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Press Release

04/01/2004

Progress Energy to conduct recreational survey at Lake Tillery, Blewett Falls

Raleigh, N.C. (April 1, 2004) -- Beginning in April, Progress Energy will be asking Lake Tillery and Blewett Falls Lake visitors, as well as area residents, for assistance with a study of the recreational uses of the lakes. The study is part of the extensive review process under way as part of the company's plans to submit a new license application for its Tillery and Blewett hydroelectric plants.

"We encourage people to take a few moments to fill out these surveys," said Phil Lucas, project manager for the hydroelectric relicensing effort. "Your opinion will help Progress Energy and the many agencies involved get a true picture of lake use, and will assist us in developing a vision for the future of these important resources."

Progress Energy representatives will be on site during peak recreational times -- particularly during the Memorial Day, July 4 and Labor Day holidays -- and will ask lake visitors to fill out short questionnaires. The results of these questionnaires will be used, along with other data and studies, to develop a recreational use model that will become part of the company's license application.

All company representatives will have appropriate identification.

Through the survey, the company hopes to understand more about the types of activities preferred, typical lengths of stay at the lakes and visitor demographics, as well as opinions about facilities and the ease of access. Progress Energy is working closely with area communities to ensure that it develops local solutions within the license application process that best meet the needs of the region, the company and Progress Energy customers.

"Progress Energy recognizes the recreational value that the Tillery and Blewett lakes provide to local residents and visitors," Lucas said. "We will use these surveys to help quantify that value as we work to develop a balanced approach between recreation, environmental protection and plant operations."

The current federal license for the facilities expires in April 2008. The final license application is due in April 2006.

Progress Energy (NYSE: PGN), headquartered in Raleigh, N.C., is a Fortune 250 diversified energy company with more than 24,000 megawatts of generation capacity and $9 billion in annual revenues. The company's holdings include two electric utilities serving more than 2.8 million customers in North Carolina, South Carolina and Florida. Progress Energy also includes nonregulated operations covering competitive generation, energy marketing, natural gas production, fuel extraction, rail services and broadband capacity. For more information about Progress Energy, visit the company's Web site at http://www.progress-energy.com.

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