GPU, Inc. Finalizes Purchase of Argentine Holding Company; GPU's Infrastructure Growth Strategy Continues.

MORRISTOWN, N.J.--(BUSINESS WIRE)--March 10, 1999--GPU, Inc. (NYSE:GPU) officials announced the financial closing on their purchase of Emdersa, an Argentine holding company that owns three electric distribution companies -- Edesa, Edelar and Edesal -- for $435 million.

The transaction, which was initially announced in late December, recently received the approvals that were required from the Argentine provinces.

"The expansion of our infrastructure business in a growth area of South America keeps us on course with our strategy to become the pre-eminent owner and manager of infrastructure assets globally," said Fred D. Hafer, chairman, president and chief executive officer of GPU, Inc.

The three distribution companies serve approximately 335,000 customers throughout a service territory of approximately 322,000 square kilometers in northwest Argentina. Edesa, the largest of the three operating companies, is located in the province of Salta. Edelar is located in La Rioja, and Edesal is in the province of San Luis. The provinces have a population of approximately 1.5 million people representing four percent of Argentina's gross domestic product. Chase Securities, Inc. is GPU's financial advisor for this transaction.

GPU, Inc., headquartered in Morristown, is a registered utility holding company. GPU International develops, owns and operates transmission and distribution facilities overseas and generating plants both here and abroad. GPU's three domestic operating utility subsidiaries -- Jersey Central Power and Light Company, Metropolitan Edison Company and Pennsylvania Electric Company -- are doing business under the trade name of GPU Energy, and serve approximately two million customers in a service area encompassing about half the land areas of New Jersey and Pennsylvania. GPU's other subsidiaries include: GPU Advanced Resources, Inc.; GPU Generation, Inc.; GPU Nuclear, Inc.; GPU Service, Inc.; and GPU Telcom Services, Inc. (http://www.gpu.com).