Central Vermont's 1994 earnings affected by non-recurring charges.

RUTLAND, Vt.--(BUSINESS WIRE)--Feb. 6, 1995--Central Vermont Public Service Corp. today reported earnings of $1.08 per share of common stock for the twelve months ending Dec. 31, 1994. This compares with earnings of $1.64 for calendar year 1993. For the fourth quarter 1994, earnings were $.38 per common share compared to $.61 for the 1993 period.

The 1994 earnings reflect several non-recurring charges, including discontinuance of the proposed corporate headquarters building and rate case disallowances, amounting to $.37 per share. Absent the non-recurring items in the final quarter, earnings would have been $1.45 for the year and $.75 for the fourth quarter.

Revenues from kilowatt-hour sales to retail customers were up slightly as a result of a rate order effective Nov. 1, 1994. The order provided an increase in Vermont retail rates of about 5.07 percent and an allowed return on common equity of 10 percent. Revenues in 1993 included approximately $6 million deferred from 1991.

Favorable operations of several power sources, especially Vermont Yankee, helped lower the company's power costs. Cost reduction efforts which reduced the work force by approximately 14 percent during the year began to have a positive impact on reported earnings. Catamount Energy Corp., the company's independent energy subsidiary, contributed $.10 per share to earnings.

"Two cornerstones of the company's new strategic plan involve continuous emphasis on cost reduction to increase the competitiveness of our electric rates and a renewed emphasis on increasing megawatt-hour sales through economic development and marketing new electric technologies," said CV President and CEO Thomas C. Webb. "Our subsidiaries will also play a major part in improving our bottom line. Catamount continues to perform well, generating cash flow from operations in excess of $4.5 million in 1994. We expect Catamount to make new investments that will further enhance their solid growth in cash flow and, ultimately, their earnings contribution to CV," Webb concluded.

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        Central Vermont Public Service Corporation - Consolidated
                            Earnings Release
            (Dollars in thousands, except per share amounts)

                           Quarter Ended      Twelve Months Ended
                            December 31           December 31
                         1994        1993        1994       1993

Operating revenues    $76,562     $76,101    $277,158    $279,389
Net income(a)         $ 4,986     $ 7,738    $ 14,800    $ 21,292
Preferred stock
 dividend
 requirements         $   507     $   663    $  2,138    $  2,658
Earnings available
 for common
 stock (a)            $ 4,479     $ 7,075    $ 12,662    $ 18,634
Average shares of
 common stock
 outstanding       11,767,244  11,517,341  11,716,926  11,383,109
Earnings per
 share of
 common stock         $ 0.38      $  0.61    $   1.08    $   1.64

(a) After deducting non-recurring charge-offs (net of taxes) of $4,336,000 for the quarter and the 12 months ended Dec. 31, 1994.

CONTACT: Central Vermont Public Service

Jonathan W. Booraem, 802-747-5223

Treasurer