Duke Energy International (DEI) will continue to pursue organic growth opportunities for our existing generation assets in Latin America and improve operational efficiency to increase the returns on those assets.

For 2006, DEI is expected to deliver ongoing segment EBIT of approximately $275 million.

2005 Highlights

DEI exceeded expectations with segment EBIT of $314 million, compared to $222 million in 2004. Those results were largely driven by improved Latin American operations (due primarily to favorable pricing and weather conditions in Peru and Argentina), favorable currency exchange impacts in Brazil and record earnings from National Methanol Co. due to higher commodity prices.

The improved results achieved by DEI in total, as well as on its portfolio of Latin American generation assets, continued a positive earnings trend that began in 2003.

DEI’s operations continued to generate strong cash flow. During 2005, DEI took advantage of a onetime opportunity to repatriate more than $500 million in foreign earnings to Duke Energy Corp. at a lower tax rate.