HOUSTON, Oct. 24, 2000 (PRNewswire) — Reliant Energy (NYSE: REI) announced today that it has signed agreements to transfer its interests in electricity distribution and generation companies in Colombia to Union Fenosa Desarrollo y Accion Exterior, S.A. of Spain.

The agreements cover Reliant Energy’s indirect investments in Electrocosta, Electricaribe and EPSA, which represent all of the company’s remaining interests in Colombia. Terms of the agreements were not disclosed.

Subsidiaries of Reliant Energy acquired the interests in the Colombian companies in 1997 and 1998 through joint privatization pursuits with affiliates of Electricidad de Caracas of Venezuela.

The transfers, which are subject to certain conditions, are expected to close by the end of the year. The transactions are part of Reliant Energy’s plan, announced in December 1999, to divest its Latin American investments, which are primarily regulated energy delivery businesses, in order to focus on its competitive energy services businesses in the U.S. and Western Europe.

Reliant Energy, based in Houston, Texas, is an international energy services and energy delivery company with approximately $20 billion in annual revenue and assets totaling more than $28 billion. Reliant Energy has a wholesale energy trading and marketing business that ranks among the top five in the U.S. in combined electricity and natural gas volumes and has a presence in most of the major power regions in the U.S. Reliant Energy also has power generation and wholesale trading and marketing operations in Western Europe.

The company has more than 27,000 MW of power generation in operation in the U.S. and Western Europe and has announced acquisitions and development projects that will add nearly 4,000 MW.

Reliant Energy has marketing and distribution operations serving nearly 4 million electricity and natural gas customers in the U.S., interests in power distribution operations in Latin America, and a telecommunications business serving the Houston area. For more information about Reliant Energy, visit the company’s web site at www.reliantenergy.com.

SOURCE Reliant Energy