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PENNSYLVANIA POWER & LIGHT CO. EARNINGS IMPROVE IN 1992

 ALLENTOWN, Pa., Jan. 27 /PRNewswire/ -- Pennsylvania Power & Light Co.'s (NYSE: PPL) earnings improved slightly during 1992 as the region's economy continued to recover and the company made progress in controlling costs.
 PP&L today reported earnings of $2.02 per share of common stock for the 12-month period ended Dec. 31, 1992, compared with earnings of $2.01 per share for the same period the year before.
 "Milder-than-normal winter weather during the first quarter of 1992, combined with somewhat cooler-than-normal summer weather, adversely affected PP&L's earnings," said Charles E. Russoli, PP&L's executive vice president and chief financial officer. "If the weather had been normal, our earnings per share for 1992 would have been $2.09 per share instead of $2.02."
 PP&L's earnings for 1991 also were affected by milder-than-normal weather, Russoli noted. Under normal weather conditions, the company's 1991 earnings would have been $2.07 per share instead of $2.01 per share.
 The weather affects sales and earnings as heating and cooling demands change. To make valid comparisons of financial performance, PP&L adjusts the figures to reflect "normal" conditions as determined by historical weather data.
 PP&L made progress during 1992 in controlling its operating and maintenance expenses, despite increasing costs. "We're working hard to keep our expenses under control," Russoli said.
 Increasing depreciation charges for PP&L's Susquehanna nuclear power plant adversely affected 1992 earnings. Russoli explained that the cost of a power plant normally is spread out evenly over a number of years by recording charges against income. In the formula PP&L uses for the Susquehanna plant, annual depreciation charges are not equal, but increase incrementally each year.
 The increase in depreciation in 1992 adversely affected earnings by 5 cents a share of common stock, Russoli said.
 The company was encouraged by signs of an improving economy during 1992, Russoli said. Energy sales to service area customers, when adjusted for normal weather, increased by 766 million kilowatt-hours, or 2.6 percent, over 1991. By comparison, energy sales in 1991 increased by only 0.2 percent over 1990 levels.
 In 1992, residential sales and commercial sales, when adjusted for normal weather, increased by 1.8 percent and 2.7 percent respectively over 1991. Industrial sales, which are not affected by the weather, were up 3.4 percent, Russoli said.
 "The 3.4 percent increase in industrial sales was especially good news when assessing the economy," Russoli said, "because in 1991 we saw our sales to industrial customers decline by 3 percent from 1990 levels."
 For the fourth quarter of 1992, PP&L reported earnings of 53 cents per common share, up from 49 cents a share in the comparable period of 1991. The earnings-per-share amounts for 1991 have been restated to reflect the results of the 2-for-1 common stock split approved April 22, 1992.
 PENNSYLVANIA POWER & LIGHT COMPANY AND SUBSIDIARY COMPANIES
 CONSOLIDATED FINANCIAL INFORMATION
 DECEMBER 1992
 (Unaudited; thousands of dollars)
 3 Months Ended 12 Months Ended
 December 31 December 31
 1992 1991 1992 1991
 Operating revenues(A) $686,282 $692,898 $2,744,122 $2,740,715
 Net income 91,009 84,706 346,724 348,414
 Dividends on preferred
 and preference stock 9,894 10,937 40,495 44,687
 Earnings applicable
 to common stock 81,115 73,769 306,229 303,727
 Earnings per share of
 common stock (based
 on average number of
 shares outstanding)(B) $0.53 $0.49 $2.02 $2.01
 Average number of
 shares outstanding
 (thousands)(B) 151,716 151,480 151,676 151,382
 (A) Includes receipts from interchange power sales which have been accounted for as operating revenues in accordance with a Federal Energy Regulatory Commission order effective Jan. 1, 1992. Operating revenues for the 1991 periods have been restated.
 (B) As adjusted for the two-for-one common stock split approved by shareowners on April 22, 1992.
 SYSTEM SALES COMPARISONS -- ACTUAL
 Millions of kwh
 3 Months Ended Dec. 31 12 Months Ended Dec. 31
 Pct. Pct
 1992 1991 Change 1992 1991 Change
 Residential 2,658 2,492 6.7 10,604 10,385 2.1
 Commercial 2,215 2,152 2.9 9,039 8,861 2.0
 Industrial 2,221 2,158 2.9 8,746 8,456 3.4
 Other 358 348 2.9 1,366 1,334 2.4
 Total 7,452 7,150 4.2 29,755 29,036 2.5
 SYSTEM SALES COMPARISONS -- WEATHER-ADJUSTED
 Millions of kwh
 3 Months Ended Dec. 31 12 Months Ended Dec. 31
 Pct. Pct.
 1992 1991 Change 1992 1991 Change
 Residential 2,610 2,545 2.6 10,843 10,654 1.8
 Commercial 2,202 2,165 1.7 9,122 8,878 2.7
 Industrial 2,221 2,158 2.9 8,746 8,456 3.4
 Other 356 350 1.7 1,378 1,335 3.2
 Total 7,389 7,218 2.4 30,089 29,323 2.6
 PP&L supplies electricity to a 10,000-square-mile area of 29 counties in Central Eastern Pennsylvania. Among the communities it serves are Allentown, Bethlehem, Harrisburg, Hazleton, Lancaster, Scranton, Wilkes-Barre and Williamsport.
 /delval/
 -0- 1/27/93
 /CONTACT: Charles E. Russoli of Pennsylvania Power & Light, 215-774-5240, or fax, 215-774-5281/
 (PPL)


CO: Pennsylvania Power & Light Co. ST: Pennsylvania IN: UTI SU: ERN

MK -- PH036 -- 9837 01/27/93 15:59 EST
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