce long-term debt, which totaled $31.5 million
 as of March 31, 2001.
     Mr. A. James Dearlove, President and Chief Executive Officer of Penn
 Virginia, stated, "The monetization of our Norfolk Southern holdings is
 another important step towards our corporate goal of being a focused,
 multifaceted supplier of domestic energy, particularly to the electric power
 industry.  Penn Virginia is uniquely positioned with a growing portfolio of
 natural gas development opportunities and exploration projects, as well as an
 expanding coal royalty and land management business.  This combination,
 enhanced by our strong cash flow and balance sheet, positions the Company for
 continued growth for years to come."
 
     Penn Virginia Corporation is an energy company engaged primarily in the
 exploration, development and production of oil and gas, leasing of mineral
 rights and collection of royalties.  Penn Virginia is headquartered in Radnor,
 PA.
     This release includes forward-looking statements within the meaning of the
 federal securities laws with respect to development activities, capital
 expenditures, acquisitions and dispositions, drilling and exploration
 programs, expected commencement dates of coal mining or oil and gas
 production, projected quantities of future oil and gas production by Penn
 Virginia, projected quantities of future coal production by the Company's
 lessees producing coal from reserves leased from Penn Virginia, costs and
 expenditures, as well as projected demand or supply for coal and oil and gas,
 which will affect sales levels, prices and royalties realized by Penn
 Virginia.  Certain factors discussed herein and in the Company's filings with
 the Securities and Exchange Commission could cause actual results to differ
 from those in these forward-looking statements, and reference is made to such
 filings.
 
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                http://tbutton.prnewswire.com/prn/11690X29357521
 
 SOURCE  Penn Virginia Corporation

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