Exhibit 99.1
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FOR IMMEDIATE RELEASE
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CONTACT: 937-224-5940
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DPL ANNOUNCES AGREEMENT TO
SELL
DARBY PEAKING GENERATION SITE
Sale to Generate $102 Million in
Cash
DAYTON , Ohio, November 29, 2006 – DPL Inc.
(NYSE: DPL) today announced that its subsidiary, DPL Energy, LLC,
has reached an agreement to sell its Darby Station peaking
generation facility located near Mt. Sterling, Ohio for $102
million in cash to Columbus Southern Power, a utility subsidiary of
American Electric Power (AEP).
Darby Station consists of six
natural gas peaking units with an approximate summer capacity of
450 megawatts. Darby Station is located 20 miles southwest of
Columbus, Ohio. The units became operational at various times
during 2001 and 2002 and were completed at an approximate cost of
$190 million. The net book value of the units is
approximately $155 million.
“This sale is a significant
step toward completing the review of our generation portfolio mix
and more closely aligning our generation assets with our energy
requirements,” stated Paul Barbas, DPL President and Chief
Executive Officer.
The cash proceeds will be used for
general corporate purposes, including debt reduction and the
funding of DPL’s environmental investment program. The
transaction is expected to close in the first half of 2007 and is
subject to standard closing conditions.
DPL previously announced that it was
considering bids on three sites totaling 872 megawatts —
Darby, Greenville and Montpelier. A final decision related to
the sale or retention of the remaining two sites has not been
reached.
About DPL
DPL Inc. (NYSE:DPL) is a regional
electric energy and utility company. DPL’s principal
subsidiaries include The Dayton Power and Light Company (DP&L);
DPL Energy, LLC (DPLE); and DPL Energy Resources, Inc.
(DPLER). DP&L, a regulated electric utility, provides
service to over 500,000 retail customers in West Central Ohio; DPLE
engages in the operation of merchant peaking generation facilities;
and DPLER is a competitive retail electric supplier in Ohio,
selling to major industrial and commercial customers. DPL, through
its subsidiaries, owns and operates approximately 4,400 megawatts
of generation capacity, of which 2,800 me
