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PENNSYLVANIA POWER & LIGHT CO. SHAREOWNERS APPROVE COMMON STOCK SPLIT

PENNSYLVANIA POWER & LIGHT CO. SHAREOWNERS APPROVE COMMON STOCK SPLIT
 WILLIAMSPORT, Pa., April 22 /PRNewswire/ -- Pennsylvania Power & Light Co. (NYSE: PPL) shareowners voted today in favor of a two-for-one- share split of the company's common stock.
 The vote, ratifying a December decision by the board of directors, was announced at the company's 72nd annual meeting of shareowners. PP&L shareowners also re-elected four board members, appointed an independent auditor and heard company leaders review 1991 performance and outline future plans.
 "Your company is in excellent shape," John T. Kauffman, PP&L's chairman and chief executive officer told about 650 shareowners attending the meeting, held at the Williamsport Scottish Rite Auditorium. "We had a good year in 1991 despite a number of challenges, not the least of which was a less-than-robust economy."
 Looking ahead, Kauffman said the company faces major challenges as it adapts to a changing regulatory climate and attempts to spur additional growth in its "core business" -- supplying electricity to its 1.2 million customers.
 "I'm pleased to announce today two major initiatives that underscore our commitment to being competitive in our core business, our commitment to finding new opportunities for PP&L and for our customers," he said.
 The initiatives: a program to encourage the use of electric vehicles in the company's service area and a new industrial development incentive package.
 On the day of the annual meeting, which also is Earth Day, PP&L filed with the Public Utility Commission a special rate that would give customers a credit for electricity used to charge the batteries of electric vehicles. Kauffman also announced:
 -- The company is instituting a grant program for PP&L customers who buy electric vehicles.
 -- The Electric Power Research Institute has designated PP&L as one of its five regional repair centers for electric vehicles.
 -- PP&L is setting up a program to allow customers to borrow electric vehicles.
 The second major initiative, an economic development incentive rate package, will be filed with the PUC in about a month. It is the fourth such effort by the company in the past eight years.
 This latest package will reduce electric energy costs of the company's large customers and, said Kauffman, "is another step in encouraging economic expansion in Central Eastern Pennsylvania."
 Following Kauffman, William F. Hecht, PP&L's president and chief operating officer, told shareowners, "1991 was a year spent re- emphasizing our commitment to customers -- a year of laying the groundwork for a more competitive future."
 He reported on a recent survey that found nearly 92 percent of PP&L's customers held favorable opinions of the company.
 "But is that enough? Not in today's world," Hecht said. "If 92 percent of our customers have a favorable opinion of us, that means 8 percent do not. This represents a tremendous challenge -- and opportunity. We need to satisfy every customer."
 "We also know that service alone will not create customer loyalty," he pointed out. "Price is very important as well. It is our objective to continue to avoid base rate increases. Rate stability is essential if we are to compete effectively in the energy marketplace."
 Charles E. Russoli, PP&L executive vice president and chief financial officer, reviewed the company's financial situation for shareowners attending the meeting.
 He reported that earnings per share of common stock for the 12 months ended March 31, 1992, were $4.06 -- 8 cents higher than a year ago and 5 cents higher than earnings for calendar year 1991.
 "These reported earnings have been influenced by extremely mild weather experienced in the last two winters," Russoli said. "After adjusting earnings to reflect more normal weather conditions, our earnings are 11 cents a share less than a year ago."
 He said the main reason for the lack of earnings growth in the past year was the economic downturn in the company's service area caused by the recession. Russoli said that the strong sales of electricity during the first quarter of this year provide encouragement that the effects of the recession may be lessening in the company's service area.
 "Let's hope that a return to economic growth will be sooner, rather than later," he said. "System sales are forecast to increase about 1.5 percent over 1991."
 Russoli also noted that the company's common stock annual dividend increased 10 cents a year this year, and that PP&L's board of directors plans to continue its pattern of annual dividend increases.
 In closing, he pointed out that, at the end of 1991, the company's common stock sold at the highest market price above book value experienced in the past 25 years. Book value, the total amount invested in common stock by shareowners plus earnings reinvested by the company, was $30.30 per share at the end of last year. Market price then was $52-5/8 a share.
