Cogentrix Completes Acquisition of Power Assets from National Energy & Gas Transmission.

CHARLOTTE, N.C. -- Cogentrix Energy, Inc. ("Cogentrix") announced today that, through its subsidiaries Cogentrix Power Holdings I LLC and Cogentrix Power Holdings II LLC, it has acquired the equity interests in 11 power plants, a natural gas pipeline and related assets from National Energy & Gas Transmission, Inc. ("NEGT") for approximately $550 million, including third-party costs. The acquired portfolio increases Cogentrix's net generating capacity by 963 megawatts to over 4,200 megawatts in total. Of these 11 plants, Cogentrix already owned interests in 9 and is now the manager of 10 of the plants.

Cogentrix plans to refinance its existing bank debt and fund a portion of the acquisition with proceeds from a new bank financing, which is expected to be launched in the first quarter.

Cogentrix Energy, Inc., a wholly-owned subsidiary of The Goldman Sachs Group, Inc., is a leading owner and operator of independent power and cogeneration assets in North America. Headquartered in Charlotte, North Carolina, Cogentrix Energy, Inc. owns a substantial portfolio of assets consisting primarily of interests in 27 generation facilities aggregating over 4,200 net megawatts.