Sempra Energy Posts 38-Percent Increase In 2004 Net Income




 -- Earnings Per Share Rise 26 Percent to $3.83
 -- Commodity-Trading, Electric-Generation Units Pace Growth
 -- Company Raises 2005 Earnings-Per-Share Guidance to
    $3.10 to $3.30 From $3.00 to $3.20

SAN DIEGO, Feb. 23, 2005 (PRIMEZONE) -- Sempra Energy (NYSE:SRE) today reported 2004 earnings of $895 million, or $3.83 per diluted share, up 38 percent over 2003 earnings of $649 million, or $3.03 per diluted share.

For the fourth quarter 2004, Sempra Energy's earnings were $346 million, or $1.46 per diluted share, an increase of 48 percent over fourth-quarter 2003 earnings of $234 million, or $1.03 per diluted share.

"This marks the sixth consecutive year of record earnings for Sempra Energy, a period during which we have averaged earnings growth of more than 20 percent annually," said Stephen L. Baum, chairman and chief executive officer. "In 2004, we further strengthened our balance sheet and significantly advanced our liquefied natural gas (LNG) business. Our commodity-trading and electric-generation businesses experienced robust growth and our California utilities continue to excel."

Yesterday, Sempra Energy's board of directors announced a dividend increase of 16 percent, raising the quarterly dividend on common shares to 29 cents ($1.16 on an annualized basis). The increase was the first change in the company's dividend since 2000.

Revenues for Sempra Energy in 2004 were $9.4 billion, compared with $7.9 billion in 2003, due to increased power sales and commodity trading. Fourth-quarter 2004 revenues were $2.9 billion, up from $2.1 billion in the year-earlier period.

SUBSIDIARY OPERATING RESULTS

Sempra Utilities

Net income for Southern California Gas Co. (SoCalGas) increased to $232 million in 2004 from $209 million in 2003, due primarily to lower operating expenses, the favorable settlement of its rate case at the California Public Utilities Commission (CPUC) and a one-time gain from a property sale. Fourth-quarter 2004 net income for SoCalGas was $58 million, versus $61 million in the year-earlier period.

Net income for San Diego Gas & Electric (SDG&E) in 2004 was $208 million, compared with $334 million in 2003. SDG&E's net income was $68 million in the fourth quarter 2004, compared with $128 million in the same quarter of 2003. In the fourth quarter 2004, SDG&E benefited from the settlement of its rate case at the CPUC. The 2003 results for SDG&E included a $79 million gain recorded in the fourth quarter for the favorable resolution of tax issues and a $65 million gain recorded in the third quarter for a contract settlement with the CPUC.

In December 2004, the CPUC approved base rates for SDG&E and SoCalGas for a four-year period extending through 2007.

"The approval of new rate plans for SDG&E and SoCalGas ensures that our utilities will continue to earn a reasonable return as they invest in critical new infrastructure to serve their customers," Baum said.

Sempra Commodities

In 2004, net income for Sempra Commodities (formerly Sempra Energy Trading) more than doubled to $320 million from $157 million in 2003, due to improved performance in all of its key commodity segments worldwide, including natural gas, petroleum and base metals. Fourth-quarter 2004 net income for Sempra Commodities increased to $171 million from $73 million in the year-earlier period on the strength of its natural gas and power trading.

"In 2004, Sempra Commodities recorded its best year ever," said Baum. "Quarter after quarter, Sempra Commodities has remained consistently profitable, while carefully managing risk and entering into transactions that convert to cash quickly."

Sempra Generation

Net income for Sempra Generation (formerly Sempra Energy Resources) rose to $137 million in 2004 from $71 million in the previous year, due primarily to a full year of contributions from the company's new generating fleet in the Pacific Southwest, as well as power plants acquired in Texas.

Sempra Generation's fourth-quarter net income was $19 million in 2004, compared with $32 million in 2003, due primarily to litigation reserves.

Sempra Pipelines & Storage

Sempra Pipelines & Storage (formerly Sempra Energy International) recorded net income of $63 million in 2004, up from $3 million in 2003. Results for 2003 included an impairment charge of $50 million in the third quarter. In 2004, Sempra Pipelines & Storage also benefited from a $5 million gain from reducing its ownership in Luz del Sur, a Peruvian utility, to 38 percent from 44 percent. For the fourth quarter, net income for Sempra Pipelines & Storage increased to $28 million in 2004 from $10 million in 2003, due primarily to favorable resolution of foreign-tax issues.

