Review Verifies that Garland Power & Light Meets State and Federal Standards for Generation Operations

Garland, Texas – January 09, 2008 – Garland Power & Light continues to outshine other utilities in demonstrating that it is in compliance with the electric utility operating standards required by the Electric Reliability Council of Texas (ERCOT) and the North American Electric Reliability Corporation (NERC).

In a routine audit conducted by the Texas Reliability Entity (TRE), GP&L demonstrated that it meets the requirements for generation operations processes including power balancing, generation and voltage control, communications, emergency operations and training.

The evaluation, initially scheduled for two days, only took one day because GP&L’s records were so well organized and complete. The auditors commented that GP&L’s audit was the best they have seen.

“I’m delighted that we have passed this review,” said Dan Bailey, GP&L Market Optimization Manager. “Preparing for and communicating our information to the auditors was a great team effort.”

This is the second audit in recent months which GP&L has aced. In July 2007, GP&L successfully passed a review of transmission planning, design, maintenance and operation practices, also conducted by the TRE on behalf of ERCOT and NERC.

A formal generation operations audit is typically conducted every three years. In between on-site audits, GP&L is required to document and self-certify compliance with the standards on a yearly basis. Deficiencies found in audits can result in fines up to $1 million for each day of violation.