R.J. Rudden Financial, LLC -Rudden- Updates Distressed Energy Debt Report Series to Identify the Best Way to Capture the Most Value.

Business Editors

HAUPPAUGE, N.Y.--(BUSINESS WIRE)--June 25, 2003

In a report entitled "Merchant Generation - Over Built, Over Priced and Over Borrowed - How Do We Fix It," senior Rudden analysts put the past behind and look at likely outcomes for investors in Merchant Generation. The report reviews recent performance of the merchant generation sector versus traditional utilities, summarizes future energy price outlooks, and compares the revenue potential of natural gas-fired generation versus coal and nuclear. The authors conclude that whether you are a new investor looking to cast your net, or a current holder looking to get off the hook, the way to capture the most value is to Manage, Analyze, Restructure, and Recover.

"The industry remains paralyzed by the recurring series of ratings downgrades. Even though merchant company stock values have seen some recovery based on the news of recent corporate refinancings, these deals look more like forbearance than restructuring. The outlook for industry fundamentals remains weak and true market recovery is likely to be years away," states Stephen A. Stolze, Managing Director at Rudden. "Resolution of these issues will demand a high level of financial expertise; industry-specific economics expertise; technical expertise; and extensive legal and regulatory expertise."

The new report is an update of the previously published "Distress In the Energy Sector," which was the first in a series of four reports addressing the financially distressed Merchant Energy sector. The complete report series can be obtained by e-mailing your request to [e-mail].

R.J. Rudden Financial, LLC, an affiliate of R.J. Rudden Associates, Inc., has been established to provide independent, energy industry analyses and financial research to energy investors, the energy and utilities practices of investment and commercial banks, and energy companies. The services offered by Rudden Financial complement the services that R.J. Rudden Associates presently offers in the areas of economic analysis, regulatory analysis, asset valuation, energy price forecasting, technical due diligence, and risk assessment.