Sempra LNG

Last month, Sempra LNG (formerly Sempra Energy LNG) awarded the engineering and construction contracts for its Energia Costa Azul and Cameron LNG receipt terminals in Baja California, Mexico, and Louisiana. Construction has commenced on the Energia Costa Azul terminal, which is expected to be operational in 2008.

Also last month, Sempra LNG was awarded a 15-year natural gas contract to supply Mexico's state-owned electric utility, Comision Federal de Electricidad.

On Jan. 27, 2005, Sempra LNG announced it had signed a Heads of Agreement (HOA) to provide Tractebel LNG North America LLC with up to one-third of the capacity of the Cameron LNG receipt terminal for a period of 20 years, beginning in 2008. The non-binding HOA contemplates finalizing a definitive agreement by June 30, 2005. Additional supply and capacity agreements involving Cameron LNG are being negotiated. The facility is expected to be operational in 2008.

2005 Earnings Outlook

Sempra Energy today updated its 2005 earnings-per-share guidance to $3.10 to $3.30 from previous guidance of $3.00 to $3.20. The company also announced a capital budget of approximately $1.6 billion for 2005.

Internet Broadcast

Sempra Energy will broadcast a live discussion of its earnings results over the Internet today at 1 p.m. Eastern Time with senior management of the company. Access is available by logging onto the Web site at www.sempra.com. For those unable to log onto the live Webcast, the teleconference will be available on replay a few hours after its conclusion by dialing (706) 645-9291 and entering the passcode, 3346152.

Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company with 2004 revenues of $9.4 billion. The Sempra Energy companies' 13,000 employees serve more than 10 million customers in the United States, Europe, Canada, Mexico, South America and Asia.

This presentation contains statements that are not historical fact and constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When the company uses words like "believes," "expects," "anticipates," "intends," "plans," "estimates," "may," "would," "should" or similar expressions, or when the company discusses its strategy or plans, the company is making forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future results may differ materially from those expressed in the forward-looking statements. Forward-looking statements are necessarily based upon various assumptions involving judgments with respect to the future and other risks, including, among others: local, regional, national and international economic, competitive, political, legislative and regulatory conditions and developments; actions by the California Public Utilities Commission, the California State Legislature, the California Department of Water Resources, the Federal Energy Regulatory Commission and other regulatory bodies in the United States and other countries; capital markets conditions, inflation rates, interest rates and exchange rates; energy and trading markets, including the timing and extent of changes in commodity prices; the availability of natural gas; weather conditions and conservation efforts; war and terrorist attacks; business, regulatory, environmental, and legal decisions and requirements; the status of deregulation of retail natural gas and electricity delivery; the timing and success of business development efforts; and other uncertainties, all of which are difficult to predict and many of which are beyond the company's control. These risks and uncertainties are further discussed in the company's reports filed with the Securities and Exchange Commission that are available through the EDGAR system without charge at its Web site, www.sec.gov and on the company's Web site, www.sempra.com.

Sempra LNG and Sempra Pipelines & Storage are not the same companies as the utilities, SDG&E or SoCalGas, and are not regulated by the California Public Utilities Commission. Sempra Energy Trading, doing business as Sempra Commodities, and Sempra Generation are not the same companies as the utilites, SDG&E or SoCalGas, and the California Public Utilities Commission does not regulate the terms of their products and services.



                             SEMPRA ENERGY
                                Table A
           
 STATEMENTS OF CONSOLIDATED INCOME
 (Dollars in millions, except per share amounts)

