GPU Chief Implores Business Leaders to Lead the Fight Against Chemical Dependency.

Business Editors

NEW YORK--(BUSINESS WIRE)--Jan. 22, 2001

Calling chemical dependency a growing national disaster, Fred D. Hafer, chairman, president and chief executive officer of GPU, Inc., exhorted business leaders at an executive forum today to take the lead in waging and winning the war against the "silent killer in our midst." A long-time personal crusader against chemical dependency in the workplace, Mr. Hafer shifted his message into higher gear at The Conference Board's "2001 Employer Health Care Conference", calling for a national mobilization in the battle against alcoholism and drug dependency in America.

"As employers, we have the greatest responsibility to wage this war and the greatest opportunity to win it", Hafer declared. "We simply can't afford to pay the growing cost of doing nothing."

He pointed to statistical and medical evidence of the excessive and growing cost to American business attributable to chemical dependency. "In dollars and cents, the price tag for the effects of drug and alcohol abuse in the work place amounts to an estimated $100 billion annually," said Hafer, adding that the overall annual cost to taxpayers in otherwise preventable bills is estimated at nearly $276 billion. He reported that as much as 10 percent of the American business workforce today is estimated to suffer from a chemical dependency problem. This dependency, he said, results in higher absentee, accident, theft and compensation claim rates and is one of the top reasons for the alarming rise in workplace violence.

The GPU executive was optimistic that the business community can play the pivotal role in combating chemical dependency. Hafer urged business leaders to recognize the problem in the workplace and see the value of providing treatment, which he maintained is far less costly than ignoring it or terminating affected employees.

He illustrated his point with GPU's recent success in handling chemically dependent employees. "Instead of suspending employees without pay when they were detected abusing substances for the first time, we began to allow them to enroll in a professional rehabilitation program - and to continue to receive full pay," said Hafer. Taking the emphasis away from discipline and putting it on it on rehabilitation has already produced measurable results, he said.

In his call to arms, Hafer appealed for a new definition of "national success" in the war against chemical dependency. Included among the target-dated actions he proposed are employers' health insurance coverage to include comprehensive substance abuse treatment programs by 2003 and preventative therapies available by 2005. He also called for the creation of a National Blue Ribbon Panel of medical, research, insurance and government specialists to frame the issues and lead the discussion.

GPU, Inc., headquartered in Morristown, NJ, is a registered public utility holding company providing utility and utility-related services to customers throughout the world. GPU serves 4.6 million customers directly through its electric companies -- GPU Energy in the US, GPU Power UK in England, and Emdersa in Argentina. It serves an additional 1.4 million customers indirectly through GPU GasNet, its gas transmission subsidiary in Australia. The company's independent power project business units own interests in and operate eight projects in five countries. GPU's 1999 revenues were $4.8 billion and its total assets were $21.7 billion. GPU's other subsidiaries include MYR Group Inc., GPU Advanced Resources, Inc., GPU Nuclear, Inc., GPU Service, Inc. and GPU Telcom Services, Inc. (http://www.gpu.com).