AES Will Meet With the CNV to Discuss Agreement With Union Fenosa.

Business Editors/Banking Writers

ARLINGTON, Va.--(BUSINESS WIRE)--June 2, 2000

The AES Corporation (NYSE: AES) today announced that it did not understand the action of the Comision Nacional de Valores to suspend its Venezuelan Offer to purchase all outstanding shares of C.A. La Electricidad de Caracas (BVC: EDC; OTC: ELDAY) at US$0.57 per share.

AES stated that it had complied and continues to comply with all aspects of Venezuelan law. In the course of its review of EDC, AES determined that it would improve EDC's business focus and provide better long term value to shareholders by concentrating on EDC's core businesses in Venezuela.

Union Fenosa recently expressed interest to AES in possibly acquiring certain assets in Colombia and other non-core businesses in Venezuela.

After consideration, AES determined it would be in the best interests of EDC and its shareholders to provide for the possible sales of these Colombian and non-core assets to Union Fenosa, in the event AES were to acquire control of EDC. AES promptly announced these developments and filed with the CNV a copy of the agreement with Union Fenosa as required by Venezuelan law.

These matters were transparently disclosed to all shareholders, so they could have all of this information available to them in determining whether to tender. In addition, representatives of AES visited with the CNV on Thursday June 1 to discuss these matters in detail.

The CNV order, which currently suspends the Venezuelan Offer, does not allow shareholders to participate in the AES Offer, which gives all shareholders the opportunity to receive a 118% premium to the price of their shares prior to the announcement of the Venezuelan Offer.

AES stated it believes the CNV should lift the suspension so as not to delay the Venezuelan Offer. AES also stated that it is formally presenting the requested information at a meeting with the CNV on Friday June 2, at 9:30 a.m.

AES is a leading global power company comprised of competitive generation and retail supply businesses in Argentina, Australia, Bangladesh, Brazil, Canada, China, Dominican Republic, El Salvador, Georgia, Hungary, India, Kazakhstan, the Netherlands, Mexico, Pakistan, Panama, the United Kingdom and the United States.

The company's generating assets include interests in one hundred and twenty-five facilities totaling over 44 gigawatts of capacity. AES' electricity distribution network has over 954,000 km of conductor and associated rights of way and sells over 114,000 gigawatt hours per year to over 15 million end-use customers.

In addition, through its various retail electricity supply businesses, the company sells electricity to over 154,000 end-use customers.

AES is dedicated to providing electricity worldwide in a socially responsible way.

For more general information visit our web site at www.aesc.com or contact investor relations at [e-mail]. The list aes-pr-announce is an automated mailing list and can be found on the investing page of our web site. Those who subscribe to this list will receive updates when AES issues a press release.