ATC Hits the Ground Running On Jan. 1; Former Governor Among Those Named to Board of Directors.

Business Editors

WAUKESHA, Wis.--(BUSINESS WIRE)--Jan. 2, 2001

As the new year was being welcomed in at midnight on Jan. 1, American Transmission Company assumed ownership, operation, planning, maintenance and monitoring of the transmission assets formerly owned by a number of Wisconsin utility companies, cooperatives and municipal utilities.

This marks the initial operation of the first for-profit stand-alone transmission company in the country.

"We began operation exactly as we'd hoped; smoothly and quietly," said ATC President and CEO Jose Manuel Delgado. "After a very busy year of working toward making ATC a reality, it is great to have a smooth transition."

Included in the transfer are transmission assets formerly owned by Alliant-Wisconsin Power & Light, Edison Sault Electric, Madison Gas & Electric, South Beloit Water Gas and Electric, Wisconsin Electric and Wisconsin Public Service. Wisconsin Public Power Inc. is contributing cash to the new company in lieu of transmission assets. Additionally, the following municipal utilities and retail electric cooperatives plan to contribute either cash and/or transmission assets to the company and are pursuing separate approvals where required: Adams-Columbia Electric Cooperative, Algoma Utilities, Badger Power Marketing, Central Wisconsin Electric Cooperative, Kaukauna Electric, Manitowoc Public Utilities, Marshfield Electric and Water Department, Menasha Utilities, Oconto Falls Municipal Utilities, Plymouth Utilities, Reedsburg Electric and Water, Rock County Electric Cooperative, Sheboygan Light and Water, Sturgeon Bay Utilities, Sun Prairie Water and Light and Wisconsin Rapids Waterworks and Lighting.

The advantage to customers of having a transmission-only company own, operate, plan and maintain the transmission facilities is to provide one entity that facilitates transmission services over a broad area.

Delgado also named the company's four independent directors who begin serving on the board immediately. They include:

-- Anthony S. Earl, an attorney with Quarles & Brady in Madison and former
Wisconsin governor;

-- Augustin Ramirez, CEO of Husco International in Waukesha;

-- William C. Verrette, CEO of Champion Inc. in Iron Mountain, Mich.; and

-- Stephen J. Yanisch, a managing director with Dain Rauscher Inc. in
Minneapolis.

"We feel this is a good mix of top-notch business leaders with diverse financial and corporate backgrounds," said Delgado. "They will work well with our utility representatives to balance ATC's need for a strong board of directors."

The independent directors join the following utility representatives on ATC's board: Eliot G. Protsch of Alliant Energy, Mark C. Williamson of Madison Gas & Electric, David K. Porter of Wisconsin Electric, Patrick D. Schrickel of Wisconsin Public Service Corporation and J. Leroy Thilly of Wisconsin Public Power Inc.

Formed under the provisions of the Reliability 2000 legislation contained in Gov. Tommy Thompson's 1999-2001 budget, ATC provides high voltage transmission service to utilities and retail electric cooperatives. ATC does not own distribution or generation. Those facilities and functions remain with the participating utility companies, who obtain transmission service from ATC.

The transfer includes land rights covering over 6,000 miles of transmission lines and more than 500 substations, comprised of over 30,000 separate parcels of real estate. The poles, wires, substations and other transmission facilities transferred have a book value in excess of $500 million.

American Transmission Company LLC owns, maintains, monitors and operates electric transmission equipment and provides excellent service to customers, reliable operations and a solid return to investors. Visit our Web site at www.atcllc.com for more information on ATC, the energy access company.