                           Three months ended         Years ended
                               December 31,           December 31,
                           -------------------    -------------------
                             2004       2003        2004       2003
                           --------   --------    --------   --------
                               (Unaudited)
 Operating revenues
 California utilities:
  Natural gas              $  1,348   $  1,049    $  4,537   $  4,010
  Electric                      412        419       1,658      1,787
 Other                        1,129        598       3,215      2,090
                           --------   --------    --------   --------
    Total operating
     revenues                 2,889      2,066       9,410      7,887
                           --------   --------    --------   --------
 Operating expenses
 California utilities:
  Cost of natural gas           849        542       2,593      2,071
  Cost of electric fuel
   and purchased power          151        113         576        541
 Other cost of sales            555        318       1,741      1,204
 Other operating expenses       774        656       2,371      2,287
 Depreciation and
  amortization                  120        160         621        615
 Franchise fees and
  other taxes                    65         63         236        230
                           --------   --------    --------   --------
    Total operating
     expenses                 2,514      1,852       8,138      6,948
                           --------   --------    --------   --------
 Operating income               375        214       1,272        939
 Other income (expense)
  - net                          46        (12)        104         26
 Interest income                 11         74          69        104
 Interest expense               (88)       (85)       (322)      (308)
 Preferred dividends/
  distributions by
  subsidiaries                   (3)        (2)        (10)       (19)
                           --------   --------    --------   --------
 Income from continuing
  operations before
  income taxes                  341        189       1,113        742
 Income tax expense
  (benefit)                       2        (62)        193         47
                           --------   --------    --------   --------
 Income from continuing
  operations                    339        251         920        695
 Income (loss) from
  discontinued operations,
  net of tax                      7         --         (23)        --
 Loss on disposal of
  discontinued operations,
  net of tax                     --         --          (2)        --
                           --------   --------    --------   --------
 Income before cumulative
  effect of changes in
  accounting principles         346        251         895        695
 Cumulative effect of
  changes in accounting
  principles, net of tax         --        (17)         --        (46)
                           --------   --------    --------   --------
 Net income                $    346   $    234    $    895   $    649
                           ========   ========    ========   ========
 Basic earnings per share:
 Income from continuing
  operations               $   1.47   $   1.12    $   4.03   $   3.29
 Discontinued operations,
  net of tax                   0.03         --       (0.11)        --
 Cumulative effect of
  changes in accounting
  principles, net of tax         --      (0.07)         --      (0.22)
                           --------   --------    --------   --------
 Net income                $   1.50   $   1.05    $   3.92   $   3.07
                           ========   ========    ========   ========
 Weighted-average
  number of shares
  outstanding (thousands)   230,832    223,962     228,271    211,740
                           ========   ========    ========   ========
 Diluted earnings per share:
 Income from continuing
  operations               $   1.43   $   1.11    $   3.93   $   3.24
 Discontinued operations,
  net of tax                   0.03         --       (0.10)        --
 Cumulative effect of
  changes in accounting
  principles, net of tax         --      (0.08)         --      (0.21)
                           --------   --------    --------   --------
 Net income                $   1.46   $   1.03    $   3.83   $   3.03
                           ========   ========    ========   ========
 Weighted-average number
  of shares outstanding
  (thousands)               237,500    227,214     233,852    214,482
                           ========   ========    ========   ========
 Dividends declared per
  share of common stock    $   0.25   $   0.25    $   1.00   $   1.00
                           ========   ========    ========   ========


                             SEMPRA ENERGY
                                Table B

 CONSOLIDATED BALANCE SHEETS
 (Dollars in millions)
                                                       December 31,
                                                     2004       2003
                                                    -------   -------
 Assets
 Current assets:
  Cash and cash equivalents                         $   419   $   409
  Short-term investments                                 15       386
  Accounts receivable                                 1,032       874
  Due from unconsolidated affiliate                       4        --
  Deferred income taxes                                  15        --
  Interest receivable                                    80        62
  Trading-related receivables and deposits, net       2,606     2,350
  Derivative trading instruments                      2,339     1,607
  Commodities owned                                   1,547     1,420
  Regulatory assets arising from fixed-price
   contracts and other derivatives                      152       144
  Other regulatory assets                               103        89
  Inventories                                           172       147
  Other                                                 222       158
                                                    -------   -------
   Current assets of continuing operations            8,706     7,646
   Current assets of discontinued operations             70       220
                                                    -------   -------
    Total current assets                              8,776     7,866
                                                    -------   -------
 Investments and other assets:
  Due from unconsolidated affiliates                     42        55
  Regulatory assets arising from fixed-price
   contracts and other derivatives                      500       650
  Other regulatory assets                               619       552
  Nuclear decommissioning trusts                        612       570
  Investments                                         1,164     1,112
  Sundry                                                844       707
                                                    -------   -------
    Total investments and other assets                3,781     3,646
                                                    -------   -------
 Property, plant and equipment - net                 11,086    10,476
                                                    -------   -------
 Total assets                                       $23,643   $21,988
                                                    =======   =======
 Liabilities and Shareholders' Equity
 Current liabilities:
  Short-term debt                                   $   405   $    28
  Accounts payable                                    1,126       788
  Due to unconsolidated affiliates                      205         1
  Income taxes payable                                  187       336
  Deferred income taxes                                  --        31
  Trading-related payables                            3,182     2,255
  Derivative trading instruments sold,
   not yet purchased                                  1,484     1,340
  Commodities sold with agreement to repurchase         513       922
  Dividends and interest payable                        123       136
  Regulatory balancing accounts - net                   509       424
  Fixed-price contracts and other derivatives           157       148
  Current portion of long-term debt                     398     1,433
  Other                                                 776       675
                                                    -------   -------
   Current liabilities of continuing operations       9,065     8,517
   Current liabilities of discontinued operations        17        52
                                                    -------   -------
    Total current liabilities                         9,082     8,569
                                                    -------   -------
 Long-term debt                                       4,192     3,841
                                                    -------   -------
 Deferred credits and other liabilities:
  Due to unconsolidated affiliates                      162       362
  Customer advances for construction                     97        89
  Postretirement benefits other than pensions           129       131
  Deferred income taxes                                 420       368
  Deferred investment tax credits                        78        84
  Regulatory liabilities arising from cost
   of removal obligations                             2,359     2,238
  Regulatory liabilities arising from asset
   retirement obligations                               333       303
  Other regulatory liabilities                           67       109
  Fixed-price contracts and other derivatives           500       680
  Asset retirement obligations                          326       313
  Deferred credits and other                            854       832
                                                    -------   -------
   Total deferred credits and other liabilities       5,325     5,509
                                                    -------   -------
 Preferred stock of subsidiaries                        179       179
                                                    -------   -------
 Shareholders' equity                                 4,865     3,890
                                                    -------   -------
 Total liabilities and shareholders' equity         $23,643   $21,988
                                                    =======   =======