 The common stock split was approved Wednesday by shareowners voting 63.9 million of the 81 million shares of all types of stock eligible. The split was proposed as a way of bringing the price of the company's common stock more in line with the current prices of other stocks in the electric utility industry. PP&L has not split its stock since 1959 when its shares were trading in the high-$50 range.
 The price of the company's common stock has doubled since the mid- 1980s and lately was among the highest for electric utilities. The closing price Tuesday (4/21) was $49-1/2 a share.
 Prior to the split, there were 75.7 million shares of PP&L common stock outstanding, about 9 million fewer than authorized. To permit the split, shareowners were asked to increase the number of authorized shares to 170 million. The split resulted in 151.4 million outstanding shares.
 As a result, shareowners of record April 22 will be entitled to receive one additional share for each share owned on that date. Certificates for the shares issued as a result of the split will be mailed on May 11, 1992. (Shareowners participating in the dividend reinvestment plan also will receive an additional fractional share equal to any fractional shares currently owned.)
 In other action, shareowners re-elected four members of the company's board of directors to three-year terms: Jeffrey J. Burdge, former chairman of the board of Harsco Corp., Camp Hill; Stuart Heydt, president and chief executive officer of Geisinger Foundation, Danville; Clifford L. Jones, who served as president of the Pennsylvania Chamber of Business and Industry, Harrisburg, from 1983 until his retirement in 1991; and Ruth Leventhal, provost and dean at Penn State Harrisburg, Middletown, Pa.
 Directors continuing in office and therefore not standing for election this year are (term expiration year in parenthesis) E. Allen Deaver, executive vice president, a member of the president's office and a director of Armstrong World Industries Inc., Lancaster (1994); Edward Donley, chairman of the executive committee of Air Products and Chemicals Inc., Allentown (1994); William J. Flood, secretary-treasurer of Highway Equipment & Supply Co. of Harrisburg and Hazleton (1993); the Rev. Daniel G. Gambet, president of Allentown College of St. Francis de Sales, Center Valley (1993); Elmer D. Gates, vice chairman of Fuller Co., Bethlehem (1994); Hecht (1993); Kauffman (1993); Norman Robertson, senior vice president and chief economist of Mellon Bank N.A., Pittsburgh (1994); Russoli (1994); and David L. Tressler, executive director of the Joseph M. McDade Center for Technology and Applied Research at the University of Scranton, and president, chief executive officer and a director of the Northeast Regional Cancer Institute, Scranton (1993).
 Shareowners also ratified the appointment of Deloitte & Touche as independent auditors for 1992.
 In addition, the company's board of directors re-elected PP&L's officers Wednesday:
 Kauffman; Hecht; Russoli; G.D. Caliendo, senior vice president, general counsel and secretary; Harold W. Keiser, senior vice president- Nuclear; Joseph C. Krum, senior vice president-Division Operations; Francis A. Long, senior vice president-System Power & Engineering; Linda Curry Bartholomew, vice president-Public Affairs; John R. Biggar, vice president-Finance; Robert G. Byram, vice president-Nuclear Operations; Steven H. Cantone, vice president-Central Division; John M. Chappelear, vice president-Investments and Pensions; Robert S. Gombos, vice president-Human Resource & Development; Ronald E. Hill, vice president and treasurer; John P. Kierzkowski, vice president and treasurer; Grayson E. McNair, vice president-Lehigh Division; John R. Menichini, vice president-Harrisburg Division; Clair W. Noll, vice president- Information Services; Edward F. Reis, vice president-Corporate Planning; John E. Roth, vice president-Northern Division; John H. Saeger, vice president-Lancaster Division; Robert J. Shovlin, vice president-Power Production & Engineering; Jean A. Smolick, assistant secretary; Raymond F. Suhocki, vice president-Susquehanna Division; Pauline L. Vetovitz, assistant secretary; and Helen J. Wolfer, assistant secretary and assistant treasurer.
 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- 4/22/92
 /CONTACT: Charles E. Russoli of Pennsylvania Power & Light, 215-774-5240/
 (PPL) CO: Pennsylvania Power & Light Co. ST: Pennsylvania IN: UTI SU:


JS -- PH048 -- 1447 04/22/92 16:29 EDT
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