                             SEMPRA ENERGY
                                Table C

 CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS
 (Dollars in millions)

                                                     Years ended
                                                     December 31,
                                                ---------------------
                                                  2004          2003
                                                -------       -------
 Cash Flows from Operating Activities:
 Net income                                     $   895       $   649
 Adjustments to reconcile net income to net
  cash provided by operating activities:
   Discontinued operations, net of tax               25            --
   Cumulative effect of changes in accounting
    principles, net of tax                           --            46
   Depreciation and amortization                    621           615
   Deferred income taxes and investment
    tax credits                                      13          (118)
   Impairment losses                                 12           101
   Other - net                                       61            99
 Net changes in other working
  capital components                               (427)         (154)
 Changes in other assets                           (200)          (71)
 Changes in other liabilities                       (21)          (26)
                                                -------       -------
  Net cash provided by continuing operations        979         1,141
  Net cash used in discontinued operations          (30)           --
                                                -------       -------
  Net cash provided by operating activities         949         1,141
                                                -------       -------
 Cash Flows from Investing Activities:
 Expenditures for property,
  plant and equipment                            (1,083)       (1,049)
 Investments in and acquisitions of
  subsidiaries, net of cash acquired                (74)         (202)
 Proceeds from disposal of discontinued
  operations                                        157            --
 Net proceeds from sale of assets                   372(a)         29
 Dividends received from unconsolidated
  affiliates                                         59            72
 Affiliate loans                                     --           (99)
 Other - net                                         10             1
                                                -------       -------
  Net cash used in investing activities            (559)       (1,248)
                                                -------       -------
 Cash Flows from Financing Activities:
 Common dividends paid                             (195)         (182)
 Issuances of common stock                          110           505
 Repurchases of common stock                         (5)           (7)
 Issuances of long-term debt                        997           900
 Payments on long-term debt                      (1,670)         (601)
 Increase (decrease) in short-term debt - net       397          (518)
 Other - net                                        (14)           (8)
                                                -------       -------
  Net cash (used in) provided by
   financing activities                            (380)           89
                                                -------       -------
 Increase (decrease) in cash and
  cash equivalents                                   10           (18)(b)
 Cash and cash equivalents, January 1               409           427
                                                -------       -------
 Cash and cash equivalents, December 31         $   419       $   409
                                                =======       =======

 (a) Primarily proceeds from the sale of U.S. Treasury obligations
     which previously securitized the Mesquite synthetic lease.

 (b) Change from $(23) as reported in prior year reflects
     reclassification of restricted cash.


                  SEMPRA ENERGY
                     Table D

 BUSINESS UNIT EARNINGS AND CAPITAL EXPENDITURES & INVESTMENTS
 (Unaudited)
 (Dollars in millions)

                             Three months ended      Years ended
                                December 31,         December 31,
                               --------------       --------------
                                2004     2003        2004     2003
                               -----    -----       -----    -----
 Net Income
 California Utilities:
  San Diego Gas & Electric     $  68    $ 128       $ 208    $ 334
  Southern California Gas         58       61         232      209
                               -----    -----       -----    -----
   Total California Utilities    126      189         440      543
                               -----    -----       -----    -----
 Sempra Global:
  Sempra Commodities             171       73         320      157
  Sempra Generation               19       32         137       71
  Sempra Pipelines & Storage      28       10          63        3(c)
  Sempra LNG                      (8)      (2)         (8)      (2)
                               -----    -----       -----    -----
   Total Sempra Global           210      113         512      229
                               -----    -----       -----    -----

 Sempra Financial                 10        9          36       41

 Parent & Other                   (7)     (60)(d)     (68)    (118)(d)
                               -----    -----       -----    -----
 Continuing Operations           339      251         920      695

 Discontinued Operations (a)       7       --         (25)      --

 Cumulative Effect of Changes
  in Accounting Principles        --      (17)(b)      --      (46)(b)
                               -----    -----       -----    -----
 Consolidated Net Income       $ 346    $ 234       $ 895    $ 649
                               =====    =====       =====    =====

 (a) Reflects Atlantic Electric & Gas and for the three months
     ended December 31, 2004 includes $7 related to favorable tax
     adjustment.
 (b) The effects were ($29) at Sempra Commodities, $9 at Sempra
     Generation and ($26) at Parent & Other, respectively. The effects
     at Sempra Generation and Parent & Other were recorded in the
     three months ended December 31, 2003.
 (c) Includes ($50) write-down of the carrying value of assets of
     Frontier Energy.
 (d) Includes the ($21) impairment of the carrying value of assets
     of AEG at Parent & Other.


                                  Three months ended    Years ended
                                      December 31,      December 31,
                                    ---------------   ---------------
 (Dollars in millions)               2004     2003     2004     2003
 ---------------------              ------   ------   ------   ------
 Capital Expenditures
  and Investments:
 California Utilities:
  San Diego Gas & Electric          $  131   $  159   $  414   $  444
  Southern California Gas               77      101      311      318
                                    ------   ------   ------   ------
   Total California Utilities          208      260      725      762
                                    ------   ------   ------   ------
 Sempra Global:
  Sempra Generation                     41       69      194      300
  Sempra Commodities                    28       31      131       51
  Sempra Pipelines & Storage             4       13       22       50
  Sempra LNG                            20       23       55       51
                                    ------   ------   ------   ------
   Total Sempra Global                  93      136      402      452
                                    ------   ------   ------   ------
 Parent & Other                          4        9       30       37
                                    ------   ------   ------   ------
 Consolidated Capital
  Expenditures and Investments      $  305   $  405   $1,157   $1,251
                                    ======   ======   ======   ======


                             SEMPRA ENERGY
                                Table E

 OTHER OPERATING STATISTICS (Unaudited)

                               Three months ended      Years Ended
                                  December 31,         December 31,
                                -----------------   -----------------
 CALIFORNIA UTILITIES             2004      2003      2004      2003
 --------------------           -------   -------   -------   -------
 Revenues
 (Dollars in millions)
  SDG&E (excludes
   intercompany sales)          $   599   $   557   $ 2,248   $ 2,292
  SoCalGas (excludes
   intercompany sales)          $ 1,161   $   911   $ 3,947   $ 3,505

 Gas Sales (Bcf)                    125       115       413       394
 Transportation and
  Exchange (Bcf)                    139       130       550       540
                                -------   -------   -------   -------
 Total Deliveries (Bcf)             264       245       963       934
                                -------   -------   -------   -------
 Total Gas Customers
  (Thousands)                                         6,297     6,210

 Electric Sales
  (Millions of kWhs)              3,993     3,817    15,799    15,040
 Direct Access
  (Millions of kWhs)                881       866     3,441     3,322
                                -------   -------   -------   -------
 Total Deliveries
  (Millions of kWhs)              4,874     4,683    19,240    18,362
                                -------   -------   -------   -------
 Total Electric Customers
  (Thousands)                                         1,319     1,296


 SEMPRA GENERATION
 -----------------              -------   -------   -------   -------
 Power Sold
  (Millions of kWhs)              5,943     3,787    20,739    11,251


 SEMPRA PIPELINES & STORAGE
 (Represents 100% of these
 subsidiaries, although only 
 the Mexican subsidiaries are 
 100% owned by Sempra Energy).
 -------------------------------
 Natural Gas Sales (Bcf)
  Argentina                          60        58       251       232
  Mexico                              9        10        42        40
  Chile                               1         1         3         3
 Natural Gas Customers (Thousands)
  Argentina                                           1,449     1,404
  Mexico                                                 97        95
  Chile                                                  37        37
 Electric Sales (Millions of kWhs)
  Peru                            1,024     1,023     4,044     4,032
  Chile                             475       453     1,959     1,832
 Electric Customers (Thousands)
  Peru                                                  748       732
  Chile                                                 508       496

                             SEMPRA ENERGY
                          Table E (Continued)

 SEMPRA COMMODITIES
 (Dollars in millions)
 ---------------------
                           Three months ended         Years ended
                               December 31,           December 31,
                           -------------------    -------------------
 Trading Margin(a)           2004       2003       2004        2003
 ---------------------------------------------    -------------------
 Geographical:
  North America            $   300     $   120    $   689     $   439
  Europe/Asia                  165          75        338         172
                           -------------------    -------------------
     Total                 $   465     $   195    $ 1,027     $   611
                           -------------------    -------------------
 Product Line:
  Gas                      $   234     $    29    $   314     $   146
  Power                         85          36        166         137
  Oil - Crude & Products        69          51        265         128
  Metals                        54          49        179          96
  Other                         23          30        103         104
                           -------------------    -------------------
     Total                 $   465     $   195    $ 1,027     $   611
                           -------------------    -------------------

 (a) Trading margin consists of net trading revenues less related
     costs (primarily brokerage, transportation and storage) plus or
     minus net interest income/expense.

 Physical Statistics
 --------------------------------------------------------------------
 Natural Gas (BcF/Day)        11.9        13.0       13.0        13.3
 Electric
  (Billions of kWhs)         108.1       102.6      373.7       324.4
 Oil & Liquid Products
  (Millions Bbls/Day)          2.1         2.0        2.1         1.7


                            
                             Fair  
                         Market Value
Net Unrealized Revenue   December 31,  Scheduled Maturity (in months)
(Dollars in millions)       2004      0 - 12  13 - 24  25 - 36  > 36
                           -------     -----------------------------
 Sources of Over-the-Counter 
 (OTC) Fair Value:
  Prices actively quoted     $844    $ 788   $   12   $   10  $   34
  Prices provided by other
   external sources            23      (14)      --       --      37
  Prices based on models
   and other valuation
   methods                    (21)     (20)      --       --      (1)
                             ----    ------  -------  ------- -------
    Total OTC Fair
     Value (a)               $846    $ 754   $   12   $   10  $   70

                            -----------------------------------------
 Maturity of OTC Fair Value
  Percentage                100.0%    89.1%     1.4%     1.2%    8.3%
  Cumulative Percentages              89.1%    90.5%    91.7%  100.0%
                            -----------------------------------------
           
  ---------------------------------------------------------------------

 Exchange Contracts (b)     $ 347    $ 337   $   21   $    8  $  (19)
                             ----    ------  -------  ------- -------

 Total Net Unrealized
  Revenue                  $1,193
                           ------

 (a) The present value of unrealized revenue to be received or
     (paid) from outstanding OTC contracts

 (b) Cash received associated with open Exchange Contracts



 Credit Quality of Unrealized Trading Assets 
 (net of margin)
 -------------------------------------------

                                December 31,     December 31,
                                   2004             2003
                                ------------     ------------
 Commodity Exchanges                10%               8%
 Investment Grade                   66%              68%
 Below Investment Grade             24%              24%
                                ------------     ------------
                                   100%             100%



 Risk Adjusted Performance Indicators
 ------------------------------------

                                 Three months ended    Years ended
                                    December 31,       December 31,
                                 -----------------------------------
                                   2004     2003      2004     2003
                                 -------  ------   -------  --------
 VaR  at 95%
   (Dollars in millions)(a)      $  11.2  $  4.4   $   7.9  $   6.5
 VaR at 99%
   (Dollars in millions)(b)      $  15.7  $  6.3   $  11.2  $   9.2
 Risk Adjusted Return
   on Capital (RAROC)(c)              34%     38%       38%      23%

 (a) Average Daily Value-at-Risk for the period using a 95%
     confidence level
 (b) Average Daily Value-at-Risk for the period using a 99%
     confidence level
 (c) Average Daily Trading Margin/Average Daily VaR at 95%
     confidence level


            

Contact Data